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EXHIBIT 10.12
MASTER LEASE AGREEMENT
Lessor: TRANSAMERICA BUSINESS CREDIT CORPORATION
RIVERWAY II
XXXX XXXXXX XXXXX
XXXX XXXXXXX
XXXXXXXX, XXXXXXXX 00000
Lessee: THE LIGHTSPAN PARTNERSHIP, INC.
00000 XXXXXX XXXXX XXXXX
XXX XXXXX, XXXXXXXXXX 00000
The lessor pursuant to this Master Lease Agreement ("Agreement") dated as of
August 14. 1997, is Transamerica Business Credit Corporation ("Lessor"). All
equipment, together with all present and future additions, parts, accessories,
attachments, substitutions, repairs, improvements, and replacements thereof or
thereto, which are the subject of a Lease (as defined in the next sentence)
shall be referred to as "Equipment." Simultaneous with the execution and
delivery of this Agreement, the parties are entering into one or more Lease
Schedules (each, a "Schedule") which refer to and incorporate by reference this
Agreement, each of which constitutes a lease (each, a "Lease") for the Equipment
specified therein. Additional details pertaining to each Lease are specified in
the applicable Schedule. Each Schedule that the parties hereafter enter into
shall constitute a Lease. Lessor has no obligation to enter into any additional
leases with, or extend any future financing to, Lessee.
1. LEASE. Subject to and upon all of the terms and conditions of
this Agreement and each Schedule, Lessor hereby agrees to lease to Lessee and
Lessee hereby agrees to lease from Lessor the Equipment for the Term (as defined
in Paragraph 2 below) thereof. The timing and financial scope of Lessor's
obligation to enter into Leases hereunder are limited as set forth in the
Commitment Letter executed by Lessor and Lessee, dated as of August 5, 1997 and
attached hereto as Exhibit A (the "Commitment Letter").
2. TERM. Each Lease shall be effective and the term of each
Lease ("Term") shall commence on the commencement date specified in the
applicable Schedule and, unless sooner terminated (as hereinafter provided),
shall expire at the end of the term specified in such Schedule; provided,
however, that obligations due to be performed by Lessee during the Term shall
continue until they have been performed in full. Schedules will only be executed
after the delivery of the Equipment to Lessee or upon completion of deliveries
of items of such Equipment with aggregate cost of not less than $100,000.00
3. RENT. Lessee shall pay as rent to Lessor, for use of the
Equipment during the Term or Renewal Term (as defined in Paragraph 8), rental
payments equal to the sum of all rental payments including, without limitation,
security deposits, advance rents, and interim rents payable in the amounts and
on the dates specified in the applicable Schedule ("Rent"). If any Rent or other
amount payable by Lessee is not paid within five days after the day on which it
becomes payable, Lessee will pay on demand, as a late charge, an amount equal to
5% of such unpaid Rent or other amount but only to the extent permitted by
applicable law. All payments provided for herein shall be payable to Lessor at
its address specified above, or at any other place designated by Lessor.
4. LEASE NOT CANCELABLE; LESSEE'S OBLIGATIONS ABSOLUTE. No Lease
may be canceled or terminated except as expressly provided herein. Lessee's
obligation to pay all Rent due or to become due hereunder shall be absolute and
unconditional and shall not be subject to any delay, reduction, set-off,
defense, counterclaim, or recoupment for any reason whatsoever, including any
failure of the Equipment or any representations by the manufacturer or the
vendor thereof. If the Equipment is unsatisfactory for any reason, Lessee shall
make any claim solely against the manufacturer or the vendor thereof and shall,
nevertheless, pay Lessor all Rent payable hereunder.
5. SELECTION AND USE OF EQUIPMENT. Lessee agrees that it shall
be responsible for the selection and use of, and results obtained from, the
Equipment and any other associated equipment or services.
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6. WARRANTIES. LESSOR MAKES NO REPRESENTATION OR WARRANTY,
EXPRESS OR IMPLIED, AS TO ANY MATTER WHATSOEVER, INCLUDING, WITHOUT LIMITATION,
THE DESIGN OR CONDITION OF THE EQUIPMENT OR ITS MERCHANTABILITY, SUITABILITY,
QUALITY, OR FITNESS FOR A PARTICULAR PURPOSE, AND HEREBY DISCLAIMS ANY SUCH
WARRANTY. LESSEE SPECIFICALLY WAIVES ALL RIGHTS TO MAKE A CLAIM AGAINST LESSOR
FOR BREACH OF ANY WARRANTY WHATSOEVER. LESSEE LEASES THE EQUIPMENT "AS IS." IN
NO EVENT SHALL LESSOR HAVE ANY LIABILITY, NOR SHALL LESSEE HAVE ANY REMEDY
AGAINST LESSOR, FOR ANY LIABILITY, CLAIM, LOSS, DAMAGE, OR EXPENSE CAUSED
DIRECTLY OR INDIRECTLY BY THE EQUIPMENT OR ANY DEFICIENCY OR DEFECT THEREOF OR
THE OPERATION, MAINTENANCE, OR REPAIR THEREOF OR ANY CONSEQUENTIAL DAMAGES AS
THAT TERM IS USED IN SECTION 2-719(3) OF THE MODEL UNIFORM COMMERCIAL CODE, AS
AMENDED FROM TIME TO TIME ("UCC"). Lessor grants to Lessee, for the sole purpose
of prosecuting a claim, the benefits of any and all warranties made available by
the manufacturer or the vendor of the Equipment to the extent assignable.
7. DELIVERY. Lessor hereby appoints Lessee as Lessor's agent for
the sole and limited purpose of accepting delivery of the Equipment from each
vendor thereof. Lessee shall pay any and all delivery and installation charges.
Lessor shall not be liable to Lessee for any delay in, or failure of, delivery
of the Equipment.
8. RENEWAL. So long as no Event of Default or event which, with
the giving of notice, the passage of time, or both, would constitute an Event of
Default, shall have occurred and be continuing, or the Lessee shall not have
exercised its purchase option under Paragraph 9 hereof, each Lease will
automatically renew for a term specified in the applicable Schedule (the
"Renewal Term") on the terms and conditions of this Agreement or as set forth in
such Schedule; provided, however, that Obligations due to be performed by the
Lessee during the Renewal Term shall continue until they have been performed in
full.
9. PURCHASE OPTION. So long as no Event of Default or event
which, with the giving of notice, the passage of time, or both, would constitute
an Event of Default, shall have occurred and be continuing, Lessee may, upon
written notice to Lessor received at least one hundred eighty days before the
expiration of a Term, purchase all, but not less than all, the Equipment covered
by the applicable Lease on the date specified therefor in the applicable
Schedule ("Purchase Date"). The purchase price for such Equipment shall be its
fair market value as set forth in the applicable Schedule determined on an
"In-place, In-use" basis, as mutually agreed by Lessor and Lessee, or, if they
cannot agree, as determined by an independent appraiser selected by Lessor and
approved by Lessee, which approval will not be unreasonably delayed or withheld.
Lessee shall pay the cost of any such appraisal. So long as no Event of Default
or event which, with the giving of notice, the passage of time, or both, would
constitute an Event of Default shall have occurred and be continuing, Lessee
may, upon written notice to Lessor received at least one hundred eighty days
prior to the expiration of the Renewal Term, purchase all, but not less than
all, the Equipment covered by the applicable Schedule by the last date of the
Renewal Term (the "Alternative Purchase Date") at a purchase price equal to its
then fair market value on an "In-place, In-use" basis. On the Purchase Date or
the Alternative Purchase Date, as the case may be, for any Equipment, Lessee
shall pay to Lessor the purchase price, together with all sales and other taxes
applicable to the transfer of the Equipment and any other amount payable and
arising hereunder, in immediately available funds, whereupon Lessor shall
transfer to Lessee, without recourse or warranty of any kind, express or
implied, all of Lessor's right, title, and interest in and to such Equipment on
an "As Is, Where Is" basis.
10. OWNERSHIP; INSPECTION; MARKING; FINANCING STATEMENTS. Lessee
shall affix to the Equipment any labels supplied by Lessor indicating ownership
of such Equipment. The Equipment is and shall be the sole property of Lessor.
Lessee shall have no right, title, or interest therein, except as lessee under a
Lease. The Equipment is and shall at all times be and remain personal property
and shall not become a fixture. Lessee shall obtain and record such instruments
and take such steps as may be necessary to prevent any person from acquiring any
rights in the Equipment by reason of the Equipment being claimed or deemed to be
real property. Upon request by Lessor, Lessee shall obtain and deliver to Lessor
valid and effective waivers, in recordable form, by the owners, landlords, and
mortgagees of the real property upon which the Equipment is located or
certificates of Lessee that it is the owner of such real property or that such
real property is neither leased nor mortgaged. Lessee shall make the Equipment
and its maintenance records available for inspection by Lessor at reasonable
times and upon reasonable notice. Lessee shall execute and deliver to Lessor for
filing any UCC financing statements or similar documents Lessor may reasonably
request.
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11. EQUIPMENT USE. Lessee agrees that the Equipment will be
operated by competent, qualified personnel in connection with Lessee's business
for the purpose for which the Equipment was designed and in accordance with
applicable operating instructions, laws, and government regulations, and that
Lessee shall use all reasonable precautions to prevent loss or damage to the
Equipment from fire and other hazards. Lessee shall procure and maintain in
effect all orders, licenses, certificates, permits, approvals, and consents
required by federal, state, or local laws or by any governmental body, agency,
or authority in connection with the delivery, installation, use, and operation
of the Equipment.
12. MAINTENANCE. Lessee, at its sole cost and expense, shall
keep the Equipment in a suitable environment as specified by the manufacturer's
guidelines or the equivalent, shall meet all recertification requirements, and
shall maintain the Equipment in its original condition and working order,
ordinary wear and tear excepted. At the reasonable request of Lessor, Lessee
shall furnish all proof of maintenance.
13. ALTERATION; MODIFICATIONS; PARTS. Lessee may alter or modify
the Equipment only with the prior written consent of Lessor. Any alteration
shall be removed and the Equipment restored to its normal, unaltered condition
at Lessee's expense (without damaging the Equipment's originally intended
function or its value) prior to its return to Lessor. Any part installed in
connection with warranty or maintenance service or which cannot be removed in
accordance with the preceding sentence shall be the property of Lessor.
14. RETURN OF EQUIPMENT. Except for Equipment that has suffered
a Casualty Loss (as defined in Paragraph 15 below) and is not required to be
repaired pursuant to Paragraph 15 below or Equipment purchased by Lessee
pursuant to Paragraph 9 above, upon the expiration of the Renewal Term of a
Lease, or upon demand by Lessor pursuant to Paragraph 22 below, Lessee shall
contact Lessor for shipping instructions and, at Lessee's own risk, immediately
return the Equipment, freight prepaid, to a location in the continental United
States specified by Lessor. At the time of such return to Lessor, the Equipment
shall (i) be in the operating order, repair, and condition as required by or
specified in the original specifications and warranties of each manufacturer and
vendor thereof, ordinary wear and tear excepted, (ii) meet all recertification
requirements, and (iii) be capable of being promptly assembled and operated by a
third party purchaser or third party lessee without further repair, replacement,
alterations, or improvements, and in accordance and compliance with any and all
statutes, laws, ordinances, rules, and regulations of any governmental authority
or any political subdivision thereof applicable to the use and operation of the
Equipment. Except as otherwise provided under Paragraph 9 hereof, at least one
hundred eighty days before the expiration of the Renewal Term, Lessee shall give
Lessor notice of its intent to return the Equipment at the end of such Renewal
Term. During the one hundred eighty-day period prior to the end of a Term or the
Renewal Term, Lessor and its prospective purchasers or lessees shall have, upon
not less than two business days' prior notice to Lessee and during normal
business hours, or at any time and without prior notice upon the occurrence and
continuance of an Event of Default, the right of access to the premises on which
the Equipment is located to inspect the Equipment, and Lessee shall cooperate in
all other respects with Lessor's remarketing of the Equipment. The provisions of
this Paragraph 14 are of the essence of the Lease, and upon application to any
court of equity having jurisdiction in the premises, Lessor shall be entitled to
a decree against Lessee requiring specific performance of the covenants of
Lessee set forth in this Paragraph 14. If Lessee fails to return the Equipment
when required, the terms and conditions of the Lease shall continue to be
applicable and Lessee shall continue to pay Rent until the Equipment is received
by Lessor.
15. CASUALTY INSURANCE; LOSS OR DAMAGE. Lessee will maintain, at
its own expense, liability and property damage insurance relating to the
Equipment, insuring against such risks as are customarily insured against on the
type of equipment leased hereunder by businesses in which Lessee is engaged in
such amounts, in such form, and with insurers satisfactory to Lessor; provided,
however, that the amount of insurance against damage or loss shall not be less
than the greater of (a) the replacement value of the Equipment and (b) the
stipulated loss value of the Equipment specified in the applicable Schedule
("Stipulated Loss Value"). Each liability insurance policy shall provide
coverage (including, without limitation, personal injury coverage) of not less
than $1,000,000 for each occurrence, and shall name Lessor as an additional
insured; and each property damage policy shall name Lessor as sole loss payee
and all policies shall contain a clause requiring the insurer to give Lessor at
least thirty days' prior written notice of any alteration in the terms or
cancellation of the policy. Lessee shall
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furnish to Lessor a certificate of insurance, and upon request, a copy of each
insurance policy (with endorsements) or other evidence satisfactory to Lessor
that the required insurance coverage is in effect; provided, however, Lessor
shall have no duty to ascertain the existence of or to examine the insurance
policies to advise Lessee if the insurance coverage does not comply with the
requirements of this Paragraph. If Lessee fails to insure the Equipment as
required, Lessor shall have the right but not the obligation to obtain such
insurance, and the cost of the insurance shall be for the account of Lessee due
as part of the next due Rent. Lessee consents to Lessor's release, upon its
failure to obtain appropriate insurance coverage, of any and all information
necessary to obtain insurance with respect to the Equipment or Lessor's interest
therein.
Until the Equipment is returned to and received by Lessor as
provided in Paragraph 14 above, Lessee shall bear the entire risk of theft or
destruction of, or damage to, the Equipment including, without limitation, any
condemnation, seizure, or requisition of title or use ("Casualty Loss"). No
Casualty Loss shall relieve Lessee from its obligations to pay Rent except as
provided in clause (b) below. When any Casualty Loss occurs, Lessee shall
immediately notify Lessor and, at the option of Lessor, shall promptly (a) place
such Equipment in good repair and working order; or (b) pay Lessor an amount
equal to the Stipulated Loss Value of such Equipment and all other amounts
(excluding Rent) payable by Lessee hereunder, together with a late charge on
such amounts at a rate per annum equal to the rate imputed in the Rent payments
hereunder (as reasonably determined by Lessor) from the date of the Casualty
Loss through the date of payment of such amounts, whereupon Lessor shall
transfer to Lessee, without recourse or warranty (express or implied), all of
Lessor's interest, if any, in and to such Equipment on an "AS IS, WHERE IS"
basis. The proceeds of any insurance payable with respect to the Equipment shall
be applied, at the option of Lessor, either towards (i) repair of the Equipment
or (ii) payment of any of Lessee's obligations hereunder. Lessee hereby appoints
Lessor as Lessee's attorney-in-fact to make claim for, receive payment of, and
execute and endorse all documents, checks or drafts issued with respect to any
Casualty Loss under any insurance policy relating to the Equipment.
16. TAXES. Lessee shall pay when due, and indemnify and hold
Lessor harmless from, all sales, use, excise, and other taxes, charges, and fees
(including, without limitation, income, franchise, business and occupation,
gross receipts, licensing, registration, titling, personal property, stamp and
interest equalization taxes, levies, imposts, duties, charges, or withholdings
of any nature), and any fines, penalties, or interest thereon, imposed or levied
by any governmental body, agency, or tax authority upon or in connection with
the Equipment, its purchase, ownership, delivery, leasing, possession, use, or
relocation of the Equipment or otherwise in connection with the transactions
contemplated by each Lease or the Rent thereunder, excluding taxes on or
measured by the net income of Lessor. Upon request, Lessee will provide proof of
payment. Unless Lessor elects otherwise, Lessor will pay all property taxes on
the Equipment for which Lessee shall reimburse Lessor promptly upon request.
Lessee shall timely prepare and file all reports and returns which are required
to be made with respect to any obligation of Lessee under this Paragraph 16.
Lessee shall, to the extent permitted by law, cause all xxxxxxxx of such fees,
taxes, levies, imposts, duties, withholdings, and governmental charges to be
made to Lessor in care of Lessee. Upon request, Lessee will provide Lessor with
copies of all such xxxxxxxx.
17. LESSOR'S PAYMENT. If Lessee fails to perform its obligations
under Paragraph 15 or 16 above, or Paragraph 23 below, Lessor shall have the
right to substitute performance, in which case Lessee shall immediately
reimburse Lessor therefor.
18. GENERAL INDEMNITY. Each Lease is a net lease. Therefore,
Lessee shall indemnify Lessor and its successors and assigns against, and hold
Lessor and its successors and assigns harmless from, any and all claims,
actions, damages, obligations, liabilities, and all costs and expenses,
including, without limitation, legal fees incurred by Lessor or its successors
and assigns arising out of each Lease including, without limitation, the
purchase, ownership, delivery, lease, possession, maintenance, condition, use,
or return of the Equipment, or arising by operation of law, except that Lessee
shall not be liable for any claims, actions, damages, obligations, and costs and
expenses determined by a non-appealable, final order of a court of competent
jurisdiction to have occurred as a result of the gross negligence or willful
misconduct of Lessor or its successors and assigns. Lessee agrees that upon
written notice by Lessor of the assertion of any claim, action, damage,
obligation, liability, or lien, Lessee shall assume full responsibility for the
defense thereof, provided that Lessor's failure to give such notice shall not
limit or otherwise affect its rights hereunder. Any payment pursuant to this
Paragraph (except for any payment of Rent) shall be of such amount as shall be
necessary so that, after payment of any taxes required to be paid thereon by
Lessor, including taxes on or measured by the net income of Lessor, the balance
will equal the
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amount due hereunder. The provisions of this Paragraph with regard to matters
arising during a Lease shall survive the expiration or termination of such
Lease.
19. ASSIGNMENT BY LESSEE. Lessee shall not, without the prior
written consent of Lessor, (a) assign, transfer, pledge, or otherwise dispose of
any Lease or Equipment, or any interest therein; (b) sublease or lend any
Equipment or permit it to be used by anyone other than Lessee and its employees;
or (c) move any Equipment from the location specified for it in the applicable
Schedule, except that Lessee may move Equipment to another location within the
United States provided that Lessee has delivered to Lessor (A) prior written
notice thereof and (B) duly executed financing statements and other agreements
and instruments (all in form and substance satisfactory to Lessor) necessary or,
in the opinion of the Lessor, desirable to protect Lessor's interest in such
Equipment. Notwithstanding anything to the contrary in the immediately preceding
sentence, Lessee may keep any Equipment consisting of motor vehicles or rolling
stock at any location in the United States.
20. ASSIGNMENT BY LESSOR. Lessor may assign its interest or
grant a security interest in any Lease and the Equipment individually or
together, in whole or in part. If Lessee is given written notice of any such
assignment, it shall immediately make all payments of Rent and other amounts
hereunder directly to such assignee. Each such assignee shall have all of the
rights of Lessor under each Lease assigned to it. Lessee shall not assert
against any such assignee any set-off, defense, or counterclaim that Lessee may
have against Lessor or any other person.
21. DEFAULT; NO WAIVER. Lessee or any guarantor of any or all of
the obligations of Lessee hereunder (together with Lessee, the "Lease Parties")
shall be in default under each Lease upon the occurrence of any of the following
events (each, an "Event of Default"): (a) Lessee fails to pay within five days
of when due any amount required to be paid by Lessee under or in connection with
any Lease; (b) any of the Lease Parties fails to perform any other provision
under or in connection with a Lease or violates any of the covenants or
agreements of such Lease Party under or in connection with a Lease; (c) any
representation made or financial information delivered or furnished by any of
the Lease Parties under or in connection with a Lease shall prove to have been
inaccurate in any material respect when made; (d) any of the Lease Parties makes
an assignment for the benefit of creditors, whether voluntary or involuntary, or
consents to the appointment of a trustee or receiver, or if either shall be
appointed for any of the Lease Parties or for a substantial part of its property
without its consent and, in the case of any such involuntary proceeding, such
proceeding remains undismissed or unstayed for forty-five days following the
commencement thereof; (e) any petition or proceeding is filed by or against any
of the Lease Parties under any Federal or State bankruptcy or insolvency code or
similar law and, in the case of any such involuntary petition or proceeding,
such petition or proceeding remains undismissed or unstayed for forty-five days
following the filing or commencement thereof, or any of the Lease Parties takes
any action authorizing any such petition or proceeding; (f) any of the Lease
Parties fails to pay when due any indebtedness for borrowed money or under
conditional sales or installment sales contracts or similar agreements, leases,
or obligations evidenced by bonds, debentures, notes, or other similar
agreements or instruments to any creditor (including Lessor under any other
agreement) after any and all applicable cure periods therefor shall have
elapsed; (g) any judgment shall be rendered against any of the Lease Parties
which shall remain unpaid or unstayed for a period of sixty days; (h) any of the
Lease Parties shall dissolve, liquidate, wind up or cease its business, sell or
otherwise dispose of all or substantially all of its assets, or make any
material change in its lines of business; (i) any of the Lease Parties shall
amend or modify its name, unless such Lease Party delivers to Lessor, thirty
days prior to any such proposed amendment or modification, written notice of
such amendment or modification and within ten days before such amendment or
modification delivers executed financing statements (in form and substance
satisfactory to the Lessor); (j) any of the Lease Parties shall merge or
consolidate with any other entity or make any material change in its capital
structure, in each case without Lessor's prior written consent, which shall not
be unreasonably withheld; (k) any of the Lease Parties shall suffer any loss or
suspension of any material license, permit, or other right or asset necessary to
the profitable conduct of its business, fail generally to pay its debts as they
mature, or call a meeting for purposes of compromising its debts; (l) any of the
Lease Parties shall deny or disaffirm its obligations hereunder or under any of
the documents delivered in connection herewith; or (m) there is a change in more
than 35% of the ownership of any equity interests of any of the Lease Parties on
the date hereof or more than 35% of such interests become subject to any
contractual, judicial or statutory lien, charge, security interest, or
encumbrance.
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22. REMEDIES. Upon the occurrence and continuation of an Event
of Default, Lessor shall have the right, in its sole discretion, to exercise any
one or more of the following remedies: (a) terminate each Lease; (b) declare any
and all Rent and other amounts then due and any and all Rent and other amounts
to become due under each Lease (collectively, the "Lease Obligations")
immediately due and payable; (c) take possession of any or all items of
Equipment, wherever located, without demand, notice, court order, or other
process of law, and without liability for entry to Lessee's premises, for damage
to Lessee's property, or otherwise; (d) demand that Lessee immediately return
any or all Equipment to Lessor in accordance with Paragraph 14 above, and, for
each day that Lessee shall fail to return any item of Equipment, Lessor may
demand an amount equal to the Rent payable for such Equipment in accordance with
Paragraph 14 above; (e) lease, sell, or otherwise dispose of the Equipment in a
commercially reasonable manner, with or without notice and on public or private
bid; (f) recover the following amounts from the Lessee (as damages, including
reimbursement of costs and expenses, liquidated for all purposes and not as a
penalty): (i) all costs and expenses of Lessor reimbursable to it hereunder,
including, without limitation, expenses of disposition of the Equipment, legal
fees, and all other amounts specified in Paragraph 23 below; (ii) an amount
equal to the sum of (A) any accrued and unpaid Rent through the later of (1) the
date of the applicable default, (2) the date that Lessor has obtained possession
of the Equipment, or (3) such other date as Lessee has made an effective tender
of possession of the Equipment to Lessor (the "Default Date") and (B) if Lessor
resells or re-lets the Equipment, Rent at the periodic rate provided for in each
Lease for the additional period that it takes Lessor to resell or re-let all of
the Equipment; (iii) the present value of all future Rent reserved in the Leases
and contracted to be paid over the unexpired Term of the Leases discounted at
five percent compound interest; (iv) the reversionary value of the Equipment as
of the expiration of the Term of the applicable Lease as set forth on the
applicable Schedule; and (v) any indebtedness for Lessee's indemnity under
Paragraph 18 above, plus a late charge at the rate specified in Paragraph 3
above, less the amount received by Lessor, if any, upon sale or re-let of the
Equipment; and (g) exercise any other right or remedy to recover damages or
enforce the terms of the Leases. Upon the occurrence and continuance of an Event
of Default or an event which with the giving of notice or the passage of time,
or both, would result in an Event of Default, Lessor shall have the right,
whether or not Lessor has made any demand or the obligations of Lessee hereunder
have matured, to appropriate and apply to the payment of the obligations of
Lessee hereunder all security deposits and other deposits (general or special,
time or demand, provisional or final) now or hereafter held by and other
indebtedness or property now or hereafter owing by Lessor to Lessee. Lessor may
pursue any other rights or remedies available at law or in equity, including,
without limitation, rights or remedies seeking damages, specific performance,
and injunctive relief. Any failure of Lessor to require strict performance by
Lessee, or any waiver by Lessor of any provision hereunder or under any
Schedule, shall not be construed as a consent or waiver of any other breach of
the same or of any other provision. Any amendment or waiver of any provision
hereof or under any Schedule or consent to any departure by Lessee herefrom or
therefrom shall be in writing and signed by Lessor.
No right or remedy is exclusive of any other provided herein or
permitted by law or equity. All such rights and remedies shall be cumulative and
may be enforced concurrently or individually from time to time.
23. LESSOR'S EXPENSE. Lessee shall pay Lessor on demand all
costs and expenses (including legal fees and expenses) incurred in connection
with the preparation, execution and delivery of this Agreement and other
agreement and transaction contemplated hereby and all costs and expenses in
protecting and enforcing Lessor's rights and interests in each Lease and the
Equipment, including, without limitation, legal, collection, and remarketing
fees and expenses incurred by Lessor in enforcing the terms, conditions, or
provisions of each Lease or upon the occurrence and continuation of an Event of
Default.
24. LESSEE'S WAIVERS. To the extent permitted by applicable law,
Lessee hereby waives any and all rights and remedies conferred upon a lessee by
Sections 2A-508 through 2A-522 of the UCC. To the extent permitted by applicable
law, Lessee also hereby waives any rights now or hereafter conferred by statute
or otherwise which may require Lessor to sell, lease, or otherwise use any
Equipment in mitigation of Lessor's damages as set forth in Paragraph 22 above
or which may otherwise limit or modify any of Lessor's rights or remedies under
Paragraph 22. Any action by Lessee against Lessor for any default by Lessor
under any Lease shall be commenced within one year after any such cause of
action accrues.
25. NOTICES; ADMINISTRATION. Except as otherwise provided
herein, all notices, approvals, consents, correspondence, or other
communications required or desired to be given hereunder shall be given in
writing and shall be delivered by overnight courier, hand delivery, or certified
or registered mail, postage
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prepaid, if to Lessor, then to Transamerica Technology Finance Division, 00
Xxxxxxxxx Xxxx Xxxx, Xxxxxxxxxx, Xxxxxxxxxxx 00000, Attention: Assistant Vice
President, Lease Administration, with a copy to Lessor at Riverway II, West
Office Tower, 0000 Xxxx Xxxxxxx Xxxx, Xxxxxxxx, Xxxxxxxx 00000, Attention: Legal
Department, if to Lessee, then to The Lightspan Partnership, Inc., 00000 Xxxxxx
Xxxxx Xxxxx, Xxx Xxxxx, Xxxxxxxxxx 00000, Attention: Xxxxxxxx X. Xxxx, Vice
President Finance and Administration or such other address as shall be
designated by Lessee or Lessor to the other party. All such notices and
correspondence shall be effective when received.
26. REPRESENTATIONS. Lessee represents and warrants to Lessor
that (a) Lessee is duly organized, validly existing, and in good standing under
the laws of the State of its incorporation; (b) the execution, delivery, and
performance by Lessee of this Agreement are within Lessee's powers, have been
duly authorized by all necessary action, and do not and will not contravene (i)
Lessee's organizational documents or (ii) any law, regulation, rule, or
contractual restriction binding on or affecting Lessee; (c) no authorization or
approval or other action by, and no notice to or filing with, any governmental
authority or regulatory body is required for the due execution, delivery, and
performance by Lessee of this Agreement; (d) each Lease constitutes the legal,
valid, and binding obligations of Lessee enforceable against Lessee in
accordance with its terms; (e) the cost of each item of Equipment does not
exceed the fair and usual price for such type of equipment purchased in like
quantity and reflects all discounts, rebates, and allowances for the Equipment
(including, without limitation, discounts for advertising, prompt payment,
testing, or other services) given to the Lessee by the manufacturer, supplier,
or any other person; and (f) all information supplied by Lessee to Lessor in
connection herewith is correct and does not omit any material statement
necessary to insure that the information supplied is not misleading.
27. FURTHER ASSURANCES. Lessee, upon the request of Lessor, will
execute, acknowledge, record, or file, as the case may be, such further
documents and do such further acts as may be reasonably necessary, desirable, or
proper to carry out more effectively the purposes of this Agreement. Lessee
hereby appoints Lessor as its attorney-in-fact to execute on behalf of Lessee
and authorizes Lessor to file without Lessee's signature any UCC financing
statements and amendments Lessor deems advisable.
28. FINANCIAL STATEMENTS. Lessee shall deliver to Lessor: (a) as
soon as available, but not later than 120 days after the end of each fiscal year
of Lessee and its consolidated subsidiaries, the consolidated balance sheet,
income statement, and statements of cash flows and shareholders equity for
Lessee and its consolidated subsidiaries (the "Financial Statements") for such
year, reported on by independent certified public accountants without an adverse
qualification; and (b) as soon as available, but not later than 60 days after
the end of each of the first three fiscal quarters in any fiscal year of Lessee
and its consolidated subsidiaries, the Financial Statements for such fiscal
quarter, together with a certification duly executed by a responsible officer of
Lessee that such Financial Statements have been prepared in accordance with
generally accepted accounting principles and are fairly stated in all material
respects (subject to normal year-end audit adjustments). Lessee shall also
deliver to Lessor as soon as available copies of all press releases and other
similar communications issued by Lessee.
29. CONSENT TO JURISDICTION. Lessee irrevocably submits to the
jurisdiction of any Illinois state or federal court sitting in Illinois for any
action or proceeding arising out of or relating to this Agreement or the
transactions contemplated hereby, and Lessee irrevocably agrees that all claims
in respect of any such action or proceeding may be heard and determined in such
Illinois state or federal court.
30. WAIVER OF JURY TRIAL. LESSEE AND LESSOR IRREVOCABLY WAIVE
ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM ARISING
OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.
31. FINANCE LEASE. Lessee and Lessor agree that each Lease is a
"Finance Lease" as defined by Section 2A-103(g) of the UCC. Lessee acknowledges
that Lessee has reviewed and approved each written Supply Contract (as defined
by UCC 2A-103(y)) covering Equipment purchased from each "Supplier" (as defined
by UCC 2A-103(x)) thereof.
32. NO AGENCY. Lessee acknowledges and agrees that neither the
manufacturer or supplier, nor any salesman, representative, or other agent of
the manufacturer or supplier, is an agent of Lessor. No
8
salesman, representative, or agent of the manufacturer or supplier is authorized
to waive or alter any term or condition of this Agreement or any Schedule and no
representation as to the Equipment or any other matter by the manufacturer or
supplier shall in any way affect Lessee's duty to pay Rent and perform its other
obligations as set forth in this Agreement or any Schedule.
33. SPECIAL TAX INDEMNIFICATION. Lessee acknowledges that
Lessor, in determining the Rent due hereunder, has assumed that certain tax
benefits as are provided to an owner of property under the Internal Revenue Code
of 1986, as amended (the "Code"), and under applicable state tax law, including,
without limitation, depreciation deductions under Section 168(b) of the Code,
and deductions under Section 163 of the Code in an amount at least equal to the
amount of interest paid or accrued by Lessor with respect to any indebtedness
incurred by Lessor in financing its purchase of the Equipment, are available to
Lessor as a result of the lease of the Equipment. In the event Lessor is unable
to obtain such tax benefits as a result of an act or omission of Lessee, is
required to include in income any amount other than the Rent, or is required to
recognize income in respect of the Rent earlier than anticipated pursuant to
this Agreement, Lessee shall pay Lessor additional rent ("Additional Rent") in a
lump sum in an amount needed to provide Lessor with the same after-tax yield and
after-tax cash flow as would have been realized by Lessor had Lessor (i) been
able to obtain such tax benefits, (ii) not been required to include any amount
in income other than the Rent, and (iii) not been required to recognize income
in respect of the Rent earlier than anticipated pursuant to this Agreement. The
Additional Rent shall be computed by Lessor, which computation shall be binding
on Lessee. The Additional Rent shall be due immediately upon written notice by
Lessor to Lessee of Lessor's inability to obtain tax benefits, the inclusion of
any amount in income other than the Rent or the recognition of income in respect
of the Rent earlier than anticipated pursuant to this Agreement. The provisions
of this Paragraph 33 shall survive the termination of this Agreement.
34. GOVERNING LAW; SEVERABILITY. EACH LEASE SHALL BE GOVERNED BY
THE LAWS OF THE STATE OF ILLINOIS WITHOUT GIVING EFFECT TO THE CONFLICT OF LAW
PRINCIPLES THEREOF. IF ANY PROVISION SHALL BE HELD TO BE INVALID OR
UNENFORCEABLE, THE VALIDITY AND ENFORCEABILITY OF THE REMAINING PROVISIONS SHALL
NOT IN ANY WAY BE AFFECTED OR IMPAIRED.
LESSEE ACKNOWLEDGES THAT LESSEE HAS READ THIS AGREEMENT AND THE SCHEDULE HERETO,
UNDERSTANDS THEM, AND AGREES TO BE BOUND BY THEIR TERMS AND CONDITIONS. FURTHER,
LESSEE AND LESSOR AGREE THAT THIS AGREEMENT, THE SCHEDULES DELIVERED IN
CONNECTION HEREWITH FROM TIME TO TIME, AND THE COMMITMENT LETTER ARE THE
COMPLETE AND EXCLUSIVE STATEMENT OF THE AGREEMENT BETWEEN THE PARTIES,
SUPERSEDING ALL PROPOSALS OR PRIOR AGREEMENTS, ORAL OR WRITTEN, AND ALL OTHER
COMMUNICATIONS BETWEEN THE PARTIES RELATING TO THE SUBJECT MATTER HEREOF. SHOULD
THERE EXIST ANY INCONSISTENCY BETWEEN THE TERMS OF THE COMMITMENT LETTER AND
THIS AGREEMENT, THE TERMS OF THIS AGREEMENT SHALL PREVAIL.
9
IN WITNESS WHEREOF, the parties hereto have executed or caused
this Agreement to be duly executed by their duly authorized officers as of the
date first written above.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ [Signature Illegible]
---------------------------------
Name:
Title: VP FINANCE
Federal Tax ID No.:
TRANSAMERICA BUSINESS CREDIT
CORPORATION
By:
---------------------------------
Name:
Title:
10
SECRETARY'S CERTIFICATE
I, Xxxxx Xxxxxx hereby state that I am the duly elected, acting and
qualified Secretary of The Lightspan Partnership, Inc., a California
corporation(the "Company"), and that:
(a) Through a unanimous consent in lieu of a Board of Directors meeting
of the Company, proposed in accordance with its bylaws and the laws of said
State on the 18th day of September, 1997, signed by a quorum for the
transaction of business, the following resolutions were duly and regularly
adopted:
RESOLVED, that the form, terms and provisions of all of the documents
and instruments executed by the Company with and/or in favor of Transamerica
Business Credit Corporation(the "Agreements"),and the transactions contemplated
thereby be, and the same are, in all respects approved, and that the President,
each Vice President and each other officer of the Company (the "Authorized
Persons"), or any of them, be, and they hereby are, authorized, empowered, and
directed to execute and deliver the Agreements and any and all other agreements,
documents, instruments and certificates required or desirable in connection
therewith, if necessary or advisable, with such changes as they may deem in the
best interest of the Company, and their execution and delivery of the
Agreements, and all such other agreements, documents, instruments and
certificates, shall be deemed to be conclusive evidence that the same are in all
respects authorized and approved; and be it further
RESOLVED, that the actions of any Authorized Person heretofore taken in
furtherance of the Agreements be, and hereby are, approved, adopted and ratified
in all respects.
(i) The above resolutions: (a) are not contrary to the Articles or
Certificate of Incorporation or bylaws of the Company and (b) have not been
amended, modified, rescinded or revoked and are in full force and effect on the
date hereof.
