Document:

Exhibit 4.3

	
   

  

 

 

BILL BARRETT CORPORATION,

 

as Issuer

 

and

 

The Subsidiary Guarantors named herein

 

 

5.00% Convertible Senior Notes due 2028

 

 

SECOND SUPPLEMENTAL INDENTURE

 

Dated as of July 8, 2009

 

 

DEUTSCHE BANK TRUST COMPANY AMERICAS,

 

as Trustee

 

	
   

  

 

 

SECOND
SUPPLEMENTAL INDENTURE

 

THIS SECOND SUPPLEMENTAL INDENTURE, dated as of July 8,
2009 (this “Supplemental Indenture”),
is entered into among Bill Barrett Corporation, a Delaware corporation (the “Company”), Bill
Barrett CBM Corporation, a Delaware corporation (the “Delaware
Subsidiary”), Bill Barrett CBM, LLC, a Texas limited liability
company (the “Texas Subsidiary”), Circle B
Land Company LLC, a Colorado limited liability company (the “Colorado Subsidiary” and, together
with the Delaware Subsidiary and the Texas Subsidiary, the “New Subsidiary Guarantors”), and
Deutsche Bank Trust Company Americas, a New York State banking corporation, as
trustee (the “Trustee”).  Capitalized terms used herein and not
otherwise defined have the meanings set forth in the Indenture (as defined below).

 

RECITALS

 

WHEREAS, the Company and the Trustee entered into that
certain Indenture, dated as of March 12, 2008 (the “Base Indenture”),
pursuant to which the Company may from time to time issue its senior
indebtedness in the form of debentures, notes, bonds or other evidences of
indebtedness (collectively, the “Debt Securities”).

 

WHEREAS, the Company and the Trustee entered into that
certain First Supplemental Indenture, dated as of March 12, 2008 (the “First Supplemental Indenture” and,
together with the Base Indenture, the “Indenture”),
pursuant to which the Company issued $172,500,000 in aggregate principal amount
of 5% Convertible Senior Notes due 2028 (the “Notes”).

 

WHEREAS, Section 11.01 of the First Supplemental
Indenture provides that the Company is required to cause any Subsidiary that
incurs or guarantees any Indebtedness other than Indebtedness under a Secured
Credit Facility, which when combined with any other such Indebtedness for which
such Subsidiary is an obligor or guarantor, is at least $10.0 million in aggregate
principal amount to become a Subsidiary Guarantor, and such Subsidiary
Guarantor is required to execute and deliver to the Trustee a supplemental
indenture containing the terms set forth in Exhibit B attached
thereto and otherwise in form reasonably satisfactory to the Trustee pursuant
to which such Subsidiary shall unconditionally guarantee all of the Company’s
obligations under the Notes and the First Supplemental Indenture on the terms
set forth in Article 11 thereof.

 

WHEREAS, simultaneously with the execution and delivery of
this Supplemental Indenture, the Company is issuing $250,000,000 aggregate
principal amount of its 9.875% Senior Notes due 2016, which notes are being
guaranteed by each of the New Subsidiary Guarantors;

 

WHEREAS, the Company has determined that this Supplemental
Indenture is authorized or permitted by Section 8.01 of the First
Supplemental Indenture and has delivered to the Trustee an Opinion of Counsel
and Officers’ Certificate to the effect that all conditions precedent provided
for in the First Supplemental Indenture to the execution and delivery of this
Supplemental Indenture have been complied with.

 

WHEREAS, all things necessary to make this Supplemental
Indenture a valid and legally binding agreement according to its terms, and a
valid and legally binding amendment of, and supplement to, the Indenture, have
been done.

 

NOW, THEREFORE, in consideration of the mutual agreements
and covenants set forth herein, the parties hereto agree, subject to the terms
and conditions hereinafter set forth, as follows for the benefit of the Trustee
and the Noteholders:

 

 

ARTICLE 1

 

GUARANTEES

 

Section 1.01       Guarantee.  Each New Subsidiary Guarantor agrees to be
bound by the terms of the First Supplemental Indenture and this Supplemental
Indenture as a Subsidiary Guarantor; provided, however, that each New Subsidiary Guarantor shall cease to
constitute a Subsidiary Guarantor when its Subsidiary Guarantee is released in
accordance with the terms of the First Supplemental Indenture.

