Document:

exhibit101_082212.htm

 

 

 

Exhibit 10.1

 

EXECUTION COPY

COLLATERAL MAINTENANCE AND PRESERVATION AGREEMENT

THIS COLLATERAL MAINTENANCE AND PRESERVATION AGREEMENT (“Agreement”) is made and effective as of the 1st day of August, 2012 (“Effective Date”) by and among NEDAK ETHANOL, LLC, a Nebraska limited liability company (“Borrower”), and AGCOUNTRY FARM CREDIT SERVICES, FLCA (formerly Farm Credit Services of Grand Forks, FLCA) (“Lender”).  Capitalized terms that are not defined in this Agreement shall have the meaning ascribed to the terms in the other Loan Documents (as defined below) unless the context requires otherwise.

R E C I T A L S

A.           Borrower and Lender have entered into that certain Master Credit Agreement dated as of February 14, 2007 (the “Original Master Credit Agreement”), as amended and supplemented by that certain First Supplement to Master Credit Agreement dated as of February 14, 2007, as further amended and supplemented by that certain Second Supplement to Master Credit Agreement dated as of February 14, 2007, as further amended and supplemented by that certain Third Supplement and Forbearance Agreement to Master Credit Agreement dated as of April 11, 2008, as further amended and supplemented by that certain Fourth Supplement and Forbearance Agreement to Master Credit Agreement dated as of March 29, 2009, as further amended and supplemented by that certain Fifth Supplement and Forbearance Agreement to Master Credit Agreement dated as of September 30, 2009, as further amended and supplemented by that certain Sixth Supplement and Forbearance Agreement to Master Credit Agreement dated July 30, 2010, and as further amended and supplemented by that certain Seventh Supplement and Forbearance Agreement dated February 1, 2011 (all of the foregoing, as amended, replaced, restated, modified, or supplemented from time to time, collectively, the “Original Credit Agreement”), that certain Construction and Term Loan Note dated February 17, 2007, in the original aggregate principal amount of Forty-two Million Five Hundred Thousand Dollars ($42,500,000) (as amended, replaced, restated, modified, or supplemented from time to time, the “Original Note”), and the other instruments, assignments, documents and agreements contemplated by or related to the Original Credit Agreement, pursuant to which the Lender has extended certain credit facilities and accommodations to Borrower under the terms and conditions set forth in the Original Credit Agreement (collectively, with the Original Credit Agreement and the Original Note, the “Original Loan Documents”).

B.           Borrower granted Lender a continuing Lien in all of Borrower’s now owned or hereafter acquired right, title and interest in and to any and all of Borrower’s real and personal property assets in order to secure the payment and performance of all Obligations to or arising in favor of Lender under the Loan Documents and otherwise, including, but not limited to, all goods, accounts, equipment, machinery, tooling, general intangibles, inventory, deposit accounts, letter-of-credit rights, commercial tort claims, securities, investment property, contract rights, fixtures and real estate whether now owned or hereafter arising (the foregoing items of collateral and other assets and rights described in the Loan Documents, together with all proceeds of any of the foregoing, collectively referred to herein as the “Collateral”).  Lender duly and timely perfected and recorded its Liens in the Collateral in accordance with applicable law and retains a first priority Lien in the Collateral by virtue thereof.

  

  

 

C.           Borrower defaulted on its obligations to Lender under the Original Credit Agreement and other Original Loan Documents and has, on a number of occasions prior to the date hereof, requested that Lender forbear from exercising its rights and remedies under the Original Master Agreement, the Original Note and the other Original Loan Documents as a result of such defaults in order to afford Borrower a period of time within which to explore various strategic alternatives for restoring financial stability and raising additional capital needed for working capital purposes, debt service and restoring financial stability.  Lender has previously agreed to forbear for certain periods of time pursuant to the terms of various supplements and forbearance agreements.

D.           Borrower subsequently requested that the Original Credit Agreement be amended and restated to restructure and re-document the loans and other credit facilities provided by Lender under the Original Credit Agreement.  On December 31, 2011, Borrower duly executed and delivered to Lender that certain Amended and Restated Master Credit Agreement (the “Amended and Restated Master Agreement”), that certain First Supplement to the Amended and Restated Master Credit Agreement (the “First Supplement” and all of the foregoing, as amended, replaced, restated, modified, or supplemented from time to time, collectively, the “Amended Credit Agreement”), that certain Amended and Restated Term Loan Note in the original aggregate principal amount of Forty-two Million Five Hundred Thousand Dollars ($42,500,000) (as amended, replaced, restated, modified, or supplemented from time to time, the “Amended Note”) and other instruments, assignments, documents and agreements contemplated by or related to the Amended Credit Agreement (including, but not limited to, the Security Agreement, the Deed of Trust and the Collateral Assignments, all of which were specifically reaffirmed except to the extent specifically otherwise agreed or superseded by the Amended and Restated Master Credit Agreement), pursuant to which the Lender has extended certain credit facilities and accommodations to Borrower under the terms and conditions set forth in the Amended Credit Agreement (collectively, with the Amended Credit Agreement and the Amended Note, the “Loan Documents”).  Borrower acknowledges that it received more favorable credit terms and other substantial benefits from the restructured loan transactions and the Loan Documents.

E.           Borrower failed to make the regularly scheduled payments of principal and interest due under the Loan Documents.  On June 11, 2012, Borrower delivered to Lender that certain Notice of Event of Default pursuant to which Borrower advised Lender of the occurrence of multiple material defaults each constituting an Event of Default under the Loan Documents (the “Borrower Default Notice”).  Borrower delivered a similar default notice to the TIF Lender, which default also constitutes a material Event of Default by Borrower under the Amended Loan Documents.  Borrower also advised Lender in connection with the Borrower Default Notice and otherwise that it did not have the ability to pay its debts as they become due, that it intended to cease ordinary operating activities and that Borrower did not have any plans for curing the outstanding Events of Default or access to committed capital from its stakeholders or other sources necessary to cure the Events of Default and provide adequate assurances of future performance.  Borrower has ceased ordinary operational activities and taken steps to idle the plant and suspend normal business activities.

  

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F.           On June 19, 2012, Lender delivered to Borrower a Notice of Continuing Default & Demand for Payment pursuant to which Lender provided notice of the Events of Default, accelerated the Amended Note and demanded the full and immediate payment of all amounts due under the Amended Note (the “Lender Default Notice”).  As of June 19, 2012, the aggregate outstanding balance due and owing to Lender in connection with the Amended Note and other obligations under the Loan Documents was not less than Twenty-four Million Seven Hundred and Eighty-Six Thousand One Hundred and Sixty-Eight Dollars and Ninety-Four Cents ($24,786,168.94), together with interest, attorneys’ fees, costs, expenses and other sums due or becoming due under the Loan Documents (the foregoing amounts and categories of obligations and other amounts and categories of obligations described in or contemplated by the Loan Documents are collectively referred to herein as the “Obligations” or the “Secured Obligations”).  Borrower acknowledges that interest and other charges continue to accrue at the default rate specified in the Loan Documents.

G.           Borrower acknowledges that one or more defaults and Events of Default under the Loan Documents have occurred and remain uncured, including without limitation, the Events of Default described in Recital E through F of this Agreement (the “Defaults”), that such Defaults are material and that while Lender has not availed itself of remedies and actions that it is entitled to, Lender does not waive its right to take such other and further action Lender may deem necessary or desirable at any time, now or in the future, with or without further notice.

H.           Borrower acknowledges the existence of the Defaults and also acknowledges receipt from Lender of the Lender Default Notice and all other notices and information that may be required under the Loan Documents and applicable law.

I.           Notwithstanding the existence of the Defaults, Borrower has requested that Lender consent to the use of cash constituting proceeds of Lender’s Collateral (“Cash Collateral”) and has also requested that Lender make certain additional Advances to or for the benefit of Borrower in order to fund certain budgeted expenses Borrower has determined to be necessary to idle the Project and for the maintenance, protection and preservation of the Collateral (collectively, the “Protective Advances”).

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

1.           Recitals.  Borrower acknowledges and agrees that each of the Recitals and facts set forth in Paragraphs A through I above is true and correct and is incorporated herein by this reference and made a part hereof.

2.           Reaffirmation of the Obligations and the Terms and Undertakings of the Loan Documents and Other Agreements.  Borrower acknowledges and agrees that the Obligations are due and owing to Lender without setoff, defense or counterclaims of any kind whatsoever, and that Borrower is absolutely and unconditionally liable to Lender for the Obligations to the full extent set forth in the Recitals together with any interest and other costs (including attorneys’ fees, expenses and collection costs) that continue to accrue after the date

  

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hereof, and that such liability is not subject to any defense, setoff or counterclaim.  Except as specifically otherwise agreed herein or superseded hereby, Borrower acknowledges and agrees that the terms of the Amended Credit Agreement, the Amended Note, any other Loan Documents, and any other agreements delivered in favor of Lender prior to the date hereof are valid and remain in full force and effect in accordance with their terms, and are hereby reaffirmed and restated effective as of the date hereof as if fully set forth herein.  Without limiting the generality of the foregoing, Borrower acknowledges and reaffirms its obligations and Lender’s rights under Section 8.03 of the Amended and Restated Master Agreement and under the Security Agreement, the Deed of Trust, the Control Agreements and the Collateral Assignments.

3.           Validity and Enforceability of the Master Agreement, Note, Loan Documents and Other Agreements.  Borrower acknowledges and agrees that the Amended and Restated Master Credit Agreement, Amended Note, and any other Loan Documents, are valid, binding and fully enforceable according to their terms.  Any technical defects in the Amended Credit Agreement, the Amended Note or any other Loan Documents, whether known or unknown, are hereby unconditionally and absolutely waived by Borrower.  Borrower hereby waives any and all rules of construction, if any, and arguments that this Agreement and other Loan Documents are to be construed against Lender as a result of its participation in the drafting hereof and thereof.

4.           No Waiver by Lender of Existing Defaults, Rights and Remedies.  Notwithstanding anything herein to the contrary or the transactions contemplated hereby, Borrower is and shall remain liable under the Amended Credit Agreement, the Amended Note and all other Loan Documents.  Nothing in this Agreement or otherwise should or shall be construed as a waiver by Lender of the Defaults or any other existing Events of Default; there is no waiver of any existing defaults, whether such defaults have been specified herein or not.  Lender retains and has not waived any of its rights and remedies set forth in the Amended Credit Agreement, the Amended Note, the other Loan Documents or provided for at law, including without limitation its continuing right to enforce its security interest and Liens in the Collateral or any portion thereof.

