Document:

PROMISSORY
NOTE

    

    
      

    

    
      On this
date of 1/01/10, in return for valuable consideration received, the undersigned
borrower[s] jointly and severally promise to pay Patrick Kelly, the "Lender",
the sum of $553,373 Euros.

    

    
      

    

    
      Terms of Repayment: This loan
shall be repaid under the following terms: Full repayment by
3/31/12

    

    
      

    

    
      Place of Payment — all
payments due under this note shall be made at the office of Redquartz LTD,14
Baggot Court Dublin 2 Ireland, or at such other place as the holder of this Note
may designate in writing.

    

    
      

    

    
      Default - In the event of
default, the borrower[s] agree to pay all costs and expenses incurred by the
Lender, including all reasonable attorney fees (including both hourly and
contingent attorney fees as permitted by law) for the collection of this Note
upon default, and including reasonable collection charges (including, where
consistent with industry practices, a collection charge set as a percentage of
the outstanding balance of this Note) should collection be referred to a
collection agency.

    

    
      

    

    
      Acceleration of Debt - In the
event that the borrower[s] fail to make any payment due under the terms of this
Note, or breach any condition relating to any security, security agreement,
note, mortgage or lien granted as collateral security for this Note, seeks
relief under the Bankruptcy Code, or suffers an involuntary petition in
bankruptcy or receivership not vacated within thirty (30) days, the entire
balance of this Note and any interest accrued thereon shall be immediately due
and payable to the holder of this Note.

    

    
      

    

    
      Joint and Several Liability -
All borrowers identified in this Note shall be jointly and severally liable for
any debts secured by this Note.

    

    
      

    

    
      Modification - No modification
or waiver of any of the terms of this Agreement shall be allowed unless by
written agreement signed by both parties. No waiver of any breach or default
hereunder shall be deemed a waiver of any subsequent breach or default of the
same or similar nature.

    

    
      

    

    
      Transfer of the Note - The
borrowers hereby waive any notice of the transfer of this Note by the Lender or
by any subsequent holder of this Note, agree to remain bound by the terms of
this Note subsequent to any transfer, and agree that the terms of this Note may
be fully enforced by any subsequent holder of this Note.

    

    
      

    

    
      Severability of Provisions -
In the event that any portion of this Note is deemed unenforceable, all other
provisions of this Note shall remain in full force and
effect.

    

    
       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

    

    
      Choice of Law - All terms and
conditions of this Note shall be interpreted under the laws of Ireland, County
Dublin 1.

    

    
       

    

    
      Signed
Under Penalty of Perjury, this 1st day of January, 2010.

    

    
      

    

    
      /s/Simon
Kelly

    

    
      

    

    
      
        
          
            
              	 
      
	
                      Borrower(s)
      Simon Kelly

                    
	
                      [Note- each borrower should
      sign separately.]

                    
	 
      
	
                      Signed
      in the presence of:

                    
	 
      
	
                      /s/John
      Kelly

                    
	 
      
	 
	
                      Witness
      John Kelly

                    

            

          

        

      

    

    
      [Note- the lender may not be a
witness. If more than one witness is used, each should sign
separately.]Exhibit
10.23

    

    QUALYTÊXTIL
S.A.

    A
free translation of the original in Portuguese relating to the Financial
Statements prepared in

    accordance
with the requirements of General Accepted Accounting Principles in
Brazil

    Independent
Auditors’ Report

    as of
April 30, 2008 and December 31st,
2007

    1 

      

    

    

    INDEPENDENT
AUDITORS’ REPORT

    

    To the Shareholders and Board of
Directors of 

    QUALYTÊXTIL
S.A.

    

    1.           We
have audited the balance sheets of QUALYTEXTIL S.A., as of April
30, 2008 and December 31, 2007, and the related statements of profit & loss,
changes in shareholders’equity and changes in sources and uses of funds for
the four month period and year then ended.  These financial statements
are the responsibility of the Company’s management. Our responsibility is to
express an opinion on these financial statements based on our
audits.

    

    2.           We
conducted our audits in accordance with auditing standards generally accepted in
the United States of America. Those standards require that we plan and perform
the audits to obtain reasonable assurance about whether the financial statements
are free of material misstatement. An  audit also includes examining,
on a test basis, evidence supporting the amounts and disclosures on the
financial statements. The audits also include assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statements presentation. We believe that our
audits provide a reasonable basis for our opinion.

