Document:

Exhibit 10.2

                                                               FEBRUARY 11, 2003

                   FACTORING AGREEMENT - INVENTORY SUPPLEMENT
                                 (with advances)

         THIS FACTORING AGREEMENT - INVENTORY SUPPLEMENT (this "Supplement"),
made and executed this 25th day of February, 2003, by and between UNZIPPED
APPAREL LLC, a Delaware limited liability company (the "Client"); and GE CAPITAL
COMMERCIAL SERVICES, INC. (the "Factor").

         1. Integration with Factoring Agreement. This is a Supplement to that
certain Factoring Agreement, dated as of even date herewith (such Factoring
Agreement, as amended, modified, supplemented or restated from time to time,
being herein called the "Agreement") between Client and Factor. This Supplement
is hereby incorporated into the Agreement and is made a part thereof.

         2. Definitions. All capitalized terms used but not defined in this
Supplement shall have the meanings ascribed to such terms in the Agreement. In
addition to the terms defined elsewhere in this Supplement or in the Agreement,
the following terms shall have the following meanings:

         "Agreement Term" - the period from the date that the Agreement becomes
effective until the termination thereof by Client or Factor in accordance with
Section 18 of the Agreement.

         "Eligible Inventory" - Client's Inventory consisting of finished goods
which in each case (i) is readily marketable in its current form, (ii) is in
good, new and saleable condition and not spoiled, obsolete or unmerchantable,
(iii) is subject to Factor's duly perfected first priority lien, (iv) is located
at one of Client's owned or leased facilities listed on Schedule A hereto,
provided, however, in the case of such Inventory located at a leased facility of
Client, no such Inventory shall be Eligible Inventory unless Client shall have
procured for Factor's benefit a written agreement of the owner of such facility,
in form and substance acceptable to Factor, to waive for the benefit of Factor
any lien or security interest which such owner may at any time have in such
Inventory and to afford Factor access to and the right to repossess or take
possession of such Inventory; (v) is not subject to any license or other
agreement that would condition or restrict Client's or Factor's right to sell or
otherwise dispose of such Inventory, (vi) meets all standards imposed by any
governmental agency or authority, (vii) conforms in all material respects to the
covenants, warranties and representations of Client set forth in this
Supplement, and (viii) is deemed by Factor, in its good faith discretion, to be
Eligible Inventory. Raw Materials and work in process shall not be deemed
Eligible Inventory. In addition, the following Inventory shall not be deemed
Eligible Inventory: (a) "Sylvain" Inventory, (b) closeout Inventory, and (b)
Inventory with no sales during the preceding nine (9) month period (the "Slow
Moving Inventory").

         "Eligible L/C Inventory" - finished goods Inventory owned by Client and
covered by documentary Letters of Credit, which finished goods Inventory is in
transit to Client's premises located at 5804 E. Slauson Avenue, Commerce,
California, and which finished goods Inventory (a) is owned by Client, (b) is
fully insured, (c) is subject to a first priority security interest in and lien
upon such goods in favor of Factor (except for any processor lien upon such
goods in the possession of a freight carrier or shipping company securing only
the freight charges for the transportation of such goods to Client), (d) is
evidenced or deliverable pursuant to documents, notices, instruments, statements
and bills of lading that have been delivered to Factor or an agent acting on its
behalf, and (e) is otherwise deemed to be Eligible Inventory.

         "Inventory" - all of Client's inventory, including, without limitation,
all goods intended for sale or lease by Client, or for display or demonstration;
all work in process; all raw materials and other materials and supplies of every
nature and description used or which might be used in connection with the
manufacture, printing, packing, shipping, advertising, selling, leasing or
furnishing of such goods or otherwise used or consumed in Client's business,
whether now owned or hereafter acquired by Client, and wherever located.

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<PAGE>

         "Inventory Advances" - the loans and advances made from time to time by
Factor to Client under this Supplement.

         "Inventory Line Amount"- the sum of Eight Million Dollars ($8,000,000);
provided, however that aggregate outstanding Inventory Advances may never exceed
the amount of accounts receivable advances available under the Agreement.

