exv10w77



 






Exhibit 10.77




SECOND AMENDMENT TO

AMENDED AND RESTATED

CREDIT AGREEMENT




     THIS SECOND AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”) is
made and entered into as of February 8, 2005 among ACTION PERFORMANCE COMPANIES, INC., an Arizona
corporation (“APC” or “Company”), ACTION RACING COLLECTABLES, INC., an Arizona
corporation (“ARC”), ACTION SPORTS IMAGE, L.L.C., an Arizona limited liability company
(“ASI”), FUNLINE MERCHANDISE COMPANY, INC., a California corporation (“Funline”),
JEFF HAMILTON COLLECTION, INC., an Arizona corporation (“Hamilton”), MCARTHUR TOWEL AND
SPORTS, INC., an Arizona corporation (“McArthur”), RACING COLLECTABLES CLUB OF AMERICA,
INC., an Arizona corporation (“RCCA”), and TREVCO TRADING CORP., an Arizona corporation
(“Trevco”) (each individually, a “Borrower” and collectively, the
“Borrowers”); the other Loan Parties signatory hereto; BANK ONE, NA, a national banking
association, for itself, as Lender, and as agent for Lenders (in such capacity, the
“Agent”); and the other Lenders signatory hereto.



     WHEREAS, Borrowers, Loan Parties, Agent and Lenders are parties to that certain Amended and
Restated Credit Agreement dated as of June 30, 2004, as amended by that certain First Amendment to
Amended and Restated Credit Agreement dated as of September 3, 2004 (as amended from time to time,
the “Credit Agreement”); and



     WHEREAS, Borrowers, Loan Parties, Lenders and Agent desire to amend the Credit Agreement to
allow and provide for the foregoing and certain matters, all as hereinafter set forth.



     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby agree as follows:



ARTICLE I

Definitions




     Section 1.01 Definitions. Capitalized terms used in this Amendment, to the extent not
otherwise defined herein, shall have the same meaning as in the Credit Agreement, as amended
hereby.



ARTICLE II

Amendments




     Section 2.01 Amendment of Article I. Article 1 of the Agreement is hereby amended by
amending and restating the following terms in their entirety:




     ““Consolidated EBITDA” means Consolidated Net Income plus, to
the extent deducted from revenues in determining Consolidated Net Income, (a)
Consolidated Interest Expense, (b) expense for taxes paid or accrued, net of tax



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refunds, (c) depreciation, (d) amortization and other non-cash charges
(including, without limitation, any intangible impairment charges) and (e)
extraordinary losses (as determined in accordance with GAAP) incurred other than in
the ordinary course of business, minus, to the extent included in
Consolidated Net Income, extraordinary gains (as determined in accordance with GAAP)
realized other than in the ordinary course of business, all calculated for the
Company and its Subsidiaries on a consolidated basis.”



     Section 2.02 Amendment of Section 2.15(d). Effective as of the date hereof,
Section 2.15(d) of the Credit Agreement is hereby amended and restated in its entirety to
read as follows:




     “(d) Excess Cash Flow. Until the Term B Termination Date, the
Borrowers shall prepay the Obligations on the date that is ten days after the
earlier of (i) the date on which Borrowers’ annual audited Financial Statements for
the immediately preceding Fiscal Year are delivered pursuant to Section 6.1
or (ii) the date on which such annual audited Financial Statements were required to
be delivered pursuant to Section 6.1, in an amount equal to fifty percent
(50%) of the Borrowers’ Excess Cash Flow for the immediately preceding Fiscal Year.
Notwithstanding the foregoing, for the Fiscal Year ended September 30, 2005, Excess
Cash Flow shall be calculated based on the nine month period commencing on January
1, 2005 and ending September 30, 2005. Any such prepayment shall be applied to
first, to pay the principal of the Overadvances and Protective Advances,
second, to scheduled principal installments of the Term B Loans in inverse
order of maturity and third, to pay the principal of the Non-Ratable Loans.
Each such prepayment shall be accompanied by a certificate signed by the chief
financial officer of the Borrower Representative (on behalf of the Borrowers)
certifying the manner in which Excess Cash Flow and the resulting prepayment were
calculated, which certificate shall be in form and substance satisfactory to the
Agent.



