Document:

Exhibit 10.8

      Execution Version

      

      

      EMPLOYMENT AGREEMENT

      

      

      This EMPLOYMENT AGREEMENT (this “Agreement”),
        dated as of August 9, 2019, is entered into by and between Trinity Sub, Inc., a Maryland corporation (the “Company”), and Joanne Van
        Sickle, an individual (“Employee”).

      

      

      RECITALS

      

      

      A.          Pursuant to that certain
          Agreement and Plan of Merger (the “Merger Agreement”), dated as of August 9, 2019, by and among the Company, Trinity Merger Corp., a
          Delaware corporation, Trinity Merger Sub I, Inc., a Delaware corporation, Trinity Merger Sub II, LLC, a Delaware limited liability company, PBRELF I, LLC, a Washington limited liability company, BRELF II, LLC, a Washington limited liability
          company, BRELF III, LLC, a Washington limited liability company, BRELF IV, LLC, a Washington limited liability company, Pyatt Broadmark Management, LLC, a Washington limited liability company, Broadmark Real Estate Management II, LLC, a
          Washington limited liability company, Broadmark Real Estate Management III, LLC, a Washington limited liability company, and Broadmark Real Estate Management IV, LLC, a Washington limited liability company, the Company will become the direct or
          indirect owner of various entities engaged in real estate activities; and

      

      

      B.          Effective as of the Effective
          Time (as defined in the Merger Agreement) (the “Effective Time”), Employee wishes to accept employment with the Company upon the terms
          and conditions set forth in this Agreement.

      

      

      AGREEMENT

      

      

      In consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby
        acknowledged, the parties hereto agree as follows:

      

      

      1.          Employment. The Company shall employ Employee, and Employee
            accepts employment with the Company, upon the terms and conditions set forth in this Agreement. Employee’s term of employment hereunder shall commence at the Effective Time and continue until the third anniversary of the Effective Time (the “Employment Period”); provided that, unless
            earlier terminated, the Employment Period shall automatically renew on the third anniversary of the Effective Time and on each anniversary thereafter for a period of one (1) year unless either party shall give written notice of nonextension to
            the other party not later than sixty (60) days prior to the end of then-current Employment Period. The Company or Employee may terminate this Agreement and Employee’s employment at any time during the Employment Period as provided in Section 4
            hereof. For the avoidance of doubt, if the Merger Agreement is terminated or the Effective Time does not occur for any reason, this Agreement shall be null and void.

      

      

      2.           Position and Duties.

      

      

      (a)          During the
          Employment Period, Employee shall serve as the Controller of the Company, and shall have the usual and customary duties, responsibilities and authority of a Controller. Employee acknowledges and agrees that she shall perform her duties and
          responsibilities faithfully and to the best of her abilities in a businesslike manner.

       

      
        

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      (b)          Employee shall report to the Chief Executive Officer, shall work on a full-time basis for the Company and shall devote substantially all of her business time, attention, skills and energies to
            the business and affairs of the Company. During the Employment Period, Employee shall not engage in any business activity which, in the reasonable judgment of the Board of Directors of the Company (the “Board”), conflicts with the duties of Employee hereunder, whether or
            not such activity is pursued for gain, profit or other pecuniary advantage. Employee agrees that she shall promptly report any potential conflict in writing to the Board, affirmatively disclosing any outside business opportunity that presents
            even the appearance of a conflict.

      

      

      3.           Base Salary and Benefits.

      

      

      (a)          Base Salary. During the Employment Period, Employee’s base salary shall be $150,000.00 per annum (the
            “Base Salary”), which shall be
            payable in regular installments in accordance with the Company’s general payroll practices. This annual Base Salary shall be prorated for 2019 based upon the Effective Time through the end of the calendar year. Annual compensation review and
            increases, if any, will be subject to approval by the Board. However, the Base Salary may not be decreased during the Employment Period other than as part of an across-the-board salary reduction for senior executives of the Company.

      

      

      (b)          Bonus. At the conclusion of each fiscal year during the Employment Period, in addition to the Base
            Salary, Employee may be eligible to receive an annual bonus (the “Annual Bonus”) in an amount to be established by the Board. The amount of the Annual Bonus will be based on achievement of certain annual operating profit targets and other objectives established by the
            Board, and the target Annual Bonus, assuming that all performance goals are satisfied at the target level of performance, shall be one-hundred sixty-six and two-thirds percent (166 2/3%) of the Base Salary. The Annual Bonus shall be prorated
            for 2019 based upon the Effective Time through the end of the calendar year. Any Annual Bonus shall be paid promptly following the completion of the annual audit for the calendar year to which it relates, and in all events no later than March
            15th of the calendar year following the calendar year to which it relates.

      

      

      (c)          Vacation. During the Employment Period, Employee shall be entitled to paid vacation in accordance with
            Company policy.

      

      

      (d)          Expenses. The Company shall reimburse Employee for all reasonable expenses incurred by her in the
            course of performing her duties under this Agreement which are consistent with the Company’s policies in effect from time to time with respect to travel, entertainment and other business expenses (“Business Expenses”), subject to the Company’s requirements with
            respect to reporting and documentation of such expenses.

      

      

      (e)          Benefits. Employee will be eligible to participate in such health care, insurance, retirement, and
            other employee benefit plans as are generally made available by the Company to their employees, subject to the terms of said plan or plans. The terms of such plans are subject to change or termination at any time, with or without notice, at the
            discretion of the Company.

       

      
        

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      4.           Termination. The Employment Period shall terminate as follows.

      

      

      (a)          Termination by Employee without Good Reason. In the event that Employee terminates her employment for
            any reason other than for Good Reason, Employee must provide the Company with written notice of such resignation. Employee will use her best efforts to provide the Company with such written notice at least sixty (60) days in advance of the
            effective date of the termination. In the event that at least sixty (60) days’ advance written notice is not provided, Employee agrees to be available as a resource to the Company for the transition of her responsibilities for a number of days
            equal to sixty (60) minus the number of days’ written notice provided.

      

      

      (b)          Termination by Employee for Good Reason. Employee may terminate her employment hereunder for Good
            Reason. “Good Reason” means (i) a
            material and sustained diminution in Employee’s duties under this Agreement or a reduction of Employee’s title, (ii) a material breach by the Company of this Agreement, (iii) relocation of Employee’s principal place of employment to a location
            that is more than fifty (50) miles from Employee’s place of employment as of the Effective Time, without Employee’s consent, (D) a reduction in the Base Salary, unless such reduction is part of an across the board reduction for senior
            executives of the Company, or (E) a material reduction in the Employee’s target Annual Bonus; provided that any such action shall not constitute Good Reason unless (A) Employee provides written notice to the Company of any such action within
            thirty (30) days of the date on which such action first occurs and provides the Company with thirty (30) days to remedy such action (the “Cure Period”), (B) the Company fails to remedy such action within the Cure Period, and (C) Employee resigns within thirty (30) days
            of the expiration of the Cure Period.

      

      

      (c)          Termination by the Company.

      

      

      (i)          Termination by the Company for Cause. The Company may terminate Employee’s
            employment for Cause (“Termination for Cause”). “Cause” shall mean
            any of the following:

      

      

      
        
          	

                	(1)	
                  Any act of fraud, embezzlement, theft, intentional dishonesty, misrepresentation or breach of fiduciary duty with respect to the Company or its subsidiaries;

                

        

      

      

      

      
        
          	

                	(2)	
                  Employee’s gross negligence or willful misconduct in the performance of her duties to the Company;

                

        

      

      

      

      
        
          	

                	(3)	
                  Failure or refusal to follow any reasonable directive of the officer to whom Employee reports, and if such failure and refusal is curable, if such failure or
                    refusal is not cured within fifteen (15) days after the Company’s written notice to Employee of such failure or refusal;

                

        

      

       

      
        

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                	(4)	
                  Employee’s (1) breach of Sections 6, 7 or 8 of this Agreement; (2) breach of any material written policy of the Company which if curable, is not cured within fifteen (15)
                      days after the Company’s written notice of such breach; or (3) material breach of this Agreement, which if curable, is not cured within fifteen (15) days after the Company’s written notice of such breach; or

                

        

      

      

      

      
        
          	

                	(5)	
                  Employee’s conviction of, indictment for or entering of a guilty plea or plea of no contest or nolo contendere with respect to any felony or any crime involving
                    an act of moral turpitude.

                

        

      

      

      

      The Company may terminate this Agreement pursuant to a Termination for Cause at any time immediately upon notice to Employee.

      

      

      (ii)          Termination by the Company without Cause. The Company may terminate Employee’s
            employment without Cause (i.e. for any reason other than those described in Subsections 4(b)(i), and 4(c)) (“Termination
            without Cause”) at any time upon written notice to Employee.

      

      

      (d)          Death and Disability. Employee’s employment shall terminate immediately upon Employee’s death and the
            Company may terminate this Agreement upon thirty (30) days’ prior written notice to Employee if, by virtue of a physical or mental condition, Employee is unable to perform the essential functions of her work under this Agreement, with or
            without reasonable accommodation, for a period of one hundred eighty (180) days in any three hundred and sixty-five (365) day period (“Disability”). Any question as to the existence of the Employee’s Disability as to which the Employee and the Company cannot agree shall be
            determined in writing by a qualified independent physician selected by the Company and reasonable acceptable to the Employee. If the Employee and the Company cannot agree as to a qualified independent physician, each shall appoint such a
            physician and those two physicians shall select a third who shall make such determination in writing. The determination of Disability made in writing to the Company and the Employee shall be final and conclusive for all purposes of this
            Agreement.

      

      

      (e)          Obligations upon Termination.

      

      

      (i)          In the event of a resignation by Employee without Good Reason, as described in Subsection 4(a), all of the parties’ respective rights and obligations hereunder shall
            immediately terminate upon the expiration of the notice period required under Section 4(a) or upon notice by the Company waiving such notice, except that (A) Employee’s obligations and the Company’s rights under Sections 5 through 12 of this
            Agreement shall survive such termination and (B) the Company shall pay to Employee only the Base Salary and, in accordance with Company policy, accrued vacation, together with any unreimbursed Business Expenses as of the date of termination
            (collectively, the “Accrued Benefits”).

       

      
        

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      (ii)          In
          the event of a Termination for Cause, as described in Subsection 4(c)(i), all of the parties’ respective rights and obligations hereunder shall terminate upon the effective date of such termination, except that (A) Employee’s obligations and the
          Company’s rights under Sections 5 through 12 of this Agreement shall survive such termination and (B) the Company shall pay to Employee only the Accrued Benefits.

