Exhibit 10.4
TERMINATION OF SECURITY AGREEMENT
THIS AGREEMENT, dated as of January 3, 1997 is made among XXXXXXX & XXXXX,
INC. (formerly "WG, Inc.") ("WG"), CLINTON MACHINERY CORPORATION, a Delaware
Corporation ("Clinton"), WG APPAREL, INC., a Delaware Corporation ("WG
Apparel"), XXXXX XXXXXXXXXX, XXXXXXX XXXX AND XXXX XXXXXX (collectively the
"Stockholders").
W I T N E S S E T H:
WHEREAS, pursuant to the terms of a certain Agreement and Plan of Merger,
dated December 15, 1995 ("Merger Agreement"), the Stockholders received 100,000
shares of common stock of WG and received an option to put those shares to WG
Apparel in accordance with and subject to the terms and conditions of the Merger
Agreement (the "Put Option"); and
WHEREAS, pursuant to a certain Security Agreement ("Security Agreement")
dated February 1, 1996, and in order to secure, among other things, payment of
the purchase price in the event the Put Option was exercised and certain "Annual
Payments" (as defined in the Security Agreement), the Stockholders were granted
a security interest in the "Collateral" as defined in the Security Agreement;
and
WHEREAS, WG plans to offer certain Series A Senior Notes ("Notes") to
raise approximately $85,000,000 cash to be used to pay off existing
institutional revolver and term debt, fund the acquisition of Macpherson
Meistergram Corporation and for general corporate purposes; and
WHEREAS, WG plans to obtain bank financing in the amount of approximately
$18,500,000.00 ("Bank Financing") from NationsBank, N.A. ("NationsBank") to be
used for general corporate purposes; and
WHEREAS, in connection with the issuance of the Senior Notes and the
consummation of the Bank Financing, WG, WG Apparel and Stockholders have entered
into an Amendment No.1 to Merger Agreement wherein Stockholders have agreed,
among other things, to release all of their security interests created by the
Security Agreement; and
WHEREAS, Stockholders will benefit from the issuance of the Senior Notes
and the consummation of the Bank Financing, and therefore Stockholders have
agreed to release all of their rights under the Security Agreement.
NOW THEREFORE in consideration of the premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
each Stockholder agrees as follows:
1. The Security Agreement, and all past, present and future interests
created thereby, shall be and hereby are terminated on
the date hereof.
2. Each Stockholder acknowledges their continuing obligation to execute
and deliver UCC-3 termination statements and other documents pursuant to and in
accordance with Article 2 of the Amendment No.1 to the Merger Agreement.
IN WITNESS WHEREOF, the parties have executed this Agreement to be
effective on the date first above written.
XXXXXXX & XXXXX, INC.
By: /s/ XXXX XXXXXXX
---------------------------
Title:
WG APPAREL, INC.
By: /s/ XXXX XXXXXXX
---------------------------
Title:
CLINTON MACHINERY CORPORATION
By: /s/ XXXXX XXXXXXXXXX
---------------------------
Title: President
/s/ XXXXXXX XXXX
--------------------------------
XXXXXXX XXXX
/s/ XXXXX XXXXXXXXXX
--------------------------------
XXXXX XXXXXXXXXX
/s/ XXXX XXXXXX
--------------------------------
XXXX XXXXXX
- 2 -
UNIFORM COMMERCIAL CODE-FINANCING STATEMENT CHANGE
APPROVED FOR USE IN NORTH CAROLINA
72790 UCC-3
REORDER FROM
Registre, Inc.
