SEC Contract Filing

Filing Date: 2021-10-29

Document Content:
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>itw3q21-ex101xsuspensionof.htm
<DESCRIPTION>EX-10.1
<TEXT>
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<title>Document</title></head><body><div id="i116487cae6c8446d9cc61291849135a7_1"></div><div style="min-height:72pt;width:100%"><div><font><br></font></div></div><div style="margin-bottom:8pt;text-align:center"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:700;line-height:125%">SUSPENSION OF RIGHTS AGREEMENT</font></div><div style="margin-bottom:8pt;text-align:center"><font><br></font></div><div style="margin-bottom:8pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%">To&#58;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;JPMorgan Chase Bank, N.A., as Agent</font></div><div style="margin-bottom:8pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%">From&#58;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Illinois Tool Works Inc.</font></div><div style="margin-bottom:8pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%">Date&#58;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;September 22, 2021</font></div><div style="margin-bottom:8pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%">Ladies &#38; Gentlemen</font></div><div style="margin-bottom:8pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:700;line-height:125%">FIVE YEAR CREDIT AGREEMENT dated September 27, 2019 among, Illinois Tool Works Inc. as a Borrower, and JPMorgan Chase Bank, N.A., as Agent AND THE Lenders thereto (as amended or otherwise modified from time to time, the &#8220;Credit Agreement&#8221;).</font></div><div style="margin-bottom:8pt"><font><br></font></div><div style="margin-bottom:8pt;padding-left:90pt;text-indent:-72pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:700;line-height:125%">1</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%;padding-left:66.5pt">We are writing to you in your capacity as Agent under the Credit Agreement. Unless otherwise defined in this letter, terms defined in the Credit Agreement have the same meaning when used in this letter. The term &#8220;Non-USD Currency&#8221; in this letter shall mean collectively or individually&#58; </font></div><div style="margin-bottom:8pt;padding-left:54pt;text-indent:36pt"><font style="color:#000000;font-family:'MS Gothic',sans-serif;font-size:11pt;font-weight:400;line-height:125%">&#9746;</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%"> GBP</font></div><div style="margin-bottom:8pt;padding-left:54pt;text-indent:36pt"><font style="color:#000000;font-family:'MS Gothic',sans-serif;font-size:11pt;font-weight:400;line-height:125%">&#9746;</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%"> EUR</font></div><div style="margin-bottom:8pt;padding-left:54pt;text-indent:36pt"><font style="color:#000000;font-family:'MS Gothic',sans-serif;font-size:11pt;font-weight:400;line-height:125%">&#9744;</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%"> CHF</font></div><div style="margin-bottom:8pt;padding-left:54pt;text-indent:36pt"><font style="color:#000000;font-family:'MS Gothic',sans-serif;font-size:11pt;font-weight:400;line-height:125%">&#9746;</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%"> JPY</font></div><div style="padding-left:90pt"><font><br></font></div><div style="padding-left:90pt;text-indent:-72pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:700;line-height:125%">2</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%;padding-left:66.5pt">Each Borrower acknowledges that from December 31, 2021, panel submissions for all Non-USD Currency LIBOR tenors and 1-week and 2-month USD LIBOR tenors shall cease, following which representative LIBOR rates for such currencies and tenors shall cease to be available (the &#8220;</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:700;line-height:125%">2021 LIBOR Cessation</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%">&#8221;). </font></div><div style="padding-left:36pt"><font><br></font></div><div style="padding-left:86.4pt;text-indent:-72pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:700;line-height:125%">3</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%;padding-left:66.5pt">For good and valuable consideration, including delaying the incurrence of costs required to update the terms of the Credit Agreement in connection with the 2021 LIBOR Cessation, and in lieu of amending or waiving any term of the Credit Agreement, each Borrower agrees with effect from the date hereof to suspend its following rights under the Credit Agreement&#58;</font></div><div style="padding-left:90pt"><font><br></font></div><div style="padding-left:144pt;text-indent:-18pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:125%">(a)</font><font style="color:#000000;font-