UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): January 10, 2020
KEY ENERGY SERVICES, INC.
(Exact name of registrant as specified in its charter)
Delaware | 001-08038 | 04-2648081 | ||
(State or other Jurisdiction of Incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
1301 McKinney Street, Suite 1800
Houston, Texas 77010
(Address of principal executive offices and Zip Code)
713-651-4300
(Registrants telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
(Title of each class) |
(Trading symbol(s)) |
(Name of each exchange on which registered) | ||
Common Stock, $0.01 par value | KEGX | OTC |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934.
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐
Item 1.01 | Entry into a Material Definitive Agreement. |
As previously announced, on October 29, 2019, Key Energy Services, Inc. (the Company or Key) entered into (i) a forbearance agreement (as amended on December 6, 2019, the Term Loan Forbearance Agreement) with Cortland Products Corp., as agent (in such capacity, the Agent), and the lenders party thereto (the Term Loan Lenders), collectively holding over 99.5% of the principal amount of the outstanding term loans, regarding a default under the Term Loan and Security Agreement, dated as of December 15, 2016, by and among Key, the Agent and the Term Loan Lenders and (ii) a forbearance agreement (as amended on December 6, 2019 and December 20, 2019, the ABL Forbearance Agreement and, collectively, the Forbearance Agreements) with Bank of America, N.A., as administrative agent (the Administrative Agent), and all of the lenders party thereto (the ABL Lenders and, collectively with the Term Loan Lenders, the Lenders) regarding a cross-default under the Loan and Security Agreement, dated as of April 5, 2019, by and among Key, the Administrative Agent and the ABL Lenders (such defaults, the Specified Defaults).
On January 10, 2020, the Company and the Lenders party thereto amended the Forbearance Agreements (the Forbearance Agreement Amendments) to extend the forbearance period. Pursuant to the Forbearance Agreement Amendments, the Lenders party thereto have agreed that, until the earlier of January 31, 2020 or the occurrence of certain specified early termination events, such Lenders will forbear from exercising any default-related rights and remedies with respect to the Specified Defaults.
The foregoing description of the Forbearance Agreement Amendments is qualified in its entirety by reference to the complete text of (i) the Second Amendment to the Term Loan Forbearance Agreement, attached as Exhibit 10.1 hereto and (ii) the Third Amendment to the ABL Forbearance Agreement, attached as Exhibit 10.2 hereto, each incorporated herein by reference.
Item 9.01 | Financial Statements and Exhibits. |
(d) | Exhibits. |
| Certain portions of this exhibit (indicated by [***]) have been omitted pursuant to Item 601(b)(10) of Regulation S-K. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
KEY ENERGY SERVICES, INC. | ||||
Date: January 10, 2020 |
By: |
/s/ Katherine I. Hargis | ||
Katherine I. Hargis | ||||
Senior Vice President, General Counsel & Corporate Secretary |
Exhibit 10.1
EXECUTION VERSION
SECOND AMENDMENT TO FORBEARANCE AGREEMENT
This Second Amendment to Forbearance Agreement, dated as of January 10, 2020 (this Agreement) is among KEY ENERGY SERVICES, INC., a Delaware corporation (the Borrower), the Lenders party to this Agreement, and CORTLAND PRODUCTS CORP., as agent (in such capacity, Agent), which amends that certain Forbearance Agreement, dated as of October 29, 2019, as amended by the Amendment to Forbearance Agreement, dated as of December 6, 2019 (as amended, the Forbearance Agreement), by and among the Borrower, the Agent and the Lenders party thereto.
W I T N E S S E T H:
WHEREAS, Borrower, the Lenders from time to time party thereto and the Agent are parties to that certain Term Loan and Security Agreement dated as of December 15, 2016 (as amended, supplemented, restated or otherwise modified from time to time, the Term Loan Agreement; unless otherwise defined herein, capitalized terms used herein that are not otherwise defined herein shall have the respective meanings assigned to such terms in the Term Loan Agreement or the Forbearance Agreement, as applicable);
WHEREAS, Borrower, the Lenders party thereto and the Agent are parties to the Forbearance Agreement, pursuant to which the Lenders party thereto and the Agent agreed to forbear from exercising certain default-related rights and remedies against Borrower and the other Obligors with respect to the Specified Defaults during the Forbearance Period;
WHEREAS, the Borrower has requested that the Required Lenders and the Agent agree to amend the Forbearance Agreement to extend the Forbearance Period set forth therein; and
WHEREAS, the Lenders party hereto (each, a Lender Party) and the Agent are willing to agree to such amendment on terms and subject to conditions set forth herein.
