Document:

Exhibit 10.26.2

 

FIRST AMENDMENT TO 

TALECRIS DIRECTSM SERVICES AGREEMENT

 

THIS FIRST
AMENDMENT TO TALECRIS DIRECTSM SERVICES AGREEMENT (the “Amendment”)
is made effective as of November 23rd, 2005 (the “Effective Date”),
by and between TALECRIS BIOTHERAPEUTICS, INC., a North Carolina corporation
(“Talecris”), and CENTRIC HEALTH RESOURCES, LLC, a Delaware limited liability
company (“CHR”). Talecris and CHR may each be referred to herein as a “Party”
or collectively as the “Parties.”

 

WHEREAS, Talecris
and CHR are parties to that certain Talecris DirectSM Services Agreement, dated
as of August 25, 2005 (the “Agreement”); and

 

WHEREAS, pursuant
to Section 25 of the Agreement, the parties now wish to amend the Agreement as
set forth in this Amendment;

 

NOW THEREFORE, in
consideration of the foregoing premises, the mutual covenants set forth herein
and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged by the parties, the parties agree as follows:

 

1.                          Definitions.
All capitalized terms not otherwise defined in this Amendment shall have the
meanings assigned to such terms in the Agreement.

 

2.                          Amendment.
The Agreement is hereby amended as follows:

 

a.                          Section
3.3.  In line 2 of Section 3.3, the
phrase “as a result of CHR actions” is hereby deleted and replaced with “while
in the possession or control of CHR.”

 

b.                         Section
8.1.  The last sentence of Section
8.1 of the Agreement is hereby amended to read as follows: In the event that
CHR does not meet the foregoing financial covenant, Talecris’ sole remedy shall
be, at Talecris option: (a) to assist CHR in establishing additional debt
financing for CHR in amounts adequate to allow CHR to comply at all times with
the foregoing financial covenant on terms and conditions mutually and
reasonably acceptable to Talecris and CHR; (b) to assert its rights as a Class
1 Stockholder under any documents executed in connection with the transactions
specified in Section 9 of this Agreement; or (c) to terminate this Agreement
for material breach in accordance with the termination provisions of Section
10.3.

 

c.                          Section
20.1.1.  Section 20.1.1 of the
Agreement is hereby amended to read as follows: “Employers’ Liability Insurance
and Workers’ Compensation Insurance, including Coverage for occupational
injury, illness and disease, and other similar social insurance in accordance
with the laws of the country, state or territory exercising jurisdiction over
the employee with minimum limits per employee and per event of $1,000,000 for
Employers’ Liability Insurance and minimum limits as required by law for
Workers’ Compensation Insurance.”

 

 

d.                         Section
20.1.2.  The minimum limits for
Commercial General Liability Insurance set forth in Section 20.1.2 of the
Agreement are hereby changed to $1,000,000 for any one occurrence and
$2,000,000 in the aggregate.

 

e.                          Section
20.1.3.  The following is hereby
added to the end of the second sentence of Section 20.1.3: “, except with
respect to Product, which shall be covered on the basis of the wholesale price
of the Product.”

 

f.                            Section
20.1.7.  The following is hereby
added to the end of the first sentence of Section 20.1.7: “other than the
Commercial Crime Insurance and the Professional Liability Insurance.”

 

3.                          Waiver.
 Effective upon the closing of the transactions
reflected in the Plan of Issuance between Talecris and the Company, dated of
even date herewith, Talecris waives the August 31, 2005 date for performance
under Section 9 of the Agreement.

 

4.                          Full
Force and Effect.  Except as
specifically modified or waived by this Amendment, all provisions of the
Agreement remain in full force and effect.

 

IN WITNESS
WHEREOF, this Amendment has been duly executed by the authorized representatives of the parties.

 

 

	
  TALECRIS
  BIOTHERAPEUTICS, INC.

