FOURTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT

EX-10.1 2 d70410exv10w1.htm EX-10.1 exv10w1
Exhibit 10.1
FOURTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT
     THIS FOURTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (herein called the “Amendment”) made as of December 9, 2009 by and among Encore Acquisition Company, a Delaware corporation (the “Borrower”), Encore Operating, L.P., a Texas limited partnership (“Operating”), Bank of America, N.A., as Administrative Agent (the “Administrative Agent”) and L/C Issuer (the “L/C Issuer”), and the Lenders party to the Original Agreement defined below (the “Lenders”).
W I T N E S S E T H:
     WHEREAS, the Borrower, Operating, the Administrative Agent, the L/C Issuer, the Co-Syndication Agents and Co-Documentation Agents named therein and the Lenders are party to that certain Amended and Restated Credit Agreement dated as of March 7, 2007 (as heretofore amended, the “Original Agreement”), for the purpose and consideration therein expressed, whereby the L/C Issuer became obligated to issue Letters of Credit to the Borrower and the Lenders became obligated to make loans to the Borrower as therein provided; and
     WHEREAS, the Borrower, Operating, the Administrative Agent, the L/C Issuer and the Lenders party hereto desire to amend the Original Agreement as set forth herein;
     NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements contained herein and in the Original Agreement, in consideration of the loans and other credit which may hereafter be made by the Lenders and the L/C Issuer to the Borrower, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto do hereby agree as follows:
ARTICLE I.
DEFINITIONS AND REFERENCES
     Section 1.1. Terms Defined in the Original Agreement. Unless the context otherwise requires or unless otherwise expressly defined herein, the terms defined in the Original Agreement shall have the same meanings whenever used in this Amendment.
     Section 1.2. Other Defined Terms. Unless the context otherwise requires, the following terms when used in this Amendment shall have the meanings assigned to them in this Section 1.2.
     “Amendment” means this Fourth Amendment to Amended and Restated Credit Agreement.
     “Amendment Documents” means this Amendment, the Consent and Agreement of the Guarantors relating to this Amendment and all other documents or instruments delivered in connection herewith or therewith.
     “Credit Agreement” means the Original Agreement as amended hereby.
[Fourth Amendment to Amended and Restated Credit Agreement]

 


 

ARTICLE II.
AMENDMENT TO ORIGINAL AGREEMENT
     Section 2.1. Amendment to Schedule. Schedule 2.01 of the Original Agreement is hereby amended in its entirety and replaced with Schedule 2.01 attached hereto.
     Section 2.2. Borrowing Base. The Borrower, the Administrative Agent and the Lenders agree that from the Effective Date (as defined below) until the next redetermination or adjustment thereof, the Borrowing Base shall be $925,000,000.
ARTICLE III.
CONDITIONS OF EFFECTIVENESS
     Section 3.1. Conditions to Effectiveness of Amendment. This Amendment shall become effective when and only when the Administrative Agent shall have received executed counterparts of this Amendment (or a consent to this Amendment) from one hundred percent (100%) of the Lenders and the following conditions precedent has been satisfied (the date such conditions are so satisfied herein called the “Effective Date”):
     (a) The Administrative Agent’s receipt of the following, each of which shall be originals or telecopies (followed promptly by originals) unless otherwise specified, each properly executed by a Responsible Officer of the signing Credit Party, each dated the Effective Date (or, in the case of certificates of governmental officials, a recent date before the Effective Date) and each in form and substance satisfactory to the Administrative Agent:
     (i) counterparts of the Amendment Documents executed by the applicable Credit Parties sufficient in number for distribution to the Administrative Agent and the Borrower;
     (ii) a certificate on behalf of each Credit Party certifying that none of the resolutions, incumbency certificates, organizational documents and/or certificates of Responsible Officers of each Credit Party as the Administrative Agent has previously required evidencing the identity, authority and capacity of each Responsible Officer thereof authorized to act as a Responsible Officer in connection with the Loan Documents to which such Credit Party is a party have been amended or are otherwise inaccurate since they were delivered.
     (b) Any fees required to be paid on or before the Effective Date shall have been paid.
     (c) Unless waived by the Administrative Agent, the Borrower shall have paid all fees, charges and disbursements of counsel to the Administrative Agent to the extent invoiced prior to or on the Effective Date, plus such additional amounts of such fees, charges and disbursements as shall constitute its reasonable estimate of such fees, charges and disbursements incurred or to be incurred by it through the closing proceedings (provided that such estimate shall not thereafter preclude a final settling of accounts between the Borrower and the Administrative Agent).
[Fourth Amendment to Amended and Restated Credit Agreement]

