Second Amendment to the Third Amended and Restated Credit Agreement

Contract Categories: Business Finance - Credit Agreements
EX-10.2 3 d45250exv10w2.htm SECOND AMENDMENT TO THE THIRD AMENDED AND RESTATED CREDIT AGREEMENT exv10w2
 

EXHIBIT 10.2
SECOND AMENDMENT TO
THIRD AMENDED AND RESTATED CREDIT AGREEMENT
     THIS SECOND AMENDMENT TO THIRD AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”) is entered into as of March 23, 2007, by and among RANGE RESOURCES CORPORATION, a Delaware corporation (“Borrower”), certain Subsidiaries of Borrower as Guarantors, JPMORGAN CHASE BANK, N.A., a national banking association as Administrative Agent for the Lenders (in such capacity, “Administrative Agent”), and each of the Lenders which is a party to the Credit Agreement (defined below).
WITNESSETH:
     WHEREAS, Borrower, Guarantors, Administrative Agent and the Lenders entered into that certain Third Amended and Restated Credit Agreement dated as of October 25, 2006 (as amended by that certain First Amendment to Third Amended and Restated Credit Agreement dated March 12, 2007 (the “First Amendment”), and as further amended, modified and restated from time to time, the “Credit Agreement”), pursuant to which the Lenders made a revolving credit facility available to Borrower; and
     WHEREAS, Borrower has requested that Administrative Agent and the Lenders amend the Credit Agreement to (a) permit the Borrower to incur additional unsecured subordinated Indebtedness in the amount of $250,000,000 on terms and conditions substantially similar to the Senior Subordinated Notes outstanding on the date hereof and (b) increase the Aggregate Commitment by $100,000,000, and Administrative Agent and the Lenders have agreed to do so on the terms and conditions hereinafter set forth.
     NOW, THEREFORE, the parties agree to amend the Credit Agreement as follows:
     1. Definitions. Unless otherwise defined herein, all capitalized terms used herein shall have the same meanings ascribed to such terms in the Credit Agreement.
     2. Amendments to Credit Agreement.
     2.1 Amended Definitions. The following definition set forth in Section 1.01 of the Credit Agreement shall be and it hereby is amended in its entirety to read as follows:
Senior Subordinated Notes” means (i) the 7 3/8% Senior Subordinated Notes due 2013, issued pursuant to the Indenture, (ii) the 6 3/8% Senior Subordinated Notes due 2015, issued pursuant to the Indenture, (iii) the 7 1/2% Senior Subordinated Notes due 2016, issued pursuant to the Indenture and (iv) additional senior unsecured subordinated notes issued after the Second Amendment Effective Date and prior to October 1, 2007 that have a scheduled maturity no earlier than six months after the Maturity Date and are on substantially the same terms and conditions, including the subordination terms, as the Indenture.
SECOND AMENDMENT TO THIRD AMENDED
AND RESTATED AGREEMENT

 


 

     2.2 Additional Definition. Section 1.01 of the Credit Agreement shall be and it hereby is amended by adding the following definition in correct alphabetical order:
Second Amendment Effective Date” means the date the Second Amendment to Third Amended and Restated Credit Agreement becomes effective.
     2.3 Indebtedness Under the Senior Subordinated Notes. Effective as of the Second Amendment Effective Date, Section 7.01(h) of the Credit Agreement is hereby amended to read in its entirety as follows:
     (h) Indebtedness under the Senior Subordinated Notes in an aggregate principal amount not exceeding $850,000,000 at any time outstanding and extensions, renewals, replacements and refinancing of any such Indebtedness that does not exceed the maximum principal amount permitted under this clause (h) as of the date of such extension, renewal, replacement or refinancing; provided that any documentation which replaces the Senior Subordinated Notes and pursuant to which the Senior Subordinated Notes are refinanced does not contain, either initially or by amendment or other modification, any material terms, conditions, covenants or defaults other than those which then exist in the Indenture and the Senior Subordinated Notes or which could be included in the Indenture or the Senior Subordinated Notes by an amendment or other modification that would not be prohibited by the terms of this Agreement; and
     2.4 Increase in the Aggregate Commitment. Notwithstanding anything to the contrary in Section 2.03 of the Credit Agreement, effective as of the Second Amendment Effective Date, the Aggregate Commitment shall be $900,000,000, and Schedule 2.01 of the Credit Agreement shall be and it hereby is amended and replaced in its entirety with Schedule 2.01 attached hereto.
     3. Redetermined Borrowing Base. This Amendment shall constitute a notice of the redetermination of the Borrowing Base pursuant to Section 3.04 of the Credit Agreement and Administrative Agent hereby notifies Borrower that, as of the Second Amendment Effective Date the redetermined Borrowing Base is $1,200,000,000 until the next redetermination of the Borrowing Base pursuant to Article III of the Credit Agreement.
     4. Binding Effect. Except to the extent its provisions are specifically amended, modified or superseded by this Amendment, the Credit Agreement, as amended, and all terms and provisions thereof shall remain in full force and effect, and the same in all respects are confirmed and approved by the Borrower and the Lenders.
     5. Second Amendment Effective Date. This Amendment shall be effective upon the satisfaction of the conditions precedent set forth in Section 7 hereof (the “Second Amendment Effective Date”).
SECOND AMENDMENT TO THIRD AMENDED
AND RESTATED AGREEMENT

2


 

     6. Conditions Precedent. The obligations of Administrative Agent and the Lenders under this Amendment shall be subject to the following conditions precedent:
          (a) Execution and Delivery. Borrower and each Guarantor shall have executed and delivered this Amendment to Administrative Agent;
          (b) Payment of Fee. Borrower shall have paid to Administrative Agent, for the ratable benefit of the Lenders, a fee in an amount equal to 0.15% of the $100,000,000 increase in the Aggregate Commitment.
          (c) Representations and Warranties. The representations and warranties of the Credit Parties under this Amendment are true and correct in all material respects as of such date, as if then made (except to the extent that such representations and warranties related solely to an earlier date);
          (d) No Default. No Default shall have occurred and be continuing;
          (e) Other Documents. The Administrative Agent shall have received such other instruments and documents incidental and appropriate to the transaction provided for herein as the Administrative Agent or its counsel may reasonably request, and all such documents shall be in form and substance satisfactory to the Administrative Agent.
     7. Representations and Warranties. Each Credit Party hereby represents and warrants that (a) except to the extent that any such representations and warranties expressly relate to an earlier date, all of the representations and warranties contained in the Credit Agreement and in each Loan Document are true and correct as of the date hereof after giving effect to this Amendment, (b) the execution, delivery and performance by such Credit Party of this Amendment have been duly authorized by all necessary corporate, limited liability company or partnership action required on its part, and this Amendment and the Credit Agreement are the legal, valid and binding obligations of such Credit Party, enforceable against such Credit Party in accordance with their terms, except as their enforceability may be affected by the effect of bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to or affecting the rights or remedies of creditors generally, and (c) no Default or Event of Default has occurred and is continuing.
     8. Counterparts. This Amendment may be executed in one or more counterparts and by different parties hereto in separate counterparts each of which when so executed and delivered shall be deemed an original, but all such counterparts together shall constitute but one and the same instrument; signature pages may be detached from multiple separate counterparts and attached to a single counterpart so that all signature pages are physically attached to the same document. However, this Amendment shall bind no party until the Borrower, the Lenders, and the Administrative Agent have executed a counterpart. Delivery of photocopies of the signature pages to this Amendment by facsimile or electronic mail shall be effective as delivery of manually executed counterparts of this Amendment.
SECOND AMENDMENT TO THIRD AMENDED
AND RESTATED AGREEMENT

3


 

     9. WRITTEN CREDIT AGREEMENT. THE CREDIT AGREEMENT, AS AMENDED BY THIS AMENDMENT AND TOGETHER WITH THE OTHER LOAN DOCUMENTS, REPRESENTS THE FINAL AGREEMENT BETWEEN AND AMONG 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 BETWEEN AND AMONG THE PARTIES.
     10. Guarantors. The Guarantors hereby consent to the execution of this Amendment by the Borrower and reaffirm their guaranties of all of the obligations of the Borrower to the Lenders. Borrower and Guarantors acknowledge and agree that the renewal, extension and amendment of the Credit Agreement shall not be considered a novation of account or new contract but that all existing rights, titles, powers, and estates in favor of the Lenders constitute valid and existing obligations in favor of the Lenders. Borrower and Guarantors each confirm and agree that (a) neither the execution of this Amendment or any other Loan Document nor the consummation of the transactions described herein and therein shall in any way effect, impair or limit the covenants, liabilities, obligations and duties of the Borrower and the Guarantors under the Loan Documents, and (b) the obligations evidenced and secured by the Loan Documents continue in full force and effect. Each Guarantor hereby further confirms that it unconditionally guarantees to the extent set forth in the Credit Agreement the due and punctual payment and performance of any and all amounts and obligations owed to the Lenders under the Credit Agreement or the other Loan Documents.
[Remainder of page blank. Signature pages follow]
SECOND AMENDMENT TO THIRD AMENDED
AND RESTATED AGREEMENT

4


 

     IN WITNESS WHEREOF, the parties have caused this Amendment to the Credit Agreement to be duly executed as of the date first above written.
         
  BORROWER:

RANGE RESOURCES CORPORATION
 
 
  By:      
    Roger S. Manny, Senior Vice President   
       
 
         
  GUARANTORS:


RANGE ENERGY I, INC.
RANGE HOLDCO, INC.
RANGE PRODUCTION COMPANY

RANGE ENERGY VENTURES CORPORATION
GULFSTAR ENERGY, INC.
RANGE ENERGY FINANCE CORPORATION
PMOG HOLDINGS, INC.
PINE MOUNTAIN ACQUISITION, INC.
PINE MOUNTAIN OIL AND GAS, INC.
RANGE OPERATING NEW MEXICO, INC.
RANGE OPERATING TEXAS, LLC
STROUD ENERGY GP, LLC
STROUD ENERGY MANAGEMENT GP, LLC
 
 
  By:      
    Roger S. Manny, Senior Vice President of all of   
    the foregoing Credit Parties   
 
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

         
  GREAT LAKES ENERGY PARTNERS, L.L.C
 
 
  By:   RANGE HOLDCO, INC., Its member    
    RANGE ENERGY I, INC., Its member   
       
 
     
  By:      
    Roger S. Manny, Senior Vice President of each of   
    the foregoing members   
 
  RANGE PRODUCTION I, L.P.,
 
 
  By:   RANGE PRODUCTION COMPANY, Its general partner    
       
       
 
     
  By:      
    Roger S. Manny, Senior Vice President   
       
 
  RANGE RESOURCES, L.L.C.
 
 
  By:   RANGE PRODUCTION COMPANY, Its member    
    RANGE HOLDCO, INC., Its member   
       
 
     
  By:      
    Roger S. Manny, Senior Vice President of each of   
    the foregoing members   
 
  STROUD ENERGY LP, LLC,
 
 
  By:      
    Thomas M. Strauss, Manager   
       
 
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

         
  STROUD ENERGY, LTD.,
 
 
  By:   Stroud Energy Management GP, LLC, Its general partner    
       
       
 
     
  By:      
    Roger S. Manny, Senior Vice President   
       
 
  STROUD OIL PROPERTIES, L.P.,
 
 
  By:   Stroud Energy GP, LLC, Its general partner    
       
       
 
     
  By:      
    Roger S. Manny, Senior Vice President   
       
 
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

         
  JPMORGAN CHASE BANK, N.A., (successor by merger to Bank
One, N.A. (Illinois) as Administrative Agent and a Lender
 
 
  By:      
    Wm. Mark Cranmer, Senior Vice President   
       
 
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

             
    BANK OF SCOTLAND, as a Lender    
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

             
    CALYON NEW YORK BRANCH, as a Syndicated Agent and a Lender    
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

             
    COMPASS BANK, as a Lender    
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED AGREEMENT        
  Signature Page    

 


 

             
    BANK OF AMERICA, N.A., as a Documentation Agent and a Lender    
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
         
SECOND AMENDMENT TO THIRD AMENDED        
AND RESTATED CREDIT AGREEMENT        
  Signature Page    

 


 

