EXHIBIT 10.1
 
SECOND AMENDMENT TO AMENDED AND RESTATED LOAN AGREEMENT
 
 
This SECOND AMENDMENT TO AMENDED AND RESTATED LOAN AGREEMENT (the “Agreement”)
is made effective as of this 29th day of October, 2013 (the “Effective Date”),
by and between PANACHE BEVERAGE INC., a Delaware Corporation, as successor in
interest by merger to Panache Beverage, Inc., a Florida corporation, sometimes
hereafter referred to as “Panache Delaware”), ALIBI NYC, LLC, a New York limited
liability company (“Alibi”), PANACHE USA, LLC, a New York limited liability
company (“Panache USA”), ALCHEMY INTERNATIONAL, LLC, a New York limited
liability company (“Alchemy”), MIS BEVERAGE HOLDINGS, LLC, a New York limited
liability company (“MIS”), JAMES DALE (“Dale”), AGATA PODEDWORNY (“Podedworny”),
SJOERD DE JONG (“De Jong”) and PANACHE DISTILLERY, LLC, a Florida limited
liability company (“Panache Distillery”) (Alibi, Panache USA, Alchemy, MIS,
Dale, Podedworny, De Jong and Panache Distillery are sometimes hereafter
collectively referred to as the “Related Parties”; AND CONSILIUM CORPORATE
RECOVERY MASTER FUND, LLC a limited company existing under the laws of the
Caymen Islands ( the “ Lender”).

WITNESSETH

(A)          On or about October 29, 2013, Panache Beverage, Inc., a Florida
corporation (hereinafter sometimes referred to as the “Borrower” or “Panache
Florida”), merged with and into and was succeeded by Panache Beverage, Inc., a
Delaware corporation (hereinafter referred to herein as “Panache Delaware”) (the
“Merger”).  The Merger was accomplished in connection with the Florida Business
Corporation Act and the Delaware General Corporation law.  By operation of law,
upon the effectiveness of the Merger, Panache Florida ceased to exist as a
separate entity and Panache Delaware, as the surviving corporation of the Merger
possesses all the rights, privileges, immunities and franchises, of both a
public and private nature, of each of the constituent corporations and became
responsible and liable for all of the liabilities and obligations of each of 
the constituent corporations.  Pursuant to the Agreement and Plan of Merger,
Panache Delaware is authorized to issue 100 million shares of common stock,
$0.001 par value per share (the “Common Stock”), and shareholders of Panache
Florida have exchanged on a one for one basis their shares of common stock with
those issued by Panache Delaware.  In addition Panache Delaware has authorized
10,000,000 shares of Preferred Stock, $0.001 par value per share (the “Preferred
Stock”).
 
 
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(B)           Panache Florida has heretofore executed and delivered to Lender
certain loan documents described below (hereafter the “Loan Documents”):
 
(i)         a Promissory Note payable to the Lender,  dated as of December 21,
2012,  in the principal amount of Two Million One Hundred Thousand
($2,100,000.00) Dollars (the “$2,100,000 Note”, and together with the security
and loan documents entered into in connection therewith, the “$2,100,000 Loan”);
 
(ii)       a Promissory Note payable to the Lender in the amount of Four Million
($4,000,000.00) Dollars, dated as of May 9, 2013 (the “ $4,000,000 Note”, and
together with the security and loan documents entered into in connection
therewith, the “$4,100,000 Loan”);
 
(iii)       a term loan agreement, dated as of December 21, 2012, by and among
Panache Florida, Lender, Dale, Podedworny, De Jong and MIS (the “Original Loan
Agreement”), which Original Loan Agreement  has been modified by that certain
Amended and Restated Loan Agreement, dated May 9, 2013 (the “Amended and
Restated Loan Agreement”), which includes all parties as aforedescribed in the
Original Loan Agreement, plus an additional party; to wit, Panache Distillery,
and that certain First Amendment to said Amended and Restated Loan Agreement,
dated as of September 4, 2013 (the “First Amendment”).  The original Loan
Agreement, the Amended and Restated Loan Agreement and First Amendment are
collectively referred to herein as the “Amended Loan Agreement” and set forth
the rights and obligations with respect to the $4,000,000 Loan and the
$2,100,000 Loan, each as defined below  (collectively the “Loans”);
 
