Document:

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                                                                    EXHIBIT 10.1

         EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT
                          AND RELATED PROMISSORY NOTES

         THIS EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT AND
RELATED PROMISSORY NOTES (this "Amendment") is executed as of August 21, 2002,
by and between AMX CORPORATION, a Texas corporation, formerly known as PANJA
INC. ("Borrower") and BANK ONE, NA, successor by merger to BANK ONE, TEXAS,
N.A., a national banking association ("Lender").

                              W I T N E S S E T H:

         WHEREAS, Borrower and Lender entered into that certain Fourth Amended
and Restated Loan Agreement, dated September 1, 2000, pursuant to which Lender
agreed to make available to Borrower the Borrowing Base Line of Credit (as
therein defined) and the Advance/Term Facility (as therein defined)(as
heretofore or hereafter amended, the "Loan Agreement")(each capitalized term
used herein, but not otherwise defined shall have the same meaning given to it
in the Loan Agreement); and

         WHEREAS, pursuant to the Loan Agreement, Borrower, Lender and Banc One
International Corporation executed that certain Exim Agreement (as defined in
the Loan Agreement) dated the date of the Loan Agreement, pursuant to which
Lender agreed to make available to Borrower a working capital loan for export
transactions in the amount of $4,000,000.00 and which was subsequently increased
to $4,500,000 in conjunction with the Fourth Amendment (the "Exim Line of
Credit") to be guaranteed by Exim Bank and included as a portion of the
Borrowing Base Line of Credit; and

         WHEREAS, in connection with the Loan Agreement, Borrower executed that
certain Renewal Promissory Note (the "Borrowing Base Note") dated the date of
the Loan Agreement in the stated principal amount of $10,000,000; and

         WHEREAS, in connection with the Exim Agreement, Borrower executed that
certain Promissory Note (the "Exim Note") dated the date of the Exim Agreement
in the stated principal amount of $4,000,000, which was subsequently increased
to $4,500,000 in conjunction with the Fourth Amendment; and

         WHEREAS, Borrower and Lender entered into that certain Amendment to
Fourth Amended and Restated Loan Agreement (the "First Amendment") dated as of
January 5, 2001, pursuant to which Lender agreed to make available to Borrower
the 2001 Line of Credit (as therein defined); and

         WHEREAS, in connection with the First Amendment, Borrower executed that
certain Promissory Note (the "Term Note") dated the date of the First Amendment
in the stated principal amount of $2,000,000 (the Borrowing Base Note, the Exim
Note and the Term Note shall be collectively referred to herein as the "Notes");
and

         WHEREAS, Borrower and Lender entered into that certain Second Amendment
to Fourth Amended and Restated Loan Agreement (the "Second Amendment") dated as
of March 31, 2001, pursuant to which Lender agreed to modify certain covenants
contained in the Loan Agreement; and

         WHEREAS Borrower and Lender entered into that certain Third Amendment
to Fourth Amended and Restated Loan Agreement (the "Third Amendment") dated as
of September 14, 2001, pursuant to which Lender consented to an extension of the
Maturity Dates of the Borrowing Base Note and the Exim Note to September 14,
2001; and

EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT (AMX Corporation)
                                                                          Page 1

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         WHEREAS Borrower and Lender entered into that certain Fourth Amendment
to Fourth Amended and Restated Loan Agreement (the "Fourth Amendment") dated as
of September 14, 2001, pursuant to which (i) the Borrowing Base was modified,
and (ii) certain financial covenants were modified; and

         WHEREAS in connection with the Fourth Amendment, Borrower executed (i)
that certain Amended and Restated Borrowing Base Note (the "Restated Borrowing
Base Note") dated the date of the Fourth Amendment in the stated principal
amount of $14,000,000 and (ii) that certain Amended and Restated Exim Note (the
"Restated Exim Note") dated the date of the Fourth Amendment in the stated
principal amount of $4,500,000 (the Restated Borrowing Base Note and the
Restated Exim Note shall be collectively referred to herein as the "Restated
Notes"); and

         WHEREAS Borrower and Lender entered into that certain Fifth Amendment
to Fourth Amended and Restated Loan Agreement (the "Fifth Amendment") dated as
of November 14, 2001, pursuant to which (i) the Borrowing Base was modified, and
(ii) certain financial covenants were modified; and

         WHEREAS Borrower and Lender entered into that certain Sixth Amendment
to Fourth Amended and Restated Loan Agreement (the "Sixth Amendment") dated as
of February 13, 2002, pursuant to which (i) the Borrowing Base was modified, and
(ii) certain financial covenants were modified; and

         WHEREAS Borrower and Lender entered into that certain Seventh Amendment
to Fourth Amended and Restated Loan Agreement (the "Seventh Amendment") dated as
of June 6, 2002, pursuant to which Lender agreed to modify certain covenants
contained in the Loan Agreement; and

         WHEREAS, Borrower has requested that Lender consent to an extension of
the Maturity Dates of the Restated Notes to September 30, 2002; and

         WHEREAS, subject to the terms and conditions herein contained, Lender
is willing to agree to such requests.

         NOW, THEREFORE, in consideration of the covenants, conditions and
agreements hereinafter set forth, and for other good and valuable consideration,
the receipt and adequacy of which are all hereby acknowledged, Borrower and
Lender hereby covenant and agree as follows:

                              ARTICLE I: AMENDMENTS

         SECTION 1.1. EXTENSION OF MATURITY DATES. Subject to satisfaction of
the conditions in this Amendment, the Maturity Dates set forth in the Restated
Borrowing Base Note and the Restated Exim Note shall be, and hereby are,
renewed, modified and extended to September 30, 2002, and in this regard, the
Restated Borrowing Base Note, the Restated Exim Note and all of the other Loan
Documents are hereby renewed and modified (but not extinguished) by extending
the Maturity Dates to September 30, 2002.

         SECTION 1.2. MODIFICATION OF AMENDED AND RESTATED BORROWING BASE NOTE.
The following definitions contained in that certain Amended and Restated
Borrowing Base Note are hereby amended as follows:

                      "Adjusted LIBOR Rate" shall mean with respect to each
                      Interest Period, on any day thereof an amount equal to the
                      sum of (i) 2.75%, plus, (ii) the quotient of (a) the LIBOR
                      Rate with respect to such Interest Period (the "Index"),
                      divided by (b) the remainder of 1.0 less the Reserve
                      Requirement in effect on such day. Each determination by
                      Bank of the Adjusted LIBOR Rate shall, in the absence of
                      manifest error, be conclusive and binding.

EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT (AMX Corporation)
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                      "Prime Rate" shall mean the sum of (a) the rate
                      established from time to time by Bank as its prime rate of
                      interest (which may not be the lowest, best or most
                      favorable rate of interest which Bank may charge on loans
                      to its customers), plus (b) 0.50% per annum.

         SECTION 1.3. UNUSED FEE. Borrower shall pay to Lender a fee on any
difference between the maximum principal amount available under the Borrowing
Base Line of Credit and the amount of credit it actually uses, determined by the
average of the daily amount of credit outstanding during the specified period.
The fee will be calculated at .30% per annum. Such fee shall be due and payable
quarterly in arrears on the first day of December and on the first day of March,
June, September and December until the expiration of the availability of
advances under the Borrowing Base Line of Credit.

