Document:

UNSECURED
      PROMISSORY NOTE

    

    
      	
              $500,000.00

            	
              Springfield,
                Missouri

            
	 	
              April
                30, 2008

            

    

    

    FOR
      VALUE
      RECEIVED, the undersigned, Decorize, Inc., a Delaware corporation (hereinafter
      “Borrower”), hereby promises to pay to the order of SRC Holdings Corporation, a
      Missouri corporation (hereinafter “Creditor”), the principal sum of Five Hundred
      Thousand Dollars ($500,000.00), together with interest on the unpaid principal
      balance thereof as hereinafter set forth in this Note. Both principal and
      interest are payable as herein provided in lawful money of the United States
      of
      America at the address set forth below or at the address provided by the Lender
      for purposes of payment, or at such other place as from time to time may be
      designated by the holder of this Note.

    

    This
      Note
      (exclusive of any past due principal or interest) from time to time outstanding
      shall bear interest on each day outstanding at the Base Rate (as defined below)
      in effect on such day. The Base Rate of this Note shall be equal to the prime
      rate per annum as published by the Wall Street Journal for any given day. Each
      change in the Base Rate shall become effective without prior notice to Borrower
      automatically as of the opening of business on the date such change in the
      Base
      Rate. Upon the occurrence of an Event of Default (as defined below), all past
      due principal of and past due interest under this Note shall bear interest
      on
      each day outstanding at a rate per annum equal to the Base Rate plus three
      percent (3.0%) (the “Default Rate”). If any Event of Default is cured by
      Borrower or waived by Lender, the Default Rate shall not apply for any period
      following such cure or waiver, as applicable. Notwithstanding anything to the
      contrary in this paragraph, in no event shall the Base Rate or the Default
      Rate
      exceed the Highest Lawful Rate (as defined below), and if at any time either
      of
      those rates exceed the Highest Lawful Rate, then such rate shall be deemed
      modified to equal the Highest Lawful Rate, for so long as such rate exceeds
      the
      Highest Lawful Rate.

    

    The
      outstanding principal amount of this Note, together with all accrued but unpaid
      interest thereon, shall be due and payable on April 30, 2009. All payments
      made
      under this Note shall be applied first to costs of enforcement or collection
      of
      this Note (if any), second, to accrued but unpaid interest, and third, to
      outstanding principal.

    

    It
      is the
      intention of the parties to comply with all applicable laws. Accordingly, it
      is
      agreed that, notwithstanding any provisions to the contrary in this Note,
      interest on the debt evidenced by this Note shall not at any time exceed the
      maximum amount of non-usurious interest that may be contracted for, taken,
      reserved, charged or received under applicable law (the “Highest Lawful Rate”).
      Any interest in excess of that maximum amount shall be credited on the principal
      of the debt or, if that has been paid, refunded. It is further agreed that,
      without limitation of the foregoing, all calculations of the rate of interest
      contracted for, charged or received under this Note that are made for the
      purpose of determining whether such rate exceeds the Highest Lawful Rate shall
      be made, to the extent permitted by applicable law, by amortizing, prorating,
      allocating and spreading in equal parts during the period of the full term
      of
      the indebtedness evidenced hereby, all interest at any time contracted for,
      charged or received from Borrower or otherwise by the holder or holders hereof
      in connection with such indebtedness.

    

    For
      purposes of this Note, the following events shall constitute an “Event of
      Default”:

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	 	
              (a)

            	
              The
                default by Borrower in any required payment of principal or interest
                on
                this Note; or

            

    

    

    
      	 	
              (b)

            	
              Borrower
                breaches or otherwise fails to perform or observe any covenant or
                agreement that is set forth in this Note;
                or

            

    

    

    
      	 	
              (c)

            	
              The
                entry of a decree or order for relief by a court having jurisdiction
                in
                respect of Borrower in an involuntary case under federal or state
                bankruptcy laws, as now or hereinafter constituted, or any other
                applicable federal or state bankruptcy, insolvency or other similar
                law,
                which is not vacated or dismissed within sixty (60) days, or appointing
                a
                receiver, liquidator, assignee, custodian, trustee, sequestrator
                (or other
                similar official) of Borrower or for any substantial part of its
                property,
                or ordering the winding up or liquidation of its affairs;
                or

