Document:

Exhibit 10.1

 

Execution
Version

 

 

SIXTH AMENDMENT TO AMENDED AND RESTATED
CREDIT AGREEMENT

 

THIS SIXTH AMENDMENT
TO AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”), dated as of September 17, 2020, is by and among
CRAFT BREW ALLIANCE, INC., a Washington corporation (the “Borrower”), the Guarantors party hereto, and
BANK OF AMERICA, N.A., as lender (in such capacity, the “Lender”). Capitalized terms used herein and
not otherwise defined herein shall have the meanings ascribed thereto in the Credit Agreement.

 

W I T N E S S E T H

 

WHEREAS, the
Borrower, the Subsidiaries of the Borrower from time to time party thereto (the “Guarantors”), and the Lender
are parties to that certain Amended and Restated Credit Agreement, dated as of November 30, 2015 (as amended, modified, extended,
restated, replaced, or supplemented from time to time in accordance with its terms, the “Credit Agreement”);

 

WHEREAS, the
Loan Parties have requested that the Lender amend certain provisions of the Credit Agreement; and

 

WHEREAS, the
Lender is willing to make such amendments to the Credit Agreement in accordance with, and subject to, the terms and conditions
set forth herein.

 

NOW, THEREFORE,
in consideration of the agreements hereinafter set forth, and for other good and valuable consideration, the receipt and adequacy
of which are hereby acknowledged, the parties hereto agree as follows:

 

Article
I

AMENDMENTS

 

1.1      
Amendment to Section 7.11. Section 7.11 of the Credit
Agreement is hereby amended and restated in its entirety to read as follows:

 

“(a)     Consolidated
Leverage Ratio. Commencing with the earlier to occur of (i) October 1, 2020 or (ii) the termination of the A-B Merger, as of
the last day of any fiscal quarter during any Measurement Period, permit the Consolidated Leverage Ratio to be greater than 3.50
to 1.00.

 

(b)       Consolidated
Fixed Charge Coverage Ratio. Commencing with the earlier to occur of (i) October 1, 2020 or (ii) the termination of the A-B
Merger, permit the Consolidated Fixed Charge Coverage Ratio at any time to be less than 1.20 to 1.00.

 

(c)       Minimum
Consolidated EBITDA. For the Measurement Period ending September 30, 2020, permit the Consolidated EBITDA as of the end of
such Measurement Period to be less than $3,000,000.”

 

Article
II

CONDITIONS TO EFFECTIVENESS

 

2.1              
Closing Conditions. This Amendment shall become effective as of the day and year set forth above (the “Amendment
Effective Date”) upon satisfaction of the following conditions (in each case, in form and substance reasonably acceptable
to the Lender):

 

     

     

    

 

(a)               
Executed Amendment. The Lender shall have received a copy of this Amendment duly executed by each of the Loan Parties
and the Lender.

 

(b)               
Fees and Expenses. The Lender shall have received from the Borrower other fees and expenses that are payable in connection
with the consummation of the transactions contemplated hereby and Lender’s legal counsel shall have received from the Borrower
payment of all outstanding fees and expenses previously incurred and all fees and expenses incurred in connection with this Amendment.

 

(c)               
Default. After giving effect to this Amendment, no Default or Event of Default shall exist.

 

(d)               
Miscellaneous. All other documents and legal matters in connection with the transactions contemplated by this Amendment
shall be reasonably satisfactory in form and substance to the Lender and its counsel.

 

Article
III

MISCELLANEOUS

 

3.1          
Amended Terms. On and after the Amendment Effective Date, all references to the Credit Agreement in each of the
Loan Documents shall hereafter mean the Credit Agreement as amended by this Amendment. Except as specifically amended hereby or
otherwise agreed, the Credit Agreement and the other Loan Documents are hereby ratified and confirmed, including the Liens granted
thereunder, and shall remain in full force and effect according to its terms. For the avoidance of doubt, this Amendment shall
not be deemed to prejudice any right or rights which the Borrower or the Lenders may now have or may have in the future under or
in connection with the Consent, dated as of June 5, 2020, by and among the Borrower, the Guarantors and the Lender, as the same
may be amended, restated, supplemented or modified from time to time.

