Document:

Exhibit 4.20

 

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS DOCUMENT. THE CONFIDENTIAL PORTIONS HAVE BEEN REDACTED AND ARE DENOTED BY ASTERISKS IN BRACKETS[**]. THE CONFIDENTIAL PORTIONS HAVE BEEN SEPARATELY FILED WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION.

 

FIFTH AMENDMENT TO THE AMENDED AND RESTATED

 

REVOLVING TRADE

 

RECEIVABLES PURCHASE AGREEMENT AND ACCESSION AGREEMENT

 

MEMORANDUM OF AGREEMENT made as of the 23rd day of November, 2015.

 

BETWEEN:

 

CELESTICA INC.,

 

(hereinafter referred to as the “Servicer”),

 

- and -

 

CELESTICA LLC,
 CELESTICA HOLDINGS PTE LTD,
 CELESTICA VALENCIA S.A. (SOCIEDAD UNIPERSONAL),
 CELESTICA HONG KONG LTD.,
 CELESTICA (ROMANIA) S.R.L.,
 CELESTICA JAPAN KK,
 CELESTICA OREGON LLC

-and-

CELESTICA ELECTRONICS (M.) SDN.
 BHD.

 

(hereinafter referred to collectively as the “Sellers”),

 

- and -

 

CELESTICA IRELAND LIMITED

 

(hereinafter referred to as “Celestica Ireland”),

 

- and -

 

CELESTICA INTERNATIONAL INC.

 

(hereinafter referred to as “Celestica International”),

 

- and -

 

DEUTSCHE BANK (MALAYSIA) BERHAD

 

 

(hereinafter referred to as “Purchaser”, and together with Deutsche Bank, as the “Purchasers”)

 

- and -

 

DEUTSCHE BANK AG, NEW YORK BRANCH,

 

(hereinafter referred to as the “Administrative Agent” and “Deutsche Bank”).

 

WHEREAS the Sellers, the Servicer, the Purchasers and the Administrative Agent are parties to an Amended and Restated Revolving Trade Receivables Purchase Agreement, dated as of November 4, 2011, as amended by the First Amendment, dated as of November 19, 2012; by the Second Amendment, dated as of January 2, 2013; by the Third Amendment, dated as of November 21, 2013 and by the Fourth Amendment, dated as of November 21, 2014 (as so amended, the “Receivables Purchase Agreement”);

 

WHEREAS the Sellers, the Servicer, the Purchasers and the Administrative Agent now wish to further amend the Receivables Purchase Agreement by this Fifth Amendment to the Amended and Restated Revolving Trade Receivables Purchase Agreement and Accession Agreement (this “Amending Agreement”);

 

WHEREAS pursuant to Section 5.18(a) of the Receivables Purchase Agreement, the Servicer wishes to designate Celestica International and Celestica Ireland as New Sellers and the Required Purchasers hereby give their written consent to the addition of Celestica International and Celestica Ireland as Sellers under the Receivables Purchase Agreement for all purposes contemplated therein and the other Transaction Documents;

 

WHEREAS, by execution and delivery of this Amending Agreement, Celestica International and Celestica Ireland agree to become party to the Receivables Purchase Agreement, in accordance with the terms and conditions set forth below;

 

AND WHEREAS Section 9.1 of the Receivables Purchase Agreement permits written amendments thereto with the written consent of each of the Sellers, the Servicer, the Required Purchasers and the Administrative Agent;

 

NOW THEREFORE THIS AGREEMENT WITNESSES that, in consideration of the premises, covenants and agreements of the parties herein contained and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by each party, the parties hereby covenant and agree as follows:

 

1.                                      Defined Terms:  All capitalized terms and expressions used and not otherwise defined in this Amending Agreement including in the recitals hereto shall have the meanings specified in the Receivables Purchase Agreement.

 

2.                                      Accession to Receivables Purchase Agreement:  Celestica International and Celestica Ireland hereby agree to become Sellers as contemplated by Section 5.18 of the Receivables Purchase Agreement, including with respect to the Obligations of a Seller

 

2

 

under Section 2.9 of the Receivables Purchase Agreement, with the same force and effect as if each were an original party to the Receivables Purchase Agreement.  Celestica International and Celestica Ireland further agree that each shall individually be a “Seller” and each reference in the Receivables Purchase Agreement to the “Sellers” shall also include Celestica International and Celestica Ireland.

