FIRST AMENDMENT TO THE SECOND AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT
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EXHIBIT 4.2
FIRST AMENDMENT
TO THE
SECOND AMENDED AND RESTATED
REVOLVING CREDIT AGREEMENT
THIS FIRST AMENDMENT TO THE SECOND AMENDED AND RESTATED REVOLVING
CREDIT AGREEMENT (this "Amendment") dated as of March 31, 1998, is among:
(a) ▇▇▇▇▇▇▇▇-▇▇▇▇▇▇ INDUSTRIES, INC., a Delaware
corporation (the "Company");
(b) the banks and other financial institutions named
under the caption "Banks" on the signature pages hereof (the "Banks");
(c) BANK OF AMERICA NATIONAL TRUST AND SAVINGS
ASSOCIATION, ▇▇▇▇▇▇ GUARANTY TRUST COMPANY OF NEW YORK AND NATIONSBANK OF
TEXAS, N.A., as co-agents for the Banks (in such capacity the "Co-Agents");
(d) CREDIT SUISSE FIRST BOSTON (formerly CREDIT SUISSE),
as documentation agent for the Banks (in such capacity the "Documentation
Agent");
(e) CHASE BANK OF TEXAS, NATIONAL ASSOCIATION (formerly
Texas Commerce Bank National Association), a national banking association, as
administrative agent for the Banks (in such capacity the "Administrative
Agent"); and
(f) THE CHASE MANHATTAN BANK (formerly Chemical Bank), a
New York banking corporation, as auction administration agent for the Banks (in
such capacity the "Auction Administration Agent").
PRELIMINARY STATEMENT
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(a) The Company has entered into a Second Amended and Restated
Revolving Credit Agreement dated as of May 31, 1995 (the "Credit Agreement")
with the Banks, the Co-Agents, the Documentation Agent, the Auction
Administration Agent and the Administrative Agent. As of the date hereof there
are no Borrowing Subsidiaries. Capitalized terms used in this Amendment shall
have the respective meanings specified in the Credit Agreement.
(b) The Company has requested that the Credit Agreement be
amended to (i) modify the definition of Consolidated Net Worth, (ii) add a
definition of ACE Securities and (iii) modify Section 5.06 thereof.
NOW, THEREFORE, in consideration of the premises and other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged by the parties hereto, the Company, the Banks, the Co-Agent, the
Documentation Agent, the Auction Administration Agent and the Administrative
Agent hereby agree as follows:
SECTION 1. Amendments to Section 1.01 of the Credit Agreement. (a)
The definition of the term "Consolidated Net Worth" contained in Section 1.01
of the Credit Agreement is hereby amended in its entirety to read as follows:
" 'Consolidated Net Worth' means, with respect to the Company,
the stockholders' equity of the Company determined in accordance with
generally accepted accounting principles applied on a consistent
basis; provided, however, the $409,659,000 of capital stock to be
issued upon the maturity of the ACE Securities on June 30, 1998 shall
be included on a pro forma basis from and after March 31, 1998 for
purposes of determining Consolidated Net Worth; provided further,
however, the amount of any foreign currency translation adjustment
shall not be included for purposes of determining Consolidated Net
Worth."
(b) Section 1.01 of the Credit Agreement is hereby
amended to add the following definition of ACE Securities:
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" 'ACE Securities' means 11,499,200 7.25% Automatic Common
Exchange Securities issued by the Company in July 1995, in an
aggregate stated amount of $409,659,000 and which mature June 30,
1998."
SECTION 2. Amendment to Section 5.06 of the Credit Agreement.
Section 5.06 of the Credit Agreement is hereby amended in its entirety to read
as follows:
"SECTION 5.06. Financial Covenants. The Company shall not
permit Consolidated Net Worth (i) at any time during the fiscal year
ending September 30, 1998 to be less than $1,200,000,000 and (ii) at
any time during each fiscal year thereafter to be less than an amount
equal to the sum of (A) the amount of Consolidated Net Worth required
under this Section 5.06 for the immediately preceding fiscal year plus
(B) 20% of Consolidated Net Income for such immediately preceding
fiscal year; provided, however, if Consolidated Net Income in any such
preceding fiscal year is less than zero, the amount to be aggregated
for such fiscal year shall be zero."
SECTION 3. Conditions to Effectiveness. This Amendment shall become
effective when, and only when, the following conditions have been fulfilled:
(a) the Company and the Majority Banks shall have executed a
counterpart of this Amendment;
(b) the Administrative Agent shall have executed a counterpart of
this Amendment and shall have received counterparts of this Amendment executed
by the Company and the Majority Banks;
(c) the Company shall have delivered to the Administrative Agent
such other documents and instruments, if any, as it may reasonably request.