5.           Requests for Use of Cash Collateral and Requests for Discretionary Protective Advances; No Commitment.  Borrower has submitted to Lender a budget prepared by Borrower that it represents as being prepared in good faith and based upon reasonable assumptions and includes expenses that it believes to be necessary to maintain, protect and preserve the assets of Borrower constituting Collateral (as may be amended, replaced, restated, modified, or supplemented from time to time the “Budget”).  Borrower acknowledges that Lender has not agreed to fund the expenses set forth in the Budget or otherwise and makes no commitment herein to do so.  Borrower has made and intends to make various requests for authority to use Lender’s Cash Collateral and for Protective Advances consistent with the Budget in all material respects for Lender’s consideration.  Each request for use of Lender’s Cash Collateral and for a Protective Advance shall be made pursuant to a written request delivered to Lender substantially in the form attached hereto as Exhibit A and contain such other information as Lender may require in its sole and absolute discretion (“Draw Request”).  Each Draw Request shall be consistent with the Budget in all material respects.  Lender shall have no obligation of any kind to consent to Borrower’s requests to use of Cash Collateral or make any

  

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Protective Advances.  Any such consent or Advance, to the extent given or made for which there can be no assurance, shall be in the sole and absolute discretion of Lender and nothing contained in the Budget or otherwise shall constitute a commitment on the part of Lender to give any such consent or make any Protective Advance.  No previous consent or funding of any Protective Advance shall constitute a course of dealing or be construed as an express or implied commitment on the part of Lender to consent to other requests by Borrower to use Cash Collateral or make any other Protective Advances.  All Protective Advances shall, unless Lender agrees otherwise, be deposited in Borrower’s existing Deposit Account that is and shall be subject to a Control Agreement in favor of Lender.  All Protective Advances and other payments made or expenses incurred by Lender are and will become part of the Obligations and secured by Liens in the Collateral.  All Protective Advances and all payments made and expenses incurred by Lender will bear Default Interest as specified and set forth in the Loan Documents and shall be recorded by Lender in its records, which, absent manifest error, shall be conclusive evidence of all such advances and payments.

6.           No Agreement on the Part of Lender to Forbear.  Lender has lawfully accelerated the Loan and demanded the immediate payment in full of the Obligations.  Recognizing that Lender retains and has not waived any Defaults or any of its rights and remedies under the Amended Credit Agreement, the Amended Note, the other Loan Documents and provided for at law, the parties understand and agree that Lender has and will continue to have the immediate right to demand payment of the Obligations and future indebtedness and to exercise its enforcement rights under the Amended Credit Agreement, the Amended Note and the other Loan Documents.  Notwithstanding any requests by Borrower for use of Cash Collateral or for Protective Advances that Lender may agree to in its sole and absolute discretion, nothing in this Agreement or otherwise shall constitute a course of dealing or an agreement on the part of Lender to forbear from exercising its enforcement rights or any remedy that may be available, including its rights in and against the Collateral or otherwise under any operative agreement or applicable law.

7.           Representations and Warranties.  Borrower hereby represents and warrants to the Lender as follows:

a.      Corporate Power; Authorization.  Borrower has the full legal power, and has been duly authorized by all requisite corporate or limited liability company action, to execute and deliver this Agreement and the agreements set forth herein or contemplated hereby, and to perform its obligations hereunder and thereunder.  Borrower has duly executed and delivered this Agreement, which agreement constitutes the legal, valid and binding obligation of Borrower, fully enforceable in accordance with its terms.

b.      Accuracy of Financial Information.  All financial information concerning Borrower, Borrower’s operations, and the Collateral, all financial statements, budgets, reports and other records concerning the same provided to Lender as of the date hereof and that may be provided to Lender after the date hereof, has been maintained in a timely, accurate and complete manner in accordance with generally accepted accounting principles, and such information accurately and honestly reflects and represents the capital structure of Borrower, its assets (including the Collateral) and liabilities, and its treatment of the same.

  

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c.      No Violation.  The execution, delivery, and performance of this Agreement do not and will not (i) violate any law, rule, regulation, or court order to which Borrower is subject, or (ii) conflict with or result in a breach of Borrower’s organizational documents or any agreement or instrument to which Borrower is a party or by which its properties are bound.

8.           Covenants.  Borrower hereby agrees and covenants that:

a.      Preservation and Protection of Collateral.  Borrower shall use its best efforts to secure, preserve and protect the Collateral from dissipation, waste or diminution in value and maintain its condition.

b.      Status Reports and Information.  Borrower shall keep Lender informed on a timely basis of matters impacting the maintenance, preservation and security of the Collateral.  Borrower and its officers, representatives and agents shall participate in periodic telephonic or in-person conferences with Lender, as Lender may request, and further agree to provide to Lender status reports and other information concerning Borrower and the Collateral as Lender may request from time to time.

c.      Material Developments.  Borrower’s representatives, professionals and their officers shall promptly advise Lender of any material adverse developments in the business or operations of Borrower or matters that could reasonably be expected to negatively impact Borrower’s Budget or otherwise constituting, with or without the passage of time, a Material Adverse Effect.

d.      Services Agreement.  Borrower will not amend, modify, waive or release any of its rights or any other terms or conditions under that certain Services Agreement that has been or will be entered into by and between Borrower and Energetix, LLC (“Energetix”) without the prior written consent of Lender (the “Services Agreement”).  Borrower hereby authorizes Lender to discuss the Collateral and other matters subject to the scope of the Services Agreement with representatives of Energetix.

 

e.      Further Assurances. Borrower shall execute such other and further documents and instruments and shall take such further action as the Lender may request to implement the provisions of this Agreement, the Amended Credit Agreement, the Amended Note and the other Loan Documents and to perfect the Liens created and evidenced by the Loan Documents and protect and preserve the Collateral (including the value thereof) and Lender’s interests therein.

9.           Agreements Concerning the Collateral.  BORROWER HEREBY RENOUNCES AND WAIVES ALL RIGHTS THAT ARE WAIVEABLE UNDER THE UNIFORM COMMERCIAL CODE AS ENACTED BY THE LAWS OF THE STATE OF NORTH DAKOTA OR ANY OTHER APPLICABLE JURISDICTION OR THAT ARE WAIVEABLE UNDER ANY OTHER APPLICABLE LAW WITH RESPECT TO THE COLLATERAL (INCLUDING ALL NOTICES REQUIRED UNDER THE UNIFORM COMMERCIAL CODE OR OTHERWISE) OR THE EXERCISE BY LENDER OF ANY RIGHT, POWER, REMEDY OR PRIVILEGE WITH RESPECT TO THE COLLATERAL.

  

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WITHOUT LIMITING THE GENERALITY OF THE FOREGOING, BORROWER HEREBY RENOUNCES AND WAIVES RIGHTS (I) TO NOTICE OF DISPOSITION OF THE COLLATERAL, (II) TO ANY HEARING OF ANY KIND PRIOR TO THE EXERCISE BY LENDER OF ITS RIGHT TO REPOSSESS THE COLLATERAL WITHOUT JUDICIAL PROCESS, TO REPLEVY, ATTACH, LEVY OR FORECLOSE UPON THE COLLATERAL, (III) TO REDEMPTION OF THE COLLATERAL, AND (IV) TO REQUIRE MANDATORY DISPOSITION WITHIN A FIXED PERIOD OF TIME.  BORROWER AGREES, TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, THAT BORROWER WILL NOT AT ANY TIME PLEAD, CLAIM OR TAKE THE BENEFIT OF ANY HOMESTEAD, APPRAISEMENT, EVALUATION, STAY OR EXTENSION LAWS NOW OR HEREINAFTER IN FORCE.

10.           No Waiver, Etc.  No failure or delay by Lender in exercising any rights, powers or remedies under this Agreement, the Amended Credit Agreement, the Amended Note, the other Loan Documents, or any other obligations of Borrower to Lender will be a waiver thereof.  The acceptance by Lender of any partial performance as to any duty of performance owed to Lender will not operate to impair Lender’s rights to obtain or demand the full performance thereof.

11.           Release of Claims.  In consideration of this Agreement and other consideration afforded hereby, Borrower hereby fully and finally releases, remises, acquits, and forever discharges, with prejudice, Lender and Lender’s employees, agents, representatives, consultants, attorneys, fiduciaries, servants, officers, directors, partners, members, shareholders, participants, predecessors, successors and assigns, subsidiary corporations, parent corporations, affiliates and related corporate divisions (all of the foregoing hereinafter called the “Released Parties”), from any and all actions and causes of action, judgments, executions, suits, debts, claims, demands, liabilities, obligations, damages, and expenses of any and every character, known or unknown, direct and/or indirect, at law or in equity, of whatsoever kind or nature, whether heretofore or hereafter arising, for or because of any manner or things done, omitted, or suffered to be done by any of the Released Parties prior to and including the date of execution hereof, and in any way directly or indirectly arising out of or in any way connected to this Agreement, the Original Loan Documents, the Amended Credit Agreement, the Amended Note and/or any other Loan Documents, including but not limited to, claims, liabilities or obligations relating to any settlement negotiations, representations, commitments, arrangements, liabilities, offsets or deductions of sums owed to or by Borrower (all of the foregoing hereinafter called the “Released Matters”).  Borrower acknowledges that the agreements in this paragraph are intended to be in full satisfaction of all or any alleged injuries or damages arising in connection with the Released Matters.  Borrower represents and warrants to Lender that it has not purported to transfer, assign, or otherwise convey any right, title, or interest of Borrower in any Released Matter to any other person or entity and that the foregoing constitutes a full and complete release of all Released Matters.

12.           Waiver.  BORROWER HEREBY WAIVES EVERY PRESENT AND FUTURE DEFENSE, CAUSE OF ACTION, COUNTERCLAIM OR SETOFF WHICH BORROWER MAY NOW HAVE OR HEREAFTER MAY HAVE TO ANY ACTION BY LENDER IN ENFORCING OR EXERCISING ANY RIGHT, POWER OR PRIVILEGE UNDER OR IN CONNECTION WITH THIS AGREEMENT OR THE OTHER LOAN DOCUMENTS.

  

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BORROWER RATIFIES AND CONFIRMS WHAT LENDER MAY DO PURSUANT TO THE TERMS OF THIS AGREEMENT OR THE LOAN DOCUMENTS.  THIS PROVISION, AND THE RELEASES SET FORTH IN SECTION 11 OF THIS AGREEMENT, IS A MATERIAL INDUCEMENT FOR LENDER GRANTING ANY FINANCIAL ACCOMMODATION TO BORROWER.

13.           Effect of Acknowledgments.  Any and all acknowledgments contained in this Agreement, including but not limited to those contained in Sections 1, 2, and 3 above, are intended to be and may be construed to be affirmative covenants, representations and warranties of Borrower.

14.           Indemnity and Expenses.  Without limiting any of Borrower’s indemnification and reimbursement obligations under the other Loan Documents, Borrower hereby agrees to indemnify Lender from and against any and all claims, losses and liabilities arising out or relating to this Agreement and/or any of the Obligations.  Borrower will pay Lender on demand all of Lender’s costs, expenses and fees, including but not limited to reasonable attorneys’ fees and of any experts or agents, incurred in connection with the Obligations and the Loan Documents.  Such costs and fees shall include, but not be limited to, unpaid expenses and fees relating to the preparation, execution and performance of this Agreement and any other documents and instruments executed in connection with the Loan Documents or this Agreement, and also including but not limited to expenses and fees relating to the enforcement of the Loan Documents and of any other documents and instruments executed in connection with this Agreement.

