Document:

Exchange and Registration Rights Agreement, dated as of  December 21, 2005

 EXHIBIT 4.6 
  

Bio-Rad Laboratories, Inc. 
 6.125%
Senior Subordinated Notes due 2014 
 Exchange and Registration Rights Agreement 
  
 December 21, 2004 
  
 Credit Suisse First Boston LLC, 
 Eleven Madison Avenue 
 New York, New York 10010 
  
 Ladies and Gentlemen: 
  
 Bio-Rad Laboratories, Inc., a Delaware corporation (the “Company”), proposes to issue and sell to the Purchaser (as defined herein) upon the
terms set forth in the Purchase Agreement (as defined herein) $200,000,000 aggregate principal amount of its 6.125% Senior Subordinated Notes due 2014. As an inducement to the Purchaser to enter into the Purchase Agreement and in satisfaction of a
condition to the obligations of the Purchaser thereunder, the Company agrees with the Purchaser for the benefit of holders (as defined herein) from time to time of the Registrable Securities (as defined herein) as follows: 
  
 1. Certain Definitions. For purposes of this Exchange and
Registration Rights Agreement, the following terms shall have the following respective meanings: 
  
 “Base Interest” shall mean the interest that would otherwise accrue on the Securities under the terms thereof and the Indenture, without giving
effect to the provisions of this Exchange and Registration Rights Agreement. 
  
 The term “broker-dealer” shall mean any broker or dealer registered with the Commission under the Exchange Act. 
  
 “Closing Date” shall mean the date on which the Securities are initially issued. 
  
 “Commission” shall mean the United States Securities and Exchange Commission, or any other federal agency at the
time administering the Exchange Act or the Securities Act, whichever is the relevant statute for the particular purpose. 
  
 “Effective Time,” in the case of (i) an Exchange Registration, shall mean the time and date as of which the Commission declares the Exchange
Registration Statement effective or as of which the Exchange Registration Statement otherwise becomes effective and (ii) a Shelf Registration, shall mean the time and date as of which the Commission declares the Shelf Registration Statement
effective or as of which the Shelf Registration Statement otherwise becomes effective. 
  

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 “Electing Holder” shall mean any holder of Registrable Securities that has returned a completed
and signed Notice and Questionnaire to the Company in accordance with Section 3(d)(ii) or 3(d)(iii) hereof. 
  
 “Exchange Act” shall mean the Securities Exchange Act of 1934, or any successor thereto, as the same shall be amended from time to time.

  
 “Exchange Offer” shall have the meaning assigned
thereto in Section 2(a) hereof. 
  
 “Exchange
Registration” shall have the meaning assigned thereto in Section 3(c) hereof. 
  
 “Exchange Registration Statement” shall have the meaning assigned thereto in Section 2(a) hereof. 
  
 “Exchange Securities” shall have the meaning assigned thereto in Section 2(a) hereof. 
  
 “Guarantor” shall have the meaning assigned thereto in the
Indenture. 
  
 The term “holder” shall mean the
Purchaser and other persons who acquire Registrable Securities from time to time (including any successors or assigns), in each case for so long as such person owns any Registrable Securities. 
  
 “Indenture” shall mean the Indenture, dated as of December 21,
2004, between the Company and Wells Fargo Bank, National Association, as Trustee, as the same shall be amended from time to time. 
  
 “Notice and Questionnaire” means a Notice of Registration Statement and Selling Securityholder Questionnaire substantially in the form of
Exhibit A hereto. 
  
 The term “person” shall mean a
corporation, association, partnership, organization, business, individual, government or political subdivision thereof or governmental agency. 
  
 “Purchase Agreement” shall mean the Purchase Agreement, dated as of December 13, 2004, between the Purchaser and the Company relating to the
Securities. 
  
 “Purchaser” shall mean Credit Suisse
First Boston LLC. 
  
 “Registrable Securities” shall
mean the Securities; provided, however, that a Security shall cease to be a Registrable Security when (i) in the circumstances contemplated by Section 2(a) hereof, the Security has been exchanged for an Exchange Security in an Exchange Offer
as contemplated in Section 2(a) hereof (provided that any Exchange Security that, pursuant to the last two sentences of Section 2(a), is included in a prospectus for use in connection with resales by broker-dealers shall be deemed to be a
Registrable Security with respect to Sections 5, 6 and 9 until resale of such Registrable Security has been effected within the 180-day period referred to in Section 2(a)); (ii) in the circumstances contemplated by Section 2(b) hereof, a Shelf
Registration Statement registering such Security under the Securities Act has been declared or 
  

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 becomes effective and such Security has been sold or otherwise transferred by the holder thereof pursuant to and in a
manner contemplated by such effective Shelf Registration Statement; (iii) such Security is sold pursuant to Rule 144 under circumstances in which any legend borne by such Security relating to restrictions on transferability thereof, under the
Securities Act or otherwise, is removed by the Company or pursuant to the Indenture; (iv) such Security is eligible to be sold pursuant to paragraph (k) of Rule 144; or (v) such Security shall cease to be outstanding. 
  
 “Registration Default” shall have the meaning assigned thereto in
Section 2(c) hereof. 
  
 “Registration Expenses” shall
have the meaning assigned thereto in Section 4 hereof. 
  
 “Resale Period” shall have the meaning assigned thereto in Section 2(a) hereof. 
  
 “Restricted Holder” shall mean (i) a holder that is an affiliate of the Company within the meaning of Rule 405, (ii) a holder who acquires
Exchange Securities outside the ordinary course of such holder’s business, (iii) a holder who has arrangements or understandings with any person to participate in the Exchange Offer for the purpose of distributing Exchange Securities and (iv) a
holder that is a broker-dealer, but only with respect to Exchange Securities received by such broker-dealer pursuant to an Exchange Offer in exchange for Registrable Securities acquired by the broker-dealer directly from the Company. 
  
 “Rule 144,” “Rule 405” and “Rule 415” shall
mean, in each case, such rule promulgated under the Securities Act (or any successor provision), as the same shall be amended from time to time. 
  
 “Securities” shall mean, collectively, the 6.125% Senior Subordinated Notes due 2014 of the Company to be issued and sold to the Purchaser, and
securities issued in exchange therefor or in lieu thereof pursuant to the Indenture. Each Security is entitled to the benefit of the guarantee, if any, provided for in the Indenture (the “Guarantee”) and, unless the context otherwise
requires, any reference herein to a “Security,” an “Exchange Security” or a “Registrable Security” shall include a reference to the related Guarantees, if any. 
  
 “Securities Act” shall mean the Securities Act of 1933, or any
successor thereto, as the same shall be amended from time to time. 
  
 “Shelf Registration” shall have the meaning assigned thereto in Section 2(b) hereof. 
  
 “Shelf Registration Statement” shall have the meaning assigned thereto in Section 2(b) hereof. 
  
 “Special Interest” shall have the meaning assigned thereto in
Section 2(c) hereof. 
  
 “Trust Indenture Act” shall
mean the Trust Indenture Act of 1939, or any successor thereto, and the rules, regulations and forms promulgated thereunder, all as the same shall be amended from time to time. 
  

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 Unless the context otherwise requires, any reference herein to a “Section” or
“clause” refers to a Section or clause, as the case may be, of this Exchange and Registration Rights Agreement, and the words “herein,” “hereof” and “hereunder” and other words of similar import refer to this
Exchange and Registration Rights Agreement as a whole and not to any particular Section or other subdivision. 
  
 2. Registration Under the Securities Act. 
  
 (a) Except as set forth in Section 2(b) below, the Company agrees to file under the Securities Act, as soon as practicable, but no later than 180 days
after the Closing Date, a registration statement relating to an offer to exchange (such registration statement, the “Exchange Registration Statement”, and such offer, the “Exchange Offer”) any and all of the Securities for a like
aggregate principal amount of debt securities issued by the Company, which debt securities are substantially identical to the Securities, including without limitation, the Guarantees, if any (and are entitled to the benefits of a trust indenture
which is substantially identical to the Indenture or is the Indenture and which has been qualified under the Trust Indenture Act), except that they have been registered pursuant to an effective registration statement under the Securities Act and do
not contain provisions for the additional interest contemplated in Section 2(c) below (such new debt securities hereinafter called “Exchange Securities”). The Company agrees to use its reasonable best efforts to cause the Exchange
Registration Statement to become effective under the Securities Act as soon as practicable, but no later than 270 days after the Closing Date. The Exchange Offer will be registered under the Securities Act on the appropriate form and will comply
with all applicable tender offer rules and regulations under the Exchange Act. The Company further agrees to commence and complete the Exchange Offer promptly, but no later than 45 days after such registration statement has become effective, hold
the Exchange Offer open for at least 20 business days and exchange Exchange Securities for all Registrable Securities that have been properly tendered and not withdrawn on or prior to the expiration of the Exchange Offer. The Exchange Offer will be
deemed to have been “completed” only if the debt securities and the related Guarantees, if any, received by holders other than Restricted Holders in the Exchange Offer for Registrable Securities are, upon receipt, transferable by each such
holder without restriction under the Securities Act and the Exchange Act and without material restrictions under the blue sky or securities laws of a substantial majority of the States of the United States of America. The Exchange Offer shall be
deemed to have been completed upon the earlier to occur of (i) the Company having exchanged the Exchange Securities for all outstanding Registrable Securities pursuant to the Exchange Offer and (ii) the Company having exchanged, pursuant to the
Exchange Offer, Exchange Securities for all Registrable Securities that have been properly tendered and not withdrawn before the expiration of the Exchange Offer, which shall be on a date that is at least 20 business days following the commencement
of the Exchange Offer. The Company agrees (x) to include in the Exchange Registration Statement a prospectus for use in any resales by any holder of Exchange Securities that is a broker-dealer and (y) to keep such Exchange Registration Statement
effective for a period (the “Resale Period”) beginning when Exchange Securities are first issued in the Exchange Offer and ending upon the earlier of the expiration of the 180th day after the Exchange Offer has been completed or such time
as such broker-dealers no longer own any Registrable Securities. With respect to such Exchange Registration Statement, such holders shall have the benefit of the rights of indemnification and contribution set forth in Sections 6(a), (c), (d) and (e)
hereof. 
  

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 (b) If (i) on or prior to the time the Exchange Offer is completed, existing Commission interpretations
are changed such that the debt securities and the related Guarantees, if any, received by holders other than Restricted Holders in the Exchange Offer for Registrable Securities are not or would not be, upon receipt, transferable by each such holder
without restriction under the Securities Act, (ii) the Exchange Offer has not been completed within 315 days following the Closing Date or (iii) the Exchange Offer is not available to any holder of the Securities, the Company shall, in lieu of (or,
in the case of clause (iii), in addition to) conducting the Exchange Offer contemplated by Section 2(a), file under the Securities Act as soon as practicable, but no later than the later of the thirtieth (30th) day after the time such obligation to
file arises, a “shelf” registration statement providing for the registration of, and the sale on a continuous or delayed basis by the holders of, all of the Registrable Securities, pursuant to Rule 415 or any similar rule that may be
adopted by the Commission (such filing, the “Shelf Registration” and such registration statement, the “Shelf Registration Statement”). The Company agrees to use its reasonable best efforts (x) to cause the Shelf Registration
Statement to become or be declared effective no later than 120 days after such Shelf Registration Statement is filed and to keep such Shelf Registration Statement continuously effective for a period ending on the earlier of the second anniversary of
the Effective Time or such time as there are no longer any Registrable Securities outstanding, provided, however, that no holder shall be entitled to be named as a selling securityholder in the Shelf Registration Statement or to use the
prospectus forming a part thereof for resales of Registrable Securities unless such holder is an Electing Holder, and (y) after the Effective Time of the Shelf Registration Statement, promptly upon the request of any holder of Registrable Securities
that is not then an Electing Holder, to take any action reasonably necessary to enable such holder to use the prospectus forming a part thereof for resales of Registrable Securities, including, without limitation, any action necessary to identify
such holder as a selling securityholder in the Shelf Registration Statement, provided, however, that nothing in this clause (y) shall relieve any such holder of the obligation to return a completed and signed Notice and Questionnaire to the
Company in accordance with Section 3(d)(iii) hereof. The Company further agrees to supplement or make amendments to the Shelf Registration Statement, as and when required by the rules, regulations or instructions applicable to the registration form
used by the Company for such Shelf Registration Statement or by the Securities Act or rules and regulations thereunder for shelf registration, and the Company agrees to furnish to each Electing Holder copies of any such supplement or amendment prior
to its being used or promptly following its filing with the Commission. 
  
 (c) In the event that (i) the Company has not filed the Exchange Registration Statement or Shelf Registration Statement on or before the date on which such registration statement is required to be filed pursuant to Section 2(a) or 2(b),
respectively, or (ii) such Exchange Registration Statement or Shelf Registration Statement has not become effective or been declared effective by the Commission on or before the date on which such registration statement is required to become or be
declared effective pursuant to Section 2(a) or 2(b), respectively, or (iii) the Exchange Offer has not been completed within 45 days after the initial effective date of the Exchange Registration Statement relating to the Exchange Offer (if the
Exchange Offer is then required to be made) or (iv) any Exchange Registration Statement or Shelf Registration Statement required by Section 2(a) or 2(b) hereof is filed and declared effective but shall thereafter either be withdrawn by the Company
or shall become subject to an effective stop order issued pursuant to Section 8(d) of the Securities Act suspending the effectiveness of such registration statement (except as specifically permitted herein) without being succeeded immediately by an
additional registration statement filed and declared effective 
  

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 (each such event referred to in clauses (i) through (iv), a “Registration Default” and each period during which
a Registration Default has occurred and is continuing, a “Registration Default Period”), then, as liquidated damages for such Registration Default, subject to the provisions of Section 9(b), special interest (“Special Interest”),
in addition to the Base Interest, shall accrue at a per annum rate of 0.25% for the first 90 days of the Registration Default Period, at a per annum rate of 0.50% for the second 90 days of the Registration Default Period, at a per annum rate of
0.75% for the third 90 days of the Registration Default Period and at a per annum rate of 1.0% thereafter for the remaining portion of the Registration Default Period. 
  
 (d) The Company shall take and shall cause the Guarantors, if any, to take all actions necessary or advisable to be taken by
it to ensure that the transactions contemplated herein are effected as so contemplated, including all actions necessary or desirable to register the Guarantees, if any, under the registration statement contemplated in Section 2(a) or 2(b) hereof, as
applicable. 
  
 (e) Any reference herein to a registration
statement as of any time shall be deemed to include any document incorporated, or deemed to be incorporated, therein by reference as of such time and any reference herein to any post-effective amendment to a registration statement as of any time
shall be deemed to include any document incorporated, or deemed to be incorporated, therein by reference as of such time. 
  
 3. Registration Procedures. If the Company files a registration statement pursuant to Section 2(a) or Section 2(b), the following provisions shall
apply: 
  
 (a) At or before the Effective Time of the Exchange
Offer or the Shelf Registration, as the case may be, the Company shall qualify the Indenture under the Trust Indenture Act. 
  
 (b) In the event that such qualification would require the appointment of a new trustee under the Indenture, the Company shall appoint a new trustee
thereunder pursuant to the applicable provisions of the Indenture. 
  
 (c) In connection with the Company’s obligations with respect to the registration of Exchange Securities as contemplated by Section 2(a) (the “Exchange Registration”), if applicable, the Company shall, as soon as practicable
(or as otherwise specified): 
  
 (i) prepare and
file with the Commission, as soon as practicable but no later than 180 days after the Closing Date, an Exchange Registration Statement on any form which may be utilized by the Company and which shall permit the Exchange Offer and resales of Exchange
Securities by broker-dealers during the Resale Period to be effected as contemplated by Section 2(a), and use its reasonable best efforts to cause such Exchange Registration Statement to become effective as soon as practicable thereafter, but no
later than 270 days after the Closing Date; 
  
 (ii) as soon as practicable prepare and file with the Commission such amendments and supplements to such Exchange Registration Statement and the prospectus included therein as may be necessary to effect and maintain the effectiveness of
such Exchange Registration Statement for the periods and purposes contemplated in 
  

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 Section 2(a) hereof and as may be required by the applicable rules and regulations of the Commission and
the instructions applicable to the form of such Exchange Registration Statement, and promptly provide each broker-dealer holding Exchange Securities with such number of copies of the prospectus included therein (as then amended or supplemented), in
conformity in all material respects with the requirements of the Securities Act and the Trust Indenture Act and the rules and regulations of the Commission thereunder, as such broker-dealer reasonably may request prior to the expiration of the
Resale Period, for use in connection with resales of Exchange Securities; 
  
 (iii) promptly notify each broker-dealer that has requested or received copies of the prospectus included in such registration statement, and confirm such advice in writing, (A) when such Exchange Registration
Statement or the prospectus included therein or any prospectus amendment or supplement or post-effective amendment has been filed, and, with respect to such Exchange Registration Statement or any post-effective amendment, when the same has become
effective, (B) of any comments by the Commission and by the blue sky or securities commissioner or regulator of any state with respect thereto or any request by the Commission for amendments or supplements to such Exchange Registration Statement or
prospectus or for additional information, (C) of the issuance by the Commission of any stop order suspending the effectiveness of such Exchange Registration Statement or the initiation or threatening of any proceedings for that purpose, (D) if at
any time the representations and warranties of the Company contemplated by Section 5 cease to be true and correct in all material respects, (E) of the receipt by the Company of any notification with respect to the suspension of the qualification of
the Exchange Securities for sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose, or (F) at any time during the Resale Period when a prospectus is required to be delivered under the Securities Act, that such
Exchange Registration Statement, prospectus, prospectus amendment or supplement or post-effective amendment does not conform in all material respects to the applicable requirements of the Securities Act and the Trust Indenture Act and the rules and
regulations of the Commission thereunder or contains an untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances
then existing; 
  
 (iv) in the event that the
Company would be required, pursuant to Section 3(e)(iii)(F) above, to notify any broker-dealers holding Exchange Securities, without delay prepare and furnish to each such holder a reasonable number of copies of a prospectus supplemented or amended
so that, as thereafter delivered to purchasers of such Exchange Securities during the Resale Period, such prospectus shall conform in all material respects to the applicable requirements of the Securities Act and the Trust Indenture Act and the
rules and regulations of the Commission thereunder and shall not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the
circumstances then existing; 
  
 (v) use its
reasonable best efforts to obtain the withdrawal of any order suspending the effectiveness of such Exchange Registration Statement or any post-effective amendment thereto at the earliest practicable date; 
  

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 (vi) use its reasonable best efforts to (A) register or qualify the Exchange Securities
under the securities laws or blue sky laws of such jurisdictions as are contemplated by Section 2(a) no later than the commencement of the Exchange Offer, (B) keep such registrations or qualifications in effect and comply with such laws so as to
permit the continuance of offers, sales and dealings therein in such jurisdictions until the expiration of the Resale Period and (C) take any and all other actions as may be reasonably necessary or advisable to enable each broker-dealer holding
Exchange Securities to consummate the disposition thereof in such jurisdictions; provided, however, that neither the Company nor any Guarantor, if any, shall be required for any such purpose to (1) qualify as a foreign corporation in any
jurisdiction wherein it would not otherwise be required to qualify but for the requirements of this Section 3(c)(vi), (2) consent to general service of process in any such jurisdiction or (3) make any changes to its certificate of incorporation or
by-laws or any agreement between it and its stockholders; 
  
 (vii) use its reasonable best efforts to obtain the consent or approval of each governmental agency or authority, whether federal, state or local, which may be required to effect the Exchange Registration, the
Exchange Offer and the offering and sale of Exchange Securities by broker-dealers during the Resale Period; 
  
 (viii) provide a CUSIP number for all Exchange Securities, not later than the applicable Effective Time; and 
  
 (ix) comply with all applicable rules and regulations of the
Commission, and make generally available to its securityholders as soon as practicable but no later than eighteen months after the effective date of such Exchange Registration Statement, an earning statement of the Company and its subsidiaries
complying with Section 11(a) of the Securities Act (including, at the option of the Company, Rule 158 thereunder). 
  
