500,000,000 2,000,000 Shares NRG Energy, Inc. 5.750 % MANDATORY CONVERTIBLE PREFERRED STOCK UNDERWRITING AGREEMENT
Exhibit 1.02
$500,000,000
2,000,000 Shares
2,000,000 Shares
5.750 % MANDATORY CONVERTIBLE PREFERRED STOCK
January 25, 2006
January 25, 2006
To the Representatives of the Underwriters named in Schedule I hereto
Ladies and Gentlemen:
NRG Energy, Inc., a Delaware corporation (the “Company”), proposes to issue and sell to the
underwriters named in Schedule I hereto (the “Underwriters”), for whom you are acting as
representatives (the “Representatives”), 2,000,000 shares of its 5.750 % mandatory convertible
preferred stock, par value $0.01 per share (the “Firm Shares”). The Company also proposes to issue
and sell to the Underwriters named in Schedule I not more than an additional 300,000 shares of its
5.750 % mandatory convertible preferred stock, par value $0.01 per share (the “Additional Shares”)
if and to the extent that the Representatives shall have determined to exercise, on behalf of the
Underwriters, the right to purchase such shares of 5.750 % mandatory convertible preferred stock
granted to the Underwriters in Section 2 hereof. The Firm Shares and the Additional Shares are
hereinafter collectively referred to as the “Shares.” The shares of 5.750 % mandatory convertible
preferred stock, par value $0.01 per share, of the Company to be outstanding after giving effect to
the sales contemplated hereby are hereinafter referred to as the “5.750 % Mandatory Convertible
Preferred Stock.”
The Company has filed with the Securities and Exchange Commission (the “Commission”) a
registration statement, including a prospectus (the file number of which is set forth in Schedule I
hereto), on Form S-3, relating to securities (the “Shelf Securities"), including the Shares, to be
issued from time to time by the Company. The registration statement as amended to the date of this
Agreement, including the information (if any) deemed to be part of the registration statement at
the time of effectiveness pursuant to Rule 430B under the Securities Act of 1933, as amended (the
"Securities Act”), is hereinafter referred to as the “Registration Statement,” and the related
prospectus covering the Shelf Securities dated December 21, 2005 in the form first used to confirm
sales of the Shares (or in the form first made available to the Underwriters by the Company to meet
requests of purchasers pursuant to Rule 173 under the Securities Act) is hereinafter referred to as
the “Basic Prospectus.” The Basic Prospectus, as supplemented by the prospectus supplement
specifically relating to the Shares in the form first used to confirm sales of the Shares (or in
the form first made available to the Underwriters by the Company to meet requests of purchasers
pursuant to Rule 173 under the Securities Act) is hereinafter referred to as the “Prospectus,” and
the term “preliminary prospectus” means any preliminary
form of the Prospectus. For purposes of this Agreement, “free writing prospectus” has the
meaning set forth in Rule 405 under the Securities Act (which does not include communications not
deemed a prospectus pursuant to Rule 134 of the Securities Act and historical issuer information
meeting the requirements of Rule 433(e)(2) of the Securities Act), and “Time of Sale Prospectus”
means the Basic Prospectus, each preliminary prospectus, and each free writing prospectus, if any,
each identified in Schedule II hereto. As used herein, the terms “Registration Statement,” “Basic
Prospectus,” “preliminary prospectus,” “Time of Sale Prospectus” and “Prospectus” shall include the
documents, if any, incorporated by reference therein. The terms “supplement,” “amendment,” and
"amend” as used herein with respect to the Registration Statement, the Basic Prospectus, the Time
of Sale Prospectus, any preliminary prospectus or any free writing prospectus shall include all
documents subsequently filed by the Company with the Commission pursuant to the Securities Exchange
Act of 1934, as amended (the “Exchange Act”), that are deemed to be incorporated by reference
therein.
1. Representations and Warranties. The Company represents and warrants to and agrees with
each of the Underwriters that:
(a) The Registration Statement has become effective; no stop order suspending the
effectiveness of the Registration Statement is in effect, and no proceedings for such purpose are
pending before, or to the knowledge of the Company, threatened by the Commission. The Company is a
well-known seasoned issuer (as defined in Rule 405 under the Securities Act) eligible to use the
Registration Statement as an automatic shelf registration statement and the Company has not
received notice that the Commission objects to the use of the Registration Statement as an
automatic shelf registration statement pursuant to Rule 401(g)(2) of the Securities Act.
(b) (i) Each document, if any, filed or to be filed pursuant to the Exchange Act and
incorporated by reference in the Time of Sale Prospectus or the Prospectus complied or will comply
when so filed in all material respects with the Exchange Act and the applicable rules and
regulations of the Commission thereunder, (ii) each part of the Registration Statement, when such
part became effective, did not contain, and each such part, as amended or supplemented, if
applicable, will not contain any untrue statement of a material fact or omit to state a material
fact required to be stated therein or necessary to make the statements therein not misleading,
(iii) the Registration Statement as of the date hereof does not contain any untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary to make
the statements therein not misleading, (iv) the Registration Statement and the Prospectus comply,
and as amended or supplemented, if applicable, will comply in all material respects with the
Securities Act and the applicable rules and regulations of the Commission
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thereunder, (v) the Time of Sale Prospectus does not, and at the time of each sale of the
Shares in connection with the offering and at the Closing Date (as defined in Section 4), the Time
of Sale Prospectus, as then amended or supplemented by the Company, if applicable, will not,
contain any untrue statement of a material fact or omit to state a material fact necessary to make
the statements therein, in the light of the circumstances under which they were made, not
misleading and (vi) the Prospectus does not contain and, as amended or supplemented, if applicable,
will not contain any untrue statement of a material fact or omit to state a material fact necessary
to make the statements therein, in the light of the circumstances under which they were made, not
misleading, except that the representations and warranties set forth in this paragraph do not apply
to statements or omissions in the Registration Statement, the Time of Sale Prospectus or the
Prospectus, each as amended or supplemented, based upon information relating to any Underwriter
furnished to the Company in writing by such Underwriter through the Representatives expressly for
use therein.
