AMENDMENT NO. 1 TO THE AMENDED AND RESTATED SECURITY AGREEMENT
Exhibit 10-xxx(5)
AMENDMENT NO. 1 TO THE
AMENDED AND RESTATED SECURITY AGREEMENT
AMENDMENT NO. 1, dated as of March 3, 2003 (this "Amendment No. 1"), to the Amended and Restated Security Agreement, dated as of December 21, 2001 (as amended, supplemented or otherwise modified from time to time, the "Security Agreement"), among MEMC Electronic Materials, Inc., a Delaware corporation (the "Borrower"), each subsidiary of the Borrower party thereto (each such subsidiary individually a "Guarantor" and, collectively, the "Guarantors"; and the Guarantors and Borrower are referred to collectively herein as the "Grantors") and Citicorp USA, Inc., as collateral agent (in such capacity, the "Collateral Agent") for the Secured Parties.
W I T N E S S E T H:
WHEREAS, the Borrower entered into a revolving credit agreement, dated as of December 21, 2001, among the Borrower, the lenders party thereto and Citicorp USA, Inc. as administrative agent and collateral agent (as amended, supplemented or otherwise modified from time to time, the "Bank Revolving Credit Agreement"), and contemporaneously therewith, the Fund Guarantors entered into the Guaranty, pursuant to which the Fund Guarantors guaranteed the obligations of the Borrower under the Bank Revolving Credit Agreement;
WHEREAS, pursuant to the Security Agreement, the Grantors agreed to grant to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in the Collateral to secure the obligations of the Borrower under a reimbursement agreement, dated as of December 21, 2001, among the Borrower, the Fund Guarantors and Citicorp USA, Inc. as administrative agent and collateral agent (as amended, supplemented or otherwise modified from time to time, the "Reimbursement Agreement"), pursuant to which the Borrower agreed to reimburse the Fund Guarantors for any and all payments made by the Fund Guarantors under the Guaranty;
WHEREAS, the Borrower has entered into that certain revolving credit agreement, dated as of December 5, 2002, with the lenders party thereto (the "Investor Lenders") and Citicorp USA, Inc. as administrative agent and collateral agent (as amended, supplemented or otherwise modified from time to time, the "Investor Revolving Credit Agreement"), pursuant to which the Investor Lenders agreed to provide the Borrower with a revolving credit facility in an aggregate principal amount not to exceed $35,000,000;
WHEREAS, to induce the Investor Lenders to enter into the Investor Revolving Credit Agreement, the Grantors agreed to grant a senior subordinated security interest in the Collateral (the "Investor Security Interest") to secure the Borrower's obligations under the Investor Revolving Credit Agreement for the ratable benefit of the Secured Parties (as defined in the Investor Revolving Credit Agreement), pursuant to the Security Documents (as defined in the Investor Revolving Credit Agreement);
WHEREAS, the Grantors and the Collateral Agent wish to amend the Security Agreement to, among other things, account for the Investor Security Interest;
WHEREAS, pursuant to Section 7.09 of the Security Agreement, the Security Agreement may be amended or modified pursuant to a written agreement among the Collateral Agent and the Grantors with respect to which such amendment or modification is to apply, subject to any consent required in accordance with Section 8.09 of the Reimbursement Agreement; and
NOW THEREFORE, in consideration of the premises herein, and for other good and valuable
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consideration, the receipt of which is hereby acknowledged, the parties hereto hereby agree as follows:
1. Defined Terms. Unless otherwise defined herein or amended hereby, capitalized terms used herein which are defined in the Security Agreement or the Reimbursement Agreement are used herein as therein defined.
2. Amendments to the Security Agreement.
(a) The definition of "Investor Revolving Credit Agreement" is hereby added in Section 1.01 as follows:(b) The definition of "Investor Revolving Credit Documentation" is hereby added in Section 1.01 as follows:"Investor Revolving Credit Agreement" means the revolving credit agreement dated as of December 5, 2002 among the Borrower, the lenders party thereto and Citicorp USA, Inc. as administrative agent and collateral agent, as such agreement may be further amended, restated, modified or supplemented at any time and from time to time.
(c) The definition of "Investor Revolver Obligations" is hereby added in Section 1.01 as follows:"Investor Revolving Credit Documentation" means, collectively, (i) the Investor Revolving Credit Agreement, (ii) the guarantee agreement, the security agreement, the pledge agreement and the indemnity, subrogation and contribution agreement executed in connection with such Investor Revolving Credit Agreement and (iii) any other security documents or other ancillary documents executed in connection therewith, all as amended, restated, modified or supplemented at any time and from time to time.
"Investor Revolver Obligations" has the meaning assigned to such term in the Investor Revolving Credit Agreement.
(d) Section 3.04 is hereby amended to insert the following sentence at the end of Section 3.04: "For purposes of this Section 3.04, in each place where this Section makes reference to Liens expressly permitted pursuant to Section 6.02 of the Revolving Credit Agreement, the Liens created under the Investor Revolving Credit Documentation shall be considered a Lien expressly permitted pursuant to Section 6.02 of the Revolving Credit Agreement."
