Exhibit 10.30
BUYOUT AGREEMENT
THIS AGREEMENT is entered into and made to be effective as of the 31st
day of December, 2003, and is executed by and between UNION OIL COMPANY OF
CALIFORNIA, a California corporation, d/b/a/ Unocal (hereinafter referred to as
"Unocal") and TA OPERATING CORPORATION d/b/a TravelCenters of America, a
Delaware corporation headquartered in Westlake, Ohio, successor in interest by
merger to NATIONAL AUTO/TRUCKSTOPS, INC., (hereinafter referred to as
"NATIONAL"), and TravelCenters of America, Inc., a Delaware corporation
headquartered in Westlake, Ohio (TravelCenters of America, Inc. and TA OPERATING
CORPORATION are hereinafter referred to jointly and severally as "T/A")
W I T N E S S E T H:
WHEREAS, Unocal and NATIONAL have heretofore entered into that certain
Asset Purchase Agreement as well as the Blythe, California Asset Purchase
Agreement, the Buttonwillow, California Asset Purchase Agreement, the Ontario,
California Asset Purchase Agreement, the Redding, California Asset Purchase
Agreement, the Sacramento, California Asset Purchase Agreement and the Santa
Nella, California Asset Purchase Agreement, all dated November 23, 1992, and all
amended on April 13, 1993, along with certain Schedules, Exhibits and other
documents ancillary thereto, (all hereinafter collectively referred to as the
"Asset Purchase Agreements") and that certain Environmental Agreement also dated
November 23, 1992 (hereinafter referred to as the "Environmental Agreement");
and
WHEREAS, Unocal wishes to terminate, be released from and be
indemnified with respect to, all obligations it may have to T/A and its
Affiliates or any Governmental Authority or other third party with respect to
the environmental condition of and environmental compliance at the seventy-three
(73) locations listed in Exhibit "A" attached hereto and incorporated herein by
reference (hereinafter the "Covered Facilities"), which were originally sold to
NATIONAL by Unocal pursuant to the terms and conditions of the Asset Purchase
Agreements and also to terminate and be released from any and all remaining
obligations it may have to T/A pursuant to the terms and conditions of the
Environmental Agreement; and
WHEREAS, Unocal and T/A wish to settle any and all past, present and
future claims which T/A may have or hereafter acquire against Unocal, pertaining
to said liabilities;
WHEREAS, T/A is willing to enter into this Agreement in exchange for
the payment of certain monies and the provision of certain environmental
insurance policies, all as hereinafter more specifically provided; and
NOW THEREFORE, in consideration of the payment of said monies and
provision of said environmental insurance policies as hereinafter set forth and
other good and valuable
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consideration, receipt and adequacy of which is hereby acknowledged, the parties
agree as follows:
1) DEFINITIONS. Any terms not defined herein shall be deemed to have the meaning
ascribed thereto in the Asset Purchase Agreements and the Environmental
Agreement, as appropriate.
2) ISSUANCE OF POLICIES. Within thirty (30) days following execution of this
agreement, the parties shall bind and thereafter cause American International
Speciality Lines Insurance Company (hereinafter AISLIC), a member of American
International Group, Inc. (hereinafter AIG) to issue an AISLIC Clean-Up Cost Cap
insurance Policy in form and content substantially identical to Exhibit "B"
attached hereto and incorporated herein by reference (hereinafter the "Cost Cap
Policy") and amend by endorsement T/A's current Pollution Legal Liability Policy
such that said policy shall thereafter be in form and content substantially
identical to Exhibit "C" attached hereto and incorporated herein by reference
(hereinafter the "PLL Policy"). Hereinafter the Cost Cap Policy and the PLL
Policy are referred to jointly as the "Policies".
3) PAYMENT OF FUNDS. Within ten business days following the effective date of
this agreement, Unocal shall pay the sum of NINE MILLION SIX HUNDRED THIRTY-SIX
THOUSAND NINE HUNDRED SIXTY-NINE DOLLARS ($9,636,969.00) into an escrow account
(hereinafter the "Escrow Account") held by NATIONAL CITY BANK (hereinafter the
"Escrow Agent"). Said funds shall thereafter be disbursed in accordance with the
terms and conditions of the Escrow Agreement attached hereto as Exhibit "D" and
incorporated herein by reference. T/A hereby acknowledges that the foregoing
amount includes the sum of One Million Dollars ($1,000,000.00) to offset T/A's
anticipated increased administrative and overhead costs for managing the future
remediation of the Covered Facilities.
4) CONDITION PRECEDENT. It shall be a condition precedent to the obligations of
both Unocal and T/A hereunder that T/A obtain approval of this Agreement from
certain of its lenders (hereinafter the "Bank Approval") on or before January
31, 2004 (hereinafter the "Bank Approval Period"). Upon obtaining Bank Approval,
T/A shall immediately give written notice of same to Unocal and the Escrow Agent
(hereinafter the "Bank Approval Notice"). This Condition Precedent shall be
deemed to have been satisfied upon receipt by Unocal and the Escrow Agent of the
Bank Approval Notice prior to the expiration of the Bank Approval Period. In the
event that the Bank Approval Notice is not received by Unocal and the Escrow
Agent prior to the expiration of the Bank Approval Period, this Agreement shall
be deemed to be null and void and of no further force and effect, and all funds
paid into the Escrow Account by Unocal pursuant to paragraph 3 above shall be
immediately disbursed back to Unocal. Provided however, that Unocal at its sole
and exclusive option, may extend the Bank Approval Period for an additional
thirty (30) days, upon written notice to T/A.
5) RELEASE. Effective upon binding of the Policies, T/A does hereby release
Unocal from any and all remaining duties, liabilities or obligations Unocal may
have pursuant to the terms and conditions of the Environmental Agreement,
Environmental Laws or otherwise, as well as any
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and all past, present and future liability, claims, demands, Damages, actions or
causes of action, suits or causes of suit of any kind or nature whatsoever,
whether known or unknown and whether arising at law or in equity, pursuant to
the terms of the Asset Purchase Agreements, which pertain to, arise out of, in
consequence of, or on account of, the environmental condition of, or
environmental compliance at, the Covered Facilities, specifically including, but
not limited to, any Release or the presence of any Hazardous Substances or other
environmental contaminants in, upon, under or emanating from the soils, air or
groundwater of the Covered Facilities, (all of the foregoing being hereinafter
referred to as the "Released Liabilities"), which T/A or its Affiliates now have
or may hereafter acquire against Unocal, regardless of whether or not the
Released Liabilities are or have been the subject of, or have been identified
in, any Claim previously filed by T/A.
6) ASSUMPTION OF LIABILITY. Effective upon binding of the Policies, T/A hereby
assumes all liability and responsibility of Unocal and its Affiliates with
respect to the Released Liabilities and with respect to meeting or satisfying
any and all provisions of the Environmental Laws pertaining to the Released
Liabilities or the Covered Facilities.
7) INDEMNITY. Effective upon binding of the Policies, T/A does hereby indemnify,
defend and hold Unocal, its Affiliates, directors, officers, agents, attorneys,
employees, successors, endorsees, and assigns, harmless from and against any and
all past, present and future liability, claims, demands, Damages, fines,
penalties, actions or causes of action, suits or causes of suit of any kind and
nature whatsoever, whether known or unknown and whether at law or in equity,
pursuant to the terms of the Asset Purchase Agreements, the Environmental
Agreement, the Environmental Laws or otherwise, which T/A, its Affiliates or any
Governmental Authority or other third party now has or may hereafter acquire
against Unocal pertaining to, arising out of, in consequence of, or on account
of the Released Liabilities, specifically including, but not limited to, any and
all liability for Environmental Actions, Environmental Compliance Actions,
Environmental Damages and Remedial Actions at the Covered Facilities.
8) SOLD SITES RELEASE. In addition to the foregoing and effective upon binding
of the Policies, T/A does hereby release Unocal from any and all past, present
and future liability, claims, demands, Damages, actions or causes of action,
suits or causes of suit of any kind or nature whatsoever, whether known or
unknown and whether arising at law or in equity, pursuant to the terms of the
Asset Purchase Agreements, the Environmental Agreement, the Environmental Laws
or otherwise, which pertain to, arise out of, in consequence of, or on account
of, the environmental condition of, or environmental compliance at, the
twenty-four (24) locations listed in Exhibit "E" attached hereto and
incorporated herein by reference (hereinafter the "Sold Sites"), which were
originally sold to NATIONAL by Unocal pursuant to the terms and conditions of
the Asset Purchase Agreements but which have since been sold by National to
third parties, specifically including, but not limited to, any Release or the
presence of any Hazardous Substances or other environmental contaminants in,
upon, under or emanating from the soils, air or groundwater of the Covered
Facilities, which T/A or its Affiliates now have or may hereafter acquire
against Unocal, regardless of whether or not such Liabilities are or have been
the subject
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of, or have been identified in, any Claim previously filed by T/A. Provided
however, that (a) T/A shall not indemnify Unocal for, nor assume any liability
of Unocal with respect to, such liabilities at the Sold Sites and (b) the
provisions of the preceding sentence shall not apply to liability of T/A arising
directly from any claim brought against T/A by a third-party (specifically
including any assignee of the Environmental Agreement for a Sold Site) or
Governmental Authority, which claim pertains solely to environmental conditions
or environmental compliance resulting from a Release that occurred prior to
April 15, 1993 at any of the Sold Sites (hereinafter "Third-Party Sold Site
Claims"). Anything herein contained to the contrary notwithstanding, the terms
and conditions of the Environmental Agreement shall remain in full force and
effect with respect to Third-Party Sold Site Claims.