            

    

    

    
      	 	
              (d)

            	
              The
                commencement by Borrower or any affiliate thereof of a voluntary
                case
                under the federal bankruptcy laws, as now constituted or hereafter
                amended, or any other applicable federal or state bankruptcy, insolvency
                or other similar law, or the consent by it to the appointment of
                or taking
                possession by a receiver, liquidator, assignee, trustee, custodian,
                sequestrator (or other similar official) of Borrower or for any
                substantial part of its property, or the making by it of any assignment
                for the benefit of creditors, or the admission by it in writing of
                its
                inability to pay its debts generally as they become due;
                or

            

    

    

    
      	 	
              (e)

            	
              If
                Borrower is liquidated or winds up its affairs;
                or

            

    

    

    
      	 	
              (f)

            	
              The
                sale or liquidation of all or substantially all of the assets of
                Borrower;
                or

            

    

    

    
      	 	
              (g)

            	
              If
                there is an event of default by Borrower, which is not cured within
                any
                applicable grace periods, under the Credit Agreement dated as of
                October
                19, 2007, between Guaranty Bank and the Borrower (as amended, restated,
                substituted or replaced, the “Credit Agreement”) or any security
                agreement, certificate, instrument or other agreement entered into
                by
                Borrower in connection with the Credit Agreement, including any of
                the
                foregoing entered into by any successor or substitute lender providing
                a
                facility in replacement or confirmation of that set forth in the
                Credit
                Agreement.

            

    

    

    Upon
      the
      occurrence of an Event of Default, then, and in every such case, the holder
      of
      this Note may declare the principal of this Note, together with all accrued
      and
      unpaid interest thereon to be due and payable immediately, and the same shall
      become due and payable, without presentment, demand, protest, notice of intent
      to accelerate or other notice of any kind all of which are expressly waived,
      and
      Lender may exercise all remedies available at law, in equity or
      hereunder.

    

    If
      this
      Note is placed in the hands of an attorney for collection after default, or
      if
      all or any part of the indebtedness represented hereby is proved, established
      or
      collected in any court or in any bankruptcy, receivership, debtor relief,
      probate or other court proceeding, Borrower and all endorsers, sureties and
      guarantors of this Note, jointly and severally, agree to pay reasonable
      attorneys’ fees and collection costs to the holder hereof in addition to the
      principal and interest payable hereunder.

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Borrower
      and all endorsers, sureties and guarantors of this Note hereby severally waive
      demand, presentment, notice of demand and of dishonor and nonpayment of this
      Note, protest, notice of protest, notice of intention to accelerate the maturity
      of this Note, declaration or notice of acceleration of the maturity of this
      Note, diligence in collecting, the brining of any suit against any party and
      any
      notice of or defense on account of any extensions, renewals, partial payments
      or
      changes in any manner of or in this Note or in any of its terms, provisions
      and
      covenants, or any releases or substitutions of any security, or any delay,
      indulgence or other act of any trustee or any holder hereof, whether before
      or
      after maturity.

    

    THIS
      NOTE
      AND THE RIGHTS AND DUTIES OF THE PARTIES HERETO SHALL BE GOVERNED BY THE LAWS
      OF
      THE STATE OF MISSOURI (WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW), EXCEPT
      TO THE EXTENT THE SAME ARE GOVERNED BY APPLICABLE FEDERAL LAW. The parties
      irrevocably submit to the exclusive jurisdiction of the state and federal courts
      located in Greene County, Missouri for the purpose of any suit, action or other
      proceeding arising out of or based on this Note. Each party, to the extent
      applicable law permits, waives, and will not assert by way of motion, as a
      defense or otherwise, in any suit, suit, action or proceeding brought in the
      above-named courts, any claim that (a) it is not subject personally to the
      jurisdiction of those courts, (b) the suit, action or proceeding is brought
      in
      an inconvenient forum, (c) the venue of the suit, action or proceeding is
      improper, or (d) any of these agreements and instruments, or their respective
      subject matter, may not be enforced in or by these courts.

