AMENDMENT NO. 3
EXECUTION
COPY
AMENDMENT
XX. 0
XXXXXXXXX
XX. 0 dated as of September 30, 2008 (this “Agreement”)
between XXXXXX
PUBLISHING GROUP, LLC (the “Borrower”),
XXXXXX
COMMUNICATIONS COMPANY, LLC (“MCC”),
the SUBSIDIARY
GUARANTORS party hereto (the “Subsidiary
Guarantors”), XXXXXX
COMMUNICATIONS HOLDING COMPANY, LLC (“Holdings”),
the Lenders executing this Agreement on the signature pages hereto and JPMORGAN
CHASE BANK, N.A., as administrative agent for the lenders party to the
Credit Agreement referenced below (in such capacity, together with its
successors in such capacity, the “Administrative
Agent”).
The
Borrower, MCC, the lenders party thereto and the Administrative Agent are
parties to a Credit
Agreement dated as of December 14, 2005 (as amended by Amendment
No. 1 and Amendment
No. 2 and Waiver thereto and as otherwise modified and supplemented and in
effect immediately prior to the effectiveness of this Agreement, the “Credit
Agreement”). The parties hereto wish now to amend the Credit Agreement
and the Security and Guarantee Agreement and the Pledge Agreement (each as
defined therein and, collectively, the “Transaction
Documents”) in certain respects, and, accordingly, the parties hereto
hereby agree as follows:
Section
1. Definitions.
Except as otherwise defined in this Agreement, terms defined in the Credit
Agreement are used herein as defined therein.
Section
2. Amendments
to Credit Agreement. Subject to the satisfaction of the conditions
precedent specified in Section 4 hereof, but effective as of the date
hereof, the Transaction Documents shall be amended as
follows:
2.01.
References
Generally. References in each Transaction Document (including
references to such Transaction Document as amended hereby) to “this Agreement”
(and indirect references such as “hereunder”, “hereby”, “herein” and “hereof”)
shall be deemed to be references to such Transaction Document as amended hereby.
This Agreement is a Loan Document for all purposes of the Credit Agreement and
the other Loan Documents.
2.02.
Defined
Terms. Section 1.01 of the Credit Agreement is hereby amended by (i)
amending the following definitions in their entirety (to the extent such
definitions are already included in said Section 1.01) and (ii) adding the
following definitions in the appropriate alphabetical location (to the extent
such definitions are not already included in said Section
1.01):
“Affiliate”
means any Person that directly or indirectly controls, or is under common
control with, or is controlled by, the Borrower and, if such Person is an
individual, any member of the immediate family (including parents, spouse,
children and siblings) of such individual and any trust whose principal
beneficiary is such individual or one or more members of such immediate family
and any Person who is controlled by any such member or trust. As used in this
definition, “control”
(including, with its correlative meanings, “controlled
by” and “under
common control with”) means possession, directly or indirectly, of power
to direct or cause the direction of management or policies (whether through
ownership of securities or partnership or other ownership interests, by contract
or otherwise), provided
that, in any event, any Person that owns directly or indirectly securities
having 20% or more of the voting power for the election of directors or other
governing body of a corporation or 20% or more of the partnership or
other
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ownership
interests of any other Person (other than as a limited partner of such other
Person) will be deemed to control such corporation or other Person.
Notwithstanding the foregoing, (a) no individual (other than Xxxxxxx X.
Xxxxxx III) shall be an Affiliate solely by reason of his or her being a
director, officer or employee of MCC or any of its Restricted Subsidiaries and
(b) no sibling of Xxxxxxx X. Xxxxxx III shall be an Affiliate solely by reason
of his or her being such a sibling.
“Amendment
No. 3 Effective Date”
means the date of Amendment No. 3 hereto.
“Applicable
Rate”
means, for any day, with respect to the commitment fees payable hereunder, or
with respect to any Type of Revolving Credit Loan or Tranche A Term Loan, the
rate per annum set forth below under the caption “ABR” or “Eurodollar” for the
applicable Class, or “Commitment Fee”, respectively, based upon the Cash Flow
Ratio as of the most recent determination date:
Revolving
Credit Loans
and
Tranche A Term Loans
|
||||||||||||
Cash
Flow Ratio
|
ABR
|
Eurodollar
|
Commitment
Fee
|
|||||||||
Greater
than or equal to 5.50 to 1
|
1.500 | % | 2.500 | % | 0.500 | % | ||||||
Less
than 5.50 to 1 but greater than or equal to 5.00 to 1
|
1.250 | % | 2.250 | % | 0.500 | % | ||||||
Less
than 5.00 to 1 but greater than or equal to 4.50 to 1
|
1.125 | % | 2.125 | % | 0.500 | % | ||||||
Less
than 4.50 to 1 but greater than or equal to 4.00 to 1
|
1.000 | % | 2.000 | % | 0.500 | % | ||||||
Less
than 4.00 to 1
|
0.925 | % | 1.925 | % | 0.500 | % |
-provided
that, for any day after March 31, 2009, each rate per annum set forth above
under the captions “ABR” and “Eurodollar” shall be increased by 0.500%. For
purposes of the foregoing, (i) the Cash Flow Ratio shall be determined as
of the end of each fiscal quarter of MCC’s fiscal year based upon MCC’s
consolidated financial statements delivered pursuant to Section 5.01(a)
or (b) and (ii) each change in the Applicable Rate resulting from a
change in the Cash Flow Ratio shall be effective during the period commencing on
and including the date three Business Days after delivery to the Administrative
Agent of such consolidated financial statements indicating such change and
ending on the date immediately preceding the effective date of the next such
change; provided
that the Cash Flow Ratio shall be deemed to be in the highest category indicated
above (A) at any time that an Event of Default has occurred and is
continuing and (B) if MCC fails to deliver the consolidated financial
statements required to be delivered by it pursuant to Section 5.01(a)
or (b), during the period from the expiration of the time for delivery
thereof until such consolidated financial statements are
delivered.
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The
Applicable Rate for Revolving Credit Loans, Tranche A Term Loans and Commitment
Fees, until the delivery of MCC’s consolidated financial statements delivered
pursuant to Section 5.01(a) or (b) for the fiscal quarter ending
September 30, 2006, shall not be lower than the rates set forth above for a
Cash Flow Ratio of less than 5.50 to 1 but greater than or equal to 5.00
to 1.