      

      

      (iii)          In the event of a Termination without Cause, as described in Subsection 4(c)(ii), or Employee’s resignation for Good Reason pursuant to Section 4(b), all of the parties’
            respective rights and obligations hereunder shall terminate upon the effective date of such termination pursuant to Subsection 4(c)(ii) or Subsection 4(b) as the case may be, except that (A) Employee’s obligations and the Company’s rights under
            Sections 5 through 12 of this Agreement shall survive such termination; (B) the Company shall pay Employee the Accrued Benefits; (C) the Company shall pay Employee, as severance, an amount equal to twenty-four (24) months of Employee’s
            then-current Base Salary payable in regular installments in accordance with the Company’s general payroll practices; and (D) the Company shall provide a payment in the amount equal to the premium for COBRA benefits under the Company’s group
            health plan for twenty-four (24) months, which the Employee may at Employee’s option, use to procure continuing benefits, payable in monthly installments on the first pay date for each month (the payments under Sections (C) and (D) are
            collectively referred to as the “Severance Payment”). The payment of the Severance Payment under this Subsection 4(e)(iii) shall be conditioned upon Employee’s effective execution of a full release of claims against the Company in a form reasonably satisfactory to the Company.
            The Company shall specify a period, not to exceed forty-five (45) days following termination, during which Employee may review and consider such release, provided that if such period spans two (2) calendar years, then the Severance Payment
            shall not be made until the second calendar year, regardless of the year in which the release is signed and returned.

      

      

      (iv)          In
          the event of Employee’s death or Disability, as described in Subsection 4(d), all of the parties’ respective rights and obligations hereunder shall immediately terminate upon the effective date of such termination pursuant to Subsection 4(d),
          except that (A) Employee’s obligations and the Company’s rights under Sections 5 through 12 of this Agreement shall survive such termination; (B) the Company shall pay to Employee the Accrued Benefits, and (C) the Company shall provide a payment
          in the amount equal to the premium for COBRA benefits under the Company’s group health plan for twelve (12) months, which the Employee or her estate, if applicable, may use to procure continuing benefits, payable in monthly installments on the
          first pay date for each month.

       

      
        

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      (v)          Except
          as otherwise required by law (e.g., COBRA) or as specifically provided herein, all of Employee’s rights to salary, severance, fringe benefits and bonuses hereunder (if any) shall cease upon termination for any reason.

      

      

      (vi)          Upon
          termination of Employee’s employment hereunder for any reason, Employee shall promptly resign from all other positions with the Company and its affiliates.

      

      

      5.           Acknowledgments.

      

      

      (a)          Employee acknowledges and agrees that as a result and as part of Employee’s employment with the Company, she has received and will receive knowledge and expertise in the Business of the Company
            that is special and unique. As used in this Agreement, the term “Business” shall mean the business of (i) originating mortgages, lending money or other financing, in each case, for the purpose of acquiring, developing or otherwise financing real estate and related
            assets or the operation of a real estate investment fund or such other fund, real estate investment trust or other entity that participates in the foregoing described real estate-related activities within the United States, whether through
            origination activities or in the secondary market (including, without limitation, through the acquisition of real estate related loans or interests therein) or (ii) Fundraising for, on behalf of, or with respect to persons engaged in the
            activities referenced in clause (i).

      

      

      (b)          For purposes of this Agreement, the term “Fundraising” means any action of a person to secure third-party equity investments in a commercial business venture or investment fund, including but not limited to direct and
            indirect solicitation, marketing and distribution of investment material related to such commercial business venture or investment fund.

      

      

      (c)          For purposes of this Agreement, the term “Confidential Information” means any confidential or proprietary information of the Company, which is not already or does not become generally available to the public (but not through any breach
            of confidentiality by Employee), whether contained in documents, electronic media or other forms, including, but not limited to, information about materials, procedures, inventions, processes, manufacturing, expertise, customer lists, potential
            customer lists, customer data, financial data, vendors, marketing plans, and trade secrets. Confidential Information shall also include personal information of the Company’s customers, clients, employees, and vendors (“Personal Information”).

      

      

      (d)          Employee
          acknowledges and agrees that the restrictive covenants and other continuing obligations in this Agreement are reasonable and necessary and that consideration and compensation provided to Employee pursuant to this Agreement constitute good and
          sufficient consideration for Employee’s agreements and covenants in Sections 6, 7 and 8.

      

      

      (e)          For purposes of
          Sections 5 through 9, the term “Company” includes both the Company and its direct and indirect subsidiaries.

      

      

      6.           Nondisclosure and Nonuse of Confidential Information; Nondisparagement.

      

      

      (a)          Employee
          acknowledges and agrees that she will be afforded access to Confidential Information which could have an adverse effect on the Company and its Business if it is used in an unauthorized manner and/or disclosed. Employee will not, at any time,
          either during the Employment Period or thereafter, disclose or use any Confidential Information, or permit any person to use, examine or make copies of any Confidential Information, except as may be required in her duties on behalf of the Company
          or any of its subsidiaries. Employee agrees to take reasonable measures to protect the secrecy of, and avoid the disclosure and the unauthorized use of, any Confidential Information.

       

      
        

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      (b)          Employee shall
          deliver to the Company at the termination of the Employment Period, or at any time the Company may request, all memoranda, notes, plans, records, reports, files, electronic data, computer tapes, software and other documents and data (and copies
          thereof) that is Confidential Information or Personal Information or Work Product (each as defined herein) or other information relating to the Business of the Company which Employee may then possess or have under her control. Notwithstanding the
          foregoing, Employee will have the right to retain and remove all personal property and effects which are owned by Employee.

      

      

      (c)          Employee agrees
          that she will not view or access any Personal Information except as needed in the course of her job duties and responsibilities for the Company or any of its subsidiaries.

      

      

      (d)          Employee agrees not to make, or cause any other
          person to make, any public statement that criticizes or disparages the Company or any of its subsidiaries, executive officers, employees, directors or products. Nothing set forth herein shall be interpreted to prohibit Employee from responding
          publicly to incorrect public statements, making truthful statements when required by law, subpoena, court order, or the like and/or from responding to any inquiry about this Agreement or its underlying facts and circumstances by any regulatory or
          investigatory organization and/or from making any truthful statements in the course of any litigation.

      

      

      (e)          Pursuant to 18 U.S.C. § 1833(b), Employee will not
          be held criminally or civilly liable under any federal or state trade secret law for the disclosure of a trade secret of the Company or any of its subsidiaries that (i) is made (A) in confidence to a federal, state, or local government official,
          either directly or indirectly, or to Employee’s attorney and (B) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made in a complaint or other document that is filed under seal in a lawsuit or other
          proceeding. If Employee files a lawsuit for retaliation by the Company or any of its subsidiaries for reporting a suspected violation of law, Employee may disclose the trade secret to Employee’s attorney and use the trade secret information in
          the court proceeding, if Employee files any document containing the trade secret under seal and does not disclose the trade secret except under court order. Nothing in this Agreement is intended to conflict with 18 U.S.C. § 1833(b) or create
          liability for disclosures of trade secrets that are expressly allowed by such section.

      

      

      7.          Inventions and Patents. Employee agrees that all inventions,
            innovations, improvements, technical information, certifications, systems, software developments, methods, designs, analyses, drawings, reports, service marks, trademarks, trade names, logos and all similar or related information (whether
            patentable or unpatentable) which relates to the Company’s (or any predecessor’s) Business, research and development or existing or future products or services and which are conceived, developed or made by Employee (whether or not during usual
            business hours and whether or not alone or in-conjunction with any other person) in the course of her employment with the Company or relationship with the Company or any predecessor, together with all patent applications, letters patent,
            trademark, trade name and service mark applications or registrations, copyrights and reissues thereof that may be granted for or upon any of the foregoing (collectively referred to herein as “Work Product”) belong to the Company. Employee hereby assigns and agrees to assign
            to the Company any rights she may have or acquire in such Work Product, whether created before, on, after or prior to the Effective Time. Employee agrees that her copyrightable works prepared for the Company are “supplementary works” or “works
            for hire,” as defined in Title 17 of the United States Code, and if any such works are deemed not to be a supplementary work or work for hire, then Employee hereby assigns and agrees to assign her entire right, title and interest in the
            copyright to such works to the Company. Employee will take reasonable steps to promptly disclose such Work Product to the Company and perform all actions reasonably requested by the Company (whether during or after the Employment Period) to
            establish and confirm such ownership (including the execution and delivery of assignments, consents, powers of attorney and other instruments) and to provide reasonable assistance to the Company in connection with the prosecution of any
            applications for patents, trademarks, trade names, service marks or reissues thereof or in the prosecution or defense of interferences relating to any Work Product, to the extent the assistance of Employee is reasonably required to prosecute
            such applications or reissues thereof or to prosecute or defend such interferences.

       

      
        

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      8.           Non-Competition and Non-Solicitation.

      

      

      (a)          Employee
          acknowledges that, in the course of her employment with the Company she will become familiar with the Company’s and its respective predecessors’ trade secrets and with other Confidential Information concerning the Company and its respective
          predecessors and that her services have been and will be of special, unique and extraordinary value to the Company. Employee agrees that, in consideration of her employment as contemplated under this Agreement and all compensation and benefits
          being provided herein, it is both reasonable and fair as well as necessary for the protection of the Company’s confidential information, good will in the marketplace, and other protectable business interests, that she be subject to certain
          limitations in her activities in the event of this Agreement’s termination by either party for any reason.

      

      

      (b)          Therefore, in
          consideration of the foregoing, Employee agrees that, for a period of twenty-four (24) months following termination of employment for any reason, she will not (i) engage in, sell or provide any products or services which are the same as or
          similar to or otherwise competitive with the products and services sold or provided by the Company; (ii) own, acquire, or control any interest, financial or otherwise, in any entity or business engaged in selling or providing the same, similar or
          otherwise competitive services or products which the Company is selling or providing in connection with the Business; (iii) call on or solicit which may interfere with or impair the relationship between the Company and any current or prospective
          customer, supplier, distributor, developer, service provider or other material business relation of the Company in connection with the Business; and (iv) act or provide services as a consultant or advisor or loan or otherwise provide financing or
          financial assistance of any kind, to any third party who is or is attempting, directly or indirectly, to engage in any of the activities listed in subsections (i) through (iii) above; provided that nothing in this Subsection (b) shall prohibit
          Employee from owning less than five percent (5%) of the outstanding shares of any public company as long as Employee has no other role with such company.

       

      
        

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      (c)          In addition, in
          consideration of the foregoing, Employee agrees that, for a period of twelve (12) months following any termination of employment, Employee shall not, directly or indirectly, through another person or entity (i) induce, attempt to induce, or
          solicit any employee of the Company to terminate her employment with the Company, or in any way interfere with the relationship between the Company, on the one hand, and any employee thereof, on the other hand, (ii) employ, hire, induce, attempt
          to induce, or solicit the employment of any former employee of the Company until one (1) year after such employee’s employment relationship with the Company has been terminated, (iii) call on, solicit, service, divert or take away or attempt to
          call on, solicit, service, divert or take away any customer, supplier, contractor, designer, licensee or other business relation of the Company with respect to products or services related to the Company’s Business as of the date of this
          Agreement’s termination or induce any of such parties to cease doing business with the Company, or in any way interfere with the relationship between any such customer, supplier, contractor, designer, licensee or business relation, on the one
          hand, and the Company, on the other hand, or (iv) make any statement or do any act to impair, prejudice or destroy the goodwill of the Company, to prejudice or impair the relationship or dealing between the Company and any of its customers,
          suppliers, contractors, designers, licensees, employees or other business relations, or to cause existing or potential customers of the Company to make use of the services or purchase the services or products of any competitive business.

