Document:

form10q-exhibit10c.htm

Exhibit 10(c)

Execution Copy

 

AMENDMENT NO. 4

 

TO THE CREDIT AND SECURITY AGREEMENT

 

This AMENDMENT NO. 4 TO THE CREDIT AND SECURITY AGREEMENT (this “Amendment”), dated as of March 31, 2011, is by and among PPL RECEIVABLES CORPORATION, as Borrower (the “Borrower”), PPL ELECTRIC UTILITIES CORPORATION, as Servicer (the “Servicer”), VICTORY RECEIVABLES CORPORATION (“Victory”), as a Lender, and THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., NEW YORK BRANCH, as Liquidity Bank (in such capacity, the “Liquidity Bank”) and as Agent (in such capacity, the “Agent”).  Capitalized terms used but not otherwise defined herein shall have the respective meanings assigned thereto in the Agreement (as defined below), including terms and definitions incorporated by reference therein.

 

WHEREAS, the parties hereto have entered into that certain Credit and Security Agreement, dated as of August 5, 2008 (as amended, supplemented and otherwise modified from time to time and as may be further amended, supplemented and otherwise modified from time to time, the “Agreement”); and

 

WHEREAS, the parties hereto desire to amend the Agreement as herein set forth;

 

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

SECTION 1. Amendments to the Agreement.  The Agreement is hereby amended as follows:

 

1.1 Section 9.1(i)(i) of the Agreement is amended by replacing the percentage “7.50%” where it appears therein with the percentage “8.50%”.

 

1.2 Section 9.1(i)(ii) of the Agreement is amended by replacing the percentage “3.00%” where it appears therein with the percentage “5.00%”.

 

1.3 The definition of “Defaulted Receivable” set forth in Exhibit I of the Agreement is amended by replacing the number “121” where it appears therein with the number “91”.

 

SECTION 2. Representations and Warranties of the Originator.  Each of the Borrower and the Servicer, as to itself, hereby represents and warrants to Victory, the Liquidity Bank and the Agent as follows:

 

2.1 The representations and warranties of such Person contained in Article V of the Agreement (as amended hereby) are true and correct as of the date hereof (unless stated to relate solely to an earlier date, in which case such representations and warranties were true and correct as of such earlier date).

 

2.2 This Amendment and the Agreement (as amended hereby) constitute the legal, valid and binding obligation of such Person enforceable against such Person in accordance with their respective terms, subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium or similar law affecting creditors’ rights generally and to the effect of general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law).

 

2.3 Upon giving effect to this Amendment, no Amortization Event or Unmatured Amortization Event has occurred and is continuing, except the “Subject Trigger Breach” and “Subject Amortization Event” as defined in Waiver Agreement, dated the date hereof, by and among the Borrower, the Servicer, Victory and the Agent.

 

SECTION 3. Conditions to Effectiveness.  This Amendment shall become effective as of the date hereof upon receipt by the Agent of the counterparts of this Amendment executed by each of the parties hereto.

 

SECTION 4. Effect of Amendment; Ratification.  Except as specifically amended hereby, the Agreement is hereby ratified and confirmed in all respects, and all of its provisions shall remain in full force and effect.  After this Amendment becomes effective, all references in the Agreement (or in any other Transaction Document) to “this Agreement”, “hereof”, “herein”, or words of similar effect, in each case referring to the Agreement, shall be deemed to be references to the Agreement as amended hereby.  This Amendment shall not be deemed to expressly or impliedly waive, amend, or supplement any provision of the Agreement other than as specifically set forth herein.

 

SECTION 5. Counterparts; Delivery.  This Amendment may be executed in any number of counterparts and by different parties on separate counterparts, and each counterpart shall be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument.  Delivery of an executed counterpart of a signature page to this Amendment by facsimile or other electronic means shall be effective as delivery of a manually executed counterpart of this Amendment.

 

SECTION 6. GOVERNING LAW.  THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK (INCLUDING SECTIONS 5-1401 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK BUT OTHERWISE WITHOUT REGARD TO CONFLICTS OF LAW PRINCIPLES).

 

SECTION 7. Section Headings.  The various headings of this Amendment are inserted for convenience only and shall not affect the meaning or interpretation of this Amendment or the Agreement or any provision hereof or thereof.

 

[Signature pages follow.]

  

  

  

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date first written above.

 

PPL RECEIVABLES CORPORATION,

as Borrower

By:                                                                           

Name:

Title:

PPL ELECTRIC UTILITIES CORPORATION,

as Servicer

By:                                                                           

Name:

Title:

  

  

  

VICTORY RECEIVABLES CORPORATION,

as a Lender

By:                                                                           

Name:

Title:

  

  

  

THE BANK OF TOKYO-MITSUBISHI UFJ. LTD., NEW YORK BRANCH, as a Liquidity Bank

By:                                                                           

Name:

Title:

THE BANK OF TOKYO-MITSUBISHI UFJ. LTD., NEW YORK BRANCH, as Agent

By:                                                                           

Name:

Title:Exhibit 10.1

Griffon Corporation

712 Fifth Avenue

New York, New York 10019

February 3, 2011

PERSONAL AND
CONFIDENTIAL

Mr. Harvey R.
Blau

c/o Griffon Corporation

712 Fifth Avenue

NY, NY 10019

Dear Harvey:

          Reference
is hereby made to your employment agreement dated as of July 1, 2001 between
you and Griffon Corporation, as amended to date (the “Agreement”). Notwithstanding any provision in the
Agreement to the contrary, the term of the Consulting Period, as defined
therein, is hereby extended to April 1, 2016.
Except as expressly modified herein, the terms and provisions of your
consulting entitlements and obligations remain the same as they were
immediately prior to the date hereof.

	
  

 	
  

 	
  

 
	
  

 	
 GRIFFON
 CORPORATION

 
	
  

 	
  

 	
  

 
	
  

 	
 By: 

 	
   /s/ Seth L.
 Kaplan

 
	
  

 	
  

 	

 

 
	
  

 	
 Name: Seth L. Kaplan

 
	
  

 	
 Title:   Senior
 Vice President

 
	
  

 	
  

 	
  

 
	
 Acknowledged
 and Agreed:

 	
  

 	
  

 
	
  

 	
  

 	
  

 
	
      /s/
 Harvey R. Blau

 	
  

 	
  

 
	

 

 	
  

 	
  

 
	
 Harvey R.
 BlauExhibit 10.2

Griffon Corporation

Director Compensation Program

(adopted as of February 3, 2011)

Each member of the Board of Directors (the “Board”) of Griffon
Corporation (the “Company”) who is not an employee of the Company (each a
“Non-employee Director”) shall receive compensation for such person’s services
as a member of the Board as outlined in this Director Compensation Program.