  	
  CENTRIC
  HEALTH RESOURCES, LLC

  
	
   

  	
   

  
	
  By:

  	
  /s/ LAWRENCE D. STERN

  	
   

  	
  By:

  	
  /s/ AUTHORIZED
  SIGNATORY 

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Its:

  	
  Chairman (Executive)

  	
   

  	
  Its:

  	
  MANAGERExhibit 10.27.1

 

MANAGEMENT AGREEMENT

 

This MANAGEMENT AGREEMENT (this “Agreement”) is
made as of March 31, 2005, by and between CERBERUS-PLASMA HOLDINGS LLC, a Delaware limited liability
company (“Cerberus”), AMPERSAND 2001 LIMITED PARTNERSHIP, a Delaware
limited partnership (“Ampersand” and together with Cerberus, the “Managers”),
TALECRIS BIOTHERAPEUTICS HOLDINGS CORP., a Delaware corporation (“Holdco”)
and TALECRIS BIOTHERAPEUTICS, INC., a Delaware corporation (“Newco” and
together with Holdco, the “Companies”).

 

WHEREAS, the Companies from time to time desire to
retain and avail themselves of the Managers for certain services, and the
Managers desire to perform for the Companies and their affiliates certain
services.

 

WHEREAS, the Managers, by and through their officers,
employees, agents and affiliates, have developed, in connection with the
conduct of their businesses and affairs, expertise in the fields of management,
finance and strategic planning.

 

NOW, THEREFORE, in consideration of the premises and
the mutual covenants contained herein, the parties do hereby agree as follows:

 

1.                                       Term.  This Agreement shall remain in effect
until the earliest to occur of the following: (i) the Companies and the
Managers terminate this Agreement by mutual written agreement, (ii) Cerberus,
through one or more of its affiliates, ceases to control directly or
indirectly, in the aggregate, more than 30% of the voting equity interests of
Holdco, or (iii) the sale, assignment, conveyance, transfer, lease or other
disposition of all or substantially all of the assets of Holdco and its
subsidiaries, taken as a whole, or Newco and its subsidiaries, taken as a
whole, whether in one transaction or a series of related transactions.

 

2.                                       Appointment.  The Companies hereby retain the Managers to
render management and consulting services to the Companies (or to such
affiliates of the Companies as the Companies may request) during the term as
herein contemplated.

 

3.                                       Services.  (a) 
The Managers, by and through such of their officers, employees, agents
and affiliates as the Managers, in their sole respective discretion, shall
designate from time to time, agree to perform or cause to be performed
management and consulting services (the “Management Services”),
including:

 

(i)                           providing
an outside perspective, planning and assistance on operational matters and
merger, acquisition and divestiture opportunities the Companies may wish to
explore;

 

(ii)                        leveraging
the Managers’ network of relationships and portfolio companies;

 

(iii)                     facilitating
and advising the Companies with respect to access to capital and capital
markets transactions;

 

 

(iv)                    assisting the
Companies’ management with the strategic planning process;

 

(v)                       offering
perspective and assistance with investor relations and corporate
communications;

 

(vi)                    structuring
and implementation of equity participation plans, employee benefit plans and
other incentive arrangements for certain key executives of the Companies; and

 

(vii)                 such other
management, finance, marketing, operational and strategic planning, and
corporate development services as the Companies and the Managers may from time
to time agree.

 

(b)                                 The
Managers shall use their commercially reasonable efforts to discharge the
Management Services promptly when called upon to do so by the Companies. The
Managers shall be required to devote as much time as the Managers shall, in their
discretion, deem necessary to complete such Management Services. The Managers shall
render such Management Services at such locations as may be mutually agreed
upon by the parties from time to time.