 (d) In connection with the Company’s obligations with respect to the Shelf Registration, if applicable, the Company shall, as soon as practicable (or
as otherwise specified): 
  
 (i) prepare and file
with the Commission, as soon as practicable but in any case within the time periods specified in Section 2(b), a Shelf Registration Statement on any form which may be utilized by the Company and which shall register all of the Registrable Securities
for resale by the holders thereof in accordance with such method or methods of disposition as may be specified by such of the holders as, from time to time, may be Electing Holders and use its reasonable best efforts to cause such Shelf Registration
Statement to become effective as soon as practicable but in any case within the time periods specified in Section 2(b); 
  
 (ii) not less than 30 calendar days prior to the Effective Time of the Shelf Registration Statement, mail the Notice and Questionnaire to
the holders of Registrable Securities; no holder shall be entitled to be named as a selling securityholder in the Shelf Registration Statement as of the Effective Time, and no holder shall be entitled to use the prospectus forming a part thereof for
resales of Registrable Securities at any time, unless such holder has returned a completed and signed Notice and Questionnaire to the Company by the deadline for response set forth therein; provided, 
  

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 however, holders of Registrable Securities shall have at least 28 calendar days from the date on
which the Notice and Questionnaire is first mailed to such holders to return a completed and signed Notice and Questionnaire to the Company; 
  
 (iii) after the Effective Time of the Shelf Registration Statement, upon the request of any holder of Registrable Securities that is not
then an Electing Holder, promptly send a Notice and Questionnaire to such holder; provided that the Company shall not be required to take any action to name such holder as a selling securityholder in the Shelf Registration Statement or to enable
such holder to use the prospectus forming a part thereof for resales of Registrable Securities until such holder has returned a completed and signed Notice and Questionnaire to the Company; 
  
 (iv) as soon as practicable prepare and file with the
Commission such amendments and supplements to such Shelf Registration Statement and the prospectus included therein as may be necessary to effect and maintain the effectiveness of such Shelf Registration Statement for the period specified in Section
2(b) hereof and as may be required by the applicable rules and regulations of the Commission and the instructions applicable to the form of such Shelf Registration Statement, and furnish to the Electing Holders copies of any such supplement or
amendment simultaneously with or prior to its being used or filed with the Commission; 
  
 (v) comply with the provisions of the Securities Act with respect to the disposition of all of the Registrable Securities covered by such
Shelf Registration Statement in accordance with the intended methods of disposition by the Electing Holders provided for in such Shelf Registration Statement; 
  

(vi) provide (A) the Electing Holders, (B) the underwriters (which term, for purposes of this Exchange and Registration Rights
Agreement, shall include a person deemed to be an underwriter within the meaning of Section 2(a)(11) of the Securities Act), if any, thereof, (C) any sales or placement agent therefor, (D) counsel for any such underwriter or agent and (E) not more
than one counsel for all the Electing Holders the opportunity to participate in the preparation of such Shelf Registration Statement, each prospectus included therein or filed with the Commission and each amendment or supplement thereto; 

 
 (vii) for a reasonable period prior to the filing of such
Shelf Registration Statement, and throughout the period specified in Section 2(b), make available at reasonable times at the Company’s principal place of business or such other reasonable place for inspection by the persons referred to in
Section 3(d)(vi) who shall certify to the Company that they have a current intention to sell the Registrable Securities pursuant to the Shelf Registration such financial and other information and books and records of the Company, and use its
reasonable best efforts to cause the officers, employees, counsel and independent certified public accountants of the Company to respond to such inquiries, as shall be reasonably necessary, in the judgment of the respective counsel referred to in
such Section, to conduct a reasonable investigation within the meaning of Section 11 of the Securities Act; provided, however, that each such party shall be required to maintain in confidence and not to disclose to any other person any
information or records reasonably designated by the Company as being confidential, 
  

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 until such time as (A) such information becomes a matter of public record (whether by virtue of its
inclusion in such registration statement or otherwise other than by disclosure by such party), or (B) such person shall be required so to disclose such information pursuant to a subpoena or order of any court or other governmental agency or body
having jurisdiction over the matter (subject to the requirements of such order, and only after such person shall have given the Company prompt prior written notice of such requirement), or (C) such information is required to be set forth in such
Shelf Registration Statement or the prospectus included therein or in an amendment to such Shelf Registration Statement or an amendment or supplement to such prospectus in order that such Shelf Registration Statement, prospectus, amendment or
supplement, as the case may be, complies with applicable requirements of the federal securities laws and the rules and regulations of the Commission and does not contain an untrue statement of a material fact or omit to state therein a material fact
required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing; 
  
 (viii) promptly notify each of the Electing Holders, any sales or placement agent therefor and any underwriter thereof (which notification
may be made through any managing underwriter that is a representative of such underwriter for such purpose) and confirm such advice in writing, (A) when such Shelf Registration Statement or the prospectus included therein or any prospectus amendment
or supplement or post-effective amendment has been filed, and, with respect to such Shelf Registration Statement or any post-effective amendment, when the same has become effective, (B) of any comments by the Commission and by the blue sky or
securities commissioner or regulator of any state with respect thereto or any request by the Commission for amendments or supplements to such Shelf Registration Statement or prospectus or for additional information, (C) of the issuance by the
Commission of any stop order suspending the effectiveness of such Shelf Registration Statement or the initiation or threatening of any proceedings for that purpose, (D) if at any time the representations and warranties of the Company contemplated by
Section 3(d)(xvii) or Section 5 cease to be true and correct in all material respects, (E) of the receipt by the Company of any notification with respect to the suspension of the qualification of the Registrable Securities for sale in any
jurisdiction or the initiation or threatening of any proceeding for such purpose, or (F) if at any time when a prospectus is required to be delivered under the Securities Act, that such Shelf Registration Statement, prospectus, prospectus amendment
or supplement or post-effective amendment does not conform in all material respects to the applicable requirements of the Securities Act and the Trust Indenture Act and the rules and regulations of the Commission thereunder or contains an untrue
statement of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing; 
  
 (ix) use its reasonable best efforts to obtain the
withdrawal of any order suspending the effectiveness of such registration statement or any post-effective amendment thereto at the earliest practicable date; 
  

(x) if requested by any managing underwriter or underwriters, any placement or sales agent or any Electing Holder, promptly incorporate
in a prospectus supplement or post-effective amendment such information as is required by the applicable rules and regulations of the Commission and as such managing underwriter or 
  

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 underwriters, such agent or such Electing Holder specifies should be included therein relating to the
terms of the sale of such Registrable Securities, including information with respect to the principal amount of Registrable Securities being sold by such Electing Holder or agent or to any underwriters, the name and description of such Electing
Holder, agent or underwriter, the offering price of such Registrable Securities and any discount, commission or other compensation payable in respect thereof, the purchase price being paid therefor by such underwriters and with respect to any other
terms of the offering of the Registrable Securities to be sold by such Electing Holder or agent or to such underwriters; and make all required filings of such prospectus supplement or post-effective amendment promptly after notification of the
matters to be incorporated in such prospectus supplement or post-effective amendment; 
  
 (xi) furnish to each Electing Holder, each placement or sales agent, if any, therefor, each underwriter, if any, thereof and the
respective counsel referred to in Section 3(d)(vi) an executed copy (or, in the case of an Electing Holder, a conformed copy) of such Shelf Registration Statement, each such amendment and supplement thereto (in each case including all exhibits
thereto (in the case of an Electing Holder of Registrable Securities, upon request) and documents incorporated by reference therein) and such number of copies of such Shelf Registration Statement (excluding exhibits thereto and documents
incorporated by reference therein unless specifically so requested by such Electing Holder, agent or underwriter, as the case may be) and of the prospectus included in such Shelf Registration Statement (including each preliminary prospectus and any
summary prospectus), in conformity in all material respects with the applicable requirements of the Securities Act and the Trust Indenture Act and the rules and regulations of the Commission thereunder, and such other documents, as such Electing
Holder, agent, if any, and underwriter, if any, may reasonably request in order to facilitate the offering and disposition of the Registrable Securities owned by such Electing Holder, offered or sold by such agent or underwritten by such underwriter
and to permit such Electing Holder, agent and underwriter to satisfy the prospectus delivery requirements of the Securities Act; and the Company hereby consents to the use of such prospectus (including such preliminary and summary prospectus) and
any amendment or supplement thereto by each such Electing Holder and by any such agent and underwriter, in each case in the form most recently provided to such person by the Company, in connection with the offering and sale of the Registrable
Securities covered by the prospectus (including such preliminary and summary prospectus) or any supplement or amendment thereto; 
  
 (xii) use its reasonable best efforts to (A) register or qualify the Registrable Securities to be included in such Shelf Registration
Statement under such securities laws or blue sky laws of such jurisdictions as any Electing Holder and each placement or sales agent, if any, therefor and underwriter, if any, thereof shall reasonably request, (B) keep such registrations or
qualifications in effect and comply with such laws so as to permit the continuance of offers, sales and dealings therein in such jurisdictions during the period the Shelf Registration is required to remain effective under Section 2(b) above and for
so long as may be necessary to enable any such Electing Holder, agent or underwriter to complete its distribution of Securities pursuant to such Shelf Registration Statement and (C) take any and all other actions as may be reasonably necessary or
advisable to enable each such Electing Holder, agent, if any, and underwriter, if any, to 
  

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 consummate the disposition in such jurisdictions of such Registrable Securities; provided,
however, that neither the Company nor any Guarantor, if any, shall be required for any such purpose to (1) qualify as a foreign corporation in any jurisdiction wherein it would not otherwise be required to qualify but for the requirements of
this Section 3(d)(xii), (2) consent to general service of process in any such jurisdiction or (3) make any changes to its certificate of incorporation or by-laws or any agreement between it and its stockholders; 
  
 (xiii) use its reasonable best efforts to obtain the consent
or approval of each governmental agency or authority, whether federal, state or local, which may be required to effect the Shelf Registration or the offering or sale in connection therewith or to enable the selling holder or holders to offer, or to
consummate the disposition of, their Registrable Securities; 
  
 (xiv) unless any Registrable Securities shall be in book-entry only form, cooperate with the Electing Holders and the managing underwriters, if any, to facilitate the timely preparation and delivery of certificates
representing Registrable Securities to be sold, which certificates, if so required by any securities exchange upon which any Registrable Securities are listed, shall be penned, lithographed or engraved, or produced by any combination of such
methods, on steel engraved borders, and which certificates shall not bear any restrictive legends; and, in the case of an underwritten offering, enable such Registrable Securities to be in such denominations and registered in such names as the
managing underwriters may request at least two business days prior to any sale of the Registrable Securities; 
  
 (xv) provide a CUSIP number for all Registrable Securities, not later than the applicable Effective Time; 
  
 (xvi) enter into one or more underwriting agreements,
engagement letters, agency agreements, “best efforts” underwriting agreements or similar agreements, as appropriate, including customary provisions relating to indemnification and contribution, and take such other actions in connection
therewith as any Electing Holders aggregating at least 20% in aggregate principal amount of the Registrable Securities at the time outstanding shall reasonably request in order to expedite or facilitate the disposition of such Registrable
Securities; 
  
 (xvii) if an agreement of the
type referred to in Section 3(d)(xvi) hereof is entered into or if any portion of the offering contemplated by the Shelf Registration is an underwritten offering or is made through a placement or sales agent or any other entity, (A) make such
representations and warranties to the Electing Holders and the placement or sales agent, if any, therefor and the underwriters, if any, thereof in form, substance and scope as are customarily made in connection with an offering of debt securities
pursuant to any appropriate agreement or to a registration statement filed on the form applicable to the Shelf Registration; (B) use its reasonable best efforts to obtain an opinion of counsel to the Company (which counsel may be an employee of the
Company) in customary form and covering such matters, of the type customarily covered by such an opinion, as the managing underwriters, if any, or as any Electing Holders of at least 20% in aggregate principal amount of the Registrable Securities at
the time outstanding may 
  

 12 

 reasonably request, addressed to such Electing Holder or Electing Holders and the placement or sales
agent, if any, therefor and the underwriters, if any, thereof and dated the effective date of such Shelf Registration Statement (and if such Shelf Registration Statement contemplates an underwritten offering of a part or all of the Registrable
Securities, dated the date of the closing under the underwriting agreement relating thereto) (it being agreed that the matters to be covered by such opinion shall include the due incorporation and good standing of the Company and its subsidiaries;
the qualification of the Company and its subsidiaries to transact business as foreign corporations; the due authorization, execution and delivery of the relevant agreement of the type referred to in Section 3(d)(xvi) hereof; the due authorization,
execution, authentication and issuance, and the validity and enforceability, of the Securities; the absence of material legal or governmental proceedings involving the Company; the absence of a breach by the Company or any of its subsidiaries of, or
a default under, material agreements binding upon the Company or any subsidiary of the Company; the absence of governmental approvals required to be obtained in connection with the Shelf Registration, the offering and sale of the Registrable
Securities, this Exchange and Registration Rights Agreement or any agreement of the type referred to in Section 3(d)(xvi) hereof, except such approvals as may be required under state securities or blue sky laws; the material compliance as to form of
such Shelf Registration Statement and any documents incorporated by reference therein and of the Indenture with the requirements of the Securities Act and the Trust Indenture Act and the rules and regulations of the Commission thereunder,
respectively; and, as of the date of the opinion and of the Shelf Registration Statement or most recent post-effective amendment thereto, as the case may be, the absence from such Shelf Registration Statement and the prospectus included therein, as
then amended or supplemented, and from the documents incorporated by reference therein (in each case other than the financial statements and other financial information contained therein) of an untrue statement of a material fact or the omission to
state therein a material fact necessary to make the statements therein not misleading (in the case of such documents, in the light of the circumstances existing at the time that such documents were filed with the Commission under the Exchange Act));
(C) use its reasonable best efforts to obtain a “cold comfort” letter or letters from the independent certified public accountants of the Company addressed to the selling Electing Holders, the placement or sales agent, if any, therefor or
the underwriters, if any, thereof, dated (i) the effective date of such Shelf Registration Statement and (ii) the effective date of any prospectus supplement to the prospectus included in such Shelf Registration Statement or post-effective amendment
to such Shelf Registration Statement which includes unaudited or audited financial statements as of a date or for a period subsequent to that of the latest such statements included in such prospectus (and, if such Shelf Registration Statement
contemplates an underwritten offering pursuant to any prospectus supplement to the prospectus included in such Shelf Registration Statement or post-effective amendment to such Shelf Registration Statement which includes unaudited or audited
financial statements as of a date or for a period subsequent to that of the latest such statements included in such prospectus, dated the date of the closing under the underwriting agreement relating thereto), such letter or letters to be in
customary form and covering such matters of the type customarily covered by letters of such type; (D) deliver such documents and certificates, including officers’ certificates, as may be reasonably requested by any Electing Holders of at least
20% in aggregate principal amount of the Registrable Securities at the time outstanding or the placement or sales 
  

 13 

 agent, if any, therefor and the managing underwriters, if any, thereof to evidence the accuracy of the
representations and warranties made pursuant to clause (A) above or those contained in Section 5(a) hereof and the compliance with or satisfaction of any agreements or conditions contained in the underwriting agreement or other agreement entered
into by the Company or the Guarantors, if any; and (E) undertake such obligations relating to expense reimbursement, indemnification and contribution as are provided in Section 6 hereof; 
  
 (xviii) notify in writing each holder of Registrable Securities of any proposal by the Company to amend or
waive any provision of this Exchange and Registration Rights Agreement pursuant to Section 9(h) hereof and of any amendment or waiver effected pursuant thereto, each of which notices shall contain the text of the amendment or waiver proposed or
effected, as the case may be; 
  
 (xix) in the
event that any broker-dealer registered under the Exchange Act shall underwrite any Registrable Securities or participate as a member of an underwriting syndicate or selling group or “assist in the distribution” (within the meaning of the
Conduct Rules (the “Conduct Rules”) of the National Association of Securities Dealers, Inc. (“NASD”) or any successor thereto, as amended from time to time) thereof, whether as a holder of such Registrable Securities or as an
underwriter, a placement or sales agent or a broker or dealer in respect thereof, or otherwise, assist such broker-dealer in complying with the requirements of such Conduct Rules, including by (A) if such Conduct Rules shall so require, engaging a
“qualified independent underwriter” (as defined in such Conduct Rules) to participate in the preparation of the Shelf Registration Statement relating to such Registrable Securities, to exercise usual standards of due diligence in respect
thereto and, if any portion of the offering contemplated by such Shelf Registration Statement is an underwritten offering or is made through a placement or sales agent, to recommend the yield of such Registrable Securities, (B) indemnifying any such
qualified independent underwriter to the extent of the indemnification of underwriters provided in Section 6 hereof (or to such other customary extent as may be requested by such underwriter), and (C) providing such information to such broker-dealer
as may be required in order for such broker-dealer to comply with the requirements of the Conduct Rules; and 
  
 (xx) comply with all applicable rules and regulations of the Commission, and make generally available to its securityholders as soon as
practicable but in any event not later than eighteen months after the effective date of such Shelf Registration Statement, an earning statement of the Company and its subsidiaries complying with Section 11(a) of the Securities Act (including, at the
option of the Company, Rule 158 thereunder). 
  
 (e) In the event
that the Company would be required, pursuant to Section 3(d)(viii)(F) above, to notify the Electing Holders, the placement or sales agent, if any, therefor and the managing underwriters, if any, thereof, the Company shall without delay prepare and
furnish to each of the Electing Holders, to each placement or sales agent, if any, and to each such underwriter, if any, a reasonable number of copies of a prospectus supplemented or amended so that, as thereafter delivered to purchasers of
Registrable Securities, such prospectus shall conform in all material respects to the applicable requirements of the Securities Act and the Trust 
  

 14 

 Indenture Act and the rules and regulations of the Commission thereunder and shall not contain an untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing. Each Electing Holder agrees that upon receipt of any notice from the
Company pursuant to Section 3(d)(viii)(F) hereof, such Electing Holder shall forthwith discontinue the disposition of Registrable Securities pursuant to the Shelf Registration Statement applicable to such Registrable Securities until such Electing
Holder shall have received copies of such amended or supplemented prospectus, and if so directed by the Company, such Electing Holder shall deliver to the Company (at the Company’s expense) all copies, other than permanent file copies, then in
such Electing Holder’s possession of the prospectus covering such Registrable Securities at the time of receipt of such notice. 
  
 (f) In the event of a Shelf Registration, in addition to the information required to be provided by each Electing Holder in its Notice and Questionnaire,
the Company may require such Electing Holder to furnish to the Company such additional information regarding such Electing Holder and such Electing Holder’s intended method of distribution of Registrable Securities as may be required in order
to comply with the Securities Act. Each such Electing Holder agrees to notify the Company as promptly as practicable of any inaccuracy or change in information previously furnished by such Electing Holder to the Company or of the occurrence of any
event in either case as a result of which any prospectus relating to such Shelf Registration contains or would contain an untrue statement of a material fact regarding such Electing Holder or such Electing Holder’s intended method of
disposition of such Registrable Securities or omits to state any material fact regarding such Electing Holder or such Electing Holder’s intended method of disposition of such Registrable Securities required to be stated therein or necessary to
make the statements therein not misleading in light of the circumstances then existing, and promptly to furnish to the Company any additional information required to correct and update any previously furnished information or required so that such
prospectus shall not contain, with respect to such Electing Holder or the disposition of such Registrable Securities, an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the
statements therein not misleading in light of the circumstances then existing. 
  
 (g) Until the expiration of two years after the Closing Date, the Company will not, and will not permit any of its “affiliates” (as defined in Rule 144) to, resell any of the Securities that have been
reacquired by any of them except pursuant to an effective registration statement under the Securities Act. 
  
 4. Registration Expenses. The Company agrees to bear and to pay or cause to be paid promptly all expenses incident to the Company’s
performance of or compliance with this Exchange and Registration Rights Agreement, including (a) all Commission and any NASD registration, filing and review fees and expenses including fees and disbursements of counsel for the placement or sales
agent or underwriters in connection with such registration, filing and review, (b) all fees and expenses in connection with the qualification of the Securities for offering and sale under the state securities and blue sky laws referred to in Section
3(d)(xii) hereof and determination of their eligibility for investment under the laws of such jurisdictions as any managing underwriters or the Electing Holders may designate, including any fees and disbursements of not more than one counsel for the
Electing Holders or underwriters for each such jurisdiction in connection with such qualification and determination, (c) all expenses 
  

 15 

 relating to the preparation, printing, production, distribution and reproduction of each registration statement required
to be filed hereunder, each prospectus included therein or prepared for distribution pursuant hereto, each amendment or supplement to the foregoing, the expenses of preparing the Securities for delivery and the expenses of printing or producing any
underwriting agreements, agreements among underwriters, selling agreements and blue sky or legal investment memoranda and all other documents in connection with the offering, sale or delivery of Securities to be disposed of (including certificates
representing the Securities), (d) messenger, telephone and delivery expenses relating to the offering, sale or delivery of Securities and the preparation of documents referred in clause (c) above, (e) fees and expenses of the Trustee under the
Indenture, any agent of the Trustee and any counsel for the Trustee and of any collateral agent or custodian, (f) internal expenses (including all salaries and expenses of the Company’s officers and employees performing legal or accounting
duties), (g) fees, disbursements and expenses of counsel and independent certified public accountants of the Company (including the expenses of any opinions or “cold comfort” letters required by or incident to such performance and
compliance), (h) fees, disbursements and expenses of any “qualified independent underwriter” engaged pursuant to Section 3(d)(xix) hereof, (i) fees, disbursements and expenses of one counsel for the Electing Holders retained in connection
with a Shelf Registration, as selected by the Electing Holders of at least a majority in aggregate principal amount of the Registrable Securities held by Electing Holders (which counsel shall be reasonably satisfactory to the Company), (j) any fees
charged by securities rating services for rating the Securities, and (k) fees, expenses and disbursements of any other persons, including special experts, retained by the Company in connection with such registration (collectively, the
“Registration Expenses”). To the extent that any Registration Expenses are incurred, assumed or paid by any holder of Registrable Securities or any placement or sales agent therefor or underwriter thereof, the Company shall reimburse such
person for the full amount of the Registration Expenses so incurred, assumed or paid promptly after receipt of a request therefor. Notwithstanding the foregoing, the holders of the Registrable Securities being registered shall pay all agency fees
and commissions and underwriting discounts and commissions attributable to the sale of such Registrable Securities and the fees and disbursements of any counsel or other advisors or experts retained by such holders (severally or jointly), other than
the counsel and experts specifically referred to above. 
  