“Cash
Flow”
means, for any period, the sum, for MCC and its Restricted Subsidiaries
(determined on a consolidated basis without duplication in accordance with
GAAP), of the following: (a) net operating income for such
period, calculated before federal, state and local income taxes, Interest
Expense, extraordinary and unusual items (other than any one-time charges
related to start-up expenses for the shared services center and business and
technology platform), income or loss attributable to equity in Affiliates and
Other Income, it being understood that the first $1,000,000 of Other Rental
Income for any period shall be included in “net operating income”, plus
(b) non-cash items for such period, including, without limitation,
depreciation and amortization, impairment charges with respect to goodwill and
other intangibles, unrealized gains or losses on financial instruments (such as
contemplated by FAS 133), non-cash financing losses on the extinguishment of
debt and the non-cash portion of post-retirement benefits (to the extent
deducted in determining net operating income), plus
(c) non-recurring cash severance charges for such period not exceeding
$5,000,000 in the aggregate during the period commencing on July 1, 2008 through
the term of this Agreement. MCC and its Restricted Subsidiaries shall be
permitted to add back for any period ending on or prior to December 31, 2006, up
to $2,500,000 of hurricane related expenses and losses (including lost revenue).
In determining “net operating income” for any period, there shall be excluded
from expenses the aggregate amount of Special Deferred Compensation for such
period.
Notwithstanding
the foregoing, in determining Cash Flow as at any date with respect to any
period, appropriate adjustments shall be made to take into account the effect of
any acquisition or Disposition during such period (or thereafter through such
date) involving aggregate consideration in excess of $1,000,000, as if such
acquisition or Disposition had occurred on the first day of such
period.
“Disposition”
means any sale, assignment, transfer or other disposition of any Property
(whether now owned or hereafter acquired) by MCC or any of its Restricted
Subsidiaries to any Person, including any Casualty Event, but excluding any
sale, assignment, transfer or other disposition of (a) any Property sold or
disposed of in the ordinary course of business and on ordinary business terms
and (b) any Property in an aggregate amount of less than
$1,000,000.
“Fixed
Charge Coverage Ratio”
means, as at any date of determination, the ratio of (a) Cash Flow for the
period of four fiscal quarters ending on or most recently ended prior to such
date to (b) the sum (without duplication) of (i) the amount, if any, by
which the aggregate principal amount of Revolving Credit Loans outstanding
hereunder at the beginning of such period shall exceed the aggregate amount of
the Revolving Credit Commitments scheduled to be in effect at the end of such
period after giving effect to any reductions of such Commitments scheduled to
occur during such period pursuant to Section 2.06 plus
(ii) all regularly scheduled payments or regularly scheduled mandatory
prepayments of principal of any other Indebtedness made during such period
(including the Term Loans and the principal component of any payments in respect
of Capital Lease Obligations, but excluding (u) the final installment of
principal of the Term Loans, (v)
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any
prepayments pursuant to Section 2.08, (w) any Indebtedness of the type
described in clause (c) or (f) of the definition of such term in this
Section 1.01, except to the extent MCC and its Restricted Subsidiaries have
made payments in respect of the principal thereof during such period,
(x) the final installment of principal of any Indebtedness permitted
hereunder that is secured by the aircraft assets of MCC and its Subsidiaries or
Swingline Indebtedness, (y) any payments on Intercompany Indebtedness and
(z) for any such period of four fiscal quarters ending on December 31, 2008 or
March 31, 2009, any payments of principal made by the Borrower pursuant to
Section 2.07(a)(ii)) plus
(iii) all Interest Expense for such period plus
(iv) income taxes for such period (excluding, however, taxes
attributable to (1) the Proposed Disposition (as defined in the Amendment No. 2
and Waiver hereto) to the extent proceeds with respect to such Proposed
Disposition are not included in Cash Flow, (2) Unrestricted Subsidiaries to the
extent paid by such Unrestricted Subsidiaries, (3) any Disposition to the extent
proceeds with respect to such Disposition are not included in Cash Flow and (4)
Indebtedness repurchased) plus
(v) Restricted Payments made in cash during such period plus
(vi) Capital Expenditures for such period, excluding (x) Capital
Expenditures funded by Capital Expenditure Contributions made during the twelve
month period ending on or most recently ended prior to such date (as
contemplated by the definition of such term in this Section 1.01) and
(y) Capital Expenditures related to start-up expenses for the shared
services center and business and technology platform, provided
that (i) the aggregate amount of such charges and expenses that may be so
excluded shall not exceed $7,500,000 for any period ending on or before
December 31, 2006 and (ii) no such charges and expenses may be
excluded for any period ending after December 31, 2006.
“Intercompany
Indebtedness”
means Indebtedness of any Loan Party owing to MCC or any Restricted Subsidiary
of MCC.
“June
30, 2009 Financial Statements Delivery Date”
means the earlier of (x) August 29, 2009 and (y) the date of delivery of MCC’s
consolidated financial statements for the fiscal quarter ending on June 30, 2009
pursuant to Section 5.01(a).
“Loan
Parties”
means, collectively, the Borrower and the Guarantors.
“March
31, 2009 Financial Statements Delivery Date”
means the earlier of (x) May 30, 2009 and (y) the date of delivery of MCC’s
consolidated financial statements for the fiscal quarter ending on March 31,
2009 pursuant to Section 5.01(a).
“Mortgages”
means, collectively, one or more instruments of Mortgage, Deeds of Trust,
Assignment of Rents, Security Agreement and Fixture Filing executed by an
Obligor in favor of the Administrative Agent and the Lenders (or in favor of a
trustee for the benefit of the Administrative Agent and the Lenders) and
covering the properties and leasehold interests identified in Schedule VI
that are to be subject to the Lien of a Mortgage and any other mortgage, deed of
trust, deed to secure debt or any other agreement evidencing a real property
security interest in favor of the Lenders delivered in connection with the Loan
Documents.
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“Restricted
Payment”
means, collectively, (a) all distributions of MCC and its Restricted
Subsidiaries (in cash, Property or obligations) on, or other payments or
distributions on account of, or the setting apart of money for a sinking or
other analogous fund for, or the purchase, redemption, retirement or other
acquisition of, any portion of any ownership interest in MCC or any of its
Subsidiaries or of any warrants, options or other rights to acquire any such
ownership interest (or to make any payments to any Person, such as “phantom
stock” payments, where the amount thereof is calculated with reference to fair
market or equity value of MCC or any of its Subsidiaries) and (b) any payments
made by MCC or the Borrower to any holders of any equity interests in MCC or the
Borrower that are designed to reimburse such holders for the payment of any
Taxes attributable to the operations of MCC and its
Subsidiaries.
“Security
Documents”
means, collectively, the Security and Guarantee Agreement, the Mortgages, the
Pledge Agreement and any other collateral agreement, intercreditor agreement,
license or sub-license agreement or account control agreement delivered in
connection with the Loan Documents, and all Uniform Commercial Code financing
statements required by such documents to be filed with respect to the security
interests in personal property and fixtures created pursuant to such
documents.
“Subordinated
Indebtedness”
means, collectively, (a) Indebtedness of the Loan Parties in respect of the
2003 Senior Subordinated Notes and (b) other Indebtedness that is
subordinated to the obligations of the Obligors under this Agreement and the
other Loan Documents.
