Document:

Exhibit 10.3

 

 

RETAINED PROPERTY DEVELOPMENT AGREEMENT

 

This Retained Property Development Agreement
(“Agreement”) is entered into as of November 10, 2015, and is between LIMONEIRA COMPANY, a Delaware corporation
(“LIMCO”), and LIMONEIRA LEWIS COMMUNITY BUILDERS, LLC, a Delaware limited liability company (“Company”).

 

RECITALS

 

LIMCO and Lewis Santa Paula Member, LLC,
a Delaware limited liability company (“Lewis”), are parties to a Contribution Agreement dated as of September
4, 2015 (as it may be amended, the “Contribution Agreement”), pursuant to which LIMCO will contribute to Company
the property described in Exhibit A (the “Project Real Property”) which will be developed by the Company into
a master-planned residential community (the “Project”) in accordance with the EA1 Specific Plan, inclusive of
all amendments thereto, and all of the other Entitlements for the Project. Capitalized terms used but not defined in this Agreement
will have the meanings given to those terms in that certain Amended and Restated Limited Liability Company Agreement of the Company
(the “Company LLC Agreement”) between Limoneira EA1 Land, LLC (“Limoneira”) and Lewis, including
Schedule 6.2 of the Company LLC Agreement.

 

As a condition to contributing the East
Area 1 Property, LIMCO is requiring that Company (a) arrange for the Project Real Property to be subdivided to make the parcel
depicted on Exhibit B (the “Retained Property”) a legal parcel, (b) transfer the Retained Property back to LIMCO
or its designee, and (c) arrange for the design and construction of certain improvements to the Retained Property as part of Company’s
improvement and development of the Project, subject to certain reimbursements by LIMCO of (i) the Retained Property’s fair
share of the overall cost of the Project’s backbone improvements and certain other overall Project costs as set forth in
this Agreement, and (ii) the fair share of certain of the overall cost of the Project’s water and sewer backbone improvements
and certain other overall Project costs as set forth in this Agreement allocated to that other parcel depicted on Exhibit B-1 owned
by LIMCO and referred to herein as the “EA2 Property”. Company is willing to undertake these obligations, subject
to the terms and conditions of this Agreement.

 

LIMCO and Company wish to define their mutual
rights and obligations with respect to the arrangements in the immediately preceding paragraph and other associated arrangements
provided in this Agreement.

 

The Parties consequently agree as follows:

 

Article
1

DEFINITIONS

 

 

1.1 Certain
Definitions. For purposes of this Agreement, the following definitions apply.

 

“Additional Permitted Exceptions”
is defined in Section 2.3.2.

 

“Business Day” has the
meaning given to this term in the Contribution Agreement.

 

“Closing Date” has the
meaning given to this term in the Contribution Agreement.

 

“Consultant” means each
engineer, architect, or other consultant Company engages directly to design, engineering, or similar services for any portion of
the Superpad Project.

 

“Contractor” means each
contractor Company engages directly to perform any portion of the Superpad Work.

 

    	 	1	 

     

    

 

“Cure Period” means,
with respect to a Defaulting Party, a period of 30 calendar days after the Defaulting Party receives written notice of its default
from the Non-Defaulting Party, except if the breach can be cured but cannot reasonably be cured within such 30 day period, then
the period will continue, if the Defaulting Party commences to cure the breach within such 30 day period, for so long as the Defaulting
Party diligently prosecutes the cure to completion, up to 60 calendar days.

 

“Defaulting Party” is
defined in Section 4.1.

 

“EA2 Reimbursement” means
the payment required by LIMCO to Company in accordance with Section 3.4 below.

 

“Environmental Laws”
has the meaning given to this term in the Contribution Agreement.

 

“Force Majeure” means
causes beyond the reasonable control of the Party claiming the benefit of the Force Majeure (and in the case of Company, beyond
the reasonable control of its Manager, Manager Affiliate, Consultants and Contractors), including war or national defense preemptions,
national emergency, acts of terrorism, riot or civil commotion, fire or casualty, acts of God, unforeseeable changes in Applicable
Laws, and unusual delays or unreasonable refusals by governmental entities in issuing permits or approvals required by Applicable
Laws. Force Majeure does not include financial difficulties of the Party claiming the benefit of Force Majeure excepting any failure
by Limoneira to make all of its required Capital Contributions or Member Loans under the Company LLC Agreement which shall be a
Force Majeure event.

 

“Government Agreements”
has the meaning given to this term in the Contribution Agreement.

 

“Lewis” is defined in
the Recitals to this Agreement.

 

“Lien” means any mechanics’
or materialmen’s lien, or stop payment notice, and all other liens, legal or equitable.

 

“Non-Defaulting Party”
is defined in Section 4.1.

 

“Party” means LIMCO and/or
Company, as the context may dictate.

 

“Superpad Plans” means
all Plans that include any portion of the Superpad Project and which may include portions of the Project in addition to the Superpad
Project.

 

“Person” (and “person”)
means any natural person and any type of public or private entity.

 

“Pre-Closing Agreements”
has the meaning given to this term in the Contribution Agreement.

 

“Property” means the
Project Real Property.

 

“Reconveyance” is defined
in Section 2.2.1.

 

“Reconveyance Closing Date”
is defined in Section 2.3.

 

“Reconveyance Escrow Instructions”
is defined in Section 2.3.1.

 

“Retained Property Reimbursement”
means the payment required by LIMCO to Company in accordance with Section 3.4 below.

 

“Retained Property Deed”
is defined in Section 2.3.1.

 

“Subdivision Map” means
the Conveyance Map as defined in the Contribution Agreement.

 

“Superpad Agreement”
means each agreement between Company and a Consultant or Contractor that includes services or work for the Superpad Project, as
it may be amended from time to time. The Superpad Agreements may include services and work for the Property in addition to the
Retained Property.

 

    	 	2	 

     

    

 

“Superpad Improvements”
means the improvements required in order to satisfy the requirements of Exhibit E.

 

“Superpad Project” means
the development of the Superpad Plans and the performance of the Superpad Work as contemplated in this Agreement. This term includes
both the process of carrying out this project, as well as the materials, equipment, and other work-products that constitute the
end-product, whether any of the foregoing are completed or partially completed.

 

“Superpad Work” means
all the physical construction of the Superpad Improvements performed on or about the Retained Property by or on behalf of any Contractor
in connection with the work contemplated in the Superpad Plans, and any materials and equipment supplied or installed at the Retained
Property by or on behalf of any Contractor in connection with such work.

 

“Title Company” has the
meaning given to this term in the Contribution Agreement.

 

Article
2

SUBDIVISION AND RECONVEYANCE OF RETAINED PROPERTY

 

 

2.1
 Subdivision. Company shall use its commercially reasonable efforts to prepare the Subdivision Map in accordance
with Section 3.3 of the Contribution Agreement and the Approved Business Plan. The Parties shall cooperate to include in the Subdivision
Map any easements requested pursuant to Section 5.1. After obtaining LIMCO’s approval over the Subdivision Map insofar as
it pertains to the Retained Property, such approval not to be unreasonably withheld, Company shall use its commercially reasonable
efforts to cause the Subdivision Map to be approved by relevant governmental authorities and recorded in accordance with Applicable
Laws, Section 3.3 of the Contribution Agreement and the Approved Business Plan (the accomplishment of the requirements in this
sentence, the “Subdivision”). Company shall use its commercially reasonable efforts to record the Subdivision
Map within 12 months after the Closing Date (subject to extensions due to Force Majeure as provided in Section 5.5.2). Company
is responsible for paying all costs associated with the Subdivision Map subject to the Retained Property Reimbursement.

