Document:

Exhibit

Exhibit 10.2.1

FIRST AMENDMENT TO THE AMENDED & RESTATED OFFICE AND WAREHOUSE LEASE
THIS FIRST AMENDMENT TO THE AMENDED & RESTATED OFFICE AND WAREHOUSE LEASE (this “Amendment”) is made and entered into as of December 21, 2017, by and between SHAKED HOLDINGS, LLC, a California limited liability company (“Landlord”), and WORLD OF JEANS AND TOPS, INC. a California corporation (“Tenant”).
RECITALS
		
	A.
	Landlord and Tenant are parties to that certain Amended & Restated Office and Warehouse Lease dated September 21, 2007, (the “Lease”). Pursuant to the Lease, Landlord has leased to Tenant space currently containing approximately 172,324 rentable square feet (the “Premises”) in the building located at 10 & 12 Whatney, Irvine, California (the “Building”).

		
	B.
	The Lease by its terms shall expire on December 31, 2017 (“Prior Termination Date”), and the parties desire to extend the Term of the Lease, all on the following terms and conditions.

NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Landlord and Tenant agree as follows:
		
	1.
	Extension.  The Term of the Lease is hereby extended for a period of ten (10) years commencing January 1, 2018, (“Extended Commencement Date”) and shall expire on December 31, 2027 (“Extended Termination Date”).  That portion of the Term commencing the day immediately following the Prior Termination Date  and ending on the Extended Termination Date shall be referred to herein as the “Extended Term”.

		
	2.
	Minimum Monthly Rent.  Notwithstanding anything in the Lease to the contrary, effective as of January 1, 2018, the of Base Rent payable with respect to the Premises for the Extended Term shall be $155,091.60, and shall increase by 3% annually.  All such Base Rent shall be payable by Tenant in accordance with the terms of the Lease, as amended hereby.

		
	3.
	Additional Security Deposit.  No additional Security Deposit shall be required in connection with this Amendment.

		
	4.
	Additional Rental.  For the period commencing on the Extended Commencement Date and ending on the Extended Termination Date, Tenant shall pay all additional rent payable under the Lease, including Tenant’s Operating Expenses in accordance with the terms of the Lease, as amended hereby.

		
	5.
	Condition of Premises.  Tenant is in possession of the Premises and accepts the same “as is” without any agreements, representations, understandings or obligations on the part of Landlord to perform any alterations, repairs or improvements, except as may be expressly provided otherwise in this Amendment or the Original Lease.  

		
	6.
	Other Pertinent Provisions.  Landlord and Tenant agree that, effective as of the Extended Commencement Date, the Lease shall be amended in the following additional respects:

		
	6.1
	Option to Extend (Lease, Section 1.7 Exhibit B).  All references to Options and Exhibit B are hereby deleted in their entireties.

		
	6.2
	Guarantor(s) (Lease, Section 1.12).  None. However, if Tenant is no longer a Publicly Traded company, Tenant shall be required to provide annual audited financial statements.

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	6.3
	Utilities (Lease, Section 7).  In addition to the terms outlined in Paragraph 7, Tenant shall be responsible for all utility costs. Landlord reserves the right to contract for service from a different Electric Service Provider or Alternative Service Provider including the right to install solar power. The Cost to the Tenant of such Alternative Service Provider shall not exceed the cost of the present Electric Service Provider.

		
	6.4
	Tenant’s Insurance (Lease, Section 10).  Paragraph 10 of the Lease shall be modified as follows:  Tenant shall be required to maintain Commercial Liability Insurance of $2,000,000 per occurrence (Bodily Injury, Personal Injury, Death & Property Damage Liability), with an aggregate of $4,000,000 Workers Comp Insurance of $1,000,000 or greater, Commercial Automobile Liability & Property Insurance of no less than $1,000,000 per occurrence and in the aggregate, Business Interruption Insurance of $5,000,000 Rental Value Insurance in this value of 12 months Minimum Monthly Rental, Plate Glass Insurance, Earthquake Insurance, and Fire and Sprinkler Damage coverage. Tenant will insure leasehold improvements, trade fixtures, merchandise, and personal property in an amount not less than full replacement value. Insurance Companies General Policy Holders rating of not less than A- and Financial ratings not less than Class VII (7) as rated in the most current available best’s key rating guide. Landlord has not liability for an of Tenants covered or non-covered items.

