<PAGE>   1
                                                                 EXHIBIT 10.22
                                 IMPERIAL BANK                     
                                   Member FDIC

                           SECURITY AND LOAN AGREEMENT
                     (ACCOUNTS RECEIVABLE AND/OR INVENTORY)

This Agreement is entered into between XCEL Corporation a, NJ Corporation

(herein called "Borrower") and IMPERIAL BANK (herein called "Bank").

1.   Bank hereby commits, subject to all the terms and conditions of this
     Agreement and prior to the termination of its commitment as hereinafter
     provided, to make loans to Borrower from time to time in such amounts as
     may be determined by Bank up to, but not exceeding in the aggregate unpaid
     principal balance. the following Borrowing Base:


                    75.000 % of Eligible Accounts

                    12.500 % of the Value of Inventory Not to Exceed $500,000.00


     and in no event more than $3,250,000.00

2.   The amount of each loan made by Bank to Borrower hereunder shall be debited
     to the loan ledger account of Borrower maintained by Bank (herein called
     "Loan Account") and Bank shall credit the Loan Account with all loan
     repayments made by Borrower. Borrower promises to pay Bank on or before the
     tenth day of each month, interest on the average daily unpaid balance of
     the Loan Account during the immediately preceding month at the rate of One
     percent (1.000%) per annum in excess of the rate of interest which Bank has
     announced as its prime lending rate ("Prime Rate") which shall vary
     concurrently with any change in such Prime Rate. Interest shall be computed
     at the above rate on the basis of the actual number of days during which
     the principal balance of the loan account is outstanding divided by 360,
     which shall for interest computation purposes be considered one year. Bank
     at its option may demand payment of any or all of the amount due under the
     Loan Account including accrued but unpaid interest at any time. Such notice
     may be given verbally or in writing and should be effective upon receipt by
     Borrower. The amount of interest payable each month by Borrower shall not
     be less than a minimum monthly charge of $ 250.00. Bank is hereby
     authorized to charge Borrower's deposit account(s) with Bank for all sums
     due Bank under this Agreement.

3.   Requests for loans hereunder shall be in writing duly executed by Borrower
     in a form satisfactory to Bank and shall contain a certification setting
     forth the matters referred to in Section 1, which shall disclose that
     Borrower is entitled to the amount of loan being requested.

4.   As used in this Agreement, the following terms shall have the following
     meanings:

     A.   "Accounts" means any right to payment for goods sold or leased, or to
          be sold or to be leased, or for services rendered or to be rendered no
          matter how evidenced, including accounts receivable, contract rights,
          chattel paper, instruments, purchase orders, notes, drafts,
          acceptances, general intangibles and other forms of obligations and
          receivables.

     B.   "Inventory" means all of the Borrower's goods, merchandise and other
          personal property which are held for sale or lease, including those
          held for display or demonstration or out on lease or consignment or to
          be furnished under a contract of service or are raw materials, work in
          process or materials used or consumed, or to be used or consumed in
          Borrower's business, and shall include all property rights, patents,
          plans, drawings, diagrams, schematics, assembly and display materials
          relating thereto.

     C.   "Collateral" means any and all personal property of Borrower which is
          assigned or hereafter is assigned to Bank as security or in which Bank
          now has or hereafter acquires a security interest.

     D.   "Eligible Accounts" means all of Borrower's Accounts excluding,
          however, (1) all Accounts under which payment is not received within
          days from any invoice date, (2) all Accounts against which the account
          debtor or any other person obligated to make payment thereon asserts
          any defense, offset, counterclaim or other right to avoid or reduce
          the liability represented by the Account and (3) any Accounts if the
          account debtor or any other person liable in connection therewith is
          insolvent, subject to bankruptcy or receivership proceedings or has
          made an assignment for the benefit of creditors or whose credit
          standing is unacceptable to Bank and Bank has so notified Borrower.
          Eligible Accounts shall only include such accounts as Bank in its sole
          discretion shall determine are eligible from time to time.

     E.   "Value of Inventory" means the value of Borrower's Inventory
          determined in accordance with generally accepted accounting principles
          consistently applied excluding, however, the amount of progress
          payments, pre-delivery payments, deposits and any other sums received
          by Borrower in anticipation of the sale and delivery of Inventory, all
          Inventory on consignment or lease to others, and all property on
          consignment or lease from others to Borrower.

