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EXHIBIT 10.5
AMENDMENT TO LOAN AND SECURITY AGREEMENT
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This Amendment to Loan and Security Agreement ("Amendment") is entered
into as of this 22nd day of September, 1997 between Modtech, Inc. ("Borrower")
and Coast Business Credit, a division of Southern Pacific Thrift & Loan
Association, successor to Coast Business Credit Corporation ("Coast"), in
reference to that certain Loan and Security Agreement between Coast and
Borrower dated October 5, 1995, as amended ("Loan Agreement").
The parties agree that the Loan Agreement shall be amended as set forth
below. Capitalized terms herein, unless otherwise defined herein, shall have
the meaning set forth in the Loan Agreement.
NOW, THEREFORE, the parties hereto do hereby agree as follows:
1. Section 1.1 of the Loan Agreement is hereby amended by deleting
the reference therein to "Fifteen Million Dollars ($15,000,000)" and
substituting therefor the sum of "Twenty Million Dollars ($20,000,000)."
2. Section 1.2 of the Loan Agreement is hereby modified by
deleting the reference therein to "2% per annum . . ." and substituting
therefor ".75% per annum . . ."
3. In addition to all other fees and charges, Borrower shall pay
Coast from the date hereof an additional origination fee in the amount of
$2,500.
4. The Facility Fee is hereby deleted.
5. Section 5 of the Loan Agreement is hereby modified by deleting
the reference therein to "third business day" and substituting therefor "second
business day . . ."
6. Except as otherwise set forth herein, the Loan Agreement and the
documents and instruments collateral thereto remain in full force and effect in
accordance with their terms.
7. This Amendment may be executed in one or more counterparts.
8. This Amendment shall be governed by the laws of the State of
California.
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9. If any action or proceeding shall be commenced at any time by
any party to this Amendment to enforce, interpret or otherwise concerning the
terms herein, the prevailing party in such action shall be entitled to
reimbursement of its costs and reasonable attorneys' fees. Each of the parties
hereto waive trial by jury in connection with any action described in the
preceding sentence. In addition to all other fees and charges, Borrower shall
reimburse Coast, upon demand, for all attorneys' fees and costs incurred in
connection with the negotiation, documentation and closing of this Amendment.
MODTECH, INC.
By: /s/ XXXX X. XXXXXX
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Its: Chief Executive Officer
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COAST BUSINESS CREDIT
By: /s/ XXXXXX X. XXXXXXX
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Name: Xxxxxx X. Xxxxxxx
Title: Vice President