 

Each New Subsidiary Guarantor hereby jointly and
severally with each of the other Subsidiary Guarantors guarantees, as a primary
obligor and not as a surety, to the Trustee and each Holder and their respective
successors and assigns, the prompt payment in full when due (whether at Stated
Maturity, by required prepayment, declaration, demand, by acceleration or
otherwise) of the principal of and interest (including Additional Interest, if
any, and any interest, fees, costs or charges that would accrue but for the
provisions of Title 11 of the United States Code after any bankruptcy or
insolvency petition under Title 11 of the United States Code) on the
Notes, and all other obligations from time to time owing to the Trustee and the
Holders by the Company under the Indenture and the Notes, in each case strictly
in accordance with the terms thereof (such obligations being herein
collectively called the “Guaranteed Obligations”).  Each New Subsidiary Guarantor jointly and
severally with each of the other Subsidiary Guarantors agrees that if the
Company shall fail to pay in full when due (whether at stated maturity, by
acceleration or otherwise) any of the Guaranteed Obligations, such New Subsidiary
Guarantor will promptly pay the same in cash, without any demand or notice
whatsoever, and that in the case of any extension of time of payment or renewal
of any of the Guaranteed Obligations, the same will be promptly paid in full
when due (whether at extended maturity, by acceleration or otherwise) in
accordance with the terms of such extension or renewal.

 

Section 1.02       Obligations Unconditional.  The obligations of each New Subsidiary
Guarantor under Section 1.01 shall constitute a guaranty of payment
and to the fullest extent permitted by applicable law, are absolute,
irrevocable and unconditional, joint and several with each of the other Subsidiary
Guarantors, irrespective of the value, genuineness, validity, regularity or
enforceability of the Guaranteed Obligations, or any substitution, release or
exchange of any other guarantee of or security for any of the Guaranteed Obligations,
and irrespective of any other circumstance whatsoever that might otherwise
constitute a legal or equitable discharge or defense of a surety or guarantor
(except for payment in full).  Without
limiting the generality of the foregoing, it is agreed that the occurrence of
any one or more of the following shall not alter or impair the liability of any
New Subsidiary Guarantor hereunder, which shall remain absolute, irrevocable
and unconditional under any and all circumstances as described above:

 

(i)     at any time or from
time to time, without notice to any New Subsidiary Guarantor, the time for any
performance of or compliance with any of the Guaranteed Obligations shall be extended,
or such performance or compliance shall be waived;

 

(ii)     any of the acts mentioned in any of the
provisions of this Subsidiary Guarantee or the Notes, if any, or any other
agreement or instrument referred to herein or therein shall be done or omitted;

 

(iii)     the maturity of any of the Guaranteed
Obligations shall be accelerated, or any of the Guaranteed Obligations shall be
amended in any respect, or any right under the Indenture or any other agreement
or instrument referred to herein or therein shall be amended or waived in any

 

 

respect or any other guarantee of any of the
Guaranteed Obligations or any security therefor shall be released or exchanged
in whole or in part or otherwise dealt with; or

 

(iv)     the release of any other Subsidiary
Guarantor pursuant to the First Supplemental Indenture.

 

Each New Subsidiary Guarantor hereby expressly
waives diligence, presentment, demand of payment, protest and all notices
whatsoever, and any requirement that the Trustee or any Holder exhaust any
right, power or remedy or proceed against the Company or any other Subsidiary
Guarantor under the Indenture or the Notes or a Subsidiary Guarantee, if any,
or any other agreement or instrument referred to herein or therein, or against
any other Person under any other guarantee of, or security for, any of the
Guaranteed Obligations.  Each New
Subsidiary Guarantor waives any and all notice of the creation, renewal,
extension, waiver, termination or accrual or any of the Guaranteed Obligations
and notice of or proof of reliance by the Trustee or any Holder upon this
Subsidiary Guarantee or acceptance of this Subsidiary Guarantee, and the
Guaranteed Obligations, and any of them, shall conclusively be deemed to have
been created, contracted or incurred in reliance upon this Subsidiary
Guarantee, and all dealings between the Company and the Trustee or any Holder
shall likewise be conclusively presumed to have been had or consummated in reliance
upon this Subsidiary Guarantee.  This
Subsidiary Guarantee shall be construed as a continuing, absolute, irrevocable
and unconditional guarantee of payment without regard to any right of offset
with respect to the Guaranteed Obligations at any time or from time to time
held by the Trustee or any Holder, and the obligations and liabilities of each
New Subsidiary Guarantor hereunder shall not be conditioned or contingent upon
the pursuit by the Trustee or any Holder or any other Person at any time of any
right or remedy against the Company, any other Subsidiary Guarantor or any
other Person which may be or become liable in respect of all or any part of the
Guaranteed Obligations or against any collateral security or guarantee therefor
or right of offset with respect thereto. 
This Subsidiary Guarantee shall remain in full force and effect and be
binding in accordance with and to the extent of its terms upon each New Subsidiary
Guarantor and the successors and assigns thereof, and shall inure to the
benefit of the Trustee and the Holders, and their respective successors and
assigns.