2.03.
Deletion
of Definitions of “Excluded Property”, “Excluded Property Guarantee” and
Savannah Disposition. Section
1.01 of the Credit Agreement is hereby amended by deleting the definitions of
“Excluded Property”, “Excluded Property Guarantee” and “Savannah Disposition”
contained therein.
2.04.
Removal
of References to “Excluded Property” and “Excluded Property
Guarantee”.
(a) Section
1.01 of the Credit Agreement is hereby amended by deleting the last sentence of
each of the definitions of “Indebtedness” and “Investments” contained
therein.
(b) The
second paragraph of Section 5.07 of the Credit Agreement is hereby amended by
deleting the parenthetical “(other than Liens on Excluded Property)” contained
therein.
(c) Section
6.01(c)(v) of the Credit Agreement is hereby amended to read in its entirety as
follows:
“(v)
[Intentionally deleted.];”
(d) Section
6.02(n) of the Credit Agreement is hereby amended to read in its entirety as
follows:
“(n)
[Intentionally deleted.];”
(e) The
first paragraph of Section 4 of the Security and Guarantee Agreement is hereby
amended by deleting the words “excluding the Excluded Property,”
contained therein.
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(f)
Section 4.04(4) of the Pledge Agreement is hereby amended by deleting the words
“and any distributions of Excluded Property” contained therein.
2.05.
Scheduled
Termination and Reduction of Commitments.
Section 2.06(a) of the Credit Agreement is hereby amended by replacing the
heading thereto with the heading “Scheduled
Termination and Reduction of Commitments” and adding the following new
sentences at the end thereof:
“In
addition, the Revolving Credit Commitments shall be automatically ratably
reduced to $100,000,000 effective on the Amendment No. 3 Effective Date.
Concurrently with any such reduction in the Revolving Credit Commitments, the
Borrower shall prepay Revolving Credit Loans in accordance with
Section 2.08 to the extent necessary so that, after giving effect to such
reduction, the total Revolving Credit Exposures do not exceed the total
Revolving Credit Commitments.”
2.06.
Incremental
Term Loans.
Section 2.01(c) of the Credit Agreement is hereby amended by adding the
following new paragraph at the end thereof:
“Anything
in this Agreement to the contrary notwithstanding, unless the Required Lenders
shall otherwise agree, the Borrower shall not have the right to request or
borrow any Incremental Term Loans.”
2.07.
Requests
for Borrowings.
(a) Section
2.03(a) of the Credit Agreement is hereby amended by replacing the subclause
“(ii) in the case of an ABR Borrowing, not later than 11:00 a.m., New York City
time, on the date of the proposed Borrowing” contained therein with “(ii) in the
case of an ABR Borrowing, not later than 11:00 a.m., New York City time, one
Business Day before the date of the proposed Borrowing”.
(b) Section
2.03(b) of the Credit Agreement is hereby amended by deleting the “and” at the
end of clause (v) thereof, replacing the “.” at the end of clause (vi) thereof
with “; and” and adding the following new clause (vii) at the end
thereof:
“(vii) a
certification that after giving effect to such Borrowing the total Revolving
Credit Exposures, together with the aggregate amount of Swingline Indebtedness,
does not exceed the total Revolving Commitments.”
2.08.
Commitment
Increases. Section 2.06(e) of the Credit Agreement is hereby amended by
adding the following new paragraph at the end thereof:
“Anything
in this Agreement to the contrary notwithstanding, unless the Required Lenders
shall otherwise agree, the Borrower shall not have the right to request or
increase the total aggregate amount of the Revolving Credit Commitments
hereunder.”
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2.09.
Mandatory
Prepayments.
Section 2.08 of the Credit Agreement is hereby amended to read in its entirety
as follows:
“Section
2.08. Prepayment
of Loans.
(a) Optional
Prepayments. The Borrower shall have the right at any time and from time
to time to prepay any Borrowing in whole or in part, subject to the requirements
of this Section. Any prepayment of the Term Loans shall be applied to the
respective Term Loans of each Class ratably in accordance with the respective
outstanding principal amounts thereof and to the installments thereof ratably in
accordance with the respective principal amounts thereof.
(b) Mandatory
Prepayments. The Borrower will prepay the Loans, and/or the Commitments
shall be subject to automatic reduction, as follows:
(i) Dispositions.
No later than five Business Days after the occurrence of any Disposition, the
Borrower will deliver to the Lenders a statement, certified by a senior officer
of the Borrower, in form and detail satisfactory to the Administrative Agent, of
the amount of the Net Proceeds of such Disposition and, to the extent the Net
Proceeds from such Disposition (when taken together with the aggregate amount of
Net Proceeds from all other such Dispositions for which a prepayment has not yet
been made under this Section 2.08(b)(i)) shall exceed $5,000,000, the
Borrower shall prepay the Loans, and the Commitments shall be subject to
automatic reduction, as follows:
(A)
concurrently with the delivery of such statement, in an aggregate amount equal
to 100% of the Net Proceeds of such Dispositions so received by MCC and its
Subsidiaries; and
(B)
thereafter, quarterly, on the date of the delivery by the Borrower to the
Lenders pursuant to Section 5.01 of financial statements for each quarterly
fiscal period, to the extent MCC or any of its Subsidiaries shall receive Net
Proceeds during such quarterly fiscal period under deferred payment arrangements
or Investments entered into or received in connection with any Disposition, an
amount equal to (x) 100% of the aggregate amount of such Net Proceeds minus
(y) any transaction expenses associated with such Disposition and not previously
deducted in the determination of Net Proceeds plus
(or minus,
as the case may be) (z) any other adjustment received (or paid) by MCC or such
Subsidiary pursuant to the respective agreements, if any, giving rise to such
Disposition and not previously taken into account in the determination of the
Net Proceeds of such Disposition, provided
that, if prior to the date upon which the Borrower would otherwise be required
to make a prepayment under this clause (B) with respect to any quarterly
fiscal period the aggregate amount of such Net Proceeds received shall aggregate
an amount that will require a prepayment of $5,000,000 or more under this clause
(B) with respect to such quarterly fiscal period, then the Borrower shall
immediately make a prepayment under this clause (B) in an amount equal to such
required prepayment.
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Prepayments
of Loans and reductions of Commitments shall be effected in each case in the
manner and to the extent specified in clause (v) of this Section 2.08(b).
Nothing in this Section 2.08(b)(i) shall be deemed to limit the obligation
of the Borrower to obtain the consent of the Required Lenders pursuant to
Section 9.02(b) for any Disposition described above not otherwise permitted
under this Agreement.
(ii)
Equity
Issuance. Upon any Equity Issuance (other than an Equity Issuance by a
Restricted Subsidiary of MCC to MCC or another Restricted Subsidiary of MCC),
the Borrower will deliver to the Lenders a statement, certified by a senior
officer of the Borrower, in form and detail satisfactory to the Administrative
Agent, of the amount of the Net Proceeds thereof and the Borrower shall prepay
the Loans, and the Commitments shall be subject to automatic reduction, in an
aggregate amount equal to 100% of the Net Proceeds of such Equity Issuance, such
prepayment and reduction to be effected in each case in the manner and to the
extent specified in clause (v) of this Section 2.08(b). Notwithstanding the
foregoing, the Borrower shall not be required to make a prepayment pursuant to
this Section 2.08(b) until such time as the aggregate Net Proceeds received
by it with respect to all such Equity Issuances made by it after the date hereof
shall exceed $5,000,000.
(iii)
Change
of Control. Upon the occurrence of any “change of control” as defined
under the 2003 Senior Subordinated Notes, the Borrower shall prepay the
outstanding principal amount of all Loans, and all of the Commitments shall
terminate.
(iv)
Maximum
Cash Balances. If MCC and its Subsidiaries shall maintain Cash and Cash
Equivalents in excess of $15,000,000 in the aggregate as of the close of
business (New York time) on any Business Day, MCC shall, not later
12:00 noon (New York time) on the next succeeding Business Day, prepay
the outstanding Revolving Credit Loans in an aggregate amount not less than
the amount of such excess.
(v) Application.
Prepayments and/or reductions of Commitments pursuant to this paragraph (other
than prepayments pursuant to clause (iv) of this paragraph) shall be applied as
follows:
first,
to the prepayment of the outstanding Term Loans, ratably in accordance with the
respective principal amounts thereof, and to the installments thereof ratably in
accordance with the respective principal amounts thereof,
and
second,
following the prepayment in full of all outstanding amounts of Term Loans to the
prepayment of the Revolving Credit Loans (and to the simultaneous reduction of
the Revolving Credit Commitments or, to the extent the Revolving Credit Loans
shall have been paid in full, the Revolving Credit Commitments shall be
automatically reduced by an amount equal to the amount of such required
prepayment).
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(c) Notices,
Etc.
Except for prepayments pursuant to clause (iv) of Section 2.08(b),
the Borrower shall notify the Administrative Agent by telephone (confirmed by
telecopy) of any prepayment hereunder (i) in the case of prepayment of a
Eurodollar Borrowing, not later than 11:00 a.m., New York City time, three
Business Days before the date of prepayment or (ii) in the case of
prepayment of an ABR Borrowing, not later than 11:00 a.m., New York
City time, one Business Day before the date of prepayment. Each such notice
shall be irrevocable and shall specify the prepayment date, the principal amount
of each Borrowing or portion thereof to be prepaid and, in the case of a
mandatory prepayment, a reasonably detailed calculation of the amount of such
prepayment; provided
that, if a notice of prepayment is given in connection with a conditional notice
of termination of the Revolving Credit Commitments as contemplated by
Section 2.06, then such notice of prepayment may be revoked if such notice
of termination is revoked in accordance with Section 2.06. Promptly
following receipt of any such notice relating to a Borrowing, the Administrative
Agent shall advise the relevant Lenders of the contents thereof. Each partial
prepayment of any Borrowing shall be in an amount that would be permitted in the
case of a Borrowing of the same Type as provided in Section 2.02, except as
necessary to apply fully the required amount of a mandatory prepayment. Each
prepayment of a Borrowing shall be applied ratably to the Loans included in the
prepaid Borrowing. Prepayments shall be accompanied by accrued interest to the
extent required by Section 2.10 and shall be made in the manner specified
in Section 2.07(c).”
2.10.
Financial
Statements and Other Information. Section 5.01 of the Credit Agreement is
hereby amended by adding the following new paragraph at the end
thereof:
“MCC and
the Borrower will, promptly after the delivery of the financial statements
pursuant to paragraphs (a) and (b) above and at reasonable times and upon
reasonable advance notice, host an update call with the Lenders to discuss said
financial statements and the business, operations and strategic plan of MCC and
its Subsidiaries.”
2.11.
Certain
Obligations Respecting Restricted Subsidiaries.
The second sentence of Section 5.07 of the Credit Agreement is hereby amended by
replacing the parenthetical “(other than to MCC or another Restricted
Subsidiary)” contained therein with “(other than to any Loan
Party)”.
2.12.
Further
Assurances.
The last paragraph of Section 5.08 of the Credit Agreement is hereby amended to
read in its entirety as follows:
“If any
Obligor shall acquire or, in the case of any real property located in the State
of Florida, own any real property interest, including improvements, after the
Effective Date having a fair market value of $3,000,000 or more (or shall make
improvements upon any existing real property interest resulting in the fair
market value of such interest together with such improvements being equal to
$3,000,000 or more), then (subject, in the case of any such interest that is a
leasehold interest, to the delivery by the relevant landlords of any required
landlord consent and memoranda of lease for recording in the appropriate county
land office) it will (or, as applicable, will cause the respective Obligor
holding such real property interest to) execute and deliver in favor of the
Administrative Agent a mortgage, deed of trust or deed to secure debt (as
appropriate for the jurisdiction in which such respective real property is
situated) pursuant to which such Obligor will create a Lien upon such real
property interest (and improvements) in favor of the Administrative Agent for
the benefit of the Lenders (and any affiliate thereof that is a
-9-
party to
any Interest Rate Protection Agreement entered into with the Borrower) as
collateral security for the obligations of the Obligors hereunder and under the
Security Documents, and will deliver (or, or in case of landlords’ consents,
will use its best efforts to cause the relevant landlords to deliver) such
opinions of counsel, landlords’ consents, and title insurance policies as the
Administrative Agent shall reasonably request in connection therewith, provided
that, with respect to any real property interest in the State of Florida (i) the
foregoing requirements shall not be required to be satisfied until the date 60
days (or up to 120 days if so extended at the sole discretion of the
Administrative Agent) after the Amendment No. 3 Effective Date, (ii) MCC and its
Subsidiaries shall not be required to take (and the Administrative Agent and the
Lenders agree not to take) any action resulting in the payment of any mortgage
filing taxes to the State of Florida (or any Governmental Authority thereof)
until March 31, 2009 and (iii) if applicable, the Administrative Agent may in
its sole discretion reduce the amount of the obligations of the Obligors
hereunder that are secured by any such Lien in order to reduce the amount of any
mortgage recording taxes payable to the State of Florida (or any Governmental
Authority thereof) in respect of such Lien.”
2.13.
Prohibition
of Fundamental Changes.
(a)
Section 6.01(c)(i) of the Credit Agreement is hereby amended by replacing the
subclause “(y) MCC or any other Restricted Subsidiary” contained therein with
“(y) MCC or any other Restricted Subsidiary so long as the survivor company
shall be a Loan Party”.