2


 

ARTICLE IV.
REPRESENTATIONS AND WARRANTIES
     Section 4.1. Representations and Warranties. In order to induce the L/C Issuer and each Lender to enter into this Amendment, the Borrower and Operating represent and warrant to the L/C Issuer and each Lender that the representations and warranties contained in Article V of the Original Agreement or any other Loan Document are true and correct in all material respects on the Effective Date (including, for all purposes, after giving effect to the Amendment Documents as “Loan Documents” referred to therein), except to the extent such representations and warranties specifically refer to an earlier date, in which case they are true and correct as of such earlier date, and except for purposes of this Amendment, the representations and warranties contained in subsections (a) and (b) of Section 5.04 of the Credit Agreement shall be deemed to refer to the most recent statements furnished pursuant to clauses (a) and (b), respectively, of Section 6.01 of the Credit Agreement.
ARTICLE V.
MISCELLANEOUS
     Section 5.1. Ratification of Agreements. The Original Agreement as hereby amended is hereby ratified and confirmed in all respects. The other Loan Documents, as they may be amended or affected by the various Amendment Documents, are hereby ratified and confirmed in all respects. Any reference to the Credit Agreement in any Loan Document shall be deemed to be a reference to the Original Agreement as hereby amended. The execution, delivery and effectiveness of this Amendment and the other Amendment Documents shall not, except as expressly provided herein or therein, operate as a waiver of any right, power or remedy of the Administrative Agent or the Lenders under the Credit Agreement, or any other Loan Document nor constitute a waiver of any provision of the Credit Agreement, or any other Loan Document.
     Section 5.2. Survival of Agreements. All representations, warranties, covenants and agreements of any Loan Party herein shall survive the execution and delivery of this Amendment and the performance hereof, and shall further survive until all of the Obligations are paid in full. All statements and agreements contained in any certificate or instrument delivered by any Loan Party hereunder or under the Credit Agreement to the Administrative Agent or any Lender shall be deemed to constitute representations and warranties by, and/or agreements and covenants of such Loan Party under this Amendment and under the Credit Agreement.
     Section 5.3. Provisions Relating to Commitments. From and after the Effective Date, the Lenders shall have the respective Commitments as set forth on Schedule 2.01 attached hereto as Exhibit A. The Lenders and the Borrower hereby authorize the Administrative Agent to request borrowings from the Lenders, to make prepayments of Loans and to reduce commitments under the Credit Agreement among the Lenders in order to ensure that, upon the effectiveness of this Amendment, the Loans of the Lenders shall be outstanding on a ratable basis in accordance with their respective Applicable Percentages (after giving effect to this Amendment) and that the Commitments shall be as set forth on Schedule 2.01 as amended hereby and no such borrowing,
[Fourth Amendment to Amended and Restated Credit Agreement]

3


 

prepayment or reduction shall violate any provisions of the Credit Agreement or this Amendment. The Lenders hereby confirm that, from and after the Effective Date, all participations of the Lenders in respect of Letters of Credit outstanding hereunder pursuant to Section 2.03(c) shall be based upon the Applicable Percentages of the Lenders (after giving effect to this Amendment).
     Section 5.4. Loan Documents. This Amendment is and the other Amendment Documents are each a Loan Document, and all provisions in the Credit Agreement pertaining to Loan Documents apply hereto and thereto.
     Section 5.5. Governing Law. This Amendment shall be governed by and construed in accordance with the Laws applicable to the Credit Agreement.
     Section 5.6. Counterparts; Fax. This Amendment may be separately executed in counterparts and by the different parties hereto in separate counterparts, each of which when so executed shall be deemed to constitute one and the same Amendment. This Amendment and the other Amendment Documents may be validly executed by facsimile or other electronic transmission.
     THIS AMENDMENT AND THE OTHER LOAN 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. THERE ARE NO UNWRITTEN ORAL AGREEMENTS OF THE PARTIES.
[The remainder of this page has been intentionally left blank.]
[Fourth Amendment to Amended and Restated Credit Agreement]

4


 

     IN WITNESS WHEREOF, this Amendment is executed as of the date first above written.
       