     Section 2.03 Amendment of Section 6.1(f). Effective as of the date hereof,
Section 6.1(f) of the Credit Agreement is hereby amended and restated in its entirety to
read as follows:




     “(f) as soon as available but in any event within 5 days of the end of each
calendar week, at such other times as may be necessary to re-determine availability
of Advances hereunder or as may be requested by the Agent, as of the period then
ended, an Aggregate Borrowing Base Certificate, together with a duly executed
Borrowing Base Certificate for each Borrower which calculates such Borrower’s
Borrowing Base, and supporting information in connection therewith;”



     Section 2.04 Amendment of Section 6.16(a). Effective as of the date hereof,
Section 6.16(a) of the Credit Agreement is hereby amended by adding the following sentence
to the end of such section:



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     “(a) No Loan Party will or will permit any of their Subsidiaries to declare or
pay any dividends or make any distributions on its Capital Stock (other than
dividends or distributions payable in its own common stock) or redeem, repurchase or
otherwise acquire or retire any of its Capital Stock at any time outstanding, except
(i) that any Subsidiary may declare and pay dividends or make distributions to the
Borrowers or to a Wholly-Owned Subsidiary of the Borrowers, (ii) any
non-Wholly-Owned Subsidiary may declare or pay dividends or make distributions on
its Capital Stock to holders thereof other than Loan Parties, in each case, so long
as (x) no Default or Unmatured Default exists or will be caused by the payment of
such dividend or distribution, (y) the Borrowers are in compliance with Section
6.29.1 after giving effect to such dividend or distribution and (z) the
Availability is greater than ten percent (10%) of the Aggregate Borrowing Base after
giving effect to such dividend or distribution, or (iii) only after (A) delivering a
written good faith estimate of Fixed Charge Coverage Ratio, after taking into
account the payment of any such dividend or distribution, for the period ending on
the last day of the current Fiscal Quarter and (B) receiving the prior written
consent of the Agent and Required Lenders, any Loan Party may declare or pay
dividends or make distributions on its Capital Stock or redeem, repurchase or
otherwise acquire or retire any of its Capital Stock at any time outstanding.”



     Section 2.05 Amendment of Section 6.29.1. Effective as of the date hereof,
Section 6.29.1 of the Credit Agreement is hereby amended and restated in its entirety to
read as follows:




     “6.29.1 Fixed Charge Coverage Ratio. At all times while the Term B
Loan is outstanding, the Borrowers will not permit the Fixed Charge Coverage Ratio,
determined as of the end of each of the Company’s Fiscal Quarter for the then
most-recently ended four Fiscal Quarters, (A) to be less than 0.80 to 1.0 as of the
end of the Fiscal Quarter ending March 31, 2005, (B) to be less than 1.50 to 1.0 as
of the end of each Fiscal Quarter ending June 30, 2005 and September 30, 2005 and
(C) to be less than 1.15 to 1.0 as of the end of the Fiscal Quarter ending December
31, 2005 and as of the end of each Fiscal Quarter thereafter; provided that (i) for
the Fiscal Quarter ending March 31, 2005, the Fixed Charge Coverage Ratio shall be
calculated using the most-recently ended Fiscal Quarter, (ii) for the Fiscal Quarter
ending June 30, 2005, the Fixed Charge Coverage Ratio shall be calculated using the
most-recently ended two Fiscal Quarters and (iii) for the Fiscal Quarter ending
September 30, 2005, the Fixed Charge Coverage Ratio shall be calculated using the
most-recently ended three Fiscal Quarters.




