Document:

exv10w2

Exhibit 10.2

 

 

Shareholder’s and Registration Rights Agreement

by and between

Ralcorp Holdings, Inc.

and

Post Holdings, Inc.

Dated as of                      , 2012

 

 

 

 

Table of Contents

	 	 	 	 	 
	 	 	 	Page	 
	ARTICLE I Definitions
	 	 	1	 
	Section 1.01 Definitions
	 	 	1	 
	Section 1.02 Interpretation.
	 	 	4	 
	 
	 	 	 	 
	ARTICLE II Registration Rights
	 	 	5	 
	Section 2.01 Registration.
	 	 	5	 
	Section 2.02 Piggyback Registrations.
	 	 	8	 
	Section 2.03 Registration Procedures.
	 	 	9	 
	Section 2.04 Underwritten Offerings or Exchange Offers.
	 	 	14	 
	Section 2.05 Registration Rights Agreement with Participating Banks.
	 	 	15	 
	Section 2.06 Registration Expenses Paid By Company.
	 	 	15	 
	Section 2.07 Indemnification.
	 	 	15	 
	Section 2.08 Reporting Requirements; Rule 144.
	 	 	18	 
	 
	 	 	 	 
	ARTICLE III Voting Restrictions
	 	 	18	 
	Section 3.01 Voting of Company Common Stock.
	 	 	18	 
	 
	 	 	 	 
	ARTICLE IV Miscellaneous
	 	 	19	 
	Section 4.01 Term.
	 	 	19	 
	Section 4.02 Entire Agreement.
	 	 	19	 
	Section 4.03 Choice of Law.
	 	 	19	 
	Section 4.04 Amendment
	 	 	20	 
	Section 4.05 Waiver.
	 	 	20	 
	Section 4.06 Partial Invalidity.
	 	 	20	 
	Section 4.07 Execution in Counterparts.
	 	 	20	 
	Section 4.08 Successors, Assigns and Transferees.
	 	 	20	 
	Section 4.09 Notices.
	 	 	21	 
	Section 4.10 No Reliance on Other Party.
	 	 	22	 
	Section 4.11 Performance.
	 	 	22	 
	Section 4.12 Attorneys’ Fees.
	 	 	22	 
	Section 4.13 Further Assurances.
	 	 	22	 
	Section 4.14 Registrations, Exchanges, etc.
	 	 	22	 

 

 

Shareholder’s and Registration Rights Agreement

          This Shareholder’s and Registration Rights Agreement is made as of      , 2012 by and among
Ralcorp Holdings, Inc., a Missouri corporation (“Ralcorp”), and Post Holdings, Inc., a
Missouri corporation and wholly owned subsidiary of Ralcorp (“Post”).

Recitals

          A. Pursuant to the Separation and Distribution Agreement, dated as of      , 2012 (the
“Distribution Agreement”), by and among Ralcorp, Post and Post Foods, LLC, Ralcorp will
distribute at least 80% of the outstanding shares of Common Stock (as defined below) to Ralcorp’s
shareholders (the “Distribution”).

          B. If any shares of Common Stock are not distributed in the Distribution (such shares not
distributed in the Distribution, the “Retained Shares”), then Ralcorp may dispose of these
shares through one or more transactions, including pursuant to one or more transactions registered
under the Securities Act.

          C. Post desires to grant to Ralcorp the Registration Rights (as defined below) for the
Retained Shares, subject to the terms and conditions of this Agreement.

          D. If there shall be any Retained Shares, then Ralcorp desires to grant Post a proxy to vote
such Retained Shares in proportion to the votes cast by other shareholders, subject to the terms
and conditions of this Agreement.

Agreements

          NOW, THEREFORE, in consideration of the mutual promises contained herein and other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending
to be legally bound hereby, the parties hereto hereby agree as follows:

ARTICLE I

Definitions

          Section 1.01 Definitions

          As used in this Agreement, the following terms shall have the meanings

          “Affiliate” means, when used with respect to a specified Person, another Person that
controls, is controlled by, or is under common control with the Person specified; provided,
however, that, immediately after the Distribution, Post and its Subsidiaries shall not be
considered to be “Affiliates” of Ralcorp, and Ralcorp and its Subsidiaries (other than Post and its
Subsidiaries) shall not be considered to be “Affiliates” of Company. As used herein,
“control” means the possession, directly or indirectly, of the power to direct or cause the
direction of the management and policies of such person, whether through the ownership of voting
securities or other interests, by contract or otherwise.

          “Ancillary Filings” has the meaning set forth in Section 2.03(a)(i).

          “Agreement” has the meaning set forth in the introduction.

          “Blackout Notice” has the meaning set forth in Section 2.01(e).

          “Blackout Period” has the meaning set forth in Section 2.01(e).

 

 

          “Board” means the board of directors of Post.

          “Business Day” means any day which is not a Saturday, Sunday or other day on which
banking institutions doing business in New York, New York are authorized or obligated by law or
required by executive order to be closed.

          “Common Stock” means the common stock, par value $0.01 per share, of Post.

          “Control” means the power to direct the management of an entity, directly or
indirectly, whether through the ownership of voting securities, by contract or otherwise; and the
terms “Controlled by” and “under common Control” have meanings correlative to the foregoing.

          “Debt Exchanges” means one or more Public Debt Exchanges or Private Debt Exchanges.

          “Debt Securities” means any of the debt instruments or securities issued by Ralcorp
outstanding from time to time.

          “Demand Registration” has the meaning set forth in Section 2.01(a).

          “Disadvantageous Condition” has the meaning set forth in Section 2.01(e).

          “Distribution” has the meaning set forth in the recitals.

          “Distribution Agreement” has the meaning set forth in the recitals.

          “Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended, and any
successor thereto, and any rules and regulations promulgated thereunder, all as the same shall be
in effect from time to time.

          “Exchange Offer” has the meaning set forth in Section 2.01(a).

          “Holder” shall mean Ralcorp or any of its Subsidiaries, so long as such Person holds
any Registrable Securities, and any Person owning Registrable Securities who is a permitted
transferee of rights under Section 4.08.

          “Initiating Holder” has the meaning set forth in Section 2.01(a).

          “Loss” has the meaning set forth in Section 2.07(a).

          “Offering Confidential Information” means, with respect to a Piggyback Registration,
(x) Post’s plan to file the relevant Registration Statement and engage in the offering so
registered, (y) any information regarding the offering being registered (including, without
limitation, the potential timing, price, number of shares, underwriters or other counterparties,
selling stockholders or plan of distribution) and (z) any other information (including information
contained in draft supplements or amendments to offering materials) provided to the Holders by Post
(or by third parties) in connection with the Piggyback Registration. Offering Confidential
Information shall not include information that (1) was or becomes generally available to the public
(including as a result of the filing of the relevant Registration Statement) other than as a
result of a disclosure by any Holder, (2) was or becomes available to any Holder from a source
not bound by any confidentiality agreement with Post or (3) was otherwise in such Holder’s
possession prior to it being furnished to such Holder by the Holder or by Post or on Post’s behalf.

          “Participating Banks” shall mean such investment banks that engage in any Debt
Exchange with Ralcorp.

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          “Private Debt Exchange” means a private exchange with one or more Participating Banks
pursuant to which such Participating Banks shall exchange Debt Securities with Ralcorp for some or
all of the Retained Shares in a transaction that is not required to be registered under the
Securities Act.

          “Person” means any individual, firm, limited liability company or partnership, joint
venture, corporation, joint stock company, trust or unincorporated organization, incorporated or
unincorporated association, government (or any department, agency or political subdivision thereof)
or other entity of any kind, and shall include any successor (by merger or otherwise) of such
entity.

          “Piggyback Registration” has the meaning set forth in Section 2.02(a).

          “Post” has the meaning set forth in the introduction and shall include Post’s
successors by merger, acquisition, reorganization or otherwise.

          “Post Public Sale” has the meaning set forth in Section 2.02(a).

          “Prospectus” means the prospectus included in any Registration Statement, all
amendments and supplements to such prospectus, including post-effective amendments, and all other
material incorporated by reference in such prospectus.

          “Public Debt Exchanges” means a public exchange that is registered under the
Securities Act pursuant to which Ralcorp shall offer Retained Shares in exchange for Debt
Securities.

          “Ralcorp” has the meaning set forth in the introduction.

          “Registrable Securities” means the Retained Shares, and any shares of Common Stock or
other securities issued with respect to, in exchange for, or in replacement of such Retained
Shares. The term “Registrable Securities” excludes, however, any security (i) the sale of which
has been effectively registered under the Securities Act and which has been disposed of in
accordance with a Registration Statement, (ii) that has been sold by a Holder in a transaction
exempt from the registration and prospectus delivery requirements of the Securities Act under
Section 4(1) thereof (including transactions pursuant to Rule 144) such that the further
disposition of such securities by the transferee or assignee is not restricted under the Securities
Act, or (iii) that have been sold by a Holder in a transaction in which such Holder’s rights under
this Agreement are not, or cannot be, assigned.

          “Registration” means a registration with the SEC of the offer and sale to the public
of Common Stock under a Registration Statement. The terms “Register” and
“Registering” shall have a correlative meaning.

          “Registration Expenses” shall mean all expenses incident to Post’s performance of or
compliance with this Agreement, including all (i) registration, qualification and filing fees; (ii)
fees and expenses of compliance with securities or blue sky laws (including reasonable fees and
disbursements of counsel in connection with blue sky qualifications within the United States
of any Registrable Securities being registered); (iii) printing expenses, messenger, telephone and
delivery expenses; (iv) internal expenses of Post (including all salaries and expenses of employees
of Post performing legal or accounting duties); (v) fees and disbursements of counsel for the
Company and customary fees and expenses for independent certified public accountants retained by
Post (including the expenses of any comfort letters or costs associated with the delivery by Post’s
independent certified public accountants of comfort letters customarily requested by underwriters);
and (vi) fees and expenses of listing any Registrable Securities on any securities exchange on
which the shares of Common Stock are then listed and Financial Industry Regulatory Authority
registration and filing fees; but excluding any fees or disbursements of the Holder, all expenses
incurred in connection with the printing, mailing and delivering of copies of any Registration
Statement, any prospectus, any other offering documents and any amendments and supplements thereto
to any underwriters and dealers; any underwriting discounts, fees or commissions attributable to
the sale of any Registrable Securities, any fees and expenses of the underwriters or dealer
managers, the cost of preparing, printing or producing any agreements among underwriters,
underwriting agreements, and blue sky or legal

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investment memoranda, any selling agreements and any
other similar documents in connection with the offering, sale, distribution or delivery of the
Registrable Securities or other shares of Common Stock to be disposed of, including any fees of
counsel for any underwriters in connection with the qualification of the Registrable Securities or
other shares of Common Stock to be disposed of for offering and sale or distribution under state
securities laws, any stock transfer taxes, out-of pocket costs and expenses relating to any
investor presentations on any “road show” presentations undertaken in connection with marketing of
the Registrable Securities and any fees and expenses of any counsel to the Holder or the
underwriters or dealer managers.

          “Registration Period” has the meaning set forth in Section 2.01(c).

          “Registration Rights” shall mean the rights of the Holders to cause Post to Register
Registrable Securities pursuant to Article II.

          “Registration Statement” means any registration statement of Post filed with, or to be
filed with, the SEC under the rules and regulations promulgated under the Securities Act, including
the related Prospectus, amendments and supplements to such registration statement, including
post-effective amendments, and all exhibits and all material incorporated by reference in such
registration statement. For the avoidance of doubt, it is acknowledged and agreed that such
Registration Statement may be on any form that shall be applicable, including Form S-1, Form S-3 or
Form S-4.

          “Retained Shares” has the meaning set forth in the recitals.

          “SEC” means the U.S. Securities and Exchange Commission.

          “Securities Act” means the U.S. Securities Act of 1933, as amended, and any successor
thereto, and any rules and regulations promulgated thereunder, all as the same shall be in effect
from time to time.

          “Shelf Registration Statement” means a Registration Statement of Post for an offering
to be made on a delayed or continuous basis of Common Stock pursuant to Rule 415 under the
Securities Act (or similar provisions then in effect).

          “Subsidiary” means, when used with reference to any Person, any corporation or other
entity or organization, whether incorporated or unincorporated, of which at least a majority of the
securities or interests having by the terms thereof ordinary voting power to elect at least a
majority of the board of directors or others performing similar functions with respect to such
corporation or other entity or organization is directly or indirectly owned by such Person or by
any one or more of its Subsidiaries, or by such Person and one or more of its Subsidiaries;
provided, however, that no Person that is not directly or indirectly wholly owned by any other
Person shall be a Subsidiary of such other Person unless such other Person directly or indirectly
Controls, or has the right, power or ability to Control, that Person. After the Distribution,
Ralcorp and Post shall not be deemed to be under common Control for purposes hereof due solely to
the fact that Ralcorp and Post have common shareholders.

          “Underwritten Offering” means a Registration in which securities of Post are sold to
an underwriter or underwriters on a firm commitment basis for reoffering to the public.

          Section 1.02 Interpretation.

     In this Agreement, unless the context clearly indicates otherwise:

                    (a) words used in the singular include the plural and words used in the plural include the
singular;

                    (b) references to any Person include such Person’s successors and assigns but, if applicable,
only if such successors and assigns are permitted by this Agreement, and a reference to such
Person’s

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“Affiliates” or “Subsidiaries” shall be deemed to mean such Person’s Affiliates or
Subsidiaries, as applicable, following the Distribution;

               (c) any reference to any gender includes the other gender and the neuter;

               (d) the words “include,” “includes” and “including” shall be deemed to be followed by the
words “without limitation”;

               (e) the words “shall” and “will” are used interchangeably and have the same meaning;

               (f) the word “or” shall have the inclusive meaning represented by the phrase “and/or”;

               (g) any reference to any Article, Section, Exhibit or Schedule means such Article or Section
of, or such Exhibit or Schedule to, this Agreement, as the case may be, and references in any
Section or definition to any clause means such clause of such Section or definition;

               (h) the words “herein,” “hereunder,” “hereof,” “hereto” and words of similar import shall be
deemed references to this Agreement as a whole and not to any particular Section or other provision
of this Agreement;

               (i) any reference to any agreement, instrument or other document means such agreement,
instrument or other document as amended, supplemented and modified from time to time to the extent
permitted by the provisions thereof and by this Agreement;

               (j) any reference to any law (including statutes and ordinances) means such law (including all
rules and regulations promulgated thereunder) as amended, modified, codified or reenacted, in whole or in part, and in effect at the time of determining
compliance or applicability;

               (k) relative to the determination of any period of time, “from” means “from and including,”
“to” means “to but excluding” and “through” means “through and including”;

               (l) the table of contents and titles to Articles and headings of Sections contained in this
Agreement have been inserted for convenience of reference only and shall not be deemed to be a part
of or to affect the meaning or interpretation of this Agreement;

               (m) any portion of this Agreement obligating a Party to take any action or refrain from taking
any action, as the case may be, shall mean that such Party shall also be obligated to cause its
relevant Subsidiaries to take such action or refrain from taking such action, as the case may be;

               (n) the language of this Agreement shall be deemed to be the language the parties hereto have
chosen to express their mutual intent, and no rule of strict construction shall be applied against
any party;

               (o) except as otherwise indicated, all periods of time referred to herein shall include all
Saturdays, Sundays and holidays; provided, however, that if the date to perform the act or give any
notice with respect to this Agreement shall fall on a day other than a Business Day, such act or
notice may be performed or given timely if performed or given on the next succeeding Business Day.

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ARTICLE II

Registration Rights

          Section 2.01 Registration.

                    (a) Prior to the second anniversary of the Distribution, any Holder(s) of Registrable
Securities (collectively, the “Initiating Holder”) shall have the right to request that
Post file a Registration Statement with the SEC on the appropriate registration form for all or
part of the Registrable Securities held by such Holder, by delivering a written request thereof to
Post specifying the number of shares of Registrable Securities such Holder wishes to register (a
“Demand Registration”). Post shall (i) within five days of the receipt of a Demand
Registration, give written notice of such Demand Registration to all Holders of Registrable
Securities, (ii) prepare and file the Registration Statement as expeditiously as possible use its
reasonable best efforts to prepare and file the Registration Statement as expeditiously as possible
but in any event within 45 days of such request, subject to extension by the Holder(s) upon Post’s
reasonable request, including the justification thereof, and (iii) use its reasonable best efforts
to cause the Registration Statement to become effective in respect of each Demand Registration in
accordance with the intended method of distribution set forth in the written request delivered by
the Holder. Post shall include in such Registration all Registrable Securities with respect to
which Post receives, within the 10 days immediately following the receipt by the Holder(s) of such
notice from Post, a request for inclusion in the registration from the Holder(s) thereof. Each
such request from a Holder of Registrable Securities for inclusion in the Registration shall also
specify the aggregate amount of Registrable Securities proposed to be registered. The Initiating
Holder may request that the Registration Statement be on any appropriate form, including, without
limitation, Form S-4 in the case of an exchange offer of the Retained Shares for outstanding
securities of the Initiating Holder (an “Exchange Offer”). For purposes of
clarification, Post can satisfy its obligation under this Section 2.01(a) to file a
Registration Statement by filing a Registration Statement on Form S-4 or a Shelf Registration
Statement, as applicable, and can satisfy its obligation to complete a Demand Registration by
filing, if applicable, a Prospectus under an effective Registration Statement that covers (i) the
Registrable Securities requested by the Holders to be registered in accordance with this Section
2.01(a) and (ii) the plan of distribution requested by the participating Holders.

                    (b) The Holder(s) may collectively make a total of three Demand Registration requests pursuant
to Section 2.01(a) (including any rights to Demand Registration transferred pursuant to Section
4.08(a). and any rights to Demand Registration made pursuant to any registration rights agreement
entered into pursuant to Section 2.05; provided that the Holder(s) may not make more than two
Demand Registration requests in any 365-day period. For the avoidance of doubt, if Ralcorp engages
in a Private Debt Exchange as contemplated by Section 2.05 with one or more Participating Banks,
each request for a Demand Registration made by a Participating Bank in respect of such Private Debt
Exchange pursuant to any registration rights agreement entered into by Post pursuant to Section
2.05 shall collectively count as one Demand Registration request hereunder (assuming that the
Registrable Securities subject to such Private Debt Exchange are included in a single Prospectus).
In addition, and notwithstanding anything to the contrary, Ralcorp and its Subsidiaries shall be
permitted on a one-time basis to engage in up to three related Private Debt Exchanges within any
six month period during the first year following the date hereof and each Demand Registration
request made by the Participating Banks in such Private Debt Exchanges pursuant to its registration
rights agreement with Post shall collectively only count as one Demand Registration request for
purposes of the limitation on the number of Demand Registration requests set forth in the first
sentence of this Section 2.01(b) (it being understood that, Ralcorp and its Subsidiaries shall be
permitted to engage in additional Private Debt Exchanges outside such six month period, but each
Demand Registration request by the Participating Banks for such Private Debt Exchange pursuant to
its registration rights agreement with Post shall count as an additional Demand Registration
request for purposes of the limitation on the number of Demand Registration requests set forth in
the first sentence of this Section 2.01(b)).

                    (c) Post shall be deemed to have effected a Registration for purposes of this Section 2.01 if
the Registration Statement is declared effective by the SEC or becomes effective upon filing with
the SEC, and remains effective until the earlier of (i) the date when all Registrable Securities
thereunder have been

6

 

sold and (ii) 60 days from the effective date of the Registration Statement
(or from the date the applicable Prospectus is filed with the SEC if Post is satisfying a request
for Demand Registration by filing a Prospectus under an effective Shelf Registration Statement)
(the “Registration Period”). No Registration shall be deemed to have been effective if the
conditions to closing specified in the underwriting agreement or dealer manager agreement, if any,
entered into in connection with such Registration are not satisfied by reason of a wrongful act,
misrepresentation or breach of such applicable underwriting agreement or dealer manager agreement
by Post. If during the Registration Period, such Registration is interfered with by any stop
order, injunction or other order or requirement of the SEC or other governmental agency or court or
the need to update or supplement the Registration Statement, the Registration Period shall be
extended on a day-for-day basis for any period the Holder is unable to complete an offering as a
result of such stop order, injunction or other order or requirement of the SEC or other
governmental agency or court.

                    (d) A Demand Registration request may not be made for a minimum of 45 calendar days after the
revocation of an earlier Demand Registration request.

                    (e) With respect to any Registration Statement, or amendment or supplement thereto, whether
filed or to be filed pursuant to this Agreement, if Post shall determine in good faith that
maintaining the effectiveness of such Registration Statement or filing an amendment or supplement
thereto (or, if no Registration Statement has yet been filed, to filing such a Registration
Statement) would (i) require the public disclosure of material non-public information concerning
any transaction or negotiations involving Post or any of its consolidated subsidiaries that would
materially interfere with such transaction or negotiations, (ii) require the public disclosure of
material non-public information concerning Post at a time when its directors and executive officers
are restricted from trading in Post’s securities or (iii) otherwise materially interfere with
financing plans, acquisition activities or business activities of Post (a “Disadvantageous
Condition”), Post may, for the shortest period reasonably practicable (a “Blackout
Period”), and in any event for not more than 30 consecutive days, notify the Holders whose
sales of Registrable Securities are covered (or to be covered) by such Registration Statement (a
“Blackout Notice”) that such Registration Statement is unavailable for use (or will not be
filed as requested). Upon the receipt of any such Blackout Notice, the Holders shall forthwith
discontinue use of the prospectus contained in any effective Registration Statement; provided,
that, if at the time of receipt of such Blackout Notice any Holder shall have sold its Registrable
Securities (or have signed a firm commitment underwriting agreement with respect to the purchase of
such shares) and the Disadvantageous Condition is not of a nature that would require a
post-effective amendment to the Registration Statement, then Post shall use its commercially
reasonable efforts to take such action as to eliminate any restriction imposed by federal
securities laws on the timely delivery of such shares. When any Disadvantageous Condition as to
which a Blackout Notice has been previously delivered shall cease to exist, Post shall as promptly
as reasonably practicable notify the Holders and take such actions in respect of such Registration
Statement as are otherwise required by this Agreement. The effectiveness period for any Demand
Registration for which Post has exercised a Blackout Period shall be increased by the period of
time such Registration Suspension is in effect. Post shall not impose, in any 365-day period,
Blackout Periods lasting, in the aggregate, in excess of 60 calendar days. If Post declares a
Blackout Period with respect to a Demand Registration for a Registration Statement that has not yet
been declared effective, (i) the Holders may by notice to Post withdraw the related Demand
Registration Request without such Demand Registration request counting against the three Demand
Requests permitted to be made under Section 2.01 and (ii) the Holders will not be responsible for
Post’s related Registration Expenses.

                    (f) If the Initiating Holder so indicates at the time of its request pursuant to Section
2.01(a), such offering of Registrable Securities shall be in the form of an Underwritten Offering
or an Exchange Offer and Post shall include such information in its written notice to the Holders
required under Section 2.01(a). In the event that the Initiating Holder intends to distribute the
Registrable Securities by means of an Underwritten Offering or Exchange Offer, the right of any
Holder to include Registrable Securities in such registration shall be conditioned upon such
Holder’s participation in such underwriting or Exchange Offer and the inclusion of such Holder’s
Registrable Securities in the underwriting or the Exchange Offer to the extent provided herein.
The Holders of a majority of the outstanding Registrable Securities being included in any
Underwritten Offering or Exchange Offer shall select the underwriter(s) in the case of an
Underwritten Offering or the dealer

7

 

manager(s) in the case of an Exchange Offer; provided, however,
that such underwriter(s) or dealer manager(s) must be reasonably acceptable to Post. Post shall be
entitled to designate counsel for such underwriter(s) or dealer manager(s) (subject to their
approval), provided that such designated underwriters’ counsel shall be a firm of national
reputation representing underwriters or dealer managers in capital markets transactions

                    (g) If the managing underwriter or underwriters of a proposed Underwritten Offering of
Registrable Securities included in a Registration pursuant of this Section 2.01, informs the
Holders with Registrable Securities in such Registration of such class of Registrable Securities in
writing that, in its or their opinion, the number of securities requested to be included in such
Registration exceeds the number which can be sold in such offering without being likely to have a
significant adverse effect on the price, timing or distribution of the securities offered or the
market for the securities offered, the Holders shall have the right to (i) request the number of
Registrable Securities to be included in such Registration be allocated pro rata among the Holders,
including the Initiating Holder, to the extent necessary to reduce the total number of Registrable
Securities to be included in such offering to the number recommended by the managing underwriter or
underwriters; provided that any securities thereby allocated to a Holder that exceed such Holder’s
request shall be reallocated among the remaining Holders in like manner or (ii) notify Post in
writing that the Registration Statement shall be abandoned or withdrawn, in which event Post shall
abandon or withdraw such Registration Statement. In the event a Holder notifies Post that such
Registration Statement shall be abandoned or withdrawn said Holder shall not be deemed to have
requested a Demand Registration pursuant to Section 2.01(a) and Post shall not be deemed to have
effected a Demand Registration pursuant to Section 2.01(b). If the amount of Registrable
Securities to be underwritten has not been so limited, Post and other holders may include shares of
Common Stock for its own account (or for the account of other holders) in such Registration if the
underwriter(s) so agree and to the extent that, in the opinion of such underwriter(s), the
inclusion of such additional amount will not adversely affect the offering of the Registrable
Securities included in such Registration.

          Section 2.02 Piggyback Registrations.

                    (a) Prior to the earlier to occur of the second anniversary of the Distribution or the date on
which the Registrable Securities then held by the Holder(s) represents less than 1% of Post’s then
issued and outstanding Common Stock, if Post proposes to file a Registration Statement under the
Securities Act with respect to any offering of its Common Stock for its own account and/or for the
account of any other Persons (other than (i) a Registration under Section 2.01, (ii) a Registration
pursuant to a Registration Statement on Form S-8 or Form S-4 or similar forms that relate to a
transaction subject to Rule 145 under the Securities Act, (iii) any form that does not include
substantially the same information, other than information relating to the selling holders or their
plan of distribution, as would be required to be included in a Registration Statement covering the
sale of Registrable Securities, (iv) in connection with any dividend reinvestment or similar plan,
(v) for the sole purpose of offering securities to another entity or its security holders in
connection with the acquisition of assets or securities of such entity or any similar transaction
or (vi) a Registration in which the only Common Stock being registered is Common Stock issuable
upon conversion of debt securities which are also being registered) (a “Post Public Sale”),
then, as soon as practicable (but in no event less than 15 days prior to the proposed date of
filing such Registration Statement), Post shall give written notice of such proposed filing to each
Holder, and such notice shall offer such Holders the opportunity to Register under such
Registration Statement such number of Registrable Securities as each such Holder may request in
writing (a “Piggyback Registration”). Subject to Section 2.02(b) and Section 2.02(c), Post
shall use its commercially reasonable efforts to include in such Registration Statement all such
Registrable Securities which are requested to be included therein within five Business Days after
the receipt of any such notice; provided, however, that if, at any time after giving written notice
of its intention to Register any securities and prior to the effective date of the Registration
Statement filed in connection with such Registration, Post shall determine for any reason not to
Register or to delay Registration of such securities, Post may, at its election, give written
notice of such determination to each such Holder and, thereupon, (i) in the case of a
determination not to Register, shall be relieved of its obligation to Register any Registrable
Securities in connection with such Registration, without prejudice, however, to the rights of any
Holder to request that such Registration be effected as a Demand Registration under Section 2.01,
and (ii) in the case of a determination to delay Registering, shall be permitted to delay
Registering any Registrable Securities, for the same period as the delay in Registering

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such other
shares of Common Stock. No Registration effected under this Section 2.02 shall relieve Post of its
obligation to effect any Demand Registration under Section 2.01. For purposes of clarification,
Post’s filing of a Shelf Registration Statement shall not be deemed to be a Post Public Sale;
provided, however, that any prospectus supplement filed pursuant to a Shelf Registration Statement
with respect to an offering of Post’s Common Stock for its own account and/or for the account of
any other Persons will be a Post Public Sale unless such offering qualifies for an exemption from
Post Public Sale definition in this Section 2.02(a).

