Document:

Exhibit 10.02

 

Exhibit 10.2

FIFTH AMENDMENT TO

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

     This Fifth Amendment to Fourth Amended and Restated Credit Agreement (this “Agreement”) is
entered into this 4th day of April, 2005 among PORTOLA PACKAGING, INC., a Delaware corporation, as
Borrower, and GENERAL ELECTRIC CAPITAL CORPORATION, a Delaware corporation (“GECC”), for itself, as
Agent, Issuing Lender and Lender.

W I T N E S S E T H:

     WHEREAS, Borrower and GECC, as Agent, Issuing Lender and Lender, are parties to that certain
Fourth Amended and Restated Credit Agreement dated as of January 16, 2004 (as amended, restated,
supplemented or otherwise modified from time to time, the “Credit Agreement”); and

     WHEREAS, the parties have agreed to amend the Credit Agreement, upon the terms and conditions
set forth herein.

     NOW THEREFORE, in consideration of the mutual agreements, provisions and covenants contained
herein and in the Credit Agreement, the parties agree as follows:

     Section 1. Definitions. Capitalized terms used herein without definition and defined
in the Credit Agreement are used herein as defined therein.

     Section 2. Amendments to Credit Agreement. Subject to the satisfaction of the terms
and conditions set forth herein, the amendments to the Credit Agreement set forth in this
Section 2 shall become effective as of the date hereof.

     2.1 Section 4.4 of the Credit Agreement is hereby amended and restated in its entirety
to read as follows:

     4.4 Maintenance of Minimum Availability; Maximum Senior Leverage
Ratio.

     (A) Borrower shall maintain an aggregate Availability of at least
$2,000,000 at all times.

     (B) Borrower shall not permit the Senior Leverage Ratio as of the last
day of any fiscal quarter, commencing with the fiscal quarter ending
February 28, 2005, to be more than 2.00 to 1.00.

     2.2 Section 10.1 of the Credit Agreement is amended by adding each of the following
definitions in their proper alphabetical order:

     “Fifth Amendment Date” means April 4, 2005.

 

 

     “Funded Debt” means, with respect to any Person, without duplication,
all Indebtedness for borrowed money evidenced by notes, bonds, debentures,
or similar evidences of Indebtedness and that by its terms matures more than
one year from, or is directly or indirectly renewable or extendible at such
Person’s option under a revolving credit or similar agreement obligating the
lender or lenders to extend credit over a period of more than one year from
the date of creation thereof, and specifically including capital lease
obligations, current maturities of long-term debt, revolving credit and
short-term debt extendible beyond one year at the option of the debtor, and
also including, in the case of Borrower, the Obligations (including Letter
of Credit Liability) and, without duplication, guaranties of Funded Debt of
other Persons.

     “Senior Indebtedness” means, as of any date of determination, all
outstanding Funded Debt of Borrower and its Restricted Subsidiaries on a
Consolidated basis as of such date (including Letter of Credit Obligations)
less all outstanding Subordinated Indebtedness of Borrower and its
Restricted Subsidiaries on a Consolidated basis as of such date.

     “Senior Leverage Ratio” means, as of any date of determination, the
aggregate outstanding Senior Indebtedness as of such date (excluding Senior
Indebtedness evidenced by the Senior Notes and any guaranties thereof)
divided by EBITDA for the twelve month period ending on such date.

     2.3 Schedule 1.2 (Pricing Table) to the Credit Agreement is hereby amended and
restated in its entirety to read as set forth in Schedule 1.2 attached hereto.

     2.4 Exhibit 4.5(F) (Borrowing Base Certificate) is hereby amended and restated in its
entirety to read as set forth on Exhibit 4.5(F) hereto, which amendment and restatement
shall be effective with respect to any Borrowing Base Certificate delivered for any date ending on
or after February 28, 2005.

     Section 3. Conditions. The effectiveness of this Agreement is subject to Borrower’s
satisfaction of the following conditions on or before the date hereof in a manner satisfactory to
the Agent:

     3.1 Executed Agreement. Executed signature pages for this Agreement signed by Agent,
Lenders and Borrower shall have been delivered to the Agent.