		
	6.5
	Repairs and Maintenance (Lease, Section 11.1(b)).  In addition to the terms outlined in Paragraphs 11.1(b), Tenant shall use Landlord’s designated landscapers or shall have the right to approve landscapers recommended by Tenant.

		
	6.5.1
	Repairs and Maintenance (Lease, Section 11.1(c)).  Paragraph 11.1(c) is hereby deleted in its entirety. 

		
	6.6
	Signs and Other Displays (Lease, Section 12.2).  In addition to the terms outlined in Paragraph 12.2, Tenant shall have the right to install signage in compliance with applicable City ordinances and Landlord’s standard sign criteria. Landlord may allocate monument sign panels for Tenant’s use, in locations designated by Landlord. Tenant shall be responsible for the cost of installation, maintenance, and removal at the end of the lease.

		
	7.
	Miscellaneous.

		
	7.1
	This Amendment sets forth the entire agreement between the parties with respect to the matters set forth herein.  There have been no additional oral or written representations or agreements.  Under no circumstances shall Tenant be entitled to any rent abatement, improvement allowance, leasehold improvements, or other work to the Premises, or any similar economic incentives that may have been provided Tenant in connection with entering into the Lease, unless specifically set forth in this Amendment.

		
	7.2
	Except as herein modified or amended, the provisions, conditions and terms of the Lease shall remain unchanged and in full force and effect.  In the case of any inconsistency between the provisions of the Lease and this Amendment, the provisions of this Amendment shall govern and control.  The capitalized terms used in this Amendment shall have the same definitions as set forth in the Lease to the extent that such capitalized terms are defined therein and not redefined in this Amendment.

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	7.3
	Submission of this Amendment by Landlord is not an offer to enter into this Amendment but rather is a solicitation for such an offer by Tenant.  Landlord shall not be bound by this Amendment until Landlord has executed and delivered the same to Tenant.

		
	7.4
	Tenant hereby represents to Landlord that Tenant has dealt with no broker in connection with this Amendment.  Tenant agrees to indemnify and hold Landlord its members, principals, beneficiaries, partners, officers, directors, employees, mortgagee(s) and agents, and the respective principals and members of any such agents harmless from all claims of any brokers claiming to have represented Tenant in connection with this Amendment.  

		
	7.5
	Each signatory of this Amendment represents hereby that he or she has the authority to execute and deliver the same on behalf of the party hereto for which such signatory is acting.  Tenant hereby represents and warrants that neither Tenant, nor any persons or entities holding any legal or beneficial interest whatsoever in Tenant, are (i) the target of any sanctions program that is established by Executive Order of the President or published by the Office of Foreign Assets Control, U.S. Department of the Treasury (“OFAC”); (ii) designated by the President or OFAC pursuant to the Trading with the Enemy Act, 50 U.S.C. App.  § 5, the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701-06, the Patriot Act, Public Law 107-56, Executive Order 13224 (September 23, 2001) or any Executive Order of the President issued pursuant to such statutes; or (iii) named on the following list that is published by OFAC: “List of Specially Designated Nationals and Blocked Persons.” If the foregoing representation is untrue at any time during the Second Extended Term, a Default under the Lease will be deemed to have occurred, without the necessity of notice to Tenant.

		
	7.6
	Redress for any claim against Landlord under the Lease and this Amendment shall be limited to and enforceable only against and to the extent of Landlord’s interest in the Building.  The obligations of Landlord under the Lease are not intended to and shall not be personally binding on, nor shall any resort be had to the private properties of, any of its trustees or board of directors and officers, as the case may be, its investment manager, the general partners thereof, or any beneficiaries, stockholders, employees, or agents of Landlord or the investment manager, and in no case shall Landlord be liable to Tenant hereunder for any lost profits, damage to business, or any form of special, indirect or consequential damage.

[SIGNATURE PAGE FOLLOWS]
IN WITNESS WHEREOF, Landlord and Tenant have entered into and executed this Amendment as of the date first written above.

