W I T N E S S E T H:
Exhibit 10.2
SECOND AMENDMENT AND CONSENT TO CREDIT AGREEMENT
SECOND AMENDMENT AND CONSENT, dated as of December 31, 1999 (this
"Amendment"), among PRIMEDIA INC., a Delaware corporation (the "Company"), the
financial institutions party to the Credit Agreement described below (the
"Banks"), THE BANK OF NEW YORK and BANKERS TRUST COMPANY, as Co-Syndication
Agents, THE BANK OF NOVA SCOTIA, as Documentation Agent, and THE CHASE MANHATTAN
BANK, as Administrative Agent. All capitalized terms used herein and not
otherwise defined herein shall have the respective meanings provided such terms
in the Credit Agreement referred to below.
W I T N E S S E T H:
WHEREAS, the Company, Canadian Sailings Inc., the Banks, the
Co-Syndication Agents, the Documentation Agent and the Administrative Agent are
parties to an Amended and Restated Credit Agreement, dated as of May 24, 1996
and amended and restated as of March 11, 1999 (as amended, modified and
supplemented through the date hereof, the "Credit Agreement");
WHEREAS, the parties hereto wish to amend the Credit Agreement as
herein provided;
NOW THEREFORE, it is agreed:
I Second Amendment and Consent to Credit Agreement.
1. Section 8.02(c) of the Credit Agreement is hereby amended by
adding the following proviso to the end thereof:
"provided that, notwithstanding the foregoing provisions of this clause
(iv), but only to the extent such sale, transfer or disposition is
structured as a leveraged recapitalization, the Company shall be permitted
to structure any sale, transfer or disposition of the capital stock of a
Restricted Subsidiary as a leveraged recapitalization in which up to 15%
of the capital stock of the Restricted Subsidiary being recapitalized is
retained (directly or indirectly) by the Company;"
2. Section 8.05(1) of the Credit Agreement is hereby amended by
deleting the amount "$25,000,000" appearing in the second line thereof and
inserting the amount "$150,000,000" in lieu thereof.
3. Section 8.10 of the Credit Agreement is hereby amended by
deleting the table appearing in such Section in its entirety and inserting the
following new table in lieu thereof:
Period Ratio
------ -----
Original Effective Date to and 1.80 to 1.00
including December 31, 2000
January 1, 2001 to and including 2.00 to 1.00
December 31, 2001
January 1, 2002 to and including 2.25 to 1.00
December 31, 2002
January 1, 2003 and thereafter 2.50 to 1.00
4. Section 8.11 of the Credit Agreement is hereby amended by
deleting the table appearing in such Section in its entirety and inserting the
following new table in lieu thereof:
Period Ratio
------ -----
Original Effective Date to and 6.00 to 1.00
including December 31, 2000
January 1, 2001 to and including 5.50 to 1.00
December 31, 2001
January 1, 2002 to and including 5.00 to 1.00
December 31, 2002
January 1, 2003 and thereafter 4.50 to 1.00
5. The definition of "Unrestricted Subsidiary Investment Limit"
appearing in Section 10 of the Credit Agreement is hereby amended by deleting
the amount "$200,000,000" appearing in the second line of such definition and
inserting the amount "$350,000,000" in lieu thereof.
II Miscellaneous.
1. In order to induce the Banks to enter into this Amendment, the
Company hereby represents and warrants that (i) all representations, warranties
and agreements contained in Section 6 of the Credit Agreement are true and
correct in all material respects on and as of the
-2-
Amendment Effective Date (as defined below) (unless such representations and
warranties relate to a specific earlier date, in which case such representations
and warranties shall be true and correct in all material respects as of such
earlier date) and (ii) there exists no Default or Event of Default on the
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 may be executed in any number of counterparts and
by the different parties hereto on separate counterparts, each of which
counterparts when executed and delivered (including by way of facsimile) shall
be an original, but all of which shall together constitute one and the same
instrument. A complete set of counterparts shall be lodged with the Company and
the Administrative Agent.
4. 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.
5. This Amendment shall become effective on the date (the "Amendment
Effective Date") when: (i) the Company, Canadian Sailings and the Required Banks
shall have signed a counterpart hereof (whether the same or different
counterparts) and shall have delivered (including, without limitation, by usage
of facsimile transmission) the same to the Administrative Agent at the Notice
Office; (ii) the Amendment of even date herewith to the Credit Agreement by and
among the Company, the Banks, the Co-Syndication Agents, the Documentation Agent
and the Administrative Agent, dated as of May 24, 1996 has become effective
under the terms thereof; and (iii) the Company shall have paid to the
Administrative Agent and to the Banks all fees and expenses agreed upon by such
parties to be paid on or prior to the Amendment Effective Date (including,
without limitation, a fee equal to 0.125% of the amount of the existing
Commitment, outstanding Term Loans and outstanding B Term Loan of each Bank
party to the Credit Agreement, before giving effect to this Amendment, that
consents to this Amendment). This Amendment and the agreements contained herein
shall be binding on the successors and assigns of the parties hereto.
6. From and after the Amendment Effective Date, all references in
the Credit Agreement and the other Credit Documents to the Credit Agreement
shall be deemed to be references to the Credit Agreement as modified hereby.
* * *
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IN WITNESS WHEREOF, each of the parties hereto has caused a
counterpart of this Amendment to be duly executed and delivered as of the date
first above written.
PRIMEDIA INC.
By: /s/ [ILLEGIBLE]
-----------------------------
Title: SENIOR VICE PRESIDENT,
TREASURER
CANADIAN SAILINGS INC.
By:
-----------------------------
Title:
THE CHASE MANHATTAN BANK,
Individually and as
Administrative Agent
By:
-----------------------------
Title:
BANKERS TRUST COMPANY
Individually and as
Co-Syndication Agent
By:
-----------------------------
Title:
THE BANK OF NEW YORK,
Individually and as
Co-Syndication Agent
By:
-----------------------------
Title:
THE BANK OF NOVA SCOTIA,
Individually, as Canadian
Lender and as Documentation
Agent
By:
-----------------------------
Title:
BANKERS TRUST COMPANY
--------------------------------
By: /s/ [ILLEGIBLE]
Name: XXXXXXX XXXXXXX
Title: PRINCIPAL
Name of Bank:
The Bank of New York
----------------------------------
By: /s/ Xxxxxx X. Xxxxxxx
-------------------------------
Name:Xxxxxx X. Xxxxxxx
Title: Assistant Vice President
IN WITNESS WHEREOF, each of the parties hereto has caused a
counterpart of this Amendment to be duly executed and delivered as of the date
first above written.
PRIMEDIA INC.
By:
---------------------------------
Title:
CANADIAN SAILINGS INC.
By:
---------------------------------
Title:
THE CHASE MANHATTAN BANK,
Individually and as
Administrative Agent
By:
---------------------------------
Title:
BANKERS TRUST COMPANY
Individually and as
Co-Syndication Agent
By:
---------------------------------
Title:
THE BANK OF NEW YORK,
Individually and as
Co-Syndication Agent
By:
---------------------------------
Title:
THE BANK OF NOVA SCOTIA,
Individually, as Canadian
Lender and as Documentation
Agent
By: /s/ Xxxxxxx X. Xxxxxxxxxx, Xx.
---------------------------------
Title: XXXXXXX X. XXXXXXXXXX, XX.
AUTHORIZED SIGNATORY
Name of Bank:
BANK OF AMERICA
----------------------------------
By: /s/ Xxxxx X. Xxxxxxx
-------------------------------
Name: XXXXX X. XXXXXXX
Title: MANAGING DIRECTOR
Name of Bank:
Bank of Hawaii
----------------------------------
By: /s/ Xxxxx Xxxxx
-------------------------------
Name: XXXXX XXXXX
Title: Asst. Vice President
Name of Bank:
CAPTIVA FINANCE LTD.
----------------------------------
By: /s/ Xxxx Xxxxxxxxx
-------------------------------
Name: Xxxx Xxxxxxxxx
Title: Director
Name of Bank:
CIBC INC.
----------------------------------
By: /s/ Xxxxxx Xxxx
-------------------------------
Name: Xxxxxx Xxxx
Title: Executive Director
CIBC World Markets Corp.
As Agent
Name of Bank:
CREDIT AGRICOLE INDOSUEZ
----------------------------------
By: /s/ [ILLEGIBLE]
-------------------------------
Name: [ILLEGIBLE]
Title: RVP
By: /s/ Xxxx XxXxxxxx
-------------------------------
Name: XXXX XXXXXXXX
Title: VP, SRM
Name of Bank:
Credit Lyonnais New York Branch
----------------------------------
By: /s/ W. Xxxxxxx Xxxxxx
-------------------------------
Name: W. Xxxxxxx Xxxxxx
Title: First Vice President
Name of Bank: CREDIT SUISSE FIRSTBOSTON
/s/ Xxxxxx Xxxx
--------------------------------------
XXXXXX XXXX
VICE PRESIDENT
By: /s/ Xxxx Glodonski
-----------------------------------
Name: Xxxx Glodonski
Title: Managing Director
Name of Bank:
The Dai-Ichi Kangyo Bank, Ltd.
---------------------------------------
By: /s/ Xxxxxx Xxxxxxxx
------------------------------------
Name: Xxxxxx Xxxxxxxx
Title: Vice President & Group Leader
Name of Bank:
DLJ Capital Funding, Inc.