     3.2 Continuation of Representations and Warranties. The representations and
warranties made by the Loan Parties contained in the Credit Agreement and the other Loan Documents
shall be true and correct in all material respects on and as of the date hereof with the same
effect as if made on and as of the date hereof (except to the extent such representations and
warranties expressly relate to an earlier date).

2

 

     3.3 No Existing Default. As of the date hereof and after giving effect to this
Agreement, no Default or Event of Default shall have occurred and be continuing or shall result
from the consummation of the transactions contemplated hereunder.

     3.4 Amendment Fee. The Borrower shall have paid to Agent an amendment fee equal to
$25,000.

     Section 4. Representations and Warranties of Borrower. Borrower represents and
warrants that:

          (i) the execution, delivery and performance by the Borrower of this Agreement have been duly
authorized by all necessary corporate action and this Agreement is a legal, valid and binding
obligation of the Borrower enforceable against the Borrower in accordance with its terms;

          (ii) each of the representations and warranties contained in the Credit Agreement is true and
correct in all material respects on and as of the date hereof as if made on the date hereof,
except to the extent that such representations and warranties expressly relate to an earlier date;
and

          (iii) neither the execution, delivery and performance of this Agreement nor the consummation
of the transactions contemplated hereby does or shall contravene, result in a breach of, or
violate (i) any provision of any Loan Party’s certificate or articles of incorporation or bylaws,
(ii) any law or regulation, or any order or decree of any court or government instrumentality, or
(iii) any indenture, mortgage, deed of trust, lease, agreement or other instrument to which any
Loan Party or any of its Subsidiaries is a party or by which any Loan Party or any of its
Subsidiaries or any of their property is bound.

     Section 5. Reference To And Effect Upon The Credit Agreement.

          (i) Except as specifically provided herein, the Credit Agreement and the other Loan Documents
shall remain in full force and effect and are hereby ratified and confirmed.

          (ii) The execution, delivery and effectiveness of this Agreement shall not operate as a
waiver of any right, power or remedy of Agent or any Lender under the Credit Agreement or any Loan
Document, nor constitute a waiver of any provision of the Credit Agreement or any Loan Document,
except as specifically set forth herein.

          (iii) This Agreement shall be deemed to be a Loan Document.

     Section 6. Costs And Expenses. Borrower agrees to reimburse Agent on the date hereof
for all fees, costs and expenses, including the fees, costs and expenses of counsel or other
advisors for advice, assistance, or other representation in connection with this Agreement.

     Section 7. Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE INTERNAL LAWS (AS OPPOSED TO CONFLICTS OF LAWS PROVISIONS) OF THE STATE OF
ILLINOIS.

3

 

     Section 8. Headings. Section headings in this Agreement are included herein for
convenience of reference only and shall not constitute a part of this Agreement for any other
purposes.

     Section 9. Counterparts. This Agreement may be executed in any number of
counterparts, each of which when so executed shall be deemed an original, but all such counterparts
shall constitute one and the same instrument.

[Signature Page Follows]

4

 

     IN WITNESS WHEREOF, the parties hereto hereupon set their hands as of the date first written
above.

	 	 	 
	

	 	PORTOLA PACKAGING, INC.
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial Officer
	 
	 	 
	

	 	GENERAL ELECTRIC CAPITAL
	

	 	CORPORATION, as Agent, Issuing Lender and
	

	 	Lender
	 
	 	 
	

	 	By: /s/ Pamela Eskra
	

	 	Title: General Electric
Representative

 

 

CONSENT AND REAFFIRMATION (SUBSIDIARY GUARANTORS)