      

      

      9.           Enforcement.

      

      

      (a)          If Employee
          breaches or threatens to commit a breach of any of the covenants set forth in Sections 6, 7, and 8 above, then the Company shall have the right to seek to have the covenants in Sections 6, 7, and 8 specifically enforced against Employee,
          including temporary restraining orders and injunctions by any court of competent jurisdiction, in order to enforce, or prevent any violations of, the provisions hereof (without posting a bond or other security), it being agreed by Employee that
          any breach or threatened breach by Employee of Sections 6, 7, and 8 would cause irreparable injury to the Company and that money damages would not provide an adequate remedy to the Company. The prevailing party is entitled to its attorneys’ fees
          and costs incurred in relation to any action addressing Sections 6, 7, and 8 of this Agreement. In addition, the Company shall not be required to post any bond or other surety as a condition to the issuance of any temporary restraining order or
          injunction, and Employee irrevocably waives any such requirement of any statute or applicable law.

      

      

      (b)          If, during the
          enforcement of any or all of the covenants and provisions set forth in Sections 6, 7, and 8 above, any court of competent jurisdiction enters a final judgment that declares that the duration, scope, or area restrictions stated therein are
          unreasonable under circumstances then existing, are invalid, or are otherwise unenforceable, then the parties hereto agree that the maximum enforceable duration, scope, or area reasonable under such circumstances shall be substituted for the
          stated duration, scope, or area, and that the court making the determination of invalidity or unenforceability shall have the power to revise the scope, duration, or area of the term or provision, to delete specific words or phrases, or to
          replace any invalid or unenforceable term or provision with a term or provision that is valid and enforceable and that comes the closest to expressing the intention of the invalid or unenforceable term or provision, and this Agreement shall be
          enforceable as so modified to cover the maximum duration, scope, or area permitted by law.

       

      
        

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      (c)          If any of the
          provisions of Sections 6, 7, and 8 are violated, then the time limitations set forth in those sections shall be extended for a period of time equal to the period of time during which such breach occurs, and, in the event the Company is required
          to seek relief from such breach before any court, board or other tribunal, then the time limitation shall be extended for a period of time equal to the pendency of such proceedings, including all appeals.

      

      

      10.          Insurance. The Company may, for its own benefit, maintain “key
            man” life and disability insurance policies covering Employee. Employee will reasonably cooperate with the Company and provide such information or other assistance as the Company or insurance company may reasonably request in connection with
            the Company obtaining and maintaining such policies.

      

      

      11.          Representations and Warranties. Employee hereby represents and
            warrants to the Company that (a) the execution, delivery and performance of this Agreement by Employee does not and will not conflict with, breach, violate or cause a default under any agreement, contract or instrument to which Employee is a
            party or any judgment, order or decree to which Employee is subject, (b) Employee is not and will not be a party to or bound by any employment agreement, consulting agreement, non-compete agreement, confidentiality agreement or similar
            agreement with any other person or entity that is inconsistent with the provisions of this Agreement and (c) this Agreement is a valid and binding obligation of Employee.

      

      

      12.          Notices. All notices and other communications hereunder shall be
            in writing and shall be deemed duly given (a) on the date of delivery if delivered personally, or if by facsimile or e-mail (b) on the first business day following the date of dispatch if delivered utilizing an overnight delivery service or (c)
            three (3) days after mailing (or one (1) business day in the case of overnight delivery service). All notices hereunder shall be delivered to the addresses set forth below as follows:

      

      

      If to Employee:

      

      

      Joanne Van Sickle

      3014 164th Place NE

      Bellevue, Washington 98008

      Email: jvansickle@comcast.net

      

      

      If to the Company:

      

      

      Broadmark Realty Capital Corp.

      1420 Fifth Avenue, Suite 2000

      Seattle, WA 98101

      Facsimile: 206-623-2213

      Attention: President

      Email: TMCXnotices@trinityinvestments.com

       

      
        

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      with a copy to:

      

      

      Gibson, Dunn & Crutcher LLP

      200 Park Avenue

      New York, New York 10166

      Attention: Glenn Pollner

      E-mail: GPollner@gibsondunn.com

      

      

      or to such other address as the parties hereto may designate in writing to the other in accordance with this Section 12. Any party may change the address to which
        notices are to be sent by giving written notice of such change of address to the other parties in the manner above provided for giving notice.

      

      

      13.          General Provisions.

      

      

      (a)          Severability. It is the desire and intent of the parties hereto that the provisions of this Agreement
            be enforced to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought. Accordingly, if any particular provision of this Agreement shall be adjudicated by a court of
            competent jurisdiction to be invalid, prohibited or unenforceable for any reason, such provision, as to such jurisdiction, shall be ineffective, without invalidating the remaining provisions of this Agreement or affecting the validity or
            enforceability of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction. Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid, prohibited or
            unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so narrowly drawn, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other
            jurisdiction.

      

      

      (b)          Complete Agreement. Except as set forth above with respect to the Profits Units, this Agreement represents the entire agreement between the parties
            with respect to the subject matter of this Agreement and supersedes and cancels all other contracts, agreements, representations and understandings between the parties or their affiliates, whether written or oral, expressed or implied. This
            Agreement shall bind and inure to the benefit of each party, their parent companies, subsidiaries and affiliates, and each of their respective officers, directors, shareholders, investors, business associates, owners, partners, employees,
            representatives, agents, contractors and assigns. The terms of this Agreement are the result of negotiations in which each party had the opportunity to review and revise any term herein. Consequently, this Agreement shall not be construed for
            or against either party as a result of the manner in which it was drafted.

      

      

      (c)          Successors and Assigns. Except as otherwise provided herein, this Agreement shall be binding upon and inure to the benefit of Employee and the Company
            and its respective successors, permitted assigns, personal representatives, heirs and estates, as the case may be; provided, however, that the rights and obligations of Employee under this Agreement shall not be assigned without the prior
            written consent of the Company and the Company may assign the rights and obligations of this Agreement to any affiliate of the Company or any successor or permitted assign of the Company’s business or assets, and such assignment by the Company
            will not constitute a termination under Section 4.

       

      
        

        11

        
          

        

      

      (d)          Governing Law. THIS AGREEMENT, AND ALL CLAIMS, DISPUTES AND CONTROVERSIES RELATED HERETO OR ARISING
            HEREFROM, SHALL BE GOVERNED BY, AND CONSTRUED, APPLIED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF MARYLAND, WITHOUT REGARD TO CONFLICT OF LAW PRINCIPLES. NO DEFENSE, COUNTERCLAIM OR RIGHT OF SET-OFF GIVEN OR ALLOWED BY THE LAWS OF
            ANY OTHER STATE OR JURISDICTION, OR ARISING OUT OF THE ENACTMENT, MODIFICATION OR REPEAL OF ANY LAW, REGULATION, ORDINANCE OR DECREE OF ANY FOREIGN JURISDICTION, BE INTERPOSED IN ANY ACTION HEREON. THE PROVISIONS OF THIS AGREEMENT SHALL BE
            ENFORCEABLE NOTWITHSTANDING THE EXISTENCE OF ANY CLAIM OR CAUSE OF ACTION OF EMPLOYEE AGAINST COMPANY, WHETHER PREDICATED ON THIS AGREEMENT OR OTHERWISE.

      

      

      (e)          Jurisdiction; Waiver of Jury Trial. EMPLOYEE HEREBY VOLUNTARILY, UNCONDITIONALLY AND IRREVOCABLY
            AGREES AND SUBMITS TO THE JURISDICTION OF THE FEDERAL AND STATE COURTS OF THE STATE OF MARYLAND AND APPELLATE COURTS FROM ANY THEREOF FOR ANY CLAIM, ACTION OR DISPUTE ARISING OUT OF OR RELATED TO THIS AGREEMENT, AND WAIVES AND AGREES NOT TO
            ASSERT ANY DEFENSE THAT ANY SUCH COURT LACKS JURISDICTION, VENUE IS IMPROPER, OR THE FORUM IS INCONVENIENT. EMPLOYEE AND COMPANY HEREBY IRREVOCABLY AND KNOWINGLY WAIVE (TO THE FULLEST EXTENT PERMITTED BY LAW) ANY RIGHT TO A TRIAL BY JURY IN ANY
            ACTION OR PROCEEDING (INCLUDING, WITHOUT LIMITATION, ANY COUNTERCLAIM) ARISING OUT OF THIS AGREEMENT OR ANY OTHER AGREEMENTS OR TRANSACTIONS RELATED HERETO OR THERETO, INCLUDING, WITHOUT LIMITATION, ANY ACTION OR PROCEEDING: (I) TO ENFORCE OR
            DEFEND ANY RIGHTS UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY INSTRUMENT, DOCUMENT OR AGREEMENT DELIVERED OR WHICH MAY IN THE FUTURE BE DELIVERED IN CONNECTION HEREWITH, OR (II) ARISING FROM ANY DISPUTE OR CONTROVERSY IN CONNECTION WITH
            OR RELATED TO THIS AGREEMENT. COMPANY AND EMPLOYEE AGREE THAT ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A COURT AND NOT A JURY.

      

      

      (f)          Withholdings. All payments hereunder are subject to withholding for applicable federal, state and
            local income and employment taxes and any other deductions authorized by Employee or required by law.

      

      

      (g)          Amendment and Waiver. The provisions of this Agreement may be amended and waived only with the prior
            written consent of the Board and Employee, and no course of conduct or failure or delay in enforcing the provisions of this Agreement shall affect the validity, binding effect or enforceability of this Agreement or any provision hereof.

      

      

      (h)          Headings. The section headings contained in this Agreement are inserted for convenience only and shall
            not affect in any way the meaning or interpretation of this Agreement.

       

      
        

        12

        
          

        

      

      (i)          Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
            original and all of which together shall constitute one and the same instrument.

      

      

      (j)          Business Days. If any time period for giving notice or taking action hereunder expires on a day which
            is not a business day in the State of New York, the time period for giving notice or taking action shall be automatically extended to the immediately following business day.

      

      

      (k)          Survival of Representations, Warranties and Agreements. All representations, warranties and agreements
            contained herein shall survive the termination of this Agreement. For the avoidance of doubt, Employee’s obligations under Sections 6 through 8 hereof shall survive termination of this Agreement for any reason (including, without limitation,
            upon nonrenewal of the agreement by either party).