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	LANDLORD:
	TENANT:

	 
	 

	SHAKED HOLDINGS, LLC 
a California limited liability company

	WORLD OF JEANS & TOPS, INC.
a California corporation

	By: _/s/ Hezy Shaked__________________
	By: _/s/ Michael Henry______________

	 
	 

	Name:  __Hezy Shaked_________________
	Name:  _Michael Henry______________

	 
	 

	Title:  ___Manager___________________________
	Title:  ___Tilly’s, Inc._CFO___________

	 
	 

	Dated: __December 21, 2017
	Dated: ___December 21, 2017

	 
	 

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[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 {2300-0003/00226762;}    A-1
InitialsExhibit

Exhibit 10.16.4

AMENDMENT NO. 4 TO AMENDED AND RESTATED 
CREDIT AGREEMENT AND LIMITED WAIVER
THIS AMENDMENT NO. 4 TO AMENDED AND RESTATED CREDIT AGREEMENT AND LIMITED WAIVER (this “Amendment”), is made on April 13, 2017, by and among WORLD OF JEANS & TOPS, a California corporation (“Borrower”), and WELLS FARGO BANK, NATIONAL ASSOCIATION (“Bank”).
RECITALS
A.     Bank and Borrower entered into that certain Amended and Restated Credit Agreement dated as of May 3, 2012, as amended by that certain Amendment No. 1 to Amended and Restated Credit Agreement and Note, dated as of February 3, 2014, that certain Amendment No. 2 to Amended and Restated Credit Agreement, dated as of July 9, 2015, and that certain Amendment No. 3 to Amended and Restated Credit Agreement, dated as of January 26, 2017 (as otherwise amended, amended and restated, or otherwise modified from time to time to the date hereof, the “Agreement”), pursuant to which Bank agreed to extend credit to Borrower on the terms and conditions set forth in such Agreement.
B.    Borrower has requested that Bank make certain modifications to the Agreement as specified herein and Bank has agreed to such requests and has agreed to waive Borrower’s compliance with certain terms of the Agreement related to such modification requests, all subject to execution of this Amendment and the satisfaction of the conditions specified herein. 
C.     Borrower and Bank now desire to execute this Amendment to set forth their agreements with respect to the modifications to the Agreement.
Accordingly, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, each of Bank and Borrower hereby agrees as follows:
SECTION 1.    Definitions.  Capitalized terms used in this Amendment and not defined herein are defined in the Agreement.
SECTION 2.    Amendments to Agreement.  The Agreement is hereby amended as follows:
A.    Cash, Cash Equivalents, Marketable Securities and Minimum Inventory.  Subsection 1.1(c) of the Agreement is hereby amended and restated in its entirety as follows:
“(c)    Cash, Cash Equivalents, Marketable Securities and Minimum Inventory. Bank shall not be required to make an advance to Borrower under the Line of Credit unless Borrower has demonstrated that the sum of (i) Borrower’s cash and other cash equivalents and certain marketable securities acceptable to Bank in its sole discretion, and (ii) the aggregate value (with the value determined on a cost basis) of Borrower’s eligible inventory (exclusive of work in process and inventory which is obsolete, unsalable or damaged) equals at least Fifty Million Dollars ($50,000,000).”

B.    Financial Condition.  Section 4.9 of the Agreement is hereby amended by deleting subsection (c) thereof in its entirety.
SECTION 3.    Limited Waiver.  
A.    Subject to the terms and conditions set forth herein and in reliance on the representations and warranties of Borrower contained herein, Bank hereby waives any Default or Event of Default by Borrower that occurred prior to the effectiveness of this Amendment, and which, had this Amendment been in effect at such time, would not have constituted a Default or Event of Default.
B.    Without limiting the generality of the provisions of the Agreement, the waiver set forth herein shall be limited precisely as written and relate solely to the changes to the Agreement effectuated by this Amendment, and nothing in this Amendment shall be deemed to:  (i) constitute a waiver of compliance by Borrower of the Agreement in any other instance, or any other term, provision or condition of the Agreement or any other instrument or agreement referred to therein; or (ii) prejudice any right or remedy that Bank may now have (except to the extent such right or remedy was based upon existing defaults that will not exist after giving effect to this Amendment) or may have in the future under or in connection with the Agreement or any other instrument or agreement referred to therein.
C.    Except as expressly set forth herein, the terms, provisions and conditions of the Agreement and the other Loan Documents shall remain in full force and effect and in all other respects are hereby ratified and confirmed.
SECTION 4.    Representations and Warranties of Borrower.  Borrower represents and warrants to Bank that:
		
