As filed with the Securities and Exchange Commission on June 21, 2016
Registration No. 333-
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form S-3
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
L-3 COMMUNICATIONS CORPORATION*
(Exact name of registrant as specified in its charter)
Delaware | 13-3937436 | |
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification Number) |
600 Third Avenue
New York, NY 10016
(212) 697-1111
(Address, including zip code, and telephone number, including area code, of registrants principal executive offices)
Steven M. Post, Esq.
Senior Vice President, General Counsel and Corporate Secretary
L-3 Communications Corporation
600 Third Avenue
New York, NY 10016
(212) 697-1111
(Name, address, including zip code, and telephone number, including area code, of agent for service)
Copy to:
Avrohom J. Kess, Esq.
Mark A. Brod, Esq.
Simpson Thacher & Bartlett LLP
425 Lexington Avenue
New York, New York 10017
(212) 455-2000
Approximate date of commencement of proposed sale to the public : From time to time after the date hereof.
If the only securities being registered on this Form are being offered pursuant to dividend or interest reinvestment plans, please check the following box. ¨
If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, other than securities offered only in connection with dividend or interest reinvestment plans, check the following box. x
If this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, please check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ¨
If this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ¨
If this Form is a registration statement pursuant to General Instruction I.D. or a post-effective amendment thereto that shall become effective upon filing with the Commission pursuant to Rule 462(e) under the Securities Act, check the following box. x
If this Form is a post-effective amendment to a registration statement pursuant to General Instruction I.D. filed to register additional securities or additional classes of securities pursuant to Rule 413(b) under the Securities Act, check the following box. ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of large accelerated filer, accelerated filer and smaller reporting company in Rule 12b-2 of the Exchange Act. (Check one):
Large accelerated filer | ¨ | Accelerated filer | ¨ | |||
Non-accelerated filer | x (Do not check if a smaller reporting company) | Smaller reporting company | ¨ |
CALCULATION OF REGISTRATION FEE
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Title of Each Class of Securities to be Registered |
Amount to be
Registered |
Proposed Maximum Offering Price per Note |
Proposed
Maximum
Offering Price |
Amount of
Fee |
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Debt Securities |
(1) | (1) | (1) | (2) | ||||
Guarantees of Debt Securities |
(1) | (1) | (1) | (3) | ||||
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(1) | Omitted pursuant to General Instruction II.E. of Form S-3. An indeterminate amount of debt securities and guarantees of debt securities are being registered as may from time to time be issued at indeterminate prices. |
(2) | In accordance with Rules 456(b) and 457(r) of the Securities Act of 1933, as amended, the registrant is deferring payment of all of the registration fee. Registration fees will be paid subsequently on a pay as you go basis. |
(3) | No separate consideration will be received for the guarantees of the debt securities being registered. No registration fee for the guarantees will be due pursuant to Rule 457(n). |
* | See table of additional registrants on the next page |
TABLE OF ADDITIONAL REGISTRANTS*
Exact Name of Registrant as Specified in Its Charter** |
Jurisdiction of
|
IRS Employer
|
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Electrodynamics, Inc. |
Arizona | 36-3140903 | ||
Interstate Electronics Corporation |
California | 95-1912832 | ||
L-3 Advanced Programs, Inc. |
Delaware | 45-3846917 | ||
L-3 Applied Technologies, Inc. |
Delaware | 45-3795120 | ||
L-3 Chesapeake Sciences Corporation |
Maryland | 52-1737390 | ||
L-3 Communications AIS GP Corporation |
Delaware | 13-4137187 | ||
L-3 Communications Avionics Systems, Inc. |
Delaware | 38-1865601 | ||
L-3 Communications Cincinnati Electronics Corporation |
Ohio | 31-0826926 | ||
L-3 Communications Electron Technologies, Inc. |
Delaware | 91-2046609 | ||
L-3 Communications EO/IR, Inc. |
Florida | 59-3316817 | ||
L-3 Communications ESSCO, Inc. |
Delaware | 04-2281486 | ||
L-3 Communications Flight Capital LLC |
Delaware | 75-3089735 | ||
L-3 Communications Flight International Aviation LLC |
Delaware | 02-0654591 | ||
L-3 Communications Foreign Holdings, Inc. |
Delaware | 20-5871893 | ||
L-3 Communications Integrated Systems L.P. |
Delaware | 03-0391841 | ||
L-3 Communications Investments Inc. |
Delaware | 51-0260723 | ||
L-3 Communications MariPro, Inc. |
California | 33-0947774 | ||
L-3 Communications Mobile-Vision, Inc. |
New Jersey | 22-2893537 | ||
L-3 Communications Security and Detection Systems, Inc. |
Delaware | 04-3054475 | ||
L-3 Communications Vector International Aviation LLC |
Delaware | 42-1569647 | ||
L-3 Communications Vertex Aerospace LLC |
Delaware | 64-0941176 | ||
L-3 Communications Westwood Corporation |
Nevada | 87-0430944 | ||
L-3 Domestic Holdings, Inc. |
Delaware | 45-3795216 | ||
L-3 Fuzing and Ordnance Systems, Inc. |
Delaware | 31-0740721 | ||
L-3 Unidyne, Inc. |
Delaware | 45-3795033 | ||
L-3 Unmanned Systems, Inc. |
Texas | 75-2715474 | ||
Pac Ord Inc. |
Delaware | 23-2523436 | ||
Power Paragon, Inc. |
Delaware | 33-0638510 | ||
SPD Electrical Systems, Inc. |
Delaware | 23-2457758 | ||
SPD Switchgear, Inc. |
Delaware | 23-2510039 |
** | The address and telephone number of each registrants principal executive office is 600 Third Avenue, New York, New York 10016, (212) 697-1111. |
PROSPECTUS
L-3 Communications Corporation
Debt Securities
Subsidiary Guarantors
Guarantees of Debt Securities
From time to time, we may offer the debt securities and the related guarantees described in this prospectus.
This prospectus provides a general description of the debt securities and the related guarantees of the debt securities. We will provide the specific terms of the securities in one or more supplements to this prospectus. This prospectus may not be used to offer and sell the securities unless accompanied by a prospectus supplement. A prospectus supplement may add, update or change information contained in this prospectus. You should read this prospectus and the applicable prospectus supplement, as well as the documents incorporated by reference in this prospectus and in any accompanying prospectus supplement, carefully before you invest.
Investing in these securities involves risks. See the information included and incorporated by reference in this prospectus and the accompanying prospectus supplement for a discussion of the factors you should carefully consider before deciding to purchase these securities, including the information under Risk Factors on page 1 of this prospectus, in the applicable prospectus supplement and in our most recent annual report on Form 10-K (as it may be updated in our subsequently filed quarterly reports on Form 10-Q) filed with the Securities and Exchange Commission.
Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed upon the adequacy or accuracy of this prospectus or the accompanying prospectus supplement. Any representation to the contrary is a criminal offense.
The date of this prospectus is June 21, 2016.
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You should rely only on the information contained or incorporated by reference in this prospectus and in any accompanying prospectus supplement or in any related free writing prospectus. We have not authorized anyone to provide you with different information. This document may only be used where it is legal to sell these securities. You should only assume that the information contained or incorporated by reference in this prospectus or in any accompanying prospectus supplement or any related free writing prospectus is accurate as of the respective date on the front of those documents. Our business, financial condition, results of operations and prospects may have changed since that date. We are not making an offer of these securities in any jurisdiction where the offer is not permitted.
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This prospectus is part of an automatic shelf registration statement that we filed with the Securities and Exchange Commission (the SEC ), as a well-known seasoned issuer as defined in Rule 405 under the Securities Act of 1933, as amended (the Securities Act ). By using an automatic shelf registration statement, we may, at any time and from time to time, sell debt securities, including the related guarantees, under this prospectus in one or more offerings in an unlimited amount. As allowed by the SEC rules, this prospectus does not contain all of the information included in the registration statement. For further information, we refer you to the registration statement, including its exhibits. Statements contained in this prospectus about the provisions or contents of any agreement or other document are not necessarily complete and the applicable prospectus supplement may add, update or change the information contained in this prospectus. If the SECs rules and regulations require that an agreement or document be filed as an exhibit to the registration statement, please see that agreement or document for a complete description of these matters.
This prospectus provides you with a general description of the securities we may offer. Each time we use this prospectus to offer securities, we will provide you with a prospectus supplement that will describe the specific amounts, prices and terms of the securities being offered. The prospectus supplement may also add, update or change information contained in this prospectus. Therefore, if there is any inconsistency between the information in this prospectus and the prospectus supplement, you should rely on the information in the prospectus supplement.
To understand the terms of our securities, you should carefully read this document and the applicable prospectus supplement. Together, they provide the specific terms of the securities we are offering. You should also read the documents we have referred you to under Where You Can Find More Information below for information on our company, the risks we face and our financial statements. The registration statement and exhibits can be read at the SECs website or at the SEC as described under Where You Can Find More Information.
As used in this prospectus, (1) L-3 Holdings refers to L-3 Communications Holdings, Inc., the direct parent company of L-3 Communications Corporation, but not to any of its subsidiaries, (2) L-3 Communications refers to L-3 Communications Corporation, a wholly-owned operating subsidiary of L-3 Holdings and the issuer of the debt securities, but not to any of its subsidiaries, and (3) Guarantors refers to our subsidiaries that guarantee the obligations of L-3 Communications under the debt securities. Except where the context provides otherwise, L-3, the Company, we, us and our refer to L-3 Communications and its subsidiaries.
WHERE YOU CAN FIND MORE INFORMATION
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended (the Exchange Act ), L-3 Holdings and L-3 Communications file annual, quarterly and current reports, proxy statements (in the case of L-3 Holdings) and other information with the SEC. Our SEC filings are available to the public over the Internet at the SECs website at www.sec.gov or at our website at www.L-3com.com (as noted below, the information contained in, or that can be accessed through, our website is not a part of this prospectus or part of any prospectus supplement). You may also read and copy any document L-3 Holdings and L-3 Communications file with the SEC at its public reference room at 100 F Street, N.E., Washington, D.C. 20549. Please call the SEC at 1-800-SEC-0330 for further information on the operation of the public reference room.
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DOCUMENTS INCORPORATED BY REFERENCE
The SEC allows us to incorporate by reference into this prospectus information that we file with the SEC. This means that we can disclose important information to you by referring you to those documents. The information incorporated by reference is an important part of this prospectus, and information that we file later with the SEC will automatically update and supersede any inconsistent information in this prospectus and in our other filings with the SEC.
We incorporate by reference the following documents that L-3 Holdings and L-3 Communications previously filed with the SEC (other than information in such documents that is deemed not to be filed), all of which are filed under SEC File Nos. 001-14141 or 333-46983:
| Annual Report on Form 10-K for the fiscal year ended December 31, 2015; |
| Quarterly Report on Form 10-Q for the quarterly period ended March 25, 2016; and |
| Current Reports on Form 8-K filed with the SEC on February 9, 2016, May 5, 2016 and May 23, 2016. |
These documents contain important information about our business and our financial performance.
We also incorporate by reference any future filings L-3 Holdings and L-3 Communications make with the SEC pursuant to Sections 13(a), 13 (c), 14 or 15(d) of the Exchange Act, on or after the date of the filing of this registration statement and prior to the termination of the offering, all of which will be filed under SEC File Nos. 001-14141 or 333-46983. The future filings with the SEC made by L-3 Holdings and L-3 Communications will automatically update and supersede any inconsistent information in this prospectus.
You may obtain a free copy of these filings from us by writing to or telephoning us at the following address and telephone number:
L-3 Communications Corporation
600 Third Avenue
New York, NY 10016
Attention: Secretary
Telephone: (212) 697-1111
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FORWARD-LOOKING AND CAUTIONARY STATEMENTS
Certain of the information included or incorporated by reference in this prospectus and the applicable prospectus supplement concerning our operations, cash flows, financial position, economic performance and financial condition, includes forward-looking statements within the meaning of Section 27A of the Securities Act, Section 21E of the Exchange Act and the Private Securities Litigation Reform Act of 1995. All statements other than historical facts may be forward-looking statements, such as may, will, should, likely, projects, expects, anticipates, intends, plans, believes, estimates, and similar expressions are used to identify forward-looking statements. We caution investors that these statements are subject to risks and uncertainties many of which are difficult to predict and generally beyond our control that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Some of the factors that could cause actual results to differ include, but are not limited to, the following:
| our dependence on the defense industry; |
| backlog processing and program slips resulting from delayed awards and/or funding from the DoD and other major customers; |
| the U.S. Government fiscal situation; |
| changes in U.S. Department of Defense (DoD) budget levels and spending priorities; |
| U.S. Government failure to raise the debt ceiling; |
| our reliance on contracts with a limited number of customers and the possibility of termination of government contracts by unilateral government action or for failure to perform; |
| the extensive legal and regulatory requirements surrounding many of our contracts; |
| our ability to retain our existing business and related contracts; |
| our ability to successfully compete for and win new business; or, identify, acquire and integrate additional businesses; |
| our ability to maintain and improve our operating margin; |
| the availability of government funding and changes in customer requirements for our products and services; |
| our significant amount of debt and the restrictions contained in our debt agreements and actions taken by rating agencies that could result in a downgrade of our debt; |
| our ability to continue to recruit, retain and train our employees; |
| actual future interest rates, volatility and other assumptions used in the determination of pension benefits and equity based compensation, as well as the market performance of benefit plan assets; |
| our collective bargaining agreements, our ability to successfully negotiate contracts with labor unions and our ability to favorably resolve labor disputes should they arise; |
| the business, economic and political conditions in the markets in which we operate; |
| global economic uncertainty; |
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| the DoDs Better Buying Power and other efficiency initiatives; |
| events beyond our control such as acts of terrorism; |
| our ability to perform contracts on schedule; |
| our international operations including currency risks and compliance with foreign laws; |
| our extensive use of fixed-price type revenue arrangements; |
| the rapid change of technology and high level of competition in which our businesses participate; |
| risks relating to technology and data security; |
| our introduction of new products into commercial markets or our investments in civil and commercial products or companies; |
| the outcome of litigation matters; |
| results of audits by U.S. Government agencies and of ongoing governmental investigations, including the Aerospace Systems segment; |
| our ability to predict the level of participation in, and the related costs of, our voluntary return program for certain EoTech holographic weapons sight products, and our ability to change and terminate the voluntary return program at our discretion; |
| the impact on our business of improper conduct by our employees, agents or business partners; |
| goodwill impairments and the fair values of our assets; and |
| the ultimate resolution of contingent matters, claims and investigations relating to acquired businesses, and the impact on the final purchase price allocations. |
In addition, for a discussion of these and other risks and uncertainties that could impair our results of operations or financial condition, see Part I Item 1A Risk Factors and Part II Item 7 Managements Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2015 and in any quarterly report on Form 10-Q filed since the end of our most recent fiscal year, and any material updates to these factors contained in any of our future filings.
Readers of this document are cautioned that our forward-looking statements are not guarantees of future performance and the actual results or developments may differ materially from the expectations expressed in the forward-looking statements.
As for the forward-looking statements that relate to future financial results and other projections, actual results will be different due to the inherent uncertainties of estimates, forecasts and projections and may be better or worse than projected and such differences could be material. Given these uncertainties, you should not place any reliance on these forward-looking statements. These forward-looking statements also represent our estimates and assumptions only as of the date that they were made. We expressly disclaim a duty to provide updates to these forward-looking statements, and the estimates and assumptions associated with them, after the date of this filing, to reflect events or changes in circumstances or changes in expectations or the occurrence of anticipated events.
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L-3 is a prime contractor in Intelligence, Surveillance and Reconnaissance (ISR) systems, aircraft sustainment (including modifications, logistics and maintenance), simulation and training, night vision and image intensification equipment, and security and detection systems. L-3 is also a leading provider of a broad range of communication and electronic systems and products used on military and commercial platforms. Our customers include the United States (U.S.) Department of Defense (DoD) and its prime contractors, U.S. Government intelligence agencies, the U.S. Department of Homeland Security (DHS), foreign governments, and domestic and international commercial customers.
L-3 Communications is incorporated in Delaware, and the address of its principal executive office is 600 Third Avenue, New York, New York 10016. L-3 Communications telephone number is (212) 697-1111, and its internet address is www.L-3com.com. However, our Web site and information posted on it or connected to it do not constitute a part of this prospectus or any prospectus supplement.
Our business is subject to uncertainties and risks and an investment in our securities involves a high degree of risk. You should carefully consider and evaluate all of the information included and incorporated by reference in this prospectus and any accompanying prospectus supplement, including the risk factors included in the accompanying prospectus supplement and incorporated by reference, as well as any risk factors we may describe in any subsequent periodic reports or information L-3 Holdings and L-3 Communications file with the SEC. It is possible that our business, financial condition, liquidity or results of operations could be materially and adversely affected by any of these risks. In that case, the trading price of our securities could decline and you might lose all or part of the value of your investment.
Unless we otherwise state in the applicable prospectus supplement, we intend to use the net proceeds from the sale of the securities for general corporate purposes. General corporate purposes may include but are not limited to refinancing, repayment, redemption, repurchase or retirement of debt, additions to working capital, capital expenditures, investments in our subsidiaries and potential acquisitions.
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RATIO OF EARNINGS TO FIXED CHARGES
The ratio of earnings to fixed charges presented below should be read together with our consolidated financial statements and related notes, Part II Item 7 Managements Discussion and Analysis of Financial Condition and Results of Operations contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2015 and Part I Item 2 Managements Discussion and Analysis of Financial Condition and Results of Operations contained in our Quarterly Report on Form 10-Q for the fiscal quarter ended March 25, 2016, which are incorporated herein by reference. In calculating the ratio of earnings to fixed charges, earnings consist of income from continuing operations before income taxes less net income from continuing operations attributable to noncontrolling interests plus fixed charges. Fixed charges consist of interest on indebtedness plus the amortization of bond discounts and deferred debt issuance costs and that portion of lease rental expense representative of the interest element.
