Document:

Document

Exhibit 10.17

AWARD AGREEMENT UNDER THE XPO
LOGISTICS, INC. CASH LONGTERM INCENTIVE PLAN,
dated as of 15Jan2020, (the “Grant Date”), between XPO
LOGISTICS, INC., a Delaware corporation (the “Company”),
and Karlis Kirsis.
This Award Agreement (this “Award Agreement”) sets forth the terms and conditions of a cash award (this “Award”) that are subject to the terms and conditions specified herein granted to you under the XPO Logistics, Inc. Cash LongTerm Incentive Plan (the “Plan”). This Award provides you with the opportunity to earn, subject to the terms of this Award Agreement, up to $180,765 of cash, as set forth in Section 3 of this Award Agreement.
THIS AWARD IS SUBJECT TO ALL TERMS AND CONDITIONS OF THE PLAN AND THIS AWARD AGREEMENT, INCLUDING THE DISPUTE RESOLUTION PROVISIONS SET FORTH IN SECTION 10 OF THIS AWARD AGREEMENT. BY SIGNING YOUR NAME BELOW, YOU SHALL HAVE CONFIRMED YOUR ACCEPTANCE OF THE TERMS AND CONDITIONS OF THIS AWARD AGREEMENT.
SECTION 1. The Plan. This Award is made pursuant to the Plan, all the terms of which are hereby incorporated in this Award Agreement. In the event of any conflict between the terms of the Plan and the terms of this Award Agreement, the terms of the Plan shall govern.
SECTION 2. Definitions. Capitalized terms used in this Award Agreement that are not defined in this Award Agreement have the meanings as used or defined in the Plan. As used in this Award Agreement, the following terms have the meanings set forth below:
“Business Day” means a day that is not a Saturday, a Sunday or a day on which banking institutions are legally permitted to be closed in the City of New York.
“Cause” means: (i) your dereliction of duties or gross negligence or failure to perform your duties or refusal to follow any lawful directive of the officer to whom you report; (ii) your abuse of or dependency on alcohol or drugs (illicit or otherwise) that adversely affects your performance of duties for the Company; (iii) your commission of any fraud, embezzlement, theft or dishonesty, or any deliberate misappropriation of money or other assets of the Company; (iv) your breach of any fiduciary duties to the Company or any agreement with the Company; (v) any act, or failure to act, by you in bad faith to the detriment of the Company; (vi) your failure to provide the Company with at least 30 days’ advanced written notice of your intention to resign; (vii) your failure to cooperate in good faith with a governmental or internal investigation of the Company or any of its directors, managers, officers or employees, if the Company requests your cooperation; (viii) your failure to follow Company policies, including the Company’s code of conduct and/or ethics policy, as may be in effect from time to time, and (ix) your conviction of, or plea of nolo contendere to, a felony or any serious crime; provided that in cases where cure is possible, you shall first be provided a 15day cure period. If, subsequent to your termination of employment for any reason other than by the Company for Cause, it is determined in good faith by the Chief Executive Officer of the Company that your employment could have been terminated by the Company for Cause, your employment shall, at the election of the Chief Executive Officer of the Company at any time up to two years after your termination of 
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employment but in no event more than six months after the Chief Executive Officer of the Company learns of the facts or events that could give rise to the termination for Cause, be deemed to have been terminated for Cause retroactively to the date the events giving rise to Cause occurred.
“Code” means the Internal Revenue Code of 1986, as amended.
“Employment Agreement” means any individual employment agreement between you and the Company or any of its Subsidiaries.
“Section 409A” means Section 409A of the Code, and the regulations and other interpretive guidance promulgated thereunder, as in effect from time to time.
“Settlement Date” means the next regularly scheduled payroll date following the earliest of (i) the applicable Vesting Date; (ii) the date of your termination of employment; or (iii) a Change of Control.
“Vesting Date” means the date on which the service requirement set forth in Section 3(a) of this Award Agreement is met.
SECTION 3. Vesting and Settlement. Regularly Scheduled Settlement. Except as otherwise provided in this Award Agreement, the vesting period will be the three calendar year period commencing with the year in which the Grant Date occurs and onetwelfth of the Award will become vested on the last day of the calendar quarter in which the Grant Date occurs and each subsequent calendar quarter during such vesting period (each, a “Vesting Date”), subject to your continued employment through each such Vesting Date.
(a)Termination of Employment. Notwithstanding anything to the contrary in this Award Agreement or the Plan:
(i)if your employment terminates by reason of your death, the remainder of the Award shall vest in full immediately;
(ii)if your employment is terminated by the Company for Cause or by reason of your Disability, the remainder of the Award shall be immediately forfeited;
(iii)if your employment is terminated by the Company without Cause,(A) you shall vest in the sum of the portion of the Award scheduled and eligible to vest on each of the Vesting Dates occurring after the date of termination and before the next anniversary of the Grant Date immediately following the date of termination, and (B) the remainder of the Award shall be forfeited; and