             
    FORTIS CAPITAL CORP., as a Documentation
Agent and a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    NATEXIS BANQUES POPULAIRES, as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    COMERICA BANK, as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    CAPITAL ONE, N.A. (f/k/a Hibernia National
Bank)
, as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    AMEGY BANK N.A. (f/k/a Southwest Bank of
Texas N.A.)
, as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    BMO CAPITAL MARKETS FINANCING, INC.
(f/k/a HARRIS NESBITT FINANCING, INC.)
,
as a Syndication Agent and a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    KEY BANK, as a Lender    
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    WACHOVIA BANK, NATIONAL ASSOCIATION,
as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    UNION BANK OF CALIFORNIA, N.A.,
as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    THE BANK OF NOVA SCOTIA, as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    THE FROST NATIONAL BANK, as a Lender
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:  
 
   
 
     
 
   
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    CITIBANK, N.A., as a Lender    
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    CREDIT SUISSE, Cayman Islands Branch,
as a Lender
   
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    SUNTRUST BANK, as a Lender    
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    SOCIÉTÉ GÉNÉRALE, as a Lender    
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    U.S. BANK NATIONAL ASSOCIATION,
as a Lender
   
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

             
    DEUTSCHE BANK TRUST COMPANY
AMERICAS,
as a Lender
   
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
 
           
 
  By:        
 
           
 
  Name:        
 
           
 
  Title:        
 
           
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Signature Page

 


 

SCHEDULE 2.01
APPLICABLE PERCENTAGES AND INITIAL COMMITMENTS
                     
        Applicable   Initial
Lender   Title   Percentage   Commitment
JPMorgan Chase Bank , N.A.
  Administrative Agent     5 ###-###-#### %   $ 50,600,000  
 
                   
Bank of America, N.A.
  Documentation Agent     5 ###-###-#### %   $ 50,600,000  
 
                   
Fortis Capital Corp.
  Documentation Agent     5 ###-###-#### %   $ 50,600,000  
 
                   
Calyon New York Branch
  Syndicated Agent     5 ###-###-#### %   $ 50,600,000  
 
                   
BMO Capital Markets Financing, Inc., (f/k/a Harris Nesbitt Financing, Inc.)
  Syndication Agent     5 ###-###-#### %   $ 50,600,000  
 
                   
Union Bank of California, N.A.
  Co-Agent     5.0000000 %   $ 45,000,000  
 
                   
Bank of Scotland
  Agent     5 ###-###-#### %   $ 50,600,000  
 
                   
Wachovia Bank, National Association
  Co-Agent     4 ###-###-#### %   $ 39,400,000  
 
                   
Citibank, N.A.
  Co-Agent     4 ###-###-#### %   $ 39,400,000  
 
                   
Comerica Bank
  Co-Agent     5.0000000 %   $ 45,000,000  
 
                   
Compass Bank
        3.1250000 %   $ 28,100,000  
 
                   
Credit Suisse, Cayman Islands Branch
        3 ###-###-#### %   $ 33,800,000  
 
                   
Deutsche Bank Trust Company Americas
  Co-Agent     4 ###-###-#### %   $ 39,400,000  
 
                   
Key Bank
  Co-Agent     4 ###-###-#### %   $ 39,400,000  
 
                   
Natexis Banques Populaires
  Co-Agent     4 ###-###-#### %   $ 39,400,000  
 
                   
The Bank of Nova Scotia
  Co-Agent     5.0000000 %   $ 45,000,000  
 
                   
Société Générale
        4 ###-###-#### %   $ 39,400,000  
 
                   
Suntrust Bank
        4 ###-###-#### %   $ 39,400,000  
 
                   
The Frost National Bank
        3.1250000 %   $ 28,100,000  
 
                   
Amegy Bank N.A. (f/k/a Southwest Bank of Texas N.A.)
        3.1250000 %   $ 28,100,000  
 
                   
US Bank, National Association
        4 ###-###-#### %   $ 39,400,000  
 
                   
Capital One, N.A. (f/k/a Hibernia National Bank)
        3.1250000 %   $ 28,100,000  
 
                   
TOTAL
        100.00000 %   $ 900,000,000  
     
SECOND AMENDMENT TO THIRD AMENDED
   
AND RESTATED CREDIT AGREEMENT
   
  Schedule 2.01