EXHIBIT 10.6
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NORSKE XXXX CANADA LIMITED
(Formerly PACIFICA PAPERS INC.)
and
XXXXX FARGO BANK MINNESOTA, NATIONAL ASSOCIATION, as Trustee
(Formerly NORWEST BANK MINNESOTA, NATIONAL ASSOCIATION)
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FIFTH SUPPLEMENTAL INDENTURE
Dated as of September 30, 2002
to
INDENTURE
Dated as of March 12, 1999
by and among
NORSKE XXXX CANADA LIMITED
(Formerly PACIFICA PAPERS INC.),
the GUARANTORS PARTY HERETO
and
XXXXX FARGO BANK MINNESOTA, NATIONAL ASSOCIATION, as Trustee
(Formerly NORWEST BANK MINNESOTA, NATIONAL ASSOCIATION)
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$200,000,000
10% Senior Notes Due 2009
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Article I
REAFFIRMATION OF OBLIGATIONS OF THE GUARANTORS
Section 1.01 Reaffirmation...........................................2
Article II
GUARANTEE OF NOTES
Section 2.01 Guarantee...............................................2
Section 2.02 Execution and Delivery of Guarantee.....................4
Section 2.03 Limitation of Guarantee.................................4
Section 2.04 Release of Guarantor....................................4
Section 2.05 Assumption of Terms of the Indenture....................5
Article III
MISCELLANEOUS PROVISIONS
Section 3.01 Terms Defined...........................................5
Section 3.02 Indenture...............................................5
Section 3.03 Governing Law...........................................5
Section 3.04 Successors..............................................5
Section 3.05 Multiple Counterparts...................................6
Section 3.06 Effectiveness...........................................6
Section 3.07 Trustee Disclaimer......................................6
Section 3.08 Agent for Service; Submission to Jurisdiction;
Waiver of Immunities....................................6
FIFTH SUPPLEMENTAL INDENTURE dated as of September ____, 2002 by and
among NORSKE XXXX CANADA LIMITED, a Canadian corporation (the "COMPANY",
formerly PACIFICA PAPERS INC. ("Pacifica")), ALLWIN TECHNICAL SERVICES INC. (the
"NEW GUARANTOR"), the guarantors set forth on the signature pages hereto (the
"EXISTING GUARANTORS" and together with the New Guarantor, the "GUARANTORS"),
and XXXXX FARGO BANK MINNESOTA, NATIONAL ASSOCIATION as trustee under the
hereafter defined Indenture (the "TRUSTEE").
WHEREAS Pacifica and certain of the Existing Guarantors heretofore
executed and delivered to the Trustee an Indenture dated as of March 12, 1999,
as amended from time to time (the "INDENTURE"), providing for the issuance of up
to $200,000,000 aggregate principal amount of the Company's 10% Senior Notes Due
2009 (the "Notes"); and
WHEREAS, there have been issued and are now outstanding under the
Indenture, Notes in the aggregate principal amount of $200,000,000; and
WHEREAS, the Indenture was supplemented by the First Supplemental
Indenture made among the Company, certain of the Existing Guarantors, Pacifica
Power Co. Ltd. and the Trustee dated March 12, 1999; and
WHEREAS, the Indenture was further supplemented by the Second
Supplemental Indenture made among the Company, certain of the Existing
Guarantors, Pacifica Power Co. Ltd. and the Trustee dated December 30, 1999; and
WHEREAS, the Indenture was further supplemented by the Third
Supplemental Indenture made among the Company, certain of the Existing
Guarantors, Pacifica Power Co. Ltd. and the Trustee dated January 31, 2001; and
WHEREAS, the Indenture was further supplemented by the Fourth
Supplemental Indenture made among the Company, certain of the Existing
Guarantors and the Trustee dated September 1, 2001; and
WHEREAS, the Company has acquired all of the issued and outstanding
common shares of the New Guarantor that it did not already own; and
WHEREAS, the Indenture provides that under certain circumstances the
New Guarantor shall execute and deliver to the Trustee a supplemental indenture
pursuant to which the New Guarantor shall unconditionally guarantee all of the
Company's obligations under the Notes and the Indenture on the terms and
conditions set forth herein (the "GUARANTEE"); and
WHEREAS, the New Guarantor desires by this Fifth Supplemental
Indenture, to unconditionally guarantee all of the Company's obligations under
the Notes and the Indenture on the terms set forth herein.
