Document:

Amendment No. 1 to Term Loan Agreement

 Exhibit 10.6 
 AMENDMENT NO. 1 TO TERM LOAN AGREEMENT 
 This AMENDMENT NO. 1 TO TERM LOAN AGREEMENT (this
“Amendment”) is dated as of June 6, 2007 by and among BURLINGTON MORELOS, S.A. DE C.V., a Mexican stock limited liability corporation (sociedad anónima de capital variable) (“Borrower”), GENERAL
ELECTRIC CAPITAL CORPORATION, a Delaware corporation, for itself and as Agent, and the other Lenders signatory hereto. Unless otherwise specified herein, capitalized terms used in this Amendment shall have the meanings ascribed to them in the Term
Loan Agreement (as hereinafter defined). 
 RECITALS: 
 WHEREAS, Borrower, the Agent and the Lenders entered into that certain Term Loan Agreement dated as of December 29, 2006 (as amended, supplemented, restated or otherwise modified from time to time, the
“Term Loan Agreement”); and 
 WHEREAS, the parties to the Term Loan Agreement have agreed to an amendment to the Term Loan
Agreement as set forth herein; 
 NOW, THEREFORE, in consideration of the premises contained herein, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
 1 Amendments to
Section 1. 
 1.1 Section 1 of the Term Loan Agreement is hereby amended by adding the following defined terms
in alphabetical order and renumbering the provisions of Section 1 accordingly: 
 ““18% Senior Note Subordinated
Indebtedness” means Indebtedness (as defined in the Revolving Credit Agreement) incurred pursuant to the 18% Senior Note Documents in the initial principal amount of $80,000,000.” 
 ““18% Senior Note Documents” means (i) the Senior Subordinated Note Purchase Agreement, dated as of June 6, 2007
(“Senior Note Purchase Agreement”) among ITG and the purchasers set forth therein (the “Senior Note Purchasers”); (ii) the $80,000,000 aggregate principal amount of 18.00% Senior Subordinated Notes due 2011
issued to the Senior Note Purchasers on June 6, 2007 (such notes, the “Initial Notes”), any “PIK Notes” (as defined in the Initial Notes) and any such notes issued in substitution for the Initial Notes pursuant to
Section 14 of the Senior Note Purchase Agreement; and (iii) the pledge agreement dated as of June 6, 2007 made by ITG in favor of the Senior Note Purchasers.” 
 ““Qualified Issuance” means an offering or series of offerings of stock of ITG or any Holding Company pursuant to a registration
statement under the Securities Act of 1933, which stock is listed on the New York Stock Exchange or NASDAQ and the incurrence of additional non-revolving Indebtedness by ITG permitted by the terms of the Revolving Loan Agreement or otherwise
consented to by Required Lenders (as defined in the Revolving Loan Agreement), which, collectively, result in gross proceeds of at least $175,000,000.” 

 1.2 Section 1 of the Term Loan Agreement is hereby further amended by amending and restating
the defined term “Change of Control” in its entirety as follows: 
 ““Change of Control” means any event,
transaction or occurrence as a result of which (a) Cone Denim LLC ceases to own and control, directly or indirectly, all of the economic and voting rights associated with ownership of one hundred percent (100%) of the outstanding Equity
Interests of Borrower on a fully diluted basis, (b) Borrower and Cone, collectively, cease to own and control all of the economic and voting rights associated with all of the outstanding Equity Interests of any of the Subsidiary Guarantors,
(c) any event under Section 7.1(m) of the Revolving Loan Agreement (as in effect on the Closing Date) shall have occurred or (d) a “Change of Control” as defined in the 18% Senior Note Documents shall have occurred.

