FreightCar America, Inc 10-Q for FY2024 Q1
FreightCar America, Inc. (RAIL)
About this 10-Q
FreightCar America, Inc filed this 10-Q on May 8, 2024, covering the quarter ended March 31, 2024 (FY2024 Q1).
Headline figures
Quarter ended March 31, 2024, as reported in this filing, compared with the same period a year earlier where the filing states it.
- Revenue
- $161.06M
- up 98.8% from $81M a year earlier
- Net loss
- $11.57M
- compared with a net loss of $5.04M a year earlier
- Diluted EPS
- -$0.54
- compared with -$0.19 a year earlier
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
For the Quarterly period ended
or
Commission File Number:
(Exact name of registrant as specified in its charter)
|
|
|
|
||
(State or other jurisdiction of incorporation or organization) |
|
(I.R.S. Employer Identification No.) |
|
|
|
|
||
(Address of principal executive offices) |
|
(Zip Code) |
(
(Registrant’s telephone number, including area code)
|
|
|
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
|
|
|
|
|
Large accelerated filer |
|
|
Accelerated filer |
|
|
|
Smaller reporting company |
||
|
|
|
Emerging growth company |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No
If an emerging growth company, indicate by a check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
As of May 1, 2024, there were
FREIGHTCAR AMERICA, INC.
INDEX TO FORM 10-Q
|
|
|
Item |
|
Page |
|
PART I – FINANCIAL INFORMATION |
|
1. |
|
|
|
Condensed Consolidated Balance Sheets (Unaudited) as of |
3 |
|
4 |
|
|
5 |
|
|
Condensed Consolidated Statements of Stockholders’ Equity (Unaudited) for the |
6 |
|
7 |
|
|
Notes to Condensed Consolidated Financial Statements (Unaudited) |
8 |
2. |
Management’s Discussion and Analysis of Financial Condition and Results of Operations |
17 |
4. |
21 |
|
|
PART II – OTHER INFORMATION |
|
1. |
22 |
|
2. |
22 |
|
3. |
22 |
|
4. |
22 |
|
5. |
22 |
|
6. |
22 |
|
|
23 |
2
PART I – FINANCIAL INFORMATION
Item 1. Financial Statements.
FreightCar America, Inc.
Condensed Consolidated Balance Sheets
(In thousands, except for share data)
(Unaudited)
|
|
March 31, |
|
|
December 31, |
|
||
Assets |
|
|
|
|||||
Current assets |
|
|
|
|
|
|
||
Cash, cash equivalents and restricted cash equivalents |
|
$ |
|
|
$ |
|
||
Accounts receivable, net of allowance for doubtful accounts of $ |
|
|
|
|
|
|
||
VAT receivable |
|
|
|
|
|
|
||
Inventories, net |
|
|
|
|
|
|
||
Assets held for sale |
|
|
|
|
|
|
||
Related party asset |
|
|
|
|
|
|
||
Prepaid expenses |
|
|
|
|
|
|
||
Total current assets |
|
|
|
|
|
|
||
Property, plant and equipment, net |
|
|
|
|
|
|
||
Railcars available for lease, net |
|
|
|
|
|
|
||
Right of use asset operating lease |
|
|
|
|
|
|
||
Right of use asset finance lease |
|
|
|
|
|
|
||
Other long-term assets |
|
|
|
|
|
|
||
Total assets |
|
$ |
|
|
$ |
|
||
Liabilities, Mezzanine Equity and Stockholders’ Deficit |
|
|
|
|
|
|
||
Current liabilities |
|
|
|
|
|
|
||
Accounts and contractual payables |
|
$ |
|
|
$ |
|
||
Related party accounts payable |
|
|
|
|
|
|
||
Accrued payroll and other employee costs |
|
|
|
|
|
|
||
Accrued warranty |
|
|
|
|
|
|
||
Current portion of long-term debt |
|
|
|
|
|
|
||
Other current liabilities |
|
|
|
|
|
|
||
Total current liabilities |
|
|
|
|
|
|
||
Warrant liability |
|
|
|
|
|
|
||
Accrued pension costs |
|
|
|
|
|
|
||
Lease liability operating lease, long-term |
|
|
|
|
|
|
||
Lease liability finance lease, long-term |
|
|
|
|
|
|
||
Other long-term liabilities |
|
|
|
|
|
|
||
Total liabilities |
|
|
|
|
|
|
||
|
|
|
|
|
|
|||
Mezzanine equity |
|
|
|
|
|
|
||
Series C Preferred stock, $ |
|
|
|
|
|
|
||
Stockholders’ deficit |
|
|
|
|
|
|
||
Preferred stock, $ |
|
|
|
|
|
|
||
Common stock, $ |
|
|
|
|
|
|
||
Additional paid-in capital |
|
|
|
|
|
|
||
Accumulated other comprehensive income |
|
|
|
|
|
|
||
Accumulated deficit |
|
|
( |
) |
|
|
( |
) |
Total stockholders' deficit |
|
|
( |
) |
|
|
( |
) |
Total liabilities, mezzanine equity and stockholders’ deficit |
|
$ |
|
|
$ |
|
||
See Notes to Condensed Consolidated Financial Statements (Unaudited).
3
FreightCar America, Inc.
Condensed Consolidated Statements of Operations
(In thousands, except for share and per share data)
(Unaudited)
|
|
Three Months Ended |
|
|||||
|
|
March 31, |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
|
|
|
||||||
Revenues |
|
$ |
|
|
$ |
|
||
Cost of sales |
|
|
|
|
|
|
||
Gross profit |
|
|
|
|
|
|
||
Selling, general and administrative expenses |
|
|
|
|
|
|
||
Operating income |
|
|
|
|
|
|
||
Interest expense |
|
|
( |
) |
|
|
( |
) |
(Loss) gain on change in fair market value of Warrant liability |
|
|
( |
) |
|
|
|
|
Other expense |
|
|
( |
) |
|
|
( |
) |
Loss before income taxes |
|
|
( |
) |
|
|
( |
) |
Income tax (benefit) provision |
|
|
( |
) |
|
|
|
|
Net loss |
|
$ |
( |
) |
|
$ |
( |
) |
Net loss per common share – basic |
|
$ |
( |
) |
|
$ |
( |
) |
Net loss per common share – diluted |
|
$ |
( |
) |
|
$ |
( |
) |
Weighted average common shares outstanding – basic |
|
|
|
|
|
|
||
Weighted average common shares outstanding – diluted |
|
|
|
|
|
|
||
See Notes to Condensed Consolidated Financial Statements (Unaudited).
4
FreightCar America, Inc.
Condensed Consolidated Statements of Comprehensive Loss
(In thousands)
(Unaudited)
|
|
Three Months Ended |
|
|||||
|
|
March 31, |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
|
|
|
|
|
|
|
||
Net loss |
|
$ |
( |
) |
|
$ |
( |
) |
Other comprehensive income, net of tax: |
|
|
|
|
|
|
||
Unrealized gain on foreign currency derivatives |
|
|
|
|
|
|
||
Pension and postretirement liability adjustments, net of tax |
|
|
|
|
|
|
||
Comprehensive loss |
|
$ |
( |
) |
|
$ |
( |
) |
See Notes to Condensed Consolidated Financial Statements (Unaudited).
5
FreightCar America, Inc.
Condensed Consolidated Statements of Stockholders’ Deficit
(In thousands, except for share data)
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
|
|
FreightCar America Stockholders |
|
||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated |
|
|
|
|
|
|
|
|||||||||||
|
|
Mezzanine Equity |
|
|
|
|
|
|
|
|
|
Additional |
|
|
Other |
|
|
|
|
|
Total |
|
|||||||||||
|
|
Series C Preferred Stock |
|
|
|
Common Stock |
|
|
Paid-In |
|
|
Comprehensive |
|
|
Retained |
|
|
Stockholders' |
|
||||||||||||||
|
|
Shares |
|
|
Amount |
|
|
|
Shares |
|
|
Amount |
|
|
Capital |
|
|
(Loss) Income |
|
|
Deficit |
|
|
Deficit |
|
||||||||
Balance, December 31, 2022 |
|
|
- |
|
|
$ |
- |
|
|
|
|
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
||||
Net loss |
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
( |
) |
|
|
( |
) |
Other comprehensive income |
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
- |
|
|
|
|
||
Restricted stock awards |
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
||
Employee stock settlement |
|
|
- |
|
|
|
- |
|
|
|
|
( |
) |
|
|
- |
|
|
|
( |
) |
|
|
- |
|
|
|
- |
|
|
|
( |
) |
Vesting of restricted stock units |
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
- |
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
|
|||
Stock-based compensation recognized |
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
|
||
Equity Fees |
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
|
||||
Balance, March 31, 2023 |
|
|
- |
|
|
$ |
- |
|
|
|
|
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Balance, December 31, 2023 |
|
|
|
|
$ |
|
|
|
|
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
||||||
Net loss |
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
( |
) |
|
|
( |
) |
Other comprehensive income |
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
- |
|
|
|
|
||
Issuance of Series C preferred shares, net of issuance costs |
|
|
- |
|
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
( |
) |
|
|
( |
) |
|
Restricted stock awards |
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
||
Employee stock settlement |
|
|
- |
|
|
|
- |
|
|
|
|
( |
) |
|
|
- |
|
|
|
( |
) |
|
|
- |
|
|
|
- |
|
|
|
( |
) |
Forfeiture of restricted stock awards |
|
|
- |
|
|
|
- |
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
Stock-based compensation recognized |
|
|
- |
|
|
|
- |
|
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
|
||
Balance, March 31, 2024 |
|
|
|
|
$ |
|
|
|
|
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
||||||
See Notes to Condensed Consolidated Financial Statements (Unaudited).
6
FreightCar America, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
|
|
Three Months Ended March 31, |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
Cash flows from operating activities |
|
|
|
|||||
Net loss |
|
$ |
( |
) |
|
$ |
( |
) |
Adjustments to reconcile net loss to net cash flows used in operating activities: |
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
|
|
|
|
||
Non-cash lease expense on right-of-use assets |
|
|
|
|
|
|
||
Loss (gain) on change in fair market value for Warrant liability |
|
|
|
|
|
( |
) |
|
Stock-based compensation recognized |
|
|
|
|
|
( |
) |
|
Non-cash interest expense |
|
|
|
|
|
|
||
Other non-cash items, net |
|
|
|
|
|
( |
) |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
||
Accounts receivable |
|
|
( |
) |
|
|
|
|
VAT receivable |
|
|
( |
) |
|
|
|
|
Inventories |
|
|
|
|
|
( |
) |
|
Related party asset, net |
|
|
( |
) |
|
|
( |
) |
Accounts and contractual payables |
|
|
( |
) |
|
|
|
|
Income taxes payable, net |
|
|
( |
) |
|
|
( |
) |
Lease liability |
|
|
( |
) |
|
|
( |
) |
Other assets and liabilities |
|
|
( |
) |
|
|
|
|
Net cash flows used in operating activities |
|
|
( |
) |
|
|
( |
) |
Cash flows from investing activities |
|
|
|
|
|
|
||
Purchase of property, plant and equipment |
|
|
( |
) |
|
|
( |
) |
Net cash flows used in investing activities |
|
|
( |
) |
|
|
( |
) |
Cash flows from financing activities |
|
|
|
|
|
|
||
Borrowings on revolving line of credit |
|
|
|
|
|
|
||
Repayments on revolving line of credit |
|
|
( |
) |
|
|
( |
) |
Employee stock settlement |
|
|
( |
) |
|
|
( |
) |
Financing lease payments |
|
|
( |
) |
|
|
( |
) |
Net cash flows used in financing activities |
|
|
( |
) |
|
|
( |
) |
Net decrease in cash and cash equivalents |
|
|
( |
) |
|
|
( |
) |
Cash, cash equivalents and restricted cash equivalents at beginning of period |
|
|
|
|
|
|
||
Cash, cash equivalents and restricted cash equivalents at end of period |
|
$ |
|
|
$ |
|
||
Supplemental cash flow information |
|
|
|
|
|
|
||
Interest paid |
|
$ |
|
|
$ |
|
||
Income taxes paid |
|
$ |
|
|
$ |
|
||
Non-cash transactions |
|
|
|
|
|
|
||
Change in unpaid construction in process |
|
$ |
( |
) |
|
$ |
|
|
Accrued PIK interest paid through issuance of PIK Note |
|
$ |
|
|
$ |
|
||
Issuance of equity fee |
|
$ |
|
|
$ |
|
||
|
|
|
|
|
|
|
||
See Notes to Condensed Consolidated Financial Statements (Unaudited).
7
FreightCar America, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)
(In thousands, except for share and per share data and unless otherwise noted)
Note 1 – Description of the Business
FreightCar America, Inc. (“FreightCar” or the “Company”) operates primarily in North America through its direct and indirect subsidiaries, and designs and manufactures a wide range of railroad freight cars, completes railcar rebody services and railcar conversions that repurpose idled rail assets back into revenue service, supplies railcar parts, and services freight cars. The Company designs and builds high-quality railcars, including bulk commodity cars, covered hopper cars, intermodal and non-intermodal flat cars, mill gondola cars, coil steel cars, coal cars and boxcars, and also specializes in railcar repairs, complete rebody services and the conversion of railcars for re-purposed use. The Company is headquartered in Chicago, Illinois and has facilities in the following locations: Johnstown, Pennsylvania; Shanghai, People’s Republic of China; and Castaños, Coahuila, Mexico (the “Castaños Facility”).
Note 2 – Basis of Presentation
The accompanying condensed consolidated financial statements include the accounts of FreightCar America, Inc. and its subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. The foregoing financial information has been prepared in accordance with the accounting principles generally accepted in the United States of America (“GAAP”) and rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) for interim financial reporting. The preparation of the financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from these estimates. The results of operations for the three months ended March 31, 2024 are not necessarily indicative of the results to be expected for the full year. The accompanying interim financial information is unaudited; however, the Company believes the financial information reflects all adjustments (consisting of items of a normal recurring nature) necessary for a fair presentation of financial position, results of operations and cash flows in conformity with GAAP. The 2023 year-end balance sheet data was derived from the audited financial statements as of December 31, 2023. Certain information and note disclosures normally included in the Company’s annual financial statements prepared in accordance with GAAP have been condensed or omitted. Certain prior year amounts have been reclassified, where necessary, to conform to the current year presentation. These interim financial statements should be read in conjunction with the audited financial statements contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023.
Note 3 – Revenue Recognition
The following table disaggregates the Company’s revenues by major source:
|
|
Three Months Ended |
|
|||||
|
|
March 31, |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
Railcar sales |
|
$ |
|
|
$ |
|
||
Parts sales |
|
|
|
|
|
|
||
Revenues from contracts with customers |
|
|
|
|
|
|
||
Leasing revenues |
|
|
|
|
|
|
||
Total revenues |
|
$ |
|
|
$ |
|
||
Contract Balances and Accounts Receivable
Contract assets represent the Company’s rights to consideration for performance obligations that have been satisfied but for which the terms of the contract do not permit billing at the reporting date. The Company had
Performance Obligations
8
The Company is electing not to disclose the value of the remaining unsatisfied performance obligations with a duration of one year or less as permitted by ASU 2014-09, Revenue from Contracts with Customers. The Company had remaining unsatisfied performance obligations as of March 31, 2024 with expected duration of greater than one year of $
Note 4 – Segment Information
The Company’s operations consist of
Segment operating income is an internal performance measure used by the Company’s Chief Operating Decision Maker to assess the performance of each segment in a given period. Segment operating income includes all external revenues attributable to the segments as well as operating costs and income that management believes are directly attributable to the current production of goods and services. The Company’s internal management reporting package does not include interest revenue, interest expense or income taxes allocated to individual segments and these items are not considered as a component of segment operating income. Segment assets represent operating assets and exclude intersegment accounts, deferred tax assets and income tax receivables. The Company does not allocate cash and cash equivalents and restricted cash and restricted cash equivalents to its operating segments as the Company’s treasury function is managed at the corporate level. Intersegment revenues were not material in any period presented.
|
|
Three Months Ended |
|
|||||
|
|
March 31, |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
Revenues: |
|
|
|
|
|
|
||
Manufacturing |
|
$ |
|
|
$ |
|
||
Corporate and Other |
|
|
|
|
|
|
||
Consolidated revenues |
|
$ |
|
|
$ |
|
||
|
|
|
|
|
|
|
||
Operating income (loss): |
|
|
|
|
|
|
||
Manufacturing |
|
$ |
|
|
$ |
|
||
Corporate and Other |
|
|
( |
) |
|
|
( |
) |
Consolidated operating income |
|
|
|
|
|
|
||
Consolidated interest expense |
|
|
( |
) |
|
|
( |
) |
(Loss) gain on change in fair market value of Warrant liability |
|
|
( |
) |
|
|
|
|
Consolidated other expense |
|
|
( |
) |
|
|
( |
) |
Consolidated loss before income taxes |
|
$ |
( |
) |
|
$ |
( |
) |
|
|
|
|
|
|
|
||
Depreciation and amortization: |
|
|
|
|
|
|
||
Manufacturing |
|
$ |
|
|
$ |
|
||
Corporate and Other |
|
|
|
|
|
|
||
Consolidated depreciation and amortization |
|
$ |
|
|
$ |
|
||
|
|
|
|
|
|
|
||
Capital expenditures: |
|
|
|
|
|
|
||
Manufacturing |
|
$ |
|
|
$ |
|
||
Corporate and Other |
|
|
|
|
|
|
||
Consolidated capital expenditures |
|
$ |
|
|
$ |
|
||
|
|
March 31, |
|
|
December 31, |
|
||
|
|
2024 |
|
|
2023 |
|
||
Assets: |
|
|
|
|
|
|
||
Manufacturing |
|
$ |
|
|
$ |
|
||
Corporate and Other |
|
|
|
|
|
|
||
Total operating assets |
|
|
|
|
|
|
||
Consolidated income taxes receivable |
|
|
|
|
|
|
||
Consolidated assets |
|
$ |
|
|
$ |
|
||
9
|
Geographic Information |
|
||||||||||||||
|
|
Revenues |
|
|
Long Lived Assets(a) |
|
||||||||||
|
|
Three Months Ended |
|
|
|
|
|
|
|
|||||||
|
|
March 31, |
|
|
March 31, |
|
|
December 31, |
|
|||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||
United States |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Mexico |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
(a)
Note 5 – Fair Value Measurements
The following table sets forth by level within the fair value hierarchy the Company’s financial assets that were recorded at fair value on a recurring basis and the Company’s non-financial assets that were recorded at fair value on a non-recurring basis.
Recurring Fair Value Measurements |
|
As of March 31, 2024 |
|
|||||||||||||
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Warrant liability |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Foreign currency derivative asset |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Recurring Fair Value Measurements |
|
As of December 31, 2023 |
|
|||||||||||||
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Warrant liability |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Foreign currency derivative asset |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Non-recurring Fair Value Measurements |
|
During the Three Months Ended March 31, 2024 |
|
|||||||||||||
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Assets held for sale |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Non-recurring Fair Value Measurements |
|
During the Year Ended December 31, 2023 |
|
|||||||||||||
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Railcars available for lease, net |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
The fair value of the Company’s Warrant liability recorded in the Company’s financial statements, determined using the quoted price of the Company’s common stock, par value $
The fair value of the Company’s foreign currency derivative asset determined using exit prices obtained from each counterparty, which are based on currency spot and forward rates at March 31, 2024 and December 31, 2023 in an active market, is a Level 2 measurement. See Note 15 - Derivatives.
The fair value of the Company's fleet of triple hopper aggregate railcars determined using a cost plus market approach for a portion of the assets and a market-based approach for the remainder of the assets at December 31, 2023, is a Level 3 measurement. In the first quarter of 2024, the Company gained possession of these railcars. The portion of railcars intended to be sold in their current condition were classified as assets held for sale, while the remaining railcars intended to be converted into a new car type were classified as inventory as of March 31, 2024.
10
Note 6 – Restricted Cash
The Company establishes restricted cash balances when required by customer contracts and to collateralize standby letters of credit. The carrying value of restricted cash approximates fair value.
The Company’s restricted cash balances are as follows:
|
|
March 31, |
|
|
December 31, |
|
||
|
|
2024 |
|
|
2023 |
|
||
Restricted cash from customer deposit |
|
$ |
|
|
$ |
|
||
Restricted cash to collateralize standby letters of credit |
|
|
|
|
|
|
||
Restricted cash to collateralize foreign currency derivatives |
|
|
|
|
|
|
||
Total restricted cash and restricted cash equivalents |
|
$ |
|
|
$ |
|
||
Note 7 – Inventories
Inventories, net of reserve for excess and obsolete items, consist of the following:
|
|
March 31, |
|
|
December 31, |
|
||
|
|
2024 |
|
|
2023 |
|
||
Raw materials |
|
$ |
|
|
$ |
|
||
Work in process |
|
|
|
|
|
|
||
Finished railcars |
|
|
|
|
|
|
||
Parts inventory |
|
|
|
|
|
|
||
Total inventories, net |
|
$ |
|
|
$ |
|
||
Inventory on the Company’s condensed consolidated balance sheets includes reserves of $
Note 8 – Product Warranties
Warranty terms are based on the negotiated railcar sale, rebody or conversion contract, as applicable. The Company generally warrants that new railcars produced by it will be free from defects in material and workmanship under normal use and service identified for a period of up to
|
|
|
March 31, |
|
|
||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
||
|
|
|
|
|
|
|
|
|
|
||
Balance at the beginning of the year |
|
|
$ |
|
|
|
$ |
|
|
||
Current year provision |
|
|
|
|
|
|
|
|
|
||
Reductions for payments, costs of repairs and other |
|
|
|
( |
) |
|
|
|
( |
) |
|
Adjustments to prior warranties |
|
|
|
( |
) |
|
|
|
( |
) |
|
Balance at the end of the year |
|
|
$ |
|
|
|
$ |
|
|
||
|
|
|
|
|
|
|
|
|
|
||
Adjustments to prior warranties include changes in the warranty reserve for warranties issued in prior periods due to expiration of the warranty period, revised warranty cost estimates and other factors.
Note 9 – Revolving Credit Facility
Total outstanding debt under the Company’s revolving credit facility consists of $
As of March 31, 2024, a revolving line of credit maturing on
11
The standby letter of credit bears interest at the prime rate of interest (“Prime”) plus
The fair value of debt approximates its carrying value as of March 31, 2024 and December 31, 2023.
Note 10 – Warrants
The Company issued warrants to OC III LFE II LP (“OC III LFE”) and various affiliates of OC III LFE (collectively, the “Warrantholder”) in previous years to purchase a number of shares of Common Stock equal to
The 2020 Warrant, issued in November 2020, was exercisable for an aggregate of
The 2020 Warrant, 2021 Warrant, 2022 Warrant and 2023 Warrant are collectively referred to herein as the “Warrant”. As of March 31, 2024, the Warrants is classified as a liability and subject to fair value remeasurement at each balance sheet date. The fair value of the Warrant at March 31, 2024 and December 31, 2023 was $
Note 11 – Mezzanine Equity
In May 2023, the Company issued to OC III LFE
The Preferred Stock ranks senior to the Common Stock with respect to payment of dividends and distribution of assets upon liquidation, dissolution and winding up. Dividends accrue at a rate of
The Company may redeem outstanding shares of Preferred Stock at any time by payment of the initial stated value plus accrued dividends. If the Company has not redeemed all of the outstanding shares of Preferred Stock on or prior to the fourth anniversary of issuance, the dividend rate will increase by
The Preferred Stock has similar characteristics of an “Increasing Rate Security” as described by SEC Staff Accounting Bulletin Topic 5Q, Increasing Rate Preferred Stock. As a result, and as the Company has the ability to redeem all of the outstanding shares of the Preferred Stock before the occurrence of a Dividend Rate Increase, the discount on outstanding shares of Preferred Stock is considered an unstated dividend cost that is amortized over the period preceding commencement of the Dividend Rate Increase using the effective interest method, by charging imputed dividend cost against retained earnings, or additional paid in capital in the absence of retained earnings, and increasing the carrying amount of the outstanding shares of Preferred Stock by a corresponding amount. Accordingly, the discount is amortized over four years using the effective yield method. Issuance costs of $
12
Note 12 – Accumulated Other Comprehensive Income
The changes in accumulated other comprehensive income consist of the following:
Three months ended March 31, 2024 |
|
Pre-Tax |
|
|
Tax |
|
|
After-Tax |
|
|||
Pension liability activity: |
|
|
|
|
|
|
|
|
|
|||
Reclassification adjustment for amortization of net loss (pre-tax other income) |
|
$ |
|
|
$ |
- |
|
|
$ |
|
||
Foreign currency derivative asset activity: |
|
|
|
|
|
|
|
|
|
|||
Unrealized gain on foreign currency derivatives |
|
$ |
|
|
$ |
- |
|
|
$ |
|
||
|
|
$ |
|
|
$ |
- |
|
|
$ |
|
||
Three months ended March 31, 2023 |
|
|
|
|
|
|
|
|
|
|||
Pension liability activity: |
|
|
|
|
|
|
|
|
|
|||
Reclassification adjustment for amortization of net loss (pre-tax other income) |
|
$ |
|
|
$ |
- |
|
|
|
|
||
The components of accumulated other comprehensive income consist of the following:
|
|
March 31, |
|
|
December 31, |
|
||
|
|
2024 |
|
|
2023 |
|
||
Unrecognized pension income, net of tax of $ |
|
$ |
|
|
$ |
|
||
Unrealized gain on foreign currency derivatives |
|
|
|
|
|
|
||
|
|
$ |
|
|
$ |
|
||
Note 13 – Stock-Based Compensation
Total stock-based compensation was $
In June 2023, the Company issued
Note 14 – Employee Benefit Plans
The Company has a qualified, defined benefit pension plan (the “Plan”) that was established to provide benefits to certain employees. The Plan is frozen and participants are no longer accruing benefits. Generally, contributions to the Plan were not less than the minimum amounts required under the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), and not more than the maximum amount that can be deducted for federal income tax purposes. The Plan assets are held by an independent trustee and consist primarily of equity and fixed income securities.
The components of net periodic benefit cost (benefit) for the three months ended March 31, 2024 and 2023, are as follows:
|
Three Months Ended |
|
|||||
|
March 31, |
|
|||||
Pension Benefits |
2024 |
|
|
2023 |
|
||
$ |
|
|
$ |
|
|||
|
( |
) |
|
|
( |
) |
|
|
|
|
|
|
|||
|
$ |
|
|
$ |
|
||
The Company made
The Company also maintains qualified defined contribution plans, which provide benefits to employees based on employee contributions and employee earnings with discretionary contributions allowed.
13
Note 15 – Derivatives
The Company’s operations and expenditures in its normal course of business are subject to opportunities and risks related to foreign currency fluctuations. The Company currently utilizes foreign currency forward contracts to protect against downward currency exposure by hedging Mexican Peso denominated expenses against the risk of volatility in foreign currency exchange rates between the Mexican Peso and the U.S. Dollar.
During 2023 and 2024, the Company entered into forward contracts to hedge the Company’s anticipated and probable Mexican Peso denominated expenses against the foreign currency rate exposure.
The Company assesses the assumed effectiveness of the contracts at each reporting period. The foreign currency derivatives are recorded on the balance sheet at fair value. The Company records unrealized gains or losses related to changes in the fair value of the forward contracts in other comprehensive income as long as the contracts are assumed to be effective. Amounts accumulated in other comprehensive income (loss) are reclassified to the condensed consolidated statements of operations on the same line as the items being hedged when the hedged item impacts earnings or upon determination that the contract is no longer assumed to be effective.