         "Inventory Borrowing Base" - at any date of the determination thereof,
an amount equal to the sum of (i) the lower of (a) sixty percent (60%) of the
value of Client's Eligible Inventory at such date, calculated on the basis of
lower of cost or market with cost calculated on a first-in, first-out basis, or
(b) ninety percent (90%) of the net orderly liquidation value of Client's
Eligible Inventory at such date, as determined by Factor, plus (ii) sixty
percent of the value of Client's Eligible L/C Inventory at such date, calculated
on the basis of lower of cost or market with cost calculated on a first-in,
first-out basis, plus (iii) thirty percent (30%) of the value of certain
finished goods Slow Moving Inventory (as selected by Factor), which, but for the
fact that such inventory has had no sales during the preceding nine (9) months,
satisfies all other requirements of Eligible Inventory, with such percentage to
be reduced by ten percent (10%) per month on each monthly anniversary of the
Effective Date until eliminated, and with the value of such finished goods
Inventory to be calculated on the basis of lower of cost or market with cost
calculated on a first-in, first-out basis, and less (iv) reserves which Factor,
in its discretion, determines should be established from time to time with
respect to such matters, events, conditions or contingencies.

         3. Additional Collateral. As security for all of the Obligations,
Client hereby pledges and grants to Factor a continuing general lien on and
security interest in all following property and interests in property of Client,
whether now owned or hereafter acquired and wherever located (the "Inventory
Collateral"):

                  (a) All Inventory;

                  (b) All cash and non-cash proceeds of the Inventory; and

                  (c) All books and records (including, without limitation,
         credit files, computer programs, print-outs, and other computer
         materials and records) of Client pertaining to any of the types or
         items of property described in any of clauses (a) through (b) above.

         4. Attachment of Lien. Factor's lien and security interest shall extend
and attach to Inventory which is presently in existence and which is owned by
Client or in which Client has an interest, and all Inventory which Client
purchases or in which Client may acquire an interest at any time and from time
to time in the future, whether such Inventory is in transit or in Client's
constructive, actual or exclusive occupancy or possession or not, or held by
Client or others for Factor's account and wherever the same may be located,
including, but without limiting the generality of the foregoing, all Inventory
which may be located on Client's premises or upon the premises of any carriers,
forwarding agents, truckers, warehousemen, vendors, selling agents, finishers,
converters or other third parties who may have possession of the Inventory.

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<PAGE>

         5. Advances. Upon Client's request at any time during the Agreement
Term so long as no Event of Default has occurred and is continuing, Factor shall
make Inventory Advances to Client, on a revolving credit basis, provided, that
at no time shall the maximum principal amount of such Inventory Advances
outstanding at any time exceed the least of (a) the Inventory Line Amount, (b)
the Inventory Borrowing Base as calculated at such time, or (c) the resulting
amount of the following: $25,000,000, less the total outstanding advances from
Factor under the Agreement, less the aggregate undrawn amounts of all
outstanding letters of credit. If Factor so requires, Client will execute a
promissory note or notes or other instruments of indebtedness in form
satisfactory to Factor evidencing the Inventory Advances made to Client
hereunder. Client shall pay interest on the outstanding Inventory Advances at a
rate equal to three percent (3.0%) per annum over the Index Rate; provided,
however, that if an Event of Default has occurred and is continuing, such
interest rate shall be increased by three percent (3.0%) until such Event of
Default is cured or waived by Factor. Interest will be calculated on a daily
basis (computed on the actual number of days elapsed over a year of three
hundred sixty (360) days) and shall be payable on the last day of each month.
The applicable Index Rate for the month hereof shall be the Index Rate in effect
on the last day of the month preceding the date of this Supplement and the
applicable Index Rate for each month thereafter shall the Index Rate in effect
on the last day of the preceding calendar month. However, in no event shall the
rate of interest agreed to or charged to Client hereunder exceed the maximum
rate of interest permitted to be agreed to or charged to Client under applicable
law. All of the Inventory Advances shall be payable by Client upon the earlier
of the expiration of the Agreement Term or Factor's demand. Recourse to the
security for the Inventory Advances will not be required at any time.