Cash
Compensation

	
  

 	
  

 	
  

 	
  

 
	
  

 	
 Annual Retainer Fees

 
	
  

 	
  

 
	
  

 	
  

 	
 •

 	
 Annual retainer
 fee in the amount of $40,000

 
	
  

 	
  

 	
 •

 	
 Additional annual
 retainer fee in the amount of $75,000 for the Non-executive Chairman of the
 Board

 
	
  

 	
  

 	
 •

 	
 Additional annual
 retainer fee in the amount of $10,000 for the Chairman of each the Audit
 Committee and the Compensation Committee

 
	
  

 	
  

 	
 •

 	
 Additional annual
 retainer fee in the amount of $10,000 for the Lead Independent Director

 
	
  

 	
  

 
	
  

 	
 Meeting Fees

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
 •

 	
 Fee in the amount
 of $1,500 for attending any meeting of the Board

 
	
  

 	
  

 	
 •

 	
 Fee in the amount
 of $2,500 for attending any meeting of the Audit Committee (i) in person, or
 (ii) telephonically that lasts longer than thirty minutes

 
	
  

 	
  

 	
 •

 	
 Fee in the amount
 of $1,500 for attending any meeting of any committee other than the Audit
 Committee (i) in person, or (ii) telephonically that lasts longer than thirty
 minutes

 
	
  

 	
  

 	
 •

 	
 Fee in the amount
 of $750 for attending any committee meeting telephonically that lasts less
 than thirty minutes

 

Equity
Compensation

	
  

 	
  

 
	
  

 	
 Upon (1) initial
 election to the Board and (2) upon re-election to the Board and effective as
 of the date of the Annual Meeting of Stockholders each year, each
 Non-employee Director shall be awarded a grant of 2,500 restricted shares.
 The restricted shares shall vest ratably at the rate of 1/3 of the total
 shares on each of the first, second and third anniversary of the date of
 grant. If service as a director terminates due to death or disability, or if
 a change in control occurs, all shares immediately vest.

 
	
  

 	
  

 
	
  

 	
 The
 number of shares to be granted annually shall be subject to review from time
 to time based on the Company’s stock price and financial circumstances.Exhibit 10.8

JPMORGAN CHASE BANK, N.A. 

270 Park Avenue

New York, New York 10017

J.P. MORGAN SECURITIES LLC

383 Madison Avenue

New York, New York 10179

March 4, 2011

Senior Revolving Credit Facility

Commitment Letter

Griffon
Corporation

712 Fifth Avenue, 18th Floor

New York, New York 10019

Attention: Douglas J. Wetmore

Ladies and
Gentlemen:

                    You
have advised J.P. Morgan Securities LLC (“JPMorgan”) and JPMorgan Chase
Bank, N.A. (“JPMorgan Chase Bank”; together with JPMorgan, the “Commitment
Parties”) that you (“you” or “Borrower”) intend to issue up
to $500,000,000 in senior unsecured notes “the “Notes”) and, in
connection with the issuance of the Notes, you wish to obtain a $200,000,000
revolving credit facility (the “Revolving Credit Facility”) which will
replace (a) the Credit Agreement, dated as of March 31, 2008 (as amended, the “Telephonics
Credit Agreement”), among Gritel Holding Co., Inc., Telephonics
Corporation, the lenders party thereto, and JPMorgan Chase Bank, as
administrative agent, and (b) the Amended and Restated Credit Agreement, dated
as of September 30, 2010 (the “Clopay Ames Credit Agreement” and,
together with the Telephonics Credit Agreement, the “Existing Credit
Agreements”), among Clopay Ames True Temper Holding Corp, Clopay Ames True
Temper LLC, certain subsidiaries as guarantors, the lenders parties thereto and
JPMorgan Chase Bank, as administrative agent. You have further advised the
Commitment Parties that you will require amendments to the Existing Credit
Agreements in connection with the issuance of the Notes (the “Amendments”).
You have requested that JPMorgan agree to structure, arrange and syndicate the
Revolving Credit Facility and that JPMorgan Chase Bank commit to provide a
portion of the Revolving Credit Facility and to serve as administrative agent
for the Revolving Credit Facility. You have also requested that JPMorgan agree
to structure and arrange the Amendments.

                    JPMorgan
is pleased to advise you that it is willing to act as the sole lead arranger
and sole bookrunner for the Revolving Credit Facility and to arrange the
Amendments. 

                    Furthermore,
JPMorgan Chase Bank is pleased to advise you of (a) its commitment to provide
up to $50,000,000 of the Revolving Credit Facility and (b) its agreement,
together with 

2

JPMorgan, (i)
to use commercially reasonable efforts to assemble a syndicate of Lenders (as
defined below) to provide the balance of the necessary commitments for the
Revolving Credit Facility, in each case upon the terms and subject to the
conditions set forth or referred to in this commitment letter (the “Commitment
Letter”) and in the Summary of Terms and Conditions attached hereto as
Exhibit A (the “Term Sheet”) and (ii) to arrange the Amendments on terms
and conditions to be agreed. It is a condition to JPMorgan Chase Bank’s
commitment hereunder that the portion of the Revolving Credit Facility not
being provided by JPMorgan Chase Bank in respect of the Revolving Credit
Facility shall be provided by the other Lenders. 

                    It
is agreed that JPMorgan will act as the sole lead arranger and sole bookrunner
in respect of the Revolving Credit Facility and the Amendments (in such
capacities, the “Lead Arranger”), and that JPMorgan Chase Bank will act
as the sole administrative agent in respect of the Revolving Credit Facility.
You agree that, as a condition to the commitments and agreements hereunder, no
other agents, co-agents, arrangers or bookrunners will be appointed, no other
titles will be awarded and no compensation (other than that expressly
contemplated by the Term Sheet and the Fee Letter referred to below) will be
paid in connection with the Revolving Credit Facility or the Amendments unless
you and we shall so agree; provided that you shall have the right to
appoint other agents or co-agents with our consent (not to be unreasonably
withheld), it being understood and agreed that no such agent or co-agent shall
receive greater economics with respect to the Revolving Credit Facility than the
Commitment Parties.