    

    3.           In
our opinion, the financial statements referred to in the first paragraph present
fairly, in all material respects, the financial position of QUALYTÊXTIL S.A., as of April 30, 2008 and
December 31, 2007, and the results of its operations, changes in its
shareholders’equity and changes in its sources and uses of funds for the four
month period and year then ended, in conformity with generally accepted
accounting principles adopted in Brazil.

    

    4.           We
conducted our audits with the objective to express an opinion on the financial
statements referred to first paragraph. The statement of cash flow, presented in
order to offer supplementary information about QUALYTÊXTIL S.A., is not
required as part of the mandatory financial statements by the accounting
procedures adopted in Brazil. The statement of cash flow regarding the four
month period ended April 30, 2008 and the year ended December 31, 2007 was
examined under the same auditing procedures described in the second paragraph,
and in our opinion is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    Exhibit
10.23

     

    QUALYTÊXTIL
S.A.

    A
free translation of the original in Portuguese relating to the Financial
Statements prepared in

    accordance
with the requirements of General Accepted Accounting Principles in
Brazil

    Independent
Auditors’ Report

    as of
April 30, 2008 and December 31st,
2007

    2

    
      
        

      

    

    

    5.           As
described on note no. 6, the Company based on their legal advisors and
accounting experts, initiate at 2006 a judicial demand against tax authorities,
aiming the recoverance of PIS and Cofins (Social contributions) paid over ICMS
(Value Added Tax) from 2002 to 2006.  Based on this understanding, the
Company accounted for, at December 31, 2006,  tax recoverable as
long-term assets, of amount of R$ 688,145.  The related credit entries
were accounted for as other operational revenues (Statement of loss – current
year) on amount of R$ 47,338 and on Shareholders’ equity on amount of R$329,811
as prior year adjustments.  These credits are net of the judicial
demands fees.  Consequently, the result and Shareholders’ equity of
the four month period and year ended as of April 2008 and December 31, 2007,
were increased of R$46,086 (R$150,811 at 2007) and R$526,708 (R$480,622 at
2007), respectively.

    

    Rio de
Janeiro, May 05, 2008.

    

    /s/ ACAL CONSULTORIA E AUDITORIA
S/S

    CRC
- RJ – 1144

    

    Gelson
José Amaro - Partner in Charge

    CRC-RJ -
049.669/O-4 – AccountantExhibit
10.24

      

      Lakeland
Industries, Inc.

      UNAUDITED
CONDENSED COMBINED PRO FORMA FINANCIAL

      STATEMENTS

       

      The statements contained in this
section may be deemed to be forward-looking statements within the meaning of
Section 21E of the Securities Exchange Act of 1934, as amended, and
Section 27A of the Securities Act of 1933, as amended. Such statements are
intended to be covered by the safe harbor to “forward-looking statements”
provided by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are typically identified by the words “believe”,
“expect”, “anticipate”, “intend”, “estimate” and similar expressions. These
forward-looking statements are based largely on management’s expectations and
are subject to a number of uncertainties. Actual results could differ materially
from these forward-looking statements. Neither Lakeland nor Qualytextil
undertakes any obligation to update publicly or revise any forward-looking
statements.

       

      The
unaudited condensed combined pro forma statements of income are presented to
give effect to the acquisition of Qualytextil as if it had occurred on
February 1, 2007. The unaudited condensed combined pro forma balance sheet
is presented to give effect to the acquisition of Qualytextil as if it had
occurred on April 30, 2008. This pro forma information is based on, and should
be read in conjunction with, the historical financial statements of Lakeland for the
year ended January 31, 2008, included in our Annual Report on Form 10-K
filed on April 14, 2008, and the historical financial statements of Qualytextil
for the year ended December 31, 2007 and the three months ended April 30,
2008, which are included elsewhere in this Form 8-K/A. We have not adjusted the
historical financial statements for the year ended December 31, 2007 or January
31, 2008 of either Lakeland or Qualytextil for any costs recognized during the
year that may be considered to be nonrecurring.

       

      The
unaudited condensed combined pro forma statement of income for the year ended
January 31, 2008, combines information from the audited historical consolidated
statement of income of Lakeland for the year ended January 31, 2008, and the
U.S. GAAP historical consolidated income statement information of Qualytextil
for the year ended December 31, 2007. The unaudited condensed combined pro
forma balance sheet combines information from the unaudited historical
consolidated balance sheet of Lakeland as of April 30, 2008 and U.S. GAAP
historical consolidated balance sheet information of Qualytextil as of April 30,
2008.

      

      All
unaudited interim financial statements furnished herein reflect all adjustments
which are, in the opinion of management, necessary to present a fair statement
of the results for the interim periods presented. All such adjustments are of a
normal and recurring nature.

