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Exhibit 10.3    
    

	

TELETECH HOLDINGS, INC. 

THIRD
AMENDMENT
 Dated as of September 30, 2003 

to

NOTE PURCHASE AGREEMENT
 Dated as of October 1, 2001 

Re:        $60,000,000
Amended and Restated Reset Rate Senior Secured Notes, Series A, due October 31, 2008

              $15,000,000 Amended and Restated Reset Rate Senior Secured Notes, Series B, due October 31, 2011 

	

 
 

Third Amendment to Note Purchase Agreement    
    

        THIS THIRD AMENDMENT dated as of September 30, 2003 (the or this "Third
Amendment") to that certain Note Purchase Agreement dated as of October 1, 2001 is between TELETECH HOLDINGS, INC.,  a Delaware corporation (the "Company"), and each of the institutional investors listed on the signature pages hereto
(collectively, the "Noteholders"). 

 
 

RECITALS:    
    

        A.    The Company and each of the Noteholders have heretofore entered into that certain Note Purchase Agreement dated as of October 1, 2001, as
amended by that certain First Amendment to Note Purchase Agreement dated as of February 1, 2003, and that certain Waiver and Second Amendment dated as of August 1, 2003 (as amended, the  "Original Note Purchase
Agreement"). The Company has heretofore issued (i) $60,000,000 aggregate principal amount of its 7.00% Senior Notes,
Series A, due October 31, 2008 (the "Original Series A Notes") and (ii) $15,000,000 aggregate principal amount of its 7.40%
Senior Notes, Series B, due October 31, 2011 (the "Original Series B Notes"; said Original Series B Notes together with the
Original Series A Notes are hereinafter collectively referred to as the "Original Notes") pursuant to the Original Note Purchase Agreement. 

        B.    Pursuant
to the Waiver and Second Amendment to Note Purchase Agreement dated as of August 1, 2003, the Company and the Noteholders have heretofore amended and
restated (i) the Original Series A Notes as the $60,000,000 aggregate principal amount of its Amended and Restated Reset Rate Senior Secured Notes, Series A, due
October 31, 2008 and (ii) the Original Series B Notes as the $15,000,000 aggregate principal amount of its Amended and Restated Reset Rate Senior Secured Notes, Series B,
due October 31, 2011 (the Original Notes as so amended are referred to herein as the "Notes"). The Noteholders are the holders of 100% of the
outstanding principal amount of the Notes. 

        C.    The
Company and the Noteholders now desire to amend the Original Note Purchase Agreement in the respects, but only in the respects, hereinafter set forth. 

        D.    Capitalized
terms used herein shall have the respective meanings ascribed thereto in the Original Note Purchase Agreement unless herein defined or the context shall
otherwise require. 

        E.    All
requirements of law have been fully complied with and all other acts and things necessary to make this Third Amendment a valid, legal and binding instrument according
to its terms for the purposes herein expressed have been done or performed. 

        NOW, THEREFORE, upon the full and complete satisfaction of the conditions precedent to the effectiveness of this Third Amendment set forth
in Section 3 hereof, and in consideration of good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, the Company and the Noteholders do hereby agree as
follows: 

SECTION 1    AMENDMENTS.

        Section 1.1.    Section 9.7 of the Original Note Purchase Agreement shall be and is hereby amended by deleting
each reference to "September 30, 2003" contained therein and inserting "October 10, 2003" in lieu thereof. 

        Section 1.2.    Section 10 of the Original Note Purchase Agreement shall be and is hereby amended by inserting the
following new Section at the end thereof: 

        "Section 10.15. Swap Obligations. The Company shall not, and shall not permit any Restricted Subsidiary to, enter into any SWAP
Contracts other than those which create Permitted SWAP Obligations." 

        Section 1.3.    Section 11(c) of the Original Note Purchase Agreement shall be and is hereby amended by deleting
the words "through Section 10.14, inclusive" where they appear therein, and inserting "through Section 10.15, inclusive" therefor in the last line of said Section 11(c). 

 

SECTION 2.    REPRESENTATIONS
AND WARRANTIES OF THE COMPANY. 