                    We
intend to syndicate the Revolving Credit Facility (including, in our
discretion, all or part of JPMorgan Chase Bank’s commitment hereunder) to a
group of lenders (together with JPMorgan Chase Bank, the “Lenders”)
identified by us in consultation with you. We intend to promptly commence
syndication efforts as well as our efforts to arrange the Amendments, and you
agree actively to assist us in completing a syndication reasonably satisfactory
to us and in soliciting the approvals required for the Amendments. Such
assistance shall include (a) your using commercially reasonable efforts to
ensure that the syndication and solicitation efforts benefit materially from
the existing banking relationships of the Borrower and its subsidiaries, (b)
direct contact between senior management and advisors of the Borrower and its
subsidiaries and the proposed Lenders, (c) commercially reasonable assistance
from the Borrower in the preparation of materials to be used in connection with
the syndication and (d) the attendance, with us and senior management and the
Borrower, at one or more meetings of prospective Lenders. You also agree to
provide us with reasonable prior notice of the syndication of any credit
facility in connection with any other financing of the Borrower or its domestic
subsidiaries and, upon our request, to coordinate the syndication of such
credit facility with the syndication of the Revolving Credit Facility.

                    JPMorgan,
in its capacity as Lead Arranger, will manage, in consultation with you, all
aspects of the syndication of the Revolving Credit Facility and the
solicitation of the approvals required for the Amendments, including decisions
as to the selection of institutions to be approached and when they will be
approached, when their commitments will be accepted, which institutions will
participate, the allocation of the commitments among the Lenders and the amount
and distribution of fees among the Lenders. In its capacity as Lead Arranger,
JPMorgan will have no responsibility other than to arrange the syndication of
the Revolving Credit Facility and the approval of the Amendments as set forth
herein and in no event shall be subject to any fiduciary or other implied
duties. Additionally, you acknowledge and agree that, as Lead Arranger,
JPMorgan is not advising you as to any legal, tax, investment, accounting or
regulatory matters in any jurisdiction. You shall consult with your own
advisors concerning such matters and shall be responsible for making its own
independent investigation and appraisal of the transactions contemplated
hereby, and the Lead Arranger shall have no responsibility or liability to you
with respect thereto.

3

                    To
assist us in our syndication and solicitation efforts, you agree promptly to
prepare and provide to us all information with respect to the Borrower and its
subsidiaries and the other transactions contemplated hereby, including all
financial information and projections (the “Projections”), as we may reasonably
request in connection with the arrangement and syndication of the Revolving
Credit Facility and the arrangement of the Amendments. You hereby represent and
covenant that (a) all written information (including, to your knowledge, any
information of a general or industry nature) other than the Projections (the “Information”)
that has been or will be made available to us by you or any of your
representatives is or will be, taken as a whole when furnished, complete and
correct in all material respects and does not or will not, when furnished,
contain any untrue statement of a material fact or omit to state a material
fact necessary in order to make the statements contained therein not materially
misleading in light of the circumstances under which such statements are made
and (b) the Projections that have been or will be made available to us by you
or any of your representatives have been or will be prepared in good faith
based upon assumptions that are believed by you to be reasonable at the time
made, it being understood that the actual results may vary from the results
projected therein. You understand that in arranging and syndicating the
Revolving Credit Facility and the Amendments we may use and rely on the
Information and Projections without independent verification thereof.

                    As
consideration for the commitments and agreements of the Commitment Parties
hereunder, you agree to cause to be paid the nonrefundable fees described in
the Fee Letter dated the date hereof and delivered herewith (the “Fee Letter”).

                    Each
Commitment Party’s commitments and agreements hereunder are subject to (a)
there not occurring or becoming known to such Commitment Party any event,
development or circumstance since September 30, 2010 that has had or could
reasonably be expected to have a material adverse effect on the business,
assets, property, liabilities, operation or condition (financial or otherwise)
of the Borrower and its subsidiaries, taken as a whole, (b) such Commitment
Party not becoming aware after the date hereof of any information or other
matter (including any matter relating to financial models and underlying
assumptions relating to the Projections) affecting the Borrower or its
subsidiaries that in such Commitment Party’s reasonable judgment is
inconsistent in a material and adverse manner with any such information or
other matter disclosed to such Commitment Party by the Borrower prior to the
date hereof, (c) such Commitment Party’s reasonable satisfaction that prior to and
during the syndication of the Revolving Credit Facility there shall be no
competing offering, placement or arrangement of any debt securities or bank
financing by or on behalf of the Borrower, or any of its domestic subsidiaries
(other than the Notes), (d) the closing of the Revolving Credit Facility on or
before June 30, 2011 and (e) the other conditions set forth or referred to in
the Term Sheet. The terms and conditions of the commitments hereunder and of
the Revolving Credit Facility are not limited to those set forth herein and in
the Term Sheet; provided, however, that those matters that are not covered by
the provisions hereof and of the Term Sheet are subject to the approval and
agreement of the Commitment Parties and the Borrower.

                    You
agree (a) to indemnify and hold harmless the Commitment Parties, their
affiliates and their respective directors, employees, advisors, and agents
(each, an “indemnified person”) from and against any and all losses,
claims, damages and liabilities to which any such indemnified person may become
subject arising out of or in connection with this Commitment Letter, the
Revolving Credit Facility, the use of the proceeds thereof, the Amendments or
any related transaction or any claim, litigation, investigation or proceeding
relating to any of the foregoing, regardless of whether any indemnified person
is a party thereto, and to reimburse each indemnified person upon demand for
any legal or other expenses incurred in connection with investigating or defending
any of the foregoing, provided that the foregoing indemnity will not, as
to any indemnified person, apply to losses, claims, damages, liabilities or
related expenses to the extent they are found by a final, non-appealable
judgment of a court to arise from the willful misconduct or gross negligence of
such indemnified person, and (b) to reimburse each Commitment Party and its
affiliates on demand for all out-of-pocket reasonable, 

4

documented
expenses (including due diligence expenses, syndication expenses, consultant’s
fees and expenses, travel expenses, and reasonable fees, charges and
disbursements of counsel) incurred in connection with the Revolving Credit
Facility, the Amendments and any related documentation (including this
Commitment Letter and the definitive financing documentation) or the
administration, amendment, modification or waiver thereof. No indemnified
person shall be liable for any damages arising from the use by others of
Information or other materials obtained through electronic, telecommunications
or other information transmission systems, except to the extent any such
damages are found by a final, non-appealable judgment of a court to arise from
the gross negligence or willful misconduct of such indemnified person or such
indemnified person’s affiliates, directors, employees, advisors or agents or
for any special, indirect, consequential or punitive damages in connection with
the Revolving Credit
Facility or the Amendments.

