Forbearance Extension Letter Agreement between KeyBank National Association and Pacific Aerospace and Electronics, Inc.
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Summary
KeyBank National Association agrees to extend the forbearance period for Pacific Aerospace and Electronics, Inc. regarding certain loan covenant defaults from March 31, 2004, to December 31, 2004. This extension is granted due to the company's timely loan payments and lease payoff, and is contingent on continued timely payments and no new defaults. If the company cannot meet all covenants by the new deadline, the bank may consider further forbearance at its sole discretion.
EX-10.18 6 v92628exv10w18.txt EXHIBIT 10.18 EXHIBIT 10.18 KEYBANK NATIONAL ASSOCIATION A KeyCorp Bank SPECIAL ASSETS DEPARTMENT MS-WA-31-01-0475 1101 PACIFIC AVENUE P.O. BOX 11500 TACOMA, WASHINGTON 98411-5500 B. Peter Lofgren Vice President June 25, 2003 Pacific Aerospace and Electronics, Inc. Attn: Charles Miracle and Donald Wright 434 Olds Station Road Wenatchee, WA 98801 Re: Loans #357577-9001 and ###-###-#### Gentlemen: KeyBank will hereby extend the forbearance time on your covenant defaults from March 31, 2004 to December 31, 2004. This extension is being granted based on the timely monthly payments of your loans over the past ten months and the pay-off of the KeyCorp lease. This extension of the forbearance is conditioned upon there being no loan payment delinquency or default. Should the company be unable to comply with all covenants by December 31, 2004, the Bank will be willing to revisit the matter in order to consider continued forbearance of those covenant violations not met at that time. Such considerations will be at the sole discretion of the Bank. If you have any questions or require additional information please contact us at ###-###-####. Sincerely, /s/ B. Peter Lofgren -------------------- B. Peter Lofgren Vice President
