FIRST AMENDMENT FIRST AMENDMENT (this "Amendment"), dated as of March 4, 1999, among CAPSTAR BROADCASTING CORPORATION., a Delaware corporation ("Parent"), CAPSTAR BROADCASTING PARTNERS, INC, a Delaware corporation, ("Holdings"), CAPSTAR RADIO...
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FIRST AMENDMENT
FIRST AMENDMENT (this "Amendment"), dated as of March 4, 1999, among
CAPSTAR BROADCASTING CORPORATION., a Delaware corporation ("Parent"), CAPSTAR
BROADCASTING PARTNERS, INC, a Delaware corporation, ("Holdings"), CAPSTAR RADIO
BROADCASTING PARTNERS, INC., a Delaware corporation (the "Borrower"), the Banks
party hereto from time to time, NATIONSBANC XXXXXXXXXX SECURITIES LLC, as
Syndication Agent, SALOMON BROTHERS HOLDING COMPANY INC. and XXXXXXX XXXXX
CREDIT PARTNERS L.P., as Documentation Agents, and BANKERS TRUST COMPANY, as
Administrative Agent. Unless otherwise defined herein, capitalized terms used
herein and defined in the Credit Agreement referred to below are used herein as
so defined.
W I T N E S S E T H :
WHEREAS, Parent, Holdings, the Borrower, the Banks and the
Administrative Agent have entered into a Credit Agreement, dated as of May 29,
1998 (the "Credit Agreement");
WHEREAS, Xxxxxx Entertainment Enterprises Corporation ("Xxxxxx"), an
indirect subsidiary of the Borrower, is the exclusive Muzak franchisee under
two license agreements with Muzak Limited Partnership ("MLP"), and desires to
Dividend the two Muzak franchises to Parent;
WHEREAS, Borrower and TBC Radio Acquisition Corp. ("TBC"), a
subsidiary of Borrower, have entered into a merger agreement with Triathlon
Broadcasting Company ("Triathlon");
WHEREAS, Triathlon Broadcasting of Omaha, Inc. ("Triathlon Omaha"), a
subsidiary of Triathlon, owns a Muzak franchise (the "Triathlon Franchise and,
together with the Muzak franchises currently owned by Xxxxxx, the "Muzak
Franchises"), and upon consummation of the merger of TBC and Triathlon, Parent
desires to cause Triathlon Omaha to Dividend the Triathlon Franchise to Parent;
WHEREAS, Parent desires to contribute the Muzak Franchises and the
assets and certain liabilities related thereto (the "Muzak Assets"), in one or
more contributions, to ACN Holdings, LLC ("ACN Holdings") in exchange for an
approximately 20%-25% membership interest in ACN Holdings;
WHEREAS, pursuant to the Pledge Agreement, the Parent will pledge its
membership interest in ACN Holdings;
WHEREAS, in connection with this request, the parties hereto wish to
amend certain provisions in the Credit Agreement, in each case as provided
herein;
NOW, THEREFORE, it is agreed;
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A. AMENDMENTS TO THE CREDIT AGREEMENT
1. Section 9.02(vii) of the Credit Agreement is hereby amended by
inserting "(A)" after the word "may" and by inserting at the end thereof the
following new clause (B):
"or (B) transfer Muzak Assets to Holdings and Holdings may
transfer Muzak Assets to Parent, provided, that such transfer
of Muzak Assets to Parent is for the purpose of making
investments as permitted by Subsection 9.05(xx) of the Credit
Agreement".
2. Section 9.03(xi) of the Credit Agreement is hereby amended by
inserting "(A)" after the word "may" and by inserting at the end thereof the
following new clause (B):
"or (B) pay non-cash Dividends of Muzak Assets to Holdings
and Holdings may pay non-cash Dividends of Muzak Assets to
Parent, for the purpose of making investments as permitted by
Subsection 9.05(xx) of the Credit Agreement".
3. Section 9.05(xx) of the Credit Agreement is hereby amended by
inserting "(A)" after the word "may" and by inserting at the end thereof the
following new clause (B):
"or (B) make investments in ACN Holdings through non-cash
contributions of Muzak Assets."