The notional amounts of outstanding foreign currency derivatives are as follows:
|
|
March 31, |
|
|
December 31, |
|
||
Notional Amount |
|
2024 |
|
|
2023 |
|
||
Derivative instruments designated as hedges: |
|
|
|
|
|
|
||
Foreign currency derivatives |
|
$ |
|
|
$ |
|
||
The fair value of outstanding foreign currency derivatives designated as hedges are as follows:
|
|
March 31, |
|
|
December 31, |
|
||
Fair Value |
|
2024 |
|
|
2023 |
|
||
Prepaid expenses: |
|
|
|
|
|
|
||
Foreign currency derivatives |
|
$ |
|
|
$ |
|
||
The pre-tax realized gain on foreign currency derivatives is recognized in the condensed consolidated statements of operations as follows:
|
|
|
|
Amount of (Gain) Recognized |
|
|||||
|
|
|
|
Three Months Ended |
|
|||||
|
|
Location of Realized (Gain) Recognized in the Condensed Consolidated Statements of Operations |
|
2024 |
|
|
2023 |
|
||
Derivative instruments designated as cash flow hedges: |
|
|
|
|
|
|
|
|
||
Foreign currency derivatives |
|
Cost of sales |
|
$ |
( |
) |
|
$ |
( |
) |
14
Note 16 – Earnings (Loss) Per Share
The weighted-average common shares outstanding are as follows:
|
|
Three Months Ended |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
|
|
|
|
|
|
|
||
Numerator: |
|
|
|
|
|
|
||
Net loss |
|
$ |
( |
) |
|
$ |
( |
) |
Accretion of financing fees |
|
|
( |
) |
|
|
|
|
Accrued dividends on Series C Preferred Stock |
|
|
( |
) |
|
|
|
|
Net loss available to common stockholders - basic |
|
$ |
( |
) |
|
$ |
( |
) |
Net loss available to common stockholders - diluted |
|
$ |
( |
) |
|
$ |
( |
) |
Denominator: |
|
|
|
|
|
|
||
Weighted average common shares outstanding |
|
|
|
|
|
|
||
Issuance of Warrants |
|
|
|
|
|
|
||
Weighted average common shares outstanding - basic |
|
|
|
|
|
|
||
Weighted average common shares outstanding - diluted |
|
|
|
|
|
|
||
The Company computes earnings per share using the two-class method, which is an earnings allocation formula that determines earnings per share for Common Stock and participating securities. The Company’s participating securities are its grants of restricted stock which contain non-forfeitable rights to dividends. The Company allocates earnings between both classes; however, in periods of undistributed losses, they are only allocated to common shares as the unvested restricted stockholders do not contractually participate in losses of the Company. The Company computes basic earnings per share by dividing net income allocated to common shareholders by the weighted average number of shares outstanding during the period. Warrants issued in connection with the Company's long-term debt were issued at a nominal exercise price and are considered outstanding at the date of issuance. The 2023 Warrant was issued out-of-the money and the Company will apply the treasury stock method to the 2023 Warrant when computing earnings per share. Diluted earnings per share is calculated to give effect to all potentially dilutive common shares that were outstanding during the period. Weighted average diluted common shares outstanding include the incremental shares that would be issued upon the assumed exercise of stock options and the assumed vesting of nonvested share awards. For the three months ended March 31, 2024 and 2023,
Note 17 – Related Parties
The following persons are owners of Fabricaciones y Servicios de México, S.A. de C.V. (“Fasemex”): Jesús Gil, a director of the Company and former VP, Operations; and Alejandro Gil and Salvador Gil, siblings of Jesús Gil. Fasemex owns approximately
The Company paid $
Commercial Specialty Truck Holdings, LLC (“CSTH”) is minority owned by James R. Meyer, a member of our Board, our former CEO, and beneficial owner of over
Related party asset on the condensed consolidated balance sheet of $
15
Note 18 – Income Taxes
The Company’s tax provision for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items. The Company’s reported effective income tax rate was
16
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This Quarterly Report on Form 10-Q contains certain forward-looking statements including, in particular, statements about our plans, strategies and prospects. We have used the words “may,” “will,” “expect,” “anticipate,” “believe,” “estimate,” “plan,” “likely,” “unlikely,” “intend” and similar expressions in this report to identify forward-looking statements. We have based these forward-looking statements on our current views with respect to future events and financial performance. However, forward-looking statements inherently involve potential risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. These potential risks and uncertainties relate to, among other things, the cyclical nature of our business; adverse economic and market conditions, including inflation; material disruption in the movement of rail traffic for deliveries; fluctuating costs of raw materials, including steel and aluminum; delays in the delivery of raw materials; our ability to maintain relationships with our suppliers of railcar components; successfully onboarding our new chief executive officer; the highly competitive nature of our industry; our reliance upon a small number of customers that represent a large percentage of our sales; the variable purchase patterns of our customers and the timing of completion; delivery and customer acceptance of orders; the risk of lack of acceptance of our new railcar offerings; and other competitive factors. The factors listed above are not exhaustive. Other sections of this Quarterly Report on Form 10-Q include additional factors that could materially and adversely affect our business, financial condition and results of operations. New factors emerge from time to time and it is not possible for management to predict the impact of all of these factors on our business, financial condition or results of operations or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not rely on forward-looking statements as a prediction of actual results. We expressly disclaim any duty to provide updates to forward-looking statements, and the estimates and assumptions associated with them, in order to reflect changes in circumstances or expectations or the occurrence of unanticipated events except to the extent required by applicable securities laws.
OVERVIEW
You should read the following discussion in conjunction with our condensed consolidated financial statements and related notes included elsewhere in this Quarterly Report on Form 10-Q. This discussion contains forward-looking statements that are based on management’s current expectations, estimates and projections about our business and operations. Our actual results may differ materially from those currently anticipated and expressed in such forward-looking statements. See “Cautionary Statement Regarding Forward-Looking Statements.”
We are a diversified manufacturer of railcars and railcar components. We design and manufacture a broad variety of railcar types for transportation of bulk commodities and containerized freight products primarily in North America. We also provide railcar rebody services and railcar conversions that repurpose idled rail assets back into revenue service, supply railcar parts, and service freight cars. We have been manufacturing railcars since 1901.
Total new orders received for railcars for the three months ended March 31, 2024 were 384 units, consisting of 275 new railcars and 109 rebuilt railcars, compared to orders for 1,960 units, consisting of 1,770 new railcars and 190 rebuilt railcars for the three months ended March 31, 2023. Total backlog of unfilled orders was 2,075 units at March 31, 2024, compared to 2,914 railcars as of December 31, 2023. The estimated sales value of the backlog was $238 million and $348 million, respectively, as of March 31, 2024 and December 31, 2023. The decrease in the number of orders for new railcars for the three months ended March 31, 2024 compared to the prior year period is a reflection of mixed levels of confidence in the economic outlook.
RESULTS OF OPERATIONS
Three Months Ended March 31, 2024 compared to Three Months Ended March 31, 2023
Revenues
Our consolidated revenues for the three months ended March 31, 2024 were $161.1 million compared to $81.0 million for the three months ended March 31, 2023. Manufacturing segment revenues for the three months ended March 31, 2024 were $155.7 million compared to $77.6 million for the corresponding prior year period. The $78.1 million increase in Manufacturing segment revenues was primarily driven by an increase in the volume of railcar units delivered during the quarter, which includes the railcars impacted by the closure of the U.S.-Mexico border in December 2023. Railcar deliveries in the three months ended March 31, 2024 totaled 1,223 units, consisting entirely of new railcars, compared to 738 units in the same period of 2023, consisting of 639 new railcars and 99 rebuilt railcars. Corporate and Other revenues were $5.3 million for the three months ended March 31, 2024 compared to $3.4 million for the three months ended March 31, 2023.
17
Gross Profit
Our consolidated gross profit was $11.4 million for the three months ended March 31, 2024 compared to $7.5 million for the three months ended March 31, 2023. Manufacturing segment gross profit was $8.7 million for the three months ended March 31, 2024 compared to $6.4 million for the three months ended March 31, 2023. The $3.9 million increase in consolidated gross profit and $2.3 million increase in Manufacturing segment gross profit reflects a favorable volume variance partially offset by an unfavorable product mix.
Selling, General and Administrative Expenses
Consolidated selling, general and administrative expenses for the three months ended March 31, 2024 were $7.5 million compared to $6.4 million for the three months ended March 31, 2023. The $1.1 million increase in consolidated selling, general and administrative expenses for the three months ended March 31, 2024 was primarily due to a $0.9 million increase in stock-based compensation expenses. Manufacturing segment selling, general and administrative expenses were $0.5 million for the three months ended March 31, 2024 compared to $0.8 million for the three months ended March 31, 2023. The $0.3 million decrease in Manufacturing selling, general and administrative expenses for the three months ended March 31, 2024 was primarily due to a $0.2 million decrease in consulting expenses. Manufacturing segment selling, general and administrative expenses for the three months ended March 31, 2024 were 0.3% of revenue, compared to 1.0% of revenue for the three months ended March 31, 2023. Corporate and Other selling, general and administrative expenses were $7.0 million for the three months ended March 31, 2024 compared to $5.6 million for the three months ended March 31, 2023. The $1.4 million increase in Corporate and Other selling, general and administrative expenses is primarily a result of the previously mentioned increase in stock-based compensation expenses in the current year.
Operating Income (Loss)
Our consolidated operating income for the three months ended March 31, 2024 was $3.9 million compared to a $1.1 million consolidated operating income for the three months ended March 31, 2023 driven primarily by the previously mentioned gross profit, partially offset by the previously mentioned increase in selling, general and administrative expenses. Operating income for the Manufacturing segment was $8.3 million for the three months ended March 31, 2024 compared to an operating income of $5.6 million for the three months ended March 31, 2023, reflecting the increase in railcars delivered during the three months ended March 31, 2024 compared to the 2023 period. Corporate and Other operating loss was $4.4 million for the three months ended March 31, 2024 compared to $4.5 million for the three months ended March 31, 2023. The $0.1 million decrease in operating loss is primarily a result of the decrease in Corporate and Other gross profit, offset by the previously mentioned increase in stock-based compensation expenses.
Income Taxes
Our income tax benefit was $2.6 million for the three months ended March 31, 2024 compared to our income tax provision of $0.1 million for the three months ended March 31, 2023 primarily due to an increase in the mix of forecasted earnings and permanent items.
Net Loss
As a result of the changes and results discussed above, as well as the change in fair value of the warrant liability, net loss was $11.6 million for the three months ended March 31, 2024 compared to $5.0 million for the three months ended March 31, 2023. For the three months ended March 31, 2024, basic and diluted net loss per share was $0.54 compared to $0.19 for the three months ended March 31, 2023.
LIQUIDITY AND CAPITAL RESOURCES
(In thousands, except for share and per share data and unless otherwise noted)
Our primary sources of liquidity are our cash and cash equivalent balances on hand and our credit and debt facilities outlined below.
Revolving Credit Facility
Total outstanding debt under the Company’s revolving credit facility consists of $30,002 as of March 31, 2024 and $29,415 as of December 31, 2023.
As of March 31, 2024, a revolving line of credit maturing on October 31, 2024 existed in the maximum aggregate principal amount of up to $45,000, secured by a standby letter of credit in the principal amount of $25,000 and the Company’s accounts receivable. In
18
connection with the standby letter of credit, the Company has agreed to pay an affiliate of the lender a fee due and payable in cash of $375 per quarter.
The standby letter of credit bears interest at the prime rate of interest (“Prime”) plus 1.5%, or 10% as of March 31, 2024. Advances secured by the Company’s accounts receivable bear interest at Prime plus 2%, or 10.5% as of March 31, 2024.
Warrant
The Company issued warrants to OC III LFE II LP (“OC III LFE”) and various affiliates of OC III LFE (collectively, the “Warrantholder”) in previous years. In May 2023, the Company issued a warrant to OC III LFE to purchase 1,636,313 shares of the Company’s Common Stock (the “2023 Warrant”), exercisable for a term of ten (10) years from date of issuance with a per share exercise price of $3.57.
Preferred Shares
In May 2023, the Company issued to OC III LFE 85,412 shares of non-convertible Series C Preferred Stock, $0.01 par value per share with an initial stated and fair value of $85,412 or $1,000 per share (the “Preferred Stock”). As of March 31, 2024, 85,412 shares of the Preferred Stock remain issued and outstanding. The Company classifies the Preferred Stock as mezzanine equity (temporary equity outside of permanent equity) since a deemed liquidation event following a change of control may require redemption of the Preferred Stock that is not solely within the control of the Company.
The Preferred Stock ranks senior to the Common Stock with respect to payment of dividends and distribution of assets upon liquidation, dissolution and winding up. Dividends accrue at a rate of 17.5% per annum on the initial stated value. Accrued dividends, whether or not declared, are cumulative. The Preferred Stock will not participate in any dividends paid to the holders of shares of Common Stock.
The Company may redeem the outstanding Preferred Stock at any time by payment of the initial stated value plus accrued dividends. If the Company has not redeemed on or prior to the fourth anniversary of issuance, the dividend rate will increase by 0.5% for every quarter thereafter until redeemed in full. OC III LFE has the right to request the Company redeem at any time after the sixth anniversary of issuance. If the Company does not redeem within six months after receipt of a redemption request, OC III LFE will be entitled to certain limited voting rights.
Additional Liquidity Factors
Our restricted cash, restricted cash equivalents and restricted certificates of deposit balances were $1.1 million and $0.7 million as of March 31, 2024 and December 31, 2023, respectively. Restricted deposits of $0.3 million as of each of March 31, 2024 and December 31, 2023 relate to a customer deposit for the purchase of railcars. Restricted deposits of $0.1 million as of each of March 31, 2024 and December 31, 2023 are used to collateralize standby letters of credit with respect to performance guarantees. The standby letters of credit outstanding as of March 31, 2024 are a requirement as long as the performance guarantees are in place. Restricted deposits of $0.7 million and $0.3 million as of March 31, 2024 and December 31, 2023, respectively, are used to collateralize foreign currency derivatives.
Based on our current level of operations and known changes in planned volume based on our backlog, we believe that our cash balances will be sufficient to meet our expected liquidity needs for at least the next twelve months. Our long-term liquidity is contingent upon future operating performance and our ability to continue to meet financial covenants under our revolving credit facilities, any other indebtedness and the availability of additional financing if needed. We may also require additional capital in the future to fund working capital as demand for railcars increases, payments for contractual obligations, organic growth opportunities, including new plant and equipment and development of railcars, joint ventures, international expansion and acquisitions, and these capital requirements could be substantial.
Based upon our operating performance and capital requirements, we may, from time to time, be required to raise additional funds through additional offerings of our equity or debt and through long-term borrowings. There can be no assurance that long-term debt, if needed, will be available on terms attractive to us, or at all. Furthermore, any additional equity financing may be dilutive to stockholders and debt financing, if available, may involve restrictive covenants. Our failure to raise capital if and when needed could have a material adverse effect on our results of operations and financial condition.
19
Cash Flows
The following table summarizes our cash flow activities for the three months ended March 31, 2024 and 2023:
|
|
2024 |
|
|
2023 |
|
||
|
|
(In thousands) |
|
|||||
Net cash used in: |
|
|
|
|
|
|
||
Operating activities |
|
$ |
(25,322 |
) |
|
$ |
(7,704 |
) |
Investing activities |
|
|
(966 |
) |
|
|
(1,960 |
) |
Financing activities |
|
|
(295 |
) |
|
|
(449 |
) |
Total |
|
$ |
(26,583 |
) |
|
$ |
(10,113 |
) |
Operating Activities. Our net cash used in operating activities reflects net loss adjusted for non-cash charges and changes in operating assets and liabilities. Cash flows from operating activities are affected by several factors, including fluctuations in business volume, contract terms for billings and collections, the timing of collections on our contract receivables, processing of bi-weekly payroll and associated taxes, payments to our suppliers and other operating activities. As some of our customers accept delivery of new railcars in train-set quantities, variations in our sales lead to significant fluctuations in our operating profits and cash from operating activities.
Our net cash used in operating activities for the three months ended March 31, 2024 was $25.3 million compared to net cash used in operating activities of $7.7 million for the three months ended March 31, 2023. Our net cash used in operating activities for the three months ended March 31, 2024 reflects changes in working capital, including increases in accounts receivable of $28.6 million, offset by decreases in inventory of $17.0 million and in accounts payable of $7.9 million. The increase in accounts receivable relates to the timing of collections with current railcar builds based on contractual payment terms. Decreases in accounts payable and inventory relate to inventory on hand at December 31, 2023 used in production of railcars delivered in the first quarter of 2024. Our net cash used in operating activities for the three months ended March 31, 2023 reflects changes in working capital, including increases in inventory of $19.7 million offset by decreases in VAT receivable of $3.0 million and increases in accounts payable of $9.7 million.
Investing Activities. Net cash used in investing activities for the three months ended March 31, 2024 was $1.0 million and consisted of capital expenditures related to the expansion of the Castaños Facility. Net cash used in investing activities for the three months ended March 31, 2023 was $2.0 million and consisted of capital expenditures related to the construction in progress for the Castaños Facility operations.
Financing Activities. Net cash used in financing activities for the three months ended March 31, 2024 was $0.3 million which included net borrowings on revolving line of credit of $0.6 million and principal payments on the finance lease of $0.8 million. Net cash used in financing activities for the three months ended March 31, 2023 was $0.4 million which included net borrowings on revolving line of credit of $0.2 million, principal payments on the finance lease of $0.1 million and employee stock settlements of $0.1 million.
Capital Expenditures
Our capital expenditures were $1.0 million in the three months ended March 31, 2024, compared to $2.0 million in the three months ended March 31, 2023. We anticipate capital expenditures during 2024 to be in the range of $5.0 million to $7.0 million, primarily related to maintenance of current production lines at the Castaños Facility.
20
Item 4. Controls and Procedures.
Management’s Report on Internal Control over Financial Reporting
The Company’s management evaluated, with the participation of the Company’s principal executive officer and principal financial officer, the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), as of March 31, 2024. Based on their evaluation, the Company’s management concluded that the Company’s disclosure controls and procedures were effective as of March 31, 2024.
Changes in Internal Control Over Financial Reporting
There have been no changes in our internal control over financial reporting (as such term is defined in Rules 13a–15(f) and 15d–15(f) under the Exchange Act) during the quarter ended March 31, 2024 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
21
PART II – OTHER INFORMATION
Item 1. Legal Proceedings.
From time to time, the Company is involved in certain pending and threatened legal proceedings in the normal course of business. In the opinion of management, the Company is not aware of any such proceedings that are expected to be material to the Company’s consolidated financial condition, results of operations, or cash flows.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
None.
Item 3. Defaults Upon Senior Securities.
None.
Item 4. Mine Safety Disclosures.
Not applicable.
Item 5. Other Information.
None.
Item 6. Exhibits.
101.INS |
Inline XBRL Instance Document |
101.SCH |
Inline XBRL Taxonomy Extension Schema Document |
101.CAL |
Inline XBRL Taxonomy Extension Calculation Linkbase Document |
101.DEF |
Inline XBRL Taxonomy Extension Definition Linkbase Document |
101.LAB |
Inline XBRL Taxonomy Extension Label Linkbase Document |
101PRE |
Inline XBRL Taxonomy Extension Presentation Linkbase Document |
|
|
Exhibit 104 |
Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101). |
22
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
|
|
|
|
|
|
|
|
|
|
FREIGHTCAR AMERICA, INC. |
|
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ NICHOLAS J. RANDALL |
|
|
|
Nicholas J. Randall, President and Chief Executive Officer (Principal Executive Officer) |
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ MICHAEL A. RIORDAN |
|
|
|
Michael A. Riordan, Vice President, Finance, Chief Financial Officer and Treasurer (Principal Financial Officer) |
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ JUAN CARLOS FUENTES SIERRA |
|
|
|
Juan Carlos Fuentes Sierra, Corporate Controller and Chief Accounting Officer (Principal Accounting Officer) |
23
Exhibit 10.3
ROYALTY AGREEMENT
THIS ROYALTY AGREEMENT (the “Agreement”) is made as of Janury 23, 2024 (the “Effective Date”) by and among FreightCar America, Inc., a Delaware corporation with offices at 125 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), and Alejandro Gil Benavides, a Mexican individual, with domicile at Barranquilla 404, col. Guadalupe, Monclova, Coahuila México, C.P. 25750 (The “Royalty Payee”), and FCA and Royalty Payee are collectively referred to herein as the “Parties”.
RECITALS
A. Whereas Royalty Payee has industrial, commercial and technical knowledge and information (the "Knowledge") consisting of:
(i) Knowledge related to the way of doing business in Mexico by domestic and foreign investors,
(ii) Knowledge as to of how to do business in the metal-mechanic, casting, smelting and manufacturing of metallic materials such as steel,
(iii) Knowledge of the industrial process to manufacture Railcars and Tank Cars (as defined below),
(iv) Knowledge related to the design and construction of industrial facilities for the Railcars and Tank Cars (as defined below) manufacturing industry, as well as the negotiation and contracting of suppliers in different segments of the services related to the construction of industrial facilities,
(v) Knowledge of the supplier and supply-chain market related to the businesses and industries mentioned in the preceding paragraphs,
(vi) Knowledge of the labor market, both related to human resources matters and union |
CONTRATO DE REGALÍAS
ESTE CONTRATO DE REGALÍAS (el “Contrato”) de fecha 23 de enero de 2024 (la “Fecha de Inicio”) celebrado por y entre Freightcar America, Inc. una sociedad de Delaware con oficinas en 25 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), y Alejandro Gil Benavides, una persona física mexicana, con domicilio en Barranquilla 404, col. Guadalupe, Monclova, Coahuila México, C.P. 25750 (el “Acreedor”). y FCA y el Acreedor conjuntamente referidos como las “Partes”.
ANTECEDENTES
A. Considerando que el Acreedor posee conocimientos e información industrial, comercial y técnica (los “Conocimientos”) consistentes en:
(i) Conocimientos sobre la manera de realizar negocios en México por parte de empresas nacionales e inversionistas extranjeros,
(ii) Conocimientos sobre la manera de realizar negocios en el mercado metalmecánico, de la fundición, fusión y manufactura de materiales metálicos como el acero,
(iii) Conocimientos sobre el proceso industrial de manufactura de Vagones y Vagones Cisterna (como se definen más adelante),
(iv) Conocimientos en materia de diseño y construcción de naves industriales para la industria de manufactura de Vagones y Vagones Cisterna (como se definen más adelante), así como de la negociación y contratación de proveedores en distintos segmentos de la prestación de servicios de construcción de naves industriales,
(v) Conocimientos del mercado de proveedores y la cadena de suministro relacionados con los negocios y la industria mencionada en los incisos anteriores,
(vi) Conocimientos del mercado laboral, tanto en lo que respecta a asuntos de recursos humanos |
matters in Monclova, Coahuila and the region, and in Mexico, in general,
(vii) Knowledge of the logistics systems, customs matters and foreign trade operations, in general, and in particular for Railcars and Tank Cars (as defined below),
(viii) Knowledge on the creation, implementation and administration of businesses of the nature of those mentioned in the preceding paragraphs in the market of Monclova, Coahuila, and
(ix) Knowledge of the local customs and practices of the Monclova market, the Mexican market and the export market to the United States in the aforementioned businesses.
B. Whereas, Royalty Payee, based on his Knowledge, has created, together with Mr. Jesus Salvador Gil Benavides, and Mr. Salvador Gil Benavides (the “Gils”), a business plan and model for the performance of all the activities necessary to carry out the manufacture and repair of Railcars and Tank Cars (as defined below) in the Mexican market and, in particular, in the city of Monclova, Coahuila, as well as for its export to the United States (the “Business Plan and Model”).
C. Considering that Royalty Payee has delivered by different means, especially orally, his Knowledge and the Business Plan and Model to FCA, including its subsidiary, FCA-Fasemex, S. de R.L. de C.V., so that they are able to operate a certain industrial facility located in the city of Monclova, Coahuila, for the manufacture and repair of Railcars and Tank Cars (as defined below).
AGREEMENT
Now, therefore, in consideration of the mutual promises and covenants herein contained, the Parties hereto agrees as follows:
1. ROYALTY.
(a) During each applicable Production Line Period (as defined below), FCA will pay to Royalty Payee (i) 0.52632% of FCA’s Railcar |
como a asuntos sindicales en Monclova, Coahuila y la región, y en México, en general,
(vii) Conocimientos en materia de operaciones logísticas, aduaneras y de comercio exterior, en general, y en particular para Vagones y Vagones Cisterna (como se define más adelante)
(viii) Conocimientos sobre la realización, implementación y administración de negocios de la naturaleza de los mencionados en los puntos anteriores en el mercado de Monclova, Coahuila, y
(ix) Conocimientos sobre los usos y costumbres del mercado de Monclova, el mercado mexicano y del mercado de exportación a los Estados Unidos en los negocios anteriormente señalados.
B. Considerando que, el Acreedor, con base a sus Conocimientos, ha elaborado, en conjunto con los señores Jesús Salvador Gil Benavides y Salvador Gil Benavides (los “Señores Gil”), un plan y modelo de negocios para la realización de la totalidad de las actividades necesarias para llevar a cabo la manufactura y reparación de Vagones y Vagones Cisterna (como se define más adelante) en el mercado mexicano y, en particular, en la ciudad de Monclova, Coahuila, así como para su exportación a los Estados Unidos (el “Plan y Modelo de Negocios”).
C. Considerando que el Acreedor ha entregado por distintos medios, especialmente oral, sus Conocimientos y el Plan y Modelo de Negocios a FCA, incluyendo su subsidiaria, FCA-Fasemex, S. de R.L. de C.V., para que estén en posibilidad de operar cierta nave industrial ubicada en la ciudad de Monclova, Coahuila, para la manufactura y reparación de Vagones y Vagones Cisterna (como se define más adelante)
CONTRATO
Ahora, por lo tanto, en consideración de las promesas y obligaciones mutuas aquí contenidas, las Partes acuerdan lo siguiente:
1. REGALÍAS.
(b) Durante cada Periodo de Línea de Producción (como se define más adelante) |
Sales Net Revenue (as defined below) and (ii) 0.65790% of FCA’s Tank Car Sales Net Revenue (as defined below); the payment specified in this clause (ii) and clause (i) of this sentence, collectively, the “Royalty”) on and subject to the terms and conditions of this Agreement. The Royalty shall be paid to the account specified on Exhibit I attached hereto (the “Account”). FCA’s obligations with respect to any such payment shall be complete when paid to the Account.
(c) During each applicable Production Line Period (as defined below), a Royalty obligation shall accrue, with respect to each Railcar or Tank Car (as such terms are defined below), upon the sale of (i) such new railcar or converted, modified, refurbished or repaired railcar, other than tank cars, to third parties or to FCA for its own leasing fleet (the “Railcars”), or (ii) such new tank car or converted, modified, refurbished or repaired tank car, to third parties or to FCA for its own leasing fleet (the “Tank Cars”) (the Railcars and the Tank Cars, collectively, the “Products”). A Product shall be considered “sold” when such Product is shipped and FCA is paid in full for such Product, when sold to third parties or when shipped to FCA when it will use them for its own leasing fleet and “repaired” shall mean programmed repair work, excluding under warranty repair works and normal course field repairs.
(d) With respect to (i) the first and second production lines that have been constructed to produce Railcars or Tank Cars at the Castaños facility in Castaños, Mexico (the “Castaños Facility”), a Royalty shall only accrue for a period terminating on August 31, 2037; (ii) the third and fourth production lines that are being constructed to produce Railcars or Tank Cars at the Castaños Facility, a Royalty shall only accrue for a period of seventeen (17) years, commencing on the first day of the month during which production commences on the third or fourth lines, whichever line is earlier between these two; and (iii) any other production lines constructed by FCA at the Castaños Facility or elsewhere within Mexico, a Royalty shall only accrue for a |
aplicable, FCA pagará al Acreedor (i) el 0.52632% de los Ingresos Netos por Ventas de Vagones (como se define más adelante) de FCA y (ii) el 0.65790% de los Ingresos Netos por Ventas de Vagones Cisterna (como se define más adelante) de FCA; el pago especificado en esta cláusula (ii) y en la fracción (i) de esta oración, colectivamente, la "Regalía") en los términos y condiciones del presente Contrato. La Regalía se abonará a la cuenta especificada en el Anexo I adjunto al presente (la "Cuenta"). Las obligaciones de FCA con respecto a cualquier pago de este tipo se completarán cuando se abone en la Cuenta.
