Document:

exhibit10_1.htm

 

  

EXHIBIT 10.1

ELEVENTH AMENDMENT TO AMENDED AND RESTATED

PRIVATE LABEL CONSUMER CREDIT CARD PROGRAM AGREEMENT

This ELEVENTH AMENDMENT TO AMENDED AND RESTATED PRIVATE LABEL CONSUMER CREDIT CARD PROGRAM AGREEMENT (this “Amendment”) is made and entered into June 18, 2012, by and between GE Capital Retail Bank, formerly GE Money Bank (“Bank”), Select Comfort Corporation (“Select Comfort”) and Select Comfort Retail Corporation (“SCRC” and collectively with Select Comfort “Retailer”) to amend that certain Amended and Restated Private Label Consumer Credit Card Program Agreement dated as of December 14, 2005 (as amended, modified and supplemented from time to time, the “Agreement”), among such parties.  Capitalized terms used herein and not otherwise defined have the meanings given them in the Agreement.

 

WHEREAS, Bank and Retailer are parties to the Agreement, and it is their mutual desire that the Agreement be amended in accordance with the terms and conditions set forth herein, including, without limitation, to modify certain existing Program Fee Percentages (as defined in the Agreement).

 

NOW, THEREFORE, in consideration of the mutual promises and subject to the terms and conditions hereinafter set forth, the parties hereby agree as follows:

 

I.            AMENDMENTS TO AGREEMENT

 

1.1 Amendment to Preamble Paragraph and References to GE Money Bank.  Bank’s address in the preamble paragraph to the Agreement is hereby deleted and replaced with the following:  “170 Election Road, Suite 125, Draper, UT, 84020”.  In addition, each and every reference to “GE Money Bank” in the Agreement is hereby deleted and replaced with “GE Capital Retail Bank”.

 

1.2 Addition of Subsection 2.2(l).  A new subsection 2.2(l) is hereby added to the Agreement as follows:

 

“(l)           Give due consideration to Bank’s recommendations for improved positioning of financing promotional offers on the Retailer Website.  Bank acknowledges and agrees that Retailer retains sole discretion and control with respect to the content of the Retailer Website.”

 

1.3 Amendment to Section 13.10.  Bank’s address for notice and contact information set forth in Section 13.10 is hereby deleted in its entirety and replaced with the following:

 

“if to Bank:

GE Capital Retail Bank

170 Election Road, Suite 125

Draper, Utah 84020

With copies to

GE Capital -- Payment Solutions

 

  

  

  

 

950 Forrer Boulevard

Kettering, Ohio 45420

 

Attn:  Counsel / Risk Group

 

and

 

GE Capital -- Payment Solutions

777 Long Ridge Road

Stamford, Connecticut 06902

Attn: General Counsel”.

1.4 Addition of Section 13.18.  A new Section 13.18 is hereby added to the Agreement as follows:

 

“13.18           Prohibition on Illegal Gambling.  Retailer certifies that it does not engage in an Internet gambling business (as defined in 12 CFR 233.2(r)) and covenants that it shall not accept a Credit Card with respect to any transaction through any Retailer sales channel in furtherance of any such gambling enterprise.”

 

1.5 Addition of Section 13.19.  A new Section 13.19 is hereby added to the Agreement as follows:

 

“13.19           Obligations Subject to Law.  All obligations of either party hereunder shall be subject to all applicable laws, including any changes or amendments thereto and either party may take any actions that it in good faith believes are required by then applicable law or the direction of any regulatory authority or, in Bank’s case, to prevent the occurrence of an “unsafe or unsound” banking practice (as defined in 12 U.S.C. § 1818); provided, that Section 9.2(k) will continue to be applicable with respect to any such action taken as hereinabove authorized, if such action constitutes or gives rise to a Force Majeure Event.”

 

1.6 Amendment to Appendix A.  The definition of “Credit Review Point” in Appendix A to the Agreement is hereby deleted in its entirety and replaced with the following:

 

““Credit Review Point” means Three Hundred Fifty Million Dollars ($350,000,000) or such other higher amount as Bank, in its sole discretion, may from time to time specify to Retailer in writing.”

 

1.7 Amendment to Schedule 3.5.  Schedule 3.5 to the Agreement is hereby deleted in its entirety and replaced with revised Schedule 3.5 attached hereto as Exhibit A.

