Document:

Exhibit 10.1

FIRST
AMENDED FORBEARANCE AGREEMENT

This FIRST AMENDED FORBEARANCE AGREEMENT (this “First Amended Forbearance Agreement”),
is dated as of August 13, 2007, is entered into by and among DDJ Total Return
Loan Fund, L.P., as the Lender (as defined in the Loan Agreement referred to
below), The Wornick Company, a Delaware corporation (the “Company”),
Right Away Management Corporation, a Delaware corporation, The Wornick Company
Right Away Division, a Delaware corporation, and The Wornick Company Right Away
Division, L.P., a Delaware limited partnership (each, a “Subsidiary”,
and, collectively, the “Subsidiaries”).

RECITALS:

A.            The Company, the Lender (as assignee
of Texas State Bank) and the Subsidiaries are parties to that certain Loan
Agreement, dated as of June 30, 2004 (as amended by the First Amendment thereto
dated as of March 16, 2007 and as further amended, modified, supplemented or
amended and restated from time to time, the “Loan
Agreement”).

B.            As of the date hereof, the Events of
Default referred to herein as the “Specified Defaults”
have occurred and are continuing.

C.            The Company, the Lender and the
Subsidiaries entered into a Forbearance Agreement dated as of July 16, 2007
(the “Forbearance Agreement”)
pursuant to which the Lender agreed to forbear from exercising its rights and
remedies under the Loan Agreement during the Forbearance Period.

D.            The Forbearance Period (as defined
in the Forbearance Agreement) under the Forbearance Agreement will expire on
August 13, 2007 and the Company and Subsidiaries have asked the Lender to
extend the Forbearance Period through September 12, 2007;

E.             The Company and the Subsidiaries
entered into a forbearance agreement with certain holders (the “Noteholders”) of the Company’s
10.875% Senior Secured Notes due 2011 (the “Notes”)
holding not less than $100 million in aggregate principal amount of the Notes,
representing not less than 80% of the aggregate principal amount of the Notes
outstanding on July 16, 2007 (the “Noteholder Forbearance
Agreement”) pursuant to which the Noteholders agreed to forbear
from exercising their rights and remedies under the Indenture until the
expiration of the Forbearance Period (as defined in the Noteholder Forbearance
Agreement) on August 15, 2007.

F.             The Company and the Subsidiaries
have advised the Lender that the Company, the Subsidiaries and the Noteholders
will, simultaneously with the execution of this First Amended Forbearance
Agreement, enter into a separate amended forbearance agreement with the
Noteholders pursuant to which the Noteholders shall agree to forbear from
exercising the rights and remedies available to the Noteholders under the
Indenture, the Intercreditor Agreement and the Collateral Agreements (as
defined in the Indenture) until September 17, 2007, all on the terms and
conditions set forth in such amended forbearance agreement (as such agreement
may be amended, modified, supplemented or amended and restated from time to
time, the “Amended Noteholder Forbearance Agreement”).

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NOW, THEREFORE, in consideration of the premises and
the respective representations, warranties, covenants and agreements set forth
in this First Amended Forbearance Agreement, and intending to be legally bound,
the parties hereto agree as follows:

ARTICLE I

DEFINITIONS

 

1.1          Defined Terms.

(a)           Capitalized
terms that are defined in this First Amended Forbearance Agreement shall have
the meanings ascribed to such terms in this First Amended Forbearance
Agreement. All other capitalized terms shall have the meanings ascribed in the
Loan Agreement. Unless the context of this First Amended Forbearance Agreement
clearly requires otherwise, references to the plural include the singular;
references to the singular include the plural; the words “include,” “includes,”
and “including” will be deemed to be followed by “without limitation”; and the
term “or” has, except where otherwise indicated, the inclusive meaning
represented by the phrase “and/or”.

(b)           This
First Amended Forbearance Agreement constitutes a “Loan Document” as defined in
the Loan Agreement.

(c)           References
in this First Amended Forbearance Agreement to the Lender shall constitute
references to DDJ Total Return Loan Fund, L.P. solely in its capacity as the
Lender.

ARTICLE
II

FORBEARANCE AND AMENDMENT TO LOAN AGREEMENT

2.1          Forbearance; Forbearance Default
Rights and Remedies.

(a)           Effective
as of the Amended Forbearance Effective Date (as defined below), the Lender
agrees that until the expiration of the “Forbearance Period” (as defined
below), it will forbear from exercising its rights and remedies against the
Company or the Subsidiaries under the Loan Agreement, the other Loan Documents
and/or applicable law solely with respect to the Specified Defaults and any
Event of Default resulting solely from the Company’s failure to make the scheduled
interest payment due under the Notes on July 15, 2007 (excluding, however, in
each case, its right to charge interest on any Obligations during the
Forbearance Period at the default interest rate specified in the Revolving Note
and the Term Note); provided, however, (i) each of the Company
and the Subsidiaries shall comply, except to the extent such compliance is
expressly excused by the terms of this First Amended Forbearance Agreement,
with all explicit restrictions or prohibitions triggered by the existence
and/or continuance of any Event of Default under the Loan Agreement, this First
Amended Forbearance Agreement or any of the other Loan Documents, (ii) nothing
herein shall restrict, impair or otherwise affect the Lender’s rights and
remedies under any agreements containing subordination provisions in favor of
the Lender (including, without limitation, any rights or remedies available to
the Lender as a result of the occurrence or continuation of the Specified
Defaults or any Event of Default resulting from the Company’s failure to make
the scheduled interest payment due under the Notes on July 15, 2007), and (iii)
nothing herein shall restrict, impair or otherwise 

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affect the exercise of the Lender’s rights
under this First Amended Forbearance Agreement. 
As used herein, the term “Specified
Defaults” shall mean the Events of Default listed on Annex I
hereto.  During the Forbearance Period,
any condition to the making of an Advance under the Loan Agreement that would
not be met solely because of the occurrence and continuance of any Specified
Default or any Event of Default resulting solely from the Company’s failure to
make the scheduled interest payment due under the Notes on July 15, 2007 is
hereby waived.

(b)           As
used herein, the term “Forbearance
Period” shall mean the period beginning on the Amended
Forbearance Effective Date (as defined below) and ending upon the occurrence of
a Termination Event.  As used herein, “Termination Event” shall mean
the earlier to occur of (i) the delivery by the Lender to the Company, the
counsel to the Noteholder Group (as defined in the Amended Noteholder
Forbearance Agreement) and the Trustee (as defined in the Intercreditor
Agreement) of a written notice terminating the Forbearance Period, which notice
may be delivered at any time upon or after the occurrence of any Forbearance
Default (as defined below), and (ii) September 13, 2007.  As used herein, the term “Forbearance Default” shall
mean: (A) the occurrence of any Event of Default that is not (i) a Specified
Default or (ii) an Event of Default resulting solely from the Company’s failure
to make the scheduled interest payment due under the Notes on July 15, 2007,
(B) the delivery of any written notice by the Noteholders to the Company
terminating the Amended Noteholder Forbearance Agreement, and/or the
Forbearance Period (as defined in the Amended Noteholder Forbearance Agreement)
as a result of the occurrence and continuation of any Forbearance Default (as
defined in the Amended Noteholder Forbearance Agreement) or any other
termination of the Amended Noteholder Forbearance Agreement, (C) the delivery
of any Indenture Payment Notice (as defined in Section 2.4 below) to the
Lender, (D) the failure of the Company or any Subsidiary to comply with any
term, condition, covenant or agreement set forth in this First Amended
Forbearance Agreement, (E) the failure of any representation or warranty made
by the Company or any Subsidiary under this First Amended Forbearance Agreement
to be true and correct in all material respects as of the date when made, (F) the failure of the Company promptly to notify the Lender of
any amendment or modification to the Amended Noteholder Forbearance Agreement;
(G) the execution of any amendment or modification to the Amended
Noteholder Forbearance Agreement, which amendment or modification has a
material adverse effect on the Lender, as determined by the Lender in its
discretion, (H) any occurrence, event or change in facts or
circumstances occurring on or after the Amended Forbearance Effective Date that
would result in a Material Adverse Change, (I) the occurrence of any violation
or breach of, or other failure to observe, perform or comply with, the terms of
the Intercreditor Agreement by the Trustee, or (J) the commencement by or against
the Company or any Subsidiary of a proceeding under any Debtor Relief
Laws.  Any Forbearance Default shall
constitute an immediate Event of Default under the Loan Agreement.