(b) Durante cada Periodo de Línea de Producción (como se define más adelante) aplicable, se devengará una obligación de Regalía, con respecto a cada Vagón o Vagón Cisterna (tal y como se definen dichos términos más adelante), por la venta de (i) cada vagón de ferrocarril nuevo o convertido, modificado, reformado o reparado, distinto de los vagones cisterna, a terceros o a FCA para su propia flota de renta (los “Vagones”), o (ii) cada vagón cisterna nuevo o vagón cisterna convertido, modificado, reformado o reparado, a terceros o a FCA para su propia flota de renta (los “Vagones Cisterna”) (los Vagones y los Vagones Cisterna, conjuntamente, los “Productos”). Un Producto se considerará "vendido" cuando dicho Producto se envíe y se pague íntegramente a FCA por dicho Producto, cuando se venda a terceros o cuando se envíe a FCA cuando los vaya a utilizar para su propia flota de renta y "reparado" significará el trabajo de reparación programado, excluyendo los trabajos de reparación en garantía y las reparaciones de campo en curso normal.
(c) En relación a (i) la primera y segunda líneas de producción que se han construido para producir Vagones o Vagones Cisterna en la nave de Castaños en Castaños, México (la “Nave de Castaños"), sólo se devengará una Regalía durante un periodo que finalizará el 31 de agosto de 2037; (ii) la tercera y cuarta líneas de producción que se están construyendo para producir Vagones o Vagones Cisterna en la Nave de Castaños, sólo se devengará una Regalía durante un periodo de diecisiete (17) años, a partir del primer día del mes en que comience la producción en la tercera o cuarta línea, la que sea anterior entre estas dos; y (iii) cualquier otra línea de producción construida por FCA en la Nave de |
period of years, commencing on the first day of the month during which production commences on such additional line(s) and ending on the same date that the Royalty obligation for the first and second production lines ended ((i), (ii), and (iii) together, the “Production Line Periods”).
(e) The Royalty shall be calculated in accordance with Sections 1(a) and 1(b) on a calendar quarter basis (the “Royalty Period”) by FCA and shall be payable by FCA no later than thirty (30) calendar days after the end of the preceding full quarterly period. For purposes of clarity, the Royalty calculated for any given Royalty Period will include any deemed sales (pursuant to Section 1(b)), during such Royalty Period.
(f) For each Royalty Period, within fifteen (15) business days of the end of such period, FCA shall provide Royalty Payee with a written royalty statement. Such royalty statement shall be certified as accurate by a duly authorized officer of FCA reciting (i) the number and types of Railcars or Tank Cars sold (or deemed sold pursuant to Section 1(b)) during the applicable Royalty Period, (ii) the applicable end customers gross invoice, and (iii) the costs of freight, insurance and/or custom duties and fees excluded from Railcar Sales Net Revenue (as defined below) or Tank Car Sales Net Revenue (as defined below) for each shipment.
(g) “Railcar Sales Net Revenue” shall mean the gross selling price or other consideration received by FCA from the sale of newly manufactured or converted, modified, refurbished or repaired Railcars, other than tank cars, sold to third parties or to FCA for its own leasing fleet. Railcar Sales Net Revenue shall not include out-of-pocket costs of freight, insurance and/or custom duties and fees.
(h) “Tank Car Sales Net Revenue” shall mean the gross selling price or other consideration received by FCA from the sale of newly manufactured or converted, modified, refurbished or repaired Tank Cars sold to third |
Castaños o en cualquier otro lugar dentro de México, sólo se devengará una Regalía por un periodo de años, que comenzará el primer día del mes en que comience la producción en dicha(s) línea(s) adicional(es) y terminará en la misma fecha en que termine la obligación de Regalía para la primera y segunda líneas de producción ((i), (ii) y (iii) en conjunto, los “Periodos de Línea de Producción”).
(d) FCA calculará la Regalía de acuerdo con las Cláusulas 1(a) y 1(b) por trimestres naturales (el “Periodo de Regalía”) y la pagará a más tardar treinta (30) días naturales después del final del periodo trimestral completo anterior. Para propósitos de claridad, la Regalía calculada para cualquier Periodo de Regalía incluirá cualquier venta considerada (de conformidad con la Cláusula 1(b)), durante dicho Periodo de Regalía.
(e) Para cada Periodo de Regalía, dentro de los quince (15) días hábiles siguientes a la finalización de dicho periodo, FCA proporcionará al Acreedor una declaración de regalías por escrito. Dicha declaración de regalías deberá ser certificada como exacta por un funcionario debidamente autorizado de FCA, y deberá contener (i) el número y los tipos de Vagones y Vagones Cisterna vendidos (o considerados vendidos de conformidad con la Cláusula 1(b)) durante el Periodo de Regalía aplicable, (ii) la factura bruta de los clientes finales aplicables, y (iii) los costes de flete, seguro y/o derechos y tasas de aduana excluidos de los Ingresos Netos por Ventas de Vagones (como se define más adelante) o de los Ingresos Netos por Ventas de Vagones Cisterna (como se define más adelante) para cada envío.
(f) "Ingresos Netos por Ventas de Vagones” significará el precio de venta bruto u otra contraprestación recibida por FCA por la venta de Vagones de nueva fabricación o convertidos, modificados, renovados o reparados, distintos de los vagones cisterna, vendidos a terceros o a FCA para su propia flota de renta. Los Ingresos Netos por Ventas de Vagones no incluirán los costes de flete, seguro y/o derechos y tarifas de aduana.
(g) “Ingresos Netos por Ventas de Vagones Cisterna” significará el precio de venta bruto u otra contraprestación recibida por FCA por la venta de Vagones Cisterna de nueva fabricación |
parties or to FCA for its own leasing fleet. Tank Car Sales Net Revenue shall not include out-of-pocket costs of freight, insurance and/or custom duties and fees.
(i) All payments due to Royalty Payee shall be made in United States currency by wire transfer to the Account, unless otherwise specified by them to FCA.
2. TERM
(a) The term of this Agreement (the “Term”) shall commence on the Effective Date and end upon the termination of the last applicable Production Line Period, unless terminated earlier pursuant to this Agreement.
(b) FCA shall have the right to immediately terminate this Agreement upon written notice to Royalty Payee in the event that:
i. Royalty Payee commits a material breach of any of its obligations under this Agreement, and such breach is not cured within ninety (90) days after written notice to such Party of such breach; or
ii. any Gil commits a material breach of any of their obligations under that certain lease agreements and its respective amendment agreements, by and between the Gils as lessors and FCA-Fasemex, S. de R.L. de C.V. as lessee, and such breach is not cured within ninety (90) days after written notice to the Gils of such breach; provided, however, that this Agreement shall not terminate in the event that such lease agreement and its respective amendment agreements, are terminated by mutual agreement of the parties thereto, for any reason whatsoever, prior to its expiration date.
|
o convertidos, modificados, restaurados o reparados vendidos a terceros o a FCA para su propia flota de renta. Los Ingresos Netos por Ventas de Vagones Cisterna no incluirán los costes de flete, seguro y/o derechos y tarifas de aduana.
(h) Todos los pagos debidos al Acreedor se realizarán en moneda de curso legal de los Estados Unidos mediante transferencia bancaria a la Cuenta, a menos que éste especifique lo contrario a FCA.
2. VIGENCIA
(a) La vigencia de este Contrato (la “Vigencia”) comenzará en la Fecha de Inicio y deberá terminar en la terminación del último Periodo de Línea de Producción aplicable, salvo que termine anticipadamente en virtud del presente Contrato.
(b) FCA tendrá derecho a rescindir inmediatamente el presente Contrato previa notificación por escrito al Acreedor en caso de que:
i. El Acreedor cometa un incumplimiento grave de cualquiera de sus obligaciones en virtud del presente Contrato, y dicho incumplimiento no se subsane en un plazo de noventa (90) días tras la notificación por escrito de dicho incumplimiento a dicha Parte; o
ii. cualquier de los Señores Gil cometa un incumplimiento sustancial de cualquiera de sus obligaciones conforme a ciertos contratos de arrendamiento y sus respectivos convenios modificatorios, celebrados entre los Señores Gil como arrendadores y FCA-Fasemex, S. de R.L. de C.V. como arrendatario, y dicho incumplimiento no sea subsanado dentro de los noventa (90) días siguientes a la notificación por escrito a los Señores Gil de dicho incumplimiento; en el entendido, sin embargo, que el presente Contrato no terminará en caso de que dicho contrato de arrendamiento y sus respectivos convenios modificatorios, sean terminados por mutuo acuerdo de las partes del mismo, por cualquier motivo, antes de su fecha de vencimiento.
|
3. REPRESENTATIONS AND WARRANTIES
(a) FCA represents and warrants that (i) it is a corporation duly organized, validly existing, and in good standing under the laws of the State of Delaware, and (ii) has full power and authority to enter into this Agreement and perform its obligations hereunder.
(b) Royalty Payee represents and warrants that he is an individual, of Mexican nationality, of legal age, married, with full authority to exercise their own rights and with sufficient and enough legal capacity to be bound by the terms of this Agreement.
4. RECORD INSPECTION AND AUDIT
(a) Royalty Payee shall have the right, upon reasonable notice, to inspect FCA’s books, records, accounts, and all other documents and material in FCA’s possession or control with respect to the subject matter of this Agreement, subject to appropriate confidentiality restrictions, including all information leading to, derived from or related to the Royalties, the Railcar Sales Net Revenue and the Tank Cars Sales Net Revenue. FCA shall maintain proper books, records and accounts with entries that are full, true and correct in all material respects and in conformity with GAAP consistently applied regarding the Royalties, the Railcar Sales Net Revenue and the Tank Cars Sales Net Revenue. FCA shall permit any representatives or advisors of Royalty Payee, upon reasonable prior notice, to inspect, examine and make extracts from its books, records, accounts, and all other documents and material in FCA’s possession or control with respect to the subject matter of this Agreement, and to discuss its calculations, entries and records with its officers and independent accountants, all at such reasonable times and as often as reasonably requested, in each case at Royalty Payee’ expense; provided that, Royalty Payee shall not exercise such rights more often than two (2) times during any calendar year absent the existence of an event of default by FCA, in which case the inspection and works related thereto can take place at any reasonable time and shall be at FCA’s expense. |
3. DECLARACIONES Y GARANTÍAS
(a) FCA declara y garantiza que (i) es una sociedad mercantil debidamente constituida, con existencia válida y en pleno goce de sus derechos conforme a las leyes del Estado de Delaware, y (ii) cuenta con las facultades para celebrar el presente Contrato y cumplir con las obligaciones a su cargo.
(b) El Acreedor declara y garantiza que es una persona física, de nacionalidad mexicana, mayor de edad, casado, con plena capacidad para ejercer sus propios derechos y con capacidad legal suficiente y bastante para obligarse en los términos del presente Contrato.
4. INSPECCIÓN Y AUDITORÍA DE REGISTROS
(a) El Acreedor tendrá derecho, previo aviso razonable, a inspeccionar los libros, registros, cuentas y todos los demás documentos y materiales en posesión o control de FCA con respecto al objeto de este Contrato, sujeto a las restricciones de confidencialidad apropiadas, incluida toda la información que conduzca, derive o esté relacionada con las Regalías, los Ingresos Netos por Ventas de Vagones y los Ingresos Netos por Ventas de Vagones Cisterna. FCA mantendrá libros, registros y cuentas adecuados con entradas que sean completas, verdaderas y correctas en todos los aspectos materiales y de conformidad con los PCGA aplicados de forma coherente en relación con las Regalías, los Ingresos Netos por Ventas de Vagones y los Ingresos Netos por Ventas de Vagones Cisterna. FCA permitirá a cualquier representante o asesor del Acreedor, previo aviso razonable, inspeccionar, examinar y extraer extractos de sus libros, registros, cuentas y cualquier otro documento y material en posesión o control de FCA en relación con el objeto de este Contrato, así como discutir sus cálculos, entradas y registros con sus directivos y contadores independientes, todo ello en momentos razonables y con la frecuencia que se solicite razonablemente, en cada caso a expensas del Acreedor; siempre y cuando, el Acreedor no ejerza tales derechos más de dos (2) veces durante cualquier año natural, salvo que exista un |
(b) All books and records relative to FCA’s obligations hereunder shall be maintained and made accessible to Royalty Payee for inspection at a location in the United States for at least two (2) years after termination or expiration of this Agreement.
5. CONFIDENTIALITY
(a) All disclosures of trade secrets, know-how, financial information, or other information of a type that is known to be, or that a reasonable person would recognize it to be, confidential made by FCA or any of its affiliates (as applicable, the “Discloser”) under or in connection with this Agreement, as well as the terms of this Agreement (collectively, the “Confidential Information”), shall be received and maintained in confidence by the recipient (the “Recipient”) and each Recipient shall treat all such Confidential Information as the confidential property of the Discloser and keep it confidential and secure and protect it from unauthorized use or disclosure by using at least the same degree of care as Recipient employs to avoid unauthorized use or disclosure of its own Confidential Information of similar nature, but in no event less than reasonable care. Notwithstanding the foregoing, a Recipient shall be permitted to disclose any Confidential Information if required by applicable law, provided the Recipient provides the Discloser reasonable prior opportunity to comment upon such disclosure to the extent permitted by law and agree to cooperate to take reasonable steps to minimize the extent of any such required disclosure.
(b) The term “Confidential Information” does not include information that (i) was in the public domain prior to the time it was furnished to Recipient or is at the time of the alleged breach (through no willful or improper action or inaction by such Recipient) generally available to the public, (ii) was or becomes available to a Recipient on a non-confidential basis from a source other than FCA or its affiliates, provided |
caso de incumplimiento por parte de FCA, en cuyo caso la inspección y los trabajos relacionados con la misma podrán tener lugar en cualquier momento razonable y correrán a cargo de FCA.
(b) Todos los libros y registros relativos a las obligaciones de FCA en virtud del presente Contrato se mantendrán y serán accesibles al Acreedor para su inspección en una ubicación en los Estados Unidos de América durante al menos dos (2) años tras la terminación o expiración del presente Contrato.
5. CONFIDENCIALIDAD
(a) Todas las divulgaciones de secretos comerciales, conocimientos técnicos, información financiera u otra información de un tipo que se sabe que es confidencial, o que una persona razonable reconocería que es confidencial, realizadas por FCA o cualquiera de sus subsidiarias (según corresponda, el "Revelador") en virtud o en relación con este Contrato, así como los términos de este Contrato (colectivamente, la “Información Confidencial”), será recibida y mantenida de forma confidencial por el receptor (el "Receptor") y cada Receptor tratará toda Información Confidencial como propiedad confidencial del Revelador y la mantendrá confidencial y segura y la protegerá del uso o divulgación no autorizados utilizando al menos el mismo grado de cuidado que el Receptor emplea para evitar el uso o divulgación no autorizados de su propia Información Confidencial de naturaleza similar, pero en ningún caso inferior al cuidado razonable. Sin perjuicio de lo anterior, el Receptor podrá divulgar cualquier Información Confidencial si así lo exige la legislación aplicable, siempre y cuando el Receptor proporcione al Revelador una oportunidad previa razonable para comentar dicha divulgación en la medida en que lo permita la ley y acepte cooperar para tomar medidas razonables con el fin de minimizar el alcance de cualquier divulgación exigida.
(b) El término "Información confidencial" no incluye información que (i) fuera de dominio público antes del momento en que se proporcionó al Receptor o que en el momento del supuesto incumplimiento (sin acción o inacción voluntaria o indebida por parte de dicho Receptor) esté generalmente a disposición del público, (ii) haya |
such other source is not be known by the Recipient to be bound by a confidentiality obligation, (iii) is lawfully known to a Recipient prior to disclosure of the Confidential Information by FCA or its affiliates, or (iv) is independently developed by a Recipient without any use of any Confidential Information.
(c) Each Recipient’s obligations with respect to the Confidential Information shall continue for a term of three (3) years following the termination of this Agreement.
6. COMPLIANCE WITH LAWS
Notwithstanding anything to the contrary, the obligations of the Parties hereto shall be subject to all laws, present and future (including export control laws and regulations) of any government having jurisdiction over the Parties hereto, and to orders, regulations, directions, or requests of any such government. Each Party shall undertake to comply with and be solely responsible for complying with such laws applicable to such Party.
7. TAXES
Each Party shall otherwise remain responsible for all taxes applicable to such Party and its operations in connection with this Agreement.
8. NOTICE AND PAYMENT
Any notice or communication required or permitted to be given be any provisions of this Agreement, including any consents, shall be in writing and shall be deemed to have been given and received by the person to whom directed, if properly addressed: (1) when delivered personally to such person or to an officer of the person to which directed, (2) upon confirmation of receipt of transmission by email, or (3) two days after being deposited with an internationally recognized overnight courier, delivery charges prepaid for delivery the following day. The addresses for notice are as follows:
|
estado o pase a estar a disposición del Receptor de forma no confidencial por parte de una fuente distinta a FCA o sus subsidiarias, siempre y cuando el Receptor no sepa que dicha fuente está sujeta a una obligación de confidencialidad, (iii) el Receptor la conozca legalmente antes de la divulgación de la Información Confidencial por parte de FCA o sus subsidiarias, o (iv) el Receptor la desarrolle de forma independiente sin utilizar alguna Información Confidencial.
(c) Las obligaciones de cada Receptor con respecto a la Información Confidencial continuarán durante un plazo de tres (3) años contados a partir de la terminación del presente Contrato.
6. CUMPLIMIENTO CON LA LEY.
No obstante cualquier disposición en contrario, las obligaciones de las Partes del presente Contrato estarán sujetas a todas las leyes, presentes y futuras (incluidas las leyes y reglamentos de control de las exportaciones) de cualquier gobierno que tenga jurisdicción sobre las Partes del presente Contrato, y a las órdenes, regulaciones, instrucciones o solicitudes de cualquiera de dichos gobiernos. Cada una de las Partes se comprometerá a cumplir y será la única responsable del cumplimiento de dichas leyes aplicables a dicha Parte.
7. IMPUESTOS
Cada Parte seguirá siendo responsable de todos los impuestos aplicables a dicha Parte y a sus operaciones en relación con el presente Contrato.
8. NOTIFICACIONES Y PAGO
Cualquier notificación o comunicación requerida o permitida en virtud de cualquiera de las disposiciones del presente Contrato, incluido cualquier otorgamiento de consentimiento, se realizará por escrito y se considerará entregada y recibida por la persona a la que se dirige, si está debidamente dirigida: (1) cuando se entrega personalmente a dicha persona o a un funcionario de la persona a la que se dirige, (2) tras la confirmación de la recepción de la transmisión por correo electrónico, o (3) dos días después de ser depositada en un servicio de mensajería nocturno reconocido internacionalmente, con los gastos de envío pagados por adelantado para su |
FCA:
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
With a copy to (which shall not constitute notice):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26th Floor Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
Royalty Payee: Alejandro Gil Benavides Barranquilla 404 Col. Guadalupe, Monclova, Coahuila 25750 México Email: agil@fasemex.com.mx Attn: Alejandro Gil Benavides Email: agil@fasemex.com.mx
With a copy to (which shall not constitute notice):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
Any Party may change its address, email or individual for receiving notice for the purpose of this Section by notice to the other given in the manner set forth above.
9. GOVERNING LAW
This Agreement shall be governed and controlled as to validity, enforcement, interpretation, construction, effect and in all other respects by the internal laws of the State of Illinois applicable to contracts made in that state, without giving effect to any choice of law or conflict of law provision or rule that would cause the application |
entrega al día siguiente. Las direcciones de notificación son las siguientes:
FCA:
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
Con copia a (la cual no constituirá notificación):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26° Piso Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
El Acreedor: Alejandro Gil Benavides Barranquilla 404 Col. Guadalupe, Monclova, Coahuila 25750 México Email: agil@fasemex.com.mx Attn: Alejandro Gil Benavides Email: agil@fasemex.com.mx
Con copia a (la cual no constituirá notificación):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
Cualquiera de las Partes podrá cambiar su dirección, correo electrónico o persona para recibir notificaciones a los efectos de la presente Cláusula mediante notificación a la otra Parte realizada en la forma establecida anteriormente.
9. LEGISLACIÓN APLICABLE
El presente Contrato se regirá y se someterá en cuanto a su validez, ejecución, interpretación, construcción, efecto y en todos los demás aspectos por las leyes internas del Estado de Illinois aplicables a los contratos celebrados en dicho estado, sin dar efecto a ninguna elección de |
of the laws of any jurisdiction other than the State of Illinois.
10. CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL.
(a) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL PROCEEDINGS (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING SHALL BE COMMENCED AND PROSECUTED EXCLUSIVELY IN THE COURTS OF THE STATE OF ILLINOIS LOCATED IN THE CITY OF CHICAGO, COUNTY OF COOK, AND ANY APPELLATE COURT THEREFROM OR THE UNITED STATES FOR THE NORTHERN DISTRICT OF ILLINOIS AND ANY APPELLATE COURT THEREFROM (COLLECTIVELY, THE “Illinois Courts”). EACH PARTY HERE-BY IRREVOCABLY AND UNCONDITIONALLY CONSENTS AND SUBMITS, FOR IT-SELF AND ITS ASSETS, TO THE EXCLUSIVE JURISDICTION OF ANY OF THE ILLINOIS COURTS IN RESPECT OF ANY SUCH PROCEEDING. EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN SECTION 8. NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY LAW.
(b) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT IT MAY LEGALLY AND EFFECTIVELY DO SO, ANY OBJECTION WHICH IT MAY NOW |
ley o conflicto de disposiciones o normas legales que provoquen la aplicación de las leyes de cualquier jurisdicción distinta del Estado de Illinois.
10. CONSENTIMIENTO A LA JURISDICCIÓN; RENUNCIA AL JUICIO CON JURADO.
(a) CADA UNA DE LAS PARTES ACEPTA DE FORMA IRREVOCABLE E INCONDICIONAL QUE TODOS LOS PROCEDIMIENTOS (CONTRACTUALES, EXTRACONTRACTUALES O DE OTRO TIPO) DERIVADOS O RELACIONADOS CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES SE INICIARÁ Y PROCESARÁ EXCLUSIVAMENTE EN LOS TRIBUNALES DEL ESTADO DE ILLINOIS UBICADOS EN LA CIUDAD DE CHICAGO, COUNTY OF COOK, Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO O LOS ESTADOS UNIDOS PARA EL DISTRITO NORTE DE ILLINOIS Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO (COLECTIVAMENTE, LOS "Tribunales de Illinois"). CADA UNA DE LAS PARTES CONSIENTE Y SE SOMETE IRREVOCABLE E INCONDICIONALMENTE, POR SÍ MISMA Y POR SUS BIENES, A LA JURISDICCIÓN EXCLUSIVA DE CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS. POR LA PRESENTE, CADA UNA DE LAS PARTES CONSIENTE DE FORMA IRREVOCABLE E INCONDICIONAL A LA NOTIFICACIÓN DE PROCESOS EN LA FORMA PREVISTA PARA LAS NOTIFICACIONES EN LA CLAÚSULA 8. NADA DE LO DISPUESTO EN EL PRESENTE CONTRATO AFECTARÁ AL DERECHO DE CUALQUIERA DE LAS PARTES A NOTIFICAR PROCESOS DE CUALQUIER OTRA FORMA PERMITIDA POR LA LEY.
(b) POR EL PRESENTE CONTRATO, CADA UNA DE LAS PARTES RENUNCIA DE FORMA IRREVOCABLE E |
OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH PROCEEDING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES AGREES THAT A FINAL JUDGMENT IN ANY SUCH PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.
(c) EACH PARTY AGREES THAT ANY PROCEEDING (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING WILL INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY SUCH PROCEEDING.
(d) EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF ANY PROCEEDING ARISING UNDER OR RELATING TO THIS AGREEMENT, SEEK TO ENFORCE THE FOREGOING WAIVERS, |
INCONDICIONAL, EN LA MEDIDA EN QUE PUEDA HACERLO DE FORMA LEGAL Y EFECTIVA, A CUALQUIER OBJECIÓN QUE PUEDA TENER AHORA O EN EL FUTURO AL ESTABLECIMIENTO DE LA JURISDICCIÓN DE CUALQUIER PROCEDIMIENTO DERIVADO O RELACIONADO CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL PRESENTE DOCUMENTO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE DOCUMENTO Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES EN CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS. CADA UNA DE LAS PARTES ACUERDA QUE UNA SENTENCIA DEFINITIVA EN CUALQUIERA DE DICHOS PROCEDIMIENTOS SERÁ CONCLUYENTE Y PODRÁ EJECUTARSE EN OTRAS JURISDICCIONES MEDIANTE UNA DEMANDA BASADA EN LA SENTENCIA O DE CUALQUIER OTRA FORMA PREVISTA POR LA LEY.
(c) CADA UNA DE LAS PARTES ACEPTA QUE CUALQUIER PROCEDIMIENTO (CONTRACTUAL, EXTRACONTRACTUAL O DE OTRO TIPO) DERIVADO O RELACIONADO CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES IMPLICARÁ CUESTIONES COMPLICADAS Y DIFÍCILES, Y POR LO TANTO CADA UNA DE LAS PARTES RENUNCIA IRREVOCABLE E INCONDICIONALMENTE A CUALQUIER DERECHO QUE PUEDA TENER A UN JUICIO CON JURADO CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS.
(d) CADA PARTE CERTIFICA Y RECONOCE QUE (i) NINGÚN REPRESENTANTE, AGENTE O ABOGADO DE OTRA PARTE HA DECLARADO, DE FORMA EXPRESA O DE OTRO TIPO, QUE DICHA OTRA PARTE NO INTENTARÁ, EN CASO DE PROCEDIMIENTO EN VIRTUD DEL PRESENTE CONTRATO O EN RELACIÓN |
(ii) SUCH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF SUCH WAIVERS, (iii) SUCH PARTY MAKES SUCH WAIVERS VOLUNTARILY, AND (iv) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATION IN THIS SECTION 10(d).
(e) EACH OF THE PARTIES HERETO WAIVES THE RIGHT TO A JURY TRIAL IN CONNECTION WITH ANY LAWSUIT, ACTION OR PROCEEDING SEEKING ENFORCEMENT OF SUCH PARTY’S RIGHTS UNDER THIS AGREEMENT.
11. SURVIVAL
If this Agreement terminates or expires, the provisions of this Agreement which by their nature extend beyond the expiration or termination of this Agreement shall survive, including Sections 1, 4, 5, and 7 through 21.
12. FURTHER ASSURANCES
In connection with this Agreement and the transactions contemplated hereby, each Party shall execute and deliver such further documents, and perform such further acts, as may be necessary or appropriate to effectuate and perform the provisions of this Agreement and those transactions contemplated hereunder, as reasonably requested by another Party.
13. ENTIRE AGREEMENT
This Agreement, contains all agreements among the Parties relating to its subject matter and supersedes and cancels any and all previous contracts or agreements among the Parties with respect thereto. Any other understanding about this Agreement, including additional terms or provisions contained in invoices, shipping papers, or other documents, will be of no force or effect. Any amendment to this Agreement must be in writing and will not be effective until it is executed and approved by an authorized representative of each Party.
|
CON EL MISMO, EJECUTAR LAS RENUNCIAS ANTERIORES, (ii) DICHA PARTE ENTIENDE Y HA CONSIDERADO LAS IMPLICACIONES DE DICHAS RENUNCIAS, (iii) DICHA PARTE REALIZA DICHAS RENUNCIAS VOLUNTARIAMENTE, Y (iv) DICHA PARTE HA SIDO INDUCIDA A ENTRAR EN ESTE CONTRATO POR, ENTRE OTRAS COSAS, LAS RENUNCIAS MUTUAS Y LA CERTIFICACIÓN EN ESTA CLÁUSULA 10(d).
(e) CADA UNA DE LAS PARTES RENUNCIA AL DERECHO A UN JUICIO CON JURADO EN RELACIÓN CON CUALQUIER DEMANDA, ACCIÓN O PROCEDIMIENTO QUE PRETENDA HACER VALER LOS DERECHOS DE DICHA PARTE EN VIRTUD DEL PRESENTE CONTRATO.