                    (b) Each Holder shall have the right to withdraw such Holder’s request for inclusion of its
Registrable Securities in any Underwritten Offering pursuant to Section 2.02(a) at any time prior
to the execution of an underwriting agreement with respect thereto by giving written notice to Post
of such Holder’s request to withdraw and, subject to the preceding clause, each Holder shall be
permitted to withdraw all or part of such Holder’s Registrable Securities from a Piggyback
Registration at any time prior to two Business Days before the effective date thereof, whereupon
such Holder shall as promptly as reasonably practicable pay to Post all Registration Expenses
incurred by Post in connection with the registration of such withdrawn Registrable Securities under
the Securities Act or the Exchange Act and the inclusion of such shares in the Registration
Statement.

                    (c) If the managing underwriter or underwriters of any proposed Underwritten Offering of a
class of Registrable Securities included in a Piggyback Registration informs Post and Holders in
writing that, in its or their opinion, the number of securities of such class which such Holder and
any other Persons intend to include in such offering exceeds the number which can be sold in such
offering without being likely to have an adverse effect on the price, timing or distribution of the
securities offered or the market for the securities offered, then the securities to be included in
such Registration shall be (i) first, all securities of Post and any other Persons (other than
Post’s executive officers and directors) for whom Post is effecting the Registration, as the case
may be, proposes to sell, (ii) second, the number of Registrable Securities of such class that, in
the opinion of such managing underwriter or underwriters, can be sold without having such adverse
effect, with such number to be allocated pro rata among the Holders that have requested to
participate in such Registration based on the relative number of Registrable Securities of such
class requested by such Holder to be included in such sale (provided that any securities thereby
allocated to a Holder that exceed such Holder’s request shall be reallocated among the remaining
requesting Holders in like manner), subject to any superior contractual rights of other holders,
(iii) third, the number securities of executive officers and directors for whom Post is effecting
the Registration, as the case may be, with such number to be allocated pro rata among the executive
officers and directors, and (iv) fourth, any other securities eligible for inclusion in such
Registration, allocated among the holders of such securities in such proportion as Post and those
holders may agree.

                    (d) After a Holder has been notified of its opportunity to include Registrable Securities in a
Piggyback Registration, such Holder shall treat the Offering Confidential Information as
confidential information and shall not use the Offering Confidential Information for any purpose
other than to evaluate whether to include its Registrable Securities (or other shares of Common
Stock) in such Piggyback Registration and agrees not to disclose the Offering Confidential
Information to any Person other than such of its agents, employees, advisors and counsel as have a
need to know such Offering Confidential Information and to
cause such agents, employees, advisors and counsel to comply with the requirements of this
Section 2.02(d), provided, that such Holder may disclose Offering Confidential Information if such
disclosure is required by legal process, but such Holder shall cooperate with the Issuer to limit
the extent of such disclosure through protective order or otherwise, and to seek confidential
treatment of the Offering Confidential Information.

          Section 2.03 Registration Procedures.

                    (a) In connection with Post’s Registration obligations under Section 2.01 and Section 2.02,
Post shall use its reasonable best efforts to effect such Registration to permit the sale of such
Registrable Securities in accordance with the intended method or methods of distribution thereof as
expeditiously as reasonably practicable, and in connection therewith Post shall:

9

 

                    (i) prepare and file the required Registration Statement including all
exhibits and financial statements and, in the case of an Exchange Offer, any
document required under Rule 425 or 165 with respect to such Exchange Offer
(collectively, the “Ancillary Filings”) required under the
Securities Act to be filed therewith, and before filing with the SEC a
Registration Statement or Prospectus, or any amendments or supplements
thereto, (x) furnish to the underwriters or dealer managers, if any, and to
the Holders, copies of all documents prepared to be filed, which documents
will be subject to the review of such underwriters or dealer managers and
such Holders and their respective counsel, and (y) not file with the SEC any
Registration Statement or Prospectus or amendments or supplements thereto or
any Ancillary Filing to which Holders or the underwriters or dealer
managers, if any, shall reasonably object;

                    (ii) prepare and file with the SEC such amendments and post-effective
amendments to such Registration Statement and supplements to the Prospectus
and any Ancillary Filing as may be reasonably requested by the participating
Holders;

                    (iii) notify the participating Holders and the managing underwriter(s)
or dealer manager(s), if any, and (if requested) confirm such advice in
writing and provide copies of the relevant documents, as soon as reasonably
practicable after notice thereof is received by Post (A) when the applicable
Registration Statement or any amendment thereto has been filed or becomes
effective, when the applicable Prospectus or any amendment or supplement to
such Prospectus or any Ancillary Filing has been filed, (B) of any comments
(written or oral) by the SEC or any request by the SEC or any other federal
or state governmental authority (written or oral) for amendments or
supplements to such Registration Statement or such Prospectus or any
Ancillary Filing or for additional information, (C) of the issuance by the
SEC of any stop order suspending the effectiveness of such Registration
Statement or any order preventing or suspending the use of any preliminary
or final Prospectus or any Ancillary Filing or the initiation or threatening
of any proceedings for such purposes, (D) if, at any time, the
representations and warranties of Post in any applicable underwriting
agreement or dealer manager
agreement cease to be true and correct and in all material respects,
and (E) of the receipt by Post of any notification with respect to the
suspension of the qualification of the Registrable Securities for offering
or sale in any jurisdiction or the initiation or threatening of any
proceeding for such purpose;

                    (iv) subject to Section 2.01(d), promptly notify each selling Holder
and the managing underwriter(s) or dealer manager(s), if any, when Post
becomes aware of the occurrence of any event as a result of which the
applicable Registration Statement or the Prospectus included in such
Registration Statement (as then in effect) or any Ancillary Filing contains
any untrue statement of a material fact or omits to state a material fact
necessary to make the statements therein (in the case of such Prospectus and
any preliminary Prospectus, in light of the circumstances under which they
were made) not misleading or, if for any other reason it shall be necessary
during such time period to amend or supplement such Registration Statement
or Prospectus or any Ancillary Filing in order to comply with the Securities
Act and, in either case as promptly as reasonably practicable thereafter,
prepare and file with the SEC, and furnish without charge to the selling
Holder and the underwriter(s) or dealer manager(s), if any, an amendment or
supplement to such Registration Statement or Prospectus or any Ancillary
Filing which will correct such statement or omission or effect such
compliance;

                    (v) use its reasonable best efforts to prevent or obtain the withdrawal
of any stop order or other order suspending the use of any preliminary or
final Prospectus;

10

 

                    (vi) promptly incorporate in a Prospectus supplement or post-effective
amendment such information as the managing underwriter(s) or dealer
manager(s) and the Holders agree should be included therein relating to the
plan of distribution with respect to such Registrable Securities; and make
all required filings of such Prospectus supplement or post-effective
amendment as soon as reasonably practicable after being notified of the
matters to be incorporated in such Prospectus supplement or post-effective
amendment;

                    (vii) furnish to each selling Holder and each underwriter or dealer
manager, if any, without charge, as many conformed copies as such Holder or
underwriter or dealer manager may reasonably request of the applicable
Registration Statement and any amendment or post-effective amendment
thereto, including financial statements and schedules, but excluding all
documents (i) incorporated therein by reference and all exhibits (including
those incorporated by reference) or (ii) that are available via the SEC’s
EDGAR system;

                    (viii) deliver to each selling Holder and each underwriter or dealer
manager, if any, without charge, as many copies of the applicable Prospectus
(including each preliminary prospectus) and any amendment or supplement
thereto as such Holder or underwriter or dealer manager may reasonably
request (it being understood that Post consents to the use of such
Prospectus or any amendment or supplement
thereto by each selling Holder and the underwriter(s) or dealer
manager(s), if any, in connection with the offering and sale of the
Registrable Securities covered by such Prospectus or any amendment or
supplement thereto) and such other documents as such selling Holder or
underwriter or dealer manager may reasonably request in order to facilitate
the disposition of the Registrable Securities by such Holder or underwriter
or dealer manager;

                    (ix) on or prior to the date on which the applicable Registration
Statement is declared effective or becomes effective, use its reasonable
best efforts to register or qualify, and cooperate with each selling Holder,
the managing underwriter(s) or dealer manager(s), if any, and their
respective counsel, in connection with the registration or qualification of
such Registrable Securities for offer and sale under the securities or “blue
sky” laws of each state and other jurisdiction of the United States as any
selling Holder or managing underwriter(s) or dealer manager(s), if any, or
their respective counsel reasonably request (and in any foreign jurisdiction
mutually agreeable to Post and the participating Holders) and do any and all
other acts or things reasonably necessary or advisable to keep such
registration or qualification in effect for so long as such Registration
Statement remains in effect and so as to permit the continuance of sales and
dealings in such jurisdictions for so long as may be necessary to complete
the distribution of the Registrable Securities covered by the Registration
Statement; provided that Post will not be required to qualify generally to
do business in any jurisdiction where it is not then so qualified, to take
any action which would subject it to taxation or general service of process
in any such jurisdiction where it is not then so subject or conform its
capitalization or the composition of its assets at the time to the
securities or blue sky laws of any such jurisdiction;

                    (x) in connection with any sale of Registrable Securities that will
result in such securities no longer being Registrable Securities, cooperate
with each selling Holder and the managing underwriter(s) or dealer
manager(s), if any, to facilitate the timely preparation and delivery of
certificates representing Registrable Securities to be sold and not bearing
any restrictive Securities Act legends; and to register such Registrable
Securities in such denominations and such names as such selling Holder or

11

 

the underwriter(s) or dealer manager(s), if any, may request at least two
Business Days prior to such sale of Registrable Securities; provided that
Post may satisfy its obligations hereunder without issuing physical stock
certificates through the use of the Depository Trust Company’s Direct
Registration System;

                    (xi) cooperate and assist in any filings required to be made with the
Financial Industry Regulatory Authority and each securities exchange, if
any, on which any of Post’s securities are then listed or quoted and on each
inter-dealer quotation system on which any of Post’s securities are then
quoted, and in the performance of any due diligence investigation by any
underwriter or dealer manager (including any “qualified independent
underwriter”) that is required to be retained in accordance with the rules
and regulations of each such exchange, and use its reasonable best efforts
to cause the Registrable Securities covered
by the applicable Registration Statement to be registered with or
approved by such other governmental agencies or authorities as may be
necessary to enable the seller or sellers thereof or the underwriter(s) or
dealer manager(s), if any, to consummate the disposition of such Registrable
Securities;

                    (xii) not later than the effective date of the applicable Registration
Statement, provide a CUSIP number for all Registrable Securities and provide
the applicable transfer agent with printed certificates for the Registrable
Securities which are in a form eligible for deposit with The Depository
Trust Company; provided that Post may satisfy its obligations hereunder
without issuing physical stock certificates through the use of the
Depository Trust Company’s Direct Registration System;

                    (xiii) obtain for delivery to and addressed to each selling Holder and
to the underwriter(s) or dealer manager(s), if any, opinions from the
general counsel or deputy general counsel for Post, in each case dated the
effective date of the Registration Statement or, in the event of an
Underwritten Offering, the date of the closing under the underwriting
agreement or, in the event of an Exchange Offer, the date of the closing
under the dealer manager agreement or similar agreement or otherwise, and in
each such case in customary form and content for the type of Underwritten
Offering or Exchange Offer, as applicable;

                    (xiv) in the case of an Underwritten Offering or Exchange Offer, obtain
for delivery to and addressed to Post and the managing underwriter(s) or
dealer manager(s), if any, and, to the extent requested, each selling
Holder, a cold comfort letter from Post’s independent registered public
accounting firm in customary form and content for the type of Underwritten
Offering or Exchange Offer, dated the date of execution of the underwriting
agreement or dealer manager agreement or, if none, the date of commencement
of the Exchange Offer, and brought down to the closing, whether under the
underwriting agreement or dealer manager agreement, if applicable, or
otherwise;

                    (xv) in the case of an Exchange Offer that does not involve a dealer
manager, provide to each selling Holder such customary written
representations and warranties or other covenants or agreements as may be
reasonably requested by any selling Holder comparable to those that would be
included in an underwriting or dealer manager agreement;

                    (xvi) use its reasonable best efforts to comply with all applicable
rules and regulations of the SEC and make generally available to its
security holders, as soon as reasonably practicable, but no later than 90
days after the end of the 12-month period beginning with the first day of
Post’s first quarter commencing after the effective date

12

 

of the applicable
Registration Statement, an earnings statement satisfying the provisions of
Section 11(a) of the Securities Act and the rules and regulations
promulgated thereunder and covering the period of at least 12 months, but
not more than 18 months, beginning with the first month after the effective
date of the Registration Statement;

                    (xvii) provide and cause to be maintained a transfer agent and
registrar for all Registrable Securities covered by the applicable
Registration Statement from and after a date not later than the effective
date of such Registration Statement;

                    (xviii) cause all Registrable Securities covered by the applicable
Registration Statement to be listed on each securities exchange on which any
of Post’s securities are then listed or quoted and on each inter-dealer
quotation system on which any of Post’s securities are then quoted;

                    (xix) provide (A) each Holder participating in the Registration, (B)
the underwriters (which term, for purposes of this Agreement, shall include
a Person deemed to be an underwriter within the meaning of Section 2(11) of
the Securities Act), if any, of the Registrable Securities to be registered,
(C) the sale or placement agent therefor, if any, (D) the dealer manager
therefor, if any, (E) counsel for such Holder, underwriters, agent, or
dealer manager and (F) any attorney, accountant or other agent or
representative retained by such Holder or any such underwriter or dealer
manager, as selected by such Holder, the opportunity to participate in the
preparation of such Registration Statement, each prospectus included therein
or filed with the SEC, and each amendment or supplement thereto; and for a
reasonable period prior to the filing of such registration statement, upon
execution of a customary confidentiality agreement, make available upon
reasonable notice at reasonable times and for reasonable periods for
inspection by the parties referred to in (A) through (F) above, all
pertinent financial and other records, pertinent corporate and other
documents and properties of Post that are available to Post, and cause all
of Post’s officers, directors and employees and the independent public
accountants who have certified its financial statements to make themselves
available at reasonable times and for reasonable periods to discuss the
business of Post and to supply all information available to Post reasonably
requested by any such Person in connection with such Registration Statement
as shall be necessary to enable them to exercise their due diligence or
other responsibility, subject to the foregoing; provided that in no event
shall Post be required to make available any information which the Board
determines in good faith to be competitively sensitive or otherwise
confidential. The recipients of such information shall coordinate with one
another so that the inspection permitted hereunder will not unnecessarily
interfere with Post’s conduct of business. In any event, records which Post
determines, in good faith, to be confidential and which it notifies or
otherwise identifies in writing to the inspectors are confidential shall not
be disclosed by the inspectors unless (and only to the extent that) (i) the
disclosure of such records is necessary to permit a Holder to enforce its
rights under this Agreement or (ii) the release of such records is ordered
pursuant to a subpoena or other order from a court of competent
jurisdiction. Each Holder agrees that information obtained by it as a
result of such inspections shall be deemed confidential and shall not be
used by it as the basis for any market transactions in the securities of
Post or its Affiliates unless and until such is made generally available to
the public by Post or such Affiliate or for any reason not related to the
registration of Registrable Securities. Each Holder further agrees that it
will, upon learning that disclosure of such
records is sought in a court of competent jurisdiction, give notice to
Post and allow Post, at its expense, to undertake appropriate action to
prevent disclosure of the records deemed confidential;

13

 

	 	(xx)	 	in the case of an Underwritten Offering or Exchange Offer
registering 50% or more of the Retained Shares, cause the senior executive
officers of Post to facilitate, cooperate with, and participate in each
proposed offering contemplated herein and customary selling efforts related
thereto, except to the extent that such participation materially interferes
with the management of Post’s business; provided that the effectiveness
period for any Demand Registration shall be increased on a day-for-day basis
by the period of time that management cannot participate;
	 
	 	(xxi)	 	comply with requirements of the Securities Act, Securities
Exchange Act and other applicable laws, rules and regulations as well as
stock exchange rules; and
	 
	 	(xxi)	 	take all other customary steps reasonably necessary or advisable
to effect the registration and distribution of the Registrable Securities
contemplated hereby.

               (b) As a condition precedent to any Registration hereunder, Post may require each Holder as to
which any Registration is being effected to furnish to Post such information regarding the
distribution of such securities and such other information relating to such Holder, its ownership
of Registrable Securities and other matters as Post may from time to time reasonably request in
writing. Each such Holder agrees to furnish such information to Post and to cooperate with Post as
reasonably necessary to enable Post to comply with the provisions of this Agreement. If a Holder
fails to provide the requested information after being given 15 Business Days’ written notice of
such request and the requested information is required by applicable law to be included in the
Registration Statement, Post shall be entitled to refuse to include for registration such Holder’s
Registrable Securities or other shares of Common Stock in the Registration Statement.

               (c) Each Holder will as promptly as reasonably practicable notify Post at any time when a
prospectus relating thereto is required to be delivered (or deemed delivered) under the Securities
Act, of the occurrence of an event, of which such Holder has knowledge, relating to such Holder or
its disposition of Registrable Securities thereunder requiring the preparation of a supplement or
amendment to such prospectus so that, as thereafter delivered (or deemed delivered) to the
purchasers of such Registrable Securities, such prospectus will not contain an untrue statement of
a material fact or omit to state any material fact required to be stated therein or necessary to
make the statements therein, in light of the circumstances under which they are made, not
misleading.

               (d) Ralcorp agrees, and any other Holder agrees by acquisition of such Registrable Securities,
that, upon receipt of any written notice from Post of the occurrence of any event of the kind
described in Section 2.03(a)(iv), such Holder will forthwith discontinue disposition of Registrable
Securities pursuant to such Registration Statement until such Holder’s receipt of the copies of the
supplemented or amended Prospectus contemplated by Section 2.03(a)(iv), or until such Holder is
advised in writing by Post that the use of the Prospectus may be resumed, and if so directed by
Post, such Holder will deliver to Post (at Post’s expense) all copies, of the Prospectus covering
such Registrable Securities current at the time of receipt of such notice. In the event Post shall
give any such notice, the period during which the applicable Registration Statement is required to
be maintained effective shall be extended by the number of days during the period from and
including the date of the giving of such notice to and including the date when each seller of
Registrable Securities covered by such Registration
Statement either receives the copies of the supplemented or amended Prospectus contemplated by
Section 2.03(a)(iv) or is advised in writing by Post that the use of the Prospectus may be
resumed.

     Section 2.04 Underwritten Offerings or Exchange Offers.

               (a) If requested by the managing underwriters for any Underwritten Offering or dealer
manager(s) for any Exchange Offer requested by Holders pursuant to a Registration under Section
2.01, Post shall enter into an underwriting agreement or dealer manager agreement, as applicable,
with such underwriters or dealer manager(s) for such offering, such agreement to be reasonably
satisfactory in substance and form to Post

14

 

and the underwriters or dealer manager(s). Such
agreement shall contain such representations and warranties by Post and such other terms as are
generally prevailing in agreements of that type. Each Holder with Registrable Securities to be
included in any Underwritten Offering or Exchange Offer by such underwriters or dealer manager(s)
shall enter into such underwriting agreement or dealer manager agreement at the request of Post,
which agreement shall contain such reasonable representations and warranties by the Holder and such
other reasonable terms as are generally prevailing in agreements of that type.

               (b) In the event of a public sale of Post’s equity securities in an Underwritten Offering
(whether in a Demand Registration or a Piggyback Registration, whether or not the Holders
participate therein), the Holders hereby agree, and, in the event of a public sale of Post’s equity
securities in an Underwritten Offering or an Exchange Offer, Post shall agree, and it shall cause
its executive officers and directors to agree, if requested by the managing underwriter or
underwriters in such Underwritten Offering or by the Holder or the dealer manager or dealer
managers, if applicable, in an Exchange Offer, not to effect any sale or distribution (including
any offer to sell, contract to sell, short sale or any option to purchase) of any securities
(except, in each case, as part of the applicable Registration, if permitted hereunder) that are the
same as or similar to those being Registered in connection with such public sale, or any securities
convertible into or exchangeable or exercisable for such securities, during the period beginning
five days before, and ending 90 days (or such lesser period as may be permitted by Post or the
selling Holder(s), as applicable, or such managing underwriter or underwriters) after, the
effective date of the Registration Statement filed in connection with such Registration (or, if
later, the date of the Prospectus), to the extent timely notified in writing by such selling Person
or the managing underwriter or underwriters. The Holders and Post , as applicable, also agree to
execute an agreement evidencing the restrictions in this Section 2.04(b) in customary form, which
form is reasonably satisfactory to Post or the selling Holder(s), as applicable, and the
underwriter(s) or dealer manager(s), as applicable; provided that such restrictions may be included
in the underwriting agreement or dealer manager agreement, if applicable. Post may impose
stop-transfer instructions with respect to the securities subject to the foregoing restriction
until the end of the required stand-off period.

               (c) No Holder may participate in any Underwritten Offering or Exchange Offer hereunder unless
such Holder (i) agrees to sell such Holder’s securities on the basis provided in any underwriting
arrangements or dealer manager agreements approved by Post or other Persons entitled to approve
such arrangements and (ii) completes and executes all questionnaires, powers of attorney,
indemnities, underwriting agreements, dealer manager agreements, and other documents reasonably
required under the terms of such underwriting arrangements, dealer manager agreements, or this
Agreement.

     Section 2.05 Registration Rights Agreement with Participating Banks.

          If Ralcorp decides to engage in a Private Debt Exchange with one or more Participating Banks,
Post agrees that it will enter into a registration rights agreement with the Participating Banks at
the time of such Private Debt Exchange on terms and conditions consistent with this Agreement
(other than the voting provisions contained in Article III hereof) and reasonably satisfactory to
Post.

     Section 2.06 Registration Expenses Paid By Company.

          In the case of any registration of Registrable Securities required pursuant to this Agreement,
Post shall pay all Registration Expenses regardless of whether the Registration Statement becomes
effective; provided, however, Post shall not be required to pay for any expenses of any
Registration begun pursuant to Section 2.01 if the registration request is subsequently withdrawn
at the request of the Holders of a majority of the Registrable Securities to be registered (in
which case all participating Holders shall bear such expenses), unless the Holders of a majority of
the Registrable Securities agree to forfeit their right to one demand registration pursuant to
Section 2.01.

15

 

     Section 2.07 Indemnification.

               (a) Post agrees to indemnify and hold harmless, to the full extent permitted by law, each
Holder whose shares are included in a Registration Statement, its officers, directors, agents,
employees and each Person, if any, who controls (within the meaning of the Securities Act or the
Exchange Act) such Holder from and against any and all losses, claims, damages, liabilities (or
actions or proceedings in respect thereof, whether or not such indemnified party is a party
thereto) and expenses, joint or several (including reasonable costs of investigation and legal
expenses) (each, a “Loss” and collectively “Losses”) arising out of or based upon (i) any untrue or
alleged untrue statement of a material fact contained in any Registration Statement under which the
sale of such Registrable Securities was Registered under the Securities Act (including any final or
preliminary Prospectus contained therein or any amendment thereof or supplement thereto or any
documents incorporated by reference therein), or any such statement made in any free writing
prospectus (as defined in Rule 405 under the Securities Act) that Post has filed or is required to
file pursuant to Rule 433(d) of the Securities Act or any Ancillary Filing, (ii) any omission or
alleged omission to state therein a material fact required to be stated therein or necessary to
make the statements therein (in the case of a Prospectus, preliminary Prospectus or free writing
prospectus, in light of the circumstances under which they were made) not misleading; provided,
that with respect to any untrue statement or omission or alleged untrue statement or omission made
in any prospectus, the indemnity agreement contained in this paragraph shall not apply to the
extent that any such liability results from or arises out of (a) the fact that a current copy of
the prospectus was not sent or given to the Person asserting any such liability at or prior to the
written confirmation of the sale of the Registrable Securities concerned to such Person if it is
determined by a court of competent jurisdiction in a final and non-appealable judgment that Post
has provided such prospectus and it was the responsibility of such Holder or its agents to provide
such Person with a current copy of the prospectus and such current copy of the prospectus would
have cured the defect giving rise to such liability, (b) the use of any prospectus by or on behalf
of any Holder after Post has notified such Person (i) that such prospectus contains an untrue
statement of a material fact or omits to state a material fact required to be stated therein or
necessary to make the statements therein, in the light of the circumstances under which they were
made, not misleading, (ii) that a stop order has been issued by the SEC with respect to a
Registration Statement or (iii) that a Disadvantageous Condition exists, (c) the use of any
prospectus by or on
behalf of any Holder with respect to any Registrable Securities after such time as the
obligation of Post to keep the Registration Statement effective in respect of such Registrable
Securities has expired, or (d) information furnished in writing by such Holder or on such Holder’s
behalf, in either case expressly for use in such Registration Statement, prospectus or in any
amendment or supplement thereto relating to such Holder’s Registrable Securities. This indemnity
shall be in addition to any liability Post may otherwise have. Such indemnity shall remain in full
force and effect regardless of any investigation made by or on behalf of such Holder or any
indemnified party and shall survive the transfer of such securities by such Holder.

               (b) Each selling Holder whose Registrable Securities are included in a Registration Statement
agrees (severally and not jointly) to indemnify and hold harmless, to the full extent permitted by
law, Post, its directors, officers, agents, employees and each Person, if any, who controls Post
(within the meaning of the Securities Act and the Exchange Act) (i) to the extent such liabilities
arise out of or are based upon information furnished in writing by such Holder or on such Holder’s
behalf, in either case expressly for use in a Registration Statement, prospectus or in any
amendment or supplement thereto relating to such Holder’s Registrable Securities or (ii) to the
extent that any liability described in this Section 2.07(b) results from (a) the fact that a
current copy of the prospectus was not sent or given to the Person asserting any such liability at
or prior to the written confirmation of the sale of the Registrable Securities concerned to such
Person if it is determined by a court of competent jurisdiction in a final and non-appealable
judgment that it was the responsibility of such Holder or its agent to provide such Person with a
current copy of the prospectus and such current copy of the prospectus would have cured the defect
giving rise to such liability, (b) the use of any prospectus by or on behalf of any Holder after
Post has notified such Person (x) that such prospectus contains an untrue statement of a material
fact or omits to state a material fact required to be stated therein or necessary to make the
statements therein, in the light of the circumstances under which they were made, not misleading,
(y) that a stop order has been issued by the SEC with respect to a Registration Statement or (z)
that a Disadvantageous Condition exists or (c) the use of any prospectus by or on behalf of any
Holder after such time as the obligation of Post to keep the related Registration Statement

16

 

in
respect of such Holder’s Registrable Securities effective has expired. This indemnity shall be in
addition to any liability the selling Holder may otherwise have. Such indemnity shall remain in
full force and effect regardless of any investigation made by or on behalf of Post or any
indemnified party.

