EXHIBIT 10.42
FIRST AMENDMENT TO THE
AGREEMENT OF LIMITED PARTNERSHIP
OF
PALMETTO MOBILENET, L.P.
A SOUTH CAROLINA LIMITED PARTNERSHIP
This First Amendment to the Agreement of Limited Partnership of Palmetto
MobileNet, L.P. ("Amendment") is entered into to be effective as of the 1st day
of January 1999, by and among PMN, Inc., a South Carolina corporation ("General
Partner"), and those persons, firms, cooperatives, or corporations who have
executed a signature page hereto and are listed on Exhibit A ("Limited
Partners") and are partners in Palmetto MobileNet, L.P. (the "Partnership") (the
General Partner and Limited Partners being hereinafter sometimes together
referred to as the "Partners" and being hereinafter sometimes individually
referred to as a "Partner").
WHEREAS, the Partners believe that it is in the best interest of the
Partnership and of the Partners to amend certain provisions of the Partnership's
Agreement of Limited Partnership, effective September 1, 1998, as amended (the
"Partnership Agreement"); and
WHEREAS, the Partnership Agreement pursuant to Section 11.2 thereof may be
modified or amended with the consent of 66 2/3% of the Partnership Interests;
and
WHEREAS, more than 66 2/3% of the Partnership Interests have approved this
Amendment.
NOW, THEREFORE, in consideration of the foregoing, the mutual promises
hereinafter set forth and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto, intending to
be legally bound, hereby agree as follows:
All capitalized terms not otherwise defined hereinbelow shall have the same
meaning as set forth in the Partnership Agreement unless otherwise expressly
provided herein or unless the context otherwise requires.
1. Section 9.8 of the Partnership Agreement is hereby deleted in its
entirety and the following shall be inserted in its place and stead
effective as of the date first written above:
SECTION 9.8 Purchase Price. The following formula
shall apply for determination of the purchase price of the Units acquired by the
Partners pursuant to this Article IX (the "Purchase Price"). The Purchase Price
shall be determined by dividing the Book Value of the Partnership by the number
of outstanding Units and multiplying such amount by the Offering Partner's or
the Change in Control Partner's Units and applying any premium as described
below. For purposes of determining the Purchase Price, the Book Value of the
Partnership shall be deemed to be $100,000,000.
The Book Value of such Units shall be subject to the following
premiums according to the calendar year in which such Units are to be acquired.
1995 - 10%
1996 - 20%
1997 - 30%
1998 - 40%
1999 (and thereafter) - 50%
Thus the Purchase Price shall be:
110% x Book Value (1995)
120% x Book Value (1996)
130% x Book Value (1997)
140% x Book Value (1998)
150% x Book Value (1999 and thereafter)
The Partners acknowledge and agree that (i) the amount set forth as
the Book Value is intended to produce a Purchase Price representing a realistic
fair market value for the Units and (ii) the Partners will reconsider and, as
appropriate, adjust such amount at least every two years to reflect changes in
the fair market value of the Units, as determined by an outside appraiser or
other similar methodology and approved by a Majority-in-Interest.
The Partners reserve the right by action of the Partners to amend at
any time any of the terms and provisions of the Partnership Agreement, including
without limitation this First Amendment as set forth herein. Except as expressly
or by necessary implication amended hereby, the Partnership Agreement still
continues in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement by
setting their hands and seals either in person or by their duly authorized
attorney-in-fact as of the day and year first above written.
BLUFFTON TELEPHONE COMPANY
By:
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Witness
Its:
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Date
CHESNEE TELEPHONE COMPANY
By:
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Witness
Its:
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Date
CHESTER TELEPHONE COMPANY
By:
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Witness
Its:
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Date
CT Cellular, Inc.
By:
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Witness
Its:
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Date
ETCOM, LLC
By:
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Witness
Its:
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Date
FTC MANAGEMENT GROUP, INC.
By:
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Witness
Its:
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Date
FORT MILL TELEPHONE COMPANY
By:
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Witness
Its:
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Date
HARGRAY TELEPHONE COMPANY
By:
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Witness
Its:
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Date
HEATH SPRINGS TELEPHONE COMPANY
By:
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Witness
Its:
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Date
HOME TELEPHONE COMPANY
By:
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Witness
Its:
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Date
HORRY TELEPHONE COOP.
By:
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Witness
Its:
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Date
KNEECE RSA CORP.
By:
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Witness
Its:
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Date
LANCASTER TELEPHONE COMPANY
By:
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Witness
Its:
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Date
LOCKHART TELEPHONE COMPANY
By:
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Witness
Its:
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Date
NORCELL, L.P.
By:
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Witness
Its:
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Date
PALMETTO RURAL TELEPHONE COOP., INC.
By:
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Witness
Its:
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Date
PIEDMONT RURAL TELEPHONE COOP.
By:
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Witness
Its:
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Date
RIDGEWAY TELEPHONE COMPANY
By:
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Witness
Its:
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Date
ROCK HILL TELEPHONE COMPANY
By:
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Witness
Its:
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Date
SANDHILL TELEPHONE COOP., INC.
By:
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Witness
Its:
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Date
WEST CAROLINA RURAL TELEPHONE COOP.
By:
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Witness
Its:
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Date
PMN, INC., General Partner
By:
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Witness
Its:
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Date