11. PERMANENCIA
En caso de resolución o expiración del presente Contrato, subsistirán las disposiciones del mismo que por su naturaleza se extiendan más allá de la expiración o resolución del presente Contrato, incluidas las Cláusulas 1, 4, 5 y 7 a 21.
12. GARANTÍAS ADICIONALES
En relación con el presente Contrato y las transacciones contempladas en el mismo, cada una de las Partes suscribirá y entregará los documentos adicionales y realizará los actos adicionales que sean necesarios o apropiados para efectuar y cumplir las disposiciones del presente Contrato y las transacciones contempladas en el mismo, según lo solicite razonablemente la otra Parte.
13. UNIDAD DE CONVENIO
El presente Contrato contiene todos los acuerdos entre las Partes relativos a su objeto y sustituye y anula todos y cada uno de los contratos o acuerdos anteriores entre las Partes con respecto al mismo. Cualquier otro acuerdo sobre el presente Contrato, incluidos los términos o disposiciones adicionales contenidos en facturas, documentos de envío u otros documentos, no tendrá fuerza ni efecto alguno. Cualquier modificación del presente Contrato deberá realizarse por escrito y no surtirá efecto hasta que |
14. SEVERABILITY
If any provision of this Agreement is determined by any legislature, court, or administrative agency to be invalid or unenforceable, every other provision will remain in full force and effect, unless the purposes of this Agreement cannot be achieved. The Parties will use commercially reasonable efforts to substitute a valid, legal, and enforceable provision, which insofar as practical implements the purposes of any provision held invalid, illegal, or unenforceable.
15. WAIVERS
No waiver by any Party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the Party so waiving. No waiver by any Party shall operate or be construed as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power, or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power, or privilege.
16. ASSIGNMENT
This Agreement is deemed to be of a personal nature and no party may assign, convey, or transfer this Agreement or any right or interest in this Agreement, or delegate or subcontract performance of any obligations hereunder, in whole or in part, to any third party, without the prior written consent of FCA. Any attempt to do so shall be void ab initio.
Notwithstanding the foregoing, the Parties agree that (1) the initial Royalty Payee shall have the one-time right to totally or partially assign and/or |
haya sido ejecutada y aprobada por un representante autorizado de cada una de las Partes.
14. ILEGALIDAD DE DISPOSICIONES
Si cualquier disposición del presente Contrato es declarada inválida o inaplicable por cualquier legislatura, tribunal u organismo administrativo, todas las demás disposiciones seguirán en pleno vigor y efecto, a menos que no puedan alcanzarse los fines del presente Contrato. Las Partes harán todos los esfuerzos comercialmente razonables para sustituir una disposición válida, legal y aplicable que, en la medida de lo posible, cumpla los fines de cualquier disposición declarada inválida, ilegal o inaplicable.
15. RENUNCIAS
Ninguna renuncia de cualquiera de las Partes a cualquiera de las disposiciones del presente documento será efectiva a menos que se establezca explícitamente por escrito y esté firmada por la Parte que renuncia. Ninguna renuncia por cualquiera de las Partes se interpretará como una renuncia con respecto a cualquier falta, incumplimiento o violación no identificado expresamente por dicha renuncia por escrito, ya sea de carácter similar o diferente, y ya sea que ocurra antes o después de dicha renuncia. El no ejercicio o el retraso en el ejercicio de cualquier derecho, recurso, facultad o privilegio derivado del presente Contrato no se interpretará como una renuncia al mismo; ni el ejercicio único o parcial de cualquier derecho, recurso, facultad o privilegio en virtud del presente Contrato impedirá cualquier otro ejercicio posterior del mismo o el ejercicio de cualquier otro derecho, recurso, facultad o privilegio.
16. CESIÓN
El presente Contrato se considera de naturaleza personal y ninguna de las partes podrá ceder, transmitir o transferir el presente Contrato o cualquier derecho o interés en el mismo, ni delegar o subcontratar el cumplimiento de cualquiera de sus obligaciones, en su totalidad o en parte, a terceros, sin el consentimiento previo por escrito de FCA. Cualquier intento de hacerlo será nulo ab initio.
|
transfer its rights under this Agreement, without the prior written consent of FCA, (a) by any means (i) to any individual that is a member of the initial Royalty Payee´s family and that is a blood relative, a spouse and/or with whom the initial Royalty Payee has an adoption relationship, and/or (ii) to any legal entity in which Royalty Payee is a controlling equity holder (for so long as Royalty Payee or its successors remain the controlling equity holder), (b) by means of a contribution to a trust set up by the initial Royalty Payee that (i) is controlled by, or, for the benefit of, the initial Royalty Payee, or (ii) is for the benefit of the beneficiaries of such trust or any individual that is a member of the initial Royalty Payee´s family and that is a blood relative, a spouse and/or with whom the initial Royalty Payee has an adoption relationship, and/or (2) the initial Royalty Payee and its successors, if any, shall have the right to totally or partially assign and/or transfer its rights under this Agreement, without the prior written consent of FCA, by cause of death to their heirs and/or legatees, appointed by will or by law if the initial Royalty Payee or its successors die intestate. In the cases referred to in (1) above, Royalty Payee or its legal representative, as the case may be, shall give written notice to FCA 30 (thirty) calendar days prior to the corresponding event. In the cases referred to in (2) above, the executor shall give written notice to FCA 30 (thirty) calendar days after to the corresponding event.
17. NO THIRD-PARTY BENEFICIARIES
This Agreement is solely for the benefit of the Parties and their respective permitted successors and assigns, without prejudice to the provisions of Section 16 hereof. There are no other third-party beneficiaries to this Agreement.
18. RELATIONSHIP OF THE PARTIES
The relationship between and among the Parties is solely that of independent contractors. Nothing in this Agreement creates a partnership, joint venture, or principal-agent relationship. Royalty Payee shall not have any authority to create or |
No obstante lo anterior, las Partes acuerdan que (1) el Acreedor inicial tendrá el derecho, por una sola vez, a ceder y/o transferir total o parcialmente sus derechos en virtud del presente Contrato, sin el consentimiento previo por escrito de FCA, (a) por cualquier medio (i) a cualquier persona física que sea miembro de la familia del Acreedor inicial y que sea pariente consanguíneo, cónyuge y/o con quien el Acreedor inicial tenga una relación de adopción, y/o (ii) a cualquier entidad jurídica en la que el Acreedor sea un accionista mayoritario (mientras el Acreedor o sus herederos siga siendo el accionista mayoritario), (b) mediante aportación a un fideicomiso constituido por el Acreedor inicial que (i) sea controlador por, o, para el beneficio de, el Acreedor inicial, o (ii) sea para el beneficio de los fideicomisarios de dicho fideicomiso o para cualquier persona física que sea miembro de la familia del Acreedor inicial y que sea pariente consanguíneo, cónyuge y/o con quien el Acreedor inicial tenga una relación de adopción, y/o (2) el Acreedor inicial y sus herederos, si los hubiere, tendrán derecho a ceder y/o transferir total o parcialmente sus derechos en virtud del presente Contrato, sin el consentimiento previo por escrito de FCA, por causa de muerte a sus herederos y/o legatarios, designados por testamento o por ley si el Acreedor inicial o sus herederos fallecen intestados. En los casos anteriormente referidos en el punto (1), el Acreedor o su representante legal, según sea el caso, deberán notificar por escrito a FCA 30 (treinta) días naturales antes de ocurrido el evento correspondiente. En los casos anteriormente referidos en el punto (2), el albacea deberá notificar por escrito a FCA 30 (treinta) días naturales después de ocurrido el evento correspondiente.
17. EFECTO VINCULATORIO; BENEFICIO
El presente Contrato beneficia exclusivamente a las Partes y a sus respectivos causahabientes y cesionarios autorizados, sin perjuicio de lo dispuesto en la Cláusula 16 del mismo. No existen terceros beneficiarios del presente Contrato.
18. RELACIÓN ENTRE LAS PARTES
|
assume in FCA’s name or on its behalf any obligation, expressed or implied, or to act or purport to act as FCA’s agent or legally empowered representative for any purpose whatsoever. No Party shall be liable to any third party in any way for any engagement, obligation, commitment, contract, representation, transaction, or act or omission to act of another other Party, except as expressly provided herein.
19. TERMINOLOGY AND CONSTRUCTION
All personal pronouns used in this Agreement, whether used in the masculine, feminine or neuter gender, shall include all other genders; and the singular shall include the plural and vice versa. Titles of Articles, Sections, Exhibits, and Schedules are for convenience only, and neither limit nor amplify the provisions of this Agreement. Except as specifically provided, references to Articles, Sections, Exhibits, and Schedules in this Agreement refer to Articles, Sections, Exhibits, and Schedules to, this Agreement. The use herein of the word “including,” when following any general statement, term or matter, shall not be construed to limit such statement, term or matter to the specific items or matters set forth immediately following such word or to similar items or matters, whether or not non-limiting language (such as “without limitation,” or “but not limited to,” or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other items or matters that could reasonably fall within the broadest possible scope of such general statement, term or matter. The word “or” shall mean “and/or” unless the context requires otherwise. The words “day,” “month,” and “year” mean, respectively, calendar day, calendar month and calendar year. The Parties agree that the terms and conditions of this Agreement are the result of negotiations between them and that this Agreement shall be construed in favor of or against either Party by reason of the extent to which such Party of its professional advisors participated in the preparation of such agreements.
|
La relación entre las Partes es exclusivamente la de contratistas independientes. Nada en este Contrato crea una sociedad en participación, joint venture o una relación principal-agente. El Acreedor no tendrá autoridad alguna para crear o asumir en nombre de FCA o en su representación ninguna obligación, expresa o implícita, ni para actuar o pretender actuar como agente o representante legalmente facultado de FCA para ningún fin. Ninguna de las Partes será responsable ante terceros de ninguna manera por cualquier compromiso, obligación, compromiso, contrato, representación, transacción, o acto u omisión de actuar de la otra Parte, salvo lo expresamente dispuesto en el presente Contrato.
19. TERMINOLOGÍA Y ESTRUCTURA
Todos los pronombres personales utilizados en el presente Contrato, ya sea en género masculino, femenino o neutro, incluirán todos los demás géneros; y el singular incluirá el plural y viceversa. Los títulos de los Artículos, Cláusulas, Anexos y Listas se utilizan únicamente por comodidad y no limitan ni amplían las disposiciones del presente Contrato. Salvo que se disponga específicamente lo contrario, las referencias a los Artículos, Cláusulas, Anexos y Anexos de este Contrato se refieren a los Artículos, Cláusulas, Anexos y Anexos de este Contrato. El uso en el presente documento de la palabra "incluyendo", cuando siga a cualquier declaración, término o asunto general, no se interpretará en el sentido de limitar dicha declaración, término o asunto a los elementos o asuntos específicos establecidos inmediatamente después de dicha palabra o a elementos o asuntos similares, independientemente de que se utilice o no un lenguaje no limitativo (como "sin limitación" o "pero sin limitarse a", o palabras de significado similar) con referencia a los mismos, sino que se considerará que se refiere a todos los demás elementos o asuntos que pudieran razonablemente incluirse en el ámbito más amplio posible de dicha declaración, término o asunto general. La palabra "o" significará "y/o" a menos que el contexto requiera lo contrario. Las palabras "día", "mes" y "año" significan, respectivamente, día natural, mes natural y año natural. Las Partes acuerdan que los términos y condiciones de este Contrato son el resultado de negociaciones entre ellas y que este Contrato se interpretará a favor o en contra de cualquiera de |
20. LIMITATIONS OF LIABILITY
No Party to this Agreement shall be entitled to recover from the other any special, incidental, consequential or punitive damages.
21. COUNTERPARTS
This Agreement may be executed in two or more counterparts, each of which shall constitute an original and all of which together shall constitute a single instrument.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the Effective Date.
[Signature Pages Follow] |
las Partes en razón de la medida en que dicha Parte o sus asesores profesionales hayan participado en la preparación de dichos acuerdos.
20. LIMITACIONES DE RESPONSABILIDAD
Ninguna de las Partes de este Contrato tendrá derecho a reclamar a la otra ningún daño especial, incidental, consecuente o punitivo.
21. EJEMPLARES
El presente Contrato podrá ejecutarse en dos o más ejemplares, cada uno de los cuales constituirá un original y todos ellos juntos constituirán un único instrumento.
EN FE DE LO CUAL, las Partes firman el presente Contrato en la Fecha de Inicio.
[Siguen las Páginas de Firma] |
FCA: |
ROYALTY PAYEE/ACREEDOR:
|
FREIGHTCAR AMERICA, INC.
By: /s/ Michael Riordan Name: Michael Riordan Title: CFO |
ALEJANDRO GIL BENAVIDES
/s/ Alejandro Gil Benavides
|
Exhibit 10.4
ROYALTY AGREEMENT
THIS ROYALTY AGREEMENT (the “Agreement”) is made as of January 23, 2024 (the “Effective Date”) by and among FreightCar America, Inc., a Delaware corporation with offices at 125 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), and Jesús Salvador Gil Benavides, a Mexican individual, with domicile at Guadalajara 604 Col. Guadalupe, Monclova, Coahuila 25750 México (The “Royalty Payee”), and FCA and Royalty Payee are collectively referred to herein as the “Parties”.
RECITALS
A. Whereas Royalty Payee has industrial, commercial and technical knowledge and information (the “Knowledge”) consisting of:
(i) Knowledge related to the way of doing business in Mexico by domestic and foreign investors,
(ii) Knowledge as to of how to do business in the metal-mechanic, casting, smelting and manufacturing of metallic materials such as steel,
(iii) Knowledge of the industrial process to manufacture Railcars and Tank Cars (as defined below),
(iv) Knowledge related to the design and construction of industrial facilities for the Railcars and Tank Cars (as defined below) manufacturing industry, as well as the negotiation and contracting of suppliers in different segments of the services related to the construction of industrial facilities,
(v) Knowledge of the supplier and supply-chain market related to the businesses and industries mentioned in the preceding paragraphs,
(vi) Knowledge of the labor market, both related to human resources matters and union matters in Monclova, Coahuila and the region, and in Mexico, in general, |
CONTRATO DE REGALÍAS
ESTE CONTRATO DE REGALÍAS (el “Contrato”) de fecha 23 de enero de 2024 (la “Fecha de Inicio”) celebrado por y entre Freightcar America, Inc. una sociedad de Delaware con oficinas en 25 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), y Jesús Salvador Gil Benavides, una persona física mexicana, con domicilio en Guadalajara 604 Col. Guadalupe, Monclova, Coahuila 25750 México (el “Acreedor”). y FCA y el Acreedor conjuntamente referidos como las “Partes”.
ANTECEDENTES
A. Considerando que el Acreedor posee conocimientos e información industrial, comercial y técnica (los “Conocimientos”) consistentes en:
(i) Conocimientos sobre la manera de realizar negocios en México por parte de empresas nacionales e inversionistas extranjeros,
(ii) Conocimientos sobre la manera de realizar negocios en el mercado metalmecánico, de la fundición, fusión y manufactura de materiales metálicos como el acero,
(iii) Conocimientos sobre el proceso industrial de manufactura de Vagones y Vagones Cisterna (como se definen más adelante),
(iv) Conocimientos en materia de diseño y construcción de naves industriales para la industria de manufactura de Vagones y Vagones Cisterna (como se definen más adelante), así como de la negociación y contratación de proveedores en distintos segmentos de la prestación de servicios de construcción de naves industriales,
(v) Conocimientos del mercado de proveedores y la cadena de suministro relacionados con los negocios y la industria mencionada en los incisos anteriores,
(vi) Conocimientos del mercado laboral, tanto en lo que respecta a asuntos de recursos humanos como a asuntos sindicales en Monclova, Coahuila y la región, y en México, en general, |
(vii) Knowledge of the logistics systems, customs matters and foreign trade operations, in general, and in particular for Railcars and Tank Cars (as defined below),
(viii) Knowledge on the creation, implementation and administration of businesses of the nature of those mentioned in the preceding paragraphs in the market of Monclova, Coahuila, and
(ix) Knowledge of the local customs and practices of the Monclova market, the Mexican market and the export market to the United States in the aforementioned businesses.
B. Whereas, Royalty Payee, based on his Knowledge, has created, together with Mr. Alejandro Gil Benavides, and Mr. Salvador Gil Benavides (the “Gils”), a business plan and model for the performance of all the activities necessary to carry out the manufacture and repair of Railcars and Tank Cars (as defined below) in the Mexican market and, in particular, in the city of Monclova, Coahuila, as well as for its export to the United States (the “Business Plan and Model”).
C. Considering that Royalty Payee has delivered by different means, especially orally, his Knowledge and the Business Plan and Model to FCA, including its subsidiary, FCA-Fasemex, S. de R.L. de C.V., so that they are able to operate a certain industrial facility located in the city of Monclova, Coahuila, for the manufacture and repair of Railcars and Tank Cars (as defined below).
AGREEMENT
Now, therefore, in consideration of the mutual promises and covenants herein contained, the Parties hereto agrees as follows:
1. ROYALTY.
(a) During each applicable Production Line Period (as defined below), FCA will pay to Royalty Payee (i) 0.48168% of FCA’s Railcar Sales Net Revenue (as defined below) and (ii) 0.60210% of FCA’s Tank Car Sales Net Revenue (as defined below); the payment specified in this clause (ii) and clause (i) of this sentence, |
(vii) Conocimientos en materia de operaciones logísticas, aduaneras y de comercio exterior, en general, y en particular para Vagones y Vagones Cisterna (como se define más adelante)
(viii) Conocimientos sobre la realización, implementación y administración de negocios de la naturaleza de los mencionados en los puntos anteriores en el mercado de Monclova, Coahuila, y
(ix) Conocimientos sobre los usos y costumbres del mercado de Monclova, el mercado mexicano y del mercado de exportación a los Estados Unidos en los negocios anteriormente señalados.
B. Considerando que, el Acreedor, con base a sus Conocimientos, ha elaborado, en conjunto con los señores Alejandro Gil Benavides y Salvador Gil Benavides (los “Señores Gil”), un plan y modelo de negocios para la realización de la totalidad de las actividades necesarias para llevar a cabo la manufactura y reparación de Vagones y Vagones Cisterna (como se define más adelante) en el mercado mexicano y, en particular, en la ciudad de Monclova, Coahuila, así como para su exportación a los Estados Unidos (el “Plan y Modelo de Negocios”).
C. Considerando que el Acreedor ha entregado por distintos medios, especialmente oral, sus Conocimientos y el Plan y Modelo de Negocios a FCA, incluyendo su subsidiaria, FCA-Fasemex, S. de R.L. de C.V., para que estén en posibilidad de operar cierta nave industrial ubicada en la ciudad de Monclova, Coahuila, para la manufactura y reparación de Vagones y Vagones Cisterna (como se define más adelante).
CONTRATO
Ahora, por lo tanto, en consideración de las promesas y obligaciones mutuas aquí contenidas, las Partes acuerdan lo siguiente:
1. REGALÍAS.
(b) Durante cada Periodo de Línea de Producción (como se define más adelante) aplicable, FCA pagará al Acreedor (i) el 0.48168% de los Ingresos Netos por Ventas de Vagones (como se define más adelante) de FCA y (ii) el 0.60210% de los Ingresos Netos por Ventas de Vagones Cisterna (como se define más |
collectively, the “Royalty”) on and subject to the terms and conditions of this Agreement. The Royalty shall be paid to the account specified on Exhibit I attached hereto (the “Account”). FCA’s obligations with respect to any such payment shall be complete when paid to the Account.
(c) During each applicable Production Line Period (as defined below), a Royalty obligation shall accrue, with respect to each Railcar or Tank Car (as such terms are defined below), upon the sale of (i) such new railcar or converted, modified, refurbished or repaired railcar, other than tank cars, to third parties or to FCA for its own leasing fleet (the “Railcars”), or (ii) such new tank car or converted, modified, refurbished or repaired tank car, to third parties or to FCA for its own leasing fleet (the “Tank Cars”) (the Railcars and the Tank Cars, collectively, the “Products”). A Product shall be considered “sold” when such Product is shipped and FCA is paid in full for such Product, when sold to third parties or when shipped to FCA when it will use them for its own leasing fleet and “repaired” shall mean programmed repair work, excluding under warranty repair works and normal course field repairs.
(d) With respect to (i) the first and second production lines that have been constructed to produce Railcars or Tank Cars at the Castaños facility in Castaños, Mexico (the “Castaños Facility”), a Royalty shall only accrue for a period terminating on August 31, 2037; (ii) the third and fourth production lines that are being constructed to produce Railcars or Tank Cars at the Castaños Facility, a Royalty shall only accrue for a period of seventeen (17) years, commencing on the first day of the month during which production commences on the third or fourth lines, whichever line is earlier between these two; and (iii) any other production lines constructed by FCA at the Castaños Facility or elsewhere within Mexico, a Royalty shall only accrue for a period of years, commencing on the first day of the month during which production commences on such additional line(s) and ending on the same date that the Royalty obligation for the first and |
adelante) de FCA; el pago especificado en esta cláusula (ii) y en la fracción (i) de esta oración, colectivamente, la "Regalía") en los términos y condiciones del presente Contrato. La Regalía se abonará a la cuenta especificada en el Anexo I adjunto al presente (la "Cuenta"). Las obligaciones de FCA con respecto a cualquier pago de este tipo se completarán cuando se abone en la Cuenta.
(b) Durante cada Periodo de Línea de Producción (como se define más adelante) aplicable, se devengará una obligación de Regalía, con respecto a cada Vagón o Vagón Cisterna (tal y como se definen dichos términos más adelante), por la venta de (i) cada vagón de ferrocarril nuevo o convertido, modificado, reformado o reparado, distinto de los vagones cisterna, a terceros o a FCA para su propia flota de renta (los “Vagones”), o (ii) cada vagón cisterna nuevo o vagón cisterna convertido, modificado, reformado o reparado, a terceros o a FCA para su propia flota de renta (los “Vagones Cisterna”) (los Vagones y los Vagones Cisterna, conjuntamente, los “Productos”). Un Producto se considerará "vendido" cuando dicho Producto se envíe y se pague íntegramente a FCA por dicho Producto, cuando se venda a terceros o cuando se envíe a FCA cuando los vaya a utilizar para su propia flota de renta y "reparado" significará el trabajo de reparación programado, excluyendo los trabajos de reparación en garantía y las reparaciones de campo en curso normal.
(c) En relación a (i) la primera y segunda líneas de producción que se han construido para producir Vagones o Vagones Cisterna en la nave de Castaños en Castaños, México (la “Nave de Castaños"), sólo se devengará una Regalía durante un periodo que finalizará el 31 de agosto de 2037; (ii) la tercera y cuarta líneas de producción que se están construyendo para producir Vagones o Vagones Cisterna en la Nave de Castaños, sólo se devengará una Regalía durante un periodo de diecisiete (17) años, a partir del primer día del mes en que comience la producción en la tercera o cuarta línea, la que sea anterior entre estas dos; y (iii) cualquier otra línea de producción construida por FCA en la Nave de Castaños o en cualquier otro lugar dentro de México, sólo se devengará una Regalía por un periodo de años, que comenzará el primer día del mes en que comience la producción en dicha(s) línea(s) adicional(es) y terminará en la misma |
second production lines ended ((i), (ii), and (iii) together, the “Production Line Periods”).
(e) The Royalty shall be calculated in accordance with Sections 1(a) and 1(b) on a calendar quarter basis (the “Royalty Period”) by FCA and shall be payable by FCA no later than thirty (30) calendar days after the end of the preceding full quarterly period. For purposes of clarity, the Royalty calculated for any given Royalty Period will include any deemed sales (pursuant to Section 1(b)), during such Royalty Period.
(f) For each Royalty Period, within fifteen (15) business days of the end of such period, FCA shall provide Royalty Payee with a written royalty statement. Such royalty statement shall be certified as accurate by a duly authorized officer of FCA reciting (i) the number and types of Railcars or Tank Cars sold (or deemed sold pursuant to Section 1(b)) during the applicable Royalty Period, (ii) the applicable end customers gross invoice, and (iii) the costs of freight, insurance and/or custom duties and fees excluded from Railcar Sales Net Revenue (as defined below) or Tank Car Sales Net Revenue (as defined below) for each shipment.
(g) “Railcar Sales Net Revenue” shall mean the gross selling price or other consideration received by FCA from the sale of newly manufactured or converted, modified, refurbished or repaired Railcars, other than tank cars, sold to third parties or to FCA for its own leasing fleet. Railcar Sales Net Revenue shall not include out-of-pocket costs of freight, insurance and/or custom duties and fees.
(h) “Tank Car Sales Net Revenue” shall mean the gross selling price or other consideration received by FCA from the sale of newly manufactured or converted, modified, refurbished or repaired Tank Cars sold to third parties or to FCA for its own leasing fleet. Tank Car Sales Net Revenue shall not include out-of-pocket costs of freight, insurance and/or custom duties and fees.
|
fecha en que termine la obligación de Regalía para la primera y segunda líneas de producción ((i), (ii) y (iii) en conjunto, los “Periodos de Línea de Producción”).
(d) FCA calculará la Regalía de acuerdo con las Cláusulas 1(a) y 1(b) por trimestres naturales (el “Periodo de Regalía”) y la pagará a más tardar treinta (30) días naturales después del final del periodo trimestral completo anterior. Para propósitos de claridad, la Regalía calculada para cualquier Periodo de Regalía incluirá cualquier venta considerada (de conformidad con la Cláusula 1(b)), durante dicho Periodo de Regalía.
(e) Para cada Periodo de Regalía, dentro de los quince (15) días hábiles siguientes a la finalización de dicho periodo, FCA proporcionará al Acreedor una declaración de regalías por escrito. Dicha declaración de regalías deberá ser certificada como exacta por un funcionario debidamente autorizado de FCA, y deberá contener (i) el número y los tipos de Vagones y Vagones Cisterna vendidos (o considerados vendidos de conformidad con la Cláusula 1(b)) durante el Periodo de Regalía aplicable, (ii) la factura bruta de los clientes finales aplicables, y (iii) los costes de flete, seguro y/o derechos y tasas de aduana excluidos de los Ingresos Netos por Ventas de Vagones (como se define más adelante) o de los Ingresos Netos por Ventas de Vagones Cisterna (como se define más adelante) para cada envío.
(f) “Ingresos Netos por Ventas de Vagones” significará el precio de venta bruto u otra contraprestación recibida por FCA por la venta de Vagones de nueva fabricación o convertidos, modificados, renovados o reparados, distintos de los vagones cisterna, vendidos a terceros o a FCA para su propia flota de renta. Los Ingresos Netos por Ventas de Vagones no incluirán los costes de flete, seguro y/o derechos y tarifas de aduana.
(g) “Ingresos Netos por Ventas de Vagones Cisterna” significará el precio de venta bruto u otra contraprestación recibida por FCA por la venta de Vagones Cisterna de nueva fabricación o convertidos, modificados, restaurados o reparados vendidos a terceros o a FCA para su propia flota de renta. Los Ingresos Netos por Ventas de Vagones Cisterna no incluirán los |
(i) All payments due to Royalty Payee shall be made in United States currency by wire transfer to the Account, unless otherwise specified by them to FCA.
2. TERM
(a) The term of this Agreement (the “Term”) shall commence on the Effective Date and end upon the termination of the last applicable Production Line Period, unless terminated earlier pursuant to this Agreement.
(b) FCA shall have the right to immediately terminate this Agreement upon written notice to Royalty Payee in the event that:
i. Royalty Payee commits a material breach of any of its obligations under this Agreement, and such breach is not cured within ninety (90) days after written notice to such Party of such breach; or
ii. any Gil commits a material breach of any of their obligations under that certain lease agreements and its respective amendment agreements, by and between the Gils as lessors and FCA-Fasemex, S. de R.L. de C.V. as lessee, and such breach is not cured within ninety (90) days after written notice to the Gils of such breach; provided, however, that this Agreement shall not terminate in the event that such lease agreement and its respective amendment agreements, are terminated by mutual agreement of the parties thereto, for any reason whatsoever, prior to its expiration date.
