Document:

Exhibit
10.1

 

FIRST
AMENDMENT TO CREDIT AGREEMENT

THIS FIRST AMENDMENT TO CREDIT
AGREEMENT (this “Amendment”), dated as of May 30, 2006,
is by and among YOUNG BROADCASTING INC., a Delaware corporation (the “Borrower”),
the lenders identified on the signature pages hereto as the Lenders (the “Lenders”)
and WACHOVIA BANK, NATIONAL ASSOCIATION, a national banking association, as
administrative agent for the Lenders (in such capacity, the “Administrative
Agent”).

W I T N E
S S E T H

WHEREAS, the
Borrower, the Lenders and the Administrative Agent have entered into that
certain Fourth Amended and Restated Credit Agreement dated as of May 3, 2005
(as amended, modified, supplemented or restated from time to time, the “Credit
Agreement”; capitalized terms used herein shall have the meanings ascribed
thereto in the Credit Agreement);

WHEREAS, the Borrower,
the Subsidiary Guarantors and the Administrative Agent have entered into that
certain Guaranty Agreement dated May 3, 2005 (as amended, modified, supplemented
or restated from time to time) guaranteeing the Borrower’s Obligations under
the Credit Agreement;

WHEREAS, the
Borrower has requested certain amendments to the Credit Agreement; and

WHEREAS, the Majority
Lenders have agreed to such amendments subject to the terms and conditions set
forth herein.

NOW, THEREFORE,
in consideration of the agreements hereinafter set forth, and for other good
and valuable consideration, the receipt and adequacy of which are hereby acknowledged,
the parties hereto agree as follows:

ARTICLE I

AMENDMENTS TO CREDIT AGREEMENT

1.1          Amendment
to Section 1.01.   Section 1.01 of the Credit
Agreement shall be amended as follows:

(a)           The
definition of “Base Rate Margin” shall be amended by deleting “1.25%” contained
therein and substituting in its place “1.50%”.

(b)           The
definition of “Eurodollar Margin” shall be amended by deleting “2.25%”
contained therein and substituting in its place “2.50%”.

(c)           The
following new definitions shall be added:

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“First Amendment” means the First Amendment
to this Agreement, dated as of May 30, 2006, among Borrower, the Subsidiary
Guarantors listed on the signature pages thereto, the Administrative Agent and
the Majority Lenders.

“First Amendment Closing Date” means the
date of execution and delivery of the First Amendment.

1.2          Amendment
to Section 2.08. 
Section 2.08 of the Credit
Agreement shall be amended by adding thereto a new clause (c) as follows:

“(c)         Prepayment Premium.  Upon any optional or mandatory prepayment of
the Term Loans (in whole or in part, including pursuant to a refinancing
thereof) at any time on or prior to the first anniversary of the First
Amendment Closing Date, Borrower shall pay a premium equal to 1.00% of the
principal amount of any such amounts 
optionally or mandatorily prepaid (other than pursuant to scheduled
amortization or with the proceeds from the sale, disposition or other transfer
for value of all or substantially all of the assets or Capital Stock of Young
Broadcasting of San Francisco, Inc. (or any successor(s) thereto)).”

1.3          Amendment
to Section 2.20(a).  Section 2.20(a) of the Credit Agreement shall
be amended by deleting “$50,000,000” contained therein and substituting in its
place “$100,000,000”.

1.4          Amendment
to Section 5.01(i).  Section 5.01(i) of the Credit Agreement shall
be amended by deleting “$35,000,000” contained therein and substituting in its
place “$10,000,000”.

ARTICLE
II

CONDITIONS TO EFFECTIVENEES

2.1          Closing
Conditions.

This Amendment shall become effective as of the date
hereof (the “First Amendment Closing Date”) upon satisfaction of the
following conditions (in form and substance reasonably acceptable to the Administrative
Agent):

(a)           Executed Amendment.  Receipt by the Administrative Agent of a copy
of this Amendment duly executed by each of the Loan Parties and the Majority
Lenders.

(b)           Resolutions.  Receipt by the Administrative Agent of copies
of resolutions of the board of directors of Borrower approving and adopting
this Amendment, the transactions contemplated herein and authorizing execution
and delivery hereof, certified by a secretary or assistant secretary of Borrower
to be true and correct and in force and effect as of the date hereof.

