Document:

exv10w2

 

GUARANTEE

     FOR VALUE RECEIVED, the sufficiency of which is hereby acknowledged, and in connection with
that certain funding agreement (the “Funding Agreement”), entered into by and between Principal
Life Insurance Company, an Iowa insurance company (“Principal Life”), and Principal Life Income
Fundings Trust 2006-53, a New York common law trust (the “Trust”), relating to the notes (the
“Notes”) issued by the Trust, Principal Financial Group, Inc., a Delaware corporation and the
indirect parent company of Principal Life (the “Guarantor”), hereby furnishes to the Trust its full
and unconditional guarantee of the Guaranteed Amounts (as hereinafter defined) as follows:

     1. Guarantee.

          (a) The Guarantor hereby fully, irrevocably, absolutely and unconditionally guarantees, as a
guarantee of payment and not merely as a guarantee of collection, immediate payment when due to the
Trust any payments required to be made by Principal Life to the Trust under the Funding Agreement
which shall become due and payable regardless of whether such payment is due at maturity, on an
interest payment date or as a result of redemption or otherwise (the “Scheduled Payments”) but
shall be unpaid by Principal Life (the “Guaranteed Amounts”). Notwithstanding anything to the
contrary contained herein, in no event shall the Guaranteed Amounts exceed the Deposit (as defined
in the Funding Agreement) of the Funding Agreement, plus accrued but unpaid interest and any other
amounts due and owing under the Funding Agreement, less any amounts paid by Principal Life to the
Trust.

          (b) In the event that Principal Life fails to make a Scheduled Payment in full when due (the
“Payment Notice Date”), then the Trust or Citibank, N.A., as indenture trustee for the benefit of
the holders of the Notes (the “Indenture Trustee”), pursuant to the indenture (the “Indenture”)
between the Trust and the Indenture Trustee, may present the Guarantor with notice (each, a
“Payment Notice”) of such failure in writing on or after the Payment Notice Date. The Payment
Notice shall identify (1) the Funding Agreement, (2) the Trust, (3) the Payment Notice Date and (4)
the amount of the Scheduled Payments not paid by Principal Life to the Trust as of the Payment
Notice Date. Upon receipt of such Payment Notice, the Guarantor will immediately pay the
Guaranteed Amounts pursuant to Section 7.

          (c) In the event that, after receipt of a Payment Notice from the Trust, the Guarantor fails
to make immediate payment to the Trust or the Indenture Trustee of the Guaranteed Amounts, then
the Trust and the Indenture Trustee may enforce the obligations of the Guarantor under this
Guarantee, including by immediately bringing suit directly against the Guarantor (without first
bringing suit against Principal Life) for the Guaranteed Amounts not paid to the Trust as of the
Payment Notice Date.

          (d) This Guarantee is an unsecured, unsubordinated and contingent obligation of the Guarantor
and ranks equally with all other unsecured and unsubordinated obligations of the Guarantor.

1 

 

     2. Termination. This Guarantee is a continuing and irrevocable guarantee of the
Guaranteed Amounts now or hereafter existing and shall terminate and be of no further force and
effect with respect to the Funding Agreement and the Notes upon the full payment of the Scheduled
Payments or upon the earlier extinguishment of the obligations of Principal Life under the Funding
Agreement.

     3. Amendments. Subject to the trust agreement relating to the Trust and the Indenture, no
provision of this Guarantee may be waived, amended, supplemented or modified, except by a written
instrument executed by the Trust and the Guarantor.

     4. Assignment; Governing Law. This Guarantee shall inure to the benefit of the Trust and its
successors, assigns and pledgees. This Guarantee shall be governed by, and construed in accordance
with, the laws of the State of New York without regard to conflict of law principles.

     5. Notices. All notices given pursuant to this Guarantee shall be in writing, and shall
either be delivered, mailed or telecopied to the locations listed below or at such other address or
to the attention of such other persons as such party shall have designated for such purpose in a
written notice complying as to delivery with the terms of this Section 5. Each such notice shall
be effective (i) if given by telecopy, when transmitted to the applicable number so specified in
this Section 5 (such notice shall also be sent by mail, with first class postage prepaid), (ii) if
given by mail, three days after deposit in the mails with first class postage prepaid, or (iii) if
given by any other means, when actually delivered at such address.

