Document:

ex10_2.htm

Exhibit 10.2

Execution Version 

Second Amendment

to

Amended and Restated

Second Lien Term Loan Agreement

Among

Rosetta Resources Inc.,

as Borrower,

BNP Paribas,

as Administrative Agent,

and

The Lenders Signatory Hereto

Effective as of April 5, 2010

 

  

  

  

 

Second Amendment to

Amended and Restated Second Lien Term Loan Agreement

 

This Second Amendment to Amended and Restated Second Lien Term Loan Agreement (this “Second Amendment”) executed effective as of April 5, 2010 (the “Second Amendment Effective Date”) is among Rosetta Resources Inc., a corporation formed under the laws of the State of Delaware (the “Borrower”); each of the undersigned guarantors (the “Guarantors”, and together with the Borrower, the “Obligors”); each of the Lenders that is a signatory hereto; and BNP Paribas, as administrative agent for the Lenders (in such capacity, together with its successors, the “Administrative Agent”).

 

R E C I T A L S:

 

A.           The Borrower, the Administrative Agent and the Lenders are parties to that certain Amended and Restated Second Lien Term Loan Agreement dated as of April 9, 2009, as amended by that certain First Amendment to Amended and Restated Second Lien Term Loan Agreement dated as of October 1, 2009 (as amended, the “Credit Agreement”), pursuant to which the Lenders have made certain credit available to and on behalf of the Borrower.

 

B.           The Borrower has requested and the Administrative Agent and the Majority Lenders have agreed to amend certain provisions of the Credit Agreement.

 

C.           NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

Section 1.                      Defined Terms.  Each capitalized term which is defined in the Credit Agreement, but which is not defined in this Second Amendment, shall have the meaning ascribed such term in the Credit Agreement.  Unless otherwise indicated, all section references in this Second Amendment refer to the Credit Agreement.

 

Section 2.                      Amendments to Credit Agreement.

 

2.1           Section 1.02.  The following definitions are hereby added or amended and restated in its entirety as follows:

 

“Agreement” means this Amended and Restated Second Lien Term Loan Agreement, as amended by the First Amendment to Amended and Restated Second Lien Term Loan Agreement, dated as of October 1, 2009, and the Second Amendment to Amended and Restated Second Lien Term Loan Agreement, dated as of April 5, 2010, as the same may from time to time be further amended, modified, supplemented or restated.

 

“Compressor Sale-Leaseback Transaction” means the sale by the Borrower or any Guarantor of all or any part of its compression equipment, gathering or other midstream facilities located in California (“Midstream Facilities”) and the subsequent leasing of such Midstream Facilities, provided that the aggregate sales price does not exceed $15,000,000.

  

  

  

 

 “Midstream Facilities” has the meaning assigned such term in the definition of “Compressor Sale-Leaseback Transaction”.

 

“Second Lien Notes” means Second Lien Term Notes in an amount of up to $100,000,000 issued pursuant to the Second Lien Term Loan Agreement, together with all amendments, modifications, replacements, extensions and rearrangements thereof permitted by Section 9.04(b), but excluding any replacement thereof with Senior Notes.

 

“Senior Notes” means any unsecured senior or senior subordinated Debt securities (whether registered or privately placed) incurred pursuant to the Senior Notes Indenture.

 

“Senior Notes Indenture” means any indenture among the Borrower, as issuer, the subsidiary guarantors party thereto and the trustee named therein, pursuant to which the Senior Notes are issued, as the same may be amended or supplemented in accordance with Section 9.04(c).

 

2.2           Amendment to Section 8.01.  Section 8.01 is hereby amended by inserting the following new Section 8.01(r):

(r)           Issuance of Senior Notes.  Promptly after the closing and consummation of the issuance of Senior Notes, a true and correct copy of preliminary offering memorandum or other material documents relating to such Senior Notes.