5.   Borrower hereby assigns to Bank all Borrower's present and future Accounts,
     including all proceeds due thereunder, all guaranties and security therefor
     and all merchandise giving rise thereto, and hereby grants to Bank a
     continuing security interest in all Borrower's Inventory and in all
     proceeds and products thereof, whether now owned or hereafter existing or
     acquired, including all moneys in the Collateral Account referred to in
     Section 6 hereof, as security for any and all obligations of Borrower to
     Bank, whether now owing or hereafter incurred and whether direct, indirect,
     absolute or contingent. So long as Borrower is indebted to Bank or Bank is
     committed to extend credit to Borrower, Borrower will execute and deliver
     to Bank such assignments, including Bank's standard forms of Specific or
     General Assignment covering individual Accounts, notices, financing
     statements, and other documents and papers as Bank may require in order to
     affirm, effectuate or further assure the assignment to Bank of the
     Collateral or to give any third party, including the account debtors
     obligated on the Accounts, notice of Bank's interest in Collateral.

6.   Until Bank exercises its rights to collect the Accounts and Inventory
     proceeds pursuant to paragraph 10, Borrower will collect with diligence all
     Borrower's Accounts and Inventory proceeds, provided that no legal action
     shall be maintained thereon or in connection therewith without Bank's prior
     written consent. Any collection of Accounts or Inventory proceeds by
     Borrower, whether in the form of cash, checks, notes, or other instruments
     for the payment of money (properly endorsed or assigned where required to
     enable Bank to collect same), shall be in trust for Bank, and Borrower
     shall keep all such collections separate and apart from all other funds and
     property so as to be capable of identification as the property of Bank and
     deliver said collections, together with the proceeds of all cash sales,
     daily to Bank in the identical form received. The proceeds of such
     collections when received by Bank may be applied by Bank directly to the
     payment of Borrower's Loan Account or any other obligation secured hereby.
     Any credit given by Bank upon receipt of said proceeds shall be conditional
     credit subject to collection. Return items at Bank's option may be charged
     to Borrower's general account. All collections of the Accounts and
     Inventory proceeds shall be set forth on an itemized schedule, showing the
     name of the account debtor, the amount of each payment and such other
     information as Bank may request.

7.   Until Bank exercises its rights to collect the Accounts or Inventory
     proceeds pursuant to paragraph 10, Borrower may continue its present
     policies with respect to returned merchandise and adjustments. However,
     Borrower shall immediately notify Bank of all cases involving returns,
     repossessions, and loss or damage of or to merchandise represented by the
     Accounts or constituting Inventory and of any credits, adjustments or
     disputes arising in connection with the goods or services represented by
     the Accounts or constituting Inventory and, in any of such events, Borrower
     will immediately pay to Bank from its own funds (and not from the proceeds
     of Accounts or Inventory) for application to Borrower's Loan Account or any
     other obligation secured hereby the amount of any credit for such returned
     or repossessed merchandise and adjustments made to any of the Accounts.
     Until payment is made as provided herein or until release by Bank from its
     security interest, all merchandise returned to or


<PAGE>   2

     repossessed by Borrower shall be set aside and identified as the property
     of Bank and Bank shall be entitled to enter upon any premises where such
     merchandise is located and take immediate possession thereof and remove
     same.

8.   Borrower represents and warrants to Bank: (i) If Borrower is a corporation,
     that Borrower is duly organized and existing in the State of its
     incorporation and the execution, delivery and performance hereof are within
     Borrower's corporate powers, have been duly authorized and are not in
     conflict with law or the terms of any charter, by-law or other
     incorporation papers, or of any indenture, agreement or undertaking to
     which Borrower is a party or by which Borrower is found or affected; (ii)
     Borrower is, or at the time the collateral becomes subject to Bank's
     security interest will be, the true and lawful owner of and has, or at the
     time the Collateral becomes subject to Bank's security interest will have,
     good and clear title to the Collateral, subject only to Bank's rights
     therein; (iii) Each Account is, or at the time the Account comes into
     existence will be, a true and correct statement of a bona fide indebtedness
     incurred by the debtor named therein in the amount of the Account for
     either merchandise sold or delivered (or being held subject to Borrower's
     delivery instructions) to, or services rendered, performed and accepted by,
     the account debtor; (iv) That there are or will be no defenses,
     counterclaims, or setoffs which may be asserted against the Accounts; and
     (v) any and all financial information, including information relating to
     the Collateral, submitted by Borrower to Bank, whether previously or in the
     future, is or will be true and correct. 

