Document:

Exhibit 10.1

 

FOURTH AMENDMENT TO AMENDED AND
 RESTATED CREDIT AGREEMENT

 

THIS FOURTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”) is entered into as of May 23, 2012 by and among each of the persons listed on the signature pages hereto as lenders (the “Lenders”), Crosstex Energy, L.P., a Delaware limited partnership (the “Borrower”), and Bank of America, N.A., as administrative agent (in such capacity, the “Administrative Agent”) and L/C Issuer.

 

ARTICLE I

 

BACKGROUND

 

A.            The Lenders, the Administrative Agent, the L/C Issuer and the Borrower are parties to that certain Amended and Restated Credit Agreement dated as of February 10, 2010 (as amended, supplemented or restated, the “Credit Agreement”).  Terms defined in the Credit Agreement and not otherwise defined herein have the same meanings when used herein.

 

B.            The Borrower has requested, and the Lenders have agreed to amend the Credit Agreement as provided for herein and on the terms and conditions set forth herein.

 

ARTICLE II

 

AGREEMENT

 

NOW THEREFORE, in consideration of the covenants, conditions and agreements hereinafter set forth, and for other good and valuable consideration, the receipt and adequacy of which are all hereby acknowledged, the parties hereto covenant and agree as follows:

 

Section 1.              Amendments to the Credit Agreement.  The Credit Agreement is hereby amended as follows:

 

(a)           Section 1.01 of the Credit Agreement is amended by adding the following definitions in alphabetical order:

 

“Acquisition Period” means (a) the Clearfield Acquisition Period and (b) a period elected by the Borrower, such election to be exercised by the Borrower delivering written notice thereof to the Administrative Agent (who shall thereafter promptly notify the Lenders), commencing with the last day of the fiscal quarter in which any permitted Acquisition in excess of $50,000,000 is consummated and ending on the earlier of (i) the last day of the third fiscal quarter following the date on which such Acquisition Period commenced, and (ii) the date selected by the Borrower in its election to terminate such Acquisition Period, such election to be exercised by the Borrower delivering notice thereof to the Administrative Agent (who shall thereafter promptly notify the Lenders); provided, that, (x) once any Acquisition Period is in effect, the next Acquisition Period may not commence until the termination of such Acquisition Period then

 

1

 

in effect and (y) after giving effect to the termination of such Acquisition Period in effect, the Borrower shall be in compliance with the applicable provisions of Section 7.11(b) and no Default shall have occurred and be continuing.

 

“Clearfield Acquisition” means the acquisition by the Borrower, directly or indirectly, of all of the issued and outstanding Equity Interests of Clearfield Energy, Inc., a Pennsylvania corporation, pursuant to the Stock Purchase and Sale Agreement dated as of May 7, 2012, among Energy Equity Partners, L.P., as the seller, Crosstex Energy Services, L.P., as the buyer, Clearfield Energy, Inc., the subsidiaries of Clearfield Energy, Inc. party thereto, and the other parties thereto.

 

“Clearfield Acquisition Period” means a period beginning on the last day of the fiscal quarter in which the Clearfield Acquisition is consummated and ending on the earlier of (i) the last day of the fourth fiscal quarter following the date on which such Clearfield Acquisition Period commenced, and (ii) the date selected by the Borrower in its election to terminate such Clearfield Acquisition Period, such election to be exercised by the Borrower delivering notice thereof to the Administrative Agent (who shall thereafter promptly notify the Lenders); provided, that, after giving effect to the termination of such Clearfield Acquisition Period in effect, the Borrower shall be in compliance with the applicable provisions of Section 7.11(b) and no Default shall have occurred and be continuing.

 

“Clearfield Entities” means Clearfield Energy, Inc. and its Subsidiaries, without giving effect to any Subsidiaries or operating assets directly or indirectly owned by the Borrower prior to the closing of the Clearfield Acquisition.

 

“Fourth Amendment Effective Date” means May 23, 2012.

 

(b)           Section 1.01 of the Credit Agreement is amended by adding the following paragraph at the end of the definition of “Consolidated EBITDA”:

 

“For the purposes of calculating the Consolidated Leverage Ratio and the Consolidated Senior Leverage Ratio, Consolidated EBITDA shall be calculated as follows:

 

(i)                                     Consolidated EBITDA for the quarter ending September 30, 2012 shall be equal to (A) Consolidated EBITDA for the four quarter period then ended minus the Consolidated EBITDA attributable to the Clearfield Entities for such period plus (B) Consolidated EBITDA attributable to the Clearfield Entities for the quarter then ended, multiplied by four;

 

2

 