    

    
      	Executed
              as of the date first written above.
	 	 
	BORROWER
	Decorize,
              Inc.
	A
              Delaware corporation
	 	 
	
              By:

            	
              /s/
                Steve Crowder

            
	 	
              Steve
                Crowder

            
	 	
              President
                & Chief Executive Officer

            

    

    

    Payable
      At:

    

    3140
      E.
      Division

    Springfield,
      MO 65802MODIFICATION
        AGREEMENT

      

      THIS
        MODIFICATION AGREEMENT (the
        “Agreement”), dated effective as of the 30th
        day of
        April, 2008, by and among DECORIZE, INC., a Delaware corporation (“Borrower”)
        and SRC Holdings Corporation, a Missouri corporation (“Lender”)

      

      WHEREAS,
        on June
        15, 2005, Borrower executed and delivered to Lender a Third Amended and Restated
        Promissory Note in the principal sum of Seven Hundred Fifty Thousand Dollars
        ($750,000.00) (the “Note”), which was issued in replacement of and substitution
        for that certain Second Amended and Restated Promissory Note in the original
        principal amount of $750,000, which was issued on April 11, 2005, which in
        turn
        was issued in replacement of and substitution for that certain First Amended
        and
        Restated Secured Promissory Note in the original principal amount of $750,000,
        which was issued on September 30, 2004, which in turn was issued in replacement
        of and substitution for that certain Secured Line of Credit Promissory Note
        in
        the original principal amount of up to $500,000, which was issued on April
        29,
        2004 (the “Original Note”);

      

      WHEREAS,
        the
        Note was deemed issued and delivered in conjunction with that certain Security
        Agreement dated April 29, 2004, entered into by and between Borrower and
        Lender
        in connection with the issuance of the Original Note (as from time to time
        supplemented, amended or restated, the “Security Agreement”);

      

      WHEREAS,
        the
        parties desire to amend the Note so that the interest payable on the Note
        shall
        accrue at the prime rate per annum as from time to time published by the
        Wall
        Street Journal; and

      

      WHEREAS,
        the
        parties desire to amend the Note so that the Borrower is no longer obligated
        to
        make interest payments in monthly installments over the term of the Note;
        and

      

      WHERAS,
        the
        parties desire to amend the Note so that all accrued interest on the unpaid
        principal balance shall be due and payable in full upon demand by
        Lender.

      

      NOW,
        THEREFORE,
        in
        consideration of the premises and mutual covenants herein contained and agreed
        to be kept, the parties hereto do agree as follows:

      

      
        	 	
                1.

              	
                Modification
                  of Interest Rate.
                  Effective April 30, 2008, the Note shall accrue interest at the
                  prime rate
                  per annum as from time to time published by the Wall Street
                  Journal.

              

      

      

      
        	 	
                2.

              	
                Modification
                  of Payment Terms.
                  All accrued interest on the unpaid principal balance of the Note
                  shall be
                  due and payable in full upon demand by
                  Lender.

              

      

      

      
        	 	
                3.

              	
                No
                  Other Modification.
                  The modification and amendments to the Note set forth in this Agreement
                  shall only modify and amend the Note to the extent necessary to
                  give
                  effect to such modification and amendments, and, except as otherwise
                  provided in this Agreement, the Note and Security Agreement shall
                  continue
                  to bind the parties to such documents and be in full force and
                  effect in
                  accordance with their original terms as of their effective
                  dates.

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	 	
                4.

              	
                Representations
                  and Warranties.
                  When Borrower signs this Agreement, Borrower represents and warrants
                  to
                  Lender that: (a) there is no event which is, or with notice or
                  lapse of
                  time or both would be, a default under the Note or Security Agreement
                  (collectively, the “Loan Documents”) except those events, if any, that
                  have been disclosed in writing to Lender or waived in writing by
                  Lender,
                  (b) the representations and warranties in the Loan Documents are
                  true as
                  of the date of this Agreement as if made on the date of this Agreement,
                  (c) this Agreement does not conflict with any law, agreement, or
                  obligation by which Borrower is bound, and (d) this Agreement is
                  within
                  Borrower’s powers, has been duly authorized, and does not conflict with
                  any of Borrower’s organizational
                  papers.

