Exhibit 10.20
FIRST AMENDMENT TO
SECURITY AGREEMENT
THIS FIRST AMENDMENT TO SECURITY AGREEMENT, dated as of the ____ day of
December, 1996, by and between BRUNSWICK TECHNOLOGIES, INC. (the "Company") and
FLEET BANK OF MAINE (the "Secured Party"):
W I T N E S S E T H :
WHEREAS, the Company and the Secured Party entered into a Security
Agreement dated as of May 30, 1996 (the "Security Agreement") to secure, among
other obligations, those obligations set forth in (i) Section 2 of a certain
Loan Agreement (the "Agreement") and (ii) a certain Demand Note in the original
principal amount of $1,500,000 (the "Note"), each dated as of May 30, 1996 ; and
WHEREAS, the Company and the Secured Party have amended the terms of
the Agreement and the Note by virtue of amendments thereto dated as of even or
recent date pursuant to which the Secured Party has increased the amount of an
existing revolving credit facility from $1,500,000 to $2,500,000; and
WHEREAS, the Company and the Secured Party wish to amend the Security
Agreement in accordance with the amendments to the Agreement and Note;
NOW, THEREFORE, in consideration of the foregoing, the parties agree
that the Security Agreement shall be amended as follows:
1. The term "Secured Obligations" includes the following: (a) the Loan
Agreement, as it has been amended to date; (b) the Note, as it has been amended
and increased to date; and (c) all other obligations of the Company to the
Secured Party, whether presently existing or hereafter arising.
2. The first recital is deleted in its entirety and the following
substituted therefor:
WHEREAS, the Secured Party and the Debtor have entered into
certain loan transactions pursuant to a Loan Agreement of even or near
even date, as amended (as so amended, the "Loan Agreement") between
Secured Party as lender and the Debtor as borrower pursuant to which
the Debtor has agreed to borrow from the Bank and, subject to the terms
and conditions of the Loan Agreement, the Bank agreed to lend to Debtor
a total of up to $4,300,000 (the "Loan" or the "Loans"), which Loans
will be evidenced by a Term Note or Notes in the aggregate original
principal amount of up to $1,800,000 and a Demand Note in the original
principal amount of $1,500,000 but modified to reflect an increase in
the principal amount thereof to $2,500,000 (referred to collectively,
and each individually, together with any and all amendments or
modifications thereto, substitutions therefor, and renewals, extensions
and rearrangements thereof, the "Note"); and
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2. As amended hereby, the terms of the Security Agreement
are hereby ratified and reaffirmed.
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IN WITNESS WHEREOF, the undersigned have executed this First Amendment
to Security Agreement as of the date first written above.
WITNESS: BRUNSWICK TECHNOLOGIES, INC.
By:
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Its:
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FLEET BANK OF MAINE
By:
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Its:
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