Document:

fifthamendmentandlimited

Exhibit 10.9                                                                        Execution Version                FIFTH AMENDMENT AND WAIVER TO CREDIT AGREEMENT          This FIFTH AMENDMENT AND WAIVER TO CREDIT AGREEMENT (this  “Amendment”) is made and entered into effective as of June 26, 2020 (the “Fifth Amendment Effective  Date”), by and among (A) FORBES ENERGY SERVICES LTD., a Delaware corporation (“Parent”); (B)  the Subsidiaries of Parent identified on the signature pages hereto (each of such Subsidiaries, together with  Parent, jointly and severally, the “Borrowers” and, each, a “Borrower”); (C) REGIONS BANK, an Alabama  bank, in its capacities as administrative agent and collateral agent for Lenders, LC Issuer and the other  Secured Parties (“Administrative Agent”); and (D) the lenders party to the Credit Agreement (collectively,  the “Lenders”).                                         RECITALS:           WHEREAS, Borrowers, Administrative Agent and the Lenders are party to that certain Credit  Agreement, dated as of November 16, 2018 (as amended, amended and restated, supplemented and/or  otherwise modified from time to time prior to the date hereof, the “Credit Agreement”) pursuant to which  the Lenders agreed to extend certain credit facilities to the Borrowers;          WHEREAS, on March 20, 2020, the Borrowers, Administrative Agent and the Lenders entered  into that certain Third Amendment and Temporary Limited Waiver, pursuant to which Administrative  Agent and the Lenders granted a temporary limited waiver with respect to the qualifications included in the  audit opinion of Parent’s independent certified public accountants delivered in connection with the annual  audited financial statements required by Section 9.6(c) of the Credit Agreement for the Fiscal Year ended  December 31, 2019 (the “March 2020 Temporary Limited Waiver”);         WHEREAS, Borrowers have informed Administrative Agent and the Lenders that (i) events of  default have occurred, or are anticipated to occur, under the Term Loan Agreement, as a result of the Tax  Payment Default (defined below) and the failure to make scheduled interest payments in cash from and  after July 1, 2020 as required under the Term Loan Agreement (collectively, the “Term Loan Defaults”),  and (ii) certain property taxes of Borrowers have become due during the Fiscal Year ending December 31,  2020 but have not yet been paid (the “Tax Payment Default”);         WHEREAS, Borrowers desire the Administrative Agent and Lenders to (i) make the March 2020  Temporary Limited Waiver permanent, (ii) waive any Events of Default that would occur as a result of any  Term Loan Default, (iii) waive the Tax Payment Default and (iv) make certain modifications to the Credit  Agreement, and the Administrative Agent and the Lenders have agreed to (w) make the March 2020  Temporary Limited Waiver permanent, (x) waive any Events of Default that would occur as a result of any  Term Loan Default, (y) waive the Tax Payment Default and (z) modify certain provisions contained in the  Credit Agreement, in each case upon the terms and conditions hereafter set forth; and          NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements  set forth herein and for other good and valuable consideration, the mutuality, receipt and sufficiency of  which are hereby acknowledged, the parties hereto hereby agree as follows:                Section 1.   Definitions.  All capitalized terms not defined herein shall have the  meanings given to such terms in the Credit Agreement.                Section 2.   Amendments to Credit Agreement.                         2.1.   Amendments to Credit Agreement. Effective as of the Fifth Amendment  Effective Date, the Credit Agreement is hereby amended as follows:                                              1  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149 

 

