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EXHIBIT 10.1.6  

 
 

AMENDMENT NUMBER SIX TO
LOAN AND SECURITY AGREEMENT
  AND SYNDICATED LENDING RIDER    

        THIS
AMENDMENT NUMBER SIX TO LOAN AND SECURITY AGREEMENT AND SYNDICATED LENDING RIDER, dated as of January 31, 2003 (this
"Amendment"), amends: (a) that certain Loan and Security Agreement, dated as of February 4, 1999, as amended by that certain default letter, dated as of September 27, 2002 (the
"Default Letter"), that certain Amendment Number Five To Loan And Security Agreement, dated as of November 26, 2002 ("Amendment Five"), that certain Amendment Number Four To Loan And Security
Agreement, dated as of March 22, 2002, that certain Amendment Number Three To Loan And Security Agreement, dated as of December 19, 2001, that certain Amendment Number Two To Loan And
Security Agreement, dated as of May 10, 2000, and that certain Amendment Number One To Loan And Security Agreement, dated as of October 12, 1999 (collectively, the "Loan Agreement"), by
and among AMERIVISION COMMUNICATIONS, INC., an Oklahoma corporation ("Borrower"), on the one hand, and COAST BUSINESS CREDIT, a division of Southern Pacific Bank, a California corporation
("Coast"), on behalf of itself and in its capacity as agent and contractual representative for Textron Financial Corporation, a Delaware corporation, formerly known as RFC Capital Corporation, a
Delaware corporation ("Textron"), and Continental Business Credit, a California corporation ("Continental") (Coast, Textron and Continental are collectively referred to herein as "Lenders" and
individually as a "Lender"), on the other hand; and (b) that certain Syndicated Lending Rider, dated as of April 20, 2000 (as amended from time to time, the "Rider"; initially
capitalized terms used in this Amendment shall have the meanings ascribed thereto in the Loan Agreement and/or Rider unless specifically defined herein), by and among Borrower, on the one hand, and
Coast and Textron, on the other hand; with reference to the following facts: 

        WHEREAS,
Borrower and Lenders wish to amend the Loan Agreement and Rider pursuant to the terms and provisions set forth in this Amendment; 

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

 
 

ARTICLE I
  
  AMENDMENTS    
  

        Section 1. AMENDMENT TO SECTION 2.1 OF THE SCHEDULE TO THE LOAN AGREEMENT. Section 2.1 of the
Schedule to the Loan Agreement is hereby amended by deleting such section in its entirety and replacing it with the following: 

"Provided
no Default or Event of Default has occurred and is continuing, other than the Existing Event of Default set forth in that certain Amendment Number Five to this Agreement, Loans in a total
amount at any time outstanding shall not exceed the lesser of a total of Fourteen Million Five Hundred Thousand Dollars ($14,500,000) at any one time outstanding (the "Maximum Dollar Amount"), or the
lesser of (a), (b) or (c) below: 

	(a)
	Advances
up to four (4) times recurring monthly Collections received by Coast measured on a trailing three-month moving average  less Carrier Reserves in an amount equal to the full amount of amounts due to
Borrower's carriers within the next thirty (30) days following the
date of determination of such Carrier Reserves (i.e., a rolling thirty (30) day period); or

	(b)
	Three
and one-half times EBITDA based on a rolling twelve (12) months less Carrier Reserves in an amount equal to
the full amount of amounts due to Borrower's carriers within the next thirty (30) days following the date of determination of such Carrier Reserves (i.e., a rolling thirty (30) day
period); or 

	(c)
	The
following amounts (less Carrier Reserves, which amount to zero (0) on the fifteenth (15th) day of each month immediately following payment to Borrower's carriers, and
increase each week by twenty five percent (25%) of the amount due to Borrower's carriers within the thirty (30) day period immediately following the date of determination) on the dates
indicated below: 

	Date
 
	 	Amount

	January 30, 2003	 	$	14,500,000
	

February 7, 2003	
 	
$	

14,475,000
	

February 14, 2003	
 	
$	

14,450,000
	

February 21, 2003	
 	
$	

14,425,000
	

February 28, 2003	
 	
$	

14,400,000
	

March 7, 2003	
 	
$	

14,375,000
	

March 14, 2003	
 	
$	

14,350,000
	

March 21, 2003	
 	
$	

14,325,000
	

March 28, 2003	
 	
$	

14,300,000
	

April 4, 2003	
 	
$	

14,275,000
	

April 11, 2003	
 	
$	

14,250,000
	

April 18, 2003	
 	
$	

14,225,000
	

April 25, 2003	
 	
$	

14,200,000
	

May 2, 2003	
 	
$	

14,175,000
	

May 9, 2003	
 	
$	

14,150,000
	

May 16, 2003	
 	
$	

14,125,000
	

May 23, 2003	
 	
$	

14,100,000
	

May 30, 2003	
 	
$	

14,075,000

Notwithstanding
the foregoing, the Maximum Dollar Amount, as defined above, and each of the amounts set forth in the above table shall be permanently reduced by the following: (a) all payments
received by Borrower from Natel on a dollar for dollar basis; (b) any and all funds, on a dollar for dollar basis, raised by Borrower as a result of any new debt issued by Borrower, new equity
in Borrower or the cash liquidation or other monetization of the MLR Investment; and (c) on the fifth (5th) business day of each month, in an amount equal to fifty percent (50%) of any and all
collections received by Coast in excess of Borrower's budgeted collections for the immediately preceding calendar month." 