	(a)
	It has the power and authority to enter into and to perform this Amendment, to execute and deliver all documents relating to this Amendment, and to incur the obligations provided for in this Amendment, all of which have been duly authorized and approved in accordance with Borrower’s organizational documents;

		
	(b)
	This Amendment, together with all documents executed pursuant hereto, shall constitute when executed the valid and legally binding obligations of Borrower in accordance with their respective terms, except as may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and by general equitable principles;

		
	(c)
	All representations and warranties contained in the Agreement and the other Loan Documents are true and correct with the same effect as though such representations and warranties had been made on and as of the Effective Date (except to the extent that such representations and warranties expressly relate 

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solely to an earlier date (in which case such representations and warranties are true and accurate on and as of such earlier date));
		
	(d)
	Borrower’s obligations under the Loan Documents remain valid and enforceable obligations, and the execution and delivery of this Amendment and the other documents executed in connection herewith shall not be construed as a novation of the Agreement or any of the other Loan Documents;

		
	(e)
	As of the Effective Date, to Borrower’s knowledge, it has no offsets or defenses against the payment of any of the obligations under the Loan Documents;

		
	(f)
	No law, regulation, order, judgment or decree of any Governmental Authority exists, and no action, suit, investigation, litigation or proceeding is pending or threatened in any court or before any arbitrator or Governmental Authority, which (i) purports to enjoin, prohibit, restrain or otherwise affect (A) the making of the financings hereunder or (B) the consummation of the transactions contemplated pursuant to the terms of this Amendment, the Agreement, the Note, or the other Loan Documents or (ii) has or would reasonably be expected to have a material adverse effect on Borrower; and

		
	(g)
	After giving effect to the terms of this Amendment, no Default or Event of Default exists or has occurred and is continuing on and as of the Effective Date and after giving effect hereto.

SECTION 5.    General Release. In consideration of the benefits provided to Borrower under the terms and provisions hereof, each of Borrower and, by execution of the acknowledgement attached hereto, Guarantor,  hereby agree as follows (“General Release”):
A.    Each of Borrower and Guarantor, for itself and on behalf of its respective successors and assigns, do hereby release, acquit and forever discharge Bank, all of Bank's predecessors in interest, and all of Bank's past and present officers, directors, attorneys, affiliates, employees and agents, of and from any and all claims, demands, obligations, liabilities, indebtedness, breaches of contract, breaches of duty or of any relationship, acts, omissions, misfeasance, malfeasance, causes of action, defenses, offsets, debts, sums of money, accounts, compensation, contracts, controversies, promises, damages, costs, losses and expenses, of every type, kind, nature, description or character, whether known or unknown, suspected or unsuspected, liquidated or unliquidated, each as though fully set forth herein at length (each, a “Released Claim” and collectively, the “Released Claims”), that Borrower or Guarantor now has or may acquire as of the later of:  (i) the date this Amendment becomes effective through the satisfaction (or waiver by Bank) of all conditions hereto; or (ii) the date that Borrower and Guarantor have executed and delivered this Amendment to Bank (hereafter, the “Release Date”), including without limitation, those Released Claims in any way arising out of, connected with or related to any and all prior credit accommodations, if any, provided by Bank, or any of Bank's predecessors in interest, 

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to Borrower or Guarantor, and any agreements, notes or documents of any kind related thereto or the transactions contemplated thereby or hereby, or any other agreement or document referred to herein or therein.
B.    Each of Borrower and Guarantor hereby acknowledge, represent and warrant to Bank as follows:
		
	(a)
	Borrower and Guarantor understand the meaning and effect of Section 1542 of the California Civil Code which provides:

“Section 1542.  GENERAL RELEASE; EXTENT.  A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.”
		
	(b)
	With regard to Section 1542 of the California Civil Code, Borrower and Guarantor agree to assume the risk of any and all unknown, unanticipated or misunderstood defenses and Released Claims which are released by the provisions of this General Release in favor of Bank, and Borrower and Guarantor hereby waive and release all rights and benefits which they might otherwise have under Section 1542 of the California Civil Code with regard to the release of such unknown, unanticipated or misunderstood defenses and Released Claims.