9.   Borrower will: (1) Furnish Bank from time to time such financial statements
     and information as Bank may reasonably request and inform Bank immediately
     upon the occurrence of a material adverse change therein; (ii) Furnish Bank
     periodically, in such form and detail and at such times as Bank may
     require, statements showing aging and reconciliation of the Accounts and
     collections thereon, and reports as to the Inventory and sales thereof;
     (iii) Permit representatives of Bank to inspect the Inventory and
     Borrower's books and records relating to the Collateral and make extracts
     therefrom at any reasonable time and to arrange for verification of the
     Accounts, under reasonable procedures, acceptable to Bank, directly with
     the account debtors or otherwise at Borrower's expense; (iv) Promptly
     notify Bank of any attachment or other legal process levied against any of
     the Collateral and any information received by Borrower relative to the
     Collateral, including the Accounts, the account debtors or other persons
     obligated in connection therewith, which may in any way affect the value of
     the Collateral or the rights and remedies of Bank in respect thereto; (v)
     Reimburse Bank upon demand for any and all legal costs, including
     reasonable attorney's fees, and other expense incurred in collecting any
     sums payable by Borrower under Borrower's Loan Account or any other
     obligation secured hereby, enforcing any term or provision of this Security
     Agreement or otherwise or in the checking, handling and collection of the
     Collateral and the preparation and enforcement of any agreement relating
     thereto; (vi) Notify Bank of each location at which the Inventory is or
     will be kept, other than for temporary processing, storage or similar
     purposes, and of any removal thereof to a new location and of each office
     of Borrower at which records of Borrower relating to the Accounts are kept;
     (vii) Provide, maintain and deliver to Bank policies insuring the
     collateral against loss or damage by such risks and in such amounts, forms
     and companies as Bank may require and with loss payable solely to Bank,
     and, in the event Bank takes possession of the Collateral, the insurance
     policy or policies and any unearned or returned premium thereon shall at
     the option of Bank become the sole property of Bank, such policies and the
     proceeds of any other insurance covering or in any way relating to the
     Collateral, whether now in existence or hereafter obtained, being hereby
     assigned to Bank; (viii) Do all acts necessary to maintain, preserve and
     protect all Inventory, keep all Inventory in good condition and repair and
     not to cause any waste or unusual or unreasonable depreciation thereof, and
     (ix) In the event the unpaid balance of Borrower's Loan Account shall
     exceed the maximum amount of outstanding loans to which Borrower is
     entitled under Section 1 hereof, Borrower shall immediately pay to Bank,
     from its own funds and not from the proceeds of Collateral, for credit to
     Borrower's Loan Account the amount of such excess.

10.  Bank may at any time, without prior notice to Borrower, collect the
     Accounts and Inventory proceeds and may give notice of assignment to any
     and all account debtors, and Borrower does hereby make, constitute and
     appoint Bank its irrevocable, true and lawful attorney with power to
     receive, open and dispose of all mail addressed to Borrower, to endorse the
     name of Borrower upon any checks or other evidences of payment that may
     come into the possession of Bank upon the Accounts or as proceeds of
     Inventory; to endorse the name of the undersigned upon any document or
     instrument relating to the Collateral; in its name or otherwise, to demand,
     sue for, collect and give acquittances for any and all moneys due or to
     become due upon the Accounts; to compromise, prosecute or defend any
     action, claim or proceeding with respect thereto; and to do any and all
     things necessary and proper to carry out the purpose herein contemplated.

11.  Until Borrower's Loan Account and all other obligations secured hereby
     shall have been repaid in full, Borrower shall not sell, dispose of or
     grant a security interest in any of the Collateral other than to Bank, or
     execute any financing statements covering the Collateral in favor of any
     secured party or person other than Bank.