 

3.                                      Amendments of Definitions in Section 1.1:

 

(a)                                 The definition of “Availability Termination Date” is amended and restated in its entirety as follows:

 

“Availability Termination Date”:  the earlier of (i) the date that is the eleventh anniversary of the Closing Date and (ii) the date on which the Administrative Agent delivers to the Servicer a notice of termination as a result of a Termination Event in accordance herewith (or the date on which such termination becomes effective automatically pursuant to Section 7).”

 

(b)                                 The definition of “Collection Accounts” is amended and restated in its entirety as follows:

 

“Collection Accounts”:  each of account Nos. 37566-57607 (maintained by Celestica LLC), 37566-84489 (maintained by Celestica LLC), 37566-843 53 (maintained by Celestica Hong Kong), 37566-84340 (maintained by Celestica Holdings), 23963-011 (maintained by Celestica Valencia), the Japanese Yen Collection Account (maintained by Celestica Japan), 4427214572 (maintained by Celestica Oregon), and 600849283013 (maintained by Celestica Romania) and 6209-27425-030 (maintained by Celestica Malaysia), 4451101651 (maintained by Celestica International) and 600849861041 (maintained by Celestica Ireland) in each case with Bank of America and each other account from time to time opened by a Seller and subject to the Lien of the Collection Account Pledge Agreement or, in the case of the Japanese Yen Collection Account subject to the Lien of the Japanese Yen Collection Account Pledge Agreement, or in the case of the Malaysian Collection Account subject to the Lien of the Malaysian Collection Account Pledge Agreement, provided that, except with respect to the Japanese Yen Collection Account and the Malaysian Collection Account, the relevant account bank shall have executed and delivered a Deposit Account Control Agreement or Security Deed, and in the case of the Japanese Yen Collection Account and the Malaysian Collection Account, the relevant account bank shall have acknowledged the notification comprising Annex 2 to the Japanese Yen Collection Account Pledge Agreement and to the Malaysian Collection Account Pledge Agreement, as the case may be, in form and substance satisfactory to the Administrative Agent and shall have taken such other measures as the Administrative Agent shall require to assure its security interest in such account.”

 

(c)                                  A new definition of “Fifth Amendment” is hereby included in the correct alphabetical order:

 

3

 

“Fifth Amendment”:  the Fifth Amendment to the Amended and Restated Revolving Trade Receivables Purchase Agreement and Accession Agreement, dated as of November 23, 2015, by and among the Servicer, the Sellers, Celestica International, Celestica Ireland, Deutsche Bank (Malaysia) Berhad and Deutsche Bank AG, New York Branch.”

 

(d)                                 The following new definition is hereby included in the correct alphabetical order:

 

“PPSA”:  the Personal Property Security Act of Ontario (or any successor statute) or similar legislation (including without limitation the Civil Code) of any other jurisdiction, the laws of which are required by such legislation to be applied in connection with the issue, perfection, enforcement, validity or effect of security interests.”

 

4.                                      Amendment to the Obligor Limits Schedule 1.2, “Eligible Buyers, Obligor Limits and Applicable Percentages” is deleted and replaced with Schedule 1.2 attached hereto.

 

5.                                      Amendment to Section 2.2(c)

 

The ultimate paragraph of Section 2.2(c) is amended and restated in its entirety as follows:

 

“The Servicer and the Sellers acknowledge and agree that a portion of the Receivables will be offered for sale by Deutsche Bank AG, New York Branch, as Purchaser, to HSBC Bank USA, National Association, as a participant, pursuant to the terms and subject to the conditions of a participation agreement entered into between it and Deutsche Bank AG, New York Branch.  While Deutsche Bank AG, New York Branch, will be the nominal purchaser of any such Receivables taken up by HSBC Bank USA, National Association, on the terms and subject to the conditions of such participation agreement, the Administrative Agent’s notice of acceptance of the offer to purchase any such Receivables will identify which Receivables are being acquired for the benefit of the participant, and the participant will be directed by Deutsche Bank AG, New York Branch to make payment of the Purchase Price therefor directly to the Servicer.  Neither the Administrative Agent nor any Purchaser shall have liability, contingent or otherwise, for payment of such amounts or any loss resulting from the non-payment of such amounts.”

 

6.                                      Amendment to Section 2.4:  Section 2.4 of the Receivables Purchase Agreement is amended and restated in its entirety as follows:

 

“2.4        Fees

 

Celestica Canada agrees to pay to Deutsche Bank AG, New York Branch the fees in the amounts and on the dates previously agreed to in accordance with the Fee Letter between Celestica Canada and Deutsche Bank AG, New York Branch dated November 23, 2015 (the “Fee Letter”).”

