Document:

Amendment No. 1 to the Stock Purchase Agreement

 Exhibit 10 (viii) 
  
 AMENDMENT NO. 1 TO THE STOCK
PURCHASE AGREEMENT 
  
 AMENDMENT
NO. 1 TO THE STOCK PURCHASE AGREEMENT (this “Amendment”), dated as of August 11, 2004, by and among BHI INVESTMENT, LLC, a Delaware limited liability company (“Buyer”), BW HOLDINGS LLC, a Delaware limited liability
company (“BW”), BORDEN HOLDINGS, INC., a Delaware corporation (“Holdings”), BORDEN CHEMICAL, INC., a New Jersey corporation (“Borden”), CRAIG O. MORRISON and JODY P. BEVILAQUA (each of the last two
individuals, an “Individual Seller” and, together with BW, the “Sellers”). 
  
 W I T N E S S E T H : 
  
 WHEREAS, Buyer, BW, Holdings, Borden and the Individual Sellers have previously entered into that certain Stock Purchase Agreement by and among them dated
July 5, 2004 (the “Stock Purchase Agreement”); 
  
 WHEREAS, pursuant to Section 6.9 of the Stock Purchase Agreement, the Stock Purchase Agreement may be amended, modified and supplemented by a written instrument authorized and executed on behalf of the parties to the Stock Purchase
Agreement; and 
  
 WHEREAS, Buyer, BW, Holdings, Borden and the
Individual Sellers wish to amend the Stock Purchase Agreement and make certain other agreements with respect thereto. 
  
 NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements hereinafter contained, the parties hereby agree as follows.

  
 SECTION 1. Definition. Capitalized terms used but not
defined herein shall have the meaning given to them in the Stock Purchase Agreement. 
  
 SECTION 2. Amendments to Purchase Agreement. The Stock Purchase Agreement is hereby amended as of the date hereof as follows: 
  
 (a) Section 1.2(b) is hereby amended by replacing the formula for CS and BSPP as follows : 
  
 “CS = Number of Shares of Borden Common Stock (other than treasury
shares) outstanding immediately prior to the Closing (including, for purposes of clarification, any shares of Borden Common Stock held by the Individual Sellers outstanding immediately prior to the Closing)” 
  
 “BSPP = (CSCxBCS) less all amounts paid to BW pursuant to Section
1.7” 
  
 (b) Section 1.2(b) is hereby amended by
replacing clauses (C) and (D) of the formula for PP with the following: 
  
 “(C) the Sellers’ Closing Expense Amount (as defined in Section 6.2) to the extent not paid prior to Closing, (D) the sum of one-half of the Bonus Payment Amount (not including the portion of the Bonus
Payment Amount set forth on Schedule 1.2(b)) plus the portion of the Bonus Payment Amount set forth on Schedule 1.2(b)” 

 (c) The last paragraph of Section 1.2(b) is hereby amended and restated in its entirety to state
as follows: 
  
 “No later than the close of business on the
business day prior to the Closing Date, BW will provide to Buyer in writing its good faith estimate of (i) the number of outstanding Stock Options, (ii) the number of outstanding shares of Borden Common Stock, (iii) the number of shares of Borden
Common Stock owned by Holdings, (iv) all Closing Date Indebtedness and (v) the Closing Date Cash. “Closing Date Cash” means the amount of cash on hand on the Closing Date, at Holdings and its Subsidiaries, after application of the
withholding taxes applicable to the repatriation of such cash plus the D&O Insurance Amount (which amount of cash shall (i) be calculated before any payments of transaction costs and expenses of Holdings, Borden and the Sellers (other
than any such payments made prior to Closing by Holdings or any of its Subsidiaries), and before the redemption transaction contemplated by Section 1.3 hereof and (ii) shall exclude (x) any Stock Option Settlement Amount or Bonus Payment Amount (as
each is defined in Section 1.6) and any other payment in respect of any Stock Option to the extent such amounts are included in OPTPR (as defined above)) and (y) any cash contributed by Buyer or any of its Affiliates before the Closing to Holdings
or Borden in connection with the transactions contemplated hereby (other than with respect to out-of-pocket expenses required to be funded by Buyer pursuant to Section 3.13 hereof and paid prior to Closing by Holdings or any of its Subsidiaries).
“Closing Date Indebtedness” means all Indebtedness owed by Holdings or Borden or any of their respective Subsidiaries (other than Indebtedness owed to Holdings or any Subsidiaries of Holdings), outstanding on the Closing Date other
than debt of Holdings or Borden to BW that is actually settled pursuant to Section 1.7 hereof. The estimates of the Closing Date Indebtedness and the Closing Date Cash provided to Buyer pursuant to the foregoing sentence are referred to herein as
the “Estimated Closing Date Indebtedness” and the “Estimated Closing Date Cash”, respectively.” 
  