12.  Should: (i) Default be made in the payment of any obligation, or breach be
     made in any warranty, statement, promise, term or condition, contained
     herein or hereby secured; (ii) Any statement or representation made for the
     purpose of obtaining credit hereunder prove false; (iii) Bank deem the
     Collateral inadequate or unsafe or in danger of misuse; (iv) Borrower
     become insolvent or make an assignment for the benefit of creditors; or (v)
     Any proceeding be commended by or against Borrower under any bankruptcy,
     reorganization, arrangement, readjustment of debt or moratorium law or
     statute; then in any such event, Bank may, at its option and without demand
     first made and without notice to Borrower, do any one or more of the
     following: (a) Terminate its obligation to make loans to Borrower as
     provided in Section 1 hereof; (b) Declare all sums secured hereby
     immediately due and payable; (c) Immediately take possession of the
     Collateral wherever it may be found, using all necessary force so to do, or
     require Borrower to assemble the Collateral and make it available to Bank
     at a place designated by Bank which is reasonably convenient to Borrower
     and Bank, and Borrower waives all claims for damages due to or arising from
     or connected with any such taking; (d) Proceed in the foreclosure of Bank's
     security interest and sale of the Collateral in any manner permitted by
     law, or provided for herein; (e) Sell, lease or otherwise dispose of the
     Collateral at public or private sale, with or without having the Collateral
     at the place of sale, and upon terms and in such manner as Bank may
     determine, and Bank may purchase same at any such sale; (f) Retain the
     Collateral in full satisfaction of the obligations secured thereby; (g)
     Exercise any remedies of a secured party under the Uniform Commercial Code.
     Prior to any such disposition, Bank may, at its option, cause any of the
     Collateral to be repaired or reconditioned in such manner and to such
     extent as Bank may deem advisable, and any sums expended therefor by Bank
     shall be repaid by Borrower and secured hereby. Bank shall have the right
     to enforce one or more remedies hereunder successively or concurrently, and
     any such action shall not estop or prevent Bank from pursuing any further
     remedy which it may have hereunder or by law. If a sufficient sum is not
     realized from any such disposition of Collateral to pay all obligations
     secured by this Security Agreement, Borrower hereby promises and agrees to
     pay Bank any deficiency.

13.  If any writ of attachment, garnishment, execution or other legal process be
     issued against any property of Borrower, or if any assessment for taxes
     against Borrower, other than real property, is made by the Federal or State
     government or any department thereof, the obligation of Bank to make loans
     to Borrower as provided in Section 1 hereof shall immediately terminate and
     the unpaid balance of the Loan Account, all other obligations secured
     hereby and all other sums due hereunder shall immediately become due and
     payable without demand, presentment or notice.

14.  Borrower authorizes Bank to destroy all invoices, delivery receipts,
     reports and other types of documents and records submitted to Bank in
     connection with the transactions contemplated herein at any time subsequent
     to four months from the time such items are delivered to Bank.

15.  Nothing herein shall in any way limit the effect of the conditions set
     forth in any other security or other agreement executed by Borrower, but
     each and every condition hereof shall be in addition thereto.

*16. Additional Provisions: See Exhibit "A" Addendum to Security and Loan
     Agreement attached


Executed this 29th day of February, 1996


                                 XCEL CORPORATION
                                 --------------------------
                                 (Name of Borrower)

                                 BY: /s/ Carmine T. Oliva
                                     -------------------------------
                                     (Authorized Signature and Title)
                                     Carmine T. Oliva, Chairman, President & CEO



         IMPERIAL BANK


BY:  /s/ Doug Mead                     BY:
    -------------------------------        --------------------------------
   Doug Mead, Vice President  Title        (Authorized Signature and Title)


* If none, Insert "None"
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                                   EXHIBIT "A"


                     ADDENDUM TO SECURITY AND LOAN AGREEMENT
                         ("SECURITY AND LOAN AGREEMENT")
                   BETWEEN XCEL CORPORATION AND IMPERIAL BANK

DATED:  February 29, 1996


This Addendum is made and entered into February 29, 1996, between XCEL
CORPORATION ("Borrower") and Imperial Bank ("Bank"). This Addendum amends and
supplements the Security and Loan Agreement. In the event of any inconsistency
between the terms herein and the terms of the Security and Loan Agreement, the
terms herein shall in all cases govern and control. All capitalized terms
herein, unless otherwise defined herein, shall have the meaning set forth in the
Security and Loan Agreement.

1.   Any commitment of Bank, pursuant to the terms of the Security and Loan
Agreement to make advances against Eligible Accounts shall expire on January 15,
1997, subject to Bank's right to renew said commitment at its sole discretion.
Any renewal of the commitment shall not be binding upon the Bank unless it is in
writing and signed by an officer of the Bank. Bank shall endeavor to give
Borrower notice of its intention to not renew sixty (60) days prior to any
maturity date or any extended maturity date.

