EXHIBIT 10.15
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EXTENSION AGREEMENT
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THIS EXTENSION AGREEMENT (the "Agreement") is made and entered into
effective as of June 1, 2001, by and between XXXXXXXX TRADING COMPANY, L.C. (
the "Lender") and PALWEB CORPORATION and PLASTIC PALLET PRODUCTION, INC. (the
"Borrowers").
R E C I T A L S:
A. Borrowers made, executed and delivered to Lender that certain
Renewal Promissory Note dated July 27, 2000, payable to the order of Lender in
the stated principal amount of $400,000.00 and maturing December 1, 2000 (the
"Renewal Note").
B. Borrowers additionally made, executed and delivered to Lender that
certain Promissory Note dated August 15, 2000, payable to the order of Lender in
the stated principal amount of $350,000.00 and maturing December 1, 2000 (the
"Additional Note").
C. Borrowers additionally made, executed and delivered to Lender that
certain Promissory Note dated November 15, 2000, payable to the order of Lender
in the stated principal amount of $400,000.00 and maturing June 1, 2001 (the
"Second Additional Note").
D. Pursuant to that certain Extension and Modification Agreement
between the Borrowers and Lender dated December 1, 2000, the maturity date of
the Renewal Note and Additional Note were extended to June 1, 2001, and the
interest rates applicable thereto were reduced from eighteen percent (18%) per
annum to twelve percent (12%) per annum.
E. To secure payment of the Renewal Note, Additional Note and Second
Additional Note, Borrowers each made, executed and delivered to Lender a certain
Security Agreement dated July 27, 2000.
F. Borrowers and Lender desire to extend the maturity of the Renewal
Note, Additional Note and Second Additional Note to October 15, 2001, effective
as of the date of this Agreement.
A G R E E M E N T S:
NOW, THEREFORE, in consideration of the promises and agreements
contained herein and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Borrowers and Lender agree as
follows:
1. Extension of Maturity. Borrowers and Lender hereby agree to extend
the maturity of the Renewal Note, Additional Note and Second Additional Note to
October 15, 2001, effective as of the date of this Agreement. All other terms
and conditions set forth in the Renewal Note, Additional Note and Second
Additional Note shall continue in full force and effect, and all Security
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Agreements, collateral documents and other instruments securing payment of the
Renewal Note, Additional Note and Second Additional Note shall continue in full
force and effect as security for payment of the indebtedness evidenced by said
notes.
IN WITNESS WHEREOF, the parties have caused this Agreement to be duly
executed effective as of the date first above written.
"Borrowers" PALWEB CORPORATION
By: /s/ Xxxx X. Xxxxxx
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Xxxx X. Xxxxxx, President
PLASTIC PALLET PRODUCTION, INC.
By: /s/ Xxxx X. Xxxxxx
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Xxxx X. Xxxxxx, President
"Lender" XXXXXXXX TRADING COMPANY, L.C.
By: /s/ Xxxx X. Xxxxxx
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Xxxx X. Xxxxxx, Manager
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