(iv)if you resign for any reason, (A) you shall vest in a portion of the Award, solely with respect to the portion of the Award scheduled and eligible to vest on the Vesting Date immediately following the date of termination, equal to the product of (x) the portion of the Award scheduled and eligible to vest on the Vesting Date immediately following the date of termination and (y) a fraction, the numerator of which is the number of days from the Vesting Date immediately preceding the date of termination (or, if such termination is after the Grant Date but prior to the first Vesting Date, the Grant Date) 
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through the date of termination of your employment and the denominator of which is the number of days from the Vesting Date immediately preceding the date of termination (or, if such termination is after the Grant Date but prior to the first Vesting Date, the Grant Date) through the Vesting Date immediately following the date of termination, and (B) the remainder of the Award shall be forfeited.
By way of illustration, if, on the date that is two (2) months after the first Vesting Date, your employment terminates (A) by reason of a termination by the Company without Cause, you shall vest in threetwelfths of the Award (i.e., the sum of the onetwelfth of the Award that was scheduled and eligible to vest on the second, third, and fourth Vesting Dates) or (B) by reason of your resignation, you shall vest in twothirds (2/3) of the portion of the Award (i.e., onetwelfth) that was scheduled and eligible to vest on the second Vesting Date and, in each case, the remainder of the Award shall be forfeited.
(b)Change of Control. Upon a Change of Control that occurs during your employment, the Award shall vest in full immediately.
(c)Settlement of Award. On the Settlement Date, the Company shall deliver to you or your legal representative a lump sum cash payment equal to the portion of the Award that has vested in accordance with the terms of this Award Agreement.
SECTION 4. Forfeiture of Award. If you (a) breach any restrictive covenant (which, for the avoidance of doubt, includes any noncompete, nonsolicit, non disparagement or confidentiality provisions) contained in any arrangements with the Company (including any Employment Agreement and the confidentiality covenant contained in Section 10(c) hereof) to which you are subject or (b) engage in fraud or willful misconduct that contributes materially to any financial restatement or material loss to the Company or any of its Subsidiaries, your rights with respect to the Award shall immediately terminate, and you shall be entitled to no further payments or benefits with respect thereto and, if the Award has vested and/or settled, the Company may require you to forfeit or remit to the Company any amount payable, or the aftertax net amount paid or received by you, in respect of the Award; provided, however, that (i) the Company shall make such demand that you forfeit or remit any such amount no later than six months after learning of the conduct described in this Section 4 and (ii) in cases where cure is possible, you shall first be provided a 15day cure period to cease, and to cure, such conduct.
SECTION 5. NonTransferability of Award. Unless otherwise provided by the Administrator in its discretion, the Award may not be sold, assigned, alienated, transferred, pledged, attached or otherwise encumbered except as provided in Section 8(a) of the Plan. Any purported sale, assignment, alienation, transfer, pledge, attachment or other encumbrance of the Award in violation of the provisions of this Section 5 and Section 8(a) of the Plan shall be void.
SECTION 6. Withholding, Consents and Legends. Withholding. The delivery of cash pursuant to Section 3 of this Award Agreement is conditioned on satisfaction of any applicable withholding taxes in accordance with this Section 8(c) of the Plan. No later than the date as of which an amount first becomes includible in your gross income for Federal, state, local or foreign income tax purposes with respect to any portion of the Award, you shall pay to the 
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Company, or make arrangements satisfactory to the Company regarding the payment of, any Federal, state, local and foreign taxes that are required by applicable laws and regulations to be withheld with respect to such amount. In the event that there is withholding tax liability in connection with the settlement of the Award, if authorized by the Administrator in its sole discretion, you may satisfy, in whole or in part, any withholding tax liability by having the Company withhold from the cash you would be entitled to receive upon settlement of the Award, an amount equal to such withholding tax liability.
(a)Consents. Your rights in respect of the Award are conditioned on the receipt to the full satisfaction of the Administrator of any required consents that the Administrator may determine to be necessary or advisable (including your consent to the Company’s supplying to any thirdparty recordkeeper of the Plan such personal information as the Administrator deems advisable to administer the Plan).
SECTION 7. Successors and Assigns of the Company. The terms and conditions of this Award Agreement shall be binding upon and shall inure to the benefit of the Company and its successors and assigns.
