Document:

exv10w1

Exhibit 10.1     

EXECUTION COPY

AMENDMENT NO. 3

          This AMENDMENT NO. 3 (this “Amendment”) is entered into as of October 5, 2009, among PREGIS
CORPORATION, a Delaware corporation (the “Borrower”), PREGIS HOLDING II CORPORATION, a Delaware
corporation (“Parent”) and each of the Lenders signatory hereto.

PRELIMINARY STATEMENTS:

          (1) The Borrower, Parent, the banks, financial institutions and other institutional lenders
party thereto from time to time (each a “Lender” and collectively the “Lenders”), Credit Suisse,
Cayman Islands Branch (“CS”), as collateral agent and administrative agent (in such capacities, the
“Agent”), the subsidiary guarantors party thereto and the other agents party thereto have entered
into the Credit Agreement, dated as of October 12, 2005 (such Credit Agreement, as modified by the
Waiver Letter, dated as of March 30, 2006, amended by “Waiver Letter No. 2 and Amendment No. 1”,
dated as of May 31, 2006 and “Amendment No. 2” dated as of December 20, 2007, the “Credit
Agreement”). Capitalized terms not otherwise defined in this Amendment shall have the respective
meanings ascribed to such terms in the Credit Agreement (as amended by this Amendment).

          (2) The Borrower intends to issue additional floating rate notes under the Floating Rate
Indenture in an anticipated principal amount (subject to change on the issue date thereof) of
€125,000,000, the proceeds of which shall be used to prepay the Term Advances.

          (3) The Borrower and Parent have requested the changes and modifications to the Credit
Agreement as hereinafter set forth.

          (4) The Required Lenders are, on the terms and conditions stated below, willing to amend the
Credit Agreement as hereinafter set forth.

          SECTION 1. Amendments and Consents to Permit the Additional Floating Rate Notes. (I)
Amendments. The Credit Agreement is, subject to the satisfaction of the conditions
precedent set forth in Section 3(a), hereby amended as follows:

(a) Section 1.01 of the Credit Agreement is hereby amended by:

(i) including the following new defined term in the proper alphabetical order
“Additional Floating Rate Notes” means the Senior Secured Floating Rate Notes due
2013 issued by the Borrower pursuant to the Offering Circular dated September 24,
2009;

(ii) inserting the words “and the Additional Floating Rate Notes” after the words
“Floating Rate Notes” where it appears in the defined term “Cash Equivalents”;

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(iii) inserting the words “or the Additional Floating Rate Notes” after the words
“Floating Rate Notes” where it appears in the defined term “Exchange Offer”

(iv) inserting the words “and the Additional Floating Rate Notes” after the words
“Floating Rate Notes” where it appears in the defined term “Intercreditor Agreement”
and

(v) inserting the words “(excluding clause (vii)(A)(2))” after the words “through
(x)” in clause (b) of the defined term “Net Cash Proceeds”.

     (b) Section 4.01(a) is hereby amended by inserting the words “and the Additional
Floating Rate Notes” after the words “Floating Rate Notes” where it appears therein.

     (c) Section 4.01(c) is hereby amended by inserting the words “and the Additional
Floating Rate Notes” after the words “Floating Rate Notes” where it appears therein.

     (d) Section 5.02(a)(viii) is hereby amended by inserting after the words “Floating Rate
Notes” therein the words “and Additional Floating Rate Notes”.

     (e) Section 5.02(b)(vii) is amended by deleting clause (A) thereof in its entirety and
replacing it with “(A)(1) the Floating Rate Notes, not to exceed €100,000,000 at any time
outstanding and (2) the Additional Floating Rate Notes issued pursuant to the Offering
Circular dated September 24, 2009; provided that immediately upon the incurrence of the Debt
in respect of the Additional Floating Rate Notes the Term Advances are prepaid in full, in
each case with respect to clauses (1) and (2), to the extent such Debt does not constitute
“Designated Senior Debt” for purposes of any Subordinated Debt, including the Senior
Subordinated Notes”.

     (f) Section 5.02(b)(xi) is hereby amended by inserting after the words “Floating Rate
Notes” therein the words “and Additional Floating Rate Notes”.

     (g) Section 5.02(f)(vii)(E) is hereby amended by inserting after the words “Floating
Rate Notes” therein the words “and Additional Floating Rate Notes”.

     (h) Section 5.02(l)(ii)(E) is hereby amended by inserting the words “and the Additional
Floating Rate Notes on terms substantially identical to those contained in the Floating Rate
Notes” after the words “Effective Date” therein.

