Document:

Exhibit

10.8

 

 

August 13, 2002

 

 

 

Florists’ Transworld

Delivery, Inc.

3113 Woodcreek Drive

Downers Grove, Illinois  60515

 

	

  Attention:

  	

   

  	

  Carrie Wolfe

  
	

   

  	

   

  	

  Chief Financial

  Officer, Treasurer

  
	

   

  	

   

  	

   

  
	

  Re:

  	

   

  	

  Waiver Letter

  
	

   

  	

   

  	

   

  

Ladies and Gentlemen:

We refer to that certain Credit Agreement (as amended, the “Credit

Agreement”) dated as of September 27, 2001 among you (the “Borrower”),

IOS Brands Corporation (the “Parent”), certain Subsidiaries, the

Lenders and Harris Trust and Savings Bank, as administrative agent (the “Agent”).  All capitalized terms used herein without

definition shall have the same meanings as such terms have in the Credit

Agreement.  We specifically refer to

Section 8.22 of the Credit Agreement, the Total Funded Debt/EBITDA Ratio.  Notwithstanding anything contained in the

Credit Agreement to the contrary, by our execution below, we hereby

specifically waive any violation of Section 8.22, and any Default or Event of

Default which would otherwise be caused thereby, for the fiscal quarter of the

Parent ended on June 30, 2002, provided that it is a condition to the

effectiveness of this waiver that (i) the actual Total Funded Debt/EBITDA Ratio

for the fiscal quarter of the Parent ended June 30, 2002 shall not have been

greater than 3.80 to 1.0, and (ii) the actual amount of Total Funded Debt of

the Parent and the Subsidiaries as of the date of the execution hereof by the

Borrower shall have been reduced to an amount not greater than $35,750,000.

Except as

expressly waived herein, the Credit Agreement shall continue to be in full

force and effect in accordance with its original terms and conditions.

 

	

   

  	

  Very truly yours,

  
	

   

  	

   

  
	

   

  	

  Harris

  Trust and Savings Bank, in its individual

  capacity as a Lender and as Administrative Agent

  
	

   

  	

   

  
	

   

  	

  By

  	

  /s/ KIRBY M. LAW

  
	

   

  	

   

  	

  Name

  	

  Kirby M. Law

  
	

   

  	

   

  	

  Title

  	

  Vice President

  
	

   

  	

   

  	

   

  	

   

  

 

 

 

 

	

   

  	

   

  	

   

  	

   

  
	

   

  	

  U.S. Bank National Association

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

  By

  	

  /s/ R. MICHAEL NEWTON

  
	

   

  	

   

  	

  Name

  	

  R. Michael Newton

  
	

   

  	

   

  	

  Title

  	

  Vice President

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

  KeyBank National Association

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

  By

  	

  /s/ THOMAS J. PURCELL

  
	

   

  	

   

  	

  Name

  	

  Thomas J. Purcell

  
	

   

  	

   

  	

  Title

  	

  Senior Vice President

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

  Standard Federal Bank,

  N.A., f/k/a Michigan

  National Bank

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

  By

  	

  /s/ ANNETTE GORDON

  
	

   

  	

   

  	

  Name

  	

  Annette Gordon

  
	

   

  	

   

  	

  Title

  	

  First Vice President

  
	

   

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  
					

 

 

2

 

 

Agreed to and accepted as

of the

date first above written:

 

Borrower

 

Florists’ Transworld Delivery, Inc.

 

 

	

  By

  	

  /s/ CARRIE WOLFE

  	

   

  
	

   

  	

  Name

  	

  Carrie Wolfe

  	

   

  
	

   

  	

  Title

  	

  CFO & Treasurer

  	

   

  

 

Guarantors

 

IOS Brands Corporation

 

 

	

  By

  	

  /s/ CARRIE WOLFE

  	

   

  
	

   

  	

  Name

  	

  Carrie Wolfe

  	

   

  
	

   

  	

  Title

  	

  CFO & Treasurer

  	

   

  

 

 

Value Network Service, Inc.

