exv4w5



 





Exhibit 4.5



THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 AS AMENDED, OR ANY
STATE SECURITIES LAWS. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED, OR HYPOTHECATED IN THE
ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN OPINION OF COUNSEL (WHICH MAY
BE COMPANY COUNSEL) REASONABLY SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS.




WARRANT AGREEMENT




To Purchase Shares of the Series B Preferred Stock of




COMSCORE NETWORKS, INC.




Dated as of September 29, 2000 (the “Effective Date”)




     WHEREAS, ComScore Networks, Inc. a Delaware corporation (the “Company”) has entered into a
Master Lease Agreement dated as of June 9, 2000, Equipment Schedule No. VL-3 and VL-4 dated as of
September 29, 2000, and related Summary Equipment Schedules (collectively, the “Leases”) with
Comdisco, Inc., a Delaware corporation (the “Warrantholder”); and



     WHEREAS, the Company desires to grant to Warrantholder, in consideration for such Leases, the
right to purchase shares of its Series B Preferred Stock;



     NOW, THEREFORE, in consideration of the Warrantholder executing and delivering such Leases and
in consideration of mutual covenants and agreements contained herein, the Company and Warrantholder
agree as follows:



1. GRANT OF THE RIGHT TO PURCHASE PREFERRED STOCK.




     The Company hereby grants to the Warrantholder, and the Warrantholder is entitled, upon the
terms and subject to the conditions hereinafter set forth, to subscribe for and purchase from the
Company, 9,694 fully paid and non-assessable shares of the Company’s Series B Preferred Stock
(“Preferred Stock”) at a purchase price of $4.90 per share (the “Exercise Price”). The number and
purchase price of such shares are subject to adjustment as provided in Section 8 hereof.



2. TERM OF THE WARRANT AGREEMENT.




     Except as otherwise provided for herein, the term of this Warrant Agreement and the right to
purchase Preferred Stock as granted herein shall commence on the Effective Date and shall be
exercisable for a period of (i) ten (10) years or (ii) five (5) years from the effective date of
the Company’s public offering, whichever is earlier.



3. EXERCISE OF THE PURCHASE RIGHTS.




     (a) Exercise. The purchase rights set forth in this Warrant Agreement are exercisable
by the Warrantholder, in whole or in part, at any time, or from time to time, prior to the
expiration of the term set forth in Section 2 above, by tendering to the Company at its principal
office a notice of exercise in the form attached hereto as Exhibit I (the “Notice of Exercise”),
duly completed and executed. Promptly upon receipt of the Notice of Exercise and the payment of
the purchase price in accordance with the terms set forth below, and in no event later than
twenty-one (21) days thereafter, the Company shall issue to the Warrantholder a certificate for the
number of shares of Preferred Stock purchased and shall execute the acknowledgment of exercise in
the form attached hereto as Exhibit II (the “Acknowledgment of Exercise”) indicating the number of
shares which remain subject to future purchases, if any.



     The Exercise Price may be paid at the Warrantholder’s election either (i) by cash or check, or
(ii) by surrender of Warrants (“Net Issuance”) as determined below. If the Warrantholder elects
the Net Issuance method, the Company will issue Preferred Stock in accordance with the following
formula:




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	 	X
	 	=
	 	Y (A-B)
 

    A
	 	 






	 	 	 	 	 
	Where:

	 	X =
	 	the number of shares of Preferred Stock to be issued to the Warrantholder.
	 	 	 	 	 
	 

	 	Y =
	 	the number of shares of Preferred Stock requested to be
exercised under this Warrant Agreement.
	 	 	 	 	 
	 

	 	A =
	 	the fair market value of one (1) share of Preferred Stock.

	 	 	 	 	 
	 

	 	B =
	 	the Exercise Price.






     For purposes of the above calculation, current fair market value of Preferred Stock shall mean
with respect to each share of Preferred Stock:




     (i) if the exercise is in connection with an initial public offering of the Company’s
Common Stock, and if the Company’s Registration Statement relating to such public offering
has been declared effective by the SEC, then the fair market value per share shall be the
product of (x) the initial “Price to Public” specified in the final prospectus with respect
to the offering and (y) the number of shares of Common Stock into which each share of
Preferred Stock is convertible at the time of such exercise;




     (ii) if this Warrant is exercised after, and not in connection with the Company’s
initial public offering, and:




     (a) if traded on a securities exchange, the fair market value shall be deemed to
be the product of (x) the average of the closing prices over a five (5) day period
ending three days before the day the current fair market value of the securities is
being determined and (y) the number of shares of Common Stock into which each share
of Preferred Stock is convertible at the time of such exercise; or




     (b) if actively traded over-the-counter, the fair market value shall be deemed
to be the product of (x) the average of the closing bid and asked prices quoted on
the NASDAQ system (or similar system) over the five (5) day period ending three days
before the day the current fair market value of the securities is being determined
and (y) the number of shares of Common Stock into which each share of Preferred Stock
is convertible at the time of such exercise;




     (iii) if at any time the Common Stock is not listed on any securities exchange or
quoted in the NASDAQ System or the over-the-counter market, the current fair market value of
Preferred Stock shall be the product of (x) the highest price per share which the Company
could obtain from a willing buyer (not a current employee or director) for shares of Common
Stock sold by the Company, from authorized but unissued shares, as determined in good faith
by its Board of Directors and (y) the number of shares of Common Stock into which each share
of Preferred Stock is convertible at the time of such exercise, unless the Company shall
become subject to a merger, acquisition or other consolidation pursuant to which the Company
is not the surviving party, in which case the fair market value of Preferred Stock shall be
deemed to be the value received by the holders of the Company’s Preferred Stock on a common
equivalent basis pursuant to such merger or acquisition.



     Upon partial exercise by either cash or Net Issuance, the Company shall promptly issue an
amended Warrant Agreement representing the remaining number of shares purchasable hereunder. All
other terms and conditions of such amended Warrant Agreement shall be identical to those contained
herein, including but not limited to the Effective Date hereof.



     (b) Exercise Prior to Expiration. To the extent this Warrant is not previously
exercised as to all Preferred Stock subject hereto, and if the fair market value of one share of
the Preferred is greater than the Exercise Price then in effect, this Warrant shall be deemed
automatically exercised pursuant to Section 3(a) above (even if not surrendered) immediately before
its expiration. For purposes of such automatic exercise, the fair market value of one share of the
Preferred Stock upon such expiration shall be determined pursuant to Section 3(a) above. To the
extent this Warrant or any portion thereof is deemed automatically exercised pursuant to this
Section 3(b), the Company agrees to promptly notify the Warrantholder of the number of Preferred
Stock, if any, the Warrantholder is to receive by reason of such automatic exercise.





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4. RESERVATION OF SHARES.




     During the term of this Warrant Agreement, the Company will at all times have authorized and
reserved a sufficient number of shares of its Preferred Stock to provide for the exercise of the
rights to purchase Preferred Stock as provided for herein.



5. NO FRACTIONAL SHARES OR SCRIP.




     No fractional shares or scrip representing fractional shares shall be issued upon the exercise
of the Warrant, but in lieu of such fractional shares the Company shall make a cash payment
therefor upon the basis of the Exercise Price then in effect.



6. NO RIGHTS AS SHAREHOLDER.




     This Warrant Agreement does not entitle the Warrantholder to any voting rights or other rights
as a shareholder of the Company prior to the exercise of the Warrant.



7. WARRANTHOLDER REGISTRY.




     The Company shall maintain a registry showing the name and address of the registered holder of
this Warrant Agreement.



8. ADJUSTMENT RIGHTS.




     The purchase price per share and the number of shares of Preferred Stock purchasable hereunder
are subject to adjustment, as follows:



     (a) Merger and Sale of Assets. If at any time there shall be a capital reorganization
of the shares of the Company’s stock (other than a combination, reclassification, exchange or
subdivision of shares otherwise provided for herein), or a merger or consolidation of the Company
with or into another corporation whether or not the Company is the surviving corporation, or the
sale of all or substantially all of the Company’s properties and assets to any other person
(hereinafter referred to as a “Merger Event”), than, as a part of such Merger Event, lawful
provision shall be made so that the Warrantholder shall thereafter be entitled to receive, upon
exercise of the Warrant, the number of shares of preferred stock or other securities of the
successor corporation resulting from such Merger Event, equivalent in value to that which would
have been issuable if Warrantholder had exercised this Warrant immediately prior to the Merger
Event. In any such case, appropriate adjustment (as determined in good faith by the Company’s
Board of Directors) shall be made in the application of the provisions of this Warrant Agreement
with respect to the rights and interest of the Warrantholder after the Merger Event to the end that
the provisions of this Warrant Agreement (including adjustments of the Exercise Price and number of
shares of Preferred Stock purchasable) shall be applicable to the greatest extent possible.