C.    Each person signing below on behalf of Borrower or Guarantor acknowledges that he or she has read each of the provisions of this General Release.  Each such person fully understands that this General Release has important legal consequences, and each such person realizes that they are releasing any and all Released Claims that Borrower or Guarantor may have as of the Release Date.  Borrower and Guarantor hereunder hereby acknowledge that each of them has had an opportunity to obtain a lawyer's advice concerning the legal consequences of each of the provisions of this General Release.
D.    Borrower and Guarantor hereby specifically acknowledge and agree that:  (i) none of the provisions of this General Release shall be construed as or constitute an admission of any liability on the part of Bank; (ii) the provisions of this General Release shall constitute an absolute bar to any Released Claim of any kind, whether any such Released Claim is based on contract, tort, warranty, mistake or any other theory, whether legal, statutory or equitable; and (iii) any attempt to assert a Released Claim barred by the provisions of this General Release shall subject Borrower and Guarantor to the provisions of applicable law setting forth the remedies for the bringing of groundless, frivolous or baseless claims or causes of action.

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SECTION 6.    Miscellaneous.
A.    Reference to Agreement. Upon the effectiveness of this Amendment, each reference in the Agreement to “this Agreement” and each reference in the other Loan Documents to the Agreement, shall mean and be a reference to the Agreement as amended hereby.
B.    No Waiver. The execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of Bank under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents.
C.    Governing Law. This Amendment shall be governed by and construed in accordance with the laws of the State of California.
D.    Counterparts; Electronic Signatures. This Amendment may be executed in any number of counterparts and by different parties to this Amendment on separate counterparts, each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute but one and the same agreement. Any signature delivered by a party by facsimile or other electronic transmission shall be deemed to be an original signature to this Amendment.
E.    Entire Agreement. This Amendment and the Note constitute the entire agreement among the parties with respect to the subject matter hereof, and supersedes all prior agreements, written or oral, concerning said subject matter.
[SIGNATURE PAGES FOLLOW]

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IN WITNESS WHEREOF, the parties hereto have caused this Amendment No. 4 to Amended and Restated Credit Agreement and Limited Waiver on the day and year first written above.

	
			
	WORLD OF JEANS & TOPS

By:    /s/ Michael L. Henry        
Name:     Michael L. Henry        
Title:     CFO                
	 
	WELLS FARGO BANK,  NATIONAL ASSOCIATION

By:    /s/ Mark Magdaleno        
Name:     Mark Magdaleno        
Title: Sr. VP, Relationship Manager

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

[Signature page to Amendment No. 4 to Amended and Restated Credit Agreement and Limited Waiver]

ACKNOWLEDGMENT OF GUARANTOR

The undersigned (“Guarantor”) hereby acknowledge and agree that the Guarantor is party to that certain Continuing Guaranty dated May 3, 2012 (as amended, amended and restated otherwise modified from time to time, the “Guaranty”) in connection with that certain Amended and Restated Credit Agreement between World of Jeans & Tops, a California corporation (“Borrower”) and Wells Fargo Bank, National Association (“Bank”), dated as of May 3, 2012 (as amended, amended and restated otherwise modified from time to time, the “Credit Agreement”).

Guarantor further acknowledges and agrees that the Credit Agreement is being amended by that certain Amendment No. 4 to Amended and Restated Credit Agreement and Limited Waiver, dated the date hereof (“Amendment No. 4”).  

     Guarantor has examined the Credit Agreement and Amendment No. 4 and expressly approves the terms and conditions of the Credit Agreement and Amendment No. 4.  Guarantor further acknowledges and agrees that its obligations, liabilities and responsibilities under the Guaranty shall continue in full force and effect, and the obligations, liabilities and responsibilities of the Guarantor under the Guaranty are hereby ratified, approved and affirmed by the undersigned and incorporated herein in their entirety by this reference.  

IN WITNESS WHEREOF, the undersigned Guarantor has executed this Acknowledgement on April 13, 2017, with the intent to be legally bound hereby.

TILLY’S, INC.

By:    /s/ Michael L. Henry    
Name: Michael L. Henry    
Title: CFO

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