Document:

exv10w4

Exhibit 10.4

EXECUTION COPY

UBS AG, London Branch

c/o UBS Securities LLC

299 Park Avenue

New York, NY 10171

Attn: Dmitriy Mandel and Paul Stowell

Telephone: (212) 821-2100

Facsimile: (212) 821-4610

May 16, 2008

To: TTM Technologies, Inc.

2630 South Harbor Boulevard

Santa Ana, California 92704

Attention: Treasurer

Telephone No.: (714) 327-3049

Facsimile No.: (714) 668-9411

Re: Warrants

     The purpose of this letter agreement (this “Confirmation”) is to confirm the terms and
conditions of the Warrants issued by TTM Technologies, Inc. (“Company”) to UBS AG, London Branch
(“UBS”) represented by UBS Securities LLC (“Agent”) as its agent as of the Trade Date specified
below (the “Transaction”). This letter agreement constitutes a “Confirmation” as referred to in
the ISDA Master Agreement specified below. This Confirmation shall replace any previous agreements
and serve as the final documentation for this Transaction.

     The definitions and provisions contained in the 2002 ISDA Equity Derivatives Definitions (the
“Equity Definitions”), as published by the International Swaps and Derivatives Association, Inc.
(“ISDA”), are incorporated into this Confirmation. In the event of any inconsistency between the
Equity Definitions and this Confirmation, this Confirmation shall govern. This Transaction shall
be deemed to be a Share Option Transaction within the meaning set forth in the Equity Definitions.

     Each party is hereby advised, and each such party acknowledges, that the other party has
engaged in, or refrained from engaging in, substantial financial transactions and has taken other
material actions in reliance upon the parties’ entry into the Transaction to which this
Confirmation relates on the terms and conditions set forth below.

1. This Confirmation evidences a complete and binding agreement between UBS and Company as to the
terms of the Transaction to which this Confirmation relates. This Confirmation shall supplement,
form a part of, and be subject to an agreement in the form of the 2002 ISDA Master Agreement (the
“Agreement”) as if UBS and Company had executed an agreement in such form (but without any Schedule
except for the election of the laws of the State of New York as the governing law) on the Trade
Date. In the event of any inconsistency between provisions of that Agreement and this
Confirmation, this Confirmation will prevail for the purpose of the Transaction to which this
Confirmation relates. The parties hereby agree that no Transaction other than the Transaction to
which this Confirmation relates shall be governed by the Agreement.

2.  The Transaction is a Warrant Transaction, which shall be considered a Share Option
Transaction for purposes of the Equity Definitions. The terms of the particular Transaction
to which this Confirmation relates are as follows:

 

 

General Terms:

	 	 	 	 	 
	 

	 	Trade Date:
	 	May 16, 2008
	 

	 	Effective Date:
	 	May 20, 2008; provided that the Effective Date
shall not occur and this Confirmation and the
Agreement shall become null and void if UBS has not
paid the Premium on the Premium Payment Date.
	 

	 	Warrants:
	 	Equity call warrants, each giving the holder the
right to purchase one Share at the Strike Price,
subject to the Settlement Terms set forth below.
For the purposes of the Equity Definitions, each
reference to a Warrant herein shall be deemed to be
a reference to a Call Option.
	 

	 	Warrant Style:
	 	European
	 

	 	Seller:
	 	Company
	 

	 	Buyer:
	 	UBS
	 

	 	Shares:
	 	The common stock of Company, par value USD 0.001
per Share (Exchange symbol “TTMI”)
	 

	 	Number of Warrants:
	 	626,448, subject to adjustment as provided herein.
	 

	 	Warrant Entitlement:
	 	One Share per Warrant
	 

	 	Strike Price:
	 	USD 18.1540
	 

	 	Premium:
	 	USD 1,496,980.00
	 

	 	Premium Payment Date:
	 	May 20, 2008
	 

	 	Exchange:
	 	The NASDAQ Global Select Market
	 

	 	Related Exchange(s):
	 	All Exchanges

Procedures for Exercise:

	 	 	 	 	 
	 

