CREDIT INCREASE CONFIRMATION AND
NOTE AMENDMENT
Dated February 17, 1998
Reference is made to (x) the Interim Warehouse, and Security Agreement,
dated as of March 4, 1997. as amended (the "Interim Warehouse Agreement"),
between Prudential Securities Credit Corporation (the "Lender"), Emergent
Mortgage Corp. (the "Borrower") and Emergent Group, Inc. (the "Guarantor"), (y)
the Secured Note, dated as of March 4, 1997, as amended (the "Note"), from the
Borrower to the Lender and (z) the Guarantee, dated as of March 4, 1997, as
amended (the "Guarantee"), by the Guarantor in favor of the Lender. Capitalized
terms used and not otherwise defined herein shall have their respective meanings
set forth in the Interim Warehouse Agreement.
Section 1.
(a) The maximum loan amount of "$30,000,000" referenced in the recitals and
in the first sentence of Section 1(A)(1) of the Interim Warehouse Agreement and
referenced in the Note and Guarantee is hereby deleted and replaced by
"$175,000,000".
(b) The definition of "Maturity Date" in Section (1)(B)(2) and in the Note
and Guarantee is hereby deleted in its entirety and replaced with the following:
Maturity Date means the earlier of (i) June 30. 1998, and (ii) the
date of the Securitization in the second quarter of 1998 (the "Second
Quarter Securitization"); provided, however, that (x) if the Second Quarter
Securitization occurs prior to June 30, 1998 and (y) the securitization
includes a pre-funding feature, then the Maturity Date shall be extended to
the earlier to occur of (A) September 17, 1998 and (B) the end of any
pre-funding period with respect to the Second Quarter Securitization. If
the Second Quarter Securitization does contain a pre-funding feature and
the Maturity Date is so extended, the maximum loan amount following the
Second Quarter Securitization will be, as of any day prior to the Maturity
Date, the amount on deposit in the pre-funding account.
Section 2.
As amended by Section 1, all provisions of the Interim Warehouse Agreement,
the Note and the Guarantee, as heretofore amended, are reconfirmed as of the
date hereof. Each of the Borrower and the Guarantor, in addition, hereby
reconfirms and remakes as of the date hereof each and every of its
representations, warranties and covenants set forth in the Interim Warehouse
Agreement, the Note and the Guarantee,
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IN WITNESS WHEREOF, the parties hereto have executed this Amendment on the
day and year first above written.
EMERGENT MORTGAGE CORP.
By: /s/ ▇▇▇▇▇ ▇. ▇▇▇▇
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Name: ▇▇▇▇▇ ▇. ▇▇▇▇
Title: VP & Treasurer
EMERGENT GROUP, INC.
By: /s/ ▇▇▇▇▇ ▇. ▇▇▇▇
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Name: ▇▇▇▇▇ ▇. ▇▇▇▇
Title: VP,CFO & Treasurer
PRUDENTIAL SECURITIES CREDIT CORPORATION
By:
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Name:
Title:
CAROLINA INVESTORS, INC.
By: /s/ ▇▇▇▇▇ ▇. ▇▇▇▇
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Name: ▇▇▇▇▇ ▇. ▇▇▇▇
Title: VP & Treasurer
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