National City® Alan Jones Vice President Credit Administration One National City Center Suite 400S Indianapolis, TN 46255
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National
City®
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Xxxx
Xxxxx
Vice
President
Credit
Administration
Xxx
Xxxxxxxx Xxxx Xxxxxx Xxxxx 000X
Xxxxxxxxxxxx,
XX 00000
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December
19, 2008
Xxxxxxx
Xxx
CFO
Bioanalytical
Systems, Inc. 0000 Xxxx Xxxxxx
West
Lafayette, Indiana 47906
RE: National
City Bank, N.A. (NCB or Bank) credit facilities to Bioanalytical Systems, Inc.
referred to as (Borrower).
Dear
Xxxxxxx:
This
letter is to provide you with written notice that NCB hereby waives as of
September 30, 2008 the Borrower’s violation of Paragraph 5.3.3 of the Second
Amendment to Amended and Restated Credit Agreement dated October 24, 2007
regarding Tangible Net Worth. Furthermore, the Bank has approved the following
definition to replace Paragraph 5.3.3:
Maintain
its Tangible Net Worth at not less than Fourteen Million Dollars ($14,000,000)
as of September 30, 2008, and increasing as of each fiscal quarter end
thereafter by an amount equal to Fifty Percent (50%) of Borrower’s net income
(without reduction for any net losses) for such fiscal quarter.
This
waiver of the above referenced paragraph does not in any way waive any of the
Borrowers’ obligations and duties under the Loan Agreement or affect NCB’s
rights and remedies under the same for any covenant violations or other defaults
that have occurred in the past, exist now, or may arise in the
future.
Xxxx X. Xxxxx
Vice
President
