Document:

Copy of Fourth Mortgage Modification

 Exhibit 10.3 
 RETURN TO: 
  

			
	  
	 	
	  
	 	
	  
	 	

 THIS FOURTH MODIFICATION OF MORTGAGE, COLLATERAL ASSIGNMENT OF LEASES, RENTS AND PROFITS AND NON-TAXABLE AGREEMENT
NOT TO ENCUMBER OR TRANSFER PROPERTY SPREADER AGREEMENT SECURES A REVOLVING LINE OF CREDIT LOAN ORIGINALLY IN THE AMOUNT OF UP TO $125,000,000 REDUCED TO $75,000,000, A TERM LOAN ORIGINALLY IN THE PRINCIPAL AMOUNT OF $19,000,000, AND A TERM LOAN
ORIGINALLY IN THE PRINCIPAL AMOUNT OF $50,000,000. 
 FOURTH MODIFICATION OF MORTGAGE, 
 COLLATERAL ASSIGNMENT OF LEASES, RENTS AND PROFITS AND 
 NON-TAXABLE AGREEMENT NOT TO ENCUMBER OR TRANSFER PROPERTY 
 SPREADER AGREEMENT 
 THIS FOURTH MODIFICATION OF MORTGAGE, COLLATERAL ASSIGNMENT OF LEASES, RENTS AND PROFITS AND NON-TAXABLE AGREEMENT NOT TO ENCUMBER OR TRANSFER PROPERTY
SPREADER AGREEMENT (“Modification Agreement”) is made March 30, 2009 by ALICO, Inc., whose address is 640 South Main Street, Labelle, FL, 33935, the Mortgagor under the Mortgage described below (“Mortgagor”), and
delivered to Farm Credit of Southwest Florida, ACA, an agricultural credit association, for itself and as agent/nominee for any lending institutions having an interest, direct or indirect, in the indebtedness secured hereby, as Mortgagee
(referred to herein as “Lender”), whose address is 330 North Brevard Avenue, Arcadia, Florida 34266. 
 RECITALS 

Lender is owner and holder of: 
 1. that a
certain Mortgage (the “Mortgage”) dated March 12, 1999, recorded at Book 582, Page 663 et seq. of the public land records of the County of Hendry, State of Florida, as modified by a Modification of Mortgage dated
October 11, 2005, and recorded in the real property records for Hendry County, Florida in Book 718, Page 1024, as modified by a Second Modification of Mortgage and Collateral Assignment of Leases, Rents and Profits and Non-Taxable
Agreement Not to Encumber or Transfer Property Spreader Agreement dated May 26, 2006, and recorded in the real property 

 
records for Hendry County, Florida in Book 738, Page 263, and as modified by a Third Modification of Mortgage and Collateral Assignment of Leases,
Rents and Profits and Non-Taxable Agreement Not to Encumber or Transfer Property Spreader Agreement dated September 3, 2008, and recorded in the real property records for Hendry County, Florida in Book 791, Page 1958, together with all
extensions and modifications thereof whenever made; 
 2. that certain Collateral Assignment of Leases, Rents and Profits dated
March 12, 1999, recorded at Book 582, Page 670 et seq. of the public land records of the County of Hendry, State of Florida (the “Assignment”); and 
 3. that certain Non-Taxable Agreement Not to Encumber Or Transfer Property dated December 11, 2001, recorded at Book 624, Page 263 et seq. of
the public land records of the County of Hendry, State of Florida (the “Negative Pledge”). 
 Lender is owner and holder of
that certain term promissory note (the “$19 Million Term Note”) in the original amount of $19,000,000 (the “$19 Million Term Loan”) dated March 12, 1999, that certain revolving line of credit promissory note (the “RLOC
Note”) in the original amount of $175,000,000 (the “RLOC Loan”) dated October 11, 2005, and that certain term promissory note (the “$50 Million Term Note”) in the original amount of $50,000,000 (the “$50 Million
Term Loan”) dated September 3, 2008, each made by Mortgagor, payment of each of which is secured by the Mortgage and the Assignment. 
 Mortgagor has requested that the RLOC Loan be reduced to $75,000,000. Lender has agreed to modify, amend and restate the RLOC Loan provided that, among other things, Mortgagor pledge additional real property located in Hendry County,
Florida, and any leases, rents, issues and profits arising from such additional real property as collateral for the Loans and subject such additional property to the Negative Pledge. 
 WITNESSETH: 
 In consideration of the foregoing premises Mortgagor and Lender
hereby modify the Mortgage and any prior modifications thereof as follows: 
 1. RLOC Loan. The RLOC Loan, as modified, amended and
restated shall continue to be secured by the Mortgage and the Assignment. Further, the Assignment is hereby modified to specifically state that it secures, in addition to any obligations of Mortgagor to Lender described therein, the RLOC Loan, as
such may be modified, amended, renewed or extended from time to time hereafter. 
 2. Notes Secured. Mortgagor acknowledge(s) and
agree(s) (i) that the payment and performance of the obligations of Mortgagor to Lender existing and arising under the RLOC Loan, the $19 Million Term Loan, and $50 Million Term Loan, as evidenced by their respective promissory notes (the
“Notes”), shall continue to be secured by the Mortgage and the Assignment and (ii) that there are no defenses or impediments to enforcement of the lien of the Mortgage or the Assignment. 