                        ARTICLE II: CONDITIONS PRECEDENT

         SECTION 2.1. CLOSING. The closing (the "Closing") of the transactions
contemplated by this Amendment shall occur on and as of the date that all
conditions hereto contained in Section 2.2 of this Amendment have been satisfied
(the "Amendment Closing Date").

         SECTION 2.2. CONDITIONS TO THE CLOSING. As conditions precedent to the
Closing, Borrower and Lender shall have executed and delivered this Amendment.

                           ARTICLE III: MISCELLANEOUS

         SECTION 3.1. CONTINUING EFFECT. Except as modified and amended hereby,
the Loan Agreement and other Loan Documents are and shall remain in full force
and effect in accordance with their terms.

         SECTION 3.2. OMITTED.

         SECTION 3.3. BINDING LOAN AGREEMENT. This Amendment shall be binding
upon, and shall inure to the benefit of, the parties' respective
representatives, successors and assigns.

         SECTION 3.4. RATIFICATION. Except as otherwise expressly modified by
this Amendment, all terms and provisions of the Loan Agreement, the Amended
Notes and the other Loan Documents, shall remain unchanged and hereby are
ratified and confirmed and shall be and shall remain in full force and effect,
enforceable in accordance with their terms.

         SECTION 3.5. NO DEFENSES. Borrower by its execution of this Amendment,
hereby declares that it has no set-offs, counterclaims, defenses or other causes
of action against Lender arising out of the Loans, the modification of the
Loans, any documents mentioned herein or otherwise; and, to the extent any such
setoffs, counterclaims, defenses or other causes of action may exist, whether
known or unknown, such items are hereby waived by Borrower.

         SECTION 3.6. FURTHER ASSURANCES. The parties hereto shall execute such
other documents as may be necessary or as may be required, in the opinion of
counsel to Lender, to effect the transactions contemplated hereby and to extend
the liens and/or security interests of all other collateral instruments, as
modified by this Amendment, including, without limitation, any modifications to,
or re-filing of any financing statements previously held by Lender related to
the Loans to reflect the change in Borrower's name. Borrower also agrees to
provide to Lender such other documents and instruments as Lender reasonably may
request in connection with the modification of the Loans effected hereby.

EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT (AMX Corporation)
                                                                          Page 3

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         SECTION 3.7. USURY SAVINGS CLAUSE. Notwithstanding anything to the
contrary in this Amendment, the Amended Notes or any other Loan Document, or in
any other agreement entered into in connection with the Amended Notes or
securing the indebtedness evidenced by the Amended Notes, whether now existing
or hereafter arising and whether written or oral, it is agreed that the
aggregate of all interest and other charges constituting interest, or
adjudicated as constituting interest, and contracted for, chargeable or
receivable under the Amended Notes or otherwise in connection with the Amended
Notes shall under no circumstances exceed the maximum rate of interest permitted
by applicable law. In the event the maturity of the Amended Notes is accelerated
by reason of an election by the holder thereof resulting from a default
thereunder or under any other document executed as security therefore or in
connection therewith, or by voluntary prepayment by the maker, or otherwise,
then earned interest may never include more than the maximum rate of interest
permitted by applicable law. If from any circumstance any holder of any of the
Amended Notes shall ever receive interest or any other charges constituting
interest, or adjudicated as constituting interest, the amount, if any, which
would exceed the maximum rate of interest permitted by applicable law shall be
applied to the reduction of the principal amount owing on such Amended Notes or
on account of any other principal indebtedness of the maker to the holders of
such Amended Notes, and not to the payment of interest, or if such excessive
interest exceeds the unpaid balance of principal thereof and such other
indebtedness, the amount of such excessive interest that exceeds the unpaid
balance of principal thereof and such other indebtedness shall be refunded to
the maker. All sums paid or agreed to be paid to the holder of the Amended Notes
for the use, forbearance or detention of the indebtedness of the maker to the
holder of such Amended Notes shall be amortized, prorated, allocated and spread
throughout the full term of such indebtedness until payment in full for the
purpose of determining the actual rate on such indebtedness is uniform
throughout the term thereof.

               The terms "maximum amount" or "maximum rate" as used in this
Amendment or the Amended Notes, or in any other agreement entered into in
connection with the Amended Notes or securing the indebtedness evidenced by the
Amended Notes, whether now existing or hereafter arising and whether written or
oral, include, as to Chapter 303 of the Texas Finance Code (and as same may be
incorporated by reference in other statutes of the State of Texas), but
otherwise without limitation, that rate based upon the "weekly ceiling";
provided, however, that this designation shall not preclude the rate of interest
contracted for, charged or received in connection with the Loans from being
governed by, or construed in accordance with, any other state or federal law,
including but not limited to, Public Law 96-221.

         SECTION 3.8. NON-WAIVER OF EVENTS OF DEFAULT. Except as specifically
provided herein, neither this Amendment nor any other document executed in
connection herewith constitutes or shall be deemed (a) a waiver of, or consent
by Lender to, any default or event of default which may exist or hereafter occur
under any of the Loan Documents, (b) a waiver by Lender of any of Borrower's
obligations under the Loan Documents, or (c) a waiver by Lender of any rights,
offsets, claims, or other causes of action that Lender may have against
Borrower.

         SECTION 3.9. ENFORCEABILITY. In the event the enforceability or
validity of any portion of this Amendment, the Loan Agreement, the Amended
Notes, or any of the other Loan Documents is challenged or questioned, such
provision shall be construed in accordance with, and shall be governed by,
whichever applicable federal or Texas law would uphold or would enforce such
challenged or questioned provision.

         SECTION 3.10. COUNTERPARTS. This Amendment may be executed in several
counterparts, all of which are identical, each of which shall be deemed an
original, and all of which counterparts together shall constitute one and the
same instrument, it being understood and agreed that the signature pages may be
detached from one or more of such counterparts and combined with the signature
pages from any other counterpart in order that one or more fully executed
originals may be assembled.

EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT (AMX Corporation)
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         SECTION 3.11. CHOICE OF LAW. THIS AMENDMENT SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF TEXAS, EXCEPT TO THE
EXTENT FEDERAL LAWS PREEMPT THE LAWS OF THE STATE OF TEXAS.

         SECTION 3.12. ENTIRE LOAN AGREEMENT. This Amendment, together with the
other Loan Documents, contain the entire agreements between the parties relating
to the subject matter hereof and thereof. This Amendment and the other Loan
Documents may be amended, revised, waived, discharged, released or terminated
only by a written instrument or instruments, executed by the party against which
enforcement of the amendment, revision, waiver, discharge, release or
termination is asserted. Any alleged amendment, revision, waiver, discharge,
release or termination which is not so documented shall not be effective as to
any party.

         THIS AMENDMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL
AGREEMENT BETWEEN THE PARTIES RELATED TO THE SUBJECT MATTER THEREIN CONTAINED
AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT
ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN
THE PARTIES.