 (d) Section 1.3 is hereby amended and restated in its entirety to state as follows: 
  
 “1.3 Borden Stock Redemption. (a) Upon the terms and subject to the conditions of this Agreement, unless
otherwise agreed by Buyer and an Individual Seller, at the Closing, the Individual Sellers shall sell to Borden, and Borden shall redeem from the Individual Sellers, the Individual Seller Shares. 
  
 (b) In consideration for the redemption and transfer of the Individual Seller
Shares, and upon the terms and subject to the conditions of this Agreement, on the Closing Date, Borden shall pay or cause to be paid to the Individual Sellers by wire transfer in immediately available funds an aggregate amount equal to the product
of the Common Share Consideration determined under Section 1.2(b) and the Individual Seller Shares. The amount to be paid in respect of the Borden Shares held by each Individual Seller is set forth on Schedule 1.3. 
  

 2 

 (c) On the Closing Date, upon the terms and subject to the conditions of this Agreement, the Individual
Sellers shall to deliver to Borden certificates representing the Individual Seller Shares duly endorsed, or accompanied by stock powers duly executed, with all necessary stock transfer stamps attached thereto and canceled.” 
  
 (e) The first paragraph of Section 1.4(a) is hereby amended by inserting the
following at the end of the paragraph: “and (x) any liabilities relating to Wise Food Holdings, Inc. that are the subject of that certain letter agreement (as amended) between Borden and BW dated October 30, 2000 (which letter agreement is
being terminated as of the Closing) shall be excluded.” 
  
 (f) The first sentence of Section 1.6(b) is hereby deleted and the second sentence of Section 1.6(b) is hereby amended and restated in its entirety to state as follows: 
  
 “Unless otherwise agreed, as promptly as practicable after the Closing
Date (but in no event more than 10 days after the Closing Date), Buyer shall (i) cause Holdings to pay each employee the amount set forth opposite such employee’s name on Schedule 1.6(b) under the heading “Cash Bonus Payment,” (ii)
adopt a deferred stock plan with the terms as set forth in the plan adopted pursuant to Section 3.16, without duplication of the amounts of such plan, and (iii) cause each employee to be allocated a number of shares in such deferred stock plan equal
to the quotient of the amount set forth opposite such employee’s name on Schedule 1.6(b) under the heading “Deferred Stock Account Value” divided by the Common Share Consideration and (iv) make any such payments and deferred stock
account allocations to Craig Morrison as are set forth in that certain letter to Craig Morrison from Buyer dated July 5, 2004.” 
  
 (g) Article I is hereby amended by adding the following as a new Section 1.7: 
  
 “1.7 Repayment of Debt Owed to BW. At the Closing, Holdings shall repay its outstanding debt to BW of
approximately $431,200,000 with proceeds from the Financing.” 
  
 (h) Section 3.7(a) is hereby amended and restated in its entirety to state as follows: 
  
 “Subject to the terms and conditions of this Agreement, each of the parties hereto agrees to use its reasonable best efforts to take, or cause to be
taken, all actions and to do, or cause to be done, all things necessary, proper or advisable to consummate and make effective the transactions contemplated by this Agreement, including using its reasonable best efforts: (i) to obtain, in addition to
approvals and consents discussed in Section 3.3 hereof, any licenses, permits, consents, approvals, authorizations, qualifications and orders of federal, state, local and foreign Governmental Authorities as are required in connection with the
consummation of the transactions contemplated hereby; (ii) to effect, in addition to filings discussed in Section 3.3 hereof, all necessary registrations and filings; (iii) to defend any lawsuits or other legal proceedings, whether judicial or
administrative, whether brought derivatively or on behalf of third parties (including Governmental Authorities or officials), challenging this Agreement or the consummation of the transactions contemplated hereby; (iv) prepare the audited
consolidated balance sheet of Holdings and related statements of operations for the year ended December 31, 2003; and (v) to furnish to each other such information and assistance and to consult with respect to the terms of any registration, filing,
application or undertaking as reasonably may be requested in connection with the foregoing.” 
  