(ii)                                  Consolidated EBITDA for the quarter ending December 31, 2012 shall be equal to (A) Consolidated EBITDA for the four quarter period then ended minus the Consolidated EBITDA attributable to the Clearfield Entities for such period plus (B) Consolidated EBITDA attributable to the Clearfield Entities for the two quarters then ended, multiplied by two;

 

(iii)                               Consolidated EBITDA for the quarter ending March 31, 2013 shall be equal to (A) Consolidated EBITDA for the four quarter period then ended minus the Consolidated EBITDA attributable to the Clearfield Entities for such period plus (B) Consolidated EBITDA attributable to the Clearfield Entities for the three quarter period then ended, multiplied by 4/3; and

 

(iv)                              Consolidated EBITDA for each quarter ending on or after June 30, 2013 shall be equal to Consolidated EBITDA for the four quarter period then ended.”

 

(c)           Section 7.03(i)(i) of the Credit Agreement is restated in its entirety to read as follows:

 

“(i)          the Borrower is in compliance with Section 7.11(b) and (c) immediately after giving effect to the incurrence of any such Indebtedness or guaranty determined based upon the outstanding amount of Consolidated Funded Indebtedness immediately after giving effect to such incurrence, Consolidated EBITDA for the four fiscal quarters most recently ended on or before the date of such incurrence and the maximum Consolidated Leverage Ratio or the maximum Consolidated Senior Leverage Ratio, as applicable, allowed as of the end of the fiscal quarter most recently ended on or prior to the date of such incurrence (and in the case of any guaranty of Indebtedness of the Borrower or any other Affiliate of the Borrower, the aggregate amount of such Indebtedness so guaranteed shall be “Consolidated Funded Indebtedness” of the Borrower for purposes of calculating the Consolidated Leverage Ratio and Consolidated Senior Leverage Ratio), provided that, with respect to Indebtedness to be incurred in connection with the Clearfield Acquisition or another Acquisition for which the Borrower has delivered written notice electing to begin an Acquisition Period, the Consolidated Leverage Ratio shall be calculated as though an Acquisition Period had been in effect on the last day of the most recently ended fiscal quarter,”

 

(d)           Section 7.04(d)(iii) of the Credit Agreement is restated in its entirety to read as follows:

 

“(iii)        after giving effect to such Acquisition on a pro forma basis (including any Indebtedness of the acquired Person or related to the acquired assets), the Borrower would have been in compliance with all of

 

3

 

the covenants contained in this Agreement, including, without limitation, Section 7.11 as of the end of the most recent fiscal quarter, provided that, with respect to the Clearfield Acquisition or another Acquisition for which the Borrower has delivered written notice electing to begin an Acquisition Period, the Consolidated Leverage Ratio shall be calculated as though an Acquisition Period had been in effect on the last day of the most recently ended fiscal quarter,”

 

(e)           Section 7.11(b) of the Credit Agreement is restated in its entirety to read as follows:

 

“(b)         Consolidated Leverage Ratio.  Permit the Consolidated Leverage Ratio as of the end of any fiscal quarter of the Borrower (i) occurring other than during an Acquisition Period, to be greater than 5.00 to 1.00, and (ii) occurring during an Acquisition Period, to be greater than 5.50 to 1.00.”

 

Section 2.              Conditions Precedent.  This Amendment shall become effective as of the date first set forth above upon the satisfaction of the following conditions precedent:

 

(a)           The Administrative Agent shall have received each of the following:

 

(1)           this Amendment, duly executed by the Borrower, the Required Lenders, and the Administrative Agent;

 

(2)           the acknowledgment attached to this Amendment, duly executed by each Guarantor;

 

(3)           payment or evidence of payment of all reasonable fees and expenses owed by the Borrower to the Administrative Agent including, without limitation, the reasonable fees and expenses of Bracewell & Giuliani LLP, counsel to the Administrative Agent; and

 

(4)           such other documents, instruments and certificates as reasonably requested by the Administrative Agent and the Lenders.

 

(b)           The representations and warranties set forth in Section 3 of this Amendment shall be true and correct on and as of the date hereof.

 

Section 3.              Representations and Warranties.

 

(a)           The Borrower represents and warrants to the Lenders and the Administrative Agent as set forth below:

 

(1)           The Borrower (a) is duly organized or formed, validly existing and, as applicable, in good standing under the Laws of the jurisdiction of its incorporation or organization, and (b) has all requisite power and authority and all requisite governmental licenses, authorizations, consents and approvals to execute, deliver and perform its obligations under this Amendment.