15.           Jury Trial Waiver.  EACH OF THE PARTIES TO THIS AGREEMENT HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHTS IT MAY HAVE TO TRIAL BY JURY WITH REGARD TO ANY ACTIONS, CLAIMS, DISPUTES OR PROCEEDINGS DIRECTLY OR INDIRECTLY ARISING OUT OF OR CONNECTED WITH THE LOAN DOCUMENTS, THIS AGREEMENT, OR ANY DOCUMENTS EXECUTED IN CONNECTION WITH THIS AGREEMENT, ANY TRANSACTIONS OR OCCURRENCES ARISING THEREFROM, OR THE ENFORCEMENT AND/OR INTERPRETATION OF ANY OF THE FOREGOING.  EACH OF THE PARTIES HERETO (A) REPRESENTS THAT THIS WAIVER IS KNOWINGLY, WILLINGLY, AND VOLUNTARILY GIVEN; (B) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, AND (C) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS AND TRANSACTIONS CONTEMPLATED HEREBY AND THEREBY BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS, REPRESENTATIONS AND CERTIFICATIONS IN THIS SECTION.

16.           Governing Law; Jurisdiction; Venue; Consent to Services of Process.  Except to the extent governed by applicable Federal Law, this Agreement shall be governed by and construed in accordance with the internal Laws of the State of North Dakota (without giving

  

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effect to the conflicts of laws principles thereof).  The parties hereto consent to the jurisdiction of the state and federal courts located in the State of North Dakota to resolve any and all disputes under this Agreement or otherwise and waive any argument that venue in such forum is inconvenient (all as more specifically set forth in the Section 8.05 of the Amended and Restated Master Agreement, which provision, the parties acknowledge, is applicable to this Agreement as if fully set forth herein).

17.           Advice of Counsel.  Each of the parties to this Agreement has obtained such counsel as each deems appropriate before entering into this Agreement, and each has independently determined to enter into this Agreement and has not relied on any other party hereto (or counsel for such party) with respect to this Agreement.

18.           Entire Agreement.  There are no oral side agreements between Borrower and Lender relative to the terms hereof; the Amended Credit Agreement, the Amended Note, the other Loan Documents and this Agreement, and the documents executed in connection with this Agreement, represent the entire agreement between the parties relative to the subject matter hereof (superseding any prior or contemporaneous agreements or representations affecting the same subject matter) and which cannot be modified except in writing.

19.           Severability.  Any provision of this Agreement which is prohibited or unenforceable will be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining portions of this Agreement.

20.           Headings.  The bold-faced headings at the beginning of each paragraph are for convenience only and are not intended to be part of the substance of this Agreement; any perceived inconsistencies between the heading and the text are to be governed exclusively by the text.

21.           Counterparts.  This Agreement may be executed in facsimile and in any number of counterparts and by different parties to this Agreement in separate counterparts, each of which, when so executed, shall be deemed to be an original and all of which taken together shall constitute one and the same Agreement.

22.           Continuing Effect.  The Amended Credit Agreement, the Amended Note and the other Loan Documents shall remain in full force and effect except to the extent specifically modified or supplemented by this Agreement.

23.           Further Assurances.  Borrower shall execute such other and further documents and instruments and shall take such further action as Lender may reasonably request to implement the provisions of this Agreement and the other Loan Documents.  Without limiting the generality of the foregoing, Borrower agrees to cooperate with Lender in connection the assignment and prosecution of any and all tort claims and commercial tort claims that Borrower may now or hereafter have against any Person.

24.           Reservation of Rights.  NOTHING CONTAINED IN THIS AGREEMENT OR OTHERWISE SHALL BE DEEMED TO CREATE A COURSE OF DEALING OR

  

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OTHERWISE ENTITLE BORROWER TO A CONSENT TO, OR A WAIVER, AMENDMENT, MODIFICATION, OR OTHER CHANGE OF, ANY OF THE TERMS, CONDITIONS, OBLIGATIONS, COVENANTS, OR AGREEMENTS CONTAINED IN THE AMENDED CREDIT AGREEMENT OR ANY OTHER LOAN DOCUMENTS IN SIMILAR OR DIFFERENT CIRCUMSTANCES IN THE FUTURE.  BORROWER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT SHALL NOT BE DEEMED AN AGREEMENT BY LENDER TO MAKE OR RENEW ANY LOANS OR ADVANCES, GRANT ANY FURTHER WAIVERS OR EXTEND ANY FORBEARANCES OR FINANCIAL ACCOMMODATIONS OTHER THAN THOSE SPECIFICALLY CONTAINED HEREIN.

  

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IN WITNESS WHEREOF, the parties hereto, intending to be legally bound, have caused this Agreement to be executed effective as of the date first above written by their duly authorized representatives.

 

	BORROWER:	 	 	 
	 	 	 	 
	NEDAK ETHANOL, LLC	 	 	 

 

 

	By:	/s/ Jerome Fagerland 	 	 
	Name:	Jerome Fagerland 	 	 
	Title: 	Pres. & Gen. Mngr. 	 	 
	 	 	 	 
	 	 	 	 
	By:	/s/ Everett L. Vogel     	 	 
	Name:	Everett L. Vogel 	 	 
	Title:	Board Chair  	 	 

 

 

	LENDER:	 	 	 
	 	 	 	 
	
AGCOUNTRY FARM CREDIT SERVICES, FLCA

	 	 	 

 

 

	By:	/s/ Randolph L. Aberle 	 	 
	Name:	Randolph L. Aberle 	 	 
	Title:	Senior Vice President 	 	 
	 	 

  

S-1

  

Exhibit A

Form of Draw Request

 

DRAW REQUEST

 

AgCountry Farm Credit Services, FLCA

1900 44th Street South

PO Box 6020

Fargo ND 58108

 

	
Attn:

	
Randy Aberle

	
  

	
E-mail: randy.aberle@agcountry.com

	
  

	
Fax: (877) 811-4074

 

	
  

	
Ron Beyer

	
  

	
E-mail: ron.beyer@agcountry.com

 

	
Re:

	
Request for Protective Advance

 

Reference is hereby made to Section 5 of that certain Collateral Maintenance and Preservation Agreement (the “Collateral Maintenance Agreement”) dated as of August 1, 2012, by and between NEDAK Ethanol, LLC (“Borrower”) and AgCountry Farm Credit Services, FLCA (“Lender”).  Capitalized terms used and not otherwise defined herein shall have the meanings prescribed in the Collateral Maintenance Agreement.

 

Subject to the terms and conditions of the Collateral Maintenance Agreement, the Borrower hereby requests the following Protective Advance from the Lender:

 

1.   A Protective Advance from the Lender in the amount of $ [_____________________________ ].

 

2.   The proceeds of the Protective Advance will be used for purposes detailed in the Budget that the Borrower has prepared and submitted for payments identified to be made during the period from [_________] to [__________________].

 

3.   The requested funding date is [_______________________].

The Borrower hereby reaffirms all of the covenants, representations, terms, waivers, releases and agreements set forth in the Collateral Maintenance Agreement as if made and given again as of the date hereof with the intention that Lender shall be entitled to rely upon the same in connection with making each Protective Advance.

 

  

A-1

  

Very truly yours,

 

NEDAK ETHANOL, LLC.

 

	By:	 	 	 
	Name:	Jerome Fagerland  	 	 
	Title:	President and General Manager 	 	 
	Date:	 	 	 

 

cc:           Energetix, LLC - E-mail: mick.miller@energetix.com

Lindquist & Venum PLLP – E-mail: gsinger@lindquist.com

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

A-2ex4-1.htm

 

Exhibit 4.1

 

 

 

OLIN CORPORATION

____________________

5.50% SENIOR NOTES DUE 2022

____________________

THIRD SUPPLEMENTAL INDENTURE

DATED AS OF AUGUST 22, 2012

____________________

U.S. BANK NATIONAL ASSOCIATION,

as Trustee

  

  

  

 

 

TABLE OF CONTENTS

Page

 

	
ARTICLE I

 

DEFINITIONS AND INCORPORATION BY REFERENCE

 

	 	 	 
	
SECTION 1.1

	

Definitions

	
2

	
SECTION 1.2

	
Other Definitions

	
6

	
SECTION 1.3

	

Incorporation by Reference of Trust Indenture Act

	
6

	
SECTION 1.4

	

Rules of Construction

	
6

	 	 	 

 

	
ARTICLE II

 

THE NOTES

 

	  	  	  
	
SECTION 2.1

	
Creation of Series of Securities

	
7

	
SECTION 2.2

	
Terms of the Notes

	
7

	
SECTION 2.3

	
Exchange of Global Notes for Certificated Notes

	
8

	
SECTION 2.4

	
Defaulted Interest

	
9

	  	  	  

 

	
ARTICLE III

 

REDEMPTION

 

	  	  	  
	
SECTION 3.1

	
Special Mandatory Redemption

	
9

	
SECTION 3.2

	
Mandatory Redemption; Sinking Fund

	
9

	
SECTION 3.3

	
Optional Redemption

	
9

	  	  	  

 

	
ARTICLE IV

 

CERTAIN COVENANTS

 

	  	  	  
	
SECTION 4.1

	
Change of Control Repurchase Event

	
10

	
SECTION 4.2

	
Payment of Notes

	
11

	
SECTION 4.3

	
Certain Amendments to the Base Indenture

	
11

	  	  	  

 

	
ARTICLE V

 

DEFAULTS AND REMEDIES

 

	  	  	  
	
SECTION 5.1

	
Events of Default

	
12

	
SECTION 5.2

	
Acceleration

	
13

	
SECTION 5.3

	
Waiver of Past Defaults

	
13

	
SECTION 5.4

	
Control by Majority

	
14

	
SECTION 5.5

	
Rights of Holders of Notes to Receive Payment

	
14

	  	  	  

 

 

 

  

-i-

  

 

 

	
ARTICLE VI

 

DEFEASANCE AND COVENANT DEFEASANCE

 

	  	  	  
	
SECTION 6.1

	
Option to Effect Defeasance or Covenant Defeasance

	
14

	
SECTION 6.2

	
Defeasance and Discharge

	
14

	
SECTION 6.3

	
Covenant Defeasance

	
15

	
SECTION 6.4

	
Conditions to Defeasance or Covenant Defeasance

	
16

	
SECTION 6.5

	
Deposited Money and Government Securities to Be Held in Trust; Other Miscellaneous Provisions

	
17

	
SECTION 6.6

	
Repayment to Company

	
18

	
SECTION 6.7

	
Reinstatement

	
18

	  	  	  

 

	
ARTICLE VII

 

CONCERNING THE TRUSTEE

 

	 	 	 
	
SECTION 7.1

	
Separate Trustee Designation

	
18

	
SECTION 7.2

	
Reports by Company

	
18

	
SECTION 7.3

	
Certain Rights of Trustee

	
19

	  	  	  

 

	
ARTICLE VIII

 

AMENDMENT, SUPPLEMENT AND WAIVER

 

	 	 	 
	
SECTION 8.1

	
Without Consent of Holders of the Notes

	
19

	
SECTION 8.2

	
With Consent of Holders of Notes

	
20

	
SECTION 8.3

	
Compliance with Trust Indenture Act

	
21

	
SECTION 8.4

	
Revocation and Effect of Consents

	
21

	
SECTION 8.5

	
Notation on or Exchange of Notes

	
21

	
SECTION 8.6

	
Trustee to Sign Amendments, Etc.