    ENCORE ACQUISITION COMPANY
 
     
 
  By:  /s/ Robert C. Reeves
 
     
 
    Robert C. Reeves,
 
    Senior Vice President, Chief Financial Officer and Treasurer
 
     
 
    ENCORE OPERATING, L.P.
 
  By: EAP Operating, LLC., its sole general partner
 
     
 
 
  By: /s/ Robert C. Reeves
 
     
 
    Robert C. Reeves,
 
    Senior Vice President, Chief Financial Officer and Treasurer
[Signature Page to Forth Amendment to Credit Agreement]

 


 

       
 
  BANK OF AMERICA, N.A.,
as Administrative Agent, L/C Issuer and a Lender
 
   
 
     
 
  By:  /s/ Jeffrey H. Rathkamp
 
     
 
    Jeffrey H. Rathkamp
 
    Managing Director
[Signature Page to Forth Amendment to Credit Agreement]

 


 

         
  WACHOVIA BANK, N.A.,
as a Lender
 
 
 
  By:   /s/ Charles D. Kirkham    
    Name:   Charles D. Kirkham   
    Title:   Senior Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  FORTIS CAPITAL CORP.,
as a Lender
 
 
 
  By:   /s/ Michaela Braun    
    Name:   Michaela Braun   
    Title:   Vice President   
 
     
  By:   /s/ Chad Clark    
    Name:   Chad Clark   
    Title:   Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  BNP PARIBAS,
as a Lender
 
 
 
  By:   /s/ Edward Pak    
    Name:   Edward Pak   
    Title:   Vice President   
 
     
  By:   /s/ Greg Smothers    
    Name:   Greg Smothers   
    Title:   Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  CALYON NEW YORK BRANCH,
as a Lender  
 
 
 
  By:   /s/ Tom Byargeon    
    Name:   Tom Byargeon   
    Title:   Managing Director   
 
     
  By:   /s/ Sharada Manne    
    Name:   Sharada Manne   
    Title:   Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  BMO CAPITAL MARKETS FINANCING, INC.,
as a Lender
 
 
 
  By:   /s/ James Whitmore    
    Name:   James Whitmore   
    Title:   Managing Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  GE BUSINESS FINANCIAL SERVICES INC.
FKA MERRILL LYNCH BUSINESS FINANCIAL SERVICES,
as a Lender  
 
 
 
  By:   /s/ Carl Peterson    
    Name:   Carl Peterson   
    Title:   Authorized Signatory   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  GENERAL ELECTRIC CAPITAL CORPORATION,
as a Lender  
 
 
 
  By:   /s/ Carl Peterson    
    Name:   Carl Peterson   
    Title:   Authorized Signatory   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  THE ROYAL BANK OF SCOTLAND plc,
as a Lender  
 
 
 
  By:   /s/ Lucy Walker    
    Lucy Walker   
    Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  SUNTRUST BANK,
as a Lender  
 
 
 
  By:   /s/ Yann Pirio    
    Name:   Yann Pirio   
    Title:   Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  ALLIED IRISH BANKS PLC,
as a Lender  
 
 
 
  By:   /s/ Vaughn Buck    
    Name:   Vaughn Buck   
    Title:   Director   
 
     
  By:   /s/ David O’Driscoll    
    Name:   David O’Driscoll   
    Title:   Assistant Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  SCOTIABANC INC.,
as a Lender  
 
 
 
  By:   /s/ J.F. Todd    
    Name:   J.F. Todd   
    Title:   Managing Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  COMERICA BANK,
as a Lender  
 
 
 
  By:   /s/ V. Mark Fuqua    
    Name:   V. Mark Fuqua   
    Title:   Senior Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  KEYBANK NATIONAL ASSOCIATION,
as a Lender  
 