 

4

 

(2)           The execution, delivery and performance by the Borrower of this Amendment have been duly authorized by all necessary corporate or other organizational action, and do not and will not (a) contravene the terms of any of the Borrower’s Organization Documents; (b) conflict with or result in any breach or contravention of, or the creation of any Lien under (other than Liens created under the Loan Documents), or require any payment to be made (other than payments required under any Loan Document) under (i) any Contractual Obligation to which the Borrower is a party or affecting the Borrower or its properties or any of its Subsidiaries or (ii) any order, injunction, writ or decree of any Governmental Authority or any arbitral award to which the Borrower or its property is subject; or (c) violate any Law; except in each case referred to in clause (b), to the extent that such conflict, breach, contravention or violation could not reasonably be expected to have a Material Adverse Effect.

 

(3)           No approval, consent, exemption, authorization, or other action by, or notice to, or filing with, any Governmental Authority or any other Person is necessary or required in connection with the execution, delivery or performance by, or enforcement against, the Borrower of this Amendment, except for such approvals, consents, exemptions, authorizations, other actions, notices and filings as have been obtained, taken, given or made and are in full force and effect and with which the Borrower and its Subsidiaries are in compliance in all material respects or which the failure to have would not result in a Material Adverse Effect.

 

(4)           This Amendment has been duly executed and delivered by the Borrower and acknowledged by each Guarantor.  This Amendment constitutes the legal, valid and binding obligation of the Borrower, enforceable against it in accordance with its terms, except as the enforceability thereof may be limited by bankruptcy, insolvency, moratorium, reorganization or other similar laws affecting creditors’ rights generally or by general principles of equity (regardless of whether such enforceability is considered in any proceeding in law or in equity).

 

(5)           The execution, delivery and performance of this Amendment do not adversely affect the enforceability of any Lien of the Collateral Documents.

 

(6)           Except as disclosed in Schedule 5.06 to the Credit Agreement, there is no pending or, to the knowledge of the Borrower, threatened action or proceeding affecting the Borrower or any Subsidiary before any Governmental Authority, referee or arbitrator that could reasonably be expected to have a Material Adverse Effect.

 

(7)           The representations and warranties made by the Borrower and the Guarantors contained in Article V of the Credit Agreement and in each of the other Loan Documents are true and correct in all material respects on and as of the date hereof, as though made on and as of such date, other than any such representations or warranties that, by the their terms, refer to a specific date, in

 

5

 

which case such representation or warranties are true and correct in all material respects as of such earlier specific date.

 

(8)           No event has occurred and is continuing, or would result from the effectiveness of this Amendment, which constitutes a Default.

 

(9)           As of the date hereof, the Borrower has no (a) Material Subsidiaries other than those listed on Schedule 3(a) and (b) non-Material Subsidiaries other than those listed on Schedule 3(b).

 

Section 4.              Reference to and Effect on the Credit Agreement.

 

(a)           On and after the effective date of this Amendment each reference in the Credit Agreement to “this Agreement,” “hereunder,” “hereof,” “herein” or words of like import shall mean and be a reference to the Credit Agreement as amended by this Amendment, and each reference in the other Loan Documents to “the Credit Agreement,” “thereunder,” “thereof,” “therein” or words of like import referring to the Credit Agreement, shall mean and be a reference to the Credit Agreement as amended by this Amendment.

 

(b)           Except as specifically amended above, the Credit Agreement and the other Loan Documents shall remain in full force and effect and are hereby ratified and confirmed.  Without limiting the generality of the foregoing, the Collateral Documents and all of the Collateral described therein do and shall continue to secure the payment of all obligations stated to be secured thereby under the Loan Documents.

 

(c)           Except as expressly set forth herein, the execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of the Administrative Agent or any Lender under any of the Loan Documents or constitute a waiver of any provision of any of the Loan Documents.

 

Section 5.              Execution in Counterparts.  This Amendment may be executed in any number of counterparts and by the parties hereto in separate counterparts, each which when so executed and delivered shall be deemed to be an original and all of which when taken together shall constitute but one and the same instrument.  Delivery of an executed counterpart of a signature page to this Amendment by telecopier or other electronic imaging means shall be effective as delivery of an originally executed counterpart of this Amendment.

 

Section 6.              Governing Law; Binding Effect.  This Amendment shall be governed by, and construed and enforced in accordance with, the laws of the State of New York, and shall be binding upon the Borrower, the Administrative Agent, the L/C Issuer, each Lender and their respective successors and assigns.

 

Section 7.              Costs and Expenses.  The Borrower agrees to pay on demand all reasonable out-of-pocket costs and expenses of the Administrative Agent in connection with the preparation, execution and delivery of this Amendment and the other instruments and documents to be delivered hereunder, including the reasonable fees and out-of-pocket expenses of counsel

 

6

 

for the Administrative Agent with respect thereto and with respect to advising the Administrative Agent as to its rights and responsibilities hereunder and thereunder.