NOW, THEREFORE, in consideration of the mutual agreements, provisions and covenants contained herein, the parties hereto agree as follows:
1. Amendment. Subject to the satisfaction of the conditions set forth in Section 3 hereof, Section 3(a) of the Forbearance Agreement is hereby amended by replacing the reference to January 10, 2020 set forth therein with January 31, 2020.
2. No Other Amendments or Waivers.
The Forbearance Agreement (as amended hereby), and the terms and provisions hereof and thereof, constitute the entire agreement among the parties hereto pertaining to the subject matter hereof and supersedes any and all prior or contemporaneous amendments relating to the subject matter hereof. Except for the forbearance expressly set forth in Section 3 of the Forbearance Agreement (as amended hereby), the Term Loan Agreement shall remain unchanged and in full force and effect. Except as expressly set forth in Section 3 of the Forbearance Agreement (as amended hereby), the execution, delivery, and performance of this Agreement shall not operate as a waiver of or as an amendment of, any right, power, or remedy of Agent or the Lenders party thereto under the Term Loan Agreement or any of the other Loan Documents as in effect prior to the date hereof, nor constitute a waiver of any provision of the Term Loan Agreement or any of the other Loan Documents. The agreements set forth within the Forbearance Agreement (as
amended hereby) are limited to the specifics hereof, shall not apply with respect to any facts or occurrences other than those on which the same are based, shall not excuse future non-compliance under the Term Loan Agreement or other Loan Documents, and shall not operate as a consent to any further or other matter, under the Loan Documents.
3. Conditions Precedent. The effectiveness of this Agreement is subject to the satisfaction of the following conditions precedent on the date hereof:
3.1 Execution of Agreement. Each Obligor, Agent and the Required Lenders shall have duly executed and delivered this Agreement.
3.2 Accuracy of Representations and Warranties. All representations and warranties contained in Section 4 hereof shall be true and correct in all respects.
3.3 ABL Forbearance Amendment. An amendment to the ABL Forbearance Agreement shall be effective and on terms acceptable to the Lender Parties.
4. Representations and Warranties. Each Obligor hereby jointly and severally represents and warrants to Agent and the Lender Parties that all representations and warranties contained in Section 5 of the Forbearance Agreement (other than Section 5(a) as it relates to the representation and warranty set forth in the final sentence of Section 9.1.22 of the Term Loan Agreement) remain true and correct as of the date hereof, and that
4.1 the execution, delivery and performance by the Obligors of this Agreement:
(a) are within each Obligors corporate, limited liability company or partnership powers, as applicable, and have been duly authorized by all necessary corporate, limited liability company or partnership, as applicable, and, if required, equity holder action (including, without limitation, any action required to be taken by any class of directors or other governing body of any Obligor or any other Person, whether interested or disinterested, in order to ensure the due authorization of the execution, delivery and performance by the Obligors of this Agreement);
(b) do not require any consent or approval of, registration or filing with, or any other action by, any Governmental Authority or any other third Person (including shareholders or other equity holders or any class of directors or other governing body, whether interested or disinterested, of any Obligor or any other Person), nor is any such consent, approval, registration, filing or other action necessary for the validity or enforceability of this Agreement or the consummation of the transactions contemplated hereby, except such as have been obtained or made and are in full force and effect other than those third party approvals or consents which, if not made or obtained, would not cause a Default hereunder, or could not reasonably be expected to have a Material Adverse Effect,
(c) will not violate any Sanctions and Applicable Law or any Organic Documents of any Obligor or any Restricted Subsidiary, or any order of any Governmental Authority,
(d) will not violate or result in a default under any Material Contract, or give rise to a right thereunder to require any payment to be made by any Obligor or any Restricted Subsidiary and
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(e) will not result in the creation or imposition of any Lien on any Property of any Obligor or any Restricted Subsidiary (other than the Liens created by the Loan Documents);
4.2 this Agreement has been duly executed and delivered by such Obligor and constitutes a legal, valid and binding obligation of such Obligor, as applicable, enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium or other laws affecting creditors rights generally and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law; and
4.3 no Default or Event of Default (other than any Specified Default) has occurred and is continuing.