 

7.                                      Amendment to Section 3.9(b):  Section 3.9(b) is amended and restated in its entirety as follows:

 

4

 

“(b)  Except as set forth in Schedule 3.9, there is no tax, levy, impost, deduction, charge or withholding imposed, levied or made by or in the United States, Canada, the United Kingdom, Spain, Singapore, Hong Kong, Japan, Romania, Malaysia or Ireland, or any political subdivision or taxing authority thereof or therein either (i) on or by virtue of the execution or delivery of this Agreement or any other Transaction Document or (ii) on any payment to be made by any Seller or the Guarantor pursuant to this Agreement or any other Transaction Document.  Each Seller and the Guarantor is permitted to make all payments pursuant to this Agreement and the other Transaction Documents free and clear of all taxes, levies, imposts, deductions, charges or withholdings imposed, levied or made by or in the United States, Canada, the United Kingdom, Spain, Singapore, Hong Kong, Japan, Romania, Malaysia or Ireland, or any political subdivision or taxing authority thereof or therein, and no such payment in the hands of the Administrative Agent, any Purchaser or the Collection Agent will be subject to any tax, levy, impost, deduction, charge or withholding imposed, levied or made by or in the United States, Canada, the United Kingdom, Spain, Singapore, Hong Kong, Japan, Romania, Malaysia or Ireland or any political subdivision or taxing authority thereof or therein.”

 

8.                                      Amendments to Schedules:  Each of Schedule 3.9, “Taxes”, Schedule 3.14, “Actions to Perfect Ownership Interests in Receivables (and Security Interests in Collateral)”, and Schedule 3.15, “Principal Place of Business of the Sellers”, is amended by the addition and/or partially replaced, as the case may be, of the language set forth on Schedules 3.9, 3.14 and 3.15, respectively, attached hereto.

 

9.                                      Representations and Warranties To induce the Administrative Agent and the Purchasers to enter into this Amending Agreement, the Guarantor and each of the Sellers hereby jointly and severally make the following representations and warranties (provided that Celestica Valencia and Celestica Romania shall only be responsible hereunder for its own representations and warranties):

 

(a)           The Guarantor and each of the Sellers hereby represent and warrant as of the date of this Amending Agreement that no Termination Event or Incipient Termination Event has occurred and is continuing.

 

(b)           The Guarantor and each of the Sellers hereby represent and warrant as of the date of this Amending Agreement and as of the Effective Date (as defined below) that the audited consolidated balance sheets of Celestica Canada and its consolidated Subsidiaries as at December 31, 2014, and the related statements of income and of cash flows of Celestica Canada for the fiscal year ended on such dates, present fairly in all material respects the consolidated financial condition of Celestica Canada and its consolidated Subsidiaries as at such date, and Celestica Canada’s consolidated results of operations and cash flows for the respective fiscal years then ended.  All such financial statements, including the related schedules and notes thereto, have been prepared in accordance with GAAP, applied consistently throughout the periods involved (except as approved by Celestica Canada’s accountants and disclosed therein).

 

(c)           The Guarantor and each of the Sellers hereby represent and warrant as of the date of this Amending Agreement and as of the Effective Date (as defined below) that

 

5

 

since the date of the most recent financial statements made available to the Administrative Agent and the Purchasers there has been no change, development or event that has had or could reasonably be expected to have a Material Adverse Effect.

 

10.                               Ratification Except for the specific changes and amendments to the Receivables Purchase Agreement contained herein, the Receivables Purchase Agreement and all related documents are in all other respects ratified and confirmed and the Receivables Purchase Agreement as amended hereby shall be read, taken and construed as one and the same instrument.

 

11.                               Counterparts This Amending Agreement may be executed by one or more of the parties to this Amending Agreement on any number of separate counterparts, and all of said counterparts taken together shall be deemed to constitute one and the same instrument.  A set of this Amending Agreement signed by all the parties shall be lodged with the Servicer and the Administrative Agent.

 

12.                               Confirmation of Guarantee Guarantor hereby confirms and agrees that (i) the Guarantee is and shall continue to be in full force and effect and is otherwise hereby ratified and confirmed in all respects; and (ii) the Guarantee is and shall continue to be an unconditional and irrevocable guarantee of all of the Obligations (as defined in the Guarantee).

 

13.                               Further Assurances Each party shall, and hereby agrees to, acknowledge and deliver or cause to be done, executed, acknowledged and delivered, such further acts, deeds, mortgages, transfers and assurances as are reasonably required for the purpose of accomplishing and effecting the intention of this Amending Agreement.