	
21

	  	  	  

 

	
ARTICLE IX

 

APPLICATION OF THIRD SUPPLEMENTAL INDENTURE

AND CREATION OF THE INITIAL NOTES

 

	 	 	 
	
SECTION 9.1

	
Application of This Third Supplemental Indenture

	
22

	
SECTION 9.2

	
Effect of Third Supplemental Indenture

	
22

	  	  	  

 

 

 

  

-ii-

  

 

 

 

	
ARTICLE X

 

MISCELLANEOUS

 

	 	 	 
	
SECTION 10.1

	
The Third Supplemental Indenture

	
23

	
SECTION 10.2

	
Counterparts

	
23

	
SECTION 10.3

	
Recitals

	
23

	
SECTION 10.4

	
Effect of Headings

	
23

	
SECTION 10.5

	
Indenture and Notes To Be Construed in Accordance with the Laws of the State of New York

	
23

	  	  	  

 

 

EXHIBITS

	
Exhibit A

	
FORM OF 5.50% SENIOR NOTE

 

 

 

 

  

-iii-

  

 

 

THIRD SUPPLEMENTAL INDENTURE (this “Third Supplemental Indenture”), dated as of August 22, 2012, by and between Olin Corporation, a Virginia corporation (the “Company”), and U.S. Bank National Association, as trustee (in such capacity, and solely with respect to the series of Debt Securities provided for herein, the “Trustee”).

WHEREAS, the Company, The Bank of New York Mellon Trust Company, N.A., (the “Original Trustee”) and the Trustee entered into a Second Supplemental Indenture (the “Second Supplemental Indenture”), dated as of August 9, 2012, which supplemented and amended the Indenture, dated as of August 19, 2009, between the Company and the Original Trustee (such Indenture, as supplemented and amended by the Second Supplemental Indenture, the “Base Indenture”);

WHEREAS, Sections 2.01, 2.03 and 10.01 of the Base Indenture provide, among other things, that the Company and the Trustee may enter into a supplemental indenture to the Base Indenture for, among other things, the purpose of establishing the designation, form, terms and provisions of Debt Securities (as defined in the Base Indenture) of any series as permitted by Sections 2.01, 2.03 and 10.01 of the Base Indenture;

WHEREAS, on the date hereof the Company desires to establish and issue a new series of Debt Securities, to be designated as the Company’s 5.50% Senior Notes due 2022 (the “Initial Notes”) pursuant to the Base Indenture, as supplemented and amended by this Third Supplemental Indenture, which Notes (as defined below) shall be senior unsecured obligations of the Company;

WHEREAS, the Company desires to designate and appoint U.S. Bank National Association to serve as Trustee under the Indenture with respect to the Notes in the manner contemplated by Section 201 of the Second Supplemental Indenture, with the effect of causing the Notes to constitute a Designated Series (as defined in the Second Supplemental Indenture) for all purposes of the Indenture; and

WHEREAS, the Company desires to enter into a supplemental indenture pursuant to Sections 2.01, 2.03 and 10.01 of the Base Indenture to establish the designation, form, terms and provisions of the Notes and to make deletions, modifications and additions to the Base Indenture pertaining to the Notes, as contemplated by Sections 2.01, 2.03 and 10.01 of the Base Indenture.

NOW, THEREFORE, in consideration of the foregoing, the parties hereto, for the benefit of each other and for the equal and proportionate benefit of the other parties and for the equal and ratable benefit of the Holders of (i) the Initial Notes and (ii) Additional Notes (as defined herein), if any, issued from time to time (together with the Initial Notes, the “Notes”), hereby enter into this Third Supplemental Indenture, which amends, modifies, supplements and restates (as applicable) the Base Indenture with respect to (and only with respect to) the Notes, as follows:

 

 

  

  

  

 

 

ARTICLE I

 

DEFINITIONS AND INCORPORATION BY REFERENCE

SECTION 1.1          Definitions.

“Acquisition” means the acquisition of all the voting and non-voting common stock of K. A. Steel Chemicals Inc.

“Acquisition Agreement” means the Stock Purchase Agreement dated as of July 17, 2012, among the Company, K. A. Steel Chemicals Inc., each of the stockholders of K. A. Steel Chemicals Inc. and Robert F. Steel, as it may be amended, modified or otherwise supplemented in accordance with its terms.

“Additional Notes” means Notes (other than the Initial Notes), if any, issued pursuant to Article II hereof and otherwise in compliance with the provisions of this Third Supplemental Indenture.

“Bankruptcy Law” means Title 11 of the U.S. Code or any similar federal or state bankruptcy, insolvency or similar law.

“Below Investment Grade Rating Event” means the Notes are rated below Investment Grade by both Rating Agencies on any date from the date of the public notice of an arrangement that could result in a Change of Control until the end of the 60-day period following public notice of the occurrence of a Change of Control (which period shall be extended so long as the rating of the Notes is under publicly announced consideration for possible downgrade by either of the Rating Agencies).

“Board of Directors” means (i) with respect to the Company or any Subsidiary, its board of directors or any duly authorized committee thereof; (ii) with respect to a corporation, the board of directors of such corporation or any duly authorized committee thereof; and (iii) with respect to any other entity, the board of directors or similar body of the general partner or managers of such entity or any duly authorized committee thereof.

“Business Day” means each day that is not a Legal Holiday.

“Capital Stock” means any and all shares, interests, participations or other equivalents (however designated) of capital stock of a corporation, any and all equivalent ownership interests in a Person (other than a corporation) and any and all warrants or options to purchase any of the foregoing.

“Certificated Notes” means Notes that are in the form of Exhibit A attached hereto, other than the Global Notes.

“Change of Control” means the occurrence of any of the following:

(i)           the direct or indirect sale, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially all of the Company’s properties or assets and those of the Company’s Subsidiaries, taken as a whole, to any “person” (as that term is used in Section 13(d)(3) of the Exchange Act), other than the Company or one of the Company’s wholly owned Subsidiaries;

 

 

 

  

2

  

 

 

(ii)          the adoption of a plan relating to the Company’s liquidation or dissolution;

(iii)         the consummation of any transaction (including, without limitation, any merger or consolidation) the result of which is that any “person” (as that term is used in Section 13(d)(3) of the Exchange Act), other than the Company or one of the Company’s wholly owned Subsidiaries, becomes the beneficial owner, directly or indirectly, of more than 50% of the Company’s Voting Stock, measured by voting power rather than number of shares; or

(iv)         the first day on which a majority of the members of the Board of Directors of the Company are not Continuing Directors.

Notwithstanding the foregoing, a transaction effected to create a holding company for the Company will not be deemed to involve a Change of Control if (a) pursuant to such transaction the Company becomes a wholly owned Subsidiary of such holding company and (b) the holders of the Voting Stock of such holding company immediately following such transaction are the same as the holders of the Company’s Voting Stock immediately prior to such transaction.

“Change of Control Repurchase Event” means the occurrence of a Change of Control and a Below Investment Grade Rating Event. The Company will promptly give written notice to the Trustee of any Change of Control Repurchase Event.

“Code” means the Internal Revenue Code of 1986, as amended.

“Commission” means the Securities and Exchange Commission and any successor thereto.

“Company” has the meaning set forth in the preamble hereto until a successor replaces it in accordance with the applicable provisions of this Third Supplemental Indenture and, thereafter, means the successor thereto.

“Continuing Directors” means, as of any date of determination, any member of the Board of Directors of the Company who (i) was a member of the Board of Directors of the Company on the first date that any of the Notes were issued or (ii) was nominated for election or elected to the Company’s Board of Directors with the approval of a majority of the Continuing Directors who were members of the Board of Directors of the Company at the time of such nomination or election.

“Debt” means any notes, bonds, debentures or other similar evidences of indebtedness for money borrowed, issued, assumed or guaranteed by the Company.

“Default” means any event that is, or after notice or passage of time, or both, would be, an Event of Default.

 

 

 

  

3

  

 

“Depositary” means, with respect to the Notes issuable or issued in whole or in part in global form, the Person specified in the Base Indenture as the Depositary with respect to the Notes, until a successor shall have been appointed and become such pursuant to the Base Indenture, and, thereafter, “Depositary” shall mean or include such successor.

“Exchange Act” means the Securities Exchange Act of 1934, as amended.

“GAAP” means generally accepted accounting principles in the United States, consistently applied, as set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board, or in such other statements by such other entity as may be approved by a significant segment of the accounting profession of the United States, which are in effect as of the Issue Date.

“Global Note Legend” means the legend identified as such in Section 2.15(a) of the Base Indenture.

“Global Notes” means the Notes in global form and registered in the name of the Depositary or its nominee that are in the form of Exhibit A attached hereto.

“Holder” means a Person in whose name a Note is registered in the security register.

“Indenture” means the Base Indenture, as amended and supplemented by this Third Supplemental Indenture and any other supplemental indentures thereto.

“Investment Grade” means a rating of Baa3 or better by Moody’s (or its equivalent under any successor rating categories of Moody’s) and BBB- or better by S&P (or its equivalent under any successor rating categories of S&P) (or, in each case, if such Rating Agency ceases to rate the Notes for reasons outside of the Company’s control, the equivalent investment grade credit rating from any Rating Agency selected by the Company as a replacement Rating Agency).

“Issue Date” means August 22, 2012.

“Legal Holiday” means a Saturday, a Sunday or a day on which banking institutions are not required by law, regulation or executive order to be open in the State of New York.

“Moody’s” means Moody’s Investors Services, Inc. and any successor to its rating agency business.

“Mortgage” means any mortgage, lien, pledge or other encumbrance issued, assumed or guaranteed by us.

“Officer” means, with respect to any Person, the Chairman of the Board, the Chief Executive Officer, the President, the Chief Operating Officer, the Chief Financial Officer, the Treasurer, any Assistant Treasurer, the Controller, the Secretary, any Assistant Secretary or any Vice-President of such Person.

 

 

  

4

  

 

“Officers’ Certificate” means a certificate signed by two Officers of the Company, one of whom must be the principal executive officer, the principal financial officer or the principal accounting officer of the Company.

“Opinion of Counsel” means an opinion from legal counsel who is reasonably acceptable to the Trustee, and which opinion shall be addressed to the Trustee in its capacity as such, and shall comply with any applicable provisions herein.  The counsel may be an employee of or counsel to the Company or any Subsidiary of the Company.

“Paying Agent” means any Person authorized by the Company to pay the principal of, premium, if any, or interest on, or redemption, purchase, retirement, defeasance, covenant defeasance or similar payment with respect to, any Notes on behalf of the Company.

“Person” means any individual, corporation, limited liability company, partnership, joint venture, trust, unincorporated organization or government or any agency or political subdivision thereof.

 

“Prospectus Supplement” means the Prospectus Supplement dated August 9, 2012 to the Prospectus dated December 12, 2011, relating to the initial offering and sale of the Notes.

“Rating Agency” means (i) each of Moody’s and S&P and (ii) if either of Moody’s or S&P ceases to rate the Notes or fails to make a rating of the Notes publicly available for reasons outside of the Company’s control, a “nationally recognized statistical rating organization” within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act selected by us as a replacement agency for Moody’s or S&P, or both, as the case may be.

“S&P” means Standard & Poor’s Ratings Services, a division of McGraw-Hill, Inc.

“Significant Subsidiary” has the meaning set forth in Rule 1-02 of Regulation S-X promulgated by the Commission.