 

2.3           Amendment to Section 9.02.  Section 9.02 is hereby amended by inserting the following new Sections 9.02(i) and (j):

 

(i)           Debt under the Senior Notes and any guarantees thereof, the principal amount of which does not exceed $250,000,000 in the aggregate, provided that (i) at the time such Senior Notes are issued (A) no Default has occurred and is then continuing and (B) no Default would result from the incurrence of such Debt after giving effect to the incurrence thereof (and any concurrent repayment of Debt with the proceeds of such incurrence), (ii) the net cash proceeds of such Senior Notes shall be concurrently used to repay or prepay all Floating Rate Loans then outstanding, plus accrued and unpaid interest thereon and any pre-payment penalty relating thereto, if any, (iii) such Debt does not have any scheduled amortization prior to seven (7) years from the date of issuance, (iv) such Debt does not mature sooner than seven (7) years after the date of issuance, (v) such Debt and any guarantees thereof are on terms, taken as a whole, at least as favorable to the Borrower and the Guarantors as market terms for issuers of similar size and credit quality given the then prevailing market conditions and (vi) such Senior Notes do not have any mandatory prepayment or redemption provisions (other than customary change of control or asset sale tender offer provisions) which would require a mandatory prepayment or redemption in priority to the Indebtedness.”

  

  

  

 

(j)           Debt associated with the Compressor Sale-Leaseback Transaction in an aggregate principal amount not to exceed $15,000,000.

 

2.4           Amendment to Section 9.03.  Section 9.03 is hereby amended by inserting the following new Section 9.03(f):

 

(f)           Liens to secure obligations of the Borrower or any Guarantor under the Compressor Sale-Leaseback Transaction, provided that such Liens only extend to the Property subject of the Compress Sale-Leaseback Transaction and the proceeds thereof.

 

2.5           Amendment to 9.08.  Section 9.08 is amended to insert “, the Compressor Sale-Leaseback Transaction” after the words “Capital Leases” and prior to the words “and leases of Hydrocarbon Interests”.

 

2.6           Amendment to Section 9.13.  Section 9.13(f) is hereby amended by deleting such clause in its entirety and replacing it with the following:

 

(f) sales and other dispositions of Properties not regulated by Section 9.13(a) to (e): (i) with respect to the Midstream Facilities, having an aggregate purchase price not to exceed $15,000,000 as may be sold during 2010 pursuant to the Compressor Sale-Leaseback Transaction and (ii) with respect to all other Properties, $2,500,000 during any 6-month period.

 

2.7           Amendment to Section 9.17.  Section 9.17(ii) is amended to insert “or Section 9.03(f)” after the words “Section 9.03(d)” in each place such words appear.

 

2.8           Amendment to Section 10.01.  Section 10.01(g) is hereby amended by inserting in line 1 thereof after the phrase “any event or condition” the phrase “(other than customary change of control or asset sale tender offer provisions of the Senior Notes Indenture which would require a mandatory prepayment or redemption of the Debt arising thereunder)”.

 

Section 3.                      Conditions Precedent.  The effectiveness of this Second Amendment is subject to the receipt by the Administrative Agent of the following documents and satisfaction of the other conditions provided in this Section 3, each of which shall be reasonably satisfactory to the Administrative Agent in form and substance:

 

3.1           Payment of Outstanding Invoices.  Payment by the Borrower to the Administrative Agent of all fees and other amounts due and payable on or prior to the Second Amendment Effective Date, including, to the extent invoiced, reimbursement or payment of all out-of-pocket expenses required to be reimbursed or paid by the Borrower.

 

3.2           Second Amendment.  The Administrative Agent shall have received multiple counterparts as requested of this Second Amendment from the Borrower and the Majority Lenders.

 

3.3           No Default.  No Default or Event of Default shall have occurred and be continuing as of the Second Amendment Effective Date.

  

  

  

 

3.4           Other Documents.  The Administrative Agent shall have received any other document it reasonably requests.

 

Section 4.                      Representations and Warranties; Etc.  Each Obligor hereby affirms:  (a) that as of the date of execution and delivery of this Second Amendment, all of the representations and warranties contained in each Loan Document to which such Obligor is a party are true and correct in all material respects as though made on and as of the Second Amendment Effective Date (unless made as of a specific earlier date, in which case, was true as of such date); and (b) that, after giving effect to this Second Amendment and to the transactions contemplated hereby, no Defaults exist under the Loan Documents or will exist under the Loan Documents.