(iii) The following persons are duly qualified and acting officers of
the Company, duly elected to the offices set forth opposite their respective
names, and the signature appearing opposite the name of each such officer is his
authentic signature:
Name Office Signature
---- ------ ---------
Xxxx Xxxxxx President & COO /s/ XXXX XXXXXX
--------------- ---------------------- -----------------
Xxxxxxxx Xxxx VP Finance & Treasurer /s/ Xxxxxxxx Xxxx
--------------- ---------------------- -----------------
--------------- ---------------------- -----------------
IN WITNESS WHEREOF, I have executed this Certificate, this ___ day of
________________, 1997.
/s/ [Signature Illegible]
------------------------------
Secretary
[CORPORATE SEAL]
-1-
11
EXHIBIT A
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for One Hundred Thousand and 00/100 Dollars ($100,000.00) and other
valuable consideration to it in hand paid, receipt of which is hereby
acknowledged, does unconditionally, absolutely and irrevocably grant, sell,
assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT CORPORATION and
its assignees or successors (collectively, the "Buyer"), all of the Seller's
right, title and interest in and to the equipment described on Exhibit II hereto
(collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 30th day of August, 1997.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXXXXXX XXXX
----------------------------
Name: Xxxxxxxx Xxxx
Title: VP Finance
-8-
12
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for One Hundred Thousand and 00/100 Dollars ($100,000.00) and other
valuable consideration to it in hand paid, receipt of which is hereby
acknowledged, does unconditionally, absolutely and irrevocably grant, sell,
assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT CORPORATION and
its assignees or successors (collectively, the "Buyer"), all of the Seller's
right, title and interest in and to the equipment described on Exhibit II hereto
(collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 30th day of August, 1997.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXXXXXX XXXX
----------------------------
Name: Xxxxxxxx Xxxx
Title: VP Finance
-9-
13
THE LIGHTSPAN PARTNERSHIP, INC.
CONTACT INFORMATION FORM
Please provide us with the names and telephone numbers of the
individuals that we should contact when inquiring about the following:
1. DOCUMENTATION QUESTIONS
2. ACCOUNTS PAYABLE
3. EQUIPMENT QUESTIONS
4. INSURANCE QUESTIONS
1. NAME: Xxxxx Xxxxx PHONE:(000)000-0000
2. NAME: Xxxx Xxxx PHONE:(000)000-0000
FAX:(000)000-0000
BILLING ADDRESS: 00000 Xxxxxx Xxxxx Xx.
Xxx Xxxxx XX 00000
3. NAME: Xxxxx Xxxxx PHONE:(000)000-0000
4. NAME: Xxxxx Xxxxx PHONE: (000)000-0000
(PLEASE PRINT)
14
------------------------------------------------------------------------------------------------------------------------------------
DATE (MM/DD/YY)
XXXXX. CERTIFICATE OF INSURANCE 08/20/97
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
XXXXXXX & XXXXXXX ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
0000 XXXXXXXXX XXXXXX, XXXXX 000 HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
XXX XXXXX, XX 00000 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
-------------------------------------------------------------------
(000) 000-0000 COMPANY
00003-00005 A ST. XXXX FIRE & MARINE INSURANCE COMPANY
------------------------------------------------------------------------------------------------------------------------------------
INSURED COMPANY
B
THE LIGHTSPAN PARTNERSHIP, INC ------------------------------------------------------------------
0000 XXXXXXX XXXXXX, XXXXX 00 XXXXXXX
XXXXXXXX, XX 00000 C
-------------------------------------------------------------------
COMPANY
D
------------------------------------------------------------------------------------------------------------------------------------
COVERAGES
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY
PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH
THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN. THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE
TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
------------------------------------------------------------------------------------------------------------------------------------
CO
LTR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE POLICY EXPIRATION LIMITS
DATE (MM/DD/YY) DATE (MM/DD/YY)
------------------------------------------------------------------------------------------------------------------------------------
A GENERAL LIABILITY TE 06101086 11/01/96 11/01/97 GENERAL AGGREGATE $2,000,000
---------------------------------
[X] COMMERCIAL GENERAL LIABILITY PRODUCTS-COMP/OP AGG $2,000,000
---------------------------------
[ ] [ ] CLAIMS MADE [X] OCCUR PERSONAL & ADV INJURY $1,000,000
---------------------------------
[ ] OWNER'S & CONTRACTOR'S PROT EACH OCCURRENCE $1,000,000
---------------------------------
[ ] ____________________________ FIRE DAMAGE
(Any one fire) $ 250,000
[ ] ---------------------------------
MED EXP
(Any one person) $ 10,000
------------------------------------------------------------------------------------------------------------------------------------
A AUTOMOBILE LIABILITY
COMBINED SINGLE LIMIT $
[ ] ANY AUTO ---------------------------------
[ ] ALL OWNED AUTOS BODILY INJURY $
[ ] SCHEDULED AUTOS (Per person)
[ ] HIRED AUTOS ---------------------------------
[ ] NON-OWNED AUTOS BODILY INJURY $
[ ] ___________________________ (Per accident)
[ ] ---------------------------------
PROPERTY DAMAGE $
------------------------------------------------------------------------------------------------------------------------------------
GARAGE LIABILITY AUTO ONLY - EA $
ACCIDENT
[ ] ANY AUTO ---------------------------------
[ ] ___________________________ OTHER THAN AUTO ONLY:
[ ] ---------------------------------
EACH ACCIDENT $
--------------------------------
AGGREGATE $
------------------------------------------------------------------------------------------------------------------------------------
EXCESS LIABILITY EACH OCCURRENCE $
---------------------------------
[ ] UMBRELLA FORM AGGREGATE $
[ ] OTHER THAN UMBRELLA FORM ---------------------------------
$
------------------------------------------------------------------------------------------------------------------------------------
WORKERS COMPENSATION AND [ ] STATUTORY LIMITS
EMPLOYERS' LIABILITY ---------------------------------
THE PROPRIETOR/ EACH ACCIDENT $
PARTNERS/EXECUTIVE [ ] INCL ---------------------------------
OFFICERS ARE: [ ] EXCL DISEASE - POLICY LIMIT $
---------------------------------
DISEASE - EACH $
EMPLOYEE
------------------------------------------------------------------------------------------------------------------------------------
A OTHER TE 06101086 11/01/96 11/01/97 $590,000 BUS.PERS.PROP
PROPERTY COVERAGE $1,765,000 BLKT.EDP.EQUIP.
SPECIAL FORM $1,000 DEDUCTIBLE
EXCL. EQ AND FLOOD REPLACEMENT COST
------------------------------------------------------------------------------------------------------------------------------------
DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/SPECIAL ITEMS (LIMITS MAY HAVE BEEN REDUCED BY PAID CLAIMS AND MAY HAVE DEDUCTIBLES OR
RETENTIONS)
CERTIFICATE HOLDER IS NAMED AS ADDITIONAL INSURED (GENERAL LIABILITY) AND LOSS PAYEE (PROPERTY) AS RESPECTS EQUIPMENT LEASED TO
THE NAMED INSURED BY THE CERTIFICATE HOLDER.
------------------------------------------------------------------------------------------------------------------------------------
CERTIFICATE HOLDER CANCELLATION
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE
TECHNOLOGY FINANCE DIVISION ("TBCC") EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL
00 XXXXXXXXX XXXX XXXX 030 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,
FARMINGTON, CT 06032 2571 BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY
OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES.
AUTHORIZED REPRESENTATIVE
XXXXX X. XXXXXXXX /s/ XXXXX X. XXXXXXXX
------------------------------------------------------------------------------------------------------------------------------------
XXXXX 25-S (3/93) (c)XXXXX CORPORATION 1988
------------------------------------------------------------------------------------------------------------------------------------
15
0088888000021004
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform
Commercial Code and will remain effective, with certain exceptions, for 5 years
from date of filing.
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT #
(optional)
_______________________________________________
C. RETURN COPY TO: (Name and Mailing Address)
Data File Services, Inc.
X.X. Xxx 000
Xxx Xxxx, XX 00000-0000
D. OPTIONAL DESIGNATION (if applicable): LESSOR/LESSEE CONSIGNOR/CONSIGNEE
NON-UCC FILING
_____________________________________________________________________________
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b)
FILED WITH CALIFORNIA
1a. ENTITY'S NAME
THE LIGHTSPAN PARTNERSHIP, INC.
OR
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00000 XXXXXX XXXXX XXXXX XXX XXXXX XX 00000
1d. S.S. OR TAX I.D. # OPTIONAL
ADD'NL INFO RE
ENTITY DEBTOR
1e. TYPE OF ENTITY
1f. ENTITY'S STATE OR COUNTRY OF ORGANIZATION
1g. ENTITY'S ORGANIZATIONAL I.D. #, if any NONE
_______________________________________________________________________________
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name
(2a or 2b) 1070-001 1070-001
2a. ENTITY'S NAME
OR
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
2d. S.S. OR TAX I.D. # OPTIONAL
ADD'NL INFO RE
ENTITY DEBTOR
2e. TYPE OF ENTITY
2f. ENTITY'S STATE OR COUNTRY OF ORGANIZATION
2g. ENTITY'S ORGANIZATIONAL I.D. #, if any NONE
________________________________________________________________________________
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME -
insert only one secured party name (3a or 3b)
3a. ENTITY'S NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
3c. MAILING ADDRESS
0000 XXXX XXXXXXX XXXX, XXXXX 000
XXXX XXXXX COUNTRY POSTAL CODE
XXXXXXXX XX 00000
______________________________________________________________________________
4. This FINANCING STATEMENT covers the following types or items of property:
See attached extension sheet for Collateral Statement
_______________________________________________________________________________
5. CHECK [ ] This FINANCING STATEMENT is signed by he Secured Party
BOX instead of the Debtor to perfect a security interest (a) in
collateral already subject to a security interest in another
jurisdiction when it was brought into this state, or when
(if the debtor's location was changed to this state, or (b) in
applicable) accordance with other statutory provisions (additional data
may be required)
________________________________________________________________________________
6. REQUIRED SIGNATURE(S)
THE LIGHTSPAN PARTNERSHIP, INC.
XXXXXXXX X. XXXX VICE PRESIDENT /s/ XXXXXXXX X. XXXX
_______________________________________________________________________________
7. If filed in Florida (check one)
[ ] Documentary stamp tax paid
[ ] Documentary stamp tax not applicable
_______________________________________________________________________________
8. [ ] This FINANCING STATEMENT is to be filed (for record) (or recorded) in
the REAL ESTATE RECORDS
Attach Addendum (if applicable)
_______________________________________________________________________________
9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional)
[ ] All Debtors
[ ] Debtor 1
[ ] Debtor 2
_______________________________________________________________________________
(1) FILING OFFICER COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1)
(TRANS)(REV. 12/18/95)
16
SCHEDULE TO MASTER LEASE AGREEMENT
Dated as of October 22, 1997
Schedule No. 1
LESSOR NAME & MAILING ADDRESS LESSEE NAME & MAILING ADDRESS
Transamerica Business Credit Corporation The Lightspan Partnership, Inc.
Riverway II 00000 Xxxxxx Xxxxx Xxxxx
Xxxx Xxxxxx Xxxxx Xxx Xxxxx, Xxxxxxxxxx 00000
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Equipment Location (if different than Lessee's address above):
This Schedule covers the following described equipment ("Equipment"):
See Exhibit II attached hereto and made a part hereof.
The Equipment is hereby leased pursuant to the provisions of the Master Lease
Agreement between the undersigned Lessee and Lessor dated August 14, 1997 (the
"Master Lease"), the terms of which are incorporated herein by reference
thereto, plus the following additional terms, provisions, and modifications. The
Lessor reserves the right to adjust the monthly payments in accordance with the
Commitment Letter dated August 5, 1997, if the Lessor has not received this
Schedule and an Acceptance and Delivery Certificate executed by the Lessee
within five business days from the date first set forth above.
1. Term (Number of Months) 36 months
2. Equipment Cost $260,864.65
3. Commencement Date October 30, 1997
4. Rate Factor 3.169% of Equipment Cost
5. Total Rents $297,604.80
Total sales/use tax $ 22,972.68 $320,577.48
-----------
6. Advance Rents (first month) $ 8,266.80
Sales/use tax for advance rent $ 638.13 $8,904.93
-----------
7. Monthly rental payments $ 8,266.80
Monthly sales/use tax $ 638.13 $8,904.93
-----------
and the second such rental payment
will be due on December 1, 1997
and subsequent rental payments will
be due on the same day of each month thereafter
8. Security Deposit NONE
9. In addition to the monthly rental
payments provided for herein, Lessee shall
pay to Lessor, as interim rent, payable on
the commencement date specified above, an
amount equal to 1/30th of the monthly rental
payment (including monthly sales/use tax)
multiplied by the number of days from and
including the commencement date through the
end of the same calendar month. $593.66
17
Equipment Location with Tax Rates
SALES TAX
EQUIPMENT SALES TAX TAX RATE PAYMENT INTERIM MONTHLY
COST LOCATION RATE AMOUNT FACTOR AMOUNT RENT TAX PAYMENT
---- -------- ---- ------ ------ ------ ---- -----------
$ 395.50 LANDSDALE, PA 7.00% 27.69 3.169% 12.60 .06 .89
$ 200.00 COLUMBUS, OHIO 5.75% 11.50 3.169% 6.30 .02 .37
$ 395.50 WASHINGTON, D.C. 5.75% 22.74 3.169% 12.60 .05 .72
$ 386.50 XXXXXXXX, MD 5.00% 19.33 3.169% 12.30 .04 .62
$ 386.50 MARIETTA, GA 5.00% 19.33 3.169% 12.30 .04 .61
$ 386.50 PENFIELD, NY 8.00% 30.92 3.169% 12.30 .06 .98
$ 372.50 MICHIGAN CITY, IN 5.00% 18.63 3.169% 11.85 .04 .59
$ 745.00 DENVER, CO 7.30% 54.39 3.169% 23.55 .11 1.72
$ 372.50 PHOENIX, AZ 7.05% 26.26 3.169% 11.85 .06 .83
$ 413.22 VANCOUVER, WA 7.60% 31.40 3.169% 13.05 .07 .99
$ 389.98 PASSAIC, NJ 6.00% 23.40 3.169% 12.30 .00 .00
$ 360.50 NEW YORK, NY 8.25% 29.74 3.169% 11.40 .06 .94
$ 391.50 SEATTLE, WA 8.60% 33.67 3.169% 12.45 .07 1.07
$ 167.50 MAPLETON, UT 6.00% 10.05 3.169% 5.10 .02 .30
$ 255,501.45 SAN DIEGO, CA 7.75% 19,801.36 3.169% 8,096.85 41.84 627.50
$ 260,864.65 $20,136.99 8,266.80 42.54 638.13
Renewal terms:
In the event the Lease does not exercise the Purchase Option described below,
the Lease shall automatically renew for a term of 12 months with Monthly Rental
equal to 1.5% of the original Equipment Cost payable monthly in advance. At the
expiration of the renewal period, the Lessee shall have the option to purchase
all (but not less than all) the Equipment for its then current Fair Market
Value, plus applicable sales and other taxes.
The Lessee shall have the option to purchase all (but not less than all) the
Equipment at the expiration of the term of the lease for the then Fair Market
Value of the Equipment, plus applicable sales and other taxes. It shall be
agreed that the Fair Market Value shall not be less than 10% of the Equipment
Cost nor more than 20% of the Equipment Cost plus applicable dales and other
taxes.
Lessee hereby irrevocably authorizes Lessor to insert in this Schedule the
Commencement Date and the due date of the first rental payment.
Except as expressly provided or modified hereby, all the terms and provisions of
the Master Lease Agreement shall remain in full force and effect.
The Purchase Date shall be October 1, 2000.
The Stipulated Loss Value of any items of Equipment shall be an amount equal to
the present value of all future Rent discounted at a rate of 6% per annum plus
the Reversionary Value.
The Reversionary Value of any item of Equipment shall be 20% of Equipment Cost.
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP,
CORPORATION INC._______________________
(Lessor) (Lessee)
By: /s/ XXX XXXXXXX By: /s/ [Signature Illegible]
------------------------------- ---------------------------------
Xxx Xxxxxxx
Title: ASSISTANT VICE PRESIDENT Title: VP FINANCE
---------------------------- ------------------------------
18
Revised on November 3 1997
CLOSING STATEMENT
LEASEPLUS NO. 0000-000
XXXXXX LIGHTSPAN PARTNERSHIP, INC.
RENTAL SCHEDULE NO. 1
================================================================================
Interim Rent ( 2 Days) @ $275.56 $ 551.12
(10/30/97 through 10/31/97)
Rental Payments
November 1, 1997 $ 8,266.80
SUB-TOTAL $ 8,817.92
Sales/Use Tax (%) Various States (See Attached)
Advanced Rentals $ 638.13
Interim Rent $ 42.54
New Jersey Sales Tax- Due Upfront $ 23.40
SUB-TOTAL $ 704.07
Total for Rentals and Taxes ...................... $ 9,521.99
Documentation Fee $
Includes: UCC Preparation & Filing $____________
Lien Search $____________
Attorney Fee ..................................... $ 1,500.00
Credits .......................................... $ (8,926.62)
Deducted from proceeds $8,926.62
Deducted from commitment fee $1,500.00
GRAND TOTAL DUE........................ $ 595.37 *
PROCEEDS OF SALE LEASEBACK AGREEMENT $260,864.65
LESS: DUE TO TBCC $ 8,926.62
-----------
NET TO LIGHTSPAN PARTNERSHIP $251,938.03
* Notes:
1. Attorney Fee in the amount of $1,500.00 and documentation fee will be
deducted from commitment fee.
2. TBCC will credit $2,217.35 towards payment due December 1, 1997 from
Commitment Fee. Balance of $6,687.58 will be billed.
3. Also, TBCC will deduct $595.37 (revised amount owed to TBCC on Schedule
No. 1 from Commitment Fee.)
Date Prepared 11-3-97
Contract Administration X. Xxxxxxx
Marketing W. Dial
19
EXHIBIT II
To: X Schedule No. 1 to Master Lease Agreement
X UCC
X Sale and Leaseback Agreement
X Xxxx of Sale
Purch. Invoice Submitted
Qty Equipment Description Vendor Date number Costs
--- --------------------- ------ ------ ------- ---------
1 DELL POWEREDGE 4100 & ACCESSORIES Dell 02/10/97 100951888 17,096.00
35 HYUNDAI DELUXSCAN 14S COLOR MONITORS Multiple Zones Internatio 03/05/97 103124101025 6,475.00
1 S60ABC BOOKCASE, 3-OFFICE STAR CHAIRS Office Furniture Networki 03/05/97 13735 245.00
2 SONY MULTISCAN 15SX MONITORS. W/ERASING P Multiple Zones Internatio 03/05/97 105329001018 817.00
1 VIRC042R TABLETOP W/663-36 BASE-CHROME Office Furniture Networki 03/05/97 13736 150.00
1 PERFORMANTX 1400 MONITOR, HPDESKJET 400 Multiple Zones Internatio 03/06/97 106477501016 384.50
58 INTEL PENT 120MHZ SNGLCPU/FAN HEATSINK 00 Multiple Zones Internatio 03/12/97 103124101032 6,902.00
1 TOISHIBA LAPTOP AND ZENITH ACCESSORIES CompuSource 03/17/97 370 3,472.20
1 PERFORMANTZ 1400 MONITOR, 6FT CABLE Multiple Zones Internatio 03/18/97 116813501013 205.50
1 CISCO PRO ETHERSWITCH 1220, 3COM 3C250A-T Vortex Data Systems 03/20/97 962233 5,847.00
1 NOVELL INTRANETWARE UPG4.11 & ACCESSORIE Vortex Data Systems 03/20/97 962298 6,532.00
3 MASONVII MPEG CARD SN-7204093,094,095 Wired 03/21/97 960-12256 1,275.00
1 3.5'LP4.3GB SNJDB63123 7 ACCESSORIES Consan Storage Solution 03/28/97 30977 3,475.00
1 HP DESKJET 400 INKJET PRINTER Multiple Zones Internatio 03/29/97 116813501020 179.00
2 DIGI MIL 180T 100 BASET FIBER CONVERTER Crown Communications 03/31/97 3749 1,078.00
1 PHOTODELUXE & PAGEMANAGER Creative Computer 03/31/97 P18136020102 410.00
4 TOMCAT 1563 SINGLE PENTIUM 512K Multiple Zones Internatio 04/05/97 125770701015 676.00
1 INTEL PENTIUM PRO CPU AND ADEPTEC 2940 CompuSource 04/11/97 412 728.75
1 PERFORMANTZ MONITOR, HP 400, CABLE Multiple Zones Internatio 04/12/97 136040501013 375.50
1 PERFORMANTZ MONITOR, HP 400, CABLE Multiple Zones Internatio 04/12/97 136049501014 375.50
1 PERFORMANTZ MONITOR, HP 400, CABLE Multiple Zones Internatio 04/12/97 136055301011 375.50
10 8MB SIMM EDO 2X32 60NS W MODEM EXT & CABL Creative Computer 04/14/97 P19000450101 1,815.00
4 COMPAQ NETELLIGENT DUAL 10/100 CONT Vortex Data Systems 04/14/97 962436 1,368.00
1 DIM-P166V, I MB VID, MT BASE & ACCESSORIES Dell 04/14/97 108622762 2,529.00
1 4.3GB AV IBM CAPRICORN HD LA CIE Creative Computer 04/16/97 P19084620101 735.00
1 HON17720 2DWRPED,2 GLOBE 30X36 BOOKCASES Office Furniture Networki 04/17/97 13954 512.00
2 TOISHIBA LAPTOP AND TI 100 BATTERY CompuSource 04/17/97 415 535.00
1
20
EXHIBIT II
To: X Schedule No. 1 to Master Lease Agreement
X UCC
X Sale and Leaseback Agreement
X Xxxx of Sale
1 TP 365XD P133 8/1.35GBHD 6CD 11.3 SVGA, THNKP Multiple Zones Internatio 04/19/97 142652801014 2,993.98
13 ZENITH 13"COLOR TV W/ HEADPHONE XXXX Audio Video Supply 04/22/97 40844 2,275.00
10 SVGA 14'MONITORS AND LAN ADAPTER, MEM Creative Computer 04/25/97 P19368360101 3,224.00
1 HYUNDAI DELUXSCAN 14S MEPHA703200844, PRN Multiple Zones Internatio 04/26/97 147208401014 361.50
1 HYUNDAI MONITOR MEHPA 703200851, HP PRINTE Multiple Zones Internatio 04/26/97 147192201010 361.50
1 HYUNDAI MONITOR MEPHA703200870, HP PRNTER Multiple Zones Internatio 04/26/97 147199701018 361.50
1 DIM XPS M200S,512K,XXX.XXXX, TOWER BA Dell 04/30/97 110064581 3,750.00
15 REAL MAGIC MAXIMA WHITE BOX Creative Computer 05/01/97 P19390290101 2,985.00
2 INTEL PENTIUM PRO CPU CompuSource 05/02/97 448 2,342.00
1 DPT PCI SCSI RAID CONTROL CARD & CHIP & AD CompuSource 05/05/97 455 3,570.00
1 PERFORMANTZ MONITOR F16A18946 Multiple Zones Internatio 05/06/97 153214501013 369.50
2 MULTISCAN 200SX TRINITRON MONITORS & ACCE Creative Computer 05/13/97 P19952070101 3,438.00
2 CPU PM9600/233 32/4112X/512K, S/N XB7190E30XJ Apple Computer, Inc. 05/14/97 14167 3,470.00
1 HYUNDAI MONITOR MEPHA703200854,HP PRINTER Multiple Zones Internatio 05/15/97 160017001015 361.50
1 JESIN7P RAID BOX BAY CHASSIS Crown Communications 05/20/97 3845 2,354.00
2 cHEETAH 4LP 4.29GB & ACCESSORIES Multiple Zones Internatio 05/28197 168106501019 3,608.00
2 FILES AND LOCKS Corporate Express 05/28/97 11382476 565.00
15 HYUNDAI DELUXSCAN COLOR MONITORS, 8MB 2X Multiple Zones Internatio 05/28/97 168120501019 4,140.00
15 T024X48X26 OAK TABLES City Office Furniture(Xxxx 05/28/97 ER 5/31 1,518-25
1 COMPAQ 42U RACK19",6 - 4.3GB HOT-PLUGGABLE Vortex Data Systems 05/30/97 963117 9,578.00
25 ZENITH 13"COLOR TV W/ HEADPHONE XXXX Audio Video Supply 05/30/97 41616 4,375.00
1 CAVIAR 2.1GB,16MB 4X32 72 PINS & ACCESSORIES Multiple Zones Internatio 05/31/97 170749601018 1,663.00
1 HYUNDAI 17B COLOR MONITOR MEGHA610301957 Multiple Zones Internatlo 05/31/97 170756801012 369.98
15 HON ERGO STENO, ADJ ARM SET & CABINET Corporate Express 06/11/97 11382376 2,069.50
2 SIGMA REAL MAGIC MAXIMA 10PK CDW 06/12/97 5782508 3,674.00
16 MAXIMA PRO WHITE BOX 24 BIT & REALMAGIC 2M Creative Computer 06/13/97 P20947520101 4,781.00
80 P120 CHIPS Crown Communications 06/17/97 3915 10,120.00
1 ASSEMBLE & TEST SYSTEM INTEGRATION Consan Storage Solution 06/18/97 6387254 1,135.00
99 8MB MEM MOD 2X32 60NS EDO 72-PIN Creative Computer 06/18/97 P21078810101 4,300.00
1 SURESTORE CD-WRITER. S/N SBE03716269 Byte & Floppy (Prat ER) 06/18/97 ER 6/21 449.00
2
21
EXHIBIT II
To: X Schedule No. 1 to Master Lease Agreement
X UCC
X Sale and Leaseback Agreement
X Xxxx of Sale
Purch. Invoice Submitted
Qty. Equipment Description Vendor Date Number Costs
---- --------------------- ------ ------ ------- ---------
1 TRINTRON MONITOR & ACCESORIES Creative Computer 06/19/97 P21164670101 797.00
FURNITURE Boise Cascade 06/20/97 596014 1,568.00
1 0XXX XXXX XXXXXX 00000XX XXX & ACCESSORIES Vortex Data Systems 06/26/97 963329 6,729.00
0 XX XXXXX XXX XX - XXXX000000 Creative Computer 06/26/97 P21396850101 3,400.00
80 P120 ACPU's W/HEAT SINK & FAN SKIP120 Crown Communications 06/27/97 3947 10,120.00
TOTAL TAXABLE EQUIPMENT 171,745.66
-----------
Purch. Invoice Submitted
Qty. Equipment Description Vendor Date Number Costs
---- --------------------- ------ ------ ------- ---------
1 8410 DIG VOICE TER W/DIS Lucent Technologies 07/01/97 31309763 2,360.00
1 HON 6314SAB TASK CHAIR Office Furniture Networki07/01/97 14358 285.00
1 DELL DIMENSIONXPS 200MHZ PENTIUM PROCESS Dell 07/02/97 116410937 2,477.00
0 XXXXX XXXXX X&X Distributors 07/02/97 286076201 662.80
6 60X24X60'CARTS C&H Distributors 07/03/97 285823601 2,358.00
3 DIMENSION XPS H266MHZ MINITOWER PENTIUM 11 Dell 07/11/97 117379560 9,105.00
1 CAVIER 2.OGB XXXX Creative Computer 07/15/97 P21719640102 286.00
2 COMPAQ PROLIANT 800 6/200, SONY MONITOR & A Vortex Data Systems 07/15/97 970031 12,930.00
2 MULTISCAN 100SX & ACCESSORIES Creative Computer 07/15/97 P21719640102 1,898.00
FURNITURE Boise Cascade 07/16/97 7/15-7/31 4,077.64
1 SONY-V VIDEORECORDERS AND BATTERY The Good Guys (Tish ER 07/17/97 CE273392 249.99
1 SONY-V VIDEORECORDERS AND BATTERY The Good Guys (Tish ER 07/17/97 CE273392 249.99
1 MULTISCAN 100SX S011181941B & ACCESSORIES Creative Computer 07/21/97 P22087340101 325.00
1 MULTISCAN 100SX S011194267G & ACCESSORIES Creative Computer 07/21/97 P22112350101 465.00
1 HP DESKJET400 MY6401E016 Multiple Zones Internatio07/22/97 1859442-0101 180.50
3
22
EXHIBIT II
To: X Schedule No. 1 to Master Lease Agreement
X UCC
X Sale and Leaseback Agreement
X Xxxx of Sale
Purch. Invoice Submitted
Qty. Equipment Description Vendor Date Number Costs
---- --------------------- ------ ------ ------- ---------
1 HP DESKJET 400 PRINTER 6'CABLE Multiple Zones Internatio 07/22/97 1859060-0101 180.50
3 ETHEREXPRESS PRO 10/100 PCI TX ENET MODE Creative Computer 07/25/97 P22265290101 1,125.00
1 PERFORMANTZ 1400 MONITOR MEVHA703200652 Multiple Zones Internatio 07/25/97 2050200-0101 156.50
7 2 MITS-T,2-RCA,3-PANAS TELEVISIONS The Good Guys (Tish ER 07/29/97 CE275551 1,559.91
1 DIMENSION XPS X000XXX XXXXXXXXX, XXXXXXX II Dell 07/29/97 119457562 3,190.00
1 DIMENSION XPS X000XXX XXXXXXXXX, XXXXXXX II Dell 07/29/97 119457877 3,230.00
1 DIMENSION XPS X000XXX XXXXXXXXX, XXXXXXX II Dell 07/29/97 119459287 3,216.00
1 DIMENSION XPS X000XXX XXXXXXXXX, XXXXXXX II Dell 07/29/97 119459659 3,136.00
1 HP DESKJET 400, CABLE, HISPEED CABLE, INTERN Multiple Zones Internatio 07/29/97 2072177-0101 1.535.50
1 PERFORMANTZ 1400 MONITOR MEVHA703200384 Multiple Zones Internatio 07/29/97 1859060-0102 169.00
1 PERFORMANTZ 1400 MONITOR MEVHA703200683 Multiple Zones Internatio 07/29/97 1859442-0102 169.00
1 DIMENSION XPS X000XXX XXXXXXXXX, XXXXXXX II Dell 07/30/97 119489532 3.319.00
1 DIMENSION XPS X000XXX XXXXXXXXX, XXXXXXX II Dell 07/31/97 119458628 12.468.00
1 MULTISCAN 200 SX TRINITRON S011169637J Creative Computer 07/31/97 P22472540101 615.00
2 PENTIUM PROCESSOR 200MHZ W/MMX Creative Computer 08/06/97 P22617830101 570.00
8 T02448 WORK TABLES 24X48X26" City Office Furniture(Tish08/06/97 ER 8/23 845.60
1 HP DESKJET 672C & 2 OPTIQUEST MON 2A7110084 Creative Computer 08/08/97 P22722840101 571.00
1 HP DESKJET672 & OPTIQUEST MONIT 2A71100836 Creative Computer 08/08/97 P22717180101 386.00
1 DESKTOPMASTERRVERB.2-PATCHBAYCABLES Professional Sound & Mu 08/12/97 28073 570.00
1 TYAN PENTIUM MOTHERBOARD WITH ACCESSORI Multiple Zones Internatio 08/12/97 2165898-0101 400.96
1 4X32 60 8CHIP 72 PIN 16MB TIN & 9FX MOTION CAR Creative Computer 08/13/97 P22880860101 160.00
1 HON 6314AB12T,HON 6313AB12T, VDT SLEEVE Office Furniture Networki 08/13/97 14634 564.00
1 OPTIQUEST MONITOR 2A71500915 &6 REAL MAGIC Creative Computer 08/13/97 P22880140102 1,757.00
11 OPTIQUEST V641 14IN MULT 28MM & ETHEREXPRE Creative Computer 08/13/97 P22880140101 2,945.00
1 OPTIQUEST V641 MONITOR 2A71500624 Creative Computer 08/13/97 P22879120101 185.00
4
23
EXHIBIT II
To: X Schedule No. 1 to Master Lease Agreement
X UCC
X Sale and Leaseback Agreement
X Xxxx of Sale
Purch. Invoice Submitted
Qty. Equipment Description Vendor Date Number Costs
---- --------------------- ------ ------ ------- ---------
12 120 MHZ PENTIUM PROCESSORS Crown Communications 08/14/97 4061 1,518.00
FURNITURE Boise Cascade 08/14/97 8/1-8/14 6,001.10
1 CAVIA 2.0GB XXXX WT3690274817 & 8MB MOD Creative Computer 08/20/97 P23131480101 666.00
TOTAL FOR EXEMPT EQUIPMENT 89,118.99
----------
----------
GRAND TOTAL 260,864.65
==========
Lessor: Lessee:
Transamerica Business Credit The Lightspan Partnership, Inc.
Corporation
BY: /s/ XXX XXXXXXX BY: [SIGNATURE ILLEGIBLE]
---------------------- --------------------------
Title: Xxx Xxxxxxx Title: VP FINANCE
------------------------- -----------------------
Assistant Vice President
5
24
LIGHTSPAN PARTNERSHIP, INC.
1070-001
EQUIPMENT LOCATION WITH TAX RATES
--------------------------------------------------------------------------------------------------------------------
EQUIPMENT SALES TAX TAX RATE PAYMENT SALES TAX MONTHLY
COST LOCATION RATE AMOUNT FACTOR AMOUNT INTERIM RENT TAX PAYMENT
--------------------------------------------------------------------------------------------------------------------
$ 395.50 LANDSDALE, PA 7.00% 27.69 3.169% 12.53 0.03 0.0877
--------------------------------------------------------------------------------------------------------------------
$ 200.00 COLUMBUS, OHIO 5.75% 11.50 3.169% 6.34 0.01 0.0364
--------------------------------------------------------------------------------------------------------------------
$ 395.50 WASHINGTON, D.C. 5.75% 22.74 3.169% 12,53 0.24 0.0721
--------------------------------------------------------------------------------------------------------------------
$ 386.50 XXXXXXXX, MD 5.00% 19.33 3.169% 12.25 0.02 0.0612
--------------------------------------------------------------------------------------------------------------------
$ 386.50 MARIETTA, GA 5.00% 19.33 3.169% 12.25 0.02 0.0612
--------------------------------------------------------------------------------------------------------------------
$ 386.50 PENFIELD, NY 8.00% 30.92 3.169% 12.25 0.03 0.0980
--------------------------------------------------------------------------------------------------------------------
$ 372.50 MICHIGAN CITY, IN 5.00% 18.63 3.169% 11.80 0.02 0.0590
--------------------------------------------------------------------------------------------------------------------
$ 745.00 DENVER, CO 7.30% 54.39 3.169% 23.61 0.06 0.1723
--------------------------------------------------------------------------------------------------------------------
$ 372.50 PHOENIX, AZ 7.05% 26.26 3.169% 11.80 0.03 0.0832
--------------------------------------------------------------------------------------------------------------------
$ 413.22 VANCOUVER, WA 7.60% 31.40 3.169% 13.09 0.03 0.0995
--------------------------------------------------------------------------------------------------------------------
$ 389.98 PASAIC, NJ 6.00% 23.40 3.169% 12.36 0.00 0.0000
--------------------------------------------------------------------------------------------------------------------
$ 360.50 NEW YORK, NY 8.25% 29.74 3.169% 11.42 0.03 0.0943
--------------------------------------------------------------------------------------------------------------------
$ 391.50 SEATTLE, WA 8.60% 33.67 3.169% 12.41 0.04 0.1067
--------------------------------------------------------------------------------------------------------------------
$ 167.50 MAPLETON, UT 6.00% 10.05 3.169% 5.31 0.01 0.0318
--------------------------------------------------------------------------------------------------------------------
$255,501.45 SAN DIEGO,CA 7.75% 19,801.36 3.169% 8,096.84 20.92 62.7505
--------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------
$260,864.65 $20,136.99 8,266.80 21.49 63.81
--------------------------------------------------------------------------------------------------------------------
TAXES DUE UPFRONT-nj 8,330.61 MONTHLY RENTAL
---------------------------------------------------------------------------
DAILY RATE
---------------------------------------------------------------------------
275.56
---------------------------------------------------------------------------
30-May-97 6.60% INCREASE
---------------------------------------------------------------------------
17-Oct-97 6.01% ONLY
---------------------------------------------------------------------------
NO ADJ.
---------------------------------------------------------------------------
Page 1
25
ACCEPTANCE AND DELIVERY CERTIFICATE
The Lightspan Partnership, Inc., as lessee ("Lessee") under the Master
Lease Agreement dated as of August 14, 1997 between Lessee and Transamerica
Business Credit Corporation, as Lessor, does hereby acknowledge the acceptance
and delivery of the equipment listed in Lease Schedule No. 1, such acceptance
and delivery having been made on the 30th day of October, 1997.