 

14.                               Conditions to Effectiveness This Amending Agreement shall become effective (such date being the “Effective Date”) upon receipt by the Administrative Agent of counterparts (i) hereof, duly executed and delivered by each of the parties hereto and (ii) of the Fee Letter duly executed and delivered by Celestica Canada.  The Administrative Agent shall inform the Guarantor, the Sellers and the Purchasers of the occurrence of the Effective Date.  Notwithstanding the foregoing, neither of Celestica International or Celestica Ireland, respectively, will be permitted to present or cause the Servicer to present on its behalf a Purchase Notice until the satisfaction of the following conditions:  receipt by the Administrative Agent of (A) Assignment Agreements in form and substance satisfactory to the Administrative Agent; (B) the Second Amendment to Collection Account Pledge Agreement in form and substance satisfactory to the Administrative Agent; (C) executed and delivered Deposit Account Control Agreements in form and substance satisfactory to the Administrative Agent; (D) a closing certificate of each of Celestica International and Celestica Ireland in form and substance reasonably acceptable to the Administrative Agent, dated as of the Effective Date, with appropriate insertions and attachments; (E) the executed legal opinion of Canadian and Irish counsel to Celestica Inc., Celestica International, and Celestica Ireland, each in form and substance reasonably satisfactory to the Administrative Agent and its counsel (such legal opinions shall cover such matters incidental to the transactions contemplated by this Amending Agreement and the Transaction Documents as the Administrative Agent may

 

6

 

reasonably require, including, without limitation, the creation and perfection of ownership interests and security interests in the Collateral of Celestica International and/or Celestica Ireland, as applicable); (F) in the case of Celestica International, execution and delivery of an intercreditor agreement with CIBC in form and substance satisfactory to the Administrative Agent; (G) in the case of Celestica International and Celestica Ireland, satisfaction of the perfection requirements described on Schedule 3.14; and (H) such other legal opinions and documentation as the Purchasers may require to verify matters of taxation and perfection in respect of Celestica International and Celestica Ireland, respectively and other matters incidental to the transactions covered by this Amending Agreement.

 

15.                               Successors and Assigns This Amending Agreement shall be binding upon and inure to the benefit of the Sellers, the Servicer, the Purchasers, the Administrative Agent, and their respective successors and permitted assigns.

 

16.                               Governing Law This Amending Agreement shall be governed and construed in accordance with the laws of the Province of Ontario.

 

[remainder of this page intentionally left blank]

 

7

 

IN WITNESS WHEREOF, the parties hereto have caused this Amending Agreement to be duly executed and delivered by their proper and duly authorized officers as of the day and year first above written.

 

	
 
    	
CELESTICA   INC., as Servicer and as 
   Guarantor
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Darren Myers
    
	
 
    	
 
    	
Name:
    	
Darren   Myers
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   LLC
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Walter Jankovic
    
	
 
    	
 
    	
Name:
    	
Walter   Jankovic
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   HOLDINGS PTE LTD
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Raymond Wu
    
	
 
    	
 
    	
Name:
    	
Raymond   Wu
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   VALENCIA S.A. 
   (SOCIEDAD UNIPERSONAL)
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Rob Schormans
    
	
 
    	
 
    	
Name:
    	
Rob   Schormans
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   HONG KONG LTD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Raymond Wu
    
	
 
    	
 
    	
Name:
    	
Raymond   Wu
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

Signature Page — Fifth Amendment to Amended and Restated Trade Receivables Agreement

 

 

	
 
    	
CELESTICA   (ROMANIA) S.R.L.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Robert Schormans
    
	
 
    	
 
    	
Name:
    	
Robert   Schormans
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   JAPAN KK
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Raymond Wu
    
	
 
    	
 
    	
Name:
    	
Raymond   Wu
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   ELECTRONICS (M)
    
	
 
    	
SDN.   BHD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Raymond Wu
    
	
 
    	
 
    	
Name:
    	
Raymond   Wu
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   OREGON LLC
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Walter Jankovic
    
	
 
    	
 
    	
Name:
    	
Walter   Jankovic
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   INTERNATIONAL INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Darren Myers
    
	
 
    	
 
    	
Name:
    	
Darren   Myers
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
CELESTICA   IRELAND LIMITED
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Kevin Walsh
    
	
 
    	
 
    	
Name:
    	
Kevin   Walsh
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

Signature Page — Fifth Amendment to Amended and Restated Trade Receivables Agreement

 

 

	
 
    	
DEUTSCHE   BANK (MALAYSIA) 
   BERHAD, as Purchaser
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/Wendy Ang May Yoke
    
