Document:

<PAGE>

                                                                    EXHIBIT 10.1

                                    GUARANTY

      This GUARANTY, made as of October 1, 2003, by Dan J. Costa ("Guarantor"),
who resides at 1204 Country View, Modesto, California 55356 in favor of Phoenix
Footwear Group, Inc., a Delaware corporation (the "Buyer") and the Buyer
Indemnitees (as defined in the Stock Purchase Agreement referred to below)
(collectively with Buyer, the "Obligees"). Capitalized terms used herein and not
otherwise defined shall have the meaning given thereto in the Stock Purchase
Agreement referred to below.

      WHEREAS, Dan J. Costa and Denise L. Costa, as trustees of the Dan J. and
Denise L. Costa 1997 Family Trust and Douglas Vient, as trustee of the Kelsie L.
Costa Trust and the Daniel S. Costa Trust (each, a "Seller" and, collectively,
the "Sellers"), Royal Robbins, Inc., a California corporation (the "Target"),
and Dan J. Costa as Sellers' Agent, and the Buyer have entered, or
contemporaneously with the execution of this Agreement are entering, into a
Stock Purchase Agreement (such agreement, together with any and all agreements
and instruments to be executed and delivered pursuant thereto and all schedules
and exhibits thereto, all as the same may be amended, supplemented or modified
from time to time, the "Stock Purchase Agreement"), under which the Sellers have
agreed to sell to Buyer and Buyer has agreed to purchase from Seller all of the
issued and outstanding shares of capital stock of Target, and Sellers have
agreed to perform certain other obligations, including, but not limited to,
indemnifying the Obligees in certain circumstances;

      WHEREAS, Guarantor is the sole grantor of each Seller and is an officer
and director of Target and a significant beneficiary of one of the Sellers and
he will significantly benefit from the transactions contemplated by the Stock
Purchase Agreement; and

      WHEREAS, in consideration of and to induce Buyer to enter into the Stock
Purchase Agreement, Guarantor is willing to execute and deliver this Guaranty to
guaranty on the terms and conditions herein the performance, when due, of all of
the Sellers' obligations to Obligees, including those arising under, out of,
related to or by reason of the Stock Purchase Agreement;

      NOW, THEREFORE, in consideration of the above recitals, and for other good
and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, and as an essential inducement to Buyer to execute and deliver the
Stock Purchase Agreement and perform its obligations thereunder the, Guarantor
hereby agrees as follows:

      1. Guaranty.

            (a) Guarantor hereby absolutely and, subject only to Section 1(b) of
this Guaranty, unconditionally guarantees, and promises to and for the benefit
of Obligees, the full, prompt and complete performance by each Seller, as and
when due, of every duty, undertaking, obligation and covenant of each Seller to
any Obligees whether now or hereafter arising under, out of, related to or by
reason of Sections 2, 5, 9 and 12 of the Stock Purchase Agreement and any other
provision of the Stock Purchase Agreement related to the enforcement of the
<PAGE>
obligations under those provisions, subject in all cases to such limitations (if
any) to those obligations as are provided in the Stock Purchase Agreement
(collectively, the "Guaranteed Obligations").

            (b) Notwithstanding the foregoing, Buyer shall not seek to enforce
this Guaranty (i) with respect to Guaranteed Obligations arising out of a
Seller's failure to make payments due for indemnification claims made prior to
June 30, 2004 under Section 9(b)(i) of the Stock Purchase Agreement unless and
until the aggregate amount of all such claims are in excess of Buyer's right
under Section 9(d) of the Stock Purchase Agreement to offset against the
Additional Consideration payment that is due and payable under Section 2(c) of
the Stock Purchase Agreement as of June 30, 2004 (if any) and (ii) with respect
to Guaranteed Obligations arising out of a Seller's failure to make payments due
for indemnification claims made after June 30, 2004, but prior to June 30, 2005
under Section 9(b)(i) of the Stock Purchase Agreement unless and until the
aggregate amount of all such claims are in excess of Buyer's right under Section
9(d) of the Stock Purchase Agreement to offset against the Additional
Consideration payment that is due and payable under Section 2(c) of the Stock
Purchase Agreement as of June 30, 2005 (if any). For purposes of the foregoing
only, Buyer shall not be deemed to have a right of offset against any amount of
Additional Consideration that is in dispute. Buyer may not enforce this Guaranty
with respect to Guaranteed Obligations that consist of indemnification claims
made on or prior to June 30, 2004 under Section 9(b)(i) of the Stock Purchase
Agreement until after June 30, 2004. Buyer may not enforce this Guaranty with
respect to Guaranteed Obligations of indemnification claims made on or prior to
June 30, 2005 under Section 9(b)(i) of the Stock Purchase Agreement until after
June 30, 2005.