 

4.                                       Fees and Expenses.

 

(a)                                  In
consideration of the Management Services, the Companies, jointly and severally,
to the extent permitted by loan or credit agreements to which any of the
Companies is a party (the “Credit Agreements”), shall pay in cash, quarterly on
each February 15, May 15, August 15 and November 15, a management fee (the “Fee”)
to the Managers (which Fee shall be divided between Cerberus and Ampersand in
accordance with Section 4(d)), based on the consolidated net sales, after
reduction for discounts, allowances and rebates (“Net Sales”), of
Holdco. In the event, and during any period, that any Credit Agreement
prohibits the payment of all or any portion of the Fee, the Fee shall accrue
and be paid in accordance with Section 4(c). The payment on each May 15, August
15 and November 15 in any fiscal year will be 0.5% of the Net Sales during the
quarter ended immediately prior to such date of payment as reflected in the
unaudited quarterly financial statements of Holdco for such quarter prepared in
accordance with U.S. generally accepted accounting principles (“GAAP”). The
payment on each February 15 of any fiscal year will be (1) 0.5% of the Net
Sales during the fiscal year ended immediately prior to such date of payment as
reflected in the audited financial statements of Holdco for that fiscal year
prepared in accordance with GAAP, less (2) the aggregate payments in respect of
the first three quarters in such fiscal year. The Fee shall begin to accrue on
April 1, 2005 with the first quarterly payment to be made on August 15, 2005. Installments of the Fee for any period of
less than a full three months shall be prorated on the basis of the actual
number of days in such period.

 

(b)                                 The
Companies shall reimburse the Managers directly for all reasonable
out-of-pocket costs and expenses incurred in connection with services rendered
hereunder. Such costs and expenses shall be reimbursed promptly by the
Companies upon submission of customary expense reports. Such expenses shall
include, among other things, fees and disbursements of counsel, accountants,
consultants, and other professionals; compensation and benefits paid to members
of the Cerberus Executive Operations team, to the extent allocated to matters
involving

 

2

 

the Companies based on time expended by such members (but excluding
such amounts to the extent borne or paid directly by the Companies); travel
expenses; word processing charges; courier, messenger and duplicating services;
facsimile expenses; and other customary expenditures.

 

(c)                                  In
the event, and during any period, that any Credit Agreement prohibits the
payment of all or any portion of the Fee payable in respect of any quarter
pursuant to clause (a) above, or all or any portion of the Managers’ out-of-pocket
costs and expenses required to be reimbursed pursuant to clause (b) above, such
fees or out-of-pocket cost or expense, or portion thereof, that are not
permitted to be paid shall accrue and be paid at such time as the payment
thereof is no longer so prohibited, together with interest thereon from the
time otherwise payable to the date paid, at 10% per annum, compounded annually.

 

(d)                                 The
Fee shall be divided 80% to Cerberus and 20% to Ampersand.

 

5.                                       Independent Contractor.  The Managers and the Companies agree that the
Managers shall perform their services hereunder as independent contractors,
retaining control over and responsibility for their own respective operations
and personnel. Neither the Managers, nor their directors, officers or
employees, shall be considered employees or agents of the Companies solely as a
result of this Agreement nor shall any of them have authority to enter into any
agreement or to make any representation, commitment or warranty binding upon
the Companies solely as a result of this Agreement, except as expressly agreed
to in writing by the Companies.

 

6.                                       Liability.  Neither the Managers nor any of their affiliates,
partners, employees or agents shall be liable (whether directly or indirectly,
in contract, tort or otherwise) to the Companies or their affiliates, or any of
the lenders, shareholders, employees, directors, security holders or creditors
of the Companies or any of their affiliates for any loss, claim, liability,
cost, damage or expense directly or indirectly arising out of the engagement of
the Managers pursuant to, or in connection with the performance of services
contemplated by, this Agreement or the rendering of any other advice or
performance of any other services by the Managers for the Companies or any of
their affiliates except to the extent that any such loss, claim, liability,
cost, damage or expense is found in a final non-appealable judgment by a court
of competent jurisdiction to have resulted solely from the Managers’s gross
negligence or willful misconduct.