 

2.2  Arrangements
Pending Transfer of Retained Property.

 

2.2.1 Holding of Retained Property.
Pending the reconveyance of the Retained Property to LIMCO or its designee (the “Reconveyance”), Company
shall hold the Retained Property in trust for the benefit of LIMCO, and at all times subject to (a) the obligation hereunder to
reconvey the Retained Property to LIMCO or its designee free and clear of any and all encumbrances Company may have placed on
the Retained Property, including any liens of any deeds of trust, other than Additional Permitted Exceptions, and (b) the restrictions
on Company’s use and enjoyment of the Retained Property, as described in this Section 2.2. Without limitation, Company shall
not obtain any Project Loan (as defined in the Company LLC Agreement) before the Reconveyance.

 

2.2.2 LIMCO’s Rights to
Retained Property. Until the Reconveyance, LIMCO retains the exclusive rights to use and occupy the Retained Property,
and Company has no rights to any income generated by the Retained Property or to develop, improve (except as otherwise contemplated
by this Agreement or the Company LLC Agreement), sell, assign, lease or transfer (other than to LIMCO as required herein), encumber
or pledge all or any portion of the Retained Property at any time. LIMCO acknowledges that it will have sole and exclusive possession
of the Property under the Lease Agreement and of the Retained Property so Company shall have no liability or responsibility for
any damage to or change in the physical condition of the Retained Property prior to the Reconveyance and LIMCO shall take all actions
it deems necessary to secure the Retained Property until the Reconveyance at its sole cost and expense.

  

    	 	3	 

     

    

 

 

2.2.3 Costs Relating to Retained Property
Before Reconveyance. Until the Retained Property is reconveyed to LIMCO or its designee, LIMCO is responsible for all
real estate taxes, personal property taxes and assessments that may be levied or assessed against the Retained Property, and for
costs for insurance and maintenance and repairs of the Retained Property (to the extent such maintenance and repair is not required
as a result of any acts or omissions of Company in breach of this Agreement). In cases where Company pays these costs initially,
LIMCO shall reimburse Company for these costs as provided in Section 3.4.1.

 

2.3
 Reconveyance of Retained Property to LIMCO. Concurrent with or immediately preceding the Subdivision, Company
shall reconvey bare legal title to the Retained Property to LIMCO or its designee without any payment or other consideration on
the terms set forth herein (such reconveyance, the “Reconveyance”, and the date on which the Reconveyance is
effected, the “Reconveyance Closing Date”).

 

2.3.1 Reconveyance Escrow. The
reconveyance will be accomplished pursuant to escrow instructions among Company, LIMCO and Title Company substantially in the
form attached as Exhibit C (the “Reconveyance Escrow Instructions”), which Company and LIMCO shall execute
and deliver concurrently herewith. Company and LIMCO or its designee shall execute such additional and supplementary escrow instructions
as may be appropriate to enable Title Company to comply with the terms of this Agreement, except that in the event of a conflict
between the provisions of this Agreement and any supplementary escrow instructions, the terms of this Agreement will control.
Within three (3) Business Days after recordation of the Subdivision Map Company shall execute and deliver to Title Company pursuant
to the Reconveyance Escrow Instructions, a grant deed in the form attached as Exhibit D (the “Retained Property Deed”).

 

2.3.2 Condition of Title to the Retained
Property on Reconveyance. Except for the Superpad Project and agreements entered into in connection therewith or in connection
with the Subdivision or the Project or the Entitlements, Company shall reconvey the Retained Property to LIMCO or its designee
with title in the same condition as set forth on that certain Title Report attached hereto as Exhibit F, subject only to the following
additional title exceptions (collectively, “Additional Permitted Exceptions”): (i) non-monetary covenants,
conditions, restrictions, easements, reservations, rights and rights of way of record placed on the Retained Property as a result
of the Subdivision or the Project (as approved by the Executive Committee of the Company); (ii) non-delinquent general, special
and supplemental real property taxes and assessments; and (iii) title exceptions created by or through any act or omission, or
with the written consent, of LIMCO or its Affiliates (including Limoneira) or agents (other than Company). Company shall remove
(a) all Liens, if any, attributable to the acts of Company, Lewis or its Affiliates, Manager or any Manager Affiliate (other than
Liens attributable to any acts of Limoneira or its Affiliates including the failure of Limoneira to make any of its Capital Contributions
required under the Company LLC Agreement) and (b) any other title exceptions, other than any Additional Permitted Exceptions,
which would have a material adverse effect on the value or anticipated use of the Retained Property or obtain from Title Company
an endorsement to the Title Policy at the Reconveyance Date affirmatively insuring against such Liens and other title exceptions
in a form reasonably acceptable to LIMCO at Company’s sole expense prior to the Reconveyance.

 

EXCEPT AS SET FORTH IN THE CONTRIBUTION AGREEMENT OR IN THE
RETAINED PROPERTY DEED, THE TRANSFER OF THE RETAINED PROPERTY HEREUNDER IS AND WILL BE MADE ON AN “AS IS, WHERE IS”
BASIS. COMPANY HAS NOT MADE, DOES NOT MAKE AND SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES OR GUARANTIES
OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE OF, AS TO, CONCERNING
OR WITH RESPECT TO THE PROPERTY OR ANY OTHER MATTER WHATSOEVER, INCLUDING, WITHOUT LIMITATION, AS TO THE AREA OF THE LAND.

 

    	 	4	 

     

    

 

2.3.3      
Closing Costs. LIMCO shall pay (a) any escrow charges and other escrow-related costs in connection with
the Reconveyance, (b) title insurance costs for the Retained Property Title Policy (as defined below), (c) state, county and city
transfer taxes payable in connection with the Reconveyance, and (d) property taxes applicable to the Retained Property, to the
extent they have been paid by Company and not previously reimbursed pursuant to Section 3.4.1.

 

2.3.4      
Title Policy. LIMCO or its designee will be entitled to receive, at its sole cost and expense, an owner’s
policy of title insurance substantially in the form issued to the Company for the Property on the Closing Date but insuring just
the Retained Property modified to include the Additional Permitted Exceptions, in an amount equal to the fair market value of
the Retained Property as determined by LIMCO (the “Retained Property Title Policy”), except that delivery of
the Retained Property Title Policy will not be a condition to Company’s obligation to reconvey the Retained Property to
LIMCO or its designee as provided herein.

 

Article
3

DEVELOPMENT OF RETAINED PROPERTY

 

3.1            
Consultants and Contractors.

 

3.1.1      
Superpad Agreements. Company shall engage Consultants and Contractors to design and develop the Project,
including the Superpad Project, in accordance with the Company Agreement, the Approved Business Plan and the Approved Budget.
Such engagement shall be direct, in Company’s individual capacity, and not as LIMCO’s agent. In engaging such Consultants
and Contractors, Company shall comply with the requirements of the Company LLC Agreement with respect to “Approved Contracts”
as defined in Schedule 6.2 of the Company LLC Agreement. Additionally, Company shall in each Superpad Agreement require the Consultant
or Contractor to, and require its subconsultants or subcontractors to, (a) include LIMCO as an additional insured with respect
to such party’s general liability insurance policies, on a primary and non-contributing basis, (b) include LIMCO as an indemnitee
in any indemnity provisions in the agreement, (c) include LIMCO as a party to any warranties under the Superpad Agreement and
otherwise permit Company to assign the correction and warranty obligations of Contractor and its subcontractors with respect to
the Superpad Work to LIMCO on a non-exclusive basis, and (d) designate LIMCO as a third-party beneficiary of the Superpad Agreement,
insofar as the Superpad Agreement pertains to the Superpad Project.

 

3.1.2      
Compliance with Applicable Laws. Company shall comply, and shall require its Consultants and Contractors
and their subconsultants and subcontractors to comply, with Applicable Laws in connection with the Superpad Plans and Superpad
Work.