     (b) Reclassification of Shares. If the Company at any time shall, by combination,
reclassification, exchange or subdivision of securities or otherwise, change any of the securities
as to which purchase rights under this Warrant Agreement exist into the same or a different number
of securities or any other class or classes, this Warrant Agreement shall thereafter represent the
right to acquire such number and kind of securities as would have been issuable as the result of
such change with respect to the securities which were subject to the purchase rights under this
Warrant Agreement immediately prior to such combination, reclassification, exchange, subdivision or
other change.



     (c) Subdivision or Combination of Shares. If the Company at any time shall combine or
subdivide its Preferred Stock, the Exercise Price shall be proportionately decreased in the case of
a subdivision, or proportionately increased in the case of a combination.



     (d) Stock Dividends. If the Company at any time shall pay a dividend payable in, or
make any other distribution (except any distribution specifically provided for in the foregoing
subsections (a) or (b)) of the Company’s stock, then the Exercise Price shall be adjusted, from and
after the record date of such dividend or distribution, to that price determined by multiplying the
Exercise Price in effect immediately prior to such record date by a fraction (i) the numerator of
which shall be the total number of all shares of the Company’s stock outstanding immediately prior
to such dividend or distribution, and (ii) the denominator of which shall be the total number of
all shares of the Company’s stock outstanding immediately after such dividend or distribution. The






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Warrantholder shall thereafter be entitled to purchase, at the Exercise Price resulting from such
adjustment, the number of shares of Preferred Stock (calculated to the nearest whole share)
obtained by multiplying the Exercise Price in effect immediately prior to such adjustment by the
number of shares of Preferred Stock issuable upon the exercise hereof immediately prior to such
adjustment and dividing the product thereof by the Exercise Price resulting from such adjustment.




     (e) Right to Purchase Additional Stock. If, the Warrantholder’s total cost of
equipment leased pursuant to the Leases exceeds $1,000,000, Warrantholder shall have the right to
purchase from the Company, at the Exercise Price (adjusted as set forth herein), an additional
number of shares, which number shall be determined by (i) multiplying the amount by which the
Warrantholder’s total equipment cost exceeds $1,000,000 by 4.75%, and (ii) dividing the product
thereof by the Exercise Price per share referenced above.



     (f) Antidilution Rights. Additional antidilution rights applicable to the Preferred
Stock purchasable hereunder are as set forth in the Company’s Certificate of Incorporation, as
amended through the Effective Date, a true and complete copy of which is attached hereto as Exhibit
IV (the “Charter”). The Company shall promptly provide the Warrantholder with any restatement,
amendment, modification or waiver of the Charter. The Company shall provide Warrantholder with
prior written notice of any issuance of its stock or other equity security to occur after the
Effective Date of this Warrant, which notice shall include (a) the price at which such stock or
security is to be sold, (b) the number of shares to be issued, and (c) such other information as
necessary for Warrantholder to determine if a dilutive event has occurred.



     (g) Notice of Adjustments. If: (i) the Company shall declare any dividend or
distribution upon its stock, whether in cash, property, stock or other securities; (ii) the Company
shall offer for subscription prorata to the holders of any class of its Preferred or other
convertible stock any additional shares of stock of any class or other rights, (iii) there shall be
any Merger Event; (iv) there shall be an initial public offering; or (v) there shall be any
voluntary dissolution, liquidation or winding up of the Company; then, in connection with each such
event, the Company shall send to the Warrantholder: (A) at least twenty (20) days’ prior written
notice of the date on which the books of the Company shall close or a record shall be taken for
such dividend, distribution, subscription rights (specifying the date on which the holders of
Preferred Stock shall be entitled thereto) or for determining rights to vote in respect of such
Merger Event, dissolution, liquidation or winding up; (B) in the case of any such Merger Event,
dissolution, liquidation or winding up, at least twenty (20) days’ prior written notice of the date
when the same shall take place (and specifying the date on which the holders of Preferred Stock
shall be entitled to exchange their Preferred Stock for securities or other property deliverable
upon such Merger Event, dissolution, liquidation or winding up); and (C) in the case of a public
offering, the Company shall give the Warrantholder at least twenty (20) days written notice prior
to the effective date thereof.



     Each such written notice shall set forth, in reasonable detail, (i) the event requiring the
adjustment, (ii) the amount of the adjustment, (iii) the method by which such adjustment was
calculated, (iv) the Exercise Price, and (v) the number of shares subject to purchase hereunder
after giving effect to such adjustment, and shall be given by first class mail, postage prepaid,
addressed to the Warrantholder, at the address as shown on the books of the Company.



     (h) Timely Notice. Failure to timely provide such notice required by subsection (g)
above shall entitle Warrantholder to retain the benefit of the applicable notice period
notwithstanding anything to the contrary contained in any insufficient notice received by
Warrantholder. The notice period shall begin on the date Warrantholder actually receives a written
notice containing all the information specified above.



9. REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE COMPANY.




     (a) Reservation of Preferred Stock. The Preferred Stock issuable upon exercise of the
Warrantholder’s rights has been duly and validly reserved and, when issued in accordance with the
provisions of this Warrant Agreement, will be validly issued, fully paid and non-assessable, and
will be free of any taxes, liens, charges or encumbrances of any nature whatsoever; provided,
however, that the Preferred Stock issuable pursuant to this Warrant Agreement may be subject to
restrictions on transfer under state and/or Federal securities laws. The Company has made
available to the Warrantholder true, correct and complete copies of its Charter and Bylaws, as
amended. The issuance of certificates for shares of Preferred Stock upon exercise of the Warrant
Agreement shall be made without charge to the Warrantholder for any issuance tax in respect
thereof, or other cost incurred by the Company in connection with such exercise and the related
issuance of shares of Preferred Stock. The Company shall not be required to pay any tax which may
be payable in respect of any transfer involved and the issuance and delivery of any certificate in
a name other than that of the Warrantholder.






- 4 -









 








     (b) Due Authority. The execution and delivery by the Company of this Warrant
Agreement and the performance of all obligations of the Company hereunder, including the issuance
to Warrantholder of the right to acquire the shares of Preferred Stock, have been duly authorized
by all necessary corporate action on the part of the Company, and the Leases and this Warrant
Agreement are not inconsistent with the Company’s Charter or Bylaws, do not contravene any law or
governmental rule, regulation or order applicable to it, do not and will not contravene any
provision of, or constitute a default under, any indenture, mortgage, contract or other instrument
to which it is a party or by which it is bound, and the Leases and this Warrant Agreement
constitute legal, valid and binding agreements of the Company, enforceable in accordance with their
respective terms.



     (c) Consents and Approvals. No consent or approval of, giving of notice to,
registration with, or taking of any other action in respect of any state, Federal or other
governmental authority or agency is required with respect to the execution, delivery and
performance by the Company of its obligations under this Warrant Agreement, except for the filing
of notices pursuant to Regulation D under the 1933 Act and any filing required by applicable state
securities law, which filings will be effective by the time required thereby.



     (d) Issued Securities. All issued and outstanding shares of Common Stock, Preferred
Stock or any other securities of the Company have been duly authorized and validly issued and are
fully paid and non-assessable. All outstanding shares of Common Stock, Preferred Stock and any
other securities were issued in full compliance with all Federal and state securities laws. In
addition, as of the date hereof:




     (i) The authorized capital of the Company consists of (A) 100,000,000 shares of Common
Stock, of which 12,179,896 shares are issued and outstanding, (B) 9,187,500 shares of Series
A Preferred Stock, of which 9,187,500 shares are issued and outstanding and are convertible
into 9,187,500 shares of Common Stock at $1.00 per share, and (C) 6,326,531 shares of Series
B Preferred Stock, of which 6,254,806 shares are issued and outstanding and are convertible
into 6,254,806 shares of Common Stock at $4.90 per share,




     (ii) The Company has reserved 4,210,937 shares of Common Stock for issuance under its
1999 Stock Plan, under which 3,804,717 options are outstanding at an average price of $0.50
per share. There are no other options, warrants, conversion privileges or other rights
presently outstanding to purchase or otherwise acquire any authorized but unissued shares of
the Company’s capital stock or other securities of the Company.




     (iii) In accordance with the Company’s Certificate of Incorporation, no shareholder of
the Company has preemptive rights to purchase new issuances of the Company’s capital stock.



     (e) Insurance. The Company has in full force and effect insurance policies, with
extended coverage, insuring the Company and its property and business against such losses and
risks, and in such amounts, as are customary for corporations engaged in a similar business and
similarly situated and as otherwise may be required pursuant to the terms of any other contract or
agreement.



     (f) Other Commitments to Register Securities. Except as set forth in this Warrant
Agreement, the Company is not, pursuant to the terms of any other agreement currently in existence,
under any obligation to register under the 1933 Act any of its presently outstanding securities or
any of its securities which may hereafter be issued.



