Document:

<PAGE>

                                                                  EXHIBIT 10(a)
                                      EXHIBIT A

                      SUPPLEMENTAL RETIREMENT PROGRAM AMENDMENTS

     1.   The definitions entitled Company Accounts, Deferred Compensation Plan,
                                   ________________  __________________________
          Matched Deposits, Participating Employer, and Savings and Profit-
          ________________  ______________________      ___________________
          Sharing Retirement Plan in Article II (Definitions) are amended
          _______________________
          effective January 1, 1999, and the definitions entitled Compensation
                                                                  ____________
          and Performance Unit Plan are amended effective February 1, 1998 to
              _____________________
          read as follows:

          Company Account(s):  The account(s) of that name and any successor
          __________________
          account(s) and/or fund(s) established and maintained pursuant to the
          Savings and Profit-Sharing Retirement Plan prior to January 1, 1999,
          the Savings, Profit-Sharing and Stock Ownership Plan, and the Mirror
          Savings Plans in which are reflected all Company contributions
          allocated to an Eligible Management Associate together with all assets
          attributable thereto.

          Compensation:  The total cash remuneration (including Profit Incentive
          ____________
          Compensation, and whether received or deferred (i) Performance Unit
          Plan payments and (ii) EVA Performance Plan payments) paid to an
          Associate by the Company or a Participating Employer, or, for the
          purpose of determining Average Final Compensation only, by a
          Controlled Group Member, that qualifies as wages as defined in Code
          Section 3401(a), determined without regard to any reduction for
          workers' compensation and state disability insurance reimbursements,
          and all other compensation payments for which the Company or a
          Participating Employer or other Controlled Group Member is required to
          furnish the Associate a written statement under Code Sections 6041(d),
          6051(a)(3) and 6052, reduced by the following items:

          (a)  all expatriate and foreign service allowances, including without
               limitation cost-of-living adjustments;

          (b)  tax gross-up payments;

          (c)  noncash prizes;

          (d)  income attributable to employer-provided group term life
               insurance;

          (e)  income recognized with respect to stock options and stock awards;

          (f)  tax equalizations payments;

          (g)  taxable and nontaxable relocation payments;

          (h)  payments of deferred amounts under the EVA Performance Plan or
               any other nonqualified plan of deferred compensation;

<PAGE>
          (i)  special payments made to an Associate under the Performance Unit
               Plan or the EVA Performance Plan in the year of retirement or
               disability;

          (j)  severance pay, outplacement pay, and/or critical pay;

          (k)  third-party disability payments (State of New York);

          (l)  home sale bonus payments;

          (m)  mortgage interest assistance payments;

          (n)  senior management perquisites, tax preparation fees, and
               allowances for travel from Alaska and Hawaii;

          (o)  legal settlements constituting back pay or other wage payments;

          (p)  non-associate travel reimbursements;

          (q)  clothing allowance payments; and

          (r)  payments made pursuant to a non-compete agreement.

          In addition, Compensation includes any contributions made by a
          Participating Employer or other Controlled Group Member on behalf of
          an Associate pursuant to a deferral election under any employee
          benefit plan containing a cash or deferred arrangement under Code
          Section 401(k), and any amounts that would have been received as cash
          but for an election to receive benefits under a cafeteria plan meeting
          the requirements of Code Section 125, and amounts deferred by an
          Associate under the Deferred Compensation Plan and the Mirror Savings
          Plans.

          Each annual payment to an Associate (i) from the Performance Unit
          Plan, (ii) from the EVA Performance Plan, and (iii) of Profit
          Incentive Compensation shall be deemed to have been made in the
          calendar year immediately preceding the year in which payment was
          actually made.

          For all purposes under the plan, the Benefits Administration
          Committee, in its discretion, may exclude additional items from
          "Compensation" under the Plan.