 

3.2            
Arrangements Regarding Superpad Plans.

 

3.2.1      
Development of Superpad Plans. Company shall require Consultants to prepare the Superpad Plans, proceeding through
schematic design, design development, and construction documents phases. Company shall upon request permit LIMCO to review the
Superpad Plans for the rough grading work on the Retained Property (the “Superpad Grading Plans”) as they are
developed, and shall obtain LIMCO’s consent to its proposed final version of the Superpad Grading Plans before submitting
them to governmental entities for a grading permit, which consent shall not be unreasonably withheld, delayed or conditioned and
shall be deemed given if written notice of disapproval is not delivered to Company stating the changes to the Superpad Grading
Plans required for LIMCO’s consent within ten (10) business days after its receipt of the Superpad Grading Plans.

 

    	 	5	 

     

    

 

 

3.2.2      
Revisions to Superpad Plans. Once the final Superpad Plans are approved by the City, Company shall
not make, or permit Consultants or Contractors to make, any revision to the Superpad Plans that will cause the Superpad Work to
deviate in any material manner from any specifications or requirements in Exhibit E (including arrangements agreed by LIMCO pursuant
to Exhibit E) without LIMCO’s prior written consent, which consent shall not be unreasonably withheld, delayed or conditioned
and shall be deemed given if written notice of disapproval is not delivered to Company stating the changes to the Superpad Plans
required for LIMCO’s consent within ten (10) business days after its receipt.

 

3.3            
Superpad Construction.

 

3.3.1      
License to Enter Retained Property. LIMCO grants to Company and its Consultants and Contractors
a license to enter onto the Retained Property, and alter the Retained Property, for purposes of performing the Superpad Work.
Company shall not alter the Retained Property except as contemplated in this Agreement.

 

3.3.2      
Permits. Company shall arrange for and obtain at the appropriate time any permits, licenses, or
approvals necessary for proper execution and completion of the Superpad Work in accordance with Applicable Laws and this Agreement,
and (c) any tests, inspections, and approvals of portions of the Superpad Project required under Applicable Laws. Company shall
also send any notices required under Applicable Laws in connection with the Superpad Project.

 

3.3.3      
Performance of Superpad Work. Company shall require its Contractors to perform the Superpad Work
in accordance with the Superpad Plans as they may be revised from time to time in accordance with this Agreement, and to complete
all of the Superpad Work no later than completion of Phase 1B of the Project as described in the Approved Business Plan, provided
Company shall cooperate, with LIMCO, at no additional material cost or expense to Company, to complete certain of that work with
Phase 1A of the Project in accordance with Exhibit E (subject to extensions due to Force Majeure as provided in Section 5.5.2).
The timing of the commencement of construction of Phase 1B will be determined by the Company in its sole discretion.

 

3.3.4      
Safety of Superpad Work. Company shall require its Contractors to be responsible for and have
control over (a) means, methods, techniques, and procedures for the Superpad Work and (b) initiating, maintaining and supervising
all safety precautions and programs in connection with the performance of the Superpad Work. Company shall require that its Contractors
maintain a safe worksite, take all necessary precautions for the safety and security of persons or property, and provide protection
to prevent damage, injury, or loss to persons or property, including employees performing the Superpad Work, other persons that
may encounter or be affected by the Superpad Work, the Superpad Work itself, and any other personal or real property that may
be affected by the Superpad Work. Company shall promptly cause the Contractors, at their expense, to repair and otherwise remedy
any damage to the Retained Property arising out of the Superpad Work.

 

3.3.5      
Hazardous Materials. Company shall require its Contractors to be responsible for the proper delivery,
handling, application, storage, removal, and disposal, in compliance with Applicable Laws, of all materials and substances brought
to the Retained Property by such Contractors or subcontractors or otherwise used or consumed in the performance of the Superpad
Work. If any Contractor encounters any pre-existing hazardous materials at the Retained Property, Company shall promptly notify
LIMCO and shall not permit its Contractors to disturb the hazardous materials unless otherwise directed by LIMCO.

 

    	 	6	 

     

    

 

3.3.6      
Warranty. Company shall, concurrent with the payment of the Retained Property Reimbursement and
EA1 reimbursement, assign to LIMCO on a non-exclusive basis, all warranties, correction obligations and indemnities provided under
the Superpad Agreements.

 

3.3.7      
Correction of Defective Superpad Work Before Completion. During the period before completion of
the Superpad Work, Company shall require its Contractors to replace, repair, or otherwise correct any Superpad Work that does
not conform with Applicable Laws or the Superpad Plans, or is otherwise defective.

 

3.3.8      
Correction of Defective Superpad Work After Completion. During the one-year period after completion
of the Superpad Work, and during any longer correction period that may be required under a Superpad Agreement, Company shall cause
the applicable Contractor(s),at their own expense, to replace, repair, or otherwise correct any Superpad Work that is discovered
within this period to be defective or nonconforming. Nothing in this Section is to be construed to establish a period of limitation
with respect to any other obligations Company has under this Agreement. If defects or nonconformities appear after any applicable
correction period, Company shall (without modifying Company’s other obligations under this Agreement) reasonably cooperate
with LIMCO to enable LIMCO to exercise whatever rights Company may have against Consultants or Contractors under Superpad Agreements
with respect to such defects or nonconformities.

 

3.4            
Cost Reimbursements.

 

3.4.1      
Costs for Retained Property Before Reconveyance. LIMCO shall reimburse Company for costs Company
pays that are LIMCO’s responsibility under Section 2.2.3, and for other reasonable third party out of pocket expenses reasonably
incurred by Company that are directly related to the maintenance and repairs of the Retained Property with respect to the period
when Company holds legal title to the Retained Property.

 

3.4.2      
Closing Costs. LIMCO shall reimburse Company for costs Company pays that are LIMCO’s responsibility
under Section 2.3.3.

 

3.4.3      
Retained Property Reimbursement/EA2 Reimbursement. LIMCO shall reimburse Company for that amount
equal to its fair share percentage of those Project costs set forth in Exhibit G attached hereto which the parties have agreed
all benefit the Retained Property which shall be calculated upon completion of the Superpad Improvements in the manner set forth
in Exhibit G (the “Retained Property Reimbursement”). LIMCO shall also reimburse Company for that amount equal
to its fair share percentage of those Project costs set forth in Exhibit H attached hereto which the parties have agreed all benefit
the EA2 Property calculated upon completion of the Improvements identified in Exhibit H in the manner set forth in Exhibit H (the
“EA2 Property Reimbursement”). All costs used in the foregoing calculations shall be actual costs paid to the
Contractors for any completed work, or the amount in any Approved Contracts for any work under contract but not yet completed,
or the estimate for the cost of any work in the Approved Budget not yet under contract. “Completion” as used herein
means final inspection and acceptance by the City for LIMCO to construct and occupy buildings on the Retained Property and certified
as complete by the Company’s civil engineer.

 

3.4.4      
Payment Arrangements. Reimbursements by LIMCO of amounts due under this Section 3.4 will be paid
within 45 days after receiving invoices from Company. If LIMCO reasonably disputes that an amount requested for payment by Company
is properly payable, LIMCO may withhold that amount pending resolution of the dispute. Except as provided in this Section 3.4
or otherwise specifically provided in this Agreement, Company shall pay all costs associated with its obligations under this Agreement.

 

    	 	7	 

     

    

 

 

3.4.5      
Books and Records. Company shall provide LIMCO and its representatives with reasonable access
to books and records regarding its billings under this Agreement and regarding the Superpad Project during the term of this Agreement
and for three years thereafter.

