EXHIBIT 10.11
ADDENDUM TO TERM LOAN AGREEMENT
This Addendum is made part of the Term Loan Agreement (the "Agreement") made and
entered into by and between the undersigned borrower (the "Borrower") and the
undersigned bank (the "Bank") as of the date identified below. The warranties,
covenants and other terms described below are hereby added to the Agreement.
BORROWER'S SUBMISSION OF TAX RETURNS
Borrower covenants and agrees with Bank that, while this Agreement is in effect,
Borrower will furnish to Bank, no later than October 31 of each year, Borrower's
personal financial statement for such yearly period and no later than thirty
(30) days after filing there, a copy of Borrower's filed federal, and state [if
applicable], tax returns, including all supporting schedules.
Borrower to maintain a minimum Cash Flow Coverage ratio of 1.25 to 1.00. Cash
Flow Coverage defined as: Total annual personal income as stated in federal tax
returns, divided by personal debt obligations.
GUARANTOR'S SUBMISSION OF FINANCIAL STATEMENTS AND TAX RETURNS
Borrower covenants and agrees with Bank that, while this Agreement is in effect,
Guarantor will furnish to Bank the following: 1) As soon as available, but in no
event later than sixty (60) days after the end of each quarter, Guarantor's CPA
reviewed financial statements for such quarterly period. 2) As soon as
available, but in no event later than one hundred twenty (120) days after fiscal
year end, a copy of Guarantor's CPA audited financial statements.
Accounts Payable and Accounts Receivable agings to be provided quarterly within
twenty (20) days of quarter end.
Full proceeds of this loan are to be used to payoff the obligation
#71-6517305943-18/26 of, Nutech Digital, Inc. with U.S. Bank.
Dated as of: November 7, 2002
/s/ Xxx Xxxxxx
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(Borrower) Xxx
U.S. Bank N.A. (Bank:)
/s/ Xxx Xxxxxxxx
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Xxx Xxxxxxxx, Vice PResident
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