Document:

Ex 10-1 - Indemnification Agt

		

			 

		

		
			EXHIBIT 10.1
		

		
			INDEMNIFICATION AGREEMENT
		

		
			This Agreement, made and entered into as of the 9th day of May, 2018 (“Agreement”), by and between Elah Holdings, Inc., formerly known as Real Industry, Inc. a Delaware corporation (“Company”), and [●] (“Indemnitee”):
		

		
			WHEREAS, highly competent persons may be reluctant to serve as directors, officers, employees, fiduciaries and other agents (“Representatives”) of corporations unless they are provided with adequate protection through insurance or adequate indemnification against risks of claims and actions against them arising out of their service to and activities on behalf of such corporations; 
		

		
			WHEREAS, the Board of Directors of the Company has determined that difficulties in attracting and retaining such persons are detrimental to the best interests of the Company’s stockholders and that the Company should act to assure such persons that there will be increased certainty of such protection in the future; 
		

		
			WHEREAS, it is reasonable, prudent and necessary for the Company contractually to obligate itself to indemnify such persons as set forth herein so that they will serve or continue to serve the Company free from undue concern that they will not be so indemnified; and
		

		
			WHEREAS, Indemnitee is willing to serve, continue to serve and/or to take on additional service for or on behalf of the Company on the condition that Indemnitee be so indemnified.
		

		
			NOW, THEREFORE, in consideration of the premises and the covenants contained herein, the Company and Indemnitee do hereby covenant and agree as follows:
		

			
	
			
				Article I
			
DEFINITIONS

		
			For purposes of this Agreement the following terms shall have the meaning given here:
		

			
	
			
				 1.01
			“Board” shall mean the Board of Directors of the Company.

			
	
			
				 1.02
			“Change of Control” shall mean the first of the following events to occur:

			
	
			
				 (a)
			

			
	
			
			there is consummated a merger or consolidation to which the Company or any direct or indirect subsidiary of the Company is a party if the merger or consolidation would result in the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any parent thereof) less than fifty percent (50%) of the combined voting power of the securities of the 

		 

		

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	Company or such surviving entity or any parent thereof outstanding immediately after such merger or consolidation; 

			
	
			
				 (b)
			

			
	
			
			the direct or indirect beneficial ownership (as defined in Rule 13d-3 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) in the aggregate of securities of the Company representing fifty percent (50%) or more of the total combined voting power of the Company’s then issued and outstanding securities is acquired by any person or entity, or group of associated persons or entities acting in concert; provided, however, that for purposes hereof, the following acquisitions shall not constitute a Change of Control:  (A) any acquisition by the Company;  (B) any acquisition by any employee benefit plan (or related trust or fiduciary) sponsored or maintained by the Company or any corporation controlled by the Company;  (C) any acquisition by an underwriter temporarily holding securities pursuant to an offering of such securities;  (D) any acquisition by a corporation owned, directly or indirectly, by the members of the Company in substantially the same proportions as their ownership of stock of the Company; and (E) any acquisition in connection with a merger or consolidation which, pursuant to Section 1.02(a) above, does not constitute a Change of Control; 

			
	
			
				 (c)
			

			
	
			
			there is consummated a transaction contemplated by an agreement for the sale or disposition by the Company of all or substantially all of the Company’s assets, other than a sale or disposition by the Company of all or substantially all of the Company’s assets to an entity, at least 50% of the combined voting power of the voting securities of which are owned by members of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale;

			
	
			
				 (d)
			

			
	
			
			the members of the Company approve any plan or proposal for the liquidation of the Company;

			
	
			
				 (e)
			

			
	
			
			a change in the composition of the Board such that the “Continuity Directors” cease for any reason to constitute at least a majority of the Board. For purposes of this clause, “Continuity Directors” means (A) those members of the Board who were directors on the date hereof and (B) those members of the Board (other than a director whose initial assumption of office was in connection with an actual or threatened election contest, including but not limited to a consent solicitation, relating to the election of directors of the Company) who were elected or appointed by, or on the nomination or recommendation of, at least a majority of the then-existing directors who either were directors on the date hereof or were previously so elected or appointed; or

			
	
			
				 (f)
			

			
	
			
			such other event or transaction as the Board shall determine constitutes a Change of Control.

		
			

		 

		

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				 1.03
			“Company” has the meaning set forth in the introductory paragraph above.  For purposes of this Agreement, references to the “Company” shall include, in addition to the resulting Company, any constituent Company (including any constituent of a constituent) absorbed in a consolidation or merger which, if its separate existence had continued, would have had power and authority to indemnify its Representatives, so that any person who is or was a Representative of such constituent Company, or is or was serving at the request of such constituent Company as a Representative of another Company, partnership, joint venture, trust or other enterprise, shall stand in the same position under this Agreement with respect to the resulting or surviving Company as he or she would have with respect to such constituent Company if its separate existence had continued.

			
	
			
				 1.04
			“Corporate Status” describes the status of a person who is or was a Representative of the Company or, while a  Representative of the Company, is or was serving at the express written request of the Company as a Representative of another Enterprise, including service with respect to an employee benefit plan.

			
	
			
				 1.05
			“Disinterested Director” means a director of the Company who is not and was not a party to the Proceeding in respect of which indemnification is sought by Indemnitee.

			
	
			
				 1.06
			“Effective Date” means the date set forth in the introductory paragraph above.

			
	
			
				 1.07
			“Enterprise” shall mean the Company and any other corporation, company, partnership, limited liability company, joint venture, trust, employee benefit plan or other enterprise of which Indemnitee is or was serving at the express written request of the Company as a Representative.

			
	
			
				 1.08
			“Expenses” shall include all reasonable attorneys’ fees, retainers, court costs, transcript costs, fees of experts, witness fees, travel expenses, duplicating costs, printing and binding costs, telephone charges, postage, delivery service fees, and all other disbursements, costs, expenses and obligations paid or incurred in connection with prosecuting, defending, preparing to prosecute or defend, investigating, or being or preparing to be a witness in a Proceeding (including attorneys’ fees and related disbursements, judgments, fines, excise taxes or penalties under the Employee Retirement Income Security Act of 1974, as amended from time to time (“ERISA”), and any other penalties and amounts paid or to be paid in settlement thereof). Expenses also shall include, without limitation, (i) expenses incurred in connection with any appeal resulting from, incurred by Indemnitee in connection with, arising out of, in respect of or relating to, any Proceeding, including, without limitation, the premium, security for, and other costs relating to any cost bond, supersedes bond, or other appeal bond or its equivalent, (ii) for purposes of Section 8.05 of this Agreement only, expenses incurred by Indemnitee in connection with the interpretation, enforcement or defense of Indemnitee’s rights under this Agreement, by litigation or otherwise, (iii) any federal, state, local or foreign taxes imposed on Indemnitee as a result of the actual or deemed receipt of any payments under this Agreement and (iv) any interest, assessments or other charges in respect of the foregoing.

			
	
			
				 1.09
			“Good Faith” shall mean Indemnitee having acted in good faith and in a manner Indemnitee reasonably believed to be in or not opposed to the best interests of the Company, and with respect to any criminal Proceeding, in a manner in which Indemnitee would have had no 

		 

		

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	reasonable cause to believe Indemnitee’s conduct was unlawful. Notwithstanding the foregoing definition, the Indemnitee shall not be deemed to have acted in “Good Faith” in instances where the Indemnitee has been finally adjudicated by a court of competent jurisdiction to have acted in a grossly negligent manner.  The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself, create a presumption that the person did not act in good faith and in a manner which the person reasonably believed to be in or not opposed to the best interests of the Company and, with respect to any criminal action or proceeding, have reasonable cause to believe that the person’s conduct was unlawful.

			
	
			
				 1.10
			“Independent Counsel” means a law firm, or an attorney employed by or serving as a member of a law firm, that is experienced in matters of corporation law and/or limited liability company law and neither presently is, nor in the past five years has been, retained to represent:  (i) the Company or Indemnitee in any matter material to either such party, or (ii) any other party to the Proceeding giving rise to a claim for indemnification hereunder. Notwithstanding the foregoing, the term “Independent Counsel” shall not include any person who, under the applicable standards of professional conduct then prevailing, would have a conflict of interest in representing either the Company or Indemnitee in an action to determine Indemnitee’s rights under this Agreement.

			
	
			
				 1.11
			“Proceeding” includes any action, suit, arbitration, alternate dispute resolution mechanism, investigation, administrative hearing or any other threatened, pending  or completed proceeding whether civil, criminal, administrative or investigative, other than one initiated by Indemnitee. For purposes of the foregoing sentence, a “Proceeding” shall not be deemed to have been initiated by Indemnitee where Indemnitee seeks to enforce Indemnitee’s rights under this Agreement pursuant to Article VIII of this Agreement.

			
	
			
				Article II
			
TERM OF AGREEMENT

		
			This Agreement shall continue until and terminate upon the later of: (i) 10 years after the date that Indemnitee shall have ceased to serve as a Representative of the Company or of any other Enterprise which Indemnitee served at the express written request of the Company; or (ii) the final termination of all pending Proceedings in respect of which Indemnitee is granted rights of the indemnification or advancement of expenses hereunder and of any proceeding commenced by Indemnitee pursuant to Article VIII of this Agreement relating thereto.
		

			
	
			
				Article III
			
SERVICES BY INDEMNITEE, NOTICE OF PROCEEDINGS

			
	
			
				 3.01
			Services.  Indemnitee agrees to serve as a Representative. The duties and obligations of a Representative may be set forth in the Company’s organizational documents. Indemnitee may at any time and for any reason resign from such position (subject to any other contractual obligation or any obligation imposed by operation of law).  Indemnitee, by his current and continuing Corporate Status, shall be conclusively presumed to have relied on the rights to indemnity, advance of expenses and other rights contained in this Agreement in entering into or continuing such service.

		
			

		 

		

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				 3.02
			Notice of Proceeding. Indemnitee agrees promptly to notify the Company in writing upon being served with any summons, citation, subpoena, complaint, indictment, information or other document relating to any Proceeding or matter which may be subject to indemnification or advancement of Expenses covered hereunder.