4. Section 11.01 of the Credit Agreement is hereby amended by
inserting the following new definitions of "ACN Holdings" and "Muzak Assets" in
the appropriate alphabetical order:
"ACN Holdings" shall mean ACN Holdings, LLC, a Delaware
limited liability company.
"Muzak Assets" shall mean (i) the Parent's direct or indirect
ownership of two Muzak franchises under two license
agreements which provide programmed music in Atlanta, Macon
and Albany, Georgia and Ft. Xxxxx, Florida, (ii) upon the
consummation of a merger of TBC Radio Acquisitions Corp. and
Triathlon Broadcasting Company, the Parent's direct or
indirect ownership of a Muzak franchise located in Omaha,
Nebraska, and (iii) the assets and certain liabilities
associated with the license agreements and franchises
identified in clauses (i) and (ii) above.
B. MISCELLANEOUS PROVISIONS
1. In order to induce the Administrative Agent and the Banks to enter
into this Amendment, each of Parent, Holdings and the Borrower hereby
represents and warrants that (i) the representations and warranties contained
in the Credit Agreement and in the other Credit Documents
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are true and correct in all material respects on and as of the First Amendment
Effective Date (as defined below) (except with respect to any representations
and warranties limited by their terms to a specific date, which shall be true
and correct in all material respects as of such date), and (ii) there exists no
Default or Event of Default under the Credit Agreement on the First Amendment
Effective Date, in each case both before and after giving effect to this
Amendment.
2. This Amendment is limited as specified and shall not constitute a
modification, acceptance or waiver of any other provision of the Credit
Agreement, or any other Credit Document.
3. THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES HEREUNDER SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW
OF THE STATE OF NEW YORK.
4. This Amendment shall become effective on the date (the "First
Amendment Effective Date") when Parent, Holdings, the Borrower, the Required
Banks and the Administrative Agent shall have signed a counterpart hereof
(whether the same or different counterparts) and shall have delivered
(including by way of telecopier) the same to the Administrative Agent at the
Notice Office.
5. From and after the First Amendment Effective Date, all references
in the Credit Agreement and in the other Credit Documents to the Credit
Agreement shall be deemed to be referenced to the Credit Agreement as modified
hereby.
[Remainder of page intentionally left blank.]
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IN WITNESS WHEREOF, the undersigned have caused this First Amendment
to be duly executed and delivered as of the date first above written.
CAPSTAR BROADCASTING CORPORATION
By:
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Name:
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Title:
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CAPSTAR BROADCASTING PARTNERS, INC.
By:
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Name:
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Title:
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CAPSTAR RADIO BROADCASTING PARTNERS,
INC.
By:
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Name:
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Title:
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BANKERS TRUST COMPANY, Individually and as
Administrative Agent
By:
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Name:
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Title:
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SALOMON BROTHERS HOLDING COMPANY
INCORPORATED, Individually and as
Documentation Agent
By:
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Name:
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Title:
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XXXXXXX XXXXX CREDIT PARTNERS L.P.,
Individually and as Documentation Agent
By:
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Name:
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Title:
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NATIONSBANK, N.A., Individually
By:
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Name:
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Title:
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BANKBOSTON, N.A.
By:
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Name:
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Title:
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CYPRESSTREE SENIOR FLOATING RATE FUND
By: CypressTree Investment Management
Company, Inc. Its Managing Member
By:
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Name:
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Title:
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CYPRESSTREE INVESTMENT MANAGEMENT
COMPANY, INC.,
As: Attorney-in-Fact and on Behalf of First
Allmerica Financial Life Insurance Company
as Portfolio Manager
By:
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Name:
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Title:
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CITICORP U.S.A., Individually and as
Documentation Agent
By:
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Name:
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Title:
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CYPRESS TREE INVESTMENT MANAGEMENT
COMPANY, INC.