First Quarter
Ended March 25, 2016 |
Year Ended December 31, |
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2015 | 2014 | 2013 | 2012 | 2011 | ||||||||||||||||||||
(In millions, except ratio of earnings to fixed charges) | ||||||||||||||||||||||||
Earnings: |
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Income from continuing operations before income taxes |
$ | 215 | $ | 322 | $ | 872 | $ | 980 | $ | 1,053 | $ | 1,055 | ||||||||||||
Less: Net income from continuing operations attributable to noncontrolling interests |
(3 | ) | (15 | ) | (13 | ) | (9 | ) | (6 | ) | (9 | ) | ||||||||||||
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Income from continuing operations before income taxes after noncontrolling interests |
$ | 212 | $ | 307 | $ | 859 | $ | 971 | $ | 1,047 | $ | 1,046 | ||||||||||||
Add: |
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Interest expense |
39 | 181 | 171 | 171 | 191 | 222 | ||||||||||||||||||
Amortization of debt expense |
2 | 8 | 7 | 6 | 7 | 13 | ||||||||||||||||||
Interest component of rent expense |
9 | 42 | 47 | 47 | 54 | 55 | ||||||||||||||||||
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Earnings |
$ | 262 | $ | 538 | $ | 1,084 | $ | 1,195 | $ | 1,299 | $ | 1,336 | ||||||||||||
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Fixed charges: |
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Interest expense |
$ | 39 | $ | 181 | $ | 171 | $ | 171 | $ | 191 | $ | 222 | ||||||||||||
Amortization of debt expense |
2 | 8 | 7 | 6 | 7 | 13 | ||||||||||||||||||
Interest component of rent expense |
9 | 42 | 47 | 47 | 54 | 55 | ||||||||||||||||||
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Fixed charges |
$ | 50 | $ | 231 | $ | 225 | $ | 224 | $ | 252 | $ | 290 | ||||||||||||
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Ratio of earnings to fixed charges |
5.2 x | 2.3 x | 4.8 x | 5.3 x | 5.2 x | 4.6 x | ||||||||||||||||||
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DESCRIPTION OF DEBT SECURITIES
The following is a summary of the general terms and conditions of the debt securities and the related subsidiary guarantees. When we offer to sell a particular series of debt securities, we will describe the specific terms and conditions of the series in a prospectus supplement to this prospectus. We will also indicate in the applicable prospectus supplement whether the general terms and conditions described in this prospectus apply to the series of debt securities. For each series of debt securities, the applicable prospectus supplement for the series may change and supplement the summary below.
We will issue the debt securities in one or more series under an indenture dated as of May 21, 2010, as amended and/or supplemented from time to time among L-3 Communications, the subsidiary guarantors from time to time party thereto and The Bank of New York Mellon Trust Company, N.A., as trustee. You should also read the indenture under which the debt securities are to be issued. We have filed the indenture governing the debt securities with the SEC as an exhibit to the registration statement of which this prospectus is a part.
All capitalized terms have the meanings specified in the indenture. In this section, the Company, we, us and our refer only to L-3 Communications Corporation, but not to any of its subsidiaries.
General Terms of the Indenture
The indenture does not limit the amount of debt securities that we may issue and permits us to issue debt securities in one or more series. All debt securities of one series need not be issued at the same time, and, unless otherwise provided, any series may be reopened, without the consent of the holders of the debt securities of that series, for issuances of additional debt securities of that series. Such additional debt securities of any series will have the same terms as, and rank equally and ratably with, the existing debt securities of such series in all respects (except for the issue date and, if applicable, the payment of interest accruing prior to the issue date of such additional debt securities and the date of the first payment of interest following the issue date of such additional debt securities) and will be consolidated and form a single series with, and will have the same terms as to ranking, redemption, waivers, amendments or otherwise, as the existing debt securities of such series, and will vote together as one class on all matters with respect to such series of debt securities. The indenture provides that we may issue debt securities up to the principal amount that we may authorize and that such debt securities may be in any currency or currency unit that we may designate. Except for the limitations on liens, sales and leaseback transactions, consolidation, merger and sale of all or substantially all of our assets contained in the indenture and a covenant relating to future guarantors, the terms of the indenture do not contain any covenants or other provisions designed to give holders of any debt securities protection against changes in our operations, financial condition or transactions involving us.
We may issue the debt securities issued under the indenture as discount securities, which means they may be sold at a discount below their stated principal amount. These debt securities, as well as other debt securities that are not issued at a discount, may be issued with original issue discount, or OID, for U.S. federal income tax purposes because of interest payment and other characteristics or terms of the debt securities. Certain U.S. federal income tax considerations applicable to debt securities issued with OID will be described in more detail in the applicable prospectus supplement.
The applicable prospectus supplement for a series of debt securities that we issue will describe, among other things, the following terms of the offered debt securities:
| The title of the series of debt securities; |
| The price or prices (expressed as a percentage of the principal amount) at which we will issue the debt securities; |
| Any limit on the aggregate principal amount of the series of debt securities; |
| The maturity date(s); |
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| The rate or rates (which may be fixed or variable) per annum or the method used to determine the rate or rates (including any currency exchange rate, commodity, commodity index, stock exchange index or financial index) at which the debt securities will bear interest, if any, the date or dates from which interest will accrue or the method for determining the date or dates from which interest will accrue, the date or dates on which interest will commence and be payable and any regular record date for the interest payable on any interest payment date; |
| The manner in which the amounts of payment of principal of or interest, if any, on the series of debt securities will be determined (if such amounts may be determined by reference to an index based on a currency or currencies or by reference to a currency exchange rate, commodity, commodity index, stock exchange index or financial index); |
| The place or places where principal of, premium, if any, and interest, if any, on the debt securities will be payable and the method of such payment, if by wire transfer, mail or other means; |
| Provisions related to redemption or early repayment of the debt securities at our option; |
| Our obligation, if any, to redeem or purchase any series of debt securities pursuant to any sinking fund or analogous provisions or at the option of a holder thereof and the period or periods within which, the price or prices at which and the terms and conditions upon which such debt securities will be redeemed or purchased, in whole or in part, pursuant to such obligation; |
| The authorized denominations; |
| The form of the debt securities and whether the debt securities will be issued in bearer or fully registered form (and if in fully registered form, whether the debt securities will be issuable, in whole or in part, as global debt securities); |
| Any depositaries, interest rate calculation agents, exchange rate calculation agents or other agents with respect to the debt securities; |
| Any changes in the trustee for such debt securities; |
| The portion of principal amount of the debt securities payable upon declaration of acceleration of the maturity date, if other than the principal amount; |
| Any additions or deletions to or changes in the covenants applicable to the particular debt securities being issued; |
| Additions or deletions to or changes in the Events of Default with respect to the securities and any change in the right of the trustee or the holders to declare the principal, premium, if any, and interest, if any, with respect to such securities to be due and payable; |
| The currency of denomination of the debt securities; |
| The designation of the currency, currencies or currency units in which the purchase price for, the principal of and any premium and any interest on, such securities will be payable; |
| If payments of principal of, premium, if any, or interest, if any, on the debt securities will be made in one or more currencies or currency units other than that or those in which the debt securities are denominated, the manner in which the exchange rate with respect to these payments will be determined; |
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| The securities exchange(s) on which the debt securities will be listed, if any; |
| Whether any underwriter(s) will act as market maker(s) for the debt securities; |
| The extent to which a secondary market for the debt securities is expected to develop; |
| Additions or deletions to or changes in the provisions relating to covenant defeasance and legal defeasance; |
| Additions or deletions to or changes in the provisions relating to satisfaction and discharge of the indenture; |
| Additions or deletions to or changes in the provisions relating to the modification of the indenture both with and without the consent of holders of debt securities issued under the indenture; and |
| Any other terms of the debt securities, which may modify, supplement or delete any provision of the indenture as it applies to that series. |
The applicable prospectus supplement may discuss certain U.S. federal income and estate tax considerations for holders of any debt securities, if any, and the securities exchange or quotation system on which any debt securities are to be listed or quoted, if any.
We expect most debt securities to be issued in fully registered form without coupons and in denominations of $2,000 and any integral multiples of $1,000 in excess thereof.
Guarantees
Unless otherwise specified in the applicable prospectus supplement, the Companys payment obligations under the debt securities will be jointly and severally guaranteed (the Subsidiary Guarantees ) by all of the Companys current and future Domestic Subsidiaries that guarantee other Indebtedness of the Company. The obligations of each Guarantor under its Subsidiary Guarantee will be limited as necessary to prevent that Subsidiary Guarantee from constituting a fraudulent conveyance under applicable law. The Subsidiary Guarantee of each Guarantor will be effectively subordinated to the extent of the value of the collateral securing the other guarantees or Indebtedness of such Guarantor, if such guarantees or Indebtedness are secured. Upon the release of all guarantees by a Guarantor under all then outstanding Indebtedness of the Company (other than the debt securities), the Subsidiary Guarantee of that Guarantor will automatically and unconditionally be released and discharged, without any further action required by such Guarantor or the trustee. If any former Guarantor thereafter guarantees any Indebtedness of the Company (other than the debt securities), then that former Guarantor (to the extent it is still a Domestic Subsidiary) will again guarantee the debt securities on the terms and conditions set forth in the indenture. In addition, the Subsidiary Guarantee of any Guarantor will be automatically and unconditionally released and discharged, without any further action required by such Guarantor or the trustee, if the debt securities are defeased or at any time such Guarantor is no longer a Domestic Subsidiary.
Merger, Consolidation or Sale of Assets
The indenture will provide that the Company may not, directly or indirectly, consolidate or merge with or into (whether or not the Company is the surviving entity), or sell, assign, transfer, lease, convey or otherwise dispose of all or substantially all of its properties or assets in one or more related transactions, to another Person unless:
(1) the Company is the surviving or continuing corporation or the Person formed by or surviving any such consolidation or merger (if other than the Company) or to which such sale, assignment, transfer, lease, conveyance or other disposition has been made is a corporation, partnership, limited liability company, trust or other entity organized or existing under the laws of the United States, any state thereof or the District of Columbia;
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(2) the Person formed by or surviving any such consolidation or merger (if other than the Company) or the Person to which such sale, assignment, transfer, lease, conveyance or other disposition has been made (if other than the Company) assumes all the obligations of the Company under the debt securities and the indenture pursuant to agreements reasonably satisfactory to the trustee; and
(3) immediately after such transaction no Default or Event of Default exists.
In the case of any such consolidation, merger, sale, transfer or other conveyance in a transaction in which there is a successor Person, the successor Person will succeed to, and be substituted for, the Company under the indenture and, subject to the terms of the indenture, the Company will be released from the obligation to pay principal and interest on the debt securities and all obligations under the indenture.
The limitations described above will not apply to:
(a) a merger of the Company with an affiliate solely for the purpose of reincorporating the Company in another jurisdiction; or
(b) any consolidation or merger, or any sale, assignment, transfer, conveyance, lease or other disposition of assets between or among the Company and its subsidiaries.
Events of Default and Remedies
Unless otherwise specified in the applicable prospectus supplement, the term Event of Default, when used in the indenture with respect to any series of debt securities means any of the following:
(1) default for 30 days in the payment when due of interest on the debt securities of that series;
(2) default in payment when due of the principal of or premium, if any, on the debt securities of that series;
(3) failure to make sinking fund payments, if any, when due in respect of that series;
(4) failure by the Company to comply with the provisions described under the caption Merger, Consolidation or Sale of Assets;
(5) failure by the Company to comply with any of its other agreements in the indenture (other than an agreement that has been included in the indenture solely for the benefit of a series of debt securities other than that series) for 90 days after written notice is received by the Company and the trustee from the holders of at least 25% in aggregate principal amount of debt securities of that series then outstanding;
(6) default under any mortgage, indenture or instrument under which there may be issued or by which there may be secured or evidenced any Indebtedness of the Company or any of its Subsidiaries (or the payment of which is guaranteed by the Company or any of its Subsidiaries) whether such Indebtedness or guarantee now exists, or is created after the Issue Date, which default relates to a payment at final maturity or results in the acceleration of such Indebtedness prior to its express maturity and, in each case, the principal amount of such Indebtedness, together with the principal amount of all other Indebtedness that is not paid at final maturity or the maturity of which has been so accelerated, aggregates $100.0 million or more;
(7) failure by the Company or any of its Subsidiaries to pay final judgments aggregating in excess of $100.0 million, which judgments are not paid, discharged or stayed for a period of 60 days;
(8) certain events of bankruptcy or insolvency with respect to the Company or any of its Significant Subsidiaries;
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(9) except as permitted by the indenture, any Subsidiary Guarantee of a Significant Subsidiary is held in any judicial proceeding to be unenforceable or invalid; and
(10) any other Event of Default provided in the applicable officers certificate, resolution of our board of directors or the supplemental indenture under which we issue a series of debt securities.
An Event of Default for a particular series of debt securities does not necessarily constitute an Event of Default for any other series of debt securities issued under the indenture.
If an Event of Default with respect to any series of debt securities occurs and is continuing (other than an Event of Default relating to certain events of bankruptcy or insolvency with respect to the Company), then either the trustee for such series or the holders of 25% in principal amount of the outstanding debt securities of such series, by notice in writing, may declare the principal amount (or, if the debt securities are discount securities, that portion of the principal amount as may be specified in the terms of that series) of and accrued and unpaid interest, if any, on all of the debt securities of such series to be due and payable immediately. We refer you to the prospectus supplement relating to any series of debt securities that are discount securities for the particular provisions relating to acceleration of a portion of the principal amount of such discount securities upon the occurrence of an Event of Default.
The holders of a majority in principal amount of the debt securities of each affected series may, after satisfying certain conditions, rescind and annul any of the above-described declarations and consequences involving such series.
If an Event of Default relating to certain events of bankruptcy or insolvency with respect to the Company occurs and is continuing, then the principal amount (or, if the debt securities are discount securities, that portion of the principal amount as may be specified in the terms of that series) of and accrued and unpaid interest, if any, on all of the debt securities outstanding will automatically become due and payable immediately, without any declaration or other act by the trustee or any holder.
The indenture imposes limitations on suits brought by holders of debt securities against us. Except for actions for payment of overdue principal or interest, no holder of debt securities of any series may institute any action against us under the indenture unless:
| The holder has previously given to the trustee written notice of default and continuance of such default; |
| The holders of more than 50% in aggregate principal amount of the outstanding debt securities of that series have requested that the trustee institute the action; |
| The requesting holders have offered the trustee security or indemnity satisfactory to it for expenses and liabilities that may be incurred by bringing the action; |
| The trustee has not instituted the action within 60 days of the request and the offer of security or indemnity; and |
| The trustee has not received inconsistent direction by the holders of a majority in aggregate principal amount of that series of debt securities. |
The Company is required to deliver to the trustee annually a statement regarding compliance with the indenture, and the Company is required upon becoming aware of any Default or Event of Default, to deliver to the trustee a statement specifying such Default or Event of Default.
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Certain Covenants
Limitation on Liens
Except as otherwise specified in the applicable prospectus supplement, the indenture will provide that the Company will not, and will not permit any of its Wholly Owned Domestic Subsidiaries to, create, incur, assume or permit to exist any Lien (except Permitted Liens) on (1) any Principal Property or (2) the capital stock of any Subsidiary (other than an Immaterial Subsidiary), in each case to secure Indebtedness of the Company, any Subsidiary of the Company or any other Person, unless the debt securities are secured, equally and ratably with such other Indebtedness (or on a senior basis if the obligations so secured are subordinated Indebtedness), for so long as such other Indebtedness is so secured. Any Lien that is granted to secure the debt securities under this covenant shall be automatically released and discharged at the same time as the release of the Lien that gave rise to the obligation to secure the debt securities under this covenant.
Permitted Liens means, with respect to each series of debt securities:
(1) Liens securing Indebtedness of the Company or any of its Subsidiaries, which Indebtedness exists on the applicable Issue Date;
(2) Liens securing Indebtedness of any Person that (a) is acquired by the Company or any of its Subsidiaries after the applicable Issue Date, (b) is merged or amalgamated with or into the Company or any of its Subsidiaries after the applicable Issue Date or (c) becomes consolidated in the financial statements of the Company or any of its Subsidiaries after the applicable Issue Date in accordance with GAAP; provided, however, that in each case contemplated by this clause (2), such Indebtedness was not incurred in contemplation of such acquisition, merger, amalgamation or consolidation and is only secured by Liens on the capital stock and assets of, the Person (and Subsidiaries of the Person) acquired by, or merged or amalgamated with or into, or consolidated in the financial statements of, the Company or any of its Subsidiaries;
(3) Liens on any property existing at the time of the acquisition thereof;
(4) Liens securing Indebtedness (including assumed Indebtedness) of the Company or any of its Subsidiaries incurred to finance (whether prior to or within 365 days after) the acquisition, construction or improvement of assets (whether through the direct purchase of assets or through the purchase of the capital stock of any Person owning such assets or through an acquisition of any such Person by merger); provided, however, that such Indebtedness is only secured by Liens on the capital stock and assets acquired, constructed or improved in connection with such financing (including the capital stock and assets of any Subsidiary of any such acquired Person);
(5) Liens to secure any extension, renewal, refinancing or refunding (or successive extensions, renewals, refinancings or refundings), in whole or in part, of any Indebtedness secured by Liens referred to in clauses (1)-(4) above or clause (17) below or Liens created in connection with any amendment, consent or waiver relating to such Indebtedness, so long as such Lien is limited to all or part of substantially the same property which secured the Lien extended, renewed or replaced, the amount of Indebtedness secured is not increased (other than by the amount equal to any costs and expenses (including any premiums, fees or penalties) incurred in connection with any extension, renewal, refinancing or refunding);
(6) Liens arising from the assignment of moneys due and to become due under contracts between the Company or any Wholly Owned Domestic Subsidiary and the United States of America, any state, commonwealth, territory or possession thereof or any agency, department, instrumentality or political subdivision of any thereof; or Liens in favor of the United States of America, any state, commonwealth, territory or possession thereof or any agency, department, instrumentality or political subdivision of any thereof, pursuant to the provisions or any contract not directly or indirectly in connection with securing Indebtedness; or Liens in favor of any governmental body to secure progress, advance or other payments or the acquisition of real or personal property from such governmental body pursuant to any contract or provision of any statute;
(7) Liens imposed by law, such as carriers, warehousemens, materialmens, workmens, repairmens and mechanics liens, and other similar Liens (including deposits on pledges to obtain the release of such Liens) arising in the ordinary course of business which secure payment of obligations not more than 60 days past due or which are being contested in good faith by appropriate proceedings and for which adequate reserves, to the extent required by GAAP, shall have been set aside;
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(8) Liens arising by reason of any judgment, decree or other of any court, so long as any appropriate legal proceedings which may have been initiated for the review of such judgment, decree or order shall not have been finally terminated or so long as the period within which such proceedings may be initiated shall not have expired; any deposit or pledge with any surety company or clerk of any court, or in escrow, as collateral in connection with, or in lieu of, any bond on appeal from any judgment or decree against the Company or any Subsidiary, or in connection with other proceedings or actions at law or in equity by or against the Company or any Subsidiary;
(9) Liens, charges and encumbrances incidental to construction, to the conduct of business or the ownership of property of the Company or any Subsidiary which were not incurred in connection with the borrowing of money or the obtaining of advance or credits or the acquisition of property and do not in the aggregate materially impair the use of any Principal Property for the purposes for which it is held or which are being contested in good faith by the Company or such Subsidiary;
(10) Liens to secure intercompany Indebtedness of the Company or any of its Subsidiaries to the Company or any of its Subsidiaries;
(11) Liens to secure the performance of bids, trade contracts, leases, statutory obligations, insurance, surety or appeal bonds, workers compensation obligations, performance bonds or other obligations of a like nature incurred in the ordinary course of business (including Liens to secure letters of credit and reimbursement obligations with respect thereto issued to assure payment of such obligations);
(12) bankers liens and rights of setoff arising by operation of law and contractual rights of setoff;
(13) zoning restrictions, easements, rights-of-way, restrictions on use of real property and other similar encumbrances incurred in the ordinary course of business which, in the aggregate, are not substantial in amount and do not materially detract from the value of the property subject thereto or interfere with the ordinary conduct of the business of the Company or any of its Subsidiaries;
(14) Liens created for the benefit of (or to secure) such series of debt securities (or the related Subsidiary Guarantees);
(15) Liens in favor of the trustee granted in accordance with the indenture;
(16) Liens for taxes, assessments or governmental charges or claims that are not yet delinquent or that are being contested in good faith by appropriate proceedings promptly instituted and diligently concluded, provided that any reserve or other appropriate provision as is required in conformity with GAAP has been made therefor; and
(17) other Liens, in addition to those permitted in clauses (1) through (16) above, securing Indebtedness having an aggregate principal amount (including all Indebtedness incurred pursuant to clause (5) above to renew, refund, refinance, replace, defease or discharge any Indebtedness incurred pursuant to this clause (17)), measured as of the date of the incurrence of any such Indebtedness (giving pro forma effect to the application of the proceeds therefrom and any transaction in connection with which such Indebtedness is being incurred), taken together with the amount of all Attributable Debt of the Company and its Subsidiaries at that time outstanding relating to Sale and Leaseback Transactions permitted under the covenant described below under the caption Limitation on Sale and Leaseback Transactions, not to exceed the greater of (a) 15% of the Companys Consolidated Net Tangible Assets measured as of the date of the incurrence of any such Indebtedness (giving pro forma effect to the application of the proceeds therefrom and any transaction in connection with which such Indebtedness is being incurred) or (b) $1.5 billion.