 

1.8 Amendment to Schedule 3.6.  Schedule 3.6 to the Agreement is hereby deleted in its entirety and replaced with revised Schedule 3.6 attached hereto as Exhibit B.

 

 

2

  

  

II.            GENERAL

 

2.1           Authority for Amendment.  The execution, delivery and performance of this Amendment has been duly authorized by all requisite corporate action on the part of Retailer and Bank and upon execution by all parties will constitute a legal, binding obligation thereof.

 

2.2           Effect of Amendment.  Except as specifically amended hereby, the Agreement, and all terms contained therein, remains in full force and effect.  The Agreement, as amended by this Amendment, constitutes the entire understanding of the parties with respect to the subject matter hereof.

 

2.3           Binding Effect; Severability.  Each reference herein to a party hereto shall be deemed to include its successors and assigns, all of whom shall be bound by this Amendment and in whose favor the provisions of this Amendment shall inure.  In case any one or more of the provisions contained in this Amendment shall be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby.

 

2.4           Further Assurances.  The parties hereto agree to execute such other documents and instruments and to do such other and further things as may be necessary or desirable for the execution and implementation of this Amendment and the consummation of the transactions contemplated hereby and thereby.

 

2.5           Governing Law.  This Amendment shall be governed by and construed in accordance with the laws of the State of Utah.

 

2.6           Counterparts.  This Amendment may be executed in counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute but one agreement.

 

[Signature page follows]

 

3

  

  

    IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their duly authorized officers, all as of the day and year first above written.

 

	
SELECT COMFORT CORPORATION

 

 

By:                      /s/ Mark A. Kimball 

Name:                      Mark A. Kimball                                           

Title:                         SVP & General Counsel                                           

	
GE CAPITAL RETAIL BANK

 

 

By:                      /s/ Glenn P. Marino                                

Name:                       Glenn P. Marino                                

Title:                         EVP                                

 

SELECT COMFORT RETAIL CORPORATION

By:                      /s/ Mark A. Kimball                                                      

Name:                      Mark A. Kimball

Title:                         SVP & General Counsel                                           

4  

  

  

EXHIBIT A

 

SCHEDULE 3.5

To

Credit Card Program Agreement

Program Fee Percentages

Retail Purchases:

	
Promotion

	
Program Fee Percentage

	
With Pay/Deferred Interest

	  
	
6 Month

	
[***]

	
12 Month

	
[***]

	
18 Month

	
[***]

	
24 Month

	
[***]

	
Equal Payments/No Interest

	  
	
18 Month

	
[***]

	
24 Month

	
[***]

	
36 Month

	
[***]

	
48 Month

	
[***]

Direct Purchases; ECOM Purchases:

	
Promotion

	
Program Fee Percentage

	
With Pay/Deferred Interest

	  
	
6 Month

	
[***]

	
12 Month

	
[***]

	
18 Month

	
[***]

	
24 Month

	
[***]

	
Equal Payments/No Interest

	  
	
18 Month

	
[***]

	
24 Month

	
[***]

	
36 Month

	
[***]

	
48 Month

	
[***]

[***Confidential portion has been omitted pursuant to a request for confidential treatment and has been filed separately with the Commission.]

 

5  

  

  

EXHIBIT B

SCHEDULE 3.6

To

Credit Card Program Agreement

Interest Rate Adjustor Calculations

 

	
Discount Rate Adjustments based on changes in 12 Month Libor (Current Active Promotional offers)

	  	  	  	  	
Base Twelve Month LIBOR: 1.00%

	  
	
Promotion  Type

	
Adjustor Formula

	
Adjustor per 25 bps (1 click) change in

Base Twelve

Month LIBOR

	
LIBOR RANGES - Cost of Funds Pricing Schedule

	
0.26% through 0.50%

	
0.51% through 0.75%

	
.76% through 1.24%

	
1.25% through 1.49%

	
1.5% through 1.74%

	
1.75% through 1.99%

	
2.00% through 2.24%

	
With Pay/ Deferred Interest

	  	  	  	  	  	  	  	  	  
	
Retail 6 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

6 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Retail 12 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

12 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Retail 18 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

18 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Retail 24 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

24 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Equal Payments/

No Interest

	  	  	  	  	  	  	  	  	  
	
Retail 18 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

18 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Retail 24 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

24 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Retail 36 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

36 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Retail 48 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
Direct/ECOM

48 Months

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

	
[***]

 

[***Confidential portion has been omitted pursuant to a request for confidential treatment and has been filed separately with the Commission.]