000 XXXXXX XX.
X.X. XXX 000
XXXXX, XX 00000
(000) 000-0000
--------------------------------------------------------------------------------
This STATEMENT is presented to a filing officer for No. of Additional
filing pursuant the Uniform Commercial Code: Sheets Presented:
--------------------------------------------------------------------------------
1. Debtor(s) (Last Name First) 2. Secured Party(ies) Name(s)
and Address(es): And Address(es):
CLINTON MACHINERY CORPORATION XXXX XXXXXX; XXXXXXX XXXX:
5800 Miami Lakes Drive XXXXX XXXXXXXXXX
Xxxxx Xxxxx, Xxxxxxx 00000 0000 Xxxxx Xxxxx Xxxxx
Xxxxx Xxxxx, Xxxxxxx 00000
--------------------------------------------------------------------------------
3. (a) This statement refers to original Financing Statement bearing
File No. 1312009 Filed with SECRETARY OF STATE Date Filed 2-22
1996
(b) If the original Financing Statement has previously been
continued list the Filing No. of the last continuation filled.
(C) If the original filing was a fixture filing or covered timber For
or accounts subject to G.S. 25-9-103, (5) xxxx this block |_| Filing
Officer
--------------------------------------------------------------------------------
4. |_| Continuation. The original financing statement between the foregoing
debtor and secured party, bearing the number shown above
is still effective.
5. |_| Assignment. The secured party's rights under the financing statement
bearing file number shown above to the property described
in item 9 have been assigned to the assignee whose name
and address appear in item 9.
6. |_| Amendment. Financing statement bearing file number shown above is
amended as set forth in item 9. Signatures are required
of both debtor and secured party per G.S. #25-9-4.
7. |_| Release. Secured party releases the collateral described in item
9 from the financing statement bearing the number shown
above.
8. |X| Termination. Secured Party no longer claims a security interest under
the financing statment bearing file number shown above.
(A termination statement signed by a person other than
the secured party of record must include or be
accompanied by the assignment or a statement by the
secured party of record that he has assinged interest to
the signer of the termination statement.)
--------------------------------------------------------------------------------
9.
--------------------------------------------------------------------------------
10. Signatures:
/s/ [Signature Illegible]
----------------------------- ----------------------------------------------
By /s/ [Signature Illegible] By XXXX XXXXXX; XXXXXXX XXXX; XXXXX XXXXXXXXXX
----------------------------- ----------------------------------------------
Debtor(s) (necessary only Secured Party(ies)
if item 6 is applicable) Standard Form Approved by
N.C. Sec. of State
FINANCING STATEMENT CHANGE
(1) Filing Officer Copy Numerical UCC-3
--------------------------------------------------------------------------------
[Logo] THE UNITED STATES
CORPORATION
-----------------
COMPANY
DEBTOR NAME: CLINTON MACHINERY CORP.
JURISDICTION: STATE OF NC
--------------------------------------------------------------------------------
FILE NUMBER: 1307096
FILE DATE: 02-07-96
SECURED PARTY: NATIONSCREDIT COMMERCIAL CORPORATION, AS AGENT
FILE NUMBER: 1312009
FILE DATE: 02-22-96
SECURED PARTY: XXXXX XXXXXXXXXX, XXXX XXXXXX, XXXXXXX XXXX
RP
UNIFORM COMMERCIAL CODE-FINANCING STATEMENT CHANGE
APPROVED FOR USE IN NORTH CAROLINA
72792 UCC-3
REORDER FROM
Registre, Inc.
000 XXXXXX XX.
X.X. XXX 000
XXXXX, XX 00000
(000) 000-0000
--------------------------------------------------------------------------------
This STATEMENT is presented to a filing officer for No. of Additional
filing pursuant the Uniform Commercial Code: Sheets Presented:
--------------------------------------------------------------------------------
1. Debtor(s) (Last Name First) 2. Secured Party(ies) Name(s)
and Address(es): And Address(es):
CLINTON MANAGEMENT CORP. XXXX XXXXXX; XXXXXXX XXXX;
0000 Xxxxx Xxxxx Xxxxx XXXXX XXXXXXXXXX
Xxxxx Xxxxx, Xxxxxxx 00000 0000 Xxxxx Xxxxx Xxxxx
Xxxxx Xxxxx, Xxxxxxx 00000
--------------------------------------------------------------------------------
3. (a) This statement refers to original Financing Statement bearing
File No. 1312008 Filed with SECRETARY OF STATE Date Filed 2-22
1996
(b) If the original Financing Statement has previously been
continued list the Filing No. of the last continuation filied.