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For purposes of clause (17) of this definition of Permitted Liens, (a) with respect to any revolving credit facility secured by a Lien, the full amount of Indebtedness that may be borrowed thereunder will be deemed to be incurred at the time any revolving credit commitment thereunder is first extended or increased and will not be deemed to be incurred when such revolving credit facility is drawn upon and (b) if a Lien of the Company or any of its Wholly Owned Domestic Subsidiaries is granted to secure Indebtedness that was previously unsecured, such Indebtedness will be deemed to be incurred as of the date such Indebtedness is secured.
Limitation on Sale and Leaseback Transactions
Except as otherwise specified in the applicable prospectus supplement, the Company will not, and will not permit any of its Wholly Owned Domestic Subsidiaries to, enter into any arrangement with any other Person pursuant to which the Company or any of its Wholly Owned Domestic Subsidiaries leases any Principal Property that has been or is to be sold or transferred by the Company or such Wholly Owned Domestic Subsidiary to such other Person (a Sale and Leaseback Transaction ), except that a Sale and Leaseback Transaction is permitted if the Company or such Wholly Owned Domestic Subsidiary would be entitled to incur Indebtedness secured by a Lien on the property to be leased (without equally and ratably securing the debt securities) in an aggregate principal amount equal to the Attributable Debt with respect to such Sale and Leaseback Transaction.
In addition, the following Sale and Leaseback Transactions are not subject to the limitation above and the provisions described in Limitation on Liens above:
(1) temporary leases for a term, including renewals at the option of the lessee, of not more than three years;
(2) leases between only the Company and a Subsidiary of the Company or only between Subsidiaries of the Company;
(3) leases where the proceeds from the sale of the subject property are at least equal to the fair market value (as determined in good faith by the Company) of the subject property and the Company applies an amount equal to the net proceeds of the sale to the retirement of long-term Indebtedness or to the purchase of other property or equipment used or useful in its business, within 365 days of the effective date of such sale; provided that in lieu of applying such amount to the retirement of long-term Indebtedness, the Company may deliver debt securities to the applicable trustee for cancellation, such debt securities to be credited at the cost thereof to the Company; and
(4) leases of property executed by the time of, or within 365 days after the latest of, the acquisition, the completion of construction or improvement, or the commencement of commercial operation, of the subject property.
Future Subsidiary Guarantees
Unless otherwise specified in the applicable prospectus supplement, the Companys payment obligations under the debt securities will be jointly and severally guaranteed by all of the Companys existing and future Domestic Subsidiaries that guarantee any other Indebtedness of the Company. The indenture will provide that if the Company or any of its Subsidiaries acquires or creates a Domestic Subsidiary after the Issue Date, and such Domestic Subsidiary guarantees any other Indebtedness of the Company, then such Domestic Subsidiary will become a Guarantor and will execute a supplemental indenture and deliver an opinion of counsel satisfactory to the trustee within thirty (30) business days of the date on which it was acquired or created. The Subsidiary Guarantee of each Guarantor will rank pari passu in right of payment with all senior Indebtedness of such Guarantor, which would include the guarantees of amounts borrowed under the Companys existing senior credit facility. The obligations of each Guarantor under its Subsidiary Guarantee will be limited so as not to constitute a fraudulent conveyance under applicable law.
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Unless otherwise specified in the applicable prospectus supplement, the indenture will provide that no Guarantor may consolidate with or merge with or into (whether or not such Guarantor is the surviving Person) another Person (except the Company or another Guarantor) unless:
(1) subject to the provisions of the following paragraph, the Person formed by or surviving any such consolidation or merger (if other than such Guarantor) assumes all the obligations of such Guarantor pursuant to a supplemental indenture in form and substance reasonably satisfactory to the trustee, under the debt securities and the indenture; and
(2) immediately after giving effect to such transaction, no Default or Event of Default exists.
The indenture will provide that in the event of a sale or other disposition of all of the assets of any Guarantor, by way of merger, consolidation or otherwise, or a sale or other disposition of stock of any Guarantor such that the Guarantor is no longer a Subsidiary of the Company, then such Guarantor (in the event of a sale or other disposition, by way of such a merger, consolidation or otherwise) or the corporation acquiring the property (in the event of a sale or other disposition of all of the assets of such Guarantor) will be automatically and unconditionally released and relieved of any obligations under its Subsidiary Guarantee, without any actions required on the part of the Guarantor or trustee.
The foregoing notwithstanding, a Guarantor will be automatically and unconditionally released and discharged from all of its obligations under the indenture and its Subsidiary Guarantee upon defeasance or if such Guarantor is released from its guarantees of all other Indebtedness of the Company, without any actions required on the part of the Guarantor or trustee.
Transfer and Exchange
Unless otherwise stated in the applicable prospectus supplement, each senior unsecured note will be represented by either one or more global securities registered in the name of The Depository Trust Company ( DTC ), as depositary, or a nominee, or a certificate issued in definitive registered form as set forth in the applicable prospectus supplement. Except as set forth under the subheading Global Debt Securities and Book-Entry System below, book-entry debt securities will not be issuable in certificated form.
Certificated Debt Securities . You may transfer or exchange certificated debt securities at any office we maintain for this purpose in accordance with the terms of the indenture. No service charge will be made for any transfer or exchange of certificated debt securities, but we may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection with a transfer or exchange.
You may effect the transfer of certificated debt securities and the right to receive the principal of, premium, if any, and interest, if any, on certificated debt securities only by surrendering the certificate representing those certificated debt securities and either reissuance by us or the trustee of the certificate to the new holder or the issuance by us or the trustee of a new certificate to the new holder.
Global Debt Securities and Book-Entry System . Each global debt security representing book-entry debt securities will be deposited with, or on behalf of, the depositary, and registered in the name of the depositary or a nominee of the depositary.
We anticipate that the depositary will follow the following procedures with respect to book-entry debt securities.
Ownership of beneficial interests in book-entry debt securities will be limited to persons that have accounts with the depositary for the related global debt security, which we refer to as participants, or persons that may hold interests through participants. Upon the issuance of a global debt security, the depositary will credit, on its book-entry registration and transfer system, the participants accounts with the respective principal amounts of the book-entry debt securities represented by such global debt security beneficially owned by such participants. The accounts to be credited will be designated by any dealers, underwriters or agents participating in the distribution of the
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book-entry debt securities. Ownership of book-entry debt securities will be shown on, and the transfer of such ownership interests will be effected only through, records maintained by the depositary for the related global debt security (with respect to interests of participants) and on the records of participants (with respect to interests of persons holding through participants). The laws of some states may require that certain purchasers of securities take physical delivery of such securities in definitive form. These laws may impair the ability to own, transfer or pledge beneficial interests in book-entry debt securities.
So long as the depositary for a global debt security, or its nominee, is the registered owner of that global debt security, the depositary or its nominee, as the case may be, will be considered the sole owner or holder of the book-entry debt securities represented by such global debt security for all purposes under the indenture. Except as described below, beneficial owners of book-entry debt securities will not be entitled to have securities registered in their names, will not receive or be entitled to receive physical delivery of a certificate in definitive form representing securities and will not be considered the owners or holders of those securities under the indenture. Accordingly, each person beneficially owning book-entry debt securities must rely on the procedures of the depositary for the related global debt security and, if such person is not a participant, on the procedures of the participant through which such person owns its interest, to exercise any rights of a holder under the indenture.
We understand, however, that under existing industry practice, the depositary will authorize the persons on whose behalf it holds a global debt security to exercise certain rights of holders of debt securities, and the indenture provides that we, the trustee and our respective agents will treat as the holder of a debt security the persons specified in a written statement of the depositary with respect to that global debt security for purposes of obtaining any consents, declarations, waivers or directions required to be given by holders of the debt securities pursuant to the indenture.
We will make payments of principal of, premium, if any, and interest, if any, on book-entry debt securities to the depositary or its nominee, as the case may be, as the registered holder of the related global debt security. We, the trustee and any other agent of ours or agent of the trustee will not have any responsibility or liability for any aspect of the records relating to or payments made on account of beneficial ownership interests in a global debt security or for maintaining, supervising or reviewing any records relating to beneficial ownership interests.
We expect that the depositary, upon receipt of any payment of principal of, premium, if any, or interest, if any, on a global debt security, will immediately credit participants accounts with payments in amounts proportionate to the respective amounts of book-entry debt securities held by each participant as shown on the records of such depositary. We also expect that payments by participants to owners of beneficial interests in book-entry debt securities held through those participants will be governed by standing customer instructions and customary practices, as is now the case with the securities held for the accounts of customers in bearer form or registered in street name, and will be the responsibility of those participants.
We will issue certificated debt securities in exchange for each global debt security if the depositary is at any time unwilling or unable to continue as depositary or ceases to be a clearing agency registered under the Exchange Act, and a successor depositary registered as a clearing agency under the Exchange Act is not appointed by us within 90 days. In addition, we may at any time and in our sole discretion determine not to have the book-entry debt securities of any series represented by one or more global debt securities and, in that event, will issue certificated debt securities in exchange for the global debt securities of that series. Global debt securities will also be exchangeable by the holders for certificated debt securities if an Event of Default with respect to the book-entry debt securities represented by those global debt securities has occurred and is continuing. Any certificated debt securities issued in exchange for a global debt security will be registered in such name or names as the depositary shall instruct the trustee. We expect that such instructions will be based upon directions received by the depositary from participants with respect to ownership of book-entry debt securities relating to such global debt security.
We have obtained the foregoing information concerning the depositary and the depositarys book-entry system from sources we believe to be reliable, but we take no responsibility for the accuracy of this information.
Euroclear and Clearstream . If the depositary for a global debt security is DTC, you may hold interests in the global debt security through Clearstream Banking, société anonyme, which we refer to as Clearstream, or Euroclear Bank SA/ NV, as operator of the Euroclear System, which we refer to as Euroclear, in each case, as a
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participant in DTC. Euroclear and Clearstream will hold interests, in each case, on behalf of their participants through customers securities accounts in the names of Euroclear and Clearstream on the books of their respective depositaries, which in turn will hold such interests in customers securities in the depositaries names on DTCs books.
Payments, deliveries, transfers, exchanges, notices and other matters relating to the debt securities made through Euroclear or Clearstream must comply with the rules and procedures of those systems. Those systems could change their rules and procedures at any time. We have no control over those systems or their participants, and we take no responsibility for their activities. Transactions between participants in Euroclear or Clearstream, on one hand, and other participants in DTC, on the other hand, would also be subject to DTCs rules and procedures.
Investors will be able to make and receive through Euroclear and Clearstream payments, deliveries, transfers, exchanges, notices and other transactions involving any securities held through those systems only on days when those systems are open for business. Those systems may not be open for business on days when banks, brokers and other institutions are open for business in the United States.
In addition, because of time-zone differences, U.S. investors who hold their interests in the debt securities through these systems and wish on a particular day, to transfer their interests, or to receive or make a payment or delivery or exercise any other right with respect to their interests, may find that the transaction will not be effected until the next business day in Luxembourg or Brussels, as applicable. Thus, investors who wish to exercise rights that expire on a particular day may need to act before the expiration date. In addition, investors who hold their interests through both DTC and Euroclear or Clearstream may need to make special arrangements to finance any purchase or sales of their interests between the U.S. and European clearing systems, and those transactions may settle later than transactions within one clearing system.
We have obtained the foregoing information concerning Euroclear and Clearstream from sources we believe to be reliable, but we take no responsibility for the accuracy of this information.
Discharge, Defeasance and Covenant Defeasance
Legal Defeasance . The indenture provides that, unless otherwise provided by the terms of the applicable series of debt securities and as described in the applicable supplement, we may be discharged from any and all obligations in respect of the debt securities of any series (except for certain obligations to register the transfer or exchange of debt securities of such series, to replace stolen, lost or mutilated debt securities of such series, and to maintain paying agencies and certain provisions relating to the treatment of funds held by paying agents). We will be so discharged upon the deposit with the trustee, in trust, of cash or immediately available funds in U.S. dollars or the foreign currency in which such debt securities may be denominated, U.S. government obligations or foreign government obligations, or a combination thereof, in such amounts as will be sufficient in the opinion of a nationally recognized investment bank, appraisal firm or firm of independent public accountants to pay and discharge each installment of principal, premium, if any, and interest, if any, on and any mandatory sinking fund payments in respect of the debt securities of that series on the stated maturity or applicable redemption date of those payments in accordance with the terms of the indenture and those debt securities.
This discharge may occur only if, among other things, we have delivered to the trustee an opinion of counsel stating that we have received from, or there has been published by, the United States Internal Revenue Service a ruling or, since the date of the indenture, there has been a change in the applicable United States federal income tax law, in either case to the effect that, and based thereon such opinion shall confirm that, the holders of the debt securities of that series will not recognize income, gain or loss for United States federal income tax purposes as a result of the deposit, defeasance and discharge and will be subject to United States federal income tax on the same amounts and in the same manner and at the same times as would have been the case if the deposit, defeasance and discharge had not occurred.
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Defeasance of Certain Covenants . The indenture provides that, unless otherwise provided by the terms of the applicable series of debt securities and as described in the applicable supplement, upon compliance with certain conditions:
| We may omit to comply with the covenants described under the headings Guarantees, Merger, Consolidation or Sale of Assets, Certain Covenants Limitation on Liens, Certain Covenants Limitation on Sale and Leaseback Transactions, Certain Covenants Future Subsidiary Guarantees and certain other covenants set forth in the indenture, as well as any additional covenants which may be set forth in the applicable prospectus supplement; and |
| Any omission to comply with those covenants will not constitute a default or an Event of Default with respect to the debt securities of that series. |
The conditions include:
| Depositing with the trustee cash or immediately available funds in U.S. dollars or the foreign currency in which such debt securities may be denominated, U.S. government obligations or foreign government obligations, or a combination thereof, in such amounts as will be sufficient in the opinion of a nationally recognized investment bank, appraisal firm or firm of independent public accountants to pay and discharge each installment of principal of, premium, if any, and interest, if any, on and any mandatory sinking fund payments in respect of the debt securities of that series on the stated maturity or applicable redemption date of those payments in accordance with the terms of the indenture and those debt securities; and |
| Delivering to the trustee an opinion of counsel to the effect that the holders of the debt securities of that series will not recognize income, gain or loss for United States federal income tax purposes as a result of the deposit and related covenant defeasance and will be subject to United States federal income tax on the same amounts and in the same manner and at the same times as would have been the case if the deposit and related covenant defeasance had not occurred. |
Covenant Defeasance and Events of Default . In the event we exercise our option to effect covenant defeasance with respect to any series of debt securities and the debt securities of that series are declared due and payable because of the occurrence of any Event of Default, the amount of money and/or U.S. government obligations or foreign government obligations on deposit with the trustee will be sufficient to pay amounts due on the debt securities of that series at the time of their stated maturity but may not be sufficient to pay amounts due on the debt securities of that series at the time of the acceleration resulting from the Event of Default. However, we shall remain liable for those payments.