(c) The Company is not an “ineligible issuer” in connection with the offering pursuant to
Rules 164, 405 and 433 under the Securities Act. Any free writing prospectus that the Company is
required to file pursuant to Rule 433(d) under the Securities Act has been, or will be, filed with
the Commission in accordance with the requirements of the Securities Act and the applicable rules
and regulations of the Commission thereunder. Each free writing prospectus that the Company has
filed, or is required to file, pursuant to Rule 433(d) under the Securities Act or that was
prepared by or on behalf of or used or referred to by the Company complies or will comply in all
material respects with the requirements of the Securities Act and the applicable rules and
regulations of the Commission thereunder. Except for the free writing prospectuses, if any,
identified in Schedule II hereto, and electronic road shows each furnished to you before first use,
the Company has not prepared, used or referred to, and will not, without your prior consent,
prepare, use or refer to, any free writing prospectus.
(d) The Company has been duly incorporated, is validly existing as a corporation in good
standing under the laws of the state of Delaware, has the corporate power and authority to own its
property and to conduct its business as described in the Time of Sale Prospectus, Prospectus and
Registration Statement and is duly qualified to transact business and is in good standing in each
jurisdiction in which the conduct of its business or its ownership or leasing of property requires
such qualification, except (i) to the extent that the failure to be so qualified or be in good
standing would not have a material adverse effect on the business or result of operations of the
Company and its subsidiaries, taken as a whole (a “Material Adverse Effect”) and (ii) for
jurisdictions not recognizing the legal concepts of good standing or qualification.
3
(e) Each domestic subsidiary of the Company has been duly organized, is validly existing in
good standing under the laws of the jurisdiction of its organization, has the power and authority
to own its property and to conduct its business as described in the Time of Sale Prospectus,
Prospectus and Registration Statement and is duly qualified to transact business and is in good
standing in each jurisdiction in which the conduct of its business or its ownership or leasing of
property requires such qualification, except (i) to the extent that the failure to be so qualified
or be in good standing would not have a Material Adverse Effect on the Company and its
subsidiaries, taken as a whole and (ii) for jurisdictions not recognizing the legal concepts of
good standing or qualification. Except as set forth in the Registration Statement, Time of Sale
Prospectus and Prospectus, all of the issued shares of capital stock, or equity interests, as
applicable of each subsidiary of the Company have been duly and validly authorized and issued, are
fully paid and non-assessable and (except (i) for directors’ qualifying share or foreign national
qualifying capital stock, and (ii) as pledged to secure indebtedness of the Company and/or its
subsidiaries pursuant to credit facilities, indentures and other instruments evidencing
indebtedness as set forth in the Exchange Act Reports of the Company, Registration Statement, Time
of Sale Prospectus and Prospectus and existing on the date hereof) are owned directly by the
Company, free and clear of all liens, encumbrances, equities or claims.
(f) This Agreement has been duly authorized, executed and delivered by the Company.
(g) The authorized capital stock of the Company conforms as to legal matters to the
description thereof contained in each of the Time of Sale Prospectus, the Prospectus, and the
Registration Statement.
(h) The Shares have been duly authorized and, when issued and delivered in accordance with the
terms of this Agreement against payment of the consideration set forth herein, will be validly
issued, fully paid and non-assessable, and the issuance of such Shares will not be subject to any
preemptive or similar rights.
(i) The execution and delivery by the Company of, and the performance by the Company of its
obligations under, this Agreement will not contravene (i) any provision of the amended and restated
certificate of incorporation or the amended and restated by-laws of the Company, (ii) or any
agreement or other instrument binding upon the Company or any of its subsidiaries that is material
to the Company and its subsidiaries, taken as a whole, (iii) or any applicable law or judgment,
order or decree of any governmental body, agency or court having jurisdiction over the Company or
any subsidiary except that, in the case of clauses (ii) and (iii), for any contravention that would
not have a Material Adverse Effect on the Company. No consent, approval, authorization or order
of, or qualification with, any governmental body or agency
4
is required for the performance by the Company of its obligations under this Agreement except
(x) for such consent, approvals, authorizations, orders or qualifications that have been obtained
or where failure to do so would not have a Material Adverse Effect on the Company and (y) for the
registration of the Shares under the Securities Act and such as may be required by the securities
or Blue Sky laws of the various states in connection with the offer and sale of the Shares.
(j) There has not occurred any material adverse change, or any development involving a
prospective material adverse change, in the condition, financial or otherwise, or in the earnings,
business or operations of the Company and its subsidiaries, taken as a whole, from that set forth
in the Time of Sale Prospectus, the Prospectus, and the Registration Statement.
(k) There are no legal or governmental proceedings pending or, to the knowledge of the
Company, threatened to which the Company or any of its subsidiaries is a party or to which any of
the properties of the Company or any of its subsidiaries is subject other than proceedings that are
disclosed or described in all material respects in the Registration Statement, Time of Sale
Prospectus, or the Prospectus and proceedings that are not expected to have a Material Adverse
Effect, and there are no statutes, regulations, contracts or other documents that are required to
be described in the Registration Statement, Time of Sale Prospectus, or the Prospectus or to be
filed as exhibits to the Registration Statement that are not described in all material respects or
filed, or incorporated by reference as required.
(l) Each preliminary prospectus supplement filed pursuant to Rule 424 under the Securities
Act, complied when so filed in all material respects with the Securities Act and the applicable
rules and regulations of the Commission thereunder.
(m) The Company is not, and after giving effect to the offering and sale of the Shares and the
application of the proceeds thereof as described in the Prospectus will not be, required to
register as an “investment company” as such term is defined in the Investment Company Act of 1940,
as amended.
(n) Neither the Company nor any subsidiary of the Company is, or after giving effect to the
offering and sale of the Shares and the application of the proceeds thereof as described in the
Prospectus, will be, subject to regulation under the Public Utility Holding Company Act of 1935
(“PUHCA”) as a “holding company,” a “public-utility company” or, to the knowledge of Company, a
“subsidiary company” of a “holding company,” in each case as such terms are defined in PUHCA;
provided that after February 8, 2006, the representation and warranty of this section (0) shall be
of no force and effect.
5
(o) Except as set forth in the Registration Statement, the Time of Sale Prospectus, or
Prospectus, each subsidiary of the Company that is subject to regulation as a “public utility” as
such term is defined in the Federal Power Act (“FPA”) has an order from the Federal Energy
Regulatory Commission, not subject to any pending challenge, investigation, complaint, or other
proceeding (other than generic proceedings generally applicable in the industry) (i) authorizing
such subsidiary to engage in wholesale sales of electricity and, to the extent permitted under its
market-based rate tariff, other transactions at market-based rates and (y) granting such waivers
and blanket authorizations as are customarily granted to entities with market-based rate authority,
including blanket authorizations to issue securities and to assume liabilities pursuant to Section
204 of the FPA.