If to the Guarantor:

Principal Financial Group, Inc.

711 High Street

Des Moines, Iowa 50392

Attention: General Counsel

Telephone: (515) 247-5111

Facsimile: (515) 248-3011

With a copy to:

Principal Life Insurance Company

711 High Street

Des Moines, Iowa 50392

Attention: Jim Fifield

Telephone: (515) 248-9196

Facsimile: (866) 496-6527

If to the Trust:

Principal Life Income Fundings Trust (followed by the number of the Trust specified in this Guarantee)

2

 

c/o U.S. Bank Trust National Association

100 Wall Street, 16th Floor

New York, New York 10005

Attention: Thomas E. Tabor

Telephone: (212) 361-6184

Facsimile: (212) 809-5459

With a copy to:

Citibank, N.A.

Citibank Agency and Trust

388 Greenwich Street, 14th Floor

New York, New York 10013

Attention: Nancy Forte

Telephone: (212) 816-5685

Facsimile: (212) 816-5527

     6. Representations and Warranties. The Guarantor represents and warrants that: (i) it is duly
organized and in good standing under the laws of the jurisdiction of its organization and has full
capacity and right to make and perform this Guarantee, and all necessary authority has been
obtained; (ii) this Guarantee constitutes a legal, valid and binding obligation of the Guarantor
enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency and similar
laws affecting creditors’ rights and general principles of equity, regardless of whether
enforcement is sought in a proceeding in equity or at law; (iii) the making and performance of this
Guarantee does not and will not violate the provisions of any applicable law, regulation or order,
and does not and will not result in the breach of, or constitute a default under, any material
agreement, instrument or document to which it is a party or by which it or any of its property may
be bound or affected, except to the extent disclosed in the registration statement registering the
issuance of this Guarantee and the Funding Agreement, as amended, supplemented or modified from
time to time (the “Registration Statement”), and to the extent that any such violation, breach or
default does not result in a material adverse effect on the Guarantor; and (iv) all consents,
approvals, licenses and authorizations of, and filings and registrations with, any governmental
authority required under applicable law and regulations for the making and performance of this
Guarantee have been obtained or made and are in full force and effect, except to the extent
disclosed in the Registration Statement and to the extent that the failure to acquire any such
consent, approval, license, authorization, filing or registration does not result in a material
adverse effect on the Guarantor.

     7. Notice of, and Consent to, Security Interest. The Trust hereby notifies the Guarantor that
it has granted to the Indenture Trustee, on behalf of the holders of the Notes, a security interest
in the Collateral (as defined in the Indenture), including, but not limited to, any and all payment
to be made by the Guarantor to the Trust under this Guarantee. The Trust hereby notifies the
Guarantor that it has collaterally assigned to the Indenture Trustee, for the benefit of the
holders of the Notes, this Guarantee. The Guarantor, by executing this Guarantee, hereby (i)
affirms that it has made or simultaneously will make changes to its books and records to reflect
such security interest and collateral assignment, (ii) consents to the security interest

3

 

granted, and collateral assignment made, by the Trust to the Indenture Trustee of this
Guarantee, (iii) agrees to make all payments due under this Guarantee to the Collection Account (as
defined in the Indenture) or any other account designated in writing to the Guarantor by the
Indenture Trustee and (iv) agrees to comply with all orders of the Indenture Trustee with respect
to this Guarantee without any further consent from the Trust.

     8. WAIVER OF JURY TRIAL; FINAL AGREEMENT. TO THE EXTENT ALLOWED BY APPLICABLE LAW, THE
GUARANTOR WAIVES TRIAL BY JURY WITH RESPECT TO ANY ACTION, CLAIM, SUIT OR PROCEEDING ON OR ARISING
OUT OF THIS GUARANTEE. THIS GUARANTEE REPRESENTS THE FINAL AGREEMENT BETWEEN THE GUARANTOR AND THE
TRUST AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL
AGREEMENTS AMONG SUCH PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS AMONG SUCH PARTIES.