 3 

 (i) Section 4.2(e) is hereby amended and restated in its entirety to state as follows: 

 
 “(e) Holdings Audit. Buyer shall have received the audited
Special Purpose Financial Statement.” 
  
 (j) Section
6.4(a) is hereby amended and restated in its entirety to state as follows: 
  
 “(a) if to the Sellers or, prior to the Closing, Borden, to it at: 
  

					
	 	  	BW Holdings LLC
	 	  	Plaza 273, Suite 211
	 	  	56 West Main Street
	 	  	Newark, Delaware 19702
	 	  	Attention:     Alyssa Anton
	 	  	Telecopy:     (302) 633-2808
	 	  	 
	 with a copy to (which shall not constitute notice):

		
	 	  	Borden Chemical, Inc.
	 	  	180 East Broad Street
	 	  	Columbus, Ohio 43215
	 	  	Attention:     Nancy G. Brown, Esq.,
	 	  	                        Vice President and General
Counsel
	 	  	Telecopy:       614-225-2108
	  
 -and-
  

	 	  	Kohlberg Kravis Roberts & Co. L.P.
	 	  	9 West 57th Street
	 	  	Suite 4200
	 	  	New York, New York 10019
	 	  	Attention:     Brian Carroll
	 	  	Telecopy:     212-750-0003
	  
 -and-
  

	 	  	Simpson Thacher & Bartlett LLP
	 	  	425 Lexington Avenue
	 	  	New York, New York 10017
	 	  	Attention:     David J. Sorkin, Esq.
	 	  	                        Sean D. Rodgers,
Esq.
	 	  	Telecopy:     212-455-2502”

  

 4 

 (k) Section 6.14 is hereby amended by adding the following definition at the end of such
Section 6.14: 
  
 ““Special Purpose Financial
Statement” means the special purpose statement of net assets of Holdings, presenting the assets and liabilities of Holdings at December 31, 2003 in accordance with GAAP, except as follows: (a) Holdings’ investment in Borden shall not be
consolidated and Holdings’ basis in Borden shall not be pushed-down to Borden; rather, such investment shall be recorded at the stipulated amount of $1.2 billion and (b) the affiliated balances to/from Holdings and Borden shall not be
eliminated.” 
  
 (l) The Disclosure Schedules are hereby
amended by adding the following Schedule 1.2(b): 
  
             “Schedule 1.2(b) - $1,676,960” 
  
 SECTION 3. No Implied Amendments. Except as herein provided, the Stock Purchase Agreement shall remain in full force and effect and is ratified in
all respects. On and after the effectiveness of this Amendment, each reference in the Stock Purchase Agreement to “this Agreement,” “hereunder,” “hereof,” “herein,” or words of like import, and each reference
to the Stock Purchase Agreement in any other agreements, documents or instruments executed and delivered pursuant to the Stock Purchase Agreement, shall mean and be a reference to the Stock Purchase Agreement, as amended by this Agreement.

  
 SECTION 4. Counterparts. This Amendment may be executed
in any number of counterparts, each of which shall be deemed to be an original, and all of which together shall be deemed to be one and the same instrument. 
  
 SECTION 5. Governing Law. This Agreement shall be governed and construed in accordance with the internal laws of the State of New York. 

 
 [Remainder of Page Intentionally Left Blank.] 
  

 5 

 IN WITNESS WHEREOF, the parties hereto have executed and delivered this Amendment as of the date first
above written. 
  

