AMENDMENT TO LINE OF CREDIT
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DATED APRIL 3, 2000
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Dated: May 24, 2000
This Amendment is to the Line of Credit dated April 3, 2000. This amendment
increases the amount of the line of credit to $1,350,000 [One Million Three
Hundred Fifty Thousand]. The items listed below supersede such items in the
April 3, 2000 Line of Credit agreement. All other items remain as stated in
the April 3, 2000 agreement.
FOR VALUE RECEIVED, Telesoft Corp ("Maker") promises to repay to
--------. ("Holder") the principal advances received plus interest at the rate
of ten percent per annum, in United States currency, payable as follows:
1. Principal and interest shall be all due upon demand.
Interest shall accrue from the date hereof at the rate of ten percent (10%)
per annum and is due monthly.
2. This Line of Credit is due and payable on or before May 31, 2001. If
payment is not made by this date, this Line of Credit will be considered in
default by Xxxxxx, without notice to Maker. Interest will begin to accrue on
the defaulted Note at the rate of fifteen percent (15%) per annum, and will
continue to accrue until such time that the Line of Credit is paid in full.
3. This Line of Credit is secured by the Maker's accounts receivable,
inventory, property plant and equipment and all other assets held by the
Maker. Should the Maker enter into a financing agreement from a
non-affiliate, the Holder shall take a subordinate position in this security.
A UCC filing for this security interest is to be filed.
IN WINTNESS WHEREOF, Xxxxx has executed this instrument in his
respective name, and on his behalf, and has set his hand hereunto, all as of
the date first written above. This document shall have the effect of
a sealed instrument.
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Telesoft Corp ----------------
By -------------
