Document:

EXHIBIT 10.15

[MERRILL LYNCH LETTERHEAD]

                                                                  March 31, 1999

Dr. Simon Raab
Faro Technologies, Inc.
125 Technology Park
Lake Mary, FL 32746

               RE: EXTENSION OF WCMA LINE OF CREDIT NO. 740-07K27

Dear Dr. Raab,

It is a pleasure to inform you that we have approved an extension of the
above-numbered WCMA Line of Credit for Faro Technologies, Inc.

     As extended, the new Maturity Date will be March 31, 2000, with all other
     terms and conditions remaining unchanged. In connection with this
     extension, a $5,000.00 fee will be charged to the WCMA Account.

Once again, we are pleased to provide you with this extension of your WCMA Line
of Credit. Should you have any questions, please contact Manny Calzon at
813/273-8557.

Very truly yours,

Merrill Lynch Business Financial Services Inc.

By:  /s/ VALERIE WILDER
     ------------------
     Valerie Wilder
     Senior Portfolio Manager

cc:  Manny Calzon
     Chris HunterEXHIBIT 10.16

[FARO TECHNOLOGIES LETTERHEAD]

Raymond Munkelwitz
Brown & Sharpe
200 Frechtown Road
North Kingston, RI

SUBJECT: OEM CONTRACT (1) YEAR EXTENSION

Dear Mr. Munkelwitz:

Per section 8.1 of the FARO OEM Purchase Agreement signed on March 12, 1999
between FARO Technologies and Brown & Sharpe there is a stipulation requiring
mutual written agreement prior to renewal of the agreement for a (1) year term.

This Document serves as FARO Technologies written agreement to extend the FARO
OEM Purchase Agreement for a (1) year term starting March 12, 2000. Per our
discussion the only changes will be minor adjustments of Appendix A1 and the
Accessories Price List (attached) to reflect changes made to FARO Technologies
list prices.

Please sign in the space provided below to confirm Brown & Sharpe's agreement to
a (1) year extension of the OEM Agreement.

FARO TECHNOLOGIES, INC.

BY: /s/ GREG FRASER                                   DATE: March 8, 2000
-------------------                                   -------------------
    Greg Fraser
    Executive Vice President, Sales & Marketing

BROWN & SHARPE MANUFACTURING COMPANY

BY:/s/ [ILLEGIBLE]                                    DATE: March 11, 2000
-------------------                                   --------------------

attachment: appendix A1, FARO accessories price list<PAGE>
                                                                  EXHIBIT 10.(h)

                  [LETTERHEAD OF PRANDIUM, INC. APPEARS HERE]

                  1999 MANAGEMENT INCENTIVE COMPENSATION PLAN

                                PLAN DESCRIPTION

OBJECTIVE
---------

The Prandium, Inc. Management Incentive Compensation Plan (MICP) is designed to
motivate and reward employees who, by virtue of their position and
responsibilities, are in a position to make a significant contribution toward
attaining and exceeding the annual business objectives of Prandium, Inc. or any
of its Operating Divisions.

ELIGIBILITY
-----------

Employees of Prandium, Inc. and its Operating Divisions are eligible to
participate in MICP based on the following criteria:

     .    Vice Presidents, Vice President equivalents and above who are not
          eligible to participate in other incentive programs.

     .    Directors, Managers and equivalents who are not eligible to
          participate in other incentive programs.

     .    A performance level of at least solid as defined by the Company's
          performance standards, must have been achieved by an eligible
          participant.

Individual bonus targets for participants will differ and will reflect levels of
responsibility and authority, as well as the relative impact and complexity of
their positions. Individual target incentive awards are expressed as a percent
of a participant's weighted annual base salary for the calendar year in which
this bonus applies.

ADMINISTRATION
--------------

The Nominating and Human Resources (Compensation) Committee of the Prandium,
Inc. Board of Director's ("Committee") shall have full authority for the
administration of MICP including, but not limited to, eligibility, performance
criteria, and Plan modification or termination.
<PAGE>

INCENTIVE AWARD LEVELS
----------------------

Individual incentive awards will be based on four, five or six performance
components, depending on a participant's position within the organization. The
factors that comprise each participant's MICP award will include one or more of
the following factors:

     .    Prandium, Inc. EBITDA Performance

     .    Division EBITDA Performance

     .    Division or Department G&A Budget

     .    Personal Objectives

EBITDA is defined as operating profit plus miscellaneous income/(expense),
depreciation and opening expense.

