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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><P STYLE="font: 8pt Arial, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>AMARANTUS BIOSCIENCES, Inc.</B></FONT></P>

<P STYLE="font: 8pt Arial, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Parkinson’s Institute</FONT></P>

<P STYLE="font: 8pt Arial, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">675 Almanor Avenue</FONT></P>

<P STYLE="font: 8pt Arial, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Sunnyvale, CA 94085</FONT></P>

<P STYLE="font: 8pt Arial, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Phone: 408 737 2734 Fax: 408 521 3636</FONT></P>

<P STYLE="font: 8pt Arial, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">www.amarantus.com info@amarantus.com</FONT></P></P>



<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><BR></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">October
4, 2011</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Dr. Herschkowitz,</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 12pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">We
are pleased to move forward with your bridge loan investment into Amarantus BioSciences. As part of the investment agreement,
you are entitled to a security interest in the form of additional common shares of AMBS in the event the Company does not repay
your lone in a timely manner. Below are the restrictions on those penalty shares, as will be evidenced by restrictive legend:</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 10pt 0.5in; text-indent: -8.6pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">1.
You are prohibited from selling, transferring, or otherwise disposing of your Penalty Shares;</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 10pt 0.5in; text-indent: -8.6pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">2.
You are prohibited from depositing your Penalty Shares in a brokerage firm;</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 10pt 0.5in; text-indent: -8.6pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">3.
You are prohibited from voting your Penalty Shares;</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 10pt 0.5in; text-indent: -8.6pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">4.
You are required to return your Penalty Shares to Amarantus Biosciences upon notification of timely repayment of the related note
you hold with Amarantus Biosciences;</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 10pt 0.5in; text-indent: -8.6pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif; color: black">5.
</FONT>If there occurs an Event of Default (as referenced in Section 4.2 of the Note Purchase Agreement between yourself and Amarantus
Biosciences), Amarantus Biosciences hereby agrees to remove these restrictive legends.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 10pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Please
confirm your agreement to the aforementioned terms by executing below.</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Regards,</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">By. <U>/s/
Gerald Commissiong</U></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Gerald Commissiong</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Chief Operating
Officer</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Amarantus
BioSciences, Inc.</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"> </FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">By.<U>/s/
Samuel Herschkowitz</U></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 10pt"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif">Dr.
Samuel Herschkowitz</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 10pt"></P>

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