      2. Nature of Guaranty. This Guaranty is a continuing guaranty of the full
and punctual payment and performance by the Seller of the Guaranteed Obligations
(subject only to Section 1(b) above) and not of their collectibility only and is
in no way conditioned upon any requirement that the Seller first attempt to
collect any of the Guaranteed Obligations from the Sellers or resort to any
security or other means of obtaining payment of any of the Guaranty Obligations
which the Buyer now has or may acquire after the date hereof (except as provided
in Section 1(b) above and Section 9(d) of the Stock Purchase Agreement), or upon
any other contingency whatsoever. This Guaranty is an original and independent
obligation of Guarantor, separate and distinct from the Guaranteed Obligations.
A separate action may be brought or prosecuted against Guarantor, regardless
whether such an action is brought or prosecuted against a Seller or Target and
regardless of whether each other Seller and/or Target is joined in the action.
Except for the Buyer's exercise of its right of offset under Section 9(d)(ii) of
the Stock Purchase Agreement, Guarantor hereby waives any and all rights or
legal requirements that any Obligee institute any action or proceeding, or
exhaust any remedies, against any Seller, Target or anyone else in respect of
the Guaranteed Obligations, as a condition precedent to bringing an action
against Guarantor pursuant to this Guaranty. This Guaranty may not be terminated
under any circumstances, provided, however, that it shall automatically
terminate concurrently with any termination of the Stock Purchase Agreement that
occurs prior to the Closing Date. Any such termination shall not terminate or
discharge the Guarantor from Guaranteed Obligations existing as of the time of
the termination. Nothing shall otherwise discharge or satisfy the liability of
Guarantor hereunder except the full payment and performance of all of the
Guaranteed Obligations.
<PAGE>
      3. No Discharge Upon Bankruptcy, Revocation of Trust, Etc. Notwithstanding
anything to the contrary herein contained, this Guaranty shall continue to be
effective or shall be reinstated, as the case may be, (a) if at any time
performance of all or any part of the Guaranteed Obligations is rescinded, or
must otherwise be restored or returned by Obligees, upon the insolvency,
bankruptcy or reorganization of a Seller or otherwise, all as though such
performance had not been made or (b) upon the revocation of a Seller as a trust.
Notwithstanding any modification, discharge or extension of the Guaranteed
Obligations or any amendment, modification, stay or cure of an Obligee's rights
which may occur in any bankruptcy or reorganization case or proceeding
concerning a Seller, whether permanent or temporary, and whether or not assented
to by Obligees, Guarantor shall be obligated hereunder to perform the Guaranteed
Obligations and this Guaranty as they were in effect on the date hereof.

      4. Waiver of Defenses. Guarantor hereby waives any defense arising by
reason of any disability of a Seller or any other defense that may be available
at law or otherwise that under principles of suretyship would operate to impair
or diminish the liability of Guarantor hereunder. Guarantor shall be liable and
remain liable for the performance of the Guaranteed Obligations to the full
extent provided herein notwithstanding (a) any previous discharge (partial or
total) of a Seller from any further liability; (b) any bar (temporary, partial
or total) to the pursuit by Guarantor of any right or claim for indemnification
from a Seller or Target or any other agreement between Guarantor and Buyer; (c)
loss of any right or claim by Guarantor to be subrogated to the rights or claims
of Obligees against a Seller or Target; (d) any action or inaction or delay in
acting by Obligees (except as provided under Section 9 of the Stock Purchase
Agreement); or (e) any Obligee's failure to enforce, or delay in enforcing, any
of its right under the Stock Purchase Agreement or otherwise except as may be
pleaded by a Seller under Section 9 of the Stock Purchase Agreement.

