Document:

pfsi_EX_105

		
			Exhibit 10.5
		

		
			 
		

		
			
		

			
					
						 

					
					
						 

					
					
						Schedule (Lease Intended as Security)

					
					
						 

					
					
						Schedule

				
	
					
						Banc of America Leasing & Capital, LLC

					
					
						 

					
					
						to Master Lease Agreement

					
					
						 

					
					
						Number 005

				

		
			 
		

		
			This Schedule ("Schedule"), dated as of   June 13,  2019,   between Banc of America Leasing & Capital, LLC ("Lessor") and Private National Mortgage Acceptance Company, LLC ("Lessee") is executed pursuant to Master Lease Agreement Number 30350-90000 dated December 9, 2015 (the “Master Lease”), incorporated in this Schedule by this reference.   Unless otherwise defined in this Schedule, capitalized terms used in this Schedule have the respective meanings assigned to such terms in the Master Lease.  If any provision of this Schedule conflicts with any provision of the Master Lease, the provisions contained in this Schedule shall prevail.  Lessee hereby authorizes Lessor to insert the serial numbers and other identification data of the Equipment, dates, and other omitted factual matters or descriptions in this Schedule.
		

		
			1.   Description of Equipment; Location.  The Equipment subject to this Schedule, which has a cost to Lessor in the aggregate of $25,123,206.83,  which may include taxes, shipping, installation and other related expenses, if any (collectively "Lessor’s Cost"), are as follows:
		

			
					
						Quantity

					
					
						Description

					
					
						Serial Number

					
					
						Lessor's Cost

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				

		
			See attached Exhibit A
		

		
			Location of Equipment.  The Equipment will be located or (in the case of over-the-road vehicles) based at the following locations:
		

		
			 
		

			
					
						Location

					
					
						Address

					
					
						City

					
					
						County

					
					
						State

					
					
						ZIP

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				

		
			See attached Exhibit A
		

		
			2.   Acceptance.  Lessee acknowledges and represents that the Equipment (a) has been delivered to, received and inspected by Lessee, (b) is in good operating order, repair, condition and appearance, (c) is of the manufacture, design and capacity selected by Lessee and are suitable for the purposes for which the Equipment are leased, and are acceptable and satisfactory to Lessee, (d) do not require any additions or modifications to make them suitable for use, other than ancillary modifications or additions normally made by lessees of similar assets, and are available for use and lease by Lessee and Lessor, and (e) have been irrevocably accepted as "Equipment" leased by Lessee under this Schedule as of the date written below (the "Acceptance Date").  Lessee hereby authorizes and directs Lessor to reimburse Lessee or pay Vendors for the purchase price of the Equipment in accordance with Vendors’ invoices therefor, receipt and approval of which are hereby reaffirmed by Lessee.
		

		
			3.   Lease Term.  The original Lease Term for the Lease of Equipment under this Schedule consist of:  (i) an "Interim Term" (if any) beginning on the Acceptance Date, and continuing through and including the day preceding the Base Date; and (ii) a "Base Term" of thirty-six (36) months, beginning on  June 13,  2019 (the "Base Date").
		

		
			4.   Rent.  Rent payable under this Schedule consists of:  (i) “Interim Rent”, which shall be due Lessor for each day of the interim Term and shall equal the daily equivalent of the initial Base Rent, and payable on the Base Date; and (ii) “Base Rent”, which shall be payable in arrears in thirty-six (36) consecutive monthly installments of the payment amount and interest (the "Payments") commencing on 
July 13, 2019  (the “Initial Payment”).  Each Payment shall be in the principal amount of $697,866.86, plus interest as described in the following paragraph, and due and payable on the same day of the month as the Initial Payment set forth above in each succeeding payment period (each, a "Payment Date") during the Lease Term.  All interest hereunder shall be calculated on the basis of a year of 360 days comprised of 12 months of 30 days each.
		

		
			Interest shall accrue on the entire Lessor’s Cost of this Schedule outstanding for any calendar month or portion thereof as reduced by each Payment of principal, at a per annum rate of interest equal to (i) two percent (2%) plus the rate of interest equal to the “average of interbank offered rates for dollar deposits in the London Market based on quotations of sixteen (16) major banks” for a term of thirty days as published in the Wall Street Journal under a heading entitled “Money Rates, London Interbank Offered Rates (LIBOR)” or any future or substitute heading, on the fifteenth day of the month preceding the month in which the Payment Date occurs for the applicable Payment, or (ii) if less, the highest rate of interest permitted by applicable law (the "Interest Rate").
		

