Asset Purchase Agreement between Sprint Spectrum Entities, Cox Entities, and UbiquiTel Holdings, Inc.
Contract Categories:
Business Finance
›
Purchase Agreements
Summary
This agreement is between several Sprint Spectrum and Cox entities (the sellers) and UbiquiTel Holdings, Inc. (the buyer). The sellers agree to sell, and the buyer agrees to purchase, certain property, equipment, and contract rights (the assets) as detailed in attached exhibits. The purchase price is set at $29 million for specific assets, with additional amounts for other assets and accounts receivable. The buyer has 30 days to inspect the assets and may terminate the agreement if unsatisfied. The buyer assumes all liabilities related to the assets as of the closing date, which is on or before April 15, 2000.
EX-10.5 4 ex-105.txt EXHIBIT 10.5 Exhibit 10.5 ASSET PURCHASE AGREEMENT This Asset Purchase Agreement (the "Agreement") is made and entered into as of December __, 1999, by SPRINT SPECTRUM L.P., SPRINT SPECTRUM EQUIPMENT COMPANY, L.P. and SPRINT SPECTRUM REALTY COMPANY, L.P., COX COMMUNICATIONS PCS, L.P., COX PCS LEASING CO., L.P., all of which are Delaware limited partnerships, and COX PCS ASSETS, LLC, a Delaware limited company (together "Seller"), and UbiquiTel Holdings, Inc., a Delaware corporation ("Buyer"). Recitals A. Seller or one of Seller's subsidiaries owns or leases those certain property, equipment and contract rights identified as follows (collectively the "Assets"): 1. That equipment and property of Seller located in the Spokane BTA and identified on attached Exhibit A (the "Spokane Assets"); and 2. That equipment and property of Seller located in BTAs outside of the Spokane BTA and identified on attached Exhibit B (the "Additional Assets"). B. Buyer and Seller have entered into that certain Addendum II dated December __,, 1999 to the Sprint PCS Management Agreement dated October 15, 1998 (the "Management Agreement"), to which this Agreement is made an exhibit upon its execution by the parties and that provides, among other things, that Buyer will purchase and Seller will sell the Assets, upon the terms and conditions set forth in this Agreement; Agreements NOW, THEREFORE, in consideration of the mutual covenants and agreements contained in this Agreement the parties hereto agree as follows: 1. Transfer of Assets. Subject to the terms and conditions of this Agreement, Seller agrees to sell, convey and assign to Buyer, and Buyer agrees to purchase from Seller, all of Seller's right, title and interest in the Assets free and clear from all liens created by the Seller other than the Assumed Liabilities (as defined below). The consummation of this transaction (the "Closing") will occur, subject to the terms and conditions of this Agreement, on or before April 15, 2000 (the "Closing Date"). 2. Purchase Price. The purchase price of the Assets (the "Purchase Price") will be equal to the sum of the following: A. The sum of Twenty-nine Million Dollars ($29,000,000) for the Spokane Assets; B. The amount calculated by multiplying the Additional Assets by the amounts set forth on attached EXHIBIT C and C. Cash in an amount equal to the Accounts Receivable, which is defined as follows: i. The aggregate amount of the accounts receivable for the Service Area at the close of business on the day before the Closing Date, less a provision for bad debt of [***]% and [***]% for the cost of capital associated with carrying the receivables, for a total adjustment of [***]%. This amount will also be reduced by the total monthly recurring charges and feature revenues billed in advance allocable to the period on or after the Closing Date, billed in the prior month, based on the number of billing days in each bill cycle closing in the prior month, less the number of days between the bill cycle's prior month close date and the Closing Date. ii. The aggregate amount of usage (minutes over plan) and feature revenue billed in arrears on or after the Closing Date from subscribers in the Service Area, to the extent such revenue relates to any period prior the Closing Date (based on the number of days of the bill cycle falling on or before the Closing Date) will be added to the accounts receivable amount above when calculating the amount due for accounts receivable at the close of business the day before the Closing Date. iii. All credit balances at the close of business the day before the Closing Date will be credited to Manager without any reduction, including, without limitation, reduction for the 8% fee contemplated by Article 10 of the Management Agreement. *** Confidential material omitted and filed separately with the Commission. The parties agree that, on or before the Closing Date, and insofar as it has not been calculated as part of the Purchase Price, they shall determine an allocation of the Purchase Price among the Assets, which allocation will be the result of arm's-length negotiations between the parties as to the price of each item or category of items of the Assets, and neither party will make any claim or treat any item on its tax returns in a manner that is inconsistent with such allocation. 