     (b) At all times after the Term B Loan has been paid in full, the Borrowers
will not permit the Fixed Charge Coverage Ratio, determined as of the end of each of
the Company’s Fiscal Quarter for the then most-recently ended four Fiscal Quarters,
to be less than 1.0 to 1.0; provided that (i) for the Fiscal Quarter ending March 31, 2005, the Fixed Charge Coverage Ratio shall be calculated
using the most-recently ended Fiscal Quarter, (ii) for the Fiscal Quarter ending




3









 






June 30, 2005, the Fixed Charge Coverage Ratio shall be calculated using the
most-recently ended two Fiscal Quarters and (iii) for the Fiscal Quarter ending
September 30, 2005, the Fixed Charge Coverage Ratio shall be calculated using the
most-recently ended three Fiscal Quarters.”



     Section 2.06 Amendment to Pricing Schedule. Effective as of the date hereof, the last
sentence of the Pricing Schedule of the Agreement is hereby amended and restated to read in
its entirety as follows:




“It is the agreement of the parties hereto that during the period from the Closing
Date through September 30, 2005, the applicable margins and fees shall be determined
in accordance with the foregoing table as if the Fixed Charge Coverage Ratio were
greater than 1.25 to 1.0 but less than 1.50 to 1.0.”



ARTICLE III



Conditions Precedent




     Section 3.01 Conditions. The effectiveness of this Amendment is subject to the
satisfaction of the following conditions precedent, unless specifically waived by Agent and
Lenders:




     (a) Agent shall have received all of the following documents, each document
(unless otherwise indicated) being dated the date hereof, duly authorized, executed
and delivered by the parties thereto, and in form and substance satisfactory to
Agent and Lenders:




     (i) this Amendment; and




     (ii) such additional documents, instruments and information as
Agent or Lenders or their legal counsel may request.




     (b) Agent and Lenders shall have received from Borrower an amendment fee in the
amount of $75,000 (which shall be fully earned and non-refundable upon execution
hereof) in consideration for entering into this Amendment;




     (c) The representations and warranties contained herein, in the Credit
Agreement, as amended hereby, and/or in the other Loan Documents shall be true and
correct as of the date hereof as if made on the date hereof, except for such
representations and warranties as by their terms expressly speak as of an earlier
date;




     (d) After giving effect to the transactions contemplated hereby, no event shall
have occurred and be continuing or would result which constitutes a Default or
Unmatured Default; and



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     (e) All corporate proceedings taken in connection with the transactions
contemplated by this Amendment and all documents, instruments and other legal
matters incident thereto shall be satisfactory to Agent, Lenders and their legal
counsel.



ARTICLE IV



Limited Waiver




     Section 4.01 Limited Waiver. Upon satisfaction of the terms and conditions in
Article III hereof, Required Lenders hereby waive non-compliance with the Fixed Charge
Coverage Ratio set forth in Section 6.29.1 of the Agreement solely with respect to the Fiscal
Quarter ending December 31, 2004.



Except as specifically provided in this Amendment, nothing contained in this Amendment shall be
construed as a waiver by Agent or any Lender of any covenant or provision of the Credit Agreement,
the other Loan Documents, this Amendment, or of any other contract or instrument between Borrowers
or any Loan Party and Agent and any Lender, and the failure of Agent or Lenders at any time or
times hereafter to require strict performance by Borrowers or any Loan Party of any provision
thereof shall not waive, affect or diminish any rights of Agent or Lenders to thereafter demand
strict compliance therewith. Agent and Lenders hereby reserve all rights granted under the Credit
Agreement, the other Loan Documents, this Amendment and any other contract or instrument between
Borrowers or any Loan Party and Agent or any Lender.