 

Article
4

DEFAULT AND TERMINATION 

 

4.1            
Events of Default. The occurrence of any of the following events (each,
an “Event of Default”) will constitute an event of default and the Party so defaulting (the “Defaulting
Party”) will thereafter be deemed to be in default without any further action whatsoever on the part of the other Party
(the “Non-Defaulting Party”) other than with respect to any notice specifically required by this Agreement:

 

		(a)	Bad Conduct by such Party or its Affiliate in connection with the Retained Property, the Superpad Project, or this Agreement;

		(b)	The occurrence of a Voluntary Bankruptcy Event or Involuntary Bankruptcy Event, as each such term is defined in the Company
LLC Agreement, with respect to the Defaulting Party; or

		(c)	The occurrence of any of the following events, except if the event is reasonably susceptible of cure, then the event will not
constitute an Event of Default unless and until such occurrence is not cured within a Cure Period after notice of such default
is given by the other Party:

 

		(i)	If any material representation, warranty, or other statement of fact made by that Party contained in this Agreement is materially
misleading in any material respect;

		(ii)	A Party fails to perform any other material obligation or act required of that Party by the provisions of this Agreement;

		(iii)	Any transfer by a Party in violation of Section 5.9.1; or

		(iv)	Any other material breach by a Party of this Agreement.

 

4.2            
Remedies. With respect to each Event of Default, the Non-Defaulting
Party will have all rights and remedies set forth in this Agreement and all available remedies at law and in equity. Notwithstanding
any termination of this Agreement, Company’s obligation to effect the Subdivision under Section 2.1 and reconvey the Retained
Property to LIMCO or its designee under Section 2.3 will not terminate and will continue until these obligations are satisfied,
subject to LIMCO’s rights to require specific performance of these obligations if an Event of Default by Company includes
Company’s failure to perform these obligations.

 

Article
5

GENERAL PROVISIONS

 

5.1            
MUTUAL ACCESS RIGHTS. LIMCO acknowledges that Company may need licenses or easements with respect to portions
of the Retained Property in order to develop and use the Project (as defined in the Company LLC Agreement) as intended, and Company
acknowledges that LIMCO may need licenses or easements with respect to portions of the Property in order to develop and use the
Retained Property for its intended purpose after the completion of the Superpad Project. Each Party shall cooperate to grant such
access and construction rights and easements, grading and slope easements, drainage rights, and other reasonable rights as may
be reasonably requested by the other Party from time to time to effect the purposes described in this Section, as long as the
requested rights do not unreasonably burden the Party granting the rights. This Section will survive the completion of the Superpad
Project, until completion of the Project.

 

    	 	8	 

     

    

 

5.2            
Indemnification.

 

5.2.1      
Indemnification by Company. To the fullest extent permitted by Applicable Laws, Company shall indemnify
and defend LIMCO and its managers, officers, directors, employees, and agents from and against all claims, demands, damages, losses,
liabilities, Liens, and expenses, including reasonable attorneys’ fees and dispute-related costs (collectively, “Claims”),
to the extent arising out of or relating to (a) the negligent acts or omissions of Company or Manager or any Manager Affiliate
(collectively, “Company Parties”), in connection with the Retained Property or the Superpad Project, (b) any
breach by Company of a requirement of this Agreement, (c) any Bad Conduct of Company or Lewis Manager or any of its Affiliates
in connection with any matter related to this Agreement, or (d) any breach or violation of a Government Agreement, Project Entitlement,
or Pre-Closing Agreement by Company. Notwithstanding the foregoing, Company is not obligated to defend or indemnify LIMCO to the
extent the Claim arises out of the negligence or Bad Conduct of any LIMCO Parties. Company’s obligations under this Section
will survive any termination of this Agreement.

 

5.2.2      
Indemnification by LIMCO. To the fullest extent permitted by Applicable Laws, LIMCO shall indemnify
and defend Company from and against all Claims to the extent arising out of or relating to (a) the negligent acts or omissions
of LIMCO, Limoneira or any of their Affiliates (collectively, “LIMCO Parties”), in connection with the Retained
Property or the Superpad Project, (b) any breach by LIMCO of a requirement under this Agreement, (c) any Bad Conduct of any LIMCO
Parties in connection with any matter related to this Agreement, (c) Company’s holding of legal title to the Retained Property
prior to the Reconveyance, except to the extent caused by any negligent acts or omissions of any Company Parties or (d) any breach
or violation of a Government Agreement, Project Entitlement, or Pre-Closing Agreement by LIMCO. Notwithstanding the foregoing,
LIMCO is not obligated to defend or indemnify Company to the extent the Claim arises out of the negligence or Bad Conduct of any
Company Parties. LIMCO’s obligations under this Section will survive any termination of this Agreement.

 

5.2.3      
Limitation on Indemnities. Before enforcing its rights under Section 5.2.1 or 5.2.2 (as applicable),
each Party shall first seek defense and indemnity from any insurer that may provide coverage for the Claim (i.e., under
a policy with respect to which that Party is included as an insured or additional insured), regardless of the cause of that Claim,
and each Party’s obligations under this Section 5.2 will apply only to the extent that defense and indemnity is not timely
provided by any applicable insurer.

 

5.3            
subrogation waiver. LIMCO and Company waive all rights against each other and against each other’s contractors
and their subcontractors of every tier and the agents and employees of each of the foregoing, for damages caused by fire or other
causes of loss occurring on and after the date on which this Agreement is executed to the extent those damages are covered by
property insurance carried by the waiving Party. Neither Party waives any right to recover deductibles or amounts not covered
due to deductibles or self-insured retentions.

 

5.4            
Liens. Subject to reimbursement by LIMCO as provided in Section 3.4, and subject to Limoneira making all Capital Contributions
and Member Loans as and when required under the Company LLC Agreement, Company shall pay when due all third-party obligations
it incurs in connection with its obligations under this Agreement. LIMCO is not responsible for payments to Contractors. Company
shall keep the Retained Property, the EA2 Property, the Superpad Project, and funds related to the Superpad Project free from
all mechanics’ and materialmen’s liens (including stop payment notices) and all other liens, legal or equitable, arising
out of the Superpad Project or the Project, other than liens attributable to LIMCO’s failure to make proper payment as required
in this Agreement. If any lien is recorded against the Retained Property or EA2 Property by any Consultant or Contractor, or any
of their subconsultants or subcontractors, or any other person claiming by, through, or under Company (other than liens attributable
to LIMCO’s failure to make proper payment or Limoneira’s failure to make all Capital Contributions and Member Loans
as and when required under the Company LLC Agreement), Company shall discharge or bond over the lien, and cause it to be removed
of record, within 30 days after it was recorded. Company’s obligations under this Section will survive final completion
of the Superpad Project.

 

    	 	9	 

     

    

 

 

5.5            
Time.

 

5.5.1      
Time is of the Essence. Subject to Section 5.5.2, time is of the essence with respect to this
Agreement.

 

5.5.2      
Force Majeure Extensions. Either Party (for purposes of this Section, the “Non-Performing
Party”) will be entitled to an extension of its time-sensitive obligations under this Agreement to the extent the Non-Performing
Party’s non-performance of its obligation is due to Force Majeure, on condition that (a) the Non-Performing Party notifies
the other Party of the Force Majeure and anticipated delay within 30 days after the Force Majeure event occurs and (b) the Non-Performing
Party continues to diligently attempt to overcome the Force Majeure and perform its obligation.

