DAKOTA GROWERS PASTA CO INC
EX-10.1
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<TYPE>EX-10.1
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<FILENAME>a03-6201_1ex10d1.htm
<DESCRIPTION>EX-10.1
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<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
10.1</font></b></p>

<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Loan No. E539T05</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">NON-REVOLVING CREDIT SUPPLEMENT</font></b></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">(Letters of Credit)</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">THIS SUPPLEMENT</font></b>
to the Master Loan Agreement dated June 20, 2001 (the &#147;MLA&#148;), is entered into
as of October 28, 2003<font style="display:none;"> [EFFECTIVE_DATE]</font>
between <b><font style="font-weight:bold;">CoBANK,
ACB </font></b>(&#147;CoBank&#148;) and <b><font style="font-weight:bold;">DAKOTA GROWERS PASTA COMPANY, INC., Carrington, North
Dakota</font></b> (the &#147;Company&#148;)<font style="display:none;">[SRESTATE1]</font>.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SECTION 1.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; The Non-Revolving Credit Facility.</font></b>&#160; On
the terms and conditions set forth in the MLA and this Supplement, CoBank
agrees to make loans to the Company during the period set forth below in an
aggregate principal amount not to exceed $350,000.00 at any one time
outstanding (the &#147;Commitment&#148;).&#160; Within
the limits of the Commitment, amounts borrowed and later repaid may not be reborrowed.&#160; </p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SECTION 2.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Purpose.</font></b>&#160; The purpose of the Commitment
is to reimburse CoBank for any drafts that it may honor under letter(s) of
credit issued hereunder (&#147;Letter of Credit&#148;).&#160;
If CoBank honors any such drafts submitted under a Letter of Credit,
Company hereby irrevocably authorizes CoBank to make a loan hereunder to
reimburse CoBank for such draft payments.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SECTION 3.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Term.</font></b>&#160; The term of the Commitment shall be <font style="display:none;">[EFFECTIVE_DATE]</font>from the date hereof,
up to and including September 30, 2005, or such later date as CoBank may, in
its sole discretion, authorize in writing.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SECTION 4.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Interest.</font></b>&#160; The Company agrees to pay
interest on the unpaid balance of the loan(s) in accordance with the following
interest rate:</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:1.0in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CoBank Base Rate.</font></b>&#160; At a rate per annum equal at
all times to 2% above the rate of interest established by CoBank from time to
time as its &#147;CoBank Base Rate&#148;, which Rate is intended by CoBank to be a
reference rate and not its lowest rate.&#160;
The CoBank Base Rate will change on the date established by CoBank as
the effective date of any change therein and CoBank agrees to notify the
Company of any such change.&#160; Interest
shall be calculated on the actual number of days each loan is outstanding on
the basis of a year consisting of 360 days and shall be payable monthly in
arrears by the 20th day of the following month or on such other day in such
month as CoBank shall require in a written notice to the Company. </p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SECTION 5.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Promissory Note.</font></b>&#160; The Company promises to repay
the unpaid principal balance of the loans on demand.&#160; In addition to the above, the Company promises to pay interest on
the unpaid principal balance of the loans at the times and in accordance with
the provisions set forth in Section 4 hereof.&#160;
<font style="display:none;">[SRESTATE2]</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SECTION 6.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Letters of Credit.&#160; </font></b>If agreeable to CoBank in its sole discretion in each instance, in
addition to loans, the Company may utilize the Commitment to open irrevocable
letters of credit for its account.&#160; Each
letter of credit will be issued within a reasonable period of time after
receipt of a duly completed and executed copy of CoBank&#146;s then current form of
application or, if applicable, in accordance with the terms of any CoTrade
Agreement between the parties, and shall reduce the amount available under the
Commitment by the maximum amount capable of being drawn thereunder.&#160; Any draw under any letter of credit issued
hereunder shall be deemed an advance under the Commitment.&#160; Each letter of credit must be in form and
content acceptable to CoBank and must expire no later than the maturity date of
the loans.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">IN WITNESS WHEREOF,</font></b> the parties have caused this Supplement to
be executed by their duly authorized officers as of the date shown above.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

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  <p style="margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CoBANK, ACB</font></b></p>
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  <p style="margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">DAKOTA GROWERS PASTA COMPANY, INC.</font></b></p>
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  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Thomas Friezen</font></p>
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  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Title: </font></p>
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  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Assistant Corporate
  Secretary</font></p>
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">1</font></p>


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