      

      

      (l)          Section 409A. To the extent applicable, this Agreement shall be interpreted in accordance with, and
            incorporate the terms and conditions required by, Section 409A of the Internal Revenue Code of 1986, as amended, and the Department of Treasury regulations and other interpretive guidelines issued thereunder (collectively, “Section 409A”). Notwithstanding any provision
            to the contrary in this Agreement: (i) no amount that constitutes deferred compensation as defined in Section 409A shall be payable in connection with Employee’s termination of employment shall be paid to you unless the termination of your
            employment constitutes a “separation from service” within the meaning of Section 1.409A-1(h) of the Department of Treasury Regulations, and if Employee incurs a termination of employment that does not constitute a separation from service, as so
            defined, Employee’s right to such payments shall vest but payment shall be deferred until the date on which you incur a separation from service, or die; (ii) if, on the date on which Employee incurs a separation from service, Employee is a
            “specified employee” as defined in Section 409A, any amount that constitutes deferred compensation and that becomes payable by reason of such separation from service (including any amount described in clause (i)) shall be deferred until the
            earlier of the first day of the seventh month following the month that includes the separation from service or Employee’s death; (iii) for purposes of Section 409A, Employee’s right to receive installment payments pursuant to this Agreement
            shall be treated as a right to receive a series of separate and distinct payments; and (iv) to the extent that any reimbursement of expenses or in-kind benefits constitutes “deferred compensation” under Section 409A, such reimbursement or
            benefit shall be provided no later than December 31 of the year following the year in which the expense was incurred. The amount of expenses reimbursed in one year shall not affect the amount eligible for reimbursement in any subsequent year.
            The amount of any in-kind benefits provided in one year shall not affect the amount of in-kind benefits provided in any other year.

      

      

      (m)          Nouns and Pronouns. Whenever the context may require, any pronouns used herein shall include the
            corresponding masculine, feminine or neuter forms, and the singular form of nouns and pronouns shall include the plural and vice-versa.

       

      
        

        13

        
          

        

      

      (n)          Construction. Where specific language (such as the word “including”) is used to clarify by example a
            general statement contained herein, such specific language shall not be deemed to modify, limit or restrict in any manner the construction of the general statement to which it relates. The language used in this Agreement shall be deemed to be
            the language chosen by the parties hereto to express their mutual intent, and no rule of strict construction shall be applied against any party hereto.

      

      

      [SIGNATURE PAGE FOLLOWS]

       

      
        

        14

        
          

        

      

      IN WITNESS WHEREOF, the parties hereto have executed this
        Employment Agreement as of the date first written above.

      

      

      	 	
              TRINITY SUB INC.

            
	 	 	 	 
	 	
              By:

            	
              /s/ Sean A. Hehir

            	 
	 	
              Name:

            	
              Sean A. Hehir

            	 
	 	
              Title:

            	
              President, Chief Executive Officer, Treasurer

            	 
	 	 	
              & Chief Financial Officer

            	 

      

      

      [Signature continues on the following page]

      

      

      SIGNATURE PAGE TO EMPLOYMENT AGREEMENT

       

      
        

        
          

        

      

      	 	
              /s/ Joanne Van Sickle

            	 
	 	
              Joanne Van Sickle

            	 

      

      

      SIGNATURE PAGE TO EMPLOYMENT AGREEMENTExhibit

Exhibit 10.1

THIRD AMENDMENT TO 
SECOND AMENDED AND RESTATED CREDIT AGREEMENT

THIS THIRD AMENDMENT TO SECOND AMENDED AND RESTATED CREDIT AGREEMENT dated as of November 4, 2019 (this “Amendment”), by and among CARGO AIRCRAFT MANAGEMENT, INC., a Florida corporation (the “Borrower”), AIR TRANSPORT SERVICES GROUP, INC., a Delaware corporation (“Holdings”), each of the financial institutions party hereto as “Lenders” and SUNTRUST BANK, in its capacity as Administrative Agent (in such capacity, the “Administrative Agent”).

W I T N E S S E T H:

WHEREAS, the Borrower, Holdings, the Lenders and the Administrative Agent are parties to that certain Second Amended and Restated Credit Agreement dated as of November 9, 2018, as amended from time to time prior to the date hereof (as so amended, the “Credit Agreement”); and

WHEREAS, the Borrower has requested certain amendments and other modifications to the terms and provisions of the Credit Agreement, including a request to provide Incremental Revolving Commitments in an aggregate principal amount of $105,000,000 and a six month extension of the Final Maturity Date;

WHEREAS, the Lenders party to this Amendment and the Administrative Agent are willing to so amend or otherwise modify such terms and provisions and to extend the Final Maturity Date, in each case, on and subject to the terms and conditions herein; and

WHEREAS, each of the Lenders listed on Annex 1.1A attached hereto (collectively, the “Incremental Lenders”) are willing to provide Incremental Revolving Commitments to the Borrower in the amounts set forth on such Annex 1.1A on and subject to the terms and conditions herein.

NOW, THEREFORE, for and in consideration of the above premises and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the parties hereto, the parties hereto hereby agree as follows: 

1.Defined Terms.  Capitalized terms which are used herein without definition and which are defined in the Credit Agreement (after giving effect to this Amendment) shall have the same meanings herein as in the Credit Agreement (after giving effect to this Amendment). 

2.Amendments to Credit Agreement.  

(a)   Section 1.1. of the Credit Agreement is hereby amended by adding the following new 
definitions in the appropriate alphabetical order:

“Convertible Notes” shall mean the 1.125% Convertible Senior Notes due 2024, issued pursuant to that certain Indenture dated as of September 29, 2017 between Holdings and U.S. Bank National Association.  
“Liquidity” shall mean, as of any date of determination, the sum of (i) the aggregate amount of unrestricted cash on hand of Holdings and its Subsidiaries plus (ii) the Total Revolving Commitment minus the Total Revolving Extensions of Credit.
“Third Amendment Effective Date” shall mean November 4, 2019. 
(b)               The Credit Agreement is hereby further amended by deleting the defined terms “Anniversary Date”, “Applicable Margin”, “Revolving Facility Final Maturity Date” and “Term Facility Final Maturity Date” in Section 1.1. thereof and substituting in lieu thereof the following defined terms, respectively:

“Anniversary Date" shall mean November 30 of each year after the Third Amendment Effective Date until the applicable Final Maturity Date.
“Applicable Margin” shall mean, for each Type and Class of Loan, the rate per annum set forth under the relevant column heading and opposite the relevant category below:
	
					
	Level
	Secured Leverage Ratio
	Applicable Margin for Eurodollar Rate Loans
	Applicable Margin for Base Rate Loans
	Commitment Fee for Revolver

	I
	Greater than or equal to 2.50x
	1.875%
	0.875%
	0.30%

	II
	Less than 2.50x but greater than or equal to 2.00x
	1.75%
	0.75%
	0.25%

	III
	Less than 2.00x but greater than or equal to 1.50x
	1.50%
	0.50%
	0.225%

	IV
	Less than 1.50x but greater than or equal to 1.00x
	1.25%
	0.25%
	0.20%

	V
	Less than 1.00x
	1.00%
	0.00%
	0.20%

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LEGAL02/39302758v7

For the purposes hereof, changes in the Applicable Margin resulting from changes in the Secured Leverage Ratio shall become effective on the date (the “Adjustment Date”) that is three Business Days after the date on which financial statements are delivered to the Lenders pursuant to Section 8.1 and shall remain in effect until the next change to be effected pursuant to this paragraph; provided, that the foregoing is subject in all events to the last paragraph of Section 8.1(c).  If any financial statements referred to above are not delivered within the time periods specified in Section 8.1, then, until the date that is three Business Days after the date on which such financial statements are delivered, the highest rate set forth in each column of the table above shall apply.  Each determination of the Secured Leverage Ratio pursuant to the above table shall be made in a manner consistent with the determination thereof pursuant to Section 9.13.  Notwithstanding the foregoing, the Applicable Margin from the Third Amendment Effective Date until the third Business Day after the Borrower delivers the required financial statements under Section 8.1 for the Fiscal Quarter ending December 31, 2019 shall be at Level I. 
“Revolving Facility Final Maturity Date” shall mean November 30, 2024, or such later date to which the Revolving Facility Final Maturity Date may be extended pursuant to the terms hereof or, if earlier, the date on which the Revolving Commitments are terminated pursuant to Section 10; provided that if (i) on July 12, 2024, more than $75,000,000 in aggregate principal amount of the Convertible Notes remain outstanding and (ii) on such date, Holdings and its Subsidiaries have less than $375,000,000 of Liquidity, the Revolving Facility Final Maturity Date shall be July 12, 2024.
“Term Facility Final Maturity Date” shall mean November 30, 2024, or such later date to which the Term Facility Final Maturity Date may be extended pursuant to the terms hereof or, if earlier, the date on which the Term Loans are declared immediately due and payable pursuant to Section 10; provided that if (i) on July 12, 2024, more than $75,000,000 in aggregate principal amount of the Convertible Notes remain outstanding and (ii) on such date, Holdings and its Subsidiaries have less than $375,000,000 of Liquidity, the Term Facility Final Maturity Date shall be July 12, 2024.
(c)                The Credit Agreement is hereby further amended by adding the following sentence at the end of Section 2.1(a)(ii) thereof:
“The Borrower acknowledges and agrees that the aggregate outstanding principal amount of the Term Loans A-2 as of the Third Amendment Effective Date (after giving effect to that certain Third Amendment to Second Amended and Restated Credit Agreement dated as of November 4, 2019 and the prepayment of the Term Loans A-2 contemplated thereby) is $635,000,000.”
(d)               The Credit Agreement is hereby further amended by deleting Section 2.14(a) thereof in its entirety and substituting in lieu thereof the following: 

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LEGAL02/39302758v7

“(a)    Upon notice to the Administrative Agent (whereupon the Administrative Agent shall promptly notify the Lenders), at any time after the Third Amendment Effective Date, the Borrower may from time to time request (i) additional commitments under the Term Facility (each an “Incremental Term Commitment” and all of them, collectively, the “Incremental Term Commitments”) and/or (ii) increases in the aggregate amount of the Revolving Commitments (each such increase, an “Incremental Revolving Commitment” and, together with the Incremental Term Commitments, the “Incremental Commitments”); provided that (x) after giving effect to any such addition(s), the aggregate amount of Incremental Commitments that have been added pursuant to this Section 2.14 after the Third Amendment Effective Date (excluding, for the avoidance of doubt, the Incremental Revolving Commitments provided on the Third Amendment Effective Date) shall not exceed the Incremental Cap (as defined below), (y) any such addition or increase shall be in an amount of not less than $10,000,000 and (z) there shall be not more than three (3) such increases after the Third Amendment Effective Date.  For purposes hereof, the “Incremental Cap” shall mean the sum of (i) $400,000,000 (the “Fixed Basket”) plus (ii) the maximum principal amount of Indebtedness that may be incurred at such time that would not cause the Secured Leverage Ratio on a pro forma basis to exceed 3.25 to 1.00; provided that in calculating the Secured Leverage Ratio for purposes of this definition only, all Incremental Revolving Commitments shall be assumed to be fully drawn (this clause (ii), the “Incremental Ratio Basket”).  The Borrower may allocate use of the Incremental Cap between the Fixed Basket and the Incremental Ratio Basket in such amounts as it determines (which shall be specified in the Incremental Facility Amendment related to the Incremental Commitments).”
(e)                The Credit Agreement is hereby further amended by deleting Section 5.2(a)(iii) thereof in its entirety and substituting in lieu thereof the following: 
“(iii)    The Borrower shall be required to repay the principal amount of Term Loans A-2 on the last day of March, June, September and December of each year and on the Term Facility Final Maturity Date, commencing March 31, 2020 (each such repayment, a “Term Loan A-2 Scheduled Repayment”), each such installment on any such date to be in the amount set forth below opposite such date:
	
