Exhibit 10.26
SUMMIT TECHNOLOGY, INC.
00 Xxxxxxx Xxxxx
Xxxxxxx, Xxxxxxxxxxxxx 00000
October 1, 1998
Autonomous Technologies Corporation
0000 Xxxxxxxxx Xxxxx
Xxxxxxx, Xxxxxxx 00000
Re: Revolving Credit Line
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Gentlemen:
This letter (the "Letter Agreement") sets forth our mutual understanding
with respect to a revolving credit line to be provided by Summit Technology,
Inc. ("Summit") to Autonomous Technologies Corporation ("Autonomous") in
connection with the acquisition by Summit of all of the outstanding equity
interests of Autonomous pursuant to an Agreement and Plan of Merger dated
October 1, 1998 (the "Merger Agreement").
Upon execution of the Merger Agreement by Summit and Autonomous, Summit
will make available to Autonomous a maximum of $5,000,000 on a revolving
borrowing basis. Amounts borrowed by Autonomous will be evidenced by a
Revolving Promissory Note dated as of the date hereof in the principal face
amount of $5,000.000. Autonomous may not borrow more than $1,500,000 in any
calendar month. Autonomous will be required to make monthly payments of
interest on the principal amount outstanding under the Revolving Promissory Note
at a rate equal to 5.25%. Summit will extend credit to Autonomous until
Autonomous has drawn a maximum of $5,000,000 or until June 30, 1999, whichever
occurs first; provided that Summit's obligation shall cease when the Revolving
Promissory Note shall have become immediately due and payable.
This Letter Agreement and the Revolving Promissory Note set forth the
entire understanding between the parties with respect to the maters set forth
herein.
SUMMIT TECHNOLOGY, INC.
By /s/ Xxxxxx X. Xxxxxxxxx
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Agreed and accepted:
AUTONOMOUS TECHNOLOGIES
CORPORATION
By /s/ Xxxxx X. Xxxx
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