Exhibit 4.1
THE PRUDENTIAL INSURANCE COMPANY OF AMERICA
c/o Prudential Capital Group
One Gateway Center
0-00 Xxxxxxx Xxxxxxxxx Xxxx
Xxxxxx, Xxx Xxxxxx 00000
June 16, 1997
Xxxxxxx Furniture Company, Inc.
P. O. Xxx 00
Xxxxxxxxxxx, XX 00000
Attention: Xxxxxxx X. Xxxxx, Vice President of Finance
Re: 7.28% Senior Notes due 2004 and 7.57% Series A Senior
Notes due 2005
Gentlemen:
Reference is made to the Note Agreements dated February 15, 1994
and June 29, 1995 (the "Note Agreements") between Xxxxxxx Furniture
Company, Inc. (the "Company") and The Prudential Insurance Company
of America ("Prudential"). Capitalized terms used herein without
definition have the meanings ascribed to such terms in the Note
Agreement.
Pursuant to the Company's request, Prudential hereby agrees as
follows:
1. The definition of "Cumulative Amounts Available For
Restricted Payment" shall be amended to read in its entirety
as follows:
"'Cumulative Amounts Available For Restricted Payments'
shall mean for the period (taken as one accounting period)
beginning on January 1, 1997, and ending as of the last
day of the most recently completed fiscal quarter before
any proposed Restricted Payment:
(1) $25,000,000; plus
(2) 50% of the Consolidated Net Earnings or 100% of the
Consolidated Net Loss, as the case may be, during such
period; plus
(3) the total net cash proceeds received by the Company
from the sale of its stock during such period; less
(4) the aggregate amount of all Restricted Payments
made during such period."
2. Notwithstanding anything to the contrary contained in
paragraph 6C(6), the Company may purchase shares of its common
stock from Xxxxxx X. Xxx Company and affiliates.
If you are in agreement with the foregoing, please sign the form of
acceptance on the enclosed counterpart of this letter and return it
to the undersigned, whereupon this letter shall become a binding
agreement between the Company and Prudential.
Very truly yours,
THE PRUDENTIAL INSURANCE COMPANY
OF AMERICA
By:/s/Xxxxxx Xxxxxxx
Vice President
Acknowledged and agreed to this
24th day of June, 1997.
XXXXXXX FURNITURE COMPANY, INC.
By:/s/Xxxxxxx X. Xxxxx
Xxxxxxx X. Xxxxx, Vice President
of Finance