        Section 2.1.    In order to induce the Noteholders to execute and deliver this Third Amendment (which representations
shall survive the execution and delivery of this Third Amendment), the Company represents and warrants to the Noteholders that: 

        (a)   this
Third Amendment has been duly authorized, executed and delivered by it and this Third Amendment constitutes the legal, valid and binding obligation, contract and
agreement of the Company enforceable against it in accordance with its terms, except as enforcement may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable
principles relating to or limiting creditors' rights generally; 

        (b)   the
Original Note Purchase Agreement, as amended by this Third Amendment, constitutes the legal, valid and binding obligation, contract and agreement of the Company
enforceable against it in accordance with its terms, except as enforcement may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable principles relating to or
limiting creditors' rights generally; 

        (c)   the
execution, delivery and performance by the Company of this Third Amendment and performance by the Company of the terms of the Original Note Purchase Agreement, as
amended by this Third Amendment, (1) have been duly authorized by all requisite corporate action and, if required, shareholder action, (2) do not require the consent or approval of any
governmental or regulatory body or agency, and (3) will not (i) violate (A) any provision of law, statute, rule or regulation or its organizational documents, (B) any order
of any court or any rule, regulation or order of any other agency or government binding upon it, or (C) any provision of any material indenture, agreement or other instrument to which it is a
party or by which its properties or assets are or may be bound, or (ii) result in a breach or constitute (alone or with due notice or lapse of time or both) a default under any indenture,
agreement or other instrument referred to in clause (3)(i)(C) of this Section 2.1(c); and 

        (d)   as
of the date hereof and after giving effect to this Third Amendment, no Default or Event of Default has occurred which is continuing. 

SECTION 3    CONDITIONS
TO EFFECTIVENESS OF THIS THIRD AMENDMENT. 

        Section 3.1.    Upon satisfaction of each and every one of the following conditions, this Third Amendment shall become
effective as of September 30, 2003 (the "Effective Date"): 

        (a)   counterparts
of this Third Amendment, duly executed by the Company and the Required Holders, shall have been delivered to the Noteholders; 

        (b)   each
Subsidiary Guarantor shall have duly executed the reaffirmation of Guaranty attached hereto; 

        (c)   the
representations and warranties of the Company set forth in Section 2.1 hereof are true and correct on and with respect to the date hereof; and 

        (d)   the
Company shall have paid the fees and expenses of Schiff Hardin & Waite, special counsel to the Noteholders, in connection with the negotiation, preparation,
approval, execution and delivery of this Third Amendment. 

SECTION 4    MISCELLANEOUS.

        Section 4.1.    This Third Amendment shall be construed in connection with and as part of the Original Note Purchase
Agreement, and except as modified and expressly amended by this Third Amendment, all terms, conditions and covenants contained in the Original Note Purchase Agreement and the Notes are hereby ratified
and shall be and remain in full force and effect. 

2

 

        Section 4.2.    Any and all notices, requests, certificates and other instruments executed and delivered after the
execution and delivery of this Third Amendment may refer to the Original Note Purchase Agreement or the Notes without making specific reference to this Third Amendment but nevertheless all such
references shall include this Third Amendment unless the context otherwise requires. 

        Section 4.3.    The descriptive headings of the various Sections or parts of this Third Amendment are for convenience
only and shall not affect the meaning or construction of any of the provisions hereof. 

        Section 4.4.    This Third Amendment shall be governed by and construed in accordance with, and the rights of the parties
shall be governed by, the law of the State of New York, excluding choice-of-law principles of the law of such State that would require the application of the laws of a
jurisdiction other than such State. 

[SIGNATURE PAGE FOLLOWS] 

3

 

The execution hereof by you shall constitute a contract between us for the uses and purposes hereinabove set forth, and this Third Amendment may be executed in any number of
counterparts, each executed counterpart constituting an original, but all together only one agreement. 

	

 	
 	
TELETECH HOLDINGS, INC.
	

 	
 	

By	
 	

 Name:

Title:
	

The foregoing is hereby agreed to as of the date first written above.	
 	

 	
 	

 	
 	

 
	

(36.00%)	
 	
THE NORTHWESTERN MUTUAL LIFE INSURANCE COMPANY
	

 	
 	

By	
 	

 Name:

Title:
	

(20.00%)	
 	
THE GUARDIAN LIFE INSURANCE COMPANY OF AMERICA
	

 	
 	

By	
 	

 Name:

Title:
	

(2.00%)	
 	
THE GUARDIAN INSURANCE & ANNUITY COMPANY, INC.
	