(p) With respect to any subsidiary that owns a “Qualifying Facility” (“QF”) as defined under
the Public Utility Regulatory Policies Act and the current rules and regulations promulgated
thereunder (“PURPA”), such facility is a QF under PURPA.
(q) Except as disclosed in the Registration Statement, the Time of Sale Prospectus, or
Prospectus, and except for such matters as would not, individually or in the aggregate, result in a
Material Adverse Effect, the Company or any of its subsidiaries (1) are conducting and have
conducted their businesses, operations and facilities in compliance with Environmental Laws (as
defined below); (2) have duly obtained, possess, maintain in full force and effect, and have
fulfilled and performed all of their obligations under any and all permits, licenses or
registrations required under Environmental Law (“Environmental Permits”); (3) have not received any
notice from a governmental authority or any other third party alleging any violation of
Environmental Law or liability thereunder; (4) are not subject to any pending or, to the best
knowledge of the Company or any of its subsidiaries, threatened claim in writing or other legal
proceeding under any Environmental Laws against the Company or any of its subsidiaries; and (5) do
not have knowledge of any applicable Environmental Laws, or any unsatisfied conditions in an
Environmental Permit, that, individually or in the aggregate, can reasonably be expected to require
any material capital expenditures for either the installation of new pollution control equipment,
or a switch in a project’s fuel or any other material modification of current operations in order
to maintain the Company’s or the subsidiaries’ compliance with Environmental Law. As used in this
paragraph, “Environmental Laws” means any and all applicable foreign, federal, state and local
laws and regulations, or any enforceable administrative or judicial interpretation thereof,
relating to pollution or the protection of human health or the environment, including, without
limitation, those relating to (i) emissions, discharges or releases of Hazardous Substances into
ambient air, surface water, groundwater or land, (ii) the generation, manufacture, processing,
distribution, use, treatment, storage, disposal, release, transport or handling of, or
6
exposure to, Hazardous Substances, (iii) the protection of wildlife or endangered or
threatened species, or (iv) the investigation, remediation or cleanup of any Hazardous Substances.
As used in this paragraph, “Hazardous Substances” means pollutants, contaminants, hazardous
substances, materials or wastes, petroleum, petroleum products and their breakdown constituents, or
any other chemical substance regulated under Environmental Laws.
(r) Except as described in the Time of Sale Prospectus, the Prospectus, and the Registration
Statement, the Company has not sold, issued or distributed any shares of 5.750 % Mandatory
Convertible Preferred Stock during the six-month period preceding the date hereof, including any
sales pursuant to Rule 144A under, or Regulation D or S of, the Securities Act, other than shares
issued pursuant to employee benefit plans, qualified stock option plans or other employee
compensation plans or pursuant to outstanding options, rights or warrants.
2. Agreements to Sell and Purchase. The Company hereby agrees to sell to the several
Underwriters, and each Underwriter, upon the basis of the representations and warranties herein
contained, but subject to the conditions hereinafter stated, agrees, severally and not jointly, to
purchase from the Company the respective numbers of Firm Shares set forth in Schedule I hereto
opposite its name at $250.00 a share (the “Purchase Price”).
On the basis of the representations and warranties contained in this Agreement, and subject to
its terms and conditions, the Company agrees to sell to the Underwriters the Additional Shares, and
the Underwriters shall have the right to purchase, severally and not jointly, up to 300,000
Additional Shares at the Purchase Price. You may exercise this right on behalf of the Underwriters
in whole or from time to time in part by giving written notice not later than 30 days after the
date of the Final Prospectus Supplement. Any exercise notice shall specify the number of
Additional Shares to be purchased by the Underwriters and the date on which such shares are to be
purchased. Each purchase date must be at least one business day after the written notice is given
and may not be earlier than the closing date for the Firm Shares nor later than ten business days
after the date of such notice. Additional Shares may be purchased as provided in Section 4 hereof
solely for the purpose of covering over-allotments made in connection with the offering of the Firm
Shares. On each day, if any, that Additional Shares are to be purchased (an “Option Closing
Date”), each Underwriter agrees, severally and not jointly, to purchase the number of Additional
Shares (subject to such adjustments to eliminate fractional shares as you may determine) that bears
the same proportion to the total number of Additional Shares to be purchased on such Option Closing
Date as the number of Firm Shares set forth in Schedule I hereto opposite the name of such
Underwriter bears to the total number of Firm Shares.
7
3. Terms of Public Offering. The Company is advised by you that the Underwriters propose to
make a public offering of their respective portions of the Shares as soon after this Agreement has
become effective as in your judgment is advisable. The Company is further advised by you that the
Shares are to be offered to the public initially at $250.00 a share (the “Public Offering Price”)
and to certain dealers selected by the Representatives at a price that represents a concession not
in excess of $4.125 a share under the Public Offering Price.
4. Payment and Delivery. Payment for the Firm Shares shall be made to the Company by wire
transfer in immediately available funds, or other funds immediately available in New York City on
the closing date and time set forth in Schedule I hereto, or at such other time on the same or such
other date, not later than the fifth business day thereafter, as may be designated by you in
writing. The time and date of such payment are hereinafter referred to as the “Closing Date.”
Payment for any Additional Shares shall be made to the Company by wire transfer in immediately
available funds, or other funds immediately available in New York City against delivery of such
Additional Shares for the respective accounts of the several Underwriters at 10:00 a.m., New York
City time, on the applicable Option Closing Date or at such other time on the same or on such other
date, in any event not later than February 25, 2006, as shall be designated in writing by you.
The Firm Shares and Additional Shares shall be registered in such names and in such
denominations as you shall request in writing not later than one full business day prior to the
Closing Date or the applicable Option Closing Date, as the case may be. The Firm Shares and
Additional Shares shall be delivered to you on the Closing Date or an Option Closing Date, as the
case may be, for the respective accounts of the several Underwriters, with any transfer taxes
payable in connection with the transfer of the Shares to the Underwriters duly paid, against
payment of the Purchase Price therefor.