 

Section 5.                      Miscellaneous.

 

5.1           Confirmation.  The provisions of the Credit Agreement (as amended by this Second Amendment) shall remain in full force and effect in accordance with its terms following the effectiveness of this Second Amendment.

 

5.2           Ratification and Affirmation of Obligors.  Each of the Obligors hereby expressly (i) acknowledges the terms of this Second Amendment, (ii) ratifies and affirms its obligations under the Guaranty Agreement and the other Security Instruments to which it is a party, (iii) acknowledges, renews and extends its continued liability under the Guaranty Agreement and the other Security Instruments to which it is a party and agrees that its guarantee under the Guaranty Agreement and the other Security Instruments to which it is a party remains in full force and effect with respect to the Indebtedness as amended hereby.

 

5.3           Counterparts.  This Second Amendment may be executed by one or more of the parties hereto in any number of separate counterparts, and all of such counterparts taken together shall be deemed to constitute one and the same instrument.

 

5.4           No Oral Agreement.  This written Second Amendment, the Credit Agreement and the other Loan Documents executed in connection herewith and therewith represent the final agreement between the parties and may not be contradicted by evidence of prior, contemporaneous, or unwritten oral agreements of the parties.  There are no subsequent oral agreements between the parties.

 

5.5           Governing Law.  This Second Amendment (including, but not limited to, the validity and enforceability hereof) shall be governed by, and construed in accordance with, the laws of the State of New York.

[Remainder of Page Intentionally Left Blank.

Signature Pages Follow.]

  

  

  

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

	
BORROWER:

	
ROSETTA RESOURCES INC.

	  	  	  
	  	  	  
	  	
By:

	/s/ Michael J. Rosinski  
	  	  	
Michael J. Rosinski, Executive Vice President, Chief Financial Officer and Treasurer

	  	  	  
	
GUARANTORS:

	  	  
	  	
ROSETTA RESOURCES OFFSHORE, LLC

	  	  	  
	  	
By:

	/s/ Michael J. Rosinski  
	  	  	
Michael J. Rosinski, Executive Vice President,

	  	  	
Chief Financial Officer and Treasurer

	  	  	  
	  	
ROSETTA RESOURCES HOLDINGS, LLC

	  	  	  
	  	
By:

	/s/ Michael J. Rosinski  
	  	  	
Michael J. Rosinski, Executive Vice President,

	  	  	
Chief Financial Officer and Treasurer

	  	  	  
	
 

	ROSETTA RESOURCES OPERATING LP
	  	
ROSETTA RESOURCES GATHERING LP

 

	  	  	
By: Rosetta Resources Operating GP, LLC,

	  	  	
its general partner

	 	 	 
	  	
By:

	/s/ Michael J. Rosinski  
	  	  	
Michael J. Rosinski, Executive Vice

	  	  	
President, Chief Financial Officer and

	  	  	
Treasurer

	  	  	  
	  	
ROSETTA RESOURCES OPERATING GP, LLC

	 	 
	  	
By:

	/s/ Michael J. Rosinski  
	  	  	
Michael J. Rosinski, Executive Vice President,

	  	  	
Chief Financial Officer and Treasurer

Signature Page – Second Amendment

Page 1

  

  

  

 

	
ADMINISTRATIVE AGENT:

	
BNP PARIBAS,

	  	
as Administrative Agent

	  	  	  
	  	  	  
	  	
By:

	/s/  Evans R. Swann
	  	
Name:

	Evans R. Swann
	  	
Title:

	Managing Director  
	  	  	  
	  	  	  
	  	
By:

	/s/ Betsy Jocher
	  	
Name:

	Betsy Jocher
	  	
Title:

	Director
	  	  	  
	  	  	  
	
LENDERS:

	
BNP PARIBAS

	  	  	  
	  	  	  
	  	
By:

	/s/  Evans R. Swann
	  	
Name:

	Evans R. Swann
	  	
Title:

	Managing Director  
	  	  	  
	  	  	  
	  	
By:

	/s/ Betsy Jocher
	  	
Name:

	Betsy Jocher
	  	
Title:

	Director
	  	  	  
	  	  	  
	  	
WELLS FARGO ENERGY CAPITAL 

	  	  	  
	  	  	  
	  	
By:

	/s/ Bryan McDavid
	  	
Name:

	Bryan McDavid
	  	
Title:

	Vice President
	  	  	  
	  	  	  
	  	
UNIONBANCAL EQUITIES, INC.