SECTION 8. Administrator Discretion. The Administrator shall have full and plenary discretion with respect to any actions to be taken or determinations to be made in connection with this Award Agreement, and its determinations shall be final, binding and conclusive.
SECTION 9. Dispute Resolution. Jurisdiction and Venue.Notwithstanding any provision in your Employment Agreement, you and the Company irrevocably submit to the exclusive jurisdiction of (i) the United States District Court for the Southern District of New York and (ii) the courts of the State of New York for the purposes of any suit, action or other proceeding arising out of this Award Agreement or the Plan. You and the Company agree to commence any such action, suit or proceeding either in the United States District Court for the Southern District of New York or, if such suit, action or other proceeding may not be brought in such court for jurisdictional reasons, in the courts of the State of New York. You and the Company further agree that service of any process, summons, notice or document by U.S. registered mail to the other party’s address set forth below shall be effective service of process for any action, suit or proceeding in New York with respect to any matters to which you have submitted to jurisdiction in this Section 9(a). You and the Company irrevocably and unconditionally waive any objection to the laying of venue of any action, suit or proceeding arising out of this Award Agreement or the Plan in (A) the United States District Court for the Southern District of New York or (B) the courts of the State of New York, and hereby and thereby further irrevocably and unconditionally waive and agree not to plead or claim in any such court that any such action, suit or proceeding brought in any such court has been brought in an inconvenient forum.
(a)Waiver of Jury Trial. You and the Company hereby waive, to the fullest extent permitted by applicable law, any right either of you may have to a trial by jury in respect to any litigation directly or indirectly arising out of, under or in connection with this Award Agreement or the Plan.
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(b)Confidentiality. You hereby agree to keep confidential the existence of, and any information concerning, a dispute described in this Section 9, except that you may disclose information concerning such dispute to the court that is considering such dispute or to your legal counsel (provided that such counsel agrees not to disclose any such information other than as necessary to the prosecution or defense of the dispute).
SECTION 10. Notice. All notices, requests, demands and other communications required or permitted to be given under the terms of this Award Agreement shall be in writing and shall be deemed to have been duly given when delivered by hand or overnight courier or three Business Days after they have been mailed by U.S. certified or registered mail, return receipt requested, postage prepaid, addressed to the other party as set forth below:
If to the Company:                              XPO Logistics, Inc. 
Five American Lane
                                                                        Greenwich, CT 06831
Attention: Chief Human Resources Officer
If to you:                                             To your address as most recently supplied
to the Company and set forth in the
Company’s records
The parties may change the address to which notices under this Award Agreement shall be sent by providing written notice to the other in the manner specified above.
SECTION 11. Governing Law. This Award Agreement shall be deemed to be made in the State of Delaware, and the validity, construction and effect of this Award Agreement in all respects shall be determined in accordance with the laws of the State of Delaware, without giving effect to the conflict of law principles thereof.
SECTION 12. Headings and Construction. Headings are given to the Sections and subsections of this Award Agreement solely as a convenience to facilitate reference. Such headings shall not be deemed in any way material or relevant to the construction or interpretation of this Award Agreement or any provision thereof. Whenever the words “include”, “includes” or “including” are used in this Award Agreement, they shall be deemed to be followed by the words “but not limited to”. The term “or” is not exclusive.
SECTION 13. Amendment of this Award Agreement. The Administrator may waive any conditions or rights under, amend any terms of, or alter, suspend, discontinue, cancel or terminate this Award Agreement prospectively or retroactively; provided, however, that, except as set forth in Section 14(d) of this Award Agreement, any such waiver, amendment, alteration, suspension, discontinuance, cancelation or termination that would materially and adversely impair your rights under this Award Agreement shall not to that extent be effective without your consent.
SECTION 14. Section 409A. It is intended that the provisions of this Award Agreement comply with Section 409A, and all provisions of this Award Agreement shall be construed and interpreted in a manner consistent with the requirements for avoiding taxes or penalties under Section 409A.
