Document:

Registration Rights Agreement dated October 7, 2011

 Exhibit 10.9 
 REGISTRATION RIGHTS AGREEMENT 
 This REGISTRATION RIGHTS
AGREEMENT (“Agreement”) is made as of October 7, 2011 by and between Entertainment Games, Inc., a Pennsylvania corporation (the “Company”), and Michael Fearnow, an individual with an address at XX XXXXXX XXXX XXXXX,
XXXXXXXXX, XX XXXXX (the “Investor”), and each person or entity that subsequently becomes a party to this Agreement pursuant to, and in accordance with, the provisions of Section 4 hereof (collectively, the “Permitted
Transferees” and each individually a “Permitted Transferee”). 
 WHEREAS, pursuant to a
securities purchase agreement (the “Purchase Agreement”), dated as of the date hereof, the Company has agreed to issue and sell to the Investor, and the Investor has agreed to purchase from the Company, 200,000 shares (the
“Shares”) of the Company’s common stock, without par value (the “Common Stock”), and the Company has agreed to issue to the Investor, and the Investor has agreed to accept from the Company, Warrant No. 8, dated
October 7, 2011 (in whole or in part, the “Warrant”), to purchase 200,000 shares (the “Warrant Shares”) of the Common Stock. 
 NOW, THEREFORE, in consideration of the premises and mutual covenants contained herein, the parties hereto hereby agree as follows: 

1. Definitions. As used in this Agreement, the following terms shall have the following respective meanings:

 “Board” shall mean the board of directors of the Company. 

“Purchase” shall mean the Closing Date under the Purchase Agreement. 

“Holder” shall mean, collectively, the Investor and the Permitted Transferees; provided,
however, that the term “Holder” shall not include any of the foregoing that ceases to own or hold any Registrable Securities. 
 “Qualifying Holder” shall have the meaning ascribed thereto in Section 4 hereof. 
 “Registrable Securities” shall mean the Shares and Warrant Shares of Common Stock, and shall include any shares of the Company’s Common Stock issued with respect to the Registrable
Securities as a result of any stock split, stock dividend, recapitalization, exchange or similar event; provided, however, that all Registrable Securities shall cease to be Registrable Securities once they have been sold pursuant to a registration
statement or in a transaction exempt from registration under the Securities Act. 
 “Rule
144” shall mean Rule 144 promulgated under the Securities Act and any successor or substitute rule, law or provision. 
 “SEC” shall mean the Securities and Exchange Commission. 
 “Securities Act” shall mean the Securities Act of 1933, as amended, and all of the rules and regulations promulgated there under. 

 “Purchase Date” shall mean the date of this
Agreement. 
 2. Effectiveness. This Agreement shall become effective and legally binding with respect to
an investor upon the investor’s Purchase of the Common Stock. 
 3. Registration Rights. 

3.1. Piggyback Registration. If the Company at any time after the Purchase Date proposes for any
reason to register any of its equity securities under the Securities Act (other than pursuant to a registration statement on Forms S-8 or S-4 or similar or successor form which is not available for registering the Common Stock for sale to the public
(collectively, the “Excluded Forms”)), it shall each such time promptly give written notice to all Holders of outstanding Shares, the Warrant and Warrant Shares of its intention so to do but in no event less than 30 days before the
anticipated filing date, and, upon the written request, given within 10 days after receipt of any such notice, of the Holders of any such Shares, Warrant and Warrant Shares to register any shares of Registrable Securities, shall use its best efforts
to cause all such shares of Registrable Securities then held by each such Holder to be registered under the Securities Act promptly upon receipt of the written request of such Holders for such registration, all to the extent requisite to permit the
sale or other disposition (in accordance with the intended methods thereof, as set forth in the holder’s written request) by the then Holders of the shares of Registrable Securities so registered. In the event that the proposed registration by
the Company is, in whole or in part, an underwritten public offering of securities of the Company, any request pursuant to this Section 3.1 to register shares of Registrable Securities may so specify, and such shares shall be included in the
underwriting on the same terms and conditions as the shares of Common Stock, if any, otherwise being sold through underwriters under such registration; provided, however, that the Company and all Holders proposing to distribute their
Registrable Securities through such underwriting shall enter into an underwriting agreement in customary form with the managing underwriter or underwriters selected for such underwriting (including, without limitation, a market stand-off agreement
of up to 180 days after the effective date of such registration if required by such underwriters). Notwithstanding any other provision of this Agreement, if the managing underwriter(s) determine(s) in good faith that marketing factors require a
limitation of the number of shares to be underwritten, then the managing underwriter(s) may exclude shares (including up to 100% of the Registrable Securities from the registration and the underwriting, with the number of Registrable Securities, if
any, included in the registration and the underwriting being allocated to each of the Holders requesting inclusion of their Registrable Securities in such Registration Statement on a pro rata basis based on the total number of Registrable Securities
then held by each such Holder, provided that the number of Registrable Securities to be offered by the Holders may not be reduced below an amount equal to 15% of the total Registrable Securities offered. If any Holder disapproves of the terms of any
such underwriting, such Holder may elect to withdraw therefrom by written notice to the Company and the underwriter(s), delivered at least 10 business days prior to the effective date of the Registration Statement. Any Registrable Securities
excluded or withdrawn from such underwriting shall be excluded and withdrawn from the registration. In each case, those shares of Registrable Securities which are excluded from the underwritten public offering shall be withheld from the market by
the holders thereof for a period, not to exceed 90 days, which the managing underwriter reasonably determines is necessary in order to effect the underwritten public offering. 

  
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 3.2. Preparation and Filing. If and whenever the
Company is under an obligation pursuant to the provisions of this Section 3 to use its best efforts to effect the registration of any shares of Registrable Securities, the Company shall, as promptly as reasonably practicable: 

(a) Prepare and file with the SEC such amendments and supplements to any Registration Statement and the
prospectus used in connection with such Registration Statement as may be necessary to comply with the provisions of the Securities Act with respect to the contemplated distribution of all securities covered by such Registration Statement for up to
90 days. 
 (b) Furnish to each Holder such number of copies of a prospectus, including a
preliminary prospectus, in conformity with the requirements of the Securities Act, as the Holder may reasonably request in order to facilitate the public sale or other disposition of such shares of Registrable Securities then held by such Holder.

 (c) Use its best efforts to register or qualify the shares of Registrable Securities covered
by such registration statement under the securities or blue sky laws of such jurisdictions as shall be appropriate, as reasonably requested by any of the selling Holders; provided, however, that the Company shall not be required in
connection therewith or as a condition thereto to qualify to do business, to file a general consent to service of process or to become subject to any material tax in any such states or jurisdictions and, provided, further, that
(notwithstanding anything in this Agreement to the contrary with respect to the bearing of expenses) if any jurisdiction in which any of such Registrable Securities then held by a selling Holder shall be qualified shall require that expenses
incurred in connection with the qualification therein of any such Registrable Securities be borne by the selling Holders without reimbursement by the Company, then each selling Holder shall, to the extent required by such jurisdiction, pay its
respective pro rata share of such qualification expenses. 
 (d) Notify each Holder of shares of
Registrable Securities covered by such registration statement, at any time when a related prospectus is required to be delivered under the Securities Act, of the happening of any event as a result of which the prospectus included in such
registration statement, as then in effect, includes an untrue statement of a material fact or omits any fact necessary to make the statements therein not misleading in light of the circumstances in which they are made; and, thereafter, the Company
shall prepare and furnish to the Holders a reasonable number of copies of a supplement to or an amendment of such prospectus as may be necessary so that, as thereafter delivered to the purchasers of such shares, such prospectus, as so supplemented
or amended, shall not include an untrue statement of a material fact or omit to state a 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 upon such notification by the Company, the selling Holders agree that they shall not offer or sell Registrable Securities unless and until (i) the Company has notified such selling Holders that it has prepared a supplement
or amendment to such prospectus and delivered copies of such supplement or amendment to such selling Holders or (ii) the Company has advised such selling Holders in writing that the use of the applicable prospectus may be resumed (it being
understood and agreed by the Company that the foregoing proviso shall in no way diminish or otherwise impair the Company’s obligation to prepare a prospectus amendment or supplement as 

  
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above provided in this Section 3.2(d) and deliver copies of same as above provided in Section 3.2(b). 

(e) In connection with a sale of Registrable Securities pursuant to such Registration Statement (assuming
that no stop order is in effect with respect to such Registration Statement at the time of such sale), cooperate with the selling Holder and provide the transfer agent for the Registrable Securities with such instructions and legal opinions as may
be required in order to facilitate the issuance to the purchaser (or the selling Holder’s broker) of new unlegended certificates for such Registrable Securities. 

(f) Use its best efforts to cause all Registrable Securities covered by the Registration Statement to be
listed on each securities exchange on which similar securities issued by the Company are then listed 
 3.3. Expenses. All expenses incurred by the Company in effecting all registrations for Holders of Registrable Securities pursuant to this Section 3, including, without limitation, all
registration and filing fees, fees and expenses of complying with securities and blue sky laws, printing expenses and fees and disbursements of not more than one counsel for all the Holders of Registrable Securities requesting registration
thereunder, and of the independent certified public accountants (including the expenses of any special audits in connection with any such registration) (but excluding the compensation of regular employees of the Company which shall be paid in any
event by the Company), shall be paid by the Company; provided, however, that all underwriting discounts and selling commissions applicable to the shares of Registrable Securities covered by such registration shall be borne by the Holder or
Holders thereof; provided, further, that anything in this Agreement to the contrary notwithstanding, if any jurisdiction in which the securities shall be qualified shall require that expenses incurred in connection with the qualification of
the securities in that jurisdiction be borne by selling shareholders, then such expenses shall be payable by such selling shareholders pro rata based on the number of securities being registered, to the extent required by such jurisdiction.