Modification of the Indenture
The indenture provides that we and the trustee may enter into supplemental indentures without the consent of the holders of any series of debt securities to:
| Secure any series of debt securities and provide the terms and conditions for the release or substitution of the security; |
| Add additional guarantors; |
| Evidence the assumption by a successor Person of our obligations; |
| Add any additional Events of Default with respect to any series of debt securities; |
| Make any change that would provide any additional rights or benefits to the holders of any series of debt securities or that does not adversely affect the legal rights under the indenture of any such holder of any series of debt securities in any material respect; |
| Cure any ambiguity or correct any inconsistency or defect in the indenture; |
| Provide for uncertificated debt securities in addition to or in place of certificated debt securities; |
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| Add to, change or eliminate any of the provisions of the indenture with respect to any series in a manner that will become effective only when there is no outstanding senior unsecured note of such series which is entitled to the benefit of the provision as to which the modification would apply; |
| Provide for the issuance of and establish the form and terms and conditions of debt securities of any series; |
| Eliminate any conflict between the terms of the indenture and the Trust Indenture Act of 1939; |
| Evidence and provide for the acceptance of appointment by a successor trustee and add to or change any of the provisions of the indenture as is necessary for the administration of the trusts by more than one trustee; and |
| Conform any provision of the indenture, the securities of any series or any related guarantees or security documents to the description of such securities contained in the applicable prospectus, prospectus supplement or similar document with respect to the offering of the securities of such series to the extent that such description was intended to be a verbatim recitation of a provision in the indenture, such securities or any related guarantees or security documents. |
The indenture also provides that we and the trustee may, with the consent of the holders of at least a majority in principal amount of debt securities of a series then outstanding and affected, add any provisions to, or change in any manner, eliminate any of the provisions of the indenture with respect to such series or modify in any manner the rights of the holders of the debt securities of such series. We and the trustee may not, however, without the consent of the holder of each outstanding senior unsecured note affected thereby (with respect to any debt securities held by such non-consenting holder):
| Change the amount of debt securities of such series whose holders must consent to an amendment, supplement or waiver; |
| Reduce the rate of or extend the time for payment of interest (including default interest) on any senior unsecured note of such series; |
| Reduce the principal or change the fixed maturity of any senior unsecured note or reduce the amount of, or postpone the date fixed for, the payment of any sinking fund or analogous obligation with respect to any series of debt securities; |
| Reduce the principal amount of discount securities payable upon acceleration of maturity of such series; |
| Waive a default in the payment of the principal of or interest, if any, on any senior unsecured note of such series (except a rescission of acceleration of the debt securities of any series by the holders of at least a majority in principal amount of the then outstanding debt securities of that series and a waiver of the payment default that resulted from such acceleration); |
| Make the principal of or interest, if any, on any senior unsecured note of such series payable in a currency other than that stated in the senior unsecured note; |
| Make any change to certain provisions of the indenture relating to, among other things, the right of holders of debt securities of such series to receive payment of the principal of, premium, if any, and interest, if any, on those debt securities of such series and to institute suit for the enforcement of any such payment and to waivers or amendments; |
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| Waive a redemption payment with respect to any senior unsecured note of such series (other than with respect to any provision relating to covenants that require the Company to repurchase, at the option of the holders, a series of debt securities in connection with a change of control triggering event); or |
| Make any change in the foregoing amendment and waiver provisions with respect to such series. |
Except for certain specified provisions, the holders of at least a majority in principal amount of the outstanding debt securities of any series may on behalf of the holders of all debt securities of that series waive our compliance with provisions of the indenture. The holders of a majority in principal amount of the outstanding debt securities of any series may on behalf of the holders of all the debt securities of such series waive any past default under the indenture with respect to that series and its consequences, except a continuing default or Event of Default in the payment of the principal of, premium, if any, or interest, if any, on any senior unsecured note of that series or in respect of a covenant or provision which cannot be modified or amended without the consent of the holder of each outstanding senior unsecured note of the series affected; provided, however, that the holders of a majority in principal amount of the outstanding debt securities of any series may rescind an acceleration and its consequences, including any related payment default that resulted from the acceleration.
No Personal Liability of Directors, Officers, Employees and Stockholders
No director, officer, employee, incorporator or stockholder of the Company or any Subsidiary of the Company, as such, will have any liability for any obligations of the Company or any Subsidiary of the Company under the debt securities, the Subsidiary Guarantees or the indenture or for any claim based on, in respect of, or by reason of, such obligations or their creation. Each holder of debt securities by accepting a note waives and releases all such liability. The waiver and release are part of the consideration for issuance of the debt securities. Such waiver may not be effective to waive liabilities under the federal securities laws and it is the view of the SEC that such a waiver is against public policy.
Governing Law
The indenture, the Subsidiary Guarantees and the debt securities will be governed by, and construed in accordance with, the laws of the State of New York.
Concerning the Trustee
The indenture contains certain limitations on the rights of the trustee, should it become a creditor of the Company, to obtain payment of claims in certain cases, or to realize on certain property received in respect of any such claim as security or otherwise. The trustee will be permitted to engage in other transactions; however, if it acquires any conflicting interest it must eliminate such conflict within 90 days, apply to the SEC for permission to continue or resign, in each case to the extent required by law.
The holders of a majority in aggregate principal amount of the then outstanding debt securities will have the right to direct the time, method and place of conducting any proceeding for exercising any remedy available to the trustee, subject to certain exceptions. The indenture provides that if an Event of Default occurs and is continuing, the trustee will be required, in the exercise of its power, to use the degree of care and skill of a prudent person in the conduct of such persons affairs. Subject to such provisions, the trustee will be under no obligation to exercise any of its rights or powers under the indenture at the request or direction of any holder of debt securities, unless such holder offers the trustee security and indemnity satisfactory to it against any loss, liability or expense. We and our subsidiaries from time to time maintain ordinary banking relationships and credit facilities with The Bank of New York Mellon Corporation and its affiliates.
Certain Defined Terms
Unless otherwise specified in the applicable prospectus supplement, set forth below are certain defined terms used in the indenture. Reference is made to the indenture and the applicable prospectus supplement for a full disclosure of all such terms, as well as any other capitalized terms used herein for which no definition is provided.
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Attributable Debt in respect of a Sale and Leaseback Transaction means, at any time of determination, the present value at that time of the obligation of the lessee for net rental payments (excluding any amounts required to be paid on account of maintenance and repairs, insurance taxes, assessments, water rates and similar charges) during the remaining term of the lease included in such Sale and Leaseback Transaction including any period for which such lease has been extended. Such present value will be calculated using a discount rate equal to the rate of interest implicit in such transaction, determined in accordance with GAAP.
Consolidated Net Tangible Assets of any Person as of any date means the total assets of such Person and its Subsidiaries as of the most recent fiscal quarter end for which a consolidated balance sheet of such Person and its Subsidiaries is available as of that date, minus all current liabilities (excluding any Indebtedness which, at the option of the borrower, is renewable or extendable to a term exceeding 365 days and which is included in current liabilities and further excluding any deferred income taxes that are included in current liabilities) of such Person and its Subsidiaries reflected on such balance sheet and minus total goodwill and other intangible assets of such Person and its Subsidiaries reflected on such balance sheet, all calculated on a consolidated basis in accordance with GAAP.
Default means any event that is, or with the passage of time or the giving of notice or both would be, an Event of Default.
Domestic Subsidiary means a Subsidiary of the Company (other than an Immaterial Subsidiary) that is organized or existing under the laws of the United States, any state thereof, the District of Columbia or any territory thereof.
Exchange Act means the Securities Exchange Act of 1934, as amended.
GAAP and generally accepted accounting principles means generally accepted accounting principles in effect as of the time when and for the period as to which such accounting principles are to be applied; provided that any obligations of the Company or any of its Subsidiaries (a) that were not or would not have been reflected on the consolidated balance sheet of the Company as capital lease obligations on the date hereof and (b) that are subsequently characterized or recharacterized as capital lease obligations due to a change in accounting treatment or otherwise after the date hereof, may, in the Companys sole discretion, be deemed not to be treated as a capital lease obligation or Indebtedness;
Guarantors means each Domestic Subsidiary of the Company that executes a Subsidiary Guarantee in accordance with the terms of the indenture, and their respective successors and assigns, provided, that upon the release and discharge of such Person from its guarantee in accordance with the Indenture, such Person shall cease to be a Guarantor.
Immaterial Subsidiary means, as of any date, any Subsidiary whose total assets, as of that date, are less than $20.0 million and whose total revenues for the most recent 12-month period do not exceed $20.0 million.
Indebtedness means, with respect to any Person, obligations of such Person for borrowed money (including, without limitation, indebtedness for borrowed money evidenced by notes, bonds, debentures or similar instruments). For the avoidance of doubt, bankers acceptances and obligations of a Person under currency exchange or interest rate swap agreements (or other agreements or arrangements designed to protect such Person against fluctuations in currency exchange rates or interest rates) are not Indebtedness.
Issue Date means, with respect to each series of debt securities, the date such series of debt securities are issued.
Lien means any mortgage, lien, pledge, charge, security interest or other encumbrance of any kind, whether or not filed, recorded or otherwise perfected under applicable law, including any conditional sale or other title retention agreement, any lease in the nature thereof, any option or other agreement to sell or give a security interest in and any filing of or agreement to give any financing statement under the Uniform Commercial Code (or equivalent statute) of any jurisdiction.
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Person means any individual, corporation, partnership, joint venture, association, limited liability company, joint-stock company, trust, unincorporated organization or other entity, government or any agency or political subdivision thereof.
Principal Property means any building, structure or other facility located within the United States (other than its territories and possessions) and owned by the Company or any Wholly Owned Domestic Subsidiary, the book value of which is not less than 1.0% of the Companys Consolidated Net Tangible Assets. For purposes of this definition, book value will be measured at the time the relevant Lien is being created or, in the case of any Lien incurred pursuant to clause (17) of the definition of Permitted Liens, at the time the relevant secured Indebtedness is deemed to be incurred.
The term Principal Property , as defined above, will not include any of the assets of our Subsidiaries that are not Wholly Owned Domestic Subsidiaries, and will also not include many of our domestic buildings, structures and other facilities, since many of those buildings, structures and facilities do not meet the minimum book value threshold specified in the definition.
SEC means the Securities and Exchange Commission or any successor agency.
Securities Act means the Securities Act of 1933, as amended.
Significant Subsidiary means any Subsidiary which is a significant subsidiary within the meaning of Rule 405 under the Securities Act.
Stated Maturity means, with respect to any installment of interest or principal on any series of Indebtedness, the date on which the payment of interest or principal was scheduled to be paid in the documentation governing such Indebtedness, and will not include any contingent obligations to repay, redeem or repurchase any such interest or principal prior to the date originally scheduled for the payment thereof.
Subsidiary means, with respect to any Person: (1) any corporation, association or other business entity of which more than 50% of the total voting power of shares of capital stock entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof is at the time owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of that Person (or a combination thereof); and (2) any partnership (A) the sole general partner or the managing general partner of which is such Person or a Subsidiary of such Person or (B) the only general partners of which are such Person or of one or more Subsidiaries of such Person (or any combination thereof).
Wholly Owned Domestic Subsidiary means, with respect to any Person, any Domestic Subsidiary of such Person, the capital stock of which is 100% owned and controlled, directly or indirectly through one or more other Wholly Owned Domestic Subsidiaries, by such Person.
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We may sell the securities offered pursuant to this prospectus in any of the following ways:
| directly to one or more purchasers; |
| through agents; |
| through underwriters, brokers or dealers; or |
| through a combination of any of these methods of sale. |
We will identify the specific plan of distribution, including any underwriters, brokers, dealers, agents or direct purchasers and their compensation in a prospectus supplement.
The validity of the debt securities offered by this prospectus and any prospectus supplement will be passed upon for us by Simpson Thacher & Bartlett LLP, New York, New York. Counsel for any underwriters, agents or dealers will be named in the applicable prospectus supplement.
The financial statements and managements assessment of the effectiveness of internal control over financial reporting (which is included in Managements Report on Internal Control over Financial Reporting) incorporated in this Prospectus by reference to the Annual Report on Form 10-K for the year ended December 31, 2015 have been so incorporated in reliance on the report of PricewaterhouseCoopers LLP, an independent registered public accounting firm, given on the authority of said firm as experts in auditing and accounting.
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PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
Item 14. | Other Expenses of Issuance and Distribution |
The following table sets forth the costs and expenses payable by us in connection with the sale and distribution of the securities being registered.
SEC Registration Fee |
* | |||
Rating Agency Fees |
* | |||
Accounting Fees and Expenses |
* | |||
Legal Fees and Expenses |
* | |||
Printing Expenses |
* | |||
Trustees Fees and Expenses |
* | |||
Blue Sky Fees and Expenses |
* | |||
Miscellaneous |
* | |||
Total |
* |
* | All fees and expenses are calculated based on the number of issuances and amount of securities offered and, accordingly, cannot be estimated at this time. The registration fee will be calculated in accordance with Rule 457(r) under the Securities Act of 1933, as amended. |
Item 15. | Indemnification of Directors and Officers |
DELAWARE
Delaware Corporations
L-3 Communications Corporation, L-3 Advanced Programs, Inc., L-3 Applied Technologies, Inc., L-3 Communications AIS GP Corporation, L-3 Communications Avionics Systems, Inc., L-3 Communications Electron Technologies, Inc., L-3 Communications ESSCO, Inc., L-3 Communications Foreign Holdings, Inc., L-3 Communications Investments Inc., L-3 Communications Security and Detection Systems, Inc., L-3 Domestic Holdings, Inc., L-3 Fuzing and Ordnance Systems, Inc., L-3 Unidyne, Inc., Pac Ord Inc., Power Paragon, Inc., SPD Electrical Systems, Inc. and SPD Switchgear, Inc. are Delaware corporations.
Section 145 of the General Corporation Law of the State of Delaware (DGCL) grants each corporation organized thereunder the power to indemnify any person who is or was a director, officer, employee or agent of a corporation, or who is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against expenses, including attorneys fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by the person in connection with any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, other than an action by or in the right of the corporation, by reason of being or having been in any such capacity, if the person acted in good faith in a manner reasonably believed to be in or not opposed to the best interests of the corporation, and, with respect to any criminal action or proceeding, had no reasonable cause to believe the persons conduct was unlawful. Section 102(b)(7) of the DGCL enables a corporation in its certificate of incorporation or an amendment thereto validly approved by stockholders to limit or eliminate the personal liability of the members of its board of directors for violations of the directors fiduciary duty of care.
The Certificate of Incorporation of each of the following entities provides that the corporation shall indemnify its directors and officers to the full extent possible under the DGCL: L-3 Communications Security and Detection Systems, Inc. and L-3 Fuzing and Ordnance Systems, Inc.
The Bylaws of each of the following entities provide that the corporation shall indemnify its directors and officers to the full extent possible under the DGCL: L-3 Communications Corporation, L-3 Advanced Programs, Inc., L-3 Applied Technologies, Inc., L-3 Communications AIS GP Corporation, L-3 Communications Avionics Systems, Inc., L-3 Communications Electron Technologies, Inc., L-3 Communications ESSCO, Inc.,
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L-3 Communications and Foreign Holdings, Inc., L-3 Communications Investments Inc., L-3 Communications Security and Detection Systems, Inc., L-3 Domestic Holdings, Inc., L-3 Unidyne, Inc., Pac Ord Inc., Power Paragon, Inc., SPD Electrical Systems, Inc. and SPD Switchgear, Inc.
The Certificate of Incorporation of each of the following entities provides that no director shall be personally liable to the corporation or its stockholders for monetary damages for breach of fiduciary duty as a director, except as otherwise provided by the DGCL: L-3 Communications Corporation, L-3 Advanced Programs, Inc., L-3 Applied Technologies, Inc., L-3 Communications ESSCO, Inc., L-3 Communications Foreign Holdings, Inc., L-3 Communications Security and Detection Systems, Inc., L-3 Domestic Holdings, Inc., L-3 Unidyne, Inc., Pac Ord Inc., Power Paragon, Inc., SPD Electrical Systems, Inc. and SPD Switchgear, Inc.
Delaware Limited Liability Companies
L-3 Communications Flight Capital LLC, L-3 Communications Flight International Aviation LLC, L-3 Communications Vector International Aviation LLC and L-3 Communications Vertex Aerospace LLC are Delaware limited liability companies.
Section 18-108 of the Delaware Limited Liability Company Act (DE LLCA) empowers a Delaware limited liability company to indemnify and hold harmless any member or manager of a limited liability company or other person from and against any and all claims and demands whatsoever, subject to such standards and restrictions, if any, as are set forth in the entitys limited liability company agreement. However, to the extent that the limited liability company agreement seeks to restrict or limit the liabilities of such person, Section 18-1101 of the DE LLCA prohibits it from limiting or eliminating liability for any act or omission that constitutes a bad faith violation of the implied contractual covenant of good faith and fair dealing.
The Limited Liability Company Agreement of each of the following entities provides that the corporation shall indemnify its directors and officers to the full extent possible under the DE LLCA: L-3 Communications Flight Capital LLC, L-3 Communications Flight International Aviation LLC, L-3 Communications Vector International Aviation LLC and L-3 Communications Vertex Aerospace LLC.
The Limited Liability Company Agreement of each of the following entities provides that a member shall not have any liability for the obligations or liabilities of the company except to the extent provided in the DE LLCA: L-3 Communications Flight Capital LLC, L-3 Communications Flight International Aviation LLC, L-3 Communications Vector International Aviation LLC and L-3 Communications Vertex Aerospace LLC.
Delaware Limited Partnerships
L-3 Communications Integrated Systems L.P. is a Delaware limited partnership.
Section 17-108 of the Delaware Revised Uniform Limited Partnership Act (DE RULPA) provides that, subject to such standards and restrictions, if any, as are set forth in its partnership agreement, a limited partnership may, and shall have the power to, indemnify and hold harmless any partner or other person from and against any and all claims and demands whatsoever. However, to the extent that the partnership agreement seeks to restrict or limit the liabilities of such person, Section 17-1101 of the DE RULPA prohibits it from limiting or eliminating liability for any act or omission that constitutes a bad faith violation of the implied contractual covenant of good faith and fair dealing.
ARIZONA
Electrodynamics, Inc. is an Arizona corporation.
Section 10-851 of the Arizona Revised Statutes (ARS) authorizes a corporation to indemnify a director made a party to a proceeding in such capacity, provided that (1) the individuals conduct was in good faith; and (2) the individual reasonably believed that (a) in the case of conduct in an official capacity with the corporation, the conduct was in the best interests of the corporation; and (b) in all other cases, the conduct was at least not opposed to
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the corporations best interests; and (3) in the case of any criminal proceedings, the individual had no reasonable cause to believe the conduct was unlawful. Indemnification permitted in connection with a proceeding by or in the right of the corporation is limited to reasonable expenses incurred in connection with the proceeding. Additionally, a corporation may not indemnify a director in connection with a proceeding by or in the right of the corporation in which the director was adjudged liable to the corporation or in connection with any other proceeding charging improper financial benefit to the director in which the director was adjudged liable on the basis that financial benefit was improperly received by the director.
Unless otherwise limited by its articles of incorporation, Section 10-854 of the ARS requires a corporation to indemnify (a) an outside director whose conduct was in good faith and, in the case of conduct in an official capacity with the corporation, who reasonably believed that the conduct was in the best interests of the corporation and, in all other cases, who reasonably believed that the conduct was at least not opposed to its best interests, and, in the case of any criminal proceedings, the director had no reasonable cause to believe the conduct was unlawful and (b) a director who was the prevailing party, on the merits or otherwise, in the defense of any proceeding to which the director was a party because the director is or was a director of the corporation, against reasonable expenses incurred by the director in connection with the proceeding.
Section 10-856 of the ARS provides that a corporation may indemnify and advance expenses to an officer of the corporation who is a party to a proceeding because the individual is or was an officer of the corporation to the same extent as a director.
The Bylaws of Electrodynamics, Inc. provide that the corporation shall indemnify its directors and officers to the full extent possible under Section 10 of the ARS.
CALIFORNIA
Interstate Electronics Corporation and L-3 Communications MariPro, Inc. are California corporations.
