REGISTRATION RIGHTS AGREEMENT by and among PHH Corporation and Banc of America Securities LLC Citigroup Global Markets Inc. J.P. Morgan Securities Inc. RBS Securities Inc. as representatives of the Initial Purchasers Dated as of August 11, 2010
Exhibit 10.1
by and among
PHH Corporation
and
Banc of America Securities LLC
Citigroup Global Markets Inc.
▇.▇. ▇▇▇▇▇▇ Securities Inc.
RBS Securities Inc.
Citigroup Global Markets Inc.
▇.▇. ▇▇▇▇▇▇ Securities Inc.
RBS Securities Inc.
as representatives of the Initial Purchasers
Dated as of August 11, 2010
This Registration Rights Agreement (this “Agreement”) is made and entered into as of August
11, 2010, by and among PHH Corporation, a Maryland corporation (the “Company”), and Banc of America
Securities LLC, Citigroup Global Markets Inc., ▇.▇. ▇▇▇▇▇▇ Securities Inc. and RBS Securities Inc.,
as representatives of the initial purchasers listed on Schedule I to the Purchase Agreement (each
an “Initial Purchaser” and collectively, the “Initial Purchasers”), each of whom has agreed to
purchase the Company’s 9.25% Senior Notes due 2016 (the “Initial Notes”) pursuant to the Purchase
Agreement (as defined below).
This Agreement is made pursuant to the Purchase Agreement, dated August 6, 2010 (the “Purchase
Agreement”), by and among the Company and Banc of America Securities LLC, Citigroup Global Markets
Inc., ▇.▇. ▇▇▇▇▇▇ Securities Inc. and RBS Securities Inc., as representatives of the Initial
Purchasers (i) for the benefit of the Initial Purchasers and (ii) for the benefit of the holders
from time to time of Transfer Restricted Notes (as defined below), including the Initial
Purchasers. In order to induce the Initial Purchasers to purchase the Initial Notes, the Company
has agreed to provide the registration rights set forth in this Agreement. The execution and
delivery of this Agreement is a condition to the obligations of the Initial Purchasers set forth in
Section 6(g) of the Purchase Agreement.
The parties hereby agree as follows:
SECTION 1. Definitions. As used in this Agreement, the following capitalized terms
shall have the following meanings:
Additional Interest: As defined in Section 5 hereof.
Advice: As defined in Section 6(c) hereof.
Broker-Dealer: Any broker or dealer registered under the Exchange Act.
Business Day: Any day other than a Saturday, Sunday or U.S. federal holiday or a day on which
banking institutions or trust companies located in New York, New York are authorized or obligated
to be closed.
Closing Date: The date of this Agreement.
Commission: The Securities and Exchange Commission.
Consummate: A registered Exchange Offer shall be deemed “Consummated” for purposes of this
Agreement upon the occurrence of (i) the filing and effectiveness under the Securities Act of the
Exchange Offer Registration Statement relating to the Exchange Notes to be issued in the Exchange
Offer, (ii) the maintenance of such Registration Statement continuously effective and the keeping
of the Exchange Offer open for a period not less than the minimum period required pursuant to
Section 3(b) hereof, and (iii) the delivery by the Company to the Registrar under the Indenture of
Exchange Notes in the same aggregate principal amount as the aggre-gate principal amount of Initial Notes that were tendered by Holders thereof pursuant to the
Exchange Offer.
Effectiveness Target Date: As defined in Section 5 hereto.
Exchange Act: The Securities Exchange Act of 1934, as amended, including the rules and
regulations promulgated thereunder.
Exchange Date: As defined in Section 3(a) hereto.
Exchange Notes: The 9.25% Senior Notes due 2016, of the same series under the Indenture as
the Notes and having terms substantially identical in all material respects to the Notes (except
that the Exchange Notes will not contain terms with respect to transfer restrictions), to be issued
to Holders in exchange for Transfer Restricted Notes pursuant to this Agreement.
Exchange Offer: The registration by the Company under the Securities Act of the Exchange
Notes pursuant to a Registration Statement pursuant to which the Company offers the Holders of all
outstanding Transfer Restricted Notes the opportunity to exchange all such outstanding Transfer
Restricted Notes held by such Holders for Exchange Notes in an aggregate principal amount equal to
the aggregate principal amount of the Transfer Restricted Notes tendered in such exchange offer by
such Holders.
Exchange Offer Registration Statement: The Registration Statement relating to the Exchange
Offer, including the related Prospectus.
FINRA: Financial Industry Regulatory Authority, Inc.
Freely Tradable: Means, with respect to a Note, a Note that at any time of determination (i)
may be sold to the public in accordance with Rule 144 under the Securities Act (“Rule 144”) by a
person that is not an “affiliate” (as defined in Rule 144 under the Securities Act) of the Company
where no conditions of Rule 144 are then applicable (other than the holding period requirement in
paragraph (d) of Rule 144 so long as such holding period requirement is satisfied at such time of
determination), (ii) does not bear any restrictive legends relating to the Securities Act and (iii)
bears an unrestricted CUSIP number.
Holders: As defined in Section 2(b) hereof.
Indemnified Holder: As defined in Section 8(a) hereof.
Indenture: The Indenture, dated as of August 11, 2010, by and between the Company and The
Bank of New York Mellon Trust Company, N.A., as trustee (the “Trustee”), pursuant to which the
Notes are to be issued, as such Indenture is amended or supplemented from time to time in
accordance with the terms thereof.
Initial Notes: As defined in the preamble hereto.
Initial Placement: The issuance and sale by the Company of the Initial Notes to the Initial
Purchasers pursuant to the Purchase Agreement.
Initial Purchaser: As defined in the preamble hereto.
Interest Payment Date: As defined in the Indenture and the Notes.
Notes: The Initial Notes and the Exchange Notes.
Person: An individual, partnership, corporation, trust or unincorporated organization, or a
government or agency or political subdivision thereof.
Prospectus: The prospectus included in a Registration Statement, as amended or supplemented
by any prospectus supplement and by all other amendments thereto, including post-effective
amendments, and all material incorporated by reference into such prospectus.
Registration Default: As defined in Section 5 hereof.
Registration Statement: Any registration statement of the Company relating to (a) an offering
of Exchange Notes pursuant to an Exchange Offer or (b) the registration for resale of Transfer
Restricted Notes pursuant to the Shelf Registration Statement, which in each case is filed pursuant
to the provisions of this Agreement, in each case, including the Prospectus included therein, all
amendments and supplements thereto (including post-effective amendments) and all exhibits and
material incorporated by reference therein.
Securities Act: The Securities Act of 1933, as amended, including the rules and regulations
promulgated thereunder.
Shelf Filing Deadline: As defined in Section 4(a) hereof.
Shelf Registration Statement: As defined in Section 4(a) hereof.
Suspension Period: As defined in Section 6(d) hereof.
Transfer Restricted Notes: Each Note until the earliest to occur of (i) the date on which
such Transfer Restricted Note has been exchanged by a person other than a broker-dealer for an
Exchange Note in the Exchange Offer, (ii) following the exchange by a broker-dealer in the Exchange
Offer of an Initial Note for an Exchange Note, the date on which such Exchange Note is sold to a
purchaser who receives from such broker-dealer on or prior to the date of such sale a copy of the
prospectus contained in the Exchange Offer Registration Statement, (iii) the date on which such
Initial Note has been effectively registered under the Securities Act and disposed of in accordance
with the Shelf Registration Statement or (iv) the date on which such Note ceases to be outstanding.