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(a)Neither you nor any of your creditors or beneficiaries shall have the right to subject any deferred compensation (within the meaning of Section 409A) payable under this Award Agreement to any anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, attachment or garnishment. Except as permitted under Section 409A, any deferred compensation (within the meaning of Section 409A) payable to you or for your benefit under this Award Agreement may not be reduced by, or offset against, any amount owing by you to the Company or any of its Affiliates.
(b)If, at the time of your separation from service (within the meaning of Section 409A), (i) you shall be a specified employee (within the meaning of Section 409A and using the identification methodology selected by the Company from time to time) and (ii) the Company shall make a good faith determination that an amount payable hereunder constitutes deferred compensation (within the meaning of Section 409A) the payment of which is required to be delayed pursuant to the six-month delay rule set forth in Section 409A in order to avoid taxes or penalties under Section 409A, then the Company shall not pay such amount on the otherwise scheduled payment date but shall instead pay it, without interest (except as otherwise provided in your Employment Agreement), on the first Business Day after such six-month period. For purposes of Section 409A, each payment hereunder will be deemed to be a separate payment as permitted under Treasury Regulation Section 1.409A2(b)(2)(iii).
(c)Notwithstanding any provision of this Award Agreement to the contrary, in light of the uncertainty with respect to the proper application of Section 409A, the Company reserves the right to make amendments to this Award Agreement as the Company deems necessary or desirable to avoid the imposition of taxes or penalties under Section 409A. In any case, you shall be solely responsible and liable for the satisfaction of all taxes and penalties that may be imposed on you or for your account in connection with this Award Agreement (including any taxes and penalties under Section 409A), and neither the Company nor any of its Affiliates shall have any obligation to indemnify or otherwise hold you harmless from any or all of such taxes or penalties.
SECTION 15. Counterparts. This Award Agreement may be signed in counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument. You and the Company hereby acknowledge and agree that signatures delivered by facsimile or electronic means (including by “pdf”) shall be deemed effective for all purposes.
SECTION 16. Section 280G. Notwithstanding anything in this Award Agreement to the contrary and regardless of whether this Award Agreement has otherwise expired or terminated, unless otherwise provided in your Employment Agreement, in the event that any payments, distributions, benefits or entitlements of any type payable to you (“CIC Benefits”) (i) constitute “parachute payments” within the meaning of Section 280G of the Code, and (ii) but for this paragraph would be subject to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then your CIC Benefits shall be reduced to such lesser amount (the “Reduced Amount”) that would result in no portion of such benefits being subject to the Excise Tax; provided that such amounts shall not be so reduced if the Company determines, based on the advice of Golden Parachute Tax Solutions LLC, or such other nationally recognized certified 
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public accounting firm as may be designated by the Company (the “Accounting Firm”), that without such reduction you would be entitled to receive and retain, on a net after tax basis (including, without limitation, any excise taxes payable under Section 4999 of the Code), an amount that is greater than the amount, on a net after tax basis, that you would be entitled to retain upon receipt of the Reduced Amount. Unless the Company and you otherwise agree in writing, any determination required under this Section 16 shall be made in writing in good faith by the Accounting Firm. In the event of a reduction of benefits hereunder, benefits shall be reduced by first reducing or eliminating the portion of the CIC Benefits that are payable under this Award Agreement and then by reducing or eliminating the portion of the CIC Benefits that are payable in cash and then by reducing or eliminating the noncash portion of the CIC Benefits, in each case, in reverse order beginning with payments or benefits which are to be paid the furthest in the future. For purposes of making the calculations required by this Section 16, the Accounting Firm may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good faith interpretations concerning the application of the Code, and other applicable legal authority. The Company and you shall furnish to the Accounting Firm such information and documents as the Accounting Firm may reasonably require in order to make a determination under this Section 16, and the Company shall bear the cost of all fees the Accounting Firm charges in connection with any calculations contemplated by this Section 16. In connection with making determinations under this Section 16, the Accounting Firm shall take into account the value of any reasonable compensation for services to be rendered by you before or after the Change of Control, including any non competition provisions that may apply to you and the Company shall cooperate in the valuation of any such services, including any non-competition provisions.
The parties have duly executed this Award Agreement as of the date first written above.
									