     (i) Section 5.02(p)(iv)(B) is hereby amended by inserting the words “and the Additional
Floating Rate Notes on terms substantially identical to those contained in the Floating Rate
Notes” after the words “Effective Date” therein.

          (II) Consents. The Required Lenders hereby consent to (x) Amendment No. 1 to the
Second Lien Security Agreement dated as of the date hereof (“Second Lien Security Agreement
Amendment”) among the Borrower, Parent, the Subsidiary Guarantors and the Bank

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of New York Trust Company N.A., as Trustee under the Floating Rate Indenture attached hereto
as Exhibit A, (y) amendments and modifications of certain second lien intellectual property
security agreements, pledge agreements, mortgages, and deeds of trust securing Floating Rate Notes,
to secure the Additional Floating Rate Notes on a second priority basis, pari passu with the
Floating Rate Notes and (z) consent to the execution and delivery by the Agent, in its capacity as
Intercreditor Agent (as defined in the Intercreditor Agreement), of the Consent of Intercreditor
Agent in substantially the form annexed to the Second Lien Security Agreement Amendment.

          SECTION 2. Other Amendments to Credit Agreement. The Credit Agreement is, subject to
the satisfaction of the conditions precedent set forth in Section 3, hereby amended as
follows:

     (a) Section 1.01 of the Credit Agreement is hereby amended by including the following
new defined terms in the proper alphabetical order:

          “ “Amendment No. 3 Effective Date” means October 5, 2009.”

          “
“Attributable Debt” in respect of a Sale and Leaseback Transaction means, at the time of
determination, the present value of the obligation of the lessee for net rental payments
(excluding, however, any amounts required to be paid by such lessee, whether or not designated as
rent or additional rent, on account of maintenance and repairs, insurance, taxes, assessments,
water rates or similar charges or any amounts required to be paid by such lessee thereunder
contingent upon the amount of sales or similar contingent amounts) during the remaining term of the
lease included in such Sale and Leaseback Transaction, including any period for which such lease
has been extended or may, at the option of the lessor, be extended. Such present value will be
calculated using a discount rate equal to the rate of interest implicit in such transaction,
determined in accordance with GAAP.”

          “ “First Lien Leverage Ratio” means, at any date of determination, the ratio of Total Net Debt
of the Borrower and its Subsidiaries at such date (including in any event all Debt outstanding
under this Agreement) that is secured by a first priority Lien on any right, title, property or
asset of any Loan Party to Consolidated EBITDA of the Borrower and its Subsidiaries for the most
recently completed Measurement Period.”

          “ “Fixed Charge Coverage Ratio” means, with respect to any specified Person for any period,
the ratio of the Consolidated EBITDA of such Person for such period to the Fixed Charges of such
Person for such period. For purposes of this definition, (i) EBITDA shall be determined on a pro
forma basis as set forth in the definition thereof, (ii) any Indebtedness incurred, assumed,
defeased, redeemed, prepaid or repaid during any Measurement Period shall be deemed to have been
incurred, assumed, defeased, redeemed, prepaid or repaid on the first day of such Measurement
Period, and (iii) consolidated interest expense attributable to interest on any Indebtedness
(whether existing or being Incurred) computed on a pro forma basis and bearing a floating interest
rate will be computed as if the rate in effect on the last date of the Measurement Period (taking
into account any interest rate option, swap, cap or similar agreement applicable to such
Indebtedness if such agreement has a remaining term in excess of 12 months

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or, if shorter, at least equal to the remaining term of such Indebtedness) had been the
applicable rate for the entire period.

          “Fixed Charges” means, with respect to any specified Person for any period, the sum, without
duplication, of:

     (a) the consolidated interest expense of such Person and its Subsidiaries for such
period, whether paid or accrued, including, without limitation, amortization of debt
issuance costs and original issue discount, non-cash interest payments, the interest
component of any deferred payment obligations, the interest component of all payments
associated with Capitalized Leases, imputed interest with respect to Attributable Debt,
commissions, discounts and other fees and charges incurred in respect of letter of credit or
bankers’ acceptance financings, and net of the effect of all payments made or received
pursuant to Hedge Agreements; plus

     (b) the consolidated interest of such Person and its Subsidiaries that was capitalized
during such period; plus

     (c) any interest expense on Indebtedness of another Person that is Guaranteed by such
Person or one of its Subsidiaries or secured by a Lien on assets of such Person or one of
its Subsidiaries, to the extent not included under any other clause of this definition,
whether or not such Guarantee or Lien is called upon; plus