 

5.5.3      
Calendar Days. Except as otherwise provided in this Agreement, the term “day” refers
to calendar days.

 

5.6            
Notices.

 

5.6.1      
Formal Communications. Any notice, demand, request or communication required or permitted to be
given by any provision of this Agreement shall be in writing and shall be delivered personally to the Party to whom the same is
directed, sent by registered or certified mail, return receipt requested, or sent by Federal Express or any other courier service
guaranteeing overnight delivery, addressed to the Party at the address appearing below such Party’s name in this Section
or by electronic transmission to the electronic mail address set below such Party’s name (followed by notice by mail sent
in the manner described above, or by Federal Express or other courier service):

 

	
        If to LIMCO:

         

	  	Limoneira
	  	1141 Cummings Road
	 	
        Santa Paula, California 93060

	  	Attention:	Mr. Harold Edwards
	 	Email:   	hedwards@limoneira.com
	 	 	 
	 	With a copy to:
	 	Pircher, Nichols & Meeks
	 	1925 Century Park East, Suite 1700
	 	Los Angeles, California 90067
	 	Attention:	Real Estate Notices (KMH/AMP 5735.2)
	 	Email:	realestatenotices@pircher.com
	 	 	khogaboom@pircher.com

 

    	 	10	 

     

    

 

	If to Company:
	 
	 	Lewis Santa Paula Member, LLC
	 	1156 N. Mountain Avenue
	 	Upland, California 91786
	 	Attention:	John M. Goodman
	 	Email:	john.goodman@lewisop.com
	 	 	 
		With a copy to:
	 	 
	 	Lewis Operating Corp.
	 	1156 N. Mountain Avenue
	 	Upland, California 91786
	 	Attention:	W. Bradford Francke, Esq.
	 	Email:	brad.francke@lewisop.com
	 	 	 
		and to:
	 	 	 
	 	Limoneira
	 	1141 Cummings Road
	 	Santa Paula, California 93060
	 	Attention:	Mr. Harold Edwards
	 	Email:	hedwards@limoneira.com
	 	 	 
	 	and to:
	 	 
	 	Pircher, Nichols & Meeks
	 	1925 Century Park East, Suite 1700
	 	Los Angeles, California 90067
	 	Attention:	Real Estate Notices (KMH/MDS 5735.2)
	 	Email:   	realestatenotices@pircher.com
	 	 	khogaboom@pircher.com

 

or to such other address as each Party may from time to time
specify by notice in accordance with this Section. Any such notice shall be deemed to have been delivered, given, and received
for all purposes as of the date so delivered, at the applicable address; provided that notices received on a day that is not a
Business Day, or after 5:00 p.m. (at the location to which delivery is to be made) on a Business Day shall be deemed received on
the next Business Day. Notice to a Party shall not be effective unless and until each required copy of such notice specified in
this Section (or as the Parties may from time to time specify by notice in accordance with this Section) is given. The inability
to deliver a notice because of a changed address of which no notice was given or an inoperative facsimile number for which no notice
was given of a substitute number, or any rejection or other refusal to accept any notice, shall be deemed to be the receipt of
the notice as of the date of such inability to deliver or rejection or refusal to accept. Any notice to be given by any Party hereto
may be given by legal counsel for such Party.

 

5.6.2      
Routine Communications. Notwithstanding Section 5.6.1, the Parties may send routine approvals and other routine
communications under this Agreement via email to the representative(s) designated by the other Party to represent it in connection
with this Agreement without needing to also send the notice by the other means required in the first sentence of Section 5.6.

 

    	 	11	 

     

    

 

5.7            
Provisions Related to Disputes.

 

5.7.1      
Dispute Resolution Process.

 

5.7.1.1     Initiating
Disputes. Each and every controversy, dispute, or claim between the Parties arising out of or relating to this Agreement or
the transactions contemplated hereby (“Dispute”) that is not settled in writing within 30 days after the date
(the “Claim Date”) upon which any such Party gives written notice to the other that a Dispute exists, must
be submitted for binding adjudication to a reference proceeding in California, without a jury, in accordance with the provisions
of Section 638, et seq. of the California Code of Civil Procedure (“CCP”), or their successor sections. The
procedures in this Section 5.7.1 constitute the exclusive means for the resolution of any such Dispute, including, without limitation,
whether such Dispute is subject to such reference proceedings and regardless of whether such Dispute includes any tort claims.

 

5.7.1.2     Referee
Appointment. The referee must be a retired Judge of the Superior Court in Ventura County (the “Court”)
selected by mutual agreement of the parties to the Dispute, and if they cannot so agree within 30 days after the Claim Date, then
the referee will be promptly selected by the Presiding Judge of the Court (or his or her representative) and in accordance with
CCP §640. The referee will be appointed to sit as a temporary judge, with all of the powers for a temporary judge, as authorized
by law, and upon selection should take and subscribe to the oath of office as provided for in Rule 244 of the California Rules
of Court (or any subsequently enacted Rule). Each party will have one peremptory challenge of a referee selected by the Court
pursuant to CCP §170.6. The referee will (a) be requested to set the matter for hearing within 90 days after the referee’s
appointment, and (b) try any and all issues of law or fact and report a statement of decision upon them, if possible, within 30
days after all parties have rested and the case has been submitted for decision. Any decision rendered by the referee will be
final, binding and conclusive (except as otherwise provided expressly in this Agreement) and judgment thereon must be entered
pursuant to CCP §644 in any court in the State of California having jurisdiction.

 

5.7.1.3     Dispute
Resolution. Any party may apply for a reference proceeding by filing a petition for a hearing and/or trial by reference pursuant
to CCP §638 at any time after the earlier of (a) 30 days following notice of the Claim Date, or (b) commencement by a Party
of a regular (non-reference) legal action involving a Dispute. All discovery permitted herein will be at the discretion of the
referee and must be completed no later than 15 days before the first hearing (trial) date established by the referee. The referee
may extend such period in the event of a party’s refusal to provide requested discovery for any reason whatsoever, including,
without limitation, legal objections raised to such discovery or unavailability of a witness due to absence or illness. No party
shall be entitled to “priority” in conducting discovery. Subject to the discretion of the referee, depositions may
be taken by either party upon seven days’ written notice, and request for production or inspection of documents must be
responded to within 14 days after service. All disputes relating to discovery that cannot be resolved by the parties must be submitted
to the referee whose decision shall be final and binding upon the parties. Pending appointment of the referee as provided herein,
the Court is empowered to issue temporary and/or provisional remedies, as appropriate.

 

5.7.1.4     Manner
of Proceedings. Except as expressly set forth herein, the referee shall determine the manner in which the reference proceeding
is conducted including the time and place of all hearings, the order of presentation of evidence and all other questions that
arise with respect to the course of the reference proceeding. All proceedings and hearings conducted before the referee, except
for trial, shall be conducted without a court reporter except that when any party so requests, a court reporter will be used at
any hearing conducted before the referee. The party making such a request shall have the obligation to arrange for and pay for
the court reporter. The costs of the court reporter at the trial shall be borne equally by the parties. All other costs shall
be divided equally between all of the parties to the proceeding; provided, however, that such costs, along with all other costs
and expenses, including, without limitation, attorneys’ fees, shall be subject to award, in full or in part, by the referee,
in the referee’s discretion, to the prevailing party. Unless the referee so awards attorneys’ fees, each party will
be responsible for such party’s own attorneys’ and expert witness fees and costs.

 

    	 	12	 

     

    

 

5.7.1.5     Determination
of Issues. The referee shall determine all issues in accordance with existing case law and the statutory law of the State
of Delaware; provided, however, that the referee shall apply the rules of civil procedure and evidence applicable to proceedings
at law in the State of California. The referee will be empowered to enter equitable as well as legal relief, to provide all temporary
and/or provisional remedies and to enter equitable orders that will be binding upon the parties. The referee shall issue written
findings of fact and conclusions of law, a written statement of decision, and a single judgment at the close of the reference
proceeding that shall dispose of all of the claims of the parties that are the subject of the reference. The Parties expressly
reserve the right to contest or appeal from the final judgment or any appealable order or appealable judgment entered by the referee.
The Parties also expressly reserve the right to move for a new trial or a different judgment, which new trial, if granted, is
also to be a reference proceeding under this provision.