 

3.2          
Representations and Warranties of Loan Parties. Each of the Loan Parties represents and warrants as follows:

 

(a)               
It has taken all necessary action to authorize the execution, delivery and performance of this Amendment.

 

(b)              
This Amendment has been duly executed and delivered by such Person and constitutes such Person’s legal, valid and
binding obligation, enforceable in accordance with its terms, except as such enforceability may be subject to (i) bankruptcy,
insolvency, reorganization, fraudulent conveyance or transfer, moratorium or similar laws affecting creditors’ rights generally
and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding at law or in
equity).

 

(c)               
No consent, approval, authorization or order of, or filing, registration or qualification with, any court or governmental
authority or third party is required in connection with the execution, delivery or performance by such Person of this Amendment.

 

(d)              
The representations and warranties of the Borrower and each other Loan Party contained in Article II of the Credit
Agreement, Article V of the Credit Agreement or made in any other Loan Document, or which are contained in any document
furnished at any time under or in connection herewith or therewith, are (i) with respect to representations and warranties that
contain a materiality qualification, true and correct on and as of the date of the Amendment Effective Date and (ii) with respect
to representations and warranties that do not contain a materiality qualification, true and correct in all material respects on
and as of the date of the Amendment Effective Date, except that for purposes of this Section 3.2(d), (x) the representations
and warranties contained in Sections 5.05(a) and (b) of the Credit Agreement shall be deemed to refer to the most
recent statements furnished pursuant to Sections 6.01(a) and (b) of the Credit Agreement, respectively and (y) the
temporary closure of the Loan Parties’ brewpub locations and other operational disruptions affecting the Loan Parties, in
each case as a direct result of the COVID-19 pandemic, shall not be deemed to constitute a Material Adverse Effect (or account
for any portion thereof) under clause (a) of the definition thereof.

 

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(e)              
After giving effect to this Amendment, no event has occurred and is continuing which constitutes a Default or an Event of
Default.

 

(f)               
The Collateral Documents continue to create a valid security interest in, and Lien upon, the Collateral, in favor of the
Lender, for the benefit of the Lender, which security interests and Liens are perfected in accordance with the terms of the Collateral
Documents and prior to all Liens other than Permitted Liens.

 

(g)               
Except as specifically provided in this Amendment, the Obligations are not reduced or modified by this Amendment and are
not subject to any offsets, defenses or counterclaims.

 

3.3             
Reaffirmation of Obligations. Each Loan Party hereby ratifies the Credit Agreement and each other Loan Document
to which it is a party and acknowledges and reaffirms (a) that it is bound by all terms of the Credit Agreement and each other
Loan Document applicable to it and (b) that it is responsible for the observance and full performance of its respective Obligations.

 

3.4             
Loan Document. This Amendment shall constitute a Loan Document under the terms of the Credit Agreement.

 

3.5             
Expenses. The Loan Parties agree to pay all reasonable out-of-pocket expenses incurred by the Lender and its
Affiliates (including the reasonable fees, charges and disbursements of counsel for the Lender), in connection with the preparation,
negotiation, execution and delivery and administration of this Amendment.

 

3.6             
Further Assurances. The Loan Parties agree to promptly take such action, upon the request of the Lender, as is
necessary to carry out the intent of this Amendment.

 

3.7             
Entirety. This Amendment and the other Loan Documents embody the entire agreement among the parties hereto and
supersede all prior agreements and understandings, oral or written, if any, relating to the subject matter hereof.

 

3.8             
Counterparts. This Amendment may be executed in any number of counterparts, each of which when so executed and
delivered shall be an original, but all of which shall constitute one and the same instrument. Delivery of an executed counterpart
of a signature page of this Amendment by fax transmission or e-mail transmission (e.g., “pdf” or “tif”)
shall be effective as delivery of a manually executed counterpart of this Amendment.