      5. Amendments to Documents. Guarantor authorizes Obligees, without notice,
demand or consideration and without affecting Guarantor's liability hereunder,
from time to time, to (a) amend, change, release or cancel any of the provisions
of the Stock Purchase Agreement or any related agreement or instrument, by
further written agreement among Buyer, Sellers and Target at any time, or by
course of conduct, or by operation of law, or otherwise, without the consent of
or notice to Guarantor, and (b) release any other Person liable for the
Guaranteed Obligations.

      6. Waiver of Contribution, Reimbursement and Subrogation Rights. To the
fullest extent permitted by law, Guarantor hereby releases and waives all common
law and statutory rights of contribution, reimbursement, indemnification and
exoneration against each Seller and/or Target arising from this Guaranty, and
all common law and statutory rights of subrogation to the rights or collateral
of Obligees against each Seller and/or Target. Guarantor waives the right to
enforce any remedies that any Obligee now has, or may later have, against a
Seller or Target, except and to the extent provided in Section 1(a) above and in
Section 9 of the Stock Purchase Agreement.
<PAGE>
      7. Waiver of Acceptance, Presentments and Notices. Guarantor waives notice
of acceptance of this Guaranty, and Guarantor waives all notices of the
creation, existence, or incurring of new or additional obligations by a Seller.

      8. Attorneys Fees. Guarantor agrees to pay all expenses, including,
without limitation, reasonable attorney fees and costs, paid or incurred by
Obligees in any successful action to enforce, interpret or defend this Guaranty,
whether or not any lawsuit is filed, and, if one is, both at trial and on
appeal.

      9. Rights and Remedies Cumulative. All of Obligees' rights and remedies
herein specified are intended to be cumulative and not in substitution for any
right or remedy otherwise available to Obligees.

      10. Acknowledgements, Representations and Warranties of Guarantor.

            (a) The Guarantor acknowledges that the giving of this Guaranty is a
material condition precedent to Buyer executing, delivering and performing its
obligations under the Stock Purchase Agreement, and that Guarantor has derived
or expects to derive material financial advantages or other benefits
commensurate in value to the obligations and liabilities being undertaken by
Guarantor under the terms of this Guaranty.

            (b) The Guarantor hereby covenants, represents and warrants to the
Obligees that: he has duly executed this Guaranty and this Guaranty constitutes
a valid and binding obligation of the Guarantor, enforceable against the
Guarantor in accordance with its terms; and there is no litigation, arbitration
proceeding, governmental investigation, citation or action of any kind pending
or, to the knowledge of the Guarantor, proposed or threatened against the
Guarantor or relating to the business, assets or properties of the Guarantor
which, if adversely determined, would materially and adversely affect the
ability of the Guarantor to perform its obligations hereunder.

      11. Miscellaneous Provisions.

            (a) This Guaranty shall be binding upon the Guarantor and his
successors and heirs. This Guaranty is intended for and shall inure to the
benefit of Obligees and their respective successors and permitted assigns with
respect to the Guaranteed Obligations. No Party may assign either this Agreement
or any of its rights, interest or obligations hereunder without the prior
written approval of the other Party, provided, however, that the Buyer may
assign any or all of its rights and interest hereunder in whole, (i) to one or
more of its Affiliates or (ii) to anyone who acquires the Target's stock, assets
or business.

            (b) This Guaranty constitutes the entire agreement of Guarantor in
favor of the Obligees with respect to the matters addressed herein, and it may
not be amended or modified except by a written instrument executed by Guarantor
and Buyer.

            (c) This Guaranty shall be governed by, and construed and enforced
in accordance with, the laws of the State of Delaware without reference to
conflict principles.
<PAGE>
            (d) On or before the Closing, Guarantor shall cause 5.11, Inc. to
take all actions necessary to satisfy all of Buyer's conditions to closing under
the Stock Purchase Agreement that involve 5.11, including those set forth in
Sections 7(a)(xxi), (xxii), (xxiii) and (xxiv) of the Stock Purchase Agreement.

                            [SIGNATURE PAGE FOLLOWS]
<PAGE>
      IN WITNESS WHEREOF, the Guarantor has executed and unconditionally
delivered this Guaranty as of the date first written above.

                                                   /s/ Dan J. Costa
                                                   -----------------------------
                                                   Dan J. Costa

STATE OF CALIFORNIA  )
COUNTY OF STANISLAUS ) ss:

      On October 1, 2003, before me, Melissa Sereno, Notary Public, personally
appeared Dan Costa, personally known to me to be the person whose name is
subscribed to the within instrument and acknowledged to me that he executed the
same in his authorized capacity, and that by his signature on the instrument the
person, or the entity upon behalf of which the person acted, executed the
instrument.