 

7.                                       Indemnity.  The Companies and their affiliates shall
defend, indemnify and hold harmless the Managers, and their affiliates,
partners, employees, agents, directors, officers and controlling persons
(collectively, the “Indemnified Parties”) from and against any and all
loss, liability, damage or expense, joint or several, arising from any claim (a
“Claim”) by any person with respect to, or in any way related to, the
services (including, without limitation, the engagement of the Managers
pursuant to this Agreement and the performance by the Managers of services
pursuant to this Agreement) contemplated by this Agreement (including, without
limitation, attorneys’ fees and disbursements) resulting from any act or
omission by the Indemnified Parties. The Companies and their affiliates shall
defend at their own cost and expense any and all suits or actions (just or
unjust) which may be brought against the Companies and/or their affiliates and
the Indemnified Parties. The Companies and their affiliates shall defend at
their own cost and expense any and all suits or actions (just or unjust) which
may be brought in which the Indemnified Parties may be impleaded with others
upon any Claim upon any matter, directly or indirectly, related to or arising
out of the Agreement or the performance hereof by the Indemnified Parties,
except that if such

 

3

 

damage shall be proven to be the direct result of gross negligence, bad
faith or willful misconduct by any of the Indemnified Parties, then the Managers
shall reimburse the Companies and their affiliates for the costs of defense and
other costs incurred by the Companies and their affiliates in proportion to
such Indemnified Party’s culpability as proven.

 

8.                                       Representations and Warranties.  Each of the Companies represent and
warrant to the Managers that: (i) each Company has taken all action necessary
to permit it to execute and deliver this Agreement and the other documents and
instruments to be executed by it pursuant hereto and to carry out the terms
hereof and thereof; (ii) this Agreement and each such other document and
instrument, when duly executed and delivered by each Company, will constitute a
valid and binding obligation of such Company, enforceable against it in
accordance with its terms; and (iii) neither Company is required to obtain any
order, consent, approval or authorization of, or to make any declaration or
filing with, any third party or governmental authority in connection with the
execution and delivery of this Agreement and the other documents and
instruments to be executed by it pursuant hereto or the consummation of the
transactions contemplated hereby and thereby, except for such order, consent,
approval, authorization, declaration or filing as which has been or will be
obtained or made.

 

9.                                       Notices.  All notices, requests, consents and other
communications provided for herein shall be in writing and shall be (i)
delivered in person, (ii) transmitted by telecopy, (iii) sent by first-class,
registered or certified mail, postage prepaid, or (iv) sent by reputable
overnight courier service, fees prepaid, to the recipient at the address or
telecopy number set forth below, or such other address or telecopy number as
may hereafter be designated in writing by such recipient. Notices shall be
deemed given upon personal delivery, seven days following deposit in the mail
as set forth above, upon acknowledgment by the receiving telecopier or one day
following deposit with an overnight courier service.

 

If to Holdco or Newco:

 

Talecris Biotherapeutics Inc.

79 T.W. Alexander Drive

4101 Research Commons, Suite 300

Research Triangle Park, NC 27709

Attention:        Chief
Executive Officer

 

If to Cerberus:

 

Cerberus Capital Management, L.P.

299 Park Avenue, 22nd Floor

New York, NY 
10171

Fax:  (212)
891-1540

Attention:        General
Counsel

 

with a copy (which shall not constitute notice to
Cerberus) to:

 

Sullivan & Cromwell LLP

1888 Century Park East

Los Angeles, CA 
90067-1725

Fax:      (310) 712-8800

Attention:        Alison
S. Ressler

 

4

 

If to Ampersand:

 

Ampersand Ventures

55 William Street, Suite 240

Wellesley, MA 
02481

Fax:  (781)
239-0824

Attention:        Richard
A. Charpie

 

with a copy (which shall not constitute notice to Ampersand)
to:

 

Latham & Watkins LLP

555 11th Street, N.W.