 

 

	

  By

  	

  /s/ ROBERT NORTON

  	

   

  
	

   

  	

  Name

  	

  Robert Norton

  	

   

  
	

   

  	

  Title

  	

  CEO & President

  	

   

  

 

 

FTD Holdings, Incorporated

 

 

	

  By

  	

  /s/ ROBERT NORTON

  	

   

  
	

   

  	

  Name

  	

  Robert Norton

  	

   

  
	

   

  	

  Title

  	

  CEO & President

  	

   

  

 

 

3

 

 

FTD

International Corporation

 

 

	

  By

  	

  /s/ ROBERT NORTON

  	

   

  
	

   

  	

  Name

  	

  Robert Norton

  	

   

  
	

   

  	

  Title

  	

  CEO & President

  	

   

  

 

 

4Exhibit

10.22

 

 

FLORISTS’ TRANSWORLD DELIVERY, INC.

3113 Woodcreek

Drive

Downers Grove, Illinois 60515

 

June 28, 2002

 

FTD.COM INC.

3113 Woodcreek Drive

Downers Grove, Illinois 60515

 

Carrie Wolfe

3113 Woodcreek Drive

Downers Grove, Illinois 60515

 

                                Re:          Modification of Employment

Arrangements

 

Dear Ladies and Gentlemen:

 

                                This

letter agreement (this “Agreement”) sets forth the agreement of

Florists’ Transworld Delivery, Inc., a Michigan corporation (the “Assignee”),

FTD.COM INC., a Delaware corporation (the “Assignor”), and Carrie Wolfe

(the “Executive” and collectively with the Assignee and the Assignor,

the “Parties”) relating to the assignment and assumption of the

Executive’s employment from the Assignor to the Assignee.

 

                                Reference

is made to (i) that certain letter agreement, dated as of June 14, 2001,

between the Assignor and the Executive (the “Letter Agreement”), (ii)

that certain confidentiality and non-disclosure agreement, dated as of June 14,

2001, between the Assignor and the Executive (the “Confidentiality Agreement”)

and (iii) that certain restricted shares agreement, dated as of May 17, 2000,

between the Assignor and the Executive that certain restricted shares

agreement, dated as of June 9, 2000, between the Assignor and the Executive

(each, an “Equity Award Agreement”).

 

                                Subject to the modifications thereto set

forth in this Agreement, effective as of June 28, 2002 (the “Assignment Date”):

(i) the Assignor hereby assigns all of its rights and obligations arising on

and after the Assignment Date under the Letter Agreement and the

Confidentiality Agreement to the Assignee; (ii) the Assignee hereby assumes all

of the rights and obligations of the Assignor arising on and after the

Assignment Date under the Letter Agreement and the Confidentiality Agreement;

and (iii) the Executive hereby consents and agrees to such assignment and

assumption.

 

                                The Parties agree that, as of the

Assignment Date, the Executive shall no longer be employed by the

Assignor.  Notwithstanding the

foregoing, each of the Parties hereby agrees that the assignment and assumption

described in the preceding paragraph shall not be deemed to be a  termination

of the Executive’s employment by the Assignor for any purpose whatsoever under

the Letter Agreement, the Confidentiality Agreement or either Equity Award

Agreement 

 

 

 

 

(including, for purposes hereof, the Assignor’s 1999 Equity Incentive

Plan).  Furthermore, the assignment and

assumption described above shall not adversely affect the timing of the vesting

of restricted shares under either Equity Award Agreement.  The Executive agrees and acknowledges that

she is not entitled to and shall not receive any severance or other benefits in

connection with the assignment and assumption described above.