5. Conditions to the Underwriters’ Obligations. The several obligations of the Underwriters
are subject to the following conditions:
(a) Subsequent to the execution and delivery of this Agreement and prior to the Closing Date:
(i) there shall not have occurred any downgrading, nor shall the Company have
received any notice from any “nationally recognized statistical rating organization,” as
such term is defined for purposes of Rule 436(g)(2) under the Securities Act of any
intended or potential downgrading or of any review for a possible change that does not
indicate the direction of the possible change, in the rating accorded the Company
8
or any of the securities of the Company or any of its subsidiaries or in the rating
outlook for the Company; and
(ii) there shall not have occurred any change, or any development involving a
prospective change, in the condition, financial or otherwise, or in the earnings, business
or operations of the Company and its subsidiaries, taken as a whole, from that set forth
in the Time of Sale Prospectus that, in the judgment of the Representatives, is material
and adverse and that makes it, in the judgment of the Representatives, impracticable or
inadvisable to proceed with the offer, sale and delivery of the Shares, or market the
Shares on the terms and in the manner contemplated in this Agreement and the Time of Sale
Prospectus.
(b) The Underwriters shall have received on the Closing Date a certificate, dated the Closing
Date and signed by an executive officer of the Company, to the effect set forth in Section 5(a)(1)
above and to the effect that the representations and warranties of the Company contained in this
Agreement that are not qualified by materiality are true and correct in all material respects, and
that the representations and warranties of the Company contained in this Agreement that are
qualified by materiality are true and correct, in each case, as of the Closing Date, and that the
Company has complied in all material respects with all of the agreements and satisfied all of the
conditions on its part to be performed or satisfied hereunder on or before the Closing Date.
The officer signing and delivering such certificate may rely upon the best of his or her
knowledge as to proceedings threatened.
(c) The Underwriters shall have received on the Closing Date an opinion of and a negative
assurance letter of Skadden, Arps, Slate, Xxxxxxx & Xxxx LLP and/or Xxxxxxxx & Xxxxx LLP, outside
counsel for the Company, dated the Closing Date, to the effect set forth on Schedule III.
Additionally, Xxx X’Xxxxx, General Counsel of the Company, and other local counsel of the Company
shall provide opinions, dated the Closing Date, as the Representatives shall reasonably request.
(d) The Underwriters shall have received on the Closing Date an opinion and a negative
assurance letter of Xxxxxx & Xxxxxxx LLP, counsel for the Underwriters, dated the Closing Date to
the effect set forth on Schedule III.
(e) The Underwriters shall have received, on each of the date hereof and the Closing Date, a
letter dated the date hereof or the Closing Date, as the case may be, in form and substance
satisfactory to the Underwriters, from KPMG LLP, PricewaterhouseCoopers LLP, and Deloitte and
Touche LLP, independent public accountants, containing statements and information of the type
ordinarily included in accountants’ “comfort letters” to underwriters with respect to the
9
financial statements and certain financial information contained in the Registration
Statement, the Time of Sale Prospectus and the Prospectus; provided that the letter delivered on
the Closing Date shall use a “cut-off date” not earlier than the date hereof.
(f) The “lock-up” agreements, each substantially in the form of Exhibit A hereto, between you
and certain officers and directors of the Company relating to sales and certain other dispositions
of shares of 5.750 % Mandatory Convertible Preferred Stock or certain other securities, delivered
to you on or before the date hereof, shall be in full force and effect on the Closing Date.
The several obligations of the Underwriters to purchase Additional Shares hereunder are
subject to the delivery to you on the applicable Option Closing Date of such documents as you may
reasonably request with respect to the good standing of the Company, the due authorization and
issuance of the Additional Shares to be sold on such Option Closing Date and other matters related
to the issuance of such Additional Shares.
6. Covenants of the Company. The Company covenants with each Underwriter as follows:
(a) To furnish to the Representatives, without charge, a conformed copy of the Registration
Statement (without exhibits thereto) and to deliver to each of the Underwriters during the period
mentioned in Section 6(f) below, as many copies of the Time of Sale Prospectus, the Prospectus, any
documents incorporated therein by reference therein and any supplements and amendments thereto or
to the Registration Statement as the Representatives may reasonably request; provided, that the
Company shall not be required to furnish copies of the Prospectus if the conditions of Rule 172(c)
under the Securities Act are satisfied by the Company.
(b) Before amending or supplementing the Registration Statement, the Time of Sale Prospectus
or the Prospectus, to furnish to the Representatives a copy of each such proposed amendment or
supplement and not to file any such proposed amendment or supplement to which the Representatives
reasonably object.
(c) To furnish to the Representatives a copy of each proposed free writing prospectus to be
prepared by or on behalf of, used by, or referred to by the Company and not to use or refer to any
proposed free writing prospectus to which the Representatives reasonably object.
(d) Not to take any action that would result in an Underwriter or the Company being required
to file with the Commission pursuant to Rule 433(d) under the Securities Act a free writing
prospectus prepared by or on behalf of the
10
Underwriters that the Underwriters otherwise would not have been required to file thereunder.
For the avoidance of doubt, this paragraph (d) shall not be applicable to the January 25 Issuer FWP
and the January 26 Issuer FWP (each as defined below).
(e) If the Time of Sale Prospectus is being used to solicit offers to buy the Shares at a time
when the Prospectus is not yet available to prospective purchasers and any event shall occur or
condition exist as a result of which the Time of Sale Prospectus would include an untrue statement
of a material fact or omit to state a material fact required to be stated therein or necessary in
order to make the statements therein, in the light of the circumstances, not misleading, or if any
event shall occur or condition exist as a result of which, in the reasonable opinion of counsel for
the Underwriters or counsel for the Company, the Time of Sale Prospectus conflicts with the
information contained in the Registration Statement then on file, or if, in the reasonable opinion
of counsel for the Underwriters or counsel for the Company, it is necessary to amend or supplement
the Time of Sale Prospectus to comply with applicable law, forthwith to prepare, file with the
Commission and furnish, at its own expense, to the Underwriters and to any dealer upon request,
either amendments or supplements to the Time of Sale Prospectus so that either the statements in
the Time of Sale Prospectus as so amended or supplemented will not, in the light of the
circumstances when delivered to a prospective purchaser, be misleading or so that the Time of Sale
Prospectus, as amended or supplemented, will no longer conflict with the Registration Statement, or
so that the Time of Sale Prospectus, as amended or supplemented, will comply with applicable law.