 

Section 1.03       Reinstatement.  The obligations of each New Subsidiary
Guarantor hereunder shall be automatically reinstated if and to the extent that
for any reason any payment by or on behalf of the Company in respect of the
Guaranteed Obligations is rescinded or must be otherwise restored by any holder
of any of the Guaranteed Obligations, whether as a result of any proceedings in
bankruptcy or reorganization or otherwise.

 

Section 1.04       Subrogation; Subordination.  Each New Subsidiary Guarantor hereby agrees
that until the indefeasible payment and satisfaction in full in cash of all
Guaranteed Obligations, it shall waive any claim and shall not exercise any
right or remedy, direct or indirect, arising by reason of any performance by it
of its guarantee in Section 1.01, whether by subrogation or
otherwise, against the Company or any other Subsidiary Guarantor or any
security for any of the Guaranteed Obligations.

 

Section 1.05       Remedies.  Each New Subsidiary Guarantor jointly and
severally with each of the other Subsidiary Guarantors agrees that, as between such
New Subsidiary Guarantor and the Trustee or any Holder, the obligations of the
Company under the Indenture and the Notes may be declared to be forthwith due
and payable as provided in the First Supplemental Indenture (and shall be
deemed to have become automatically due and payable in the circumstances
provided in the First Supplemental Indenture) for purposes of Section 1.01,
notwithstanding any stay, injunction or other prohibition preventing such
declaration (or such obligations from becoming automatically due and payable)
as against the Company and that, in the event of such declaration (or such
obligations being deemed to have become automatically due and payable), such
obligations (whether or not due and payable by the Company) shall forthwith
become due and payable by such New Subsidiary Guarantor for purposes of Section 1.01.

 

 

Section 1.06       Instrument for the Payment
of Money.  Each New Subsidiary
Guarantor hereby acknowledges that the guarantee in this Subsidiary Guarantee
constitutes an instrument for the payment of money, and consents and agrees
that the Trustee or (if permitted by the First Supplemental Indenture) any
Holder shall have the right to bring a motion-action under New York CPLR Section 3213.

 

Section 1.07       Continuing Guarantee.  The guarantee in this Subsidiary Guarantee is
a continuing guarantee of payment, and shall apply to all Guaranteed
Obligations whenever arising.

 

Section 1.08       General Limitation on
Guarantee Obligations.  In any
action or proceeding involving any state corporate, limited partnership or
limited liability company law, or any applicable state, federal or foreign
bankruptcy, insolvency, reorganization or other law affecting the rights of
creditors generally, if the obligations of any Subsidiary Guarantor under Section 1.01
would otherwise be held or determined to be void, voidable, invalid or unenforceable,
or subordinated to the claims of any other creditors, on account of the amount
of its liability under Section 1.01, then, notwithstanding any
other provision to the contrary, the amount of such liability shall, without
any further action by any Subsidiary Guarantor, the Trustee or any Holder or
any other person, be automatically limited and reduced to the maximum amount
which, after giving effect to all other contingent and fixed liabilities of
such Subsidiary Guarantor and after giving effect to any collections from or
payments made by or on behalf of any other Subsidiary Guarantor in respect of
the obligations of such other Subsidiary Guarantor under its Subsidiary
Guarantee or pursuant to its contribution obligations under Section 1.09,
will result in the obligations of such Subsidiary Guarantor under its
Subsidiary Guarantee not constituting a fraudulent conveyance or fraudulent
transfer under federal or state law.