(c)           Upon
the occurrence of a Termination Event, the agreement of the Lender hereunder to
forbear from exercising its rights and remedies in respect of the Specified
Defaults and any Event of Default resulting solely from the Company’s failure
to make the scheduled interest payment due under the Notes on July 15, 2007
shall immediately terminate without the requirement of any demand, presentment,
protest, or notice of any kind, all of which each of the Company and the
Subsidiaries hereby waives.  The Company
and the Subsidiaries agree that the Lender may at any time after the occurrence
of a Termination Event proceed to exercise any or all of its rights and
remedies under the Loan Agreement, any other Loan 

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Document, the Intercreditor Agreement and/or
applicable law, including, without limitation, its rights and remedies on
account of the Specified Defaults and any other Events of Default that may then
exist.  Without limiting the generality
of the foregoing, upon the occurrence of a Termination Event, the Lender may,
upon such notice or demand as is specified by the Loan Agreement, any other
Loan Documents, the Intercreditor Agreement or applicable law, (i) collect
and/or commence any legal or other action to collect any or all of the
Obligations from the Company and the Subsidiaries, (ii) foreclose or otherwise
realize on any or all of the Collateral, and/or appropriate, setoff or apply to
the payment of any or all of the Obligations, any or all of the Collateral or
proceeds thereof, and (iii) take any other enforcement action or otherwise
exercise any or all rights and remedies provided for by or under the Loan
Agreement, any other Loan Documents, the Intercreditor Agreement and/or
applicable law, all of which rights and remedies are fully reserved by the
Lender.

(d)           Any
agreement by the Lender to extend the Forbearance Period or enter into any
other forbearance or similar arrangement must be set forth in writing and
signed by a duly authorized signatory of the Lender.  The Company and each of the Subsidiaries
acknowledges that the Lender has made no assurances whatsoever concerning any
possibility of any extension of the Forbearance Period, any other forbearance
or similar arrangement or any other limitations on the exercise of its rights,
remedies and privileges under or otherwise in connection with the Loan
Agreement, the other Loan Documents, the Intercreditor Agreement and/or
applicable law.

(e)           The
Company and each of the Subsidiaries acknowledges and agrees that any
forbearance, waiver, consent or other financial accommodation (including the
funding of any borrowing request under the Revolving Loan) which the Lender may
make on or after the date hereof has been made by the Lender in reliance upon,
and is consideration for, among other things, the general releases and
reaffirmation of indemnities contained in Article 4 hereof and the other
covenants, agreements, representations and warranties of the Company and each
of the Subsidiaries hereunder.

2.2            Amendment to Section
8.02.  Section 8.02 of the
Loan Agreement is hereby amended and restated in its entirety to read as
follows:

“Borrower will not permit the aggregate rentals payable under all
non-cancelable operating leases entered into after Closing to which Borrower or
Subsidiary is a party to exceed (a) $500,000 during any fiscal year ending with
fiscal year 2006, (b) $1,250,000 during the fiscal year 2007, and (c)
$1,500,000 thereafter.  Without the prior
written consent of the Lender in its sole discretion, no such operating lease
entered into after May 1, 2007 and having a term greater than one year shall
contain any restriction on the Borrower’s or applicable Subsidiary’s right to
grant a lien to the Lender on such Person’s leasehold interest in the subject
property, and the lessor in respect of each such lease shall have agreed to
provide upon request a collateral access agreement substantially in the form
provided by the Lender with such modifications therein as shall be reasonably
acceptable to the Lender.  Lender
acknowledges and consents to the Leases pledged to Lender by Leasehold Deed of
Trust to secure the Obligations and the other existing leases on other real
property disclosed to Lender. Borrower agrees not to amend the Leases in any
material respect without the prior written consent of the Lender.  At
Lender’s request, Borrower and its Subsidiaries will grant Lender first liens
on the leasehold interest in all real 

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property
leases to the extent Borrower and its Subsidiaries are permitted to grant liens
on their leasehold interest under such leases.”

2.3          Modification of
Certain Reporting Requirements.   The Lender may in its sole discretion from time to
time instruct the Company not to deliver to the Lender the cash budgets
contemplated in Section 7.11 of the Loan Agreement or the written reports
contemplated in Section 7.21 of the Loan Agreement.  The Company shall comply with any such
instruction received from the Lender until such time as instructed to the
contrary by the Lender.  The Company’s
compliance with this Section 2.3 shall constitute compliance with Sections 7.11
and 7.21 of the Loan Agreement and the Company’s failure to comply with this
Section 2.3 shall constitute an Event of Default.

2.4          Indenture Payments.   The Company and the Subsidiaries hereby covenant
and agree to give to the Lender at least five (5) Business Days’ prior written
notice of its or their intention to make any interest payment in respect of the
Notes (each such notice, an “Indenture Payment Notice”).  For the avoidance of doubt, the requirement
to give any such Indenture Payment Notice shall be in addition to, and not in
lieu of, the requirements set forth in Section 7.21 of the Loan Agreement.

2.5          Effectiveness.   This First Amended Forbearance Agreement shall
become effective as of the first date (the “Amended Forbearance Effective Date”) on
which each of the following conditions is satisfied and evidence of its
satisfaction has been delivered to counsel to the Lender:

(a)           there
shall have been delivered to the Lender in accordance with Section 6.5 herein,
counterparts of this First Amended Forbearance Agreement executed by each of
the Lender, the Company and each of the Subsidiaries;

(b)           the
Lender shall have received the Amended Noteholder Forbearance Agreement, duly
executed and delivered by each of the Company, the Subsidiaries, the Trustee
and the Noteholders, having a Forbearance Period (as defined therein) (subject
to earlier termination upon the occurrence and continuation of a Forbearance
Default, as defined therein) through and including a date that is no earlier
than September 16, 2007, and such Amended Noteholder Forbearance Agreement
shall otherwise be satisfactory in form and substance to the Lender; and

(c)           the
Lender shall have received all accrued and unpaid costs and expenses (including
legal fees and expenses) required to be paid pursuant hereto or the Loan
Agreement on or prior to the Amended Forbearance Effective Date.

ARTICLE
III

REPRESENTATIONS, WARRANTIES AND COVENANTS

3.1          Representations, Warranties and
Covenants of the Company and the Subsidiaries.   To induce the Lender to enter into this First Amended
Forbearance Agreement, each of the Company and the Subsidiaries hereby
represents, warrants and covenants to the Lender as follows:

 5

(a)           The
representations and warranties of each of the Company and the Subsidiaries in
the Loan Documents are on the date of execution and delivery of this First
Amended Forbearance Agreement, and will be on the Amended Forbearance Effective
Date, true, correct and complete in all material respects with the same effect
as though made on and as of such respective date (or, to the extent such
representations and warranties expressly relate to an earlier date, on and as
of such earlier date), except to the extent of any inaccuracy resulting solely
from the Specified Defaults.

(b)           Except for
the Specified Defaults or as otherwise expressly provided herein, the Company
and each of the Subsidiaries is in compliance with all of the terms and
provisions set forth in the Loan Agreement and the other Loan Documents on its
part to be observed or performed, and no Event of Default has occurred and is
continuing.

(c)           The
execution, delivery and performance by each of the Company and the Subsidiaries
of this First Amended Forbearance Agreement:

(i)            are within its
corporate or limited partnership powers, as applicable;

(ii)           have been duly
authorized by all necessary corporate or limited partnership action, as
applicable, including the consent of the holders of its equity interests where
required;

(iii)          do not and will not
(A) contravene its certificate of incorporation or by-laws or limited
partnership or other constituent documents, as applicable, (B) violate any
applicable requirement of law or any order or decree of any governmental
authority or arbitrator applicable to it, (C) conflict with or result in the
breach of, or constitute a default under, or result in or permit the
termination or acceleration of, any contractual obligation of the Company or
any of the Subsidiaries, or (D) result in the creation or imposition of any
lien or encumbrance upon any of the property of the Company or any of the
Subsidiaries; and

(iv)          do not and will not
require the consent of, authorization by, approval of, notice to, or filing or
registration with, any governmental authority or any other Person, other than
those which prior to the Amended Forbearance Effective Date will have been
obtained or made and copies of which prior to the Amended Forbearance Effective
Date will have been delivered to the Lender and each of which on the Amended
Forbearance Effective Date will be in full force and effect.