     Each of the undersigned hereby (i) acknowledges receipt of a copy of the foregoing Fifth
Amendment to Credit Agreement; (ii) consents to Borrower’s execution and delivery thereof; (iii)
affirms that nothing contained therein shall modify in any respect whatsoever its guaranty of the
obligations of Borrower to Agent and Lenders and reaffirms that such guaranty is and shall continue
to remain in full force and effect and that each Loan Document to which it is a party or otherwise
bound and all Collateral encumbered thereby will continue to guaranty or secure, as the case may
be, to the fullest extent possible, the payment and performance of all obligations under or in
respect of such guaranty and such other Loan Documents; and (iv) confirms that, as of the date
hereof, it does not have, and hereby waives, remises and releases any claims or causes of action of
any kind against Agent or any of the Lenders or any of their officers, directors, employees,
agents, attorneys, or any of the Lenders or any of their officers, directors, employees, agents,
attorneys or representatives, or against any of their respective predecessors, successors, or
assigns relating in any way to any event, circumstance, action, or omission relative to any of the
Loan Documents or any transaction contemplated thereby, from the beginning of time through the date
hereof. Although each of the undersigned has been informed of the matters set forth herein and has
acknowledged and consented to same, each of the undersigned understands that Agent and Lenders have
no obligation to inform it of such matters in the future or to seek its acknowledgment or consent
to future Agreements or waivers, and nothing herein shall create such a duty.

[Signature Page Follows]

 

 

     IN WITNESS WHEREOF, the undersigned have executed this Fifth Amendment on and as of the date
of such Agreement.

	 	 	 
	

	 	PORTOLA PACKAGING LTD.
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	 	 
	

	 	PORTOLA PACKAGING CANADA LTD.
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	 	 
	

	 	PORTOLA ALLIED TOOL, INC.
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	 	 
	

	 	PORTOLA PACKAGING LIMITED
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	 	 
	

	 	PORTOLA PACKAGING, INC. MEXICO S.A. de C.V.
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	

	 	ATLANTIC PACKAGING SALES LLC
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	 	 
	

	 	TECH INDUSTRIES, INC.
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer
	 
	 	 
	

	 	PORTOLA LIMITED
	 
	 	 
	

	 	By: /s/ Michael T. Morefield
	

	 	Name: Michael T. Morefield
	

	 	Title: Senior Vice President and Chief Financial
Officer

 

 

SCHEDULE 1.2

PRICING TABLE

	 	 	 	 	 
	Average Daily Availability for	 	 	 	 
	Calculation Period	 	Index Rate Margin	 	LIBOR Margin
	<$12,500,000
	 	1.50%	 	3.00%
	>$12,500,000
	 	1.25%	 	2.75%

Notwithstanding the foregoing, from and after March 1, 2005, the LIBOR Margin shall be 3.00% and
the Index Rate Margin shall be 1.50% until such time as Agent shall have received a Compliance
Certificate reflecting Fixed Charge Coverage as of the last day of any fiscal quarter ending on or
after February 28, 2005 of greater than 1.10 to 1.00. Commencing on the first Adjustment Date
thereafter, the Index Rate Margin and LIBOR Margin shall be calculated in accordance with
Section 1.2 of the Credit Agreement.

1Exhibit 4.6
                                                                   -----------

                     SECOND AMENDMENT TO RIGHTS AGREEMENT

         This SECOND AMENDMENT TO RIGHTS AGREEMENT (this "Amendment") has been
made and entered into as of April 15, 2005, by and between Liberate
Technologies, a Delaware corporation (the "Company"), and Equiserve Trust
Company, N.A., a federally chartered trust company (the "Rights Agent").

         WHEREAS, the Company and the Rights Agent previously entered into a
Rights Agreement, dated as of May 12, 2003 and amended as of January 10, 2005
(the "Rights Agreement");

         WHEREAS, Section 27 of the Rights Agreement provides that, prior to
the occurrence of a Distribution Date (as defined therein), the Company and
the Rights Agent shall, if the Company so directs, supplement or amend any
provision of the Rights Agreement without the approval of any holders of
certificates representing shares of Common Stock and the Rights Agent shall
execute such supplement or amendment;

