AMENDMENT TO CONSULTANT AGREEMENT
EFFECTIVE DATE: December 20, 1996
PARTIES:
Sparta Foods, Inc.
0000 Xxxxxx Xxxxxx
Xx. Xxxx, XX 00000
Fax Number: (000) 000-0000 ("Sparta")
Catalina Specialty Foods, Inc.
0000 Xxxxxx Xxxxxx
Xx. Xxxx, XX 00000
Fax Number: (000) 000-0000 ("Consultant")
RECITALS:
A. Sparta and Consultant are parties to that certain Consultant Agreement
dated January 1, 1996 (the "Agreement").
B. The parties desire to extend the term of the Agreement pursuant to the
terms and provisions contained herein.
AGREEMENT:
In consideration of the mutual covenants contained herein and other good
and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the parties hereto agree as follows:
1. Extension of Term. The parties hereby agree that the Agreement shall be
renewed for an additional one (1) year term to expire at the end of business on
December 31, 1997, unless terminated earlier pursuant to the terms of Section 10
of the Agreement.
2. Compensation. Section 4 of the Agreement is hereby amended in its
entirety to read as follows:
Sparta shall pay Consultant a base consulting fee of Eighty Thousand
Dollars ($80,000) for the calendar year January 1, through December 31,
1997. Such amount shall be paid every two weeks during calendar year
1997 (in the amount of $3,076.92), payable in arrears on the same date
as Sparta pays its employee payroll obligations. Any amount not paid
when due shall be subject to a late payment fee computed daily at a
rate equal to eighteen percent (18%) per annum or the highest rate
permitted under applicable usury law. Consultant shall be eligible
for a bonus of up to Twelve Thousand Five Hundred Dollars ($12,500) if the
bonus criteria set forth on Exhibit B attached hereto is met
(the "Bonus").
3. Exhibit B. Exhibit B is hereby revised in its entirety and revised
Exhibit B attached hereto shall supersede and take the place of Exhibit B to the
Agreement.
4. Continuing Effect of Agreement. The Agreement shall continue in full
force and effect, without amendment, through December 31, 1996. For calendar
year 1997, the Agreement shall continue in full force and effect except as
expressly amended in this Amendment. All provisions contained in Section 12 and
Section 13 of the Agreement shall apply to this Amendment.
The parties hereto have caused this Amendment to be executed by their duly
authorized representative to be effective as of the day and year first above
written.
CATALINA SPECIALTY FOODS, INC.
("Consultant")
By____________________________
Xxxx Xxxxxxxxx Xxxxx, President
SPARTA FOODS, INC.
("Sparta")
By_____________________________
Xxxx X. Xxxxxx, President and CEO
The undersigned does hereby agree to continue to be bound by the provisions
of Section 2(j), Section 6 and Section 11(c) of the Agreement as amended herein.
_________________________________
XXXX XXXXXXXXX XXXXX
EXHIBIT B
TO
CONSULTANT AGREEMENT FOR CALENDAR YEAR 1997
Bonus
Consultant shall be eligible for a bonus of up to $12,500 during calendar
year 1997 pursuant to the following terms:
Crystal Farms Total Net Sales During Bonus Amount
Sparta's 1997 Fiscal Year (10-1-96 - 09-30-97)
$2,800,000 - $3,299,999 $2,500
$3,300,000 - $3,799,999 $5,000
$3,800,000 - $4,299,999 $7,500
$4,300,000 - $4,799,999 $10,000
$4,800,000 or more $12,500
The above bonus shall be calculated and paid by Sparta to Consultant on or
before December 31, 1997.
In addition to the above bonus, for every new Xxxx item slotted through
Crystal Farms and shipped into a warehouse, based on Consultant's efforts,
Consultant will be paid an additional one time consulting fee of One Hundred
Dollars ($100) per slotted item, payable quarterly at the end of the fiscal
quarter during which such item was first shipped to a warehouse.