(d)           This First
Amended Forbearance Agreement has been duly executed and delivered by the
Company and each of the Subsidiaries. 
Each of this First Amended Forbearance Agreement, the Loan Agreement and
the other Loan Documents constitutes the legal, valid and binding obligation of
the Company and the Subsidiaries, enforceable against each such Person in
accordance with its terms, except as may be limited by bankruptcy, insolvency,
reorganization, moratorium or other similar laws relating to or limiting
creditors’ rights generally or by equitable principles relating to
enforceability.

 

 6
 

(e)           Within
five
(5) Business Days after the Amended Forbearance Effective Date, the
Company shall file this First Amended Forbearance Agreement and the Amended
Noteholder Forbearance Agreement with the United States Securities and Exchange
Commission as an exhibit to a filing by the Company on Form 8-K pursuant to the
Securities and Exchange Act of 1934, as amended, which 8-K filing and any
accompanying press release shall be in form and substance reasonably
satisfactory to the Lender.

(f)            The
Company and the Subsidiaries shall immediately notify the Lender upon its or
their becoming aware of (i) an Event of Default under the Loan Agreement or an
Event of Default (as defined in the Indenture) under the Indenture that is not
a Specified Default or an Event of Default resulting solely from the Company’s
failure to make the scheduled interest payment due under the Notes on July 15,
2007 or (ii) the occurrence of a Forbearance Default (as defined in the Amended
Noteholder Forbearance Agreement).

3.2          Survival.  The representations and warranties in Section
3.1 shall survive the execution and delivery of this First Amended Forbearance
Agreement and the Amended Forbearance Effective Date.

ARTICLE
IV

GENERAL RELEASE; REAFFIRMATION OF INDEMNITY

(a)           In
consideration of, among other things, the Lender’s execution and delivery of
this First Amended Forbearance Agreement, each of the Company and the
Subsidiaries, on behalf of itself and its successors and assigns (collectively,
“Releasors”),
hereby forever agrees and covenants not to sue or prosecute against any
Releasee (as defined below) and hereby forever waives, releases and discharges
to the fullest extent permitted by law, each Releasee from, any and all claims
(including, without limitation, crossclaims, counterclaims, rights of set-off
and recoupment), actions, causes of action, suits, debts, accounts, interests,
liens, promises, warranties, damages and consequential and punitive damages,
demands, agreements, bonds, bills, specialties, covenants, controversies,
variances, trespasses, judgments, executions, costs, expenses or claims whatsoever
(collectively, the “Claims”),
that such Releasor now has or hereafter may have, of whatsoever nature and
kind, whether known or unknown, whether now existing or hereafter arising,
whether arising at law or in equity, against the Lender in any capacity and its
affiliates, shareholders, participants and “controlling persons” (within the
meaning of the federal securities laws), and their respective successors and
assigns and each and all of the officers, directors, employees, agents,
attorneys, advisors, auditors, consultants and other representatives of each of
the foregoing (collectively, the “Releasees”),
based in whole or in part on facts whether or not now known, existing on or
before the Amended Forbearance Effective Date, that relate to, arise out of or
otherwise are in connection with (i) any aspect of the business, operations,
assets, properties, affairs or any other aspect of any of the Company or the
Subsidiaries, (ii) any aspect of the dealings or relationships between or among
the Company, the Subsidiaries and their respective affiliates, on the one hand,
and the Lender, on the other hand, or (iii) any or all of the Loan Agreement or
the other Loan Documents, or any transactions contemplated thereby or any acts
or omissions in connection therewith; provided, however, that the
foregoing shall not release the Lender from its express obligations under this
First Amended Forbearance Agreement, the Loan Agreement and the other Loan
Documents.  The receipt by the Company of
any of the Revolving Loan or other financial accommodations made by the Lender
on or after the date hereof shall constitute a ratification, adoption, and
confirmation by the 

 7
 

 

Company and the Subsidiaries of the foregoing general release of all
Claims against the Releasees which are based in whole or in part on facts,
whether or not now known or unknown, existing on or prior to the date of
receipt of any of the Revolving Loan or other financial accommodations.  In entering into this First Amended
Forbearance Agreement, each of the Company and the Subsidiaries consulted with,
and has been represented by, legal counsel and expressly disclaims any reliance
on any representations, acts or omissions by any of the Releasees and each
hereby agrees and acknowledges that the validity and effectiveness of the
releases set forth herein do not depend in any way on any such representations,
acts and/or omissions or the accuracy, completeness or validity hereof.  The provisions of this Article 4(a) shall survive
the expiration of the Forbearance Period and the termination of this First
Amended Forbearance Agreement, the Loan Agreement, the other Loan Documents and
payment in full of the Obligations.

(b)           Without in
any way limiting their reaffirmations and acknowledgements set forth in Article
5 hereof, each of the Company and the Subsidiaries hereby expressly
acknowledges, agrees and reaffirms its indemnification and other obligations to
and agreements with the Indemnified Parties set forth in Article 13 of the Loan
Agreement.  Each of the Company and the
Subsidiaries further acknowledges, agrees and reaffirms that all of such
indemnification and other obligations and agreements set forth in Article 13 of
the Loan Agreement shall survive the expiration of the Forbearance Period and
the termination of this First Amended Forbearance Agreement, the Loan
Agreement, the other Loan Documents and the payment in full of the Obligations.

ARTICLE V

RATIFICATION OF LIABILITY

Each of the Company and the Subsidiaries hereby
ratifies and reaffirms all of its payment and performance obligations and
obligations to indemnify, contingent or otherwise, under each of such Loan
Documents to which it is a party, and hereby ratifies and reaffirms its grant
of liens on or security interests in its properties pursuant to such Loan
Documents to which it is a party as security for the Obligations, and confirms
and agrees that such liens and security interests hereafter secure all of the
Obligations, including, without limitation, all additional Obligations
hereafter arising or incurred pursuant to or in connection with this First
Amended Forbearance Agreement, the Loan Agreement or any other Loan Document.

ARTICLE
VI

MISCELLANEOUS

6.1          No
Other Amendments; Reservation of Rights; No Waiver.  Other than as otherwise expressly provided
herein, this First Amended Forbearance Agreement shall not be deemed to operate
as an amendment or waiver of, or to prejudice, any right, power, privilege or
remedy of the Lender under the Loan Agreement, any other Loan Document or
applicable law, nor shall the entering into this First Amended Forbearance
Agreement preclude the Lender from refusing to enter into any further
amendments or forbearances with respect to the Loan Agreement or any other Loan
Document.  Other than as otherwise
expressly provided herein, this First Amended Forbearance Agreement shall not
constitute a forbearance with respect to (i) any failure by the Company or any
of the Subsidiaries to comply with any covenant or other 

 

 8
 

provision in the Loan Agreement or any other Loan Document or (ii) the
occurrence or continuance of any present or future Event of Default.

6.2          Ratification
and Confirmation; Survival.  Except as expressly set forth in this First
Amended Forbearance Agreement, the terms, provisions and conditions of the Loan
Agreement and the other Loan Documents are hereby ratified and confirmed and
shall remain unchanged and in full force and effect without interruption or
impairment of any kind.  Notwithstanding
anything to the contrary herein, Sections 2.2 and 2.3 shall survive the
termination of this First Amended Forbearance Agreement.

6.3          Governing
Law.  This First
Amended Forbearance Agreement will be governed by and construed in accordance
with the laws of the State of New York, without regard to conflict of laws
principles thereof.

6.4          Headings.  The article and section headings contained in
this First Amended Forbearance Agreement are inserted for convenience only and
will not affect in any way the meaning or interpretation of this First Amended
Forbearance Agreement.

6.5          Counterparts.  This First Amended Forbearance Agreement may
be executed in two or more counterparts, each of which will be deemed an
original but all of which, when taken together, will constitute one and the
same instrument.  This First Amended
Forbearance Agreement may be delivered by exchange of copies of the signature
page by facsimile transmission or electronic mail.