                    You
acknowledge that each Commitment Party and its affiliates (the term “Commitment
Party” as used below in this paragraph being understood to include such
affiliates) may be providing debt financing, equity capital or other services
(including financial advisory services) to other companies in respect of which
you may have conflicting interests regarding the transactions described herein
and otherwise. No Commitment Party will use confidential information obtained
from you by virtue of the transactions contemplated hereby or its other relationships
with you in connection with the performance by such Commitment Party of
services for other companies, and no Commitment Party will furnish any such
information to other companies. You also acknowledge that no Commitment Party
has any obligation to use in connection with the transactions contemplated
hereby, or to furnish to you, confidential information obtained from other
companies. You further acknowledge that JPMorgan is a full service securities
firm and JPMorgan may from time to time effect transactions, for its own or its
affiliates’ account or the account of customers, and hold positions in loans,
securities or options on loans or securities of the Borrower and its affiliates
and of other companies that may be the subject of the transactions contemplated
by this Commitment Letter.

                    Each
Commitment Party may employ the services of its affiliates in providing certain
services hereunder and, in connection with the provision of such services, may
exchange with such affiliates information concerning you and the other
companies that may be the subject of the transactions contemplated by this
Commitment Letter, and, to the extent so employed, such affiliates shall be
entitled to the benefits afforded such Commitment Party hereunder.

                    Notwithstanding
the two immediately preceding paragraphs, JPMorgan acknowledges the terms and
conditions contained in the letter agreement entered into on February 18, 2011
between you and JPMorgan (the “NDA”) and agrees that nothing in this
Commitment Letter shall supersede or render inapplicable the NDA, and JPMorgan
reaffirms its obligations to comply with the terms and conditions of the NDA. 

                    Neither
this Commitment Letter nor the Fee Letter shall be assignable by you without
the prior written consent of each Commitment Party (and any purported
assignment without such consent shall be null and void). This Commitment Letter
is intended to be solely for the benefit of the parties hereto and is not
intended to confer any benefits upon, or create any rights in favor of, any
person other than the parties hereto and the indemnified persons. This
Commitment Letter may not be amended or waived except by an instrument in
writing signed by you and each Commitment Party. This Commitment Letter may be
executed in any number of counterparts, each of which shall be an original, and
all of which, when taken together, shall constitute one agreement. Delivery of
an executed signature page of this Commitment Letter by facsimile transmission
shall be effective as delivery of a manually executed counterpart hereof. This
Commitment Letter, the Fee Letter and the NDA are the only agreements that have
been entered into among us with respect to the Revolving Credit Facility and
the Amendments and set forth the entire understanding of the parties with
respect thereto.

5

                    This
Commitment Letter shall be governed by, and construed and interpreted in
accordance with, the laws of the State of New York. You hereby consent to the exclusive jurisdiction and venue of
the state or federal courts located in the City of New York. Each party
hereto irrevocably waives, to the fullest extent permitted by applicable law,
(a) any objection that it may now or hereafter have to the laying of venue of
any such legal proceeding in the state or
federal courts located in the City of New York and (b) any right it may
have to a trial by jury in any suit, action, proceeding, claim or counterclaim
brought by or on behalf of any party related to or arising out of this
Commitment Letter, the Term Sheet, the transactions contemplated hereby or the
performance of services hereunder. 

                    This
Commitment Letter is delivered to you on the understanding that neither this
Commitment Letter, the Term Sheet or the Fee Letter nor any of their terms or
substance shall be disclosed, directly or indirectly, to any other person
(including, without limitation, other potential providers or arrangers of
financing) except (a) to your officers, agents and advisors who are
directly involved in the consideration of this matter or (b) as may be
compelled in a judicial or administrative proceeding or as otherwise required
by law (in which case you agree to inform us promptly thereof), provided,
that the foregoing restrictions shall cease to apply (except in respect of the
Fee Letter and its terms and substance) after this Commitment Letter has been
accepted by you. 

                    The
compensation, reimbursement, indemnification and confidentiality provisions
contained herein and in the Fee Letter and any other provision herein or
therein which by its terms expressly survives the termination of this
Commitment Letter shall remain in full force and effect regardless of whether
definitive financing documentation shall be executed and delivered and
notwithstanding the termination of this Commitment Letter or the commitments
hereunder.

                    If
the foregoing correctly sets forth our agreement, please indicate your
acceptance of the terms hereof and of the Term Sheet and the Fee Letter by
returning to us executed counterparts hereof and of the Fee Letter not later
than 5:00 p.m., New York City time, on March 4, 2011. This offer will
automatically expire at such time if we have not received such executed
counterparts in accordance with the preceding sentence. 

                    We
are pleased to have been given the opportunity to assist you in connection with
this important financing.

	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 Very truly
 yours, 

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 J.P. MORGAN
 SECURITIES LLC 

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 By:

 	
   /s/
 Cornelius J. Droogan

 
	
  

 	
  

 	
  

 	
  

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
 Name: /s/
 Cornelius J. Droogan

 
	
  

 	
  

 	
  

 	
  

 	
 Title:
 Managing Director

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 JPMORGAN
 CHASE BANK, N.A.