 
 
  By:   /s/ Angela McCracken    
    Name:   Angela McCracken   
    Title:   Senior Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  MIZUHO CORPORATE BANK, LTD.,
as a Lender  
 
 
 
  By:   /s/ Leon Mo    
    Name:   Leon Mo   
    Title:   Authorized Signatory   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  NATIXIS, as a Lender
 
 
 
  By:   /s/ Liana Tchernysheva    
    Liana Tchernysheva   
    Director   
 
     
  By:   /s/ Timothy Polvado    
    Timothy Polvado   
    Managing Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  SUMITOMO MITSUI BANKING CORPORATION,
as a Lender  
 
 
 
  By:   /s/ William M. Ginn    
    Name:   William M. Ginn   
    Title:   General Manager   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  WELLS FARGO BANK, N.A., as a Lender
 
 
 
  By:   /s/ Charles D. Kirkham    
    Name:   Charles D. Kirkham   
    Title:   Senior Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  BANK OF SCOTLAND, as a Lender
 
 
 
  By:   /s/ Julia R. Franklin    
    Name:   Julia R. Franklin   
    Title:   Assistant Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  U.S. BANK NATIONAL ASSOCIATION,
as a Lender
 
 
 
  By:   /s/ Daria Mahoney    
    Name:   Daria Mahoney   
    Title:   Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  DNB NOR BANK ASA, as a Lender
 
 
 
  By:   /s/ Philip F. Kurpiewski    
    Name:   Philip F. Kurpiewski   
    Title:   Senior Vice President   
 
     
  By:   /s/ Kristin Riise    
    Name:   Kristin Riise   
    Title:   First Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  UNION BANK, N.A., as a Lender
 
 
 
  By:   /s/ Alison Fuqua    
    Name:   Alison Fuqua   
    Title:   Assistant Vice President   
 
     
  By:   /s/ Whitney Randolph    
    Name:   Whitney Randolph   
    Title:   Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  JPMORGAN CHASE BANK, N.A., as a Lender
 
 
 
  By:   /s/ Michael A. Kamauf    
    Name:   Michael A. Kamauf   
    Title:   Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  THE FROST NATIONAL BANK, as a Lender
 
 
 
  By:   /s/ Alex G. Zemkoski    
    Name:   Alex G. Zemkoski   
    Title:   Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  ROYAL BANK OF CANADA, as a Lender
 
 
 
  By:   /s/ Don J. McKinnerney    
    Name:   Don J. McKinnerney   
    Title:   Authorized Signatory   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  WESTLB AG, NEW YORK BRANCH,
as a Lender  
 
 
 
  By:   /s/ Ian Schottlaender    
    Name:  Ian Schottlaender   
    Title:  Managing Director   
 
     
  By:   /s/ Philip Juskowicz    
    Name:  Philip Juskowicz, CFA   
    Title:  Associate Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  COMPASS BANK, as a Lender
 
 
 
  By:   /s/ Christopher S. Parada    
    Name:   Christopher S. Parada   
    Title:   Senior Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  MIDFIRST BANK, as a Lender
 
 
 
  By:   /s/ Shawn D. Brewer    
    Name:   Shawn D. Brewer   
    Title:   Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  UBS LOAN FINANCE LLC, as a Lender
 
 
 
  By:   /s/ Mary E. Evans    
    Name:   Mary E. Evans   
    Title:   Associate Director   
 
     
  By:   /s/ Irja R. Otsa    
    Name:   Irja R. Otsa   
    Title:   Associate Director   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  RZB FINANCE LLC, as a Lender
 
 
 
  By:   /s/ Shirley Ritch    
    Name:   Shirley Ritch   
    Title:   Vice President   
 
     
  By:   /s/ Nicolas M. Moriatis    
    Name:   Nicolas M. Moriatis   
    Title:   Chief Financial Officer   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  STERLING BANK, as a Lender
 
 
 
  By:   /s/ Jeff Forbis    
    Name:   Jeff Forbis   
    Title:   Senior Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

         
  CAPITAL ONE, N.A., as a Lender
 
 
 
  By:   /s/ Nancy M. Mak    
    Name:   Nancy M. Mak   
    Title:   Vice President   
 