ARTICLE V



Ratifications, Representations and Warranties




     Section 5.01 Ratifications. The terms and provisions set forth in this Amendment
shall modify and supersede all inconsistent terms and provisions set forth in the Credit Agreement
and except as expressly modified and superseded by this Amendment, the terms and provisions of the
Credit Agreement are ratified and confirmed and shall continue in full force and effect.
Additionally, each Borrower and each Loan Party each hereby ratifies and confirms their agreements
under the Credit Agreement and the other Loan Documents as a Borrower and as a Loan Party,
respectively, as of the Closing Date.



     Section 5.02 Ratification of Guaranty. Each Guarantor hereby ratifies and confirms
its guaranty to Agent and Lenders (the “Guaranty”). Each Guarantor hereby represents and
acknowledges that it has no claims, counterclaims, offsets, credits or defenses to the Loan
Documents or the performance of its obligations thereunder. Furthermore, each Guarantor agrees
that nothing contained in this Amendment shall adversely affect any right or remedy of Agent or
Lenders under the Guaranty. Each Guarantor agrees that all references in such Guaranty to the
“Guaranteed Obligations” shall include, without limitation, all of the obligations of Borrowers to
Agent and Lenders under the Credit Agreement, as amended hereby. Finally, each Guarantor
hereby represents and acknowledges that the execution and delivery of this Amendment and the other
Loan Documents executed in connection herewith shall in no way change or modify its obligations as
a guarantor, debtor, pledgor, assignor, obligor and/or grantor under the Guaranty



5









 







and shall not
constitute a waiver by Agent or Lenders of any of their rights against such Guarantor.



     Section 5.03 Representations and Warranties. Each Borrower and each Loan Party hereby
represents and warrants to Agent and Lenders that (i) the execution, delivery and performance of
this Amendment and any and all other Loan Documents executed and/or delivered in connection
herewith have been authorized by all requisite corporate action on the part of such Borrower and
such Loan Party and will not violate the certificate/articles of incorporation of such Borrower or
such Loan Party or the bylaws or other charter or organizational documents of such Borrower or such
Loan Party, (ii) the representations and warranties contained in the Credit Agreement, as amended
hereby, and any other Loan Document are true and correct on and as of the date hereof as though
made on and as of the date hereof except to the extent such representations and warranties relate
solely to an earlier date, (iii) except as disclosed to Agent and Lenders in writing prior to the
date hereof, such Borrower or such Loan Party is in full compliance with all covenants and
agreements contained in the Credit Agreement, as amended hereby, and (iv) such Borrower or such
Loan Party has not amended its certificate/articles of incorporation or bylaws since June 30, 2004.



ARTICLE VI



Miscellaneous




     Section 6.01 Survival of Representations and Warranties. All representations and
warranties made in the Credit Agreement or any other document or documents relating thereto,
including, without limitation, any Loan Document furnished in connection with this Amendment, shall
survive the execution and delivery of this Amendment and the other Loan Documents, and no
investigation by Agent or any Lender or any closing shall affect the representations and warranties
or the right of Agent or Lenders to rely upon them.



     Section 6.02 Reference to Credit Agreement; Obligations. Each of the Loan Documents,
including the Credit Agreement and any and all other agreements, documents or instruments now or
hereafter executed and delivered pursuant to the terms hereof or pursuant to the terms of the
Credit Agreement as amended hereby, are hereby amended so that any reference in such Loan Documents
to the Credit Agreement shall mean a reference to the Credit Agreement, as amended hereby. Each
Borrower acknowledges and agrees that its obligations under this Amendment and the Credit
Agreement, as amended hereby, constitute “Obligations” as defined in the Credit Agreement and as
used in the Loan Documents.



     Section 6.03 Expenses. As provided in the Credit Agreement, each Borrower agrees to
pay on demand all reasonable costs and expenses incurred by Agent in connection with the
preparation, negotiation and execution of this Amendment and the other Loan Documents executed
pursuant hereto and any and all amendments, modifications, and supplements thereto, including,
without limitation, the reasonable costs and fees of Agent’s legal counsel, and all
reasonable costs and expenses incurred by Agent in connection with the enforcement or
preservation of any rights under the Credit Agreement, as amended hereby, or any other Loan
Document.