(b)
Section 6.01(c)(ii) of the Credit Agreement is hereby amended by replacing each
reference to “Affiliate” contained therein with “Affiliate that is not a Loan
Party”.
(c)
Section 6.01(c)(iii) of the Credit Agreement is hereby amended by adding the
words “, provided
that any such sale, lease, transfer or other disposition to an Affiliate that is
not a Loan Party shall satisfy the requirements of Section 6.09” at the end
thereof.
(d) The
last “proviso” paragraph of Section 6.01(c)(iv) of the Credit Agreement is
hereby amended to read in its entirety as follows:
“provided
that (X) no acquisition may be made under this clause (iv) unless at the time
thereof, and after giving effect thereto, no Default shall have occurred and
shall be continuing, (Y) other than any such acquisitions identified on Schedule
VII hereto in respect of which MCC or any of its Restricted Subsidiaries has on
the Amendment No. 3 Effective Date an obligation (contingent or otherwise) to
consummate such acquisition at a later date, the aggregate consideration paid in
connection with all such acquisitions consummated after the Amendment No. 3
Effective Date shall not exceed $5,000,000 and (Z) the Borrower shall not be
required to deliver the agreements, environmental surveys and pro forma
calculations otherwise required by the foregoing clauses (x), (y) and (z) unless
requested by the Administrative Agent;”
(e)
Section 6.01(c)(vi) of the Credit Agreement is hereby amended by adding the
words “, provided
that any such sale, transfer or other disposition to an Affiliate that is not a
Loan Party shall satisfy the requirements of Section 6.09” at the end
thereof.
-10-
(f)
Section 6.01(c)(vii) of the Credit Agreement is hereby amended by adding the
following new clause (u) immediately before clause (v) thereof:
“(u) any
such sale, transfer or other disposition to an Affiliate that is not a Loan
Party shall satisfy the requirements of Section 6.09,”
Section
6.01(c)(viii) of the Credit Agreement is hereby amended to read in its entirety
as follows:
“(viii)
MCC and its Restricted Subsidiaries may sell, transfer or otherwise dispose of
assets relating to its outdoor advertising business; provided
that,
(w) both
immediately prior to such sale, transfer or other disposition and, after giving
effect thereto, no Default shall have occurred and be continuing;
(x)
unless the Required Lenders shall otherwise agree, at least 90% of the
consideration for such Disposition shall be paid in cash;
(y) such
sale, transfer or other disposition shall be made for fair market value;
and
(z) such
sale, transfer or other disposition to an Affiliate that is not a Loan
Party shall satisfy the requirements of Section 6.09.”
(h) Section
6.01 of the Credit Agreement is hereby amended by adding the following new
clause (d) at the end thereof:
“(d)
Mandatory
Transaction. Notwithstanding the foregoing provisions of this Section,
MCC shall, and/or, as applicable, shall cause its relevant Restricted
Subsidiaries to:
(i) on or
prior to the March 31, 2009 Financial Statements Delivery Date, enter into a
binding letter of intent to enter into a transaction the consummation of which
would either (X) require the prepayment in full of all obligations under the
Loan Documents and the termination of all Commitments hereunder or (Y) generate
proceeds sufficient to either prepay in full all obligations under the Loan
Documents and terminate all Commitments hereunder or purchase an assignment of
all Loans and Commitments at par; provided
that (A) MCC shall provide prompt notice to the Lenders of its entry into any
such letter of intent, (B) to the extent any such transaction is to be a
Disposition, such Disposition (both as contemplated by such letter of intent and
when actually consummated) shall meet the requirements set forth in clauses (w),
(x), (y) and (z) of Section 6.01(c)(viii) irrespective of whether such
Disposition relates to the outdoor business and (C) in the case of the foregoing
clause (Y), MCC or the relevant Restricted Subsidiary, as applicable, shall have
delivered an irrevocable notice and agreement to the Lenders on or prior to
entering into any such letter of intent wherein MCC or such Restricted
Subsidiary shall agree to make such prepayment and termination or purchase such
assignment, as the case may be, immediately upon the consummation of such
transaction; and
-11-
(ii)
either (x) cause such letter of intent (and, as applicable, the irrevocable
notice and agreement delivered pursuant to subclause (C) of the proviso to the
foregoing clause (i)) to remain in full force and effect until the March 31,
2009 Financial Statements Delivery Date or (y) consummate such transaction on or
prior to the March 31, 2009 Financial Statements Delivery Date.”
2.14.
Limitation
on Liens.
(a)
Section 6.02(i) of the Credit Agreement is hereby amended to read in its
entirety as follows:
“(i)
[Intentionally deleted.];”
(b)
Section 6.02(m) of the Credit Agreement is hereby amended to read in its
entirety as follows:
“(m)
additional Liens in existence immediately prior to the Amendment No. 3 Effective
Date securing Indebtedness in an aggregate amount up to but not exceeding
$10,000,000;”
2.15.
Indebtedness.
Section 6.03 of the Credit Agreement is hereby amended to read in its entirety
as follows:
“Section 6.03. Indebtedness
MCC will
not, nor will it permit any of its Restricted Subsidiaries to, create, incur or
suffer to exist any Indebtedness except:
(a)
Indebtedness to the Lenders hereunder;
(b)
Indebtedness outstanding on the date hereof and listed in Part A of
Schedule II hereto;
(c) (x)
Intercompany Indebtedness and (y) Indebtedness of any Subsidiary of MCC that is
not a Loan Party that constitutes an Investment permitted under Section 6.04(e)
or (g);
(d)
Indebtedness in respect of the 2003 Senior Subordinated Notes in an aggregate
principal amount not exceeding $279,000,000;
(e)
[Intentionally deleted.];
(f)
[Intentionally deleted.];
(g)
[Intentionally deleted.];
(h)
[Intentionally deleted.];
(i)
[Intentionally deleted.];
-12-
(j) any
Indebtedness of the type described in clause (f) of the definition of such term
in Section 1.01 outstanding immediately prior to the Amendment No. 3 Effective
Date up to but not exceeding $10,000,000 in the aggregate at any one time
outstanding;
(k)
Indebtedness of the Borrower or MCC in an aggregate amount not exceeding
$10,000,000;
(l)
Indebtedness in respect of Capital Lease Obligations permitted to be incurred
under Sections 6.01(c)(vii) and 6.05(f); and
(m)
additional Indebtedness of MCC or any Restricted Subsidiary to any Person other
than an Affiliate up to but not exceeding $10,000,000 in aggregate principal
amount at any one time outstanding.”
2.16.