               (c) Any Person entitled to indemnification hereunder (an “indemnified party”) will give prompt
written notice to the indemnifying party of any claim with respect to which it seeks
indemnification; provided, that any delay or failure to so notify the indemnifying party shall
relieve the indemnifying party of its obligations hereunder solely to the extent that it is
materially prejudiced by reason of such delay or failure; and, provided further, that any such
delay or failure to so notify the indemnifying party shall not relieve it from any liability that
it may have to an indemnified party otherwise than under this Section 2.07. If an indemnified
party shall have notified the indemnifying party as aforesaid, the indemnifying party shall assume
the defense of such claim and retain counsel reasonably satisfactory to the indemnified party to
represent the indemnified party and any others entitled to indemnification pursuant to this Section
2.07 that the indemnifying party may designate in connection the proceeding relating to such claim
and shall pay the fees and expenses relating to such proceeding and shall pay the fees and expenses
of such counsel related to such proceeding, as incurred. In any such proceeding, any indemnified
party shall have the right to select and employ separate counsel and to participate in the defense
of such claim, but the fees and expenses of such counsel shall be at the expense of such
indemnified party unless (i) the indemnifying party has agreed in writing to pay such fees or
expenses, (ii) the indemnifying party shall have failed to assume the defense of such claim within
a reasonable time after receipt of notice of such claim from the
indemnified party and employ counsel reasonably satisfactory to such indemnified party, (iii)
the indemnified party has reasonably concluded that there may be legal defenses available to it or
other indemnified parties that are different from or in addition to those available to the
indemnifying party, or (iv) in the reasonable judgment of any such indemnified party, a conflict of
interest may exist between such indemnified party and the indemnifying party with respect to such
claims (in which case, if such indemnified party notifies the indemnifying party in writing that
such indemnified party elects to employ separate counsel at the expense of the indemnifying party,
the indemnifying party shall not have the right to assume the defense of such claim on behalf of
such Person). The indemnifying party shall not be liable for any settlement of any proceeding
effected without its written consent (which shall not be unreasonably withheld, conditioned or
delayed), but if settled with such consent or if there be a final judgment for the plaintiff, the
indemnifying party agrees to indemnify each indemnified party from and against any Loss by reason
of such settlement or judgment. No indemnifying party shall, without the written consent of the
indemnified party, effect any settlement of any pending or threatened proceeding in respect of
which any indemnified party is or could have been a party and indemnification could have been
sought hereunder by such indemnified party , unless such settlement (A) includes an unconditional
release of such indemnified party, in form and substance reasonably satisfactory to such
indemnified party, from all liability on claims that are the subject matter of such proceeding and
(B) does not include any statement as to or any admission of fault, culpability or a failure to act
by or on behalf of any indemnified party. It is understood and agreed that the indemnifying party
shall not, in connection with any proceeding or related proceedings in the same jurisdiction, be
liable for the reasonable fees, disbursements and other charges of more than one separate firm (in
addition to any local counsel) for all such indemnified party or parties unless (x) the employment
of more than one counsel has been authorized in writing by the indemnified party or parties, (y) an
indemnified party has reasonably concluded that there may be legal defenses available to it that
are different from or in addition to those available to the other indemnified parties or (z) a
conflict or potential conflict exists or may exist between such indemnified party and the other
indemnified parties, in each of which cases the indemnifying party shall be obligated to pay the
reasonable fees and expenses of such additional counsel or counsels, and that the indemnifying
party shall reimburse all such fees and expenses as they are incurred.

               (d) If for any reason the indemnification provided for in Section 2.07(a) or Section 2.07(b)
is unavailable to an indemnified party or insufficient to hold it harmless as contemplated by
Section 2.07(a) or Section 2.07(b), then the indemnifying party shall contribute to the amount paid
or payable by the indemnified party as a result of such Loss in such proportion as is appropriate
to reflect the relative fault of the indemnifying party on the one hand and the indemnified party
on the other hand. The relative fault shall be determined by reference to, among other things,
whether the untrue or alleged untrue statement of a material fact or the omission or alleged
omission to state a material fact relates to information supplied by the indemnifying party or

17

 

the
indemnified party and the parties’ relative intent, knowledge, access to information and
opportunity to correct or prevent such untrue statement or omission. Notwithstanding anything in
this Section 2.07(d) to the contrary, no indemnifying party (other than Post) shall be required
pursuant to this Section 2.07(d)to contribute any amount in excess of the amount by which the net
proceeds received by such indemnifying party from the sale of Registrable Securities in the
offering to which the Losses of the indemnified parties relate (before deducting expenses, if any)
exceeds the amount of any damages which such indemnifying party has otherwise been required to pay
by reason of such untrue statement or omission. The parties hereto agree that it would not be just
and equitable if contribution pursuant to this Section 2.07(d) were determined by pro rata
allocation or by any other method of allocation that does not take account of the equitable
considerations referred to in this Section 2.07(d). No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the
Securities Act) shall be entitled to contribution from any Person who was not guilty of such
fraudulent misrepresentation. The amount paid or payable by an indemnified party hereunder shall
be deemed to include, for purposes of this Section 2.07(d), any legal or other expenses reasonably
incurred by such indemnified party in connection with investigating, preparing to defend or
defending against or appearing as a third party witness in respect of, or otherwise incurred in
connection with, any such loss, claim, damage, expense, liability, action, investigation or
proceeding. If indemnification is available under this Section 2.07, the indemnifying parties shall
indemnify each indemnified party to the full extent provided in Section 2.07(a)and Section 2.07(b)
without regard to the relative fault of said indemnifying parties or indemnified party. Any
Holders’ obligations to contribute pursuant to this Section 2.07(d) are several and not joint.

     Section 2.08 Reporting Requirements; Rule 144.

               Until the earlier of the expiration or termination of this Agreement or the date upon which
Ralcorp and its Subsidiaries (other than Post and its Subsidiaries) cease to own any Retained
Shares, Post shall use its commercially reasonable efforts to be and remain in compliance with the
periodic filing requirements imposed under the SEC’s rules and regulations, including the Exchange
Act, and any other applicable laws or rules, and thereafter shall timely file such information,
documents and reports as the SEC may require or prescribe under Sections 13, 14 and 15(d), as
applicable, of the Exchange Act so that Post will qualify for registration on Form S-3 and to
enable Ralcorp to sell Registrable Securites without registration under the Securities Act within
the limitation of the exemptions provided by (i) Rule 144 under the Securities Act, or (ii) any
similar rule or regulation hereafter promulgated by the SEC. From and after the date hereof
through the earlier of the expiration or termination of this Agreement or the date upon which
Ralcorp and its Subsidiaries (other than Post and its Subsidiaries) cease to own any Retained
Shares, Post shall forthwith upon request furnish any Holder (i) a written statement by Post as to
whether it has complied with such requirements and, if not, the specifics thereof, (ii) a copy of
the most recent annual or quarterly report of Post, and (iii) such other reports and documents
filed by Post with the SEC as such Holder may reasonably request in availing itself of an exemption
for the sale of Registrable Securities without registration under the Securities Act.

ARTICLE III

Voting Restrictions

     Section 3.01 Voting of Company Common Stock.

               (a) From the date of this Agreement and until the date that Ralcorp and its Subsidiaries
(other than Post and its Subsidiaries) cease to own any Retained Shares, Ralcorp shall, and shall
cause its Subsidiaries to (in each case, to the extent that they own any Retained Shares), be
present, in person or by proxy, at each and every Company shareholder meeting, and otherwise to
cause all Retained Shares owned by them to be counted as present for purposes of establishing a
quorum at any such meeting, and to vote or consent on any matter (including waivers of contractual
or statutory rights), or cause to be voted or consented on any such matter, all such Retained
Shares in proportion to the votes cast by the other holders of Common Stock on such matter.

18

 

               (b) From the date of this Agreement and until the date that Ralcorp and its Subsidiaries
(other than Post and its Subsidiaries) cease to own any Retained Shares, Ralcorp hereby grants, and
shall cause its Subsidiaries (in each case, to the extent that they own any Retained Shares) to
grant, an irrevocable proxy, which shall be deemed coupled with an
interest sufficient in law to support an irrevocable proxy to Post or its designees, to vote,
with respect to any matter (including waivers of contractual or statutory rights), all Retained
Shares owned by them, in proportion to the votes cast by the other holders of Common Stock on such
matter; provided, that (i) such proxy shall automatically be revoked as to a particular Retained
Share upon any sale, transfer or other disposition of such Retained Share from Ralcorp or any of
its Subsidiaries to a Person other than Ralcorp or any of its Subsidiaries; and (B) nothing in this
Section 3.01(b) shall limit or prohibit any such sale, transfer or disposition.

               (c) Ralcorp acknowledges and agrees that Post will be irreparably damaged in the event any of
the provisions of this Article III are not performed by Ralcorp and its Subsidiaries in accordance
with the specific terms of such section or are otherwise breached. Accordingly, it is agreed that
Post shall be entitled to an injunction to prevent breaches of this Article III and to specific
enforcement of the provisions of this Article III in any action instituted in any court of the
United States or any state having subject matter jurisdiction.

ARTICLE IV

Miscellaneous

     Section 4.01 Term.

          Except as set forth in Section 4.04, this Agreement shall terminate upon the Registration or
other sale, transfer or disposition of all the Retained Shares from Ralcorp or any of its
Subsidiaries to a Person other than Ralcorp or any of its Subsidiaries, except for the provisions
of Section 2.06 and Section 2.07 and all of this Article IV, which shall survive any such
termination.

     Section 4.02 Entire Agreement.

          This Agreement, including the Exhibits referred to herein, constitutes the entire agreement
between any of the parties hereto with respect to the subject matter contained herein or therein,
and supersede all prior agreements, negotiations, discussions, understandings and commitments,
written or oral, between any of the parties hereto with respect to such subject matter.

     Section 4.03 Choice of Law.

          THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE
SUBSTANTIVE LAWS OF THE STATE OF MISSOURI, WITHOUT REGARD TO ANY CONFLICTS OF LAW PROVISION OR RULE
THEREOF THAT WOULD RESULT IN THE APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION.

          Each of the parties hereto agrees to submit to the jurisdiction of the United States District
Court for the Eastern District of Missouri and in any State of Missouri court located in St. Louis,
Missouri for purposes of all legal proceedings arising out of, or in connection with, this
Agreement or the transactions contemplated hereby, and irrevocably waives any objection which it
may now or hereafter have to the laying of the venue of any such proceeding brought in such a court
and any claim that any such proceeding brought in such a court has been brought in an inconvenient
forum.

          BECAUSE DISPUTES ARISING IN CONNECTION WITH COMPLEX FINANCIAL TRANSACTIONS ARE MOST QUICKLY
AND ECONOMICALLY RESOLVED BY AN EXPERIENCED AND EXPERT PERSON AND THE PARTIES WISH APPLICABLE STATE
LAWS TO APPLY (RATHER THAN ARBITRATION RULES), THE PARTIES DESIRE THAT THEIR DISPUTES BE RESOLVED
BY A JUDGE APPLYING
SUCH APPLICABLE LAWS. THEREFORE, TO ACHIEVE THE BEST

19

 

COMBINATION OF THE BENEFITS OF THE
JUDICIAL SYSTEM AND OF ARBITRATION, THE PARTIES HERETO WAIVE ALL RIGHT TO TRIAL BY JURY IN ANY
ACTION, SUIT OR PROCEEDING BROUGHT TO ENFORCE OR DEFEND ANY RIGHTS OR REMEDIES UNDER THIS
AGREEMENT.

     Section 4.04 Amendment

               (a) This Agreement may not be amended or modified and waivers and consents to departures from
the provisions hereof may not be given, except by an instrument or instruments in writing making
specific reference to this Agreement and signed by Post, and the Holders of a majority of the
Registrable Securities.

     Section 4.05 Waiver.

          Any term or provision of this Agreement may be waived, or the time for its performance may be
extended, by the party or parties entitled to the benefit thereof. Any such waiver shall be
validly and sufficiently given for the purposes of this Agreement if, as to any party, it is in
writing signed by an authorized representative of such party. The failure of any party to enforce
at any time any provision of this Agreement shall not be construed to be a waiver of such
provision, or in any way to affect the validity of this Agreement or any part hereof or the right
of any party thereafter to enforce each and every such provision. No waiver of any breach of this
Agreement shall be held to constitute a waiver of any other or subsequent breach.

     Section 4.06 Partial Invalidity.

          Wherever possible, each provision hereof shall be interpreted in such a manner as to be
effective and valid under applicable law, but in case any one or more of the provisions contained
herein shall, for any reason, be held to be invalid, illegal or unenforceable in any respect, such
provision or provisions shall be ineffective to the extent, but only to the extent, of such
invalidity, illegality or unenforceability without invalidating the remainder of such provision or
provisions or any other provisions hereof, unless such a construction would be unreasonable.

     Section 4.07 Execution in Counterparts.

          This Agreement may be executed in two or more counterparts, each of which shall be deemed an
original instrument, but all of which shall be considered one and the same agreement, and shall
become binding when one or more counterparts have been signed by and delivered to each of the
parties hereto.

     Section 4.08 Successors, Assigns and Transferees.

               (a) This Agreement and all provisions hereof shall be binding upon and inure to the benefit of
the parties hereto and their respective successors and permitted assigns. Post may assign this
Agreement at any time in connection with a sale or acquisition of Post, whether by merger,
consolidation, sale of all or substantially all of Post’s assets, or similar transaction, without
the consent of the Holders; provided that the successor or acquiring Person agrees in writing to
assume all of Post’s rights and obligations under this Agreement. A Holder may assign its rights
and obligations under this Agreement only (a) to an Affiliate of such Holder that acquires any of
such Holder’s Registrable Securities and executes an agreement to be bound hereby in the form
attached hereto as Exhibit A, an executed counterpart of which shall be furnished to Post,
or (b) with the prior written consent of Post, and any purported assignment by a Holder other than
as set forth in this Section 4.08(a). shall be null and void; provided,
however, that, prior to the second anniversary of the date of this Agreement, Ralcorp or any
of its Subsidiaries that is a Holder may assign its right to one Demand Registration hereunder to
each unaffiliated third party to whom Ralcorp sells or otherwise transfers Registrable Securities
representing 5% or more of Post’s then issued and outstanding Common Stock (a
“Transferee”), which Demand Registration shall be subject to the terms and conditions of
this Agreement (other than Section 2.02(a), Section 2.02(b), Section 2.02(c), Section 2.05 and
Article III); provided, further, that (i) if the Transferee shall exercise any Demand Registration
that has been assigned to it by Ralcorp or any of Ralcorp’s Subsidiaries pursuant to the foregoing,
then such Demand

20

 

Registration shall constitute a Demand Registration request by the Holder(s) for
purposes of the limitation on the number of Demand Registration requests set forth in Section
2.01(b); and (ii) no Transferee may exercise any Demand Registration assigned to such Transferee
after the second anniversary of the date of this Agreement.

               (b) Subject to Section 4.08(a) and provided that Post is given written notice by the Holders
prior to or at the time of such transfer stating the name and address of the transferee and
identifying the securities with respect to which the rights under this Agreement are being
assigned, the Registration Rights shall be transferred with the transfer of Registrable Securities;
provided that to the extent any such transfer consists of Registrable Securities representing less
than 1% of Post’s then issued and outstanding Common Stock and such Registrable Securities are
eligible for transfer pursuant to an exemption from the registration and prospectus delivery
requirements of the Securities Act under Section 4(1) thereof (including transactions pursuant to
Rule 144), no Registration Rights shall be transferred therewith. Notwithstanding the foregoing,
if such transfer is subject to covenants, agreements or other undertakings restricting
transferability thereof, the Registration Rights shall not be transferred in connection with such
transfer unless such transfer complies with all such covenants, agreements and other undertaking.
In all cases, the Registration Rights shall not be transferred unless the transferee thereof
executes a counterpart attached hereto as Exhibit A and delivers the same to Post.

     Section 4.09 Notices.

               (a) All notices, requests, claims, demands and other communications required or permitted
hereunder shall be in writing and shall be deemed duly given or delivered (i) when delivered
personally, (ii) if transmitted by facsimile when confirmation of transmission is received or by
email when receipt of such email is acknowledged by return email, (iii) if sent by registered or
certified mail, postage prepaid, return receipt requested, on the third business day after mailing
or (iv) if sent by private courier when received; and shall be addressed as follows:

If to Ralcorp, to:

Ralcorp Holdings, Inc.

800 Market Street

St. Louis, Missouri 63101

Attention: Gregory A. Billhartz

Facsimile: (314) 877-7748

If to Post, to:

Post Holdings, Inc.

[Address]

Attention:

Facsimile:

or to such other address as such party may indicate by a notice delivered to the other parties.

               (b) Each Holder, by written notice given to Post in accordance with this Section 4.09, may
change the address to which notices, other communications or documents are to be sent to such
Holder. All notices, other communications or documents shall be deemed to have been duly given:
(i) at the time delivered by hand, if personally delivered; (ii) when receipt is acknowledged in
writing by addressee, if by facsimile transmission; (iii) five Business Days after being deposited
in the mail, postage prepaid, if mailed by first class mail; and (iv) on the first business day
with respect to which a reputable air courier guarantees delivery; provided, however, that notices
of a change of address shall be effective only upon receipt. Post shall have no obligation to
deliver any notices under this Agreement to or otherwise interact with any purported Holder that
has not provided notice to Post pursuant to this Section 4.09, and no such Person shall have any
rights under this Agreement unless and until such Person delivers such notice.

21

 

     Section 4.10 No Reliance on Other Party.

          The parties hereto represent to each other that this Agreement is entered into with full
consideration of any and all rights which the parties hereto may have. The parties hereto have
relied upon their own knowledge and judgment and have conducted such investigations they and their
in-house counsel have deemed appropriate regarding this Agreement and their rights in connection
with this Agreement. The parties hereto are not relying upon any representations or statements
made by any other party, or any such other party’s employees, agents, representatives or attorneys,
regarding this Agreement, except to the extent such representations are expressly set forth or
incorporated in this Agreement. The parties hereto are not relying upon a legal duty, if one
exists, on the part of any other party (or any such other party’s employees, agents,
representatives or attorneys) to disclose any information in connection with the execution of this
Agreement or its preparation, it being expressly understood that no party hereto shall ever assert
any failure to disclose information on the part of any other party as a ground for challenging this
Agreement or any provision hereof.

     Section 4.11 Performance.

          Each party shall cause to be performed, and hereby guarantees the performance of, all actions,
agreements and obligations set forth herein to be performed by any Subsidiary of such party.

     Section 4.12 Attorneys’ Fees.

          In any action or proceeding brought to enforce any provision of this Agreement or where any
provision hereof is validly asserted as a defense, the successful party shall, to the extent
permitted by applicable law, be entitled to recover reasonable attorneys’ fees in addition to any
other available remedy.

     Section 4.13 Further Assurances.

          Each of the parties hereto shall execute and deliver all additional documents, agreements and
instruments and shall do any and all acts and things reasonably requested by the other party hereto
in connection with the performance of its obligations undertaken in this Agreement.

     Section 4.14 Registrations, Exchanges, etc..

          Notwithstanding anything to the contrary that may be contained in this Agreement, the
provisions of this Agreement shall apply to the full extent set forth herein with respect to (i)
any shares of Common Stock, now or hereafter authorized to be issued, (ii) any and all securities
of Post into which the shares of Common Stock are converted, exchanged or substituted in any
recapitalization or other capital reorganization by Post and (iii) any and all securities of any
kind whatsoever of Post or any successor or permitted assign of Post (whether by merger,
consolidation, sale of assets or otherwise) which may be issued on or after the date hereof in
respect of, in conversion of, in exchange for or in substitution of, the shares of Common Stock,
and shall be appropriately adjusted for any stock dividends, or other distributions, stock splits
or reverse stock splits, combinations, recapitalizations mergers, consolidations, exchange offers
or other reorganizations occurring after the date hereof.

[The remainder of this page has been left blank intentionally.]

22

 

     IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed by their
authorized representatives as of the date first above written.

	 	 	 	 	 

	 

	 	Ralcorp Holdings, Inc.	 	 
	 
	 	 	 	 
	 

	 	By:                                                            	 	 
	 

	 	Name:                                                            
	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	 

	 	Post Holdings, Inc.	 	 
	 
	 	 	 	 
	 

	 	By:                                                            	 	 
	 

	 	Name:                                                            	 	 
	 

	 	Title:	 	 

23

 

Exhibit A

     THIS INSTRUMENT forms part of the Shareholder’s and Registration Rights Agreement (the
“Agreement”), dated as of      , 2012, by and among Post Holdings, Inc., a Missouri corporation
(“Post”), and Ralcorp Holdings, Inc., a Missouri corporation (the “Ralcorp”). The undersigned
hereby acknowledges having received a copy of the Agreement and having read the Agreement in its
entirety, and for good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, and intending to be legally bound, hereby agrees that the terms and conditions of the
Agreement binding upon and inuring to the benefit of Ralcorp shall be binding upon and inure to the
benefit of the undersigned and its successors and permitted assigns as if it were an original party
to the Agreement.

     IN WITNESS WHEREOF, the undersigned has executed this instrument on this day       of      , 20 .

	 	 	 	 	 

	 

	 	 

(Signature of transferee)
	 	 
	 
	 	 	 	 
	 

	 	 	 	 
	 

	 	Print name	 	 

24ex10_1.htm

Exhibit 10.1

Third Amended and Restated Unsecured Credit Agreement

 

Revolving Credit Commitment:         $150,000,000

____________________________________________

Dated as of January 17, 2012

 

Among

 

The Empire District Electric Company

as Borrower

 

and

 

UMB Bank, N.A.

Individually And As Administrative Agent

 

and

 

Bank of America, N.A.

Individually And As Syndication Agent

 

and

 

Wells Fargo Bank, N.A.

Individually And As Documentation Agent

 

and

 

The Other Financial Institutions Party Hereto

as Banks

 

Arranged By

UMB Bank, N.A.

 

  

  

  

The Empire District Electric Company

 

Third Amended and Restated Unsecured Credit Agreement

 

Originally Dated July 15, 2005

 

January 17, 2012

UMB Bank, N.A.

Kansas City, Missouri

 

 

Bank of America, N.A.

St. Louis, Missouri

 

 

Wells Fargo Bank, N.A.

Overland Park, Kansas

 

 

The Other Financial Institutions Party Hereto

 

 

This Third Amendment and Restatement of that certain Unsecured Credit Agreement between the parties hereto dated July 15, 2005 (the “Original Credit Agreement”), is made as of this 17th day of January, 2012 and amends and restates the Original Credit Agreement, as previously amended and restated, in its entirety.  Unless the context otherwise requires, all references to the Original Credit Agreement in any Loan Document shall be deemed references to this Agreement.

 

The undersigned, The Empire District Electric Company, a Kansas corporation (the “Company”) hereby applies to you for your several commitments, subject to all the terms and conditions hereof and on the basis of representations and warranties hereinafter set forth, to make an unsecured credit facility (the “Revolving Credit”) available to the Company, all as more fully set forth herein.  Each of you is hereinafter referred to individually as “Bank” and collectively as “Banks.”  UMB Bank, N.A., in its individual capacity is sometimes referred to herein as “UMB”, and in its capacity as Administrative Agent for the Banks is hereinafter in such capacity referred to as the “Agent” and in its capacity as a lender under the Swingline Sublimit is referred to as the Swingline Lender.  Bank of America, N.A. is also sometimes referred to herein as “Syndication Agent” and Wells Fargo Bank, N.A. is also sometimes referred to herein as “Documentation Agent.”  All capitalized terms not defined in the text of this Agreement are defined in Section 1 hereof.

 

	
SECTION 1.  

	
Definitions.

 

1.1. Certain Definitions.  The terms hereinafter set forth when used herein shall have the following meanings:

 

“ABR” means a fluctuating rate of interest equal to the highest of (a) the Prime Rate, (b) the sum of the Federal Funds Effective Rate most recently determined by the Agent, plus one-half percent (1/2%) per annum or (c) the one (1) month LIBOR rate plus one percent (1%) per annum.

 

  

  

  

“ABR Portion” shall have the meaning specified in Section 3.1 hereof.

 

“Adjusted LIBOR Rate” means a rate per annum determined pursuant to the following formula:

 

	  	
Adjusted LIBOR Rate =

	
LIBOR Rate

	  	  	
1 – Reserve Percentage

“Affiliate” shall mean, for any Person, any other Person that directly or indirectly controls, or is under common control with, or is controlled by, such Person.  As used in this definition, “control” means the power, directly or indirectly, to direct or cause the direction of management or policies of a Person (through ownership of voting securities, by contract or otherwise), provided that, in any event for purposes of this definition any Person that owns directly or indirectly securities having ten percent (10%) or more of the ordinary voting power for the election of directors of a corporation or ten percent (10%) or more of the partnership or other ownership interests of any other Person will be deemed to control such corporation or other Person.

 

“Agent” shall have the meaning specified in the second paragraph of this Agreement.

 

“Agreement” shall mean this Third Amended and Restated Credit Agreement as may be supplemented and amended from time to time.

 

“Applicable Margin” shall mean on any date, (a) when used to determine the interest payable on Loans comprising any LIBOR Portion, LIBOR Index Portion (Swingline Loans) or ABR Portion, the applicable number of basis points set forth in the Pricing Schedule attached hereto as Exhibit B and incorporated herein by reference under the heading for “Applicable Margin for LIBOR and LIBOR Index Portions” or “Applicable Margin for ABR Portions,” as the case may be, and (b) when used to determine the Facility Fee, the applicable number of basis points set forth in such Pricing Schedule under the heading for “Facility Fee Rate”.

 

“Bank” and “Banks” shall have the meanings specified in the second paragraph of this Agreement.

 

“Borrowing” shall have the meaning set forth in Section 2.2 hereof.

 

“Business Day” shall mean any day, except Saturday or Sunday, on which banks are open for business in Kansas City, Missouri or Chicago, Illinois, and, with respect to LIBOR Portions, dealing in United States dollar deposits in London, England.

 

“Change in Law” means (i) any change after the date of this Agreement in the Final Risk-Based Capital Guidelines or (ii) any adoption of or change in any other law, governmental or quasi-governmental rule, regulation, policy, guideline, interpretation, or directive (whether or not having the force of law), by any Governmental Authority or in the interpretation, promulgation, implementation or administration thereof, by any Governmental Authority after the date of this Agreement. Notwithstanding the foregoing, for purposes of this Agreement, all requests, rules, guidelines or directives in connection with the Dodd-Frank Wall Street Reform and Consumer Protection Act shall be deemed

 

  

2

  

to be a Change in Law regardless of the date enacted, adopted or issued and all requests, rules, guidelines or directives promulgated by the Bank for International Settlements, the Basel Committee on Banking Regulations and Supervisory Practices (or any successor or similar authority) or the United States financial regulatory authorities, in each case pursuant to Basel III, shall be deemed to be a Change in Law regardless of the date adopted, issued, promulgated or implemented. “Final Risk-Based Capital Guidelines” means (i) the risk-based capital guidelines issued by the Board of Governors of the Federal Reserve, as in effect in the United States on the date of this Agreement, including transition rules, and (ii) the corresponding capital regulations promulgated by regulatory authorities outside the United States including transition rules, and any amendments to such regulations adopted prior to the date of this Agreement.

 

“Change of Control” shall mean the occurrence after the date of this Agreement of:  (i) any Person, or two or more Persons acting in concert, acquiring beneficial ownership (within the meaning of Rule 13d-3 of the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended), directly or indirectly, of securities of the Company (or other securities convertible into such securities) representing greater than thirty-three and one-third percent (331⁄3%) of the combined voting power of all securities of the Company entitled to vote in the election of directors; or (ii) any Person, or two or more Persons acting in concert, acquiring by contract or otherwise, or entering into a contract or arrangement which, upon consummation, will result in its or their acquisition of, or control over, securities of the Company (or other securities convertible into such securities) representing greater than thirty-three and one-third percent (331⁄3%) of the combined voting power of all securities of the Company entitled to vote in the election of directors.

 

“Closing Date” shall mean January 17, 2012.

 

“Commitment” shall mean a Revolving Credit Commitment of any Bank.

 

“Commitment Percentage” shall mean a Revolving Credit Percentage.

 

“Credit Termination Date” shall have the meaning set forth in Section 2.1(a) hereof.

 

“Defaulting Bank” shall mean any Bank that (a) fails to fund its portion of Loans to the Company, (b) fails to pay any other amount required under the Agreement, (c) has become insolvent or whose holding company or any affiliate has become insolvent, or (d) has defaulted under other syndicated credit facilities.

 

“Documentation Agent” means Wells Fargo Bank, N.A.

 

“EBITDA” means, with reference to any period, Net Income for such period plus all amounts deducted in arriving at such Net Income amount in respect of (a) Interest Charges for such period, plus (b) foreign, federal, state and local income taxes of the Company, and its Subsidiaries paid or accrued for such period, plus (c) all amounts properly charged by the Company and its Subsidiaries for depreciation and amortization of intangible assets during such period.

 

“Effective Date” shall mean the later of (i) the Closing Date or (ii) if required, the date as of which the Company receives the approval of the Kansas Corporation Commission to enter into this Agreement.

 

  

3

  

“Environmental Laws” shall mean all federal, state and local environmental, health and safety statutes and regulations, including without limitation all statutes and regulations establishing quality criteria and standards for air, water, land and toxic or hazardous wastes and substances.

 

“ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended.

 

“Event of Default” shall mean any event or condition identified as such in Section 8.1 hereof.

 

“Exposure” shall mean, as to any Bank, the sum of such Bank’s (a) unused Revolving Credit Commitment, and (b) all outstanding Loans, if any.

 

“FERC” means the Federal Energy Regulatory Commission.