 5.
Representations and Warranties. The Company represents and warrants to, and agrees with, the Purchaser and each of the holders from time to time of Registrable Securities that: 
  
 (a) Each registration statement covering Registrable Securities and each prospectus (including any preliminary or summary
prospectus) contained therein or furnished pursuant to Section 3(d) or Section 3(c) hereof and any further amendments or supplements to any such registration statement or prospectus, when it becomes effective or is filed with the Commission, as the
case may be, and, in the case of an underwritten offering of Registrable Securities, at the time of the closing under the underwriting agreement relating thereto, will conform in all material respects to the requirements of the Securities Act and
the Trust Indenture Act and the rules and regulations of the Commission thereunder and will not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein
not misleading; and at all times subsequent to the Effective Time when a prospectus would be required to be delivered under the Securities Act, other than from (i) such time as a notice has been given to holders of Registrable Securities 

 

 16 

 pursuant to Section 3(d)(viii)(F) or Section 3(c)(iii)(F) hereof until (ii) such time as the Company furnishes an amended
or supplemented prospectus pursuant to Section 3(e) or Section 3(c)(iv) hereof, each such registration statement, and each prospectus (including any summary prospectus) contained therein or furnished pursuant to Section 3(d) or Section 3(c) hereof,
as then amended or supplemented, will conform in all material respects to the requirements of the Securities Act and the Trust Indenture Act and the rules and regulations of the Commission thereunder and will not contain an untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing; provided, however, that this representation and warranty
shall not apply to any statements or omissions made in reliance upon and in conformity with information furnished in writing to the Company by a holder of Registrable Securities expressly for use therein. 
  
 (b) Any documents incorporated by reference in any prospectus referred to in
Section 5(a) hereof, when they become or became effective or are or were filed with the Commission, as the case may be, will conform or conformed in all material respects to the requirements of the Securities Act or the Exchange Act, as applicable,
and none of such documents will contain or contained an untrue statement of a material fact or will omit or omitted to state a material fact required to be stated therein or necessary to make the statements therein not misleading; provided,
however, that this representation and warranty shall not apply to any statements or omissions made in reliance upon and in conformity with information furnished in writing to the Company by a holder of Registrable Securities expressly for use
therein. 
  
 (c) The compliance by the Company with all of the
provisions of this Exchange and Registration Rights Agreement and the consummation of the transactions herein contemplated will not (i) conflict with or result in a breach of any of the terms or provisions of, or constitute a default under, any
indenture, mortgage, deed of trust, loan agreement or other agreement or instrument to which the Company or any subsidiary of the Company is a party or by which the Company or any subsidiary of the Company is bound or to which any of the property or
assets of the Company or any subsidiary of the Company is subject, (ii) result in any violation of the provisions of the certificate of incorporation, as amended, or the by-laws of the Company or (iii) result in any violation of the provisions of
any statute or any order, rule or regulation of any court or governmental agency or body having jurisdiction over the Company or any subsidiary of the Company or any of their properties, except, in the case of clauses (i) and (iii) only, for such
conflicts, breaches, violations or defaults as would not, individually or in the aggregate, result in a material adverse effect on the general affairs, management, financial position, stockholders’ equity or results of operations of the Company
and its subsidiaries, taken as a whole; and no consent, approval, authorization, order, registration or qualification of or with any such court or governmental agency or body is required for the consummation by the Company or any Guarantor, if any,
of the transactions contemplated by this Exchange and Registration Rights Agreement, except the registration under the Securities Act of the Securities, qualification of the Indenture under the Trust Indenture Act and such consents, approvals,
authorizations, registrations or qualifications as may be required under State securities or blue sky laws in connection with the offering and distribution of the Securities. 
  
 (d) This Exchange and Registration Rights Agreement has been duly authorized, executed and delivered by the Company.

  

 17 

 6. Indemnification. 
  
 (a) Indemnification by the Company. The Company will indemnify and hold harmless each of the holders of Registrable
Securities included in an Exchange Registration Statement, each of the Electing Holders of Registrable Securities included in a Shelf Registration Statement and each person who participates as a placement or sales agent or as an underwriter in any
offering or sale of such Registrable Securities against any losses, claims, damages or liabilities, joint or several, to which such holder, agent or underwriter may become subject under the Securities Act or otherwise, insofar as such losses,
claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in any Exchange Registration Statement or Shelf Registration Statement, as the
case may be, under which such Registrable Securities were registered under the Securities Act, or any preliminary, final or summary prospectus contained therein or furnished by the Company to any such holder, Electing Holder, agent or underwriter,
or any amendment or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse
such holder, such Electing Holder, such agent and such underwriter for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such action or claim as such expenses are incurred; provided, however,
that the Company shall not be liable to any such person in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made
in such registration statement, or preliminary, final or summary prospectus, or amendment or supplement thereto, in reliance upon and in conformity with written information furnished to the Company by such person expressly for use therein; and
provided further, that the Company shall not be liable to any such holder, Electing Holder, agent or underwriter in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon any such untrue statement
or alleged untrue statement or omission or alleged omission made in any preliminary prospectus relating to a registration statement if copies in sufficient quantity of the final prospectus relating to such registration statement were timely
delivered to such holder, Electing Holder, agent or underwriter, as the case may be, pursuant to Section 3 of this Exchange and Registration Rights Agreement and a copy of such final prospectus (as then amended or supplemented, if the Company shall
have furnished any amendments or supplements thereto and timely delivered in sufficient quantity each such supplement and amendment to such holder, Electing Holder, agent or underwriter) was not sent or given by or on behalf of such holder, Electing
Holder, agent or underwriter to the person asserting such loss, claim, damage or liability and if the final prospectus (as so amended or supplemented) would have cured the defect giving rise to such loss, claim, damage or liability, if delivery of
such final prospectus was required pursuant to the Securities Act. 
  
 (b) Indemnification by the Holders and any Agents and Underwriters. The Company may require, as a condition to including any Registrable Securities in any registration statement filed pursuant to Section 2(b) hereof and to entering into any
underwriting agreement with respect thereto, that the Company shall have received an undertaking reasonably satisfactory to it from the Electing Holder of such Registrable Securities and from each underwriter named in any such underwriting
agreement, severally and not jointly, to (i) indemnify and hold harmless the Company, and all other holders of Registrable Securities, against any losses, claims, damages or liabilities to which the Company or such other holders of 
  

 18 

 Registrable Securities may become subject, under the Securities Act or otherwise, insofar as such losses, claims, damages
or liabilities (or actions in respect thereof) arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in such registration statement, or any preliminary, final or summary prospectus contained
therein or furnished by the Company to any such Electing Holder, agent or underwriter, or any amendment or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in
conformity with written information furnished to the Company by such Electing Holder or underwriter expressly for use therein, and (ii) reimburse the Company for any legal or other expenses reasonably incurred by the Company in connection with
investigating or defending any such action or claim as such expenses are incurred; provided, however, that no such Electing Holder shall be required to undertake liability to any person under this Section 6(b) for any amounts in excess of the dollar
amount of the proceeds to be received by such Electing Holder from the sale of such Electing Holder’s Registrable Securities pursuant to such registration. 
  

(c) Notices of Claims, Etc. Promptly after receipt by an indemnified party under subsection (a) or (b) above of written notice of the commencement of
any action, such indemnified party shall, if a claim in respect thereof is to be made against an indemnifying party pursuant to the indemnification provisions of or contemplated by this Section 6, notify such indemnifying party in writing of the
commencement of such action; but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to any indemnified party otherwise than under the indemnification provisions of or contemplated by Section
6(a) or 6(b) hereof. In case any such action shall be brought against any indemnified party and it shall notify an indemnifying party of the commencement thereof, such indemnifying party shall be entitled to participate therein and, to the extent
that it shall wish, jointly with any other indemnifying party similarly notified, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except with the consent of the indemnified party, be
counsel to the indemnifying party), and, after notice from the indemnifying party to such indemnified party of its election so to assume the defense thereof, such indemnifying party shall not be liable to such indemnified party for any legal
expenses of other counsel or any other expenses, in each case subsequently incurred by such indemnified party, in connection with the defense thereof other than reasonable costs of investigation. No indemnifying party shall, without the written
consent of the indemnified party, effect the settlement or compromise of, or consent to the entry of any judgment with respect to, any pending or threatened action or claim in respect of which indemnification or contribution may be sought hereunder
(whether or not the indemnified party is an actual or potential party to such action or claim) unless such settlement, compromise or judgment (i) includes an unconditional release of the indemnified party from all liability arising out of such
action or claim and (ii) does not include a statement as to or an admission of fault, culpability or a failure to act by or on behalf of any indemnified party. 
  

(d) Contribution. If for any reason the indemnification provisions contemplated by Section 6(a) or Section 6(b) are unavailable to or insufficient to
hold harmless an indemnified party in respect of any losses, claims, damages or liabilities (or actions in respect thereof) referred to therein, then each indemnifying party shall contribute to the amount paid or payable by such indemnified party as
a result of such losses, claims, damages or liabilities (or 
  

 19 

 actions in respect thereof) in such proportion as is appropriate to reflect the relative fault of the indemnifying party
and the indemnified party in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities (or actions in respect thereof), as well as any other relevant equitable considerations. The relative fault of
such indemnifying party and indemnified party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact relates to information
supplied by such indemnifying party or by such indemnified party, and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The parties hereto agree that it would not be
just and equitable if contributions pursuant to this Section 6(d) were determined by pro rata allocation (even if the holders or any agents or underwriters or all of them were treated as one entity for such purpose) or by any other method of
allocation which does not take account of the equitable considerations referred to in this Section 6(d). The amount paid or payable by an indemnified party as a result of the losses, claims, damages, or liabilities (or actions in respect thereof)
referred to above shall be deemed to include any legal or other fees or expenses reasonably incurred by such indemnified party in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this Section
6(d), no holder shall be required to contribute any amount in excess of the amount by which the dollar amount of the proceeds received by such holder from the sale of any Registrable Securities (after deducting any fees, discounts and commissions
applicable thereto) exceeds the amount of any damages which such holder has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission, and no underwriter shall be required to contribute any
amount in excess of the amount by which the total price at which the Registrable Securities underwritten by it and distributed to the public were offered to the public exceeds the amount of any damages which such underwriter has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from
any person who was not guilty of such fraudulent misrepresentation. The holders’ and any underwriters’ obligations in this Section 6(d) to contribute shall be several in proportion to the principal amount of Registrable Securities
registered or underwritten, as the case may be, by them and not joint. 
  
 (e) The obligations of the Company under this Section 6 shall be in addition to any liability which the Company may otherwise have and shall extend, upon the same terms and conditions, to each officer, director and partner of each holder,
agent and underwriter and each person, if any, who controls any holder, agent or underwriter within the meaning of the Securities Act; and the obligations of the holders and any agents or underwriters contemplated by this Section 6 shall be in
addition to any liability which the respective holder, agent or underwriter may otherwise have and shall extend, upon the same terms and conditions, to each officer and director of the Company and to each person, if any, who controls the Company
within the meaning of the Securities Act. 
  
 7. Underwritten
Offerings. 
  
 (a) Selection of Underwriters. If any
of the Registrable Securities covered by the Shelf Registration are to be sold pursuant to an underwritten offering, the managing underwriter or underwriters thereof shall be designated by Electing Holders holding at least a majority in aggregate
principal amount of the Registrable Securities to be included in such offering, provided that such designated managing underwriter or underwriters is or are reasonably acceptable to the Company. 
  

 20 

 (b) Participation by Holders. Each holder of Registrable Securities hereby agrees with each other
such holder that no such holder may participate in any underwritten offering hereunder unless such holder (i) agrees to sell such holder’s Registrable Securities on the basis provided in any underwriting arrangements approved by the persons
entitled hereunder to approve such arrangements and (ii) completes and executes all questionnaires, powers of attorney, indemnities, underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements.

  
 8. Rule 144. 
  
 The Company covenants to the holders of Registrable Securities that to the
extent it shall be required to do so under the Exchange Act, the Company shall timely file the reports required to be filed by it under the Exchange Act or the Securities Act (including the reports under Section 13 and 15(d) of the Exchange Act
referred to in subparagraph (c)(1) of Rule 144 adopted by the Commission under the Securities Act) and the rules and regulations adopted by the Commission thereunder, and shall take such further action as any holder of Registrable Securities may
reasonably request, all to the extent required from time to time to enable such holder to sell Registrable Securities without registration under the Securities Act within the limitations of the exemption provided by Rule 144 under the Securities
Act, as such Rule may be amended from time to time, or any similar or successor rule or regulation hereafter adopted by the Commission. Upon the request of any holder of Registrable Securities in connection with that holder’s sale pursuant to
Rule 144, the Company shall deliver to such holder a written statement as to whether it has complied with such requirements. 
  
 9. Miscellaneous. 
  
 (a) No Inconsistent Agreements. The Company represents, warrants, covenants and agrees that it has not granted, and shall not grant, registration
rights with respect to Registrable Securities or any other securities which would be inconsistent with the terms contained in this Exchange and Registration Rights Agreement. 
  
 (b) Specific Performance. The parties hereto acknowledge that there would be no adequate remedy at law if the Company
fails to perform any of its obligations hereunder and that the Purchaser and the holders from time to time of the Registrable Securities may be irreparably harmed by any such failure, and accordingly agree that the Purchaser and such holders, in
addition to any other remedy to which they may be entitled at law or in equity, shall be entitled to compel specific performance of the obligations of the Company under this Exchange and Registration Rights Agreement in accordance with the terms and
conditions of this Exchange and Registration Rights Agreement, in any court of the United States or any state thereof having jurisdiction. 
  
 (c) Notices. All notices, requests, claims, demands, waivers and other communications hereunder shall be in writing and shall be deemed to have
been duly given when delivered by hand, if delivered personally or by courier, or three days after being deposited in the mail (registered or certified mail, postage prepaid, return receipt requested) as follows: If to the Company, to it at 1000
Alfred Nobel Drive, Hercules, CA 94547, Attention, General Counsel, 
  

 21 

 and if to a holder, to the address of such holder set forth in the security register or other records of the Company, or
to such other address as the Company or any such holder may have furnished to the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt. 
  
 (d) Parties in Interest. All the terms and provisions of this Exchange
and Registration Rights Agreement shall be binding upon, shall inure to the benefit of and shall be enforceable by the parties hereto and the holders from time to time of the Registrable Securities and the respective successors and assigns of the
parties hereto and such holders. In the event that any transferee of any holder of Registrable Securities shall acquire Registrable Securities, in any manner, whether by gift, bequest, purchase, operation of law or otherwise, such transferee shall,
without any further writing or action of any kind, be deemed a beneficiary hereof for all purposes and such Registrable Securities shall be held subject to all of the terms of this Exchange and Registration Rights Agreement, and by taking and
holding such Registrable Securities such transferee shall be entitled to receive the benefits of, and be conclusively deemed to have agreed to be bound by all of the applicable terms and provisions of this Exchange and Registration Rights Agreement.
If the Company shall so request, any such successor, assign or transferee shall agree in writing to acquire and hold the Registrable Securities subject to all of the applicable terms hereof. 
  
 (e) Survival. The respective indemnities, agreements, representations,
warranties and each other provision set forth in this Exchange and Registration Rights Agreement or made pursuant hereto shall remain in full force and effect regardless of any investigation (or statement as to the results thereof) made by or on
behalf of any holder of Registrable Securities, any director, officer or partner of such holder, any agent or underwriter or any director, officer or partner thereof, or any controlling person of any of the foregoing, and shall survive delivery of
and payment for the Registrable Securities pursuant to the Purchase Agreement and the transfer and registration of Registrable Securities by such holder and the consummation of an Exchange Offer. 
  
 (f) Governing Law. This Exchange and Registration Rights Agreement
shall be governed by and construed in accordance with the laws of the State of New York. Any right to trial by jury with respect to action or proceeding arising in connection with or as a result of either your engagement or any matter referred to in
this Agreement is hereby waived by the parties hereto. 
  
 (g)
Headings. The descriptive headings of the several Sections and paragraphs of this Exchange and Registration Rights Agreement are inserted for convenience only, do not constitute a part of this Exchange and Registration Rights Agreement and
shall not affect in any way the meaning or interpretation of this Exchange and Registration Rights Agreement. 
  
 (h) Entire Agreement; Amendments. This Exchange and Registration Rights Agreement and the other writings referred to herein (including the
Indenture and the form of Securities) or delivered pursuant hereto which form a part hereof contain the entire understanding of the parties with respect to its subject matter. This Exchange and Registration Rights Agreement supersedes all prior
agreements and understandings between the parties with respect to its subject matter. This Exchange and Registration Rights Agreement may be 
  

 22 

 amended and the observance of any term of this Exchange and Registration Rights Agreement may be waived (either generally
or in a particular instance and either retroactively or prospectively) only by a written instrument duly executed by the Company and the holders of at least a majority in aggregate principal amount of the Registrable Securities at the time
outstanding. Each holder of any Registrable Securities at the time or thereafter outstanding shall be bound by any amendment or waiver effected pursuant to this Section 9(h), whether or not any notice, writing or marking indicating such amendment or
waiver appears on such Registrable Securities or is delivered to such holder. 
  
 (i) Inspection. For so long as this Exchange and Registration Rights Agreement shall be in effect, this Exchange and Registration Rights Agreement and a complete list of the names and addresses of all the
holders of Registrable Securities shall be made available for inspection and copying on any business day by any holder of Registrable Securities for proper purposes only (which shall include any purpose related to the rights of the holders of
Registrable Securities under the Securities, the Indenture and this Exchange and Registration Rights Agreement) at the offices of the Company at the address thereof set forth in Section 9(c) above and at the office of the Trustee under the
Indenture. 
  
 (j) Counterparts. This agreement may be
executed by the parties in counterparts, each of which shall be deemed to be an original, but all such respective counterparts shall together constitute one and the same instrument. 
  
 (k) The Company is authorized, subject to applicable law, to disclose any and all aspects of this potential transaction that
are necessary to support any U.S. federal income tax benefits expected to be claimed with respect to such transaction, and all materials of any kind (including tax opinions and other tax analyses) related to those benefits, without the holders
imposing any limitation of any kind. 
  
 (l) All payments under
this Exchange and Registration Rights Agreement shall be made in U.S. dollars. 
  
 If the foregoing is in accordance with your understanding, please sign and return to us fourteen counterparts hereof, and upon the acceptance hereof by you, on behalf of the Purchaser, this letter and such acceptance
hereof shall constitute a binding agreement between the Purchaser and the Company. 
  

			
	Very truly yours,
	
	BIO-RAD LABORATORIES, INC.
		
	By:	 	 /s/ Christine A. Tsingos

	Name:	 	Christine A. Tsingos
	Title:	 	Vice President and
	 	 	Chief Financial Officer

  

 23 

			
	Accepted as of the date hereof:
	
	Credit Suisse First Boston LLC
		
	By:	 	 /s/ Jennifer Jarrett

	Name:	 	Jennifer Jarrett
	Title:	 	Vice President

  

 24 

 EXHIBIT A 
  

Bio-Rad Laboratories, Inc. 
  
 INSTRUCTION TO DTC PARTICIPANTS 
  

  
 (Date of Mailing) 
  
 URGENT - IMMEDIATE ATTENTION REQUESTED 
  
 DEADLINE FOR RESPONSE: [DATE]/a/ 
  

  
 The Depository Trust Company (“DTC”) has identified you as a DTC Participant through which beneficial interests in the Bio-Rad Laboratories,
Inc. (the “Company”) 6.125% Senior Subordinated Notes due 2014 (the “Securities”) are held. 
  
 The Company is in the process of registering the Securities under the Securities Act of 1933 for resale by the beneficial owners thereof. In order to have
their Securities included in the registration statement, beneficial owners must complete and return the enclosed Notice of Registration Statement and Selling Securityholder Questionnaire. 
  
 It is important that beneficial owners of the Securities receive a copy of the enclosed materials as soon as possible as
their rights to have the Securities included in the registration statement depend upon their returning the Notice and Questionnaire by [Deadline For Response]. Please forward a copy of the enclosed documents to each beneficial owner that holds
interests in the Securities through you. If you require more copies of the enclosed materials or have any questions pertaining to this matter, please contact Bio-Rad Laboratories, Inc., 1000 Alfred Nobel Drive, Hercules, CA 94547, telephone number
(510) 724-7000, Attention: General Counsel. 

	/a/	Not less than 28 calendar days from date of mailing. 

  

 A-1 

 Bio-Rad Laboratories, Inc. 
  
 Notice of Registration Statement 
 and 
 Selling Securityholder Questionnaire 
  
 (Date) 
  
 Reference is hereby made to the Exchange and Registration Rights Agreement (the “Exchange and Registration Rights
Agreement”) between Bio-Rad Laboratories, Inc. (the “Company”) and the Purchaser named therein. Pursuant to the Exchange and Registration Rights Agreement, the Company has filed with the United States Securities and Exchange
Commission (the “Commission”) a registration statement on Form [    ] (the “Shelf Registration Statement”) for the registration and resale under Rule 415 of the Securities Act of 1933, as amended (the
“Securities Act”), of the Company’s 6.125% Senior Subordinated Notes due 2014 (the “Securities”). A copy of the Exchange and Registration Rights Agreement is attached hereto. All capitalized terms not otherwise defined
herein shall have the meanings ascribed thereto in the Exchange and Registration Rights Agreement. 
  
 Each beneficial owner of Registrable Securities (as defined below) is entitled to have the Registrable Securities beneficially owned by it included in the
Shelf Registration Statement. In order to have Registrable Securities included in the Shelf Registration Statement, this Notice of Registration Statement and Selling Securityholder Questionnaire (“Notice and Questionnaire”) must be
completed, executed and delivered to the Company’s counsel at the address set forth herein for receipt ON OR BEFORE [Deadline for Response]. Beneficial owners of Registrable Securities who do not complete, execute and return this Notice and
Questionnaire by such date (i) will not be named as selling securityholders in the Shelf Registration Statement and (ii) may not use the Prospectus forming a part thereof for resales of Registrable Securities. 
  
 Certain legal consequences arise from being named as a selling securityholder
in the Shelf Registration Statement and related Prospectus. Accordingly, holders and beneficial owners of Registrable Securities are advised to consult their own securities law counsel regarding the consequences of being named or not being named as
a selling securityholder in the Shelf Registration Statement and related Prospectus. 
  
 The term “Registrable Securities” is defined in the Exchange and Registration Rights Agreement. 
  