SECTION 4. Representations and Warranties True; No Default or Event
of Default. The Company hereby represents and warrants to the Administrative
Agent and the Banks that after giving effect to the execution and delivery of
this Amendment: (a) the representations and warranties set forth in the Credit
Agreement are true and correct on the date hereof as though made on and as of
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such date except for any such representations and warranties as are by their
terms limited to a specific earlier date (in which case such representations
and warranties shall have been true and correct on and as of such earlier
date); provided however, (i) the reference in the first sentence of Section
4.07 of the Credit Agreement to the Company's financial statements contained in
the Company's Annual Report on Form 10-K shall be a reference to the audited
consolidated financial statements of the Company most recently delivered to the
Administrative Agent and the Banks by the Company pursuant to Section 5.07(a)
of the Credit Agreement prior to the date of this Amendment and (ii) the
reference in the last sentence of Section 4.07 of the Credit Agreement to
September 30, 1994, shall be a reference to the date of the audited
consolidated financial statements most recently delivered to the Administrative
Agent and the Banks pursuant to Section 5.07(a) of the Credit Agreement; and
(b) no Default or Event of Default has occurred and is continuing.
SECTION 5. Reference to the Credit Agreement and Effect on the
Notes.
(a) Upon the effectiveness of this Amendment, each reference in
the Credit Agreement to "this Agreement," "hereunder," "herein" or words of
like import shall mean and be a reference to the Credit Agreement, as amended
and affected hereby.
(b) Upon the effectiveness of this Amendment, each reference in
the Notes to "the Credit Agreement" shall mean and be a reference to the Credit
Agreement, as amended and affected hereby.
(c) Upon the effectiveness of this Amendment, each reference in
the Credit Agreement and the Notes to "Consolidated Net Worth" shall mean and
be a reference to such term as modified pursuant to Section 1.
(d) The Credit Agreement and the Notes, as amended and affected
hereby, shall remain in full force and effect and are hereby ratified and
confirmed.
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SECTION 6. GOVERNING LAW. THIS AMENDMENT SHALL BE GOVERNED BY, AND
CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF TEXAS
AND APPLICABLE FEDERAL LAW AND SHALL BE BINDING UPON THE COMPANY, THE BANKS,
THE CO-AGENTS, THE DOCUMENTATION AGENTS, THE AUCTION ADMINISTRATION AGENT AND
THE ADMINISTRATIVE AGENT AND THEIR RESPECTIVE SUCCESSORS AND ASSIGNS.
SECTION 7. Descriptive Headings. The section headings appearing in
this Amendment have been inserted for convenience only and shall be given no
substantive meaning or significance whatever in construing the terms and
provisions of this Amendment.
SECTION 8. FINAL AGREEMENT OF THE PARTIES. THE CREDIT AGREEMENT
AS MODIFIED BY THIS AMENDMENT, THE NOTES, THE ADMINISTRATIVE AGENT'S LETTER AND
THE AUCTION ADMINISTRATION AGENT'S LETTER CONSTITUTE A "LOAN AGREEMENT" AS
DEFINED IN SECTION 26.02(a) OF THE TEXAS BUSINESS & COMMERCE CODE, REPRESENT
THE FINAL AGREEMENT BETWEEN THE PARTIES RELATING TO THE SUBJECT MATTER HEREOF
AND THEREOF AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS
OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL
AGREEMENTS BETWEEN THE PARTIES RELATING TO THE SUBJECT MATTER HEREOF AND
THEREOF.
SECTION 9. Execution in Counterparts. This Amendment may be
executed in any number of counterparts and by different parties hereto in
separate counterparts, each of which when so
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executed shall be deemed to be an original and all of which taken together
shall constitute one and the same agreement.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be executed by their respective officers thereunto duly authorized as of the
date first above written.
▇▇▇▇▇▇▇▇-▇▇▇▇▇▇ INDUSTRIES, INC.