 3.4. Indemnification. 

(a) Indemnification by the Company. The Company will indemnify each Holder of Registrable
Securities with respect to which registration has been effected pursuant to this Agreement, each of such Holder’s partners, officers, directors, employees, advisors and agents and each person controlling such Holder, against all claims, losses,
damages, costs, expenses and liabilities of any nature whatsoever (or actions in respect thereof) arising out of or based on any untrue statement (or alleged untrue statement) of a material fact contained in any Registration Statement or prospectus
incident to any such registration, qualification or compliance, or arising out of or based on any 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 any violation by the Company of the Securities Act or any state securities law or of any rule or regulation promulgated under the Securities Act or any state securities law applicable to the Company and relating to action or inaction
required of the Company in connection with any such registration, and will reimburse each such Holder, each of its partners, officers, directors, employees, advisors and agents and each person controlling such Holder for any legal and other expenses
reasonably incurred in connection with investigating or defending 

  
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any such claim, loss, damage, cost, expense, liability or action, except that the Company will not be liable in any such case to the extent that any such claim, loss, damage, cost, expense,
liability or action arises out of or is based on any untrue statement or omission based upon information furnished to the Company by a Holder and stated to be specifically for use therein, and except that the foregoing indemnity agreement is subject
to the condition that, insofar as it relates to any such untrue statement (or alleged untrue statement) or omission (or alleged omission) made in the preliminary prospectus but eliminated or remedied in the amended prospectus on file with the SEC at
the time the Registration Statement becomes effective or in the amended prospectus filed with the SEC pursuant to Rule 424(b) (the “Final Prospectus”), such indemnity agreement shall not inure to the benefit of any Holder if a copy of the
Final Prospectus was furnished to the person or entity asserting the claim, loss, damage, cost, expense, liability or action at or prior to the time such action was required by the Securities Act. 

(b) Indemnification by the Holders. Each Holder will, if Registrable Securities held by or issuable
to such Holder are included in the securities to which a registration is being effected, indemnify the Company, each of its directors and officers and each person who controls the Company within the meaning of the Securities Act, and each other
Holder, each of such other Holder’s officers and directors and each person controlling such other Holder, against all claims, losses, damages, costs, expenses and liabilities of any nature whatsoever (or actions in respect thereof) arising out
of or based on any untrue statement (or alleged untrue statement) of a material fact contained in any such Registration Statement or that prospectus incident to any such registration, or arising out of or based on any 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 any violation by such Holder of the Securities Act or any state securities law or of any rule or regulation promulgated
under the Securities Act or any state securities law applicable to such Holder and relating to action or inaction required of such Holder in connection with any such registration, and will reimburse the Company, such other Holders, and such
directors, officers and other persons for any legal or other expenses reasonably incurred in connection with investigating or defending any such claim, loss, damage, cost, expense, liability or action, in each case to the extent, but only to the
extent, that such untrue statement (or alleged untrue statement) or omission (or alleged omission) is made in such Registration Statement or prospectus in reliance upon and in conformity with information furnished to the Company by such indemnifying
Holder and stated to be specifically for use therein, except that the foregoing indemnity agreement is subject to the condition that, insofar as it relates to any such untrue statement (or alleged untrue statement) or omission (or alleged omission)
made in the preliminary prospectus but eliminated or remedied in the Final Prospectus, such indemnity agreement shall not inure to the benefit of the Company or any Holder if a copy of the Final Prospectus was furnished to the person or entity
asserting the claim, loss, damage, cost, expense, liability or action at or prior to the time such action was required by the Securities Act. The liability of any indemnifying Holder under this Section 3.4(b) shall be limited in respect of any
Registration Statement to an amount equal to the aggregate proceeds received in respect of the Registrable Securities sold by such Holder under such Registration Statement. 

(c) Indemnification Procedures. Each party entitled to indemnification under this Section 3
(the “Indemnified Party”), shall give notice to the party required to provide indemnification (the “Indemnifying Party”) promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought,
and shall permit the Indemnifying 

  
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Party to assume the defense of any such claim or any litigation resulting therefrom, provided that counsel for the Indemnifying Party, who shall conduct the defense of such claim or
litigation, shall be approved by the Indemnified Party (whose approval shall not unreasonably be withheld), and the Indemnified Party may participate in such defense. Failure of the Indemnified Party to give notice as provided herein shall relieve
the Indemnifying Party of its obligations under this Section 3 only to the extent that the failure or delay in giving notice has a material adverse impact on the ability of the Indemnifying Party to defend against such claim. No Indemnifying
Party, in the defense of any such claim or litigation, shall, except with the consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement that does not include as an unconditional term thereof, the giving of a
release from all liability in respect to such claim or litigation. If any such Indemnified Party shall have been advised by counsel chosen by it that there may be one or more legal defenses available to such Indemnified Party that are different from
or additional to those available to the Indemnifying Party, the Indemnifying Party shall not have the right to assume the defense of such action on behalf of such Indemnified Party and will reimburse such Indemnified Party and any person controlling
such Indemnified Party for the reasonable fees and expenses of any counsel retained by the Indemnified Party, it being understood that the Indemnifying Party shall not, in connection with any one action or separate but similar or related actions in
the same jurisdiction arising out of the same general allegations or circumstances, be liable for the reasonable fees and expenses of more than one separate firm of attorneys for such Indemnified Party or controlling person, which firm shall be
designated in writing by the Indemnified Party to the Indemnifying Party. 
 (d)
Contribution. In order to provide for just and equitable contribution to joint liability under the Securities Act in any case in which either (a) any party entitled to indemnification under this Section 3, makes a claim for
indemnification pursuant to this Section 3 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that
such indemnification may not be enforced in such case notwithstanding the fact that this Section 3 provides for indemnification in such case, or (b) contribution under the Securities Act may be required on the part of any such party in
circumstances for which indemnification is provided under this Section 3; then, and in each such case, the Company and each Holder whose securities were included in the registration in question will contribute to the aggregate losses, claims,
damages or liabilities to which they may be subject in such proportion as is appropriate to reflect the relative fault of each such party in connection with the events giving rise to such claims, losses, damages, costs, expenses and liabilities, as
well as any other relevant equitable considerations, provided, that each participating Holder shall be limited in respect of any Registration Statement to an amount equal to the aggregate proceeds received in respect of the Registrable Securities
sold by such Holder under such Registration Statement, provided further, however, that, in any such case, no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) will
be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation 
 (e) Alternative Indemnification. Notwithstanding the foregoing provisions of this Section 3.4, if the Company, the selling shareholders and the underwriters, pursuant to an underwritten public
offering of the Common Stock, enter into an underwriting or purchase agreement relating to such offering which contains provisions covering indemnification or contribution among the parties thereto in connection with such offering, then the

  
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indemnification or contribution provisions of this Section 3.4 shall be deemed inoperative for purposes of such offering. 

3.5. Information from Holders. In connection with any registration effected pursuant to this
Section 3, each holder of the shares of Registrable Securities then held by such Holder included in any registration effected pursuant to this Section 3 shall furnish to the Company such information with respect to it and its proposed
distribution as the Company shall reasonably request in writing on a timely basis and as shall be required by federal or state securities or blue sky laws applicable to such registration. The Company may exclude from such registration the
Registrable Securities of any such Holder who unreasonably fails to furnish such information within a reasonable time after receiving such request. 
 4. Transfer of Registration Rights. None of the rights of any Holder under this Agreement shall be transferred or assigned to any person unless (i) such person is a Qualifying Holder (as
defined below), (ii) such person agrees to become a party to, and bound by all of the terms and conditions of, this Agreement by duly executing and delivering to the Company an Instrument of Adherence in the form attached as Exhibit A hereto,
(iii) the transfer or assignment is made in accordance with the applicable requirements of the Purchase Agreement and (iv) following the transfer or assignment, the further disposition of the Registrable Securities by such person is
restricted under the Securities Act and applicable state securities laws. For purposes of this Section 4, the term “Qualifying Holder” shall mean, with respect to any Holder, any corporation, partnership or other affiliated entity
controlling, controlled by, or under common control with, such Holder, or any partner, if such Holder is a partnership, or any member, if such Holder is a limited liability company. None of the rights of any Holder under this Agreement shall be
transferred or assigned to any person that acquires Registrable Securities in the event that and to the extent that such Person is eligible to resell all of such Registrable Securities pursuant to Rule 144 of the Securities Act within a three-month
period. 
 5. Entire Agreement. This Agreement constitutes and contains the entire agreement and
understanding of the parties with respect to the subject matter hereof, and it also supersedes any and all prior negotiations, correspondence, agreements or understandings with respect to the subject matter hereof. 

6. Deferral. Notwithstanding anything in this Agreement to the contrary, if the Company shall furnish to the
selling Holders a certificate signed by the President and Chief Executive Officer of the Company stating that the Board has made the good faith determination (i) that continued use by the selling Holders of the Registration Statement for
purposes of effecting offers or sales of Registrable Securities pursuant thereto would require, under the Securities Act, disclosure in the Registration Statement (or the prospectus relating thereto) of material, nonpublic information concerning the
Company, its business or prospects or any proposed transaction involving the Company, (ii) that such disclosure would be premature and would be adverse to the Company, its business or prospects or any such proposed transaction or would make the
successful consummation by the Company of any such transaction significantly less likely and (iii) that it is therefore essential to suspend the use by the Holders of such Registration Statement (and the prospectus relating thereto) for
purposes of effecting offers or sales of Registrable Securities pursuant thereto, then the right of the selling Holders to use the Registration Statement (and the prospectus relating thereto) for purposes of effecting offers or

  
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sales of Registrable Securities pursuant thereto shall be suspended for a period (the “Suspension Period”) of not more than 90 days after delivery by the Company of the certificate
referred to above in this Section 6. During the Suspension Period, the Holders agree that they shall not offer or sell any Registrable Securities pursuant to or in reliance upon the Registration Statement (or the prospectus relating thereto).
The Company may not exercise this right more than two times in each year after the Purchase Date. 
 7.
Miscellaneous. 
 (a) This Agreement shall be governed by and construed and enforced in
accordance with the laws of the Commonwealth of Pennsylvania, and shall be binding upon and inure to the benefit of the parties hereto and their respective heirs, personal representatives, successors or assigns, provided that the terms and
conditions of Section 4 hereof are satisfied. This Agreement shall also be binding upon and inure to the benefit of any transferee of any of the Registrable Securities provided that the terms and conditions of Section 4 hereof are
satisfied. Notwithstanding anything in this Agreement to the contrary, if at any time any Holder shall cease to own all of its Registrable Securities or the Warrant, all of such Holder’s rights under this Agreement shall immediately terminate.