 ELECTION 
  
 The undersigned holder (the “Selling Securityholder”) of Registrable Securities hereby elects to include in the Shelf Registration Statement the
Registrable Securities beneficially owned by it and listed below in Item (3). The undersigned, by signing and returning this Notice and Questionnaire, agrees to be bound with respect to such Registrable Securities by the terms and conditions of this
Notice and Questionnaire and the Exchange and Registration Rights Agreement, including, without limitation, Section 6 of the Exchange and Registration Rights Agreement, as if the undersigned Selling Securityholder were an original party thereto.

  

 A-2 

 Upon any sale of Registrable Securities pursuant to the Shelf Registration Statement, the Selling
Securityholder will be required to deliver to the Company and Trustee the Notice of Transfer set forth in Appendix A to the Prospectus and as Exhibit B to the Exchange and Registration Rights Agreement. 
  
 The Selling Securityholder hereby provides the following information to the
Company and represents and warrants that such information is accurate and complete: 
  
 QUESTIONNAIRE 
  

	(1)	(a)     Full Legal Name of Selling Securityholder: 

  
 ______________________________________________________________________________________________________ 
  

	 	(b)	Full Legal Name of Registered Holder (if not the same as in (a) above) of Registrable Securities Listed in Item (3) below: 

  
 ______________________________________________________________________________________________________ 
  

	 	(c)	Full Legal Name of DTC Participant (if applicable and if not the same as (b) above) Through Which Registrable Securities Listed in Item (3) below are Held: 

 
 ______________________________________________________________________________________________________ 
  

	(2)	Address for Notices to Selling Securityholder: 

 __________________________________________________ 
  
 __________________________________________________ 
  
 __________________________________________________ 
  
 Telephone:__________________________________________ 
  
 Fax: _______________________________________________ 
  
 Contact Person: ______________________________________ 
  
 (3) Beneficial Ownership of Securities: 
  
 ______________________________________________________________________________________________________ 
  
 Except as set forth below in this Item (3), the undersigned does not beneficially own any Securities. 
  

	 	(a)	Principal amount of Registrable Securities beneficially
owned:                             

  
 CUSIP No(s). of such Registrable
Securities:                                      
                       
  

 A-3 

	 	(b)	Principal amount of Securities other than Registrable Securities beneficially owned: 

  
 ______________________________________________________________________________________________________ 
  
 CUSIP No(s). of such other
Securities:_______________________________________________________________________ 
  

	 	(c)	Principal amount of Registrable Securities which the undersigned wishes to be 

 included in the Shelf Registration Statement:______________________________________________________________ 
  
 CUSIP No(s). of such Registrable Securities to be included in the Shelf 
 Registration Statement:_______________________________________________________________________________ 
  

	(4)	Beneficial Ownership of Other Securities of the Company: 

  
 Except as set forth below in this Item (4), the undersigned Selling Securityholder is not the beneficial or registered owner of any other securities of
the Company, other than the Securities listed above in Item (3). 
  
 State any exceptions here: 
  
 ______________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________ 
  

	(5)	Relationships with the Company: 

  
 Except as set forth below, neither the Selling Securityholder nor any of its affiliates, officers, directors or principal equity holders (5% or more) has
held any position or office or has had any other material relationship with the Company (or its predecessors or affiliates) during the past three years. 
  
 State any exceptions here: 
  
 ______________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________ 
  

	(6)	Plan of Distribution: 

  
 Except as set forth below, the undersigned Selling Securityholder intends to distribute the Registrable Securities listed above in Item (3) only as
follows (if at all): Such Registrable Securities may be sold from time to time directly by the undersigned Selling Securityholder or, alternatively, through underwriters, broker-dealers or agents. Such Registrable Securities may be sold in one or
more transactions at fixed prices, at prevailing market prices at the time of sale, at varying prices determined at the time of sale, or at negotiated prices. Such sales may be effected in transactions (which may 
  

 A-4 

 involve crosses or block transactions) (i) on any national securities exchange or quotation service on
which the Registered Securities may be listed or quoted at the time of sale, (ii) in the over-the-counter market, (iii) in transactions otherwise than on such exchanges or services or in the over-the-counter market, or (iv) through the writing of
options. In connection with sales of the Registrable Securities or otherwise, the Selling Securityholder may enter into hedging transactions with broker-dealers, which may in turn engage in short sales of the Registrable Securities in the course of
hedging the positions they assume. The Selling Securityholder may also sell Registrable Securities short and deliver Registrable Securities to close out such short positions, or loan or pledge Registrable Securities to broker-dealers that in turn
may sell such securities. 
  
 State any exceptions here:

  
 ______________________________________________________________________________________________________ 
  
 ______________________________________________________________________________________________________ 
  
 By signing below, the Selling Securityholder acknowledges that it
understands its obligation to comply, and agrees that it will comply, with the provisions of the Exchange Act and the rules and regulations thereunder, particularly Regulation M. 
  
 In the event that the Selling Securityholder transfers all or any portion of the Registrable Securities listed in Item (3)
above after the date on which such information is provided to the Company, the Selling Securityholder agrees to notify the transferee(s) at the time of the transfer of its rights and obligations under this Notice and Questionnaire and the Exchange
and Registration Rights Agreement. 
  
 By signing below, the
Selling Securityholder consents to the disclosure of the information contained herein in its answers to Items (1) through (6) above and the inclusion of such information in the Shelf Registration Statement and related Prospectus. The Selling
Securityholder understands that such information will be relied upon by the Company in connection with the preparation of the Shelf Registration Statement and related Prospectus. 
  
 In accordance with the Selling Securityholder’s obligation under Section 3(d) of the Exchange and Registration Rights
Agreement to provide such information as may be required by law for inclusion in the Shelf Registration Statement, the Selling Securityholder agrees to promptly notify the Company of any inaccuracies or changes in the information provided herein
which may occur subsequent to the date hereof at any time while the Shelf Registration Statement remains in effect. All notices hereunder and pursuant to the Exchange and Registration Rights Agreement shall be made in writing, by hand-delivery,
first-class mail, or air courier guaranteeing overnight delivery as follows: 
  

	 	(i)	To the Company: 

  
 Bio-Rad Laboratories, Inc. 
 1000 Alfred Nobel
Drive 
 Hercules, California 94547 
 Attention: General Counsel 
  

 A-5 

	 	(ii)	With a copy to: 

  
 Latham & Watkins LLP 
 505 Montgomery
Street, Suite 1900 
 San Francisco, California 94111 
 Attention: Tracy K. Edmonson, Esq. 
  
 Once this Notice and Questionnaire is executed by the Selling Securityholder and received by the Company’s counsel, the terms of this Notice and Questionnaire, and the representations and warranties contained herein, shall be binding
on, shall inure to the benefit of and shall be enforceable by the respective successors, heirs, personal representatives, and assigns of the Company and the Selling Securityholder (with respect to the Registrable Securities beneficially owned by
such Selling Securityholder and listed in Item (3) above. This Agreement shall be governed in all respects by the laws of the State of New York. 
  
 IN WITNESS WHEREOF, the undersigned, by authority duly given, has caused this Notice and Questionnaire to be executed and delivered either in person or by
its duly authorized agent. 
  

					
	Dated:                            	 	

	 	 	Selling Securityholder
	 	 	(Print/type full legal name of beneficial owner of Registrable Securities)
			
	 	 	By:	 	  

	 	 	Name:	 	 
	 	 	Title:	 	 

  
 PLEASE RETURN THE COMPLETED AND
EXECUTED NOTICE AND QUESTIONNAIRE FOR RECEIPT ON OR BEFORE [DEADLINE FOR RESPONSE] TO THE COMPANY’S COUNSEL AT: 
  
 Latham & Watkins LLP 
 505 Montgomery
Street, Suite 1900 
 San Francisco, California 94111 
 Attention: Tracy K. Edmonson, Esq. 
  

 A-6 

 EXHIBIT B 
  

NOTICE OF TRANSFER PURSUANT TO REGISTRATION STATEMENT 
  
 Wells Fargo Bank, National Association 
 Bio-Rad Laboratories, Inc.

 c/o Wells Fargo Bank, National Association 
 707 Wilshire
Boulevard 
 Los Angles, California 90017 
 Attention: Corporate
Trust Administration 
  

	 	Re:	Bio-Rad Laboratories, Inc. (the “Company”) 6.125% Senior 

	 	        Subordinated	Notes due 2014 

  
 Dear Sirs: 
  
 Please be advised
that                                  has transferred
$                     aggregate principal amount of the above-referenced Notes pursuant to an effective Registration Statement on Form
[    ] (File No. 333-             ) filed by the Company. 
  
 We hereby certify that the prospectus delivery requirements, if any, of the Securities Act of 1933, as amended, have been satisfied and that the
above-named beneficial owner of the Notes is named as a “Selling Holder” in the Prospectus dated
                        , or in supplements thereto, and that the aggregate principal amount of the Notes transferred are
the Notes listed in such Prospectus opposite such owner’s name. 
  
 Dated:
                     
  

			
	Very truly yours,
	
	

	(Name)
		
	By:	 	  

	 	 	(Authorized Signature)

  

 B-1Stock Purchase Agreement Amendment dated April 19, 2005

 Exhibit 4.1 
  
 STOCK PURCHASE AGREEMENT AMENDMENT 
  
 THIS STOCK PURCHASE AGREEMENT (the “Agreement”) first entered into April 7, 2005, is hereby amended as of April
19, 2005 (the “Amendment”), by and among Curon Medical, Inc., a Delaware corporation (the “Company”), a majority in interest of the investors listed on Schedule I hereto (for purposes of Section 10.9 of the Agreement) and
the investors listed on Schedule I-A who are purchasing shares pursuant Section 1.4 hereof (the “Additional Investors” and collectively with the investors listed on Schedule I, the “Investors”). 
  
 1. Purchase and Sale of Stock. Subject to the terms and conditions of
this Agreement, Investors agree to purchase at the First Closing (as hereinafter defined), and the Company agrees to sell and issue to each of the Investors at the First Closing, that number of whole shares of the Company’s common stock (the
“Common Stock”) set forth opposite each Investor’s name on Schedule I hereto (collectively, the “First Closing Shares”). In addition, Investors agree to purchase at the Second Closing (as hereinafter defined),
contingent solely upon the Stockholder Approval Event (as hereinafter defined), and the Company agrees to sell and issue to such Investors at the Second Closing, that number of whole shares of the Company’s Common Stock set forth opposite each
Investor’s name on Schedule I hereto (collectively, the “Second Closing Shares,” and, together with the First Closing Shares, the “Shares”). The purchase price per share for the Shares shall be $0.65 (the
“Purchase Price”). In consideration thereof, the Company shall also issue warrants to the Investors in substantially the form of Exhibit A hereto (warrants issued in connection with the First Closing, the “First Closing
Warrants,” and warrants issued in connection with the Second Closing, the “Second Closing Warrants,” and, together, the “Warrants;” and the Warrants together with the Shares, the “Securities”) for the purchase of
0.5 shares of Common Stock (the “Warrant Shares”) for each share of Common Stock issued to such Investors hereunder. 
  
 1.1 First Closing. The first closing of the purchase and sale of Shares (the “First Closing”) shall be held at the offices of Wilson
Sonsini Goodrich & Rosati, P.C., 650 Page Mill Road, Palo Alto, California (“WSGR”), on April 7, 2005 at 9:00 a.m., or at such other time and place upon which the Company and Investors shall agree. The amount of Securities to be issued
in the First Closing shall, in any event, be less than that amount of Securities which issuance would require stockholder approval as specified by the Marketplace Rules of the Nasdaq Stock Market. 
  
 1.2 Second Closing. The second closing of the purchase and sale of
Shares (the “Second Closing,” the First Closing and the Second Closing shall each be a “Closing”) shall be held at the offices of WSGR, as soon as practicable after the satisfaction or inapplicability of the Stockholder Approval
Event (as hereinafter defined). Payment of the purchase price for the Second Closing Shares and the Second Closing Warrants shall be deposited with Mellon Investor Services LLC (the “Escrow Agent”) by wire transfer of same day funds
concurrent with the payment for the Securities to be sold and issued in the First Closing (the “Escrowed Funds”). The Second Closing Shares shall not constitute a “Subsequent Issuance” for purposes of Section (3)(c) of the
Warrants. 
  
 1.3 Delivery. Within three business days of
the applicable Closing, as the case may be, the Company shall deliver to the Investors a certificate representing the Shares being purchased thereby and Warrants. 

 1.4 Purchase and Sale of Stock by Additional Investors. Subject to the terms and conditions of
this Agreement, the Additional Investors agree to purchase Second Closing Shares for the Purchase Price at the Second Closing, and the Company agrees to sell and issue to each of the Additional Investors at the Second Closing, that number of shares
Common Stock set forth opposite each Additional Investor’s name on Schedule I-A hereto, contingent solely upon the Stockholder Approval Event (together with the Common Stock listed on Schedule I, the “Shares”). In
consideration thereof, the Company shall also issue Second Closing Warrants in substantially the form of Exhibit A hereto for the purchase of 0.5 Warrant Shares for each share of Common Stock issued to such Additional Investors hereunder.
Payment of the purchase price by the Additional Investors for the Second Closing Shares and the Second Closing Warrants shall be deposited with the Escrow Agent by wire transfer of same day funds concurrent with the execution of this Agreement.

  
 2. Representations and Warranties of the Company. The
Company hereby represents and warrants to the Investors that, except as set forth in the Company SEC Documents (as defined herein): 
  
 2.1 Organization and Standing. The Company is a corporation duly organized and validly existing under the laws of the State of Delaware and is in
good standing under such laws. The Company has all requisite corporate power to own and operate its properties and assets, and to carry on its business as presently conducted. The Company is qualified to do business as a foreign corporation in the
State of California. Such qualification is not presently required in any other jurisdiction where a failure to so qualify would have a material adverse effect on the Company. 
  
 2.2 Capitalization. The authorized capital stock of the Company consists of 50,000,000 shares of Common Stock and
5,000,000 shares of preferred stock, of which 24,819,374 shares of Common Stock were issued and outstanding as of February 28, 2005. No shares of preferred stock are issued and outstanding. All such issued and outstanding shares have been duly
authorized and validly issued and are fully paid and nonassessable. As of February 28, 2005, the Company has reserved 214,980 shares of Common Stock for issuance upon the exercise of stock options granted under the Company’s 1997 Stock Option
Plan, no shares are available for future grant under the Company’s 1997 Stock Option Plan, 3,206,446 shares of Common Stock for issuance upon the exercise of stock options granted under the Company’s 2000 Stock Option Plan, and 3,110,860
shares of Common Stock are available for future grant under the 2000 Stock Option Plan, and 975,975 shares of Common Stock are available for purchase under the Company’s 2000 Employee Stock Purchase Plan, and 1,474,542 shares of Common Stock
for issuance upon the exercise of outstanding warrants to purchase Common Stock (without giving effect to any dilution adjustments to outstanding warrants as a consequence of the transactions herein). Except as disclosed in the Company SEC Documents
(as defined below), there are no other options, warrants, conversion privileges, or preemptive or other rights or agreements presently outstanding to purchase or otherwise acquire any authorized but unissued shares of the capital stock or other
securities of the Company. 
  
 2.3 Authority. The Company
has full corporate power and authority to execute and deliver this Agreement, and to consummate the transactions contemplated by this Agreement. All corporate action on the part of the Company, its officers, directors and stockholders necessary

  

 -2- 

 
for the execution and delivery of, and the consummation of the transactions contemplated by this Agreement and the performance of all obligations of the
Company under this Agreement, has been taken. This Agreement, upon execution and delivery by the Company and assuming the due and proper execution and delivery by Investor, constitutes a legal, valid and binding obligation of the Company,
enforceable in accordance with its terms, except as may be limited by (i) applicable bankruptcy, insolvency, reorganization or other laws of general application relating to or affecting the enforcement of creditors rights generally, and (ii) the
effect of rules of law governing the availability of equitable remedies. 
  
 2.4 Valid Issuance of Common Stock. The First Closing Shares to be sold hereby has been duly authorized and, when issued, delivered and paid for in the manner set forth in this Agreement, will be duly
authorized, validly issued, fully paid and nonassessable, and will be free of restrictions on transfer other than restrictions on transfer under this Agreement and under applicable state and federal securities laws. Except for the preemptive rights
granted by the Company pursuant to that certain Securities Purchase Agreement dated February 4, 2004 by and among the Company and certain investors thereto, the issuance and sale by the Company of the First Closing Shares and the Second Closing
Shares pursuant to this Agreement are not subject to any preemptive or other subscription or purchase rights of any Person. For purposes of this Agreement, “Person” shall mean an individual, a corporation, a partnership (general or
limited), a joint venture, an association, an organization, a trust or any other entity. 
  
 2.5 Governmental Consents. No registration, authorization, approval, qualification or consent of any court or governmental authority or agency or self-regulatory organization, including the NASD, is necessary
in connection with the execution and delivery of this Agreement or the offering, issuance or sale of the Shares under this Agreement, except (i) exemptive filings under applicable securities laws which are not required to be made until after the
First Closing and (ii) the registration of the Shares as set forth below. 
  
 2.6 No Conflicts. The execution, delivery and performance of this Agreement by the Company and the consummation by the Company of the transactions contemplated thereby in accordance with their respective terms
do not and will not (i) conflict with or violate any provision of the Company’s or any subsidiary’s certificate or articles of incorporation, bylaws or other organizational or charter documents, or (ii) conflict with, or constitute a
default (or an event that with notice or lapse of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation (with or without notice, lapse of time or both) of, any agreement,
credit facility, debt or other instrument (evidencing a Company or subsidiary debt or otherwise) or other understanding to which the Company or any subsidiary is a party or by which any property or asset of the Company or any subsidiary is bound or
affected, or (iii) result in a violation of any law, rule, regulation, order, judgment, injunction, decree or other restriction of any court or governmental authority to which the Company or a subsidiary is subject (including federal and state
securities laws and regulations), or by which any property or asset of the Company or a subsidiary is bound or affected; except in the case of each of clauses (ii) and (iii), such as could not, individually or in the aggregate, have or reasonably be
expected to result in a material adverse effect. 
  
 2.7 SEC
Documents; Material Contracts; Financial Statements. The Company has filed all documents required to be filed under the Exchange Act of 1934, as amended (the “1934 

  

 -3- 

 
Act”). The information contained in (a) the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2004, the Company’s
Quarterly Reports on Form 10-Q for the fiscal quarters ended March 31, 2004, June 30, 2004, and September 30, 2004 and (b) the Company’s Proxy Statement for its 2004 Annual Meeting of Stockholders (together, the “Company SEC
Documents”), is true and correct in all material respects as of their respective dates. The financial statements of the Company included in the Company SEC Documents (the “Financial Statements”) comply as to form in all material
respects with applicable accounting requirements and with the published rules and regulations of the Securities and Exchange Commission (the “SEC”) with respect thereto. The Financial Statements have been prepared in accordance with
generally accepted accounting principles consistently applied and fairly present the consolidated financial position of the Company and any subsidiaries at the dates thereof and the consolidated results of operations and consolidated cash flows for
the periods then ended (subject, in the case of any unaudited financial statements, to normal, recurring adjustments). 
  
 2.8 Litigation. There is no pending or threatened lawsuit, administrative proceeding, arbitration, labor dispute or governmental investigation
(“Litigation”) to which the Company is a party or by which any material portion of its assets, taken as a whole, may be bound and which Litigation, if adversely determined, would have a material adverse effect on the Company’s assets,
liabilities, financial condition or operations. 
  
 2.9
Material Changes. Since the date of the latest audited financial statements included within the SEC Documents, except as specifically disclosed in the SEC Documents, (i) there has been no event, occurrence or development that has had or that
could reasonably be expected to result in a material adverse effect, (ii) the Company has not incurred any liabilities (contingent or otherwise) other than (A) trade payables, accrued expenses and other liabilities incurred in the ordinary course of
business consistent with past practice and (B) liabilities (not to exceed $50,000) not required to be reflected in the Company’s financial statements pursuant to United States generally accepting accounting principles or required to be
disclosed in filings made with the SEC, (iii) the Company has not altered its method of accounting or the identity of its auditors, (iv) the Company has not declared or made any dividend or distribution of cash or other property to its stockholders
or purchased, redeemed or made any agreements to purchase or redeem any shares of its capital stock and (v) the Company has not issued any equity securities to any officer, director or affiliate, except pursuant to existing Company stock option
plans and consistent with past practice. The Company does not have pending before the SEC any request for confidential treatment of information. 
  
 2.10 Labor Relations. No material labor dispute exists or, to the knowledge of the Company, is imminent with respect to any of the employees of the
Company. 
  
 2.11 Compliance. Neither the Company nor any
subsidiary (i) is in default under or in violation of (and no event has occurred that has not been waived that, with notice or lapse of time or both, would result in a default by the Company or any subsidiary under), nor has the Company or any
subsidiary received notice of a claim that it is in default under or that it is in violation of, any indenture, loan or credit agreement or any other agreement or instrument to which it is a party or by which it or any of its properties is bound
(whether or not such default or violation has been waived), (ii) is in violation of any order of any court, arbitrator or governmental body, or (iii) is 

  

 -4- 

 
or has been in violation of any statute, rule or regulation of any governmental authority, including without limitation all foreign, federal, state and local
laws relating to taxes, environmental protection, occupational health and safety, product quality and safety and employment and labor matters, except in each case as could not, individually or in the aggregate, have or reasonably be expected to
result in a material adverse effect. The Company is in compliance with all effective requirements of the Sarbanes-Oxley Act of 2002, as amended, and the rules and regulations thereunder, that are applicable to it, except where such noncompliance
could not have or reasonably be expected to result in a material adverse effect. 
  