 

5.7.2      
JURY TRIAL WAIVER. TO THE FULLEST EXTENT PERMITTED BY LAW, THE PARTIES HERETO EACH WAIVE THEIR RESPECTIVE RIGHTS
TO A TRIAL BY JURY OF ANY DISPUTE IN ANY ACTION, PROCEEDING, OR OTHER LITIGATION OF ANY TYPE BROUGHT BY EITHER OF THE PARTIES
AGAINST ANY OTHER PARTY OR ANY ASSIGNEE, WHETHER WITH RESPECT TO CONTRACT CLAIMS, TORT CLAIMS, OR OTHERWISE. THE PARTIES HERETO
EACH AGREE THAT ANY SUCH CLAIM OR CAUSE OF ACTION SHALL BE TRIED BY A REFERENCE PROCEEDING AS PROVIDED ABOVE BUT THIS WAIVER SHALL
BE EFFECTIVE EVEN IF, FOR ANY REASON WHATSOEVER, SUCH CLAIM OR CAUSE OF ACTION CANNOT BE TRIED BY SUCH REFERENCE PROCEEDING. WITHOUT
LIMITING THE FOREGOING, THE PARTIES FURTHER AGREE THAT THEIR RESPECTIVE RIGHT TO A TRIAL BY JURY IS WAIVED BY OPERATION OF THIS
SECTION AS TO ANY ACTION, COUNTERCLAIM, OR OTHER PROCEEDING THAT SEEKS, IN WHOLE OR IN PART, TO CHALLENGE THE VALIDITY OR ENFORCEABILITY
OF THIS AGREEMENT OR ANY PROVISION HEREOF. THIS WAIVER WILL APPLY TO ANY SUBSEQUENT AMENDMENTS, RENEWALS, SUPPLEMENTS, OR MODIFICATIONS
TO THIS AGREEMENT.

 

5.7.3      
Severability. Every provision of this Agreement is intended to be severable. If any term or provision
hereof is illegal, invalid, or unenforceable for any reason, then such illegality, invalidity, or unenforceability will not affect
the legality, validity, or enforceability of the remainder of this Agreement.

 

5.7.4      
Governing Law. The laws of the State of Delaware (without reference to the rules regarding conflict
or choice of laws of such State) govern the construction and interpretation of this Agreement.

 

5.7.5      
No Waiver. The failure of either Party to seek redress for violation, or to insist upon the strict
performance, of any covenant, agreement, provision or condition of this Agreement will not constitute a waiver of the terms of
such covenant, agreement, provision or condition at subsequent times, or of the terms of any other covenant, agreement, provision
or condition of this Agreement.

 

5.7.6      
Attorneys’ Fees. If any proceeding is commenced by any Party that arises out of, or relates
to, this Agreement (including any reference proceeding), the prevailing Party in such proceeding shall be entitled to recover
reasonable attorneys’ and expert witness fees and costs. Any judgment or order entered in any legal proceeding shall contain
a specific provision providing for the recovery of all costs and expenses of suit including, without limitation, reasonable attorneys’
and expert witness fees, costs and expenses incurred in connection with (a) enforcing, perfecting and executing such judgment;
(b) post-judgment motions; (c) contempt proceedings; (d) garnishment, levy, and debtor and third-party examinations; (e) discovery;
and (f) bankruptcy litigation.

 

    	 	13	 

     

    

 

 

5.8            
Interpretational Matters.

 

5.8.1      
Construction. Every covenant, term, and provision of this Agreement is to be construed simply
according to its fair meaning and not strictly for or against any Party.

 

5.8.2      
Entire Agreement. This Agreement constitutes the entire agreement between the Parties with respect
to the subject matter of this Agreement, and supersedes all other prior agreements, whether written or oral, between the Parties
that relate to the subject matter of this Agreement. No modification of this Agreement be effective unless it is made in a writing
executed by the Parties.

 

5.8.3      
Headings. Section and other headings contained in this Agreement are for reference purposes only
and are not intended to describe, interpret, define, or limit the scope, extent, or intent of this Agreement or any provision
hereof.

 

5.8.4      
Binding Agreement. Subject to the restrictions on transfers set forth herein, this Agreement will
inure to the benefit of and be binding upon Company and LIMCO, and their respective successors and assigns. Whenever in this instrument
a reference is made to Company or LIMCO, such reference will be deemed to include a reference to that Party’s successors
and assigns.

 

5.9            
General Provisions.

 

5.9.1      
Assignment. Company shall not assign any of its rights or obligations under this Agreement, whether
by operation of law or otherwise, without LIMCO’s prior approval, and any assignment without LIMCO’s consent will
be void. LIMCO shall not assign any of its rights or obligations under this Agreement, whether by operation of law or otherwise,
without Company’s prior approval, and any assignment without Company’s consent will be void, except LIMCO may assign
this Agreement without Company’s consent to any Affiliate of LIMCO.

 

5.9.2      
Further Instruments. Each Party, upon the request of the other Party, shall perform further reasonable
acts and execute, acknowledge, and deliver any documents that may be reasonably necessary, appropriate, or desirable to carry
out the provisions of this Agreement.

 

5.9.3      
No Joint Venture or Partnership. Company’s relationship to LIMCO under this Agreement is
that of an independent contractor. LIMCO and Company are not joint venturers or partners in connection with the undertakings provided
in this Agreement.

 

5.9.4      
Execution In Counterparts; Electronic Signatures. This Agreement may be executed in any number
of counterparts, each of which may be executed by only one Party, each of which will be enforceable against the Party actually
executing such counterpart, and all of which together will constitute one and the same agreement. Executed copies of the signature
pages of this Agreement sent by facsimile or transmitted electronically as an attachment to an email will be treated as originals,
fully binding and with full legal force and effect, and the Parties waive any rights they may have to object to such treatment.

 

    	 	14	 

     

    

 

5.9.5      
Exhibits. The following exhibits are attached to, and form a part of, this Agreement:

 

	Exhibit A.	Description of the Property
	Exhibit B.	Depiction of the Retained Property
	Exhibit B-1	Depiction of EA2 Property
	Exhibit C.	Reconveyance Escrow Instructions
	Exhibit D.	Retained Property Deed
	Exhibit E.	Description of Superpad Improvements
	Exhibit F.	Title Report
	Exhibit G.	Retained Property Reimbursement Schedule
	Exhibit H.	EA2 Property Reimbursement Schedule

 

    	 	15	 

     

    

 

The parties have executed this Agreement
as of the date stated at the beginning of this Agreement.

 

LIMCO:

 

LIMONEIRA COMPANY,

a Delaware corporation

 

By:/s/ Joseph D. Rumley

Name:  Joseph D. Rumley

Title: Chief Financial Officer

  

 

    	 	 	 

     

    

 

 

COMPANY:

 

LIMONEIRA LEWIS COMMUNITY BUILDERS, LLC,

a Delaware limited liability company

 

	By:	Lewis Santa Paula Member, LLC,
	 	a Delaware limited liability company,
	 	its Manager
	 	 	 	 
	 	By:	Lewis Operating Corp.,
	 	 	a California corporation,
	 	 	its Manager
	 	 	 	 
	 	 	By:	/s/ John M. Goodman
	 	 	Name:	John M. Goodman
	 	 	Its:	Senior Vice PresidentExhibit

