LAURUS MASTER FUND, LTD. c/o Laurus Capital Management, LLC 825 Third Avenue, 14th Floor New York, New York 10022 August 30, 2007
Exhibit 10.13
LAURUS MASTER FUND, LTD.
c/o Laurus Capital Management, LLC
000 Xxxxx Xxxxxx, 00xx Xxxxx
Xxx Xxxx, Xxx Xxxx 00000
c/o Laurus Capital Management, LLC
000 Xxxxx Xxxxxx, 00xx Xxxxx
Xxx Xxxx, Xxx Xxxx 00000
August 30, 2007
Silicon Mountain Holdings, Inc.
0000 Xxxxxx Xxxxxx
Xxxxxxx, Xxxxxxxx 00000
Attention: Xxxxxxx (Tré) X. Xxxxx III
0000 Xxxxxx Xxxxxx
Xxxxxxx, Xxxxxxxx 00000
Attention: Xxxxxxx (Tré) X. Xxxxx III
Re:
Side Letter Agreement
Ladies and Gentlemen:
Reference is made to (a) the Master Security Agreement dated as of August 28, 2007 (as the
same may be amended, supplemented, restated and/or modified from time to time, the “Security
Agreement”) by and among Silicon Mountain Holdings, Inc., a Colorado corporation (the “Company”),
and Laurus Master Fund, Ltd. (“Laurus”) and certain affiliates of Laurus, (b) certain ancillary
agreements executed in conjunction therewith (as each are amended, restated, modified and/or
supplemented from time to time, the “Ancillary Agreements”) and (c) all documents, instruments and
agreements executed in connection therewith, as each are amended, restated, modified and/or
supplemented from time to time (together with the Security Agreement and the Ancillary Agreements,
collectively, the “Documents”). [Capitalized terms not otherwise defined herein shall have the
meanings set forth in the Security Agreement.]
In order to facilitate the closing of the transactions contemplated by the Documents within
the time constraints of the Company, Laurus has agreed that certain closing requirements may be
waived, in whole or in part, as conditions to the initial disbursement under the Documents. In
consideration thereof, the Company has agreed to satisfy the following conditions within the time
periods and under the conditions set forth on the attached schedule (“Schedule A”), all in
a manner (and when applicable, evidenced by agreements, instruments and documents) satisfactory in
form and substance to Laurus.
The Company acknowledges and agrees that its failure to satisfy the requirements set forth on
Schedule A within the applicable time limit set forth thereon with respect thereto shall,
in each event, constitute an “Event of Default” under the Documents.
[Remainder of Page Intentionally Left Blank]
Side Letter Agreement
Except as expressly provided herein, nothing contained herein shall act as a waiver or excuse
of performance of any obligations contained in the Documents. No waiver, modification or amendment
of any provision of this agreement shall be effective unless specifically made in writing and duly
signed by the party to be bound thereby. This letter agreement shall be governed by and construed
in accordance with the laws of the State of New York.
Very truly yours, LAURUS MASTER FUND, LTD. |
||||
By: | /s/ Xxxxx Grin | |||
Name: | Xxxxx Grin | |||
Title: | Director | |||
The foregoing is hereby accepted and agreed to
as of the date set forth above:
as of the date set forth above:
By: | /s/ Xxxxxxx (Tré) X. Xxxxx III | |||
Xxxxxxx (Tré) X. Xxxxx III | ||||
President and Chief Executive Officer | ||||
Side Letter Agreement
Schedule A
Laurus’ receipt of each of the following in form and substance satisfactory to Laurus and its
counsel:
1. A stock certificate (or certificates) representing 100% of the issued and outstanding
common stock of Silicon Mountain Memory, Incorporated (“SMM”) with a duly executed stock power (or
powers) in blank within 4 business days following the Stock Certificate Receipt Date. For purposes
of the foregoing, the “Stock Certificate Receipt Date” shall be October 27, 2007, which is the date
that is sixty (60) days (not including the Exchange Closing Date (defined below)) following the
closing of the stock exchange (the “Exchange Closing Date”) between the stockholders of SMM and
Z-Axis Corporation (s/k/a Silicon Mountain Holdings, Inc.) pursuant to that Stock Exchange Agreement, dated May 7, 2006.
Side Letter Agreement