             (a)    The following defined term “Fifth Amendment Effective Date” is added in the        appropriate alphabetical order to Section 1.1 of the Credit Agreement as follows:                 “Fifth Amendment Effective Date” means June 26, 2020.                 (b)    The following defined term “Subordinated Notes Indenture” is added in the        appropriate alphabetical order to Section 1.1 of the Credit Agreement as follows:                 “Subordinated Notes Indenture” means the Indenture, dated as of March 4, 2019, between               Parent, as issuer, and Wilmington Trust, National Association, as trustee, with respect to               the 5.00% Subordinated Convertible PIK Notes due 2020 issued thereunder.                (c)    The following defined terms in Section 1.1 of the Credit Agreement are hereby        amended and restated as follows:                        ““LC Sublimit” means, as of any date of determination, the lesser of (a) Nine               Million Dollars ($9,000,000) and (b) the aggregate unused amount of the Revolving               Commitments then in effect.”                       ““Revolving Commitment” means, at any time of determination and with respect               to each Lender, such Lender’s obligation to make Revolving Loans, participate in Swing               Line Loans, and participate in LC Obligations.  “Revolving Commitments” means, at any               time of determination, the aggregate amount of such commitments of all Lenders.  The               amount of each Lender’s Revolving Commitment, if any, is set forth on Appendix A or in               the applicable Assignment Agreement or any other agreement pursuant to which such               Lender becomes a party hereto, subject to any increase, adjustment or reduction pursuant               to the terms and conditions hereof.  The aggregate amount of the Revolving Commitments               as of the Fifth Amendment Effective Date is Nine Million Dollars ($9,000,000).”                       ““Stated Revolving Commitment Termination Date” means December 31, 2020.”                       ““Swing Line Sublimit” means Zero Dollars ($0).”                (d)    Section 2.1(a) of the Credit Agreement is hereby amended as follows:                        The term “Revolving Commitment Termination Date” is hereby deleted in its               entirety and replaced with the term “Fifth Amendment Effective Date”.                (e)    Section 2.3(a) of the Credit Agreement is hereby amended by inserting the         following sentence at the end thereof to read as follows:                       “Notwithstanding the foregoing, no Swing Line Loans shall be made to the               Borrowers on or after the Fifth Amendment Effective Date.”                 (f)    Section 2.4(c) of the Credit Agreement is hereby amended by the inserting the         following sentence at the end thereof to read as follows:                        “Notwithstanding the foregoing, the Borrowers shall Cash Collateralize all LC               Obligations and Bank Product Obligations not later than July 31, 2020 and any additional               LC Obligations and Bank Product Obligations shall be Cash Collateralized as incurred.”                                                                                           2  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149 

 

             (g)    Effective as of June 1, 2020, the Excess Availability requirement in Section 11.1(a)        of the Credit Agreement is no longer effective and is hereby deleted in its entirety and replaced        with “[Reserved]”, and for the avoidance of doubt, any failure to satisfy such requirement on or        after June 1, 2020 shall not constitute a Default.                (h)    Section 12.1(g) of the Credit Agreement is hereby amended and restated as        follows:                       “(g) Cross Default. Obligors or Subsidiaries, or any one or more of them, shall fail               to make any payment in respect of outstanding Debt (other than the Obligations and the               obligations under the Subordinated Notes Indenture) having an aggregate outstanding               principal amount in excess of Two Million Five Hundred Thousand Dollars ($2,500,000)               (determined singly or in the aggregate with other Debt of such Obligors or Subsidiaries)               when due after the expiration of any applicable grace period, or any event or condition               shall occur which results in the acceleration of the maturity of such Debt (including any               required mandatory prepayment or “put” of such Debt to any such Person) or enables (or,               with the giving of notice or passing of time or both, would enable) the holders of such Debt               or a commitment related to such Debt (or any Person acting on such holders’ behalf) to               accelerate the maturity thereof or terminate any such commitment before its normal               expiration (including any required mandatory prepayment or “put” of such Debt to such               Person), or there shall occur any default under any Bank Product Agreement (including               any Swap Agreement) after the expiration of any applicable cure period set forth therein;               or”                Section 3.    Ratification.  Each Credit Party confirms that all of its obligations under  the Loan Documents (as amended by this Amendment) are in full force and effect and are performable in  accordance with their respective terms without setoff, defense, counter-claim or claims in recoupment.   Each Credit Party further confirms that the term “Obligations”, as used in the Credit Agreement, shall  include all Obligations of the Credit Parties under the Credit Agreement (as amended by this Amendment),  under any promissory notes issued under the Credit Agreement, and under each other Loan Document.                Section 4.    Waivers.  Upon the Fifth Amendment Effective Date, Administrative  Agent and the Lenders hereby (a) make the March 2020 Temporary Limited Waiver permanent, (b) waive  any Events of Default that would occur as a result of any Term Loan Default, so long as the requisite lenders  under the Term Loan Agreement have agreed to forbear any actions or remedies under the Term Loan  Agreement with respect to the Term Loan Defaults on terms acceptable to Agent, (c) waive the Tax Payment  Default (effective at the time such taxes became due and payable, and for the avoidance of doubt, such  waiver shall continue to apply to the requirements of Section 9.11 of the Credit Agreement for all unpaid  amounts related to the Tax Payment Default), and (d) waive the failure (if any) to comply with the  requirements to provide notice of Default or Event of Default in respect of any of the foregoing (clauses  (a), (b), (c) and (d), collectively, the “Specified Waived Matters”); provided, that, for the avoidance of  doubt, (i) the foregoing waivers shall not constitute a (x) waiver of any future compliance of any covenant  that was or may have been violated in connection with the Specified Waived Matters or (y) consent to any  future non-compliance with any covenant that was or may have been violated in connection with the  Specified Waived Matters, and (ii) this waiver shall neither waive nor affect the ability of Administrative  Agent or any Lender to assert, at any time following any further Default or Event of Default, any claims  available under applicable law on account of any negligent or intentional misrepresentation (if any) related  to any of the events giving rise to the Specified Waived Matters.  Except as expressly set forth in this  Amendment, nothing contained in this Amendment, or any other communication between or among  Administrative Agent, Lenders and any Credit Party, shall be construed as a waiver by Administrative                                                                                           3  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149 

