Letter Agreement Rescinding Termination of Credit Agreement between Comerica Bank and Prestolite Electric Incorporated

Summary

This letter agreement, dated December 26, 2000, is between Comerica Bank and Prestolite Electric Incorporated. It rescinds a previous letter that terminated their credit agreement, clarifying that the termination was executed in error. Instead, the parties have agreed to amend and restate the credit agreement, reducing the maximum available credit from $23 million to $5 million. The rescinded termination letter is declared void, and the amended credit terms remain in effect as agreed.

EX-10.3 4 k61326ex10-3.txt LETTER AGREEMENT 1 EXHIBIT 10.3 December 26, 2000 Prestolite Electric Incorporated 2311 Green Road Suite B Ann Arbor, Michigan 48105 Re: Second Amended and Restated Credit Agreement dated as of December 31, 1998, as amended ("Credit Agreement"), between Comerica Bank and Prestolite Electric Incorporated Ladies and Gentlemen: Reference is hereby made to that certain letter agreement dated September 29, 2000 (the "Termination Letter"), pursuant to which we agreed to and acknowledged termination of the Credit Agreement. As we have discussed, the Termination Letter was inadvertently executed. In fact, we have separately agreed to in another letter agreement dated December 26, 2000 that the Credit Agreement shall be and has been amended and restated such that the maximum amount of credit available thereunder has been permanently reduced from $23,000,000 to $5,000,000 upon the terms and conditions set forth therein. Accordingly, the Termination Letter is hereby rescinded and shall be of no force and effect. Very truly yours, Peggy A. Cummins First Vice President Acknowledged and agreed to as of the date set forth above: PRESTOLITE ELECTRIC INCORPORATED By:__________________________________ Its: ________________________________