Contract
Exhibit
10.56
THIS LOAN
EXTENSION AGREEMENT (“Extension Agreement”) is made effective April 1, 2009
BY AND BETWEEN WLoans LLC (“Lender”) Aerogrow International, Inc (“Borrower”)
and Xxxx X. Xxxxxx (“Xxxxxx”).
WHEREAS
the parties hereto executed a Loan Agreement effective 22 May 2008, and a
Promissory Note (“Note”) and Security Instruments of the same date.
AND
WHEREAS the advances made pursuant to the Loan Agreement and other documents
were to be repaid on or before April 1, 2009 and Aerogrow has requested an
extension of the time for repayment and Lender and Xxxxxx have agreed thereto
subject to the following terms.
AND
WHEREAS the balance of principal due under the Note is $1,200,000 and interest
on the advances has been paid through March 31, 2009.
NOW,
THEREFORE, in consideration of the premises and mutual covenants set forth
herein, THE PARTIES HEREBY AGREE as follows:
1.
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The
Due Date on the Note is extended for a period of three months and the
entire balance shall be due and payable in accordance with the Terms of
the said Note on or before June 30, 2009, unless there is a Default that
entitles the Lender to be paid
earlier.
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2.
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The
Borrower agrees to pay a fee of $5,000 for this Extension upon the signing
hereof.
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3.
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Interest
shall be paid monthly on the 1st of each month commencing May 1,
2009.
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4.
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Borrower
agrees that it is not entitled to any further disbursements under the Loan
Agreement and that Lender and Xxxxxx have in all respects fully complied
with their respective obligations under the terms of the Loan Agreement
and Note.
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5.
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In
the event borrower receives any equity financing, including the issue of
Preferred Stock in any form, the entire outstanding Principal and interest
shall become immediately due and
payable.
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6.
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In
all respects the terms and conditions and other provisions of the Loan
Agreement and Note are hereby confirmed and shall continue to apply until
such time as the Principal and interest have been
repaid.
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IN
WITNESS WHEREOF, the parties have executed this Agreement as of the day and year
first written.
BORROWER:
AEROGROW INTERNATIONAL INC
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LENDER:
WLOANS LLC
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/s/
X. XxxXxxxxx Xxxxxx
Chief
Financial Officer
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/s/
Xxxx X. Xxxxxx
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CO-BORROWER
(FNB LOAN):
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/s/
XXXX X. XXXXXX
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