                                            WITNESS my hand and official seal.

                                            /s/ Melissa Sereno
                                            ------------------------------------
                                            Melissa Sereno
                                            Commission No. 1345097
                                            Notary Public - California
                                            Stanislaus County
                                            My Comm. Expires Mar 2, 2006<PAGE>
                                                                    EXHIBIT 10.2

                               September 23, 2003

Phoenix Footwear Group, Inc.
12626 High Bluff Drive, Suite 440
San Diego, California  92130

Attention:  James Riedman, Chief Executive Officer

        RE: COMMITMENT FOR $24,750,000 FACILITY

Dear Jim:

      You have advised Manufacturers and Traders Trust Company (the "BANK," "US"
or "OUR") that Phoenix Footwear Group, Inc. (the "BORROWER") seeks financing for
the acquisition of Royal Robbins, Inc. ("Royal") in a stock purchase (the
"MERGER"). Attached hereto is a Summary of Terms and Conditions (the "TERM
SHEET") describing the general terms and conditions for up to an aggregate of $
24,750,000 in Facility (the "FACILITY").

      Based upon and subject to the terms and conditions set forth in this
Commitment Letter (the "COMMITMENT LETTER") and the Term Sheet, we are pleased
to advise you of our commitment to provide the Facility. The commitment of the
Bank hereunder is based upon the financial and other information regarding the
Borrower and its subsidiaries and Royal Robbins previously provided to the Bank.
Accordingly, the commitments hereunder are subject to the condition, among
others, that (i) there shall not have occurred after the date of such financial
and other information any adverse change in the business, assets, liabilities
(actual or contingent), operations or condition (financial or otherwise) of the
Borrower and its subsidiaries taken as a whole or in Royal Robbins and its
subsidiaries, taken as a whole, and (ii) the execution and delivery of the
Bank's legal documents, together with any other documents requested by us to
effect the Facility, by the Borrower and, as applicable, each Guarantor,
incorporating the terms and conditions outlined or referred to in the Term
Sheet.

      By executing this Commitment Letter, you agree to reimburse the Bank from
time to time on demand for all reasonable out-of-pocket fees and other expenses
(including, but not limited to, the reasonable fees, disbursements and other
charges of counsel to the Bank) incurred in connection with the Facility,
including the preparation of definitive documentation for the Facility and the
other transactions contemplated hereby.

                                                                  Execution Copy
<PAGE>
      By executing this Commitment Letter, you further agree to indemnify and
hold harmless the Bank and its directors, officers, employees, attorneys and
affiliates (each an "INDEMNIFIED PERSON") from any losses, claims, costs,
damages, expenses or liabilities (or actions, suits or proceedings, including
any inquiry or investigation, with respect thereto) to which any Indemnified
Person may become subject, insofar as such losses, claims, costs, damages,
expenses or liabilities (or actions, suits, or proceedings, including any
inquiry or investigation, with respect thereto) arise out of, in any way relate
to, or result from, this Commitment Letter, the Facility or the other
transactions contemplated hereby and thereby and to reimburse upon demand each
Indemnified Person for any and all legal and other expenses incurred in
connection with investigating, preparing to defend or defending any such loss,
claim, cost, damage, expense or inquiry or investigation, with respect thereto;
provided that you shall have no obligation under this indemnity provision for
liabilities resulting solely from gross negligence, willful misconduct or breach
of this Commitment Letter by any Indemnified Person. The foregoing provisions of
this paragraph shall be in addition to any right that an Indemnified Person
shall have at common law or otherwise. This Commitment Letter is addressed
solely to Phoenix Footwear Group, Inc. and is not intended to confer any
obligations to or on or benefits on any third party. No Indemnified Person shall
be responsible or liable for consequential damages, which may be alleged as a
result of this Commitment Letter.

      The provisions of the immediately preceding paragraph shall remain in full
force and effect regardless of whether definitive financing documentation shall
be executed and delivered and notwithstanding the termination of this Commitment
Letter or the commitment of the Bank hereunder.