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ARTICLE
III

COLLATERAL MATTERS

3.1  Post-Closing
Collateral Matters.

Within ninety (90) days after the First Amendment Closing
Date, unless waived or extended by the Administrative Agent in its sole
discretion, the applicable Loan Party shall deliver to the Administrative
Agent, with respect to each Mortgaged Property (as defined in the Mortgages),
the following:

(a)           with
respect to each Mortgage encumbering Mortgaged Property, an amendment to the
principal amount secured thereby to include the principal amount under the Increase
Joinder dated May 30, 2006 (each a “Mortgage Amendment”) duly executed
and acknowledged by the applicable Loan Party, and in form for recording in the
recording office where each such Mortgage was recorded, together with such
certificates, affidavits, questionnaires or returns as shall be required in
connection with the recording or filing thereof under applicable law, in each
case in form and substance reasonably satisfactory to the Collateral Agent;

(b)           with
respect to each Mortgage Amendment, a copy of the existing mortgage title
insurance policy and an endorsement with respect thereto (collectively, the “Mortgage
Policy”) relating to the Mortgage encumbering such Mortgaged Property assuring
the Collateral Agent that the Mortgage, as amended by the Mortgage Amendment,
is a valid and enforceable first priority lien on such  Mortgaged Property in favor of the Collateral
Agent for the benefit of the Secured Parties free and clear of all Liens except
Permitted Liens and those Liens created or permitted by the Credit Agreement and
the Collateral Documents or by the Collateral Agent, and such Mortgage Policy
shall otherwise be in form and substance reasonably satisfactory to the
Collateral Agent;

(c)           to
the extent reasonably requested by the Administrative Agent, with respect to
each Mortgage Amendment, opinions of local counsel to the Loan Parties, which
opinions (x) shall be addressed to each Agent and each of the Lenders,
(y) shall cover the enforceability of the respective Mortgage as amended
by the Mortgage Amendment, and (z) shall be in form and substance
reasonably satisfactory to the Agents.

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ARTICLE IV

MISCELLANEOUS

4.1          Amended Terms.  All references to
the Credit Agreement in each of the Loan Documents shall hereafter mean the
Credit Agreement as amended by this Amendment. 
Except as specifically amended hereby or otherwise agreed, the Credit
Agreement is hereby ratified and confirmed and shall remain in full force and
effect according to its terms.

4.2          Representations and Warranties of Loan
Parties.  Borrower
represents and warrants as follows:

(a)           It  has full power and authority and the legal
right to make, deliver and perform this Amendment and has taken all necessary
corporate action to authorize the execution, delivery and performance by it of
this Amendment.

(b)           No
Default or Event of Default has occurred and is continuing under the Credit
Agreement.

(c)           This
Amendment has been duly executed and delivered by such Person and constitutes
such Person’s legal, valid and binding obligations, enforceable against such
Person in accordance with its terms, except as such enforcement may be limited
by the effect of any applicable bankruptcy, insolvency, reorganization,
moratorium or similar laws affecting the enforcement of creditors’ rights
generally and by general equitable principles (whether enforcement is sought by
proceedings in equity or at law).

(d)           No
authorization, consent, approval or other action by, and no notice to or filing
with any governmental, administrative or judicial authority or regulatory body
is required for the due execution, delivery or performance by such Person of
this Amendment.

(e)           The
representations and warranties made by the Loan Parties in the Loan Documents
are correct on and as of the First Amendment Closing Date as if made on and as
of the First Amendment Closing Date (or, if any such representation or warranty
is expressly stated to have been made as of a specified date, as of such date).

(f)            The
execution, delivery and performance by the Borrower of this Amendment are
within the Borrower’s corporate powers, have been duly authorized by all
necessary corporate action and do not and will not (i) require any consent or
approval of the stockholders, partners or members of the Borrower except such
consents and approvals as shall have been duly obtained and shall be in full
force and effect, (ii) contravene the Borrower’s certificate of incorporation or
by-laws, (iii) violate any law, rule, regulation (including, without
limitation, Regulations T, U and X of the Board of Governors of the Federal
Reserve System), order, writ, judgment, injunction, decree, determination or
award or any contractual restriction binding on or affecting the Borrower, or
any of their respective properties, or (iv) result in or require the creation
or imposition of any mortgage, deed of trust, pledge, lien, security interest
or other charge or encumbrance of any nature (other than pursuant to the Loan
Documents and pursuant to Collateral Documents upon or with respect to any of
the properties now owned or hereafter acquired 

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by the Borrower or any of its Subsidiary
Guarantors).  Neither the Borrower nor
any of the Subsidiary Guarantors is in default under any such law, rule,
regulation, order, writ, judgment, injunction, decree, determination or award
or restriction.

