AMENDMENT NO. 6 TO LOAN AGREEMENT AND PROMISSORY NOTE
This Amendment No. 6 is entered into as of November 27, 2000 by and between
Valence Technology, Inc. (Previously Ultracell, Inc.), a Delaware corporation
("Borrower"), and Baccarat Electronics, Inc., whose address is 00000 Xxxxxxx
Xxxxx, Xxxxxxxxx, XX 00000 ("Lender").
RECITALS
A. Borrower and Lender have entered into that certain Loan Agreement dated
as July 17, 1990 (the "Loan Agreement) and amended as of March 15, 1991
("Amendment No. 1"), as of March 24, 1992 ("Amendment No. 2"), as of August 17,
1992 ("Amendment No. 3"), as of September 19, 1997 ("Amendment No. 4"), and as
of July 17, 1998 ("Amendment No. 5") (the loan Agreement and Amendments Xx. 0,
Xx. 0, Xx. 0, Xx. 0 and No. 5 are referred to collectively herein as the
"Agreements"), pursuant to which Lender agreed to provide a revolving line of
credit to Borrower in the aggregate principal sum of $10,000,000.00 (the
"Loans") and pursuant to which Borrower has executed and delivered to the Lender
that certain New Amended Promissory Note dated as of September 19, 1997 (the
"Amended Promissory Note").
B. The Borrower and Lender now desire to increase the amount of the loan to
fifteen million dollars ($15,000,000).
NOW, THEREFORE, in consideration of the promises and mutual agreements
contained herein, the parties hereto agree as follows:
1. A second amended promissory note ("Second Amended Promissory Note" is
hereby incorporated in the Agreements and attached hereto. The total amount
available under the Second Amended Promissory Note shall be fifteen million
dollars ($15,000,000). Borrower shall make a draw-down of five million dollars
($5,000,000) on November 27, 2000.
2. Except as stated herein, all provisions of the Agreements and the Second
Amended Promissory Note shall remain in full force and effect. This Amendment
No. 6 shall be deemed effective as of the date first written above.
3. This Amendment No. 6 may be executed in any number of counterparts, each
of which when so executed and delivered shall be deemed an original, but all
such counterparts, taken together shall constitute and be considered a part of a
single original agreement.
IN WITNESS WHEREOF, the parties hereto have caused this Amendment No. 6 to
be duly executed and delivered by their proper and duly authorized officers as
of the date first written above.
BACCARAT ELECTRONICS, INC. VALENCE TECHNOLOGY, INC.
By: /s/ Xxxx X. Xxxx By: /s/ Xxx X. Xxxx
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Xxxx X. Xxxx Xxx X. Xxxx
President Vice President and
Chief Financial Officer