	XPO LOGISTICS, INC.
			
		by	/s/ Meghan Henson
		
		
			Name: Meghan Henson
			Title: Chief Human Resources Officer

7Exhibit 101

			
					
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						th Floor 

					
						 

					
						 

					
						 

					
						 

					
						 

					
						 

					
						 

				
	
					
						

					
						TD Commercial National Accounts

					
						TD Tower, 66 Wellington Street West, 12th Floor 

					
						Toronto, Ontario

					
						M5k 1A2

					
						 

					
						Telephone  No.:  416-307-0235

					
						Fax No.: 416 982 6076

					
						 

				

		
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			July 13, 2021
		

		
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			RENIN CANADA CORP.
		

		
			RENIN US LLC
		

		
			110 Walker Drive 
		

		
			Brampton, Ontario
		

		
			L6T 4H6
		

		
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			Attention: Mr. Joe Ruffo, President and Chief Executive Officer
		

		
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			RE: First Amendment to the Loan Agreement
		

		
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			Dear Mr. Ruffo, 
		

		
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			The following amending agreement (this "Amending Agreement") amends the terms and conditions of the credit facilities (the "Facilities" or the “Credit Facilities”) provided to the Borrower pursuant to the Loan Agreement dated October 22, 2020 between the Bank and the Borrower (the “Loan Agreement”).
		

		
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			BORROWER
		

		
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			RENIN CANADA CORP. ("Borrower A" or "RENIN CA")
		

		
			RENIN US LLC("Borrower B" or "RENIN US")
		

		
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			GUARANTORS
		

		
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			RENIN HOLDINGS LLC("Guarantor A" or "HOLDINGS")
		

		
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			LENDERThe Toronto-Dominion Bank (the "Bank", the "Lender", "TD" or "TD Bank"), through its Commercial National Accounts branch, in Toronto, Ontario.
		

		
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			CREDIT LIMIT
		

		
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			1 (A) (B) The Credit Limit for Facility 1 (A) (B) is hereby deleted in its entirety and replaced with the following:
		

		
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			The lesser of:
		

		
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				 i)
			

			
	
			
			During the period beginning on the Effective Date (as later defined) of this Amending Agreement until December 31, 2021 (the “Bulge Period”), an amount equal to USD$24,000,000 (or its CAD$ equivalent), and at all other times from January 1st, 2022 until the Maturity Date, an amount equal to  USD$20,000,000 (or its CAD$ equivalent), 

		

		

		 

 

		AND
		

		
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				 ii)
			

			
	
			
			The total of:

			
	
			
				 a)
			

			
	
			
			85% of the Receivable Value, (net of discounts, rebates, over 90 day accounts, related party accounts and holdbacks) for Canadian and US companies with satisfactory Investment Grade credit ratings to the Bank, where “Investment Grade” refers to a company that maintains at least one rating of at least BBB-/Baa3 with S&P or Moody’s credit ratings services

		
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			AND
		

		
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				 b)
			

			
	
			
			80% of the Receivable Value (net of discounts, rebates, over 90 day accounts, related party accounts and holdbacks) for Canadian and US companies not included in paragraph a) above,

		
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			AND
		

		
			 
		

			
	
			
				 c)
			

			
	
			
			60% of the Inventory Value except that the amount calculated under c) will not exceed USD$10,000,000. Inventory Value to include raw materials and finished goods and goods in transit (GIT)* (to a maximum of USD$5,000,000), and to be net of returned inventory, defective inventory, damaged goods, inventory held outside Canada & USA, obsolete inventory, unsaleable inventory, GIT in excess of the above maximum limit and Slow-Moving Inventory**. For clarity, Inventory Value to be held in a warehouse where the Bank holds a landlord waiver, otherwise a deduction of three (3) months rent will be taken.

		
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			*GIT will be excluded from Inventory Value unless the Borrower obtains a marine/freight cargo policy with TD as loss payee.
		