3. REPRESENTATIONS AND WARRANTIES
(a) FCA represents and warrants that (i) it is a corporation duly organized, validly existing, and in good standing under the laws of the State of Delaware, and (ii) has full power and authority to enter into this Agreement and perform its obligations hereunder. |
costes de flete, seguro y/o derechos y tarifas de aduana.
(h) Todos los pagos debidos al Acreedor se realizarán en moneda de curso legal de los Estados Unidos mediante transferencia bancaria a la Cuenta, a menos que éste especifique lo contrario a FCA.
2. VIGENCIA
(a) La vigencia de este Contrato (la “Vigencia”) comenzará en la Fecha de Inicio y deberá terminar en la terminación del último Periodo de Línea de Producción aplicable, salvo que termine anticipadamente en virtud del presente Contrato.
(b) FCA tendrá derecho a rescindir inmediatamente el presente Contrato previa notificación por escrito al Acreedor en caso de que:
i. El Acreedor cometa un incumplimiento grave de cualquiera de sus obligaciones en virtud del presente Contrato, y dicho incumplimiento no se subsane en un plazo de noventa (90) días tras la notificación por escrito de dicho incumplimiento a dicha Parte; o
ii. cualquier de los Señores Gil cometa un incumplimiento sustancial de cualquiera de sus obligaciones conforme a ciertos contratos de arrendamiento y sus respectivos convenios modificatorios, celebrados entre los Señores Gil como arrendadores y FCA-Fasemex, S. de R.L. de C.V. como arrendatario, y dicho incumplimiento no sea subsanado dentro de los noventa (90) días siguientes a la notificación por escrito a los Señores Gil de dicho incumplimiento; en el entendido, sin embargo, que el presente Contrato no terminará en caso de que dicho contrato de arrendamiento y sus respectivos convenios modificatorios, sean terminados por mutuo acuerdo de las partes del mismo, por cualquier motivo, antes de su fecha de vencimiento.
3. DECLARACIONES Y GARANTÍAS
(a) FCA declara y garantiza que (i) es una sociedad mercantil debidamente constituida, con existencia válida y en pleno goce de sus derechos conforme a las leyes del Estado de Delaware, y |
(b) Royalty Payee represents and warrants that he is an individual, of Mexican nationality, of legal age, married, with full authority to exercise their own rights and with sufficient and enough legal capacity to be bound by the terms of this Agreement.
4. RECORD INSPECTION AND AUDIT
(a) Royalty Payee shall have the right, upon reasonable notice, to inspect FCA’s books, records, accounts, and all other documents and material in FCA’s possession or control with respect to the subject matter of this Agreement, subject to appropriate confidentiality restrictions, including all information leading to, derived from or related to the Royalties, the Railcar Sales Net Revenue and the Tank Cars Sales Net Revenue. FCA shall maintain proper books, records and accounts with entries that are full, true and correct in all material respects and in conformity with GAAP consistently applied regarding the Royalties, the Railcar Sales Net Revenue and the Tank Cars Sales Net Revenue. FCA shall permit any representatives or advisors of Royalty Payee, upon reasonable prior notice, to inspect, examine and make extracts from its books, records, accounts, and all other documents and material in FCA’s possession or control with respect to the subject matter of this Agreement, and to discuss its calculations, entries and records with its officers and independent accountants, all at such reasonable times and as often as reasonably requested, in each case at Royalty Payee’ expense; provided that, Royalty Payee shall not exercise such rights more often than two (2) times during any calendar year absent the existence of an event of default by FCA, in which case the inspection and works related thereto can take place at any reasonable time and shall be at FCA’s expense.
(b) All books and records relative to FCA’s obligations hereunder shall be maintained and made accessible to Royalty Payee for inspection at a location in the United States for at least two (2) years after termination or expiration of this Agreement. |
(ii) cuenta con las facultades para celebrar el presente Contrato y cumplir con las obligaciones a su cargo.
(b) El Acreedor declara y garantiza que es una persona física, de nacionalidad mexicana, mayor de edad, casado, con plena capacidad para ejercer sus propios derechos y con capacidad legal suficiente y bastante para obligarse en los términos del presente Contrato.
4. INSPECCIÓN Y AUDITORÍA DE REGISTROS
(a) El Acreedor tendrá derecho, previo aviso razonable, a inspeccionar los libros, registros, cuentas y todos los demás documentos y materiales en posesión o control de FCA con respecto al objeto de este Contrato, sujeto a las restricciones de confidencialidad apropiadas, incluida toda la información que conduzca, derive o esté relacionada con las Regalías, los Ingresos Netos por Ventas de Vagones y los Ingresos Netos por Ventas de Vagones Cisterna. FCA mantendrá libros, registros y cuentas adecuados con entradas que sean completas, verdaderas y correctas en todos los aspectos materiales y de conformidad con los PCGA aplicados de forma coherente en relación con las Regalías, los Ingresos Netos por Ventas de Vagones y los Ingresos Netos por Ventas de Vagones Cisterna. FCA permitirá a cualquier representante o asesor del Acreedor, previo aviso razonable, inspeccionar, examinar y extraer extractos de sus libros, registros, cuentas y cualquier otro documento y material en posesión o control de FCA en relación con el objeto de este Contrato, así como discutir sus cálculos, entradas y registros con sus directivos y contadores independientes, todo ello en momentos razonables y con la frecuencia que se solicite razonablemente, en cada caso a expensas del Acreedor; siempre y cuando, el Acreedor no ejerza tales derechos más de dos (2) veces durante cualquier año natural, salvo que exista un caso de incumplimiento por parte de FCA, en cuyo caso la inspección y los trabajos relacionados con la misma podrán tener lugar en cualquier momento razonable y correrán a cargo de FCA.
(b) Todos los libros y registros relativos a las obligaciones de FCA en virtud del presente Contrato se mantendrán y serán accesibles al |
5. CONFIDENTIALITY
(a) All disclosures of trade secrets, know-how, financial information, or other information of a type that is known to be, or that a reasonable person would recognize it to be, confidential made by FCA or any of its affiliates (as applicable, the “Discloser”) under or in connection with this Agreement, as well as the terms of this Agreement (collectively, the “Confidential Information”), shall be received and maintained in confidence by the recipient (the “Recipient”) and each Recipient shall treat all such Confidential Information as the confidential property of the Discloser and keep it confidential and secure and protect it from unauthorized use or disclosure by using at least the same degree of care as Recipient employs to avoid unauthorized use or disclosure of its own Confidential Information of similar nature, but in no event less than reasonable care. Notwithstanding the foregoing, a Recipient shall be permitted to disclose any Confidential Information if required by applicable law, provided the Recipient provides the Discloser reasonable prior opportunity to comment upon such disclosure to the extent permitted by law and agree to cooperate to take reasonable steps to minimize the extent of any such required disclosure.
(b) The term “Confidential Information” does not include information that (i) was in the public domain prior to the time it was furnished to Recipient or is at the time of the alleged breach (through no willful or improper action or inaction by such Recipient) generally available to the public, (ii) was or becomes available to a Recipient on a non-confidential basis from a source other than FCA or its affiliates, provided such other source is not be known by the Recipient to be bound by a confidentiality obligation, (iii) is lawfully known to a Recipient prior to disclosure of the Confidential Information by FCA or its affiliates, or (iv) is independently developed by a Recipient without any use of any Confidential Information.
|
Acreedor para su inspección en una ubicación en los Estados Unidos de América durante al menos dos (2) años tras la terminación o expiración del presente Contrato.
5. CONFIDENCIALIDAD
(a) Todas las divulgaciones de secretos comerciales, conocimientos técnicos, información financiera u otra información de un tipo que se sabe que es confidencial, o que una persona razonable reconocería que es confidencial, realizadas por FCA o cualquiera de sus subsidiarias (según corresponda, el "Revelador") en virtud o en relación con este Contrato, así como los términos de este Contrato (colectivamente, la “Información Confidencial”), será recibida y mantenida de forma confidencial por el receptor (el "Receptor") y cada Receptor tratará toda Información Confidencial como propiedad confidencial del Revelador y la mantendrá confidencial y segura y la protegerá del uso o divulgación no autorizados utilizando al menos el mismo grado de cuidado que el Receptor emplea para evitar el uso o divulgación no autorizados de su propia Información Confidencial de naturaleza similar, pero en ningún caso inferior al cuidado razonable. Sin perjuicio de lo anterior, el Receptor podrá divulgar cualquier Información Confidencial si así lo exige la legislación aplicable, siempre y cuando el Receptor proporcione al Revelador una oportunidad previa razonable para comentar dicha divulgación en la medida en que lo permita la ley y acepte cooperar para tomar medidas razonables con el fin de minimizar el alcance de cualquier divulgación exigida.
(b) El término "Información confidencial" no incluye información que (i) fuera de dominio público antes del momento en que se proporcionó al Receptor o que en el momento del supuesto incumplimiento (sin acción o inacción voluntaria o indebida por parte de dicho Receptor) esté generalmente a disposición del público, (ii) haya estado o pase a estar a disposición del Receptor de forma no confidencial por parte de una fuente distinta a FCA o sus subsidiarias, siempre y cuando el Receptor no sepa que dicha fuente está sujeta a una obligación de confidencialidad, (iii) el Receptor la conozca legalmente antes de la divulgación de la Información Confidencial por parte de FCA o sus subsidiarias, o (iv) el |
(c) Each Recipient’s obligations with respect to the Confidential Information shall continue for a term of three (3) years following the termination of this Agreement.
6. COMPLIANCE WITH LAWS
Notwithstanding anything to the contrary, the obligations of the Parties hereto shall be subject to all laws, present and future (including export control laws and regulations) of any government having jurisdiction over the Parties hereto, and to orders, regulations, directions, or requests of any such government. Each Party shall undertake to comply with and be solely responsible for complying with such laws applicable to such Party.
7. TAXES
Each Party shall otherwise remain responsible for all taxes applicable to such Party and its operations in connection with this Agreement.
8. NOTICE AND PAYMENT
Any notice or communication required or permitted to be given be any provisions of this Agreement, including any consents, shall be in writing and shall be deemed to have been given and received by the person to whom directed, if properly addressed: (1) when delivered personally to such person or to an officer of the person to which directed, (2) upon confirmation of receipt of transmission by email, or (3) two days after being deposited with an internationally recognized overnight courier, delivery charges prepaid for delivery the following day. The addresses for notice are as follows:
FCA: |
Receptor la desarrolle de forma independiente sin utilizar alguna Información Confidencial.
(c) Las obligaciones de cada Receptor con respecto a la Información Confidencial continuarán durante un plazo de tres (3) años contados a partir de la terminación del presente Contrato.
6. CUMPLIMIENTO CON LA LEY.
No obstante cualquier disposición en contrario, las obligaciones de las Partes del presente Contrato estarán sujetas a todas las leyes, presentes y futuras (incluidas las leyes y reglamentos de control de las exportaciones) de cualquier gobierno que tenga jurisdicción sobre las Partes del presente Contrato, y a las órdenes, regulaciones, instrucciones o solicitudes de cualquiera de dichos gobiernos. Cada una de las Partes se comprometerá a cumplir y será la única responsable del cumplimiento de dichas leyes aplicables a dicha Parte.
7. IMPUESTOS
Cada Parte seguirá siendo responsable de todos los impuestos aplicables a dicha Parte y a sus operaciones en relación con el presente Contrato.
8. NOTIFICACIONES Y PAGO
Cualquier notificación o comunicación requerida o permitida en virtud de cualquiera de las disposiciones del presente Contrato, incluido cualquier otorgamiento de consentimiento, se realizará por escrito y se considerará entregada y recibida por la persona a la que se dirige, si está debidamente dirigida: (1) cuando se entrega personalmente a dicha persona o a un funcionario de la persona a la que se dirige, (2) tras la confirmación de la recepción de la transmisión por correo electrónico, o (3) dos días después de ser depositada en un servicio de mensajería nocturno reconocido internacionalmente, con los gastos de envío pagados por adelantado para su entrega al día siguiente. Las direcciones de notificación son las siguientes:
|
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
With a copy to (which shall not constitute notice):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26th Floor Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
Royalty Payee:
Jesus Salvador Gil Benavides Guadalajara 604, Col. Guadalupe Monclova, Coahuila 25750 México Attn: Jesus Salvador Gil Benavides Email: jgil@fasemex.com.mx
With a copy to (which shall not constitute notice):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
Any Party may change its address, email or individual for receiving notice for the purpose of this Section by notice to the other given in the manner set forth above.
9. GOVERNING LAW
This Agreement shall be governed and controlled as to validity, enforcement, interpretation, construction, effect and in all other respects by the internal laws of the State of Illinois applicable to contracts made in that state, without giving effect to any choice of law or conflict of law provision or rule that would cause the application |
FCA:
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
Con copia a (la cual no constituirá notificación):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26° Piso Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
El Acreedor:
Jesús Salvador Gil Benavides Guadalajara 604, Col. Guadalupe Monclova, Coahuila 25750 México Attn: Jesús Salvador Gil Benavides Email: jgil@fasemex.com.mx
Con copia a (la cual no constituirá notificación):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
Cualquiera de las Partes podrá cambiar su dirección, correo electrónico o persona para recibir notificaciones a los efectos de la presente Cláusula mediante notificación a la otra Parte realizada en la forma establecida anteriormente.
9. LEGISLACIÓN APLICABLE
El presente Contrato se regirá y se someterá en cuanto a su validez, ejecución, interpretación, construcción, efecto y en todos los demás aspectos por las leyes internas del Estado de Illinois aplicables a los contratos celebrados en dicho estado, sin dar efecto a ninguna elección de ley o conflicto de disposiciones o normas legales |
of the laws of any jurisdiction other than the State of Illinois.
10. CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL.
(a) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL PROCEEDINGS (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING SHALL BE COMMENCED AND PROSECUTED EXCLUSIVELY IN THE COURTS OF THE STATE OF ILLINOIS LOCATED IN THE CITY OF CHICAGO, COUNTY OF COOK, AND ANY APPELLATE COURT THEREFROM OR THE UNITED STATES FOR THE NORTHERN DISTRICT OF ILLINOIS AND ANY APPELLATE COURT THEREFROM (COLLECTIVELY, THE “Illinois Courts”). EACH PARTY HERE-BY IRREVOCABLY AND UNCONDITIONALLY CONSENTS AND SUBMITS, FOR IT-SELF AND ITS ASSETS, TO THE EXCLUSIVE JURISDICTION OF ANY OF THE ILLINOIS COURTS IN RESPECT OF ANY SUCH PROCEEDING. EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN SECTION 8. NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY LAW.
(b) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT IT MAY LEGALLY AND EFFECTIVELY DO SO, ANY OBJECTION WHICH IT MAY NOW |
que provoquen la aplicación de las leyes de cualquier jurisdicción distinta del Estado de Illinois.
10. CONSENTIMIENTO A LA JURISDICCIÓN; RENUNCIA AL JUICIO CON JURADO.
(a) CADA UNA DE LAS PARTES ACEPTA DE FORMA IRREVOCABLE E INCONDICIONAL QUE TODOS LOS PROCEDIMIENTOS (CONTRACTUALES, EXTRACONTRACTUALES O DE OTRO TIPO) DERIVADOS O RELACIONADOS CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES SE INICIARÁ Y PROCESARÁ EXCLUSIVAMENTE EN LOS TRIBUNALES DEL ESTADO DE ILLINOIS UBICADOS EN LA CIUDAD DE CHICAGO, COUNTY OF COOK, Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO O LOS ESTADOS UNIDOS PARA EL DISTRITO NORTE DE ILLINOIS Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO (COLECTIVAMENTE, LOS "Tribunales de Illinois"). CADA UNA DE LAS PARTES CONSIENTE Y SE SOMETE IRREVOCABLE E INCONDICIONALMENTE, POR SÍ MISMA Y POR SUS BIENES, A LA JURISDICCIÓN EXCLUSIVA DE CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS. POR LA PRESENTE, CADA UNA DE LAS PARTES CONSIENTE DE FORMA IRREVOCABLE E INCONDICIONAL A LA NOTIFICACIÓN DE PROCESOS EN LA FORMA PREVISTA PARA LAS NOTIFICACIONES EN LA CLAÚSULA 8. NADA DE LO DISPUESTO EN EL PRESENTE CONTRATO AFECTARÁ AL DERECHO DE CUALQUIERA DE LAS PARTES A NOTIFICAR PROCESOS DE CUALQUIER OTRA FORMA PERMITIDA POR LA LEY.
(b) POR EL PRESENTE CONTRATO, CADA UNA DE LAS PARTES RENUNCIA DE |
OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH PROCEEDING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES AGREES THAT A FINAL JUDGMENT IN ANY SUCH PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.
(c) EACH PARTY AGREES THAT ANY PROCEEDING (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING WILL INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY SUCH PROCEEDING.
(d) EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF ANY PROCEEDING ARISING UNDER OR RELATING TO THIS AGREEMENT, SEEK TO ENFORCE THE FOREGOING WAIVERS, |
FORMA IRREVOCABLE E INCONDICIONAL, EN LA MEDIDA EN QUE PUEDA HACERLO DE FORMA LEGAL Y EFECTIVA, A CUALQUIER OBJECIÓN QUE PUEDA TENER AHORA O EN EL FUTURO AL ESTABLECIMIENTO DE LA JURISDICCIÓN DE CUALQUIER PROCEDIMIENTO DERIVADO O RELACIONADO CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL PRESENTE DOCUMENTO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE DOCUMENTO Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES EN CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS. CADA UNA DE LAS PARTES ACUERDA QUE UNA SENTENCIA DEFINITIVA EN CUALQUIERA DE DICHOS PROCEDIMIENTOS SERÁ CONCLUYENTE Y PODRÁ EJECUTARSE EN OTRAS JURISDICCIONES MEDIANTE UNA DEMANDA BASADA EN LA SENTENCIA O DE CUALQUIER OTRA FORMA PREVISTA POR LA LEY.
(c) CADA UNA DE LAS PARTES ACEPTA QUE CUALQUIER PROCEDIMIENTO (CONTRACTUAL, EXTRACONTRACTUAL O DE OTRO TIPO) DERIVADO O RELACIONADO CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES IMPLICARÁ CUESTIONES COMPLICADAS Y DIFÍCILES, Y POR LO TANTO CADA UNA DE LAS PARTES RENUNCIA IRREVOCABLE E INCONDICIONALMENTE A CUALQUIER DERECHO QUE PUEDA TENER A UN JUICIO CON JURADO CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS.
(d) CADA PARTE CERTIFICA Y RECONOCE QUE (i) NINGÚN REPRESENTANTE, AGENTE O ABOGADO DE OTRA PARTE HA DECLARADO, DE FORMA EXPRESA O DE OTRO TIPO, QUE DICHA OTRA PARTE NO INTENTARÁ, EN CASO DE PROCEDIMIENTO EN VIRTUD DEL |
(ii) SUCH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF SUCH WAIVERS, (iii) SUCH PARTY MAKES SUCH WAIVERS VOLUNTARILY, AND (iv) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATION IN THIS SECTION 10(d).
(e) EACH OF THE PARTIES HERETO WAIVES THE RIGHT TO A JURY TRIAL IN CONNECTION WITH ANY LAWSUIT, ACTION OR PROCEEDING SEEKING ENFORCEMENT OF SUCH PARTY’S RIGHTS UNDER THIS AGREEMENT.
11. SURVIVAL
If this Agreement terminates or expires, the provisions of this Agreement which by their nature extend beyond the expiration or termination of this Agreement shall survive, including Sections 1, 4, 5, and 7 through 21.
12. FURTHER ASSURANCES
In connection with this Agreement and the transactions contemplated hereby, each Party shall execute and deliver such further documents, and perform such further acts, as may be necessary or appropriate to effectuate and perform the provisions of this Agreement and those transactions contemplated hereunder, as reasonably requested by another Party.
13. ENTIRE AGREEMENT
This Agreement, contains all agreements among the Parties relating to its subject matter and supersedes and cancels any and all previous contracts or agreements among the Parties with respect thereto. Any other understanding about this Agreement, including additional terms or provisions contained in invoices, shipping papers, or other documents, will be of no force or effect. Any amendment to this Agreement must be in writing and will not be effective until it is executed and approved by an authorized representative of each Party.
|
PRESENTE CONTRATO O EN RELACIÓN CON EL MISMO, EJECUTAR LAS RENUNCIAS ANTERIORES, (ii) DICHA PARTE ENTIENDE Y HA CONSIDERADO LAS IMPLICACIONES DE DICHAS RENUNCIAS, (iii) DICHA PARTE REALIZA DICHAS RENUNCIAS VOLUNTARIAMENTE, Y (iv) DICHA PARTE HA SIDO INDUCIDA A ENTRAR EN ESTE CONTRATO POR, ENTRE OTRAS COSAS, LAS RENUNCIAS MUTUAS Y LA CERTIFICACIÓN EN ESTA CLÁUSULA 10(d).
(e) CADA UNA DE LAS PARTES RENUNCIA AL DERECHO A UN JUICIO CON JURADO EN RELACIÓN CON CUALQUIER DEMANDA, ACCIÓN O PROCEDIMIENTO QUE PRETENDA HACER VALER LOS DERECHOS DE DICHA PARTE EN VIRTUD DEL PRESENTE CONTRATO.
11. PERMANENCIA
En caso de resolución o expiración del presente Contrato, subsistirán las disposiciones del mismo que por su naturaleza se extiendan más allá de la expiración o resolución del presente Contrato, incluidas las Cláusulas 1, 4, 5 y 7 a 21.
12. GARANTÍAS ADICIONALES
En relación con el presente Contrato y las transacciones contempladas en el mismo, cada una de las Partes suscribirá y entregará los documentos adicionales y realizará los actos adicionales que sean necesarios o apropiados para efectuar y cumplir las disposiciones del presente Contrato y las transacciones contempladas en el mismo, según lo solicite razonablemente la otra Parte.
13. UNIDAD DE CONVENIO
El presente Contrato contiene todos los acuerdos entre las Partes relativos a su objeto y sustituye y anula todos y cada uno de los contratos o acuerdos anteriores entre las Partes con respecto al mismo. Cualquier otro acuerdo sobre el presente Contrato, incluidos los términos o disposiciones adicionales contenidos en facturas, documentos de envío u otros documentos, no tendrá fuerza ni efecto alguno. Cualquier modificación del presente Contrato deberá |
14. SEVERABILITY
If any provision of this Agreement is determined by any legislature, court, or administrative agency to be invalid or unenforceable, every other provision will remain in full force and effect, unless the purposes of this Agreement cannot be achieved. The Parties will use commercially reasonable efforts to substitute a valid, legal, and enforceable provision, which insofar as practical implements the purposes of any provision held invalid, illegal, or unenforceable.
15. WAIVERS
No waiver by any Party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the Party so waiving. No waiver by any Party shall operate or be construed as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power, or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power, or privilege.
16. ASSIGNMENT
This Agreement is deemed to be of a personal nature and no party may assign, convey, or transfer this Agreement or any right or interest in this Agreement, or delegate or subcontract performance of any obligations hereunder, in whole or in part, to any third party, without the prior written consent of FCA. Any attempt to do so shall be void ab initio.
Notwithstanding the foregoing, the Parties agree that (1) the initial Royalty Payee shall have the one-time right to totally or partially assign and/or |
realizarse por escrito y no surtirá efecto hasta que haya sido ejecutada y aprobada por un representante autorizado de cada una de las Partes.
14. ILEGALIDAD DE DISPOSICIONES
Si cualquier disposición del presente Contrato es declarada inválida o inaplicable por cualquier legislatura, tribunal u organismo administrativo, todas las demás disposiciones seguirán en pleno vigor y efecto, a menos que no puedan alcanzarse los fines del presente Contrato. Las Partes harán todos los esfuerzos comercialmente razonables para sustituir una disposición válida, legal y aplicable que, en la medida de lo posible, cumpla los fines de cualquier disposición declarada inválida, ilegal o inaplicable.
15. RENUNCIAS
Ninguna renuncia de cualquiera de las Partes a cualquiera de las disposiciones del presente documento será efectiva a menos que se establezca explícitamente por escrito y esté firmada por la Parte que renuncia. Ninguna renuncia por cualquiera de las Partes se interpretará como una renuncia con respecto a cualquier falta, incumplimiento o violación no identificado expresamente por dicha renuncia por escrito, ya sea de carácter similar o diferente, y ya sea que ocurra antes o después de dicha renuncia. El no ejercicio o el retraso en el ejercicio de cualquier derecho, recurso, facultad o privilegio derivado del presente Contrato no se interpretará como una renuncia al mismo; ni el ejercicio único o parcial de cualquier derecho, recurso, facultad o privilegio en virtud del presente Contrato impedirá cualquier otro ejercicio posterior del mismo o el ejercicio de cualquier otro derecho, recurso, facultad o privilegio.
16. CESIÓN
El presente Contrato se considera de naturaleza personal y ninguna de las partes podrá ceder, transmitir o transferir el presente Contrato o cualquier derecho o interés en el mismo, ni delegar o subcontratar el cumplimiento de cualquiera de sus obligaciones, en su totalidad o en parte, a terceros, sin el consentimiento previo por escrito de FCA. Cualquier intento de hacerlo será nulo ab initio. |
transfer its rights under this Agreement, without the prior written consent of FCA, (a) by any means (i) to any individual that is a member of the initial Royalty Payee´s family and that is a blood relative, a spouse and/or with whom the initial Royalty Payee has an adoption relationship, and/or (ii) to any legal entity in which Royalty Payee is a controlling equity holder (for so long as Royalty Payee or its successors remain the controlling equity holder), (b) by means of a contribution to a trust set up by the initial Royalty Payee that (i) is controlled by, or, for the benefit of, the initial Royalty Payee, or (ii) is for the benefit of the beneficiaries of such trust or any individual that is a member of the initial Royalty Payee family and that is a blood relative, a spouse and/or with whom the initial Royalty Payee has an adoption relationship, and/or (2) the initial Royalty Payee and its successors, if any, shall have the right to totally or partially assign and/or transfer its rights under this Agreement, without the prior written consent of FCA, by cause of death to their heirs and/or legatees, appointed by will or by law if the initial Royalty Payee or its successors die intestate. In the cases referred to in (1) above, Royalty Payee or its legal representative, as the case may be, shall give written notice to FCA 30 (thirty) calendar days prior to the corresponding event. In the cases referred to in (2) above, the executor shall give written notice to FCA 30 (thirty) calendar days after the corresponding event.
17. NO THIRD-PARTY BENEFICIARIES
This Agreement is solely for the benefit of the Parties and their respective permitted successors and assigns, without prejudice to the provisions of Section 16 hereof. There are no other third-party beneficiaries to this Agreement.
18. RELATIONSHIP OF THE PARTIES
The relationship between and among the Parties is solely that of independent contractors. Nothing in this Agreement creates a partnership, joint venture, or principal-agent relationship. Royalty Payee shall not have any authority to create or |
No obstante lo anterior, las Partes acuerdan que (1) el Acreedor inicialtendrá el derecho, por una sola vez, a ceder y/o transferir total o parcialmente sus derechos en virtud del presente Contrato, sin el consentimiento previo por escrito de FCA, (a) por cualquier medio (i) a cualquier persona física que sea miembro de la familia del Acreedor inicial y que sea pariente consanguíneo, cónyuge y/o con quien el Acreedor inicial tenga una relación de adopción, y/o (ii) a cualquier entidad jurídica en la que el Acreedor sea un accionista mayoritario (mientras el Acreedor o sus herederos siga siendo el accionista mayoritario), (b) mediante aportación a un fideicomiso constituido por el Acreedor inicial que (i) sea controlado por, o, para el beneficio de, el Acreedor inicial, o (ii) sea para el beneficio de los fideicomisarios de dicho fideicomiso o para cualquier persona física que sea miembro de la familia del Acreedor inicial y que sea pariente consanguíneo, cónyuge y/o con quien el Acreedor inicial tenga una relación de adopción y/o (2) el Acreedor inicial y sus herederos, si los hubiere, tendrán derecho a ceder y/o transferir total o parcialmente sus derechos en virtud del presente Contrato, sin el consentimiento previo por escrito de FCA, por causa de muerte a sus herederos y/o legatarios, designados por testamento o por ley si el Acreedor inicial o sus herederos fallecen intestados. En los casos anteriormente referidos en el punto (1), el Acreedor o su representante legal, según sea el caso, deberán notificar por escrito a FCA 30 (treinta) días naturales antes de ocurrido el evento correspondiente. En los casos anteriormente referidos en el punto (2), el albacea deberá notificar por escrito a FCA 30 (treinta) días naturales después de ocurrido el evento correspondiente.
17. EFECTO VINCULATORIO; BENEFICIO
El presente Contrato beneficia exclusivamente a las Partes y a sus respectivos causahabientes y cesionarios autorizados, sin perjuicio de lo dispuesto en la Cláusula 16 del mismo. No existen terceros beneficiarios del presente Contrato.
18. RELACIÓN ENTRE LAS PARTES
|
assume in FCA’s name or on its behalf any obligation, expressed or implied, or to act or purport to act as FCA’s agent or legally empowered representative for any purpose whatsoever. No Party shall be liable to any third party in any way for any engagement, obligation, commitment, contract, representation, transaction, or act or omission to act of another other Party, except as expressly provided herein.
19. TERMINOLOGY AND CONSTRUCTION
All personal pronouns used in this Agreement, whether used in the masculine, feminine or neuter gender, shall include all other genders; and the singular shall include the plural and vice versa. Titles of Articles, Sections, Exhibits, and Schedules are for convenience only, and neither limit nor amplify the provisions of this Agreement. Except as specifically provided, references to Articles, Sections, Exhibits, and Schedules in this Agreement refer to Articles, Sections, Exhibits, and Schedules to, this Agreement. The use herein of the word “including,” when following any general statement, term or matter, shall not be construed to limit such statement, term or matter to the specific items or matters set forth immediately following such word or to similar items or matters, whether or not non-limiting language (such as “without limitation,” or “but not limited to,” or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other items or matters that could reasonably fall within the broadest possible scope of such general statement, term or matter. The word “or” shall mean “and/or” unless the context requires otherwise. The words “day,” “month,” and “year” mean, respectively, calendar day, calendar month and calendar year. The Parties agree that the terms and conditions of this Agreement are the result of negotiations between them and that this Agreement shall be construed in favor of or against either Party by reason of the extent to which such Party of its professional advisors participated in the preparation of such agreements.
|
La relación entre las Partes es exclusivamente la de contratistas independientes. Nada en este Contrato crea una sociedad en participación, joint venture o una relación principal-agente. El Acreedor no tendrá autoridad alguna para crear o asumir en nombre de FCA o en su representación ninguna obligación, expresa o implícita, ni para actuar o pretender actuar como agente o representante legalmente facultado de FCA para ningún fin. Ninguna de las Partes será responsable ante terceros de ninguna manera por cualquier compromiso, obligación, compromiso, contrato, representación, transacción, o acto u omisión de actuar de la otra Parte, salvo lo expresamente dispuesto en el presente Contrato.
19. TERMINOLOGÍA Y ESTRUCTURA
Todos los pronombres personales utilizados en el presente Contrato, ya sea en género masculino, femenino o neutro, incluirán todos los demás géneros; y el singular incluirá el plural y viceversa. Los títulos de los Artículos, Cláusulas, Anexos y Listas se utilizan únicamente por comodidad y no limitan ni amplían las disposiciones del presente Contrato. Salvo que se disponga específicamente lo contrario, las referencias a los Artículos, Cláusulas, Anexos y Anexos de este Contrato se refieren a los Artículos, Cláusulas, Anexos y Anexos de este Contrato. El uso en el presente documento de la palabra "incluyendo", cuando siga a cualquier declaración, término o asunto general, no se interpretará en el sentido de limitar dicha declaración, término o asunto a los elementos o asuntos específicos establecidos inmediatamente después de dicha palabra o a elementos o asuntos similares, independientemente de que se utilice o no un lenguaje no limitativo (como "sin limitación" o "pero sin limitarse a", o palabras de significado similar) con referencia a los mismos, sino que se considerará que se refiere a todos los demás elementos o asuntos que pudieran razonablemente incluirse en el ámbito más amplio posible de dicha declaración, término o asunto general. La palabra "o" significará "y/o" a menos que el contexto requiera lo contrario. Las palabras "día", "mes" y "año" significan, respectivamente, día natural, mes natural y año natural. Las Partes acuerdan que los términos y condiciones de este Contrato son el resultado de negociaciones entre ellas y que este Contrato se interpretará a favor o en contra de cualquiera de |
20. LIMITATIONS OF LIABILITY
No Party to this Agreement shall be entitled to recover from the other any special, incidental, consequential or punitive damages.
21. COUNTERPARTS
This Agreement may be executed in two or more counterparts, each of which shall constitute an original and all of which together shall constitute a single instrument.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the Effective Date.
[Signature Pages Follow]
|
las Partes en razón de la medida en que dicha Parte o sus asesores profesionales hayan participado en la preparación de dichos acuerdos.
20. LIMITACIONES DE RESPONSABILIDAD
Ninguna de las Partes de este Contrato tendrá derecho a reclamar a la otra ningún daño especial, incidental, consecuente o punitivo.
21. EJEMPLARES
El presente Contrato podrá ejecutarse en dos o más ejemplares, cada uno de los cuales constituirá un original y todos ellos juntos constituirán un único instrumento.
EN FE DE LO CUAL, las Partes firman el presente Contrato en la Fecha de Inicio.
[Siguen las Páginas de Firma] |
FCA: |
ROYALTY PAYEE/ACREEDOR:
|
FREIGHTCAR AMERICA, INC.
By: /s/ Michael Riordan Name: Michael Riordan Title: CFO
|
JESÚS SALVADOR GIL BENAVIDES
/s/ Jesús Salvador Gil Benavides
|
Exhibit 10.5
ROYALTY AGREEMENT
THIS ROYALTY AGREEMENT (the “Agreement”) is made as of January 23, 2024 (the “Effective Date”) by and among FreightCar America, Inc., a Delaware corporation with offices at 125 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), and Salvador Gil Benavides, a Mexican individual, with domicile at Rio Nazas 1001 Copl. Jardines de la Salle, Monclova, Coahuila 25720 México (The “Royalty Payee”), and FCA and Royalty Payee are collectively referred to herein as the “Parties”.
RECITALS
A. Whereas Royalty Payee has industrial, commercial and technical knowledge and information (the "Knowledge") consisting of:
(i) Knowledge related to the way of doing business in Mexico by domestic and foreign investors,
(ii) Knowledge as to of how to do business in the metal-mechanic, casting, smelting and manufacturing of metallic materials such as steel,
(iii) Knowledge of the industrial process to manufacture Railcars and Tank Cars (as defined below),
(iv) Knowledge related to the design and construction of industrial facilities for the Railcars and Tank Cars (as defined below) manufacturing industry, as well as the negotiation and contracting of suppliers in different segments of the services related to the construction of industrial facilities,
(v) Knowledge of the supplier and supply-chain market related to the businesses and industries mentioned in the preceding paragraphs,
(vi) Knowledge of the labor market, both related to human resources matters and union matters in Monclova, Coahuila and the region, and in Mexico, in general, |
CONTRATO DE REGALÍAS
ESTE CONTRATO DE REGALÍAS (el “Contrato”) de fecha 23 de enero de 2024 (la “Fecha de Inicio”) celebrado por y entre Freightcar America, Inc. una sociedad de Delaware con oficinas en 25 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), y Salvador Gil Benavides, una persona física mexicana, con domicilio en Rio Nazas 1001 Copl. Jardines de la Salle, Monclova, Coahuila 25720 México (el “Acreedor”). y FCA y el Acreedor conjuntamente referidos como las “Partes”.
ANTECEDENTES
A. Considerando que el Acreedor posee conocimientos e información industrial, comercial y técnica (los “Conocimientos”) consistentes en:
(i) Conocimientos sobre la manera de realizar negocios en México por parte de empresas nacionales e inversionistas extranjeros,
(ii) Conocimientos sobre la manera de realizar negocios en el mercado metalmecánico, de la fundición, fusión y manufactura de materiales metálicos como el acero,
(iii) Conocimientos sobre el proceso industrial de manufactura de Vagones y Vagones Cisterna (como se definen más adelante),
(iv) Conocimientos en materia de diseño y construcción de naves industriales para la industria de manufactura de Vagones y Vagones Cisterna (como se definen más adelante), así como de la negociación y contratación de proveedores en distintos segmentos de la prestación de servicios de construcción de naves industriales,
(v) Conocimientos del mercado de proveedores y la cadena de suministro relacionados con los negocios y la industria mencionada en los incisos anteriores,
(vi) Conocimientos del mercado laboral, tanto en lo que respecta a asuntos de recursos humanos como a asuntos sindicales en Monclova, Coahuila y la región, y en México, en general, |
(vii) Knowledge of the logistics systems, customs matters and foreign trade operations, in general, and in particular for Railcars and Tank Cars (as defined below),
(viii) Knowledge on the creation, implementation and administration of businesses of the nature of those mentioned in the preceding paragraphs in the market of Monclova, Coahuila, and
(ix) Knowledge of the local customs and practices of the Monclova market, the Mexican market and the export market to the United States in the aforementioned businesses.
B. Whereas, Royalty Payee, based on his Knowledge, has created, together with Mr. Alejandro Gil Benavides, and Mr. Jesús Salvador Gil Benavides (the “Gils”), a business plan and model for the performance of all the activities necessary to carry out the manufacture and repair of Railcars and Tank Cars (as defined below) in the Mexican market and, in particular, in the city of Monclova, Coahuila, as well as for its export to the United States (the “Business Plan and Model”).
C. Considering that Royalty Payee has delivered by different means, especially orally, his Knowledge and the Business Plan and Model to FCA, including its subsidiary, FCA-Fasemex, S. de R.L. de C.V., so that they are able to operate a certain industrial facility located in the city of Monclova, Coahuila, for the manufacture and repair of Railcars and Tank Cars (as defined below).
AGREEMENT
Now, therefore, in consideration of the mutual promises and covenants herein contained, the Parties hereto agrees as follows:
1. ROYALTY.
(a) During each applicable Production Line Period (as defined below), FCA will pay to Royalty Payee (i) 0.19200% of FCA’s Railcar Sales Net Revenue (as defined below) and (ii) |
(vii) Conocimientos en materia de operaciones logísticas, aduaneras y de comercio exterior, en general, y en particular para Vagones y Vagones Cisterna (como se define más adelante)
(viii) Conocimientos sobre la realización, implementación y administración de negocios de la naturaleza de los mencionados en los puntos anteriores en el mercado de Monclova, Coahuila, y
(ix) Conocimientos sobre los usos y costumbres del mercado de Monclova, el mercado mexicano y del mercado de exportación a los Estados Unidos en los negocios anteriormente señalados.
B. Considerando que, el Acreedor, con base a sus Conocimientos, ha elaborado, en conjunto con los señores Alejandro Gil Benavides y Jesús Salvador Gil Benavides (los “Señores Gil”), un plan y modelo de negocios para la realización de la totalidad de las actividades necesarias para llevar a cabo la manufactura y reparación de Vagones y Vagones Cisterna (como se define más adelante) en el mercado mexicano y, en particular, en la ciudad de Monclova, Coahuila, así como para su exportación a los Estados Unidos (el “Plan y Modelo de Negocios”).
C. Considerando que el Acreedor ha entregado por distintos medios, especialmente oral, sus Conocimientos y el Plan y Modelo de Negocios a FCA, incluyendo su subsidiaria, FCA-Fasemex, S. de R.L. de C.V., para que estén en posibilidad de operar cierta nave industrial ubicada en la ciudad de Monclova, Coahuila, para la manufactura y reparación de Vagones y Vagones Cisterna (como se define más adelante)
CONTRATO
Ahora, por lo tanto, en consideración de las promesas y obligaciones mutuas aquí contenidas, las Partes acuerdan lo siguiente:
1. REGALÍAS.
(b) Durante cada Periodo de Línea de Producción (como se define más adelante) aplicable, FCA pagará al Acreedor (i) el 0.19200% de los Ingresos Netos por Ventas de Vagones (como se define más adelante) de FCA |
0.24000% of FCA’s Tank Car Sales Net Revenue (as defined below); the payment specified in this clause (ii) and clause (i) of this sentence, collectively, the “Royalty”) on and subject to the terms and conditions of this Agreement. The Royalty shall be paid to the account specified on Exhibit I attached hereto (the “Account”). FCA’s obligations with respect to any such payment shall be complete when paid to the Account.
(c) During each applicable Production Line Period (as defined below), a Royalty obligation shall accrue, with respect to each Railcar or Tank Car (as such terms are defined below), upon the sale of (i) such new railcar or converted, modified, refurbished or repaired railcar, other than tank cars, to third parties or to FCA for its own leasing fleet (the “Railcars”), or (ii) such new tank car or converted, modified, refurbished or repaired tank car, to third parties or to FCA for its own leasing fleet (the “Tank Cars”) (the Railcars and the Tank Cars, collectively, the “Products”). A Product shall be considered “sold” when such Product is shipped and FCA is paid in full for such Product, when sold to third parties or when shipped to FCA when it will use them for its own leasing fleet and “repaired” shall mean programmed repair work, excluding under warranty repair works and normal course field repairs.
(d) With respect to (i) the first and second production lines that have been constructed to produce Railcars or Tank Cars at the Castaños facility in Castaños, Mexico (the “Castaños Facility”), a Royalty shall only accrue for a period terminating on August 31, 2037; (ii) the third and fourth production lines that are being constructed to produce Railcars or Tank Cars at the Castaños Facility, a Royalty shall only accrue for a period of seventeen (17) years, commencing on the first day of the month during which production commences on the third or fourth lines, whichever line is earlier between these two; and (iii) any other production lines constructed by FCA at the Castaños Facility or elsewhere within Mexico, a Royalty shall only accrue for a period of years, commencing on the first day of the month during which production commences |
y (ii) el 0.24000% de los Ingresos Netos por Ventas de Vagones Cisterna (como se define más adelante) de FCA; el pago especificado en esta cláusula (ii) y en la fracción (i) de esta oración, colectivamente, la "Regalía") en los términos y condiciones del presente Contrato. La Regalía se abonará a la cuenta especificada en el Anexo I adjunto al presente (la "Cuenta"). Las obligaciones de FCA con respecto a cualquier pago de este tipo se completarán cuando se abone en la Cuenta.
(b) Durante cada Periodo de Línea de Producción (como se define más adelante) aplicable, se devengará una obligación de Regalía, con respecto a cada Vagón o Vagón Cisterna (tal y como se definen dichos términos más adelante), por la venta de (i) cada vagón de ferrocarril nuevo o convertido, modificado, reformado o reparado, distinto de los vagones cisterna, a terceros o a FCA para su propia flota de renta (los “Vagones”), o (ii) cada vagón cisterna nuevo o vagón cisterna convertido, modificado, reformado o reparado, a terceros o a FCA para su propia flota de renta (los “Vagones Cisterna”) (los Vagones y los Vagones Cisterna, conjuntamente, los “Productos”). Un Producto se considerará "vendido" cuando dicho Producto se envíe y se pague íntegramente a FCA por dicho Producto, cuando se venda a terceros o cuando se envíe a FCA cuando los vaya a utilizar para su propia flota de renta y "reparado" significará el trabajo de reparación programado, excluyendo los trabajos de reparación en garantía y las reparaciones de campo en curso normal.
(c) En relación a (i) la primera y segunda líneas de producción que se han construido para producir Vagones o Vagones Cisterna en la nave de Castaños en Castaños, México (la “Nave de Castaños"), sólo se devengará una Regalía durante un periodo que finalizará el 31 de agosto de 2037; (ii) la tercera y cuarta líneas de producción que se están construyendo para producir Vagones o Vagones Cisterna en la Nave de Castaños, sólo se devengará una Regalía durante un periodo de diecisiete (17) años, a partir del primer día del mes en que comience la producción en la tercera o cuarta línea, la que sea anterior entre estas dos; y (iii) cualquier otra línea de producción construida por FCA en la Nave de Castaños o en cualquier otro lugar dentro de México, sólo se devengará una Regalía por un periodo de años, que comenzará el primer día del |
on such additional line(s) and ending on the same date that the Royalty obligation for the first and second production lines ended ((i), (ii), and (iii) together, the “Production Line Periods”).
(e) The Royalty shall be calculated in accordance with Sections 1(a) and 1(b) on a calendar quarter basis (the “Royalty Period”) by FCA and shall be payable by FCA no later than thirty (30) calendar days after the end of the preceding full quarterly period. For purposes of clarity, the Royalty calculated for any given Royalty Period will include any deemed sales (pursuant to Section 1(b)), during such Royalty Period.
(f) For each Royalty Period, within fifteen (15) business days of the end of such period, FCA shall provide Royalty Payee with a written royalty statement. Such royalty statement shall be certified as accurate by a duly authorized officer of FCA reciting (i) the number and types of Railcars or Tank Cars sold (or deemed sold pursuant to Section 1(b)) during the applicable Royalty Period, (ii) the applicable end customers gross invoice, and (iii) the costs of freight, insurance and/or custom duties and fees excluded from Railcar Sales Net Revenue (as defined below) or Tank Car Sales Net Revenue (as defined below) for each shipment.
(g) “Railcar Sales Net Revenue” shall mean the gross selling price or other consideration received by FCA from the sale of newly manufactured or converted, modified, refurbished or repaired Railcars, other than tank cars, sold to third parties or to FCA for its own leasing fleet. Railcar Sales Net Revenue shall not include out-of-pocket costs of freight, insurance and/or custom duties and fees.
(h) “Tank Car Sales Net Revenue” shall mean the gross selling price or other consideration received by FCA from the sale of newly manufactured or converted, modified, refurbished or repaired Tank Cars sold to third parties or to FCA for its own leasing fleet. Tank |
mes en que comience la producción en dicha(s) línea(s) adicional(es) y terminará en la misma fecha en que termine la obligación de Regalía para la primera y segunda líneas de producción ((i), (ii) y (iii) en conjunto, los “Periodos de Línea de Producción”).
(d) FCA calculará la Regalía de acuerdo con las Cláusulas 1(a) y 1(b) por trimestres naturales (el “Periodo de Regalía”) y la pagará a más tardar treinta (30) días naturales después del final del periodo trimestral completo anterior. Para propósitos de claridad, la Regalía calculada para cualquier Periodo de Regalía incluirá cualquier venta considerada (de conformidad con la Cláusula 1(b)), durante dicho Periodo de Regalía.
(e) Para cada Periodo de Regalía, dentro de los quince (15) días hábiles siguientes a la finalización de dicho periodo, FCA proporcionará al Acreedor una declaración de regalías por escrito. Dicha declaración de regalías deberá ser certificada como exacta por un funcionario debidamente autorizado de FCA, y deberá contener (i) el número y los tipos de Vagones y Vagones Cisterna vendidos (o considerados vendidos de conformidad con la Cláusula 1(b)) durante el Periodo de Regalía aplicable, (ii) la factura bruta de los clientes finales aplicables, y (iii) los costes de flete, seguro y/o derechos y tasas de aduana excluidos de los Ingresos Netos por Ventas de Vagones (como se define más adelante) o de los Ingresos Netos por Ventas de Vagones Cisterna (como se define más adelante) para cada envío.
(f) "Ingresos Netos por Ventas de Vagones” significará el precio de venta bruto u otra contraprestación recibida por FCA por la venta de Vagones de nueva fabricación o convertidos, modificados, renovados o reparados, distintos de los vagones cisterna, vendidos a terceros o a FCA para su propia flota de renta. Los Ingresos Netos por Ventas de Vagones no incluirán los costes de flete, seguro y/o derechos y tarifas de aduana.
(g) “Ingresos Netos por Ventas de Vagones Cisterna” significará el precio de venta bruto u otra contraprestación recibida por FCA por la venta de Vagones Cisterna de nueva fabricación o convertidos, modificados, restaurados o reparados vendidos a terceros o a FCA para su |
Car Sales Net Revenue shall not include out-of-pocket costs of freight, insurance and/or custom duties and fees.
(i) All payments due to Royalty Payee shall be made in United States currency by wire transfer to the Account, unless otherwise specified by them to FCA.
2. TERM
(a) The term of this Agreement (the “Term”) shall commence on the Effective Date and end upon the termination of the last applicable Production Line Period, unless terminated earlier pursuant to this Agreement.
(b) FCA shall have the right to immediately terminate this Agreement upon written notice to Royalty Payee in the event that:
i. Royalty Payee commits a material breach of any of its obligations under this Agreement, and such breach is not cured within ninety (90) days after written notice to such Party of such breach; or
ii. any Gil commits a material breach of any of their obligations under that certain lease agreements and its respective amendment agreements, by and between the Gils as lessors and FCA-Fasemex, S. de R.L. de C.V. as lessee, and such breach is not cured within ninety (90) days after written notice to the Gils of such breach; provided, however, that this Agreement shall not terminate in the event that such lease agreement and its respective amendment agreements, are terminated by mutual agreement of the parties thereto, for any reason whatsoever, prior to its expiration date.
3. REPRESENTATIONS AND WARRANTIES
(a) FCA represents and warrants that (i) it is a corporation duly organized, validly existing, and in good standing under the laws of the State |
propia flota de renta. Los Ingresos Netos por Ventas de Vagones Cisterna no incluirán los costes de flete, seguro y/o derechos y tarifas de aduana.
(h) Todos los pagos debidos al Acreedor se realizarán en moneda de curso legal de los Estados Unidos mediante transferencia bancaria a la Cuenta, a menos que éste especifique lo contrario a FCA.
2. VIGENCIA
(a) La vigencia de este Contrato (la “Vigencia”) comenzará en la Fecha de Inicio y deberá terminar en la terminación del último Periodo de Línea de Producción aplicable, salvo que termine anticipadamente en virtud del presente Contrato.
(b) FCA tendrá derecho a rescindir inmediatamente el presente Contrato previa notificación por escrito al Acreedor en caso de que:
i. El Acreedor cometa un incumplimiento grave de cualquiera de sus obligaciones en virtud del presente Contrato, y dicho incumplimiento no se subsane en un plazo de noventa (90) días tras la notificación por escrito de dicho incumplimiento a dicha Parte; o
ii. cualquier de los Señores Gil cometa un incumplimiento sustancial de cualquiera de sus obligaciones conforme a ciertos contratos de arrendamiento y sus respectivos convenios modificatorios, celebrados entre los Señores Gil como arrendadores y FCA-Fasemex, S. de R.L. de C.V. como arrendatario, y dicho incumplimiento no sea subsanado dentro de los noventa (90) días siguientes a la notificación por escrito a los Señores Gil de dicho incumplimiento; en el entendido, sin embargo, que el presente Contrato no terminará en caso de que dicho contrato de arrendamiento y sus respectivos convenios modificatorios, sean terminados por mutuo acuerdo de las partes del mismo, por cualquier motivo, antes de su fecha de vencimiento.
3. DECLARACIONES Y GARANTÍAS
(a) FCA declara y garantiza que (i) es una sociedad mercantil debidamente constituida, con |
of Delaware, and (ii) has full power and authority to enter into this Agreement and perform its obligations hereunder.
(b) Royalty Payee represents and warrants that he is an individual, of Mexican nationality, of legal age, married, with full authority to exercise their own rights and with sufficient and enough legal capacity to be bound by the terms of this Agreement.
4. RECORD INSPECTION AND AUDIT
(a) Royalty Payee shall have the right, upon reasonable notice, to inspect FCA’s books, records, accounts, and all other documents and material in FCA’s possession or control with respect to the subject matter of this Agreement, subject to appropriate confidentiality restrictions, including all information leading to, derived from or related to the Royalties, the Railcar Sales Net Revenue and the Tank Cars Sales Net Revenue. FCA shall maintain proper books, records and accounts with entries that are full, true and correct in all material respects and in conformity with GAAP consistently applied regarding the Royalties, the Railcar Sales Net Revenue and the Tank Cars Sales Net Revenue. FCA shall permit any representatives or advisors of Royalty Payee, upon reasonable prior notice, to inspect, examine and make extracts from its books, records, accounts, and all other documents and material in FCA’s possession or control with respect to the subject matter of this Agreement, and to discuss its calculations, entries and records with its officers and independent accountants, all at such reasonable times and as often as reasonably requested, in each case at Royalty Payee’ expense; provided that, Royalty Payee shall not exercise such rights more often than two (2) times during any calendar year absent the existence of an event of default by FCA, in which case the inspection and works related thereto can take place at any reasonable time and shall be at FCA’s expense.
(b) All books and records relative to FCA’s obligations hereunder shall be maintained and made accessible to Royalty Payee for inspection |
existencia válida y en pleno goce de sus derechos conforme a las leyes del Estado de Delaware, y (ii) cuenta con las facultades para celebrar el presente Contrato y cumplir con las obligaciones a su cargo.
(b) El Acreedor declara y garantiza que es una persona física, de nacionalidad mexicana, mayor de edad, casado, con plena capacidad para ejercer sus propios derechos y con capacidad legal suficiente y bastante para obligarse en los términos del presente Contrato.
4. INSPECCIÓN Y AUDITORÍA DE REGISTROS
(a) El Acreedor tendrá derecho, previo aviso razonable, a inspeccionar los libros, registros, cuentas y todos los demás documentos y materiales en posesión o control de FCA con respecto al objeto de este Contrato, sujeto a las restricciones de confidencialidad apropiadas, incluida toda la información que conduzca, derive o esté relacionada con las Regalías, los Ingresos Netos por Ventas de Vagones y los Ingresos Netos por Ventas de Vagones Cisterna. FCA mantendrá libros, registros y cuentas adecuados con entradas que sean completas, verdaderas y correctas en todos los aspectos materiales y de conformidad con los PCGA aplicados de forma coherente en relación con las Regalías, los Ingresos Netos por Ventas de Vagones y los Ingresos Netos por Ventas de Vagones Cisterna. FCA permitirá a cualquier representante o asesor del Acreedor, previo aviso razonable, inspeccionar, examinar y extraer extractos de sus libros, registros, cuentas y cualquier otro documento y material en posesión o control de FCA en relación con el objeto de este Contrato, así como discutir sus cálculos, entradas y registros con sus directivos y contadores independientes, todo ello en momentos razonables y con la frecuencia que se solicite razonablemente, en cada caso a expensas del Acreedor; siempre y cuando, el Acreedor no ejerza tales derechos más de dos (2) veces durante cualquier año natural, salvo que exista un caso de incumplimiento por parte de FCA, en cuyo caso la inspección y los trabajos relacionados con la misma podrán tener lugar en cualquier momento razonable y correrán a cargo de FCA.
|
at a location in the United States for at least two (2) years after termination or expiration of this Agreement.
5. CONFIDENTIALITY (a) All disclosures of trade secrets, know-how, financial information, or other information of a type that is known to be, or that a reasonable person would recognize it to be, confidential made by FCA or any of its affiliates (as applicable, the “Discloser”) under or in connection with this Agreement, as well as the terms of this Agreement (collectively, the “Confidential Information”), shall be received and maintained in confidence by the recipient (the “Recipient”) and each Recipient shall treat all such Confidential Information as the confidential property of the Discloser and keep it confidential and secure and protect it from unauthorized use or disclosure by using at least the same degree of care as Recipient employs to avoid unauthorized use or disclosure of its own Confidential Information of similar nature, but in no event less than reasonable care. Notwithstanding the foregoing, a Recipient shall be permitted to disclose any Confidential Information if required by applicable law, provided the Recipient provides the Discloser reasonable prior opportunity to comment upon such disclosure to the extent permitted by law and agree to cooperate to take reasonable steps to minimize the extent of any such required disclosure.
