Document:

exv10w1

 

Exhibit 10.1

Loan No. 04 2508 01          

FIRST AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT

     THIS FIRST AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (“Amendment”) is entered
into as of April 17, 2008, by and among FAMOUS DAVE’S OF AMERICA, INC., a Minnesota corporation,
D&D OF MINNESOTA, INC., a Minnesota corporation, LAKE & HENNEPIN BBQ AND BLUES, INC., a Minnesota
corporation, FAMOUS DAVE’S RIBS, INC., a Minnesota corporation, FAMOUS DAVE’S RIBS-U, INC., a
Minnesota corporation, and FAMOUS DAVE’S RIBS OF MARYLAND, INC., a Minnesota corporation (each,
individually, a “Borrower” and, collectively, the “Borrowers”), the lenders from
time to time a party hereto (each, a “Lender” and, collectively, the “Lenders”),
and WELLS FARGO BANK, NATIONAL ASSOCIATION (“Wells Fargo”), as Administrative Agent and L/C
Issuer.

R E C I T A L S

     A. Borrowers, Wells Fargo, as Administrative Agent and L/C Issuer, and the Lenders a party
thereto have entered into that certain Amended and Restated Credit Agreement dated as of July 31,
2006 (the “Credit Agreement”).

     B. As of the date hereof, Wells Fargo is the only Lender under the Credit Agreement.

     C. The parties desire to amend the Credit Agreement to modify certain provisions of the Credit
Agreement, all subject to the terms and conditions hereinafter set forth.

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

     1. Definitions. Capitalized terms used herein and not defined herein shall have the
meanings provided therefor in the Credit Agreement.

     2. Amendment Closing Date. As used in this Amendment, the term “Amendment Closing
Date” shall mean the first date that all the conditions precedent set forth in this Amendment
are satisfied or waived in accordance herewith.

     3. Amendments to Credit Agreement. Effective as of the Amendment Closing Date:

     (a) Section 1.01 of the Credit Agreement is hereby amended by inserting the
following new definitions in their proper alphabetical order:

 

“Fee Letter” means the letter agreement, dated as of April 17, 2008 by and
between the Borrowers and the Administrative Agent, as the same may be amended,
restated, modified or otherwise supplemented from time to time.

“Permitted Stock Repurchase” means the Stock Repurchase and any other
repurchase by any Borrower of the common stock of such Borrower pursuant to a stock
repurchase authorization approved by the Board of Directors of the applicable
Borrower, in each case to the extent the same are expressly permitted pursuant to
the terms of this Agreement.

“Revolving Credit Loan Increase” has the meaning specified in Section
2.01(b)(i).

“Revolving Credit Loan Increase Date” has the meaning specified in
Section 2.01(b)(iii).

“Revolving Credit Loan Increase Notice” means a notice from Borrowers to the
Administrative Agent requesting a Revolving Credit Loan Increase, which shall
include in the proposed amount of such Revolving Credit Loan Increase.

     (b) The following definitions in Section 1.01 of the Credit Agreement shall be
amended and restated in their entirety as follows:

“Applicable Margin” means, for each period commencing on an Adjustment Date
through the date immediately preceding the next Adjustment Date (each a “Rate
Adjustment Period”), the applicable percentage set forth below corresponding to
the Adjusted Leverage Ratio, as determined for the most recent Reference Period
ending immediately prior to the applicable Rate Adjustment Period:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	Applicable
	 	 	 	 	 	 	 	 	 	 	 	 	Margin for
	 	 	 	 	Applicable Margin	 	Applicable	 	Revolving
	 	 	 	 	for Eurodollar Rate	 	Margin for	 	Credit
	 	 	Adjusted Leverage	 	Loans (and Letter of	 	Base Rate	 	Commitment
	Level	 	Ratio	 	Credit Fees)	 	Loans	 	Fees
	I
	 	3 3.00:1.00	 	 	2.00	%	 	 	0.50	%	 	 	0.375	%
	II
	 	< 3.00:1.00 and	 	 	1.50	%	 	 	0.00	%	 	 	0.25	%
	 
	 	3 2.50:1.00	 	 	 	 	 	 	 	 	 	 	 	 
	III
	 	< 2.50:1.00	 	 	1.00	%	 	 	-0.50	%	 	 	0.25	%

Notwithstanding the foregoing, (a) for the period commencing on the Amendment
Closing Date through the Adjustment Date immediately following the date of delivery
by the Borrowers to the Administrative Agent of a Compliance Certificate for the
fiscal period ending on or about March 31, 2008, the Applicable Margin shall be the
percentage set forth in Level II in the table above; and (b) if the Borrowers fail
to deliver any Compliance Certificate pursuant to

 

Section 6.01 hereof, then for the period commencing on the date after the
day on which such Compliance Certificate was due through the date which is five (5)
Business Days after such Compliance Certificate is delivered, the Applicable Margin
shall be that percentage corresponding to Level I in the table above.

“Lender” has the meaning specified in the introductory paragraph hereto and,
as the context requires, includes the L/C Issuer, and, for the avoidance of doubt,
shall include any Person that becomes a party hereto in connection with any
Revolving Credit Loan Increase.

“Maturity Date” means May 1, 2013.

“Maximum Revolving Credit Loan Commitment” means THIRTY MILLION AND
NO/100ths Dollars ($30,000,000.00) (as the same may be increased to reflect any
Revolving Credit Loan Increase) provided, however, upon the effective date of any
termination of the Aggregate Commitments in accordance with Section 2.11,
the Maximum Revolving Credit Loan Commitment shall be reduced to ZERO AND NO/100ths
Dollars ($0.00).

     (c) The Credit Agreement is hereby amended by renumbering the existing Section
2.01 as Section 2.01(a) inserting the following new Section 2.01(b):

     (b) (i) Borrowers may, from time to time during the term hereof prior to any
termination of the Aggregate Commitments pursuant to Section 2.11, deliver
to Administrative Agent a Revolving Credit Loan Increase Notice to request an
increase (each, a “Revolving Credit Loan Increase”) in the Maximum Revolving
Credit Loan Commitment by an aggregate amount not to exceed the amount necessary to
increase the Maximum Revolving Credit Loan Commitment to a total of FIFTY MILLION
AND NO/100ths Dollars ($50,000,000.00); provided, however, that (1) no Lender is
hereby making any commitment to participate in any Revolving Credit Loan Increase or
shall have any obligation to do so or to negotiate to do so (whether or not in good
faith) and it shall be a condition to any such Revolving Credit Loan Increase that
sufficient commitments to participate therein are obtained from existing lenders or
New Lenders (as defined below), (2) Revolving Credit Loan Increases shall be in an
amount equal to $5,000,000.00 or any $5,000,000.00 increment in excess thereof (for
any individual Revolving Credit Loan Increase) and not greater than $20,000,000.00
(in the aggregate for all Revolving Credit Loan Increases hereunder during the term
hereof), (3) no Revolving Credit Loan Increase shall be effective earlier than
thirty (30) days after Administrative Agent’s receipt of the applicable Revolving
Credit Loan Increase Notice in respect of such Revolving Credit Loan Increase, (4)
no more than two (2) Revolving Credit Loan Increases shall be made pursuant to this
Section 2.01(b), (5) no Default or Event of Default shall have occurred and
be continuing or would result after giving effect to such Revolving Credit Loan
Increase, (6) as a condition to such Revolving Credit Loan Increase, Borrowers shall
have provided to Administrative Agent satisfactory evidence in Administrative
Agent’s Sole Discretion that Borrowers will be in pro

 

forma compliance with the financial covenants set forth in Article XIV
hereof as of the most recently ended Reference Period for which financial statements
were delivered hereunder on a pro forma basis both before and after giving effect to
such Revolving Credit Loan Increase, (7) as a condition to such Revolving Credit
Loan Increase, Borrowers shall have provided to Administrative Agent satisfactory
evidence in Administrative Agent’s Sole Discretion that Consolidated EBITDA for the
most recently ended Reference Period for which financial statements were delivered
hereunder was greater than $20,000,000.00, and (8) as a condition to such Revolving
Credit Loan Increase, Borrowers shall have received Administrative Agent’s prior
written consent to such Revolving Credit Loan Increase, which consent shall be
granted or withheld in Administrative Agent’s Sole Discretion.

          (ii) The Administrative Agent shall promptly notify each Lender of any proposed
Revolving Credit Loan Increase to which Administrative Agent consents in its Sole
Discretion. Each such Lender may, in its Sole Discretion, commit to participate in
such Revolving Credit Loan Increase by forwarding its commitment therefor to the
Administrative Agent in form and substance satisfactory to the Administrative Agent.
The Administrative Agent shall allocate the Revolving Credit Loan Increase among
the Lenders from which it has received commitments, in its Sole Discretion but in
amounts not to exceed, with respect to any Lender, the commitment received from such
Lender. If the Administrative Agent does not receive enough commitments from
existing Lenders, it may allocate any excess in the proper amount of such Revolving
Credit Loan Increase to one or more new Lenders, selected in consultation with
Borrowers and acceptable to Administrative Agent in its Sole Discretion, who become
Lenders in connection with such Revolving Credit Loan Increase (each a “New
Lender” and, collectively, the “New Lenders”).

          (iii) Any applicable Revolving Credit Loan Increase shall become effective
after the satisfaction of the conditions precedent set forth in Section
4.03, on a date agreed by the Borrowers and the Administrative Agent (such date,
a “Revolving Credit Loan Increase Date”). The Administrative Agent shall
notify the Lenders and the Borrowers, on or before 1:00 p.m. (New York time) on the
Business Day following the Revolving Credit Loan Increase Date of the effectiveness
of the Revolving Credit Loan Increase and shall record in the Register all
applicable additional information required to be recorded therein because of such
Revolving Credit Loan Increase.

     (d) The Credit Agreement is hereby amended by amending and restating Section
2.06(b) thereof to read as follows:

(b) Other Fees. (i) The Borrowers shall pay to the Administrative Agent for
its own account fees in the amounts and at the times specified in the Fee Letter.
Such fees shall be fully earned when paid and shall not be refundable for any reason
whatsoever.

 

     (ii) The Borrowers shall pay to the Lenders such fees as shall have been
separately agreed upon in writing in the amounts and at the times so specified.
Such fees shall be fully earned when paid and shall not be refundable for any reason
whatsoever.

     (e) The Credit Agreement is hereby amended by amending and restating Section
2.11 thereof to read as follows:

     2.11 Termination of Commitments. The Borrowers may, upon notice to the
Administrative Agent, terminate the Aggregate Commitments; provided that (i)
any such notice shall be received by the Administrative Agent not later than 11:00
a.m. five (5) Business Days prior to the date of termination, and (ii) the Borrowers
shall not terminate the Aggregate Commitments if, after giving effect thereto and to
any concurrent prepayments hereunder, the Total Outstandings would exceed the
Maximum Revolving Credit Loan Commitment (as of the effective date of such
termination). The Administrative Agent will promptly notify the Lenders of any such
notice of termination of the Aggregate Commitments. In addition to any other
amounts then due and owing under this Agreement and the other Loan Documents, upon
the effective date of any such termination, the Borrowers shall pay to the
Administrative Agent for the respective accounts of the Lenders the full amount of
any Revolving Credit Commitment Fee then accrued until the effective date of the
termination pursuant to Section 2.06(a). No termination of the Aggregate
Commitments may be reinstated. In addition, upon the effective date of any such
termination, the Maximum Revolving Credit Loan Commitment shall be reduced to ZERO
AND NO/100ths Dollars ($0.00) and the Commitment of each Lender shall be reduced to
ZERO AND NO/100ths Dollars ($0.00).

     (f) The Credit Agreement is hereby amended by inserting the following new Section
4.03:

     4.03 Conditions to Revolving Credit Loan Increases.

     The effectiveness of each Revolving Credit Loan Increase shall be subject to
the satisfaction of all of the following conditions precedent:

     (a) The Administrative Agent’s receipt of the following, each of which shall
be originals or facsimiles (followed promptly by originals) unless otherwise
specified, each properly executed by a Responsible Officer of the signing Borrower,
each dated the applicable Revolving Credit Loan Increase Date (or, in the case of
certificates of governmental officials, a recent date before the Revolving Credit
Loan Increase Date) and each in form and substance satisfactory to the
Administrative Agent and its legal counsel:

(i) written commitments duly executed by existing Lenders and/or New Lenders
in an aggregate amount equal to the amount of the proposed Revolving Credit
Loan Increase (as agreed between Borrowers and

 

Administrative Agent but in any case not to exceed, in the aggregate, the
maximum amount set forth Section 2.01(b)) and, in the case of each
such New Lender, an assumption agreement in form and substance satisfactory
to Administrative Agent and duly executed by Borrowers, Administrative Agent
and such New Lender;

(ii) an amendment to this Agreement (including to Schedule 2.01),
effective as of the Revolving Credit Loan Increase Date and executed by
Borrowers and Administrative Agent, to the extent necessary to implement
terms and conditions of the Revolving Credit Loan Increase, as agreed by
Borrowers and Administrative Agent and to reflect such Revolving Credit Loan
Increase, the addition of the New Lender(s), if any, and the changes in the
respective Commitments and Pro Rata Shares of all Lenders as a result
thereof;

(iii) for the account of each Lender or New Lender participating in the
Revolving Credit Loan Increase having requested the same a Note executed by
the Borrowers in favor of such Lender or New Lender;

(iv) for each Borrower executing any Loan Document as part of the Revolving
Credit Loan Increase, such certificates of resolutions or other action,
incumbency certificates and/or other certificates of Responsible Officers of
each Borrower as the Administrative Agent may require evidencing the
identity, authority and capacity of each Responsible Officer thereof
authorized to act as a Responsible Officer in connection with each document
executed as part of the Revolving Credit Loan Increase to which such
Borrower is a party;

(v) such documents and certifications as the Administrative Agent may
reasonably require to evidence that each Borrower is duly organized or
formed, and that each Borrower executing any of the Loan Documents is
validly existing, in good standing and qualified to engage in business in
each jurisdiction where its ownership, lease or operation of properties or
the conduct of its business requires such qualification;

(vi) a favorable opinion or opinions of counsel to the Borrowers, addressed
to the Administrative Agent and each Lender, as to the matters set forth in
Exhibit H and such other matters concerning the Borrowers and the
Loan Documents as the Required Lenders may reasonably request; and

(vii) a certificate of each Borrower signed by a Responsible Officer either
(A) attaching copies of all consents, licenses and approvals required in
connection with the execution, delivery and performance by, and the validity
against, such Borrower of any Loan Document executed by such Borrower as
part of the Revolving Credit Loan Increase, which consents, licenses and
approvals shall be in full force and effect, or (B) stating that
no such consents, licenses or approvals are so required;

 

(viii) a certificate signed by a Responsible Officer of each Borrower
certifying (A) that the conditions specified in Sections 4.02(a) and
(b) have been satisfied, and (B) that there has been no event or
circumstance since the date of the Audited Financial Statements that has had
or could be reasonably expected to have, either individually or in the
aggregate, a Material Adverse Effect; and

(ix) such other document as Administrative Agent may reasonably request or
as any Lender participating in the Revolving Credit Loan Increase may
require as a condition to its commitment in such Revolving Credit Loan
Increase.

(b) There shall have been paid to Administrative Agent, for the account of
Administrative Agent or any Lender (including any Person becoming a Lender as part
of the Revolving Credit Loan Increase on such Revolving Credit Loan Increase Date),
as the case may be, all fees and expenses due and payable on or before the Revolving
Credit Loan Increase Date.

(c) As of the Revolving Credit Loan Increase Date, (i) the conditions precedent set
forth in Section 4.02(a) and (b) shall have been satisfied both
before and after giving effect to the Revolving Credit Loan Increase, (ii) the
Revolving Credit Loan Increase shall be made on the terms and conditions set forth
in Section 2.01, and (iii) the Borrowers shall be in compliance with
Article XIV as of the most recently ended fiscal quarter for which Financial
Statements were delivered hereunder on a pro forma basis both before and after
giving effect to such Revolving Credit Loan Increase.

(d) Unless waived by the Administrative Agent, the Borrowers shall have paid all
Attorney Costs of the Administrative Agent to the extent invoiced prior to or on the
Revolving Credit Loan Increase Date, plus such additional amounts of Attorney Costs
as shall constitute its reasonable estimate of Attorney Costs incurred or to be
incurred by it through the closing proceedings (provided that such estimate shall
not thereafter preclude a final settling of accounts between the Borrowers and the
Administrative Agent).

          (g) The Credit Agreement is hereby amended by amending and restating Section
6.01(d) thereof to read as follows:

          (d) simultaneously with the delivery of the financial statements referred to in
subsections (a) and (b) above, a Compliance Certificate certified by the principal
financial or accounting officer of the Borrowers and setting forth in reasonable
detail computations evidencing compliance with the covenants contained in
Article XIV (it being further acknowledged and agreed that each such
Compliance Certificate shall, in any event, include computations with respect to
whether Borrower is, or would be, in compliance with the covenant set

 

forth in Section 14.04 if such covenant did then apply, whether or not
Section 14.04 provides that such covenant does if fact apply for such
period) and (if applicable) reconciliations to reflect changes in GAAP since the
Balance Sheet Date;

          (h) The Credit Agreement is hereby amended by amending and restating Section
7.06 thereof to read as follows:

7.06 Restricted Payments.

Directly or indirectly, declare, or pay or make any Restricted Payment, or set aside
or otherwise deposit or invest any sums for such purpose, or agree to do any of the
foregoing; provided, however, that (a) Restricted Payments from one Borrower to
another Borrower (only to the extent that the same may lawfully be made by such
Borrower in accordance with applicable Laws), and (b) Restricted Payments consisting
of Permitted Stock Repurchases, shall be permitted so long as, in the case of each
of the foregoing clauses (a) and (b), (1) no Default or Event of Default shall have
occurred and be continuing or would result after giving effect to such Restricted
Payment, (2) Borrowers will be in pro forma compliance with the financial covenants
set forth in Article XIV hereof as of the most recently ended Reference
Period for which financial statements were delivered hereunder on a pro forma basis
both before and after giving effect to such Restricted Payment, and (3) the
aggregate consideration for any such Permitted Stock Repurchase shall be paid in
cash and the aggregate amount paid in connection with all of such Permitted Stock
Repurchases made hereunder shall not exceed (A) $10,000,000 in the aggregate in any
twelve (12) month period, (B) in the aggregate in any fiscal year, an amount which,
when added to the aggregate amount of all Growth Capital Expenditures made or
incurred by Borrowers and their Subsidiaries in the aggregate during such fiscal
year exceeds the dollar amount for such fiscal year set forth in the table in
Section 14.03 (i.e. $22,250,000 for FY 2008, $25,000,000 for FY 2009, etc.), or (C)
$20,000,000 in the aggregate during the term of this Agreement.

          (i) The Credit Agreement is hereby amended by amending and restating Section
14.01 through Section 14.03 thereof to read as follows:

     14.01 Adjusted Leverage Ratio.

     As of the end of any fiscal quarter referenced in the table below, the Adjusted Leverage Ratio
for the Reference Period then ended shall not exceed the ratio set forth opposite such fiscal
quarter in such table:

	 	 	 
	Fiscal Quarter	 	Ratio
	FQ3 2006 through FQ4 2006
	 	4.00:1.00
	FQ1 2007 through FQ3 2007
	 	3.90:1.00
	FQ4 2007 through FQ2 2010
	 	3.50:1.00
	FQ3 2010 and each FQ thereafter
	 	3.25:1.00

 

     14.02
Consolidated Cash Flow Ratio.

          As of the end of any fiscal quarter referenced in the table below, the Consolidated Cash Flow
Ratio for the Reference Period then ended shall not be less than the ratio set forth opposite such
fiscal quarter in such table:

	 	 	 
	Fiscal Quarter	 	Ratio
	FQ3 2006 through FQ4 2007
	 	1.75:1.00
	FQ1 2008 and each FQ thereafter
	 	2.00:1.00

     14.03
Capital Expenditures.

          No Borrower shall, nor shall any Borrower permit any Subsidiary to, directly or indirectly
make or become legally obligated to make any Growth Capital Expenditures costing in excess of an
amount equal to (a) the applicable amount listed in the table below in the aggregate for the
Borrowers and their Subsidiaries during each applicable fiscal year, minus (b) in each case, an
amount equal to the aggregate consideration paid in connection with all Permitted Stock Repurchases
made during the applicable fiscal year:

	 	 	 
	Fiscal Year	 	Amount
	FY 2006
	 	$15,000,000
	FY 2007
	 	$22,250,000
	FY 2008
	 	$22,250,000
	FY 2009
	 	$25,000,000
	FY 2010
	 	$25,000,000
	FY 2011
	 	$25,000,000
	FY 2012
	 	$25,000,000
	FY 2013
	 	$25,000,000

     In addition and without limiting the foregoing, no Borrower shall, nor shall any Borrower
permit any Subsidiary to, at any time, directly or indirectly (a) become legally obligated to make
any Growth Capital Expenditures, or (b) make any Growth Capital Expenditures which any

 

Borrower or
any such Subsidiary was not previously legally obligated to make, if, in either case,
after giving effect thereto, the Adjusted Leverage Ratio is, or would be, greater than the
Incurrence Ratio.

               (j) The Credit Agreement is hereby amended by inserting the following new Section
14.04:

     14.04 Maximum Royalties Receivable Aged Past 30 Days.

          Borrowers shall not permit the percentage of balance sheet royalties receivable for Borrowers
and their Subsidiaries (determined on a consolidated basis in accordance with GAAP consistently
applied) that are aged more than thirty (30) days to exceed (a) twenty-five percent (25%) of total
royalties receivable at any time during the first (1st) or fourth (4th)
fiscal quarters of any fiscal year, or (b) twenty percent (20%) of total royalties receivable at
any time during the second (2nd) or third (3rd) fiscal quarters of any fiscal
year; provided, however, that, the covenant set forth in this Section 14.04 shall apply
only for those fiscal quarters at the end of which the Adjusted Leverage Ratio, as calculated for
the Reference Period ending as of the end of such fiscal quarter, is greater than or equal to
3.00:1.00.

               (k) The Credit Agreement is hereby amended by amending Section 15.01 thereof to
delete the first word of the first sentence thereof and replace the same with the following
clause: “Except for any amendment necessary to implement the terms of any Revolving Credit
Loan Increase in accordance with the terms of this Agreement (which shall be in writing and
signed by Administrative Agent and Borrowers), no ....”.

               (l) The Credit Agreement is hereby amended by amending and restating Schedule
2.01 to read as set forth on Annex I attached hereto.

               (m) The Credit Agreement is hereby amended by amending and restating Schedule
5.13 to read as set forth on Annex II attached hereto.

               (n) The Credit Agreement is hereby amended by amending and restating Schedule
15.02 to read as set forth on Annex III attached hereto.

               (o) The Credit Agreement is hereby amended by amending and restating Exhibit B
to read as set forth on Annex IV attached hereto.

               (p) The Credit Agreement is hereby amended by amending and restating Exhibit C
to read as set forth on Annex V attached hereto.

          4. Conditions Precedent to Effectiveness of this Amendment. The effectiveness of this
Amendment is subject to satisfaction of the following conditions precedent:

               (a) The Administrative Agent’s receipt of the following, unless waived by the
Administrative Agent, each of which shall be originals or facsimiles (followed promptly by
originals) unless otherwise specified, each properly executed by a Responsible Officer of
the signing Borrower, each dated the Amendment Closing Date

 

(or, in the case of certificates
of governmental officials, a recent date before the Amendment Closing Date) and each in form and substance satisfactory to the
Administrative Agent and its legal counsel:

(i) executed counterparts of this Amendment, sufficient in number for
distribution to the Administrative Agent, each Lender and the Borrowers;

(ii) such certificates of resolutions or other action, incumbency
certificates and/or other certificates of Responsible Officers of each
Borrower as the Administrative Agent may require evidencing the identity,
authority and capacity of each Responsible Officer thereof authorized to act
as a Responsible Officer in connection with this Amendment and the other
Loan Documents executed in connection herewith to which such Borrower is a
party;

(iii) such documents and certifications as the Administrative Agent may
reasonably require to evidence that each Borrower is duly organized or
formed, and that each Borrower executing this Amendment and any other Loan
Documents executed in connection herewith is validly existing, in good
standing and qualified to engage in business in each jurisdiction where its
ownership, lease or operation of properties or the conduct of its business
requires such qualification;

(iv) a favorable opinion or opinions (or an update of any existing opinion
or opinions given on or about the Closing Date) of counsel to the Borrowers,
addressed to the Administrative Agent and each Lender, as to such matters
concerning the Loan Parties and this Amendment and the Loan Documents as the
Administrative Agent may reasonably request;

(v) a certificate of each Borrower signed by a Responsible Officer either
(A) attaching copies of all consents, licenses and approvals required in
connection with the execution, delivery and performance by, and the validity
against, such Borrower of this Amendment and the other Loan Documents to
which it is a party, which consents, licenses and approvals shall be in full
force and effect, or (B) stating that no such consents, licenses or
approvals are so required;

(vi) a certificate signed by a Responsible Officer of each Borrower
certifying that (A) the representations and warranties of the Borrowers
contained in Article V of the Credit Agreement or any other Loan
Document, or which are contained in any document furnished at any time under
or in connection herewith or therewith, shall be true and correct on and as
of the Amendment Closing Date, except to the extent that such
representations and warranties specifically refer to an earlier date, in
which case they shall be true and correct as of such earlier date, and
except that for purposes hereof, the representations and warranties

 

contained in subsections (a) and (b) of Section 5.05 of the Credit
Agreement shall be deemed to refer to the most recent statements furnished
pursuant to clauses (a) and (b), respectively, of Section 6.01 of
the Credit Agreement, (B) no Default or Event of Default shall exist, or
would result from the execution of this Amendment or the effectiveness
hereof, and (C) that there has been no event or circumstance since the date
of the Audited Financial Statements that has had or could be reasonably
expected to have, either individually or in the aggregate, a Material
Adverse Effect;

(vii) such other assurances, certificates, documents, consents or opinions
as the Administrative Agent reasonably may require;

               (b) The Borrowers shall have paid to the Administrative Agent for the account of each
applicable Lender all fees required hereunder to be paid by Borrowers on the Amendment
Closing Date; and

               (c) Unless waived by the Administrative Agent, the Borrowers shall have paid all
Attorney Costs of the Administrative Agent to the extent invoiced prior to or on the
Amendment Closing Date, plus such additional amounts of Attorney Costs as shall constitute
its reasonable estimate of Attorney Costs incurred or to be incurred by it through the
closing proceedings (provided that such estimate shall not thereafter preclude a final
settling of accounts between the Borrowers and the Administrative Agent).

          5. Ratification. The Credit Agreement, as amended by this Amendment, is hereby
ratified and remains in full force and effect. Nothing contained herein shall be deemed to be a
novation of any Note or otherwise affect the priority of the lien of any Loan Documents.

          6. Release. In consideration of the Administrative Agent’s and the Lenders’ entering
into this Amendment, each Borrower hereby fully and unconditionally releases and forever discharges
each of the Administrative Agent and the Lenders, and their respective directors, officers,
employees, subsidiaries, branches, affiliates, attorneys, agents, representatives, successors and
assigns and all persons, firms, corporations and organizations acting on any of their behalves
(collectively, the “Released Parties”), of and from any and all claims, allegations, causes
of action, costs or demands and liabilities, of whatever kind or nature, from the beginning of the
world to the date on which this Amendment is executed, whether known or unknown, liquidated or
unliquidated, fixed or contingent, asserted or unasserted, foreseen or unforeseen, matured or
unmatured, suspected or unsuspected, anticipated or unanticipated, which any Borrower or any
Subsidiary has, had, claims to have or to have had or hereafter claims to have or have had against
the Released Parties by reason of any act or omission on the part of the Released Parties, or any
of them, occurring prior to the date on which this Amendment is executed, including all such loss
or damage of any kind heretofore sustained or that may arise as a consequence of the dealings among
the parties up to and including the date on which this Amendment is executed, including the
administration or enforcement of the Credit Agreement (collectively, all of the foregoing are the
“Claims”). Each Borrower represents and warrants that it has no knowledge of any claim by
it or by any

 

Subsidiary against the Released Parties or of any facts or acts or omissions of the
Released
Parties which on the date hereof would be the basis of a Claim by it or by any Subsidiary or
any other Loan Party against the Released Parties which is not released hereby, and each Borrower
represents and warrants that the foregoing constitutes a full and complete release of all Claims by
or on behalf of each Borrower and any Subsidiary. The inclusion of a release provision in this
Amendment shall not give rise to any inference that but for such release, any Claim otherwise would
exist.

          7. Counterparts. This Amendment may be executed in any number of counterparts, each
of which when executed and delivered shall be deemed to be an original, and all such counterparts
together shall constitute one and the same instrument.

 

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

	 	 	 	 	 
	 	 	FAMOUS DAVE’S OF AMERICA, INC.,
	 	 	a Minnesota corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:
	 	Diana Purcel
	 

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	D&D OF MINNESOTA, INC.,
	 	 	a Minnesota corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:
	 	Diana Purcel
	 

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	LAKE & HENNEPIN BBQ AND BLUES, INC.,
	 	 	a Minnesota corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:
	 	Diana Purcel
	 

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	FAMOUS DAVE’S RIBS, INC.,
	 	 	a Minnesota corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:
	 	Diana Purcel
	 

	 	Title:
	 	Chief Financial Officer

 

 

	 	 	 	 	 
	 	 	FAMOUS DAVE’S RIBS-U, INC.,
	 	 	a Minnesota corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:
	 	Diana Purcel
	 

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	FAMOUS DAVE’S RIBS OF MARYLAND,
	 	 	INC., a Minnesota corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:
	 	Christopher O’Donnell
	 

	 	Title:
	 	President

 

 

	 	 	 	 	 
	 	 	WELLS FARGO BANK, NATIONAL

ASSOCIATION, as Administrative Agent
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	 	 	 
	 

	 	Title:	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	 	 	 
	 

	 	Title:	 	 
	 

	 	 	 	 

 

 

	 	 	 	 	 
	 	 	WELLS FARGO BANK, NATIONAL

ASSOCIATION, as L/C Issuer and as a

Lender
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	 	 	 
	 

	 	Title:	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	 	 	 
	 

	 	Title:	 	 
	 

	 	 	 	 

 

 

ANNEX I

SCHEDULE 2.01

COMMITMENTS

AND PRO RATA SHARES

	 	 	 	 	 
	Lender	 	Commitment	 	Pro Rata Share
	Wells Fargo Bank, National Association
	 	$30,000,000.00	 	100%
	Total
	 	$30,000,000.00	 	100%

 

 

ANNEX II

SCHEDULE 5.13

MERGERS, ETC., SUBSIDIARIES AND

OTHER EQUITY INVESTMENTS

Part (a). Mergers, Consolidations, Acquisitions, Other Names

	 	 	Famous Dave’s of America, Inc. and Famous Dave’s Ribs, Inc. acquired substantially all of
the assets of the Red River restaurant group relating to four (4) restaurants located in
Maryland and Virginia during 2000.

Part (b). Subsidiaries

	 	1.	 	The following Borrowers are subsidiaries of Famous Dave’s of America, Inc.:

	 	a.	 	D&D of Minnesota, Inc
	 
	 	b.	 	Lake & Hennepin BBQ and Blues, Inc
	 
	 	c.	 	Famous Dave’s Ribs, Inc.
	 
	 	d.	 	Famous Dave’s Ribs-U, Inc.

	 	2.	 	Famous Dave’s Ribs of Maryland, Inc. is a subsidiary of Famous Dave’s Ribs,
Inc.
	 
	 	3.	 	The Borrowers have the following additional subsidiaries that are not
Borrowers:

	 	a.	 	Minwood Partners, Inc., a Delaware corporation is wholly owned
by Famous Dave’s of America, Inc.
	 
	 	b.	 	FDA Properties, Inc., a Delaware corporation, is wholly owned
by Famous Dave’s of America, Inc.

Part (c). Other Equity Investments

	 	 	None

 

 

ANNEX III

SCHEDULE 15.02

ADMINISTRATIVE AGENT OFFICE,

CERTAIN ADDRESSES FOR NOTICES

BORROWERS:

c/o Famous Dave’s of America, Inc.

12701 Whitewater Drive, Suite 200

Minnetonka, Minnesota 55343

Attention: Diana G. Purcel

Telephone: (952) 294-1330

Facsimile: (952) 294-1310

ADMINISTRATIVE AGENT:

Administrative Agent’s Office

(for payments and Requests for Credit Extensions):

Wells Fargo Bank, National Association

5938 Priestly Drive

Suite 200

Carlsbad, California 92008

Attention: Diane E. Danforth, Relationship Manager

Telephone: 760-918-2759

Facsimile: 760-918-2727

Electronic Mail: Diane.E.Danforth@wellsfargo.com

Other Notices as Administrative Agent:

Wells Fargo Bank, National Association

5938 Priestly Drive

Suite 200

Carlsbad, California 92008

Attention: Diane E. Danforth, Relationship Manager

Telephone: 760-918-2759

Facsimile: 760-918-2727

Electronic Mail: Diane.E.Danforth@wellsfargo.com

 

WELLS FARGO:

Wells Fargo Bank, National Association

5938 Priestly Drive

Suite 200

Carlsbad, California 92008

Attention: Diane E. Danforth, Relationship Manager

Telephone: 760-918-2759

Facsimile: 760-918-2727

Electronic Mail: Diane.E.Danforth@wellsfargo.com

 

ANNEX IV

EXHIBIT B

LIST OF COMPANY-OWNED PROPERTIES

See Attached

 

ANNEX V

EXHIBIT C

LIST OF FRANCHISED PROPERTIES

See Attachedexv4w1

 

Exhibit 4.1

Promissory Note dated April 7, 2008 between Badger Meter, Inc. and the M&I Marshall & Ilsley Bank
relating to Badger Meter, Inc.’s promissory note.

M&I MARSHALL & ILSLEY BANK

PROMISSORY NOTE

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Principal	 	Loan Date	 	Maturity	 	Loan No.	 	Call / Coll	 	Account	 	Officer	 	Initials
	$30,000,000.00
	 	 	04-07-2008	 	 	 	07-31-2008	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

References in the shaded area are for Lender’s use only and do not limit the
applicability of this document to any particular loan or item.
Any item above containing “***” has been omitted due to text length limitations.

	 	 	 	 	 	 	 
	Borrower:

	 	Badger Meter, Inc.