THE LIGHTSPAN PARTNERSHIP, INC.
By:[SIGNATURE ILLEGIBLE]
----------------------------
Name:
Title: VP FINANCE
26
SALE AND LEASEBACK AGREEMENT
THIS SALE AND LEASEBACK AGREEMENT (this "Agreement"), is made as of October
22, 1997, among The Lightspan Partnership, Inc., a California corporation
("Seller"), and Transamerica Business Credit Corporation, a Delaware corporation
("Buyer").
W I T N E S S E T H:
WHEREAS, Seller is the owner of the equipment more particularly described
on Exhibit II hereto (the "Equipment");
WHEREAS, Seller desires to sell to Buyer and Buyer desires to purchase from
Seller the Equipment; and
WHEREAS, Buyer, as a condition to such purchase, wishes to lease to Seller
and Seller wishes to lease from Buyer the Equipment under the terms and
conditions of the Master Lease Agreement dated as of August 14, 1997 and
Schedule No. 1 thereto (collectively, as amended, supplemented or otherwise
modified from time to time, the "Lease") between Buyer, as lessor, and Seller,
as lessee.
NOW, THEREFORE, in consideration of the premises herein contained and other
good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto hereby agree as follows:
1. AMOUNT AND TERMS OF PURCHASE.
(a) Subject to the terms and conditions of this Agreement, and in
reliance upon the representations and warranties of the Seller herein set forth,
the Buyer agrees to purchase all of the Seller's right, title and interest in
and to all of the Equipment such that the Buyer will become the owner of all
such Equipment for all purposes whatsoever. The Seller hereby agrees that the
Buyer is under no obligation to purchase any other equipment now or in the
future and shall not assert a claim that the Buyer may have any such obligation.
(b) The price to be paid by the Buyer with respect to the purchase of
the Equipment (the "Purchase Price") is $260,864.65. The Purchase Price shall be
payable to the Seller on the Lease Commencement Date (as defined in the Lease).
(c) The Seller shall pay any and all applicable federal, state,
county or local taxes and any and all present or future taxes or other
governmental charges arising in connection with the sale of the Equipment
hereunder, including sales, use or occupation taxes due upon the purchase by the
Buyer.
(d) The purchase of the Equipment shall be evidenced by a xxxx of
sale, substantially in the form attached hereto as Exhibit A (the "Xxxx of
Sale"), duly executed by the Seller.
27
2. CONDITIONS TO PURCHASE. The obligation of the Buyer to purchase the
Equipment is subject to the following conditions:
(a) The Buyer shall have received this Agreement, duly executed by
the Seller.
(b) The Buyer shall have received the Xxxx of Sale, duly executed by
the Seller.
(c) The Buyer shall have received the Lease, duly executed by the
Seller.
(d) The Buyer shall have received resolutions of the Board of
Directors of the Seller approving and authorizing the execution, delivery and
performance by the Seller of this Agreement, the Lease and the notices and other
documents to be delivered by the Seller hereunder and thereunder (collectively,
the "Sale and Leaseback Documents").
(e) The Buyer shall have received the certificate of title or similar
evidence of ownership with respect to each item of Equipment and Uniform
Commercial Code financing statements covering the Equipment in form and
substance satisfactory to the Buyer, duly executed by the Seller.
(f) No material adverse change has occurred with respect to the
business, prospects, properties, results of operations, assets, liabilities or
condition (financial or otherwise) of the Seller and its affiliates, taken as a
whole, since January 31, 1995.
(g) The Buyer shall have received all warranties and other
documentation received or executed by Seller in connection with the original
acquisition of the Equipment by the Seller (and by its execution hereof the
Seller hereby assigns to the Buyer all such warranties and other Documentation).
(h) The Buyer shall have received such other approvals, opinions or
documents as the Buyer may reasonably request.
3. REPRESENTATION AND WARRANTIES. To induce the Buyer to enter into this
Agreement, the Seller represents and warrants to the Buyer that:
(a) The Seller is duly authorized to execute, deliver and perform its
obligations under each of the Sale and Leaseback Documents and all corporate
action required on its part for the due execution, delivery and performance of
the transactions contemplated herein and therein has been duly and effectively
taken.
(b) The execution, delivery and performance by the Seller of each of
the Sale and Leaseback Documents and the consummation of the transactions
contemplated herein
-2-
28
and therein does not and will not violate any provision of, or result in a
default under, the Seller's Articles or Certificates of Incorporation or
By-laws or any indenture or agreement to which the Seller is a party or to
which its assets are bound by any order, permit, law, statute, code, ordinance,
rule, regulation, certificate or any other requirement of any governmental
authority or regulatory body to which the Seller is subject, or result in the
creation or imposition of any mortgage, deed of trust, pledge, security
interest, lien or encumbrance of any kind upon or with respect to the Equipment
or any proceeds thereof, other than those in favor of the Buyer as contemplated
by the Sale and Leaseback Documents.
(c) No authorization or approval or other action by, and no notice to
or filing with, any governmental authority or regulatory body is required for
the due execution, delivery and performance by the Seller of any of the Sale
and Leaseback Documents to which it is a party.
(d) Each Sale and Leaseback Document to which the Seller is a party
constitutes or will constitute, when delivered hereunder, the legal, valid and
binding obligation of the Seller enforceable against the Seller in accordance
with its respective terms, except as such enforceability may be (i) limited by
the effect of applicable bankruptcy, insolvency, reorganization or similar laws
affecting the enforcement of creditors' rights generally or (ii) subject to the
effect of general principles of equity (regardless of whether such
enforceability is considered in a proceeding at equity or at law).
(e) There are no actions, suits or proceedings pending, threatened
against or affecting the Seller which seek to enjoin, prohibit or restrain the
consummation of any of the transactions contemplated hereby or by the other
Sale and Leaseback Documents.
(f) Each item of Equipment is owned by the Seller free and clear of
any liens and encumbrances of any kind or description. Upon purchase of the
Equipment hereunder, the Buyer will acquire good and marketable title in and to
the Equipment.
All representations and warranties herein shall survive the execution of this
Agreement and the purchase of the Equipment.
4. INDEMNITIES. The Seller agrees to indemnify, defend, and save
harmless the Buyer and its officers, directors, employees, agents, and
attorneys, and each of them (the "Indemnified Parties"), from and against all
claims, actions, suits, and other legal proceedings, damages, costs, interest,
charges, counsel fees and other expenses and penalties (collectively, the
"Indemnified Amounts") which any of the Indemnified Parties may sustain or
incur by reason of or arising out of (i) the Seller's ownership of any
Equipment prior to the date on which such Equipment is sold to the Buyer, or
the Seller's acts or omissions prior to such date under, in connection with or
relating to such Equipment or any of the Sale and Leaseback Documents, (ii) the
operation, maintenance or use of such Equipment prior to such date, (iii) the
inaccuracy of any of the Seller's representations or warranties contained in
any of the Sale and Leaseback
-3-
29
Documents, (iv) the breach of any of the Seller's covenants contained in any of
the Sale and Leaseback Documents, (v) any loss or damage to any Equipment in
excess of the deductible which is not paid by insurance or (vi) any sales, use,
excise and other taxes, charges, and fees (including, without limitation,
income, franchise, business and occupation, gross receipts, sales, use,
licensing, registration, titling, personal property, stamp and interest
equalization taxes, levies, imposts, duties, charges or withholdings of any
nature), and any fines, penalties or interest thereon, imposed or levied by any
governmental body, agency or tax authority upon or in connection with the
Equipment, its acquisition, ownership, delivery, leasing, possession, use or
relocation or otherwise in connection with the transactions contemplated by
each Sale and Leaseback Document.
5. REMEDIES. Upon the Seller's violation of or default under any
provision of this Agreement, the Buyer may (subject to the provisions of the
other Sale and Leaseback Documents) proceed to protect and enforce its rights
either by suit in equity or by action at law or both, whether for the specific
performance of any covenant or agreement contained herein or in aid of the
exercise of any power granted in any Sale and Leaseback Document; it being
intended that the remedies contained in any Sale and Leaseback Document shall
be cumulative and shall be in addition to every other remedy given under such
Sale and Leaseback Document or now or hereafter existing at law or in equity or
by statute or otherwise.
6. AMENDMENTS, ETC. No amendment or waiver of any provision of this
Agreement, nor consent to any departure therefrom, shall in any event be
effective unless the same shall be in writing and signed by the Buyer, and then
such waiver or consent shall be effective only in the specific instance and for
the specific purpose for which given.
7. NOTICES, ETC. All notices and other communications provided for
hereunder shall be in writing and sent:
if to the Seller, at its address at:
The Lightspan Partnership, Inc.
00000 Xxxxxx Xxxxx Xxxxx
Xxx Xxxxx, Xxxxxxxxxx 00000
Attention: Vice President - Finance and Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
-4-
30
if to the Buyer, at its address at:
Transamerica Business Credit Corporation
Technology Finance Division
00 Xxxxxxxxx Xxxx Xxxx
Xxxxxxxxxx, Xxxxxxxxxxx 00000-0000
Attention: Assistant Vice President,
Lease Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
with a copy to:
Transamerica Business Credit Corporation
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Attention: Legal Department
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
or to such other address as shall be designated by such party in a written
notice to the other party. All such notices shall be deemed given (i) if sent
by certified or registered mail, three days after being postmarked, (ii) if
sent by overnight delivery service, when received at the above stated addresses
or when delivery is refused and (iii) if sent by facsimile transmission, when
receipt of such transmission is acknowledged.
8. NO WAIVER; REMEDIES. No failure on the part of the Buyer to exercise,
and no delay in exercising, any right hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any such right preclude any
other or further exercise thereof or the exercise of any other right. The
remedies herein provided are cumulative and not exclusive of any remedies
provided by law.
9. BENEFIT. Without the prior written consent of the Buyer, the Seller
may not transfer, assign or delegate any of its rights, duties or obligations
hereunder.
10. BINDING EFFECT. This Agreement shall be binding upon and inure to the
benefit of the Seller and the Buyer and their respective successors and assigns.
11. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF ILLINOIS WITHOUT GIVING
EFFECT TO THE CONFLICTS OF LAW PRINCIPLES THEREOF.
31
12. EXECUTION IN COUNTERPARTS. This Agreement may be executed in any
number of counterparts, each of which shall constitute an original and all of
which taken together shall constitute one and the same agreement.
13. SEVERABILITY. If one or more of the provisions contained in this
Agreement shall be invalid, illegal, or unenforceable in any respect, the
validity, legality, and enforceability of the remaining provisions contained
herein, and any other application thereof, shall not in any way be affected or
impaired thereby.
14. SUBMISSION TO JURISDICTION. ALL DISPUTES ARISING UNDER OR IN
CONNECTION WITH THIS AGREEMENT BETWEEN THE PARTIES HERETO, WHETHER SOUNDING IN
CONTRACT, TORT, EQUITY OR OTHERWISE, SHALL BE RESOLVED ONLY BY STATE AND FEDERAL
COURTS LOCATED IN ILLINOIS, AND THE COURTS TO WHICH AN APPEAL THEREFROM MAY BE
TAKEN; PROVIDED, HOWEVER, THAT THE BUYER SHALL HAVE THE RIGHT, TO THE EXTENT
PERMITTED BY APPLICABLE LAW, TO PROCEED AGAINST THE SELLER OR ITS PROPERTY IN
ANY LOCATION REASONABLY SELECTED BY THE BUYER IN GOOD FAITH TO ENABLE THE BUYER
TO REALIZE ON SUCH PROPERTY, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN
FAVOR OF THE BUYER. EACH PARTY AGREES THAT IT WILL NOT ASSERT ANY PERMISSIVE
COUNTERCLAIMS, SETOFFS OR CROSS-CLAIMS IN ANY PROCEEDING BROUGHT BY THE BUYER;
IT BEING UNDERSTOOD THAT THIS SENTENCE DOES NOT PRECLUDE THE SELLER FROM
ASSERTING COMPULSORY COUNTERCLAIMS. THE SELLER WAIVES ANY OBJECTION THAT IT MAY
HAVE TO THE LOCATION OF THE COURT IN WHICH THE BUYER HAS COMMENCED A PROCEEDING,
INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON
FORUM NON CONVENIENS.
15. JURY TRIAL. THE PARTIES HERETO EACH HEREBY WAIVE TO THE FULLEST EXTENT
PERMITTED BY LAW ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING
ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT.
-6-
32
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their respective officers hereunto duly authorized, as of the first
date written above.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ [signature illegible]
-----------------------------
Name:
Title: VP Finance
TRANSAMERICA BUSINESS CREDIT
CORPORATION
By: /s/ XXX XXXXXXX
-----------------------------
Name: Xxx Xxxxxxx
Title: Assistant Vice President
Exhibit II- Equipment
Exhibit A- Xxxx of Sale
-7-
33
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Two Hundred Sixty Thousand, Eight Hundred Sixty Four and 65/100
Dollars ($260,864.65) and other valuable consideration to it in hand paid,
receipt of which is hereby acknowledged, does unconditionally, absolutely and
irrevocably grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS
CREDIT CORPORATION and its assignees or successors (collectively, the "Buyer"),
all of the Seller's right, title and interest in and to the equipment described
on Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its use
forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has good
and marketable title to the Equipment, free and clear of any liens and other
encumbrances; and (b) will warrant and defend the sale of the Equipment against
all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this Instrument to be duly
executed and delivered as of this 30th day of October, 1997.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ [signature illegible]
-----------------------------
Name:
Title: VP Finance
-9-
34
SCHEDULE TO MASTER LEASE AGREEMENT
Dated as of February 18, 1998
Schedule No. 2
LESSOR NAME & MAILING ADDRESS LESSEE NAME & MAILING ADDRESS
Transamerica Business Credit Corporation The Lightspan Partnership, Inc.
Riverway II 00000 Xxxxxx Xxxxx Xxxxx
Xxxx Xxxxxx Xxxxx Xxx Xxxxx, Xxxxxxxxxx 00000
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Equipment Location (if different than Lessee's address above):
This Schedule covers the following described equipment ("Equipment"):
See Exhibit II attached hereto and made a part hereof.
The Equipment is hereby leased pursuant to the provisions of the Master Lease
Agreement between the undersigned Lessee and Lessor dated August 14, 1997 (the
"Master Lease"), the terms of which are incorporated herein by reference
thereto, plus the following additional terms, provisions, and modifications. The
Lessor reserves the right to adjust the monthly payments in accordance with the
Commitment Letter dated August 5, 1997, if the Lessor has not received this
Schedule and an Acceptance and Delivery Certificate executed by the Lessee
within five business days from the date first set forth above.
1. Term (Number of Months) 36 months
2. Equipment Cost $58,455.91
3. Commencement Date February 24, 1998
4. Rate Factor 3.169% of Equipment Cost
5. Total Rents $66,688.92
Total sales/use tax $ 4,121.28 $70,810.20
----------
6. Advance Rents (first month) $ 1,852.47
Sales/use tax for advance rent $ 114.48 $ 1,966.95
----------
7. Monthly rental payments $ 1,852.47
Monthly sales/use tax $ 114.48 $ 1,966.95
----------
and the second such rental payment
will be due on April 1, 1998
and subsequent rental payments will
be due on the same day of each month thereafter
8. Security Deposit NONE
9. In addition to the monthly rental
payments provided for herein, Lessee shall
pay to Lessor, as interim rent, payable on
the commencement date specified above, an
amount equal to 1/30th of the monthly rental
payment (including monthly sales/use tax)
multiplied by the number of days from and
including the commencement date through the
end of the same calendar month. $327.83
35
Equipment Location with Tax Rates
SALES
SALES MONTHLY TOTAL TAX
EQUIPMENT TAX RATE MONTHLY TAX MONTHLY INTERM
COST LOCATION ZIP CODE COUNTY RATE FACTOR PAYMENT PAYMENT PAYMENT RENT
---- -------- -------- ------ ---- ------ ------- ------- ------- ----
TAX EXEMPT EQUIPMENT
$ 10,303.91 00000 XXXXXX XXXXX XX., XXX XXXXX, XX 00000 SAN DIEGO N/A 3.1690% 326.53 326.53
$ 331.00 000 XXXXXXX XXXXX, XXXXXXX XXXX, XX 00000 XXXXXXX 3.1690% 10.49 10.49
$ 198.00 0000 XXXX 00XX XXXXXX #000 XXXXXXX, XX 00000 XXXX 3.1690% 6.27 6.27
$ 10,832.91
TAXABLE EQUIPMENT
$ 6,553.16 0000 XXXXXXX XXXXXXX #X, XXXXXXXX, XX 00000 SAN DIEGO 7.75% 3.1690% 207.67 16.09 223.76 2.68
$ 37,123.99 00000 XXXXXX XXXXX XX., XXX XXXXX, XX 00000 SAN DIEGO 7.75% 3.1690% 1176.46 91.18 1,267.63 15.20
$ 785.00 000 XXXXXXX'X XXX XXXXX XXXXXXXXXX, XX 00000 XXXXXX 7.00% 3.1690% 24.88 1.74 26.62 0.29
$ 331.00 00000 XXXXX XXXXX XXXX XXXXXXXX, XX 00000 CHATHAM 6.00% 3.1690% 10.49 0.63 11.12 0.10
$ 331.00 0000 XXXXXX XXXX XXXX XXXXX XXXXXX,XX 00000 SO. BOSTON 4.50% 3.1690% 10.49 0.47 10.96 0.08
$ 430.00 0000 XXXXXX XXXXX XXXXXX, XXXXXX, XX 00000 FAIRFAX 4.50% 3.1690% 13.63 0.61 14.24 0.10
$ 175.50 000 XXXX 00XX XXXXXX XXXXXXXXXXXX, XX 00000 XXXXXX 5.00% 3.1690% 5.56 0.28 5.84 0.05
$ 198.00 0000 XXXXX XXXXXX XXXX XXXXXXXXXXXX, XX 00000 XXXXXXX 5.00% 3.1690% 6.27 0.31 6.59 0.05
$ 204.00 000 XXXXXXX XXXXXX XXXXXXXXX, XX 00000 XXXX ARUND 5.00% 3.1690% 6.46 0.32 6.79 0.05
$ 175.50 0000 XXXXX XXX XXXXX XXXXX XXXX, XX 00000 XXXXXX 7.00% 3.1690% 5.56 0.39 5.95 0.06
$ 177.50 000 0XX XXXXXX #0 XXXXXX, XX 00000 JUNEAU BOR 5.00% 3.1690% 5.62 0.28 5.91 0.05
$ 325.00 0000 XXXXXX XXXX XXXX XXXXXXXX, XX 00000 ONONDAGA 7.00% 3.1690% 10.30 0.72 11.02 0.12
$ 198.00 0000 XXXXXXX XXXX XXXXXX XXXXXXX, XX 00000 KENT 1.92% 3.1690% 6.27 0.12 6.40 0.02
$ 198.00 000 XXXXXXXXX XXXXXX XXXXX, XX 00000 XXXXX 6.00% 3.1690% 6.27 0.38 6.65 0.06
$ 198.00 0000 XXXXXXXXX XXXXXXX,XX 00000 KALAMAZO 6.00% 3.1690% 6.27 0.38 6.65 0.06
$ 219.35 0000 XXXXXX XXXXXX XXXXX XXXXXXX, XX 00000 XXXXXXX 8.25% 3.1690% 6.95 0.57 7.52 0.10
$ 47,623.00
$ 58,455.91 $1,852.47 $114.48 $1,966.95 $19.08
Renewal terms:
36
CLOSING STATEMENT
LEASEPLUS NO. 0000-000
XXXXXX LIGHTSPAN PARTNERSHIP, INC.
RENTAL SCHEDULE NO. 2
================================================================================
Interim Rent (5 Days) @ $61.75 $ 308.75
(2/24/98 through 2/28/98)
Rental Payments
March 1, 1998 $ 1,852.47
SUB-TOTAL $ 2,161.22
Sales/Use Tax (%) Various States (See Attached)
Advanced Rentals $ 114.48
Interim Rent $ 19.08
SUB-TOTAL $ 133.56
Total for Rentals and Taxes ....................... $ 2,294.78
Documentation Fee ................................. $
Includes: UCC Preparation & Filing $_____________
Lien Search $_____________
Attorney Fee ...................................... $
Credits ........................................... $(2,294.78)
Deducted from proceeds $2,294.78
Deducted from commitment fee $
GRAND TOTAL DUE ......................... $ 0.00
PROCEEDS OF SALE LEASEBACK AGREEMENT $58,455.91
LESS: DUE TO TBCC $ 2,294.78
----------
NET TO LIGHTSPAN PARTNERSHIP $56,161.13
* Notes:
1. TBCC will credit $449.72 towards payment due April 1, 1998 from Commitment
Fee. Balance of $1,547.23 will be billed.
Date Prepared 2-18-98
Contract Administration X. Xxxxxxxx
Marketing W. Dial
37
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP, INC. 2/20/98
PURCH. INVOICE SUBMITTED
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS
--------------------- ------------- -------- ------ ------ ------- ----------
Warehouse shelving N/A Carlsbad, CA Action Wholesale Products 08/27/97 171355 1,581.16
Warehouse shelving N/A Carlsbad, CA Action Wholesale Products 09/08/97 171641 1,737.07
Warehouse shelving N/A Carlsbad, CA Action Wholesale Products 09/26/97 172230 1,544.16
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 08/31/97 662621 80.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 08/31/97 698592 122.00
1-4 drawer lateral file, 1-2 N/A San Diego, CA Boise Cascade 08/31/97 752515 600.42
drawer lateral file, 1-xxxx N/A San Diego, CA
task chair X/X Xxx Xxxxx, XX
Xxx Xxxx X/X Xxx Xxxxx, XX Boise Cascade 08/31/97 780626 405.00
0-00" Xxx Xxxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 09/12/97 771672 488.00
0-00" Xxx Xxxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 09/12/97 803349 488.00
2-4 drawer lateral files N/A San Diego, CA Boise Cascade 09/12/97 804068 788.00
1-4 drawer lateral file N/A San Diego, CA Boise Cascade 09/12/97 831696 496.92
1-xxxx task chair N/A San Diego, CA
1-xxxx flat-file cabinet N/A San Diego, CA C&H Distributors 09/11/97 291101401 420.50
Seagate 2.1GB Hardrive PD152018 San Diego, CA Consan 09/05/97 6880840 504.00
Seagate 2.1GB Hardrive PD066428 San Diego, CA
Emate 300 Laptop IV7181708ID Alpharetta, GA Creative Computers 09/10/97 D5126858 785.00
Caviar 2.1GB Hardrive WT3612670119 San Diego, CA Creative Computers 08/29/97 P23461510102 585.00
Caviar 2.1GB Hardrive WT3612476282 San Diego, CA
Caviar 2.1GB Hardrive Wt3612669545 San Diego, CA
100SX Trinitron Monitor S011237775I San Diego, CA Creative Computers 09/03/97 P23550870101 650.00
100SX Trinitron Monitor S011237847I San Diego, CA
HP Deskwriter 600 SUS61G1G1XB Juneau, AK Creative Computers 09/03/97 P23563180101 177.50
Aurora Vision1, 00" Xxxxxxx 0x0x0000 Xxxxx Xxxxxx, XX Creative Computers 09/04/97 P23579810101 331.00
HP Deskjet 400L MY76K1C0F8 South Boston, VA
100SX Trinitron Monitor S011247864I East Syracuse, NY Creative Computers 09/04/97 P23580120101 325.00
Aurora Vision1, 00" Xxxxxxx 0X0X0000 Xxxxxxxx, XX Creative Computers 09/04/97 P23580310101 331.00
HP Deskjet 400L MY76K1C0G6 Savannah, GA
2.1GB XXXX Xxxxxxxx XX000000 Xxx Xxxxx, XX Creative Computers 09/18/97 P24138450101 470.00
2.1GB XXXX Xxxxxxxx XX000000 Xxx Xxxxx, XX
1 heavy duty task chair N/A San Diego, CA Office Furniture Networking 09/11/97 14843 650.00
1-XXX xxxx chair N/A San Diego, CA Office Furniture Networking 09/16/97 14879 285.00
Compaq Proliant 800 WB0000000000 San Diego, CA Vortex Data Systems 08/29/97 970659 4,686.00
----------
SUBTOTAL $18,530.73
==========
1 xxxx office chair N/A San Diego, CA Boise Cascade 10/01/97 628518 124.00
12-Stack chairs N/A San Diego, CA Boise Cascade 10/01/97 686958 816.00
HP Laserjet 5SiMX Printer XXXXX000000 Xxx Xxxxx, XX Creative Computers 10/01/97 P24583820102 3,395.00
HP Deskjet 400L MY73V1C095 Crystal Lake, IL Creative Computers 10/03/97 P24694180101 181.00
Aurora Vision1, 14" Monitor 7A6U4851 Crystal Lake, IL 150.00
Caviar 2.1GB Hardrive 00-000000-000 San Diego, CA Creative Computers 10/06/97 P24749190101 194.00
Dell XPG Pentium BR7MW San Diego, CA DELL 10/15/97 127484186 11,845.00
Dell XPG Pentium BR7MS San Diego, CA
Dell XPG Pentium BR7MH San Diego, CA
Dell XPG Pentium BR7MD San Diego, CA
Dell XPG Pentium BR7MB San Diego, CA
SUBTOTAL $16,705.00
xxxxxxxxxx
Xxxxxxxxx Xxxxxxxx X/X Xxxxxxxx, XX Action Wholesale Products 11/05/97 173619 1,690.77
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 10/22/97 639651 92.22
CHECK VENDOR
EQUIPMENT DESCRIPTION NO. PAID # DAYS TAX EXEMPT
--------------------- ----- ------ ------ ----------
Warehouse shelving 24121 YES 177 NO
Warehouse shelving 24121 YES 165 NO
Warehouse shelving 24286 YES 147 NO
30" Oak Bookcase 23806 YES 173 NO
60" Oak Bookcase 23806 YES 173 NO
1-4 drawer lateral file, 1-2 23806 YES 173 NO
drawer lateral file, 1-xxxx NO
task chair NO
Oak Desk 23806 YES 173 NO
4-60" Oak Bookcases 24134 YES 161 NO
4-60" Oak Bookcases 24134 YES 161 NO
2-4 drawer lateral files 24134 YES 161 NO
1-4 drawer lateral file 24134 YES 161 NO
1-xxxx task chair NO
1-xxxx flat-file cabinet 24287 YES 161 NO
Seagate 2.1GB Hardrive 24147 YES 168 NO
Seagate 2.1GB Hardrive NO
Emate 300 Laptop 24152 YES 163 NO
Caviar 2.1GB Hardrive 24152 YES 175 NO
Caviar 2.1GB Hardrive NO
Caviar 2.1GB Hardrive NO
100SX Trinitron Monitor 24152 YES 170 NO
100SX Trinitron Monitor NO
HP Deskwriter 600 24152 YES 170 NO
Aurora Vision1, 14" Monitor 24152 YES 169 NO
HP Deskjet 400L NO
100SX Trinitron Monitor 24152 YES 169 NO
Aurora Vision1, 14" Monitor 24152 YES 169 NO
HP Deskjet 400L NO
2.1GB SCSI Hardrive 24288 YES 155 NO
2.1GB SCSI Hardrive NO
1 heavy duty task chair 24289 YES 162 NO
1-XXX xxxx chair 24289 YES 157 NO
Compaq Proliant 800 24266 YES 175 NO
1 xxxx office chair 24414 YES 142 NO
12-Stack chairs 24550 YES 142 NO
HP Laserjet 5SiMX Printer 24580 YES 142 NO
HP Deskjet 400L 24580 YES 140 YES
Aurora Vision1, 14" Monitor YES 140 YES
Caviar 2.1GB Hardrive 24580 YES 137 NO
Dell XPG Pentium 24858 YES 128 NO
Dell XPG Pentium
Dell XPG Pentium
Dell XPG Pentium
Dell XPG Pentium
Warehouse Shelving 25481 YES 107 YES
36" Oak Bookcase 24829 YES 121 NO
38
EXHIBIT II
The Lightspan Partnership, Inc.
2/20/98
PURCH. INVOICE SUBMITTED
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS
--------------------- ------------- -------- ------ ------ ------- -----------
Prganizer N/A San Diego, CA Boise Cascade 10/31/97 759996 319.00
48" Metal Bookcase N/A San Diego, CA Boise Cascade 10/31/97 518740 74.00
4 Drawer Xxxxxxx Xxxx X/X Xxx Xxxxx, XX Boise Cascade 11/11/97 838066 434.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 11/05/97 743522 120.00
36" Oak Bookcase N/A Xxx Xxxxx, XX 000000 88.00
HP Officejet 000 Xxxxxxx XXX00XX00XX Xxxxxx, XX Creative Computers 11/04/97 P25963520101 430.00
Scanjet 0000 X XX00X0000X Xxx Xxxxx, XX Creative Computers 11/08/97 P26056700101 720.00
Caviar 2GB Xxxxxxxxx XX000000000 Xxx Xxxxx, XX Creative Computers 11/11/97 P26215190101
Portable Data Projector 27242521544 San Diego, CA Creative Computers 11/11/97 P26215190101 2,160.93
Intel Pent Overdrive Proc N/A San Diego, CA CDW 11/05/97 6632792 4.515.00
HP Deskjet Printer MY7731C08F St. Xxxx, MN Multiple Zones 11/01/00 000-0000-0000 175.50
HP Deskjet Printer MY7731C13G Indianapolis, IN Multiple Zones 11/01/00 000-0000-0000 175.50
Hawk 2XL 2.14 SCSI XXX00000 Xxx Xxxxx, XX Multiple Zones 11/01/00 000-0000-0000 351.00
000X Xxxxx X/X Xxx Xxxxx, XX Multiple Zones 11/01/00 000-0000-0000 46.00
16 MB Ram for Powerbook N/A San Diego, CA Multiple Zones 11/01/00 000-0000-0000 111.00
----------
SUBTOTAL $11,502.92
==========
30" 2dwr file N/A San Diego, CA Boise Cascade 12/01/97 639481 388.00
60" Lateral File N/A San Diego, CA Boise Cascade 12/01/97 639481 128.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 12/01/97 832467 122.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Corporate Express 12/11/97 11871233 94.50
00" Xxxxx Xxx Xxxxx X/X Xxx Xxxxx, XX Corporate Express 12/11/97 11871363 134.10
29" Bookcase N/A San Diego, CA Corporate Express 12/11/97 11871413 91.00
0 Xxx Xxxx X/X Xxx Xxxxx, XX Corporate Express 12/11/97 11871413 440.00
3 Xxxx clocks w/alarms N/A San Diego, CA Corporate Express 12/23/97 11871283 420.68
HP Deskjet 000X Xxxxxxx XXX00X0X000 Xxxxxxx, XX Creative Computers 12/04/97 P27063200101 198.00
HP Deskjet 672C Printer SSG79U1P014 Camden, Wyoming Creative Computers 12/04/97 P27116540101 198.00
HP Deskjet 000X Xxxxxxx XXX00X0X000 Xxxxxx Xxxxx, XX Creative Computers 12/04/97 P27116630101 198.00
HP Deskjet 000X Xxxxxxx XXX00X0X00X Xxxxxxx XX Creative Computers 12/04/97 P27116720101 198.00
HP Deskjet 672C Printer SSG79U1Q28X Westminster, MD Creative Computers 12/04/97 P27116920101 198.00
HP Deskjet 672C Printer SUS78M1V01Q Annapolis, MD Creative Computers 12/19/97 P27854020101 204.00
HP Deskjet 000X Xxxxxxx XXX00X0X00X Xxxxxxx, XX Creative Computers 12/19/97 P27854020001 219.35
Dell Dimension XPS 000 X0XXX Xxx Xxxxx, XX Dell 12/08/97 135100253 2,541.00
Dell P5MMX200 XX000 Xxx Xxxxx, XX Dell 12/24/97 137819504 1,964.33
Gateway G6300XL GDAPPRO300PIA San Diego, CA Gateway 2000 12/30/97 23820668 3,980.30
TOTAL TAX EXEMPT 10,832.91 SUBTOTAL $11,717.26
TOTAL TAXABLE $47,623.00 ==========
==========
TOTAL 58,455.91 GRAND TOTAL $58,455.91
CHECK VENDOR
EQUIPMENT DESCRIPTION NO. PAID # DAYS TAX EXEMPT
--------------------- ----- ------ ------ ----------
Prganizer 24829 YES 112 YES
48" Metal Bookcase 24829 YES 112 YES
4 Drawer Lateral File 25071 YES 101 YES
60" Oak Bookcase 25071 YES 107 YES
36" Oak Bookcase YES 107 YES
HP Officejet 500 Printer 25100 YES 108 NO
Scanjet 6100 C 25100 YES 104 YES
Caviar 2GB Harddrive
Portable Data Projector 25482 YES 101 YES
Intel Pent Overdrive Proc 25094 YES 107 YES
HP Deskjet Printer 25200 YES 111 NO
HP Deskjet Printer 25200 YES 111 NO
Hawk 2XL 2.14 SCSI 25200 YES 111 YES
256K Cache 25200 YES 111 YES
16 MB Ram for Powerbook 25200 YES 111 YES
30" 2dwr file 25661 YES 81 YES
60" Lateral File 25661 YES 81 YES
60" Oak Bookcase 25661 YES 81 YES
72" Oak Bookcase 25672 YES 71 YES
42" Round Oak Table 25672 YES 71 YES
29" Bookcase 25672 YES 71 YES
4 Dwr File 25672 YES 71 YES
3 Xxxx clocks w/alarms 26039 YES 59 YES
HP Deskjet 672C Printer 25675 YES 78 YES
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25884 YES 63 NO
HP Deskjet 672C Printer 25884 YES 63 NO
Dell Dimension XPS 266 25680 YES 74 YES
Dell P5MMX200 26054 YES 58 YES
Gateway G6300XL 26085 YES 52 YES
Lessor: Lessee:
Transamerica Business Credit The Lightspan Partnership, Inc.
Corporation
By: /s/ XXXX X. XXXXX By: /s/ [Signature Illegible]
------------------------ ------------------------
Xxxx X. Xxxxx
Title: Vice President Title: VP Finance
------------------------ ------------------------
39
SALE AND LEASEBACK AGREEMENT
THIS SALE AND LEASEBACK AGREEMENT (this "Agreement"), is made as of
February 18, 1998 , among The Lightspan Partnership, Inc., a California
corporation ("Seller"), and Transamerica Business Credit Corporation, a Delaware
corporation ("Buyer").
WITNESSETH:
WHEREAS, Seller is the owner of the equipment more particularly
described on Exhibit II hereto (the "Equipment");
WHEREAS, Seller desires to sell to Buyer and Buyer desires to purchase
from Seller the Equipment; and
WHEREAS, Buyer, as a condition to such purchase, wishes to lease to
Seller and Seller wishes to lease from Buyer the Equipment under the terms and
conditions of the Master Lease Agreement dated as of August 14, 1997 and
Schedule No. 2 thereto (collectively, as amended, supplemented or otherwise
modified from time to time, the "Lease") between Buyer, as lessor, and Seller,
as lessee.
NOW, THEREFORE, in consideration of the premises herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby agree as follows:
1. AMOUNT AND TERMS OF PURCHASE.
(a) Subject to the terms and conditions of this Agreement, and in
reliance upon the representations and warranties of the Seller herein set forth,
the Buyer agrees to purchase all of the Seller's right, title and interest in
and to all of the Equipment such that the Buyer will become the owner of all
such Equipment for all purposes whatsoever. The Seller hereby agrees that the
Buyer is under no obligation to purchase any other equipment now or in the
future and shall not assert a claim that the Buyer may have any such obligation.
(b) The price to be paid by the Buyer with respect to the
purchase of the Equipment (the "Purchase Price") is $58,455.91. The Purchase
Price shall be payable to the Seller on the Lease Commencement Date (as defined
in the Lease).
(c) The Seller shall pay any and all applicable federal, state,
county or local taxes and any and all present or future taxes or other
governmental charges arising in connection with the sale of the Equipment
hereunder, including sales, use or occupation taxes due upon the purchase by the
Buyer.
(d) The purchase of the Equipment shall be evidenced by a xxxx of
sale, substantially in the form attached hereto as Exhibit A (the "Xxxx of
Sale"), duly executed by the Seller.
40
2. CONDITIONS TO PURCHASE. The Obligation of the Buyer to purchase
the Equipment is subject to the following conditions:
(a) The Buyer shall have received this Agreement, duly executed
by the Seller.
(b) The Buyer shall have received the Xxxx of Sale, duly executed
by the Seller.
(c) The Buyer shall have received the Lease, duly executed by the
Seller.
(d) The Buyer shall have received resolutions of the Board of
Directors of the Seller approving and authorizing the execution, delivery and
performance by the Seller of this Agreement, the Lease and the notices and other
documents to be delivered by the Seller hereunder and thereunder (collectively,
the "Sale and Leaseback Documents").
