Document:

Exhibit 10.2

 

	
  

  	
  CONSULTING
  AGREEMENT

  

 

This
Consulting Agreement (the “Agreement”) is made effective as of May 16,
2005 (the “Effective Date”) and is between Washington Cardiovascular
Associates, LLC, a Maryland limited liability company (“WCA”), H. Bryan Brewer, Jr.,
M.D. (“Consultant”), and Lipid Sciences, Inc., a Delaware corporation (the
“Corporation”).

 

Whereas,
the Corporation desires to engage Consultant as a consultant to the Corporation
to serve as its Chief Scientific Director;

 

Whereas,
Consultant is the sole employee and 100% beneficial owner of WCA;

 

Whereas,
WCA desires to provide the services of Consultant to the Corporation as the
Corporation’s Chief Scientific Director;

 

Whereas,
WCA and the Corporation entered into a letter agreement dated May 16, 2005
confirming the provision of Consultant’s services to the Corporation as both
Chief Scientific Director and as a director on the Corporation’s Board of
Directors (the “Letter Agreement”);

 

Now,
therefore, in consideration of the mutual promises hereinafter set forth, WCA
and the Corporation agree as follows:

 

1.                                       SERVICES

 

WCA agrees to provide the
services of Consultant as the Corporation’s Chief Scientific Director.  These services will be performed at the
offices of Consultant.  Consultant shall
provide advisory services to the Corporation in the field of HDL therapy and
Viral Immunotherapy (the “Services”). 
The scope and duration of this Agreement may be changed or extended by
mutual agreement of the Corporation and WCA.

 

WCA agrees that Consultant’s
service as the Corporation’s Chief Scientific Director shall be a primary
professional activity of Consultant; provided, however, that WCA shall be
permitted to make Consultant’s services available to other companies in
accordance with Sections 6 and 8 below.

 

Consultant shall perform his
duties as the Corporation’s Chief Scientific Director under the direction of
the Corporation’s Chief Executive Officer and the Board of Directors.

 

2.                                       TERM

 

The term of this Agreement shall commence on the
Effective Date and expire on May 16, 2008 (the “Expiration Date”), but
shall automatically renew for a period commencing on the Expiration Date and
ending on the third anniversary of the Expiration Date unless either party
shall provide written notice to the other within the 30-day period prior to the
Expiration Date to the effect that this Agreement shall not be so renewed, in
which case this Agreement shall expire on the Expiration Date.  In the event that this Agreement shall
automatically be renewed as provided for in the immediately preceding sentence,
the term “Expiration Date” shall mean and be deemed to be the third anniversary
of the Expiration Date.  For purposes of
this Agreement, WCA and Consultant shall be deemed, collectively, to be one
party, such that notice by the Corporation to WCA or Consultant, as the case
may be, shall serve as notice to both WCA and Consultant.

 

 

3.                                       TERMINATION

 

WCA represents that it has advised the Corporation’s
Board of Directors of all outside activities of the Consultant relating to the
treatment of medical indications such as cardiovascular disease and viral
infections in which lipids play a key role and such other fields in which the
Corporation operates (collectively, the “Corporation’s Fields of Business”) as
of the date of execution of this Agreement. 
WCA agrees to promptly notify the Corporation’s Board of Directors of
any additional outside activities relating to the Corporation’s Fields of
Business undertaken by Consultant after the date of execution of this Agreement.  The Corporation’s Board of Directors, by a
majority vote, may determine whether any of such activities would conflict with
or be contrary to the interests of the Corporation.  In the event the Board of Directors
determines that any such activities conflict with or are contrary to the
interests of the Corporation, the Corporation shall notify Consultant, who
shall elect whether or not to terminate such activities within 30 days of
receipt of such notice.  In the event
Consultant elects not to terminate such activities, the Corporation may
terminate this Agreement without any further obligation.

 

In addition, the Corporation may terminate this
Agreement for Cause (as defined herein). 
For purposes of this Agreement, “Cause” shall mean:  (i) WCA’s or Consultant’s act of
dishonesty or fraud in connection with the performance of their respective
responsibilities to the Corporation with the intention that such act result in
WCA’s or Consultant’s substantial personal enrichment; (ii) WCA’s or
Consultant’s conviction of, or plea of nolo contendere to, a felony; (iii) WCA’s
or Consultant’s willful failure to perform their respective duties or
responsibilities; (iv) any material breach of this Agreement by WCA or
Consultant; (v) any breach of Sections 6 or 8 hereof by WCA or Consultant;
or (vi) WCA’s or Consultant’s violation or breach of any fiduciary or
contractual duty to the Corporation which results in material damage to the
Corporation or its business; provided that if any of the foregoing events is
capable of being cured, the Corporation will provide notice to WCA and
Consultant describing the nature of such event and WCA and Consultant will
thereafter have 30 days to cure such event.

 

In the event this Agreement is terminated by the
Corporation pursuant to this Section 3, Consultant’s outstanding stock
options in the Corporation (as provided in Section 4 hereto) shall cease
vesting on the date of termination and thereafter remain exercisable and expire
in accordance with the terms of the applicable award agreements.

 

WCA and Consultant may terminate this Agreement in
the event that: (i) the Corporation pursuant or within the meaning of any
Bankruptcy Law (as hereinafter defined): (A) commences a voluntary case; (B) consents
to the entry of an order for relief against it in an involuntary case; (C) consents
to the appointment of a custodian of it or for any substantial part of its
property; (D) makes a general assignment for the benefit of its creditors;
(E) consents to or acquiesces in the institution of a bankruptcy or
insolvency proceeding against it; or (F) takes any corporate action to
authorize or effect the foregoing; (ii) a court of competent jurisdiction
enters an order or decree under any Bankruptcy Law that: (A) is for relief
against the Corporation in an involuntary case; (B) appoints a custodian
of the Corporation or for any substantial part of its property; or (C) orders
the winding up or liquidation of the Corporation, and in each such case the
order or decree remains unstayed and in effect for 60 days; or (iii) the
Corporation defaults in any payment to WCA or Consultant required to made
hereunder, and such default continues for a period of 30 days, or if WCA or
Consultant shall have notified the Corporation prior to the end of such 30-day
period that such payment may be made at a later time, such default continues
until such later time.  For purposes of
this Agreement, the term “Bankruptcy Law” means Title 11, United States Code,
or any similar Federal or state law relating to bankruptcy, insolvency
receivership, winding-up, liquidation, reorganization or relief of debtors or
any amendment to, succession to or change in any such law.

 

4.                                       COMPENSATION/REIMBURSEMENT

 

The Corporation shall pay WCA at a rate of Three
Hundred Ninety-Five Thousand Dollars ($395,000) annually, payable in monthly
installments.  The parties acknowledge
that the 

 

 

Corporation has granted directly to Consultant
options to purchase 100,000 shares of the Corporation’s common stock, which
vest in equal annual installments over three years, and which are subject to
the Corporation’s standard terms and conditions for options granted under the
Corporation’s 2001 Performance Equity Plan.

 

The Corporation shall reimburse WCA for expenses
incurred by Consultant for services as Chief Scientific Director in a manner
consistent with reimbursement of expenses made by the Corporation to its
executive officers and directors.

 

So long as WCA is
receiving payments pursuant to this Agreement: (i) Consultant shall not
receive the annual stipend paid to non-employee directors of the Corporation
nor a separate per diem fee to serve as liaison to the Corporation’s Scientific
and Viral Advisory Boards; and (ii) Consultant shall be entitled to
receive the Corporation’s standard meeting fees in connection with attendance
at meetings of the Corporation’s Board of Directors.  As stated in the Letter Agreement, which is
hereby incorporated by reference, Consultant will not receive any monetary
compensation directly from the Corporation.

 

Consultant acknowledges
and agrees, and it is the intent of the parties hereto, that Consultant receive
no Corporation-sponsored benefits from the Corporation either as a consultant
or employee.  Such benefits include, but
are not limited to, paid vacation, medical insurance, and 401(k)
participation.  If Consultant is
reclassified by a state or federal agency or court as an employee, Consultant
will become a reclassified employee and will receive no benefits except those
mandated by state or federal law, even if by the terms of the Corporation’s
benefit plans in effect at the time of such reclassification Consultant would
otherwise be eligible for such benefits.

 

5.                                       INDEPENDENT CONTRACTOR

 

It is the express intention of the parties that each
of WCA and Consultant be an independent contractor.  Nothing in this Agreement shall in any way be
construed to constitute WCA or Consultant as an agent, employee or
representative of the Corporation; the Services shall be performed by
Consultant, through WCA, as an independent contractor.  WCA and Consultant agree to indemnify and
hold harmless the Corporation and its directors, officers, and employees from
and against all taxes, losses, damages, liabilities, costs and expenses,
including attorney’s fees and other legal expenses, arising directly or
indirectly from (i) any negligent, reckless or intentionally wrongful act
of Consultant, Consultant’s assistants, or WCA’s employees or agents, (ii) a
determination by a court or agency that WCA or the Consultant is not an
independent contractor, or (iii) any breach by WCA or Consultant of any of
the covenants contained in this Agreement.