The relative weighing of the above factors reflects the degree to which a
participant can impact the performance of one or all operating divisions. For
example, the incentive for a corporate participant is weighted between Chi-
Chi's, El Torito, Koo Koo Roo and Hamburger Hamlet performance, whereas a
Division participant's incentive is weighted more heavily on Divisional
performance. A combination of any of the above factors may be used in
determining a participant's award.

The measurement criteria for MICP will be set for Prandium, Inc. and Operating
Divisions at the beginning of each plan year. These objectives will be based on
many criteria including, but not limited to, the established operating profit
for the previous year, general economic conditions, the industry's competitive
environment, and senior management's judgement as to what constitutes
outstanding results.

A portion of the incentive will be awarded based on achievement of Departmental
G&A budgets.

Personal Objectives are established on an individual basis and approved by the
CEO. Incentives will be awarded based on the level to which the objectives are
achieved as determined by the Department Head and the CEO.

TRANSFERS/PROMOTIONS/MERIT INCREASES
------------------------------------

If an eligible participant is promoted to a new position during the year and if
such new position reflects a different bonus opportunity percentage, such
factors will be taken into consideration by management insofar as award
determination is concerned. The same factors will be considered by management
insofar as transfers among and between Prandium, Inc. and its Operating
Divisions are concerned. In the case of merit increases during the year, the
MICP awards will be based on the weighted average of a participant's base
salary.
<PAGE>

MICP PAYOUT
-----------

Payment of MICP awards will be made annually, following management's
determination of the operating results for Prandium, Inc. and each of its
Operating Divisions and, barring unforeseen circumstances, will be paid before
the end of the first quarter of the following year, to the extent performance
warrants payment. In the event that a participant becomes eligible during the
calendar year, any applicable award will be prorated for the number of months of
service. Payroll and other associated statutory taxes will be withheld from all
MICP awards.

TERMINATION
-----------

An eligible participant whose employment terminates, voluntarily or
involuntarily, prior to the end of the fiscal year, will not be eligible to
receive a MICP award. If termination occurs after the end of the fiscal year,
but before payment, the Committee reserves the right to determine if payment, or
portion thereof, will be made.

PENALTIES
---------

A penalty of up to 100% of the MICP award can be assessed for any actions
detrimental to the assets, reputation, or best interest of Prandium, Inc. and/or
its Operating Divisions including, but not limited to, any lowering of standards
in order to increase operating results, violation of established policies and
procedures, substandard personal performance, etc.

PLAN MODIFICATION
-----------------

In the event of unusual circumstances which materially impact the performance of
Prandium, Inc., its Operating Divisions, and/or the individual participant over
which management and/or the individual participant has little or no control, the
Committee may, through the exercise of prudent business judgment, amend the
performance criteria of MICP and, in their discretion, raise or lower MICP
awards. Such conditions as increased competition, forecasting errors, weather,
etc., are ongoing business factors and would not, in and of themselves, warrant
adjustment in performance criteria.

This MICP does not confer or create any rights in employees or any duties or
obligation upon Prandium, Inc. Prandium, Inc. will make all interpretations
concerning the conditions and qualification covered under this Plan and senior
management reserves the right to modify or terminate the Plan, should
circumstances so warrant. Notification of MICP modifications or terminations of
MICP will be communicated to participating employees as appropriate.<PAGE>

                                                                 EXHIBIT 10.(nn)

                                 PRANDIUM, INC.
                             DIVESTITURE BONUS PLAN
                               FOR KEY MANAGEMENT

OBJECTIVE:
---------

     The Prandium, Inc. ("Prandium") Divestiture Bonus Plan for Key Management
("DBP") has been created in connection with Prandium's decision to explore the
sale of either or both of its El Torito Restaurants, Inc. subsidiary ("El
Torito") and its Chi-Chi's, Inc. subsidiary ("Chi-Chi's").  The DBP is designed
to retain and reward key executives who will assist with any such sale.

ELIGIBILITY:
-----------

     The following individuals have been identified by the Board of Directors of
Prandium as participants in the DBP:  William Burt, President of El Torito;
Madelaine Bergen, Vice President Finance of El Torito; Joe Herrera, Senior Vice
President Marketing of El Torito; Chuck Rink, Executive Vice President
Operations of El Torito; Roger Chamness, President of Chi-Chi's; Laurie
Katapski, Senior Vice President Marketing of Chi-Chi's; Azam Malik, Executive
Vice President Operations of Chi-Chi's; Lisa Manuel, Vice President Finance of
Chi-Chi's; William Zavertnik, Vice President Operations of Chi-Chi's; Janie
Bereczky, Vice President Taxes of Prandium; Todd Doyle, Executive Vice President
and General Counsel of Prandium; Robert Gonda, Vice President and Treasurer; Ken
Gowen, Senior Vice President Human Resources of Prandium; Michael Malanga,
Executive Vice President Corporate Development of Prandium; Dan Rothblum, Vice
President Information Services of Prandium; Peter Salomon, Vice President
Controller of Prandium; and Robert Trebing, Jr., Executive Vice President and
Chief Financial Officer of Prandium.

