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| 1. | Amendment to Section 1      of the Notes Issued in the First Financing.  Section 1 of      each of the Notes issued in the First Financing is hereby amended by      deleting the date “July 7, 2009” and inserting the following in place      thereof: “August 31, 2009, or, if the Company receives comments from the      Securities and Exchange Commission with respect to that certain      Information Statement Pursuant to Section 14(c) that the Company is      contemplating filing in connection with an amendment to the Company’s      certificate of incorporation authorizing a sufficient number of shares of      Common Stock to permit the conversion of the Notes, September 15,      2009”. |
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| 2. | Amendment to Section 2      of the Notes.  Effective immediately on the date (the      “Effective Date”)      by which the following two events have occurred, regardless of the order      in which they occur: (1) the effectiveness of the filing with the      Secretary of State of the State of Delaware of the Certificate of      Amendment to the Company’s Certificate of Incorporation, in accordance      with Section 103 of the Delaware General Corporation Law, in the form      attached hereto as Exhibit A (the      “Certificate of      Amendment”), and (2) the consummation of an Investor Sale (as      defined below in Section 3 of this Amendment), Section 2 of each of the      Notes shall be deleted in its entirety and replaced with the      following: |
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| 3. | For      purposes of this Amendment, the “Investor Sale” shall      mean the sale of shares of the Company’s Series A Preferred Stock, par      value $.001 per share (the “Series A Preferred      Stock”), on substantially the terms set forth in the Certificate of      Designations, Preferences, and Rights of Series A Convertible Preferred      Stock of Zoo Entertainment, Inc., attached hereto as Exhibit B, at      closings for which (A) such sale results in aggregate gross proceeds to      the Company of at least Four Million Dollars ($4,000,000), (B) the Series      A Preferred Stock is sold at $10.00 per share, and (C) each share of      Series A Preferred Stock is initially convertible into 50 shares of the      Company’s Common Stock, par value $0.001 per  share. |
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| 4. | The      Company shall cause notice of the Effective Date to be mailed to the      registered holders of the Notes, at each such holder’s address appearing      in the records of the Company, within five (5) days after the Effective      Date. |
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| 5. | If      the amendment to the Notes set forth in Section 2 of this Amendment does      not become effective as provided in Section 2 above on or prior to August      31, 2009, or, if the Company receives comments from the Securities and      Exchange Commission with respect to that certain Information Statement      Pursuant to Section 14(c) that the Company is contemplating filing in      connection with the Certificate of Amendment, on or prior to September 15,      2009, the provisions of Section 2 above shall become null and void and      shall be of no further effect. |
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| 6. | Except      as otherwise set forth herein, the Notes shall remain in full force and      effect without change or modification.  This Amendment, the      Notes and other agreements related to the Notes constitute the entire      understanding of the parties with respect to the subject matter hereof and      thereof and supersede all prior and current understandings and agreements,      whether written or oral, with respect to such subject      matter.  The invalidity or unenforceability of any provision      hereof shall not affect the validity or enforceability of any other term      or provision hereof.  The headings in this Amendment are for      convenience of reference only and shall not alter, limit or otherwise      affect the meaning hereof.  This Amendment may be executed in      any number of counterparts, which together shall constitute one      instrument, and shall bind and inure to the benefit of the parties and      their respective successors andassigns. |
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|   | COMPANY:                                                                                                                                                                                                                                                                                                                                                          |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | ZOO      ENTERTAINMENT, INC.                                                                                                                                                                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | By:/s/      David      Fremed                                                       |
|   | Name:      David      Fremed                                                        |
|   | Title:      Chief Financial      Officer                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | PURCHASERS:                                                                                                                                                                                                                                                                                                                                                       |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | TRINAD      CAPITAL MASTER FUND, LTD.                                                                                                                                                                                                                                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | By:      /s/ Robert S.      Ellin                                                                                                                                                                                                                                                                                                                                 |
|   | Name:      Robert S.      Ellin                                                                                                                                                                                                                                                                                                                                   |
|   | Title:   Managing Director      of                                                                                                                                                                                                                                                                                                                 |
|   | Trinad Management, LLC, its      Manager                                                                                                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | BACK      BAY LLC                                                                                                                                                                                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | By:      /s/ Howard      Smuckler                                                                                                                                                                                                                                                                                                                                 |
|   | Name:      Howard      Smuckler                                                                                                                                                                                                                                                                                                                                   |
|   | Title:   Chief Financial      Officer                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | CIPHER      06 LLC                                                                                                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | By:      ________________________________                                                                                                                                                                                                                                                                                                                         |
|   | Name:      ________________________________                                                                                                                                                                                                                                                                                                                       |
|   | Title:   ________________________________                                                                                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | SOUNDPOST      CAPITAL, LP                                                                                                                                                                                                                                                                                                                                        |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | By:      ________________________________                                                                                                                                                                                                                                                                                                                         |
|   | Name:      ________________________________                                                                                                                                                                                                                                                                                                                       |
|   | Title:   ________________________________                                                                                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | SOUNDPOST      CAPITAL OFFSHORE LTD.                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                              |
|   | By:      ________________________________                                                                                                                                                                                                                                                                                                                         |
|   | Name:      ________________________________                                                                                                                                                                                                                                                                                                                       |
|   | Title:   ________________________________                                                                                                                                                                                                                                                                                                          |

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|   | [Additional      Signature Page Follows] |
|--------|------------------------------------------|
|   |                                     |   |
|   |                                     | TRINAD      MANAGEMENT, LLC |
|   |                                     |   |
|   |                                     | By:      /s/ Robert S.      Ellin |
|   |                                     | Name:      Robert S.      Ellin |
|   |                                     | Title:   Managing      Director |
|   |                                     |   |
|   |                                     | S.A.C.      VENTURE INVESTMENTS, LLC |
|   |                                     | By:      /s/ Peter A      Nussbaum |
|   |                                     | Name:      Peter A.      Nussbaum |
|   |                                     | Title:   Authorized      Signatory |
|   |                                     |   |
|   |                                     | SANDOR      CAPITAL MASTER FUND LP |
|   |                                     |   |
|   |                                     | By:      /s/ John S. Lemak |
|   |                                     | Name:      John S. Lemak |
|   |                                     | Title:   John      S. Lemak |
|   |                                     |   |
|   |                                     | /s/ John S.      Lemak                                                    |
|   |                                     | John      S.Lemak |

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