Trust Indenture Act: The Trust Indenture Act of 1939, as amended, including the rules and
regulations promulgated thereunder.
Underwritten Registration or Underwritten Offering: A registration in which securities of the
Company are sold to an underwriter for reoffering to the public.
SECTION 2. Securities Subject to this Agreement.
(a) Transfer Restricted Notes. The securities entitled to the benefits of this Agreement are
the Transfer Restricted Notes.
(b) Holders of Transfer Restricted Notes. A Person is deemed to be a holder of Transfer
Restricted Notes (each, a “Holder”) whenever such Person owns Transfer Restricted Notes.
SECTION 3. Registered Exchange Offer.
(a) Unless the Exchange Offer shall not be permissible under applicable law or Commission
policy (after the procedures set forth in Section 6(a) hereof have been complied with), the Company
shall (x) (i) use its commercially reasonable efforts to file with the Commission, a Registration
Statement under the Securities Act relating to the Exchange Notes and the Exchange Offer on or
prior to 120 days after the Closing Date, (ii) use its commercially reasonable efforts to cause
such Registration Statement to be declared effective on or prior to 210 days after the Closing
Date, (iii) in connection with the foregoing, (A) file all pre-effective amendments to such
Registration Statement as may be necessary in order to cause such Registration Statement to become
effective, (B) file, if applicable, a post-effective amendment to such Registration Statement
pursuant to Rule 430A under the Securities Act and (C) cause all necessary filings in connection
with the registration and qualification of the Exchange Notes to be made under the state securities
or blue sky laws of such jurisdictions as are necessary to permit Consummation of the Exchange
Offer; provided, that the Company shall not be required to make any such filings or take any action
which would subject it to general service of process or to taxation in any jurisdiction where it is
not then so subject, (iv) unless there are no Transfer Restricted Notes outstanding (A) upon the
effectiveness of such Registration Statement, commence the Exchange Offer and (B) issue the
Exchange Notes in exchange for all Transfer Restricted Notes tendered prior thereto in the Exchange
Offer. The Company shall use its commercially reasonable efforts to Consummate the Exchange Offer
within 30 Business Days of the Effectiveness Target Date with respect to the Exchange Offer
Registration Statement (the “Exchange Date”). The Exchange Offer shall be on the appropriate form
permitting registration of the Exchange Notes to be offered in exchange for the Transfer Restricted
Notes and to permit resales of Transfer Restricted Notes held by Broker-Dealers as contemplated by
Section 3(c) hereof.
(b) The Company shall use its commercially reasonable efforts to cause the Exchange Offer
Registration Statement to be effective continuously and shall keep the Exchange Offer open for a
period of not less than the minimum period required under applicable federal and state securities
laws to Consummate the Exchange Offer; provided, however, that in no event shall such period be
less than 30 days after the date notice of the Exchange Offer is mailed to the Holders. The
Company shall cause the Exchange Offer to comply with all applicable federal and state securities
laws. No securities other than the Exchange Notes shall be included in the Ex-
change Offer Registration Statement. The Company shall use its commercially reasonable
efforts to cause the Exchange Offer to be Consummated by the Exchange Date.
(c) The Company shall indicate in a “Plan of Distribution” section contained in the Prospectus
forming a part of the Exchange Offer Registration Statement that any Broker-Dealer who holds
Initial Notes that are Transfer Restricted Notes and that were acquired for its own account as a
result of market-making activities or other trading activities (other than Transfer Restricted
Notes acquired directly from the Company), may exchange such Initial Notes pursuant to the Exchange
Offer; however, such Broker-Dealer may be deemed to be an “underwriter” within the meaning of the
Securities Act and must, therefore, deliver a prospectus meeting the requirements of the Securities
Act in connection with any resales of the Exchange Notes received by such Broker-Dealer in the
Exchange Offer, which prospectus delivery requirement may be satisfied by the delivery by such
Broker-Dealer of the Prospectus contained in the Exchange Offer Registration Statement. Such “Plan
of Distribution” section shall also contain all other information with respect to such resales by
Broker-Dealers that the Commission may require in order to permit such resales pursuant thereto,
but such “Plan of Distribution” shall not name any such Broker-Dealer or disclose the amount of
Transfer Restricted Notes held by any such Broker-Dealer except to the extent required by the
Commission as a result of a change in policy after the date of this Agreement.
The Company shall use its commercially reasonable efforts to keep the Exchange Offer
Registration Statement continuously effective, supplemented and amended as required by the
provisions of Section 6(c) hereof to the extent necessary to ensure that it is available for
resales of Transfer Restricted Notes acquired by Broker-Dealers for their own accounts as a result
of market-making activities or other trading activities, and to ensure that it conforms with the
requirements of this Agreement, the Securities Act and the policies, rules and regulations of the
Commission as announced from time to time, for a period ending on the earlier of (i) 90 days from
the date on which the Exchange Offer Registration Statement is declared effective and (ii) the date
on which a Broker-Dealer is no longer required to deliver a prospectus in connection with
market-making or other trading activities.
The Company shall provide a reasonable number of copies of the latest version of such
Prospectus to Broker-Dealers promptly upon request at any time during such 90-day (or shorter as
provided in the foregoing sentence) period in order to facilitate such resales.
SECTION 4. Shelf Registration.
(a) Shelf Registration. If (i) the Exchange Offer is not permitted by applicable law or
Commission policy (after the procedures set forth in Section 6(a) hereof have been complied with),
(ii) for any reason the Exchange Offer is not Consummated by the Exchange Date, or (iii) prior to
the 20th day following the date on which the Exchange Offer is consummated, any Holder, including
the Initial Purchasers, notifies the Company that: (A) such Holder is prohibited by applicable law
or Commission policy from participating in the Exchange Offer, (B) such Holder may not resell the
Exchange Notes acquired by it in the Exchange Offer to the public without delivering a prospectus
and that the Prospectus contained in the Exchange Offer Registration Statement is not appropriate
or available for such resales by such Holder, or (C) such
Holder is a Broker-Dealer and holds Transfer Restricted Notes acquired directly from the
Company or one of its affiliates, the Company shall
(x) use its commercially reasonable efforts to cause to be filed a shelf registration
statement pursuant to Rule 415 under the Securities Act, which may be an amendment to the
Exchange Offer Registration Statement (in either event, the “Shelf Registration Statement”)
on or prior to the 120th day after the date such obligation arises under this Section 4
(such date being the “Shelf Filing Deadline”), which Shelf Registration Statement shall
provide for resales of all Transfer Restricted Notes the Holders of which shall have
provided the information required pursuant to Section 4(b) hereof; and
(y) use its commercially reasonable efforts to cause such Shelf Registration Statement
to be declared effective by the Commission and on or prior to the 210th day after the
obligation to file such Shelf Registration Statement arises under this Section 4.