 	
 	

By	
 	

 Name:

Title:
	

(2.00%)	
 	
FORT DEARBORN LIFE INSURANCE COMPANY
	

 	
 	

By:	
 	

Guardian Investor Services LLC
	

 	
 	

 	
 	

By	
 	

 Name:

Title:
	 	 	 	 	 	 	 

4

 

	

(9.33%)	
 	
NATIONWIDE LIFE INSURANCE COMPANY
	

 	
 	

By	
 	

 Name:

Title:
	

(4.00%)	
 	
NATIONWIDE LIFE AND ANNUITY INSURANCE COMPANY
	

 	
 	

By	
 	

 Name:

Title:
	

(22.67%)	
 	
CONNECTICUT GENERAL LIFE INSURANCE COMPANY
	

 	
 	

By:	
 	

CIGNA Investments, Inc.
	

 	
 	

 	
 	

By	
 	

 Name:

Title:
	

(4.00%)	
 	
LIFE INSURANCE COMPANY OF NORTH AMERICA
	

 	
 	

By:	
 	

CIGNA Investments, Inc.
	

 	
 	

 	
 	

By	
 	

 Name:

Title:

5

Each undersigned Subsidiary Guarantor hereby (i) consents, acknowledges and agrees to the foregoing Third Amendment to Note Purchase Agreement, (ii) reaffirms its
obligations under the Subsidiary Guaranty Agreement dated as of October 1, 2001 given in favor of each Noteholder and its respective successors and assigns, (iii) confirms that such
Subsidiary Guaranty Agreement remains in full force and effect after giving effect to such Third Amendment and (iv) represents and warrants that there is no defense, counterclaim or offset of
any type or nature under such Subsidiary Guaranty Agreement. 

	

 	
 	
TELETECH FINANCIAL SERVICES MANAGEMENT, LLC
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
TELETECH CUSTOMER CARE MANAGEMENT (PENNSYLVANIA), LLC
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
TTEC NEVADA, INC.

TELETECH CUSTOMER SERVICES, INC.
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
NEWGEN RESULTS CORP.

CARABUNGA.COM, INC.
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
TELETECH SERVICES CORPORATION

TELETECH CUSTOMER CARE MANAGEMENT (COLORADO), INC.

TELETECH FACILITIES MANAGEMENT (POSTAL CUSTOMER SUPPORT), INC.

TELETECH CUSTOMER CARE MANAGEMENT (CALIFORNIA), INC.

TELETECH CUSTOMER CARE MANAGEMENT (TELECOMMUNICATIONS), INC.
	

 	
 	

By	
 	

 Name:

Title:
	 	 	 	 	 	 	 

	

 	
 	
TELETECH CUSTOMER CARE MANAGEMENT (TEXAS), INC.
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
TELETECH INTERNATIONAL HOLDINGS, INC.
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
TELETECH SOUTH AMERICA HOLDINGS, INC.
	

 	
 	

By	
 	

 Name:

Title:
	

 	
 	
T-TEC LABS, INC.
	

 	
 	

By	
 	

 Name:

Title:

QuickLinks

Exhibit 10.3

Third Amendment to Note Purchase Agreement

RECITALSQuickLinks
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Exhibit 10.4    
    

 
 

FIRST AMENDMENT AND WAIVER    

        THIS
FIRST AMENDMENT AND WAIVER dated as of February 10, 2003 (this "Amendment") is executed in connection with the Credit
Agreement dated as of October 29, 2002 (the "Credit Agreement") among TeleTech Holdings, Inc. (the
"Company"), various financial institutions (the "Lenders") and Bank of America, N.A., as administrative
agent (in such capacity, the "Administrative Agent"). Capitalized terms defined in the Credit Agreement are, unless otherwise defined herein or the
context otherwise requires, used herein as defined therein. 

        WHEREAS,
the parties hereto desire to amend and/or waive certain provisions of the Credit Agreement as more fully set forth herein; 

        NOW,
THEREFORE, the parties hereto agree as follows: 

        SECTION
1    Amendments. Subject to the satisfaction of the applicable conditions precedent set forth in  Section 4, the Credit Agreement
shall be amended as set forth below. 

        1.1    Definition of Consolidated EBITDAR.    The definition of "Consolidated EBITDAR" shall be amended in its
entirety to read as follows: 

        "Consolidated EBITDAR" means, for any period, Consolidated Net Income for such period plus  (a) to the extent deducted in calculating such Consolidated Net Income
(but without duplication) (i) Consolidated Interest Charges, (ii) all accrued taxes
on or measured by income, (iii) all amounts treated as expenses for depreciation and the amortization of intangibles of any kind, (iv) all non-cash charges resulting from the
expensing of stock options by the Company or any Subsidiary, (v) all non-cash charges resulting from the application of SFAS 142, (vi) all non-cash,
non-recurring impairment charges (but not more than $35,000,000) incurred in the fiscal quarter ended December 31, 2002 resulting from the application of SFAS 144,
(vii) Rental Expense and (viii) interest payments made in respect of Synthetic Lease Obligations plus/minus (b) to the extent
included in calculating such Consolidated Net Income, all non-cash, non-recurring losses/gains resulting directly from or incurred directly as a consequence of the sale or
closure of any operating facility by the Borrower or any Subsidiary. 