 3. Spreader Agreement. The Mortgage is modified such that the Mortgagor shall pledge, in addition
to the real property collateral currently pledged thereby, the real property described on Exhibit A attached hereto and made a part hereof (the “New Property”). Exhibit A of the Mortgage shall, from the date hereof, include
the New Property. The Assignment is further modified such that the Mortgagor shall assign, in addition to the leases, rents, issues and profits currently pledged thereby, the leases, rents, issues and profits arising from the New Property. Exhibit A
of the Assignment shall, from the date hereof, include the New Property. The Negative Pledge is hereby modified such that the Mortgagor (known as the Borrower therein) shall subject, in addition to the real property described therein, the New
Property to the terms of the Negative Pledge. Exhibit A of the Negative Pledge shall, from the date hereof, include the New Property. 
 Each and every term,
covenant, provision and condition, set forth in the Mortgage, the Assignment and the Negative Pledge are hereby incorporated in this instrument and made a part hereof and, to the extent necessary, republished, ratified and confirmed so that the
liens granted by the Mortgage and the Assignment and the covenants agreed to by the Negative Pledge shall attach to the New Property as fully as if the New Property were a portion of the property mortgaged, assigned or subjected to covenants at the
time the Mortgage, the Assignment and the Negative Pledge were executed and delivered and so that the New Property shall be subject to the protections afforded Lender by each of the Mortgage, the Assignment and the Negative Pledge. 
 4. Mortgage, Assignment and Negative Pledge Confirmed. Mortgagor (Borrower under the Negative Pledge) acknowledge(s) and agree(s) that each of the
Mortgage and any prior modifications thereof, the Assignment and the Negative Pledge, except as expressly modified by this Agreement shall remain in full force and effect as originally executed and the terms of this Agreement shall be part of each
of the Mortgage, the Assignment and the Negative Pledge. 
 5. Document Taxes and Other Charges. Mortgagor shall pay the full amount
of any documentary stamp tax, intangible tax, interest, filing fees and penalties, if any, charged incident to the loan transaction and modification(s) described in or created by this Agreement and the filing hereof. If Mortgagor fails to pay the
obligations under this paragraph, Lender may pay such obligations. Any amounts so paid by Lender shall bear interest at the default rate stated in the Notes and shall be secured by the Mortgage and the Assignment. Notwithstanding the foregoing, the
obligation evidenced by this instrument is exempt from Florida intangible personal property tax pursuant to federal law and the provisions of Chapter 199, Florida Statutes (see TAA no. 05C2-004). This document is exempt from Florida documentary
stamp tax pursuant to Rule 12B-4.002(2)(c). 
 6. Representations and Warranties Confirmed. In executing and delivering this
Agreement, Mortgagor represents and warrants that all representations and 

 
warranties contained in the Mortgage with respect to the mortgaged property, the Assignment with respect to the assigned leases, rents, issues and profits
and in the Negative Pledge are true and correct with respect to the New Property as of the date hereof. 
 IN WITNESS WHEREOF, Mortgagor and
Lender have executed, delivered and sealed this instrument as of the day and year first above written. 
  