	
 
    	
 
    	
Name:
    	
Wendy   Ang May Yoke
    
	
 
    	
 
    	
Title:
    	
Head   of Trade Finance
    
	
 
    	
 
    
	
 
    	
DEUTSCHE   BANK AG, NEW YORK 
   BRANCH, as Administrative Agent and 
   as Purchaser
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Elizabeth Keov
    
	
 
    	
 
    	
Name:
    	
Elizabeth   Keov
    
	
 
    	
 
    	
Title:
    	
Assistant   Vice President
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Robert Altman
    
	
 
    	
 
    	
Name:
    	
Robert   Altman
    
	
 
    	
 
    	
Title:
    	
Vice   President
    

 

Signature Page — Fifth Amendment to Amended and Restated Trade Receivables Agreement

 

 

SCHEDULE 1.2
 To the Receivables Purchase Agreement, Eligible Buyers, Obligor Limits and Applicable Percentages

 

	
Facilities (For Approval):
    	
 
    	
Spread
    	
 
    	
DB
   Closing
   Commitment
    	
 
    	
DB Malaysia
   Closing
   Commitment
    	
 
    	
HSBC
   Closing
   Commitment
    	
 
    	
Global
   Closing
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Cisco Systems   Inc
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Google Inc
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Honeywell   International Inc
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    
	
Honeywell   Limited CII)
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    
	
IBM Corporation
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
IBM Corporation   Endicott
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    
	
IBM Ireland Product Distribution Limited
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    
	
Juniper Networks   Inc
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    
	
NEC Corporation
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Applied   Materials Israel LTD
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
AMAT-VMO
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Applied   Materials SE Asia PTE
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
EMC Information   Systems INTL
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Oracle   America, INC.
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Polycom Global   Inc
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Polycom Inc
    	
 
    	
[**]%
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
 
    	
 
    	
[**]
    
	
Hitachi Metals   Ltd
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
[**]
    
	
HGST (Thailand)   Ltd
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
[**]
    
	
HGST Singapore   PTE Ltd
    	
 
    	
[**]%
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
 
    	
 
    	
[**]
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Total   Facilities (For Approval):
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    	
 
    	
[**]
    	
 
    	
[**]
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Existing   Facilities:
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Total   Facilities:
    	
 
    	
 
    	
 
    	
[**]
    	
 
    	
[**]
    	
 
    	
[**]
    	
 
    	
[**]
    

 

[**] Certain confidential information contained in this document, marked with asterisks in brackets, has been redacted pursuant to a request for confidential treatment and has been filed separately with the United States Securities and Exchange Commission.

 

 

ADDITIONS TO SCHEDULE 3.9

 

To the Receivables Purchase Agreement

 

TAXES

 

Celestica International

 

There should not be any Canadian withholding tax payable on these transactions.  The repurchase by a Seller of the receivables should not be subject to Canadian withholding tax as there is no interest component in the price.  Also the sale of receivables is a “financial service” that is exempt from GST/HST.

 

The payment of the receivables themselves by a Canadian obligor to the Purchaser is just the payment of a debt and is in most cases not subject to withholding tax.

 

Notwithstanding the above, withholding tax on the purchase price paid to the Sellers in Canada may be imposed by the laws of each Purchaser’s country of residence.

 

Celestica Ireland

 

Any payment made by the Seller of annual interest with an Irish source is potentially subject to a 20% withholding tax.  However, exemptions from the obligation to withhold tax may be available under Irish domestic law or the terms of a double tax treaty entered into by Ireland with the jurisdiction of residence of the beneficial owner of the interest.

 

 

ADDITIONS TO SCHEDULE 3.14

 

To the Receivables Purchase Agreement

 

ACTIONS TO PERFECT OWNERSHIP INTERESTS IN SCHEDULED RECEIVABLES 
 AND SECURITY INTERESTS IN COLLATERAL

 

USA

 

A UCC-1 (or UCC-3, as applicable) financing statement setting forth the applicable information regarding Celestica LLC, Celestica Holdings, Celestica Valencia, Celestica Hong Kong, Celestica Japan, Celestica Romania, Celestica Oregon, Celestica International and Celestica Ireland as debtors, shall have been filed with the District of Columbia Recorder of Deeds, Washington, D.C.. Celestica LLC, Celestica Holdings, Celestica Valencia, Celestica Hong Kong, Celestica Japan, Celestica Romania, Celestica Oregon, Celestica International and Celestica Ireland each have entered into an agreement with the Collection Agent giving the Collection Agent “control” (as such term is defined in Article 9 of the UCC) over the Collection Accounts.