 (i) Any notices, reports or other correspondence (hereinafter collectively referred to as
“correspondence”) required or permitted to be given hereunder shall be sent by courier (overnight or same day) or telecopy or delivered by hand to the party to whom such correspondence is required or permitted to be given hereunder. The
date of giving any notice shall be the date of its actual receipt. 
 (ii) All correspondence to
the Company shall be addressed as follows: 
 Entertainment Games, Inc. 

2000 Cabot Boulevard, Suite 110 

Langhorne, PA 19047-1833 

Attention: Gerald Klein, Chief Executive Officer 

Facsimile: 215-750-3722 

jklein@egames.com 

with a copy to: 

McCausland Keen & Buckman 

Radnor Court, Suite 160 

259 North Radnor-Chester Road 

Radnor, PA 19087-5251 

Attention: Nancy D. Weisberg, Esq. 

Facsimile: (610) 341-1099 

nweisberg@mkbattorneys.com 

(iii) All correspondence to any Holder shall be sent to the address set forth on such Holder’s
signature page hereto (or, in the case of a Permitted Transferee, such Permitted Transferee’s Instrument of Adherence hereto). 

  
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 (iv) Any party may change the address to which
correspondence to it is to be addressed by notification as provided for herein. 
 (c) The
parties acknowledge and agree that in the event of any breach of this Agreement, remedies at law may be inadequate, and each of the parties hereto shall be entitled to seek specific performance of the obligations of the other parties hereto and such
appropriate injunctive relief as may be granted by a court of competent jurisdiction. 
 (d) This
Agreement may be executed in a number of counterparts, each of which together shall for all purposes constitute one Agreement, binding on all the parties hereto notwithstanding that all such parties have not signed the same counterpart. 

IN WITNESS WHEREOF, the parties hereto have executed this Registration Rights Agreement as of the date and year first
above written. 
  

			
	Entertainment Games, INC.
		
	 By:
	 	 /s/ Gerald W. Klein

	 Name:
	 	 Gerald W. Klein

	 Title:
	 	 CEO

	
	 

	
	
	 /s/ Michael Fearnow

	  
 Investor’s Address and Fax Number for
Notice:

  
 9Distribution Agreement

 Exhibit 10.12 
 DISTRIBUTION AGREEMENT 
 COMPUTER SOFTWARE (SELL-THRU) 

This Distribution Agreement (the “Agreement”) is made and entered into as of the 12th day of September, 2005 (the “Effective
Date”) by and between Navarre Corporation, a Minnesota corporation having principal offices at 7400
49th Avenue North, New Hope, Minnesota, 55428
(“Navarre”) and eGames, Inc. a Pennsylvania corporation having principal offices at 2000 Cabot Blvd. West, Langhorne, Pennsylvania 19047 (“Vendor”). 

The purpose of this Agreement is to set forth the agreement of the parties with respect to the terms and conditions under which
Navarre may distribute certain software products manufactured or marketed by Vendor. 
  

	1.	 DEFINITIONS. The terms defined below are used in this Agreement with the ascribed meanings unless the context in which the term is used
expressly provides otherwise. 

  

	 	1.1	 “Customer(s)” means any retailer or other entity identified in a Rider or Addendum to this Agreement. 

 

	 	1.2	 “EDI” means Electronic Data Interchange which is the electronic and automated exchange of business documents, including purchase
orders, invoices and ship notices, between the parties in an EDI standard format (e.g. X.12, UCS and VICS) mutually acceptable to the parties. 

  

	 	1.3	 “End Users” means the ultimate consumers of the Products. 

 

	 	1.4	 “Product(s)” means the entire line of computer software and related products that are manufactured or marketed by Vendor during the
term of this Agreement. 

  

	 	1.5	 “Territory” means distribution to Customers located in the United States (including territories and possessions) and Canada and
distribution through the United States military exchange world-wide retail system. 

  

	 	1.6	 “Unsold Inventory” means the aggregate of the inventory of Products: (i) at Navarre’s facilities; (ii) in transit
between Navarre and its Customers; and (iii) at each of the Customers’ locations. For Customers that are unable to report their inventory positions to Navarre on a periodic basis, Navarre will estimate the same.

  

	 	1.7	 “VMI” means Vendor Managed Inventory which is a system agreed upon by the parties to use EDI documents for the purpose of
monitoring inventory and fill rates. 

  

	2.	 NON-EXCLUSIVE APPOINTMENT. 

  

	 	2.1	 Vendor appoints Navarre as an authorized distributor of Vendor’s Products to the Customers. Subject to the terms and conditions of this
Agreement, Vendor grants to Navarre and Navarre accepts from Vendor the non-exclusive, non-transferable right to acquire and market Products to the Customers in the Territory. 

 

	 	2.2	 Navarre agrees not to alter Products or Product packaging or make copies of software media or documentation. Navarre will distribute Products to
Customers in unopened packages. 

  

	 	2.3	 Navarre is not required by this Agreement to acquire and market any minimum quantity or amount of Products. 

  
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	3.	 TERM. 

  

	 	3.1	 The initial term of this Agreement is for a period of (18) full months and any beginning partial month commencing on the Effective Date. The
initial term and any renewal term, as provided for below, are individually and collectively referred to as the “Term.” 

  

	 	3.2	 After the initial or then current Term, this Agreement shall be automatically renewed for successive one (1) year periods, unless either party
gives the other written notice, at least ninety (90) days prior to the expiration of the then current Term that it does not desire that the Agreement continue. If such notice is given, the Agreement shall terminate at the end of the then
current Term. 

  

	 	3.3	 This Agreement is subject to early termination as provided in Section 9. below. 

 

	4.	 ORDERS, SHIPMENT AND DELIVERY. 

  

	 	4.1	 Orders. Navarre will order Products from Vendor in writing (which includes facsimile or electronic mail transmission), or via EDI, signed or
transmitted by an authorized representative of Navarre (the “Purchase Order” or “P.O.”). All orders are subject to acceptance by Vendor, and Navarre may cancel all or part of any order prior to the date of shipment.
The parties will use EDI and VMI procedures if mutually agreed to. 

  

	 	4.2	 Shipment. Vendor will specify the shipping schedule in its acknowledgment of the P.O. Vendor will use commercially reasonable efforts to meet
the acknowledged delivery schedule but will not be liable for delays resulting from causes beyond its reasonable control. If a shortage of any Product in Vendor’s inventory exists in spite of Vendor’s good faith efforts, Vendor agrees to
allocate its available inventory of such Product to Navarre in proportion to Navarre’s percentage of all Vendor’s customer orders for such Product during the previous sixty-day period. Navarre may accept or reject any partial shipments.

  

	 	4.3	 Delivery. Vendor will ship all Products freight paid by Vendor, F.O.B. destination. Vendor bears the risk of loss or damage to Products in
transit, Except as may be set forth in a rider or addendum to this agreement relating to consignment sales, risk of loss and title to Products will pass to Navarre only upon receipt by Navarre at its warehouse, or such other destination designated
on the applicable P.O. 

  

	 	4.4	 Packing List and Slip. A packing list showing Navarre’s P.O. number, quantity ordered, quantity shipped and a detailed identification of
the Products must accompany all shipments. Each carton will contain a packing slip which will include P.O. number, Product description, a Uniform Product Code (“UPC”) and carton quantities. 

 

	 	4.5	 UPC Codes. All Products will bear a UPC part code, and all shipping cartons will contain the identical UPC part code on the outside of the
carton. The UPC numbers and codes must conform to the Uniform Code Council, National Office Products Association and Retail Industry Standards. Each unit of Product received by Navarre with missing, defective or inaccurate UPC codes is subject to a
fifty-cent ($.50) chargeback to Vendor to compensate Navarre for its increased handling costs of such Product. 

  

	 	4.6	 Nonconforming Shipments. Vendor agrees that master carton quantities will match those originally provided by Vendor, unless notice of any
change is given five (5) days before shipment. If timely notice is not received by Navarre, any Customer penalties and/or Navarre costs of rework incurred as a result of the change will be charged back to Vendor. 

 

	5.	 PAYMENT AND PRICING. 

  

	 	5.1	 Sell-Thru Payment Terms. [For the consignment program this section 5.1 is superseded by the Consignment Rider attached hereto and
incorporated herein by reference] Vendor acknowledges and agrees that Navarre’s purchase of Products hereunder is on a sell-thru basis, Payments to Vendor will be made on a twice monthly basis for all Products reported

  
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by Navarre’s Customers as sold to End Users during the payment period. The payment amount will be calculated as follows: total payables (less any discounts and chargebacks) minus total
purchase price of Unsold Inventory. 

  

	 	5.2	 Price Protection. Vendor represents and warrants that the price, discounts, payment terms and return provisions with respect to any Product
shall never be less favorable to Navarre than those made available by Vendor to any other purchasers of such Product within the same class of trade. In the event that Vendor reduces the price of any of its Products, or offers the Products at a lower
price to any other party within the same class of trade, including raising any discount offered, Vendor will immediately adjust its pricing charged to Navarre for the difference between the invoice price charged to Navarre and the reduced price.

  

	 	5.3	 Price Increases. The price charged to Navarre by Vendor for any Product (current or future releases) may only be increased by sixty
(60) days advance written notice given by Vendor to Navarre. In the event that Vendor raises the list price of a Product, all orders for such Product placed prior to the effective date of the price increase will be invoiced at the lower price.

  

	 	5.4	 Resale Prices. The selling prices, discounts, payment terms and return privileges offered by Navarre to its Customers will be determined by
Navarre in its sole and exclusive discretion. Vendor will make no pricing commitments to any Customers or other third parties which would otherwise obligate Navarre. 

 

	 	5.5	 Credits. Any credits due Navarre, including, but not limited to, return credits, advertising allowances and channel program rebates will be
handled by the issuance of chargebacks by Navarre, and the issuance of a matching credit memo by Vendor. Vendor will provide a matching credit memo for such chargebacks within thirty (30) days of receipt of documentation from Navarre. In case
there is a balance due Navarre, then Navarre will be entitled, at its option, to withhold future payments due Vendor until such debit balance is extinguished or require Vendor to issue a check to Navarre within fifteen (15) days for the credit
balance. In case of a disputed account balance, both parties will make a good faith effort to reconcile the account within twenty-one (21) days. 

