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EXHIBIT 10.27
Xxxxx Xxxxx, Inc.
000 Xxxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
June 17, 1998
Xx. Xxxx Xxxxxxx
President
Ridgeview, Inc.
0000 Xxxxx Xxxx Xxxxxx
Xxxxxx, Xxxxx Xxxxxxxx 00000
Dear Xx. Xxxxxxx:
This will confirm that, pursuant to Sections 3 and 27 of the License
Agreement between Xxxxx Xxxxx, Inc. and Ridgeview, Inc. ("Licensee"), dated as
of January 1, 1994 ("Agreement"), as extended and amended by a letter dated
October 22, 1996 between us, the Agreement is further extended, for a three-year
term, to December 31, 2000 ("Renewal Term").
Pursuant to Section 27 of the Agreement, this will also confirm that
the Agreement is modified to provide that, during the Renewal Term, Licensee
will be required to pay Guaranteed Minimum Royalties, to make the Projected
Annual Sales (both as defined in Section 4(b) of the Agreement) and to expend
the National Advertising Amount (as defined in Section 5(b) of the Agreement) in
the following amounts:
For Annual Period Projected Annual Sales Guaranteed Minimum National Advertising
Commencing Royalties Amount
January 1, 1998 $6,500,000 $400,000 $300,000
January 1, 1999 $7,500,000 $475,000 $400,000
January 1, 2000 $8,000,000 $525,000 $425,000
Except as expressly modified hereby, the Agreement shall remain in full
force and effect.
Please indicate your agreement by signing where indicated below, and
return your original signed copy of this letter to me.
Sincerely,
Xxxxx Xxxxx, Inc.
By: /s/ Xxxxxx Xxxxxxxxxxx
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Xxxxxx Xxxxxxxxxxx
Agreed and accepted:
Ridgeview, Inc.
By: /s/ Xxxx X. Xxxxxxx
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President and CEO
Date: 6-25-98
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