FIRST AMENDMENT TO CREDIT AGREEMENT

Contract Categories: Business Finance - Credit Agreements
EX-4.1 2 w38084exv4w1.htm FIRST AMENDMENT TO CREDIT AGREEMENT exv4w1
 

Exhibit 4.1
FIRST AMENDMENT TO CREDIT AGREEMENT
     This FIRST AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) is entered into as of July 3, 2007 among AIRGAS, INC., a Delaware corporation (“Airgas” and also a “Borrower”), AIRGAS CANADA INC., a Canada corporation, and RED-D-ARC LIMITED, an Ontario corporation (each a “Canadian Borrower” and together with Airgas, the “Borrowers”), the Guarantors signatory hereto, the Lenders signatory hereto BANK OF AMERICA, N.A., as administrative agent for the Lenders (in such capacity, the “U.S. Agent”) and THE BANK OF NOVA SCOTIA, as Canadian administrative agent for the Lenders (in such capacity, the “Canadian Agent”). Capitalized terms used herein and not otherwise defined shall have the meanings set forth in the Credit Agreement (as defined below).
RECITALS
     WHEREAS, the Borrowers, the Guarantors, the Lenders and the Agents are parties to that certain Credit Agreement dated as of July 25, 2006 (the “Credit Agreement”).
     WHEREAS, Airgas intends to convert certain shares of Capital Stock of National Welders Supply Company, Inc., a North Carolina corporation (“National Welders”), into shares of Capital Stock of Airgas at which point National Welders shall become a Subsidiary of Airgas (the “Transaction”).
     WHEREAS, National Welders is a borrower under that certain $100 million credit agreement among National Welders, Bank of America, N.A., Wachovia Bank, National Association and Branch Banking and Trust Company (the “NWS Credit Agreement”).
     WHEREAS, the Required Lenders have agreed to amend certain terms of the Credit Agreement on the terms, and subject to the conditions, set forth below.
     NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
AGREEMENT
     1. Amendments to Credit Agreement. The following amendments shall become effective immediately upon the consummation of the Transaction:
     (a) Section 2.1 (U.S. Revolving Loans).
     (i) Section 2.1 of the Credit Agreement is amended by replacing “NINE HUNDRED SIXTY-SIX MILLION U.S. DOLLARS ($966,000,000)” with the following:
     “ONE BILLION SIXTY-SIX MILLION U.S. DOLLARS ($1,066,000,000)
(b) Schedule 2.1(a) (Lenders and Commitments). Schedule 2.1(a) is amended and restated in its entirety as attached hereto.
     2. Additional Agreements of the Credit Parties. The Credit Parties covenant to the Agents and the Lenders that the NWS Credit Agreement will be terminated and repaid contemporaneously with the consummation of the Transaction. Failure to comply with this covenant shall be deemed an Event of Default under the Credit Agreement. Furthermore, the Credit Parties shall (a) cause National Welders to

 


 

become a U.S. Subsidiary Guarantor pursuant to Section 7.12 of the Credit Agreement and (b) pledge the Capital Stock of National Welders to the Collateral Agent pursuant to Section 7.13 of the Credit Agreement.
     3. Letters of Credit. The parties hereto agree that the letters of credit identified on Annex 1 attached hereto shall be deemed to be U.S. Letters of Credit, and from and after the date of this Amendment shall be subject to and governed by the terms and conditions of the Credit Agreement.
     4. Effectiveness; Conditions Precedent. This Amendment shall become effective upon receipt by the Agents of the following:
     (a) copies of this Amendment duly executed by the Credit Parties and the Required Lenders; and
     (b) copies of certified resolutions for Airgas approving the increase in the U.S. Revolving Committed Amount.
     5. Construction. This Amendment is a Credit Document executed pursuant to the Credit Agreement and shall (unless otherwise expressly indicated therein) be construed, administered and applied in accordance with the terms and provisions of the Credit Agreement.
     6. Representations and Warranties. Each Credit Party hereby represents and warrants that (i) each Credit Party that is party to this Amendment: (a) has the requisite corporate power and authority to execute, deliver and perform this Amendment, as applicable and (b) is duly authorized to, and has been authorized by all necessary corporate action, to execute, deliver and perform this Amendment, (ii) the representations and warranties contained in Article VI of the Credit Agreement are true and correct in all material respects on and as of the date hereof upon giving effect to this Amendment as though made on and as of such date (except for those which expressly relate to an earlier date) and (iii) no Default or Event of Default exists under the Credit Agreement on and as of the date hereof upon giving effect to this Amendment.
     7. Acknowledgment. The Guarantors acknowledge and consent to all of the terms and conditions of this Amendment and agree that this Amendment does not operate to reduce or discharge the Guarantors’ obligations under the Credit Agreement or the other Credit Documents. The Guarantors further acknowledge and agree that the Guarantors have no claims, counterclaims, offsets, or defenses to the Credit Documents and the performance of the Guarantors’ obligations thereunder or if the Guarantors did have any such claims, counterclaims, offsets or defenses to the Credit Documents or any transaction related to the Credit Documents, the same are hereby waived, relinquished and released in consideration of the Lenders’ execution and delivery of this Amendment.
     8. Counterparts. This Amendment may be executed by the parties hereto in several counterparts, each of which shall be deemed to be an original and all of which shall constitute together but one and the same agreement.
     9. Binding Effect. This Amendment, the Credit Agreement and the other Credit Documents embody the entire agreement between the parties and supersede all prior agreements and understandings, if any, relating to the subject matter hereof. These Credit Documents represent the final agreement between the parties and may not be contradicted by evidence of prior, contemporaneous or subsequent oral agreements of the parties. Except as expressly modified and amended in this Amendment, all the terms, provisions and conditions of the Credit Documents shall remain unchanged and shall continue in full force and effect.