 2.12 Regulatory Permits. The Company and the subsidiaries possess all certificates, authorizations and permits issued by the appropriate federal, state, local or foreign regulatory authorities necessary to
conduct their respective businesses as described in the SEC Documents, except where the failure to possess such permits could not, individually or in the aggregate, have or reasonably be expected to result in a material adverse effect, and neither
the Company nor any subsidiary has received any notice of proceedings relating to the revocation or modification of any such permits. 
  
 2.13 Title to Assets. The Company and the subsidiaries have good and marketable title in fee simple to all real property owned by them that is
material to their respective businesses and good and valid title in all personal property owned by them that is material to their respective businesses, in each case free and clear of all liens, except for liens that do not materially affect the
value of such property and do not materially interfere with the use made and proposed to be made of such property by the Company and the subsidiaries. Any real property and facilities held under lease by the Company and the subsidiaries are held by
them under valid, subsisting and enforceable leases of which the Company and the subsidiaries are in compliance, except as could not, individually or in the aggregate, have or reasonably be expected to result in a material adverse effect.

  
 2.14 Patents and Trademarks. The Company and the
subsidiaries have, or have rights to use, all patents, patent applications, trademarks, trademark applications, service marks, trade names, copyrights, licenses and other similar rights that are necessary or material for use in connection with their
respective businesses as described in the SEC Documents and which the failure to so have could, individually or in the aggregate, have or reasonably be expected to result in a material adverse effect (collectively, the “Intellectual Property
Rights”). To the knowledge of the Company, neither the Company nor any subsidiary has received a written notice that the Intellectual Property Rights used by the Company or any subsidiary violates or infringes upon the rights of any person.
Except as set forth in the SEC Documents, to the knowledge of the Company, all such Intellectual Property Rights are enforceable and there is no existing infringement by another person of any of the Intellectual Property Rights. 
  
 2.15 Insurance. The Company and the subsidiaries are insured by
insurers of recognized financial responsibility against such losses and risks and in such amounts as the Company in its reasonable judgment deems appropriate. The Company has no reason to believe that it will not be able to renew its and the
subsidiaries’ existing insurance coverage as and when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to continue its business on terms consistent with market for the Company’s and such
subsidiaries’ respective lines of business. 
  

 -5- 

 2.16 Transactions With Affiliates and Employees. Except as set forth in the SEC Documents, none of
the officers or directors of the Company and, to the knowledge of the Company, none of the employees of the Company is presently a party to any transaction with the Company or any subsidiary (other than for services as employees, officers and
directors), including any contract, agreement or other arrangement providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise requiring payments to or from any officer, director or
such employee or, to the knowledge of the Company, any entity in which any officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner. 
  
 2.17 Internal Accounting Controls. The Company and the subsidiaries
maintain a system of internal accounting controls sufficient to provide reasonable assurance that (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions are recorded as necessary to
permit preparation of financial statements in conformity with United States generally accepted accounting principles and to maintain asset accountability, (iii) access to assets is permitted only in accordance with management’s general or
specific authorization, and (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any differences. The Company has established disclosure controls and
procedures (as defined in the 1934 Act Rules 13a-15(e) and 15d-15(e)) for the Company and designed such disclosure controls and procedures to ensure that material information relating to the Company, including its subsidiaries, is made known to the
certifying officers by others within those entities, particularly during the period in which the Company’s Form 10-K or 10-Q, as the case may be, is being prepared. The Company’s certifying officers have evaluated the effectiveness of the
Company’s controls and procedures in accordance with Item 307 of Regulation S-K under the 1934 Act for the Company’s most recently ended fiscal quarter or fiscal year-end (such date, the “Evaluation Date”). The Company presented
in its most recently filed Form 10-K or Form 10-Q the conclusions of the certifying officers about the effectiveness of the disclosure controls and procedures based on their evaluations as of the Evaluation Date. Since the Evaluation Date, there
have been no changes in the Company’s internal controls that would be required to be disclosed pursuant to Item 308(c) of Regulation S-K under the 1934 Act or, to the Company’s knowledge, in other factors that could reasonably be expected
to have a material adverse effect on the Company’s internal controls. 
  
 2.18 Certain Registration Matters. Assuming the accuracy of the Investors’ representations and warranties set forth in Section 3, no registration under the Act is required for the offer, sale and issuance
of the Securities by the Company to the Investors under this Agreement. Except as disclosed in the SEC Documents, the Company has not granted or agreed to grant to any person any rights (including “piggy back” registration rights) to have
any securities of the Company registered with the SEC or any other governmental authority that have not been satisfied or exercised. 
  
 2.19 No Additional Agreements. The Company does not have any agreement or understanding with any Investor with respect to the transactions
contemplated by this Agreement other than as specified in this Agreement. 
  
 2.20 Disclosure. The Company confirms that neither it nor any person acting on its behalf has provided any Investor or its respective agents or counsel with any information that the 

  

 -6- 

 
Company believes constitutes material, non-public information except insofar as the existence and terms of the proposed transactions hereunder may constitute
such information. The Company understands and confirms that the Investors will rely on the foregoing representations and covenants in effecting transactions in securities of the Company. All disclosure provided to the Investors regarding the
Company, its business and the transactions contemplated hereby, furnished by or on behalf of the Company (including the Company’s representations and warranties set forth in this Agreement) are true and correct in all material respects and do
not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading. 
  
 3. Representations, Warranties and Covenants of the Investors. Each
investor hereby represents, warrants, and covenants that: 
  
 3.1
Authorization. Such Investor has full power and authority to execute and deliver, and to consummate the transactions contemplated by the Closing and this Agreement. All corporate action on the part of such Investor, its officers, directors
and stockholders necessary for (i) the execution and delivery of, and the consummation of the transactions contemplated by, this Agreement, and (ii) as of the First Closing, the performance of all obligations of such Investor under this Agreement,
has been taken. This Agreement, upon execution and delivery by such Investor and assuming the due and proper execution and delivery by the Company, constitutes a legal, valid and binding obligation of such Investor, enforceable in accordance with
its terms, except as may be limited by (i) applicable bankruptcy, insolvency, reorganization or other laws of general application relating to or affecting the enforcement of creditors rights generally, and (ii) the effect of rules of law governing
the availability of equitable remedies. 
  
 3.2 Purchase
Entirely for Own Account. Such Investor represents that the Securities will be acquired for investment for such Investor’s own account, not as a nominee or agent, and not with a view to the resale or distribution of any part thereof, and
that such Investor has no present intention of selling, granting any participation in, or otherwise distributing the same. By executing this Agreement, such Investor further represents that Investor does not have any contract, undertaking, agreement
or arrangement with any Person to sell, transfer or grant participations to such Person or to any third Person, with respect to any of the Securities. 
  
 3.3 Disclosure of Information. Such Investor has received all information it considers necessary or appropriate for deciding whether to purchase
the Common Stock. Such Investor further represents that it has had an opportunity to ask questions and receive answers from the Company regarding the terms and conditions of the offering of the Common Stock and the business, properties, prospects
and financial condition of the Company. 
  
 3.4 Investment
Experience. Such Investor is an investor in securities of companies in the development stage and acknowledges that it is able to appropriately identify the inherent risks associated with, and can bear the economic risk of the total lost of its
investment, and has such knowledge and experience in financial or business matters that it is capable of evaluating the merits and risks of the investment in the Securities. Such Investor has not been organized for the purpose of acquiring the
Securities. 
  

 -7- 

 3.5 Accredited Investor. Such Investor is an “accredited investor” within the meaning of
SEC Rule 501 of Regulation D, as presently in effect. 
  
 3.6
Restricted Securities. Such Investor understands that the Securities it is purchasing are characterized as “restricted securities” under the federal securities laws inasmuch as they are being acquired from the Company in a
transaction not involving a public offering and that under such laws and applicable regulations such securities may be resold without registration under the Securities Act of 1933, as amended (the “Act”), only in certain limited
circumstances. In this connection, Investor represents that it is familiar with SEC Rule 144, as presently in effect, and understands the resale limitations imposed thereby and by the Act. 
  
 3.7 Further Limitations on Disposition. Without in any way limiting
the representations set forth above, such Investor further agrees not to make any disposition of all or any portion of the Securities unless and until the transferee has agreed in writing for the benefit of the Company to be bound by this section
provided and to the extent this section is applicable, and: 
  
 (a) There is then in effect a registration statement under the Act covering such proposed disposition and such disposition is made in accordance with such registration statement; or 
  
 (b) If reasonably requested by the Company, such Investor shall have
furnished the Company with an opinion of counsel, reasonably satisfactory to the Company, that such disposition will not require registration of such shares under the Act. It is agreed that the Company will not require opinions of counsel for
transactions made pursuant to Rule 144 except in unusual circumstances. 
  
 Each Investor agrees that it will promptly notify the Company of any material changes in the information set forth in the Registration Statement regarding the Investor or its plan of distribution. 
  
 3.8 Additional Trading Limitations. Such Investor has not directly or
indirectly, nor has any Person acting on behalf of or pursuant to any understanding with such Investor, engaged in any transactions in the securities of the Company (including, without limitations, any Short Sales involving the Company’s
securities) since the earlier to occur of (1) the time that such Investor was first contacted by the Company or any other Person regarding an investment in the Company and (2) the 20th day prior to the public announcement of the transactions contemplated by this Agreement. Such Investor covenants that neither it nor any Person acting on its
behalf or pursuant to any understanding with it will engage in any transactions in the securities of the Company (including Short Sales) prior to the time that the transactions contemplated by this Agreement are publicly disclosed. For purposes of
this section, a “Short Sale” includes, without limitation, all “short sales” as defined in Rule 200 promulgated under Regulation SHO under the Exchange Act and all types of direct and indirect stock pledges, forward sale
contracts, options, puts, calls, swaps and similar arrangements (including on a total return basis), and sales and other transactions through non-US broker dealers or foreign regulated brokers. 
  

 -8- 

 3.9 Legends. Each certificate or instrument representing Shares shall bear legends in
substantially the following forms: 
  
 (i)
“THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE ‘SECURITIES ACT’) AND ARE ‘RESTRICTED SECURITIES’ AS DEFINED IN RULE 144 PROMULGATED UNDER THE
SECURITIES ACT. THE SECURITIES MAY NOT BE SOLD OR OFFERED FOR SALE OR OTHERWISE DISTRIBUTED EXCEPT (I) IN CONJUNCTION WITH AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT, OR (II) IN COMPLIANCE WITH RULE 144, OR (III)
PURSUANT TO AN OPINION OF COUNSEL SATISFACTORY TO THE ISSUER OF THESE SECURITIES THAT SUCH REGISTRATION OR COMPLIANCE IS NOT REQUIRED AS TO SUCH SALE, OFFER OR DISTRIBUTION.” 
  
 (ii) Any other legends required by California law or other applicable blue sky or state securities laws.

  
 The Company need not register a transfer of any Shares, and may also instruct
its transfer agent not to register a transfer of any Shares, unless the conditions specified in the foregoing legends are satisfied to the extent applicable. 
  
 4. Registration Procedures and Expenses. 
  
 4.1 Obligations of the Company. Subject to the receipt of all necessary information from all of the Investors, the Company shall: 
  
 (a) use its commercially reasonable efforts to prepare and file with the
SEC, within 30 business days after the First Closing (the “Required Filing Date”), a registration statement to enable the resale of the Shares and Warrant Shares acquired or to be acquired pursuant to this Agreement by the Investors (the
“Registration Statement”); provided, however, that the Company may defer filing the Registration Statement to ensure compliance with Rule 3-12 of Regulation S-X; 
  
 (b) use its commercially reasonable efforts to cause the Registration Statement to become effective as soon as practicable,
but in no event later than ninety (90) days after the date of the First Closing, or one hundred and twenty (120) days after the date of the First Closing in the event the Registration Statement is reviewed by the SEC (as applicable, the
“Required Effective Date”); 
  
 (c) make compensatory
payments to the Investor in the event the Registration Statement has not been declared effective by the SEC after the Required Effective Date (each payment, a “Late Registration Payment”), provided however, that no further Late
Registration Payments shall accrue once the Registration Statement has been initially declared effective by the SEC; each Late Registration Payment is (1) equal to 1% of the Purchase Price paid for the Shares (it being understood that in no event
shall any payment hereunder accrue as to the Warrants or the Warrant Shares) purchased by the Investor and not previously sold by the Investor for each 30 day period after the Required Effective Date, pro rated by the number of days elapsed in the
applicable 30 day Late Registration Payment period, and (2) payable to the Investor by wire transfer or check within five business days after the earlier of (i) the end of each 30 day period following the Required Effective Date or (ii) the
effective date of the Registration Statement; 
  

 -9- 

 (d) keep such Registration Statement effective for a period of up to two years, or such lesser period of
time as all of the Shares have been sold or can be sold without restriction under Rule 144; 
  
 (e) prepare and file with the SEC such amendments and supplements to such Registration Statement and the prospectus used in connection with such Registration Statement as may be necessary to comply with the provisions
of the Act with respect to the disposition of all securities covered by such Registration Statement; 
  
 (f) furnish to each Investor such numbers of copies of a prospectus, including a preliminary prospectus, in conformity with the requirements of the Act,
and such other documents as they may reasonably request in order to facilitate the disposition of securities; 
  
 (g) use commercially reasonable efforts to register and qualify the securities covered by such Registration Statement under such other securities or Blue
Sky laws of such jurisdictions as shall be requested by each Investor; provided that the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in
any such states or jurisdictions, unless the Company is already subject to service in such jurisdiction and except as may be required by the Act; and 
  
 (h) cause all such securities registered pursuant hereunder to be listed, prior to the date of the first sale of such securities pursuant to such
registration, on each securities exchange on which similar securities issued by the Company are then listed. 
  
 4.2 Additional Registration Statements. If for any reason (i) the SEC does not permit all of the Shares and Warrant Shares to be included in the
Registration Statement filed pursuant to Section 4.1(a), or (ii) any outstanding Shares and Warrant Shares (without regard to any exercise caps contained in the Warrants) are not then covered by an effective Registration Statement, then in each such
case the Company shall prepare and file within 30 days of realizing such obligation, an additional Registration Statement covering the resale of all such outstanding and issuable Shares and Warrant Shares not already covered by an existing and
effective Registration Statement for an offering to be made on a continuous basis pursuant to Rule 415, on Form S-3 (or other appropriate form for such purpose). The Company shall cause each such Registration Statement to be declared effective under
the Act as soon as possible but, in any event, within 120 days of realizing its obligation to file such Registration Statement, and shall use its reasonable best efforts to keep such Registration Statement continuously effective under the Act.

  
 Not less than four trading days prior to the filing of a
Registration Statement or any related prospectus or any amendment or supplement thereto, the Company shall furnish to each holder of Shares or Warrant Shares copies of the “Selling Stockholders” section of such document, the “Plan of
Distribution” and any risk factor contained in such document that addresses specifically this transaction or the Selling Stockholders, as proposed to be filed, which documents will be subject to the review of such holder. The Company shall not
file a Registration Statement, any prospectus or 

  

 -10- 

 
any amendments or supplements thereto in which the “Selling Stockholder” section thereof differs from the disclosure received from a holder in its
Selling Holder Questionnaire (as amended or supplemented). 
  
 The
Company shall use its reasonable best efforts to avoid the issuance of, or, if issued, obtain the withdrawal of (i) any order suspending the effectiveness of a Registration Statement, or (ii) any suspension of the qualification (or exemption from
qualification) of any of the Shares or Warrant Shares for sale in any jurisdiction, at the earliest practicable moment. 
  
 Upon notification by the SEC that a Registration Statement will not be reviewed or is no longer subject to further review and comments, the Company shall
request acceleration of such Registration Statement such that it becomes effective at 5:00 p.m. (New York City time) on the date such Registration Statement is declared effective. 
  
 Deliver to each Investor, by 9:00 a.m. (New York City time) on the day following the date such Registration Statement is
declared effective, without charge, an electronic copy of each prospectus or prospectuses (including each form of prospectus) and each amendment or supplement thereto. The Company hereby consents to the use of such prospectus and each amendment or
supplement thereto by each of the selling holders in connection with the offering and sale of the Shares and Warrant Shares covered by such prospectus and any amendment or supplement thereto. 
  
 4.3 Suspension of Prospectus. Each Investor acknowledges that there
may occasionally be times when the Company determines, in good faith following consultation with its board of directors or a committee thereof, the use of the prospectus forming a part of the Registration Statement (the “Prospectus”)
should be suspended until such time as an amendment or supplement to the Registration Statement or the Prospectus has been filed by the Company and any such amendment to the Registration Statement is declared effective by the Commission, or until
such time as the Company has filed an appropriate report with the Commission pursuant to the 1934 Act, provided that the Company shall use commercially reasonable efforts to lift such suspension. Each Investor hereby covenants that it will not sell
any Shares or Warrant Shares pursuant to the Prospectus during the period commencing at the time at which the Company gives the Investor written notice of the suspension of the use of the Prospectus and ending at the time the Company gives the
Investor written notice that the Investor may thereafter effect sales pursuant to the Prospectus. The Company may, upon written notice to the Investors, suspend the use of the Prospectus for no more than sixty (60) days in the aggregate; and
provided further that no suspension shall occur until at least ten (10) trading days after the expiration of any previous suspension. The Company shall in no event be required to disclose the business purpose for which it has suspended the use of
the Prospectus if the Company determines in its good faith judgment that the business purpose should remain confidential. Each Investor covenants to notify the Company promptly of the sale of any of its Shares or Warrant Shares, other than sales
pursuant to the Registration Statement or sales upon termination of the transfer restrictions herein. Should the Company suspend the use of the Prospectus for more than sixty (60) days in the aggregate, the Company shall make compensatory payments
to the Investor (each payment, a “Suspension Payment”), each Suspension Payment is (1) equal to 1% of the Purchase Price paid for the Shares (it being understood that in no event shall any payment hereunder accrue as to the Warrants or the
Warrant Shares) purchased by the Investor and not previously sold by the Investor for each 30 day period during which the use of 

  

 -11- 

 
the Prospectus was suspended, pro rated by the number of days elapsed in the applicable 30 day period, and (2) payable to the Investor by wire transfer or
check within five business days after the earlier of (i) the end of each 30 day period or (ii) the lifting of each suspension. 
  
 4.4 Re-Register on Form S-3. For two years after the date of the First Closing, to the extent the registration of the Shares and Warrant Shares
pursuant to Section 4.1 is not made on Form S-3, the Company shall use reasonable efforts re-register the Shares and Warrant Shares on Form S-3 when the Company becomes eligible to register such Shares and Warrant Shares thereon. 
  
 4.5 Expenses of Registration. The Company shall pay all expenses in
connection with the registration of the Shares and Warrant Shares pursuant to Section 4.1, provided however, that the Company shall not pay any fees and expenses of any counsel or advisors to the Investors or brokerage fees and commissions incurred
by them. 
  
 4.6 Furnishing of Information. As long as any
Investor owns the Securities, the Company covenants to timely file (or obtain extensions in respect thereof and file within the applicable grace period) all reports required to be filed by the Company after the date hereof pursuant to the 1934 Act.
As long as any Investor owns Securities, if the Company is not required to file reports pursuant to such laws, it will prepare and furnish to the Investors and make publicly available in accordance with Rule 144(c) such information as is required
for the Investors to sell the Shares and Warrant Shares under Rule 144. The Company further covenants that it will take such further action as any holder of Securities may reasonably request, all to the extent required from time to time to enable
such person to sell the Shares and Warrant Shares without registration under the Act within the limitation of the exemptions provided by Rule 144. 
  
 4.7 Integration. Subject to Section 8 herein, the Company shall not, and shall use its best efforts to ensure that no affiliate of the Company
shall, sell, offer for sale or solicit offers to buy or otherwise negotiate in respect of any security (as defined in Section 2 of the Act) that would be integrated with the offer or sale of the Securities in a manner that would require the
registration under the Act of the sale of the Securities to the Investors, or that would be integrated with the offer or sale of the Securities for purposes of the rules and regulations of any trading market in a manner that would require
stockholder approval of the sale of the Securities to the Investors. 
  
 4.8 Subsequent Registrations. Prior to the date the SEC declares the Registration Statement effective, the Company may not file any registration statement with the SEC with respect to any securities of the Company other than
registration statements on Form S-4 or Form S-8 promulgated by the SEC. 
  
 4.9 No Piggyback on Registrations. Neither the Company nor any of its security holders (other than the Holders in such capacity pursuant hereto) may include securities of the Company in a Registration Statement other than the Shares
and Warrant Shares, and the Company shall not during the period the Registration Statement is required to be effective enter into any agreement providing any such right to any of its security holders. 
  
 4.10 Piggyback Registrations. If at any time during the period the
Registration Statement is required to be effective there is not an effective Registration Statement covering all of 

  

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the Shares and Warrant Shares and the Company shall determine to prepare and file with the SEC a registration statement relating to an offering for its own
account or the account of others under the Act of any of its equity securities, other than on Form S-4 or Form S-8 (each as promulgated under the Act) or their then equivalents relating to equity securities to be issued solely in connection with any
acquisition of any entity or business or equity securities issuable in connection with stock option or other employee benefit plans, then the Company shall send to each holder written notice of such determination and, if within fifteen days after
receipt of such notice, any such holder shall so request in writing, the Company shall include in such registration statement all or any part of such Shares and Warrant Shares such holder requests to be registered, subject to customary underwriter
cutbacks applicable to all holders of registration rights. 
  