(e) The Buyer shall have received the certificate of title or
similar evidence of ownership with respect to each item of Equipment and Uniform
Commercial Code financing statements covering the Equipment in form and
substance satisfactory to the Buyer, duly executed by the Seller.
(f) No material adverse change has occurred with respect to the
business, prospects, properties, results of operations, assets, liabilities or
condition (financial or otherwise) of the Seller and its affiliates, taken as a
whole, since January 31, 1995.
(g) The Buyer shall have received all warranties and other
documentation received or executed by Seller in connection with the original
acquisition of the Equipment by the Seller (and by its execution hereof the
Seller hereby assigns to the Buyer all such warranties and other Documentation).
(h) The Buyer shall have received such other approvals, opinions
or documents as the Buyer may reasonably request.
3. REPRESENTATION AND WARRANTIES. To induce the Buyer to enter into
this Agreement, the Seller represents and warrants to the Buyer that:
(a) The Seller is duly authorized to execute, deliver and perform
its obligations under each of the Sale and Leaseback Documents and all corporate
action required on its part for the due execution, delivery and performance of
the transactions contemplated herein and therein has been duly and effectively
taken.
(b) The execution, delivery and performance by the Seller of each
of the Sale and Leaseback Documents and the consummation of the transactions
contemplated herein
41
and therein does not and will not violate any provision of, or result in a
default under, the Seller's Articles or Certificates of Incorporation or By-laws
or any indenture or agreement to which the Seller is a party or to which its
assets are bound or any order, permit, law, statute, code, ordinance, rule,
regulation, certificate or any other requirement of any governmental authority
or regulatory body to which the Seller is subject, or result in the creation or
imposition of any mortgage, deed of trust, pledge, security interest, lien or
encumbrance of any kind upon or with respect to the Equipment or any proceeds
thereof, other than those in favor of the Buyer as contemplated by the Sale and
Leaseback Documents.
(c) No authorization or approval or other action by, and no
notice to or filing with, any governmental authority or regulatory body is
required for the due execution, delivery and performance by the Seller of any of
the Sale and Leaseback Documents to which it is a party.
(d) Each Sale and Leaseback Document to which the Seller is a
party constitutes or will constitute, when delivered hereunder, the legal, valid
and binding obligation of the Seller enforceable against the Seller in
accordance with its respective terms, except as such enforceability may be (i)
limited by the effect of applicable bankruptcy, insolvency, reorganization or
similar laws affecting the enforcement of creditors' rights generally or (ii)
subject to the effect of general principles of equity (regardless of whether
such enforceability is considered in a proceeding at equity or at law).
(e) There are no actions, suits, or proceedings pending,
threatened against or affecting the Seller which seek to enjoin, prohibit or
restrain the consummation of any of the transactions contemplated hereby or by
the other Sale and Leaseback Documents.
(f) Each item of Equipment is owned by the Seller free and clear
of any liens and encumbrances of any kind or description. Upon purchase of the
Equipment hereunder, the Buyer will acquire good and marketable title in and to
the Equipment.
All representations and warranties herein shall survive the execution of this
Agreement and the purchase of the Equipment.
4. INDEMNITIES. The Seller agrees to indemnify, defend, and save
harmless the Buyer and its officers, directors, employees, agents, and
attorneys, and each of them (the "Indemnified Parties"), from and against all
claims, actions, suits, and other legal proceedings, damages, costs, interest,
charges, counsel fees and other expenses and penalties (collectively, the
"Indemnified Amounts") which any of the Indemnified Parties may sustain or incur
by reason of or arising out of (i) the Seller's ownership of any Equipment prior
to the date on which such Equipment is sold to the Buyer, or the Seller's acts
or omissions prior to such date under, in connection with or relating to such
Equipment or any of the Sale and Leaseback Documents, (ii) the operation,
maintenance or use of such Equipment prior to such date, (iii) the inaccuracy of
any of the Seller's representations or warranties contained in any of the Sale
and Leaseback
-3-
42
Documents, (iv) the breach of any of the Seller's covenants contained in any of
the Sale and Leaseback Documents, (v) any loss or damage to any Equipment in
excess of the deductible which is not paid by insurance or (vi) any sales, use,
excise and other taxes, charges, and fees (including, without limitation,
income, franchise, business and occupation, gross receipts, sales, use,
licensing, registration, titling, personal property, stamp and interest
equalization taxes, levies, imposts, duties, charges or withholdings of any
nature), and any fines, penalties or interest thereon, imposed or levied by any
governmental body, agency or tax authority upon or in connection with the
Equipment, its acquisition, ownership, delivery, leasing, possession, use or
relocation or otherwise in connection with the transactions contemplated by each
Sale and Leaseback Document.
5. REMEDIES. Upon the Seller's violation of or default under any
provision of this Agreement, the Buyer may (subject to the provisions of the
other Sale and Leaseback Documents) proceed to protect and enforce its rights
either by suit in equity or by action at law or both, whether for the specific
performance of any covenant or agreement contained herein or in aid of the
exercise of any power granted in any Sale and Leaseback Document; it being
intended that the remedies contained in any Sale and Leaseback Document shall be
cumulative and shall be in addition to every other remedy given under such Sale
and Leaseback Document or now or hereafter existing at law or in equity or by
statute or otherwise.
6. AMENDMENTS, ETC. No amendment or waiver of any provision of this
Agreement, nor consent to any departure therefrom, shall in any event be
effective unless the same shall be in writing and signed by the Buyer, and then
such waiver or consent shall be effective only in the specific instance and for
the specific purpose for which given.
7. NOTICES, etc. All notices and other communications provided for
hereunder shall be in writing and sent:
if to the Seller, at its address at:
The Lightspan Partnership, Inc.
00000 Xxxxxx Xxxxx Xxxxx
Xxx Xxxxx, Xxxxxxxxxx 00000
Attention: Vice President - Finance and Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
-4-
43
if to the Buyer, at its address at:
Transamerica Business Credit Corporation
Technology Finance Division
00 Xxxxxxxxx Xxxx Xxxx
Xxxxxxxxxx, Xxxxxxxxxxx 00000-0000
Attention: Assistant Vice President,
Lease Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
with a copy to:
Transamerica Business Credit Corporation
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Attention: Legal Department
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
or to such other address as shall be designated by such party in a written
notice to the other party. All such notices shall be deemed given (i) if sent by
certified or registered mail, three days after being postmarked, (ii) if sent by
overnight delivery service, when received at the above stated addresses or when
delivery is refused and (iii) if sent by facsimile transmission, when receipt of
such transmission is acknowledged.
8. NO WAIVER; REMEDIES. No failure on the part of the Buyer to
exercise, and no delay in exercising, any right hereunder shall operate as a
waiver thereof, nor shall any single or partial exercise of any such right
preclude any other or further exercise thereof or the exercise of any other
right. The remedies herein provided are cumulative and not exclusive of any
remedies provided by law.
9. BENEFIT. Without the prior written consent of the Buyer, the
Seller may not transfer, assign or delegate any of its rights, duties or
obligations hereunder.
10. BINDING EFFECT. This Agreement shall be binding upon and inure
to the benefit of the Seller and the Buyer and their respective successors and
assigns.
11. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF ILLINOIS WITHOUT GIVING
EFFECT TO THE CONFLICTS OF LAW PRINCIPLES THEREOF.
-5-
44
12. EXECUTION IN COUNTERPARTS. This Agreement may be executed in any
number of counterparts, each of which shall constitute an original and all of
which taken together shall constitute one and the same agreement.
13. SEVERABILITY. If one or more of the provisions contained in this
Agreement shall be invalid, illegal, or unenforceable in any respect, the
validity, legality, and enforceability of the remaining provisions contained
herein, and any other application thereof, shall not in any way be affected or
impaired thereby.
14. SUBMISSION TO JURISDICTION. ALL DISPUTES ARISING UNDER OR IN
CONNECTION WITH THIS AGREEMENT BETWEEN THE PARTIES HERETO, WHETHER SOUNDING IN
CONTRACT, TORT, EQUITY OR OTHERWISE, SHALL BE RESOLVED ONLY BY STATE AND FEDERAL
COURTS LOCATED IN ILLINOIS, AND THE COURTS TO WHICH AN APPEAL THEREFROM MAY BE
TAKEN; PROVIDED, HOWEVER, THAT THE BUYER SHALL HAVE THE RIGHT, TO THE EXTENT
PERMITTED BY APPLICABLE LAW, TO PROCEED AGAINST THE SELLER OR ITS PROPERTY IN
ANY LOCATION REASONABLY SELECTED BY THE BUYER IN GOOD FAITH TO ENABLE THE BUYER
TO REALIZE ON SUCH PROPERTY, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN
FAVOR OF THE BUYER. EACH PARTY AGREES THAT IT WILL NOT ASSERT ANY PERMISSIVE
COUNTERCLAIMS, SETOFFS OR CROSS-CLAIMS IN ANY PROCEEDING BROUGHT BY THE BUYER;
IT BEING UNDERSTOOD THAT THIS SENTENCE DOES NOT PRECLUDE THE SELLER FROM
ASSERTING COMPULSORY COUNTERCLAIMS. THE SELLER WAIVES ANY OBJECTION THAT IT MAY
HAVE TO THE LOCATION OF THE COURT IN WHICH THE BUYER HAS COMMENCED A PROCEEDING,
INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON
FORUM NON CONVENIENS.
15. JURY TRIAL. THE PARTIES HERETO EACH HEREBY WAIVE TO THE FULLEST
EXTENT PERMITTED BY LAW ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING
ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT.
-6-
45
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their respective officers hereunto duly authorized, as of the first
date written above.
THE LIGHTSPAN PARTNERSHIP, INC.
By: [Signature Illegible]
----------------------------
Name:
Title: VP Finance
TRANSAMERICA BUSINESS CREDIT
CORPORATION
By: /s/ XXXX X. MONO
----------------------------
Name: Xxxx X. Mono
Title: Vice President
Exhibit II- Equipment
Exhibit A- Xxxx of Sale
-7-
46
ACCEPTANCE AND DELIVERY CERTIFICATE
The Lightspan Partnership, Inc., as lessee ("Lessee") under the Master
Lease Agreement dated as of August 14, 1997 between Lessee and Transamerica
Business Credit Corporation, as Lessor, does hereby acknowledge the acceptance
and delivery of the equipment listed in Lease Schedule No. 2, such acceptance
and delivery having been made on the 24th day of February, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ [Signature Illegible]
--------------------------------
Name:
Title: VP Finance
47
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Fifty Eight Thousand, Four Hundred Fifty Five and 91/100 Dollars
($58,455.91) and other valuable consideration to it in hand paid, receipt of
which is hereby acknowledged, does unconditionally, absolutely and irrevocably
grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT
CORPORATION and its assignees or successors (collectively, the "Buyer"), all of
the Seller's right, title and interest in and to the equipment described on
Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 24th day of February, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXXXXXX XXXX
----------------------------
Name: Xxxxxxxx Xxxx
Title: VP FINANCE
-9-
48
0092417000455000
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
X.X. Xxx 000
Xxx Xxxx, XX 00000-0000
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
THE LIGHTSPAN PARTNERSHIP, INC.
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00000 XXXXXX XXXXX XXXXX XXX XXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) 1070-002 1070-002
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY'S NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00 XXXXXXXXX XXXX XXXX XXXXXXXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBIT I AND II ATTACHED HERETO AND MADE A PART HEREOF.
C/S 1077-002
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
XXXXXXXX X. XXXX VICE PRESIDENT /s/ XXXXXXXX X. XXXX Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) FILING OFFICER COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
X.X. Xxx 000 Xxx Xxxx, XX 00000-0000
Tel (000) 000-0000
49
0092417000455000
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
X.X. Xxx 000
Xxx Xxxx, XX 00000-0000
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
THE LIGHTSPAN PARTNERSHIP, INC.
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00000 XXXXXX XXXXX XXXXX XXX XXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) 1070-002 1070-002
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY'S NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00 XXXXXXXXX XXXX XXXX XXXXXXXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBIT I AND II ATTACHED HERETO AND MADE A PART HEREOF.
C/S 1077-002
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
XXXXXXXX X. XXXX VICE PRESIDENT /s/ XXXXXXXX X. XXXX Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(2) ACKNOWLEDGMENT COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
X.X. Xxx 000 Xxx Xxxx, XX 00000-0000
Tel (000) 000-0000
50
0092417000455000
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
X.X. Xxx 000
Xxx Xxxx, XX 00000-0000
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY's NAME
THE LIGHTSPAN PARTNERSHIP, INC.
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00000 XXXXXX XXXXX XXXXX XXX XXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) 1070-002 1070-002
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY'S NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY'S NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00 XXXXXXXXX XXXX XXXX XXXXXXXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBIT I AND II ATTACHED HERETO AND MADE A PART HEREOF.
C/S 1077-002
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
XXXXXXXX X. XXXX VICE PRESIDENT /s/ XXXXXXXX X. XXXX Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) SEARCH REQUEST COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
X.X. Xxx 000 Xxx Xxxx, XX 00000-0000
Tel (000) 000-0000
51
EXHIBIT I TO UCC-1
Lessee: The Lightspan Partnership, Inc.
Lessor: Transamerica Business Credit Corporation
The property described on Exhibit II attached hereto, which is leased pursuant
to Master Lease Agreement dated August 14, 1997 between above-named Lessee and
Lessor, and Schedule No. 2 thereto collectively, the "Lease"), all replacements,
substitutions, additions, attachments, accessions, parts, fittings and
accessories thereto and therefor, whether owned or hereafter acquired, and all
proceeds (including insurance proceeds and any sublease and the rentals and
profits thereon) of and from said property. The Secured Party is a Lessor and
the Debtor is a Lessee in respect to the leased property, and the Lease is not
intended as a security agreement to create a security interest in Lessor. This
statement is not to be evidence that the Lease is a security agreement, but if
it is determined to be so for other reasons, this financing statement is filed
to perfect the Secured Party's security interest in the property.
LESSOR: LESSEE:
TRANSAMERICA BUSINESS THE LIGHTSPAN PARTNERSHIP, INC.
CREDIT CORPORATION
By: By: [Signature Illegible]
-------------------------- -----------------------------
Title: Title: VP Finance
----------------------- --------------------------
Date: Date: 2/19/98
------------------------ ---------------------------
52
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP, INC.
PURCH. INVOICE SUBMITTED
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS
--------------------- ------------- -------- ------ ------ ------- ----------
Warehouse shelving N/A Carlsbad, CA Action Wholesale Products 08/27/97 171355 1,581.16
Warehouse shelving N/A Carlsbad, CA Action Wholesale Products 09/08/97 171641 1,737.07
Warehouse shelving N/A Carlsbad, CA Action Wholesale Products 09/26/97 172230 1,544.16
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 08/31/97 662621 80.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 08/31/97 698592 122.00
1-4 drawer lateral file, 1-2 N/A San Diego, CA Boise Cascade 08/31/97 752515 600.42
drawer lateral file, 1-xxxx N/A San Diego, CA
task chair X/X Xxx Xxxxx, XX
Xxx Xxxx X/X Xxx Xxxxx, XX Boise Cascade 08/31/97 780626 405.00
0-00" Xxx Xxxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 09/12/97 771672 488.00
0-00" Xxx Xxxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 09/12/97 803349 488.00
2-4 drawer lateral files N/A San Diego, CA Boise Cascade 09/12/97 804068 788.00
1-4 drawer lateral file N/A San Diego, CA Boise Cascade 09/12/97 831696 496.92
1-xxxx task chair N/A San Diego, CA
1-xxxx flat-file cabinet N/A San Diego, CA C&H Distributors 09/11/97 291101401 420.50
Seagate 2.1GB Hardrive PD152018 San Diego, CA Consan 09/05/97 6880840 504.00
Seagate 2.1GB Hardrive PD066428 San Diego, CA
Emate 300 Laptop IV7181708ID Alpharetta, GA Creative Computers 09/10/97 D5126858 785.00
Caviar 2.1GB Hardrive WT3612670119 San Diego, CA Creative Computers 08/29/97 P23461510102 585.00
Caviar 2.1GB Hardrive WT3612476282 San Diego, CA
Caviar 2.1GB Hardrive Wt3612669545 San Diego, CA
100SX Trinitron Monitor S011237775I San Diego, CA Creative Computers 09/03/97 P23550870101 650.00
100SX Trinitron Monitor S011237847I San Diego, CA
HP Deskwriter 600 SUS61G1G1XB Juneau, AK Creative Computers 09/03/97 P23563180101 177.50
Aurora Vision1, 00" Xxxxxxx 0x0x0000 Xxxxx Xxxxxx, XX Creative Computers 09/04/97 P23579810101 331.00
HP Deskjet 400L MY76K1C0F8 South Boston, VA
100SX Trinitron Monitor S011247864I East Syracuse, NY Creative Computers 09/04/97 P23580120101 325.00
Aurora Vision1, 00" Xxxxxxx 0X0X0000 Xxxxxxxx, XX Creative Computers 09/04/97 P23580310101 331.00
HP Deskjet 400L MY76K1C0G6 Savannah, GA
2.1GB XXXX Xxxxxxxx XX000000 Xxx Xxxxx, XX Creative Computers 09/18/97 P24138450101 470.00
2.1GB XXXX Xxxxxxxx XX000000 Xxx Xxxxx, XX
1 heavy duty task chair N/A San Diego, CA Office Furniture Networking 09/11/97 14843 650.00
1-XXX xxxx chair N/A San Diego, CA Office Furniture Networking 09/16/97 14879 285.00
Compaq Proliant 800 WB0000000000 San Diego, CA Vortex Data Systems 08/29/97 970659 4,686.00
----------
SUBTOTAL $18,530.73
==========
1 xxxx office chair N/A San Diego, CA Boise Cascade 10/01/97 628518 124.00
12-Stack chairs N/A San Diego, CA Boise Cascade 10/01/97 686958 816.00
HP Laserjet 5SiMX Printer XXXXX000000 Xxx Xxxxx, XX Creative Computers 10/01/97 P24583820102 3,395.00
HP Deskjet 400L MY73V1C095 Crystal Lake, IL Creative Computers 10/03/97 P24694180101 181.00
Aurora Vision1, 14" Monitor 7A6U4851 Crystal Lake, IL 150.00
Caviar 2.1GB Hardrive 00-000000-000 San Diego, CA Creative Computers 10/06/97 P24749190101 194.00
Dell XPG Pentium BR7MW San Diego, CA Dell 10/15/97 127484186 11,845.00
Dell XPG Pentium BR7MS San Diego, CA
Dell XPG Pentium BR7MH San Diego, CA
Dell XPG Pentium BR7MD San Diego, CA
Dell XPG Pentium BR7MB San Diego, CA
SUBTOTAL $16,705.00
xxxxxxxxxx
Xxxxxxxxx Xxxxxxxx X/X Xxxxxxxx, XX Action Wholesale Products 11/05/97 173619 1,690.77
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 10/22/97 639651 92.22
2/20/98
CHECK VENDOR
EQUIPMENT DESCRIPTION NO. PAID # DAYS TAX EXEMPT
--------------------- ----- ------ ------ ----------
Warehouse shelving 24121 YES 177 NO
Warehouse shelving 24121 YES 165 NO
Warehouse shelving 24286 YES 147 NO
30" Oak Bookcase 23806 YES 173 NO
60" Oak Bookcase 23806 YES 173 NO
1-4 drawer lateral file, 1-2 23806 YES 173 NO
drawer lateral file, 1-xxxx NO
task chair NO
Oak Desk 23806 YES 173 NO
4-60" Oak Bookcases 24134 YES 161 NO
4-60" Oak Bookcases 24134 YES 161 NO
2-4 drawer lateral files 24134 YES 161 NO
1-4 drawer lateral file 24134 YES 161 NO
1-xxxx task chair NO
1-xxxx flat-file cabinet 24287 YES 161 NO
Seagate 2.1GB Hardrive 24147 YES 168 NO
Seagate 2.1GB Hardrive NO
Emate 300 Laptop 24152 YES 163 NO
Caviar 2.1GB Hardrive 24152 YES 175 NO
Caviar 2.1GB Hardrive NO
Caviar 2.1GB Hardrive NO
100SX Trinitron Monitor 24152 YES 170 NO
100SX Trinitron Monitor NO
HP Deskwriter 600 24152 YES 170 NO
Aurora Vision1, 14" Monitor 24152 YES 169 NO
HP Deskjet 400L NO
100SX Trinitron Monitor 24152 YES 169 NO
Aurora Vision1, 14" Monitor 24152 YES 169 NO
HP Deskjet 400L NO
2.1GB SCSI Hardrive 24288 YES 155 NO
2.1GB SCSI Hardrive NO
1 heavy duty task chair 24289 YES 162 NO
1-XXX xxxx chair 24289 YES 157 NO
Compaq Proliant 800 24266 YES 175 NO
1 xxxx office chair 24414 YES 142 NO
12-Stack chairs 24550 YES 142 NO
HP Laserjet 5SiMX Printer 24580 YES 142 NO
HP Deskjet 400L 24580 YES 140 YES
Aurora Vision1, 14" Monitor YES 140 YES
Caviar 2.1GB Hardrive 24580 YES 137 NO
Dell XPG Pentium 24858 YES 128 NO
Dell XPG Pentium
Dell XPG Pentium
Dell XPG Pentium
Dell XPG Pentium
Warehouse Shelving 25481 YES 107 YES
36" Oak Bookcase 24829 YES 121 NO
53
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP, INC.
PURCH. INVOICE SUBMITTED
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS
--------------------- ------------- -------- ------ ------ ------- -----------
Organizer N/A San Diego, CA Boise Cascade 10/31/97 759996 319.00
48" Metal Bookcase N/A San Diego, CA Boise Cascade 10/31/97 518740 74.00
4 Drawer Xxxxxxx Xxxx X/X Xxx Xxxxx, XX Boise Cascade 11/11/97 838066 434.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 11/05/97 743522 120.00
36" Oak Bookcase N/A Xxx Xxxxx, XX 000000 88.00
HP Officejet 000 Xxxxxxx XXX00XX00XX Xxxxxx, XX Creative Computers 11/04/97 P25963520101 430.00
Scanjet 0000 X XX00X0000X Xxx Xxxxx, XX Creative Computers 11/08/97 P26056700101 720.00
Caviar 2GB Xxxxxxxxx XX000000000 Xxx Xxxxx, XX Creative Computers 11/11/97 P26215190101
Portable Data Projector 27242521544 San Diego, CA Creative Computers 11/11/97 P26215190101 2,160.93
Intel Pent Overdrive Proc N/A San Diego, CA CDW 11/05/97 6632792 4,515.00
HP Deskjet Printer MY7731C08F St. Xxxx, MN Multiple Zones 11/01/97 3378934-0101 175.50
HP Deskjet Printer MY7731C13G Indianapolis, IN Multiple Zones 11/01/97 3379042-0101 175.50
Hawk 2XL 2.14 SCSI XXX00000 Xxx Xxxxx, XX Multiple Zones 11/01/97 3379091-0101 351.00
000X Xxxxx X/X Xxx Xxxxx, XX Multiple Zones 11/01/97 3379091-0101 46.00
16 MB Ram for Powerbook N/A San Diego, CA Multiple Zones 11/01/97 3379091-0101 111.00
----------
SUBTOTAL $11,502.92
==========
30" 2dwr file N/A San Diego, CA Boise Cascade 12/01/97 639481 388.00
60" Lateral File N/A San Diego, CA Boise Cascade 12/01/97 639481 128.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Boise Cascade 12/01/97 832467 122.00
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Corporate Express 12/11/97 11871233 94.50
00" Xxxxx Xxx Xxxxx X/X Xxx Xxxxx, XX Corporate Express 12/11/97 11871363 134.10
29" Bookcase N/A San Diego, CA Corporate Express 12/11/97 11871413 91.00
0 Xxx Xxxx X/X Xxx Xxxxx, XX Corporate Express 12/11/97 11871413 440.00
3 Xxxx clocks w/alarms N/A San Diego, CA Corporate Express 12/23/97 11871283 420.68
HP Deskjet 000X Xxxxxxx XXX00X0X000 Xxxxxxx, XX Creative Computers 12/04/97 P27063200101 198.00
HP Deskjet 672C Printer SSG79U1P014 Camden, Wyoming Creative Computers 12/04/97 P27116540101 198.00
HP Deskjet 000X Xxxxxxx XXX00X0X000 Xxxxxx Xxxxx, XX Creative Computers 12/04/97 P27116630101 198.00
HP Deskjet 000X Xxxxxxx XXX00X0X00X Xxxxxxx, XX Creative Computers 12/04/97 P27116720101 198.00
HP Deskjet 672C Printer SSG79U1Q28X Westminster, MD Creative Computers 12/04/97 P27116920101 198.00
HP Deskjet 672C Printer SSG79U1V01Q Annapolis, MD Creative Computers 12/19/97 P27854020101 204.00
HP Deskjet 000X Xxxxxxx XXX00X0X00X Xxxxxxx, XX Creative Computers 12/19/97 P27854020001 219.35
Dell Dimension XPS 000 X0XXX Xxx Xxxxx, XX Dell 12/08/97 135100253 2,541.00
Dell P5MMX200 XX000 Xxx Xxxxx, XX Dell 12/24/97 137819504 1,964.33
Gateway G6300XL GDAPPRO300PIA San Diego, CA Gateway 2000 12/30/97 23820668 3,980.30
TOTAL TAX EXEMPT 10,832.91 SUBTOTAL $11,717.26
TOTAL TAXABLE $47,623.00 ==========
==========
TOTAL 58,455.91 GRAND TOTAL $58,455.91
2/20/98
CHECK VENDOR
EQUIPMENT DESCRIPTION NO. PAID # DAYS TAX EXEMPT
--------------------- ----- ------ ------ ----------
Organizer 24829 YES 112 YES
48" Metal Bookcase 24829 YES 112 YES
4 Drawer Lateral File 25071 YES 101 YES
60" Oak Bookcase 25071 YES 107 YES
36" Oak Bookcase YES 107 YES
HP Officejet 500 Printer 25100 YES 108 NO
Scanjet 6100 C 25100 YES 104 YES
Caviar 2GB Harddrive
Portable Data Projector 25482 YES 101 YES
Intel Pent Overdrive Proc 25094 YES 107 YES
HP Deskjet Printer 25200 YES 111 NO
HP Deskjet Printer 25200 YES 111 NO
Hawk 2XL 2.14 SCSI 25200 YES 111 YES
256K Cache 25200 YES 111 YES
16 MB Ram for Powerbook 25200 YES 111 YES
30" 2dwr file 25661 YES 81 YES
60" Lateral File 25661 YES 81 YES
60" Oak Bookcase 25661 YES 81 YES
72" Oak Bookcase 25672 YES 71 YES
42" Round Oak Table 25672 YES 71 YES
29" Bookcase 25672 YES 71 YES
4 Dwr File 25672 YES 71 YES
3 Xxxx clocks w/alarms 26039 YES 59 YES
HP Deskjet 672C Printer 25675 YES 78 YES
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25675 YES 78 NO
HP Deskjet 672C Printer 25884 YES 63 NO
HP Deskjet 672C Printer 25884 YES 63 NO
Dell Dimension XPS 266 25680 YES 74 YES
Dell P5MMX200 26054 YES 58 YES
Gateway G6300XL 26085 YES 52 YES
LESSOR: LESSEE:
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
BY: BY: /s/ [Signature Illegible]
------------------------ ------------------------
TITLE: TITLE: VP FINANCE
---------------------- ----------------------
54
[TRANSAMERICA BUSINESS CREDIT LETTERHEAD]
March 4, 1998
Xx. Xxxxxxxx X. Xxxx
Vice President - Finance and Administration
The Lightspan Partnership, Inc.
00000 Xxxxxx Xxxxx Xxxxx
Xxx Xxxxx, Xxxxxxxxxx 00000
Re: CUSTOMER NO. 1070-002
Dear Xxxxxxxx:
We would like to thank you for choosing Transamerica Business Credit Corporation
(TBCC) Technology Finance Division for your recent refinancing. For your files,
we have enclosed copies of the various documents executed by your organization
in connection with the above referenced transactions. These documents have been
executed by Transamerica and should be retained by you in a safe place.
Invoices will be sent to you on a monthly basis, with your payments due on the
first day of each month. OUR REMITTANCE ADDRESS FOR ALL PAYMENTS IS FIRST
NATIONAL BANK OF CHICAGO, TBBC - TECHNOLOGY FINANCE DIVISION, XX XXX 00000,
XXXXXXX, XX 00000-0000. THE STREET ADDRESS FOR OUR LOCK BOX IS FIRST NATIONAL
BANK OF CHICAGO, 000 XXXX XXXXXX, 0XX XXXXX XXXXXXXX, XXXXXXX, XXXXXXXX 00000,
ATTENTION: 70892. Please indicate your customer numbers on the face of your
check.
Please be advised that you are responsible for the appropriate property tax
filing. Proof of filing and payment of property tax should be provided to TBCC
annually. All future payments should be made on or before the due date indicated
on each invoice. Payments arriving after 5 days of the due date will be subject
to a 5% late charge. All remittances should be sent to our lock box at the
above mentioned address.
We appreciate having been given the opportunity to serve you and we look forward
to do so again, in the future. Should you have any questions on your account,
please contact our Lease Administration Department at 000-000-0000 and we will
be delighted to assist you.
Very truly yours,
Transamerica Business Credit
Corporation
/s/ XXXX X. XXXXXXXX
Xxxx X. Xxxxxxxx
Lease Administrator
55
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Fifty Eight Thousand, Four Hundred Fifty Five and 91/100
Dollars ($58,455.91) and other valuable consideration to it in hand paid,
receipt of which is hereby acknowledged, does unconditionally, absolutely and
irrevocably grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS
CREDIT CORPORATION and its assignees or successors (collectively, the "Buyer"),
all of the Seller's right, title and interest in and to the equipment described
on Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 24th day of February, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By: [Signature Illegible]
----------------------------
Name:
Title: VP FINANCE
-9-
56
In the event the Lease does not exercise the Purchase Option described below,
the Lease shall automatically renew for a term of 12 months with Monthly Rental
equal to 1.5% of the original equipment Cost payable monthly in advance. At the
expiration of the renewal period, the Lessee shall have the option to purchase
all (but not less than all) the Equipment for its then current Fair Market
Value, plus applicable sales and other taxes.
The Lessee shall have the option to purchase all (but not less than all) the
Equipment at the expiration of the term of the lease for the then Fair Market
Value of the Equipment, plus applicable sales and other taxes. It shall be
agreed that the Fair Market Value shall not be less than 10% of the Equipment
Cost nor more than 20% of the Equipment Cost plus applicable sales and other
taxes.
Lessee hereby irrevocably authorizes Lessor to insert in this Schedule the
Commencement Date and the due date of the first rental payment.
Except as expressly provided or modified hereby, all the terms and provisions of
the Master Lease Agreement shall remain in full force and effect.
The Purchase Date shall be March 1, 2001.
The Stipulated Loss Value of any items of Equipment shall be an amount equal to
the present value of all future Rent discounted at a rate of 6% per annum plus
the Reversionary Value.
The Reversionary Value of any item of Equipment shall be 20% of Equipment Cost.
TRANSAMERICA BUSINESS CREDIT CORPORATION THE LIGHTSPAN PARTNERSHIP INC.
(Lessor) (Lessee)
By: /s/ XXXX X. XXXX By: /s/ XXXXXXXX XXXX
-------------------------------- ----------------------------
Title: Vice President Title: VP Finance
-------------------------------- ----------------------------
57
CLOSING STATEMENT
XXXXXXXXX XX. 0000-000
XXXXXX LIGHTSPAN PARTNERSHIP, INC.
RENTAL SCHEDULE NO. 3
================================================================================
Interim Rent ( 1 Day) @ $378.19 $ 378.19
(2/24/98 through 2/28/98)
Rental Payments
April 1, 1998 $ 11,345.57
SUB-TOTAL $ 11,723.76
Sales/Use Tax (%) Various States (See Attached)
Advanced Rentals $ 28.93
Interim Rent $ .96
SUB-TOTAL $ 29.89
Total for Rentals and Taxes ................. $ 11,753.65
Documentation Fee ........................... $
Includes: UCC Preparation & Filing $____________
Lien Search $____________
Credits ..................................... $(11,753.65)
Deducted from proceeds $11,753.65
Deducted from commitment fee $
GRAND TOTAL DUE......... $ 0.00
PROCEEDS OF SALE LEASEBACK Agreemnt $358,017.27
LESS: DUE TO TBCC $ 11,753.65
-----------
NET TO LIGHTSPAN PARTNERSHIP $346,263.62
* Notes:
1. TBCC will credit $3,580.17 towards payment due May 1, 1998
from Commitment Fee. Balance of $7,794.33
will be invoiced.
Date Prepared 3-24-98
Contract Administration X. Xxxxxxxx
Marketing W. Dial
58
SCHEDULE TO MASTER LEASE AGREEMENT
Dated as of March 23, 1998
Schedule No. 3
LESSOR NAME & MAILING ADDRESS LESSEE NAME & MAILING ADDRESS
Transamerica Business Credit Corporation The Lightspan Partnership, Inc.
Riverway II 00000 Xxxxxx Xxxxx Xxxxx
Xxxx Xxxxxx Xxxxx Xxx Xxxxx, Xxxxxxxxxx 00000
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Equipment Location (if different than Lessee's address above):
This Schedule covers the following described equipment ("Equipment"):
See Exhibit II attached hereto and made a part hereof.
The Equipment is hereby leased pursuant to the provisions of the Master Lease
Agreement between the undersigned Lessee and Lessor dated August 14, 1997 (the
"Master Lease"), the terms of which are incorporated herein by reference
thereto, plus the following additional terms, provisions, and modifications. The
Lessor reserves the right to adjust the monthly payments in accordance with the
Commitment Letter dated August 5, 1997, if the Lessor has not received this
Schedule and an Acceptance and Delivery Certificate executed by the Lessee
within five business days from the date first set forth above.