			
	 BHI INVESTMENT, LLC

		
	 By:
	 	  

	 Name:
	 	 
	 Title:
	 	 
	
	 BW HOLDINGS LLC

		
	 By:
	 	  

	 Name:
	 	 
	 Title:
	 	 
	
	 BORDEN HOLDINGS, INC.

		
	 By:
	 	  

	 Name:
	 	 
	 Title:
	 	 
	
	 BORDEN CHEMICAL, INC.

		
	 By:
	 	  

	 Name:
	 	 
	 Title:
	 	 
	
	

	 CRAIG O. MORRISON

	
	

	 JOSEPH P. BEVILAQUA

  

 6Management Consulting Agreement

 Exhibit 10 (ix) 
  

	
	                 MANAGEMENT CONSULTING
 AGREEMENT dated as of August 12, 2004,
 between BORDEN CHEMICAL,
INC., a New
 Jersey corporation (the “Company”), and APOLLO
 MANAGEMENT V, L.P., a Delaware limited
 partnership (“Apollo”).

  
 The Company
desires to avail itself of Apollo’s expertise and consequently has requested that Apollo make such expertise available from time to time in rendering certain management consulting and advisory services related to the business and affairs of the
Company and its subsidiaries and affiliates and the review and analysis of certain financial and other transactions. Apollo and the Company agree that it is in their respective best interests to enter into this Agreement whereby, for the
consideration specified herein, Apollo shall provide such services as independent consultant to the Company. 
  
 NOW, THEREFORE, in consideration of the mutual covenants hereinafter set forth, the Company and Apollo agree as follows: 
  
 Section 1. Retention of Apollo. 
  
 The Company hereby retains Apollo, and Apollo accepts such retention, upon
the terms and conditions set forth in this Agreement. 
  
 Section 2. Term. 
  
 This Agreement shall
commence on the date hereof and, unless otherwise extended pursuant to the final sentence of this Section 2, shall terminate on the seventh anniversary of the date hereof (the “Term”). Upon the fourth anniversary of the date
hereof, and at the end of each year thereafter (each of such fourth anniversary and the end of each year thereafter being a “Year End”), the Term shall automatically be extended for an additional year unless notice to the contrary
is given by either party at least 30, but no more than 60, days prior to such Year End, as applicable. 
  
 Section 3. Management Consulting Services. 
  
 (a) Apollo shall advise the Company concerning such management matters that relate to proposed financial transactions, acquisitions and other senior
management matters related to the business, administration and policies of the Company and its subsidiaries and affiliates, in each case as the Company shall reasonably and specifically request by way of written notice to Apollo, which notice shall
specify the services required of Apollo and shall include all background material necessary for Apollo to complete such services. If requested to provide such services, Apollo shall devote such time to any such written request as Apollo shall deem,
in its discretion, necessary. Such consulting services, in Apollo’s discretion, shall be rendered in person or by telephone or other communication. Apollo shall have no obligation to the Company as to the manner and time of rendering its
services hereunder, and the Company shall not have any right to dictate or direct the details of the services rendered hereunder. 
  
 (b) Apollo shall perform all services to be provided hereunder as an independent contractor to the Company and not as an employee, agent or
representative of the Company. Apollo shall have no authority to act for or to bind the Company without its prior written consent. 
  
 (c) This Agreement shall in no way prohibit Apollo or any of its partners or Affiliates or any director, officer, partner or employee of Apollo or any of
its partners or Affiliates from engaging in other activities, whether or not competitive with any business of the Company or any of its respective subsidiaries or affiliates. 

 Section 4. Compensation. 
  