     (d) the product of (a) all dividends, whether paid or accrued and whether or not in
cash, on any series of Preferred Interests (including Redeemable Equity Interests) of such
Person or any of its Subsidiaries, other than dividends on Equity Interests payable solely
in common Equity Interests of the Borrower or to the Borrower or a Subsidiary of the
Borrower, times (b) a fraction, the numerator of which is one and the denominator of which
is one minus the then current combined federal, state and local statutory tax rate of such
Person, expressed as a decimal; minus

     (e) interest income,

in each case, on a consolidated basis and in accordance with GAAP; provided, however, that Fixed
Charges shall not include (x) the amortization or write-off of deferred financing fees or debt
issuance costs or any expensing of bridge or any financing fees or (y) any non-cash interest
expense attributable to the movement in the mark to market valuation of Hedge Agreements or other
derivative instruments pursuant to Financial Accounting Standards Board Statement No. 133
“Accounting for Derivative Instruments and Hedging Activities.
” ”

          “ “Sale and Leaseback Transaction” has the meaning specified in Section 5.02(s).”

          (b) Section 1.01 is hereby further amended by

               (i) deleting the defined term “Interest Coverage Ratio” in its entirety;

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     (ii) adding the words “, Credit Suisse, Cayman Islands Branch” after the words
“Initial Issuing Bank” where it appears in the first line of the defined term
“Issuing Bank”; and

     (iii) inserting the words “(excluding clause (ix)(B))” after the words “(i)
through (xi)” in clause (a) of the defined term “Net Cash Proceeds”.

     (c) Section 2.01(g) is hereby amended by replacing the amount “$10,000,000” where it
appears in clause (A) of the proviso thereto with “$15,000,000”.

     (d) Section 2.17(a) is hereby amended by replacing the amount “$100,000,000” where it
appears therein with “$200,000,000”.

     (e) Section 5.01(p) is hereby amended and restated in its entirety to read as follows:
“[Reserved]”.

     (f) Section 5.02(a) is hereby amended as follows:

     (i) Section 5.02(a)(vii) is hereby amended by (A) inserting after the word
“Debt” in the first line thereof the words “or other obligation” and (B) replacing
the amount “$2,500,000” therein with “$7,500,000”;

     (ii) Section 5.02(a)(ix) is hereby amended by deleting the word “and” at the
end thereof;

     (iii) the following new clause (x) is inserted immediately after Section
5.02(a)(ix): “(x) Liens arising under Sale and Leaseback Transactions permitted
under Section 5.02(s); provided that no such Lien shall extend to or cover any
Collateral or assets other than the assets subject to such Sale and Leaseback
Transaction; and” and

     (iv) Section 5.02(a)(x) is hereby amended by (A) designating such Section as
5.02(a)(xi) and (B) inserting after the reference “(viii)” where it appears therein
the words “and clause (x)”.

     (g) Section 5.02(b) is hereby amended as follows:

               (i) Section 5.02(b)(xi) is replaced in its entirety with the following:

“(xi) so long as no Default has occurred and is continuing or would result
from the incurrence thereof, additional Subordinated Debt so long as the
Fixed Charge Coverage Ratio for Borrower’s most recently ended four full
fiscal quarters for which internal financial statements are available
immediately preceding the date on which such additional Subordinated Debt is
incurred would have been at least 2.00:1.00 on a pro forma basis (including
a pro forma application of the Net Cash Proceeds therefrom), as

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if the additional Subordinated Debt had been incurred at the beginning of
such four-quarter Period”;

     (ii) Section 5.02(b)(xiv) is amended by deleting the word “and” at the end
thereof;

     (iii) Section 5.02(b)(xv) is amended by adding the following in place of the
period at the end thereof “; and”; and

     (iv) The following new clause (xvi) is added to Section 5.02(b) “(xvi) Debt
incurred in connection with Sale and Leaseback Transactions permitted by Section
5.02(s).”

     (h) Section 5.02(e)(ix) is hereby amended by replacing it in its entirety with
“transactions permitted by (A) Section 5.02(d) or (B) Section 5.02(s);”.