 

6.                                       OTHER SERVICES; CONFIDENTIAL INFORMATION

 

During the term of this Service Agreement, WCA and
Consultant will remain free to engage in any other labor service work for any
other company except as set forth in Section 8 hereof, but agrees that in
so doing WCA and Consultant will not divulge to others any Confidential
Information.  “Confidential
Information” means any of the Corporation’s proprietary or confidential
information, technical data, trade secrets or know-how, including, but not
limited to, intellectual property information, research, product plans, market
assessments, business plans, products, services, suppliers, customer lists and
customers (including, but not limited to, customers of the Corporation on whom
WCA or Consultant called or with whom WCA or Consultant became acquainted
during this service relationship), prices and costs, markets, software,
developments, inventions, laboratory notebooks, processes, formulas,
technology, designs, drawings, engineering, hardware configuration information,
marketing, licenses, finances, budgets or other business information disclosed
to WCA or Consultant by the Corporation either directly or indirectly in writing,
orally or by drawings or observation of parts or equipment or discussions or
created by WCA or Consultant during the period of this service relationship,
whether or not during working hours. 
Confidential Information does not include any 

 

 

of the foregoing items, which has become publicly
and widely known and made generally available through no wrongful act or
omission of WCA, Consultant or of others who were under confidentiality
obligations as to the item or items involved. 
WCA and Consultant acknowledge that the rendering of services to the
Corporation creates a relationship of trust and confidence between the
Corporation on the one hand, and WCA and Consultant, on the other hand.  During and after WCA’s and Consultant’s
rendering of services to the Corporation, neither WCA nor Consultant will use
or disclose or allow anyone else to use or disclose any Confidential
Information or knowledge relating to the Corporation, its employees, products,
consultants or customers, except as may be necessary in the performance of WCA’s
and/or Consultant’s work for the Corporation or as may be authorized in advance
by appropriate officials of the Corporation. 
Neither WCA nor Consultant will disclose directly or indirectly to any
third party or parties any information or knowledge WCA or Consultant may
acquire with respect to such Confidential Information, including but not
limited to innovations, business strategies, financial information, employee
lists, customer lists, inventories, designs, methods, systems, improvements,
trade secrets, or other private or confidential matters of the Corporation
without the Corporation’s prior written consent.

 

7.                                       ASSIGNMENT OF INVENTIONS

 

Consultant and WCA will
promptly disclose to the Corporation in writing all improvements, inventions,
works of authorship, formulas, ideas, developments, concepts, processes,
techniques, know-how and data, whether or not patentable, made or conceived,
developed, reduced to practice or learned by WCA or Consultant, either alone or
jointly with others, during the period of this service relationship (whether or
not during business hours) that are either related to the scope of the services
performed or make or use, in any manner, the resources of the Corporation
(collectively, “Inventions”).  WCA and
Consultant hereby assign to the Corporation any and all rights, including but
not limited to intellectual property rights, WCA or Consultant may have or
acquire in such Inventions, which shall be the sole property of the Corporation
and its assigns.  During the term of this
Agreement and continuing after any termination or expiration of this Agreement,
WCA and Consultant will assist the Corporation in every proper way to obtain,
perfect the Corporation’s interest in and/or enforce patents, copyrights or
other rights on said Inventions in any and all countries, and will execute all
documents reasonably necessary, desirable or appropriate for this purpose.  WCA and Consultant shall be compensated for
such assistance as specified in Section 4, above.  WCA and Consultant (to the extent Consultant
has not previously designated and/or appointed WCA) also hereby irrevocably
designate and appoints the Corporation and its duly authorized officers and
agents as their agents and attorneys-in-fact-to act for and in their behalf for
the purpose of executing and filing any such document and doing all acts to
accomplish the foregoing purposes.

 

The parties acknowledge and
agree that intellectual property rights claimed to be held by WCA and
Consultant: (i) that were in existence prior to the Effective Date, were
not derived from or attributable to, a service relationship with the
Corporation and did not make or use, in any manner, the resources of the
Corporation; or (ii) that are independently developed by WCA or Consultant
during the period of this service relationship, are unrelated to the scope of
the services performed and do not make or use, in any manner, the resources of
the Corporation, shall in the case of each of (i) and (ii) be
excluded from the assignment effected hereby.

 

8.                                       CONFLICT OF INTEREST

 

Neither WCA nor Consultant shall accept a similar
relationship with a competitor of the Corporation nor shall WCA or Consultant
themselves compete with the Corporation, during the term of this Agreement
without the Corporation’s prior written consent.  WCA and Consultant represent that neither WCA
nor Consultant has any other agreements or commitments that would hinder WCA’s
or Consultant’s performance of their obligations under this Agreement, and that
neither WCA nor Consultant will enter into any such agreements during the term
hereof.

 

 

Each of WCA and Consultant hereby represents that
its performance of all terms of this Agreement have not breached and will not
breach any agreement to keep in confidence proprietary information, knowledge
or data acquired by WCA or Consultant in confidence or trust prior or
subsequent to the commencement of WCA’s and Consultant’s service relationship
with the Corporation, and WCA and Consultant will not disclose to the
Corporation, or induce the Corporation to use, any inventions, confidential or
proprietary information or material belonging to any previous employer or any
other party.

 

9.                                       RETURN OF LIPID MATERIALS

 

Upon termination of WCA’s and Consultant’s services
to the Corporation, WCA and Consultant will promptly return to the Corporation,
and will not take or use, all items of any nature that belong to the
Corporation.