4.3          Credit Document.  This Amendment shall constitute a Loan
Document under the terms of the Credit Agreement.

4.4          Entirety.  This Amendment and the other Loan Documents
embody the entire agreement between the parties hereto and supersede all prior
agreements and understandings, oral or written, if any, relating to the subject
matter hereof.

4.5          Counterparts; Telecopy.  This Amendment may be executed in any number
of counterparts, each of which when so executed and delivered shall be an
original, but all of which shall constitute one and the same instrument.  Delivery of an executed counterpart to this
Amendment by telecopy shall be effective as an original and shall constitute a
representation that an original will be delivered.

4.6          GOVERNING LAW.  THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS
OF THE PARTIES UNDER THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED AND
INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK WITHOUT REGARD
TO CONFLICTS OF LAW PRINCIPLES THAT WOULD REQUIRE THE APPLICATION OF THE LAWS
OF ANOTHER JURISDICTION.

4.7          Consent to Jurisdiction; Service of
Process; Waiver of Jury Trial.  The jurisdiction, services of process and
waiver of jury trial provisions set forth in Sections 8.06 and 8.11 of the
Credit Agreement are hereby incorporated by reference, mutatis mutandis.

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IN WITNESS WHEREOF the
Borrower and the Majority Lenders have caused this Amendment to be duly
executed on the date first above written.

	
  BORROWER:

  	
  YOUNG BROADCASTING
  INC.,

  a Delaware corporation

  
	
   

  	
   

  
	
   

  	
  By:                                                                                          

  
	
   

  	
                     Name: 

  
	
   

  	
                     Title:  

  
	
   

  	
   

  

 

[Amendment
Signature Pages]

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  ADMINISTRATIVE AGENT

  AND LENDER:

  	
  WACHOVIA BANK, NATIONAL
  ASSOCIATION

  as Administrative Agent
  and as a Lender

  
	
   

  	
   

  
	
   

  	
  By:                                                                                          

  
	
   

  	
                     Name:  

  
	
   

  	
                     Title:    

  
	
   

  	
   

  

 

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  LENDER:

  	
  ______________________

  as a Lender

  
	
   

  	
   

  
	
   

  	
  By:                                                                                          

  
	
   

  	
                     Name:  

  
	
   

  	
                     Title:    

  
	
   

  	
   

  

 

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The Subsidiary
Guarantors acknowledge and consent to all of the terms and conditions of this
Amendment and agree that this Amendment and all documents executed in
connection herewith do not operate to reduce or discharge the Subsidiary
Guarantors’ obligations under the Loan Documents.

SUBSIDIARY GUARANTORS:

YOUNG BROADCASTING OF ALBANY, INC.

YOUNG BROADCASTING OF DAVENPORT, INC.

YOUNG BROADCASTING OF GREEN BAY, INC.

YOUNG BROADCASTING OF KNOXVILLE, INC.

YOUNG BROADCASTING OF LANSING, INC.

YOUNG BROADCASTING OF LOS ANGELES, INC.

YOUNG BROADCASTING OF LOUISIANA, INC.

YOUNG BROADCASTING OF NASHVILLE, INC.

YOUNG BROADCASTING OF NASHVILLE LLC

By: Young Broadcasting of
Knoxville, Inc., its Member

YOUNG BROADCASTING OF RAPID CITY, INC.

YOUNG BROADCASTING OF RICHMOND, INC.

YOUNG BROADCASTING OF SAN FRANCISCO, INC.

YOUNG BROADCASTING OF SIOUX FALLS, INC.

ADAM YOUNG INC.

HONEY BUCKET FILMS, INC.

FIDELITY TELEVISION, INC.

WINNEBAGO TELEVISION CORPORATION

KLFY, L.P.

By: Young Broadcasting of
Louisiana, Inc., its General Partner

LAT, INC.

WATE, G.P.

By: Young Broadcasting of Knoxville, Inc., its General
Partner

WKRN, G.P.

