Document:

Exhibit 10.2

 

EXECUTION COPY

 

THIRD AMENDMENT
 TO
 MASTER REPURCHASE AGREEMENT

 

THIRD AMENDMENT, dated as of April 13, 2012 (the “Amendment”), to the Master Repurchase Agreement dated as of December 3, 2010, as amended by that certain First Amendment to Master Repurchase Agreement dated as of April 8, 2011, and as further amended by that certain Second Amendment to Master Repurchase Agreement dated as of June 30, 2011 (the “Existing Master Repurchase Agreement”), by and among Excel Mortgage Servicing, Inc., a California corporation, with an address at 19500 Jamboree Road #400, Irvine, California 92612, as a seller (“Excel”), AmeriHome Mortgage Corporation, a Michigan corporation, with an address at 2141 W. Bristol Road, Flint, Michigan 48507, as a seller (“AmeriHome”) (Excel and AmeriHome are individually and collectively referred to herein as “Seller”), and Customers Bank, a Pennsylvania state-chartered bank, with an address at 99 Bridge Street, Phoenixville, Pennsylvania 19460 (the “Buyer”).

 

RECITALS

 

The Seller has requested the Buyer to agree to amend the Existing Master Repurchase Agreement as set forth in this Amendment.  The Buyer is willing to agree to such amendment, but only on the terms and subject to the conditions set forth in this Amendment.

 

NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Seller and the Buyer hereby agree as follows:

 

ARTICLE I
 DEFINITIONS

 

Definitions.  Unless otherwise indicated, capitalized terms that are used but not defined herein shall have the meanings ascribed to them in the Existing Master Repurchase Agreement.

 

ARTICLE II
 AMENDMENT

 

1.                                      The following definitions contained in Section 1 (Definitions) of the Existing Master Repurchase Agreement are hereby deleted and replaced in their entirety by the following:

 

“Adjusted Tangible Net Worth” means, at any date, GAAP Net Worth minus the net book value of all items of the following characteristics which are included in the assets of the Seller: (1) goodwill, patent rights, licenses and similar intangible assets, (2) notes and accounts receivable due from officers, stockholders, employees or other related entities, (3) subscribed stock, and (4) other assets which may be deemed reasonably unacceptable by the Buyer.  The following assets are specifically excluded:  (1)(a) the value of capitalized servicing rights that 

 

 

exceeds 0.75% of the unpaid principal balance of the mortgage loans in the servicing portfolio or (b) if the capitalized servicing rights have a third party valuation, then the value of capitalized servicing rights that exceeds the lesser of such third party valuation of the capitalized servicing rights or 1.0% of the unpaid principal balance of the mortgage loans in the servicing portfolio, and (2) REO including land (Real Estate Owned).  Any third party valuation of capitalized servicing rights must be acceptable to Buyer in its reasonable judgment.

 

“Maximum Aggregate Purchase Price” means Thirty Eight Million Five Hundred Thousand and 00/100 Dollars ($38,500,000.00).

 

2.                                      The definition of “Tangible Net Worth” contained in Section 1 (Definitions) of the Existing Master Repurchase Agreement is hereby deleted.

 

ARTICLE III
 RETROACTIVITY

 

The definition of Adjusted Tangible Net Worth shall be effective as of December 3, 2010.

 

ARTICLE IV
 REPRESENTATIONS AND WARRANTIES

 

All representations and warranties contained in the Existing Master Repurchase Agreement are true and correct as of the date of this Amendment (except to the extent that any of such representations and warranties expressly relate to an earlier date).

 

ARTICLE V
 MISCELLANEOUS

 

1.                                      Ratification.  Except as expressly affected by the provisions hereof, the Existing Master Repurchase Agreement, as amended, shall remain in full force and effect in accordance with its terms and ratified and confirmed by the parties hereto.  On and after the date hereof, each reference in the Existing Master Repurchase Agreement to “the Agreement”, “hereunder”, “herein” or words of like import shall mean and be a reference to the Agreement as amended by this Amendment.

 

2.                                      Limited Scope.  This Amendment is specific to the circumstances described above and does not imply any future amendment or waiver of rights of the Buyer and the Seller under the Existing Master Repurchase Agreement.

 

3.                                      Severability.  Any provisions of this Amendment which are prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

 

2

 

4.                                      Caption.  The captions in the Amendment are for convenience of reference only and shall not define or limit any of the terms or provisions hereof.