 

10.                                 ASSIGNMENT

 

Each of WCA and Consultant agrees that it/he may not
assign this Agreement or delegate its/his duties herein without the Corporation’s
prior written consent.  The Corporation
agrees that it may not assign this Agreement without the prior written consent
of each of WCA and Consultant.

 

11.                                 MISCELLANEOUS

 

(a)          Amendments and Waivers.  Any
term of this Agreement may be amended or waived only with the written consent
of the parties.

 

(b)         Sole Agreement.  This
Agreement constitutes the sole agreement of the parties and supersedes all oral
negotiations and prior writings with respect to the subject matter hereof,
except for the Letter Agreement.

 

(c)          Advice of Counsel.  EACH
PARTY ACKNOWLEDGES THAT, IN EXECUTING THIS AGREEMENT, SUCH PARTY HAS HAD THE
OPPORTUNITY TO SEEK THE ADVICE OF INDEPENDENT LEGAL COUNSEL, AND HAS READ AND
UNDERSTOOD ALL OF THE TERMS AND PROVISIONS OF THIS AGREEMENT.  THIS AGREEMENT SHALL NOT BE CONSTRUED AGAINST
ANY PARTY BY REASON OF THE DRAFTING OR PREPARATION HEREOF.

 

(d)         Counterparts.  This
Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which together will constitute one and the same
instrument.

 

(e)          Severability.  If
one or more provisions of this Agreement are held to be unenforceable under
applicable law, the parties agree to renegotiate such provision in good
faith.  In the event that the parties
cannot reach a mutually agreeable and enforceable replacement for such
provision, then (i) such provision shall be excluded from this Agreement, (ii) the
balance of the Agreement shall be interpreted as if such provision were so
excluded and (iii) the balance of the Agreement shall be enforceable in
accordance with its terms.

 

(f)            Choice of Law.  The
laws of the State of California shall govern the validity, interpretation,
construction and performance of this Agreement, without giving effect to the
principles of conflict of laws.

 

(g)         Arbitration.  The
parties agree that any and all disputes arising out of the terms of this
Agreement, their interpretation, and any of the matters herein released, shall
be subject to binding arbitration in Alameda County before the American
Arbitration Association under its Commercial Arbitration Rules.  Each party to such dispute shall select an
arbitrator, and if the number of selected arbitrators is even the selected
arbitrators shall select an additional arbitrator.  If the arbitrators who have been selected by
the parties have selected an additional arbitrator, such arbitrator shall act
as chair of the panel, and if not, the arbitrators shall, by majority vote, select
a chair of the panel.  The arbitrators
shall be certified public accountants, 

 

 

attorneys or other persons, in each case, who are
experienced in consulting arrangements in the biotechnology or medical device
industry.  If the arbitrators selected by
the parties fail to agree upon the appointment of an additional arbitrator
within 30 days, the American Arbitration Association shall appoint an
additional arbitrator.  The parties agree
that the prevailing party in any arbitration shall be entitled to injunctive
relief in any court of competent jurisdiction to enforce the arbitration
award.  The parties agree that the
prevailing party in any arbitration shall be awarded its reasonable attorneys’
fees and costs.  The parties hereby agree to waive their right to have
any dispute between them resolved in a court of law by a judge or jury.  This paragraph will not prevent
any party from seeking injunctive relief (or any other provisional remedy) from
any court having jurisdiction over the parties and the subject matter of their
dispute relating to WCA’s and Consultant’s obligations under this
Agreement.  The Federal Arbitration Act
shall apply to the construction, interpretation and enforcement of this
arbitration provision.

 

[Remainder
of page intentionally left blank.]

 

 

IN
WITNESS WHEREOF, the parties have duly executed this Agreement on the 28th
day of July, 2005 with effectiveness of this Agreement made as of the date
first written above.

 

 

	
   

  	
   

  	
  WASHINGTON CARDIOVASCULAR 

  ASSOCIATES, LLC

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ H. Bryan Brewer, Jr.,
  M.D.

  
	
   

  	
   

  	
    (Signature)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
    H. Bryan Brewer, Jr.,
  M.D.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
    Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  H. BRYAN BREWER, JR., M.D.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
    /s/ H. Bryan Brewer, Jr., M.D

  
	
   

  	
   

  	
    (Signature)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  LIPID SCIENCES, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ S. Lewis Meyer, Ph.D.

  
	
   

  	
   

  	
    (Signature)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
    S. Lewis Meyer, Ph.D.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
    President & CEOExhibit 4.3

 

AMENDMENT
NO. 2 TO CREDIT AND GUARANTY
AGREEMENT

 

This
Amendment No. 2 to Credit and Guaranty Agreement (this “Amendment”), dated as of June 6,
2005, is made by Sanmina-SCI Corporation, a Delaware corporation (the “Company”), each of the subsidiaries
of the Company listed on the signature pages hereto (the “Guarantors”), the Lenders party
hereto, Citibank, N.A., as Collateral Agent (the “Collateral
Agent”), and Citicorp USA, Inc., as Administrative Agent
(the “Administrative Agent”).