6









 





     Section 6.04 Severability. Any provision of this Amendment held by a court of
competent jurisdiction to be invalid or unenforceable shall not impair or invalidate the remainder
of this Amendment and the effect thereof shall be confined to the provision so held to be invalid
or unenforceable. Furthermore, in lieu of each such invalid or unenforceable provision there shall
be added automatically as a part of this Amendment a valid and enforceable provision that comes
closest to expressing the intention of such invalid unenforceable provision.



     Section 6.05 APPLICABLE LAW. EXCEPT AS OTHERWISE EXPRESSLY PROVIDED IN ANY OF THE
LOAN DOCUMENTS, IN ALL RESPECTS, INCLUDING ALL MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE,
THIS AMENDMENT AND THE OBLIGATIONS ARISING HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED, AND
ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS (WITHOUT REGARD TO THE CONFLICT OF LAWS PROVISIONS)
OF THE STATE OF TEXAS, BUT GIVING EFFECT TO FEDERAL LAWS APPLICABLE TO NATIONAL BANKS.



     Section 6.06 Successors and Assigns. This Amendment is binding upon and shall inure
to the benefit of Agent, Lenders, Borrowers, the other Loan Parties signatory hereto and their
respective successors and assigns, except that Borrowers may not assign or transfer any of their
rights or obligations hereunder without the prior written consent of each Lender.



     Section 6.07 Counterparts. This Amendment may be executed in one or more
counterparts, each of which when so executed shall be deemed to be an original, but all of which
when taken together shall constitute one and the same instrument.



     Section 6.08 Effect of Waiver. No consent or waiver, express or implied, by Agent or
any Lender to or for any breach of or deviation from any covenant or condition of the Credit
Agreement shall be deemed a consent or waiver to or of any other breach of the same or any other
covenant, condition or duty.



     Section 6.09 Headings. The headings, captions, and arrangements used in this
Amendment are for convenience only and shall not affect the interpretation of this Amendment.



     Section 6.10 Release. EACH BORROWER AND EACH OTHER LOAN PARTY SIGNATORY HERETO HEREBY
ACKNOWLEDGES THAT IT HAS NO DEFENSE, COUNTERCLAIM, OFFSET, CROSS-COMPLAINT, CLAIM OR DEMAND OF ANY
KIND OR NATURE WHATSOEVER THAT CAN BE ASSERTED TO REDUCE OR ELIMINATE ALL OR ANY PART OF ITS
LIABILITY TO REPAY THE “OBLIGATIONS” OR TO SEEK AFFIRMATIVE RELIEF OR DAMAGES OF ANY KIND OR NATURE
FROM AGENT OR LENDERS. EACH BORROWER AND EACH OTHER LOAN PARTY SIGNATORY HERETO HEREBY VOLUNTARILY
AND KNOWINGLY RELEASES AND FOREVER DISCHARGES AGENT AND EACH LENDER, THEIR RESPECTIVE PREDECESSORS,
OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, SUCCESSORS AND ASSIGNS, FROM ALL POSSIBLE CLAIMS,
DEMANDS, ACTIONS, CAUSES OF ACTION, DAMAGES, COSTS, EXPENSES, AND LIABILITIES WHATSOEVER, KNOWN OR
UNKNOWN, ANTICIPATED OR UNANTICIPATED, SUSPECTED OR UNSUSPECTED, FIXED,



7









 