3. Review Period. For a period extending for thirty (30) days after this Agreement has been executed by both parties ("Review Period"), Buyer may review such documents and make, or cause to be made by agents or contractors of Buyer's choosing, any and all physical, mechanical, environmental, structural or other inspections of the Assets as Buyer deems appropriate. If, in Buyer's reasonable discretion, based upon the results of Buyer's inspections, Buyer determines that the Assets are unsatisfactory to Buyer, Buyer may by written notice to Seller within the Review Period, terminate this Agreement, and upon such termination, neither party will have any further rights or obligations under this Agreement. Any termination notice provided to Seller must contain a specific description of the condition on which Buyer bases such termination. If Buyer does not terminate this Agreement by such notice within the Review Period, this Agreement will remain in full force and effect in accordance with its terms. Buyer may not elect to purchase less than all of the Assets. 4. Assumption of Liabilities. Buyer agrees to assume all liabilities, debts, expenses and obligations now existing or hereafter arising in, to, under or pursuant to the Assets as of the Closing Date, including, without limitation, all liabilities, debts, expenses and obligations relating to all the Assets (the "Assumed Liabilities") and to pay and perform the Assumed Liabilities when due. Buyer's assumption of the Assumed Liabilities does not enlarge any rights of third parties under contracts or arrangements with Buyer or Seller. Nothing in this Agreement prevents Buyer from contesting in good faith any of the Assumed Liabilities. 5. Condition of Assets. It is understood and agreed that Seller is not making and specifically disclaims any warranties or representations of any kind or character, express or implied, with respect to the Assets, including, but not limited to, warranties or representations as to matters of title (except that Seller represents and warrants that Seller has not previously conveyed, pledged, encumbered, hypothecated or assigned that Asset to any other party), zoning, tax consequences, physical or environmental conditions, availability of access, operating history or projections, valuation, governmental approvals, governmental regulations or any other matter or thing relating to or affecting the Assets including, without limitation: (i) the value, condition, merchantability, marketability, profitability, suitability or fitness for a particular use or purpose of the Assets; (ii) the manner or quality of the construction or materials incorporated into any of the Assets and (iii) the manner, quality, state of repair or lack of repair of the Assets. Buyer agrees that with respect to the Assets, Buyer has not relied *** Confidential portions omitted and filed separately with the Commission. 2 upon and will not rely upon, either directly or indirectly, any representation or warranty of Seller or any agent of Seller other than as specifically set forth in this Agreement. Buyer represents that it is a knowledgeable purchaser and that it is relying solely on its own expertise and that of Buyer's consultants, and that Buyer will conduct such inspections and investigations of the Assets, including, but not limited to, the physical and environmental conditions thereof, and shall rely upon same, and, upon closing, shall assume the risk that adverse matters, including, but not limited to, adverse physical and environmental conditions, may not have been revealed by Buyer's inspections and investigations. Buyer acknowledges and agrees that upon closing, Seller shall sell and convey to Buyer and Buyer shall accept the Assets "as is, where is" with all faults, and Buyer further acknowledges and agrees that there are no oral agreements, warranties or representations, collateral to or affecting the Assets by Seller, any agent of Seller or any third party. The terms and conditions of this paragraph shall expressly survive the closing. 