(f) If, during such period after the first date of the public offering of the Shares as in the
reasonable opinion of counsel for the Underwriters the Prospectus (or in lieu thereof the notice
referred to in Rule 173(a) under the Securities Act) is required by law to be delivered in
connection with sales by an Underwriter or dealer, any event shall occur or condition exist as a
result of which, in the reasonable opinion of counsel for the Underwriters or counsel for the
Company, the Prospectus would include and untrue statement of a material fact or omit to state a
material fact required to be state therein of necessary in order to make the statements therein, in
the light of the circumstances when the Prospectus (or in lieu thereof the notice referred to in
Rule 173(a) under the Securities Act) is delivered to a purchaser, not misleading, or if, in the
reasonable opinion of counsel for the Underwriters or counsel for the Company, it is necessary to
amend or supplement the Prospectus to comply with applicable law, forthwith to prepare, file with
the Commission and furnish, at its own expense, to the Underwriters and to the dealers (whose names
and addresses you will furnish to the Company) to which Shares may have been sold by you on behalf
of the Underwriters and to any other dealers upon request, either amendments or supplements to the
Prospectus so that the statements in the Prospectus as so
11
amended or supplemented will not, in the light of the circumstances when the Prospectus (or in
lieu thereof the notice referred to in Rule 173(a) under the Securities Act) is delivered to a
purchaser, be misleading or so that the Prospectus, as amended or supplemented, will comply with
applicable law; provided, that the Company shall not be required to furnish copies of the
Prospectus if the conditions of Rule 172(c) under the Securities Act are satisfied by the Company.
(g) To use its reasonable best efforts to qualify the Shares for offer and sale under the
securities or Blue Sky laws of such jurisdictions as you shall reasonably request; provided,
however, that nothing contained herein shall require the Company to qualify to do business in any
jurisdiction, to execute a general consent to service of process in any state or to subject itself
to taxation in any jurisdiction in which it is otherwise not so subject.
(h) To make generally available to the Company’s security holders and to the Representatives
as soon as practicable an earning statement covering a period of at least twelve months beginning
with the first fiscal quarter of the Company occurring after the date of this Agreement which shall
satisfy the provisions of Section 11(a) of the Securities Act and the rules and regulations of the
Commission thereunder.
(i) Whether or not the transactions contemplated in this Agreement are consummated or this
Agreement is terminated, to pay or cause to be paid the costs and expenses relating to the
following matters: (i) the fees, disbursements and expenses of the Company’s counsel and the
Company’s accountants in connection with the registration and delivery of the Shares under the
Securities Act and all other fees or expenses in connection with the preparation and filing of the
Registration Statement, any preliminary prospectus, the Time of Sale Prospectus, the Prospectus,
any free writing prospectus prepared by or on behalf of, used by, or referred to by the Company and
amendments and supplements to any of the foregoing, the filing fees payable to the Commission
relating to the Shares (within the time required by Rule 456(b)(1), if applicable), all printing
costs associated therewith, and the mailing and delivering of the copies thereof to the
Underwriters and dealers, in the quantities hereinabove specified, (ii) all costs and expenses
related to the transfer and delivery of the Shares to the Underwriters, including any transfer or
other taxes payable thereon, (iii) the cost of printing or producing any Blue Sky or legal
investment memorandum in connection with the offer and sale of the Shares under state securities
laws and all expenses in connection with the qualification of the Shares for offer and sale under
state securities laws as provided in Section 6(g) hereof, including filing fees and the reasonable
fees and disbursements of counsel for the Underwriters in connection with such qualification and in
connection with the Blue Sky or legal investment memorandum, which shall be $25,000 in the
aggregate for this
12
offering and the concurrent offerings by the Company of its high yield notes and common stock,
(iv) all fees and expenses in connection with the preparation and filing of the registration
statement on Form 8-A relating to the 5.750 % Mandatory Convertible Preferred Stock and all costs
and expenses incident to listing the Shares on the NYSE, (v) the cost of printing certificates
representing the Shares, (vi) the costs and charges of any transfer agent, registrar or depositary,
(vii) the document production charges and expenses associated with printing this Agreement and
(viii) all other costs and expenses incident to the performance of the obligations of the Company
hereunder for which provision is not otherwise made in this Section; provided however that any
costs and expenses of the Company relating to investor presentations on any “road show” undertaken
in connection with the marketing or the offering of the Shares, including, without limitation,
expenses associated with the preparation or dissemination of any electronic road show, expenses
associated with the production of road show slides and graphics, fees and expenses of any
consultants engaged in connection with the road show presentations, travel and lodging expenses of
the representatives and officers of the Company and any such consultants, and the cost of any
aircraft chartered in connection with the road show, shall be paid or caused to be paid by the
Underwriters. It is understood, however, that except as provided in this Section, Section 8
entitled “Indemnity and Contribution,” and the last paragraph of Section 10 below, the Underwriters
will pay all of their costs and expenses, including fees and disbursements of their counsel,
transfer taxes payable on resale of any of the Shares by them and any advertising expenses
connected with any offers they may make.
(j) (i) To prepare the issuer free writing prospectus (as defined in Rule 433 promulgated
under the Securities Act) attached hereto as Exhibit B (the “January 25 Issuer FWP), and to file
such January 25 Issuer FWP as soon as reasonably practicable thereafter, and (ii) to prepare the
issuer free writing prospectus (as defined in Rule 433 promulgated under the Securities Act)
attached hereto as Exhibit C (the “January 26 Issuer FWP”), and to file such January 26 Issuer FWP
as soon as reasonably practicable on January 26, 2006.
(k) If the third anniversary of the initial effective date of the Registration Statement
occurs before all the Shares have been sold by the Underwriters, prior to the third anniversary to
file a new shelf registration statement and to take any other action necessary to permit the public
offering of the Shares to continue without interruption; references herein to the Registration
Statement shall include the new registration statement declared effective by the Commission.
(l) During the period beginning on the date hereof and continuing to and including the Closing
Date, offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any
option or contract to sell, grant any option,
13
right or warrant to purchase, lend, or otherwise dispose of any equity securities of the
Company or warrants to purchase or otherwise acquire equity securities of the Company substantially
similar to the Shares, (ii) securities or warrants permitted with the prior written consent of the
Representatives (iii) the issuance by the Company of shares of Common Stock upon the exercise of an
option or warrant or the conversion of a security outstanding on the date hereof, (iv) the grant by
the Company of employees, officer or director stock options, the issuance by the Company of any
shares of Common Stock upon the exercise of any option (regardless of when issued) under any
employee, officer or director stock option or similar benefit plan in effect on the date hereof or
(v) the issuance by the Company of shares of Common Stock, stock appreciation rights or common
stock equivalents or warrants, rights or options to purchase any of the foregoing, pursuant to any
employee, officer or director stock option, stock purchase or similar benefit plan in effect on the
date hereof, provided that nothing in this paragraph (l) shall be construed as a limitation (1) on
the Company’s ability to consummate, or prevent the Company from consummating the Acquisition and
related transactions and the financing and refinancing transactions as described in the Time of
Sale Prospectus and the Final Prospectus and (2) on the provisos in paragraph (m) below.