		
			 
		

		
			 
		

		
			

		 

		

			Page 1 of 3

		

		

			 

		

		

		
			5.     Tax Exemption; Personal Property Taxes.  Lessor will invoice Lessee for all sales and use taxes as and when due and payable in accordance with applicable law, unless Lessee timely delivers to Lessor a valid exemption certificate with respect to such taxes.  Delivery of such certificate shall constitute Lessee's representation and warranty that no such taxes shall become due and payable with respect to the Equipment, and Lessee shall indemnify and hold harmless Lessor from and against any and all liability or damages, including late charges and interest which Lessor may incur by reason of the assessment of such taxes.  Notwithstanding any provision to the contrary in this Lease, Lessee shall file directly with all appropriate taxing authorities all declarations, returns, inventories and other documentation with respect to any personal property taxes due or to become due with respect to the Equipment ("Taxes") and shall pay on or before the date when due all such Taxes assessed, billed or otherwise payable with respect to such Equipment directly to such taxing authorities. Upon request by Lessor, Lessee shall provide Lessor with copies of satisfactory documentation and proof of payment of such Taxes, and any penalties and interest thereon, and any other liabilities and damages that Lessor may incur arising out of the failure of Lessee to pay when due such Taxes.  The indemnity and covenants set forth herein shall continue in full force and effect and shall survive the expiration or earlier termination of this Lease.
		

		
			6.   Status of Lease as “Lease Intended as Security.”  Any provision of the Master Lease to the contrary notwithstanding, Lessor and Lessee acknowledge and agree that the Lease of Equipment under this Schedule is and is intended to be a transaction which creates a security interest in personal property in favor of Lessor, and shall be construed to constitute a lease intended as security for all commercial law and federal income and state tax purposes.  Lessee and Lessor further acknowledge and agree that:  (i) any right, title or interest of Lessor in and to the Equipment is held for collateral security purposes and that Lessor shall be entitled to all of the rights and remedies of a secured party under Article 9 of the UCC and otherwise provided under applicable law;  (ii) Section 7(c) of the Master Lease shall not be applicable to the Lease evidenced by this Schedule;  (iii) Lessee shall be treated for both federal and state income tax purposes as the owner of the Equipment and shall be entitled to take all of the tax benefits (including, without limitation, all depreciation deductions) that may be available with respect to the Equipment;  (iv) upon the payment and performance of all of Lessee’s Obligations under this Schedule, and provided that there then exists no Event of Default, Lessee shall not be obligated to return the Equipment to Lessor pursuant to the provisions of Section 8 of the Master Lease;  and (v) the last sentence of Section 12(a) of the Master Lease as it relates to the Lease evidenced by this Schedule is deleted and replaced with the following:  “Any payments received by Lessor after the occurrence of an Event of Default, including proceeds of any disposition of Equipment, shall be applied in the following order: (A) to all costs, and (including Attorneys’ Fees), charges and expenses incurred in taking, removing, holding, repairing and selling or leasing the Equipment or other Collateral or enforcing the provisions hereof; (B) to the extent not previously paid by Lessee, to pay Lessor for any damages then remaining unpaid hereunder; and (C) the balance, if any, shall be paid to Lessee and/or other parties lawfully entitled thereto.”
		

		
			7.   Further Representations and Agreements.  Lessee represents, warrants and agrees as follows: (a) all representations and warranties of Lessee contained in the Master Lease are restated as of the Acceptance Date and are true and correct as of such date;  (b) there has been no material adverse change in the operations, business, properties or condition (financial or otherwise) of Lessee or any Guarantor since December 31, 2018; (c) there exists no Default or Event of Default as of the Acceptance Date; and  (d) the operation and maintenance of any Equipment in the ordinary course by Lessee do not require the entry into any software or other intellectual property rights agreement with any licensor or other person, except as disclosed to Lessor in writing prior to the Acceptance Date.
		

		
			8.   End of Lease Term Purchase.  At the end of the Base Term, or within 15 days thereafter, Lessee shall purchase the Equipment on an "AS IS, WHERE IS" quitclaim basis, without representations or warranties of any kind, express or implied, for the cash amount of one dollar ($1.00) ("Purchase Price").  Lessee shall pay Lessor the Purchase Price on or before the expiration of the Base Term in immediately available funds.
		

