Second Restated and Amended Financing Agreement Amendment between GMAC Commercial Credit LLC and Bernard Chaus, Inc. (6/1/2001)

Summary

This amendment updates the existing financing agreement between GMAC Commercial Credit LLC and Bernard Chaus, Inc., with Chaus Retail, Inc. as guarantor. It revises financial covenants, including minimum tangible net worth, minimum working capital, and limits on losses and profits for specified periods through June 30, 2002. Bernard Chaus, Inc. agrees to pay a $4,000 amendment fee. All other terms of the original agreement remain unchanged.

EX-10.92 5 file004.txt GMAC SECOND RESTATED AND AMENDED FINANCING AGREEMENT DATED 6/1/01 Exhibit 10.92 GMAC COMMERCIAL CREDIT LLC June 1, 2001 Bernard Chaus, Inc. 530 Seventh Avenue New York, New York 10018 Attention: Josephine Chaus, Chairwoman of the Board Bernard Chaus, Inc. 800 Secaucus Road Secaucus, New Jersey 07094 Attention: Bart Heminover, Vice President of Finance Ladies/Gentlemen: Reference is made to the Second Restated and Amended Financing Agreement between you and our predecessor-in-interest, BNY Financial Corporation, dated as of October 10, 1997, as supplemented and amended (the "Financing Agreement"). Initially capitalized terms not otherwise defined herein shall have the meanings given to them in the Financing Agreement. It is hereby agreed that, effective as of June 30, 2001, the Financing Agreement shall be amended as follows: 1. Section 9.1(d) is amended to provide that the Borrower will not permit its Tangible Net Worth to be less than the following amounts as of the following dates: "As of June 30, 2001 $10,100,000 As of September 30, 2001 $9,000,000 As of December 31, 2001 $6,700,000 As of March 31, 2002 $8,200,000 As of June 30, 2002 $8,200,000" 2. Section 9.1(e) is amended to provide that the Borrower will not permit its Working Capital to be less than the following amount on the following dates: "As of June 30, 2001 $14,000,000 As of September 30, 2001 $12,700,000 As of December 31, 2001 $10,400,000 As of March 31, 2002 $11,900,000 As of June 30, 2002 $11,500,000" -------------------------------------------------------------------------------- 1290 Avenue of the Americas New York, New York 10104 ###-###-#### 3. Section 9.1(g) is amended to provide that the Borrower's (i) Loss (after taxes) will not exceed and (ii) Profit (after taxes) will not be less than the amount specified below as applicable to the indicated Period under the applicable column: Maximum Maximum "Period Permitted Loss Permitted Profit ------ -------------- ---------------- Fiscal quarter ended June 30, 2001 $2,600,000 Fiscal year ended June 30, 2001 $8,184,000 Fiscal quarter ended September 30, 2001 $800,000 Fiscal quarter ended December 31, 2001 $3,000,000 Fiscal quarter ended March 31, 2002 $1,500,000 Fiscal quarter ended June 30, 2002 -0- -0- Fiscal year ended June 30, 2002 $2,300,000" Except as hereinabove specifically set forth, the Financing Agreement shall remain unmodified and in full force and effect in accordance with its terms. In consideration of the foregoing, you agree to pay us an amendment fee of $4,000, which fee shall be in addition to any other fees, charges or interest payable by you to us under the Financing Agreement and payment of which may be effectuated by our charging your account with us. If you are in agreement with the foregoing, please so indicate by signing and returning to us the enclosed copy of this letter. Very truly yours, GMAC COMMERCIAL CREDIT LLC By: /s/ Frank Imperato --------------------------- Name: Frank Imperato Title: SVP AGREED AND ACCEPTED: BERNARD CHAUS, INC. By: /s/ Barton Heminover, ------------------------------ Name: Barton Heminover, Title: VP of Finance CHAUS RETAIL, INC. (Guarantor) By: /s/ Barton Heminover, ------------------------------- Name: Barton Heminover, Title: VP of Finance