6.6          Severability.  The provisions of this First Amended
Forbearance Agreement will be deemed severable and the invalidity or unenforceability
of any provision will not affect the validity or enforceability of the other
provisions hereof; provided that if any provision of this First Amended
Forbearance Agreement, as applied to any party or to any circumstance, is
judicially determined not to be enforceable in accordance with its terms, the
parties agree that the court judicially making such determination may modify
the provision in a manner consistent with its objectives such that it is
enforceable, and/or to delete specific words or phrases, and in its modified
form, such provision will then be enforceable and will be enforced.

6.7          Agreement.  This First Amended Forbearance Agreement may
not be amended or modified except in the manner specified for an amendment of
or modification to the Loan Agreement in Section 12.10 of the Loan Agreement.

6.8          Costs;
Expenses.  Each
of the Company and the Subsidiaries hereby agrees to pay to DDJ Total Return
Loan Fund, L.P., DDJ Capital Management, LLC and their respective affiliates on
demand all costs and expenses (including the fees and expenses of legal
counsel) of such Person incurred in connection with the Company and the
Subsidiaries.  The provisions of this
Section 6.8 shall survive the termination of this First Amended Forbearance
Agreement provided, however, that the Obligations under this
Section 6.8 shall terminate upon the payment in full of the Obligations and the
termination of the Loan Agreement.

6.9          Assignment;
Binding Effect. 
Neither the Company nor any Subsidiary may assign either this First
Amended Forbearance Agreement or any of its rights, interests or 

 

 9
 

obligations hereunder.  All of
the terms, agreements, covenants, representations, warranties and conditions of
this First Amended Forbearance Agreement are binding upon, and inure to the
benefit of and are enforceable by, the parties and their respective successors
and permitted assigns.

6.10        Amended
Agreement.   The
parties hereto hereby acknowledge and agree that the Forbearance Agreement,
dated as of July 16, 2007, by and among the Lender, the Company and the
Subsidiaries is amended and restated by this First Amended Forbearance
Agreement.

6.11        Entire
Agreement.  This
First Amended Forbearance Agreement, the Loan Agreement, the other Loan
Documents and the Intercreditor Agreement, together with any and all Annexes,
Exhibits and Schedules thereto that are or have been delivered pursuant
thereto, constitute the entire agreement and understanding of the parties in
respect of the subject matter of the Loan Agreement and supersede all prior
understandings, agreements or representations by or among the parties, written
or oral, to the extent they relate in any way with respect thereto.

[SIGNATURE
PAGE FOLLOWS]

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IN WITNESS WHEREOF, the parties
hereto have caused this First Amended Forbearance Agreement to be executed by
their respective officers thereunto duly authorized, as of the date first above
written.

	
   

  	
  COMPANY

  
	
   

  	
   

  	
   

  
	
   

  	
  THE WORNICK COMPANY

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  
	
   

  	
   

  	
  Name: Jon Geisler

  
	
   

  	
   

  	
  Title: President and CEO

  
	
   

  	
   

  	
   

  
	
   

  	
  SUBSIDIARIES

  
	
   

  	
   

  	
   

  
	
   

  	
  THE WORNICK COMPANY RIGHT AWAY 

  DIVISION, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  
	
   

  	
   

  	
  Name: Jon Geisler

  
	
   

  	
   

  	
  Title: President and CEO

  
	
   

  	
   

  	
   

  
	
   

  	
  RIGHT AWAY MANAGEMENT CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  
	
   

  	
   

  	
  Name: Jon Geisler

  
	
   

  	
   

  	
  Title: President and CEO

  
	
   

  	
   

  	
   

  
	
   

  	
  THE WORNICK COMPANY RIGHT AWAY DIVISION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  
	
   

  	
   

  	
  Name: Jon Geisler

  
	
   

  	
   

  	
  Title: President and CEO

  
	
   

  	
   

  	
   

  
	
   

  	
  LENDER

  
	
   

  	
   

  	
   

  
	
   

  	
  DDJ TOTAL RETURN LOAN FUND, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By: 

  	
  GP Total Return, LP, its General Partner

  
	
   

  	
  By:

  	
  GP Total Return, LLC, its General Partner

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  
	
   

  	
   

  	
  Name: Jackson S. Craig

  
	
   

  	
   

  	
  Title: Authorized Signatory

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  
	
   

  	
   

  	
  Name: Joshua L. McCarthy

  
	
   

  	
   

  	
  Title: Authorized Signatory

  

 

 11
 

ANNEX I

SPECIFIED DEFAULTS

The Events of Default:

1.                                       under Section
10.01(a) as a result of (i) the failure to make the interest payment under the
Loan Agreement due on March 31, 2007 until April 20, 2007 and (ii) the failure
to make the interest payment under the Loan Agreement due on April 30, 2007
until May 2, 2007.

2.                                       under Section
10.01(a) as a result of the failure to make the Annual Commitment Fee payment
under the Loan Agreement due on June 30, 2007 until August 7, 2007.

3.                                       under Section
10.01(b) as a result of a breach of Section 7.12 resulting solely from the
failure to make payments under or perform covenants and agreements in material
Contracts with trade creditors or vendors occurring at any time prior to or
during the Forbearance Period.

4.                                       under Section
10.01(c) based solely upon the inaccuracy of any representation and warranty in
Section 6.03 with respect to any financial statements delivered prior to July
16, 2007 resulting solely from the failure to characterize amounts owed under
the Notes as current liabilities.

5.                                       under Section
10.01(c) based solely upon the inaccuracy of any representation and warranty in
any Draw Request resulting solely from the occurrence of any of the other
Specified Defaults.

6.                                       under Section
10.01(j) arising from the default occurring under the Indenture that either (i)
is specified in the notice to the Company from U.S. Bank National Association,
as trustee, dated April 18, 2007 pertaining to requirements to deliver certain
annual financial statements and an opinion of counsel or (ii) is a default or
an Event of Default (as defined in the Indenture) under Section 6.1(3) of the
Indenture resulting from (A) breaches of Sections 4.4(a) (such breach consisting
of the failure to deliver the compliance certificate specified therein in
respect of the Company’s fiscal year ended December 31, 2006) and, in respect
of the Company’s fiscal years ended December 31, 2004 and December 31, 2005,
4.22 of the Indenture and (B) the Company’s failure to deliver certain
quarterly financial statements for the fiscal quarters ended March 31, 2007 and
June 30, 2007.

7.                                       under Section
10.01(l) based on the failure to maintain in effect Government Contracts on
MREs representing at least 20% of the total case volume of all outstanding MREs
Government Contracts.

8.                                       under Section
10.01(r) based solely upon the occurrence of any of the other Specified
Defaults.

9.                                       under
Section 10.01(b) or (c) based solely upon the occurrence of the other Specified
Defaults.

 12Exhibit 10.2

FIRST AMENDED AND RESTATED FORBEARANCE AGREEMENT

This First Amended and
Restated Forbearance Agreement is made, and is effective, as of August 13, 2007
(“First Amended Forbearance Agreement”), and amends and restates that
certain Forbearance Agreement (defined below) by and among The Wornick Company
(the “Company”), Right Away Management Corporation, The Wornick Company
Right Away Division and The Wornick Company Right Away Division L.P. (each a “Subsidiary,”
and collectively, the “Subsidiaries”), the holders of the Company’s
10.875% Senior Secured Notes due 2011 (the “Notes”) that were issued
pursuant to that certain Indenture, dated as of June 30, 2004 (as amended,
modified, supplemented or amended and restated from time to time, the “Indenture”),
that are signatories hereto (each a “Noteholder,” and collectively, the “Noteholders,”
and together with the Company, the “Parties”) and U.S. Bank National
Association, as indenture trustee (the “Indenture Trustee”) under the
Indenture, solely with respect to Sections 3(b)(i) and 14 hereof.