(i) Section 5.02(f) is hereby amended as follows:

     (i) Section 5.02(f)(i) is amended by replacing the amount “$10,000,000” with
“$20,000,000”;

     (ii) Section 5.02(f)(vii)(D) is amended by (A) deleting clauses (1) through (3)
therein in their entirety and substituting therefor the words “$200,000,000 in the
aggregate from and after the Amendment No. 3 Effective Date”; (B) deleting the first
proviso therein in its entirety; and (C) inserting after the words “owned by such
Loan Party” at the end thereof the following “unless all or substantially all of the
assets of such entity or subject to such acquisition are in the U.S. and become
Collateral on terms reasonably acceptable to the Administrative Agent within 60 days
after the acquisition thereof or such longer period as the Administrative Agent may
agree in its discretion”;

     (iii) Section 5.02(f)(vii)(E) is amended by deleting the proviso in parentheses
in clause (2) thereof;

     (iv) Section 5.02(f)(viii) is amended by replacing the amount “$5,000,000”
therein with “$10,000,000”; and

     (v) Section 5.02(f)(ix) is amended by replacing the amount “$15,000,000”
therein with “$30,000,000”.

     (j) Section 5.02(o) is hereby amended by replacing the amount “$35,000,000” wherever it
appears therein with “$40,000,000”

     (k) Section 5.02 is hereby amended by inserting a new subsection 5.02(s) as follows:

“(s) Sale and Leaseback Transactions. Enter into any transaction (other
than a transaction among the Borrower and its Subsidiaries that would have otherwise

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been permitted by Section 5.02(e)(xi))) involving any of the assets or properties of
the Borrower or any of its Subsidiaries whether now owned or hereafter acquired,
whereby the Borrower or such Subsidiary sells or otherwise transfers such assets or
properties and then or thereafter leases such assets or properties or any part
thereof or any other assets or properties which the Borrower or any of its
Subsidiaries intends to use for substantially the same purpose or purposes as the
assets or properties sold or transferred (a “Sale and Leaseback Transaction”);
provided that the Borrower and its Subsidiaries may enter into (x) the Sale and
Leaseback Transactions set forth on Schedule 5.02(s) for fair value (and promptly
after the consummation of each such Sale and Leaseback Transaction, advise the Agent
in writing (who may provide such information to the Lenders) of the amount received
by the Borrower or the applicable Subsidiary in connection with such Sale and
Leaseback Transaction) and (y) additional Sale and Leaseback Transactions for fair
value in an aggregate amount not to exceed $35,000,000.

     (l) Section 5.04(a) is hereby amended by deleting it in its entirety and replacing it
with “(a) First Lien Leverage Ratio. Maintain at all times a First Lien Leverage
Ratio of not more than 2.00:1.00.”

     (m) Section 5.04(b) is hereby deleted in its entirety.

     (n) Schedule I is hereby supplemented to include the information set forth on Schedule
A to this Amendment.

     (o) Schedule 5.02(s) to this Amendment is hereby added as Schedule 5.02(s) to the
Credit Agreement.”

          SECTION 3. Conditions to Effectiveness. (a) Section 1 of this Amendment shall become
effective on and as of the first date (the “Amendment No. 3 Effective Date”) on which the following
conditions precedent have been satisfied:

     (i) The Agent shall have received counterparts of this Amendment, executed by
the Borrower, the Parent and each of the Required Lenders, in accordance with the
provisions of Section 9.01 of the Credit Agreement;

     (ii) The Agent shall have received a consent to this Amendment (in the form
attached hereto) from each Subsidiary Guarantor, executed by each such Subsidiary
Guarantor;

     (iii) The fees, costs and expenses owing to the Agent and the Lenders pursuant
to the Credit Agreement or in connection with this Amendment or the Credit
Agreement, or any of the transactions contemplated hereby or thereby, shall have
been paid by the Borrower;

     (iv) Before and after giving effect to the issuance of the Additional Floating
Rate Notes and the application of the proceeds therefrom, the representations and
warranties contained in each Loan Document shall be correct

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in all material respects and no Default or Event of Default shall have occurred
and be continuing;

     (v) The Agent shall have received a certificate of an officer of the Borrower
certifying that the statements set forth in clause (iv) above are true and correct
as of the Amendment No. 3 Effective Date; and

     (vi) The Agent shall have received such other documents and instruments as it
shall reasonably request.

     (b) Section 2 of this Amendment shall become effective on and as of the first date on
which the following conditions precedent have been satisfied:

     (i) The Amendment No. 3 Effective Date shall have occurred;

     (ii) The Additional Floating Rate Notes shall have been issued and the
aggregate principal amount of all then outstanding Term Advances shall have been
prepaid in full, including any amounts owing pursuant to Section 9.04(c);

     (iii) Solely with respect to clause (c) of Section 2, the Agent shall have
received the consent of the applicable Issuing Bank thereto; and

     (iv) No Default or Event of Default shall have occurred and be continuing and
the Agent shall have received a certificate from an officer of the Borrower
certifying to the foregoing.

