Document:

Forbearance Agreement, dated February 15, 2008

 Exhibit 10.29 
 FORBEARANCE AGREEMENT 
 THIS FORBEARANCE AGREEMENT (this “Agreement”), dated as of
February 15, 2008, is entered into among Bank of America, N.A., as agent for the Lenders (“Agent”), the Lenders party hereto, Nautilus, Inc., a Washington corporation (“US Borrower”), and Nautilus International
S.A., a , a Swiss private share company (“Swiss Borrower”; with US Borrower, collectively, “Borrowers”). 
 RECITALS 
 A. Borrowers, Agent and the financial institutions from time to time party thereto as lenders
(“Lenders”) have previously entered into that certain Loan and Security Agreement dated as of January 16, 2008 (the “Loan Agreement”), pursuant to which Agent and the Lenders have made certain loans and
financial accommodations available to Borrowers. Terms used herein without definition shall have the meanings ascribed to them in the Loan Agreement. 
 B. An Event of Default has occurred and is continuing under the Loan Agreement due to Borrower’s failure to achieve EBITDA, when measured for the period commencing October 1, 2007 and ending
December 31, 2007, of at least $0, as required under Section 10.3.1 of the Loan Agreement (the “Known Existing Default”). 
 C. Borrowers have asked Agent and the Lenders to forbear from exercising its rights and remedies under the Loan Agreement. 
 D. Agent and Lenders are willing, for a limited period of time and on the terms and conditions set forth herein, to forbear from exercising its rights and remedies under the Loan Agreement with respect to the Known
Existing Default. 
 F. Each Borrower is entering into this Agreement with the understanding and agreement that, except as specifically
provided herein, none of Agent’s or any Lender’s rights or remedies as set forth in the Loan Agreement is being waived or modified by the terms of this Agreement. 
 AGREEMENT 
 NOW, THEREFORE, in consideration of the foregoing and the mutual
covenants herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 
 1. Incorporation of Recitals. Each of the above recitals is expressly incorporated herein and is represented by Borrowers to be true and correct.

 2. Reaffirmation of Obligations. Each Borrower hereby acknowledges that the Loan Documents and the Obligations constitute the valid
and binding obligations of such Borrower enforceable against such Borrower in accordance with their respective terms, and each Borrower hereby reaffirms its obligations under the Loan Documents. Agent’s and Lenders’ entry into this
Agreement or any of the documents referenced herein, Agent’s or any Lender’s negotiations with any party with respect to any Loan Document, Agent’s or any Lender’s conduct of any analysis or investigation of any collateral for
the Obligations or any Loan Document, Agent’s or any Lender’s acceptance from Borrower or any other party of any payments made to Agent or such Lender prior to the date hereof, or any other action or failure to act on the part of Agent or
any Lender shall not constitute (a) a modification of any Loan Document, or (b) a waiver of any Default or Event of Default under the Loan Documents, including, without limitation, the Known Existing Default, or a waiver of any term or
provision of any Loan Document. 