Subject to Section 6(d) hereof, the Company shall use its commercially reasonable efforts to
keep such Shelf Registration Statement continuously effective, supplemented and amended as required
by the provisions of Sections 6(b) and (c) hereof to the extent necessary to ensure that it is
available for resales of Transfer Restricted Notes by the Holders of such Notes entitled to the
benefit of this Section 4(a), and to ensure that it conforms with the requirements of this
Agreement, the Securities Act and the policies, rules and regulations of the Commission as
announced from time to time, from the date on which the Shelf Registration Statement is declared
effective by the Commission until the expiration of the one-year period referred to in Rule 144
applicable to the Initial Notes held by non-affiliates under the Securities Act (or shorter period
that will terminate when all the Transfer Restricted Notes covered by such Shelf Registration
Statement have been sold pursuant to such Shelf Registration Statement).
(b) Provision by Holders of Certain Information in Connection with the Shelf Registration
Statement. No Holder of Transfer Restricted Notes may include any of its Transfer Restricted Notes
in any Shelf Registration Statement pursuant to this Agreement or benefit from the provisions
regarding Additional Interest for a Registration Default with respect to a Shelf Registration
Statement unless and until such Holder furnishes to the Company in writing, within 15 Business Days
after receipt of a request therefor, such information as the Company may reasonably request for use
in connection with any Shelf Registration Statement or Prospectus or preliminary Prospectus
included therein. Each Holder as to which any Shelf Registration Statement is being effected
agrees to furnish promptly to the Company all information required to be disclosed in order to make
the information previously furnished to the Company by such Holder not materially misleading.
SECTION 5. Additional Interest. If either (i) the Company fails to file with the Commission
any Registration Statement required to be filed by this Agreement on or prior to the date specified
(without, for the avoidance of doubt, giving effect to any commercially reasonable efforts
qualifier) for such filing in this Agreement, (ii) any of such Registration Statements is not
declared effective by the Commission on or prior to the date specified (without, for the avoidance
of doubt, giving effect to any commercially reasonable efforts qualifier) for such effectiveness in
this Agreement (the “Effectiveness Target Date”), (iii) the Company fails to Consummate
the Exchange Offer within 30 Business Days of the Effectiveness Target Date with respect to
the Exchange Offer Registration Statement, or (iv) other than in connection with a Suspension
Period, the Shelf Registration Statement or the Exchange Offer Registration Statement is declared
effective but thereafter ceases to be effective or usable in connection with resales or exchanges
of Transfer Restricted Notes during the applicable periods specified in this Agreement without
being succeeded within 10 Business Days of such Registration Statement ceasing to be effective or
usable by a post-effective amendment to such Registration Statement that cures such failure or
usability and that is itself declared effective within 10 Business Days of such Registration
Statement ceasing to be effective or usable (each such event referred to in clauses (i) through
(iv), a “Registration Default”), the Company hereby agrees that the interest rate borne by the
Transfer Restricted Notes affected thereby shall be increased by 0.25% per annum during the 90-day
period immediately following the occurrence of any Registration Default and shall increase by an
additional 0.25% per annum at the end of each subsequent 90-day period until all Registration
Defaults have been cured, up to a maximum amount of additional interest for all Registration
Defaults of 1.0% per annum (“Additional Interest”). Following the cure of all Registration
Defaults, or in the case of a Registration Default with respect to a Shelf Registration Statement,
at the time such security ceases to be a Transfer Restricted Note that is not Freely Tradable, the
accrual of Additional Interest will cease; provided, however, that, if after any such cessation, a
different Registration Default occurs, the interest rate borne by the relevant Transfer Restricted
Notes shall again be increased pursuant to the foregoing provisions.
All accrued obligations of the Company set forth in the preceding paragraph that are
outstanding with respect to any Transfer Restricted Note at the time such security ceases to be a
Transfer Restricted Note, or in the case of a Shelf Registration Statement, outstanding at the time
such security ceases to be a Transfer Restricted Note that is not Freely Tradable, shall survive
until such time as all such accrued obligations with respect to such security shall have been
satisfied in full.
All accrued and unpaid Additional Interest will be paid by the Company on each Interest
Payment Date in the same manner as interest on the Notes.
SECTION 6. Registration Procedures.
(a) Exchange Offer Registration Statement. In connection with the Exchange Offer, if required
pursuant to Section 3(a) hereof, the Company shall comply with all of the provisions of Section
6(c) hereof, shall use its commercially reasonable efforts to effect such exchange and to permit
the sale of Transfer Restricted Notes being sold in accordance with the intended method or methods
of distribution thereof, and shall comply with all of the following provisions:
(i) To the extent the Commission raises an objection as to whether the Exchange Offer
is permitted by applicable law, upon request of the Holders of a majority in principal
amount of Transfer Restricted Notes, the Company hereby agrees to seek a no-action letter or
other favorable decision from the Commission allowing the Company to Consummate an Exchange
Offer for such Initial Notes. The Company hereby agrees to pursue the issuance of such a
decision to the Commission staff level but shall not be required to take commercially
unreasonable action to effect a change of Commission policy.
The Company hereby agrees, however, to (A) participate in telephonic conferences
with the Commission, (B) deliver to the Commission staff an analysis prepared by counsel to
the Company setting forth the legal bases, if any, upon which such counsel has concluded
that such an Exchange Offer should be permitted and (C) diligently pursue a favorable
resolution by the Commission staff of such submission.
(ii) As a condition to its participation in the Exchange Offer pursuant to the terms of
this Agreement, each Holder of Transfer Restricted Notes shall furnish, upon the request of
the Company, prior to the Consummation thereof, a written representation to the Company
(which may be contained in the letter of transmittal contemplated by the Exchange Offer
Registration Statement) to the effect that (A) any Exchange Notes to be received by it will
be acquired in the ordinary course of its business, (B) it has no arrangement or
understanding with any Person to participate in the distribution (within the meaning of the
Securities Act) of the Exchange Notes, (C) it is not an affiliate (as such term is defined
in Rule 405 under the Securities Act) of the Company or, if it is such an affiliate, it will
comply with the registration and prospectus delivery requirements of the Securities Act, to
the extent applicable, (D) it is not acting on behalf of any Person who could not truthfully
make the foregoing representations set forth in (A), (B) and (C) of this Section 6(a)(ii)
and (E) it shall have made such other representations as may be reasonably necessary under
applicable Commission rules, regulations or interpretations to render the use of Form S-4 or
another appropriate form under the Securities Act available or for the Exchange Offer
Registration Statement to be declared effective. In addition, all such Holders of Transfer
Restricted Notes shall otherwise cooperate in the Company’s preparations for the Exchange
Offer. Each Holder hereby acknowledges and agrees that any Broker-Dealer and any such
Holder using the Exchange Offer to participate in a distribution of the securities to be
acquired in the Exchange Offer (1) could not under Commission policy as in effect on the
date of this Agreement rely on the position of the Commission enunciated in ▇▇▇▇▇▇
▇▇▇▇▇▇▇ and Co., Inc. (available June 5, 1991) and Exxon Capital Holdings
Corporation (available May 13, 1988), as interpreted in the Commission’s letter to
Shearman & Sterling dated July 2, 1993, and similar no-action letters (which may include any
no-action letter obtained pursuant to clause (i) above), and (2) must comply with the
registration and prospectus delivery requirements of the Securities Act in connection with a
secondary resale transaction and that such a secondary resale transaction should be covered
by an effective registration statement containing the selling security holder information
required by Item 507 or 508, as applicable, of Regulation S-K if the resales are of Exchange
Notes obtained by such Holder in exchange for Initial Notes acquired by such Holder directly
from the Company.
