Document:

purch-agrmt.htm

 

Exhibit 10.1

 

MPM TECHNOLOGIES, INC.

CONVERTIBLE NOTE PURCHASE AGREEMENT

April 29, 2013

This Convertible Note Purchase Agreement (this "Agreement") is made as of April 29, 2013 by and among MPM Technologies, Inc., a Washington corporation (the "Company"), and each of the purchasers listed on Exhibit A attached to this Agreement (each a "Purchaser" and together the "Purchasers").

RECITALS

The Company desires to issue and sell, and each Purchaser desires to purchase, a convertible promissory note in substantially the form attached to this Agreement as Exhibit B (the "Note") which shall be convertible on the terms stated therein into equity securities of the Company. The Notes and the equity securities issuable upon conversion or exercise thereof (and the securities issuable upon conversion of such equity securities) are collectively referred to herein as the "Securities."

AGREEMENT

In consideration of the mutual promises contained herein and other good and valuable consideration, receipt and adequacy of which are hereby acknowledged, the parties to this Agreement agree as follows:

1. Purchase and Sale of Notes.

(a.) Sale and Issuance of Notes. Subject to the terms and conditions of this Agreement, each Purchaser agrees to purchase at the Closing (as defined below) and the Company agrees to sell and issue to each Purchaser a Note in the principal amount set forth opposite such Purchaser's name on Exhibit A. The purchase price of each Note shall be equal to 100% of the principal amount of such Note. The Company's agreements with each of the Purchasers are separate agreements, and the sales of the Notes to each of the Purchasers are separate sales.

(b.) Closing; Delivery.

(i.) Each purchase and sale of the Notes shall take place at the Company's offices at such time and place as the Company and the Purchasers mutually agree upon, orally or in writing (each, a "Closing"). The Company shall update Exhibit A to reflect each sale of Notes and such update shall not constitute an amendment of this Agreement.

(ii.) At each Closing, the Company shall deliver to each Purchaser the Note to be purchased by such Purchaser against (1) payment of the purchase price therefor by check payable to the Company or by wire transfer to a bank designated by the Company, (2) delivery of counterpart signature pages to this Agreement and (3) delivery of a validly

  

  

  

 

	 	
completed and executed IRS Form W-8 BEN or IRS Form W-9, as applicable, establishing such Purchaser's exemption from withholding tax, which forms are attached to this Agreement as Exhibit C

 

2. Stock Purchase Agreement.  Each Purchaser understands and agrees that the conversion of the Notes into equity securities of the Company will require such Purchaser's execution of certain agreements relating to the purchase and sale of such securities as well as any rights relating to such equity securities.

3. Representations and Warranties of the Company. The Company hereby represents and warrants to each Purchaser that:

(a.) Organization, Good Standing and Qualification. The Company is a corporation duly organized, validly existing and in good standing under the laws of the State of Oregon and has all requisite corporate power and authority to carry on its business as now conducted and as proposed to be conducted. The Company is duly qualified to transact business and is in good standing in each jurisdiction in which the failure so to qualify would have a material adverse effect on its business or properties.

(b.) Authorization. This Agreement, the Notes, and the stock issuable upon conversion of the Notes, have been duly authorized by the Board of Directors of the Company; however, (i) no shareholder approval has been obtained, (ii) the Company has not obtained the necessary corporate approval for the authorization of the issuance of any additional shares of Series A Preferred Stock or any new series of Preferred Stock into which the Notes may convert (together, the "Preferred Stock"), or and (iii) a sufficient number of shares of Preferred Stock has not been authorized under the Company's Articles of Incorporation to provide for the issuance of such shares upon conversion or exercise (as applicable) of the Notes. This Agreement and the Notes, when executed and delivered by the Company, shall constitute valid and legally binding obligations of the Company, enforceable against the Company in accordance with their respective terms except as limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance, and other laws of general application affecting enforcement of creditors' rights generally, and as limited by laws relating to the availability of specific performance, injunctive relief, or other equitable remedies.

 (c) Title to Property and Assets. The Company has good and marketable title to all of its properties, intangible and tangible assets that it owns free and clear of all mortgages, liens, loans, claims and encumbrances, except liens for current taxes and assessments not yet due and minor liens and encumbrances which arise in the ordinary course of business and which do not, in any case, in the aggregate, materially detract from the value or use of the property subject thereto or materially impair the operations of the Company. With respect to the property and assets it leases, the Company is in material compliance with such leases and holds a valid leasehold interest free of all liens, claims or encumbrances.