		
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			** “Slow-Moving Inventory” is defined as inventory where part of such inventory has not been sold for greater than 12 months
		

		
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			In addition, the Credit Limit of Facility 1 (A) (B) is to be capped on a monthly basis at the lesser of: (a) During the Bulge Period only, USD$24,000,000 (or its CAD$ equivalent), and at all other times thereafter from January 1st, 2022 until the Maturity Date, USD$20,000,000 (or its CAD$ equivalent), and (b) the total as calculated under (ii) of the definition above based on the most recently provided monthly borrowing base certificate or compliance certificate from the prior period (the "Forward Margin"). 
		

		
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			ADMINISTRATION
		

		
			FEE
		

		
			A one-time fee of $15,000 to be paid by the Borrower upon execution of this Amending Agreement (the “Administration Fee”).
		

		
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		STANDBY FEE
		

		
			In addition to the standby fee payable under the Loan Agreement, during the Bulge Period the Borrower shall also pay a standby fee on the average daily unused amount of the undrawn portion of the increased Credit Limit of Facility 1,  payable on  the third Business Day following the last Business Day of fiscal quarters ending September and December 2021.
		

		
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			REPAYMENT
		

		
			In addition to its repayment obligations under the Loan Agreement, the Borrower shall pay (without any prepayment fee) to the Bank on the last business day of the Bulge Period the amount required to bring the outstanding drawdowns under Facility 1 into compliance with the reduced Credit Limit applicable to Facility 1 as of January 1st, 2022.
		

		
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			DISBURSEMENT
		

		
			CONDITIONSUnless otherwise indicated or agreed upon with the Bank, the obligation of the Bank to permit any drawdown under this Amending Agreement shall only become effective upon the later to occur of (x) the Effective Date, and (y) the date upon which the Standard Disbursement Conditions contained in Schedule "A" to the Loan Agreement and the following additional Disbursement Conditions have been satisfied in the sole discretion of the Bank:
		

		
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				 a)
			

			
	
			
			The Borrower shall have delivered an updated Compliance Certificate dated as of the Effective Date confirming all representations and warranties under the Loan Agreement continue to be true as of the date of this Amending Agreement and confirming no default or Event of Default has occurred and is continuing as of the date of this Amending Agreement and that there has been no material adverse change in the property, assets, financial condition, business or operations of the Borrower since October 22, 2020;

			
	
			
				 b)
			

			
	
			
			Payment of the one-time Administration Fee to the Bank and the legal fees, disbursements and applicable taxes of the Bank’s legal counsel in connection with the preparation and closing of this Amending Agreement;

			
	
			
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			Execution and delivery of this Amending Agreement by the Borrower and Holdings. 

		
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			NEGATIVE
		

		
			COVENANTS
		

		
			Section 1) of the Negative Covenants is hereby deleted in its entirety and replaced with the following:
		

		
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				 1)
			

			
	
			
			Make any Distributions* prior to June 30, 2022. Beginning July 1, 2022 Distributions are permitted provided: (i) no Event of Default has occurred and is continuing or will occur on a pre and post payment basis; and (ii) the Total Leverage Ratio remains <2.75x on a pre and post payment basis.

		
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		* “Distributions” are defined as dividends, share redemptions, repayment of shareholder or related party loans, and advances to shareholders or related parties.
		

		
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			FINANCIAL
		

		
			COVENANTS
		

		
			Financial Covenant (1) is hereby deleted in its entirety and replaced with the following:
		

		
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			The Borrowers and the Renin Group agree that at all times that the maximum Total Funded Debt to Consolidated Adjusted EBITDA Ratio ("Total Leverage Ratio") of the Renin Group shall not exceed:
		

		
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			4.25x at any time beginning upon the Effective Date of this Amending Agreement up to and including Dec 31, 2021;

			
	
			
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			stepping down to not exceed 3.75x beginning on January 1, 2022 up to and including March 31, 2022;

			
	
			
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			further stepping down to not exceed 3.50x beginning on April 1, 2022 up to and including June 30, 2022;

			
	
			
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			further stepping down to not exceed 3.00x beginning July 1st, 2022 and thereafter until the Maturity Date.

		
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			The Total Leverage Ratio is to be calculated based on the consolidated Renin Group and tested quarterly on a rolling four quarter basis.
		

		
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			“Total Funded Debt” is defined as all debts and liabilities for borrowed money including liabilities in respect of BAs/LIBOR and Letters of Credit/Guarantee, capital leases, contingent guarantees.
		