Exhibit 4.1
AGREEMENT AND AMENDMENT NO. 1 TO CREDIT AGREEMENT

This Agreement and Amendment No. 1 to Credit Agreement (this “Agreement”) dated as of November 16, 2015 (the “Amendment Effective Date”) is among Oceaneering International, Inc., a Delaware corporation (the “Borrower”), the Lenders (as defined below) party hereto and Wells Fargo Bank, National Association, as administrative agent (in such capacity, the “Administrative Agent”) for the Lenders and as Swing Line Lender.
INTRODUCTION
A.    The Borrower, the Administrative Agent, the Swing Line Lender and the lenders party thereto from time to time (the “Lenders”) are parties to that certain Credit Agreement dated as of October 27, 2014 (the “Credit Agreement”).
B.    The Borrower has requested that (i) each Revolving Lender extend its Revolving Maturity Date for an additional one-year period, (ii) each Term Lender extend its Term Maturity Date for an additional one-year period and (iii) the Majority Lenders agree to certain amendments to the Credit Agreement, in each case, as provided herein and subject to the terms and conditions set forth herein.
THEREFORE, in consideration of the premises and the mutual covenants, representations and warranties contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:
Section 1.Defined Terms; Other Definitional Provisions.  As used in this Agreement, each of the terms defined in the opening paragraph and the recitals above shall have the meanings assigned to such terms therein.  Each term defined in the Credit Agreement and used herein without definition shall have the meaning assigned to such term in the Credit Agreement, unless expressly provided to the contrary. Article, Section, Schedule, and Exhibit references are to Articles and Sections of and Schedules and Exhibits to this Agreement, unless otherwise specified.  The words “hereof”, “herein”, and “hereunder” and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement.  The term “including” means “including, without limitation,”.  Paragraph headings have been inserted in this Agreement as a matter of convenience for reference only and it is agreed that such paragraph headings are not a part of this Agreement and shall not be used in the interpretation of any provision of this Agreement.
Section 2.    Amendments to Credit Agreement.  
(a)    Section 1.1 (Certain Defined Terms) of the Credit Agreement is hereby amended by adding the following new defined terms to appear in appropriate alphabetical order therein:
 “Total Capitalization Ratio” means, as of any date of calculation, the ratio (expressed as a percentage) of (a) Consolidated Debt as of such date to (b) Total Capitalization as of such date.
“Total Capitalization” means, as of any date of calculation, the sum of Consolidated Debt plus the Consolidated Adjusted Net Worth (determined as at the end of the most recent fiscal quarter of the Borrower for which financial statements pursuant to Section 5.2(a) or Section 5.2(b), as applicable, have been delivered).

(b)    Section 1.1 (Certain Defined Terms) of the Credit Agreement is hereby further amended by replacing the definitions for “Consolidated Adjusted Net Worth” and “Consolidated EBITDA” in their entirety with the following corresponding terms:
 “Consolidated Adjusted Net Worth” means as of the date of any determination thereof, Consolidated Net Worth, excluding, to the extent included in the determination of Consolidated Net Worth, any accumulated foreign currency translation adjustments and impairments as determined in accordance with GAAP.
“Consolidated EBITDA” for any period means the sum of (a) Consolidated Net Income during such period plus (to the extent deducted in determining Consolidated Net Income), (b) all provisions for any Federal, state or local income taxes made by the Borrower and its Subsidiaries during such period, (c) all provisions for depreciation and amortization (other than amortization of debt discount) made by the Borrower and its Subsidiaries during such period, (d) any other non-cash charge to the extent such non-cash charge reduces Consolidated Net Income (as reduced by any adjustment for the amount of cash pay-outs of non-cash charges from prior fiscal periods), and (e) Consolidated Interest Expense during such period, all determined on a consolidated basis in accordance with GAAP.
(c)    Section 6.13 (Maximum Leverage Ratio) of the Credit Agreement is hereby deleted and replaced in its entirety with the following:
Section 6.13    Total Capitalization Ratio.    The Borrower shall not permit the Total Capitalization Ratio to be greater than 55% at any time.
(d)    Exhibits B  - Form of Compliance Certificate to the Credit Agreement is hereby replaced in its entirety with the Exhibit B – Form of Compliance Certificate attached hereto.
Section 3.    Extensions of Maturity Dates.  Pursuant to Section 2.17 of the Credit Agreement, the Borrower hereby requests that each Lender extend its respective scheduled Revolving Maturity Date by one year to October 25, 2020 and its respective scheduled Term Maturity Date by one year to October 27, 2018.  Each Lender that delivers an executed signature page to this Agreement to the Administrative Agent hereby agrees to such one-year extensions as to its respective Revolving Maturity Date and Term Maturity Date (each, an “Extending Lender”).  Each party hereto hereby (a) agrees that the extensions of the Maturity Dates provided in this Section 3 are deemed to be extensions effected in accordance with Section 2.17 of the Credit Agreement, (b) waives any advance notice requirements required under Section 2.17 of the Credit Agreement solely as to the extensions provided in this Section 3, and (c) the “Extension Effective Date” for the extensions provided in this Section 3 shall be the Amendment Effective Date.  Each Lender that is not party hereto is a Declining Lender and such Declining Lender’s Commitments shall be terminated as and when provided in Section 2.17(b) of the Credit Agreement unless otherwise provided pursuant to the terms of the Credit Agreement.  The amount of each Extending Lender’s Revolving Commitment and outstanding Term Advances on the Extension Effective Date are as set forth on Schedule A attached hereto.
Section 4.    Representations and Warranties.  The Borrower represents and warrants that: (a) after giving effect to this Agreement, the representations and warranties contained in the Credit Agreement, as amended hereby, and the representations and warranties contained in the other Credit Documents are true and correct in all material respects (except that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof) on and as of the Amendment Effective Date as if made on as and as of such date except to the extent that any such representation or warranty expressly relates solely to an earlier date, in which case such representation or warranty is true and correct in all material respects (except that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof) as of such earlier date; (b) after giving effect hereto, no Event of Default has occurred and is continuing; (c) the execution, delivery and performance of this Agreement are within the corporate, partnership, or limited liability company power, as applicable, and authority of the Borrower and have been duly authorized by appropriate governing action and proceedings; (d) this Agreement constitutes the legal, valid, and binding obligation of the Borrower enforceable in accordance with its terms, except as limited by applicable bankruptcy, insolvency, 

reorganization, moratorium, or similar laws affecting the rights of creditors generally and general principles of equity; and (e) there are no governmental or other third party consents, licenses and approvals required in connection with the execution, delivery, performance, validity and enforceability of this Agreement.
Section 5.    Conditions to Effectiveness.  This Agreement shall become effective on the Amendment Effective Date and enforceable against the parties hereto upon the occurrence of the following conditions which may occur prior to or concurrently with the closing of this Agreement:  
(a)    The Administrative Agent shall have received this Agreement executed by the Borrower, the Administrative Agent, the Swing Line Lender, the Majority Revolving Lenders and the Majority Term Lenders;
(b)    The Administrative Agent shall have received a certificate of good standing for the Borrower in the state in which it is organized, which certificate shall be (A) dated a date not earlier than 30 days prior to Amendment Effective Date or (B) otherwise effective on the Amendment Effective Date;
(c)    The Administrative Agent shall have received a secretary’s certificate for the Borrower executed by the appropriate officer and certifying (A) the incumbency of the officers of the Borrower who will be executing this Agreement, (B) authorizing resolutions with respect to this Agreement or resolutions adopted in connection with the original closing of the Credit Agreement that authorized any extensions of the Maturity Date and other amendments to the Credit Agreement, which resolutions have not been revoked, and (C) the organizational documents of the Borrower or that such organizational documents certified in connection with the original closing of the Credit Agreement have not been amended, supplemented or otherwise modified and that such organizational documents remain in full force and effect as of the Amendment Effective Date;
(d)    The Administrative Agent shall have received an executed certificate signed by a Responsible Officer of the Borrower, certifying that, immediately before and immediately after giving effect to the extensions provided in Section 3, (i) all representations and warranties made by the Borrower in the Credit Agreement are true and correct in all material respects (except that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof), unless such representation or warranty relates to an earlier date which remains true and correct in all material respects as of such earlier date (except that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof) except that for purposes of the representations or warranties set forth Section 4.4(a) and Section 4.4(b) of the Credit Agreement shall be deemed to refer to the most recent financial statements furnished pursuant to Section 5.2(a) of the Credit Agreement, and (ii) no Event of Default exists or would be caused by such extensions; and
(e)    The Borrower shall have (i) paid all reasonable fees and expenses of the Administrative Agent's outside legal counsel pursuant to all invoices presented for payment on or prior to the Amendment Effective Date, (ii) paid the extension and amendment fee required under Section 6(d) below, and (iii) executed and delivered such fee letter requested by Wells Fargo Securities, LLC and paid the fees agreed to therein. 
Section 6.    Acknowledgments and Agreements.  
(a)    The Borrower acknowledges that on the date hereof all outstanding Obligations are payable in accordance with their terms and the Borrower waives any defense, offset, counterclaim or recoupment with respect thereto.  The Borrower, Administrative Agent, Swing Line Lender and each Lender does hereby adopt, ratify, and confirm the Credit Agreement, as amended hereby, and acknowledges and agrees that the Credit Agreement, as amended hereby, is and remains in full force and effect, and the Borrower acknowledges and agrees that its liabilities and obligations under the Credit Agreement, as amended hereby, are not impaired in any respect by this Agreement.
(b)    Nothing herein shall constitute a waiver or relinquishment of (i) any Default or Event of Default under any of the Credit Documents, (ii) any of the agreements, terms or conditions contained in any of the Credit Documents (except as expressly set forth in Sections 2 and 3 of this Agreement), (iii) any rights or remedies of the Administrative 

