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Credit Agreement

 

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Title:

Credit Agreement

Entities:

Beltzdorf Chain Co Inc; Deutsche Bank Securities Inc.; Deutsche Bank Trust Company Americas; Honeywell International Inc.; National City Bank; Wachovia Bank, NA; Bank of New York; Latham & Watkins

Date:

2003

Size:

Preview shows 18KB of 472KB total

Price:

$99

ID:

#1591288

 

 

► Loans ► Credit Agreements
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► Financial
► Capital Goods ► Defense
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► Services ► Legal

 

 

Start of Preview


                                CREDIT AGREEMENT


among

RBS GLOBAL, INC.,

REXNORD CORPORATION,

VARIOUS LENDERS,

DEUTSCHE BANK TRUST COMPANY AMERICAS,
as ADMINISTRATIVE AGENT,

GENERAL ELECTRIC CAPITAL CORPORATION

and

WACHOVIA BANK, NATIONAL ASSOCIATION,
as Co-Documentation Agents,

and

DEUTSCHE BANK SECURITIES INC.

and

CREDIT SUISSE FIRST BOSTON, acting through its Cayman Islands Branch,
as JOINT LEAD ARRANGERS and JOINT BOOK RUNNERS


--------------------------------

Dated as of November 25, 2002

--------------------------------




TABLE OF CONTENTS



Page
----

SECTION 1. Amount and Terms of Credit.........................................................................1

1.01 Commitments.........................................................................................1
1.02 Minimum Borrowing Amounts, etc......................................................................3
1.03 Notice of Borrowing.................................................................................3
1.04 Disbursement of Funds...............................................................................4
1.05 Notes...............................................................................................5
1.06 Conversions.........................................................................................6
1.07 Pro Rata Borrowings.................................................................................7
1.08 Interest............................................................................................7
1.09 Interest Periods....................................................................................8
1.10 Increased Costs, Illegality, etc....................................................................9
1.11 Compensation.......................................................................................11
1.12 Change of Lending Office...........................................................................11
1.13 Replacement of Lenders.............................................................................12

SECTION 2. Letters of Credit.................................................................................13

2.01 Letters of Credit..................................................................................13
2.02 Letter of Credit Requests; Notices of Issuance.....................................................13
2.03 Agreement to Repay Letter of Credit Drawings.......................................................14
2.04 Letter of Credit Participations....................................................................14
2.05 Increased Costs....................................................................................17

SECTION 3. Fees; Commitments.................................................................................17

3.01 Fees...............................................................................................17
3.02 Voluntary Reduction of Commitments.................................................................18
3.03 Mandatory Reductions of Commitments, etc...........................................................19

SECTION 4. Payments..........................................................................................19

4.01 Voluntary Prepayments..............................................................................19
4.02 Mandatory Prepayments..............................................................................21
4.03 Method and Place of Payment........................................................................24
4.04 Net Payments.......................................................................................24

SECTION 5. Conditions Precedent..............................................................................26

5.01 Conditions Precedent to the Initial Borrowing Date.................................................26
5.02 Conditions Precedent to All Credit Events..........................................................31

SECTION 6. Representations, Warranties and Agreements........................................................32

6.01 Corporate Status...................................................................................32
6.02 Corporate Power and Authority......................................................................32


(i)




Page
----

6.03 No Violation.......................................................................................32
6.04 Litigation.........................................................................................33
6.05 Use of Proceeds; Margin Regulations................................................................33
6.06 Governmental Approvals.............................................................................33
6.07 Investment Company Act.............................................................................33
6.08 Public Utility Holding Company Act.................................................................34
6.09 True and Complete Disclosure.......................................................................34
6.10 Financial Condition; Financial Statements..........................................................34
6.11 Security Interests.................................................................................35
6.12 Consummation of Certain Transactions...............................................................36
6.13 Tax Returns and Payments...........................................................................36
6.14 Compliance with ERISA..............................................................................36
6.15 Subsidiaries.......................................................................................38
6.16 Intellectual Property..............................................................................38
6.17 Environmental Matters..............................................................................38
6.18 Properties.........................................................................................39
6.19 Labor Relations....................................................................................39
6.20 Compliance with Statutes, etc......................................................................39
6.21 Subordination......................................................................................39
6.22 Capitalization.....................................................................................40
6.23 Legal Names; Type of Organization (and Whether a Registered Organization); Jurisdiction of
Organization; etc...............................................................................40

