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On Buckeye Technologies Inc. Letterhead EXHIBIT 10.11
September 20, 2001
via fax 000-000-0000-00000
Mr. Xxxxxx Xxxxxxxx
UPM-Kymmene
Group Head Office
P. O. Box 380
FIN-00101 Helsinki, Finland
RE: Amendment of German Purchase Agreement Between Buckeye Technologies
Inc, Buckeye Steinfurt GmbH, Buckeye Holdings GmbH AND Walkisoft GmbH,
UPM-Kymmene Ojy
Dear Xxxxxx:
This letter confirms that Walkisoft GmbH and UPM-Kymmenne, on the one hand
(collectively, "UPM") and Buckeye Technologies Inc, Buckeye Steinfurt GmbH and
Buckeye Holdings GmbH, on the other hand (collectively, "Buckeye") have agreed
to amend the German Purchase Agreement dated October 1, 1999, between UPM and
Buckeye (the "Agreement").
UPM and Buckeye have agreed that:
1. Section 5(d)(ii) of the Agreement is amended to provide that an amount
of US$22,000,000 (in words: US-dollars twenty two million) shall be
paid by Buckeye no later than December 31, 2001. Prior to this
Amendment, this payment would have been due and payable on the second
anniversary of the Effective Date, which is October 1, 2001.
2. The payment provisions of Section 5(d)(iii) and 5(d)(iv) remain
unchanged.
3. On October 1, 2001, Xxxxxxx shall pay the interest payment of
US$3,300,000 on the outstanding Purchase Price, as required by Section
5(e) of the Agreement.
4. Section 5(e) of the Agreement is amended to provide that for the period
from October 1, 2001 through the date of payment, Buckeye will pay
interest in the amount of 9% (nine percent) per annum (rather than 5%)
on the US$22,000,000 portion of the Purchase Price referred to in
paragraph 1 above. Interest and principal shall be paid on the same
date and shall be paid no later than December 31, 2001.
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Mr. Xxxxxx Xxxxxxxx
September 20, 2001
Page 2
5. When UPM receives the US$22,000,000 payment referred to in paragraph 1
plus the interest payment referred to in paragraph 4, UPM shall
automatically release its lien on the ownership interest of Buckeye Mt.
Xxxxx LLC, as provided in paragraph 10 of the Pledge and Security
Agreement between Buckeye Lumberton Inc. and Walkisoft USA Inc.
This Amendment is effective as of September 18, 2001. Except as amended by this
Amendment, the Agreement and all related agreements remain in full force and
effect.
FOR BUCKEYE:
Xxxxx X. Xxxxxxxx
Senior Vice President and Chief
Financial Officer
AGREED TO AND ACCEPTED:
FOR UPM:
/S/ XXXXXX XXXXXXXX /S/ XXXXXX XXXXXXX
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Xxxxxx Xxxxxxxx Xxxxxx Xxxxxxx
Vice President, Business Development Group Legal Counsel