 

5.                                      Counterparts.  This Amendment may be executed in any number of counterparts, each of which counterparts shall be deemed to be an original, and such counterparts shall constitute but one and the same instrument.

 

6.                                      Applicable Law.  THIS AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK.

 

[SIGNATURES COMMENCE ON THE FOLLOWING PAGE]

 

3

 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed as of the day and year first above written.

 

 

	
ATTEST:
    	
 
    	
CUSTOMERS   BANK
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/   J. Christopher Black
    	
 
    	
By:
    	
/s/   Glenn Hedde
    
	
Name:
    	
J.   Christopher Black
    	
 
    	
Name:
    	
Glenn   Hedde
    
	
Title:
    	
Senior   Vice President
    	
 
    	
Title:
    	
President,   Warehouse Lending
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
ATTEST:
    	
 
    	
EXCEL   MORTGAGE SERVICING, INC.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/   Ron Morrison
    	
 
    	
By:
    	
/s/   William Ashmore
    
	
Name:
    	
Ron   Morrison
    	
 
    	
Name:
    	
William   Ashmore
    
	
Title:
    	
Executive   Vice President & 
    	
 
    	
Title:
    	
President
    
	
 
    	
General   Counsel
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
ATTEST:
    	
 
    	
AMERIHOME   MORTGAGE CORPORATION
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/   Ron Morrison
    	
 
    	
By:
    	
/s/   William Ashmore
    
	
Name:
    	
Ron   Morrison
    	
 
    	
Name:
    	
William   Ashmore
    
	
Title:
    	
Executive   Vice President & 
    	
 
    	
Title:
    	
President
    
	
 
    	
General   Counsel
    	
 
    	
 
    	
 
    

 

Signature Page to Third Amendment to Master Repurchase AgreementExhibit 10.3

 

May 1, 2012

 

	
Excel Mortgage Servicing, Inc.
    	
 
    	
AmeriHome Mortgage Corporation
    
	
19500 Jamboree Road
    	
 
    	
19500 Jamboree Road
    
	
Irvine, CA 92162
    	
 
    	
Irvine, CA 92162
    
	
 
    	
 
    	
 
    
	
Integrated Real Estate Service Corporation
    	
 
    	
 
    
	
19500 Jamboree Road
    	
 
    	
 
    
	
Irvine, CA 92162
    	
 
    	
 
    

 

Re:  First Amendment to Master Repurchase Agreement and Pricing Letter (“First Amendment”).

 

This First Amendment is made this 1st day of May, 2012, by and among, Excel Mortgage Servicing, Inc. and AmeriHome Mortgage Corporation (each a “Seller” and collectively the “Sellers”), Integrated Real Estate Service Corporation (the “Guarantor”) and EverBank (“Buyer”), to the Master Repurchase Agreement dated August 31, 2011 (the “Repurchase Agreement”) and the Pricing Letter dated August 31, 2011 (the “Pricing Letter”)  The Repurchase Agreement and Pricing Letter are sometimes hereinafter collectively referred to as the “Agreement.”

 

WHEREAS, Sellers and Guarantor requested that Buyer amend the Agreement; and

 

WHEREAS, Sellers, Guarantor and Buyer have agreed to amend the Agreement as set forth herein.

 

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

 

SECTION 1.                            Amendments.

 

(a)                                 The following definitions contained in the Pricing Letter are hereby amended and restated in their entirety as follows:

 

“Approved Mortgage Product” shall mean the following mortgage products approved by Buyer for Transactions under the Agreement:  Conforming Mortgage Loans, Eligible Government Mortgage Loans, Jumbo Mortgage Loans, Eligible Correspondent Mortgage Loans and High LTV VA Refinance Loans.  In no event shall an Ineligible Product be an Approved Mortgage Product.

 

 

“Concentration Limit” as of any date of determination, with respect to the Eligible Mortgage Loans included in any Concentration Category, the applicable amount which the aggregate Purchase Price for such Eligible Mortgage Loans may not at any time exceed, as set forth in the below table.