9) POLICY DEDUCTIBLES. It is hereby agreed between Unocal and T/A that any and
all deductible or retention amounts required to be paid with respect to the
Policies shall be the sole and exclusive obligation of T/A, specifically
including but not limited to any separate deductible or retention amount
attributable solely to Unocal.
10) SURPLUS LINES TAXES AND FEES. To the extent any taxes or fees (specifically
including but not limited to Surplus Lines taxes and fees) shall apply to the
Policies, such taxes and fees shall be the sole and exclusive liability of T/A.
11) PLL POLICY RENEWAL. T/A hereby agrees that prior to the expiration of the
Policy Period of the PLL Policy, it shall (at its sole cost and expense) use
it's best reasonable efforts to either renew the PLL Policy or obtain coverage
substantially similar in all respects to the coverage afforded to both T/A and
Unocal under the PLL Policy. T/A shall instruct the insurer to provide Unocal
with a full and complete copy of said Policy.
12) PLL POLICY REINSTATEMENT. T/A hereby agrees that if a Coverage Section
Aggregate Limit is exhausted prior to the expiration of the Policy Period, it
shall (at its sole cost and expense) cause the PLL Policy to be reinstated in
accordance with the terms of Endorsement No. 8 thereto and that said policy as
reinstated shall continue to afford the same status and levels of coverage to
Unocal and the Covered Facilities.
13) SITE LIMIT. T/A hereby agrees that after the date of this Agreement, it
shall not schedule more than twenty (20) additional locations onto item five (5)
of the Declarations to the PLL Policy as Insured Properties. Deletion of
locations from coverage as Insured Properties under the PLL Policy shall not
increase the number of new locations that may be added.
14) SURVIVAL. Except as specifically set forth above, all other rights and
obligations owed by T/A or Unocal to one another under the terms of the Asset
Purchase Agreements shall remain and survive this Agreement, including any and
all terms and conditions of the Asset Purchase Agreements not specifically
released herein.
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15) BOOKS RECORDS AND REPORTS. For a period of seven (7) years from the date of
this Agreement, T/A and Unocal shall each provide and/or make available to the
other for inspection during normal business hours, the following books, records
and reports, as applicable:
a) On or about the 15th day of February each year, T/A shall deliver to
Unocal, an annual written report in form and content reasonably
satisfactory to Unocal, detailing the nature and extent of
environmental assessment and remediation activities being conducted at
each of the Covered Facilities, the current status of such remedial
activities and the total dollar amount paid by T/A with respect to such
environmental assessment and remediation activities during the
preceding calendar year and cumulatively since the date of this
Agreement.
b) T/A shall provide Unocal with complete copies of all requests for
disbursement and supporting documentation therefore sent to the Escrow
Agent.
c) T/A shall provide Unocal with complete copies of all Clean-up Cost
Cap SIR Erosion Reports (commonly referred to as "Burn Reports")
generated by T/A or AIG with respect to the Cost Cap Policy and the PLL
Policy.
d) Upon reasonable request, T/A and Unocal shall each make available to
the other for inspection, review and copying all books and records in
their respective possession and control related to the environmental
condition of, or environmental assessment and remediation activities
conducted at, any of the Covered Facilities or Sold Sites, specifically
including but not limited to all financial records related thereto and
all technical reports, filings and correspondence with regulators. All
such books and records shall be maintained by T/A and Unocal and be
made available to each other for a period of not less than ten (10)
years following the completion of such environmental assessment and
remediation activities.
16) T/A REPRESENTATIONS AND WARRANTIES. T/A hereby represents and warrants to
Unocal that:
a) It is the sole and exclusive owner of the Covered Facilities; and
b) It is the successor in interest to NATIONAL and all of NATIONAL's
right, title and interest in and to, and duties and obligations under,
the Asset Purchase Agreements and Environmental Agreement; and
c) With respect to the Covered Facilities, it has not sold, assigned or
otherwise transferred any of its right, title and interest in, or
duties and obligations under, the Asset Purchase Agreements or
Environmental Agreement to any third party; and
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17) AUTHORITY. Both T/A and Unocal represent and warrant that each has the sole
and exclusive right and authority to enter into this Agreement.
18) REIMBURSEMENT RIGHTS. Anything herein contained to the contrary not
withstanding, T/A and Unocal agree that nothing in this Agreement shall be
deemed to constitute a transfer or assignment by either Party to the other of
any rights to reimbursement from any state reimbursement fund for any
environmental assessment or remediation activities conducted by each Party at
its expense at the Covered Facilities or the Sold Sites, all of which rights
each Party specifically reserves unto itself. In the event that either Party
shall receive reimbursement from any state reimbursement fund for work performed
by the other Party at its expense, the receiving Party shall promptly remit such
reimbursement amount to the Party that incurred the corresponding expense.
Unocal hereby agrees to reasonably cooperate with T/A to facilitate
reimbursement from state reimbursement funds for activities conducted by T/A, at
it's expense, at any of the Covered Facilities and assign to T/A its rights to
such state reimbursement funds (to the extent attributable to work performed by
T/A at it's expense) if requested by T/A.
19) SECTION 1542 WAIVER. The parties hereto specifically waive the protections
of California Civil Code Section 1542 which provides as follows:
"A general release does not extend to claims which the creditor does
not know or suspect to exist in his favor at the time of executing the
release, which if known by him must have materially affected his
settlement with the debtor."
Each party has had the opportunity to speak with counsel regarding the meaning
and advisability of waiving this provision
20) AFFILIATES. As used herein, the term Unocal includes each and every one of
Unocal's Affiliates, as that term is defined in the Asset Purchase Agreement.
21) CONFLICTS. Except as specifically set forth herein, the Environmental
Agreement and the Asset Purchase Agreements shall remain in full force and
effect. In the event of a conflict between the terms of the Environmental
Agreement or the Asset Purchase Agreements and this Agreement, the terms and
conditions of this Agreement shall control, to the exclusion of the conflicting
term in such other agreement.
22) BINDING EFFECT. This Agreement shall be binding upon, inure to the benefit
of and be enforceable by the Parties hereto and their respective parent,
subsidiary and affiliated corporations, directors, officers, agents, attorneys,
employees, successors, endorsees, and assigns.
23) NOTICES. Any notices, which any party may be required, or may desire, to
give hereunder, shall be made in the manner specified in the Environmental
Agreement or the Asset Purchase Agreements, as applicable.
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24) SEVERABILITY. All provisions contained in this Agreement are severable and
the invalidity or unenforceability of any provision shall not affect or impair
the validity or enforceability of the remaining provisions of this Agreement.
25) COOPERATION DURING TRANSITION PERIOD. The Parties acknowledge that a ninety
(90) day transition period will ensue after the effective date of this Agreement
during which certain ongoing projects, permits, consent orders and other related
items at the Covered Facilities will need to be transferred from Unocal's to
T/A's responsibility and control. The Parties agree to cooperate and to perform
all reasonably necessary actions to ensure a smooth and effective transition.
Each Party will bear its own internal costs related to the transition during
this time period. Any environmental remediation or other external costs incurred
with respect to the Covered Facilities or the transition (specifically including
but not limited to costs for copying Unocal's environmental files for T/A) after
the effective date of this Agreement shall accrue to the account of T/A and
shall be the sole and exclusive obligation and responsibility of T/A. Any such
costs incurred by Unocal after said date shall be promptly paid from the Escrow
Account established pursuant to paragraph 3 above.
IN WITNESS WHEREOF, this Agreement is executed as of the day and year
first written above.
TA OPERATING CORPORATION TRAVELCENTERS OF AMERICA, INC.
d/b/a TravelCenters of America
(successor in interest by merger to
NATIONAL AUTO/TRUCKSTOPS, INC.)