 3. Agreement to Forbear. For the Forbearance Term (as defined below), Agent and the Lenders shall
forbear and shall not take any action or commence any proceedings with respect to the enforcement of any of its rights or remedies under the Loan Documents as a result of the Known Existing Default. The parties agree that neither the foregoing
agreement by Agent and the Lenders nor the acceptance by Agent or any Lender of any of the payments provided for in the Loan Documents, nor any payment prior to the date hereof shall, however, (a) excuse any party from any of its obligations
under the Loan Documents, or (b) toll the running of any time periods applicable to any such rights and remedies, including, without limitation, any time periods within which Borrowers may cure defaults under the Loan Documents or otherwise.
Each Borrower agrees that it will not assert laches, waiver or any other defense to the enforcement of any of the Loan Documents based upon the foregoing agreement by Agent and the Lenders to forbear or the acceptance by Agent or any Lender of any
of the payments provided for in the Loan Documents or any payment prior to the date hereof. As used herein, “Forbearance Term” shall mean the period commencing upon the effectiveness of this Agreement and continuing until the
earliest to occur of: (x) any Default or Event of Default under any of the Loan Documents (other than the Known Existing Default) or (y) February 29, 2008. 
 4. Termination of Agreement to Forbear. Each Borrower acknowledges and agrees that upon the termination of Agent’s and Lenders’ agreement to forbear as provided in Section 3 hereof, Agent and the
Lenders shall be entitled to exercise any or all of their respective remedies under the Loan Documents, including, without limitation, the appointment of a receiver, the acceleration of the Obligations and the enforcement under the UCC of any liens
in favor of Agent or any Lender, as a result of the Known Existing Default, and at any time Agent and the Lenders shall be entitled to exercise any or all of their respective remedies under the Loan Documents as a result of any other Default or
Event of Default under the Loan Documents. 
 5. Release; Covenant Not to Sue. 
 (a) Each Borrower hereby absolutely and unconditionally releases and forever discharges Agent and the Lenders, and any and all
participants, parent corporations, subsidiary corporations, affiliated corporations, insurers, indemnitors, successors and assigns thereof, together with all of the present and former directors, officers, agents and employees of any of the foregoing
(each a “Released Party”), from any and all claims, demands or causes of action of any kind, nature or description, whether arising in law or equity or upon contract or tort or under any state or federal law or otherwise, which such
Borrower has had, now has or has made claim to have against any such person for or by reason of any act, omission, matter, cause or thing whatsoever arising from the beginning of time to and including the date of this Agreement, whether such claims,
demands and causes of action are matured or unmatured or known or unknown. It is the intention of each Borrower in providing this release that the same shall be effective as a bar to each and every claim, demand and cause of action specified above,
and in furtherance of this intention it waives and relinquishes all rights and benefits under Section 1542 of the Civil Code of the State of California, which provides: 
 “A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING THE RELEASE,
WHICH IF KNOWN BY HIM MIGHT HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR.” 
 Each Borrower acknowledges that it may hereafter discover facts
different from or in addition to those now known or believed to be true with respect to such claims, demands, or causes of action and agree that this instrument shall be and remain effective in all respects notwithstanding any such differences or
additional facts. Each Borrower understands, acknowledges and agrees that the release set forth above may be pleaded as a full and complete defense and may be used as a basis for an injunction against any action, suit or other proceeding which may
be instituted, prosecuted or attempted in breach of the provisions of such release. 
  

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 (b) Each Borrower, on behalf of itself and its successors, assigns, and other legal
representatives, hereby absolutely, unconditionally and irrevocably, covenants and agrees with and in favor of each Released Party above that it will not sue (at law, in equity, in any regulatory proceeding or otherwise) any Released Party on the
basis of any claim released, remised and discharged by such Borrower pursuant to the release set forth in Section 5(a) above. If any Borrower or any of its successors, assigns or other legal representations violates the foregoing covenant, each
Borrower, for itself and its successors, assigns and legal representatives, agrees to pay, in addition to such other damages as any Released Party may sustain as a result of such violation, all reasonable, documented attorneys’ fees and costs
incurred by such Released Party as a result of such violation. 
 6. Effectiveness of this Agreement. Agent must have received the
following items, in form and content acceptable to Agent, before this Agreement is effective: 
 (a) Agreement;
Acknowledgement and Release. This Agreement and the attached Acknowledgement and Release by Guarantor, each fully executed in a sufficient number of counterparts for distribution to all parties. 
 (b) Representations and Warranties. Except for the existence of the Known Existing Default, the representations and warranties
(i) set forth herein must be true and correct and (ii) set forth in the Loan Agreement must be true and correct in all material respects. 
 (c) Other Required Documentation. All other documents and legal matters in connection with the transactions contemplated by this Agreement shall have been delivered or executed or recorded and shall be in form
and substance reasonably satisfactory to Agent. 
 7. Representations and Warranties. Each Borrower represents and warrants as
follows: 
 (a) Authority. Such Borrower has the requisite corporate power and authority to execute and deliver this
Agreement, and to perform its obligations hereunder and under the Loan Documents to which it is a party. The execution, delivery and performance by such Borrower of this Agreement have been duly approved by all necessary corporate action and no
other corporate proceedings are necessary to consummate such transactions. 
 (b) Enforceability. This Agreement has
been duly executed and delivered by such Borrower. This Agreement and each Loan Document is the legal, valid and binding obligation of such Borrower, enforceable against such Borrower in accordance with its terms, except to the extent that then
enforcement is limited by bankruptcy, insolvency, reorganization or other laws relating to or affecting the enforcement of creditors’ rights generally and by general principles of equity, and is in full force and effect. 
 (c) Representations and Warranties. The representations and warranties contained in each Loan Document (other than any such
representations or warranties that, by their terms, are specifically made as of a date other than the date hereof) are correct in all material respects on and as of the date hereof as though made on and as of the date hereof. 
 (d) Due Execution. The execution, delivery and performance of this Agreement are within the power of such Borrower, have been duly
authorized by all necessary corporate action, have received all necessary governmental approval, if any, and do not contravene any law or any contractual restrictions binding on such Borrower. 
 (e) No Default. Other than the Known Existing Default, no event has occurred and is continuing that constitutes an Event of
Default. 
  