As: Attorney-in-Fact and on Behalf of First
Allmerica Financial Life Insurance Company
as Portfolio Manager
By:
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Name:
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Title:
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KZH CYPRESSTREE-1 LLC
By:
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Name:
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Title:
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FLOATING RATE PORTFOLIO
By: INVESCO Senior Secured Management, Inc.,
as Attorney-in-Fact
By:
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Name:
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Title:
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KZH ING-2 LLC
By:
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Name:
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Title:
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KZH SOLEIL-2 LLC
By:
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Name:
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Title:
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MASSACHUSETTS MUTUAL LIFE INSURANCE
COMPANY
By:
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Name:
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Title:
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FREMONT FINANCIAL CORPORATION
By:
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Name:
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Title:
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TRAVELERS INSURANCE COMPANY
By:
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Name:
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Title:
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BAYERISCHE HYPO- UND VEREINSBANK, AG
By:
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Name:
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Title:
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COMPAGNIE FINANCIERE DE CIC ET DE
L'UNION EUROPEENNE
By:
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Name:
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Title:
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GENERAL ELECTRIC CAPITAL CORPORATION
By:
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Name:
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Title:
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IMPERIAL BANK
By:
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Name:
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Title:
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ROYAL BANK OF CANADA
By:
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Name:
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Title:
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SOUTHERN PACIFIC BANK
By:
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Name:
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Title:
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SUMMIT BANK
By:
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Name:
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Title:
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UNION BANK OF CALIFORNIA, N.A.
By:
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Name:
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Title:
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PRIME INCOME TRUST
By:
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Name:
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Title:
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OCTAGON LOAN TRUST
By:
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Name:
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Title:
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THE INDUSTRIAL BANK OF JAPAN, LTD
By:
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Name:
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Title:
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THE SAKURA BANK LTD.
By:
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Name:
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Title:
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BANCO ESPIRITO SANTO E COMERCIAL DE
LOSBOA, NASSAU BRANCH
By:
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Name:
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Title:
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By:
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Name:
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Title:
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BEAR XXXXXXX INVESTMENT PRODUCT, INC.
By:
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Name:
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Title:
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CANADIAN IMPERIAL BANK OF COMMERCE
By:
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Name:
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Title:
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CHASE SECURITIES, INC. As Agent for The Chase
Manhattan Bank
By:
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Name:
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Title:
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CONTINENTAL ASSURANCE COMPANY
SEPARATE ACCOUNT [E]
By: TCW Asset Management Company as
Attorney-in-Fact
By:
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Name:
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Title:
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By:
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Name:
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Title:
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KZH CRESCENT-3 LLC
By:
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Name:
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Title:
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XXXXX XXXXX SENIOR INCOME TRUST
By: Xxxxx Xxxxx Management as Investment
Advisor
By:
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Name:
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Title:
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XXXXXX XXXXXXX SENIOR FUNDING, INC.
By:
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Name:
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Title:
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MOUNTAIN CLO TRUST
By:
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Name:
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Title:
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NATEXIS BANQUE BFCE
By:
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Name:
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Title:
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By:
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Name:
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Title:
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TCW LEVERAGED INCOME TRUST II, L.P.
By: TCW Advisors (Bermuda), Ltd., as General
Partner
By:
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Name:
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Title:
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TCW LEVERAGED INCOME TRUST II, L.P.,
By: TCW Investment Management Company, as
Investment Advisor
By:
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Name:
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Title:
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XXX XXXXXX SENIOR INCOME TRUST
By:
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Name:
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Title:
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XXXXX FARGO BANK, NA
By:
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Name:
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Title:
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FIRST ALLIANCE FINANCIAL LIFE INSURANCE
COMPANY
By:
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Name:
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Title:
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KZH STERLING LLC
By:
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Name:
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Title:
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KZH RIVERSIDE LLC
By:
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Name:
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Title:
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CREDIT LYONNAIS NEW YORK BRANCH
By:
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Name:
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Title:
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DRESDNER BANK AG
By:
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Name:
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Title:
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THE MITSUBISHI TRUST AND BANKING
CORPORATION
By:
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Name:
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Title:
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NATIONAL CITY BANK, CLEVELAND
By:
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Name:
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Title:
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RABOBANK NEDERLAND
By:
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Name:
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Title:
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NATIONAL WESTMINSTER BANK PLC
By:
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Name:
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Title:
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XXXXX BANK, N.A.