	 	 	 	 	 
	 	 	PRINCIPAL FINANCIAL GROUP, INC.
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Elizabeth D. Swanson
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Name:
	 	Elizabeth D. Swanson
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:
	 	Counsel
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Date:
	 	The Effective Date (as defined in
the Funding Agreement)

Acknowledged and Agreed:

	 	 	 	 	 
	THE PRINCIPAL LIFE INCOME FUNDINGS 

TRUST DESIGNATED IN THIS GUARANTEE	 	 
	 
	 	 	 	 
	By:

	 	U.S. Bank Trust National Association,

not in its individual capacity, but solely in its

capacity as trustee	 	 
	 
	 	 	 	 
	By:

	 	Bankers Trust Company, N.A.,

under Limited Power of Attorney, dated February 16, 2006	 	 
	 
	 	 	 	 
	By:

	 	/s/ Diana L. Cook	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	Name:

	 	Diana L. Cook	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	Title:

	 	Vice President	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	Date:

	 	The Effective Date (as defined in
the Funding Agreement)	 	 

4exv10w49

 

Exhibit 10.49

FIRST AMENDMENT TO THIRD AMENDED AND RESTATED LOAN AGREEMENT

     THIS FIRST AMENDMENT TO THIRD AMENDED AND RESTATED LOAN AGREEMENT (“Amendment”) is entered
into as of this 22nd day of August, 2006 by and among LASALLE BANK NATIONAL ASSOCIATION (“LBNA”),
as Administrative Agent and as a Lender, SOUTHWEST BANK OF ST. LOUIS (“SWB”), as a Lender, NATIONAL
CITY BANK, successor-by-merger to National City Bank of the Midwest (“NCB”), as a Lender, FIFTH
THIRD BANK (“FTB”), as a Lender, MERRILL LYNCH CAPITAL, A DIVISION OF MERRILL LYNCH BUSINESS
FINANCIAL SERVICES INC. (“MLC”), as a Lender, and FIRST BANK (“FB”), as a Lender (collectively
LBNA, SWB, NCB, FTB, MLC, and FB are referred to herein as “Lenders”) and TALX CORPORATION,
a Missouri corporation (“Borrower”); and consented to by TALX UCM SERVICES, INC., a Missouri
corporation (“TUS”), TALX EMPLOYER SERVICES, LLC, a Missouri limited liability company (“TES”),
TALX FASTIME SERVICES, INC., a Texas Corporation, f/k/a Ti3, Inc. (“TFTS”), TBT ENTERPRISES,
INCORPORATED, a Maryland corporation (“TBT”), UI ADVANTAGE, INC., a Maryland corporation (“UI”),
NET PROFIT, INC., a South Carolina corporation (“NET”), TALX TAX INCENTIVE SERVICES, LLC, a
Missouri limited liability company (“TIS”), JON-JAY ASSOCIATES, INC., a Massachusetts corporation
(“JJ”), TALX TAX CREDITS AND INCENTIVES, LLC, a Missouri limited liability company, (“TTCI”),
MANAGEMENT INSIGHT INCENTIVES, LLC, a Missouri limited liability company (“MII”), UNEMPLOYMENT
SERVICES, LLC, a Missouri limited liability company (“US”), PERFORMANCE ASSESSMENT NETWORK, INC., a
Delaware corporation (“PAN”), and TALX CONFIRMATION DIRECT, INC., a Missouri corporation (“TCD”)
(collectively TUS, TES, TFTS, TBT, UI, NET, TIS, JJ, TTCI, MII, US, PAN and TCD are referred to
herein as “Guarantors”).

W I T N E S S E T H

     WHEREAS, the Borrower and Lenders entered into that certain Third Amended and Restated Loan
Agreement dated May 25, 2006 (the Loan Agreement).

     WHEREAS, Guarantors absolutely and unconditionally guaranteed the indebtedness of Borrower
pursuant to their Amended and Restated Guaranty dated May 25, 2006 (the Guaranty).

     WHEREAS, Borrower has requested certain revisions to the Loan Agreement and Lenders are
willing to agree to same as more specifically set forth herein.

     WHEREAS, all capitalized terms used herein, and not otherwise defined herein, have the meaning
given to them in the Loan Agreement.

     NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, the parties hereto do hereby agree as follows:

-1-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     1. Amendments.