RECITALS

WHEREAS, the
Noteholders collectively hold not less than $100 million in aggregate principal
amount of the Notes, representing not less than 80% of the aggregate principal
amount of the Notes that are outstanding;

WHEREAS, each of the
Noteholders (other than DDJ Total Return Loan Fund, L.P.; B IV Capital
Partners, L.P.; DDJ High Yield Fund; GMAM Investment Funds Trust II, for the
account of the Promark Alternative High Yield Bond Fund 

 

 1
 

(Account No. 7M2E); GMAM
Investment Funds Trust; General Motors Welfare Benefit Trust (VEBA); GMAM
Investment Funds Trust II for the account of the Promark Alternative High Yield
Bond Fund (Account No. 7MWD); DDJ Capital Management Group Trust; Stichting
Pensioenfonds Hoogovens; The October Fund, Limited Partnership; DDJ/Ontario
Credit Opportunities Fund, L.P.; and Multi-Style, Multi-Manager Funds PLC The
Global High Yield Fund (collectively, “DDJ”)), is a member of the
unofficial group of holders of the Notes (the “Noteholder Group”), which
collectively holds a majority in principal amount of the Notes;

WHEREAS, the
Company, the Subsidiaries and DDJ Total Return Loan Fund, L.P. (as assignee of
Texas State Bank; in such capacity, “Lender”) are parties to that
certain Loan Agreement, dated as of June 30, 2004 (as amended by the First
Amendment dated as of March 16, 2007, and as further amended, modified,
supplemented or amended and restated from time to time, the “Loan Agreement”);

WHEREAS, (a) the
obligations of the Company and the Subsidiaries evidenced by the Notes and the
Guarantees (as defined in the Indenture) and (b) the obligations of the Company
and the Subsidiaries to Lender pursuant to the Loan Agreement and the other
Loan Documents (as defined in the Loan Agreement), are secured by a security
interest in and continuing lien on substantially all of the assets of the
Company and the Subsidiaries (the “Collateral”);

WHEREAS, Lender’s
and the Indenture Trustee’s rights with respect to the priority and enforcement
of their security interests in the Collateral are governed by 

 

 2
 

that certain
Intercreditor Agreement, dated as of June 30, 2004, between the Indenture
Trustee and the Texas State Bank (as amended, modified, supplemented or amended
and restated from time to time, the “Intercreditor Agreement”);

WHEREAS, as
of the date hereof, the Events of Default referred to herein as the “Specified
Existing Defaults,” all of which are specified on schedule A
attached hereto, have occurred and are continuing;

WHEREAS, the Company anticipates
that during the Forbearance Period (as defined below), certain additional
Defaults and Events of Default will occur and continue, referred to herein as
the “Anticipated Defaults,” all of which are specified on schedule A
attached hereto;

WHEREAS, the
Company, the Subsidiaries, the Noteholders and the Indenture Trustee entered
into a forbearance agreement dated as of July 16, 2007 (the “Forbearance
Agreement”) pursuant to which the Noteholders agreed to forbear, and agreed
to direct the Indenture Trustee to forbear, from exercising their rights and
remedies under the Indenture during the Forbearance Period (as defined in the
Forbearance Agreement);

WHEREAS, the
Forbearance Period (as defined in the Forbearance Agreement) under the
Forbearance Agreement is set to expire on August 15, 2007 and the Company and
the Subsidiaries have asked the Noteholders to extend the Forbearance Period
through September 16, 2007;

 

 3
 

WHEREAS, the
Company and the Subsidiaries entered into a forbearance agreement with the Lender
dated as of July 16, 2007 (the “DDJ Forbearance Agreement”) pursuant to
which the Lender agreed to forbear from exercising its rights and remedies
under the Loan Agreement and the other Loan Documents (as defined in the Loan
Agreement) until the expiration of the forbearance period set forth in the DDJ
Forbearance Agreement (the “DDJ Forbearance Period”);

WHEREAS, the Company and
the Subsidiaries have advised the Noteholders that the Company, the
Subsidiaries and Lender will, simultaneously with the execution of this First
Amended Forbearance Agreement, enter into a separate amendment to the DDJ
Forbearance Agreement, pursuant to which Lender shall agree to extend the DDJ
Forbearance Period and continue to forbear from exercising the rights and remedies
available to Lender under the Loan Agreement and the other Loan Documents (as
defined in the Loan Agreement), all on the terms and conditions set forth in
such separate forbearance agreement (as such agreement may be amended,
modified, supplemented or amended and restated from time to time, the “DDJ
Amended Forbearance Agreement”);

WHEREAS, at the
Company’s request, the Noteholders have agreed to continue forbearing from
exercising, and continue to instruct the Indenture Trustee not to exercise,
those of the rights and remedies available under the Indenture, the
Intercreditor Agreement, the Collateral Agreements and/or applicable law that
have or may have arisen, or may hereafter arise, due to the occurrence and
continuance of the Specified 

 

 4
 

Existing Defaults or the
Anticipated Defaults, on the terms and conditions set forth herein; and

WHEREAS, capitalized
terms used and not defined herein shall have the meanings ascribed to them in
the Indenture and the Forbearance Agreement.

NOW THEREFORE, in
consideration of the premises and the respective covenants and agreements set
forth in this First Amended Forbearance Agreement, the Parties, each intending
to be legally bound, agree that the Forbearance Agreement is amended and
restated in its entirety as follows:

1.             Forbearance.

(a)           Effective
as of the Amended Forbearance Effective Date (as defined below), the
Noteholders agree that, until the expiration of the Forbearance Period (as
defined below), they will forbear from exercising, and shall direct the
Indenture Trustee,  and by signature
hereto so direct the Indenture Trustee pursuant to Section 6.5 of the
Indenture, not to exercise, any rights and remedies against the Company or the
Subsidiaries that are available under the Indenture, the Intercreditor Agreement,
the Collateral Agreements and/or applicable law solely with respect to (i) the
Specified Existing Defaults and (ii) any Anticipated Defaults (excluding,
however, the Noteholders’ right to charge default interest on the Notes
(including on all unpaid interest on the Notes to the extent provided under the
Indenture) during the Forbearance Period); provided, however,
that nothing herein shall restrict, impair or otherwise affect the exercise of
the Noteholders’ rights under this First Amended Forbearance Agreement, 

 5

and provided  further that no such forbearance shall
constitute a waiver with respect to any such Specified Existing Defaults,
Anticipated Defaults or any other Events of Default under the Indenture.

(b)           As
used herein, the term “Forbearance Period” shall mean the period
beginning on the date hereof and ending upon the occurrence of a Termination
Event.  As used herein, “Termination
Event” shall mean the earlier to occur of

(i) September 17, 2007; and (ii) two business days after the delivery by the
Noteholder Group to the Company and Lender of a written notice terminating the
Forbearance Period (the “Termination Notice”), which notice may be
delivered at any time upon or after the occurrence of any Forbearance Default
(as defined below); provided, however, that notwithstanding the
foregoing, (x) this First Amended Forbearance Agreement shall immediately
terminate two (2) business days after the occurrence of a Forbearance Default
under subsection (D) below without the need for delivery of the Termination Notice
or any other notice, and (y) this First Amended Forbearance Agreement shall
immediately terminate upon the occurrence of a Forbearance Default under
subsection (J) below, without the need for delivery of the Termination Notice
or any other notice.  As used herein, the
term “Forbearance Default” shall mean: (A) the failure of the Company to
provide the Noteholder Group and its financial advisors with reasonable access,
as determined by the Noteholder Group in its reasonable discretion, to its
Chief Executive Officer, other senior executives and outside advisors,
including representatives of Kroll Zolfo Cooper that are working with the
Company, and to provide the Noteholder Group and its legal and financial
advisors with any and all due diligence information they may 

 

 6
 

reasonably request, including, without
limitation, the Company’s current 13-week cash flow schedule, and all updates
thereto as soon as reasonably practicable after they are prepared, but in no
event no later than two (2) business days thereafter; (B) the failure of the
Company to engage in good faith negotiations with the Noteholder Group
regarding a potential restructuring transaction, which determination shall be
made by the Noteholder Group in its reasonable discretion; (C) the failure of the
Company to promptly notify the Noteholder Group of the occurrence of a
Forbearance Default (as defined in the DDJ Amended Forbearance Agreement) under
the DDJ Amended Forbearance Agreement or any amendment or modification to the
DDJ Amended Forbearance Agreement; (D) termination of the DDJ Amended
Forbearance Agreement; (E) the execution of any amendment or modification to
the DDJ Amended Forbearance Agreement, which amendment or modification has a
material adverse effect on the Noteholder Group as determined by the Noteholder
Group in its reasonable discretion; (F) termination by the Company of the
Chanin Engagement Letter or the failure of the Company to pay Chanin’s fees,
expenses and indemnity in accordance with the terms of the Chanin Engagement
Letter; (G) the occurrence of any Event of Default that is neither (x) a
Specified Existing Default, nor (y) an Anticipated Default; (H) the
failure of the Company to comply with any term, condition, covenant or
agreement set forth in this First Amended Forbearance Agreement; (I) the
failure of any representation or warranty made by the Company under this First
Amended Forbearance Agreement to be true and correct in all material respects
as of the date when made; (J) the commencement by or against the Company or
any of the Subsidiaries of a case under title 11 of the United 

 7
 

States Code; or (K) the commencement of any
action or proceeding by any creditor of the Company or any of the Subsidiaries
seeking to attach or take similar action against the assets of the Company or
the Subsidiaries.  Any Forbearance
Default shall constitute an immediate Event of Default under the Indenture.