----------------------------------
By: /s/ [ILLEGIBLE]
-------------------------------
Name: [ILLEGIBLE]
Title: JVP
Name of Bank:
FIRST UNION NATIONAL BANK
----------------------------------
By: /s/ Xxxxx X. Xxxxx
-------------------------------
Name: XXXXX X. XXXXX
Title: MANAGING DIRECTOR
OF RISK MANAGEMENT
Name of Bank:
FLEET NATIONAL BANK
----------------------------------
By: /s/ R.E. Xxxxxxxx
-------------------------------
Name: R.E. XXXXXXXX
Title: SVP
Name of Bank:
Franklin Floating Xxxx Trust
----------------------------------
By: /s/ Xxxxxxxx Xxxxxx
-------------------------------
Name: Xxxxxxxx Xxxxxx
Title: Vice President
Name of Bank:
General Electric Capital Corporation
------------------------------------
By: /s/ Xxxxx X. Xxxxxxxx
---------------------------------
Name: Xxxxx X. Xxxxxxxx
Title: Senior Vice President
Name of Bank:
HSBC BANK USA
----------------------------------
(fka Marine Midland Bank)
By: /s/ Xxxxxx X. Xxxxx
-------------------------------
Name: Xxxxxx X. Xxxxx
Title: Authorized Signatory
Name of Bank:
The Industrial Bank of Japan, Ltd.
----------------------------------
By: /s/ Xxxxxxx Xxxxxxx
-------------------------------
Name: XXXXXXX XXXXXXX
Title: SENIOR VICE PRESIDENT
Name of Bank:
The Industrial Bank of Japan, Ltd.
----------------------------------
By: /s/ Xxxxxxx Xxxxxxx
-------------------------------
Name: XXXXXXX XXXXXXX
Title: SENIOR VICE PRESIDENT
Name of Bank:
Natexis Banque BFCE
----------------------------------
By: /s/ Xxxxxxx X. Xxxxx
-------------------------------
Name: XXXXXXX X. XXXXX
Title: VP. GROUP MANAGER
By: /s/ Xxxxxxx X. Xxxxxx
-------------------------------
XXXXXXX X. XXXXXX
ASSOCIATE
OASIS COLLATERALIZED HIGH INCOME
PORTFOLIOS-I, LTD
By: INVESCO Senior Secured Management,
Inc., as Sub-Advisor
By: /s/ Xxxxxx Xxxxxxx
-----------------------------------
Name: Xxxxxx Xxxxxxx
Title: Authorized Signatory
Name of Bank:
X0X XXXXXXXX-0 LLC
----------------------------------
By: /s/ Xxxxx Xxx
-------------------------------
Name: Xxxxx Xxx
Title: Authorized Agent
Name of Bank:
X0X XXXXXXXX-0 LLC
----------------------------------
By: /s/ Xxxxx Xxx
-------------------------------
Name: Xxxxx Xxx
Title: Authorized Agent
Name of Bank:
Mellon Bank, N.A.
----------------------------------
By: /s/ Xxxx X. Xxxx
-------------------------------
Name: Xxxx X. Xxxx
Title: Vice President
Name of Bank:
XXXXXX BANK PLC
----------------------------------
By: /s/ Xxxxxxxx Xxxxxxxx
-------------------------------
Name: XXXXXXXX XXXXXXXX
Title: VICE PRESIDENT
By: /s/ Xxxxxxx Xxxxxx
-------------------------------
Name: Xxxxxxx Xxxxxx
Title: Vice President
XXXXXXX XXXXX SENIOR FLOATING RATE FUND, INC.
By: /s/ Xxxxxx Xxxxxx
------------------------------------------
XXXXXX XXXXXX
AUTHORIZED SIGNATORY
Name of Bank:
The Mitsubishi Trust and Banking Corporation
---------------------------------------------
By: /s/ Xxxxxxxx Xxxxxxx
------------------------------------------
Name: Xxxxxxxx Xxxxxxx
Title: Senior Vice President
Name of Bank:
Bank of Montreal, Chicago Branch
----------------------------------
By: /s/ Xxx Xxxxxxxxx
-------------------------------
Name: XXX XXXXXXXXX
Title: DIRECTOR
Name of Bank:
NEW YORK LIFE INSURANCE COMPANY
----------------------------------
By: /s/ S. Xxxxxx Xxxxx
-------------------------------
Name: S. Xxxxxx Xxxxx
Title: Director
Name of Bank:
NEW YORK LIFE INSURANCE COMPANY
----------------------------------
By: /s/ S. Xxxxxx Xxxxx
-------------------------------
Name: S. Xxxxxx Xxxxx
Title: Director
OCTAGON INVESTMENT PARTNERS II, LLC
By: Octagon Credit Investors, LLC
as sub-investment manager
/s/ Xxxxx X. Xxxxxxxx
-----------------------------------
By: Xxxxx X. Xxxxxxxx
Title: Senior Portfolio Manager
OCTAGON INVESTMENT PARTNERS III, LTD.
