EX-10.2 3 v54701a1exv10w2.htm EX-10.2 exv10w2
EXHIBIT 10.2
CONFIDENTIAL TREATMENT REQUESTED
CORE AMENDMENT
TO
VENDOR AGREEMENT
THIS CORE AMENDMENT to VENDOR AGREEMENT is dated the 31st day of March, 2009 (“Amendment”), and is attached and made part of the Vendor Agreement dated March 31, 2009 (the “Vendor Agreement”), by and between AutoZone Parts, Inc. (“AutoZone”) and Motorcar Parts of America, Inc. (“MPA”), and is likewise incorporated in and made a part of any subsequent amendment to the Vendor Agreement or superceding Vendor Agreement between Vendor and AutoZone. All capitalized terms not defined herein shall have the meanings ascribed to them in the Agreement.
1.   The parties hereby agree that the Agreement is hereby modified follows:
     (a) On March 31, 2009, (the “Effective Date”), MPA agrees to purchase approximately [*] of alternator and starter cores from AutoZone (“Cores”). The Cores are identified on Exhibit A of this Amendment.
     (b) MPA hereby promises to pay to the order of AutoZone approximately [*] for the Cores (“Core Credit Amount”), which amount will be agreed to by the parties no later than May 2, 2009.
     (c) Notwithstanding the foregoing and for so long as no Event of Default (as defined below) exist hereunder, AutoZone hereby agrees to take, in lieu of installment or lump sum payments from MPA for the Core Credit Amount, monthly credits for the Core Credit Amount commencing May 2, 2009, and continuing through August 2, 2009, period as follows:
         
Date   Credit Amount  
May 2, 2009
     [*]  
June 2, 2009
     [*]  
July 2, 2009
     [*]  
August 2, 2009
     [*]  
 
        
Total
     [*]  
Any adjustment necessary to reflect the actual amount of the Core Credit Amount shall be reflected in the August 2, 2009 final credit amount. These credits shall be credited against Vendor invoices for purchases by AutoZone and its subsidiaries and affiliates. MPA shall issue all applicable credits for the Core Credit Amount to AutoZone no later than August 2, 2009. AutoZone shall be entitled to offset all or a portion of the balance of the Core Credit Amount against amounts AutoZone owes to Vendor at any time in accordance with the terms of the Agreement.
     (d) Should Vendor fail to make any payment set forth above, MPA agrees that AutoZone shall be entitled to seek all remedies available at law or equity in order to enforce the payment of this obligation in order to satisfy the underlying indebtedness.
     (e) Upon default of any payment due under this Amendment or failure to pay any installment of the Core Credit Amount required herein, the entire balance shall be immediately due and payable. Any remedy of AutoZone upon default of MPA shall be cumulative and not exclusive and choice of remedy shall be at the sole election of AutoZone. MPA agrees to pay all costs of collection, including reasonable attorney’s fees, whether or not any suit, civil action, or other proceeding at law or in equity, is commenced. MPA waives demand, presentment for payment, protest and notice of protest and nonpayment of any amount
Page 1 of 4
This document contains confidential information of AutoZone Parts, Inc. and shall be governed by the
Confidentiality Agreement entered into between the parties.
 
[*] =   CONFIDENTIAL TREATMENT REQUESTED. THE OMITTED MATERIAL HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

 

 

CONFIDENTIAL TREATMENT REQUESTED
due under this Amendment and expressly agrees to remain bound for the payment of Core Credit Amount and other sums provided for by the terms of this Amendment, notwithstanding any extension or extensions of the time of, or for the payment of, Core Credit Amount.
     (f) The occurrence of any of the following shall be “Events of Default” hereunder:
  (i)   MPA breaches the terms of this Amendment or the Vendor Agreement and fails to cure the same within any applicable cure period;
 
  (ii)   MPA is or becomes the subject of any bankruptcy, insolvency, reorganization or appointment of receiver petition or proceeding (whether voluntary or involuntary) and such petition or proceeding is not dismissed within 30 days of the commencement of the same; or
 
  (iii)   MPA admits in writing insolvency or the inability to pay its debts generally as they become due.
2.   The parties hereby agree that the following documents are hereby attached to and incorporated into the Vendor Agreement by reference (the “Additional Documents”):
  •   Amendment No. 1 to Vendor Agreement dated August 22, 2006
 
  •   Addendum No. 1 to Amendment No. 1 to Vendor Agreement dated January 8, 2007
 
  •   Lift Addendum #1 to Vendor Agreement dated July 7, 2008
3.   This Amendment shall take precedence in the event any terms and conditions of the Vendor Agreement or the Additional Documents conflicts herewith. Except as provided herein, all other terms and conditions of the Vender Agreement and the Additional Documents shall remain in full force and effect and are hereby ratified and confirmed.
     IN WITNESS WHEREOF, the parties have caused this Amendment to be duly executed as of the 31st day of March, 2009.
               