 

THIS WRITTEN AMENDMENT AND THE LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.

 

THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

 

[Remainder of this page blank; signature pages follow]

 

7

 

Executed as of the date first set forth above.

 

	
 
    	
CROSSTEX   ENERGY, L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Crosstex   Energy GP, LLC,
    
	
 
    	
 
    	
its   general partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Michael J. Garberding
    
	
 
    	
 
    	
 
    	
Name:     Michael J. Garberding
    
	
 
    	
 
    	
 
    	
Title:    Senior   Vice President and Chief
    
	
 
    	
 
    	
 
    	
Financial   Officer
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

Each of the undersigned, as guarantors under the Amended and Restated Guaranty dated as of February 10, 2010 (as supplemented by the Guaranty Supplement dated as of July 11, 2011, the “Guaranty”), and as debtors, mortgagors, and/or grantors under the Collateral Documents, hereby (a) consents to this Amendment, and (b) confirms and agrees that the Guaranty and each of the Collateral Documents to which it is a party is and shall continue to be in full force and effect and is ratified and confirmed in all respects, except that, on and after the effective date of the Amendment each reference in the Guaranty and the other Collateral Documents to “the Credit Agreement,” “thereunder,” “thereof,” “therein” or any other expression of like import referring to the Credit Agreement shall mean and be a reference to the Credit Agreement as modified by this Amendment.

 

 

	
ADDRESS   FOR ALL UNDERSIGNED:
    	
CROSSTEX   ENERGY SERVICES, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
Crosstex   Operating GP, LLC,
    
	
2501   Cedar Springs
    	
 
    	
its   general partner
    
	
Suite 100
    	
 
    	
 
    
	
Dallas,   Texas 75201
    	
 
    	
 
    
	
Attention:   General Counsel
    	
By:
    	
/s/   Michael J. Garberding
    
	
 
    	
 
    	
Name:
    	
Michael   J. Garberding
    
	
 
    	
 
    	
Title:
    	
Senior   Vice President and
    
	
 
    	
 
    	
 
    	
Chief   Financial Officer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
CROSSTEX   OPERATING GP, LLC
    
	
 
    	
CROSSTEX   ENERGY SERVICES GP, LLC
    
	
 
    	
CROSSTEX   LIG, LLC
    
	
 
    	
CROSSTEX   TUSCALOOSA, LLC
    
	
 
    	
CROSSTEX   LIG LIQUIDS, LLC
    
	
 
    	
CROSSTEX   PROCESSING SERVICES, LLC
    
	
 
    	
CROSSTEX   PELICAN, LLC
    
	
 
    	
CROSSTEX   PERMIAN, LLC
    
	
 
    	
CROSSTEX   PERMIAN II, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael J. Garberding
    
	
 
    	
 
    	
Name:
    	
Michael   J. Garberding
    
	
 
    	
 
    	
Title:
    	
Senior   Vice President and
    
	
 
    	
 
    	
 
    	
Chief   Financial Officer
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
CROSSTEX   GULF COAST MARKETING LTD.
    
	
 
    	
CROSSTEX   CCNG PROCESSING LTD.
    
	
 
    	
CROSSTEX   NORTH TEXAS PIPELINE, L.P.
    
	
 
    	
CROSSTEX   NORTH TEXAS GATHERING, L.P.
    
	
 
    	
CROSSTEX   NGL MARKETING, L.P.
    
	
 
    	
CROSSTEX   NGL PIPELINE, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Crosstex   Energy Services GP, LLC,
    
	
 
    	
 
    	
general   partner of each above limited
    
	
 
    	
 
    	
partnership
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael J. Garberding
    
	
 
    	
 
    	
Name:
    	
Michael   J. Garberding
    
	
 
    	
 
    	
Title:
    	
Senior   Vice President and
    
	
 
    	
 
    	
 
    	
Chief   Financial Officer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
SABINE   PASS PLANT FACILITY JOINT VENTURE
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Crosstex   Processing Services, LLC,
    
	
 
    	
 
    	
as   general partner, and
    
	
 
    	
By:
    	
Crosstex   Pelican, LLC,
    
	
 
    	
 
    	
as   general partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael J. Garberding
    
	
 
    	
 
    	
Name:
    	
Michael   J. Garberding
    
	
 
    	
 
    	
Title:
    	
Senior   Vice President and
    
	
 
    	
 
    	
 
    	
Chief   Financial Officer
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
BANK   OF AMERICA, N.A.,
    
	
 
    	
as   Administrative Agent,
    
	
 
    	
a   Lender and L/C Issuer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Jeffrey H. Rathkamp
    
