SECURITY AGREEMENT
AMENDMENT NO. 6
THIS SECURITY AGREEMENT AMENDMENT NO. 6, dated as of December 19, 1996,
(the "Security Agreement Amendment No. 6") is by and between
INTERNATIONAL RECTIFIER CORPORATION, a Delaware corporation with its
principal place of business located in El Segundo, California (the "Debtor");
and
NATIONSBANC LEASING CORPORATION OF NORTH CAROLINA, a North Carolina
corporation with its principal place of business located in Charlotte, North
Carolina (the "Secured Party").
RECITALS
A. The Debtor and Secured Party entered into a Security Agreement dated
as of July 1, 1994, as amended (the "Security Agreement").
B. The Debtor and Secured Party desire to amend certain provisions of
the Security Agreement as more specifically set forth hereinafter.
NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS:
1. The last two sentences of Section 1.2 of the Security Agreement are
amended to read in their entirety as follows:
"No Term Loan shall exceed the Cost of Equipment securing such Term
Loan and the aggregate Term Loans plus the outstanding Progress Payment Loans
shall not exceed $50,000,000 (the "Total Commitment"), of which no more than
$3,000,000 shall be computer equipment. No Term Loan Commencement Date shall
occur after June 30, 1997 (the "Financial Commencement Date")."
2. Section 8.4 of the Security Agreement is hereby amended to read in
its entirety as follows:
"8.4 Each item of Equipment shall be kept primarily at the location
specified in the Security Agreement Schedule applicable thereto and shall not
be moved from such location without Secured Party's prior written consent,
which shall not be unreasonably withheld. Equipment may be located at
Debtor's facility in Mexico; PROVIDED that the total Cost of Equipment
located in Mexico shall at no time exceed $10,000,000 and all such Equipment
shall be subject to Term Loans having no longer than five year terms. Debtor
shall not surrender possession of the Equipment to anyone other than Secured
Party."
3. Except as expressly amended hereby, the Security Agreement shall
continue in full force and effect.
IN WITNESS WHEREOF, the parties hereto, as of the day and year above
written, have caused this Security Agreement Amendment No. 6 to be executed
in their respective corporate names by their duly authorized officials.
Debtor:
INTERNATIONAL RECTIFIER CORPORATION
By: /s/ Xxxxxxx X. XxXxx
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Title: Vice President - Chief Financial Officer
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Secured Party:
NATIONSBANC LEASING CORPORATION OF
NORTH CAROLINA
By: /s/ M. Xxxxxxx Xxxx
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Title: SENIOR VICE PRESIDENT
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