		
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			“Consolidated Adjusted EBITDA” is defined as earnings before interest, taxes, depreciation, amortization, plus/(minus) extraordinary losses/(gains), non-cash losses/(gains), plus the following:
		

			
	
			
				 a)
			

			
	
			
			Normalization adjustments at closing up to USD $167,000 as supported by the September 2020 KPMG quality of earnings report;

			
	
			
				 b)
			

			
	
			
			Non-recurring and identifiable expenses up to USD $1,000,000 incurred in connection with the Colonial Elegance Acquisition;

			
	
			
				 c)
			

			
	
			
			Unrealized cost synergies expected to be realized within 24 months from closing (to be reasonably identifiable and factually supportable) up to USD $2,800,000.

		
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			Note the aggregate of (a), (b) and (c) not to exceed 25% of Consolidated Adjusted EBITDA for such period.
		

		
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		For clarity purposes, the historical EBITDA of Colonial Elegance Inc. (“CE”) shall be added back to Consolidated Adjusted EBITDA as follows:
		

			
	
			
				 a)
			

			
	
			
			Q4 2020 : CE EBITDA of 9.5 months from January 1, 2020 to October 15, 2020

			
	
			
				 b)
			

			
	
			
			Q1 2021 : CE EBITDA of 6.5 months from April 1, 2020 to October 15, 2020

			
	
			
				 c)
			

			
	
			
			Q2 2021 : CE EBITDA of 3.5 months from July 1, 2020 to October 15, 2020

			
	
			
				 d)
			

			
	
			
			Q3 2021 : CE EBITDA of 0.5 months from October 1, 2020 to October 15, 2020

		
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			[CE EBITDA as per the Compliance Certificate provided by the Borrowers on the Acquisition Closing Date is as follows:
		

			
	
			
				 a)
			

			
	
			
			Q1 2020 (January 1, 2020 to March 31, 2020) – CAD$2,700,000

			
	
			
				 b)
			

			
	
			
			Q2 2020 (April 1, 2020 to June 30, 2020) – CAD$1,913,000

			
	
			
				 c)
			

			
	
			
			Q3 2020 until the Acquisition Closing Date:

			
	
			
				i.
			

			
	
			
			July 2020 – CAD$745,000

			
	
			
				ii.
			

			
	
			
			August 2020 – CAD$885,000

			
	
			
				iii.
			

			
	
			
			September 2020 Projected – CAD$983,000

			
	
			
				iv.
			

			
	
			
			October 2020 Projected – CAD$983,000]

		
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			Unless otherwise stated, the amendments outlined above in this Amending Agreement are in addition to the Terms and Conditions of the existing Loan Agreement. All other terms and conditions of the Loan Agreement remain unchanged and in full force and effect.
		

		
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			We ask that the Borrower sign and return the attached duplicate copy of this Amending Agreement to the Bank on or before July 13, 2021 which is the date the amendments will come into force (the “Effective Date”). Notwithstanding the foregoing, the Borrower’s continued use of the Credit Facilities or failure to repay the Credit Facilities in full after the Effective Date constitutes the Borrower’s acknowledgement and acceptance of this Amending Agreement.
		

		
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			ACCURACY OF
		

		
			INFORMATION
		

		
			The Borrower hereby represents and warrants that all information that it has provided to the Bank is accurate and complete respecting, where applicable:
		

			
	
			
				 (i)
			

			
	
			
			The names of the Borrower's directors and the names and addresses of the Borrower's beneficial owners;

			
	
			
				 (ii)
			

			
	
			
			The names and addresses of the Borrower's trustees, known beneficiaries and/or settlors; and

			
	
			
				 (iii)
			

			
	
			
			The Borrower's ownership, control and structure.

		
			The Borrower will provide, or cause to be provided, such updated information and/or additional supporting information as the Bank may require from time to time with respect to any or all the matters in the Borrower's foregoing representation and warranty.
		

		
			The Borrower confirms that there has been no change to any of the above information provided to the Bank since October 22, 2020.
		