         6. Representations and Warranties of Client. Client warrants and
represents to Factor that all Inventory is and will be owned by Client, free of
all other liens, security interests and encumbrances; that the lien and security
interest created hereby is and shall at all times be a first and only lien on
the Inventory; that Client has the unrestricted right and power to enter into
this Supplement and grant Factor a lien and security interest on the Inventory
Collateral. Client shall at all times keep the Inventory Collateral at the
locations set forth on Schedule A attached hereto except for sales in the
ordinary course of business. Client will, at Client's sole expense, forever
warrant and defend the Inventory Collateral against any and all claims or
demands of any other person, firm, entity or corporation adverse to Factor's
interest therein.

         7. Continuing Lien. Factor's lien on the Inventory shall continue
through all stages of manufacture and shall, without further act, attach to
goods in process, to finished goods, to the accounts receivable or other
proceeds resulting from the sale or other disposition thereof and to all such
Inventory as may be returned to Client by customers. From time to time
hereafter, Client shall provide Factor with one or more separate written
statements, dated and signed by Client, describing, designating, identifying and
evaluating all Inventory now and hereafter owned by Client, and confirming
Factor's lien and security interest. Upon the sale, exchange, or other
disposition of the Inventory, the security interest and lien created and
provided for herein shall continue in and attach to the instruments for the
payment of money, accounts, contract rights, documents of titles, shipping
documents, exchange or disposition, including Inventory returned or rejected by
customers or repossessed by either Client or Factor. As to any such sale,
exchange or disposition, Factor shall have all of the rights of an unpaid
seller, including stoppage in transit, replevin and reclamation.

         8. Taxes. Client will promptly pay, when due, all taxes, assessments,
claims or other charges levied or assessed upon the Inventory. In the event
Client fails to pay such taxes, assessments, claims or other charges or fails to
keep the Inventory Collateral free from any other lien or security interest,
Factor may on Client's behalf make expenditures for such purposes and any amount
so expended shall be an Obligation secured hereby to be repaid with interest at
the rate applicable to the Inventory Advances.

         9. Sales of Inventory; Proceeds. Except for sales made in the regular
course of Client's business for so long as no Event of Default shall exist,
Client shall not sell, encumber or dispose of or permit the sale, encumbrance or
disposal of any Inventory Collateral without Factor's prior written consent. As
sales are made in the regular course of business, Client shall, in accordance
with the provisions of the Agreement, immediately execute and deliver to Factor
schedules and assignments of accounts receivables created by Client that are
sold and assigned to Factor under the Agreement. If sales are made for cash,
Client shall immediately deliver or cause to be delivered to Factor the
identical checks, cash or other forms of payment which Client receives. All
payments received by Factor on account of cash sales of Inventory, as well as on
account of accounts receivable sold and assigned by Client under the Agreement,
will be applied against the Obligations in accordance with the provisions of the
Agreement.