6. Damage or Destruction. If prior to the Closing Date, any of the Assets are destroyed or substantially damaged by fire, lightning or any other cause, or all or any part of the Assets is taken by eminent domain (or is the subject of a pending or contemplated taking which has not been consummated), Seller will immediately deliver to Buyer written notice of such event or condition, and Buyer will have the option of(a) enforcing this Agreement and retaining any insurance proceeds or proceeds of the taking by eminent domain, or (b) terminating this Agreement by written notice within twenty (20) days after receiving written notice from Seller of such destruction, damage or claim. If this Agreement is terminated, neither party will have any further obligation under this Agreement. The risk of loss will be borne by Seller until the Closing Date. 7. Closing. If Buyer does not terminate the Agreement pursuant to Paragraph 3 or 6 of this Agreement, on the Closing Date: (a) Seller and Buyer shall execute and deliver to each other an Assignment of Leases and Bill of Sale in the form attached hereto as Exhibit D (b) Buyer shall pay the Purchase Price to Seller in immediately available funds; (c) Buyer shall provide copies of all necessary consents, if any, for the conveyance or assignment of the Assets. Such consents to be in the form of Consent and Release attached hereto as Exhibit E. For each cell site which is the subject of this Asset Purchase Agreement and for which a release of Sprint PCS' obligations cannot be obtained prior to the Closing Date, Sprint PCS, in its sole discretion, may continue to be obligated under any existing leases or purchase obligations for any such cell sites subject to (1) receipt of a consent from the landlord or seller of the cell site consenting to the 3 assumption of the leasehold or purchase obligation by Manager and (2) execution of an agreement setting forth the obligations of Manager with respect to each such cell site for which a release cannot be obtained and containing terms and conditions acceptable to Sprint PCS. Buyer is responsible for paying or causing to be paid all transfer, stamp, recording, sales, use, excise or similar taxes, fees or duties payable in connection with the sale, assignment or conveyance of Seller's interest in and to the Assets or the assumption of the Assumed Liabilities. Buyer is also responsible for reporting all taxable property to the appropriate taxing authority for ad valorem tax purposes. Buyer will pay as and when due all taxes, assessments, liens, encumbrances, levies, and other charges against the real estate, personal property and intangible property that is sold, transferred, assigned or otherwise conveyed to Buyer pursuant to this agreement. 8. Further Assurances. Seller will from time to time at the request of Buyer, do, make, execute, acknowledge and deliver all such other instruments of conveyance, assignment, and transfer, in form and substance satisfactory to Seller, as Buyer may reasonably require for the more effective conveyance and transfer of any of the Assets. Seller's obligations hereunder shall be subject to receipt of the Consents and 9. Indemnification. Breaches of this Agreement by either Buyer or Seller will be a breach for which the non-breaching party is entitled to indemnification in accordance with the terms and conditions and utilizing the procedures set forth in the Management Agreement. 10. Entire Agreement and Binding Effect. This Agreement and the exhibits and schedules attached to this Agreement (which are incorporated by this reference) and the Management Agreement, including all addenda thereto, contain the entire agreement between the parties hereto with respect to the acquisition of the Assets and the other transactions contemplated herein, and supersedes all prior agreements or understandings between the parties hereto relating to the subject matter hereof. AU exhibits attached hereto are incorporated herein by this reference. 11. Severability. In the event any one or more of the provisions contained in this Agreement or any application thereof is invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions of this Agreement and any other application thereof will not in any way be affected or impaired thereby. Paragraph headings herein or in any exhibit hereto have no legal significance and are used solely for convenience of reference. 4 12. No Other Representations and Warranties. Seller makes no representation or warranty to Buyer with respect to the Assets, except as expressly set forth in this Agreement. 13. Waivers and Notices. Any term or condition of this Agreement may be waived at any time by the party entitled to the benefit thereof by a written instrument. No delay or failure on the part of any party in exercising any rights hereunder, and no partial or single exercise thereof, will constitute a waiver of such rights or of any other rights hereunder. All notices, consents, requests, instructions, approvals and other communications provided for herein will be validly given, made or served if given, made or served in accordance with the Management Agreement. 