MOTORCAR PARTS OF AMERICA, INC.   AUTOZONE PARTS, INC.
 
            
By:
  /s/ Selwyn Joffe   By:   /s/ [*]
 
           
 
            
Name:
  Selwyn Joffe   Name:   [*]
 
           
 
            
Title:
  CEO, President, Chairman   Title:   VP Merchandising
 
           
 
            
Date:
  4/22/09   Date:   4/27/09
 
           
 
            
 
            
 
      By:   /s/ [*]
 
           
 
            
 
      Name:   [*]
 
           
 
            
 
      Title:   SVP Merchandising
 
           
 
            
 
      Date:   4/27/09
 
           
Page 2 of 4
This document contains confidential information of AutoZone Parts, Inc. and shall be governed by the
Confidentiality Agreement entered into between the parties.
 
[*] =   CONFIDENTIAL TREATMENT REQUESTED. THE OMITTED MATERIAL HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

 

 

CONFIDENTIAL TREATMENT REQUESTED
EXHIBIT A
Cores being Devalued
                                         
                    Total Inv as        
Sku   Part #   Desc   of 3-20   Core Value   Core Value Ext.
  873323       16726    
REMAN IMPORT STARTER
     —       [*]       [*]  
  536611       17794    
REMAN IMPORT STARTER
     19       [*]       [*]  
  536613       17794    
REMAN IMPORT STARTER
     16       [*]       [*]  
  181002       17734    
REMAN IMPORT STARTER
     4       [*]       [*]  
  680991       16769    
REMAN IMPORT STARTER
     1       [*]       [*]  
  681411       14784    
REMAN IMPORT ALTERNATOR
     1       [*]       [*]  
  427611       17788    
REMAN IMPORT STARTER
     1       [*]       [*]  
  860890       16827    
REMAN IMPORT STARTER
     225       [*]       [*]  
  536602       13957    
REMAN IMPORT ALTERNATOR
     45       [*]       [*]  
  336495       16211    
REMAN IMPORT STARTER
     333       [*]       [*]  
  536597       13879    
REMAN IMPORT ALTERNATOR
     55       [*]       [*]  
  536601       13879    
REMAN IMPORT ALTERNATOR
     4       [*]       [*]  
  536598       13882    
REMAN IMPORT ALTERNATOR
     384       [*]       [*]  
  860809       16676    
REMAN IMPORT STARTER
     1,264       [*]       [*]  
  536610       17827    
REMAN IMPORT STARTER
     3       [*]       [*]  
  180882       13582    
REMAN IMPORT ALTERNATOR
     19       [*]       [*]  
  25231       14022    
REMAN IMPORT ALTERNATOR
     1       [*]       [*]  
  873679       16966    
REMAN IMPORT STARTER
     1,460       [*]       [*]  
  95133       13140    
REMAN IMPORT ALTERNATOR
     2       [*]       [*]  
  860866       16712    
REMAN IMPORT STARTER
     1       [*]       [*]  
  681312       14085    
REMAN IMPORT ALTERNATOR
     —       [*]       [*]  
  410990       13780    
REMAN IMPORT ALTERNATOR
     53       [*]       [*]  
  180926       13597    
REMAN IMPORT ALTERNATOR
     —       [*]       [*]  
  424781       15978    
REMAN IMPORT ALTERNATOR
     44       [*]       [*]  
  180979       17730    
REMAN IMPORT STARTER
     136       [*]       [*]  
  860684       16740    
REMAN IMPORT STARTER
     1       [*]       [*]  
  860163       14037    
REMAN IMPORT ALTERNATOR
     7       [*]       [*]  
  424778       13813    
REMAN IMPORT ALTERNATOR
     9       [*]       [*]  
  336420       16674    
REMAN IMPORT STARTER
     5,483       [*]       [*]  
  5766       16922    
REMAN IMPORT STARTER
     3,983       [*]       [*]  
  536594       15123    
REMAN IMPORT ALTERNATOR
     15       [*]       [*]  
  536595       15123    
REMAN IMPORT ALTERNATOR
     377       [*]       [*]  
  5781       16958    
REMAN IMPORT STARTER
     —       [*]       [*]  
  68997       13547    
REMAN IMPORT ALTERNATOR
     25       [*]       [*]  
  860254       16362    
REMAN IMPORT STARTER
     —       [*]       [*]  
  18237       16259    
REMAN IMPORT STARTER
     2       [*]       [*]  
  873786       16914    
REMAN IMPORT STARTER
     4,568       [*]       [*]  
  61492       14412    
REMAN IMPORT ALTERNATOR
     195       [*]       [*]  
  334375       14199    
REMAN IMPORT ALTERNATOR
     1       [*]       [*]  
  424780       13784    
REMAN IMPORT ALTERNATOR
     226       [*]       [*]  
  871566       14576    
REMAN IMPORT ALTERNATOR
     1       [*]       [*]  
  681163       16696    
REMAN IMPORT STARTER
     2,561       [*]       [*]  
  25091       13422    
REMAN IMPORT ALTERNATOR
     —       [*]       [*]  
  79657       16586    
REMAN IMPORT STARTER
     2,163       [*]       [*]  
  410991       13812    
REMAN IMPORT ALTERNATOR
     62       [*]       [*]  
  410981       13818    
REMAN IMPORT ALTERNATOR
     52       [*]       [*]  
  681197       16908    
REMAN IMPORT STARTER
     21       [*]       [*]  
  681262       13034    
REMAN IMPORT ALTERNATOR
     10       [*]       [*]  
Page 3 of 4
This document contains confidential information of AutoZone Parts, Inc. and shall be governed by the
Confidentiality Agreement entered into between the parties.
 