      

      The
results for the three months ended April 30, 2008 for Qualytextil was
significantly impacted by a strike of customs workers in Brazil which began in
mid-March 2008 and ended in mid-May 2008, and affected virtually all imports and
exports in Brazil. Qualytextil was impacted by this strike in that shipments of
certain raw materials imported into Brazil were blocked and thus there were many
orders which could not be completed. Most of such sales have been completed
subsequently. The results of Qualytextil for the three month period from
February to April 2008, accordingly, are not representative of its results for a
full fiscal year or for normal results for this period.

      

      The
historical U.S. GAAP Qualytextil balance sheet information included in the
unaudited condensed combined pro forma financial statements was derived from
Qualytextil’s audited balance sheet as of April 30, 2008 prepared in accordance
with generally accepted accounting principles adopted in Brazil, based on the
Corporation Law, and the accounting procedures issued by CVM – Comissão de
Valores Mobiliários (Brazilian Exchange Commission) and IBRACON – Instituto dos
Auditores Independentes do Brasil (the Brazilian Independent Auditors
Institute). On December 28, 2007, Brazil enacted the law 11,638/07 which changed
several aspects of Law 6,404 (Publicity Traded Company) effective beginning in
2008, in order to adjust accounting practices adopted in Brazil to the
International Financial Reporting Standards (IFRS). None of the financial
statements contained herein have been prepared in compliance with IFRS. The
historical balance sheet information for assets and liabilities was converted to
U.S. GAAP and translated into U.S. dollars using an exchange rate 1.6872BRL =
US$1.00 at April 30, 2008. Certain amounts in the Qualytextil historical balance
sheet information were reclassified to be consistent with Lakeland’s balance
sheet presentation. The historical U.S. GAAP Qualytextil consolidated income
statement information included in the unaudited condensed combined pro forma
financial statements was derived from Qualytextil’s audited consolidated income
statement for the year ended December 31, 2007 and the unaudited three
months ended April 30, 2008, prepared in accordance with generally accepted
accounting principles adopted in Brazil, as detailed above. The historical
income statement information was converted to U.S. GAAP and translated into U.S.
dollars using an exchange rate of 1.9472BRL = U.S. $1.00 for the year ended
December 31, 2007 and 1.71288BRL = US$1.00  for the period ended April
30, 2008, respectively. These rates represent the average monthly exchange
rates. Certain amounts in the Qualytextil historical income statement
information were reclassified to be consistent with Lakeland’s income statement
presentation. Reconciliations of equity as of December 31, 2007 and net
income for the year ended December 31, 2007 between Brazilian GAAP and
U.S. GAAP are included in an exhibit included elsewhere in this Current
Report on Form 8-K/A.

      
        
           

        

        
          
          

          
            

          

        

        
           

        

      

       

      The
allocation of the preliminary purchase price as reflected in these condensed
combined pro forma financial statements has been based upon the total initial
purchase price paid to the sellers of Qualytextil by Lakeland and preliminary
estimates of the fair value of the Qualytextil assets acquired and liabilities
assumed as of the date of the acquisition. Management is currently assessing the
fair values of tangible and intangible assets acquired and liabilities assumed.
This preliminary allocation of the purchase price is dependent upon certain
estimates and assumptions. The fair value estimates for the purchase price
allocation are preliminary and have been made solely for the purpose of
developing such pro forma condensed combined financial statements.

       

      The
unaudited condensed combined pro forma financial statements were prepared using
the assumptions described below and in the related notes. The historical
financial information has been adjusted to give effect to pro forma events that
are 1) directly attributable to the acquisition, 2) factually supportable, and
3) with respect to the statement of income, expected to have a continuing impact
on the combined results. The unaudited condensed combined pro forma financial
statements do not include liabilities resulting from acquisition planning, nor
do they include certain cost savings or operating synergies (or costs associated
with realizing such savings or synergies) that may result from the acquisition.
Amounts preliminarily allocated to goodwill may significantly increase or
decrease and amounts allocated to intangible assets with finite lives may
increase or decrease significantly, which could result in a material increase or
decrease in amortization expense related to acquired intangible assets from that
which is estimated in these unaudited condensed combined pro forma financial
statements. Therefore, the actual amounts recorded may differ materially from
the information presented in the accompanying unaudited condensed combined pro
forma financial statements.

      

      The
unaudited condensed combined pro forma financial statements are provided for
illustrative purposes only. They do not purport to represent what Lakeland’s
consolidated results of operations and financial position would have been had
the transaction actually occurred as of the dates indicated, and they do not
purport to project Lakeland’s future consolidated results of operations or
financial position.

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