 

                                Each

of the Parties hereby agrees that as of the Assignment Date, all references in

the Letter Agreement to “FTD.COM INC.” and “FTD.COM” shall be amended to refer

instead to “Florists’ Transworld Delivery, Inc.”; provided, however,

that all references in the Letter Agreement to “FTD.COM’s 1999 Equity Incentive

Plan” shall remain unchanged by the execution of this Agreement.

 

                                Each

of the Parties hereby agrees that as of the Assignment Date: (i) all references

in the Confidentiality Agreement to “FTD.COM INC.” and “the Company” shall be

amended to refer instead to “Florists’ Transworld Delivery, Inc.”; (ii) the

phrase “relating to the Company, Florists’ Transworld Delivery, Inc., a

Michigan corporation and the direct parent corporation of the Company (‘FTDI’),

or IOS Brands Corporation, a Delaware corporation and the indirect parent

corporation of the Company (‘IOS’)” in Section 1(b) of the Confidentiality

Agreement shall be amended and restated to read “relating to the Company or IOS

Brands Corporation, a Delaware corporation and the direct parent corporation of

the Company (‘IOS’)”; and (iii) all references in the Confidentiality Agreement

to “FTDI” and “FTDI’s” shall be deleted.

 

                                Each

of the Parties hereby agrees that as of the Assignment Date, all references in

each Equity Award Agreement to “the Company” and “FTD.COM Inc.” shall be

amended to refer instead to “Florists’ Transworld Delivery, Inc.”; provided,

however, that all references in such Equity Award Agreement to  “FTD.COM’s 1999 Equity Incentive Plan” shall

remain unchanged by the execution of this Agreement.

 

                                The

Executive hereby acknowledges and agrees that pursuant to the Agreement and

Plan of Merger, dated as of March 3, 2002, among IOS Brands Corporation, a

Delaware corporation (“IOS”), the Assignee, Aroma Acquisition Corp., a

Delaware corporation, and the Assignee (the “Merger Agreement”), upon

consummation of the transactions contemplated thereby, each Equity Award

Agreement shall be assumed by IOS.

 

                                This

Agreement shall be governed by the internal laws of the State of Illinois,

without giving effect to any conflicts-of-law principles thereof.  Each of the Parties consents to the

jurisdiction and venue of any federal or state court located in the City of

Chicago, Illinois, and waive any objection thereto.  Any amendment or modification to this Agreement shall require the

written consent of each of the Parties. 

If any provision of this Agreement is partially or completely invalid or

unenforceable, then that provision shall only be ineffective to such extent of

its invalidity or unenforceability and the remainder of this Agreement shall be

unaffected thereby. In the event of any inconsistency between this Agreement

and the Letter Agreement, the Confidentiality Agreement or either Equity Award

Agreement, this Agreement shall govern. 

Any disputes or controversies relating to this Agreement shall be

settled by the arbitration procedures set forth in the Letter Agreement.

 

 

2

 

 

                                This

Agreement may be executed in any number of counterparts, all of which shall be

considered one and the same agreement, and shall become effective when one or

more counterparts have been signed by each of the Parties and delivered to the

other Parties.  A facsimile signature

page hereto shall be deemed to be an original signature page for all purposes

hereunder.

 

 

	

   

  	

   

  	

   

  
	

   

  	

  FLORISTS’

  TRANSWORLD DELIVERY, INC.

  
	

   

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

  By:

  	

  /s/ LARRY JOHNSON

  
	

   

  	

  Its:

  	

  Vice President, Human Resources

  
	

   

  	

   

  	

   

  

 

 

 

AGREED TO AND ACCEPTED as of the

date first written above:

 

EXECUTIVE

 

	

  By:

  	

  /s/ CARRIE WOLFE

  

 

FTD.COM

INC.

 

 

	

  By:

  	

  /s/ MICHAEL SOENEN

  
	

  Its:

  	

  President and CEO

  
	

   

  	

   

  

 

 

3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00043-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00043-of-00352.parquet"}]]