		
	Date
	Installment Amount

	March 31, 2020
	$3,968,750

	June 30, 2020
	$3,968,750

	September 30, 2020
	$3,968,750

	December 31, 2020
	$3,968,750

	March 31, 2021
	$3,968,750

	June 30, 2021
	$3,968,750

	September 30, 2021
	$3,968,750

	December 31, 2021
	$3,968,750

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LEGAL02/39302758v7

	
		
	Date
	Installment Amount

	March 31, 2022
	$7,937,500

	June 30, 2022
	$7,937,500

	September 30, 2022
	$7,937,500

	December 31, 2022
	$7,937,500

	March 31, 2023
	$7,937,500

	June 30, 2023
	$7,937,500

	September 30, 2023
	$7,937,500

	December 31, 2023
	$7,937,500

	March 31, 2024
June 30, 2024
September 30, 2024
	  $7,937,500
  $7,937,500
  $7,937,500

	Term Facility Final   Maturity Date
	All amounts outstanding in
 respect of Term Loans A-2

If the Term Facility Final Maturity Date is extended pursuant to Section 2.16, the Borrower shall continue to repay the principal amount of the Term Loan A-2 on the last day of March, June, September and December of each year (commencing with December 31, 2024) in equal installments of $7,937,500 each until the then extended Term Facility Final Maturity Date, at which time all amounts outstanding in respect of the Term Loans shall be due and payable.  The Term Loan A-2 Scheduled Repayments shall be reduced as a result of the application of prepayments in accordance with the order of priority set forth in clause (b) immediately below.”
(f)                The Credit Agreement is hereby further amended by deleting the reference to “December 31, 2015” in Section 6.2(d) thereof and substituting in lieu thereof “December 31, 2018”.
(g)               The Credit Agreement is hereby further amended by deleting Section 7.9(b) thereof in its entirety and substituting in lieu thereof the following:
“(b)    The audited financial statements of Holdings and its Subsidiaries for the 2018 Fiscal Year consisting of balance sheets and the related consolidated statements of income, stockholders’ equity and cash flows for such Fiscal Year, were prepared in conformity with GAAP and fairly present, in all material respects, the financial position, on a consolidated basis, of the Persons described in such financial statements as at the respective dates thereof and the results of operations and cash flows, on a consolidated basis, of the Persons described therein for each of the periods then ended.  As of the Third Amendment Effective Date, none of Holdings, the Borrower or any of their respective Subsidiaries has any contingent liability or liability for taxes, long‐term lease or unusual forward or long‐term commitment that is not reflected in the foregoing financial statements or the notes thereto and which in any such case is material in relation to the business, operations, properties, assets, 

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LEGAL02/39302758v7

condition (financial or otherwise) or prospects of Holdings, the Borrower or any of their respective Subsidiaries.  Since December 31, 2018, no event, circumstance or change has occurred that has caused or evidences, either in any case or in the aggregate, a Material Adverse Effect.”
(h)               The Credit Agreement is hereby further amended by deleting the reference to “December 31, 2015” in Section 7.19 thereof and substituting in lieu thereof “December 31, 2018”.
(i)                 The Credit Agreement is hereby further amended by deleting Section 8.10(b)(i) thereof in its entirety and substituting in lieu thereof the following:
“(i)    [reserved];”
(j)                 The Credit Agreement is hereby further amended by deleting Section 9.4(i) thereof in its entirety and substituting in lieu thereof the following:
“(i)    other Indebtedness of Holdings and its Subsidiaries in an aggregate outstanding principal amount not to exceed at any time $750,000,000.”
(k)               The Credit Agreement is hereby further amended by deleting Section 9.13(b) thereof in its entirety and substituting in lieu thereof the following:
“(b)    Holdings will not permit the Total Leverage Ratio at the end of any Test Period ending on March 31, June 30, September 30 and December 31 of any calendar year to be more than 4.25 to 1.00.  For the purposes of calculating the financial covenant set forth in this clause (b), the Relief Fund shall be deemed not to be a ‘Subsidiary.’”
(l)                 The Credit Agreement is hereby further amended by adding a new Section 12.25 thereto as follows:
“Section 12.25  Acknowledgement Regarding Any Supported QFCs.  To the extent that the Credit Documents provide support, through a guarantee or otherwise, for Hedging Transactions or any other agreement or instrument that is a QFC (such support, “QFC Credit Support” and each such QFC a “Supported QFC”), the parties acknowledge and agree as follows with respect to the resolution power of the Federal Deposit Insurance Corporation under the Federal Deposit Insurance Act and Title II of the Dodd-Frank Wall Street Reform and Consumer Protection Act (together with the regulations promulgated thereunder, the “U.S. Special Resolution Regimes”) in respect of such Supported QFC and QFC Credit Support (with the provisions below applicable notwithstanding that the Credit Documents and any Supported QFC may in fact be stated to be governed by the laws of the State of New York and/or of the United States or any other state of the United States):
(a)   In the event a Covered Entity that is party to a Supported QFC (each, a “Covered Party”) becomes subject to a proceeding under a U.S. Special 

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LEGAL02/39302758v7

Resolution Regime, the transfer of such Supported QFC and the benefit of such QFC Credit Support (and any interest and obligation in or under such Supported QFC and such QFC Credit Support, and any rights in property securing such Supported QFC or such QFC Credit Support) from such Covered Party will be effective to the same extent as the transfer would be effective under the U.S. Special Resolution Regime if the Supported QFC and such QFC Credit Support (and any such interest, obligation and rights in property) were governed by the laws of the United States or a state of the United States.  In the event a Covered Party or a BHC Act Affiliate of a Covered Party becomes subject to a proceeding under a U.S. Special Resolution Regime, Default Rights under the Credit Documents that might otherwise apply to such Supported QFC or any QFC Credit Support that may be exercised against such Covered Party are permitted to be exercised to no greater extent than such Default Rights could be exercised under the U.S. Special Resolution Regime if the Supported QFC and the Credit Documents were governed by the laws of the United States or a state of the United States.  Without limitation of the foregoing, it is understood and agreed that rights and remedies of the parties with respect to a Defaulting Lender shall in no event affect the rights of any Covered Party with respect to a Supported QFC or any QFC Credit Support.
(b)   As used in this Section 12.25, the following terms have the following meanings: 
“BHC Act Affiliate” of a party means an “affiliate” (as such term is defined under, and interpreted in accordance with, 12 U.S.C. 1841(k)) of such party.
“Covered Entity” means any of the following:
		
	i.
	a “covered entity” as that term is defined in, and interpreted in accordance with, 12 C.F.R. §252.82(b);

		
	ii.
	a “covered bank” as that term is defined in, and interpreted in accordance with, 12 C.F.R. §47.3(b); or 

		
	iii.
	a “covered FSI” as that term is defined in, and interpreted in accordance with, 12 C.F.R. §382.2(b).

“Default Right” has the meaning assigned to that term in, and shall be interpreted in accordance with, 12 C.F.R. §§ 252.81, 47.2 or 382.1, as applicable.
“QFC” has the meaning assigned to the term “qualified financial contract” in, and shall be interpreted in accordance with, 12 U.S.C. 5390(c)(8)(D).”

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LEGAL02/39302758v7

3.Incremental Facility Amendment; Extension Amendment.  The parties hereto intend that this Amendment shall constitute an Incremental Facility Amendment in connection with the Borrower’s increase in the aggregate amount of the Revolving Commitments in the amount of $105,000,000 pursuant to Section 2.14 of the Credit Agreement.  Each of the Incremental Lenders hereby agrees to provide to the Borrower, subject to the terms and conditions herein (including satisfaction of each of the conditions set forth in Section 4 immediately below), an Incremental Revolving Commitment in the amount, for each such Incremental Lender, set forth in Annex 1.1A attached hereto corresponding to such Incremental Lender.  Immediately after giving effect to this Amendment, the Total Revolving Commitments shall be equal to $750,000,000 and the Revolving Commitment of each Lender shall be as set forth on Annex 1.1B attached hereto corresponding to each such Lender.  The Incremental Revolving Commitments contemplated by this Amendment shall be subject to the same terms and provisions (including pricing and final maturity) as the existing Revolving Commitments.  The parties hereto acknowledge and agree that after giving effect to the Incremental Revolving Commitments contemplated by this Amendment, the aggregate amount of Incremental Commitments available to the Borrower will be determined as set forth in Section 2.14 of the Credit Agreement (after giving effect to this Amendment).  The Incremental Commitments Effective Date with respect to the Incremental Revolving Commitments contemplated by this Amendment shall be the Third Amendment Effective Date (immediately after the conditions set forth in Section 4 immediately below have been satisfied).  Notwithstanding anything to the contrary contained in Section 2.16 of the Credit Agreement, each of the parties hereto intends that this Amendment shall constitute an Extension Amendment in connection with the extension contemplated hereby with respect to the Final Maturity Date.  Each of the Lenders hereby waives any requirement for the delivery of corporate legal opinions with respect to the Borrower and the Guarantors in connection with this Amendment, including any legal opinion required by Section 2.16 of the Credit Agreement; provided that the foregoing shall not constitute (or be deemed to constitute) a waiver of any legal opinion required by Section 9 of this Amendment.