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 By:

 	
   /s/
 Edmond F. Thompson

 
	
  

 	
  

 	
  

 	
  

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
 Name: /s/
 Edmond F. Thompson

 
	
  

 	
  

 	
  

 	
  

 	
 Title: SVP

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Accepted and
 agreed to as of

 	
  

 	
  

 	
  

 
	
 the date
 first written above by:

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 GRIFFON
 CORPORATION

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 By:

 	
     /s/
 Thomas D. Gibbons

 	
  

 	
  

 	
  

 
	
  

 	

 

 	
  

 	
  

 	
  

 
	
  

 	
 Name: Thomas
 D. Gibbons 

 	
  

 	
  

 	
  

 
	
  

 	
 Title:
 Treasurer 

 	
  

 	
  

 	
  

 

EXHIBIT A

$200,000,000 Revolving Credit Facility

Summary of Principal Terms and Conditions

	
  

 	
  

 
	
 Borrower:

 	
 Griffon
 Corporation.

 
	
  

 	
  

 
	
 Administrative
 Agent:

 	
 JPMorgan
 Chase Bank, N.A. (“JPMorgan Chase Bank”)

 
	
  

 	
  

 
	
 Lead
 Arranger:

 	
 J.P. Morgan
 Securities LLC. 

 
	
  

 	
  

 
	
 Facility:

 	
 1. Amount: Revolving credit facility in an aggregate principal
 amount of $200 million (the “Revolving Credit Facility”).

 
	
  

 	
  

 
	
  

 	
 2. Use of Proceeds: The proceeds of loans under the Revolving
 Credit Facility (the “Revolving Loans”) shall be utilized for debt
 repayment, working capital, capital expenditures and other general corporate
 purposes. 

 
	
  

 	
  

 
	
  

 	
 3. Maturity: The final maturity date of the Revolving Credit
 Facility shall be the fifth anniversary of the Closing Date (the “Revolving
 Loan Maturity Date”).

 
	
  

 	
  

 
	
  

 	
 4. Availability: Revolving Loans may be borrowed, repaid and
 reborrowed on and after the Closing Date and prior to the Revolving Loan
 Maturity Date in accordance with the terms of the Revolving Credit
 Documentation (as defined below).

 
	
  

 	
  

 
	
  

 	
 5. Letter of Credit Sublimit: $50 million will be available
 for the issuance of stand-by and trade letters of credit in US Dollars and
 Available Foreign Currencies (as defined below) in each case, at the
 Borrower’s option (“Letters of Credit”) by JPMorgan Chase Bank (or its
 affiliates) to support obligations of the Borrower and its subsidiaries. Each
 Letter of Credit shall expire not later than the earlier of (a) 12 months
 after its date of issuance or such longer period of time as may be agreed by
 the applicable Issuing Lender and (b) the tenth business day prior to the final
 maturity of the Revolving Facility; provided that any Letter of Credit
 may provide for renewal thereof for additional periods of up to 12 months or
 such longer period of time as may be agreed by the applicable Issuing Lender
 (which in no event shall extend beyond the date referred to in clause (b)
 above), except to the extent cash collateralized or backstopped pursuant to
 arrangements reasonably acceptable to the relevant Issuing 

 

1

	
  

 	
  

 
	
  

 	
 Lender. Letter of Credit outstandings will reduce availability under
 the Revolving Credit Facility on a dollar-for-dollar basis.

 
	
  

 	
  

 
	
  

 	
 6. Swingline Loans: $30 million will be available prior to the
 Revolving Loan Maturity Date for swingline loans (the “Swingline Loans”
 and, together with Revolving Loans, the “Loans”) to be made by by
 JPMorgan Chase Bank (or its affiliates) (in such capacity, the “Swingline
 Lender”) on same-day notice. Any Swingline Loans will reduce availability
 under the Revolving Credit Facility on a dollar-for-dollar basis. 

 
	
  

 	
  

 
	
  

 	
 7. Issuance Price: 100%.

 
	
  

 	
  

 
	
  

 	
 8. Multicurrency Sublimit: $50 million will be available for loans in Euros and
 other currencies (all such currencies, the “Available Foreign Currencies”)
 agreed to by all the Lenders (“Multicurrency Loans”). Multicurrency Loans
 will be made available by all the Lenders on a ratable basis.

 

	
  

 	
  

 
	
 Guaranties:

 	
 Each direct and indirect, existing and future, material domestic
 subsidiary of the Borrower, which shall be defined so as to include on the
 Closing Date only Telephonics Corporation, Clopay Building Products Company,
 Inc., Clopay Plastics Products Company, Inc., and Ames True Temper, Inc.
 (each, a “Guarantor” and, collectively, the “Guarantors”),
 shall provide a guaranty (collectively, the “Guaranties”) of all
 amounts owing under the Revolving Credit Facility (the Borrower and the
 Guarantors, collectively, the “Loan Parties”). 

 
	
  

 	
  

 
	
  

 	
 For the avoidance of doubt, no non-U.S. subsidiary of the Borrower
 which is a “controlled foreign corporation” (within the meaning of Section
 957 of the Internal Revenue Code) (each, a “CFC”) shall be required to
 provide a Guaranty or constitute a Guarantor.

 
	
  

 	
  

 
	
 Security:

 	
 All amounts owing under the Revolving Credit Facility will be secured
 by a first priority perfected security interest in substantially all the
 assets of the Borrower and the Guarantors, except for those assets as to
 which the Administrative Agent shall determine in its sole discretion that
 the cost of obtaining a security interest therein are excessive in relation
 to the value of the security to be afforded thereby, provided that in
 no event shall more than 65% of the total outstanding voting stock of any 

 

2

	
  

 	
  

 
	
  

 	
 CFC be required to be pledged.

 
	
  

 	
  

 
	
 Optional
 Commitment Reductions:

 	
 The unutilized portion of the total commitments under the Revolving
 Credit Facility may from time to time be reduced or terminated by the
 Borrower without penalty (other than breakage costs described below in
 connection with any prepayment).

 
	
  

 	
  

 
	
 Voluntary
 Prepayments:

 	
 Voluntary prepayments may be made at any time on three business days’
 notice in the case of Eurocurrency Loans, or one business day’s notice in the
 case of Base Rate Loans (or same day notice in the case of Swingline Loans),
 without premium or penalty; provided that voluntary prepayments of
 Eurocurrency Loans made on a date other than the last day of an interest
 period applicable thereto shall be subject to customary breakage costs. 