(b) Shelf Registration Statement. If required pursuant to Section 4, in connection with the
Shelf Registration Statement, the Company shall comply with all the provisions of Section 6(c)
hereof and shall use its commercially reasonable efforts to effect such registration to permit the
sale of the Transfer Restricted Notes being sold in accordance with the intended method or methods
of distribution thereof, and pursuant thereto the Company will as expeditiously as possible prepare
and file with the Commission a Registration Statement relating to the registration on any
appropriate form under the Securities Act, which form shall be available for
the sale of the Transfer Restricted Notes in accordance with the intended method or methods of
distribution thereof.
(c) General Provisions. In connection with any Registration Statement and any Prospectus
required by this Agreement to permit the sale or resale of Transfer Restricted Notes (including,
without limitation, any Registration Statement and the related Prospectus required to permit
resales of Transfer Restricted Notes by Broker-Dealers), the Company shall:
(i) use its commercially reasonable efforts to keep such Registration Statement
continuously effective for the applicable period of time specified in this Agreement and
provide all requisite financial statements for the period specified in Section 3 or 4
hereof, as applicable; upon the occurrence of any event that would cause any such
Registration Statement or the Prospectus contained therein (A) to contain a material
misstatement or omission or (B) not to be effective and usable for resale of Transfer
Restricted Notes during the period required by this Agreement, the Company shall file
promptly an appropriate amendment to such Registration Statement, in the case of clause (A),
correcting any such misstatement or omission, and, in the case of either clause (A) or (B),
use its commercially reasonable efforts to cause such amendment to be declared effective and
such Registration Statement and the related Prospectus to become usable for their intended
purpose(s) as soon as practicable thereafter;
(ii) prepare and file with the Commission such amendments and post-effective amendments
to the applicable Registration Statement as may be necessary to keep the Registration
Statement effective for the applicable period set forth in Section 3 or 4 hereof, as
applicable, or such shorter period as will terminate when all Transfer Restricted Notes
covered by such Registration Statement have been sold, or, in the case of a Shelf
Registration Statement, are Freely Tradable; cause the Prospectus to be supplemented by any
required Prospectus supplement, and as so supplemented to be filed pursuant to Rule 424
under the Securities Act, and to comply fully with the applicable provisions of Rules 424
and 430A under the Securities Act in a timely manner; and comply with the provisions of the
Securities Act with respect to the disposition of all securities covered by such
Registration Statement during the applicable period in accordance with the intended method
or methods of distribution by the sellers thereof set forth in such Registration Statement
or supplement to the Prospectus;
(iii) advise the underwriter(s), if any, and selling Holders promptly and, if requested
by such Persons, confirm such advice in writing, (A) when the Prospectus or any Prospectus
supplement or post-effective amendment has been filed, and, with respect to any Registration
Statement or any post-effective amendment thereto, when the same has become effective, (B)
of any request by the Commission for amendments to the Registration Statement or amendments
or supplements to the Prospectus or for additional information relating thereto, (C) of the
issuance by the Commission of any stop order suspending the effectiveness of the
Registration Statement under the Securities Act or of the suspension by any state securities
commission of the qualification of the Transfer Restricted Notes for offering or sale in any
jurisdiction, or the initiation of any proceeding for any of the preceding purposes, (D) of
the existence of any fact or the happening of
any event that makes any statement of a material fact made in the Registration
Statement, the Prospectus, any amendment or supplement thereto, or any document incorporated
by reference therein untrue, or that requires the making of any additions to or changes in
the Registration Statement or the Prospectus in order to make the statements therein not
misleading. If at any time the Commission shall issue any stop order suspending the
effectiveness of the Registration Statement, or any state securities commission or other
regulatory authority shall issue an order suspending the qualification or exemption from
qualification of the Transfer Restricted Notes under state securities or blue sky laws, the
Company shall use its commercially reasonable efforts to obtain the withdrawal or lifting of
such order at the earliest possible time;
(iv) furnish without charge to the Initial Purchasers, each selling Holder named in any
Registration Statement, and each of the underwriter(s), if any, before filing with the
Commission, copies of any Registration Statement or any Prospectus included therein or any
amendments or supplements to any such Registration Statement or Prospectus (including all
documents incorporated by reference after the initial filing of such Registration
Statement), which documents will be subject to the review and reasonable comment of such
Holders and underwriter(s) in connection with such sale, if any, for a period of at least
three Business Days, and the Company will not file any such Registration Statement or
Prospectus or any amendment or supplement to any such Registration Statement or Prospectus
(including all such documents incorporated by reference) to which an Initial Purchaser of
Transfer Restricted Notes covered by such Registration Statement or the underwriter(s), if
any, shall reasonably object in writing within three Business Days after the receipt thereof
(such objection to be deemed timely made upon confirmation of telecopy transmission within
such period). The objection of an Initial Purchaser or underwriter, if any, shall be deemed
to be reasonable if such Registration Statement, amendment, Prospectus or supplement, as
applicable, as proposed to be filed, contains a material misstatement or omission;
(v) make available at reasonable times for inspection by the Initial Purchasers, the
managing underwriter(s), if any, participating in any disposition pursuant to such Shelf
Registration Statement and any attorney or accountant retained by such Initial Purchasers or
any of the underwriter(s), all financial and other records, pertinent corporate documents
and properties of the Company and cause the Company’s officers, directors and employees to
supply all information reasonably requested by any such Holder, underwriter, attorney or
accountant in connection with such Shelf Registration Statement or any post-effective
amendment thereto subsequent to the filing thereof and prior to its effectiveness; provided,
however, that the foregoing inspection and information gathering shall be coordinated on
behalf of the Initial Purchasers by Banc of America Securities LLC in connection with any
underwritten offering to which it is a party, and on behalf of the Holders by one counsel,
who shall be ▇▇▇▇▇ ▇▇▇▇ & ▇▇▇▇▇▇▇▇ LLP or such other counsel designated by the Holders of a
majority of the Transfer Restricted Notes included therein; provided, further, that any
information provided pursuant to this paragraph that is designated in writing by the
Company, in good faith, as confidential at the time of delivery of such information shall be
kept confidential by any such Holder, Initial Purchaser, underwriter, attorney or
accountant, and shall be used only in connection with such Shelf
Registration Statement and the transactions contemplated thereby unless such disclosure
is made in connection with a court proceeding or required by law, or such information
becomes available to the public generally or through a third party without an accompanying
obligation of confidentiality;
(vi) if requested by any selling Holders or the underwriter(s), if any, as soon as
practicable incorporate in any Shelf Registration Statement or Prospectus, pursuant to a
supplement or post-effective amendment if necessary, such information as such selling
Holders and underwriter(s), if any, may reasonably request to have included therein,
including, without limitation, information relating to the “Plan of Distribution” of the
Transfer Restricted Notes, information with respect to the principal amount of Transfer
Restricted Notes being sold to such underwriter(s), the purchase price being paid therefor
and any other terms of the offering of the Transfer Restricted Notes to be sold in such
offering; and make all required filings of such Prospectus supplement or post-effective
amendment as soon as practicable after the Company is notified of the matters to be
incorporated in such Prospectus supplement or post-effective amendment;
(vii) cause the Transfer Restricted Notes covered by the Registration Statement to be
rated with at least one rating agency (which such rating agency shall be a nationally
recognized statistical rating organization), if so requested by the Holders of a majority in
aggregate principal amount of Notes covered thereby or the underwriter(s), if any;
(viii) furnish to each Initial Purchaser, each selling Holder and each of the
underwriter(s), if any, upon request without charge, at least one copy of the Shelf