4.Conditions Precedent to Effectiveness.  The effectiveness of this Amendment is subject to the truth and accuracy of the warranties and representations set forth in Sections 5 and 6 below and receipt by the Administrative Agent of each of the following, each of which shall be in form and substance satisfactory to Administrative Agent:

(a)    This Amendment, duly executed and delivered by the Borrower, Holdings, the Required Lenders, the Incremental Lenders and the Administrative Agent;

(b)    A pro forma Compliance Certificate dated the Third Amendment Effective Date, after giving effect to the Revolving Commitment Increase contemplated by this Amendment;

(c)    A certificate of the Borrower dated as of the Third Amendment Effective Date signed by an Authorized Officer of the Borrower certifying that, before and after giving effect to the Revolving Commitment Increase and the amendments contemplated by this Amendment (i) the representations and warranties contained in Section 7 of the Credit Agreement and the other Credit Documents are true and correct in all material respects on and as of the Third Amendment Effective Date, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they shall have been true and correct in all material respects as of such earlier 

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LEGAL02/39302758v7

date, (ii) no Default or Event of Default exists before or after giving effect to the amendments contemplated by this Amendment and (iii) all conditions set forth in Section 6.2 of the Credit Agreement are satisfied as of the Third Amendment Effective Date;

(d)    For the account of each Revolving Lender that has requested a Note (or a replacement Note) in respect of such Lender’s Revolving Commitment (after giving effect to the Revolving Commitment Increase contemplated by this Amendment), a Note evidencing such Lender’s Revolving Commitment (after giving effect to the Revolving Commitment Increase contemplated by this Amendment), duly executed by an Authorized Officer of the Borrower;

(e)    A Reaffirmation of Obligations Under Credit Documents (the “Reaffirmation”) dated as of the Third Amendment Effective Date duly executed by each Credit Party, in the form of Exhibit I attached hereto; 

(f)    A Notice of Borrowing for the Revolving Loans in the form of Exhibit II attached hereto (which notice will direct the Administrative Agent to use the proceeds thereof to prepay (i) the entire outstanding balance of Term Loan A-1 and (ii) a portion of the principal balance of Term Loan A-2 in the amounts set forth in such Notice of Borrowing); 

(g)    A certificate, dated as of the Third Amendment Effective Date, signed by the Secretary (or Assistant Secretary) of each Credit Party in the form of Exhibit III attached hereto (together with certifications as to incumbency and signatures of such officers) with appropriate insertions and deletions, together with (i) copies of the articles or certificate of incorporation, the limited liability company agreement, the partnership agreement, any certificate of designation, the by-laws, or other organizational documents of each such Credit Party (or certifications from the applicable Credit Party that such documents have not been amended or otherwise modified in any way since the date such documents were delivered to the Administrative Agent (A) at the closing of the Credit Agreement or (B) when such Credit Party became a party to the Guarantee and Collateral Agreement), (ii) the resolutions, or such other administrative approval, of each such Credit Party referred to in such certificate in respect of the authorization and approval of the transactions contemplated by this Amendment and (iii) in the case of the certificate delivered by the Borrower, a statement that (1) all of the applicable conditions set forth in this Section 4 have been satisfied as of such date and (2) since December 31, 2018, there has not been any change, effect, event, occurrence, state of facts or development that has had or could reasonably be expected to have a Material Adverse Effect; 
(h)    Certified copies of all consents, approvals, authorizations, registrations and filings and orders required or advisable to be made or obtained under applicable law, if any, or by any Contractual Obligation of each Credit Party, in connection with the execution, delivery, performance, validity and enforceability of this Amendment or any of the transactions contemplated hereby, and such consents, approvals, authorizations, registrations, filings and orders shall be in full force and effect and all applicable waiting periods shall have expired; 
(i)    The payment of all fees and other amounts due and payable on or prior to the effective date of this Amendment, including reimbursement or payment of all out-of-pocket expenses (including reasonable fees, charges and disbursements of counsel to the Administrative Agent) 

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required to be reimbursed or paid by the Borrower hereunder or under any other agreement with the Administrative Agent or SunTrust Robinson Humphrey, Inc.; 

(j)    An Affidavit of Out-Of-State Execution and Delivery regarding the execution and delivery of the Notes and the other documents contemplated by this Amendment, duly executed by the Borrower and notarized; and 

(k)    Such other documents as the Administrative Agent may reasonably request.

To the extent that any notice was required to be delivered or otherwise provided prior to the Third Amendment Effective Date pursuant to the terms of the Credit Agreement in connection with any of the transactions contemplated by this Amendment (other than for the Notice of Borrowing provided for in clause (f) of this Section 4, in which case such prior notice shall be required to be provided one (1) Business Day prior to the effectiveness of this Amendment (regardless of the Type of Loan requested)), including any notices required pursuant to Section 2.14 and Section 2.16, and such notice was not so provided, the parties hereto waive the requirement of such notice.

5.Representations.  Each of the Borrower and Holdings represents and warrants to the Administrative Agent and the Lenders that:

(a)                Power and Authority.  Each of the Borrower and the other Credit Parties have the power and authority to execute, deliver and perform the terms and provisions of this Amendment and the Credit Agreement, as amended by this Amendment, and have taken all necessary corporate action to duly authorize the execution, delivery and performance of this Amendment.  Each of this Amendment and the Credit Agreement, as amended by this Amendment, constitutes the legal, valid and binding obligation of the Borrower and Holdings enforceable in accordance with its terms, except to the extent that the enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws generally affecting creditors’ rights and by equitable principles.

(b)               No Violation.  The execution, delivery and performance by the Borrower and the other Credit Parties of this Amendment, and compliance by them with the terms and provisions of the Credit Agreement, as amended by this Amendment: (i) will not contravene any provision of any law, statute, rule or regulation or any order, writ, injunction or decree of any court or federal, state or local Governmental Authority, (ii) will not conflict with or result in any breach of any of the terms, covenants, conditions or provisions of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or impose) any lien upon any of the property or assets of any Credit Party pursuant to the terms of any indenture, mortgage, deed of trust, credit agreement or loan agreement, or any other agreement, contract or instrument, to which any Credit Party is a party or by which they or any of their property or assets is bound or to which they may be subject or (iii) will not violate any provision of the certificate or articles of incorporation or bylaws of the Borrower, Holdings or any other Credit Party.

(c)                Governmental Approvals; Consents.  No order, consent, approval, license, authorization or validation of, or filing, recording or registration with (except for those that have 

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otherwise been obtained or made on or prior to the date of the effectiveness of this Amendment and which remain in full force and effect on such date), or exemption by, any Governmental Authority, and no consent, approval, authorization, registration, filing or order under any Contractual Obligation or applicable law, is required to authorize, or is required in connection with, (i) the execution, delivery and performance of this Amendment by the Borrower or Holdings or (ii) the legality, validity, binding effect or enforceability of the Credit Agreement, as amended by this Amendment, against the Borrower or Holdings.

(d)               No Default.  No Default or Event of Default has occurred and is continuing as of the date hereof and no Default or Event of Default will exist immediately after giving effect to this Amendment.

(e)                No Impairment.  The execution, delivery, performance and effectiveness of this Amendment will not: (a) impair the validity, effectiveness or priority of the Liens granted pursuant to any Credit Document, and such Liens continue unimpaired with the same priority to secure repayment of all of the applicable Obligations, whether heretofore or hereafter incurred, and (b) require that any new filings be made or other action taken to perfect or to maintain the perfection of such Liens.

(f)                Credit Parties.  The list of signatories to the Reaffirmation represents a true, correct and complete list of all Persons who are required by the terms of the Credit Documents to be or to become a Credit Party as of the date hereof.

(g)               Solvency.  As of the Third Amendment Effective Date, on a pro forma basis after giving effect to the Revolving Commitment Increase contemplated hereby and to all Indebtedness incurred, and to be incurred under such increase, (x) the sum of the assets, at a fair market valuation, of each Credit Party and its respective Subsidiaries will exceed its debts, (y) no such Credit Party or its Subsidiaries will have incurred or intended to, or believes that it will, incur debts beyond its ability to pay such debts as such debts mature and (z) each such Credit Party and its Subsidiaries taken as a whole will have sufficient capital with which to conduct its business.  For purposes of this clause (e), “debt” means any liability on a claim, and “claim” means (i) right to payment whether or not such a right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured or unsecured; or (ii) right to an equitable remedy for breach of performance if such breach gives rise to a payment, whether or not such right to an equitable remedy is reduced to judgment, fixed, contingent, matured, unmatured, disputed, undisputed, secured or unsecured.
(h)               Disclosure.  As of the Third Amendment Effective Date, all information (other than projections, other forward-looking information and information of a general economic or industry-specific nature) that has been made available concerning the Credit Parties and/or the transactions contemplated by this Amendment prepared by, or on behalf of, the Borrower or Holdings or by any of their respective representatives or affiliates, and made available to any Lender or the Administrative Agent in connection with the transactions contemplated by this Amendment on or before the Third Amendment Effective Date, when taken as a whole, did not, when furnished, contain any untrue statements of a material fact or omit to state a material fact necessary in order to make 

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the statements contained therein not materially misleading in light of the circumstances under which such statements are made.

6.Reaffirmation of Representations. Each of the Borrower and Holdings hereby repeats and reaffirms all representations and warranties made to the Administrative Agent and the Lenders in the Credit Agreement and the other Credit Documents on and as of the date hereof (and after giving effect to this Amendment) with the same force and effect as if such representations and warranties were set forth in this Amendment in full (except to the extent that such representations and warranties relate expressly to an earlier date, in which case such representations and warranties were true and correct as of such earlier date).

7.No Further Amendments; Ratification of Liability.  Except as expressly amended or waived hereby, the Credit Agreement and each of the other Credit Documents shall remain in full force and effect in accordance with their respective terms, and the Lenders and the Administrative Agent hereby require strict compliance with the terms and conditions of the Credit Agreement and the other Credit Documents in the future.  Each of the Borrower and Holdings hereby (i) restates, ratifies, confirms and reaffirms its respective liabilities, payment and performance obligations (contingent or otherwise) and each and every term, covenant and condition set forth in the Credit Agreement and the other Credit Documents to which it is a party, all as amended by this Amendment, and the liens and security interests granted, created and perfected thereby and (ii) acknowledges and agrees that this Amendment shall not in any way affect the validity and enforceability of any Credit Document to which it is a party, or reduce, impair or discharge the obligations of the Borrower or Holdings or the Collateral granted to the Administrative Agent and/or the Lenders thereunder.  The Lenders’ agreement to the terms of this Amendment or any other amendment of the Credit Agreement or any other Credit Document shall not be deemed to establish or create a custom or course of dealing between the Borrower, Holdings or the Lenders, or any of them.  This Amendment shall be deemed to be a “Credit Document” for all purposes under the Credit Agreement.  This Amendment shall have prospective application only.  After the effectiveness of this Amendment, each reference to the Credit Agreement in any of the Credit Documents shall be deemed to be a reference to the Credit Agreement as amended by this Amendment.