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 (f) No Duress. This Agreement has been entered into without force or duress, of
the free will of such Borrower. Such Borrower’s decision to enter into this Agreement is a fully informed decision and such Borrower is aware of all legal and other ramifications of such decision. 
 (g) Counsel. Such Borrower has read and understands this Agreement, has consulted with and been represented by legal counsel in
connection herewith, and has been advised by its counsel of its rights and obligations hereunder and thereunder. 
 8. Choice of Law.
The validity of this Agreement, its construction, interpretation and enforcement, the rights of the parties hereunder, shall be determined under, governed by, and construed in accordance with the internal laws of the State of California governing
contracts only to be performed in that State. 
 9. Counterparts. This Agreement may be executed in any number of counterparts and by
different parties and separate counterparts, each of which when so executed and delivered, shall be deemed an original, and all of which, when taken together, shall constitute one and the same instrument. Delivery of an executed counterpart of a
signature page to this Agreement by telefacsimile shall be effective as delivery of a manually executed counterpart of this Agreement. 
 10.
Estoppel. To induce Agent and the Lenders to enter into this Agreement and to continue to make advances to Borrowers under the Loan Agreement, each Borrower hereby acknowledges and agrees that, after giving effect to this Agreement, as of the
date hereof, there exists no Event of Default (other than the Known Existing Default) and no right of offset, defense, counterclaim or objection in favor of any Borrower as against Agent or any Lender with respect to the Obligations. 
 11. Integration. This Agreement, together with the other Loan Documents, incorporates all negotiations of the parties hereto with respect to the
subject matter hereof and is the final expression and agreement of the parties hereto with respect to the subject matter hereof. 
 12.
Severability. In case any provision in this Agreement shall be invalid, illegal or unenforceable, such provision shall be severable from the remainder of this Agreement and the validity, legality and enforceability of the remaining provisions
shall not in any way be affected or impaired thereby. 
 13. Modification. This Agreement may not be amended, waived or modified in
any manner without the written consent of the party against whom the amendment, waiver or modification is sought to be enforced. 
 14.
Submission of Agreement. The submission of this Agreement to the parties or their agents or attorneys for review or signature does not constitute a commitment by Agent or any Lender to forbear from the exercise of its rights and remedies
under the Loan Documents, and this Agreement shall have no binding force or effect until all of the conditions to the effectiveness of this Agreement have been satisfied as set forth herein. 
 [Remainder of Page Left Intentionally Blank] 
  

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

  

			
	BORROWERS:
	
	NAUTILUS, INC.,
	a Washington corporation
		
	By:	 	 
	Name:	 	 
	Title:	 	 
	
	NAUTILUS INTERNATIONAL S.A.,
	a Swiss private share company
		
	By:	 	 
	Name:	 	 
	Title:	 	 
	
	AGENT AND LENDERS:
	
	BANK OF AMERICA, N.A.,
	a national banking association, as Agent and the sole Lender
		
	By:	 	 
	Name:	 	 
	Title:	 	 

  