 

3.9             
No Actions, Claims, Etc. As of the date hereof, each of the Loan Parties hereby acknowledges and confirms that
it has no knowledge of any actions, causes of action, claims, demands, damages and liabilities of whatever kind or nature, in law
or in equity, against the Lender or the Lender’s respective officers, employees, representatives, agents, counsel or directors
arising from any action by such Persons, or failure of such Persons to act under the Credit Agreement on or prior to the date hereof.

 

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3.10         
GOVERNING LAW. THIS AMENDMENT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF OREGON.

 

3.11          
Successors and Assigns. This Amendment shall be binding upon and inure to the benefit of the parties hereto and
their respective successors and assigns.

 

3.12          
Dispute Resolution; Waiver of Jury Trial. The dispute resolution and waiver of jury trial provisions set forth
in Section 9.14 of the Credit Agreement are hereby incorporated by reference, mutatis mutandis.

 

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IN WITNESS WHEREOF
the parties hereto have caused this Amendment to be duly executed on the date first above written.

 

BORROWER:  

 

	 	CRAFT BREW ALLIANCE, INC., as the Borrower

 

	 	By:	/s/ Andrew J. Thomas
	 	Name:	Andrew J. Thomas
	 	Title:	Chief Executive Officer

 

	GUARANTORS:
	 	 	 
	 	KONA BREWERY LLC, as a Guarantor
	 	 	 
	 	By:	/s/ Andrew J. Thomas
	 	Name:	Andrew J. Thomas
	 	Title:	Manager

 

	 	CRAFT VENTURES, LLC, as a Guarantor
	 	 
	 	By: Craft Brew Alliance, Inc., its Manager
	 	 
	 	By:	/s/ Andrew J. Thomas
	 	Name:	Andrew J. Thomas
	 	Title:	Chief Executive Officer
	 	 	 
	 	WYNWOOD BREWING COMPANY LLC, as a Guarantor
	 	 
	 	By:	/s/ Andrew J. Thomas
	 	Name:	Andrew J. Thomas
	 	Title:	Manager

 

Craft Brew Alliance, Inc.

Sixth Amendment to Amended and Restated Credit Agreement

Signature Page

 

     

     

    

 

	LENDER:	BANK OF AMERICA, N.A., as Lender
	 	 	 
	 	 	 
	 	By:	/s/ Michael Snook
	 	Name: 	 Michael Snook
	 	Title:	Senior Vice President

 

Craft Brew Alliance, Inc.

Sixth Amendment to Amended and Restated Credit Agreement

Signature PageDocument

Exhibit 10.1

FIFTH AMENDMENT TO AMENDED AND RESTATED 
MASTER REPURCHASE AGREEMENT
THIS FIFTH AMENDMENT TO AMENDED AND RESTATED MASTER REPURCHASE AGREEMENT (this “Amendment”), dated as of September 24, 2020, is made and entered into between and among HomeAmerican Mortgage Corporation, a Colorado corporation (the “Seller”), and U.S. Bank National Association, as administrative agent and representative of itself as a Buyer and the other Buyers (in such capacity, the “Agent”) and as a Buyer (in such capacity, “U.S. Bank”).
RECITALS:
A.    The Seller, U.S. Bank, and the Agent are parties to an Amended and Restated Master Repurchase Agreement dated as of September 16, 2016 (as amended by that certain First Amendment to Amended and Restated Master Repurchase Agreement dated as of August 10, 2017, that certain Second Amendment to Amended and Restated Master Repurchase Agreement dated as of August 9, 2018, that certain Third Amendment to Amended and Restated Master Repurchase Agreement dated as of May 23, 2019, that certain Fourth Amendment to Amended and Restated Master Repurchase Agreement dated as of May 21, 2020, and as further amended, restated or otherwise modified from time to time, the “Repurchase Agreement”).  
B.    The Seller and the Agent now desire to amend certain provisions of the Repurchase Agreement as set forth herein.
AGREEMENT:
In consideration of the premises herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
Section 1.    Definitions.  Capitalized terms used and not otherwise defined in this Amendment have the meanings specified in the Repurchase Agreement.
Section 2.    Amendments.  
2.1.    The Buyers’ Commitments to Purchase. Section 2.1 of the Repurchase Agreement is amended and restated in its entirety to read as follows: 
2.1    The Buyers’ Commitments to Purchase. Subject to the terms and conditions of this Agreement and provided no Default or Event of Default has occurred that the Agent has not declared in writing to have been cured or waived (or, if one has occurred and not been so declared cured or waived, if all of the Buyers, in their sole discretion and with or without waiving such Default or Event of Default, have elected in writing that Transactions under this Agreement shall continue nonetheless), the Buyers agree to make revolving purchases of Eligible Loans on a servicing released basis through and including the Termination Date, so long as the Aggregate Outstanding Purchase Price does not exceed the 

