Exhibit 10.3
 
FIRST AMENDMENT
TO
SUPPLY CHAIN SERVICES AGREEMENT
This FIRST AMENDMENT TO SUPPLY CHAIN SERVICES AGREEMENT (this “Amendment”) is
effective as of July 15, 2016 (the “Effective Date”), among The Scotts Company
LLC, an Ohio limited liability company having its principal place of business at
14111 Scottslawn Road, Marysville, Ohio 43041 (“Scotts Company”), OMS
Investments, Inc., a Delaware corporation having its principal place of business
at 10250 Constellation Blvd., Suite 2800, Los Angeles, California 90067 (“OMS,”
and together with Scotts Company, “Scotts”), and AeroGrow International, Inc., a
Nevada corporation having its principal place of business at 6075 Longbow Dr.,
Suite 200, Boulder, Colorado 80301 (“AeroGrow”).  Scotts and AeroGrow are
sometimes referred to herein collectively as the “Parties” and individually as a
“Party.”
WHEREAS, the Parties are parties to that certain Supply Chain Services
Agreement, effective as of April 22, 2013 (as amended and supplemented, the
“Services Agreement”); and
WHEREAS, the Parties wish to amend the Services Agreement as set forth below.
NOW, THEREFORE, in consideration of the foregoing and for other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the Parties hereto hereby agree as follows:
Large-Sized Products and Lighting Products Services
1.
Exhibit A of the Services Agreement is hereby amended and restated in its
entirety with the Exhibit A attached hereto.

2.
Section 2(a) of the Services Agreement is hereby amended and restated in its
entirety as follows:

“Fee.  In payment of the Services performed (including any materials provided in
connection therewith) pursuant to this Agreement, Scotts will pay AeroGrow an
annual fee equal to seven percent of the cost of goods of all products that
Scotts purchases from AeroGrow or a vendor (in each case, to the extent the
Services were performed with respect to such Products) in exploiting the
Hydroponic IP outside the U.S. over the course of each Contract Year during the
term of this Agreement with the exception of any Large-Sized Products or
Lighting Products (the “Fee”).”
3.
Section 3(a) of the Services Agreement is hereby amended and restated in its
entirety as follows:

“Limited Term.  Except as set forth in Sections 3(b) and 3(c), the term of this
Agreement will be coterminous with the term of the Technology License Agreement
(as defined in the Recitals to this Agreement) and will automatically terminate
upon the termination or expiration of the Technology License Agreement unless
the Technology License Agreement is terminated prior to July 15, 2019,
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in which case the term of this Agreement will be extended until July 15, 2019
solely with respect to the Large-Sized Products and Lighting Products Services.”

4.
The following definitions are hereby added to Section 12(j) of the Services
Agreement:

“‘Large-Sized Products’ has the meaning set forth in the Technology License
Agreement.”
“‘Lighting Products’ has the meaning set forth in the Technology License
Agreement.”
5.
Exhibit A to the Services Agreement is hereby amended and restated in its
entirety by Exhibit A attached to this Amendment.

Miscellaneous
6.
Incorporation with Services Agreement. This Amendment is executed and delivered
pursuant to the Services Agreement and shall be subject to the terms and
conditions of, and interpreted in accordance with, the Services Agreement. 
Except as amended hereby, the Services Agreement and each of the provisions
contained therein shall remain in full force and effect as from the Effective
Date.  Capitalized terms defined in the Services Agreement and not otherwise
defined herein shall have the meanings given to them in the Services Agreement.

7.
Counterparts.  This Amendment may be executed in one or more counterparts, each
of which shall be deemed an original, and all of which shall constitute one and
the same Amendment.

[Signature page follows]
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The Parties have caused this Amendment to be executed as of the Effective Date.

 
THE SCOTTS COMPANY LLC
 
 
By:      __________________________________
Name:
Title:
 
 
 
OMS INVESTMENTS, INC.
 
 
By:      __________________________________
Name:
Title:
 
 
 
AEROGROW INTERNATIONAL, INC.
 
 
By:      __________________________________
Name:
Title:

 
[Signature Page to Amendment to Supply Chain Services Agreement]
 

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EXHIBIT A

SCOPE OF SERVICES

Upon request, AeroGrow will assist Scotts and its Affiliates with vendor
selection, vendor management and logistics management to get products that
Scotts requests manufactured and delivered to the locations that Scotts
requests.  AeroGrow shall have no payment or other obligations to such vendors
in connection with such products.

 
 
 
 
 
A-1