 

“Federal Funds Effective Rate” shall mean for any day, an interest rate per annum equal to the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System arranged by federal funds brokers, as published for such day by the Federal Reserve Bank of New York, or if such rate is not so published for such day, the average of the quotations for such day on such transactions received by the Agent from three (3) federal funds brokers of recognized standing selected by it.

 

“GAAP” shall mean generally accepted accounting principles as in effect in the United States on the date hereof applied by the Company on a basis consistent with the preparation of the Audit Report referred to in Section 6.3 hereof.

 

“Governmental Authority” means the government of the United States of America or any other nation, or of any political subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to government (including any supra-national bodies such as the European Union or the European Central Bank).

 

“Granting Bank” shall have the meaning set forth in Section 11.21.

 

“Indebtedness” shall mean as of any time the same is to be determined, the aggregate of:

 

(a) all indebtedness with respect to borrowed money;

 

(b) all reimbursement and other obligations with respect to letters of credit, banker’s acceptances, customer advances and other extensions of credit whether or not representing obligations for borrowed money;

 

(c) the aggregate amount of capitalized lease obligations;

 

(d) all indebtedness secured by any lien or any security interest on any Property, whether or not the same would be classified as a liability on a balance sheet;

 

  

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(e) all indebtedness representing the deferred purchase price of Property, but excluding all trade payables incurred in the ordinary course of business; and

 

(f) all guaranties, endorsements (other than any liability arising out of the endorsement of items for deposit or collection in the ordinary course of business) and other contingent obligations in respect of, or any obligations to purchase or otherwise acquire, any of the foregoing.

 

Indebtedness of the Company shall be computed and determined, without duplication, on a consolidated basis for the Company and its Subsidiaries after the elimination of intercompany items in accordance with GAAP.

 

“Interest Charges” shall mean, with reference to any period, the sum of all interest charges (including imputed interest charges with respect to capitalized lease obligations, all amortization of debt discount and expense) of the Company and its Subsidiaries for such period determined on a consolidated basis in accordance with GAAP.

 

“Interest Coverage Ratio” shall mean, as of any time the same is to be determined, the ratio of (a) consolidated EBITDA for the most recent four (4) fiscal quarters then ended to (b) consolidated Interest Charges for such four (4) fiscal quarters.

 

“Interest Period” shall mean (a) with respect to any LIBOR Portion, the period used for the computation of interest commencing on the date the relevant LIBOR Portion is made, continued or effected by conversion and concluding on the date one (1), two (2) or three (3) months thereafter as selected by the Company in its notice as provided herein; provided that all of the foregoing provisions relating to Interest Periods are subject to the following:

 

(a) if any Interest Period would otherwise end on a day which is not a Business Day, that Interest Period shall be extended to the next succeeding Business Day, unless in the case of an Interest Period for a LIBOR Portion the result of such extension would be to carry such Interest Period into another calendar month in which event such Interest Period shall end on the immediately preceding Business Day;

 

(b) no Interest Period may extend beyond the Credit Termination Date;

 

(c) the interest rate to be applicable to each LIBOR Portion for each Interest Period shall apply from and including the first day of such Interest Period to but excluding the last day thereof; and

 

(d) no Interest Period may be selected if after giving effect thereto the Company will be unable to make a principal payment scheduled to be made during such Interest Period without paying part of a LIBOR Portion on a date other than the last day of the Interest Period applicable thereto.

 

For purposes of determining an Interest Period, a month means a period starting on one day in a calendar month and ending on a numerically corresponding day in the next calendar month; provided, however, if an Interest Period begins on the last day of a month or if there is no numerically corresponding day in the month in which an Interest Period is to end, then such Interest Period shall end on the last Business Day of such month.

 

  

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“LIBOR Index Rate” means the overnight London interbank offered rate for deposits in U.S. dollars appearing on Reuters Screen LIBOR01 as of 11:00 a.m. (London time), adjusting effective as of the date of any change therein.

 

“LIBOR Portion” shall have the meaning specified in Section 3.1 hereof.

 

“LIBOR Rate” shall mean for each Interest Period applicable to a LIBOR Portion, (a) the LIBOR Index Rate for such Interest Period, if such rate is available, and (b) if the LIBOR Index Rate cannot be determined, the arithmetic average of the rates of interest per annum (rounded upwards, if necessary, to the nearest 1/100 of 1%) at which deposits in U.S. dollars in immediately available funds are offered to the Agent at 11:00 a.m. (London, England time) two (2) Business Days before the beginning of such Interest Period by three (3) or more major banks in the London interbank market selected by the Agent for a period equal to such Interest Period and in an amount equal or comparable to the principal amount of the LIBOR Portion scheduled to be made by the Agent during such Interest Period.

 

“Loan” shall mean a Revolving Credit Loan or a Swingline Loan and “Loans” shall mean any two or more of the foregoing.

 

“Loan Documents” shall mean this Agreement and any and all exhibits hereto, each Note, and any and all other agreements, instruments and documents heretofore or hereafter executed and delivered to or in favor of and for the benefit of the Agent and the Banks, or any of them, in connection with the Loans made and the transactions contemplated under this Agreement, as the same may be amended, revised, amended and restated, replaced, supplemented or otherwise modified from time to time.

 

“Material Adverse Effect” shall mean a material adverse effect on (a) the business, assets, liabilities, results of operations or financial condition of the Company and its subsidiaries, taken as a whole, (b) the ability of the Company to perform its obligations under this Agreement or any of the other Loan Documents or (c) the validity or enforceability against the Company of this Agreement, any of the other Loan Documents, or the rights and remedies of the Agent or the Banks hereunder or thereunder.

 

“Mortgage” shall have the meaning specified in Section 7.7(i) hereof.

 

“Net Income” shall mean, with reference to any period, the net income (or net loss) of the Company and its Subsidiaries for such period as computed on a consolidated basis in accordance with GAAP.

 

“Note” shall mean a Revolving Credit Note or a Swingline Note and “Notes” shall mean any two or more of the foregoing.

 

“PBGC” shall mean the Pension Benefit Guaranty Corporation.

 

“Person” shall mean and include any individual, sole proprietorship, partnership, joint venture, trust, unincorporated organization, association, corporation, institution, entity, party or government (whether federal, state, county, city, municipal, or otherwise, including, without limitation, any instrumentality, division, agency, body or department thereof).

 

  

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“Plan” shall mean any employee benefit plan covering any officers or employees of the Company or any Subsidiary, any benefits of which are, or are required to be, guaranteed by the PBGC.

 

“Pricing Schedule” shall have the meaning as set forth in Section 3.9 hereof.

 

“Prime Rate” means for any day the rate of interest announced by UMB from time to time as its prime commercial rate in effect on such day, with any change in the Prime Rate resulting from a change in said prime commercial rate to be effective as of the date of the relevant change in said prime commercial rate, such rate not necessarily being the lowest rate charged by UMB to any customer.

 

“Property” shall mean all assets and properties of any nature whatsoever, whether real or personal, tangible or intangible, including, without limitation, intellectual property.

 

“Quarterly Compliance Certificate” shall have the meaning set forth in Section 7.4(c) hereof.

 

“Register” shall have the meaning specified in Section 11.20 hereof.

 

“Required Banks” shall mean any Bank or Banks which in the aggregate hold at least sixty-six and two-thirds percent (662⁄3%) of the Total Exposure.

 

“Reserve Percentage” means the daily arithmetic average maximum rate, expressed as a decimal, at which reserves (including, without limitation, any supplemental, marginal and emergency reserves) are imposed on members banks of the Federal Reserve System during the applicable Interest Period by the Board of Governors of the Federal Reserve System (or any successor) under Regulation D on “eurocurrency liabilities” (as such term is defined in Regulation D), subject to any amendments of such reserve requirement by such Board or its successor, taking into account any transitional adjustments thereto.  For purposes of this definition, the LIBOR Portions shall be deemed to be eurocurrency liabilities as defined in Regulation D without benefit or credit for any prorations, exemptions or offsets under Regulation D.

 

“Revolving Credit” shall have the meaning specified in the second paragraph of this Agreement.

 

“Revolving Credit Commitment” and “Revolving Credit Commitments” shall have the meanings specified in Section 2.2 hereof.

 

“Revolving Credit Commitment Percentage” shall have the meaning specified in Section 2.2 hereof.

 

“Revolving Credit Loan” and “Revolving Credit Loans” shall have the meanings specified in Section 2.1(a) hereof.

 

“Revolving Credit Note” or “Revolving Credit Notes” shall have the meanings specified in Section 2.2 hereof.

 

“SPC” shall have the meaning set forth in Section 11.21.

 

“Subsidiary” shall mean, for any Person, any corporation or other entity of which more than fifty percent (50%) of the outstanding stock or comparable equity interests

 

  

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having ordinary voting power for the election of the Board of Directors of such corporation or similar governing body in the case of a non-corporate entity (irrespective of whether or not, at the time, stock or other equity interests of any other class or classes of such corporation or other entity shall have or might have voting power by reason of the happening of any contingency) is at the time directly or indirectly owned by such Person or by one or more of its Subsidiaries.

 

“Swingline Lender” means UMB Bank, N.A.

 

“Swingline Loans” means all loans made pursuant to Section 2.1(b).

 

“Swingline Note” shall have the meaning set forth in Section 2.1(b)(i).

 

“Swingline Sublimit” means Fifteen Million Dollars ($15,000,000.00).

 

“Syndication Agent” means Bank of America, N.A.

 

“Total Assets” means all assets of the Company as shown on its most recent quarterly or annual consolidated balance sheet, as determined in accordance with GAAP.

 

“Total Exposure” shall mean the aggregate Exposure for all Banks.

 

“UMB” shall have the meaning specified in the second paragraph of this Agreement.

 

1.2. Interpretation.  Capitalized terms defined elsewhere in this Agreement shall, unless otherwise specified, have the meanings so ascribed to them in all provisions of this Agreement.  The foregoing definitions are equally applicable to both the singular and plural forms of the terms defined.  All references to time of day herein are references to Kansas City, Missouri time unless otherwise specifically provided.  Where the character or amount of any asset or liability or item of income or expense is required to be determined or any consolidation or other accounting computation is required to be made for the purposes of this Agreement, it shall be done in accordance with GAAP except where such principles are inconsistent with the specific provisions of this Agreement.

 

	
SECTION 2.  

	
The Revolving Credit.

 

2.1. Loans.

 

(a) Revolving Credit Loans. Subject to all of the terms and conditions hereof, the Banks, except as otherwise expressly provided herein, agree to continue to extend the Revolving Credit to the Company of up to One Hundred Fifty Million Dollars ($150,000,000), which may be borrowed by the Company in its discretion from time to time, be repaid and borrowed again (“Revolving Credit Loans”), during the period from the Effective Date to and including the date that is five (5) years after the Effective Date (the “Credit Termination Date”).  The aggregate amount of the Revolving Credit Loans outstanding at any one time shall not exceed the Revolving Credit Commitments, as in effect from time to time.

 

(b) Swingline Loans.

 

(i) Subject to all terms and conditions hereof, except as otherwise expressly provided herein, the Swingline Lender may make Swingline Loans to the Company from time to time from the Effective Date to the Credit Termination

 

  

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Date as requested by the Borrower in accordance with the terms hereof; provided, that after giving effect to any amount requested, (a) the outstanding Swingline Loans shall be subject to the same availability conditions as Revolving Credit Loans and (b) the aggregate principal amount of all outstanding Swingline Loans existing at any time shall not exceed the Swingline Sublimit, as the same may be decreased pursuant to the terms hereof. The Swingline Sublimit is deemed to be a portion of the Revolving Credit and not in addition thereto and each Swingline Loan will automatically become a Revolving Credit Loan if not repaid in full within five (5) days of the date such Swingline Loan was made. All Banks will be deemed to be a participant in each Swingline Loan as if such Loan had initially been made as a Revolving Credit Loan. Outstanding Swingline Loans shall reduce the availability under the Revolving Credit by the amount of such Swingline Loans. All Swingline Loans shall be evidenced by a Swingline Note of the Company (“Swingline Note”) payable to the order of the Swingline Lender in the amount of the Swingline Sublimit, such note to be in the form attached hereto as Exhibit A-2.

 

(ii) The Company shall give the Agent an irrevocable notice of borrowing not later than 3:30 p.m. (Kansas City time) on the same day as each proposed Swingline Loan specifying (1) the date of such borrowing, which shall be a Business Day and (2) the amount of such borrowing, which shall be in an aggregate principal amount of not less than $1,000,000.  A notice of borrowing received after 3:30 p.m. (Kansas City time) shall be deemed received on the next Business Day.  The Agent shall promptly notify the Banks of each notice of borrowing. All Swingline Loans shall be in a minimum amount of $1,000,000 and increments of $250,000 in excess thereof.

 

(iii) Not later than 3:30 p.m. (Kansas City time) on the proposed borrowing date the Swingline Lender will make available to the Company, at the office of the Agent in funds immediately available to the Agent, the Swingline Loan requested to be made on such date.  The Company hereby irrevocably authorizes the Agent to disburse the proceeds of each borrowing requested pursuant to this Section in immediately available funds by depositing the same in account number 9871280691 at UMB or such other account at UMB as the Company may direct from time to time.

 

(c) Loan Rebalancing.  Immediately prior to the Effective Date, $0.00 aggregate principal amount of Revolving Credit Loans were outstanding under the Original Credit Agreement, as amended (the “Outstanding Loan Amount”).  In order to continue such Revolving Credit Loans under this Agreement on and after the Effective Date in accordance with the Revolving Credit Commitments of the Banks as set forth in Section 2.2 hereof, (x) effective immediately prior to the Effective Date, the Company shall be deemed to have (i) repaid all Revolving Credit Loans outstanding under the Original Credit Agreement, as amended, pursuant to Section 4.4 of the Original Agreement, as amended, and (ii) terminated all Revolving Credit Commitments of the Banks under the Original Credit Agreement, as amended, pursuant to Section 4.5 of the Original Credit Agreement, as amended, (which commitments shall be replaced by the Revolving Credit Commitments of the Banks hereunder pursuant to Section 2.2 hereof)  and (y) effective as of the Effective Date, the Company shall be deemed to have borrowed Revolving Credit Loans in an aggregate amount equal to the Outstanding Loan Amount from the Banks hereunder in accordance with their respective Revolving Credit Commitments as set forth in Section 2.2 hereof.

 

  

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In order to effectuate (and in full satisfaction of) the foregoing (and without any requirement to comply with any of the notice requirements set forth in the Original Credit Agreement, as amended, or in this Agreement): (x) each Bank that was not a party to the Original Credit Agreement, as amended, and each Bank that has increased its Revolving Credit Commitment under this Agreement as compared to the Original Credit Agreement, as amended, shall make available to the Agent its pro rata share of the Outstanding Loan Amount (less, in the case of a Bank that was party to the Original Credit Agreement, as amended, the portion of the Outstanding Loan Amount owing to such Bank immediately prior to the Effective Date), (y) the Agent shall remit to each Bank that was a party to the Original Credit Agreement, as amended, (but not a party hereto) and each Bank party hereto that has reduced its Revolving Credit Commitment under this Agreement as compared to the Original Credit Agreement, as amended, its proportionate share of the payments referenced in clause (x) above and (z) the Company shall pay to the Agent all accrued interest and fees that accrued under the Original Credit Agreement, as amended, up to but not including the Effective Date and the Agent shall remit to each Bank that was a party to the Original Credit Agreement, as amended, its proportionate share of such amounts.  After giving effect to the foregoing, all outstanding Revolving Credit Loans shall be deemed to have been made hereunder on the Effective Date and shall be considered LIBOR Portions, each with an Interest Period ending on the date that is one (1) month following the Effective Date.

 

2.2. Revolving Credit Commitments.  The respective maximum aggregate principal amounts of the Revolving Credit (which is subject to reduction pursuant to Section 4.5 hereof and subject to change pursuant to Section 11.17) at any one time and the percentage for each portion of the Revolving Credit available at any time which each Bank agrees to make available to the Company (its “Revolving Credit Commitment Percentage” which includes the Swingline Sublimit) are as follows (collectively, the “Revolving Credit Commitments” and individually, a “Revolving Credit Commitment” as the case may be):

 

	
Revolving Credit Commitments

	
UMB Bank, N.A.

	
$35,000,000

	
23.33334%

	
Bank of America, N.A.

	
$33,000,000

	
22.00000%

	
Wells Fargo Bank, N.A.

	
$33,000,000

	
22.00000%

	
Arvest Bank

	
$25,000,000

	
16.66666%

	
U.S. Bank, National Association

	
$24,000,000

	
16.00000%

	
TOTAL COMMITMENTS

	
$150,000,000

	
100.00%

The obligations of the Banks hereunder are several and not joint and no Bank shall under any circumstances be obligated to extend credit under the Revolving Credit in excess of its Revolving Credit Commitment or its applicable Commitment Percentage of credit outstanding under the separate portions of the Revolving Credit.

 

All Loans made by the Banks on the same date are hereinafter referred to as a “Borrowing.”  Each Borrowing on a Revolving Credit Loan shall be in a minimum amount as provided in Section 3.6 hereof and each Borrowing shall be made pro rata by the Banks in accordance with their respective applicable Commitment Percentages.  All Revolving Credit Loans made by each Bank shall be evidenced by a Revolving Credit Note of the Company (individually a “Revolving Credit Note” and collectively the “Revolving Credit Notes” as the

 

  

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case may be) payable to the order of such Bank in the amount of its Revolving Credit Commitment each Revolving Credit Note to be in the form (with appropriate insertions) attached hereto as Exhibit A-1.  Without regard to the face principal amount of each Note, the actual principal amount at any time outstanding and owing by the Company on account thereof during the period ending on the Credit Termination Date shall be the sum of all advances then or theretofore made thereon less all principal payments actually received thereon during such period.

 

2.3. Procedure For Borrowing on Revolving Credit Notes.  The Company shall notify the Agent (which may be written or oral, but which must be given prior to 11:00 a.m. (Kansas City time)) of the date (which may, subject to the immediately preceding parenthetical and Section 3 hereof, be the date on which such notice is given) upon which it requests that any advance be made to it under the Revolving Credit Commitments, and the Agent shall promptly (but in any event not later than 2:00 p.m. Kansas City time) notify each Bank in writing of its receipt of each such notice.  Subject to all of the terms and conditions hereof, each Bank shall make available to the Agent its share of each advance, and the proceeds of each advance, to the extent received by the Agent from the Banks, shall be made available to the Company at the office of the Agent in Kansas City and in funds there current.  Each Loan from each Bank shall initially constitute part of an ABR Portion except to the extent the Company has otherwise timely elected a LIBOR Portion, all as provided in Section 3 hereof.  Unless the Agent shall have been notified by a Bank prior to the date a Loan is to be made by such Bank hereunder that such Bank does not intend to make its pro rata share of such Loan available to the Agent, the Agent may assume that such Bank has made such share available to the Agent on such date and the Agent may in reliance upon such assumption (but shall not be required to) make available to the Company a corresponding amount.  If such corresponding amount is not in fact made available to the Agent by such Bank and the Agent has made such amount available to the Company such Bank shall be deemed to be a Defaulting Bank and  the Agent shall be entitled to receive such amount from such Defaulting Bank forthwith upon its demand (or, if such Defaulting Bank fails to pay such amount forthwith upon such demand, to recover such amount, together with interest thereon at the rate otherwise applicable thereto under Section 3 hereof, from the Company and if not paid by the Company the Agent shall have a priority right to set off such amount against repayment of the Loans which are due the Defaulting Bank), together with interest thereon in respect of each day during the period commencing on the date such amount was made available to the Company and ending on but excluding the date the Agent recovers such amount at the Federal Funds Effective Rate for each day as determined by the Agent (or in the case of a day which is not a Business Day, then for the preceding Business Day).  Nothing in this Section 2.3 shall be deemed to permit any Bank to breach its obligations to make Loans under this Agreement or to limit the Company’s claims against any Bank for such breach.

 

Each request for any advance under the Revolving Credit Commitments will be deemed to be a confirmation that no Event of Default has occurred and is continuing.

 

	
SECTION 3.  

	
Interest.

 

3.1. Elections.  Subject to all of the terms and conditions of this Section 3, portions of the principal indebtedness evidenced by the Notes (all of the indebtedness evidenced by the Notes bearing interest at the same rate for the same period of time being hereinafter referred to as a “Portion”) may, at the election of the Company, bear interest with reference to the ABR (the “ABR Portions”) or with reference to the Adjusted LIBOR Rate (“LIBOR Portions”), and Portions may be converted from time to time from one basis to the other.  All of the indebtedness evidenced by the Notes which is not part of a LIBOR Portion shall constitute a single ABR Portion.  All of the indebtedness evidenced by the Notes which bears interest with reference to a particular Adjusted LIBOR Rate for a particular Interest Period shall constitute a single LIBOR Portion.  The Company promises to pay interest on each Portion at the rates and times specified in this Section 3.  Each Bank holding a Note shall have a ratable interest in each Portion evidenced thereby.

 

  

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3.2. ABR Portions.  Each ABR Portion shall bear interest (which the Company promises to pay at the times herein provided), at the rate per annum equal to the ABR as in effect from time to time plus the Applicable Margin, as determined from time to time under the Pricing Schedule set forth in Exhibit B attached hereto and hereby incorporated by reference, provided that upon the occurrence of an Event of Default hereunder such Portion shall, upon written notice from the Agent, bear interest (which the Company promises to pay at the times hereinafter provided), whether before or after judgment, for the period from the date such Event of Default occurred and during the continuation thereof, at the rate per annum determined by adding two percent (2%) to the interest rate which would otherwise be applicable thereto from time to time.  Interest on the ABR Portions shall be payable in arrears on the last day of each calendar quarter in each year, upon prepayment of any ABR Portion and at maturity of the applicable Notes and default interest shall be due and payable upon demand.

 

3.3. LIBOR Portions.  Each LIBOR Portion shall bear interest (which the Company promises to pay at the times herein provided) for each Interest Period selected therefor at a rate per annum equal to the Adjusted LIBOR Rate for such Interest Period plus the Applicable Margin, as determined from time to time under the Pricing Schedule set forth in Exhibit B attached hereto, provided that upon the occurrence of an Event of Default hereunder such Portion shall, upon written notice from the Agent, bear interest (which the Company promises to pay at the times hereinafter provided) whether before or after judgment, for the period from the date such Event of Default occurred and during the continuation thereof, through the end of the Interest Period then applicable thereto at the rate per annum determined by adding two percent (2%) to the interest rate otherwise applicable thereto, and effective at the end of such Interest Period such LIBOR Portion shall automatically be converted into and added to the applicable ABR Portion and shall thereafter bear interest at the interest rate applicable to the applicable ABR Portion after default.  Interest on each LIBOR Portion shall be due and payable on the last day of each Interest Period applicable thereto and, at maturity of the applicable Notes, and default interest shall be due and payable upon demand.  The Company shall notify the Agent on or before 11:00 a.m. (Kansas City time) on the third Business Day preceding the end of an Interest Period applicable to a LIBOR Portion whether such LIBOR Portion (or any portion thereof) is to continue as a LIBOR Portion, in which event the Company shall notify the Agent of the new Interest Period selected therefor, and in the event the Company shall fail to so notify the Agent, such LIBOR Portion shall automatically be converted into and added to the applicable ABR Portion as of and on the last day of such Interest Period.  The Agent shall promptly notify each Bank of each notice received from the Company pursuant to the foregoing provisions.  Anything contained herein to the contrary notwithstanding, the obligation of the Banks to create, continue or effect by conversion any LIBOR Portion shall be conditioned upon the fact that at such time no Event of Default shall have occurred and be continuing.

 

3.4. Swingline Loans.  Nothwithstanding anything stated herein to the contrary each Swingline Loan shall bear interest at the LIBOR Index Rate plus the Applicable Margin as determined from time to time under the Pricing Schedule set forth in Exhibit B attached hereto provided that upon the occurrence of an Event of Default hereunder such Swingline Loan shall, upon written notice from the Agent, bear interest (which the Company promises to pay at the times hereinafter provided), whether before or after judgment, for the period from the date such Event of Default occurred and during the continuation thereof, at the rate per annum determined by adding two percent (2%) to the interest rate which would otherwise be applicable to ABR Portion Loans from time to time.  If a Swingline Loan is not repaid within five (5) days of the making thereof it shall automatically become a Revolving Credit Loan for all purposes.

 

  

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3.5. Computation.  Interest on the LIBOR Portions and all fees, charges and commissions due hereunder shall be computed on the basis of a year of three hundred sixty (360) days for the actual number of days elapsed.  All other interest on the Notes shall be computed on the basis of a year of 365/366 days for the actual number of days elapsed unless otherwise specifically provided in this Agreement.

 

3.6. Minimum Amounts.  Each ABR Portion evidenced by Revolving Credit Notes shall be in a minimum amount of $1,000,000 or such greater amount which is an integral multiple of $250,000.  Each LIBOR Portion evidenced by Revolving Credit Notes shall be in a minimum amount of $5,000,000 or such greater amount which is an integral multiple of $1,000,000. Each Swingline Loan evidenced by a Swingline Note shall be in a minimum amount of $1,000,000 or such greater amount which is an integral multiple of $250,000.

 

3.7. Manner of Rate Selection.  The Company shall notify the Agent by 11:00 a.m. (Kansas City time) at least three (3) Business Days prior to the date upon which it requests that any LIBOR Portion be created or continued or that any part of an ABR Portion be converted into a LIBOR Portion (such notice to specify in each instance the amount thereof and the Interest Period selected therefor) and the Agent shall promptly advise each Bank of each such notice.  If any request is made to convert a LIBOR Portion into an ABR Portion, such conversion shall only be made so as to become effective as of the last day of the Interest Period applicable thereto.  All requests for the creation, continuance or conversion of Portions under this Agreement shall be irrevocable.  Such requests may be written or oral and the Agent is hereby authorized to honor telephonic requests for creations, continuances and conversions received by it from any person purporting to be a person authorized to act on behalf of the Company hereunder, the Company hereby indemnifying the Agent and the Banks from any liability or loss ensuing from so acting.

 

3.8. Lawful Rate.  All agreements between the Company, the Agent and each of the Banks, whether now existing or hereafter arising and whether written or oral, are expressly limited so that in no event whatsoever, whether by reason of demand or acceleration of the maturity of any of the indebtedness hereunder or otherwise, shall the amount contracted for, charged, received, reserved, paid or agreed to be paid to the Agent or each Bank for the use, forbearance, or detention of the funds advanced hereunder or otherwise, or for the performance or payment of any covenant or obligation contained in any Loan Document, exceed the highest lawful rate permissible under applicable law (the “Highest Lawful Rate”), it being the intent of the Company, the Agent and each of the Banks in the execution hereof and of the Loan Documents to contract in strict accordance with any applicable usury laws, if any.  If, as a result of any circumstances whatsoever, performance by the Company of any provision hereof or of any of such documents, at the time performance of such provision shall be due, shall involve exceeding the limits of applicable usury laws or result in the Agent or any Bank having or being deemed to have contracted for, charged, reserved or received interest (or amounts deemed to be interest) in excess of the maximum, lawful rate or amount of interest allowed by applicable law to be so contracted for, charged, reserved or received by the Agent or such Bank, then the obligation to be performed by the Company shall be reduced to the legal limit of such performance, and if, from any such circumstance, the Agent or such Bank shall ever receive interest or anything of value which might be deemed interest under applicable law which would exceed the Highest Lawful Rate, such amount which would be unlawful interest shall be refunded to the Company or, if permitted by applicable law and such unlawful interest does not exceed the unpaid principal balance of the Notes and the amounts owing on other obligations of the Company to the Agent or any Bank under any Loan Document such unlawful interest may be applied to the reduction of the principal amount owing on the Notes or the amounts owing on other obligations of the Company to the Agent or any Bank under any Loan Document.  All interest paid or agreed to be paid to the Agent or any Bank shall, to the extent permitted by applicable law, be amortized, prorated, allocated, and spread throughout the full period of the indebtedness hereunder until payment in full of the principal of the indebtedness hereunder (including the period of any renewal or extension thereof) so that the interest on account of the indebtedness hereunder for such full period shall not exceed the highest amount permitted by applicable law.  This Section 3.7 shall control all agreements between the Company, the Agent and the Banks.