     (g) Exempt Transaction. Subject to the accuracy of the Warrantholder’s
representations in Section 10 hereof, the issuance of the Preferred Stock upon exercise of this
Warrant will constitute a transaction exempt from (i) the registration requirements of Section 5 of
the 1933 Act, in reliance upon Section 4(2) thereof, and (ii) the qualification requirements of the
applicable state securities laws.



     (h) Compliance with Rule 144. At the written request of the Warrantholder, who
proposes to sell Preferred Stock issuable upon the exercise of the Warrant in compliance with Rule
144 promulgated by the Securities and Exchange Commission, the Company shall furnish to the
Warrantholder, within ten days after receipt of such request, a written statement confirming the
Company’s compliance with the filing requirements of the Securities and Exchange Commission as set
forth in such Rule, as such Rule may be amended from time to time.



10. REPRESENTATIONS AND COVENANTS OF THE WARRANTHOLDER.




     This Warrant Agreement has been entered into by the Company in reliance upon the following
representations and covenants of the Warrantholder:






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     (a) Investment Purposes. The right to acquire Preferred Stock or the Preferred Stock
issuable upon exercise of the Warrantholder’s rights contained herein will be acquired for
investment and not with a view to the sale or distribution of any part thereof, and the
Warrantholder has no present intention of selling or engaging in any public distribution of the
same except pursuant to a registration or exemption.



     (b) Private Issue. The Warrantholder understands (i) that the Preferred Stock
issuable upon exercise of this Warrant is not registered under the 1933 Act or qualified under
applicable state securities laws on the ground that the issuance contemplated by this Warrant
Agreement will be exempt from the registration and qualifications requirements thereof, and (iii)
that the Company’s reliance on such exemption is predicated on the representations set forth in
this Section 10.



     (c) Disposition of Warrantholder’s Rights. In no event will the Warrantholder make a
disposition of any of its rights to acquire Preferred Stock or Preferred Stock issuable upon
exercise of such rights unless and until (i) it shall have notified the Company of the proposed
disposition, and (ii) if requested by the Company, it shall have furnished the Company with an
opinion of counsel (which counsel may either be inside or outside counsel to the Warrantholder)
satisfactory to the Company and its counsel to the effect that (A) appropriate action necessary for
compliance with the 1933 Act has been taken, or (B) an exemption from the registration requirements
of the 1933 Act is available. Notwithstanding the foregoing, the restrictions imposed upon the
transferability of any of its rights to acquire Preferred Stock or Preferred Stock issuable on the
exercise of such rights do not apply to transfers from the beneficial owner of any of the
aforementioned securities to its nominee or from such nominee to its beneficial owner, and shall
terminate as to any particular share of Preferred Stock when (1) such security shall have been
effectively registered under the 1933 Act and sold by the holder thereof in accordance with such
registration or (2) such security shall have been sold without registration in compliance with Rule
144 under the 1933 Act, or (3) a letter shall have been issued to the Warrantholder at its request
by the staff of the Securities and Exchange Commission or a ruling shall have been issued to the
Warrantholder at its request by such Commission stating that no action shall be recommended by such
staff or taken by such Commission, as the case may be, if such security is transferred without
registration under the 1933 Act in accordance with the conditions set forth in such letter or
ruling and such letter or ruling specifies that no subsequent restrictions on transfer are
required. Whenever the restrictions imposed hereunder shall terminate, as hereinabove provided,
the Warrantholder or holder of a share of Preferred Stock then outstanding as to which such
restrictions have terminated shall be entitled to receive from the Company, without expense to such
holder, one or more new certificates for the Warrant or for such shares of Preferred Stock not
bearing any restrictive legend.



     (d) Financial Risk. The Warrantholder has such knowledge and experience in financial
and business matters as to be capable of evaluating the merits and risks of its investment, and has
the ability to bear the economic risks of its investment



     (e) Risk of No Registration. The Warrantholder understands that if the Company does
not register with the Securities and Exchange Commission pursuant to Section 12 of the 1934 Act
(the “1934 Act”), or file reports pursuant to Section 15(d), of the 1934 Act, or if a registration
statement covering the securities under the 1933 Act is not in effect when it desires to sell (i)
the rights to purchase Preferred Stock pursuant to this Warrant Agreement, or (ii) the Preferred
Stock issuable upon exercise of the right to purchase, it may be required to hold such securities
for an indefinite period. The Warrantholder also understands that any sale of its rights of the
Warrantholder to purchase Preferred Stock or Preferred Stock which might be made by it in reliance
upon Rule 144 under the 1933 Act may be made only in accordance with the terms and conditions of
that Rule.



     (f) Accredited Investor. Warrantholder is an “accredited investor” within the meaning
of the Securities and Exchange Rule 501 of Regulation D, as presently in effect.



11. RIGHT OF FIRST OFFER.




     In accordance with the provisions of Section 2 of the Investor Rights Agreement dated as of
July 5, 2000 (“Investor Rights Agreement”), if the Company proposes to offer any shares of, or
securities convertible into or exercisable for any shares of, any class of its capital stock
(“Shares”), subject to the exceptions set forth thereof, the Company shall promptly provide
Warrantholder with an offer to sell Warrantholder a portion of such Shares equal to the proportion
that the number of shares of Preferred Stock to be issued upon exercise hereunder or number of
shares of common stock upon conversion thereof, bears to the total number of shares of common stock
of the Company then outstanding (assuming full conversion of all shares of Preferred Stock).






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12. TRANSFERS.




     Subject to the terms and conditions contained in Section 10 hereof, this Warrant Agreement and
all rights hereunder are transferable in whole or in part by the Warrantholder and any successor
transferee, provided, however, in no event shall the number of transfers of the rights and
interests in all of the Warrants exceed three (3) transfers. The transfer shall be recorded on the
books of the Company upon receipt by the Company of a notice of transfer in the form attached
hereto as Exhibit III (the “Transfer Notice”), at its principal offices and the payment to the
Company of all transfer taxes and other governmental charges imposed on such transfer.



13. MISCELLANEOUS.




     (a) Effective Date. The provisions of this Warrant Agreement shall be construed and
shall be given effect in all respects as if it had been executed and delivered by the Company on
the date hereof. This Warrant Agreement shall be binding upon any successors or assigns of the
Company.



     (b) Attorney’s Fees. In any litigation, arbitration or court proceeding between the
Company and the Warrantholder relating hereto, the prevailing party shall be entitled to attorneys’
fees and expenses and all costs of proceedings incurred in enforcing this Warrant Agreement.



     (c) Governing Law. This Warrant Agreement shall be governed by and construed for all
purposes under and in accordance with the laws of the State of Illinois.



     (d) Counterparts. This Warrant Agreement may be executed in two or more counterparts,
each of which shall be deemed an original, but all of which together shall constitute one and the
same instrument.



     (e) Notices. Any notice required or permitted hereunder shall be given in writing and
shall be deemed effectively given upon personal delivery, facsimile transmission (provided that the
original is sent by personal delivery or mail as hereinafter set forth) or seven (7) days after
deposit in the United States mail, by registered or certified mail, addressed (i) to the
Warrantholder at 6111 North River Road, Rosemont, Illinois 60018, Attention: Venture Lease
Administration, cc: Legal Department, Attention: General Counsel, (and/or, if by Facsimile,
(847) 518-5465 and (847)518-5088) and (ii) to the Company at 1761 Business Center Drive, Suite 250,
Reston, CA 20190, Attention: David Jones (and/or if by Facsimile, (703) 438-2033) or at
such other address as any such party may subsequently designate by written notice to the other
party.



     (f) Remedies. In the event of any default hereunder, the non-defaulting party may
proceed to protect and enforce its rights either by suit in equity and/or by action at law,
including but not limited to an action for damages as a result of any such default, and/or an
action for specific performance for any default where Warrantholder will not have an adequate
remedy at law and where damages will not be readily ascertainable. The Company expressly agrees
that it shall not oppose an application by the Warrantholder or any other person entitled to the
benefit of this Agreement requiring specific performance of any or all provisions hereof or
enjoining the Company from continuing to commit any such breach of this Agreement



     (g) No Impairment of Rights. The Company will not, by amendment of its Charter or
through any other means, avoid or seek to avoid the observance or performance of any of the terms
of this Warrant, but will at all times in good faith assist in the carrying out of all such terms
and in the taking of all such actions as may be necessary or appropriate in order to protect the
rights of the Warrantholder against impairment.



     (h) Survival. The representations, warranties, covenants and conditions of the
respective parties contained herein or made pursuant to this Warrant Agreement shall survive the
execution and delivery of this Warrant Agreement.



     (i) Severability. In the event any one or more of the provisions of this Warrant
Agreement shall for any reason be held invalid, illegal or unenforceable, the remaining provisions
of this Warrant Agreement shall be unimpaired, and the invalid, illegal or unenforceable provision
shall be replaced by a mutually acceptable valid, legal and enforceable provision, which comes
closest to the intention of the parties underlying the invalid, illegal or unenforceable provision.



     (j) Amendments. Any provision of this Warrant Agreement may be amended by a written
instrument signed by the Company and by the Warrantholder.