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8.Allocations of Revolving Commitments and Revolving Loans.  The Administrative Agent, the Lenders and the Borrower agree that the Revolving Commitment of each of the Revolving Lenders immediately prior to the effectiveness of this Amendment shall be reallocated among the Revolving Lenders such that, immediately after the effectiveness of this Amendment in accordance with its terms and the Revolving Commitment Increase, the Revolving Commitment of each Revolving Lender shall be as set forth on Annex 1.1B attached hereto.  In order to effect such reallocations, assignments shall be deemed to be made among the Revolving Lenders in such amounts as may be necessary, and with the same force and effect as if such assignments were evidenced by the applicable Assignment Agreements (but without the payment of any related assignment fee), and no other documents or instruments shall be required to be executed in connection with such assignments (all of which such requirements are hereby waived) other than the execution of any documents or instruments required for the effectiveness of this Amendment pursuant to Section 4 of this Amendment.  Further, to effect the foregoing, each Revolving Lender agrees to make cash settlements in respect of any outstanding Revolving Loans, either directly or through the Administrative Agent, as the Administrative Agent may direct or approve, such that after giving effect to this Amendment, each Revolving Lender holds Revolving Loans equal to its Pro Rata Share (based on the Revolving Commitment of each Lender as set forth on Annex 1.1B attached hereto).

9.Post Closing Covenant.  Holdings and the Borrower shall cause to be delivered to the Administrative Agent, on or before the date that is 15 days after the Third Amendment Effective Date (or such later date as the Administrative Agent shall agree), each of the following:

(i)    a legal opinion from Daugherty, Fowler, Peregrin, Haught & Jenson, P.C., special FAA counsel to Holdings and its Subsidiaries, addressed to the Administrative Agent and each of the Lenders, such opinion to be in form and content satisfactory to the Administrative Agent (and in any event covering the matters described in clause (ii) immediately below and those set forth in the opinion delivered by such law firm in connection with the Credit Agreement);

(ii)    evidence that FAA form “Aircraft Security Agreements” and/or “Amended and Restated Aircraft Security Agreements”, the substance of which shall be satisfactory to the Administrative Agent, covering the Aircraft and Engines included in the Collateral Pool have been filed with the FAA, and priority search certificates satisfactory to the Administrative Agent identifying the registrations made with the “International Registry” (as defined under the Cape Town Convention) with respect to the airframe of such Aircraft and its Engines and confirming that, except (x) with respect to Liens in existence on the Closing Date with respect to the airframe and Engines described on Annex 1.1(B) to the Credit Agreement or (y) as otherwise agreed by the Administrative Agent, no other registrations have been made with respect to such airframe or Engines that have not been subordinated to the registrations made in favor of the Administrative Agent or discharged; and

(iii)    evidence that all other actions necessary or, in the reasonable opinion of the Administrative Agent, desirable to perfect and protect the security interests purported to be created by the Security Documents have been taken.

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10.Other Provisions.

(a)                This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed and delivered shall be deemed to be an original, and all counterparts, taken together, shall constitute but one and the same document.

(b)               The Borrower agrees to reimburse the Lenders and the Administrative Agent on demand for all reasonable costs and expenses (including, without limitation, reasonable attorneys’ fees) incurred by such parties in negotiating, documenting and consummating this Amendment, the other documents referred to herein, and the transactions contemplated hereby and thereby.

(c)                THIS AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK.

(d)               THIS AMENDMENT CONSTITUTES THE ENTIRE CONTRACT AMONG THE PARTIES HERETO RELATING TO THE SUBJECT MATTER HEREOF AND SUPERSEDES ANY AND ALL PREVIOUS DISCUSSIONS, CORRESPONDENCE, AGREEMENTS AND OTHER UNDERSTANDINGS, WHETHER ORAL OR WRITTEN, RELATING TO THE SUBJECT MATTER HEREOF.

(e)                In consideration of the amendments contained herein, each of the Borrower and Holdings hereby waives and releases each of the Lenders and the Administrative Agent from any and all known claims and defenses with respect to the Credit Agreement and the other Credit Documents and the transactions contemplated thereby.
(f)                Each of the Borrower and Holdings agrees to take all further actions and execute such other documents and instruments as the Administrative Agent may from time to time reasonably request to carry out the transactions contemplated by this Amendment, the Credit Documents and all other agreements executed and delivered in connection herewith.
(g)               THE PARTIES HERETO HAVE ENTERED INTO THIS AMENDMENT SOLELY TO AMEND TERMS OF THE CREDIT AGREEMENT.  THE PARTIES DO NOT INTEND THIS AMENDMENT NOR THE TRANSACTIONS CONTEMPLATED HEREBY TO BE, AND THIS AMENDMENT AND THE TRANSACTION CONTEMPLATED HEREBY SHALL NOT BE CONSTRUED TO BE, A NOVATION OF ANY OF THE OBLIGATIONS OWING BY THE BORROWER OR HOLDINGS UNDER OR IN CONNECTION WITH THE CREDIT AGREEMENT OR ANY OF THE OTHER CREDIT DOCUMENTS.  

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IN WITNESS WHEREOF, the Borrower, Holdings, the Lenders and the Administrative Agent have caused this Third Amendment to Second Amended and Restated Credit Agreement to be duly executed by their respective duly authorized officers and representatives as of the day and year first above written.

CARGO AIRCRAFT MANAGEMENT, INC.

By:     /s/ W. Joseph Payne
Name:    W. Joseph Payne
Title:    Vice President, Secretary

AIR TRANSPORT SERVICES GROUP, INC.

By:    /s/ Joseph C. Hete
Name:    Joseph C. Hete
Title:    CEO

[Signatures Continue on Following Pages]

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SUNTRUST BANK, as Administrative Agent and as a Lender 

By:    /s/ Chris Hursey
Name:     Chris Hursey    
Title:    Director

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	BANK OF AMERICA, N.A., as a Lender

	 
	 

	 
	 

	 
	By:   /s/ Gregg Bush

	 
	Name:  Gregg Bush

	 
	Title:  Senior Vice President

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	PNC BANK, NATIONAL ASSOCIATION, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ David Beckett

	 
	Name:  David Beckett

	 
	Title:   Senior Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	JPMORGAN CHASE BANK, N.A., as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Eric B. Bergeson

	 
	Name:  Eric B. Bergeson

	 
	Title:  Authorized Officer

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	REGIONS BANK, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Joe Darcy

	 
	Name:  Joe Darcy

	 
	Title:  Senior Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	BRANCH BANKING AND TRUST COMPANY, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Melinda Gulledge

	 
	Name:  Melinda Gulledge

	 
	Title:  Assistant Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	BBVA USA, an Alabama banking corporation f/k/a Compass Bank, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Jeff Bork

	 
	Name:  Jeff Bork

	 
	Title:  Senior Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	GOLDMAN SACHS BANK USA, 
as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Ryan Durkin

	 
	Name:  Ryan Durkin

	 
	Title:  Authorized Signatory

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	CIBC BANK USA, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Nick Fadel

	 
	Name:  Nick Fadel

	 
	Title:  Managing Director

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	THE NORTHERN TRUST COMPANY, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ John Di Legge

	 
	Name:  John Di Legge

	 
	Title:  Senior Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	ATLANTIC UNION BANK, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ deK Bowen

	 
	Name:  deK Bowen

	 
	Title:  Senior Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	ATLANTIC CAPITAL BANK, N.A., as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Richard A. Oglesby, Jr.

	 
	Name:  Richard A. Oglesby, Jr.

	 
	Title:  Executive Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	BOKF, NA, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Timberly J. Harding

	 
	Name:  Timberly J. Harding

	 
	Title:  Senior Vice President

	 
	 

	 
	 

[Signature Page to Third Amendment to Second Amended and Restated Credit Agreement]

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	TRISTATE CAPITAL BANK, as a Lender

	 
	 

	 
	 

	 
	 

	 
	By:  /s/ Ellen Frank

	 
	Name:  Ellen Frank

	 
	Title:  Senior Vice President

	 
	 

	 
	 

[End of Signatures]

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Annex 1.1A

	
		
	Incremental Lender
	Incremental Revolving Commitment

	SunTrust Bank
	$14,430,275.23

	Bank of America, N.A.
	$13,815,596.33

	PNC Bank, N.A.
	$13,815,596.33

	Regions Bank
	$12,193,577.98

	JPMorgan Chase Bank, N.A.
	$12,200,000.00

	Branch Banking and Trust Company
	$10,256,880.73

	BBVA USA, an Alabama banking corporation f/k/a Compass Bank
	$10,665,051.61

	CIBC Bank USA
	$3,991,743.12

	Goldman Sachs Bank USA
	$4,046,875.00

	The Northern Trust Company
	$3,200,000.00

	Atlantic Union Bank
	$1,847,706.42

	Atlantic Capital Bank, N.A.
	$1,500,000.00

	BOKF, NA
	$1,936,697.25

	TriState Capital Bank
	$1,100,000.00

	

Total
	$105,000,000

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Annex 1.1B

	
		
	Lender
	Revolving Commitment

	SunTrust Bank
	$102,600,000.00

	Bank of America, N.A.
	$100,500,000.00

	PNC Bank, N.A.
	$100,500,000.00

	Regions Bank
	$87,700,000.00

	JPMorgan Chase Bank, N.A.
	$87,700,000.00

	Branch Banking and Trust Company
	$73,100,000.00

	BBVA USA, an Alabama banking corporation f/k/a Compass Bank
	$62,700,000.00

	CIBC Bank USA
	$29,200,000.00

	Goldman Sachs Bank USA
	$29,100,000.00

	The Northern Trust Company
	$21,700,000.00

	Atlantic Union Bank
	$19,600,000.00

	Atlantic Capital Bank, N.A.
	$13,500,000.00

	BOKF, NA
	$14,600,000.00

	TriState Capital Bank
	$7,500,000.00

	

Total
	$750,000,000

LEGAL02/39302758v7

EXHIBIT I

REAFFIRMATION OF OBLIGATIONS UNDER CREDIT DOCUMENTS

November 4, 2019

Reference is hereby made to (i) that certain Second Amended and Restated Credit Agreement dated as of November 9, 2018 among Cargo Aircraft Management, Inc. (the “Borrower”), Air Transport Services Group, Inc. (“Holdings”), the Lenders a party thereto and SunTrust Bank, as Administrative Agent (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”; capitalized terms used herein and not defined herein have the meanings ascribed to such terms in the Credit Agreement) and (ii) that certain Third Amendment to Second Amended and Restated Credit Agreement dated as of the date hereof (the “Amendment”) among the Borrower, Holdings, the Lenders party thereto and the Administrative Agent.  

Each Credit Party acknowledges and reaffirms that (i) all liens and security interests granted to the Administrative Agent and the Lenders under the Security Documents remain in full force and effect and shall continue to secure the Obligations and (ii) the validity, perfection, enforceability or priority of such liens and security interests will not be impaired in any way by the Amendment.

Each of the undersigned Credit Parties hereby further reaffirms its continuing obligations owing to the Administrative Agent and the Lenders under each of the Credit Documents (including, without limitation, the guarantee obligations of each Guarantor under the Guarantee and Collateral Agreement) to which such Person is a party, and each Credit Party agrees that the amendments contained in the Amendment are solely to amend the terms of the Credit Agreement and do not in any way affect the validity and/or enforceability of any Credit Document, or reduce, impair or discharge the obligations of such Person thereunder.