 

Section 1.09       Right of Contribution.  Each New Subsidiary Guarantor hereby agrees
that to the extent that any Subsidiary Guarantor shall have paid more than its
proportionate share of any payment made under a Subsidiary Guarantee (based on
the respective net assets of all Subsidiary Guarantors at the time of such
payment determined in accordance with GAAP), such New Subsidiary Guarantor
shall be entitled to seek and receive contribution from and against any other
Subsidiary Guarantor which has not paid its proportionate share of such
payment.  Each New Subsidiary Guarantor’s
right of contribution shall be subject to the terms and conditions of Section 1.04.  The provisions of this Section 1.09
shall in no respect limit the obligations and liabilities of any Subsidiary
Guarantor to the Trustee or any Holder and each New Subsidiary Guarantor shall
remain liable to the Trustee or any Holder for the full amount guaranteed by such
New Subsidiary Guarantor hereunder.

 

Section 1.10       Releases; Merger.  Each New Subsidiary Guarantor shall be
released from its obligations under Section 1.01 hereof as
specified in Section 11.02 of the First Supplemental Indenture in respect
of the Notes.  Each New Subsidiary
Guarantor may consolidate with or merge into or sell its assets to any Person
as specified in the second paragraph of Section 11.01 of the First
Supplemental Indenture.

 

ARTICLE
2

 

MISCELLANEOUS

 

Section 2.01       Separability Clause.  In case any provision in this
Supplemental Indenture shall be invalid, illegal or unenforceable, the
validity, legality and enforceability of the remaining provisions shall not in
any way be affected or impaired thereby.

 

Section 2.02       Governing Law.  THIS SUPPLEMENTAL INDENTURE
SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE
OF NEW YORK BUT WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS 

 

 

OF
LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION
WOULD BE REQUIRED THEREBY.

 

Section 2.03       Submission to
Jurisdiction; No Liability for Certain Persons.

 

(a)           The parties hereby submit to the non-exclusive
jurisdiction of any United States Federal or New York State court sitting in
the Borough of Manhattan in the City of New York solely for the purpose of any
legal action or proceeding brought to enforce their obligations hereunder or
with respect to any Note.

 

(b)           An incorporator or any past, present or future director,
officer, employee or stockholder, as such, of the Company shall not have any
liability for any obligations of the Company under the Notes or this
Supplemental Indenture or for any claim based on, in respect of or by reason of
such obligations or their creation.  By
accepting a Note, each Holder shall waive and release all such liability.  The waiver and release shall be part of the
consideration for the issue of the Notes.

 

Section 2.04       Successors.  All agreements of each New
Subsidiary Guarantor in this Supplemental Indenture
and the Notes shall bind its successor.  All agreements of the Trustee in this Supplemental Indenture shall bind its successor.

 

Section 2.05       Table of Contents;
Headings.  The headings of the Articles and Sections of
this Supplemental Indenture have been inserted
for convenience of reference only, are not intended to be considered a part
hereof and shall not modify or restrict any of the terms or provisions hereof.

 

Section 2.06       Multiple Originals.   The parties may sign any number of
copies of this Supplemental Indenture.  Each signed copy shall be an original, but
all of them together shall represent the same agreement.  One signed copy is sufficient to prove this
Supplemental Indenture.

 

Section 2.07       Scope of Supplemental
Indenture.  The changes,
modifications and supplements to the Indenture effected by this Supplemental
Indenture shall be applicable only with respect to, and shall only govern the
terms of, and shall be deemed expressly included in the Indenture solely for
the benefit of, the Notes which may be issued from time to time, and shall not
apply to any other Debt Securities that may be issued under the Base Indenture
unless a supplemental indenture with respect to such other Debt Securities
specifically incorporates such changes, modifications and supplements.

 

Section 2.08       Ratification and
Incorporation of Indenture.  As
supplemented hereby, the Indenture is in all respects ratified and confirmed,
and the Indenture and this Supplemental Indenture shall be read, taken and
construed as one and the same instrument. 
This Supplemental Indenture shall form a part of the Indenture for all
purposes, and every Holder of Notes shall be bound hereby.  The Trustee makes no representation or
warranty as to the validity or sufficiency of this Supplemental Indenture.

 

Section 2.09       Acceptance by Trustee.  The Trustee accepts the form of this
Supplemental Indenture as reasonably satisfactory and agrees to perform the
Indenture as supplemented hereby.