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     IN WITNESS WHEREOF, the parties hereto have caused this Warrant Agreement to be executed by
its officers thereunto duty authorized as of the Effective Date.



	 	 	 	 	 	 	 
	COMPANY:	 	COMSCORE NETWORKS, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:


Title:
	 	/s/ Magid Abraham
 


/s/ CEO
 

	 	  
	 
	 	 	 	 	 	 
	WARRANTHOLDER:	 	COMDISCO, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	
Title:
	 	 

	 	 
	 

	 	 	 	 

	 	 







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EXHIBIT I



NOTICE OF EXERCISE




To: COMSCORE NETWORKS, INC.




	(1)	 	The undersigned Warrantholder hereby elects to purchase
_______ shares the Series B Preferred
Stock of ComScore Networks, Inc., pursuant to the terms of the Warrant Agreement dated the
29th day of September, 2000 (the ‘Warrant Agreement”) between ComScore Networks,
Inc. and the Warrantholder, and tenders herewith payment of the
purchase price for such shares in full, together with all applicable transfer taxes, if any.
	 
	(2)	 	In exercising Us rights to purchase the Series B Preferred Stock of ComScore Networks, Inc.,
the undersigned hereby confirms and acknowledges the investment representations and warranties
made in Section 10 of the Warrant Agreement.
	 
	(3)	 	Please issue a certificate or certificates representing said shares of Series B Preferred
Stock in the name of the undersigned or in such other name as is specified below.





	 	 	 	 	 	 	 
	 	 	 	 	 
	 

	 	(Name)	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	 

	 	(Address)	 	 	 	 
	 
	 	 	 	 	 	 
	WARRANTHOLDER:
	 	COMDISCO,  INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Title:	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Date:	 	 	 	 
	 

	 	 	 	 	 	 






-9-








 






EXHIBIT II

ACKNOWLEDGMENT OF EXERCISE



The undersigned ComScore Networks, Inc., hereby acknowledge receipt of the “Notice of Exercise”
from Comdisco, Inc., to

purchase                     
shares of the Series B Preferred Stock of ComScore Networks, Inc., pursuant to the terms
of the Warrant
Agreement, and further acknowledges
that                     
shares remain subject to purchase under the terms of the Warrant.
Agreement




	 	 	 	 	 	 	 
	COMPANY:	 	COMSCORE NETWORKS, INC.	 	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

	 	 
	 

	 	Title:	 	 	 	 
	 

	 	 	 	 

	 	 
	 

	 	Date:	 	 	 	 
	 

	 	 	 	 

	 	 






-10-









 






EXHIBIT III




TRANSFER NOTICE



(To transfer or assign the foregoing Warrant Agreement execute this form and supply required
information. Do not use this form to purchase shares.)



FOR VALUE RECEIVED, the foregoing Warrant Agreement and all rights evidenced thereby are hereby
transferred and assigned to




	 	 	 	 	 
	 

	 	 

	 	 
	 

	 	(Please Print)	 	 
	 
	 	 	 	 
	 

	 	whose address is
 


	 	 
	 
	 

	 	 


	 	 






	 	 	 	 	 	 
	 

	 	Dated:  

	 	 
	 

	 	 	 	 	 
	 
	 	 	 	 	 
	 

	 	Holder’s Signature:	 	 	 
	 

	 	 	 

	 	 
	 
	 	 	 	 	 
	 

	 	Holder’s Address:	 	 	 
	 

	 	 	 

	 	 
	 
	 

	 	 

	 	 






	 	 	 	 	 
	Signature Guaranteed:
	 	 	 	 
	 

	 	 

	 	 







			
	NOTE.	 	The signature to this Transfer Notice must correspond with the name as it appears on the
face of the Warrant
Agreement, without alteration or enlargement or any change whatever. Officers of
corporations and those acting
in a fiduciary or other representative capacity should file proper evidence of authority to
assign the foregoing
Warrant Agreement.





-11-









 




EXHIBIT
IV




(INSERT
CHARTER)




-12-









 





SECOND AMENDED AND RESTATED

CERTIFICATE OF INCORPORATION

OF COMSCORE, INC.

a Delaware corporation

(Originally incorporated on August 18, 1999)




     comScore, inc., a corporation organized and existing under and by virtue of the General
Corporation Law of the State of Delaware (the “Corporation”), does hereby certify that:



     1. The name of the corporation is comScore, inc. The original Certificate of Incorporation of
the corporation was filed with the Secretary of State of the State of Delaware on August 18, 1999.



     2. The amendment and restatement herein set forth has been duly approved by the Board of
Directors of the corporation and by the stockholders of the corporation pursuant to Sections 141,
228 and 242 of the General Corporation Law of the State of Delaware (“Delaware Law”). Approval of
this amendment and restatement was approved by a written consent signed by the stockholders of the
corporation pursuant to Section 228 of the Delaware Law.



     3. The restatement herein set forth has been duly adopted pursuant to Section 245 of the
Delaware Law. This Amended and Restated Certificate of Incorporation restates and integrates and
amends the provisions of the corporation’s Certificate of Incorporation.



     4. The text of the Certificate of Incorporation is hereby amended and restated to read in its
entirety as follows:



ARTICLE I




     The name of this Corporation is comScore Networks, inc.



ARTICLE II




     The address of the registered office of the Corporation in the State of Delaware is
Corporation Trust Center, 1209 Orange Street, in the City of Wilmington, County of New Castle,
Delaware 19081. The name of its registered agent at such address is The Corporation Trust Company.



ARTICLE III




     The nature of the business or purposes to be conducted or promoted is to engage in any lawful
act or activity for which corporations may be organized under the General Corporation Law of
Delaware.



ARTICLE IV




 









 








     A. Classes of Stock. This Corporation is authorized to issue two classes of stock, to
be designated, respectively, “Common Stock” and “Preferred Stock.” The total number of shares
which the Corporation is authorized to issue is One Hundred Fifteen Million Five Hundred Fourteen
Thousand Thirty One (115,514,031) shares. One Hundred Million (100,000,000) shares shall be Common
Stock, par value $0.001 per share, and Fifteen Million Five Hundred Fourteen Thousand Thirty One
(15,514,031) shares shall be Preferred Stock, of which Nine Million One Hundred Eighty Seven
Thousand Five Hundred (9,187,500) shares, par value $0.001 per share, shall be designated “Series A
Preferred” and Six Million Three Hundred Twenty Six Thousand Five Hundred Thirty One (6,326,531)
shares, par value $0.001 per share, shall be designated “Series B Preferred.”



     B. Rights, Preferences, Privileges and Restrictions of Preferred Stock. The rights,
preferences, privileges and restrictions granted to and imposed on the Series A Preferred and
Series B Preferred (collectively, the “Preferred”) are as set forth below in this Article
IV(B).



          1. Dividend Provisions. The holders of shares of Preferred shall be entitled to
receive dividends, out of any assets legally available therefor, prior and in preference to any
declaration or payment of any dividend (payable other than in Common Stock) on the Common Stock of
this Corporation, at the rate of $0.08 per share per annum in the case of the Series A Preferred
and $0.40 per share per annum in case of the Series B Preferred (each as adjusted for any stock
dividends, stock distributions, combinations, consolidations or splits with respect to such
shares). Such dividends shall not be cumulative and shall be paid only when, if and as declared by
the Board of Directors of the Corporation. No dividend shall be paid on shares of a series of
Preferred in any fiscal year unless the holders of shares of each other series of Preferred
participate in such dividend, pro rata among the holders thereof based upon the full dividend
amount to which they are entitled. No dividend shall be paid on shares of Common Stock in any
fiscal year unless (i) the aforementioned preferential dividends of the Preferred shall have been
paid in full and (ii) the holders of Preferred participate in any such dividend on the Common Stock
on a pro rata basis in proportion to the number of shares of Common Stock held of record by each
such holder of Preferred (assuming the conversion of all Preferred into Common Stock).