              

      

      

      
        	 	
                5.

              	
                Counterparts.
                  This Agreement may be executed in counterparts, each of which when
                  so
                  executed shall be deemed an original, but all such counterparts
                  together
                  shall constitute but one and the same
                  instrument.

              

      

      

      
        	 	
                6.

              	
                General
                  Provisions.
                  

              

      

      

      
        	 	
                a.

              	
                Headings.
                  The headings, captions and arrangements used in this Agreement
                  are, unless
                  specified otherwise, for convenience only and shall not be deemed
                  to
                  limit, amplify or modify the terms of the Agreement, nor effect
                  the
                  meaning hereof.

              

      

      

      
        	 	
                b.

              	
                Survival.
                  All agreements, covenants, undertakings, representations and warranties
                  made in this Agreement shall survive the execution
                  hereof.

              

      

      

      
        	 	
                c.

              	
                Governing
                  Law. This Agreement and the rights and duties of the parties hereto
                  shall
                  be governed by the laws of the State of Delaware (without regard
                  to
                  principles of conflicts of law), except to the extent the same
                  are
                  governed by applicable federal law, and the substantive laws of
                  such state
                  shall govern the validity, construction, enforcement and interpretation
                  of
                  the Agreement and any related documents, unless otherwise specified
                  therein.

              

      

      

      
        	 	
                d.

              	
                Attorney’s
                  Fees and Costs. In the event that any dispute arises between the
                  parties
                  hereto relating to the interpretation, enforcement or performance
                  of this
                  Agreement, and such matter is referred to an attorney for resolution,
                  the
                  prevailing party shall be entitled to collect from the losing party
                  any
                  attorney’s fees together with any costs and expenses in the event of
                  litigation.

              

      

      

      
        	 	
                e.

              	
                Assignment.
                  This Agreement shall be binding upon and inure to the benefit of
                  each
                  party hereto, and its respective successors and
                  assigns.

              

      

      

      
        	 	
                7.

              	
                Final
                  Agreement.
                  By signing this document each party represents and agrees that:
                  (a) this
                  document represents the final agreement between the parties with
                  respect
                  to the subject matter hereof, (b) this document supersedes any
                  term sheet
                  or other written outline of the terms and conditions relating to
                  the
                  subject matter hereof, unless such term sheet or other written
                  outline of
                  terms and conditions expressly provides to the contrary, (c) there
                  are no
                  unwritten oral agreements between the parties, and (d) this document
                  may
                  not be contradicted by evidence of any prior, contemporaneous,
                  or
                  subsequent oral agreements or understandings of the
                  parties.

              

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      ORAL
        AGREEMENTS OR COMMITMENTS TO LOAN MONEY, EXTEND CREDIT OR TO FORBEAR FROM
        ENFORCING REPAYMENT OF A DEBT INCLUDING PROMISES TO EXTEND OR RENEW SUCH
        DEBT
        ARE NOT ENFORCEABLE. TO PROTECT YOU (BORROWER) AND US (CREDITOR) FROM
        MISUNDERSTANIDNG OR DISAPPOINTMENT, ANY AGREEMENTS WE REACH COVERING SUCH
        MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE COMPLETE AND EXCLUSIVE
        STATEMENT OF THE AGREEMENT BETWEEN US, EXCEPT AS WE MAY LATER AGREE IN WRITING
        TO MODIFY IT.

      

      This
        Agreement is executed as of the date stated at the beginning of this
        Agreement.

      

      
        	
                DECORIZE,
                  INC.

              	 	
                SRC
                  HOLDINGS CORPORATION

              	 
	
                a
                  Delaware corporation

              	 	
                a
                  Missouri corporation

              	 
	 	 	 	 	 	 
	
                By:

              	
                /s/
                  Steve Crowder

              	 	
                By:

              	
                /s/
                  John P. Stack

              	 
	Name:
                Steve Crowder	 	Name:
                John P. Stack	 
	Title:
                President and Chief Executive Officer	 	Title:
                Chief Executive Officer

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