 

Canada

 

PPSA financing statement setting forth the applicable information regarding Celestica International, as debtor, and the relevant Purchased Assets, shall have been filed in Ontario.

 

Ireland:

 

An Assignment Agreement shall have been duly executed and delivered.  There is no requirement as a matter of Irish law to register a sale of receivables.  The service of notice to the relevant creditor(s) will perfect a legal transfer of the receivables.  If notice is not served, an equitable transfer of the receivables is effected.

 

The security interests created by Celestica Ireland pursuant to the Collection Account Pledge Agreement [may] need to be registered with the Irish companies Registration Office within twenty one (21) days of its execution.

 

 

Additions to Schedule 3.15 to the Receivables Purchase Agreement

 

Principal Place of Business of the Sellers:

 

Celestica International:

 

844 Don Mills Road, Toronto, ON M3C 1V7 Canada

 

Celestica Ireland:

 

Parkmore Business Park, Ballybrit, Galway, IrelandExhibit 4.22

 

CELESTICA INC.

 

DIRECTORS’ SHARE COMPENSATION PLAN

 

1.                                      Each director of Celestica Inc. (the “Corporation”) who is not an employee of the Corporation or any of its subsidiaries or of Onex Corporation (an “Eligible Director”) shall be entitled to make an annual election (a “DSU Election”), on or before the last business day of the calendar year preceding the calendar year that includes the date of the annual meeting of shareholders of the Corporation (the “Annual Meeting”), to be paid 75% or 100% of the aggregate of:

 

(i)                                     the annual fee (“Annual Board Fee”) payable to such Eligible Director for services rendered as a member of the Board of Directors of the Corporation (the “Board”);

 

(ii)                                  the travel fees payable to such Eligible Director (“Travel Fees”);

 

(iii)                               where applicable, of the fee payable to such Eligible Director for services rendered as Chair of the Audit Committee of the Board, Chair of the Compensation Committee of the Board, and/or Chair of any other standing or ad hoc committee of the Board from time to time (“Committee Chair Fees” and, together with Travel Fees “Other Compensation”);

 

(iv)                              any Supplemental Award (as defined in paragraph 4),

 

in each case in respect of the period commencing on the date of the Annual Meeting and ending on the date of the subsequent Annual Meeting (the “Compensation Period”) in deferred share units (each a “DSU”). The percentage referred to above is hereinafter each referred to as a “DSU Election Percentage”. Annual Board Fees, Travel Fees, Other Compensation and any Supplemental Award in respect of a Compensation Period are collectively referred to as “Annual Compensation”.

 

Subject to the terms of this Plan, each DSU shall entitle such Eligible Director to receive, in accordance with either paragraph 8 or paragraph 9, a subordinate voting share of the Corporation (a “Share”) or a cash payment equal to the value of a Share following the date, subject to paragraph 13, on which the Eligible Director is no longer any of the following: (i) a director of the Corporation; (ii) an employee of the Corporation; or (iii) a director or employee of any corporation that does not deal at arm’s length with the Corporation (the “Retirement Date”).

 

2.                                      An individual who becomes an Eligible Director during a Compensation Period shall be entitled to make a DSU Election and select a DSU Election Percentage to apply in respect of the portion of the Annual Board Fee and Other Compensation payable in respect of Fiscal Quarters of the Compensation Period that commence after the date such DSU Election is made. A DSU Election made under this paragraph 2 shall not be effective in respect of the Eligible Director’s Annual Board Fee or Other Compensation for the Compensation Period in which the individual becomes an Eligible Director if: (i) such election is not made within 30 days after the individual becomes an Eligible Director; or (ii) to the extent required by Section 409A of the United States Internal

 

 

Revenue Code of 1986, as amended from time to time (the “Code”), the individual previously participated in this Plan or any other plan that is required to be aggregated with this Plan for purposes of Section 409A of the Code.

 

3.                                      If an Eligible Director does not make a DSU Election in accordance with paragraph 1 or 2, as applicable, his or her DSU Election Percentage for the Compensation Period or portion thereof, as applicable, for Annual Compensation awarded in respect of such Compensation Period shall be deemed to be 100%.