Investment
Section 6.04 the Credit Agreement is hereby amended to read in its entirety as
follows:
“Section
6.04. Investments.
MCC will not, nor will it permit any of its Restricted Subsidiaries to, make or
permit to remain outstanding any Investments except:
(a)
Investments outstanding on the date hereof and identified in Part B of
Schedule IV hereto;
(b) Cash
and Cash Equivalents;
(c)
Investments in Loan Parties;
(d)
Interest Rate Protection Agreements in the ordinary course of business and not
for speculative purposes;
(e) (x)
Investments in existence on the Amendment No. 3 Effective Date in Subsidiaries
of MCC that are not Loan Parties up to but not exceeding $35,000,000 in the
aggregate, (y) Investments in existence on the Amendment No. 3 Effective Date
and identified in Part D of Schedule IV hereto in Persons that are neither MCC
nor Subsidiaries of MCC and (z) other Investments in existence on the Amendment
No. 3 Effective Date in Persons that are neither MCC nor Subsidiaries of MCC up
to but not exceeding $1,000,000 individually and $5,000,000 in the aggregate;
provided
that in the case of each of the foregoing clauses (x), (y) and (z) no such
Investment shall be made after the Amendment No. 3 Effective Date;
(f) loans
to Shivers in an aggregate amount at any one time not exceeding
$12,500,000; provided
that no such loan shall be made after the Amendment No. 3 Effective Date at any
time when a Default has occurred and is continuing; and
(g)
additional working capital Investments in the ordinary course of business in
Subsidiaries of MCC that are not Loan Parties in an aggregate amount at any time
not exceeding $6,000,000.
-13-
For
purposes of clauses (f) and (g) of this Section, the aggregate amount of an
Investment at any time shall be deemed to be equal to (i) the aggregate
amount of cash, together with the aggregate fair market value of property,
loaned, advanced, contributed, transferred or otherwise invested that gives rise
to such Investment
minus
(ii) the aggregate amount of dividends, distributions or other payments
received in cash in respect of such Investment; the amount of an Investment
shall not in any event be reduced by reason of any write-off of such Investment
nor increased by any increase in the amount of earnings retained in the Person
in which such Investment is made that have not been dividended, distributed or
otherwise paid out.”
2.17.
Restricted
Payments.
Section 6.05 of the Credit Agreement is hereby amended to read in its entirety
as follows:
“Section
6.05. Restricted
Payments. MCC will not, nor will it permit any of its Restricted
Subsidiaries to, declare or make any Restricted Payment at any time, except
that, so long as at the time thereof and after giving effect thereto (and to any
concurrent incurrence of any Indebtedness) no Default or Event of Default shall
have occurred and be continuing:
(a)
[Intentionally deleted.];
(b)
[Intentionally deleted.];
(c)
[Intentionally deleted.];
(d) MCC
may make payments to Holdings and Xxxxxxx pursuant to the Tax Consolidation
Agreements;
(e) MCC
may make Restricted Payments to officers and other executive employees of MCC
and its Subsidiaries to the extent constituting Special Deferred
Compensation;
(f)
[Intentionally deleted.];
(g) MCC
may make Restricted Payments in respect of one or more employee compensation
plans (including “phantom stock” payments referred to in the definition of the
term “Restricted Payments” in Section 1.01) maintained for employees of MCC
and its Restricted Subsidiaries so long as the aggregate amount of such
Restricted Payments made in any single fiscal year shall not exceed $1,500,000
and the aggregate amount of such Restricted Payments made during the period
commencing on the Effective Date through the term of this Agreement shall not
exceed $10,000,000;
(h)
[Intentionally deleted.]; and
(i) any
Subsidiary of MCC may make Restricted Payments to any Loan Party.
Nothing
herein shall be deemed to prohibit the payment of dividends or other
distributions in respect of equity by any Subsidiary of MCC to any Loan Party
(or, in the case of any Subsidiary of MCC that is not a Loan Party, to each
holder of ownership of such Subsidiary on a pro rata basis based on their
relative ownership interests (or on a basis more favorable to the Loan
Parties)).”
-14-
2.18.
Cash
Flow Ratios.
Section 6.06(a) of the Credit Agreement is hereby amended to read in its
entirety as follows:
“(a)
Cash
Flow Ratios. MCC will not permit the Cash Flow Ratio and the Senior Cash
Flow Ratio to exceed the following respective amounts at any time during the
following respective periods:
Period
|
Cash
Flow Ratio
|
Senior
Cash Flow Ratio
|
From
the Effective Date through but excluding June 30,
2007
|
6.00
to 1
|
4.00
to 1
|
From
and including June 30, 2007 through but excluding September 30,
2008
|
6.50
to 1
|
3.50
to 1
|
From
and including September 30, 2008 through but excluding December 31,
2008
|
8.25
to 1
|
3.50
to 1
|
From
and including December 31, 2008 through but excluding the June
30, 2009 Financial Statements Delivery Date
|
9.50
to 1
|
3.50
to 1
|
At
all times after and including the June 30, 2009 Financial Statements
Delivery
Date”
|
5.50
to 1
|
3.50
to 1
|
2.19.
Interest
Coverage Ratio.
Section 6.06(c) of the Credit Agreement is hereby amended to read in its
entirety as follows:
“(c)
Interest
Coverage Ratio. MCC will not permit the Interest Coverage Ratio to be
less than the following respective amounts at any time during the following
respective periods:
Period
|
Interest
Coverage Ratio
|
From
the Effective Date through but excluding June 30,
2007
|
2.25
to 1
|
From
and including June 30, 2007 through but excluding December 31,
2008
|
1.75
to 1
|
From
and including December 31, 2008 through but excluding the June
30, 2009 Financial Statements Delivery Date
|
1.50
to 1
|
At
all times after and including the June 30, 2009
Financial StatementsDelivery
Date”
|
2.50
to 1
|
-15-
2.20.
Deletion
of “Permitted Indebtedness” and Removal of References
Thereto.
(a)
Section 6.07 of the Credit Agreement is hereby amended to read in its entirety
as follows:
“Section 6.07.
[Intentionally deleted.]”
(b) The
definition of “Incremental Term Loan Commitment” in Section 1.01 of the Credit
Agreement is hereby amended by deleting the words “, together with any Permitted
Indebtedness incurred in accordance with Section 6.07(a)(A)” contained
therein.
(c) The
definitions of “Permitted Indebtedness” and “Satisfactory Terms of
Subordination” in Section 1.01 of the Credit Agreement are hereby
deleted.
(d) The
definition of “Total Senior Indebtedness” in Section 1.01 of the Credit
Agreement is hereby amended by deleting the words “and any Permitted
Indebtedness that has been issued upon Satisfactory Terms of Subordination”
contained therein.
(e)
Clause (x) of the last paragraph of Section 2.01(c) is hereby amended to read in
its entirety as follows:
“(x)
[Intentionally deleted],”
(f)
Section 2.06(e) of the Credit Agreement is hereby amended by deleting the words
“and the aggregate amount of Permitted Indebtedness incurred in accordance with
Section 6.07(a)(A)” contained in clause (iv) of the proviso
thereof.