 

RECITALS

 

Reference
is hereby made to the Credit and Guaranty Agreement, dated as of October 26,
2004, entered into by and among the Company, certain subsidiaries of the
Company, as guarantors, Citibank, N.A., as Initial Issuing Bank, Banc of
America Securities LLC, as Syndication Agent, Deutsche Bank Trust Company
Americas, Merrill Lynch, Pierce, Fenner & Smith Incorporated and The
Bank of Nova Scotia, as Co-Documentation Agents, Citigroup Global Markets Inc.
and Banc of America Securities LLC, as Joint Book Managers and Joint Lead
Arrangers, the Administrative Agent, and the Collateral Agent, as amended by
that certain Amendment No.1 dated as of February 15, 2005 (as amended, the
“Credit Agreement”).

 

The
Company has requested that the Lenders agree to certain amendments to the
Credit Agreement in connection with certain proposed transactions to be entered
into by the Company as described herein.

 

AGREEMENT

 

NOW
THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the parties hereto, intending to be legally
bound, hereby agree as follows:

 

1.                                       Definitions.  Unless otherwise expressly
defined herein, all capitalized terms used herein and defined in the Credit
Agreement shall be used herein as so defined. 
Unless otherwise expressly stated herein, all Section and Article references
herein shall refer to Sections and Articles of the Credit Agreement.

 

2.                                       Amendment to Definitions.  (a)   Section 1.1 is amended by adding the
following definitions in the proper alphabetical order:

 

“ ‘Refinancing Convertible Securities’ means any
Convertible Indebtedness issued to refinance in whole or in part from time to
time any of the Convertible Securities, the Senior Secured Notes, the
Refinancing Senior Secured Notes, the New Senior Subordinated Notes or the
Refinancing Senior Subordinated Notes, provided such notes do not provide for
any payments of principal (whether through redemption or otherwise) earlier
than the respective Convertible Securities, the Senior Secured Notes, the
Refinancing Senior Secured Notes, the New Senior Subordinated Notes or the
Refinancing Senior Subordinated Notes being refinanced and otherwise do not
contain, in the good faith judgment of the Board of Directors of the

 

 

Company, more burdensome terms and conditions (other
than interest rates and conversion rates) than such Senior Secured Notes, provided, however,
that in respect of any refinancing of any Convertible Securities, such notes
shall not provide for any payments of principal (whether through redemption or
otherwise but not including conversion into Capital Stock of the Company or any
of its Subsidiaries) earlier than 30 days after the Maturity Date.”

 

“ ‘Refinancing Senior Secured Notes’ means any notes (other
than notes evidencing Convertible Indebtedness) issued to refinance in whole or
in part from time to time any of the Senior Secured Notes or the Refinancing
Senior Secured Notes provided such notes do not provide for any payments of
principal (whether through redemption or otherwise) earlier than the Senior
Secured Notes or the Refinancing Senior Secured Notes being refinanced and
otherwise do not contain, in the good faith judgment of the Board of Directors
of the Company, more burdensome terms and conditions (other than interest rates)
than the Senior Secured Notes.”

 

“ ‘Refinancing Senior Subordinated Notes’ means any notes
(other than notes evidencing Convertible Indebtedness) issued to refinance in
whole or in part from time to time any of the New Senior Subordinated Notes or
the Refinancing Senior Subordinated Notes provided such notes do not provide
for any payments of principal (whether through redemption or otherwise) earlier
than the New Senior Subordinated Notes or the Refinancing Senior Subordinated
Notes being refinanced and otherwise do not contain, in the good faith judgment
of the Board of Directors of the Company, more burdensome terms and conditions
(other than interest rates) than the Senior Secured Notes.”

 

(b)                                 Section 1.1
of the Credit Agreement is hereby amended by amending and restating each of the
following definitions in their entirety as follows:

 

“Convertible Securities”
means (a) Company’s Zero Coupon Notes, (b) the 3.0% Convertible
Subordinated Notes due 2007 issued by SCI Systems, Inc. and (c) and
Refinancing Convertible Securities.

 

“Designated Proceeds Account”
means the account of Company held with Citibank, N.A. from time to time, the
proceeds of which have been designated by Company to be used for the
satisfaction in whole or in part of (a) the Repurchase Obligation or (b) the
refinancing of any Indebtedness under Section 6.1(c), in each case with
any excess proceeds remaining in such account following the Company’s
satisfaction of such Indebtedness or portion thereof being refinanced, to be
paid to the Company upon its written request to the Administrative Agent; provided that the Company is in pro forma compliance with the covenants
set forth in Section 6.7 immediately prior to and immediately following
such payment to it.

 

“New Senior Subordinated Notes Agreement”
means that certain indenture, dated as of February 22, 2005, by and among
the Company, certain subsidiaries of the Company as guarantors, and the
trustee, governing the New Senior Subordinated Notes, as it may be amended,
supplemented, or otherwise modified from time to time and any indenture entered
into in connection with the Refinancing Senior Subordinated Notes.