Each of the undersigned Credit Parties hereby represents and warrants to the Administrative Agent and the Lenders that:  (a) the execution and delivery by the Credit Parties of this Reaffirmation is within the power (corporate or otherwise) and authority of the Credit Parties, has been duly authorized and approved by all requisite action on the part of the Credit Parties, and does not and will not contravene, breach or conflict with any provision of applicable law or any of the charter or other organic documents of the Credit Parties, or any indenture, agreement, instrument or undertaking binding on the Credit Parties; (b) this Reaffirmation has been duly executed by the Credit Parties; and (c) the Credit Documents remain in full force and effect and constitute the legal, valid and binding obligations of the Credit Parties, enforceable in accordance with their terms, except as limited by bankruptcy, insolvency, reorganization, moratorium or similar laws relating to or affecting generally the enforcement of creditor's rights; and (d) all of the Obligations are absolute and unconditional, and such Obligations are not subject to any claim, defense, deduction, right of offset or otherwise.

THE CREDIT PARTIES DO NOT INTEND THE AMENDMENT NOR THE TRANSACTIONS CONTEMPLATED THEREBY TO BE, AND THE AMENDMENT AND THE 

LEGAL02/39302758v7

TRANSACTION CONTEMPLATED THEREBY SHALL NOT BE CONSTRUED TO BE, A NOVATION OF ANY OF THE OBLIGATIONS OWING BY THE CREDIT PARTIES UNDER OR IN CONNECTION WITH THE CREDIT AGREEMENT OR ANY OF THE OTHER CREDIT DOCUMENTS.

This Reaffirmation shall be construed in accordance with and be governed by the law (without giving effect to the conflict of law principles thereof) of the State of New York.

[Signatures Appear on Following Page]

LEGAL02/39302758v7

IN WITNESS WHEREOF, each of the undersigned has duly executed and delivered this Reaffirmation of Obligations under Credit Documents as of the date first written above.

CARGO AIRCRAFT MANAGEMENT, INC.

By:                                                                                                             
Name: W. Joseph Payne    
		
	Title:   Vice President, Secretary
	 

ABX AIR, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, General Counsel & Secretary    

LGSTX DISTRIBUTION SERVICES, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

AIRBORNE GLOBAL SOLUTIONS, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President & Secretary    

[Signatures Continue on Following Pages]

LEGAL02/39302758v7

AIRBORNE MAINTENANCE AND ENGINEERING SERVICES, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President & Secretary    

AIR TRANSPORT INTERNATIONAL LIMITED LIABILITY COMPANY

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary    

AMES MATERIAL SERVICES, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary    

AIR TRANSPORT INTERNATIONAL, INC.

By:                                                                                                             
Name: James F. O’Grady    
Title:   President    

CARGO AVIATION, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary    

[Signature Pages to Reaffirmation of Obligations Under Credit Documents]
LEGAL02/39302758v7

CARGO HOLDINGS INTERNATIONAL, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary    

LGSTX FUEL MANAGEMENT, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary    

LGSTX SERVICES, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Secretary    

AIR TRANSPORT SERVICES GROUP, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Chief Legal Officer & Secretary    

GLOBAL FLIGHT SOURCE, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

[Signature Pages to Reaffirmation of Obligations Under Credit Documents]
LEGAL02/39302758v7

LGSTX CARGO SERVICES, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

PEMCO WORLD AIR SERVICES, INC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

OMNI AIR INTERNATIONAL, LLC

By:                                                                                                             
Name: Richard F. Corrado    
Title:   Vice President, Secretary

OMNI AVIATION LEASING, LLC.

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

[Signature Pages to Reaffirmation of Obligations Under Credit Documents]
LEGAL02/39302758v7

T7 AVIATION LEASING, LLC

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

ADVANCED FLIGHT SERVICES, LLC

By:                                                                                                             
Name: W. Joseph Payne    
Title:   Vice President, Secretary

TRIFACTOR SOLUTIONS, LLC

By:                                                                                                             
Name: Timothy J. Allen    
Title:   Vice President, Secretary

[End of Signatures]

[Signature Pages to Reaffirmation of Obligations Under Credit Documents]
LEGAL02/39302758v7

EXHIBIT II
November 4, 2019
SunTrust Bank, as 
  Administrative Agent for the Lenders 
  party to the Credit Agreement 
  referred to below 
303 Peachtree Street, NE, 25th Floor 
Atlanta, Georgia 30308
Attention: Agency Services
Ladies and Gentlemen:
The undersigned, Cargo Aircraft Management, Inc., a Florida corporation (the “Borrower”), refers to the Second Amended and Restated Credit Agreement, dated as of November 9, 2018 (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”, the capitalized terms defined therein being used herein as therein defined), among the Borrower, Air Transport Services Group, Inc., a Delaware corporation, the several Lenders from time to time party thereto, and the Administrative Agent, and hereby gives you notice pursuant to Section 2.3(a) of the Credit Agreement, that the undersigned hereby requests a Borrowing under the Credit Agreement, and in that connection sets forth below the information relating to such Borrowing (the “Proposed Borrowing”) as required by Section 2.3(a) of the Credit Agreement:
1.                   The Business Day of the Proposed Borrowing is November 4, 2019 (the “Third Amendment Closing Date”).
2.                   The aggregate principal amount of the Proposed Borrowing is $________________.
The Proposed Borrowing is to consist of Revolving Loans.
3.                   The Revolving Loans to be made pursuant to the Proposed Borrowing shall be initially maintained as [Base Rate Loans] [Eurodollar Rate Loans].
4.                   The initial Interest Period for the Proposed Borrowing of the Revolving Loan is ______ month(s). 1 
The undersigned hereby certify that the following statements are true on the date hereof, and will be true on the date of the Proposed Borrowing:
(a)  no Default or Event of Default exists; 

(b)  all representations and warranties contained in the Credit Agreement or in the other Credit Documents are true and correct in all material respects with the same effect as though such representations and warranties had been made on and as of the date hereof and the date of the Proposed Borrowing, except to the extent that such representations and warranties expressly relate to an earlier date, in which case such representation and warranty shall have been true and

____________________________
1 To be included for [a] Proposed Borrowings[s] of Eurodollar Rate Loans

correct in all material respects as of such earlier date; and

(c)  since December 31, 2018, there shall have been no event, change, condition or occurrence that has had, or could reasonably be expected to have, a Material Adverse Effect.

The Borrower hereby irrevocably instructs the Administrative Agent to apply the proceeds of the Proposed Borrowing as follows: (i) to prepay the entire outstanding balance of Term Loan A-1, together with accrued interest thereon through the Third Amendment Closing Date, in the amount of $________________ and (ii) to prepay a portion of the principal balance of Term Loan A-2, together with accrued interest thereon through the Third Amendment Closing Date, in the amount of $________________.

Contemporaneous with this Notice of Borrowing, the Borrower has delivered a certificate to the Administrative Agent complying with Section 6.2(c) of the Credit Agreement.

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LEGAL02/39302758v7

Very truly yours,

CARGO AIRCRAFT MANAGEMENT, INC.

By:                                                                          
Name:
Title:

LEGAL02/39302758v7

EXHIBIT III

[FORM OF SECRETARY’S CLOSING CERTIFICATE]

I, the undersigned, [Assistant] Secretary of [Name of Credit Party], a [_______________] organized and existing under the laws of the State of _______________ (the “Company”), do hereby certify on behalf of the Company that:
1.       This Certificate is being delivered on November 4, 2019 and is furnished pursuant to that certain Third Amendment to Second Amended and Restated Credit Agreement dated as of the date hereof, among Cargo Aircraft Management, Inc., a Florida corporation (the “Borrower”), Air Transport Services Group, Inc., a Delaware corporation, the several Lenders from time to time party thereto and SunTrust Bank, as Administrative Agent for the Lenders (such Credit Agreement, as in effect on the date of this Certificate, being herein called the “Credit Agreement”).  Unless otherwise defined herein, capitalized terms used in this Certificate shall have the meanings set forth in the Credit Agreement.
2.       The following named individuals are duly qualified and acting elected or appointed officers of the Company, and each holds the office of the Company set forth opposite his or her name, each of whom is authorized to sign the [Amendment/Reaffirmation] on behalf of the Company.  The signature written opposite the name and title of each such officer is his or her genuine signature.
	
			
	Name 2
	Office
	Signature

	________________
	________________
	______________________

	________________
	________________
	______________________

	________________
	________________
	______________________

3.       Attached hereto as Exhibit A is a true and complete copy of the [Charter Document] of the Company, including all amendments thereto, as filed in the Office of the Secretary of State of the State of __________ (the “Secretary of State”), which constitutes the [Charter Document] of the Company as presently in effect (the “[Articles of ___________]”); no amendment to the Articles of ______________ is pending or contemplated, and there are no proceedings, pending or contemplated, for the merger, consolidation, conversion, liquidation or dissolution of the Company; and no steps have been or are being taken to appoint an administrator, receiver, liquidator or analogous person or body to wind up or dissolve the Company. 3 
4.       Attached hereto as Exhibit B is a true and correct copy of the [By-Laws] [limited liability company agreement] of the Company which was duly adopted and is in full force and effect on the date hereof. 4 

______________________
2 Include name, office and signature of each officer who will sign any Credit Document, including the officer who will sign the certification at the end of this Certificate or related documentation.
3 May include alternate statement that documents have not been amended, changed or otherwise modified in any way since the Closing Date.
4 May include alternate statement that such documents have not been amended, changed or otherwise modified in any way since the Closing Date.

5.       Attached hereto as Exhibit C is a true and correct copy of resolutions authorizing the execution, delivery and performance of the [Amendment/Reaffirmation], which [have][has] been duly adopted by unanimous written consent of the members of the Company, and said resolutions have not been rescinded, amended or modified, are in full force and effect on the date hereof, and have been duly filed with the minutes of the proceedings of the members. 5 
6.       Attached hereto as Exhibit D is a certificate of good standing from the Secretary of State of the jurisdiction of incorporation or organization of the Company.
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5 In the case of the Borrower only, this Certificate shall also state that: (1) all of the applicable conditions set forth in this Section 4 of the Amendment have been satisfied and (2) since December 31, 2018, there has not been any change, effect, event, occurrence, state of facts or development that has had or could reasonably be expected to have a Material Adverse Effect.

IN WITNESS WHEREOF, the undersigned has duly executed and delivered this Certificate as of the date first written above.

[COMPANY]

_________________________________

_____________________, Secretary

LEGAL02/39302758v7

Exhibit A

Articles of ______________

LEGAL02/39302758v7

Exhibit B

[By-Laws][Limited Liability Company Agreement]

LEGAL02/39302758v7

Exhibit C

Resolutions

LEGAL02/39302758v7

Exhibit D

Good Standing Certificate

LEGAL02/39302758v7

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