 
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(iv)       a UCC-1 financing statement evidencing the security interest granted
in the “ Collateral” as that term is referenced in the Amended  Loan Agreement;
 
(v)        as additional security for the obligations under the $2,100,000.00
Note and the Original Loan Agreement, Dale, Podedworny, MIS, Alchemy and De Jong
have previously executed Stock Pledge Agreements (the “Trademark Pledges”),
dated as of December 21, 2012, which pledge of shares represents approximately
68% of all currently issued and outstanding shares of Common Stock in Panache
Florida and which stock entitle the holders (until a default occurs) to 68% of
the voting interest and 68% of entitlements to dividends and shareholder
distributions;
 
(vi)      Dale, Podedworny and Borrower have previously executed Pledge and
Security Agreements, dated as of December 21, 2012, wherein they have pledged
their respective interest in Panache USA, LLC, Panache, LLC, Alibi NYC, LLC
(“Alibi”) and Alchemy, LLC (“Alchemy”);
 
(vii)      Alibi and Panache LLC have previously executed Trademark Security
Agreements in which they have pledged their interest in certain trademarks to
Lender in connection with the $2,100,000.00 Loan and which agreements have been
amended and restated on May 19, 2013 and are being amended as of even date.  In
addition, Alibi, Alchemy, Borrower, and Panache LLC have each previously
executed a Trademark Assignment and Security Agreement as security for the
$2,100,000 Loan which has been amended and restated to include reference to the
$4,000,000 Loan and will be further amended to reference this Amendment as well
as the September 4, 2013 Amendment;
 
(viii)     Alchemy, Panache LLC and Alibi have previously executed a Limited
Guaranty in favor of the Lender as security for the $2,100,000.00 Loan;
 
 
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(ix)       Panache has executed an Amended and Restated Pledge Agreement
pledging all their right, title and interest in and to Panache Distillery, as
well as other assets.
 
(x)        Panache Distillery has previously granted a second mortgage lien on
realty described on Exhibit “A” (the “Second Mortgage”) and a lien on the
personal property described on the UCC-1 financing statement attached hereto as
Exhibit “B” (the “Distillery UCC-1”) in favor of the Lender securing the
$4,000,000.00 Loan and the $2,100,000.00 Loan (Sometimes collectively referred
to herein as the “Loans”), which Lender has not yet recorded;
 
(xi)       Panache Distillery has previously executed a Pledge and Security
Agreement pledging the assignment of depository agreement and operating account
with respect to all proceeds which have been unfunded with respect to the
$4,000,000.00 Loan;
 
(xii)      Panache Distillery has previously executed its Corporate Guaranty
guarantying both the Loans; and
 
(xiii)     An Omnibus Modification Agreement, dated May 9, 2013, by and among
Borrower, Dale, Podedworny, MIS, De Jong, Panache USA, Alibi, Alchemy, Panache
Distillery and Lender amending all of the aforesaid loan documents and providing
for them to be cross defaulted and cross collateralized.
 
(C)          The purpose of this Agreement is to acknowledge the Merger of
Panache Florida with and into Panache Delaware and to reconfirm that all of the
Loan Documents as aforedescribed, plus any other ancillary documents issued on
connection with the consummation of said loans, are all in full force and effect
and for all purposes hereafter Panache Delaware shall serve as the Borrower
under said loan documentation in the place and stead of the now defunct Panache
Florida other matters as set forth below.
 
NOW THEREFORE, in consideration of Ten Dollars ($10.00) and other mutual
considerations, the receipt and sufficiency which are acknowledged, the parties
by their execution hereof agree as follows:
 
 
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1.            Recitals.  All Recitals as contained above are incorporated herein
and are deemed to be true and correct in all respects.
 
2.            Reaffirmation.  Panache Delaware, as successor by merger to
Panache Florida, is reconfirmed as the “Borrower” under the Loan Documents as
aforedescribed and any ancillary documents issued in connection therewith and
for all purposes thereafter shall be deemed to be the Borrower under said Loan
Documents and ancillary documents, all of which are deemed amended, restated and
reconfirmed.  The Related Parties confirm their obligations under the Loan
Documents and ancillary documents and agree that their obligations under said
Loan Documents (including but not limited to any guaranty and/or pledge
agreement) are in full force and effect and that no defenses exist to the
enforcement thereof nor, to their knowledge, is there any state of facts in
existence which over time would give rise to a defense.
 