			
	
			
				 3.03
			Duty of Cooperation and Disclosure. In any Proceeding in which Company is advancing Expenses or providing an indemnification to the Indemnitee,  the  Indemnitee  shall fully cooperate with the person, persons, insurers or entities acting on the Company’s or Indemnitee’s behalf, including providing to such person, persons or entity upon reasonable advance request any documentation or information which is not privileged or otherwise protected from disclosure and which is reasonably available to Indemnitee and relates to the subject Proceeding, and the Company’s indemnification and advancement obligations hereunder shall at all times be subject to the Indemnitee’s duty of cooperation.   At the time of Indemnitee’s request for indemnification, Indemnitee shall disclose to the Company all relevant facts and circumstances within the Indemnitee’s personal knowledge that pertain to the request and underlying dispute.  Notwithstanding the foregoing, Indemnitee’s obligation of cooperation or disclosure shall be limited to the extent of a conflict of interest between Indemnitee and the Company.

			
	
			
				Article IV
			
INDEMNIFICATION

			
	
			
				 4.01
			In General. Notwithstanding any amendment, modification or repeal of the indemnification provisions of the Delaware General Corporation Law, as amended, or other applicable law or the organizational documents of the Company after the date of this Agreement, and subject to the exceptions set forth in Section 4.05 herein, if Indemnitee was or is, or is threatened to be made, a party to any Proceeding by reason of Indemnitee’s (a) acts or omissions made in Good Faith and (b) his Corporate Status, the Company shall indemnify Indemnitee to the fullest extent permitted by applicable law in effect on the date hereof and to such greater extent as applicable law may thereafter from time to time permit as soon as practicable but in any event no later than thirty (30) days after written demand is presented to the Company.  The rights to indemnification and to the advancement of expenses conferred in this Agreement shall apply to claims made against an Indemnitee arising out of acts or omissions which occurred or occur both prior and subsequent to the adoption hereof.  The rights to indemnification and to the advancement of expenses hereunder shall only apply to a Proceeding initiated by Indemnitee if such Proceeding has been authorized by the Board.

			
	
			
				 4.02
			Proceedings Other Than Proceedings by or in the Right of the Company. Indemnitee shall be entitled to the rights of indemnification provided in this Section 4.02 if, by reason of Indemnitee’s Corporate Status, Indemnitee was or is, or is threatened to be made, a party to or participant in any Proceeding, other than a Proceeding by or in the right of the Company. Indemnitee shall be indemnified against all Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection with such Proceeding or any claim, issue or matter therein, if Indemnitee acted in Good Faith.

			
	
			
				 4.03
			Proceedings by or in the Right of the Company. Indemnitee shall be entitled to the rights of indemnification provided in this Section 4.03 if, by reason of Indemnitee’s Corporate 

		 

		

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	Status, Indemnitee was or is, or is threatened to be made, a party to or is otherwise involved in any Proceeding brought by or in the right of the Company to procure a judgment in its favor. Indemnitee shall be indemnified against all Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection with such Proceeding or any claim, issue or matter therein, if Indemnitee acted in Good Faith. Notwithstanding the foregoing, no such indemnification shall be made in respect of any claim, issue or matter in such Proceeding as to which Indemnitee shall have been adjudged to be liable to the Company unless and only to the extent that the Court of Chancery of the State Delaware or the court in which such action or suit was brought shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case, such person is fairly and reasonably entitled to indemnity for such expenses which the Court of Chancery of the State Delaware or such other court shall deem proper.

			
	
			
				 4.04
			Indemnification of a Party Who is Wholly or Partly Successful. Subject to the exceptions set forth in Section 4.05 herein, to the extent that Indemnitee was or is, by reason of Indemnitee’s Corporate Status, a party to and is successful, on the merits or otherwise, in defense of any Proceeding, Indemnitee shall be indemnified to the maximum extent permitted by law, against all Expenses, actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection with such Proceeding or any claim, issue or matter therein. Subject to the exceptions set forth in Section 4.05, if Indemnitee is not wholly successful in such Proceeding but is successful, on the merits or otherwise, as to one or more but less than all claims, issues or matters in such Proceeding, the Company shall indemnify Indemnitee to the maximum extent permitted by law, against all Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection with each successfully resolved claim, issue or matter. For purposes of this Subsection 4.04 and without limitation, the termination of any claim, issue or matter in such a Proceeding by dismissal, with or without prejudice, shall be deemed to be a successful result as to such claim, issue or matter, so long as there has been no finding (either adjudicated or pursuant to Article VI) that Indemnitee did not act in Good Faith. 

			
	
			
				 4.05
			Exceptions. Notwithstanding anything to the contrary herein, the Company shall not be obligated to advance Expenses or indemnify the Indemnitee pursuant to this Agreement with respect to:

			
	
			
				 (a)
			

			
	
			
			Remuneration paid to the Indemnitee if it shall be determined by a final judgment or other final adjudication that such remuneration was in violation of law; 

			
	
			
				 (b)
			

			
	
			
			Indemnitee’s reimbursement to the Company of any bonus or other incentive-based or equity-based compensation previously received by Indemnitee or payment of any profits realized by Indemnitee from the sale of securities of the Company, as required in each case under the Exchange Act (including any such reimbursements under Section 304 of the Sarbanes-Oxley Act of 2002 or Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act in connection with an accounting restatement of the Company or the payment to the Company of profits arising from the purchase or sale by Indemnitee of securities in violation of Section 306 of the Sarbanes-Oxley Act);

		
			

		 

		

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				 (c)
			

			
	
			
			Expenses incurred on account of any Proceeding in which judgment is rendered against the Indemnitee for an accounting of profits made from the purchase or sale by the Indemnitee of securities of the Company pursuant to the provisions of Section l6(b) of the Securities Exchange  Act of 1934 and  amendments  to it or similar provisions of any federal, state or local law; 

			
	
			
				 (d)
			

			
	
			
			Expenses incurred on account of the Indemnitee’s conduct which is finally adjudged by a court of competent jurisdiction to have been, or which Indemnitee has admitted facts sufficient for the Independent Counsel or court to reasonably conclude that the Indemnitee’s conduct was: (1) a breach of the duty of loyalty owed to the Company, (2) an act or omission which was not in Good Faith, (3) an act or omission which involved intentional misconduct or, with respect to any criminal Proceeding,  a knowing violation  of law, or (4) a transaction  from which the Indemnitee derived an improper personal benefit; 

			
	
			
				 (e)
			

			
	
			
			If a final decision by a court of competent jurisdiction in the matter shall determine that such indemnification is not lawful as against public policy; or

			
	
			
				 (f)
			

			
	
			
			Any income taxes, or any interest or penalties related to them, in respect of compensation received for services as a director and/or officer.

			
	
			
				 4.06
			Indemnification for Expenses as a Witness. To the extent that Indemnitee is, by reason of Indemnitee’s Corporate Status, a witness in any Proceeding, Indemnitee shall be indemnified against all Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection therewith. 

			
	
			
				Article V
			
ADVANCEMENT OF EXPENSES

			
	
			
				 5.01
			Statement of Expenses.  The Company shall advance all reasonable Expenses which, by reason of Indemnitee’s Corporate Status, were incurred by or on behalf of Indemnitee in connection with any Proceeding, within thirty (30) days after the receipt by the Company of a statement or statements from Indemnitee requesting such advance or advances, whether prior to or after final disposition of such Proceeding. Such statement or statements shall reasonably evidence the Expenses incurred by Indemnitee and shall include or be preceded or accompanied by an undertaking by or on behalf of Indemnitee to  repay any Expenses if it shall ultimately be determined that Indemnitee is not entitled to be indemnified against such Expenses.

			
	
			
				 5.02
			Assumption of Defense.  In the event the Company (i) shall be obligated to advance the Expenses for any Proceeding against Indemnitee by a third party and (ii) acknowledges in writing the Company’s obligation to indemnify the Indemnitee with respect to such Proceeding (subject to the terms of this Agreement), the Company shall be entitled to assume the defense of such Proceeding as provided herein. Such defense by the Company may include the representation of two or more parties by one attorney or law firm as permitted under 

		 

		

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	the ethical rules and legal requirements related to joint representations, subject to exceptions set forth below in the event of a potential conflict of interest.  Following delivery of written notice to Indemnitee of the Company’s election to assume the defense of such Proceeding and the Company’s acknowledgment of its indemnification obligation with respect to such Proceeding, the approval by Indemnitee (which approval shall not be unreasonably withheld, conditioned or delayed) of counsel designated by the Company and the retention of such counsel by the Company, the Company will not be liable to Indemnitee under this Agreement for any fees and expenses of separate counsel subsequently incurred by Indemnitee with respect to the same Proceeding so long as such Proceeding is diligently and adequately defended.   For the avoidance of doubt, a potential conflict of interest shall be deemed a reasonable basis for the Indemnitee to withhold consent under this section.  If (i) the employment of counsel by Indemnitee has been previously authorized by the Company, (ii) Indemnitee shall have notified the Board in writing that Indemnitee has reasonably concluded that there is likely to be a conflict of interest between the Company (or any other co-clients as provided above) and Indemnitee in the conduct of any such defense, or (iii) the Company fails to employ counsel to assume the defense of such Proceeding, the fees and expenses of Indemnitee’s own counsel shall be subject to indemnification and/or advancement pursuant to the terms of this Agreement. Nothing herein shall prevent Indemnitee from employing counsel for any such Proceeding at Indemnitee’s own expense.  

			
	
			
				Article VI
			
PROCEDURES FOR DETERMINATION OF ENTITLEMENT TO INDEMNIFICATION

			
	
			
				 6.01
			Initial Request. To obtain indemnification under this Agreement, Indemnitee shall submit to the Company a written request, including therein or therewith such documentation and information as is reasonably available to Indemnitee and is reasonably necessary to determine whether and to what extent Indemnitee is entitled to indemnification. The Secretary or any other officer of the Company shall promptly advise the Board in writing that Indemnitee has requested indemnification.

			
	
			
				 6.02
			Method of Determination.  A determination (if required by applicable law) with respect to Indemnitee’s entitlement to indemnification shall be made, as follows:

			
	
			
				 (a)
			

			
	
			
			if a Change in Control has occurred, unless Indemnitee shall request in writing that such determination be made in accordance with clause (b) of this Section 6.02, the determination shall be made by Independent Counsel in a written opinion to the Board, a copy of which shall be delivered to Indemnitee.

