EX-99.3 4 w18239exv99w3.htm SIXTH AMENDMENT DATED AS OF FEBRUARY 28, 2006, TO LOAN AGREEMENT (CLARIENT) exv99w3
 

EXHIBIT 99.3
SIXTH AMENDMENT TO LOAN AGREEMENT
     This Sixth Amendment to Loan Agreement (this “Amendment”) is entered into as of February 28, 2006, by and between COMERICA BANK (“Bank”), and CLARIENT, INC., a Delaware corporation, formerly known as Chromavision Medical Systems, Inc. (“Borrower”).
RECITALS
     Borrower and Bank are parties to that certain Loan Agreement dated as of February 13, 2003, as amended from time to time, including but not limited to that certain First Amendment to Loan and Security Agreement dated as of October 21, 2003, that certain Second Amendment to Loan and Security Agreement dated as of January 22, 2004, that certain Third Amendment to Loan Agreement dated as of January 31, 2005, that certain Fourth Amendment to Loan and Security Agreement dated as of March 11, 2005, that certain Fifth Amendment to Loan and Security Agreement dated as of August 1, 2005 and that certain Loan Extension Letter Agreement dated as of January 26, 2006 (collectively, the “Agreement”). The parties desire to amend the Agreement in accordance with the terms of this Amendment.
     NOW, THEREFORE, the parties agree as follows:
     1. The following defined term in Section 1.1 of the Agreement is amended and restated in its entirety to read as follows:
        “’Revolving Maturity Date’ means February 28, 2007.”
     2. Section 6.8 of the Agreement is amended and restated in its entirety to read as follows:
        “6.8 Tangible Net Worth. Borrower shall maintain, as of the last day of each calendar month, a Tangible Net Worth of not less than $0.”
     3. Exhibit C to the Agreement is amended and replaced with Exhibit C attached hereto.
     4. All references in the Agreement to Bank’s address at 2321 Rosecrans Ave., Suite 5000, El Segundo, CA 90245, shall mean and refer to 75 E Trimble Road, San Jose, CA 95131.
     5. Unless otherwise defined, all initially capitalized terms in this Amendment shall be as defined in the Agreement. The Agreement, as amended hereby, shall be and remain in full force and effect in accordance with its respective terms and hereby is ratified and confirmed in all respects. Except as expressly set forth herein, the execution, delivery, and performance of this Amendment shall not operate as a waiver of, or as an amendment of, any right, power, or remedy of Bank under the Agreement, as in effect prior to the date hereof.
     6. Borrower represents and warrants that the Representations and Warranties contained in the Agreement are true and correct as of the date of this Amendment, and that no Event of Default has occurred and is continuing.
     7. As a condition to the effectiveness of this Amendment, Bank shall have received, in form and substance satisfactory to Bank, the following:
          (a) this Amendment, duly executed by Borrower;
          (b) a Certificate of the Secretary of Borrower with respect to incumbency and resolutions authorizing the execution and delivery of this Amendment;

 


 

          (c) an Affirmation of Guaranty from each Guarantor in the form attached hereto, together with resolutions authorizing the execution and delivery of the same;
          (d) an amendment fee in the amount of $5,000, which shall be due and payable and nonrefundable on the date hereof, and which may be debited from any of Borrower’s accounts;
          (e) all Bank Expenses incurred through the date of this Amendment, which shall be due and payable and nonrefundable on the date hereof, and which may be debited from any of Borrower’s accounts; and
          (f) such other documents, and completion of such other matters, as Bank may reasonably deem necessary or appropriate.
     8. This Amendment may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one instrument.
                                        [Signature Page Follows]
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     IN WITNESS WHEREOF, the undersigned have executed this Amendment as of the second date above written.
             
    CLARIENT, INC., formerly known as Chromavision Medical Systems, Inc.    
 
           
 
  By:   /s/ Ronald A. Andrews    
 
           
 
  Title:   CEO & President    
 
           
    COMERICA BANK    
 
           
 
  By:   /s/ James Ligman    
 
           
 
  Title:   Assistant Vice President    

 


 

EXHIBIT C
COMPLIANCE CERTIFICATE
TO:                 COMERICA BANK
FROM:            CLARIENT, INC.
The undersigned authorized officer of CLARIENT, INC. hereby certifies that in accordance with the terms and conditions of the Loan Agreement between Borrower and Bank (the “Agreement”), (i) Borrower is in complete compliance for the period ending                      with all required covenants except as noted below and (ii) all representations and warranties of Borrower stated in the Agreement are true and correct in all material respects as of the date hereof. Attached herewith are the required documents supporting the above certification. The Officer further certifies that these are prepared in accordance with Generally Accepted Accounting Principles (GAAP) and are consistently applied from one period to the next except as explained in an accompanying letter or footnotes.
Please indicate compliance status by circling Yes/No under “Complies” column.
             
Reporting Covenant   Required   Complies
Monthly financial statements
  Monthly within 30 days   Yes   No
Annual (CPA Audited)
  FYE within 120 days   Yes   No
10K and 10Q
  (as applicable)   Yes   No
Total amount of Borrower’s cash and investments
  Amount: $                       Yes   No
Total amount of Borrower’s cash and investments maintained with Bank
  Amount: $                       Yes   No
                                 
Financial Covenant   Required     Actual     Complies  
Measured on a Monthly Basis:
                               
Minimum Tangible Net Worth
  $ 0.00     $     Yes   No
                         
             
Comments Regarding Exceptions: See Attached.
        BANK USE ONLY          
 
                       
 
        Received by:                
               
Sincerely,             AUTHORIZED SIGNER
 
 
                       
 
        Date:              
         
 
 
 
                       
 
        Verified:              
         
 
 
                         
SIGNATURE             AUTHORIZED SIGNER
 
 
                       
 
        Date:              
         
 
 
TITLE
                       
 
                       
          Compliance Status     Yes No  
 
                       
                         
DATE