BY: /s/ Xxxxx X. Xxxxxx BY: /s/ Xxxxx X. Xxxxxx
------------------------------------- ---------------------
Xxxxx X. Xxxxxx Xxxxx X. Xxxxxx
------------------------------------- ---------------------
Name (printed) Name (printed)
EVP & CFO EVP & CFO
------------------------------------- ---------------------
(TITLE) (TITLE)
UNION OIL COMPANY OF
CALIFORNIA, d/b/a Unocal
BY: /s/ X. X. Xxxx
-----------------------------
X. X. Xxxx
-----------------------------
Name (printed)
Operations Team Manager
-----------------------------
(TITLE)
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- EXHIBIT A -
LIST OF COVERED FACILITIES
XXXX
# XXXX # XXXX XX XXXXXXX
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0 0000-000 Mobile AL X-00 & Xxxxx Xxx Xxxx, Xxxx 0
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2 9884-510 Montgomery AL X-00 & X.X. 00/00 @ X. Xxxxx Xxxx.
--------------------------------------------------------------------------------------
3 000-6730 Kingman AZ I-40 & U.S. 93
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4 000-6327 Buttonwillow CA I-5 & S.R. 58
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5 000-6336 Ontario CA I-10 & Xxxxxxxx Avenue Exit
--------------------------------------------------------------------------------------
6 000-6437 Redding CA I-5 & Xxxxxxxx Road
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7 000-6290 Santa Nella CA I-5 & Hwy. 33, Santa Nella Exit
--------------------------------------------------------------------------------------
8 000-6398 Denver CO X-00 & Xxxx Xxxx, Xxxx 000
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9 0000-000 Xxxxxxxx XX X-00 @ CT Exit 56
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10 0000-000 Xxxxxxxxxxx XX X-00 & Xxx. 000, Xxxx 00
--------------------------------------------------------------------------------------
11 0000-000 Xxxxxxx XX X-00 & X.X. 000 Xxxxx, Xxxx 00
--------------------------------------------------------------------------------------
00 0000-000 Marianna FL I-10 & S.R. 71
--------------------------------------------------------------------------------------
13 0000-000 Xx. Xxxxxxxxx XX X-00 & X.X. 000 Xxxx, Xxxx 00
--------------------------------------------------------------------------------------
14 0000-000 Xxxx Xxxxx XX X-00 & X.X. 00, Xxxx 00
--------------------------------------------------------------------------------------
15 0000-000 Xxxxxxxx XX X-00 & X.X. 00, Xxxx 00
--------------------------------------------------------------------------------------
16 0000-000 Xxxxxxxx XX X-00 & X.X. 000, Xxxx 000
--------------------------------------------------------------------------------------
17 0000-000 Xxxxxxx XX X-00 & Xxx 00, Xxxx 000
--------------------------------------------------------------------------------------
18 0000-000 Xxxx Xxxx XX I-75 @ Exit 2
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19 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
--------------------------------------------------------------------------------------
20 0000-000 Xxxxxxxx XX X-00 & X.X. 00 Xxxxx, Xxxx 00
--------------------------------------------------------------------------------------
00 0000-000 Council Bluffs IA X-00 & X-00, Xxxx 0
--------------------------------------------------------------------------------------
22 0000-000 Xxxxxxxxxxx XX X-00, X-00, X-00 @ Xxxxx 0, Xxxx 000X
--------------------------------------------------------------------------------------
23 0000-000 Xxxxx IL I-90 & U.S. 20
--------------------------------------------------------------------------------------
00 0000-000 Mt. Xxxxxx IL I-57 & I-64
--------------------------------------------------------------------------------------
00 0000-000 Xxxxxxx IN X-00 & X.X. 00, Xxxx 00
--------------------------------------------------------------------------------------
00 0000-000 Whitestown IN X-00 & X.X. 000, Xxxx 000
--------------------------------------------------------------------------------------
27 0000-000 Xxxxxxxx XX I-75, Exit 181
--------------------------------------------------------------------------------------
28 0000-000 Xxxxxxxxx XX I-10 & S.R. 182
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00 0000-000 Slidell LA I-10, Exit 266
--------------------------------------------------------------------------------------
30 0000-000 Xxxxxxxx LA X-00 & X.X. 00, Xxxx 000
--------------------------------------------------------------------------------------
00 0000-000 Elkton MD X-00, Xxxx 000X
--------------------------------------------------------------------------------------
00 0000-000 Ann Arbor MI I-94, Exit 167
--------------------------------------------------------------------------------------
00 0000-000 Saginaw MI I-75, Exit 144
--------------------------------------------------------------------------------------
00 0000-000 Sawyer MI I-94, Exit 12
--------------------------------------------------------------------------------------
00 0000-000 Xxxxxx MN X-00 & Xxx. 000, Xxxx 000
--------------------------------------------------------------------------------------
36 0000-000 Xxxxxxxxx XX X-00 & Xxxxx X, Xxxx 000
--------------------------------------------------------------------------------------
37 0000-000 Xxxxxxxx XX X-00 & Xxx. 00, Xxxx 00
--------------------------------------------------------------------------------------
38 0000-000 Xxx Xxxxx XX X-00 & Xxxxx X, Xxxx 00
--------------------------------------------------------------------------------------
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39 0000-000 Xxxxxxxx XX X-00 & X-00, Xxxx 000
--------------------------------------------------------------------------------------
00 0000-000 Grand Island NE I-80, Exit 305
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41 0000-000 Xxxxxxxx XX I-80, Exit 126
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42 0000-000 Xxxxxxxxxx XX I-78, Exit 7
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00 000-0000 Albuquerque NM X-00 X., Xxxxxxxxxx Xxxx 000X
--------------------------------------------------------------------------------------
00 000-0000 Las Vegas NV X-00, Xxxx Xxxxxxx Xxxx 00
--------------------------------------------------------------------------------------
00 000-0000 Sparks NV I-80, Exit 19
--------------------------------------------------------------------------------------
46 0000-000 Xxxxxxxx XX X-00 & X.X. 00, Xxxx 00X
--------------------------------------------------------------------------------------
00 0000-000 Columbus OH X-00 & X.X. 00, Xxxx 00
--------------------------------------------------------------------------------------
00 0000-000 Hebron OH I-70 @ Ohio 37, Exit 126
--------------------------------------------------------------------------------------
49 0000-000 Xxxxxxxxxxxxxx XX X-00, Xxxx 00
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50 0000-000 Xxxxxxxxxx XX I-90, Exit 235
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51 0000-000 Xxxxx Xxxxxx XX I-77, Exit 111
--------------------------------------------------------------------------------------
52 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
--------------------------------------------------------------------------------------
00 0000-000 Toledo OH X-00 & X-000, Xxxx 00
--------------------------------------------------------------------------------------
54 0000-000 Xxxxxxxxxx XX X-00 & X.X. 00, Xxxx 000X
--------------------------------------------------------------------------------------
00 0000-000 Oklahoma City OK X-00 & Xxxxxx, Xxxx 000
--------------------------------------------------------------------------------------
00 000-0000 Portland OR I-5, Exit 278
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57 0000-000 Xxxxx Xxxx XX X-00 & X.X. 00, Xxxx 00
--------------------------------------------------------------------------------------
58 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
--------------------------------------------------------------------------------------
59 0000-000 Xxxxxxx TN X-00 & Xxx. 000, Xxxx 00
--------------------------------------------------------------------------------------
60 0000-000 Xxxxxxxx XX X-00, Xxxx 00
--------------------------------------------------------------------------------------
61 0000-000 Xxxxxxxxx XX X-00 & X-00, Xxxx 000
--------------------------------------------------------------------------------------
62 0000-000 Xxxxxxxxx XX X-00, Xxxx 00
--------------------------------------------------------------------------------------
00 0000-000 Amarillo TX X-00 & Xxxxxxxx Xxxx, Xxxx 00
--------------------------------------------------------------------------------------
64 0000-000 Xxxxxx XX X-00 & X.X. 00, Xxxx 000
--------------------------------------------------------------------------------------
65 0000-000 Xxxxxxxx XX X-00 & X.X. 000, Xxxx 00
--------------------------------------------------------------------------------------
66 0000-000 Xxxxxxxxxx XX X-00 & Xxxxxxx Xxxx, Xxxx 000
--------------------------------------------------------------------------------------
00 000-0000 Tooele UT X-00 & Xxxxxxxxx, Xxxx 00
--------------------------------------------------------------------------------------
00 0000-000 Ashland VA X-00 & X.X. 000, Xxxx 00
--------------------------------------------------------------------------------------
69 0000-000 Xxxxxxxxxx XX X-00, Xxxx 00 X-00, Xxxx 00
--------------------------------------------------------------------------------------
70 0000-000 Xxxxxx XX X-00 & X.X. 00, Xxxx 0
--------------------------------------------------------------------------------------
71 0000-000 Xxxxxxx XX X-00/X-00 & X.X. 00, Xxxx 000
--------------------------------------------------------------------------------------
72 0000-000 Xxxxxxxxx XX X-00 & Xx. 00, Xxxx 00
--------------------------------------------------------------------------------------
73 0000-000 Xxxxxxxxxxx XX X-00 & X.X. 000, Xxxx 00
--------------------------------------------------------------------------------------
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- EXHIBIT B -
[Copy of the Cost Cap Policy omitted]
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- EXHIBIT C -
[Copy of the PLL Policy omitted]
11
EXHIBIT "D"
TO BUYOUT AGREEMENT
ESCROW AGREEMENT
DATE: DECEMBER 31, 2003
ESCROW NUMBER: _______________
This Escrow Agreement (this "Agreement") is entered into as of the date
set forth above by and among NATIONAL CITY BANK, as escrow agent ("Escrow
Agent"); UNION OIL COMPANY OF CALIFORNIA, a California corporation ("Unocal");
and TA OPERATING CORPORATION d/b/a TravelCenters of America, a Delaware
corporation headquartered in Westlake, Ohio, successor in interest by merger to
NATIONAL AUTO/TRUCKSTOPS, INC., (hereinafter referred to as "NATIONAL"), and
TravelCenters of America, Inc., a Delaware corporation headquartered in
Westlake, Ohio (TravelCenters of America, Inc. and TA OPERATING CORPORATION are
hereinafter referred to jointly and severally as "T/A").