 

Agent or Lenders of any covenant or provision of the Credit Agreement, the other Loan Documents, this  Amendment or any other contract or instrument between or among any Credit Party, Administrative Agent  and/or Lenders, or of any similar future transaction, and the failure of Administrative Agent and/or Lenders  at any time or times hereafter to require strict performance by any Credit Party of any provision thereof  shall not waive, affect or diminish any right of Administrative Agent and/or Lenders to thereafter demand  strict compliance therewith.  Nothing contained in this Amendment shall directly or indirectly in any way  whatsoever either: (a) except as expressly set forth in this Amendment, impair, prejudice or otherwise  adversely affect Administrative Agent’s or any Lender’s right at any time to exercise any right, privilege  or remedy in connection with the Credit Agreement or any other Loan Documents, each as amended hereby,  (b) except as expressly provided herein, amend or alter any provision of the Credit Agreement or any other  Loan Documents or any other contract or instrument, or (c) constitute any course of dealings or other basis  for altering any obligation of any Credit Party under the Credit Agreement or any other Loan Documents  or any right, privilege or remedy of the Administrative Agent or any Lender under the Credit Agreement,  any other Loan Documents or any other contract or instrument.  Administrative Agent and Lenders hereby  reserve all rights granted under the Credit Agreement, the other Loan Documents, this Amendment and any  other contract or instrument between or among any Credit Party, Administrative Agent and Lenders, each  as amended hereby.                Section 5.    Withdrawal of Default Notice.  Administrative Agent and Lenders  hereby acknowledge and agree that the Notice of Default and Reservation of Rights, dated June 9, 2020  and delivered to the Borrowers, is hereby withdrawn, and no purported Default or Event of Default  described therein has occurred on or prior to the Fifth Amendment Effective Date. For the avoidance of  doubt, as of the Fifth Amendment Effective Date, the Default Rate shall not apply to any interest, fees or  other Obligations accrued under the Credit Agreement or any other Loan Document.                Section 6.    Representations and Warranties.  Each Credit Party represents and  warrants to Administrative Agent and Lenders the following: (a) after giving effect to this Amendment,  there does not exist any Default or Event of Default, and (b) both immediately before and after giving effect  to this Amendment, (i) each Credit Party is in good standing under the laws of the jurisdiction of its  incorporation, organization, or formation, (ii) no amendment, modification or other change has been made  to (A) the articles of incorporation or organization (or other applicable charter documents), or (B) the  bylaws or operating agreement of each Credit Party since the Closing Date (other than amendments not  adverse to the interests of the Administrative Agent or the Lenders), and (iii) the execution, delivery and  performance of this Amendment and of the Loan Documents as amended hereby has been duly authorized  by all necessary corporate, company or partnership action.                Section 7.    Conditions to Effectiveness.  The effectiveness of this Amendment as of  the Fifth Amendment Effective Date is conditioned upon the satisfaction or waiver of the following  conditions precedent.  The determination as to whether each condition has been satisfied may be made in  Administrative Agent’s sole discretion, all of which shall be satisfactory in form and substance to  Administrative Agent:                       7.1.   Administrative Agent shall have received this Amendment, duly executed  by each of the undersigned signatories.                       7.2.   On or prior to June 19, 2020, Borrowers shall have deposited Two Million  Six Hundred Eighty Nine Thousand Dollars ($2,689,000) in cash to an account controlled by the  Administrative Agent.                                                                                             4  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149 

