EXHIBIT 10.14
[THE BANK LETTERHEAD]
THE BANK
LOAN MODIFICATION AGREEMENT
K Tron America, Inc.
X.X. Xxx 000
Xxxxxx, XX 00000-0000
Date: July 9,2002 Account #: 0000000-6500
Original Amount: $2,700,000.00 Present Balance: $2,256,633.33
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WHEREAS, the undersigned Borrower executed the note referred to above on June
11, 1996 And,
WHEREAS, the mortgage and all other loan documents executed by the Borrower
allows for a modification of interest rate, due date or other terms or
conditions without affecting the priority of The Bank's lien.
NOW, therefore, in consideration of a modification fee of $0.00, the above
referenced note is modified as follows:
INTEREST
RATE: Effective July 9, 2002 the loan shall bear interest at
the fixed rate of 6.45%.
TERM OF LOAN
AND
REPAYMENT:
The loan is to be repayable in eighty-three (83) monthly
installments of $23,783.78 principal and interest beginning
8/1/02, and one final balloon payment of the remaining
principal balance and interest owing on 7/1/09.
The Borrower shall have the right at any time during the term
hereof to prepay all or a part of the principal balance then
outstanding under this note upon payment of the premiums and
charges hereinafter set forth. A principal prepayment shall be
deemed to have occurred upon Borrower's payment to The Bank in
any Loan Year during the next seven (7) years of this loan of
any sum in reduction of principal which exceeds 20% of the
outstanding principal balance at the beginning of that Loan
Year, provided Borrower is not otherwise obligated to make
such principal payment under any other term or provision of
this note, the mortgage securing this note or any other
document constituting a part of the loan transaction evidenced
by this note. Upon the occurrence of a principal Prepayment
including prepayment of the entire debt, The Bank shall be
entitled to charge and Borrower shall be obligated to pay, in
addition to
Page 2
interest and all other charges then properly due, a prepayment
premium as follows:
A. During the first Loan Year, 2% of the then
outstanding principal balance before prepayment.
B. During the second Loan Year, 2% of the then
outstanding principal balance before prepayment.
C. During the third Loan Year, 2% of the then
outstanding principal balance before prepayment.
D. During the fourth Loan Year, 2% of the then
outstanding principal balance before prepayment.
E. During the fifth Loan Year, 2% of the then
outstanding principal balance before prepayment.
F. During the sixth Loan Year, 2% of the then
outstanding principal balance before prepayment.
G. During the seventh Loan Year, 2% of the then
outstanding principal.
H. No premium shall be charged on any principal
reduction made after the seventh (7th) anniversary of
this modification.
The term "Loan Year" as used herein is defined as any
period of one-year commencing on the date of this
modification or on any anniversary of such date.
All other terms and conditions of the original note, commitment letter and any
security thereto attached is fully incorporated herein and fully ratified except
as specifically modified by this modification agreement.
THE BANK K-TRON AMERICA, INC.
BY: /s/ Xxxxx X. Xxxxxxxx, Xx. /s/ Xxxxxxxx X. Xxxxx 7/9/02
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XXXXX X. XXXXXXXX, XX. XXXXXXXX X. XXXXX/VP/FINANCE/DATE
SENIOR VICE PRESIDENT
/s/ Xxxx Xxxxxxx 7/9/02
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XXXX XXXXXXX/SECRETARY/DATE