			
	
			
				 (b)
			

			
	
			
			If a Change in Control has not occurred, and subject to Section 6.03, the determination shall be made by (i) a majority vote of the Disinterested Directors, even though less than a quorum; (ii) by a committee of Disinterested Directors designated by majority vote of such Disinterested Directors, even though less than a quorum; (iii) if there are no such Disinterested Directors, by the Independent Counsel in a written opinion to the Board, or (iv) by the Company’s stockholders.

		
			

		 

		

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				 6.03
			Selection, Payment, Discharge, of Independent Counsel.  In the event the determination of entitlement to indemnification is to be made by Independent Counsel pursuant to Section 6.02 of this Agreement, the Independent Counsel shall be selected, paid, and discharged in the following manner:

			
	
			
				 (a)
			

			
	
			
			If a Change of Control has not occurred, the Independent Counsel shall be selected by the Board, and the Company shall give written notice to Indemnitee advising Indemnitee of the identity of the Independent Counsel so selected.

			
	
			
				 (b)
			

			
	
			
			If a Change of Control has occurred, the Independent Counsel shall be selected by the Indemnitee (unless Indemnitee shall request that such selection be made by the Board, in which event clause (a) of this section shall apply) and approved by the Board, which approval shall not be unreasonably withheld, conditioned or delayed.

			
	
			
				 (c)
			

			
	
			
			Following the initial selection described in clauses (a) and (b) of this Section 6.03, Indemnitee or the Company, as the case may be, may, within seven (7) days after such written notice of selection has been given, deliver to the other party a written objection to such selection. Such objection may be asserted only on the ground that the Independent Counsel as defined in Section 1.10 of this Agreement, and the objection shall set forth with particularity the factual basis of such assertion. Absent a proper and timely objection, the person so selected shall act as Independent Counsel. If such written objection is made, the Independent Counsel so selected may not serve as Independent Counsel unless and until a court has determined that such objection is without merit.

			
	
			
				 (d)
			

			
	
			
			Either the Company or Indemnitee may petition the Court of Chancery of the State of Delaware or other court of competent jurisdiction if the parties have been unable to agree on the selection of Independent Counsel within (30) days after submission by Indemnitee of a written request for indemnification pursuant to Section 6.01 of this Agreement.  Such petition may request a determination whether an objection to the party’s selection is without merit and/or seek the appointment as Independent Counsel of a person selected by the Court or by such other person as the Court shall designate.  A person so appointed shall act as Independent Counsel under Section 6.02 of this Agreement.

			
	
			
				 (e)
			

			
	
			
			The Company shall pay any and all reasonable fees and expenses of Independent Counsel incurred by such Independent Counsel in connection with acting pursuant to this Agreement, and the Company shall pay all reasonable fees and expenses incident to the procedures of this Section 6.03, regardless of the manner in which such Independent Counsel was selected or appointed.

		
			

		 

		

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				 6.04
			Company Response.  If a determination by the Company that Indemnitee is entitled to indemnification pursuant to this Agreement is required, and the Company fails to respond within sixty (60) days to a written request for indemnity, the Company shall be deemed to have approved the request. 

			
	
			
				 6.05
			Cooperation.  Indemnitee shall cooperate with the person, persons or entity making the determination with respect to Indemnitee’s entitlement to indemnification under this Agreement, including providing to such person, persons or entity upon reasonable advance request any documentation or information which is not privileged or otherwise protected from disclosure and which is reasonably available to Indemnitee and reasonably necessary to such determination. Any expenses, costs, disbursements and obligations (including attorneys’ fees) incurred by Indemnitee in so cooperating with the person, persons or entity making such determination shall be borne by the Company (irrespective of the determination as to Indemnitee’s entitlement to indemnification) and the Company hereby indemnifies and agrees to hold Indemnitee harmless therefrom.

			
	
			
				 6.06
			Payment.  If it is determined that Indemnitee is entitled to indemnification, payment to Indemnitee shall be made within ten (10) days after such determination.

			
	
			
				 6.07
			Reservation of Rights.  Notwithstanding  anything to the contrary herein, if it is determined that Indemnitee is entitled to indemnification hereunder, the Company shall have the obligation to advance to the Indemnitee any Expenses incurred by Indemnitee in connection therewith; provided,  however, that all amounts advanced in respect of such Expenses shall be repaid to the Company by Indemnitee to the extent it shall be determined in a final judgment of a court of competent jurisdiction that Indemnitee is not entitled to be indemnified for such Expenses.

			
	
			
				Article VII
			
PRESUMPTIONS

			
	
			
				 7.01
			Effect of Other Proceedings.  The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not (except as otherwise expressly provided in this Agreement) be conclusive as to the right of Indemnitee to indemnification or create a presumption that Indemnitee did not act in Good Faith.

			
	
			
				 7.02
			Reliance as Safe Harbor. For purposes of any determination of Good Faith, Indemnitee shall be deemed to have acted in Good Faith if Indemnitee’s action is based on the records or books of account of the Enterprise, including financial statements, or on information supplied to Indemnitee by the officers of the Enterprise in the course of their duties, or on the advice of legal counsel for the Enterprise or on information or records given or reports made to the Enterprise by an independent certified public accountant or by an appraiser or the expert selected with reasonable care by the Enterprise. The provisions of this Section 7.02 shall not be deemed to be exclusive or to limit in any way the other circumstances in which the Indemnitee may be deemed to have met the applicable standard of conduct set forth in this Agreement.

			
	
			
				 7.03
			Service for Subsidiaries.  If Indemnitee is serving as a director, officer, employee or agent of another Enterprise at least 50% of whose equity interests are owned by the Company 

		 

		

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	shall, Indemnitee shall be conclusively presumed to be serving in such capacity at the request of the Company.

			
	
			
				Article VIII
			
REMEDIES OF INDEMNITEE

			
	
			
				 8.01
			Application.  This Article VIII shall apply in the event of a Dispute. For purposes of this Article, “Dispute”, shall mean any of the following events:

			
	
			
				 (a)
			

			
	
			
			a determination is made pursuant to Article VI of this Agreement that Indemnitee is not entitled to indemnification under this Agreement;

			
	
			
				 (b)
			

			
	
			
			advancement of Expenses is not timely made pursuant to Article V of this Agreement; or

			
	
			
				 (c)
			

			
	
			
			the determination of entitlement to be made pursuant to Section 6.02 of this Agreement has not been made within sixty (60) days after receipt by the Company of the request for indemnification;

			
	
			
				 (d)
			

			
	
			
			payment of indemnification is not made pursuant to Section 4.06 of this Agreement within thirty (30) days after receipt by the Company of a written request therefore; or

			
	
			
				 (e)
			

			
	
			
			payment of indemnification is not made within thirty (30) days after a determination has been made that Indemnitee is entitled to indemnification.

			
	
			
				 8.02
			Adjudication. In the event of a Dispute, Indemnitee shall be entitled to an adjudication in an appropriate court of the State of Delaware, or in any other court of competent jurisdiction, of Indemnitee’s entitlement to such indemnification or advancement of Expenses. Indemnitee shall commence such proceeding seeking adjudication within 180 days following the date on which Indemnitee first has the right to commence such proceeding pursuant to this Section 8.02.

			
	
			
				 8.03
			De Novo Review.  In the event that a determination shall have been made pursuant to Article VI of this Agreement that Indemnitee is not entitled to indemnification, any judicial proceeding commenced pursuant to this Article VIII shall be conducted in all respects as a de novo trial, on the merits and Indemnitee shall not be prejudiced by reason of that adverse determination. 

			
	
			
				 8.04
			Company Bound. If a determination shall have been made or deemed to have been made pursuant to Article VI of the Agreement that Indemnitee is entitled to indemnification, the Company shall be bound by such determination in any judicial proceeding absent (i) a misstatement by Indemnitee of a material  fact or an omission of a material fact necessary to make Indemnitee’s statement not materially misleading, in connection with the request for indemnification, or (ii) a prohibition of such indemnification under applicable law.

		
			

		 

		

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				 8.05
			Expenses of Adjudication.  In the event that Indemnitee, pursuant to this Article VIII, seeks a judicial adjudication to enforce Indemnitee’s rights under, or to recover damages for breach of this Agreement, Indemnitee shall be entitled to recover from the Company, and shall be indemnified by the Company against, any and all Expenses actually and reasonably incurred by Indemnitee in such adjudication, but only if Indemnitee prevails therein. If it shall be determined in such adjudication that Indemnitee is entitled to receive part but not all of the indemnification or advancement of Expenses sought, the Expenses incurred by Indemnitee in connection with such adjudication shall be appropriately prorated.

			
	
			
				Article IX
			
NON-EXCLUSIVITY, INSURANCE, SUBROGATION

			
	
			
				 9.01
			Non-Exclusivity.  Except as set forth in Section 4.05, the rights of indemnification and to receive advancement of Expenses as provided by this Agreement shall not be deemed exclusive of any other rights to which Indemnitee may at any time be entitled under the Company’s organizational documents or under any agreement, vote of stockholders or disinterested directors or otherwise.  No amendment, alteration, rescission or replacement of this Agreement or any provision hereof shall be effective as to Indemnitee with respect to any action taken or omitted by such Indemnitee in Indemnitee’s Corporate Status prior to such amendment, alteration, rescission or replacement. The Company hereby acknowledges that Indemnitee may have certain rights to indemnification, advancement of Expenses and/or insurance provided by a separate entity. The Company hereby acknowledges and agrees that (i) the Company shall be the indemnitor of first resort with respect to any Proceeding, Expense or matter that is the subject of this Agreement (i.e., the Company’s obligations are primary and any obligation of any other entity with respect to any Proceeding, Expenses or matter that is the subject of this Agreement for the same Proceeding, Expenses or matters incurred by Indemnitee are secondary), (ii) any obligation of any other entity to indemnify Indemnitee and/or advance Expenses to Indemnitee in respect of any Proceeding shall be secondary to the obligations of the Company hereunder, (iii) the Company shall be required to indemnify Indemnitee and advance Expenses to Indemnitee hereunder to the fullest extent provided herein without regard to any rights Indemnitee may have against any other entity or insurer of any such person and (iv) the Company irrevocably waives, relinquishes and releases any other entity from any claim of contribution, subrogation or any other recovery of any kind in respect of amounts paid by the Company hereunder. 

			
	
			
				 9.02
			Insurance.  The Company shall maintain an insurance policy or policies against liability arising out of this Agreement or otherwise.