(e) Section 6.02 is hereby amended as follows:(i) immediately after the paragraph beginning with "SECOND, to the payment in full of the Revolving Credit Obligations . . ." and before the paragraph beginning with "THIRD, to the payment in full of the Indenture Obligations outstanding . . .", the following paragraph is inserted: "THIRD, to the payment in full of the Investor Revolver Obligations outstanding;";
(ii) the word "THIRD" in the paragraph beginning with "THIRD, to the payment in full of the Indenture Obligations outstanding . . ." is deleted and replaced with the word: "FOURTH"; and
(iii) the word "FOURTH" in the paragraph beginning with "FOURTH, to the Grantors . . ." is deleted and replaced with the word: "FIFTH".
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3. Effectiveness. This Amendment No. 1 shall become effective as of the date first written above (the "First Amendment Effective Date").
4. Reference to and Effect on the Security Agreement.
(a) On or after the First Amendment Effective Date, each reference in the Security Agreement to "this Agreement," "hereunder," "hereof," "herein," or words of like import referring to the Security Agreement, shall mean and be a reference to the Security Agreement, as amended by this Amendment No. 1.
(b) Except as amended hereby, the provisions of the Security Agreement are and shall remain in full force and effect.
(c) This Amendment No. 1 shall not be construed as a waiver or consent to any further or future action on the part of any of the Grantors that would require a waiver or consent of the Collateral Agent.
5. Counterparts. This Amendment No. 1 may be executed in counterparts and all of the said counterparts taken together shall be deemed to constitute one and the same instrument.
6. GOVERNING LAW. THIS AMENDMENT NO. 1 SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.
IN WITNESS WHEREOF, the Borrower, each of the Grantors, the Collateral Agent and the Fund Guarantors have caused this Amendment No. 1 to be executed and delivered by their duly authorized officers as of the date first above written.
| MEMC ELECTRONIC MATERIALS, INC., By: /s/ Xxxxxxx X. Xxxxx Name: Xxxxxxx X. Xxxxx Title: Treasurer | ||
| EACH OF THE GUARANTORS | ||
| MEMC ELECTRONIC MATERIALS, INC., By: /s/ Xxxxxxx X. Xxxxx Name: Xxxxxxx X. Xxxxx, in his capacity as Treasurer for each of the Guarantors | ||
| CITICORP USA, INC. as Collateral Agents By: /s/ Xxxxx Xxxxxx Name: Xxxxx Xxxxxx Title: Vice President | ||
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| TPG WAFER PARTNERS LLC By: Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President | ||
| TPG WAFER MANAGEMENT LLC By: Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President | ||
| Name of Institution: | TPG PARTNERS III, L.P. By: TPG GenPar III, L.P., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | TPG PARALLEL III, L.P. By: TPG GenPar III, L.P., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
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| Name of Institution: | TPG INVESTORS III, L.P. By: TPG GenPar III, L.P., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | FOF PARTNERS III, L.P. By: TPG GenPar III, L.P., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | FOF PARTNERS III-B, L.P. Its General Partner By: TPG Advisors III, Inc., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
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| Name of Institution: | TPG DUTCH PARALLEL III, C.V. By: TPG GenPar Dutch, L.L.C., By: TPG GenPar III,
L.P., By: TPG Advisors III, Inc., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | T3 PARTNERS, L.P. Its General Partner By: T3 Advisors, Inc., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | T3 PARALLEL, L.P. By: T3 GenPar, L.P., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
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| Name of Institution: | T3 INVESTORS, L.P. Its General Partner By: T3 Advisors, Inc., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | T3 DUTCH PARALLEL, C.V. By: T3 GenPar Dutch, L.L.C., By: T3 GenPar,
L.P., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
| Name of Institution: | T3 PARTNERS II, L.P. Its General Partner By: T3 Advisors II, Inc., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President |
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| Name of Institution: | T3 PARALLEL II, L.P. By: T3 GenPar II, L.P.,Its General Partner By: T3 Advisors II, Inc., Its General Partner By: /s/ Xxxxxxx X. Xxxxxxxxx Name: Xxxxxxx X. Xxxxxxxxx Title: Vice President Title: |
| Name of Institution: |
GREEN EQUITY INVESTORS III, L.P. By: /s/ Xxxx Xxxxxxx Name: Xxxx Xxxxxxx Title: |
| Name of Institution: |
GREEN EQUITY INVESTORS SIDE III, L.P. By: GEI Capital III, LLC, as its General Partner By: /s/ Xxxx Xxxxxxx Name: Xxxx Xxxxxxx Title: |
CONSENTED TO AND AGREED:
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| Name of Institution: |
TCW/CRESCENT MEZZANINE PARTNERS III, L.P., TCW/CRESCENT MEZZANINE TRUST III and TCW/CRESCENT MEZZANINE PARTNERS III NETHERLANDS, L.P. By: TCW/Crescent Mezzanine Management III, L.L.C., as Its Investment Manager By: TCW Asset Management Company, as Its Sub- Advisor By: /s/ Xxxx-Xxxx Xxxxxx Name: Xxxx-Xxxx Xxxxxx Title: Group Managing Director |
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