Section 317 of the California Corporations Code provides that a corporation has the power to indemnify any person who was or is a party or is threatened to be made a party to any proceeding, other than an action by or on behalf of the corporation to obtain a judgment in its favor, because such person is or was an agent of the corporation, against expenses, judgments, fines, settlements and other amounts actually and reasonably incurred in connection with the proceeding, if the person acted in good faith and in a manner the person reasonably believed to be in the best interests of the corporation and, in the case of a criminal proceeding, had no reasonable cause to believe that the conduct was unlawful. In the case of actions by or on behalf of a corporation to obtain a judgment in its favor, a corporation has the power to indemnify any person who was or is a party or is threatened to be made a party to such proceeding because such person is or was the corporations agent, against expenses actually and reasonably incurred if the person acted in good faith in a manner the person believed to be in the best interests of the corporation and its shareholders, except that no such indemnification may be made for claims as to which the person shall have been adjudged to be liable to the corporation in the performance of that persons duty to the corporation and its shareholders, unless and then only to the extent a court determines otherwise.
The Articles of Incorporation of L-3 Communications MariPro, Inc. provide that the corporation shall indemnify its directors and officers to the full extent possible under the California Corporations Code.
The Bylaws of each of the following entities provide that the corporation shall indemnify its directors and officers to the full extent possible under the California Corporations Code: Interstate Electronics Corporation and L-3 Communications MariPro, Inc.
The Articles of Incorporation of each of the following entities provide that the liability of directors of the corporation for monetary damages shall be eliminated to the fullest extent permissible under California law: L-3 Communications MariPro, Inc.
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FLORIDA
L-3 Communications EO/IR, Inc. is a Florida corporation.
Section 607.0850(1) of the Florida Business Corporation Act (FBCA) empowers a corporation to indemnify any person who was or is a party to any proceeding (other than an action by, or in the right of, the corporation), by reason of the fact that he or she is or was a director, officer, employee, or agent of the corporation or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise against liability incurred in connection with such proceeding, including any appeal thereof, if he or she acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, the best interests of the corporation and, with respect to any criminal action or proceeding, had no reasonable cause to believe his or her conduct was unlawful. The termination of any proceeding by judgment, order, settlement or conviction or upon a plea of nolo contendere or its equivalent shall not, of itself, create a presumption that the person did not act in good faith and in a manner which he or she reasonably believed to be in, or not opposed to, the best interests of the corporation or, with respect to any criminal action or proceeding, had reasonable cause to believe that his or her conduct was unlawful.
Section 607.0850(2) of the FBCA empowers a corporation to indemnify any person, who was or is a party to any proceeding by or in the right of the corporation to procure a judgment in its favor by reason of the fact that the person is or was a director, officer, employee or agent of the corporation or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against expenses and amounts paid in settlement not exceeding, in the judgment of the board of directors, the estimated expense of litigating the proceeding to conclusion, actually and reasonably incurred in connection with the defense or settlement of such proceeding, including any appeal thereof. Such indemnification shall be authorized if such person acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, the best interests of the corporation, except that no indemnification shall be made under this subsection in respect of any claim, issue or matter as to which such person shall have been adjudged to be liable unless, and only to the extent that, the court in which such proceeding was brought, or any other court of competent jurisdiction, shall determine upon application that, despite the adjudication of liability but in view of all circumstances of the case, such person is fairly and reasonably entitled to indemnity for such expenses which such court shall deem proper.
The Articles of Incorporation of L-3 Communications EO/IR, Inc. provide that the corporation shall indemnify its directors and officers to the full extent possible under the laws of the State of Florida.
MARYLAND
L-3 Chesapeake Sciences Corporation is a Maryland corporation.
Under Section 2-418 of the Maryland General Corporation Law (MDGCL), a Maryland corporation may indemnify any director who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative by reason of the fact that he is a present or former director of the corporation and any person who, while a director of the corporation, is or was serving at the request of the corporation as a director, officer, partner, trustee, employee or agent of another corporation, partnership, joint venture, trust, limited liability company, other enterprise or employee benefit plan. Such indemnification may be against judgments, penalties, fines, settlements and reasonable expenses actually incurred by him in connection with the proceeding unless it is established that (a) the act or omission of the director was material to the matter giving rise to the proceeding and (i) was committed in bad faith; or (ii) was the result of active and deliberate dishonesty; or (b) the director actually received an improper personal benefit in money, property or services; or (c) in the case of any criminal proceeding, the director had reasonable cause to believe his act or omission was unlawful. However, the corporation may not indemnify any director in connection with a proceeding by or in the right of the corporation if the director has been adjudged to be liable to the corporation. A director who has been successful in the defense of any proceeding described above shall be indemnified against reasonable expenses incurred in connection with the proceeding. The corporation may not indemnify a director in respect of any proceeding charging improper personal benefit to the director in which the director was adjudged to be liable on the basis that personal benefit was improperly received. The corporation may not indemnify a director or advance expenses for a proceeding brought by the director against the corporation except if the proceeding is brought to enforce indemnification by the corporation or if the corporations charter or bylaws, a board resolution or an agreement approved by the board of directors of the corporation provides otherwise. Notwithstanding the above
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provisions, a court of appropriate jurisdiction, upon application of the director, may order indemnification if it determines that in view of all the relevant circumstances, the director is fairly and reasonably entitled to indemnification; however, indemnification with respect to any proceeding by or in the right of the corporation or in which liability was adjudged on the basis that personal benefit was improperly received shall be limited to expenses. A corporation may advance reasonable expenses to a director under certain circumstances, including a written undertaking by or on behalf of such director to repay the amount if it shall ultimately be determined that the standard of conduct necessary for indemnification by the corporation has not been met.
A corporation may indemnify and advance expenses to an officer of the corporation to the same extent that it may indemnify directors under Section 2-418 of the MDGCL.
The indemnification and advancement of expenses provided by the MDGCL are not exclusive of any other rights, by indemnification or otherwise, to which a director or officer may be entitled under the charter, bylaws, a resolution of shareholders or directors, an agreement or otherwise.
A corporation may purchase and maintain insurance on behalf of any person who is or was a director or officer, whether or not the corporation would have the power to indemnify a director or officer against liability under the provision of Section 2-418 of the MDGCL. Further, a corporation may provide similar protection, including a trust fund, letter of credit or surety bond, not inconsistent with the MDGCL.
The Articles of Incorporation of L-3 Chesapeake Sciences Corporation provide that the corporation shall indemnify its directors and officers to the full extent possible under the laws of the State of Maryland.
The Articles of Incorporation of L-3 Chesapeake Sciences Corporation provide that the liability of directors of the corporation for monetary damages shall be eliminated to the fullest extent permissible under the laws of the State of Maryland.
NEW JERSEY
L-3 Communications Mobile-Vision, Inc. is a New Jersey corporation.
Section 14A:3-5 of the New Jersey Business Corporation Act (NJBCA) empowers a corporation to indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative, arbitrative or investigative (other than an action by or in the right of the corporation) by reason of the fact that he is or was a corporate agent (i.e., a director, officer, employee or agent of the corporation or a director, officer, trustee, employee or agent of another corporation or enterprise serving as such at the request of the indemnifying corporation), against reasonable costs (including attorneys fees), judgments, fines, penalties and amounts paid in settlement incurred by such person in connection with such action, suit or proceeding if such person acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the corporation, and, with respect to any criminal proceeding, had no reasonable cause to believe that such conduct was unlawful. Section 14A:3-5 of the NJBCA also empowers a corporation to indemnify a corporate agent against reasonable costs (including attorneys fees) incurred by him in connection with any proceeding by or in the right of the corporation to procure a judgment in its favor which involves such corporate agent by reason of the fact that he is or was a corporate agent if he acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the corporation, except that no indemnification may be made in respect to any claim, issue or matter as to which such person shall have been adjudged to be liable to the corporation unless and only to the extent that the Superior Court of New Jersey or the court in which such action or suit was brought shall determine that despite the adjudication of liability, such person is fairly and reasonably entitled to indemnity for such expenses which the court shall deem proper.
To the extent that a corporate agent has been successful in the defense of any action, suit or proceeding referred to above, or in the defense of any claim, issue or matter therein, he shall be indemnified against expenses (including attorneys fees) incurred by him in connection therewith. Section 14A:3-5 further provides that indemnification provided for by Section 14A:3-5 shall not be deemed exclusive of any rights to which the indemnified party may be entitled. The NJBCA also empowers a corporation to purchase and maintain insurance on
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behalf of any corporate agent against any liability asserted against him or expenses incurred by him by reason of his being or having been a corporate agent whether or not the corporation would have the power to indemnify him against such liabilities and expenses under NJBCA Section 14A:3-5.
NEVADA
L-3 Communications Westwood Corporation is a Nevada corporation.
Section 78.7502 of the Nevada Revised Statutes (NRS) allow a company to indemnify its officers, directors, employees and agents from any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, except an action by or in the right of the corporation. Indemnification may only occur if a determination has been made that the officer, director, employee or agent acted in good faith and in a manner which such person reasonably believed to be in or not opposed to the best interests of the corporation and, with respect to any criminal action or proceeding, had no reasonable cause to believe the conduct was unlawful. Unless ordered by a court or expenses are advanced pursuant to Section 78.751(2) of the NRS, a determination of discretionary indemnification may be made by the shareholders; the board of directors by majority vote of a quorum consisting of directors who were not parties to the action, suit, or proceeding; by opinion of independent legal counsel if ordered by a majority vote of a quorum consisting of directors who were not parties to the action, suit or proceeding; or by opinion of independent legal counsel in the event a quorum of directors who were not a party to such action, suit, or proceeding does not exist.
The Articles of Incorporation and the Bylaws of L-3 Communications Westwood Corporation provide that the corporation shall indemnify its directors and officers to the full extent possible under the corporate laws of the State of Nevada.
The Bylaws of L-3 Communications Westwood Corporation provide that a director or officer shall have no personal or individual liability to the corporation or its stockholders for monetary damages for breach of fiduciary duty as a director or officer to the fullest extent permitted by law.
OHIO
L-3 Communications Cincinnati Electronics Corporation is an Ohio corporation.
Section 1701.13(E) of the Ohio Revised Code (ORC) gives a corporation incorporated under the laws of Ohio authority to indemnify or agree to indemnify its directors and officers against certain liabilities they may incur in such capacities in connection with any threatened, pending, or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, other than an action brought by or in the right of the corporation, provided that the director or officer acted in good faith and in a manner that the person reasonably believed to be in or not opposed to the best interests of the corporation and, with respect to any criminal action or proceeding, the person had no reasonable cause to believe his or her conduct was unlawful. In the case of an action or suit by or in the right of the corporation, the corporation may indemnify or agree to indemnify its directors and officers against certain liabilities they may incur in such capacities, provided that the director or officer acted in good faith and in a manner that the person reasonably believed to be in or not opposed to the best interests of the corporation, except that an indemnification shall not be made in respect of (a) any claim, issue or matter as to which the person is adjudged to be liable for negligence or misconduct in the performance of his or her duty to the corporation unless and only to the extent that the court of common pleas or the court in which the action or suit was brought determines, upon application, that, despite the adjudication of liability but in view of all the circumstances of the case, the person is fairly and reasonably entitled to indemnification for expenses that the court considers proper or (b) any action or suit in which the only liability asserted against a director is pursuant to Section 1701.95 of the ORC relating to unlawful loans, dividends and distribution of assets.
The Code of Regulations of L-3 Communications Cincinnati Electronics Corporation provides that the corporation shall indemnify its directors and officers to the full extent possible under the laws of the State of Ohio.
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TEXAS
L-3 Unmanned Systems, Inc. is a Texas corporation.
Section 8.101 of the Texas Business Organizations Code (TXBOC) authorizes a Texas corporation to indemnify a governing person, former governing person or delegate who was, is, or is threatened to be made a respondent in a proceeding, including any threatened, pending or completed action or other proceeding, whether civil, criminal, administrative, arbitrative or investigative. The TXBOC provides that indemnification is permitted only if it is determined in accordance with the TXBOC that the person (1) acted in good faith; (2) reasonably believed (a) in the case of conduct in the persons official capacity, that the persons conduct was in the corporations best interests; and (b) in any other case, that the persons conduct was not opposed to the corporations best interests; and (3) in the case of any criminal proceeding, did not have a reasonable cause to believe the persons conduct was unlawful. A governing person, former governing person or delegate may be indemnified under Section 8.101 of the TXBOC against judgments and expenses that are reasonably and actually incurred by the person (including court costs and reasonable attorneys fees), but if the person is found liable to the corporation or is found liable on the basis that the person improperly received a personal benefit, the indemnification is limited to reasonable expenses actually incurred and shall not be made in respect of any proceeding in which the person has been found liable for willful or intentional misconduct in the performance of the persons duty to the corporation. A corporation is obligated under Section 8.051 of the TXBOC to indemnify a governing person, former governing person or delegate against reasonable expenses actually incurred by the person in connection with a proceeding in which the person is a respondent because the person is or was a governing person or delegate if the person is wholly successful, on the merits or otherwise, in the defense of the proceeding. A corporation is obligated to indemnify an officer to the same extent required under the TXBOC for a governing person. Under Sections 8.105 and 8.151 of the TXBOC a corporation may (1) indemnify and advance expenses to a person who is not a governing person, including an officer, employee or agent, to the extent consistent with other law, as may be provided by the corporations articles of incorporation, bylaws, action of its board of directors, contract or common law and (2) purchase and maintain insurance or another arrangement on behalf of an existing or former governing person, delegate or such other person identified in (1) above against any liability asserted against and incurred by the person in that capacity or arising out of the persons status in that capacity.
The Articles of Incorporation and the Bylaws of L-3 Unmanned Systems, Inc. provide that the corporation shall indemnify its directors and officers to the full extent possible under the laws of the State of Texas.
The Articles of Incorporation of L-3 Unmanned Systems, Inc. provide that the liability of directors of the corporation for monetary damages shall be eliminated to the fullest extent permissible under the laws of the State of Texas.
LIABILITY INSURANCE
On behalf of itself and all of its subsidiary guarantors, the Company has directors and officers liability insurance policies, with coverage, in the aggregate, of up to $200 million, subject to various deductibles and exclusions from coverage.
Item 16. | Exhibits |
1.1* | Form of Underwriting Agreement. | |
4.1 | Indenture, dated as of May 21, 2010, among L-3 Communications, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 4.1 to L-3 Holdings and L-3 Communications Current Report on Form 8-K filed on May 24, 2010). | |
4.2 | Sixth Supplemental Indenture, dated as of June 21, 2016, among L-3 Communications, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as Trustee (filed herewith). | |
4.3* | Form of Supplemental Indenture. | |
4.4* | Form of Debt Securities (to be included in the Form of Supplemental Indenture to be filed as Exhibit 4.3). | |
5.1 | Opinion of Simpson Thacher & Bartlett LLP (filed herewith). | |
12.1 | Computation of ratios of earnings to fixed charges (filed herewith). |
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23.1 | Consent of Simpson Thacher & Bartlett LLP (included in Exhibit 5.1). | |
23.2 | Consent of PricewaterhouseCoopers LLP (filed herewith). | |
24.1 | Powers of Attorney (included on the signature pages to this registration statement). | |
25.1 | Statement of Eligibility of Trustee on Form T-1 under the Trust Indenture Act of 1939, as amended, for the Debt Securities (filed herewith). |
* | To be filed by amendment or as an exhibit to a document to be incorporated by reference herein in connection with an offering of the offered securities. |
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Item 17. | Undertakings |
Each of the undersigned registrants hereby undertakes:
(a)(1) To file, during any period in which offers or sales are being made, a post-effective amendment to this registration statement:
(i) To include any prospectus required by Section 10(a)(3) of the Securities Act;
(ii) To reflect in the prospectus any facts or events arising after the effective date of this registration statement (or the most recent post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in this registration statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end of the estimated maximum offering range may be reflected in the form of prospectus filed with the SEC pursuant to Rule 424(b) under the Securities Act if, in the aggregate, the changes in volume and price represent no more than a 20 percent change in the maximum aggregate offering price set forth in the Calculation of Registration Fee table in the effective registration statement; and
(iii) To include any material information with respect to the plan of distribution not previously disclosed in this registration statement or any material change to such information in this registration statement;
provided , however , that paragraphs (a)(1)(i), (a)(1)(ii) and (a)(1)(iii) shall not apply if the information required to be included in a post-effective amendment by those paragraphs is contained in reports filed with or furnished to the SEC by the registrant pursuant to Section 13 or Section 15(d) of the Exchange Act that are incorporated by reference in this registration statement, or is contained in a form of prospectus filed pursuant to Rule 424(b) that is part of this registration statement.
(2) That, for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.
(3) To remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering.
(4) That, for the purpose of determining liability under the Securities Act to any purchaser:
(i) Each prospectus filed by the registrant pursuant to Rule 424(b)(3) shall be deemed to be part of this registration statement as of the date the filed prospectus was deemed part of and included in this registration statement; and
(ii) Each prospectus required to be filed pursuant to Rule 424(b)(2), (b)(5), or (b)(7) as part of a registration statement in reliance on Rule 430B relating to an offering made pursuant to Rule 415(a)(1)(i), (vii), or (x) for the purpose of providing the information required by Section 10 (a) of the Securities Act shall be deemed to be part of and included in this registration statement as of the earlier of the date such form of prospectus is first used after effectiveness or the date of the first contract of sale of securities in the offering described in the prospectus. As provided in Rule 430B, for liability purposes of the issuer and any person that is at that date an underwriter, such date shall be deemed to be a new effective date of this registration statement relating to the securities in the registration statement to which that prospectus relates, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof. Provided , however , that no statement made in a registration statement or prospectus that is part of this registration statement or made in a document incorporated or deemed incorporated by reference into this registration statement or prospectus that is part of this registration statement will, as to a purchaser with a time of contract of sale prior to such effective date, supersede or modify any statement that was made in this registration statement or the prospectus that was part of this registration statement or made in any such document immediately prior to such effective date.
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(5) That, for the purpose of determining liability of the registrant under the Securities Act to any purchaser in the initial distribution of the securities, in a primary offering of securities of the undersigned registrant pursuant to this registration statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are offered or sold to such purchaser by means of any of the following communications, the undersigned registrant will be a seller to the purchaser and will be considered to offer or sell such securities to such purchaser:
(i) Any preliminary prospectus or prospectus of the undersigned registrant relating to the offering required to be filed pursuant to Rule 424;
(ii) Any free writing prospectus relating to the offering prepared by or on behalf of the undersigned registrant or used or referred to by the undersigned registrant;
(iii) The portion of any other free writing prospectus relating to the offering containing material information about the undersigned registrant or its securities provided by or on behalf of the undersigned registrant; and
(iv) Any other communication that is an offer in the offering made by the undersigned registrant to the purchaser.