         IN WITNESS WHEREOF, this Amendment is executed effective as of the date
first written above.

                                 LENDER:

                                 BANK ONE, NA,  successor by merger to BANK ONE,
                                 TEXAS,  N.A., a national  banking association

                                 By: /s/ Fred Points
                                    --------------------------------------------
                                 Name: Fred Points
                                      ------------------------------------------
                                 Title: First Vice President
                                       -----------------------------------------

                                 BORROWER:

                                 AMX CORPORATION, a Texas corporation, formerly
                                 known as PANJA INC.

                                 By: /s/ Jean M. Nelson
                                    --------------------------------------------
                                 Name: Jean M. Nelson
                                      ------------------------------------------
                                 Title: VP & CFO
                                       -----------------------------------------

EIGHTH AMENDMENT TO FOURTH AMENDED AND RESTATED LOAN AGREEMENT (AMX Corporation)
                                                                          Page 5<PAGE>

                                                                    EXHIBIT 10.2

[LOGO OF BANK ONE]

                              LETTER LOAN AGREEMENT

                               September 30, 2002

AMX Corporation
3000 Research Drive
Richardson, Texas 75082
Attn: Jean Nelson

Ladies and Gentlemen:

         This Letter Loan Agreement (the "Loan Agreement") will serve to set
forth the terms of the financing transactions by and between AMX Corporation, a
Texas corporation ("Borrower") and Bank One, NA, with its principal place of
business in Chicago, Illinois ("Bank"):

         1.    Credit Extensions. Subject to the terms and conditions set forth
in this Loan Agreement and the other agreements, instruments and documents
evidencing, securing, governing and/or pertaining to the Indebtedness, as
hereinafter defined (collectively, together with the Loan Agreement, referred to
hereinafter as the "Loan Documents"), Bank and Borrower agree as follows:

         (a)   Revolving Loan. Subject to the terms and conditions set forth in
     this Loan Agreement and the other Loan Documents, Bank agrees to lend to
     Borrower for working capital and general corporate purposes, on a revolving
     basis from time to time during the period commencing on the date hereof and
     continuing through and including 11:00 a.m. (Dallas, Texas time) on
     September 29, 2003 (the "Termination Date"), such amounts as Borrower may
     request hereunder (the "Revolving Loan"); provided, however, the total
     principal amount outstanding at any time shall not exceed the lesser of
     (referred to herein as the "Availability") (a) an amount (the "Borrowing
     Base") up to the sum of (i) 80% of Borrower's Eligible Accounts (as
     hereinafter defined), plus (ii) 30% of Borrower's Eligible Inventory, plus
     (iii) 25% of Borrower's Eligible Raw Material Inventory minus (iv) the
     Reserve, or (b) $12,500,000 (the "Committed Sum"). The Availability under
     the Revolving Loan shall be reduced by (i) amounts outstanding under the
     EXIM Facility and the Revolving Loan, and (ii) the outstanding Letter of
     Credit Liabilities. If at any time the aggregate principal amount
     outstanding under the Loan shall exceed the Availability, Borrower agrees
     to immediately repay to Bank such excess amount, plus all accrued but
     unpaid interest thereon. Subject to the terms and conditions hereof,
     Borrower may borrow, repay and reborrow hereunder. All sums advanced
     hereunder in respect of the Revolving Loan, together with all accrued but
     unpaid interest thereon, shall be due and payable in full on the
     Termination Date.

     As used herein, the term "Eligible Accounts" shall mean at any time, an
     amount equal to the aggregate net invoice or ledger amount owing on all
     trade accounts receivable of Borrower for goods sold or leased or services
     rendered in the ordinary course of business, in which the Bank has a
     perfected, first priority lien, after deducting (without duplication): (i)
     each such account that is unpaid 90 days or more after the date due
     thereof, (ii) the amount of all discounts, allowances, rebates,

                                      - 1 -

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     credits and adjustments to such accounts, (iii) the amount of all contra
     accounts, setoffs, defenses or counterclaims asserted by or available to
     the account debtors, (iv) all accounts with respect to which goods are
     placed on consignment or subject to a guaranteed sale or other terms by
     reason of which payment by the account debtor may be conditional, (v) all
     accounts with respect to which Borrower has furnished a payment and/or
     performance bond and that portion of any account for or representing
     retainage if any, until all prerequisites to the immediate payment of
     retainage have been satisfied, (vi) all accounts owing by account debtors
     for which there has been instituted a proceeding in bankruptcy or
     reorganization under the United States Bankruptcy Code or other law,
     whether state or federal, now or hereafter existing for relief of debtors,
     (vii) all accounts owing by any affiliates of Borrower, (viii) all accounts
     in which the account debtor is the United States or any department, agency
     or instrumentality of the United States, except to the extent an
     acknowledgment of assignment to Bank of such account in compliance with the
     Federal Assignment of Claims Act and other applicable laws has been
     received by Bank, (ix) that portion of all accounts due Borrower by any
     account debtor who is not a resident or citizen or otherwise located in the
     continental United States of America, (x) all accounts subject to any
     provision prohibiting assignment or requiring notice of or consent to such
     assignment, (xi) that portion of all account balances owing by any single
     account debtor which exceeds 25% of the aggregate of all accounts otherwise
     deemed eligible hereunder which are owing to Borrower by all account
     debtors, and (xii) any other accounts deemed unacceptable by Bank in its
     sole and absolute discretion; provided, however, if more than 20% of the
     then balance owing by any single account debtor does not qualify as an
     Eligible Account under pursuant to clause (i) above, then the aggregate
     amount of all accounts owing by such account debtor shall be excluded from
     Eligible Accounts.

     As used herein, the term "Eligible Inventory" shall mean as of any date,
     the aggregate value of all inventory of finished goods (excluding work in
     progress and packaging materials, supplies and any advertising costs
     capitalized into inventory) then owned by Borrower and held for sale, lease
     or other disposition in the ordinary course of its business, in which Bank
     has a first priority lien, excluding (i) inventory which is damaged,
     defective, obsolete or otherwise unsaleable in the ordinary course of
     Borrower's business, (ii) inventory which has been returned or rejected,
     and (iii) inventory subject to any consignment arrangement between Borrower
     and any other person or entity (if any). For purposes of this definition,
     Eligible Inventory shall be valued at the lower of cost or market value.

     As used herein, the term "Eligible Raw Material Inventory" shall mean as of
     any date, the aggregate value of all raw materials owned by Borrower,
     including, without limitation, all materials used or consumed or to be used
     or consumed in Borrower's business or in the processing, production,
     packaging, promotion, delivery or shipping of the same, excluding (i)
     inventory which is damaged, defective, obsolete or otherwise unsaleable in
     the ordinary course of Borrower's business, (ii) inventory which has been
     returned or rejected, and (iii) inventory subject to any consignment
     arrangement between Borrower and any other person or entity (if any). For
     purposes of this definition, Eligible Raw Material Inventory shall be
     valued at the lower of cost or market value.