 

 

6

  

  

For purposes of clarification only, the following is an example of how the interest rate adjustor will be calculated:

 

1.  As of the Eleventh Amendment Effective Date, the Program Fee Percentages shall be as set forth on Schedule 3.5 and such Program Fee Percentages were established based on the Base Twelve Month LIBOR of 1.00%.

 

2. If at the end of the calendar quarter ending on June 30, 2012 the Twelve Month LIBOR is 0.74% (a movement of 26 basis points from the Base Twelve Month LIBOR), then the Program Fee Percentages will be adjusted in accordance with Section 3.6 of this Agreement to the rates set forth above in this Schedule 3.6 under the >.51% and <0.75% LIBOR increment.  Such adjusted Program Fee Percentages will be effective as of the first day of the second month of the calendar quarter beginning on July 1, 2012 (i.e., such rates will be implemented on August 1, 2012) and will remain in effect until the Program Fee Percentages for the next quarterly adjustment become effective (as described below).

 

3.  At the end of the calendar quarter ending on September 30, 2012, adjustments to the then current Program Fee Percentages will made as follows:  (1) the adjustments made to the Program Fee Percentages described in Item 2 above will be eliminated, (2) the Program Fee Percentages will revert to those set forth above in this Schedule 3.6 under the >.76% and <1.25 LIBOR increment, (3) any adjustments to the Program Fee Percentages for the calendar quarter beginning on October 1, 2012 will be determined in accordance with Section 3.6 of the Agreement based on the movement of the Twelve Month LIBOR as compared to the Base Twelve Month LIBOR of 1.00%, (4) any adjusted Program Fee Percentages will become effective as of the first day of the second month of the calendar quarter beginning on October 1, 2012 (i.e. such rates will be implemented on November 1, 2012), and (5) the Program Fee Percentages in effect prior to the foregoing adjustment will remain in effect until the first day of the second month of the  calendar quarter that begins on October 1, 2012 (i.e. such rates will remain in effect until November 1, 2012).

 

4.  If at the end of the calendar quarter ending on September 30, 2012, the Twelve Month LIBOR is 0.99% (a movement of 1 basis point from the Base Twelve Month LIBOR of 1.00%), then (1) effective as of November 1, 2012, the Program Fee Percentages for the calendar quarter beginning on October 1, 2012 will be those set forth above in this Schedule 3.6 under the >.76% and <1.25 LIBOR increment because the movement of 1 basis point does not exceed the 25 basis points movement necessary for an additional adjustment, and (2) the Program Fee Percentages in effect pursuant to Item 2 above will remain in effect until November 1, 2012.

 

5.  For the avoidance of doubt the foregoing example does not account for any pricing adjustments (other than for cost of funds) that may be made pursuant to the Agreement.

 

7Exhibit 4.1

 

THE BANK OF NEW YORK MELLON

NEW YORK’S
FIRST BANK-FOUNDED 1784 BY ALEXANDER HAMILTON

 

 

2
HANSON PLACE, 12TH FLOOR, BROOKLYN, N.Y. 11217

 

 

 

June 20, 2012

 

Hennion & Walsh, Inc.

2001 Route 46, Waterview Plaza

Parsippany,
New Jersey 07054

 

Smart Trust, Dynamic Sector Income Trust,
Series 3

Dear Sirs:

The Bank of New York
Mellon is acting as trustee for Smart Trust, Dynamic Sector Income Trust, Series 3 set forth above (the “Trust”).
We enclosed a list of the Securities to be deposited in the Trust on the date hereof. The prices indicated therein reflect our
evaluation of such Securities as of close of business on June 20, 2012, in accordance with the valuation method set forth in the
Trust Indenture and Agreement. We consent to the reference to The Bank of New York Mellon as the party performing the evaluations
of the Trust Securities in the Registration Statement (No. 333-181861) filed with the Securities and Exchange Commission with respect
to the registration of the sale of the Trust Units and to the filing of this consent as an exhibit thereto.

 

 

Very truly yours,

 

 /s/
GERARDO CIPRIANO 

Vice President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00205-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00205-of-00352.parquet"}]]