FIRST AMENDMENT TO CREDIT AGREEMENT
FIRST AMENDMENT TO CREDIT AGREEMENT dated as of October 30, 2002, by and among NU HORIZONS
ELECTRONICS CORP., a Delaware corporation having its executive offices at 70 Maxess Road, Melville, New York (the
“Borrower”), each of the lenders that is a signatory thereto identified under the caption “ Lenders ” on the signature pages to
the Credit Agreement (as defined below) (individually, a “Lender”, and collectively, the “Lenders”), and MELLON BANK, N.A.,
a national banking association, having offices at 701 Market Street, Philadelphia, Pennsylvania 19103, as administrative agent
for the Lenders (in such capacity, the “Administrative Agent”).
The Borrower, the Lenders and the Administrative Agent entered into a Credit Agreement dated as of October 18, 2000
(the “Credit Agreement”), pursuant to which certain financial accommodations were made available to the Borrower.
The Borrower has requested that the Lenders and the Administrative Agent modify certain of the terms set forth in the
Credit Agreement and the Lenders and the Administrative Agent are willing to comply with such request but only upon and
subject to the following terms and conditions.
NOW THEREFORE, in consideration of the premises and mutual covenants and promises exchanged herein, the parties
hereto mutually agree as follows:
Section 1. Definitions . Except as otherwise defined in this First Amendment, terms defined in the Credit Agreement are
used herein as defined therein.
Section 2. Amendments . Subject to the satisfaction of the conditions precedent specified in Section 3 below, the
Credit Agreement shall be amended as follows:
1. Section 1.1 of the Credit Agreement is hereby amended to (a) delete the definitions of “Borrowing Base”, “Guarantors”,
“Loan Documents” and “Margin” and to substitute the following definitions therefor:
“ Borrowing Base ’’ shall mean 80% of the Eligible Accounts plus 45% of th