On March 1, 2024, Allient Inc. and one of its subsidiaries, Allied Motion Technologies B.V. entered into a Third Amended and Restated Credit Agreement with HSBC Bank USA, National Association, as Administrative Agent, the lenders from time to time party thereto, and HSBC Bank USA, National Association, Wells Fargo Bank, National Association, TD Bank, N.A. and PNC Capital Markets LLC, as Joint Lead Arrangers, and Citizens Bank, N.A., as Syndication Agent. The Revolving Facility replaced the Company?s existing $280 million revolving credit facility (the ?Existing Revolving Facility?), dated as of August 23, 2022, by any among the Company, HSBC Bank USA, National Association, as Administrative Agent, the lenders from time to time party thereto, and HSBC Bank USA, National Association, KeyBank National Association, Wells Fargo Bank, National Association and JPMorgan Chase Bank, N.A., as Joint Lead Arrangers. ?

The Revolving Facility allows for borrowings in the aggregate principal amount of up to $280 million, with a $50 million accordion feature. Borrowings will bear interest, at the Company?s option, at the Term SOFR Rate (as defined in the Revolving Facility) plus a margin of 1.25% to 2.50% or at the Alternative Base Rate (as defined in the Revolving Facility) plus a margin of 0.25% to 1.50%, in each case depending on the Company?s ratio of Funded Indebtedness (as defined in the Revolving Facility) to Consolidated EBITDA (the ?Leverage Ratio?). In addition, the Company is required to pay a commitment fee of between 0.15% and 0.325% quarterly (currently 0.275%) on the unused portion of the Revolving Facility, also based on the Company?s Leverage Ratio.

The Revolving Facility matures on March 1, 2029, and borrowings continue to be secured by substantially all of the Company?s non-realty assets and is fully and unconditionally guaranteed by certain of the Company?s subsidiaries. ? The Revolving Facility contains various financial covenants that require that the Company maintain a minimum interest coverage ratio of at least 3.0:1.0 at the end of each fiscal quarter.

In addition, the Company?s Leverage Ratio at the end of any fiscal quarter shall not be greater than 4.25:1.0 through December 31, 2024 (reduced to 3.75:1.0 as of the end of any fiscal quarter thereafter); provided that the Company may elect to temporarily increase the Leverage Ratio by 0.5x following a material acquisition under the Revolving Facility, subject to certain exceptions. ? The Revolving Facility contains various customary covenants, including covenants and restrictions that limit the Company?s ability to incur additional indebtedness, make certain investments, create, incur or assume certain liens, merge, consolidate or sell all or substantially all of its assets and enter into transactions with an affiliate of the Company on other than an arms?

length transaction. These covenants, which are described more fully in the Revolving Facility, to which reference is made for a complete statement of the covenants, are subject to certain exceptions. ?

The Revolving Facility also includes customary events of default, including, among others, failure to pay principal, interest or fees when due, failure to comply with covenants, if any representation or warranty made by the Company is false or misleading in any material respect, default under certain other indebtedness, certain insolvency or receivership events affecting the Company and its subsidiaries, the occurrence of certain material judgments, the occurrence of certain ERISA events, the invalidity of the loan documents or a change in control of the Company. The amounts outstanding under the Revolving Facility may be accelerated upon certain events of default.