Registration Statement, as first filed with the Commission, and of each amendment thereto,
including financial statements and schedules, all documents incorporated by reference
therein and all exhibits;
(ix) deliver to each selling Holder and each of the underwriter(s), if any, without
charge, as many copies of the Prospectus (including each preliminary prospectus) and any
amendment or supplement thereto as such Persons reasonably may request; the Company hereby
consents to the use of the Prospectus and any amendment or supplement thereto by each of the
selling Holders and each of the underwriter(s), if any, in connection with the offering and
the sale of the Transfer Restricted Notes covered by the Prospectus or any amendment or
supplement thereto;
(x) enter into such agreements (including an underwriting agreement), and make such
representations and warranties, and take all such other actions in connection therewith in
order to expedite or facilitate the disposition of the Transfer Restricted Notes pursuant to
any Shelf Registration Statement contemplated by this Agreement, all to such extent as may
be reasonably requested by any Initial Purchaser or by the Holder of a majority in aggregate
principal amount of Transfer Restricted Notes or the managing underwriter in connection with
any sale or resale pursuant to any Shelf Registration Statement contemplated by this
Agreement; and whether or not an underwriting agreement is entered into and whether or not
the registration is an Underwritten Registration, the Company shall:
(A) furnish to each Initial Purchaser, each selling Holder named therein
and each underwriter, if any, in such substance and scope as they may request and as
are customarily made by issuers to underwriters in primary underwritten offerings,
upon the effectiveness of the Shelf Registration Statement:
(1) a certificate, dated the date of effectiveness of the Shelf
Registration Statement signed by (y) the Chairman of the Board or the Chief
Executive Officer and (z) the principal financial or accounting officer of
the Company, confirming, as of the date thereof, the matters set forth in
paragraphs (i) and (ii) of Section 6(b) of the Purchase Agreement and such
other matters as such parties may reasonably request;
(2) an opinion and negative assurance letter, dated the date of
effectiveness of the Shelf Registration Statement of counsel for the
Company, covering such matters as are customarily covered in opinions and
negative assurance letters requested in underwritten offerings; and
(3) a customary comfort letter, dated the date of effectiveness of the
Shelf Registration Statement, from the Company’s independent accountants, in
the customary form and covering matters of the type customarily requested to
be covered in comfort letters by underwriters in connection with primary
underwritten offerings, and covering or affirming the matters set forth in
the comfort letters delivered pursuant to Section 6(c) of the Purchase
Agreement, without exception;
(B) set forth in full or incorporate by reference in the underwriting
agreement, if any, the indemnification provisions and procedures of Section 8 hereof
with respect to all parties to be indemnified pursuant to said Section; and
(C) deliver such other documents and certificates as may be reasonably
requested by such parties to evidence compliance with Section 6(c)(xi)(A) hereof and
with any customary conditions contained in the underwriting agreement or other
agreement entered into by the Company pursuant to this Section 6(c)(xi), if any.
If at any time when the Shelf Registration Statement is required to be effective under
this Agreement the representations and warranties of the Company contemplated in Section
6(c)(xi)(A)(1) hereof cease to be true and correct, the Company shall so advise the Initial
Purchasers and the underwriter(s), if any, and each selling Holder named therein promptly
and, if requested by such Persons, shall confirm such advice in writing;
(xi) prior to any public offering of Transfer Restricted Notes pursuant to a Shelf
Registration Statement, cooperate with the selling Holders, the underwriter(s), if any, and
their respective counsel in connection with the registration and qualification of the
Transfer Restricted Notes under the state securities or blue sky laws of such jurisdictions
as the selling Holders or underwriter(s), if any, may request and do any and all other
acts or things necessary or advisable to enable the disposition in such jurisdictions of the
Transfer Restricted Notes covered by the Shelf Registration Statement; provided, however,
that the Company shall not be required to register or qualify as a foreign corporation where
it is not then so qualified or to take any action that would subject it to the service of
process in suits or to taxation, other than those arising out of the offering or sale of the
Transfer Restricted Notes, in any jurisdiction where it is not then so subject;
(xii) shall issue, upon the request of any Holder of Transfer Restricted Notes covered
by the Registration Statement, Exchange Notes having an aggregate principal amount equal to
the aggregate principal amount of Transfer Restricted Notes surrendered to the Company by
such Holder in exchange therefor or being sold by such Holder; such Exchange Notes to be
registered in the name of such Holder or in the name of the purchaser(s) of such Notes, as
the case may be; in return, the Transfer Restricted Notes held by such Holder shall be
surrendered to the Company for cancellation;
(xiii) cooperate with the selling Holders and the underwriter(s), if any, to facilitate
the timely preparation and delivery of certificates representing Transfer Restricted Notes
to be sold and not bearing any restrictive legends; and enable such Transfer Restricted
Notes to be in such denominations and registered in such names as the Holders or the
underwriter(s), if any, may request at least two Business Days prior to any sale of Transfer
Restricted Notes made by such Holders or underwriter(s) pursuant to such Shelf Registration
Statement;
(xiv) use its commercially reasonable efforts to cause the Transfer Restricted Notes
covered by the Shelf Registration Statement to be registered with or approved by such other
governmental agencies or authorities as may be necessary to enable the seller or sellers
thereof or the underwriter(s), if any, to consummate the disposition of such Transfer
Restricted Notes, subject to the proviso contained in Section 6(c)(xii) hereof;
(xv) if any fact or event contemplated by Section 6(c)(iii)(D) hereof shall exist or
have occurred, prepare a supplement or post-effective amendment to the Registration
Statement or related Prospectus or any document incorporated therein by reference or file
any other required document so that, as thereafter delivered to the purchasers of Transfer
Restricted Notes, the Prospectus will not contain an untrue statement of a material fact or
omit to state any material fact necessary in order to make the statements therein not
misleading;
(xvi) provide a CUSIP number for all Notes not later than the effective date of the
Registration Statement covering such Notes and provide the Trustee under the Indenture with
printed certificates for such Notes which are in a form eligible for deposit with the
Depository Trust Company and take all other action necessary to ensure that all such Notes
are eligible for deposit with the Depository Trust Company;
(xvii) cooperate and assist in any filings required to be made with the FINRA and in
the performance of any due diligence investigation by any underwriter (including
any
“qualified independent underwriter”) that is required to be retained in accordance with the
rules and regulations of the FINRA;
(xviii) otherwise use its commercially reasonable efforts to comply with all applicable
rules and regulations of the Commission, and make generally available to its security
holders, as soon as practicable, a consolidated earnings statement meeting the requirements
of Rule 158 under the Securities Act (which need not be audited) for the twelve-month period
(A) commencing at the end of any fiscal quarter in which Transfer Restricted Notes are sold
to underwriters in a firm commitment or best efforts Underwritten Offering or (B) if not
sold to underwriters in such an offering, beginning with the first month of the Company’s
first fiscal quarter commencing after the effective date of the Registration Statement;
(xix) cause the Indenture to be qualified under the Trust Indenture Act not later than
the effective date of the first Registration Statement required by this Agreement, and, in
connection therewith, cooperate with the Trustee and the Holders of Notes to effect such
changes to the Indenture as may be required for such Indenture to be so qualified in
accordance with the terms of the Trust Indenture Act; and to execute and use its
commercially reasonable efforts to cause the Trustee to execute, all documents that may be
required to effect such changes and all other forms and documents required to be filed with
the Commission to enable such Indenture to be so qualified in a timely manner;
(xx) cause all Notes covered by the Registration Statement to be listed on each
securities exchange or automated quotation system on which securities of the same class or
series issued by the Company are then listed if requested by the Holders of a majority in
aggregate principal amount of Notes or the managing underwriter(s), if any; and
(xxi) provide promptly to each Holder upon request each document filed with the
Commission pursuant to the requirements of Section 13 and Section 15 of the Exchange Act (if
such document is not otherwise publicly available).