 4.11 Securities Laws Disclosure; Publicity. By 9:00 a.m. (New York City time) on the trading day following the execution of this Agreement, and by 9:00 a.m. (New York City time) on the trading day following each of the First Closing
and Second Closing, the Company shall issue press releases in forms approved by the Investors disclosing the transactions contemplated hereby. On the Trading Day following the execution of this Agreement the Company will file a Current Report on
Form 8-K disclosing the material terms of this Agreement (and attach as exhibits thereto this Agreement and the Warrant), and on the Trading Day following each of the First Closing and Second Closing the Company will file additional Current Reports
on Form 8-K to disclose the First Closing and Second Closing. In addition, the Company will make such other filings and notices in the manner and time required by the SEC and the trading market on which the Common Stock is listed. Notwithstanding
the foregoing, the Company shall not publicly disclose the name of any Investor, or include the name of any Investor in any filing with the SEC (other than the Registration Statement and any exhibits to filings made in respect of this transaction in
accordance with periodic filing requirements under the 1934 Act) or any regulatory agency or trading market, without the prior written consent of such Investor, except to the extent such disclosure is required by law or trading market regulations.

  
 4.12 Non-Public Information. The Company covenants and
agrees that neither it nor any other person acting on its behalf will provide any Investor or its agents or counsel with any information that the Company believes constitutes material non-public information, unless prior thereto such Investor shall
have executed a written agreement regarding the confidentiality and use of such information. 
  
 4.13 Replacement of Securities. If any certificate or instrument evidencing any Securities is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange and substitution for
and upon cancellation thereof, or in lieu of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction and customary and reasonable
indemnity, if requested. The applicants for a new certificate or instrument under such circumstances shall also pay any reasonable third-party costs associated with the issuance of such replacement Securities. If a replacement certificate or
instrument evidencing any Securities is requested due to a mutilation thereof, the Company may require delivery of such mutilated certificate or instrument as a condition precedent to any issuance of a replacement. 
  

 -13- 

 4.14 Indemnification. In connection with the Registration Statement required to be filed by the
Company pursuant to this Section 4: 
  
 (a) To the extent
permitted by law, the Company will indemnify and hold harmless each Investor, the officers, directors and partners of each Investor and each Person, if any, who controls any thereof within the meaning of the Act or the 1934 Act, against any losses,
claims, damages, or liabilities (joint or several) to which they may become subject under the Act or the 1934 Act or other federal or state law, insofar as such losses, claims, damages, or liabilities (or actions in respect thereof) arise out of or
are based upon any of the following (collectively a “Violation”): (i) any untrue statement or alleged untrue statement of a material fact contained in such Registration Statement, including any preliminary prospectus or final prospectus
contained therein or any amendments or supplements thereto, (ii) the omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make the statements therein not misleading, or (iii) any violation or
alleged violation by the Company of the Act, the 1934 Act, any state securities law or any rule or regulation promulgated under the Act, or the 1934 Act or any state securities law; and the Company will pay to each Investor or controlling Person, as
incurred, any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability, or action; provided, however, that the indemnity agreement contained in this subsection 4.3(a)
shall not apply to amounts paid in settlement of any such loss, claim, damage, liability, or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld), nor shall the Company be liable
in any such case to the extent any such loss, claim, damage, liability or action arises out of or is based upon a Violation which occurs in reliance upon and in conformity with written information furnished to the Company in an instrument duly
executed by such Investor, officer, director, partner or controlling Person expressly for use in connection with such registration. 
  
 (b) To the extent permitted by law, each selling Investor will indemnify and hold harmless the Company, each of its directors, each of its officers who
has signed the Registration Statement, each Person, if any, who controls the Company within the meaning of the Act, against any losses, claims, damages, or liabilities (joint or several) to which any of the foregoing Persons may become subject,
under the Act, or the 1934 Act or other federal or state law, insofar as such losses, claims, damages, or liabilities (or actions in respect thereto) arise out of or are based upon any Violation, in each case to the extent (and only to the extent)
that such Violation occurs in reliance upon and in conformity with written information furnished to the Company in an instrument duly executed by such Investor expressly for use in connection with such registration; and each Investor will pay, as
incurred, any legal or other expenses reasonably incurred by any Person intended to be indemnified pursuant to this Section 4.3(b), in connection with investigating or defending any such loss, claim, damage, liability, or action; provided, however,
that the indemnity agreement contained in this Section 4.3(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of such Investor, which consent shall
not be unreasonably withheld; provided, that, in no event shall any indemnity under this Section 4.3(b) exceed the net proceeds from the offering received by such Investor. 
  
 (c) Promptly after receipt by an indemnified party under this Section 4.3 of notice of the commencement of any action
(including any governmental action), such indemnified 

  

 -14- 

 
party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 4.3, deliver to the indemnifying party a written
notice of the commencement thereof and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume the defense thereof
with counsel mutually satisfactory to the parties; provided, however, that an indemnified party (together with all other indemnified parties which may be represented without conflict by one counsel) shall have the right to retain one separate
counsel, with the fees and expenses to be paid by the indemnifying party, if representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests between
such indemnified party and any other party represented by such counsel in such proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action, if prejudicial to its ability
to defend such action, shall relieve such indemnifying party of any liability to the indemnified party under this Section 4.3, but the omission so to deliver written notice to the indemnifying party will not relieve it of any liability that it may
have to any indemnified party otherwise than under this Section 4.3. 
  
 (d) If the indemnification provided for in this Section 4.3 is held by a court of competent jurisdiction to be unavailable to an indemnified party with respect to any loss, liability, claim, damage, or expense referred to therein, then the
indemnifying party, in lieu of indemnifying such indemnified party hereunder, shall contribute to the amount paid or payable by such indemnified party as a result of such loss, liability, claim, damage, or expense (or actions in respect thereof) in
such proportion as is appropriate to reflect the relative fault of the indemnifying party on the one hand and of the indemnified party on the other in connection with the statements or omissions that resulted in such loss, liability, claim, damage,
or expense (or actions in respect thereof) as well as any other relevant equitable considerations. The relative fault of the indemnifying party and of the indemnified party shall be determined by reference to, among other things, whether the untrue
or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information,
and opportunity to correct or prevent such statement or omission. The Company and each Investor agree that it would not be just and equitable if contribution pursuant to this Agreement were determined by pro-rata allocation or by any other method of
allocation which does not take account of the equitable considerations referred to above. The amount paid or payable by an indemnified party as a result of the losses, claims, damages or liabilities (or actions in respect thereof) referred to above
shall include any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any such action or claim. 
  

(e) The obligations of the Company and Investor under this Section 4.3 shall survive the completion of any offering of securities in a Registration
Statement under this Section 4, and otherwise. 
  
 4.15
Independent Nature of Investors’ Obligations and Rights. The obligations of each Investor under this Agreement and its Warrants are several and not joint with the obligations of any other Investor, and no Investor shall be responsible in
any way for the performance of the obligations of any other Investor under the Agreement or its Warrants. The decision of each Investor to purchase Securities pursuant to this Agreement has been made by such Investor 

  

 -15- 

 
independently of any other Investor. Nothing contained herein, and no action taken by any Investor pursuant thereto, shall be deemed to constitute the
Investors as a partnership, an association, a joint venture or any other kind of entity, or create a presumption that the Investors are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by
this Agreement. Each Investor acknowledges that no other Investor has acted as agent for such Investor in connection with making its investment hereunder and that no Investor will be acting as agent of such Investor in connection with monitoring its
investment in the Securities or enforcing its rights under this Agreement or their Warrant. Each Investor shall be entitled to independently protect and enforce its rights, including without limitation the rights arising out of this Agreement or out
of its Warrants, and it shall not be necessary for any other Investor to be joined as an additional party in any proceeding for such purpose. The Company acknowledges that each of the Investors has been provided with the same Agreement and form of
Warrant for the purpose of closing a transaction with multiple Investors and not because it was required or requested to do so by any Investor. 
  
 4.16 Limitation of Liability. Notwithstanding anything herein to the contrary, the Company acknowledges and agrees that the liability of an
Investor arising directly or indirectly, under this Agreement or its Warrants of any and every nature whatsoever shall be satisfied solely out of the assets of such Investor, and that no trustee, officer, other investment vehicle or any other
affiliate of such Investor or any investor, shareholder or holder of shares of beneficial interest of such a Investor shall be personally liable for any liabilities of such Investor. 
  
 5. Conditions of Each Investor’s Obligations at the First Closing. The obligations of each Investor to accept
delivery of the First Closing Shares and the First Closing Warrants and to make payments therefor are subject to the fulfillment on or before the First Closing of each of the following conditions, any one or more of which may be waived by an
Investor with respect to such Investor’s obligation: 
  
 5.1
Representations and Warranties. The representations and warranties of the Company contained in Section 2 shall be true on and as of the First Closing with the same effect as though such representations and warranties had been made on and as
of the date of the First Closing. 
  
 5.2 Performance. The
Company shall have performed and complied with all agreements, obligations and conditions contained in this Agreement that are required to be performed or complied with by it on or before the First Closing. 
  
 5.3 Proceedings and Documents. All corporate and other proceedings in
connection with the transactions contemplated herein and all documents incident thereto shall be reasonably satisfactory in form and substance to Investor, and it shall have received all such counterpart original and certified or other copies of
such documents as it may reasonably request. 
  
 5.4 Opinion of
Company Counsel. The Investors shall have received an opinion from counsel to the Company in form and substance reasonably satisfactory to the counsel to SF Capital Partners Ltd. 
  
 5.5 Escrow Agreement. The Company shall have executed and delivered the Escrow Agreement in substantially the form
attached hereto as Exhibit B. 
  

 -16- 

 6. Conditions of the Company’s Obligations at the First Closing. The obligations of the
Company to sell and issue the First Closing Shares and the First Closing Warrants are subject to the fulfillment on or before the First Closing of each of the following conditions by each Investor, any one or more of which may be waived by the
Company: 
  
 6.1 Representations and Warranties. The
representations and warranties of Investors contained in Section 3 shall be true on and as of the First Closing with the same effect as though such representations and warranties had been made on and as of the First Closing. 
  
 6.2 Payment of First Closing Purchase Price. The receipt of same-day
funds in the full amount of the purchase price for the First Closing Shares by the Escrow Agent as specified in Section 1. The Escrow Agent’s wire instructions are attached hereto as Schedule II. 
  
 6.3 Payment of Second Closing Escrow Funds. The deposit of same-day
funds in the full amount of the purchase price for the Second Closing Shares with the Escrow Agent as specified in Section 1. 
  
 6.4 Escrow Agreement. Each Investor shall have executed and delivered the Escrow Agreement in substantially the form attached hereto as Exhibit B.

  
 7. Conditions to The Second Closing. The obligations of
each Investor to accept delivery of and to make payments for, and the Company’s obligation to sell and issue, the Second Closing Shares and the Second Closing Warrants are subject to (i) the Company’s receipt of stockholder approval for
the issuance of the Second Closing Shares and the Second Closing Warrants as may be required pursuant to the rules of the Nasdaq Stock Market (the “Stockholder Approval Condition”); and (ii) the Company’s receipt of stockholder
approval for the amendment of the Company’s Amended and Restated Certificate of Incorporation to increase the number of authorized shares of Common Stock by an amount sufficient to issue the Securities to be issued in the Second Closing (the
“Certificate Amendment”); and (iii) evidence of the filing of the Certificate Amendment with the Delaware Secretary of State; and (iv) receipt by the Investors of an opinion from counsel to the Company in substantially the form attached
hereto as Exhibit C. Upon the satisfaction of the foregoing conditions, (i) the Company will issue to the Investors the Second Closing Shares and Second Closing Warrants; and (ii) the Escrow Agent shall promptly release the Escrowed Funds to the
Company consistent with the terms of the Escrow Agreement, and any interest on the Escrowed Funds shall be returned by the Escrow Agent to the Investors. If the Stockholder Approval Condition is not satisfied by June 30, 2005, then the funds
deposited with the Escrow Agent for the Second Closing shall be returned to the Investors in the manner specified in the Escrow Agreement. 
  
 8. Stockholder Approval Event. The Company is required to seek the stockholder approval in satisfaction of the Stockholder Approval Condition
within 45 days of the date of the First Closing (the “Stockholder Approval Termination Date”). The Stockholder Approval Termination Date may be extended by the Company without notice to the Investors for up to an additional 30 days. If
Stockholder Approval is not obtained by the Stockholder Approval Termination Date, as extended as provided herein, then the obligation of the Investors to purchase Securities in the Second Closing will be terminable at the option of the Investor,
and if terminated, such obligations of the 

  

 -17- 

 
Investor to purchase Securities in the Second Closing shall be deemed null and void. In addition, in the event Stockholder Approval Condition has not been
satisfied by the Company on or before the Stockholder Approval Termination Date (as may be extended by the Company), the Company will release the Investors funds from escrow and have the full amount of such funds returned to Investor. 
  
 9. Offering Termination Date. Unless terminated earlier in the
Company’s sole discretion, the offering herein will expire on the earlier to occur of the Second Closing Date or 11:59 p.m. New York city time on June 30, 2005. 
  
 10. Miscellaneous. 
  
 10.1 Survival of Warranties. The warranties, representations and covenants of the Company and Investor contained in or made pursuant to this
Agreement shall survive for two years after the execution and delivery of this Agreement. 
  
 10.2 Assignment; Successors and Assigns. No provision of this Agreement may be assigned by any Investor without the prior written consent of the Company which shall not be unreasonably withheld. Nothing in this
Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly
provided in this Agreement. 
  
 10.3 Governing Law. This
Agreement shall be governed by and construed under the laws of the State of California as applied to agreements among California residents entered into and to be performed entirely within California. 
  
 10.4 Counterparts. This 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. 
  
 10.5 Titles and Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing
or interpreting this Agreement. 
  
 10.6 Notices, etc. All
notices and other communications required or permitted hereunder shall be in writing and shall be sent by personal delivery, facsimile, overnight courier or mailed by certified or registered mail, postage prepaid, return receipt requested, to the
facsimile number or address as follows: 
  
 Company: 

 
 Curon Medical, Inc. 
 46117 Landing Parkway 
 Fremont, CA 94538-6407

 Facsimile:   (510) 661-1899 
 Attention:   President 
  

 -18- 

 with a copy to: 
  

Wilson Sonsini Goodrich & Rosati, P.C. 
 650 Page Mill Road 
 Palo Alto, CA 94304 
 Facsimile:   (650) 493-6811 
 Attention:   David J. Saul 
  
 Investors: 
  
 To the facsimile number or address for each respective Investor set forth in Schedule I hereto. 
  
 Placement Agent: 
  
 SVB Alliant 
 181 Lytton Avenue 
 Palo Alto, CA 94301

 Facsimile:   (650) 330-3010 
 Attention:   Jeff Berry 
  
 And its sub-agent

  
 The Robins Group LLC 
 3220 SW First Ave 
 Suite 201 
 Portland,OR 97239 
 Facsimile:
  (503) 445-2490 
 Attention:   Marcus W. Robins 
  
 or to such other facsimile number or address provided to the parties to this Agreement in accordance with this Section 7.6. Such notices or
other communications shall be deemed delivered upon receipt, in the case of overnight delivery, personal delivery or facsimile transmission (as evidenced by the confirmation thereof), or 3 days after deposit in the mails (as determined by reference
to the postmark). 
  
 10.7 Finder’s Fee. Except for
SVB Alliant and The Robins Group LLC, no Person has, or as a result of the transactions contemplated herein will have, any right or valid claim against the Company or the Investor for any commission, fee or other compensation as a finder or broker,
or in any similar capacity based upon obligations incurred by the Company. Notwithstanding the foregoing, at the First Closing, the Company shall reimburse SF Capital Partners Ltd. $20,000 in connection with its legal fees concerning the
transactions contemplated by the Transaction Documents (SF Capital Partners Ltd. may deduct such amount from the portion of its investment amount deliverable to the Company at the First Closing), it being understood that Bryan Cave LLP has only
rendered legal advice to SF Capital Partners Ltd., and not to the Company or any Investor in connection with the transactions contemplated hereby, and that each of the Company and each Investor has relied for such matters on the advice of its own
respective counsel. 
  

 -19- 

 10.8 Expenses. Irrespective of whether any Closing is effected, each party shall pay its own costs
and expenses that it incurs with respect to the negotiation, execution, delivery and performance of this Agreement. If any action at law or in equity is necessary to enforce or interpret the terms of this Agreement, the prevailing party shall be
entitled to reasonable attorney’s fees, costs and necessary disbursements in addition to any other relief to which such party may be entitled. 
  
 10.9 Amendments and Waivers. Any term of this Agreement may be amended and the observance of any term of this Agreement may be waived (either
generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Company and a majority in interest of the Investors. Any amendment or waiver effected in accordance with this paragraph shall be
binding upon each holder of any securities purchased under this Agreement at the time outstanding (including securities into which such securities are convertible), each future holder of all such securities, and the Company. Each Investor
acknowledges and agrees that a majority in interest may effect any amendment or waiver hereunder adverse to their interests. 
  
 10.10 Severability. If one or more provisions of this Agreement are held to be unenforceable under applicable law, such provision shall be excluded
from this Agreement and the balance of the Agreement shall be interpreted as if such provision were so excluded and shall be enforceable in accordance with its terms. 
  
 10.11 Entire Agreement. This Agreement and the documents referred to herein constitute the entire agreement among the
parties and no party shall be liable or bound to any other party in any manner by any warranties, representations, or covenants except as specifically set forth herein or therein. 
  
 [Signature Page Follows] 
  

 -20- 

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

  

			
	COMPANY:
	
	CURON MEDICAL, INC.
		
	By:	 	 /s/ Larry C. Heaton II

	 	 	Larry Heaton
	 	 	President and Chief Executive Officer

  
 [Signature Page
to Curon Medical, Inc. Stock Purchase Agreement Amendment] 

			
	ADDITIONAL INVESTORS:
	
	IROQUOIS MASTER FUND LTD.
		
	By:	 	 /s/ Joshua Silverman

	Name:	 	Joshua Silverman
	Title:	 	Authorized Signatory

  
 [Signature Page
to Curon Medical, Inc. Stock Purchase Agreement] 

			
	As to Amendment only
	
	ATLAS EQUITY I, LTD
		
	By:	 	 /s/ Michael Wasserman

	Name:	 	Michael Wasserman
	Title:	 	Authorized Signatory

  
 [Signature Page
to Curon Medical, Inc. Stock Purchase Agreement] 

			
	As to Amendment only
	
	SF CAPITAL PARTNERS LTD.
		
	By:	 	 /s/ Brian Davidson

	Name:	 	Brian Davidson
	Title:	 	Authorized Person

  
 [Signature Page
to Curon Medical, Inc. Stock Purchase Agreement] 

			
	As to Amendment only
	
	PROMED PARTNERS, L.P.
	PROMED PARTNERS II, L.P.
		
	By:	 	 /s/ Barry Kurokawa

	Name:	 	Barry Kurokawa
	Title:	 	Managing Director
	
	As to Amendment only
	
	PROMED OFFSHORE FUND, LTD.
	PROMED OFFSHORE FUND II, LTD.
		
	By:	 	 /s/ Barry Kurokawa

	Name:	 	Barry Kurokawa
	Title:	 	Managing Director

  
 [Signature Page
to Curon Medical, Inc. Stock Purchase Agreement] 

			
	As to Amendment only
	
	MICRO CAP PARTNERS, L.P.
		
	By:	 	 /s/ William L. Edwards

	Name:	 	William L. Edwards
	Title:	 	General Partner
	
	As to Amendment only
	
	PALO ALTO HEALTHCARE FUND, L.P.
		