(c)           Upon
the occurrence of a Termination Event, the agreement of the Noteholders
hereunder to forbear, and to direct the Indenture Trustee to forbear, from
exercising rights and remedies in respect of (i) the Specified Existing
Defaults and (ii) any Anticipated Defaults, shall immediately terminate without
the requirement of any demand, presentment, protest, or notice of any kind (other
than, where required, the Termination Notice), all of which the Company and the
Subsidiaries hereby waive.  The Company
and the Subsidiaries agree that, upon the occurrence of, and at any time after,
the occurrence of a Termination Event, the Noteholders or the Indenture
Trustee, as applicable, may proceed, subject to the terms of the Indenture, the
Intercreditor Agreement, the Collateral Agreements and/or applicable law, to
exercise any or all rights and remedies under the Indenture, the Intercreditor Agreement,
the Collateral Agreements and/or applicable law, including, without limitation,
the rights and remedies on account of the Specified Existing Defaults, the
Anticipated Defaults and any other Events of Default that may then exist.  Without limiting the generality of the
foregoing, upon the occurrence of a Termination Event, subject to the terms of
the Intercreditor Agreement, the Collateral Agreements and any related
documents, the Noteholders or the Indenture Trustee, as applicable, may, upon
such notice or demand as is specified by the Indenture, the Intercreditor
Agreement, the Collateral Agreements or 

 

 8
 

applicable law (x) collect and/or commence any legal or other action to
collect any or all of the Company’s or the Subsidiaries’ obligations under the
Indenture or the Guarantees (collectively, the “Obligations”); (y)
foreclose or otherwise realize on any or all of the Collateral, and/or
appropriate, setoff or apply to the payment of any or all of the Obligations,
any or all of the Collateral or proceeds thereof; and (z) take any other
enforcement action or otherwise exercise any or all rights and remedies
provided for under the Indenture, the Intercreditor Agreement, the Collateral
Agreements and/or applicable law, all of which rights and remedies are fully
reserved.

(d)           Any
agreement by the Noteholders to further extend the Forbearance Period or to
enter into any other forbearance or similar arrangement must be set forth in
writing and signed by all of the Noteholders. 
The Company and the Subsidiaries acknowledge that the Noteholders have
made no assurances whatsoever concerning any possibility of any extension of
the Forbearance Period, any other forbearance or similar arrangement or any
other limitations on the exercise of their rights, remedies and privileges
under or otherwise in connection with the Indenture, the Intercreditor
Agreement, the Collateral Agreements and/or applicable law.

(e)           The
Company and the Subsidiaries acknowledge and agree that any forbearance, waiver
or consent which the Noteholders may make on or after the date hereof has been
made by the Noteholders in reliance upon, and in consideration for, among other
things, the general releases contained in Section 4 hereof and the other
covenants, agreements, representations and warranties of the Company and the
Subsidiaries hereunder.

 

 9
 

2.             Effectiveness. 
This First Amended Forbearance Agreement shall become effective on the
first date (the “Amended Forbearance Effective Date”) on which each of
the following conditions is satisfied and evidence of its satisfaction has been
delivered to counsel to the Noteholder Group:

(a)           execution
and delivery by the Company and the Subsidiaries of the DDJ Amended Forbearance
Agreement having a Forbearance Period that (subject to earlier termination upon
the occurrence and continuation of a Forbearance Default as defined therein) is
through and including a date that is no earlier than September 12, 2007, and is
otherwise reasonably satisfactory in form and substance to the Noteholder
Group; and

(b)           execution
and delivery of counterparts of this First Amended Forbearance Agreement by the
Noteholders, the Indenture Trustee, the Company and the Subsidiaries.

3.             Representations, Warranties and Covenants.

(a)           The
Company and the Subsidiaries represent, warrant and covenant as follows:

(i)           Except for the Specified Existing
Defaults in this First Amended Forbearance Agreement, the Company is in
compliance with all of the terms and provisions set forth in the Indenture on
its part to be observed or performed, and no other Event of Default has
occurred and is continuing.

(ii)          The execution, delivery and
performance by the Company and the Subsidiaries of this First Amended
Forbearance Agreement:

(1)          are within their corporate or limited
partnership powers, as applicable;

 10

(2)          have been duly authorized by all
necessary corporate or limited partnership action, as applicable, including the
consent of the holders of its equity interests where required;

(3)          do not and will not (A) contravene
their certificate of incorporation or by-laws or limited partnership or other
constituent documents, (B) violate any applicable requirement of law or any
order or decree of any governmental authority or arbitrator applicable to them,
(C) conflict with or result in the breach of, or constitute a default under, or
result in or permit the termination or acceleration of, any contractual
obligation of the Company or the Subsidiaries, or (D) result in the creation or
imposition of any lien or encumbrance upon any of the property of the Company
or the Subsidiaries; and

(4)          do not
and will not require the consent of, authorization by, approval of, notice to,
or filing or registration with, any governmental authority or any other entity,
other than those which prior to the Amended Forbearance Effective Date will
have been obtained or made and copies of which prior to the Amended Forbearance
Effective Date will have been delivered to counsel to the Noteholder Group and
DDJ and each of which on the Amended Forbearance Effective Date will be in full
force and effect.

(iii)          The Company and the Subsidiaries shall
not make any payments either directly, or indirectly through TWC Holding LLC,
to The Veritas Capital Fund II, L.P. and its general partner, Veritas Capital
Management II, L.L.C.

(iv)         Within five (5) business
days after the Amended Forbearance Effective Date, the Company shall file this
First Amended Forbearance Agreement and the DDJ Amended Forbearance Agreement
with the United States Securities and Exchange Commission as an exhibit to a
filing by the Company on Form 8-K pursuant to the Securities and Exchange Act
of 1934, as amended, which 8-K filing and any accompanying press release shall
be in form and substance reasonably satisfactory to the Noteholders.

(v)          The Company and the
Subsidiaries shall immediately notify the Noteholders and the Indenture Trustee
upon its or their becoming aware of an Event of Default under the Indenture or
an Event of Default (as defined in the Loan Agreement) under the Loan Agreement
that is not a Specified Default (as defined in the DDJ Amended Forbearance
Agreement), or an Anticipated Default.

 

 11
 

(b)           The
Indenture Trustee represents as follows:

(i)           Based solely on the representations
provided by counsel to the Noteholder Group and DDJ, the Indenture Trustee
represents that, as of the date hereof, the Noteholders, in the aggregate, hold
not less than $100 million in principal amount of the Notes, representing not
less than 80% of the aggregate principal amount of the Notes outstanding.

(c)           The
representations and warranties set forth in this Section 3 shall survive
the execution and delivery of this First Amended Forbearance Agreement and the
Amended Forbearance Effective Date.