          2. Liquidation Preference.




               a. Primary Distribution. In the event of any liquidation, dissolution or winding up
of this Corporation, either voluntary or involuntary, (i) each holder of Series A Preferred shall
be entitled to receive, prior and in preference to any distribution of any of the assets of this
Corporation to the holders of Common Stock by reason of their ownership thereof, an amount equal to
the sum of (x) $1.00 (the “Original Series A Issue Price”) for each share of Series A
Preferred held of record by such holder (as adjusted for any stock dividends, stock distributions,
combinations, consolidations or splits with respect to such shares) and (y) all declared but unpaid
dividends on such shares and (ii) each holder of Series B Preferred shall be entitled to receive,
prior and in preference to any distribution of any of the assets of this Corporation to the holders
of Common Stock by reason of their ownership thereof, an amount equal to the sum of (x) $4.90 (the
“Original Series B Issue Price”) for each share of Series B Preferred held of record by
such holder (as adjusted for any stock dividends, stock distributions, combinations, consolidations
or splits with respect to such shares) and (y) all declared but unpaid dividends on such shares.
If upon the occurrence of such event, the assets and funds of the Corporation legally available for
distribution shall be insufficient to permit the



-2-









 







payment to such holders of the full aforesaid preferential amounts, then the entire assets and
funds of the Corporation legally available for distribution shall be distributed ratably among the
holders of the Preferred in proportion to the preferential amount each such holder is otherwise
entitled to receive.



               b. Secondary Distribution. Subject to Section 2(c) below, upon the completion of the
distribution required by Section 2(a), the remaining assets of the Corporation available for
distribution to stockholders shall be distributed of record among the holders of Preferred and
Common Stock on a pro rata basis in proportion to the number of shares of Common Stock held of
record by each (assuming for the purposes hereof conversion of all Preferred into Common Stock).



               c. Maximum Liquidation Amount. Following such time as any holder of Preferred has
received, pursuant to the operation of Sections 2(a) and 2(b) above, an amount equal to the Maximum
Liquidation Amount (as defined below) for such shares of Preferred, then the entire remaining
assets and funds of the Company legally available for distribution, if any, shall be distributed
ratably among the holders of Common Stock in a manner such that the amount distributed to each
holder of Common Stock shall equal the amount obtained by multiplying the entire remaining assets
and funds of the Company legally available for distribution hereunder by a fraction, the numerator
of which shall be the number of shares of Common Stock then held by such holder, and the
denominator of which shall be the total number of shares of Common Stock then outstanding. For
purposes of this Section 2(c), the “Maximum Liquidation Amount” for each share of Series A
Preferred shall mean $2.50 and the “Maximum Liquidation Amount” for each share of Series B
Preferred shall be $12.25, adjusted in the manner contemplated by clauses (i) and (ii) of Section
3(d) hereof. Notwithstanding anything in this Section 2 to the contrary, if a holder of Preferred
would receive a greater liquidation amount than such holder is entitled to receive pursuant to
subsections 2(a)-(c) by converting such shares of Preferred into shares of Common Stock, then such
holder shall not receive any amounts under subsections 2(a)-(c), but shall be treated for purposes
of this Section 2 as though they had converted into shares of Common Stock, whether or not such
holders had elected to so convert.



               d. Definition of Liquidation Event; Notice.



                    (i) For purposes of this Section 2, a liquidation, dissolution or winding up of this
Corporation shall be deemed to be occasioned by, and to include, (A) the acquisition of control of
the Corporation by another entity by means of any transaction or series of related transactions
(including without limitation any reorganization, merger or consolidation); or (B) a lease, sale or
other transfer of all or substantially all of the assets of the Corporation (including, for
purposes of this section, intellectual property rights which, in the aggregate, constitute
substantially all of the Corporation’s material assets); unless in each case, the
Corporation’s stockholders of record as constituted immediately prior to such acquisition or sale
will, immediately after such acquisition or sale (by virtue of securities issued as consideration
for the Corporation’s acquisition or sale or otherwise), hold at least fifty percent (50%) of the
voting power of the surviving or acquiring entity.



-3-









 





                    (ii) In any of such events, if the consideration received by the Corporation is other than
cash, its value will be deemed its fair market value. Any securities shall be valued as follows:



                         (A) Securities not subject to an exchange ratio specified in a definitive merger or
acquisition agreement, or to any investment letter or other similar restrictions on free
marketability shall be valued as follows: (1) if traded on a securities exchange or through The
Nasdaq National Market, the value shall be deemed to be the average of the closing prices of the
securities on such exchange over the ten (10) trading day period ending three (3) days prior to the
closing; (2) if actively traded over-the-counter, the value shall be deemed to be the average of
the closing bid or sale prices (whichever is applicable) over the thirty (30) day period ending
three (3) days prior to the closing; and (3) if there is no active public market, the value shall
be the fair market value thereof, as determined in good faith by the Board of Directors of the
Corporation.



                         (B) Securities subject to an exchange ratio specified in a definitive merger or acquisition
agreement or to any investment letter or other restrictions on free marketability (other than
restrictions arising solely by virtue of a stockholder’s status as an affiliate or former
affiliate) shall be valued in such a manner as to make an appropriate discount from the market
value determined as above in (A) (1), (2) or (3) to reflect the approximate fair market value
thereof, as determined in good faith by the Board of Directors of the Corporation.



                    (iii) The Corporation shall give each holder of record of Preferred written notice of any such
impending transaction not later than twenty (20) days prior to the earlier of the stockholder
meeting called to approve such transaction or the closing of such transaction, and shall also
notify such holders in writing of the final approval of such transaction. The first of such
notices shall describe the material terms and conditions of the impending transaction, the
provisions of this Section 2, and the amounts anticipated to be distributed to holders of each
outstanding class of capital stock of the Corporation pursuant to this Section 2, and the
Corporation shall thereafter give such holders prompt notice of any material changes. The
transaction shall in no event take place sooner than twenty (20) days after the Corporation has
given the first notice provided for herein or sooner than ten (10) days after the Corporation has
given notice of any material changes provided for herein; provided, however, that
such periods may be shortened upon the written consent of the holders of each series of Preferred
that are entitled to such notice rights or similar notice rights and that represent at least a
majority of the voting power of the then outstanding shares of such series of Preferred.



                    (iv) In the event the requirements of subsection 2(d)(iii) are not complied with, this
Corporation shall forthwith either:



                         (A) cause such closing to be postponed until such time as the requirements of subsection
2(d)(iii) have been complied with; or



                         (B) cancel such transaction, in which event the rights, preferences and privileges of the
holders of the Preferred shall revert to and be the same as such rights, preferences and privileges
existing immediately prior to the date of the first notice referred to in subsection 2(d)(iii).



-4-









 





          3. Conversion. The holders of Preferred shall have conversion rights as follows (the
“Conversion Rights”):




               a. Right to Convert. Each share of Preferred shall be convertible, at the option of
the holder thereof, at any time after the date of issuance of such share at the office of this
Corporation or any transfer agent for such stock, into such number of fully paid and nonassessable
shares of Common Stock as is determined by dividing (i) in the case of the Series A Preferred, the
Original Series A Issue Price in respect of such share by the Series A Conversion Price applicable
to such share, determined as hereafter provided, in effect on the date the certificate is
surrendered for conversion, and (ii) in the case of the Series B Preferred, the Original Series B
Issue Price in respect of such share by the Series B Conversion Price applicable to such share,
determined as hereafter provided, in effect on the date the certificate is surrendered for
conversion. The initial Series A Conversion Price per share shall be the Original Series A Issue
Price for the Series A Preferred; and the initial Series B Conversion Price per share shall be the
Original Series B Issue Price for the Series B Preferred; provided, however, that
in each case such Conversion Price shall be subject to adjustment as set forth below (the Series A
Conversion Price and the Series B Conversion Price are individually or collectively referred to
herein as the “Conversion Price”).



               b. Automatic Conversion. Each share of Preferred shall automatically be converted
into shares of Common Stock at the Conversion Price at the time in effect for such Preferred
immediately upon the earlier of (i) except as provided below in the last sentence of subsection
3(c), the Corporation’s sale of its Common Stock in an underwritten public offering pursuant to a
Registration Statement under the Securities Act of 1933, as amended (the “Securities Act”),
conducted by a nationally recognized reputable underwriter in which (x) the per share public
offering price (prior to underwriter discounts, commissions, concessions and expenses and adjusted
in the manner contemplated by clauses (i) and (ii) of Section 3(d) below) is equal to $9.80 or
more, and (y) the gross proceeds to the Corporation are in excess of $25,000,000 (a “Qualified
IPO”), or (ii) the date specified by written consent or agreement of the holders of at least a
majority of the voting power of the then outstanding shares of Series A Preferred and Series B
Preferred, each voting separately as a class.



               c. Mechanics of Conversion. Before any holder of Preferred shall be entitled to
convert the same into shares of Common Stock, such holder shall surrender the certificate or
certificates therefor, duly endorsed, at the office of this Corporation or of any transfer agent
for the Preferred, and shall give written notice to this Corporation at its principal corporate
office, of the election to convert the same and shall state therein the name or names in which the
certificate or certificates for shares of Common Stock are to be issued. This Corporation shall,
as soon as practicable thereafter, issue and deliver at such office to such holder of Preferred, or
to the nominee or nominees of such holder, a certificate or certificates for the number of shares
of Common Stock to which such holder shall be entitled as aforesaid. Such conversion shall be
deemed to have been made immediately prior to the close of business on the date of such surrender
of the shares of Preferred to be converted, and the person or persons entitled to receive the
shares of Common Stock issuable upon such conversion shall be treated for all purposes as the
record holder or holders of such shares of Common Stock as of such date. If the conversion is in
connection with an underwritten offering of securities registered pursuant to the Securities Act,
the conversion, unless otherwise designated by the holder, will be conditioned upon the closing
with the underwriters of the



-5-









 




sale of securities pursuant to such offering, in which event the person(s) entitled to receive
the Common Stock upon conversion of the Preferred shall not be deemed to have converted such
Preferred until immediately prior to the closing of such sale of securities.




               d. Conversion Price Adjustments of Preferred Stock for Certain Splits, Dividends and
Combinations. The Conversion Price of the Preferred shall be subject to adjustment from time
to time as follows:



                    (i) In the event that the Corporation should at any time or from time to time after the date
upon which the first shares of a series of Preferred were issued (such date being the “Original
Issue Date” for such series of Preferred) fix a record date for the effectuation of a split or
subdivision of the outstanding shares of Common Stock or for the determination of the outstanding
shares of Common Stock entitled to receive a dividend or other distribution payable in additional
shares of Common Stock without payment of any consideration by such holder for the additional
shares of Common Stock, then, as of such record date (or the date of such dividend, distribution,
split or subdivision if no record date is fixed), the Conversion Price of such series of Preferred
shall be appropriately decreased so that the number of shares of Common Stock issuable on
conversion of each share of such series shall be increased in proportion to such increase of the
aggregate of shares of Common Stock outstanding.



