Document:

Exhibit 10.110

 

 

NINTH AMENDMENT TO LOAN AGREEMENT,

AMENDMENT TO AMENDED AND RESTATED PROMISSORY

NOTES

 

 

NINTH AMENDMENT TO LOAN

AGREEMENT AND AMENDMENT TO AMENDED AND RESTATED PROMISSORY NOTES (this “Amendment”),

dated as of March 28, 2003, by and among [i] THERMOVIEW INDUSTRIES, INC., a

Delaware corporation (“ThermoView”), [ii] AMERICAN HOME DEVELOPERS CO.,

INC., a California corporation (“American Home”), [iii] FIVE STAR

BUILDERS, INC., a California corporation (“Five Star”), [iv] KEY HOME

CREDIT, INC., a Delaware corporation (“Key Home”), [v] KEY HOME

MORTGAGE, INC., a Delaware corporation (“Key Home Mortgage”), [vi]

LEINGANG SIDING AND WINDOW, INC., a North Dakota business corporation (“Leingang

Siding”),  [vii] PRECISION WINDOW

MFG., INC., a Missouri corporation (“Precision”), [viii]  PRIMAX WINDOW CO., a Kentucky corporation (“Primax”),

[ix] ROLOX, INC., a Kansas corporation (“Rolox”), [x] TD WINDOWS,

INC., a Kentucky corporation (“TD Windows”), [xi] THERMAL LINE WINDOWS,

INC., a North Dakota corporation (“Thermal Line”), [xii] THERMOVIEW

OF MISSOURI, INC., a Missouri corporation (“ThermoView-Missouri”),

[xiii] THERMO-TILT WINDOW COMPANY, a Delaware corporation (“Thermo-Tilt”),

[xiv]THERMO-SHIELD OF AMERICA (ARIZONA), INC., an Arizona corporation (“Thermo-Shield

Arizona”), [xv] THERMO-SHIELD OF AMERICA (MICHIGAN), INC., a Michigan

corporation (“Thermo-Shield Michigan”), [xvi] THERMO-SHIELD COMPANY,

LLC, an Illinois limited liability company (“Thermo-Shield Company”),

[xvii] THERMO-SHIELD OF AMERICA (WISCONSIN), LLC, a Wisconsin limited liability

company (“Thermo-Shield Wisconsin”), [xviii] THERMOVIEW ADVERTISING

GROUP, INC., a Delaware corporation (“ThermoView Advertising”) and

[xix] THOMAS CONSTRUCTION, INC., a Missouri corporation (“Thomas

Construction”), (ThermoView, American Home, Five Star, Key Home, Key Home

Mortgage, Leingang Siding, Precision, Primax, Rolox, TD Windows, Thermal Line,

ThermoView-Missouri, Thermo-Tilt, Thermo-Shield Arizona, Thermo-Shield

Michigan, Thermo-Shield Company, Thermo-Shield Wisconsin, ThermoView

Advertising and Thomas Construction individually are referred to in this

Agreement as a “Borrower” and collectively, as the “Borrowers”)

having an address in care of ThermoView Industries, Inc., 5611 Fern Valley

Road, Louisville, Kentucky 40228 and [xx] GE CAPITAL EQUITY INVESTMENTS,

INC., a Delaware corporation (“GE Capital” or the “Series A Lender”

or the “Series C Lender”) and [xi] GE Capital as collateral agent, as

applicable (in such capacity, the “Collateral Agent”) and [xii] Rodney

H. Thomas, Charles L. Smith, Robert L. Cox, Robert L. Cox, II, Stephen A.

Hoffmann, Mitch M. Wexler, Stephen Townzen, Emerging Business Solutions, LLC,

Ronald L. Carmicle, Raymond C. Dauenhauer, J. Sherman Henderson, III, Bruce C.

Merrick, George T. Underhill, II and Daniel F. Dooley (each, a “Series B

Lender” and collectively, the “Series B Lenders”, and together with

the Series A Lender and the Series C Lender, the “Lenders”).