3.            Share Certificates.  Dale, De Jong, MIS and Podedworny (the
“Pledgee`s) hold share certificates in Panache Delaware totaling 19,900,000,
representing approximately 74% of said authorized issued stock in Panache
Delaware.  Borrower certifies that pursuant to its reorganization documents the
existing certificates will not be replaced and will continue in existence and
continue to evidence the holder’s interest in Panache Delaware.  At Lender’s
request, Borrower and Pledgees will assist Lender in obtaining new share
certificates to substitute for the existing certificates.  The existing share
certificates for each of the Pledgee`s are delineated hereafter:
 

     
Number of
Shares
   
Share
Certificate No.
  (a) JamesDale     2,460,000       #333           10,440,000       #234   (b)
Agata Podedworny     4,000,000       #235   (c) Sjoerd De Jong     1,000,000    
  #237   (d) MIS Beverage Holdings, LLC     2,000,000       #236  

 
 
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4.            Trademark Pledges.  Trademark Pledges as afore described in
subparagraph B (vii) are reconfirmed and cover the trademarks delineated on
Exhibit “C” appended hereto. Since the filing of said Trademark Pledges, two new
trademarks have been issued and filed by Panache LLC and are described on
Exhibit “C-1” and are to be collaterally assigned to Lender pursuant to new
Trademark Assignment and Security Agreements of Panache LLC of even date
herewith and will be recorded in the appropriate public records to reflect a
collateral assignment as said Trademarks to the Lender as security for the
Loans.
 
5.            UCC-1 Financing Statements.  A UCC-3 Financing Statement will be
filed in the State of Florida and a new UCC-1 Financing Statement will be filed
in the State of Delaware upon effectiveness of the Merger to reflect the fact
that Panache Florida has merged into Panache Delaware.
 
6.            Lender Consent to Loan Covenants.  Lender hereby consents to the
Merger and hereby consents to and/or waives compliance with all applicable Loan
Covenants contained in the Amended Loan Agreement that could be deemed to relate
to the Merger and the transactions contemplated by it, including, but not
limited to, Sections 6.1, 7.3, 7.8, 7.10, 7.12, 7.15 and 7.17 of the Amended
Loan Agreement.
 
7.            Waiver and Release of Claims.  Borrower and Related Parties on the
one hand, or Lender on the other, each hereby acknowledge, agree and affirm that
they do not possess any claims, defenses, offsets, recoupment, or counterclaims
of any kind or nature against the other or arising out of or relating to the
Loans or any other Loan Documents securing the same evidenced or secured thereby
or any collateral for the Loans, or the enforcement thereof (collectively the
“Claims”), nor do Borrower or Related Parties on the one hand, or Lender on the
other, now have knowledge of any facts that would or might give rise to any
Claims.  Each of the parties hereto  hereby unconditionally, irrevocably, and
unequivocally waive and fully release any and all such Claims arising out of
facts or circumstances existing on or before the execution of this instrument,
provided this release shall not release Lender or Borrower from liability for
breach of this Agreement.  In no event shall either party be liable to the
other(s), and each of the parties hereto hereby waive, release and agree not to
sue for any special, indirect, punitive, exemplary, or consequential damages
suffered by them in connection with, or arising out of, or in any way related to
the Loan Documents existing as of the date hereof, including, without limiting
the generality of the foregoing, lost profits and each  of the parties hereto
waive all claims for punitive, exemplary, or consequential damages.
 
 
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8.            Miscellaneous.
 
a.         Florida law shall govern the interpretation and the enforceability of
this document.
 
b          If any form of security granted to the Lender is deemed to be of no
force and effect, it shall have no effect on other loan documentation executed
as of December 21, 2012, May 9, 2013, September 4, 2013 or other loan
documentation of even date herewith.
 
c.         All other terms and conditions of the aforedescribed loan
documentation not in conflict herewith are hereby deemed to be reaffirmed and in
full force and effect.
 
d.         This instrument may be signed in one or more counterparts, each of
which shall be deemed to be an original, and all of which taken together shall
constitute one and the same agreement (and all signatures need not appear on
anyone counterpart).  In the event that any signature is delivered by facsimile
transmission or by e-mail delivery of a “.pdf” format data file, such signature
shall create a valid and binding obligation of the party executing (or on whose
behalf such signature is executed) with the same force and effect as if such
facsimile or “.pdf” signature page were an original thereof.  This Agreement
shall become effective when one or more counterparts has been signed and
delivered by each of the parties hereto.
 