  

  

  

(d) Litigation. There is no action, suit, proceeding or investigation pending or, to the Company's knowledge, currently threatened before any court, administrative agency, or other governmental body (nor, to the Company's knowledge, is there any basis for any such action, suit, proceeding or investigation) that might result, either individually or in the aggregate, in a material adverse effect to the Company. The Company is not a party or subject to, and none of its assets is bound by, the provisions of any order, writ, injunction, judgment or decree of any court or government agency or instrumentality. There is no action, suit or proceeding by the Company currently pending or that the Company intends to initiate.

4. Representations and Warranties of the Purchasers. Each Purchaser hereby represents and warrants to the Company that:

(a.) Authorization. Such Purchaser has full power and authority to enter into this Agreement. This Agreement, when executed and delivered by the Purchaser, will constitute a valid and legally binding obligation of the Purchaser, enforceable in accordance with its terms, except as limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance, and any other laws of general application affecting enforcement of creditors' rights generally, and as limited by laws relating to the availability of a specific performance, injunctive relief, or other equitable remedies.

(b.) Purchase Entirely for Own Account. This Agreement is made with the Purchaser in reliance upon the Purchaser's representation to the Company, which by the Purchaser's execution of this Agreement, the Purchaser hereby confirms, that the Securities to be acquired by the Purchaser will be acquired for investment for the Purchaser's own account, not as a nominee or agent, and not with a view to the resale or distribution of any part thereof, and that the Purchaser has no present intention of selling, granting any participation in, or otherwise distributing the same. By executing this Agreement, the Purchaser further represents that the Purchaser does not presently have any contract, undertaking, agreement or arrangement with any person to sell, transfer or grant participations to such person or to any third person, with respect to any of the Securities. The Purchaser has not been formed for the specific purpose of acquiring any of the Securities.

(c.) Knowledge; Experience.  The Purchaser and its counsel and, if applicable, other representatives have been afforded access to all information and documents requested and the opportunity to meet with and ask questions of the Company's management and other parties with which the Company has or is doing business. The Purchaser acknowledges that it has not requested the Company to disclose any information related in any way to any of the Company’s financial statements, accounting data, financial condition or results of operations, and that the Company has not disclosed to Purchaser any such information or any material non-public information. The Purchaser acknowledges that (i) there are no representations and warranties other than those expressly set forth in this Agreement, and (ii) the Purchaser has not relied nor will rely in respect of this Agreement or the transactions contemplated thereby upon any document or written or oral information furnished to or discovered by the Purchaser at any time, other than this Agreement, including the schedules hereto. The Company will not have or be subject to any liability to the Purchaser or any other person resulting from the distribution to the Purchaser, or the Purchaser's use of, any information not expressly contained in this Agreement (including, without limitation, any offering memorandum provided to the Purchaser).  The Purchaser (i) has carefully read this Agreement and the Note, (ii) has had the opportunity to consult independent financial, tax, valuation, legal, and other experts, (iii) understands that the investment in the Securities involves a high degree of risk and is suitable only for persons of adequate financial means who have no need for liquidity, (iv) recognizes the highly speculative nature of the investment in the Securities and understands that the Purchaser may not be able to liquidate this investment, (v) understands that he or she could sustain a complete loss of the investment in the

  

  

  

 

	 	
Securities and is able to bear the economic risk of losing this entire investment, and (vi) has significant prior investment experience, including investment in non listed or non registered securities.

 

(d.) Restricted Securities. The Purchaser understands that the Securities have not been, and will not be, registered under the Securities Act of 1933, as amended (the "Securities Act"), by reason of a specific exemption from the registration provisions of the Securities Act which depends upon, among other things, the bona fide nature of the investment intent and the accuracy of the Purchaser's representations as expressed herein. The Purchaser understands that the Securities are "restricted securities" under applicable U.S. federal and state securities laws and that, pursuant to these laws, the Purchaser must hold the Securities indefinitely unless they are registered with the Securities and Exchange Commission and qualified by state authorities, or an exemption from such registration and qualification requirements is available. The Purchaser acknowledges that the Company has no obligation to register or qualify the Securities for resale. The Purchaser further acknowledges that if an exemption from registration or qualification is available, it may be conditioned on various requirements including, but not limited to, the time and manner of sale, the holding period for the Securities, and on requirements relating to the Company which are outside of the Purchaser's control, and which the Company is under no obligation and may not be able to satisfy.

(e.) Legends. The Purchaser understands that the Securities, and any securities issued in respect thereof or exchange therefor, may bear one or all of the following legends:

(i.) "THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AND HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT WITH A VIEW TO, OR IN CONNECTION WITH, THE SALE OR DISTRIBUTION THEREOF. NO SUCH SALE OR DISTRIBUTION MAY BE EFFECTED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN OPINION OF COUNSEL IN A FORM SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT OF 1933."