14. Counterparts. This Agreement may be executed in any number of counterparts, each of which will constitute an original but all of such counterparts taken together will constitute only one Agreement. 15. Governing Law. The internal laws of the State of Missouri (without regard to principles of conflicts of law) govern the validity of this agreement, the construction of its terms, and the interpretation of the rights and duties of the parties. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the day and year first above written. SELLER: SPRINT SPECTRUM L.P. By__________________________________________ Bernard A. Bianchino Chief Business Development Officer SPRINT SPECTRUM EQUIPMENT COMPANY, L.P. By__________________________________________ Name:___________________________________ Title:__________________________________ SPRINT SPECTRUM REALTY COMPANY, L.P. By__________________________________________ Name:___________________________________ Title:__________________________________ 5 COX PCS COMMUNICATIONS, L.P. By__________________________________________ Name:___________________________________ Title:__________________________________ PCS LEASING CO., L.P. By__________________________________________ Name:___________________________________ Title:__________________________________ COX PCS ASSETS, LLC By__________________________________________ Name:___________________________________ Title:__________________________________ BUYER: UBIQUITEL HOLDINGS, INC. By__________________________________________ Name:___________________________________ Title:__________________________________ 6 Exhibit A The Spokane Assets The following sets forth the Spokane Assets: 1. Cell site and base station assets: Listed by Cascade Number and state of development as shown on the attached Spokane District Inventory List Summary.' In summary, the status of Spokane sites as of December 23, 1999 follows. *** See attached inventory list for On Air sites. 2. Switch Assets listed as follows: There is one switch in Spokane: *** Spokane, WA See attached inventory list for the switch. 3. Retail Assets listed as follows: SPCS Retail Store: 11404 E. Sprague Spokane, WA 99206 (509 ###-###-####) SPCS Kiosk: 4750 N. Division Spokane, WA 99207 (509 ###-###-####) SPCS Field Operations Office: 11707 E. Sprague, 2nd Floor Spokane, WA 99206 Inventory list to be provided prior to Closing Date. 4. Spares, test equipment and tools. See attached inventory list. *** Confidential portions omitted and filed separately with the Commission. 5. Certain assets which may be physically located in the Spokane BTA but are maintained by Sprint PCS as part of its national asset base are not included in the transfer. These assets include, for example, the following: -Portable generators -Any Cell on Wheels (COW) 6. The parties agree that the inventory lists provided by Sprint PCS under and as part of this exhibit have not been confirmed by a physical inventory of the assets by Sprint PCS but simply reflect the asset inventories as maintained in the books and records of Sprint PCS. Buyer shall assume all risk of any discrepancy between the inventory list as provided by Sprint PCS and the actual assets, equipment and spares as may be found in the Spokane BTA. Buyer shall have the right of inspection prior to Closing as provided for under the Agreement to determine the extent, if any, of this risk. 7. The parties agree that Sprint PCS shall retain ownership and control of any cell site located in the Spokane BTA which is (a) owned in fee simple, (b) for which Sprint PCS has a ground lease, or (c) for which Sprint PCS has the right to co-locate any users of the site in addition to Sprint PCS or Manager. For each such site Sprint PCS shall sell the equipment located at the site as provided for under the terms of the Agreement and, after Closing, Sprint PCS shall lease the site to Manager at market lease rates for sites of a similar nature located in the Spokane BTA subject to the execution of a Master Lease Agreement between Manager and Sprint Sites USA. *** Confidential portions omitted and filed separately with the Commission. EXECUTION COPY First Amendment to Asset Purchase Agreement This First Amendment (the "AMENDMENT") to that certain Asset Purchase Agreement (the "AGREEMENT") dated as of December 28, 1999, by SPRINT SPECTRUM L.P., SPRINT SPECTRUM EQUIPMENT COMPANY, L.P., SPRINT SPECTRUM REALTY COMPANY, L.P., COX PCS COMMUNICATIONS, L.P., COX LEASING CO., L.P., all of which are Delaware limited partnerships, and COX PCS ASSETS, LLC, a Delaware limited liability company (together "SELLER"), and UBIQUITEL OPERATING COMPANY and UBIQUITEL LEASING COMPANY, both of which are Delaware corporations (together "BUYER"), is effective as of April 14, 2000. Capitalized terms used herein and not otherwise defined have the meaning given them in the Agreement. 1. MODIFICATIONS TO EXHIBITS A AND B. EXHIBIT A and EXHIBIT B to the Agreement are hereby deleted and the attached AMENDED EXHIBIT A and AMENDED EXHIBIT B are hereby incorporated into the Agreement. 2. TECHNICAL STATUS OF NEWCASTLE SITE. Buyer agrees that, with respect to the following site (the "NEWCASTLE SITE"):