Each Holder agrees by acquisition of a Transfer Restricted Note that, upon receipt of any
notice from the Company of the existence of any fact of the kind described in Section 6(c)(iii)(D)
hereof, such Holder will forthwith discontinue disposition of Transfer Restricted Notes pursuant to
the applicable Registration Statement until such Holder’s receipt of the copies of the supplemented
or amended Prospectus contemplated by Section 6(c)(xvi) hereof, or until it is advised in writing
(the “Advice”) by the Company that the use of the Prospectus may be resumed, and has received
copies of any additional or supplemental filings that are incorporated by reference in the
Prospectus. If so directed by the Company, each Holder will deliver to the Company (at the
Company’s expense) all copies, other than permanent file copies then in such Holder’s possession,
of the Prospectus covering such Transfer Restricted Notes that was current at the time of receipt
of such notice. In the event the Company shall give any such notice, the time period regarding the
effectiveness of such Registration Statement set forth in Section 3 or 4 hereof, as applicable,
shall be extended by the number of days during the period from and including the date of the giving
of such notice pursuant to Section 6(c)(iii)(D) hereof to and including the date when each selling
Holder covered by such Registration Statement shall have received the copies
of the supplemented or
amended Prospectus contemplated by Section 6(c)(xvi) hereof or shall have received the Advice;
provided, however, that no such extension shall be taken into account in determining whether
Additional Interest is due pursuant to Section 5 hereof or the amount of such Additional Interest,
it being agreed that the Company’s option to suspend use of a Registration Statement pursuant to
this paragraph shall be treated as a Registration Default for purposes of Section 5 hereof, except
as otherwise provided therein.
(d) Notwithstanding anything to the contrary contained herein, the Company may suspend the
effectiveness of the Shelf Registration Statement for up to 45 days in any 90-day period but no
more than 90 days in any 360-day period (such period, a “Suspension Period”) (except for the
consecutive 45-day period immediately prior to maturity of the Notes), if there is a possible
acquisition or business combination or other transaction, business development or event involving
the Company that may require disclosure in the Shelf Registration Statement and the Company
determines in the exercise of its reasonable judgment that such disclosure is not in the best
interests of the Company or obtaining any financial statements relating to an acquisition or
business combination required to be included in the Shelf Registration Statement would be
impracticable. If a Suspension Period is triggered, the Company shall promptly notify any such
Holders of the suspension of the effectiveness of the Shelf Registration Statement; provided that
such notice shall not require the Company to disclose the possible acquisition or business
combination or other transaction, business development or event if the Company determines in good
faith that such acquisition or business combination or other transaction, business development or
event should remain confidential. Upon the abandonment, consummation or termination of the
possible acquisition or business combination or other transaction, business development or event or
the availability of the required financial statements with respect to a possible acquisition or
business combination, the suspension of the use of the Shelf Registration Statement pursuant to
this paragraph shall cease and the Company shall promptly notify such Holders that the use of the
prospectus contained in the Shelf Registration Statement as amended or supplemented, as applicable,
may resume. The Company shall provide a reasonable number of copies of the latest version of such
prospectus to such Holders, promptly upon written request, and in no event later than five Business
Days after such request, at any time during such period.
SECTION 7. Registration Expenses.
(a) All expenses incident to the Company’s performance of or compliance with this Agreement
will be borne by the Company, regardless of whether a Registration Statement becomes effective,
including, without limitation: (i) all registration and filing fees and expenses (including filings
made by any Initial Purchaser or Holder with the FINRA (and, if applicable, the reasonable fees and
expenses of any “qualified independent underwriter” and its counsel that may be required by the
rules and regulations of the FINRA; provided, that the Company shall not be responsible for fees
for such counsel in excess of $10,000)); (ii) all fees and expenses of compliance with federal
securities and state securities or blue sky laws; (iii) all expenses of printing (including
printing certificates for the Exchange Notes to be issued in the Exchange Offer and printing of
Prospectuses), messenger and delivery services and telephone; (iv) all fees and disbursements of
counsel for the Company and, subject to Section 7(b) hereof, the Holders of
Transfer Restricted
Notes; (v) if required pursuant to the terms of this Agreement, all application and filing fees in
connection with listing the Exchange Notes on a securities exchange or automated quotation system
pursuant to the requirements thereof; and (vi) all fees and disbursements of independent certified
public accountants of the Company (including the expenses of any special audit and comfort letters
required by or incident to such performance).
The Company will, in any event, bear its internal expenses (including, without limitation, all
salaries and expenses of its officers and employees performing legal or accounting duties), the
expenses of any annual audit and the fees and expenses of any Person, including special experts,
retained by the Company.
(b) In connection with any Registration Statement required by this Agreement (including,
without limitation, the Exchange Offer Registration Statement and the Shelf Registration
Statement), the Company, will reimburse the Initial Purchasers and the Holders of Transfer
Restricted Notes being tendered in the Exchange Offer and/or resold pursuant to the “Plan of
Distribution” contained in the Exchange Offer Registration Statement or registered pursuant to the
Shelf Registration Statement, as applicable, for the reasonable fees and disbursements of not more
than one counsel, who shall be ▇▇▇▇▇ ▇▇▇▇ & ▇▇▇▇▇▇▇▇ LLP or such other counsel as may be
chosen by the Holders of a majority in principal amount of the Transfer Restricted Notes for whose
benefit such Registration Statement is being prepared, in each case up to a maximum of $25,000.
SECTION 8. Indemnification.
