SEC Contract Filing

Filing Date: 2024-08-30

Document Content:
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<FILENAME>a107-guarantyofairtincin.htm
<DESCRIPTION>EX-10.7
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<DIV><FONT size="1" style="font-size:1pt;color:white">Error! Unknown document property name. GUARANTY Date: August 29, 2024. For good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and to induce ALERUS FINANCIAL, NATIONAL ASSOCIATION, a national banking association (the &#8220;Lender&#8221;), at its option at any time or from time to time to make loans or extend other accommodations to or for the account of the entities listed on Schedule A attached hereto (such entities being collectively referred to herein as the &#8220;Borrowers&#8221;, the undersigned, AIR T, INC., a Delaware corporation (the &#8220;Guarantor&#8221;), hereby absolutely and unconditionally guarantees to the Lender the full and prompt payment and performance when due, whether at maturity or earlier by reason of acceleration or otherwise, of each and every debt, liability and obligation of every type which Borrowers may now or at any time hereafter owe to the Lender, whether such debt, liability or obligation now exists or is hereafter created or incurred, and whether it is or may be direct or indirect, due or to become due, absolute or contingent, primary or secondary, liquidated or unliquidated, or joint, several or joint and several (all such debts, liabilities and obligations are hereinafter collectively referred to as the &#8220;Indebtedness&#8221;). The Indebtedness includes, without limitation, all &#8220;Obligations&#8221; as such term is defined in that certain Credit Agreement of even date herewith by and among the Lender, the Borrowers and the Guarantor, in its separate capacity as Loan Party Agent. Such Credit Agreement, as the same may be amended, amended and restated, supplemented, or otherwise modified from time to time, being referred to herein as the &#8220;Credit Agreement&#8221;; capitalized terms not otherwise defined herein being used herein as therein defined. The Guarantor further acknowledges and agrees with the Lender that: 1. No act or thing need occur to establish the liability of the Guarantor hereunder and no act or thing except full payment and discharge of all Indebtedness shall in any way exonerate the Guarantor or modify, reduce, limit or release the liability of the Guarantor hereunder. 2. This is an absolute, unconditional and continuing guaranty of payment of the Indebtedness and shall continue to be in force and be binding upon the Guarantor, whether or not all Indebtedness is paid in full, until this guaranty is revoked as to future transactions by written notice actually received by the Lender. Such revocation shall not be effective as to Indebtedness existing or committed for at the time of actual receipt of such notice by the Lender, or as to any renewals, extensions and refinancings thereof. If there be more than one guarantor hereunder, such revocation shall be effective only as to the one so revoking. The dissolution or adjudication of bankruptcy of the Guarantor shall not revoke this guaranty, except upon actual receipt of written notice thereof by the Lender and only prospectively, as to future transactions, as herein set forth. 3. The Guarantor represents and warrants to the Lender that: (a) the Guarantor is a corporation duly organized and existing in good standing under the laws of the State of Delaware and has full power and authority to make and deliver this guaranty; (b) the execution, delivery and performance of this guaranty by the Guarantor have been duly authorized by all necessary action </FONT></DIV>
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<DIV><FONT size="1" style="font-size:1pt;color:white"> 2 of its shareholders and directors and do not and will not violate the provisions of, or constitute a default under, any presently applicable law or its articles of incorporation or bylaws or any agreement presently binding on it; (c) this guaranty has been duly executed and delivered by the authorized officers of the Guarantor and constitutes its lawful, binding and legally enforceable obligation; (d) the authorization, execution, delivery and performance of this guaranty do not require notification to, registration with, or consent or approval by, any federal, state or local regulatory body or administrative agency; (e) each of the representations and warranties contained in the Credit Agreement pertaining to the Guarantor as &#8220;Air T&#8221;, &#8220;Guarantor&#8221;, or as a &#8220;Loan Party&#8221; are true and correct; and (f) (i) the Borrowers and the Guarantor are members of a related organization of various entities constituting a single economic and business enterprise so that the Borrowers and the Guarantor share an identity of interests such that any benefit received by either one of them benefits the other; (ii) the Borrowers and the Guarantor render services for the benefit of the one another, purchase or sell and supplies goods to or from or for the benefit of one another, makes loans, advances and provide other financial accommodations to or for the benefit of one another; (iii) in some cases, the Borrowers and the Guarantor have centralized accounting and legal service and common officers and directors; and (iv) while the Borrowers and the Guarantor operate as a single economic enterprise, nothing contained in this Section 3(f) should be construed or imply that the Borrowers an