	
 
    	
 
    	
Name:
    	
Jeffrey   H. Rathkamp
    
	
 
    	
 
    	
Title:
    	
Managing   Director
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
COMERICA   BANK
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   David P. Cagle
    
	
 
    	
 
    	
Name:   
    	
David   P. Cagle
    
	
 
    	
 
    	
Title:
    	
Senior   Vice President
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
COMPASS   BANK
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Umar Hassan
    
	
 
    	
 
    	
Name:   
    	
Umar   Hassan
    
	
 
    	
 
    	
Title:
    	
Vice   President
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
ROYAL   BANK OF CANADA
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:   
    	
/s/   Mark Lumpkin, Jr.
    
	
 
    	
 
    	
Name:   
    	
Mark   Lumpkin, Jr.
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
SUMITOMO   MITSUI BANKING  CORP., NEW YORK
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:   
    	
/s/   Shuji Yabe
    
	
 
    	
 
    	
Name:
    	
Shuji   Yabe
    
	
 
    	
 
    	
Title:
    	
Managing   Director
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
WELLS   FARGO BANK, N.A.
    
	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Andrew Ostrov
    
	
 
    	
 
    	
Name:   
    	
Andrew   Ostrov
    
	
 
    	
 
    	
Title:
    	
Director
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
BANK   OF MONTREAL
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Gumaro Tijerina
    
	
 
    	
 
    	
Name:
    	
Gumaro   Tijerina
    
	
 
    	
 
    	
Title:
    	
Director
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
CAPITAL   ONE, NATIONAL ASSOCIATION
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Matt Molero
    
	
 
    	
 
    	
Name:   
    	
Matt   Molero
    
	
 
    	
 
    	
Title:
    	
Vice   President
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
GOLDMAN   SACHS BANK USA
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michelle Latzoni
    
	
 
    	
 
    	
Name:
    	
Michelle   Latzoni
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
MORGAN   STANLEY BANK, N.A.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Scott Taylor
    
	
 
    	
 
    	
Name:
    	
Scott   Taylor
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
CITIBANK,   N.A.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   John F. Miller
    
	
 
    	
 
    	
Name:
    	
John   F. Miller
    
	
 
    	
 
    	
Title:
    	
Attorney-in-Fact
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
ABN   AMRO CAPITAL USA LLC
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Casey Lowary
    
	
 
    	
 
    	
Name:
    	
Casey   Lowary
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Darrell Holley
    
	
 
    	
 
    	
Name:
    	
Darrell   Holley
    
	
 
    	
 
    	
Title:
    	
Managing   Director
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
REGIONS   BANK
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   David Valentine
    
	
 
    	
 
    	
Name:
    	
David   Valentine
    
	
 
    	
 
    	
Title:
    	
Vice   President
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

	
 
    	
AMEGY   BANK, N.A.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Jill McSorley
    
	
 
    	
 
    	
Name:
    	
Jill   McSorley
    
	
 
    	
 
    	
Title:
    	
Vice   President
    

 

Signature Page to Fourth Amendment to Amended and Restated Credit Agreement

 

 

SCHEDULE 3(a)

 

MATERIAL SUBSIDIARIES

 

Crosstex Energy Services, L.P. (DE)

Crosstex Operating GP, LLC (DE)*

Crosstex Energy Services GP, LLC (DE)*

Crosstex LIG, LLC (LA)

Crosstex Tuscaloosa, LLC (LA)*

Crosstex LIG Liquids, LLC (LA)

Crosstex Gulf Coast Marketing Ltd. (TX)*

Crosstex CCNG Processing Ltd. (TX)

Crosstex North Texas Pipeline, L.P. (TX)

Crosstex North Texas Gathering, L.P. (TX)

Crosstex NGL Pipeline, L.P. (TX)*

Crosstex NGL Marketing, L.P. (TX)*

Crosstex Processing Services, LLC (DE)

Crosstex Pelican, LLC (DE)

Sabine Pass Plant Facility Joint Venture (TX)*

Crosstex Permian, LLC (TX)*

Crosstex Permian II, LLC (TX)*

Crosstex Louisiana Gathering, LLC (Louisiana)*

 

*Indicates entity has previously been treated as a Material Subsidiary (e.g., it pledged assets and is a Guarantor) but does not technically meet the definition of a “Material Subsidiary” as of the date of this Amendment.

