<PAGE>   1

                                                                   EXHIBIT 10.47
(NATIONSBANK LETTERHEAD)
NationsBank, N.A.
Charlotte, NC 28255
TEL 704 386-5000

                                October 7, 1998


WESTPOINT STEVENS INC.
507 West Tenth Street
West Point, Georgia 31833
Attention:  Mr. Morgan M. Schuessler


         Re:  Revision of Definition of "Maximum Restricted Payment Amount"
                and Minimum Net Worth Covenant

Dear Sirs:

Reference is made to that certain Second Amended and Restated Credit Agreement,
dated as of June 9, 1998, among WestPoint Stevens Inc. ("Borrower"), WestPoint
Stevens (UK) Limited and WestPoint Stevens (Europe) Limited (the "Foreign
Borrowers"), the various banks and lending institutions party thereto (the
"Banks"), and NationsBank, N.A. as agent (the "Agent") for the Banks, as
amended by that certain Amendment Agreement dated as of July 31, 1998 (as
amended from time to time, the "Credit Agreement"). Capitalized terms not
otherwise defined herein shall have the meanings ascribed to them in the Credit
Agreement.

By their signatures below, the Borrower, the Foreign Borrowers and the Required
Banks hereby agree that the existing definition of "Maximum Restricted Payment
Amount" in Section 1.1 of the Credit Agreement shall be amended to read in its
entirety as follows:

                  "Maximum Restricted Payment Amount" means the sum of (i)
         $84,210,000, plus (ii) 50% of the Consolidated Net Income from and
         after March 31, 1998 until any relevant measurement date, plus (iii)
         the Net Cash Proceeds received by the Borrower from the exercise of
         stock warrants or options by employees or former employees of the
         Borrower in respect of Capital Stock of the Borrower from and after
         March 31, 1998, plus (iv) $21,790,978 (representing the Net Cash
         Proceeds received by Alamac Sub Holdings Inc. from the sale of its
         facility located in Whitmire, South Carolina), and (v) beginning with
         the fiscal quarter ending nearest December 31, 1998, minus the lesser
         of $50,000,000 or 50% of the Consolidated Net Income from and after
         October 1, 1998 until any relevant measurement date.


<PAGE>   2


WestPoint Stevens Inc.
October 7, 1998
Page 2

By their signatures below, the Borrower, the Foreign Borrowers and the Required
Banks hereby agree that Section 7.11(a) be amended to read in its entirety as
follows:

                  Minimum Consolidated Net Worth. Have a Consolidated Net Worth
         as of the last day of each fiscal quarter of not less than (i)
         $205,000,000, (ii) increased on a cumulative basis as of the end of
         each fiscal quarter of the Consolidated Parties, commencing with the
         fiscal quarter ending June 30, 1998, by an amount equal to forty
         percent (40%) of Consolidated Net Income (to the extent positive) for
         the fiscal quarter then ended, and (iii)further increased on a
         cumulative basis as of the end of each fiscal quarter of the
         Consolidated Parties beginning with the fiscal quarter ending nearest
         December 31, 1998 by an amount equal to the lesser of (A) fifty
         percent (50%) of Consolidated Net Income (to the extent positive) for
         each such fiscal quarter or (B) $50,000,000.

By their signatures below, each of the Subsidiary Guarantors acknowledges and
consents to this revision in the definition of "Maximum Restricted Payment
Amount" and each Subsidiary Guarantor agrees that this revision does not
operate to reduce or discharge any of such Subsidiary's obligations under any
of the Collateral Documents.

Until this letter agreement shall have been executed by the Borrower, the
Foreign Borrowers, the Subsidiary Guarantors, and the Required Banks, it shall
not be effective in revising either the definition of "Maximum Restricted
Payment Amount" or Section 7.11(a). Except for the revision to the definition
of "Maximum Restricted Payment Amount" and the revision of Section 7.11(a)
effected hereby upon the execution of this letter agreement by the Borrower,
the Foreign Borrowers, the Subsidiary Guarantors, and the Required Banks, the
Credit Agreement shall remain in full force and effect.

Please execute this letter agreement and cause each of the Foreign Borrowers
and the Subsidiary Guarantors to execute this letter agreement, and return such
completed signature pages to the Agent at your earliest convenience.

                                          Sincerely,

                                          NATIONSBANK, N.A., in its capacity
                                          as the Agent

                                          By: /s/ David H. Dinkins
                                              -------------------------------
                                              David H. Dinkins

                                          Title:  Vice President
                                                 ----------------------------

ACKNOWLEDGED AND AGREED:

WESTPOINT STEVENS INC.