(i) after April 14, 2000, (A) all azimuths on the Newcastle Site will remain the same as set at the time Buyer acquires the Newcastle Site, and (B) Buyer will maintain the PN offsets as set at the time Buyer acquires the Newcastle Site; (ii) at the time that Seller turns up the Sprint PCS Central Loomis site, Buyer will (A) change the gamma-facing antenna from ***. beamwidth to ***. beamwidth with suppressed sidelobes, (B) disable the beta sector facing at ***, and (C) not use such sector at any time in the future. 3. BIFURCATED CLOSING. The parties agree that: (i) at the April 14, 2000 closing (the "INITIAL CLOSING"), Seller will transfer to Buyer (A) all Spokane Assets and Additional Assets (together the "ASSETS") shown on Exhibit C and (B) all equipment owned by Seller and located on the tower sites retained by Seller; and (ii) at the Initial Closing, for the Spokane Assets, Buyer will pay an amount equal to $29,000,000 less both (i) *** per Spokane Operational Site not *** Confidential portions omitted and filed separately with the Commission. -1- transferred on April 14, 2000 and (ii) *** per Spokane Leased Site not transferred on April 14, 2000; (iii) at the Initial Closing, for the Additional Assets, Buyer will pay an amount equal to the aggregate amount set forth on EXHIBIT D hereto less both (i) *** per Additional Operational Site for which no landlord consent and release has been obtained as of April 14, 2000 and (ii) *** per Additional Leased Site not transferred on April 14, 2000; (iv) at the Initial Closing, for computer equipment listed on EXHIBIT E, Buyer will pay ***; (v) within 10 business days after all required consents have been obtained, which date shall not be later than June 30, 2000 (the "Subsequent Closing Date"), Seller will transfer to Buyer any remaining Assets listed on EXHIBIT F hereto. (vi) at the Subsequent Closing, for the Spokane Assets, Buyer will pay an amount equal to the sum of both (i) *** per Spokane Operational Site not transferred on April 14, 2000 and (ii) *** per Spokane Leased Site not transferred on April 14, 2000; and (vii) at the Subsequent Closing for the Additional Assets, the sum of both (i) *** per Additional Operational Site not transferred on April 14, 2000 and (ii) *** per Additional Leased Site not transferred on April 14, 2000. 4. LETTER OF CREDIT. Buyer will establish, for the benefit of Seller, a letter of credit at a national bank in an amount equal to *** to cover any damages, loss or liability incurred by Seller after April 14, 2000 on or in connection with the switch site located at *** (the "Switch Site"). The letter of credit shall remain in effect as long as Seller remains liable, directly or on a contingent basis, for any lease payments or obligations with respect to the Switch Site. 5. CONTINUING EFFECT. Except as expressly modified by the Amendment, the Agreement continues unchanged and in full force and effect. [The remainder of this page is intentionally left blank.] *** Confidential portions omitted and filed separately with the Commission. 2 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed as of the day and year first above written. SELLER: SPRINT SPECTRUM L.P. By: ----------------------------------- Name: Bernard A. Bianchino Title: Senior Vice President and Chief Business Development Officer - Sprint PCS SPRINT SPECTRUM EQUIPMENT COMPANY, L.P. By: ----------------------------------- Name: Bernard A. Bianchino Title: Senior Vice President and Chief Business Development Officer - Sprint PCS SPRINT SPECTRUM REALTY COMPANY, L.P. By: ----------------------------------- Name: Bernard A. Bianchino Title: Senior Vice President and Chief Business Development Officer - Sprint PCS COX COMMUNICATIONS PCS, L.P. By: ----------------------------------- Name: Bernard A. Bianchino Title: Senior Vice President and Chief Business Development Officer - Sprint PCS PCS LEASING CO., L.P. By: ----------------------------------- Name: Bernard A. Bianchino Title: Senior Vice President and Chief Business Development Officer - Sprint PCS 3 COX PCS ASSETS, LLC By: ----------------------------------- Name: Bernard A. Bianchino Title: Senior Vice President and Chief Business Development Officer - Sprint PCS BUYER: UBIQUITEL OPERATING COMPANY By: ----------------------------------- Name: --------------------------------- Title: -------------------------------- UBIQUITEL LEASING COMPANY By: ----------------------------------- Name: --------------------------------- Title: -------------------------------- 4 Exhibit A SPOKANE MARKET CELL SITE SUMMARY