     Upon the satisfaction of the conditions precedent set forth herein, Section 14.1 of the Third
Amended and Restated Loan Agreement shall be amended and restated in its entirety as follows:

“14.1 Use of Proceeds. Subject to the terms and conditions hereof, (i) the existing
Indebtedness of Borrower under the Second Amended and Restated Loan Agreement shall be
deemed to be converted to and replaced by the proceeds of a Revolving Loan Advance funded
under the Aggregate Revolving Loan Commitment pursuant to this Agreement, (ii) the proceeds
of any subsequent Revolving Loan Advance shall be used solely for working capital, capital
expenditures permitted hereunder, as the source for payment of Borrower’s reimbursement
obligations with respect to Letters of Credit, to pay the transaction costs for this Loan
Agreement, to finance Permitted Acquisitions, and to finance Repurchases but only so long as
(a) there is no Default hereunder at the time of any such Repurchase; and (b) the Maximum
Available Amount that is available to Borrower under the Aggregate Revolving Loan Commitment
immediately following any Revolving Loan Advance made to finance Repurchases is not less
than Ten Million and No/100 Dollars ($10,000,000.00).”

     2. Conditions Precedent to this Amendment.

     As a condition precedent to Lenders’ consent to the amendments as described herein and to the
effectiveness of this Amendment, the following must have been satisfied:

          a) This Agreement. Borrower, Guarantors, and Lenders shall have executed and
delivered this Amendment to Administrative Agent’s possession and Borrower shall have paid to the
Administrative Agent all fees related to this Amendment.

          b) Representations and Warranties. Except as set forth on Schedule 1 hereto,
the Representations and Warranties, as set forth in Section 12 of the Third Amended and Restated
Loan Agreement together with the Schedules included in the Disclosure Schedule thereto (such
Schedules, the “Existing Schedules”), shall be true and correct as of the date of this Amendment.

          c) Compliance with Loan Documents. The Borrower and Guarantors shall be in full
compliance with all of the terms and conditions of the Loan Documents, and there shall be no
Existing Default thereunder, and no Default or Event of Default shall have occurred and be
continuing thereunder or shall result after giving effect to this Amendment.

     3. Miscellaneous.

          a) Loan Documents Continue. Except as specifically amended by this Amendment, all of
the terms, provisions, conditions, agreements, covenants, representations, warranties and powers
contained in the Loan Documents shall be and remain in full force and effect and the same are
hereby ratified and confirmed and are incorporated herein by reference. Reference to this
Amendment need not be made in any note, document, letter, certificate, Loan Documents, or any
communication issued or made pursuant to or with respect to the Loan

-2-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

Documents; any reference to the Loan Documents being sufficient to refer to the Loan Documents
as amended hereby. In no manner shall this Amendment impair the Loan Documents, the rights,
remedies obligations, liabilities, liens or security interests represented thereby, nor shall any
such rights, remedies, obligations, liabilities, liens or security interests be in any manner
waived or impaired, diminished or discharged hereby.

          b) Counterparts. This Amendment may be executed by the parties hereto on any number
of separate counterparts, and all such counterparts taken together shall constitute one and the
same instrument. It shall not be necessary in making proof of this Amendment to produce or account
for more than one counterpart signed by the party to be charged.

          c) Consent of Guarantors. Each of the Guarantors acknowledge and consent to the
execution of this Amendment by the Borrower and acknowledges that this consent is not required
under the terms of the Guaranty and that the execution hereof by the Guarantors shall not be
construed to require the Lenders to obtain their acknowledgment to any future amendment,
modification or waiver of any term of the Loan Agreement or any other Loan Documents except as
otherwise provided in said Guaranty. Each of the Guarantors hereby agree that the Guaranty shall
apply to all indebtedness, obligations and liabilities of the Borrower to the Lenders under the
Loan Agreement, as amended pursuant to this Amendment, and that the Guaranty shall be and remain in
full force and effect.

(Signatures of Borrower, Guarantors, and Lenders are on the following pages.)

-3-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first written
above.

	 	 	 	 	 
	 	 	LASALLE BANK NATIONAL ASSOCIATION,
	 	 	as Administrative Agent and a Lender
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	By:
	 	/s/ James C. Bine
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Print Name:
	 	James C. Bine
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:
	 	SVP
	 

	 	 	 	 

-4-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first
written above.

	 	 	 	 	 
	 	 	SOUTHWEST BANK OF ST. LOUIS,
	 

	 	as a Lender	 	 
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Robert W. Sellers
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Print Name:
	 	Robert W. Sellers
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:	 	 
	 

	 	 	 	 

-5-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first written
above.