(ii.) Any legend required by the Blue Sky laws of any state to the extent such laws are applicable to the shares represented by the certificate so legended.

(g.) Accredited Investor. The Purchaser is an accredited investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act.

  

  

  

 

(h.) No Other Representations. The Purchaser is not relying on any representations and warranties of the Company in connection with the purchase of the Securities, other than the representations and warranties of the Company in Section 3.

5. Conditions of the Purchasers' Obligations at Closing. The obligations of each Purchaser to the Company under this Agreement are subject to the fulfillment, on or before the Closing, of each of the following conditions, unless otherwise waived:

(a.) Representations and Warranties. The representations and warranties of the Company contained in Section 3 shall be true in all material respects on and as of the Closing with the same effect as though such representations and warranties had been made on and as of the date of the Closing.

(b.) Qualifications. All authorizations, approvals or permits, if any, of any governmental authority or regulatory body of the United States or of any state that are required in connection with the lawful issuance and sale of the Securities pursuant to this Agreement shall be obtained and effective as of the Closing.

6. Conditions of the Company's Obligations at Closing. The obligations of the Company to each Purchaser under this Agreement are subject to the fulfillment, on or before the Closing, of each of the following conditions, unless otherwise waived:

(a.) Representations and Warranties. The representations and warranties of each Purchaser contained in Section 4 shall be true on and as of the Closing with the same effect as though such representations and warranties had been made on and as of the Closing.

(b.) Qualifications. All authorizations, approvals or permits, if any, of any governmental authority or regulatory body of the United States or of any state that are required in connection with the lawful issuance and sale of the Securities pursuant to this Agreement shall be obtained and effective as of the Closing.

(c.) Delivery of Form W-8 BEN or Form W-9 . Each Purchaser shall have completed and delivered to the Company a validly executed IRS Form W-8 BEN or IRS Form W-9, as applicable, establishing such Purchaser's exemption from withholding tax.

  

  

  

7. Miscellaneous.

(a.) Successors and Assigns.  The terms and conditions of this Agreement shall inure to the benefit of and be binding upon the respective successors and assigns of the parties. Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

(b.) Governing Law. This Agreement and all acts and transactions pursuant hereto and the rights and obligations of the parties hereto shall be governed, construed and interpreted in accordance with the laws of the State of Washington, without giving effect to principles of conflicts of law.

(c.) Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument.

(d.) Titles and Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.

(e.) Notices. Any notice required or permitted by this Agreement shall be in writing and shall be deemed sufficient upon receipt, when delivered personally or by courier, overnight delivery service or confirmed facsimile, or 48 hours after being deposited in the U.S. mail as certified or registered mail with postage prepaid, if such notice is addressed to the address of a Purchaser as set forth on Exhibit A, as such exhibit may be updated from time to time, and to the Company, 1727 E. Springfield Avenue, Ste. C, Spokane, WA 99202, Attention: Peter Chase, Chief Executive Officer, with a copy to Peter E. Moye, K&L Gates LLP 618 W. Riverside Avenue, Suite 300, Spokane, WA  99201 or as subsequently modified by written notice.

(f.) Finder's Fee. Each Purchaser agrees to indemnify and to hold harmless the Company from any liability for any commission or compensation in the nature of a finder's fee (and the costs and expenses of defending against such liability or asserted liability) for which each Purchaser or any of its officers, employees, or representatives is responsible. The Company agrees to indemnify and hold harmless each Purchaser from any liability for any commission or compensation in the nature of a finder's fee (and the costs and expenses of defending against such liability or asserted liability) for which the Company or any of its officers, employees or representatives is responsible.

(g.) Amendments and Waivers.  Any term of this Agreement may be amended or waived only with the written consent of the Company and the holders of at least a majority in interest of the Notes. Any amendment or waiver effected in accordance with

  

  

  

 

this Section 8(g) shall be binding upon each Purchaser and each transferee of the Securities, each future holder of all such Securities, and the Company.

 

(h.) Severability. If one or more provisions of this Agreement are held to be unenforceable under applicable law, the parties agree to renegotiate such provision in good faith, in order to maintain the economic position enjoyed by each party as close as possible to that under the provision rendered unenforceable. In the event that the parties cannot reach a mutually agreeable and enforceable replacement for such provision, then (i) such provision shall be excluded from this Agreement, (ii) the balance of this Agreement shall be interpreted as if such provision were so excluded and (iii) the balance of this Agreement shall be enforceable in accordance with its terms.