By: Young Broadcasting of Nashville, LLC, its General
Partner

YBK, INC.

YBT, INC.

By:                                                                                                                                                         
                  Name: James A. Morgan
                  Title: Executive Vice
President and Chief Financial    Officer

 9Exhibit
10.2

INCREASE JOINDER

To:                      Wachovia
Bank, National Association as Administrative Agent under the Credit Agreement referred
to below

Dated:    May 30, 2006

Reference is hereby made to the Fourth Amended and
Restated Credit Agreement dated as of May 3, 2005 (as amended, amended and
restated, supplemented or otherwise modified from time to time, the “Credit
Agreement”), among YOUNG BROADCASTING INC., a Delaware corporation (“Borrower”),
the lenders from time to time party thereto (the “Lenders”), WACHOVIA BANK,
NATIONAL ASSOCIATION, as administrative agent for the lenders, LEHMAN
COMMERCIAL PAPER INC. and MERRILL LYNCH, PIERCE, FENNER & SMITH
INCORPORATED, as co-syndication agents, and WACHOVIA CAPITAL MARKETS, LLC,
LEHMAN BROTHERS INC. and MERRILL LYNCH, PIERCE, FENNER & SMITH
INCORPORATED, as joint lead arrangers and joint lead bookrunners.  Terms used herein without definition shall
have the meanings assigned to such terms in the Credit Agreement.

WHEREAS, pursuant to Section 2.20 of the Credit
Agreement, Borrower may from time to time request Incremental Term Loans and
related Incremental Term Loan Commitments in an aggregate amount not to exceed
$50,000,000, subject to the terms and conditions set forth therein;

WHEREAS, Wachovia Bank, National Association (the “Incremental
Term Lender”) has agreed, subject to the terms and conditions set forth
herein and in the Credit Agreement, to make an Incremental Term Loan and
provide a related Incremental Term Loan Commitment to Borrower in an amount of
$50,000,000, the proceeds of which will be used as working capital and to pay related
fees and expenses; and

WHEREAS, pursuant to Section 2.20 of the Credit
Agreement, Borrower and the Administrative Agent may enter into an Increase
Joinder without the consent of any other Lenders to effect such amendments to
the Credit Agreement as may be necessary or appropriate, in the opinion of the
Administrative Agent, to effect the provisions of Section 2.20 of the Credit
Agreement.

NOW, THEREFORE:

SECTION 1.           Incremental Amendment.

(a)           This
amendment (this “Increase Joinder”) is an Increase Joinder referred to
in Section 2.20 of the Credit Agreement, and Borrower and the Incremental Term
Lender hereby agree and notify you that:

(i)            the
total Incremental Term Loan Commitment of the Incremental Term Lender is
$50,000,000; and

(ii)           subject
to the satisfaction of the conditions set forth in clauses (A) through (C)
below, the funding of the Incremental Term Loan will occur in one drawing upon
Borrower’s request in accordance with Section 2.02 of the Credit Agreement (provided that the Increase Effective Date
shall be the date hereof).  In the event
that all or any portion of the Incremental Term Loan is not borrowed on or
before the date hereof, the unborrowed portion of the Incremental Term Loan
Commitment shall automatically terminate on such date unless the Incremental
Term Lender shall, in its sole discretion, agree to an extension.

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(A)          each
of the conditions set forth in Section 3.02 of the Credit Agreement shall be
satisfied;

(B)           no
Default shall have occurred and be continuing or would result after giving
effect to the making of the Incremental Term Loan and

(C)           Borrower
shall have delivered or caused to be delivered any other certificates, documents
and opinions reasonably requested by the Administrative Agent in connection
with the making of the Incremental Term Loan.

(b)           Each
of the Incremental Term Lender and Borrower hereby agrees that the Incremental
Term Loan made pursuant to this Increase Joinder will be a Term Loan and any
lender with an outstanding Incremental Term Loan will be a Term Lender, in each
case for any and all purposes under the Credit Agreement, and (A) shall rank pari
passu in right of payment and right of security in respect of the Collateral
with the existing Term Loans and (B) shall have the same terms as Term Loans
existing immediately prior to the effectiveness of this Increase Joinder after
giving effect to the First Amendment, except that the Borrower shall make
quarterly principal payments on the Incremental Term Loans in an amount equal
to 0.25% of the aggregate amount of Incremental Term Loans borrowed, payable on
the last Business Day of each quarter, commencing on June 30, 2006.