 

	
Concentration Category
    	
 
    	
Concentration Limit
   (percentages based on
   Maximum Purchase
   Amount)
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Aged Loans
    	
 
    	
5
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Wet Mortgage Loans
    	
 
    	
40
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Jumbo Loans
    	
 
    	
10
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Eligible Correspondent   Loans
    	
 
    	
10
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
High LTV VA Refinance   Loans
    	
 
    	
10
    	
%
    

 

“Eligible Government Mortgage Loan” shall mean a Government Mortgage Loan, other than a High LTV VA Refinance Loan, which has a FICO score of at least 620.

 

“Ineligible Product” shall mean any mortgage product that is not an Approved Mortgage Product.  Unless approved by Buyer in writing in advance on a case-by-case basis and subject to additional documentation, “Ineligible Product” shall also mean any Mortgage Loans with respect to which any Mortgagor thereunder is a shareholder, director, officer, or employee of Seller or an Affiliate, or a Relative of any of the foregoing.

 

“Maximum Purchase Amount” is $50,000,000.00.  A pro-rata fee of 0.125% will be assessed on the amount representing the increased commitment ($25,000,000.00) for the remaining term of the Agreement.

 

“Minimum Reserve Amount” is $500,000.00.

 

 

“Pricing Spread” shall mean:

 

	
Type of Mortgage Loan
    	
 
    	
Percentage
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Conforming   Mortgage Loans, Eligible Government Mortgage Loans, Eligible Correspondent   Mortgage Loans and Category 1 High LTV VA Refinance Loans
    	
 
    	
3.25
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Jumbo Mortgage   Loans and Category 2 High LTV VA Refinance Mortgage Loans
    	
 
    	
3.50
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Aged Mortgage   Loans
    	
 
    	
4.00
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Mortgage Loans   exceeding the applicable Transaction Term Limitation
    	
 
    	
12.00
    	
%
    

 

“Purchase Price Percentage” shall mean:

 

	
Type of Mortgage Loan
    	
 
    	
Percentage
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Conforming   Mortgage Loans, Eligible Government Mortgage Loans, Jumbo Loans with Buyer as   the Takeout Investor and Category 1 High LTV VA Refinance Mortgage Loans
    	
 
    	
98
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Category 2 High   LTV VA Refinance Mortgage Loans
    	
 
    	
80
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Jumbo Mortgage   Loans with Takeout Investor other than Buyer
    	
 
    	
95
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Eligible   Correspondent Mortgage Loans
    	
 
    	
97
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Aged Mortgage   Loans 
    	
 
    	
[The applicable percentage set forth above   less 10%](1)
    	
 
    

 

“Test Date” shall mean the last day of each calendar month with respect to Sections 3(i), 3(ii) and 3(iv) of this Pricing Letter and the last day of each fiscal quarter with respect to Sections 3(iii) and 3(v) of this Pricing Letter.

 

 

(b)                                 The following new definitions are added to the Pricing Letter in the appropriate alphabetical order:

 

“Category 1 High LTV VA Refinance Mortgage Loan” shall mean a VA Loan that (a) is a refinance Mortgage Loan, (b) is a fully-underwritten Mortgage Loan with a new Appraisal (i.e. not a streamline refinance), (c) has an LTV of greater than 100% but not more than 105% and (d) has a FICO score of not less than 620.

 

“Category 2 High LTV VA Refinance Mortgage Loan” shall mean a VA Loan that (a) is a refinance Mortgage Loan, (b) is a fully-underwritten Mortgage Loan with a new Appraisal (i.e. not a streamline refinance), (c) has an LTV of greater than 105% but not more than 115% and (d) has a FICO score of not less than 680.

 

“Eligible Correspondent Mortgage Loan” shall mean a Conforming Mortgage Loan or an Eligible Government Mortgage Loan not originated by Seller but otherwise meeting all eligibility requirements under the Facility Documents.

 

“High LTV VA Refinance Loan” means a Category 1 High LTV VA Refinance Mortgage Loan or a Category 2 High LTV VA Refinance Mortgage Loan.

 

“VA Loan” means a Mortgage Loan that is the subject of a VA Loan Guaranty Agreement as evidenced by a loan guaranty certificate.

 

“VA Loan Guaranty Agreement” means the obligation of the United States to pay a specific percentage of a Mortgage Loan (subject to a maximum amount) upon default of the Mortgagor pursuant to the Servicemen’s Readjustment Act, as amended.