        Section 2.  AMENDMENT TO SECTION 8.1(7) OF THE SCHEDULE TO THE LOAN AGREEMENT. Section 8.1(7) of the Schedule to the Loan
Agreement is hereby amended by deleting such section in its entirety and replacing it with the following: 

	"7.
	Borrower
shall not make disbursements in any given month of more than one hundred and ten percent (110%) of the disbursements projected in the Cash Flow Forecast for that
corresponding calendar month. If Borrower's actual monthly disbursements are less than the projected weekly disbursements, Borrower may "carry-over" the difference to the following week." 

        Section 3.
AMENDMENT TO ADD ANEW SECTION 8.1(8) TO THE SCHEDULE TO THE LOAN AGREEMENT. A new Section 8.1(8) is hereby added
to the Schedule to the Loan Agreement and shall read as follows: 

	"8.
	Borrower
shall have monthly collections greater than or equal to ninety percent (90%) of the collections budgeted by Borrower for such month." 

        Section 4.  AMENDMENT TO SECTION 8.3(7) OF THE SCHEDULE TO THE LOAN AGREEMENT. Section 8.3(7) of the Schedule to the Loan
Agreement is hereby amended by deleting such section in its entirety and replacing it with the following: 

	"7.
	On
Wednesday of each week, internally prepared reports comparing Borrower's actual cash receipts and cash disbursements to Borrower's projected cash receipts and cash disbursements
for the preceding week ending on Friday, as projected in the Cash Flow Forecast attached hereto as Schedule 8.3(7)." 

        Section 5.  AMENDMENT TO SECTION 9.1 OF THE SCHEDULE TO THE LOAN AGREEMENT. Section 9.1 of the Schedule to the Loan Agreement
is hereby amended by deleting such section in its entirety and replacing it with the following: 

"March 3,
2003, provided, however, that in the event Borrower releases the financing opportunity
book currently being prepared by Murphy-Noell Capital, LLC on or before February 28, 2003, and such book is satisfactory to Coast, in the
exercise of its reasonable business judgment, the Maturity Date shall be May 31, 2003." 

 
 

ARTICLE II
  
  GENERAL PROVISIONS    
  

        Section 1. CONTINUING FORBEARANCE. Nothing contained herein shall be construed to modify, amend, or alter
the terms and provisions set forth in Sections 1 and 2 of Article II of Amendment Five, provided,  however that Coast hereby acknowledges that as of
January 30, 2003, the amount of all outstanding Loans is less than Fourteen Million Five
Hundred Thousand Dollars ($14,500,000) and as a result the Forbearance Fee (as defined in Amendment Five) is hereby eliminated. 

        Section 2.
AMENDMENT FEE. Borrower shall pay Coast an amendment fee (the "Amendment Fee"), which is fully earned on the date hereof
and payable upon the earlier of the Maturity Date or the date the Loans are completely paid off, equal to in the amount of Twelve Thousand Five Hundred Dollars ($12,500),  provided, however, in the event the Maturity Date is extended to May 31, 2003, pursuant to
Section 9.2 of the Schedule to the Loan Agreement (as amended hereby), the Amendment Fee shall be Fifty Thousand Dollars ($50,000). 

        Section 3.  CONDITION PRECEDENT. The effectiveness of this Amendment is expressly conditioned upon the receipt by Coast of an
executed copy of this Amendment executed by Borrower together with Schedule 8.3(7). 

        Section 4.
ENTIRE AGREEMENT. The Loan Agreement, as amended hereby, embodies the entire agreement and understanding between the
parties hereto and supersedes all prior agreements and understandings relating to the subject matter hereof Borrower represents, warrants and agrees that in entering into the Loan Agreement and
consenting to this Amendment, it has not relied on any representation, promise, understanding or agreement, oral or written, of, by or with, Lenders or any of
its agents, employees, or counsel, except the representations, promises, understandings and agreements specifically contained in or referred to in the Loan Agreement, as amended hereby. 

        Section 5.
CONFLICTING TERMS. In the event of a conflict between the terms and provisions of this Amendment and the terms and
provisions of the Loan Agreement, the terms of this Amendment shall govern. In all other respects, the Loan Agreement, as amended and supplemented hereby, shall remain in full force and effect. 