By:
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Name:
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Title:
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Documentation Agent
CREDIT SUISSE FIRST BOSTON (FORMERLY
CREDIT SUISSE),
AS DOCUMENTATION AGENT
By:
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Name:
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Title:
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By:
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Name:
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Title:
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Administrative Agent
CHASE BANK OF TEXAS, NATIONAL
ASSOCIATION (FORMERLY TEXAS
COMMERCE BANK NATIONAL
ASSOCIATION), AS ADMINISTRATIVE
AGENT
By:
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Name:
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Title:
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Auction Administration Agent
THE CHASE MANHATTAN BANK (FORMERLY
CHEMICAL BANK), AS AUCTION
ADMINISTRATION AGENT
By:
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Name:
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Title:
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Co-Agent
BANK OF AMERICA NATIONAL TRUST AND
SAVINGS ASSOCIATION, AS CO-AGENT
By:
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Name:
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Title:
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Co-Agent
▇▇▇▇▇▇ GUARANTY TRUST COMPANY OF NEW
YORK, AS CO-AGENT
By:
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Name:
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Title:
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Co-Agent
NATIONSBANK OF TEXAS, N.A., AS CO-AGENT
By:
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Name:
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Title:
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Banks:
ABN AMRO BANK, N.V., HOUSTON AGENCY
By:
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Name:
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Title:
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By:
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Name:
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Title:
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BANK OF AMERICA NATIONAL TRUST AND
SAVINGS ASSOCIATION
By:
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Name:
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Title:
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BANQUE NATIONALE DE ▇▇▇▇▇ ▇▇▇▇▇▇▇
AGENCY
By:
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Name:
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Title:
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THE CHASE MANHATTAN BANK
By:
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Name:
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Title:
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CIBC, INC.
By:
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Name:
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Title:
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CITICORP USA, INC.
By:
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Name:
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Title:
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COMERICA BANK
By:
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Name:
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Title:
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CREDIT LYONNAIS
NEW YORK BRANCH
By:
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Name:
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Title:
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CREDIT SUISSE FIRST BOSTON (FORMERLY
CREDIT SUISSE)
By:
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Name:
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Title:
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By:
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Name:
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Title:
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DEUTSCHE BANK AG NEW YORK BRANCH AND
CAYMAN ISLAND BRANCH
By:
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Name:
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Title:
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By:
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Name:
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Title:
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▇▇▇▇▇ FARGO BANK (TEXAS), N.A.
(FORMERLY FIRST INTERSTATE BANK OF
TEXAS, N.A.)
By:
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Name:
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Title:
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THE FIRST NATIONAL BANK OF CHICAGO
By:
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Name:
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Title:
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THE FUJI BANK, LIMITED
By:
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Name:
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Title:
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THE INDUSTRIAL BANK OF JAPAN TRUST
COMPANY
By:
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Name:
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Title:
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S.P.A.
By:
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Name:
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Title:
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By:
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Name:
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Title:
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MELLON BANK, N.A.
By:
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Name:
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Title:
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▇▇▇▇▇▇ GUARANTY TRUST COMPANY OF NEW
YORK
By:
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Name:
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Title:
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NATIONSBANK OF TEXAS, N.A.
By:
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Name:
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Title:
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NATIONAL WESTMINSTER BANK PLC
By:
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Name:
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Title:
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By:
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Name:
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Title:
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SOCIETE GENERALE,
SOUTHWEST AGENCY
By:
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Name:
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Title:
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THE SUMITOMO BANK, LIMITED
By:
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Name:
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Title:
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SUNTRUST BANK, ATLANTA
By:
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Name:
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Title:
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By:
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Name:
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Title:
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▇▇▇▇▇ ▇▇▇▇ ▇▇ ▇▇▇▇▇, NATIONAL
ASSOCIATION (FORMERLY TEXAS
COMMERCE BANK NATIONAL ASSOCIATION)
By:
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Name:
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Title:
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TORONTO DOMINION [TEXAS], INC.
By:
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Name:
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Title:
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▇▇
▇▇▇▇▇ ▇▇▇▇ ▇▇ ▇▇▇▇▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇
BRANCH
By:
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Name:
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Title:
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By:
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Name:
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Title:
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WACHOVIA BANK OF GEORGIA, N.A.
By:
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Name:
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Title:
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COMMERZBANK AKTIENGESELLSCHAFT,
ATLANTA AGENCY
By:
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Name:
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Title:
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By:
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Name:
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Title:
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CREDITO ITALIANO
By:
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Name:
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Title:
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By:
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Name:
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Title:
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THE SANWA BANK LIMITED,
DALLAS AGENCY
By:
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Name:
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Title:
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▇▇▇▇▇▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇
BRANCH
By:
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Name:
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Title:
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By:
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Name:
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Title:
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BANK OF HAWAII
By:
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Name:
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Title:
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▇▇▇ ▇▇▇▇ ▇▇ ▇▇▇ ▇▇▇▇
By:
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Name:
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Title:
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NATIONAL BANK OF COMMERCE
By:
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Name:
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Title:
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