	 	Expiration Time:
	 	The Valuation Time
	 

	 	Expiration Date(s):
	 	Each Scheduled Trading Day during
the period from and including the
First Expiration Date and to and
including the 120th Scheduled
Trading Day following the First
Expiration Date shall be an
“Expiration Date” for a number of
Warrants equal to the Daily Number
of Warrants on such date; provided
that, notwithstanding anything to
the contrary in the Equity
Definitions, if any such date is a
Disrupted Day, the Calculation Agent
shall make adjustments, if
applicable, to the Daily Number of
Warrants or shall reduce such Daily
Number of Warrants to zero for which
such day shall be an Expiration Date
and shall designate a Scheduled
Trading Day or a number of Scheduled
Trading Days as the Expiration
Date(s) for the remaining Daily
Number of Warrants or a portion
thereof for the originally scheduled
Expiration Date; and provided
further that if such Expiration Date
has not occurred pursuant to this
clause as of the

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	 	 	 	eighth Scheduled
Trading Day following the last
scheduled Expiration Date under this
Transaction, the Calculation Agent
shall have the right to declare such
Scheduled Trading Day to be the
final Expiration Date and the
Calculation Agent shall determine
its good faith estimate of the fair
market value for the Shares as of
the Valuation Time on that eighth
Scheduled Trading Day or on any
subsequent Scheduled Trading Day, as
the Calculation Agent shall
determine using commercially
reasonable means.
	 

	 	First Expiration Date:
	 	August 17, 2015 (or if such day is
not a Scheduled Trading Day, the
next following Scheduled Trading
Day), subject to Market Disruption
Event below.
	 

	 	Daily Number of Warrants:
	 	 For any Expiration Date, the Number
of Warrants that have not expired or
been exercised as of such day,
divided by the remaining number of
Expiration Dates (including such
day), rounded down to the nearest
whole number, subject to adjustment
pursuant to the provisos to
“Expiration Date(s)”.
	 

	 	Automatic Exercise:
	 	Applicable; and means that a number
of Warrants for each Expiration Date
equal to the Daily Number of
Warrants (as adjusted pursuant to
the terms hereof) for such
Expiration Date will be deemed to be
automatically exercised; provided
that “In-the-Money” means that the
Relevant Price for such Expiration
Date exceeds the Strike Price for
such Expiration Date; and provided
further that all references in
Section 3.4(b) of the Equity
Definitions to “Physical Settlement”
shall be read as references to “Net
Share Settlement”.
	 

	 	Market Disruption Event:
	 	 Section 6.3(a)(ii) of the Equity
Definitions is hereby amended by
replacing clause (ii) in its
entirety with “(ii) an Exchange
Disruption, or” and inserting
immediately following clause (iii)
the phrase “; in each case that the
Calculation Agent determines is
material.”

Valuation:

	 	 	 	 	 
	 

	 	Valuation Time:
	 	Scheduled Closing Time; provided that if the principal
trading session is extended, the Calculation Agent shall
determine the Valuation Time in its reasonable discretion.
	 

	 	Valuation Date:
	 	Each Exercise Date.

Settlement Terms:

	 	 	 	 	 
	 

	 	Settlement Method:
	 	Net Share Settlement.
	 

	 	Net Share Settlement:
	 	On the relevant Settlement Date, Company
shall deliver to UBS the Share Delivery
Quantity of Shares for such Settlement Date
to the account specified hereto free of
payment through the Clearance System.
	 

	 	Share Delivery Quantity:
	 	For any Settlement Date, a number of Shares,
as calculated by the Calculation Agent,
equal to the Net Share Settlement Amount for
such Settlement Date divided by the
Settlement Price on the

3

 

	 	 	 	 	 
	 

	 	 	 	Valuation Date in
respect of such Settlement Date, rounded
down to the nearest whole number plus any
Fractional Share Amount.
	 

	 	Net Share Settlement Amount:
	 	For any Settlement Date, an amount equal to
the product of (i) the Number of Warrants
exercised or deemed exercised on the
relevant Exercise Date, (ii) the Strike
Price Differential for such Settlement Date
and (iii) the Warrant Entitlement.
	 

	 	Settlement Price:
	 	For any Valuation Date, the per Share
volume-weighted average price as displayed
under the heading “Bloomberg VWAP” on
Bloomberg page TTMI.UQ <equity> AQR
(or any successor thereto) in respect of the
period from the scheduled opening time of
the Exchange to the Scheduled Closing Time
on such Valuation Date (or if such
volume-weighted average price is
unavailable, the market value of one Share
on such Valuation Date, as determined by the
Calculation Agent). Notwithstanding the
foregoing, if (i) any Expiration Date is a
Disrupted Day and (ii) the Calculation Agent
determines that such Expiration Date shall
be an Expiration Date for fewer than the
Daily Number of Warrants, as described
above, then the Settlement Price for the
relevant Valuation Date shall be the
volume-weighted average price per Share on
such Valuation Date on the Exchange, as
determined by the Calculation Agent based on
such sources as it deems appropriate using a
volume-weighted methodology, for the portion
of such Valuation Date for which the
Calculation Agent determines there is no
Market Disruption Event.
	 

