EX-10.6 7 ex10-6.txt FIRST SUPPLEMENTAL INDENTURE 1 EXHIBIT 10.6 HOME INTERIORS & GIFTS, INC. and THE GUARANTOR NAMED HEREIN ---------------------------------------- SERIES A AND SERIES B 10 1/8% SENIOR SUBORDINATED NOTES DUE 2008 ---------------------------------------- ------------------- FIRST SUPPLEMENTAL INDENTURE DATED AS OF JULY 3, 2000 ------------------- UNITED STATES TRUST COMPANY OF NEW YORK Trustee This FIRST SUPPLEMENTAL INDENTURE, dated as of July 3, 2000, among Home Interiors & Gifts, Inc., a Texas corporation (the "Company"), the party identified under the caption "Guarantor" on the signature page hereto (the "Guarantor") and United States Trust Company of New York, as Trustee. RECITALS WHEREAS, the Company and the Trustee entered into an Indenture, dated as of June 4, 1998 (the "Indenture"), pursuant to which the Company issued $200,000,000 in principal amount of 10 1/8% Senior Subordinated Notes due 2008 (the "Notes"); and WHEREAS, Section 10.01(h) of the Indenture provides that the Company and the Trustee may amend or supplement the Indenture in order to execute a guarantee (a "Subsidiary Guarantee") to comply with Section 4.13 thereof without the consent of the Holders of the Notes; and 2 WHEREAS, all acts and things prescribed by the Indenture, by law and by the Articles of Incorporation and the Bylaws of the Company, of the Guarantor and of the Trustee necessary to make this First Supplemental Indenture a valid instrument legally binding on the Company, the Guarantor and the Trustee, in accordance with its terms, have been duly done and performed; NOW, THEREFORE, to comply with the provisions of the Indenture and in consideration of the above premises, the Company, the Guarantor and the Trustee covenant and agree for the equal and proportionate benefit of the respective Holders of the Notes as follows: ARTICLE 1 SECTION 1.01. This First Supplemental Indenture is supplemental to the Indenture and does and shall be deemed to form a part of, and shall be construed in connection with and as part of, the Indenture for any and all purposes. SECTION 1.02. This First Supplemental Indenture shall become effective immediately upon its execution and delivery by each of the Company, the Guarantor and the Trustee. ARTICLE 2 From this date, in accordance with Section 4.13 and by executing this First Supplemental Indenture and the accompanying Subsidiary Guarantee (a copy of which is attached hereto), the Guarantor whose signature appears below is subject to the provisions of the Indenture to the extent provided for in Article 11 thereunder. ARTICLE 3 SECTION 3.01. Except as specifically modified herein, the Indenture and the Notes are in all respects ratified and confirmed (mutatis mutandis) and shall remain in full force and effect in accordance with their terms with all capitalized terms used herein without definition having the same respective meanings ascribed to them as in the Indenture. SECTION 3.02. Except as otherwise expressly provided herein, no duties, responsibilities or liabilities are assumed, or shall be construed to be assumed, by the Trustee by reason of this First Supplemental Indenture. This First Supplemental Indenture is executed and accepted by the Trustee subject to all the terms and conditions set forth in the Indenture with the same force and effect as if those terms and conditions were repeated at length herein and made applicable to the Trustee with respect hereto. SECTION 3.03. THE INTERNAL LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO CONSTRUE THIS FIRST SUPPLEMENTAL INDENTURE, THE NOTES AND THE SUBSIDIARY GUARANTEE. 2 3 SECTION 3.04. The parties may sign any number of copies of this First Supplemental Indenture. Each signed copy shall be an original, but all of such executed copies together shall represent the same agreement. [NEXT PAGE IS SIGNATURE PAGE] 3 4 IN WITNESS WHEREOF, the parties hereto have caused this First Supplemental Indenture to be duly executed, all as of the date first written above. HOME INTERIORS & GIFTS, INC. By: ---------------------------------------- Kenneth Cichocki Vice President of Finance and Chief Financial Officer GUARANTOR: LAREDO CANDLE COMPANY, L.P. By: Spring Valley Scents, Inc., its general partner By: ---------------------------------- Kenneth Cichocki Treasurer TRUSTEE UNITED STATES TRUST COMPANY OF NEW YORK, as Trustee By: ----------------------------------------- Name: Title: