Document:

Exhibit 10.31

 

CONFIDENTIAL
TREATMENT HAS BEEN REQUESTED FOR THE REDACTED PORTIONS OF THIS AGREEMENT. THE
REDACTIONS ARE INDICATED WITH FIVE ASTERISKS (“*****”). A COMPLETE VERSION OF
THIS AGREEMENT HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION.

 

UNIT REDEMPTION AGREEMENT

 

This
Unit Redemption Agreement, dated
as of April 28, 2006, is by and between UPC Wind Partners II, LLC (“UPC Holding”)  and UPC Wind
Partners, LLC (the “Company”),  each a Delaware limited
liability company.

 

UPC
Holding is the owner of 51,000,000 Series A Units of the Company. The
Company and UPC Holding desire that the Company redeem 42,972,114 Series A
Units (the  “Redeemed Units”)  upon the terms
and subject to the conditions of this Agreement.

 

Accordingly,
the parties agree as follows:

 

ARTICLE I. REDEMPTION OF THE REDEEMED UNITS.

 

Section 1.1             Sale of Redeemed Units.  Simultaneously with the execution and delivery of this Agreement,
UPC Holding shall, and hereby does sell, convey, assign, transfer, deliver, set
over to and vest in the Company, its successors and assigns, all of UPC
Holding’s right, title and interest, legal and equitable, in and to the
Redeemed Units free and clear of all Liens (as defined in Section 2.3).

 

Section 1.2             Delivery of Redeemed Units.  The Redeemed
Units are uncertificated, and the execution and delivery of this Agreement by
each of the parties thereto, together with the appropriate actions by the
officers of the Company to reflect the redemption on the books of the Company,
shall be sufficient to effect UPC Holding’s delivery, and the Company’s receipt
of and title to, of the Redeemed Units.

 

Section 1.3             Redemption Price for Redeemed Units.  As consideration for the transaction described in Section 1.1,
the Company shall make payments to UPC Holdings as follows: (1) $32,972,114
in cash, paid concurrently with the execution and delivery of this Agreement,
and (ii) one or more future cash payments (the “Contingent Payments”),  which shall be payable
(without duplication) no later than 30 days after the date the commercial
operation date certificate (a “COD Certificate”) is executed with respect to
any wind power project listed on Schedule 1 or any other
wind power project developed by, contributed to or acquired by the Company
after the date hereof (which shall not include the wind power project in Mars
Hill, Maine or operated by Kaheawa Wind Power, LLC) (each a “Development Project”),  in amounts equal to $*****
per megawatt of installed capacity at such Development Project as reflected in
such COD Certificate; provided, that the aggregate amount of such Contingent Payments shall not exceed $10,000,000.
The amounts payable hereunder shall be payable by the Company to UPC Holding, at the election of UPC
Holding, by check or by wire transfer to an account designated by UPC Holding.

 

ARTICLE II. REPRESENTATIONS AND WARRANTIES OF UPC HOLDING

 

UPC
Holding represents and warrants as of the date hereof to the Company as
follows:

 

Section 2.1             Organization,
Power and Authority.  UPC Holding is
a limited liability company duly formed, validly existing and in good standing
under the laws of the jurisdiction of its formation and has all requisite
limited liability company power and authority to execute and

 

 

deliver
this Agreement and to perform its obligations hereunder, and the execution,
delivery and performance by UPC Holding of this Agreement have been duly
authorized by all necessary action. The persons party to the Non-Competition
Agreement attached as Exhibit A hereto constitute all of the persons holding
a direct, indirect, legal and/or beneficial ownership interest in equity of UPC
Holding.

 

Section 2.2             Authorization.  UPC Holding
has all requisite limited liability company power and authority to execute and
deliver this Agreement and to carry out the provisions of this Agreement. All
limited liability company action on the part of UPC Holding and its officers,
managers and members necessary for the authorization, execution and delivery of
this Agreement, and the performance of all obligations of UPC Holding
hereunder, has been taken. This Agreement has been duly and validly executed
and delivered and constitutes, assuming this Agreement has been duly
authorized, executed and delivered by the other party hereto, valid and legally
binding obligations of UPC Holding, enforceable in accordance with its terms
except (i) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium and other
Laws of general application affecting enforcement of creditors’ rights
generally and (ii) as limited by Laws
relating to the availability of specific
performance, injunctive relief or other equitable remedies. “Law” means any
applicable constitutional provisions, statute, act, code, common law,
regulation, rule, ordinance, order, decree, ruling, proclamation, resolution,
judgment, decision, declaration, or interpretation or advisory opinion or
letter of a domestic, foreign or international governmental authority.

 

Section 2.3             No Conflicts.  The execution, delivery
and performance by UPC Holding of this Agreement and the transactions
contemplated hereby will not (a) conflict with or result in, with or
without the passage of time or giving of notice or both, any breach,
default or loss of rights under, or
acceleration of, or give rise to any right of termination, rescission,
acceleration or modification under, any mortgage, indenture, contract, lease,
agreement, charter document (including the Limited Liability Company Agreement of
UPC Holding), instrument, judgment,
decree, order, writ, statute, rule or regulation, license or permit or
(b) result in the creation of any Liens upon any of the properties or assets of
UPC Holding. “Lien”  means (i) any lien, hypothecation, pledge, collateral assignment,
security interest, charge or encumbrance of any kind, whether such
interest is based on the common law, statute or contract, and whether such
obligation or claim is fixed or contingent (including any agreement to give any
of the foregoing) and any option, trust or other preferential arrangement
having the practical effect of any of the foregoing and (ii) any purchase
option, right of first refusal, call or similar right of a third party.

 

Section 2.4             Redeemed Units.  UPC Holding is the record and beneficial
owner of the Redeemed Units. The Redeemed Units are UPC Holding’s only
membership interest of any nature in the Company. The transfer to the
Company by UPC Holding of the Redeemed Units in accordance with this Agreement
will pass to the Company good and marketable title to the Redeemed Units, and
all other incidents of record and beneficial ownership pertaining thereto, free
and clear of any Liens. None of the Redeemed Units is subject to any voting
trust or other contract, agreement,
arrangement, commitment or understanding, written or oral, restricting or otherwise relating to the
voting or disposition of the Redeemed Units, other than this Agreement and the
Limited Liability Company Agreement of the Company. No proxies or powers of
attorney have been granted with respect to the Redeemed Units. Except as
contemplated herein, there are no outstanding warrants, options, agreements,
convertible or exchangeable securities or

 

2

 

other
commitments pursuant to which UPC Holding is or may become obligated to sell any of the Redeemed Units.

 

Section 2.5             Litigation.  There is no
action, suit, claim, proceeding, investigation or other legal, administrative
or arbitrational proceeding pending or, to the knowledge of UPC Holding,
threatened against UPC Holding or its affiliates, or against any officer,
manager or director of UPC Holding or its affiliates nor, to the knowledge of
UPC Holding, has there occurred any event nor does there exist any condition on
the basis of which any material litigation, proceeding or investigation might
properly be instituted, in each case related to the transactions contemplated
hereby. Neither UPC Holding nor any of its affiliates is a party or subject to
any order, writ, injunction, judgment or decree of any court or government
agency or instrumentality relating to the transactions contemplated hereby.

 

Section 2.6             Governmental Authorizations.  No consent,
approval, order or authorization of, or registration, qualification,
designation, declaration or filing with, any Governmental Authority is required
on the part of UPC Holding or any of its affiliates in connection with the
execution, delivery and performance by UPC Holding of this Agreement. “Governmental Authority” means
any federal, state, local or foreign government or any court, arbitral tribunal,
administrative or regulatory agency, or other governmental authority, agency or
instrumentality.

 

Section 2.7             Acknowledgement.  UPC Holding
acknowledges that it has made its own analysis of the fairness of the
transactions contemplated hereby and has not relied on any advice or
recommendation by the Company or its members, managers, officers or affiliates
with respect to its decision to enter into this Agreement and to consummate the
transactions contemplated hereby. UPC Holding has had sufficient opportunity to
investigate and review the business, management and financial affairs of the
Company, and has had sufficient access to management of the Company, before its
decision to enter into this Agreement. UPC Holding acknowledges that, in
connection with its entry into this Agreement
and consummation of the transactions contemplated hereby, (i) UPC
Holding has not relied on any representations or warranties of the Company, or
any member, manager, officer, affiliate or representative of the Company,
except for the representations or warranties of the Company set forth in Article III
and (ii) UPC Holding has made an independent decision to sell its Redeemed
Units pursuant to this Agreement.

 

ARTICLE III. REPRESENTATIONS AND
WARRANTIES OF THE COMPANY. 

 

The
Company represents and warrants to UPC Holding as of the date hereof as
follows:

 

Section 3.1             Organization, Power and Authority.  The Company is a limited liability company duly formed, validly
existing and in good standing under the laws of the jurisdiction of its
formation and has all requisite limited liability company power and authority
to execute and deliver this Agreement and to perform its obligations hereunder, and the execution, delivery and
performance by the Company of this Agreement have been duly authorized by all
necessary action.

 

Section 3.2             Authorization.  The
Company has all requisite limited liability company power and authority to
execute and deliver this Agreement and to carry out the provisions of this

 

3

 

Agreement.
All limited liability company action on the part of the Company and its
officers, managers and members necessary for the authorization, execution and
delivery of this Agreement, and the performance of all obligations of the Company
hereunder, has been taken. This Agreement has been duly and validly executed
and delivered and constitutes, assuming this Agreement has been duly
authorized, executed and delivered by the other party hereto, valid and legally
binding obligations of the Company, enforceable in accordance with its terms
except (i) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium and other Laws of general application affecting
enforcement of creditors’ rights generally and (ii) as limited by Laws
relating to the availability of specific performance, injunctive relief or
other equitable remedies.

 

ARTICLE IV. SIMULTANEOUS DELIVERIES.

 

Section 4.1             Deliveries of UPC Holding.  UPC Holding shall deliver
the following  documents to the
Company concurrently with the effectiveness of this Agreement:

 

(a)           Secretary’s Certificate.  A
certificate, in form and substance reasonably satisfactory to the Company,
executed by an appropriate officer of UPC Holding and dated as of the date
hereof, certifying as to the incumbency of the officer executing this Agreement
and the other documents contemplated hereby on its behalf and as to the
authenticity of his or her signature, as to the correctness and accuracy of the
representations of UPC Holding contained in this Agreement as of the date
hereof, and as to the accuracy and completeness of the copies of the
authorizing resolutions and the limited liability company documents of UPC
Holding that shall be attached to such certificate.

 

(b)           Good Standing Certificate.  A certificate
of the Delaware Secretary of State, dated not more than 5 days prior to the
date hereof, as to the existence and good standing of such entity of UPC
Holding.

 

(c)           Non-Competition Agreement.  A fully
executed Non-Competition Agreement in the form attached hereto as Exhibit A
from UPC Holding and the other parties listed therein.

 

Section 4.2             Deliveries of the Company.  The Company
shall deliver the following documents to UPC Holding concurrently with the
effectiveness of this Agreement:

 

(a)           Secretary’s Certificate.  A certificate,
in form and substance reasonably satisfactory to UPC Holding, executed by an
appropriate officer of the Company and dated as of the date hereof, certifying
as to the incumbency of the officer executing this Agreement and the other
documents contemplated hereby on its behalf and as to the authenticity of his
or her signature, as to the correctness and accuracy of the representations of
the Company contained in this Agreement as of the date hereof, and as to the
accuracy and completeness of the copies of the authorizing resolutions and the
limited liability company documents of the Company that shall be attached to
such certificate.

 

(b)           Good Standing Certificate.  A certificate of the Delaware Secretary of State, dated not more than 5 days
prior to the date hereof, as to the
existence and good standing of such entity of the Company.

 

4

 

ARTICLE V. INDEMNIFICATION.

 

Section 5.1             Indemnification by the Company.  UPC Holding
shall indemnify the Company, its affiliates, members (other than UPC Holding),
managers, officers, subsidiaries and successors from, against, for and in
respect of all damages, losses, obligations, liabilities, claims, actions and
reasonable costs and expenses (including, without limitation, reasonable
attorneys’, accountants’ and other professional fees and expenses) sustained,
suffered or incurred by the Company or any of its affiliates (other than UPC
Holding), members, managers, officers, subsidiaries or successors, as a result
of a breach by UPC Holding of any representation, warranty or agreement of UPC
Holding pursuant to or contained in this Agreement.

 

Section 5.2             Indemnification of UPC Holding.  The Company shall indemnify each of UPC Holding,
and its affiliates (other than the Company and the Company’s subsidiaries) and
successors, from, and against, for and in respect of all damages, losses,
obligations, liabilities, claims, actions, and reasonable costs and expenses
(including, without limitation, reasonable attorneys’, accountants’ and other
professional fees and expenses) sustained, suffered or incurred by UPC Holding, or any of its
affiliates (other than the Company and the Company’s subsidiaries) or
successors, as a result of a breach of any representation, warranty or
agreement of the Company contained in or made pursuant to this Agreement.

 

Section 5.3             Survival.  All representations and warranties contained in this Agreement shall
survive the execution and delivery of this
Agreement.

 

Section 5.4             Remedies Cumulative.  The remedies
provided for in this Article V shall be cumulative and shall not preclude
assertion by the indemnified parties of any other rights or the seeking of any
other remedies against the indemnifying parties.

 

ARTICLE VI. MISCELLANEOUS.

 

Section 6.1             No Third-Party Beneficiaries.  Except as provided in Sections 5.1 and 5.2, nothing
expressed or mentioned in this Agreement is intended or shall be construed to
give any person other than the parties hereto and their respective heirs, permitted
successors, permitted assigns or legal representatives any legal or equitable
right, remedy or claim under, in or in respect of this Agreement or any
provision herein contained, except to the extent expressly provided in this
Agreement.

 

Section 6.2             Amendment; Waiver.  This Agreement
may not be amended, modified, supplemented, or restated, nor may any provision
of this Agreement be waived, other than through a written instrument adopted,
executed and agreed to by the parties hereto.

 

Section 6.3             Further Assurances.  In connection
with this Agreement and the
transactions contemplated hereby, the Company and UPC Holding shall execute and
deliver all such future instruments and take such further action as may be
reasonably necessary or appropriate to carry out the provisions of this
Agreement and the intention of the parties.

 

Section 6.4             Notices.  All notices,
claims, certificates, requests, demands and other communications hereunder
shall be in writing and shall be deemed to have been duly given if personally
delivered or if sent by nationally recognized overnight courier, by telecopy,
or by

 

5

 

registered or certified mail, return receipt
requested and postage prepaid, addressed to the address that any such party may
designate by written notice to the other party): 

 

Section 6.5             Entire
Agreement; Supersede.  This Agreement, and any other
writings referred to herein or delivered pursuant hereto, constitutes the
entire agreement between the parties hereto with respect to the subject matter
hereof and supersedes all prior contracts, agreements and understandings,
whether oral or written, between the parties with respect to the subject matter
hereof.

 

Section 6.6             Governing
Law.  THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF DELAWARE, WITHOUT REGARD
TO THE CONFLICTS OF LAW PRINCIPLES OF SUCH STATE.

 

Section 6.7             Headings.  The
descriptive headings used herein are inserted for convenience of reference
only, do not constitute a part of this Agreement, and shall not affect in any
manner the meaning or interpretation of this Agreement. 

 

Section 6.8             Counterparts.  This
Agreement may be executed in any number of counterparts (including facsimile
counterparts), all of which together shall constitute a single instrument.

 

[signature
page follows]

 

6

 

IN WITNESS WHEREOF, UPC
Holding and the Company have duly executed this Agreement as of the date first
written above.

 

	
   

  	
  UPC HOLDING:

  
	
   

  	
  UPC WIND PARTNERS II, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Peter Gish

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  THE
  COMPANY:

  
	
   

  	
  UPC
  WIND PARTNERS, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Peter Gish

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

 

Schedule 1

Existing Development Projects

 

UPC Wind Partners, LLC

Existing Development Projects

 

UNITED STATES

 

	
  Project

  	
   

  	
  MW

  	
   

  	
  State

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  Kaheawa
  II

  	
   

  	
  20

  	
   

  	
  HI

  
	
  Kaheawa
  III

  	
   

  	
  20

  	
   

  	
  HI

  
	
  North
  Shore

  	
   

  	
  30

  	
   

  	
  HI

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  Lanai/Molokai

  	
   

  	
  200

  	
   

  	
  HI

  
	
  Oakfield

  	
   

  	
  75

  	
   

  	
  ME

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  Stetson
  Mountain

  	
   

  	
  75

  	
   

  	
  ME

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  Prattsburgh

  	
   

  	
  75

  	
   

  	
  NY

  
	
  Cohocton

  	
   

  	
  82

  	
   

  	
  NY

  
	
  Cohocton
  II

  	
   

  	
  42

  	
   

  	
  NY

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  Milford

  	
   

  	
  200

  	
   

  	
  UT

  
	
  Milford
  Wind II

  	
   

  	
  200

  	
   

  	
  UT

  
	
  Sheffield

  	
   

  	
  52

  	
   

  	
  VT

  
	
  Windham

  	
   

  	
  50

  	
   

  	
  VT

  

 

 

CANADA

 

	
  Project

  	
   

  	
  MW

  	
   

  	
  Province

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Garvie
  Mountain

  	
   

  	
  30

  	
   

  	
  NB

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  
	
  *****

  	
   

  	
  *****

  	
   

  	
  *****

  

 

 

Exhibit A

Form of Non-Competition Agreement

 

 

[See Tab 17]Exhibit 10.32

 

EXECUTION COPY

 

CONFIDENTIAL
TREATMENT HAS BEEN REQUESTED FOR THE REDACTED PORTIONS OF THIS AGREEMENT. THE
REDACTIONS ARE INDICATED WITH FIVE ASTERISKS (“*****”). A COMPLETE VERSION OF
THIS AGREEMENT HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION.

 

AMENDMENT AGREEMENT TO

UNIT REDEMPTION AGREEMENT

a Delaware limited liability company

 

This
Amendment (the “Amendment”),
dated December 12, 2008 (the “Amendment Effective Date”), of that certain
Unit Redemption Agreement (the “Unit Redemption Agreement”), dated April 28, 2006,
is by and between First Wind Holdings, LLC (formerly UPC Wind Partners, LLC and
referred to herein as the “Company”)
and UPC Wind Partners II, LLC (“UPC Holding”). Capitalized terms used, and not otherwise
defined in this Amendment, shall have the meaning assigned to them in the Unit
Redemption Agreement, or the LLC Agreement, as applicable.

 

WHEREAS,
on the date hereof, the Company, First Wind Acquisition, LLC, First Wind
Acquisition IV, LLC, D. E. Shaw MWP Acquisition Holdings, L.L.C., Madison
Dearborn Capital Partners IV, L.P., and HSH Nordbank AG, New York Branch have
entered into an Omnibus Agreement regarding the modification of certain
financing agreements of the Company (the “Omnibus Agreement”);

 

WHEREAS,
on the date hereof, the Company’s Third Amended and Restated Limited Liability
Company Operating Agreement, as amended (the “LLC Agreement”) is being further
amended in connection with the transactions contemplated by the Omnibus
Agreement; and

 

WHEREAS,
in contemplation of the additional equity contributions which are being made to
the Company on the date hereof by members other than UPC Holding and the other
transactions and agreements contemplated by the Omnibus Agreement, the Company
and UPC Holding wish to amend the Unit Redemption Agreement to change the terms
relating to Contingent Payments and to set forth certain other agreements, in
each case as provided herein.

 

NOW,
THEREFORE, for good and valuable consideration, the receipt and adequacy of
which are hereby expressly acknowledged, the parties hereto hereby agree as
follows:

 

ARTICLE I

AMENDMENTS TO THE UNIT REDEMPTION AGREEMENT

 

Section 1.1
            Amendment to Section 1.3.

 

Section 1.3
of the Unit Redemption Agreement is hereby amended and restated in its entirety
to read as follows:

 

“Section 1.3
          Redemption Price for Redeemed Units.

 

(a)           As consideration for
the transaction described in Section 1.1, the Company has or shall pay the
following consideration to UPC Holdings: (i) $32,972,114 in cash, which
UPC Holding acknowledges was previously paid concurrently with the execution
and delivery of the Unit Redemption Agreement on April 28, 2006, (ii) on
the earlier of (A) February 15, 2009 and (B) Stage 2 Effective
Date, as such term is defined in the Omnibus Agreement (the “Restructuring Closing Date”),
a cash payment of $1,000,000 in connection with the Steel Winds Project, and (iii) additional
consideration

 

1

 

(the “Contingent Payments”),
which shall be payable (without duplication) no later than 30 days after the
date the commercial operation date certificate (a “COD Certificate”) is
executed with respect to any wind power project listed on Schedule 1 or
any other wind power project developed by, contributed to or acquired by the
Company after the date of the Unit Redemption Agreement (which shall not
include the wind power project in Mars Hill, Maine or operated by Kaheawa Wind
Power, LLC or the Steel Winds Project) (each a “Development Project”), in amounts equal
to (i) $***** per megawatt of installed capacity at such Development
Project as reflected in such COD Certificate, in cash (the “Contingent  Cash Payments”); and (ii) $*****
per megawatt of installed capacity at such Development Project as reflected in
such COD Certificate, in Series A-1 Units of the Company, at $1.00 per Series A-1
Unit, issued pursuant to the terms and conditions of the LLC Agreement (the “Contingent  Stock Payments”), provided,
that the aggregate amount of such Contingent Cash Payments shall not
exceed (i) $4,500,000, and (ii) the aggregate amount of such
Contingent Stock Payments shall not exceed $4,500,000, and provided, further,
that the Contingent Cash Payments shall be due and payable only if, and to the
extent that, a Release Event occurs. “Release Event” means the occurrence of
all of the following: (i) the Stage 2 Effective Date, (ii) the
closing of the limited or non-recourse project financing for the Milford Phase
I Project, as such term is defined in the Omnibus Agreement, in an aggregate
principal amount not less than $325,000,000 or any sale, transfer,
hypothecation, pledge or other disposal in respect of the Milford Phase I
Project resulting in gross proceeds of $325,000,000 or more, and in either
event, and the repayment in full of the corresponding turbine loans under the
FWA Note, as such term is defined in the Omnibus Agreement, and FWA IV Note, as
such term is defined in the Omnibus Agreement, as applicable; (iii) any
sale, transfer, hypothecation, pledge or other disposal in respect of either
the Stetson I Project, as such term is defined in the Omnibus Agreement, or the
Cohocton Project, as such term is defined in the Omnibus Agreement, or the
closing of tax equity and back-leveraged financing for either the Stetson I
Project or the Cohocton Project, and in either event, and the repayment in full
of the corresponding turbine loans under the FWA Note and FWA III Note, as such
term is defined in the Omnibus Agreement, as applicable; and (iv) the
closing of one or more equity or debt (junior to HSHN in all respects)
financings of the Company resulting in gross proceeds of $100,000,000 or more
in the aggregate from Third Parties, excluding the contributions being made by
the Sponsors described in the Omnibus Agreement; provided, for clauses (ii) —
(iv) above, that all net proceeds of such sale, project financing, or
equity or junior debt financing are (x) received by the Company and (y) deposited
into accounts of the Company subject to lien granted by the Security
Agreements, as such term is defined in the Omnibus Agreement. “Third Parties”
means any person other than the Sponsors or their respective affiliates; and provided further,
for purposes of this Agreement and without limitation of the foregoing, a
Release Event also will be deemed to have occurred if and when (A) all
obligations outstanding under the FWA Note, the FWA IV Note, and the Holdings
Loan Agreement, as defined in the Omnibus Agreement, are paid in full or waived
or (B) D. E. Shaw MWP Acquisition Holdings, L.L.C. and Madison Dearborn
Capital Partners IV, L.P. have transferred to a Third Party such number of
Units such that, in the aggregate, they cease to own at least 50% of the number
of Units owned by them as of the Amendment Effective Date.

 

2

 

(b)           Contingent Cash
Payments to which UPC Holding may become entitled after the occurrence of a
Release Event will be made, without interest, five Business Days after the
occurrence of such Release Event.

 

(c)           The Contingent
Cash Payments payable hereunder shall be payable by the Company to UPC Holding,
at the election of UPC Holding, by check or by wire transfer to an account
designated by UPC Holding.”

 

ARTICLE II

REPRESENTATIONS AND WARRANTIES OF UPC HOLDING

 

UPC
Holding represents and warrants as of the Amendment Effective Date to the
Company as follows:

 

Section 2.1
            Organization, Power and Authority. UPC Holding is a
limited liability company duly formed, validly existing and in good standing
under the laws of the jurisdiction of its formation and has all requisite
limited liability company power and authority to execute and deliver this
Amendment and to perform its obligations hereunder, and the execution, delivery
and performance by UPC Holding of this Amendment have been duly authorized by
all necessary action.

 

Section 2.2
            Authorization. UPC Holding has all requisite limited
liability company power and authority to execute and deliver this Amendment and
to carry out the provisions of this Amendment. All limited liability company
action on the part of UPC Holding and its officers, managers and members
necessary for the authorization, execution and delivery of this Amendment, and
the performance of all obligations of UPC Holding hereunder, has been taken.
This Amendment has been duly and validly executed and delivered and
constitutes, assuming this Amendment has been duly authorized, executed and
delivered by the other party hereto, valid and legally binding obligations of
UPC Holding, enforceable in accordance with its terms except (i) as
limited by applicable bankruptcy, insolvency, reorganization, moratorium and
other Laws of general application affecting enforcement of creditors’ rights
generally and (ii) as limited by Laws relating to the availability of
specific performance, injunctive relief or other equitable remedies.

 

Section 2.3
            No Conflicts. The execution, delivery and performance by
UPC Holding of this Amendment and the transactions contemplated hereby will not
(a) conflict with or result in, with or without the passage of time or
giving of notice or both, any breach, default or loss of rights under, or
acceleration of, or give rise to any right of termination, rescission,
acceleration or modification under, any mortgage, indenture, contract, lease,
agreement, charter document (including the Limited Liability Company Agreement
of UPC Holding), instrument, judgment, decree, order, writ, statute, rule or
regulation, license or permit or (b) result in the creation of any Liens
upon any of the properties or assets of UPC Holding.

 

Section 2.4
            Litigation. There is no action, suit, claim, proceeding,
investigation or other legal, administrative or arbitrational proceeding
pending or, to the knowledge of UPC Holding, threatened against UPC Holding or
its affiliates, or against any officer, manager or director of UPC Holding or
its affiliates nor, to the knowledge of UPC Holding, has there

 

3

 

occurred any event nor does
there exist any condition on the basis of which any material litigation,
proceeding or investigation might properly be instituted, in each case related
to the transactions contemplated hereby. Neither UPC Holding nor any of its
affiliates is a party or subject to any order, writ, injunction, judgment or
decree of any court or government agency or instrumentality relating to the
transactions contemplated hereby.

 

Section 2.5
            Acknowledgement. UPC Holding acknowledges that it has made
its own analysis of the fairness of the transactions contemplated hereby and
has not relied on any advice or recommendation by the Company or its members,
managers, officers or affiliates with respect to its decision to enter into
this Amendment and to consummate the transactions contemplated hereby. UPC
Holding has had sufficient opportunity to investigate and review the business,
management and financial affairs of the Company, and has had sufficient access
to management of the Company, before its decision to enter into this Amendment.
UPC Holding acknowledges that, in connection with its entry into this Amendment
and consummation of the transactions contemplated hereby, (i) UPC Holding
has not relied on any representations or warranties of the Company, or any
member, manager, officer, affiliate or representative of the Company, except
for the representations or warranties of the Company set forth in Article III
and (ii) UPC Holding has made an independent decision regarding the
agreements set forth herein.

 

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF THE COMPANY.

 

The
Company represents and warrants to UPC Holding as of the Amendment Effective
Date as follows:

 

Section 3.1
            Organization, Power and Authority. The Company is a
limited liability company duly formed, validly existing and in good standing
under the laws of the jurisdiction of its formation and has all requisite
limited liability company power and authority to execute and deliver this
Amendment and to perform its obligations hereunder, and the execution, delivery
and performance by the Company of this Amendment have been duly authorized by
all necessary action.

 

Section 3.2
            Authorization. The Company has all requisite limited
liability company power and authority to execute and deliver this Amendment and
to carry out the provisions of this Amendment. All limited liability company
action on the part of the Company and its officers, managers and members
necessary for the authorization, execution and delivery of this Amendment, and
the performance of all obligations of the Company hereunder, has been taken. This
Amendment has been duly and validly executed and delivered and constitutes,
assuming this Amendment has been duly authorized, executed and delivered by the
other party hereto, valid and legally binding obligations of the Company,
enforceable in accordance with its terms except (i) as limited by
applicable bankruptcy, insolvency, reorganization, moratorium and other Laws of
general application affecting enforcement of creditors’ rights generally and (ii) as
limited by Laws relating to the availability of specific performance,
injunctive relief or other equitable remedies.

 

Section 3.3
            No Conflicts. The execution, delivery and performance by
the Company of this Amendment and the transactions contemplated hereby will not
(a) conflict with or result

 

4

 

in, with or without the
passage of time or giving of notice or both, any breach, default or loss of
rights under, or acceleration of, or give rise to any right of termination,
rescission, acceleration or modification under, any mortgage, indenture,
contract, lease, agreement, charter document (including the LLC Agreement),
instrument, judgment, decree, order, writ, statute, rule or regulation,
license or permit or (b) result in the creation of any Liens upon any of
the properties or assets of the Company.

 

Section 3.4
            Litigation. There is no action, suit, claim, proceeding,
investigation or other legal, administrative or arbitrational proceeding
pending or, to the knowledge of the Company, threatened against the Company or
its affiliates, or against any officer, manager or director of the Company or
its affiliates nor, to the knowledge of the Company, has there occurred any
event nor does there exist any condition on the basis of which any material
litigation, proceeding or investigation might properly be instituted, in each
case related to the transactions contemplated hereby. Neither the Company nor
any of its affiliates is a party or subject to any order, writ, injunction,
judgment or decree of any court or government agency or instrumentality
relating to the transactions contemplated hereby.

 

Section 3.5
            Acknowledgement. The Company acknowledges that it has made
its own analysis of the fairness of the transactions contemplated hereby with
respect to its decision to enter into this Amendment and to consummate the
transactions contemplated hereby. The Company acknowledges that, in connection
with its entry into this Amendment and consummation of the transactions
contemplated hereby, (i) the Company has not relied on any representations
or warranties of UPC Holding, or any member, manager, officer, affiliate or
representative of UPC Holding, except for the representations or warranties of
UPC Holding set forth in Article II and (ii) the Company has made an
independent decision regarding the agreements set forth herein.

 

ARTICLE IV

SURVIVAL AND REMEDIES

 

Section 4.1
            Survival. All representations and warranties contained in
this Amendment shall survive the execution and delivery hereof.

 

Section 4.2
            Remedies Cumulative. The remedies provided for in this Article IV
shall be cumulative and shall not preclude assertion by the indemnified parties
of any other rights or the seeking of any other remedies against the
indemnifying parties.

 

ARTICLE V

MISCELLANEOUS

 

Section 5.1
            Guaranty Acknowledgement. UPC Holding acknowledges and
agrees that (i) it is party to that certain Guaranty Agreement, dated October 17,
2007, by and among D. E. Shaw MWP Acquisition Holdings, L.L.C., Madison
Dearborn Capital Partners IV, L.P., and UPC Holding in favor of HSH Nordbank
AG, New York Branch, as the same has been amended, modified, supplemented or
waived from time to time (the “Prior Guaranty”), (ii) its execution and delivery
of this Agreement shall, for all purposes of the Prior Guaranty, constitute its
written consent to the amendment and restatement of the Prior Guaranty by that
certain

 

5

 

Amended and Restated
Guaranty, dated as of the date hereof, by and among D. E. Shaw MWP Acquisition
Holdings, L.L.C., Madison Dearborn Capital Partners IV, L.P., and HSH Nordbank
AG, New York Branch, (iii) its execution and delivery of this Agreement
shall constitute its written agreement to the termination of that certain side
letter, dated June 30, 2006, delivered by the Sponsors and UPC Holdings
and accepted by HSH Nordbank AG, New York Branch, the Company and UPC Wind
Acquisition, LLC, as amended by that certain Amendment to Members Letter, dated
as of May 17, 2007 and as further amended from time to time, on the terms
set forth in Section 2.01 (g) of the Omnibus Agreement and (iv) each
of D.E. Shaw MWP Acquisition Holdings, L.L.C., Madison Dearborn Capital
Partners IV, L.P., and HSH Nordbank AG, New York Branch is an express
third-party beneficiary of this written consent, entitled to rely on it as if
party hereto.

 

Section 5.2
            Unit Redemption Agreement. All of the terms and conditions
of the Unit Redemption Agreement, including the Non-Competition Agreement
referred to herein, that are not expressly amended by this Amendment shall
remain in full force and effect.

 

Section 5.3
            Conversion of Ownership. UPC Holding covenants and agrees
that upon request by the Company in connection with, and upon the closing of, a
Qualified Public Offering (as defined in the LLC Agreement), UPC Holding will
transfer all of its Units and other Membership Interests it may hold at the
time of such request in the Company directly to Paul Gaynor and Tim Rosenzweig,
pro rata to their membership interests in UPC Holding and at par value of such
Units and Membership Interests.

 

Section 5.4
            Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF DELAWARE, WITHOUT REGARD
TO THE CONFLICTS OF LAW PRINCIPLES OF SUCH STATE.

 

Section 5.5
            Counterparts. This Agreement may be executed in any number
of counterparts (including facsimile counterparts), all of which together shall
constitute a single instrument.

 

Section 5.6
            Waiver and Release. The parties hereto covenant and agree
that this Amendment is entered into to resolve any current or prior default by
either party in connection with the payment of Contingent Payments pursuant to
the Unit Redemption Agreement and such parties hereby release, discharge and
covenant not to sue each other or their respective affiliates, members,
managers, officers, subsidiaries or successors and each of their respective
affiliates in respect to any matter relating to payment or non-payment of a
Contingent Payment that has arisen in whole or in part prior to the date
hereof.

 

[Remainder of page intentionally left blank]

 

6

 

IN WITNESS WHEREOF, UPC
Holdings and the Company have executed this Agreement as of the date first set
forth above.

 

	
   

  	
  UPC WIND
  PARTNERS II, LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Brian Caffyn

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FIRST
  WIND HOLDINGS, LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Paul Gaynor

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

AMENDMENT AGREEMENT TO

UNIT REDEMPTION AGREEMENT

SIGNATURE PAGE

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00170-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00170-of-00352.parquet"}]]