  

	6.	 RETURNS. 

  

	 	6.1	 Defective Products. Products which are returned after sale to End Users and are determined to be defective will be reported to Vendor. Vendor
will advise Navarre regarding the disposition of such defective Products within ten (10) business days of receipt of a return authorization request from Navarre. Otherwise, the defective Products will be destroyed. Vendor will be responsible
for all expenses regarding the destruction or other disposition of defective Products and will issue an immediate credit to Navarre for the purchase price plus all return freight charges. 

 

	 	6.2	 All Other Products. Navarre and its Customers will have 100% return rights on all Products which are unsold to End Users for any reason,
including obsolete, delisted or slow-moving goods, termination of this Agreement, or otherwise. Upon receipt of a return authorization request, Vendor will provide a return authorization number within seven (7) days. Such Products will be
returned at Navarre’s expense, and upon receipt of such Products, Vendor will credit Navarre’s account with the amount originally charged for the Products, less any previous price protection credit. For purposes of the payment amount
described in Section 5.1 above, Navarre’s total payables will be reduced to reflect such returns and such returns will not be included in Unsold Inventory. 

 

	 	6.3	 Delisted Products. If Vendor notifies Navarre of delisted Products, i.e. Products that are discontinued by the Vendor or are subject to a
version change, Navarre will have a period of at least two hundred and seventy (270) days from the date of receipt of such notification in which to return such delisted Products. Vendor is not obligated to credit returns of a delisted Product
after such period. 

  
 3 

	 	6.4	 Returns Upon Termination. Upon expiration or earlier termination of this Agreement, Vendor is not obligated to accept returns for a period
longer than two-hundred seventy (270) days following the effective date of termination. Any Products for which a return authorization has not been requested within such period will be considered sold. 

 

	7.	 ADVERTISING FUNDS. 

  

	 	7.1	 Trademarks. Vendor acknowledges and agrees that Navarre and its Customers have the right to utilize Vendor’s trade name and any
trademarks, service marks and other artwork associated with the Products to identify the origin of the Products in advertising and promotional materials. With respect to Products made by a third party, Vendor will ensure that Navarre and its
Customers have the right to use the third party’s trademarks, service marks and other artwork associated with the Products in advertising and promotional materials. 

 

	 	7.2	 Advertising and Marketing Funds. Vendor agrees that it will provide support by way of cooperative advertising funds
(“Co-op”) and market development funds (“MDF”) to Navarre and its Customers for their advertising, marketing and promotional activities with respect to the Products. This support can be in the form of ad production
assistance, catalog direct mail programs, shows, advertising in regional or national trade and/or consumer publications, and sales training days. Navarre requires minimum support on an annual basis equal to two percent (2%) of the total dollar
amount of Products sold through to end users. All Co-op and MDF expenditures must be authorized by the Vendor prior to placement and comply with Vendor’s requirements with respect to layout, size, artwork, trademark usage, minimum advertised
price, street date, etc, Vendor will inform Navarre of such requirements. Vendor will issue a credit memo for Co-op and MDF expenses within fifteen (15) days after receipt of the applicable “proof of performance” documentation from
Navarre. In the event that such Co-op and MDF expenditures would cause Navarre’s account to move to a debit balance, Navarre reserves the right to require Vendor to pay for these expenditures in advance. 

 

	 	7.3	 Set Up Fee. Navarre requires payment by Vendor of an initial title set up fee of $200 per stock keeping unit. This fee includes positioning
of the Product in Navarre’s catalogs and on its business-to-business website. This is a nonrecurring fee, applying only to the initial set up of the Product line, and future Products as there are released. Navarre will charge back the Vendor
for such fees in the month following the set up activity, and the Vendor will issue a credit memo for such fees. 

  

	8.	 ADDITIONAL SERVICE COMMITMENTS. 

 Navarre may from time to time provide to its Customers value added services (“VAS”) such as: (i) maintain and administer co-op fund accrual amounts; (ii) maintain active EDI
functions with retailers; (III) manage full product mix selection and make all mix decisions for retail accounts; (iv) provide and affix retailers’ price tags; (v) develop and design store planograms; (vi) offer weekly inventory
status reports; (vii) offer monthly retail sell-in reporting on a quantity per SKU basis; and (viii) perform EDI functions with Vendor. Vendor and Navarre will mutually agree upon which, if any, such services are to be performed, or any
additional services requested by Vendor, and negotiate the charges or rebates therefore. 
  

	9.	 TERMINATION. 

  

	 	9.1	 Termination for Insolvency/Bankruptcy. This Agreement will terminate immediately without notice upon the occurrence of any of the following
events, unless the party not subject of insolvency/bankruptcy promptly after discovery of the relevant facts notifies the affected party to the contrary in writing: 

 

	 	(i)	 An insolvency, bankruptcy, or similar proceeding for reorganization or protection is instituted by or against either party pursuant to any present
or future state or federal bankruptcy act or under any similar federal or state law (and with respect to any involuntary petition is not discharged within sixty (60) days; 

  
 4 

	 	(ii)	 Either party makes or attempts to make an assignment for the benefit of its creditors; 

 

	 	(iii)	 A receiver, trustee, liquidator, custodian or similar official is appointed for the business or property of either party and is not removed within
sixty (60) days of the appointment; or 

  

	 	(iv)	 Either party is unable to pay its debts generally as they become due. 

 

	 	9.2	 Termination for Cause. In addition to any other rights or remedies which may be available at law or in equity, either party may terminate
this Agreement for cause upon the material breach by the other party of the terms of this Agreement, and the failure of such other party to cure such breach within thirty (30) days of such notification. 

 

	 	9.3	 Return Reserve. Upon termination of this Agreement by Navarre pursuant to Sections 9.1 and 9.2 above, Navarre has the right to withhold
payment of all or any portion of any invoice or invoices as a reasonable reserve against future returns, debit balances or chargebacks. Such reserve to be determined based upon rate of sale and unsold inventory exposure. In the event Navarre’s
account is in a debit balance, amounts owed Navarre by Vendor will be deducted first from payables and then from the return reserve. Any sum remaining in the return reserve will be paid to Vendor after: (i) clearance of all chargebacks and
credits and (ii) upon the earlier of the return of all unsold Products to Vendor or the expiration of the return period specified in Section 6.4 above. 

 

	 	9.4	 Survival. The obligations of the parties in Sections 5., 6., 9.3, 10., 11., 12. and 13.1 of this Agreement survive the expiration or earlier
termination of this Agreement. 

  

	10.	 WARRANTIES and LIMITATIONS. 

  

	 	10.1	 Product Warranties. Vendor represents and warrants that: (i) it has good and transferable title to the Products or a valid and
enforceable license to distribute the Products; (ii) the Products will perform in conformity with specifications and documentation supplied by Vendor; (iii) the Products or their use do not infringe any patents, copyrights, trademarks,
trade secrets or any other intellectual property rights of any third parties; (iv) that there are no suite or proceedings pending or threatened which allege an infringement of such proprietary rights; and (v) the Product sales to Navarre
do not in any way constitute violations or any law, ordinance, rule or regulation applicable to such Products or sales. Vendor will provide a Warranty Statement with its Products for the benefit of End Users. Navarre will not extend any additional
warranties to any Customers and End Users. NO OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE ARE MADE BY VENDOR WITH RESPECT TO THE PRODUCTS.

  

	 	10.2	 Authority. Vendor represents and warrants that it has the full power and authority to execute and deliver this Agreement. This Agreement
constitutes the legal, valid and binding obligation of Vendor enforceable in accordance with its terms. No other consent, approval or authorization of any governmental authority or any third party is required in connection with the execution and
delivery of this Agreement, or the carrying out, or performance of any of the transactions required or contemplated by this Agreement or, if required, such consent, approval, order or authorization has been obtained by Vendor prior to the date
hereof. 

  

	 	10.3	 Reliance. Navarre shall have no obligation whatsoever to make any investigation of the facts relevant to any warranty or representation made
by Vendor herein. Neither the furnishing by Vendor nor the receipt by Navarre of any document shall impair Navarre’s absolute rights to rely, to have relied, and to continue to rely on any warranties or representations made by Vendor in this
Agreement. 

  

	 	10.4	 Limitation of Liability. Neither party, nor any of its directors, officers, or employees, shall be liable to the other for any special,
indirect, consequential or incidental damages, including, but not limited to, lost profits, however caused. This limitation shall apply even if such party 

  
 5 

	 	 
has been advised of the possibility of such damages or the damages were otherwise foreseeable. 

  

	11.	 INDEMNIFICATION. 

  

	 	11.1	 Vendor’s Indemnification. Vendor shall be solely responsible for the design, development, supply, production and performance of the
Products. Vendor agrees to defend, indemnify and hold harmless Navarre and its Customers from and against any and all claims, suits, demands, liabilities, losses, damages, reasonable attorneys’ fee and other costs and expenses
(“Claim”) that may result, in whole or in part, from: (i) any infringement, or any claim of infringement, of any patent, trademark, copyright, trade secret or other proprietary right with respect to the Products; (ii) any
warranty claim with respect to the Products or any breach by Vendor of this Agreement; and (iii) any injury or damage, including but not limited to, any personal or bodily injury or property damage, arising out of or resulting in any way from
any defective Products. 

  

	 	11.2	 Indemnification Procedure. The party seeking indemnification will notify Vendor of any Claim and will cooperate with and provide reasonable
assistance to Vendor (at Vendor’s expense) in the defense or settlement of such Claim, provided that the party seeking indemnification may, at its own expense, retain separate representation. Vendor has the right to control the defense or
settlement of any Claim, provided, however, that Vendor will not enter into any compromise or settlement which does not include a complete release of all claims against Navarre and its Customers regarding the matter which is the subject of the
Claim. 

  

	 	11.3	 Insurance. Vendor represents and warrants that it has, and will maintain during the Term of this Agreement, sufficient insurance coverage to
enable it to meet its obligations under this Section. Vendor’s obligation to indemnify Navarre and its Customers shall not be limited by any limitation of the amount its insurance or failure of Vendor to insure as required by this Section.

  

	12.	 CONFIDENTIALITY. Vendor and Navarre recognize that the terms of this Agreement and the information provided to the other party pursuant to
this Agreement is confidential and each party will take reasonable steps to protect such confidential information. 

