Document:

exhibit_10-3.htm

EXHIBIT 10.3

 

 

VISUALANT, INCORPORATED 

 

This Letter Agreement serves as acknowledgement by Visualant, Inc, as Guarantor of the Loan and Security Agreement dated December 9, 2008 between TransTech Systems, Inc. and BFI Business Finance, that TransTech Systems, Inc.  is executing a Secured Promissory Note, dated March 19, 2014 in the amount of $105,000 with BFI Business Finance.

The terms of the Secured Promissory Note are therein contained and will be fulfilled directly by TransTech Systems, Inc.

Visualant, Inc. further acknowledges awareness and agreement with the following section in Addendum A of the Secured Promissory Note:

15. It shall be a condition precedent to the Advance being made under this Note that Lender shall have received a fully executed letter agreement between Borrower’s guarantor, Visualant, Incorporated (“Guarantor”) and Borrower, whereby Guarantor agrees that all outstanding obligations owing under this Note, if any, shall be directly remitted to Lender by Guarantor on such Maturity Date.

Visualant, Inc. acknowledges that the Maturity Date in the Secured Promissory Note is June 12, 2014 and as Guarantor will retire the Secured Promissory Note on said Maturity Date if TransTech Systems, Inc. has not done so under the terms of the agreement.

VISUALANT, INCORPORATED

 

 

	  	  	  	  
	
Date: March 19, 2014

	
By:

	
/s/ Ronald P. Erickson

	  
	  	  	
Ronald P. Erickson

	  
	  	  	
Chief Executive Officer, President, and Director

	  
	  	  	
(Principal Executive Officer)

	  

 

	  	  	  	  
	
Date: March 19, 2014

	
By:

	
/s/ Mark Scott

	  
	  	  	
Mark Scott

	  
	  	  	
Chief Financial Officer, Secretary and Treasurer

	  
	  	  	
(Principal Financial and Accounting Officer)Citigroup Global Markets Realty
Corp.
390 Greenwich Street 5th Floor
New York, New York 10013

March 27, 2014 

ZFC Trust
c/o ZAIS Financial
Partners, L.P.
2 Bridge Avenue, Suite 322
Red Bank, NJ 07701
Attention:
Don Kutch 

	Re:       	Sale of First Lien, Performing and Re-performing Mortgage
      Loans
		 
		by Citigroup Global Markets Realty
  Corp.

Ladies and Gentlemen: 

     This
trade confirmation (the “Confirmation”) confirms the agreement between Citigroup
Global Markets Realty Corp. (the “Seller”) and ZFC Trust (the “Purchaser”)
pursuant to which the Seller has agreed to sell, and the Purchaser has agreed to
purchase, without recourse, certain first lien, performing and re-performing
residential mortgage loans identified on the mortgage loan schedule attached
hereto as Exhibit A (the “Mortgage Loans”), on a servicing released basis, subject to the
terms set forth herein and in the Master Mortgage Loan Sale Agreement, dated May
31, 2013 (the Purchase Agreement”) between Seller and Purchaser. The parties
hereto intend that, pursuant to Section 11 of the Purchase Agreement, this
Confirmation shall control.

For purposes of the Mortgage Loans to
be sold pursuant to this Confirmation, the following terms shall have the
following meanings: 

	Cut-off Date:	February 28, 2014 or such other date as
      mutually agreed to by the parties hereto.
		 
	Cut-off Date Principal Balance:	$105,473,532.90.
		 
	Closing Date:	March 27, 2014 or such other date as
      mutually agreed to by the parties hereto.
		 
	Servicing Retained/Released:	Released.

	Servicing Transfer Date:	April 15, 2014, or such other date as mutually
      agreed to by the parties hereto.
	 	 
	Interim
      Servicing Fee
	
      $25 per Mortgage Loan per month.
      The Interim Servicing Fee shall be prorated for any partial month.
      

	 	
	Interim
      Servicing Period
	
      The period commencing on the
      Closing Date and ending on the Servicing Transfer Date. 