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<PAGE>

         10. Third Party Notification; Reporting. If any Inventory remains in
the possession or control of any of Client's agents or processors, Client shall
notify such agents or processors of Factor's lien, and upon request shall
instruct them to hold all such Inventory for Factor's account and subject to
Factor's instructions. Client agrees to maintain books and records pertaining to
the Inventory Collateral in such detail, form and scope as Factor shall
reasonably require. Client will also advise Factor promptly, in sufficient
detail, of any substantial change relating to the type, quantity or quality of
the Inventory, or any event which would have a material effect on the value of
the Inventory or on the lien and security interest granted to Factor herein. A
physical listing of all Inventory, wherever located, shall be taken by Client
whenever reasonably requested by Factor, and a copy of each such physical
listing shall be supplied to Factor. Factor may examine and inspect the
Inventory Collateral at any time during regular business hours. Factor will have
collateral audits conducted on a periodic basis, in its discretion, with Client
agreeing to pay to Factor audit fees for such audits at the rate of $750 per
person per day, plus out of pocket expenses, together with all reasonable travel
expenses incurred in connection with such audit. Factor reserves the right to
adjust such fees and costs for subsequent years. Client will execute and deliver
to Factor from time to time, upon demand, such supplemental agreements or
documents relating to the Inventory Collateral in order that the full intent and
purpose of this Supplement may be carried into effect. Client agrees that
semi-annual appraisals of the Inventory, conducted by an appraiser acceptable to
Factor, will be conducted at Borrower's cost and expense. In addition, Client
agrees to provide Factor with the following month-end reporting of Inventory
within 20 days following the end of each month: (a) a perpetual Inventory report
by Inventory type, (b) a separate reporting of Sylvain Inventory, (c) a report
of Slow Moving Inventory, (d) a backlog report, and (e) a report of open orders
with vendors/allocated to sell, with the form and substance of all such
reporting to be acceptable to Factor in its sole discretion. Lastly, Client
agrees to provide Factor with a monthly accounts payable report, in form and
substance acceptable to Factor, within 20 days following the end of each month.

         11. Insurance. At Client's sole expense, Client shall keep the
Inventory (whether or not in transit) continuously insured in amounts not less
than its full insurable value by a reputable and highly rated insurance company
or companies acceptable to Factor against loss or damages from fire, hazards
included within the term "extended coverage", theft and such other risks as
Factor may require. Each insurance policy shall provide under a long form loss
payable clause that loss and proceeds thereunder shall be payable to Factor as
its interest may appear, shall provide at least ten (10) days' written notice of
cancellation to Factor, and shall specify that the interest of Factor shall not
be impaired or invalidated by any act or neglect of Client or the owner of the
Inventory or by the occupation of the premises for purposes more hazardous than
are permitted by such policy. Client shall deliver to Factor all such insurance
policies or other evidence of compliance satisfactory to Factor and Client shall
renew each policy at its own expense and shall deliver satisfactory evidence
thereof to Factor not less than thirty (30) days before its expiration date. If
Client fails to do so, Factor may procure such insurance and the cost of such
insurance shall be additional Obligations secured hereby and payable with
interest at the interest rate applicable to the Inventory Advances. Factor may
act as attorney-in-fact for Client in obtaining, adjusting, settling and
canceling such insurance and endorsing any instruments relating thereto, and in
the event of loss or damages to the Inventory, Factor shall have the option to
apply the insurance proceeds to the Obligations (whether or not matured) or to
the repair or replacement of the Inventory after receiving proof satisfactory to
Factor of such repair or replacement.

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<PAGE>

         12. Remedies Upon Default. If an Event of Default shall occur, or if
for any reason the Agreement is terminated, then Factor, without demand or
notice, may declare all of the Obligations immediately due and payable
(notwithstanding that the maturity date or dates expressed in any evidence of
such indebtedness may be otherwise) and Factor may foreclose its lien or
security interest in the Inventory Collateral in any way permitted by law, and
shall have, without limitation, the remedies of a secured party under the
Uniform Commercial Code as enacted in California. Factor may thereupon enter
Client's premises without legal process and without incurring liability to
Client and may remove the Inventory Collateral to such place as Factor may deem
advisable, or Factor may require Client to assemble and make the Inventory
Collateral available to Factor at a convenient place, or take and maintain
possession on Client's premises and, with or without having the Inventory
Collateral at the time or place of sale, Factor may sell or otherwise dispose of
all or any part of the Inventory Collateral whether in its then condition or
after further preparation or processing, either at public or private sale or at
any broker's board, in lots or in bulk, for cash or for credit, at any time or
place, in one or more sales, and upon such terms and conditions as Factor may
elect. Client agrees that ten (10) days written notice to Client of any public
or private sale or other disposition of the Inventory Collateral shall be
reasonable notice thereof. At any such sale Factor may be the purchaser. If any
Inventory Collateral shall require rebuilding, repairing, maintenance,
preparation, or is in process or other unfinished state, Factor shall have the
right, at Factor's option, to do such rebuilding, repairing, preparation,
processing or completion of manufacturing, for the purpose of putting the
Inventory Collateral in such saleable form as Factor shall deem appropriate.
Factor is hereby granted a license or other right to use, without charge,
Client's labels, patents, copyrights, rights of use of any name, trade secrets,
tradenames, trademarks and advertising matter, or any property of a similar
nature, as it pertains to the Inventory, in advertising for sale and selling any
of the Inventory, and Client's rights under all licenses and all franchise
agreements shall inure to Factor's benefit.