(g)
Section 2.08(b)(iii) of the Credit Agreement is hereby amended by deleting the
words “and any other Permitted Indebtedness” contained therein.
(h)
Section 6.10 of the Credit Agreement is hereby amended by deleting the words “or
any Permitted Indebtedness” contained therein.
(i) Clause
(y) of the proviso to Section 5 of the Pledge Agreement is hereby amended to
read in its entirety as follows:
“(y) that
in no event shall the sum of the aggregate amount of Incremental Term Loans and
the aggregate amount of increases in Revolving Credit Commitments effected
pursuant to Section 2.06(e) of the Credit Agreement, together with the aggregate
amount of Indebtedness incurred pursuant to this Section 5, exceed
$350,000,000.”
2.21.
Transactions
with Affiliates.
Section 6.09 of the Credit Agreement is hereby amended by replacing each
reference to “Affiliate” contained in clauses (a), (b), (c) and (d) therein with
“Affiliate that is not a Loan Party”.
-16-
2.22.
Designation
of Unrestricted Subsidiaries, Etc.
Section 6.11 of the Credit Agreement is hereby amended by adding the following
new paragraph at the end thereof:
“Anything
in this Agreement to the contrary notwithstanding, unless the Required Lenders
shall otherwise agree, (i) MCC shall not be permitted to designate any
Subsidiary as an “Unrestricted Subsidiary” and (ii) any Subsidiary designated as
an “Unrestricted Subsidiary” prior to the Amendment No. 3 Effective Date shall
be automatically deemed to be a “Restricted Subsidiary” as of the Amendment No.
3 Effective Date for all purposes of this Agreement.”
2.23.
Designated
Senior Debt.
Section 6.12 of the Credit Agreement is hereby amended by deleting the second
sentence thereof in its entirety.
2.24.
Subordinated
Indebtedness.
The following new Section 6.14 shall be added immediately after Section 6.13 of
the Credit Agreement:
“Section
6.14 Subordinated
Indebtedness. Anything in this Agreement to the contrary notwithstanding,
MCC will not, nor will it permit any of its Restricted Subsidiaries to,
purchase, redeem, retire or otherwise acquire for value, or set apart any money
for a sinking, defeasance or other analogous fund for the purchase, redemption,
retirement or other acquisition of, or make any voluntary payment or prepayment
of the principal of or interest on, or any other amount owing in respect of, any
Subordinated Indebtedness, except for regularly scheduled payments, prepayments
or redemptions of interest in respect thereof required pursuant to the
instruments evidencing such Subordinated Indebtedness.”
2.25.
Events
of Defaults.
Clause (d) of Article VII of the Credit Agreement is hereby amended by (i)
removing the reference to “6.07” contained therein and (ii) deleting the words
“after notice thereof to the Borrower by the Administrative Agent or any Lender
(through the Administrative Agent)” contained therein.
2.26.
Schedule
of Acquisition Obligations. The Credit Agreement is hereby amended by
adding a new Schedule VII thereto in the form of Annex A
hereto.
2.27.
Schedule
of Investments in Existence on the Amendment No. 3 Effective Date.
Schedule IV to the Credit Agreement is hereby amended by adding a new Part D
thereto in the form of Annex B hereto.
Section
3. Representations
and Warranties. Each of the Borrower, MCC, Holdings and the Subsidiary
Guarantors represents and warrants to the Lenders and the Administrative Agent,
as to itself and each of its subsidiaries, that (i) the representations and
warranties set forth in Article III of the Credit Agreement and in the
other Loan Documents are true and complete as if made on and as of the date
hereof (or, if any such representation or warranty is expressly stated to have
been made as of a specific date, such representation or warranty shall be true
and correct as of such specific date), (ii) the only Indebtedness designated as
“Designated Senior Debt” under and as defined in the 2003 Senior Subordinated
Notes is the Indebtedness under the Loan Documents and the Indebtedness
identified on Annex C hereto and (iii) immediately before and after giving
effect to this Agreement, no Default or Event of Default has occurred and is
continuing.
-17-
Section
4. Conditions
Precedent.
The amendments set forth in Section 2 hereof shall become effective as of
the date hereof upon the satisfaction of the following conditions:
(i) Execution.
The Administrative Agent shall have received executed counterparts of this
Agreement from the Borrower, MCC, each Subsidiary Guarantor, Holdings and the
Required Lenders.
(ii)
Amendment
Fee. The Administrative Agent shall have received for the account of each
Lender that, not later than 5:00 p.m. New York City time on September 30, 2008
(the “Final
Consent Time”), shall have executed a counterpart of this Agreement and
delivered the same to the Administrative Agent, an upfront fee in an amount
equal to 0.25% of the Commitment of such Lender under the Credit Agreement
(determined at the Final Consent Time as if the effectiveness of this Agreement
shall have occurred at the Final Consent Time).
(iii)
Expenses.
The Borrower shall have paid in full the costs, expenses and fees as set forth
in Section 9.03 of the Credit Agreement (including the reasonable fees, charges
and disbursements of counsel for the Administrative Agent).
Section
5. Security
Documents. Each of the Borrower, MCC, Holdings and the Subsidiary
Guarantors (a) confirms its obligations under the Security and Guarantee
Agreement, the Pledge Agreement, the Mortgages and the other Security Documents,
as applicable, and (b) confirms that its obligations under this Agreement and
the Transaction Documents as modified hereby are entitled to the benefits of the
guarantees and the pledges, as applicable, set forth in the Security and
Guarantee Agreement, the Pledge Agreement, the Mortgages and the other Security
Documents.
Section
6. Miscellaneous.
This Agreement shall be limited as written and nothing herein shall be deemed to
constitute a waiver of any other term, provision or condition of any Transaction
Document or any other Loan Document in any other instance than as set forth
herein or prejudice any right or remedy that the Administrative Agent or any
Lender may have or may in the future have under the Credit Agreement or any
other Loan Document. Except as herein provided, each of the Transaction
Documents and the other Loan Documents shall remain unchanged and in full force
and effect. This Agreement may be executed in any number of counterparts, all of
which taken together shall constitute one and the same amendatory instrument,
and any of the parties hereto may execute this Agreement by signing any such
counterpart. Delivery of an executed counterpart of a signature page to this
Agreement by electronic transmission shall be effective as delivery of a
manually executed counterpart of this Agreement. This Agreement shall be
governed by, and construed in accordance with, the law of the State of
New York.
-18-
IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
executed and delivered as of the day and year first above written.