        Section 6.  CONSENT OF CO-LENDER. As co-lender, Textron hereby acknowledges the terms and provisions
contained herein and expressly consents and agrees to them. 

        Section 7.
MISCELLANEOUS. This Amendment shall be governed by and construed in accordance with the laws of the State of California.
This Amendment may be executed in any number of counterparts, all of which taken together shall constitute one agreement, and any party hereto may execute this Amendment by signing such counterpart. 

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

	
BORROWER:	
 	

 
	

AMER1VISION COMMUNICATIONS, INC.,

an Oklahoma corporation	
 	

 
	

By	
 	

/s/  ROBERT D. COOK      
 President or Vice President	
 	

 
	

By	
 	

  
 Secretary	
 	

 
	

COAST:	
 	

 
	

COAST BUSINESS CREDIT,

a division of Southern Pacific Bank

a California corporation	
 	

 
	

By	
 	

/s/  JOHN WATKINS      
	
 	

 
	Title	 	Vice President
	 	 
	

TEXTRON:	
 	

 
	

TEXTRON FINANCIAL CORPORATION,

a Delaware corporation	
 	

 
	

By	
 	

/s/  RICK PERKINS      
	
 	

 
	Title	 	Account Executive
	 	 

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AMENDMENT NUMBER SIX TO LOAN AND SECURITY AGREEMENT AND SYNDICATED LENDING RIDER

ARTICLE I AMENDMENTS

ARTICLE II GENERAL PROVISIONSExhibit 10.1.7  

	Federal Deposit Insurance Corporation

Division of Resolutions and Receiverships	 	Receivership of Southern Pacific Bank and

Coast Business Credit, a division of Southern Pacific Bank

February 27,
2003 

	

Mr. Loni Woodley, Chief Financial Officer

Amerivision Communications, Inc.

5900 Mosteller Drive, Suite 1850

Oklahoma City, OK 73112	
 	

Via Facsimile 405-600-3646

	Re:
	Waiver of Event of Default

Dear
Mr. Woodley: 

        Reference
is made to that certain Loan and Security Agreement, dated as of February 4, 1999, between Amerivision Communications, Inc., an Oklahoma corporation ("Borrower")
and Coast Business Credit, a division of Southern Pacific Bank, a California corporation ("Coast") (as amended from time to time, the "Loan Agreement"). All initially capitalized terms used but not
otherwise defined herein shall have the meanings set forth in the Loan Agreement. 

        On
February 7, 2003, the Department of Financial Institutions of the State of California closed Southern Pacific Bank and appointed the Federal Deposit Insurance Corporation
("FDIC") as its Receiver, which appointment the FDIC accepted. The FDIC as Receiver succeeded to all of Coast's and Southern Pacific Bank's rights, title, and interest in and to the Loans by operation
of law. As used herein, "Lender" refers to the FDIC as Receiver of Southern Pacific Bank. 

        An
Event of Default has occurred under Section 8.1(8) of the Loan Agreement as a result of a Debt Service Coverage Ratio of less than 1.25:1 for the quarter ended
December 31, 2002. Actual Debt Service Coverage ratio was 1.19:1. Lender hereby waives, in this instance, and only in this instance, the Event of Default arising from Borrower's
non-compliance with this covenant. 

        Lender's
waiver as to the matter referenced above shall in no way be deemed to be a waiver of any other, present or future, transaction, event, occurrence or matter and such waiver shall
be limited solely to the matters and circumstances referred to herein. 

12121
Wilshire Blvd., Suite 1400, Los Angeles, California 90025

Telephone: (310) 820~8881 Facsimile: (310) 9797289 

 

        This
letter is limited precisely as written and shall not be deemed: (a) to be a waiver or modification of any other term, condition or covenant of the Loan Agreement or the Loan
Documents, or (b) to prejudice any right or remedy which Lender may have in the future under the Loan Agreement, the Loan Document or applicable law, 

        Please
acknowledge your acceptance and agreement to the terms hereto by executing and returning the enclosed duplicate of this letter to the undersigned. 

	

 	
 	

Sincerely,
	

 	
 	

FDIC as Receiver of Southern Pacific Bank

/s/  JOHN WATKINS    

John Watkins

Loan Officer

cc:
Rick Perkins, Textron Financial Corporation

            Mark Crunelle, Continental Business Credit 

THE ABOVE IS HEREBY AGREED TO AND ACCEPTED THIS    DAY OF February, 2003:  

	

 	
 	

AMERI VISION COMMUNICATIONS, INC.,

an Oklahoma corporation
	

 	
 	

By:	
 	

/s/  ROBERT D. COOK      
	

 	
 	

Title:	
 	

President

2

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