RECITALS
A. Unocal and T/A are parties to a certain Buyout Agreement dated
as of December 31, 2003 (the "Buyout Agreement"). Pursuant to the Buyout
Agreement, Unocal has agreed to pay the amount of money specified therein to
T/A, upon the terms and conditions contained therein, as full and final
settlement of certain environmental obligations for seventy-three (73) sites
previously conveyed to T/A, a list of which is attached to this Agreement as
EXHIBIT "A" which is hereby incorporated herein (the "Covered Facilities"),
which obligations had been retained by Unocal in certain agreements described
therein between the parties.
B. Pursuant to the terms of the Buyout Agreement, Unocal and T/A
have agreed to establish an escrow upon the terms contained in this Agreement.
C. Escrow Agent has agreed to act as the escrow agent for the
escrow, upon the terms contained in this Agreement.
NOW, THEREFORE, in consideration of the foregoing and of the
mutual covenants contained herein, the parties agree as follows:
INSTRUCTIONS
1. Total Escrowed Funds. On or before the date which is ten (10)
days from the date hereof, Unocal shall deposit into the above-referenced escrow
(the "Escrow") the sum of Nine Million Six Hundred Thirty-Six Thousand Nine
Hundred Sixty-Nine Dollars ($9,636,969.00) (the "Total Escrowed Funds"), which
Escrow Agent is hereby instructed to invest only in such
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investments as T/A shall specify in writing. Absent written instructions to the
contrary, Escrow Agent shall invest the Total Escrowed Funds in Armada Money
Market Fund (the "Armada Fund"), for which the Escrow Agent or an affiliate
thereof serves as an investment advisor and receives a fee. Both Unocal and T/A
shall execute a disclosure form regarding Escrow Agent's affiliation with such
Armada Fund. Unocal shall pay the Acceptance Fee as further described below to
Escrow Agent upon all parties' execution of this Agreement. Unocal and T/A each
acknowledge that they each must provide copies of their respective articles of
incorporation and W-9 either by fax or electronically to establish the Escrow.
2. Instructions Concerning Obtaining or Failure to Obtain Lender
Approval. The transaction described in the Buyout Agreement is contingent upon
T/A's obtaining approval of such transaction from T/A's lenders (the "T/A
Lenders"). In the event T/A obtains approval from the T/A Lenders of the terms
and conditions of the Buyout Agreement on or before January 31, 2004 (the
"Determination Date"), T/A shall so notify Escrow Agent and Unocal in writing,
and Escrow Agent shall continue to hold the Total Escrowed Funds as set forth in
Section 1 above. In the event T/A does not obtain approval from the T/A Lenders
of the terms and conditions of the Buyout Agreement on or before the
Determination Date, then T/A shall provide notice thereof in writing to Escrow
Agent with a copy to Unocal, the Buyout Agreement shall terminate in its
entirety, the Escrow shall be cancelled, and Escrow Agent shall return the Total
Escrowed Funds to Unocal upon receipt of the fee then due to Escrow Agent, which
fee shall consist of the first year's escrow fee and shall be paid one-half
(1/2) by T/A and one-half (1/2) by Unocal (which amount payable by Unocal shall
be deducted from the Total Escrowed Fees).
3. Instructions Concerning Payments of Insurance Premiums from
Total Escrowed Funds. Pursuant to the Buyout Agreement, T/A is to obtain a
certain Cost Cap Insurance Policy (the "Cost Cap Policy") from American
International Speciality Lines Insurance Company ("AISLIC"), a member of
American International Group, Inc. ("AIG") and to obtain an amendment by
endorsement of T/A's current Pollution Legal Liability Policy (the
"Endorsement"). As long as this Agreement has not terminated pursuant to failure
to obtain approval by the T/A Lenders as described in Section 2 above, and upon
such time as Escrow Agent is provided with written confirmation (the "Insurance
Confirmation") from both T/A and Unocal that (i) T/A has received a binder from
AIG and AIG is ready to issue the Cost Cap Policy, and (ii) AIG is ready to
amend by endorsement T/A's existing Pollution Legal Liability Policy, which
Insurance Confirmation shall also provide instructions as to where Escrow Agent
is to direct payment, then Escrow Agent shall, within five (5) days of receipt
of such written Insurance Confirmation, pay to AON Environmental, Inc. ("AON"),
which company is a broker for AIG, the amount of One Million Twelve Thousand
Nine Hundred Sixty-Nine Dollars ($1,012,969.00) from the Total Escrowed Funds
for the Cost Cap Policy premium in accordance with the instructions contained in
the Insurance Confirmation, and shall also pay to AON the amount of Four Hundred
Thousand Dollars ($400,000.00) from the balance of the Total Escrowed Funds for
the Endorsement premium in accordance with the instructions contained in the
Insurance Confirmation. Furthermore, within five (5) days after receipt of the
Insurance Confirmation, Escrow Agent shall pay to T/A the sum of Two Million Six
Hundred Nine
13
Thousand Dollars ($2,609,000.00) from the Total Escrowed Funds. In the event
Escrow Agent does not receive the Insurance Confirmation on or before the
Determination Date, then the Buyout Agreement shall terminate in its entirety,
the escrow shall be cancelled, and Escrow Agent and shall return the Total
Escrowed Funds to Unocal upon receipt of the fees then due to Escrow Agent,
which fee shall consist of the first year's escrow fee and shall be paid
one-half (1/2) by T/A and one-half (1/2) by Unocal (which amount payable by
Unocal shall be deducted from the Total Escrowed Fees).
4. Escrow Fees. In the event T/A obtains approval from T/A's
Lenders as set forth in Section 2 above, and T/A further obtains the insurance
described in Section 3 above, then the Escrow Agent's fees, in the amounts
previously agreed among Unocal, T/A and Escrow Agent as set forth on EXHIBIT "B"
to this Agreement, shall be paid as follows: except for the Acceptance Fee,
which shall have been paid previously by Unocal as described in Section 1 above,
and except for the sweep fees attributable to investments in the Armada Fund
(which sweep fees shall be debited from the Total Escrowed Funds and interest
thereon), all other escrow fees shall be paid by T/A during the term of the
Escrow. If this Agreement is not terminated on or before the Determination Date,
then except for the Acceptance Fee and the administrative sweep fee as
designated on Exhibit "B" for investment in the Armada Fund, all fees shall be
invoiced in arrears to T/A and the amounts thereof shall be deducted thirty (30)
days thereafter from interest payments due to T/A.
5. Term of the Escrow. Unless terminated in accordance with
Section 2 above for failure to obtain Lender Approval, pursuant to Section 3
above regarding obtaining of insurance, or pursuant to Section 9 below in the
event of a default by T/A, the Escrow is to remain in effect until the date
which is seven (7) years from the Determination Date (the "Expiration Date").
All of the following instructions shall be in effect as long as the Escrow is
not terminated pursuant to Sections 2 or 3 above or Section 9 below.
6. Interest. All interest earned on the Total Escrowed Funds,
from the date of this Agreement and up to the date of the first disbursement of
any portion of the Total Escrowed Funds, shall be paid by Escrow Agent to Unocal
within five (5) days after the first disbursement of any portion of the Total
Escrowed Funds in an amount as specified in a joint instruction from Unocal and
T/A. All interest earned on the balance of the Total Escrow Funds following the
first disbursement shall be paid to T/A in accordance with Section 8(b) below.