 
	
  

 	
  

 
	
 Mandatory
 Repayments:

 	
 If at any time the outstandings pursuant to the Revolving Credit
 Facility (including Letter of Credit outstandings, Swingline Loans and the US
 Dollar equivalent of Multicurrency Loans and Letters of Credit issued in
 Available Foreign Currencies) exceed the aggregate commitments with respect
 thereto, prepayments of Revolving Loans, Swingline Loans and/or Multicurrency
 Loans (or the cash collateralization of Letters of Credit) shall be required
 in an amount equal to such excess.

 
	
  

 	
  

 
	
  

 	
 Multicurrency Loans and Letters of Credit issued in Available Foreign
 Currencies will be marked-to market to the US Dollar equivalent thereof on a
 periodic basis to be agreed. To the extent that the US Dollar equivalent of
 such exposure exceeds 105% of the Multicurrency Sublimit, prepayments of
 Multicurrency Loans (or the cash collateralization of Letters of Credit
 issued in Available Foreign Currencies) shall be required in an amount equal
 to such excess. 

 
	
  

 	
  

 
	
  

 	
 The commitments under the Revolving Credit Facility will reduced as
 described under “Negative Covenants” below and the Borrower shall comply with
 the requirements of the first aragraph of this Section after giving effect to
 any such reduction. 

 
	
  

 	
  

 
	
 Interest
 Rates:

 	
 At the Borrower’s option, Loans may be maintained from time to time
 as (x) Base Rate Loans, which shall bear interest at the Base Rate in effect
 from time to time plus the Applicable Margin (as defined below) or (y)
 Eurocurrency Loans, which shall bear interest at the Eurocurrency Rate
 (adjusted for maximum reserves) as determined by the Administrative Agent for
 the respective interest period and the applicable currency, plus the
 Applicable Margin, provided, that (a) all Swingline Loans shall 

 

3

	
  

 	
  

 
	
  

 	
 bear interest
 based upon the Base Rate and (b) all Multicurrency Loans shall be Eurocurrency Loans.

 
	
  

 	
  

 
	
  

 	
  “Applicable Margin” shall
 mean, (A) for Base Rate Loans, initially 1.75% and following delivery of
 financial statements for the first full fiscal quarter ending after the
 Closing Date a margin based on the leverage ratio from time to time, as set
 forth on the grid below, and (B) for Eurocurrency Loans, initially 2.75% and
 following delivery of financial statements for the first full fiscal quarter
 ending after the Closing Date a margin based on the leverage ratio from time
 to time, as set forth on the grid below.

 

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 Leverage 

 Ratio

 	
  

 	
 Applicable

 Margin for

 Base Rate

 Loans

 	
  

 	
 Applicable 

 Margin for

 Eurocurrency

 Loans

 	
  

 	
 Commitment 

 Fee

 	
  

 
	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 
	
  

 	
 > 4.00:1.00 

 	
  

 	
  

 	
 1.75

 	
 %

 	
  

 	
 2.75

 	
 %

 	
  

 	
 0.50

 	
 %

 
	
  

 	
 <
 4.00:1.00

 	
  

 	
  

 	
 1.50

 	
 %

 	
  

 	
 2.50

 	
 %

 	
  

 	
 0.45

 	
 %

 
	
  

 	
 <
 3.00:1.00

 	
  

 	
  

 	
 1.25

 	
 %

 	
  

 	
 2.25

 	
 %

 	
  

 	
 0.40

 	
 %

 
	
  

 	
 <
 2.00:1.00

 	
  

 	
  

 	
 1.00

 	
 %

 	
  

 	
 2.00

 	
 %

 	
  

 	
 0.35

 	
 %

 
	
  

 	
 <
 1.00:1.00

 	
  

 	
  

 	
 0.75

 	
 %

 	
  

 	
 1.75

 	
 %

 	
  

 	
 0.30

 	
 %

 

	
  

 	
  

 
	
  

 	
 “Base Rate” shall mean the highest of (x) the rate that the
 Administrative Agent announces from time to time as its prime lending rate,
 as in effect from time to time, (y) 1/2 of 1% in excess of the overnight
 federal funds rate and (z) the Eurocurrency Rate plus 1.00%.

 
	
  

 	
  

 
	
  

 	
 The Eurocurrency Rate shall be adjusted for statutory reserve
 requirements. 

 
	
  

 	
  

 
	
  

 	
 “Base Rate Floor”: None

 
	
  

 	
  

 
	
  

 	
 “Eurocurrency Rate Floor”: None

 
	
  

 	
  

 
	
  

 	
 Interest periods of 1, 2, 3 and 6 (or if available to all Lenders, 9
 and 12 months) shall be available in the case of Eurocurrency Loans.

 
	
  

 	
  

 
	
  

 	
 The Revolving Credit Facility shall include customary protective
 provisions for such matters as defaulting banks, FATCA indemnity for the
 Borrower, capital adequacy, increased costs including as the result of the
 Dodd-Frank Wall Street Reform and Consumer Protection Act, reserves, funding
 losses, illegality, and withholding taxes. The Borrower shall have the right
 to replace 

 

4

	
  

 	
  

 	
  

 
	
  

 	
 any Lender that (i) charges a material amount in excess of that being
 charged by the other Lenders with respect to contingencies described in the
 immediately preceding sentence or (ii) does not consent to certain amendments
 or waivers of the Revolving Credit Facility which expressly require the consent
 of such Lender and which have been approved by the Required Lenders.

 
	
  

 	
  

 
	
  

 	
 Interest in respect of Base Rate Loans shall be payable quarterly in
 arrears on the last business day of each calendar quarter. Interest in
 respect of Eurocurrency Loans shall be payable in arrears at the end of the
 applicable interest period and every three months in the case of interest
 periods in excess of three months. Interest will also be payable at the time
 of repayment of any Loans and at maturity. 

 
	
  

 	
  

 
	
  

 	
 Upon the occurrence and during the continuance of a payment default,
 interest will accrue (i) in the case of principal on any loan, at a rate of
 2.00% per annum plus the rate otherwise applicable to such loan and (ii) in
 the case of any other outstanding amount, at a rate of 2.00% per annum plus
 the non-default interest rate then applicable to Base Rate loans, and will be
 payable on demand.