Signature pages to follow
 
 
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IN WITNESS WHEREOF, the undersigned parties have executed this document in one
or more counterparts effective as of the date and year first above written.
 
CONSILIUM CORPORATE RECOVERY MASTER FUND, LTD.,
a Florida limited partnership
 
PANACHE BEVERAGE, INC.,
a Delaware corporation
              By:
/S/ CHARLES T. CASSEL, III
  By:
/S/ AGATA PODEDWORNY
  Name:
Charles T. Cassel, III
  Name:
Agata Podedworny
  Title:
Authorized Person
  Title:
Secretary
                          JOINED INTO BY:   PANACHE DISTILLERY, LLC, a        
Florida limited liability company             By: /S/ JAMES DALE   By: /S/ AGATA
PODEDWORNY     JAMES DALE  
Name:
Agata Podedworny        
Title:
Manager
  By: /S/ AGATA PODEDWORNY           AGATA PODEDWORNY                     By:
/S/ SJOERD DE JONG           SJOERD DE JONG                    
MIS BEVERAGE HOLDINGS, LLC,
a New York limited liability company
 
ALCHEMY INTERNATIONAL, LLC,
a New York limited liability company
              By: /S/ MARIA GORDON   By: /S/ AGATA PODEDWORNY  
Name:
Maria Gordon
 
Name:
Agata Podedworny
 
Title:
Manager
 
Title:
Manager                                
ALIBI NYC, LLC,
a New York limited liability company
                    By: /S/ AGATA PODEDWORNY        
Name:
Agata Podedworny         Title:
Manager
         
 
                   
PANACHE USA, LLC,
a New York limited liability company
                    By: /S/ AGATA PODEDWORNY        
Name:
Agata Podedworny
       
Title:
Manager
 

 
 
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STATE OF FLORIDA )     ) SS: COUNTY OF BROWARD )  

 
The foregoing instrument was acknowledged before me this 19th day of September,
2013 by Charles T. Cassel, III, as authorized person of CONSILIUM COROPRATE
RECOVERY MASTER FUND, LTD., a Florida limited partnership, on behalf of the
partnership.  He/She is personally known to me or has produced _______________
as identification.
 
 
By:
/S/ MARIA C.
NOVICK                                                                     
NOTARY PUBLIC, State of Florida       Print Name: Maria C. Novick       Title:
_______________       Commission No.:  EE 053763  

My Commission Expires: March 25, 2015
 
 

STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by James Dale who is personally known to me or has produced
_________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 
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STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Agata Podedworny who is personally known to me or who has produced
_________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

 
 

STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Sjoerd De Jong who is personally known to me or who has produced
_________________ as identification.

 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 

STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Maria Gordon, as Manager of MIS BEVERAGE HOLDINGS, LLC, a Florida
limited partnership, on behalf of the partnership.  He/She is personally known
to me or has produced _____________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 
 
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STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Agata Podedworny, as Secretary of PANACHE BEVERAGE, INC., a Delaware
corporation, on behalf of the corporation.  He/She is personally known to me or
has produced  _____________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 

STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Agata Podedworny as Manager of PANACHE DISTILLERY, LLC, a Florida
limited liability company, on behalf of the company.  He/She is personally known
to me or has produced _____________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 
 
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STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Agata Podedworny as Manager of ALCHEMY INTERNATIONAL, LLC, a New York
limited liability company, on behalf of the company.  He/She is personally known
to me or has produced _____________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 

STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Agata Podedworny as Manager of ALIBI NYC, LLC, a New York limited
liability company, on behalf of the company.  He/She is personally known to me
or has produced _____________________ as identification.
 
 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 
 
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STATE OF FLORIDA )     ) SS: COUNTY OF MIAMI DADE )  

 
The foregoing instrument was acknowledged before me this 29th day of October,
2013 by Agata Podedworny as Manager of PANACHE USA, LLC, a New York limited
liability company, on behalf of the company.  He/She is personally known to me
or has produced _____________________ as identification.

 
By:
/S/ IAN GRUTMAN       NOTARY PUBLIC, State of Florida      
Print Name: Ian Grutman
     
Commission No.: EE 185194
 

My Commission Expires: June 8, 2016
 
 
 
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