		

		

		 

 

		NOTICE
		

		
			The address of the Bank for Notice under the Loan Agreement is hereby deleted in its entirety and replaced with the following:
		

		
			﻿
		

		
			In the case of the Lender, to:
		

		
			﻿
		

		
			The Toronto-Dominion Bank
		

		
			TD Commercial Banking
		

		
			TD Commercial National Accounts
		

		
			TD Tower, 66 Wellington Street West, 12th Floor
		

		
			Toronto, Ontario
		

		
			M5K 1A2
		

		
			﻿
		

		
			Attention:  Sean Harrison, Director, National Accounts
		

		
			Email:  Sean.harrison@td.com
		

		
			﻿
		

		
			RECONFIRMATION OF 
		

		
			SECURITY AND GUARANTEES
		

		
			﻿
		

		
			The Borrower and all Guarantors acknowledge and confirm that all security and guarantees granted or continued under the Loan Agreement shall continue to support the repayment and performance of all present and future indebtedness and liability of the Borrower and the grantor of the security or guarantee to the Bank under the Loan Agreement as amended by this Amending Agreement. 
		

		
			﻿
		

		
			GENERAL
		

		
			This Amending Agreement shall be governed by and construed in accordance with the laws of the Province of Ontario and the federal laws of Canada applicable therein.  This Amending Agreement may be executed in any number of counterparts, including by PDF counterparts and other electronic means, with each such PDF or electronic counterpart being equally effective as if executed by original wet ink signature.
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

		
			Yours truly, 
		

		
			﻿
		

		
			﻿
		

		
			THE TORONTO-DOMINION BANK
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

			
					
						/s/ Sean Harrison

					
						Sean Harrison

					
						Director, National Accounts

					
					
						/s/ Robert Hish

					
						Robert Hirsh

					
						Senior Manager, Commercial Credit

				

		
			﻿
		

		
			﻿
		

		

		

		 

 

		TO THE TORONTO-DOMINION BANK:
		

		
			﻿
		

		
			RENIN CANADA CORP. hereby accepts the foregoing offer this 13th day of July, 2021.  The Borrower confirms that, except as may be set out above, the Credit Facilities detailed herein shall not be used by or on behalf of any third party.
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

			
					
						/s/ Elizabeth Skinner

					
						Signature

					
					
						 

					
					
						/s/ Joseph Ruffo

					
						Signature

				
	
					
						﻿

					
						 

					
						 

					
						 

					
					
						 

					
					
						 

				
	
					
						Elizabeth Skinner, VP Finance

					
						Print Name & Position

					
					
						 

					
					
						Joseph Ruffo, President & CEO

					
						Print Name & Position

				

		
			﻿
		

		
			 
		

		
			﻿
		

		
			﻿
		

		
			TO THE TORONTO-DOMINION BANK:
		

		
			﻿
		

		
			RENIN US LLC hereby accepts the foregoing offer this 13th day of July, 2021.  The Borrower confirms that, except as may be set out above, the Credit Facilities detailed herein shall not be used by or on behalf of any third party.
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

			
					
						/s/ Elizabeth Skinner

					
						Signature

					
					
						 

					
					
						/s/ Joseph Ruffo

					
						Signature

				
	
					
						﻿

					
						 

					
						 

					
						 

					
					
						 

					
					
						 

				
	
					
						Elizabeth Skinner, VP Finance

					
						Print Name & Position

					
					
						 

					
					
						Joseph Ruffo, President & CEO

					
						Print Name & Position

				

		
			﻿
		

		
			 
		

		

		

		 

 

		
		

		
			cc. Guarantor(s)
		

		
			﻿
		

		
			The Bank is providing the guarantor(s) with a copy of this Amending Agreement as a courtesy only.  The delivery of a copy of this Amending Agreement does not create any further obligation of the Bank to provide the guarantor(s) with notice of any changes to the Credit Facilities, including without limitation, changes to the terms and conditions, increases or decreases in the amount of the Credit Facilities, the establishment of new Credit Facilities or otherwise.  The Bank may, or may not, at its option, provide the guarantor(s) with such information, provided that the Bank will provide such information upon the written request of the guarantor.
		

		
			﻿
		

		
			﻿
		

		
			Receipt acknowledged this 13 day of July, 2021
		

		
			﻿
		

		
			RENIN HOLDINGS LLC
		

			
					
						﻿

				
	
					
						/s/ Joseph Ruffo

					
						Signature

				
	
					
						﻿

				
	
					
						Joseph Ruffo

				
	
					
						Chief Executive Officer

				
	
					
						________________________________

					
						Print Name & Position

				
	
					
						﻿

				

		
			﻿
		

		
			.
		

		
			﻿
		

		
			﻿

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00330-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00330-of-00352.parquet"}]]