		
			[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]
		

		
			 
		

		
			
		

		
			

		 

		

			Page 2 of 3

		

		

			 

		

		

		
			 
		

			
					
						BANC OF AMERICA LEASING & CAPITAL, LLC

					
					
						    

					
					
						PRIVATE NATIONAL MORTGAGE ACCEPTANCE
COMPANY, LLC

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						By: 

					
					
						/s/ Terri J. Preston

					
					
						 

					
					
						By:

					
					
						/s/ Pamela Marsh

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						Printed Name:

					
					
						Terri J. Preston

					
					
						 

					
					
						Printed Name:

					
					
						Pamela Marsh

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						Title:

					
					
						Senior Vice President

					
					
						 

					
					
						Title:

					
					
						Managing Director, Treasurer

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Acceptance Date:

					
					
						6/13

					
					
						, 2019

				

		
			 
		

		
			Where multiple counterpart originals of this Schedule have been executed by Lessee and Lessor, only the counterpart marked “Lessor's Copy” shall be deemed chattel paper evidencing the Lease of Equipment subject to this Schedule, and a security interest in such chattel paper and Lease may be perfected through the transfer and possession of the “Lessor’s Copy” of such Schedule only, without the need to transfer possession of the Master Lease, any Related Agreement or any other document executed and delivered in connection with this Lease.
		

		 

		

			Page 3 of 3pfsi_EX_106

		
			Exhibit 10.6
		

		
			EXECUTION
		

		
			AMENDMENT NO. 1
		

		
			TO MASTER REPURCHASE AGREEMENT
		

		
			Amendment No. 1 to Master Repurchase Agreement, dated as of June 28, 2019 (this “Amendment”), by and among BANK OF AMERICA, N.A. (“Administrative Agent”, and together with Capital One, National Association and The Bank of New York Mellon, the “Buyers”), PENNYMAC LOAN SERVICES, LLC (the “Seller”) and PRIVATE NATIONAL MORTGAGE ACCEPTANCE COMPANY, LLC (the “Guarantor”).
		

		
			RECITALS
		

		
			Administrative Agent, Buyers, Seller and Guarantor are parties to that certain Master Repurchase Agreement, dated as of October 29, 2018  (as amended, restated, supplemented or otherwise modified from time to time, the “Existing Master Repurchase Agreement”; and as amended by this Amendment, the “Master Repurchase Agreement”).  The Guarantor is a party to that certain Guaranty, dated as of October 29, 2018 (as amended, restated, supplemented or otherwise modified from time to time, the “Guaranty”), made by Guarantor in favor of Administrative Agent on behalf of Buyers.
		

		
			Administrative Agent, Buyers, Seller and Guarantor have agreed, subject to the terms and conditions of this Amendment, that the Existing Master Repurchase Agreement be amended to reflect certain agreed upon revisions to the terms of the Existing Master Repurchase Agreement.  As a condition precedent to amending the Existing Master Repurchase Agreement,  Administrative Agent has required Guarantor to ratify and affirm the Guaranty on the date hereof.
		

		
			Accordingly, Administrative Agent, Buyers, Seller and Guarantor hereby agree, in consideration of the mutual promises and mutual obligations set forth herein, that the Existing Master Repurchase Agreement is hereby amended as follows:
		

		
			SECTION 1.   Fees.  Article 5 of the Existing Master Repurchase Agreement is hereby amended by:
		

		
			1.1       renaming such Article 5 “Fees and Pricing Incentive”; and
		

		
			1.2       adding the following new Section 5.3 at the end thereof:
		

		
			5.3       Pricing Incentive Payments.
		

		
			(a)        To the extent the Seller is owed funds in connection with the Pricing Incentive (as set forth in the Transactions Terms Letter), (i) the Administrative Agent shall notify the Buyers of their Applicable Percentage of such amount no later than two (2) Business Days prior to the due date thereof (as determined pursuant to clause (a)(iii) of this Section); (ii) the Buyers will remit to Administrative Agent their Applicable Percentage of such amount by no later than 1:00 p.m. (New York City time) one (1) Business Day immediately following such notice and (iii) the Administrative Agent will deposit the amount of the Pricing Incentive in the Seller’s Over/Under Account (x) within
		

		
			
		

		
			

		 

		

			1

		

		

		
			thirty (30) days following the end of the given calendar quarter, or (y) on the Expiration Date if the Agreement is terminated pursuant to the terms herein, as applicable.
		