 

4.                                      The Board may, from time to time, determine an amount, expressed in U.S. dollars, that shall be allocated to an Eligible Director for purposes of calculating the number of DSUs to be provided to such Eligible Director under this paragraph 4 (the “Supplemental Award”) in addition to any DSUs granted to the Eligible Director pursuant to paragraph 1 or 2. The number of DSUs that an Eligible Director shall be entitled to receive in respect of a Supplemental Award shall be equal to the product of: (i) the total dollar amount allocated to such Eligible Director under this paragraph 4 in U.S. dollars, divided by (ii) the closing price of the Shares on the NYSE on the last trading day of the fiscal quarter of the Corporation (a “Fiscal Quarter”) immediately preceding the date as of which the allocation approved by the Board, or such later date as may be specified by the Board (the “Allocation Date”). Such DSUs shall be credited to the Eligible Director’s Account as of the Allocation Date and may be subject to such terms or conditions with respect to the vesting of such DSUs as the Board may determine. If required by the Corporation, an Eligible Director who receives a Supplemental Award shall enter into an agreement with the Corporation to evidence the Supplemental Award and the terms, including any terms with respect to vesting, applicable thereto.

 

5.                                      Annual Board Fees are paid to Eligible Directors quarterly, in arrears. The number of DSUs that an Eligible Director shall be entitled to receive in lieu of each instalment of the Annual Board Fee payable to such Eligible Director shall be equal to the product of: (i) the total amount of such instalment, or, in the event that the date on which an Eligible Director ceases to be an Eligible Director (the “Termination Date”) occurs during a Fiscal Quarter, a prorated amount of such instalment that reflects the Eligible Director’s actual period of service as an Eligible Director from the commencement of the applicable Fiscal Quarter to the Eligible Director’s Termination Date, multiplied by (ii) the DSU Election Percentage, divided by (iii) the closing price of the Shares on the New York Stock Exchange) (the “NYSE”) on the last trading day of the Fiscal Quarter in respect of which the instalment is to be paid or, in the event that the Eligible Director’s Termination Date occurs prior to the end of a Fiscal Quarter, such price on the last trading day of the immediately preceding Fiscal Quarter. Such DSUs shall be credited to the Eligible Director’s Account (as defined below) as of the last day of the applicable Fiscal Quarter or, in the event that the Eligible Director’s Termination Date occurs prior to the end of such Fiscal Quarter, as of the Eligible Director’s Termination Date. If a quarterly instalment of Annual Board Fees includes a portion of the Annual Board Fee payable in respect of two Compensation Periods, and the proportion of the Annual Compensation elected by an Eligible Director to be paid in DSUs differs between the Compensation Periods, then the amount of cash and number of DSUs to be

 

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paid to such Eligible Director shall be determined separately for each of the part Compensation Periods included in such Fiscal Quarter, otherwise in accordance with this paragraph 5.

 

6.                                      The number of DSUs that an Eligible Director shall be entitled to receive in lieu of Other Compensation payable to such Eligible Director during such Compensation Period shall be equal to the product of: (i) the total amount of such Other Compensation, multiplied by (ii) the DSU Election Percentage, divided by (iii) the closing price of the Shares on the NYSE on the last trading day of the Fiscal Quarter that includes the date of as of which such Other Compensation is payable or, in the event that the Eligible Director’s Termination Date occurs prior to the end of a Fiscal Quarter, such price on the last trading day of the immediately preceding Fiscal Quarter. Provided the Eligible Director remains an Eligible Director on the regularly scheduled payment date for such Other Compensation such DSUs shall be credited to the Eligible Director’s Account (as defined below) as of the last day of the Fiscal Quarter that includes such regularly scheduled payment date, or, in the event that the Eligible Director’s Termination Date occurs prior to the end of such Fiscal Quarter, as of the Eligible Director’s Termination Date.

 

7.                                      The Corporation shall keep or cause to be kept records for each Eligible Director, including an account (the “Account”) showing the number of DSUs, determined in accordance with paragraphs 4, 5 and 6, and in each case rounded to two decimal places, that the Eligible Director has been granted. A written confirmation of the balance in each Eligible Director’s Account shall be provided by the Corporation to the Eligible Director at least annually, but the Corporation shall have no obligation to issue any certificate or other instrument evidencing the DSUs. An Eligible Director shall not be entitled to any DSUs granted pursuant to paragraph 4 that fail to vest in accordance with the terms under which such DSUs are granted, or any payment or Shares in respect thereof and all such DSUs shall cease to be recorded in the Eligible Director’s Account effective as of the date on which they fail to meet the applicable vesting conditions, if any.

 

8.                                      Subject to paragraph 9, on the date that is forty-five (45) days following the Eligible Director’s Retirement Date or the following business day if such forty-fifth (45th) day is not a business day (the “Valuation Date”), or as soon as practicable thereafter (but in all cases within ninety (90) days following the Eligible Director’s Retirement Date), the Corporation, through its Share Plan Administrator, shall deliver to the Eligible Director the number of Shares that equals the number of DSUs in the Eligible Director’s Account on the Valuation Date, less such number of Shares the value of which is required to satisfy applicable withholding taxes and source deductions. The Administrator shall, in accordance with the instructions of the Eligible Director or the Eligible Director’s legal representative, as applicable, deliver to the Eligible Director or the Eligible Director’s legal representative, as applicable, a certificate representing such Shares, or credit such Shares to an account with a broker in the name of the Eligible Director or the Eligible Director’s legal representative, as applicable, as soon as practicable thereafter.

 

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9.                                      The Corporation shall have the right, in its sole discretion, to pay all or a portion of the value of an Eligible Director’s DSUs to the Eligible Director or the Eligible Director’s legal representative, as applicable, in a lump sum cash payment in an amount equal to the product obtained by multiplying the number of DSUs in the Eligible Director’s Account on the Valuation Date by the closing price of the Shares on the NYSE (or, if the Shares are not listed on the NYSE, then on the over the counter market, or, if the Shares are not listed on the over the counter market, the fair market value of the Shares as determined by the Board in good faith) on the Valuation Date, less applicable withholding taxes and source deductions, and shall do so if there is no public market for the Shares. Such lump sum payments shall be made on the Valuation Date, or as soon as practicable thereafter (but in all cases within ninety (90) days following the Eligible Director’s Retirement Date).

 

10.                               Each Eligible Director who receives Shares under this Plan shall comply with all applicable securities regulations and policies of the Corporation relating to the purchase and sale of Shares.

 

11.                               In the event of a (i) capital reorganization, (ii) merger, (iii) amalgamation, (iv) offer for shares of the Corporation which if successful would entitle the offeror to acquire all of the shares of the Corporation or all of one or more particular class(es) of shares of the Corporation to which the offer relates, (v) sale of a material portion of the assets of the Corporation, (vi) arrangement or other scheme of reorganization (a “Reorganization”) or proposed Reorganization, or (vii) an increase or decrease in the outstanding Shares as a result of a stock split, consolidation, subdivision, reclassification or recapitalization but, for greater certainty, not as a result of the issuance of Shares for additional consideration, by way of a stock dividend or other distribution in the ordinary course or as a result of a rights offering, the Corporation may adjust the Account of each Eligible Director in such manner as the Corporation determines, in its discretion, is equitable to reflect such event. The adjustment so made by the Corporation, if any, shall be conclusive and binding for all purposes of this Plan, and Eligible Directors (and any person claiming through an Eligible Director) shall have no other rights as a result of any change in the Shares or of any other event.

 

12.                               The Corporation may amend or terminate the Plan in whole or in part at any time as it deems necessary or appropriate, but no such amendment or termination shall, without the consent of the Eligible Director or unless required by law, adversely affect the rights of an Eligible Director with respect to DSUs to which the Eligible Director is then entitled under the Plan. Notwithstanding the foregoing, any amendment of the Plan shall be such that the Plan continuously meets the requirements of paragraph 6801(d) of the regulations under the Income Tax Act (Canada) or any successor to such provision.

 

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13.                               The Corporation intends that the Plan comply with the requirements of section 409A of the Code, insofar as this Plan pays benefits that are subject to taxation under the Code that are subject to section 409A of the Code, and intends to administer the Plan accordingly. If any one or more provisions of the Plan may be interpreted to comply with, or be exempt from, Section 409A of the Code, then such provision(s) shall be so interpreted. For greater certainty, notwithstanding anything in the Plan to the contrary, with respect to all Plan benefits payable to or with respect to an Eligible Director (if any Plan benefits payable to or with respect to that Eligible Director are subject to taxation under the Code and are subject to section 409A of the Code), “Retirement Date” shall mean the date on which the Eligible Director has experienced a “separation from service” as defined in Section 409A of the Code and applicable regulations and guidance thereunder such that it is reasonably anticipated that no further services will be performed and provided that, in any event, all payments under the Plan to Eligible Directors who are subject to taxation under the Code shall be made in compliance with Section 409A of the Code.

 

14.                               The Board shall have full power and authority, subject to the provisions hereof, to construe and interpret the Plan. The Board’s decisions, determinations and interpretations shall be final, conclusive and binding on all past, present and future Eligible Directors and all other persons, if any, having an interest herein. Neither the Board nor its members shall be liable for any action, omission or determination made in good faith with respect to the Plan.

 

As amended and restated as at January 1, 2016

 

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