          An Associate who is in the service of the Armed Forces of the United
          States during any period in which his reemployment rights are
          guaranteed by law will be considered to have received the same rate of
          Compensation during his absence he was receiving immediately prior to
          his absence, provided he returns to employment with a Controlled Group
          Member within the time such rights are guaranteed.

                                          2
<PAGE>
          Deferred Compensation Plan:  J. C. Penney Company, Inc. 1995 Deferred
          __________________________
          Compensation Plan, as amended from time to time, as in existence prior
          to January 1, 1999 before being merged into the J. C. Penney Company,
          Inc. Mirror Savings Plan II effective January 1, 1999.

          Matched Deposits:  An Eligible Management Associate's deposits, not in
          ________________
          excess of 6% of his compensation (as defined in the Savings and
          Profit-Sharing Retirement Plan, the Savings, Profit-Sharing and Stock
          Ownership Plan and the Mirror Savings Plans), made pursuant to the
          Savings and Profit-Sharing Retirement Plan, the Savings, Profit-
          Sharing and Stock Ownership Plan, and the Mirror Savings Plans.

          Participating Employer:  The Company and any other Controlled Group
          ______________________
          Member or organizational unit of the Company or of a Controlled Group
          Member which is designated as a Participating Employer under the Plan
          by the Human Resources Committee; provided, however, that if such
          designation would substantially increase the cost of the Plan to the
          Company, such designation shall be subject to the sole discretion of
          the Board of Directors.

          Performance Unit Plan:  J. C. Penney Company, Inc. 1984 Performance
          ___ _________________
          Unit Plan, as amended from time to time, as in existence prior to
          February 1, 1998 when terminated effective January 31, 1998.

          Savings and Profit-Sharing Retirement Plan:  J. C. Penney Company,
          __________________________________________
          Inc. Savings and Profit-Sharing Retirement Plan, as amended from time
          to time, as in existence prior to January 1, 1999 before being merged
          into the Savings, Profit-Sharing and Stock Ownership Plan effective
          January 1, 1999.

     2.   The definition entitled Personnel Committee in Article II
                                  ___________________
          (Definitions) is deleted effective January 1, 1999, the definition EVA
                                                                             ___
          Performance Plan is added effective February 1, 1998, and the
          ________________
          definitions entitled Human Resources Committee and Mirror Savings
                               _________________________     ______________
          Plans are added effective January 1, 1999 to read as follows:
          _____

          EVA Performance Plan:  The J. C. Penney Company, Inc. 1998 EVA
          ____________________
          Performance Plan, as amended from time to time.

          Human Resources Committee: The Human Resources Committee of the
          _________________________
          Management Committee of the Company.

          Mirror Savings Plans:  The J. C. Penney Company, Inc. Mirror Savings
          ____________________
          Plan I, the J. C. Penney Company, Inc. Mirror Savings Plan II, and the
          J. C. Penney Company, Inc. Mirror Savings Plan III.

     3.   Item (ii) of subparagraph (1) (b) of Article IV (Benefits) is amended
          effective January 1, 1999 to read as follows:

                                         3
<PAGE>
          (i)  the single-life, no-death-benefit annuity equivalent, as of the
               Valuation Date which is the next trading date of the New York
               Stock Exchange following the Eligible Management Associate's
               Separation from Service, of

               (a)  the value of all assets allocated to the Eligible Management
                    Associate in the Company Account(s) under the Savings,
                    Profit-Sharing and Stock Ownership Plan, including such
                    assets allocated to him under the Savings and Profit-Sharing
                    Retirement Plan prior to January 1, 1999; and

               (b)  the value of any additional assets which would have been
                    allocated to the Eligible Management Associate's Company
                    Account(s) under the Savings and Profit-Sharing Retirement
                    Plan, the Savings, Profit-Sharing and Stock Ownership Plan,
                    and the Mirror Savings Plans, had such Eligible Management
                    Associate made all further permissible Matched Deposits up
                    to 6% of his compensation (as such term is defined in each
                    said plan) under each said plan and had he not made any
                    withdrawals of taxed Matched Deposits from the plans prior
                    to January 1, 1989; and