                    (ii) In the event that the Corporation should at any time or from time to time after the
Original Issue Date for a series of Preferred fix a record date for the effectuation of a
combination or reverse stock split of the outstanding shares of Common Stock, then, as of such
record date (or the date of such combination or reverse stock split if no record date is fixed),
the Conversion Price of such series of Preferred shall be appropriately increased so that the
number of shares of Common Stock issuable on conversion of each share of such series shall be
decreased in proportion to such decrease in the aggregate shares of Common Stock outstanding.



               e. Other Distributions. In the event that the Corporation shall declare a
distribution payable in securities of other persons, evidences of indebtedness issued by this
Corporation or other persons, assets (excluding cash dividends) or options or rights not referred
to in subsection 3(d)(i), then, in each such case for the purpose of this subsection 3(e), the
holders of the Preferred shall be entitled to a proportionate share of any such distribution as
though they were the holders of the number of shares of Common Stock of the Corporation into which
their shares of Preferred are convertible as of the record date fixed for the determination of the
holders of Common Stock of the Corporation entitled to receive such distribution.



               f. Recapitalizations. If at any time or from time to time there shall be a
recapitalization of the Common Stock (other than a subdivision, combination or merger or sale of
assets transaction provided for elsewhere in this Section 3 or Section 2), provision shall be made
so that the holders of the Preferred shall thereafter be entitled to receive upon conversion of the
Preferred the number of shares of stock or other securities or property of the Corporation or
otherwise, which a holder of Common Stock deliverable upon conversion immediately prior to such
recapitalization would have been entitled to receive on such recapitalization. In any such case,
appropriate adjustment shall be made in the application of the provisions of this Section 3 with
respect to the rights of the holders of the Preferred after the recapitalization to the extent that
the



-6-









 




provisions of this Section 3 (including adjustment of the applicable Conversion Price then in
effect and the number of shares purchasable upon conversion of the Preferred) shall be applicable
after that event as nearly equivalently as may be practicable.




               g. Adjustments to Conversion Price for Dilutive Issues.



                    (i) Special Definitions. For purposes of this Section 3(g), the following definitions
shall apply:



                         (A) “Additional Shares of Common” shall mean all shares of Common Stock issued (or,
pursuant to Section 3(g)(iii), deemed to be issued) by the Corporation after the Original Issue
Date for a series of Preferred, other than shares of Common Stock issued, issuable or, pursuant to
Section 3(g)(iii) herein, deemed to be issued:



                              (1) upon conversion of shares of the Preferred;



                              (2) to officers, directors or employees of, or consultants, contractors and advisors to, the
Corporation pursuant to a stock grant, option plan or purchase plan or other stock incentive
program or arrangement approved by the Compensation Committee of the Board of Directors (or, in the
absence of such a committee, then by the Board of Directors) for employees, officers, directors or
consultants, contractors or advisors of the Corporation;



                              (3) as a dividend or distribution on the Preferred;



                              (4) in connection with any transaction for which adjustment is made pursuant to Sections
3(d)(i), 3(d)(ii), 3(e) or 3(f) hereof;



                              (5) to financial institutions, lessors or landlords in connection with commercial credit
arrangements, debt financings, equipment lease financings, real property leases or similar
transactions undertaken other than for equity financing purposes, or to other providers of goods,
services, technology, distribution channels or marketing opportunities to the Corporation pursuant
to an arrangement approved by the Board of Directors, but not to exceed an aggregate of 650,204
shares of Common Stock, net of cancellations of unexercised options and repurchases of shares at
cost upon termination of any relationship with the Corporation and as adjusted for stock splits,
combinations, recapitalizations and the like;



                              (6) in connection with a Qualified IPO; or



                              (7) in connection with an acquisition by the Corporation, whether by merger, consolidation or
purchase of assets, provided that such acquisition has been approved by a majority of the Board of
Directors, which majority must include at least one director designated by the holders of Series A
Preferred pursuant to Section 4(d) hereof.



                         (B) “Convertible Securities” shall mean stock or other securities convertible into or
exchangeable for Common Stock.



-7-









 





                         (C) “Options” shall mean rights, options or warrants to subscribe for, purchase or
otherwise acquire either Common Stock or Convertible Securities.



                    (ii) No Adjustment of Conversion Price. No adjustment in the Conversion Price of a
series of Preferred shall be made in respect of the issuance of Additional Shares of Common unless
the consideration per share for an Additional Share of Common issued or deemed to be issued by the
Corporation is less then the applicable Conversion Price of such series of Preferred in effect on
the date of, and immediately prior to, such issue.



                    (iii) Options and Convertible Securities. In the event that the Corporation at any
time or from time to time after the Original Issue Date for a series of Preferred shall issue any
Options or Convertible Securities or shall fix a record date for the determination of holders of
any class of securities entitled to receive any such Options or Convertible Securities, then the
maximum number of shares of Common Stock issuable upon the exercise of such Options or, in the case
of Convertible Securities and Options therefor, the conversion or exchange of such Convertible
Securities, shall be deemed to be Additional Shares of Common issued as of the time of such issue
or, in case such a record date shall have been fixed, as of the close of business on such record
date; provided, however, that Additional Shares of Common shall not be deemed to
have been issued unless the consideration per share (determined pursuant to Section 4(g)(v) hereof)
of such Additional Shares of Common would be less than the applicable Conversion Price of a series
of Preferred in effect on the date of and immediately prior to such issue, or such record date, as
the case may be, and provided, further, that in any such case in which Additional
Shares of Common are deemed to be issued:



                         (A) no further adjustment in the applicable Conversion Price of a series of Preferred shall be
made upon the subsequent issue of Convertible Securities or shares of Common Stock upon the
exercise of such Options or conversion or exchange of such Convertible Securities, in each case,
pursuant to their respective terms;



                         (B) if such Options or Convertible Securities by their terms provide, with the passage of time
or otherwise, for any increase in the consideration payable to the Corporation, or decrease in the
number of shares of Common Stock issuable, upon the exercise, conversion or exchange thereof, the
applicable Conversion Price of a series of Preferred computed upon the original issue thereof (or
upon the occurrence of a record date with respect thereto), and any subsequent adjustments based
thereon, shall, upon any such increase or decrease becoming effective, be recomputed to reflect
such increase or decrease insofar as it affects such Options or the rights of conversion or
exchange under such Convertible Securities;



                         (C) upon the expiration of any such Options or any rights of conversion or exchange under such
Convertible Securities which shall not have been exercised, the applicable Conversion Price of a
series of Preferred computed upon the original issue thereof (or upon the occurrence of a record
date with respect thereto), and any subsequent adjustments based thereon, shall, upon such
expiration, be recomputed as if:



                              (1) in the case of Convertible Securities or Options for Common Stock, the only Additional
Shares of Common issued were shares of Common Stock, if



-8-









 




any, actually issued upon the exercise of such Options or the conversion or exchange of such
Convertible Securities and the consideration received therefor was the consideration actually
received by the Corporation for the issue of all such Options, whether or not exercised, plus the
consideration actually received by the Corporation upon such exercise, or for the issue of all such
Convertible Securities which were actually converted or exchanged, plus the additional
consideration, if any, actually received by the Corporation upon such conversion or exchange, and




                              (2) in the case of Options for Convertible Securities, only the Convertible Securities, if
any, actually issued upon the exercise thereof were issued at the time of issue of such Options,
and the consideration received by the Corporation for the Additional Shares of Common deemed to
have been then issued was the consideration actually received by the Corporation for the issue of
all such Options, whether or not exercised, plus the consideration deemed to have been received by
the Corporation upon the issue of the Convertible Securities with respect to which such Options
were actually exercised; and



                         (D) no readjustment pursuant to clauses (1) or (2) above shall have the effect of increasing
the Conversion Price for a series of Preferred to an amount which exceeds the lower of (i) in the
case of the Series A Preferred, the Original Series A Issue Price, and in the case of the Series B
Preferred, the Original Series B Issue Price, or (ii) the applicable Conversion Price that would
have resulted from other issuances of Additional Shares of Common after the Original Issue Date for
such series of Preferred.