        1.2    Prepayment Limitations.    Section 7.11 shall be amended by adding a semi-colon followed by
the following language immediately before the period at the end thereof: 

provided that, so long as no Default exists or would result therefrom (other than a Default arising under  Section 8.01(e) solely as a result of a breach
of Section 9.2(b) or 9.2(c) of the Participation Agreement referred to below for the fiscal
quarter ended December 31, 2002), the Company and Teletech Services Corporation ("TSC") may prepay all (but not less than all) of their
respective obligations under the Participation Agreement dated as of December 27, 2000 among TSC, the Company, State Street Bank and Trust Company of Connecticut, National Association, as
Certificate Trustee, various financial institutions and Wells Fargo Bank Northwest, N. A., as Administrative Agent, and under the "Operative Documents" referred to in such Participation Agreement. 

        SECTION
2    Waiver. Subject to the satisfaction of the conditions precedent set forth in  Section 4(b), the Required Lenders waive any
Default arising from the failure of the Company to comply with Section 7.10(b) (Minimum Fixed
Charge Coverage Covenant) of the Credit Agreement for the Computation Period ending December 31, 2002. 

 

        SECTION
3    Representations and Warranties. The Company represents and warrants to the Administrative Agent and the Lenders
that, after giving effect to the effectiveness of the amendment set forth in Section 1 above or the effectiveness of any waiver set forth in  Section 2 above with respect to the Computation Period ending December 31, 2002, (a) each warranty set forth in Article 5 of
the Credit Agreement is true and correct as of the date of the execution and delivery of this Amendment by the Company, with the same effect as if made on such date, and (b) no Default exists. 

        SECTION
4    Effectiveness. 

        (a)   The
amendment set forth in Section 1.1 shall become effective on the date on which the Administrative Agent has
received (i) counterparts of this Amendment executed by the Company and the Required Lenders, (ii) amendments, consistent with the amendment set forth in  Section 1.1 and otherwise in form
and substance reasonably acceptable to the Administrative Agent, executed by (x) the requisite holders
of the Senior Notes, (y) the requisite lenders and certificate holders under the agreements governing the existing Synthetic Lease of property in Englewood, Colorado (the
"Colorado Synthetic Lease"), except that no such amendment shall be required if all obligations of the Borrower and its Subsidiaries in respect of the
Colorado Synthetic Lease have been (or concurrently with the effectiveness hereof will be) paid, and (z) the requisite purchasers/lenders in respect of any other Indebtedness having an
aggregate principal amount (including undrawn committed or available amounts and including amounts owing to all creditors under any combined or syndicated credit arrangement) of more than the
Threshold Amount (the Indebtedness and other obligations described in clauses (x), (y) and  (z), collectively, "Material
Debt") and (iii) a Confirmation, substantially in the form of
Exhibit A, signed by each Guarantor. 

        (b)   If
the amendment set forth in Section 1 has not yet become effective, then the waiver set forth in  Section 2 shall become effective on the date on
which the Administrative Agent has received (i) counterparts of this Amendment executed by
the Company and the Required Lenders, (ii) a copy of an amendment meeting the requirements of Section 4(a)(ii)(x) or of a waiver
consistent with the waiver set forth in Section 2 signed by the requisite holders of the Senior Notes, (iii) a copy of a written waiver
signed by the requisite lenders and certificate holders under the agreements governing the Colorado Synthetic Lease waiving the provisions of Sections 9.2(b) and 9.2(c) of the Participation Agreement
related to the Colorado Synthetic Lease for any fiscal quarter ending on or prior to December 31, 2002, (iii) copies of written amendments meeting the requirements of  Section 4(a)(ii)(z)
and/or of written waivers consistent with Section 2 signed by the
requisite purchasers/lenders in respect of all other Material Debt and (iv) a Confirmation, substantially in the form of Exhibit A, signed
by each Guarantor and dated as of the latest date of such waivers. 