(a) The Company agrees to indemnify and hold harmless (i) each Holder, (ii) each Person, if
any, who controls (within the meaning of Section 15 of the Securities Act or Section 20 of the
Exchange Act) any Holder (any of the Persons referred to in this clause (ii) being hereinafter
referred to as a “controlling person”) and (iii) the respective officers, directors, partners,
employees, and agents of any Holder or any controlling person (any Person referred to in clause
(i), (ii) or (iii) may hereinafter be referred to as an “Indemnified Holder”), to the fullest
extent lawful, from and against any and all losses, claims, damages, liabilities, judgments,
actions and expenses (including, without limitation, and as incurred, reimbursement of all
reasonable costs of investigating, preparing, pursuing, settling, compromising, paying or defending
any claim or action, or any investigation or proceeding by any governmental agency or body,
commenced or threatened, including the reasonable fees and expenses of counsel to any Indemnified
Holder), joint or several, directly or indirectly caused by, related to, based upon, arising out of
or in connection with any untrue statement or alleged untrue statement of a material fact contained
in any Registration Statement or Prospectus (or any amendment or supplement thereto), or any
omission or alleged omission to state therein a material fact required to be stated therein or
necessary to make the statements therein not misleading, except insofar as such losses, claims,
damages, liabilities or expenses are caused by an untrue statement or omission or alleged untrue
statement or omission that is made in reliance upon and in conformity with information relating to
any of the Holders furnished in writing to the Company by any of the Holders expressly for use
therein. This indemnity agreement shall be in addition to any liability which the Company may
otherwise have.
In case any action or proceeding (including any governmental or regulatory investigation or
proceeding) shall be brought or asserted against any of the Indemnified Holders with respect to
which indemnity may be sought against the Company, such Indemnified Holder (or the Indemnified
Holder controlled by such controlling person) shall promptly notify the Company in writing;
provided, however, that the failure to give such notice shall not relieve the Company of its
obligations pursuant to this Agreement unless and to the extent such failure to give notice results
in the loss or compromise of any substantial rights or defenses of the Company. The Company shall
be entitled to participate in any such action and, to the extent that it shall wish, to assume the
defense thereof, with counsel reasonable satisfactory to such Indemnified Holder, and, after notice
from the Company to such Indemnified Holder of its election so to assume the defense, thereof, the
Company shall not be liable to such Indemnified Holder pursuant to this Agreement for any legal or
other expenses, in each case subsequently incurred by such Indemnified Holder, in connection with
the defense thereof other than reasonable costs of investigation. Notwithstanding the Company’s
election to appoint counsel to represent the Indemnified Holders in an action, such Indemnified
Holders shall have the right to employ separate counsel (including local counsel), and the Company
shall bear the reasonable fees, costs and expenses of such separate counsel if (i) the use of
counsel chosen by the Company to represent the Indemnified Holders would present such counsel with
a conflict of interest, (ii) the actual or potential defendants in, or targets of, any such action
include both the Indemnified Holders and the Company and the Indemnified Holders shall have
reasonably concluded that there may be legal defenses available to it and/or other Indemnified
Holders which are different from or additional to those available to the Company, (iii) the Company
shall not have employed counsel satisfactory to the Indemnified Holders to represent the
Indemnified Holders within a reasonable time after notice of the institution of such action or (iv)
the Company shall authorize the Indemnified Holders to employ separate counsel at the expense of
the Company. The Company shall not, in connection with any one such action or proceeding or
separate but substantially similar or related actions or proceedings in the same jurisdiction
arising out of the same general allegations or circumstances, be liable for the reasonable fees and
expenses of more than one separate firm of attorneys (in addition to any local counsel) at any time
for such Indemnified Holders. The Company shall be liable for any settlement of any such action or
proceeding effected with the Company’s prior written consent, and the Company agrees to indemnify
and hold harmless any Indemnified Holder from and against any loss, claim, damage, liability or
expense by reason of any settlement of any action effected with the written consent of the Company.
The Company shall not, without the prior written consent of each Indemnified Holder, settle or
compromise or consent to the entry of judgment in or otherwise seek to terminate any pending or
threatened action, claim, litigation or proceeding in respect of which indemnification or
contribution may be sought hereunder (whether or not any Indemnified Holder is a party thereto),
unless such settlement, compromise, consent or termination includes an unconditional release of
each Indemnified Holder from all liability arising out of such action, claim, litigation or
proceeding.
(b) Each Holder of Transfer Restricted Notes agrees, severally and not jointly, to indemnify
and hold harmless the Company, its directors and officers who sign a Registration Statement, and
any Person controlling (within the meaning of Section 15 of the Securities Act or Section 20 of the
Exchange Act) the Company, and the respective officers, directors, partners, employees,
representatives and agents of each such Person, to the same extent as the foregoing
indemnity from
the Company to each of the Indemnified Holders, but only with respect to claims and actions based
on information relating to such Holder furnished by such Holder in writing expressly for inclusion
in any Exchange Offer Registration Statement or Shelf Registration Statement. In case any action
or proceeding shall be brought against the Company or its directors or officers or any such
controlling person in respect of which indemnity may be sought against a Holder of Transfer
Restricted Notes, such Holder shall have the rights and duties given the Company, and the Company,
its directors and officers and such controlling person shall have the rights and duties given to
each Holder by the preceding paragraph.
(c) If the indemnification provided for in this Section 8 is unavailable to an indemnified
party under Section 8(a) or (b) hereof (other than by reason of exceptions provided in those
Sections) in respect of any losses, claims, damages, liabilities, judgments, actions or expenses
referred to therein, then each applicable indemnifying party, in lieu of indemnifying such
indemnified party, shall contribute to the amount paid or payable by such indemnified party as a
result of such losses, claims, damages, liabilities or expenses in such proportion as is
appropriate to reflect the relative benefits received by the Company, on the one hand, and the
Holders, on the other hand, from the Initial Placement (which in the case of the Company shall be
deemed to be equal to the total net proceeds to the Company from the Initial Placement) or if such
allocation is not permitted by applicable law, the relative fault of the Company, on the one hand,
and the Holders, on the other hand, in connection with the statements or omissions which resulted
in such losses, claims, damages, liabilities or expenses, as well as any other relevant equitable
considerations. The relative fault of the Company on the one hand and of the Indemnified Holder on
the other shall be determined by reference to, among other things, whether the untrue or alleged
untrue statement of a material fact or the omission or alleged omission to state a material fact
relates to information supplied by the Company, on the one hand, or the Indemnified Holders, on the
other hand, and the parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission. The amount paid or payable by a party as a result
of the losses, claims, damages, liabilities and expenses referred to above shall be deemed to
include, subject to the limitations set forth in the second paragraph of Section 8(a) hereof, any
legal or other fees or expenses reasonably incurred by such party in connection with investigating
or defending any action or claim.
The Company and each Holder of Transfer Restricted Notes agree that it would not be just and
equitable if contribution pursuant to this Section 8(c) were determined by pro rata allocation
(even if the Holders were treated as one entity for such purpose) or by any other method of
allocation which does not take account of the equitable considerations referred to in the
immediately preceding paragraph. The amount paid or payable by an indemnified party as a result of
the losses, claims, damages, liabilities or expenses referred to in the immediately preceding
paragraph shall be deemed to include, subject to the limitations set forth above, any legal or
other expenses reasonably incurred by such indemnified party in connection with investigating or
defending any such action or claim. Notwithstanding the provisions of this ▇▇▇▇▇▇▇ ▇, ▇▇▇▇ of the
Holders (and its related Indemnified Holders) shall be required to contribute, in the aggregate,
any amount in excess of the amount by which the total price at which the Initial Notes or Exchange
Notes sold by such Holder exceeds the amount of any damages that such Holder has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission or alleged
omission. No Person guilty of fraudulent misrepresentation (within the meaning of Section
11(f) of
the Securities Act) shall be entitled to contribution from any Person who was not guilty of such
fraudulent misrepresentation. The Holders’ obligations to contribute pursuant to this Section 8(c)
are several in proportion to the respective principal amount of Initial Notes held by each of the
Holders hereunder and not joint.