 

                    7.3.   No Default or Event of Default shall have occurred and be continuing on  the Fifth Amendment Effective Date (after giving effect to this Amendment), or would exist after giving  effect to the transactions described in this Amendment on the Fifth Amendment Effective Date.                       7.4.  The Credit Parties shall have paid to Administrative Agent all reasonable  and documented fees, costs and expenses (including reasonable attorneys’ fees, costs and expenses) and  other amounts owed to or incurred by Administrative Agent or Lenders in connection with this Amendment,  to the extent invoiced to Parent in advance of the Fifth Amendment Effective Date.         The Credit Parties shall be deemed to represent and warrant to Administrative Agent and Lenders  that each of the foregoing conditions have been satisfied upon the release of their respective signatures to  this Amendment.                Section 8.    Post-Closing Obligations. Borrowers hereby agree as follows:                       8.1.   Borrowers shall deposit One Million Dollars ($1,000,000) in cash on or  before June 30, 2020 and One Million Two Hundred Thousand Dollars ($1,200,000) (or such other amount  as is required to Cash Collateralize all LC Obligations and Bank Product Obligations) in cash on or before  July 31, 2020, in each case, to an account controlled by the Administrative Agent.                       8.2.   Borrowers shall maintain CARES Debt of not less than $2,500,000  through July 31, 2020 to fund CARES Act Permitted Purposes.          The Credit Parties hereto agree that any breach of the post-closing obligations set forth in this  Section 8 shall result in an immediate Event of Default (without giving effect to any cure period).                Section 9.    Cash Collateralization.  At all times when the LC Obligations and Bank  Product Obligations are Cash Collateralized:                       9.1.   The covenants set forth in Sections 9, 10 and 11 and the Events of Default  set forth in Section 12 shall cease to apply, other than Section 9.2(a) (solely with respect to the preservation  and maintenance of Borrowers’ legal existence), Section 9.2(b), Section 9.6(b)(i) (limited to quarterly  financial statements instead of monthly, which will be required to be delivered on or before forty-five (45)  days after the end of each Fiscal Quarter, without regard to when or if such are required to be filed with the  Securities and Exchange Commission (or, if such due date is not a Business Day, then on the next Business  Day)), Section 9.6(m), Section 9.11, Section 10.7, Section 12.1(a), Section 12.1(b), Section 12.1(c), Section  12.1(e), Section 12.1(g) (excluding any Debt for which a forbearance agreement on terms acceptable to  Agent is in effect with respect to the relevant default under such Debt), Section 12.1(j), Section 12.1(k)  (with respect to any Obligor), Section 12.1(l) (with respect to any Obligor), Section 12.1(n), Section 12.1(o)  and Section 12.1(p) (unless a forbearance agreement on terms acceptable to Agent is in effect with respect  to the relevant Event of Default (as defined in the Term Loan Agreement)).                       9.2.   All Collateral securing the Obligations, other than Cash Collateral, shall  be released by Administrative Agent on behalf of the Secured Parties, and Administrative Agent shall  terminate the Security Documents (other than Administrative Agent’s Lien on the Cash Collateral); and  Administrative Agent shall execute and deliver any release documents and make any UCC-3 or other filings  as Borrower Representative reasonably requests to evidence such release of Collateral.                Section 10.   Miscellaneous.                                                                                           5  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149 