[Signature Page to Fourth Amendment to Credit Agreement]

 


 

[Fourth Amendment]
Consent and Agreement to Fourth Amendment to
Amended and Restated Credit Agreement dated as of December 9, 2009
     The undersigned each hereby (a) consents to the provisions of the Fourth Amendment and the transactions contemplated herein and hereby, (b) ratifies and confirms the Amended and Restated Guaranty dated as of March 7, 2007 made by it in favor of Bank of America, N.A., as the Administrative Agent, as such Guaranty has been supplemented, and the other Loan Documents to which it is a party and (c) agrees that its obligations and covenants under the Loan Documents are unimpaired hereby and shall remain in full force and effect.
         
  EAP OPERATING, LLC
 
 
  By:   /s/ Robert C. Reeves    
    Robert C. Reeves   
    Senior Vice President,
Chief Financial Officer, and Treasurer 
 
 
  ENCORE OPERATING LOUISIANA, LLC
 
 
  By:   /s/ Andrea Hunter    
    Andrea Hunter   
    Vice President, Treasurer, and Secretary
 
  EAP PROPERTIES, INC. 
 
 
  By:   /s/ Robert C. Reeves    
    Robert C. Reeves   
    Senior Vice President,
Chief Financial Officer, and Treasurer 
 
 
[Consent and Agreement]

 


 

SCHEDULE 2.01
COMMITMENTS
AND APPLICABLE PERCENTAGES
                 
            Applicable  
Lender   Commitment     Percentage  
Bank of America, N.A.
  $ 78,184,728       6 ###-###-#### %
Wachovia Bank, N.A.
  $ 62,272,727       4.981818160 %
Fortis Capital Corp.
  $ 62,272,727       4.981818160 %
BNP Paribas
  $ 62,272,727       4.981818160 %
Calyon New York Branch
  $ 65,675,676       5 ###-###-#### %
General Electric Capital Corporation
  $ 28,773,115       2.301849200 %
GE Business Financial Services, Inc.
  $ 28,773,115       2.301849200 %
Comerica Bank
  $ 43,624,402       3 ###-###-#### %
DnB NOR Bank ASA
  $ 49,043,385       3 ###-###-#### %
Sumitomo Mitsui Banking Corp.
  $ 43,624,402       3 ###-###-#### %
Union Bank, N.A.
  $ 43,624,402       3 ###-###-#### %
U.S. Bank National Association
  $ 43,624,402       3 ###-###-#### %
Wells Fargo Bank, N.A.
  $ 43,624,402       3 ###-###-#### %
Compass Bank
  $ 40,980,861       3 ###-###-#### %
Bank of Scotland
  $ 40,789,474       3 ###-###-#### %
Natixis
  $ 40,789,474       3 ###-###-#### %
The Royal Bank of Scotland plc
  $ 36,379,801       2.910384080 %
SunTrust Bank
  $ 43,136,558       3.450924640 %
Scotiabanc Inc.
  $ 36,379,801       2.910384080 %
Mizuho Corporate Bank, Ltd.
  $ 30,405,405       2 ###-###-#### %
The Frost National Bank
  $ 32,458,134       2 ###-###-#### %
Royal Bank of Canada
  $ 32,458,134       2 ###-###-#### %
Allied Irish Bank plc
  $ 28,773,115       2.301849200 %
BMO Capital Markets Financing, Inc.
  $ 28,773,115       2.301849200 %
KeyBank National Association
  $ 28,773,115       2.301849200 %
JPMorgan Chase Bank, N.A.
  $ 54,018,492       4.321479360 %
WestLB AG, New York Branch
  $ 21,347,795       1.707823600 %
MidFirst Bank
  $ 6,756,757       0.540540560 %
UBS Loan Finance LLC
  $ 18,776,671       1.502133680 %
Sterling Bank
  $ 21,052,632       1 ###-###-#### %
RZB Finance LLC
  $ 18,776,671       1.502133680 %
Capital One, N.A.
  $ 33,783,785       2.702702800 %
 
           
Total
  $ 1,250,000,000       100.000000000 %
 
           
[Exhibit A — Schedule 2.01]