               (c)  the value of dividends attributable to units in his Company
                    Account (within the meaning of the Savings, Profit-Sharing
                    and Stock Ownership Plan) and distributed to the Eligible
                    Management Associate pursuant to Section 9.04 of the
                    Savings, Profit-Sharing and Stock Ownership Plan; and

               (d)  the value of any amounts payable pursuant to the terms of a
                    domestic relations order qualified under Code Section 414(p)
                    out of such Eligible Management Associate's Company
                    Account(s) from the Savings and Profit-Sharing Retirement
                    Plan and the Savings, Profit-Sharing and Stock Ownership
                    Plan; and

               (e)  the value of benefits payable to the Eligible Management
                    Associate (or another person on behalf of the Eligible
                    Management Associate) from (A) his annual benefit limit
                    make-up account pursuant to Paragraph (2) of Article IV of
                    the Benefit Restoration Plan prior to January 1, 1999, and
                    (B) his Company Accounts under the Mirror Savings Plans;
                    plus

     4.   The first sentence of the first paragraph following item (iv) of
          subparagraph (1)(b) of Article IV (Benefits) is amended effective
          January 1, 1999 to add the words "and the Mirror Savings Plans" after
          the words "Stock Ownership Plan".

     5.   Subparagraph (g) of Paragraph (7) (Special Rules for VERP Plan
          Participants) of Article IV (Benefits) is amended effective January 1,
          1999 to read as follows:

               (g)  The benefits payable to or on behalf of an Eligible
                    Management Associate  under the Plan shall not duplicate
                    benefits payable from the Pension Plan, the VERP Plan, the
                    Benefit Restoration Plan, the Mirror Savings Plans, or any
                    separation pay program of the Company or a Participating
                    Employer or a

                                          4
<PAGE>
                    Controlled Group Member.  To the extent that any benefits
                    otherwise payable under the Plan are paid from one or more
                    of the plans or programs described in the prior sentence,
                    such benefits under the Plan shall be cancelled.

     6.   The headings in the chart in Paragraph (1) (Additional Credited
          Service) of Article VIII (Miscellaneous) are revised effective January
          1, 1996 to delete the words "and/or Service" after the words "Years of
          Service" in the heading on the left and to add the words "and/or
          Service" after the words "Deemed Additional Months of Age" in the
          heading on the right, and effective January 1, 1999 to delete in item
          (b) the words "Director of Personnel" and to substitute the words
          "Director of Human Resources" therefor.

     7.   Paragraph (5) (Liability) of Article VIII (Miscellaneous) is amended
          effective January 1, 1999 to delete the words "Personnel Committee"
          and to substitute the words "Human Resources Committee" therefor.

     8.   Article IX (Claims Procedures) is amended effective July 1, 1998 to
          delete the words "Benefits Administration Manager" and substitute the
          words "Benefits Director" therefor in each place it appears.

                                          5
<PAGE>
                                      APPENDIX I

                               Participating Employers
                               _______________________

                             J. C. Penney Company, Inc.

                                JCPenney National Bank
               (from and after August 1, 1994 until December 17, 1997)

                        JCP Internet Commerce Solutions, Inc.
                          (from and after February 1, 1999)

                                 JCP Logistics L. P.
                          (from and after February 1, 1999)

                                   JCP Media L. P.
                          (from and after February 1, 1999)

                             JCP Overseas Services, Inc.
                            (from and after July 1, 1996)

                                 JCP Portfolio, Inc.
                              (dissolved July 18, 1995)

                          J. C. Penney Private Brands, Inc.
                           (from and after January 1, 2000)

                                JCP Procurement L. P.
                          (from and after February 1, 1999)

                                JCP Publications Corp.
                           (formerly JCP Media Corporation)
                            (from and after April 3, 1996)

                              JCPenney Puerto Rico, Inc.