         13. Application of Proceeds. In the event of any sale or other
disposition of the Inventory, the proceeds from any sale shall be applied first,
to the costs, expenses and attorneys' fees incurred by Factor in collecting the
Obligations, enforcing the rights of Factor under the Agreement and this
Supplement and collecting, retaking, completing, protecting, removing, storing,
repairing, advertising and finishing for sale, selling and delivering any
Inventory, and all other expenses of sale; second, to the interest due upon any
of the Obligations; and third, to the principal of the Obligations in such order
as Factor may determine. Any deficiency will be paid to Factor forthwith upon
demand and any surplus will be paid to Client or other person legally entitled
thereto. The enumeration of the foregoing rights is not intended to be
exhaustive and the exercise of any right shall not preclude the exercise of any
other rights, all of which shall be cumulative.

         14. No Limitation of Remedies. To the extent that any of the
Obligations are now or hereafter secured by property other than the Inventory
Collateral or by the guaranty, endorsement or property of any other person, firm
or corporation, then Factor shall have the right to proceed against such other
property, guarantor or endorser, and Factor shall have the right in its sole
discretion to determine which rights, security, liens, security interests or
remedies Factor shall at any time pursue, relinquish, modify or take any other
action with respect thereto, without in any way modifying or affecting any of
them or any of Factor's rights hereunder.

         15. No Waiver. The lien, rights and security interest granted to Factor
hereunder are to continue in full force and effect, notwithstanding the
termination of the Agreement, until the payment in full of all of the
Obligations, and Factor's delay or omission to exercise any such lien, right or
security interest shall not be deemed a waiver thereof or of any other right,
lien or security interest unless such waiver be in writing and signed by Factor.
A waiver on one occasion shall not be construed as a bar to or waiver of any
other rights or remedies on any future occasion.

         16. Lien Perfection. Client hereby reaffirms the authorization granted
to Factor under Section 22 of the Agreement and acknowledges that such
authorization applies to any and all liens granted to Factor pursuant to this
Supplement.

         17. Amendment; Application of Other Provisions in Agreement. This
Supplement, which is subject to modification only in writing, is supplementary
to and is to be considered as a part of the Agreement and shall take effect when
accepted and signed by Factor. All miscellaneous provisions of the Agreement
(such as choice of law, waiver of jury trial, etc.) shall apply to this
Supplement and any notices, demands, consents, or other writings or
communications permitted or required by this Supplement shall be given in the
manner and to the address as set forth in the Agreement.

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<PAGE>

         IN WITNESS WHEREOF, the parties hereto have duly executed this
Supplement on the day and year first above written.

                                            UNZIPPED APPAREL LLC

                                            By: /s/ Hubert Guez

                                            Title: CEO

Accepted in Los Angeles

GE CAPITAL COMMERCIAL SERVICES, INC.

By: Michael Gardner
Title: Sr. Vice President

Date: 2/13/2003

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                                   SCHEDULE A
                                       TO
                   FACTORING AGREEMENT - INVENTORY SUPPLEMENT

                    Schedule of Eligible Inventory Locations

5804 E. Slauson Avenue
Commerce, California 90040Exhibit 10.3
                                                               FEBRUARY 11, 2003

                               FACTORING AGREEMENT
                      GUARANTY/LETTER OF CREDIT SUPPLEMENT

         THIS FACTORING AGREEMENT - GUARANTY/LETTER OF CREDIT SUPPLEMENT (this
"Supplement"), made and executed this 25th day of February, 2003, by and between
UNZIPPED APPAREL LLC, a Delaware limited liability company (the "Client"); and
GE CAPITAL COMMERCIAL SERVICES, INC. (the "Factor").