 

Section 2.10       No Security Interest
Created.  Nothing in this
Supplemental Indenture, expressed or implied, shall be construed to constitute
a security interest under the Uniform Commercial Code or similar legislation,
as now or hereafter enacted and in effect, in any jurisdiction

 

Section 2.11       Trust Indenture Act.  This Supplemental Indenture is hereby made
subject to, and shall be governed by, the provisions of the Trust Indenture Act
required to be part of and to govern indentures qualified under the Trust
Indenture Act.  If any provision hereof
limits, qualifies or conflicts 

 

 

with another provision
hereof that is required to be included in an indenture qualified under the
Trust Indenture Act, such required provisions shall control.

 

[SIGNATURE PAGE FOLLOWS]

 

 

IN WITNESS WHEREOF,
each of the undersigned has caused this Second Supplemental Indenture to be
duly executed as of the date first above written.

 

	
   

  	
  BILL BARRETT CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert W. Howard

  
	
   

  	
   

  	
  Name:

  	
  Robert
  W. Howard

  
	
   

  	
   

  	
  Title:

  	
  Chief
  Financial Officer and Treasurer

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  BILL BARRETT CBM CORPORATION

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert W. Howard

  
	
   

  	
   

  	
  Name:

  	
  Robert
  W. Howard

  
	
   

  	
   

  	
  Title:

  	
  Chief
  Financial Officer and Treasurer

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  BILL BARRETT CBM, LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert W. Howard

  
	
   

  	
   

  	
  Name:

  	
  Robert
  W. Howard

  
	
   

  	
   

  	
  Title:

  	
  Chief
  Financial Officer and Treasurer

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  CIRCLE B LAND COMPANY LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert W. Howard

  
	
   

  	
   

  	
  Name:

  	
  Robert
  W. Howard

  
	
   

  	
   

  	
  Title:

  	
  Chief
  Financial Officer and Treasurer

  

 

[Signature
Page to Second Supplemental Indenture]

 

 

IN WITNESS WHEREOF,
the undersigned, being duly authorized, has executed this Second Supplemental
Indenture as of the date first above written.

 

	
   

  	
  DEUTSCHE BANK TRUST COMPANY AMERICAS, as Trustee

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kenneth R. Ring

  
	
   

  	
   

  	
  Name:

  	
  Kenneth
  R. Ring

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  David Contino

  
	
   

  	
   

  	
  Name:

  	
  David
  Contino

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  

 

[Signature Page to Second Supplemental Indenture]Exhibit
10.1

 

TEMPORARY
WAIVER OF BENEFITS

 

THIS Temporary Waiver of Benefits (“Waiver”) is
made and entered into by S. Jeffrey Johnson,
an individual currently residing in Tarrant County, Texas (“Executive”), and
Cano Petroleum, Inc. (the “Company”) effective as of the 28th day of October, 2008 (the “Waiver Effective
Date”).

 

WHEREAS, Executive and the “Company” entered into that
certain Employment Agreement dated as of January 1, 2006 and as amended by
First Amendment to Employment Agreement dated May 31, 2008 (collectively,
the “Agreement”);

 

WHEREAS, Section 4(c) and (d) of the Agreement provides for
additional compensation to Executive as follows:

 

(c)           Additional Compensation:  In addition to the base salary described in
paragraph 4(a) above, Executive shall receive a vehicle allowance of not
less than $850 per month.

 

(d)           Raises:  Executive shall receive increases in the base
salary of at least 7% per year, which increased base salary shall become the
base salary for purposes of this Agreement;

 

NOW THERFORE, for and in consideration of Executive’s employment
with the Company, the benefits provided hereunder and the Employment Agreement
and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged and confessed, Executive and the Company agree to the
following changes to Section 4(c) and (d) of the Employment
Agreement, beginning on the Waiver Effective Date and ending on June 30,
2009:

 

1.             Executive and the Company agree
that Executive will waive and forego the applicable raise that he is otherwise
entitled to receive pursuant to Section 4(d); and

 

2.             Executive
and the Company agree that Executive will waive and forego the vehicle
allowance that he is otherwise entitled to receive pursuant to Section 4(c).

 

 

Dated as of the effective date first written above.

 

	
   

  	
  EXECUTIVE

  
	
   

  	
   

  
	
   

  	
  /s/ S. Jeffrey Johnson

  
	
   

  	
  S. Jeffrey Johnson

  
	
   

  	
   

  
	
   

  	
  CANO PETROLEUM, INC.

  
	
   

  	
   

  
	
   

  	
  /s/ Benjamin Daitch

  
	
   

  	
  Benjamin
  Daitch, Sr. Vice President & CFO

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}]]