Maximum Aggregate Commitment and so long as each Buyer’s Committed Sum is not exceeded.  The Buyers’ respective Committed Sums and the Maximum Aggregate Commitment are set forth on Schedule BC in effect at the relevant time, as it may have been amended or restated pursuant to this Agreement. Upon any reduction of the Buyers’ respective Committed Sums and the Maximum Aggregate Commitment as set forth on Schedule BC, the Seller shall, to the extent required, reduce the Aggregate Outstanding Purchase Price to the amount of the Maximum Aggregate Commitment as then in effect, and the ownership interests in the Purchased Loans of each Buyer shall automatically be adjusted accordingly. Upon the joinder of additional Buyer(s), if any, the parties agree to approve in writing revised and updated versions of Schedule BC.  The fractions to be applied to determine the respective Funding Shares of the Buyers for any day are their respective Committed Sums divided by the Maximum Aggregate Commitment for that day.  Each Buyer shall be obligated to fund only that Buyer’s own Funding Share of any Transaction requested, and no Buyer shall be obligated to the Seller or any other Buyer to fund a greater share of any Transaction.  No Buyer shall be excused from funding its applicable Funding Share of any Transaction merely because any other Buyer has failed or refused to fund its relevant Funding Share of that or any other Transaction.  If any Buyer fails to fund its Funding Share of any Transaction, the Agent (in its sole and absolute discretion) may choose to fund the amount that such Nonfunding Buyer failed or refused to fund, or the Agent as a Buyer and the other Buyers who are willing to do so shall have the right (but no obligation) to do so in the proportion that the Committed Sum of each bears to the total Committed Sums of all Buyers that have funded (or are funding) their own Funding Shares of that Transaction and that are willing to fund part of the Funding Share of such Nonfunding Buyer.  Should the Agent and/or any other Buyer(s) fund any or all of the Nonfunding Buyer’s Funding Share of any Transaction, then the Nonfunding Buyer shall have the obligation to deliver such amount to the Agent (for distribution to the Buyer(s) who funded it) in immediately available funds on the next Business Day.  Regardless of whether the other Buyers fund the Funding Share of the Nonfunding Buyer, the respective ownership interests of the Buyers in the Transaction shall be adjusted as provided in Section 3.9.  The obligations of the Buyers hereunder are several and not joint.
2.2.    Adjusted Tangible Net Worth Ratio. Section 17.13 of the Repurchase Agreement is amended by deleting the reference to “8.0 to 1.0” therein and inserting in its place “10.0 to 1.0”. 
2.3.    Annex A to Officer’s Certificate. Annex A to Exhibit C of the Repurchase Agreement is amended by deleting the reference to “8.0:1.0” therein and inserting in its place “10.0:1.0”.
2.4.    Schedule BC. Schedule BC to the Repurchase Agreement is amended and restated in its entirety as set forth on Schedule BC hereto.  
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Section 3.    Conditions Precedent and Effectiveness.  This Amendment shall be effective as of the date first above written, upon the occurrence of the following events:
3.1.    delivery to the Agent of this Amendment duly executed by the Seller in a quantity sufficient that the Agent and the Seller may each have a fully executed original; 
3.2.    delivery to the Agent of a certificate by the Secretary or Assistant Secretary of the Seller (i) certifying that the resolutions adopted by the Seller’s board of directors on September 12, 2016, remain in full force and effect, authorizing the Seller to enter into this Amendment, (ii) certifying that there has been no amendment to the Articles of Incorporation of the Seller since true and accurate copies of the same were delivered to the Agent as of November 12, 2008, (iii) certifying that there has been no amendment to the By-Laws of Seller since true and accurate copies of the same were delivered to the Agent as of November 12, 2008, and (iv) a certification as to the incumbency, names, titles, and signatures of the officers of the Seller authorized to execute this Amendment and the other instruments executed by the Seller in connection with this Amendment; and
3.3.    delivery to the Agent of such other documents as it may reasonably request.
Section 4.    Miscellaneous.
4.1.    Ratifications.  The terms and provisions of this Amendment shall modify and supersede all inconsistent terms and provisions of the Repurchase Agreement and the other Repurchase Documents, and, except as expressly modified and superseded by this Amendment, the terms and provisions of the Repurchase Agreement and each other Repurchase Document are ratified and confirmed and shall continue in full force and effect.  
4.2.    Seller Representations and Warranties.  The Seller hereby represents and warrants that (a) the representations and warranties in Article 15 of the Repurchase Agreement and in the other Repurchase Documents are true and correct in all material respects with the same force and effect on and as of the date hereof as though made as of the date hereof, and (b) after giving effect to this Amendment, no Default or Event of Default has occurred and is continuing.
4.3.    Survival.  The representations and warranties made by the Seller in this Amendment shall survive the execution and delivery of this Amendment.
4.4.    Reference to Repurchase Agreement.  Each of the Repurchase Documents, including the Repurchase Agreement and any and all other agreements, documents, or instruments now or hereafter executed and delivered pursuant to the terms hereof or pursuant to the terms of the Repurchase Agreement as amended hereby, is hereby amended so that any reference in such Repurchase Document to the Repurchase Agreement refers to the Repurchase Agreement as amended and modified hereby.
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4.5.    Applicable Law.  This Amendment shall be governed by and construed in accordance with the laws of the State of New York.
4.6.    Successors and Assigns.  This Amendment is binding upon and shall inure to the benefit of the Agent, the Buyers, the Seller, and their respective successors and assigns, except that the Seller may not assign or transfer any of its rights or obligations hereunder without the prior written consent of the Agent.
4.7.    Counterparts.  This Amendment may be executed in one or more counterparts, each of which when so executed shall be deemed to be an original, but all of which when taken together shall constitute one and the same instrument.
4.8.    Headings.  The headings, captions, and arrangements used in this Amendment are for convenience only and shall not affect the interpretation of this Amendment.
4.9.    ENTIRE AGREEMENT.  THIS AMENDMENT AND THE OTHER REPURCHASE DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES HERETO AND THERETO WITH RESPECT TO THE SUBJECT MATTER HEREOF AND THEREOF AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES HERETO OR THERETO.  