      This Commitment Letter and the Term Sheet do not summarize all of the
terms, conditions, covenants, representations, warranties and other provisions
which will be contained in the definitive credit documentation for the Facility
and the transactions contemplated thereby. The Bank shall have the right to
require that such credit documentation include, in addition to the provisions
outlined herein and in the Term Sheet, provisions considered appropriate by the
Bank for this type of financing transaction, as well as provisions that the Bank
may otherwise deem appropriate after they are afforded the opportunity to
conduct and complete, to their satisfaction, a due diligence review.

      The Bank's commitment with respect to the Facility set forth above shall
terminate at 5:00 p.m. on September 24th, 2003, unless this Commitment Letter is
accepted by the Borrower in writing prior to such time and, if accepted prior to
such time, shall expire at the earlier of (i) consummation of the Merger, (ii)
termination of the definitive agreement for the Merger between Borrower and
Royal and (iii) 5:00 p.m., Eastern Standard Time, on October 31st, 2003, if the
closing of this transaction shall not have occurred by such time.

      This Commitment Letter may be executed in counterparts which, taken
together, shall constitute an original. This Commitment Letter together with the
Term Sheet, embodies the entire agreement and understanding between the Bank and
the Borrower with respect to the specific matters set forth above and supersedes
all prior agreements and understandings relating
<PAGE>
to the subject matter hereof. No party has been authorized by the Bank to make
any oral or written statements inconsistent with this Commitment Letter.

      THIS COMMITMENT LETTER SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO THE PRINCIPLES OF
CONFLICTS OF LAW.

      This Commitment Letter may not be assigned without the prior written
consent of the Bank.

      If you are in agreement with the foregoing, please execute the enclosed
copy of this Commitment Letter and return it to me no later than 5:00 P.M.
Eastern Standard Time on September 24th, 2003 along with the Facility Fee
described in the Summary of Terms and Conditions. This Commitment Letter will
become effective upon your delivery to the Bank of executed counterparts of this
Commitment Letter and the receipt of the Facility Fee. This Commitment Letter
shall terminate if not accepted by you prior to that time.

                                     Very truly yours,

                                     Manufacturers and Traders Trust Company

                                     By: /s/ Kevin Wilmot
                                         --------------------------------
                                     Name:  Kevin Wilmot
                                     Title: Assistant Vice President

COMMITMENT ACCEPTED AND AGREED TO
THIS 23RD DAY OF SEPTEMBER, 2003

PHOENIX FOOTWEAR GROUP, INC.

By:    /s/ James Riedman
       -----------------------------------
Name:  James Riedman
Title: Chairman and Chief Executive Officer
<PAGE>
                         SUMMARY OF TERMS AND CONDITIONS

                           REVOLVING CREDIT AGREEMENT

AMOUNT:             $18,000,000 (during the months of February through May), and
                    $15,000,000 (during June thorough January).

BORROWER:           Phoenix Footwear Group, Inc.

PURPOSE:            Working capital and to fund the acquisition of Royal
                    Robbins, Inc.

BORROWING           The lesser of $18,000,000 (February, March, April, May) or
                    $15,000,000 June through January) or the sum of the
                    following:

BASE:

                    a)   80% eligible accounts receivable (0-90 days);

                    b)   Plus 50% of eligible finished goods inventory with a
                         $3,500,000 inventory cap for Phoenix, $1,500,000
                         inventory cap for Trask, and a $1,500,000 inventory cap
                         for Royal;

                    c)   Less a $2,000,000 Term Loan reserve (same as current
                         structure);

                    d)   Less Letters of Credit issued not to exceed a
                         $5,000,000 sublimit.

                    Eligible finished goods and eligible accounts receivable are
                    the same as defined in the existing credit agreement

                    Final advance rates for Royal Robbins receivables and
                    inventory as well as the inventory cap are subject to Bank
                    audit to be performed.

INTEREST RATE:      Libor plus 275 or Prime plus -1/4%.

                    These rates are in effect until 6/30/04 and then revert back
                    to pricing grid (See Exhibit A) or earlier, if new equity is
                    injected into the company.

UNUSED FEE:         1/4%

MATURITY DATE:      June 30, 2005

                                    TERM LOAN

BORROWER:           Phoenix Footwear Group, Inc.

AMOUNT:             $1,500,000
<PAGE>
TERM:               Five (5) years.

PURPOSE:            To fund the purchase of Royal Robbins, Inc. and consolidate
                    the existing debt of Borrower.