(i.) Entire Agreement. This Agreement, and the documents referred to herein constitute the entire agreement between the parties hereto pertaining to the subject matter hereof, and any and all other written or oral agreements existing between the parties hereto are expressly canceled.

(j.) Exculpation Among Purchasers. Each Purchaser acknowledges that it is not relying upon any person, firm or corporation, other than the Company and its officers and directors, in making its investment or decision to invest in the Company. Each Purchaser agrees that no Purchaser nor the respective controlling persons, officers, directors, partners, agents, or employees of any Purchaser shall be liable for any action heretofore or hereafter taken or omitted to be taken by any of them in connection with the Securities.

The parties have executed this Convertible Note Purchase Agreement as of the date first written above.

COMPANY: MPM Technologies, Inc.

By:  ____________________                                                    

Name: Peter Chase

Title: President

PURCHASERS:

 

_______________________

_______________________

Exhibit A - Schedule of Purchasers

Exhibit B - Form of Promissory Note

Exhibit C - Purchaser Withholding Exemptions

  

  

  

EXHIBIT A

SCHEDULE OF PURCHASERS

	
Name/Address and Facsimile Number of Purchasers

 

	
Original Principal Amount of Note

	  	  

  

  

  

EXHIBIT B

FORM OF CONVERTIBLE PROMISSORY NOTE

  

  

  

EXHIBIT C

PURCHASER WITHHOLDING EXEMPTIONSex4_1a-f8k04292013.htm

Exhibit 4.1(a)

 

EXECUTION COPY

 

AMENDMENT NO. 15 TO THE AMENDED AND RESTATED

RECEIVABLES PURCHASE AGREEMENT

 

THIS AMENDMENT NO. 15 TO THE AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT (this “Amendment”), dated as of April 29, 2013 is among VOLT FUNDING CORP., a Delaware corporation (the “Seller”), VOLT INFORMATION SCIENCES, INC., a New York corporation, in its individual capacity (“Volt”) and in its capacity as servicer (in such capacity, the “Servicer”), MARKET STREET FUNDING LLC, a Delaware limited liability company (“Market Street”), as a Buyer (the “Buyer”), PNC BANK, NATIONAL ASSOCIATION, a national banking association, (“PNC”), as Buyer Agent for Market Street, (the “Buyer Agent”), and PNC BANK, NATIONAL ASSOCIATION, a national banking association, as Administrator (in such capacity, the “Administrator”).

 

BACKGROUND

 

WHEREAS, in accordance with the terms of that certain Amended and Restated Receivables Purchase Agreement dated as of June 3, 2008, among the Seller, the Servicer, Volt, the Buyer, the Buyer Agent and the Administrator (as amended, supplemented and/or otherwise modified prior to giving effect to this Amendment, the “Amended and Restated Receivables Purchase Agreement”), Volt has delivered its audited financial statements for its fiscal years ended November 1, 2009 and October 31, 2010, along with restated financials for its fiscal year ended November 2, 2008; and

 

WHEREAS, Volt anticipates there may be a further delay in the delivery of its audited financial statements for its fiscal year ended October 30, 2011; and

 

WHEREAS, in light of the foregoing, and in furtherance of the continuation of the securitization program maintained under the Amended and Restated Receivables Purchase Agreement, the parties hereto desire to further amend the Amended and Restated Receivables Purchase Agreement in order to (among other things) extend the Expiration Date, extend the date for delivery of such financial statements, increase Market Street’s Maximum Net Investment, and add a Subsidiary Originator, all in the manner and to the extent provided in this Amendment;

 

NOW, THEREFORE, for good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:

 

SECTION 1.          Definitions.  Capitalized terms used but not defined in this Amendment shall have the meanings assigned to them in the Amended and Restated Receivables Purchase Agreement.

 

SECTION 2.          Amendment to Recitals to Amended and Restated Receivables Purchase Agreement.  Effective as of the date hereof and subject to the satisfaction of the conditions precedent set forth in Section 5 hereof, the recitals to the Amended and Restated Receivables Purchase Agreement are hereby amended and restated to read in their entirety as follows:

 

WHEREAS, the Seller, Three Rivers Funding Corporation, a Delaware corporation (“TRFCO”), and the Company, as Servicer, are parties to that certain Receivables Purchase Agreement, dated as of April 12, 2002, as heretofore amended, supplemented or otherwise modified from time to time (the “Existing Agreement”); and

 

