BANK OF AMERICA, N.A.
0000 Xxxx Xxxxxxx Xxxxxx
Xxxxxxxxx, XX 00000
SECOND MODIFICATION OF LOAN AGREEMENT
AFS
#560392
THIS SECOND MODIFICATION OF LOAN AGREEMENT (this "Agreement") is made as of
April 14 , 2000, but is in all respects effective March 31, 2000, by and between
Total Containment, Inc., a Pennsylvania corporation (the "Borrower") and
Bank of America, N. A. (the "Bank"), witnesseth:
WHEREAS, on December 14, 1999, the Borrower obtained one or more loans in the
original/maximum principal amount of Five million and 00/100 dollars
($5,000,000.00) (the "Loan"); and
WHEREAS, the Borrower executed a loan agreement (the "Loan Agreement") outlining
specific terms and conditions governing the Loan, and
WHEREAS, the Borrower has requested and the Bank has agreed to increase the
principal amount of the Loan to $7,000,000.00 and to modify the Loan Agreement
provided that the Borrower executes this Agreement.
NOW, THEREFORE, in consideration of the premises, the sum of $1.00 and other
good and valuable consideration, the receipt of which is hereby acknowledged,
the parties hereto agree as follows:
1) The statements set forth above are true and accurate in every respect and
are incorporated herein by reference.
2) The Loan Agreement is hereby amended as follows:
Section 4. A. i. - as previously modified, is hereby deleted in its
entirety and replaced with the following:
Section 4. A. i. - Maintain a Tangible Net Worth of not less than
$4,000,000.00 as of March 31, 2000, increasing by 50% of net income
after taxes for the fiscal year ending December 31, 2000, provided,
however, that if net income after taxes for the fiscal year is a
deficit (i.e. a net loss), then there will be not reduction as a
result thereof in the required minimum Tangible Net Worth. This
covenant shall be tested quarterly for each fiscal quarter.
3) Except as expressly amended herein, all of the provisions of the Loan
Agreement shall remain in full force and effect. This Agreement shall in no
way operate as a novation, release, or discharge of any of the provisions
of the Loan Agreement (except as amended herein), or any indebtedness
thereby evidenced.
IN WITNESS WHEREOF, and intending to create an instrument executed under seal,
the Borrower and the Bank have duly executed this Agreement under seal as of
the day and year first written above.
BORROWER:
Total Containment, Inc.
By: /s/ XXXXXX XXXXXXXXXX SEAL)
Name: Xxxxxx Xxxxxxxxxx
Title: Chairman & CEO
BANK:
Bank of America, N. A.
By: /s/ XXXXXXX X. XXXXXXXX III SEAL)
Name: Xxxxxxx X. Xxxxxxxx III
Title: Senior Vice President