 

“New Senior Subordinated Notes
Documents” means the New Senior Subordinated Notes, the New
Senior Subordinated Notes Agreement, the New Senior Subordinated Notes

 

2

 

Guarantees, the Refinancing Senior Subordinated Notes and all other
documents executed and delivered with respect to any of the foregoing.

 

“Senior Secured Note Agreement”
means that certain Indenture, dated as of December 23, 2002, by and among
Company, as issuer, certain subsidiaries thereof as initial guarantors, and
State Street Bank and Trust Company of California, N.A., as trustee, as it may
be amended, supplemented or otherwise modified from time to time and any
indenture entered into in connection with the Refinancing Senior Secured Notes.

 

“Senior Secured Note Documents”
means the Senior Secured Notes, the Senior Secured Note Agreement, the Senior
Secured Note Guarantees, the Refinancing Senior Secured Notes and all other
documents executed and delivered with respect to any of the foregoing.

 

(c)                                  Section 1.1
of the Credit Agreement is hereby further amended by:

 

(i)                                     amending
the definition of “Fixed Charge Coverage Ratio” by deleting the phrase “any
notes or other securities described in clause (A)(i) of
the definition of Revolving Credit Commitment until such time as the proceeds
of such notes or securities are paid to satisfy in full or in part Company’s
Repurchase Obligation” and replacing such phrase with the phrase “the Excluded
Debt Amount”; and

 

(ii)                                  amending
the definition of “Permitted Refinancing” (A) by deleting the phrase “than
the Indebtedness being refinanced or extended” in the third and fourth lines
thereof and replacing such phrase with the phrase “(other than interest rates
and conversion rates) than the Senior Secured Notes as in effect on the date
hereof (determined in good faith by the Board of Directors of the Company)” and
(B) by deleting the word “provided”
in the fifth line thereof and replacing such word with the words “provided,
however, that in respect of any refinancing or extension of any
Convertible Securities, the average life to maturity of such Indebtedness shall
be greater than that of the Indebtedness evidenced hereby and provided,
further”.

 

3.                                       Amendment to Section 6.1(c).  Section 6.1(c) is
hereby amended by adding at the end thereof the following:

 

“, in
each case including successive Permitted Refinancings provided, that the net proceeds of any
Indebtedness incurred as a Permitted Refinancing prior to the purchase,
redemption, exchange or repayment of the Indebtedness subject to such Permitted
Refinancing shall be immediately deposited in the Designated Proceeds Account.”

 

4.                                       Amendment to Section 6.1(g).  Section 6.1(g) is
hereby amended by adding at the end thereof the following:

 

“ and (iii) guaranties by
the Company or any Subsidiary of the obligations of its Foreign Subsidiaries
arising under sales of receivables owned by such Foreign Subsidiaries permitted
by Section 6.8(d);”

 

5.                                       Amendment to Section 6.2. Section 6.2 (o) is hereby amended by adding
at the end thereof the following:

 

3

 

“ and Liens encumbering assets of
Foreign Subsidiaries securing their obligations arising under sales of
receivables owned by such Foreign Subsidiaries permitted by Section 6.8(d);”

 

6.                                       Amendment to Section 6.3.  Section 6.3
is hereby amended by adding the following after the word “acquired” at the end
thereof: “; and (h) restrictions imposed in connection with sales of
receivables owned by Foreign Subsidiaries permitted by Section 6.8(d).”

 

7.                                       Amendment to Section 6.5.  Section 6.5
is hereby amended by deleting the word “and” prior to “(x)” and adding the
following after the word “refinanced” at the end thereof: “; and
(xi) contained in agreements or documents entered into in connection with
sales of receivables owned by Foreign Subsidiaries permitted by Section 6.8(d).”

 

8.                                       Amendment to Section 6.8.  Section 6.8
(d) is hereby amended and restated in its entirety to read as follows: “sales
of receivables by any Foreign Subsidiary pursuant to a factoring or similar
arrangement; provided, that (i) the
cash consideration for any such sale shall be for an amount equal to at least
95% of the face amount of such receivables and (ii) the face amount of all
receivables sold and outstanding at any time shall not exceed $400.0 million”.

 

9.                                       Conditions Precedent.  This
Amendment shall become effective upon the satisfaction of each of the following
conditions precedent:

 

(a)                                  The
Administrative Agent shall have received evidence that this Amendment has been
duly executed and delivered by the Company, the Guarantors and the Requisite
Lenders.

 

(b)                                 The
representations and warranties contained herein and in the Credit Agreement
shall be true and correct in all material respects as of the date hereof as if
made on the date hereof (except for those which by their terms specifically
refer to an earlier date, in which case such representations and warranties
shall be true and correct in all material respects as of such earlier date).

 

(c)                                  No
Default or Event of Default shall have occurred and be continuing after giving
effect to this Amendment.