CONTINGENT, OR CONDITIONAL,
AT LAW OR IN EQUITY, ORIGINATING IN WHOLE OR IN PART ON OR BEFORE THE DATE THIS AMENDMENT IS
EXECUTED, WHICH ANY BORROWER OR ANY OTHER LOAN PARTY SIGNATORY HERETO MAY NOW HAVE AGAINST AGENT
AND ANY LENDER, THEIR PREDECESSORS, OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, SUCCESSORS AND ASSIGNS,
IF ANY, AND IRRESPECTIVE OF WHETHER ANY SUCH CLAIMS ARISE OUT OF CONTRACT, TORT, VIOLATION OF LAW
OR REGULATIONS, OR OTHERWISE, AND ARISING FROM ANY LOANS, INCLUDING, WITHOUT LIMITATION, ANY
CONTRACTING FOR, CHARGING, TAKING, RESERVING, COLLECTING OR RECEIVING INTEREST IN EXCESS OF THE
HIGHEST LAWFUL RATE APPLICABLE, THE EXERCISE OF ANY RIGHTS AND REMEDIES UNDER THE CREDIT AGREEMENT
OR OTHER LOAN DOCUMENTS, AND NEGOTIATION FOR AND EXECUTION OF THIS AMENDMENT.



     Section 6.11 NO ORAL AGREEMENTS. THIS WRITTEN AGREEMENT REPRESENTS THE FINAL
AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR
SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.



[Remainder of Page Intentionally Left Blank]





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     IN WITNESS WHEREOF, this Amendment has been executed on the date first written above, to be
effective upon satisfaction of the conditions set forth herein.



	 	 	 	 	 
	 	 	BORROWERS:
	 
	 	 	 	 
	 	 	ACTION PERFORMANCE COMPANIES, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	ACTION RACING COLLECTABLES, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	ACTION SPORTS IMAGE, L.L.C.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	FUNLINE MERCHANDISE COMPANY, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Secretary & Treasurer
	 
	 	 	 	 
	 	 	JEFF HAMILTON COLLECTION, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	MCARTHUR TOWEL AND SPORTS, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer






 









 






	 	 	 	 	 
	 	 	RACING COLLECTABLES CLUB OF AMERICA, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	TREVCO TRADING CORP.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	LOAN PARTIES AND GUARANTORS:
	 
	 	 	 	 
	 	 	ACTION CORPORATE SERVICES, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford

	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	President
	 
	 	 	 	 
	 	 	AW ACQUISITION CORP.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	CREATIVE MARKETING & PROMOTIONS, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	GORACING.COM, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer






 









 






	 	 	 	 	 
	 	 	GORACING INTERACTIVE SERVICES, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	President
	 
	 	 	 	 
	 	 	RYP, INC.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer
	 
	 	 	 	 
	 	 	THE FAN CLUB COMPANY, L.L.C.
	 
	 	 	 	 
	

	 	By:
	 	/s/ David M. Riddiford
	

	 	 	 	 
	

	 	Name:
	 	David M. Riddiford
	

	 	Title:
	 	Chief Financial Officer






 









 






	 	 	 	 	 
	 	 	AGENT AND LENDERS:
	 
	 	 	 	 
	 	 	BANK ONE, NA
	 	 	Individually, as Agent and LC Issuer
	 
	 	 	 	 
	

	 	By:
	 	/s/ Andrea Friedheim
	

	 	 	 	 
	

	 	Name:
	 	Andrea Friedheim
	

	 	Title:
	 	Vice President
	 
	 	 	 	 
	 	 	NORTH FORK BUSINESS CAPITAL CORPORATION,
	 	 	as Lender
	 
	 	 	 	 
	

	 	By:
	 	/s/ Ari Kaplan
	

	 	 	 	 
	

	 	Name:
	 	Ari Kaplan
	

	 	Title:
	 	Vice President
	 
	 	 	 	 
	 	 	FB COMMERCIAL FINANCE, INC.,
	 	 	as Lender
	 
	 	 	 	 
	

	 	By:
	 	/s/ Walter Castillo
	

	 	 	 	 
	

	 	Name:
	 	Walter Castillo
	

	 	Title:
	 	Vice President