SEC Contract Filing

Filing Date: 2019-02-28

Document Content:
<DOCUMENT>
<TYPE>EX-10.7(A)
<SEQUENCE>6
<FILENAME>heexhibit107a201810k.htm
<DESCRIPTION>EXHIBIT 10.7(A)
<TEXT>
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<div><a name="safab6a66a8144dfe990c9ecf09c4a503"></a></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;text-decoration:underline;">MUTUAL TERMINATION AND RELEASE AGREEMENT</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">This Mutual Termination and Release Agreement (&#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Agreement</font><font style="font-family:inherit;font-size:12pt;">&#8221;) is made on November 28, 2018 by and between </font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">HAWAI&#8216;I ELECTRIC LIGHT COMPANY, INC</font><font style="font-family:inherit;font-size:12pt;">., (&#8220;</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Hawai&#8216;i Electric Light</font><font style="font-family:inherit;font-size:12pt;">&#8221;) and IES DOWNSTREAM, LLC (&#8220;IES&#8221;), with a place of business and mailing address at 91-480 Malakole Street, Kapolei, HI 96707, (each referred to as a &#8220;party&#8221;, and collectively as the &#8220;parties&#8221;).</font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, Hawai&#8216;i Electric Light and Chevron Products Company (&#8220;Chevron&#8221;), as predecessor in interest to IES, entered into that certain Fuels Terminalling Agreement for the storage of industrial fuel oil (&#8220;IFO&#8221;) and No. 2 Diesel (&#8220;Diesel&#8221;) made on February 18, 2016 (&#8220;Fuels Terminalling Agreement&#8221;); and</font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, on August 15, 2016, Hawai&#8216;i Electric Light received notice that Chevron had assigned the Fuels Terminalling Agreement to IES pursuant to Section 18.2 thereof; and</font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, Section 2.1 of the Fuels Terminalling Agreement provides that the original term of the Fuels Terminalling Agreement shall end on December 31, 2019 and it shall continue on January 1 thereafter for successive twelve (12) month extensions unless either party gives written notice of termination at least one hundred twenty (120) days before the beginning of an extension; and</font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, the parties have agreed to a new Fuels Terminalling Agreement (&#8220;New Fuels Terminalling Agreement&#8221;) made on December 3, 2018 and effective on either (i) the date of receipt by Hawai&#8216;i Electric Light of the Public Utilities Commission of the State of Hawaii&#8217;s final or interim commission approval order or (ii) some other date as agreed upon in writing by the parties as provided in Section 2.3 of said New Fuels Terminalling Agreement.</font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">NOW, THEREFORE, in consideration of the mutual promises, covenants and conditions hereinafter contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:</font></div><div style="line-height:120%;text-align:justify;padding-left:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-left:0px;text-align:justify;text-indent:0px;"><font style="text-align:justify;font-family:inherit;font-size:10pt;font-weight:bold;padding-right:48px;">1.</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;text-decoration:underline;">TERMINATION OF THE FUELS TERMINALLING AGREEMENT</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">.</font><font style="font-family:inherit;font-size:12pt;">&#32;&#32;Notwithstanding anything set forth in the Fuels Terminalling Agreement, the Fuels Terminalling Agreement shall terminate in its entirety if, on or before May 3, 2019, Hawaii Electric Light provides to IES written notification