SECTION 9. Rule 144A. The Company hereby agrees with each Holder, for so long as
any Transfer Restricted Notes remain outstanding, to make available to any Holder or
beneficial owner of Transfer Restricted Notes in connection with any sale thereof and any
prospective purchaser of such Transfer Restricted Notes from such Holder or beneficial
owner, the information required by Rule 144A(d)(4) under the Securities Act in order to
permit resales of such Transfer Restricted Notes pursuant to Rule 144A under the
Securities Act.
SECTION 10. Participation in Underwritten Registrations. No Holder may participate
in any Underwritten Registration hereunder unless such Holder (a) agrees to sell such
Holder’s Transfer Restricted Notes on the basis provided in any underwriting arrangements
approved by the Persons entitled hereunder to approve such arrangements and (b) completes
and executes all reasonable questionnaires, powers of attorney, indemnities, underwriting
agreements, lock-up letters and other documents required under the terms of such
underwriting arrangements.
SECTION 11. Selection of Underwriters. The Holders of Transfer Restricted Notes
covered by the Shelf Registration Statement who desire to do so may sell such Transfer
Restricted Notes in an Underwritten Offering. In any such Underwritten Offering, the
investment banker(s) and managing underwriter(s) that will administer such offering will
be selected by the Holders of a majority in aggregate principal amount of the Transfer
Restricted Notes included in such offering; provided, however, that such investment
banker(s) and managing underwriter(s) must be reasonably satisfactory to the Company.
SECTION 12. Miscellaneous.
(a) Remedies. The Company hereby agrees that monetary damages would not be adequate
compensation for any loss incurred by reason of a breach by it of the provisions of this Agreement
and hereby agrees to waive the defense in any action for specific performance that a remedy at law
would be adequate.
(b) No Inconsistent Agreements. The Company will not on or after the date of this Agreement
enter into any agreement with respect to its securities that is inconsistent with the rights
granted to the Holders in this Agreement or otherwise conflicts with the provisions hereof. The
rights granted to the Holders hereunder do not in any way conflict with and are not inconsistent
with the rights granted to the holders of the Company’s securities under any agreement in effect on
the date hereof.
(c) Amendments and Waivers. The provisions of this Agreement may not be amended, modified or
supplemented, and waivers or consents to or departures from the provisions
hereof may not be given
unless the Company has (i) in the case of Section 5 hereof and this Section 12(d)(i), obtained the
written consent of Holders of all outstanding Transfer Restricted Notes and (ii) in the case of all
other provisions hereof, obtained the written consent of Holders of a majority of the outstanding
principal amount of Transfer Restricted Notes (excluding any Transfer Restricted Notes held by the
Company or its Affiliates). Notwithstanding the foregoing, a waiver or consent to departure from
the provisions hereof that relates exclusively to the rights of Holders whose securities are being
tendered pursuant to the Exchange Offer and that does not affect directly or indirectly the rights
of other Holders whose securities are not being tendered pursuant to such Exchange Offer may be
given by the Holders of a majority of the outstanding principal amount of Transfer Restricted Notes
being tendered or registered; provided, however, that, with respect to any matter that directly or
indirectly affects the rights of any Initial Purchaser hereunder, the Company shall obtain the
written consent of each such Initial Purchaser with respect to which such amendment, qualification,
supplement, waiver, consent or departure is to be effective.
(d) Notices. All notices and other communications provided for or permitted hereunder shall
be made in writing by hand-delivery, first-class mail (registered or certified, return receipt
requested), telex, telecopier, or air courier guaranteeing overnight delivery:
(i) if to a Holder, at the address set forth on the records of the Registrar under the
Indenture, with a copy to the Registrar under the Indenture; and
(ii) if to the Company:
PHH Corporation
▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇
▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇
Fax: (▇▇▇) ▇▇▇-▇▇▇▇
Attention: General Counsel
With a copy to:
Skadden, Arps, Slate, ▇▇▇▇▇▇▇ & ▇▇▇▇ LLP & Affiliates
▇ ▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇ ▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
Fax: (▇▇▇) ▇▇▇-▇▇▇▇
Attention: ▇▇▇▇▇▇▇ ▇▇▇▇▇▇
All such notices and communications shall be deemed to have been duly given: at the time
delivered by hand, if personally delivered; five Business Days after being deposited in the mail,
postage prepaid, if mailed; when answered back, if telexed; when receipt acknowledged, if
telecopied; and on the next Business Day, if timely delivered to an air courier guaranteeing
overnight delivery.
Copies of all such notices, demands or other communications shall be concurrently delivered by
the Person giving the same to the Trustee at the address specified in the Indenture.
(e) Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon
the successors and assigns of each of the parties, including, without limitation, and without the
need for an express assignment, subsequent Holders of Transfer Restricted Notes; provided, however,
that this Agreement shall not inure to the benefit of or be binding upon a successor or assign of a
Holder unless and to the extent such successor or assign acquired Transfer Restricted Notes from
such Holder.
(f) Counterparts. This Agreement may be executed in any number of counterparts and by the
parties hereto in separate counterparts, each of which when so executed shall be deemed to be an
original and all of which taken together shall constitute one and the same agreement.
(g) Headings. The headings in this Agreement are for convenience of reference only and shall
not limit or otherwise affect the meaning hereof.
(h) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE
LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO THE CONFLICTS OF LAW RULES THEREOF.
(i) Severability. In the event that any one or more of the provisions contained herein, or
the application thereof in any circumstance, is held invalid, illegal or unenforceable, the
validity, legality and enforceability of any such provision in every other respect and of the
remaining provisions contained herein shall not be affected or impaired thereby.
(j) Entire Agreement. This Agreement is intended by the parties as a final expression of their
agreement and intended to be a complete and exclusive statement of the agreement and understanding
of the parties hereto in respect of the subject matter contained herein. There are no
restrictions, promises, warranties or undertakings, other than those set forth or referred to
herein with respect to the registration rights granted by the Company with respect to the Transfer
Restricted Notes. This Agreement supersedes all prior agreements and understandings between the
parties with respect to such subject matter.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
| PHH CORPORATION |
||||
| By: | /s/ ▇▇▇▇ ▇. ▇▇▇▇▇▇▇ | |||
| Title: SVP & Treasurer | ||||
The foregoing Registration Rights Agreement is hereby confirmed and accepted as of the date
first above written:
BANC OF AMERICA SECURITIES LLC
CITIGROUP GLOBAL MARKETS INC.
▇.▇. ▇▇▇▇▇▇ SECURITIES INC.
RBS SECURITIES INC.
| By: Banc of America Securities LLC |
||||
| By: | /s/ ▇▇▇▇ ▇▇▇▇ | |||
| Title: Managing Director | ||||
| By: Citigroup Global Markets Inc. |
||||
| By: | /s/ ▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇ | |||
| Title: Managing Director | ||||
| By: ▇.▇. ▇▇▇▇▇▇ Securities Inc. |
||||
| By: | /s/ ▇▇▇▇▇ ▇▇▇▇▇▇ | |||
| Title: Executive Director | ||||
| By: RBS Securities Inc. |
||||
| By: | /s/ ▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇ ▇▇ | |||
| Title: Managing Directors | ||||