	 	Settlement Date(s):
	 	As determined in reference to Section 9.4 of
the Equity Definitions, subject to Section
9(k)(i) hereof.
	Other Applicable Provisions:
	 	The provisions of Sections 9.1(c), 9.8, 9.9,
9.11, 9.12 and 10.5 of the Equity
Definitions will be applicable, except that
all references in such provisions to
“Physically-settled” shall be read as
references to “Net Share Settled.” “Net
Share Settled” in relation to any Warrant
means that Net Share Settlement is
applicable to that Warrant.
	Representation and Agreement:
	 	Notwithstanding Section 9.11 of the Equity
Definitions, the parties acknowledge that
any Shares delivered to UBS may be, upon
delivery, subject to restrictions and
limitations arising from Company’s status as
issuer of the Shares under applicable
securities laws.

3. Additional Terms applicable to the Transaction:

	 	 	 	 	 
	 Adjustments applicable to the
Warrants:	 	 
	 

	 	Method of Adjustment:
	 	Calculation Agent Adjustment. For
the avoidance of doubt, in making
any adjustments under the Equity
Definitions, the Calculation Agent
may make adjustments, if any, to
any one or more of the Strike
Price, the Number of Warrants, the
Daily Number of Warrants and the
Warrant Entitlement.
Notwithstanding the foregoing, any
cash dividends or distributions on
the Shares, whether or not
extraordinary, shall be

4

 

	 	 	 	 	 
	 

	 	 	 	governed by
Section 9(f) of this Confirmation
in lieu of Article 10 or Section
11.2(c) of the Equity Definitions.

Extraordinary Events applicable to the Transaction:

	 	 	 	 	 
	 

	 	New Shares:
	 	Section 12.1(i) of the Equity Definitions is hereby
amended by deleting the text in clause (i) in its
entirety and replacing it with the phrase “publicly
quoted, traded or listed on any of the New York Stock
Exchange, the American Stock Exchange, The NASDAQ Global
Select Market or The NASDAQ Global Market (or their
respective successors)”.
	 

	 	Consequence of Merger Events:	 	 
	 

	 	Merger Event:
	 	Applicable, provided that if an event occurs that
constitutes both a Merger Event under Section 12.1(b) of
the Equity Definitions and an Additional Termination
Event under Section 9(h)(ii)(A) of this Confirmation, UBS
may elect, in its commercially reasonable judgment,
whether the provisions of Section 12.1(b) of the Equity
Definitions or Section 9(h)(ii)(A) will apply.
	 

	 	Share-for-Share:

	 	Modified Calculation Agent Adjustment
	 

	 	Share-for-Other:

	 	Cancellation and Payment (Calculation Agent Determination)
	 

	 	Share-for-Combined:

	 	Cancellation and Payment (Calculation Agent
Determination); provided that UBS may elect, in its
commercially reasonable judgment, Component Adjustment
(Calculation Agent Determination).
	 

	 	Consequence of Tender Offers:	 	 
	 

	 	Tender Offer:
	 	Applicable; provided however that if an
event occurs that constitutes both a Tender
Offer under Section 12.1(d) of the Equity
Definitions and Additional Termination Event
under Section 9(h)(ii)(C) of this
Confirmation, UBS may elect, in its
commercially reasonable judgment, whether
the provisions of Section 12.3 of the Equity
Definitions or Section 9(h)(ii)(C) will
apply.
	 

	 	Share-for-Share:

	 	Modified Calculation Agent Adjustment
	 

	 	Share-for-Other:

	 	Modified Calculation Agent Adjustment
	 

	 	Share-for-Combined:

	 	Modified Calculation Agent Adjustment
	 

	 	Nationalization, Insolvency
or Delisting:
	 	Cancellation and Payment (Calculation Agent
Determination); provided that, in addition
to the provisions of Section 12.6(a)(iii) of
the Equity Definitions, it will also
constitute a Delisting if the Exchange is
located in the United States and the Shares
are not immediately re-listed, re-traded or
re-quoted on any of the New York Stock
Exchange, the American Stock Exchange, The
NASDAQ Global Select Market or The NASDAQ
Global Market (or their respective
successors); if the Shares are immediately
re-listed, re-traded or re-quoted on any of
the New York Stock Exchange, the American
Stock Exchange,

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	 	 	 	The NASDAQ Global Select
Market or The NASDAQ Global Market (or their
respective successors), such exchange or
quotation system shall thereafter be deemed
to be the Exchange.