5. Reaffirmation. Each of the Obligors hereby confirms its respective guarantees, pledges, grants of security interests and other obligations, as applicable, under and subject to the terms of each of the Loan Documents to which it is party, and agrees that such guarantees, pledges, grants of security interests and other obligations, and the terms of each of the Loan Documents to which it is a party, are not impaired or affected in any manner whatsoever and shall continue to be in full force and effect. Each Obligor acknowledges and agrees that any of the Loan Documents to which it is a party or otherwise bound shall continue in full force and effect and that all of its obligations thereunder shall be valid and enforceable and shall not be impaired or limited by the execution or effectiveness of this Agreement.
6. Miscellaneous.
6.1 Captions. Section captions used in this Agreement are for convenience only, and shall not affect the construction of this Agreement.
6.2 Governing Law. UNLESS EXPRESSLY PROVIDED IN ANY LOAN DOCUMENT, THIS AGREEMENT AND ALL CLAIMS SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY CONFLICT OF LAW PRINCIPLES EXCEPT FEDERAL LAWS RELATING TO NATIONAL BANKS.
6.3 Severability. Wherever possible, each provision of this Agreement shall be interpreted in such manner as to be valid under Applicable Law. If any provision is found to be invalid under Applicable Law, it shall be ineffective only to the extent of such invalidity and the remaining provisions of this Agreement shall remain in full force and effect.
6.4 Successors and Assigns. This Agreement shall be binding upon the parties hereto and their respective successors and assigns, and shall inure to the sole benefit of the parties and their respective successors and assigns.
6.5 References. Any reference to the Term Loan Agreement contained in any notice, request, certificate, or other document executed concurrently with or after the execution and delivery of this Agreement shall be deemed to include this Agreement unless the context shall otherwise require.
6.6 Loan Document. This Agreement shall be deemed to be and shall constitute a Loan Document.
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6.7 Continued Effectiveness. Notwithstanding anything contained herein, the terms of this Agreement are not intended to and do not serve to effect a novation as to the Term Loan Agreement. The Term Loan Agreement and each of the Loan Documents remain in full force and effect.
6.8 Entire Agreement. This Agreement constitutes the entire agreement, and supersedes all prior understandings and agreements, among the parties relating to the subject matter thereof.
6.9 Counterparts; Execution. This Agreement may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Agreement shall become effective when Agent has received counterparts bearing the signatures of all parties hereto. Delivery of a signature page of this Agreement by telecopy or other electronic means shall be effective as delivery of a manually executed counterpart of such agreement. Any signature, contract formation or record-keeping through electronic means shall have the same legal validity and enforceability as manual or paper-based methods, to the fullest extent permitted by Applicable Law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any similar state law based on the Uniform Electronic Transactions Act.
[Remainder of Page Intentionally Left Blank]
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective authorized officers as of the day and year first above written.
BORROWER: | ||
KEY ENERGY SERVICES, INC. | ||
By | /s/ J. Marshall Dodson | |
Name: J. Marshall Dodson Title: Interim Chief Executive Officer, Senior Vice President and Chief Financial Officer |
GUARANTOR: | ||
KEY ENERGY SERVICES, LLC | ||
By | /s/ J. Marshall Dodson | |
Name: J. Marshall Dodson Title: Interim Chief Executive Officer, Senior Vice President and Chief Financial Officer |
AGENT AND LENDERS: | ||
CORTLAND PRODUCTS CORP., as Agent | ||
By | /s/ Matthew Trybula | |
Name: Matthew Trybula Title: Associate Counsel |
SPECIAL SITUATIONS INVESTING GROUP, INC., as a Lender | ||
By | /s/ Lee D. Becker | |
Name: Lee D. Becker Title: Authorized Signatory |
BlueMountain Foinaven Master Fund L.P., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
Blue Mountain Credit Alternatives Master Fund L.P., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
BlueMountain Guadalupe Peak Fund L.P., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
BlueMountain Logan Opportunities Fund L.P., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