 

  

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3.9. Pricing Schedule.  The Company shall be responsible to promptly give written notice to the Agent of any change in its Moody’s Rating or its Standard & Poors’ Rating for purposes of the Agent determining the Applicable Margins pursuant to the Pricing Schedule set forth in Exhibit B attached hereto (the “Pricing Schedule”).

 

	
SECTION 4.  

	
Fees, Prepayments, Terminations and Application of Payments.

 

4.1. Facility Fee.  For the period from the Effective Date to and including the Credit Termination Date or such earlier date on which the Revolving Credit is terminated in whole pursuant to Section 4.5 or any other provision hereof, the Company shall pay to the Agent for the account of the Banks, a facility fee (the “Revolving Credit Facility Fee”) at the rate per annum as determined from time to time under the Pricing Schedule set forth in Exhibit B attached hereto, multiplied by the aggregate amount of all of the Revolving Credit Commitments (all calculated in each case after giving effect to any reductions thereof as specified in Section 4.5 hereof and as if no Loans are outstanding hereunder).  Such fees shall be payable in arrears on the last day of each January, April, July and October and on the Credit Termination Date, unless the Revolving Credit is terminated in whole on an earlier date, in which event the fees for the period from the date of the last payment made pursuant to this Section 4.1 through the effective date of such termination in whole shall be paid on the date of such earlier termination in whole.

 

4.2. Upfront Fee.  The Company shall pay to each Bank an upfront fee upon the Effective Date in an amount equal to the allocated Revolving Credit Commitment of such Bank multiplied by 0.175%.

 

4.3. Agent’s Fee.  The Company shall pay to and for the sole account of the Agent such fees as the Company and the Agent may agree upon in writing from time to time.  Such fees shall be in addition to any fees and charges the Agent may be entitled to receive hereunder or under the other Loan Documents.

 

4.4. Prepayments.

 

(a) Optional Prepayments of ABR Portions.  The Company shall have the privilege of prepaying without premium or penalty and in whole or in part (but if in part, then in a minimum principal amount of $1,000,000) the ABR Portion of any Loan at any time upon prior telecopy or telephonic notice from the Company to the Agent on or before 11:00 a.m. (Kansas City time) on the Business Day immediately preceding such prepayment.

 

(b) Optional Prepayments of LIBOR Portions.  The Company may prepay any LIBOR Portion, upon written or telephonic notice (which telephonic notice shall be promptly confirmed in writing by facsimile communication, telex or telegraph) by no later than 11:00 a.m. (Kansas City time) on the third Business Day immediately preceding the date of such prepayment from the Company to the Agent, such prepayment to be made by the payment of the principal amount to be prepaid and accrued interest thereon and any compensation required by Section 9.4 hereof, if applicable; provided, however, that any such prepayment in part shall be in a principal amount of no less than $5,000,000 or such greater amount which is an integral multiple of $1,000,000.

 

  

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(c) Mandatory Prepayments of Excess Borrowings.  If the outstanding principal amount of all Revolving Credit Loans including the Swingline Loans shall ever exceed the aggregate amount of all Revolving Credit Commitments in effect from time to time the Company shall immediately prepay Revolving Credit Loans or Swingline Loans, as the case may be, in such amount as shall be necessary to eliminate such excess.

 

(d) Optional Prepayment of Swingline Loans.  Notwithstanding anything stated herein to the contrary, the Company may prepay any Swingline Loan, without premium or penalty and in whole or in part (but if in part, then in a minimum principal amount of $1,000,000), at any time upon written or telephone notice given to the Agent on the same day of such prepayment.

 

4.5. Credit Reductions.  The Company shall have the right at any time upon ten (10) Business Days’ prior notice to the Agent, which shall promptly give notice to the Banks, to reduce the Revolving Credit in whole or in part (but if in part, in a minimum principal amount of $5,000,000 or such greater amount which is an integral multiple of $5,000,000); provided, however, that the Company may not reduce any portion of the Revolving Credit which represents outstanding Revolving Credit Loans.  Each such reduction in part shall automatically terminate each Bank’s Revolving Credit Commitment by an amount equal to its Revolving Credit Commitment Percentage of the amount of the reduction.

 

4.6. Place and Application of Payments.  All payments by the Company hereunder shall be made to the Agent at its office at 1010 Grand Boulevard, Kansas City, Missouri 64106 and in immediately available funds, prior to 2:00 p.m. (Kansas City time) on the date of such payment.  Subject to Section 11.18 of this Agreement, all such payments shall be made without setoff or counterclaim and without reduction for, and free from, any and all present and future levies, imposts, duties, fees, charges, deductions withholdings, restrictions or conditions of any nature imposed by any government or any political subdivision or taxing authority thereof.  Any payments received after 2:00 p.m. (Kansas City time) shall be deemed received upon the following Business Day.  The Agent shall remit to each Bank its proportionate share of each payment of principal, interest and fees, owed to it, received by the Agent by 2:00 p.m. (Kansas City time) on the same day of its receipt and its proportionate share of each such payment received by the Agent after 2:00 p.m. (Kansas City time) on the Business Day following its receipt by the Agent.  In the event the Agent does not remit any amount to any Bank when required by the preceding sentence, the Agent shall pay to such Bank interest on such amount until paid at a rate per annum equal to the Federal Funds Effective Rate. Should the Company be late in making any required payment hereunder, the Company hereby authorizes the Agent to automatically debit any of its accounts with UMB for any principal, interest and fees when due under the Notes or this Agreement and to transfer the amount so debited from such account to the Agent for application as herein provided.  The Agent shall notify the Company by telephonic notice confirmed in writing of any such debit.

 

4.7. Capital Adequacy.  If, after the Effective Date, any Bank, the Swingline Lender or the Agent shall have determined in good faith that any Change in Law regarding capital adequacy, has or would have the effect of reducing the rate of return on such Bank’s or Swingline Lender’s capital, or on the capital of any corporation controlling such Bank or the Swingline Lender, in each case as a consequence of its obligations hereunder, to a level below that which such Bank or the Swingline Lender would have achieved but for such adoption, change or compliance (taking into consideration such Bank’s or the Swingline Lender’s policies with respect to capital adequacy) by an amount deemed by such Bank or the Swingline Lender to be material, then from time to time, within thirty (30) days after demand by such Bank or the Swingline Lender (with a copy to the Agent), the Company shall pay to such Bank or the Swingline Lender such additional amount or amounts as will compensate such Bank or the Swingline Lender for such reduction.

 

  

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SECTION 5.  

	
Conditions Precedent.

 

The obligation of the Banks to make any Loan pursuant hereto shall be subject to the following conditions precedent set forth in Section 5.1 and 5.2 below:

 

5.1. Initial Extension of Credit.  On or before the Effective Date:

 

(a) the Company shall have delivered to the Agent for the benefit of the Banks in sufficient counterparts for distribution to the Banks duly executed originals of the following:

 

(i) the Revolving Credit Notes and the Swingline Note;

 

(ii) good standing certificates for the Company and each Subsidiary issued by its state of organization, issued not more than thirty (30) days before the date of this Agreement;

 

(iii) copies of the Articles or Certificate of Incorporation, and all amendments thereto, of the Company and each Subsidiary, certified by the Secretary of State of its state of incorporation to the extent any of such documents have not previously been provided to the Agent;

 

(iv) copies of the By-Laws, and all amendments thereto, of the Company and each Subsidiary, certified as true, correct and complete on the Effective Date, by the Secretary or Assistant Secretary of the Company or such Subsidiary, as the case may be to the extent any of such documents have not previously been provided to the Agent;

 

(v) copies, certified as true, correct and complete by the Secretary or Assistant Secretary of the Company of resolutions regarding the transactions contemplated by this Agreement, duly adopted by the Board of Directors of the Company and reasonably satisfactory in form and substance to the Agent; and

 

(vi) an incumbency and signature certificate for the Company satisfactory in form and substance to the Agent;

 

(b) Prior to the initial Loan hereunder, the Agent shall have received the favorable written opinion of Anderson & Byrd, LLP, Kansas counsel to the Company, substantially in the form of Exhibit D-1 attached hereto and the favorable written opinion of Spencer, Scott & Dwyer, P.C., Missouri counsel to the Company, substantially in the form of Exhibit D-2 attached hereto;

 

(c) The Agent, the Syndication Agent, the Documentation Agent and each of the other Banks shall have received all fees due and payable to each of them, specifically including without limitation the Upfront Fees, on the Effective Date in connection with the execution and delivery of this Agreement and the transactions contemplated hereby; and

 

(d) All of the conditions set forth in clause (a)(iii) and (iv) above are deemed to have been satisfied on the Effective Date.

 

5.2. Each Extension of Credit Under a Revolving Credit Note or a Swingline Note.  As of the time of the making of each Revolving Credit Loan and each Swingline Loan hereunder (including the initial Loan):

 

  

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(a) no Event of Default shall have occurred and be continuing;

 

(b) with respect to any requested Revolving Credit Loan or Swingline Loan, after giving effect thereto the aggregate principal amount of all outstanding Revolving Credit Loans  and Swingline Loans shall not exceed the aggregate Revolving Credit Commitments; and

 

(c) the request by the Company for any Revolving Credit Loan or Swingline Loan pursuant hereto shall be and constitute a warranty to the effect set forth in (a) and (b), above and that the Compliance Certificate most recently delivered to the Banks is materially correct.

 

	
SECTION 6.  

	
Representations and Warranties.

 

As of the Effective Date, and upon delivery of each Quarterly Compliance Certificate, the Company represents and warrants to the Agent and the Banks as to itself and, where the following representations and warranties apply to Subsidiaries, as to each of its Subsidiaries, as follows:

 

6.1. Organization and Qualification.  The Company is a corporation duly organized and existing and in good standing under the laws of the State of Kansas, has full and adequate corporate power to carry on its business as now conducted, and is duly licensed or qualified in all jurisdictions wherein the nature of its activities requires such licensing or qualification and in which the failure to be so licensed or qualified would have a Material Adverse Effect.

 

6.2. Subsidiaries.  Each Subsidiary is duly organized and existing under the laws of the jurisdiction of its organization, has full and adequate corporate power to carry on its business as now conducted and is duly licensed or qualified in all jurisdictions wherein the nature of its business requires such licensing or qualification and the failure to be so licensed or qualified would have a Material Adverse Effect.  The only Subsidiaries of the Company as of the Closing Date are listed on Exhibit C hereto.

 

6.3. Financial Reports.  The Company has heretofore delivered to the Banks a copy of the Audit Report as of December 31, 2010 of the Company and its Subsidiaries (the “Audit Report”).  The financial statements contained in such Audit Report have been prepared in accordance with GAAP on a basis consistent, except as otherwise noted therein, with that of the previous fiscal year and fairly present, in all material respects, the financial position of the Company and its Subsidiaries as of the date thereof, and the results of its operations for the period covered thereby.  As of December 31, 2010, the Company and its Subsidiaries had no material contingent liabilities other than as indicated on said financial statements (including the notes thereto).

 

6.4. No Material Adverse Change.  Since December 31, 2010, there has been no material adverse change in the business, operations or financial condition of the Company and its Subsidiaries taken as a whole that has not been disclosed in writing to the Banks.

 

6.5. Litigation; Tax Returns; Approvals.  There is no litigation nor governmental proceeding pending, nor to the knowledge of the Company threatened, against the Company or any Subsidiary which could reasonably be expected to result in a Material Adverse Effect.  All federal and state income tax returns and all other material tax returns for the Company required to be filed have been filed on a timely basis and all amounts required to be paid as shown by said returns have been paid, except such amounts, if any, as are being contested in good faith and by appropriate proceedings.  There are no pending or, to the best of the Company’s knowledge, threatened objections to or controversies in respect of the income tax returns of the Company for

 

  

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any fiscal year which could reasonably be expected to have a Material Adverse Effect.  Except as have already been obtained, no authorization, consent, license, exemption or filing or registration with any court or governmental department, agency or instrumentality, is necessary for the valid execution, delivery or performance by the Company of the Loan Documents.

 

6.6. Regulation U.  Neither the Company nor any Subsidiary is engaged in the business of extending credit for the purpose of purchasing or carrying margin stock (within the meaning of Regulation U of the Board of Governors of the Federal Reserve System) and no part of the proceeds of any Loan made hereunder will be used to purchase or carry any margin stock or to extend credit to others for such a purpose.

 

6.7. No Default.  As of the Effective Date, the Company is materially in compliance with all of the terms and conditions of this Agreement, and no Event of Default exists under this Agreement.

 

6.8. ERISA.  With respect to each of the Plans, the Company and its Subsidiaries are in compliance with ERISA to the extent applicable to them, other than such noncompliance that would not reasonably be expected to result in a Material Adverse Effect and have received no notice to the contrary from the PBGC or any other governmental entity agency.

 

6.9. Full Disclosure.  The written statements and information furnished to the Agent and the Banks in connection with the negotiation of this Agreement and the other Loan Documents and the commitments by the Banks to provide the financing contemplated hereby do not contain any untrue statements of a material fact or omit a material fact necessary to make the material statements contained herein or therein not misleading, the Agent and the Banks acknowledging that as to any projections furnished to the Agent and the Banks, the Company only represents that the same were prepared on the basis of information and estimates the Company believed to be reasonable.

 

6.10. Corporate Authority and Validity of Obligations.  The Company has full corporate power and authority to enter into this Agreement and the other Loan Documents, to make the Borrowings herein provided for, to issue its Notes in evidence thereof, and to perform all of its obligations hereunder and under the other Loan Documents.  The Loan Documents delivered by the Company have been duly authorized, executed and delivered by the Company and constitute valid and binding obligations of the Company enforceable in accordance with their terms except as enforceability may be limited by bankruptcy, insolvency, or similar laws affecting creditors’ rights generally and general principles of equity.  This Agreement and the other Loan Documents do not, nor does the performance or observance by the Company of any of the matters and things herein or therein provided for, (a) contravene or constitute a default under (i) any provision of law or any judgment, injunction, order or decree binding upon the Company or any provision of the charter, articles of incorporation or by-laws of the Company or (ii) any material covenant, indenture or agreement of or affecting the Company or any of its Properties, except in the case of this clause (ii) for any such contravention or default which could not be reasonably expected to result in a Material Adverse Effect or (b) result in the creation or imposition of any lien, security interest or other encumbrance on any Property of the Company.

 

6.11. No Default Under Other Agreements.  Neither the Company nor any Subsidiary is in default with respect to any note, indenture, loan agreement, mortgage, lease, deed or other agreement to which it is a party or by which it or its Property is bound, which default might adversely affect the repayment of the Indebtedness, obligations and liabilities under the Loan Documents, or any Bank’s or the Agent’s rights under the Loan Documents or which could reasonably be expected to have a Material Adverse Effect.

 

  

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6.12. Status Under Certain Laws.  Neither the Company nor any of its Subsidiaries is an “investment company” or a person directly or indirectly controlled by or acting on behalf of an “investment company” within the meaning of the Investment Company Act of 1940, as amended.

 

6.13. Compliance with Laws.  The Company and its Subsidiaries each are in compliance with the requirements of all federal, state and local laws, rules and regulations applicable to or pertaining to their Properties or business operations, including, without limitation, the Occupational Safety and Health Act of 1970, the Americans with Disabilities Act of 1990, and Environmental Laws, non-compliance with which could reasonably be expected to have a Material Adverse Effect.  Neither the Company nor any Subsidiary has received notice to the effect that its operations are not in compliance with any of the requirements of applicable federal, state or local Environmental Laws, health and safety statutes and regulations or are the subject of any governmental investigation evaluating whether any remedial action is needed to respond to a release of any toxic or hazardous waste or substance into the environment, which non-compliance or remedial action could reasonably be expected to have a Material Adverse Effect.

 

6.14. Ownership of Property.  The Company and each of its Subsidiaries has good record and marketable title in fee simple to, or valid leasehold interests in, all real property necessary or used in the ordinary conduct of their respective businesses except for such defects in title or interests as could not, individually or in the aggregate, have a Material Adverse Effect.

 

6.15. Solvency.  The Company and each of its Subsidiaries existing as of the date of this Agreement:  (a) own, on a consolidated basis, assets, the fair saleable value of which are (i) greater than the total amount of their liabilities (including contingent liabilities) and (ii) greater than the amount that will be required to pay their liabilities when they become due; (b) have, on a consolidated basis, capital that is not unreasonably small in relation to their respective business as presently conducted or after giving effect to any contemplated transaction; and (c) do not intend to incur and do not believe that they will incur debts beyond their ability to pay such debts as they become due.

 

6.16. Pari Passu.  All Loans of the Company incurred under or pursuant to this Agreement shall rank pari passu with all other senior unsecured Indebtedness of the Company.

 

	
SECTION 7.  

	
Covenants.

 

It is understood and agreed that so long as any of the Revolving Credit is in use or available under this Agreement or any amount remains unpaid on any Note except to the extent compliance in any case or cases is waived in writing by the Required Banks, the Company will be in compliance with all of the following:

 

7.1. Maintenance of Property.  The Company will, and will cause each Subsidiary to, keep and maintain all of its Properties necessary or useful in its business in good condition, and make all necessary renewals, replacements, additions and improvements thereto, except where the failure to do so could not reasonably be expected to have a Material Adverse Effect.

 

7.2. Taxes.  The Company will, and will cause each Subsidiary to, duly pay and discharge all material taxes, rates, assessments, fees and governmental charges upon or against the Company or any Subsidiary or against its Properties in each case before the same becomes delinquent and before penalties accrue thereon unless and to the extent that the same is being contested in good faith and by appropriate proceedings.

 

  

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7.3. Maintenance of Insurance.  The Company will, and will cause each Subsidiary to, maintain insurance with insurers recognized as financially sound and reputable by prudent business persons in such forms and amounts and against such risks as is usually carried by companies engaged in similar business and owning similar Properties in the same general areas in which the Company or such Subsidiary operates.  The Company shall provide the Agent with copies of all insurance policies maintained by it upon the Agent’s request.

 

7.4. Financial Reports.  The Company will, and will cause each Subsidiary to, maintain a system of accounting in accordance with sound accounting practice and will furnish promptly, and in any event within thirty (30) days after the receipt of a request, to each of the Banks and their duly authorized representatives such information respecting the business and financial condition of the Company and its Subsidiaries as may be reasonably requested by the Agent or any Bank and, without any request, will furnish to each Bank:

 

(a) as soon as available, and in any event within forty-five (45) days after the close of each fiscal quarter other than the fourth fiscal quarter of the Company commencing with the fiscal quarter ending March 31, 2012, a copy of the unaudited consolidated balance sheets, income statements and cash flow statements for the Company and its Subsidiaries for such quarterly period and the fiscal year to date and for the corresponding periods of the preceding fiscal year, all in reasonable detail, prepared by the Company (it being understood that delivery to the Agent of the Company’s quarterly report on Form 10-Q filed with the Securities and Exchange Commission shall meet the requirements of this Section 7.4(a)) and certified by the chief financial officer of the Company;

 

(b) as soon as available, and in any event within ninety (90) days after the close of each fiscal year of the Company, a copy of the audit report (including an unqualified opinion of the Company’s auditors) for such year and accompanying financial statements, including consolidated balance sheets, statements of stockholder equity, statements of income and statements of cash flow for the Company and its Subsidiaries showing in comparative form the figures for the previous fiscal year of the Company and its Subsidiaries, all in reasonable detail, prepared and certified by PricewaterhouseCoopers LLP or other independent certified public accountants of nationally recognized standing selected by the Company and reasonably satisfactory to the Required Banks (it being understood that delivery to the Agent of the Company’s annual report on Form 10-K filed with the Securities and Exchange Commission shall meet the requirements of this Section 7.4(b)); and

 

(c) no later than forty-five (45) days after the close of each of the first three fiscal quarters of each fiscal year, commencing with the fiscal quarter ending March 31, 2012, and for the fourth fiscal quarter, no later than ninety (90) days after the close of each fiscal year, a Compliance Certificate in the form of Exhibit E attached hereto (the “Quarterly Compliance Certificate”) prepared and signed by the chief financial officer of the Company.

 

If any of the information referred to in this Section 7.4 is sent to the Agent, but for any reason any Bank does not also receive it, the Agent will provide it to such Bank promptly upon request.

 

7.5. Inspection.  Upon reasonable notice and during normal business hours, the Company shall, and shall cause each Subsidiary to, permit each of the Banks, by their representatives and agents, to inspect any of the Properties, corporate books and financial records of the Company and each Subsidiary, to examine and make copies of the books of account and other financial records of the Company and each Subsidiary and to discuss the affairs, finances and accounts of the Company and each Subsidiary with, and to be advised as to the same by, its officers and employees at such times and intervals as each Bank may reasonably request.  The Company shall reimburse the Agent for any reasonable costs and expenses incurred by it in connection with any such inspections.

 

  

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7.6. Consolidation, Merger and Sale of Assets.  The Company will not, and will not permit any Subsidiary with assets valued at greater than Fifteen Million Dollars ($15,000,000) to, consolidate with or merge into any Person, or permit any other Person to merge into it or sell or otherwise dispose of all or substantially all of their respective Property, except that any Subsidiary may merge with and into any other Subsidiary and except that any Person engaged in a regulated business may be merged into the Company or any Subsidiary.  The Company shall give written notice to the Banks of any such merger contemporaneously with its consummation.

 

7.7. Liens.  The Company will not and will not permit any Subsidiary with assets valued at greater than Twenty-Five Million Dollars ($25,000,000) to pledge, mortgage or otherwise encumber or subject to or permit to exist upon or be subjected to any lien, charge or security interest of any kind (including any conditional sale or other title retention agreement and any lease in the nature thereof), on any of its Properties of any kind or character at any time owned by the Company or any Subsidiary (collectively “Liens”), other than:

 

(a) Liens, pledges or deposits for workers’ compensation, unemployment insurance, old age benefits or social security obligations, taxes, assessments, statutory obligations or other similar charges, good faith deposits made in connection with tenders, contracts or leases to which the Company or a Subsidiary is a party or other deposits required to be made in the ordinary course of business, provided in each case the obligation secured is not overdue or, if overdue, is being contested in good faith by appropriate proceedings and adequate reserves have been provided therefor in accordance with GAAP and that the obligation is not for borrowed money, customer advances, trade payables, or obligations to agricultural producers;

 

(b) Liens securing an appeal or stay or discharge in the course of any legal proceedings, provided that the aggregate amount of liabilities of the Company or a Subsidiary so secured by a pledge of Property permitted under this subsection (b) including interest and penalties thereon, if any, shall not be in excess of $10,000,000 at any one time outstanding;

 

(c) Liens not otherwise permitted hereunder in an amount not in excess of $25,000,000 at any time the same is to be determined;

 

(d) Liens (and any replacements thereof without increase) existing on the date hereof and disclosed in Exhibit F hereto;

 

(e) Liens securing Indebtedness incurred to finance, or which represents, the purchase price of Property, provided (i) such Liens attach only to the Property financed with such Indebtedness and (ii) the amount of such secured Indebtedness does not exceed the purchase price of such Property plus any reasonable related fees and costs;

 

(f) the filing of financing statements solely as a precautionary measure in connection with operating leases or other Liens permitted under this Agreement;

 

(g) Liens with respect to judgments which do not constitute Events of Default pursuant to this Agreement;

 

  

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(h) any interest of a lessor in any Property subject to any lease entered into by the Company or a Subsidiary in an amount not in excess of $7,500,000 at any time the same is to be determined;

 

(i) Liens securing Indebtedness under that certain Indenture of Mortgage and Deed of Trust, dated as of September 1, 1944, as and to be amended and supplemented, among the Company, The Bank of New York Mellon Trust Company, N.A. and UMB Bank & Trust, N.A. (the “Mortgage”);

 

(j) any Lien on Property of any Person existing at the time such Person is merged or consolidated with or into the Company or a Subsidiary and not created in contemplation of such event;

 

(k) any Lien existing on any Property prior to the acquisition thereof by the Company or a Subsidiary and not created in contemplation of such acquisition;

 

(l) Liens incurred in connection with or related to the construction or purchase of utility Property;

 

(m) the replacement, extension or renewal of any Lien permitted by clauses (e), (j) or (k) above upon or in the same Property theretofore subject thereto or the replacement, extension or renewal (without increase in the amount or change in any direct or contingent obligor) of the Indebtedness secured thereby;

 

(n) Liens securing the claims or demands of materialmen, mechanics, carriers, warehousemen, landlords and other like persons for labor, materials, supplies or rentals incurred in the ordinary course of the Company’s or a Subsidiary’s business, but only if the payment thereof is not at the time past due or is being contested in good faith and by appropriate proceedings with adequate reserves maintained in accordance with GAAP; and

 

(o) reservations, exceptions, easements, rights of way, and other similar encumbrances affecting real property, provided that they do not individually or in the aggregate detract from the marketability of said properties or materially interfere with their use in the ordinary course of the Company’s or a Subsidiary’s business as permitted under the Mortgage.

 

7.8. Notice of Suit or Material Adverse Change in Business or Default.  The Company shall, as soon as possible, and in any event within fifteen (15) days after it learns of the following, give written notice to the Banks of (a) any proceeding(s) being instituted or threatened to be instituted by or against the Company or any Subsidiary in any federal, state or local court or before any commission or other regulatory body (federal, state or local) which could reasonably be expected to have a Material Adverse Effect and (b) the occurrence of any Event of Default.  Failure of the Company to give any notice required by this Section 7.8 shall have no effect upon the right of the Agent to declare any Event of Default which may occur or exist at any time.

 

7.9. ERISA.  The Company will, and will cause each Subsidiary to, promptly pay and discharge all obligations and liabilities arising under ERISA of a character which if unpaid or unperformed is likely to result in the imposition of a Lien against any of its Property, and will promptly notify the Agent of (a) the occurrence of any reportable event (as defined in ERISA) for which the notice requirement has not been waived by the PBGC and which is reasonably likely to result in the termination by the PBGC of any Plan, (b) receipt of any notice from PBGC of its intention to seek termination of any such Plan or appointment of a trustee therefor, and (c) its intention to terminate or withdraw from any Plan, other than a “standard termination” meeting the requirements of Section 4041(b) of ERISA.  The Company will not, and will not permit any Subsidiary to, terminate any such Plan or withdraw therefrom unless it shall be in compliance with all of the terms and conditions of this Agreement after giving effect to any liability to PBGC resulting from such termination or withdrawal.

 

  

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7.10. Use of Proceeds.  The Company shall use the proceeds of the Revolving Credit Loans hereunder for working capital, general corporate purposes and to back up the Company’s use of commercial paper.

 

7.11. Compliance with Laws.  The Company will, and will cause each of its Subsidiaries to, comply in all material respects with all applicable laws, rules, regulations and orders, including Environmental Laws, except where the failure to do so could not reasonably be expected to have a Material Adverse Effect.

 

7.12. Fiscal Year.  The Company shall not change its fiscal year.

 

7.13. Maintenance of Existence.  The Company shall maintain its corporate existence except for mergers permitted by Section 7.6 hereof.

 

7.14. Maximum Total Indebtedness to Total Capitalization Ratio.  The Company will maintain as of the last day of each fiscal quarter of the Company a ratio of Total Indebtedness to Total Capitalization of not more than 0.625 to 1.  For purposes of this Section 7.14, “Total Indebtedness” shall mean all Indebtedness of the Company and its Subsidiaries on a consolidated basis but shall exclude all accounts payable and expenses incurred in the ordinary course of the Company’s and its respective Subsidiaries’ businesses and “Total Capitalization” shall mean the sum of Total Indebtedness and stockholders’ equity, preferred and preference stock and other securities included on the consolidated balance sheet of the Company and its Subsidiaries.

 

7.15. Minimum Interest Coverage Ratio.  The Company will maintain an Interest Coverage Ratio of not less than 2.0 to 1 as of the last day of each fiscal quarter of the Company.