         1. This is a Supplement to that certain Factoring Agreement, dated as
of even date herewith (such Factoring Agreement, as amended, modified,
supplemented or restated from time to time, being herein called the "Agreement")
between Client and Factor. This Supplement is hereby incorporated into the
Agreement and is made a part thereof.

         2. All capitalized terms used in this Supplement without definition
shall have the meanings ascribed to such terms in the Agreement. In addition to
the terms defined elsewhere in this Supplement or in the Agreement, the
following terms shall have the following meanings:

         "Beneficiary" - the Vendor or the Opening Bank that is the beneficiary
of a Factor Guaranty.

         "Contract Term" - the period from the date that the Agreement becomes
effective until the termination thereof by Client or Factor in accordance with
paragraph 18 of the Agreement.

         "Drawing Document" - any document required to be submitted by a
Beneficiary for a drawing under a Letter of Credit or Factor Guaranty.

         "Factor Guaranty" - a guaranty issued by Factor at Client's request
pursuant to this Supplement, in form and upon terms satisfactory to Factor, in
favor of an Opening Bank to guaranty Client's reimbursement obligations to the
Opening Bank under a Letter of Credit or in favor of a Vendor to guaranty
Client's obligations to pay the purchase price of inventory sold and delivered
by such Vendor to Client.

         "Factor Guaranty Obligations" - all outstanding obligations incurred by
Factor, whether direct or indirect, contingent or otherwise, due or not due, in
connection with the issuance of a Factor Guaranty. The amount of such Factor
Guaranty Obligations at any time shall equal the maximum amount which may be
payable by Factor thereupon or pursuant thereto at such time and shall include
all duty, freight, taxes, costs, insurance and any other charges and expenses in
connection therewith.

         "Factor Guaranty/Letter of Credit Line Amount" - the lesser of (a) Five
Million Dollars ($5,000,000), or (b) the resulting amount of the following:
$25,000,000, less the aggregate principal amount of Inventory Advances then
outstanding under the Factoring Agreement - Inventory Supplement between the
parties accepted by Factor on even date herewith ("Inventory Supplement"), less
the total outstanding advances from Factor under the Agreement.

<PAGE>

         "Letter of Credit" - A letter of credit at any time issued by an
Opening Bank for the account of Client to support Client's obligations for the
purchase of inventory.

         "Opening Bank" - First Union or any other bank approved by Factor which
opens a Letter of Credit for the account of Client pursuant to this Supplement.

         "Vendor" - a vendor of inventory to Client.

         3. Factor may, in its sole discretion, from time to time during the
Contract Term issue Factor Guaranties, as requested by Client, with the
aggregate face amount of Factor Guaranties outstanding at any one time not to
exceed the Factor Guaranty/Letter of Credit Line Amount. As a condition for the
issuance of any Factor Guaranty to an Opening Bank with respect to a Letter of
Credit, Client shall enter into an application and agreement with the Opening
Bank for such Letter of Credit.

         4. Upon Factor's issuance of a Factor Guaranty, Factor shall establish
a reserve against the amount of advances which Client is entitled to have
outstanding under the Agreement in an amount equal to one hundred percent (100%)
of the face amount of the Factor Guaranty Obligation with respect to such Factor
Guaranty.

         5. Any amounts paid by Factor under or with respect to any Factor
Guaranty shall be (a) treated for all purposes as an advance to Client under the
Agreement, (b) charged to the Reserve Account as of the date paid by Factor, (c)
payable upon demand, together with interest thereon at the rate and calculated
in the manner as specified in the Agreement, and (d) secured by all of the
Collateral granted to Factor under the Agreement and under any supplement
thereto or under any other agreement between Factor and Client.

         6. Client agrees to pay Factor the fees set forth in Schedule A
attached hereto in the amounts and on the dates set forth therein and authorizes
Factor to pay such fees on their respective due dates by charging Client's
Reserve Account. In addition, Client shall reimburse Factor for all fees and
charges paid by Factor on account of any Factor Guaranty or Factor Guaranty
Obligations to an Opening Bank.