(C) If the original filing was a fixture filing or covered timber For
or accounts subject to G.S. 25-9-103, (5) xxxx this block |_| Filing
Officer
--------------------------------------------------------------------------------
4. |_| Continuation. The original financing statement between the foregoing
debtor and secured party, bearing the number shown above
is still effective.
5. |_| Assignment. The secured party's rights under the financing statement
bearing file number shown above to the property described
in item 9 have been assigned to the assignee whose name
and address appear in item 9.
6. |_| Amendment. Financing statement bearing file number shown above is
amended as set forth in item 9. Signatures are required
of both debtor and secured party per G.S. #25-9-4.
7. |_| Release. Secured party releases the collateral described in item
9 from the financing statement bearing the number shown
above.
8. |X| Termination. Secured Party no longer claims a security interest under
the financing statment bearing file number shown above.
(A termination statement signed by a person other than
the secured party of record must include or be
accompanied by the assignment or a statement by the
secured party of record that he has assigned interest to
the signer of the termination statement.)
--------------------------------------------------------------------------------
9.
--------------------------------------------------------------------------------
10. Signatures:
By /s/ [Signature Illegible]
----------------------------- ----------------------------------------------
By /s/ [Signature Illegible] By XXXX XXXXXX; XXXXXXX XXXX; XXXXX XXXXXXXXXX
----------------------------- ----------------------------------------------
Debtor(s) (necessary only Secured Party(ies)
if item 6 is applicable) Standard Form Approved by
N.C. Sec. of State
FINANCING STATEMENT CHANGE
(1) Filing Officer Copy Numerical UCC-3
--------------------------------------------------------------------------------
[Logo] THE UNITED STATES
CORPORATION
-----------------
COMPANY
DEBTOR NAME: CLINTON MACHINERY CORP.
JURISDICTION: STATE OF NC
--------------------------------------------------------------------------------
FILE NUMBER: 1303628
FILE DATE: 01-29-96
SECURED PARTY: NATIONSBANK, N.A.
FILE NUMBER: 1307097
FILE DATE: 02-07-96
SECURED PARTY: NATIONSCREDIT COMMERCIAL CORPORATION, AS AGENT
FILE NUMBER: 1312008
FILE DATE: 02-22-96
SECURED PARTY: XXXXXXX XXXX, XXXX XXXXXX, XXXXX XXXXXXXXXX
RP
[Logo] THE UNITED STATES
CORPORATION
-----------------
COMPANY
DEBTOR NAME: CLINTON MACHINERY CORPORATION
JURISDICTION: STATE OF FL
--------------------------------------------------------------------------------
FILE NUMBER: 960000019322
FILE DATE: 1-29-96
SECURED PARTY: NATIONSBANK, NA
FILE NUMBER: 960000026405
FILE DATE: 2-07-96
SECURED PARTY: NAITONSCREDIT COMMERCIAL CORPORATION
FILE NUMBER: 960000033465
FILE DATE: 2-16-96
SECURED PARTY: XXXX, XXXXXXX ET AL
DAC
REORDER FROM
Registre, Inc.
72337 000 XXXXXX XX.
X.X. XXX 000
XXXXX, XX 00000
(000) 000-0000
NOTE: This is a two-part form. Send both parts to the Department of State for
filing. If a copy of this form is needed prior to filing, make photocopies for
your records.
IMPORTANT: Read instructions on back before filling out form.