1. Term (Number of Months) 36 months
2. Equipment Cost $358,017.27
3. Commencement Date March 31, 1998
4. Rate Factor 3.169% of Equipment Cost
5. Total Rents $408,440.52
Total sales/use tax $ 1,041.48 $409,482.00
-----------
6. Advance Rents (first month) $ 11,345.57
Sales/use tax for advance rent $ 28.93 $ 11,374.50
-----------
7. Monthly rental payments $ 11,345.57
Monthly sales/use tax $ 28.93 $ 11,374.50
-----------
and the second such rental payment
will be due on May 1, 1998
and subsequent rental payments will
be due on the same day of each month thereafter
8. Security Deposit NONE
9. In addition to the monthly rental
payments provided for herein, Lessee shall
pay to Lessor, as interim rent, payable on
the commencement date specified above, an
amount equal to 1/30th of the monthly rental
payment (including monthly sales/use tax)
multiplied by the number of days from and
including the commencement date through the
end of the same calendar month. $ 379.15
59
Equipment Location with Tax Rates
SALES
MONTHLY TOTAL TAX
EQUIPMENT SALES RATE MONTHLY TAX MONTHLY INTERM
COST LOCATION ZIP CODE COUNTY TAX RATE FACTOR PAYMENT PAYMENT PAYMENT RENT
---- -------- -------- ------ -------- ------ ------- ------- ------- ----
TAX EXEMPT EQUIPMENT
$343,959.31 00000 XXXXXX XXXXX XX., XXX XXXXX, XX 00000 SAN DIEGO N/A 3.1690% 10,900.07 10900.07
$512.10 000 XXXX XXXXXXX XXXXX, XXXXXX, XX 00000 TUOLUMNE N/A 3.1690% 16.23 16.23
$478.50 0000 XXXXX XXXXXXXXXX, XXXXXXX, XX 00000 XXXX N/A 3.1690% 15.16 15.16
$363.00 0000 XXXXXXX XXXXXXX, XX 00000 XXXX N/A 3.1690% 11.50 11.50
$399.98 0000 XXXXXX XXXX XXXXXXXXX, XX 00000 SAN DIEGO 3.1690% 12.68 12.68
$345,712.89
TAXABLE EQUIPMENT
$4,886.91 00000 XXXXXX XXXXX XX., XXX XXXXX, XX 00000 SAN DIEGO 7.75% 3.1690% 154.87 12.00 166.87 0.40
$392.00 00000 XXXXXX XXXXXX XXXXXX XXXX, XX 00000 XXXXXXX 6.60% 3.1690% 12.42 0.82 13.24 0.03
$373.00 00000 XXXXXXX XXXXX XX XXXXXXXXX, XX 00000 CUYAHOGA 7.00% 3.1690% 11.82 0.83 12.65 0.03
$205.00 00 XXXX XXXX XXXXX XXXXXXX, XX 00000 ROCKLAND 7.25% 3.1690% 6.50 0.47 6.97 0.02
$205.00 000 X 0XX XXXXXX XXXXXXXX, XX 00000 XXXXXX 6.00% 3.1690% 6.50 0.39 6.89 0.01
$373.00 000 XXXXXXXXX XXXXX XXXXXXX, XX 00000 BARNSTABLE 5.00% 3.1690% 11.82 0.59 12.41 0.02
$373.00 0000 XXXXXXXX XXXX XXXXX XXXXX, XX 00000 EAST BATON 8.00% 3.1690% 11.82 0.95 12.77 0.03
$373.00 000 XXXX XXXXX XXXXXXXXX, XX 00000 TARRANT 7.75% 3.1690% 11.82 0.92 12.74 0.03
$373.00 0000 XXXXXXXXXX XXXXXX XXXXXXXXXX, XX 00000 ESCAMBIA 7.50% 3.1690% 11.82 0.89 12.71 0.03
$363.00 0000 XXXXXXXX XXXXXX XXXXXXX, XX 00000 ERIE 8.00% 3.1690% 11.50 0.92 12.42 0.03
$363.00 000 XXXXXXXXX XXX XXXXXXXXXXX, XX 00000 MADISON 7.00% 3.1690% 11.50 0.81 12.31 0.03
$363.00 00000 XXXXXXX XXXXXX XXXX XXXX, XX 00000 CHISAGO 6.50% 3.1690% 11.50 0.75 12.25 0.02
$363.00 0000 XXX XXXXXX XXXXX XXX XXXXXXX, XX 00000 BEXAR 7.75% 3.1690% 11.50 0.89 12.39 0.03
$363.00 000 XXXXXXXX XXXX XXXXXXXXX, XX 00000 7.25% 3.1690% 11.50 0.83 12.33 0.03
$363.00 00000 X XXXXXXXXXX XXXXX XXXXXX, XX 00000 XXXXX 8.05% 3.1690% 11.50 0.93 12.43 0.03
$203.00 0000 XXXXXXXXX XXXXX XXXXXX, XX 00000 XXXXXXXXXX 8.25% 3.1690% 6.43 0.53 6.96 0.02
$363.00 0000 XXXXXXXXXX XXXXX XXXX, XX 00000 FORT BEND 8.25% 3.1690% 11.50 0.95 12.45 0.03
$365.00 0000 XXXXXX XXXX XXXXX X' XXXXXX, XX 00000 ST. XXXXXXX 7.225% 3.1690% 11.57 0.84 12.41 0.03
$205.00 0000 XXXXXXXXX XXXXXX XXXXXXXXX, XX 00000 BRONX 8.250% 3.1690% 6.50 0.54 7.04 0.02
60
SALES
MONTHLY TOTAL TAX
EQUIPMENT SALES RATE MONTHLY TAX MONTHLY INTERM
COST LOCATION ZIP CODE COUNTY TAX RATE FACTOR PAYMENT PAYMENT PAYMENT RENT
---- -------- -------- ------ -------- ------ ------- ------- ------- ----
$205.00 000 XXXXX XXXX XXXXX XXXX XXXXXXX, XX 00000 XXXXXXX 7.000% 3.1690% 6.50 0.45 6.95 0.02
$389.97 0000 XXXX XXXX XXXXXXX, XX 00000 XXXXXX 8.250% 3.1690% 12.36 1.02 13.38 0.03
$363.00 0000 XXX XXXXXXX XXXXX XXXXX, XX 00000 COLLIN 8.250% 3.1690% 11.50 0.95 12.45 0.03
$478.50 000 XXXXXX'X XXXXXX XXXXXXXXXXXX, XX 00000 WILLIAMSBURG 4.500% 3.1690% 15.16 0.68 15.84 0.02
$12,304.38
$358,017.27 $11,345.57 $28.93 $11,374.50 $0.96
Renewal terms:
In the event the Lease does not exercise the Purchase Option described below,
the Lease shall automatically renew for a term of 12 months with Monthly Rental
equal to 1.5% of the original Equipment Cost payable monthly in advance. At the
expiration of the renewal period, the Lessee shall have the option to purchase
all (but not less than all) the Equipment for its then current Fair Market
Value, plus applicable sales and other taxes.
The Lessee shall have the option to purchase all (but not less than all) the
Equipment at the expiration of the term of the lease for the then Fair Market
Value of the Equipment, plus applicable sales and other taxes. It shall be
agreed that the Fair Market Value shall not be less than 10% of the Equipment
Cost nor more than 20% of the Equipment Cost plus applicable dales and other
taxes.
Lessee hereby irrevocably authorizes Lessor to insert in this Schedule the
Commencement Date and the due date of the first rental payment.
Except as expressly provided or modified hereby, all the terms and provisions of
the Master Lease Agreement shall remain in full force and effect.
The Purchase Date shall be April 1, 2001.
The Stipulated Loss Value of any items of Equipment shall be an amount equal to
the present value of all future Rent discounted at a rate of 6% per annum plus
the Reversionary Value.
The Reversionary Value of any item of Equipment shall be 20% of Equipment Cost.
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION (Lessee)
(Lessor)
By: /s/ XXXXXX X. XXXXXXX, XX. By: /s/ [Signature Illegible]
--------------------------------- -------------------------------
Xxxxxx X. Xxxxxxx, Xx.
Title:EXECUTIVE VICE PRESIDENT Title: VP FINANCE
------------------------------ ----------------------------
61
SALE AND LEASEBACK AGREEMENT
THIS SALE AND LEASEBACK AGREEMENT (this "Agreement"). is made as of
March 24, 1998, among The Lightspan Partnership, Inc., a California corporation
("Seller"), and Transamerica Business Credit Corporation, a Delaware corporation
("Buyer").
WITNESSETH:
WHEREAS, Seller is the owner of the equipment more particularly
described on Exhibit II hereto (the "Equipment");
WHEREAS, Seller desires to sell to Buyer and Buyer desires to purchase
from Seller the Equipment; and
WHEREAS, Buyer, as a condition to such purchase, wishes to lease to
Seller and Seller wishes to lease from Buyer the Equipment under the terms and
conditions of the Master Lease Agreement dated as of August 14, 1997 and
Schedule No. 3 thereto (collectively, as amended, supplemented or otherwise
modified from time to time, the "Lease") between Buyer, as lessor, and Seller,
as lessee.
NOW, THEREFORE, in consideration of the premises herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby agree as follows:
1. AMOUNT AND TERMS OF PURCHASE.
(a) Subject to the terms and conditions of this Agreement, and in
reliance upon the representations and warranties of the Seller herein set forth,
the Buyer agrees to purchase all of the Seller's right, title and interest in
and to all of the Equipment such that the Buyer will become the owner of all
such Equipment for all purposes whatsoever. The Seller hereby agrees that the
Buyer is under no obligation to purchase any other equipment now or in the
future and shall not assert a claim that the Buyer may have any such obligation.
(b) The price to be paid by the Buyer with respect to the
purchase of the Equipment (the "Purchase Price") is $358,017.27. The Purchase
Price shall be payable to the Seller on the Lease Commencement Date (as defined
in the Lease).
(c) The Seller shall pay any and all applicable federal, state,
county or local taxes and any and all present or future taxes or other
governmental charges arising in connection with the sale of the Equipment
hereunder. including sales, use or occupation taxes due upon the purchase by the
Buyer.
(d) The purchase of the Equipment shall be evidenced by a xxxx of
sale, substantially in the form attached hereto as Exhibit A (the "Xxxx of
Sale"), duly executed by the Seller.
62
2. CONDITIONS TO PURCHASE. The obigation of the Buyer to purchase
the Equipment is subject to the following conditions:
(a) The Buyer shall have received this Agreement, duly executed
by the Seller.
(b) The Buyer shall have received the Xxxx of Sale, duly executed
by the Seller.
(c) The Buyer shall have received the Lease, duly executed by the
Seller.
(d) The Buyer shall have received resolutions of the Board of
Directors of the Seller approving and authorizing the execution, delivery and
performance by the Seller of this Agreement, the Lease and the notices and other
documents to be delivered by the Seller hereunder and thereunder (collectively,
the "Sale and Leaseback Documents").
(e) The Buyer shall have received the certificate of title or
similar evidence of ownership with respect to each item of Equipment and Uniform
Commercial Code financing statements covering the Equipment in form and
substance satisfactory to the Buyer, duly executed by the Seller.
(f) No material adverse change has occurred with respect to the
business, prospects, properties, results of operations, assets, liabilities or
condition (financial or otherwise) of the Seller and its affiliates, taken as a
whole, since January 31, 1995.
(g) The Buyer shall have received all warranties and other
documentation received or executed by Seller in connection with the original
acquisition of the Equipment by the Seller (and by its execution hereof the
Seller hereby assigns to the Buyer all such warranties and other Documentation).
(h) The Buyer shall have received such other approvals, opinions
or documents as the Buyer may reasonably request.
3. REPRESENTATION AND WARRANTIES. To induce the Buyer to enter into
this Agreement, the Seller represents and warrants to the Buyer that:
(a) The Seller is duly authorized to execute, deliver and perform
its obligations under each of the Sale and Leaseback Documents and all corporate
action required on its part for the due execution, delivery and performance of
the transactions contemplated herein and therein has been duly and effectively
taken.
(b) The execution, delivery and performance by the Seller of each
of the Sale and Leaseback Documents and the consummation of the transactions
contemplated herein
-2-
63
and therein does not and will not violate any provision of, or result in a
default under, the Seller's Articles or Certificates of Incorporation or By-laws
or any indenture or agreement to which the Seller is a party or to which its
assets are bound or any order, permit, law, statute, code, ordinance, rule,
regulation, certificate or any other requirement of any governmental authority
or regulatory body to which the Seller is subject, or result in the creation or
imposition of any mortgage, deed of trust, pledge, security interest, lien or
encumbrance of any kind upon or with respect to the Equipment or any proceeds
thereof, other than those in favor of the Buyer as contemplated by the Sale and
Leaseback Documents.
(c) No authorization or approval or other action by, and no
notice to or filing with, any governmental authority or regulatory body is
required for the due execution. delivery and performance by the Seller of any of
the Sale and Leaseback Documents to which it is a party.
(d) Each Sale and Leaseback Document to which the Seller is a
party constitutes or will constitute, when delivered hereunder, the legal, valid
and binding obligation of the Seller enforceable against the Seller in
accordance with its respective terms, except as such enforceability may be (i)
limited by the effect of applicable bankruptcy, insolvency, reorganization or
similar laws affecting the enforcement of creditors' rights generally or (ii)
subject to the effect of general principles of equity (regardless of whether
such enforceability is considered in a proceeding at equity or at law).
(e) There are no actions, suits, or proceedings pending,
threatened against or affecting the Seller which seek to enjoin, prohibit or
restrain the consummation of any of the transactions contemplated hereby or by
the other Sale and Leaseback Documents.
(f) Each item of Equipment is owned by the Seller free and clear
of any liens and encumbrances of any kind or description. Upon purchase of the
Equipment hereunder, the Buyer will acquire good and marketable title in and to
the Equipment.
All representations and warranties herein shall survive the execution of this
Agreement and the purchase of the Equipment.
4. INDEMNITIES. The Seller agrees to indemnify, defend, and save
harmless the Buyer and its officers, directors, employees, agents, and
attorneys, and each of them (the "Indemnified Parties"), from and against all
claims, actions, suits, and other legal proceedings, damages, costs, interest,
charges, counsel fees and other expenses and penalties (collectively, the
"Indemnified Amounts") which any of the Indemnified Parties may sustain or incur
by reason of or arising out of (i) the Seller's ownership of any Equipment prior
to the date on which such Equipment is sold to the Buyer, or the Seller's acts
or omissions prior to such date under, in connection with or relating to such
Equipment or any of the Sale and Leaseback Documents, (ii) the operation,
maintenance or use of such Equipment prior to such date, (iii) the inaccuracy of
any of the Seller's representations or warranties contained in any of the Sale
and Leaseback
-3-
64
Documents, (iv) the breach of any of the Seller's covenants contained in any of
the Sale and Leaseback Documents, (v) any loss or damage to Equipment in excess
of the deductible which is not paid by insurance or (vi) any sales, use, excise
and other taxes, charges, and fees (including, without limitation, income,
franchise, business and occupation, gross receipts, sales, use, licensing,
registration, titling, personal property, stamp and interest equalization taxes,
levies, imposts, duties, charges or withholdings of any nature), and any fines,
penalties or interest thereon, imposed or levied by any governmental body,
agency or tax authority upon or in connection with the Equipment, its
acquisition, ownership, delivery, leasing, possession, use or relocation or
otherwise in connection with the transactions contemplated by each Sale and
Leaseback Document.
5. REMEDIES. Upon the Seller's violation of or default under any
provision of this Agreement, the Buyer may (subject to the provisions of the
other Sale and Leaseback Documents) proceed to protect and enforce its rights
either by suit in equity or by action at law or both, whether for the specific
performance of any covenant or agreement contained herein or in aid of the
exercise of any power granted in any Sale and Leaseback Document; it being
intended that the remedies contained in any Sale and Leaseback Document shall be
cumulative and shall be in addition to every other remedy given under such Sale
and Leaseback Document or now or hereafter existing at law or in equity or by
statute or otherwise.
6. AMENDMENTS, ETC. No amendment or waiver of any provision of this
Agreement, nor consent to any departure therefrom, shall in any event be
effective unless the same shall be in writing and signed by the Buyer, and then
such waiver or consent shall be effective only in the specific instance and for
the specific purpose for which given.
7. NOTICES, ETC. All notices and other communications provided for
hereunder shall be in writing and sent:
if to the Seller, at its address at:
The Lightspan Partnership, Inc.
00000 Xxxxxx Xxxxx Xxxxx
Xxx Xxxxx, Xxxxxxxxxx 00000
Attention: Vice President - Finance and Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
-4-
65
if to the Buyer, at its address at:
Transamerica Business Credit Corporation
Technology Finance Division
00 Xxxxxxxxx Xxxx Xxxx
Xxxxxxxxxx, Xxxxxxxxxxx 00000-0000
Attention: Assistant Vice President,
Lease Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
with a copy to:
Transamerica Business Credit Corporation
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Attention: Legal Department
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
or to such other address as shall be designated by such party in a written
notice to the other party. All such notices shall be deemed given (i) if sent by
certified or registered mail, three days after being postmarked, (ii) if sent by
overnight delivery service, when received at the above stated addresses or when
delivery is refused and (iii) if sent by facsimile transmission, when receipt of
such transmission is acknowledged.
8. No WAIVER; REMEDIES. No failure on the part of the Buyer to
exercise, and no delay in exercising, any right hereunder shall operate as a
waiver thereof, nor shall any single or partial exercise of any such right
preclude any other or further exercise thereof or the exercise of any other
right. The remedies herein provided are cumulative and not exclusive of any
remedies provided by law.
9. BENEFIT. Without the prior written consent of the Buyer, the
Seller may not transfer, assign or delegate any of its rights, duties or
obligations hereunder.
10. BINDING Effect. This Agreement shall be binding upon and inure
to the benefit of the Seller and the Buyer and their respective successors and
assigns.
11. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF ILLINOIS WITHOUT GIVING
EFFECT TO THE CONFLICTS OF LAW PRINCIPLES THEREOF.
-5-
66
12. EXECUTION IN Counterparts. This Agreement may be executed in any
number of counterparts, each of which shall constitute an original and all of
which taken together shall constitute one and the same agreement.
13. SEVERABILITY. If one or more of the provisions contained in this
Agreement shall be invalid, illegal, or unenforceable in any respect, the
validity, legality, and enforceability of the remaining provisions contained
herein, and any other application thereof, shall not in any way be affected or
impaired thereby.
14. SUBMISSION TO JURISDICTION. ALL DISPUTES ARISING UNDER OR IN
CONNECTION WITH THIS AGREEMENT BETWEEN THE PARTIES HERETO, WHETHER SOUNDING IN
CONTRACT, TORT, EQUITY OR OTHERWISE, SHALL BE RESOLVED ONLY BY STATE AND FEDERAL
COURTS LOCATED IN ILLINOIS, AND THE COURTS TO WHICH AN APPEAL THEREFROM MAY BE
TAKEN; PROVIDED, HOWEVER, THAT THE BUYER SHALL HAVE THE RIGHT, TO THE EXTENT
PERMITTED BY APPLICABLE LAW, TO PROCEED AGAINST THE SELLER OR ITS PROPERTY IN
ANY LOCATION REASONABLY SELECTED BY THE BUYER IN GOOD FAITH TO ENABLE THE BUYER
TO REALIZE ON SUCH PROPERTY, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN
FAVOR OF THE BUYER. EACH PARTY AGREES THAT IT WILL NOT ASSERT ANY PERMISSIVE
COUNTERCLAIMS, SETOFFS OR CROSS-CLAIMS IN ANY PROCEEDING BROUGHT BY THE BUYER;
IT BEING UNDERSTOOD THAT THIS SENTENCE DOES NOT PRECLUDE THE SELLER FROM
ASSERTING COMPULSORY COUNTERCLAIMS. THE SELLER WAIVES ANY OBJECTION THAT IT MAY
HAVE TO THE LOCATION OF THE COURT IN WHICH THE BUYER HAS COMMENCED A PROCEEDING,
INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON
FORUM NON CONVENIENS.
15. JURY TRIAL. THE PARTIES HERETO EACH HEREBY WAIVE TO THE FULLEST
EXTENT PERMITTED BY LAW ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING
ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT.
-6-
67
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their respective officers hereunto duly authorized, as of the first
date written above.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXXXXXX XXXX
---------------------------
Name: Xxxxxxxx Xxxx
Title: VP Finance
TRANSAMERICA BUSINESS CREDIT
CORPORATION
By: /s/ XXXXXX X. XXXXXXX, XX.
---------------------------
Name: Xxxxxx X. Xxxxxxx, Xx.
Title: Executive Vice President
Exhibit II- Equipment
Exhibit A- Xxxx of Sale
-7-
68
EXHIBIT A
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Three Hundred Fifty Eight Thousand, Seventeen and 27/100 Dollars
($358,017.27) and other valuable consideration to it in hand paid, receipt of
which is hereby acknowledged. does unconditionally, absolutely and irrevocably
grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT
CORPORATION and its assignees or successors (collectively, the "Buyer"), all of
the Seller's right, title and interest in and to the equipment described on
Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 31st day of March, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By:
----------------------------
Name:
Title:
-8-
69
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Three Hundred Fifty Eight Thousand, Seventeen and 27/100 Dollars
($358,017.27) and other valuable consideration to it in hand paid, receipt of
which is hereby acknowledged, does unconditionally, absolutely and irrevocably
grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT
CORPORATION and its assignees or successors (collectively, the "Buyer"), all of
the Seller's right, title and interest in and to the equipment described on
Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 31st day of March, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
BY: /s/ XXXXXXXX XXXX
----------------------------
Name: Xxxxxxxx Xxxx
Title: VP Finance
-9-
70
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP
To:
X Schedule to Master Lease Agreement
X UCC
X Sale and Lease back Agreement
PURCH. INVOICE SUBMITTED CHECK TAX
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO. EXEMPT
----------------------- ------------- -------- ------------------ -------- ------------ --------- ----- ------
31-JAN-98
0 Xxxxxx Xxxx X/X Xxx Xxxxx, XX Corporate Express 01/05/98 11308524 474.10 26039 YES
2 2 drawer lateral files N/A San Diego, CA Corporate Express 01/06/98 11126654 463.33 26039 YES
4.55gb XXXX & Xxxx Xxxx XX000000 Xxx Xxxxx, XX Creative Computers 01/13/98 P28765430101 742.09 26328 YES
14" Monitor Oceanside, CA Creative Computers 01/27/98 P29382720101 186.63 26613 YES
HP Deskjet 672C Printer SSG7AF1P0V2 Oceanside, CA Creative Computers 01/27/98 P29382720102 213.35 26613 YES
Intel Overdrive 000XXX X/X Xxx Xxxxx, XX Creative Computers 01/27/98 P29383290101 222.81 26613 YES
x-000 Xxxx Player 359708001013 San Diego, CA Professional Sound 01/12/98 30755 2,246.59 26468 YES
& Music --------
Xxxx XXX 000 XXXX0 Xxx Xxxxx, XX Dell 01/27/98 142559582 2,797.24 26619 YES
Sony Notebook Computer 28980330 San Diego, CA Computer City 12/18/97 749968 4,886.91 25980 NO
HP Deskjet 000X Xxxxxxx XXX0XX0X0XX Xxxxxx Xxxx, XX Creative Computers 01/06/98 P28476570101 26044 NO
14" Monitor J70513284 Kansas City, MO Creative Computers 01/06/98 P28476570101 392.00 26044 NO
HP Deskjet 000X Xxxxxxx XXX0XX0X0XX Xxxxxxxxx, XX Creative Computers 01/27/98 P29381860101 205.00 26613 NO
HP Deskjet 672C Printer SSG7AF1P0SQ Suffern, NY Creative Computers 01/27/98 P29382060101 205.00 26613 NO
HP Deskjet 672C Printer XXX0XX0X0XX Xxxxxxxx, XX Creative Computers 01/27/98 P29382200101 205.00 26613 NO
HP Deskjet 000X Xxxxxxx XXX0XX0X0X0 Xxxxxxx, XX Creative Computers 01/27/98 P29382280102 198.00 26613 NO
14" Monitor Baton Rouge, LA Creative Computers 01/27/98 P29382960101 175.00 26613 NO
HP Deskjet 000X Xxxxxxx XXX00X0X00X Xxxxx Xxxxx, XX Creative Computers 01/27/98 P29382960102 198.00 26613 NO
14" Monitor Arlington, TX Creative Computers 01/27/98 P29383110101 175.00 26613 NO
HP Deskjet 000X Xxxxxxx XXX0XX0X0XX Xxxxxxxxx, XX Creative Computers 01/27/98 P29383110102 198.00 26613 NO
HP Deskjet 672C Printer SUS78M1V030 Cantonment, FL Creative Computers 01/27/98 P29383180102 198.00 26613 NO
14" Monitor Cantonment, FL Creative Computers 01/27/98 P29383180101 175.00 26613 NO
00" Xxxxxxx Xxxxxxx, XX Creative Computers 01/27/98 P29382280101 175.00 26613 NO
14" Monitor Cleveland, OH Creative Computers 01/27/98 P29391160101 168.00 26613 NO
SUBTOTAL $14,900.05
xxxxxxxxxx
XXX-00
Xxxxxxxxx Xxxxxxxx X/X Xxx Xxxxx, XX Action Wholesale 02/19/98 176620 1,690.77 27083 YES
left and right return N/A San Diego, CA Office Furniture 02/11/98 15896 312.48 26975 YES
Networking
Metal corner shelves N/A San Diego, CA Office Furniture 02/11/98 15894 183.18 26975 YES
Networking
3 Drawer Latera File N/A San Diego, CA Office Depot 02/26/98 212029 335.00 27086 YES
Xxxxxx Xxxxxxx 00000000 Xxx Xxxxx, XX Allenwest, Inc. 02/11/98 31180 975.62 26827 YES
CCD Scanner K000051 San Diego, CA Allenwest, Inc. 02/11/98 31180 YES
HP Deskjet 000X Xxxxxxx XXX0XX0X0X0 Xxxxxxx, XX Creative Computers 02/04/98 P29730730102 198.00 26875 YES
HP Deskjet 000X Xxxxxxx 00XXXX Xxx Xxxxx, XX Creative Computers 02/04/98 P29730900102 213.35 26875 YES
14" Monitor San Diego, CA Creative Computers 02/05/98 P29730900101 176.63 26875 YES
14" Monitor Chicago, IL Creative Computers 02/05/98 P29730730101 165.00 26875 YES
Xxxxxx Xxxxxxxx xxx Xxx XX0000000000 Xxx Xxxxx, XX Creative Computers 02/04/98 P29731030101 618.26 26875 YES
Inspirion M200ST CFNWL San Diego, CA Dell 02/17/98 144950367 2,704.55 27085 YES
--------
XX Xxxxxxx 000X Xxxxxxx XXX0XX0X0XX Xxxxxxxxxxx, XX Creative Computers 02/12/98 P30087940102 198.00 26875 NO
HP Deskjet 672C Printer SSG7BN1P2B3 Buffalo, NY Creative Computers 02/04/98 P29730960102 198.00 26875 NO
14" Monitor Buffalo, NY Creative Computers 02/05/98 P29730960101 165.00 26875 NO
Page 1
71
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP
To:
X Schedule to Master Lease Agreement
X UCC
X Sale and Lease back Agreement
PURCH. INVOICE SUBMITTED CHECK TAX
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO. EXEMPT
----------------------- ------------- -------- ------------------ -------- ------------ --------- ----- ------
HP Deskjet 672C Printer 30PABA Rush City, MN Creative Computers 02/12/98 P30088030102 198.00 26875 NO
HP Deskjet 000X Xxxxxxx XXX0XX0X0X0 Xxx Xxxxxxx, XX Creative Computers 02/12/98 P30088100102 198.00 26875 NO
HP Deskjet 672C Printer XXX0XX0X000 Xxxxxxxxx, XX Creative Computers 02/12/98 P30086950102 198.00 26875 NO
14" Monitor San Antonio, TX Creative Computers 02/14/98 P30088100101 165.00 27084 NO
14" Monitor Chittenango, NY Creative Computers 02/14/98 P30087940101 165.00 27084 NO
14" Monitor Rush City, MN Creative Computers 02/14/98 P30088030101 165.00 27084 NO
14" Monitor Cleveland, MS Creative Computers 02/14/98 P30086950101 165.00 27084 NO
HP Deskjet 672C Printer SSG7BN1P2T1 Aurora, CO Creative Computers 02/18/98 P30317910102 198.00 27084 NO
HP Deskjet 672C Printer SSG7BN1P2V4 Austin, TX Creative Computers 02/18/98 P30318120101 203.00 27084 NO
HP Deskjet 000X Xxxxxxx 00XXXX Xxxxx Xxxx, XX Creative Computers 02/18/98 P30318270102 198.00 27084 NO
14" Monitor Aurora, CO Creative Computers 02/19/98 P30317910101 165.00 27084 NO
HP Deskjet 672C Printer SSG7BN1P2P1 O'Fallon, MO Creative Computers 02/20/98 P30402440102 198.00 27084 NO
00" Xxxxxxx Xxxxx Xxxx, XX Creative Computers 02/20/98 P30318270101 165.00 27084 NO
14" Monitor O'Fallon, MO Creative Computers 02/21/98 P30402440101 167.00 27084 NO
HP Deskjet 672C Printer XXX0XX000X0 Xxxxxxxxx, XX Creative Computers 02/27/98 P30708830101 205.00 27084 NO
HP Deskjet 672C Printer SCN7BD111JB Westchester, PA Creative Computers 02/27/98 P30709050101 205.00 27084 NO
HP Deskjet 672C Printer XXX0XX000XX Xxxxxxx, XX Creative Computers 02/27/98 P3071010001 389.97 27084 NO
14" Monitor Houston, TX Creative Computers 02/27/98 P3071010001 27084 NO
HP Deskjet 672C Printer SCN7BD111HV PlaNO, TX Creative Computers 02/27/98 P30711660101 363.00 27084 NO
14" Monitor PlaNO, TX Creative Computers 02/27/98 27084 NO
SUBTOTAL $11,844.81
==========
1070-003.XLS Page 2
72
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP
To:
X Schedule to Master Lease Agreement
X UCC
X Sale and Lease back Agreement
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR
-------------------- ------------- -------- ------
N/A San Diego, CA Action Wholesale
X/X Xxx Xxxxx, XX Xxxxxx Xxxxx
XXX00X0X00X Xxxxxxx, XX Creative Computers
6A74390349 Chicago, IL Creative Computers
SUS82A1W01Z Sonora, CA Creative Computers
6A74390319 Sonora, CA Creative Computers
To Follow San Diego, CA Compaq
X000XXX00000 Xxx Xxxxx, XX Optimal Computer
X000XXX00000 Xxx Xxxxx, XX Optimal Computer
XXX00000 Xxx Xxxxx, XX Optimal Computer
XXX00000 Xxx Xxxxx, XX Optimal Computer
XXX00000 Xxx Xxxxx, XX Optimal Computer
XXX00000 Xxx Xxxxx, XX Optimal Computer
SUS82A1W02Q Williamsburg, VA Creative Computers
6A74292463 Williamsburg, VA Creative Computers
TOTAL TAX EXEMPT 345,712.89
TAXABLE 12,304.38
------------------------
358,017.27
PURCH. INVOICE SUBMITTED CHECK
DATE NUMBER COSTS NO. TAX EXEMPT
----- ------- --------- ----- ----------
03/04/98 17704 1,690.77 27083 YES
03/09/98 23973211 420.00 27086 YES
03/11/98 p31125160101 478.50 27084 YES
03/11/98 p31125160101 27084 YES
03/11/98 P31125610101 512.10 27084 YES
03/11/98 P31125610101 27084 YES
03/18/98 309,889.00 27080/88 YES
03/02/98 66665 1,544.06 26979 YES
03/03/98 66858 16,259.48 27087 YES
03/03/98 66858 27087 YES
03/03/98 66858 27087 YES
03/03/98 66858 27087 YES
03/03/98 66858 27087 YES
-----------
03/11/98 P31125450101 478.50 27084 NO
03/11/98 P31125450101 27084 NO
SUBTOTAL $331,272.41
===========
GRAND TOTAL $358,017.27
LESSEE:
LESSOR:
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
BY /s/ [SIGNATURE ILLEGIBLE]
BY: /s/ XXXXXX X. XXXXXXX, XX. --------------------------
----------------------------
Xxxxxx X. Xxxxxxx, XX. TITLE: Vice President Finance
----------------------
Title: Executive Vice President
------------------------
73
EXHIBIT II
THE LIGHTSPAN PARTNERSHIP
To:
X Schedule to Master Lease Agreement
X UCC
X Sale and Lease back Agreement
SERIAL NUMBERS FOR:
130 Presario 1681 V752BVQ22014 V811BVQ20121 V811BVQ20182 V811BVQ20077
Vendor: Compaq V752BVQ26328 V811BVQ20122 V811BVQ20183 V811BVQ20078
Equipment Location: San Diego V752BVQ26373 V811BVQ20125 V811BVQ20189 V811BVQ20080
V752BVQ26419 V811BVQ20127 V811BVQ20191 V811BVQ20083
Equipment Cost: 309,889.00 V752BVQ26433 V811BVQ20131 V811BVQ20197 V811BVQ20084
V752BVQ26434 V811BVQ20134 V811BVQ20198 V811BVQ20087
V752BVQ26506 V811BVQ20135 V811BVQ20215 V811BVQ20089
V753BVQ2A859 V811BVQ20136 V811BVQ20217 V811BVQ20091
V753BVQ2A860 V811BVQ20137 V811BVQ20748 V811BVQ20093
V802BVQ20349 V811BVQ20138 V811BVQ20752 V811BVQ20094
V811BVQ20002 V811BVQ20139 V811BVQ20759 V811BVQ20095
V811BVQ20003 V811BVQ20140 V811BVQ20760 V811BVQ20097
V811BVQ20007 V811BVQ20141 V811BVQ20762 V811BVQ20098
V811BVQ20008 V811BVQ20142 V811BVQ20763 V811BVQ20100
V811BVQ20009 V811BVQ20146 V811BVQ20764 V811BVQ20101
V811BVQ20010 V811BVQ20148 V811BVQ20766 V811BVQ20102
V811BVQ20012 V811BVQ20149 V811BVQ20767 V811BVQ20103
V811BVQ20014 V811BVQ20153 V811BVQ20768 V811BVQ20106
V811BVQ20015 V811BVQ20161 V811BVQ20769 V811BVQ20107
V811BVQ20016 V811BVQ20163 V811BVQ20771 V811BVQ20108
V811BVQ20017 V811BVQ20164 V811BVQ20772 V811BVQ20110
V811BVQ20028 V811BVQ20165 V811BVQ20778 V811BVQ20112
V811BVQ20033 V811BVQ20167 V811BVQ20781 V811BVQ20113
V811BVQ20035 V811BVQ20168 V811BVQ20783 V811BVQ20114
V811BVQ20038 V811BVQ20170 V811BVQ20786 V811BVQ20115
V811BVQ20054 V811BVQ20171 V811BVQ20792 V811BVQ20116
V811BVQ20056 V811BVQ20173 V811BVQ20793 V811BVQ20117
V811BVQ20057 V811BVQ20174 V811BVQ20795 V811BVQ20119
V811BVQ20065 V811BVQ20177 V811BVQ20796
V811BVQ20066 V811BVQ20178 V811BVQ20797
V811BVQ20070 V811BVQ20179 V811BVQ20798
V811BVQ20072 V811BVQ20800
V811BVQ20076 V811BVQ20803
V811BVQ20804
V811BVQ20805
V811BVQ20806
V811BVQ20809
V811BVQ20814
74
ACCEPTANCE AND DELIVERY CERTIFICATE
The Lightspan Partnership, Inc., as lessee ("Lessee") under the Master
Lease Agreement dated as of August 14, 1997 between Lessee and Transamerica
Business Credit Corporation, as Lessor, does hereby acknowledge the acceptance
and deliver of the equipment listed in Lease Schedule No. 3, such acceptance
and delivery having been made on the 31st day of March, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ [SIGNATURE ILLEGIBLE]
------------------------------
Name:
Title:
75
0092417000553000
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
X.X. Xxx 000
Xxx Xxxx, XX 00000-0000
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
THE LIGHTSPAN PARTNERSHIP, INC.
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00000 XXXXXX XXXXX XXXXX XXX XXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) 1070-003 1070-003
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY'S NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
00 XXXXXXXXX XXXX XXXX XXXXXXXXXX XX 00000
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBITS I AND II ATTACHED HERETO AND MADE A PART HEREOF.
FILE WITH THE SECRETARY OF STATE CALIFORNIA
CUSTOMER NO. 1070-003
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
/s/ [SIGNATURE ILLEGIBLE] Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) FILING OFFICER COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
X.X. Xxx 000 Xxx Xxxx, XX 00000-0000
Tel (000) 000-0000
76
EXHIBIT 1 TO UCC-1
Lessee: The Lightspan Partnership, Inc.
Lessor: Transamerica Business Credit Corporation
? property described on Exhibit II attached hereto, which is leased pursuant to
Master Lease Agreement dated August 14, 1997 between above-named Lessee and
Lessor, and Schedule No. 3 thereto collectively, the "Lease"), all replacements,
substitutions, additions, attachments, accessions, parts, fittings and
accessories thereto and therefor, whether owned or hereafter acquired, and all
proceeds (including insurance proceeds and ? sublease and the rentals and
profits thereon) of and from said property. The Secured Party is a Lessor and
the Debtor is a Lessee in respect to the leased property, and the Lease is not
intended as a security agreement to create a security interest in Lessor. This
agreement is not to be evidence that the Lease is a security agreement, but if
it is determined to be so for other reasons, this financing statement is filed
to perfect the Secured Party's security interest in the property.
LESSOR: LESSEE:
TRANSAMERCIA BUSINESS THE LIGHTSPAN PARTNERSHIP, INC.
CREDIT CORPORATION
By: By: /s/ [Signature Illegible]
--------------------- -----------------------------
Title: Title: Vice President Finance
--------------------- -----------------------------
Date: Date: March 25, 1998
--------------------- -----------------------------
77
CLOSING STATEMENT
XXXXXXXXX XX. 0000-000
XXXXXX: THE LIGHTSPAN PARTNERSHIP, INC.
SCHEDULE NO.: 4
================================================================================
Interim Payment (19 Days) @ $299.01 $5,681.19
Advance Payments
First (November 1, 1998) $8,970.33
SUB-TOTAL $8,970.33
Sales/Use Tax
Advance Rental $222.19
Interim Rent $140.72
SUB-TOTAL $362.91
TOTAL FOR PAYMENTS AND TAXES $15,014.43
Credits ($15,014.43)
Deducted from proceeds $15,014.43
Deducted from commitment fee $
GRAND TOTAL DUE $0.00
-------------------------------------------------------------------------------
PROCEEDS OF SALE AND LEASEBACK, SCHEDULE 4 $283,064.85
LESS: DUE TO TBCC $15,014.43
NET PROCEEDS TO LIGHTSPAN PARTNERSHIP, INC. $268,050.42
-------------------------------------------------------------------------------
COMMITMENT FEE RECEIVED $20,000.00
LESS: EXPENSES TO DATE $2,212.25
LESS: PRO-RATED MONTHLY PAYMENT FOR SCHEDULE 1 $2,812.72
LESS: PRO-RATED MONTHLY PAYMENT FOR SCHEDULE 2 $449.83
LESS: PRO-RATED MONTHLY PAYMENT FOR SCHEDULE 3 $3,580.17
LESS: PRO-RATED MONTHLY PAYMENT FOR SCHEDULE 4 $2,830.65
-------------------------------------------------------------------------------
BALANCE OF COMMITMENT FEE $ 8,205.38
Date Prepared October 7, 1998
Lease Administrator X. Xxxxxxxx
Marketing W. Dial
78
PAY PROCEEDS LETTER
October 13, 1998
Transamerica Business Credit Corporation
Riverway II
West Office Tower
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, XX 00000
Ladies and Gentlemen:
Reference is made to the Master Lease Agreement dated August 14, 1997 and
Schedule No. 4 dated October 13, 1998 and executed by the undersigned as Lessee
and Transamerica Business Credit Corporation ("Lessor").