XXXXXX
PUBLISHING GROUP, LLC
|
|
By:
/s/ Xxxxx X. Xxxxxxxx
|
|
Name:
Xxxxx X. Xxxxxxxx
|
|
Title:
Senior Vice President of Finance
|
XXXXXX
COMMUNICATIONS COMPANY, LLC
|
|
By:
/s/ Xxxxx X. Xxxxxxxx
|
|
Name:
Xxxxx X. Xxxxxxxx
|
|
Title:
Senior Vice President of Finance
|
XXXXXX
COMMUNICATIONS HOLDING COMPANY, LLC
|
|
By:
/s/ Xxxxx X. Xxxxxxxx
|
|
Name:
Xxxxx X. Xxxxxxxx
|
|
Title:
Senior Vice President of
Finance
|
-19-
XXXXXX
PUBLISHING FINANCE CO.
|
YANKTON
PRINTING COMPANY
|
BROADCASTER
PRESS, INC.
|
THE
SUN TIMES, LLC
|
XXXXX
NEWS, LLC
|
LOG
CABIN DEMOCRAT, LLC
|
ATHENS
NEWSPAPERS, LLC
|
SOUTHEASTERN
NEWSPAPERS COMPANY, LLC
|
XXXXXXXX
COMMUNICATIONS, INC.
|
FLORIDA
PUBLISHING COMPANY
|
THE
OAK RIDGER, LLC
|
MPG
ALLEGAN PROPERTY, LLC
|
MPG
HOLLAND PROPERTY, LLC
|
MCC
RADIO, LLC
|
MCC
OUTDOOR, LLC
|
MCC
MAGAZINES, LLC
|
MCC
EVENTS, LLC
|
HIPPODROME,
LLC
|
BEST
READ GUIDES FRANCHISE COMPANY, LLC
|
XXXXXX
VISITOR PUBLICATIONS, LLC
|
BEST
READ GUIDES OF NEVADA, LLC
|
XXXXXX
BOOK PUBLISHING, LLC
|
THE
XXXXX PRESS, INC.
|
XXXXXX
AIR, LLC
|
MCC
HARBOUR CONDO, LLC
|
MCC
CUTTER COURT, LLC
|
XXXXXX
DIGITAL WORKS, LLC
|
MSTAR
SOLUTIONS, LLC
|
MVP
FRANCE, LLC
|
MVP
GLOBAL, LLC
|
SOUTHWESTERN
NEWSPAPERS COMPANY, L.P.
|
By:
/s/ Xxxxx X. Xxxxxxxx
|
|
Name:
Xxxxx X. Xxxxxxxx
|
|
Title:
Senior Vice President of
Finance
|
-20-
LENDERS:
JPMORGAN
CHASE BANK, N.A.,
|
|
Individually
and as Administrative Agent
|
|
By:
/s/ Xxxxx X. Xxxxxx
|
|
Name:
Xxxxx X. Xxxxxx
|
|
Title:
Executive Director
|
THE
BANK OF NEW YORK MELLON,
|
|
By:
/s/ Xxxxxx X. Xxxxxxxxxx, Xx.
|
|
Name:
Xxxxxx X. Xxxxxxxxxx, Xx.
|
|
Title:
Vice President
|
SUNTRUST
BANK
|
|
By:
/s/ E. Xxxxxxx Xxxxxx, XX
|
|
Name:
E. Xxxxxxx Xxxxxx, XX
|
|
Title:
Vice President
|
WACHOVIA
BANK, NATIONAL ASSOCIATION,
|
|
By:
/s/ Xxxx Xxxxx
|
|
Name:
Xxxx Xxxxx
|
|
Title:
Director
|
RBS
CITIZENS, N.A., (successor by merger to Citizens Bank of
Massachusetts)
|
|
By:
/s/ Xxxxx X. Xxxxxxx, III
|
|
Name:
Xxxxx X. Xxxxxxx, III
|
|
Title:
Senior Vice President
|
-21-
LENDERS-continued:
COMERICA
BANK,
|
|
By:
/s/ Xxxxx X. Xxxx
|
|
Name:
Xxxxx X. Xxxx
|
|
Title:
Vice President
|
US
BANK, N.A.,
|
|
By:
/s/ Xxxx XxXxxxxxx
|
|
Name:
Xxxx XxXxxxxxx
|
|
Title:
Vice President
|
XXXXXXX
BANK, NATIONAL ASSOCIATION,
|
|
By:
/s/ Xxxx Xxxxxxxx
|
|
Name:
Xxxx Xxxxxxxx
|
|
Title:
Vice President
|
KEYBANK
NATIONAL ASSOCIATION,
|
|
By:
/s/ Xxxxxxxx X. X'Xxxxx
|
|
Name:
Xxxxxxxx X. X'Xxxxx
|
|
Title:
Vice President
|
SUMITOMO
MITSUI BANKING CORPORATION,
|
|
By:
/s/ Xxx X. Xxxxxxxxx
|
|
Name:
Xxx X. Xxxxxxxxx
|
|
Title:
General Manager
|
-22-
ANNEX
A
Acquisition
Obligations in effect on the Amendment No. 3 Effective Date
1.
The minority owner of In New York, LLC (a Restricted Subsidiary of MCC that is
not a Loan Party) has a put right to require a Loan Party to purchase the
minority owner's interests for fair market value, under certain circumstances
(including the termination of employment of the minority
owner).
2.
A Loan Party has entered into two option agreements with the same counterparty
to purchase radio stations; one in Amarillo, Texas (KXGL(FM)) and the other in
Topeka, Kansas (KTPK). Each agreement grants the potential seller a put option
requiring the company to purchase the stations. All purchase options are subject
to favorable changes in the FCC's cross-ownership rules.
The
Amarillo station's purchase option may be exercised through July 1, 2012 for
$3,250 and the Topeka station's purchase option may be exercised through
September 23, 2011 for $6,000, increasing to $6,600 after December 31,
2008.
3.
A Loan Party, as the licensor of Where magazines, entered into a purchase option
agreement with one of the remaining franchisees and converted that franchise
agreement to a license agreement. A Loan Party has a purchase option related to
certain visitor publication assets that it may exercise at any time after
December 31, 2015 for a purchase price calculated at seven times the seller's
adjusted net income. The licensee has a perpetual option to require a Loan Party
to purchase these assets utilizing the same valuation
formula.
-23-
ANNEX
B
Part D – Investments
in existence on the Amendment No. 3 Effective Date
The
Borrower holds a promissory note in the principal amount of $10 million from
GateHouse Media, Inc.("GateHouse") in connection with the sale
of certain newspapers from the Borrower to GateHouse. In addition, Borrower
has the right to receive an additional payment from GateHouse in payment for
working capital acquired at Closing. The amount of the working capital payment
has not been finally agreed upon, but is expected to be at least $3.1
million.
-24-
ANNEX
C
Other
Designated Senior Debt
None.
-25-