EXHIBIT 10.6
Revolving Line of Credit
Agreement
Borrower: DVS Korea Co.,
Ltd.
196 Kumkok Dong, Boon Dang Gu, Sung Nam City, Kyunggi Province
Mr. Song Sim, CEO
Lender: Woori
Bank ( Previously Hanvit
Bank)
Principal (Limit on the Line of
Credit): 380 ,000,000 Korean Won
Purpose of the Loan:
Overdraft
This Revolving Line of Credit
dated May 12 , 2004 , is made
and executed between DVS Korea Co., Ltd.("Borrower") and
Woori Bank ("Lender") on the following terms and
conditions.
Borrower understands and agrees
that in granting, renewing, or extending any loan, Lender is
relying upon Borrower's representation, warranties, and agreements
as set forth in this Agreement; the granting, renewing, or
extending of any loan by lender at times shall be subject to
Lender's sole judgment and discretion; and all such loans shall be
and remain subject of the terms and conditions of this
Agreement.
Term
This Agreement shall be effective
as of May 12, 2004, and shall continue in full force and effect
until May 3, 2005.
Interest Rate
The annual interest rate on this
Agreement is fixed rate of 12.0%. The annual interest rate for this
Agreement is computed on a 365 day basis; that is, by applying the
ratio of the annual interest rate over a year of 365 days,
multiplied by the outstanding principal balance, multiplied by the
actual number of days the principal balance is
outstanding.
Description
Collateral
-
Installment Savings Deposit of
2,205,000,000 Korean Won covering all the credit provided by
Lender.
In addition, Borrower shall
provide to Lender a blank draft. Lender may submit to the
Borrower's bank the draft for full payment of unpaid principal and
accrued interest when Borrower fails to make payment in accordance
with the terms of this Agreement.
Late Charge and Interest After
Default
Upon Borrower's failure to pay
all amounts declared due pursuant to this section, including
failure to pay accrued interest, monthly payment, outstanding
principal balance on final maturity date, and excess draw on the
account, Lender will adjust annual interest rate to 19% and applied
to past due, if any.
Payment
Borrower will pay this loan in
full of all outstanding principal plus all accrued interest on the
maturity date. In addition, Borrower will pay regular monthly
payments of all accrued unpaid interest due as of each payment
date.
Cessation of
Advances
If Lender has made any commitment
to make any Loan to Borrower under this Agreement, Lender has right
to reduce the Loan limit or shall have no obligation make Loan
Advances or to disburse Loan proceeds, if: (i) there occurs a
material adverse change in financing community; or (ii) there
occurs a material adverse change in Borrower's financial condition,
in the financial condition of any Guarantor, or in the value of any
Collateral securing any Loan. If Lender decides to reduce the Loan
limit and Borrower's outstanding loan exceeds such new limit,
excess is due immediately upon demand of Lender.
Letter of Credit Commitment
Agreement
Borrower: DVS Korea Co.,
Ltd.
196 Kumkok Dong, Boon Dang Gu, Sung Nam City, Kyunggi Province
Mr. Song Sim, CEO
Lender: Woori
Bank ( Previously Hanvit
Bank)
Limit: $2,400,000 USD
Purpose of the Loan: USANCE
(Term) Letter of Credit
This Letter of Credit Commitment
Agreement dated June 15, 2004 , is made and
executed between DVS Korea Co., Ltd.("Borrower") and Woori
Bank ("Lender") on the following terms and
conditions.
Borrower understands and agrees
that in granting, renewing, or extending any loan, Lender is
relying upon Borrower's representation, warranties, and agreements
as set forth in this Agreement; the granting, renewing, or
extending of any loan by lender at times shall be subject to
Lender's sole judgment and discretion; and all such loans shall be
and remain subject of the terms and conditions of this
Agreement.
Term
This Agreement shall be effective
as of June 15, 2004, and shall continue in full force and
effect until February 24, 2005.
Description
Collateral
-
Installment Savings Deposit of
2,205,000,000 Korean Won covering all the credit provided by
Lender.
In addition, Borrower shall
provide to Lender a blank draft. Lender may submit to the
Borrower's bank the draft for full payment of unpaid principal and
accrued interest when Borrower fails to make payment in accordance
with the terms of this Agreement.
Furthermore, Borrower grant
Lender a security interest in all property at any time shipped
under, or pursuant to, or in connection with the Letter of Credit
or anyway related thereto, or to the drafts drawn thereunder,
whether or not Borrower receives the documents covering such
property or rele