(b) That, for purposes of determining any liability under the Securities Act, each filing of such registrants annual report pursuant to Section 13(a) or Section 15(d) of the Exchange Act (and, where applicable, each filing of an employee benefit plans annual report pursuant to Section 15(d) of the Exchange Act) that is incorporated by reference in this registration statement shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.
(c) Insofar as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons of the registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the SEC such indemnification is against public policy as expressed in the Securities Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the registrant of expenses incurred or paid by a director, officer or controlling person of the registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Securities Act and will be governed by the final adjudication of such issue.
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SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, each of the registrants certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form S-3 and has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of New York, State of New York, on the 21st day of June, 2016.
L-3 COMMUNICATIONS CORPORATION | ||
By: | /s/ Steven M. Post |
Name: | Steven M. Post | |
Title: | Senior Vice President, General Counsel and Corporate Secretary |
SIGNATURES AND POWERS OF ATTORNEY
Each person whose signature appears below hereby authorizes each of Michael T. Strianese, Ralph G. DAmbrosio and Steven M. Post, each with full power of substitution, to execute in the name and on behalf of such person any amendment or any post-effective amendment to this registration statement and any subsequent registration statement filed pursuant to Rule 462 under the Securities Act of 1933 and to file the same, with exhibits thereto, and other documents in connection therewith, making such changes in this registration statement and any such subsequent registration statement as L-3 deems appropriate, and appoints each of Michael T. Strianese, Ralph G. DAmbrosio and Steven M. Post, each with full power of substitution, attorney-in-fact to sign any amendment and any post-effective amendment to this registration statement and any such subsequent registration statement and to file same, with exhibits thereto, and other documents in connection therewith.
Pursuant to the requirements of the Securities Act of 1933, as amended, this registration statement has been signed by the following persons in the capacities indicated on June 21, 2016.
Signature |
Title |
|
/s/ Michael T. Strianese |
Chairman and Chief Executive Officer (Principal Executive Officer) and Director |
|
Michael T. Strianese | ||
/s/ Ralph G. DAmbrosio |
Senior Vice President and Chief Financial Officer (Principal Financial Officer) |
|
Ralph G. DAmbrosio | ||
/s/ Dan Azmon |
Vice President, Controller and Principal Accounting Officer | |
Dan Azmon | ||
/s/ Claude R. Canizares |
Director | |
Claude R. Canizares | ||
/s/ Thomas A. Corcoran |
Director | |
Thomas A. Corcoran | ||
/s/ Ann E. Dunwoody |
Director | |
Ann E. Dunwoody | ||
/s/ Lewis Kramer |
Director | |
Lewis Kramer | ||
/s/ Robert B. Millard |
Director | |
Robert B. Millard |
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/s/ Lloyd W. Newton |
Director | |
Lloyd W. Newton | ||
/s/ Vincent Pagano Jr. |
Director | |
Vincent Pagano Jr. | ||
|
Director | |
H. Hugh Shelton | ||
/s/ Arthur L. Simon |
Director | |
Arthur L. Simon |
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SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, each of the registrants certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form S-3 and has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of New York, State of New York, on the 21st day of June, 2016.
ELECTRODYNAMICS, INC. INTERSTATE ELECTRONICS CORPORATION L-3 ADVANCED PROGRAMS, INC. L-3 APPLIED TECHNOLOGIES, INC. L-3 DOMESTIC HOLDINGS, INC. L-3 UNIDYNE, INC. L-3 CHESAPEAKE SCIENCES CORPORATION L-3 COMMUNICATIONS AIS GP CORPORATION L-3 COMMUNICATIONS AVIONICS SYSTEMS, INC. L-3 COMMUNICATIONS CINCINNATI ELECTRONICS CORPORATION L-3 COMMUNICATIONS ELECTRON TECHNOLOGIES, INC. L-3 COMMUNICATIONS EO/IR, INC. L-3 COMMUNICATIONS ESSCO, INC. L-3 COMMUNICATIONS FLIGHT CAPITAL LLC L-3 COMMUNICATIONS FLIGHT INTERNATIONAL AVIATION LLC L-3 COMMUNICATIONS FOREIGN HOLDINGS, INC. L-3 COMMUNICATIONS INVESTMENTS INC. L-3 COMMUNICATIONS MARIPRO, INC. L-3 COMMUNICATIONS MOBILE-VISION, INC. L-3 COMMUNICATIONS SECURITY AND DETECTION SYSTEMS, INC. L-3 COMMUNICATIONS VECTOR INTERNATIONAL AVIATION LLC L-3 COMMUNICATIONS VERTEX AEROSPACE LLC L-3 COMMUNICATIONS WESTWOOD CORPORATION L-3 FUZING AND ORDNANCE SYSTEMS, INC. L-3 UNMANNED SYSTEMS, INC. PAC ORD INC. POWER PARAGON, INC. SPD ELECTRICAL SYSTEMS, INC. SPD SWITCHGEAR INC. |
By: | /s/ Steven M. Post |
Name: | Steven M. Post | |
Title: | Senior Vice President, Secretary |
SIGNATURES AND POWERS OF ATTORNEY
Each person whose signature appears below hereby authorizes each of Michael T. Strianese, Ralph G. DAmbrosio and Steven M. Post, each with full power of substitution, to execute in the name and on behalf of such person any amendment or any post-effective amendment to this registration statement and any subsequent registration statement filed pursuant to Rule 462 under the Securities Act of 1933 and to file the same, with exhibits thereto, and other documents in connection therewith, making such changes in this registration statement and any such subsequent registration statement as L-3 deems appropriate, and appoints each of Michael T. Strianese, Ralph G. DAmbrosio and Steven M. Post, each with full power of substitution, attorney-in-fact to sign any amendment and any post-effective amendment to this registration statement and any such subsequent registration statement and to file same, with exhibits thereto, and other documents in connection therewith.
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Pursuant to the requirements of the Securities Act of 1933, as amended, this registration statement has been signed on behalf of the above-named registrants by the following persons in the capacities indicated on June 21, 2016.
Signature |
Title |
|
/s/ Michael T. Strianese |
Principal Executive Officer | |
Michael T. Strianese | ||
/s/ Ralph G. DAmbrosio |
Principal Financial Officer (Principal Accounting Officer) |
|
Ralph G. DAmbrosio | ||
/s/ Steven M. Post |
Director |
|
Steven M. Post |
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SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, as amended, each of the registrants certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form S-3 and has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of New York, State of New York, on the 21st day of June, 2016.
L-3 COMMUNICATIONS INTEGRATED SYSTEMS L.P. | ||
By: L-3 COMMUNICATIONS AIS GP CORPORATION, as General Partner | ||
By: | /s/ Steven M. Post |
Name: | Steven M. Post | |
Title: | Senior Vice President, Secretary |
SIGNATURES AND POWERS OF ATTORNEY
Each person whose signature appears below hereby authorizes each of Michael T. Strianese, Ralph G. DAmbrosio and Steven M. Post, each with full power of substitution, to execute in the name and on behalf of such person any amendment or any post-effective amendment to this registration statement and any subsequent registration statement filed pursuant to Rule 462 under the Securities Act of 1933 and to file the same, with exhibits thereto, and other documents in connection therewith, making such changes in this registration statement and any such subsequent registration statement as L-3 deems appropriate, and appoints each of Michael T. Strianese, Ralph G. DAmbrosio and Steven M. Post, each with full power of substitution, attorney-in-fact to sign any amendment and any post-effective amendment to this registration statement and any such subsequent registration statement and to file same, with exhibits thereto, and other documents in connection therewith.
Pursuant to the requirements of the Securities Act of 1933, as amended, this registration statement has been signed by the following persons in the capacities indicated on June 21, 2016.
Signature |
Title |
|
/s/ Michael T. Strianese |
Principal Executive Officer | |
Michael T. Strianese | ||
/s/ Ralph G. DAmbrosio |
Principal Financial Officer (Principal Accounting Officer) |
|
Ralph G. DAmbrosio | ||
/s/ Steven M. Post |
Director | |
Steven M. Post |
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EXHIBIT INDEX
Exhibit
|
Description |
|
1.1* | Form of Underwriting Agreement. | |
4.1 | Indenture, dated as of May 21, 2010, among L-3 Communications, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 4.1 to L-3 Holdings and L-3 Communications Current Report on Form 8-K filed on May 24, 2010). | |
4.2 | Sixth Supplemental Indenture, dated as of June 21, 2016, among L-3 Communications, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as Trustee (filed herewith). | |
4.3* | Form of Supplemental Indenture. | |
4.4* | Form of Debt Securities (to be included in the Form of Supplemental Indenture to be filed as Exhibit 4.3). | |
5.1 | Opinion of Simpson Thacher & Bartlett LLP (filed herewith). | |
12.1 | Computation of ratios of earnings to fixed charges (filed herewith). | |
23.1 | Consent of Simpson Thacher & Bartlett LLP (included in Exhibit 5.1). | |
23.2 | Consent of PricewaterhouseCoopers LLP (filed herewith). | |
24.1 | Powers of Attorney (included on the signature pages to this registration statement). | |
25.1 | Statement of Eligibility of The Bank of New York Mellon Trust Company, N.A., as Trustee on Form T-1 under the Trust Indenture Act of 1939, as amended, for the Indenture dated as of May 21, 2010. |
* | To be filed by amendment or as an exhibit to a document to be incorporated by reference herein in connection with an offering of the offered securities. |
Exhibit 4.2
L-3 COMMUNICATIONS CORPORATION
and
THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A.
as Trustee
Sixth Supplemental Indenture
Dated as of June 21, 2016
SIXTH SUPPLEMENTAL INDENTURE dated as of June 21, 2016 among L-3 Communications Corporation, a Delaware corporation (the Company ), the guarantors listed on the signature pages hereto (the Guarantors ) and The Bank of New York Mellon Trust Company, N.A., as trustee (the Trustee ).
WITNESSETH:
WHEREAS, the Company and the guarantors listed on the signature pages thereto have heretofore entered into an Indenture, dated as of May 21, 2010 (the Original Indenture ), with the Trustee;
WHEREAS, the Company and the guarantors listed on the signature pages thereto have heretofore entered into the First Supplemental Indenture to the Original Indenture on May 21, 2010, under which the Companys 4.75% Senior Notes due 2020 (the 2020 Notes ) were established as a separate Series of Securities under the Original Indenture;
WHEREAS, the Company and the guarantors listed on the signature pages thereto have heretofore entered into the Second Supplemental Indenture to the Original Indenture on February 7, 2011, under which the Companys 4.95% Senior Notes due 2021 (the 2021 Notes ) were established as a separate Series of Securities under the Original Indenture;
WHEREAS, the Company and the guarantors listed on the signature pages thereto have heretofore entered into the Third Supplemental Indenture to the Original Indenture on November 22, 2011, under which the Companys 3.95% Senior Notes due 2016 (the 2016 Notes ) were established as a separate Series of Securities under the Original Indenture;
WHEREAS, the Company and the guarantors listed on the signature pages thereto have heretofore entered into the Fourth Supplemental Indenture to the Original Indenture on February 3, 2012, under which certain subsidiaries of the Company became Guarantors (as defined in the Original Indenture) in accordance with the terms of the Original Indenture;
WHEREAS, the Company and the guarantors listed on the signature pages thereto have heretofore entered into the Fifth Supplemental Indenture to the Original Indenture on May 28, 2014, under which the Companys 1.50% Senior Notes due 2017 (the 2017 Notes ) were established as a separate Series of Securities under the Original Indenture and the Companys 3.95% Senior Notes due 2024 (the 2024 Notes and, together with the 2020 Notes, the 2021 Notes, the 2016 Notes, the 2017 Notes, the Previously Issued Notes ) were established as a separate Series of Securities under the Original Indenture;
WHEREAS, the Original Indenture is incorporated herein by this reference and the Original Indenture, as supplemented by this Sixth Supplemental Indenture, is herein called the Indenture ;
WHEREAS, under the Original Indenture, the Company, the Guarantors and the Trustee may supplement the Original Indenture without the consent of any Holder to change or eliminate any of the provisions of the Original Indenture, or to add any new provision to the Original Indenture, in respect of one or more Securities; provided that such change, elimination or agreement (A) shall neither (i) apply to any Security outstanding on the date of such indenture supplemental thereto nor (ii) modify the rights of the Holder of any Security with respect to such provision in effect prior to the date of such indenture supplemental thereto or (B) shall become effective only when no Security of such series remains outstanding;
WHEREAS, the changes and eliminations set forth in this Sixth Supplemental Indenture shall not apply to the Previously Issued Notes, and holders thereof will not be entitled to the benefit of any such provision;
WHEREAS, the changes and eliminations set forth in this Sixth Supplemental Indenture shall apply to each series of Securities issued on or after the date hereof, unless such provisions are amended or eliminated hereafter;
WHEREAS, the Company and each Guarantor have delivered to the Trustee such certificates or opinions as may be required and requested pursuant to Section 7.2 of the Original Indenture; and
WHEREAS, all conditions necessary to authorize the execution and delivery of this Sixth Supplemental Indenture and to make it a legal, valid and binding obligation of the Company and the Guarantors have been done or performed;
NOW, THEREFORE, in consideration of the agreements and obligations set forth herein and for other good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree to the following provisions:
Capitalized terms used but not defined herein have the meanings ascribed thereto in the Original Indenture.
ARTICLE I
Amendments to the Original Indenture
SECTION 1.01 Amendment of Section 1.1 .
Section 1.1 of the Original Indenture is hereby amended and supplemented by deleting the: (a) definition of GAAP contained therein; and (b) definitions of Attributable Debt, Consolidated Net Tangible Assets, Depository, Government Securities, Permitted Liens and Principal Property contained therein and replacing each such definition with the following corresponding definition:
Attributable Debt in respect of a Sale and Leaseback Transaction means, at any time of determination, the present value at that time of the obligation of the lessee for net rental payments (excluding any amounts required to be paid on account of maintenance and repairs, insurance taxes, assessments, water rates and similar charges) during the remaining term of the lease included in such Sale and Leaseback Transaction including any period for which such lease has been extended. Such present value will be calculated using a discount rate equal to the rate of interest implicit in such transaction, determined in accordance with GAAP.
Consolidated Net Tangible Assets of any Person as of any date means the total assets of such Person and its Subsidiaries as of the most recent fiscal quarter end for which a consolidated balance sheet of such Person and its Subsidiaries is available as of that date, minus all current liabilities (excluding any Indebtedness which, at the option of the borrower, is renewable or extendable to a term exceeding 365 days and which is included in current liabilities and further excluding any deferred income taxes that are included in current liabilities) of such Person and its Subsidiaries reflected on such balance sheet and minus total goodwill and other intangible assets of such Person and its Subsidiaries reflected on such balance sheet, all calculated on a consolidated basis in accordance with GAAP.
Depository means, with respect to the Securities of any Series issuable or issued in whole or in part in the form of one or more Global Securities, the Person designated as Depository for such Series by the Company, which Depository, to the extent required by applicable law or regulation, shall be a clearing agency registered under the Exchange Act, and, if so provided with respect to any Security, any successor to such Person. If at any time there is more than one such Person, Depository as used with respect to the Securities of any Series shall mean the Depository with respect to the Securities of such Series.
Government Securities means (i) in the case of a series of Securities denominated in U.S. dollars, direct obligations of, or obligations guaranteed by, the United States of America, and the payment for which the United States pledges its full faith and credit and (ii), in the case of a series of Securities denominated in a Foreign Currency, direct obligations of, or obligations guaranteed by, a national government that has adopted such Foreign Currency as its currency for legal tender, and the payment for which such government pledges its full faith and credit.