--------------------------------------------------------------------------------
STATE OF FLORIDA
UNIFORM COMMERCIAL CODE STATEMENT OF CHANGE FORM UUC-3 (REV. 1993)
This Statement of Change is presented to a filing officer pursuant to the
Uniform Commercial Code:
================================================================================
1. Debtor (Last Name First if an Individual) 1a. Date of Birth or FEI#
CLINTON MACHINERY CORPORATION
--------------------------------------------------------------------------------
1b. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Xxx Code
0000 Xxxxx Xxxxx Xxxxx Xxxxx Xxxxx, Xxxxxxx 00000
--------------------------------------------------------------------------------
2. Additional debtor or Trade Name 2a. Date of Birth or FEI#
(Last Name First if an Individual)
--------------------------------------------------------------------------------
2b. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Xxx Code
--------------------------------------------------------------------------------
3. Secured Party (Last Name First if an Individual)
XXXX, XXXXXXX; XXXXXXXXXX, XXXXX; XXXXXX, XXXX
--------------------------------------------------------------------------------
3a. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Zip Code
0000 Xxxxx Xxxxx Xxxxx Xxxxx Xxxxx, Xxxxxxx 00000
--------------------------------------------------------------------------------
4. Additional Secured Party (Last Name First if an Individual)
--------------------------------------------------------------------------------
4a. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Zip Code
================================================================================
5. This Statement refers to original Financing Statement bearing file number:
960000033465 filed on 2-16-96.
6.
A. |_| Continuation - The original Financing Statement between the
Debtor and Secured Party bearing the file number
shown above is continued.
B. |_| Release - The Secured Party releases the collateral
described in Block 7 below from the Financing
Statement bearing the file number shown above.
RELEASE DOES NOT TERMINATE LIEN AGAINST DEBTOR.
C. |_| Full Assignment - All of the Secured Party's rights under the
Financing Statement have been assigned to the
assignee whose name and address is shown in Block
7 below.
D. |_| Partial Assignment- Some of Secured Party's rights under the Financing
Statement have been assigned to the assignee whose
name and address is shown in Block 7. A
description of the collateral subject to the
assignment is also shown in Block 7.
E. |_| Amendment - The Financing Statement bearing file number shown
above is amended as set forth in Block 7. (See
instructions for signature requirements.)
F. |X| Termination - The Secured Party no longer claims an interest
under the Financing Statement bearing file number
shown above.
G. |_| Other - --------------------------------------------------
================================================================================
7. Description of collateral released or assigned, Assignee name and address, or
amendment. Use additional sheet(s) if necessary.
--------------------------------------------------------------------------------
This space for use of Filing Officer
--------------------------------------------------------------------------------
8. Signature(s) of Debtor(s): (only if amendment - see instructions)
/s/ [Signature Illegible]
-------------------------
/s/ [Signature Illegible]
-------------------------
--------------------------------------------------------------------------------
9. Signature(s) of Secured party(ies):
/s/ [Signature Illegible]
--------------------------------------------------------------------------------
XXXX, XXXXXXX; XXXXXXXXXX, XXXXX; XXXXXX, XXXX
--------------------------------------------------------------------------------
10. Number of Additional Sheets Presented -0-
--------------------------------------------------------------------------------
11. Return Copy to:
Name Xxxxxxx X. Xxxxx, Esq.
Xxxxxxx Xxxxxx Xxxxxx Xxxxxxxx et al
Address 000 Xxxx Xxxxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx Xxxxx, Xxxxxxx 00000
REORDER FROM
Registre, Inc.
72338 000 XXXXXX XX.
X.X. XXX 000
XXXXX, XX 00000
(000) 000-0000
NOTE: This is a two-part form. Send both parts to the Department of State for
filing. If a copy of this form is needed prior to filing, make photocopies for
your records.
IMPORTANT: Read instructions on back before filling out form.
--------------------------------------------------------------------------------
STATE OF FLORIDA
UNIFORM COMMERCIAL CODE STATEMENT OF CHANGE FORM UUC-3 (REV. 1993)
This Statement of Change is presented to a filing officer pursuant to the
Uniform Commercial Code:
================================================================================
1. Debtor (Last Name First if an Individual) 1a. Date of Birth or FEI#
CLINTON MANAGEMENT CORP.