[*] =   CONFIDENTIAL TREATMENT REQUESTED. THE OMITTED MATERIAL HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

 

 

CONFIDENTIAL TREATMENT REQUESTED
                         
            Total Inv as        
Sku   Part#   Desc   of 3-20   Core Value   Core Value Ext.
336404   16585  
REMAN IMPORT STARTER
     742     [*]   [*]
981175   12128  
REMAN IMPORT STARTER
     79     [*]   [*]
5770   16880  
REMAN IMPORT STARTER
     145     [*]   [*]
61029   12373Z  
REMAN IMPORT STARTER
     1     [*]   [*]
427606   17790Z  
REMAN IMPORT STARTER
     —     [*]   [*]
411032   15479Z  
REMAN IMPORT ALTERNATOR
     2     [*]   [*]
69002   13499Z  
REMAN IMPORT ALTERNATOR
     10     [*]   [*]
873448   16797  
REMAN IMPORT STARTER
     1     [*]   [*]
860262   16353  
REMAN IMPORT STARTER
     393     [*]   [*]
860304   16299  
REMAN IMPORT STARTER
     806     [*]   [*]
334474   14341  
REMAN IMPORT ALTERNATOR
     698     [*]   [*]
336537   16600  
REMAN IMPORT STARTER
     181     [*]   [*]
336511   16251  
REMAN IMPORT STARTER
     3     [*]   [*]
873349   16736  
REMAN IMPORT STARTER
     9     [*]   [*]
860775   16821  
REMAN IMPORT STARTER
     1,110     [*]   [*]
860593   14593  
REMAN IMPORT ALTERNATOR
     342     [*]   [*]
18179   14728  
REMAN IMPORT ALTERNATOR
     14     [*]   [*]
334490   13055  
REMAN IMPORT ALTERNATOR
     8     [*]   [*]
870154   14331  
REMAN IMPORT ALTERNATOR
     2     [*]   [*]
5755   14326  
REMAN IMPORT ALTERNATOR
     1     [*]   [*]
873828   16792  
REMAN IMPORT STARTER
     1     [*]   [*]
536593   15120  
REMAN IMPORT ALTERNATOR
     59     [*]   [*]
536600   13878Z  
REMAN IMPORT ALTERNATOR
     15     [*]   [*]
276014   16878  
REMAN IMPORT STARTER
     2,746     [*]   [*]
112172   13341  
REMAN IMPORT ALTERNATOR
     6,272     [*]   [*]
681239   16963  
REMAN IMPORT STARTER
     4,197     [*]   [*]
873752   16856  
REMAN IMPORT STARTER
     925     [*]   [*]
17568   15692  
REMAN IMPORT ALTERNATOR
     3,873     [*]   [*]
5756   15618  
REMAN IMPORT ALTERNATOR
     4,628     [*]   [*]
60979   12318  
REMAN IMPORT STARTER
     —     [*]   [*]
410971   13717  
REMAN IMPORT ALTERNATOR
     23     [*]   [*]
981142   16901  
REMAN IMPORT STARTER
     2,755     [*]   [*]
860668   16732  
REMAN IMPORT STARTER
     59     [*]   [*]
681189   16901  
REMAN IMPORT STARTER
     —     [*]   [*]
180900   13596  
REMAN IMPORT ALTERNATOR
     10     [*]   [*]
873281   16711  
REMAN IMPORT STARTER
     138     [*]   [*]
860882   16832  
REMAN IMPORT STARTER
     4     [*]   [*]
870352   14402  
REMAN IMPORT ALTERNATOR
     19     [*]   [*]
25244   14610  
REMAN IMPORT ALTERNATOR
     1     [*]   [*]
999755   15679  
REMAN IMPORT ALTERNATOR
     1     [*]   [*]
181001   17732  
REMAN IMPORT STARTER
     497     [*]   [*]
860221   16164  
REMAN IMPORT STARTER
     —     [*]   [*]
Total     54,603         [*]
Page 4 of 4
This document contains confidential information of AutoZone Parts, Inc. and shall be governed by the
Confidentiality Agreement entered into between the parties.
 
[*] =   CONFIDENTIAL TREATMENT REQUESTED. THE OMITTED MATERIAL HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.