		
			(b)        The obligations of the Buyers hereunder to make Pricing Incentive payments up to their respective Applicable Percentages are several and not joint.  The failure of any Buyer to make a payment pursuant to this Section 5.3 shall not relieve any other Buyer of its corresponding obligation to do so, and no Buyer shall be responsible for the failure of any other Buyer to so fund its Applicable Percentage of the Pricing Incentive under this Section 5.3.
		

		
			SECTION 2.   Defaulting Buyer Waterfall.  Section 15.1 of the Existing Master Repurchase Agreement is hereby amended by deleting subsection (ii) in its entirety and replacing it with the following:
		

		
			(ii)       Defaulting Buyer Waterfall. Any payment of Repurchase Price, Price Differential, fees or other amounts received by the Administrative Agent for the account of such Defaulting Buyer (whether voluntary or mandatory, at maturity, pursuant to Article 11 or otherwise) or received by the Administrative Agent from a Defaulting Buyer pursuant to Section 11.9 shall be applied at such time or times as may be determined by the Administrative Agent as follows: first, to the payment of any amounts owing by such Defaulting Buyer to the Administrative Agent hereunder; second, to the payment on a pro rata basis of any amounts owing by such Defaulting Buyer to the Swing Line Provider hereunder; third, as the Seller may request (so long as no Default or Event of Default exists), to the funding of any Transaction in respect of which such Defaulting Buyer has failed to fund its portion thereof as required by this Agreement, as determined by the Administrative Agent; fourth, to the payment of any amounts owing by such Defaulting Buyer to the Seller for Pricing Incentives hereunder,  fifth,  if so determined by the Administrative Agent and the Seller, to be held in a deposit account and released pro rata in order to satisfy such Defaulting Buyer’s potential future funding obligations with respect to Transactions under this Agreement; sixth, to the payment of any amounts owing to the Buyers or Swing Line Provider as a result of any judgment of a court of competent jurisdiction obtained by any Buyer or the Swing Line Provider against such Defaulting Buyer as a result of such Defaulting Buyer’s breach of its obligations under this Agreement; seventh, so long as no Potential Default or Event of Default exists, to the payment of any amounts owing to the Seller as a result of any judgment of a court of competent jurisdiction obtained by the Seller against such Defaulting Buyer as a result of such Defaulting Buyer's breach of its obligations under this Agreement; and eighth, to such Defaulting Buyer or as otherwise directed by a court of competent jurisdiction; provided that if (x) such payment is a payment of the principal amount of any Transactions in respect of which such Defaulting Buyer has not fully funded its appropriate share, and (y) such Transactions were entered into at a time when the conditions set forth in Section 7.2 were satisfied or waived, such payment shall be applied solely to pay the Transactions of all Non-Defaulting Buyers on a pro rata basis prior to being applied to the payment of any Transactions of such Defaulting Buyer until such time as all Transactions and funded and unfunded participations in Swing Line Transactions are held by the Buyers pro rata in accordance with the Commitments hereunder without giving effect to Section 15.1(iv). Any payments, prepayments or other 
		

		
			
		

		
			

		 

		

			2

		

		

		
			amounts paid or payable to a Defaulting Buyer that are applied (or held) to pay amounts owed by a Defaulting Buyer shall be deemed paid to and redirected by such Defaulting Buyer, and each Buyer irrevocably consents hereto.
		

		
			SECTION 3.  Glossary of Defined Terms.  Exhibit A to the Existing Master Repurchase Agreement is hereby amended by adding the following definition in its proper alphabetical order:
		

		
			Pricing Incentive:  As defined in the Transactions Terms Letter.
		

		
			SECTION 4.   Fees and Expenses.  Seller hereby agrees to pay to Administrative Agent, on demand, any and all reasonable out-of-pocket fees, costs and expenses (including reasonable fees and expenses of counsel) incurred by Administrative Agent in connection with the development, preparation and execution of this Amendment, irrespective of whether any transactions hereunder are executed.
		

		
			SECTION 5.    Condition Precedent.  This Amendment shall become effective as of the date hereof (the “Amendment Effective Date”), subject to the satisfaction of the following conditions precedent:
		

		
			5.1       Delivered Documents.  On the Amendment Effective Date, the Administrative Agent shall have received this Amendment, executed and delivered by a duly authorized officer of Administrative Agent, Buyers, Seller and Guarantor.
		

		
			5.2       Seller hereby represents and warrants to the Administrative Agent and Buyers that it is in compliance with all the terms and provisions set forth in the Principal Agreements on its part to be observed or performed, and that no Potential Default or Event of Default has occurred or is continuing, and hereby confirms and reaffirms the representations and warranties contained in Article 8 of the Existing Master Repurchase Agreement.
		