 

Schedule 3(a) to

Fourth Amendment to Amended and Restated Credit Agreement

 

 

SCHEDULE 3(b)

 

NON-MATERIAL SUBSIDIARIES

 

Crosstex Louisiana Energy, L.P. (Delaware)

Crosstex DC Gathering Company, J.V. (Texas)

Crosstex Energy Finance Corporation (Delaware)

 

Schedule 3(b) to

Fourth Amendment to Amended and Restated Credit AgreementExhibit 10.1

 

AMENDMENT TO SECURED PROMISSORY NOTE

AND LOAN AND SECURITY AGREEMENT

 

THIS FIFTH AMENDMENT TO SECURED PROMISSORY NOTE AND LOAN AND SECURITY AGREEMENT (the “Agreement”) is made as of this eighteenth day of May, 2012, by and among DLH Solutions, Inc., a Georgia corporation, d/b/a TeamStaff Government Solutions; d/b/a TeamStaff Govt Solutions, formerly known as TeamStaff Government Solutions, Inc. (the “Borrower”), and TeamStaff Inc. (the “Guarantor”) and Presidential Financial Corporation, a Georgia corporation (the “Lender”).

 

R E C I T A L S

 

Pursuant to the Loan and Security Agreement dated July 29, 2010 (“Loan Agreement”), as amended by the First Amendment to Secured Promissory Note and Loan and Security Agreement (“First Amendment”) dated August 17, 2010, the Second Amendment to Secured Promissory Note and Loan and Security Agreement (“Second Amendment”) dated November 18, 2010, the Third Amendment to Secured Promissory Note and Loan and Security Agreement dated February 9, 2011 (“Third Amendment”), and the Fourth Amendment to Secured Promissory Note and Loan and Security Agreement dated November 30, 2011 (“Fourth Amendment”) (“Loan Agreement”) between the Borrower and the Lender, the Lender agreed to make available to the Borrower a line of credit in accordance with, and subject to, the provisions of the Loan Agreement. The Borrower’s obligation to repay the line of credit, with interest and other fees and charges, is evidenced by the Secured Promissory Note dated July 29, 2010, in the principal amount of One Million Five Hundred Thousand and No/100 Dollars ($1,500,000.00) (the “Promissory Note”) as amended by the First Amendment, as further amended by the Second Amendment, in the principal amount of Two Million Five Hundred Thousand and No/100 Dollars ($2,500,000.00), as further amended by the Third Amendment in the principal amount of Three Million and No/100 Dollars ($3,000,000.00), and as further amended by the Fourth Amendment (the “Promissory Note”).  The indebtedness, obligations and liabilities of the Borrower under and in connection with the line of credit are guaranteed by the Guarantor pursuant to the terms of the Corporate Guaranty Agreement dated July 29, 2010, and affirmed on August 17, 2010, November 18, 2010 and February 9, 2011, and November 30, 2011 executed by the Guarantor (the “Guaranty Agreement”).  The Loan Agreement, Promissory Note, the First Amendment, the Second Amendment, the Third Amendment, the Fourth Amendment, the Guaranty Agreement, and all documents now and hereafter executed by the Borrower, the Guarantor or any other party, to evidence, secure, or guaranty, in connection with the Borrower’s indebtedness and obligation to Lender, are hereinafter referred to as the “Loan Documents.”

 

The parties wish to increase the available line of credit to Six Million and No/100 Dollars ($6,000,000.00), with an initial sublimit (the “Initial Sublimit”) of Three Million and No/100 Dollars ($3,000,000.00) and an adjusted sublimit (the “Adjusted Sublimit”) of Four Million and No/100 Dollars ($4,000,000) from Three Million and No/100 Dollars ($3,000,000.00), and increase the Unbilled Accounts Loan Amount to One Million and No/100 Dollars ($1,000,000.00) from Five Hundred Thousand and No/100 Dollars ($500,000.00) subject to the terms and conditions of this Agreement.

 

A G R E E M E N T S

 

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and agreements of the parties hereinafter set forth, it is hereby mutually agreed as follows:

 

1.             Acknowledgment of Recitals.  Each of the parties hereto acknowledges that the above recitals are true and correct and incorporated herein by reference.

 

1

 

2.             Increase in the Line of Credit.  Subject to the terms and conditions stated herein, the parties agree to increase the line of credit available to the Borrower under the Loan Documents to Six Million and No/100 Dollars ($6,000,000.00), subject to the Initial Sublimit of Three Million and No/100 Dollars ($3,000,000.00) and the Adjusted Sublimit of Four Million and No/100 Dollars ($4,000,00.00) from the current loan amount of Three Million and No/100 Dollars ($3,000,000.00) and hereby amend the Promissory Note, and the following provision of the Loan Agreement:

 