        (c)   The
amendment set forth in Section 1.2 shall become effective on the date on which the amendment set forth in Section 1, or the waiver set forth in
Section 2, has become effective (whichever occurs first). 

        SECTION
5    Miscellaneous. 

        5.1    Continuing Effectiveness, etc.    As herein amended, the Credit Agreement shall remain in full force and effect
and is hereby ratified and confirmed in all respects. After the effectiveness of this Amendment, all references in the Credit Agreement and the other Loan Documents to "Credit Agreement" or similar
terms shall refer to the Credit Agreement as amended hereby. 

        5.2    Counterparts.    This Amendment may be executed in any number of counterparts and by the different parties on
separate counterparts, and each such counterpart shall be deemed to be an original but all such counterparts shall together constitute one and the same Amendment. 

        5.3    Governing Law.    This Amendment shall be a contract made under and governed by the laws of the State of New
York applicable to contracts made and to be performed entirely within such state. 

2

 

        5.4    Successors and Assigns.    This Amendment shall be binding upon the Company, the Lenders and the Administrative
Agent and their respective successors and assigns, and shall inure to the benefit of the Company, the Lenders and the Administrative Agent and the respective successors and assigns of the Lenders and
the Administrative Agent. 

        Delivered
as of the day and year first above written. 

	

 	
 	
TELETECH HOLDINGS, INC.	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 
	

 	
 	
BANK OF AMERICA, N.A., AS ADMINISTRATIVE AGENT	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 
	

 	
 	
BANK OF AMERICA, N.A., AS A LENDER	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 
	

 	
 	
CIBC INC.	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 
	

 	
 	
THE NORTHERN TRUST COMPANY	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 

3

 

	

 	
 	
WACHOVIA BANK, NATIONAL ASSOCIATION	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 
	

 	
 	
KEY CORPORATE CAPITAL, INC.	

 
	

 	
 	

By	
 	

	

 
	 	 	Name	 	
	 
	 	 	Title	 	
	 

4

 
 
 

EXHIBIT A    
    CONFIRMATION    
    Dated as of February 10, 2003    

	To:	 	Bank of America, N.A., individually and as Administrative Agent, and the other financial institutions party to the Credit Agreement referred to below

        Please refer to (a) the Credit Agreement dated as of October 29, 2002 (the "Credit Agreement") among
TeleTech Holdings, Inc., various financial institutions (the "Lenders") and Bank of America, N.A., as administrative agent (in such capacity, the
"Administrative Agent"); (b) the Guaranty as defined in the Credit Agreement; and (c) the Amendment and Waiver dated as of
February 10, 2003 (the "Amendment"). 

        Each
of the undersigned hereby confirms to the Administrative Agent and the Lenders on the date hereof that, after giving effect to the Amendment and the transactions contemplated
thereby, the Guaranty continues in full force and effect and is the legal, valid and binding obligation of such undersigned, enforceable against such undersigned in accordance with its terms. 

	

 	
 	
TELETECH HOLDINGS, INC.

TELETECH SERVICES CORPORATION

TELETECH CUSTOMER CARE MANAGEMENT (COLORADO), INC.

TELETECH FACILITIES MANAGEMENT (PARCEL CUSTOMER SUPPORT), INC.

TELETECH FACILITIES MANAGEMENT (POSTAL CUSTOMER SUPPORT), INC.

TELETECH CUSTOMER CARE MANAGEMENT (TELECOMMUNICATIONS), INC.

TELETECH CUSTOMER CARE MANAGEMENT (CALIFORNIA), INC.

TELETECH CUSTOMER CARE MANAGEMENT (WEST VIRGINIA) INC.

TELETECH CUSTOMER CARE MANAGEMENT (PENNSYLVANIA), LLC	

 
	

 	
 	

By:	
 	

	

 

	 	 	Name Printed:	 	
	 

	 	 	Title:	 	
	 
	

 	
 	

NEWGEN RESULTS CORPORATION	

 
	

 	
 	

By:	
 	

	

 

	 	 	    Name Printed:	 	
	 

	 	 	Title:	 	
	 
	

 	
 	

TELETECH CUSTOMER SERVICES, INC.

TTEC NEVADA, INC.	

 
	

 	
 	

By:	
 	

	

 

	 	 	    Name Printed:	 	
	 

	 	 	Title:	 	
	 

5

QuickLinks

Exhibit 10.4

FIRST AMENDMENT AND WAIVER

EXHIBIT A CONFIRMATION Dated as of February 10, 2003

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