By:
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Name:
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Title:
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ARCHIMEDES FUNDING II, LTD.
By: ING Capital Advisors, Inc., as Collateral
Manager
By:
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Name:
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Title:
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ING HIGH INCOME PRINCIPAL PRESERVATION
FUND HOLDINGS, LDC
By: ING Capital Advisors, Inc., as Investment
Advisor
By:
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Name:
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Title:
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BANK OF MONTREAL
By:
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Name:
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Title:
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CAPTIVA III FINANCE, LTD.
By:
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Name:
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Title:
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DELANO COMPANY
By:
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Name:
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Title:
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ROYALTON COMPANY LTD. (PIMCO)
By:
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Name:
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Title:
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CERES FINANCE LTD.
By:
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Name:
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Title:
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XXXXXXXXX AERIES FINANCE LTD.
By:
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Name:
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Title:
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OASIS COLLATERALIZED HIGH INCOME
PORTFOLIOS- I LTD.
By:
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Name:
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Title:
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OXFORD STRATEGIC INCOME FUND
By:
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Name:
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Title:
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SENIOR DEBT PORTFOLIO
By: Boston Management and Research as
Investment Advisor
By:
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Name:
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Title:
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FIRST DOMINION FUNDING I
By:
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Name:
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Title:
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FRANKLIN FLOAT RATE TRUST
By:
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Name:
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Title:
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ML CLO XII PILGRIM AMERICA (CAYMAN)
LTD.
By:
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Name:
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Title:
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PILGRIM AMERICA PRIME RATE TRUST
By:
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Name:
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Title:
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PACIFICA PARTNERS I, L.P.
By:
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Name:
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Title:
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XXX CAPITAL FUNDING L.P.
By:
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Name:
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Title:
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TORONTO DOMINION (TEXAS), INC.
By:
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Name:
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Title:
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FIRST UNION NATIONAL BANK
By:
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Name:
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Title:
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AERIES FINANCE LTD.
By:
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Name:
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Title:
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CERES FINANCE LTD.
By:
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Name:
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Title:
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TRAVELERS CORPORATE LOAN FUND, INC.
By: Travelers Asset Management International
Corporation
By:
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Name:
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Title:
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ATHENA CDO, LTD.
By:
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Name:
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Title:
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SANKATY HIGH YIELD ASSET PARTNERS, L.P.
By:
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Name:
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Title:
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CYPRESSTREE INVESTMENT PARTNERS II,
LTD.
By: CypressTree Investment Management
Company, Inc., as Portfolio Manager
By:
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Name:
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Title:
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CYPRESSTREE INVESTMENT FUND, LLC
By: CypressTree Investment Management
Company, Inc., its Managing Member
By:
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Name:
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Title:
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CYPRESSTREE INSTITUTIONAL FUND, LLC
By: CypressTree Investment Management
Company, Inc., its Managing Member
By:
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Name:
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Title:
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CYPRESSTREE INVESTMENT PARTNERS I,
LTD.
By: CypressTree Investment Management
Company, Inc., as Portfolio Manager
By:
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Name:
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Title:
-----------------------------------
CYPRESSTREE SENIOR FLOATING RATE FUND
By: CypressTree Investment Management
Company, Inc., as Portfolio Manager
By:
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Name:
------------------------------------
Title:
-----------------------------------
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CYPRESSTREE INVESTMENT MANAGEMENT
COMPANY, INC.
As: Attorney-in-Fact and on Behalf of First
Allmerica Financial Life Insurance Company,
as Portfolio Manager
By:
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Name:
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Title:
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KZH CYPRESSTREE-1 LLC
By:
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Name:
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Title:
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NORTH AMERICAN SENIOR FLOATING RATE
FUND
By: CypressTree Investment Management
Company, Inc., as Portfolio Manager
By:
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Name:
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Title:
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PARIBAS
By:
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Name:
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Title:
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By:
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Name:
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Title:
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