                                JCP Receivables, Inc.

                                   StepInside, Inc.
                           (from and after January 1, 2000)

                                          6LA01/LINDR/165352.3             3
     EIGHTH AMENDMENT TO LOAN AND SECURITY
                   AGREEMENT

     THIS EIGHTH AMENDMENT TO LOAN AND
SECURITY AGREEMENT (the "Amendment"), dated as
of May 19, 2000, is entered into between
CONGRESS FINANCIAL CORPORATION (WESTERN), a
California corporation ("Lender"), and
GOTTSCHALKS INC., a Delaware corporation
("Borrower"), with its corporate office
located at 7 River Park Place East, Fresno,
California 93720.

                    RECITAL

     A.   Borrower and Lender have previously
entered into that certain Loan and Security
Agreement dated December 20, 1996, as amended
by the First Amendment to Loan and Security
Agreement, dated as of August 20, 1998, the
Second Amendment to Loan and Security
Agreement, dated as of September 1, 1998, the
Third Amendment to Loan and Security
Agreement, dated as of December 18, 1998, the
Fourth Amendment to Loan and Security
Agreement, dated as of January 29, 1999, the
Fifth Amendment to Loan and Security
Agreement, dated as of March 1, 1999, the
Sixth Amendment to Loan and Security
Agreement, dated as of August 12, 1999 and the
Seventh Amendment to Loan and Security
Agreement, dated as of March 27, 2000 (as
amended, supplemented or modified from time to
time, the "Loan Agreement"), pursuant to which
Lender has made certain loans and financial
accommodations available to Borrower.  Terms
used herein without definition shall have the
meanings ascribed to them in the Loan
Agreement.

     B.   Borrower is purchasing 37 store
locations, together with the associated
leases, machinery, equipment, installations,
furniture, tools, spare parts, supplies and
maintenance equipment (collectively, the
"Lamonts Purchased Stores"), from Lamonts
Apparel, Inc., a Delaware corporation, in its
capacity as debtor-in-possession in Case No.
00-00045 (TTG) (the "Bankruptcy Case") in the
United States Bankruptcy Court for the Western
District of Washington (the "Bankruptcy
Court"), and is assuming the leases and
certain other contracts with respect to the
Lamonts Purchased Stores, all in accordance
with the Asset Purchase Agreement dated as of
April 24, 2000 between Lamonts Apparel, Inc.
and Borrower previously given to Lender (the
"Purchase Agreement").

     C.   Lender and Borrower wish to amend the
Loan Agreement under the terms and conditions
set forth in this Amendment.  Lender and
Borrower are entering into this Amendment with
the understanding and agreement that, except
as specifically provided herein, none of
Lender's rights or remedies as set forth in
the Loan Agreement is being waived or modified
by the terms of this Amendment.

     NOW, THEREFORE, in consideration of the
foregoing and the mutual covenants herein
contained, and for other good and valuable
consideration, the receipt and sufficiency of
which are hereby acknowledged, the parties
hereby agree as follows:

     1.   Definitions.  The following changes are
made to the definitions in Section 1 of the
Loan Agreement:

          (a)  Section 1.39 of the Loan Agreement is
hereby amended to read in its entirety as
follows:

          1.39 "Maximum Credit" shall mean,
     with reference to the Revolving Loans and
     the Letter of Credit Accommodations, the
     amount of One Hundred Eighty Million
     Dollars ($180,000,000).

          (b)  The following definitions are added at
the end of the present definitions:

          1.61 "Lamonts Purchased Stores"
     shall have the meaning set forth in the
     recitals to this Agreement.

          1.62 "New Lamonts Inventory" shall
     mean any Inventory purchased by Borrower
     to stock the Lamonts Purchased Stores.