	  	  	  
	  	  	  
	  	
By:

	/s/ Ted McNulty
	  	
Name:

	Ted McNulty  
	  	
Title:

	Senior Vice President

Signature Page – Second Amendment

Page 2

  

  

  

 

	  	
AMEGY BANK NATIONAL ASSOCIATION

	  	  	  
	  	  	  
	  	
By:

	/s/ Kenneth R. Batson, III
	  	
Name:

	Kenneth R. Batson, III
	  	
Title:

	Vice President
	  	  	  
	  	  	  
	  	
USB CAPITAL RESOURCES, INC.

	  	  	  
	  	  	  
	  	
By:

	/s/ Christopher P. Zinn  
	  	
Name:

	Christopher P. Zinn
	  	
Title:

	Vice President
	  	  	  
	  	  	  
	  	
THE PRUDENTIAL INSURANCE COMPANY OF AMERICA

	  	  	  
	  	  	  
	  	
By:

	/s/ Brian N. Thomas
	  	
Name:

	Brian N. Thomas  
	  	
Title:

	Vice President

Signature Page – Second Amendment

Page 3ex10_1.htm

Exhibit 10.1

GENESIS ENERGY, L.P.

2010 LONG-TERM INCENTIVE PLAN

SECTION 1.  Purpose of the Plan.

The Genesis Energy 2010 Long-Term Incentive Plan (the “2010 Plan”) is intended to promote the interests of Genesis Energy, L.P., a Delaware limited partnership (the “Partnership”), by providing to employees, certain members of the company who serve in employee roles, and directors of Genesis Energy, LLC (the “Company”) and its Affiliates who perform services for the Partnership incentive compensation cash awards for superior performance that are based on Units.  The 2010 Plan is also contemplated to enhance the ability of the Company and its Affiliates to attract and retain the services of individuals who are essential for the growth and profitability of the Partnership and to encourage them to devote their best efforts to the business of the Partnership, thereby advancing the interests of the Partnership and its partners.

SECTION 2.  Definitions.

As used in the 2010 Plan, the following terms shall have the meanings set forth below:

“Affiliate” means, with respect to any Person, any other Person that directly or indirectly through one or more intermediaries controls, is controlled by or is under common control with, the Person in question.  As used herein, the term “control” means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of voting securities, by contract or otherwise.

“Award” means a Phantom Unit granted under the 2010 Plan, and shall include any tandem DERs granted with respect to a Phantom Unit.

“Board” means the Board of Directors of the Company.

“Change in Control” shall be deemed to have occurred upon the occurrence of one or more of the following events: (i) any sale, lease, exchange or other transfer (in one or a series of related transactions) of all or substantially all of the assets of the Partnership (taken as a whole, together with those of its subsidiaries) or the Company (taken as a whole, together with those of its subsidiaries) to any Person, other than the Partnership, the Company or any of their Affiliates, or (ii) any merger, reorganization, consolidation or other transaction pursuant to which more than 50% of the combined voting power of the outstanding equity interests in the Company ceases to be beneficially owned by the Persons who own such interests, respectively, as of February 5, 2010.

“Committee” means the Governance, Compensation and Business Development Committee of the Board or such other committee of the Board appointed by the Board to administer the 2010 Plan.

“DER” means a contingent right, granted in tandem with a specific Phantom Unit, to receive an amount in cash equal to the cash distribution made by the Partnership with respect to a Unit during the period such Phantom Unit is outstanding.

“Director” means a member of the Board.