(b) The term “Confidential Information” does not include information that (i) was in the public domain prior to the time it was furnished to Recipient or is at the time of the alleged breach (through no willful or improper action or inaction by such Recipient) generally available to the public, (ii) was or becomes available to a Recipient on a non-confidential basis from a source other than FCA or its affiliates, provided such other source is not be known by the Recipient to be bound by a confidentiality obligation, (iii) is lawfully known to a Recipient prior to disclosure of the Confidential Information by FCA or its affiliates, or (iv) is independently developed by a Recipient without any use of any Confidential Information.
|
(b) Todos los libros y registros relativos a las obligaciones de FCA en virtud del presente Contrato se mantendrán y serán accesibles al Acreedor para su inspección en una ubicación en los Estados Unidos de América durante al menos dos (2) años tras la terminación o expiración del presente Contrato.
5. CONFIDENCIALIDAD
(a) Todas las divulgaciones de secretos comerciales, conocimientos técnicos, información financiera u otra información de un tipo que se sabe que es confidencial, o que una persona razonable reconocería que es confidencial, realizadas por FCA o cualquiera de sus subsidiarias (según corresponda, el "Revelador") en virtud o en relación con este Contrato, así como los términos de este Contrato (colectivamente, la “Información Confidencial”), será recibida y mantenida de forma confidencial por el receptor (el "Receptor") y cada Receptor tratará toda Información Confidencial como propiedad confidencial del Revelador y la mantendrá confidencial y segura y la protegerá del uso o divulgación no autorizados utilizando al menos el mismo grado de cuidado que el Receptor emplea para evitar el uso o divulgación no autorizados de su propia Información Confidencial de naturaleza similar, pero en ningún caso inferior al cuidado razonable. Sin perjuicio de lo anterior, el Receptor podrá divulgar cualquier Información Confidencial si así lo exige la legislación aplicable, siempre y cuando el Receptor proporcione al Revelador una oportunidad previa razonable para comentar dicha divulgación en la medida en que lo permita la ley y acepte cooperar para tomar medidas razonables con el fin de minimizar el alcance de cualquier divulgación exigida.
(b) El término "Información confidencial" no incluye información que (i) fuera de dominio público antes del momento en que se proporcionó al Receptor o que en el momento del supuesto incumplimiento (sin acción o inacción voluntaria o indebida por parte de dicho Receptor) esté generalmente a disposición del público, (ii) haya estado o pase a estar a disposición del Receptor de forma no confidencial por parte de una fuente distinta a FCA o sus subsidiarias, siempre y cuando el Receptor no sepa que dicha fuente está sujeta a una obligación de confidencialidad, (iii) |
(c) Each Recipient’s obligations with respect to the Confidential Information shall continue for a term of three (3) years following the termination of this Agreement.
6. COMPLIANCE WITH LAWS
Notwithstanding anything to the contrary, the obligations of the Parties hereto shall be subject to all laws, present and future (including export control laws and regulations) of any government having jurisdiction over the Parties hereto, and to orders, regulations, directions, or requests of any such government. Each Party shall undertake to comply with and be solely responsible for complying with such laws applicable to such Party.
7. TAXES
Each Party shall otherwise remain responsible for all taxes applicable to such Party and its operations in connection with this Agreement.
8. NOTICE AND PAYMENT
Any notice or communication required or permitted to be given be any provisions of this Agreement, including any consents, shall be in writing and shall be deemed to have been given and received by the person to whom directed, if properly addressed: (1) when delivered personally to such person or to an officer of the person to which directed, (2) upon confirmation of receipt of transmission by email, or (3) two days after being deposited with an internationally recognized overnight courier, delivery charges prepaid for delivery the following day. The addresses for notice are as follows:
FCA: |
el Receptor la conozca legalmente antes de la divulgación de la Información Confidencial por parte de FCA o sus subsidiarias, o (iv) el Receptor la desarrolle de forma independiente sin utilizar alguna Información Confidencial.
(c) Las obligaciones de cada Receptor con respecto a la Información Confidencial continuarán durante un plazo de tres (3) años contados a partir de la terminación del presente Contrato.
6. CUMPLIMIENTO CON LA LEY.
No obstante cualquier disposición en contrario, las obligaciones de las Partes del presente Contrato estarán sujetas a todas las leyes, presentes y futuras (incluidas las leyes y reglamentos de control de las exportaciones) de cualquier gobierno que tenga jurisdicción sobre las Partes del presente Contrato, y a las órdenes, regulaciones, instrucciones o solicitudes de cualquiera de dichos gobiernos. Cada una de las Partes se comprometerá a cumplir y será la única responsable del cumplimiento de dichas leyes aplicables a dicha Parte.
7. IMPUESTOS
Cada Parte seguirá siendo responsable de todos los impuestos aplicables a dicha Parte y a sus operaciones en relación con el presente Contrato.
8. NOTIFICACIONES Y PAGO
Cualquier notificación o comunicación requerida o permitida en virtud de cualquiera de las disposiciones del presente Contrato, incluido cualquier otorgamiento de consentimiento, se realizará por escrito y se considerará entregada y recibida por la persona a la que se dirige, si está debidamente dirigida: (1) cuando se entrega personalmente a dicha persona o a un funcionario de la persona a la que se dirige, (2) tras la confirmación de la recepción de la transmisión por correo electrónico, o (3) dos días después de ser depositada en un servicio de mensajería nocturno reconocido internacionalmente, con los gastos de envío pagados por adelantado para su entrega al día siguiente. Las direcciones de notificación son las siguientes:
|
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
With a copy to (which shall not constitute notice):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26th Floor Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
Royalty Payee:
Salvador Gil Benavides Rio Nazas 1001 Col. Jardines de la Salle, Monclova, Coahuila 25720 México Attn: Salvador Gil Benavides Email: sgil@fasemex.com.mx
With a copy to (which shall not constitute notice):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
Any Party may change its address, email or individual for receiving notice for the purpose of this Section by notice to the other given in the manner set forth above.
9. GOVERNING LAW
This Agreement shall be governed and controlled as to validity, enforcement, interpretation, construction, effect and in all other respects by the internal laws of the State of Illinois applicable to contracts made in that state, without giving effect to any choice of law or conflict of law provision or rule that would cause the application |
FCA:
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
Con copia a (la cual no constituirá notificación):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26° Piso Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
El Acreedor:
Salvador Gil Benavides Rio Nazas 1001 Col. Jardines de la Salle, Monclova, Coahuila 25720 México Attn: Salvador Gil Benavides Email: sgil@fasemex.com.mx
Con copia a (la cual no constituirá notificación):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
Cualquiera de las Partes podrá cambiar su dirección, correo electrónico o persona para recibir notificaciones a los efectos de la presente Cláusula mediante notificación a la otra Parte realizada en la forma establecida anteriormente.
9. LEGISLACIÓN APLICABLE
El presente Contrato se regirá y se someterá en cuanto a su validez, ejecución, interpretación, construcción, efecto y en todos los demás aspectos por las leyes internas del Estado de Illinois aplicables a los contratos celebrados en dicho estado, sin dar efecto a ninguna elección de |
of the laws of any jurisdiction other than the State of Illinois.
10. CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL.
(a) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL PROCEEDINGS (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING SHALL BE COMMENCED AND PROSECUTED EXCLUSIVELY IN THE COURTS OF THE STATE OF ILLINOIS LOCATED IN THE CITY OF CHICAGO, COUNTY OF COOK, AND ANY APPELLATE COURT THEREFROM OR THE UNITED STATES FOR THE NORTHERN DISTRICT OF ILLINOIS AND ANY APPELLATE COURT THEREFROM (COLLECTIVELY, THE “Illinois Courts”). EACH PARTY HERE-BY IRREVOCABLY AND UNCONDITIONALLY CONSENTS AND SUBMITS, FOR IT-SELF AND ITS ASSETS, TO THE EXCLUSIVE JURISDICTION OF ANY OF THE ILLINOIS COURTS IN RESPECT OF ANY SUCH PROCEEDING. EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN SECTION 8. NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY LAW.
(b) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT IT MAY LEGALLY AND EFFECTIVELY DO SO, ANY OBJECTION WHICH IT MAY NOW |
ley o conflicto de disposiciones o normas legales que provoquen la aplicación de las leyes de cualquier jurisdicción distinta del Estado de Illinois.
10. CONSENTIMIENTO A LA JURISDICCIÓN; RENUNCIA AL JUICIO CON JURADO.
(a) CADA UNA DE LAS PARTES ACEPTA DE FORMA IRREVOCABLE E INCONDICIONAL QUE TODOS LOS PROCEDIMIENTOS CONTRACTUALES, EXTRACONTRACTUALES O DE OTRO TIPO) DERIVADOS O RELACIONADOS CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES SE INICIARÁ Y PROCESARÁ EXCLUSIVAMENTE EN LOS TRIBUNALES DEL ESTADO DE ILLINOIS UBICADOS EN LA CIUDAD DE CHICAGO, COUNTY OF COOK, Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO O LOS ESTADOS UNIDOS PARA EL DISTRITO NORTE DE ILLINOIS Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO (COLECTIVAMENTE, LOS "Tribunales de Illinois"). CADA UNA DE LAS PARTES CONSIENTE Y SE SOMETE IRREVOCABLE E INCONDICIONALMENTE, POR SÍ MISMA Y POR SUS BIENES, A LA JURISDICCIÓN EXCLUSIVA DE CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS. POR LA PRESENTE, CADA UNA DE LAS PARTES CONSIENTE DE FORMA IRREVOCABLE E INCONDICIONAL A LA NOTIFICACIÓN DE PROCESOS EN LA FORMA PREVISTA PARA LAS NOTIFICACIONES EN LA CLAÚSULA 8. NADA DE LO DISPUESTO EN EL PRESENTE CONTRATO AFECTARÁ AL DERECHO DE CUALQUIERA DE LAS PARTES A NOTIFICAR PROCESOS DE CUALQUIER OTRA FORMA PERMITIDA POR LA LEY.
(b) POR EL PRESENTE CONTRATO, CADA UNA DE LAS PARTES RENUNCIA DE FORMA IRREVOCABLE E |
OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH PROCEEDING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES AGREES THAT A FINAL JUDGMENT IN ANY SUCH PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.
(c) EACH PARTY AGREES THAT ANY PROCEEDING (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING WILL INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY SUCH PROCEEDING.
(d) EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF ANY PROCEEDING ARISING UNDER OR RELATING TO THIS AGREEMENT, SEEK TO ENFORCE THE FOREGOING WAIVERS, |
INCONDICIONAL, EN LA MEDIDA EN QUE PUEDA HACERLO DE FORMA LEGAL Y EFECTIVA, A CUALQUIER OBJECIÓN QUE PUEDA TENER AHORA O EN EL FUTURO AL ESTABLECIMIENTO DE LA JURISDICCIÓN DE CUALQUIER PROCEDIMIENTO DERIVADO O RELACIONADO CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL PRESENTE DOCUMENTO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE DOCUMENTO Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES EN CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS. CADA UNA DE LAS PARTES ACUERDA QUE UNA SENTENCIA DEFINITIVA EN CUALQUIERA DE DICHOS PROCEDIMIENTOS SERÁ CONCLUYENTE Y PODRÁ EJECUTARSE EN OTRAS JURISDICCIONES MEDIANTE UNA DEMANDA BASADA EN LA SENTENCIA O DE CUALQUIER OTRA FORMA PREVISTA POR LA LEY.
(c) CADA UNA DE LAS PARTES ACEPTA QUE CUALQUIER PROCEDIMIENTO (CONTRACTUAL, EXTRACONTRACTUAL O DE OTRO TIPO) DERIVADO O RELACIONADO CON EL PRESENTE CONTRATO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES IMPLICARÁ CUESTIONES COMPLICADAS Y DIFÍCILES, Y POR LO TANTO CADA UNA DE LAS PARTES RENUNCIA IRREVOCABLE E INCONDICIONALMENTE A CUALQUIER DERECHO QUE PUEDA TENER A UN JUICIO CON JURADO CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS.
(d) CADA PARTE CERTIFICA Y RECONOCE QUE (i) NINGÚN REPRESENTANTE, AGENTE O ABOGADO DE OTRA PARTE HA DECLARADO, DE FORMA EXPRESA O DE OTRO TIPO, QUE DICHA OTRA PARTE NO INTENTARÁ, EN CASO DE PROCEDIMIENTO EN VIRTUD DEL PRESENTE CONTRATO O EN RELACIÓN |
(ii) SUCH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF SUCH WAIVERS, (iii) SUCH PARTY MAKES SUCH WAIVERS VOLUNTARILY, AND (iv) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATION IN THIS SECTION 10(d).
(e) EACH OF THE PARTIES HERETO WAIVES THE RIGHT TO A JURY TRIAL IN CONNECTION WITH ANY LAWSUIT, ACTION OR PROCEEDING SEEKING ENFORCEMENT OF SUCH PARTY’S RIGHTS UNDER THIS AGREEMENT.
11. SURVIVAL
If this Agreement terminates or expires, the provisions of this Agreement which by their nature extend beyond the expiration or termination of this Agreement shall survive, including Sections 1, 4, 5, and 7 through 21.
12. FURTHER ASSURANCES
In connection with this Agreement and the transactions contemplated hereby, each Party shall execute and deliver such further documents, and perform such further acts, as may be necessary or appropriate to effectuate and perform the provisions of this Agreement and those transactions contemplated hereunder, as reasonably requested by another Party.
13. ENTIRE AGREEMENT
This Agreement, contains all agreements among the Parties relating to its subject matter and supersedes and cancels any and all previous contracts or agreements among the Parties with respect thereto. Any other understanding about this Agreement, including additional terms or provisions contained in invoices, shipping papers, or other documents, will be of no force or effect. Any amendment to this Agreement must be in writing and will not be effective until it is executed and approved by an authorized representative of each Party.
|
CON EL MISMO, EJECUTAR LAS RENUNCIAS ANTERIORES, (ii) DICHA PARTE ENTIENDE Y HA CONSIDERADO LAS IMPLICACIONES DE DICHAS RENUNCIAS, (iii) DICHA PARTE REALIZA DICHAS RENUNCIAS VOLUNTARIAMENTE, Y (iv) DICHA PARTE HA SIDO INDUCIDA A ENTRAR EN ESTE CONTRATO POR, ENTRE OTRAS COSAS, LAS RENUNCIAS MUTUAS Y LA CERTIFICACIÓN EN ESTA CLÁUSULA 10(d).
(e) CADA UNA DE LAS PARTES RENUNCIA AL DERECHO A UN JUICIO CON JURADO EN RELACIÓN CON CUALQUIER DEMANDA, ACCIÓN O PROCEDIMIENTO QUE PRETENDA HACER VALER LOS DERECHOS DE DICHA PARTE EN VIRTUD DEL PRESENTE CONTRATO.
11. PERMANENCIA
En caso de resolución o expiración del presente Contrato, subsistirán las disposiciones del mismo que por su naturaleza se extiendan más allá de la expiración o resolución del presente Contrato, incluidas las Cláusulas 1, 4, 5 y 7 a 21.
12. GARANTÍAS ADICIONALES
En relación con el presente Contrato y las transacciones contempladas en el mismo, cada una de las Partes suscribirá y entregará los documentos adicionales y realizará los actos adicionales que sean necesarios o apropiados para efectuar y cumplir las disposiciones del presente Contrato y las transacciones contempladas en el mismo, según lo solicite razonablemente la otra Parte.
13. UNIDAD DE CONVENIO
El presente Contrato contiene todos los acuerdos entre las Partes relativos a su objeto y sustituye y anula todos y cada uno de los contratos o acuerdos anteriores entre las Partes con respecto al mismo. Cualquier otro acuerdo sobre el presente Contrato, incluidos los términos o disposiciones adicionales contenidos en facturas, documentos de envío u otros documentos, no tendrá fuerza ni efecto alguno. Cualquier modificación del presente Contrato deberá realizarse por escrito y no surtirá efecto hasta que |
14. SEVERABILITY
If any provision of this Agreement is determined by any legislature, court, or administrative agency to be invalid or unenforceable, every other provision will remain in full force and effect, unless the purposes of this Agreement cannot be achieved. The Parties will use commercially reasonable efforts to substitute a valid, legal, and enforceable provision, which insofar as practical implements the purposes of any provision held invalid, illegal, or unenforceable.
15. WAIVERS
No waiver by any Party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the Party so waiving. No waiver by any Party shall operate or be construed as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power, or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power, or privilege.
16. ASSIGNMENT
This Agreement is deemed to be of a personal nature and no party may assign, convey, or transfer this Agreement or any right or interest in this Agreement, or delegate or subcontract performance of any obligations hereunder, in whole or in part, to any third party, without the prior written consent of FCA. Any attempt to do so shall be void ab initio.
Notwithstanding the foregoing, the Parties agree that (1) the initial Royalty Payee shall have the one-time right to totally or partially assign and/or |
haya sido ejecutada y aprobada por un representante autorizado de cada una de las Partes.
14. ILEGALIDAD DE DISPOSICIONES
Si cualquier disposición del presente Contrato es declarada inválida o inaplicable por cualquier legislatura, tribunal u organismo administrativo, todas las demás disposiciones seguirán en pleno vigor y efecto, a menos que no puedan alcanzarse los fines del presente Contrato. Las Partes harán todos los esfuerzos comercialmente razonables para sustituir una disposición válida, legal y aplicable que, en la medida de lo posible, cumpla los fines de cualquier disposición declarada inválida, ilegal o inaplicable.
15. RENUNCIAS
Ninguna renuncia de cualquiera de las Partes a cualquiera de las disposiciones del presente documento será efectiva a menos que se establezca explícitamente por escrito y esté firmada por la Parte que renuncia. Ninguna renuncia por cualquiera de las Partes se interpretará como una renuncia con respecto a cualquier falta, incumplimiento o violación no identificado expresamente por dicha renuncia por escrito, ya sea de carácter similar o diferente, y ya sea que ocurra antes o después de dicha renuncia. El no ejercicio o el retraso en el ejercicio de cualquier derecho, recurso, facultad o privilegio derivado del presente Contrato no se interpretará como una renuncia al mismo; ni el ejercicio único o parcial de cualquier derecho, recurso, facultad o privilegio en virtud del presente Contrato impedirá cualquier otro ejercicio posterior del mismo o el ejercicio de cualquier otro derecho, recurso, facultad o privilegio.
16. CESIÓN
El presente Contrato se considera de naturaleza personal y ninguna de las partes podrá ceder, transmitir o transferir el presente Contrato o cualquier derecho o interés en el mismo, ni delegar o subcontratar el cumplimiento de cualquiera de sus obligaciones, en su totalidad o en parte, a terceros, sin el consentimiento previo por escrito de FCA. Cualquier intento de hacerlo será nulo ab initio.
|
transfer its rights under this Agreement, without the prior written consent of FCA, (a) by any means (i) to any individual that is a member of the initial Royalty Payee´s family and that is a blood relative, a spouse and/or with whom the initial Royalty Payee has an adoption relationship, and/or (ii) to any legal entity in which Royalty Payee is a controlling equity holder (for so long as Royalty Payee or its successors remain the controlling equity holder), (b) by means of a contribution to a trust set up by the initial Royalty Payee that (i) is controlled by, or, for the benefit of, the initial Royalty Payee, or (ii) is for the benefit of the beneficiaries of such trust or any individual that is a member of the initial Royalty Payee´s family and that is a blood relative, a spouse and/or with whom the initial Royalty Payee has an adoption relationship, and/or (2) the initial Royalty Payee and its successors, if any, shall have the right to totally or partially assign and/or transfer its rights under this Agreement, without the prior written consent of FCA, by cause of death to their heirs and/or legatees, appointed by will or by law if the initial Royalty Payee or its successors die intestate. In the cases referred to in (1) above, Royalty Payee or its legal representative, as the case may be, shall give written notice to FCA 30 (thirty) calendar days prior to the corresponding event. In the cases referred to in (2) above, the executor shall give written notice to FCA 30 (thirty) calendar days after the corresponding event.
17. NO THIRD-PARTY BENEFICIARIES
This Agreement is solely for the benefit of the Parties and their respective permitted successors and assigns, without prejudice to the provisions of Section 16 hereof. There are no other third-party beneficiaries to this Agreement.
18. RELATIONSHIP OF THE PARTIES
The relationship between and among the Parties is solely that of independent contractors. Nothing in this Agreement creates a partnership, joint venture, or principal-agent relationship. Royalty Payee shall not have any authority to create or |
No obstante lo anterior, las Partes acuerdan que (1) el Acreedor inicial tendrá el derecho, por una sola vez, a ceder y/o transferir total o parcialmente sus derechos en virtud del presente Contrato, sin el consentimiento previo por escrito de FCA, (a) por cualquier medio (i) a cualquier persona física que sea miembro de la familia del Acreedor inicial y que sea pariente consanguíneo, cónyuge y/o con quien el Acreedor inicial tenga una relación de adopción, y/o (ii) a cualquier entidad jurídica en la que el Acreedor sea un accionista mayoritario (mientras el Acreedor o sus herederos siga siendo el accionista mayoritario), (b) mediante aportación a un fideicomiso constituido por el Acreedor inicial, que (i) sea controlado por, o, para el beneficio de, el Acreedor inicial, o (ii) sea para el beneficio de los fideicomisarios de dicho fideicomiso o para cualquier persona física que sea miembro de la familia del Acreedor inicial y que sea pariente consanguíneo, cónyuge y/o con quien el Acreedor Inicial tenga una relación de adopción, y/o (2) el Acreedor inicial y sus herederos, si los hubiere, tendrán derecho a ceder y/o transferir total o parcialmente sus derechos en virtud del presente Contrato, sin el consentimiento previo por escrito de FCA, por causa de muerte a sus herederos y/o legatarios, designados por testamento o por ley si el Acreedor inicial o sus herederos fallecen intestados. En los casos anteriormente referidos en el punto (1), el Acreedor o su representante legal, según sea el caso, deberán notificar por escrito a FCA 30 (treinta) días naturales antes de ocurrido el evento correspondiente. En los casos anteriormente referidos en el punto (2), el albacea deberá notificar por escrito a FCA 30 (treinta) días naturales después de ocurrido el evento correspondiente.
17. EFECTO VINCULATORIO; BENEFICIO
El presente Contrato beneficia exclusivamente a las Partes y a sus respectivos causahabientes y cesionarios autorizados, sin perjuicio de lo dispuesto en la Cláusula 16 del mismo. No existen terceros beneficiarios del presente Contrato.
18. RELACIÓN ENTRE LAS PARTES
|
assume in FCA’s name or on its behalf any obligation, expressed or implied, or to act or purport to act as FCA’s agent or legally empowered representative for any purpose whatsoever. No Party shall be liable to any third party in any way for any engagement, obligation, commitment, contract, representation, transaction, or act or omission to act of another other Party, except as expressly provided herein.
19. TERMINOLOGY AND CONSTRUCTION
All personal pronouns used in this Agreement, whether used in the masculine, feminine or neuter gender, shall include all other genders; and the singular shall include the plural and vice versa. Titles of Articles, Sections, Exhibits, and Schedules are for convenience only, and neither limit nor amplify the provisions of this Agreement. Except as specifically provided, references to Articles, Sections, Exhibits, and Schedules in this Agreement refer to Articles, Sections, Exhibits, and Schedules to, this Agreement. The use herein of the word “including,” when following any general statement, term or matter, shall not be construed to limit such statement, term or matter to the specific items or matters set forth immediately following such word or to similar items or matters, whether or not non-limiting language (such as “without limitation,” or “but not limited to,” or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other items or matters that could reasonably fall within the broadest possible scope of such general statement, term or matter. The word “or” shall mean “and/or” unless the context requires otherwise. The words “day,” “month,” and “year” mean, respectively, calendar day, calendar month and calendar year. The Parties agree that the terms and conditions of this Agreement are the result of negotiations between them and that this Agreement shall be construed in favor of or against either Party by reason of the extent to which such Party of its professional advisors participated in the preparation of such agreements.
|
La relación entre las Partes es exclusivamente la de contratistas independientes. Nada en este Contrato crea una sociedad en participación, joint venture o una relación principal-agente. El Acreedor no tendrá autoridad alguna para crear o asumir en nombre de FCA o en su representación ninguna obligación, expresa o implícita, ni para actuar o pretender actuar como agente o representante legalmente facultado de FCA para ningún fin. Ninguna de las Partes será responsable ante terceros de ninguna manera por cualquier compromiso, obligación, compromiso, contrato, representación, transacción, o acto u omisión de actuar de la otra Parte, salvo lo expresamente dispuesto en el presente Contrato.
19. TERMINOLOGÍA Y ESTRUCTURA
Todos los pronombres personales utilizados en el presente Contrato, ya sea en género masculino, femenino o neutro, incluirán todos los demás géneros; y el singular incluirá el plural y viceversa. Los títulos de los Artículos, Cláusulas, Anexos y Listas se utilizan únicamente por comodidad y no limitan ni amplían las disposiciones del presente Contrato. Salvo que se disponga específicamente lo contrario, las referencias a los Artículos, Cláusulas, Anexos y Anexos de este Contrato se refieren a los Artículos, Cláusulas, Anexos y Anexos de este Contrato. El uso en el presente documento de la palabra "incluyendo", cuando siga a cualquier declaración, término o asunto general, no se interpretará en el sentido de limitar dicha declaración, término o asunto a los elementos o asuntos específicos establecidos inmediatamente después de dicha palabra o a elementos o asuntos similares, independientemente de que se utilice o no un lenguaje no limitativo (como "sin limitación" o "pero sin limitarse a", o palabras de significado similar) con referencia a los mismos, sino que se considerará que se refiere a todos los demás elementos o asuntos que pudieran razonablemente incluirse en el ámbito más amplio posible de dicha declaración, término o asunto general. La palabra "o" significará "y/o" a menos que el contexto requiera lo contrario. Las palabras "día", "mes" y "año" significan, respectivamente, día natural, mes natural y año natural. Las Partes acuerdan que los términos y condiciones de este Contrato son el resultado de negociaciones entre ellas y que este Contrato se interpretará a favor o en contra de cualquiera de |
20. LIMITATIONS OF LIABILITY
No Party to this Agreement shall be entitled to recover from the other any special, incidental, consequential or punitive damages.
21. COUNTERPARTS
This Agreement may be executed in two or more counterparts, each of which shall constitute an original and all of which together shall constitute a single instrument.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the Effective Date.
[Signature Page Follows] |
las Partes en razón de la medida en que dicha Parte o sus asesores profesionales hayan participado en la preparación de dichos acuerdos.
20. LIMITACIONES DE RESPONSABILIDAD
Ninguna de las Partes de este Contrato tendrá derecho a reclamar a la otra ningún daño especial, incidental, consecuente o punitivo.
21. EJEMPLARES
El presente Contrato podrá ejecutarse en dos o más ejemplares, cada uno de los cuales constituirá un original y todos ellos juntos constituirán un único instrumento. [Siguen las Páginas de Firma]
EN FE DE LO CUAL, las Partes firman el presente Contrato en la Fecha de Inicio.
[Sigue Hoja de Firmas] |
FCA: |
ROYALTY PAYEE/ACREEDOR:
|
FREIGHTCAR AMERICA, INC.
By: /s/ Michael Riordan Name: Michael Riordan Title: CFO
|
SALVADOR GIL BENAVIDES
/s/ Salvador Gil Benavides
|
Exhibit 10.6
TERMINATION AGREEMENT
THIS TERMINATION AGREEMENT (this “Agreement”) is made as of January 23, 2024 (the “Effective Date”) by and among FreightCar America, Inc., a Delaware corporation with offices at 125 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), Fabricaciones y Servicios de México, S.A. de C.V., an entity formed under the laws of Mexico, with offices at Carretera 57 Km 178, Castaños Coahuila, 25780, Mexico (“Fasemex MX”), Agben de Mexico, S.A. de C.V., an entity organized under the laws of Mexico, with offices at Carretera 57 Km 178, Castaños Coahuila, 25780, Mexico (“Agben”), Industrial Mexicana Fasemex, S.A. de C.V., an entity formed under the laws of Mexico, with offices at Carretera 57 Km 178, Castaños Coahuila, 25780, Mexico (“IM Fasemex”), Proveedora Industrial para el Manejo de Materiales, S.A. de C.V., an entity formed under the laws of Mexico, with offices at Carretera 57 Km 178, Castaños Coahuila, 25780, Mexico (“Proveedora”), and Fasemex, Inc., a Texas corporation with offices at Carretera 57 Km 178, Castaños Coahuila, 25780, Mexico (“Fasemex US”). Fasemex MX, Agben, and Fasemex US are collectively referred to herein as the “Strategic Partners”, and collectively with FCA, IM Fasemex and Proveedora, the “Parties”.