	By:	 	 /s/ William L. Edwards

	Name:	 	William L. Edwards
	Title:	 	General Partner

  
 [Signature Page
to Curon Medical, Inc. Stock Purchase Agreement] 

 Schedule I 
  

Schedule of Investors 
  

													
	 Investor Name, Address and Fax Number

	  	First Closing
Purchase
Price

	  	First
Closing
Shares

	  	First
Closing
Warrants

	  	Second Closing
Purchase Price

	  	Second
Closing
Shares

	  	Second
Closing
Warrants

	 Atlas Equity I, LTD
 c/o Balyasny Asset Management
LLC
 Scott Schroeder
 181 W. Madison
 Suite 3600
 Chicago, IL 60602
 Phone: 312-499-2999
 sschroeder@bam-us.com
	  	$497,825.25	  	765,885	  	382,942	  	$1,252,174.95	  	1,926,423	  	963,212
							
	 Cimarron Overseas Equity
 Master Fund
L.P.
 c/o Cimarron Biomedical Investors
 Rob
Blakeney
 2626 Cole Avenue
 Suite 200
 Dallas, TX 75204
 Phone: 214-540-4802
 rblakeney@cimarronlp.com
	  	$78,229.45	  	120,353	  	60,176	  	$196,769.95	  	302,723	  	151,362
							
	 Crown Growth Partners II
 c/o Crown
Advisors
 David Bellet
 The Lincoln Building
 60 East 42nd Street
 Suite 3405
 New York, NY 10165
 Phone: 212-808-5278
 bellet@crownadvisors.com
	  	$3,272.75	  	5,035	  	2,517	  	$8,232.25	  	12,665	  	6,333
							
	 Crown Growth Partners, L.P.
 c/o Crown
Advisors
 David Bellet
 The Lincoln Building
 60 East 42nd Street
 Suite 3405
 New York, NY 10165
 Phone: 212-808-5278
 bellet@crownadvisors.com
	  	$45,172.40	  	69,496	  	34,748	  	$113,622.60	  	174,804	  	87,402

													
	 Harvest Capital, LP
 c/o Harvest Management
LLC
 John Christ
 600 Madison Avenue; 11th Floor
 New York, NY 10022
 Phone: 212-634-3600
 Fax: 212-634-3636
 mr@harvestmgmt.com
 jc@harvestmgmt.com
	  	$17,024.15	  	26,191	  	13,095	  	$42,821.35	  	65,879	  	32,940
							
	 Harvest Offshore Investors, Ltd.
 c/o Harvest
Management LLC
 John Christ
 600 Madison Avenue; 11th
Floor
 New York, NY 10022
 Phone: 212-634-3600
 Fax: 212-634-3636
 mr@harvestmgmt.com
 jc@harvestmgmt.com
	  	$43,707.95	  	67,243	  	33,621	  	$109,939.05	  	169,137	  	84,569
							
	 New Americans, LLC
 c/o Harvest Management
LLC
 John Christ
 600 Madison Avenue; 11th Floor
 New York, NY 10022
 Phone: 212-634-3600
 Fax: 212-634-3636
 mr@harvestmgmt.com
 jc@harvestmgmt.com
	  	$4,956.90	  	7,626	  	3,813	  	$12,469.60	  	19,184	  	9,592
							
	 CL Harvest, LLC
 c/o Harvest Management
LLC
 John Christ
 600 Madison Avenue; 11th Floor
 New York, NY 10022
 Phone: 212-634-3600
 Fax: 212-634-3636
 mr@harvestmgmt.com
 jc@harvestmgmt.com
	  	$1,889.55	  	2,907	  	1,453	  	$4,753.45	  	7,313	  	3,657

													
	 Harvest AA Capital, LP
 c/o Harvest Management
LLC
 John Christ
 600 Madison Avenue; 11th Floor
 New York, NY 10022
 Phone: 212-634-3600
 Fax: 212-634-3636
 mr@harvestmgmt.com
 jc@harvestmgmt.com
	  	$3,608.80	  	5,552	  	2,776	  	$9,079.20	  	13,968	  	6,984
							
	 Lewis Opportunity Fund LP
 Lewis Opportunity Fund
LP
 Austin Lewis
 45 Rockefeller Plaza
 New York, NY 10011
 Phone: 212-541-4367
 austin@lewisfunds.com
	  	$13,867.75	  	21,335	  	10,667	  	$34,882.25	  	53,665	  	26,833
							
	 Meadowbrook Opportunity Fund, LLC
 c/o Meadowbrook
Capital Management LLC
 Dan Elekman
 520 Lake Cook
Road
 Suite 690
 Deerfield, IL 60015
 Phone: 847-876-1220
 delekman@meadowbrookcapital.com
	  	$55,471.65	  	85,341	  	42,670	  	$139,528.35	  	214,659	  	107,330
							
	 Micro Cap Partners, L.P.
 c/o Palo Alto
Investors
 William Edwards
 470 University Avenue
 Palo Alto, CA 94301
 Phone: 650-325-0772
	  	$312,918.45	  	481,413	  	240,706	  	$787,080.45	  	1,210,893	  	605,447
							
	 Palo Alto Healthcare Fund, L.P.
 c/o Palo Alto
Investors
 William Edwards
 470 University Avenue
 Palo Alto, CA 94301
 Phone: 650-325-0772
	  	$113,788.35	  	175,059	  	87,529	  	$286,211.25	  	440,325	  	220,163

															
	 Stroller Tod White and Linda
 White,
Trustees of the Tod &
 Linda White Revocable Trust,
 dated 5/21/98
 c/o Princeton Capital Management, Inc.
 Jim Fitzpatrick
 47 Hulfish Street
 Suite 500
 Princeton, NJ 08542
 Phone: 609-924-6867
 info@pcminvest.com
	  	$	56,893.85	  	87,529	  	43,764	  	$	143,105.95	  	220,163	  	110,082
							
	 Branco Weiss
 c/o Princeton Capital Management, Inc.
 Jim Fitzpatrick
 47 Hulfish Street
 Suite 500
 Princeton, NJ 08542
 Phone: 609-924-6867
 info@pcminvest.com
	  	$	142,235.60	  	218,824	  	109,412	  	$	357,763.90	  	550,406	  	275,203
							
	 William H. Reaves – PCM
 c/o Princeton Capital Management, Inc.
 Jim Fitzpatrick
 47 Hulfish Street
 Suite 500
 Princeton, NJ 08542
 Phone: 609-924-6867
 info@pcminvest.com
	  	$	71,117.15	  	109,411	  	54,705	  	$	178,881.95	  	275,203	  	137,602
							
	 Young Enterprise Securities, LLC
 c/o Princeton Capital Management, Inc.
 Jim Fitzpatrick
 47 Hulfish Street
 Suite 500
 Princeton, NJ 08542
 Phone: 609-924-6867
 info@pcminvest.com
	  	$	56,893.85	  	87,529	  	43,764	  	$	143,105.95	  	220,163	  	110,082

															
	 Hugh and Constance Fitzpatrick
 c/o Princeton Capital Management, Inc.
 Jim Fitzpatrick
 47 Hulfish Street
 Suite 500
 Princeton, NJ 08542
 Phone: 609-924-6867
 info@pcminvest.com
	  	$	17,067.70	  	26,258	  	13,129	  	$	42,931.20	  	66,048	  	33,024
							
	 Nancye Allen Fitzpatrick
 c/o Princeton Capital Management, Inc.
 Jim Fitzpatrick
 47 Hulfish Street
 Suite 500
 Princeton, NJ 08542
 Phone: 609-924-6867
 info@pcminvest.com
	  	$	11,378.25	  	17,505	  	8,752	  	$	28,621.45	  	44,033	  	22,017
							
	 ProMed Partners, L.P.
 c/o ProMed Management, Inc.
 Barry Kurokawa
 237 Park Avenue
 9th Floor
 New York, NY 10017
 Phone: 212-692-3626
 bkurokawa@promedmgmt.com
	  	$	88,545.60	  	136,224	  	68,112	  	$	222,719.90	  	342,646	  	171,323
							
	 ProMed Partners II, L.P.
 c/o ProMed Management, Inc.
 Barry Kurokawa
 237 Park Avenue
 9th Floor
 New York, NY 10017
 Phone: 212-692-3626
 bkurokawa@promedmgmt.com
	  	$	22,935.25	  	35,285	  	17,642	  	$	57,690.75	  	88,755	  	44,378

															
	 ProMed Offshore Fund, Ltd.
 c/o ProMed Management, Inc.
 Barry Kurokawa
 237 Park Avenue
 9th Floor
 New York, NY 10017
 Phone: 212-692-3626
 bkurokawa@promedmgmt.com
	  	$	14,396.20	  	22,148	  	11,074	  	$	36,212.80	  	55,712	  	27,856
							
	 ProMed Offshore Fund II, Ltd.
 c/o ProMed Management, Inc.
 Barry Kurokawa
 237 Park Avenue
 9th Floor
 New York, NY 10017
 Phone: 212-692-3626
 bkurokawa@promedmgmt.com
	  	$	300,829.75	  	462,815	  	231,407	  	$	756,674.75	  	1,164,115	  	582,058
							
	 SF Capital Partners Ltd.
 SF Capital Partners Ltd.
 c/o Stark Offshore Management, LLC
 3600 South Lake Drive
 St. Francis, WI 53235
 Attn: Brian Davidson
 Phone: 414-294-7000
 Fax: 414-294-7700
 bdavidson@sf-capital.com
	  	$	853,414.90	  	1,312,946	  	656,473	  	$	2,146,586.00	  	3,302,440	  	1,651,220
							
	 Walker Smith Capital, L.P.
 Walker Smith Capital, L.P.
 Joe Worsham
 300 Crescent Court, Suite 1111
 Dallas, TX 75201
 Phone: 214-756-6073
 joe@walksmith.com
	  	$	12,487.80	  	19,212	  	9,606	  	$	31,411.90	  	48,326	  	24,163

															
	 Walker Smith Capital (QP), L.P.
 Walker Smith Capital (QP), L.P.
 Joe Worsham
 300 Crescent Court, Suite 1111
 Dallas, TX 75201
 Phone: 214-756-6073
 joe@walksmith.com
	  	$	65,712.40	  	101,096	  	50,548	  	$	165,287.20	  	254,288	  	127,144
							
	 Walker Smith International Fund, Ltd.
 Walker Smith International Fund, Ltd.
 Joe Worsham
 300 Crescent Court, Suite 1111
 Dallas, TX 75201
 Phone: 214-756-6073
 joe@walksmith.com
	  	$	92,481.35	  	142,279	  	71,139	  	$	232,618.75	  	357,875	  	178,938
							
	 SRB Greenway Capital, L.P.
 SRB Greenway Capital, L.P.
 Joe Worsham
 300 Crescent Court, Suite 1111
 Dallas, TX 75201
 Phone: 214-756-6073
 joe@walksmith.com
	  	$	26,057.20	  	40,088	  	20,044	  	$	65,543.40	  	100,836	  	50,418
							
	 SRB Greenway Capital (QP), L.P.
 SRB Greenway Capital (QP), L.P.
 Joe Worsham
 300 Crescent Court, Suite 1111
 Dallas, TX 75201
 Phone: 214-756-6073
 joe@walksmith.com
	  	$	16,612.70	  	25,558	  	12,779	  	$	41,787.20	  	64,288	  	32,144
							
	 SRB Greenway Offshore Operating Fund, L.P.
 SRB Greenway Offshore Operating Fund, L.P.
 Joe Worsham
 300 Crescent Court, Suite 1111
 Dallas, TX 75201
 Phone: 214-756-6073
 joe@walksmith.com
	  	$	184,906.15	  	284,471	  	142,235	  	$	465,093.85	  	715,529	  	357,765
	 	  	
	
	  	
	  	
	  	
	
	  	
	  	

							
	 Total
	  	$	3,225,699.10	  	4,962,614	  	2,481,298	  	$	8,113,601.60	  	12,482,464	  	6,241,241
	 	  	
	
	  	
	  	
	  	
	
	  	
	  	

 Schedule I-A 
  
 Schedule of Additional Investors 
  

								
	 Investor Name, Address and Fax
 Number

	  	Second Closing
Purchase Price

	  	 Second
 Closing
 Shares

	  	 Second
 Closing
Warrants

	 Iroquois Master Fund Ltd.
 Iroquois Capital, L.P.
 Joshua Silverman
 641 Lexington Avenue, 26th Floor
 New York, NY 10022
 Phone: 212-974-3070
	  	$	650,000	  	1,000,000	  	500,000

  
  

 Schedule II 
  
 Escrow Agent Wire Instructions 
  
 Mellon Bank 
  
 ABA 043000261 
  
 Reorg Cash 
  
 Curon Medical 
  
 Acct # 1002331 
  
 Attn Evelyn O’Connor 

 Exhibit A 
  

Form of Warrant 

 Exhibit B 
  

Escrow Agreement 

 

 
  
 ESCROW AGENT AGREEMENT

 ESCROW AGREEMENT 
  
 ESCROW AGREEMENT (the “Escrow Agreement”), dated as of April 7, 2005, among Curon Medical, Inc., a Delaware
corporation (“Company”), the investors on Schedule A attached hereto (each, an “Investor,” together, the “Investors”), Atlas Equity I, Ltd. (the “Investor Representative”), and MELLON INVESTOR SERVICES LLC, a
New Jersey limited liability company (the “Escrow Agent”). 
  
 WHEREAS, the Company and the Investors have entered into a Stock Purchase Agreement in connection with a private placement undertaken by the Company (the “Stock Purchase Agreement”); and 
  
 WHEREAS, the Company and the Investors have agreed to deposit immediately
available funds for a First Closing and a Second Closing (as defined in the Stock Purchase Agreement) (the “Funds”) to the Escrow Agent for deposit into an escrow account (the “Escrow Account”) to be established in accordance
with this Escrow Agreement; and 
  
 WHEREAS, the Company and the
Investors desire to appoint Mellon Investor Services LLC to act as Escrow Agent for the Funds and any other funds deposited or held in the Escrow Account from time to time in accordance with this Escrow Agreement, including without limitation
interest, income or earnings thereon (collectively the “Escrowed Property”). 
  
 NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth, the parties hereto agree as follows: 
  
 Section 1. Appointment of the Escrow Agent and Investor Representative. 
  
 The Escrow Agent is hereby appointed, and hereby agrees, to act as the
Escrow Agent hereunder upon the terms set forth herein, and to accept the Funds, deposit the Funds in the Escrow Account and otherwise perform the duties of the Escrow Agent expressly set forth in this Escrow Agreement. The Escrow Agent shall hold
and safeguard the Funds and any other Escrowed Property deposited or held from time to time in the Escrow Account during the term of this Escrow Agreement. The Investor Representative is hereby appointed, and hereby agrees, to act as
attorney-in-fact on behalf of all of the Investors with regards to the subject matter of this Escrow Agreement. 
  
 Section 2. Receipt of Property. 
  
 (a) The Escrow Agent hereby acknowledges receipt from the Investors of immediately available funds in the aggregate amount of $11,339,300.70. 

 
 (b) So long as the Escrow Agent is holding the Funds or any other funds or
cash in the Escrow Account in accordance with this Agreement, it shall invest such Funds in, and pay interest at the Dreyfus General Money Market Fund Class B rate. All income and earnings from the investment of the Escrowed Property shall be
credited to, and become a part of, the Escrowed Property, and any losses on any such investments shall be debited to the Escrow 

 
Account. The Escrow Agent shall have no duty, responsibility or obligation to invest any funds or cash held in the Escrow Account other than in accordance
with this Section 2(b). The Escrow Agent shall have no liability or responsibility for any investment losses, including without limitation any market loss on any investment liquidated (whether at or prior to maturity) in order to make a payment
required under this Escrow Agreement. The Escrow Agent may, in making or disposing of any investment permitted by this Escrow Agreement, deal with itself, in its individual capacity, or any of its affiliates, whether or not it or such affiliate is
acting as a subagent of the Escrow Agent or for any third person or dealing as principal for its own account. 
  
 Section 3. Disbursements from Escrow Account. 
  
 (a) At any time on or before June 30, 2005 (the “Escrow Termination Date”), the Escrow Agent shall make disbursements from the Escrow Account
upon receipt of joint written instructions executed by the Investor Representative and an Appropriate Officer of the Company instructing the Escrow Agent how to disburse the Escrowed Property or any part thereof (including without limitation income
or earnings thereon), and specifically setting forth the exact amount of cash to be disbursed and the identity of the person or entity to which a disbursement is to be made, then the Escrow Agent shall forthwith transfer from the Escrow Account and
disburse the Escrowed Property or such part thereof in accordance with such instructions. 
  
 (b) Without affecting any of the rights and obligations of Escrow Agent or limiting the provisions of section 3(a) hereof, and for the sole purpose of setting forth the rights and obligations of the Investors, the
Investor Representative, and the Company with regards to the release of the Escrowed Property, the Investors, the Investor Representative, and the Company agree that: 
  
 (i) In the event the conditions to the First Closing are fulfilled, by satisfaction or waiver, by both the
Company and the Investors prior to the Escrow Termination Date, pursuant to Section 3(a) hereof, the Investor Representative shall execute joint written instructions with an Appropriate Officer of the Company to direct Escrow Agent to promptly
disburse all Funds attributable to the First Closing to the Company; 
  
 (ii) In the event the conditions to the Second Closing are satisfied prior to the Escrow Termination Date, the Investor Representative shall execute joint written instructions with an Appropriate Officer of the
Company to direct Escrow Agent to promptly disburse the Funds to the Company, and any remaining Escrowed Property shall be returned to the Investors; 
  
 (iii) In the event the conditions to the Second Closing are not satisfied prior to the Escrow Termination Date, the Company shall cause an
Appropriate Officer of the Company to execute joint written instructions with the Investor Representative to direct Escrow Agent to promptly disburse the Escrowed Property to the Investors in accordance with their pro rata interest therein; and

  

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 (iv) Notwithstanding the foregoing, in the event the Company has not received stockholder
approval of the transactions contemplated by the Stock Purchase Agreement within 75 days of the date hereof, the Company shall cause an Appropriate Officer of the Company to execute joint written instructions with the Investor Representative to
direct Escrow Agent to promptly disburse that portion of the Escrowed Property to an Investor who elects to have its pro rata portion of the Escrowed Property released from escrow. 
  
 (c) The Escrow Agent shall disburse the Escrowed Property only in accordance with this Section 3 or Section 5. 

 
 (d) For purposes of this Escrow Agreement, the term “Appropriate
Officers” means the President, Chief Executive Officer, or Chief Financial Officer of the Company as set forth on the Company’s most recently filed report with the Securities and Exchange Commission. 
  
 (e) The transfer of any of the Escrowed Property by the Escrow Agent to any
party pursuant to this Section 3 shall be made by such means as shall be set forth in the joint instructions from the Company and the Investors delivered and satisfactory to the Escrow Agent. 
  
 Section 4. The Escrow Agent. 
  
 The Escrow Agent: 
  
 (i) shall act hereunder as an escrow agent only and shall
not be responsible or liable in any matter whatever for the sufficiency, collection, correctness, genuineness or validity of any revenues, cash, payments, securities, property, funds, investments, income, earnings or other amounts deposited with or
held by it or for the identity, authority or rights of any person or entity executing and delivering or purporting to execute or deliver any thereof to the Escrow Agent; 
  
 (ii) shall be fully protected in acting upon any written notice, instruction, direction, request or other
communication, paper or document which the Escrow Agent believes to be genuine, and shall have no duty to inquire into or investigate the validity, accuracy or content of any thereof; 
  
 (iii) shall not be liable for any error of judgment or for any action taken, suffered or omitted to be taken
except in the case of its own gross negligence or bad faith, as determined by a final non-appealable order, judgment, decree or ruling of a court of competent jurisdiction. In no event shall the Escrow Agent be (A) liable for acting in accordance
with a notice, instruction, direction, request or other communication, paper or document from the Company or the Investor Representative or (B) liable or responsible for special, punitive, indirect, consequential or incidental loss or damages of any
kind whatsoever to any person or entity (including without limitation lost profits), even if the Escrow Agent has been advised of the likelihood of such loss or damage. Any liability of the 

  

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Escrow Agent under this Escrow Agreement will be limited to the amount of fees paid to the Escrow Agent; 
  
 (iv) may consult with and obtain advice from counsel (who
may be counsel to a party hereto or an employee of the Escrow Agent) and shall be fully protected in taking, suffering or omitting to take any action in reliance on said advice; 
  
 (v) shall have no duties, responsibilities or obligations as the Escrow Agent except those which are
expressly set forth herein, and in any modification or amendment hereof to which the Escrow Agent has consented in writing, and no duties, responsibilities or obligations shall be implied or inferred. Without limiting the foregoing, the Escrow Agent
shall not be subject to, nor be required to comply with, or determine if any person or entity has complied with, the Stock Purchase Agreement or any other agreement between or among the parties hereto, even though reference thereto may be made in
this Escrow Agreement, or to comply with any notice, instruction, direction, request or other communication, paper or document other than as expressly set forth in this Escrow Agreement; 
  
 (vi) may execute or perform any duty, responsibility or obligation hereunder either directly or through
agents, attorneys, accountants or other experts; 
  
 (vii) may engage or be interested in any financial or other transaction with the Company or any party hereto or affiliate thereof, and may act on, or as depositary, trustee or agent for, any committee or body of holders of obligations of
such party or affiliate, as freely as if it were not the Escrow Agent hereunder; 
  
 (viii) shall not be obligated to expend or risk its own funds or to take any action which it believes would expose it to expense or
liability or to a risk of incurring expense or liability, unless it has been furnished with assurances of repayment or indemnity satisfactory to it; 
  
 (ix) shall not take instructions or directions except those given in accordance with this Escrow Agreement; 
  
 (x) shall not incur any liability for not performing any
act, duty, obligation or responsibility by reason of any occurrence beyond the control of the Escrow Agent (including without limitation any act or provision of any present or future law or regulation or governmental authority, any act of God, war,
civil disorder or failure of any means of communication); and 
  
 (xi) shall not be called upon to advise any person or entity as to any investments with respect to any security, property or funds held in escrow hereunder or the dividends, distributions, income, interest or earnings
thereon. 
  

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 Section 5. Miscellaneous. 
  
 (a) Fees and Expenses. The Escrow Agent shall be entitled to reasonable compensation for its services as Escrow Agent
hereunder in accordance with the Schedule of Fees attached hereto. The Company shall pay all amounts due hereunder upon invoice from the Escrow Agent after the Escrow Termination Date. The obligations contained in this Section 5(a) shall survive the
termination of this Escrow Agreement and the resignation or removal of the Escrow Agreement. 
  
 (b) Indemnification. The Company and each Investor (to the extent of its interest in the Escrowed Property), jointly and severally, agree to indemnify, defend, protect, save and keep harmless the Escrow Agent
and its affiliates and their respective successors, assigns, directors, officers, managers, employees, agents, attorneys, accountants and experts (collectively the “Indemnitees”), from and against any and all direct losses, damages,
claims, liabilities, penalties, judgments, settlements, actions, suits, proceedings, litigation, investigations, and costs or expenses therefrom, including without limitation reasonable fees and disbursements of counsel (collectively
“Losses”), that may be imposed on, incurred by, or asserted against any Indemnitee, at any time, and in any way relating to or arising out of the execution, delivery or performance of this Escrow Agreement, the enforcement of any rights or
remedies under or in connection with this Escrow Agreement, the establishment of the Escrow Account, the acceptance or administration of the Escrowed Property and any payment, transfer or other application of funds pursuant to this Escrow Agreement,
or as may arise by reason of any act, omission or error of the Indemnitee; provided, however, that no Indemnitee shall be entitled to be so indemnified, defended, protected, saved and kept harmless to the extent such Loss was
proximately caused by its own gross negligence or bad faith, as determined by a final, non-appealable order, judgment, decree or ruling of a court of competent jurisdiction. The obligations contained in this Section 5(b) shall survive the
termination of this Escrow Agreement and the resignation or removal of the Escrow Agreement. 
  