 

10.                                 Representations and Warranties.  The
Company hereby represents and warrants to the Administrative Agent and the
Lenders that, as of the date hereof and after giving effect to this Amendment, (a) all
representations and warranties set forth in the Credit Agreement are true and
correct in all material respects as if made again on and as of such date
(except for those which by their terms specifically refer to an earlier date,
in which case such representations and warranties shall be true and correct in
all material respects as of such earlier date), (b) no Default or Event of
Default has occurred and is continuing and (c) the Credit Agreement (as
amended by this Amendment) and all other Credit Documents are and remain legal,
valid, binding and enforceable obligations of the Credit Parties in accordance
with the terms thereof except as may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws relating to or limiting creditors’
rights generally or by equitable principles (regardless of whether enforcement
is sought in equity or at law).

 

4

 

11.                                 Survival of Representations and Warranties.  All
representations and warranties made in this Amendment shall survive the
execution and delivery of this Amendment, and no investigation by the
Administrative Agent or the Lenders shall affect the representations and
warranties or the right of the Administrative Agent or the Lenders to rely upon
them.  If any representation or warranty
made in this Amendment is false in any material respect when made, then such
shall constitute an Event of Default under the Credit Agreement.

 

12.                                 Reference to Agreement.  Each of
the Credit Documents, including the Credit Agreement, and any and all other
agreements, documents or instruments now or hereafter executed and/or delivered
pursuant to the terms hereof or pursuant to the terms of the Credit Agreement
as amended hereby, are hereby amended so that any reference in such Credit
Documents to the Credit Agreement, whether direct or indirect, shall mean a
reference to the Credit Agreement as amended hereby.  This Amendment shall constitute a Credit
Document.

 

13.                                 Costs and Expenses.  The
Company shall pay on demand all reasonable costs and expenses of the
Administrative Agent (including the reasonable fees, costs and expenses of
counsel to the Administrative Agent) incurred in connection with the
preparation, execution and delivery of this Amendment.

 

14.                                 Governing Law.  This Amendment shall be construed
in accordance with and governed by the laws of the State of New York (including
Sections 5-1401 and 5-1402 of the General Obligations Law of the State of New
York).

 

15.                                 Execution.  This Amendment may be executed in
any number of counterparts and by different parties hereto in separate
counterparts, each of which when so executed shall be deemed to be an original
and all of which taken together shall constitute one and the same
agreement.  Delivery of an executed
counterpart of a signature page to this Amendment by telecopier
shall be effective as delivery of an manually executed counterpart of this
Amendment.

 

16.                                 Limited Effect.  This Amendment relates only to
the specific matters expressly covered herein, shall not be considered to be a
waiver of any rights or remedies any Lender or Agent may have under the Credit
Agreement or under any other Credit Document, and shall not be considered to
create a course of dealing or to otherwise obligate in any respect any Lender
or Agent to execute similar or other consents under the same or similar or
other circumstances in the future.

 

17.                                 Ratification by Guarantors.  Each of the Guarantors
acknowledges that its consent to this Amendment is not required, but each of
the undersigned nevertheless does hereby agree and consent to this Amendment
and to the documents and agreements referred to herein.  Each of the Guarantors agrees and
acknowledges that (i) notwithstanding the effectiveness of this Amendment,
such Guarantor’s Guaranty shall remain in full force and effect without
modification thereto and (ii) nothing herein shall in any way limit any of
the terms or provisions of such Guarantor’s Guaranty or any other Credit
Document executed by such Guarantor (as the same may be amended from time to
time), all of which are hereby ratified, confirmed and affirmed in all respects.  Each of the Guarantors hereby agrees and
acknowledges that no other agreement, instrument, consent or document shall be
required to give effect to this Section 17.  Each of the Guarantors hereby further
acknowledges that Company, Administrative Agent,

 

5

 

Collateral Agent and any Lender may from time to time
enter into any further amendments, modifications, terminations and/or waivers
of any provision of the Credit Documents without notice to or consent from such
Guarantor and without affecting the validity or enforceability of such
Guarantor’s Guaranty or giving rise to any reduction, limitation, impairment,
discharge or termination of such Guarantor’s Guaranty.

 

[The remainder of this page is
intentionally left blank]

 

6

 

IN WITNESS WHEREOF, the parties hereto have caused
this Amendment to be duly executed and delivered by their respective officers
thereunto duly authorized as of the date first written above.

 

	
   

  	
  COMPANY:

  
	
   

  	
   

  
	
   

  	
  SANMINA-SCI CORPORATION,

  
	
   

  	
  a
  Delaware corporation

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ David L. White

  	
   

  
	
   

  	
   

  	
  Name:

  	
  David
  L. White

  
	
   

  	
   

  	
  Title:

  	
  EVP
  and CFO

  
					

 

7

 

	
   

  	
  GUARANTORS:

  
	
   

  	
   

  
	
   

  	
  HADCO CORPORATION

  
	
   

  	
  HADCO SANTA CLARA, INC.

  
	
   

  	
  SCI TECHNOLOGY, INC.