	 	
	Purchase Price
      Percentage:
	
      As set forth in Exhibit A
      

	 	
	Purchase
      Price:
	
      The purchase price for the each
      Mortgage Loan shall be equal to the sum of (a) the product of (i) the
      Purchase Price Percentage and (ii) the Cut-off Date Principal Balance, (b)
      accrued and unpaid interest on the Mortgage Loan from the last date
      through which interest has been paid by the Mortgagor through the day
      prior to the Closing Date for Mortgage Loans that are less than sixty (60)
      days delinquent as of the Cut-off Date. 

	 	
	Due
      Diligence:
	
      The Purchaser will have completed
      its due diligence prior to the Closing Date and has agreed to purchase the
      Mortgage Loans based on the results of such due diligence.
  

- 2 - 

	Interim
      Servicing: 
	
      In addition to the interim
      servicing provision contained in the Master Mortgage Loan Sale Agreement,
      during the Interim Servicing Period, the Seller shall cause the Servicer
      to service the Mortgage Loans in accordance with Accepted Servicing
      Practices and, to the extent such actions are consistent with Accepted
      Servicing Practices, to refrain from (i) exercising any of its authority
      to modify any Mortgage Loans, (i) make any servicing advances that
      are greater than $2,000.00, (iii) initiate new foreclosure proceedings,
      (iv) accept a deed in lieu of foreclosure with respect to any Mortgage
      Loan, (v) conduct any short sale in respect of any Mortgaged Property or
      (vi) take any action that impairs the interest in the Mortgage Loan or any
      interest therein, in each case, without notifying the Seller in writing
      and without obtaining the prior written consent of the Seller (which
      Seller shall not give without first obtaining the consent of the
      Purchaser) and during the Interim Servicing Period, the Seller shall cause
      the Servicer to service the Mortgage Loans pursuant to an Interim
      Servicing Agreement between the Seller and the Servicer and in accordance
      with all applicable laws. The Seller confirms to the Purchaser that the
      Mortgage Loans will be serviced pursuant to the Interim Servicing
      Agreement and the Interim Servicing Agreement will remain in full force
      and effect until and including the Servicing Transfer Date.

	 	
	Entire
      Agreement/Governing Law: 
	
      This Confirmation and the
      Purchase Agreement contain the entire agreement relating to the subject
      matter hereof between Purchaser and Seller and supersede any prior oral or
      written agreement between the parties. This Confirmation may only be
      amended by a written document signed by both parties. This letter shall be
      governed in accordance with the laws of the state of New York, without
      regard to conflict of laws rules (other than section 5-1401 of the New
      York General Obligations Law which shall govern).

- 3 - 

Please acknowledge your agreement to
the terms and conditions of this Confirmation by signing in the appropriate
space below and returning a copy of the same to the undersigned. Telecopy
signatures shall be deemed valid and binding to the same extent as the original.

	CITIGROUP GLOBAL
      MARKETS REALTY CORP., 

	 	
	as Seller
      

	 	
	 	
	 	
	By:	/s/ Shameer
      Hussein
	Name:  	Shameer
      Hussein
	Title:	Authorized
      Agent, Citigroup Global Markets Realty
Corp.

Confirmed and Agreed to: 

 

ZFC TRUST, as Purchaser 

 

 

	By:	/s/ Michael
      Szymanski
	Name:  	Michael
      Szymanski
	Title:	Trustee

- 4 -EXECUTION VERSION

AMENDMENT NUMBER ONE
to
the
PRICING SIDE LETTER
Dated as of May 30,
2013,
between
ZFC TRUST and
CITIBANK, N.A.

     This
AMENDMENT NUMBER One (this “Amendment Number
One”) is made this 27th day of
March, 2014, between ZFC TRUST (“Seller”) and CITIBANK, N.A.
(“Buyer”),
to the Pricing Side Letter, dated as of May 30, 2013, between Seller and Buyer
(the “Side Letter”). Capitalized terms used but not otherwise defined herein shall have
the meanings assigned to such terms in the Side Letter, or if not defined
therein, capitalized terms shall have the meanings assigned to such terms in the
Master Repurchase Agreement, dated as of May 30, 2013, between Seller and Buyer
(as amended, restated, supplemented or otherwise modified, the "Agreement").