*** Confidential portions omitted and filed separately with the Commission. SPOKANE MARKET CELL SITE SUMMARY
*** Confidential portions omitted and filed separately with the Commission. UBIQUITEL EXPANSION ASSET PURCHASE AGREEMENT EXHIBIT B
*** Confidential portions omitted and filed separately with the Commission. 1 of 1 EXHIBIT B ADDITIONAL ASSETS
*** Confidential portions omitted and filed separately with the Commission. EXHIBIT B INVENTORY LIST FOR AVAILABLE ON AIR ADDITIONAL ASSETS
EXHIBIT B INVENTORY LIST FOR AVAILABLE ON AIR ADDITIONAL ASSETS
FURNITURE INVENTORY-RETAIL DISTRICT OFFICE 11707 E. SPRAGUE, SUITE 201 SPOKANE, WA 99206
3 of 3 EXHIBIT C SPOKANE AND ADDITIONAL SITES TRANSFERRED AT INITIAL CLOSING
*** Confidential portions omitted and filed separately with the Commission. EXHIBIT C SPOKANE AND ADDITIONAL SITES TRANSFERRED AT INITIAL CLOSING
*** Confidential portions omitted and filed separately with the Commission. EXHIBIT D PRICING FOR COMPLETED CELL SITES AND WORK IN PROGRESS CELL SITES BY REGION, MARKET, AND VENDOR
*** Confidential portions omitted and filed separately with the Commission. BLANKS = SOME MARKETS DO NOT HAVE AVERAGE COST FOR SOME MODEL TYPES. THIS MEANS THAT SPCS DOES NOT INTEND TO BUILD THESE TYPE SITES IN PHASE III. HOWEVER, THESE TYPE SITES HAVE POSSIBLY BEEN BUILT IN THE MARKET PREVIOUSLY. EXHIBIT E COMPUTER EQUIPMENT TRANSFERRED AT INITIAL CLOSING
EXHIBIT F SPOKANE AND ADDITIONAL SITES TRANSFERRED AT SUBSEQUENT CLOSING
*** Confidential portions omitted and filed separately with the Commission. Exhibit D ASSIGNMENT OF LEASES AND BILL OF SALE THIS ASSIGNMENT OF LEASES AND BILL OF SALE ("ASSIGNMENT") is made and entered into as of the day of _________________, 199__ by and between ________________,a __________________ ("ASSIGNOR"), and _________________________,a _______________ ("ASSIGNEE"). 1. For good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Assignor does hereby sell, assign, transfer and set over unto Assignee all of Assignor's right, title and interest in and to those certain leases (collectively the "LEASES") described in Exhibit A attached hereto and made a part hereof. 2. In addition to the Assignment described above, and for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Assignee hereby agrees to assume all obligations and liabilities of Assignor arising under or pursuant to the Leases from and after the date hereof, and Assignee further agrees to perform and abide by each and every term, provision, covenant and condition contained in the Leases to be observed or performed on or after the date hereof. Assignor will not be responsible to the lessors under each of the Leases for the discharge or performance of any duties or obligations to be performed or discharged by the lessee thereunder after the date hereof. 3. Assignee hereby agrees to indemnify and hold harmless Assignor from and against any and all loss, cost or expense (including, without limitation, reasonable attorney's fees) resulting by reason of Assignee's failure to perform any of the obligations of the lessee under the Leases after the assignment thereof to Assignee. Assignor hereby agrees to indemnify and hold harmless Assignee from and against any and all loss, cost or expense (including, without limitation, reasonable attorney's fees) resulting by reason of the failure of Assignor to perform any of the obligations of the lessee under the Leases which arise prior to the assignment thereof to Assignee. 4. Assignor does hereby assign, sell, convey and deliver to Assignee, its successors and assigns, all of Assignor's right, title and interest in and to the fixtures, equipment, machinery and other personal property owned by Assignor (the "PERSONAL PROPERTY") placed or installed on or about the real property described in the leases. 5. ASSIGNEE TAKES THE PROPERTY DESCRIBED IN THIS ASSIGNMENT "AS IS-WHERE IS" AND "WITH ALL FAULTS." ASSIGNOR HAS NOT MADE AND DOES NOT MAKE ANY REPRESENTATIONS AS TO THE PHYSICAL CONDITION, OPERATION OR ANY OTHER MATTER AFFECTING OR RELATED TO THE SUCH PROPERTY, EXCEPT AS HEREIN SPECIFICALLY SET FORTH OR REFERRED TO, AND ASSIGNEE HEREBY EXPRESSLY ACKNOWLEDGES THAT NO SUCH REPRESENTATIONS HAVE BEEN MADE. ASSIGNOR EXPRESSLY DISCLAIMS AND ASSIGNEE ACKNOWLEDGES AND ACCEPTS THAT ASSIGNOR HAS DISCLAIMED TO THE MAXIMUM EXTENT PERMITTED BY LAW, ANY AND ALL REPRESENTATIONS, WARRANTIES OR GUARANTIES OF ANY KIND, ORAL OR WRITTEN, EXPRESS OR IMPLIED, CONCERNING THE PROPERTY, INCLUDING, WITHOUT LIMITATION, (i) THE VALUE, CONDITION, MERCHANTABILITY, MARKETABILITY, PROFITABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR USE OR PURPOSE OF THE PROPERTY, (ii) THE MANNER OR QUALITY OF THE CONSTRUCTION OF THE MATERIALS, IF ANY, INCORPORATED INTO ANY OF THE PROPERTY AND (iii) THE MANNER, QUALITY, STATE OF REPAIR OR LACK OF REPAIR OF THE PROPERTY. ASSIGNOR IS NOT LIABLE OR BOUND IN ANY MANNER BY ANY VERBAL OR WRITTEN STATEMENTS, REPRESENTATIONS OR INFORMATION PERTAINING TO THE PROPERTY FURNISHED BY ANY REAL ESTATE BROKER, AGENT, EMPLOYEE, SERVANT OR OTHER PERSON, UNLESS THE SAME ARE SPECIFICALLY SET FORTH OR REFERRED TO HEREIN. 