Addendum to Workout Agreement between International Microcomputer Software, Inc. and Creditors

Summary

This addendum modifies the original Workout Agreement dated November 6, 2000, between International Microcomputer Software, Inc. and its creditors. It updates the definition of unsecured claims, adjusts the payment schedule so creditors receive four equal payments totaling 10% of their unsecured claims, and specifies interest rates. The agreement becomes effective if accepted by holders of at least 93% of unsecured claims by August 17, 2001, unless a lower percentage is agreed upon. Creditors accepting this addendum agree that the 10% payment fully satisfies their unsecured claims.

EX-10.17 19 f76300ex10-17.txt EXHIBIT 10.17 EXHIBIT 10.17 ADDENDUM TO WORKOUT AGREEMENT FOR INTERNATIONAL MICROCOMPUTER SOFTWARE, INC. The Workout Agreement dated November 6, 2000, between the Debtor and its Creditors ("Workout Agreement") is hereby amended as follows: The second sentence of paragraph 1.1 shall be replaced with the following: "Unsecured Claims shall include (a) all unsecured claims arising under leases or executory contracts entered into prior to the Workout Date except to the extent of the reasonable value of the use of goods, services, or space actually used or occupied by the Debtor after the Workout Date and (b) interest at the annual rate of 8% from February 1, 2000, to September 30, 2002, and then 12% interest thereafter until paid." The first sentence of paragraph 3.1 shall be replaced as follows: Not later than September 30, 2002, Creditors shall receive the first of four equal payments, the sum of which shall equal 10% of the amount of their Unsecured Claims. The three remaining payments shall be made not later than December 31, 2002, March 31, 2003, and June 30, 203. Interest shall be paid on the unpaid balance from February 1, 2000. The first sentence of paragraph 4.1 shall be replaced with the following: "This Agreement shall become effective only if it is accepted by the holders of 93% or more in dollar amount of Unsecured Claims not later than August 17, 2001, or by such lower percentage to which the Debtor and the Committee agree. Paragraph 4.2 shall be deleted. Consent to Addendum to Workout Agreement The undersigned Creditor ("Creditor") hereby accepts all of the terms and conditions of the above Addendum. I certify that I have read the Workout Agreement and understand all of its terms, including the provision that the cash I receive in the amount of 10% of my Unsecured Claim will be in full satisfaction of such Unsecured Claim (as defined in the Workout Agreement). Legal Name of Creditor ____________________________________ Signature of Creditor or Authorized Representative /s/_________________________________ Printed or Typed Name of Person Signing ____________________________________ Title of Person Signing ____________________________________ Address of Creditor ____________________________________ ____________________________________ Telephone Number (____) ____________________________ Facsimile Number (____) ____________________________ 162 Adjustment Bureau PLEASE SIGN AND RETURN TO: CMA Business Credit Services P.O. Box 1838 San Leandro, California ###-###-#### Facsimile: (510) 346-6020 163