 


 

     10. GOVERNING LAW. THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.
     11. Severability. If any provision of this Amendment is determined to be illegal, invalid or unenforceable, such provision shall be fully severable and the remaining provisions shall remain in full force and effect and shall be construed without giving effect to the illegal, invalid or unenforceable provisions.
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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 and this Amendment shall be effective as of the date first above written.
         
BORROWERS AIRGAS, INC.
 
 
  By:   /s/ Jospeh C. Sullivan    
    Name:   Josep C. Sullivan   
    Title:   Vice President   
 
         
  AIRGAS CANADA INC.
 
 
  By:   /s/ Thomas M. Smyth    
    Name:   Thomas M. Smyth   
    Title:   Vice President   
 
         
  RED-D-ARC LIMITED
 
 
  By:   /s/ Thomas M. Smyth    
    Name:   Thomas M. Smyth   
    Title:   Vice President   

 


 

         
         
U.S. SUBSIDIARY GUARANTORS AIRGAS-EAST, INC.
AIRGAS-GREAT LAKES, INC.
AIRGAS-MID AMERICA, INC.
AIRGAS-NORTH CENTRAL, INC.
AIRGAS-SOUTH, INC.
AIRGAS-GULF STATES, INC.
AIRGAS-INTERMOUNTAIN, INC.
AIRGAS-MID SOUTH, INC.
AIRGAS-NORPAC, INC.
AIRGAS-NORTHERN CALIFORNIA & NEVADA, INC.
AIRGAS-SOUTHWEST, INC.
AIRGAS-WEST, INC.
AIRGAS-SAFETY, INC.
AIRGAS CARBONIC, INC.
AIRGAS SPECIALTY GASES, INC.
NITROUS OXIDE CORP.
RED-D-ARC, INC.
AIRGAS DATA, LLC
AIRGAS GASPRO, INC.
MISSOURI RIVER HOLDINGS, INC.
AIRGAS INVESTMENTS, INC.
AIRGAS SPECIALTY PRODUCTS, INC.
CO2 DIRECT, INC.
WORLDWIDE WELDING, INC.,
AIRGAS MERCHANT HOLDINGS, INC.
AIRGAS MERCHANT GASES, LLC,
 
 
         
     
  By:   /s/ Thomas M. Smyth    
    Name:   Thomas M. Smyth   
    Title:   Vice President   
 
         
CANADIAN SUBSIDIARY GUARANTORS AIRGAS, S.A. DE C.V.
RED-D-ARC, S.A. DE C.V.
AIRGAS WEST, S.A. DE C.V.
 
 
  By:   /s/ Joseph C. Sullivan    
    Name:   Joseph C. Sullivan   
    Title:   Vice President   

 


 

         
         
U.S. AGENT BANK OF AMERICA, N.A.,
 
 
  By:   /s/ Gary Gordon Flieger    
    Name:   Gary Gordon Flieger   
    Title:   Vice President   

 


 

         
         
CANADIAN AGENT THE BANK OF NOVA SCOTIA
 
 
  By:   /s/ James J. Rhee    
    Name:   James J. Rhee   
    Title:   Director   

 


 

         
         
LENDERS BANK OF AMERICA, N.A.
 
 
  By:   /s/ Colleen M. Briscoe    
    Name:   Colleen M. Briscoe   
    Title:   Senior Vice President   
 
         
  BANK OF AMERICA, N.A. (CANADA BRANCH)
 
 
  By:   /s/ Nelson Lam    
    Name:   Nelson Lam   
    Title:   Vice President   

 


 

         
         
  THE BANK OF NEW YORK
 
 
  By:   /s/ Roger Grossman    
    Name:   Roger Grossman   
    Title:   Vice President   

 


 

         
         
  THE BANK OF TOKYO-MITSUBISHI
UFJ, LTD., NY BRANCH
 
 
  By:   /s/ Maria Ferradas    
    Name:   Maria Ferradas   
    Title:   Authorized Signatory   

 


 

         
         
  CITIZENS BANK
 
 
  By:   /s/ Devon Starks    
    Name:   Devon Starks   
    Title:   Senior Vice President   

 


 

         
         
  JPMORGAN CHASE BANK , N.A.
 