 
	
  

 	
  

 
	
 Commitment
 Fee:

 	
 A commitment fee, at a per annum rate of 0.50% on the daily undrawn
 portion of the commitments of each Lender under the Revolving Credit
 Facility, will commence accruing on the Closing Date and will be payable
 quarterly in arrears. Following delivery of financial statements for the
 first full fiscal quarter ending after the Closing Date, the commitment fee
 rate will be determined based on the leverage ratio from time to time, as set
 forth on the grid above. 

 
	
  

 	
  

 
	
 Letter of
 Credit Fees:

 	
 A letter of credit fee equal to the Applicable Margin for Loans
 maintained as Eurocurrency Loans on the outstanding stated amount of Letters
 of Credit (the “Letter of Credit Fee”) to be shared proportionately by the
 Lenders under the Revolving Credit Facility in accordance with their
 participation in the respective Letter of Credit, and a facing fee of 1/8%
 per annum (but in no event less than $250 per annum for each Letter of
 Credit) (the “Facing Fee”) to be paid to the issuer of each Letter of Credit
 for its own account, in each case calculated on the aggregate stated amount
 of all Letters of Credit for the stated duration thereof. Letter of Credit
 Fees and Facing Fees shall be payable quarterly in arrears. 

 
	
  

 	
  

 
	
 Conditions 

 	
 A. 

 	
 The availability of the Revolving Credit Facility

 

5

	
  

 	
  

 
	
 Precedent:

 	
 shall be conditioned upon the prior or concurrent satisfaction of the
 following conditions precedent (the date upon which all such conditions
 precedent shall be satisfied, the “Closing Date”):

 
	
  

 	
  

 
	
  

 	
 (i) Each Loan Party shall have executed and delivered reasonably
 satisfactory definitive financing documentation with respect to the Revolving
 Credit Facility (“Revolving Credit Documentation”).

 
	
  

 	
  

 
	
  

 	
 (ii) The commitments under (a) the Existing Credit Agreements and (b)
 the Credit and Guarantee Agreement, dated as of September 30, 2010, among
 Clopay Ames True Temper Holding Corp, Clopay Ames True Temper LLC, certain
 subsidiaries as guarantors, the lenders parties thereto and Goldman Sachs
 Lending Partners LLC, as administrative agent shall have been terminated, all
 amounts due and payable thereunder shall have been paid and all liens created
 in connection therewith shall have been released.

 
	
  

 	
  

 
	
  

 	
 (iii) The Borrower shall have received up to $500 million in
 aggregate gross cash proceeds from the issuance of the Notes.

 
	
  

 	
  

 
	
  

 	
 (iv) The Lenders, the Administrative Agent and the Lead Arranger
 shall have received all fees required to be paid, and all expenses required
 to be paid for which invoices have been presented, pursuant to the Commitment
 Letter and the Fee Letter on or before the Closing Date.

 
	
  

 	
  

 
	
  

 	
 (v) The Borrower shall have delivered reasonably satisfactory audited
 financial statements of the Borrower for the immediately preceding three
 fiscal years.

 
	
  

 	
  

 
	
  

 	
 (vi) The Administrative Agent shall have received the results of a
 recent lien search in each relevant jurisdiction with respect to each Loan
 Party, and such search shall reveal no liens on any of the assets of any Loan
 Party or its subsidiaries except for customary liens permitted by the
 Revolving Credit Documentation or liens to be discharged on or prior to the
 Closing Date pursuant to documentation reasonably satisfactory to the
 Administrative Agent.

 
	
  

 	
  

 
	
  

 	
 (vii) All documents and instruments reasonably necessary to perfect
 the Administrative Agent’s first priority security 

 

6

	
  

 	
  

 	
  

 
	
  

 	
 interest in the collateral under the Revolving Credit Facility
 (including delivery of stock certificates and undated stock powers executed
 in blank) shall have been executed and be in reasonably proper form for
 filing.

 
	
  

 	
  

 	
  

 
	
  

 	
 (viii) The Administrative Agent shall have received such legal
 opinions (including opinions from counsel to the Borrower and its
 subsidiaries), documents and other instruments as are customary for
 transactions of this type or as they may reasonably request.

 
	
  

 	
  

 	
  

 
	
  

 	
 B.

 	
 To All Revolving Loans and Letters of Credit

 
	
  

 	
  

 	
  

 
	
  

 	
 (i)

 	
 All representations and warranties shall be true and correct in all
 material respects on and as of the date of each borrowing of a Loan and each
 issuance of a Letter of Credit (although any representations and warranties
 which expressly relate to a given date or period shall be required to be true
 and correct in all material respects only as of the respective date or for
 the respective period, as the case may be);

 
	
  

 	
  

 	
  

 
	
  

 	
 (ii)

 	
 No event of default under the Revolving Credit Facility or event
 which with the giving of notice or lapse of time or both would be an event of
 default under the Revolving Credit Facility, shall have occurred and be
 continuing.

 
	
  

 	
  

 
	
 Representations
 and Warranties:

 	
 Representations and warranties which are usual and customary for
 facilities of this type. 

 
	
  

 	
  

 
	
 Covenants:

 	
 Affirmative and negative covenants that are usual and customary for
 facilities of this type.

 
	
  

 	
  

 
	
  

 	
 The negative covenants will include the following exceptions (and
 such others as may be agreed upon):

 
	
  

 	
  

 
	
  

 	
 (i) Restrictions on incurrence of debt: Exceptions to include, among
 others, (a) all scheduled debt of the Borrower and its domestic subsidiaries
 existing on the Closing Date, (b) additional secured debt of the Borrower and
 its subsidiaries in an aggregate principal amount not to exceed $75 million
 at any time, (c) additional secured debt of the foreign subsidiaries of the
 Borrower in an aggregate principal amount not to exceed $75 million at any
 time, (d) additional unsecured debt of the Borrower and its subsidiaries in
 an aggregate principal amount not to exceed $300 million at any time and
 subject to no default 

 

7

	
  

 	
  

 
	
  

 	
 and pro forma compliance with financial covenants, (e) additional
 subordinated debt of the Borrower and its subsidiaries so long as such debt
 is subordinated to the debt under the Revolving Credit Facility on terms and
 conditions reasonably satisfactory to the Administrative Agent and subject to no default and
 pro forma compliance with financial covenants, (f) additional
 unsecured debt of the Borrower and the Guarantors so long as the total
 leverage ratio does not exceed 4.5:1 on a pro forma basis, and subject to no default and
 pro forma compliance with financial covenants, and (g) ESOP loans
 constituting debt of the Borrower in an aggregate principal amount not to
 exceed $50 million;