 

(c)                                  Section 12(d)(ii) of the Repurchase Agreement is amended and restated in its entirety as follows:

 

(ii) The Financial Reporting Party shall furnish to Buyer Financial Statements and Compliance Certificates (attached as Exhibit “A” to the Pricing Letter) on a monthly basis within fifteen (15) days after the end of the month, including the last month of each fiscal quarter, subject to end year adjustments.  In addition to the foregoing, the Financial Reporting Party shall furnish to Buyer, in clearly delineated line items, the results of the Financial Reporting Party’s hedging activities for the month.

 

(d)                                 Section QQ. of Schedule 1 to the Repurchase Agreement is amended and restated in its entirety as follows:

 

 

QQ.                                   Except for any Mortgage Loan that is an Eligible Correspondent Mortgage Loan, the Mortgage Loan was completely originated, underwritten, closed, funded and packaged by the applicable Seller.

 

SECTION 2.                            Defined Terms.  Any terms capitalized but not otherwise defined herein should have the respective meanings set forth in the Agreement.

 

SECTION 3.                            Limited Effect.  Except as amended hereby, the Agreement shall continue in full force and effect in accordance with its terms.  Reference to this First Amendment need not be made in the Agreement or any other instrument or document executed in connection therewith, or in any certificate, letter or communication issued or made pursuant to, or with respect to, the Agreement, any reference in any of such items to the Agreement being sufficient to refer to the Agreement as amended hereby.

 

SECTION 4.                            Representations.  In order to induce Buyer to execute and deliver this First Amendment, each Seller hereby jointly and severally represents to Buyer that as of the date hereof, except as otherwise expressly waived by Buyer in writing, each Seller is in full compliance with all of the terms and conditions of the Agreement including without limitation, all of the representations and warranties and all of the affirmative and negative covenants, and no Default or Event of Default has occurred and is continuing under the Agreement.

 

SECTION 5.                            Governing Law. This First Amendment and any claim, controversy or dispute arising under or related to or in connection with this First Amendment, the relationship of the parties, and/or the interpretation and enforcement of the rights and duties of the parties will be governed by the laws of the State of New York without regard to any conflicts of law principles other than Sections 5-1401 and 5-1402 of the New York General Obligations Law which shall govern.

 

SECTION 6.                            Counterparts.  This First Amendment may be executed in two (2) or more counterparts, each of which shall be deemed an original but all of which together shall constitute but one and the same agreement.  This First Amendment, to the extent signed and delivered by facsimile or other electronic means, shall be treated in all manner and respects as an original agreement and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person.  No signatory to this First Amendment shall raise the use of a facsimile machine or other electronic means to deliver a signature or the fact that any signature or agreement was transmitted or communicated through the use of a facsimile machine or other electronic means as a defense to the formation or enforceability of a contract and each such Person forever waives any such defense.

 

SECTION 7.                            Guarantor.  Guarantor acknowledges and agrees that nothing contained herein, and Guarantor’s signature hereon, shall not be deemed an acknowledgement,  a course of conduct, a waiver or an amendment of the provisions of the Facility Guaranty, which continue in full force and effect and do not require the Guarantor’s consent to the actions taken hereunder.

 

 

IN WITNESS WHEREOF, Sellers, Guarantor and Buyer have caused this First Amendment to be executed and delivered by their duly authorized officers as of the Amendment Effective Date.

 

	
/s/ Todd R. Taylor
    	
 
    
	
Excel Mortgage Servicing, Inc.
    
	
Name:
    	
Todd R. Taylor
    	
 
    
	
Title:
    	
EVP/CFO
    	
 
    
	
Seller
    
	
 
    
	
 
    
	
/s/ Todd R. Taylor
    	
 
    
	
AmeriHome Mortgage Corporation
    
	
Name:
    	
Todd R. Taylor
    	
 
    
	
Title:
    	
EVP/CFO
    	
 
    
	
Seller
    
	
 
    
	
 
    
	
/s/ Todd R. Taylor
    	
 
    
	
Integrated Real Estate Service Corporation
    
	
Name:
    	
Todd R. Taylor
    	
 
    
	
Title:
    	
EVP/CFO
    	
 
    
	
Guarantor
    
	
 
    
	
/s/ Paul Chimielinski
    	
 
    
	
EverBank
    
	
Name:
    	
Paul Chimielinski
    	
 
    
	
Title:
    	
V.P.
    	
 
    
	
Buyer

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