     2.   Revolving Loans.  Section 2.1(a)(i) of
the Loan Agreement is hereby amended to read
in its entirety as follows:

          "(i) either (A) the least of:  (I)
     seventy-five percent (75%) of the Value
     of the Eligible Inventory, (II) eighty-
     five percent (85%) of the Appraised Value
     of the Eligible Inventory, or (III)
     thirty-seven and one-half percent (37.5%)
     of the Retail Sales Price of the Eligible
     Inventory; or (B) provided no Event of
     Default shall have occurred and be
     continuing, then at Borrower's option and
     upon one (1) day's prior written notice
     to Lender, from November 1 through
     December 31 of each calendar year, the
     least of (I) eighty percent (80%) of the
     Value of Eligible Inventory, (II) eighty-
     five percent (85%) of the Appraised Value
     of the Eligible Inventory, or (III)
     thirty-nine percent (39%) of the Retail
     Sales Price of the Eligible Inventory,
     which percentages shall remain in effect
     through December 31 unless revoked by
     Borrower upon one (1) day's prior written
     notice to Lender; provided, however, that
     advances against New Lamonts Inventory
     that is also Eligible Inventory shall be
     made only at the rate of 75% of the Value
     of Eligible New Lamonts Inventory through
     December 31, 2000, after which date no
     distinction shall be made between New
     Lamonts Inventory and other Inventory;
     and provided, further, that advances
     against Eligible Domestic In-Transit
     Inventory shall not, at any one time,
     exceed Five Million Dollars ($5,000,000);
     minus"

     3.   Accommodation Fee.  Concurrently with the
execution of this Amendment, Borrower shall
pay Lender an accommodation fee of Three
Hundred Thousand Dollars ($300,000,000) for
the processing and approval of this Amendment,
which fee shall be fully earned upon the
effectiveness of this Amendment.

     4.   Effectiveness of this Amendment.  Lender
must have received the following items, in
form and content acceptable to Lender, before
this Amendment is effective and before Lender
is required to extend any credit to Borrower
as provided for by this Amendment. The date on
which all of the following conditions have
been satisfied is the "Closing Date".
          (a)  Amendment.  This Amendment fully executed
in a sufficient number of counterparts for
distribution to Lender and Borrower.

          (b)  Authorizations.  Evidence that the
execution, delivery and performance by
Borrower and any instrument or agreement
required under this Amendment have been duly
authorized.

          (c)  Representations and Warranties.  The
representations and warranties set forth
herein and in the Loan Agreement must be true
and correct.

          (d)  Payment of Accommodation Fee.  Lender
shall have received the fee required by
Section 3 of this Amendment.

          (e)  Bankruptcy Court Order.  Lender shall
have received a copy of an effective Order of
the Bankruptcy Court providing for the
transfer to Borrower of good and marketable
title to the Lamonts Purchased Stores and all
assets related thereto free and clear of any
liens and encumbrances, except Lender's liens
under the Loan Agreement (the "Order"), which
Order shall be reasonably acceptable to
Lender.

     5.   Expiration of Appeal.  Lender will not
make, and Borrower will not request, any
advances in excess of One Hundred Forty
Million ($140,000,000) or any advances based
on New Lamonts Inventory until the time for
any appeal of the Order shall expire without
any party having filed an appeal.  If an
appeal is filed, the Loan Agreement shall,
without any further action on the part of
Lender or Borrower, be deemed to be amended to
delete all the changes made by this Amendment,
and the Accommodation Fee shall be refunded in
full to Borrower.

     6.   Covenants of Borrower.
          (a)  Borrower shall execute and deliver such
UCC-1 financing statements and other documents
as Lender may reasonably require to perfect
its security interest in, or maintain its
priority with respect to, any Collateral,
including the Lamonts Purchased Stores and
related assets.

          (b)  Borrower shall exercise reasonable
efforts to obtain landlord waivers and
consents or access agreements satisfactory to
Lender with respect to the Lamonts Purchased
Stores or any new Collateral location.