WHEREAS, Pacfica Papers Co. Limited Partnership, one of the Existing
Guarantors, changed its organization to a general partnership and changed its
name to NorkseCanada; and
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WHEREAS, Norske Xxxx Paper Company, one of the Existing Guarantors, has
changed its name to Norske Xxxx Canada (USA) Inc.; and
WHEREAS, the Existing Guarantors desire, by this Fifth Supplemental
Indenture, to expressly reaffirm, jointly and severally, the obligations of the
Existing Guarantors under the Indenture and under Guarantees endorsed on the
Notes; and
WHEREAS, the Guarantors are all of the Restricted Subsidiaries of the
Company; and
WHEREAS, the execution and delivery of this Fifth Supplemental
Indenture has been duly and validly authorized by a resolution of the Company
and each of the several Existing Guarantors and the New Guarantor; and
WHEREAS, all the conditions and requirements necessary to make this
Fifth Supplemental Indenture a valid, binding and legal instrument in accordance
with its terms have been performed and fulfilled by the parties hereto and the
execution and delivery thereof have been in all respects duly authorized by the
parties hereto.
NOW, THEREFORE, in consideration of the above premises, each party
agrees, for the benefit of the others and for the equal and ratable benefit of
the Holders of the Notes, as follows:
ARTICLE I
REAFFIRMATION OF OBLIGATIONS OF THE GUARANTORS
Section 1.01 REAFFIRMATION. Each Existing Guarantor hereby expressly
and unconditionally reaffirms each and every covenant, agreement and undertaking
of such Existing Guarantor in the Indenture, and also hereby expressly and
unconditionally reaffirms each and every covenant, agreement and undertaking in
its Guarantee endorsed on the Notes outstanding on the date of this Fifth
Supplemental Indenture and in each Guarantee endorsed on any Notes delivered
hereafter.
ARTICLE II
GUARANTEE OF NOTES
Section 2.01 GUARANTEE. The New Guarantor hereby unconditionally
guarantees, on a senior unsecured basis, to each Holder of a Note authenticated
and delivered by the Trustee and to the Trustee and its successors, irrespective
of: (i) the validity and enforceability of the Indenture, the Notes or the
obligations of the Company or any other Guarantors to the Holders or the Trustee
hereunder or thereunder; or (ii) the absence of any action to enforce the same
or any other circumstance which might otherwise constitute a legal or equitable
discharge or default of a Guarantor, that: (a) the principal of, premium, if
any, interest and Additional Interest, if any, on and any Additional Amounts, if
any, with respect to the Notes will be duly and punctually paid in full when
due, whether at maturity, by acceleration or otherwise, and interest on the
overdue principal and (to the extent permitted by law) interest or Additional
Interest, if any, on or Additional Amounts, if any, with respect to the Notes
and all other obligations of the Company or any Guarantor to the Holders or the
Trustee hereunder or thereunder (including amounts due the Trustee under Section
7.07 of the Indenture) and all other obligations under the Indenture or the
Notes will be promptly paid in full or performed, all in accordance with the
terms hereof and
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thereof; and (b) in case of any extension of time of payment or renewal of any
Notes or any of such other obligations, the same will be promptly paid in full
when due or performed in accordance with the terms of the extension or renewal,
whether at stated maturity, by acceleration or otherwise. Failing payment when
due of any amount so guaranteed, or failing performance of any other obligation
of the Company to the Holders, for whatever reason, the New Guarantor will be
obligated to pay, or to perform or cause the performance of, the same
immediately. An Event of Default under the Indenture or the Notes shall
constitute an event of default under this Guarantee, and shall entitle the
Holders of Notes or the Trustee to accelerate the obligations of the New
Guarantor hereunder in the same manner and to the same extent as the obligations
of the Company.