 

W I T N E S S E T H:

 

A.            Pursuant

to that certain Assignment and Acceptance Agreement, dated as of March 22,

2001, the Lenders purchased loans made to the Borrowers pursuant to that

certain Loan Agreement dated as of August 31, 1998, as amended pursuant to (a)

that certain Joinder to Loan Documents and Amendment to Loan Documents (Thomas

Construction, Inc.) dated as of January 1, 1999, by and among certain of the

Borrowers and PNC Bank (“PNC”), (b) that certain Joinder to Loan

Documents and Amendment to Loan Documents (Precision Window Mfg., Inc.) dated

as of January 5, 1999, by and among certain of the

 

1

 

Borrowers and PNC, (c) that certain Joinder to Loan Documents and

Amendment to Loan Documents (Thermo-Shield) dated as of July 8, 1999, by and

among certain of the Borrowers and PNC, (d) that certain Amendment to Loan

Agreement dated as of July 30, 1999, by and among certain of the Borrowers and

PNC, (e) that certain Second Amendment to Loan Agreement dated as of October

14, 1999, by and among certain of the Borrowers and PNC, (f) that certain Third

Amendment to Loan Agreement dated as of November, 1999, by and among certain of

the Borrowers and PNC, (g) that certain Fourth Amendment to Loan Agreement and

Amendment to Note and Term Note dated as of November 10, 1999, by and among certain

of the Borrowers and PNC, (h) that certain Fifth Amendment to Loan Agreement

and Amendment to Note dated as of April 14, 2000, by and among the Borrowers

and the PNC, (i) that certain Sixth Amendment to Loan Agreement dated as of

August 15, 2000, by and among the Borrowers and PNC, (j) that certain Seventh

Amendment to Loan Agreement dated as of March 22, 2001, among the Borrowers and

PNC and (k) that certain Eighth Amendment and Amendment and Restatement of Note

dated as of March 22, 2001 (collectively, the “Loan Agreement”;

capitalized terms used herein and not defined shall have the meanings assigned

to such terms in the Loan Agreement).

 

B.            In

connection with the Loan Agreement, the Borrowers executed and delivered to (i)

the Series A Lender, the Amended and Restated Series A Promissory Note, (ii)

each Series B Lender, an Amended and Restated Series B Promissory Note and

(iii) the Series C Lender, the Amended and Restated Series C Promissory Note,

each dated March 22, 2001 (as amended, modified or supplemented from time to

time the “Notes” and together with the Loan Agreement, the “Loan

Documents”).

 

E.             The

Borrowers are in default under the Loan Documents as of the date hereof, and

the Borrowers have requested a waiver of such default and Event of Default (as

such term is defined in the Loan Documents) existing as of the date hereof, as

well as amendments to the Loan Documents as more particularly described in this

Amendment.

 

F.             The

Lenders are willing to waive such default and Event of Default existing under

the Loan Documents as of the date hereof, and to amend the Loan Documents as

more particularly described in this Amendment upon the condition, among others,

that the Borrowers execute and deliver this Amendment in favor of the Lenders.

 

NOW, THEREFORE, in

consideration of the premises and mutual covenants contained herein, the

parties hereto agree as follows:

 

SECTION

1.           AMENDMENT TO THE LOAN

AGREEMENT.  Effective as of the

Effective Date (as defined herein), the Loan Agreement is amended as follows:

 

1.1           By

amending and restating Section 4.I [1] of the Loan Agreement as follows:

 

“[I]          [1]           Free Cash Flow to Cash Interest

Payments.  (i) Thermoview will

maintain a ratio of Free Cash Flow to Cash Interest Payments equal to or

greater than as set forth below.  Such

ratio shall be determined on a rolling 4 quarter basis measured to begin with

the fiscal quarter ending on December 31, 2001 and as of each fiscal quarter

thereafter through and including the fiscal quarter ending on March 31, 2004:

 

2

 

	

  June 30, 2001

  	

   

  	

  1.75 to 1.00

  
	

  September 30, 2001

  	

   

  	

  1.75 to 1.00

  
	

  December 31, 2001

  	

   

  	