			
	Mortgagor
	
	ALICO, Inc. (Seal)
		
	By:	 	 /s/  Patrick W. Murphy

		 	Patrick W. Murphy, Chief Financial Officer
	
	Lender:
	
	FARM CREDIT OF SOUTHWEST FLORIDA, ACA, FOR ITSELF AND AS AGENT/NOMINEE FOR ANY LENDING INSTITUTIONS HAVING AN INTEREST, DIRECT OR INDIRECT, IN THE INDEBTEDNESS SECURED HEREBY,
INCLUDING, WITHOUT LIMITATION, THE NOTES SPECIFICALLY REFERENCED ABOVE (Seal)
		
	By:	 	 /s/  Greg A. Carlton

		 	Greg A. Carlton, Vice President

			
	State of	 	  

	County of	 	  

 Corporate Acknowledgment 
 The foregoing instrument was acknowledged this day by Patrick W. Murphy, Chief Financial Officer of ALICO, Inc., a Florida corporation on behalf
of the corporation, who is personally known to me or who has produced                      as identification. 
 Witness my hand and official seal, this 30th day of March, 2009. 
  

	
	                                       
                                         
                                         
   , Notary Public
	
	Notary Seal
	
	
                                         
                                         
                                         
 
	(Printed Name of Notary)
	Commission Expires:
                                         
                                         
      
	Commission Number:
                                         
                                         
     

  

			
	State of	 	  

	County of	 	  

 Lender Acknowledgment 
 The foregoing instrument was acknowledged this day by Greg A. Carlton, Vice President of Farm Credit of Southwest Florida, ACA, on behalf of the
Lender, who is personally known to me or who has produced                      as identification. 
 Witness my hand and official seal, this 30th day of March, 2009. 
  

	
	                                       
                                         
                                         
   , Notary Public
	
	Notary Seal
	
	
                                         
                                         
                                         
 
	(Printed Name of Notary)
	Commission Expires:
                                         
                                         
      
	Commission Number:
                                         
                                         
     

 Exhibit A 
 Additional Property 
 All of Sections 6, 7, 8, 9, 16, 17, 18, 19, 20, 21, 28, 29, 30, 31, 32, and 33, Township 45
South, Range 32 East, Hendry County, Florida.Copy Of Amended And Restated RLOC Note

 Exhibit 10.4 
 FARM CREDIT OF SOUTHWEST FLORIDA, ACA 
 SECOND AMENDED AND RESTATED RLOC NOTE 
 (Reduced from $125,000,000.00) 
 $75,000,000.00 

 Arcadia, Florida 
 March 30, 2009

 Loan Number 075 085457846-04 
 FOR
VALUE RECEIVED, ALICO, INC., a FLORIDA CORPORATION (“BORROWER”) PROMISES TO PAY TO THE ORDER OF FARM CREDIT OF SOUTHWEST FLORIDA, ACA, FOR ITSELF AND AS AGENT/NOMINEE FOR OTHER LENDING INSTITUTIONS HAVING AN INTEREST,
DIRECT OR INDIRECT, IN THIS SECOND AMENDED AND RESTATED RLOC NOTE (THE “NOTE”) AND ALL DOCUMENTS, INSTRUMENTS AND AGREEMENT PERTAINING THERETO, ITS SUCCESSORS AND/OR ASSIGNS (hereinafter called “Lender”), at the
office of Lender at 330 North Brevard Avenue, Arcadia, Florida 34266, or at such other place as the holder may designate in writing, on the RLOC Maturity Date (as defined in the Amended and Restated Loan Agreement between Borrower, Guarantors named
therein and Lender, dated May 26, 2006, as amended by that first amendment on August 30, 2007, by that second amendment on February 26, 2008, by that third amendment on March 25, 2008, by that fourth amendment on
September 3, 2008, and on even date herewith (collectively, the “Loan Agreement”)) in immediately available funds the principal sum of Seventy-Five Million and No/100 Dollars ($75,000,000.00), or so much thereof as may be
advanced from time to time. This Note amends and restates in its entirety, and is not considered a novation of, that certain Amended and Restated RLOC Note in the original principal amount of $125,000,000 from Borrower to Lender dated
September 3, 2008 

 
(as amended, the “Original Note”). As of the date hereof the outstanding principal balance of the Original Note is $34,540,028.82, which
balance shall be deemed outstanding hereunder. 
 Lender is hereby irrevocably authorized by Borrower to record the amount outstanding from
time to time of the RLOC (as defined in the Loan Agreement) together with the applicable interest, and notations of payments of interest and/or principal received by Lender in respect thereof, which recordation shall, in the absence of manifest
error, be conclusive. All advances from Lender to Borrower hereunder may be repaid, without penalty, and readvanced and shall be made in accordance with and pursuant to the terms of the Loan Agreement. Any Event of Default under the Loan Agreement
is an event of default under the terms of this Note. Except as expressly provided herein, all terms used in this Note shall have the same meaning as used in the Loan Agreement. 
 Interest. Subject to the Default Rate as provided in Section 7.7 of the Loan Agreement, interest shall accrue on any
outstanding principal amounts hereunder at a variable rate per annum, calculated on the basis of a 365 day year, equal to the one (1) month London Interbank Offered Rate as published in The Wall Street Journal rounded upwards, if necessary, to
the nearest whole multiple of one-eighth (1/8) of one percentage point (0.125)(the “Index”) plus the Applicable Margin as defined herein below (the sum of the Index, the Applicable Margin and the Default Rate, if applicable,
the “Applicable Interest Rate”). 
 The Index shall initially be determined on the first business day prior to the date of the
first advance hereunder. PROVIDED, that the Index shall be subject to 

  

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adjustment, up or down, on the first day of April, 2009, and on the first day of each subsequent month thereafter (each such date a “Change Date”),
and upon each such adjustment, any principal amounts outstanding hereunder shall be subject to the Applicable Interest Rate reflecting such adjustment. If the Index should no longer be published, the Lender, in the exercise of reasonable judgment,
shall substitute another means of determining an annual interest rate, which shall thereafter be the Index as that term is used herein. The Lender will give Borrower notice of such substitution. 
 Applicable Margin. The Applicable Margin, as referenced herein and subject to the Annual Re-Pricing Event as set forth herein below, shall
be as follows (the “Applicable Margin”): 
  

					
	 Tiers
	  	 Applicable Margin
	  	 Debt Ratio

			
	Tier 1	  	180 basis points (1.80%)	  	< 35%
			
	Tier 2	  	200 basis points (2.00%)	  	3 35% < 45%
			
	Tier 3	  	225 basis points (2.25%)	  	3 45% < 55%
			
	Tier 4	  	250 basis points (2.50%)	  	3 55% < 60%

 For the purposes of this Note, “Debt Ratio” shall have the same meaning assigned thereto
in the Loan Agreement. The Applicable Margin shall initially be determined as of the date hereof and shall be adjusted, if a change in the Debt Ratio necessitates such adjustment, as of each fiscal quarter-end thereafter based on financial
statements required for such quarter to be furnished by Borrower to Lender pursuant to Section 4.1(c) of the Loan Agreement. Adjustments, if any, in the Applicable Margin shall become effective as of the first business day subsequent to
each such 

  