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 ACKNOWLEDGEMENT AND RELEASE BY GUARANTOR 
 Dated as of February 15, 2008 
 The undersigned, being a Guarantor
(“Guarantor”) under a Guaranty and Security Agreement, dated as of January 16, 2008, made in favor of Agent (as amended, modified or supplemented, the “Guaranty”), hereby acknowledges and agrees to the
foregoing Forbearance Agreement (the “Agreement”) and confirms and agrees that its Guaranty is and shall continue to be, in full force and effect and is hereby ratified and confirmed in all respects. Although Agent has informed
Guarantor of the matters set forth above, and Guarantor has acknowledged the same, Guarantor understands and agrees that Agent has no duty under the Loan Agreement, the Guaranty or any other agreement with Guarantor to so notify Guarantor or to seek
such an acknowledgement, and nothing contained herein is intended to or shall create such a duty as to any advances or transaction hereafter. 
 Guarantor hereby absolutely and unconditionally releases and forever discharges each Released Party (as defined in the Agreement), from any and all claims, demands or causes of action of any kind, nature or description, whether arising in
law or equity or upon contract or tort or under any state or federal law or otherwise, which Guarantor has had, now has or has made claim to have against any such person for or by reason of any act, omission, matter, cause or thing whatsoever
arising from the beginning of time to and including the date hereof, whether such claims, demands and causes of action are matured or unmatured or known or unknown. It is the intention of Guarantor in providing this release that the same shall be
effective as a bar to each and every claim, demand and cause of action specified, and in furtherance of this intention it waives and relinquishes all rights and benefits under Section 1542 of the Civil Code of the State of California, which
provides: 
 “A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME
OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM MIGHT HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR.” 
 Guarantor acknowledges that it may
hereafter discover facts different from or in addition to those now known or believed to be true with respect to such claims, demands, or causes of action and agree that this instrument shall be and remain effective in all respects notwithstanding
any such differences or additional facts. Guarantor understands, acknowledges and agrees that the release set forth above may be pleaded as a full and complete defense and may be used as a basis for an injunction against any action, suit or other
proceeding which may be instituted, prosecuted or attempted in breach of the provisions of such release. Guarantor, on behalf of itself and its successors, assigns, and other legal representatives, hereby absolutely, unconditionally and irrevocably,
covenants and agrees with and in favor of each Released Party above that it will not sue (at law, in equity, in any regulatory proceeding or otherwise) any Released Party on the basis of any claim released, remised and discharged by Guarantor
pursuant to the above release. If Guarantor or any of its successors, assigns or other legal representations violates the foregoing covenant, Guarantor, for itself and its successors, assigns and legal representatives, agrees to pay, in addition to
such other damages as any Released Party may sustain as a result of such violation, all reasonable and documented attorneys’ fees and costs incurred by such Released Party as a result of such violation. 
  

			
	DASH AMERICA, INC.,
	a Colorado corporation
		
	By:	 	 
	Name:	 	 
	Title:	 	 

  

 6First Amendment to Loan and Security Agreement and Waiver

 Exhibit 10.30 
 FIRST AMENDMENT TO LOAN AND SECURITY AGREEMENT AND WAIVER 
 THIS FIRST AMENDMENT TO LOAN AND
SECURITY AGREEMENT WAIVER (this “Amendment”), dated as of February 29, 2008, is entered into by and among the financial institutions signatory hereto (each a “Lender” and collectively the
“Lenders”), BANK OF AMERICA, N.A., as administrative agent for the Lenders (in such capacity, “Agent”), NAUTILUS, INC., a Washington corporation (“US Borrower”), NAUTILUS
INTERNATIONAL S.A., a Swiss private share company (“Swiss Borrower”, and together with US Borrower, collectively, “Borrowers”). 
 RECITALS 
 A. Borrowers, Agent and the Lenders have previously entered into that
certain Loan and Security Agreement dated as of January 16, 2008 (as amended, supplemented, restated and modified from time to time, the “Loan Agreement”), pursuant to which the Lenders have made certain loans and financial
accommodations available to Borrowers. Terms used herein without definition shall have the meanings ascribed to them in the Loan Agreement. 
 B. An Event of Default has occurred and is continuing under the Loan Agreement due to Borrower’s failure to achieve EBITDA, when measured for the period commencing October 1, 2007 and ending December 31, 2007, of at least $0,
as required under Section 10.3.1 of the Loan Agreement (together with any breach of a representation or warranty resulting from such Event of Default, the “Known Existing Default”). 
 D. Borrowers have requested that Agent and the Lenders amend the Loan Agreement and waive the Known Existing Default, all of which Agent and the Lenders
are willing to do pursuant to the terms and conditions set forth herein. 
 E. Borrowers are entering into this Amendment with the
understanding and agreement that, except as specifically provided herein, none of Agent’s or any Lender’s rights or remedies as set forth in the Loan Agreement is being waived or modified by the terms of this Amendment. 
 AGREEMENT 
 NOW, THEREFORE, in
consideration of the foregoing and the mutual covenants herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 
 1. Amendments to Loan Agreement. 
 (a) The definition of “Books and records Block” in Section 1.1 of the Loan Agreement is hereby amended and restated to read as follows: 
 “Books and Records Block: a block in the amount of (a) $5,000,000, during the period from the Closing Date through the later to occur of
(i) the date of receipt by Agent of a field examination in form and substance satisfactory to Agent or (ii) the date of the Disclosed Sale, and (b) $0 thereafter.” 

