Exhibit 10.35
To: Allied Healthcare Group Limited
as Patent for and on behalf of itself and the other Obligors
(as defined in the Credit Agreement referred to below)
From: BNP Paribas
as Agent for and on behalf of itself and the Banks
(as defined in the Credit Agreement referred to below)
Date: 8 March 2004
Dear Sirs,
Credit Agreement dated 17 December 1999 between Allied Healthcare Group
Limited (the "Parent"), Allied Healthcare Holdings Limited (formerly Transworld
Healthcare (UK) Limited) (the "Borrower"), BNP Paribas as Agent, Barclays Bank
PLC as Security Agent, the Banks named therein as Banks and others (as amended,
varied or restated from time to time, the "Credit Agreement")
1. Terms defined in the Credit Agreement shall have the same
meaning in this letter and the principles of construction set
out in the Credit Agreement shall have effect as if set out in
this Letter. References to clauses in this Letter shall be to
clauses in the Credit Agreement.
2. We refer to your letter dated 13 February 2003, which sets out
the details of and requests the consent of the Agent to
certain changes to Clause 19.1 (Financial Covenants).
3. In this letter, "Effective Date" means the date on which the
Agent notified the Parent that it has received (or otherwise
waived in writing the right to receive) each of the documents
listed in paragraph 5 below, in a form and substance
satisfactory to the Agent.
4. With effect from the Effective Date:
(a) The table in Clause 19.1.5 (Total Net Debt Cover Ratio)
will be replaced with the following:
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Column 1 Column 2
Relevant Period (ending on) Ratio (to 1.0)
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1 October 2000 - 30 September 2001 4.25
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1 January 2001 - 31 December 2001 4.25
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1 April 2001 - 31 March 2002 4.25
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1 July 2001 - 30 June 2002 4.25
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1 October 2001 - 30 September 2002 4.25
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1 January 2002 - 31 December 2002 4.25
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1 April 2002 - 31 March 2003 4.25
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1 July 2002 - 30 June 2003 4.25
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1 October 2002 - 30 September 2003 3.50
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1 January 2003 - 31 December 2003 3.50
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1 April 2003 - 31 March 2004 3.50
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1 July 2003 - 30 June 2004 3.50
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1 October 2003 - 30 September 2004 3.00
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1 January 2004 - 31 December 2004 3.00
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1 April 2005 - 31 March 2005 2.75
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1 July 2005 - 30 June 2005 2.75
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1 October 2005 - 30 September 2005 2.50
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Each 12 month period ending on a Quarter Date 2.50
falling after 30 September 2005
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(b) the table in Clause 19.1.6 (Total Net Senior Debt Cover
Ratio) will be replaced with the following:
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Column 1 Column 2
Relevant Period (ending on) Ratio (to 1.0)
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1 January 2001 - 31 December 2001 3.75
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1 April 2001 - 31 March 2002 3.75
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2
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1 July 2001 - 30 June 2002 3.75
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1 October 2001- 30 September 2002 3.75
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1 January 2002 - 31 December 2002 3.75
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1 April 2002 - 31 March 2003 3.75
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1 July 2002 - 30 June 2003 3.75
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1 October 2002 - 30 September 2003 3.00
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1 January 2003 - 31 December 2003 3.00
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1 April 2003 - 31 March 2004 3.00
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1 July 2003 - 30 June 2004 3.00
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1 October 2003 - 30 September 2004 2.50
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1 January 2004 - 31 December 2004 2.50
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1 April 2005 - 31 March 2005 2.25
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1 July 2005 - 30 June 2005 2.25
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1 October 2005 - 30 September 2005 2.00
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Each 12 month period ending on a Quarter Date 2.00
falling after 30 September 2005
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5. The Parent undertakes that it shall deliver the following,
on or prior to the Effective Date, to the Agent:
(a) a fee letter provided by the Agent duly acknowledged
by the Parent
(b) a duly executed board resolution of the Parent
approving the execution, delivery and performance of
this Letter and the terms and conditions hereof and
authorizing a named person or persons to sign this
Letter and any documents to be delivered by the
Parent pursuant hereto; and
(c) a certificate of a director or the secretary of the
Parent setting out the names and signatures of the
persons authorized to sign, on behalf of the
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Parent, this Letter and any documents to be delivered
by the Parent pursuant hereto.
6. Save as expressly provided in paragraph 4 above, the
provisions of the Finance Documents shall continue in full
force and effect and the Parent, on behalf of itself and
the other Obligors, agrees that this Letter shall not
operate as a waiver of any right, power or remedy any
Finance Party may have under the Finance Documents.
7. On the date of completion of the Acquisition, the Parent
confirms, in relation to each Obligor that:
(a) the Repeated Representations shall be deemed to be
repeated; and
(b) no Event of Default or Potential Event of Default has
occurred and none are continuing.
8. The Parent shall reimburse the Agent for all legal costs
and expenses incurred by it together with any VAT thereon
incurred by it in connection with the negotiation,
preparation and execution of this letter and any other
document referred to or contemplated by this letter.
9. This letter may be executed in any number of counterparts,
all of which taken together constitute one and the same
instrument.
10. This letter shall be governed by and construed in
accordance with English law.
Yours faithfully
/s/ signature illegible
----------------------------------------
for and on behalf of
BNP PARIBAS
(as Agent)
We accept and agree to the terms of this letter.
/s/ Xxxxxxx Xxxxxx 12 March 04
----------------------------------------------------------- -----------
for and on behalf of Dated
ALLIED HEALTHCARE GROUP LIMITED
(as Parent for and on behalf of itself and the other Obligors)
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