The New Guarantor, by execution of this Guarantee, agrees that its
obligations hereunder shall be unconditional, irrespective of the validity,
regularity or enforceability of the Indenture or the Notes, the absence of any
action to enforce the same, any waiver or consent by any Holder with respect to
any provisions hereof or thereof, any release of any other Guarantor, the
recovery of any judgment against the Company, any action to enforce the same,
whether or not a Guarantee is affixed to any particular Note, or any other
circumstance which might otherwise constitute a legal or equitable discharge or
defense of a Guarantor. The New Guarantor, by execution of this Guarantee,
waives the benefit of diligence, presentment, demand of payment, filing of
claims with a court in the event of insolvency or bankruptcy of the Company, any
right to require a proceeding first against the Company, protest, notice and all
demands whatsoever and covenants that the Guarantee shall not be discharged
except by complete performance of the obligations contained in the Notes, the
Indenture and this Guarantee. This Guarantee is a guarantee of payment and not
of collection. If any Holder or the Trustee is required by any court or
otherwise to return to the Company or to any Guarantor, or any custodian,
trustee, liquidator or other similar official acting in relation to the Company
or such Guarantor, any amount paid by the Company or such Guarantor to the
Trustee or such Holder, this Guarantee, to the extent theretofore discharged,
shall be reinstated in full force and effect. The New Guarantor further agrees
that, as between it, on the one hand, and the Holders and the Trustee, on the
other hand, (a) subject to Article Ten of the Indenture, the maturity of the
obligations guaranteed hereby may be accelerated as provided in Article Six of
the Indenture for the purposes of this Guarantee, notwithstanding any stay,
injunction or other prohibition preventing such acceleration in respect of the
obligations guaranteed hereby, and (b) in the event of any acceleration of such
obligations as provided in Article Six of the Indenture, such obligations
(whether or not due and payable) shall forthwith become due and payable by the
New Guarantor for the purpose of this Guarantee.
This Guarantee shall remain in full force and effect and continue to be
effective should any petition be filed by or against the Company for liquidation
or reorganization, should the Company become insolvent or make an assignment for
the benefit of creditors or should a receiver or trustee be appointed for all or
any significant part of the Company's assets, and shall, to the fullest extent
permitted by law, continue to be effective or be reinstated, as the case may be,
if at any time payment and performance of the Notes are, pursuant to applicable
law, rescinded or reduced in amount, or must otherwise be restored or returned
by any obligee on the Notes, whether as a "voidable preference," "fraudulent
transfer" or otherwise, all as though such payment or performance had not been
made. In the event that any payment, or any part thereof, is rescinded, reduced,
restored or returned, the Notes shall, to the fullest extent permitted by law,
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be reinstated and deemed reduced only by such amount paid and not so rescinded,
reduced, restored or returned.
No shareholder, officer, director, employee or incorporator, past,
present or future, of the New Guarantor, as such shall have any personal
liability under this Guarantee by reason of his, her or its status as such
shareholder, officer, director, employee or incorporator.
Section 2.02 EXECUTION AND DELIVERY OF GUARANTEE. To further evidence
the Guarantee set forth in Section 2.01 hereof, the New Guarantor hereby agrees
that a notation of such Guarantee, substantially in the form included in Exhibit
F of the Indenture, shall be endorsed on each Note authenticated and delivered
by the Trustee and such Guarantee shall be executed by either manual or
facsimile signature of an Officer of the New Guarantor. The validity and
enforceability of any Guarantee shall not be affected by the fact that it is not
affixed to any particular Note.
The New Guarantor hereby agrees that its Guarantee set forth in Section
2.01 hereof shall remain in full force and effect notwithstanding any failure to
endorse on each Note a notation of such Guarantee.
If an Officer of the New Guarantor whose signature is on the Indenture
or a Guarantee no longer holds that office at the time the Trustee authenticates
the Note on which such Guarantee is endorsed or at any time thereafter, the New
Guarantor's Guarantee of such Note shall be valid nevertheless.
The delivery of any Note by the Trustee, after the authentication
thereof under the Indenture, shall constitute due delivery of any Guarantee set
forth in the Indenture on behalf of the New Guarantor.
Section 2.03 LIMITATION OF GUARANTEE. The obligations of each Guarantor
are limited to the maximum amount as will, after giving effect to all other
contingent and fixed liabilities of such Guarantor and after giving effect to
any collections from or payments made by or on behalf of any other Guarantor in
respect of the obligations of such other Guarantor under its Guarantee or
pursuant to its contribution obligations under the Indenture, result in the
obligations of such Guarantor under the Guarantee not constituting a fraudulent
conveyance or fraudulent transfer under federal or state law. Each Guarantor
that makes a payment or distribution under a Guarantee shall be entitled to a
contribution from each other Guarantor in a pro rata amount based on the net
assets of each Guarantor, determined in accordance with GAAP.
Section 2.04 RELEASE OF GUARANTOR. A Guarantor shall be released from
all of its obligations under its Guarantee if:
(i) the Guarantor has sold all of its assets or the Company and
its Restricted Subsidiaries have sold all of the Capital Stock
of the Guarantor owned by them, in each case in a transaction
in compliance with the terms of the Indenture (including
Sections 4.10 and 5.01 thereof);
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(iii) the Guarantor merges with or into or consolidates with, or
transfers all or substantially all of its assets to, the
Company or another Guarantor in a transaction in compliance
with Section 5.01 of the Indenture; or
(iii) the Guarantor is designated an Unrestricted Subsidiary in
compliance with the terms of the Indenture (including Section
4.07 thereof);
and in each such case, the Guarantor has delivered to the Trustee an Officers'
Certificate and an Opinion of Counsel, each stating that all conditions
precedent herein provided for relating to such transactions have been complied
with and that such release is authorized and permitted hereunder and under the
Indenture.