The undersigned authorizes and directs Lessor to disburse the proceeds of
the lease as follows:
PAYEE PARTICULARS AMOUNT
----- ----------- ------
1. Account Name: The Lightspan Partnership, Inc. $268,050.42
Bank Name: Silicon Valley Bank
Bank Address: 0000 Xxxxxxx Xxxxx, Xxxxx 000
Xxx Xxxxx, XX 00000
Account Number: 3300036337
ABA Number: 000-000-000
Attention: Xxxxxxx Xxxxxxx
Telephone No.: 000-000-0000
2. Transamerica Business Credit Corporation $ 15,014.43
-----------
TOTAL $283,064.85
The Lightspan Partnership, Inc.
By: /s/ XXXX XXXXXX
--------------------------
Name: Xxxx Xxxxxx
Title: President
79
SCHEDULE TO MASTER LEASE AGREEMENT
Dated as of October 13, 1998
Schedule No. 4
LESSOR NAME & MAILING ADDRESS LESSEE NAME & MAILING ADDRESS
Transamerica Business Credit Corporation The Lightspan Partnership, Inc.
Riverway II 00000 Xxxxxx Xxxxx Xxxxx
Xxxx Xxxxxx Xxxxx Xxx Xxxxx, Xxxxxxxxxx 00000
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Equipment Location (if different than Lessee's address above):
This Schedule covers the following described equipment ("Equipment"):
See Exhibit II attached hereto and made a part hereof.
The Equipment is hereby leased pursuant to the provisions of the Master Lease
Agreement between the undersigned Lessee and Lessor dated August 14, 1997 (the
"Master Lease"), the terms of which are incorporated herein by reference
thereto, plus the following additional terms, provisions, and modifications. The
Lessor reserves the right to adjust the monthly payments in accordance with the
Commitment Letter dated August 5, 1997, if the Lessor has not received this
Schedule and an Acceptance and Delivery Certificate executed by the Lessee
within five business days from the date first set forth above.
1. Term (Number of Months) 36 months
2. Equipment Cost $283,064.85
3. Commencement Date October 13, 1998
4. Rate Factor 3.169% of Equipment Cost
5. Total Rents $322,931.88
Total sales/use tax $ 7,998.84 $330,930.72
-----------
6. Advance Rents (first month) $ 8,970.33
Sales/use tax for advance rent $ 222.19 $ 9,192.52
-----------
7. Monthly rental payments $ 8,970.33
Monthly sales/use tax $ 222.19 $ 9,192.52
-----------
and the second such rental payment
will be due on December 1, 1998
and subsequent rental payments will
be due on the same day of each month thereafter
8. Security Deposit NONE
9. In addition to the monthly rental
payments provided for herein, Lessee shall
pay to Lessor, as interim rent, payable on
the commencement date specified above, an
amount equal to 1/30th of the monthly rental
payment (including monthly sales/use tax)
multiplied by the number of days from and
including the commencement date through the
end of the same calendar month. $ 5,821.91
80
Equipment Location with Tax Rates:
EQUIPMENT EQUIPMENT RATE MONTHLY TAX MONTHLY TOTAL INTERIM SALES TAX
COST LOCATION FACTOR PAYMENT RATE SALES TAX PAYMENT RENT INTERIM RENT
---- -------- ------ ------- ---- --------- ------- ---- ------------
$198.00 255 Brentwood 3.169 $6.27 5.000% $0.31 $6.59 $3.97 $0.20
Xxxxxxxx, XX 00000
$198.00 0000 Xxxxxxxxxx Xxxx 3.169 $6.27 7.000% $0.44 $6.71 $3.97 $0.28
Xxxxxxx, XX 00000
$198.00 0000 Xxxxx Xxxxxx Xxxx 3.169 $6.27 7.750% $0.49 $6.76 $3.97 $0.31
Xxx Xxxxxxx, XX 00000
$198.00 0000 Xxxxxxx Xxxx Xx. 3.169 $6.27 8.250% $0.52 $6.79 $3.97 $0.33
Xxxxxx, XX 00000
$198.00 6804 Mount Cedar 3.169 $6.27 8.250% $0.52 $6.79 $3.97 $0.33
Xxxxxx, XX 00000
$205.00 0000 Xxxxx Xxxx Xxxx 3.169 $6.50 4.500% $0.29 $6.79 $4.11 $0.19
Xxxxx, XX 00000
$198.00 0000 XX 000xx Xxxxxx 3.169 $6.27 0.000% $0.00 $6.27 $3.97 $0.00
Xxxxxxxx, XX 00000
$198.00 000 Xxxxxxx Xxxxxx #000 3.169 $6.27 7.000% $0.44 $6.71 $3.97 $0.28
Xxxxxxxxxx, XX 00000
$198.00 00000 XX Xxxxx Xxxxx 3.169 $6.27 6.000% $0.38 $6.65 $3.97 $0.24
Xxxxxxx Xxxxx, XX 00000
$198.00 0000 Xxxxxxxxxxx 3.169 $6.27 6.000% $0.38 $6.65 $3.97 $0.24
Xxxxxxxxx, XX 00000
$205.00 0000 Xxxxxxxxx Xxxxxxx 3.169 $6.50 6.000% $0.39 $6.89 $4.11 $0.25
Xxxxxxxxx, XX 00000
$198.00 000 Xxxxxxxxx Xxxx. 3.169 $6.27 7.000% $0.44 $6.71 $3.97 $0.28
Brandon, MS
$150.00 0000 Xxxxxxxxx Xxxxxx, Xxx. F 3.169 $4.75 7.000% $0.33 $5.09 $3.01 $0.21
Xxxxxxxxxx, XX 00000
$2,540.00 TOTAL FOR OTHER LOCATIONS
$88,464.04 TOTAL FOR TAXABLE EQUIPMENT 3.169 $2,803.43 7.750% $217.27 $3,020.69 $1,775.50 $137.60
SAN DIEGO, CA
$192,060.81 TOTAL FOR EXEMPT EQUIPMENT 3.169 $6,086.41 0.000% $0.00 $6,086.41 $3,854.72 0
SAN DIEGO, CA
$283,064.85 GRAND TOTAL $8,970.33 $222.19 $9,192.52 $5,681.19 $140.72
81
Renewal terms:
In the event the Lease does not exercise the Purchase Option described below,
the Lease shall automatically renew for a term of 12 months with Monthly Rental
equal to 1.5% of the original Equipment Cost payable monthly in advance. At the
expiration of the renewal period, the Lessee shall have the option to purchase
all (but not less than all) the Equipment for its then current Fair Market
Value, plus applicable sales and other taxes.
The Lessee shall have the option to purchase all (but not less than all) the
Equipment at the expiration of the term of the lease for the then Fair Market
Value of the Equipment, plus applicable sales and other taxes. It shall be
agreed that the Fair Market Value shall not be less than 10% of the Equipment
Cost nor more than 20% of the Equipment Cost plus applicable dales and other
taxes.
Lessee hereby irrevocably authorizes Lessor to insert in this Schedule the
Commencement Date and the due date of the first rental payment.
Except as expressly provided or modified hereby, all the terms and provisions of
the Master Lease Agreement shall remain in full force and effect.
The Purchase Date shall be November 1, 2001.
The Stipulated Loss Value of any items of Equipment shall be an amount equal to
the present value of all future Rent discounted at a rate of 6% per annum plus
the Reversionary Value.
The Reversionary Value of any item of Equipment shall be 20% of Equipment Cost.
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION /s/ XXXX XXXXXXX
-------------------------------
(Lessor) (Lessee)
By: /s/ XXXX X. XXXX By: XXXX XXXXXXX
----------------------------
Xxxx X. Xxxx
Title: VICE PRESIDENT Title: PRESIDENT
82
ACCEPTANCE AND DELIVERY CERTIFICATE
The Lightspan Partnership, Inc., as lessee ("Lessee") under the Master
Lease Agreement dated as of August 14, 1997 between Lessee and Transamerica
Business Credit Corporation, as Lessor, does hereby acknowledge the acceptance
and delivery of the equipment listed in Lease Schedule No. 4, such acceptance
and delivery having been made on the 13th day of October, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXX XXXXXX
----------------------------
Name: Xxxx Xxxxxx
Title: President
83
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
HP Deskjet Printer SSG84Q1N0FR Soldotna, AK Creative Computers 07/22/98 P36065770101 198.00 29804
HP Deskjet Printer SCN83R120WD Augusta, GA Creative Computers 07/21/98 P36032990101 198.00 29804
HP Deskjet Printer SCN848130gz San Antonio, TX Creative Computers 07/30/98 P36321380101 198.00
HP Deskjet Printer SSG82R1P07G Austin TX Creative Computers 04/30/98 P33032160101 198.00 28362
HP Deskjet Printer SCN7BE1128T Plano, TX Creative Computers 03/26/98 P31707260101
HP Deskjet Printer SCN83R120WV Dallas, TX Creative Computers 07/21/98 P36033200101 198.00 29804
HP Deskjet Printer 30PABA Brandon, MS Creative Computers 07/29/98 P36321630101 198.00 30058
00" Xxxxxxx Xxxxxxxxxx, XX Creative Computers 03/02/98 P30761200101 150.00 27284
HP Deskjet Printer XXX0000XXXX Xxxx, XX Creative Computers 03/25/98 P31653520101 205.00 27583
HP Deskjet Printer 1PC5886A Kalamazoo, MI Creative Computers 07/29/98 P36321520101 198.00 30058
HP Deskjet Printer SSG8191P0HQ Rochester Hills, MI Creative Computers 03/23/98 P31587770101 205.00
HP Deskjet Printer SCN82N111PD Pittsburgh, PA Creative Computers 07/02/98 P35339680101 198.00 29462
HP Deskjet Printer 30PABA Pompano, FL Creative Computers 07/29/98 P36321270101 198.00 30058
HP Deskjet Printer 88698189504 Portland, OR Creative Computers 07/02/98 P35339950101 198.00 29462
TOTAL 2,540.00
Warehouse Shelving N/A San Diego, CA Action Wholesale 03/13/98 177385 1,650.90 27553
Warehouse Shelving N/A San Diego, CA Action Wholesale 03/25/98 177678 1,775.85
4 Drawer Xxxxxxx Xxxx X/X Xxx Xxxxx, XX Office Depot 03/16/98 24062296 452.55 27639
2 Drawer Lateral File N/A San Diego, CA Office Depot 03/16/98 24062300 290.93 27639
4 Drawer Lateral File N/A San Diego, CA Office Depot 03/18/98 24097598 452.55
60" Bookcase(4) N/A San Diego, CA OFFICE Depot 03/18/98 216054 607.71 00000
Xxx Xxxxx, XX Office Depot 03/25/98 216055 151.93
4 Drawer Lateral File(2) N/A San Diego, CA Office Depot 03/30/98 24244523 905.10 27639
HP Deskjet Printer SSG8191N0CP San Diego, CA Creative Computers 03/24/98 P31653660101 213.88
Page 1
84
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ -------- --------- -----
Warehouse Shelving N/A San Diego, CA Action Wholesale 04/02/98 178010 981.60 27708
Warehouse Shelving N/A San Diego, CA Action Wholesale 04/29/98 178878 1,281.61 28295
4 Drawer Lateral File N/A San Diego, CA Office Depot 04/01/98 24287931 452.55 27875
4 Drawer Lateral File N/A San Diego, CA Office Depot 04/20/98 24542234 452.55 28465
4 Drawer Lateral File N/A San Diego, CA Office Depot 04/20/98 24542252 452.55 28465
Percon Top Gun P3009318 San Diego, CA Allenwest, Inc 04/09/98 31514 1,610.86 27995
Snapshot Scanner(2) SJ080356 San Diego, CA Allenwest, Inc 04/16/98 31555 1,185.25 28299
SH835972
Presario 4230ES SX813BQQ2C600 San Diego, CA Compaq 04/29/98 20-29355-11 5,330.40 28354
Presario Monitor 806BD26GU374 San Diego. CA Compaq 04/29/98 20-29355-11
Presario 0000 XX000XXXXX000 Xxx Xxxxx, XX Compaq 04/29/98 20-29355-11
Presario 0000 XX000XXX0X000 Xxx Xxxxx, XX Compaq 04/29/98 20-29355-11
17" Trinitron Monitors (5) See Invoice San Diego, CA Creative Computers 04/02/98 P32026770101 4,714.07 28044
00" Xxxxxxxxx Xxxxxxx X000000000X Xxx Xxxxx, XX Creative Computers 04/06/98 P32109930101 564.61 28044
Intel Overdrives/Hard drives See Invoice San Diego, CA Creative Computers 04/08/98 P32223980102 6,227.95 28044
15" Trinitron Monitors (4) See Invoice San Diego, CA Creative Computers 04/10/98 P32303900101 1,228.35 28044
17" Visionmaster Monitors(g) See Invoice San Diego, CA Creative Computers 04/10/98 P32223980103 5,275.44 28044
17" Trinitron Monitors (2) See Invoice San Diego, CA Creative Computers 04/20/98 P32635160101 1,861.92 00000
Xxxx XXX000 XX0X0 Xxx Xxxxx, XX Dell 04/10/98 154045108 2,138.84 00000
Xxxx XXX000 XX0XX Xxx Xxxxx, XX Dell 04/10/98 154044895 2,750.87 00000
Xxxx XXX000 XX0XX Xxx Xxxxx, XX Dell 04/10/98 154045017 2,421.15 00000
Xxxx XXX000 X00X0 Xxx Xxxxx, XX Dell 04/23/98 155787765 7,852.79 00000
Xxxx XXX000 X00X0 Xxx Xxxxx, XX Dell 04/23/98 155787765
Dell XPS333 X00X0 Xxx Xxxxx, XX Dell 04/23/98 155787765
GatewayG6-233 9622351 Xxx Xxxxx, XX Xxxxxxx 0000 04/07/98 30027085 2,144.11 28079
GatewayG6-233 9622350 San Diego, CA Gateway 2000 04/07/98 30026310 2,255.81 28079
Page 2
85
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
HP 6000 External GB00441607 Xxx Xxxxx, XX Xxxxxxx Xxxxxxx 00/00/00 XX00000 1,045.18 27812
HP 0000 Xxxxxxxx XX00000000 Xxx Xxxxx, XX Hewlett Packard 04/09/98 AW15903
Compaq Smart2 PO468AA91GIORN San Diego, CA Optimal Computer 04/07/98 67565 2,483.74 27882
Millennia 1195820-001 San Diego, CA Tish ER 4/18 (Micron) 04/10/98 840449 4,261.52 27960
ClientProVXE 1195822-001 San Diego, CA Tish ER 4/18 (Micron) 04/10/98 840449
Warehouse Shelving N/A San Diego, CA Action Wholesale 05/08/98 179181 312.15 28577
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Office Depot 05/01/98 220974 151.93 28465
4 Drawer Lateral File N/A Son Diego, CA Office Depot 04/28/98 44919043 452.55 28465
4 Drawer Lateral File N/A San Diego, CA Office Depot 04/28/98 44918953 452.55 28465
4 Drawer Lateral File N/A San Diego, CA Office Depot 05/04/98 45023118 452.55 28729
2 Chairs N/A San Diego, CA Office Depot 05/04/98 45272397 82.97 00000
Xxxx Xxxxx X/X Xxx Xxxxx, XX Office Depot 05/18/98 223448 150.85 28729
Visionmaster Monitor 4948570010158 San Diego, CA Creative Computers 05/12/98 P33453880101 1,172.32 28632
Visionmaster Monitor 01015t7004820 San Diego. CA Creative Computers
24GB Internal Xxx Xxxxx X/X Xxx Xxxxx, XX Creative Computers 05/21/98 P33732920101 1,026.85 29024
Intel Overdrive Chips (10) N/A San Diego, CA Crown Communications 05/04/98 4801 2,040.00 28634
17" Visionmaster Monitor (9) San Diego, CA Crown Communications 05/04/98 4801 4,851.00 28634
Dell Dimension XPS 300Mhz E9L3G San Diego, CA Dell 05/01/98 157628710 2,670.05 28370
00" Xxx Xxxxxxxx X/X Xxx Xxxxx, XX Office Depot 6/9/98 227533 151.93 29351
17" Trinitron Monitor S0140570305 San Diego, CA
Cheetah 9.1 GB Hardrive LH136771 San Diego, CA Creative Computer 2/14/98 P30127380101 790.89 29024
Vision Master Monitor (6) 01015T007936 San Diego, CA Creative Computer 6/4/98 P34289530101 942.82 29024
01015T008176 San Diego, CA Creative Computer 6/10/98 P34465220102 3,516.96 29298
01015T006806 Xxx Xxxxx, XX
00000X000000 Xxx Xxxxx, XX
00000X000000 Xxx Xxxxx, XX
Page 3
86
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
01015T007978 San Diego, CA
00 XX Xxxxxxxx Xxxxx GB00411274 San Diego, CA Creative Computer 6/24/98 P34996570101 1,012.85
Dell Dimension XPS 000 Xxx XXXXX Xxx Xxxxx, XX Dell 5/27/98 161370440 2,757.70 29030
TOTAL TAXABLE EQUIPMENT - CA 88,464.04
Benches(8) N/A Carlsbad, CA Action Wholesale 08/05198 181906 449.84 00000
Xxxxxxx X/X Xxxxxxxx, XX Action Wholesale 08/17/98 182227 319.68 00000
Xxxx Xxxxx X/X Xxxxxxxx, XX Action Wholesale 08/28/98 719.85
4 Dwr Lateral File N/A San Diego, CA Office Depot 07/06/98 48724585 452.55 29587
4 Dwr Lateral File (2) N/A San Diego, CA Office Depot 07/06/98 48260565 905.10 29587
4 Dwr Lateral File (2) N/A San Diego, CA Office Depot 07/21/98 47247860 905.10 00000
Xxxxxxx 0X000000 Xxx Xxxxx, XX Allenwest, Inc. 07/01/98 31823 1,113.06 28579
Presario 1681 233X Laptop X000XXX00000 Xxx Xxxxx, XX Compaq 07/06/98 0000000000 23,705.00 29454
V817BVQ25163
V817BVQ25164
V817BVQ25170
V817BVQ25176
V817BVQ25178
V817BVQ25183
V817BVQ25184
V817BVQ25185
9.10 10GB XXXX Xxxxx XX00000000 Xxx Xxxxx, XX Creative Computers 07/01/98 P35067020102 3,539.59 29462
Powermac X0 XXX0000X0XX0 Xxx Xxxxx, XX Creative Computers 07/01/98 P35067020102 7,418.59 29462
SXB826005CY5
SXB826027CY5
Page 4
87
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
125MB Memory kit N/A San Diego, CA Creative Computers 07/01/98 P35251830101 1,583.93 29462
Proliant 3000R D826BX620045 San Diego, CA Creative Computers 07/03/98 P35316790101 5,167.69 29462
Proliant 0000 X/X Xxx Xxxxx, XX Creative Computers 07/10/98 P35623950103 964.37 00000
Xxxxxxxx Xxxx xxx X/X Xxx Xxxxx, XX Creative Computers 07/10/98 P35534680101 211.19 29804
Proliant 0000/0000 X/X Xxx Xxxxx, XX Creative Computers 07/15/98 P35067020104 1,066.73 00000
Xxxxxxxx Xxxxxx X/X Xxx Xxxxx, XX Creative Computers 07/15/98 P35067020103 1,293.00 29804
42U Rack N/A San Diego, CA Creative Computers 07/16/98 P35317260101 1,72400 29804
24GB Internal Xxx Xxxxx XX00000000 Xxx Xxxxx, XX Creative Computers 07/16/98 P35804600101 1,012.85 29804
Proliant 1600R 123123 San Diego, CA Creative Computers 07/17/98 P35635670101 3,291.77 29804
Smart UPS 0000 X/X Xxx Xxxxx, XX Creative Computers 07/20/98 P3597260101 1,217.58 29804
Proliant Fan Kit 4948382046604 San Diego, CA Creative Computers 07/22/98 P36073190102 357.73 00000
Xxxxxxxxx 0 X/X Xxx Xxxxx, XX Creative Computers 07/23/98 P36073190101 1,422.30 00000
000XX Xxxxxx X/X Xxx Xxxxx, XX Creative Computers 07/27/98 P35623950101 5,918.71 30058
9.1GB XXXX Xxxxx 00XX0X0XXX Xxx Xxxxx, XX Creative Computers
9.1GB XXXX Xxxxx 00XXXX00XX Xxx Xxxxx, XX Creative Computers
9.1GB XXXX Xxxxx 00XX0XX0XX Xxx Xxxxx, XX Creative Computers
Proliant 0000 Xxxxx X/X Xxx Xxxxx, XX Creative Computers 07/29/98 P36073190104 468.72 30058
Proliant Fan Kit N/A San Diego, CA Creative Computers 07/29/98 P36073190103 191.80 30058
Canon Fax 9000 UFK35585 San Diego, CA Ikon Office Solutions 07/30/98 73072A 2,688.36 29521
Yamaha CD Recorder (2) XX000000 Xxx Xxxxx, XX Computibility Xxxx (ER 6/27)07/01/98 Tish ER 6127 958.00 29258
WebTV (3) 1800220457 San Diego, CA Good Guys Xxxx (ER7/17) 07/20/98 Xxxx ER7/17 538.72 29663
7063930
8CCB037936
Dynamics Software N/A San Diego, CA ABS/New Ledger 07/13/98 60013 103,736.00
17" Visionmaster Monitor 01019j5122809 San Diego, CA Creative Computers 08/13/98 P36895830102 522.00
Dell XPS X000 Xxxxxxx XXX00 Xxx Xxxxx, XX Dell 08/11/98 175039569 3,102.00
Page 5
88
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
Intergraph XX0 Xxxxxxxxxxx X00000 Xxx Xxxxx, XX XS International 08/28/98 15894 15,095.00
Intergraph XX0 Xxxxxxxxxxx X00000 Xxx Xxxxx, XX XS International
Intergraph XX0 Xxxxxxxxxxx X00000 Xxx Xxxxx, XX XS International
21" Monitor X0X00000 Xxx Xxxxx, XX XS International
TOTAL EXEMPT EQUIPMENT - CA 192,060.81
TOTAL EQUIPMENT COST 283,064.85
TRANSAMERICA BUSINESS CREDIT LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
By: /s/ XXXX X. MONO By: /s/ XXXX XXXXXX
------------------------- ------------------------
Title: Xxxx X. Mono Title: Xxxx Xxxxxx
-------------------- ------------------
Vice President President
Page 6
89
SALE AND LEASEBACK AGREEMENT
THIS SALE AND LEASEBACK AGREEMENT (this "Agreement"), is made as of
October 13, 1998, among The Lightspan Partnership, Inc., a California
corporation ("Seller"), and Transamerica Business Credit Corporation, a Delaware
corporation ("Buyer").
WITNESSETH:
WHEREAS, Seller is the owner of the equipment more particularly
described on Exhibit II hereto (the "Equipment");
WHEREAS, Seller desires to sell to Buyer and Buyer desires to purchase
from Seller the Equipment; and
WHEREAS, Buyer, as a condition to such purchase, wishes to lease to
Seller and Seller wishes to lease from Buyer the Equipment under the terms and
conditions of the Master Lease Agreement dated as of August 14, 1997 and
Schedule No. 4 thereto (collectively, as amended, supplemented or otherwise
modified from time to time, the "Lease") between Buyer, as lessor, and Seller,
as lessee.
NOW, THEREFORE, in consideration of the premises herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby agree as follows:
1. AMOUNT AND TERMS OF PURCHASE.
(a) Subject to the terms and conditions of this Agreement, and in
reliance upon the representations and warranties of the Seller herein set forth,
the Buyer agrees to purchase all of the Seller's right, title and interest in
and to all of the Equipment such that the Buyer will become the owner of all
such Equipment for all purposes whatsoever. The Seller hereby agrees that the
Buyer is under no obligation to purchase any other equipment now or in the
future and shall not assert a claim that the Buyer may have any such obligation.
(b) The price to be paid by the Buyer with respect to the
purchase of the Equipment (the "Purchase Price") is $283,064.85. The Purchase
Price shall be payable to the Seller on the Lease Commencement Date (as defined
in the Lease).
(c) The Seller shall pay any and all applicable federal, state,
county or local taxes and any and all present or future taxes or other
governmental charges arising in connection with the sale of the Equipment
hereunder, including sales, use or occupation taxes due upon the purchase by the
Buyer.
(d) The purchase of the Equipment shall be evidenced by a xxxx of
sale, substantially in the form attached hereto as Exhibit A (the "Xxxx of
Sale"), duly executed by the Seller.
90
2. CONDITIONS TO PURCHASE. The obligation of the Buyer to purchase the
Equipment is subject to the following conditions:
(a) The Buyer shall have received this Agreement, duly executed
by the Seller.
(b) The Buyer shall have received the Xxxx of Sale, duly executed
by the Seller.
(c) The Buyer shall have received the Lease, duly executed by the
Seller.
(d) The Buyer shall have received resolutions of the Board of
Directors of the Seller approving and authorizing the execution, delivery and
performance by the Seller of this Agreement, the Lease and the notices and other
documents to be delivered by the Seller hereunder and thereunder (collectively,
the "Sale and Leaseback Documents").
(e) The Buyer shall have received the certificate of title or
similar evidence of ownership with respect to each item of Equipment and Uniform
Commercial Code financing statements covering the Equipment in form and
substance satisfactory to the Buyer, duly executed by the Seller.
(f) No material adverse change has occurred with respect to the
business prospects, properties, results of operations, assets, liabilities or
condition (financial or otherwise) of the Seller and its affiliates, taken as a
whole, since January 31, 1995.
(g) The Buyer shall have received all warranties and other
documentation received or executed by Seller in connection with the original
acquisition of the Equipment by the Seller (and by its execution hereof the
Seller hereby assigns to the Buyer all such warranties and other Documentation).
(h) The Buyer shall have received such other approvals, opinions
or documents as the Buyer may reasonably request.
3. REPRESENTATION AND WARRANTIES. To induce the Buyer to enter into this
Agreement, the Seller represents and warrants to the Buyer that:
(a) The Seller is duly authorized to execute, deliver and perform
its obligations under each of the Sale and Leaseback Documents and all corporate
action required on its part for the due execution, delivery and performance of
the transactions contemplated herein and therein has been duly and effectively
taken.
(b) The execution, delivery and performance by the Seller of each
of the Sale and Leaseback Documents and the consummation of the transactions
contemplated herein and therein does not and will not violate any provision of,
or result in a default under, the Seller's
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91
Articles or Certificates of Incorporation or By-laws or any indenture or
agreement to which the Seller is a party or to which its assets are bound or any
order, permit, law, statute, code, ordinance, rule, regulation, certificate or
any other requirement of any governmental authority or regulatory body to which
the Seller is subject, or result in the creation or imposition of any mortgage,
deed of trust, pledge, security interest, lien or encumbrance of any kind upon
or with respect to the Equipment or any proceeds thereof, other than those in
favor of the Buyer as contemplated by the Sale and Leaseback Documents.
(c) No authorization or approval or other action by, and no
notice to or filing with, any governmental authority or regulatory body is
required for the due execution, delivery and performance by the Seller of any of
the Sale and Leaseback Documents to which it is a party.
(d) Each Sale and Leaseback Document to which the Seller is a
party constitutes or will constitute, when delivered hereunder, the legal, valid
and binding obligation of the Seller enforceable against the Seller in
accordance with its respective terms, except as such enforceability may be (i)
limited by the effect of applicable bankruptcy, insolvency, reorganization or
similar laws affecting the enforcement of creditors' rights generally or (ii)
subject to the effect of general principles of equity (regardless of whether
such enforceability is considered in a proceeding at equity or at law).
(e) There are no actions, suits, or proceedings pending,
threatened against or affecting the Seller which seek to enjoin, prohibit or
restrain the consummation of any of the transactions contemplated hereby or by
the other Sale and Leaseback Documents.
(f) Each item of Equipment is owned by the Seller free and clear
of any liens and encumbrances of any kind or description. Upon purchase of the
Equipment hereunder, the Buyer will acquire good and marketable title in and to
the Equipment.
All representations and warranties herein shall survive the execution of this
Agreement and the purchase of the Equipment.
4. INDEMNITIES. The Seller agrees to indemnify, defend, and save
harmless the Buyer and its officers, directors, employees, agents, and
attorneys, and each of them (the "Indemnified Parties"), from and against all
claims, actions, suits, and other legal proceedings, damages, costs, interest,
charges, counsel fees and other expenses and penalties (collectively, the
"Indemnified Amounts") which any of the Indemnified Parties may sustain or incur
by reason of or arising out of (i) the Seller's ownership of any Equipment prior
to the date on which such Equipment is sold to the Buyer, or the Seller's acts
or omissions prior to such date under, in connection with or relating to such
Equipment or any of the Sale and Leaseback Documents, (ii) the operation,
maintenance or use of such Equipment prior to such date, (iii) the inaccuracy of
any of the Seller's representations or warranties contained in any of the Sale
and Leaseback Documents, (iv) the breach of any of the Seller's covenants
contained in any of the Sale and Leaseback Documents, (v) any loss or damage to
any Equipment in excess of the deductible
-3-
92
which is not paid by insurance or (vi) any sales, use, excise and other taxes,
charges, and fees (including, without limitation, income, franchise, business
and occupation, gross receipts, sales, use, licensing, registration, titling,
personal property, stamp and interest equalization taxes, levies, imposts,
duties, charges or withholdings of any nature), and any fines, penalties or
interest thereon, imposed or levied by any governmental body, agency or tax
authority upon or in connection with the Equipment, its acquisition, ownership,
delivery, leasing, possession, use or relocation or otherwise in connection with
the transactions contemplated by each Sale and Leaseback Document.
5. REMEDIES. Upon the Seller's violation of or default under any
provision of this Agreement, the Buyer may (subject to the provisions of the
other Sale and Leaseback Documents) proceed to protect and enforce its nights
either by suit in equity or by action at law or both, whether for the specific
performance of any covenant or agreement contained herein or in aid of the
exercise of any power granted in any Sale and Leaseback Document; it being
intended that the remedies contained in any Sale and Leaseback Document shall be
cumulative and shall be in addition to every other remedy given under such Sale
and Leaseback Document or now or hereafter existing at law or in equity or by
statute or otherwise.
6. AMENDMENTS, ETC. No amendment or waiver of any provision of this
Agreement, nor consent to any departure therefrom, shall in any event be
effective unless the same shall be in writing and signed by the Buyer, and then
such waiver or consent shall be effective only in the specific instance and for
the specific purpose for which given.
7. NOTICES, ETC. All notices and other communications provided for
hereunder shall be in writing and sent:
if to the Seller, at its address at:
The Lightspan Partnership, Inc.
00000 Xxxxxx Xxxxx Xxxxx
Xxx Xxxxx, Xxxxxxxxxx 00000
Attention: Vice President - Finance and Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
-4-
93
if to the Buyer, at its address at:
Transamerica Business Credit Corporation
Technology Finance Division
00 Xxxxxxxxx Xxxx Xxxx
Xxxxxxxxxx, Xxxxxxxxxxx 00000-0000
Attention: Assistant Vice President,
Lease Administration
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
with a copy to:
Transamerica Business Credit Corporation
0000 Xxxx Xxxxxxx Xxxx
Xxxxxxxx, Xxxxxxxx 00000
Attention: Legal Department
Telephone No.: 000-000-0000
Telecopy No.: 000-000-0000
or to such other address as shall be designated by such party in a written
notice to the other party. All such notices shall be deemed given (i) if sent by
certified or registered mail, three days after being postmarked, (ii) if sent by
overnight delivery service, when received at the above stated addresses or when
delivery is refused and (iii) if sent by facsimile transmission, when receipt of
such transmission is acknowledged.
8. NO WAIVER; REMEDIES. No failure on the part of the Buyer to exercise,
and no delay in exercising, any right hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any such right preclude any
other or further exercise thereof or the exercise of any other right. The
remedies herein provided are cumulative and not exclusive of any remedies
provided by law.
9. BENEFIT. Without the prior written consent of the Buyer, the Seller
may not transfer, assign or delegate any of its rights, duties or obligations
hereunder.
10. BINDING EFFECT. This Agreement shall be binding upon and inure to
the benefit of the Seller and the Buyer and their respective successors and
assigns.
11. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF ILLINOIS WITHOUT GIVING
EFFECT TO THE CONFLICTS OF LAW PRINCIPLES THEREOF.
-5-
94
12. EXECUTION IN COUNTERPARTS. This Agreement may be executed in any
number of counterparts, each of which shall constitute an original and all of
which taken together shall constitute one and the same agreement.
13. SEVERABILITY. If one or more of the provisions contained in this
Agreement shall be invalid, illegal, or unenforceable in any respect the
validity, legality, and enforceability of the remaining provisions contained
herein, and any other application thereof, shall not in any way be affected or
impaired thereby.
14. SUBMISSION TO JURISDICTION. ALL DISPUTES ARISING UNDER OR IN
CONNECTION WITH THIS AGREEMENT BETWEEN THE PARTIES HERETO, WHETHER SOUNDING IN
CONTRACT, TORT, EQUITY OR OTHERWISE, SHALL BE RESOLVED ONLY BY STATE AND FEDERAL
COURTS LOCATED IN ILLINOIS, AND THE COURTS TO WHICH AN APPEAL THEREFROM MAY BE
TAKEN; PROVIDED, HOWEVER, THAT THE BUYER SHALL HAVE THE RIGHT, TO THE EXTENT
PERMITTED BY APPLICABLE LAW, TO PROCEED AGAINST THE SELLER OR ITS PROPERTY IN
ANY LOCATION REASONABLY SELECTED BY THE BUYER IN GOOD FAITH TO ENABLE THE BUYER
TO REALIZE ON SUCH PROPERTY, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN
FAVOR OF THE BUYER. EACH PARTY AGREES THAT IT WILL NOT ASSERT ANY PERMISSIVE
COUNTERCLAIMS, SETOFFS OR CROSS-CLAIMS IN ANY PROCEEDING BROUGHT BY THE BUYER;
IT BEING UNDERSTOOD THAT THIS SENTENCE DOES NOT PRECLUDE THE SELLER FROM
ASSERTING COMPULSORY COUNTERCLAIMS. THE SELLER WAIVES ANY OBJECTION THAT IT MAY
HAVE TO THE LOCATION OF THE COURT IN WHICH THE BUYER HAS COMMENCED A PROCEEDING,
INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON
FORUM NON CONVENIENS.
15. JURY TRIAL. THE PARTIES HERETO EACH HEREBY WAIVE TO THE FULLEST
EXTENT PERMITTED BY LAW ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING
ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT.