7. Transition Period. A portion of the Total Escrowed Funds
consisting of Two Hundred Thousand Dollars ($200,000.00) (the "Transition
Funds") will be separately allocated for environmental remediation and other
transaction-related costs (the "Transition Costs") incurred by Unocal at the
Covered Facilities during the ninety (90) day transition period after the
Determination Date (the "Transition Period"). Unocal will review, approve and
pay the invoices for Transition Costs received from third-party contractors for
work performed during the Transition Period, and within ten (10) days after
expiration of the Transition Period shall submit
14
to Escrow Agent (with a copy sent to T/A) written instructions to (i) pay
directly to Unocal from the Transition Funds the amount Unocal has paid or will
pay for invoices for the Transition Costs, which amount shall be specified in
the written instructions; and (ii) pay the balance of any remaining Transition
Funds to T/A. Escrow Agent shall disburse the amounts designated from the
Transition Funds to Unocal and T/A as designated in Unocal's escrow
instructions, and Escrow Agent shall be entitled to rely on instructions from
Unocal alone regarding such disbursement of the Transition Funds.
8. Invoice Payments by Escrow Agent During Remaining Time Until
Expiration Date. Escrow Agent shall hold the remaining balance of the Total
Escrowed Funds, consisting of Five Million Four Hundred Fifteen Thousand Dollars
($5,415,000.00) (the "Escrowed Balance") for payment of environmental
remediation costs incurred by T/A, or for which TA is responsible, for work
performed by third-party contractors or Governmental Authorities at the Covered
Facilities, and is hereby instructed to make payments from the Escrowed Balance
as follows:
(a) T/A shall submit disbursement instructions in the
form of EXHIBIT "C" to this Agreement (the "T/A Disbursement
Instructions") to Escrow Agent on a quarterly basis, along with copies
of invoices received from, and checks disbursed to, third-party
contractors or Governmental Authorities, which form of T/A Disbursement
Instructions contains T/A's certification that all third-party
contractors or Governmental Authorities for whom reimbursement is
sought from the Escrowed Balance have been paid.
(b) Escrow Agent is hereby directed to pay to T/A from the
Escrowed Balance the total amount set forth on such T/A Disbursement
Instructions. Escrow Agent is also hereby instructed to pay all
interest on the remaining Escrowed Balance to T/A quarterly upon
receipt of escrow instructions from T/A unless Escrow Agent and T/A
have agreed in writing that no such escrow instructions are required,
less any accrued and agreed-upon escrow fees and expenses.
(c) Within thirty (30) days following the Expiration Date, any
amount remaining in Escrow, including any remaining portion of the
Escrowed Balance, and any interest, shall be disbursed to T/A.
9. Events of Default by T/A.
(a) In the event either of the following occur, they shall be
deemed events of default ("Event of Default") by T/A that are expressly
subject to the terms of this Section 9:
(i) T/A has failed to remediate the
Covered Facilities in a timely manner in accordance
with the requirements of any Governmental Authority
with authority over the remediation; or
15
(ii) Unocal is required by any Governmental
Authority or third party to perform environmental remediation
at any Covered Facility.
(b) Notwithstanding anything in this Agreement to the
contrary, in the event Unocal provides written notification to Escrow
Agent and T/A of any Event of Default ("Default Notice"), the Escrow
Agent shall not make any distributions of the remaining portion of the
Total Escrowed Funds, or any interest thereon, until the Default Notice
is resolved in accordance with this Paragraph 9; provided that, no
Event of Default shall be deemed to have occurred or exist, if within
30 days of receipt of a Notice of Default, T/A commences activities, in
good faith, to cure or otherwise resolve such Event of Default and the
Escrow Agent and Unocal have received written notice of such activities
("Notice of Cure") and Unocal does not submit a Dispute of Cure Notice
in accordance with Section 9(c) below. Escrow Agent shall not be
required to inquire into or consider whether a Notice of Cure is valid.
(c) If (i) T/A fails to provide a Notice of Cure in
accordance with Section 9(b) and provides a written notice (a "Counter
Notice") to Unocal and the Escrow Agent specifying a dispute of any
Default Notice, including setting forth in particularity the basis for
such dispute, and such is delivered to the Escrow Agent and Unocal
within thirty (30) days following receipt by the Escrow Agent and T/A
of the Default Notice, or (ii) Unocal provides a written notice
("Dispute of Cure Notice") to T/A and the Escrow Agent specifying a
dispute of any Notice of Cure, including setting forth in particularity
the basis for such dispute, and such is delivered to the Escrow Agent
and T/A within thirty (30) days following receipt by the Escrow Agent
and Unocal of the Notice of Cure (such Counter Notice or Dispute of
Cure Notice to be hereinafter referred to as a "Disputed Claim") such
Disputed Claim shall be resolved as provided in Section 9(d). Escrow
Agent shall not be required to inquire into or consider whether a
Counter Notice or Dispute of Cure Notice, as the case may be, is valid
or has merit.
(d) If a Disputed Claim arises pursuant to Paragraph 9(c)
herein, Unocal and T/A shall use their best efforts to resolve such
Disputed Claim. If the parties are unable to resolve the Disputed Claim
within fifteen (15) days after the date the Counter Notice is received
by Unocal and the Escrow Agent or the Dispute of Cure Notice is
received by T/A and Escrow Agent, as the case may be, then such
Disputed Claim shall be settled in accordance with the dispute
resolution mechanisms provided for in Section 9 (e) of this Agreement
(a "Proceeding").
(e) Unocal and T/A agree that any and all Disputed Claims
that are not resolved as provided in Section 9(d) hereof, shall be
settled solely and exclusively by arbitration ("Arbitration") to be
held in Cleveland, Ohio, in accordance with the Federal Arbitration Act
and using the Commercial Arbitration Rules of the American Arbitration
Association (the "AAA"). A panel of three (3) arbitrators shall be
used. Each party shall
16
choose one (1) neutral arbitrator, and the third arbitrator shall be
chosen by the two (2) arbitrators selected by the parties. If the first
two arbitrators cannot agree within thirty (30) days after commencement
of the Proceeding upon the appointment of the third arbitrator, the
third arbitrator shall be appointed by the AAA in accordance with its
then existing rules. For purposes of this paragraph, the "commencement
of the Proceeding" shall be deemed to be the date upon which a written
demand for arbitration is received by the AAA from one of the parties.
The arbitrators' decision shall be final and binding, and may be
entered and enforced in any court of competent jurisdiction; provided
that, in no case shall the arbitrators award to Unocal (nor shall
Unocal be entitled to) any remaining portion of the Total Escrow Funds
in excess of the amount of costs actually incurred or paid by Unocal
(including costs actually incurred by Unocal after the Arbitration) to
(x) cure the Event of Default, or (y) perform the necessary remediation
as a result of the Event of Default, in each case (x) and (y), in order
to comply with Environmental Laws, a requirement of any Governmental
Authority pursuant to Environmental Laws or a court order.
T/A and Unocal shall bear its own expenses in connection with
alternative dispute resolution procedures set forth in this paragraph,
except that those parties shall split equally the costs associated with
any Arbitration.
All communications made in connection with the alternative
dispute resolution procedure set forth in this section shall be treated
as communications for the purposes of settlement and as such shall be
deemed to be confidential and inadmissible in any subsequent litigation
by virtue of Rule 408 of the Federal Rules of Evidence.
(f) In the event Escrow Agent has received a Default Notice, then
Escrow Agent is hereby instructed to retain the remaining portions of
the Total Escrowed Funds, and any interest thereon, until any of the
following occur:
(i) If T/A fails to provide a Notice of Cure in
accordance with Section 9(b), and the Escrow Agent does not
receive a Counter Notice from T/A within the thirty (30) day
period described in Section 9(c) above, then Escrow Agent is
instructed to periodically disburse to Unocal from the
remaining portions of the Total Escrow Funds, the amount of
costs actually incurred or paid by Unocal to (x) cure the
Event of Default or (y) perform the necessary remediation as a
result of the Event of Default, in each case (x) and (y), in
order to comply with Environmental Laws, a requirement of any
Governmental Authority pursuant to Environmental Laws or a
court order, and any interest thereon, within ten (10) days
thereafter; provided that, once the Escrow Agent's obligation
to disburse payments to Unocal from the Total Escrow Funds
following an Event of Default has been established in
accordance with the preceding sentence of this Section
9(f)(i), Unocal may continue to submit requests for payment by
the Escrow Agent from the remaining Total Escrow Funds for
costs actually incurred or paid by
17
Unocal to (x) cure such Event of Default or (y) perform the
necessary remediation as a result of such Event of Default, in
each case (x) and (y), in order to comply with Environmental
Laws, a requirement of any Governmental Authority pursuant to
Environmental Laws or a court order.
(ii) Receipt by the Escrow Agent of a Notice of
Cure, provided that the Escrow Agent does not receive a
Dispute of Cure Notice from Unocal in accordance with Section
9(c) above.