 

7.16. Acquisitions.  During the term of this Agreement, the Company will not, and will not permit any Subsidiary to, (x) acquire any assets or equity interests of any other Person or Persons engaged predominantly in an unregulated business activity unless the aggregate consideration to be paid by the Company and its Subsidiaries in connection with any such acquisition or acquisitions is, in the aggregate, less than Eighty Million Dollars ($80,000,000) or (y) acquire all or part of a regulated business; provided that in the case of this clause (y) any such acquisition shall be permitted with the consent of the Required Banks (not to be unreasonably withheld) if the Company is in compliance with all financial covenants of this Agreement at the time of such proposed acquisition and will be in compliance with such financial covenants following consummation of such acquisition as evidenced by projected financial information covering a minimum of an 18 month period after the acquisition.  Such projections will be delivered to the Banks within a reasonable time prior to entering into any written commitments for such acquisition.

 

7.17. Patriot Act.  The Agent hereby notifies the Company that pursuant to the requirements of the USA Patriot Act (Title III of Pub. L. 107-56, signed into law October 26, 2001) (the “Act”), and the Agent’s policies and practices, the Agent is required to obtain, verify and record certain information and documentation that identifies the Company, which information includes the name and address of the Company and such other information that will allow the Agent to identify the Company in accordance with the Act.

 

  

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The Company shall (a) ensure, and cause each Subsidiary to ensure, that no Person who owns a controlling interest in or otherwise controls the Company or any Subsidiary is or shall be listed on the Specially Designated Nationals and Blocked Person List or other similar lists maintained by the Office of Foreign Assets Control (“OFAC”), the Department of the Treasury or included in any Executive Orders, (b) not use or permit the use of the proceeds of the Loans to violate any of the foreign asset control regulations of OFAC or any enabling statute or Executive Order relating thereto, and (c) comply, and cause each Subsidiary to comply, with all applicable Bank Secrecy Act laws and regulations, as amended.

 

	
SECTION 8.  

	
Events of Default and Remedies.

 

8.1. Events of Default.  Any one or more of the following shall constitute an Event of Default:

 

(a) (i) Default in the payment when due of any principal of any Note whether at the stated maturity thereof or at any other time provided in this Agreement, or (ii) default in the payment when due of any interest on any Note or any fee or other amount payable pursuant to this Agreement which default shall continue unremedied for one (1) Business Day.

 

(b) Default in the observance or performance of any covenant set forth in Sections 7.3, 7.5, 7.6, 7.7, 7.10, 7.13, 7.14 and 7.15 hereof;

 

(c) Default in the observance or performance of the covenants set forth in Section 7.4 and such default shall continue for ten (10) days after the earlier of (i) the date on which such default first became known to a responsible officer of the Company or (ii) written notice thereof to the Company by the Agent;

 

(d) Default in the observance or performance of any other covenant, condition, agreement or provision hereof or any of the other Loan Documents and such default shall continue for thirty (30) days after the earlier of (i) the date on which such default first became known to a responsible officer of the Company or (ii) written notice thereof to the Company by the Agent;

 

(e) Default shall occur under any evidence of Indebtedness in a principal amount exceeding $10,000,000 issued, assumed or guaranteed by the Company or any Subsidiary, or under any mortgage, agreement or other similar instrument under which the same may be issued or secured and such default shall continue for a period of time sufficient to permit the acceleration of maturity of any Indebtedness evidenced thereby or outstanding or secured thereunder;

 

(f) Any representation or warranty made by the Company herein or in any Loan Document or in any statement or certificate furnished by it pursuant hereto or thereto, proves untrue in any material respect as of the date made or deemed made pursuant to the terms hereof;

 

(g) Any judgment or judgments, writ or writs, or warrant or warrants of attachment, or any similar process or processes in an aggregate amount in excess of $10,000,000 which is not covered by insurance issued by an insurer that has acknowledged its liability thereon shall be entered or filed against the Company, or any Subsidiary or against any of their respective Property or assets and remain unpaid, unbonded, unstayed and undischarged for a period of sixty (60) days from the date of its entry;

 

  

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(h) (i) Any reportable event (as defined in Section 4043 of ERISA and for which the notice requirement has not been waived pursuant to any applicable regulations promulgated thereunder) which results in the PBGC instituting proceedings to terminate any Plan of the Company or (ii) the appointment by the appropriate United States District Court of a trustee to administer or liquidate any such Plan shall have been made pursuant to Title IV of ERISA and continues for thirty (30) days after written notice to such effect shall have been given to the Company by the Agent or (iii) any such Plan shall be terminated other than in a “standard termination” meeting the requirements of Section 4041(b) of ERISA;

 

(i) The Company shall (i) have entered involuntarily against it an order for relief under the Bankruptcy Code of 1978, as amended, (ii) admit in writing its inability to pay or not pay, its debts generally as they become due (iii) make an assignment for the benefit of creditors, (iv) apply for, seek, consent to, or acquiesce in, the appointment of a receiver, custodian, trustee, conservator, liquidator or similar official for it or any substantial part of its Property or, (v) file a petition seeking relief or institute any proceeding seeking to have entered against it an order for relief under the Bankruptcy Code of 1978, as amended, to adjudicate it insolvent, or seeking dissolution, winding up, liquidation, reorganization, arrangement, marshalling of assets, adjustment or composition of its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors;

 

(j) (i)  A custodian, receiver, trustee, conservator, liquidator or similar official shall be appointed for the Company or any substantial part of its Property, (ii) a final order of condemnation shall be entered in a court of appropriate jurisdiction against any substantial amount of the Company’s Property, the loss of the use of which would have a Materially Adverse Effect, or (iii) a proceeding described in Section 8.1(i)(iv) shall be instituted against the Company and such appointment continues undischarged or any such proceeding continues undismissed or unstayed for a period of sixty (60) days;

 

(k) A Change of Control shall occur;

 

(l) The revocation or other loss after all available appeals have been taken or administrative proceedings have been completed of any permit or other governmental authority the revocation or loss of which would have a Materially Adverse Effect; or

 

(m) Any material provision of any Loan Document, at any time after its execution and delivery and for any reason other than as expressly permitted hereunder or thereunder or satisfaction in full of all the obligations under the Loan Documents, ceases to be in full force and effect; the Company contests in any manner the validity or enforceability of any material provision of any Loan Document; or the Company denies that it has any or further liability or obligation under any Loan Document, or purports to revoke, terminate or rescind any Loan Document.

 

8.2. Remedies for Non-Bankruptcy Defaults.  When any Event of Default, other than an Event of Default described in subsections (i) and (j) of Section 8.1 hereof, has occurred and is continuing, the Agent, if directed by the Required Banks, shall give notice to the Company and take any or all of the following actions:  (a) terminate the remaining Commitments hereunder on the date (which may be the date thereof) stated in such notice, (b) declare the principal of and the accrued interest on the Notes to be forthwith due and payable and thereupon the Notes including both principal and interest, shall be and become immediately due and payable without further demand, presentment, protest or notice of any kind, and (c) take any action or exercise any remedy under any of the Loan Documents or exercise any other action, right, power or remedy permitted by law.  Any Bank may, without prior notice to the Company, exercise the right of set off with regard to any deposit accounts or other accounts or investments maintained by the Company with such Bank upon the occurrence and continuation of an Event of Default if notice of such Event of Default has been given by the Agent to the Company upon the direction of the Required Banks.

 

  

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8.3. Remedies for Bankruptcy Defaults.  When any Event of Default described in subsections (h) or (i) of Section 8.1 hereof has occurred and is continuing, then the Notes shall immediately become due and payable without presentment, demand, protest or notice of any kind, and the obligation of the Banks to extend further credit shall immediately terminate.

 

	
SECTION 9.  

	
Change in Circumstances Regarding LIBOR Portions.

 

9.1. Change of Law.  Notwithstanding any other provisions of this Agreement or any Note to the contrary, if with respect to LIBOR Portions, any Bank shall determine in good faith that any change in applicable law or regulation or in the interpretation thereof at any time after the Effective Date makes it unlawful for such Bank to create or continue to maintain any LIBOR Portion or to give effect to its obligations to create, continue or convert LIBOR Portions as contemplated hereby, such Bank shall promptly give notice thereof to the Company and to the Agent to such effect, and such Bank’s obligation to create, continue or convert any such affected LIBOR Portions under this Agreement shall terminate until it is no longer unlawful for such Bank to create or maintain such affected Portion.  The Company shall prepay the outstanding principal amount of any such affected LIBOR Portion made to it, together with all interest accrued thereon and all other amounts due and payable to such Bank under Section 9.4 of this Agreement, on the earlier of the last day of the Interest Period applicable thereto and the first day on which it is illegal for such Bank to have such LIBOR Portion outstanding; provided, however, the Company may convert the affected LIBOR Portions into an ABR Portion, subject to all of the terms and conditions of this Agreement.

 

9.2. Unavailability of Deposits or Inability to Ascertain the Adjusted LIBOR Rate.  Notwithstanding any other provision of this Agreement or any Note to the contrary, if prior to the commencement of any Interest Period any Bank shall determine (a) that deposits in the amount of any LIBOR Portion scheduled to be outstanding are not available to them in the relevant market or (b) by reason of circumstances affecting the relevant market, adequate and reasonable means do not exist for ascertaining the Adjusted LIBOR Rate, then such Banks shall give telephonic or telex notice thereof to the Company, the Agent and the other Banks (such notice to be confirmed in writing), and the obligation of the Banks to create, continue or convert any such LIBOR Portion in such amount and for such Interest Period shall terminate until deposits in such amount and for the Interest Period selected by the Company shall again be readily available in the relevant market and adequate and reasonable means exist for ascertaining the Adjusted LIBOR Rate.  Upon the giving of such notice, the Company shall elect to either (i) pay or prepay, as the case may be, such affected Portion or (ii) convert the affected LIBOR Portion into an ABR Portion, subject to all terms and conditions of this Agreement.

 

9.3. Taxes and Increased Costs.  (a)  With respect to the LIBOR Portions, if any Bank shall determine in good faith that any Change in Law shall:

 

(i) impose, modify or deem applicable any reserve, special deposit or similar requirements against assets held by, or deposits in or for the account of, or loans by, or any other acquisition of funds or disbursements by, such Bank or the Swingline Lender (other than reserves included in the determination of the Adjusted LIBOR Rate);

 

  

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(ii) subject such Bank or the Swingline Lender, any LIBOR Portion or any Note to any tax (including, without limitation, any United States interest equalization tax or similar tax however named applicable to the acquisition or holding of debt obligations and any interest or penalties with respect thereto), duty, charge, stamp tax, fee, deduction or withholding in respect of this Agreement, any LIBOR Portion or any Note except such taxes (x) as may be measured by the overall net income of such Bank or the Swingline Lender and imposed by the jurisdiction, or any political subdivision or taxing authority thereof, in which such Bank’s or the Swingline Lender principal executive office is located, and (y) any U.S. Taxes (as defined in Section 11.18(c) hereof) that are deductible or otherwise directly payable by the Company, which shall be governed exclusively by Section 11.18 hereof;

 

(iii) change the basis of taxation of payments of principal and interest due from the Company to such Bank or the Swingline Lender hereunder or under any Note (other than by a change in taxation of the overall net income of such Bank or the Swingline Lender); or

 

(iv) impose on such Bank or the Swingline Lender any penalty with respect to the foregoing or any other condition regarding this Agreement, any LIBOR Portion or any Note;

 

(v) and such Bank or the Swingline Lender shall determine that the result of any of the foregoing is to increase the cost (whether by incurring a cost or adding to a cost) to such Bank or the Swingline Lender of making or maintaining any LIBOR Portion hereunder or to reduce the amount of principal or interest received by such Bank or the Swingline Lender, in either case by an amount determined by such Bank or the Swingline Lender to be material, then the Company shall pay to such Bank or the Swingline Lender from time to time as specified by such Bank or the Swingline Lender such additional amounts as such Bank or the Swingline Lender shall reasonably determine are sufficient to compensate and indemnify it for such increased cost or reduced amount.  If any Bank or the Swingline Lender makes such a claim for compensation, it shall provide to the Company a certificate setting forth such increased cost or reduced amount as a result of any event mentioned herein specifying such Change in Law, and such certificate shall be conclusive and binding on the Company as to the amount thereof, absent manifest error.

 

(b) In the event any Bank requires payment under Section 4.7 or 11.18 hereof, delivers a certificate pursuant to subsection (a) above or gives notice under Section 9.1 that it will not fund or maintain LIBOR Portions, the Company may require, at its expense, such Bank to assign (in accordance with Section 11.17 hereof) all its interests, rights and obligations hereunder (including all of its Commitment and the Loans at the time owing to it, and the Notes held by it), to one or more financial institutions specified by the Company (each a “Substitute Bank”), provided that (i) such assignment shall not conflict with or violate any law, rule or regulation or order of any court or other governmental agency or instrumentality, (ii) the Agent shall assist the Company in finding a Substitute Bank that is reasonably acceptable to the Company and the Agent and (iii) the Company shall have paid to the assigning Bank all monies then due to it under the Loan Documents (including pursuant to this Section 9.3 and Sections 4.7 and 11.18) with the Substitute Bank purchasing all accrued but not yet due indebtedness, obligations and liabilities of the Company owed such assigning Bank.

 

9.4. Funding Indemnity.  (a) In the event any Bank shall incur any loss, cost, expense or premium (including, without limitation, any loss, cost, expense or premium incurred by reason of the liquidation or re-employment of deposits or other funds acquired by such Bank to fund or maintain any LIBOR Portion or the relending or reinvesting of such deposits or amounts paid or prepaid to such Bank) as a result of:

 

  

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(i) any conversion, payment or prepayment of a LIBOR Portion on a date other than the last day of the then-applicable Interest Period; or

 

(ii) any failure by the Company to borrow, continue or convert any LIBOR Portion on the date specified in the notice given pursuant to Sections 3.3 or 3.7 hereof, then, upon the demand of such Bank, the Company shall pay to such Bank such amount as will reimburse such Bank for such loss, cost or expense.

 

(b) If any Bank makes a claim for compensation under this Section 9.4, it shall provide to the Company a certificate setting forth the amount of such loss, cost or expense in a reasonable detail and such certificate shall be conclusive and binding on the Company as to the amount thereof, absent manifest error.

 

9.5. Discretion of Bank as to Manner of Funding.  Notwithstanding any provision of this Agreement to the contrary, each Bank shall be entitled to fund and maintain its funding of all or any part of its Loans in any manner it sees fit, it being understood however, that for the purposes of this Agreement, all determinations hereunder shall be made as if the Banks had actually funded and maintained each LIBOR Portion during each Interest Period for such LIBOR Portion through the purchase of deposits in the relevant interbank market having a maturity corresponding to such Interest Period and bearing an interest rate equal to the Adjusted LIBOR Rate, for such Interest Period.

 

	
SECTION 10.  

	
The Administrative Agent.

 

10.1. Appointment and Powers.  UMB is hereby appointed by the Banks as Administrative Agent (the “Agent”) under the Loan Documents, and each of the Banks irrevocably authorizes the Agent to act as the agent of such Bank.  The Agent agrees to so act as such upon the express conditions contained in this Agreement.

 

10.2. Powers.  The Agent shall have and may exercise such powers hereunder as are specifically delegated to the Agent by the terms of the Loan Documents, together with such powers as are incidental thereto.  The Agent shall have no implied duties to the Banks nor any obligation to the Banks to take any action under the Loan Documents except any action specifically provided by the Loan Documents to be taken by the Agent, and in no event shall the Agent have any fiduciary responsibilities to any Bank.

 

10.3. General Immunity.  Neither the Agent nor any of its directors, officers, agents, representatives, consultants, advisors, counsel or employees shall be liable to the Banks or any Bank for any action taken or omitted to be taken by it or them under the Loan Documents or in connection therewith except for its or their own gross negligence or willful misconduct.

 

10.4. No Responsibility for Loans, Recitals, etc.  The Agent shall not (a) be responsible to the Banks for any recitals, reports, statements, warranties or representations made by the Company contained in the Loan Documents or furnished pursuant thereto, (b) be responsible for any Loans of the other Banks hereunder, or (c) be bound to ascertain or inquire as to the performance or observance of any of the terms of the Loan Documents.  In addition, neither the Agent nor its counsel shall be responsible to the Banks for the enforceability or validity of any of the Loan Documents.

 

  

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10.5. Right to Indemnity.  The Banks hereby indemnify the Agent for any actions taken in accordance with this Section 10 pro rata in accordance with their respective exposures. The Agent shall be fully justified in failing or refusing to take any action hereunder unless it shall first be indemnified to its satisfaction by the Banks pro rata in accordance with their respective Exposures against any and all liability and expense which may be incurred by it by reason of taking or continuing to take any such action, other than any liability which may arise out of the Agent’s gross negligence or willful misconduct.

 

10.6. Action Upon Instructions of Required Banks.  The Agent agrees, upon the written request of the Required Banks, to take any action of the type specified in the Loan Documents as being within the Agent’s rights, duties, powers or discretion.  The Agent shall in all cases be fully protected in acting, or in refraining from acting, hereunder in accordance with written instructions signed by the Required Banks (or all of the Banks, if the Loan Documents specifically require the consent of all of the Banks), and such instructions and any action taken or failure to act pursuant thereto shall be binding on all of the Banks and on all holders of the Notes.  In the absence of a request by the Required Banks, the Agent shall have authority, in its sole discretion, to take or not to take any action, unless the Loan Documents specifically require the consent of the Required Banks or all of the Banks.

 

10.7. Employment of Agents and Counsel.  The Agent may execute any of its duties as Agent hereunder by or through employees, agents, and attorneys-in-fact and shall not be answerable to the Banks, except as to money or securities actually received by it or its authorized agents, for the default or misconduct of any such agents or attorneys-in-fact selected by it in good faith and with reasonable care.  The Agent shall be entitled to act upon the advice and opinion of legal counsel concerning all matters pertaining to the duties of the agencies hereby created.

 

10.8. Reliance on Documents; Counsel.  The Agent shall be entitled to rely upon any Note, notice, consent, certificate, affidavit, letter, telegram, statement, paper or document believed by it to be genuine and correct and to have been signed or sent by the proper person or persons, and, in respect to legal matters, upon the opinion of legal counsel selected by the Agent.

 

10.9. May Treat Payee as Owner.  The Agent may deem and treat the payee of any Note as the owner thereof for all purposes hereof unless and until a written notice of the assignment or transfer thereof shall have been filed pursuant to Section 11.20 hereof with the Agent.  Any request, authority or consent of any person, firm or corporation who at the time of making such request or giving such authority or consent is the holder of any such Note shall be conclusive and binding on any subsequent holder, transferee or assignee of such Note or of any Note issued in exchange therefor.

 

10.10. Agent’s Reimbursement.  Each Bank agrees to reimburse the Agent pro rata in accordance with its Exposure for any reasonable out-of-pocket expenses (including fees and charges for record inspections) not reimbursed by the Company (a) for which the Agent is entitled to reimbursement by the Company under the Loan Documents and (b) for any other reasonable expenses incurred by the Agent on behalf of the Banks, in connection with the preparation, execution, delivery, administration and enforcement of the Loan Documents, provided, however, that no Bank shall be liable for any of the foregoing to the extent any of the foregoing arise from the gross negligence or willful misconduct of the Agent.

 

10.11. Rights as a Bank.  With respect to its Commitment, Loans made by it, and the Notes issued to it, the Agent shall have the same rights and powers hereunder as any Bank and may exercise the same as though it were not the Agent, and the term “Bank” or “Banks” shall, unless the context otherwise indicates, include the Agent in its individual capacity.  Any of the Banks, including the Agent as if it were not the Agent for the Banks, may accept deposits from, lend money to, and generally engage in any kind of banking or trust business with the Company.

 

  

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10.12. Bank Credit Decision.  Each Bank acknowledges that it has, independently and without reliance upon the Agent, the Syndication Agent, the Documentation Agent or any other Bank and based on the financial statements referred to in Section 6.3 and such other documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into the Loan Documents.  Each Bank also acknowledges that it will, independently and without reliance upon the Agent or any other Bank and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Loan Documents.  The Agent, the Syndication Agent and the Documentation Agent shall not have any right, power, obligation, liability, responsibility or duty under this Agreement other than those applicable to all Banks as such except as otherwise expressly stated herein.  Without limiting the foregoing, the Agent, the Syndication Agent and the Documentation Agent shall not have or be deemed to have any fiduciary duty to or fiduciary relationship with any Bank.  In addition to the agreement set forth in this Section 10.12, each of the Banks agrees that it has not relied on, and will not rely on, the Agent the Syndication Agent or the Documentation Agent or any other Bank, in deciding to take or not to take any action hereunder.

 

10.13. Resignation of Agent.  Subject to the appointment of a successor Agent, the Agent may resign as Agent for the Banks under this Agreement and the other Loan Documents at any time upon thirty (30) days’ notice in writing to the Banks.  Such resignation shall take effect upon appointment of such successor.  The Required Banks, with the consent of the Company (unless an Event of Default shall have occurred and be continuing, in which event the Company’s consent shall not be required) shall have the right to appoint a successor Agent who shall be entitled to all of the rights of, and vested with the same powers as, the original Agent under the Loan Documents.  In the event a successor Agent shall not have been appointed within the sixty (60) day period following the given of notice by the Agent, the Agent may appoint its own successor.  Resignation by the Agent shall not affect or impair the rights of the Agent under Sections 10.5 and 10.10 hereof with respect to all matters preceding such resignation.  Any successor Agent must be a national banking association or a bank chartered in any State of the United States, in each case having capital and surplus of not less than $500,000,000, or one of the Banks.

 

10.14. Duration of Agency.  The agency established by Section 10.1 hereof shall continue, and Sections 10.1 through and including this Section 10.14 shall remain in full force and effect, until the Notes and all other amounts due hereunder and thereunder shall have been paid in full and the Banks’ commitments to extend credit to or for the benefit of the Company shall have terminated or expired.

 

	
SECTION 11.  

	
Miscellaneous.

 

11.1. Amendments and Waivers.  Any term, covenant, agreement or condition of this Agreement and the other Loan Documents may be amended only by a written amendment executed by the Company, the Required Banks and, if the rights or duties of the Agent are affected thereby, the Agent, or compliance therewith only may be waived (either generally or in a particular instance and either retroactively or prospectively), if the Company shall have obtained the consent in writing of the Required Banks and, if the rights or duties of the Agent are affected thereby, the Agent, provided, however, that

 

  

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(a) without the consent in writing of the holders of all outstanding Notes, or all Banks if no Notes are outstanding, no such amendment or waiver shall (i) change the amount or postpone the date of payment of any scheduled payment or required prepayment of principal of the Notes at a time that the Company would not be able to obtain a Loan or reduce the rate or extend the time of payment of interest on the Notes, or reduce the amount of principal thereof, or modify any of the provisions of the Notes with respect to the payment or prepayment thereof, (ii) amend the definition of Required Banks, (iii) alter, modify or amend the provisions of this Section 11.1, (iv) change the amount or term of any of the Banks’ Commitments or the fees required under Section 4 hereof or increase the aggregate amount of all of the Banks’ Commitments, (v) alter, modify or amend any Bank’s right hereunder to consent to any action, make any request or give any notice, or (vi) alter, modify or amend the provisions of Section 5 of this Agreement; and

 

(b) without the consent of the Agent, no such amendment or waiver shall affect the rights of the Agent under Section 10 hereof; and

 

(c) except to the extent provided in Sections 11.16 and 11.17, no such amendment or waiver shall amend Section 2.2 hereof without the consent of UMB.

 

Any such amendment or waiver shall apply equally to all Banks and the holders of the Notes and shall be binding upon them, upon each future holder of any Note and upon the Company, whether or not such Note shall have been marked to indicate such amendment or waiver.  No such amendment or waiver shall extend to or affect any obligation not expressly amended or waived.

 

11.2. Waiver of Rights.  No delay or failure on the part of the Agent or any Bank or on the part of the holder or holders of any Note in the exercise of any power or right shall operate as a waiver thereof, nor as an acquiescence in any Event of Default, nor shall any single or partial exercise of any power or right preclude any other or further exercise thereof, or the exercise of any other power or right, and the rights and remedies hereunder of the Agent, the Banks and of the holder or holders of any Notes are cumulative to, and not exclusive of, any rights or remedies which any of them would otherwise have.

 

11.3. Several Obligations.  The commitments of each of the Banks hereunder shall be the several obligations of each Bank and the failure on the part of any one or more of the Banks to perform hereunder shall not affect the obligation of the other Banks hereunder, provided that nothing herein contained shall relieve any Bank from any liability for its failure to so perform.  In the event that any one or more of the Banks shall fail to perform its commitment hereunder, all payments thereafter received by the Agent on the principal of Loans hereunder, shall be distributed by the Agent to the Banks making such additional Loans ratably as among them in accordance with the principal amount of additional Loans made by them until such additional Loans shall have been fully paid and satisfied.  All payments on account of interest shall be applied as among all the Banks ratably in accordance with the amount of interest owing to each of the Banks as of the date of the receipt of such interest payment.

 

11.4. Non-Business Day.  If any payment of principal or interest on any Loan shall fall due on a day which is not a Business Day, interest at the rate such Loan bears for the period prior to maturity shall continue to accrue on such principal from the stated due date thereof to and including the next succeeding Business Day on which the same is payable.

 

11.5. Documentary Taxes.  The Company agrees to pay any documentary or similar taxes, if any, with respect to the Loan Documents, including interest and penalties, in the event any such taxes are assessed irrespective of when such assessment is made and whether or not any credit is then in use or available hereunder.

 

  

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11.6. Representations.  All representations and warranties made herein or in certificates given pursuant hereto shall survive the execution and delivery of this Agreement and of the Notes, and shall continue in full force and effect with respect to the date as of which they were made and as reaffirmed by Quarterly Compliance Certificates as long as any credit is in use or available hereunder.

 

11.7. Notices.  Unless otherwise expressly provided herein, all communications provided for herein shall be in writing or by telecopy and shall be deemed to have been given or made when served personally, when confirmation of receipt is received in the case of notice by telecopy, when actually delivered by a reputable courier service or five (5) Business Days after the date when deposited in the United States mail (registered, if to the Company) addressed, if to the Company to 602 S. Joplin Avenue; Joplin, Missouri  64801; Attention:  Laurie A. Delano (Telephone number (417) 625-5127, Telecopy number (417) 625-5153); if to the Agent or UMB at 1010 Grand Boulevard; Kansas City, Missouri  64106; Attention:  Charles J. Wolf (Telephone number (816) 860-7130, Telecopy number (816) 860-7143); and, if to any of the Banks, at the address for each Bank set forth under its signature hereon; or at such other address as shall be designated by any party hereto in a written notice to each other party pursuant to this Section 11.7.

 

11.8. Costs and Expenses; Indemnity.  The Company agrees to pay on demand (i) all reasonable costs and expenses of the Agent incurred in connection with the negotiation, preparation, execution and delivery of this Agreement, the Notes and any other instruments and documents to be delivered hereunder or in connection with the transactions contemplated hereby, including the reasonable fees and expenses of Spencer Fane Britt & Browne LLP, counsel to the Agent; (ii) all reasonable costs and expenses of the Agent (including reasonable attorneys’ fees) incurred in connection with any consents or waivers hereunder or amendments hereto; and (iii) all reasonable costs and expenses (including reasonable attorneys’ fees), if any, incurred by the Agent, the Banks or any other holders of a Note in connection with the enforcement of this Agreement or the Notes and any other instruments and documents to be delivered hereunder.  The Company agrees to indemnify and save harmless the Banks and the Agent from any and all liabilities, losses, costs and expenses incurred by the Banks or the Agent in connection with any action, suit or proceeding brought against the Agent, or any Bank by any Person which arises out of the transactions contemplated or provided for hereby, by the Notes, or out of any action or inaction by the Agent or any Bank hereunder or thereunder, except for such thereof as is caused by the gross negligence or willful misconduct of the party indemnified as determined by a final judgment of a court of competent jurisdiction.

 

(a) The provisions of this Section 11.8 and the protective provisions of Section 9.4 hereof shall survive payment of the Notes and the termination of the Banks’ Commitments hereunder.

 

11.9. Counterparts.  This Agreement may be executed in any number of counterparts and all such counterparts taken together shall be deemed to constitute one and the same instrument.  This Agreement shall become effective as and when the Agent, all of the Banks and the Company have executed this Agreement or a counterpart thereof and delivered, except in the case of the Agent, the same to the Agent.