         7. All Factor Guaranty Obligations shall be incurred by Factor solely
as an accommodation to Client and for Client's account. Client shall
unconditionally reimburse Factor for the total amount of all Factor Guaranty
Obligations paid by Factor immediately upon the date of payment by Factor
(whether with the proceeds of an advance under the Agreement or otherwise). If
Client shall fail to reimburse Factor for the total amount of all Factor
Guaranty Obligations paid by Factor, in addition to Factor's rights under the
Agreement and applicable law, Factor shall be fully subrogated to the rights and
remedies of the Beneficiary of such Factor Guaranty with respect to Client's
obligations to such Beneficiary which were paid or discharged with the proceeds
of the Factor Guaranty, and Factor shall be entitled to exercise all rights and
remedies which the Beneficiary had against Client, whether under any application
for the issuance of a Letter of Credit, any purchase order with a Vendor, any
other agreement between such Beneficiary and Client, or under applicable law, as
fully as if Factor were the Beneficiary.

         8. Client's Obligations to Factor with respect to any Factor Guaranty
or Factor Guaranty Obligation shall be evidenced by Factor's records and shall
be absolute, unconditional and irrevocable and shall not be affected, modified
or impaired by: (a) any lack of validity or enforceability of the transactions
contemplated by or related to such Factor Guaranty or Factor Guaranty
Obligation; (b) any amendment or waiver of or consent to depart from all or any
of the terms of the transactions contemplated by or related to such Factor
Guaranty or Factor Guaranty Obligation; (c) the existence of any claim, set-off,
defense or other right which Client may have against Factor, the Beneficiary or
any other person, whether in connection with the Agreement, this Supplement or
such Factor Guaranty or the transactions contemplated thereby or any unrelated
transactions; or (d) the fact that any draft, affidavit, letter, certificate,
invoice, bill of lading or other Drawing Document presented under or delivered
in connection with such Factor Guaranty proves to have been forged, fraudulent,
invalid or insufficient in any respect or any statement therein proves to have
been untrue or incorrect in any respect.

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<PAGE>

         9. Client hereby agrees to indemnify Factor from and to hold Factor
harmless against any and all claims, liabilities, losses, costs and expenses
(including, attorneys' fees and expenses) which Factor may (other than as a
result of its own gross negligence or willful misconduct) incur or be subject to
as a consequence, directly or indirectly, of: (a) the issuance of or payment of
or failure to pay under any Factor Guaranty or Factor Guaranty Obligation or (b)
any suit, investigation or proceeding as to which Factor is or may become a
party as a consequence, directly or indirectly, of the issuance of any Factor
Guaranty, the incurring of any Factor Guaranty Obligation or any payment of or
failure to pay under any Factor Guaranty or Factor Guaranty Obligation. The
obligations of Client under this paragraph shall survive any termination of the
Agreement and the payment in full of the Obligations.

         10. Client hereby assumes all risks of the acts, omissions or misuse of
each Factor Guaranty by the Beneficiary thereof and, in connection therewith,
Factor shall not be responsible (a) for the validity, sufficiency, genuineness
or legal effect of any Drawing Document even if it should in fact prove in any
respect to be invalid, insufficient, inaccurate, untrue, fraudulent or forged;
(b) for the validity or sufficiency of any instrument transferring or assigning
or purporting to transfer or assign any Letter of Credit or Factor Guaranty or
any rights or benefits thereunder or any proceeds thereof, in whole or in part,
even if it should prove to be invalid or ineffective for any reason; (c) for the
failure of any Beneficiary of a Factor Guaranty to comply fully with the terms
thereof, including the conditions required in order to effect or pay a drawing
thereunder; (d) for any errors, omissions, interruptions or delays in
transmission or delivery of any messages, by mail, telecopy, telex or otherwise;
(e) for any loss or delay in the transmission or otherwise of any Drawing
Document; or (f) for any consequences arising from causes beyond the direct
control of Factor.