(iii) If Escrow Agent receives a Counter Notice
from T/A within the thirty (30) day period described in
Section 9(c) above or if Escrow Agent receives a Dispute of
Cure Notice from Unocal within the thirty (30) day period
described in Section 9(c) above, then Unocal and T/A shall
notify Escrow Agent in writing as to the resolution of the
Disputed Claim as set forth in Section 9(d) above. If Unocal
and T/A have agreed mutually to a resolution of a Disputed
Claim then Unocal and T/A shall provide joint written escrow
instructions to Escrow Agent; provided that, in no event shall
the Escrow Agent disburse, or shall Unocal be entitled to, any
remaining portion of the Total Escrow Funds in excess of the
amounts actually incurred or paid by Unocal to (x) cure the
Event of Default or (y) perform any necessary remediation as a
result of the Event of Default, in each case (x) and (y), in
order to comply with Environmental Laws, a requirement of any
Governmental Authority pursuant to Environmental Laws or a
court order.
(iv) If the dispute is submitted to arbitration,
then Escrow Agent shall continue to hold all remaining
portions of the Total Escrowed Funds, and all interest
thereon, until Escrow Agent is provided joint written
instructions from Unocal and T/A based upon the arbitrators'
final decision.
Notwithstanding any provision to the contrary, the Escrow Agent shall
not disburse any payments to Unocal unless and until Unocal submits to the
Escrow Agent, along with any joint disbursement instructions required in
accordance with Section 9(f)(iii) above, copies of supporting documentation of
the same type and nature, including the corresponding certification by Unocal,
required to be submitted by T/A in accordance with Section 8(a) above.
10. Disputes Between Unocal and T/A. In the event of a dispute
between Unocal and T/A not otherwise resolved in accordance with Sections 9(d)
or 9(e) above, an ambiguity in the provisions governing this Escrow Agreement,
or uncertainty on the part of Escrow Agent as to how to proceed, Escrow Agent
may (i) refrain from taking any action other than to safely keep the escrowed
funds until Escrow Agent shall have received joint written instructions from
Unocal and T/A, or (ii) deposit the escrowed funds and all other escrowed items
into a court of competent jurisdiction and thereupon have no further duties or
responsibilities in connection therewith.
18
11. Escrow Agent.
(a) Escrow Agent's duties are purely ministerial, and
Escrow Agent shall under no circumstances be deemed a fiduciary of any
of the parties to this Agreement. Escrow Agent undertakes to perform
only such duties as are specifically set forth herein. Escrow Agent may
rely and shall be protected in acting or refraining from acting upon
any written notice, instruction or request furnished to it hereunder
and believed by it to be genuine and to have been signed or presented
by the proper party or parties. Notwithstanding anything to the
contrary contained in this Escrow Agreement, where any action is
specified to be taken by Escrow Agent upon delivery by either Unocal or
T/A of a notice or instructions to Escrow Agent, Escrow Agent shall not
be obligated to take any action until the appropriate party has acted
by delivering the notice or instructions hereunder and indicating in
writing that a copy of such notice or instructions has been delivered
to the other party. It is acknowledged by Unocal and T/A that Escrow
Agent is bound only by the terms of this Escrow Agreement, and that
Escrow Agent is not a party to the Buyout Agreement, is not bound by
any of its terms, and shall not be required to refer to the Buyout
Agreement for any instructions. This Agreement sets forth all matters
pertinent to the duties of Escrow Agent contemplated hereunder, and no
additional obligations of Escrow Agent shall be inferred from the terms
of this Agreement or any other Agreement.
(b) Escrow Agent shall in all events act in good faith.
Escrow Agent shall not be liable for any action taken by it in good
faith and believed by it to be authorized or within the rights or
powers conferred upon it by this Agreement, and may consult with
counsel of its own choice and shall have full and complete
authorization and protection for any action taken or suffered by it
hereunder in good faith and in accordance with the opinion of such
counsel.
(c) Unocal and T/A agree jointly and severally to
indemnify Escrow Agent and hold Escrow Agent harmless against any and
all liabilities incurred by it hereunder, except for liabilities
incurred by Escrow Agent resulting from its own willful misconduct or
gross negligence.
(d) Provided the terms of this Escrow Agreement can be
complied with, Escrow Agent will not withhold completion and settlement
thereof, unless restrained by an order of a court of competent
jurisdiction or served with some other similar legal proceeding, and in
so doing, Escrow Agent will not become liable to Unocal or T/A for its
failure or refusal to comply with conflicting or adverse claims or
demands.
(e) Unocal and T/A acknowledge that Escrow Agent will
only accept further escrow instructions from the representatives of
each of them who have executed this Agreement below unless such party
provides a written instruction to Escrow Agent
19
executed by the below signatory authorizing Escrow Agent to accept
further escrow instructions executed by another specified
representative of such party.
12. Successor Agent. Escrow Agent may resign and be discharged
from its duties or obligations hereunder by giving not less than thirty (30)
days' notice in writing to the parties of such resignation specifying a date
when such resignation shall take effect. Unocal and T/A agree to designate a
successor escrow agent, by a written instrument delivered to Escrow Agent,
together with the acceptance of such successor on or before such effective date.
After the effective date of such resignation, Escrow Agent shall be under no
further obligation to perform any of the duties of Escrow Agent under this
Escrow Agreement other than to deliver the escrowed funds, and any notices or
other written communications or documents received by Escrow Agent in its
capacity as such, to the successor escrow agent.
13. Miscellaneous. This Escrow Agreement shall be governed by and
construed in accordance with the laws of the State of Ohio. This Escrow
Agreement shall inure to the benefit of and shall be binding upon the parties
hereto and their respective successors and assigns. This Escrow Agreement may be
executed in two or more counterparts, each of which shall be deemed an original,
but all of which together shall constitute but one and the same instrument.
Section headings contained in this Escrow Agreement have been inserted for
reference purposes only, and shall not be construed as part of this Escrow
Agreement. In the event that the bank acting as Escrow Agent merges or
consolidates with another bank or sells or transfers all or substantially all of
its assets or trust business, then the successor or resulting bank shall be the
Escrow Agent hereunder without the necessity of further action or the execution
of any document, so long as such successor or resulting bank meets the
requirements of a successor escrow agent hereunder. For purposes of this Escrow
Agreement, "Governmental Authority" shall mean any foreign, domestic, federal,
territorial, state or local governmental authority, quasi-governmental
authority, instrumentality, court, government or self-regulatory organization,
commission, tribunal or organization or any regulatory, administrative or other
agency, or any political or other subdivision, department or branch of any of
the foregoing.
14. Notices. Any notices, requests, approvals or elections
hereunder shall be in writing and shall be deemed received when (a) personally
served, (b) three (3) days after mailing by certified or registered United
States mail, return receipt requested, postage prepaid, or (c) one (1) day after
transmission by facsimile machine, with transmission and receipt confirmed, and
an original sent by United States mail,
addressed to T/A as follows:
TA Operating Corporation dba TravelCenters of America
00000 Xxxxxx Xxxxx Xxxx, Xxxxx 000
Xxxxxxxx, Xxxx 00000
ATTN: Xxxxx X. Xxxxxx
20
Executive Vice President and Chief Financial Officer
fax 000-000-0000
With a copy to:
TA Operating Corporation dba TravelCenters of America
00000 Xxxxxx Xxxxx Xxxx, Xxxxx 000
Xxxxxxxx, Xxxx 00000
ATTN: Xxxxxx X. Xxx
Vice President & General Counsel
Fax 000-000-0000
and addressed to Unocal as follows:
Union Oil Company of California
0000 X. Xxxx Xxxxx Xxxx
Xxxxxxxxxxxx, XX 00000
Attn: X. X. Xxxx
Operations Team Manager, Real Estate and Remediation
Phone: 000.000.0000
Fax: 000.000.0000
With a copy to:
Union Oil Company of California
00000 Xxxxxxxxx Xxxxxxx
Xxxxx Xxxx, XX 00000
Attn.: Xxxx X. Xxxxxxx, Xx.
Assistant Counsel
Phone: (000)000-0000
Fax: (000)000-0000
and addressed to Escrow Agent as follows:
National City Bank
Attn: Xxxx XxXxxxx LOC 01-2111
0000 Xxxx 0xx Xxxxxx
Xxxxxxxxx, Xxxx 00000
Telephone: 000-000-0000
Facsimile: 000-000-0000
15. Counterparts. This Agreement may be executed in several
counterparts and all counterparts so executed shall constitute one Agreement
binding on the parties hereto.
21
IN WITNESS WHEREOF, this Agreement is executed as of the day and year
first written above.
TA OPERATING CORPORATION TRAVELCENTERS OF AMERICA, INC.
d/b/a TravelCenters of America
(successor in interest by merger to
NATIONAL AUTO/TRUCKSTOPS, INC.)