 

11.10. Successors and Assigns; Governing Law; Entire Agreement.  This Agreement shall be binding upon each of the Company, the Agent and the Banks and their respective successors and assigns, and shall inure to the benefit of the Company, the Agent and each of the Banks and the benefit of their respective successors and assigns, including any subsequent holder of any Note (in the case of the Banks and their respective successors and assigns, to the extent provided in Sections 11.16 and 11.17 hereof).  This Agreement and the rights and duties of the parties hereto shall be construed and determined in accordance with the laws of the State of Missouri, except conflict of laws principles.  This Agreement constitutes the entire understanding of the parties with respect to the subject matter hereof and any prior agreements, whether written or oral, with respect to the subject matter hereof are superseded hereby.  The Company may not assign any of its rights or obligations hereunder without the written consent of the Banks.

 

  

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11.11. No Joint Venture.  Nothing contained in this Agreement shall be deemed to create a partnership or joint venture among the parties hereto.

 

11.12. Severability.  In the event that any term or provision hereof is determined to be unenforceable or illegal, it shall be deemed severed herefrom to the extent of the illegality and/or unenforceability and all other provisions hereof shall remain in full force and effect.

 

11.13. Table of Contents and Headings.  The table of contents and section headings in this Agreement are for reference only and shall not affect the construction of any provision hereof.

 

11.14. Sharing of Payments.  Each Bank agrees with each other Bank that if such Bank shall receive and retain any payments, whether by set-off or application of deposit balances or otherwise (“Set-Off”), on any Loan or other amount outstanding under this Agreement or the other Loan Documents in excess of its ratable share of payments on all Loans and other amounts then outstanding to the Banks, then such Bank shall purchase for cash at face value, but without recourse (except for defects in title), ratably from each of the other Banks such amount of the Loans held by each such other Bank (or interest therein) as shall be necessary to cause such Bank to share such excess payment ratably with all the other Banks; provided, however, that if any such purchase is made by any Bank, and if such excess payment or part thereof is thereafter recovered from such purchasing Bank, the related purchases from the other Banks shall be rescinded ratably and the purchase price restored as to the portion of such excess payment so recovered, but without interest.  Each Bank’s ratable share of any such Set-Off shall be determined by the proportion that the aggregate principal amount of Loans and other amounts then due and payable to such Bank bears to the total aggregate principal amount of Loans and other amounts then due and payable to all the Banks.  This Section 11.14 is subject to the rights of the Agent set forth in Section 2.3 hereof.

 

11.15. Jurisdiction; Venue; Waiver of Jury Trial.  The Company hereby submits to the nonexclusive jurisdiction of the United States District Court for the Western District of Missouri and of any Missouri court sitting in Kansas City, Missouri, for purposes of all legal proceedings arising out of or relating to this Agreement or the transactions contemplated hereby.  The Company irrevocably waives, to the fullest extent permitted by law, any objection which it may now or hereafter have to the laying of venue of any such proceeding brought in such a court and any claim that any such proceeding brought in such a court has been brought in an inconvenient forum.  The Company, the Agent and each Bank hereby irrevocably waives any and all right to trial by jury in any legal proceeding arising out of or relative to any Loan Document or the transactions contemplated thereby.

 

11.16. Participants.  Each Bank shall have the right at its own cost to grant participations (to be evidenced by one or more agreements or certificates of participation) in the Loans made and Commitments held by such Bank at any time and from time to time to other Persons; provided that (a) no such participation shall relieve any Bank of any of its obligations under this Agreement (b) no such participant shall have any direct rights under this Agreement except as provided in this Section 11.16, and the Agent shall not have any obligation or responsibility to such participant.  Any agreement pursuant to which such participation is granted, except with respect to a participation in which a participant is an Affiliate of a Bank, shall provide that the granting Bank shall retain the sole right and responsibility to enforce the obligations of the Company under this Agreement and the other Loan Documents including, without limitation, the

 

  

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right to approve any amendment, modification or waiver of any provision of the Loan Documents, except that such agreement may provide that such Bank will not agree to any modification, amendment or waiver of the Loan Documents that would reduce the amount of or postpone any fixed date for payment of any obligation in which such participant has an interest.  Any party to which such a participation has been granted shall have the benefits of Section 9.3 and Section 9.4 hereof, up to an amount not exceeding the amount that would otherwise have been payable to the Bank who sold the participation interest to such party.  Subject to the provisions of Section 11.19 hereof, the Company authorizes each Bank to disclose to any participant or prospective participant under this Section 11.16 any financial or other information pertaining to the Company.  Notwithstanding the foregoing no participations shall be made (a) to the Company or any of the Company’s Affiliates, (b) to any Defaulting Bank or any of its Subsidiaries or any Person who, upon becoming a Bank hereunder, would constitute any of the foregoing Persons described in this clause (b) or (c) to a natural person.

 

11.17. Assignment Agreements.

 

(a) Assignments.  Each Bank may, at its own expense, from time to time, assign to other Persons all or part of its rights and obligations under this Agreement (including without limitation the Indebtedness evidenced by the Notes then owned by such assigning Bank, together with an equivalent proportion of its obligation to make loans and advances) pursuant to written agreements executed by such assigning Bank, such assignee lender or lenders, the Company and the Agent, which agreements shall specify in each instance the portion of the Indebtedness evidenced by the Notes which is to be assigned to each such assignee lender and the portion of the Commitments of the assigning Bank to be assumed by it (the “Assignment Agreements”); provided, however, that unless the Agent, the  Company, the assignor Bank and the assignee lender, in writing, agree to the contrary, (i) except in connection with any assignment by a Bank to any of its Affiliates, the aggregate amount of the Exposure of the assigning Bank being assigned to such assignee lender pursuant to each such assignment (determined as of the effective date of the relevant Assignment Agreement) shall in no event be less than the lesser of $5,000,000 or the assignor Bank’s unused Revolving Credit Commitment; (ii) the parties to each such assignment shall execute and deliver to the Agent, for its acceptance and recording in the Register pursuant to Section 11.20 hereof, an Assignment Agreement, together with any Notes subject to such assignment, (iii) the Agent and (except for an assignment made during the continuance of any Event of Default) the Company must consent to each such Assignment Agreement, which consents shall not be unreasonably withheld, to each such assignment to (provided no such consent is required for any assignment to any Affiliate of the assigning Bank), and (iv) except in connection with any assignment by a Bank to any of its Affiliates, the assignee lender must pay to the Agent a processing and recordation fee of $4,000 and any out-of-pocket attorneys’ fees incurred by the Agent in connection with such Assignment Agreement.  Upon the execution of each Assignment Agreement by the assigning Bank thereunder, the assignee lender thereunder, the Company and the Agent, satisfaction of all of the conditions set forth above and payment to such assigning Bank by such assignee lender of the purchase price for the portion of the Exposure being acquired by it, (i) such assignee lender shall thereupon become a “Bank” for all purposes of this Agreement with an Exposure in the amounts set forth in such Assignment Agreement and with all the rights, powers and obligations afforded a Bank hereunder, (ii) such assigning Bank shall have no further liability for funding the portion of any of its Commitments assumed by such other Bank, and (iii) the address for notices to such assignee Bank shall be as specified in the Assignment Agreement executed by it.  Concurrently with the execution and delivery of such Assignment Agreement executed by it, the Company shall execute and deliver new Notes to the assignee Bank in the amount of its applicable Commitment or Loan and new Notes to the assigning Bank in the amounts of its applicable Commitment or Loan after

 

  

34

  

giving effect to the reduction occasioned by such assignment, such new Notes to constitute “Notes” for all purposes of this Agreement. Notwithstanding the foregoing no assignments shall be made (a) to the Company or any of the Company’s Affiliates, (b) to any Defaulting Bank or any of its Subsidiaries or any Person who, upon becoming a Bank hereunder, would constitute any of the foregoing Persons described in this clause (b) or (c) to a natural person. Subject to Section 11.19 hereof, the Company authorizes each Bank to disclose to any assignee or prospective assignee under this Section 11.17 any financial or other information pertaining to the Company.

 

(b) Pledges.  Any Bank may at any time pledge or grant a security interest in all or any portion of its rights under this Agreement to secure obligations of such Bank, including any such pledge or grant to a Federal Reserve Bank, and Section 11.17(a) shall not apply to any such pledge or grant of a security interest; provided that no such pledge or grant of a security interest shall release a Bank from any of its obligations hereunder or substitute any such pledgee or secured party for such Bank as a party hereto; provided further, however, the right of any such pledgee or grantee (other than any Federal Reserve Bank) to further transfer all or any portion of the rights pledged or granted to it, whether by means of foreclosure or otherwise, shall be at all times subject to the terms of this Agreement.

 

11.18. Withholding Taxes.

 

(a) U.S. Withholding Tax Exemptions.  Each Bank that is not a United States person (as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, as amended (the “Code”)) shall submit to the Company and the Agent on or before the date the initial Borrowing is made hereunder or, if later, the date such Bank becomes a Bank hereunder, two (2) properly completed and duly executed copies of (i) either Internal Revenue Service Form W-8 ECI (certifying the Bank’s status as a beneficial owner and entitlement to complete exemption from withholding on all amounts to be received by such Bank, including fees, pursuant to this Agreement and the Loans as effectively connected with the conduct of a U.S. trade or business) or W-8 BEN (certifying the Bank’s status as beneficial owner and entitlement to a complete exemption from withholding on all amounts to be received by such Bank, including fees, pursuant to this Agreement and the Loans, or any successor form as shall be adopted from time to time by the Internal Revenue Service;  or (ii) solely if such Bank is claiming exemption from United States withholding tax under Section 871(h) or 881(c)(3)(A) of the Code with respect to payments of “portfolio interest”, Internal Revenue Service Form W-8 BEN, and a certificate representing that such Bank is not a bank for purposes of Section 881(c) of the Code, is not a ten percent (10%) shareholder (within the meaning of Section 871(h)(3)(B) of the Code) of the Company and is not a controlled foreign corporation related to the Company (within the meaning of Section 864(d)(4) of the Code) (or in the case of any such form, such successor form as shall be adopted from time to time by the Internal Revenue Service.  Thereafter and from time to time, each such Bank shall submit to the Company and the Agent such additional properly completed and duly executed copies of one of such Forms (or such successor forms as shall be adopted from time to time by the relevant United States taxing authorities) as may be (i) notified by the Company or Agent to such Bank and (ii) required under then-current United States law or regulations to establish an available exemption from United States withholding taxes on payments in respect of all amounts to be received by such Bank, including fees, pursuant to this Agreement or the Loans.  Upon the request of the Company or Agent, each Bank that is a United States person (as such term is defined in Section 7701(a)(30) of the Code) shall submit to the Company two accurate and complete signed copies of Internal Revenue Service Form W-9 or any successor thereto, as appropriate.

 

  

35

  

(b) Inability of Bank to Submit Forms.  If any Bank determines, as a result of any change in applicable law, regulation or treaty, or in any official application or interpretation thereof, that it is unable to submit to the Company any form or certificate that such Bank is obligated to submit pursuant to subsection (a) of this Section 11.18, or that such Bank is required to withdraw or cancel any such form or certificate previously submitted or any such form or certificate otherwise becomes ineffective or inaccurate, such Bank shall promptly notify the Company and Agent of such fact and the Bank shall to that extent not be obligated to provide any such form or certificate and will be entitled to withdraw or cancel any affected form or certificate, as applicable.

 

(c) Payment of Additional Amounts.  If, as a result of any change in applicable law, regulation or treaty, or in any official application or interpretation thereof after the date of this Agreement or, if later, the date a bank becomes a Bank hereunder, the Company is required by law or regulation to make any deduction, withholding or backup withholding of any taxes, levies, imposts, duties, fees, liabilities or similar charges of the United States of America, any possession or territory of the United States of America (including the Commonwealth of Puerto Rico) or any area subject to the jurisdiction of the United States of America (“U.S. Taxes”) from any payments to a Bank in respect of Loans then or thereafter outstanding, or other amounts owing hereunder, the amount payable by the Company will be increased to the amount which, after deduction from such increased amount of all U.S. Taxes required to be withheld or deducted therefrom, will yield the amount required under this Agreement to be payable with respect thereto; provided that the Company shall not be required to pay any additional amount pursuant to this subsection (c) to any Bank that (i) is not, on the date this Agreement is executed by such Bank or, if later, the date such Bank became a Bank hereunder, either (x) entitled to submit Form W-8 BEN relating to such Bank and entitling it to a complete exemption from withholding on all amounts to be received by such Bank, including fees, pursuant to this Agreement and the Loans, Form W-8 BEN relating to all amounts to be received by such Bank, including fees, pursuant to this Agreement and the Loans or Form W-8 BEN relating to such Bank and entitling it to a complete exemption from withholding on all amounts to be received by such Bank, including fees, pursuant to this Agreement and the Loans (or, in any such case, such successor forms as shall be adopted from time to time by the Internal Revenue Service), or (y) a U.S. person (as such term is defined in Section 7701(a)(30) of the Code), or (ii) has failed to submit any form or certificate that it was required to file pursuant to subsection (a) of this Section 11.18 and entitled to file under applicable law, or (iii) is no longer entitled to submit Form W-8 BEN or Form W-8 ECI as a result of any change in circumstances other than a change in applicable law, regulation or treaty or in any official application or the account of any Bank pursuant to this subsection (c), then such Bank will agree to use reasonable efforts to change the jurisdiction of its applicable lending office so as to eliminate or reduce any such additional payment which may thereafter accrue if such change, in the judgment of such Bank, is not otherwise disadvantageous to such Bank. Within thirty (30) days after the Company’s payment of any such U.S. Taxes, the Company shall deliver to the Agent, for the account of the relevant Bank(s), originals or certified copies of official tax receipts evidencing such payment thereof or other evidence of payment reasonably satisfactory to the Agent.  The obligations of the Company under this subsection (c) shall survive the payment in full of the Loans and the termination of the Commitments.  If any Bank or the Agent determines it has received or been granted a refund, credit against, relief or remission for, or repayment of, any taxes paid or payable by it because of any U.S. Taxes paid by the Company and evidenced by such a tax receipt, such Bank or Agent shall, to the extent it can do so without prejudice to the retention of the amount of such refund, credit, relief, remission or repayment, pay to the Company such amount as such Bank or Agent determines is attributable to such deduction or withholding and which will leave such Bank or Agent (after such payment) in no better or worse position than it would have been in if the Company had not been required to make such deduction or withholding.  Nothing in this Agreement shall interfere with the right of each Bank and the Agent to arrange its tax affairs in whatever manner it deems fit nor oblige any Bank or the Agent to disclose any information relating to its tax affairs or any computations in connection with such taxes.

 

  

36

  

11.19. Confidentiality.  The Agent and each Bank will keep confidential any non-public information concerning the Company and its Subsidiaries furnished by the Company (which is designated by the Company as confidential at the time such information is furnished to the Agent or such Bank) or obtained by the Agent or such Bank through its inspections pursuant to Section 7.5 hereof and known by such Bank to be confidential, except that the Agent or any Bank may disclose such information (a) to regulatory authorities having jurisdiction, (b) pursuant to subpoena or other legal process, (c) to the Agent’s and such Bank’s counsel and auditors in connection with matters concerning this Agreement, (d) to the Agent and such Bank’s consultants in connection with negotiations concerning this Agreement or the other Loan Documents, (e) to prospective participants and assignees and participants in the credit extended hereunder, and (f) a Bank’s Affiliates and to its and its Affiliates’ respective partners, directors, officers, employees, agents, trustees, advisors and representatives provided that any Persons described in clauses (d), (e) and (f) shall be bound to comply with the terms of this Section 11.19.  In the situations described above (except where the Company is a party or where disclosure is made during the course of a regulatory examination of a Bank), the Agent or the relevant Bank shall notify the Company as promptly as practicable of the receipt of a request for such disclosure and furnish it with a copy of such subpoena or other legal process (to the extent the Agent or such Bank is legally permitted to do so).  The provisions of this Section shall survive the payment of the Notes and the termination of this Agreement.

 

11.20. Register.  The Agent, on behalf of the Company, shall maintain at its address referred to in Section 11.7 a copy of each assignment and acceptance delivered to and accepted by it and a register for the recordation of the names and addresses of the Banks and each Commitment of, and principal amount of the Loans owing to, each Bank from time to time (the “Register”).  The entries in the Register shall be conclusive and binding for all purposes, absent manifest error, and the Company, the Agent and the Banks may treat each Person whose name is recorded in the Register as a Bank hereunder for all purposes of this Agreement.  The Register shall be available for inspection by the Company or any Bank at any reasonable time and from time to time upon reasonable prior notice.  Upon its receipt of an assignment and acceptance executed by an assigning Bank, an assignee and the Company, if required, the Agent shall, if such assignment and acceptance has been completed and is acceptable to the Agent in form and substance, (a) accept such assignment and acceptance, (b) record the information contained therein in the Register and (c) give prompt notice thereof to the Company.

 

11.21. SPCs.  Notwithstanding anything to the contrary contain herein, any Bank except the Agent, (a “Granting Bank”) may grant to a special purpose funding vehicle (an “SPC”) the option to fund all or any part of any Loan that such Granting Bank would otherwise be obligated to fund pursuant to this Agreement; provided, that (i) nothing herein shall constitute a commitment by any SPC to fund any Loan, (ii) if an SPC elects not to exercise such option or otherwise fails to fund all or any part of such Loan, the Granting Bank shall be obligated to fund such Loan pursuant to the terms hereof, (iii) no SPC shall have any voting rights pursuant to Section 11.1 (all such voting rights shall be retained by the Granting Bank) and (iv) with respect to notices, payments and other matters hereunder, the Company, the Agent and the Banks shall not be obligated to deal with an SPC, but may limit their communications and other dealings relevant to such SPC to the applicable Granting Bank.  The funding of a Loan by an SPC hereunder shall utilize the Commitment of the Granting Bank to the same extent that, and as if, such Loan were funded by such Granting Bank.  Each party hereto hereby agrees that no SPC shall be liable for any indemnity or payment under this Agreement for which a Lender would

 

  

37

  

otherwise be liable for so long as, and to the extent, the Granting Bank provides such indemnity or makes such payment.  In furtherance of the foregoing, each party hereto hereby agrees (which agreements shall survive termination of this Agreement) that, prior to the date that is one year and one day after the payment in full of all outstanding commercial paper or other senior indebtedness of any SPC, it will not institute against, or join any other Person in instituting against, such SPC any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings under the laws of the United States or any state thereof.  Notwithstanding anything to the contrary contained in this Agreement, any SPC may disclose on a confidential basis any non-public information relating to its funding of Loans to any rating agency, commercial paper dealer or provider of any surety or guarantee to such SPC.  The grant of an option pursuant to this Section shall not be deemed either an assignment or a participation pursuant to Section 11.16 or 11.17, respectively, and shall not reduce the Commitment of the Granting Bank.  This Section 11.21 may not be amended without the prior written consent of each Granting Bank, all or any part of whose Loan is being funded by an SPC at the time of such amendment.

 

11.22. Facsimile Signatures.  The exchange of copies of this Agreement and of signature pages by facsimile transmission shall constitute effective execution and delivery of this Agreement as to the parties and may be used in lieu of the original Agreement for all purposes.  Signatures of the parties transmitted by facsimile shall be deemed to be their original signatures for all purposes.

 

11.23. Defaulting Bank.  Notwithstanding anything stated to the contrary in this Agreement:

 

(a) The Company shall have the right to terminate the Commitment of any Defaulting Bank by written notice to the Agent and the Defaulting Bank at any time within ten (10) Business Days of the date the Company is informed by the Agent that such Bank has become a Defaulting Bank.  If the Company terminates the Commitment of a Defaulting Bank, repayment of any Loans due the Defaulting Bank shall be made by the Company in the ordinary course of business pursuant hereto and be subject to Section 2.3 hereof; and

 

(b) The fees otherwise payable to a Bank pursuant to Section 4.1, 4.2 and 4.3 hereof shall not be payable by Company to the Agent for the benefit of a Defaulting Bank for any period a Bank is a Defaulting Bank; and

 

(c) If a Defaulting Bank makes any payment required pursuant to subsections (a) or (b) of the definition of Defaulting Bank together with interest thereon, within three (3) Business Days following the date it became a Defaulting Bank, the provisions of this Section 11.23 shall be inapplicable.

 

11.24. THIS SECTION IS MADE PART OF THIS AGREEMENT IN COMPLIANCE WITH MO. REV. STAT. SECTION 432.047.  Oral agreements or commitments to loan money, extend credit or to forbear from enforcing repayment of a debt including promises to extend or renew such debt are not enforceable, regardless of the legal theory upon which it is based that is in any way related to the Agreement.  To protect the Company and Banks from misunderstanding or disappointment, any agreements the Company and the Banks reach covering such matters are contained in this writing, which is the complete and exclusive statement of the agreement between us, except as we may later agree in writing to modify it.

 

[THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

[SIGNATURE PAGES TO FOLLOW]

  

38

  

Upon your acceptance hereof in the manner hereinafter set forth, this Agreement shall be a contract between us for the purposes hereinabove set forth.

 

Dated as of January 17, 2012.

 

	
THE EMPIRE DISTRICT ELECTRIC COMPANY

 

 

By:  /s/ Laurie A. Delano

Its:  VP Finance

Accepted and Agreed to as of the day and year last above written.

 

	
UMB BANK, N.A., individually and as

Administrative Agent

 

 

By:  /s/ Charles J. Wolf

Charles J. Wolf

Its:   Senior Vice President

Address:    1010 Grand Boulevard

Kansas City, MO   64106

Attention:  Charles J. Wolf

Telephone No.:  816-860-7130

Telecopy No.:  816-860-7143

charles.wolf@umb.com

	
BANK OF AMERICA, N.A.,

individually and as Syndication Agent

 

 

By:  /s/ Eric A. Escagne

Eric A. Escagne

Its:  Senior Vice President

Address:  MO1-800-13-05

800 Market Street, 13th Floor

St. Louis, MO 63101

Attention:  Eric A. Escagne

Telephone No.:  314-466-2126

Telecopy No.:  314-466-6499

eric.escagne@baml.com

 

	
WELLS FARGO BANK, N.A., individually

and as Documentation Agent

 

 

By:  /s/ Bradley R. Conley

Bradley R. Conley

Its:   Assistant Vice President

Address:  7500 College Boulevard, Suite 200

Overland Park, KS  66210

Attention:  Bradley Conley

Telephone No.:  913-234-2909

Telecopy No.:  913-234-2901

bradleyconley@wellsfargo.com

 

	
U.S. BANK, NATIONAL ASSOCIATION,

individually

 

 

By:  /s/ Michael Sagges

Michael Sagges

Its:  Vice President, Portfolio Manager Utilities

Address:  461 Fifth Avenue, 8th Floor

New York, New York 10017

Attention: Michael Sagges

Telephone No.:  917-256-2822

Telecopy No.:  347-417-3277

michael.sagges@usbank.com

 

	
ARVEST BANK, individually

 

 

By:  /s/ Doug Doll

Doug Doll

Its:  President

Address:  3201 McClelland Boulevard

Joplin, MO  64802

Attention: Veronica M. Scheurich

Telephone No.:  417-627-8183

Telecopy No.:  417-627-8170

vscheurich@arvest.com

	  

  

39

  

Exhibit A-1

 

The Empire District Electric Company

 

Revolving Credit Note

 

January 17, 2012

 

For Value Received, the undersigned, The Empire District Electric Company, a Kansas corporation (the “Company”), hereby promises to pay to the order of _______________ (the “Bank”) on the Credit Termination Date (as defined in the Credit Agreement hereinafter referred to), at the principal office of UMB Bank, N.A. in Kansas City, Missouri the aggregate unpaid principal amount of all Revolving Credit Loans made by the Bank to the Company under the Credit Agreement hereinafter mentioned and remaining unpaid on the Credit Termination Date, together with fees and all other amounts due with interest on the principal amount of each Revolving Credit Loan from time to time outstanding hereunder at the rates, and payable in the manner and on the dates specified in said Credit Agreement.

 

The Bank shall record on its books or records or on the schedule to this Note which is a part hereof the principal amount of each Revolving Credit Loan made by it to the Company under the Credit Agreement, all payments of principal and interest thereon and the principal balances from time to time outstanding; provided that prior to the transfer of this Note all such amounts shall be recorded on a schedule attached to this Note.  The record thereof, whether shown on such books or records or on the schedule to this Note, shall be prima facie evidence as to all such amounts absent manifest error; provided, however, that the failure of the Bank to record any of the foregoing shall not limit or otherwise affect the obligation of the Company to repay all Revolving Credit Loans made under the Credit Agreement, together with accrued interest thereon.

 

This Note is one of the Revolving Credit Notes referred to in, and issued under, that certain Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012, among the Company, UMB Bank, N.A., individually and as Administrative Agent, and the Banks named therein, as amended hereafter from time to time (the “Credit Agreement”) and this Note and the holder hereof are entitled to all of the benefits provided for thereby or referred to therein.  All defined terms used in this Note, except terms otherwise defined herein, shall have the same meaning as such terms have in said Credit Agreement. Reference is made to the Credit Agreement for a full statement of all terms and conditions applicable to this Note.

 

Prepayments may be made, and are sometimes required to be made, on any Loan evidenced hereby and this Note (and the Revolving Credit Loans evidenced hereby) may be declared due prior to the expressed maturity thereof, all in the events, on the terms and in the manner as provided for in said Credit Agreement.

 

All agreements between the Company and the Bank, whether now existing or hereafter arising and whether written or oral, are expressly limited so that in no contingency or event whatsoever, whether by reason of demand or acceleration of the maturity of any of the indebtedness hereunder or otherwise, shall the amount contracted for, charged, received, reserved, paid or agreed to be paid to or for the benefit of the Bank for the use, forbearance, or detention of the funds advanced hereunder or otherwise, or for the performance or payment of any covenant or obligation contained in any document executed in connection herewith (all such documents being hereinafter collectively referred to as the “Loan Documents”), exceed the maximum lawful rate or amount of interest permissible under applicable law (the “Highest Lawful Rate”), it being the intent of the Company and the Bank in the execution hereof and of the Loan Documents to contract in strict accordance with applicable usury laws.  If, as a result of

 

  

A-1-1

  

any circumstances whatsoever, performance by the Company of any provision hereof or of any of such documents, at the time performance of such provision shall be due, shall involve exceeding the limits of applicable usury laws or result in the Bank having or being deemed to have contracted for, charged, reserved or received interest (or amounts deemed to be interest) in excess of the Highest Lawful Rate to be so contracted for, charged, reserved or received by the Bank, then, the obligation to be performed by the Company shall be reduced to the legal limit of such performance, and if, from any such circumstance, the Bank shall ever receive interest or anything which might be deemed interest under applicable law which would exceed the Highest Lawful Rate, such amount which would be unlawful interest shall be refunded to the Company or, to the extent (i) permitted by applicable law and (ii) such unlawful interest does not exceed the unpaid principal balance of the Note and the amounts owing on other obligations of the Company to the Bank under any Loan Document applied to the reduction of the principal amount owing on account of the Notes or the amounts owing on other obligations of the Company to the Bank under any Loan Document and not to the payment of interest.  All interest paid, or agreed to be paid, to or for the benefit of the Bank shall, to the extent permitted by applicable law, be amortized, prorated, allocated, and spread throughout the full period of the indebtedness hereunder until payment in full of the principal of the indebtedness hereunder (including the period of any renewal or extension thereof) so that the interest on account of the indebtedness hereunder for such full period shall not exceed the highest amount permitted by applicable law.

 

The undersigned hereby expressly waives diligence, presentment, demand, protest, notice of protest, notice of intent to accelerate, notice of acceleration, and notice of any other kind.

 

This Note is governed by and shall be construed in accordance with the internal laws of the State of Missouri.

 

	
THE EMPIRE DISTRICT ELECTRIC COMPANY

 

 

By:  ___________________________

  

A-1-2

  

Exhibit A-2

 

The Empire District Electric Company

 

Swingline Note

 

	
$15,000,000

	
January 17, 2012

 

For Value Received, the undersigned, The Empire District Electric Company, a Kansas corporation (the “Company”), hereby promises to pay to the order of UMB Bank, N.A. (the “Bank”) on the Credit Termination Date, at the principal office of UMB Bank, N.A. in Kansas City, Missouri the aggregate unpaid principal amount of all Swingline Loans made by the Bank to the Company under the Credit Agreement hereinafter mentioned and remaining unpaid on the Credit Termination Date, together with fees and all other amounts due with interest on the principal amount from time to time outstanding hereunder at the rates, and payable in the manner and on the dates specified in said Credit Agreement.