  

	13.	 GENERAL. 

  

	 	13.1	 Governing Law. This Agreement and the rights and obligations of the parties hereunder will be governed by the laws of the State of Minnesota,
without regard to its choice of law provisions. The parties agree that the state or federal courts located in Hennepin County, Minnesota have sole and exclusive jurisdiction and venue over any action relating to this Agreement and the parties hereby
consent to the jurisdiction of such courts. For this purpose, Vendor appoints the Secretary of State of Minnesota as its agent for services of process in the event that Navarre is unable to serve process on Vendor at its last known business address.
In the event of a dispute related to this Agreement, the prevailing party is entitled to recover its costs and reasonable attorneys’ fees. 

  

	 	13.2	 Relationship of the Parties. Vendor and Navarre agree that their relationship is that of seller and buyer. Each are independent contractors
acting for their own accounts and neither is authorized to make any commitment or representation, express or Implied, on the other’s behalf unless authorized in writing. In all matters relating to this Agreement, neither patty nor such
party’s employees or agents are, or will act as, employees of the other party within the meaning or application of any federal or state law. 

  

	 	13.3	 Assignment. This Agreement may not be assigned by either party, without prior mutual agreement. Notwithstanding the foregoing either party,
by giving written notice to the other, may make any such assignment to a subsidiary, other affiliated company or any company purchasing substantially all of its assets. The provisions, rights and obligations of this Agreement are binding upon and
inure to the benefit of the parties hereto and their respective successors and permitted assigns. 

  
 6 

	 	13.4	 Severability. If any provision of this Agreement is held invalid or unenforceable by a court of competent jurisdiction, the invalid or
unenforceable part or provision will be deemed replaced with a provision which accomplishes to the extent possible and lawful the original purpose and intent of such provision, and the remainder of the Agreement continues unaffected and in full
force and effect. 

  

	 	13.5	 Waiver. No waiver of any provision or default under this Agreement will affect the right of either party to enforce such provision or to
exercise any right or remedy in the event of any other default, whether or not similar, at a later time. The rights and remedies herein expressly provided are cumulative and not exclusive of any rights or remedies which a party would otherwise have.

  

	 	13.6	 Headings. The headings and subheadings preceding the various Sections of this Agreement are for convenience only, have no legal significance
and in no way change the construction or meaning of the terms hereof. Every word or phrase defined herein has, unless specified to the contrary, the same meaning throughout this Agreement. As used herein, whenever applicable, the singular includes
the plural and the plural includes the singular, the masculine includes the feminine and the feminine includes the masculine. 

  

	 	13.7	 Entire Agreement. This Agreement and the Rider attached hereto constitute the entire agreement and understanding between the parties
concerning the subject matter hereof and supersede all prior and contemporaneous representations, agreements, understandings, proposals and communications between the parties, whether written or oral. Both parties agree that to the extent there are
any terms contained in any invoices or purchase orders issued pursuant to the terms of this Agreement that vary and conflict with the terms of this Agreement, then the terms set forth in this Agreement will govern unless such purchase order or
invoice containing the contrary terms is signed by a duly authorized corporate officer of the party against whom enforcement is sought. 

  

	 	13.8	 Modification and Amendment. This Agreement may not be modified, amended, rescinded, waived or otherwise changed except pursuant to the
written consent signed by a duly authorized corporate officer of each party. 

  

	 	13.9	 Execution In Counterparts. This Agreement may be executed in any number of counterparts which, when taken together, constitute one and the
same instrument. 

 The parties, by the actions of their authorized representatives, have executed this
Agreement, including the attached Exhibits A and B, as of the Effective Date. 
  

									
	 VENDOR
	 		 	 NAVARRE CORPORATION

					
	 By:
	 	 

	 		 	 By:
	 	 

			
	 VP Sales & Marketing
	 		 	 VP Merchandise

	 Title
	 		 		 	 Title

  
 7 

 RIDER 
 to 
 COMPUTER SOFTWARE DISTRIBUTION AGREEMENT 

Dated: September 1, 2005 (the “Agreement”) 
 Between NAVARRE CORPORATION and eGames, Inc. 

(Vendor) 
 GENERAL TERMS AND CONDITIONS FOR CONSIGNMENT PROGRAMS 
 Navarre has
developed consignment programs with certain major retailers (the “Retailer(s)”). Vendor may elect to participate in the consignment programs with respect to all or a portion of the Products and with respect to any or all such Retailers by
executing the applicable Retailer Addendum attached hereto. The purpose of this Rider is to set forth the general terms and conditions applicable to all consignment programs and the terms specific to each Retailer are contained in the applicable
Retailer Addendum. 
  

	1.	 Modification of the Agreement. This Rider supersedes the payment and other terms of the Agreement as necessary to effectuate the consignment
programs. All other provisions and definitions in the Agreement remain applicable but should be read and interpreted to be consistent with the delivery of Products on a consignment basis rather than as a sale (the “Consigned Products”).

  

	2.	 Title of Consigned Products. Vendor remains vested with all right, title and interest in each item of Consigned Product until sale by
Retailer to an End User. Upon sale by Retailer to an End User, title passes from Vendor to Navarre, then from Navarre to the Retailer. Until such time, Navarre will not in any way acquire any right, title or interest in any Consigned Product and
will not represent itself to third parties as being the owner of any such item, claim any rights of ownership therein, nor encumber any such item. Navarre will comply with Vendor’s requests for UCC financing statements evidencing such
ownership. Retailer has agreed to the same with respect to Consigned Products in its possession. 

  

	3.	 Risk of Loss. Navarre has responsibility for the care and condition of the Consigned Products following delivery by Vendor, and Navarre
assumes liability for any loss or damage to the Consigned Products, including but not limited to breakage, theft, and damage by water, fire or extraordinary conditions of a similar nature, Navarre will maintain all-risk property insurance covering
the Consigned Products in its possession in an amount at least equal to the aggregate retail value. Retailer has agreed to the same with respect to Consigned Products in its possession. 

 

	4.	 Identification. Vendor must provide a unique Retailer specific UPC code for each title of Consigned Product. Navarre will set up in its
system a unique SKU for each title which is specific for the Vendor and Retailer. Such unique SKU’s are required to keep consignment inventory separate from Vendor’s non-consignment Products for proper payment and accounting.

  

	5.	 Invoicing and Payment. 

  

	 	a.	 Tracking Invoice. Upon shipment of Consigned Products, Vendor will issue an invoice, for tracking purposes and not to indicate a sale,
including a description of the Consigned Products by SKU, quantities, delivery location, the Vendor’s published price and a cost of either $.01 or $.00 (to be determined by Navarre) per item shipped. These tracking invoices are necessary in
order for Vendor to maintain an accounting for Consigned Product and for reconciliation of shipping shortages and discrepancies. 

  

	 	b.	 Sales Reports. Navarre will obtain from each Retailer electronic reports of weekly point of sales data showing sales of Consigned Products to
End Users by SKU net of any returns from End Users. Consigned Product sold but returned by an End User pursuant to the Retailer’s return policy will not be counted as a sale. Navarre will also be able to account for inventory on hand on a
weekly basis 

  
 8 

	 	 
including inventory at Navarre’s distribution center, inventory at Retailer’s distribution and retail locations, and returns in route to Vendor. 

 

	 	c.	 Payment. At the end of each month (which may be a calendar month or fiscal month, depending on the Retailer), Navarre will issue Vendor a
purchase order for billing purposes for each Retailer aggregating the Consigned Products sold to End Users during that month. Vendor will issue an invoice for such sales at its published purchase prices. Payment dates vary by Retailer as indicated
in the Retailer Addendum, and, in each case, Navarre will pay Vendor within fifteen (15) days after the Retailer’s payment date(s) corresponding to the invoiced month. Navarre will charge back to Vendor an administrative fee equal to two
percent (2%) of each invoice to compensate Navarre for administering the consignment program. This administrative fee and any other credits or chargebacks authorized by the Agreement, this Rider and each Retailer Addendum, including, but not
limited to, the VAS and new channel rebates, may be deducted prior to payment. 

  

	6.	 Shrinkage Reconciliation. Each Retailer will audit the shrink or loss of Consigned Products periodically and report such losses to Navarre.
Audit periods vary by Retailer as indicated in the Retailer Addendum. The Retailer will report and pay for shrink losses within sixty (60) days after the end of the audit period. Navarre will then promptly report to Vendor and pay for such
losses. 

  

	7.	 Returns. Navarre and the Retailer(s) will have one hundred percent (100%) return rights on all Consigned Products which are unsold to
End Users for any reason, including obsolete, delisted, defective or slow-moving goods, termination of this Agreement, or otherwise. Returns will be handled pursuant to the provisions of the Agreement, Procedures for handling obsolete product and
returns that vary by Retailer are indicated in the Retailer Addendum. 

  

	8.	 Destruction of Defectives. To eliminate return freight expense, Navarre and the Retailers prefer to destroy defective and damaged items on
site. Navarre will request approval from Vendor in each case, and if received, will provide Vendor with proof of destruction in order to delete the destroyed items from the Consigned Product inventory. 

 

	9.	 Property Tax Reports. Navarre and the Retailers will report Consigned Products in their possession to the appropriate taxing authorities if
required by the particular authority. They will be reported as consigned property owned by the Vendor. Navarre will provide Vendor with the inventory amounts and locations of the property so reported along with applicable supporting documentation.
Vendor will be responsible for any property tax payable on the Consigned Products, and Navarre will chargeback all such property tax amounts paid to a taxing authority. The foregoing applies only to valid property tax assessments and does not apply
to sales and income taxes which are the responsibility of Navarre and the Retailers. 

  

	10.	 Termination. This Rider will terminate upon expiration or earlier termination of the Agreement. In addition, this Rider will terminate with
respect to any Retailer if, and at the time that, such Retailer terminates its participation in the consignment program. Upon termination, Navarre may, at its option, return all or some of the inventory of Consigned Products, or purchase all or some
of the inventory of Consigned Products. If Navarre desires to purchase any of the inventory, Vendor agrees to negotiate in good faith for appropriate price protection for such inventory. 