  

  

  

 

“Employee” means any employee or member of the Company, the Partnership or any of their subsidiaries who serves in an employee role, as determined by the Committee.

“Fair Market Value” means the average of the last reported sales prices for the 20 consecutive Trading Days (defined below) ending with the Trading Day immediately preceding the date in question.  The last reported sales price for each day shall be the last reported sales price regular way on the American Stock Exchange or any other exchange on which the Units are primarily listed.  In the event there is no sale of Units on the Partnership’s primary securities exchange for the applicable 20 Trading Days period, the determination of fair market value shall be made in good faith by the Committee.  As used herein, the term “Trading Days” with respect to Units means if the Units are listed or admitted for trading on the Partnership’s primary national securities exchange, those days on which such securities exchange is open for business.

“Participant” means any Employee or Director granted an Award under the 2010 Plan.

“Partnership Agreement” means the Fourth Amended and Restated Agreement of Limited Partnership of Genesis Energy, L.P., as amended, restated or otherwise modified from time to time.

“Person” means an individual or entity, including a corporation, limited liability company, partnership, joint venture, trust, unincorporated organization, association, government agency or political subdivision thereof or other entity.

“Phantom Unit” means a phantom (notional) Unit granted under the 2010 Plan which upon vesting entitles the Participant to receive an amount of cash equal to the Fair Market Value of a Unit.

“Restricted Period” means the period established by the Committee with respect to an Award during which any portion of the Award remains subject to forfeiture (is not vested) and is not payable to the Participant.

“Unit” means a Common Unit of the Partnership.

SECTION 3.  Administration.

The Committee shall administer the 2010 Plan.  A majority of the Committee shall constitute a quorum, and the acts of the members of the Committee who are present at any meeting thereof at which a quorum is present, or acts unanimously approved by the members of the Committee in writing, shall be the acts of the Committee.  Subject to the terms of the 2010 Plan and applicable law, and in addition to other express powers and authorizations conferred on the Committee by the 2010 Plan, the Committee shall have full power and authority to: (i) designate Participants; (ii) determine the number of Units to be covered by Awards; (iii) determine the terms and conditions of any Award; (iv) determine whether, to what extent, and under what circumstances Awards may be settled, exercised, canceled, or forfeited; (v) interpret and administer the Plan and any instrument or agreement relating to an Award made under the 2010 Plan; (vi) establish, amend, suspend or waive such rules and regulations and appoint such agents as it shall deem appropriate for the proper administration of the 2010 Plan; and (vii) make any other determination and take any other action that the Committee deems necessary or desirable for the administration of the 2010 Plan.  Unless otherwise expressly provided in the 2010 Plan, all designations, determinations, interpretations, and other decisions under or with respect to the 2010 Plan or any Award shall be within the sole discretion of the Committee, may be made at any time and shall be final, conclusive, and binding upon all Persons, including the Company, the Partnership, any Affiliate, any Participant, and any beneficiary of any Award.

  

2

  

SECTION 4. Eligibility.

Any Director and any Employee who performs services for the Company, the Partnership or any of their subsidiaries shall be eligible to be designated a Participant and receive an Award under the Plan.

SECTION 5.  Awards.

	
  

	
(a)

	
Phantom Units.  The Committee shall have the authority to determine the Employees and Directors to whom Phantom Units shall be granted, the number of Phantom Units to be granted to each such Participant, the Restricted Period, the conditions under which the Phantom Units may become vested or forfeited, which may include, without limitation, the accelerated vesting upon achievement of specified performance goals, and such other terms and conditions as the Committee may establish with respect to such Awards, including whether DERs are granted with respect to such Phantom Units.

	
  

	
(i)

	
DERs.  To the extent provided by the Committee, in its discretion, a grant of Phantom Units may include a tandem DER grant, which may provide that such DERs shall be paid directly to the Participant, be credited to a bookkeeping account (with or without interest at the discretion of the Committee) subject to the same vesting restrictions as the tandem Award, or be subject to such other provisions or restrictions as determined by the Committee in its discretion.