     As used herein, the term "Reserve" shall mean an amount from time to time
     established by Bank in its reasonable good faith judgment as a reserve in
     reduction of the Borrowing Base in respect of contingencies or other
     potential factors which, in the event they should occur, could adversely
     affect or otherwise reduce the anticipated amount of timely collections in
     payment of Eligible Accounts or the value (whether at cost or market) of
     Eligible Inventory and/or Eligible Raw Material Inventory. The "Reserve",
     if any from time to time, does not represent cash funds.

                                      - 2 -

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         (b)   Term Loan. Subject to the terms and conditions set forth in this
     Loan Agreement and the other Loan Documents, Bank agrees to lend to
     Borrower the amount of $1,532,175.00 (the "Term Loan"; together with the
     Revolving Loan and the EXIM Facility, collectively the "Loan"), which funds
     have previously been advanced to Borrower and are currently outstanding.
     All sums previously advanced under the Term Loan shall be due and payable
     in full on April 30, 2004.

         (c)   EXIM Facility. Contemporaneously with the execution of this Loan
     Agreement, Borrower and Lender are entering into (i) an Export Loan
     Agreement, (ii) a Borrower Agreement, (iii) a Loan Authorization Notice,
     and (iv) an Amended and Restated EXIM Note (collectively, the "EXIM Loan
     Documents") pursuant to which Lender is making available to Borrower a
     credit facility for working capital and general corporate purposes which
     shall be guaranteed by the Export-Import Bank of the United States (the
     "EXIM Facility").

         (d)   Letters of Credit. Subject to the terms and conditions set forth
     in this Loan Agreement and the other Loan Documents, Bank agrees to issue
     one or more standby letters of credit (collectively, the "Letters of
     Credit") for the account of Borrower from time to time from the date hereof
     to and including the maturity date of the Revolving Note; provided,
     however, that Bank's outstanding commitments under all outstanding Letters
     of Credit (the "Letter of Credit Liabilities") shall not at any time exceed
     the lesser of $500,000 or an amount equal to the Availability. All Letters
     of Credit shall have an expiration date of no more than seven (7) months
     beyond the Termination Date of the Revolving Loan, must support a
     transaction that is entered into in the ordinary course of business, must
     otherwise be satisfactory in form and substance to Bank, and shall be
     issued pursuant to such documents and instruments, including, without
     limitation, Bank's standard application and agreement for issuance of
     letters of credit, as then in effect ("Letter of Credit Application") as
     Bank may require. No Letter of Credit shall require any payment by Bank to
     the beneficiary thereunder pursuant to a drawing prior to the third
     business day following presentment of a draft and any related documents to
     Bank. Each Letter of Credit shall be issued on at least two (2) business
     days prior notice from Borrower to Bank. Each payment by Bank pursuant to a
     drawing under a Letter of Credit must be repaid to Bank immediately by
     Borrower in accordance with the terms of the subject Letter of Credit
     Application. Borrower shall pay to Bank a letter of credit fee payable on
     the date each Letter of Credit is issued in an amount equal to one and
     one-half (1.5%) per annum of the stated amount of such Letter of Credit,
     for the stated term of such Letter of Credit, based on a 360 day year and
     the actual number of days elapsed.

         2.    Promissory Notes. The Revolving Loan shall be evidenced by a
Revolving Promissory Note (herein called, together with any renewals, extensions
and increases thereof, the "Revolving Note") payable by Borrower to the order of
Bank in the stated principal amount of $12,500,000, in form and substance
acceptable to Bank. The Term Loan shall be evidenced by a Term Promissory Note
(herein called, together with any renewals, extensions and increases thereof,
the "Term Note") payable by Borrower to the order of Bank in the stated
principal amount of $1,532,175.00, in form and substance acceptable to Bank. The
EXIM Facility shall be evidenced by an EXIM Note (herein called, together with
any renewals, extensions and increases thereof, the "EXIM Note"; and together
with the Revolving Note and the Term Note, collectively the "Notes") payable by
Borrower to the order of Bank in the stated principal amount of $5,000,000.00,
in form and substance acceptable to Bank. Interest on the Notes shall accrue at
the rate and be payable as set forth therein.

         3.    Collateral. As collateral and security for the indebtedness
evidenced by the Notes and any and all other indebtedness or obligations from
time to time owing by Borrower to Bank (the "Indebtedness"), Borrower shall
grant, and hereby grants, to Bank, its successors and assigns, a first and

                                      - 3 -

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prior lien and security interest in and to the following described property,
together with any and all PRODUCTS and PROCEEDS thereof (the "Collateral"):

         (a)   All of Borrower's present and future accounts, chattel paper,
               contract rights and general intangibles including any and all of
               Borrower's general intangible property, whether now owned or
               hereafter acquired by Borrower or used in Borrower's business
               currently or hereafter, including, without limitation, all
               patents, trademarks, service marks, trade secrets, copyrights and
               exclusive licenses (whether issued or pending) literary rights,
               contract rights and all documents, applications, materials and
               other matters related thereto, all inventions, all manufacturing,
               engineering and production plans, drawings, specifications,
               processes and systems, all trade names, goodwill and all chattel
               paper, documents and instruments relating to such general
               intangibles.

         (b)   All of Borrower's present and future inventory, finished goods
               and raw material.

         (c)   All of Borrower's present and future equipment, fixtures,
               furniture and furnishings.

         (d)   All of Borrower's Intellectual Property. "Intellectual Property"
               means (i) all of Borrower's present and future Copyrights,
               Trademarks, Patents, and Mask Works including amendments,
               renewals, extensions, and all licenses or other rights to use and
               all license fees and royalties from the use thereof; (ii) any
               trade secrets and any intellectual property rights in computer
               software and computer software products now or later existing,
               created, acquired or held; (iii) all design rights which may be
               available to Borrower now or later created, acquired or held;
               (iv) any claims for damages (past, present or future) for
               infringement of any of the rights above, with the right, but not
               the obligation, to sue and collect damages for use or
               infringement of the intellectual property rights above; and (v)
               all proceeds and products of the foregoing, including all
               insurance, indemnity or warranty payments. "Copyrights" are all
               copyright rights, applications or registrations and like
               protections in each work or authorship or derivative work,
               whether published or not (whether or not it is a trade secret)
               now or later existing, created, acquired or held. "Trademarks"
               are trademark and service mark rights, registered or not,
               applications to register and registrations and like protections,
               and the entire goodwill of the business of Borrower connected
               with the trademarks. "Patents" are patents, patent applications
               and like protections, including improvements, divisions,
               continuations, renewals, reissues, extensions and
               continuations-in-part of the same. "Mask Works" are all mask
               works or similar rights available for the protection of
               semiconductor chips, now owned or later acquired.

         (e)   65% of AMX (UK) LIMITED.

"Collateral" does not include any license or contract rights to the extent (i)
the granting of a security interest in it would be contrary to applicable law,
or (ii) that such rights are nonassignable by their terms (but only to the
extent the prohibition is enforceable under applicable law, including, without
limitation, Section 9.406(d) of the Uniform Commercial Code as in effect in the
State of Texas) without the consent of the licensor or other party (but only to
the extent such consent has not been obtained).