     A "Bonus Pool" equal to 35 basis points (with 100 basis points equal to 1%)
of the "Purchase Price" (as defined below) shall be created for each of the
sales of El Torito or Chi-Chi's.  Purchase Price is defined for purposes of any
DBP payout calculation as the aggregate amount or value of all cash and non-cash
consideration actually received by Prandium and/or its subsidiaries or
shareholders, plus the aggregate principal amount of any debt assumed, retired
or defeased (and for which Prandium or any of its subsidiaries does not continue
to act as a guarantor or obligor) in connection with a sale.  In the event that
the sale price is paid in whole or in part in the form of securities or other
assets, the value of such securities or other assets shall be the fair market
value thereof, as determined by the Board of Directors of Prandium; provided,
that if such consideration includes securities with an existing public trading
market, the value thereof shall be determined by calculating the average sales
price for such securities during the last ten (10) trading days prior to such
consummation.  In the event that all or some portion of the consideration is
related to the future earnings or operations of El Torito or Chi-Chi's, the
portion of the compensation relating thereto and not paid at closing shall be
calculated and shall be paid to the participants when and as such future
earnings are realized and related consideration is paid to Prandium.

                                       1
<PAGE>

     The above-named participants are eligible for the following percentages of
the Bonus Pool(s) created for a sale of El Torito or Chi-Chi's:

<TABLE>
<CAPTION>
Participant              El Torito Sale    Chi-Chi's Sale
=========================================================
<S>                      <C>               <C>
William Burt                 24.89%             0%
---------------------------------------------------------
Madelaine Bergen              8.16%             0%
---------------------------------------------------------
Joe Herrera                   8.16%             0%
---------------------------------------------------------
Chuck Rink                   16.33%             0%
---------------------------------------------------------
Roger Chamness                   0%         16.74%
---------------------------------------------------------
Laurie Katapski                  0%          8.16%
---------------------------------------------------------
Azam Malik                       0%         12.24%
---------------------------------------------------------
Lisa Manuel                      0%          8.16%
---------------------------------------------------------
William Zavertnik                0%         12.24%
---------------------------------------------------------
Janie Bereczky                2.46%          2.46%
---------------------------------------------------------
Todd Doyle                    11.0%          11.0%
---------------------------------------------------------
Robert Gonda                  2.46%          2.46%
---------------------------------------------------------
Ken Gowen                     2.46%          2.46%
---------------------------------------------------------
Michael Malanga               8.16%          8.16%
---------------------------------------------------------
Dan Rothblum                  2.46%          2.46%
---------------------------------------------------------
Peter Salomon                 2.46%          2.46%
---------------------------------------------------------
Robert Trebing, Jr.           11.0%          11.0%
---------------------------------------------------------
Total:                         100%           100%
---------------------------------------------------------
</TABLE>

TERM:
----

     This DBP shall apply to any written agreement of purchase and sale of
either El Torito or Chi-Chi's executed and delivered on or before June 30, 2000.

DBP PAYOUT:
----------

     Except as provided above, each DBP participant shall receive their bonus in
a lump sum

                                       2
<PAGE>

payment made within five (5) days after the consummation of a sale of either El
Torito or Chi-Chi's. For purposes of the DBP, a sale shall be deemed to be
consummated upon the earliest of any of the following events to occur:

     (a) The acquisition by a person or entity other than Prandium or any of its
         subsidiaries or affiliates of a majority of the outstanding common
         stock of (i) El Torito or (ii) Chi-Chi's;

     (b) A merger or consolidation of (i) El Torito or (ii) Chi-Chi's with
         another person or entity other than Prandium or any of its subsidiaries
         or affiliates; or

     (c) The acquisition by another person or entity other than Prandium or any
         of its subsidiaries or affiliates of (i) assets of El Torito
         representing a majority of such assets, as measured by book value, or
         (ii) assets of Chi-Chi's representing a majority of such assets, as
         measured by book value.

     Payroll and other associated taxes will be withheld from all DBP bonus
payments in accordance with all applicable laws, rules and regulations.