 (c) Termination. Except as specifically set forth in Sections 5(a), 5(b) and 5(n) hereof, this Escrow Agreement shall terminate upon final distribution and disbursement of all of the Escrowed Property,
including income and earnings thereon, in accordance with Section 3 hereof. 
  
 (d) Notices. All notices, instructions, directions, requests or other communications hereunder shall be in writing and shall be delivered personally, sent by facsimile transmission (with immediate confirmation
of receipt thereafter by telephone or otherwise), or sent by U.S. registered, certified or express mail, first class postage prepaid, return receipt requested, or sent by a nationally recognized overnight courier service, marked for overnight
delivery. Any such notice, instruction, direction, request or communication shall be deemed given when so delivered personally, or sent by facsimile transmission (provided confirmation of receipt is received immediately thereafter); or if sent by
express mail or overnight courier, one (1) Business Day after the date of delivery to a U.S. Post Office or the courier service marked for overnight delivery; or if so sent by registered or certified mail, seven (7) days after the date of deposit in
the mails; in each case addressed to each party at its address set forth beneath its signature hereto or to such other address as a party hereto may specify from time to time by notice to each other party given as provided herein. For purposes of
this Escrow 

  

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Agreement, the term “Business Day” means any day other than a Saturday, Sunday or a day on which commercial banks in the States of New Jersey or
New York are required or authorized by law to close. 
  
 (e)
Benefit of Agreement. This Escrow Agreement and all rights and obligations hereunder in and to the Escrowed Property and the Escrow Account and any and all written instruments evidencing investments made from the funds held in the Escrow
Account shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. 
  
 (f) Amendment, Modification, Waiver and Consent. No amendment, modification or waiver of any provision of this Escrow Agreement, nor any consent to
any departure therefrom, by any party hereto shall be valid or effective for any purpose unless the same shall be in writing and signed by the party to be charged therewith, and then such amendment, modification, waiver or consent shall be effective
only in the specific instance and for the specific purpose given. Any notice to, or demand on, any party for any purpose not specifically required of another hereunder shall not entitle the first party to any other or further notice or demand in the
same, similar or other circumstances unless specifically required hereunder. 
  
 (g) Conflicts and Severability. In the event of any conflict between the terms and provisions of this Escrow Agreement and those of the Stock Purchase Agreement, the terms and conditions of this Escrow
Agreement shall control. If any provision of this Escrow Agreement is determined to be prohibited or unenforceable by reason of any applicable law of a jurisdiction, then such provision shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining provisions thereof, and any such prohibition or unenforceability in such jurisdiction shall not invalidate or render unenforceable such provisions in any other jurisdiction.
Where, however, the conflicting provisions of any such applicable law may be waived, they are hereby irrevocably waived by the parties hereto to the fullest extent permitted by law, to the end that this Escrow Agreement shall be enforced as written.

  
 (h) No Interest of Third Parties. Except as expressly
provided in Section 5(b), nothing in this Escrow Agreement, whether express or implied, shall be construed to give to any person or entity other than the parties hereto any legal or equitable right, remedy, interest or claim under or in respect of
this Escrow Agreement or any funds escrowed hereunder. 
  
 (i)
Titles and Headings. Titles and headings to sections herein are inserted for convenience of reference only and are not intended to be part of or to affect the meaning or interpretation of this Escrow Agreement. 
  
 (j) Applicable Law and Forum. This Escrow Agreement and all
amendments, modifications and waivers thereof shall, in all respects, be governed by and construed and enforced in accordance with the internal laws (without regard to principles of conflicts of law) of the State of New York. Each party hereto
hereby irrevocably submits to the personal jurisdiction of the state and federal courts located within the City and State of New York with respect to any action, suit or proceeding relating to or arising from this Escrow Agreement. Each party hereto

  

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irrevocably waives (i) any claim or defense based upon improper venue or inconvenient forum with respect to any action, suit or proceeding brought in any
such court and (ii) the right to trial by jury in any action, suit or proceeding relating to or arising under this Escrow Agreement. Each party waives personal service of process and consents to the service of process by the manner set forth in
Section 5(d), in addition to any other method of service of process permitted by applicable law. 
  
 (k) Execution in Counterparts. This Escrow Agreement may be executed in one or more counterparts, each of which shall be an original and all of
which, taken together, shall be considered one and the same agreement, and shall become a binding agreement when one or more counterparts have been signed by each party hereto and delivered to each other party or such party’s representative.

  
 (l) Resignation or Replacement of Escrow Agent.

  
 (i) The Escrow Agent may at any time resign
by giving not less than 30 days’ notice to the Company and the Investor Representative, or may be removed jointly by the Company and the Investor Representative by giving not less than 30 days’ notice to the Escrow Agent. 
  
 (ii) Any person or entity into which the Escrow Agent may be
merged or converted or with which it may be consolidated, or any person or entity resulting from any merger, conversion or consolidation to which the Escrow Agent shall be a party, or any person or entity to which substantially all the stock
transfer business of the Escrow Agent may be transferred, shall automatically be the Escrow Agent under this Escrow Agreement without further act. 
  
 (m) Ambiguity and Disputes. 
  
 (i) In the event the Escrow Agent believes any ambiguity or uncertainty exists hereunder or in any notice, instruction, direction, request
or other communication, paper or document received by the Escrow Agent hereunder, Escrow Agent, may, in its sole discretion, refrain from taking any action, and shall be fully protected and shall not be liable in any way to the Company, the Investor
Representative, or any Investor, or other person or entity for refraining from taking such action, unless the Escrow Agent receives written instructions signed by the Company and the Investor Representative which eliminates such ambiguity or
uncertainty to the satisfaction of Escrow Agent. 
  
 (ii) If any dispute between or conflicting claims by or among the Company, the Investor Representative, or any Investor, or other person or entity with respect to this Escrow Agreement, the Escrowed Property or the Escrow Account arises,
the Escrow Agent may, in its sole discretion, at its option (A) initiate an action in interpleader or another appropriate 

  

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action, suit or proceeding in a court of competent jurisdiction seeking to resolve such dispute or claims and/or (B) refrain from complying with any claim,
notice, instruction, direction, request or other communication, paper or document, so long as such dispute or conflict shall continue, and (in either case) shall be fully protected and shall not be liable in any way to the Company, the Investor
Representatives, any Investor, or other person or entity for failure or refusal to comply with such conflicting claims, notices, instructions, directions, requests, communications, papers or documents until the Escrow Agent is satisfied, in its sole
discretion, that such conflicting claims, notices, instructions, directions, requests, communications, papers or documents have been definitively determined by a final, non-appealable order, judgment, decree or ruling of a court of competent
jurisdiction or settled by agreement between the conflicting parties as evidenced in a writing satisfactory to the Escrow Agent. 
  
 (n) Tax Issues. The parties acknowledge that the Escrow Agent does not have any interest in the Escrowed Property or the Escrow Account, but is
serving only as escrow holder hereunder. Without limiting the foregoing, the Investors shall be responsible for any taxes relating to the Escrowed Property, the Escrow Account and funds on deposit therein and the income and earnings thereon. Any
disbursements of the Escrowed Property or payments from the Escrow Account shall be subject to withholding taxes and regulations then in force under the United States Federal Income Tax Code. For tax purposes, the Escrow Agent shall report all
income and earnings from the investment of the Escrowed Property to the extent such income or earnings are distributed by the Escrow Agent to any person or entity pursuant to this Escrow Agreement, as being allocated to such person or entity and.
The Investors will provide the Escrow Agent with appropriate forms for tax certifications, as requested by the Escrow Agent. This Section 5(n) shall survive the termination of this Escrow Agreement and the resignation or removal of the Escrow Agent.

  
 (o) Compliance With Process. Notwithstanding anything
in this Escrow Agreement to the contrary, if at any time the Escrow Agent is served with any judicial or administrative order, judgment, decree, writ or other form of judicial or administrative process which in any way affects the Escrow Agent, the
Escrow Account or the Escrowed Property (including without limitation orders of attachment or garnishment or levies or injunctions), the Escrow Agent is authorized to comply therewith in any manner it deems appropriate, and shall be fully protected
from doing so even if such order, judgement, decree, writ or process may be subsequently amended, modified, vacated or otherwise determined to be invalid or without legal force or effect. 
  
 (p) Representations. The Company and each Investor represents and warrants, as to itself, that it is a corporation
duly organized, validly existing in good standing under its respective jurisdiction of organization. The Company and each Investor represents and warrants, as to itself, that it has all requisite power and authority to execute, deliver and perform
its obligations under this Escrow Agreement and this Escrow Agreement has been duly authorized, executed and delivered by it and constitutes its legal, valid, binding and enforceable obligations and the execution, delivery and performance by it of
this Escrow Agreement do not and will not violate or require consent under any of its organizational documents, any law, 

  

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statute, rule, regulation or ordinance or contract, agreement, instrument, indenture or other undertaking to which it is a party or by which it or its
property may be bound. Investor Representative further represents and warrants that he has the irrevocable right, power and authority to act on behalf of and bind all of the Investors, to give and receive notices, instructions, directions, requests
or other communications hereunder and to make determinations that may be necessary or appropriate under this Escrow Agreement. 
  
 (q) Merger Clause. This Escrow Agreement constitutes the entire agreement of the parties with respect to the subject matter hereof, and supersedes
any prior oral or written agreements in regard thereto. 
  
 (r)
Cumulative Remedies. The rights and remedies of the Escrow Agent set forth in this Escrow Agreement shall be cumulative, and not exclusive, of any rights and remedies available to it at law or equity or otherwise. 
  
 [Remainder of Page Intentionally Left Blank] 
  

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 IN WITNESS WHEREOF, the parties have executed this Escrow Agreement as of the day and year first
above written. 
  

			
	CURON MEDICAL, INC.
		
	By:	 	  

	Name:	 	 
	Title:	 	 
		
	 	 	Taxpayer Identification Number:
		
	 	 	Address for Notices:
	
	 ATLAS EQUITY I., LTD.
 in its capacity as the
Investor Representative

		
	By:	 	  

	Name:	 	 
	Title:	 	 
		
	 	 	Address for Notices:
	
	 MELLON INVESTOR SERVICES LLC,
 as Escrow
Agent

		
	By:	 	  

	Name:	 	 
	Title:	 	 
		
	 	 	Address for Notices:
	
	 85 Challenger Road

	 Ridgefield Park, NJ 07660

	 Attention: Relationship Manager

			
	 [INVESTOR]

		
	 By:
	 	  

	 Name:
	 	 
	 Title:
	 	 
		
	 	 	 Taxpayer Identification Number:

		
	 	 	 Address for Notices:

  

 Signature Page to Escrow Agreement 

 Schedule A 
  
 Schedule of Investors 

 MELLON INVESTOR SERVICES LLC 
  
 Schedule of Fees 
 As Cash Escrow Agent for 
 Private Placement 
  

				
	 Facility & Set-Up Fee, per Escrow Account
	  	$	5,000.00

  
 Payable at the start
of the Billing Year, includes: 
  

	 	•	 	Dedicated Administrative Team 

  

	 	•	 	File Application on Multiple Systems 

  

	 	•	 	Daily Balancing/Proofing 

  

	 	•	 	Administrative & Operational Consultative Services 

  

	 	•	 	Interest Compilation & Calculation 

  

	 	•	 	Data Entry & System Updates 

  

	 	•	 	Quality Control 

  

	 	•	 	Check & Certificate Preparation Work 

  

	 	•	 	Standard 1099 Issuance & Tax Reporting, if necessary 

  

	 	•	 	Legal Items & Correspondence 

  
 Payments 
  

				
	 •      Checks per Distribution
	  	$	20.00/Check
	 •      Wires per Distribution
	  	$	125.00/Wire

  
  

			
	 Out of Pocket Expenses
	  	Additional

  
 Including Postage,
Printing, Stationery, 
 Overtime, Transportation, Microfilming, etc. 
  

	 	•	 	This proposal is based on the following terms: 

  

	 	•	 	Possibly 7 to 15 investors 

  

	 	•	 	Escrow Period of approximately 3 months 

  

	 	•	 	Total Amount of Escrow Proceeds being approximately $10 million 

 Exhibit C 
  

Form of Legal Opinion (Second Closing) 
  
             , 2005 
  
 To the Persons and Entities Listed on Schedule I to the 
 Curon Medical, Inc. Stock Purchase Agreement 
 Dated as of             , 2005

  
 Re:       Curon Medical, Inc.

  
 Ladies and Gentlemen: 
  
 Reference is made to the Stock Purchase Agreement dated as of
            , 2005 (the “Agreement”), by and among Curon Medical, Inc., a Delaware corporation (the “Company”), and the persons and entities listed
in Schedule I to the Agreement (the “Investors”), which provides for the issuance by the Company to the Investors of              shares of Common Stock of
the Company in a second closing (the “Second Closing Shares”) and warrants (the “Second Closing Warrants”) initially exercisable for
             shares of Common Stock of the Company in a second closing (the “Second Closing Warrant Shares”). The Second Closing Shares, the Second Closing Warrants,
and the Second Closing Warrant Shares are referred to herein collectively as the “Securities.” This opinion is rendered to the Investors pursuant to Section          of the
Agreement, and all terms used herein have the meanings defined for them in the Agreement unless otherwise defined herein. Reference in this opinion to the Agreement excludes any schedule or substantive agreement attached as an exhibit to the
Agreement, unless otherwise indicated herein. The Agreement and the forms of the Second Closing Warrants are sometimes referred to collectively herein as the “Operative Documents.” Capitalized terms used herein have the same
meanings given to them in the Agreement, unless otherwise defined herein. 
  
 We
have acted as counsel for the Company in connection with the negotiation of the Agreement and the issuance of the Securities. As such counsel, we have made such legal and factual examinations and inquiries, as we have deemed advisable or necessary
for the purpose of rendering this opinion. In addition, we have examined originals or copies of such corporate records of the Company, certificates of public officials and such other documents that we consider necessary or advisable for the purpose
of rendering this opinion 
  
 In such examination, we have assumed the following:
(a) the genuineness of all signatures; (b) the authenticity of all documents submitted to us as originals; (c) the conformity to authentic original documents of all documents submitted to us as copies; (d) the truth, accuracy and completeness of the
information, factual matters, representations and warranties contained in the records, documents, instruments and certificates we have reviewed as of their stated dates and as of the date hereof; (e) the legal capacity of natural persons; (f) except
as specifically covered in the opinions set forth 

 
below, the due authorization, execution and delivery on behalf of the respective parties thereto of documents referred to herein and the legal, valid and
binding effect thereof on such parties; and (g) the absence of any evidence extrinsic to the provisions of the written agreements between the parties that the parties intended a meaning contrary to that expressed by those provisions. As to any facts
material to the opinions expressed herein that were not independently established or verified, we have relied upon oral or written statements and representations of officers and other representatives of the Company and you. 
  
 As used in this opinion, the expression “to our knowledge,” “known to us”
or similar language with reference to matters of fact refers to the current actual knowledge of the attorneys of this firm who have worked on matters for the Company in connection with the Agreement and the transactions contemplated thereby. Except
to the extent expressly set forth herein or as we otherwise believe to be necessary to our opinion, we have not undertaken any independent investigation to determine the existence or absence of any fact, and no inference as to our knowledge of the
existence or absence of any fact should be drawn from our representation of the Company or the rendering of the opinion set forth below. 
  
 For purposes of this opinion, we are assuming that the Investors have all requisite power and authority, and have taken any and all necessary corporate or partnership
action, to execute and deliver the Agreement, and we are assuming that the representations and warranties made by the Investors in the Agreement and pursuant thereto are true and correct. We are also assuming that the Investors have purchased the
Securities for value, in good faith and without notice of any adverse claims within the meaning of the Delaware General Corporation Law. We have also assumed that no offers or sales of the Securities have been made other than to “accredited
investors” within the meaning of Rule 501 of the Securities Act of 1933, as amended (the “Securities Act”). Moreover, we have assumed that the offers and sales of the Securities have been conducted in the manner contemplated by the
Agreement and, in this regard, we have relied upon the applicable representations, warranties, covenants and agreements contained in the Agreement and assumed compliance by the respective parties therewith. 
  
 We are members of the Bar of the State of California and we express no opinion as to any
matter relating to the laws of any jurisdiction other than the federal laws of the United States of America, the General Corporation Law of the State of Delaware and the laws of the State of California. 
  
 In rendering the opinion in paragraph 1 below, we note that we have relied solely on
certificates as of a recent date of the Secretary of State of Delaware and of the Secretary of State of California as to the good standing of the Company as a corporation incorporated under the laws of the State of Delaware and the State of
California. In rendering the opinion in paragraph 6 below, we note that we have not conducted a docket search in any jurisdiction with respect to litigation that may be pending against the Company or any of its officers or directors. 
  
 The opinions hereinafter expressed are subject to the following additional
qualifications: 
  
 (i) We express no opinion as to the effect of
applicable bankruptcy, insolvency, reorganization, moratorium or other similar federal or state laws affecting the rights of creditors; 

 (ii) We express no opinion as to the effect or availability of rules of law governing specific
performance, injunctive relief or other equitable remedies (regardless of whether any such remedy is considered in a proceeding at law or in equity); 
  
 (iii) We express no opinion with respect to the validity, binding nature or enforceability of any provisions of any Operative Documents imposing penalties
or forfeitures, late payment charges upon delinquency in payment or the occurrence of a default to the extent they constitute a penalty or forfeiture or are otherwise contrary to public policy; 
  
 (iv) We express no opinion as to any provision of the Operative Documents
requiring written amendments or waivers of such documents insofar as it suggests that oral or other modifications, amendments or waivers could not be effectively agreed upon by the parties or that the doctrine of promissory estoppel might not apply;

  
 (v) This opinion is qualified by the limitations imposed by
statutes and principles of law and equity that provide that certain covenants and provisions of agreements are unenforceable where such covenants or provisions are unconscionable or contrary to public policy or where enforcement of such covenants or
provisions under the circumstances would violate the enforcing party’s implied covenant of good faith and fair dealing; 
  
 (vi) We express no opinion as to compliance with the anti-fraud provisions of applicable securities laws; and 
  
 (vii) We express no opinion as to the enforceability of the indemnification
and contribution provisions of the Agreement to the extent the provisions thereof may be subject to limitations of public policy and the effect of applicable statutes and judicial decisions. 
  
 Based upon and subject to the foregoing, and except as set forth in the SEC
Documents, we are of the opinion that: 
  
 1. The Company is a corporation duly
incorporated and validly existing under, and by virtue of, the laws of the State of Delaware and is in good standing under such laws. The Company has requisite corporate power to own and operate its properties and assets, and to carry on its
business as presently conducted. The Company is qualified to do business as a foreign corporation in the State of California. 
  
 2. The Company has all requisite legal and corporate power to sell and issue the Securities under the Agreement. 
  
 3. The Second Closing Shares have been duly authorized and when issued, delivered and paid
for in accordance with the terms of the Agreement, will be validly issued, fully paid and nonassessable and free of any pre-emptive or similar rights. The Second Closing Warrants have been duly authorized and when issued, delivered and paid for in
accordance with the terms of the Agreement, will be validly issued, fully paid and nonassessable and free of any pre-emptive or similar rights. The Second Closing Warrant Shares to be issued upon exercise of the Second Closing Warrants have been
duly authorized and reserved for issuance and, when such Second Closing Warrants have been exercised, issued and delivered against payment therefor in accordance with their terms, will be validly issued, fully paid and nonassessable and free of any
pre-emptive or similar rights. 

 4. All corporate action on the part of the Company, its directors and stockholders necessary for the authorization, sale,
issuance and delivery of the Second Closing Shares and the Second Closing Warrants has been taken. 
  
 5. The issuance of the Second Closing Shares and the Second Closing Warrants do not violate any provision of the Certificate of Incorporation or Bylaws, or any provision of any applicable federal or state law, rule or
regulation known to us to be customarily applicable to transactions of this nature. The issuance of the Second Closing Shares and the Second Closing Warrants do not violate, or constitute a default under, any contract or agreement or instrument
filed as an exhibit to the Company’s filings with the Securities and Exchange Commission pursuant to Item 601(b)(10) of Regulation S-K to which the Company is a party or by which the Company is bound. 
  
 6. Except as identified in the Agreement, and as disclosed in filings with the Securities and
Exchange Commission, to our knowledge there are no actions, suits, proceedings or investigations pending against the Company or its properties before any court or governmental agency nor, to our knowledge, has the Company received any written threat
thereof. 
  
 7. No consent, approval or authorization of or designation,
declaration or filing with any governmental authority on the part of the Company is required in connection with the offer, sale or issuance of the Securities, except the (i) filing of an amended Form D pursuant to Regulation D under the Securities
Act of 1933, as amended (ii) the registration of the Second Closing Shares, and the Second Closing Warrant Shares under the Securities Act of 1933, as amended, pursuant to the terms of the Agreement and after their initial issuance and sale by the
Company; and (iii) the filing of a notification with the Nasdaq Stock Market for the listing of the Second Closing Shares and the Second Closing Warrant Shares. 
  

8. Subject to the accuracy of the Investors’ representations in Section 3 of the Agreement, the offer, sale and issuance of the Securities in conformity with the
terms of the Agreement constitute transactions exempt from the registration requirements of Section 5 of the Securities Act of 1933, as amended. 
  
 This opinion is furnished to the Investors solely for their benefit in connection with the purchase of the Securities, and may not be relied upon by any other person or
for any other purpose without our prior written consent. We assume no obligation to inform you of any facts, circumstances, events or changes in the law that may arise or be brought to our attention after the date of this opinion that may alter,
affect or modify the opinions expressed herein.

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