 (b) The definition of “EBITDA” in Section 1.1 of the Loan Agreement is
hereby amended and restated in its entirety to read as follows: 
 “EBITDA: determined on a consolidated basis for Borrowers and
Subsidiaries, net income, calculated before (in each case, to the extent included in determining net income and to the extent incurred or attributable during the applicable measurement period) (i) interest expense, (ii) provision for
income taxes, (iii) depreciation and amortization expense, (iv) gains or losses arising from the sale of capital assets, (v) gains arising from the write-up of assets, and (vi) any extraordinary gains, (vii) fees incurred by
Borrowers in connection with entering into this Agreement and the Loan Documents in an aggregate amount not to exceed $700,000, (viii) legal fees and expenses incurred by US Borrower during the fourth Fiscal Quarter of 2007 or the first Fiscal
Quarter of 2008 in connection with the proxy dispute between US Borrower, its directors and Sherborne Investors, L.P. in an aggregate amount not to exceed $2,700,000, (ix) a write-down of Intellectual Property and associated goodwill taken on
or before the last day of the first Fiscal Quarter of 2008 in connection with the Disclosed Sale in an amount not to exceed $17,500,000, (x) a non-cash inventory write-down taken on or before the last day of the fourth Fiscal Quarter of 2007 in
an amount not to exceed $400,000, (xi) up to $600,000 in expenses (no more than $150,000 of which expenses shall be cash expenses) incurred during the first Fiscal Quarter of 2008 in connection with closure of Borrowers’ Australia direct
operations, (xii) up to $1,000,000 in expenses incurred during the first Fiscal Quarter of 2008 in connection with closure of Borrowers’ Italy operations, (xiii) up to $1,000,000 in expenses (no more than $400,000 of which expenses
shall be cash expenses) incurred during the first and second Fiscal Quarters of 2008 in connection with closure of Borrowers’ Bolingbrook, Illinois distribution center, (xiv) a non-cash write-off of up to $1,200,000 taken during the fourth
Fiscal Quarter of 2007 in connection with the abandonment of the License with Lance Armstrong, (xv) a non-cash charge of up to $1,890,000 taken during the fourth Fiscal Quarter of 2007 in connection with the elimination of Borrowers’
EV9.16 product line, (xvi) a non-cash charge of up to $300,000 taken during the fourth Fiscal Quarter of 2007 in connection with the elimination of Borrowers’ fitness advisor product, (xvii) up to $1,000,000 in expenses actually
incurred during the first and second Fiscal Quarters of 2008 in connection with Borrowers’ future employee reductions, (xviii) a non-cash charge of up to $1,100,000 taken during the fourth Fiscal Quarter of 2007 in connection with the
elimination of Borrowers’ TC9.16 product line, (xix) a non-cash warranty accrual taken during the fourth Fiscal Quarter of 2007 relating to discontinued items in an amount up to $1,000,000, (xx) a non-cash write-off of up to
$3,000,000 taken during the fourth Fiscal Quarter of 2007 in connection with the abandonment or non-use of certain ICON patents; (xxi) an accrual taken in the first Fiscal Quarter of 2008 in connection with future warranty costs resulting from
outsourcing of warranty processing in an amount up to $3,000,000; (xxii) a non-cash write-off in an amount not to exceed $19,400,000 taken during the fourth Fiscal Quarter of 2007 relating to costs and payments incurred in connection with the
LandAmerica Acquisition; and (xxiii) a warranty accrual taken during the fourth Fiscal Quarter of 2007 relating to the discontinued Treadclimber 9.16 line in an amount up to $12,000,000.” 
 (c) The definition of “Revolver Commitment” in Section 1.1 of the Loan Agreement is hereby amended and restated in its
entirety to read as follows: 
 “Revolver Commitment: for any Lender, its obligation to make Revolver Loans and to participate in
LC Obligations up to the maximum principal amount shown on Schedule 1.1(a), or as hereafter determined pursuant to each Assignment and Acceptance to which it is a party. “Revolver Commitments” means the aggregate amount of
such commitments of all Lenders. Following the Closing Date, the Revolver Commitments 