  1.75 to 1.00

  
	

  March 31, 2002

  	

   

  	

  1.10 to 1.00

  
	

  June 30, 2002

  	

   

  	

  1.75 to 1.00

  
	

  September 30, 2002

  	

   

  	

  1.75 to 1.00

  
	

  December 31, 2002

  	

   

  	

  1.75 to 1.00

  
	

  March 31, 2003

  	

   

  	

  1.40 to 1.00

  
	

  June 30, 2003

  	

   

  	

  1.40 to 1.00

  
	

  September 30, 2003

  	

   

  	

  1.40 to 1.00

  
	

  December 31, 2003 

  and thereafter”

  	

   

  	

  1.75

  to 1.00

  

 

1.2           By

amending and restating the chart included in Section 4.I.[2] of the Loan

Agreement as follows:

 

“[2] 

Funded Debt to EBITDA Ratio. 

The ratio, calculated as of the end of each fiscal quarter of Thermoview

beginning December 31, 2001 (each a “Calculation Date”), of the

consolidated (and combined, if applicable) Funded Debt of Thermoview as of each

Calculation Date divided by the consolidated (and combined, if applicable)

EBITDA for Thermoview for the four (4) fiscal quarters of Thermoview ending on

the applicable Calculation Date shall not be greater than as set forth opposite

each Calculation Date below:

 

	

  December 31, 2001

  	

   

  	

  5.25 to 1.00

  
	

  March 31, 2002 

  	

   

  	

  5.25 to 1.00

  
	

  June 30, 2002

  	

   

  	

  4.15 to 1.00

  
	

  September 30, 2002

  	

   

  	

  3.40 to 1.00

  
	

  December 31, 2002

  	

   

  	

  3.55 to 1.00

  
	

  March 31, 2003

  	

   

  	

  5.00 to 1.00

  
	

  June 30, 2003

  	

   

  	

  5.00 to 1.00

  
	

  September 30, 2003

  	

   

  	

  4.10 to 1.00

  
	

  December 31, 2003 

  and thereafter

  	

   

  	

  3.70 to 1.00

  

 

1.3           By

amending and restating Section 5.G. of the Loan Agreement as follows:

 

“G. Declare or

pay any dividends on or make any distribution with respect to any class of its

equity or ownership interest, or purchase, redeem, retire or otherwise acquire

any of its equity, other than regularly scheduled (i) “PIK”

dividends accrued for the period from October 1, 2001 to December 31, 2002 on

its outstanding Series D Preferred Stock, $.001 par value, of Company (“Series

D Preferred Stock”) and Series E Preferred Stock, $.001 par value, of

Company (“Series E Preferred Stock”), which payments shall be in the

form of Series D Preferred Stock and Series E Preferred Stock, respectively and

(ii) “PIK” or cash dividends accruing after January 1, 2003 on the Series D

Preferred Stock and Series E Preferred Stock; provided, however,

that no payments of dividends shall be permitted pursuant to clause (ii) above

if, (x) at the time of such payment, Borrowers shall not be in compliance with

the provisions of Section 4.I. of this Agreement as such section is amended and

restated in the Eighth Amendment to Loan

 

3

 

Agreement and

Amendment and Restatement of Note, dated as of March 22, 2001, among Borrowers

and Lenders (without giving effect for purposes of this clause (x) to the terms

of any subsequent amendment to Section 4.I. of this Agreement, including,

without limitation, Sections 1.1 and 1.2 of the Ninth Amendment to Loan

Agreement and Amendment to Amended and Restated Promissory Notes, dated as of

March 28, 2003, among Borrowers and Lenders) or (y) at the time of such payment

a Default or Event of Default shall have occurred and be continuing or such

payment would result in the occurrence of a Default or Event of Default.”

 

1.4           By

amending and restating Section 5.H. of the Loan Agreement as follows:

 

“H.          Hoffmann and Bowlds Note.  So long as any Loans shall remain

outstanding, no Borrower shall voluntarily prepay any amounts pursuant to

either the Hoffmann Note or the Bowlds Note (each as defined below) or be

permitted to make any amendments to the Hoffmann Note or the Bowlds Note.”