 

                    10.1.  None of the Lenders, if any, identified in the Credit Agreement, as  amended hereby, as an arranger or bookrunner shall have any right, power, obligation, liability,  responsibility or duty under the Credit Agreement other than those applicable to all Lenders as such.   Without limiting the foregoing, none of such Lenders shall have or be deemed to have a fiduciary  relationship with any Lender.                       10.2.  Except as expressly provided in this Amendment, (a) the Credit  Agreement and the other Loan Documents shall continue in full force and effect, and (b) the terms and  conditions of the Credit Agreement and the other Loan Documents are expressly incorporated herein and  ratified and confirmed in all respects.  This Amendment is not intended to be or to create, nor shall it be  construed as, a novation or an accord and satisfaction.  From and after the Fifth Amendment Effective Date,  references to the Credit Agreement in each Loan Document shall be references to the Credit Agreement as  amended hereby.  The Lenders party hereto hereby direct and instruct Administrative Agent to execute and  deliver this Amendment and all documents to be executed in connection herewith, and to induce  Administrative Agent to execute and deliver this Amendment and the other applicable documents, each  Lender ratifies and confirms its obligations under, and the immunities and exculpatory provisions accruing  to Administrative Agent under, the terms of the Credit Agreement and the other Loan Documents and agrees  that, as of the date hereof, such obligations, immunities and other provisions are without setoff,  counterclaim, defense or recoupment.  This Amendment shall constitute a Loan Document.                       10.3.  Each Credit Party hereby ratifies and confirms the Liens and security  interests granted under the Loan Documents and further ratifies and agrees that such Liens and security  interests secure all obligations and indebtedness now, hereafter or from time to time made by, owing to or  arising in favor of Administrative Agent or Lenders pursuant to the Loan Documents (as now, hereafter or  from time to time amended).                         10.4.  Each Guarantor agrees that its consent is not required to the effectiveness  of this Amendment, and that no consent of any of them is required for the effectiveness of any future  amendment, modification, forbearance or other action with respect to the Obligations, the Collateral, or any  of the other Loan Documents.                       10.5.  This Amendment constitutes the entire agreement among the parties  hereto with respect to the subject matter hereof.  Neither this Amendment nor any provision hereof may be  changed, waived, discharged, modified or terminated orally, but only by an instrument in writing signed by  the parties required to be a party thereto pursuant to the Credit Agreement.                       10.6.  This Amendment, along with each and every other Loan Document, may  be executed by a handwritten signature, by use of an electronic signature or by a signatory’s adoption of  any marking (including, without limitation, by inserting the electronic text of the name of a signatory that  has been inserted or appended to a document by or on behalf of such signatory) as the signature of such  signatory (which adoption may be confirmed by an email exchange with the signatory, and such  confirmation shall be conclusive evidence of such adoption for all purposes) and executed in any number  of counterparts (including by facsimile or as a .pdf attachment), and by the different parties hereto on the  same or separate counterparts, each of which shall be deemed to be an original instrument but all of which  together shall constitute one and the same agreement.  The parties agree that each and every electronic  signature or other marking adopted as a signature of, by or on behalf of a Person (including any signatory  for such Person) are the same, and shall be deemed to be same, as handwritten signatures for all purposes  of this Amendment and the other Loan Documents, including, without limitation, for purposes of the  validity, enforceability and admissibility of this Amendment and any other Loan Document.                                                                                           6  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149 

 