		
			SECTION 6.   Limited Effect.  Except as expressly amended and modified by this Amendment, the Existing Master Repurchase Agreement shall continue to be, and shall remain, in full force and effect in accordance with its terms.
		

		
			SECTION 7.   Counterparts.  This Amendment may be executed by each of the parties hereto on any number of separate counterparts, each of which shall be an original and all of which taken together shall constitute one and the same instrument. Delivery of an executed counterpart of a signature page of this Amendment in Portable Document Form (PDF) or by facsimile shall be effective as delivery of a manually executed original counterpart of this Amendment.
		

		
			SECTION 8.   Severability.  Each provision and agreement herein shall be treated as separate and independent from any other provision or agreement herein and shall be enforceable notwithstanding the unenforceability of any such other provision or agreement.
		

		
			SECTION 9.   GOVERNING LAW.  THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE CONFLICTS OF LAW PRINCIPLES
		

		
			
		

		
			

		 

		

			3

		

		

		
			THEREOF (EXCEPT FOR SECTION 5-1401 OF THE NEW YORK GENERAL OBLIGATIONS LAW) AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, EXCEPT TO THE EXTENT PREEMPTED BY FEDERAL LAW.
		

		
			SECTION 10. Reaffirmation of Guaranty.  The Guarantor hereby (i) agrees that the liability of Guarantor or rights of Administrative Agent and Buyers under the Guaranty shall not be affected as a result of this Amendment, (ii) ratifies and affirms all of the terms, covenants, conditions and obligations of the Guaranty and (iii) acknowledges and agrees that such Guaranty is and shall continue to be in full force and effect.
		

		
			[SIGNATURE PAGES FOLLOW]
		

		
			 
		

		
			 
		

		
			

		 

		

			4

		

		

		
			IN WITNESS WHEREOF, the parties have caused their names to be signed hereto by their respective officers thereunto duly authorized as of the day and year first above written.
		

		
			 
		

			
					
						 

					
					
						BANK OF AMERICA, N.A., as Administrative Agent

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Adam Robitshek

				
	
					
						 

					
					
						 

					
					
						Name: 

					
					
						Adam Robitshek

				
	
					
						 

					
					
						 

					
					
						Title: 

					
					
						Vice President

				

		
			
		

		

		 

		

			Signature Page to Amendment No. 1 to Master Repurchase Agreement

		

	
					
						

					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						PENNYMAC LOAN SERVICES, LLC, as Seller

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Andrew S. Chang

				
	
					
						 

					
					
						 

					
					
						Name: 

					
					
						Andrew S. Chang

				
	
					
						 

					
					
						 

					
					
						Title: 

					
					
						Senior Managing Director and Chief Financial Officer

				

		
			 
		

		
			
		

		

		 

		

			Signature Page to Amendment No. 1 to Master Repurchase Agreement

		

	
					
						

					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						PRIVATE NATIONAL MORTGAGE ACCEPTANCE COMPANY, LLC, as Guarantor

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Andrew S. Chang

				
	
					
						 

					
					
						 

					
					
						Name: 

					
					
						Andrew S. Chang

				
	
					
						 

					
					
						 

					
					
						Title: 

					
					
						Senior Managing Director and Chief Financial Officer

				

		
			 
		

		
			
		

		

		 

		

			Signature Page to Amendment No. 1 to Master Repurchase Agreement

		

	
					
						

					
						 

					
					
						CAPITAL ONE, NATIONAL ASSOCIATION,
as a Buyer

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Paul Spiridigliozzi

				
	
					
						 

					
					
						 

					
					
						Name: 

					
					
						Paul Spiridigliozzi

				
	
					
						 

					
					
						 

					
					
						Title: 

					
					
						Managing Director

				

		
			 
		

		
			
		

		

		 

		

			Signature Page to Amendment No. 1 to Master Repurchase Agreement

		

	
					
						

					
						 

					
					
						THE BANK OF NEW YORK MELLON, as a Buyer

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Paul Connolly

				
	
					
						 

					
					
						 

					
					
						Name: 

					
					
						Paul Connolly

				
	
					
						 

					
					
						 

					
					
						Title: 

					
					
						Director

				

		
			 
		

		 

		

			Signature Page to Amendment No. 1 to Master Repurchase Agreement

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00298-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00298-of-00352.parquet"}]]