 (a) As consideration for Apollo’s agreement to render the services set forth in Section 3(a) of this Agreement
and as compensation for any such services rendered by Apollo, Apollo may request, and upon such request the Company agrees to pay to Apollo, an annual fee equal to the greater of (i) $3 million and (ii) 2% of Adjusted EBITDA (with pro forma
adjustments thereto as are consistent with the pro forma adjustment provisions set forth in the definition of Fixed Charge Coverage Ratio) of the Company and its Restricted Subsidiaries for the immediately preceding fiscal year The amount of this
annual fee (including the method and timing of payment) shall be reasonably determined and mutually agreed to by Apollo and the Company at the time such request is made by Apollo. As used in this Section 4(a), the capitalized terms
“Adjusted EBITDA”, “Fixed Charge Coverage Ratio” and “Restricted Subsidiaries” have the definition ascribed to them in the Indenture dated as of the date hereof among the Company, Borden Nova Scotia Finance, ULC, Borden
U.S. Finance Corp., certain of the Company’s other subsidiaries, and The Wilmington Trust Company, as trustee, relating to $150,000,000 Second Priority Senior Secured Floating Rate Notes due 2010 (the “Floating Rate Notes”) and
$325,000,000 9% Second Priority Senior Secured Notes due 2014 (the “Fixed Rate Notes”). 
  
 (b) Upon presentation by Apollo to the Company of such documentation as may be reasonably requested by the Company, the Company shall reimburse Apollo
for all out-of-pocket expenses, including, without limitation, legal fees and expenses, and other disbursements incurred by Apollo, its Affiliates or any of its Affiliates’ directors, officers, employees or agents in the performance of
Apollo’s obligations hereunder, whether incurred on or prior to the date hereof, including, without limitation, out-of-pocket expenses incurred in connection with the transactions contemplated by the Purchase Agreement and each of the documents
referred to therein. 
  
 (c) Nothing in this Agreement shall have
the effect of prohibiting Apollo or any of its Affiliates from receiving from the Company or any of its subsidiaries or affiliates any other fees, including any fee payable pursuant to Section 6 or the Transaction Fee Agreement dated as of
the date hereof between Apollo and the Company. 
  
 (d) Reference
is made to (i) the Credit Agreement, to be entered into simultaneously with consummation of the transactions contemplated by the Purchase Agreement (as amended, restated, modified or supplemented and in effect from time to time, the “Credit
Agreement”), dated as of August 12, 2004 and entered into by and among Credit Suisse First Boston, JP Morgan Chase Bank, Morgan Stanley Senior Funding, Inc., and Bank of America, N.A. and (ii) instruments related to the issuance of the
Floating Rate Notes and the Fixed Rate Notes (the “Debt Instruments”). Any portion of the fees payable to Apollo under this Agreement which the Company is prohibited from paying to Apollo under the Credit Agreement or the Debt
Instruments shall be deferred, shall accrue and shall be payable at the earliest time permitted under the Credit Agreement and the Debt Instruments or upon the payment in full of all obligations under the Credit Agreement and the Debt Instruments.
The Company shall notify Apollo if the Company shall be unable to pay any fees pursuant to the Credit Agreement or the Debt Instruments on each date on which the Company would otherwise make a payment of fees under this Agreement to Apollo.

  
 Section 5. Indemnification. 
  
 The Company agrees that it shall indemnify and hold harmless Apollo, its
Affiliates and its Affiliates’ directors, officers, employees and agents (collectively, the “Indemnified Persons”) on demand from and against any and all liabilities, costs, expenses and disbursements (collectively,
“Claims”) of any kind with respect to or arising from this Agreement or the performance by any Indemnified Person of any services in connection herewith. Notwithstanding the foregoing provision, the Company shall not be liable for
any Claim under this Section 5 arising from the willful misconduct of any Indemnified Person. 

 Section 6. Other Services. 
  
 If the Company shall determine that it is advisable for the Company to hire a financial advisor, consultant, investment
banker or any similar agent in connection with any merger, acquisition, disposition, recapitalization, issuance of securities, financing or any similar transaction, it shall notify Apollo of such determination in writing. Promptly thereafter, upon
the request of Apollo, the parties shall negotiate in good faith to agree upon appropriate services, compensation and indemnification for the Company to hire Apollo or its Affiliates for such services. The Company may not hire any person, other than
Apollo or its Affiliates, for any services, unless (a) the parties are unable to agree after 30 days following receipt by Apollo of such written notice, (b) such other person has a reputation that is at least equal to the reputation of Apollo in
respect of such services, (c) ten business days shall have elapsed after the Company provides a written notice to Apollo of its intention to hire such other person, which notice shall identify such other person and shall describe in reasonable
detail the nature of the services to be provided, the compensation to be paid and the indemnification to be provided and (d) the compensation to be paid is not more than Apollo was willing to accept in the negotiations described above, and (e) the
indemnification to be provided is not more favorable to the Company than the indemnification that Apollo was willing to accept in the negotiations described above. In the absence of an express agreement to the contrary, at the closing of any merger,
acquisition or similar transaction, Apollo shall receive a fee equal to 1% of the aggregate enterprise value paid or provided by the Company (including the aggregate value of (x) equity securities, warrants, rights and options acquired or retained,
(y) indebtedness acquired, assumed or refinanced and (z) any other consideration or compensation paid in connection with such transaction). 
  
 Section 7. Notices. 
  
 All notices, requests, consents and other communications hereunder shall be in writing and shall be deemed sufficient if personally delivered, sent by
nationally-recognized overnight courier, by telecopy, or by registered or certified mail, return receipt requested and postage prepaid, addressed as follows: 
  
 if to Apollo, to: 
  
 Apollo Management V, L.P. 
 9 West 57th Street 
 New York, New York 10019 
 Attention: Josh Harris 
 Telecopier: (212) 515-3288 
  
 if to the Company, to it at: 
  
 Borden Chemical, Inc. 
 180 East Broad Street 
 Columbus, Ohio 43215 
 Attention: Nancy G. Brown, Esq. 
 Vice President and General Counsel 
 Telecopier: 614-225-2008 
  
 or to such other
address as the party to whom notice is to be given may have furnished to each other party in writing in accordance herewith. Any such notice or communication shall be deemed to have been received (a) in the case of personal delivery, on the date of
such delivery, (b) in the case of nationally-recognized overnight courier, on the next business day after the date when sent, (c) in the case of telecopy transmission, when received, and (d) in the case of mailing, on the third business day
following that on which the piece of mail containing such communication is posted. 
  
 Section 8. Benefits of Agreement. 
  
 This Agreement shall bind and inure to the benefit of Apollo, the Company, the Indemnified Persons and any successors to or assigns of Apollo and the Company; provided, however, that this Agreement may
not be assigned by either party hereto without the prior written consent of the other party, which consent will not be unreasonably withheld in the case of any assignment by Apollo. 

 Section 9. Governing Law. 
  
 This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of New York (without
giving effect to principles of conflicts of laws). 
  
 Section
10. Headings. 
  
 Section headings are used for convenience
only and shall in no way affect the construction of this Agreement. 
  
 Section 11. Entire Agreement; Amendments. 
  
 This Agreement contains the entire understanding of the parties with respect to its subject matter and supersedes any and all prior agreements, and neither it nor any part of it may in any way be altered, amended, extended, waived,
discharged or terminated except by a written agreement signed by each of the parties hereto.  
  
 Section 12. Counterparts. 
  
 This Agreement may be executed in counterparts, and each such counterpart shall be deemed to be an original instrument, but all such counterparts together
shall constitute but one agreement. 
  
 Section 13.
Waivers. 
  
 Any party to this Agreement may, by written
notice to the other party, waive any provision of this Agreement. The waiver by any party of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any subsequent breach. 
  
 Section 14. Affiliates. 
  
 For purposes of this Agreement, the term “Affiliate,” with respect
to Apollo, shall include, without limitation, Apollo Investment Fund V, L.P., AP-BHI Investments, L.P., Apollo Netherlands Partners V(A), L.P., Apollo Netherlands Partners V(B), L.P., Apollo German Partners V GMBH & Co., Apollo Overseas Partners
V, L.P., Apollo Advisors V, L.P., and Apollo Capital Management V, Inc. (collectively, the “Funds”), the general partner of Apollo, the general partner of each of the Funds and each person controlling, controlled by or under common
control with any of the foregoing persons. 
  

 IN WITNESS WHEREOF, the parties have duly executed this Management Consulting Agreement as of the
date first above written. 
  

			
	BORDEN CHEMICAL, INC.
		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	APOLLO MANAGEMENT V, L.P.
		
	By:	 	Apollo Management V, LP, its Manager
		
	By:	 	AIF V Management, Inc., its General
	Partner
		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00074-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00074-of-00352.parquet"}]]