2
Permitted Liens means, with respect to each Series of Securities:
(a) Liens securing Indebtedness of the Company or any of its Subsidiaries, which Indebtedness exists on the applicable Issue Date;
(b) Liens securing Indebtedness of any Person that (i) is acquired by the Company or any of its Subsidiaries after the applicable Issue Date, (ii) is merged or amalgamated with or into the Company or any of its Subsidiaries after the applicable Issue Date or (iii) becomes consolidated in the financial statements of the Company or any of its Subsidiaries after the applicable Issue Date in accordance with GAAP; provided, however, that in each case contemplated by this clause (b), such Indebtedness was not incurred in contemplation of such acquisition, merger, amalgamation or consolidation and is only secured by Liens on the Capital Stock and assets of, the Person (and Subsidiaries of the Person) acquired by, or merged or amalgamated with or into, or consolidated in the financial statements of, the Company or any of its Subsidiaries;
(c) Liens on any property existing at the time of the acquisition thereof;
(d) Liens securing Indebtedness (including assumed Indebtedness) of the Company or any of its Subsidiaries incurred to finance (whether prior to or within 365 days after) the acquisition, construction or improvement of assets (whether through the direct purchase of assets or through the purchase of the Capital Stock of any Person owning such assets or through an acquisition of any such Person by merger); provided, however, that such Indebtedness is only secured by Liens on the Capital Stock and assets acquired, constructed or improved in connection with such financing (including the Capital Stock and assets of any Subsidiary of any such acquired Person);
(e) Liens to secure any extension, renewal, refinancing or refunding (or successive extensions, renewals, refinancings or refundings), in whole or in part, of any Indebtedness secured by Liens referred to in clauses (a)-(d) above or clause (q) below or Liens created in connection with any amendment, consent or waiver relating to such Indebtedness, so long as such Lien is limited to all or part of substantially the same property which secured the Lien extended, renewed or replaced, the amount of Indebtedness secured is not increased (other than by the amount equal to any costs and expenses (including any premiums, fees or penalties) incurred in connection with any extension, renewal, refinancing or refunding);
(f) Liens arising from the assignment of moneys due and to become due under contracts between the Company or any Wholly Owned Domestic Subsidiary and the United States of America, any state, commonwealth, territory or possession thereof or any agency, department, instrumentality or political subdivision of any thereof; or Liens in favor of the United States of America, any state, commonwealth, territory or possession thereof or any agency, department, instrumentality or political subdivision of any thereof, pursuant to the provisions or any contract not directly or indirectly in connection with securing Indebtedness; or Liens in favor of any governmental body to secure progress, advance or other payments or the acquisition of real or personal property from such governmental body pursuant to any contract or provision of any statute;
(g) Liens imposed by law, such as carriers, warehousemens, materialmens, workmens, repairmens and mechanics liens, and other similar Liens (including deposits on pledges to obtain the release of such Liens) arising in the ordinary course of business which secure payment of obligations not more than 60 days past due or which are being contested in good faith by appropriate proceedings and for which adequate reserves, to the extent required by GAAP, shall have been set aside;
(h) Liens arising by reason of any judgment, decree or other of any court, so long as any appropriate legal proceedings which may have been initiated for the review of such judgment, decree or order shall not have been finally terminated or so long as the period within which such proceedings may be initiated shall not have expired; any deposit or pledge with any surety company or clerk of any court, or in escrow, as collateral in connection with, or in lieu of, any bond on appeal from any judgment or decree against the Company or any Subsidiary, or in connection with other proceedings or actions at law or in equity by or against the Company or any Subsidiary;
(i) Liens, charges and encumbrances incidental to construction, to the conduct of business or the ownership of property of the Company or any Subsidiary which were not incurred in connection with the borrowing of money or the obtaining of advance or credits or the acquisition of property and do not in the aggregate materially impair the use of any Principal Property for the purposes for which it is held or which are being contested in good faith by the Company or such Subsidiary;
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(j) Liens to secure intercompany Indebtedness of the Company or any of its Subsidiaries to the Company or any of its Subsidiaries;
(k) Liens to secure the performance of bids, trade contracts, leases, statutory obligations, insurance, surety or appeal bonds, workers compensation obligations, performance bonds or other obligations of a like nature incurred in the ordinary course of business (including Liens to secure letters of credit and reimbursement obligations with respect thereto issued to assure payment of such obligations);
(l) bankers liens and rights of setoff arising by operation of law and contractual rights of setoff;
(m) zoning restrictions, easements, rights-of-way, restrictions on use of real property and other similar encumbrances incurred in the ordinary course of business which, in the aggregate, are not substantial in amount and do not materially detract from the value of the property subject thereto or interfere with the ordinary conduct of the business of the Company or any of its Subsidiaries;
(n) Liens created for the benefit of (or to secure) the Securities of such Series (or the Guarantees);
(o) Liens in favor of the Trustee granted in accordance with this Indenture;
(p) Liens for taxes, assessments or governmental charges or claims that are not yet delinquent or that are being contested in good faith by appropriate proceedings promptly instituted and diligently concluded, provided that any reserve or other appropriate provision as is required in conformity with GAAP has been made therefor; and
(q) other Liens, in addition to those permitted in clauses (a) through (p) above, securing Indebtedness having an aggregate principal amount (including all Indebtedness incurred pursuant to clause (e) above to renew, refund, refinance, replace, defease or discharge any Indebtedness incurred pursuant to this clause (q)), measured as of the date of the incurrence of any such Indebtedness (giving pro forma effect to the application of the proceeds therefrom and any transaction in connection with which such Indebtedness is being incurred), taken together with the amount of all Attributable Debt of the Company and its Subsidiaries at that time outstanding relating to Sale and Leaseback Transactions permitted under Section 4.9, not to exceed the greater of (a) 15% of the Companys Consolidated Net Tangible Assets measured as of the date of the incurrence of any such Indebtedness (giving pro forma effect to the application of the proceeds therefrom and any transaction in connection with which such Indebtedness is being incurred) or (b) $1.5 billion.
For purposes of clause (q) of this definition of Permitted Liens, (i) with respect to any revolving credit facility secured by a Lien, the full amount of Indebtedness that may be borrowed thereunder will be deemed to be incurred at the time any revolving credit commitment thereunder is first extended or increased and will not be deemed to be incurred when such revolving credit facility is drawn upon and (ii) if a Lien of the Company or any of its Wholly Owned Domestic Subsidiaries is granted to secure Indebtedness that was previously unsecured, such Indebtedness will be deemed to be incurred as of the date such Indebtedness is secured.
Principal Property means any building, structure or other facility located within the United States (other than its territories and possessions) and owned by the Company or any Wholly Owned Domestic Subsidiary, the book value of which is not less than 1.0% of the Companys Consolidated Net Tangible Assets. For purposes of this definition, book value will be measured at the time the relevant Lien is being created or, in the case of any Lien incurred pursuant to clause (q) of the definition of Permitted Liens, at the time the relevant secured Indebtedness is deemed to be incurred.
SECTION 1.02 Amendment of Section 1.4 .
Clause (c) of Section 1.4 of the Original Indenture is amended and supplemented by deleting the existing clause in its entirety and replacing it with the following:
(c) references to generally accepted accounting principles and GAAP shall mean generally accepted accounting principles in effect as of the time when and for the period as to which such accounting principles are to be applied; provided that any obligations of the Company or any of its Subsidiaries (a) that were not or would not have been reflected on the consolidated balance sheet of the Company as capital lease obligations on the date hereof and (b) that are subsequently characterized or recharacterized as capital lease obligations due to a change in accounting treatment or otherwise after the date hereof, may, in the Companys sole discretion, be deemed not to be treated as a capital lease obligation or Indebtedness;
SECTION 1.03 Amendment of Section 2.2 .
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Clause (l) of Section 2.2 of the Original Indenture is amended and supplemented by deleting the existing clause in its entirety and replacing it with the following:
(l) any Depositories, interest rate calculation agents, exchange rate calculation agents or other agents with respect to Securities of such Series if other than those appointed herein;
SECTION 1.04 Amendment of Section 2.15.2 .
Section 2.15.2 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
Notwithstanding any provisions to the contrary contained in Section 2.7 of the Indenture and in addition thereto, any Global Security shall be exchangeable pursuant to Section 2.7 of the Indenture for Securities registered in the names of Holders other than the Depository for such Security or its nominee only if (i) such Depository notifies the Company that it is unwilling or unable to continue as Depository for such Global Security or, to the extent applicable, if at any time such Depository ceases to be a clearing agency registered under the Exchange Act, and, in either case, the Company fails to appoint a successor Depository within 90 days of such event, which to the extent applicable, shall be registered as a clearing agency under the Exchange Act, (ii) the Company executes and delivers to the Trustee an Officers Certificate to the effect that such Global Security shall be so exchangeable (subject to the procedures of the Depository) or (iii) an Event of Default with respect to the Securities represented by such Global Security shall have happened and be continuing. Any Global Security that is exchangeable pursuant to the preceding sentence shall be exchangeable for Securities registered in such names as the Depository shall direct in writing in an aggregate principal amount equal to the principal amount of the Global Security with like tenor and terms.
Except as provided in this Section 2.15.2, a Global Security may not be transferred except as a whole by the Depository with respect to such Global Security to a nominee of such Depository, by a nominee of such Depository to such Depository or another nominee of such Depository or by the Depository or any such nominee to a successor Depository or a nominee of such a successor Depository.
SECTION 1.05 Amendment of Section 2.15.3 .
Section 2.15.3 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
Any Global Security issued to DTC hereunder shall bear a legend in substantially the following form:
Unless this certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (DTC), New York, New York, to the issuer or its agent for registration of transfer, exchange or payment, and any certificate issued is registered in the name of Cede & Co. or such other name as may be requested by an authorized representative of DTC (and any payment is made to Cede & Co. or such other entity as may be requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co. has an interest herein.
Transfer of this Global Security shall be limited to transfers in whole, but not in part, to DTC, to nominees of DTC or to a successor thereof or such successors nominee and limited to transfers made in accordance with the restrictions set forth in the Indenture referred to herein.
Any Global Security issued to a Depository other than DTC shall be in customary form with respect to such Depository.
SECTION 1.06 Amendment of Section 3.3 .
Section 3.3 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
Unless otherwise indicated for a particular Series by Board Resolution, a supplemental indenture hereto or an Officers Certificate, at least 15 days but not more than 60 days (except in the case of a conditional redemption) before a redemption date, the Company shall send a notice of redemption to each Holder whose Securities are to be redeemed and if any Bearer Securities are outstanding, publish on one occasion a notice in an Authorized Newspaper, except that redemption notices may be sent more than 60 days prior to a redemption date if the notice is issued in connection with a defeasance of the Series of Securities or a satisfaction and discharge of this Indenture
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pursuant to Articles VIII or XI hereof. Notwithstanding any other provision of this Indenture, notice of any redemption of the Securities may, at the Companys discretion, be given prior to the completion thereof and be subject to one or more conditions precedent. In addition, if such redemption is subject to satisfaction of one or more conditions precedent, such notice shall state that, in the Companys discretion, the redemption date may be delayed until such time (including more than 60 days after the date the notice of redemption was delivered) as any or all such conditions shall be satisfied or waived, or such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied by the redemption date, or by the redemption date so delayed, or such notice may be rescinded at any time in the Companys discretion if in the good faith judgment of the Company any or all of such conditions will not be satisfied. The Company will provide prompt written notice to the Trustee at least one business day prior to the Redemption Date rescinding or delaying such redemption in the event that any such condition precedent shall not have occurred, and such redemption and notice of redemption shall be rescinded and of no force or effect or delayed, as applicable. Upon receipt of such notice from the Company rescinding or delaying such redemption, the Trustee will promptly send a copy of such notice to the Holders of Securities to be redeemed in the same manner in which the notice of redemption was given.
The notice shall identify the Securities of the Series to be redeemed and shall state:
(a) the redemption date;
(b) the redemption price (or if not then ascertainable, the manner of calculation thereof);
(c) the name and address of the Paying Agent;
(d) that Securities of the Series called for redemption must be surrendered to the Paying Agent to collect the redemption price;
(e) that interest on Securities of the Series called for redemption ceases to accrue on and after the redemption date;
(f) the CUSIP number, if any; and
(g) any other information as may be required by the terms of the particular Series or the Securities of a Series being redeemed.
At the Companys request, the Trustee shall give the notice of redemption in the Companys name and at its expense as long as the Trustee is given at least 5 Business Days prior notice of the requested date of the giving of such notice (or such shorter notice as may be acceptable to the Trustee).
SECTION 1.07 Amendment of Section 4.9 .
Section 4.9 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
Unless otherwise indicated for a particular Series by a Board Resolution, a supplemental indenture or an Officers Certificate, the Company covenants and agrees for the benefit of the Holders of each Series of Securities that it will not, and will not permit any of its Wholly Owned Domestic Subsidiaries to, enter into any arrangement with any other Person pursuant to which the Company or such Wholly Owned Domestic Subsidiary leases any Principal Property that has been or is to be sold or transferred by the Company or such Wholly Owned Domestic Subsidiary to such other Person (a Sale and Leaseback Transaction), except that a Sale and Leaseback Transaction is permitted if the Company or such Wholly Owned Domestic Subsidiary would be entitled to incur Indebtedness secured by a Lien on the property to be leased (without equally and ratably securing the Securities of any Series) in an aggregate principal amount equal to the Attributable Debt with respect to such Sale and Leaseback Transaction.
In addition, the following Sale and Leaseback Transactions are not subject to the limitation in the immediately preceding paragraph and the provisions described in Section 4.10:
(a) temporary leases for a term, including renewals at the option of the lessee, of not more than three years;
(b) leases between only the Company and a Subsidiary of the Company or only between Subsidiaries of the Company;
(c) leases where the proceeds from the sale of the subject property are at least equal to the fair market value (as determined in good faith by the Company) of the subject property and the Company applies an amount equal to the net proceeds of the sale to the retirement of long-term Indebtedness or to the purchase of other property or
6
equipment used or useful in its business, within 365 days of the effective date of such sale; provided that in lieu of applying such amount to the retirement of long-term Indebtedness, the Company may deliver Securities or other debt securities to the applicable trustee for cancellation, such Securities or other debt securities to be credited at the cost thereof to the Company; and
(d) leases of property executed by the time of, or within 365 days after the latest of, the acquisition, the completion of construction or improvement, or the commencement of commercial operation, of the subject property.
SECTION 1.08 Amendment of Section 4.10 .
Section 4.10 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
Unless otherwise indicated for a particular Series by a Board Resolution, a supplemental indenture or an Officers Certificate, the Company covenants and agrees for the benefit of the Holders of each Series of Securities that it shall not, and shall not permit any of its Wholly Owned Domestic Subsidiaries to, create, incur, assume or permit to exist any Lien (except Permitted Liens) on (1) any Principal Property or (2) the Capital Stock of any Subsidiary (other than an Immaterial Subsidiary), in each case to secure Indebtedness of the Company, any Subsidiary of the Company or any other Person, unless the Securities of each Series are secured, equally and ratably with such other Indebtedness (or on a senior basis if the Obligations so secured are subordinated Indebtedness), for so long as such other Indebtedness is so secured. Any Lien that is granted to secure the Securities of any Series pursuant to this Section 4.10 shall be automatically released and discharged at the same time as the release of the Lien that gave rise to the obligation to secure the Securities of such Series pursuant to this Section 4.10.
SECTION 1.09 Amendment of Section 8.4 .
Clause (1) of Section 8.4 of the Original Indenture is amended and supplemented by deleting the existing clause in its entirety and replacing it with the following:
(1) the Company must irrevocably deposit with the Trustee for such Securities, in trust, for the benefit of the Holders of such Securities, in cash or immediately available funds in U.S. dollars or the Foreign Currency in which such Securities may be denominated, non-callable Government Securities, or a combination thereof, in such amounts as will be sufficient, in the opinion of a nationally recognized investment bank, appraisal firm, or firm of independent public accountants, to pay the principal of, premium, if any, and interest on, the outstanding Securities of such Series on the stated date for payment thereof or on the applicable redemption date, as the case may be, and the Company must specify whether such Securities are being defeased to such stated date for payment or to a particular redemption date;
SECTION 1.10 Amendment of Section 8.7 .
Section 8.7 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
If, in connection with a Legal Defeasance or Covenant Defeasance, the Trustee or Paying Agent is unable to apply any U.S. dollars, Foreign Currency or non-callable Government Securities in accordance with Section 8.5, by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, then the Companys and any applicable Guarantors obligations under this Indenture and the applicable Securities and the guarantees will be revived and reinstated as though no deposit had occurred pursuant to Section 8.2 or 8.3 hereof until such time as the Trustee or Paying Agent is permitted to apply all such money in accordance with Section 8.5; provided, however, that, if the Company makes any payment of principal of or interest on any such Securities following the reinstatement of its obligations, the Company will be subrogated to the rights of the Holders of such Securities to receive such payment from the money held by the Trustee or Paying Agent.
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SECTION 1.11 Amendment of Section 11.1 .
Subclause (a)(ii) of Section 11.1 of the Original Indenture is amended and supplemented by deleting the existing section in its entirety and replacing it with the following:
(ii) all such Securities that have not been delivered to the Trustee for cancellation have become due and payable by reason of the sending of a notice of redemption or otherwise or will become due and payable within one year and the Company has irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust solely for the benefit of the Holders of such Securities, cash or immediately available funds in U.S. dollars or such applicable Foreign Currency in which such Securities are denominated, non-callable Government Securities, or a combination thereof, in such amounts as will be sufficient, without consideration of any reinvestment of interest, to pay and discharge the entire indebtedness on such Securities not delivered to the Trustee for cancellation for principal, premium, if any, and accrued interest to the date of maturity or redemption;
ARTICLE II
MISCELLANEOUS
SECTION 2.01 Trustee Matters . The recitals in this Sixth Supplemental Indenture are made by the Company only and not by the Trustee, and all of the provisions contained in the Original Indenture in respect of the rights, privileges, immunities, powers and duties of the Trustee shall be applicable in respect of this Sixth Supplemental Indenture as fully and with like effect as if set forth herein in full. The Trustee makes no representations as to the validity or sufficiency of this Sixth Supplemental Indenture.
SECTION 2.02 Ratification . The Original Indenture is in all respects ratified and confirmed, and, with respect to the Original Indenture and this Sixth Supplemental Indenture shall be read, taken and construed as one and the same instrument; provided that in case of conflict between this Sixth Supplemental Indenture and the Original Indenture, this Sixth Supplemental Indenture shall control. This Sixth Supplemental Indenture shall apply only to any Series of Securities issued on or after the date hereof, unless such provisions are amended or eliminated hereafter.
SECTION 2.03 Counterpart Originals . This Sixth Supplemental Indenture may be simultaneously executed in several counterparts, each of which shall be deemed to be an original, and such counterparts shall together constitute one and the same instrument.
SECTION 2.04 Trust Indenture Act Controls . If any provision of this Sixth Supplemental Indenture limits, qualifies or conflicts with the duties imposed by operation of Section 318(c) of the Trust Indenture Act of 1939, as amended (15 U.S. Code §§ 77aaa-77bbbb), the imposed duties shall control.
SECTION 2.05 Effect of Headings . The Article and Section headings herein have been inserted for convenience of reference only, are not to be considered a part hereof and shall in no way modify or restrict any of the terms or provisions hereof.
SECTION 2.06 Governing Law . This Sixth Supplemental Indenture shall be governed by and construed in accordance with the laws of the State of New York.
SECTION 2.07 Provisions for the Sole Benefit of Parties and Holders . Nothing in the Original Indenture, as supplemented, amended and modified by this Sixth Supplemental Indenture expressed or implied, is intended or shall be construed to confer upon, or to give or grant to, any person or entity, other than the Company, the Trustee, the Paying Agent and the registered owners of the Notes, any legal or equitable right, remedy or claim under or by reason of the Indenture or any covenant, condition or stipulation hereof, and all covenants, stipulations, promises and agreements in the Indenture contained by and on behalf of the Company shall be for the sole and exclusive benefit of the Company, the Trustee, the Paying Agent and the Holders of Securities.
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IN WITNESS WHEREOF, the parties hereto have caused this Sixth Supplemental Indenture to be duly executed as of the day and year first above written.
L-3 COMMUNICATIONS CORPORATION |
By: |
/s/ Stephen M. Souza |
|
Name: Stephen M. Souza | ||
Title: Vice President and Treasurer |
Guarantors:
ELECTRODYNAMICS, INC.
INTERSTATE ELECTRONICS CORPORATION
L-3 ADVANCED PROGRAMS, INC.
L-3 APPLIED TECHNOLOGIES, INC.
L-3 CHESAPEAKE SCIENCES CORPORATION
L-3 COMMUNICATIONS AIS GP CORPORATION
L-3 COMMUNICATIONS AVIONICS SYSTEMS, INC.
L-3 COMMUNICATIONS CINCINNATI ELECTRONICS CORPORATION
L-3 COMMUNICATIONS ELECTRON TECHNOLOGIES, INC.
L-3 COMMUNICATIONS EO/IR, INC.
L-3 COMMUNICATIONS ESSCO, INC.
L-3 COMMUNICATIONS FLIGHT CAPITAL LLC
L-3 COMMUNICATIONS FLIGHT INTERNATIONAL AVIATION LLC
L-3 COMMUNICATIONS FOREIGN HOLDINGS, INC.
L-3 COMMUNICATIONS INVESTMENTS INC.
L-3 COMMUNICATIONS MARIPRO, INC.
L-3 COMMUNICATIONS MOBILE-VISION, INC.