	
  

	
(ii)

	
Forfeiture.  Except as otherwise provided in the terms of the Phantom Units grant, upon termination of a Participant’s status as an Employee or Director, whichever is applicable, for any reason during the applicable Restricted Period, all unvested Phantom Units and any tandem DERs shall be forfeited by the Participant unless otherwise provided in a written employment agreement between the Participant and the Company or its Affiliates.  The Committee may, in its discretion, waive in whole or in part such forfeiture with respect to a Participant’s Phantom Units and tandem DERs.

	
  

	
(iii)

	
Lapse of Restrictions.  Upon or as soon as reasonably practicable and not later than 30 days  following the vesting of each Phantom Unit, the Participant shall receive from the Company an amount of cash equal to the Fair Market Value of a Unit.

	
  

	
(b)

	
General.

	
  

	
(i)

	
Awards May Be Granted Separately or Together.  Awards may, in the discretion of the Committee, be granted either alone or in addition to, in tandem with, or in substitution for any other Award granted under the 2010 Plan or any award granted under any other plan of the Company or any Affiliate.  Awards granted in addition to or in tandem with other Awards or awards granted under any other plan of the Company or any Affiliate may be granted either at the same time as or at a different time from the grant of such other Awards or awards.

	
  

	
(ii)

	
Limits on Transfer of Awards.

	
  

	
(A)

	
Except as provided in (B) below, no Award and no right under any Award may be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by a Participant and any such purported assignment, alienation, pledge, attachment, sale, transfer or encumbrance shall be void and unenforceable against the Company or any Affiliate.

  

3

  

 

	
  

	
(B)

	
Participants may transfer Awards by will and the laws of descent and distribution.

	
  

	
(iii)

	
Terms of Awards.  The term of each Award shall be for such period as may be determined by the Committee.

	
  

	
(iv)

	
Consideration for Grants.  Awards may be granted for such consideration, including services or such minimal consideration as may be required by law, as the Committee determines.

	
  

	
(v)

	
Change in Control.  Upon a Change in Control or such period prior thereto as may be established by the Committee, all Awards shall automatically vest and become payable in full.  In this regard, all Restricted Periods shall terminate and all performance criteria, if any, shall be deemed to have been achieved at the maximum level.

	
  

	
(c)

	
Adjustments.  In the event that the Committee determines that any distribution (whether in the form of cash, Units, other securities, or other property), recapitalization, split, reverse split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, or exchange of Units or other securities of the Partnership, issuance of warrants or other rights to purchase Units or other securities of the Partnership, or other similar transaction or event affects the Units such that an adjustment is determined by the Committee to be appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the 2010 Plan, then the Committee shall, in such manner as it may deem equitable, adjust any or all of (i) the number and type of Units (or other securities or property) with respect to which Awards may be granted, (ii) the number and type of Units (or other securities or property) subject to outstanding Awards, and (iii) if deemed appropriate, make provision for a cash payment to the holder of an outstanding Award; provided, that the number of Units subject to any Award shall always be a whole number.

SECTION 6. Amendment and Termination.

Except to the extent prohibited by applicable law:

	
  

	
(a)

	
No Rights to Award.  No Person shall have any claim to be granted any Award under the 2010 Plan, and there is no obligation for uniformity of treatment of Participants.  The terms and conditions of Awards need not be the same with respect to each recipient.

	
  

	
(b)

	
Withholding.  The Company or any Affiliate is authorized to withhold from any Award, from any payment due under any Award or from any compensation or other amount owing to a Participant the amount of any applicable taxes payable in respect of the grant of an Award, the lapse of restrictions thereon, or any payment under an Award or under the Plan and to take such other action may be necessary in the opinion of the Company to satisfy its withholding obligations for the payment of such taxes.

	
  

	
(c)

	
No Right to Employment.  The grant of an Award shall not be construed as giving a Participant the right to be retained in the employ of the Company of any Affiliate or to remain on the Board, as applicable.  Further the Company of an Affiliate may at any time dismiss a Participant from employment, free from any liability or any claim under the 2010 Plan, unless otherwise expressly provided in the 2010 Plan or in any Award agreement.