	 	 	 	 	 
	 	 	NATIONAL CITY BANK, as a Lender
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Eric Hartman
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Print Name:
	 	Eric Hartman
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:
	 	Vice President
	 

	 	 	 	 

-6-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN
WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first written above.

	 	 	 	 	 
	 	 	FIFTH THIRD BANK, as a Lender
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Shawn D. Hagan
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Print Name:
	 	Shawn D. Hagan
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:
	 	Vice President
	 

	 	 	 	 

-7-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first written
above.

	 	 	 	 	 
	 	 	MERRILL LYNCH
CAPITAL, A DIVISION OF MERRILL LYNCH
BUSINESS FINANCIAL SERVICES, INC., as a Lender
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Michael Trunck
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Print Name:
	 	Michael Trunck
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:
	 	Team Leader/ Director
	 

	 	 	 	 

-8-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first written
above.

	 	 	 	 	 
	 	 	FIRST BANK, as a Lender
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Keith M. Schmelder
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Print Name:
	 	Keith M. Schmelder
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Title:
	 	Senior Vice President
	 

	 	 	 	 

-9-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

     IN WITNESS WHEREOF, the undersigned has executed this Amendment as of the date first written above.

	 	 	 	 	 	 	 
	 	 	BORROWER:	 	 
	 
	 	 	 	 	 	 
	 	 	TALX CORPORATION, a Missouri corporation,
as Borrower	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	                    /s/ L. Keith Graves	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	L. Keith Graves, Chief Financial Officer	 	 

GUARANTORS:

The undersigned hereby acknowledge and agree to the foregoing Amendment:

PERFORMANCE ASSESSMENT NETWORK, a Delaware corporation, as a Guarantor,

TALX UCM SERVICES, INC., a Missouri corporation, as a Guarantor,

TALX FASTIME SERVICES, INC., a Texas corporation, as a Guarantor,

TALX EMPLOYER SERVICES, LLC, a Missouri Limited Liability company, as a Guarantor,

UI ADVANTAGE, INC., a Maryland corporation, as a Guarantor,

TBT ENTERPRISES, INCORPORATED, a Maryland corporation, as a Guarantor,

NET PROFIT, INC., a South Carolina corporation, as a Guarantor,

TALX TAX INCENTIVE SERVICES, LLC, a Missouri limited liability company, as a Guarantor,

JON-JAY ASSOCIATES, INC., a Massachusetts corporation, as a Guarantor,

TALX TAX CREDITS AND INCENTIVES, LLC, a Missouri limited liability company, as a Guarantor,

MANAGEMENT INSIGHT INCENTIVES, LLC, a Missouri limited liability company, as a Guarantor,

UNEMPLOYMENT SERVICES, LLC, a Missouri limited liability company, as a Guarantor, and

TALX CONFIRMATION DIRECT, INC., a Missouri limited liability company, as a Guarantor

	 	 	 	 	 
	By:

	 	                    /s/ L. Keith Graves
	 	 
	 

	 	 	 	 
	Name:

	 	L. Keith Graves, Chief Financial Officer	 	 

-10-

First Amendment to Third

Amended and Restated Loan Agreement

 

 

Schedule I

Disclosure Schedules

Section 12.13

Prior Transactions

Paragraph 3 of Section 12.13 of the Existing Schedules is amended and restated as follows:

On March 27, 2002, TALX’s subsidiary, Garcia Acquisition Sub, Inc., a Missouri corporation
(“Garcia”), acquired the assets of the unemployment compensation management business of
Gates, McDonald & Company and the outstanding stock of James E. Frick, Inc., a Missouri
corporation (“Frick”). On March 31, 2003, Garcia merged with and into Frick, and the
surviving corporation changed its name to TALX UCM Services, Inc.

As of April 20, 2005, TALX UCM Services, Inc. acquired the stock of Jon-Jay Associates, Inc.

On June 30, 2003, TALX UCM Services, Inc. acquired the outstanding membership interests of
Johnson & Associates, LLC, a Nebraska limited liability company (“Johnson”). Effective as
of August 15, 2006, Johnson merged with an into TALX UCM Services, Inc., and TALX UCM
Services, Inc. was the surviving corporation.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}]]