Waiver Agreement between The CIT Group/Equipment Financing, Inc. and DSN Corporation (with LSB Industries, Inc. as Guarantor)

Summary

This agreement is between The CIT Group/Equipment Financing, Inc. and DSN Corporation, with LSB Industries, Inc. as guarantor. CIT agrees to waive certain covenant violations by LSB Industries, Inc. under a prior loan agreement, effective through June 30, 2001. All other terms of the original loan agreement remain unchanged. The waiver applies only to the specified non-compliance and does not imply CIT will waive future breaches.

EX-10.1 2 0002.txt The CIT Group, Inc. (NJ) 650 CIT Drive Livingston, NJ 07039 CIT August 4, 2000 Jim Jones Vice President and Treasurer LSB Industries 16 South Pennsylvania Avenue Oklahoma City, OK 73107 Dear Mr. Jones: Reference is made to that certain Loan Agreement dated October 31, 1994, as amended (the "Agreement") between DSN Corporation, ("Debtor"), and the CIT Group/Equipment Financing, Inc. ("CIT"). Debtor has advised CIT that LSB Industries, Inc., a guarantor of Debtor's obligations to CIT were not in compliance with certain convenants as of June 30, 2000. Debtor has requested, that notwithstanding anything to the contrary in the Agreement, that CIT waive the instances of non-compliance through June 30, 2001. CIT hereby waives, as of this date, the above instances of non-compliance under the Agreement. All other terms, conditions and agreements under the Loan Agreement, together with all schedules, attachments and amendments thereto shall remain in full force and effect. Please note that CIT's willingness to waive this particular covenant violation should not be interpreted as CIT's agreement or willingness to waive any further breach or violation of the Agreement. Sincerely, The CIT Group Equipment Financing, Inc. By: Title: Acknowledged and agreed to DSN Corporation By: Title: