Document:

Exhibit 10.1

 

FIFTH AMENDMENT TO

FOURTH AMENDED AND RESTATED CREDIT FACILITY
AGREEMENT

 

THIS FIFTH AMENDMENT
TO FOURTH AMENDED AND RESTATED CREDIT FACILITY AGREEMENT (this “Amendment”) is made as of the 4th
day of February, 2014, by and between IEC ELECTRONICS CORP., a corporation formed under the laws of the State of Delaware (“Borrower”)
and MANUFACTURERS AND TRADERS TRUST COMPANY (“Lender”).

 

W I T N E S S E T H:

 

WHEREAS, the
parties hereto are parties to a Fourth Amended and Restated Credit Facility Agreement dated as of January 18, 2013, as amended
by the First Amendment to Fourth Amended and Restated Credit Facility Agreement dated as of May 15, 2013, by the Second Amendment
to Fourth Amended and Restated Credit Facility Agreement dated as of August 6, 2013, by the Third Amendment to Fourth Amended and
Restated Credit Facility Agreement dated as of November 8, 2013 and by the Fourth Amendment to Fourth Amended and Restated Credit
Facility Agreement dated as of December 13, 2013 (as amended, modified, supplemented or restated from time to time, the “Credit
Agreement”);

 

WHEREAS, Section
12.1, Section 12.2 and Section 12.3 of the Credit Agreement require that the Borrower maintain certain financial covenants unless
the Lender otherwise consents in writing; and

 

WHEREAS, Borrower
has requested and the Lender has agreed to (i) waive Events of Default arising from non-compliance with the aforementioned covenants
in Sections 12.1, 12.2 and 12.3 of the Credit Agreement for the Fiscal Quarter ending December 27, 2013, (ii) modify the covenants
in Section 12.1 and 12.3 for future Fiscal Quarters, and (iii) make certain additional amendments to the Credit Agreement, all
on the terms and conditions herein set forth.

 

NOW, THEREFORE,
for due consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1.DEFINITIONS. All
capitalized terms used herein and not defined shall have the meaning given such terms in the Credit Agreement.

 

2.AMENDMENTS.
Effective as of the date of this Amendment:

 

(A)Section 1.1
of the Credit Agreement is hereby amended by (i) adding thereto, in alphabetical order, the following new definition:

 

“Fifth Amendment
Effective Date” means February 4, 2014.

 

(ii) amending and restating the introductory
paragraph in the definition of “Applicable Margin” to read in its entirety as follows:

 

    	

    	 

    

 

““Applicable
Margin” means, with respect to the applicable facility, the per annum percentage points shown in the applicable column
of the table below based on the applicable Debt to EBITDARS Ratio, calculated for Borrower on a consolidated basis and without
duplication in accordance with GAAP; provided, however, that for the period commencing on the Fifth Amendment Effective
Date and ending on March 27, 2015, with respect to the applicable facility, the Applicable Margin shall be fixed at the
following per annum percentage points: 4.25% (Revolving Line Facility), 4.50% (Mortgage Loan Facility) and 3.25% (Term Loan B Facility);
provided further however, that if at the end of such period, the Borrower is non-compliant with any covenant under this Agreement,
then, notwithstanding the last sentence of this definition, which shall be of no force and effect during such noncompliance following
the end of such period, the Applicable Margin shall be fixed at the foregoing percentage points for so long as the Borrower
is non-compliant with such covenant:”

 

and (iii) amending and restating the introductory paragraph
in the definition of “Applicable Unused Fee” to read in its entirety as follows:

 

““Applicable
Unused Fee” means the per annum rate (calculated based upon days elapsed over a 360 day year) shown in the table below
based on the applicable Debt to EBITDARS Ratio, calculated for Borrower on a consolidated basis and without duplication in accordance
with GAAP; provided, however, that for the period commencing on the Fifth Amendment Effective Date and ending on March 27,
2015, the Applicable Unused Fee shall be fixed at 0.500%); provided, further however, that if at the end of such period,
the Borrower is non-compliant with any covenant under this Agreement, then, notwithstanding the last sentence of this definition,
which shall be of no force and effect during such noncompliance following the end of such period, the Applicable Unused Fee
shall be fixed at 0.500% for so long as the Borrower is non-compliant with such covenant:”

