1
* CONFIDENTIAL TREATMENT REQUESTED
CONFIDENTIAL PORTIONS HAVE BEEN OMITTED AND FILED SEPARATELY.
EXHIBIT 10.14
-------------
AMENDMENT NO. 2
to
FIRST AMENDED AND RESTATED CREDIT AGREEMENT
AMENDMENT NO. 2 (this "AMENDMENT"), dated as of March 25, 1997, to the
First Amended and Restated Credit Agreement, dated as of May 21, 1996, by and
among ARCH COMMUNICATIONS ENTERPRISES, INC., a Delaware corporation (the
"BORROWER"), ARCH COMMUNICATIONS GROUP, INC., a Delaware corporation (the
"PARENT"), the Lenders party thereto, the Co- Agents party thereto and THE BANK
OF NEW YORK, as administrative agent for the Lenders (in such capacity, the
"ADMINISTRATIVE AGENT"), as amended by Amendment No. 1, dated as of June 25,
1996 (as so amended, the "CREDIT AGREEMENT").
RECITALS
A. Capitalized terms used herein which are not defined herein shall
have the respective meanings ascribed thereto in the Credit Agreement.
B. The Parent and the Borrower have requested that the Administrative
Agent and the Required Lenders amend Sections 7.13, 7.14 and 7.15 of the Credit
Agreement.
Accordingly, in consideration of the covenants, conditions and agreements
hereinafter set forth, and for other good and valuable consideration, the
receipt and adequacy of which are hereby acknowledged, the parties hereto agree
as follows:
1. Section 7.13 of the Credit Agreement is amended in its entirety to
read as follows:
7.13. PRO-FORMA DEBT SERVICE COVERAGE RATIO.
-------------------------------------
Maintain, or cause to be maintained, as of the last day
of each fiscal quarter during the periods set forth below, a
Pro-forma Debt Service Coverage Ratio of not less than the ratios
set forth below:
PERIODS RATIO
------- -----
December 31, 1996 through
March 31, 1998 *
June 30, 1998 and
thereafter *.
-1-
2
* CONFIDENTIAL TREATMENT REQUESTED
2. Section 7.14 of the Credit Agreement is amended in its entirety to read
as follows:
7.14. INTEREST COVERAGE RATIO.
-----------------------
Maintain, or cause to be maintained, as of the last day
of each fiscal quarter during the periods set forth below, an
Interest Coverage Ratio of not less than the ratios set forth below:
PERIODS RATIO
------- -----
December 31, 1996 through
June 30, 1997 *
September 30, 1997 through
June 30, 1998 *
September 30, 1998 through
December 31, 1998 *
March 31, 1999 and
thereafter *.
3. Section 7.15 of the Credit Agreement is amended in its entirety to read
as follows:
7.15. LEVERAGE RATIO.
--------------
Maintain, or cause to be maintained, at all times during
the periods set forth below, a Leverage Ratio of not greater than
the ratios set forth below:
PERIODS RATIO
------- -----
December 31, 1996 through
March 30, 1998 *
March 31, 1998 through
June 29, 1998 *
June 30, 1998 through
September 29, 1998 *
September 30, 1998 through
December 30, 1998 *
December 31, 1998 and
thereafter *.
-2-
3
* CONFIDENTIAL TREATMENT REQUESTED
Notwithstanding the foregoing, in the event that
the Borrower makes a Restricted Payment permitted by
Section 8.5(e), the maximum permitted Leverage Ratio
shall be reduced for all periods after such payment to *.
4. The Borrower and the Parent each hereby (i) reaffirms and admits the
validity and enforceability of the Credit Agreement and the other Loan Documents
and all of its obligations thereunder, (ii) represents and warrants that there
exists no Default or Event of Default, and (iii) represents and warrants that
the representations and warranties contained in the Loan Documents, including
the Credit Agreement as amended by this Amendment (other than the
representations and warranties made as of a specific date) are true and correct
in all material respects on and as of the date hereof, except to the extent that
such representations and warranties are no longer true or correct as a result of
events, acts, transactions or occurrences after the Restatement Effective Date
which are permitted under the Credit Agreement.
5. This Amendment may be executed in any number of counterparts, each
of which shall be an original and all of which shall constitute one amendment.
It shall not be necessary in making proof of this Amendment to produce or
account for more than one counterpart signed by the party to be charged.