4.             General Release. 
In consideration of, among other things, the Noteholders’ execution and
delivery of this First Amended Forbearance Agreement, the Company and the
Subsidiaries, on behalf of themselves and their successors and assigns
(collectively, the “Releasors”), hereby forever agree and covenant not
to sue or prosecute against the Releasees (as defined below) and hereby forever
waive, release and discharge to the fullest extent permitted by law, each
Releasee from, any and all claims (including, without limitation, crossclaims,
counterclaims, rights of set-off and recoupment), actions, causes of action,
suits, debts, accounts, interests, liens, promises, warranties, damages and
consequential and punitive damages, demands, agreements, bonds, bills,
specialties, covenants, controversies, variances, trespasses, judgments,
executions, costs, expenses or claims whatsoever (collectively, the “Claims”),
that such Releasor now has or hereafter may have, of whatsoever nature and
kind, whether known or unknown, whether now existing or hereafter arising,
whether arising at law or in equity, against the Noteholders in any capacity
and their affiliates, shareholders and “controlling persons” (within the
meaning of the federal securities law), and their respective successors and
assigns and 

 

 12
 

each and all of the
officers, directors, employees, agents, attorneys, advisors, auditors,
consultants and other representative of each of the foregoing (collectively,
the “Releasees”), based in whole or in part on facts whether or not now
known, existing on or before the Amended Forbearance Effective Date, that
relate to, arise out of otherwise are in connection with (i) any aspect of
the business, operations, assets, properties, affairs or any other aspect of
the Company or the Subsidiaries; (ii) any aspect of the dealings or
relationships between or among the Company and the Subsidiaries, on the one
hand, and the Noteholders, on the other hand, or (iii) the Indenture or any
transactions contemplated thereby or any acts or omissions in connection
therewith, provided, however, that the foregoing shall not
release the Noteholders from their express obligations under this First Amended
Forbearance Agreement, the Indenture, the Intercreditor Agreement and the
Collateral Agreements.  In entering into
this First Amended Forbearance Agreement, the Company and the Subsidiaries consulted
with, and have been represented by, legal counsel and expressly disclaim any
reliance on any representations, acts or omissions by any of the Releasees and
the Company and the Subsidiaries hereby agree and acknowledge that the validity
and effectiveness of the releases set forth herein do not depend in any way on
any such representations, acts and/or omissions or the accuracy, completeness
or validity hereof.  The provisions of
this Section 4 shall survive the expiration of the Forbearance Period and the
termination of this First Amended Forbearance Agreement and payment in full of
the Obligations.

5.             Ratification of Liability.  The Company and the Subsidiaries each hereby
ratifies and reaffirms all of its Obligations
and its grant of liens on or security 

 

 13
 

interests in its
properties pursuant to the Collateral Agreements to which it is party as
security for the Obligations, and confirms and agrees that such liens and
security interests hereafter secure all the Obligations.

6.             Complete Integration; Amendments.  This First Amended Forbearance Agreement
constitutes the full and final agreement between the Parties with respect to
the subject matter hereof, and this First Amended Forbearance Agreement may not
be modified or amended except by a written instrument, signed by each of the
Parties, expressing such amendment or modification.  The Parties warrant, promise and represent
that in executing this First Amended Forbearance Agreement, each Party is not
relying upon any oral representation, promise or statement made by any other
Party hereto and that each Party is not relying upon any promise, statement or
representation contained in any other written instrument.

7.             No Other Amendments; Reservation of Rights, No Waiver.  Other than as otherwise expressly provided
herein, this First Amended Forbearance Agreement shall not be deemed to operate
as an amendment or waiver of, or to prejudice, any right, power, privilege or
remedy of the Noteholders or the Indenture Trustee, as applicable, under the
Indenture, the Intercreditor Agreement, the Collateral Agreements or applicable
law, nor shall the entering into this First Amended Forbearance Agreement
preclude the Noteholders from refusing to enter into any further amendments or
forbearances with respect to the Indenture. 
Other than as expressly provided herein, this First Amended Forbearance
Agreement shall not constitute a forbearance with respect to (i) any failure 

 

 14
 

by the Company to comply
with any covenant or other provision in the Indenture or (ii) the occurrence or
continuance of any present or future Event of Default.

8.             No Impairment of Lender’s Rights.  The Noteholder Group, the Company and the
Subsidiaries acknowledge and agree that nothing contained in this First Amended
Forbearance Agreement nor the execution of this First Amended Forbearance
Agreement by DDJ shall impair in any way nor shall be deemed to impair in any
way any rights of Lender or any affiliates of Lender arising under or related
to the Loan Agreement, the other Loan Documents (as defined in the Loan
Agreement), the DDJ Amended Forbearance Agreement, the Intercreditor Agreement
or otherwise.  All rights of Lender or
any affiliate of Lender arising under or related to the Loan Agreement, the
other Loan Documents (as defined in the Loan Agreement), the DDJ Amended
Forbearance Agreement, the Intercreditor Agreement or otherwise are expressly
reserved.

9.             Counterparts/Facsimile Transmission.  This First Amended Forbearance Agreement may
be signed in counterparts, each of which, when taken together, shall be deemed
an original.  Execution of this First
Amended Forbearance Agreement is effective if a signature is delivered by
facsimile transmission.

10.           Successors and Assigns.  This First Amended Forbearance Agreement
shall be binding upon and inure to the benefit of the Parties hereto and each
of their respective successors, assigns, heirs and personal representatives.

11.           Authority.  Any person signing this First Amended
Forbearance Agreement in a representative capacity (i) represents and warrants
that he/she is authorized to sign this First Amended Forbearance Agreement on
behalf of the Party

 15

he/she represents and
that his/her signature upon this First Amended Forbearance Agreement will bind
the represented Party to the terms of this First Amended Forbearance Agreement,
and (ii) acknowledges that the other Party to this First Amended Forbearance
Agreement has relied upon such representation and warranty.

12.           Governing Law.  This First Amended Forbearance Agreement
shall be governed by and construed in accordance with the laws of the State of
New York, without regard to its choice of law provisions.

13.           Remedies.  All Parties hereto agree that irreparable
damage would result from any Party’s breach of this First Amended Forbearance
Agreement, and further agree that a non-breaching Party would have no adequate
remedy at law to redress such breach.  Therefore, the Parties hereto agree that, in
the event of a breach of this First Amended Forbearance Agreement, specific
performance and/or injunctive relief is appropriate to remedy such breach.  Notwithstanding the foregoing, nothing
contained in this Section 13 shall be deemed a waiver by any non-breaching
Party hereto of any other remedies available at law to redress any other Party’s
breach of this First Amended Forbearance Agreement.  Each of the rights and powers provided
pursuant to this First Amended Forbearance Agreement shall be cumulative and in
addition to and not in derogation of the rights and powers otherwise available
under applicable law to the Parties.

14.           Direction to Indenture Trustee.  The Noteholders’ agreement to forbear as
provided herein shall constitute a direction from such Noteholders to the
Indenture Trustee to similarly forbear during the Forbearance Period.  In order to induce 

 

the Indenture Trustee to
accept such direction, the Company and the Subsidiaries agree (a) that the
Indenture Trustee, as an ex  officio participant of the Noteholder Group, may receive the
copies of all information and participate in the negotiations referenced in
subsections (A) and (B) of the definition of Forbearance Default in
Section 1 of the First Amended Forbearance Agreement, and (b) to pay,
in accordance with the terms of the Indenture, the reasonable fees and expenses
of the Indenture Trustee incurred during the Forbearance Period promptly on a
monthly basis.

 

IN WITNESS WHEREOF, each of the Parties hereto has caused this
First Amended Forbearance Agreement to be duly executed and delivered as of the
date first above written.

	
   

  	
  THE WORNICK COMPANY

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  	
   

  	
   

  
	
   

  	
  Name: Jon Geisler

  
	
   

  	
  Title:  
  President & CEO

  
	
   

  	
  Fax:

  
	
   

  	
   

  
	
   

  	
  SUBSIDIARIES

  
	
   

  	
   

  
	
   

  	
  RIGHT AWAY MANAGEMENT CORPORATION

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  	
   

  	
   

  
	
   

  	
  Name: Jon Geisler

  
	
   

  	
  Title:  
  President & CEO

  
	
   

  	
  Fax:

  
	
   

  	
   

  
	
   

  	
  THE WORNICK COMPANY RIGHT AWAY

  
	
   

  	
  DIVISION

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  	
   

  	
   

  
	
   

  	
  Name: Jon Geisler

  
	
   

  	
  Title:   President
  & CEO

  
	
   

  	
  Fax:

  
	
   

  	
   

  
	
   

  	
  THE WORNICK COMPANY RIGHT AWAY 

  
	
   

  	
  DIVISION L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jon Geisler

  	
   

  	
   

  
	
   

  	
  Name: Jon Geisler

  
	
   

  	
  Title: President & CEO

  
	
   

  	
  Fax:

  

 

 

	
  

  	
  THE NOTEHOLDERS

  
	
   

  	
   

  
	
   

  	
  AIG GLOBAL INVESTMENT CORP.

