EXHIBIT 10.1
ZYTEC CORPORATION
FOURTH AMENDMENT to CREDIT AGREEMENT
Xxxxxx Trust and Savings Bank
Chicago, Illinois
Firstar Bank of Minnesota,
National Association
Bloomington, Minnesota
Ladies and Gentlemen:
Reference is hereby made to that certain Credit Agreement dated as of May 30,
1996, as amended through the Third Amendment thereto dated as of December 23,
1996 (as so amended, THE "CREDIT AGREEMENT") among the undersigned, Zytec
Corporation, a Minnesota corporation (the "COMPANY"), and (the "LENDERS") and
Xxxxxx Trust and Savings Bank, as agent for the Lenders (the "AGENT"). All
defined terms used herein shall have the same meaning as in the Credit Agreement
unless otherwise defined herein.
The Company has requested that the Lenders amend certain Sections of the Credit
Agreement, and the Lenders are willing to do so under the terms and conditions
set forth in this Amendment.
1. AMENDMENTS.
Upon the execution of this Amendment by the Company, the
Lenders and the Agent, the Credit Agreement shall be amended as
follows:
1.1 The definition of "Termination Date" appearing in
Section 4.1 of the Credit Agreement is hereby amended by
deleting the date "May 30, 1999" appearing therein and
substituting therefor the date "May 30, 2000."
1.2 Section 7.13 of the Credit Agreement is hereby
amended by deleting the amount "$4,000,000" appearing therein
and substituting therefor the amount "$8,000,000."
1.3 Section 7.14 of the Credit Agreement is hereby
amended by deleting the amount "$13,500,000" appearing therein
and substituting therefor the amount "$20,000,000."
1.4 Section 7.15(a) of the Credit Agreement is hereby
amended by deleting the amount "$8,000,000" appearing therein
and substituting therefor the amount "$12,000,000."
1.5. Section 7.17 of the Credit Agreement is hereby
amended by (A) deleting the "." appearing at the end thereof
and substituting therefor "; and" and (B) inserting
immediately thereafter new subsection (g) as follows:
"(g)loans from the Company to certain of its
suppliers in the aggregate principal amount not to
exceed $140,000."
2. REPRESENTATIONS.
In order to induce the lenders to execute and deliver this amendment,
the Company hereby represents to the lenders that as of the date hereof, the
representations and warranties set forth in Section 5 of the Credit Agreement
are and shall be and remain true and correct (except that the representations
contained in Section 5.5 shall be deemed to refer to the most recent financial
statements of the company delivered to the Lenders) and the Company is in full
compliance with all of the terms and conditions of the Credit Agreement and no
Default or Event of Default has occurred and is continuing under the Credit
Agreement or shall result after giving effect to this Amendment.
3. MISCELLANEOUS.
(a) Reference to this specific Amendment need not be made in any note,
document, letter, certificate, the Credit Agreement itself, the Notes or any
communication issued or made pursuant to or with respect to the Credit Agreement
or the Notes, any reference to the Credit Agreement being sufficient to refer to
the Credit Agreement as amended hereby.
(b) This Amendment may be executed in any number of counterparts, and
by the different parties on different counterparts, all of which taken together
shall constitute one and the same agreement. Any of the parties hereto may
execute this Amendment by signing any such counterpart and each of such
counterparts shall for all purposes be deemed to be an original. This Amendment
shall be governed by the internal laws of the State of Illinois.
Upon acceptance hereof by the Agent and the Lenders in the manner hereinafter
set forth, this Amendment shall be a contract between us for the purposes
hereinabove set forth.
Dated as of this 23rd day of July, 1997, but retroactively effective as of the
29th day of June, 1997.
ZYTEC CORPORATION
By: /s/ Xxxx X. Xxxxxx
Its: Vice President Finance & Treasurer
Accepted and agreed to as of the day and year last above written.
XXXXXX TRUST AND SAVINGS BANK
individually and as Agent
By: /s/ Xxxxxxxxx X. Xxxxxx
Its: Vice President
FIRSTAR BANK OF MINNESOTA,
NATIONAL ASSOCIATION
By: /s/ Xxxxx X. Paris
Its: Vice President