6. Assignor hereby covenants and agrees that Assignor will execute and deliver to Assignee upon demand, from time to time, any further instrument or instruments which are reasonably necessary to reaffirm, correct and/or perfect this Assignment and the transfer to Assignee of the items described in this Assignment. 7. This Assignment inures to the benefit of and is binding upon the successors and assigns of the parties hereto. 8. This Assignment may be executed in a number of identical counterparts which, taken together, constitute collectively one agreement. IN WITNESS WHEREOF, Assignor and Assignee have executed this Assignment as of the day and year first written above. ASSIGNOR: ---------------------, a ------------ By: ---------------------------------- Name: -------------------------------- Title: ------------------------------- ASSIGNOR: ---------------------, a ------------ By: ---------------------------------- Name: -------------------------------- Title: ------------------------------- Exhibit E CONSENT AND RELEASE THIS CONSENT AND RELEASE (this "CONSENT") is made and delivered as of the day of ____________, 199__, by _____________________, a ________________________ ("LESSOR"), to and for the benefit of __________________________________ a ____________________ ("LESSEE"). Recitals A. Lessor and Lessee entered into that certain lease dated _________________ (the "LEASE"), pursuant to which Lessee leased from Lessor certain premises located at _______________________________________________________________ (the "PREMISES"). B. Lessee and ________________________, a ______________ ("ASSIGNEE"), have entered into a Purchase and Sale agreement whereby Lessee may sell to Assignee certain assets of Lessee ("ASSETS"), including, without limitation, the Lease. If the sale of the Assets is completed, Lessee will assign to Assignee all of Lessee's right, title and interest, as lessee, in, under and to that Lease, and Assignee will assume all of the duties, obligations and liabilities of Lessee under the Lease which arise from and after the assignment of the Lease from Lessee to Assignee. C. Lessee has requested that Lessor grant its consent to the assignment of the Lease and that Lessor release Lessee from all duties, obligations and liabilities arising under the Lease from and after the assignment of the Lease from Lessee to Assignee. D. Lessor has agreed to give such consent and release in accordance with the terms, and conditions of this Consent. Terms and Conditions Based upon the foregoing Recitals, for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, and intending to be legally bound hereby, Lessor hereby agrees as follows: LESSOR'S CONSENT TO ASSIGNMENT. If Lessee completes the sale of the Assets to Assignee, Lessor hereby consents to the assignment of the Lease by Lessee to Assignee upon the terms and conditions set forth in the Assignment. RELEASE OF LESSEE. If Lessee completes the sale of the Assets to Assignee, Lessor hereby releases Lessee from all duties, obligations and liabilities under the Lease which arise from and after the effective date of the Assignment and agrees to recognize Assignee as the lessee under the Lease for all purposes with respect to the performance of all duties, obligations and liabilities of the lessee which arise under the Lease from and after the effective date of the Assignment. By executing this Consent, Lessor hereby acknowledges, agrees to and reaffirms its continuing rights, powers, duties, obligations and liabilities under the Lease. CONSENT TO ASSIGNMENT ONLY. The consent of Lessor which is given hereby extends only to the assignment of the Lease to Assignee, and shall not apply to any further assignment of the Lease. Any future assignment of the Lease or subletting of the Premises, either in whole or in part, is subject to the consent requirements of the Lease. STATUS OF LEASE. The Lease is in full force and effect and there are no defaults under the Lease as of the date of this Consent. GOVERNING LAW. This Consent is to be governed by, and construed and enforced in accordance with, the laws of the State of _____________. IN WITNESS WHEREOF, Lessor has executed this Consent for delivery as of the date first above written. LESSOR: ---------------------, a ------------ By: ---------------------------------- Name: -------------------------------- Title: -------------------------------