 2 Amendment to Section 2.6(b)(iii). Section 2.6(b)(iii) of the Term Loan Agreement is hereby amended
and restated in its entirety as follows: 
 “(iii) Immediately upon receipt by ITG, or any Holding Company of ITG or BST, of the Net
Issuance Proceeds of any issuance of Stock (as defined in the Revolving Loan Agreement) or Stock Equivalents (as defined in the Revolving Loan Agreement) (including any capital contribution but excluding (1) any Net Issuance Proceeds from
Excluded Equity Issuances and (2) an amount of proceeds from the issuances of Stock (as defined in the Revolving Loan Agreement) by ITG or any Holding Company of ITG or BST pursuant to a Qualified Issuance up to the lesser of
(x) $15,000,000, and (y) an amount equal to 50% of the accrued and unpaid interest (including any PIK interest) with respect to the 18% Senior Note Subordinated Indebtedness, so long as in the case of this subclause (2), such amount is
used to repay the accrued and unpaid interest (including any PIK interest) with respect to the 18% Senior Note Subordinated Indebtedness), Borrower shall prepay, or cause to be prepaid, the Term Loans in an amount equal to the Relative Commitment
Factor as of such date multiplied by such Net Issuance Proceeds. 
 3 Amendment to Section 2.6(b)(v).
Section 2.6(b)(v) of the Term Loan Agreement is hereby amended and restated to read in its entirety as follows: 
 “(v)
Immediately upon receipt by ITG, or any Holding Company of ITG or BST, of the Net Issuance Proceeds of Holdco Debt (other than the 18% Senior Note Subordinated Indebtedness), Borrower shall prepay, or cause to be prepaid, the Term Loans in an amount
equal to the Relative Commitment Factor as of such date multiplied by such Net Issuance Proceeds.” 
  

 2 

 4 Representations and Warranties. In order to induce Agent and the Lenders to enter
into this Amendment, Borrower represents and warrants to Agent and each Lender (which representations and warranties shall survive the execution and delivery of this Amendment), that: 
 (a) the execution, delivery and performance by Borrower of this Amendment has been duly authorized by all necessary corporate action and
this Amendment is a legal, valid and binding obligation of Borrower enforceable against Borrower in accordance with its terms; and 
 (b) upon the effectiveness of this Amendment, all of the representations and warranties contained in the Term Loan Agreement and in the other Loan Documents (other than those which speak expressly only as of an earlier date) are true and
correct in all material respects on and as of the date of the effectiveness of this Amendment after giving effect to this Amendment and the transactions contemplated hereby. 
 5 Conditions to Effectiveness. This Amendment shall be effective on the date when each of the following conditions have been met:

 (a) this Amendment shall have been duly executed and delivered by Borrower, Agent and the Required Lenders; 
 (b) the Subordination and Intercreditor Agreement with respect to the 18% Senior Note Subordinated Indebtedness, substantially in the form
attached hereto as Exhibit A, shall have been executed and delivered by each of the parties thereto; and 
 (c) receipt
by Agent of a fully executed copy of an amendment to the BST Facility on terms substantially similar to the terms of this Amendment and in form and substance satisfactory to Agent. 
 6 Miscellaneous. 
 6.1
Effect; Ratification. 
 (a) Except as specifically set forth above, the Term Loan Agreement and the
other Loan Documents shall remain in full force and effect and are hereby ratified and confirmed. 
 (b) The execution,
delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of Agent or any Lender under the Term Loan Agreement or any other Loan Document, nor constitute amendment of any provision of the Term Loan
Agreement or any other Loan Document, except as specifically set forth herein. Upon the effectiveness of this Amendment, each reference in the Term Loan Agreement to “this Agreement”, “hereunder”, “hereof”,
“herein” or words of similar import shall mean and be a reference to the Term Loan Agreement as amended hereby. 
 (c) Borrower acknowledges and agrees that the amendments and waivers set forth herein are effective solely for the purposes set forth herein and that the execution 

  

 3 

 
and delivery by Agent of this Amendment shall not be deemed (i) except as expressly provided in this Amendment, to be a consent to any amendment, waiver
or modification of any term or condition of the Term Loan Agreement or of any other Loan Document, (ii) to create a course of dealing or otherwise obligate Agent or Lenders to forbear, waive, consent or execute similar amendments under the same
or similar circumstances in the future, or (iii) to amend, prejudice, relinquish or impair any right of Agent or Lenders to receive any indemnity or similar payment from any Person or entity as a result of any matter arising from or relating to
this Amendment. 
 6.2 Counterparts and Signatures by Fax. This Amendment may be executed in any number of counterparts,
each such counterpart constituting an original but all together one and the same instrument. Any party delivering an executed counterpart of this Amendment by fax shall also deliver an original executed counterpart, but the failure to do so shall
not affect the validity, enforceability or binding effect of this Amendment. 
 6.3 Severability. In case any provision in or
obligation under this Amendment shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall
not in any way be affected or impaired thereby. 
 6.4 Loan Document. This Amendment shall constitute a Loan Document.