  

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shall be automatically increased on the date of any repayment of any portion of the Term Loans to include the amount of such repayment; provided that
(i) unless the aggregate Revolver Commitments have been increased pursuant to Section 2.1.7, the Revolver Commitments shall not exceed (A) during the period from the Closing Date through the earlier to occur of the second
Business Day following Borrowers’ receipt of proceeds from the Disclosed Sale or March 31, 2008, $100,000,000, or (B) thereafter, $70,000,000, and (ii) in the event the Revolver Commitments have been increased pursuant to
Section 2.1.7, the Revolver Commitments shall not exceed (A) during the period from the Closing Date through the earlier to occur of the second Business Day following Borrowers’ receipt of proceeds from the Disclosed Sale or
March 31, 2008, $125,000,000, or (B) thereafter, $95,000,000.” 
 (d) The definition of “Trigger
Period” in Section 1.1 of the Loan Agreement is hereby amended and restated in its entirety to read as follows: 
 “Trigger
Period: the period (a) commencing on the day that (i) an Event of Default occurs, (ii) Excess Availability is less than the greater of (A) $12,000,000 or (B) 15% of the aggregate Revolver Commitments, for three
consecutive Business Days or (iii) Excess Availability is less than the greater of (A) $10,000,000 or (B) 12.5% of the aggregate Revolver Commitments, at any time; and (b) continuing until the day on which the Borrowers have
maintained Excess Availability in excess of the greater of (A) $15,000,000 or (B) 20% of the aggregate Revolver Commitments, for a period of 90 consecutive days.” 
 (e) Section 2.1.7(a) of the Loan Agreement is hereby amended and restated in its entirety to read as follows: 
 “(a) Provided there exists no Default or Event of Default, upon notice to Agent (which shall promptly notify the Lenders), Borrowers
may request an increase in the Revolver Commitments to an amount not more than (i) during the period from the Closing date through the earlier to occur of the second Business Day following Borrowers’ receipt of proceeds from the Disclosed
Sale or March 31, 2008, $125,000,000, or (ii) thereafter, $95,000,000, in the aggregate. At the time of sending such notice, Borrowers (in consultation with Agent) shall specify the time period within which each Lender is requested to
respond (which shall in no event be less than 10 Business Days from the date of delivery of such notice to the Lenders). Each Lender shall notify Agent within such time period whether or not it agrees to increase its Commitment with respect to Loans
and Letters of Credit and, if so, whether by an amount equal to, greater than, or less than its Pro Rata Share of such requested increase. Any Lender not responding within such time period shall be deemed to have declined to increase such
Commitment. Agent shall notify Borrowers and each Lender of the Lenders’ responses to each request made hereunder. To achieve the full amount of the requested increase, Agent may or Borrowers may, with the prior consent of Agent, invite
additional lending institutions that constitute Eligible Assignees to become Lenders pursuant to a joinder agreement in form and substance reasonably satisfactory to Agent and its counsel.” 
  

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 (f) Section 10.3.1 of the Loan Agreement is hereby amended and restated in its
entirety to read as follows: 
 “10.3.1. Minimum EBITDA. Upon the commencement and during the continuation of a
Trigger Period, maintain EBITDA (for purposes of this covenant only, calculated before (to the extent included in determining net income) a non-cash accrual expense of up to $3,700,000 relating to employee incentive payments to the extent taken
during the period between October 1, 2007 and the respective measurement date set forth below) at least equal to the required amount set forth below with respect to each measurement date set forth below for the period from October 1, 2007
to such measurement date: 
  

					
	 Measurement Date
	  	Required EBITDA	 
	 December 31, 2007
	  	$	0	 
	 January 31, 2008
	  	 	($2,800,000	)
	 February 28, 2008
	  	 	($500,000	)
	 March 31, 2008
	  	$	4,000,000	 
	 April 30, 2008
	  	$	4,000,000	 
	 May 31, 2008
	  	$	4,000,000	 
	 June 30, 2008
	  	$	7,000,000	 
	 July 31, 2008
	  	$	4,000,000	 
	 August 31, 2008
	  	$	4,500,000	 
	 September 30, 2008
	  	$	11,000,000	 
	 October 31, 2008
	  	$	9,500,000	 
	 November 30, 2008
	  	$	12,500,000	 