“Maximum Loan Amount” means Six Million and No/100 Dollars ($6,000,000.00); provided however, Borrower acknowledges that the foregoing amount is subject to an Initial Sublimit (the “Initial Sublimit”) of Three Million and No/100 Dollars ($3,000,000.00) which shall remain in effect until the satisfaction of the following conditions: (i) the Overadvance accommodation, in the amount of Five Hundred Thousand and No/100 Dollars ($500,000.00) as evidenced by the Letter Agreement dated May 9, 2012, has been repaid by June 30, 2012, (ii) Borrower demonstrates a need for an increase, (iii) Borrower remains in compliance with the Loan Agreement, and (iv) Lender in its sole and absolute discretion agrees to increase the Initial Sublimit.  In the event that the Borrower and Lender agree to increase the line of credit to an amount in excess of the Initial Sublimit, the credit available to Borrower shall remain subject to an adjusted sublimit (the “Adjusted Sublimit”) of Four Million and No/100 Dollars ($4,000,000) until the parties receive any required waivers or consents from the holders of the subordinated Convertible Debentures issued by the Guarantor pursuant to that certain Debenture Purchase Agreement dated as of June 1, 2011, in a form acceptable to the Borrower and Lender, and Lender in its sole and absolute discretion agrees to further increase the line of credit available to Borrower.

 

3.             Unbilled Accounts. The parties agree to amend the maximum amount available to Borrower under the Unbilled Accounts facility, and hereby amend the following provision of Schedule A of the Loan Agreement:

 

“Maximum Unbilled Accounts Loan Amount” means an amount not to exceed One Million and No/100 Dollars ($1,000,000.00); provided however, Borrower acknowledges that a sublimit of Five Hundred Thousand and No/100 Dollars ($500,000.00) which shall remain in effect until the satisfaction of the following conditions: (i) the Overadvance accommodation, in the amount of Five Hundred Thousand and No/100 Dollars ($500,000.00) as evidenced by the Letter Agreement dated May 9, 2012, has been repaid by June 30, 2012, (ii) Borrower demonstrates a need for an increase, (iii) Borrower remains in compliance with the Loan Agreement, and (iv) Lender in its sole and absolute discretion agrees to increase the sublimit.

 

4.             Validity Agreement. The Validity Agreement of John E. Kahn, Chief Financial Officer of Borrower, shall be accepted by Lender.

 

5.             Collateral Monitoring Fee. Effective June 1, 2012, the parties agree to amend Schedule B in the Loan Agreement to include the following provision:

 

Collateral Monitoring Fee.  A monthly Collateral Monitoring Fee of $5,000.00, less interest and service charges charged to the loan account for the current month, will be charged to the Borrower’s loan account on the last day of the month.

 

2

 

6.             Financial Covenants. The parties agree, pursuant to Schedule E of the Loan Agreement, to reset the Tangible Net Worth covenant and hereby amend Schedule E to read as follows:

None

 

7.             Origination Fee.  A one percent (1%) Origination Fee will be considered earned and due on the increased amount when and to the extent that the Borrower is eligible to borrow amounts in excess of the Initial Sublimit.

 

8.             Documentation Fee. A loan documentation fee of $17,500.00 (“Loan Documentation Fee”), for the negotiation and preparation of this Agreement, will be charged to the Borrower’s loan account upon receipt of a fully executed copy of this Agreement.

 

9.             Termination Fee. The parties agree that the Termination Fee, as stated in the Loan Agreement, if any, shall be calculated on the Maximum Loan Amount sublimit in effect as of the date of termination.

 

10.           Representations and Warranties.  In order to induce the Lender to enter into this Agreement, the Borrower and each of the Guarantor (collectively the “Obligors”) represent and warrant to the Lender that consistent with the Obligor’s practices under the Loan Agreement as of the date hereof (a) no event of default exists under the provisions of the Loan Agreement, Promissory Note or the Guaranty Agreements or other Loan Documents, (b) all of the representations and warranties of the Obligors in the Loan Documents are true and correct on the date hereof as if the same were made on the date hereof, (c) the Collateral, as defined in the Loan Agreement, is free and clear of all assignments, security interest, liens and other encumbrances of any kind and nature whatsoever, except for those granted or permitted under the provisions of the Loan Documents, (d) the execution and performance by the Borrower under the Loan Agreement, as amended, will not (i) violate any provision of law, any order of any court or other agency of government, or the organizational documents and/or bylaws of Borrower, or (ii) violate any indenture, contract, agreement or other instrument to which the Borrower is party, or by which its property is bound, or be in conflict with, result in a breach of or constitute (with due notice and/or lapse of time) a default under, any such indenture, or imposition of any lien, charge or encumbrance of any nature whatsoever upon any of the property or assets of the Borrower, and (e) this Agreement constitutes the legal, valid and binding obligations of the Obligors enforceable in accordance with its terms, except its enforceability may be limited by bankruptcy, insolvency or some other laws affecting the enforcement of creditors rights generally.