TERMINATION:
-----------

     A DBP participant (i) who voluntarily terminates their employment with El
Torito, Chi-Chi's or Prandium, as applicable; or (ii) whose employment is
terminated for cause, in either case prior to the consummation of a sale of
either El Torito or Chi-Chi's, as applicable to the participant, shall not be
eligible to receive his or her DBP bonus.  A DBP participant whose employment
terminates involuntarily without cause prior to the consummation of a sale of
either El Torito or Chi-Chi's, as applicable to the participant, shall be
entitled to receive his or her DBP bonus if the sale of El Torito or Chi-Chi's,
as applicable to the participant, is consummated within twelve (12) months after
the participant's termination date.

ADMINISTRATION:
--------------

     The DBP shall be administered by the Board of Directors of Prandium, which
shall have the sole discretion and authority to make, amend, interpret and
enforce all appropriate rules and regulations for the administration of the DBP,
decide or resolve any and all questions, including interpretations of the DBP,
as may arise, and adjust participants' Bonus Pool percentages in the event a
participant is no longer eligible to receive his or her DBP bonus.  The decision
or action of the Board of Directors of Prandium with respect to any question or
matter arising out of or in connection with the administration, interpretation
and application of the DBP shall be final and conclusive and binding upon all
persons having any interest in the DBP.

     Prandium shall indemnify and hold harmless the members of the Board of
Directors of Prandium against any and all claims, losses, damages, expenses and
liabilities arising from any action or failure to act with respect to the DBP,
except in the case of willful misconduct.

                                       3
<PAGE>

MISCELLANEOUS:
-------------

     Unsecured General Creditor.  DBP participants and their heirs, successors
     --------------------------
and assigns shall have no legal or equitable rights, interest or claims in any
property or assets of Prandium or any of its subsidiaries or affiliates.
Prandium's obligation under the DBP shall be merely that of an unfunded and
unsecured promise to pay money in accordance with the DBP.  Amounts payable to a
DBP participant shall be paid from the general assets of Prandium exclusively.

     Prandium's Liability.  The DBP shall supplement and shall not supersede,
     --------------------
modify or amend any other plan or program, except as may otherwise be expressly
provided.  Despite the foregoing, and except for the benefits specifically
provided for in the DBP, the DBP shall not be construed as entitling a DBP
participant to receive any other benefit offered by Prandium or any of its
subsidiaries or affiliates.  Neither Prandium nor any of its subsidiaries or
affiliates shall have any obligation to a DBP participant under the DBP, except
as expressly provided herein.

     Nonassignability.  A DBP participant shall not have any right to commute,
     ----------------
sell, assign, transfer, pledge, anticipate, mortgage or otherwise encumber,
transfer, hypothecate or convey in advance of actual receipt, the amounts, if
any, payable hereunder, or any part thereof, which are, and all rights to which
are expressly declared to be, unassignable and non-transferable, except that the
foregoing shall not apply to any family support obligations set forth in a court
order.  No part of the amount payable shall, prior to actual payment, be subject
to seizure or sequestration for the payment of any debts, judgments, alimony or
separate maintenance owed by a DBP participant or any other person, nor be
transferable by operation of law in the event of a DBP participant's or any
other person's bankruptcy or insolvency.

     Not a Contract of Employment.  The terms and conditions of the DBP shall
     ----------------------------
not be deemed to constitute a contract of employment.  Except as may be
expressly provided in a written employment contract between a participant and
Prandium or any of its subsidiaries, nothing in the DBP shall be deemed to give
a participant the right to be employed in the service of Prandium or any of its
subsidiaries or affiliates, or to interfere with the right of any of them to
discipline the DBP participant at any time.

     Plan Not Subject to ERISA.  The DBP is not subject to the Employee
     -------------------------
Retirement Income Security Act of 1973.

     Captions.  The captions hereof are for convenience only and shall not
     --------
control or affect the meaning or construction of any of its provisions.

                                       4
<PAGE>

     Governing Law.  The provisions of the DBP shall be construed and
     -------------
interpreted according to the laws of the State of California.

     Entire Benefit.  The DBP constitutes the entire agreement and understanding
     --------------
with regard to the subject matter hereof and supersedes all prior oral or
written agreements, arrangements and understandings with respect thereto.  No
representation, promise, inducement, statement or intention has been made by
Prandium or any of its subsidiaries or affiliates that is not embodied herein,
and no person shall be bound by or be liable for any alleged representation,
promise, inducement or statement not set forth in this document.

                                     \ \ \

                                       5

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