          SECTION 4. Representations and Warranties of the Borrower and Parent. Each of the
Borrower and Parent hereby represents and warrants as follows:

     (a) The execution, delivery and performance by the Borrower and Parent of this
Amendment, the execution and delivery by each Subsidiary Guarantor of its consent to this
Amendment (in the form attached hereto), and the performance by the Borrower and Parent of
the Credit Agreement, as amended hereby, have been duly authorized by all necessary
corporate action.

     (b) This Amendment has been duly executed and delivered by the Borrower and Parent.
This Amendment and the Credit Agreement, as amended hereby, constitute the legal, valid and
binding obligations of the Borrower and Parent, enforceable against the Borrower and Parent
in accordance with their respective terms, subject to the effect of any applicable
bankruptcy, insolvency, reorganization, moratorium or similar law affecting creditors’
rights generally, and subject to the effects of general principles of equity (regardless
whether considered in a proceeding in equity or at law).

          SECTION 5. Reference to and Effect on the Loan Documents. (a) On and after the
effectiveness of this Amendment, each reference in the Credit Agreement to “this Agreement”,
“hereunder”, “hereof” or words of like import referring to the Credit Agreement, and each reference
in each of the other Transaction Documents to “the Credit Agreement”,

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“thereunder”, “thereof” or words of like import referring to the Credit Agreement, shall mean
and be a reference to the Credit Agreement, as amended by this Amendment.

     (b) The Credit Agreement and each of the other Loan Documents, as specifically amended
by this Amendment, are and shall continue to be in full force and effect and are hereby in
all respects ratified and confirmed.

     (c) The execution, delivery and effectiveness of this Amendment shall not, except as
expressly provided herein, operate as a waiver of any right, power or remedy of any Lender
or the Administrative Agent under the Credit Agreement, nor constitute a waiver of any
provision of the Credit Agreement or any other Loan Document.

          SECTION 6. Costs, Expenses. The Borrower hereby agrees to pay on demand all costs and
expenses incurred by the Administrative Agent pursuant to the Credit Agreement or in connection
with this Amendment or the Credit Agreement, or any of the transactions contemplated hereby or
thereby (including, without limitation, the reasonable fees and expenses of counsel for the Agent)
in accordance with the terms of Section 9.04 of the Credit Agreement.

          SECTION 7. Execution in Counterparts. This Amendment may be executed in any number of
counterparts and by different parties hereto in separate counterparts, each of which when so
executed shall be deemed to be an original and all of which taken together shall constitute but one
and the same agreement. Delivery of an executed counterpart of a signature page to this Amendment
by facsimile or other electronic communication shall be effective as delivery of a manually
executed counterpart of this Amendment.

          SECTION 8. Governing Law. This Amendment shall be governed by, and construed in
accordance with, the laws of the State of New York.

          SECTION 9. Waiver of Jury Trial. EACH PARTY SIGNATORY HERETO IRREVOCABLY WAIVES ALL
RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT
OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AMENDMENT OR THE ACTIONS OF ANY AGENT OR ANY
LENDER IN THE NEGOTIATION, ADMINISTRATION, PERFORMANCE OR ENFORCEMENT HEREOF.

[THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

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          IN WITNESS WHEREOF, the parties hereto have caused this Amendment No. 3 to be executed by
their respective officers thereunto duly authorized, as of the date first above written.

	 	 	 	 	 
	 	PREGIS CORPORATION,

as Borrower

 	 
	 	By  	/s/ D. Keith LaVanway
 	 
	 	 	Name:  	D. Keith LaVanway 	 
	 	 	Title:  	Vice President, Chief Financial Officer,
Treasurer and Secretary 	 
	 

					
	 	 	 	 	 
	 
	 	[Signature Page]
	 	Pregis — Amendment No. 3

 

 

	 	 	 	 	 
	 	PREGIS HOLDING II CORPORATION,

as Parent

 	 
	 	By  	/s/ D. Keith LaVanway
 	 
	 	 	Name:  	D. Keith LaVanway 	 
	 	 	Title:  	Vice President, Chief Financial
Officer, Treasurer and Secretary 	 
	 

					
	 	 	 	 	 
	 
	 	[Signature Page]
	 	Pregis — Amendment No. 3

 

 