			
	
			
				 9.03
			Subrogation.  In the event of any payment under this Agreement, the Company shall be subrogated to any rights of recovery of Indemnitee, who shall execute all papers required and take all action necessary to secure such rights, including execution of such documents as are necessary to enable the Company to bring suit to enforce such rights.

			
	
			
				 9.04
			No Duplicative Payment.  The Company shall not be liable under this Agreement to make any payment of amounts otherwise indemnifiable hereunder if and to the extent that Indemnitee has otherwise actually received such payment under any insurance policy, contract, agreement or otherwise.

		
			

		 

		

			12

		

		

			24509257.1

		

 

		

			
	
			
				Article X
			
GENERAL PROVISIONS

			
	
			
				 10.01
			Binding Effect, Etc. This Agreement shall be binding upon and inure to the benefit of any be enforceable by the parties hereto and their respective successors, assigns, including any direct or indirect successor by purchase, merger, consolidation or otherwise to all or substantially all of the business and/or assets of the Company, spouses, heirs, executors and personal and legal representatives.  This Agreement shall continue in effect regardless of whether Indemnitee continues to serve as an officer or director of the Company or of any other enterprise at the Company’s request.

			
	
			
				 10.02
			Severability. If any provision or provisions of this Agreement shall be held to be invalid, illegal or unenforceable for any reason whatsoever:

			
	
			
				 (a)
			

			
	
			
			the validity, legality and enforceability of the remaining provisions of this Agreement (including without limitation, each portion of any Section of this Agreement containing any such provision held to be invalid, illegal or unenforceable,  that is not itself invalid, illegal or unenforceable) shall not in any way be affected or impaired thereby, and

			
	
			
				 (b)
			

			
	
			
			to the fullest extent possible, the provisions of this Agreement (including, without limitation, each portion of any Section of this Agreement containing any such provision held to be invalid, illegal or unenforceable, which is not itself invalid, illegal or unenforceable) shall be construed so as to give effect to the intent manifested by the provision held invalid, illegal or unenforceable.

			
	
			
				 10.03
			No Adequate Remedy. The parties declare that it is impossible to measure in money the damages which will accrue to either party by reason of a failure to perform any of the obligations under this Agreement. Therefore, if either party shall institute any action or proceeding to enforce the provisions hereof, such party against whom such action or proceeding is brought hereby waives the claim or defense that such party has an adequate remedy at law, and such party shall not urge in any such action or proceeding the claim or defense that the other party has an adequate remedy at law.

			
	
			
				 10.04
			Identical Counterparts.  This Agreement may be executed in one or more counterparts, each of which shall for all purposes be deemed to be an original but all of which together shall constitute one and the same Agreement. Only one such counterpart signed by the party against whom enforceability is sought needs to be produced to evidence the existence of this Agreement.

			
	
			
				 10.05
			Headings. The headings of the paragraphs of this Agreement are inserted for convenience only and shall not be deemed to constitute part of this Agreement or to affect the construction thereof.

			
	
			
				 10.06
			Modification and Waiver. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing by both of the parties hereto. No waiver of any of the provisions of this Agreement shall be deemed or shall constitute a waiver of any 

		 

		

			13

		

		

			24509257.1

		

 

	other provisions thereof (whether or not similar) nor shall such waiver constitute a continuing waiver.

			
	
			
				 10.07
			Notices. All notices, requests, demands and other communications hereunder shall be in writing and shall be deemed to have been duly given if (i) delivered by hand and receipted for by the party to whom said notice or other communication shall have been directed, or (ii) mailed by certified or registered mail with postage prepaid, on the third business day after the date on which it is so mailed:

		
			If to Indemnitee, to:As shown with Indemnitee’s Signature below.
		

		
			If to the Company to:Elah Holdings, Inc.
		

		
			8214 Westchester Drive, Suite 950
		

		
			Dallas, Texas 75225
		

		
			Telephone: (214) 999-6082
		

		
			Attention: Chief Financial Officer
		

		
			or to such other address as may have been furnished to Indemnitee by the Company or to the Company by Indemnitee, as the case may be.
		

			
	
			
				 10.08
			Governing Law. The parties agree that this Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of Delaware without application of the conflict of laws principles thereof.  No amendment, repeal, adoption or modification of law, shall adversely affect any right or protection of any person granted pursuant hereto existing at, or arising out of or related to any event, act or omission that occurred prior to, the time of such amendment, repeal, adoption or modification (regardless of when any Proceeding relating to such event, act or omission arises or is first threatened, commenced or completed).

			
	
			
				 10.09
			Third-Party Beneficiaries.  Nothing in this Agreement is intended to confer any rights or remedies under or by reason of this Agreement on any other person or persons other than the parties hereto and their respective successors and permitted assigns.  Nothing in this Agreement is intended to relieve or discharge the obligations or liability of any third persons to the Company.  Except as expressly set forth in this Agreement, no provision of this Agreement shall give any third parties any right of subrogation or action over or against the Company.

			
	
			
				 10.10
			Entire Agreement.  This Agreement constitutes the entire agreement and understanding between the parties hereto in reference to all the matters herein agreed upon. With the exception of the Company’s Bylaws, Certificate of Incorporation and applicable law, this Agreement replaces in full all prior indemnification agreements or understandings between the Company, including any of its subsidiaries, and the Indemnitee, and any all such prior agreements or understandings are hereby rescinded by mutual agreement.

		
			[Signature Page Follows]
		

		
			 
		

		
			

		 

		

			14

		

		

			24509257.1

		

 

		

		
			IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first above written.
		

			
					
						COMPANY

					
					
						ELAH HOLDINGS, INC.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:_______________________________________________

				
	
					
						 

					
					
						Name:  Kelly G. Howard

				
	
					
						 

					
					
						Title: General Counsel, Executive Vice President and Corporate Secretary

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						INDEMNITEE

					
					
						_________________________________________________

				
	
					
						 

					
					
						Name:   [●]

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						Indemnitee’s Address for Notices:

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						[●]

				
	
					
						 

					
					
						 

				

		
			 
		

		
			 
		

		
			 
		

		
			 
		

		
			
		

		 

		

			Signature Page to Indemnification Agreement [FORM]

		

		

			24509257.1rely_Ex10_2

		
			Exhibit 10.2
		

		
			
		

		
			May 9, 2018
		

		
			Elah Holdings, Inc.
		

		
			8214 Westchester Drive, Suite 950
		

		
			Dallas, Texas 75225
		

		
			RE:      $500 million Senior Secured Acquisition Credit Facility
		

		
			Elah Holdings, Inc., formerly known as Real Industry, Inc. (“Holdings” or “you”), has advised The Private Credit Group of Goldman Sachs Asset Management, L.P. (on behalf of one or more of its managed funds or accounts, “GSAM” or “we”) that Holdings intends to explore an acquisition or other business combination (the “Acquisition Strategy”) with one or more unidentified businesses (the “Target”) after confirmation and the effective date of the Plan of Reorganization (as such term is defined below).  You have requested us to provide and/or to use our commercially reasonable efforts to arrange a syndicate of financial institutions to provide up to $500,000,000 of senior secured term loans (the “Credit Facility”) to support the Acquisition Strategy.  On November 17, 2017, Holdings and certain of its subsidiaries filed voluntary petitions for relief under chapter 11 of the Bankruptcy Code, and such chapter 11 cases are being jointly administered under the case captioned In re Real Industry, Inc., Case No. 17-12464 (the “Bankruptcy Case”), in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”).
		

		
			GSAM is pleased to advise you of its commitment to provide and/or to use its commercially reasonable efforts to arrange a syndicate of financial institutions to provide up to $500,000,000 of the Credit Facility (the “Commitment”). The Commitment is subject to, and in accordance with, the terms and conditions of this commitment letter (the “Commitment Letter”) and the attached term sheet (the “Term Sheet”). This Commitment, this Commitment Letter and the Term Sheet are provided pursuant to your Plan of Reorganization for Elah Holdings, Inc., formerly known as Real Industry, Inc. Pursuant to Chapter 11 of the United States Bankruptcy Code (the “Plan of Reorganization”) filed on March 29, 2018.
		

		
			In consideration of the Commitment:
		

		
			1.         You hereby represent and covenant that (to your knowledge with respect to the Information relating to the Target) (a) all written information (other than projections, budgets, estimates, forward looking statements, and information of a general economic or industry nature) that has been or will be made available to GSAM by you or any of your representatives on your behalf, taken as a whole, in connection with this Commitment does not or will not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements contained therein, taken as a whole, not materially misleading in light of the circumstances under which such statements are made (after giving
		

		
			 
		

		
			 
		

		
			

		 

 

		

			Elah Holdings, Inc.

		

		

			May 7, 2018

		

		

			Page 2

		

		

			 

		

		

		
			effect to all supplements thereto) and (b) all written projections that have been or will be made available to GSAM by you or any of your representatives on your behalf in connection with this Commitment have been or will be prepared in good faith based upon assumptions you believe to be reasonable at the time made (it being understood that projections are not to be viewed as facts or a guarantee of financial performance and are subject to uncertainties and contingencies, known or unknown, many of which are beyond your control, and that no assurance can be given that such projections will be realized and actual results may differ from the projections and such differences may be material).
		

		
			2.         It is agreed that (i) GSAM will act as lead arrangers and bookrunner for the Credit Facility (together with its designated affiliates, collectively, the “Lead Arranger”), and (ii) GSAM, an affiliate designated by GSAM, or such other person as reasonably agreed by GSAM and Holdings will act as administrative agent and collateral agent (in such capacity, the “Administrative Agent”) for the Credit Facility.  It is further agreed that (i) in respect of the Credit Facility, GSAM shall have “left side” designation and shall appear on the top left and shall hold the leading role and responsibility customarily associated with such “top left” placement, and (ii) no other agents, co-agents, arrangers or bookrunners will be appointed, no other titles will be awarded and no compensation (other than compensation expressly contemplated by this Commitment Letter) will be paid to any Lender (as defined below) in order to obtain its commitment to participate in the Credit Facilities unless you and we shall so agree.
		