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In witness whereof the parties have caused this Amendment to be executed as of the date first written above.

SELLER AND SERVICER:
HOMEAMERICAN MORTGAGE CORPORATION, as Seller and Servicer

By:      /s/ L. Ludwell Jones IV    
Name: L. Ludwell Jones IV
Title: Vice President and Treasurer

AGENT AND BUYER:
U.S. BANK NATIONAL ASSOCIATION,
as Agent and Buyer

By:     /s/ Edwin D. Jenkins        
Name: Edwin D. Jenkins
Title: Senior Vice President
Signature Page
Fifth Amendment

SCHEDULE BC TO
FIFTH AMENDMENT TO
AMENDED AND RESTATED
 MASTER REPURCHASE AGREEMENT
SCHEDULE BC
To Master Repurchase Agreement

The Buyers’ Committed Sums
(in dollars)

						
	Buyer	Except as provided in the below chart, Committed Sum for any period:
	U.S. Bank National Association	$75,000,000
	Maximum Aggregate Commitment	$75,000,000

												
	Buyer	Committed Sum for
September 24, 2020 through and including October 23, 2020
	Committed Sum for
December 22, 2020 through and including February 4, 2021 
	Committed Sum for
March 25, 2021 through and including April 23, 2021

	U.S. Bank National Association	$100,000,000	$200,000,000	$100,000,000
	Maximum Aggregate Commitment	$100,000,000	$200,000,000	$100,000,000

Schedule BC

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