RECITALS

     WHEREAS, Seller and Buyer have
agreed to amend the Side Letter to revise the definition of “Uncommitted
Amount”, as more specifically set forth herein; and

     WHEREAS, as of the date hereof,
Seller represents to Buyer that Seller is in full compliance with all of the
terms and conditions of the Agreement and each other Program Document and no
Default or Event of Default has occurred and is continuing under the Agreement
or any other Program Document.

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

          SECTION
1. Amendment. Effective as of March 27, 2014 (the “Amendment Effective Date”), the Side
Letter is hereby amended as follows:

          (a)
Section 1 of the Side Letter is hereby amended by deleting the definition of
“Uncommitted Amount” in its entirety and replacing it with the
following:

               “Uncommitted Amount” shall
mean: $175,000,000.

          SECTION
2. Fees and Expenses. Seller agrees to pay to Buyer any and all reasonable out of
pocket costs and expenses incurred by Buyer in connection with this Amendment
Number One (including all reasonable fees and out of pocket costs and expenses
of the Buyer’s legal counsel) in accordance with Sections 23 and 25 of the
Agreement.

          SECTION
3. Representations. Seller hereby represents to Buyer that as of the date hereof, Seller is
in full compliance with all of the terms and conditions of the Agreement and
each other Program Document and no Default or Event of Default has occurred and
is continuing under the Agreement or any other Program Document.

          SECTION
4. Binding Effect; Governing Law. This Amendment Number One shall be binding and inure to the
benefit of the parties hereto and their respective successors and permitted
assigns. THIS AMENDMENT NUMBER ONE SHALL BE CONSTRUED IN ACCORDANCE WITH THE
LAWS OF THE STATE OF NEW YORK (INCLUDING SECTION 5-1401 OF THE NEW YORK GENERAL
OBLIGATIONS LAW) AND THE OBLIGATIONS, RIGHTS, AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH
LAWS WITHOUT REGARD TO CONFLICT OF LAWS DOCTRINE APPLIED IN SUCH
STATE.

          SECTION
5. Counterparts. This Amendment Number One may be executed by each of the parties hereto
on any number of separate counterparts, each of which shall be an original and
all of which taken together shall constitute one and the same
instrument.

          SECTION
6. Limited Effect. Except as amended hereby, the Side Letter shall continue in full force
and effect in accordance with its terms. Reference to this Amendment Number One
need not be made in the Side Letter or any other instrument or document executed
in connection therewith, or in any certificate, letter or communication issued
or made pursuant to, or with respect to, the Side Letter, any reference in any
of such items to the Side Letter being sufficient to refer to the Side Letter as
amended hereby.

[Signature Page Follows]

2

     IN WITNESS WHEREOF, Seller and Buyer
have caused this Amendment Number One to be executed and delivered by their duly
authorized officers as of the Amendment Effective Date. 

 

	
      ZFC TRUST
(Seller)
    

	By:	
	Name: 	Michael F.
    Szymanski
	Title:	Trustee

	CITIBANK,
      N.A.
(Buyer) 

	 
	By:	
	Name: 	
	Title:	

Amendment Number One to Pricing Side
Letter - Citibank/Zais 

     IN WITNESS WHEREOF, Seller and Buyer
have caused this Amendment Number One to be executed and delivered by their duly
authorized officers as of the Amendment Effective Date. 

 

	
      ZFC TRUST
(Seller)
    

	 
	By:	
	Name: 	
	Title:	

	CITIBANK,
      N.A.
(Buyer) 

	 
	By:	
	Name: 	Susan Mills
	Title:	Vice President
Citibank,
  N.A.

Amendment Number One to Pricing Side
Letter - Citibank/Zais

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00231-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00231-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00231-of-00352.parquet"}]]