Subject to paragraph (m) below, the Company also covenants with each Underwriter that, without
the prior written consent of the Representatives on behalf of the Underwriters, it will not, during
the period ending 90 days after the date of the Prospectus, (1) offer, pledge, sell, contract to
sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any
option, right or warrant to purchase, lend, or otherwise transfer or dispose of, directly or
indirectly, any shares of 5.750 % Mandatory Convertible Preferred Stock or any securities
convertible into or exercisable or exchangeable for 5.750 % Mandatory Convertible Preferred Stock
or (2) enter into any swap or other arrangement that transfers to another, in whole or in part, any
of the economic consequences of ownership of the 5.750 % Mandatory Convertible Preferred Stock,
whether any such transaction described in clause (1) or (2) above is to be settled by delivery of
5.750 % Mandatory Convertible Preferred Stock or such other securities, in cash or otherwise.
The restrictions contained in the preceding paragraph shall not apply to (a) the Shares to be
sold hereunder, or (b) the issuance by the Company of shares of 5.750 % Mandatory Convertible
Preferred Stock upon the exercise of an option or warrant or the conversion of a security
outstanding on the date hereof (c) the grant by the Company of employees, officer or director stock
options, the issuance by the Company of any shares of Common Stock upon the exercise of any option
(regardless of when issued) under any employee, officer or director stock option or similar benefit
plan in effect on the date hereof and (d) the issuance by the Company of shares of Common Stock,
stock appreciation rights or common stock
14
equivalents or warrants, rights or options to purchase any of the foregoing, pursuant to any
employee, officer or director stock option, stock purchase or similar benefit plan in effect on the
date hereof. Notwithstanding the foregoing, if (1) during the last 17 days of the 90-day
restricted period the Company issues an earnings release or material news or a material event
relating to the Company occurs; or (2) prior to the expiration of the 90-day restricted period, the
Company announces that it will release earnings results during the 16-day period beginning on the
last day of the 90-day period, the restrictions imposed by this agreement shall continue to apply
until the expiration of the 18-day period beginning on the issuance of the earnings release or the
occurrence of the material news or material event. The Company shall promptly notify the
Representatives of any earnings release, news or event that may give rise to an extension of the
initial 90-day restricted period.
(m) Not to waive or amend Section 2.1 of the Investor Rights Agreement (as such term is defined in
the acquisition agreement (the “Acquisition Agreement”) of Texas Genco LLC (the “Acquisition") and
in the form attached as Exhibit C to the Acquisition Agreement as in effect on the date hereof),
among the Company and the sellers in the Acquisition without the prior written consent of the
Representatives (which consent may not be unreasonably withheld) during the period ending 90 days
after the date of the Prospectus, provided however that (i) from and after the date that is 14 days
after the date hereof, the Company may, at its election and without the need for any consent of the
Representatives, permit and facilitate the sale or other disposition of an aggregate of up to
600,000 shares of Common Stock issued to former members of Texas Genco management pursuant to the
Acquisition Agreement or as a result of the Acquisition, including by means of filing, and having
declared effective, a shelf registration statement covering such sales (or by filing a prospectus
supplement with respect to an existing Company shelf registration statement), by repurchasing such
shares from the holders thereof or by any other means deemed necessary or appropriate by the
Company, in its discretion and (ii) this paragraph (m) shall not prohibit, and no consent of the
Representatives shall be required for, any amendment to the Investor Rights Agreement for the
purpose of, or any waiver of the terms of the Investor Rights Agreement intended to permit, the
Transfer of Registrable Securities by a Stockholder to an Affiliate of such Stockholder prior to
the expiration of the Lock-Up Period (capitalized terms used in the preceding proviso and not
otherwise defined herein shall have the respective meanings ascribed to such terms in the Investor
Rights Agreement), provided that such Affiliate agrees to be bound by the provisions of Section 2.1
of the Investors Rights Agreement (as defined in the Acquisition Agreement).
7. Covenants of the Underwriters. Each Underwriter severally covenants with the Company not
to take any action that would result in the Company being required to file with the Commission
under Rule 433(d) a free writing prospectus prepared by or on behalf of such Underwriter that
otherwise
15
would not be required to be filed by the Company thereunder, but for the action of the
Underwriter. For the avoidance of doubt, this Section 7 shall not restrict the dissemination by
the Underwriters of the January 25 Issuer FWP or the January 26 Issuer FWP.
8. Indemnity and Contribution. (a) The Company agrees to indemnify and hold harmless each
Underwriter, each person, if any, who controls any Underwriter within the meaning of either Section
15 of the Securities Act or Section 20 of the Exchange Act and each affiliate of any Underwriter
within the meaning of Rule 405 under the Securities Act (provided that the Company’s
indemnification obligation shall not extend to any free writing prospectus required to be filed by
the Company due to an Underwriter’s breach of Section 7) from and against any and all losses,
claims, damages and liabilities (including, without limitation, any legal or other expenses
reasonably incurred in connection with defending or investigating any such action or claim) caused
by any untrue statement or alleged untrue statement of a material fact contained in the
Registration Statement or any amendment thereof, any preliminary prospectus, the Time of Sale
Prospectus, any free writing prospectus that the Company has filed, or is required to file,
pursuant to Rule 433(d) under the Securities Act or the Prospectus or any amendment or supplement
thereto (if the Company furnished any amendments or supplements thereto), or caused by any omission
or alleged omission to state therein a material fact required to be stated therein or necessary to
make the statements therein, (i) with respect to the Registration Statement or any amendment
thereof, not misleading, and (ii) with respect to any preliminary prospectus, the Time of Sale
Prospectus, any free writing prospectus that the Company has filed, or is required to file,
pursuant to Rule 433(d) under the Securities Act or the Prospectus or any amendment or supplement
thereto (if the Company furnished any amendments or supplements thereto), not misleading in light
of the circumstances under which they were made, except in each case insofar as such losses,
claims, damages or liabilities are caused by any such untrue statement or omission or alleged
untrue statement or omission based upon information relating to any Underwriter furnished to the
Company in writing by such Underwriter through the Representatives expressly for use therein.