BlueMountain Montenvers Master Fund SCA SICAV-SIF, as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
BlueMountain Summit Trading L.P., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
BlueMountain Timberline Ltd., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
BlueMountain Kicking Horse Fund L.P., as a Lender | ||
By | /s/ Richard Horne | |
Name: Richard Horne Title: Deputy General Counsel, Tax |
TENNENBAUM ENERGY OPPORTUNITIES CO, LLC TCP WATERMAN CLO, LLC TENNENBAUM SENIOR LOAN OPERATING III, LLC TENNENBAUM SENIOR LOAN FUNDING III, LLC TENNENBAUM SENIOR LOAN FUND V, LLC | ||
as Lenders | ||
On behalf of each of the above entities: By: TENNENBAUM CAPTIAL PARTNERS, LLC Its: Investment Manager | ||
By | /s/ Michael Leitner | |
Name: Michael Leitner Title: Managing Director |
TCP ENHANCED YIELD FUNDING I, LLC | ||||||||||
As Lender | ||||||||||
By: Tennenbaum Enhanced Yield Operating I, LLC Its: Sole Member | ||||||||||
By: Tennenbaum Capital Partners, LLC Its: Investment Manager | ||||||||||
By | /s/ Michael Leitner | |||||||||
Name: Michael Leitner Title: Managing Director |
SOTER CAPITAL, LLC, as a Lender | ||
By | /s/ Mary Ann Sigler | |
Name: Mary Ann Sigler Title: President and Treasurer |
WHITEBOX ASYMMETRIC PARTNERS, L.P., as a Lender By: Whitebox Advisors LLC its investment manager | ||
By | /s/ Mark Strefling | |
Name: Mark Strefling Title: CEO & Chief Legal Officer |
WHITEBOX CAJA BLANCA FUND, LP, as a Lender By: Whitebox Caja Blanca GP LLC its general partner By: Whitebox Advisors LLC its investment manager | ||
By | /s/ Mark Strefling | |
Name: Mark Strefling Title: CEO & Chief Legal Officer |
WHITEBOX RELATIVE VALUE PARTNERS, L.P., as a Lender By: Whitebox Advisors LLC its investment manager | ||
By | /s/ Mark Strefling | |
Name: Mark Strefling Title: CEO & Chief Legal Officer |
WHITEBOX CREDIT PARTNERS, L.P., as a Lender By: Whitebox Advisors LLC its investment manager | ||
By | /s/ Mark Strefling | |
Name: Mark Strefling Title: CEO & Chief Legal Officer |
WHITEBOX MULTI-STRATEGY PARTNERS, L.P., as a Lender By: Whitebox Advisors LLC its investment manager | ||
By | /s/ Mark Strefling | |
Name: Mark Strefling Title: CEO & Chief Legal Officer |
Exhibit 10.2
CERTAIN CONFIDENTIAL INFORMATION CONTAINED IN THIS DOCUMENT, MARKED BY [***], HAS BEEN
OMITTED BECAUSE IT IS NOT MATERIAL AND WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY
IF PUBLICLY DISCLOSED.
THIRD AMENDMENT TO FORBEARANCE AGREEMENT
This Third Amendment to Forbearance Agreement, dated as of January 10, 2020 (this Agreement) is among KEY ENERGY SERVICES, INC., a Delaware corporation (the Company), KEY ENERGY SERVICES, LLC, a Texas limited liability company (Key Energy LLC, and together with the Company, collectively, Borrowers or Borrower), Lenders party to this Agreement and BANK OF AMERICA, N.A., a national banking association, as administrative agent for the Lenders (in such capacity, Administrative Agent), which amends that certain Forbearance Agreement, dated as of October 29, 2019, as amended by the Amendment to Forbearance Agreement, dated as of December 6, 2019, and the Second Amendment to Forbearance Agreement and Amendment No. 2 to Loan Agreement, dated as of December 20, 2019 (as amended, the Forbearance Agreement), by and among the Borrowers, the Administrative Agent and the Lenders.
W I T N E S S E T H:
WHEREAS, Borrowers, the Lenders from time to time party thereto and the Administrative Agent are parties to that certain Loan and Security Agreement dated as of December 15, 2016 (as amended, supplemented, restated or otherwise modified from time to time, the Loan Agreement; unless otherwise defined herein, capitalized terms used herein that are not otherwise defined herein shall have the respective meanings assigned to such terms in the Loan Agreement or the Forbearance Agreement, as applicable);
WHEREAS, Borrowers, the Lenders and the Administrative Agent are parties to the Forbearance Agreement, pursuant to which the Lenders and the Administrative Agent agreed to forbear from exercising certain default-related rights and remedies against Borrowers and the other Obligors with respect to the Specified Defaults during the Forbearance Period;
WHEREAS, the Borrowers have requested that the Lenders and the Administrative Agent agree to amend the Forbearance Agreement to extend the Forbearance Period set forth therein; and
WHEREAS, the Lenders and the Administrative Agent are willing to agree to such amendment on terms and subject to conditions set forth herein.
NOW, THEREFORE, in consideration of the mutual agreements, provisions and covenants contained herein, the parties hereto agree as follows:
1. Amendment. Subject to the satisfaction of the conditions set forth in Section 3 hereof, Section 3(a) of the Forbearance Agreement is hereby amended by replacing the reference to January 10, 2020 set forth therein with January 31, 2020.
2. No Other Amendments or Waivers.
This Agreement, and the terms and provisions hereof, constitute the entire agreement among the parties hereto pertaining to the subject matter hereof and supersedes any and all prior or contemporaneous amendments relating to the subject matter hereof. Except for the forbearance expressly set forth in Section 3 of the Forbearance Agreement (as amended hereby), the Loan Agreement shall remain unchanged and in full force and effect. Except as expressly set forth in Section 3 of the Forbearance
Agreement (as amended hereby), the execution, delivery, and performance of this Agreement shall not operate as a waiver of or as an amendment of, any right, power, or remedy of Administrative Agent or the Lenders under the Loan Agreement or any of the other Loan Documents as in effect prior to the date hereof, nor constitute a waiver of any provision of the Loan Agreement or any of the other Loan Documents. The agreements set forth herein are limited to the specifics hereof, shall not apply with respect to any facts or occurrences other than those on which the same are based, shall not excuse future non-compliance under the Loan Agreement or other Loan Documents, and shall not operate as a consent to any further or other matter, under the Loan Documents.
3. Conditions Precedent. The effectiveness of this Agreement is subject to the satisfaction of the following conditions precedent on the date hereof:
3.1 Execution of Agreement. Each Obligor, Administrative Agent and the Required Lenders shall have duly executed and delivered this Agreement.
3.2 Term Loan Forbearance Agreement Amendment. Receipt by Administrative Agent of evidence reasonably satisfactory to Administrative Agent that an amendment to the Term Loan Forbearance Agreement has been entered into by all requisite parties thereto pursuant to which the forbearance period thereunder shall have been extended to January 31, 2020.
3.3 Accuracy of Representations and Warranties. All representations and warranties contained in Section 4 hereof shall be true and correct in all respects.
3.4 Fees. The Administrative Agent shall have received for the benefit of each Lender that executes and delivers a counterpart of this Agreement (each such Lender, a Consenting Lender), a fee in an amount equal to (i) [***] payable to Bank of America, N.A., (ii) [***] payable to Wells Fargo Bank, National Association and (iii) [***] payable to Siemens Financial Services, Inc.
4. Representations and Warranties. Each Obligor hereby jointly and severally represents and warrants to Administrative Agent and Lenders, that
4.1 the execution, delivery and performance by the Obligors of this Agreement:
(a) are within each Obligors corporate, limited liability company or partnership powers, as applicable, and have been duly authorized by all necessary corporate, limited liability company or partnership, as applicable, and, if required, equity holder action (including, without limitation, any action required to be taken by any class of directors or other governing body of any Obligor or any other Person, whether interested or disinterested, in order to ensure the due authorization of the execution, delivery and performance by the Obligors of this Agreement);
(b) do not require any consent or approval of, registration or filing with, or any other action by, any Governmental Authority or any other third Person (including shareholders or other equity holders or any class of directors or other governing body, whether interested or disinterested, of any Obligor or any other Person), nor is any such consent, approval, registration, filing or other action necessary for the validity or enforceability of this Agreement or the consummation of the transactions contemplated hereby, except such as have been obtained or made and are in full force and effect other than those third party approvals or consents which, if not made or obtained, would not cause a Default hereunder, or could not reasonably be expected to have a Material Adverse Effect,
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(c) will not violate any Sanctions and Applicable Law or any Organic Documents of any Obligor or any Restricted Subsidiary, or any order of any Governmental Authority,
(d) will not violate or result in a default under any Material Contract, or give rise to a right thereunder to require any payment to be made by any Obligor or any Restricted Subsidiary and
(e) will not result in the creation or imposition of any Lien on any Property of any Obligor or any Restricted Subsidiary (other than the Liens created by the Loan Documents);
4.2 this Agreement has been duly executed and delivered by such Obligor and constitutes a legal, valid and binding obligation of such Obligor, as applicable, enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium or other laws affecting creditors rights generally and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law; and
4.3 no Default or Event of Default (other than any Specified Default) has occurred and is continuing.
5. Reaffirmation. Each of the Obligors hereby confirms its respective guarantees, pledges, grants of security interests and other obligations, as applicable, under and subject to the terms of each of the Loan Documents to which it is party, and agrees that such guarantees, pledges, grants of security interests and other obligations, and the terms of each of the Loan Documents to which it is a party, are not impaired or affected in any manner whatsoever and shall continue to be in full force and effect. Each Obligor acknowledges and agrees that any of the Loan Documents to which it is a party or otherwise bound shall continue in full force and effect and that all of its obligations thereunder shall be valid and enforceable and shall not be impaired or limited by the execution or effectiveness of this Agreement.
6. Miscellaneous.
6.1 Captions. Section captions used in this Agreement are for convenience only, and shall not affect the construction of this Agreement.
6.2 Governing Law. UNLESS EXPRESSLY PROVIDED IN ANY LOAN DOCUMENT, THIS AGREEMENT AND ALL CLAIMS SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY CONFLICT OF LAW PRINCIPLES EXCEPT FEDERAL LAWS RELATING TO NATIONAL BANKS.
6.3 Severability. Wherever possible, each provision of this Agreement shall be interpreted in such manner as to be valid under Applicable Law. If any provision is found to be invalid under Applicable Law, it shall be ineffective only to the extent of such invalidity and the remaining provisions of this Agreement shall remain in full force and effect.
6.4 Successors and Assigns. This Agreement shall be binding upon the parties hereto and their respective successors and assigns, and shall inure to the sole benefit of the parties and their respective successors and assigns.
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6.5 References. Any reference to the Loan Agreement contained in any notice, request, certificate, or other document executed concurrently with or after the execution and delivery of this Agreement shall be deemed to include this Agreement unless the context shall otherwise require.
6.6 Loan Document. This Agreement shall be deemed to be and shall constitute a Loan Document.
6.7 Continued Effectiveness. Notwithstanding anything contained herein, the terms of this Agreement are not intended to and do not serve to effect a novation as to the Loan Agreement. The Loan Agreement and each of the Loan Documents remain in full force and effect.
6.8 Entire Agreement. This Agreement constitutes the entire agreement, and supersede all prior understandings and agreements, among the parties relating to the subject matter thereof.
6.9 Counterparts; Execution. This Agreement may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Agreement shall become effective when Administrative Agent has received counterparts bearing the signatures of all parties hereto. Delivery of a signature page of this Agreement by telecopy or other electronic means shall be effective as delivery of a manually executed counterpart of such agreement. Any signature, contract formation or record-keeping through electronic means shall have the same legal validity and enforceability as manual or paper-based methods, to the fullest extent permitted by Applicable Law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any similar state law based on the Uniform Electronic Transactions Act.
[Remainder of Page Intentionally Left Blank]
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective authorized officers as of the day and year first above written.
BORROWERS: | ||
KEY ENERGY SERVICES, INC. | ||
By | /s/ J. Marshall Dodson | |
Name: J. Marshall Dodson Title: Interim Chief Executive Officer, Senior Vice President and Chief Financial Officer |
KEY ENERGY SERVICES, LLC. | ||
By | /s/ J. Marshall Dodson | |
Name: J. Marshall Dodson Title: Interim Chief Executive Officer, Senior Vice President and Chief Financial Officer |
ADMINISTRATIVE AGENT AND LENDERS: | ||
BANK OF AMERICA, N.A., as Administrative Agent and a Lender | ||
By | /s/ Ajay Jagsi | |
Name: Ajay Jagsi Title: Vice President |
WELLS FARGO BANK, NATIONAL ASSOCIATION, as a Lender | ||
By | /s/ William M. Plough | |
Name: William M. Plough Title: Vice President |
SIEMENS FINANCIAL SERVICES, INC., as a Lender | ||
By | /s/ Michael L. Zion | |
Name: Michael L. Zion Title: Vice President |
By | /s/ John Finore | |
Name: John Finore Title: Vice President |