“Stated Maturity,” when used with respect to (i) any Note or any installment of interest thereon, means the date specified in such Note as the fixed date on which the principal amount of such Note or such installment of interest is due and payable and (ii) any other indebtedness or any installment of interest thereon, means the date specified in the instrument governing such indebtedness as the fixed date on which the principal of such indebtedness or such installment of interest is due and payable.

“Subsidiary” means any corporation, association or other business entity of which more than 50%, by number of votes, of the Voting Stock is at the time directly or indirectly owned by the Company.

 

 

  

5

  

 

 

“TIA” means the Trust Indenture Act of 1939 (15 U.S. Code §§ 77aaa-77bbbb), as amended, as in effect on the date hereof.

“Trustee” has the meaning set forth in the recitals to this Third Supplemental Indenture until a successor replaces it in accordance with the applicable provisions of this Third Supplemental Indenture and the Base Indenture and, thereafter, means the successor.

“Voting Stock” of a person means all classes of Capital Stock of such person then outstanding and normally entitled (without regard to the occurrence of any contingency) to vote in the election of directors (or persons performing similar functions).

SECTION 1.2          Other Definitions.

	
Term

 

	
    Defined in Section

 

	
“Base Indenture”

	
Recitals

	
“Debt Securities”

	
Recitals

	
“Event of Default”

	
5.1

	
“Initial Notes”

	
Recitals

	
“Notes”

	
Recitals

	
“Original Trustee”

	
Recitals

	
“Special Mandatory Redemption”

	
3.1

	
“Third Supplemental Indenture”

	
Recitals

	
“Trigger Date”

	
3.1

SECTION 1.3          Incorporation by Reference of Trust Indenture Act.  This Third Supplemental Indenture is subject to the mandatory provisions of the TIA which are incorporated by reference in, and made a part of, this Third Supplemental Indenture with respect to (and only with respect to) the Notes. Whenever this Third Supplemental Indenture refers to a provision of the TIA, the provision is incorporated by reference in, and made a part of, this Third Supplemental Indenture.

The following TIA term has the following meaning:

“obligor” on the Notes means the Company and any successor obligor upon the Notes.

All other terms used in this Third Supplemental Indenture that are defined by the TIA, defined by TIA reference to another statute or defined by the Commission rule under the TIA have the meanings so assigned to them therein.

SECTION 1.4          Rules of Construction.  Unless the context otherwise requires, for purposes of this Third Supplemental Indenture:

 

	 	(1) 	a term has the meaning assigned to it herein; 
	 	 	 
	 	(2) 	an accounting term not otherwise defined herein has the meaning assigned to it in accordance with GAAP or a successor to GAAP; 
	 	 	 
	 	(3) 	“or” is not exclusive; 

 

 

  

6

  

          

	 	(4) 	words in the singular include the plural, and in the plural include the singular;
	 	 	 
	 	(5) 	unless otherwise specified, any reference to a Section or an Article refers to such Section or Article of this Third Supplemental Indenture; 
	 	 	 
	 	(6) 	provisions apply to successive events and transactions; and 
	 	 	 
	 	(7) 	references to sections of or rules under the Exchange Act or the TIA shall be deemed to include substitute, replacement or successor sections or rules adopted by the Commission from time to time. 

 

ARTICLE II

 

THE NOTES

SECTION 2.1          Creation of Series of Securities.  Pursuant to Section 2.03 of the Base Indenture, there is hereby created a new series of Debt Securities designated as the “5.50% Senior Notes due 2022” in an unlimited aggregate principal amount.  On the Issue Date, the Company will issue $200,000,000 in aggregate principal amount of the Notes.

SECTION 2.2          Terms of the Notes.  Pursuant to Section 2.01 of the Base Indenture, the Notes shall be substantially in the form annexed hereto as Exhibit A.  The terms and provisions contained in the form of the Notes annexed hereto as Exhibit A shall constitute, and are hereby expressly made, a part of this Third Supplemental Indenture.  The Company shall be entitled to issue Additional Notes under this Third Supplemental Indenture that shall have identical terms and conditions as the Initial Notes, other than with respect to the date of issuance and, if issued after February 15, 2013, the date from which interest thereon will begin to accrue.  The Initial Notes issued on the Issue Date and any Additional Notes shall be part of the same series as the Initial Notes and will be treated as a single class for all purposes under this Third Supplemental Indenture and the Base Indenture.  The Initial Notes issued on the Issue Date will be represented by one or more Global Notes in the name of Cede & Co., as a nominee of the Depositary, The Depository Trust Company.  The Notes shall be in initial denominations of $2,000 and any integral multiple of $1,000 in excess thereof.

With respect to any Additional Notes, in addition to any other requirements set forth in the Base Indenture, the Company shall set forth in an Officers’ Certificate, a copy of which shall be delivered to the Trustee, the following information:

(i)             the aggregate principal amount of such Additional Notes to be authenticated and delivered pursuant to this Third Supplemental Indenture;

(ii)            the issue price, the issue date and the CUSIP number of such Additional Notes; provided, however, that no Additional Notes may be issued at a price that would cause such Additional Notes to have “original issue discount” within the meaning of Section 1273 of the Code; and

 

 

  

7

  

 

(iii)           whether such Additional Notes will be issued as Global Notes or as Certificated Notes and whether and to what extent the Additional Notes will contain additional legends.

SECTION 2.3          Exchange of Global Notes for Certificated Notes.  Section 2.15 of the Base Indenture is hereby supplemented, solely with respect to that series of Debt Securities which consists of the Notes, to add the following provisions:

(i)             Transfers of Interests in Global Notes for Certificated Notes.  A Global Note may not be transferred as a whole except by the Depositary to a nominee of the Depositary or by the Depositary to a successor Depositary or a nominee of such successor Depositary.  Global Notes shall be exchanged by the Company for Certificated Notes if (i) the Depositary (a) notifies the Company that it is unwilling or unable to continue as depositary for the Global Notes or (b) has ceased to be a clearing agency registered under the Exchange Act and, in each case, a successor depositary is not appointed; (ii) the Company, at its option, notifies the Trustee in writing that it elects to cause the issuance of the Certificated Notes; or (iii) there has occurred and is continuing an Event of Default with respect to the Notes entitling the Holder to accelerate the maturity of the Notes.  Upon the occurrence of either of the preceding events in (i), (ii) or (iii) above, Certificated Notes shall be issued in such names as the Depositary shall instruct the Trustee.  Global Notes also may be exchanged or replaced, in whole or in part, as provided in Sections 2.08 and 2.09 of the Base Indenture. Every Note authenticated and delivered in exchange for, or in lieu of, a Global Note or any portion thereof, pursuant to the first sentence of this paragraph (i) or Section 2.08 or 2.09 of the Base Indenture, shall be authenticated and delivered in the form of, and shall be, a Global Note.  A Global Note may not be exchanged for another Note other than as provided in this paragraph (i).

(ii)            Legends.  Each Global Note issued under this Third Supplemental Indenture shall bear a legend in substantially the form as specified in Section 2.15 of the Base Indenture and any other appropriate legends specified in an Officers’ Certificate.

(iii)           Cancellation and/or Adjustment of Global Notes.  At such time as all beneficial interests in a particular Global Note have been exchanged for Certificated Notes or a particular Global Note has been redeemed, repurchased or canceled in whole and not in part, each such Global Note will be returned to or retained and canceled by the Trustee in accordance with Section 2.10 of the Base Indenture.  At any time prior to such cancellation, if any beneficial interest in a Global Note is exchanged for or transferred to a Person who will take delivery thereof in the form of a beneficial interest in another Global Note or for Certificated Notes, the principal amount of Notes represented by such Global Note shall be reduced accordingly and an endorsement shall be made on such Global Note by the Trustee or by the Depositary at the direction of the Trustee to reflect such reduction; and if the beneficial interest is being exchanged for or transferred to a Person who shall take delivery thereof in the form of a beneficial interest in another Global Note, such other Global Note shall be increased accordingly and an endorsement shall be made on such Global Note by the Trustee or by the Depositary at the direction of the Trustee to reflect such increase.

 

 

 

  

8

  

 

 

SECTION 2.4          Defaulted Interest.  If the Company defaults in a payment of interest on the Notes, it shall pay the defaulted interest in any lawful manner to the Persons who are Holders on a subsequent special record date, which date shall be at the earliest practicable date but in all events at least five (5) Business Days prior to the payment date.  The Company shall fix or cause to be fixed each such special record date and payment date and shall promptly thereafter notify the Trustee of any such date.  At least fifteen (15) days before the special record date, the Company (or the Trustee, in the name and at the expense of the Company) shall deliver or cause to be delivered to Holders a notice that states the special record date, the related payment date and the amount of such interest to be paid.

 

ARTICLE III

 

REDEMPTION

SECTION 3.1          Special Mandatory Redemption.  The Base Indenture is hereby supplemented, solely with respect to that series of Debt Securities which consists of the Notes, to add the mandatory redemption provision set forth in this Section 3.1 with respect to the Notes.  The Notes will be subject to a mandatory redemption (the “Special Mandatory Redemption”) in the event that either (i) the Acquisition is not consummated on or prior to November 20, 2012 or (ii) the Acquisition Agreement is terminated prior to November 20, 2012 (any such date, a “Trigger Date”).  If a Trigger Date occurs, the Company shall cause a notice of redemption to be mailed to each Holder at its registered address and to the Trustee promptly, but in any event not later than five Business Days after the Trigger Date, and will redeem the Notes on the date specified in the notice of redemption (which shall be no later than five Business Days following the date of such notice). The aggregate redemption price for any Special Mandatory Redemption will be equal to the aggregate initial offering price of the Notes as shown on the cover page of the Prospectus Supplement, together with accrued interest on the Notes from the Issue Date up to, but not including, the date of the Special Mandatory Redemption.  It is hereby acknowledged that the Acquisition was consummated on the Issue Date.

SECTION 3.2          Mandatory Redemption; Sinking Fund.  Except as provided in Section 3.1, the Company shall not be required to make mandatory redemption or sinking fund payments with respect to the Notes.

SECTION 3.3          Optional Redemption.  The Base Indenture is hereby supplemented, solely with respect to that series of Debt Securities which consists of the Notes, to add the optional redemption provisions set forth in Exhibit A hereto with respect to the Notes.

 

 

  

9

  

 

 

ARTICLE IV

 

CERTAIN COVENANTS

SECTION 4.1          Change of Control Repurchase Event.  The Base Indenture is hereby supplemented, solely with respect to that series of Debt Securities which consists of the Notes, to add the covenant set forth in this Section 4.1 with respect to the Notes.  If a Change of Control Repurchase Event occurs, unless the Company has exercised its right to redeem the Notes as provided in the Indenture, the Company will make an offer to each Holder of Notes to repurchase all or any part (in integral multiples of $1,000 principal amount) of that Holder’s Notes at a repurchase price in cash equal to 101% of the aggregate principal amount of Notes repurchased plus any accrued and unpaid interest on the Notes repurchased to the date of purchase.  Within 30 days following any Change of Control Repurchase Event or, at the Company’s option, prior to any Change of Control, but after a definitive agreement is in place for a Change of Control, the Company will mail a notice to each Holder, and provide notice to the Trustee, describing the transaction or transactions that constitute or may constitute the Change of Control Repurchase Event and offering to repurchase Notes on the payment date specified in the notice, which date will be no earlier than 30 days and no later than 60 days from the date such notice is mailed.  The notice shall, if mailed prior to the date of consummation of the Change of Control, state that the offer to purchase is conditioned on the Change of Control Repurchase Event occurring on or prior to the payment date specified in the notice.  The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and regulations thereunder to the extent those laws and regulations are applicable in connection with the repurchase of the Notes as a result of a Change of Control Repurchase Event.  To the extent that the provisions of any securities laws or regulations conflict with the Change of Control Repurchase Event provisions of the Notes, the Company will comply with the applicable securities laws and regulations and will not be deemed to have breached its obligations under the Change of Control Repurchase Event provisions of the Notes by virtue of such conflict.