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fiscal quarter-end, and upon each such adjustment any principal amounts outstanding hereunder shall be subject to the Applicable Interest Rate reflecting
such adjustment. 
 Annual Re-Pricing Event. On or before
March 31st of each year beginning in 2010 and each subsequent year thereafter until the RLOC Maturity Date (each such annual date, the “Pricing Agreement Date”), Lender and Borrower do hereby agree to re-negotiate in good faith each
tier of the Applicable Margin based upon the market conditions on each such Pricing Agreement Date. PROVIDED, HOWEVER, that in the event that Lender and Borrower cannot reach such an agreement on or before such Pricing Agreement Date, each tier of
the Applicable Margin shall increase by two hundred (200) basis points on a cumulative basis until the RLOC Maturity Date or until Lender and Borrower shall otherwise reach agreement in writing and satisfactory to both parties. 
 Repayment of Principal and Interest. Principal and interest are payable in United States dollars, without offset or deduction of any kind
for taxes or otherwise. Accrued interest on all advances shall be due and payable quarterly on the first (1st) day of each successive calendar quarter commencing on April 1, 2009, and continuing so long as there is any principal amount or
accrued interest outstanding, with all outstanding principal and accrued interest to be paid in full by the RLOC Maturity Date. 
 Advances. The Lender agrees, pursuant to the terms and subject to the conditions set forth in the Loan Agreement, to make advances to Borrower from time to time prior to the RLOC Maturity Date, upon the request of Borrower. So
long as no Event of Default has occurred and remains uncured beyond any applicable cure period, if any, Borrower may borrow, repay and reborrow (without penalty) hereunder. Each 

  

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advance shall be made in accordance with the terms and conditions set forth in the Loan Agreement. 
 This Note is issued pursuant to the Loan Agreement and is entitled to the benefits thereof. The holder of this Note may enforce the agreements of
Borrower contained in the Loan Agreement and, upon the occurrence of an Event of Default, may exercise the remedies provided for therein or otherwise available at law or in equity. 
 Borrower, at its option, subject to the terms of the Loan Agreement and the payment of accrued interest to the date of prepayment, may prepay, and upon
the occurrence of certain events shall prepay all or part of the principal outstanding under this Note, without prepayment premium or penalty of any kind. 
 Upon the occurrence of an Event of Default, as defined in Article 6 of the Loan Agreement, any outstanding principal amount advanced under this Note and any interest then accrued thereon may be declared to be
immediately due and payable as provided in the Loan Agreement. This Note may be enforced in any court or other tribunal having jurisdiction as specified in the Loan Agreement over the subject matter hereof, and Borrower shall pay to the holder
hereof on demand such amounts in United States dollars as shall be sufficient to pay the enforcement costs and expenses of such holder, including without limitation, reasonable attorney fees and expenses, including, but not limited to, fees and
expenses incurred on appeal or in the event the holder takes actions to protect its interests hereunder in proceedings in bankruptcy to the extent set forth in the Loan Documents. 
 No reference herein to the Loan Agreement and no provision of this Note or the Loan Agreement shall alter or impair the obligation of Borrower, which is
absolute and 

  

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unconditional, to pay the principal of (and any default rate, late charge or other charges, if any) and interest on this Note as provided herein. 

Borrower hereby waives presentment, demand, protest and notice of any kind whatsoever. The non-exercise by the holder of any rights hereunder in any
particular instance shall not constitute a waiver hereof in that or any subsequent instance. 
 This Note, and all future advances, are
secured in the manner provided in the Loan Agreement which, among other things, contains provisions for: (i) the acceleration of the maturity hereof upon the happening of certain events; (ii) optional prepayment of the principal hereof
without penalty prior to maturity; (iii) the application of a default rate of interest pursuant to Section 7.7 of the Loan Agreement; and (iv) the waiver of certain provisions of the Loan Agreement, all upon the terms and
conditions specified therein. 
 This Note is the RLOC Note referred to in the Loan Agreement. This Note, except as governed by applicable
federal law, shall be construed in accordance with and governed by the laws of the State of Florida. 
 Agreed to and given under the hand
and seal of the undersigned on the day first set forth above. 
  

			
	ALICO, INC.	 	
		
	/s/  Patrick W. Murphy	 	(Seal)
	Patrick W. Murphy, Chief Financial Officer	 	

  

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