Borrower agrees to execute such security agreements, pledge agreements,
intellectual property security agreement, assignments, deeds of trust and other
agreements and documents as Bank shall deem

                                      - 4 -

<PAGE>

appropriate and otherwise require from time to time to more fully create and
perfect Bank's liens and security interests in the Collateral.

         4.    Unused Fee; Waiver and Amendment Fee. (a) Borrower shall pay to
Bank a fee on any difference between the Committed Sum and the amount of credit
it actually uses, determined by the average of the daily amount of credit
outstanding during the specified period. The fee shall be due and payable
quarterly in arrears on the last day of December and on the last day of each
March, June, September and December until the expiration of the availability of
advances under the Revolving Loan, and shall be based on the ratio of Funded
Indebtedness to EBITDA, determined as follows:

            Ratio of Funded Indebtedness to     Unused Fee (per annum)
                        EBITDA
            ----------------------------------------------------------
                        * 1.00                          .20%
                   ** 1.00, * 2.00                      .30%
                       ** 2.00                          .40%

         (b)   In the event Bank waives compliance with any term or provision of
the Loan Documents by Borrower or agrees to any amendment to the terms or
provisions of the Loan Documents, Borrower shall pay to Bank a waiver or
amendment fee in an amount to be mutually agreed to in each particular
circumstance.

As used herein, "EBITDA" means, Net Income plus, to the extent deducted in
determining Net Income, (i) Interest Expense, (ii) expense for income taxes paid
or accrued, (iii) depreciation, and (iv) amortization. As used herein, "Funded
Indebtedness" means, at any time, the aggregate dollar amount of Borrower's
indebtedness for borrowed money, which has actually been funded and is
outstanding at such time, whether or not such amount is due or payable at such
time. As used herein, "Interest Expense" means, with reference to any period,
the interest expense of Borrower during such period as reflected in the
financial statements of Borrower prepared in accordance with generally accepted
accounting principals ("GAAP"). As used herein, "Net Income" means, with
reference to any period, the net income (or loss) of Borrower during such period
as reflected in the financial statements of Borrower prepared in accordance with
GAAP.

         5.    Representations and Warranties. Borrower hereby represents and
warrants, and upon each request for an advance pursuant to the Notes further
represents and warrants, to Bank as follows:

             (a)    Borrower is duly organized, validly existing and in good
        standing under the laws of the State of Texas and all other states where
        it is doing business, except to the extent that the failure to maintain
        such status could not reasonably be expected to result in a material
        adverse effect on the financial condition, properties, or operations of
        Borrower, and has all requisite power and authority to execute and
        deliver the Loan Documents; and

             (b)    The execution, delivery, and performance of the Loan
        Documents by Borrower have been duly authorized by all necessary action
        by Borrower, and constitute legal, valid and binding obligations of
        Borrower; and

* denotes less than
** denotes greater than
                                      - 5 -

<PAGE>

             (c)    The execution, delivery and performance of the Loan
        Documents, and the consummation of the transactions contemplated
        thereby, do not conflict with, result in a violation of, or constitute a
        default under (i) any provision of its Articles of Incorporation or
        Bylaws, (ii) any agreement or other instrument binding upon Borrower, or
        (iii) any law, governmental regulation, court decree, or order
        applicable to Borrower, or require the consent, approval or
        authorization of any third party; and

             (d)    Each financial statement of Borrower supplied to Bank was
        prepared in accordance with generally accepted accounting principles,
        consistently applied, in effect on the date such statements were
        prepared and truly discloses and fairly presents Borrower's financial
        condition as of the date of each such statement.

             (e)    There are no actions, suits or proceedings, pending or, to
        the knowledge of Borrower, threatened against or affecting Borrower or
        the properties of Borrower, before any court or governmental department,
        commission or board, which could reasonably be expected to have a
        material adverse effect on the financial condition, properties, or
        operations of Borrower.

             (f)    Borrower has filed all federal, state and local tax reports
        and returns required by any law or regulation to be filed by it and has
        either duly paid all taxes, duties and charges indicated due on the
        basis of such returns and reports, or made adequate provision for the
        payment thereof (except to the extent any such tax, duty or charge is
        being contested in good faith and with diligence by the Borrower and for
        which Borrower has established and maintains reserves for such contested
        tax, duty or charge in accordance with GAAP), and the assessment of any
        material amount of additional taxes in excess of those paid and reported
        is not reasonably expected.

             (g)    Borrower is in compliance in all material respects with all
        material laws which are applicable to it, including, without limitation,
        all environmental laws and all applicable provisions of (i) the Employee
        Retirement Income Security Act of 1974, as amended, and (ii) the
        Comprehensive Environmental Response, Compensation, and Liability Act of
        1980, as amended, and Borrower has not incurred any liability to the
        Pension Benefit Guaranty Corporation or any entity succeeding to any or
        all of its functions thereunder.

             (h)    Borrower has good title to all of its property and assets,
        subject to no liens of any kind, except for Permitted Liens. As used
        herein, the term "Permitted Liens" means the following: (i) liens for
        taxes, assessments or other governmental charges or levies not
        delinquent, or, being contested in good faith and with diligence by the
        Borrower and for which Borrower has established and maintains reserves
        for such contested tax, assessment or other governmental charge in
        accordance with GAAP; provided that such lien shall have no effect on
        the priority of the liens in favor of Bank or the value of assets in
        which Bank has such a lien and a stay of enforcement of any such lien
        shall be in effect; (ii) deposits or pledges securing obligations under
        worker's compensation, unemployment insurance, social security or public
        liability laws or similar legislation; (iii) deposits or pledges
        securing bids, tenders, contracts (other than contracts for the payment
        of money), leases, statutory obligations, surety and appeal bonds and
        other obligations of like nature arising in the ordinary course of
        Borrower's business, (iv) judgment liens that have been stayed or
        bonded; (v) mechanics', workers', materialmen's or other like liens
        arising in the ordinary course of Borrower's business with respect to
        obligations which are not due; (vi) purchase money liens placed upon
        fixed assets hereafter acquired to secure a portion of the purchase
        price thereof, provided that any such lien shall not encumber any other
        property of Borrower; and (vii) liens in favor of Bank.

                                      - 6 -

<PAGE>

             (i)    No event has occurred and is continuing which constitutes an
        Event of Default.

         6.    Conditions Precedent to any Advances. Any obligation of Bank to
make any advance under the Loan shall be subject to the complete and continuing
satisfaction, on or before the date of any such advance, of the following
conditions precedent: As of the date of such advance and after giving effect
thereto (a) all representations and warranties made to Bank by Borrower in the
Loan Documents shall be true and correct in all material respects, as of and as
if made on such date; (b) no material adverse change in the financial condition
of Borrower since the effective date of the most recent financial statements
furnished to Bank by Borrower shall have occurred and be continuing; (c) no
event has occurred and is continuing, or would result from the requested
advance, which with notice or lapse of time, or both, would constitute an Event
of Default; and (d) Bank's receipt of all Loan Documents appropriately executed
by Borrower and all other proper parties.