WHEREAS, the Company is engaged in part, and the Subsidiary Originators (as this and the other capitalized terms used but not defined in these recitals are defined in Section 1.01 below), are engaged in full, in the business of providing staffing solutions to their customers (or in related businesses included within that same business segment) (collectively, the “Staffing Solutions Business”); and

 

  

  

  

 

WHEREAS, the Originators, in the ordinary course of the Staffing Solutions Business, generate trade receivables resulting from their sale of merchandise and the rendering of services to their customers with regard to such business (the “Staffing Solutions Receivables”); and

 

WHEREAS, the Subsidiary Originators heretofore have transferred, and hereafter may from time to time transfer, their respective Staffing Solutions Receivables to the Company pursuant to the Subsidiary Sale Agreements; and

 

WHEREAS, the Company heretofore has transferred, and hereafter may from time to time transfer, to the Seller the Staffing Solutions Receivables generated by the Subsidiary Originators (and acquired by the Company pursuant to the Subsidiary Sale Agreements), as well as Staffing Solutions Receivables generated by the Company, pursuant to that certain Receivables Sale and Contribution Agreement dated as of April 12, 2002 between the Company and the Seller, as heretofore amended, supplemented or otherwise modified, as amended by the Omnibus Amendment Agreement, and hereafter further amended, supplemented or otherwise modified from time to time (the “Sale Agreement”); and

 

WHEREAS, the Seller heretofore has created, and hereafter may continue, a pool of such Staffing Solutions Receivables; and

 

WHEREAS, TRFCO heretofore from time to time purchased from the Seller undivided percentage ownership interests in the pool of receivables pursuant to and in accordance with the terms of the Existing Agreement; and

 

WHEREAS, in connection with the execution of this Agreement TRFCO assigned all of its right title, interest and obligations in the Participation Interest, the Existing Agreement and all other Purchase Documents (as defined under the Existing Agreement) to Market Street Funding LLC, a Delaware limited liability company (“Market Street”), and Relationship Funding Company, LLC, a Delaware limited liability company (“Relationship Funding”), the sole Buyers as of the Closing Date, in the amounts set forth on the Omnibus Assignment and Assumption Agreement, dated as of the date hereof, among the Seller, Market Street, Relationship Funding, Fifth Third, PNC, the Administrator, TRFCO, Mellon Bank, N.A., the Originators and the Servicer (the “Omnibus Assignment Agreement”); and

 

  

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WHEREAS, the Buyers from time to time hereafter may purchase from the Seller undivided percentage ownership interests in the pool of receivables pursuant to and in accordance with the terms hereof; and

 

WHEREAS, the parties hereto wish to amend and restate the Existing Agreement on the terms hereof;

 

SECTION 3.          Other Amendments to Amended and Restated Receivables Purchase Agreement.  Effective as of the date hereof and subject to the satisfaction of the conditions precedent set forth in Section 5 hereof, the Amended and Restated Receivables Purchase Agreement is hereby further amended as follows:

 

(a)           The following definitions in Section 1.01 of the Amended and Restated Receivables Purchase Agreement are hereby amended and restated to read in their respective entirety as follows:

 

“Administrator” shall have the meaning assigned to such term in the introductory paragraph to this Agreement.

“Business Day” shall mean any day other than a Saturday, Sunday, or other day on which (a) banking institutions are authorized or obligated to close in the State of New York, (b) banking institutions are authorized or obligated to close in the Commonwealth of Pennsylvania, (c) there is a public holiday under the Laws of the Commonwealth of Pennsylvania or the State of New York, or (d) SIFMA recommends as a closed day for the United States bond market.

 

“Company” shall have the meaning assigned to such term in the introductory paragraph to this Agreement.

“Fifth Third” shall mean Fifth Third Bank.

 

“Lockbox Account” shall mean an account owned and maintained by the Seller with a Permitted Lockbox Bank for the purpose of depositing payments (including electronic payments) made by Obligors.

 

“Office” shall mean, when used in connection with the Administrator, a Buyer or a Buyer Agent, its respective office located at the address set forth below its signature page hereto, or when used in connection with the Company or the Seller, its respective office located at 1065 Avenue of the Americas, New York, New York 10018, or at such other office or offices of the Administrator, the Buyers, the Buyer Agents, the Company or the Seller or branch, subsidiary or Affiliate of any thereof as may be designated in writing from time to time by any party hereto to the other parties hereto.

 

“Omnibus Amendment Agreement” shall mean the Omnibus Amendment Agreement dated as of the date hereof among the Seller, the Company, Volt Management, Volt Technical, P/S, Market Street, Relationship Funding, PNC, and Fifth Third.

 

  

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“Originators” shall mean the Company and the Subsidiary Originators, collectively.