4545 W. Brown Deer Rd.

Milwaukee, WI 53223-2413
	 	Lender:
	 	M&I Marshall & Ilsley Bank

SE Wisconsin Region Commercial Lending

770 North Water Street

Milwaukee, WI 53202

Principal Amount: $30,000,000.00       Initial Rate 3.450% Date of Note: April 7, 2008

PROMISE TO PAY. Badger Meter, Inc. (“Borrower”) promises to pay to M&I Marshall & Ilsley Bank
(“Lender”), or order, in lawful money of the United States of America, the principal amount of
Thirty Million & 00/100 Dollars ($30,000,000.00) or so much as may be outstanding, together with
interest on the unpaid outstanding principal balance of each advance. Interest shall be calculated
from the date of each advance until repayment of each advance.

PAYMENT. Borrower will pay this loan in one payment of all outstanding principal plus all accrued
unpaid interest on July 31, 2008. In addition, Borrower will pay regular monthly payments of all
accrued unpaid interest due as of each payment date, beginning May 1, 2008, with all subsequent
interest payments to be due on the same day of each month after that. Unless otherwise agreed or
required by applicable law, payments will be applied to Accrued Interest, Credit Life Premiums,
Principal, Late Charges, and Escrow. The annual interest rate for this Note is computed on a
365/360 basis; that is, by applying the ratio of the annual interest rate over a year of 360 days,
multiplied by the outstanding principal balance, multiplied by the actual number of days the
principal balance is outstanding. Borrower will pay Lender at Lender’s address shown above or at
such other place as Lender may designate in writing.

VARIABLE INTEREST RATE. The interest rate on this Note is subject to change from time to time
based on changes in an independent index which is the British Bankers Association (BBA) LIBOR and
reported by a major news service selected by Lender (such as Reuters, Bloomberg or Moneyline
Telerate). If BBA LIBOR for the one month period is not provided or reported on the first day of a
month because, for example, it is a weekend or holiday or for another reason, the One Month Libor
Rate shall be established as of the preceding day on which a BBA LIBOR rate is provided for the one
month period and reported by the selected news service (the “Index”). The Index is not necessarily
the lowest rate charged by Lender on its loans. If the Index becomes unavailable during the term
of this loan, Lender may designate a substitute index after notice to Borrower. Lender will tell
Borrower the current Index rate upon Borrower’s request. The interest rate change will not occur
more often than each first day of each calendar month. Borrower understands that Lender may make
loans based on other rates as well. The Index currently is 2.700% per annum. The interest rate to
be applied to the unpaid principal balance of the Note will be at a rate of 0.750 percentage points
over the Index, resulting in an initial rate of 3.450% per annum. NOTICE: Under no circumstances
will the interest rate on this Note be more than the maximum rate allowed by applicable law.

PREPAYMENT. Borrower may pay without penalty all or a portion of the amount owed earlier than it
is due. Early payment will not, unless agreed to by Lender in writing, relieve Borrower of
Borrower’s obligation to continue to make payments of accrued unpaid interest. Rather, early
payments will reduce the principal balance due. Borrower agrees not to send Lender payments marked
“paid in full”, “without recourse”, or similar language. If Borrower sends such a payment, Lender
may accept it without losing any of Lender’s rights under this Note, and Borrower will remain
obligated to pay any further amount owed to Lender. All written communications concerning disputed
amounts, including any check or other payment instrument that indicates that the payment
constitutes “payment in full” of the amount owed or that is tendered with other conditions or
limitations or as full satisfaction of a disputed amount must be mailed or delivered to: M&I
Marshall & Ilsley Bank, P.O. Box 3114, Milwaukee, WI 53201-3114.

LATE CHARGE. If a payment is 10 days or more late, Borrower will be charged 5.000% of the unpaid
portion of the regularly scheduled payment.

INTEREST AFTER DEFAULT. Upon default, including failure to pay upon final maturity, Lender, at its
option, may, if permitted under applicable law, increase the interest rate on this Note 3.000
percentage points over the Index. The interest rate will not exceed the maximum rate permitted by
applicable law.

DEFAULT. Each of the following shall constitute an event of default (“Event of Default”) under
this Note:

     Payment Default. Borrower fails to make any payment when due under this Note.

1

 

PROMISSORY NOTE

(Continued)

Loan
No:          Page
2

 

     Other Defaults. Borrower fails to comply with or to perform any other term, obligation,
covenant or condition contained in this Note or in any of the related documents or to comply with
or to perform any term, obligation, covenant or condition contained in any other agreement between
Lender and Borrower.

     Default in Favor of Third Parties. Borrower or any Grantor defaults under any loan, extension
of credit, security agreement, purchase or sales agreement, or any other agreement, in favor of any
other creditor or person that may materially affect any of Borrower’s property or Borrower’s
ability to repay this Note or perform Borrower’s obligations under this Note or any of the related
documents.

     False Statements. Any warranty, representation or statement made or furnished to Lender by
Borrower or on Borrower’s behalf under this Note or the related documents is false or misleading in
any material respect, either now or at the time made or furnished or becomes false or misleading at
any time thereafter.

     Insolvency. The dissolution or termination of Borrower’s existence as a going business, the
insolvency of Borrower, the appointment of a receiver for any part of Borrower’s property, any
assignment for the benefit of creditors, any type of creditor workout, or the commencement of any
proceeding under any bankruptcy or insolvency laws by or against Borrower.

     Creditor or Forfeiture Proceedings. Commencement of foreclosure or forfeiture proceedings,
whether by judicial proceeding, self-help, repossession or any other method, by any creditor of
Borrower or by any government agency against any collateral securing the loan. This includes a
garnishment of any of Borrower’s accounts, including deposit accounts, with Lender. However, this
Event of Default shall not apply if there is a good faith dispute by Borrower as to the validity or
reasonableness of the claim which is the basis of the creditor or forfeiture proceeding and if
Borrower gives Lender written notice of the creditor or forfeiture proceeding and deposits with
Lender monies or a surety bond for the creditor or forfeiture proceeding, in an amount determined
by Lender, in its sole discretion, as being an adequate reserve or bond for the dispute.

