SEC Contract Filing

Filing Date: 2018-11-06

Document Content:
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>3
<FILENAME>gifipitoncooperationagreeme.htm
<DESCRIPTION>EXHIBIT 10.1
<TEXT>
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<div><a name="s29A45B1B9FD0EC2DA722E5232B81B52F"></a></div><div><div style="line-height:120%;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:16px;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">EXHIBIT 10.1</font></div><div style="line-height:120%;padding-bottom:16px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">COOPERATION AGREEMENT</font></div><div style="line-height:120%;padding-bottom:16px;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">This COOPERATION AGREEMENT (this &#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 and entered into as of November 2, 2018, by and among Gulf Island Fabrication, Inc., a Louisiana corporation (the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Company</font><font style="font-family:inherit;font-size:12pt;">&#8221;), Piton Capital Partners, LLC, a Delaware limited liability company (&#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Piton Partners</font><font style="font-family:inherit;font-size:12pt;">&#8221;), and Kokino LLC, a Delaware limited liability Company (&#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Kokino</font><font style="font-family:inherit;font-size:12pt;">&#8221; and, together with Piton Partners, &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Piton</font><font style="font-family:inherit;font-size:12pt;">&#8221;). The Company, Piton Partners and Kokino are each herein referred to as a &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">party</font><font style="font-family:inherit;font-size:12pt;">&#8221; and collectively, the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">parties</font><font style="font-family:inherit;font-size:12pt;">.&#8221;</font></div><div style="line-height:120%;padding-bottom:16px;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, on November 17, 2017, Piton filed a Schedule 13D/A with the SEC disclosing beneficial ownership of 1,399,300 shares, or 9.3%, of the issued and outstanding common stock of the Company, no par value per share (the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Common Stock</font><font style="font-family:inherit;font-size:12pt;">&#8221;);</font></div><div style="line-height:120%;padding-bottom:16px;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, on October 15, 2018, the Board appointed Cheryl Richard to the Board as a Class III director whose term expires at the 2021 Annual Meeting;</font></div><div style="line-height:120%;padding-bottom:16px;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">WHEREAS, the Company and Piton have determined to come to an agreement with respect to Robert Averick joining the Board of Directors of the Company (the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Board</font><font style="font-family:inherit;font-size:12pt;">&#8221;) and certain other matters, as provided in this Agreement.</font></div><div style="line-height:120%;padding-bottom:16px;text-align:justify;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:</font></div><table cellpadding="0" cellspacing="0" style="padding-bottom:16px;font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:0px;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">1.</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;text-decoration:underline;">Board Appointment and Related Matters</font><font style="font-family:inherit;font-size:12pt;font-weight:bold;">.</font></div></td></tr></table><div style="line-height:120%;padding-bottom:16px;text-align:justify;text-indent:96px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">(a)</font><font style="font-family:inherit;font-size:10pt;">&#160;&#160;&#160;&#160;</font><font style="font-family:inherit;font-size:12pt;">The Board shall take all necessary actions, as promptly as practicable following the execution of this Agreement by the parties and on or prior to November 3, 2018, (i)&#160;to increase the size of the Board to ten (10) directors and (ii)&#160;to appoint Mr. Averick (the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Piton Designee</font><font style="font-family:inherit;font-size:12pt;">&#8221;) to the Board as a Class II dire