		
			3.         We intend to syndicate the Credit Facility (including, in our discretion, all or part of GSAM’s commitment hereunder) to a group of financial institutions (together with GSAM, the “Lenders”) identified by us in consultation with you.  The Lead Arranger intends to commence syndication efforts promptly upon you notifying us of a potential Target and you agree to, until the completion of our syndication efforts, actively assist the Lead Arranger in completing a syndication satisfactory to us and you.  Such assistance shall include (a) your using commercially reasonable efforts to ensure that the syndication efforts benefit materially from your existing lending relationships, (b) direct contact between senior management and advisors of Holdings and prospective Lenders, (c) your commercially reasonable efforts to arrange for direct contact between senior management of the Target and prospective Lenders, (d) the hosting, with the Lead Arranger, of a reasonable number of meetings or conference calls to be mutually agreed upon with prospective Lenders at times and locations to be mutually agreed upon and (e) your commercially reasonable efforts to assist in the preparation of customary marketing materials in a form customarily delivered in connection with senior secured credit facilities (including but not limited to a confidential information memorandum or lender slides, for distribution, on a confidential basis, to the proposed syndicate of Lenders), to be used in connection with the syndication (collectively with the Term Sheet, the “Information Materials”).
		

		
			4.         The Lead Arranger, in consultation with you, will manage all aspects of the syndication, including decisions as to the selection of institutions to be approached and when they will be approached, when their commitments will be accepted, which institutions will participate, the allocations of the commitments among the Lenders and the amount and distribution of fees among the Lenders; provided that the syndicate of Lenders shall be acceptable to you. In acting as the Lead Arranger, GSAM will have no responsibility other than
		

		
			
		

		
			

		 

 

		

			Elah Holdings, Inc.

		

		

			May 7, 2018

		

		

			Page 3

		

		

			 

		

		

		
			to arrange the syndication as set forth herein and is acting solely in the capacity of an arm’s length contractual counterparty to Holdings and Target with respect to the arrangement of the Credit Facility (including in connection with determining the terms of the Credit Facility) and not as a financial advisor or a fiduciary to, or an agent of, Holdings, Target or any other person.  Additionally, you acknowledge and agree that the Lead Arranger is not advising Holdings or any of its affiliates as to any legal, tax, investment, accounting, regulatory or any other matters in any jurisdiction.  Holdings or any such affiliate shall consult with its own advisors concerning such matters and shall be responsible for making its own independent investigation and appraisal of the transactions contemplated hereby (the “Transactions”), and neither the Lead Arranger nor GSAM shall have any responsibility or liability to Holdings or such affiliate with respect thereto.  Any review by the Lead Arranger of Holdings or the Target, the Transactions or other matters relating to the Transactions will be performed solely for the benefit of the Lead Arranger and shall not be on behalf of Holdings or any other person.
		

		
			5.         To assist the Lead Arranger in its syndication efforts, you agree promptly to prepare and provide to the Lead Arranger all customary information with respect to Holdings, any Target and the Transactions, including all financial information and projections, as we may reasonably request in connection with the arrangement and syndication of the Credit Facility (provided that, with respect to such information regarding the Target, your obligation will only be to use commercially reasonable efforts to provide such information).
		

		
			6.         Each of the parties agrees to keep any discussions relating to this letter and the Term Sheet, and any information obtained during the due diligence process, strictly confidential among ourselves; provided, that (1) GSAM may release such information (a) to our advisors, representatives, partners, directors, officers, employees and affiliates (collectively, “Representatives”) on a need-to-know basis in connection with the Transactions and (b) pursuant to a subpoena, civil investigative demand (or similar process), order, statute, rule or other legal requirement promulgated or imposed by a court or by a judicial, regulatory, self-regulatory or legislative body, organization, agency or committee or otherwise in connection with any judicial or administrative proceeding (including, in response to oral question interrogatories or requests for information or documents) in which GSAM or a Representative is involved and (2) you may release such information (a) to your advisors, representatives, partners, directors, officers, employees and affiliates on a need-to-know basis in connection with the Transactions, (b) if GSAM consents to such proposed disclosure, (c) as part of your filings in the Bankruptcy Case, or (d) pursuant to a subpoena, civil investigative demand (or similar process), order, statute, rule or other legal requirement promulgated or imposed by a court or by a judicial, regulatory, self-regulatory or legislative body, organization, agency or committee or otherwise in connection with any judicial or administrative proceeding (including, in response to oral question interrogatories or requests for information or documents) in which you or your advisors, representatives, partners, directors, officers, employees and affiliates are involved; provided, further, that in connection with the Acquisition Strategy, you may disclose this Commitment Letter and the Term Sheet and the contents hereof and thereof and, on a redacted basis in a manner reasonably acceptable to GSAM, to (i) the Target and its officers, directors, employees, attorneys, accountants, agents and advisors, on a confidential basis and (ii) the direct or indirect equity holders of the Target and their respective advisors, representatives, partners, directors,
		

		
			
		

		
			

		 

 

		

			Elah Holdings, Inc.

		

		

			May 7, 2018

		

		

			Page 4

		

		

			 

		

		

		
			officers, employees and affiliates on a need-to-know basis. GSAM agrees that all materials containing such information shall be maintained in a confidential manner as set forth in this paragraph 6 and, if requested by you or the Target, shall be destroyed or returned to you or the Target in the event a transaction is not accomplished. Notwithstanding the foregoing, it is understood and agreed that information which (i) is or becomes generally available to the public other than as a result of a disclosure by GSAM, Holdings, or any Representatives of GSAM or Holdings, in breach of this letter, (ii) was in the possession of GSAM on a non-confidential basis prior to disclosure hereunder from a source that, to the knowledge of GSAM or its Representatives, is not, by virtue of such disclosure, in breach of any obligation of confidentiality of such source with respect to such information or (iii) is lawfully developed independently or is obtained from a third party source that is not, to the knowledge of GSAM, Holdings, or any Representatives of GSAM or Holdings, in breach of any obligation of confidentiality of such source with respect to such information shall not be subject to any of the foregoing restrictions. The obligations and restrictions set forth in this paragraph as to GSAM shall terminate on the earlier of (x) two (2) years from the date of this letter, and (y) the date that you and GSAM enter into definitive written agreements with respect to the Credit Facility.
		

		
			7.         You agree that, from the date of this Commitment Letter and until GSAM has notified you in writing that it intends to terminate the Commitment, neither you, nor any of your Representatives, will enter into, or retain any other person or entity to arrange, any equity or debt financing in connection with the Acquisition Strategy, or for any other purpose, without first offering GSAM in writing the right to provide or arrange any such proposed equity or debt financing (the “Right of First Refusal”) on the same or preferential terms to those terms proposed  by any such third party and you agree to give GSAM a commercially reasonable period of time to respond to such Right of First Refusal provided such time period shall not be more than ten (10) days.  In the event that GSAM agrees to provide such debt or equity financing pursuant to the Right of First Refusal, you agree to negotiate in good faith with GSAM the terms of such equity or debt financing. You agree (a) to reimburse GSAM for any and all reasonable and documented out-of-pocket costs and expenses incurred, including reasonable and documented out-of-pocket audit, accounting, environmental, business and legal due diligence, and reasonable and documented out-of-pocket attorneys’ fees, incurred by GSAM and/or its affiliates in connection with the preparation, review, negotiation, execution and delivery of this Commitment Letter, the Term Sheet, the Credit Facility documentation and all related matters, whether or not the Transaction closes (collectively, “Expenses”); and (b) to indemnify and hold harmless GSAM and each of its affiliates (including, without limitation, controlling persons) and the directors, officers, members, equity owners, employees, advisors, attorneys and agents of GSAM and each of its affiliates (each, an “Indemnified Person”) from and against any and all third party losses, claims, damages or liabilities (or actions or other proceedings commenced or threatened in respect thereof) that arise out of or result from this Commitment Letter or the Term Sheet or any of the transactions contemplated hereby or thereby, and to reimburse each Indemnified Person promptly upon its written demand for any reasonable and documented out-of-pocket legal or other expenses incurred in connection with investigating, preparing to defend or defending against, or participating in, any such loss, claim, damage, liability or action or other proceeding (whether or not such Indemnified Person is a party to any action or proceeding), other than any of the foregoing of any Indemnified Person or its Representatives, to the extent
		

		
			
		

		
			

		 

 

		

			Elah Holdings, Inc.

		

		

			May 7, 2018

		

		

			Page 5

		

		

			 

		

		

		
			determined by a final judgment of a court of competent jurisdiction to have resulted by reason of the gross negligence, bad faith or willful misconduct of, or material breach of obligations under this Commitment Letter by, such Indemnified Person or its Representatives.
		

		
			8.         Each of the parties hereto agrees that this Commitment Letter is a binding and enforceable agreement with respect to the subject matter contained herein (including an obligation to negotiate in good faith), and that our obligation to make available the Credit Facility is subject only to the satisfaction or waiver on the Closing Date of the conditions set forth in the “Closing Conditions” paragraph of Term Sheet; and upon satisfaction (or waiver in writing by GSAM) of such “Closing Conditions”, the initial funding of the Credit Facility shall occur (the date of such initial funding, the “Closing Date”); it being understood and agreed that there are no other conditions (implied or otherwise) to the commitments hereunder.
		

		
			9.         Each of the parties hereto knowingly, voluntarily and intentionally waives any right to trial by jury that any party may have regarding any claim, action, suit or proceeding, at law or in equity, in connection with this letter, the attached Term Sheet or the transactions contemplated hereby or thereby. EACH OF THE PARTIES HERETO HEREBY SUBMITS TO THE JURISDICTION OF THE BANKRUPTCY COURT IN CONNECTION WITH ANY DISPUTE RELATED TO THIS COMMITMENT LETTER. IF THE BANKRUPTCY COURT ABSTAINS FROM HEARING, OR REFUSES TO EXERCISE JURISDICTION OVER, ANY ACTIONS OR PROCEEDINGS ARISING IN CONNECTION WITH THIS COMMITMENT LETTER, THEN EACH OF THE PARTIES HERETO CONSENT TO THE NON-EXCLUSIVE JURISDICTION OF THE FEDERAL AND NEW YORK STATE COURTS LOCATED IN THE COUNTY OF NEW YORK, STATE OF NEW YORK.
		

		
			10.       You hereby represent that neither you nor any of your affiliates has a material financial, commercial or ownership interest in or relationship with GSAM or any of its affiliates other than as contemplated by this letter and the attached Term Sheet and no proceeds of the Credit Facility will be funded to GSAM or any of its affiliates other than to GSAM pursuant to the terms of the Credit Facility.
		