-6-
95
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their respective officers hereunto duly authorized, as of the first
date written above.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXX XXXXXX
-------------------------------
Name: Xxxx Xxxxxx
Title President
TRANSAMERICA BUSINESS CREDIT
CORPORATION
By: /s/ XXXX X. XXXX
--------------------------------
Name: Xxxx X. Xxxx
Title: Vice President
Exhibit II- Equipment
Exhibit A- Xxxx of Sale
-7-
96
XXXX OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Two Hundred Eight Three Thousand, Sixty Four and 85/100 Dollars
($283,064.85) and other valuable consideration to it in hand paid, receipt of
which is hereby acknowledged, does unconditionally, absolutely and irrevocably
grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT
CORPORATION and its assignees or successors (collectively, the "Buyer"), all of
the Seller's right, title and interest in and to the equipment described on
Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 13th day of October, 1998.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ XXXX XXXXXX
-------------------------------
Name: Xxxx Xxxxxx
Title: President
-8-
97
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
HP Deskjet Printer SSG84Q1N0FR Soldotna, AK Creative Computers 07/22/98 P36065770101 198.00 29804
HP Deskjet Printer SCN83R120WD Augusta, GA Creative Computers 07/21/98 P36032990101 198.00 29804
HP Deskjet Printer SCN848130gz San Antonio, TX Creative Computers 07/30/98 P36321380101 198.00
HP Deskjet Printer SSG82R1P07G Austin, TX Creative Computers 04/30/98 P33032160101 198.00 28362
HP Deskjet Printer SCN7BE1128T Plano, TX Creative Computers 03/26/98 P31707260101
HP Deskjet Printer SCN83R120WV Dallas, TX Creative Computers 07/21/98 P36033200101 198.00 29804
HP Deskjet Printer 30PABA Brandon, MS Creative Computers 07/29/98 P36321630101 198.00 30058
00" Xxxxxxx Xxxxxxxxxx, XX Creative Computers 03/02/98 P30761200101 150.00 27284
HP Deskjet Printer XXX0000XXXX Xxxx, XX Creative Computers 03/25/98 P31653520101 205.00 27583
HP Deskjet Printer 1PC5886A Kalamazoo, MI Creative Computers 07/29/98 P36321520101 198.00 30058
HP Deskjet Printer SSG8191P0HQ Rochester Hills, MI Creative Computers 03/23/98 P31587770101 205.00
HP Deskjet Printer SCN82N111PD Pittsburg, PA Creative Computers 07/02/98 P35339680101 198.00 29462
HP Deskjet Printer 30PABA Pompano, FL Creative Computers 07/29/98 P36321270101 198.00 30058
HP Deskjet Printer 88698189504 Portland, OR Creative Computers 07/02/98 P35339950101 198.00 29462
TOTAL 2,540.00
Warehouse Shelving N/A San Diego, CA Action Wholesale 03/13/98 177385 1,650.90 27553
Warehouse Shelving N/A San Diego, CA Action Wholesale 03/25/98 177678 1,775.85
4 Drawer Xxxxxxx Xxxx X/X Xxx Xxxxx, XX Office Depot 03/16/98 24062296 452.55 27639
2 Drawer Lateral File N/A San Diego, CA Office Depot 03/16/98 24062300 290.93 27639
4 Drawer Lateral File N/A San Diego, CA Office Depot 03/18/98 24097598 452.55
60" Bookcase(4) N/A San Diego, CA Office Depot 03/18/98 216054 607.71 00000
Xxx Xxxxx, XX Office Depot 03/25/98 216055 151.93
4 Drawer Lateral File(2) N/A San Diego, CA Office Depot 03/30/98 24244523 905.10 27639
HP Deskjet Printer SSG8191N0CP San Diego, CA Creative Computers 03/24/98 P31653660101 213.88
Page 1
98
EXHIBIT II
To: X Schedule NO. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ---- ------ --------- -----
01015T007978 San Diego, CA
00 XX Xxxxxxxx XXXXX GB00411274 San Diego, CA Creative Computer 6/24/98 P34996570101 1,012.85
Dell Dimension XPS 000 XxX XXXXX Xxx Xxxxx, XX Dell 5/27/98 161370440 2,757.70 29030
TOTAL TAXABLE EQUIPMENT - CA 88,464.04
Benches(8) N/A Carlsbad, CA Action Wholesale 08/05/98 181906 449.84 00000
Xxxxxxx X/X Xxxxxxxx, XX Action Wholesale 08/17/98 182227 319.68 00000
Xxxx Xxxxx X/X Xxxxxxxx, XX Action Wholesale 08/28/98 719.85
4 Dwr Lateral File N/A San Diego, CA Office Depot 07/06/98 48724585 452.55 29587
4 Dwr Lateral File (2) N/A San Diego, CA Office Depot 07/06/98 48260565 905.10 29587
4 Dwr Lateral File (2) N/A San Diego, CA Office Depot 07/21/98 47247860 905.10 00000
Xxxxxxx 0X000000 Xxx Xxxxx, XX Allenwest, Inc. 07/01/98 31823 1,113.06 28579
Presario 1681 233X Laptop X000XXX00000 Xxx Xxxxx, XX Compaq 07/06/98 0000000000 23,705.00 29454
V817BVQ25163
V817BVQ25164
V817BVQ25170
V817BVQ25176
V817BVQ25178
V817BVQ25183
V817BVQ25184
V817BVQ25185
9.10 00 XX XXXX Xxxxx GB00411274 San Diego, CA Creative Computers 07/01/98 P35067020102 3,539.59 29462
Powermac X0 XXX0000X0XX0 Xxx Xxxxx, XX Creative Computers 07/01/98 P35067020102 7,418.59 29462
SXB826005CY5
SXB826027CY5
Page 4
99
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Xxxx of Sale
Dated October 13, 0000
Xxxxxxx
Xxxxxxxxxxxx Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO.
--------------------- ------------- -------- ------ ------ ------- --------- -----
125MB Memory kit N/A San Diego, CA Creative Computers 07/01/98 P35251830101 1,583.93 29462
Proliant 3000R D826BX620045 San Diego, CA Creative Computers 07/03/98 P35316790101 5,167.69 29462
Proliant 0000 X/X Xxx Xxxxx, XX Creative Computers 07/10/98 P35623950103 964.37 00000
Xxxxxxxx Xxxx xxx X/X Xxx Xxxxx, XX Creative Computers 07/10/98 P35534680101 211.19 29804
Proliant 0000/0000 X/X Xxx Xxxxx, XX Creative Computers 07/15/98 P35067020104 1,066.73 00000
Xxxxxxxx Xxxxxx X/X Xxx Xxxxx, XX Creative Computers 07/15/98 P35067020103 1,293.00 29804
42U Rack N/A San Diego, CA Creative Computers 07/16/98 P35317260101 1,724.00 29804
24GB Internal Xxx Xxxxx XX00000000 Xxx Xxxxx, XX Creative Computers 07/16/98 P35804600101 1,012.85 29804
Proliant 1600R 123123 San Diego, CA Creative Computers 07/17/98 P35635670101 3,291.77 29804
Smart UPS 0000 X/X Xxx Xxxxx, XX Creative Computers 07/20/98 P3597260101 1,217.58 29804
Proliant Fan Kit 4948382046604 San Diego, CA Creative Computers 07/22/98 P36073190102 357.73 00000
Xxxxxxxxx 0 X/X Xxx Xxxxx, XX Creative Computers 07/23/98 P36073190101 1,422.30 00000
000XX Xxxxxx X/X Xxx Xxxxx, XX Creative Computers 07/27/98 P35623950101 5,918.71 30058
9.1GB XXXX Xxxxx 00XX0X0XXX Xxx Xxxxx, XX Creative Computers
9.1GB XXXX Xxxxx 00XXXX00XX Xxx Xxxxx, XX Creative Computers
9.1GB SCSI Drive 68OD9EL8GA San Diego, CA Creative Computers
Proliant 1200 Tower N/A San Diego, CA Creative Computers 07/29/98 P36073190104 469.72 30058
Proliant Fan Kit N/A San Diego, CA Creative Computers 07/29/98 P36073190103 191.80 30058
Canon Fax 9000 UFK35585 San Diego, CA Ikon Office 07/30/98 73072A 2,688.36 29521
Solutions
Yamaha CD Recorder(2) ZJ085384 San Diego, CA Computibility Tish 07/01/98 Tish ER 6/27 958.00 29258
(ER 6/27)
WebTV(3) 1800220457 San Diego, CA Good Guys Tish 07/20/98 Tish ER 7/17 538.72 29663
7063930 (ER 7/17)
8CCB037936
Dynamics Software N/A San Diego, CA ABS/New Ledger 07/13/98 60013 103,736.00
17" Visionmaster Monitor 01019j5122809 San Diego, CA Creative Computers 08/13/98 P3689530102 522.00
Dell XPS R400 Pentium FVF41 San Diego, CA Dell 08/11/98 175039569 3,102.00
Page 5
100
EXHIBIT II
To: X Schedule No. 4 to Master Lease Agreement X Sale and Leaseback Agreement
X UCC X Bill of Sale
Dated October 13, 1998
Between
Transamerica Business Credit Corporation
and
LightSpan Partnership, Inc.
PURCH. INVOICE SUBMITTED CHECK
EQUIPMENT DESCRIPTION SERIAL NUMBER LOCATION VENDOR DATE NUMBER COSTS NO
--------------------- ------------- -------- ------ ---- ------ ----- --
Intergraph GL2 Workstation H29735 San Diego, CA XS International 08/28/98 15894 15,095.00
Intergraph GL2 Workstation H29715 San Diego, CA XS International
Intergraph GL2 Workstation H29749 San Diego, CA XS International
21" Monitor G8D00177 San Diego, CA XS International
TOTAL EXEMPT EQUIPMENT - CA 192,060.81
TOTAL EQUIPMENT COST 283,064.85
TRANSAMERICA BUSINESS CREDIT LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
By: /s/ GARY P. MORO By: /s/ CARL ZEIGER
------------------------------- -------------------------------
Title: Vice President Title: President
---------------------------- ----------------------------
Page 6
101
0092417001110000
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
P.O. Box 275
Van Nuys, CA 91408-2750
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
THE LIGHTSPAN PARTNERSHIP, INC.
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
10140 CAMPUS POINT DRIVE SAN DIEGO CA 92121
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) 1070-004 1070-004
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY'S NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
76 BATTERSON PARK ROAD FARMINGTON CT 06032
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBITS I AND II ATTACHED HERETO AND MADE A PART HEREOF.
FILE WITH THE SECRETARY OF STATE CALIFORNIA
CUSTOMER NO. 1070-004
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
/s/ KATHRYN M. WHITE Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) FILING OFFICER COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
P.O. Box 275 Van Nuys, CA 91408-0275
Tel (818) 909-2200
102
Marelle and Christian Chereau
TEXAS GEORGIA
DATE EL PASO DALLAS-M DALLAS-C SAN ANTONIO ATLANTA
------ ------- ---------- ---------- ----------- ----------- ----------
Budget $5,000.00 $5,000.00 $5,000.00 $8,000.00 $6,000.00
7-Feb
14-Feb 900.00
7-Mar 1,200.00 800.00 800.00
14-Mar 800.00
28-Mar*
11-Apr* 100.00
18-Apr*
9-May 2,400.00
23-May* 450.00
6-Jun*
20-Jun 1,200.00 1,600.00
27-Jun* 400.00
11-Jul 400.00 600.00
18-Jul 100.00
1-Aug* 150.00 700.00
8-Aug 1,000.00 1,000.00 1,200.00
22-Aug 500.00
5-Sep*
12-Sep* 2,100.00
19-Sep* 1,600.00 900.00
------ -------- --------- --------- --------- ---------
Totals 3,850.00 3,400.00 2,700.00 5,650.00 5,300.00
Variance 1,150.00 1,600.00 2,300.00 2,350.00 700.00
FLORIDA
CLAYTON CHATHAM OKALOOSA EXPENSES TOTALS
--------- --------- --------- --------- ----------
$6,000.00 $7,000.00 $4,000.00 $46,000.00
600.00 $600.00
$900.00
508.21 $3,308.21
800.00 600.00 1,600.00 957.32 $4,757.32
250.00 $250.00
100.00 $200.00
350.00 $350.00
797.83 $3,197.83
$450.00
350.00 $350.00
871.72 $3,671.72
400.00 $800.00
1,000.00 $2,000.00
$100.00
$850.00
719.63 $3,919.63
700.00 61.14 $1,261.14
100.00 $100.00
397.92 $2,497.92
266.13 $2,766.13
--------- --------- --------- --------- ----------
1,600.00 3,400.00 1,850.00 4,579.90 $32,329.90
4,400.00 3,600.00 2,150.00 -4,579.90 $13,670.10
*= Unpaid- just received 9/2/398
103
CLOSING STATEMENT
LEASEPLUS NO. 1070-005
LESSEE: THE LIGHTSPAN PARTNERSHIP, INC.
SCHEDULE NO.: 5
Interim Payment (8 Days) @ $91.71 $733.68
March 24, 1999 - March 31, 1999
ADVANCE PAYMENT(S)
First (April 1, 1999) $2,751.31
Last N/A
SUB-TOTAL $3,484.99
SALES/USE TAX
First $127.43
Interim Pmt. $33.66
SUB-TOTAL $161.09
TOTAL FOR PAYMENTS $3,646.08
Documentation Fee*
Attorney Fee*
Other Fees
Credits
Deducted from proceeds $3,646.08
Deducted from Application fee $0.00
GRAND TOTAL DUE AT CLOSING $0.00
PROCEEDS OF LEASE SCHEDULE NO. 5 DATED MARCH 24, 1999 $86,819.54
LESS: DUE TO TBCC $3,646.08
LESS: DUE TO VENDORS $0.00
NET PROCEEDS TO THE LIGHTSPAN PARTNERSHIP, INC. $83,173.46
APPLICATION FEE RECEIVED. $20,000.00
APPLICATION FEE TO BE APPLIED TO EXPENSES AND RENT. $20,000.00
LESS: EXPENSES INCURRED TO DATE. ($2,385.25)
LESS: PRO-RATED AMOUNT APPLIED TO PRIOR SCHEDULE(S). ($9,673.37)
LESS: PRO-RATED AMOUNT APPLIED TO SCHEDULE 5 (2ND MO. RENT). ($868.20)
BALANCE OF APPLICATION FEE. $7,073.18
Date Prepared March 18, 1999
Lease Administration C. Bodnar
Marketing W. Dial
104
SCHEDULE TO MASTER LEASE AGREEMENT
Dated as of March 24, 1999
Schedule No. 5
LESSOR NAME & MAILING ADDRESS LESSEE NAME & MAILING ADDRESS
Transamerica Business Credit Corporation The Lightspan Partnership, Inc.
Riverway II 10140 Campus Point Drive
West Office Tower San Diego, California 92121
9399 West Higgins Road
Rosemont, Illinois 60018
Equipment Location (if different than Lessee's address above):
See Exhibit II attached hereto and made a part hereof.
This Schedule covers the following described equipment ("Equipment"):
See Exhibit II attached hereto and made a part hereof.
The Equipment is hereby leased pursuant to the provisions of the Master Lease
Agreement between the undersigned Lessee and Lessor dated August 14, 1997 (the
"Master Lease"), the terms of which are incorporated herein by reference
thereto, plus the following additional terms, provisions, and modifications. The
Lessor reserves the right to adjust the monthly payments in accordance with the
Commitment Letter dated August 5, 1997, if the Lessor has not received this
Schedule and an Acceptance and Delivery Certificate executed by the Lessee
within five business days from the date first set forth above.
1. Term (Number of Months) 36 months
2. Equipment Cost $86,819.54
3. Commencement Date March 24, 1999
4. Rate Factor 3.169% of Equipment Cost
5. Total Rents $ 99,047.16
Total sales/use tax $ 4,575.60 $103,622.76
-------------
6. Advance Rents (first month) $ 2,751.31
Sales/use tax for advance rent $ 127.10 $ 2,878.41
--------------
7. Monthly rental payments $ 2,751.31
Monthly sales/use tax $ 127.10 $ 2,878.41
--------------
and the second such rental payment
will be due on May 1, 1999
and subsequent rental payments will
be due on the same day of each month thereafter
8. Security Deposit NONE
9. In addition to the monthly rental
payments provided for herein, Lessee shall
pay to Lessor, as interim rent, payable on
the commencement date specified above, an
amount equal to 1/30th of the monthly rental
payment (including monthly sales/use tax)
multiplied by the number of days from and
including the commencement date through the
end of the same calendar month. $ 767.57
105
Equipment Location with Tax Rates:
RATE MONTHLY MONTHLY TOTAL INTERIM SALES TAX
EQUIPMENT LOCATION FACTOR PAYMENT TAX RATE SALES TAX PAYMENT RENT INTERIM RENT
------------------ ------ ------- -------- --------- ------- ---- ------------
220 N. 22nd Pl, APT 2026, Mesa, AZ 3.169 $5.74 7.200% $0.41 $6.15 $1.53 $0.11
1606 E. 550 Rd., Lawrence, KS 3.169 $5.29 6.900% $0.37 $5.66 $1.41 $0.10
204 Brenhaven Blvd, Brandon, MS 3.169 $5.55 7.000% $0.39 $5.93 $1.48 $0.10
5101 Butternut Rd., Durhan, NC 3.169 $4.94 6.000% $0.30 $5.24 $1.32 $0.08
31-24 99th St., Flushing, NY 3.169 $5.20 8.250% $0.43 $5.62 $1.39 $0.11
4421 Carrington CT, Harrisburg, PA 3.169 $5.74 6.000% $0.34 $6.08 $1.53 $0.09
3001 Blue Bird, McCallen, TX 3.169 $5.74 8.250% $0.47 $6.21 $1.53 $0.13
128 William Richmond, Williamsburg, VA 3.169 $5.74 4.500% $0.26 $5.99 $1.53 $0.07
1077 Norwich Ave., Virginia Beach, VA 3.169 $6.40 4.500% $0.29 $6.69 $1.71 $0.08
2282 S. Highland Dr., Camino Island, WA 3.169 $5.29 8.000% $0.42 $5.71 $1.41 $0.11
Other exempt equipment 3.169 $11.47 0.000% $0.00 $11.47 $3.06 $0.00
TOTAL FOR TAXABLE CA EQUIPMENT 3.169 $1,592.60 7.750% $123.43 $1,716.02 $424.69 $32.91
TOTAL FOR EXEMPT CA EQUIPMENT 3.169 $1,091.63 0.000% $0.00 $1,091.63 $291.10 $0.00
GRAND TOTAL $2,751.31 $127.10 $2,878.41 $733.68 $33.89
106
Renewal terms:
In the event the Lease does not exercise the Purchase Option described below,
the Lease shall automatically renew for a term of 12 months with Monthly Rental
equal to 1.5% of the original Equipment Cost payable monthly in advance. At the
expiration of the renewal period, the Lessee shall have the option to purchase
all (but not less than all) the Equipment for its then current Fair Market
Value, plus applicable sales and other taxes.
The Lessee shall have the option to purchase all (but not less than all) the
Equipment at the expiration of the term of the lease for the then Fair Market
Value of the Equipment, plus applicable sales and other taxes. It shall be
agreed that the Fair Market Value shall not be less than 10% of the Equipment
Cost nor more than 20% of the Equipment Cost plus applicable dales and other
taxes.
Lessee hereby irrevocably authorizes Lessor to insert in this Schedule the
Commencement Date and the due date of the first rental payment.
Except as expressly provided or modified hereby, all the terms and provisions of
the Master Lease Agreement shall remain in full force and effect.
The Purchase Date shall be April 1, 2002.
The Stipulated Loss Value of any items of Equipment shall be an amount equal to
the present value of all future Rent discounted at a rate of 6% per annum plus
the Reversionary Value.
The Reversionary Value of any item of Equipment shall be 20% of Equipment Cost.
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION (Lessee)
(Lessor)
By: /s/ GARY P. MORO By: /s/ KATHRYN M. WHITE
------------------------------ ----------------------------
Gary P. Moro Kathryn M. White
Title: VICE PRESIDENT Title: ASSISTANT CORPORATE SECRETARY
--------------------------- -------------------------
107
Page 2 of 3
TO: BIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 697C Printer SCN88K1217W " Creative Computers 11/25/98 P41147790101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1 PC Adapter Cards N/A " Creative Computers 11/25/98 P41147790101 135.00
------------------------------------------------------------------------------------------------------------------------------------
1 6' SCSI N/A " Creative Computers 11/25/98 P41147790101 150.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HGB6R " Dell 11/25/98 196010086 2,269.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HFRP6 " Dell 11/25/98 196010029 2,286.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 12/01/98 58790039 110.00
------------------------------------------------------------------------------------------------------------------------------------
1 1 Drawer File N/A " Office Depot 12/02/98 58575094 420.00
------------------------------------------------------------------------------------------------------------------------------------
HLCOI; HLCOQ; HLCO3;
HLCOW; HLCOE; HLCOZ;
8 Dell Dimension XPS R450 HLCOG; HLCOL " Dell 12/07/98 196987671 18,072.00
------------------------------------------------------------------------------------------------------------------------------------
1 Cyrix MII system listed on invoice " Fry's Electronics 08/28/98 1305685 809.70
------------------------------------------------------------------------------------------------------------------------------------
1 ??? Test system listed on invoice " Fry's Electronics 08/28/98 1305685 712.92
------------------------------------------------------------------------------------------------------------------------------------
1 1 Drawer File N/A " Office Depot 09/03/98 52487425 420.00
------------------------------------------------------------------------------------------------------------------------------------
BPODPMT66x200SL2RAM;
13 13 Overdrive processors 12312312313 " Creative Computers 10/06/98 P39109890101 2,470.00
------------------------------------------------------------------------------------------------------------------------------------
1 2.6.4GB EIDE N/A " Creative Computers 10/06/98 P39109890102 570.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML47 " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML4B " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
220 N. 22nd Pl, APT
1 HP Deskjet 697C Printer SMX8C21104M 2026, Mesa, AZ Creative Computers 12/21/98 P42398340101 181.00
------------------------------------------------------------------------------------------------------------------------------------
236 N. Governor's Ave.
1 HP Deskjet 695C Printer SMX8BC120MM Dover, DE Creative Computers 01/26/99 P43953020101 181.00
------------------------------------------------------------------------------------------------------------------------------------
5011 Wood Iron Dr.
1 HP Deskjet 697C SCN88S1K3YJ Duluth, GA Creative Computers 11/16/98 P40663120101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1606 E. 550 Rd. Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8731W1S2 Lawrence, KS ExpenseR) 02/05/99 652347 166.95
------------------------------------------------------------------------------------------------------------------------------------
204 Brenhaven Blvd.
1 HP Deskjet 695C SUS8BA1V015 Brandon, MS Creative Computers 01/29/99 P44076720101 175.00
------------------------------------------------------------------------------------------------------------------------------------
5101 Butternut Rd.,
1 HP Deskjet 627C SUS88H1S1TK Durhan, NC Creative Computers 10/16/98 P39532240101 156.00
------------------------------------------------------------------------------------------------------------------------------------
31-24 99th St. Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8763W09S Flushing, NY ExpenseR) 02/16/99 708874 163.95
------------------------------------------------------------------------------------------------------------------------------------
4421 Carrington CT,
1 HP Deskjet 697C Printer SMX8BL111YK Harrisburg, PA Creative Computers 12/15/98 P41990550101 181.00
------------------------------------------------------------------------------------------------------------------------------------
3001 Blue Bird,
1 HP Deskjet 697C Printer SMX8BC120JY McCallen, TX Creative Computers 12/16/98 P42140590101 181.00
------------------------------------------------------------------------------------------------------------------------------------
108
[TRANSAMERICA LETTERHEAD]
March 31, 1999
Ms. Kathy White
The Lightspan Partnership, Inc.
10140 Campus Point Drive
San Diego, California 92121
RE: CUSTOMER NO. 1070-005
Dear Kathy:
We would like to thank you for choosing Transamerica Business Credit Corporation
(TBCC) - Technology Finance Division for your recent financing. For your files,
we have enclosed copies of the various documents executed by your organization
in connection with the above referenced transactions. These documents have been
executed by Transamerica and should be retained by you in a safe place.
Invoices will be sent to you on a monthly basis as a courtesy on our part, with
your payments due on the first day of each month. THERE ARE 35 EQUAL PAYMENTS OF
S2,878.41 REMAINING COMMENCING MAY 1, 1999, PLUS A PURCHASE 0PTION DUE ON APRIL
1, 2002. OUR REMITTANCE ADDRESS FOR ALL PAYMENTS IS FIRST NATIONAL BANK OF
CHICAGO, TBBC - TECHNOLOGY FINANCE DIVISION, PO BOX 70892, CHICAGO, IL
60673-0892. THE STREET ADDRESS FOR OUR LOCK BOX IS FIRST NATIONAL BANK OF
CHICAGO, 525 WEST MONROE, 7TH FLOOR MAILROOM, CHICAGO, ILLINOIS 60661,
ATTENTION: 70892. Please indicate your customer numbers on the face of your
check.
Please be advised that at this time that Transamerica elects to file the
appropriate property tax filing on your behalf for equipment located in the
state of California. Please be advised that you are responsible for the
appropriate property tax filing for all other jurisdictions. Proof of filing and
payment of property tax should be provided to TBCC annually. Upon receipt the
annual filing costs, you will be invoiced appropriately. All future payments
should be made on or before the due date indicated on each invoice. Payments
arriving after 5 days of the due date will be subject to a 5% late charge. All
remittances should be sent to the above-mentioned address.
We appreciate having been given the opportunity to serve you and we look forward
to do so again, in the future. Should you have any questions on your account,
please contact our Lease Administration Department at 860-677-6466 and we will
be delighted to assist you.
Very truly yours,
Transamerica Business Credit
Corporation
/s/ Chris Bodnar
Chris Bodnar
Transamerica Technology Finance
Enc.
109
Page 1 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation (as Lessor);
UCC(s) and The Lightspan Partnership Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
EXEMPT COMPUTER EQUIPMENT
------------------------------------------------------------------------------------------------------------------------------------
Proliant 5500; Smart 10140 Campus Pt. Dr.,
1 Array 3200 Controller 4948382075154 San Diego, CA Creative Computers 12/29/98 P42510380102 3,895.00
------------------------------------------------------------------------------------------------------------------------------------
1 Proliant 3000/5500 123123123/ " Creative Computers 12/29/98 P42510380101 781.00
------------------------------------------------------------------------------------------------------------------------------------
1 9.1GB SCSI N/A " Creative Computers 12/29/98 P42510380101 2,775.00
------------------------------------------------------------------------------------------------------------------------------------
Proliant 5500r PII400
1 Xeon D851CCT20383 " Creative Computers 12/30/98 P42510380103 7,000.00
------------------------------------------------------------------------------------------------------------------------------------
1 Task Chair N/A " Office Depot 01/06/99 60517194 289.00
------------------------------------------------------------------------------------------------------------------------------------
1 Compaq Memory Kit N/A " Delec 01/06/99 158270601998087 4,390.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 U4MTQ " Dell 01/12/99 207040916 2,414.00
------------------------------------------------------------------------------------------------------------------------------------
Computer Discount
1 SONY VAIO 505FX SO134206315 " Warehouse 01/20/99 9849249 2,162.17
------------------------------------------------------------------------------------------------------------------------------------
1 Compaq Presario Notebook V811BVQ21910 " Compusource 01/20/99 3042 1,799.00
------------------------------------------------------------------------------------------------------------------------------------
2 4 Drawer file (2) N/A " Boise Cascade 01/26/99 81307 807.00
------------------------------------------------------------------------------------------------------------------------------------
D808BRZ31019;
2 Proliant 3000 Pentium II D810BRZ30546 " uBid. 02/24/99 U03460970101 2,534.00
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 712C SMY8C8120S0 " Creative Computer 02/25/99 P45386320101 202.00
------------------------------------------------------------------------------------------------------------------------------------
D808BRZ31885;
2 Proliant 3000 Pentium II D810BRZ30232 " uBid. 02/25/99 U03514560101 2,934.00
------------------------------------------------------------------------------------------------------------------------------------
1 HP Laserjet 8000N UFDD003209 " Compusource 02/26/99 3265 2,465.00
------------------------------------------------------------------------------------------------------------------------------------
SUB TOTAL: 34,447.17
TAXABLE COMPUTER EQUIPMENT
------------------------------------------------------------------------------------------------------------------------------------
6108 Avenida Encinas,
1 20" Pedestal Fan N/A Carlsbad, CA Pak West 09/22/98 237720 235.00
------------------------------------------------------------------------------------------------------------------------------------
5 5 black stools N/A " Action Wholesale 10/12/98 183914 288.90
------------------------------------------------------------------------------------------------------------------------------------
XB81610RAZ3; 10140 Campus Pt. Dr.,
2 CD Zip Drive XB81618RAZ3 San Diego, CA Apple Computer 04/20/98 305501 4,130.00
------------------------------------------------------------------------------------------------------------------------------------
5 Telephones,(5) N/A " CMS Communications 10/16/98 9823971 2,100.00
------------------------------------------------------------------------------------------------------------------------------------
1 Stylus Color Printer AEY0034971 " Creative Computers 11/13/98 P40663920102 1,410.00
------------------------------------------------------------------------------------------------------------------------------------
1 Hon 2 Drawer File N/A " Office Depot 11/16/98 57901390 155.00
------------------------------------------------------------------------------------------------------------------------------------
2 Task Chair(2) N/A " Office Depot 11/16/98 57901390 300.00
------------------------------------------------------------------------------------------------------------------------------------
0106310011070;
0106310011076;
0106310011081;
0106310011074;
0106310011077;
0106310017964;
0106310011075;
0106310011078;
9 Iyama Visionmaster Pro 0106310017967 " CDW 11/25/98 9387077 8,253.00
------------------------------------------------------------------------------------------------------------------------------------
110
Page 2 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation (as Lessor);
UCC(s) and The Lightspan Partnership Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 697C Printer SCN88K1217W " Creative Computers 11/25/98 P41147790101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1 PC Adapter Cards N/A " Creative Computers 11/25/98 P41147790101 135.00
------------------------------------------------------------------------------------------------------------------------------------
1 6' SCSI N/A " Creative Computers 11/25/98 P41147790101 150.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HGB6R " Dell 11/25/98 196010086 2,269.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HFRP6 " Dell 11/25/98 196010029 2,286.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 12/01/98 58790039 110.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Dwr File N/A " Office Depot 12/02/98 58575094 420.00
------------------------------------------------------------------------------------------------------------------------------------
HLCOI; HLCOQ; HLCO3;
HLCOW; HLCOE; HLCOZ;
8 Dell Dimension XPS R450 HLCOG; HLCOL " Dell 12/07/98 196987671 18,072.00
------------------------------------------------------------------------------------------------------------------------------------
1 Cyrix MII system listed on invoice " Fry's Electronics 08/28/98 1305685 809.70
------------------------------------------------------------------------------------------------------------------------------------
1 K6-2 Test system listed on invoice " Fry's Electronics 08/28/98 1305685 712.92
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 09/03/98 52487425 420.00
------------------------------------------------------------------------------------------------------------------------------------
BPODPMT66X200SL2RAM;
13 13 Overdrive processors 12312312313 " Creative Computers 10/06/98 P39109890101 2,470.00
------------------------------------------------------------------------------------------------------------------------------------
1 2.6.4GB EIDE N/A " Creative Computers 10/06/98 P39109890102 570.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML47 " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML4B " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
220 N. 22nd Pl, APT
1 HP Deskjet 697C Printer SMX8C21104M 2026, Mesa, AZ Creative Computers 12/21/98 P42398340101 181.00
------------------------------------------------------------------------------------------------------------------------------------
236 N. Governor's Ave.,
1 HP Deskjet 695C Printer SMX8BC120MM Dover, DE Creative Computers 01/26/99 P43953020101 181.00
------------------------------------------------------------------------------------------------------------------------------------
5011 Wood Iron Dr.,
1 HP Deskjet 697C SCN88S1K3YJ Duluth, GA Creative Computers 11/16/98 P40663120101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1606 E. 550 Rd., Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8731W1S2 Lawrence, KS ExpenseR) 02/05/99 652347 166.95
------------------------------------------------------------------------------------------------------------------------------------
204 Brenhaven Blvd,
1 HP Deskjet 695C SUS8BA1V015 Brandon, MS Creative Computers 01/29/99 P44076720101 175.00
------------------------------------------------------------------------------------------------------------------------------------
5101 Butternut Rd.,
1 HP Deskjet 627C SUS88H1S1TK Durhan, NC Creative Computers 10/16/98 P39532240101 156.00
------------------------------------------------------------------------------------------------------------------------------------
31-24 99th St., Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8763W09S Flushing, NY ExpenseR) 02/16/99 708874 163.95
------------------------------------------------------------------------------------------------------------------------------------
4421 Carrington CT,
1 HP Deskjet 697C Printer SMX8BL110YK Harrisburg, PA Creative Computers 12/15/98 P41990550101 181.00
------------------------------------------------------------------------------------------------------------------------------------
3001 Blue Bird,
1 HP Deskjet 697C Printer SMX8BC120JY McCallen, TX Creative Computers 12/16/98 P42140590101 181.00
------------------------------------------------------------------------------------------------------------------------------------
111
Page 3 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and Lightspan Partnership
Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------- ------------------
128 William Richmond,
1 HP Deskjet 697C SCN88S1K3Y1 Williamsburg, VA Creative Computers 11/16/98 P40757900101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1077 Norwich Ave.,
1 HP Deskjet 712C SMY8C8120RW Virginia Beach, VA Creative Computers 02/23/99 P45318140101 202.00
------------------------------------------------------------------------------------------------------------------------------------
2282 S. Highland Dr., Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8761W0PS Camino Island, WA ExpenseR) 02/05/99 652319 166.95
------------------------------------------------------------------------------------------------------------------------------------
SUBTOTAL: 52,372.37
EXEMPT EQUIPMENT: 34,447.17
TAXABLE EQUIPMENT: 52,372.37
GRAND TOTAL EXHIBIT II: 86,819.54
===========================================================
LESSOR: LESSEE:
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
BY: /s/ GARY P. MORO BY: /s/ KATHRYN M. WHITE
--------------------------------- --------------------------------
Gary P. Moro Kathryn M. White
TITLE: Vice President TITLE: Assistant Corporate Secretary
------------------------------ --------------------------------
112
SALE AND LEASEBACK AGREEMENT
THIS SALE AND LEASEBACK AGREEMENT (this "Agreement"), is made as of
March 24, 1999, among The Lightspan Partnership, Inc., a California corporation
("Seller"), and Transamerica Business Credit Corporation, a Delaware corporation
("Buyer").
WITNESSETH:
WHEREAS, Seller is the owner of the equipment more particularly
described on Exhibit II hereto (the "Equipment");
WHEREAS, Seller desires to sell to Buyer and Buyer desires to purchase
from Seller the Equipment; and
WHEREAS, Buyer, as a condition to such purchase, wishes to lease to
Seller and Seller wishes to lease from Buyer the Equipment under the terms and
conditions of the Master Lease Agreement dated as of August 14, 1997 and
Schedule No.5 thereto (collectively, as amended, supplemented or otherwise
modified from time to time, the "Lease") between Buyer, as lessor, and Seller,
as lessee.
NOW, THEREFORE, in consideration of the premises herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby agree as follows:
1. AMOUNT AND TERMS OF PURCHASE.
(a) Subject to the terms and conditions of this Agreement, and in
reliance upon the representations and warranties of the Seller herein set forth,
the Buyer agrees to purchase all of the Seller's right, title and interest in
and to all of the Equipment such that the Buyer will become the owner of all
such Equipment for all purposes whatsoever. The Seller hereby agrees that the
Buyer is under no obligation to purchase any other equipment now or in the
future and shall not assert a claim that the Buyer may have any such obligation.
(b) The price to be paid by the Buyer with respect to the
purchase of the Equipment (the "Purchase Price") is $86,819.54. The Purchase
Price shall be payable to the Seller on the Lease Commencement Date (as defined
in the Lease).
(c) The Seller shall pay any and all applicable federal, state,
county or local taxes and any and all present or future taxes or other
governmental charges arising in connection with the sale of the Equipment
hereunder, including sales, use or occupation taxes due upon the purchase by the
Buyer.
(d) The purchase of the Equipment shall be evidenced by a bill of
sale, substantially in the form attached hereto as Exhibit A (the "Bill of
Sale"), duly executed by the Seller.
113
2. CONDITIONS TO PURCHASE. The obligation of the Buyer to purchase the
Equipment is subject to the following conditions:
(a) The Buyer shall have received this Agreement, duly executed
by the Seller.
(b) The Buyer shall have received the Bill of Sale, duly executed
by the Seller.
(c) The Buyer shall have received the Lease, duly executed by the
Seller.
(d) The Buyer shall have received resolutions of the Board of
Directors of the Seller approving and authorizing the execution, delivery and
performance by the Seller of this Agreement, the Lease and the notices and other
documents to be delivered by the Seller hereunder and thereunder (collectively,
the "Sale and Leaseback Documents").
(e) The Buyer shall have received the certificate of title or
similar evidence of ownership with respect to each item of Equipment and Uniform
Commercial Code financing statements covering the Equipment in form and
substance satisfactory to the Buyer, duly executed by the Seller.
(f) No material adverse change has occurred with respect to the
business, prospects, properties, results of operations, assets, liabilities or
condition (financial or otherwise) of the Seller and its affiliates, taken as a
whole, since January 31, 1995.
(g) The Buyer shall have received all warranties and other
documentation received or executed by Seller in connection with the original
acquisition of the Equipment by the Seller (and by its execution hereof the
Seller hereby assigns to the Buyer all such warranties and other Documentation).
(h) The Buyer shall have received such other approvals, opinions
or documents as the Buyer may reasonably request.
3. REPRESENTATION AND WARRANTIES. To induce the Buyer to enter into this
Agreement, the Seller represents and warrants to the Buyer that:
(a) The Seller is duly authorized to execute, deliver and perform
its obligations under each of the Sale and Leaseback Documents and all corporate
action required on its part for the due execution, delivery and performance of
the transactions contemplated herein and therein has been duly and effectively
taken.