Additional Disruption Events:

	 	 	 	 	 
	 

	 	Change in Law:
	 	Applicable
	 

	 	Failure to Deliver:
	 	Not Applicable
	 

	 	Insolvency Filing:
	 	Applicable
	 

	 	Hedging Disruption:
	 	Applicable
	 

	 	Increased Cost of Hedging:
	 	Not Applicable
	 

	 	Loss of Stock Borrow:
	 	Applicable
	 

	 	Maximum Stock Loan Rate:

	 	100 basis points
	 

	 	Increased Cost of Stock Borrow:
	 	Applicable
	 

	 	Initial Stock Loan Rate:

	 	25 basis points
	 

	 	Hedging Party:
	 	UBS for all applicable Additional Disruption Events
	 

	 	Determining Party:
	 	UBS for all applicable Extraordinary Events
	 

	 	Non-Reliance:
	 	Applicable
	 

	 	Agreements and Acknowledgments
Regarding Hedging Activities:	 	Applicable
	 

	 	Additional Acknowledgments:
	 	Applicable

4. Calculation Agent:                                                UBS

5. Account Details:

	 	(a)	 	Account for payments to Company:
	 
	 	 	 	  To be provided by Company
	 
	 	 	 	Account for delivery of Shares from Company:
	 
	 	 	 	  To be provided by Company
	 
	 	(b)	 	Account for payments to UBS:
	 
	 	 	 	UBS AG Stamford

SWIFT: UBSWUS33XXX

Bank Routing: 026-007-993

Account Name: UBS AG, London Branch

Account No. :101-WA-140007-000
	 
	 	 	 	Account for delivery of Shares to UBS:
	 
	 	 	 	To be provided by UBS

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6. Offices:

The Office of Company for the Transaction is: Inapplicable, Company is not a Multibranch Party.

The Office of UBS for the Transaction is: London

UBS AG

100 Liverpool Street

London EC2M 2RH

United Kingdom

Telephone: +44 207 568 0687

Facsimile: +44 207 568 9895/6

7. Notices: For purposes of this Confirmation:

	 	 	 	 	 	 	 
	 	 	(a)	 	Address for notices or communications to Company:
	 
	 	 	 	 	 	 
	 	 	 	 	   TTM Technologies, Inc.

   2630 South Harbor Boulevard

   Santa Ana, California 92704

  Attention: Treasurer

  Telephone No.: (714) 327-3049

  Facsimile No.: (714) 668-9411

	 
	 	 	 	 	 	 
	 	 	(b)	 	Address for notices or communications to UBS:
	 
	 	 	 	 	 	 
	 

	 	 	 	To:
	 	UBS AG, London Branch

c/o UBS Securities LLC
	 

	 	 	 	 	 	299 Park Avenue
	 

	 	 	 	 	 	New York, NY 10171
	 

	 	 	 	Attn:
	 	Dmitriy Mandel and Sanjeet Dewal
	 

	 	 	 	Telephone:
	 	(212) 821-2100
	 

	 	 	 	Facsimile:
	 	(212) 821-4610
	 	 
	 

	 	 	 	With a copy to:	 	 
	 	 
	 

	 	 	 	To:
	 	Equities Legal Department
	 

	 	 	 	 	 	677 Washington Boulevard
	 

	 	 	 	 	 	Stamford, CT 06901
	 

	 	 	 	Attn:
	 	David Kelly and Gordon Kiesling
	 

	 	 	 	Telephone:
	 	(203) 719-0268
	 

	 	 	 	Facsimile:
	 	(203) 719-5627
	 	 
	 

	 	 	 	and:	 	 
	 	 
	 

	 	 	 	To:
	 	Equities Volatility Trading
	 

	 	 	 	 	 	677 Washington Boulevard
	 

	 	 	 	 	 	Stamford, CT 06901
	 

	 	 	 	Attn:
	 	Brian Ward
	 

	 	 	 	Telephone:
	 	(203) 719-7330
	 

	 	 	 	Facsimile:
	 	(203) 719-7910

8. Representations and Warranties of Company

The representations and warranties of Company set forth in Section 3 of the Underwriting Agreement
(the “Underwriting Agreement”) dated as of May 8, 2008 among Company and J.P. Morgan Securities
Inc. and UBS