 

11.           Ratification and No Novation; Validity of Loan Documents.  The Obligors hereby ratify and confirm all of their obligations, liabilities and indebtedness under the provisions of the Loan Agreement, the Promissory Note, the Guaranty Agreements and the other Loan Documents, as the same may be amended and modified by this Agreement, and agree to pay the indebtedness in accordance with the terms of the Loan Agreement, as amended and modified by this Agreement.  The Lender and the Obligors each agrees that it is their intention that nothing in this Agreement shall be construed to extinguish, release or discharge or constitute, create or affect a novation of, or an agreement to extinguish (a) any of the obligations, indebtedness and liabilities of the Obligors, or any other party under the provisions of the Loan Agreement, the Promissory Note, and such other Loan Documents, or (b) any assignment or pledge to the Lender of, or any security interest or lien granted to the Lender in, or on, any Collateral and security for such obligations, indebtedness, and liabilities. The Lender and the Obligors each agrees that the Lender shall have the absolute and unconditional right to demand payment of the Promissory Note in Lender’s discretion at any time, subject to the provisions of the Loan Documents.  The Obligors agree that all of the provisions of the Loan Agreement, the Promissory Note, and the other Loan Documents shall remain and continue in full force and effect, as

 

3

 

the same may be modified and amended by this Agreement.  In the event of any conflict between the provisions of this Agreement and the provisions of such other Loan Documents, the provisions of this Agreement shall control.  Obligors have no existing claims, defenses (personal or otherwise) or rights of setoff whatsoever with respect to the Obligations of the Obligors under the Loan Documents.  Each of the Obligors furthermore agrees that each of them has no defense, counterclaim, offset, cross-complaint, claim or demand of any nature whatsoever that can be asserted as a basis to seek affirmative relief and/or damages of any kind from the Lender.

 

12.           Release.  Borrower hereby releases Lender and its affiliates and their respective directors, officers, employees, attorneys and agents and any other Person affiliated with or representing Lender (the “Released Parties”) from any and all liability arising from acts or omissions under or pursuant to this Agreement, whether based on errors of judgment or mistake of law or fact, except for those arising from willful misconduct.  In no circumstance will any of the Released Parties be liable for lost profits or other special or consequential damages.  Such release is made on the date hereof and remade upon each request for an Advance by Borrower.

 

13.           Applicable Law, Binding Effect, etc.  This Agreement shall be governed by the laws of the State of Georgia  and may be executed in any number of duplicate originals and counterparts, each of which, and all taken together, shall constitute one and the same instrument. This Agreement shall be binding upon, and inure to the benefit of, the Lender, the Borrower, the Guarantor and their respective successors, heirs and assigns.

 

14.           Expenses.  Borrower hereby agrees to pay all out-of-pocket expense incurred by Lender in connection with the preparation, negotiation and consummation of this Agreement, and all other documents related thereto (whether or not any borrowing under the Loan Agreement as amended shall be consummated), including, without limitation, the fees and expenses of Lender’s counsel.

 

15.           Effectiveness of this Agreement.  This Agreement shall not be effective until the same is executed and accepted by Lender.

 

IN WITNESS WHEREOF, the Lender, the Borrower, and the Guarantor have caused this Agreement to be duly executed, under seal, as of the day and year first above written.

 

4

 

	
 
    	
 
    	
BORROWER:
    
	
 
    	
 
    	
 
    
	
STATE   OF              
   COUNTY OF          
    Zachary C. Parker personally appeared   and acknowledged before me this 19 day of May, 2012
    	
 
    	
DLH   SOLUTIONS, INC. D/B/A TEAMSTAFF GOVERNMENT SOLUTIONS; D/B/A TEAMSTAFF GOVT   SOLUTIONS, FORMERLY KNOWN AS  TEAMSTAFF   GOVERNMENT SOLUTIONS, INC.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
/s/
    	
 
    	
 
    	
 
    	
By:
    	
/s/   Zachary C. Parker
    
	
Notary
    	
 
    	
Seal
    	
 
    	
 
    	
Zachary C. Parker, CEO
    
	
My commission expires               
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
GUARANTOR:
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
TEAMSTAFF   INC.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Zachary C. Parker
    
	
 
    	
 
    	
 
    	
Zachary C. Parker, CEO
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
LENDER:
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
PRESIDENTIAL   FINANCIAL CORPORATION
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/
    
	
 
    	
 
    	
 
    	
Vice   President
    

 

5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00204-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00204-of-00352.parquet"}]]