		
			This Commitment Letter will terminate and be of no further force or effect on May 10, 2018, unless on or before that date you sign and return an enclosed counterpart of this Commitment Letter. In addition, this Commitment Letter will expire and become null and void on the earlier of (1) any date upon which the Bankruptcy Court denies confirmation of the Plan of Reorganization, or an amended version thereof, or it otherwise becomes clear that Holdings will not confirm the Plan of Reorganization, or an amended version thereof, including, without limitation, upon dismissal of the Bankruptcy Case or conversion of the Bankruptcy Case to another chapter of the Bankruptcy Code, or (2) any date mutually agreed to by each of the parties hereto in writing. Notwithstanding anything in this paragraph to the contrary, subject to the limitations contained in this Commitment Letter, the termination of any commitment pursuant to this paragraph or the success or failure of your reorganization efforts does not prejudice the rights of each party hereto in respect of any breach by the other parties hereto of this Commitment Letter.
		

		
			
		

		
			

		 

 

		

			Elah Holdings, Inc.

		

		

			May 7, 2018

		

		

			Page 6

		

		

			 

		

		

		
			This Commitment Letter contains the entire agreement between the parties hereto and supersedes all prior written agreements, negotiations, and oral understandings. This Commitment Letter may not be amended or waived except by an instrument in writing signed by you and GSAM. This Commitment Letter shall not be assignable by any party hereto or thereto, as the case may be, without the prior written consent of the other party thereto and thereto (and any purported assignment without such consent shall be null and void), as the case may be, and is intended to be solely for the benefit of the parties hereto and is not intended to confer any benefits upon, or create any rights in favor of, any person other than the parties hereto; provided that GSAM may assign all or a portion of its commitment in respect of the Credit Facility to any of its managed funds or accounts. This Commitment Letter shall be governed by and construed in accordance with the laws of the State of New York applicable to contracts made and performed in that state. This Commitment Letter may be executed in any number of counterparts, each of which shall be an original, and all of which, when taken together, shall constitute one agreement. Delivery of an executed signature page of this Commitment Letter by facsimile transmission or other customary means of electronic transmission shall be effective as delivery of a manually executed counterpart hereof.
		

		
			[Remainder of this page intentionally left blank.]
		

		
			 
		

		
			 
		

		

		 

 

		

			 

		

	
					
						

					
						 

					
					
						Very truly yours,

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						THE PRIVATE CREDIT GROUP OF 

				
	
					
						 

					
					
						GOLDMAN SACHS ASSET MANAGEMENT, L.P.,

				
	
					
						 

					
					
						on behalf of one or more managed funds or accounts

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:  /s/ Brendan McGovern

				
	
					
						 

					
					
						      Name: Brendan McGovern

				
	
					
						 

					
					
						      Title: Authorized Signatory

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						Agreed and Accepted this

					
					
						 

				
	
					
						_9th_ day of May, 2018

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						ELAH HOLDINGS, INC.

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: /s/ Kelly G. Howard

					
					
						 

				
	
					
						      Name: Kelly G. Howard

					
					
						 

				
	
					
						      Title: General Counsel, Executive Vice President and Corporate Secretary

					
					
						 

				

		
			 
		

		
			 
		

		
			 
		

		
			

		 

		

			[Signature Page to Commitment Letter]

		

 

		

			 

		

		

		
			EXHIBIT A
		

		
			Elah Holdings, Inc.
		

		
			Term Sheet
		

		
			This Term Sheet is part of that Commitment Letter, dated May [9], 2018 (the “Commitment Letter”), addressed to Elah Holdings, formerly known as Real Industry, Inc. (“Holdings”), with respect to the proposed financing by The Private Credit Group of Goldman Sachs Asset Management, L.P. (on behalf of one or more of its managed funds or accounts, “GSAM”) or certain other financial institutions arranged by GSAM of an entity to be acquired by Holdings (collectively, the “Target” and the “Company”) and is subject to the terms and conditions of the Commitment Letter and this Term Sheet. Capitalized terms used herein shall have the meanings set forth in the Commitment Letter unless otherwise defined herein.
		

			
					
						Borrower.

					
					
						Expected to be the Company and certain of its domestic subsidiaries determined on the basis of Administrative Agent’s (as defined below) review of the final organizational structure (the “Borrower”).

				
	
					
						 

					
					
						 

				
	
					
						Guarantors.

					
					
						Unless otherwise agreed, Borrower, the direct parent of the Borrower (the “Parent”), each of the Parent’s direct and indirect subsidiaries, and any other parties to be mutually agreed upon, shall guarantee all of the Borrower’s obligations and liabilities under the Credit Facility (as defined below).

				
	
					
						 

					
					
						 

				
	
					
						Lenders.

					
					
						GSAM (or one of its managed funds or affiliates) and/or a syndicate of financial institutions arranged by GSAM (each, a “Lender” and collectively, the “Lenders”).

				
	
					
						 

					
					
						 

				
	
					
						Sole Lead Arranger.

					
					
						GSAM and/or one or more of its nominees, assignees or/third-party appointees reasonably acceptable to Holdings shall act as sole lead arranger for the Credit Facility.

				
	
					
						 

					
					
						 

				
	
					
						Syndication Agent.

					
					
						GSAM and/or one or more of its nominees, assignees or third-party appointees reasonably acceptable to Holdings shall act as syndication agent for the Lenders (in such capacity, the “Syndication Agent”). Syndication Agent and its counsel will be responsible for certain administrative functions under the Credit Facility.

				
	
					
						 

					
					
						 

				
	
					
						Administrative Agent.

					
					
						GSAM and/or one or more of its nominees, assignees or third-party appointees reasonably acceptable to Holdings shall act as the administrative agent (in such capacity, the “Administrative Agent”) and collateral agent for the Lenders (in such capacity, the “Collateral Agent” and collectively, with the Administrative Agent and the Syndication Agent, the “Agent”).

				

		
			 
		

		
			 
		

		

		 

		

			 

		

 

		

			 

		

	
					
						

					
						Facility Type.

					
					
						Senior secured credit facility made pursuant to a credit agreement (the “Credit Agreement”), notes, guarantees, pledge and security agreements and certain other documents, instruments, and agreements (collectively, the “Credit Documents”) and providing for the Credit Facility.

				
	
					
						 

					
					
						 

				
	
					
						Credit Documentation.

					
					
						The definitive Credit Agreement and other Credit Documents (the “Definitive Documents” or “Definitive Documentation”), shall (i) be consistent with this Term Sheet and shall contain only those representations, warranties, affirmative covenants, negative covenants, financial covenants and events of default expressly set forth in this Term Sheet, (ii) reflect the operational and strategic requirements of the Borrower and its subsidiaries in light of their size, geographic locations, industry, businesses, and the proposed business plan of Borrower, (iii) be subject to materiality qualifications and other exceptions that give effect to and/or permit the transactions contemplated hereby, (iv) be subject to certain baskets, thresholds and exceptions that are to be agreed upon and sized in light of the EBITDA of the Borrower and its subsidiaries, (v) reflect administrative, agency and operational requirements of the Agent and (vi) be negotiated in good faith to finalize the Definitive Documents, (collectively, the “Documentation Principles”). Mayer Brown LLP, counsel to the Administrative Agent, shall be responsible for the initial draft of the loan agreement and all of the principal collateral documents.

				
	
					
						 

					
					
						 

				
	
					
						Credit Facility.

					
					
						Senior secured credit facility up to $500,000,000 (collectively, the “Credit Facility”) consisting of a term loan facility up to $500,000,000 (the “Term Loan”).

				
	
					
						 

					
					
						 

				
	
					
						Closing Date.

					
					
						The Credit Facility shall close (the “Closing Date”) on the date on which (a) the Definitive Documents have been executed by all parties, (b) the initial loans under the Credit Facility have been made, and (c) all applicable conditions precedent expressly set forth herein have been satisfied or waived in writing by the Agent.

				
	
					
						 

					
					
						 

				
	
					
						Use of Proceeds.

					
					
						The proceeds of the Credit Facility will be used to (a) partially fund the acquisition of the Target; and (b) pay fees and expenses incurred in connection with the Transaction.

				
	
					
						 

					
					
						 

				
	
					
						Interest Rate.

					
					
						As mutually agreed to between the Loan Parties and GSAM.

				

		
			
		

		

		 

		

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						Interest shall be computed on an actual days/360 day year basis, payable quarterly in arrears.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						“LIBOR” shall mean the three (3) month LIBOR Rate as determined by the Administrative Agent initially on the Closing Date and thereafter on the first business day of each calendar quarter. Such rate shall be in effect commencing on the first calendar day of such interest period and continue until the last calendar day of the calendar quarter.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						At election of Agent or Required Lenders, upon the occurrence and during the continuance of any event of default (but, without any election for any payment or insolvency event of default), the obligations under the Facilities shall bear interest at a rate equal to an additional two percent (2%) per annum over the rate otherwise applicable, with such interest payable on demand.

				
	
					
						 

					
					
						 

				
	
					
						Amortization.

					
					
						The principal balance of the Term Loan will amortize at 1% per year in quarterly installments (in equal amounts for each loan year, except with respect to the last payment due at maturity), beginning with the first full fiscal quarter after the Closing Date in each case, in immediately available funds on the last day of each quarter.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						All unpaid amounts are due in full at Maturity (as defined below).

				
	
					
						 

					
					
						 

				
	
					
						Excess Cash Flow Payments.

					
					
						In addition to the foregoing quarterly amortization payments, for each fiscal year (for the period from the first day of the first full fiscal quarter commencing after the Closing Date through such date), the Borrower shall make annual principal reduction payments on the Term Loan within 120 days of the end of such fiscal year, each in an amount equal to ([75]%) of Excess Cash Flow (to be defined and in any event to include customary deductions) for the immediately preceding full fiscal year.

				
	
					
						 

					
					
						 

				
	
					
						Mandatory Prepayments.

