AMENDMENT TO LOAN AND SECURITY AGREEMENT
EXHIBIT 10.7
AMENDMENT
TO
THIS
AMENDMENT, dated as of January 29, 2008, is to the Loan and Security Agreement
dated January 2, 2008 (“Loan Agreement”) between Xxxxxxx Bank (“Bank”), and
Jefferson Electric, Inc. (“Borrower”).
RECITAL
WHEREAS, Bank and Borrower desire to
amend the Loan Agreement as provided herein.
AGREEMENT
1. Definitions.
(a) All
capitalized terms used but not defined herein shall have the meanings set forth
in the Loan Agreement.
(b) As
used in the Loan Agreement as amended hereby, the following terms shall have the
following meanings:
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“Loan
Amount” means the sum of $3,500,000 plus the outstanding balance of the
Obligations.
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“Revolving
Note” means Borrower’s promissory note, substantially in form attached
hereto as Exhibit A, as
it may be amended, restated or replaced from time to
time.
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2. Revolving
Loans. Section 2.1.1 of the Loan Agreement is amended to
delete “Three Million Dollars ($3,000,000.00)” and replace it with “Three
Million Five Hundred Thousand Dollars ($3,500,000.00).”
3. Collateral Obligation
Ratio. Section 2.6 of the Loan Agreement is amended to delete
“$3,000,000” and replace it with “$3,500,000.”
4. Conditions
Precedent. This Amendment shall not be effective until Bank
has received a fully executed copy of this Amendment, the Revolving Note,
Borrowing Resolutions authorizing this amendment and an Officer’s
Certificate.
5. Effect of
Amendment. Except as otherwise provided herein, the Loan
Agreement shall remain in full force and effect and Borrower shall be bound by
all of the covenants therein.
6. Law
Governing. This Amendment shall be governed by the laws of the
State of Wisconsin.
7. Binding
Effect. This Amendment shall be binding on and inure to the
benefit of Borrower, Bank and their respective successors and
assigns.
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BORROWER:
Jefferson
Electric, Inc.
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By:
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/s/ Xxxxxx Xxxxx | |
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Xxxxxx
Xxxxx, President
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BANK:
Xxxxxxx
Bank
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By:
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/s/ Xxxxxxx X. Xxxxxxxx | |
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Xxxxxxx
X. Xxxxxxxx, Vice President
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CONSENT
OF GUARANTORS
The undersigned hereby consent to the
foregoing amendment and ratify their Guaranties of the obligations of Jefferson
Electric, Inc. to Xxxxxxx Bank.
| /s/ Xxxxxx Xxxxx | ||
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Xxxxxx
Xxxxx
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JEFFERSON ELECTRIC LEASING,
LLC,
A
Wisconsin limited liability company
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By:
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/s/ Xxxxxx Xxxxx | |
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Xxxxxx
Xxxxx, Member
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