--------------------------------------------------------------------------------
1b. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Xxx Code
0000 Xxxxx Xxxxx Xxxxx Xxxxx Xxxxx, Xxxxxxx 00000
--------------------------------------------------------------------------------
2. Additional Debtor or Trade Name 2a. Date of Birth or FEI#
(Last Name First if an Individual)
--------------------------------------------------------------------------------
2b. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Xxx Code
--------------------------------------------------------------------------------
3. Secured Party (Last Name First if an Individual)
XXXX, XXXXXXX; XXXXXXXXXX, XXXXX; XXXXXX, XXXX
--------------------------------------------------------------------------------
3a. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Zip Code
0000 Xxxxx Xxxxx Xxxxx Xxxxx Xxxxx, Xxxxxxx 00000
--------------------------------------------------------------------------------
4. Additional Secured Party (Last Name First if an Individual)
--------------------------------------------------------------------------------
4a. Xxxxxxx Xxxxxxx 0x. Xxxx, Xxxxx 0x. Zip Code
================================================================================
5. This Statement refers to original Financing Statement bearing file number:
960000033464 filed on 2-16-96.
6.
A. |_| Continuation - The original Financing Statement between the
Debtor and Secured Party bearing the file number
shown above is continued.
B. |_| Release - The Secured Party releases the collateral
described in Block 7 below from the Financing
Statement bearing the file number shown above.
RELEASE DOES NOT TERMINATE LIEN AGAINST DEBTOR.
C. |_| Full Assignment - All of the Secured Party's rights under the
Financing Statement have been assigned to the
assignee whose name and address is shown in Block
7 below.
D. |_| Partial Assignment- Some of Secured Party's rights under the Financing
Statement have been assigned to the assignee whose
name and address is shown in Block 7. A
description of the collateral subject to the
assignment is also shown in Block 7.
E. |_| Amendment - The Financing Statement bearing file number shown
above is amended as set forth in Block 7. (See
instructions for signature requirements.)
F. |X| Termination - The Secured Party no longer claims an interest
under the Financing Statement bearing the file
number shown above.
G. |_| Other - --------------------------------------------------
================================================================================
7. Description of collateral released or assigned, Assignee name and address, or
amendment. Use additional sheet(s) if necessary.
--------------------------------------------------------------------------------
This space for use of Filing Officer
--------------------------------------------------------------------------------
8. Signature(s) of Debtor(s); (only if amendment - see instructions)
/s/ [Signature Illegible]
-------------------------
/s/ [Signature Illegible]
-------------------------
--------------------------------------------------------------------------------
9. Signature(s) of Secured party(ies):
/s/ [Signature Illegible]
--------------------------------------------------------------------------------
XXXX, XXXXXXX; XXXXXXXXXX, XXXXX; XXXXXX, XXXX
--------------------------------------------------------------------------------
10. Number of Additional Sheets Presented -0-
--------------------------------------------------------------------------------
11. Return Copy to:
Name Xxxxxxx X. Xxxxx, Esq.
Xxxxxxx Xxxxxx Xxxxxx Xxxxxxxx et al
Address 000 Xxxx Xxxxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx Xxxxx, Xxxxxxx 00000
[Logo] THE UNITED STATES
CORPORATION
-----------------
COMPANY
DEBTOR NAME: CLINTON MANAGEMENT CORP.
JURISDICTION: STATE OF FL
-----------------------------------------------------------------
FILE NUMBER: 960000123607
FILE DATE:
SECURED PARTY: THE CIT GROUP/EQUIPMENT FINANCING INC.
FILE NUMBER: 960000123608
FILE DATE: 6-17-96
SECURED PARTY: THE CIT GROUP/EQUIPMENT FINANCING INC.
FILE NUMBER: 960000011166
FILE DATE: 1-14-94
SECURED PARTY: NATIONAL LIFT TRUCK SERVICE
FILE NUMBER: 960000020710
FILE DATE: 1-30-96
SECURED PARTY: NATIONSBANK NA
FILE NUMBER: 960000026407
FILE DATE: 2-07-96
SECURED PARTY: NATIONSCREDIT COMMERCIAL CORPORATION AS AGENT
FILE NUMBER: 960000033464
FILE DATE: 2-16-96
SECURED PARTY: XXXX, XXXXXXX, ET AL
DAC