	 	 	 	 	 
	 	CREDIT SUISSE, CAYMAN ISLANDS BRANCH,

as Issuing Bank

 	 
	 	By  	/s/ Shaheen Malik
 	 
	 	 	Name:  	Shaheen Malik 	 
	 	 	Title:  	Vice President 	 
	 
	 	 	 
	 	By  	/s/ Ilya Ivashkov
 	 
	 	 	Name:  	Ilya Ivashkov 	 
	 	 	Title:  	Associate 	 
	 
	 

					
	 
	 	[Signature Page]
	 	Pregis — Amendment No. 3exv10w2

EXECUTION COPY

AMENDMENT NO. 1 TO THE SECOND LIEN SECURITY AGREEMENT

          This AMENDMENT NO. 1 (this “Amendment”) is entered into as of October 5, 2009, among PREGIS
CORPORATION, a Delaware corporation (the “Company”), each of the other Grantors (as hereinafter
defined) signatory hereto and THE BANK OF NEW YORK MELLON TRUST COMPANY N.A., as Trustee (the
“Trustee”) and as collateral agent (in such capacity, the “Collateral Agent”) for the Holders (as
hereinafter defined).

PRELIMINARY STATEMENTS:

          (1) The Company, the other Grantors and the Collateral Agent have entered into the Second
Lien Security Agreement, dated as of October 12, 2005 (such Second Lien Security Agreement, the
“Security Agreement”). Capitalized terms not otherwise defined in this Amendment shall have the
respective meaning ascribed to such terms in the Security Agreement (as amended by this Amendment).

          (2) The Company has issued certain senior secured floating rate notes (the “Original Notes) to
the Holders and pursuant to the Security Agreement has granted to the Collateral Agent for the
benefit of the Trustee and the ratable benefit of the Holders a second priority security interest
in the Collateral.

          (3) The Company intends to issue additional senior secured floating rate notes under the
Indenture in an aggregate principal amount of Euros which as of the date hereof is approximately
equivalent to €125,000,000 (the “Additional Floating Rate Notes”), which Additional Floating Rate
Notes shall be secured by the Collateral on a second priority basis on the same terms and
conditions set forth in the Security Agreement and the other Note Documents as the Original Notes.

          (4) The Company, the other Grantors and the Collateral Agent are, on the terms and conditions
stated below, willing to amend the Security Agreement as hereinafter set forth.

          SECTION 1. Amendments to Security Agreement. The Security Agreement is, effective as
of the date hereof and subject to the satisfaction of the conditions precedent set forth in
Section 2, hereby amended by:

     (a) Deleting the word “Second” before the words “Secured Floating Rate Notes” in
Preliminary Statement (1) therein; and

     (b) Substituting the first parenthetical in Preliminary Statement (1) therein with the
following parenthetical:

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“(together with any additional notes from time to time issued under the Indenture,
including, without limitation, the Senior Secured Floating Rate Notes due 2013 issued on
October 5, 2009, the “Notes”)”

     (c) Adding a new clause (d) in Section 9 to read as follows:

“(d) Pursuant to Section 12.06(b) of the Indenture, the Collateral Agent has requested and
each Grantor hereby agrees to take the following actions promptly after the issue date of
the Senior Secured Floating Rate Notes due 2013 issued on October 5, 2009, to provide a
perfected security interest securing such notes: (w) amend the Subordinated Pledge
Agreement, dated as of October 12, 2005, between the Company, and the Collateral Agent, (x)
amend the existing mortgages and deeds of trust and provide local counsel opinions in
connection with the same, such amendments and opinions to be in form and substance
reasonably satisfactory to the Collateral Agent, (y) (i) with respect to the property
located in Queensbury, New York, amend the mortgage to increase the capped secured amount
thereunder to $3,500,000 and (ii) with respect to the properties located outside of the
State of New York, obtain (through an endorsement to the applicable existing title insurance
policy) increased title insurance coverage in an amount equal to 10% of the applicable
existing insured amount and a date-down endorsement for the applicable existing title
insurance policy which modifies the effective date of the title insurance policy to a
current date and (z) amend the intellectual property security agreements, the parties hereto
hereby agreeing that for purposes of Section 12.06(b) and 12.06(d) of the Indenture, given
the number, extent and complexity of the filings in connection with the foregoing clauses
(w) through (z), completion of such filings and delivery of perfected security interests and
the items identified in such clauses within 120 days from the issue date of the Senior
Secured Floating Rate Notes due 2013 issued on October 5, 2009 shall constitute prompt
delivery for the purposes thereof; provided that, in the event any of the properties subject
to a mortgage or deed of trust is sold or transferred within such 120 day period, clauses
(x) and (y) shall no longer apply to such property as and from the date of the sale or
transfer.”