  

4

  

 

	
  

	
(d)

	
Governing Law.  The validity, construction, and effect of the 2010 Plan and any rules and regulations relating to the Plan shall be determined in accordance with the laws of the State of Delaware without regard to its conflict of laws principles.

	
  

	
(e)

	
Severability.  If any provision of the 2010 Plan or any award is or becomes or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or as to any Person or Award, or would disqualify the 2010 Plan or any award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to the applicable laws, or if it cannot be construed or deemed amended without, in the determination of the Committee, materially altering the intent of the 2010 Plan or the Award, such provision shall be stricken as to such jurisdiction, person or award and the remainder of the 2010 Plan and any such Award shall remain in full force and effect.

	
  

	
(f)

	
Other Laws.  The Committee may refuse to pay any cash under an Award if, in its sole discretion, it determines that the payment might violate any applicable law or regulation or the rules of the principal securities exchange on which the Units are then traded.

	
  

	
(g)

	
No Trust or Fund Created.  Neither the 2010 Plan nor any Award shall create or be construed to create a trust or separate fund of any kind or a fiduciary relationship between the Company or any participating Affiliate and a Participant or any other Person.  To the extent that any Person acquires a right to receive payments from the Company or any participating Affiliate pursuant to an award, such right shall be no greater than the right of any general unsecured creditor of the Company or any participating Affiliate.

	
  

	
(h)

	
Headings.  Headings are given to the Sections and subsections of the 2010 Plan solely as a convenience to facilitate reference.  Such headings shall not be deemed in any way material or relevant to the construction or interpretation of the 2010 Plan or any provision thereof.

	
  

	
(i)

	
Facility Payment.  Any amounts payable hereunder to any person under legal disability or who, in the judgment of the Committee, is unable to properly manage his or her financial affairs, may be paid to the legal representative of such person, or may be applied for the benefit of such person in any manner which the Committee may select, and the Company shall be relieved of any further liability for payment for such amounts.

	
  

	
(j)

	
Gender and Number.  Words in the masculine gender shall include the feminine gender, the  plural shall include the singular and the singular shall include the plural.

	
  

	
(k)

	
Participation by Affiliates.  With respect to the Awards made to the employees of an Affiliate, the Company shall act as agent of such participating Affiliate.  In this regard, the Company shall make payment with respect to such Awards directly to the participating Affiliate, which, in turn, shall be responsible for making the payments with respect to such Awards to its eligible employees.

	
  

	
(l)

	
Section 409A Compliance.  The 2010 Plan is intended to comply with Section 409A of the Internal Revenue Code (the “Code”) and any ambiguity is intended to be interpreted in a manner that complies with Code Section 409A and the Treasury Regulations and related interpretive guidance issued thereunder.  The payments under the 2010 Plan are intended to be short term deferrals that are exempt from the application of Code Section 409A and the 2010 Plan will be administered and interpreted to maximize the short-term deferral exemption to Code Section 409A.  The portion of any payment under the 2010 Plan that is paid within the short-term deferral period (as defined in Treasury Regulations section 1.409A-1(b)(4)) will be treated as a short-term deferral and not aggregated with other plans or payments.  Payment dates provided for in the 2010 Plan are deemed to incorporate “grace periods” provided by Treasury Regulations section 1.409A-3(d) and no Participant may, directly or indirectly, designate the taxable year of any payment made under the 2010 Plan.

  

5

  

SECTION 8.  Term of the 2010 Plan.

This 2010 Plan shall be effective on the date of its approval by the Board and shall continue until the date terminated by the Board.  However, unless otherwise expressly provided in the 2010 Plan or in an applicable Award Agreement, any Award granted prior to such termination, and the authority of the Board or the Committee to amend, alter, adjust, suspend, discontinue, or terminate any such Award or to waive any conditions or rights under such Award, shall extend beyond such termination date.

	  	
By:

	
/s/  Robert C. Sturdivant

	 
	  	  	
Name: Robert C. Sturdivant

	 
	  	  	
Title:    Chairman of the Board

	 

 

6

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