Agent or any Lender with respect to the Credit Documents, or (iv) the rights of the Administrative Agent, the Swing Line Lender or any Lender to collect the full amounts owing to them under the Credit Documents.
(c)    From and after the Amendment Effective Date, all references to the Credit Agreement and the Credit Documents shall mean the Credit Agreement and such Credit Documents, as amended by this Agreement.  This Agreement is a Credit Document for the purposes of the provisions of the other Credit Documents.  Without limiting the foregoing, any breach of representations, warranties, and covenants under this Agreement shall be a Default or Event of Default, as applicable, under the Credit Agreement.
(d)    The Borrower shall pay to the Administrative Agent, for the account of each Lender executing this Agreement and delivering a facsimile, e-mail or original of its signature pages to this Agreement to the Administrative Agent (or its counsel), an extension and amendment fee equal to 0.03% times the sum of (i) such Lender's Revolving Commitment plus (ii) such Lender’s outstanding Term Advance.   Such fee (A) is payable in U.S. dollars in immediately available funds, free and clear of, and without deduction for, any and all present or future applicable taxes, levies, imposts, deductions, charges or withholdings and all liabilities with respect thereto (with appropriate gross-up for withholding taxes to the extent that such taxes are Indemnified Taxes), (B) is not refundable under any circumstances, (C) will not be subject to counterclaim setoff or otherwise affected, (D) is deemed fully earned by each Lender once its signature page is delivered as provided above, and (E) is due and payable on the Amendment Effective Date.
Section 7.    Counterparts; Successors and Assigns; Severability.  This Agreement may be signed in any number of counterparts, each of which shall be an original and all of which, taken together, constitute a single instrument.  This Agreement may be executed by facsimile or by e-mail (PDF) signature and all such signatures shall be effective as originals.  This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns permitted pursuant to the Credit Agreement.  In the event that any one or more of the provisions contained in this Agreement shall for any reason be held invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision of this Agreement.
Section 8.    Governing Law.  This Agreement shall be deemed a contract under, and shall be governed by, and construed and enforced in accordance with, the laws of the State of New York without regard to conflicts of laws principles (other than Sections 5-1401 and 5-1402 of the General Obligations Law of the State of New York). 
Section 9.    Integration.  THIS WRITTEN AGREEMENT AND THE OTHER CREDIT DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES AND SUPERSEDE ALL PRIOR UNDERSTANDINGS AND AGREEMENTS, WHETHER WRITTEN OR ORAL, RELATING TO THE TRANSACTIONS PROVIDED FOR HEREIN AND THEREIN.  ADDITIONALLY, THIS AGREEMENT AND THE CREDIT DOCUMENTS MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.
IN EXECUTING THIS AGREEMENT, THE BORROWER HEREBY WARRANTS AND REPRESENTS IT IS NOT RELYING ON ANY STATEMENT OR REPRESENTATION OTHER THAN THOSE IN THIS AGREEMENT AND IS RELYING UPON ITS OWN JUDGMENT AND ADVICE OF ITS ATTORNEYS.
[The remainder of this page has been left blank intentionally.]

EXECUTED to be effective as of the date first above written.
BORROWER:
OCEANEERING INTERNATIONAL, INC.
By:    /S/ ROBERT P. MINGOIA        
Robert P. Mingoia
Vice President and Treasurer 

ADMINISTRATIVE AGENT/LENDERS:
WELLS FARGO BANK,
NATIONAL ASSOCIATION
as Administrative Agent, Swing Line Lender, 
Revolving Lender and Term Lender
By:    /S/ CORBIN WOMAC        
Corbin Womac
Director 

DNB CAPITAL LLC
as Revolving Lender and Term Lender
By:    /S/ JILL ILSKI                           
Name:    Jill Ilski                           
Title:    First Vice President            
By:    /S/ JOE HYKLE                                  
Name:    Joe Hykle                                
Title:    Senior Vice President                            

HSBC BANK USA, NATIONAL ASSOCIATION
as Revolving Lender and Term Lender
By:    /S/ DOUGLAS A. WHIDDON             
Name:    Douglas A. Whiddon            
Title:    Director                              

JPMORGAN CHASE BANK, N.A.
as Revolving Lender and Term Lender
By:    /S/ GREGORY GEORGE             
Name:    Gregory George                       
Title:    Managing Director                                      

BANK OF AMERICA, N.A.
as Revolving Lender and Term Lender
By:    /S/ PACE DOHERTY                  
Name:    Pace Doherty                          
Title:    Assistant Vice President              

STANDARD CHARTERED BANK
as Revolving Lender and Term Lender
By:    /S/ PRAMITA SABA                  
Name:    Pramita Saba                          
Title:    Executive Director              
        

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.
as Revolving Lender and Term Lender
By:    /S/ KEVIN SPARKS                  
Name:    Kevin Sparks                          
Title:    Vice President                        

CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH 
as Revolving Lender and Term Lender
By:    /S/ NUPUR KUMAR                  
Name:    Nupur Kumar                          
Title:    Authorized Signatory              

By:    /S/ MICHAEL MORENO                 
Name:    Michael Moreno                          
Title:    Authorized Signatory              

Schedule A to Agreement and Amendment No. 1 to Credit Agreement
(Oceaneering International, Inc.)

Schedule A

Revolving Commitments and Outstanding Term Advances on Extension Effective Date 
for Extending Lenders**
	
				
	Lender
	Revolving Commitment
	Term Advances
	Total

	Wells Fargo Bank, National Association
	$71,875,000
	$43,125,000
	$115,000,000

	DNB Capital LLC
	$71,875,000
	$43,125,000
	$115,000,000

	HSBC Bank USA, National Association
	$71,875,000
	$43,125,000
	$115,000,000

	JPMorgan Chase Bank, N.A.
	$71,875,000
	$43,125,000
	$115,000,000

	Bank of America, N.A.
	$50,000,000
	$30,000,000
	$80,000,000

	Standard Chartered Bank
	$50,000,000
	$30,000,000
	$80,000,000

	The Bank of Tokyo-Mitsubishi UFJ, Ltd.
	$50,000,000
	$30,000,000
	$80,000,000

	Credit Suisse AG, Cayman Islands Branch
	$31,250,000
	$18,750,000
	$50,000,000

	Total:
	$468,750,000
	$281,250,000
	$750,000,000

Revolving Commitments and Outstanding Term Advances on Extension Effective Date for 
Declining Lender**
	
				
	Lender
	Revolving Commitment
	Term Advance
	Total

	Barclays Bank PLC
	$31,250,000
	$18,750,000
	$50,000,000

	Total:
	$31,250,000
	$18,750,000
	$50,000,000

** Subject to termination, reduction, increase, assignment or other modification as provided in the Credit Agreement.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00251-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00251-of-00352.parquet"}]]