         11. In the event that any Factor Guaranty Obligations are outstanding
when the Agreement is terminated for any reason, whether on account of an Event
of Default or otherwise, Client will either (a) cause each underlying Factor
Guaranty to be returned and canceled and each corresponding Factor Obligation to
be terminated, or (b) pay to Factor, in immediately available funds, an amount
equal to 105% of the maximum amount then available to be drawn under all Factor
Guaranties not so returned and canceled to be held by Factor as cash collateral
in a cash collateral account to be established by Factor on its books and
records and in which Factor shall have a lien and security interest as security
for the outstanding Factor Guaranty Obligations. All funds in the cash
collateral account shall be held by Factor as a reserve to fund future payments
on those Factor Guaranties and Factor Guaranty Obligations still outstanding. At
such time as all Factor Guaranties have expired by their stated terms or have
been returned and canceled, and all of the Factor Guaranty Obligations have been
indefeasibly paid in full, any remaining balance in the cash collateral account
shall be returned to Client.

         12. This Supplement, which is subject to modification only in writing,
is supplementary to and is to be considered as a part of the Agreement and shall
take effect when accepted and signed by Factor. This Supplement shall be
interpreted according to the laws of the State of California and shall inure to
the benefit of and be binding upon the parties hereto and their respective
successors and assigns. Any notices, demands, consents, or other writings or
communications permitted or required by this Agreement shall be given in the
manner and to the address as set forth in the Agreement.

         13. WAIVER OF JURY TRIAL. TO THE FULLEST EXTENT PERMITTED BY APPLICABLE
LAW, FACTOR AND CLIENT HEREBY WAIVE, IRREVOCABLY AND UNCONDITIONALLY, TRIAL BY
JURY IN ANY ACTION BROUGHT ON, UNDER OR BY VIRTUE OF OR RELATING IN ANY WAY TO
THE AGREEMENT OR THIS SUPPLEMENT OR ANY OF THE OTHER DOCUMENTS EXECUTED IN
CONNECTION HEREWITH, OR ANY CLAIM, DEFENSE, RIGHT OF SETOFF OR OTHER ACTION
PERTAINING HERETO, OR TO ANY OF THE FOREGOING.

                                       3
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have duly executed this
Supplement on the day and year first above written.

                                            UNZIPPED APPAREL LLC

                   By: /s/ Hubert Guez
                   Title: CEO

Accepted in by Factor:

GE CAPITAL COMMERCIAL SERVICES, INC.

By:/s/ Michale  Gardner

 Title: Sr. Vice President

Date: February 13, 2003

<PAGE>

                                   SCHEDULE A
                                       TO
                               FACTORING AGREEMENT
                      GUARANTY/LETTER OF CREDIT SUPPLEMENT

                                Schedule of Fees

         1. An issuance fee for each Factor Guaranty issued from time to time by
Factor under this Supplement equal to one-eighth percent (1/8%) of the undrawn
face amount of such Factor Guaranty, (but in no event less than $100.00). The
issuance fee for each Factor Guaranty shall be fully earned and payable upon
issuance of such Factor Guaranty and shall not be subject to rebate or proration
upon the termination of the Agreement for any reason.

         2. A negotiation fee for each drawing made under a Factor Guaranty by
the Beneficiary
thereof equal to one-eighth percent (1/8%) (but in no event less than $100.00)
of the amount of such drawing. The negotiation fee for each drawing shall be
payable upon such drawing and shall not be subject to rebate or proration upon
the termination of the Agreement for any reason.

         3. An amendment fee of $100.00 for any changes requested by the Client
to the existing
facility; provided, however, if the amendment serves to increase the face amount
of the Letter of Credit, then in such event, the amendment fee shall be the
greater of $100.00 or one-eighth percent (1/8%) of the amount of any such
increase.

         4. A cancellation fee of $50.00 per cancellation of a letter of credit.

         5. A telex fee of $15.00 per telex.

         6. A courier fee of $15.00 per item couriered.

         7. A fee of $75.00 per Air Release issued.

Once paid, all such fee shall be non-refundable

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