6. This Amendment is being delivered in and is intended to be performed
in the State of New York and shall be construed and enforceable in accordance
with, and be governed by, the internal laws of the State of New York without
regard to principles of conflict of laws.
7. Except as amended hereby, the Credit Agreement shall in all other
respects remain in full force and effect.
-3-
4
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be
duly executed and delivered by their proper and duly authorized officers as of
the day and year first above written.
ARCH COMMUNICATIONS ENTERPRISES, INC.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
ARCH COMMUNICATIONS GROUP, INC.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
THE BANK OF NEW YORK, individually and as
Administrative Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
FLEET NATIONAL BANK, individually and as
Co-Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
PNC BANK, NATIONAL ASSOCIATION, individually
and as Co-Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
-4-
5
TORONTO DOMINION (NEW YORK), INC.,
individually and as Co-Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
THE FIRST NATIONAL BANK OF BOSTON, individually
and as Co-Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
FIRST UNION NATIONAL BANK OF NORTH CAROLINA,
individually and as Co-Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
MELLON BANK, N.A., individually and as Co-Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
ROYAL BANK OF CANADA, individually and as Co-
Agent
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
-5-
6
XXX XXXXXX AMERICAN CAPITAL PRIME RATE
INCOME TRUST
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
CORESTATES BANK, N.A.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
BANQUE NATIONALE DE PARIS
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
LTCB TRUST COMPANY
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
SOCIETE GENERALE
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
-6-
7
CIBC, INC.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
COMPAGNIE FINANCIERE DE CIC
ET DE L'UNION EUROPEENNE
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
USTRUST
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
XXXXXXX LYNCH, PIERCE, XXXXXX
& XXXXX INCORPORATED
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
ING CAPITAL ADVISORS, INC.,
as Agent for Bank Syndications Account
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
-7-
8
THE FUJI BANK, LIMITED, NEW YORK BRANCH
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
SUNTRUST BANK, CENTRAL FLORIDA, N.A.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
U.S. BANK OF WASHINGTON, N.A.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
DRESDNER BANK AG, NEW YORK AND GRAND CAYMAN
BRANCHES
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
BEAR, XXXXXXX GOVERNMENT SECURITIES, INC.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
-8-
9
INDOSUEZ CAPITAL FUNDING II, LIMITED
By: Indosuez Capital Luxembourg, S.A., as
Collateral Manager
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
XXXXXXX XXXXX PRIME RATE PORTFOLIO
By: Xxxxxxx Xxxxx Asset Management, L.P., as
Investment Advisor
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
XXXXXXX XXXXX SENIOR FLOATING RATE FUND, INC.
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
SENIOR DEBT PORTFOLIO
By: Boston Management and Research, as
Investment Advisor
By:
--------------------------------------
Name:
------------------------------------
Title:
-----------------------------------
-9-
10
CONSENTED TO:
ARCH MICHIGAN, INC.
ARCH CAPITOL DISTRICT, INC.
ARCH CONNECTICUT VALLEY, INC.
ARCH SOUTHEAST COMMUNICATIONS, INC.
ARCH COMMUNICATIONS SERVICES, INC.
XXXXXX BEEPER, INC.
THE BEEPER COMPANY OF AMERICA, INC.
XXXXXX VALLEY MOBILE TELEPHONE, INC.
THE WESTLINK COMPANY
XXXX PRODUCTS SALES COMPANY
THE WESTLINK PAGING COMPANY OF NEW MEXICO, INC.
XXXXXX'X RADIO TELEPHONE, INC.
ANSWER IOWA, INC.
WESTLINK LICENSEE CORPORATION
WESTLINK OF NEW MEXICO LICENSEE CORPORATION
ANSWER IOWA LICENSEE CORPORATION
XXXXXX'X LICENSEE CORPORATION,
AS TO EACH OF THE FOREGOING:
By:
---------------------------------------
Name:
--------------------------------------
Title:
-------------------------------------
CASCADE MOBILE COMMUNICATIONS LIMITED PARTNERSHIP
By: The Westlink Company, its General Partner
By:
---------------------------------------
Name:
--------------------------------------
Title:
-------------------------------------
-10-
11
TELECOMM/KRT PARTNERSHIP
By: The Westlink Company, a General Partner
By: Xxxxxx'x Radio Telephone, Inc., a General Partner
By:
---------------------------------------
Name:
--------------------------------------
Title:
-------------------------------------
-11-