REPAYMENT:          Monthly principal payments of $25,000, plus interest.

INTEREST            RATE: Libor plus 300 or Prime plus .375%. These rates are in
                    effect until 6/30/04 and then revert back to pricing grid
                    (See Exhibit A), or earlier of new equity is injected into
                    the company.

                                    TERM LOAN

BORROWER:           Phoenix Footwear Group, Inc.

AMOUNT:             $2,250,000.

PURPOSE:            Originally part of restructure plan after sale of slipper
                    division.

REPAYMENT:          No change to existing structure, except new covenants will
                    be in effect.

INTEREST            RATE: Libor plus 300 or Prime plus .375%. These rates are in
                    effect until 6/30/04 and then revert back to pricing grid
                    (See Exhibit A), or earlier if new equity is injected into
                    the company.

                                    TERM LOAN

BORROWER:           Phoenix Footwear Group, Inc.

AMOUNT:             $3,000,000

PURPOSE:            Funded to Trask acquisition.

REPAYMENT:          No change to existing structure, except new covenants will
                    be in effect.

INTEREST            RATE: Libor plus 300 or Prime plus .375%. These rates are in
                    effect until 6/30/04 and then revert back to pricing grid
                    (See Exhibit A) or earlier if new equity is injected into
                    the company.

                               GENERAL CONDITIONS

The following terms and conditions shall apply to all of the above credit
accommodations:

COVENANTS:          Financial and other covenants mutually agreeable to the
                    Borrower and the Bank will be negotiated in conjunction with
                    the documentation associated
<PAGE>
                    with these accommodations. Covenants will include an excess
                    cash flow recapture provision.

DOCUMENTATION:      The credits described above shall be evidenced by legal
                    documentation as Bank and its counsel may require. All such
                    documentation shall be satisfactory in form and substance to
                    the Bank and its counsel.

EXPENSES:           The Borrower will pay all reasonable fees and expenses
                    incurred in loan documentation, including disbursements,
                    search fees, filing fees, title insurance, appraisal fees,
                    Bank's attorney's fees, and M&T field audit fees. If the
                    transaction does not close for any reason, Borrower will pay
                    any fees and expenses already incurred.

PREPAYMENT          Prepayment Permitted.  No prepayment premium on prime based
                    debt; normal breakage penalty on LIBOR borrowings.

FACILITY FEE:       $40,000. This fee is earned and payable upon acceptance of
                    this commitment.

GUARANTORS:         Phoenix Footwear Group, Inc. and all of its subsidiaries,
                    including any new subsidiaries established in conjunction
                    with the proposed acquisition of Royal Robbins, Inc., to
                    guarantee all debt including existing obligations.

OTHER:              Subject to Bank's satisfaction with the final form,
                    substance, and terms and conditions of the proposed
                    acquisition/merger, including Bank's review and satisfaction
                    with Borrower's proposed organizational and legal structure
                    (to include management), tax assumptions, final projections,
                    purchase allocation and accounting ERISA liabilities and
                    compliance, and all other matters related to the
                    acquisition, including, but not limited to, appropriate
                    legal opinions, and all other matters deemed necessary by
                    Bank.

COLLATERAL:         All debt - to be secured by a first security interest in all
                    of the Borrower's and Royal Robbins, Inc.'s assets
                    including, but not limited to accounts receivable,
                    inventory, equipment, machinery, fixtures, investments,
                    instruments, general intangibles, and trademarks (subject to
                    permitted liens).

PRICING GRID:       To take effect on 6/30/04.  See attached Exhibit A.

PENOBSCOT
LETTER OF CREDIT:   The existing $1,700,000 Letter of Credit associated with the
                    dissenting shareholders lawsuit, that is blocked against the
                    Revolver, will be eliminated before closing of the Royal
                    acquisition.

LETTERS OF CREDIT:  To be issued on behalf of Phoenix, Trask and Royal Robbins
                    to a maximum aggregate sublimit amount of $5,000,000. Letter
                    of Credit Fee to be 1.5%.
<PAGE>
EXIT FEE:           If Borrower prepays or reduces Bank commitments from other
                    than internally generated cash flow or assets dispositions
                    during the first three years following closing, the Borrower
                    shall pay 3% of such reduction to the Bank. New equity can
                    be used to prepay the bank debt without triggering the exit
                    fee.