If all of the conditions to release contained in this Section 2.04 and
the Indenture have been satisfied, the Trustee shall execute any documents
reasonably requested by the Company or any Guarantor in order to evidence the
release of such Guarantor from its obligations under its Guarantee endorsed on
the Notes and under Article Ten of the Indenture.
Section 2.05 ASSUMPTION OF TERMS OF THE INDENTURE. The New Guarantor
hereby assumes, agrees to be bound and shall have the benefit of all obligations
and terms of the Indenture applicable to a Guarantor.
ARTICLE III
MISCELLANEOUS PROVISIONS
Section 3.01 TERMS DEFINED. For all purposes of this Fifth Supplemental
Indenture, except as otherwise defined or unless the context otherwise requires,
terms used in capitalized form in this Fifth Supplemental Indenture and defined
in the Indenture have the meanings specified in the Indenture.
Section 3.02 INDENTURE. Except as amended hereby, the Indenture, the
First Supplemental Indenture, the Second Supplemental Indenture, the Third
Supplemental Indenture, the Fourth Supplemental Indenture and the Notes are in
all respects ratified and confirmed and all the terms shall remain in full force
and effect.
Section 3.03 GOVERNING LAW. THIS FIFTH SUPPLEMENTAL INDENTURE SHALL BE
GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK,
AS APPLIED TO CONTRACTS MADE AND PERFORMED WITHIN THE STATE OF NEW YORK, WITHOUT
GIVING EFFECT TO THE PRINICPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE
APPLICATION OF LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.
Section 3.04 SUCCESSORS. All agreements of the Company in this Fifth
Supplemental Indenture and the Notes shall bind its successors. All agreements
of each of the Guarantors in this Fifth Supplemental Indenture, the Notes and
the Guarantees shall jointly and severally bind their respective successors. All
agreements of the Trustee in this Fifth Supplemental Indenture shall bind its
successors.
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Section 3.05 MULTIPLE COUNTERPARTS. The parties may sign multiple
counterparts of this Fifth Supplemental Indenture. Each signed counterpart shall
be deemed an original, but all of them together represent the same agreement.
Section 3.06 EFFECTIVENESS. The provisions of this Fifth Supplemental
Indenture will take effect immediately upon its execution and delivery by the
Trustee in accordance with the provisions of Article Eight of the Indenture.
Section 3.07 TRUSTEE DISCLAIMER. The Trustee accepts the amendment of
the Indenture effected by this Fifth Supplemental Indenture and agrees to
execute the trust created by the Indenture as hereby amended, but only upon the
terms and conditions set forth in the Indenture, including the terms and
provisions defining and limiting the liabilities and responsibilities of the
Trustee, which terms and provisions shall in like manner define and limit its
liabilities and responsibilities in the performance of the trust created by the
Indenture as hereby amended, and without limiting the generality of the
foregoing, the Trustee shall not be responsible in any manner whatsoever for or
with respect to any of the recitals or statement contained herein, all of which
recitals or statements are made solely by the Company, the New Guarantor and the
Existing Guarantors, or for or with respect to (i) the validity or sufficiency
of this Fifth Supplemental Indenture or any of the terms or provisions hereof,
(ii) the proper authorization hereof by the Company and each Guarantor by
corporate action or otherwise, (iii) the due execution hereof by the Company and
each Guarantor, (iv) the consequences (direct or indirect and whether deliberate
or inadvertent) of any amendment herein provided for, and the Trustee makes no
representation with respect to any such matters.