  
 9 

 STAPLES ADDENDUM 

to 

NAVARRE’S CONSIGNMENT PROGRAMS RIDER 
 Vendor, by its signature below, agrees to participate in the Staples Consignment Program and, in addition to the General Terms and Conditions for Consignment Programs, agrees to the Staples specific terms
set forth below. 
 Retailer’s Payment Date. Staples’ payment date to Navarre for net sales of Consigned
Products is thirty (30) days after the end of each calendar month. 
 Shrinkage Audit Reports. Staples will audit
shrink and loss of Consigned Products on a quarterly basis and report and pay for shrink losses forty-five (45) days after the close of each fiscal quarter. 
 Returns. Staples has a no physical returns policy. All returns will be destroyed in the field with Staples providing proof of performance. Destroyed items will be deleted from the Consigned
Products inventory. If Vendor does not approve any request for destruction and demands return, Staples will comply and charge Vendor a returns handling fee of ten dollars (10.00$) per store per return. 

Mark Downs. Staples prefers to mark down slow-moving and obsolete items, with Vendor’s participation and approval, prior to
implementing return or destruction. Eight (8) weeks prior to removal, the item cost is lowered to 50% of its invoice cost and retail price to expedite sell-down. On the removal date, a second cost adjustment is taken down to a $3, $6 or $9
Staples cost and the item is placed in the software clearance bin priced at $14.90 or less and will not be subject to return, After ninety (90) selling days, any residual product will be destroyed in the field and removed from the Consigned
Product inventory. Staples will provide proof of performance and back up information. 
 [Illegible] (initial here if
agree) Vendor accepts the foregoing markdown program. 
 Other Programs. Vendor agrees to participate in Staples’
twenty percent (20%) MDF/stocking fee/detailing program accrual based on Staples’ net cost of Consigned Products sold. Navarre will issue chargebacks for this accrual and provide Vendor with proof of performance and other back up
documentation. Staples retains the right to request additional marketing funds from Vendor to aid in the promotion of the Consigned Products. 
  

									
	VENDOR	 		 	NAVARRE CORPORATION
					
	 By:
	 	 

	 		 	 By:
	 	 

[

			
	 VP Sales & Marketing
	 		 	 VP Merchandise

	 Title
	 		 	 Title

  
 10 

 

 
 February 27, 2009 
 Dear Vendor Partner, 
 Effective April 1, 2009, Navarre will be implementing
a mandatory returns handling charge of 50 cents for each unit returned to Navarre by a customer. This charge will be assessed for both terms and consignment products regardless if the product is destroyed in our warehouse or returned to your
facility. There will not be a charge associated with processing Destroy in Field at the customer’s retail locations or warehouses. 
 Your acknowledgement is required by signing this letter and sending a copy to the attention of Andy Burton Andy.Burton@Navarre.com or fax to 763-971-2869. 

Should you have any questions, please contact Rick Vick at 763-971-2819 or me at 763-971-2801. 

 

			
	 Best Regards
	  	 * eGames will go with option 2 - auto destroy for 25 cents.

 Joyce Fleck 

President 
 Navarre Distribution Services

 Joyce.Fleck@Navarre.com 
  

									
	 Signed:
	 	  
	 		 	 Signed:
	 	 

					
	 Name:
	 	  
	 		 	 Name:
	 	 Rich Siporin

		 	 Navarre Corporation
	 		 		 	
		 		 		 	 Vendor:
	 	 eGames

 Although the initial letter stated only a 50 cent fee option for returns processing and
return to vendor we are also going to offer a 2nd option. If the vendor is not comfortable with the ability of customers to destroy in field we will process back a return and do an immediate destroy (auto destroy) for 25 cents. This means
scanning it in and tossing with no return to vendor. You will receive a monthly chargeback detailing the products that were destroyed (for the value of the product and the additional fee) 

Please indicate when you respond back to Andy Burton which option you prefer. Thank you. 

 

 
 December 14, 2006 
 eGames, Inc. 
 Attn: Legal Department 
 2000 Cabot Blvd. West 
 Langhorne, PA 19047 

 

	Re:	 Navarre Restructuring and Notice of Assignment of: 

Computer Software Distribution Agreement dated September 13, 2005 (the “Agreement(s)”) 

You currently have a business relationship with Navarre Distribution Services (“NDS”), a division of Navarre Corporation
(“Navarre”). This letter is to inform you that, effective January 1, 2007, the activities carried out by NDS arc being transferred to Navarre Distribution Services, Inc., a Minnesota corporation and wholly-owned subsidiary of Navarre.

 This transfer is being done within the context of a corporate restructuring of Navarre that is intended to result in each of
its significant operating units being housed in its own legal entity. Navarre’s significant growth over (the past few years has necessitated this realignment of its operations. It is anticipated that Navarre and its new wholly-owned subsidiary
companies will continue to operate in substantially the same manner as Navarre does today. 
 In connection with this transfer,
Navarre is assigning all of the assets and contracts that relate to the business activities of NDS to Navarre Distribution Services, Inc. This assignment includes the Agreement(s) between your company and Navarre. Navarre Distribution Services, Inc.
is at (the same address as Navarre. 
  

	
	 Sincerely,

	
	 NAVARRE CORPORATION

	
	

	 Linda Alsid Ruehle

	 Assistant General Counsel

 [Illegible] 
 7400 49th Avenue North, New Hope, Minnesota 55428 • p: 763-535-8333 f: 763-533-2156

 

 
 Fiscal Year 2010 Entertainment Program 

The Fiscal Year 2010 Entertainment Program consists of all units sold in PC Entertainment, PC Education, PC Edutainment and Console. This
program is based on Best Buy’s FY 2010 requests and requirements. This program will be in effect for Best Buy’s Fiscal Year 2010 which runs March 1, 2009 through February 27, 2010. A new program will be sent out for Fiscal Year
2011. 
  

	 	1)	 Vendor agrees to a 1% defective allowance on gross shipments of Console product. The 1% will be charged back on a monthly basis based on Best
Buy’s cost of goods. (Best Buy runs at a 2% defective overall in the entertainment, but have agreed to the 1% for this year.) 

  

	 	2)	 Vendor agrees to a .5% Item maintenance fee on gross shipments of all entertainment categories. This fee replaces the current $.27/unit 3rd party merchandising fee, which was PC only. The item maintenance fee
replaces all functions of the 3rd Party fee including, but
not limited to, price protections, farming, returns, etc... 

  

	 	3)	 Vendor agrees to Net 75 day terms for all console and Entertainment/Education PC terms based purchase orders (PO’s) placed specifically for
Best Buy. Navarre will place specific PO’s for Best Buy and will change the terms for these PO’s. Navarre will use reasonable business practices to not ship these units to other customers. Best Buy has changed the terms of sale this year
based on new selling metrics. 

  

	 	4)	 Vendor agrees to junk out (Destroy in the field) all PC products for both terms and consignment. Navarre will work with the vendor at the time BBY
requests a junk out, to ensure proper credit is given. Vendor will have the ability to price protect prior to junk out, this will be based on sales velocity and Best Buy’s willingness to allow a price protection. 

 

	 	5)	 There will be no seasonal dating this year as we have changed the terms to offset any charges. In previous years, a .75% per unit shipped was
charged back for shipments between September 15th and
December 15th. 

The vendor is responsible for sales from March 1st, 2009 through February 27th, 2010. All charges are based on unit sales
during BBY’s Fiscal month. Navarre will charge back each vendor on a monthly basis based on BBY reporting. BBY’s 

 
fiscal calendar is attached for your records. This program remains in effect for 1 year and a new program will be sent prior to the start of BBY’s fiscal 2011. 

 

			
	 Vendor Signature:
	 	 

			
		
	 Vendor Name:
	 	 Richard Siporin eGames, Inc.

			
		
	 Date:
	 	 3 - 30 - 09

 [illegible] 
 Addendum A 
 to 

DISTRIBUTION AGREEMENT 
 COMPUTER SOFTWARE (SELL-THRU) 
 Dated: As of 23 January, 2007

 Between NAVARRE DISTRIBUTION SERVICES, INC. and eGAMES, INC. 

NON-CONSIGNMENT, SELL-THRU CUSTOMER LIST IN REFERENCE TO 
 SECTION 1.1 OF THE COMPUTER SOFTWARE (SELL-THRU) AGREEMENT 
 DATED
SEPTEMBER 12, 2005 
  

	 	•	 	 Best Buy 

  

									
	eGAMES INC. (“Vendor”)	 		 	NAVARRE DISTRIBUTION SERVICES, INC.
					
	 By:
	 	 

	 		 	 By:
	 	 

		 	 Signature
	 		 		 	 Signature

			
	 Richard Siporin
	 		 	 Richard Vick

	 Written Name
	 		 	 Written Name

			
	 VP Sales & Marketing
	 		 	 VP Merchandise

	 Title
  

Date 1/23/07
	 		 	 Title
 2 - 13 - 2007

 eGames 
 OFFICE DEPOT ADDENDUM 
 to 

NAVARRE’S CONSIGNMENT PROGRAMS RIDER 
 Vendor, by its signature below, agrees to participate in the Office Depot Consignment Program and, in addition to the General Terms and Conditions for Consignment Programs, agrees to the Office Depot
specific terms set forth below. 
 Sales Reporting Period. Navarre will report to Vendor net sales of Consigned Products
by Office Depot to End Users for each fiscal month in the Navarre AP calendar (either four or five weeks based on a modified 4-5-4 calendar. 
 Payment Date. Navarre’s Payment Date to Vendor is the last day of the calendar month following the Sales Reporting Period. 

Shrinkage Audit Reports. Office Depot will audit, report and pay for shrink and loss of Consigned Products on an annual basis.

 Returns. Office Depot has a no physical returns policy. All returns will be destroyed in the field with Office Depot
providing proof of performance. Destroyed items will be deleted from the Consigned Products Inventory. If Vendor does not approve any request for destruction and demands return, Office Depot will comply and charge Vendor a returns handling fee in
its discretion. 
 Chargebacks. Each month, Navarre will issue a chargeback to Vendor equal to one percent (1%) of
the invoice price of gross shipments of Products to Office Depot during the month for required Office Depot program and compliance fees, but not necessarily limited to, training and product knowledge development, plan-o-gram reset support and
in-stock. If Vendor agrees to participate in Office Depot’s MDF, stocking fee, and/or software detailing programs Navarre will issue chargebacks for the costs of such programs to Vendor and provide Vendor with proof of performance and other
back up documentation and program authorization. Office Depot retains the right to request additional marketing funds from Vendor to aid in the promotion of the Consigned Products. 