                    10.7.  If any term or provision of this Amendment is adjudicated to be illegal,  invalid or unenforceable under applicable laws or regulations, such provision shall be inapplicable to the  extent of such illegality, invalidity or unenforceability without affecting the legality, validity or  enforceability of the remainder of this Amendment which shall be given effect so far as possible.                       10.8.  This Amendment shall be binding upon and inure to the benefit of the  Credit Parties, Administrative Agent and Lenders and their respective successors and permitted assigns,  except that the Credit Parties shall not have the right to assign any rights hereunder or any interest herein  without Administrative Agent’s and the required Lenders’ prior written consent.                       10.9.  THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF  THE PARTIES UNDER THIS AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED AND  INTERPRETED IN ACCORDANCE WITH THE CHOICE OF LAW PROVISIONS SET FORTH IN  THE CREDIT AGREEMENT AND SHALL BE SUBJECT TO ANY WAIVER OF JURY TRIAL AND  NOTICE PROVISIONS OF THE CREDIT AGREEMENT.                                    [Signature Pages Follow]                                                                                            7  [Forbes] Fifth Amendment and Waiver to Credit Agreement  #75568149fifthamendmenttotermloan

Exhibit 10.10                                                  Execution Version                        AMENDMENT NO. 5 AND WAIVER TO                        LOAN AND SECURITY AGREEMENT         AMENDMENT  NO.   5 AND  WAIVER   TO  LOAN  AND  SECURITY  AGREEMENT,  dated as of June 29, 2020 (this “Amendment”), is by and among Forbes Energy Services LLC, a  Delaware limited  liability  company (the “Borrower”), the  Guarantors  listed  on  the  signature  pages hereto, the Lenders party hereto, and Wilmington Trust, National Association, as agent for  the Secured Parties under the Loan Agreement (as defined below) (the “Agent”).                                W I T N E S S E T H :         WHEREAS,   the  Borrower,  the Guarantors (together  with  the  Borrower,  the  “Loan  Parties”), the Lenders and the Agent are parties to financing arrangements pursuant to which the  Lenders  have  made  and  may  make  loans  and  advances  and  provide  other  financial  accommodations to the Borrower as set forth in the Loan and Security Agreement, dated as of  April 13, 2017, by and among the Loan Parties, the Lenders and the Agent (as amended, restated,  supplemented or otherwise modified from time to time, including pursuant to this Amendment,  the “Loan Agreement”); and         WHEREAS,   subject  to  the  conditions  set  forth  herein,  the  Lenders  party  hereto,  constituting the Required Lenders, are willing to consent to amendments and provide a waiver to  the Loan Agreement as set forth in this Amendment.         NOW, THEREFORE, in consideration of the foregoing and the mutual agreements and  covenants  contained  herein,  and  other  good  and  valuable  consideration,  the  receipt  and  sufficiency of which are hereby acknowledged, the parties hereto agree as follows:          1. Definitions. Unless  otherwise  defined  herein,  capitalized  terms  or  matters  of construction defined or established in the Loan Agreement shall be applied herein as defined or  established therein.         2. Amendments to Loan Agreement.           (a) Section 1.02 of the Loan Agreement is hereby amended by adding the following definition:         “Subordinated  Notes  Indenture”  means  the  Indenture,  dated  as  of  March  4,  2019,        between Parent, as issuer, and Wilmington Trust, National Association, as trustee, with        respect to the 5.00% Subordinated Convertible PIK Notes due 2020 issued thereunder.            (b) The first sentence of Section 9.08 of the Loan Agreement is hereby amended and  restated in its entirety as follows:         To the extent delivery of monthly financial statements is required under the Revolving        Loan Agreement, furnish Agent and each Lender within thirty (30) days after the end of        each month (or, if such due date is not a Business Day, then on the next Business Day),        an unaudited balance sheet of Loan Parties and their Subsidiaries on a consolidated and        consolidating  basis  and  unaudited  statements  of  income  of Loan  Parties  and  their        Subsidiaries  on  a  consolidated  and  consolidating  basis  reflecting  results  of operations                                                                            22032667 