SECTION 7. Affirmative Covenants.............................................................................40

7.01 Information Covenants..............................................................................40
7.02 Books, Records and Inspections.....................................................................43
7.03 Insurance..........................................................................................43
7.04 Payment of Taxes...................................................................................43
7.05 Corporate Franchises...............................................................................44
7.06 Compliance with Statutes, etc......................................................................44
7.07 ERISA..............................................................................................44
7.08 Good Repair........................................................................................45
7.09 End of Fiscal Years; Fiscal Quarters...............................................................45
7.10 Additional Security; Further Assurances............................................................46
7.11 Compliance with Environmental Laws.................................................................47
7.12 Permitted Acquisitions.............................................................................48

SECTION 8. Negative Covenants................................................................................50

8.01 Changes in Business................................................................................50
8.02 Consolidation, Merger, Sale or Purchase of Assets, etc.............................................50
8.03 Liens..............................................................................................52
8.04 Indebtedness.......................................................................................54
8.05 Consolidated Capital Expenditures..................................................................56
8.06 Advances, Investments and Loans....................................................................57
8.07 Limitation on Creation of Subsidiaries.............................................................59
8.08 Modifications; Prepayments; etc....................................................................60


(ii)




Page
----

8.09 Dividends, etc.....................................................................................61
8.10 Transactions with Affiliates.......................................................................62
8.11 Consolidated Interest Coverage Ratio...............................................................63
8.12 Consolidated Leverage Ratio........................................................................64
8.13 Limitation On Issuance of Stock....................................................................65
8.14 Change of Legal Names; Type of Organization (and Whether a Registered Organization); Jurisdiction
of Organization; etc............................................................................65
8.15 No Designation of Other Indebtedness as "Designated Senior Indebtedness"...........................66
8.16 Limitations on Restrictions Affecting Subsidiaries.................................................66

SECTION 9. Events of Default.................................................................................66

9.01 Payments...........................................................................................66
9.02 Representations, etc...............................................................................66
9.03 Covenants..........................................................................................67
9.04 Default Under Other Agreements.....................................................................67
9.05 Bankruptcy, etc....................................................................................67
9.06 ERISA..............................................................................................68
9.07 Security Documents.................................................................................68
9.08 Guaranty...........................................................................................68
9.09 Judgments..........................................................................................69
9.10 Change of Control..................................................................................69

SECTION 10. Definitions and Accounting Terms.................................................................69

10.01 Defined Terms.....................................................................................69
10.02 Certain Pro Forma Calculations...................................................................100

SECTION 11. The Agents......................................................................................102

11.01 Appointment......................................................................................102
11.02 Nature of Duties.................................................................................102
11.03 Lack of Reliance on the Agents...................................................................102
11.04 Certain Rights of the Agents.....................................................................103
11.05 Reliance.........................................................................................103
11.06 Indemnification..................................................................................103
11.07 The Agents in Their Individual Capacity..........................................................103
11.08 Holders..........................................................................................104
11.09 Resignation......................................................................................104
11.10 Releases in Connection With Grants of Certain Liens, etc.........................................105

SECTION 12. Miscellaneous...................................................................................105

12.01 Payment of Expenses, etc.........................................................................105
12.02 Right of Setoff..................................................................................106
12.03 Notices..........................................................................................106
12.04 Benefit of Agreement; Assignments; Participations................................................107
12.05 No Waiver; Remedies Cumulative...................................................................109
12.06 Payments Pro Rata................................................................................109


(iii)




Page
----

12.07 Calculations; Computations.......................................................................110
12.08 GOVERNING LAW; SUBMISSION TO JURISDICTION; VENUE; WAIVER OF JURY TRIAL...........................111
12.09 Counterparts.....................................................................................112
12.10 Effectiveness....................................................................................112
12.11 Headings Descriptive.............................................................................112
12.12 Amendment or Waiver, etc.........................................................................112
12.13 Survival.........................................................................................114

 

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