 

The Bank shall record on its books or records or on the schedule to this Note which is a part hereof the principal amount of each Swingline Loan made by it to the Company under the Credit Agreement, all payments of principal and interest thereon and the principal balances from time to time outstanding; provided that prior to the transfer of this Note all such amounts shall be recorded on a schedule attached to this Note.  The record thereof, whether shown on such books or records or on the schedule to this Note, shall be prima facie evidence as to all such amounts absent manifest error; provided, however, that the failure of the Bank to record any of the foregoing shall not limit or otherwise affect the obligation of the Company to repay all Swingline Loans made under the Credit Agreement, together with accrued interest thereon.

 

This Note is the Swingline Note referred to in, and issued under, that certain Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012, among the Company, UMB Bank, N.A., individually and as Administrative Agent, and the Banks named therein, as amended hereafter from time to time (the “Credit Agreement”) and this Note and the holder hereof are entitled to all of the benefits provided for thereby or referred to therein.  All defined terms used in this Note, except terms otherwise defined herein, shall have the same meaning as such terms have in said Credit Agreement. Reference is made to the Credit Agreement for a full statement of all terms and conditions applicable to this Note.

 

Prepayments may be made, and are sometimes required to be made, on any Loan evidenced hereby and this Note (and the Swingline Loans evidenced hereby) may be declared due prior to the expressed maturity thereof, all in the events, on the terms and in the manner as provided for in said Credit Agreement.

 

All agreements between the Company and the Bank, whether now existing or hereafter arising and whether written or oral, are expressly limited so that in no contingency or event whatsoever, whether by reason of demand or acceleration of the maturity of any of the indebtedness hereunder or otherwise, shall the amount contracted for, charged, received, reserved, paid or agreed to be paid to or for the benefit of the Bank for the use, forbearance, or detention of the funds advanced hereunder or otherwise, or for the performance or payment of any covenant or obligation contained in any document executed in connection herewith (all such

 

  

A-2-1

  

documents being hereinafter collectively referred to as the “Loan Documents”), exceed the maximum lawful rate or amount of interest permissible under applicable law (the “Highest Lawful Rate”), it being the intent of the Company and the Bank in the execution hereof and of the Loan Documents to contract in strict accordance with applicable usury laws.  If, as a result of any circumstances whatsoever, performance by the Company of any provision hereof or of any of such documents, at the time performance of such provision shall be due, shall involve exceeding the limits of applicable usury laws or result in the Bank having or being deemed to have contracted for, charged, reserved or received interest (or amounts deemed to be interest) in excess of the Highest Lawful Rate to be so contracted for, charged, reserved or received by the Bank, then, the obligation to be performed by the Company shall be reduced to the legal limit of such performance, and if, from any such circumstance, the Bank shall ever receive interest or anything which might be deemed interest under applicable law which would exceed the Highest Lawful Rate, such amount which would be unlawful interest shall be refunded to the Company or, to the extent (i) permitted by applicable law and (ii) such unlawful interest does not exceed the unpaid principal balance of the Note and the amounts owing on other obligations of the Company to the Bank under any Loan Document applied to the reduction of the principal amount owing on account of the Notes or the amounts owing on other obligations of the Company to the Bank under any Loan Document and not to the payment of interest.  All interest paid, or agreed to be paid, to or for the benefit of the Bank shall, to the extent permitted by applicable law, be amortized, prorated, allocated, and spread throughout the full period of the indebtedness hereunder until payment in full of the principal of the indebtedness hereunder (including the period of any renewal or extension thereof) so that the interest on account of the indebtedness hereunder for such full period shall not exceed the highest amount permitted by applicable law.

 

The undersigned hereby expressly waives diligence, presentment, demand, protest, notice of protest, notice of intent to accelerate, notice of acceleration, and notice of any other kind.

 

This Note is governed by and shall be construed in accordance with the internal laws of the State of Missouri.

 

	
THE EMPIRE DISTRICT ELECTRIC COMPANY

 

 

By:  ________________________

Name:  ______________________

Title:  _______________________

  

A-2-2

  

Exhibit B

 

The Empire District Electric Company

 

Pricing Schedule

 

	
Basis for Pricing

	
Level I

A- / A3

	
Level II

BBB+/Baa1

	
Level III

BBB/Baa2

	
Level IV

BBB-/Baa3

	
Level V

BB+ / Ba1

	
Level VI

<BB+ / Ba1

	
Applicable Margin for ABR Portions

	
0.0 bps

	
0.0 bps

	
25.0 bps

	
50.0 bps

	
100.0 bps

	
150.0 bps

	
Applicable Margin for LIBOR and LIBOR Index Portions

	
75.0 bps

	
100.0 bps

	
125.0 bps

	
150.0 bps

	
200.0 bps

	
250.0 bps

	
Facility Fee Rate

	
15.0 bps

	
20.0 bps

	
25.0 bps

	
30.0 bps

	
40.0 bps

	
55.0 bps

 

For calculation of the applicable rate of interest for any applicable period of time, refer to the definitions of “ABR,” “LIBOR Rate” and “LIBOR Index Rate” stated herein.

 

For purposes of utilizing the above schedule:

 

“Level I Status” exists at any date if, on such date, the Company’s Moody’s Rating is A3 or better or the Company’s S & P Rating is A- or better.

 

“Level II Status” exists at any date if, on such date, (i) the Company has not qualified for Level I Status and (ii) the Company’s Moody’s Rating is Baa1 or better or the Company’s S & P Rating is BBB+ or better.

 

“Level III Status” exists at any date if, on such date, (i) the Company has not qualified for Level I or II Status and (ii) the Company’s Moody’s Rating is Baa2 or better or the Company’s S & P Rating is BBB or better.

 

“Level IV Status” exists at any date if, on such date, (i) the Company has not qualified for Level I, II or III Status and (ii) the Company’s Moody’s Rating is Baa3 or better or the Company’s S & P Rating is BBB- or better.

 

“Level V Status” exists at any date if, on such date, (i) the Company has not qualified for Level I, II, III or IV Status and (ii) the Company’s Moody’s Rating is Ba1 or better or the Company’s S & P Rating is BB+ or better.

 

“Level VI Status” exists at any date if, on such date, the Company has not qualified for Level I, II, III, IV or V Status.

 

“Moody’s Rating” means, at any time, the rating issued by Moody’s Investors Service and then in effect with respect to the Company’s senior unsecured long-term debt securities without third-party credit enhancement.

 

“S & P Rating” means, at any time, the rating issued by Standard & Poor’s and then in effect with respect to the Company’s senior unsecured long-term debt securities without third-party credit enhancement.

 

  

B-1

  

“Status” means Level I Status, Level II Status, Level III Status, Level IV Status, Level V Status or Level VI Status.

 

The Applicable Margin and Applicable Fee Rate shall be determined from time to time in accordance with the foregoing schedule based on the Company’s Status as determined from its then-current Moody’s Rating and/or S & P Rating; provided, that, if the Company has neither a Moody’s Rating nor an S & P Rating on the Effective Date, Level VI shall apply until the Company first receives either a Moody’s Rating or an S & P Rating.  The credit rating in effect on any date for the purposes of the foregoing schedule is that in effect at the close of business on such date.  If, at any time, the Company has neither a Moody’s Rating nor an S & P Rating, Level VI Status shall exist.  If, at any time the Company has only a Moody’s Rating or an S & P Rating, but not both, the Status shall be determined by reference to such rating.

 

If the Company is split-rated and the differential between ratings is one level, the higher rating will apply.  If the Company is split-rated and the differential between ratings is two levels or more, the intermediate ratings at the midpoint will apply.  If there is no midpoint, the higher of the two intermediate ratings will apply.

 

The Company is responsible for reporting any rating change by S & P or Moody’s to the Agent promptly following the occurrence of any such change.

  

B-2

  

Exhibit C

 

The Empire District Electric Company

 

Subsidiaries of the Company

 

	
Subsidiary

	
State of Organization

	  	  
	
Empire District Industries, Inc.

	
Delaware

	
EDE Property Transfer Corp.

	
Delaware

	
The Empire District Gas Company

	
Kansas

	
The Empire District Electric Company Arkansas, L.L.C.

	
Arkansas

  

C-1

  

Exhibit D-1

 

The Empire District Electric Company

 

Company’s Kansas Counsel’s Opinion

 

(To Be Retyped On Letterhead Of Anderson & Byrd, LLP

And Dated As Of Date Of Closing)

 

January 17, 2012

 

 

UMB Bank, N.A., Individually and as

Administrative Agent

1010 Grand Boulevard

Kansas City, Missouri  64106

 

 

The Banks From Time to Time Party

to the Credit Agreement described below

 

 

Ladies and Gentlemen:

 

We act as Kansas counsel to The Empire District Electric Company, a Kansas corporation (the “Company”). We are delivering this opinion to you pursuant to Section 5.1(b) of the five year $150,000,000 Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012 among the Company, UMB Bank, N.A., individually and as Administrative Agent, Bank of America, N.A., individually and as Syndication Agent, Wells Fargo Bank, N.A., individually and as Documentation Agent and the other financial institutions party thereto (the “Credit Agreement”).

 

We have examined executed originals of, the instruments and documents identified on Exhibit A to this letter (collectively, the “Loan Documents”, individual Loan Documents and other capitalized terms used below being hereinafter referred to by the designations appearing on Exhibit A).  We have also reviewed records of all corporate proceedings necessary to authorize the execution and delivery of the Loan Documents.  Capitalized terms used herein but not otherwise defined shall have the meanings set forth in the Credit Agreement.

 

We have also reviewed the restated articles of incorporation, as amended, and by-laws of the Company (the “Organizational Documents”) and examined such other instruments and records and inquired into such other factual matters and matters of law as we deem necessary or pertinent to the formulation of the opinions hereinafter expressed.

 

Based on the foregoing, we are of the opinion that:

 

1.           The Company has been duly incorporated and is validly existing as a corporation in good standing under the laws of the State of Kansas with power and authority (corporate and other) to own its properties and conduct its business as currently conducted.

 

  

D-1-1

  

2.           Each of the Loan Documents executed by the Company has been duly authorized executed and delivered by the Company and constitutes a valid and binding agreement of the Company enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization or other laws affecting the enforcement of creditor’s rights or by general principles of equity.

 

3.           All approvals of the State Corporation Commission of the State of Kansas which are required for the lawful execution and delivery of the Loan Documents have been obtained; any conditions in such approvals required to be satisfied prior to the lawful execution and delivery of the Loan Documents have been duly satisfied; such approvals are in full force and effect; and no further approval, authorization, consent or other order of any public board or body in the State of Kansas is legally required for the lawful execution and delivery of the Loan Documents.

 

 

                      Respectfully submitted,

 

  

D-1-2

  

Exhibit A

 

The Loan Documents

 

All of the following Loan Documents are dated as of January 17, 2012.

 

1.           The five year $150,000,000 Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012 among the Company, UMB Bank, N.A. (“UMB”), individually and as Administrative Agent, Bank of America, N.A. (“B of A”), individually and as Syndication Agent, Wells Fargo Bank, N.A., individually and as Documentation Agent and the other financial institutions party thereto.

 

2.           Revolving Credit Note of the Company payable to the order of UMB.

 

3.           Revolving Credit Note of the Company payable to the order of B of A.

 

4.           Revolving Credit Note of the Company payable to the order of Arvest Bank.

 

5.           Revolving Credit Note of the Company payable to the order of Wells Fargo Bank, N.A.

 

6.           Revolving Credit Note of the Company payable to the order of U.S. Bank, National Association.

 

7.           Swingline Note of the Company payable to the order of UMB.

 

  

D-1-3

  

Exhibit D-2

 

The Empire District Electric Company

 

Company’s Missouri Counsel’s Opinion

 

(To Be Retyped On Letterhead Of Spencer, Scott & Dwyer, P.C.

And Dated As Of Date Of Closing)

 

January 17, 2012

 

UMB Bank, N.A., Individually and as

Administrative Agent

1010 Grand Boulevard

Kansas City, Missouri  64106

 

 

The Banks From Time to Time Party

to the Credit Agreement described below

 

 

Ladies and Gentlemen:

 

We act as counsel to The Empire District Electric Company, a Kansas corporation (the “Company”).  We are delivering this opinion to you pursuant to Section 5.1(b) of the five year $150,000,000 Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012, among the Company, UMB Bank, N.A., individually and as Administrative Agent, Bank of America, N.A., individually and as Syndication Agent, Wells Fargo Bank, N.A., individually and as Documentation Agent and the other financial institutions party thereto (the “Credit Agreement”).

 

We have examined executed originals of, the instruments and documents identified on Exhibit A to this letter (collectively, the “Loan Documents”, individual Loan Documents and other capitalized terms used below being hereinafter referred to by the designations appearing on Exhibit A).  We have also reviewed records of all corporate proceedings necessary to authorize the execution and delivery of the Loan Documents.  Capitalized terms used herein but not otherwise defined shall have the meanings set forth in the Credit Agreement.

 

We have also reviewed the restated articles of incorporation, as amended, and by-laws of the Company (the “Organizational Documents”) and examined such other instruments and records and inquired into such other factual matters and matters of law as we deem necessary or pertinent to the formulation of the opinions hereinafter expressed.

 

Based on the foregoing and our knowledge of the affairs of the Company (and, to the extent indicated below upon the opinion of other counsel hereinafter referred to), we are of the opinion that:

 

1.           The Company has been duly incorporated and is validly existing and in good standing under the laws of the State of Kansas, with power and authority (corporate and other) to own its properties and conduct its business as a foreign corporation in good standing in the States of Arkansas, Missouri and Oklahoma, which are the only jurisdictions (other than Kansas) in which it owns or leases substantial properties or in which the conduct of its business requires such qualification.

 

  

D-2-1

  

2.           None of the execution, delivery or performance by the Company of its obligations under any of the Loan Documents will conflict with, violate or result in a breach of any Missouri law or administrative regulation or any court decree known to us to be applicable to the Company (it being understood that we need express no opinion as to matters subject to the jurisdiction of the Public Service Commission of the State of Missouri, the Corporation Commission of Oklahoma, the State Corporation Commission of the State of Kansas or the Arkansas Public Service Commission), conflict with or result in a breach of any of the terms, conditions or provisions of the Organizational Documents, or of any agreement or instrument known to us  to which the Company is a party or by which the Company is bound or constitute a default thereunder, or result in the creation or imposition of any lien, charge or encumbrance of any nature whatsoever upon any of the properties or assets of the Company.

 

3.           We have no actual knowledge of any legal or arbitral proceedings or any proceedings by or before any governmental or regulatory authority, now pending or threatened in writing against the Company that, if adversely determined, would have a Material Adverse Effect (as such term is defined in the Credit Agreement).

 

In rendering this opinion, we have relied as to the incorporation of the Company and all other matters governed by Kansas law upon the opinion of Anderson & Byrd, LLP, rendered to you pursuant to Section 5.1(b) of the Credit Agreement.

 

                   Respectfully submitted,

 

  

D-2-2

  

Exhibit A

 

 

The Loan Documents

 

All of the following Loan Documents are dated as of January 17, 2012.

 

1.           The five year $150,000,000 Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012, among the Company, UMB Bank, N.A. (“UMB”), individually and as Administrative Agent, Bank of America, N.A. (“B of A”), individually and as Syndication Agent, Wells Fargo Bank, N.A., individually and as Documentation Agent and the other financial institutions party thereto.

 

2.           Revolving Credit Note of the Company payable to the order of UMB.

 

3.           Revolving Credit Note of the Company payable to the order of B of A.

 

4.           Revolving Credit Note of the Company payable to the order of Arvest Bank.

 

5.           Revolving Credit Note of the Company payable to the order of Wells Fargo Bank, N.A.

 

6.           Revolving Credit Note of the Company payable to the order of U.S. Bank, National Association.

 

7.           Swingline Note of the Company payable to the order of UMB.

  

D-2-3

  

Exhibit E

 

The Empire District Electric Company

 

Quarterly Compliance Certificate

 

This Quarterly Compliance Certificate is furnished to UMB Bank, N.A. and the other Banks (collectively, the “Banks”) and UMB Bank, N.A. as Administrative Agent (the “Agent”) for the Banks, pursuant to that certain Third Amended and Restated Unsecured Credit Agreement dated as of January 17, 2012, by and among The Empire District Electric Company (the “Company”), the Agent and the Banks (the “Agreement”).  Unless otherwise defined herein, the terms used in this Compliance Certificate and Schedule I hereto have the meanings ascribed thereto in the Agreement.

 

The Undersigned Hereby Certifies on Behalf of the Company That:

 

1.           I am the duly elected Chief Financial Officer of the Company;

 

2.           I have reviewed the terms of the Agreement and I have made, or have caused to be made under my supervision, a detailed review of the transactions and financial condition of the Company during the accounting period covered by the attached financial statements sufficient for me to provide this Quarterly Compliance Certificate;

 

3.           The examinations described in paragraph 2 did not disclose, and I have no knowledge of, the existence of any condition or event which constitutes an Event of Default either during or at the end of the accounting period covered by the Compliance Calculations (defined below) attached hereto, except as set forth below;

 

4.           Schedule I attached hereto sets forth financial computations evidencing the Company’s compliance with the covenants set forth in Sections 7.14 and 7.15 of the Agreement (the “Compliance Calculations”), all of which computations are true, complete and correct; and

 

5.           As of the end of the accounting period covered by this Quarterly Compliance Certificate, the Company hereby confirms that all of the representations and warranties set forth in Section 6 of the Agreement were true and correct in all material respects (except for those representations and warranties expressly limited by their term to specific dates, which representations were true and correct in all materials respects as of such other dates) except as set forth below.

 

Described below are the exceptions, if any, to paragraphs 3 and 5 above by listing, in detail, the nature of the condition or event, the period during which it existed or has existed and the action which the Company has taken, is taking or proposes to take with respect to each such condition or event:

 

	  
	  
	  

  

E-1

  

The foregoing certifications, together with the Compliance Computations set forth in Schedule I hereto are made and delivered this _____ day of ________________, 20___.

 

	
THE EMPIRE DISTRICT ELECTRIC COMPANY

 

 

By:  ______________________________

Name:  ____________________________

Title:    Chief Financial Officer

  

E-2

  

Schedule I

 

To Compliance Certificate

 

The Empire District Electric Company

 

Compliance Calculations For Third Amended and Restated Credit Agreement

Dated January 17, 2012

Calculations As Of _________________, 20___

 

 

Section 7.14              Maximum Total Indebtedness To Total Capitalization Ratio

 

	  	
(a)

	
Long-term Debt

	  	
$ ________________

	  	
(b)

	
Current Maturities of Long-term Debt

	
plus

	
$ ________________

	  	
(c)

	
Capital Leases

	
plus

	
$ ________________

	  	
(d)

	
Short-term Debt (commercial paper and notes payable)

	
plus

	
$ ________________

	  	
(e)

	
Other Indebtedness

 

	
plus

	
$ ________________

	  	
Total Indebtedness

 

	
=

	
$ ________________

	  	
(aa)

	
Total Indebtedness

	  	
$ ________________

	  	
(bb)

	
Common Stockholders’ Equity

	
plus

	
$ ________________

	  	
(cc)

	
Preferred Stock

	
plus

	
$ ________________

	  	
(ee)

	
Other Securities

 

	
plus

	
$ ________________

	  	
Total Capitalization

	
=

	
$ ________________

	
      Total Indebtedness

	
=

	
$___________

	
=

	  ___
	
       Total Capitalization

	  	
$ ___________

	  	
     1

Required to be no more than 0.625 to 1.

Compliance as of Calculation Date:                       Yes ______                      No ______

Section 7.15              Minimum Interest Coverage Ratio

 

	  	
(a)

	
Net Income

	  	
$ ________________

	  	
(b)

	
Interest Expense

	
plus

	
$ ________________

	  	
(c)

	
Income Taxes

	
plus

	
$ ________________

	  	
Depr/Amortization from Cash Flow

	
$_______________________

	  	
Amortization adjustment

	
$_______________________

	  	
(d)

	
Depreciation and Amortization

	
plus

	
$ ________________

	  	
(e)

	
Amortization

 

	
plus

	
$ ________________

	  	
EBITDA

 

	
=

	
$ ________________

	  	
(aa)

	
Interest on Loans

	  	
$ ________________

	  	
(bb)

	
Imputed interest on capitalized leases

	  	
$ ________________

	  	
(cc)

	
Amortization of discount of Indebtedness

	  	
$ ________________

	  	
(dd)

	
All other interest expense

 

	  	
$ ________________

	  	
Interest Charges

	
=

	
$ ________________

	
Interest Coverage Ratio   =

	
EBITDA

	
=

	
$ ___________

	
=

	  _____
	  	
Interest Charges

	  	
$ ___________

	  	  

 

Required to be no less than 2.0 to 1.

Compliance as of Calculation Date:                       Yes ______                      No ______

  

E-3

  

Exhibit F

 

The Empire District Electric Company

 

Existing Liens

 

 

None

 

  

F-1

  

Table of Contents

Page

	
SECTION 1.

	
Definitions.

	
1

	
1.1.

	
Certain Definitions

	
1

	
1.2.

	
Interpretation

	
7

	
SECTION 2.

	
The Revolving Credit.

	
8

	
2.1.

	
Loans.

	
8

	
2.2.

	
Revolving Credit Commitments

	
8

	
2.3.

	
Procedure For Borrowing on Revolving Credit Notes

	
9

	
SECTION 3.

	
Interest.

	
10

	
3.1.

	
Elections

	
10

	
3.2.

	
ABR Portions

	
10

	
3.3.

	
LIBOR Portions

	
10

	
3.4.

	
Swingline Loans

	
11

	
3.5.

	
Computation

	
11

	
3.6.

	
Minimum Amounts

	
11

	
3.7.

	
Manner of Rate Selection

	
11

	
3.8.

	
Lawful Rate

	
11

	
3.9.

	
Pricing Schedule

	
12

	
SECTION 4.

	
Fees, Prepayments, Terminations and Application of Payments.

	
12

	
4.1.

	
Facility Fee

	
12

	
4.2.

	
Upfront Fee

	
12

	
4.3.

	
Agent’s Fee

	
13

	
4.4.

	
Prepayments.

	
13

	
4.5.

	
Credit Reductions

	
13

	
4.6.

	
Place and Application of Payments

	
13

	
4.7.

	
Capital Adequacy

	
14

	
SECTION 5.

	
Conditions Precedent.

	
14

	
5.1.

	
Initial Extension of Credit

	
14

	
5.2.

	
Each Extension of Credit Under a Revolving Credit Note

	
15

	
SECTION 6.

	
Representations and Warranties.

	
15

	
6.1.

	
Organization and Qualification

	
15

	
6.2.

	
Subsidiaries

	
15

	
6.3.

	
Financial Reports

	
16

	
6.4.

	
No Material Adverse Change

	
16

	
6.5.

	
Litigation; Tax Returns; Approvals

	
16

	
6.6.

	
Regulation U

	
16

	
6.7.

	
No Default

	
16

	
6.8.

	
ERISA

	
16

	
6.9.

	
Full Disclosure

	
16

	
6.10.

	
Corporate Authority and Validity of Obligations

	
17

	
6.11.

	
No Default Under Other Agreements

	
17

	
6.12.

	
Status Under Certain Laws

	
17

	
6.13.

	
Compliance with Laws

	
17

	
6.14.

	
Ownership of Property

	
17

	
6.15.

	
Solvency

	
17

	
6.16.

	
Pari Passu

	
18

	
SECTION 7.

	
Covenants.

	
18

	
7.1.

	
Maintenance of Property

	
18

  

i

  

Table of Contents

(continued)

Page

	
7.2.

	
Taxes

	
18

	
7.3.

	
Maintenance of Insurance

	
18

	
7.4.

	
Financial Reports

	
18

	
7.5.

	
Inspection

	
19

	
7.6.

	
Consolidation, Merger and Sale of Assets

	
19

	
7.7.

	
Liens

	
19

	
7.8.

	
Notice of Suit or Material Adverse Change in Business or Default

	
21

	
7.9.

	
ERISA

	
21

	
7.10.

	
Use of Proceeds

	
21

	
7.11.

	
Compliance with Laws

	
21

	
7.12.

	
Fiscal Year

	
21

	
7.13.

	
Maintenance of Existence

	
21

	
7.14.

	
Maximum Total Indebtedness to Total Capitalization Ratio

	
21

	
7.15.

	
Minimum Interest Coverage Ratio

	
22

	
7.16.

	
Acquisitions

	
22

	
7.17.

	
Patriot Act

	
22

	
SECTION 8.

	
Events of Default and Remedies.

	
22

	
8.1.

	
Events of Default

	
22

	
8.2.

	
Remedies for Non-Bankruptcy Defaults

	
24

	
8.3.

	
Remedies for Bankruptcy Defaults

	
24

	
SECTION 9.

	
Change in Circumstances Regarding LIBOR Portions.

	
24

	
9.1.

	
Change of Law

	
24

	
9.2.

	
Unavailability of Deposits or Inability to Ascertain the Adjusted LIBOR Rate

	
24

	
9.3.

	
Taxes and Increased Costs

	
25

	
9.4.

	
Funding Indemnity

	
26

	
9.5.

	
Discretion of Bank as to Manner of Funding

	
26

	
SECTION 10.

	
The Administrative Agent.

	
26

	
10.1.

	
Appointment and Powers

	
26

	
10.2.

	
Powers

	
26

	
10.3.

	
General Immunity

	
27

	
10.4.

	
No Responsibility for Loans, Recitals, etc

	
27

	
10.5.

	
Right to Indemnity

	
27

	
10.6.

	
Action Upon Instructions of Required Banks

	
27

	
10.7.

	
Employment of Agents and Counsel

	
27

	
10.8.

	
Reliance on Documents; Counsel

	
27

	
10.9.

	
May Treat Payee as Owner

	
27

	
10.10.

	
Agent’s Reimbursement

	
28

	
10.11.

	
Rights as a Bank

	
28

	
10.12.

	
Bank Credit Decision

	
28

	
10.13.

	
Resignation of Agent

	
28

	
10.14.

	
Duration of Agency

	
28

	
SECTION 11.

	
Miscellaneous.

	
29

	
11.1.

	
Amendments and Waivers

	
29

	
11.2.

	
Waiver of Rights

	
29

	
11.3.

	
Several Obligations

	
29

	
11.4.

	
Non-Business Day

	
30

	
11.5.

	
Documentary Taxes

	
30

	
11.6.

	
Representations

	
30

	
11.7.

	
Notices

	
30

  

ii

  

Table of Contents

(continued)

Page

	
11.8.

	
Costs and Expenses; Indemnity

	
30

	
11.9.

	
Counterparts

	
31

	
11.10.

	
Successors and Assigns; Governing Law; Entire Agreement

	
31

	
11.11.

	
No Joint Venture

	
31

	
11.12.

	
Severability

	
31

	
11.13.

	
Table of Contents and Headings

	
31

	
11.14.

	
Sharing of Payments

	
31

	
11.15.

	
Jurisdiction; Venue; Waiver of Jury Trial

	
31

	
11.16.

	
Participants

	
32

	
11.17.

	
Assignment Agreements.

	
32

	
11.18.

	
Withholding Taxes.

	
33

	
11.19.

	
Confidentiality

	
35

	
11.20.

	
Register

	
35

	
11.21.

	
SPCs

	
35

	
11.22.

	
Facsimile Signatures

	
36

	
11.23.

	
Defaulting Bank

	
36

	
11.24.

	
THIS SECTION IS MADE PART OF THIS AGREEMENT IN COMPLIANCE WITH MO. REV. STAT. SECTION 432.047

	
36

 

EXHIBITS

 

	
A-1

	
Revolving Credit Note

	
A-2

	
Swingline Note

	
B

	
Pricing Schedule

	
C

	
Subsidiaries of the Company

	
D-1

	
Kansas Counsel’s Opinion Letter

	
D-2

	
Missouri Counsel’s Opinion Letter

	
E

	
Quarterly Compliance Certificate

	
F

	
Existing Liens

 

iii

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