EX-10.51 Accounts Receivable Agreement Amendment

EX-10.51 22 c81087exv10w51.txt EX-10.51 ACCOUNTS RECEIVABLE AGREEMENT AMENDMENT EXHIBIT 10.51 December 12, 2003 Mr. Mack Traynor, President HEI, Inc. 1495 Steiger Lake Lane Victoria, MN 55386 Dear Mack: Thank you for the on-going opportunity to provide a revolving credit facility for HEI, Inc. This letter serves to confirm the continuing availability of the credit facility provided to HEI, Inc. by Beacon Bank pursuant to the Accounts Receivable Agreement dated May 29, 2003, on the following terms and conditions: MAXIMUM CLIENT ACCOUNT LIMIT: $3,000,000 DISCOUNT: Immediate discount of .50% and a daily discount of 1/25 of 1% PART PAYMENT: 80% of invoice amount, subject to the completion of appropriate verification due diligence TERMS OF CONTRACT: September 1, 2004 ACCOUNT RELATIONSHIP: That the primary deposit relationship for HEI, Inc. be maintained with Beacon Bank while this credit facility is in place CREDIT GUARANTEE: 90 day recourse COLLATERAL: First security interest in all accounts, inventory, and general intangibles GUARANTY: Validity guaranty from key officers It has been our pleasure working with you and your staff during the last year. We congratulate you on the progress you've made this year, and look forward to future successes for HEI. As you know, we will also continue to provide HEI, Inc. accounts receivable credit and collection services, including the management of outstanding accounts receivable balances, assistance in the development of underwriting policies, credit approval procedures, and a full complement of accounts receivable and cash receipts reporting. All terms and conditions are covered in the Accounts Receivable Agreement. Please let me know if you have any questions, or if I can be of any further assistance. As always, we appreciate your business! Sincerely, Dave Peterka Karen Turnquist Beacon Bank Partner Plus