EXHIBIT
10.4
 FIRST AMENDMENT TO CREDIT AGREEMENT
 THIS FIRST AMENDMENT TO CREDIT AGREEMENT Amendment AMERICAN PACIFIC CORPORATION Borrower Guarantors WACHOVIA BANK, NATIONAL ASSOCIATION Administrative Agent
 W I T N E S S E T H
 WHEREAS Lenders Credit Agreement
 WHEREAS
 WHEREAS
 NOW, THEREFORE
 ARTICLE I
AMENDMENTS TO CREDIT AGREEMENT
 1.1 Amendment to Section 1.1
 (r) Liens securing Indebtedness permitted under Section 6. 1(n) ; and
 (s) additional Liens so long as the principal amount of Indebtedness and other obligations
secured thereby does not exceed $5,000,000 in the aggregate.
 1.2 Amendments to Section 6.1 .




---



##### 



(m) Indebtedness of any Subsidiary that is not a Credit Party owing to any other
Subsidiary that is not a Credit Party;
 (n) Indebtedness (whether unsecured or secured by Liens on the assets of Foreign
Subsidiaries) of Foreign Subsidiaries in an aggregate outstanding principal amount not to
exceed $1,000,000 at any one time outstanding; and
 (o) other secured or unsecured Indebtedness of Credit Parties not otherwise permitted
in subsections (a) through (n) above which does not exceed $20,000,000 in the aggregate at
any time outstanding.
 ARTICLE II
CONDITIONS TO EFFECTIVENESS
 2.1 Closing Conditions . Amendment Effective Date
 Executed Amendment
 Default
 Fees and Expenses
 Miscellaneous
 ARTICLE III
MISCELLANEOUS
 3.1 Amended Terms .
 2




---



##### 



3.2 Representations and Warranties of Credit Parties .
        3.3 Reaffirmation of Credit Party Obligations .
 3.4 Credit Document .
 3.5 Expenses .
 3




---



##### 



3.6 Further Assurances .
 3.7 Entirety .
 3.8 Counterparts; Telecopy .
 3.9 No Actions, Claims, Etc .
 3.10 GOVERNING LAW . THIS AMENDMENT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK (INCLUDING SECTIONS 5-1401 AND 5-1402
OF THE NEW YORK GENERAL OBLIGATIONS LAW).
 3.11 Successors and Assigns .
 3.12 General Release . Bank Group
 4




---



##### 



3.13 Consent to Jurisdiction; Service of Process; Waiver of Jury Trial . mutatis mutandis
  5




---



##### 



BORROWER:
    
    AMERICAN PACIFIC CORPORATION, 
a Delaware corporationBy:
Name:
    
    /s/ Dana Kelley

Dana KelleyTitle:
    
    Vice President, Chief Financial Officer
and TreasurerGUARANTORS:
    
    AMERICAN PACIFIC CORPORATION,
a Nevada corporationBy:
Name:
    
    /s/ Dana Kelley

Dana KelleyTitle:
    
    Chief Financial Officer and TreasurerAMPAC FINE CHEMICALS LLC,
a California limited liability companyBy:
Name:
    
    /s/ Linda Ferguson

Linda FergusonTitle:
    
    SecretaryENERGETIC ADDITIVES INC., LLC, 
a Nevada limited liability companyBy:
Name:
    
    /s/ Dana Kelley

Dana KelleyTitle:
    
    ManagerAMPAC-ISP CORP.,
a Delaware corporationBy:
Name:
    
    /s/ Dana Kelley

Dana KelleyTitle:
    
    Chief Financial Officer and Treasurer




---



##### 



AMERICAN AZIDE CORPORATION,
a Nevada corporationBy:
Name:
    
    /s/ Dana Kelley

Dana KelleyTitle:
    
    TreasurerAMPAC FARMS, INC.,
a Nevada corporationBy:
Name:
    
    /s/ Dana Kelley

Dana KelleyTitle:
    
    Treasurer




---



##### 



ADMINISTRATIVE AGENT AND LENDERS:
    
    WACHOVIA BANK, NATIONAL ASSOCIATION,
as a Lender and as Administrative AgentBy:
Name:
    
    /s/ Scott Santa Cruz

Dana KelleyTitle:
    
    Director




---



##### 



BANK OF AMERICA, N.A.,
as a LenderBy:
Name:
    
    /s/ John C. Plecque

John C. PlecqueTitle:
    
    Senior Vice President