Section 3.08 AGENT FOR SERVICE; SUBMISSION TO JURISDICTION; WAIVER OF
IMMUNITIES. By the execution and delivery of this Fifth Supplemental Indenture,
each of the Company and the Guarantors (i) acknowledges that it has, by separate
written instrument, designated and appointed CT Corporation System as its
authorized agent upon which process may be served in any suit, action or
proceeding arising out of or relating to the Notes, the Indenture, the First
Supplemental Indenture, the Second Supplemental Indenture, the Third
Supplemental Indenture, Fourth Supplemental Indenture or this Fifth Supplemental
Indenture that may be instituted in any Federal or State court in the State of
New York, Borough of Manhattan, or brought under Federal or State securities
laws or brought by the Trustee (whether in its individual capacity or in its
capacity as Trustee hereunder), and acknowledges that CT Corporation System has
accepted such designation, (ii) submits to the jurisdiction of any such court in
any such suit, action or proceeding, and (iii) agrees that service of process
upon CT Corporation System and written notice of said service to it (mailed or
delivered to its Executive Director at its principal office as specified in
Section 11.02 of the Indenture), shall be deemed in every respect effective
service of process upon it in any such suit or proceeding. The Company and the
Guarantors further agree to take any and all action, including the execution and
filing of any and all such documents and instruments as may be necessary to
continue such designation and appointment of CT Corporation System, in full
force and effect so long as the Indenture shall be in full force and effect;
PROVIDED that the Company may and shall (to the extent CT Corporation System
ceases to be able to be served on the basis contemplated herein), by written
notice to the Trustee, designate such additional or alternative agents for
service of process under this Section 3.08 that (i) maintains an office located
in the Borough of Manhattan, The City of New York in the State of New York, (ii)
are either (x) counsel for the Company or (y) a corporate service company which
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acts as agent for service of process for other Persons in the ordinary course of
its business and (iii) agrees to act as agent for service of process in
accordance with this Section 3.08. Such notice shall identify the name of such
agent for process and the address of such agent for process in the Borough of
Manhattan, The City of New York, State of New York. Upon the request of any
Holder, the Trustee shall deliver such information to such Holder.
Notwithstanding the foregoing, there shall, at all times, be at least one agent
for service of process for the Company and the New Guarantor, if any, appointed
and acting in accordance with this Section 3.08.
SIGNATURES
IN WITNESS WHEREOF, the parties hereto have caused this Fifth
Supplemental Indenture to be duly executed as of the date first written above.
THE NEW GUARANTOR:
ALLWIN TECHNICAL SERVICES INC.
By: /s/ Xxxxx Xxxxxxxx
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Name: Xxxxx Xxxxxxxx
Title: President
THE COMPANY:
NORSKE XXXX CANADA LIMITED
By: /s/ Xxxxx Xxxxxxxx
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Name: Xxxxx Xxxxxxxx
Title: Vice President Finance and
Chief Financial Officer
THE EXISTING GUARANTORS:
ELK FALLS PULP AND PAPER LIMITED
By: /s/ Xxxxxxx Xxxxxx
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Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
NORSKE XXXX CANADA (JAPAN) LTD.
By: /s/ Xxxxx X. Xxxxxxxx
--------------------------------------
Name: Xxxxx X. Xxxxxxxx
Title: Director
NORSKE XXXX CANADA FINANCE LIMITED
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
NORSKE XXXX CANADA PULP SALES INC.
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
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NORSKE XXXX CANADA SALES INC.
By: /s/ Xxxxx Xxxxxxxx
--------------------------------------
Name: Xxxxx Xxxxxxxx
Title: President
NORSKE XXXX CANADA (USA) INC.
By: /s/ Xxxxx Xxxxxxxx
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Name: Xxxxx Xxxxxxxx
Title: VP, Finance, and CFO
NSCL HOLDINGS INC.
By: /s/ Xxxxxxx Xxxxxx
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Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
NORSKE XXXX CANADA PULP OPERATIONS
LIMITED
By: /s/ Xxxxxxx Xxxxxx
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Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
PACIFICA POPLARS LTD.
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
PACIFICA POPLARS INC.
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
PACIFICA PAPERS SALES INC.
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
PACIFICA PAPERS US INC.
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
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NORSKECANADA by its managing partner
NORSKE XXXX CANADA LIMITED
By: /s/ Xxxxx Xxxxxxxx
--------------------------------------
Name: Xxxxx Xxxxxxxx
Title: VP, Finance and CFO
PACIFICA PAPERS SALES LTD.
By: /s/ Xxxxxxx Xxxxxx
--------------------------------------
Name: Xxxxxxx Xxxxxx
Title: Corporate Secretary and
Legal Counsel
PACIFICA PAPERS KABUSHIKI KAISHA
By: /s/ Xxxxx X. Xxxxxxxx
--------------------------------------
Name: Xxxxx X. Xxxxxxxx
Title: Director
THE TRUSTEE:
XXXXX FARGO BANK MINNESOTA,
NATIONAL ASSOCIATION, as Trustee
By: /s/ Xxxxxxx X. Xxxxx
--------------------------------------
Name: Xxxxxxx X. Xxxxx
Title: Corporate Trust Officer