         WHEREAS, simultaneously with the execution of this Amendment, the
Company, Liberate Technologies B.V., a corporation organized under the laws of
the Netherlands and a wholly owned subsidiary of the Company (the "Netherlands
Subsidiary") and SeaChange International, Inc., a Delaware corporation (the
"Purchaser"), are entering into an Asset Purchase Agreement (the "Asset
Purchase Agreement") pursuant to which Purchaser will acquire from the Company
and the Netherlands Subsidiary specified assets relating to the Company's
business outside the United States, Canada and Mexico;

         WHEREAS, in connection with the Asset Purchase Agreement, the
Purchaser, David Lockwood and Lockwood Funds LLC are entering into a
Stockholder Voting Agreement, to be dated as of the effective date of the
Asset Purchase Agreement (the "Voting Agreement");

         WHEREAS, on April 15, 2005, the Board of Directors of the Company
resolved to amend the Rights Agreement to render it inapplicable to the Asset
Purchase Agreement and the transactions specifically contemplated thereby,
including the Voting Agreement; and

         WHEREAS, the Company intends to modify the terms of the Rights
Agreement in certain respects as set forth herein, and in connection
therewith, is entering into this Amendment and directing the Rights Agent to
enter into this Amendment.

         NOW, THEREFORE, in consideration of the premises and the mutual
agreements herein set forth, the parties hereby agree as follows:

         1. Capitalized Terms. All capitalized terms used herein and not
otherwise defined shall have the meanings assigned thereto in the Rights
Agreement.

         2. Amendment. The following sentence shall be added to the end of the
definition of "Acquiring Person" in Section 1(a) of the Rights Agreement:
Notwithstanding the foregoing or any other provision of this Agreement to the
contrary, SeaChange International, Inc., a Delaware corporation ("SeaChange"),
shall not be deemed to be an Acquiring Person as a result of (i) the execution
and delivery of either (A) the Asset Purchase Agreement by and among
SeaChange, the Company, and Liberate Technologies B.V., a corporation
organized under the laws of the Netherlands (the "Netherlands Subsidiary")
(the "Asset Purchase Agreement") or (B) the Stockholder Voting Agreement
between SeaChange, David Lockwood and Lockwood Funds LLC, to be dated as of
the effective date of the Asset Purchase Agreement (the "Voting Agreement");
or (ii) the consummation of the transactions contemplated by the Asset
Purchase Agreement, as may be amended from time to time, or the Voting
Agreement."

         3. Effective Date. This Amendment shall become effective as of the
date first above written.

         4. Effect of Amendment. Except as expressly provided for in this
Amendment, all terms, conditions and obligations contained in the Rights
Agreement shall remain unchanged and in full force and effect.

         5. Governing Law. This Amendment shall be governed by and interpreted
in accordance with the laws of the State of Delaware, without regard to such
state's conflicts or choice of law provisions.

         6. Counterparts. This Amendment may be executed in separate
counterparts, each of which when executed and delivered shall be deemed to be
an original, but all of which, when taken together, constitute one and the
same instrument.

         7. Fax Transmission. A facsimile, telecopy or other reproduction of
this Amendment may be executed by one or more parties hereto, and an executed
copy of this Amendment may be delivered by one or more parties hereto by
facsimile or similar instantaneous electronic transmission device pursuant to
which the signature of or on behalf of such party can be seen, and such
execution and delivery shall be considered valid, binding and effective for
all purposes. At the request of any party hereto, all parties agree to execute
an original of the Amendment as well as any facsimile, telecopy or other
reproduction thereof.

<PAGE>

IN WITNESS WHEREOF, parties hereto have caused this Amendment to be duly
executed, all as of the day and year first above written.

                                       LIBERATE TECHNOLOGIES

                                       By:    /s/ David Lockwood
                                           --------------------------
                                           Name: David Lockwood
                                           Title:Chairman and CEO

                                       EQUISERVE
                                       TRUST COMPANY, N.A.

                                       By:    /s/ Carol Mulvey-Eori
                                           --------------------------
                                           Name:  Carol Mulvey-Eori
                                           Title: Managing Director

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00083-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00083-of-00352.parquet"}]]