 

“PNC” shall mean PNC Bank, National Association, a national banking association.

 

“P/S” shall mean P/S Partner Solutions, Ltd., a Delaware corporation formerly known as PS Payrolling, Ltd.

 

“P/S Sale Agreement” shall mean that certain Receivables Purchase and Sale Agreement dated as of May 23, 2006 between P/S and the Company, as heretofore amended, supplemented or otherwise modified, as amended by the Omnibus Amendment Agreement, and as hereafter further amended, supplemented or otherwise modified from time to time.

 

“Seller” shall have the meaning assigned to such term in the introductory paragraph to this Agreement.

 

“Subsidiary Originators” shall mean, collectively: (a) Volt Management; (b) Volt Technical, prior to its merger with and into Volt Management in May 2009; (c) P/S, from and after May 23, 2006; and (d) VMC Consulting, from and after April 29, 2013.

 

“Subsidiary Sale Agreements” shall mean, collectively, the Volt Management Sale Agreement, Volt Technical Sale Agreement, P/S Sale Agreement and VMC Consulting Sale Agreement, in each case as and to the extent in effect from time to time.

 

“Volt Management” shall mean Volt Management Corp., a Delaware corporation.

 

“Volt Management Sale Agreement” shall mean that certain Receivables Purchase and Sale Agreement dated as of April 12, 2002 between Volt Management and the Company, as heretofore amended, supplemented or otherwise modified, as amended by the Omnibus Amendment Agreement, and as hereafter further amended, supplemented or otherwise modified from time to time.

 

“Volt Technical” shall mean Volt Technical Resources, LLC, originally a Delaware corporation known as Volt Human Resources, Inc., and thereafter a Delaware limited liability company prior to its merger with and into Volt Management in May 2009.

 

“Volt Technical Sale Agreement” shall mean that certain Receivables Purchase and Sale Agreement dated as of April 12, 2002 between Volt Technical and the Company, as heretofore amended, supplemented or otherwise modified, as amended by the Omnibus Amendment Agreement, and as hereafter further amended, supplemented or otherwise modified from time to time.

 

(b)           Clause (i) of the definition of “Expiration Date” in Section 1.01 of the Amended and Restated Receivables Purchase Agreement is hereby deleted in its entirety and replaced with the following:

 

  

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“(i) July 31, 2014,”

 

(c)           The following defined terms are hereby inserted in Section 1.01 of the Amended and Restated Receivables Purchase Agreement, in each case in its respective proper alphabetical position:

 

“VMC Consulting” shall mean VMC Consulting Corporation, a Delaware corporation.

 

“VMC Consulting Sale Agreement” shall mean that certain Receivables Purchase and Sale Agreement dated as of April 29, 2013 between VMC Consulting and the Company, as hereafter amended, supplemented or otherwise modified from time to time

 

(d)           A new Section 9.01(i)(4) of the Amended and Restated Receivables Purchase Agreement is hereby inserted in its proper numerical position, and shall read in its entirety as follows:

 

“(4)           Notwithstanding the requirements of subclause (3) and in lieu of those requirements, the Administrator in its discretion instead shall have the right (directly or through its designee, including, without limitation, Protiviti Inc.) to examine Seller’s books and records, directly, to determine the matters referenced in subclause (3).”

 

(e)           Section 9.03(b)(ii) of the Amended and Restated Receivables Purchase Agreement is hereby amended and restated to read in its entirety as follows:

 

(ii)          as soon as practicable and in any event within 100 days after the close of each fiscal year of the Servicer during the term of this Agreement, an audited consolidated balance sheet of the Servicer and its consolidated subsidiaries as at the close of such fiscal year and audited consolidated statements of income and cash flows of the Servicer and its consolidated subsidiaries for such fiscal year, setting forth in each case in comparative form the corresponding figures for the preceding fiscal year and prepared in accordance with GAAP consistently applied throughout the periods reflected therein, all in reasonable detail and certified (with respect to the consolidated financial statements) by independent certified public accountants of recognized standing selected by the Servicer and satisfactory to the Administrator, whose certificate or opinion accompanying such financial statements shall not contain any qualification, exception or scope limitation not satisfactory to the Administrator; provided, however, that with respect to such (1) audited consolidated balance sheet of the Servicer and its consolidated subsidiaries as of the close of the fiscal year ended October 30, 2011 and such audited consolidated statement of income and cash flows of the Servicer and its consolidated subsidiaries for the fiscal year ended October 30, 2011, such balance sheet, statement of income and cash flows shall be furnished to the Administrator and each Buyer Agent no later than July 31, 2013 and (2) audited consolidated balance sheet of the Servicer and its consolidated subsidiaries as of the close of the fiscal year ended October 28, 2012 and such audited consolidated statement of income and cash flows of the Servicer and its consolidated subsidiaries for the fiscal year ended October 28, 2012, such balance sheet, statement of income and cash flows shall be furnished to the Administrator and each Buyer Agent no later than September 30, 2013.

