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EXHIBIT 10.33
March 28, 1997
MetLife Capital Corporation
▇▇▇▇▇ ▇.▇. ▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇ ▇▇▇
▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇
Attn: ▇▇▇▇ ▇▇▇▇▇▇▇, Senior Credit Analyst
Re: Loan and Security Agreement between MetLife Capital
Corporation ("MetLife") and Solo Serve Corporation
("Solo Serve"); as amended on July 18, 1995 (the "Loan
Agreement")
Dear ▇▇▇▇:
Pursuant to our letter agreement of January 23, 1996, this letter
shall serve as formal notice that Congress Financial Corporation and Solo Serve
Corporation are planning on amending Solo Serve's existing credit facility with
Congress Financial Corporation to reduce the minimum "Adjusted Net Worth"
covenant contained in the documents governing said facility to the amount of
$3,750,000.00.
Congress Financial Corporation has also agreed to amend Solo Serve's
working capital requirement. Under the credit facility as amended, Solo Serve
must now maintain working capital of not less than $4,500,000 at all times
after September 1, 1996.
When reviewing our files, we noticed that when Solo Serve and MetLife
amended Section 5(n)2 of the Loan Agreement, we did not amend Section 5(n)1
(MetLife's working capital requirement) of the Loan Agreement, therefore we
hereby request that Section 5(n)1 of the Loan Agreement be amended effective
September 1, 1996 to read as follows:
"Section 5(n)1. Working Capital: Borrower must maintain Working
Capital as defined in Borrower's Credit Facility with Congress
Financial Corporation, at the level required under said facility, as
it must be amended from time to time.
Solo Serve will notify MetLife in writing prior to any and all future
amendments. In the event that Solo Serve's credit facility with
Congress Financial Corporation should terminate, for whatever reason,
Section 5(n)1 shall return to the original definition in the Amended
Loan and Security Agreement dated July 18, 1995."
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If this proposal is acceptable to you, please execute where indicated
below and return at your earliest convenience.
Should you have any questions, please contact the undersigned.
SOLO SERVE CORPORATION
By: /s/ ▇▇▇▇ ▇. ▇▇▇▇▇
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▇▇▇▇ ▇. ▇▇▇▇▇,
Chief Financial Officer
AGREED:
METLIFE CAPITAL CORPORATION
By: /s/ ▇▇▇▇ ▇. ▇▇▇▇▇▇▇
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▇▇▇▇ ▇. ▇▇▇▇▇▇▇, Senior Credit Analyst