 

(B)Section 12.1
of the Credit Agreement is hereby amended and restated in its entirety to read as follows:

 

“12.1Debt
to EBITDARS. Commencing with the Fiscal Quarter ending December 31, 2014, maintain at all times a Debt to EBITDARS Ratio, on
a consolidated basis, no greater than the following ratios for the following periods, reported at the end of each Fiscal Quarter:

 

12/26/2014 through
and including 3/26/2015 < 4.50 to 1.00

 

3/27/2015 through and
including 6/25/2015 < 3.50 to 1.00

 

6/26/2015 through and
including 9/29/15 < 3.25 to 1.00

 

9/30/15 and thereafter
< 2.75 to 1.00”

 

(C)Section 12.2
of the Credit Agreement is hereby amended and restated in its entirety to read as follows:

 

“Minimum Quarterly EBITDARS.
Maintain at all times minimum EBITDARS for the trailing three months, on a consolidated basis, equal to or greater than (i) for
the Fiscal Quarter ending 3/28/14, $1,250,000 and (ii) thereafter, for each Fiscal Quarter, $1,500,000, in each case reported at
each Fiscal Quarter end.”

 

    	-2-

    	 

    

  

(C)Section 12.3
of the Credit Agreement is hereby amended and restated in its entirety to read as follows:

 

“Fixed Charge
Coverage Ratio. Commencing with the Fiscal Quarter ending December 31, 2014, maintain at all times a Fixed Charge Coverage
Ratio, on a consolidated basis, equal to or greater than the following ratios for the following periods, reported at the end of
each Fiscal Quarter”

 

12/26/2014 through
and including 3/26/15> 1.00 to 1.00

 

3/27/2015 through and
including 6/25/2015 > 1.15 to 1.00

 

6/26/2015 and thereafter>
1.25 to 1.00

 

3.WAIVER.
Lender hereby waives any Event of Default arising under Section 14.1(b) of the Credit Agreement as a result of Borrower’s
non-compliance with Section 12.1, Section 12.2 and Section 12.3 for the Fiscal Quarter ending December 27, 2013. Borrower acknowledges
and agrees that the foregoing waiver shall not constitute a waiver of any Event of Default arising under (i) any other covenant
in the Credit Agreement for any period not specified herein or (ii) any financial covenant in the Credit Agreement for any other
period.

 

4.Representations
and Warranties. Borrower hereby makes the following representations and warranties to the Lender as of the date hereof,
each of which shall survive the effectiveness of this Amendment and continue in effect as of the date hereof so long as any Obligations
remain unpaid:

 

4.1Authorization.
Borrower has full power and authority to borrow under the Credit Agreement, as amended by this Amendment, and to execute, deliver
and perform this Amendment and any documents delivered in connection with it and all other related documents and transactions,
all of which have been duly authorized by all proper and necessary corporate action. The execution and delivery of this Amendment
by Borrower will not violate the provisions of, or cause a default under, Borrower’s Organizational Documents, any law or
any agreement to which Borrower is a party or by which it or its assets are bound.

 

4.2Binding Effect.
This Amendment has been duly executed and delivered by Borrower, and the Credit Agreement, as amended by this Amendment, is the
legal, valid and binding obligation of Borrower enforceable against Borrower in accordance with its terms, except to the extent
that enforcement of any such obligations of the Borrower may be limited by bankruptcy, insolvency, reorganization or similar laws
of general application affecting the rights and remedies of creditors generally.

 

4.3Consents; Governmental
Approvals. No consent, approval or authorization of, or registration, declaration or filing with, any Governmental Authority
or any other Person is required in connection with the valid execution, delivery or performance of this Amendment or any other
document executed and delivered by Borrower herewith or in connection with any other transactions contemplated hereby.