					
					
						The Term Loan shall be required to be prepaid as follows (each, a  “Mandatory Prepayment”):

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						Asset Dispositions and Insurance and Condemnation Proceeds. Upon the Parent, the Borrower or any of its subsidiaries receiving any proceeds of any (a) asset sales or other asset dispositions (including sales of stock of subsidiaries) and/or (b) insurance and/or condemnation

				

		
			
		

		

		 

		

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						proceeds, in each case in respect of Collateral (as defined below), 100% of the net cash proceeds thereof shall be required to be used to prepay the Term Loans, subject to customary carve-outs, thresholds and reinvestment rights to be agreed consistent with the Documentation Principles.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						Debt or Equity Issuances. Upon the Parent, the Borrower or any of its subsidiaries issuing any public or private indebtedness or equity post closing (other than Indebtedness permitted under the Definitive Documents and certain issuances of equity).

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						Change of Control. The Parent, the Borrower and its subsidiaries shall be required to offer to prepay the Credit Facility upon the occurrence of a Change of Control (to be defined consistent with the Documentation Principles).

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						Extraordinary Receipts. Upon the Parent, the Borrower or any of its subsidiaries receiving any extraordinary receipts or other amounts post closing, 100% of the net cash proceeds thereof shall be used to prepay the Term Loan.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						Generally. Any Mandatory Prepayment applied to the Term Loan, other than from the proceeds of insurance and/or condemnation proceeds, shall be subject to the applicable prepayment premium described below. Any Lender shall have the right to decline a mandatory prepayment of the Term Loan.

				
	
					
						 

					
					
						 

				
	
					
						Voluntary prepayments.

					
					
						Borrower may make voluntary prepayments of the Term Loan upon not less than 2 Business Days’ prior written notice subject in each case to the prepayment premium set forth below.

				
	
					
						 

					
					
						 

				
	
					
						Fees.

					
					
						In addition to the other fees payable pursuant to the Definitive Documents, Borrower will pay the following fees:

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						The Borrower shall pay the Agent, for its own account, an administrative agent fee of an amount to be mutually agreed to between the Borrower and the Agent on the Closing Date and on each anniversary of the Closing Date until the Credit Facility has been paid in full.

				
	
					
						 

					
					
						 

				
	
					
						Prepayment Fee.

					
					
						If the Borrower prepays all or any portion of the Term Loan, whether voluntarily or involuntarily and whether before or after acceleration, the Borrower shall pay to the Lenders, as liquidated damages and compensation for the

				

		
			 
		

		
			
		

		

		 

		

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						costs of being prepared to make funds available, an amount mutually agreed to between the Loan Parties and GSAM that will equal a certain percentage multiplied by the sum of the portion of the principal amount of the Term Loan paid after acceleration or prepaid.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						No prepayment shall be made upon less than 10 days’ prior written notice.

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						The prepayment premium shall apply to all prepayments, regardless of whether there has been a default or acceleration.

				
	
					
						 

					
					
						 

				
	
					
						Issue Price for Term Loan:

					
					
						As mutually agreed to between the Loan Parties and GSAM.

				
	
					
						 

					
					
						 

				
	
					
						Maturity.

					
					
						Five (5) years from the Closing Date. All amounts due under the Credit Facility shall be due at maturity (“Maturity”).

				
	
					
						 

					
					
						 

				
	
					
						Security.

					
					
						A first priority security interest (subject to permitted liens to be mutually agreed upon) in all of the Borrower’s and each existing and future Guarantor’s personal and real property, including, without limitation, all accounts, chattel paper, deposit accounts, general intangibles, patents, trademarks, copyrights, internet domains, instruments, documents, fixtures and equipment now owned or hereafter acquired (collectively, the “Collateral”).

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						The Administrative Agent shall also receive a pledge of (a) the capital stock of the Borrower, (b) the capital stock directly held by the Borrower or any Guarantor in any domestic subsidiary and (c) up to 65% of the capital stock directly held by the Borrower or any Guarantor in any foreign subsidiary. Such foregoing pledge shall be subject to other customary exceptions consistent with the Documentation Principles.

				
	
					
						 

					
					
						 

				
	
					
						Representations and Warranties.

					
					
						Representations and warranties will apply to Parent, the Borrower and their subsidiaries, will be subject to materiality levels and/or exceptions, monetary baskets, and other exceptions to be reflected in the Definitive Documentation (in each case, consistent with the Documentation Principles) and will be limited to and consist of the following: due organization; corporate existence and status; corporate power and authority, enforceability; capital structure; compliance with laws; no

				

		
			
		

		

		 

		

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						violation of law, organizational documents or imposition of liens; no litigation or labor controversies that would reasonably be expected to have a material adverse effect; no contractual restrictions on payment of dividends to, and investments in, the Parent or any of its subsidiaries, or their ability to perform their obligations under the Definitive Documentation; specified audited financial statements which fairly present in all material respects the financial condition of the Loan Parties; projections prepared in good faith upon assumptions believed by the Loan Parties to be reasonable at the time made; after the Closing Date, no material adverse change; no required governmental or third party approvals or consents; no judgment, order or injunction with respect to the Transactions; litigation; use of proceeds; solvency on a consolidated basis as of the Closing Date and each borrowing; not engaging in business of purchasing/carrying margin stock; status under Investment Company Act; ERISA matters; environmental matters; tax matters; ownership and location of properties (including leased properties); collective bargaining; insurance matters; intellectual property; accuracy and completeness of disclosure; subsidiaries and joint ventures; no default or event of default; perfected liens, security interests and charges; deposit accounts and security accounts; brokers; OFAC; anti-corruption laws; and Patriot Act.

				
	
					
						 

					
					
						 

				
	
					
						Covenants.

					
					
						Covenants will apply to the Parent, the Borrower and their subsidiaries, will be subject to materiality levels and/or exceptions, monetary baskets, and other exceptions to be reflected in the Definitive Documentation (in each case, consistent with the Documentation Principles) and will be limited to and consist of the following: delivery of financial statements, budgets and compliance certificates; notices of any material litigation, governmental proceedings or investigations, ERISA, environmental proceedings, labor controversies, bankruptcy or similar events, in each case, resulting in a material adverse effect, and changes in financial reporting practices; delivery of management letters from the Borrower’s independent accountants; change in fiscal year; compliance with laws; compliance with Patriot Act and anticorruption laws; payment of taxes; preservation of existence; maintenance of books and records and inspection rights; use of proceeds; maintenance of properties (including intellectual property); subject to the limitations hereunder, additional guarantees and related security interests from new direct or indirect subsidiaries of

				

		
			
		

		

		 

		

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						the Loan Parties; control agreements with respect to deposit accounts and securities accounts (on a post-closing basis to be agreed) and similar accounts; ERISA matters; environmental compliance; further assurances; maintenance of insurance; limitation on indebtedness (including hedging), liens, granting of negative pledges, mergers, consolidations, sales of assets, change of name, form or jurisdiction of organization,  dividends, stock redemptions and other restricted payment and the modification, redemption and/or prepayment of other subordinated debt; limitation on investments (including loans and advances); limitation on sale-leasebacks; limitation on transactions with affiliates; limitations on modifications of certain agreements and organizational documents; restrictive agreements; and changes in line of business.

				
	
					
						 

					
					
						 

				
	
					
						Financial Reporting.

					
					
						The Definitive Documents will also contain the following financial reporting requirements: (i) monthly financial statements and other reports within 30 days after month-end (other than for the last month of any fiscal quarter), (ii) quarterly financial statements and other reports (including summary management discussion and analysis reports) within 45 days after quarter-end (or, solely with respect to the fourth fiscal quarter of each fiscal year, 60 days after quarter-end), (iii) annual audited financial statements and other reports within 120 days after year-end, and (iv) annually, by the 30th day of each year, a budget and financial projections for such year, month by month.

				
	
					
						 

					
					
						 

				
	
					
						Financial Covenants.

					
					
						The Definitive Documents will also contain financial covenants (with definitions of financial terms, levels, and other terms to be agreed upon by the Borrower and GSAM) including, without limitation, the following financial covenants: a maximum total leverage ratio, maximum capital expenditures and a minimum fixed charge coverage ratio, in each case, determined on a four consecutive fiscal quarter basis as of the last day of each fiscal quarter of Borrower and its subsidiaries (commencing with the first full fiscal quarter of the Borrower after the Closing Date), on a consolidated basis.

				
	
					
						 

					
					
						 

				
	
					
						Events of Default.

					
					
						Events of Default will apply to Holdings, the Parent, the Borrower and their subsidiaries, will be subject to customary materiality levels and grace periods and other thresholds and qualifications to be agreed (in each case, consistent with the Documentation Principles) and will be limited to and consist of the following: nonpayment of

				

		
			
		

		

		 

		

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						principal, interest, fees or other amounts; any representation or warranty being incorrect in all material respects when made or confirmed (except that any representation or warranty that is already qualified as to “materiality”, “Material Adverse Effect” or similar language shall be true and correct in all respects after giving effect to such qualification); failure to perform or observe covenants set forth in the Definitive Documentation; cross-default to other material indebtedness; bankruptcy and insolvency defaults; judgment defaults; actual or asserted by any Loan Party invalidity of any Definitive Documentation; breach of repudiation of guaranty by any Guarantor; unenforceability or ineffectiveness of subordination provisions in respect of any material subordinated debt; change of control; impairment of security interests or guarantees; and ERISA defaults.

				
	
					
						 

					
					
						 

				
	
					
						Governing Law.

					
					
						The definitive documents shall be governed by and construed in accordance with the laws of the State of New York applicable to contracts made and performed in that state.

				
	
					
						 

					
					
						 

				
	
					
						Fees and Expenses.

					
					
						The Borrower shall pay all reasonable and documented out-of-pocket due diligence, legal and closing expenses of the Administrative Agent and the Syndication Agent, including reasonable and documented out-of-pocket attorneys’ fees and disbursements (but limited to one primary external counsel and, to the extent reasonably necessary, one counsel in each other relevant jurisdiction), filing and search fees, and examination and appraisal fees, as well as all travel, hotel and other out-of-pocket expenses, whether or not the Transaction is consummated. The Borrower shall pay all such expenses at the closing of the Transaction or in the event the transaction has been terminated promptly upon receipt of an invoice reflecting the same.

				
	
					
						 

					
					
						 

				
	
					
						Closing Conditions.