On the Change of Control Repurchase Event payment date, the Company will, to the extent lawful:

(A)           accept for payment all Notes or portions of Notes properly tendered pursuant to the Company’s offer;

(B)           deposit with the Paying Agent an amount equal to the aggregate purchase price in respect of all Notes or portions of Notes properly tendered; and

(C)           deliver or cause to be delivered to the Trustee the Notes properly accepted, together with an Officers’ Certificate stating the aggregate principal amount of Notes being purchased by the Company.

The Paying Agent will promptly mail to each Holder of Notes properly tendered the purchase price for the Notes, and the Company will execute and direct the Trustee to promptly authenticate and mail (or cause to be transferred by book-entry) to each Holder a new Note equal in principal amount to any unpurchased portion of any Notes surrendered; provided that each new Note will be in a principal amount of $2,000 or an integral multiple of $1,000 in excess thereof.

The Company will not be required to make an offer to repurchase the Notes upon a Change of Control Repurchase Event if a third party makes an offer in the manner, at the times and otherwise in compliance with the requirements for an offer made by the Company and such third party purchases all Notes properly tendered and not withdrawn under its offer.

 

 

  

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SECTION 4.2          Payment of Notes.  The Company shall pay or cause to be paid the principal of, premium, if any, and interest on the Notes on the dates and in the manner provided in the Notes.  Principal, premium, if any, and interest shall be considered paid for all purposes hereunder on the date the Paying Agent, if other than the Company or a Subsidiary thereof, holds, as of 12:00 noon (New York City time), money deposited by the Company in immediately available funds and designated for and sufficient to pay all such principal, premium, if any, and interest then due.

SECTION 4.3          Certain Amendments to the Base Indenture.

(a)           Section 4.05(b) and Section 4.06(b) of the Base Indenture are hereby each amended, solely with respect to that series of Debt Securities which consists of the Notes, by replacing the phrase “exceed the greater of (x) 10% of Consolidated Net Tangible Assets and (y) $300 million” at the end thereof with “exceed 10% of Consolidated Net Tangible Assets”.

(b)           Section 4.05(c)(1)(a)(i) of the Base Indenture is hereby amended, solely with respect to that series of Debt Securities which consists of the Notes, by replacing the entirety of the text appearing in said Section 4.05(c)(1)(a)(i) with “[reserved]”.

(c)           Section 5.03 of the Base Indenture is hereby amended, solely with respect to the series of Debt Securities which consists of the Notes, by replacing the entirety of said Section 5.03 with the following:

“Whether or not required by the Commission, so long as any Notes are outstanding, the Company shall furnish to the Holders, or file electronically with the Commission through the Commission’s Electronic Data Gathering, Analysis and Retrieval System (or any successor system), within the time periods specified in the Commission’s rules and regulations:  (1) all quarterly and annual financial information that would be required to be contained in a filing with the Commission on Forms 10-Q and 10-K if the Company were required to file such Forms, including a “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and, with respect to the annual information only, a report on the annual financial statements by the Company’s certified independent accountants; and (2) all current reports that would be required to be filed with the Commission on Form 8-K if the Company were required to file such reports.  In addition, whether or not required by the Commission, the Company shall file a copy of all of the information and reports referred to in clauses (1) and (2) above with the Commission for public availability within the time periods specified in the Commission’s rules and regulations (unless the Commission will not accept such a filing) and make such information available to prospective investors.  For so long as any Notes remain outstanding, the Company shall furnish to the Holders and to prospective investors, upon their request, the information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act of 1933, as amended.”

 

 

  

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(d)           Section 11.01 of the Base Indenture is hereby amended, solely with respect to that series of Debt Securities which consists of the Notes, by replacing the first reference to “corporation” therein with “Person” and by replacing the second reference to “corporation” therein with “Person (if other than the Company)”.

 

ARTICLE V

 

DEFAULTS AND REMEDIES

SECTION 5.1          Events of Default.  Each of the following constitutes an “Event of Default”:

(1)            default in the payment in respect of the principal of (or premium, if any, on) any Note when due and payable (whether at Stated Maturity or upon repurchase, acceleration, optional redemption or otherwise);

(2)            default in the payment of any interest upon any Note when it becomes due and payable, and continuance of such default for a period of 30 days;

(3)            default in the performance, or breach, of any covenant or agreement of the Company or any Subsidiary in the Indenture (other than a covenant or agreement a default in whose performance or whose breach is specifically dealt with in clauses (1) or (2) above), and continuance of such default or breach for a period of 60 days after written notice thereof has been given to the Company by the Trustee or to the Company and the Trustee by the Holders of at least 25% in aggregate principal amount of the outstanding Notes (provided that, and without limiting the foregoing in this clause (3), in the case of a default or breach of any covenant or agreement set forth in Section 5.03 of the Base Indenture (as amended by this Third Supplemental Indenture), no Event of Default shall occur (and any such default or breach shall be deemed to not have occurred for all purposes under the Indenture) with respect to any failure to furnish or file any information or report required thereunder if the Company files or furnishes such information or report within 120 days after the Company was required (or would have been required) to file the same pursuant to the Commission’s rules and regulations);

(4)            (i) the Company or any Significant Subsidiary, pursuant to or within the meaning of any Bankruptcy Law:

 (a)           commences a voluntary case,

 

 

  

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 (b)           consents to the entry of an order for relief against it in an involuntary case,

 (c)           consents to the appointment of a custodian of it or for all or substantially all of its property,

 (d)           makes a general assignment for the benefit of its creditors, or

 (e)           generally is not paying its debts as they become due; or

(ii)            a court of competent jurisdiction enters an order or decree under any Bankruptcy Law that:

 (a)           is for relief against the Company or any Significant Subsidiary, in an involuntary case;

 (b)           appoints a custodian of the Company or any Significant Subsidiary for all or substantially all of the property of the Company or any of its Significant Subsidiaries; or

 (c)           orders the liquidation of the Company or any Significant Subsidiary;

and the order or decree remains unstayed and in effect for 60 consecutive days.

SECTION 5.2          Acceleration.  If an Event of Default (other than an Event of Default specified in clause (4) of Section 5.1 with respect to the Company) occurs and is continuing, then and in every such case the Trustee or the Holders of not less than 25% in aggregate principal amount of the outstanding Notes may declare the principal of the Notes and any accrued interest on the Notes to be due and payable immediately by a notice in writing to the Company (and to the Trustee if given by Holders); provided, however, that after such acceleration, but before a judgment or decree based on acceleration, the Holders of a majority in aggregate principal amount of the outstanding Notes may rescind and annul such acceleration if all Events of Default, other than the nonpayment of accelerated principal of or interest on the Notes, have been cured or waived as provided in the Indenture.

If an Event of Default specified in clause (4) of Section 5.1 occurs with respect to the Company, the principal of and any accrued interest on the Notes then outstanding shall ipso facto become immediately due and payable without any declaration or other act on the part of the Trustee or any Holder.

SECTION 5.3          Waiver of Past Defaults.  The Holders of not less than a majority in aggregate principal amount of the Notes then outstanding by notice to the Trustee may on behalf of the Holders of all of the Notes waive any existing Default or Event of Default with respect to the Notes and its consequences under this Third Supplemental Indenture except any such Default or Event of Default (1) in any payment in respect of the principal of (or premium, if any) or interest on any Notes, or (2) in respect of a covenant or provision of the Indenture or this Third Supplemental Indenture which under the terms hereof or thereof cannot be modified or amended without the consent of the Holder of each outstanding Note affected, which in either case shall require the consent of all of the Holders of the Notes then outstanding.

 

 

  

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SECTION 5.4          Control by Majority.  The Holders of a majority in aggregate principal amount of the then outstanding Notes may direct the time, method and place of conducting any proceeding for exercising any remedy available to the Trustee or exercising any trust power conferred on it.  However, (i) the Trustee may refuse to follow any direction that conflicts with law or this Third Supplemental Indenture, that the Trustee determines may be unduly prejudicial to the rights of other Holders or that may involve the Trustee in personal liability, and (ii) the Trustee may take any other action deemed proper by the Trustee which is not inconsistent with such direction.

SECTION 5.5          Rights of Holders of Notes to Receive Payment.  Notwithstanding any other provision of this Third Supplemental Indenture, the right of any Holder to receive payment of principal, premium, if any, and interest on or after the respective due dates expressed in the Note (including in connection with an offer to purchase), or to bring suit for the enforcement of any such payment on or after such respective dates, shall not be impaired or affected without the consent of such Holder.

 

ARTICLE VI

 

DEFEASANCE AND COVENANT DEFEASANCE

SECTION 6.1          Option to Effect Defeasance or Covenant Defeasance.  The Company may, at the option of its Board of Directors evidenced by a resolution of its Board of Directors set forth in an Officers’ Certificate, at any time, elect to have either Section 6.2(a) or 6.3 hereof applied to all outstanding Notes upon compliance with the conditions set forth below in this Article VI.

SECTION 6.2          Defeasance and Discharge.  (a)  Upon the Company’s exercise under Section 6.1 hereof of the option applicable to this Section 6.2(a), the Company shall, subject to the satisfaction of the conditions set forth in Section 6.4 hereof, be deemed to have been discharged from its obligations with respect to all outstanding Notes on the date the conditions set forth below are satisfied (hereinafter, “defeasance”).  For this purpose, defeasance means that the Company shall be deemed to have paid and discharged the entire Debt represented by the outstanding Notes, which shall thereafter be deemed to be “outstanding” only for the purposes of Section 6.5 hereof and the other Sections of the Indenture referred to in clauses (a) and (b) below, and to have satisfied all of its other obligations under such Notes and, to the extent related to such Notes, the Indenture (and the Trustee, on demand of and at the expense of the Company, shall execute proper instruments acknowledging the same), except for the following provisions which shall survive until otherwise terminated or discharged hereunder:  (a) the rights of Holders of outstanding Notes to receive payments in respect of the principal of, premium, if any, and interest, if any, on such Notes when such payments are due from the trust referred to in Section 6.4(l) hereof; (b) the Company’s obligations with respect to such Notes under Sections 2.04, 2.05, 2.07, 2.08, 2.09, 4.02 and 4.04 of the Base Indenture; (c) the rights, powers, trusts, benefits and immunities of the Trustee, including, without limitation thereunder, under Section 7.06 of the Base Indenture and Sections 6.5 and 6.7 hereof and the Company’s obligations in connection therewith; (d) the Company’s rights under the optional redemption provisions of the Notes; and (e) the provisions of this Article VI.  Subject to compliance with this Article VI, the Company may exercise its option under this Section 6.2(a) notwithstanding the prior exercise of its option under Section 6.3 hereof.