 ; provided that in the event that a Trigger Period commences in between measurement dates,
this covenant shall be measured for the immediately preceding measurement date at the time of commencement of such Trigger Period. 
 2.
Waiver of Known Existing Default. Agent and the Lenders hereby waive the Known Existing Default; provided, however, nothing herein shall be deemed a waiver with respect to any other or future failure of Borrowers to comply fully
with Section 10.3.1 of the Loan Agreement. This waiver shall be effective only for the specific default comprising the Known Existing Default, and in no event shall this waiver be deemed to be a waiver of enforcement of Agent’s or any
Lender’s rights with respect to any other Defaults or Events of Default now existing or hereafter arising. Nothing contained in this Amendment nor any communications between any Borrower or any Guarantor and Agent or any Borrower or any
Guarantor and any Lender shall be a waiver of any rights or remedies Agent or any Lender has or may have against any Borrower or any Guarantor, except as specifically provided herein. Except as specifically provided herein, Agent hereby reserves and
preserves all of its and the Lenders’ rights and remedies against Borrowers and Guarantors under the Loan Agreement and the other Loan Documents. 
 3. Adjustment of Availability Reserve. Agent hereby acknowledges that the Availability Reserve relating to environmental matters with respect to the US Borrower’s owned Real Estate located in Tyler, Texas
set forth in clause (i) of the definition of “Availability Reserve” has been adjusted to $60,000. Nothing contained in this Amendment shall be construed to limit Agent’s discretion in adjusting the amounts of Availability
Reserves in accordance with the terms of the Loan Agreement. 
 4. Effectiveness of this Amendment. The following shall have occurred
before this Amendment is effective: 
 (a) Amendment. Agent shall have received this Amendment and the Acknowledgment
of Guarantor attached hereto fully executed in a sufficient number of counterparts for distribution to all parties. 
  

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 (b) Representations and Warranties. The representations and warranties set forth
herein must be true and correct. 
 (c) No Default. Other than the Known Existing Default, no event has occurred and is
continuing that constitutes an Event of Default. 
 (d) Other Required Documentation. All other documents and legal
matters in connection with the transactions contemplated by this Amendment shall have been delivered or executed or recorded and shall be in form and substance satisfactory to Agent. 
 5. Representations and Warranties. Each Borrower represents and warrants as follows: 
 (a) Authority. Such Borrower has the requisite corporate power and authority to execute and deliver this Amendment, and to perform
its obligations hereunder and under the Loan Documents (as amended or modified hereby) to which it is a party. The execution, delivery and performance by such Borrower of this Amendment have been duly approved by all necessary corporate action and
no other corporate proceedings are necessary to consummate such transactions. 
 (b) Enforceability. This Amendment has
been duly executed and delivered by such Borrower. This Amendment and each Loan Document to which such Borrower is a party (as amended or modified hereby) is the legal, valid and binding obligation of such Borrower, enforceable against such Borrower
in accordance with its terms, and is in full force and effect. 
 (c) Representations and Warranties. The
representations and warranties contained in each Loan Document to which such Borrower is a party (other than any such representations or warranties that, by their terms, are specifically made as of a date other than the date hereof) are correct on
and as of the date hereof as though made on and as of the date hereof. 
 (d) Due Execution. The execution, delivery
and performance of this Amendment are within the power of such Borrower, have been duly authorized by all necessary corporate action, have received all necessary governmental approval, if any, and do not contravene any law or any contractual
restrictions binding on Borrower. 
 (e) No Default. Other than the Known Existing Default, no event has occurred and
is continuing that constitutes an Event of Default. 
 6. Choice of Law. The validity of this Amendment, its construction,
interpretation and enforcement, the rights of the parties hereunder, shall be determined under, governed by, and construed in accordance with the internal laws of the State of California, without giving effect to any conflict of law principles (but
giving effect to Federal laws relating to national banks). The consent to forum and arbitration provisions set forth in Section 14.14 of the Loan Agreement are hereby incorporated in this Amendment by reference. 
 7. Counterparts. This Amendment may be executed in any number of counterparts and by different parties and separate counterparts, each of which
when so executed and delivered, shall be deemed an original, and all of which, when taken together, shall constitute one and the same instrument. Delivery of an executed counterpart of a signature page to this Amendment by telefacsimile or a
substantially similar electronic transmission shall have the same force and effect as the delivery of an original executed counterpart of this Amendment. Any party delivering an executed counterpart of this Amendment by telefacsimile or a
substantially similar electronic transmission shall also deliver an original executed counterpart, but the failure to do so shall not affect the validity, enforceability or binding effect of such agreement. 
  