         7.    Affirmative Covenants. Until (i) the Notes and all other
obligations and liabilities of Borrower under the Loan Documents are fully paid
and satisfied, and (ii) the Bank has no further commitment to lend hereunder
Borrower agrees and covenants that it will, unless Bank shall otherwise consent
in writing:

             (a)    Promptly inform Bank of (i) any and all material adverse
        changes in the financial condition of Borrower, and (ii) all litigation
        and claims affecting Borrower which could materially affect the
        financial condition of Borrower; and

             (b)    Maintain its books and records in accordance with generally
        accepted accounting principles, consistently applied, and permit Bank to
        examine, audit and make and take away copies or reproductions of
        Borrower's books and records, at all reasonable times; and

             (c)    Permit such persons as Bank may designate to visit its
        properties and installations and examine its records, as Bank may
        reasonably request;

             (d)    Conduct its business in an orderly and efficient manner
        consistent with good business practices, and perform and comply with all
        statutes, rules, regulations and/or ordinances imposed by any
        governmental unit upon Borrower, its businesses, operations and
        properties (including without limitation, all applicable environmental
        statutes, rules, regulations and ordinances and all applicable
        provisions of (i) the Employee Retirement Income Security Act of 1974,
        as amended, and (ii) the Comprehensive Environmental Response,
        Compensation, and Liability Act of 1980, as amended);

             (e)    Cause to be done all things required of Borrower by the
        Securities and Exchange Commission (the "SEC"), including the
        maintenance with the SEC of all required reports and filings;

             (f)    Cause to be done all things necessary to preserve and keep
        in full force and effect its existence and good standing as a
        corporation. Borrower shall maintain all of its property that is used or
        useful in its business in good condition and repair and make all
        necessary replacements thereof, and preserve and maintain all material
        leases, licenses, privileges, franchises, certificates and the like
        necessary for the operation of its business. Borrower shall timely
        comply with all requirements of any indebtedness now existing or
        hereafter incurred with respect to such property.

                                      - 7 -

<PAGE>

             (g)    Pay and discharge when due all of its indebtedness and
        obligations, including without limitation, all assessments, taxes,
        governmental charges, levies and liens, of every kind and nature,
        imposed upon Borrower or its properties, income, or profits, prior to
        the date on which penalties would attach, and all lawful claims that, if
        unpaid, might become a lien or charge upon any of Borrower's properties,
        income, or profits; provided, however, Borrower will not be required to
        pay and discharge any such assessment, tax, charge, levy, lien or claim
        so long as (i) the legality of the same shall be contested in good faith
        by appropriate judicial, administrative or other legal proceedings, and
        (ii) Borrower shall have established on its books adequate reserves with
        respect to such contested assessment, tax, charge, levy, lien or claim
        in accordance with generally accepted accounting principles,
        consistently applied.

             (h)    Maintain insurance, including but not limited to, fire
        insurance, comprehensive property damage, public liability, worker's
        compensation, business interruption and other insurance deemed necessary
        or otherwise required by Bank.

             (i)    Promptly inform Bank of the creation, incurrence or
        assumption by Borrower of any actual or contingent liabilities not
        permitted under this Loan Agreement.

             (j)    Use the proceeds of the Loans only for the purposes
        contemplated herein.

             (k)    Maintain the financial ratios and covenants set forth on
        Addendum I attached hereto.

             (l)    Permit Bank to perform, at Borrower's expense, a field exam
        of Borrower's assets at least twice during each calendar year.

         8.    Negative Covenants. Until (i) the Notes and all other obligations
and liabilities of Borrower under the Loan Documents are fully paid and
satisfied, and (ii) the Bank has no further commitment to lend hereunder
Borrower will not, without the prior written consent of Bank:

             (a)    Make any material change in the nature of its business as
        carried on as of the date hereof.

             (b)    Liquidate, merge, acquire or consolidate with or into any
        other entity.

             (c)    Create or incur any lien or encumbrance on any of its
        assets, other than (i) liens and security interest securing indebtedness
        owing to Bank, (ii) liens for taxes, assessments or similar charges
        which are (1) not yet due or (2) being contested in good faith by
        appropriate proceedings and for which Borrower has established adequate
        reserves, (iii) liens and security interest existing as of the date
        hereof which have been disclosed to and approved by the Bank in writing,
        and (iv) Permitted Liens.

             (d)    Create, incur or assume any indebtedness for borrowed money
        or issue or assume any other note, debenture, bond or other evidences of
        indebtedness, or guarantee any such indebtedness or such evidences of
        indebtedness of others, other than (i) borrowings from Bank, (ii)
        borrowings outstanding on the date hereof and disclosed in writing to
        Bank and (iii) borrowings not to exceed the aggregate amount of
        $250,000.00 in any fiscal year.

                                      - 8 -

<PAGE>

             (e)    Make any loan to any person or entity; provided, however,
        Borrower may make loans to employees or Affiliates (as hereinafter
        defined) which do not exceed the aggregate amount of $150,000.00.

             (f)    Enter into any transaction, including, without limitation,
        the purchase, sale or exchange of property or the rendering of any
        service, with any Affiliate (as hereinafter defined) of Borrower, except
        in the ordinary course of and pursuant to the reasonable requirements of
        Borrower's business and upon fair and reasonable terms no less favorable
        to Borrower than would be obtained in a comparable arm's-length
        transaction with a person or entity not an Affiliate of Borrower. As
        used herein, the term "Affiliate" means any individual or entity
        directly or indirectly controlling, controlled by, or under common
        control with, another individual or entity.

             (g)    Make or have outstanding any investments other than (i)
        direct obligations of, or obligations guaranteed by, the United States
        of America, or any agency thereof, having a maturity of not more than
        six (6) months from the date of issuance, (ii) time deposits with,
        including certificates of deposit, overnight deposits or banker's
        acceptances issued by, Bank, (iii) money market accounts or funds in
        Bank, (iv) demand deposit accounts maintained in the ordinary course of
        business in Bank, and (v) investments in existence and approved by Bank
        in writing on the date hereof and extensions, renewals, modifications
        and restatements and replacements thereof.

             (h)    Permit the aggregate amount of all rental payments under
        operating leases to exceed, in any fiscal year, an amount equal to (i)
        $1,000,000 plus (ii) any and all amounts owed with respect to the
        existing lease for Borrower's main office, provided that, in no event,
        shall the aggregate amount of (i) and (ii) exceed $2,500,000.

             (i)    Make capital expenditures in excess of $4,000,000 during any
        fiscal year.

             (j)    Declare or pay any dividends on any class of shares of
        Borrower's capital stock, make any other distributions with respect to
        any payment on account of the purchase, redemption or other acquisition
        or retirement of any shares of Borrower's capital stock, or make any
        other distribution, sale, transfer or lease of any of Borrower's assets
        other than in the ordinary course of business.