					
					
						The availability and initial funding of the Credit Facility shall be subject only to the satisfaction or waiver by GSAM of the following conditions:

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(a)       any subsequent amendments to the Plan of Reorganization (as such term is defined in the Commitment Letter) or accompanying disclosure statement, or the filing of any other plan-related documents, that might adversely affect the financial condition of Holdings and the related debtors as of

				

		
			 
		

		
			
		

		

		 

		

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						and immediately following the effective date of the confirmed plan or change in any way the description of the Credit Facility, shall be in form and substance reasonably satisfactory to GSAM;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(b)       the Bankruptcy Court shall have entered an order, in form and substance satisfactory to GSAM, in its sole discretion, confirming the Plan of Reorganization and approving all transactions in connection therewith, including, without limitation, the Credit Facility and all ancillary agreements and documents related thereto (the “Confirmation Order”), and the Confirmation Order shall be a final non-appealable order, which has not been stayed by the Bankruptcy Court or by any other court having jurisdiction to issue any such stay. The Confirmation Order shall have been entered upon proper notice to all parties to be bound by the Plan of Reorganization, all as may be required by the Bankruptcy Code, the Federal Rules of Bankruptcy Procedure and any applicable local bankruptcy rules. Consistent with the foregoing, unless such finality requirement is waived in writing by GSAM in sole and absolute discretion, the time to appeal the Confirmation Order or to seek review, rehearing or certiorari with respect to the Confirmation Order must have expired, no appeal or petition for review, reconsideration, rehearing or certiorari with respect to the provisions of the Confirmation Order may be pending, and the Confirmation Order must otherwise be in full force or effect;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(c)       the Target and Transaction shall be satisfactory to GSAM in its sole discretion (with GSAM having received the appropriate approvals of its internal investment committees and board of directors as applicable for the Transaction) and the Transaction shall have been consummated in accordance in all material respects with the terms of the transaction documents governing the Transaction and shall otherwise be on terms and conditions satisfactory to GSAM in its sole discretion;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(d)       the Loan Parties shall have executed and delivered the Definitive Documentation, which, in each case, shall be in accordance with the terms of the Commitment Letter and this Term Sheet and subject

				

		
			 
		

		
			
		

		

		 

		

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						to the Certain Funds Provisions and Documentation Principles;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(e)       all representations and warranties set forth in the Definitive Documentation shall be true and correct in all respects;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(f)        all documents and instruments required to create and perfect the Agent’s first priority security interest in the Collateral shall have been executed and delivered and, if applicable, be in proper form for filing;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(g)       Agent shall have received (i) executed legal opinions customary for transactions of this type from counsel to the Loan Parties, (ii) customary corporate documents and certificates of officers of the Loan Parties, (iii) customary lien searches (including intellectual property searches) with respect to the Loan Parties indicating no liens other than permitted liens (or liens with respect to indebtedness to be repaid on the Closing Date pursuant to customary payoff and lien release letters) and (iv) customary insurance certificates evidencing insurance coverage in scope and amount (including deductibles) acceptable to GSAM and naming Administrative Agent as additional insured, assignee and lender loss payee, as applicable, on each casualty and general liability insurance policy required to be maintained under the Definitive Documentation;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(h)       the Borrower shall have paid all fees and expenses due on or prior to the Closing Date pursuant to the terms hereof and the letter to which this Term Sheet is attached;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(i)        the absence of any material adverse effect on the business, operations, properties, prospects or financial condition of Holdings, Target and its and their respective subsidiaries;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(j)        there not having occurred any disruption or adverse change, as determined by GSAM in the financial or capital markets generally, or in the markets for syndicated loans, high yield debt or equity securities in particular, or affecting the funding of the Credit

				

		
			 
		

		
			
		

		

		 

		

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						Facility that, in the sole judgment of GSAM, may have a material adverse impact on the syndication of the Credit Facility;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(k)       the capital structure (including amount and nature of any equity contribution and rollover equity) for the Transaction shall be satisfactory to GSAM in its sole discretion;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(l)        Agent shall have received a solvency certificate of the Chief Financial Officer (or other officer performing equivalent duties) of Borrower, substantially in the form set forth in Annex I attached to this Exhibit A;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(m)      the Agent and the Lenders shall have received, at least ten days prior to the Closing Date, all documentation and other information required by bank regulatory authorities under applicable “know-your-customer” and anti-money laundering rules and regulations, including the Patriot Act;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(n)       legal, business, industry, financial, contractual, tax, insurance and other customary due diligence reviews, management background checks and quality of earnings report with respect to Target and its subsidiaries being satisfactory to GSAM in its sole discretion;

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(o)       to the best knowledge of the Loan Parties, after due inquiry, neither Target nor any affiliate of Target has, a material financial, commercial or ownership interest in or relationship with GSAM or any of its affiliates other than as contemplated by this Term Sheet and the Commitment Letter and no proceeds of the Credit Facility will be funded to GSAM or any of its affiliates other than to GSAM pursuant to the terms of the Credit Facility; and

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(p)       receipt of evidence reasonably satisfactory to the Agent that all existing indebtedness for borrowed money of the Loan Parties (excluding certain indebtedness that is permitted to remain outstanding after the Closing Date pursuant to the Definitive Documents consistent with the Documentation Principles) shall have been (or concurrently with the initial funding of the Credit Facility will be) repaid

				

		
			 
		

		
			
		

		

		 

		

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						in full and all commitments to lend or make other extensions of credit thereunder have been (or concurrently with the initial funding of the Credit Facility will be) terminated and all liens securing such indebtedness or other obligations thereunder have been (or concurrently with the initial funding of the Credit Facility will be) released and/or terminated (other than customary liens permitted to be outstanding under the Definitive Documentation consistent with the Documentation Principles) (or signed pay-off letters with respect to such third party debt, and releases with respect to any liens securing such debt, will be placed in escrow and released upon the simultaneous closing of the Acquisition Agreement (or such other arrangements related to the release of such liens that are reasonably satisfactory to the Agent) will be implemented).

				
	
					
						 

					
					
						 

				
	
					
						Conditions to all Borrowings 

					
						after the Closing Date.

					
					
						Each extension of credit under the Credit Facility after the Closing Date will be subject to the following conditions precedent:

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(a)       immediately before and after giving effect to the requested borrowing, all representations and warranties set forth in the Definitive Documents shall be true and correct in all material respects (except to the extent that such representation and warranty is qualified by materiality or material adverse effect, in which instance such representation and warranty shall be true and correct in all respects after giving effect to such qualification); and

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						(b)       immediately before and after giving effect to the requested borrowing, no default or event of default shall have then occurred and be continuing.

				
	
					
						 

					
					
						 

				
	
					
						Voting.

					
					
						Required Lenders holding greater than 50% of Commitments; provided, that if there are two or more Lenders, then Required Lenders means at least two Lenders (affiliated Lenders being considered one Lender for this purpose). Consent of all Lenders (or all directly and adversely affected Lenders, as specified in the Definitive Documents) to amend or modify certain material provisions of the Definitive Documents, including amendments to

				

		
			 
		

		
			
		

		

		 

		

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						increase commitments, reduce principal, interest (other than default interest) or fees, extend scheduled payments (other than with respect to any mandatory prepayments), release guarantees or release all or substantially all collateral, or amend provisions requiring the ratable sharing of payments amongst the Lenders. Consent of Lenders holding a majority of the Term Loan to modify timing or application of mandatory prepayments. Voting rights will be restricted for lenders holding a specified level of junior debt and/or equity capital positions in Parent/the Borrower.

				
	
					
						 

					
					
						 

				
	
					
						Assignments and Participations.

					
					
						After the Closing Date, assignments in minimum acceptable amounts by Lenders to financial institutions with GSAM’s approval (not to be unreasonably withheld or delayed) and, so long as no event of default shall be occurred and being continued, the approval or Borrower, such approval not to be unreasonably withheld or delayed or required in connection with assignments to other Lenders, affiliates of Lenders and “approved funds” (to be defined in the Definitive Documents) of Lenders. After the Closing Date, participations by Lenders of their respective interests in the Credit Facility shall be permitted, provided that any voting rights of participants with respect to any such participation shall be limited to matters submit to consent of all Lenders or all affected Lenders, as the case may be.

				
	
					
						 

					
					
						 

				
	
					
						Counsel to Agent.

					
					
						Mayer Brown LLP

				

		
			 
		

		
			 
		

		
			

		 

		

			13

		

 

		

			 

		

		

		
			ANNEX I
		

		
			TO EXHIBIT A
		

		
			FORM OF SOLVENCY CERTIFICATE
		

		
			Pursuant to the Credit Agreement1, the undersigned hereby certifies, solely in such undersigned’s capacity as [chief financial officer] [chief accounting officer] [specify other officer with equivalent duties] of the Borrower, and not individually, as follows:
		

		
			I am generally familiar with the businesses and assets of the Loan Parties, taken as a whole, and am duly authorized to execute this Solvency Certificate (this “Certificate”) on behalf of the Borrower pursuant to the Credit Agreement. As of the date hereof, after giving effect to the consummation of the Transactions, including the making of the Loans under the Credit Agreement on the date hereof, and after giving effect to the application of the proceeds of such indebtedness:
		

		
			a.         The fair value of the assets of the Loan Parties, on a consolidated basis, exceeds, on a consolidated basis, their debts and liabilities, subordinated, contingent or otherwise;
		

		
			b.         The present fair saleable value of the property of the Loan Parties, on a consolidated basis, is greater than the amount that will be required to pay the probable liability, on a consolidated basis, of their debts and other liabilities, subordinated, contingent or otherwise, as such debts and other liabilities become absolute and matured;
		

		
			c.         The Loan Parties, on a consolidated basis, are able to pay their debts and liabilities, subordinated, contingent or otherwise, as such liabilities become absolute and matured; and
		

		
			d.         The Loan Parties, on a consolidated basis, are not engaged in, and are not about to engage in, business for which they have unreasonably small capital.
		

		
			For purposes of this Certificate, the amount of any contingent liability at any time shall be computed as the amount that would reasonably be expected to become an actual and matured liability. Capitalized terms used but not otherwise defined herein shall have the meanings assigned to them in the Credit Agreement.
		

		
			[Signature Page Follows]
		

		

		
			1     Credit Agreement to be defined.
		

		
			 
		

		
			 
		

		
			

		 

		

			 

		

 

		

			 

		

		

		
			IN WITNESS WHEREOF, the undersigned has executed this Certificate as of the date first stated above.
		

			
					
						 

					
					
						[BORROWER]

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						 

				
	
					
						 

					
					
						Name:

				
	
					
						 

					
					
						Title:

				

		
			 
		

		 

		

			[Solvency Certificate]

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