 
  By:   /s/ Lee P. Brennan    
    Name:   Lee P. Brennan   
    Title:   Vice President   
 
         
  JPMORGAN CHASE BANK , N.A., TORONTO
 
 
  By:   /s/ Michael N. Tam    
    Name:   Michael N. Tam   
    Title:   Senior Vice President   

 


 

         
         
  WACHOVIA BANK, N.A.
 
 
  By:   /s/ Anne Sheahan    
    Name:   Anne Sheahan   
    Title:   Vice President   

 


 

         
         
  PNC BANK NA
 
 
  By:   /s/ Meredith Jemann    
    Name:   Meredith Jemann   
    Title:   Vice President   

 


 

         
         
  THE BANK OF NOVA SCOTIA
 
 
  By:   /s/ Brian S. Allen    
    Name:   Brian S. Allen   
    Title:   Managing Director   

 


 

         
         
  MELLON BANK, N.A.
 
 
  By:   /s/ William M. Feathers    
    Name:   William M. Feathers   
    Title:   Vice President   

 


 

         
         
  NATIONAL CITY BANK
 
 
  By:   /s/ Donna J. Ernhart    
    Name:   Donna J. Ernhart   
    Title:   Vice President   
 

 


 

         
  BANK OF HAWAII
 
 
  By:   /s/ Terri L. Okada    
    Name:   Terri L. Okada   
    Title:   Vice President   

 


 

         
         
  CALYON, NEW YORK BRANCH
 
 
  By:   /s/ Michael Madnick    
    Name:   Michael Madnick   
    Title:   Managing Director   
 
     
  By:   /s/ Yuri Muzichenko    
    Name:   Yuri Muzichenko   
    Title:   Director   

 


 

         
         
  GOLDMAN SACHS CREDIT PARTNERS L.P.
 
 
  By:   /s/ Douglas Tansey    
    Name:   Douglas Tansey   
    Title:   Authorized Signator   

 


 

         
         
  SUMITOMO MITSUI BANKING CORP.,
NEW YORK
 
 
  By:   /s/ David A Buck    
    Name:   David A. Buck   
    Title:   Senior Vice President   

 


 

         
         
  BRANCH BANKING AND TRUST CO.
 
 
  By:   /s/ Troy R. Weaver    
    Name:   Troy R. Weaver   
    Title:   Senior Vice President   

 


 

         
         
  BANK LEUMI USA
 
 
  By:   /s/ Joung Hee Hong    
    Name:   Joung Hee Hong   
    Title:   First Vice President   

 


 

         
         
  BARCLAYS BANK PLC
 
 
  By:   /s/ Nicholas Bell    
    Name:   Nicholas Bell   
    Title:   Director   

 


 

         
         
  LASALLE BANK NATIONAL ASSOCIATION
 
 
  By:   /s/ Nick Lotz    
    Name:   Nick Lotz   
    Title:   Assistant Vice President   

 


 

         
         
  SUNTRUST BANK
 
 
  By:   /s/ William C. Wasburn, Jr.    
    Name:   William C. Wasburn, Jr.   
    Title:   Vice President   

 


 

         
         
  COMMERZBANK AG, NEW YORK AND
GRAND CAYMAN BRANCHES
 
 
  By:   /s/ Karsten Duhn    
    Name:   Karsten Duhn   
    Title:   Vice President   

 


 

         
         
  FIFTH THIRD BANK
 
 
  By:   /s/ Sean Devillers    
    Name:   Sean Devillers   
    Title:   Officer   

 


 

         
         
  FORTIS CAPITAL CORP.
 
 
  By:   /s/ John W. Deegan    
    Name:   John W. Deegan   
    Title:   Senior Vice President   

 


 

         
         
  HSBC BANK USA, NATIONAL ASSOCIATION
 
 
  By:   /s/ Collen Glackin    
    Name:   Collen Glackin   
    Title:   Vice President   

 


 

         
         
  WELLS FARGO BANK, NATIONAL ASSOCIATION
 
 
  By:   /s/ James R. Bednark    
    Name:   James R. Bednark   
    Title:   Senior Vice President   

 


 

         
         
  REGIONS BANK
 
 
  By:   /s/ David L. Waller    
    Name:   David L. Waller   
    Title:   Senior Vice President   

 


 

         
         
  US BANK, NATIONAL ASSOCIATION
 
 
  By:   /s/ Michael P. Dickman    
    Name:   Michael P. Dickman   
    Title:   Vice President   

 


 

         
         
  COMERICA BANK
 
 
  By:   /s/ Richard C. Hampson    
    Name:   Richard C. Hampson   
    Title:   Vice President   

 


 

         
         
  NORTH FORK BANK
 
 
  By:   /s/ Philip Davi    
    Name:   Philip Davi   
    Title:   Senior Vice President   

 


 

         
         
  PEOPLE’S BANK
 
 
  By:   /s/ George F. Faik    
    Name:   George F. Faik   
    Title:   Vice President   

 


 

         
         
  E. SUN COMMERCIAL BANK., LTD.
LOS ANGELES BRANCH
 
 
  By:   /s/ Benjamin Lin    
    Name:   Benjamin Lin   
    Title:   Executive Vice President