         9.    Reporting Requirements. Until (i) the Notes and all other
obligations and liabilities of Borrower under the Loan Documents are fully paid
and satisfied, and (ii) the Bank has no further commitment to lend hereunder
Borrower will, unless Bank shall otherwise consent in writing, furnish to Bank:

             (a)    Within forty-five (45) days after the end of each quarter of
        each fiscal year of Borrower (other than the fiscal quarter ending on
        March 31), (i) a consolidated and consolidating balance sheet, income
        statement and cash flow statement of Borrower and its consolidated
        subsidiaries as of the end of such quarter, all in form and substance
        and in reasonable detail satisfactory to Bank and duly certified
        (subject to year-end adjustments) by an authorized representative of
        Borrower (A) as being true and correct in all material aspects to the
        best of his or her knowledge, and (B) as having been prepared in
        accordance with generally accepted accounting principles, consistently
        applied and (ii) Borrower's 10-Q Report; and

             (b)    Within ninety (90) days after the end of each fiscal year of
        Borrower, a consolidated and consolidating balance sheet, income
        statement and cash flow statement of

                                      - 9 -

<PAGE>

        Borrower and its consolidated subsidiaries as of the end of such fiscal
        year, in each case audited by independent public accountants of
        recognized standing acceptable to Bank;

             (c)    Within forty-five (45) days after the end of each quarter of
        each fiscal year of Borrower, a certificate from an authorized officer
        of Borrower, all in form and substance acceptable to Bank, stating that
        Borrower is in full compliance with all of its obligations under this
        Loan Agreement and the other Loan Documents (including detailed
        calculations demonstrating Borrower's compliance with the financial
        covenants contained on Addendum 1), and is not in default of any term or
        provision hereof or thereof; and

             (d)    Within twenty (20) days after the end of each calendar
        month, an analysis of Borrower's accounts receivable and payable showing
        an aging of such accounts, in form and substance acceptable to Bank ;
        and

             (e)    Within twenty (20) days after the end of each calendar
        month, a borrowing base certificate signed by an authorized
        representative of Borrower, in form and substance acceptable to Bank;
        and

             (f)    Copies of filed federal and state income tax returns of
        Borrower for each taxable year, within twenty (20) days after filing.

             (g)    An inventory schedule within twenty (20) days after the end
        of each calendar month, in form and detail satisfactory to Bank, but in
        any case including the aggregate value of (1) all inventory of finished
        goods (including work in progress and packaging materials, supplies and
        any advertising costs capitalized into inventory) and (2) all raw
        materials, shown at cost and at market value, owned by Borrower,
        including, without limitation, all materials used or consumed or to be
        used or consumed in Borrower's business or in the processing,
        production, packaging, promotion, delivery or shipping of the same,
        including (i) inventory which is damaged, defective, obsolete or
        otherwise unsaleable in the ordinary course of Borrower's business, (ii)
        inventory which has been returned or rejected, and (iii) inventory
        subject to any consignment arrangement between Borrower and any other
        person or entity.

             (h)    Copies of all export orders/invoices within twenty (20) days
        after the end of each month of each fiscal year, in form and detail
        satisfactory to Bank.

             (i)    A general ledger to support the calculation of the Borrowing
        Base, with reconcilement, if required by Bank.

             (j)    Such other information respecting the business, properties
        or condition or the operations, financial or otherwise of Borrower as
        Bank may from time to time reasonably request.

         10.   Events of Default. Each of the following shall constitute an
"Event of Default" under this Loan Agreement:

             (a)    Any default by Borrower in the payment when due of any part
        of the principal of, or interest on, the Notes or any other indebtedness
        or obligation from time to time owing by Borrower to Bank, and the
        continuation of such default for ten (10) days; or

                                     - 10 -

<PAGE>

             (b)    Any failure by Borrower or any Obligated Party (as
        hereinafter defined) to perform or keep any nonpayment covenant or
        condition contained in this Loan Agreement or in any of the other Loan
        Documents or the EXIM Loan Documents and the continuation of such
        failure for thirty (30) days (other than the covenants contained in
        Sections 8, 9 or Addendum 1, for which there is no grace period); or

             (c)    Any representation or warranty of Borrower set forth in any
        of the Loan Documents or the EXIM Loan Documents proves to have been
        false or untrue in any material respect when made; or

             (d)    The occurrence of any event which permits the acceleration
        of the maturity of any indebtedness in excess of $100,000.00 owing by
        Borrower to any third party under any agreement or undertaking; or

             (e)    If Borrower or any Obligated Party (i) becomes insolvent, or
        makes a transfer in fraud of creditors, or makes an assignment for the
        benefit of creditors, (ii) admits in writing its inability to pay its
        debts as they become due, (iii) has a receiver, trustee or custodian
        appointed for, or take possession of, all or substantially all of the
        assets of such party or any of the Collateral, either in a proceeding
        brought by such party or in a proceeding brought against such party and
        such appointment is not discharged or such possession is not terminated
        within sixty (60) days after the effective date thereof or such party
        consents to or acquiesces in such appointment or possession, or (iv)
        files a petition for relief under the United States Bankruptcy Code or
        any other present or future federal or state insolvency, bankruptcy or
        similar laws (all of the foregoing hereinafter collectively called
        "Applicable Bankruptcy Law") or an involuntary petition for relief is
        filed against such party under any Applicable Bankruptcy Law and such
        involuntary petition is not dismissed within sixty (60) days after the
        filing thereof, or an order for relief naming such party is entered
        under any Applicable Bankruptcy Law, or any composition, rearrangement,
        extension, reorganization or other relief of debtors now or hereafter
        existing is requested or consented to by Borrower.

             (f)    The liquidation, dissolution, merger or consolidation of
        Borrower or any entity obligated to pay any part of the Loans.

             (g)    The entry of any judgment against Borrower or the issuance
        or entry of any attachment or other lien against any of the property of
        Borrower for an amount in excess of $250,000.00, if undischarged,
        unbonded or undismissed within thirty (30) days after such entry.

             (h)    The occurrence of a default or an event of default under the
        documents evidencing, securing, governing and/or pertaining to the EXIM
        Facility.

Nothing contained in this Loan Agreement shall be construed to limit the Events
of Default enumerated in any of the other Loan Documents or any other document
executed in connection with the Loan and all such Events of Default shall be
cumulative. The term "Obligated Party", as used herein, shall mean any party
other than Borrower who secures, guarantees and/or is otherwise obligated to pay
all or any portion of the indebtedness evidenced by the Notes.

         11.   Remedies. Upon the occurrence of any one or more of the foregoing
Events of Default, (a) the entire unpaid balance of principal of the Notes,
together with all accrued but unpaid interest thereon, and all other
Indebtedness shall, at the option of Bank, become immediately due and payable

                                     - 11 -

<PAGE>

without further presentation, notice of dishonor, notice of acceleration, notice
of intent to accelerate, protest or notice of protest of any kind, all of which
are expressly waived by Borrower, and/or (b) Bank may, at its option, cease
further advances under the Notes; provided, however, concurrently and
automatically with the occurrence of an Event of Default under subparagraph (e)
of the immediately preceding paragraph above (i) further advances under the
Notes shall cease, and (ii) the Notes and all other Indebtedness shall, without
any action by Bank, become due and payable, without further notice, demand,
presentment, notice of dishonor, notice of intent to accelerate, protest or
notice of protest of any kind, all of which are expressly waived by Borrower.
All rights and remedies of Bank set forth in this Loan Agreement and in any of
the other Loan Documents may also be exercised by Bank, at its option to be
exercised in its sole discretion, upon the occurrence of an Event of Default.