 

  

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(f)           A new Section 9.03(i)(4) of the Amended and Restated Receivables Purchase Agreement is hereby inserted in its proper numerical position, and shall read in its entirety as follows:

 

“(4)           Notwithstanding the requirements of subclause (3) and in lieu of those requirements, the Administrator in its discretion instead shall have the right (directly or through its designee, including, without limitation, Protiviti Inc.) to examine Servicer’s books and records, directly, to determine the matters referenced in subclause (3).”

 

(g)           Market Street’s Maximum Net Investment of $150,000,000 as set forth on signature page “S-1” of the Amended and Restated Receivables Purchase Agreement is hereby amended by deleting “$150,000,000” and inserting in its place “$200,000,000.”

 

(h)           PNC’s address set forth on signature page “S-2” of the Amended and Restated Receivables Purchase Agreement is hereby amended by deleting the address set forth therein and replacing it with the following address:

 

“PNC Bank, National Association

Three PNC Plaza

225 Fifth Avenue, 4th Floor

Pittsburgh, Pennsylvania 15222-2707”

(i)           Existing Exhibit I to the Amended and Restated Receivables Purchase Agreement is hereby amended and restated to read in its entirety “[Intentionally Omitted]” and a corresponding change shall be made in the table of contents to the Amended and Restated Receivables Purchase Agreement.

 

SECTION 4.          Representations and Warranties.  Each of the Seller and Servicer hereby represents and warrants to the Buyer, the Buyer Agent and the Administrator, as of the date hereof, as follows:

 

(a)           the representations and warranties of the Seller and the Servicer contained in Article VIII of the Amended and Restated Receivables Purchase Agreement are true and correct in all material respects on and as of the date hereof as though made on and as of such date (except for representations and warranties which apply as to an earlier date, in which case such representations and warranties shall be true and correct as of such earlier date); and

 

(b)           no event has occurred and is continuing, or would result from such respective amendment, that constitutes a Termination Event or Potential Termination Event.

 

SECTION 5.          Conditions Precedent.  The effectiveness of this Amendment is subject to the satisfaction of all of the following conditions precedent:

 

(a)           Administrator shall have received a fully executed counterpart of this Amendment from each of the parties hereto;

 

  

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(b)           each representation and warranty of the Seller, Volt, and Servicer contained herein or in any other Purchase Document (after giving effect to this Amendment) shall be true and correct;

 

(c)           no Termination Event, as set forth in Section 10.01 of the Amended and Restated Receivables Purchase Agreement, shall have occurred and be continuing;

 

(d)           Administrator shall have received (i) a fully executed copy of (A) the VMC Consulting Sale Agreement (and the other documents delivered in connection therewith), (B) Amendment No. 13 to the Sale Agreement, dated as of the date hereof between the Seller and Volt, (C) Amendment No. 2 to the Receivables Purchase and Sale Agreements, dated as of the date hereof among Volt Management Corp., P/S Partner Solutions, Ltd and Volt and (D) the Eleventh Amended and Restated Fee Letter, dated as of the date hereof, among the Buyer, Buyer Agent and the Seller and (ii) the fees due pursuant to such Eleventh Amended and Restated Fee Letter; and

 

(e)           all proceedings taken in connection with this Amendment and all documents relating hereto shall be reasonably satisfactory to Administrator, Buyer Agent and the Buyer and their respective counsel, and each such Person shall have received copies of such documents as they may reasonably request in connection therewith, all in form and substance reasonably satisfactory to each such Person.

 

SECTION 6.          Conditions Subsequent.  No later than 30 days from the date of this Amendment the Servicer shall deliver to the Administrator file stamped copies of UCC-3 terminations for each UCC-1 financing statement (or continuation thereof) naming any Originator or the Seller as a debtor and JPMorgan Chase Bank, N.A. or any affiliate thereof as secured party.

 

SECTION 7.          Financial Statements.

 

(a)           For avoidance of doubt, it is understood and agreed that all quarterly financial statements required to be delivered by the Seller on or after the date of this Amendment shall conform to the requirements of Section 9.03(b)(i) of the Amended and Restated Receivables Purchase Agreement; and that the alternative presentation permitted under one or more prior amendments to the Amended and Restated Receivables Purchase Agreement no longer shall apply.