 

 

  

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(b)           The Company may terminate its obligations under the Indenture with respect to the Notes when:

(1)            either:  (A) all Notes theretofore authenticated and delivered have been delivered to the Trustee for cancellation, or (B) all such Notes not theretofore delivered to the Trustee for cancellation (i) have become due and payable or (ii) will become due and payable within one year or are to be called for redemption within one year (a “Discharge”) under irrevocable arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the expense, of the Company, and the Company has irrevocably deposited or caused to be deposited with the Trustee funds in an amount sufficient to pay and discharge the entire indebtedness on the Notes, not theretofore delivered to the Trustee for cancellation, for principal of, premium, if any, and interest to the Stated Maturity or date fixed for redemption;

(2)            the Company has paid or caused to be paid all other sums then due and payable under the Indenture by the Company with respect to the Notes;

(3)            the deposit will not result in a breach or violation of, or constitute a default under, any other instrument to which the Company is a party or by which the Company is bound;

(4)            the Company has delivered irrevocable instructions to the Trustee under the Indenture to apply the deposited money toward the payment of the Notes at maturity or on the date fixed for redemption, as the case may be; and

(5)            the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel each stating that all conditions precedent under the Indenture relating to the Discharge have been complied with.

SECTION 6.3          Covenant Defeasance.  Upon the Company’s exercise under Section 6.1 hereof of the option applicable to this Section 6.3, the Company shall, subject to the satisfaction of the conditions set forth in Section 6.4 hereof, be released from its obligations under the covenants contained in Sections 4.05, 4.06 and 5.03 of the Base Indenture (as amended hereby) and Sections 3.1 and 4.1 hereof with respect to the outstanding Notes on and after the date the conditions set forth below are satisfied (hereinafter, “covenant defeasance”), and the Notes shall thereafter be deemed not “outstanding” for the purposes of any direction, waiver, consent or declaration or act of Holders (and the consequences of any thereof) in connection with such covenants, but shall continue to be deemed “outstanding” for all other purposes hereunder (it being understood that such Notes shall not be deemed outstanding for accounting purposes).  For this purpose, covenant defeasance means that, with respect to the outstanding Notes, the Company or any of its Subsidiaries may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in any such covenant, whether directly or indirectly, by reason of any reference elsewhere herein to any such covenant or by reason of any reference in any such covenant to any other provision herein or in any other document and such omission to comply shall not constitute a Default or an Event of Default with respect to the Notes, but, except as specified above, the remainder of the Indenture and such Notes shall be unaffected thereby.  In addition, upon the Company’s exercise under Section 6.1 hereof of the option applicable to this Section 6.3, subject to the satisfaction of the conditions set forth in Section 6.4 hereof, Section 5.1(3) (with respect to any Significant Subsidiary) hereof shall not constitute an Event of Default with respect to the Notes.

 

 

  

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SECTION 6.4          Conditions to Defeasance or Covenant Defeasance.  The following shall be the conditions to the application of either Section 6.2(a) or 6.3 hereof to the outstanding Notes:

In order to exercise either defeasance or covenant defeasance with respect to the Notes:

(1)            the Company must irrevocably have deposited or caused to be deposited with the Trustee as trust funds in trust for the purpose of making the following payments, specifically pledged as security for, and dedicated solely to the benefits of the Holders of such Notes:  (A) money in an amount, or (B) U.S. Government Obligations (as defined in the Base Indenture) which through the scheduled payment of principal and interest in respect thereof in accordance with their terms will provide, not later than the due date of any payment, money in an amount or (C) a combination thereof, in each case sufficient without reinvestment, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay and discharge, and which shall be applied by the Trustee to pay and discharge, the entire indebtedness in respect of the principal of and premium, if any, and interest on such Notes on the Stated Maturity thereof or (if the Company has made irrevocable arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name and at the expense of the Company) the redemption date thereof, as the case may be, in accordance with the terms of the Indenture and such Notes;

(2)            in the case of defeasance, the Company shall have delivered to the Trustee an Opinion of Counsel stating that (A) the Company has received from, or there has been published by, the Internal Revenue Service a ruling or (B) since the date of the Third Supplemental Indenture, there has been a change in the applicable United States federal income tax law, in either case (A) or (B) to the effect that, and based thereon such opinion shall confirm that, the Holders of such Notes will not recognize gain or loss for United States federal income tax purposes as a result of the deposit, defeasance and discharge to be effected with respect to such Notes and will be subject to United States federal income tax on the same amount, in the same manner and at the same times as would be the case if such deposit, defeasance and discharge were not to occur;

(3)            in the case of covenant defeasance, the Company shall have delivered to the Trustee an Opinion of Counsel to the effect that the Holders of such outstanding Notes will not recognize gain or loss for United States federal income tax purposes as a result of the deposit and covenant defeasance to be effected with respect to such Notes and will be subject to federal income tax on the same amount, in the same manner and at the same times as would be the case if such deposit and covenant defeasance were not to occur;

 

 

  

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(4)            no Default with respect to the outstanding Notes shall have occurred and be continuing at the time of such deposit after giving effect thereto (other than a Default resulting from the borrowing of funds to be applied to such deposit and the grant of any Mortgage to secure such borrowing);

(5)            such defeasance or covenant defeasance shall not result in a breach or violation of, or constitute a default under, any material agreement or material instrument (other than the Indenture) to which the Company is a party or by which the Company is bound; and

(6)            the Company shall have delivered to the Trustee an Officers’ Certificate and an Opinion of Counsel, each stating that all conditions precedent with respect to such defeasance or covenant defeasance have been complied with.

Notwithstanding the foregoing, the Opinion of Counsel required by clause (2) or (3) above with respect to a defeasance need not to be delivered if all Notes not theretofore delivered to the Trustee for cancellation (x) have become due and payable, or (y) will become due and payable at Stated Maturity within one year or are to be called for redemption under irrevocable arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the expense, of the Company.

SECTION 6.5          Deposited Money and Government Securities to Be Held in Trust; Other Miscellaneous Provisions.  Subject to Section 6.6 hereof, all money and non-callable U.S. Government Obligations (including the proceeds thereof) deposited with the Trustee (or other qualifying trustee, collectively for purposes of this Section 6.5, the “Trustee”) pursuant to Section 6.4 hereof in respect of the outstanding Notes shall be held in trust, shall not be invested, and applied by the Trustee, in accordance with the provisions of such Notes and the Indenture, to the payment, either directly or through any Paying Agent (including the Company or any Subsidiary acting as Paying Agent) as the Trustee may determine, to the Holders of such Notes of all sums due and to become due thereon in respect of principal, premium, if any, and interest, but such money need not be segregated from other funds except to the extent required by law.

The Company shall pay and indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the cash or non-callable U.S. Government Obligations deposited pursuant to Section 6.4 hereof or the principal and interest received in respect thereof other than any such tax, fee or other charge which by law is for the account of the Holders of the outstanding Notes.

Anything in this Article VI to the contrary notwithstanding, the Trustee shall deliver or pay to the Company from time to time upon the written request of the Company and be relieved of all liability with respect to any money or non-callable U.S. Government Obligations held by it as provided in Section 6.4 hereof which, in the opinion of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the Trustee (which may be the opinion delivered under Section 6.4(1) hereof), are in excess of the amount thereof that would then be required to be deposited to effect an equivalent defeasance or covenant defeasance.

 

 

  

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SECTION 6.6          Repayment to Company.  Any money deposited with the Trustee or any Paying Agent, or then held by the Company, in trust for the payment of the principal of, premium, if any, or interest, if any, on any Note and remaining unclaimed for one year after such principal and premium, if any, or interest has become due and payable shall be paid to the Company on its written request or (if then held by the Company) shall be discharged from such trust; and the Holder of such Note shall thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and all liability of the Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as trustee thereof, shall thereupon cease; provided, however, that the Trustee or such Paying Agent, before being required to make any such repayment, may at the expense of the Company cause to be published once, in The New York Times and The Wall Street Journal (national edition), notice that such money remains unclaimed and that, after a date specified therein, which shall not be less than 30 days from the date of such notification or publication, any unclaimed balance of such money then remaining shall be repaid to the Company.

SECTION 6.7          Reinstatement.  If the Trustee or Paying Agent is unable to apply any United States dollars or non-callable U.S. Government Obligations in accordance with Section 6.2(b) or 6.3 hereof, as the case may be, by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, then the obligations of the Company under the Indenture and the Notes shall be revived and reinstated as though no deposit had occurred pursuant to Section 6.2(b) or 6.3 hereof until such time as the Trustee or Paying Agent is permitted to apply all such money in accordance with Section 6.2(b) or 6.3 hereof, as the case may be; provided, however, that, if the Company makes any payment of principal of, premium, if any, or interest on any Note following the reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of such Notes to receive such payment from the money held by the Trustee or Paying Agent.

 

ARTICLE VII

 

CONCERNING THE TRUSTEE

SECTION 7.1          Separate Trustee Designation.  The Company hereby designates and appoints U.S. Bank National Association, and, subject to the other applicable provisions of the Base Indenture and this Third Supplemental Indenture, its successors and assigns to serve as trustee with respect to that series of Debt Securities which consists of the Notes.  The foregoing shall constitute the designation and appointment contemplated by Section 201 of the Second Supplemental Indenture, and the Notes shall constitute a “Designated Series” for all purposes of the Indenture.

SECTION 7.2          Reports by Company.  Section 5.04 of the Base Indenture is hereby amended, solely with respect to that series of Debt Securities which consists of the Notes, to add the following provision as a new clause (d):

(d) Delivery of the reports, information and documents to the Trustee required under Section 5.04 of the Base Indenture is for informational purposes only and the Trustee’s receipt of such shall not constitute actual or constructive knowledge or notice of any information contained therein or determinable from information contained therein, including the Company’s compliance with any of its covenants hereunder (as to which the Trustee is entitled to rely exclusively on Officers’ Certificates).

 

 

  

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SECTION 7.3          Certain Rights of Trustee.  Section 7.02 of the Base Indenture is hereby amended, solely with respect to that series of Debt Securities which consists of the Notes, to add the following provisions as a new clause (i) and (j):

(i) the rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and each agent, custodian and other Person employed to act hereunder; and

(j) anything in the Indenture notwithstanding, in no event shall the Trustee be liable for special, indirect, punitive or consequential loss or damage of any kind whatsoever (including but not limited to loss of profit), even if the Trustee has been advised as to the likelihood of such loss or damage and regardless of the form of action.