By: Octagon Credit Investors, LLC
as Portfolio Manager
/s/ Xxxxx X. Xxxxxxxx
-----------------------------------
By: Xxxxx X. Xxxxxxxx
Title: Senior Portfolio Manager
Name of Bank:
PARIBAS
----------------------------------
By: /s/ Xxxxx Xxxxx
-------------------------------
Name: XXXXX XXXXX
Title: ASSISTANT V.P
By: /s/ Xxxxxxx X. Xxxxxx
-------------------------------
Name: Xxxxxxx X. Xxxxxx
Title: Group Vice President
Sprint Enhanced Indexation
-----------------------------------------
By: Pacific Investment Management Company
as its Investment Advisor acting through
The Northern Trust Company in the
Nominee Name of How & Co.
By: /s/ Xxxxx X. Xxxxxxxxxx
--------------------------------------
Name: Xxxxx X. Xxxxxxxxxx
Title: Senior Vice President
PIMCO Low Duration Fund
-----------------------------------------
By: Pacific Investment Management Company
as its investment advisor, acting through
Investors Fiduciary Trust Company in the
Nominee Name of IFTCO.
By: /s/ Xxxxx X. Xxxxxxxxxx
--------------------------------------
Name: Xxxxx X. Xxxxxxxxxx
Title: Senior Vice President
PIMCO Total Return Fund
-----------------------------------------
By: Pacific Investment Management Company
as its investment advisor, acting through
Investors Fiduciary Trust Company in the
Nominee Name of IFTCO.
By: /s/ Xxxxx X. Xxxxxxxxxx
--------------------------------------
Name: Xxxxx X. Xxxxxxxxxx
Title: Senior Vice President
Captiva III Finance, Ltd.
-----------------------------------------
as advised by Pacific Investment
Management Company
By: /s/ Xxxxx Xxxx
--------------------------------------
Name: XXXXX XXXX
Title: DIRECTOR
Captiva IV Finance, Ltd.
as advised by Pacific Investment
Management Company
By: /s/ Xxxxx Xxxx
--------------------------------------
Name: XXXXX XXXX
Title: DIRECTOR
Name of Bank:
PNC BANK, NATIONAL ASSOCIATION
----------------------------------
By: /s/ Xxxx X. Xxxxxxx
-------------------------------
Name: XXXX X. XXXXXXX
Title: ASSISTANT VICE PRESIDENT
Name of Bank:
Xxxxx Bank N.A.
----------------------------------
By: /s/ Xxxxx X. Xxxxx
-------------------------------
Name: Xxxxx X. Xxxxx
Title: Group Vice President
SANKATY HIGH YIELD PARTNERS II, L.P.
By: /s/ Xxxxx X. Xxxxx
-----------------------------------------------
Name: Xxxxx X. Xxxxx
---------------------------------------------
Title: Executive Vice President, Portfolio Manager
--------------------------------------------
SANKATY HIGH YIELD PARTNERS II, L.P.
By: /s/ Xxxxx X. Xxxxx
-----------------------------------------------
Name: Xxxxx X. Xxxxx
---------------------------------------------
Title: Executive Vice President, Portfolio Manager
--------------------------------------------
Name of Bank:
THE SANWA BANK, LIMITED
---------------------------------------
By: /s/ Xxxxxxx X. Small
------------------------------------
Name: Xxxxxxx X. Small
Title: Vice President & Area Manager
Name of Bank:
SOCIETE GENERALE, NEW YORK BRANCH
---------------------------------------
By: /s/ Xxxxxx Xxxxxx
------------------------------------
Name: Xxxxxx Xxxxxx
Title: Vice President
Name of Bank:
STRATA FUNDING LTD.
---------------------------------------
By: /s/ Xxxx Xxxxxxxxx
------------------------------------
Name: Xxxx Xxxxxxxxx
Title: Director
Name of Bank:
STB Delaware Funding Trust I
---------------------------------------
By: /s/ Xxxxxx X. Xxxxxxxx
------------------------------------
Name: Xxxxxx X. Xxxxxxxx
Title: Assistant Vice President
Name of Bank:
TORONTO DOMINION (TEXAS), INC.
---------------------------------------
By: /s/ Xxxxxx X. Xxxxxx
------------------------------------
Name: XXXXXX X. XXXXXX
Title: VICE PRESIDENT
Name of Bank:
Union Bank of California, N
---------------------------------------
By: /s/ Xxxx X. Xxxxxx
------------------------------------
Name: XXXX X. XXXXXX
Title: VICE PRESIDENT