 6.5 GOVERNING LAW. THIS WAIVER AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL, IN ALL RESPECTS,
INCLUDING MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE, BE GOVERNED BY, AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS MADE AND PERFORMED IN THAT STATE AND ANY APPLICABLE LAWS OF
THE UNITED STATES OF AMERICA. 
 [Signature Pages Follows] 
  

 4 

 IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date first above written.

  

			
	 BURLINGTON MORELOS, S.A. DE C.V.

	 as Borrower

		
	 By:
	 	 /s/ Karyl P. McClusky

			
	 Name:
	 	 Karyl P. McClusky

	 Title:
	 	 VP & Treasurer

			
		
	 By:
	 	 /s/ Neil W. Koonce

			
	 Name:
	 	 Neil W. Koonce

	 Title:
	 	 Vice President

 [Signature Page to Amendment No. 1 to Term Loan Agreement] 

			
	GENERAL ELECTRIC CAPITAL CORPORATION,
	as Agent and a Lender
		
	By:	 	 /s/

	Name:	 	
	Title:	 	Duly Authorized Signatory

 [Signature Page to Amendment No. 1 to Term Loan Agreement] 

			
	 UBS AG, STAMFORD BRANCH,

	as a Lender
		
	By:	 	 /s/

			
	Name:	 	
	Title:	 	

			
		
	By:	 	 /s/

			
	Name:	 	
	Title:	 	

 [Signature Page to Amendment No. 1 to Term Loan Agreement] 

			
	 WACHOVIA BANK, NATIONAL ASSOCIATION,

	 as a Lender

		
	 By:
	 	  

			
	 Name:
	 	
	 Title:
	 	

			
		
	 By:
	 	  

			
	 Name:
	 	
	 Title:
	 	

 [Signature Page to Amendment No. 1 to Term Loan Agreement] 

			
	 BANK OF AMERICA, N.A,

	 as a Lender

		
	 By:
	 	 /s/

			
	 Name:
	 	
	 Title:
	 	

 [Signature Page to Amendment No. 1 to Term Loan Agreement]Waiver Letter, dated June 4, 2007

 Exhibit 10.7 
  

	To:	Goldman Sachs Credit Partners L.P. as Priority Agent. 

 May
2007 
 Waiver request letter 
 Subject:
Credit agreement dated 8 December 2006 between, amongst others, BST US Holdings, Inc. as Parent, BST Safety Textiles Acquisition GmbH as Original Borrower, Goldman Sachs Credit Partners L.P. and UBS Securities LLC as Mandated Lead Arrangers,
Goldman Sachs Credit Partners L.P. as Priority Agent and UBS AG, Stamford Brach as Second Lien Agent as amended on 1 April 2007 (the “Credit Agreement”) . 
 Waiver of application of mandatory prepayment provisions relating to the proposed offering of ITG Notes (defined below) 
  

	 	1.	We refer to the proposed $80,000,000 senior subordinated notes due 2011 to be issued by ITG (the “ITG Notes”). The ITG Notes will constitute senior subordinated
debt of ITG with no credit support other than a first priority pledge over the shares that ITG holds in the Parent. 

  

	 	2.	The holders of the ITG Notes have confirmed that they will include in the documentation evidencing the ITG Notes a non-reliance representation and undertaking as required pursuant
to clause 27.36 of the Credit Agreement and in the form set out in the Exhibit to this waiver request. 

  

	 	3.	We note that the proceeds of the ITG Notes will constitute ITG Debt Proceeds. 

  

	 	4.	We hereby request that the Priority Lenders waive the requirement of Clause 12.2(b)(vi) of the Credit Agreement which requires the Borrower to prepay Loans in an amount equal to the
Relative Commitment Factor multiplied by the amount of ITG Debt Proceeds. 