(c)           Borrower
covenants and agrees that the proceeds of the Incremental Term Loan shall be
used by Borrower as working capital and to pay related fees and expenses.

SECTION 2.           Representations,
Warranties and Covenants.  The Borrower
represents, warrants and covenants to the Administrative Agent and to the
Incremental Term Lender that:

(a)           this
Increase Joinder has been duly authorized, executed and delivered by them and
constitutes a legal, valid and binding obligation of each Loan Party party
hereto, enforceable against such Loan Party in accordance with its terms;

(b)           after
giving effect to this Increase Joinder, the representations and warranties set
forth in Article IV of the Credit Agreement and the other Loan Documents will
be true and correct with the same effect as if made on and as of the date
hereof (unless expressly stated to relate to an earlier date, in which case
such representations and warranties shall be true and correct as of such
earlier date); and

(c)           each
of the conditions to requesting Incremental Term Loans set forth in clause (b)
of Section 2.20 of the Credit Agreement is satisfied on the date of entering
into this Increase Joinder and will be satisfied on the date of borrowing of
the Incremental Term Loan, as applicable.

SECTION 3.           Conditions
to Effectiveness.  This Increase Joinder
shall become effective when:

(a)           the
Administrative Agent shall have received counterparts of this Increase Joinder
that, when taken together, bear the signatures of each Loan Party party hereto
and the Incremental Term Lender;

(b)           the
representations and warranties set forth in Section 2 hereof are true and correct
(as set forth on an officer’s certificate delivered to the Administrative Agent
and the Incremental Term Lender); and

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(c)           all
fees and expenses required to be paid or reimbursed by Borrower pursuant to the
Credit Agreement, including all invoiced fees and expenses of counsel to the Administrative
Agent and Incremental Term Lender, shall have been paid or reimbursed, on or
prior to effectiveness as applicable.

SECTION 4.           Roles.  Wachovia Capital Markets, LLC and Merrill Lynch, Pierce, Fenner & Smith
Incorporated shall act as Joint Lead Arrangers and Joint Lead Bookrunners
with respect to this Increase Joinder, but in such capacities shall not have
any obligations, duties or responsibilities, nor shall incur any liabilities,
under this Increase Joinder or any other Loan Document.

SECTION 5.           Applicable Law.  THIS INCREASE JOINDER SHALL BE CONSTRUED IN
ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK WITHOUT
REGARD TO CONFLICTS OF LAWS PRINCIPLES THAT WOULD REQUIRE THE APPLICATION OF
THE LAWS OF ANOTHER JURISDICTION. 
SECTION 8.11 OF THE CREDIT AGREEMENT SHALL APPLY TO THIS INCREASE
JOINDER.

SECTION 6.           Credit
Agreement; Loan Document.  Except as
expressly set forth herein, this Increase Joinder shall not by implication or
otherwise limit, impair, constitute a waiver of, or otherwise affect the rights
and remedies of any party under, the Credit Agreement, nor alter, modify, amend
or in any way affect any of the terms, conditions, obligations, covenants or agreements
contained in the Credit Agreement, all of which are ratified and affirmed in
all respects and shall continue in full force and effect.  For the avoidance of doubt, this Increase
Joinder shall be deemed to be a “Loan Document” within the meaning of the
Credit Agreement.

SECTION 7.           Counterparts.  This Increase Joinder may be executed in two
or more counterparts, each of which shall constitute an original, but all of
which when taken together shall constitute but one agreement.  Delivery of an executed counterpart of a
signature page of this Increase Joinder by facsimile transmission shall be as
effective as delivery of a manually executed counterpart of this Increase
Joinder.

[Signature Page
Follows]

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IN WITNESS WHEREOF, the parties hereto have caused
this Increase Joinder to be duly executed by their authorized officers as of
the date set forth above.

YOUNG BROADCASTING INC.

By:                                                                                                                

Name:         

Title:

WACHOVIA BANK, NATIONAL ASSOCIATION,

as Incremental Term Lender

By:                                                                                                                

Name:         

Title:

CONSENTED TO:

WACHOVIA BANK, NATIONAL ASSOCIATION,

as Administrative Agent

By:                                                                                                         

Name:      

Title:

 

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