(b) Each Underwriter agrees, severally and not jointly, to indemnify and hold harmless the
Company, its directors, its officers who sign the Registration Statement and each person, if any,
who controls the Company within the meaning of either Section 15 of the Securities Act or Section
20 of the Exchange Act to the same extent as the foregoing indemnity from the Company to such
Underwriter, but only with reference to information relating to such Underwriter furnished to the
Company in writing by such Underwriter through the Representatives expressly for use in the
Registration Statement, any preliminary prospectus, the Time of Sale Prospectus, any other free
writing prospectus that the Company has filed, or is required to file, pursuant to Rule
16
433(d) under the Securities Act or the Prospectus or any amendment or supplement thereto.
(c) In case any proceeding (including any governmental investigation) shall be instituted
involving any person in respect of which indemnity may be sought pursuant to Section 8(a) or 8(b),
such person (the “indemnified party”) shall promptly notify the person against whom such indemnity
may be sought (the “indemnifying party”) in writing and the indemnifying party, upon request of the
indemnified party, shall retain counsel chosen by the indemnifying party and reasonably
satisfactory to the indemnified party to represent the indemnified party and any others entitled to
indemnification pursuant to this Section 8 the indemnifying party may designate in such proceeding
and shall pay the reasonably incurred fees and expenses of such counsel related to such proceeding
as incurred. In any such proceeding, any indemnified party shall have the right to retain its own
counsel, but the reasonably incurred fees and expenses of such counsel shall be at the expense of
such indemnified party unless (i) the indemnifying party and the indemnified party shall have
mutually agreed to the retention of such counsel or (ii) the named parties to any such proceeding
(including any impleaded parties) include both the indemnifying party and the indemnified party and
representation of both parties by the same counsel would be inappropriate due to actual or
potential differing interests between them. It is understood and agreed that the indemnifying
party shall not, in connection with any proceeding or related proceedings in the same jurisdiction,
be liable for the reasonably incurred fees and expenses of more than one separate firm (in addition
to any local counsel) for all such indemnified parties and that all such reasonably incurred fees
and expenses shall be reimbursed as they are incurred. Such firm shall be designated in writing
the Representatives, in the case of parties indemnified pursuant to Section 8(a), and by the
Company, in the case of parties indemnified pursuant to Section 8(b). The indemnifying party shall
not be liable for any settlement of any proceeding effected without its written consent, but if
settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party
agrees to indemnify the indemnified party from and against any loss or liability by reason of such
settlement or judgment. No indemnifying party shall, without the prior written consent of the
indemnified party, effect any settlement of any pending or threatened proceeding in respect of
which any indemnified party is or could have been a party and indemnity could have been sought
hereunder by such indemnified party, unless such settlement includes an unconditional release of
such indemnified party from all liability on claims that are the subject matter of such proceeding.
(d) To the extent the indemnification provided for in Section 8(a) or 8(b) is unavailable to
an indemnified party or insufficient in respect of any losses, claims, damages or liabilities
referred to therein, then each indemnifying party under such paragraph, in lieu of indemnifying
such indemnified party thereunder,
17
shall contribute to the amount paid or payable by such indemnified party as a result of such
losses, claims, damages or liabilities (i) in such proportion as is appropriate to reflect the
relative benefits received by the indemnifying party or parties on the one hand and the indemnified
party or parties on the other hand from the offering of the Shares or (ii) if the allocation
provided by clause 8(d)(1) above is not permitted by applicable law, in such proportion as is
appropriate to reflect not only the relative benefits referred to in clause 8(d)(1) above but also
the relative fault of the indemnifying party or parties on the one hand and of the indemnified
party or parties on the other hand in connection with the statements or omissions that resulted in
such losses, claims, damages or liabilities, as well as any other relevant equitable
considerations. The relative benefits received by the Company on the one hand and the Underwriters
on the other hand in connection with the offering of the Shares shall be deemed to be in the same
respective proportions as the net proceeds from the offering of the Shares (before deducting
expenses) received by the Company and the total underwriting discounts and commissions received by
the Underwriters, in each case as set forth in the table on the cover of the Prospectus, bear to
the aggregate Public Offering Price of the Shares. The relative fault of the Company on the one
hand and the Underwriters on the other hand 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 or by the
Underwriters and the parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission. The Underwriters’ respective obligations to
contribute pursuant to this Section 8 are several in proportion to the respective number of Shares
they have purchased hereunder, and not joint.
(e) The Company and the Underwriters agree that it would not be just or equitable if
contribution pursuant to this Section 8 were determined by pro rata allocation (even if the
Underwriters were treated as one entity for such purpose) or by any other method of allocation that
does not take account of the equitable considerations referred to in Section 8(d). The amount paid
or payable by an indemnified party as a result of the losses, claims, damages and liabilities
referred to in Section 8(d) 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
Section 8, no Underwriter shall be required to contribute any amount in excess of the amount by
which the total price at which the Shares underwritten by it and distributed to the public were
offered to the public exceeds the amount of any damages that such Underwriter 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
18
misrepresentation. The remedies provided for in this Section 8 are not exclusive and shall not
limit any rights or remedies which may otherwise be available to any indemnified party at law or in
equity.
(f) The indemnity and contribution provisions contained in this Section 8 and the
representations, warranties and other statements of the Company contained in this Agreement shall
remain operative and in full force and effect regardless of any (i) termination of this Agreement,
(ii) any investigation made by or on behalf of any Underwriter, any person controlling any
Underwriter or any affiliate of any Underwriter or by or on behalf of the Company, its officers or
directors or any person controlling the Company and (iii) acceptance of and payment for any of the
Shares.
9. Termination. The Underwriters may terminate this Agreement by notice given by the
Representatives to the Company, if after the execution and delivery of this Agreement and prior to
the Closing Date (i) trading generally shall have been suspended or materially limited on, or by,
as the case may be, any of the New York Stock Exchange, or the Nasdaq National Market, (ii) trading
of any securities of the Company shall have been suspended on the New York Stock Exchange, (iii) a
material disruption in securities settlement, payment or clearance services in the United States
shall have occurred, (iv) any moratorium on commercial banking activities shall have been declared
by Federal or New York State authorities or (v) there shall have occurred any outbreak or
escalation of hostilities, or any change in financial markets or any calamity or crisis that, in
your judgment, is material and adverse and which, singly or together with any other event specified
in this clause (vi), makes it, in the Representatives judgment, impracticable or inadvisable to
proceed with the offer, sale or delivery of the Shares on the terms and in the manner contemplated
in the Time of Sale Prospectus or the Prospectus.
10. Effectiveness; Defaulting Underwriters. This Agreement shall become effective upon the
execution and delivery hereof by the parties hereto.