 

1.5           By

amending and restating Section 6.F. as follows:

 

“F.           So

long as any Loan shall remain outstanding, any Borrower shall make any

principal payment or voluntarily prepay any amount in connection with that

certain Promissory Note dated as of March 22, 2001 by the Borrowers in favor of

Hoffmann (the “Hoffmann Note”) or that certain Promissory Note dated as

of March 22, 2001 by the Borrowers in favor of Richard E. Bowlds (the “Bowlds

Note”).”

 

SECTION

2.           AMENDMENTS TO NOTES.

 

2.1           By amending and restating clause

(vii) of the first paragraph of Section 6 of each Note as follows:  “(vii) the entry of a final judgment against

any Obligor in excess of $100,000, which judgment has not been stayed,

discharged or appealed within five (5) Business Days of the date of entry

thereof,”.

 

2.2           By amending and restating clause (b)

of the second paragraph of Section 6 of each Note as follows:  “(b) if an Event of Default specified in

clauses (i), (vii) or (ix) above, or Section 6.E. or 6.F. of the Loan

Agreement, or an Event of Default resulting from a breach of Section 5.G. of

the Loan Agreement, shall occur, the

outstanding principal balance and accrued interest hereunder together with any

additional amounts payable hereunder, at the option of the Requisite A Lenders

or, if the Series A Note shall no longer be outstanding, the Requisite Lenders,

and without demand or notice of any kind, may be accelerated and become

immediately due and payable;”.

 

SECTION

3.           CONDITIONS PRECEDENT TO

THE EFFECTIVENESS OF THIS AMENDMENT. 

This Amendment shall be effective as of December 31, 2002 (such date is

referred to herein as the “Effective Date”) upon (i) full execution and

delivery of this Amendment by the parties hereto, (ii) full execution and

delivery of Amendment No. 5 and Waiver to the Securities Purchase Agreement,

dated as of the date hereof, between Thermoview and GE Capital, in form and

substance satisfactory to GE Capital and (iii) full execution and delivery of a

certificate of a senior executive officer of Thermoview, dated the date hereof,

to the effect that, as of the date hereof, no litigation not listed

 

4

 

on Annex A

hereto has been commenced against Thermoview or any of its Subsidiaries.

 

SECTION

4.           EXPENSES.  Within       days

of the date hereof, Thermoview shall pay to GE Capital, and shall reimburse GE

Capital for, all reasonable expenses of GE Capital in connection with the

preparation of this Amendment and each of the other documents prepared in

connection herewith (including the reasonable fees and expenses of counsel) and

all other reasonable out-of-pocket costs and expenses of every type and nature

(including, without limitation, the reasonable fees, expenses and disbursements

of GE Capital’s counsel, Weil, Gotshal & Manges LLP) related thereto.

 

SECTION

5.           EFFECT ON LOAN DOCUMENTS.

 

(a)           On

and after the Effective Date, each reference in the Loan Documents to “this

Agreement”, “herein”, “hereof”, “hereunder” or words

of similar import, shall mean and be a reference to such Loan Document as

amended hereby.

 

(b)           Except

as specifically amended above in connection herewith, each Loan Document shall

remain in full force and effect and is hereby ratified and confirmed.

 

(c)           The

execution, delivery and effectiveness of this Amendment shall not, except as

expressly provided herein, operate as a waiver of any right, power or remedy of

the Lenders under any of the Loan Documents or constitute a waiver of any

provision of any of the Loan Documents.

 

SECTION

6.           GOVERNING LAW.  THIS AMENDMENT AND THE OBLIGATIONS ARISING

HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH,

THE LAWS OF THE STATE OF NEW YORK, EXCLUDING ITS CONFLICT OF LAWS RULES.

 

SECTION

7.             SECTION TITLES.  Section titles contained in this Amendment

are and shall be without substantive meaning or content of any kind whatsoever

and are not a part of the agreement between the parties hereto.