2.   Definitions:

     a.   Eligible Accounts. Eligible Accounts as defined in the Security and 
Loan Agreement is amended to include, in addition to Borrower's Accounts,
Accounts of Hycomp, Inc. ("Hycomp") meeting the criteria set forth therein and
herein.

     b.   Value of Inventory. Value of Inventory as defined in the Security and
Loan Agreement is amended to include, in addition to the value of Borrower's
Inventory, Inventory of Hycomp meeting the criteria set forth therein and
herein.

3.   Borrower represents and warrants that:

     a.   Litigation. Except as previously disclosed in writing to Bank, there 
is no litigation or other proceeding pending or threatened against or affecting
Borrower in excess of $25,000, and Borrower is not in default with respect to
any order, writ, injunction, decree or demand of any court or other governmental
or regulatory authority.

     b.   Financial Condition. The balance sheet of Borrower as of September 30,
1995, and the related profit and loss statement on that date, a copy of which
has heretofore been delivered to Bank by Borrower, and all other statements and
data submitted in writing by Borrower to Bank in


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EXHIBIT A
Page 2

connection with this request for credit are true and correct, and said balance
sheet and profit and loss statement truly present the financial condition of
Borrower as of the date thereof and the results of the operations of Borrower
for the period covered thereby, and have been prepared in accordance with
generally accepted accounting principles on a basis consistently maintained.
Since such date, there have been no materially adverse changes. Borrower has no
knowledge of any liabilities, contingent or otherwise, at such date not
reflected in said balance sheet, and Borrower has not entered into any special
commitments or substantial contracts which are not reflected in said balance
sheet, other than in the ordinary and normal course of its business, which may
have a materially adverse effect upon its financial condition, operations or
business as now conducted.

     c.   Trademarks, Patents. Borrower, as of the date hereof, possesses all
necessary trademarks, trade names, copyrights, patents, patent rights, and
licenses to conduct its business as now operated, without any known conflict
with valid trademarks, trade names, copyrights patents and license rights of
others.

     d.   Tax Status. Borrower has no liability for any delinquent state, local
or federal taxes, and, if Borrower has contracted with any government agency,
Borrower has no liability for renegotiation of profits.

4.   Borrower agrees that so long as it is indebted to Bank, it will not, 
without Bank's written consent:

     a.   Type of Business. Management. Make any substantial change in the
character of its business; or make any change in its executive management.

     b.   Outside Indebtedness. Create, incur, assume or permit to exist any
indebtedness for borrowed moneys other than loans from Bank except obligations
now existing as shown in financial statement dated September 30, 1995, excluding
those being refinanced by Bank and except for indebtedness specifically
subordinated to all indebtedness to Bank in an amount not to exceed $500,000; or
sell or transfer, either with or without recourse, any accounts or notes
receivable or any moneys due to become due.

     c.   Liens and Encumbrances. Create, incur, assume any mortgage, pledge,
encumbrance, lien or charge of any kind (including the charge upon property at
any time purchased or acquired under conditional sale or other title retention
agreement) upon any asset now owned or hereafter acquired by it, other than (i)
liens for taxes not delinquent and liens in Bank's favor and (ii) obligations
secured by equipment or automotive vehicles purchased in the ordinary course of
Borrower's business in an amount not to exceed $100,000.

     d.   Loans, Investments, Secondary Liabilities, Make any loans or advances
to any person or other entity other than in the normal and ordinary course of
its business as now conducted or make any investment(s), in any fiscal year, in
the aggregate, in excess of $25,000 in the

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EXHIBIT A
Page 3

securities of any person or other entity other than the United States
Government; or guarantee or otherwise become liable upon the obligation of any
person or other entity, except by endorsement of negotiable instruments for
deposit or collection in the ordinary and normal course of its business.

     e.   Acquisition or Sale of Business; Merger or Consolidation. Purchase or
otherwise acquire the assets or business of any person or other entity; or
liquidate, dissolve, merge or consolidate, or commence any proceedings therefor;
or sell any assets except in the ordinary and normal course of its business or
fixed assets, or any property or other assets necessary for the continuance of
its business as now conducted, including without limitation the selling, of any
property or other asset accompanied by leasing back of same.

     f.   Dividends, Stock Payments. Declare or pay any dividend (other than
dividends payable in common stock of Borrower, or that amount necessary for
company related income tax payments) or make any other distribution of any of
its capital stock now outstanding or hereafter issued or purchase, redeem or
retire any such stock. Nothing in this agreement shall be deemed to prohibit
Borrower from establishing any employee stock benefit plans.

     g.   Capital Expenditures. Make or incur obligations for capital 
expenditures in excess of $750,000 in any one fiscal year period.

     h.   Lease Liability. Make or incur liability for payments of rent under
leases of real property in excess of $1,000,000 and personal property in excess
of $100,000 in any one fiscal year.

