GMAC Commercial Finance
0000 Xxxxxx xx xxx Xxxxxxxx 0xx Xx.
New York, NY 10104
May 12, 2003
JACO ELECTRONICS, INC. ("Jaco")
000 Xxxx Xxxxxx
Xxxxxxxxx, XX 00000
NEXUS CUSTOM ELECTRONICS, INC. ("Nexus")
Prospect Street
Brandon, VT 05733
INTERFACE ELECTRONICS, INC. ("Interface")
000 Xxxxx Xxxxxx
Xxxxxxxx, XX 00000
Gentlemen:
Reference is made to the Second Restated and Amended Loan and
Security Agreement in effect between us, as successor by merger to GMAC
Commercial Credit LLC, which was the successor in interest to BNY Financial
Corporation ("GMAC"), as Agent and Lender, and Fleet Bank, N.A., f/k/a Natwest
Bank, N.A ("Fleet") as Lender, and Jaco, Nexus and Interface, dated September
13, 1995, as supplemented and amended from time to time, (the "Agreement"). Both
GMAC and Fleet may hereinafter be referred to jointly as the "Lenders", and
individually, as a "Lender" and GMAC may also be herein referred to as "Agent"
when acting in such capacity, as the case may be. Initially capitalized terms
not defined herein shall have the meanings ascribed to such terms in the
Agreement. Jaco, Nexus and Interface may hereinafter and in the Agreement, be
referred to jointly and severally as "Debtors", and each individually as a
"Debtor".
1. It is hereby agreed by and between us that as of the date
hereof, the first sentence of Section 21 of the Agreement as
amended is hereby deleted, and replaced with the following
sentence:
"This Second Restated and Amended Loan and Security
Agreement shall (subject to compliance with
Conditions Precedent) become effective on the closing
date hereof, without any interruption or break in
continuity (as more fully described in the second
paragraph hereof) and shall continue until June 30,
2004."
2. By their signatures below, Jaco, Nexus and Interface hereby
ratify the Agreement and agree to be jointly and severally
liable for all Obligations under the Agreement and agree
that all of the outstanding amounts of the Loans under the
Agreement, as of the date hereof, shall be valid and binding
Obligations of each of them, and shall be deemed Obligations
outstanding under the Agreement, and hereby agree and
promise to repay to the Agent, for the benefit of the
Lenders, such Obligations (including but not limited to all
applicable interest) in accordance with the terms of the
Agreement, but in no event, later than the Termination Date
(for purposes hereof, "Termination Date" shall mean June 30,
2004 (which for all purposes of the Agreement shall be
deemed to be the last date of the Term), or any extended
termination date, or any earlier termination date, whether
by acceleration or otherwise).
3. By their signatures below, Xxxx, Nexus and Interface hereby
ratify and affirm to the Agent that as of the date hereof,
they are in full compliance with all covenants under the
Agreement and certify that all representations and
warranties of the Agreement are true and accurate as of the
date hereof, with the same effect as if they had been made
as of the date hereof.
Except as herein specifically amended, the Agreement shall
remain in full force and effect in accordance with its original terms, except as
previously amended.
If the foregoing accurately reflects our understanding, kindly
sign the enclosed copy of this letter and return it to our office as soon as
practicable.
Very truly yours,
GMAC COMMERCIAL FINANCE LLC
(as Agent and Lender)
By: Xxxxx Xxxxx
----------------------------
Title: Senior Vice President
AGREED AND ACCEPTED:
JACO ELECTRONICS, INC. FLEET BANK, N.A.
By:/s/Xxxxxxx X. Xxxx By: /s/Xxxxxxx X. Xxxx
------------------------ ---------------------------------
Title: Executive Vice President Title: Vice President
NEXUS CUSTOM ELECTRONICS, INC. INTERFACE ELECTRONICS CORP.
By: /s/Xxxxxxx X. Xxxx By: /s/Xxxxxxx X. Xxxx
------------------------ ------------------------
Title: Executive Vice President Title: Executive Vice President
RATIFICATION OF GUARANTOR
By its signature below, Jaco Overseas, Inc. hereby ratifies its guaranty of the
Agreement, as such Agreement has been amended from time to time, including but
not limited to certain amendments dated June 6, 2000, September 28, 2000,
January 31, 2001, June 12, 2001, July 1, 2001, November 14, 2001, February 6,
2002, and September 2002 (the "Amendments") and hereby agrees to be liable for
all of the Obligations under the Guaranty with respect to the Agreement as
amended from time to time, including but not limited to by this amendment and
the Amendments, and hereby agrees that the said Guaranty shall continue to apply
and remain in full force and effect with respect to the amended Agreement and
hereby agrees and consents that a certain General Loan and Security Agreement
dated January 20, 1989, shall continue to be in full force and effect and apply
to the amended Agreement, and it further hereby agrees to make all payments of
all its Obligations under the said Guaranty and General Loan and Security
Agreement to GMAC Commercial Credit LLC as Agent and Lender, and to Fleet Bank,
N.A. as Xxxxxx, as successors in interest to the previous Agent and Xxxxxxx
respectively.
RATIFIED, ACCEPTED AND CONSENTED:
JACO OVERSEAS, INC.
By: /s/Xxxxxxx X. Xxxx
------------------------
Title: Executive Vice President