 

SECTION

8.           COUNTERPARTS.  This Amendment may be executed in any number

of separate counterparts, each of which shall collectively and separately

constitute one agreement.

 

5

 

IN WITNESS WHEREOF, this

Amendment has been duly executed as of the date first written above.

 

 

	

   

  	

  GE CAPITAL EQUITY INVESTMENTS, INC.,

  
	

   

  	

  as

  Series A Lender, Series C Lender and as Collateral Agent

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

  Name, 

  Title

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  SERIES B LENDERS:

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  RODNEY

  H. THOMAS

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  CHARLES

  L. SMITH

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  ROBERT

  L. COX

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  ROBERT

  L. COX, II

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  STEPHEN

  A. HOFFMANN

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  MITCH M.

  WEXLER

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
						

 

6

 

	

   

  	

  STEPHEN

  TOWNZEN

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  EMERGING

  BUSINESS SOLUTIONS, LLC

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

  Name:

  
	

   

  	

  Title:

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  RONALD

  L. CARMICLE

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  RAYMOND

  C. DAUENHAUER

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  J.

  SHERMAN HENDERSON, III

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  BRUCE C.

  MERRICK

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  GEORGE

  T. UNDERHILL, II

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  DANIEL

  F. DOOLEY

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
					

 

7

 

	

   

  	

  THERMOVIEW INDUSTRIES, INC.

  
	

   

  	

  AMERICAN HOME DEVELOPERS CO., INC.

  
	

   

  	

  FIVE STAR BUILDERS, INC.

  
	

   

  	

  KEY HOME CREDIT, INC.

  
	

   

  	

  KEY HOME MORTGAGE, INC.

  
	

   

  	

  LEINGANG SIDING AND WINDOW, INC.

  
	

   

  	

  PRIMAX WINDOW CO.

  
	

   

  	

  PRECISION WINDOW MFG., INC.

  
	

   

  	

  ROLOX, INC.

  
	

   

  	

  TD WINDOWS, INC.

  
	

   

  	

  THERMAL LINE WINDOWS, INC.

  
	

   

  	

  THERMOVIEW OF MISSOURI, INC.

  
	

   

  	

  THERMO-TILT WINDOW COMPANY

  
	

   

  	

  THOMAS CONSTRUCTION, INC.

  
	

   

  	

  THERMO-SHIELD OF AMERICA (ARIZONA), INC.

  
	

   

  	

  THERMO-SHIELD OF AMERICA (MICHIGAN), INC.

  
	

   

  	

  THERMO-SHIELD COMPANY, LLC

  
	

   

  	

  THERMO-SHIELD OF AMERICA(WISCONSIN), LLC

  
	

   

  	

  THERMOVIEW ADVERTISING GROUP, INC.

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  

 

8Exhibit 10.111

 

 

AMENDMENT NO. 5

 

AMENDMENT NO. 5 (this “Amendment”), dated as of March 28, 2003,

between ThermoView Industries, Inc. (“Company”) and GE Capital Equity

Investments, Inc. (“GE Capital”).

 

W

I T N E S S E T H:

 

WHEREAS, Company and GE Capital are parties to that certain Securities

Purchase Agreement, dated as of July 8, 1999 (as from time to time amended,

restated, supplemented or otherwise modified, the “Purchase Agreement”,

and unless the context otherwise requires or unless otherwise defined herein,

capitalized terms used herein shall have the meanings assigned to them in the

Purchase Agreement); and

 

WHEREAS, Company is in default under the

Purchase Agreement as of the date hereof, and Company requested a waiver of

such default and Event of Default (as such term is defined in the Purchase

Agreement) existing as of the date hereof, as well as amendments to the

Purchase Agreement as more particularly described in this Amendment; and

 

WHEREAS, GE Capital is willing to waive such default and Event

of Default existing under the Purchase Agreement as of the date hereof, and to

amend the Purchase Agreement as more particularly described in this Amendment

upon the condition, among others, that Company execute and deliver this

Amendment in favor of GE Capital;

 

NOW, THEREFORE, in consideration of the premises and mutual covenants

contained herein, and on the terms and subject to the conditions as hereinafter

set forth, the parties hereto agree as follows:

 

SECTION 1.           AMENDMENTS

TO THE PURCHASE AGREEMENT. 