Change in Retailer Terms. Vendor acknowledges that the foregoing terms are based on Office Depot’s current consignment
program. If Office Depot modifies its consignment program, Navarre will notify Vendor of any changes in the above terms. Vendor may opt out of the office Depot consignment program if it is not in agreement with the changes. 

 

									
	[Illegible]                          
                                  , VENDOR	 		 	NAVARRE DISTRIBUTION SERVICES, INC.
					
	 By:
	 	 

	 		 	 By:
	 	 

		 	 Signature
	 		 		 	 Signature

			
	 Rich Siporin
	 		 	 [Illegible]

	 Written Name
	 		 	 Written Name

			
	 VP Sales & Mktg
	 		 	 VP Sales & Marketing

	 Title
	 		 	 Title

		 		 	5/25/07
	 Date
	 	 5/15/07
	 		 		 	

  
 1 

 Office DEPOT 

 
 March 23, 2009 

eGames 
 Attn: Rich Siporin 

Re: Office Depot Program 
 Dear Rich: 
 The purpose of this letter agreement (“Letter Agreement”) is to outline the
financial program (“Program”) between Office Depot, Inc (“Office Depot” “us” or “we”) and eGames (“Publisher” “you” or “your”). The terms of (the Program are as follows:

  

	1.	Starting with sales commencing 12/28/2008 eGames agrees to provide funding to Office Depot equal to 20% of Office Depot’s cost of goods sold from
distribute on all Publisher’s products that Office Depot has sold to its end customers 

  

	2.	Program calculation will be completed on a quarterly basis, based in Office Depot’s fiscal year, and funds will be deducted from Navarre Distribution

  

	3.	Office Depot requests your partnership in continuing the growth of your business as well as investing in the development of Office Depot’s software business Office
Depot will utilize these funds to drive sales and grow your volume 

  

	4.	Starting with sales commencing on 12/28/2008, all Program funds are retroactive back to dollar one 

 

	5.	All publishers that do business with Office Depot either directly or through distribution are expected to pay 100% store allowance based on the actual on-hand inventory
of each new, relocated, or remodeled store at the time of grand opening 

  

	6.	All damaged, defective, and end of life inventory coming off of plan-o-grams will be destroyed in field (DIF) at the store level Any inventory that is requested to be
RTV (returned to vendor) instead of DIF will be subject to $3 00 per unit charge. 

  

	7.	All publishers that do business with Office Depot either directly or through distribution are expected to maintain 100% on-time shipping to our facilities A 5% late
penally on purchase orders will be assessed if product is past due. This penally will be charged through to you or your distribution partner 

  

	8.	This Letter Agreement shall remain in full force and effect until terminated by either party upon providing sixty (60) days written notice to the other party

  
 [Illegible]
North Military Trail    |    Boca Raton FL 33496    |    T + 561 438 4800 

 Please indicate your acceptance to these terms by signing below and returning to Rafi
Wellmann 
 Thank you for your partnership We appreciate your business 
 Sincerely yours, 
  

					
	  
	 		 	  

	 [NAME OF VICE PRESIDENT]
	 		 	 [NAME OF EVP]

	 Vice President, Merchandising
	 		 	 Executive Vice President, Merchandising

	 Office Depot, Inc.
	 		 	 Office Depot, Inc

 ACKNOWLEDGED AND AGREED: 
  

			
	 eGames

		
	 By:
	 	 

	 Name:
	 	 Rich Siporin

	 Title:
	 	 VP Sales & Marketing

	 Date:
	 	 3/23/09

 [illegible] 
 OFFICEMAX ADDENDUM 
 to 

NAVARRE’S CONSIGNMENT PROGRAM RIDER 
 Vendor, by its signature below, agrees to participate in the OfficeMax Consignment Program and, in addition to the General Terms and Conditions for Consignment Programs, agrees to the OfficeMax specific
terms set forth below. 
 Sales Reporting Period. Navarre will report to Vendor net sales of Consigned Products by
OfficeMax to End Users for each fiscal month in the Navarre AP calendar (either four or five weeks based on a modified 4-5-4 calendar. 
 Payment Date. Navarre’s Payment Date to Vendor is the last day of the calendar month following the Sales Reporting Period, provided that Navarre has received payment from OfficeMax for such
sales. 
 Shrinkage Audit Reports. OfficeMax will audit shrink and toss of Consigned Products on a quarterly basis and
has agreed to reconcile shrink within 120 days of quarter-end. OfficeMax will pay for shrink units within 15 days of completion of shrink invoicing. 
 Returns. It is OfficeMax’s policy to have no physical returns, thereby having all damaged/defective and overstock/obsolete products destroyed in the field. If Vendor does not approve any
request for destruction and demands return, OfficeMax will return such Consigned Product, and Vendor will be charged for all return freight costs as well as any return processing fees. 

Mark Down Funding. OfficeMax requires that any item being dropped from its active assortment must be either returned to Vendor or
receive a markdown allowance to facilitate sell-through of remaining inventory. If Vendor does not approve a request for a markdown allowance, Vendor will be charged for all return freight costs as well as any return processing fees. 

Compliance Charges. If OfficeMax determines that an item is on chronic backorder, OfficeMax will debit the cost difference between
the direct cost and wholesaler cost. In addition, OfficeMax will charge a penalty of 10% of the value of ell products that have not been received by the due date of a purchase order. These compliance charges will only be charged-back to Vendor if
the backorder was caused by Vendor. 
 Change in Retailer Terms. Vendor acknowledges that the foregoing terms are based
on OfficeMax’s current consignment program. If OfficeMax modifies its consignment program, Navarre will notify Vendor of any changes in the above terms. Vendor may opt out of the OfficeMax consignment program if it is not in agreement with the
changes. 
  

									
	 VENDOR
	 		 	 NAVARRE CORPORATION

					
	 By:
	 	 

	 		 	 By:
	 	 

			
	 VP Sales & Marketing
	 		 	 VP Merchandise

	 Title
	 		 	 Title
                                   
   2-13-2007

 STAPLES REVISED ADDENDUM 

to 

NAVARRE’S CONSIGNMENT PROGRAMS RIDER 
 Vendor, by its signature below, agrees to participate in the Staples Consignment Program and, in addition to the General Terms and Conditions for Consignment Programs, agrees to the Staples specific terms
set forth below. 
 Sales Reporting Period. Navarre will report to Vendor net sales of Consigned Products by Staples to
End Users for each calendar month. 
 Payment Date. Navarre’s Payment Date to Vendor Is the
forty-fifth (45th) day following the last day of the
Sales Reporting Period. 
 Shrinkage Audit Reports. Staples will audit shrink and loss of Consigned Products on a
quarterly basis and report and pay for shrink losses forty-five (45) days after the close of each fiscal quarter. 

Returns. Staples has a no physical returns policy. All returns will be destroyed in the field with Staples providing proof of
performance. Destroyed Items will be deleted from the consigned Products Inventory. If Vendor does not approve any request for destruction and demands return, Staples will comply and charge Vendor a returns handling fee of ten dollars
(10.00$) per store per return. 
 Mark Downs. Staples prefers to mark down slow-moving and obsolete Items, with
Vendor’s participation and approval, prior to implementing return or destruction. Eight (8) weeks prior to removal, the Item cost is towered to 50% of its invoice cost and retail price to expedite sell-down. On the removal date, a second
cost adjustment is taken down to a $3, $6 or $9 Staples cost and the Item is placed in the software clearance bin priced at $14.90 or less and will not be subject to return. After ninety (90) selling days, any residual product will be destroyed
in the field and removed from the Consigned Product Inventory. Staples will provide proof of performance and back up information. 
 [illegible] (Initial here if agree) Vendor accepts the foregoing markdown program. 
 Other Programs. Vendor agrees to participate in Staples’ twenty-four percent (24%) MDF/stocking fee/detailing program accrual based on Staples’ net cost of Consigned Products
sold. Effective date February 1st, 2009. Navarre will
Issue chargebacks for this accrual and provide Vendor with proof of performance and other back up documentation. Staples retains the right to request additional marketing funds from Vendor to aid in the promotion of the Consigned Products.

  
 1 

 Change in Retailer Terms. Vendor acknowledges that the foregoing terms are based on
Staple’s current consignment program. If Staples modifies its consignment program, Navarre will notify Vendor of any changes in the above terms. Vendor may opt out of the Staples consignment program if it is not in agreement with the changes

  

									
	 E Games
                                         
       , VENDOR
	 		 	             NAVARRE CORPORATION

					
	 By:
	 	 

	 		 	 By:
	 	 

		 	 Signature
	 		 		 	 Signature

	 Cindy Yeagle
	 		 	 Richard Vick

	 Written Name
	 		 	 Written Name

	  
	 		 	 3/2/09

  
 2 

 

 
 VENDOR PRODUCT LIFE CYCLE AGREEMENT 
 Staples requests that all titles be purchased under a “no returns” program. Therefore, the purpose of this Agreement is to eliminate the return of obsolete SKU’S or SKU’S not meeting
the sales expectations of Staples (“Reseller”) and to manage the disposal of all Damaged & Defective Software titles; NAVARRE will work diligently with the Vendor and Reseller to enforce this policy, Return
authorizations will not be issued on overstock or under performing SKU’S unless written prior approval is received by NAVARRE from a member of the Resellers buying staff 
 Inventory control and markdown practices 
 Staples strives to maintain a highly productive
assortment of software titles. Given the limited planogram positions available, Staples will not maintain under performing titles. Staples encourages proactive price moves to improve performances of under performing titles to keep them in the
assortment, Additional mail in rebates are not a viable option for under performing titles, To minimize the financial impact of under performing titles on Staples, one of the following 2 options will be executed on all skus that prove to be poor
performers. The decision of which option is to be executed will be made in cooperation with the vendor per this agreement. 
 Vendor
agrees to implement one of two programs for obsolete SKU’S or under performing SKU’S: 
  

					
		 	              A – (Preferred) 8 Weeks prior
removal, the item is price protected to 50% of its original cost & retail to expedite sell-down.

		
		 	 On the Planogram removal date, a second price protection is taken down to a $3, $6 or $9 Staples cost and the item is placed in this
software clearance bin priced at $ 14,90 or less and will not be subject to return. After 90 selling days, all residual product will be marked down to $,01 and destroyed in field.