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Securities LLC as representatives of the Underwriters party thereto (the
“Underwriters”) are true and correct and are hereby deemed to be repeated to UBS as if set forth
herein. Company hereby further represents and warrants to UBS that:

	 	(a)	 	Company has all necessary corporate power and authority to execute, deliver and
perform its obligations in respect of this Transaction; such execution, delivery and
performance have been duly authorized by all necessary corporate action on Company’s
part; and this Confirmation has been duly and validly executed and delivered by Company
and constitutes its valid and binding obligation, enforceable against Company in
accordance with its terms, subject to applicable bankruptcy, insolvency, fraudulent
conveyance, reorganization, moratorium and similar laws affecting creditors’ rights and
remedies generally, and subject, as to enforceability, to general principles of equity,
including principles of commercial reasonableness, good faith and fair dealing
(regardless of whether enforcement is sought in a proceeding at law or in equity) and
except that rights to indemnification and contribution hereunder may be limited by
federal or state securities laws or public policy relating thereto.
	 
	 	(b)	 	Neither the execution and delivery of this Confirmation nor the incurrence or
performance of obligations of Company hereunder will conflict with or result in a
breach of the certificate of incorporation or by-laws (or any equivalent documents) of
Company, or any applicable law or regulation, or any order, writ, injunction or decree
of any court or governmental authority or agency, or any agreement or instrument to
which Company or any of its subsidiaries is a party or by which Company or any of its
subsidiaries is bound or to which Company or any of its subsidiaries is subject, or
constitute a default under, or result in the creation of any lien under, any such
agreement or instrument.
	 
	 	(c)	 	No consent, approval, authorization, or order of, or filing with, any
governmental agency or body or any court is required in connection with the execution,
delivery or performance by Company of
this Confirmation, except such as have been obtained or made and such as may be
required under the Securities Act of 1933, as amended (the “Securities Act”) or
state securities laws.
	 
	 	(d)	 	The Shares of Company initially issuable upon exercise of the Warrant by the
net share settlement method (the “Warrant Shares”) have been reserved for issuance by
all required corporate action of Company. The Warrant Shares have been duly authorized
and, when delivered against payment therefor (which may include Net Share Settlement in
lieu of cash) and otherwise as contemplated by the terms of the Warrant following the
exercise of the Warrant in accordance with the terms and conditions of the Warrant,
will be validly issued, fully-paid and non-assessable, and the issuance of the Warrant
Shares will not be subject to any preemptive or similar rights.
	 
	 	(e)	 	Company is not and will not be required to register as an “investment company”
as such term is defined in the Investment Company Act of 1940, as amended.
	 
	 	(f)	 	Company is an “eligible contract participant” (as such term is defined in
Section 1a(12) of the Commodity Exchange Act, as amended (the “CEA”)) because one or
more of the following is true:
	 
	 	 	 	Company is a corporation, partnership, proprietorship, organization, trust or other
entity and:

	 	(A)	 	Company has total assets in excess of USD 10,000,000;
	 
	 	(B)	 	the obligations of Company hereunder are guaranteed, or
otherwise supported by a letter of credit or keepwell, support or other
agreement, by an entity of the type described in Section 1a(12)(A)(i) through
(iv), 1a(12)(A)(v)(I), 1a(12)(A)(vii) or 1a(12)(C) of the CEA; or
	 
	 	(C)	 	Company has a net worth in excess of USD 1,000,000 and has
entered into this Agreement in connection with the conduct of Company’s
business or to manage the risk 

8

 

	 	 	 	associated with an asset or liability owned or
incurred or reasonably likely to be owned or incurred by Company in the conduct
of Company’s business.

	 	(g)	 	Company and each of its affiliates is not, on the date hereof, in possession of
any material non-public information with respect to Company.

9. Other Provisions:

	 	(a)	 	Opinions. Company shall deliver an opinion of counsel, dated as of the
Trade Date, to UBS with respect to the matters set forth in Sections 8(a) through (d)
of this Confirmation.
	 