Effective as of the Effective Date (as defined herein), the Purchase

Agreement is amended as follows:

 

1.1           By amending

and restating Section 5.1(h)(i) of the Purchase Agreement as follows:

 

“(i)  Free Cash

Flow to Cash Interest Payments.  (i)

Company will maintain a ratio of Free Cash Flow to Cash Interest Payments equal

to or greater than as set forth below. 

Such ratio shall be determined on a rolling 4 quarter basis and measured

to begin with the fiscal quarter ending on December 31, 2001 and as of each

fiscal quarter thereafter through and including the fiscal quarter ending on

June 30, 2004:

 

	

  June 30, 2001

  	

   

  	

  1.75 to 1.00

  
	

  September 30, 2001

  	

   

  	

  1.75 to 1.00

  
	

  December 31, 2001

  	

   

  	

  1.75 to 1.00

  
	

  March 31, 2002

  	

   

  	

  1.10 to 1.00

  
	

  June 30, 2002

  	

   

  	

  1.75 to 1.00

  
	

  September 30, 2002

  	

   

  	

  1.75 to 1.00

  
	

  December 31, 2002

  	

   

  	

  1.75 to 1.00

  
	

  March 31, 2003

  	

   

  	

  1.40 to 1.00

  
	

  June 30, 2003

  	

   

  	

  1.40 to 1.00

  
	

  September 30, 2003

  	

   

  	

  1.40 to 1.00

  
	

  December 31, 2003 

  and thereafter”

  	

   

  	

  1.75 to 1.00

  

 

77

 

1.2           By

amending and restating the chart included in Section 5.1(h)(ii) of the Purchase

Agreement as follows:

 

“(ii)  Funded Debt to EBITDA

Ratio.  The ratio, calculated as of

the end of each fiscal quarter of Company beginning December 31, 2001 (each a “Calculation

Date”), of the consolidated (and combined, if applicable) Funded Debt of

Company as of each Calculation Date divided by the consolidated (and combined,

if applicable) EBITDA for Company for the four (4) fiscal quarters of Company

ending on the applicable Calculation Date shall not be greater than as set

forth opposite each Calculation Date below:

 

	

  December 31, 2001

  	

  5.25 to 1.00

  
	

  March 31, 2002

  	

  5.25 to 1.00

  
	

  June 30, 2002

  	

  4.15 to 1.00

  
	

  September 30, 2002

  	

  3.40 to 1.00

  
	

  December 31, 2002

  	

  3.55 to 1.00

  
	

  March 31, 2003

  	

  5.00 to 1.00

  
	

  June 30, 2003

  	

  5.00 to 1.00

  
	

  September 30, 2003

  	

  4.10 to 1.00

  
	

  December 31, 2003

  	

  3.70 to 1.00

  
	

  March 31, 2004 and

  thereafter”

  	

  3.15 to 1.00

  

 

1.3           By

amending and restating Section 5.2(g) as follows:

 

“(g)         Restricted

Payments.  Company shall not and shall not permit any

Subsidiary of Company to make any Restricted Payments nor shall Company permit

any Subsidiary to make such payments with respect to Company’s Stock, other

than regularly scheduled (i) “PIK” dividends accrued for the period from

October 1, 2001 to December 31, 2002 on its outstanding Series D Preferred

Stock, $.001 par value, of Company (“Series D Preferred Stock”), and

Series E Preferred Stock, $.001 par value, of Company (“Series E Preferred

Stock”), which payments shall be in the form of Series D Preferred Stock

and Series E Preferred Stock, respectively and (ii) “PIK” or cash dividends

accruing after January 1, 2003 on the Series D Preferred Stock and Series E

Preferred Stock; provided, however, that no payments of dividends

shall be permitted pursuant to clause (ii) above if, (x) at the time of such

payment, Company shall not be in compliance with the provisions of Section

5.1(h) of this Agreement as such section is amended and restated in Amendment

No. 4 and Waiver, dated as of March 22, 2001, between Purchaser and Company

(without giving effect for purposes of this clause (x) to the terms of any

subsequent amendment to Section 5.1(h) of 

this Agreement, including, without limitation, Sections 1.1 and 1.2 of

Amendment No. 5, dated as of March 28, 2003, between Purchaser and Company) or

(y) at the time of such payment a Default or Event of Default shall have

occurred and be continuing or such payment would

 

78

 

result

in the occurrence of a Default or Event of Default.”

 

1.4           By

amending and restating Section 5.2(k) as follows:

 

“(k)         Voluntary

Prepayments on Subordinated Debt. 

So long as the Note or any portion thereof shall remain outstanding,

Company shall not and shall not permit any Subsidiary of Company to voluntarily

prepay any amount in respect of that certain Promissory Note dated as of March

22, 2001 by Company and its Subsidiaries in favor of Stephen A. Hoffmann (the “Hoffmann

Note”) or that certain Promissory Note dated as of March 22, 2001 by

Company and its Subsidiaries in favor of Richard E. Bowlds (the “Bowlds Note”)

or make any amendments to the Hoffmann Note or the Bowlds Note.”

 

1.5           By

amending and restating Section 7.1(k) as follows:

 

“(k)         So

long as any Loan shall remain outstanding, Company or any of its Subsidiaries

shall make any principal payment or voluntarily prepay any amount in connection

with the Hoffmann Note or the Bowlds Note.”

 

SECTION 2.           WAIVER

OF CERTAIN PROVISIONS. 

Effective as of the Effective Date, GE Capital hereby grants a waiver of

Company’s and its Subsidiaries’ non-compliance with the financial

covenant contained in Section 5.1(h)(ii) of the Purchase Agreement for the

quarter ending on December 31, 2002 and of the Event of Default that would

otherwise result from a violation of that sections as of the date hereof.

 

SECTION 3.           CONDITIONS

PRECEDENT TO THE EFFECTIVENESS OF THIS AMENDMENT.  Except as otherwise expressly provided herein, this Amendment

shall be effective as of December 31, 2002 (such date is referred to herein as

the “Effective Date”) so long as each of the following conditions shall

have been satisfied or provided for in a manner satisfactory to GE Capital or

waived by GE Capital on or prior to the Effective Date:

 

(a)           This

Amendment shall have been fully executed and delivered by each of the parties

hereto.

 

(b)           Each

of the Subsidiaries of Company party to the Guaranty and each of the lenders

party to the Ninth Amendment to Loan Agreement, Amendment to Amended and

Restated Promissory Notes and Waiver dated as of the date hereof (the “Ninth

Amendment”) shall have executed and delivered the applicable consent

included in the signature pages hereto.

 

(c)           The

Ninth Amendment shall have been executed and delivered by each of the parties

thereto in form and substance satisfactory to GE Capital.

 

(d)           Company

shall have obtained, and delivered to GE Capital a copy of, each consent

required in connection with this Amendment and the Ninth Amendment.

 

(e)           Company

shall have delivered to GE Capital a certificate of the President of Company

dated the date hereof, to the effect that, as of the date hereof, no litigation

not listed on Annex A hereto shall have been commenced against Company

or any of its Subsidiaries.

 

79

 

SECTION 4.           EFFECT

ON PURCHASE AGREEMENT.

 

(a)           On

and after the Effective Date, each reference in the Purchase Agreement to “this

Agreement”, “herein”, “hereof”, “hereunder” or words of similar import, shall

mean and be a reference to the Purchase Agreement as amended hereby.

 

(b)           Except

as specifically amended above in connection herewith, the Purchase Agreement

shall remain in full force and effect and is hereby ratified and confirmed.

 

(c)           The

execution, delivery and effectiveness of this Amendment shall not, except as

expressly provided herein, operate as a waiver of any right, power or remedy of

GE Capital under any of the Loan Documents or constitute a waiver of any

provision of any of the Loan Documents.

 

SECTION 5.           GOVERNING

LAW.  THIS AMENDMENT AND THE

OBLIGATIONS ARISING HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED AND ENFORCED

IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK, EXCLUDING ITS CONFLICT

OF LAWS RULES.

 

SECTION 6.           SECTION

TITLES.  Section titles contained in

this Amendment are and shall be without substantive meaning or content of any

kind whatsoever and are not a part of the agreement between the parties hereto.

 

SECTION 7.           COUNTERPARTS.  This Amendment may be executed in any number

of separate counterparts, each of which shall collectively and separately

constitute one agreement.

 

80

 

IN WITNESS WHEREOF, this Amendment has been duly executed as of the

date first written above.

 

 

	

   

  	

  THERMOVIEW

  INDUSTRIES, INC.

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

  Charles L.

  Smith,  President

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  GE CAPITAL

  EQUITY INVESTMENTS, INC.

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

  Duly Authorized

  signatory

  
					

 

81

 

CONSENT

OF THE GUARANTORS

 

The Subsidiaries of

Company hereby (i) acknowledge receipt of a copy of this Amendment and (ii)

agree that the terms and provisions thereof shall not affect in any way the

obligations and liabilities of such Subsidiaries under the Guaranty or any of

the other Loan Documents, all of which obligations and liabilities shall remain

in full force and effect and each of which are hereby reaffirmed.

 

	

   

  	

  THERMOVIEW

  INDUSTRIES, INC.

  
	

   

  	

  AMERICAN HOME

  DEVELOPERS CO., INC.

  
	

   

  	

  FIVE STAR

  BUILDERS, INC.

  
	

   

  	

  KEY HOME

  CREDIT, INC.

  
	

   

  	

  KEY HOME

  MORTGAGE, INC.

  
	

   

  	

  LEINGANG SIDING

  AND WINDOW, INC.

  
	

   

  	

  PRIMAX WINDOW

  CO.

  
	

   

  	

  PRECISION

  WINDOW MFG., INC.

  
	

   

  	

  ROLOX, INC.

  
	

   

  	

  TD WINDOWS,

  INC.

  
	

   

  	

  THERMAL LINE

  WINDOWS, INC.

  
	

   

  	

  THERMOVIEW OF

  MISSOURI, INC.

  
	

   

  	

  THERMO-TILT

  WINDOW COMPANY

  
	

   

  	

  THOMAS

  CONSTRUCTION, INC.

  
	

   

  	

  THERMO-SHIELD

  OF AMERICA (ARIZONA), INC.

  
	

   

  	

  THERMO-SHIELD

  OF AMERICA (MICHIGAN), INC.

  
	

   

  	

  THERMO-SHIELD

  COMPANY, LLC

  
	

   

  	

  THERMO-SHIELD

  OF AMERICA (WISCONSIN), LLC

  
	

   

  	

  THERMOVIEW

  ADVERTISING GROUP, INC.

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

  Charles L.

  Smith, President

  

 

82

 

	

   

  	

  CONSENT OF

  LENDERS

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  GE CAPITAL

  EQUITY INVESTMENTS INC.

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

    Name,

  Title

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  RODNEY H.

  THOMAS

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  CHARLES L.

  SMITH

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  ROBERT L. COX

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  ROBERT L. COX,

  II

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  STEPHEN A.

  HOFFMANN

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  MITCH M. WEXLER

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  STEPHEN TOWNZEN

  
	

   

  	

   

  
	

   

  	

   

  	

   

  

 

83

 

	

   

  	

  EMERGING

  BUSINESS SOLUTIONS, LLC

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  By:

  	

   

  	

   

  
	

   

  	

  Name:

  
	

   

  	

  Title:

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  RONALD L.

  CARMICLE

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  RAYMOND C. DAUENHAUER

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  J. SHERMAN

  HENDERSON, III

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  BRUCE C.

  MERRICK

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  GEORGE T.

  UNDERHILL, II

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  
	

   

  	

   

  
	

   

  	

  DANIEL F.

  DOOLEY

  
	

   

  	

   

  
	

   

  	

   

  	

   

  

 

84

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