                    (iv) Adjustment of Conversion Price Upon Issuance of Additional Shares of Common. In
the event that this Corporation shall issue Additional Shares of Common (including Additional
Shares of Common deemed to be issued pursuant to Section 3(g)(iii)) without consideration or for a
consideration per share less than the applicable Conversion Price in effect on the date of and
immediately prior to such issue, then and in such event such applicable Conversion Price shall be
reduced, concurrently with such issue, to a price (calculated to the nearest cent) determined by
multiplying such applicable Conversion Price theretofore in effect by a fraction, the numerator of
which shall be the number of shares of Common Stock outstanding immediately prior to such issue
plus the number of shares of Common Stock which the aggregate consideration received by the
Corporation for the total number of Additional Shares of Common so issued would purchase at such
applicable Conversion Price in effect immediately prior to such issue, and the denominator of which
shall be the number of shares of Common Stock outstanding immediately prior to such issue plus the
number of such Additional Shares of Common so issued and sold; provided, however,
that, for the purposes of this Section 3(g)(iv), all shares of Common Stock issuable upon exercise,
conversion or exchange of outstanding Options or Convertible Securities, as the case may be, shall
be deemed to be outstanding, and immediately after any Additional Shares of Common are deemed
issued pursuant to Section 3(g)(iii), such Additional Shares of Common shall be deemed to be
outstanding.



                    (v) Determination of Consideration. For purposes of this Section 3(g), the
consideration received by the Corporation for the issue of any Additional Shares of Common shall be
computed as follows:



                         (A) Cash and Property. Such consideration shall:



-9-









 





                              (1) insofar as it consists of cash, be computed at the aggregate amount of cash received by
the Corporation excluding amounts paid or payable for accrued interest or accrued dividends;



                              (2) insofar as it consists of property other than cash, be computed at the fair market value
thereof at the time of such issue, as determined in good faith by the Board of Directors; and



                              (3) in the event Additional Shares of Common are issued together with other shares or
securities or other assets of the Corporation for consideration which covers both, be the
proportion of such consideration so received, computed as provided in clauses (A) and (B) above, as
determined in good faith by the Board of Directors.



                         (B) Options and Convertible Securities. The consideration per share received by the
Corporation for Additional Shares of Common deemed to have been issued pursuant to Section
3(g)(iii), relating to Options and Convertible Securities, shall be determined by dividing:



                              (1) the total amount, if any, received or receivable by the Corporation as consideration for
the issue of such Options or Convertible Securities, plus the minimum aggregate amount of
additional consideration payable to the Corporation upon the exercise of such Options or the
conversion or exchange of such Convertible Securities, or in the case of Options for Convertible
Securities, the exercise of such Options for Convertible Securities and the conversion or exchange
of such Convertible Securities, by



                              (2) the maximum number of shares of Common Stock issuable upon the exercise of such Options or
the conversion or exchange of such Convertible Securities, as determined in Section 3(g)(iii)
hereof.



               h. No Impairment. The Corporation will not, by amendment of its Certificate of
Incorporation or through any reorganization, recapitalization, transfer of assets, consolidation,
merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to
avoid the observance or performance of any of the terms to be observed or performed hereunder by
the Corporation, but will at all times in good faith assist in the carrying out of all the
provisions of this Section 3 and in the taking of all such action as may be necessary or
appropriate in order to protect the Conversion Rights of the holders of the Preferred against
impairment.



               i. No Fractional Shares; Certificate as to Adjustment.



                    (i) No fractional shares shall be issued upon the conversion of any share or shares of the
Preferred, and the number of shares of Common Stock to be issued shall be rounded to the nearest
whole share. Whether or not fractional shares are issuable upon such conversion shall be
determined on the basis of the total number of shares of Preferred the holder is at the time
converting into Common Stock and the number of shares of Common Stock issuable upon such aggregate
conversion.



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                    (ii) Upon the occurrence of each adjustment or readjustment of the applicable Conversion Price
of Preferred pursuant to this Section 3, the Corporation, at its expense, shall promptly compute
such adjustment or readjustment in accordance with the terms hereof and prepare and furnish to each
holder of such Preferred a certificate setting forth such adjustment or readjustment and showing in
detail the facts upon which such adjustment or readjustment is based. The Corporation shall, upon
the reasonable written request at any time of any holder of Preferred, furnish or cause to be
furnished to such holder a like certificate setting forth (A) such adjustment and readjustment, (B)
the applicable Conversion Price for the Preferred at the time in effect, and (C) the number of
shares of Common Stock and the amount, if any, of other property which at the time would be
received upon the conversion of a share of Preferred held by such holder.



               j. Notices of Record Date. In the event of any taking by the Corporation of a record
date for determining the holders of any class of securities who are entitled to receive any
dividend (other than a cash dividend) or other distribution, any right to subscribe for, purchase
or otherwise acquire any shares of stock of any class or any other securities or property, or to
receive any other right, this Corporation shall mail to each holder of Preferred, at least twenty
(20) days prior to the record date specified therein, a notice specifying the record date for the
purpose of such dividend, distribution or right, and the amount and character of such dividend,
distribution or right.



               k. Reservation of Stock Issuable Upon Conversion. This Corporation shall at all times
reserve and keep available out of its authorized but unissued shares of Common Stock, solely for
the purpose of effecting the conversion of the then outstanding shares of the Preferred, such
number of its shares of Common Stock as shall from time to time be sufficient to effect the
conversion of all outstanding shares of the Preferred; and if at any time the number of authorized
but unissued shares of Common Stock shall not be sufficient to effect the conversion of all then
outstanding shares of the Preferred, in addition to such other remedies as shall be available to
the holder of such Preferred, the Corporation will take such corporate action as may, in the
opinion of its counsel, be necessary to increase its authorized but unissued shares of Common Stock
to such number of shares as shall be sufficient for such purposes, including without limitation
engaging in best efforts to obtain the requisite Board of Directors and stockholder approval of any
necessary amendment to this Amended and Restated Certificate of Incorporation.



               l. Notices. All notices and other communications required by the provisions of this
Section 3 shall be in writing, shall be effective when given, and shall in any event be deemed to
be given upon receipt or, if earlier, (a) five (5) business days after deposit with the U.S. Postal
Service or other applicable postal service, if delivered by first class mail, postage prepaid, (b)
upon delivery, if delivered by hand, (c) one (1) business day after the business day of deposit
with Federal Express or similar overnight courier, freight prepaid or (d) one (1) business day
after the business day of facsimile transmission (with



          4. Redemption.




               a. Preferred Redemption. Each share of Preferred shall be redeemable on September 27,
2005, to the extent the shares of Preferred have not been redeemed prior to such date and to the
extent requested by any holder thereof.



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               b. Redemption Price. The redemption price per share (the “Redemption Price”)
shall be (i) in the case of the Series A Preferred, (A) the Original Series A Issue Price
multiplied by (B) (x) the Original Series A Issue Price divided by (y) the Series A Conversion
Price, and (ii) in the case of the Series B Preferred, (A) the Original Series B Issue Price
multiplied by (B) (x) the Original Series B Issue Price by (y) the Series B Conversion Price. In
the event insufficient funds are available to redeem all shares of Preferred entitled and electing
to be redeemed pursuant to the preceding paragraph, this Corporation shall effect such redemption
pro rata among the holders of the Preferred based upon the aggregate Redemption Price of the shares
held by such holder for which redemption has been requested.



               c. Notice of Redemption. Before any holder of Preferred shall be entitled to redeem
the same, such holder shall give written notice to this Corporation at its principal corporate
office and to all other holders of Preferred not earlier than September 27, 2005 and not later than
October 27, 2005, of the election to redeem the same and shall state therein the number of shares
of Preferred to be redeemed, the date fixed for such redemption (the “Redemption Date”),
which date shall be not less than 30 nor more than 45 days after the date of such notice, and, in
the event less than all of such holder’s shares of Preferred are to be redeemed, the name or names
in which the certificate or certificates representing the shares not to be redeemed are to be
issued. On or before the each Redemption Date, the related holder of Preferred shall surrender the
certificate or certificates therefor, duly endorsed, at the office of this Corporation or of any
transfer agent for the Preferred. If less than all the shares represented by a share certificate
are to be redeemed, the Company shall issue a new certificate or certificate representing the
shares not redeemed. Upon proper notice and surrender, the redeeming holder shall be entitled to
receive payment of the applicable Redemption Price for such shares in cash, by wire transfer or by
bank-certified check on the Redemption Date.



               d. Status of Redeemed Preferred. From and after the Redemption Date for any shares of
Preferred, all dividends on such shares shall cease to accrue and all rights of holders of such
shares shall cease.