RECITALS
FIRST. The Parties entered previously into a certain royalty agreement executed on October 16, 2020 (as amended or supplemented from time to time) (the “Royalty Agreement”).
SECOND. Pursuant to the terms of the Royalty Agreement, FCA agreed to pay IM Fasemex, Agben and Proveedora (“Royalty Payees”), during each applicable Production |
CONVENIO DE TERMINACIÓN
ESTE CONVENIO DE TERMINACIÓN (el “Convenio”) de fecha 23 de enero de 2024 (la “Fecha Efectiva”) por y entre FreightCar America, Inc. una corporación de Delaware con oficinas en 125 S. Wacker Drive, Suite 1500, Chicago, Illinois 60606 (“FCA”), Fabricaciones y Servicios de México, S.A. de C.V., una sociedad constituida bajo las leyes de México, con oficinas en Carretera 57 Km 178, Castaños Coahuila, 25780, México (“Fasemex MX”), Agben de México, S.A. de C.V., una sociedad constituida bajo las leyes de México, con oficinas en Carretera 57 Km 178, Castaños Coahuila, 25780, México (“Agben”), Industrial Mexicana Fasemex, S.A. de C.V., una sociedad constituida conforme a las leyes de México, con oficinas en Carretera 57 Km 178, Castaños Coahuila, 25780, México (“IM Fasemex”), Proveedora Industrial para el Manejo de Materiales, S.A. de C.V., una sociedad constituida bajo las leyes de México, con oficinas en Carretera 57 Km 178, Castaños Coahuila, 25780, México (“Proveedora”), y Fasemex, Inc. una sociedad de Texas con oficinas en Carretera 57 Km 178, Castaños Coahuila, 25780, México (“Fasemex US”). Fasemex MX, Agben y Fasemex US se denominan colectivamente en el presente como los “Socios Estratégicos”, y colectivamente con FCA, IM Fasemex y Proveedora, las “Partes”.
ANTECEDENTES
PRIMERO. Las Partes celebraron previamente cierto contrato de regalías el 16 de octubre de 2020 (modificado o complementado de vez en cuando) (el “Contrato de Regalías”).
SEGUNDO. De conformidad con los términos y condiciones del Contrato de Regalías, FCA acordó pagar a IM Fasemex, Agben y Proveedora (los “Acreedores”), |
Line Period (as defined in the Royalty Agreement), (i) 1.2% of FCA’s Railcar Sales Net Revenue (as defined in the Royalty Agreement) and (ii) 1.5% of FCA’s Tank Car Sales Net Revenue (as defined in the Royalty Agreement), subject to the terms and conditions set forth in the Royalty Agreement (the “Royalty”).
THIRD. The Parties are willing to terminate the Royalty Agreement and to grant to each other certain releases with respect to the obligations under the Royalty Agreement.
AGREEMENT
Now, therefore, in consideration of the mutual promises and covenants herein contained, the Parties hereto agrees as follows:
1. TERMINATION.
Effective as of the date hereof, the Parties agree on the termination of Royalty Agreement. Neither of the Parties shall have any further rights or obligations with respect to each other under the Royalty Agreement.
Any obligation under the Royalty Agreement that, by its nature or its terms, is intended to extend beyond the term of the Royalty Agreement shall survive the termination of such Royalty Agreement hereunder.
2. RELEASE BY THE PARTIES.
Each of the Parties on behalf of itself and each of its representatives, affiliates, partners, subsidiaries, successors and assigns hereby releases and forever discharges the other Parties and each of its representatives, affiliates, partners, subsidiaries, successors |
durante cada período de Línea de Producción Aplicable (según se define en el Contrato de Regalías), (i) 1.2% de los Ingresos Netos por Ventas de Vagones de FCA (según se define en el Contrato de Regalías) y (ii) 1.5% de los Ingresos Netos por Ventas de Vagones Cisterna de FCA (según se define en el Contrato de Regalías), sujeto a los términos y condiciones establecidos en el Contrato de Regalías (la “Regalía”).
TERCERO. Las Partes desean dar por terminado el Contrato de Regalías y otorgarse mutuante ciertas liberaciones respecto de las obligaciones derivadas del Contrato de Regalías.
C L Á U S U L A S
Ahora, por lo tanto, en consideración de las promesas y obligaciones mutuas aquí contenidas, las Partes acuerdan lo siguiente:
1. TERMINACIÓN.
Con efecto a partir de la fecha del presente Convenio, las Partes acuerdan terminar del Contrato de Regalías. Ninguna de las Partes tendrá algún derecho u obligación con respecto a las otras en virtud del Contrato de Regalías.
Cualquier obligación en virtud del Contrato de Regalías que, por su naturaleza o sus términos, esté destinada a extenderse más allá de la vigencia del Contrato de Regalías sobrevivirá a la terminación de dicho Contrato de Regalías en virtud del presente.
2. LIBERACIÓN DE LAS PARTES.
Cada una de las Partes, en su propio nombre, así como en nombre de sus representantes, afiliadas, socios, subsidiarias y cesionarios por medio del presente libera y otorga a las otras Partes y cada uno de sus representantes, afiliadas, socios, subsidiarias y cesionarios la |
and assignees from any and all claims, suits, proceedings, causes of action, orders, obligations, contracts, agreements, debts and liabilities whatsoever, which any of such Parties now has, has ever had or may hereafter have against the other Party under the Royalty Agreement.
3. REPRESENTATIONS AND WARRANTIES.
(a) Each Party has carefully read and reviewed this Agreement and understands it fully, and each party has reviewed the terms of this Agreement with the attorney(s) of the Party’s choice prior to executing this Agreement; and
(b) Each Party specifically does not rely upon any statement, representation, legal opinion, or promise of any other party or any person representing it, in executing this Agreement, except as expressly stated in this Agreement; and
(c) There have been and are no other agreements or understandings between the Parties relating to the matters herein, except as stated in this Agreement; and
(d) Each Party has made such investigation of the law and facts pertaining to this Agreement, and of all the matters pertaining thereto, as such Party has deemed necessary. This Agreement has been read by, the contents hereof are known and understood by, and is signed freely by, each person executing this Agreement; and
(e) This Agreement is the result of arms’ length negotiations between the Parties, each of whom was represented by experienced and competent attorneys freely chosen by each party to provide independent advice and counsel regarding this Agreement; and |
liberación definitiva respecto a cualesquier y todas las reclamaciones, demandas, procedimientos, acciones, órdenes, obligaciones, acuerdos, contratos, deudas y responsabilidades de cualquier naturaleza, que cualquiera de dichas Partes tenga en la actualidad, haya tenido en cualquier momento o pueda adquirir en lo sucesivo frente a la otra Parte bajo el Contrato de Regalías.
3. DECLARACIONES Y GARANTÍAS.
(a) Cada una de las Partes ha leído y revisado detenidamente el presente Convenio y lo comprende en su totalidad, y cada una de las Partes ha revisado los términos del presente Convenio con el(los) abogado(s) de su elección antes de firmarlo; y
(b) Cada una de las Partes no se basa específicamente en ninguna afirmación, declaración, opinión legal o promesa de cualquier otra Parte o de cualquier persona que la represente, en la ejecución del presente Convenio, salvo que se indique expresamente en el presente Convenio; y
(c) No han existido ni existen otros acuerdos o entendimientos entre las Partes en relación con los asuntos aquí tratados, salvo lo establecido en el presente Convenio; y
(d) Cada una de las Partes ha revisado la ley y los hechos relativos a este Convenio, así como todos los asuntos relacionados con el mismo, según ha considerado necesario. El presente Convenio ha sido leído, su contenido es conocido y comprendido por cada una de las personas que lo suscriben, y ha sido firmado libremente por ellas; y
(e) El presente Convenio es el resultado de negociaciones en condiciones de igualdad entre las Partes, cada una de las cuales estuvo representada por abogados experimentados y competentes elegidos libremente por cada una de las partes para proporcionar |
(f) Each person executing this Agreement warrants that he/she/it has the authority to execute this Agreement on behalf of the Party on whose behalf said person is purporting to execute it; and
(g) This Agreement is intended to be final and binding between and among, and to inure to the benefit of, the Parties hereto, including their heirs, executors, personal representatives, attorneys, predecessors, successors and assigns, and is further intended to be effective as a full and final accord and satisfaction between and among the Parties hereto as to the matters herein regardless of any claims of fraud, misrepresentation, concealment of fact, mistake of fact or law, breach of fiduciary duty, or any other claims and circumstances which have accrued as of the execution of this Agreement. Each Party relies on the finality of this Agreement as a material factor inducing that Party’s execution of this Agreement.
4. ENTIRE AGREEMENT.
This Agreement, contains all agreements among the Parties relating to its subject matter and supersedes and cancels any and all previous contracts or agreements among the Parties with respect thereto. Any other understanding about this Agreement, including additional terms or provisions contained in invoices, shipping papers, or other documents, will be of no force or effect. Any amendment to this Agreement must be in writing and will not be effective until it is executed and approved by an authorized representative of each Party.
|
asesoramiento y consejo independientes en relación con el presente Convenio; y
(f) Toda persona que ejecute el presente Convenio garantiza que está autorizada a ejecutarlo en nombre de la Parte en cuyo nombre dicha persona pretende ejecutarlo; y
(g) Se pretende que el presente Convenio sea definitivo y vinculante entre las Partes del mismo, incluidos sus herederos, albaceas, representantes personales, abogados, predecesores, sucesores y cesionarios, y que redunde en su beneficio, y se pretende además que sea efectivo como un acuerdo y satisfacción pleno y definitivo entre las Partes en lo que respecta a los asuntos aquí tratados, independientemente de cualquier reclamación por fraude, tergiversación, ocultación de hechos, error de hecho o de derecho, incumplimiento del deber fiduciario, o cualquier otra reclamación o circunstancia que se haya acumulado a partir de la ejecución del presente Convenio. Cada una de las Partes confía en la definitividad de este Convenio como un motivo determinante de la voluntad que induce a dicha Parte a firmar este Convenio.
4. UNIDAD DE CONVENIO.
El presente Convenio contiene todos los acuerdos entre las Partes relativos a su objeto y sustituye y cancela todos y cada uno de los contratos o acuerdos anteriores entre las Partes con respecto al mismo. Cualquier otro acuerdo sobre el presente Convenio, incluidos los términos o disposiciones adicionales contenidos en facturas, documentos de envío u otros documentos, no tendrá fuerza ni efecto alguno. Cualquier modificación del presente Convenio deberá realizarse por escrito y no surtirá efecto hasta que haya sido ejecutada y aprobada por un representante autorizado de cada una de las Partes.
|
5. JOINTLY DRAFTED AGREEMENT
This Agreement has been jointly negotiated and drafted by all the Parties, directly and through their respective attorneys of record. The language of this Agreement shall be construed as a whole according to its fair meaning and not strictly for or against any Party, and it is agreed that no provision hereof shall be construed against any Party hereto by virtue of the activities of that Party or such Party’s attorneys.
6. SEVERABILITY
If any provision of this Agreement is determined by any legislature, court, or administrative agency to be invalid or unenforceable, every other provision will remain in full force and effect, unless the purposes of this Agreement cannot be achieved. The Parties will use commercially reasonable efforts to substitute a valid, legal, and enforceable provision, which insofar as practical implements the purposes of any provision held invalid, illegal, or unenforceable.
7. SUCCESSORS AND ASSIGNEES
The provisions of this Agreement shall be binding upon, and shall inure to the benefit of the Parties and each of the Parties’ respective successors and assignees, and upon all creditors and parties in interest.
8. NOTICES.
Any notice or communication required or permitted to be given be any provisions of this Agreement, including but not limited to any consents, shall be in writing and shall be deemed to have been given and received by the person to whom directed, if properly addressed: (a) when delivered personally to |
5. CONVENIO REDACTADO CONJUNTAMENTE
El presente Convenio ha sido negociado y redactado conjuntamente por todas las Partes, directamente y a través de sus respectivos abogados. El lenguaje del presente Convenio se interpretará en su conjunto de acuerdo con su justo significado y no estrictamente a favor o en contra de ninguna de las Partes, y se acuerda que ninguna disposición del mismo se interpretará en contra de ninguna de las Partes del presente Convenio en virtud de las actividades de dicha Parte o de sus abogados.
6. ILEGALIDAD DE DISPOSICIONES
Si cualquier disposición del presente Convenio es declarada inválida o inaplicable por cualquier legislatura, tribunal u organismo administrativo, todas las demás disposiciones seguirán en pleno vigor y efecto, a menos que no puedan alcanzarse los fines del presente Convenio. Las Partes harán todos los esfuerzos comercialmente razonables para sustituir una disposición válida, legal y aplicable que, en la medida de lo posible, cumpla los fines de cualquier disposición declarada inválida, ilegal o inaplicable.
7. CAUSAHABIENTES Y CESIONARIOS
Las disposiciones del presente Convenio serán vinculantes y redundarán en beneficio de las Partes y de cada uno de sus respectivos sucesores y cesionarios, así como de todos los acreedores y partes interesadas.
8. NOTIFICACIONES.
Cualquier notificación o comunicación requerida o permitida en virtud de cualquiera de las disposiciones del presente Convenio, incluidos, entre otros, los consentimientos, se realizará por escrito y se considerará entregada y recibida por la persona a la que |
such person or to an officer or partner of the person to which directed, (b) upon confirmation of receipt of transmission by email, or (c) two (2) days after being deposited with an internationally recognized overnight courier, delivery charges prepaid for delivery the following day. The addresses for notice are as follows:
If to FCA:
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
with a copy to (which shall not constitute notice):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26th Floor Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
If to Strategic Partners and Royalty Payees:
Fabricaciones y Servicios de Mexico SA de CV. Carretera 57 Km 178 Castaños Coahuila, 25780 Mexico Email: jgil@fasemex.com.mx
with a copy to (which shall not constitute notice):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
|
se dirija, si está debidamente dirigida: (a) cuando se entregue personalmente a dicha persona o a un directivo o socio de la persona a la que se dirija, (b) cuando se confirme la recepción de la transmisión por correo electrónico, o (c) dos (2) días después de ser depositada en un servicio de mensajería urgente reconocido internacionalmente, con los gastos de envío prepagados para su entrega al día siguiente. Las direcciones de notificación son las siguientes
A FCA:
FreightCar America, Inc. 125 S. Wacker Drive, Suite 1500 Chicago, IL 60606 Attn: Celia Perez Email: cperez@freightcar.net
Con copia para (lo cual no constituirá notificación):
Kelley Drye & Warren LLP 333 W. Wacker Dr., 26th Floor Chicago, IL 60606 Attn: Andrew Pillsbury APillsbury@kelleydrye.com
Si es a los Socios Estratégicos o a los Acreedores: Fabricaciones y Servicios de Mexico SA de CV. Carretera 57 Km 178 Castaños Coahuila, 25780 Mexico Email: jgil@fasemex.com.mx
Con copia para(lo cual no constituirá notificación):
Romero, Ramos, Quintanilla y Bortoni S.C. Lazaro Cardenas 435 Despacho 410 Colonia Loma Larga, 66266 San Pedro Garza Garcia, Nuevo Leon, Mexico. Attn: Francisco Romero Email: fromero@rrqb.mx
|
Any Party may change its address, email, or individual for receiving notice for the purpose of this Section 8, by notice to the other Parties given in the manner set forth above.
9. GOVERNING LAW.
This Agreement shall be governed and controlled as to validity, enforcement, interpretation, construction, effect and in all other respects by the internal laws of the State of Illinois applicable to contracts made in that state, without giving effect to any choice of law or conflict of law provision or rule that would cause the application of the laws of any jurisdiction other than the State of Illinois.
10. CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL.
(a) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL PROCEEDINGS (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING SHALL BE COMMENCED AND PROSECUTED EXCLUSIVELY IN THE COURTS OF THE STATE OF ILLINOIS LOCATED IN THE CITY OF CHICAGO, COUNTY OF COOK, AND ANY APPELLATE COURT THEREFROM OR THE UNITED STATES FOR THE NORTHERN DISTRICT OF ILLINOIS AND ANY APPELLATE COURT THEREFROM (COLLECTIVELY, THE “Illinois Courts”). EACH PARTY HERE-BY IRREVOCABLY AND UNCONDITIONALLY CONSENTS AND |
Cualquiera de las Partes podrá cambiar su domicilio, correo electrónico o persona física para recibir notificaciones a los efectos de la presente Cláusula 8, mediante notificación a las demás Partes efectuada en la forma indicada anteriormente.
9. LEGISLACIÓN APLICABLE.
El presente Convenio se regirá y controlará en cuanto a su validez, ejecución, interpretación, construcción, efecto y en todos los demás aspectos por las leyes internas del Estado de Illinois aplicables a los contratos celebrados en dicho estado, sin dar efecto a ninguna elección de ley o conflicto de disposiciones o normas legales que provoquen la aplicación de las leyes de cualquier jurisdicción distinta del Estado de Illinois.
10. CONSENTIMIENTO A LA JURISDICCIÓN; RENUNCIA AL JUICIO CON JURADO.
(a) CADA UNA DE LAS PARTES ACEPTA DE FORMA IRREVOCABLE E INCONDICIONAL QUE TODOS LOS PROCEDIMIENTOS (CONTRACTUALES, EXTRACONTRACTUALES O DE OTRO TIPO) DERIVADOS O RELACIONADOS CON EL PRESENTE CONVENIO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES SE INICIARÁ Y PROCESARÁ EXCLUSIVAMENTE EN LOS TRIBUNALES DEL ESTADO DE ILLINOIS UBICADOS EN LA CIUDAD DE CHICAGO, COUNTY OF COOK, Y CUALQUIER TRIBUNAL DE APELACIÓN DEL MISMO O LOS ESTADOS UNIDOS PARA EL DISTRITO NORTE DE ILLINOIS Y CUALQUIER TRIBUNAL DE APELACIÓN DEL |
SUBMITS, FOR IT-SELF AND ITS ASSETS, TO THE EXCLUSIVE JURISDICTION OF ANY OF THE ILLINOIS COURTS IN RESPECT OF ANY SUCH PROCEEDING. EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN SECTION 8. NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY LAW.
(b) EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT IT MAY LEGALLY AND EFFECTIVELY DO SO, ANY OBJECTION WHICH IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH PROCEEDING IN ANY OF THE ILLINOIS COURTS. EACH OF THE PARTIES AGREES THAT A FINAL JUDGMENT IN ANY SUCH PROCEEDING SHALL BE CONCLUSIVE |
MISMO (COLECTIVAMENTE, LOS "Tribunales de Illinois"). CADA UNA DE LAS PARTES CONSIENTE Y SE SOMETE IRREVOCABLE E INCONDICIONALMENTE, POR SÍ MISMA Y POR SUS BIENES, A LA JURISDICCIÓN EXCLUSIVA DE CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS. POR LA PRESENTE, CADA UNA DE LAS PARTES CONSIENTE DE FORMA IRREVOCABLE E INCONDICIONAL A LA NOTIFICACIÓN DE PROCESOS EN LA FORMA PREVISTA PARA LAS NOTIFICACIONES EN LA CLAÚSULA 8. NADA DE LO DISPUESTO EN EL PRESENTE CONVENIO AFECTARÁ AL DERECHO DE CUALQUIERA DE LAS PARTES A NOTIFICAR PROCESOS DE CUALQUIER OTRA FORMA PERMITIDA POR LA LEY.
(b) POR EL PRESENTE CONVENIO, CADA UNA DE LAS PARTES RENUNCIA DE FORMA IRREVOCABLE E INCONDICIONAL, EN LA MEDIDA EN QUE PUEDA HACERLO DE FORMA LEGAL Y EFECTIVA, A CUALQUIER OBJECIÓN QUE PUEDA TENER AHORA O EN EL FUTURO AL ESTABLECIMIENTO DE LA JURISDICCIÓN DE CUALQUIER PROCEDIMIENTO DERIVADO O RELACIONADO CON EL PRESENTE CONVENIO, LAS TRANSACCIONES CONTEMPLADAS EN EL PRESENTE DOCUMENTO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE DOCUMENTO Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES EN CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS. CADA UNA DE LAS PARTES RENUNCIA IRREVOCABLEMENTE, EN LA MÁXIMA MEDIDA PERMITIDA POR LA LEY, A LA DEFENSA DE FORO |
AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.
(c) EACH PARTY AGREES THAT ANY PROCEEDING (IN CONTRACT, IN TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREBY, ANY RELATIONSHIPS BETWEEN THE PARTIES HEREUNDER AND ANY DISPUTES WITH RESPECT TO ANY OF THE FOREGOING WILL INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY SUCH PROCEEDING.
(d) EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF ANY PROCEEDING ARISING UNDER OR RELATING TO THIS AGREEMENT, SEEK TO ENFORCE THE FOREGOING WAIVERS, (ii) SUCH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF |
INCONVENIENTE PARA EL MANTENIMIENTO DE DICHO PROCEDIMIENTO EN CUALQUIERA DE LOS TRIBUNALES DE ILLINOIS. CADA UNA DE LAS PARTES ACUERDA QUE UNA SENTENCIA DEFINITIVA EN CUALQUIERA DE DICHOS PROCEDIMIENTOS SERÁ CONCLUYENTE Y PODRÁ EJECUTARSE EN OTRAS JURISDICCIONES MEDIANTE UNA DEMANDA BASADA EN LA SENTENCIA O DE CUALQUIER OTRA FORMA PREVISTA POR LA LEY.
(c) CADA UNA DE LAS PARTES ACEPTA QUE CUALQUIER PROCEDIMIENTO (CONTRACTUAL, EXTRACONTRACTUAL O DE OTRO TIPO) DERIVADO O RELACIONADO CON EL PRESENTE CONVENIO, LAS TRANSACCIONES CONTEMPLADAS EN EL MISMO, CUALQUIER RELACIÓN ENTRE LAS PARTES EN VIRTUD DEL PRESENTE Y CUALQUIER DISPUTA CON RESPECTO A CUALQUIERA DE LOS ANTERIORES IMPLICARÁ CUESTIONES COMPLICADAS Y DIFÍCILES, Y POR LO TANTO CADA UNA DE LAS PARTES RENUNCIA IRREVOCABLE E INCONDICIONALMENTE A CUALQUIER DERECHO QUE PUEDA TENER A UN JUICIO CON JURADO CON RESPECTO A CUALQUIERA DE DICHOS PROCEDIMIENTOS.
(d) CADA PARTE CERTIFICA Y RECONOCE QUE (i) NINGÚN REPRESENTANTE, AGENTE O ABOGADO DE OTRA PARTE HA DECLARADO, DE FORMA EXPRESA O DE OTRO TIPO, QUE DICHA OTRA PARTE NO INTENTARÁ, EN CASO DE PROCEDIMIENTO EN VIRTUD DEL PRESENTE CONVENIO O EN RELACIÓN CON EL MISMO, EJECUTAR LAS RENUNCIAS ANTERIORES, (ii) DICHA PARTE ENTIENDE Y HA |
SUCH WAIVERS, (iii) SUCH PARTY MAKES SUCH WAIVERS VOLUNTARILY, AND (iv) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATION IN THIS SECTION 10(d).
(d) EACH OF THE PARTIES HERETO WAIVES THE RIGHT TO A JURY TRIAL IN CONNECTION WITH ANY LAWSUIT, ACTION OR PROCEEDING SEEKING ENFORCEMENT OF SUCH PARTY’S RIGHTS UNDER THIS AGREEMENT.
11. COUNTERPARTS.
This Agreement may be executed in two or more counterparts, each of which shall constitute an original and all of which together shall constitute a single instrument.
12 LANGUAGUE.
This Agreement is executed in both the English and the Spanish language. In the event there is a conflict of interpretation between one language and the other, the Spanish language version shall prevail in all instances.
[Signature page follows] |
CONSIDERADO LAS IMPLICACIONES DE DICHAS RENUNCIAS, (iii) DICHA PARTE REALIZA DICHAS RENUNCIAS VOLUNTARIAMENTE, Y (iv) DICHA PARTE HA SIDO INDUCIDA A ENTRAR EN ESTE CONVENIO POR, ENTRE OTRAS COSAS, LAS RENUNCIAS MUTUAS Y LA CERTIFICACIÓN EN ESTA CLÁUSULA 10(d).
(e) CADA UNA DE LAS PARTES RENUNCIA AL DERECHO A UN JUICIO CON JURADO EN RELACIÓN CON CUALQUIER DEMANDA, ACCIÓN O PROCEDIMIENTO QUE PRETENDA HACER VALER LOS DERECHOS DE DICHA PARTE EN VIRTUD DEL PRESENTE CONVENIO.
11. EJEMPLARES.
El presente Convenio podrá ejecutarse en dos o más ejemplares, cada uno de los cuales constituirá un original y todos ellos juntos constituirán un único instrumento.
12. IDIOMA
El presente Convenio se firma en idiomas inglés y español. En caso de que se presente un conflicto de interpretación entre un idioma y el otro, la versión en idioma español prevalecerá en todas las instancias.
[Sigue página de firmas]
|
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the Effective Date. / EN VITUD DE LO CUAL, las Partes suscriben el presente Convenio en la Fecha Efectiva.
FCA:
|
FREIGHTCAR AMERICA, INC.
/s/ Michael A. Riordan Name/Nombre: Michael A. Riordan Title/Titulo: Chief Financial Officer |
STRATEGIC PARTNERS AND ROYALTY PAYEES:
|
FABRICACIONES Y SERVICIOS DE MÉXICO, S.A. DE C.V.
/s/ Alejandro Gil Name/Nombre: Title/Titulo:
|
AGBEN DE MEXICO, S.A. DE C.V.
/s/ Jesus Gil Name/Nombre: Title/Titulo: |
INDUSTRIAL MEXICANA FASEMEX, S.A. DE C.V.
/s/ Alejandro Gil
Name/Nombre:
Title/Titulo:
PROVEEDORA INDUSTRIAL PARA EL MANEJO DE MATERIALES, S.A. DE C.V.
/s/ Salvador Gil
Name/Nombre:
Title/Titulo:
FASEMEX, INC.
/s/ Jesus Gil
Name/Nombre:
Title/Titulo:
Exhibit 31.1
Certification of Principal Executive Officer
Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
I, Nicholas J. Randall, certify that:
1. I have reviewed this Quarterly Report on Form 10-Q of FreightCar America, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ NICHOLAS J. RANDALL |
|
|
|
Nicholas J. Randall |
|
|
|
President and Chief Executive Officer (Principal Executive Officer) |
Exhibit 31.2
Certification of Principal Financial Officer
Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
I, Michael A. Riordan, certify that:
1. I have reviewed this Quarterly Report on Form 10-Q of FreightCar America, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ MICHAEL A. RIORDAN |
|
|
|
Michael A. Riordan |
|
|
|
Vice President, Finance, Chief Financial Officer and Treasurer (Principal Financial Officer) |
Exhibit 32
Certification pursuant to
18 U.S.C. Section 1350,
as adopted pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002
In connection with the Quarterly Report of FreightCar America, Inc. (the “Company”) on Form 10-Q for the period ending March 31, 2024 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), we, Nicholas J. Randall, President and Chief Executive Officer, and Michael A. Riordan, Vice President, Finance, Chief Financial Officer and Treasurer, respectively, of the Company, certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to our knowledge:
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ NICHOLAS J. RANDALL |
|
|
|
Nicholas J. Randall |
|
|
|
President and Chief Executive Officer (Principal Executive Officer) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Date: May 8, 2024 |
|
By: |
/s/ MICHAEL A. RIORDAN |
|
|
|
Michael A. Riordan |
|
|
|
Vice President, Finance, Chief Financial Officer and Treasurer (Principal Financial Officer) |
A signed copy of this written statement required by Section 906 of the Sarbanes-Oxley Act of 2002 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.