Amendment to Silver Lease Agreement between The Bank of Nova Scotia and AMI Doduco, Inc. (May 21, 2003)

Summary

This amendment updates the Silver Lease Agreement between The Bank of Nova Scotia and AMI Doduco, Inc. The main change revises the negative covenants, restricting AMI Doduco from creating liens or selling leased silver except in the ordinary course of business, dissolving, or guaranteeing others' obligations, with limited exceptions. Guarantees are allowed up to $20 million if they do not materially harm AMI Doduco's business. All other terms of the original agreement remain unchanged.

EX-10.18(4) 18 d61078_ex10-184.txt AMENDMENT TO SILVER LEASE AGREEMENT EXHIBIT 10.18(4) ScotiaMocatta May 21, 2003 AMI Doduco, Inc. Murray Corporate Park 1003 Corporate Drive Export, PA 15362 Re: Amendment to Silver Lease Agreement dated April 9, 1996 (as last amended November 3, 1997) Reference is made to the subject Silver Lease Agreement between The Bank of Nova Scotia and AMI Doduco, Inc. Please be advised that we have agreed to make the following amendment to the above Silver Lease Agreement as follows: Section I. Negative Covenants in Appendix A is rewritten in its entirety to now read as follows: "I. Negative Covenants. Lessee covenants and agrees that, until the satisfaction in full of all of Lessee's obligations to Lessor hereunder, Lessee will not, directly or indirectly, (i) create, incur, assume or suffer to exist any pledge, lien, security interest or other encumbrance of any nature whatsoever, on any of the Material other than any security interest granted to Lessor; (ii) sell, lease, transfer or otherwise dispose of all or any portion of the Material, except in the ordinary course of its business; (iii) dissolve or liquidate; or (iv) guarantee or otherwise in any way become or be responsible for obligations of any other person. Notwithstanding the previous sentence, Lessee may from time to time guarantee the obligations of (1) Guarantor or other entities controlled by Guarantor, or (2) third parties, in the ordinary course of business which in the aggregate do not exceed $20,000,000 (twenty million dollars) at any one time; provided, that, the issuance of any such guarantees shall not, individually or in the aggregate, have a material adverse effect on the business or prospects of Lessee." EXHIBIT 10.18(4) All other terms and conditions of the Silver Lease Agreement are to remain in full force and effect. Please return a signed copy of this letter to us at the address shown above to indicate your agreement to the above amendment. Very truly yours, THE BANK OF NOVA SCOTIA By: /s/ Joseph A. Lasiewski ----------------------------- Joseph A. Lasiewski Director-Metals Operations By: /s/ Randy M. Weinerman ----------------------------- Randy M. Weinerman Senior Manager AGREED: AMI DODUCO, INC. By: /s/ Albert Thorp, III ----------------------------- Name: Albert Thorp Title: President and CEO