5.   Should there be a default under the Security and Loan Agreement, the 
General Security Agreement or under the Note, all obligations, loans and
liabilities of Borrower to Bank, due or to become due, whether now existing or
hereafter arising, shall at the option of the Bank, become immediately due and
payable without notice or demand, and Bank shall thereupon have the right to
exercise all of its default rights and remedies, provided, however, that with
respect to an non-monetary defaults, Borrower shall have thirty (30) days from
notice from Bank of any such default to cure same and with respect to any
monetary default, Borrower shall have ten (10) days from the date of such
default to cure same.

6.   In addition to the provisions in the Security and Loan Agreement, Eligible
Accounts shall only include such accounts as Bank in its sole discretion shall
determine are eligible from time to time. "Eligible Accounts" shall also NOT
include any of the following:

     a.   Accounts with respect to which the account debtor is an officer,
director, shareholder, employee, subsidiary or affiliate of Borrower.

     b.   Accounts with respect to which 25% or more of the account debtor's 
total accounts or obligations outstanding to Borrower are more than 90 days from
invoice date are not eligible.

<PAGE>   6
EXHIBIT A
Page 4

     c.   For accounts representing more than 20% of total accounts receivable,
the balance in excess of the 20% is not eligible. However, the Bank may deem, at
its sole discretion, the entire amount, or any portion thereof, eligible and
with respect to Diebold, Inc., balances up to and including 30% shall be
eligible.

     d.   Accounts with respect to international transactions unless insured by
an insurance company acceptable to the Bank or covered by letters of credit
issued or confirmed by a bank acceptable to the Bank.

     e.   Credit balances greater than 90 days from invoice date.

     f.   All accounts sold to and purchased from a company of common
name/ownership, whereby a potential offset exists.

     g.   Accounts over 90 days from invoice date.

     h.   Consignment or guaranteed sales.

     i.   Bill and hold accounts.

     j.   Equipment rental offsets.

     k.   Collection accounts (aged up to 90 days from invoice date).

7.   Borrower may borrow against eligible inventories consisting of raw 
materials, deemed acceptable by Bank, up to $500,000 sub-limit within the line,
contingent upon borrowing base availability, and supported by monthly inventory
certification submitted by Borrower to the Bank. Inventory eligible for advances
under the Security Agreement shall NOT include the following:

     a.   Goods on consignment.

     b.   Inventory reserve amounts.

     c.   Inventory not insured, naming Bank as loss payee.

     d.   Obsolete inventory.

     e.   Inventory located in areas making it difficult to verify its 
existence, or which will cause undue expense in liquidation due to
transportation costs, or other logistical reasons.

<PAGE>   7
EXHIBIT A
Page 5

8.   All financial covenants and financial information referenced herein shall 
be interpreted and prepared in accordance with generally accepted accounting
principles applied on a basis consistent with previous years. Compliance with
financial covenants shall be calculated on a consolidated basis.

9.   Borrower affirmatively covenants that so long as any loans, obligations or
liabilities remain outstanding or unpaid to Bank, it will:
  
     a.   Maintain a minimum tangible net worth (meaning the excess of all 
assets, excluding any value for goodwill, trademarks, patents, copyrights,
organization expense and other similar intangible items, over its liabilities,
less subordinated debt) on a quarterly basis, of not less than $3,300,000.

     b.   Maintain working capital (Borrower's current assets minus current
liabilities) of not less than $900,000.

     c.   Maintain a current ratio of at least 1.05 to 1.0. Current ratio is the
ratio of current assets to current liabilities.

     d.   Maintain a maximum ratio of total debt to tangible net worth of 3.50 
to 1.0.

     e.   Maintain minimum ratio of Cash Flow (meaning the Borrower's net profit
after taxes and dividends, exclusive of non-recurring income, to which
depreciation, amortization, and other non-cash expenses are added for the 12
month period immediately preceding the date of calculation) to Debt Service
(meaning that portion of Borrower's long term liabilities and capital leases
coming due within 12 months after the date of calculation) of not less than 1.25
to 1.00.

     f.   Maintain all significant bank accounts and banking relationship with
Bank.

     g.   Not show a net loss for any two consecutive quarters nor at any fiscal
year end.

     h.   Within 15 working days from each month-end, deliver to Bank an 
accounts receivable aging reconciled to the general ledger of Borrower, a
detailed accounts payable aging reconciled to the Borrower's general ledger and
setting forth the amount of any book overdraft or the amount of checks issued
but not sent, and an inventory certification outlining both inventory
composition and activity for the month. All the foregoing will be in form
satisfactory to the Bank. Also provide the Bank on a quarterly basis or more
frequently if demanded by Bank, a complete address list of all active customers.

     i.   Within 45 days after the end of each fiscal quarter, deliver to Bank a
profit and loss statement and a balance sheet in form satisfactory to Bank all
certified by an officer of Borrower. All such financial information shall be
prepared in accordance with generally accepted accounting

<PAGE>   8
EXHIBIT A
Page 6

principles consistently applied, and shall include consolidating balance sheet
and profit and loss information.

     j.   Within 90 days after end of Borrower's fiscal year, deliver to Bank 
the same financial statements as otherwise provided quarterly together with
Changes in Financial Position Statement, with the audited opinion by an
independent certified public accountant selected by Borrower but acceptable to
Bank. Financial information shall include supplemental consolidating balance
sheet and profit and loss statements.

     k.   Rights and Facilities. Maintain and preserve all rights, franchises 
and other authority adequate for the conduct of its business; maintain its
properties, equipment and facilities in good order and repair; conduct its
business or partnership, maintain and preserve its existence.

     l.   Insurance. Maintain public liability, property damage and workers'
compensation insurance and insurance on all its insurable property against fire
and other hazards with responsible insurance carriers to the extent usually
maintained by similar businesses. Borrower shall provide evidence of property
insurance in amounts and types acceptable to the Bank. Bank to be named as loss
payee.

     m.   Taxes and Other Liabilities. Pay and discharge, before the same become
delinquent and before penalties accrue thereon, all taxes, assessments and
governmental changes upon or against it or any of its properties, and any of its
liabilities at any time existing, except to the extent and so long as:

          (a)  The same are being contested in good faith and by appropriate
               proceedings in such manner as not to cause any materially adverse
               effect upon its financial condition or the loss of any right of
               redemption from any sale thereunder; and

          (b)  It shall have set aside on its books reserves segregated to the
               extent required by generally accepted accounting practice) deemed
               adequate with respect thereto.

     n.   Records and Reports. Maintain a standard and modern system of 
accounting in accordance with generally accepted accounting principles on a
basis consistently maintained; permit Bank's representatives to have access to,
and to examine its properties, books and records at all reasonable times.

10.  The rate of interest applicable to the Loan Account shall be 1.00% per year
in excess of the rate of interest which Bank has announced as its prime lending
rate ("Prime Rate") which shall vary concurrently with any change in such Prime
Rate. Interest shall be computed at the above rate on the basis of the actual
number of days during which the principal balance of the loan account is
outstanding divided by 360, which shall, for interest computation purposes, be
considered one year.
<PAGE>   9

EXHIBIT A
Page 7

The default rate of interest shall be five percent per year in excess of the
rate otherwise applicable.

11.  Pricing for issuance of Commercial and/or Stand-By Letters of Credit will 
be Bank's standard rates and charges as announced from time to time.

12.  Miscellaneous Provisions. Failure or Indulgence Not Waiver. No failure or
delay on the part of your Bank or any holder or Notes Issued hereunder, in the
exercise of any power, right or privilege hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise thereof or of any other right,
power or privilege. All rights and remedies existing under this agreement or any
not issued in connection with a loan that your Bank may make hereunder, are
cumulative to, not exclusive of, any rights or remedies otherwise available.

13.  Cross Default. Any default under any obligation of XCEL Arnold Circuits,
Inc., to Bank shall be a default hereunder and Bank shall have all the rights
set forth in the Security and Loan Agreement for defaults thereunder.

14.  This Addendum is executed by and on behalf of the parties as of the date
first above written.



XCEL CORPORATION
"BORROWER"





BY:   /S/ CARMINE T. OLIVA
   --------------------------
   CARMINE T. OLIVA, CHAIRMAN OF THE BOARD,
   PRESIDENT AND CEO



IMPERIAL BANK
"BANK"



BY:/S/ NUNILO SOLER
   -----------------------
       Nunilo Soler


TITLE:   VICE PRESIDENT