         12.   Rights Cumulative. All rights of Bank under the terms of this
Loan Agreement shall be cumulative of, and in addition to, the rights of Bank
under any and all other agreements between Borrower and Bank (including, but not
limited to, the other Loan Documents), and not in substitution or diminution of
any rights now or hereafter held by Bank under the terms of any other agreement.

         13.   Waiver and Agreement. Neither the failure nor any delay on the
part of Bank to exercise any right, power or privilege under any of the Loan
Documents shall operate as a waiver thereof, nor shall any single or partial
exercise of such right, power or privilege preclude any other or further
exercise thereof or the exercise of any other right, power or privilege. No
waiver of any provision in any of the Loan Documents and no departure by
Borrower therefrom shall be effective unless the same shall be in writing and
signed by Bank, and then shall be effective only in the specific instance and
for the purpose for which given and to the extent specified in such writing. No
modification or amendment to any of the Loan Documents shall be valid or
effective unless the same is signed by the party against whom it is sought to be
enforced.

         14.   Benefits. This Loan Agreement shall be binding upon and inure to
the benefit of Bank and Borrower, and their respective successors and assigns;
provided, however, that Borrower may not, without the prior written consent of
Bank, assign any rights, powers, duties or obligations under any of the Loan
Documents.

         15.   Notices. Any notice or other communications provided for in this
Loan Agreement shall be in writing and either (i) messenger delivered, or (ii)
deposited in the United States mail, postage prepaid, and sent to the intended
addressee at the address set froth on the signature page hereof. Any such notice
or other communication shall be deemed to have been given on the day it is
personally delivered or, if mailed, on the second day after it is deposited in
an official receptacle of the United States mail, postage prepaid.

         16.   Construction. This Loan Agreement and the other Loan Documents
have been executed and delivered in the State of Texas, shall be governed by and
construed in accordance with the laws of the State of Texas, and shall be
performable by the parties hereto in the county in Texas where the Bank's
address set forth on the signature page hereof is located.

         17.   Invalid Provisions. If any provision of any of the Loan Documents
is held to be illegal, invalid or unenforceable under present or future laws,
such provision shall be fully severable and the remaining provisions of the Loan
Documents shall remain in full force and effect and shall not be affected by the
illegal, invalid or unenforceable provision or by its severance.

                                     - 12 -

<PAGE>

         18.   Expenses. Borrower shall pay all costs and expenses (including,
without limitation, the reasonable attorneys' fees of Bank's legal counsel) in
connection with (i) any and all extensions, renewals, amendments, supplements,
extensions or modifications of the Loan Documents, (ii) any action required in
the course of administration of the indebtedness and obligations evidenced by
the Loan Documents, and (iii) any action in the enforcement of Bank's rights
upon the occurrence of an Event of Default.

         19.   Participation of the Loans. Borrower agrees that Bank may provide
any information Bank may have about Borrower or about any matter relating to the
Notes to Bank One Corporation, or, any of its subsidiaries or affiliates or
other successors. Borrower agrees that Bank may, at its option, sell interests
in the Loans and its rights under this Loan Agreement to a financial institution
or institutions and, in connection with each such sale, Bank may disclose any
financial and other information available to Bank concerning Borrower to each
prospective purchaser.

         20.   Conflicts. In the event any term or provision hereof is
inconsistent with or conflicts with any provision of the other Loan Documents,
the terms and provisions in this Loan Agreement shall control.

         21.   Entire Agreement. This Loan Agreement (together with the other
Loan Documents) contains the entire agreement among the parties regarding the
subject matter hereof and supersedes all prior written and oral agreements and
understandings among the parties hereto regarding same.

         22.   Conflicts. In the event any term or provision hereof is
inconsistent with or conflicts with any provision of the other Loan Documents,
the terms and provisions contained in this Loan Agreement shall be controlling.

         23.   Counterparts. This Loan Agreement may be separately executed in
any number of counterparts, each of which shall be an original, but all of
which, taken together, shall be deemed to constitute one and the same
instrument.

         If the foregoing correctly sets forth our mutual agreement, please so
acknowledge by signing and returning this Loan Agreement to the undersigned.

                                Very truly yours,

                                BANK ONE, NA, a national banking association

                                By: /s/ Fred Points
                                   -----------------------------------------
                                Name: Fred Points
                                     ---------------------------------------
                                Title: FVP
                                      --------------------------------------

                                Bank's Address:

                                1717 Main Street
                                3rd Floor
                                Dallas, Texas  75201
                                Attn: Middle Market Banking Group (Fred Points)

                                     - 13 -

<PAGE>

                                ACCEPTED AS OF THE DATE FIRST WRITTEN ABOVE:

                                BORROWER:

                                AMX CORPORATION, a Texas corporation

                                By: /s/ Jean M. Nelson
                                   -------------------------------------------
                                Name: Jean M. Nelson
                                     -----------------------------------------
                                Title: VP & CFO
                                      ----------------------------------------

                                Borrower's Address:
                                3000 Research Drive
                                Richardson, Texas 75082
                                Attn: Jean Nelson

                                     - 14 -

<PAGE>

                                   ADDENDUM I
                                       TO
                              LETTER LOAN AGREEMENT

         Unless otherwise specified, all accounting and financial terms and
covenants set forth below are to be determined according to generally accepted
accounting principles, consistently applied:

FINANCIAL COVENANTS

        NET WORTH

                (a) Borrower will maintain its Tangible Net Worth, as of the
        last day of each of its fiscal quarters, at not less than $14,000,000.
        Borrower will report compliance with this covenant as of the last day of
        each of its fiscal quarters.

                (b) Borrower will maintain, as of the last day of each of its
        fiscal quarters, a ratio of (a) total liabilities, to (b) Tangible Net
        Worth of not greater than 1.50 to 1.0. Borrower will report compliance
        with this covenant as of the last day of each of its fiscal quarters.

                As used herein, "Tangible Net Worth" means, as of any date, the
        total shareholders' equity (including capital stock, additional
        paid-in-capital and retained earnings after deducting treasury stock)
        which would appear on a balance sheet of Borrower, less the aggregate
        book value of intangible assets shown on such balance sheet, plus any
        subordinated debt as of such date.

        EBITDA

                Borrower will maintain as of the last day of each of its fiscal
        quarters, for the immediately preceding 12 month period, EBITDA
        (excluding Tax Refunds) of not less than $3,500,000. Borrower will
        report compliance with this covenant as of the last day of each of its
        fiscal quarters.

                As used herein, "EBITDA" means, Net Income plus, to the extent
        deducted in determining Net Income, (i) Interest Expense, (ii) expense
        for income taxes paid or accrued, (iii) depreciation, and (iv)
        amortization.

                As used herein, "Interest Expense" means, with reference to any
        period, the interest expense of Borrower during such period as reflected
        in the financial statements of Borrower prepared in accordance with
        generally accepted accounting principles ("GAAP").

                As used herein, "Net Income" means, with reference to any
        period, the net income (or loss) of Borrower during such period as
        reflected in the financial statements of Borrower prepared in accordance
        with GAAP.
                                     - 15 -

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