          SECTION 2. Conditions to Effectiveness. This Amendment shall become effective on
and as of the first date on which the Collateral Agent shall have received counterparts of this
Amendment, executed by the Company and each of the other Grantors and the consent of the
Intercreditor Agent (as defined in the Intercreditor Agreement) of the execution and delivery by
the Grantors of this Amendment.

          SECTION 3. Representations and Warranties of the Grantors. Each of the Grantors
hereby represents and warrants as follows:

     (a) The execution, delivery and performance by each Grantor of this Amendment, and the
performance by each such Grantor of the Security Agreement, as amended hereby, have been
duly authorized by all necessary corporate action.

     (b) This Amendment has been duly executed and delivered by each Grantor. This
Amendment and the Security Agreement, as amended hereby, constitute the legal, valid and
binding obligations of each Grantor, enforceable against each such Grantor in

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accordance with their respective terms, subject to the effect of any applicable
bankruptcy, insolvency, reorganization, moratorium or similar law affecting creditors’
rights generally, and subject to the effects of general principles of equity (regardless
whether considered in a proceeding in equity or at law).

          SECTION 4. Affirmation of Grantors. (a) Each Grantor in its capacity as a
Guarantor hereby specifically consents to this Amendment and hereby confirms and agrees that,
notwithstanding the effectiveness of this Amendment, the obligations of such Guarantor contained in
the Note Guarantee (as defined in the Indenture), or in any other Note Document to which it is a
party are, and shall remain, in full force and effect and are hereby ratified and confirmed in all
respects, in each case as amended by this Amendment.

     (b) Each Grantor hereby confirms and agrees that the Additional Notes constitute
“Secured Obligations” under, and as defined in, the Security Agreement.

     (c) By its execution of this Amendment, each Grantor hereby (i) authorizes and agrees
that the financing statements on form UCC-1 (stamped copies of which are attached as
Schedule 1 to this Amendment) naming such Grantor as debtor and the Collateral Agent as
secured party, which were filed in connection with its initial execution and delivery of the
Security Agreement cover the Additional Notes and (ii) acknowledges and agrees that this
Amendment constitutes a request from the Collateral Agent for purposes of Section 12.06(b)
of the Indenture.

          SECTION 5. Reference to and Effect on the Note Documents.

     (a) On and after the effectiveness of this Amendment, each reference in the Security
Agreement to “this Agreement”, “hereunder”, “hereof” or words of like import referring to
the Security Agreement, and each reference in each of the other Note Documents to “the
Security Agreement”, “thereunder”, “thereof” or words of like import referring to the
Security Agreement, shall mean and be a reference to the Security Agreement, as amended by
this Amendment.

     (b) The Security Agreement and each of the other Note Documents, as specifically
amended by this Amendment, are and shall continue to be in full force and effect and are
hereby in all respects ratified and confirmed.

     (c) The execution, delivery and effectiveness of this Amendment shall not, except as
expressly provided herein, operate as a waiver of any right, power or remedy of any Holder
or the Collateral Agent under the Security Agreement, nor constitute a waiver of any
provision of the Security Agreement or any other Note Document.

          SECTION 6. Costs, Expenses. The Company hereby agrees to pay on demand all costs and expenses incurred by the
Collateral Agent pursuant to the Security Agreement or in connection with this Amendment or the
Security Agreement, or any of the transactions contemplated hereby or thereby (including, without
limitation, the reasonable fees and expenses of counsel for the Collateral Agent) in accordance
with the terms of Section 23 of the Security Agreement.

Pregis –  2nd Lien Security Agreement Amendment

3

 

          SECTION 7. Execution in Counterparts. This Amendment may be executed in any number of
counterparts and by different parties hereto in separate counterparts, each of which when so
executed shall be deemed to be an original and all of which taken together shall constitute one and
the same agreement. Delivery of an executed counterpart of a signature page to this Amendment by
facsimile or other electronic communication shall be effective as delivery of a manually executed
counterpart of this Amendment.

          SECTION 8. Governing Law. This Amendment shall be governed by, and construed in
accordance with, the laws of the State of New York.

          SECTION 9. Waiver of Jury Trial. EACH PARTY SIGNATORY HERETO IRREVOCABLY WAIVES ALL
RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT
OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AMENDMENT OR THE ACTIONS OF THE COLLATERAL AGENT,
TRUSTEE OR ANY HOLDER IN THE NEGOTIATION, ADMINISTRATION, PERFORMANCE OR ENFORCEMENT HEREOF.

[THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

Pregis –  2nd Lien Security Agreement Amendment

4

 

          IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their
respective officers thereunto duly authorized, as of the date first above written.

	 	 	 	 	 
	 	PREGIS CORPORATION

 	 
	 	By:  	/s/
D. Keith LaVanway 	 
	 	 	Name: 	D. Keith LaVanway 	 
	 	 	Title: 	Vice President, Chief Financial Officer,
Treasurer and Secretary	 
	 
	 	PREGIS HOLDING II CORPORATION

 	 
	 	By:  	/s/ D. Keith LaVanway 	 
	 	 	Name: 	D. Keith LaVanway 	 
	 	 	Title: 	Vice President, Chief Financial Officer,
Treasurer and Secretary	 
	 
	 	PREGIS INNOVATIVE PACKAGING INC.

 	 
	 	By:  	/s/ D. Keith LaVanway 	 
	 	 	Name: 	D. Keith LaVanway 	 
	 	 	Title: 	Vice President, Chief Financial Officer,
Treasurer and Secretary	 
	 
	 	HEXACOMB CORPORATION

 	 
	 	By:  	/s/ D. Keith LaVanway 	 
	 	 	Name: 	D. Keith LaVanway 	 
	 	 	Title: 	Vice President, Chief Financial Officer,
Treasurer and Secretary	 
	 
	 	PREGIS MANAGEMENT CORPORATION

 	 
	 	By:  	/s/ D. Keith LaVanway 	 
	 	 	Name: 	D. Keith LaVanway 	 
	 	 	Title: 	Vice President, Chief Financial Officer,
Treasurer and Secretary	 
	 

					
	 
	 	 
	 	Pregis – 2nd Lien Security Agreement Amendment

[Signature Page]

 

 

	 	 	 	 	 
	 	THE BANK OF NEW YORK MELLON TRUST COMPANY N.A.,

as Collateral Agent

 	 
	 	By:  	/s/ R. Tarnas 	 
	 	 	Name:  	R. Tarnas 	 
	 	 	Title:  	Vice President 	 
	 

					
	 
	 	 
	 	Pregis – 2nd Lien Security Agreement Amendment

[Signature Page]

 

 

CONSENT OF INTERCREDITOR AGENT

Dated as of October 5, 2009

          Reference is made to (a) the Credit Agreement dated as of October 12, 2005 (as amended,
restated, supplemented and otherwise modified to the date hereof, the “Credit Agreement”;
capitalized terms not otherwise defined herein shall have the respective meanings ascribed to such
terms in the Credit Agreement) among Pregis Corporation, a Delaware corporation (the “Borrower”),
Pregis Holding II Corporation, a Delaware corporation (“Parent”), various subsidiaries of the
Borrower as Subsidiary Guarantors, various agents party thereto, the banks, financial institutions
and other institutional lenders party thereto from time to time (each a “Lender” and collectively
the “Lenders”) and Credit Suisse, Cayman Islands Branch, as collateral agent and administrative
agent (“Agent”), (b) the Intercreditor Agreement dated as of October 12, 2005, among the Agent and
the Trustee for the holders of the Floating Rate Notes, acknowledged and agreed to by the Borrower,
Parent and each Subsidiary Guarantor and (c) Amendment no. 1 to the Second Lien Security Agreement,
dated as of 5, 2009, (the “Second Lien Security Agreement Amendment”) among the Borrower, Parent
and the Subsidiary Guarantors. The Agent, in its capacity as Intercreditor Agent (as defined in
the Intercreditor Agreement) under the Intercreditor Agreement, hereby consents to the execution
and delivery by the Borrower, Parent and the Subsidiary Guarantors party thereto of the Second Lien
Security Agreement Amendment and any amendment to any of the other Second-Priority Collateral
Documents necessary or desirable to grant a perfected security interest in the property, rights and
assets of the Loan Parties that are required to secure the Additional Notes.

	 	 	 	 	 
	 	CREDIT SUISSE, CAYMAN ISLANDS BRANCH,

as Intercreditor Agent

 	 
	 	By:  	/s/
Shaheen
Malik                /s/
Ilya Ivashkov	 
	 	 	Name:  	Shaheen
Malik          Ilya
Ivashkov	 
	 	 	Title:  	Vice President          Associate	 
	 

					
	 
	 	 
	 	Pregis – 2nd Lien Security Agreement Amendment

[Signature Page]

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