BY: /s/ Xxxxx X. Xxxxxx BY: /s/ Xxxxx X. Xxxxxx
-------------------------------- --------------------------------
Xxxxx X. Xxxxxx Xxxxx X. Xxxxxx
-------------------------------- --------------------------------
Name (printed) Name (printed)
EVP & CFO EVP & CFO
-------------------------------- --------------------------------
(TITLE) (TITLE)
UNION OIL COMPANY OF CALIFORNIA
BY: /s/ X. X. Xxxx
--------------------------------
X. X. Xxxx
--------------------------------
Name (printed)
Operations Team Manager
--------------------------------
(TITLE)
ESCROW AGENT: NATIONAL CITY BANK
BY: /s/ Xxxxx X. Xxxxx
--------------------------------
Xxxxx X. Xxxxx
--------------------------------
Name (printed)
Vice President
--------------------------------
(TITLE)
22
EXHIBIT LIST
EXHIBIT "A" List of Covered Facilities
EXHIBIT "B" Escrow Fees
EXHIBIT "C" Form of Disbursement Instructions to T/A
23
EXHIBIT "A"
LIST OF COVERED FACILITIES
XXXX
# XXXX # XXXX XX XXXXXXX
-------------------------------------------------------------------------------------
0 0000-000 Mobile AL X-00 & Xxxxx Xxx Xxxx, Xxxx 0
-------------------------------------------------------------------------------------
2 9884-510 Montgomery AL X-00 & X.X. 00/00 @ X. Xxxxx Xxxx.
-------------------------------------------------------------------------------------
3 000-6730 Kingman AZ I-40 & U.S. 93
-------------------------------------------------------------------------------------
4 000-6327 Buttonwillow CA I-5 & S.R. 58
-------------------------------------------------------------------------------------
5 000-6336 Ontario CA I-10 & Xxxxxxxx Avenue Exit
-------------------------------------------------------------------------------------
6 000-6437 Redding CA I-5 & Xxxxxxxx Road
-------------------------------------------------------------------------------------
7 000-6290 Santa Nella CA I-5 & Hwy. 33, Santa Nella Exit
-------------------------------------------------------------------------------------
8 000-6398 Denver CO X-00 & Xxxx Xxxx, Xxxx 000
-------------------------------------------------------------------------------------
9 0000-000 Xxxxxxxx XX X-00 @ CT Exit 56
-------------------------------------------------------------------------------------
10 0000-000 Xxxxxxxxxxx XX X-00 & Xxx. 000, Xxxx 00
-------------------------------------------------------------------------------------
11 0000-000 Xxxxxxx XX X-00 & X.X. 000 Xxxxx, Xxxx 00
-------------------------------------------------------------------------------------
00 0000-000 Marianna FL I-10 & S.R. 71
-------------------------------------------------------------------------------------
13 0000-000 Xx. Xxxxxxxxx XX X-00 & X.X. 000 Xxxx, Xxxx 00
-------------------------------------------------------------------------------------
14 0000-000 Xxxx Xxxxx XX X-00 & X.X. 00, Xxxx 00
-------------------------------------------------------------------------------------
15 0000-000 Xxxxxxxx XX X-00 & X.X. 00, Xxxx 00
-------------------------------------------------------------------------------------
16 0000-000 Xxxxxxxx XX X-00 & X.X. 000, Xxxx 000
-------------------------------------------------------------------------------------
17 0000-000 Xxxxxxx XX X-00 & Xxx 00, Xxxx 000
-------------------------------------------------------------------------------------
18 0000-000 Xxxx Xxxx XX I-75 @ Exit 2
-------------------------------------------------------------------------------------
19 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
-------------------------------------------------------------------------------------
20 0000-000 Xxxxxxxx XX X-00 & X.X. 00 Xxxxx, Xxxx 00
-------------------------------------------------------------------------------------
00 0000-000 Council Bluffs IA X-00 & X-00, Xxxx 0
-------------------------------------------------------------------------------------
22 0000-000 Xxxxxxxxxxx XX X-00, X-00, X-00 @ Xxxxx 0, Xxxx 000X
-------------------------------------------------------------------------------------
23 0000-000 Xxxxx IL I-90 & U.S. 20
-------------------------------------------------------------------------------------
00 0000-000 Mt. Xxxxxx IL I-57 & I-64
-------------------------------------------------------------------------------------
00 0000-000 Xxxxxxx IN X-00 & X.X. 00, Xxxx 00
-------------------------------------------------------------------------------------
00 0000-000 Whitestown IN X-00 & X.X. 000, Xxxx 000
-------------------------------------------------------------------------------------
27 0000-000 Xxxxxxxx XX I-75, Exit 181
-------------------------------------------------------------------------------------
28 0000-000 Xxxxxxxxx XX I-10 & S.R. 182
-------------------------------------------------------------------------------------
00 0000-000 Slidell LA I-10, Exit 266
-------------------------------------------------------------------------------------
30 0000-000 Xxxxxxxx LA X-00 & X.X. 00, Xxxx 000
-------------------------------------------------------------------------------------
00 0000-000 Elkton MD X-00, Xxxx 000X
-------------------------------------------------------------------------------------
00 0000-000 Ann Arbor MI I-94, Exit 167
-------------------------------------------------------------------------------------
00 0000-000 Saginaw MI I-75, Exit 144
-------------------------------------------------------------------------------------
00 0000-000 Sawyer MI I-94, Exit 12
-------------------------------------------------------------------------------------
00 0000-000 Xxxxxx MN X-00 & Xxx. 000, Xxxx 000
-------------------------------------------------------------------------------------
36 0000-000 Xxxxxxxxx XX X-00 & Xxxxx X, Xxxx 000
-------------------------------------------------------------------------------------
37 0000-000 Xxxxxxxx XX X-00 & Xxx. 00, Xxxx 00
-------------------------------------------------------------------------------------
38 0000-000 Xxx Xxxxx XX X-00 & Xxxxx X, Xxxx 00
-------------------------------------------------------------------------------------
24
39 0000-000 Xxxxxxxx XX X-00 & X-00, Xxxx 000
-------------------------------------------------------------------------------------
00 0000-000 Grand Island NE I-80, Exit 305
-------------------------------------------------------------------------------------
41 0000-000 Xxxxxxxx XX I-80, Exit 126
-------------------------------------------------------------------------------------
42 0000-000 Xxxxxxxxxx XX I-78, Exit 7
-------------------------------------------------------------------------------------
00 000-0000 Albuquerque NM X-00 X., Xxxxxxxxxx Xxxx 000X
-------------------------------------------------------------------------------------
00 000-0000 Las Vegas NV X-00, Xxxx Xxxxxxx Xxxx 00
-------------------------------------------------------------------------------------
00 000-0000 Sparks NV I-80, Exit 19
-------------------------------------------------------------------------------------
46 0000-000 Xxxxxxxx XX X-00 & X.X. 00, Xxxx 00X
-------------------------------------------------------------------------------------
00 0000-000 Columbus OH X-00 & X.X. 00, Xxxx 00
-------------------------------------------------------------------------------------
00 0000-000 Hebron OH I-70 @ Ohio 37, Exit 126
-------------------------------------------------------------------------------------
49 0000-000 Xxxxxxxxxxxxxx XX X-00, Xxxx 00
-------------------------------------------------------------------------------------
50 0000-000 Xxxxxxxxxx XX I-90, Exit 235
-------------------------------------------------------------------------------------
51 0000-000 Xxxxx Xxxxxx XX I-77, Exit 111
-------------------------------------------------------------------------------------
52 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
-------------------------------------------------------------------------------------
00 0000-000 Toledo OH X-00 & X-000, Xxxx 00
-------------------------------------------------------------------------------------
54 0000-000 Xxxxxxxxxx XX X-00 & X.X. 00, Xxxx 000X
-------------------------------------------------------------------------------------
00 0000-000 Oklahoma City OK X-00 & Xxxxxx, Xxxx 000
-------------------------------------------------------------------------------------
00 000-0000 Portland OR I-5, Exit 278
-------------------------------------------------------------------------------------
57 0000-000 Xxxxx Xxxx XX X-00 & X.X. 00, Xxxx 00
-------------------------------------------------------------------------------------
58 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
-------------------------------------------------------------------------------------
59 0000-000 Xxxxxxx TN X-00 & Xxx. 000, Xxxx 00
-------------------------------------------------------------------------------------
60 0000-000 Xxxxxxxx XX X-00, Xxxx 00
-------------------------------------------------------------------------------------
61 0000-000 Xxxxxxxxx XX X-00 & X-00, Xxxx 000
-------------------------------------------------------------------------------------
62 0000-000 Xxxxxxxxx XX X-00, Xxxx 00
-------------------------------------------------------------------------------------
00 0000-000 Amarillo TX X-00 & Xxxxxxxx Xxxx, Xxxx 00
-------------------------------------------------------------------------------------
64 0000-000 Xxxxxx XX X-00 & X.X. 00, Xxxx 000
-------------------------------------------------------------------------------------
65 0000-000 Xxxxxxxx XX X-00 & X.X. 000, Xxxx 00
-------------------------------------------------------------------------------------
66 0000-000 Xxxxxxxxxx XX X-00 & Xxxxxxx Xxxx, Xxxx 000
-------------------------------------------------------------------------------------
00 000-0000 Tooele UT X-00 & Xxxxxxxxx, Xxxx 00
-------------------------------------------------------------------------------------
00 0000-000 Ashland VA X-00 & X.X. 000, Xxxx 00
-------------------------------------------------------------------------------------
69 0000-000 Xxxxxxxxxx XX X-00, Xxxx 00 X-00, Xxxx 00
-------------------------------------------------------------------------------------
70 0000-000 Xxxxxx XX X-00 & X.X. 00, Xxxx 0
-------------------------------------------------------------------------------------
71 0000-000 Xxxxxxx XX X-00/X-00 & X.X. 00, Xxxx 000
-------------------------------------------------------------------------------------
72 0000-000 Xxxxxxxxx XX X-00 & Xx. 00, Xxxx 00
-------------------------------------------------------------------------------------
73 0000-000 Xxxxxxxxxxx XX X-00 & X.X. 000, Xxxx 00
-------------------------------------------------------------------------------------
25
EXHIBIT "B"
ESCROW FEE SCHEDULE
REVIEW AND ACCEPTANCE FEE: $ 500.00
For providing initial review of the Escrow Agreement and all supporting
documents and for initial services associated with establishing the account.