          5. Voting Rights.




               a. General Voting Rights. Each holder of shares of Preferred shall be entitled to a
number of votes equal to the number of shares of Common Stock into which the shares of Preferred
held by such holder could be converted, shall have voting rights and powers equal to the voting
rights and powers of the holders of Common Stock (except otherwise expressly provided herein or as
required by law) and shall be entitled to notice of any stockholder meeting in accordance with the
Bylaws of the Corporation. Fractional votes shall not be permitted and any fractional voting
rights resulting from the above formula (after aggregating all shares into which shares of
Preferred held by each holder could be converted) shall be rounded to the nearest whole number
(with one-half being rounded upward).



               b. Required Class Vote. In addition to any other rights provided by law, for so long
as at least One Million (1,000,000) shares of Preferred shall be outstanding, this Corporation
shall not, without first obtaining the affirmative vote or written consent of each of the



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holders of not less than a majority of the voting power of the then outstanding shares of
Preferred, voting as a single class:




                    (i) purchase, redeem or set aside any sums for the purchase or redemption of, or pay any
dividend or make any distribution on, any shares of capital stock, except for dividends or other
distributions payable on the Common Stock solely in the form of additional shares of Common Stock
and except for the purchase of shares of Common Stock from employees, consultants or service
providers or former employees, consultants or service providers of the Corporation who acquired
such shares directly from the Corporation, if each such purchase is made pursuant to contractual
rights held by the Corporation under agreements entered into with persons in connection with their
employment with or provision of services to the Corporation or pursuant to employee benefit plans;
or



                    (ii) redeem or otherwise acquire any shares of Preferred except as expressly authorized in
Section 4 hereof or pursuant to a purchase offer made pro rata to all holders of the shares of
Preferred on the basis of the aggregate number of outstanding shares of Preferred then held by each
such holder.



               c. Required Series Vote. In addition to any other rights provided by law, for so long
as at least Seven Hundred Fifty Thousand (750,000) shares of a series of Preferred shall be
outstanding, this Corporation shall not, without first obtaining the affirmative vote or written
consent of the holders of not less than a majority of the voting power of the then outstanding
shares of each such series of Preferred, each voting separately:



                    (i) authorize any action (including without limitation the amendment or repeal of any
provision of, or the addition of any provision to, this Corporation’s Amended and Restated
Certificate of Incorporation or Bylaws), if such action would materially alter or change the
preferences, rights, privileges or powers of, or the restrictions provided for the benefit of, any
series of Preferred;



                    (ii) increase or decrease the total number of authorized shares of the Preferred (or any
series thereof);



                    (iii) authorize a liquidation, dissolution, winding up, recapitalization or reorganization of
the Corporation, or a sale, lease or other transfer of all or substantially all of the assets of
the Corporation or a merger or consolidation of the Corporation if, as a result of such merger or
consolidation, the stockholders of the Corporation shall own (by virtue of shares held in the
Corporation) less than fifty percent (50%) of the voting securities of the surviving entity or
shall not be entitled to elect a majority of the Board of Directors of the surviving entity;
provided that this clause shall not apply to mergers for which the sole purpose is to
change the Corporation’s jurisdiction of incorporation or a reorganization pursuant to the
provisions of Section 251 (g) of the Delaware General Corporation Law; or



                    (iv) authorize shares of any series or class of capital stock or any other security
convertible into or exchangeable for shares of any series or class of capital stock which is senior
to or on parity with the Preferred.



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               d. Affected Series Vote. In addition to any other rights provided by law, for so long
as at least Seven Hundred Fifty Thousand (750,000) shares of a series of Preferred shall be
outstanding, this Corporation shall not, without first obtaining the affirmative vote or written
consent of the holders of not less than a majority of the voting power of the then outstanding
shares of each such series of Preferred so affected (the “Affected Series”), each voting
separately, authorize any action (including without limitation the amendment or repeal of any
provision of, or the addition of any provision to, this Corporation’s Amended and Restated
Certificate of Incorporation or Bylaws), if such action would materially alter or change the
preferences, rights, privileges or powers of, or the restrictions provided for the benefit of, any
Affected Series of Preferred.



               e. Board Size. The authorized number of directors of the Corporation’s Board of
Directors shall be determined as set forth in the Bylaws of the Corporation.



               f. Board of Directors Election. For so long as at least One Million (1,000,000)
shares of Series A Preferred remain outstanding, the holders of the Series A Preferred, voting
together as a separate class, shall be entitled to elect two (2) directors of the Corporation, and
the holders of a majority of the Preferred and the Common Stock, voting together as a single class
(with the Preferred voting on an as-converted basis), shall be entitled to elect the remaining
number of directors authorized, if any.



          6. Status of Converted Preferred. In the event any shares of Preferred shall be
converted pursuant to Section 3, the shares so converted shall be canceled and shall not thereafter
be issuable by the Corporation.




          7. Common Stock.




               a. Dividend Rights. Subject to the prior rights of holders of all classes of stock
at the time outstanding having prior rights as to dividends, the holders of the Common Stock shall
be entitled to receive, when, if and as declared by the Board of Directors, out of any assets of
the Corporation legally available therefor, such dividends as may be declared from time to time by
the Board of Directors.



               b. Liquidation Rights. Upon the liquidation, dissolution or winding up of the
Corporation, the assets of the Corporation shall be distributed as provided in Section 2 of Article
IV(B) hereof.



               c. Voting Rights. Each holder of Common Stock shall be entitled to one (1) vote for
each share of Common Stock held, shall be entitled to notice of any stockholder meeting in
accordance with the Bylaws of the Corporation, and shall be entitled to vote upon such matters and
in such manner as is otherwise provided herein or as may be provided by law.



ARTICLE V




     The Corporation is to have perpetual existence.



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ARTICLE VI




     Except as otherwise provided in this Amended and Restated Certificate of Incorporation, the
Board of Directors may make, repeal, alter, amend or rescind any or all of the Bylaws of the
Corporation.



ARTICLE VII




     Elections of directors at an annual or special meeting need not be by written ballot unless a
stockholder demands election by written ballot at the meeting and before voting begins or unless
the Bylaws of the Corporation shall so provide.



ARTICLE VIII




     Meetings of stockholders may be held within or without the State of Delaware, as the Bylaws
may provide. The books of the Corporation may be kept (subject to any provision contained in the
statutes) outside the State of Delaware at such place or places as may be designated from time to
time by the Board of Directors or in the Bylaws of the Corporation.



ARTICLE IX




     Subject to the provisions of Article IV, the Corporation may amend, alter, change or repeal
any provision contained in this Amended and Restated Certificate of Incorporation, in the manner
now or hereafter prescribed by statute. All rights conferred on stockholders herein are granted
subject to this reservation.



ARTICLE X




     To the fullest extent permitted by the General Corporation Law of Delaware, as the same may be
amended from time to time, a director of the Corporation shall not be personally liable to the
Corporation or its stockholders for monetary damages for breach of fiduciary duty as a director.
If the General Corporation Law of Delaware is hereafter amended to authorize, with or without the
approval of a corporation’s stockholders, further reductions in the liability of the corporations
directors for breach of fiduciary duty, then a director of the Corporation shall not be liable for
any such breach to the fullest extent permitted by the General Corporation Law of Delaware as so
amended.



     Any repeal or modification of the foregoing provisions of this Article X, by amendment of this
Article X or by operation of law, shall not adversely affect any right or protection of a director
of the Corporation with respect to any acts or omissions of such director occurring prior to such
repeal or modification.



ARTICLE XI




     To the fullest extent permitted by applicable law, the Corporation is authorized to provide
indemnification of (and advancement of expenses to) directors, officers, employees and other agents
of the Corporation (and any other persons to which Delaware law permits the Corporation to provide



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indemnification), through Bylaw provisions, agreements with any such director, officer,
employee or other agent or other person, vote of stockholders or disinterested directors, or
otherwise, in excess of the indemnification and advancement otherwise permitted by Section 145 of
the Delaware General Corporation Law, subject only to limits created by applicable Delaware law
(statutory or nonstatutory), with respect to actions for breach of duty to a corporation, its
stockholders and others.



     Any repeal or modification of any of the foregoing provisions of this Article XI, by amendment
of this Article XI or by operation of law, shall not adversely affect any right or protection of a
director, officer, employee or other agent or other person existing at the time of, or increase the
liability of any director of the Corporation with respect to any acts or omissions of such
director, officer or agent occurring prior to such repeal or modification.



* * *




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     IN WITNESS WHEREOF, the undersigned has executed this certificate on June 28, 2000.



	 	 	 	 	 
	 	COMSCORE, INC.

 	 
	 	By:  	/s/ Magid Abraham
 	 
	 	 	Magid Abraham, 	 
	 	 	President and Chief Executive Officer 	 
	 




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