  

	 	5.	We also request that the Majority Lenders waive any breach of Clause 25 (Information undertakings) that may have been caused as a result of the financial statements delivered
by the Parent for the period to and including 31 December 2007 pursuant to Clause 25.1 of the Credit Agreement not being consolidated at the Parent level. 

 The background to this request is that BST US Holding, Inc. (the “Parent”) is a US company that was established for the acquisition
process. Since we had always planned to switch our financial reporting for the BST Group from German GAAP to US GAAP, we believed it would not be necessary to include the Parent in the consolidated statements under German GAAP. We had always
planned to consolidate the Parent in the financial statements of the BST Group following completion of the switch-over to US GAAP. We expect the switch-over to be completed and therefore for the Parent to be consolidated in the financial statements
of the BST Group for the Financial Year commencing on 1 January 2008. 

	 	6.	We further request that the Majority Lenders agree to the following amendments being made to the Credit Agreement: 

  

	 	6.1	Clause 12.2(b) (iv) be amended by including the following in line 3 immediately after the words “Excluded Equity Issuance)”: 

 “and after in the case of a Qualified Issuance (as defined in the ITG Note Purchase
Agreement) deducting such amount not exceeding $7,500,000 as is required to be paid by ITG by way of accrued interest under the ITG Notes”1; and 
  

	 	6.2	the following definitions be added to Clause 1.1 (Definitions) of the Credit Agreement: 

 “ITG Note Purchase Agreement” means the senior subordinated note purchase agreement dated as of June 6, 2007 relating to the ITG Notes.

 “ITG Notes” means the proposed $80,000,000 18.00% senior subordinated notes due June 6, 2011 to be issued by ITG.

  

	 	6.3	the definition of “Total Debt” in Clause 26.1 of the Credit Agreement be amended by adding the following at the end of such definition: 

 “after deducting the aggregate amount of cash and Cash Equivalent Investments held by any member of the BST Group at that time”. 
 Please could you confirm that the Majority Lenders (for the purposes of paragraphs 5 and 6 above) and the Priority Lenders (for the purpose of paragraph 4 above) consent
to the waivers and the amendments requested by counter-signing this letter. 
 All capitalised terms in this letter otherwise undefined, have the same
meaning as those terms defined in the Credit Agreement. 
  

	
	 /s/

	For and on behalf of BST US Holdings, Inc. as Parent

  

	 1
	 “Qualified Issuance” is defined in the ITG Note Purchase Agreement as an
offering or series of offerings of equity securities of ITG pursuant to a registration statement under the Securities Act which securities are listed on either the New York Stock Exchange or NASDAQ and the incurrence of additional non-revolving
indebtedness for borrowed money by ITG which, collectively, result in gross proceeds of at least $175,000,000. 

  

 - 2 - 

 Acknowledged and confirmed by: 
  

	
	 /s/

 For and on behalf of Goldman Sachs Credit Partners L.P. as Priority Agent (acting on the instructions of the
Majority Lenders (for the purposes of paragraphs 5 and 6 above) and all of the Priority Lenders (for the purpose of paragraph 4 above)) 
 Date: 04 June 2007

 EXHIBIT 
 Each Purchaser acknowledges and agrees that it is not relying, and shall not rely, on any present or future claim on the assets of the BST Group and hereby covenants and agrees that it shall not take any action that
is inconsistent with such non-reliance. Notwithstanding anything to the contrary in the foregoing sentence, each Purchaser is relying on the value of the Stock of BST pledged pursuant to the Pledge Agreement, and its first priority perfected lien
thereon, in determining to purchase the Notes. 
 “BST” means BST US Holdings, Inc., a Delaware corporation. 
 “Pledge Agreement” means the pledge agreement dated as of the date hereof made by the Company in favor of the Purchasers, which agreement shall
be substantially in the form of Exhibit 2, as such agreement may be amended, modified or supplemented from time to time in accordance with its terms. 
 “Stock” means all shares of capital stock (whether denominated as common stock or preferred stock), equity interests, shares, beneficial, partnership or membership interests, joint venture interests, participations
or other ownership or profit interests in or equivalents (regardless of how designated) of or in a Person (other than an individual), whether voting or non-voting.

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