 5 

 8. Reference to and Effect on the Loan Documents. 
 (a) Upon and after the effectiveness of this Amendment, each reference in the Loan Agreement to “this Agreement”,
“hereunder”, “hereof” or words of like import referring to the Loan Agreement, and each reference in the other Loan Documents to “the Loan Agreement”, “thereof” or words of like import referring to the Loan
Agreement, shall mean and be a reference to the Loan Agreement as modified and amended hereby. 
 (b) Except as specifically
amended above, the Loan Agreement and all other Loan Documents, are and shall continue to be in full force and effect and are hereby in all respects ratified and confirmed and shall constitute the legal, valid, binding and enforceable obligations of
Borrowers to Agent and the Lenders. 
 (c) The execution, delivery and effectiveness of this Amendment shall not, except as
expressly provided herein, operate as a waiver of any right, power or remedy of Agent or any Lender under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents. 
 (d) To the extent that any terms and conditions in any of the Loan Documents shall contradict or be in conflict with any terms or
conditions of the Loan Agreement, after giving effect to this Amendment, such terms and conditions are hereby deemed modified or amended accordingly to reflect the terms and conditions of the Loan Agreement as modified or amended hereby. 

9. Ratification. Each Borrower hereby restates, ratifies and reaffirms each and every term and condition set forth in the Loan Agreement, as
amended hereby, and the Loan Documents effective as of the date hereof. 
 10. Estoppel. To induce Lenders to enter into this
Amendment and to continue to make advances to Borrowers under the Loan Agreement, each Borrower hereby acknowledges and agrees that, as of the date hereof, there exists no right of offset, defense, counterclaim or objection in favor of such Borrower
as against Agent or any Lender with respect to the Obligations. 
 11. Integration. This Amendment, together with the other Loan
Documents, incorporates all negotiations of the parties hereto with respect to the subject matter hereof and is the final expression and agreement of the parties hereto with respect to the subject matter hereof. 
 12. Severability. In case any provision in this Amendment shall be invalid, illegal or unenforceable, such provision shall be severable from the
remainder of this Amendment and the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 
 [Remainder of Page Left Intentionally Blank] 
  

 6 

 IN WITNESS WHEREOF, the parties have entered into this Amendment as of the date first above written.

  

			
	BORROWERS
	
	NAUTILUS, INC., a Washington corporation
		
	By:	 	 
	Name:	 	 
	Title:	 	 
	
	NAUTILUS INTERNATIONAL S.A., a Swiss private share company
		
	By:	 	 
	Name:	 	 
	Title:	 	 

			
	AGENT AND LENDERS
	
	BANK OF AMERICA, N.A.,
	as Agent and as sole Lender
		
	By:	 	 
	Name:	 	 
	Title:	 	 

 ACKNOWLEDGEMENT BY GUARANTOR 
 Dated as of February 29, 2008 
 The undersigned, being a Guarantor
(“Guarantor”) under that certain Guaranty and Security Agreement dated as of January 16, 2008 made in favor of Agent (“Guaranty”), hereby acknowledges and agrees to the foregoing First Amendment to Loan and
Security Agreement and Waiver (the “Amendment”) and confirms and agrees that the Guaranty is and shall continue to be, in full force and effect and is hereby ratified and confirmed in all respects except that, upon the effectiveness
of, and on and after the date of the Amendment, each reference in such Guaranty to the Loan Agreement (as defined in the Amendment), “thereunder”, “thereof” or words of like import referring to the “Loan Agreement”,
shall mean and be a reference to the Loan Agreement as amended or modified by the Amendment. Although Agent has informed Guarantor of the matters set forth above, and Guarantor has acknowledged the same, Guarantor understands and agrees that Agent
has no duty under the Loan Agreement, the Guaranty or any other agreement with Guarantor to so notify Guarantor or to seek such an acknowledgement, and nothing contained herein is intended to or shall create such a duty as to any advances or
transaction hereafter. 
  

			
	DASHAMERICA, INC.,
	a Colorado corporation
		
	By:	 	 
	Name:	 	 
	Title:

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