CoreStates Bank, N.A.
X.X. Xxx 0000
Xxxxxxxxxxxx, XX 00000-0000
CORESTATES
BANK
June 30, 1997
Xx. Xxxxxx X. Xxxxxxx
President
Eagle Finance Corp.
0000 Xxx-Xxxxx Xxxxxxx
Xxxxx 000
Xxxxxx, XX 00000
Re: Extension of Termination Date and Waiver
Dear Xxx:
Reference is hereby made to that certain Amended and Restated Revolving
Credit Agreement, as amended from time to time ("Credit Agreement") dated
June 30, 1995, by and among Eagle Finance Corp. ("Borrower"), the Agent
(identified on the signature pages of this letter) and the "Lenders"
(identified below as signatories hereto). All capitalized terms not otherwise
defined herein shall have the meanings respectively ascribed to them in the
Credit Agreement.
Eagle has requested an extension of the Termination Date until September 30,
1997 and continuation of the covenant waivers through said date. The Agent
and Lenders acknowledge and agree as follows:
1) The definition of Termination Date shall be deleted and replaced with the
following:
"Termination Date means the earlier of (1) September 30, 1997, or (2) the
date of termination of the commitments pursuant to Section 2.02 and Section
9.01.
2) The Bank Group's commitment will be reduced to $30,000,000.
The Credit Agreement is amended by deleting the number $50,000,000 in the
29th line of Section 2.01 and replacing it with the number $30,000,000. In
connection with the above stated reduction in the aggregate Commitments of
all the Banks, each Bank's Commitment is reduced pro rata to the amount
opposite each Bank's name below.
CoreStates Bank, N.A. $4,875,000
Xxxxxx Trust & Savings Bank 3,000,000
Bank One, Chicago 3,750,000
Fleet Bank 3,750,000
LaSalle National Bank 3,750,000
NBD Bank 3,750,000
Sumitomo Bank, Limited 2,500,000
The Northern Trust Company 2,500,000
Xxxx Xxxxxx Bank 2,125,000
3) During the extension period, BDO Xxxxxxx shall perform an examination
requested by Agent and cause a written report thereof to be promptly
submitted to Banks (the cost and expenses of which shall be the sole
responsibility of the Borrower), which examination shall include a review
of Borrower's reports related to underwriting and underwriting exceptions
for newly purchased accounts (which review shall include a sampling of such
accounts to test the validity of the reports).
4) Borrower shall, contemporaneously with execution hereof, pay Agent in good
funds, for the benefit of, and to be distributed to Banks based on their
respective Pro Rata Percentages, an Extension Fee of $300,000. The Banks
hereby agree that if the Borrower terminates the Commitments and satisfies
all obligations of every kind of Borrower to Agent and Lenders prior to the
Termination Date, then the Banks will refund $150,000 of the Extension Fee
to the Borrower.
Upon execution of this letter agreement, a formal amendment will be prepared by
the Agent's counsel.
This letter may be executed in counterparts, all of which taken together shall
constitute one and the same agreement, and any of the parties hereto may execute
this letter agreement by signing any such counterpart. The Credit Agreement, as
amended hereby and as previously amended, remains in full force and effect.
Each of the undersigned, by its signature hereto, hereby evidences its consent
to the terms and conditions of this letter to be effective only upon the Agent's
receipt of an executed counterpart or facsimile by Borrower and Lenders and
delivery thereof to the Borrower.
CoreStates Bank, N.A., as Agent and Lender
By: ______________________________________
______________________________________
Xxxxxx Bank and Savings Bank
By: ______________________________________
______________________________________
Bank One, Chicago, N.A
By: ______________________________________
______________________________________
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Xxxx Xxxxxx Bank
By: ______________________________________
______________________________________
Fleet Bank, N.A
By: ______________________________________
______________________________________
NBD Bank
By: ______________________________________
______________________________________
LaSalle National Bank
By: ______________________________________
______________________________________
The Sumitomo Bank, Limited
Chicago Branch
By: ______________________________________
______________________________________
The Northern Trust Company
By: ______________________________________
______________________________________
Agreed to this 30th day of June, 1997
Eagle Finance Corporation
By: ______________________________________
______________________________________
Attest: __________________________________
__________________________________
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