                         CONDITIONS PRECEDENT TO CLOSING

The initial borrowings under the Facility will be subject to satisfaction of the
following conditions precedent.

     (a)  Borrower and Royal Robbins, Inc. shall execute and deliver to one
          another a merger agreement that is satisfactory to Bank.

     (b)  The Bank shall have received certified copies of certificate of
          incorporation, bylaws, resolutions and other corporate documentation
          reasonably requested by the Bank and officer's certificates regarding
          incumbency and solvency in form and substance reasonably satisfactory
          to the Bank.

     (c)  There shall not have occurred a material adverse change since June 30,
          2003, in the business, assets, liabilities, operations or financial
          condition of the Borrower and there shall not have occurred a material
          adverse change since August 30, 2003, in the business, assets,
          liabilities, operations or financial condition Royal Robbins, Inc. or
          in the facts and information regarding such entities as represented or
          otherwise known to the Bank to date.

     (d)  In the case of the initial borrowings under the Facility, the Bank
          shall have received reasonably satisfactory certificates from the
          Chief Financial Officer of the Borrower as to the financial condition
          and solvency of each of the Borrower and the Subsidiaries.

     (e)  The Bank shall have received reasonably satisfactory opinions of
          counsel to the Borrower and the Subsidiaries (which shall cover, among
          other things, authority, legality (including compliance with
          Regulation U), validity, binding effect and enforceability of the
          documents for the Facility) and such resolutions, certificates and
          other documents as the Bank shall reasonably require.

     (f)  In the case of the initial borrowings under the Facility, evidence of
          receipt of all governmental, shareholder and other, if any, consents
          and approvals necessary in connection with the related financings and
          other transactions contemplated hereby except where the failure to
          obtain such consents or approvals would not, individually or in the
          aggregate, have a material adverse effect on the business, assets,
          liabilities, operations or financial condition of the Borrower and its
          subsidiaries, taken as a whole.
<PAGE>
     (g)  In the case of borrowings under the Facility, any suit, investigation
          or proceeding pending in any court or before any arbitrator or
          governmental authority that would reasonably be expected to have a
          material adverse effect on its subsidiaries taken as a whole or on the
          ability of the Borrower taken as a whole to perform their respective
          obligations under the documents to be executed in connection with the
          Facility.

     (h)  The Borrower shall have paid to the Bank all fees and expenses due and
          payable at the closing of the Credit Faculties.

     (i)  A Bank field audit at Royal Robbins shall be performed prior to
          closing, the results of which are to be satisfactory to the Bank in
          its sole discretion. This field audit will establish the final
          accounts receivable and inventory advance rates and inventory cap for
          Royal Robbins.

     Borrower acknowledges that not every ancillary provision imposing duties,
burdens, or limitations on Borrower and to be contained in the final
documentation customary for this type of transaction can be set forth in this
commitment.
<PAGE>
                             EXHIBIT A: PRICING GRID

Revolver: The following pricing grid will be in effect for the revolving and
term Facilities:

<TABLE>
<CAPTION>
            Revolver                                 Revolver    Term         Term       Revolver
            Prime Rate                               LIBOR       Prime Rate   LIBOR      Unused
            Total Debt*/EBITDA                       Advances    Advances     Advances   Advances   Fee
            ------------------                       --------    --------     --------   --------   ---
<S>         <C>                                      <C>         <C>          <C>        <C>        <C>
Level I     3.0 < or equal to x                      P +. 375%   300 b.p.     P +. 5 %   325 b.p.   .25%

Level II    2.5 < or equal to x < or equal to 2.99   P + .25     250 b.p.     P + .375   275 b.p.   .25%

Level III   2.0 < or equal to x < or equal to 2.49   P           200 b.p.     P          225 b.p.   .125%

Level IV    < 1.99                                   P           175 b.p.     P          200 b.p.   .125%
</TABLE>

* Total debt based on 12 month avg. debt., and EBITDA will be based on trailing
12 month EBITDA

Interest Rate:      During the initial 9 months (until 6/30/04) of the Facility,
                    the pricing will be set at the following:

                    Revolver - Libor plus 275 or Prime plus -1/4%. Term - Libor
                    plus 300 or Prime plus .375%.

                    After 6/30/04, the pricing will revert to the pricing grid
                    shown above.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00057-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00057-of-00352.parquet"}]]