 

ARTICLE VIII

 

AMENDMENT, SUPPLEMENT AND WAIVER

SECTION 8.1          Without Consent of Holders of the Notes.  Notwithstanding Section 8.2 of this Third Supplemental Indenture, without the consent of any Holders, the Company and the Trustee, at any time and from time to time, may enter into one or more indentures supplemental to the Indenture for any of the following purposes with respect to the Notes (and only with respect to the Notes):

 

	 	(1) 	to evidence the succession of another Person to the Company and the assumption by any such successor of the covenants of the Company in 
	    the Indenture and the Notes;
	 
	 	(2) 	to add to the covenants of the Company for the benefit of the Holders, or to surrender any right or power herein conferred upon the Company;
	 	 	 
	 	(3) 	to add additional Events of Default;
	 	 	 
	 	(4) 	to provide for uncertificated Notes in addition to or in place of the certificated Notes; 
	 	 	 
	 	(5)	to evidence and provide for the acceptance of appointment under the Indenture by a successor Trustee; 
	 	 	 
	 	(6)	to provide for or confirm the issuance of additional debt securities in accordance with the terms of the Indenture; 
	 	 	 
	 	(7) 	to add a guarantor or to release a guarantor in accordance with the Indenture; 

 

 

  

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(8)            to cure any ambiguity, defect, omission, mistake or inconsistency;

(9)            to make any other provisions with respect to matters or questions arising under the Indenture; provided, however, that such actions pursuant to this clause (9) shall not adversely affect the interests of the Holders of the Notes in any material respect, as determined in good faith by the Board of Directors of the Company;

(10)          to conform the text of this Third Supplemental Indenture or the Notes to any provision of the “Description of Notes” in the Prospectus Supplement to the extent that the Trustee has received an Officers’ Certificate stating that such text constitutes an unintended conflict with the description of the corresponding provision in said “Description of Notes”; or

(11)          to effect or maintain the qualification of the Indenture under the TIA.

SECTION 8.2          With Consent of Holders of Notes.  With the consent of the Holders of not less than a majority in aggregate principal amount of the outstanding Notes, the Company and the Trustee may enter into an indenture or indentures supplemental to the Indenture for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of the Indenture applicable to the Notes or of the Notes or of modifying in any manner the rights of the Holders under the Indenture, including the definitions therein, in each case with respect to the Notes (and only with respect to the Notes); provided, however, that no such supplemental indenture shall, without the consent of the Holder of each outstanding Note affected thereby:

(1)            change the Stated Maturity of any Note or of any installment of interest on any Note, or reduce the amount payable in respect of the principal thereof or the rate of interest thereon or any premium payable thereon, or reduce the amount that would be due and payable on acceleration of the maturity thereof, or change the place of payment where, or the coin or currency in which, any Note or any premium or interest thereon is payable, or impair the right to institute suit for the enforcement of any such payment on or after the Stated Maturity thereof, or change the date on which any Notes may be subject to redemption or reduce the redemption price therefor;

(2)            reduce the percentage in aggregate principal amount of the outstanding Notes, the consent of whose Holders is required for any such supplemental indenture, or the consent of whose Holders is required for any waiver (of compliance with certain provisions of the Indenture or certain defaults thereunder and their consequences) provided for in the Indenture;

(3)            modify the obligations of the Company to make offers to purchase upon a Change of Control Repurchase Event if such modification was done after the occurrence of the related Change of Control;

(4)            modify or change any provision of the Indenture affecting the ranking of the Notes in a manner adverse to the Holders of the Notes; or

(5)            modify any of the provisions of this paragraph or provisions relating to waiver of defaults or certain covenants, except to increase any such percentage required for such actions or to provide that certain other provisions of the Indenture cannot be modified or waived without the consent of the Holder of each outstanding Note affected thereby.

 

 

  

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SECTION 8.3          Compliance with Trust Indenture Act.  Every amendment or supplement to the Indenture or the Notes shall be set forth in an amended or supplemental indenture that complies with the TIA as then in effect.

SECTION 8.4          Revocation and Effect of Consents.  Until an amendment, supplement or waiver becomes effective, a consent to it by a Holder of a Note is a continuing consent by the Holder and every subsequent Holder of that Note or portion of the Note that evidences the same debt as the consenting Holder’s Note, even if notation of the consent is not made on the Note.  However, any such Holder or subsequent Holder may revoke the consent as to its Note if the Trustee receives written notice of revocation before the date the waiver, supplement or amendment becomes effective.  When an amendment, supplement or waiver becomes effective in accordance with its terms, it thereafter binds every Holder.

The Company may, but shall not be obligated to, fix a record date for determining which Holders consent to such amendment, supplement or waiver.  If the Company fixes a record date, the record date shall be fixed at (i) the later of 30 days prior to the first solicitation of such consent or the date of the most recent list of Holders furnished for the Trustee prior to such solicitation pursuant to Section 5.01 of the Base Indenture or (ii) such other date as the Company shall designate.

SECTION 8.5          Notation on or Exchange of Notes.  The Trustee may place an appropriate notation about an amendment, supplement or waiver on any Note thereafter authenticated.  The Company in exchange for all Notes may issue and the Trustee shall authenticate new Notes that reflect the amendment, supplement or waiver.

Failure to make the appropriate notation or issue a new Note shall not affect the validity and effect of such amendment, supplement or waiver.

After any amendment, supplement or waiver becomes effective, the Company shall mail to Holders a notice briefly describing such amendment, supplement or waiver.  The failure to give such notice shall not affect the validity and effect of such amendment, supplement or waiver.

SECTION 8.6          Trustee to Sign Amendments, Etc.  The Trustee shall sign any amended or supplemental indenture authorized pursuant to this Article VIII if the amendment or supplement does not adversely affect the rights, duties, liabilities or immunities of the Trustee.  In signing or refusing to sign any amendment or supplemental indenture the Trustee shall be entitled to receive and (subject to Section 7.01 of the Base Indenture) shall be fully protected in relying upon an Officers’ Certificate and an Opinion of Counsel stating that the execution of such amendment or supplemental indenture is authorized or permitted by this Third Supplemental Indenture, that all conditions precedent thereto have been met or waived, that such amendment or supplemental indenture is not inconsistent herewith, and that it will be valid and binding upon the Company in accordance with its terms.

 

 

  

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ARTICLE IX

 

APPLICATION OF THIRD SUPPLEMENTAL INDENTURE

AND CREATION OF THE INITIAL NOTES

SECTION 9.1          Application of This Third Supplemental Indenture.  Notwithstanding any other provision of this Third Supplemental Indenture, the provisions of this Third Supplemental Indenture, including as provided in Section 9.2 below, are expressly and solely for the benefit of the Trustee and the Holders of the Notes.  The Initial Notes constitute a series of Debt Securities as provided in Section 2.03 of the Base Indenture.  Unless otherwise expressly specified, references in this Third Supplemental Indenture to specific Article numbers or Section numbers refer to Articles and Sections contained in this Third Supplemental Indenture, and not the Base Indenture or any other document.

SECTION 9.2          Effect of Third Supplemental Indenture.  With respect to the Notes (and only with respect to the Notes), the Base Indenture shall be supplemented pursuant to Section 10.01(f) thereof to establish the terms of the Notes as set forth in this Third Supplemental Indenture, including, without limitation, as follows:

(i)             Definitions.  The definition of each term set forth in Section 1.01 of the Base Indenture is with respect to the Notes (and only with respect to the Notes) deleted and replaced in its entirety by the definition ascribed to such term in Article I of this Third Supplemental Indenture to the extent any such term is defined in both the Base Indenture and this Third Supplemental Indenture;

(ii)            Provisions of General Application; Security Forms and Transfer and Exchange.  The provisions of Article Two of the Base Indenture are, with respect to the Notes (and only with respect to the Notes), hereby supplemented by and shall be in addition to the provisions of Article II of this Third Supplemental Indenture;

(iii)           Satisfaction and Discharge.  The provisions of Article Twelve of the Base Indenture are, with respect to the Notes (and only with respect to the Notes), deleted and replaced in their entirety by the provisions of Article VI of this Third Supplemental Indenture;

(iv)           Events of Default.  The provisions of Section 6.01 and Section 6.06 of the Base Indenture are, with respect to the Notes (and only with respect to the Notes), deleted and replaced in their entirety by the provisions of Article V of this Third Supplemental Indenture;

(v)            Supplemental Indentures.  The provisions of Article Ten (other than Section 10.03) of the Base Indenture are, with respect to the Notes (and only with respect to the Notes), deleted and replaced in their entirety by the provisions of Article VIII of this Third Supplemental Indenture; and

(vi)           Form of Note.  Exhibit A of this Third Supplemental Indenture, with respect to the Notes (and only with respect to the Notes), shall be Exhibit A to the Base Indenture.

 

 

  

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To the extent that the provisions of this Third Supplemental Indenture (including those referred to in clauses (i) through (vi) above) conflict with any provision of the Base Indenture, the provisions of this Third Supplemental Indenture shall govern and be controlling, with respect to the Notes (and only with respect to the Notes).

Except as set forth in this Third Supplemental Indenture, the provisions of the Base Indenture shall remain in full force and effect with respect to the Notes.

 

ARTICLE X

 

MISCELLANEOUS

SECTION 10.1        The Third Supplemental Indenture.  The Base Indenture, as amended and modified by this Third Supplemental Indenture, hereby is in all respects ratified, confirmed and approved.  This Third Supplemental Indenture shall be construed in connection with and as part of the Base Indenture.

SECTION 10.2        Counterparts.  This Third Supplemental Indenture may be executed in any number of counterparts, each of which shall be an original; but such counterparts shall together constitute but one and the same instrument.  The exchange of copies of this Third Supplemental Indenture and of signature pages by facsimile or electronic format (i.e., “pdf” or “tif”) transmission shall constitute effective execution and delivery of this Third Supplemental Indenture as to the parties hereto and may be used in lieu of the original Third Supplemental Indenture for all purposes.  Signatures of the parties hereto transmitted by facsimile or electronic format (i.e., “pdf” or “tif”) shall be deemed to be their original signatures for all purposes.

SECTION 10.3        Recitals.  The recitals contained herein shall be taken as the statements of the Company, and the Trustee assumes no responsibility for their correctness.  The Trustee makes no representation as to the validity or sufficiency of this Third Supplemental Indenture or of the Notes.

SECTION 10.4        Effect of Headings.  The Section headings herein are for convenience only and shall not affect the construction hereof.

SECTION 10.5        Indenture and Notes To Be Construed in Accordance with the Laws of the State of New York.  This Third Supplemental Indenture and each Note shall be deemed to be a New York contract and for all purposes shall be construed in accordance with the laws of said state.

The Trustee hereby accepts the trusts in this Third Supplemental Indenture declared and provided, upon the terms and conditions hereinabove set forth.

[Signatures on following page]

 

 

  

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IN WITNESS WHEREOF, the parties hereto have caused this Third Supplemental Indenture to be duly executed as of the date first above written.

 

 

	 	OLIN CORPORATION	 
	 	 	 	 
	
 

	
By: 

	/s/ Stephen C. Curley	 
	 	 	Name:  Stephen C. Curley	 
	 	 	Title:    Vice President and Treasurer	 
	 	 	 	 

	 	 	 
	 	 	 	 
	
 

	
By: 

	/s/ Todd A. Slater	 
	 	 	Name:  Todd A. Slater	 
	 	 	Title:    Vice President, Finance and Controller	 
	 	 	 	 

 

	 	U.S. BANK NATIONAL ASSOCIATION, 

as Trustee	 
	 	 	 	 
	
 

	
By: 

	/s/ Rebekah A. Foltz	 
	 	 	Name: Rebekah A. Foltz	 
	 	 	Title:   Vice President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00207-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00207-of-00352.parquet"}]]