 

         from  the  beginning  of  the  fiscal  year  to  the  end  of  such  month  and  for  such  month,        prepared  on a  basis  consistent  with  prior  practices  and  complete  and  correct  in  all        material respects, subject to normal and recurring year-end adjustments that individually        and in the aggregate are not material to the business of Loan Parties or their Subsidiaries,        and subject to the absence of footnotes.             (c) Section  10.08  of  the  Loan  Agreement  is  hereby  amended  and  restated  in  its  entirety as follows:          Any default under any documents, instruments or agreements to which any Loan Party or        any Subsidiary of any Loan Party is a party or by which any of its properties is bound,        relating  to  any Indebtedness  (other  than  the  Obligations and  the  obligations  under  the        Subordinated Notes Indenture) individually or in aggregate in excess of $500,000, which        default continues for more than the applicable cure period, if any, with respect thereto;        provided that, notwithstanding the foregoing, no Event of Default shall occur under this        Section 10.08 as  a result of a default under the Revolving Loan Agreement due to the        expiration  of  the  March  2020  Revolving  Loan Temporary  Waiver  after  the  end  of  the        March 2020 Revolving Loan Temporary Waiver Period;         3. Waiver. The Lenders party hereto, constituting the Required Lenders, hereby waive  (a) the requirements of Section 6.02 of the Loan Agreement with respect to property taxes of the  Loan Parties that have become due during the fiscal year ending December 31, 2020 but have not  yet  been paid (the  “Tax  Payment  Default”), effective  at  the  time  such  taxes  became  due  and  payable (and for the avoidance of doubt, such waiver shall continue to apply to the requirements  of  Section 6.02 of  the Loan Agreement  for  all  unpaid  amounts  related  to  the Tax  Payment  Default) and (b) the failure to comply with the requirements to provide notice of any Default or  Event of Default in respect of the Tax Payment Default.         4. Representations  and  Warranties. Each  Loan  Party represents  and  warrants  to  the  Agent and the Lenders party hereto as follows:            (a) this Amendment has been duly executed and delivered by each Loan Party, and is  a legally valid and binding obligation of such Loan Party, enforceable against such Loan Party in  accordance with its terms, except as enforcement may be limited by equitable principles or by  bankruptcy,  insolvency,  reorganization,  moratorium,  or  similar  laws  relating  to  or  limiting  creditors’ rights generally; and            (b) the execution, delivery and performance of this Amendment and the transactions  contemplated  hereunder  (i) are  all  within  each  Loan  Party’s limited  liability  company  or  corporate powers, as applicable, (ii) have been duly authorized by such Loan Party, (iii) are not  in  contravention  of  law  or  the  terms  of  such Loan  Party’s certificate  of  formation,  limited  liability company agreement, certificate of incorporation, by-laws or other applicable constituent  documents or of any material agreement or undertaking to which such Loan Party is a party or by  which such  Loan  Party is  bound and  (iv) will  not  materially  conflict  with  nor  result  in  any  material breach in any of the provisions of or constitute a default under or result in the creation  of  any  Lien  except  Permitted  Encumbrances  upon  any  asset  of such  Loan  Party under  the  provisions of any agreement or instrument to which such Loan Party or its property is a party or  by which it may be bound.                                         2                                                                          22032667 

 

