EX-10 4 ex102.txt EXHIBIT 10.2 Exhibit 10.2 AMENDMENT TO PRIVATE LABEL CREDIT CARD PROGRAM AGREEMENT This Amendment is to that certain Private Label Credit Card Program Agreement between World Financial Network National Bank, ("Bank ") and United Retail Group, Inc. and United Retail Incorporated (collectively referred to as "Retailer"), dated January 27, 1998. * * * * * * * * * * * * * * * * * * * * WHEREAS, Bank and Retailer entered into that certain Private Label Credit Card Program Agreement dated January 27, 1998, amended as of July 1, 1999 (the "Agreement"); and, WHEREAS, Bank and Retailer now desire to amend the Agreement as set forth herein; NOW, THEREFORE, Bank and Retailer hereby agree as follows: 1. The definition of "Cost of Funds" in Section 1.1., Definitions, is hereby amended effective as of December 1, 1999 to read as follows: "Cost of Funds" means, for any period, the following: (a) for up to the first Seventy Million Dollars ($70,000,000) tranche of Receivables, the cost of financing such Receivables for the three (3) month period commencing December 1, 1999 and for each three (3) month period thereafter will be based on one-year treasuries plus 25 basis points to be reset every three (3) months, with one (1) year treasuries not to be more than six and three-quarters percent (6.75%) per annum and not to be less than five percent (5%) per annum for the purpose of this calculation, and (b) for the balance of the Receivables, the cost of financing such Receivables for that period, based on the following: the average annualized cost of borrowings of the Master Trust(s) for that period (weighted at 90% of the cost of financing) and the average annualized cost of Bank's borrowings for that period (weighted at 10% of the cost of financing), it being understood that Bank shall use its best efforts to obtain appropriate derivative instruments in respect of tranches of Receivables other than the first Seventy Million Dollars ($70,000,000) tranche of Receivables for amounts acceptable to Retailer ("Appropriate Derivative Instruments"), provided that such amounts shall be treated as Pass Through Expenses. 2. For and in consideration of Bank's agreement to amend the Agreement Retailer agrees to pay to Bank on or before January 30, 2000 the sum of Sixty-Six Thousand Dollars ($66,000). 3. As hereby amended and supplemented, the Agreement shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this Amendment the date(s) set forth below. World Financial Network National Bank By: /s/ Robert P. Armiak ---------------------------------- Title: Treasurer Date: 12/29/99 United Retail Group, Inc. By: /s/ George R. Remeta --------------------------------- Title: Vice Chairman Date: 12/1/99 United Retail Incorporated By: /s/ Jon Grossman -------------------------------- Title: Vice President - Finance Date: 11/26/99