  
	
   

  	
  as investment adviser and/or subadviser 

  
	
   

  	
  for various funds and accounts

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Bryan Petermann

  	
   

  	
   

  
	
   

  	
  Name:  Bryan Petermann

  
	
   

  	
  Title:    Managing Director

  
	
   

  	
  Fax:

  
	
   

  	
   

  
	
   

  	
  QUADRANGLE DEBT RECOVERY ADVISORS LP

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Michael Weinstock

  	
   

  	
   

  
	
   

  	
  Name:  Michael Weinstock

  
	
   

  	
  Title:    Managing Principal

  
	
   

  	
  Fax:

  
	
   

  	
   

  
	
   

  	
  CSAM Funding I

  
	
   

  	
  CSAM Funding II

  
	
   

  	
  CSAM Funding III

  
	
   

  	
  CSAM Funding IV

  
	
   

  	
  Atrium CDO

  
	
   

  	
  Atrium II

  
	
   

  	
  Atrium III

  
	
   

  	
  Atrium IV

  
	
   

  	
  Castle Garden Funding

  
	
   

  	
  Credit Suisse Syndicated Loan Fund

  
	
   

  	
  Madison Park Funding I, Ltd.

  
	
   

  	
  CS High Yield Focus CBS, Ltd.

  
	
   

  	
  Atrium V

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Credit Suisse Alternative Capital, Inc., as 

  
	
   

  	
  collateral manager

  
	
   

  	
  Madison Park Funding II, Ltd.

  
	
   

  	
  By:

  	
  Credit Suisse Alternative Capital, Inc., as

  
	
   

  	
  collateral manager

  
	
   

  	
  Madison Park Funding III, Ltd.

  
	
   

  	
  By:

  	
  Credit Suisse Alternative Capital, Inc., as

  
	
   

  	
  collateral manager

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Thomas Flannery

  	
   

  	
   

  
	
   

  	
  Name:  Thomas Flannery

  
	
   

  	
  Title:    Director

  
	
   

  	
  Fax:      (212)
  538-8290

  

 

 

	
  

  	
  B IV CAPITAL PARTNERS, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  GP Capital IV, LLC, its General Partner

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, Manager

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:      781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:      781-419-9111

  
	
   

  	
   

  
	
   

  	
  DDJ HIGH YIELD FUND

  
	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC,

  its attorney-in-fact

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:      781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:      781-419-9111

  

 

 

	
  

  	
  GMAM INVESTMENT FUNDS TRUST II, for the

  account of the Promark Alternative High Yield Bond

  Fund (Account No. 7M2E)

  
	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, on behalf

  
	
   

  	
  of GMAM Investment Funds Trust II, for the

  account of the Promark Alternative High Yield

  Bond Fund, in its capacity as investment manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  
	
   

  	
   

  
	
   

  	
  GMAM INVESTMENT FUNDS TRUST

  
	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC,

  
	
   

  	
  on behalf of GMAM Investment

  Funds Trust, in its capacity as

  investment manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  

 

 

	
  

  	
  GENERAL MOTORS WELFARE BENEFIT TRUST

  (VEBA)

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  State Street Bank and Trust Company, solely in its

  
	
   

  	
  capacity as

  Trustee for General Motors Welfare Benefit Trust

  (VEBA)

  as directed by DDJ Capital Management, LLC, and not 

  in its individual capacity

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jason R. Butler

  	
   

  	
   

  
	
   

  	
  Name:  Jason R. Butler

  
	
   

  	
  Title:    Vice President

               State
  Street Bank & Trust Co.

  
	
   

  	
  Fax:

  
	
   

  	
   

  
	
   

  	
  GMAM INVESTMENT FUNDS TRUST II, for the

  account of the Promark Alternative High Yield Bond

  Fund (Account No. 7MWD)

  
	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC,

  
	
   

  	
  on behalf of GMAM Investment

  Funds Trust II for the account of the Promark

  Alternative High Yield

  Bond Fund, in its capacity as investment manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  

 

 

	
  

  	
  THE OCTOBER FUND, LIMITED
  PARTNERSHIP

  
	
   

  	
   

  
	
   

  	
  By:

  	
  October G.P., LLC, its
  General Partner

  
	
   

  	
  By:

  	
  DDJ Capital Management,
  LLC, Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  
	
   

  	
   

  
	
  

  	
  DDJ/ONTARIO CREDIT OPPORTUNITIES FUND, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  GP DDJ/Ontario Credit Opportunities, L.P., its 

  
	
   

  	
  General Partner

  
	
   

  	
  By:

  	
  GP Credit Opportunities, Ltd., its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ David L. Goolgasian, Jr.

  	
   

  	
   

  
	
   

  	
  Name:  David L. Goolgasian, Jr.

  
	
   

  	
  Title:    Director

  
	
   

  	
  Fax:     781-419-9168

  
	
   

  	
   

  	
   

  
	
   

  	
   

  

 

 

	
  

  	
  DDJ CAPITAL MANAGEMENT GROUP TRUST

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, Investment 

  
	
   

  	
  Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  
	
   

  	
   

  
	
   

  	
  STICHTING PENSIOENFONDS HOOGOVENS

  
	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, on

  
	
   

  	
  behalf of Stichting Pensioenfonds Hoogovens,

  in its capacity as Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  
	
   

  	
   

  

 

 

	
  

  	
  MULTI-STYLE, MULTI-MANAGER FUNDS PLC

  
	
   

  	
  THE GLOBAL HIGH YIELD FUND

  
	
   

  	
   

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, on

  
	
   

  	
  behalf of Multi-Style, Multi-Manager Funds PLC,

  The Global High Yield Fund, in its capacity as

  Money Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9119

  
	
   

  	
   

  
	
  

  	
  DDJ TOTAL RETURN LOAN FUND, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  GP Total Return, LP, its General Partner

  
	
   

  	
  By:

  	
  GP Total Return, LLC, its General Partner

  
	
   

  	
  By:

  	
  DDJ Capital Management, LLC, Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jackson S. Craig

  	
   

  	
   

  
	
   

  	
  Name:  Jackson S. Craig

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Joshua L. McCarthy

  	
   

  	
   

  
	
   

  	
  Name:  Joshua L. McCarthy

  
	
   

  	
  Title:    Authorized Signatory

  
	
   

  	
  Fax:     781-419-9111

  
	
   

  	
   

  
	
   

  	
   

  

 

 

	
  AGREED TO AND ACKNOWLEDGED

  BY THE INDENTURE TRUSTEE 

  (SOLELY WITH RESPECT TO 

  SECTIONS 3(B)(1)

  REPRESENTATION, WARRANTIES

  AND COVENANTS) AND SECTION 14

  (DIRECTION TO 

  INDENTURE TRUSTEE)):

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Lawrence J. Bell

  	
   

  	
   

  	
   

  	
   

  
	
  Name:  Lawrence J. Bell

  	
   

  	
   

  
	
  Title:    Vice President

  	
   

  	
   

  	
   

  	
   

  
	
  Fax:      503-275-5738

  	
   

  
								

 

 

Schedule A

SPECIFIED EXISTING DEFAULTS

The Events of Default:

1.             Under Section 6.1(3) of the Indenture as a result of
Issuer’s failure to make an Excess Cash Flow Offer as required by Section 4.22
of the Indenture for the fiscal years ended December 31, 2004, and December 31,
2005.

2.             Under Section 6.1(3) of the Indenture as a result of the
Issuer’s failure to deliver certain annual financial statements as required by
Section 4.3 of the Indenture for the fiscal year ended December 31, 2006.

3.             Under Section 6.1(3) of the Indenture as a result of the
Issuer’s failure to deliver the compliance certificate required by Section
4.4(a) of the Indenture in respect of the Company’s fiscal year ended December
31, 2006.

4.             Under Section 6.1(3) of the Indenture as a result of the
Issuer’s failure to deliver any compliance certificate required by Section
4.4(b) of the Indenture in respect of any other Specified Existing Default.

5.             Under Section 6.1(1) of the Indenture as a result of the
Issuer’s failure to make the scheduled interest payment due under the Notes on
July 15, 2007.

ANTICIPATED DEFAULTS

The Defaults or Events of
Default:

1.             Under Section 6.1(3) of the Indenture as a result of the
Issuer’s failure to deliver certain quarterly financial statements for the fiscal
quarters ended March 31, 2007 and June 30, 2007.

 26

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