		
		 	              B – Upon removal date, an
on-site destruction is performed and the full Staples cost of all on-hand inventory in the stores and warehouses will be charged back. (This product will not be put in the clearance bins)

 Vendor has 5 days after Roseller and/or Navarre submits the Markdown Authorization Agreement to implement a sell down
and/or destruction program on obsolete or under performing SKU’S, Vendor will notify in writing both NAVARRE and Resell of the program to be implemented. 
 Vendor agrees to implement the following program for Damaged & Defective SKU’s: 
 Staples believes that Damaged & Defective goods are deemed as non-returnable, therefore Staples requests a Destroy to Field option against each Publisher’s sku(s), Staples will deduct for
all Damaged/Defective merchandise destroyed in field and charge back NAVARRE based on current cost of goods. NAVARRE will retain the right to charge back the appropriate Publisher Staples full cost of goods. The
sku & quantity detail will be provided by Staples to NAVARRE only. 
 This Agreement is the entire agreement between the
parties pertaining to the destruction or sell down program of obsolete or under performing SKU’S and Damaged/Defective SKU’S. This Agreement is not intended to invalidate or modify any existing agreement between the Vendor and
NAVARRE pertaining to the purchase or sale of products. In the event that the terms and conditions of this Agreement conflict with any other terms and conditions within any other agreement, presently existing or subsequently entered
into, the terms and conditions of this Agreement will govern, unless the parties specifically state their intention to amend to this Agreement in such other agreement. 
 This Agreement is and contains confidential information and as such will not be disclosed to any third party, except for the Reseller identified above, without the express written consent of both parties.
The parties agree to disclose the terms and conditions of this Agreement only to their respective personnel with a need to know. 
 All notices
and other communications related to this Agreement or its forms will be in writing and mailed via first class United States Postal Service, certified or registered, with return receipt requested. All notices so mailed will be deemed received two
(2) days after postmark date. 
 
 This Agreement will begin in
3/20/06 and will continue until such time as this Agreement is terminated. 
  

									
	(“VENDOR”)	 	[illegible]	 		 	(“Distributor”)	 	NAVARRE
	  
	 		 	7400 49th Avenue North
	  
	 		 	New Hope, Minnesota 55428
	(Company Name & Address)	 		 		 	

									
					
	By:	 	 

	 		 	By:	 	 

		 	     (Officer of the Company)
	 		 		 	     (Officer of the Company)

	Name:	 	Rich Siporin	 		 	Name:	 	Richard Vick
		 	     (Please print or type)
	 		 		 	     (Please print or type)

	Title:	 	VP Sales & Marketing	 		 	Title:	 	VP Merchandise

 Target Addendum to Computer Software Distribution Agreement 

This Addendum to that certain Computer Software Distribution Agreement (the “Agreement”) is made as of this 27th day of
February, 2008 (the “Effective Date”), by and between Navarre Corporation, a Minnesota corporation (“Navarre”), and eGames, a Pennsylvania corporation (“Vendor”). In consideration of the mutual promises and covenants
hereinafter contained, the receipt and sufficiency of which is hereby acknowledged, the parties to this Amendment agree that the Agreement is hereby amended as follows: 
 1. In addition to those rebates and discounts set forth in the Agreement, Vendor will provide Navarre with each of the following in connection with its sales of Vendor’s products to Target:

  

	 	a.	 Navarre shall receive a [Fifteen (15%)] percent discount from Vendor on all sales made to Target. All other rebates, including the VAS, are included
in the aforementioned (Fifteen (15%)] percent discount. This sales rebate will underwrite the incremental costs of fulfillment of Vendor’s Products to Target (including EDI development, content management, direct to store fulfillment,
individual shipping cartons, MDF processing, etc.); 

  

	 	b.	 Navarre shall be entitled to receive a returns handling charge in the form of a credit in an amount equal to [Ten (10%)] percent of the amount
credited by it to Target in connection with the return of Vendor’s products from Target. 

  

	 	c.	 Returned product will be handled in accordance with Navarre’s pre-established returns process. 

 

	 	d.	 Navarre shall be entitled to receive a [Five (5%)] percent new store discount in connection with its initial shipment of Vendor’s products to
any Target store that has not previously received shipments of Vendor’s products from Navarre or its sub-distributors. 

  

	 	e.	 Navarre shall be entitled to receive the rates outlined below for Target placement fees: 

 

					
	 Jan – Sept
	  	$	9 per title per store	  
	 Oct – Dec
	  	$	18 per title per store	  

 These funds are passed through to Target and do not guarantee placement for any specific
period of time. 
  

	 	f.	 If Target removes a title from their assortment, Navarre will give Vendor a 48 hour window to respond with approval to either RA the remaining
product, or place the product into the Target Markdown Program. If Vendor fails to respond within 48 hours, the product will automatically go into the Markdown Program and Vendor loses their ability to RA the product. The Target Markdown Program is
a one time markdown of 65% off Target’s current purchase cost. Navarre will administer and pass through the appropriate funds and corresponding paperwork to Vendor. 

Navarre will charge back these discounts on a monthly basis for sales to Target made during the prior month. A report of sales by account
will be provided as supporting documentation. 

 2. This Amendment, in conjunction with the Agreement, constitutes the entire agreement
between the parties hereto and supersedes all prior agreements and understandings, oral and written, between the parties with respect to the subject matter hereof. 
 3. The term of this Addendum shall commence as of the Effective Date hereof and shall be co-extensive and co-terminus with the term of the Agreement. 

 

									
	 [Vendor]
	 		 	 Navarre Corporation

					
	 By:
	 	 

	 		 	 By:
	 	 

					
	 Name:
	 	 Rich Siporin
	 		 	 Name:
	 	 Richard Vick

					
	 Title:
	 	 VP Sales & Marketing
	 		 	 Title:
	 	 VP Merchandise

 ADDENDUM to DISTRIBUTION AGREEMENT 

COMPUTER SOFTWARE 
 Dated: 2/11/11 
 Between NAVARRE DISTRIBUTION SERVICES, INC.
(“Navarre) 
 and [illegible] (“Vendor”) 

WAL-MART PROGRAMS 

VENDOR, by its signature below, desires to have its products distributed to and sold at Wal-Mart retail outlets (“Wal-Mart”) and
therefore agrees to provide the following in addition to any other discounts and credits provided in the Agreement: 
  

	 	1.	VENDOR must set up a unique UPC and SKU for each Product distributed to Wal-Mart. 

 

	 	2.	Navarre shall receive a fifteen (15) percent discount from VENDOR on all gross shipments to Wal-Mart. This sales rebate will underwrite the incremental costs of
fulfillment of products to Wal-Mart (including EDI development, content management, direct to store fulfillment, individual shipping cartons, MDF processing, etc.) This discount will be handled as a price adjustment or deal buy.

  

	 	3.	Navarre shall be entitled to receive a one-time ten (10) percent new store discount. Navarre will charge back the discount on initial gross shipments of VENDOR
Products to new Wal-Mart stores. 

  

	 	4.	VENDOR will also be charged back monthly to cover charges for Wal-Mart’s mandatory merchandising firm listed below, or any replacement firm, in exchange for
in-store merchandising services, which will include a monthly fee and miscellaneous charges. The current monthly fee is as follows and is charged based on Wal-Mart’s sale price of units of Vendor’s product’s sold by Wal-Mart during
the month. An invoice from the merchandising firm will be provided. Changes to the monthly fee may be announced from time to time and VENDOR will be notified in advance of such changes. 

Firm Mosaic; Current monthly fee: 1.55% 

 

	 	5.	Returns Processing: Wal-Mart will process returns in one of two ways. (1) Product will be consolidated at the Wal-Mart return center and then be returned to
Navarre. To cover charges by Wal-Mart, in this instance, Navarre shall be entitled to receive a returns handling charge in the form of a credit in the amount equal to ten (10) percent of the amount credited by it to Wal-Mart for such returns.
Navarre shall be entitled to receive a separate returns handling charge in the form of a credit in the amount equal to twenty five (25) cents per unit returned. (2) Product will be set up for destroy in field (“DIF”). DIF
product will be sent to Wal-Mart’s recycle center for destruction. To cover charges by Wal-Mart for DIF product, Navarre shall be entitled to receive a credit in the amount of one-half (.5) percent of the amount credited by it to Wal-Mart for
such DIF product. VENDOR will indicate the time of each return authorization if Product is to be returned (10% fee and $.25 per unit) or destroyed (.5% fee). 

 Navarre will charge back the appropriate handling fee’s based on the amount of product processed for return or sent for destruction during the prior month. Navarre will provide supporting
documentation. 

	 	6.	“Must Arrive by Date” Compliance: 3% of the cost of goods sold applied to each case not delivered and recorded in the Wal-Mart system within the MABD delivery
window. This window allows receipt of product within 3 days prior to the MABD and up to the MABD date itself. This fee will be applied if less than 90% of the cases order by Wal-Mart are not received within the MABD window for the month. This charge
applies only to goods shipped through Wal-Mart distribution center. 

  

	 	7.	VENDOR acknowledges and agrees that Navarre may, in its own discretion, utilize various sub- distributors in order to facilitate the process of making sales to
Wal-Mart. Navarre is responsible for passing on the foregoing discounts/credits to such sub-distributors and assumes all responsibility for such sub-distributors compliance with Wal-Mart programs. 

 

	 	8.	VENDOR further acknowledges that the foregoing terms are based on the current policies of Wal-Mart. If Wal-Mart modifies any such policies, Navarre will notify VENDOR
of any changes in the above terms. VENDOR may opt out of this Wal-Mart Addendum if it is not in agreement with the changes. VENDOR understands that its Products will no longer be eligible for distribution to Wal-Mart if this Addendum is terminated.

 VENDOR by signing below agrees to participate in the Wal-Mart Programs as detailed above. 

 

							
	 VENDOR
	    	 NAVARRE DISTRIBUTION SERVICES, INC.

				
	 By:
	 	 

	    	 By:
	 	  

		 	 Signature
	    		 	 Signature

		
	 Rich Siporin
	    	  

	 Written Name
	    	 Written Name

		
	 VP Sales & Marketing
	    	  

	 Title
	    	 Title

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