 

4.4Representations
and Warranties. The representations and warranties contained in the Credit Agreement, as amended by this Amendment, are true
on and as of the date hereof with the same force and effect as if made on and as of the date hereof, except for (i)
those representations that by their terms are made as of a specific date, (ii) the
existence of actions, suits or proceedings disclosed to the Bank in writing prior to the execution and delivery of this
Amendment, and (iii) the existence of Material Adverse Changes arising from the restatement of the Borrower’s financial statements
for the fiscal year ended September 30, 2012 (and the fiscal quarters contained therein) and the fiscal quarter ended December
28, 2012, as disclosed in the Borrower’s amended Annual Report on Form 10-K/A for the fiscal year ended September 30, 2012
and the Borrower’s amended Quarterly Report on Form 10-Q/A for the fiscal quarter ended December 28, 2012 and as disclosed
to the Bank in writing prior to the execution and delivery of this Amendment.

 

    	-3-

    	 

    

  

4.5No Events of
Default. No Event of Default and no event which, with notice and/or the passage of time, would constitute an Event of Default
has occurred or is continuing, except as waived in writing by the Lender including by this Amendment.

 

4.6No Material
Misstatements. Neither this Amendment nor any document delivered to Lender by Borrower or any Credit Party to induce Lender
to enter into this Amendment contains any untrue statement of a material fact or omits to state a material fact necessary to make
the statements herein or therein not misleading in light of the circumstances in which they were made.

 

5.CONDITIONS
OF AMENDMENT. The Lender shall have no obligation to execute or deliver this Amendment until each of the following conditions
shall have been satisfied:

 

5.1Authorization.
Borrower shall have taken all appropriate corporate action to authorize, and its directors, if and as required by Borrower’s
Organizational Documents, shall have adopted resolutions authorizing the execution, delivery and performance of this Amendment
and the taking of all other action contemplated by this Amendment, and Lender shall have been furnished with copies of all such
corporate action, certified by an authorized officer of Borrower as being true and correct and in full force and effect without
amendment on the date hereof, and such other corporate documents as Lender may request.

 

5.2Consents.
Borrower shall have delivered to Lender any and all consents, if any, necessary to permit the transactions contemplated by this
Amendment.

 

5.3Fees. Borrower
shall have paid all reasonable fees and disbursements of Lender’s counsel and all recording fees, search fees, charges and
taxes in connection with this Amendment and all transactions contemplated hereby or made other arrangements with respect to such
payment as are satisfactory to Lender.

 

5.4Deliveries.
Borrower shall have delivered to Lender, this Amendment and such additional documents, consents, authorizations, insurance certificates,
governmental consents and other instruments and agreements as Lender or its counsel may reasonably require and all documents, instruments
and other legal matters in connection with the Loan Documents shall be reasonably satisfactory to Lender and its counsel.

 

    	-4-

    	 

    

  

5.6Representations
and Warranties. The representations and warranties set forth in this Amendment and in the Loan Documents (except as provided
in Section 4.4 of this Amendment) shall be true, correct and complete on the date hereof, except those representations that by
their terms are made as of a specific date.

 

5.7No Event of
Default. No Event of Default or Default shall have occurred and be continuing on the date hereof, except as waived by this
Amendment.

 

5.8No Material
Misstatements. Neither this Amendment nor any document delivered to Lender by or on behalf of Borrower to induce Lender to
enter into this Amendment contains any untrue statement of a material fact or omits to state a material fact necessary to make
the statements herein or therein not misleading in light of the circumstances in which they were made.

 

6.MISCELLANEOUS.

 

6.1Reaffirmation
of Security Documents. Borrower hereby (a) acknowledges and reaffirms the execution and delivery of the Security Documents,
(b) acknowledges, reaffirms and agrees that the security interests granted under the Security Documents continue in full force
and effect as security for all indebtedness, obligations and liabilities under the Loan Documents, as may be amended from time
to time, and (c) remakes the representations and warranties set forth in the Security Documents as of the date hereof.

 

6.2Entire Agreement;
Binding Effect. The Credit Agreement, as amended by this Amendment, represents the entire understanding and agreement between
the parties hereto with respect to the subject matter hereof. This Amendment supersedes all prior negotiations and any course of
dealing between the parties with respect to the subject matter hereof. This Amendment shall be binding upon Borrower and its successors
and assigns, and shall inure to the benefit of, and be enforceable by the Lender and its respective successors and assigns. The
Credit Agreement, as amended hereby, is in full force and effect and, as so amended, is hereby ratified and reaffirmed in its entirety.

 

6.3Severability.
If any provision of this Amendment shall be determined by a court to be invalid, such provision shall be deemed modified to conform
to the minimum requirements of applicable law.

 

6.4Headings.
The section headings inserted in this Amendment are provided for convenience of reference only and shall not be used in the construction
or interpretation of this Amendment.

 

6.5Counterparts.
This Amendment may be executed by the parties hereto in separate counterparts (including those delivered by facsimile or other
electronic means), each of which, when so executed and delivered, shall be an original, but all such counterparts shall together
constitute one and the same instrument.

 

 

[signature page follows]

 

    	-5-

    	 

    

[Fifth Amendment to Amended and Restated
Credit Facility Agreement]

 

IN WITNESS WHEREOF, the parties hereto have
caused this Amendment to be signed by their duly authorized officers as of the day and year first above written.

 

 

	MANUFACTURERS AND TRADERS TRUST COMPANY,	 	 	 
	 	 	 	 
	 	 	 	 	 
	By:	/s/ J. Theodore Smith	 	 	 
	 	Name: J. Theodore Smith	 	 	 
	 	Title:Vice President	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	IEC ELECTRONICS CORP.	 	 	 
	 	 	 	 
	 	 	 	 	 
	By:	/s/ Vincent A. Leo	 	 	 
	 	Name: Vincent A. Leo	 	 	 
	 	Title:Chief Financial Officer	 	 	 
	 	 	 	 	 

 

    	-6-TERM
SHEET

 

This term sheet (“Term Sheet”), dated as of January 27, 2014 (the “Effective Date”), sets forth the principal terms and conditions
regarding a proposed asset purchase transaction (the “Proposed Transaction’’) between Ubiquity Broadcasting Corporation, Inc.,
a Nevada corporation (“Ubiquity’’, or “Buyer”) and ZUUS Media, Inc. a Delaware corporation (“ZUUS” or “Seller”).
Ubiquity and ZUUS shall hereinafter be known individually as a “Party” and collectively as the “Parties”.

 

The
Parties understand and agree that this Term Sheet is not binding on the Parties, except for the obligations with respect to the
Exclusivity Period and Confidentiality, which shall be binding obligations of ZUUS (in the ease of the Exclusivity Period) and
of ZUUS and Ubiquity (in the case of Confidentiality) in consideration of the time and expense devoted by Ubiquity with respect
to the proposed transaction. This Term Sheet is not a commitment to purchase or sell, and is conditioned upon the completion of
inquiries and documentation satisfactory to the Buyer and Seller.

 

	Background:	Ubiquity is a leading provider of next generation IP based content and services for mobile, tablet and professional and lifestyle screens. With an extensive IP portfolio, content production resources, and software development expertise. Ubiquity is positioned to deliver an exciting new class of services that blends the richness of TV with the relevance of the Internet.

                                              

	 	ZUUS Media is a next-generation media start-up that operates ZUUS, a groundbreaking cross-platform, music video multi-channel network with curated discovery at its core. ZUUS is an expertly curated, lean-back/broadcast-style viewing experience that enables multi-tasking audiences to enjoy music video entertainment in wavs that match their lifestyle.

                                                           

	 	The purpose of the Proposed Transaction is to purchase and integrate the ZUUS business as a division or business unit within Ubiquity, leveraging the intellectual property, resources, technology and capabilities of the two businesses to optimize and grow the overall enterprise.

                                                           

	Purchased Assets:	
        All assets
        of ZUUS, including but not limited to all accounts receivable, tangible and intangible property (e.g., technology platform, IP,
        office equipment and supplies, and all other property used in connection with the ZUUS business), contracts, books and records,
        licenses and permits, inventory, and goodwill associated with ZUUS’s business.

         

	Purchase Price:	Ubiquity Restricted Common Stock, having an aggregate value of $30,000,000, with the price
per share to be determined on or as of the date of the closing of the purchase and sale (the “Closing Date”).

 

    	 

    	 

    

 

	Key Personnel:	
        Key management
        personnel of Seller, including but not limited to Steve Goldstein and Roger _______
        (the “Key Personnel”) shall enter into employment or consulting agreements with Ubiquity.

         

	 	
        The Parties
        will explore establishing a bonus or equity incentive plan for Key Personnel and/or other executives of the new division for meeting
        agreed-upon sales or revenue targets.

         

	Business Operations:	
        Following closing
        of the Proposed Transaction, the ZUUS business will be established as a new division of Ubiquity, with all applicable contracts
        and other assets transferred to the new division. The Key Personnel from ZUUS will perform day to day management of the ZUUS business
        from its existing facilities, with additional office space, legal, finance and business development resources to be provided by
        Ubiquity as appropriate.

         

	 	
        Ubiquity will
        explore its portfolio of patents with the Key Personnel and determine which, if any, shall be licensed to the division on a no
        fee basis.

         

	 	
        Ubiquity will
        (i) create an updated presentation of the ZUUS division/business, including the patents and financial backing of Ubiquity to aid
        in raising additional capital and (ii) use its commercially reasonable efforts to assist ZUUS with a fund raise of at least $10,000,000

         

	Definitive Agreements;	
        The definitive
        agreements shall include but not be limited to an Asset Purchase Agreement, employment agreements with Key Personnel licensing
        agreements and any other agreements as may be necessary 10
        give effect to the transactions contemplated herein and/or mutually agreed between the Parties.

         

	Exclusivity Period:	
        ZUUS
        agrees that it shall not. directly or indirectly, approach or enter into discussions/negotiations with any third party
        with regard to sale of the ZUUS assets or any transaction similar to the Proposed Transaction contemplated in this Term
        Sheet for a period of 90 days from the effective date of this Term Sheet
        unless this clause is waived by Ubiquity.

         

	Confidentiality:	Each of the Parties agrees to keep the contents hereof confidential unless there is mutual agreement to disclose certain terms, or if the Parties are required to disclose such information as required by law or for regulatory or other statutory purposes, it being understood however, that each of the Parties may disclose this Term Sheet to its directors, agents or advisors.

 

	Ubiquity Broadcasting Corporation	Januray 30,2014

 

    	2

    	 

    

  

	Fees and Expenses:	
        Each Party
        shall bear its own costs, including legal, accounting, due diligence and other expenses relating to and arising out of the performance
        of its obligations under this Term Sheet.

         

	Effect:	
        The terms of
        this Term Sheet are subject to legal and confirmatory due diligence, the board approval of the Ubiquity and the execution of definitive
        agreements mutually satisfactory to the Parties.

         

	Governing Law:	This Term Sheet shall be governed by the laws of the State of California.

 

Now
therefore, the Parties hereto have executed this Term Sheet as of the Effective Date.

   

	Ubiquity Broadcasting Corporation, Inc.	 	ZUUS Media, Inc.	 
	 	 	 	 
	/s/ Christopher Carmichael	 	/s/ Steve Goldstein	 
	Name: Christopher Carmichael	 	Name: Steve Goldstein	 
	Title: CFO	 	Title: CEO	 

 

	Ubiquity Broadcasting Corporation	Januray
    30,     2014

 

    	3

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