Suite 1000

Washington, D.C. 20004

Fax:  (202)
637-2201

Attention:        Raymond
B. Grochowski

 

10.                                 Miscellaneous.

 

10A.                       Amendment
and Waiver.  The provisions of this
Agreement may be amended and waived only with the prior written consent of each
of the Managers and the Companies.

 

10B.                         Survival
of Representations and Warranties.  All
representations and warranties contained herein or made in writing by any party
in connection herewith shall survive the execution and delivery of this
Agreement and the consummation of the transactions contemplated hereby.

 

10C.                         Successors
and Assigns.  Except as otherwise
expressly provided herein, all covenants and agreements contained in this
Agreement by or on behalf of any of the parties hereto shall bind and inure to
the benefit of the respective successors and assigns of the parties hereto
whether so expressed or not.

 

10D.                        Severability.
 Whenever possible, each provision of
this Agreement shall be interpreted in such manner as to be effective and valid
under applicable law, but if any provision of this Agreement is held to be
prohibited by or invalid under applicable law, such provision shall be
ineffective only to the extent of such prohibition or invalidity, without
invalidating the remainder of this Agreement.

 

10E.                          Counterparts.
 This Agreement may be executed
simultaneously in two or more counterparts, any one of which need not contain
the signatures of more than one party, but all such counterparts taken together
shall constitute one and the same Agreement.

 

10F.                          Descriptive
Headings; Interpretation.  The
descriptive headings of this Agreement are inserted for convenience only and do
not constitute a substantive part of this

 

5

 

Agreement. The use of the word “including” in this Agreement shall be
by way of example rather than by limitation.

 

10G.                         Governing Law.  ALL QUESTIONS CONCERNING THE CONSTRUCTION,
VALIDITY AND INTERPRETATION OF THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE DOMESTIC LAWS OF THE STATE OF NEW YORK,
WITHOUT GIVING EFFECT TO ANY CHOICE OF LAW OR CONFLICT OF LAW PROVISION OR RULE
(WHETHER OF THE STATE OF NEW YORK OR ANY OTHER JURISDICTION) THAT WOULD CAUSE
THE APPLICATION OF THE LAWS OF ANY JURISDICTION OTHER THAN THE STATE OF NEW
YORK.

 

10H.                        Jurisdiction.
 Each party to this Agreement hereby
irrevocably agrees that any legal action or proceeding arising out of or
relating to this Agreement or any agreements or transactions contemplated
hereby may be brought exclusively in the courts of the State of New York or of
the United States of America for the Southern District of New York and hereby expressly
submits to the personal jurisdiction and venue of such courts for the purposes
thereof and expressly waives any claim of improper venue and any claim that
such courts are an inconvenient forum. Each party hereby irrevocably consents
to the service of process of any of the aforementioned courts in any such suit,
action or proceeding by the mailing of copies thereof by registered or
certified mail, postage prepaid, to the address provided pursuant to Section 9,
such service to become effective 10 days after such mailing.

 

* 
*  *  *

 

6

 

IN WITNESS WHEREOF, the parties hereto have executed
this Management Agreement on the date first written above.

 

	
   

  	
  TALECRIS BIOTHERAPEUTICS HOLDINGS CORP.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ LAWRENCE D. STERN

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Lawrence D. Stern

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  TALECRIS BIOTHERAPEUTICS, INC.

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ LAWRENCE D. STERN

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Lawrence D. Stern

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  CERBERUS-PLASMA HOLDINGS LLC

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ STEVEN F. MAYER

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Steven F. Mayer

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  AMPERSAND VENTURE
  MANAGEMENT TRUST

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Ampersand Venture
  Management 2003 LLC, Trustee

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Charpie

  	
   

  	
   

  
	
   

  	
   

  	
  Richard
  A. Charpie, Sole Member

  	
   

  	
   

  
							

 

7

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