If, on the Closing Date or an Option Closing Date, as the case may be, any one or more of the
Underwriters shall fail or refuse to purchase Shares that it has or they have agreed to purchase
hereunder on such date, and the aggregate number of Shares which such defaulting Underwriter or
Underwriters agreed but failed or refused to purchase is not more than one-tenth of the aggregate
number of the Shares to be purchased on such date, the other Underwriters shall be obligated
severally in the proportions that the number of Firm Shares set forth opposite their respective
names in Schedule I bears to the aggregate number of Firm Shares set forth opposite the names of
all such non-defaulting Underwriters, or in such other proportions as you may specify, to purchase
the Shares which such defaulting Underwriter or Underwriters agreed but failed or refused to
purchase on such date; provided that in no event shall the number of Shares that
19
any Underwriter has agreed to purchase pursuant to this Agreement be increased pursuant to
this Section 10 by an amount in excess of one-ninth of such number of Shares without the written
consent of such Underwriter. If, on the Closing Date, any Underwriter or Underwriters shall fail
or refuse to purchase Firm Shares and the aggregate number of Firm Shares with respect to which
such default occurs is more than one-tenth of the aggregate number of Firm Shares to be purchased
on such date, and arrangements satisfactory to you and the Company for the purchase of such Firm
Shares are not made within 36 hours after such default, this Agreement shall terminate without
liability on the part of any non-defaulting Underwriter or the Company. In any such case either
you or the Company shall have the right to postpone the Closing Date, but in no event for longer
than seven days, in order that the required changes, if any, in the Registration Statement, in the
Time of Sale Prospectus, in the Prospectus or in any other documents or arrangements may be
effected. If, on an Option Closing Date, any Underwriter or Underwriters shall fail or refuse to
purchase Additional Shares and the aggregate number of Additional Shares with respect to which such
default occurs is more than one-tenth of the aggregate number of Additional Shares to be purchased
on such Option Closing Date, the non-defaulting Underwriters shall have the option to (i) terminate
their obligation hereunder to purchase the Additional Shares to be sold on such Option Closing Date
or (ii) purchase not less than the number of Additional Shares that such non-defaulting
Underwriters would have been obligated to purchase in the absence of such default. Any action
taken under this paragraph shall not relieve any defaulting Underwriter from liability in respect
of any default of such Underwriter under this Agreement.
If this Agreement shall be terminated by the Underwriters, or any of them, because of any
failure or refusal on the part of the Company to comply with the terms or to fulfill any of the
conditions of this Agreement (other than by reason of a default by any of the Underwriters
described in the preceding paragraph), or if for any reason the Company shall be unable to perform
its obligations under this Agreement, the Company will reimburse the Underwriters or such
Underwriters as have so terminated this Agreement with respect to themselves, severally, for all
out-of-pocket expenses (including the fees and disbursements of their counsel) reasonably incurred
by such Underwriters in connection with this Agreement or the offering contemplated hereunder.
11. Entire Agreement. (a) This Agreement, together with any contemporaneous written agreements
and any prior written agreements (to the extent not superseded by this Agreement) that relate to
the offering of the Shares, represents the entire agreement between the Company and the
Underwriters with respect to the preparation of any preliminary prospectus, the Time of Sale
Prospectus, the Prospectus, the conduct of the offering, and the purchase and sale of the Shares.
20
(b) The Company acknowledges that in connection with the offering of the Shares: (i) the
Underwriters have acted at arms length, are not agents of, and owe no fiduciary duties to, the
Company or any other person, (ii) the Underwriters owe the Company only those duties and
obligations set forth in this Agreement and prior written agreements (to the extent not superseded
by this Agreement), if any, and (iii) the Underwriters may have interests that differ from those of
the Company. The Company waives to the full extent permitted by applicable law any claims it may
have against the Underwriters arising from an alleged breach of fiduciary duty in connection with
the offering of the Shares.
12. Counterparts. This Agreement may be signed in two or more counterparts, each of which
shall be an original, with the same effect as if the signatures thereto and hereto were upon the
same instrument.
13. Applicable Law. This Agreement shall be governed by and construed in accordance with the
internal laws of the State of New York.
14. Headings. The headings of the sections of this Agreement have been inserted for
convenience of reference only and shall not be deemed a part of this Agreement.
15. Notices. All communications hereunder shall be in writing and effective only upon receipt
and if to the Underwriters shall be delivered, mailed or sent to you at the address set forth in
Schedule I hereto; and if to the Company shall be delivered, mailed or sent to the address set
forth in Schedule I hereto.
Very truly yours, NRG ENERGY, INC. |
||||
By: | /s/ Xxxxxx X. Xxxxxxxx | |||
Name: | Xxxxxx X. Xxxxxxxx | |||
Title: | Vice President and Treasurer | |||
21
Accepted as of the date hereof XXXXXX XXXXXXX & CO. INCORPORATED |
||||
By: | /s/ Xxxx X. Xxxxxx | |||
Name: | Xxxx X. Xxxxxx | |||
Title: | Executive Director | |||
CITIGROUP GLOBAL MARKETS INC. |
||||
By: | /s/ Woo-Xxxx Xxxxx | |||
Name: | Woo-Xxxx Xxxxx | |||
Title: | Director Acting severally on behalf of themselves and the several Underwriters named in Schedule I hereto |
|||
22
SCHEDULE I
Number of Firm | ||||
Shares To Be | ||||
Underwriter | Purchased | |||
Xxxxxx Xxxxxxx & Co. Incorporated |
745,000 | |||
Citigroup Global Markets Inc. |
745,000 | |||
Xxxxxx Brothers Inc. |
150,000 | |||
Bank of America Securities LLC |
90,000 | |||
Deutsche Bank Securities Inc. |
90,000 | |||
Xxxxxxx Lynch, Pierce, Xxxxxx & Xxxxx
Incorporated |
90,000 | |||
Xxxxxxx Sachs & Co. |
90,000 | |||
Total: |
2,000,000 | |||
I-1
SCHEDULE II
Time of Sale Prospectus
1. | Preliminary Prospectus issued January 5, 2006 | |
2. | January 25 Issuer FWP | |
3. | January 26 Issuer FWP | |
4. | The issuer free writing prospectus filed on Form 8-K, dated January 24, 2006 (file number 333-130549) | |
5. | The Company’s road show with respect to the offering that constitutes a written communication pursuant to Rule 433 promulgated under the Securities Act of 1933, as amended |
II-1