(b) The execution, delivery and performance by the Seller of each
of the Sale and Leaseback Documents and the consummation of the transactions
contemplated herein and therein does not and will not violate any provision of,
or result in a default under, the Seller's
-2-
114
Articles or Certificates of Incorporation or By-laws or any indenture or
agreement to which the Seller is a party or to which its assets are bound or any
order, permit, law, statute, code, ordinance, rule, regulation, certificate or
any other requirement of any governmental authority or regulatory body to which
the Seller is subject, or result in the creation or imposition of any mortgage,
deed of trust, pledge, security interest, lien or encumbrance of any kind upon
or with respect to the Equipment or any proceeds thereof, other than those in
favor of the Buyer as contemplated by the Sale and Leaseback Documents.
(c) No authorization or approval or other action by, and no
notice to or filing with, any governmental authority or regulatory body is
required for the due execution, delivery and performance by the Seller of any of
the Sale and Leaseback Documents to which it is a party.
(d) Each Sale and Leaseback Document to which the Seller is a
party constitutes or will constitute, when delivered hereunder, the legal, valid
and binding obligation of the Seller enforceable against the Seller in
accordance with its respective terms, except as such enforceability may be (i)
limited by the effect of applicable bankruptcy, insolvency, reorganization or
similar laws affecting the enforcement of creditors' rights generally or (ii)
subject to the effect of general principles of equity (regardless of whether
such enforceability is considered in a proceeding at equity or at law).
(e) There are no actions, suits, or proceedings pending,
threatened against or affecting the Seller which seek to enjoin, prohibit or
restrain the consummation of any of the transactions contemplated hereby or by
the other Sale and Leaseback Documents.
(f) Each item of Equipment is owned by the Seller free and clear
of any liens and encumbrances of any kind or description. Upon purchase of the
Equipment hereunder, the Buyer will acquire good and marketable title in and to
the Equipment.
All representations and warranties herein shall survive the execution of this
Agreement and the purchase of the Equipment.
4. INDEMNITIES. The Seller agrees to indemnify, defend, and save
harmless the Buyer and its officers, directors, employees, agents, and
attorneys, and each of them (the "Indemnified Parties"), from and against all
claims, actions, suits, and other legal proceedings, damages, costs, interest,
charges, counsel fees and other expenses and penalties (collectively, the
"Indemnified Amounts") which any of the Indemnified Parties may sustain or incur
by reason of or arising out of (i) the Seller's ownership of any Equipment prior
to the date on which such Equipment is sold to the Buyer, or the Seller's acts
or omissions prior to such date under, in connection with or relating to such
Equipment or any of the Sale and Leaseback Documents, (ii) the operation,
maintenance or use of such Equipment prior to such date, (iii) the inaccuracy of
any of the Seller's representations or warranties contained in any of the Sale
and Leaseback Documents, (iv) the breach of any of the Seller's covenants
contained in any of the Sale and Leaseback Documents, (v) any loss or damage to
any Equipment in excess of the deductible
-3-
115
which is not paid by insurance or (vi) any sales, use, excise and other taxes,
charges, and fees (including, without limitation, income, franchise, business
and occupation, gross receipts, sales, use, licensing, registration, titling,
personal property, stamp and interest equalization taxes, levies, imposts,
duties, charges or withholdings of any nature), and any fines, penalties or
interest thereon, imposed or levied by any governmental body, agency or tax
authority upon or in connection with the Equipment, its acquisition, ownership,
delivery, leasing, possession, use or relocation or otherwise in connection with
the transactions contemplated by each Sale and Leaseback Document.
5. REMEDIES. Upon the Seller's violation of or default under any
provision of this Agreement, the Buyer may (subject to the provisions of the
other Sale and Leaseback Documents) proceed to protect and enforce its rights
either by suit in equity or by action at law or both, whether for the specific
performance of any covenant or agreement contained herein or in aid of the
exercise of any power granted in any Sale and Leaseback Document; it being
intended that the remedies contained in any Sale and Leaseback Document shall be
cumulative and shall be in addition to every other remedy given under such Sale
and Leaseback Document or now or hereafter existing at law or in equity or by
statute or otherwise.
6. AMENDMENTS, ETC. No amendment or waiver of any provision of this
Agreement, nor consent to any departure therefrom, shall in any event be
effective unless the same shall be in writing and signed by the Buyer, and then
such waiver or consent shall be effective only in the specific instance and for
the specific purpose for which given.
7. NOTICES, ETC. All notices and other communications provided for
hereunder shall be in writing and sent:
if to the Seller, at its address at:
The Lightspan Partnership, Inc.
10140 Campus Point Drive
San Diego, California 92121
Attention: Vice President - Finance and Administration
Telephone No.: 619-824-8311
Telecopy No.: 619-824-8001
-4-
116
if to the Buyer, at its address at:
Transamerica Business Credit Corporation
Technology Finance Division
76 Batterson Park Road
Farmington, Connecticut 06032-2571
Attention: Assistant Vice President,
Lease Administration
Telephone No.: 860-677-6466
Telecopy No.: 860-677-6766
with a copy to:
Transamerica Business Credit Corporation
9399 West Higgins Road
Rosemont, Illinois 60018
Attention: Legal Department
Telephone No.: 847-685-1106
Telecopy No.: 847-685-1143
or to such other address as shall be designated by such party in a written
notice to the other party. All such notices shall be deemed given (i) if sent by
certified or registered mail, three days after being postmarked, (ii) if sent by
overnight delivery service, when received at the above stated addresses or when
delivery is refused and (iii) if sent by facsimile transmission, when receipt of
such transmission is acknowledged.
8. NO WAIVER; REMEDIES. No failure on the part of the Buyer to exercise,
and no delay in exercising, any right hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any such right preclude any
other or further exercise thereof or the exercise of any other right. The
remedies herein provided are cumulative and not exclusive of any remedies
provided by law.
9. BENEFIT. Without the prior written consent of the Buyer, the Seller
may not transfer, assign or delegate any of its rights, duties or obligations
hereunder.
10. BINDING EFFECT. This Agreement shall be binding upon and inure to
the benefit of the Seller and the Buyer and their respective successors and
assigns.
11. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF ILLINOIS WITHOUT GIVING
EFFECT TO THE CONFLICTS OF LAW PRINCIPLES THEREOF.
-5-
117
12. EXECUTION IN COUNTERPARTS. This Agreement may be executed in any
number of counterparts, each of which shall constitute an original and all of
which taken together shall constitute one and the same agreement.
13. SEVERABILITY. If one or more of the provisions contained in this
Agreement shall be invalid, illegal, or unenforceable in any respect, the
validity, legality, and enforceability of the remaining provisions contained
herein, and any other application thereof, shall not in any way be affected or
impaired thereby.
14. SUBMISSION TO JURISDICTION. ALL DISPUTES ARISING UNDER OR IN
CONNECTION WITH THIS AGREEMENT BETWEEN THE PARTIES HERETO, WHETHER SOUNDING IN
CONTRACT, TORT, EQUITY OR OTHERWISE, SHALL BE RESOLVED ONLY BY STATE AND FEDERAL
COURTS LOCATED IN ILLINOIS, AND THE COURTS TO WHICH AN APPEAL THEREFROM MAY BE
TAKEN; PROVIDED, HOWEVER, THAT THE BUYER SHALL HAVE THE RIGHT, TO THE EXTENT
PERMITTED BY APPLICABLE LAW, TO PROCEED AGAINST THE SELLER OR ITS PROPERTY IN
ANY LOCATION REASONABLY SELECTED BY THE BUYER IN GOOD FAITH TO ENABLE THE BUYER
TO REALIZE ON SUCH PROPERTY, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN
FAVOR OF THE BUYER. EACH PARTY AGREES THAT IT WILL NOT ASSERT ANY PERMISSIVE
COUNTERCLAIMS, SETOFFS OR CROSS-CLAIMS IN ANY PROCEEDING BROUGHT BY THE BUYER;
IT BEING UNDERSTOOD THAT THIS SENTENCE DOES NOT PRECLUDE THE SELLER FROM
ASSERTING COMPULSORY COUNTERCLAIMS. THE SELLER WAIVES ANY OBJECTION THAT IT MAY
HAVE TO THE LOCATION OF THE COURT IN WHICH THE BUYER HAS COMMENCED A PROCEEDING,
INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON
FORUM NON CONVENIENS.
15. JURY TRIAL. THE PARTIES HERETO EACH HEREBY WAIVE TO THE FULLEST
EXTENT PERMITTED BY LAW ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING
ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT.
-6-
118
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their respective officers hereunto duly authorized, as of the first
date written above.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ KATHRYN M. WHITE
-------------------------------
Name: Kathryn M. White
Title: Assistant Corporate Secretary
TRANSAMERICA BUSINESS CREDIT
CORPORATION
By: /s/ GARY P. MORO
-------------------------------
Name: Gary P. Moro
Title: Vice President
Exhibit II- Equipment
Exhibit A- Bill of Sale
-7-
119
BILL OF SALE
KNOW ALL PERSONS BY THESE PRESENTS THE LIGHTSPAN PARTNERSHIP, INC. (the
"Seller"), for Eighty-Six Thousand, Eight Hundred Nineteen and 54/1 00 Dollars
($86,819.54) and other valuable consideration to it in hand paid, receipt of
which is hereby acknowledged, does unconditionally, absolutely and irrevocably
grant, sell, assign, transfer and convey unto TRANSAMERICA BUSINESS CREDIT
CORPORATION and its assignees or successors (collectively, the "Buyer"), all of
the Seller's right, title and interest in and to the equipment described on
Exhibit II hereto (collectively, the "Equipment").
TO HAVE AND TO HOLD said Equipment unto the said Buyer, to and for its
use forever.
AND, the Seller hereby warrants, covenants and agrees that it (a) has
good and marketable title to the Equipment, free and clear of any liens and
other encumbrances; and (b) will warrant and defend the sale of the Equipment
against any and all persons claiming against such title.
IN WITNESS WHEREOF the Seller has caused this instrument to be duly
executed and delivered as of this 24th day of March, 1999.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ KATHRYN M. WHITE
-------------------------------
Name: Kathryn M. White
Title: Assistant Corporate Secretary
-8-
120
Page 1 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
The Lightspan Partnership, Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
EXEMPT COMPUTER EQUIPMENT
------------------------------------------------------------------------------------------------------------------------------------
Proliant 5500; Smart 10140 Campus Pt. Dr.,
1 Array 3200 Controller 4948382075154 San Diego, CA Creative Computers 12/29/98 P42510380102 3,895.00
------------------------------------------------------------------------------------------------------------------------------------
1 Proliant 3000/5500 123123123/ " Creative Computers 12/29/98 P42510380101 781.00
------------------------------------------------------------------------------------------------------------------------------------
1 9.1GB SCSI N/A " Creative Computers 12/29/98 P42510380101 2,775.00
------------------------------------------------------------------------------------------------------------------------------------
1 Proliant 5500r PII400
1 Xeon D851CCT20383 " Creative Computers 12/30/98 P42510380103 7,000.00
------------------------------------------------------------------------------------------------------------------------------------
1 Task Chair N/A " Office Depot 01/06/99 60517194 289.00
------------------------------------------------------------------------------------------------------------------------------------
1 Compaq Memory Kit N/A " Delec 01/06/99 158270601998087 4,390.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 U4MTQ " Dell 01/12/99 207040916 2,414.00
------------------------------------------------------------------------------------------------------------------------------------
Computer Discount
1 SONY VAIO 505FX SO134206315 " Warehouse 01/20/99 9849249 2,162.17
------------------------------------------------------------------------------------------------------------------------------------
1 Compaq Presario Notebook V811BVQ21910 " Compusource 01/21/99 3042 1,799.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File (2) N/A " Boise Cascade 01/26/99 81307 807.00
------------------------------------------------------------------------------------------------------------------------------------
D808BRZ31019;
2 Proliant 3000 Pentium II D810BRZ30546 " uBid. 02/24/99 U03460970101 2,534.00
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 712C SMY8C8120S0 " Creative Computer 02/25/99 P45386320101 202.00
------------------------------------------------------------------------------------------------------------------------------------
D808BRZ31885;
2 Proliant 3000 Pentium II D810BRZ30232 " uBid. 02/25/99 U03514560101 2,934.00
------------------------------------------------------------------------------------------------------------------------------------
1 HP Laserjet 8000N UFDD003209 " Compusource 02/26/99 3265 2,465.00
------------------------------------------------------------------------------------------------------------------------------------
SUB TOTAL: 34,447.17
TAXABLE COMPUTER EQUIPMENT
------------------------------------------------------------------------------------------------------------------------------------
6108 Avenida Encinas,
1 20" Pedestal Fan N/A Carlsbad, CA PakWest 09/22/98 237720 235.00
------------------------------------------------------------------------------------------------------------------------------------
5 5 black stools N/A " Action Wholesale 10/12/98 183914 288.90
------------------------------------------------------------------------------------------------------------------------------------
XB81610RAZ3; 10140 Campus. Pt. Dr.,
2 CD Zip Drive XB81618RAZ3 San Diego, CA Apple Computer 04/20/98 305501 4,130.00
------------------------------------------------------------------------------------------------------------------------------------
5 Telephones,(5) N/A " CMS Communications 10/16/98 9823971 2,100.00
------------------------------------------------------------------------------------------------------------------------------------
1 Stylus Color Printer AEY0034971 " Creative Computers 11/13/98 P40663920102 1,410.00
------------------------------------------------------------------------------------------------------------------------------------
1 Hon 2 Drawer File N/A " Office Depot 11/16/98 57901390 155.00
------------------------------------------------------------------------------------------------------------------------------------
2 Task Chair(2) N/A " Office Depot 11/16/98 57901390 300.00
------------------------------------------------------------------------------------------------------------------------------------
0106310011070;
0106310011076;
0106310011081;
0106310011074;
0106310011077;
0106310017964;
0106310011075;
0106310011078;
9 Iyama Visionmaster Pro 0106310017967 " CDW 11/25/98 9387077 8,253.00
------------------------------------------------------------------------------------------------------------------------------------
121
Page 2 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
The Lightspan Partnership, Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 697C Printer SCN88K1217W " Creative Computers 11/25/98 P41147790101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1 PC Adapter Cards N/A " Creative Computers 11/25/98 P41147790101 135.00
------------------------------------------------------------------------------------------------------------------------------------
6 6' SCSI N/A " Creative Computers 11/25/98 P41147790101 150.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HGB6R " Dell 11/25/98 196010086 2,269.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HFRP6 " Dell 11/25/98 196010029 2,286.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 12/01/98 587900039 110.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 12/02/98 58575094 420.00
------------------------------------------------------------------------------------------------------------------------------------
HLCO1; HLCOQ; HLCO3;
HLCOW; HLCOE; HLCOZ;
8 Dell Dimension XPS R450 HLCOG; HLCOL " Dell 12/07/98 196987671 18,072.00
------------------------------------------------------------------------------------------------------------------------------------
1 Cyrix MII system listed on invoice " Fry's Electronics 08/28/98 1305685 809.70
------------------------------------------------------------------------------------------------------------------------------------
1 K6-2 Test system listed on invoice " Fry's Electronics 08/28/98 1305685 712.92
------------------------------------------------------------------------------------------------------------------------------------
1 1 Drawer File N/A " Office Depot 09/03/98 52487425 420.00
------------------------------------------------------------------------------------------------------------------------------------
BPODPMT66X200SL2RAM;
13 13 Overdrive processors 12312312313 " Creative Computers 10/06/98 P39109890101 2,470.00
------------------------------------------------------------------------------------------------------------------------------------
1 2 6.4GB EIDE N/A " Creative Computers 10/06/98 P39109890102 570.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML47 " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML4B " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
220 N. 22nd Pl, APT
1 HP Deskjet 697C Printer SMX8C21104M 2026, Mesa, AZ Creative Computers 12/21/98 P42398340101 181.00
------------------------------------------------------------------------------------------------------------------------------------
236 N. Governor's Ave.
1 HP Deskjet 695C Printer SMX8BC120MM Dover, DE Creative Computers 01/26/99 P43953020101 181.00
------------------------------------------------------------------------------------------------------------------------------------
5011 Wood Iron Dr.
1 HP Deskjet 697C SCN88S1K3YJ Duluth, GA Creative Computers 11/16/98 P40663120101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1606 E. 550 Rd. Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8731W1S2 Lawrence, KS ExpenseR) 02/05/99 652347 166.95
------------------------------------------------------------------------------------------------------------------------------------
204 Brenhaven Blvd.
1 HP Deskjet 695C SUS8BA1V0J5 Brandon, MS Creative Computers 01/29/99 P44076720101 175.00
------------------------------------------------------------------------------------------------------------------------------------
5101 Butternut Rd.,
1 HP Deskjet 627C SUS88H1S1TK Durhan, NC Creative Computers 10/16/98 P39532240101 156.00
------------------------------------------------------------------------------------------------------------------------------------
31-24 99th St. Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8763W09S Flushing, NY ExpenseR) 02/16/99 708874 163.95
------------------------------------------------------------------------------------------------------------------------------------
4421 Carrington CT,
1 HP Deskjet 697C Printer SMX8BL110YK Harrisburg, PA Creative Computers 12/15/98 P41990550101 181.00
------------------------------------------------------------------------------------------------------------------------------------
3001 Blue Bird,
1 HP Deskjet 697C Printer SMX8BC120JY McCallen, TX Creative Computers 12/16/98 P42140590101 181.00
------------------------------------------------------------------------------------------------------------------------------------
122
Page 3 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
The Lightspan Partnership, Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------------
128 William Richmond,
1 HP Deskjet 697C SCN88S1K3Y1 Williamsburg, VA Creative Computers 11/16/98 P40757900101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1077 Norwich Ave.,
1 HP Deskjet 712C SMY8C8120RW Virginia Beach, VA Creative Computers 02/23/99 P45318140101 202.00
------------------------------------------------------------------------------------------------------------------------------------
2282 S. Highland Dr., Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8761W0PS Camino Island, WA ExpenseR) 02/05/99 652319 166.95
------------------------------------------------------------------------------------------------------------------------------------
SUBTOTAL: 52,372.37
EXEMPT EQUIPMENT: 34,447.17
TAXABLE EQUIPMENT: 52,372.37
GRAND TOTAL EXHIBIT II: 86,819.54
===========================================================
LESSOR: LESSEE:
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
BY: /s/ GARY P. MORO BY: /s/ KATHRYN M. WHITE
--------------------------------- --------------------------------
Gary P. Moro Kathryn M. White
TITLE: Vice President TITLE: Assistant Corporate Secretary
------------------------------ --------------------------------
123
ACCEPTANCE AND DELIVERY CERTIFICATE
The Lightspan Partnership, Inc., as lessee ("Lessee") under the Master
Lease Agreement dated as of August 14, 1997 between Lessee and Transamerica
Business Credit Corporation, as Lessor, does hereby acknowledge the acceptance
and delivery of the equipment listed in Lease Schedule No. 5 such acceptance and
delivery having been made on the 24th of March, 1999.
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ KATHRYN M. WHITE
-------------------------------
Name: Kathryn M. White
Title: Assistant Corporate Secretary
124
PAY PROCEEDS LETTER
March 18, 1999
Transamerica Business Credit Corporation
Riverway II
West Office Tower
9399 West Higgins Road
Rosemont, IL 60018
Ladies and Gentlemen:
Reference is made to the Master Lease Agreement dated August 14, 1997
and Schedule No. 5 dated March 24, 1999 and executed by the undersigned as
Lessee and Transamerica Business Credit Corporation ("Lessor").
The undersigned authorizes and directs Lessor to disburse the proceeds
of the lease as follows:
PAYEE PARTICULARS AMOUNT
1. Account Name: The Lightspan Partnership, Inc. $83,173.46
Bank Name: Silicon Valley Bank
Bank Address: 5414 Oberlin Drive, Suite 230
San Diego, CA 92121
Account Number: 3300036337
ABA Number: 121-140-399
Attention: Marissa Randall
Telephone No.: 800-215-6060
2. Transamerica Business Credit Corporation 3,646.08
----------
TOTAL $86,819.54
==========
THE LIGHTSPAN PARTNERSHIP, INC.
By: /s/ KATHRYN M. WHITE
-------------------------------
Name: Kathryn M. White
Title: Assistant Corporate Secretary
125
THIS SPACE FOR USE OF FILING OFFICER
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
Phone 800-331-3282 Fax 818-909-4717
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
P.O. Box 275 0000000001708000
Van Nuys, CA 91408-2750
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
THE LIGHTSPAN PARTNERSHIP, INC.
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
10140 CAMPUS POINT DRIVE SAN DIEGO CA 92121
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b)
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY's NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
76 BATTERSON PARK ROAD FARMINGTON CT 06032
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBITS I AND II ATTACHED HERETO AND MADE A PART HEREOF.
FILE WITH THE SECRETARY OF STATE CALIFORNIA
CUSTOMER NO. 1070-005
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
/s/ KATHRYN M. WHITE Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) FILING OFFICER COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
P.O. Box 275 Van Nuys, CA 91408-0275
Tel (818) 909-2200
126
THIS SPACE FOR USE OF FILING OFFICER
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
Phone 800-331-3282 Fax 818-909-4717
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
P.O. Box 275 0000000001708000
Van Nuys, CA 91408-2750
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
THE LIGHTSPAN PARTNERSHIP, INC.
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
10140 CAMPUS POINT DRIVE SAN DIEGO CA 92121
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b)
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY's NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
76 BATTERSON PARK ROAD FARMINGTON CT 06032
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBITS I AND II ATTACHED HERETO AND MADE A PART HEREOF.
FILE WITH THE SECRETARY OF STATE CALIFORNIA
CUSTOMER NO. 1070-005
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
/s/ KATHRYN M. WHITE Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) ACKNOWLEDGMENT COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
P.O. Box 275 Van Nuys, CA 91408-0275
Tel (818) 909-2200
127
FINANCING STATEMENT - FOLLOW INSTRUCTIONS CAREFULLY THIS SPACE FOR USE OF FILING OFFICER
This Financing Statement is presented for filing pursuant to the Uniform Commercial Code
and will remain effective, with certain exceptions, for 5 years from date of filing.
-------------------------------------------------------------------------------------------------------
A. NAME & TEL. # OF CONTACT AT FILER (optional) B. FILING OFFICE ACCT. # (optional)
Phone 800-331-3282 Fax 818-909-4717
-------------------------------------------------------------------------------------------------------
C. RETURN COPY TO: (Name and Mailing Address)
-----
Data File Services, Inc.
P.O. Box 275 0000000001708000
Van Nuys, CA 91408-2750
-----
------------------------------------------------------------------------------------------------------------------------------------
D. OPTIONAL DESIGNATION (if applicable): [ ] LESSOR/LESSEE [ ] CONSIGNOR/CONSIGNEE [ ] NON-UCC FILING
------------------------------------------------------------------------------------------------------------------------------------
1. DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) FILED WITH: CALIFORNIA
---------------------------------------------------------------------------------------------------------------------------------
1a. ENTITY'S NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
1b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
THE LIGHTSPAN PARTNERSHIP, INC.
------------------------------------------------------------------------------------------------------------------------------------
1c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
10140 CAMPUS POINT DRIVE SAN DIEGO CA 92121
------------------------------------------------------------------------------------------------------------------------------------
1d. S.S. OR TAX I.D.# OPTIONAL 1e. TYPE OF ENTITY 1f. ENTITY'S STATE 1g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
2. ADDITIONAL DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b)
------------------------------------------------------------------------------------------------------------------------------------
2a. ENTITY's NAME
OR ---------------------------------------------------------------------------------------------------------------------------------
2b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
2c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
------------------------------------------------------------------------------------------------------------------------------------
2d. S.S. OR TAX I.D.# OPTIONAL 2e. TYPE OF ENTITY 2f. ENTITY'S STATE 2g. ENTITY'S ORGANIZATIONAL I.D. #, if any
ADD'NL INFO RE OR COUNTRY OF
ENTITY DEBTOR ORGANIZATION [ ]NONE
------------------------------------------------------------------------------------------------------------------------------------
3. SECURED PARTY'S (ORIGINAL S/P OR ITS TOTAL ASSIGNEE) EXACT FULL LEGAL NAME - insert only one secured party name (3a or 3b)
------------------------------------------------------------------------------------------------------------------------------------
3a. ENTITY's NAME
TRANSAMERICA BUSINESS CREDIT CORPORATION
OR ---------------------------------------------------------------------------------------------------------------------------------
3b. INDIVIDUAL'S LAST NAME FIRST NAME MIDDLE NAME SUFFIX
------------------------------------------------------------------------------------------------------------------------------------
3c. MAILING ADDRESS CITY STATE COUNTRY POSTAL CODE
76 BATTERSON PARK ROAD FARMINGTON CT 06032
------------------------------------------------------------------------------------------------------------------------------------
4. This FINANCING STATEMENT covers the following types or items of property:
SEE EXHIBITS I AND II ATTACHED HERETO AND MADE A PART HEREOF.
FILE WITH THE SECRETARY OF STATE CALIFORNIA
CUSTOMER NO. 1070-005
------------------------------------------------------------------------------------------------------------------------------------
5. CHECK This FINANCING STATEMENT is signed by the Secured Party instead 7. If filed in Florida (check one)
BOX [X] of the Debtor to perfect a security interest (a) in collateral Documentary Documentary stamp
(if applicable) already subject to a security interest in another jurisdiction [ ] stamp tax paid [ ] tax not applicable
when it was brought into this state, or when the debtor's
location was changed to this state, or (b) in accordance with
other statutory provisions (additional data may be required)
------------------------------------------------------------------------------------------------------------------------------------
6. REQUIRED SIGNATURE(S) 8. [ ] This FINANCING STATEMENT is to be filed (for record)
THE LIGHTSPAN PARTNERSHIP, INC. (or recorded) in the REAL ESTATE RECORDS
/s/ KATHRYN M. WHITE Attach Addendum (if applicable)
------------------------------------------------------------------------------------------------------------------------------------
TRANSAMERICA BUSINESS CREDIT CORPORATION 9. Check to REQUEST SEARCH CERTIFICATE(S) on Debtor(s)
(ADDITIONAL FEE)
(optional) [ ] All Debtors [ ] Debtor 1 [ ] Debtor 2
------------------------------------------------------------------------------------------------------------------------------------
(1) SEARCH REQUEST COPY - NATIONAL FINANCING STATEMENT (FORM UCC 1) (TRANS) (REV. 12/18/95) Prepared by Data File Services, Inc.
P.O. Box 275 Van Nuys, CA 91408-0275
Tel (818) 909-2200
128
EXHIBIT I TO UCC-1
LESSEE: THE LIGHTSPAN PARTNERSHIP, INC.
LESSOR: TRANSAMERICA BUSINESS CREDIT CORPORATION
The property described on Exhibit II attached hereto, which is leased pursuant
to Master Lease Agreement dated August 14, 1997 between above-named Lessee and
Lessor, and Schedule No. 5 thereto (collectively, the "Lease"), all
replacements, substitutions, additions, attachments, accessions, parts, fittings
and accessories thereto and therefor, whether owned or hereafter acquired, and
all proceeds (including insurance proceeds and any sublease and the rentals and
profits thereon) of and from said property. The Secured Party is a Lessor and
the Debtor is a Lessee in respect to the leased property, and the Lease is not
intended as a security agreement to create a security interest in Lessor. This
statement is not to be evidence that the Lease is a security agreement, but if
it is determined to be so for other reasons, this financing statement is filed
to perfect the Secured Party's security interest in the property.
LESSOR: LESSEE:
TRANSAMERICA BUSINESS THE LIGHTSPAN PARTNERSHIP, INC.
CREDIT CORPORATION
By: By: /s/ KATHRYN M. WHILE
------------------------------ -------------------------------
Title: Title: Assistant Corporate Secretary
---------------------------
Date: Date:
---------------------------- ----------------------------
129
Page 1 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
The Lightspan Partnership, Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
EXEMPT COMPUTER EQUIPMENT
------------------------------------------------------------------------------------------------------------------------------------
Proliant 5500; Smart 10140 Campus Pt. Dr.,
1 Array 3200 Controller 4948382075154 San Diego, CA Creative Computers 12/29/98 P42510380102 3,895.00
------------------------------------------------------------------------------------------------------------------------------------
1 Proliant 3000/5000 123123123/ " Creative Computers 12/29/98 P42510380101 781.00
------------------------------------------------------------------------------------------------------------------------------------
1 9.1GB SCSI N/A " Creative Computers 12/29/98 P42510380102 2,775.00
------------------------------------------------------------------------------------------------------------------------------------
Proliant 5500r PII400
1 Xeon D851CCT20383 " Creative Computers 12/30/98 P42510380103 7,000.00
------------------------------------------------------------------------------------------------------------------------------------
1 Task Chair N/A " Office Depot 01/06/99 60517194 289.00
------------------------------------------------------------------------------------------------------------------------------------
1 Compaq Memory Kit N/A " Delec 01/06/99 158270601998087 4,390.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 U4MTQ " Dell 01/12/99 207040916 2,414.00
------------------------------------------------------------------------------------------------------------------------------------
Computer Discount
1 SONY VAIO 505FX SO134206315 " Warehouse 01/20/99 9849249 2,162.17
------------------------------------------------------------------------------------------------------------------------------------
1 Compaq Presario Notebook V811BVQ21910 " Compusource 01/20/99 3042 1,799.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File (2) N/A " Boise Cascade 01/26/99 81307 807.00
------------------------------------------------------------------------------------------------------------------------------------
D808BRZ31019;
2 Proliant 3000 Pentium II D810BRZ30546 " uBid. 02/24/99 U03460970101 2,534.00
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 712C SMY8C8120S0 " Creative Computer 02/25/99 P45386320101 202.00
------------------------------------------------------------------------------------------------------------------------------------
D808BRZ31885;
2 Proliant 3000 Pentium II D810BRZ30232 " uBid. 02/25/99 U03514560101 2,934.00
------------------------------------------------------------------------------------------------------------------------------------
1 HP Laserjet 8000N UFDD003209 " Compusource 02/26/99 3265 2,465.00
------------------------------------------------------------------------------------------------------------------------------------
SUB TOTAL: 34,447.17
TAXABLE COMPUTER EQUIPMENT
------------------------------------------------------------------------------------------------------------------------------------
6108 Avenida Encinas,
1 20" Pedestal Fan N/A Carlsbad, CA Pak West 09/22/98 237720 235.00
------------------------------------------------------------------------------------------------------------------------------------
5 5 black stools N/A " Action Wholesale 10/12/98 183914 288.90
------------------------------------------------------------------------------------------------------------------------------------
XB81610RAZ3; 10140 Campus. Pt. Dr.,
2 CD Zip Drive XB81618RAZ3 San Diego, CA Apple Computer 04/20/98 305501 4,130.00
------------------------------------------------------------------------------------------------------------------------------------
5 Telephones,(5) N/A " CMS Communications 10/16/98 9823971 2,100.00
------------------------------------------------------------------------------------------------------------------------------------
1 Stylus Color Printer AEY0034971 " Creative Computers 11/13/98 P40663920102 1,410.00
------------------------------------------------------------------------------------------------------------------------------------
1 Hon 2 Drawer File N/A " Office Depot 11/16/98 57901390 155.00
------------------------------------------------------------------------------------------------------------------------------------
2 Task Chair(2) N/A " Office Depot 11/16/98 57901390 300.00
------------------------------------------------------------------------------------------------------------------------------------
0106310011070;
0106310011076;
0106310011081;
0106310011074;
0106310011077;
0106310017964;
0106310011075;
0106310011078;
9 Iyama Visionmaster Pro 0106310017967 " CDW 11/25/98 9387077 8,253.00
-------------------------------------------------------------------------------------------------------------------- ---------------
130
Page 2 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
The Lightspan Partnership, Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------------
1 HP Deskjet 697C Printer SCN88K1217W " Creative Computers 11/25/98 P41147790101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1 PC Adapter Cards N/A " Creative Computers 11/25/98 P41147790101 135.00
------------------------------------------------------------------------------------------------------------------------------------
1 6' SCSI N/A " Creative Computers 11/25/98 P41147790101 150.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HGB6R " Dell 11/25/98 196010086 2,269.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell Dimension XPS R450 HFRP6 " Dell 11/25/98 196010029 2,286.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 12/01/98 587900039 110.00
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 12/02/98 58575094 420.00
------------------------------------------------------------------------------------------------------------------------------------
HLCO1; HLCOQ; HLCO3;
HLCOW; HLCOE; HLCOZ;
8 Dell Dimension XPS R450 HLCOG; HLCOL " Dell 12/07/98 196987671 18,072.00
------------------------------------------------------------------------------------------------------------------------------------
1 Cyrix MII system listed on invoice " Fry's Electronics 08/28/98 1305685 809.70
------------------------------------------------------------------------------------------------------------------------------------
1 K6-2 Test system listed on invoice " Fry's Electronics 08/28/98 1305685 712.92
------------------------------------------------------------------------------------------------------------------------------------
1 4 Drawer File N/A " Office Depot 09/03/98 52487425 420.00
------------------------------------------------------------------------------------------------------------------------------------
BPODPMT66X200SL2RAM;
13 13 Overdrive processors 12312312313 " Creative Computers 10/06/98 P39109890101 2,470.00
------------------------------------------------------------------------------------------------------------------------------------
1 2 6.4GB EIDE N/A " Creative Computers 10/06/98 P39109890102 570.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML47 " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
1 Dell XPS Pentium GML4B " Dell 10/07/98 186025532 2,389.00
------------------------------------------------------------------------------------------------------------------------------------
220 N. 22nd Pl, APT
1 HP Deskjet 697C Printer SMX8C21104M 2026, Mesa, AZ Creative Computers 12/21/98 P42398340101 181.00
------------------------------------------------------------------------------------------------------------------------------------
236 N. Governor's Ave.
1 HP Deskjet 695C Printer SMX8BC120MM Dover, DE Creative Computers 01/26/99 P43953020101 181.00
------------------------------------------------------------------------------------------------------------------------------------
5011 Wood Iron Dr.
1 HP Deskjet 697C SCN88S1K3YJ Duluth, GA Creative Computers 11/16/98 P40663120101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1606 E. 550 Rd. Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8731W1S2 Lawrence, KS ExpenseR) 02/05/99 652347 166.95
------------------------------------------------------------------------------------------------------------------------------------
204 Brenhaven Blvd.
1 HP Deskjet 695C SUS8BA1V0J5 Brandon, MS Creative Computers 01/29/99 P44076720101 175.00
------------------------------------------------------------------------------------------------------------------------------------
5101 Butternut Rd.,
1 HP Deskjet 627C SUS88H1S1TK Durhan, NC Creative Computers 10/16/98 P39532240101 156.00
------------------------------------------------------------------------------------------------------------------------------------
31-24 99th St. Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8763W09S Flushing, NY ExpenseR) 02/16/99 708874 163.95
------------------------------------------------------------------------------------------------------------------------------------
4421 Carrington CT,
1 HP Deskjet 697C Printer SMX8BL110YK Harrisburg, PA Creative Computers 12/15/98 P41990550101 181.00
------------------------------------------------------------------------------------------------------------------------------------
3001 Blue Bird,
1 HP Deskjet 697C Printer SMX8BC120JY McCallen, TX Creative Computers 12/16/98 P42140590101 181.00
------------------------------------------------------------------------------------------------------------------------------------
131
Page 3 of 3
TO: EXHIBIT II
Sched. No. 5 to Master Lease Agmt.
Sale and Leaseback Agmt. By and between
Bill of Sale Transamerica Business Credit Corporation
UCC(s) (as Lessor); and
The Lightspan Partnership, Inc. (as Lessee)
Dated March 24, 1999
------------------------------------------------------------------------------------------------------------------------------------
EQUIPMENT PURCHASE EQUIPMENT
QTY EQUIPMENT DESCRIPTION SERIAL NO. LOCATION VENDOR/SUPPLIER DATE INVOICE NO. COST
------------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------------
128 William Richmond,
1 HP Deskjet 697C SCN88S1K3Y1 Williamsburg, VA Creative Computers 11/16/98 P40757900101 181.00
------------------------------------------------------------------------------------------------------------------------------------
1077 Norwich Ave.,
1 HP Deskjet 712C SMY8C8120RW Virginia Beach, VA Creative Computers 02/23/99 P45318140101 202.00
------------------------------------------------------------------------------------------------------------------------------------
2282 S. Highland Dr., Xxx.Xxx (Phil Tish
1 HP Deskjet 710C SG8761W0PS Camino Island, WA ExpenseR) 02/05/99 652319 166.95
------------------------------------------------------------------------------------------------------------------------------------
SUBTOTAL: 52,372.37
EXEMPT EQUIPMENT: 34,447.17
TAXABLE EQUIPMENT: 52,372.37
GRAND TOTAL EXHIBIT II: 86,819.54
===========================================================
LESSOR: LESSEE:
TRANSAMERICA BUSINESS CREDIT THE LIGHTSPAN PARTNERSHIP, INC.
CORPORATION
BY: BY: /s/ KATHRYN M. WHITE
--------------------------------- --------------------------------
Kathryn M. White
TITLE: TITLE: Assistant Corporate Secretary
------------------------------ --------------------------------