This is a one (1) time fee payable upon the opening of the account.
I. FIRST YEAR ANNUAL ADMINISTRATIVE FEE $ 4000.00
(or any portion of the year thereof)
ANNUAL ADMINISTRATIVE FEE THEREAFTER $ 3000.00
(or any portion of the year thereof)
II. REMITTANCE OF CHECKS, WIRES, OR FUNDS MOVEMENT
(in excess of 12 transactions per year) $ 25.00
III. REMITTANCE OF INTERNATIONAL WIRES $ 48.00 (each-
no allowance)
IV. INVESTMENTS
PURCHASE OR SALE OF SECURITIES $ 100.00
(excluding purchase or sale of sweep investment)
or
ANNUALIZED ADMINISTRATIVE SWEEP INVESTMENT 50 Basis Points
EXTRAORDINARY SERVICES:
For any services other than those covered by the aforementioned, a special per
hour charge will be made commensurate with the character of the service, time
required and responsibility involved. Such services include but are not limited
to excessive administrative time, attendance at closings, specialized reports,
and record keeping, unusual certifications, special delivery charges, postage,
etc.
It is understood by the parties that Escrow Agent will not provide any tax
withholding, reporting services, or 1099 processing for this Escrow Agreement or
beneficiary of funds thereof.
FEE SCHEDULE IS SUBJECT TO ANNUAL REVIEW AND ADJUSTMENT, OR AS TERMS OF THE
AGREEMENT MAY BE AMENDED FROM TIME TO TIME. THIS EXHIBIT IS INCORPORATED BY
REFERENCE INTO THE ESCROW AGREEMENT.
26
EXHIBIT "C"
FORM OF DISBURSEMENT INSTRUCTIONS
FROM T/A TO ESCROW AGENT
_______________, 200__
National City Bank
0000 Xxxx 0xx Xxxxxx
Xxxxxxxxx, Xxxx 00000
Attn: ________________
Re: Escrow Agreement ("Agreement"), dated the ___ day of December, 2003, by
and among NATIONAL CITY BANK, as escrow agent ("Escrow Agent"); UNION
OIL COMPANY OF CALIFORNIA, a California corporation ("Unocal"); and TA
OPERATING CORPORATION d/b/a TravelCenters of America, a Delaware
corporation headquartered in Westlake, Ohio, successor in interest by
merger to NATIONAL AUTO/TRUCKSTOPS, INC., (hereinafter referred to as
"NATIONAL"), and TravelCenters of America, Inc., a Delaware corporation
headquartered in Westlake, Ohio (TravelCenters of America, Inc. and TA
OPERATING CORPORATION are hereinafter referred to jointly and severally
as "T/A").
Dear __________________:
The purpose of this letter is to provide you with the following disbursement
instructions (these "Instructions") in connection with the Agreement:
As described in Section 8 of the Agreement, you are hereby authorized and
directed to disburse to T/A the total amount of _______________ ($ __________),
which amount represents the total of all of the paid invoices listed on Schedule
1 hereto. Copies of the invoices listed on Schedule 1, and copies of the payment
checks disbursed to, the third-party contractors who have submitted
27
the invoices are also attached to these instructions, but you are not to be
concerned about such documents. A copy of these instructions, along with the
attachments hereto, is concurrently being sent to Unocal. The undersigned, on
behalf of T/A, hereby certify that all of such invoices have been paid. Please
reimburse such amount to T/A by _____________, 200__.
Each of the undersigned declares under penalties of perjury that the foregoing
is true and correct.
TA OPERATING CORPORATION TRAVELCENTERS OF AMERICA, INC.
d/b/a TravelCenters of America
(successor in interest by merger to
NATIONAL AUTO/TRUCKSTOPS, INC.)
BY:___________________________ BY:_____________________________
______________________________ _____________________________
Name (printed) (Name (printed)
___________________________ _______________________________
(TITLE) (TITLE)
28
SCHEDULE 1
TO T/A DISBURSEMENT INSTRUCTIONS
LIST OF PAID CONTRACTORS
Contractor Name Contractor Address Amount Previously Disbursed to Contractor
--------------- ------------------ -----------------------------------------
29
- EXHIBIT E -
LIST OF SOLD SITES
XXXX
# XXXX # XXXX XX XXXXXXX
-------------------------------------------------------------------------------------
1 0000-000 Xxxxxxxxxx XX I-59 & U.S. 11 By-Pass
-------------------------------------------------------------------------------------
2 0000-000 Xxxxx Xxxxxx Xxxx XX I-40 @ Xxxxxxxx Interchange
-------------------------------------------------------------------------------------
3 0000-000 Xxxx Xxxxxxx XX X-00, Xxxx 000 & X-00 @ 0xx Xxxxxx
-------------------------------------------------------------------------------------
4 000-6302 Blythe CA I-10 @ Mesa Drive
-------------------------------------------------------------------------------------
5 000-6204 Sacramento CA X-00 X. xx X-0 @ W. El Camino Exit
-------------------------------------------------------------------------------------
6 9883-510 Ringgold GA X-00 & X.X. 00, Xxxx 000
-------------------------------------------------------------------------------------
7 9710-510 Altoona IA I-80 @ Altoona Interchange
-------------------------------------------------------------------------------------
8 0000-000 Xxxxxxx XX I-80 & Walcott Junction Road
-------------------------------------------------------------------------------------
9 0000-000 Xxxxxx XX I-55, Exit 267
-------------------------------------------------------------------------------------
00 0000-000 Monee IL I-57 & Monee Road
-------------------------------------------------------------------------------------
11 0000-000 Xxxxx Xxxxxxx IL 000xx Xxxxxx & Calumet Expressway
-------------------------------------------------------------------------------------
00 0000-000 Troy IL I-55/I-70 & S.R. 162
-------------------------------------------------------------------------------------
13 0000-000 Xxxxxxx XX I-70 & S.R. 221, Solomon Exit
-------------------------------------------------------------------------------------
14 0000-000 Xxxxxxxxx XX X-00, Xxxx 00
-------------------------------------------------------------------------------------
15 0000-000 Xxxxxxxxxxxx XX X-00 & X.X. 000, Xxxx 00 North
-------------------------------------------------------------------------------------
16 0000-000 Xxxxxxxxxx XX X-00, Xxxx 00
-------------------------------------------------------------------------------------
17 0000-000 Xxxxxxxx XX X-00 & Xxxxxxxx Xxxx, Xxxx 00
-------------------------------------------------------------------------------------
18 0000-000 Xxxxxxxxxxxxx PA X-00 & X.X. 000, Xxxx 00
-------------------------------------------------------------------------------------
19 0000-000 Xxxxxxxx XX I-20 & U.S. 21
-------------------------------------------------------------------------------------
20 0000-000 Xxxxxxx XX X-00 & X.X. 000, Xxxx 000
-------------------------------------------------------------------------------------
21 0000-000 Xxxxxxxxxx XX I-10 & F.M. 359
-------------------------------------------------------------------------------------
22 000-6299 El Paso TX I-10 & Horizon Blvd.
-------------------------------------------------------------------------------------
00 0000-000 New Lisbon WI I-90/I-94 & S.R. 80
-------------------------------------------------------------------------------------
24 0000-000 Xxx Xxxxx XX I-94 & Rt. 100
-------------------------------------------------------------------------------------
30