         5. Acknowledgments by Guarantors. Each Guarantor hereby expressly and specifically  ratifies, restates and confirms the terms and conditions of the Guarantee in favor of the Agent  and the Lenders and its liability for all of the obligations under the Guarantee by such Guarantor,  and all other obligations, liabilities, agreements and covenants thereunder. Each Guarantor, by its  signature below, hereby acknowledges, confirms and agrees that the Guarantee executed by the  Guarantors,  guaranteeing  the  payment  and  performance  of  the  Borrower  as  set  forth  in  the  Guarantee and all other obligations, liabilities, agreements and covenants thereunder, is in full  force and effect as of the Amendment Effective Date.          6. Conditions  Precedent. This  Amendment shall  be  effective  upon  the  satisfaction of  each  of  the  following  conditions  precedent  on  the  date  hereof  (the  “Amendment  Effective  Date”):            (a) Amendment. The Agent shall have received this Amendment duly executed and  delivered by an authorized officer of each of the parties hereto;             (b) Expenses. The Agent shall have received all reimbursable expenses of the Agent  (including fees, disbursements and expenses of its counsel) invoiced to date in accordance with  the Loan Agreement;            (c) Representations and Warranties. Each of the representations and warranties made  by any Loan Party in or pursuant to the Loan Agreement and any Other Document to which it is  a party, and each of the representations and warranties contained in any certificate, document or  financial  or  other  statement  furnished  at  any  time  under  or  in  connection  with  the  Loan  Agreement  or  any  Other  Document  shall  be  true  and  correct  in  all  material  respects  (without  duplication of any materiality qualifiers already set forth therein) on and as of such date as if  made  on  and  as  of  such  date,  except  to  the  extent  that  such  representations  and  warranties  expressly relate solely to an earlier date (in which case such representations and warranties shall  have  been  true  and  correct  in  all  material  respects  (without  duplication  of  any  materiality  qualifiers already set forth therein) on and as of such earlier date), subject to (i) with respect to  Section 5.04 of the Loan Agreement, the exclusion of property taxes subject to the Tax Payment  Default, and (ii) with respect to Section 5.08(a) of the Loan Agreement, the assumption that the  Loan Parties are able to refinance or otherwise satisfy the obligations under the Loan Agreement  on or prior to the maturity thereof; and            (d) No  Default. After  giving  effect  to this  Amendment,  no Event  of  Default  or  Default shall have occurred and be continuing on the Amendment Effective Date, or would exist  after giving effect to the transactions described in this Amendment on the Amendment Effective  Date.         7. General.            (a) Effect  of this  Amendment.  Except  as  expressly  provided  herein,  no  other  consents,  waivers,  changes  or  modifications  to  the  Loan Agreement  or  any  Other  Documents  (together,  the  “Loan  Documents”) are  intended  or  implied,  and  in  all  other  respects  the Loan  Documents are hereby specifically ratified, restated and confirmed by all parties hereto as of the  date hereof. To the extent of conflict between the terms of this Amendment and the other Loan                                          3                                                                          22032667 

 

   Documents, the terms of this Amendment shall control. The Loan Agreement shall be read and  construed as one agreement with this Amendment.            (b) Governing  Law. This  Amendment shall  be  governed  by  and  construed  in  accordance with the laws of the State of New York applied to contracts to be performed wholly  within the State of New York, without regard to conflicts of laws principles.            (c) Binding  Effect. This  Amendment shall  bind  and  inure  to  the  benefit  of  the  respective successors and permitted assigns of each of the parties hereto.            (d) Counterparts,  etc. This  Amendment may  be  executed  in  any  number  of  and  by  different parties hereto on separate counterparts, all of which, when so executed, shall be deemed  an original, but all such counterparts shall constitute one and the same agreement. Any signature  delivered  by  a  party  by  facsimile  or  email  transmission  shall  be  deemed  to  be  an  original  signature hereto.            (e) Direction.  The  Lenders  party  hereto,  constituting  the  Required  Lenders,  hereby  direct the Agent to execute and deliver this Amendment, and, by their execution below, each of  the undersigned Lenders agrees to be bound by the terms and conditions of this Amendment.                               [Signature Pages Follow]                                                                                   4                                                                          22032667 

 

[Signature Page to Amendment No. 5 and Waiver to Term Loan Agreement]

 

[Signature Page to Amendment No. 5 and Waiver to Term Loan Agreement]

 

 

                                                   LENDERS                                      ASCRIBE III INVESTMENTS LLC                                                                            By:_____________________________                                     Name: Lawrence First                                     Title:   Chief Investment Officer and                                                 Managing Director                                     [Signature Page to Amendment No. 5 and Waiver to Term Loan Agreement] 

 

                                  LENDERS                                     SOLACE FORBES HOLDINGS LLC                                     By: Solace Capital Partners LP                                                                          By:_____________________________                                    Name: Naeem Arastu                                    Title: Managing Director                                    [Signature Page to Amendment No. 5 and Waiver to Term Loan Agreement]

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