Exhibit 10.05(b)
Confidential treatment has been requested for certain portions of this Agreement
that have been redacted in this Exhibit. These portions are indicated by an
asterisk (*). The omitted portions of this Agreement have been separately filed
with the Securities and Exchange Commission.
VISTAR / VSA
▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
Vice President - Food Service Sales
June 20, 2003
▇▇. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇
Sbarro, Inc.
▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇
▇▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇
Dear ▇▇▇▇:
I want to take a moment to express my appreciation for the follow-up and
pro-active work that you and your staff have done to address the case cost
concerns discussed in our recent meeting. Based upon the success of ▇▇▇▇▇▇ and
Wendy's meeting this week and the support of your suppliers, we feel more
confident that our benchmark case cost of $* can be achieved in the near future.
Additionally, in respect of our relationship and in an effort to resolve the
misunderstanding associated with the ▇▇▇▇-up versus margin issue, I suggest we
settle the issue going forward by adopting the following:
>> That the total short paid amounts reflective of * be evenly split
between our companies. This way, each party shares equally in any
prior misunderstanding.
>> Effective June 30, 2003, all corporate and franchised Sbarro stores
will be converted to an * percent * for all items except cheese, which
will be priced as per our current Distribution Agreement and Pepsi
Cola contracted items, which will be priced per your contract.
>> Effective with payments for all invoices beginning June 30, 2003,
short payments will be eliminated.
>> No later than July 30, 2003, Sbarro will reimburse to Vistar fifty
percent of the year-to-date short paid amounts up to invoices dated
June 29, 2003. As of this writing, the total amount of short pays to
Vistar totals approximately $*.
▇▇▇▇, I believe this to be a fair and equitable settlement plan to resolve this
lingering issue and to position both of our companies to move forward as great
business partners committed to each parties success. I look forward to hearing
from you.
Please acknowledge your acceptance of this settlement by signing below.
Sbarro, Inc. Vistar Corporation
By: /s/ ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ By: /s/ ▇▇▇▇▇ ▇▇▇▇▇▇▇
------------------------------ -----------------------------------
▇▇▇▇▇ ▇▇▇▇▇▇▇ (6/24/03)
Its: President, QSR (6/26/03) Its: Vice President - Foodservice Sales
LEK/jw
Enclosure
▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇▇ ▇▇▇▇, ▇▇▇▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇ - ▇-▇▇▇-▇▇▇-▇▇▇▇
- ▇▇▇.▇▇▇▇▇▇▇▇▇.▇▇▇