 
	
  

 	
  

 
	
  

 	
 (ii) Restrictions on liens: Exceptions to include, among others, all
 scheduled liens granted by the Borrower and its subsidiaries (including
 without limitation all foreign subsidiaries) existing on the Closing Date),
 all liens in connection with secured debt to the extent referenced in the
 immediately preceding paragraph relating to exceptions to restrictions on
 debt incurrence, and a general-use basket for additional liens securing debt
 in an amount not to exceed $35 million; 

 
	
  

 	
  

 
	
  

 	
 (iii) Restrictions on dispositions of assets: Exceptions to include,
 among others, sales of inventory in the ordinary course of business, sales of
 obsolete or worn out assets, and an additional general-use basket for asset
 sales not to exceed (together with all other asset sales made in reliance on
 the basket) 17.5% of consolidated total assets as of the immediately
 preceding quarter end for which financial statements are available unless the commitments under
 the Revolving Credit Facility are reduced on a dollar-for-dollar basis by the
 amount of such excess.

 
	
  

 	
  

 
	
  

 	
 (iv) Restrictions on acquisitions and other investments: Exceptions
 to include, among others, permitted acquisitions not to exceed $400 million
 in aggregate acquisition consideration and subject to no default and pro forma compliance with financial
 covenants, and an additional general-use basket for investments not
 exceeding $75 million); and

 
	
  

 	
  

 
	
  

 	
 (v) Restricted payments: Exceptions to include, among others, ability
 to make restricted payments in an aggregate amount of $25 million per fiscal
 year, unless the total leverage ratio does not exceed 3:1 on a pro forma
 basis, in which case restricted payments shall be permitted so long as such
 leverage ratio is not exceeded on a pro forma basis and ESOP purchases in an
 amount not to exceed $10 million per year (provided there shall be no more
 than an aggregate of $50 million in ESOP purchases after 

 

8

	
  

 	
  

 
	
  

 	
 the Closing Date).

 
	
  

 	
  

 
	
 Financial
 Covenants.

 	
 Maximum Senior Secured Leverage Ratio (definition to be agreed) of
 2.75:1.00.

 
	
  

 	
  

 
	
  

 	
 Maximum Total Leverage Ratio (definition to be agreed, but with total
 debt to be calculated net of unrestricted cash and cash equivalents in excess
 of $100 million) of 5.50:1.00, with a step-down to 5.00:1.00 for the last
 fiscal quarter of the fiscal year ending 2012; provided that in the
 event that the Borrower or its subsidiaries complete a permitted acquisition
 and incur debt to finance at least 35% of the consideration therefor, the pro
 forma Total Leverage Ratio shall increase by 0.50x for the 12 months
 following such permitted acquisition. 

 
	
  

 	
  

 
	
  

 	
 Minimum Interest Coverage Ratio (to be defined as the ratio of EBITDA
 to cash interest expense) of 2.75:1.00. 

 
	
  

 	
  

 
	
  

 	
 Maximum Capital Expenditures of $100 million per fiscal year, with
 the ability to carry-forward 50% of unused amounts to the next succeeding
 fiscal year. 

 
	
  

 	
  

 
	
 Events of
 Default:

 	
 Usual and customary for facilities of this type.

 
	
  

 	
  

 
	
 Assignments:

 	
 The Borrower may not assign its rights or obligations under the
 Revolving Credit Facility. Any Lender may assign its rights and obligations
 under the Revolving Credit Facility, subject (other than if an Event of
 Default shall have occurred and be continuing) to the prior written consent
 of the Borrower (not to be unreasonably withheld) and the Administrative
 Agent (not to be unreasonably withheld); provided that no consent of Borrower
 shall be required for an assignment to an existing Lender, an affiliate of an
 existing Lender or an approved fund. The Borrower will be deemed to have
 given its consent if no express refusal is received within 5 business days
 after notice is received by the Borrower. The minimum assignment amount shall
 be $5 million, in each case unless otherwise agreed by the Borrower and the
 Administrative Agent. The Administrative Agent shall receive a processing and
 recordation fee of $3,500 from the relevant assignor in connection with all
 assignments. In addition, each Lender may sell participations in all or a
 portion of its loans and commitments under one or more of the Revolving
 Credit Facility; provided that no purchaser of a participation shall have the
 right to exercise or to cause the selling Lender to exercise voting rights in
 respect of the Revolving Credit Facility (except 

 

9

	
  

 	
  

 
	
  

 	
 as to certain basic issues).

 
	
  

 	
  

 
	
 Waivers and
 Amendments:

 	
 Amendments and waivers of the provisions of the Revolving Loan
 Documents will require the approval of Lenders holding commitments and/or
 outstandings (as applicable) representing more than 50% of the aggregate
 commitments and outstandings under the Revolving Credit Facility from time to
 time (the “Required Lenders”), except that (a) the consent of each Lender
 directly affected thereby will be required with respect to (i) increases in
 commitment amounts, (ii) reductions of principal or interest, (iii)
 extensions of the scheduled final maturity of any Loan, and
 (iv) modifications to the foregoing required voting percentages or to the pro
 rata sharing (except in connection with a prepayment of Loans by the Borrower
 offered ratably to all Lenders at a discount to par, which shall be permitted
 under the Revolving Credit Facility), and (b) the consent of all of the
 Lenders shall be required with respect to releases of all or substantially
 all of the collateral or of all or substantially all of the Guaranties
 provided by the Guarantors.

 
	
  

 	
  

 
	
 Indemnification:

 	
 The documentation for the Revolving Credit Facility will contain
 customary indemnities for the Administrative Agent and the Lenders, in each
 case other than as a result of such person’s gross negligence or willful
 misconduct.

 
	
  

 	
  

 
	
 Governing
 Law and Forum:

 	
 New York. 

 
	
  

 	
  

 
	
 Counsel to
 the Administrative Agent and Lead Arranger:

 	
 Simpson Thacher & Bartlett LLP.

 

10

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00189-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00189-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00189-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00189-of-00352.parquet"}]]