     Events Affecting Guarantor. Any of the preceding events occurs with respect to any guarantor,
endorser, surety, or accommodation party of any of the indebtedness or any guarantor, endorser,
surety, or accommodation party dies or becomes incompetent, or revokes or disputes the validity of,
or liability under, any guaranty of the indebtedness evidenced by this Note. In the event of a
death, Lender, at its option, may, but shall not be required to, permit the guarantor’s estate to
assume unconditionally the obligations arising under the guaranty in a manner satisfactory to
Lender, and, in doing so, cure any Event of Default.

     Change in Ownership. Any change in ownership of twenty-five percent (25%) or more of the
common stock of Borrower.

     Adverse Change. A material adverse change occurs in Borrower’s financial condition, or Lender
believes the prospect of payment or performance of this Note is impaired.

     Insecurity. Lender in good faith believes itself insecure.

LENDER’S RIGHTS. Upon default, Lender may declare the entire unpaid principal balance on this Note
and all accrued unpaid interest immediately due, and then Borrower will pay that amount.

ATTORNEY’S FEES; EXPENSES. Lender may hire or pay someone else to help collect this Note if
Borrower does not pay. Borrower will pay Lender that amount. This includes, subject to any limits
under applicable law, Lender’s attorney’s fees and Lender’s legal expenses, whether or not there is
a lawsuit, including attorney’s fees, expenses for bankruptcy proceedings (including efforts to
modify or vacate any automatic stay or injunction), and appeals. If not prohibited by applicable
law, Borrower also will pay any court costs, in addition to all other sums provided by law.

JURY WAIVER. Lender and Borrower hereby waive the right to any jury trial in any action,
proceeding, or counterclaim brought by either Lender or Borrower against the other.

GOVERNING LAW. This Note will be governed by federal law applicable to Lender and, to the extent
not preempted by federal law, the laws of the State of Wisconsin without regard to its conflicts of
law provisions. This Note has been accepted by Lender in the State of Wisconsin.

CHOICE OF VENUE. If there is a lawsuit, Borrower agrees upon Lender’s request to submit to the
jurisdiction of the courts of Milwaukee County, State of Wisconsin.

DISHONORED ITEM FEE. Borrower will pay a fee to Lender of $15.00 if Borrower makes a payment on
Borrower’s loan and the check or preauthorized charge with which Borrower pays is later dishonored.

RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in
all Borrower’s accounts with Lender (whether checking, savings, or some other account). This
includes all accounts Borrower holds jointly with someone else and all accounts Borrower may open
in the future. However, this does not include any IRA or Keogh accounts, or any trust accounts for
which setoff would be prohibited by law. Borrower authorizes Lender, to the extent permitted by
applicable law, to charge or setoff all sums owing on the debt against any and all such accounts,
and, at Lender’s option, to administratively freeze all such accounts to allow Lender to protect
Lender’s charge and setoff rights provided in this paragraph.

LINE OF CREDIT. This Note evidences a revolving line of credit. Advances under this Note, as well
as directions for payment from Borrower’s accounts, may be requested orally or in writing by
Borrower or by an authorized person. Lender may, but need not, require that all oral requests be
confirmed in writing. Borrower agrees to be liable for all sums either: (A) advanced in
accordance with the instructions of an authorized person, or (B) credited to any of Borrower’s
accounts with Lender. The unpaid principal balance owing on this Note at any time may be evidenced
by endorsements on this Note or by Lender’s internal records, including daily computer print-outs.
Lender will have no obligation to advance funds under this Note if: (A) Borrower or any guarantor
is in default under the terms of this Note or any agreement that Borrower or any guarantor has with
Lender, including any agreement made in connection with the signing of this Note; (B) Borrower or
any

2

 

PROMISSORY NOTE

(Continued)

Loan No:          Page 3

 

guarantor ceases doing business or is insolvent; (C) any guarantor seeks, claims or otherwise
attempts to limit, modify or revoke such guarantor’s guarantee of this Note or any other loan with
Lender; (D) Borrower has applied funds provided pursuant to this Note for purposes other than
those authorized by Lender; or (E) Lender in good faith believes itself insecure.

SUCCESSOR INTERESTS. The terms of this Note shall be binding upon Borrower, and upon Borrower’s
heirs, personal representatives, successors and assigns, and shall inure to the benefit of Lender
and its successors and assigns.

GENERAL PROVISIONS. This Note benefits Lender and its successors and assigns, and binds Borrower
and Borrower’s heirs, successors, assigns, and representatives. Lender may delay or forgo
enforcing any of its rights or remedies under this Note without losing them. Borrower and any
other person who signs, guarantees or endorses this Note, to the extent allowed by law, waive
presentment, demand for payment, and notice of dishonor. Upon any change in the terms of this
Note, and unless otherwise expressly stated in writing, no party who signs this Note, whether as
maker, guarantor, accommodation maker or endorser, shall be released from liability. All such
parties agree that Lender may renew or extend (repeatedly and for any length of time) this loan or
release any party or guarantor or collateral; or impair, fail to realize upon or perfect Lender’s
security interest in the collateral; and take any other action deemed necessary by Lender without
the consent of or notice to anyone. All such parties also agree that Lender may modify this loan
without the consent of or notice to anyone other than the party with whom the modification is made.
The obligations under this Note are joint and several.

PRIOR TO SIGNING THIS NOTE, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS NOTE, INCLUDING
THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE NOTE.

BORROWER ACKNOWLEDGES RECEIPT OF A COMPLETED COPY OF THIS PROMISSORY NOTE.

BORROWER:

	 	 	 	 	 
	BADGER METER, INC.

 	 	 
	By:  	/s/ Ronald H. Dix
 	 	 
	 	Senior Vice President — Administration 	 	 
	 	 	 	 
	 
	 	 	 
	By:  	/s/ Richard E. Johnson
 	 	 
	 	Senior Vice President — Finance,
 Chief Financial Officer and Treasurer 	 	 
	 	 	 	 

3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}]]