  
	
   

  	
  VIKING INTERWORKS INC.

  
	
   

  	
  COMPATIBLE MEMORY, INC.

  
	
   

  	
  SCI SYSTEMS, INC.

  
	
   

  	
  SANMINA-SCI SYSTEMS (ALABAMA) INC.

  
	
   

  	
  SANMINA-SCI SYSTEMS HOLDINGS, INC.

  
	
   

  	
  INTERAGENCY, INC.

  
	
   

  	
  SANMINA-SCI SYSTEMS ENCLOSURES

  
	
   

  	
  (DENTON) INC.

  
	
   

  	
  SCIMEX, INC.

  
	
   

  	
  NEWISYS, INC.

  
	
   

  	
  SANMINA-SCI ENCLOSURES USA INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  All
  By:

  	
  /s/
  Walter Boileau

  	
   

  
	
   

  	
   

  	
  Name:  Walter
  Boileau

  
	
   

  	
   

  	
  Title:

  

 

8

 

	
   

  	
  SCI PLANT No. 5, L.L.C.

  
	
   

  	
   

  
	
   

  	
  By:

  
	
   

  	
   

  
	
   

  	
  SANMINA-SCI
  SYSTEMS (ALABAMA) INC.,

  
	
   

  	
  its
  Sole Member

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Walter Boileau

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Walter
  Boileau

  
	
   

  	
   

  	
  Title:

  	
   

  
					

 

9

 

	
   

  	
  SCI PLANT No. 22, L.L.C.

  
	
   

  	
   

  
	
   

  	
  By:

  
	
   

  	
   

  
	
   

  	
  SCI
  TECHNOLOGY, INC.,

  
	
   

  	
  its
  Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Walter Boileau

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Walter
  Boileau

  
	
   

  	
   

  	
  Title:

  	
   

  
					

 

10

 

	
   

  	
  SANMINA GENERAL, L.L.C.

  
	
   

  	
  SANMINA LIMITED, L.L.C.

  
	
   

  	
   

  
	
   

  	
  All
  by:

  
	
   

  	
   

  
	
   

  	
  SANMINA-SCI
  CORPORATION,

  
	
   

  	
  their
  Sole Member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Walter Boileau

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Walter
  Boileau

  
	
   

  	
   

  	
  Title:

  	
   

  
					

 

11

 

	
   

  	
  SANMINA TEXAS, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  SANMINA
  GENERAL, L.L.C.,

  
	
   

  	
   

  	
  its
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  SANMINA-SCI
  CORPORATION,

  
	
   

  	
   

  	
   

  	
  its
  Sole Member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/
  Walter Boileau

  	
   

  
	
   

  	
   

  	
   

  	
  Name:  Walter
  Boileau

  
	
   

  	
   

  	
   

  	
  Title:

  

 

12

 

	
   

  	
  ADMINISTRATIVE AGENT

  
	
   

  	
  AND LENDER:

  
	
   

  	
   

  
	
   

  	
  CITICORP USA, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Avrum Spiegel

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Avrum
  Spiegel

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  
					

 

13

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  ABN AMRO BANK N.V.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ William W. Davidson

  	
   

  
	
   

  	
   

  	
  Name:

  	
  William
  W. Davidson

  
	
   

  	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Bassam Wehbe

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Bassam
  Wehbe

  
	
   

  	
   

  	
  Title:

  	
  Director

  
					

 

14

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  BANK OF AMERICA, N.A.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Sugeet Manchanda Madan

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Sugeet
  Manchanda Madan

  
	
   

  	
   

  	
  Title:

  	
  Senior
  Vice President

  
					

 

15

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  DEUTSCHE BANK TRUST COMPANY

  AMERICAS

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Paul O’ Leary

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Paul
  O’ Leary

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Carin M. Keegan

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Carin
  M. Keegan

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  
					

 

16

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  KEYBANK NATIONAL ASSOCIATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Robert W. Boswell

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Robert
  W. Boswell

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  
					

 

17

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  MERRILL LYNCH BANK USA

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Louis Alder

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Louis
  Alder

  
	
   

  	
   

  	
  Title:

  	
  Director

  
					

 

18

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  THE BANK OF NOVA SCOTIA

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Chris Osborn

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Chris
  Osborn

  
	
   

  	
   

  	
  Title:

  	
  Managing
  Director

  
					

 

19

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  United Overseas Bank Ltd, New York Agency

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Kwong Yew Wong

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Kwong
  Yew Wong

  
	
   

  	
   

  	
  Title:

  	
  FVP &
  General Manager

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Philip Cheong

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Philip
  Cheong

  
	
   

  	
   

  	
  Title:

  	
  VP &
  Deputy General Manager

  
					

 

20

 

	
   

  	
  LENDERS:

  
	
   

  	
   

  
	
   

  	
  WELLS FARGO BANK, N.A.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jeff Bailard

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Jeff
  Bailard

  
	
   

  	
   

  	
  Title:

  	
  Vice
  President

  
					

 

21

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