Comerica Bank Waiver Letter to Sipex Corporation Regarding Credit Agreement Default (June 30, 2001)

Contract Categories: Business Finance › Waiver Agreements
Summary

Comerica Bank has notified Sipex Corporation that it violated a financial covenant in their Revolving Credit Loan & Security Agreement by not meeting the required net income for the quarter ending June 30, 2001. The bank agrees to waive its right to declare a default for this specific violation and period only. This waiver does not apply to future or other violations, and the bank retains all other rights under the agreement. The letter is signed by a Comerica Bank Vice President.

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EX-10.1 3 b40103scex10-1.txt EX-10.1 COMERICA BANK 1 Exhibit 10.1 - -------------------------------------------------------------------------------- COMERICA BANK - CALIFORNIA East Bay Corporate Banking 1331 N California Blvd., Ste. 400 Walnut Creek, CA 94596 July 27, 2001 Frank DiPietro Sipex Corporation 22 Linell Circle Billerica, MA 01821 Dear Frank: Comerica Bank-California (herein "Bank") hereby gives formal notice to Sipex Corporation (herein "Borrower") that as of June 30, 2001 it is in violation of the Amended and Restated Revolving Credit Loan & Security Agreement between Comerica Bank and Sipex Corporation dated March 22, 2001 (Agreement) as follows: 7.17(g) "Net Income after taxes of $0 for the quarter ended June 30, 2001..." Subject to the terms and conditions that follow, we have decided to waive our default right with respect to the violation for the period ending on June 30, 2001. Please note that this applies only to the specific instance described above. It is not a waiver of any subsequent violation of the same provision of the Agreement, nor is it a waiver of any violation of any other provision of the Agreement. Except as expressly stated in this letter, we reserve all of the rights, powers, and remedies available to us under the Agreement and any other contracts or instruments signed by you. If you have any questions regarding this letter, please contact me. Sincerely, /s/ Marco Figone - ------------------------------ Marco Figone Vice President ###-###-####