Exhibit 10.3

AMENDMENT TO AMENDED AND RESTATED WARRANT
 
TO PURCHASE COMMON STOCK
 
THIS AMENDMENT NO. 1 TO AMENDED AND RESTATED WARRANT TO PURCHASE COMMON STOCK
(this “Amendment”) is entered into as of August 11, 2009 by and among Hythiam,
Inc., a Delaware corporation (the “Company”) and HIGHBRIDGE INTERNATIONAL LLC
(“Holder”).  Capitalized terms used but not defined herein shall have the
meanings ascribed to such terms in the Amended and Restated Warrant (as defined
below).
 
WHEREAS, Company executed that certain Amended and Restated Warrant to Purchase
Common Stock dated January 18, 2007 (the “Amended and Restated Warrant”)
granting Holder the right to purchase up to One Million Three Hundred Thousand
(1,300,000) shares of common stock of the Company;
 
WHEREAS, each of the parties hereto desire to amend the Amended and Restated
Warrant as set forth herein; and
 
WHEREAS, pursuant to Section 9 of the Amended and Restated Warrant, the Required
Holders by an affirmative vote approved the amendment to the Amended and
Restated Warrant.
 
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto hereby agree as follows:
 
1. Exercise Price.  Section 1(b) of the Amended and Restated Warrant is amended
and restated in its entirety as follows:
 
“(b) Exercise Price.  For purposes of this Warrant, ‘Exercise Price’ means
$0.28, subject to adjustment as provided herein.”
 
2. Expiration Date.  Section 15(j) of the Amended and Restated Warrant is
amended and restated in its entirety as follows:
 
“(j) ‘Expiration Date’ means the date sixty (60) months after August 11, 2009
or, if such date falls on a day other than a Business Day or on which trading
does not take place on the Principal Market (a ‘Holiday’), the next date that is
not a Holiday.”
 
3. Full Force and Effect.  Other than as modified in accordance with the
foregoing provisions, the remaining terms of the Amended and Restated Warrant
remain in full force and effect.
 
4. Counterparts.  This Amendment may be executed in several counterparts, each
of which shall be deemed an original, but all of which together shall constitute
one and the same document.
 

 
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5. Governing Law.  This Amendment shall be governed by and construed and
interpreted in accordance with the laws of the State of New York without giving
effect to conflict of laws principles thereof.
 
6. Headings.  Headings of Sections in this Amendment are for reference purposes
only and shall not be deemed to have any substantive effect.
 
 
 
[Remainder of page intentionally left blank; Signature page to follow.]
 

 
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IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the
date first above written.
 

 
COMPANY:
 
 
HYTHIAM, INC.
 
 
By:  
/s/ TERREN S. PEIZER
   
Terren S. Peizer
   
Chief Executive Officer
         
HOLDER:
 
 
HIGHBRIDGE INTERNATIONAL LLC
 
 
By:
Highbridge Capital Management, LLC
 
Its Trading Manager
       
By:  
/s/ MARK J. VANACORE  
   
Mark J. Vanacore
   
Managing Director

 
 
 
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