 

(b)           In the event that preparation of the audited financial statements for its fiscal years ended October 30, 2011 and October 28, 2012 results in the restatement of any prior period financial statements of Volt that previously had been furnished by the Servicer to the Administrator, then, as promptly as practicable following any such restatement, the Servicer shall furnish the Administrator with such restated financial statements.

 

SECTION 8.          Amendment.  Seller, Servicer, Buyer Agent, Buyer and Administrator hereby agree that the provisions and effectiveness of this Amendment shall apply to the Amended and Restated Receivables Purchase Agreement as of the date hereof.  Except as amended by this Amendment, the Amended and Restated Receivables Purchase Agreement remains unchanged and in full force and effect.  This Amendment is a Purchase Document.

 

  

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SECTION 9.          THIS AMENDMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK) EXCEPT TO THE EXTENT THAT THE VALIDITY OR PERFECTION OF A SECURITY INTEREST OR REMEDIES HEREUNDER, IN RESPECT OF ANY PARTICULAR COLLATERAL ARE MANDATORILY GOVERNED BY THE LAWS OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK.  This Amendment may not be amended, supplemented or waived except pursuant to a writing signed by the party to be charged.  This Amendment may be executed in counterparts, and by the different parties on different counterparts, each of which shall constitute an original, but all together shall constitute one and the same agreement.  The section and other headings contained in this Amendment are for reference purposes only and shall not control or affect the construction of this Amendment or the interpretation hereof in any respect.

 

SECTION 10.          Each party hereto hereby covenants and agrees that prior to the date which is one year and one day after the payment in full of all outstanding commercial paper notes or other indebtedness of Market Street, it will not institute against or join any other Person in instituting against Market Street any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceeding under the laws of the United States or any state of the United States.  The agreements set forth in this Section 10 and the parties’ respective obligations under this Section 10 shall survive the termination of this Amendment.

 

SECTION 11.          Market Street shall not have any obligation to pay any amounts owing hereunder unless and until Market Street has received such amounts pursuant to the Participation Interest and such amounts are not necessary to pay outstanding commercial paper notes or other outstanding indebtedness of Market Street.  In addition, each party hereto hereby agrees that no liability or obligation of Market Street hereunder for fees, expenses or indemnities shall constitute a claim (as defined in Section 101 of Title 11 of the United States Bankruptcy Code) against Market Street unless Market Street has received cash from the Participation Interest sufficient to pay such amounts, and such amounts are not necessary to pay outstanding commercial paper notes or other indebtedness of Market Street.  The agreements set forth in this Section 11 and the parties’ respective obligations under this Section 11 shall survive the termination of this Amendment.

 

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8

  

IN WITNESS WHEREOF, the parties hereto have executed this Amendment by their duly authorized officers as of the date first above written.

 

	 	 	 	
VOLT FUNDING CORP., as Seller

	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	
By:

	
/s/ Ludwig M. Guarino

	 
	 	 	 	
Name:

	
Ludwig M. Guarino

	 
	 	 	 	
Title:

	
Senior Vice President & Treasurer

	 

Amendment No.15 to A&R RPA

  

S-1

  

	 	 	 	
VOLT INFORMATION SCIENCES, INC.,

      individually and as Servicer

	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	
By:

	
/s/ James Whitney Mayhew

	 
	 	 	 	
Name:

	
James Whitney Mayhew

	 
	 	 	 	
Title:

	

Senior Vice President & Chief Financial Officer

	 

Amendment No.15 to A&R RPA

  

S-2

  

	 	 	 	
MARKET STREET FUNDING LLC, as a

      Buyer

	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	
By:

	
/s/ Doris J. Hearn

	 
	 	 	 	
Name:

	
Doris J. Hearn

	 
	 	 	 	
Title:

	
Vice President

	 

Amendment No.15 to A&R RPA

  

S-3

  

	 	 	 	
PNC BANK, NATIONAL ASSOCIATION, as

      a Buyer Agent

	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	
By:

	
/s/ Robyn Reeher

	 
	 	 	 	
Name:

	

Robyn Reeher

	 
	 	 	 	
Title:

	
Vice President

	 

Amendment No.15 to A&R RPA

  

S-4

  

	 	 	 	
PNC BANK, NATIONAL ASSOCIATION, as

      Administrator

	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	
By:

	
/s/ Robyn Reeher

	 
	 	 	 	
Name:

	

Robyn Reeher

	 
	 	 	 	
Title:

	
Vice President

	 

 

Amendment No.15 to A&R RPA

 

S-5

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