     7.   Representations and Warranties.  The
Borrower represents and warrants as follows:

          (a)  Authority.  The Borrower and each other
Loan Party has the requisite corporate power
and authority to execute and deliver this
Amendment, as applicable, and to perform its
obligations hereunder and under the Loan
Documents (as amended or modified hereby) to
which it is a party.  The execution, delivery
and performance by the Borrower of this
Amendment and by each other Loan Party of each
Loan Document (as amended or modified hereby)
to which it is a party have been duly approved
by all necessary corporate action of such Loan
Party and no other corporate proceedings on
the part of such Loan Party are necessary to
consummate such transactions.

          (b)  Enforceability.  This Amendment has been
duly executed and delivered by the Borrower.
This Amendment and each Loan Document (as
amended or modified hereby) is the legal,
valid and binding obligation of each Loan
Party hereto or thereto, enforceable against
such Loan Party in accordance with its terms,
and is in full force and effect.

          (c)  Representations and Warranties.  The
representations and warranties contained in
each Loan Document (other than any such
representations or warranties that, by their
terms, are specifically made as of a date
other than the date hereof) are correct on and
as of the date hereof as though made on and as
of the date hereof.

          (d)  No Default.  No event has occurred and is
continuing that constitutes, or would with
notice or passage of time constitute, an Event
of Default.

     8.   Choice of Law.  The validity of this
Amendment, its construction, interpretation
and enforcement, the rights of the parties
hereunder, shall be determined under, governed
by, and construed in accordance with the
internal laws of the State of California
governing contracts only to be performed in
that State.

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

    10.  Due Execution.  The execution, delivery
and performance of this Amendment are within
the power of Borrower, have been duly
authorized by all necessary corporate action,
have received all necessary governmental
approval, if any, and do not contravene any
law or any contractual restrictions binding on
Borrower.

    11.  Reference to and Effect on the Loan
Documents.
          (a)  Upon and after the effectiveness of this
Amendment, each reference in the Loan
Agreement to "this Agreement", "hereunder",
"hereof" or words of like import referring to
the Loan Agreement, and each reference in the
other Loan Documents to "the Loan Agreement",
"thereof" or words of like import referring to
the Loan Agreement, shall mean and be a
reference to the Loan Agreement as modified
and amended hereby.

         (b)  Except as specifically amended above, the
Loan Agreement and all other Loan Documents,
are and shall continue to be in full force and
effect and are hereby in all respects ratified
and confirmed and shall constitute the legal,
valid, binding and enforceable obligations of
Borrower to Lender.

        (c)  The execution, delivery and effectiveness
of this Amendment shall not, except as
expressly provided herein, operate as a waiver
of any right, power or remedy of Lender under
any of the Loan Documents, nor constitute a
waiver of any provision of any of the Loan
Documents.

       (d)  To the extent that any terms and
conditions in any of the Loan Documents shall
contradict or be in conflict with any terms or
conditions of the Loan Agreement, after giving
effect to this Amendment, such terms and
conditions are hereby deemed modified or
amended accordingly to reflect the terms and
conditions of the Loan Agreement as modified
or amended hereby.

   12.  Ratification.  Borrower hereby restates,
ratifies and reaffirms each and every term and
condition set forth in the Loan Agreement, as
amended hereby, and the Loan Documents
effective as of the date hereof.

   13.  Estoppel.  To induce Lender to enter into
this Amendment and to continue to make
advances to Borrower under the Loan Agreement,
Borrower hereby acknowledges and agrees that,
after giving effect to this Amendment, as of
the date hereof, there exists no Event of
Default and no right of offset, defense,
counterclaim or objection in favor of Borrower
as against Lender with respect to the
Obligations.

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

"BORROWER"

GOTTSCHALKS INC.,
a Delaware corporation

By: /s/ Michael Geele
Title: Senior Vice President/CFO

"LENDER"

CONGRESS FINANCIAL CORPORATION (WESTERN), a
California corporation

By: /s/ Kristine Metchikian
Title: Vice President

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