By:  /s/ Morgan M. Schuessler
    ------------------------------
Title: Executive Vice President
       Finance and Chief Financial
       Officer


                                                       [Signatures Continued]


<PAGE>   3

WestPoint Stevens Inc.
October 7, 1998
Page 3

WESTPOINT STEVENS (UK) LIMITED

By: /s/ Morgan M. Schuessler
    ---------------------------------------
    Morgan M. Schuessler

Title: Director, Vice President & Treasurer
       ------------------------------------


WESTPOINT STEVENS (EUROPE) LIMITED

By: /s/ Morgan M. Schuessler
    ---------------------------------------
    Morgan M. Schuessler

Title: Director, Vice President & Treasurer
       ------------------------------------


WESTPOINT STEVENS STORES, INC.

By: /s/ Morgan M. Schuessler
    ---------------------------------------
    Morgan M. Schuessler

Title: Vice President & Treasurer
       ------------------------------------


J.P. STEVENS & CO., INC.

By: /s/ Morgan M. Schuessler
    ---------------------------------------
    Morgan M. Schuessler

Title: Vice President & Treasurer
       ------------------------------------


WEST POINT-PEPPERELL ENTERPRISES, INC.

By: /s/ Edward J. Jones
    ---------------------------------------
    Edward J. Jones

Title: Vice President & Assistant Treasurer
       ------------------------------------


J.P. STEVENS ENTERPRISES, INC.

By: /s/ Edward J. Jones
    ---------------------------------------
    Edward J. Jones

Title: Vice President & Assistant Treasurer
       ------------------------------------


ALAMAC HOLDINGS INC.

By: /s/ Edward J. Jones
    ---------------------------------------
    Edward J. Jones

Title: Vice President & Assistant Treasurer
       ------------------------------------


                                                     [Signatures Continued]


<PAGE>   4

WestPoint Stevens Inc.
October 7, 1998
Page 4

ALAMAC SUB HOLDINGS INC.

By: /s/ Edward J. Jones
    ---------------------------------------
    Edward J. Jones

Title: Vice President & Assistant Treasurer
       ------------------------------------


NATIONSBANK, N.A., as a Bank

By: /s/ David H. Dinkins
    ---------------------------------------
    David H. Dinkins

Title: Vice President
       ------------------------------------


THE BANK OF NEW YORK

By: /s/ Ronald R. Reedy
    ---------------------------------------
    Ronald R. Reedy

Title: Vice President
       ------------------------------------


THE FIRST NATIONAL BANK OF CHICAGO

By: /s/ Kirsten H. Hertel
    ---------------------------------------
    Kirsten H. Hertel

Title: Vice President
       ------------------------------------


SCOTIABANC INC.

By: /s/ P.M. Brown
    ---------------------------------------
    P. M. Brown

Title: Relationship Manager                
       ------------------------------------


WACHOVIA BANK, N.A.

By: /s/ Reginald T. Dawson
    ---------------------------------------

Title: Senior Vice President 
       ------------------------------------


                                                     [Signatures Continued]


<PAGE>   5

WestPoint Stevens Inc.
October 7, 1998
Page 5

SOCIETE GENERALE

By: /s/ Ralph Saheb
    ---------------------------------------
    Ralph Saheb

       Vice President
Title: Southwest Operations Manager
       ------------------------------------


ABN AMRO BANK, N.V.

By: /s/ Linda K. Davis
    ---------------------------------------

Title: Vice President
       ------------------------------------


By: /s/ Robert A. Budnek
    ---------------------------------------
    Robert A. Budnek

Title: Vice President
       ------------------------------------


SUNTRUST BANK, ATLANTA


By: /s/ Laura Kahn
    ---------------------------------------
    Laura Kahn

Title: Senior Vice President
       ------------------------------------


By: /s/ Brenda Zino
    ---------------------------------------
    Brenda Zino

Title: Banking Officer
       ------------------------------------


FIRST UNION NATIONAL BANK

By: /s/ Roger Pelz
    ---------------------------------------

Title: Senior Vice President
       ------------------------------------


FLEET BANK, N.A.

By: 
    ---------------------------------------

Title:
       ------------------------------------


                                                    [Signatures Continued]


<PAGE>   6
WestPoint Stevens Inc.
October 7, 1998
Page 6

AMSOUTH BANK

By:
    ---------------------------------------

Title: 
       ------------------------------------


COOPERATIEVE CENTRALE RAIFFEISEN-
BOERENLEENBANK B.A., "RABOBANK NEDERLAND",
NEW YORK BRANCH


By: /s/ Theodore W. Cox
    ---------------------------------------
    Theodore W. Cox
       
Title: Vice President
       ------------------------------------


By: /s/ W. Jeffrey Vollack
    ---------------------------------------
    W. Jeffrey Vollack

       Senior Credit Officer
Title: Senior Vice President
       ------------------------------------


NATIONAL WESTMINSTER BANK PLC


By: /s/ R. Elsom
    ---------------------------------------
    R. Elsom

Title: Senior Corporate Manager
       ------------------------------------