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EXHIBIT 10(a)(iv)(10)
AMENDMENT "1"
TO MAY 1, 1999 CONSTRUCTION CONTRACT BETWEEN
COASTAL QUEEN HOLDINGS LLC AND ATLANTIC MARINE, INC.
Coastal Queen Holdings, L.L.C. ("Coastal") and Atlantic Marine, Inc.
("AMI") agree to settle and resolve the following:
1. Coastal will pay AMI the amounts set forth in Paragraphs 2 and 3
below in exchange for settlement of all known or unknown Regulatory and design
development changes to the Contract documents, Specifications, Guidance Drawings
and/or Working Drawings, and/or all issues known or unknown concerning design of
the ships through completion.
2. In payment for the above, Coastal will pay the following to AMI:
$250,000 for Ship 1 within three (3) business days after this
Amendment is signed and $250,000 for Ship 2 on August 1, 2000
3. It is agreed by Coastal and AMI that the revised completion date for
Ship 1 is March 4, 2001 and the revised completion date for Ship 2 is June 25,
2001 ("Revised Completion Dates"). In addition to the payments in Paragraph 2,
Coastal will make the balance of the payments set forth in Paragraph 1 to AMI
conditioned on the following terms:
A payment of $250,000 for Ship 1 if Ship 1 is delivered and the punch list for
Ship 1 is completed within 30 days after March 4, 2001. This payment will be
made upon the completion of the punchlist items by AMI.
A payment of $250,000 for Ship 2 if Ship 2 is delivered and the punch list for
Ship 2 is completed within 30 days after June 25, 2001. This payment will be
made upon the completion of the punchlist items by AMI.
3.1 AMI has the 30 day punch list period to obtain Regulatory
certificates for Ship 1 (except that the Incline Test which shall be performed
per Specification Section 843 shall occur prior to the Revised Completion Date).
If there is a configuration change to Ship 2 which requires an incline test,
Coastal will allow AMI to perform that incline test up to the beginning of the
Owner Outfitting Period per Section 9.1 of the Contract and obtain Regulatory
certificates relating specifically to the inclining test concurrent to 30 day
punch list period for Ship 2. If necessary, AMI may utilize as much of the Owner
Outfitting Period as is utilized by Coastal to obtain Regulatory certificates
for Ship 2 as long as such Regulatory certificates do not require physical work
on Ship 2. In no event shall the obtaining of Regulatory certificates by AMI
impair Coastal's ability to sail Ship 2 from AMI's dock once Coastal has
completed its outfitting work.
4. AMI will earn the payment referred to in Paragraph 3 above only if
the dates as specified in Paragraph 3 are met. Except as set forth below, AMI
will have no claim for excusable delay (i.e. extension of time for
subcontractors, suppliers, regulatory issues, design
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development, etc.) for purposes of the Paragraph 3 payments. The only excusable
delays to AMI's work for purposes of the Paragraph 3 payments are delays by
Coastal in timely furnishing to AMI of Owner Furnished Materials pursuant to
Section 10.2(iii) of the Contract and Owner directed Changes pursuant to Section
11.3 of the Contract. An Owner Furnished Material Schedule mutually agreed to by
the parties that identifies all the delivery dates for the Owner Furnished
Materials pursuant to the Project Schedule for Ship 1 is attached and will be
incorporated into AMI's 5-26-2000 construction schedule. AMI and Coastal also
agree that the Owner Furnished Materials Schedule for Ship 2 will be prepared by
mutual agreement of the parties and will be incorporated into AMI's 5-26-2000
construction schedule for Ship 2.
5. In conformance with the Revised Completion Dates, all claims or
potential claims for excusable delay to date (May 3, 2000) are withdrawn and
released by AMI.
6. AMI will reasonably cooperate with Coastal or its consultant Jim
Wilson on matters concerning the Project Schedule.
7. Except as stated in this amendment, the Contract is in full force.
8. Precedence. If any discrepancy, difference or conflict exists
between the provisions of this Amendment and the Contract, than to the extent of
such discrepancy, difference or conflict only, this Amendment shall prevail.
However, in all other respects the Contract, including the Precedence provisions
contained in Section 1.2, shall be in full force and effect.
9. All terms used in this Amendment shall have the meanings given in
the Contract unless otherwise defined herein.
10. This Amendment may be executed in one or more counterparts, each
one of which shall be an original and all together shall constitute one
instrument.
/s/ Jordan B. Allen /s/ Edward P. Doherty
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For Coastal Queen Holdings, LLC For Atlantic Marine, Inc.
and The Delta Queen Steamboat Co.
June 13, 2000