L-3 COMMUNICATIONS SECURITY AND DETECTION SYSTEMS, INC.
L-3 COMMUNICATIONS VECTOR INTERNATIONAL AVIATION LLC
L-3 COMMUNICATIONS VERTEX AEROSPACE LLC
L-3 COMMUNICATIONS WESTWOOD CORPORATION
L-3 DOMESTIC HOLDINGS, INC.
L-3 FUZING AND ORDNANCE SYSTEMS, INC.
L-3 UNIDYNE, INC.
L-3 UNMANNED SYSTEMS, INC.
PAC ORD INC.
POWER PARAGON, INC.
SPD ELECTRICAL SYSTEMS, INC.
SPD SWITCHGEAR INC.
As Guarantors
By: |
/s/ Stephen M. Souza |
|
Name: |
Stephen M. Souza |
|
Title: |
Vice President and Treasurer |
L-3 COMMUNICATIONS INTEGRATED SYSTEMS L.P., a Delaware limited partnership
As a Guarantor
By: | L-3 COMMUNICATIONS AIS GP CORPORATION, as General Partner | |
By: |
/s/ Stephen M. Souza |
|
Name: |
Stephen M. Souza |
|
Title: |
Vice President and Treasurer |
THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A., as Trustee |
By: |
/s/ Lawrence M. Kusch |
|
Name: Lawrence M. Kusch Title: Vice President |
Exhibit 5.1
SIMPSON THACHER & BARTLETT LLP
425 LEXINGTON AVENUE
NEW YORK, N.Y. 10017-3954
(212) 455-2000
FACSIMILE (212) 455-2502
June 21, 2016
L-3 Communications Corporation
600 Third Avenue
New York, New York 10016
Ladies and Gentlemen:
We have acted as counsel to L-3 Communications Corporation, a Delaware corporation (the Company), in connection with the Registration Statement on Form S-3 (the Registration Statement) filed by the Company, the Delaware subsidiaries of the Company named on Schedule I attached hereto (each, a Delaware Guarantor and collectively, the Delaware Guarantors) and the non-Delaware subsidiaries of the Company named on Schedule II attached hereto (each, a Non-Delaware Guarantor and collectively, the Non-Delaware Guarantors, and taken together with the Delaware Guarantors, the Guarantors) with the Securities and Exchange Commission (the Commission) under the Securities Act of 1933, as amended (the Securities Act), relating to (i) an indeterminate amount of senior debt securities (the Senior Debt Securities) and (ii) guarantees of the Guarantors to be issued in connection with the Senior Debt Securities (the Guarantees). The Senior Debt Securities may be issued and sold or delivered from time to time as set forth in the Registration Statement, any amendment thereto, the prospectus contained therein (the Prospectus) and supplements to the Prospectus and pursuant to Rule 415 under the Securities Act.
The Senior Debt Securities and the Guarantees thereof will be issued under the Indenture, dated as of May 21, 2010 (as supplemented to the date hereof, the Indenture), among the Company, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as Trustee (the Trustee), as further supplemented by the sixth supplemental indenture dated as of June 21, 2016 (the Sixth Supplemental Indenture), among the Company, the Guarantors and the Trustee .
We have examined the Registration Statement, the Indenture and the Sixth Supplemental Indenture, each of which has been filed with the Commission as an exhibit to the Registration Statement. We also have examined the originals, or duplicates or certified or conformed copies, of such records, agreements, documents and other instruments and have made such other investigations as we have deemed relevant and necessary in connection with the opinions hereinafter set forth. As to questions of fact material to this opinion, we have relied upon certificates or comparable documents of public officials and of officers and representatives of the Company and the Guarantors.
In rendering the opinions set forth below, we have assumed the genuineness of all signatures, the legal capacity of natural persons, the authenticity of all documents submitted to us as originals, the conformity to original documents of all documents submitted to us as duplicates or certified or conformed copies and the authenticity of the originals of such latter documents. We also have assumed that (1) the Indenture is the valid and legally binding obligation of the Trustee; and (2) the Sixth Supplemental Indenture is the valid and legally binding obligation of the Trustee.
We have assumed further that (i) at the time of the issuance of the Senior Debt Securities and the Guarantees the Company and the Guarantors are validly existing, (ii) the Non-Delaware Guarantors have duly authorized, executed and delivered the Indenture and the Sixth Supplemental Indenture . We have also assumed that the execution, issuance, delivery and performance, as applicable, by each of Company and the Guarantors of the Indenture, as supplemented by the Sixth Supplemental Indenture, the Senior Debt Securities and the Guarantees, as applicable, do not and will not violate the law of its jurisdiction of organization or any other applicable laws (except that no such assumption is made with respect to the law of the State of New York and the federal law of the United States) and will not breach or violate of any agreement or instrument which is then binding upon the Company or the Guarantors.
Based upon the foregoing, and subject to the qualifications, assumptions and limitations stated herein, we are of the opinion that:
1. With respect to the Senior Debt Securities, assuming (a) the taking of all necessary corporate action to approve the issuance and terms of any Senior Debt Securities, the terms of the offering thereof and related matters by the Board of Directors of the Company, a duly constituted and acting committee of such Board or duly authorized officers of the Company (such Board of Directors, committee or authorized officers being referred to herein as the Board) and (b) the due execution, authentication, issuance and delivery of such Senior Debt Securities, upon payment of the consideration therefor provided for in the applicable definitive purchase, underwriting or similar agreement approved by the Board and otherwise in accordance with the provisions of the Indenture, as supplemented by the Sixth Supplemental Indenture, and such agreement, such Senior Debt Securities will constitute valid and legally binding obligations of the Company enforceable against the Company in accordance with their terms.
2. With respect to the Guarantees, assuming (a) the taking of all necessary corporate, limited liability company or limited partnership action to approve the issuance and terms of the Guarantees and related matters by each Guarantor, (b) the due execution, authentication, issuance and delivery of the Senior Debt Securities underlying such Guarantees, upon payment of the consideration therefor provided for in the applicable definitive purchase, underwriting or similar agreement approved by each Guarantor and otherwise in accordance with the provisions of the Indenture, as supplemented by the Sixth Supplemental Indenture, and such agreement and (c) the due issuance of such Guarantees, such Guarantees will constitute valid and legally binding obligations of the Guarantors enforceable against the Guarantors in accordance with their terms.
Our opinions set forth in paragraphs 1 and 2 above are subject to the effects of (i) bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and other similar laws relating to or affecting creditors rights generally, (ii) general equitable principles (whether considered in a proceeding in equity or at law) and (iii) an implied covenant of good faith and fair dealing.
We do not express any opinion herein concerning any law other than the law of the State of New York, the federal law of the United States, the Delaware General Corporation Law, the Delaware Limited Liability Company Act and the Delaware Revised Uniform Limited Partnership Act.
We hereby consent to the filing of this opinion letter as Exhibit 5.1 to the Registration Statement and to the use of our name under the caption Legal Matters in the Prospectus included in the Registration Statement.
Very truly yours,
/s/ Simpson Thacher & Bartlett LLP
SIMPSON THACHER & BARTLETT LLP
SCHEDULE I
DELAWARE GUARANTORS
L-3 Advanced Programs, Inc., a Delaware corporation
L-3 Applied Technologies, Inc., a Delaware corporation
L-3 Communications AIS GP Corporation, a Delaware corporation
L-3 Communications Avionics Systems, Inc., a Delaware corporation
L-3 Communications Electron Technologies, Inc., a Delaware corporation
L-3 Communications ESSCO, Inc., a Delaware corporation
L-3 Communications Flight Capital LLC, a Delaware limited liability company
L-3 Communications Flight International Aviation LLC, a Delaware limited liability company
L-3 Communications Foreign Holdings, Inc., a Delaware corporation
L-3 Communications Integrated Systems L.P., a Delaware limited partnership
L-3 Communications Investments Inc., a Delaware corporation
L-3 Communications Security and Detection Systems, Inc., a Delaware corporation
L-3 Communications Vector International Aviation LLC, a Delaware limited liability company
L-3 Communications Vertex Aerospace LLC, a Delaware limited liability company
L-3 Domestic Holdings, Inc., a Delaware corporation
L-3 Fuzing and Ordnance Systems, Inc., a Delaware corporation
L-3 Unidyne, Inc., a Delaware corporation
Pac Ord Inc., a Delaware corporation
Power Paragon, Inc., a Delaware corporation
SPD Electrical Systems, Inc., a Delaware corporation
SPD Switchgear, Inc., a Delaware corporation
SCHEDULE II
NON-DELAWARE GUARANTORS
Electrodynamics, Inc., an Arizona corporation
Interstate Electronics Corporation, a California corporation
L-3 Chesapeake Sciences Corporation, a Maryland corporation
L-3 Communications Cincinnati Electronics Corporation, an Ohio corporation
L-3 Communications EO/IR, Inc., a Florida corporation
L-3 Communications MariPro, Inc., a California corporation
L-3 Communications Mobile-Vision, Inc., a New Jersey corporation
L-3 Communications Westwood Corporation, a Nevada corporation
L-3 Unmanned Systems, Inc., a Texas corporation
Exhibit 12.1
RATIO OF EARNINGS TO FIXED CHARGES
First Quarter
Ended March 25, 2016 |
Year Ended December 31, |
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2015 | 2014 | 2013 | 2012 | 2011 | ||||||||||||||||||||
(In millions, except ratio of earnings to fixed charges) | ||||||||||||||||||||||||
Earnings: |
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Income from continuing operations before income taxes |
$ | 215 | $ | 322 | $ | 872 | $ | 980 | $ | 1,053 | $ | 1,055 | ||||||||||||
Less: Net income from continuing operations attributable to noncontrolling interests |
(3 | ) | (15 | ) | (13 | ) | (9 | ) | (6 | ) | (9 | ) | ||||||||||||
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Income from continuing operations before income taxes after noncontrolling interests |
$ | 212 | $ | 307 | $ | 859 | $ | 971 | $ | 1,047 | $ | 1,046 | ||||||||||||
Add: |
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Interest expense |
39 | 181 | 171 | 171 | 191 | 222 | ||||||||||||||||||
Amortization of debt expense |
2 | 8 | 7 | 6 | 7 | 13 | ||||||||||||||||||
Interest component of rent expense |
9 | 42 | 47 | 47 | 54 | 55 | ||||||||||||||||||
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Earnings |
$ | 262 | $ | 538 | $ | 1,084 | $ | 1,195 | $ | 1,299 | $ | 1,336 | ||||||||||||
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Fixed charges: |
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Interest expense |
$ | 39 | $ | 181 | $ | 171 | $ | 171 | $ | 191 | $ | 222 | ||||||||||||
Amortization of debt expense |
2 | 8 | 7 | 6 | 7 | 13 | ||||||||||||||||||
Interest component of rent expense |
9 | 42 | 47 | 47 | 54 | 55 | ||||||||||||||||||
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Fixed charges |
$ | 50 | $ | 231 | $ | 225 | $ | 224 | $ | 252 | $ | 290 | ||||||||||||
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Ratio of earnings to fixed charges |
5.2 x | 2.3 x | 4.8 x | 5.3 x | 5.2 x | 4.6 x | ||||||||||||||||||
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Exhibit 23.2
CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
We hereby consent to the incorporation by reference in this Registration Statement on Form S-3 of our report dated February 26, 2016 relating to the financial statements, and the effectiveness of internal control over financial reporting, which appears in L-3 Communications Holdings, Inc. and L-3 Communications Corporations Annual Report on Form 10-K for the year ended December 31, 2015. We also consent to the reference to us under the heading Experts in such Registration Statement.
/s/ PricewaterhouseCoopers LLP
New York, New York
June 21, 2016
Exhibit 25.1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM T-1
STATEMENT OF ELIGIBILITY
UNDER THE TRUST INDENTURE ACT OF 1939 OF A
CORPORATION DESIGNATED TO ACT AS TRUSTEE
¨ | CHECK IF AN APPLICATION TO DETERMINE ELIGIBILITY OF A TRUSTEE PURSUANT TO SECTION 305(b)(2) |
THE BANK OF NEW YORK MELLON
TRUST COMPANY, N.A.
(Exact name of trustee as specified in its charter)
95-3571558 | ||
(Jurisdiction of incorporation if not a U.S. national bank) |
(I.R.S. employer identification no.) |
|
400 South Hope Street Suite 500 Los Angeles, California (Address of principal executive offices) |
90071 (Zip code) |
L-3 COMMUNICATIONS CORPORATION
(Exact name of obligor as specified in its charter)
Delaware (State or other jurisdiction of incorporation or organization) |
13-3937436 (I.R.S. employer identification no.) |
Exact Name of Registrant as Specified in Its Charter |
Jurisdiction of
Incorporation or Organization |
IRS Employer
Identification Number |
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Electrodynamics, Inc. |
Arizona | 36-3140903 | ||||
Interstate Electronics Corporation |
California | 95-1912832 | ||||
L-3 Advanced Programs, Inc. |
Delaware | 45-3846917 | ||||
L-3 Applied Technologies, Inc. |
Delaware | 45-3795120 | ||||
L-3 Chesapeake Sciences Corporation |
Maryland | 52-1737390 | ||||
L-3 Communications AIS GP Corporation |
Delaware | 13-4137187 | ||||
L-3 Communications Avionics Systems, Inc. |
Delaware | 38-1865601 | ||||
L-3 Communications Cincinnati Electronics Corporation |
Ohio | 31-0826926 | ||||
L-3 Communications Electron Technologies, Inc. |
Delaware | 91-2046609 | ||||
L-3 Communications EO/IR, Inc. |
Florida | 59-3316817 | ||||
L-3 Communications ESSCO, Inc. |
Delaware | 04-2281486 | ||||
L-3 Communications Flight Capital LLC |
Delaware | 75-3089735 | ||||
L-3 Communications Flight International Aviation LLC |
Delaware | 02-0654591 | ||||
L-3 Communications Foreign Holdings, Inc. |
Delaware | 20-5871893 | ||||
L-3 Communications Integrated Systems L.P. |
Delaware | 03-0391841 | ||||
L-3 Communications Investments Inc. |
Delaware | 51-0260723 | ||||
L-3 Communications MariPro, Inc. |
California | 33-0947774 | ||||
L-3 Communications Mobile-Vision, Inc. |
New Jersey | 22-2893537 | ||||
L-3 Communications Security and Detection Systems, Inc. |
Delaware | 04-3054475 | ||||
L-3 Communications Vector International Aviation LLC |
Delaware | 42-1569647 | ||||
L-3 Communications Vertex Aerospace LLC |
Delaware | 64-0941176 | ||||
L-3 Communications Westwood Corporation |
Nevada | 87-0430944 | ||||
L-3 Domestic Holdings, Inc. |
Delaware | 45-3795216 | ||||
L-3 Fuzing and Ordnance Systems, Inc. |
Delaware | 31-0740721 | ||||
L-3 Unidyne, Inc. |
Delaware | 45-3795033 | ||||
L-3 Unmanned Systems, Inc. |
Texas | 75-2715474 | ||||
Pac Ord Inc. |
Delaware | 23-2523436 | ||||
Power Paragon, Inc. |
Delaware | 33-0638510 | ||||
SPD Electrical Systems, Inc. |
Delaware | 23-2457758 | ||||
SPD Switchgear, Inc. |
Delaware | 23-2510039 |
600 Third Avenue New York, New York (Address of principal executive offices) |
10016 (Zip code) |
Debt Securities
and Guarantees of Debt Securities
(Title of the indenture securities)
- 2 -
1. | General information. Furnish the following information as to the trustee: |
(a) Name and address of each examining or supervising authority to which it is subject.
Name |
Address | |||||
Comptroller of the Currency United States Department of the Treasury |
Washington, DC 20219 | |||||
Federal Reserve Bank |
San Francisco, CA 94105
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Federal Deposit Insurance Corporation |
Washington, DC 20429 |
(b) Whether it is authorized to exercise corporate trust powers.
Yes.
2. | Affiliations with Obligor. |
If the obligor is an affiliate of the trustee, describe each such affiliation.
None.
16. | List of Exhibits. |
Exhibits identified in parentheses below, on file with the Commission, are incorporated herein by reference as an exhibit hereto, pursuant to Rule 7a-29 under the Trust Indenture Act of 1939 (the Act) and 17 C.F.R. 229.10(d). |
1. | A copy of the articles of association of The Bank of New York Mellon Trust Company, N.A., formerly known as The Bank of New York Trust Company, N.A. (Exhibit 1 to Form T-1 filed with Registration Statement No. 333-121948 and Exhibit 1 to Form T-1 filed with Registration Statement No. 333-152875). |
2. | A copy of certificate of authority of the trustee to commence business. (Exhibit 2 to Form T-1 filed with Registration Statement No. 333-121948). |
3. | A copy of the authorization of the trustee to exercise corporate trust powers (Exhibit 3 to Form T-1 filed with Registration Statement No. 333-152875). |
4. | A copy of the existing by-laws of the trustee (Exhibit 4 to Form T-1 filed with Registration Statement No. 333-162713). |
6. | The consent of the trustee required by Section 321(b) of the Act (Exhibit 6 to Form T-1 filed with Registration Statement No. 333-152875). |
7. | A copy of the latest report of condition of the Trustee published pursuant to law or to the requirements of its supervising or examining authority. |
- 3 -
SIGNATURE
Pursuant to the requirements of the Act, the Trustee, The Bank of New York Mellon Trust Company, N.A., a banking association organized and existing under the laws of the United States of America, has duly caused this statement of eligibility to be signed on its behalf by the undersigned, thereunto duly authorized, all in the City of Chicago, and State of Illinois, on the 15th day of June, 2016.
THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A. |
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By: | /s/ Lawrence M. Kusch | |
Name: | Lawrence M. Kusch | |
Title: | Vice President |
- 4 -
EXHIBIT 7
Consolidated Report of Condition of
THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A.
of 400 South Hope Street, Suite 500, Los Angeles, CA 90071
At the close of business March 31, 2016, published in accordance with Federal regulatory authority instructions.
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I, Matthew J. McNulty, CFO of the above-named bank do hereby declare that the Reports of Condition and Income (including the supporting schedules) for this report date have been prepared in conformance with the instructions issued by the appropriate Federal regulatory authority and are true to the best of my knowledge and belief.
Matthew J. McNulty ) CFO
We, the undersigned directors (trustees), attest to the correctness of the Report of Condition (including the supporting schedules) for this report date and declare that it has been examined by us and to the best of our knowledge and belief has been prepared in conformance with the instructions issued by the appropriate Federal regulatory authority and is true and correct.
Antonio I. Portuondo, President )
William D. Lindelof, Director ) Directors (Trustees)
Alphonse J. Briand, Director )
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