	 	(b)	 	Repurchase Notices. Company shall, on any day on which Company effects
any repurchase of Shares, promptly give UBS a written notice of such repurchase (a
“Repurchase Notice”) on such day if following such repurchase, the number of
outstanding Shares on such day, subject to any adjustments provided herein, is (i) less
than 41.24 million (in the case of the first such notice) or (ii) thereafter more than
1.3 million less than the number of Shares included in the immediately preceding
Repurchase Notice. Company agrees to indemnify and hold harmless UBS and its
affiliates and their respective officers, directors, employees, affiliates, advisors,
agents and controlling persons (each, an “Indemnified Person”) from and against any and
all losses (including losses relating to UBS’s hedging activities as a consequence of
becoming, or of the risk of becoming, a Section 16 “insider”, including without
limitation, any forbearance from hedging activities or cessation of hedging activities
and any losses in connection therewith with respect to this Transaction), claims,
damages, judgments, liabilities and expenses (including reasonable attorney’s fees),
joint or several, which an Indemnified Person actually may become subject to, as a
result of Company’s failure to provide UBS with a Repurchase Notice on the day and in
the manner specified in this paragraph, and to reimburse, within 30 days, upon written
request, each of such Indemnified Persons for any reasonable legal or other expenses
incurred in connection with
investigating, preparing for, providing testimony or other evidence in connection
with or defending any of the foregoing. If any suit, action, proceeding (including
any governmental or regulatory investigation), claim or demand shall be brought or
asserted against the Indemnified Person, such Indemnified Person shall promptly
notify Company in writing, and Company, upon request of the Indemnified Person,
shall retain counsel reasonably satisfactory to the Indemnified Person to represent
the Indemnified Person and any others Company may designate in such proceeding and
shall pay the fees and expenses of such counsel related to such proceeding. Company
shall not be liable for any settlement of any proceeding effected without its
written consent, but if settled with such consent or if there be a final judgment
for the plaintiff, Company agrees to indemnify any Indemnified Person from and
against any loss or liability by reason of such settlement or judgment. Company
shall not, without the prior written consent of the Indemnified Person, effect any
settlement of any pending or threatened proceeding in respect of which any
Indemnified Person is or could have been a party and indemnity could have been
sought hereunder by such Indemnified Person, unless such settlement includes an
unconditional release of such Indemnified Person from all liability on claims that
are the subject matter of such proceeding on terms reasonably satisfactory to such
Indemnified Person. If the indemnification provided for in this paragraph is
unavailable to an Indemnified Person or insufficient in respect of any losses,
claims, damages or liabilities referred to therein, then Company under such
paragraph, in lieu of indemnifying such Indemnified Person thereunder, shall
contribute to the amount paid or payable by such Indemnified Person as a result of
such losses, claims, damages or liabilities. The remedies provided for in this
paragraph are not exclusive and shall not limit any rights or remedies which may
otherwise be available to any Indemnified Person at law or in equity. The indemnity
and contribution agreements contained in this paragraph shall remain operative and
in full force and effect regardless of the termination of this Transaction.
	 
	 	(c)	 	Regulation M. Company is not on the date hereof engaged in a
distribution, as such term is used in Regulation M under the Securities Exchange Act of
1934, as amended (the “Exchange Act”), of any securities of Company, other than (i) a
distribution meeting the requirements of the exception set forth in Rules 101(b)(10)
and 102(b)(7) of Regulation M and (ii) the distribution of USD 175,000,000 principal
amount of Convertible Senior Notes due 2015. Company shall not,

9

 

	 	 	 	until the second
Scheduled Trading Day immediately following the Trade Date, engage in any such
distribution.
	 
	 	(d)	 	No Manipulation. Company is not entering into this Transaction to
create actual or apparent trading activity in the Shares (or any security convertible
into or exchangeable for the Shares) or to raise or depress or otherwise manipulate the
price of the Shares (or any security convertible into or exchangeable for the Shares)
or otherwise in violation of the Exchange Act.
	 
	 	(e)	 	Transfer or Assignment. Company may not transfer any of its rights or
obligations under this Transaction without the prior written consent of UBS. UBS may,
without Company’s consent, transfer or assign all or any part of its rights or
obligations under this Transaction to any third party. If after UBS’s commercially
reasonable efforts, UBS is unable to effect such a transfer or assignment on pricing
terms reasonably acceptable to UBS and within a time period reasonably acceptable to
UBS of a sufficient number of Warrants to reduce (i) the number of Shares that UBS
Group directly or indirectly beneficially owns (as defined under Section 13 of the
Exchange Act and rules promulgated thereunder) to 8.0% of Company’s outstanding Shares
or less or (ii) the quotient of (x) the sum of (a) the Number of Shares under this
Transaction and (b) the “Number of Shares” (as defined in the Warrant Confirmation
dated May 8, 2008 between Company and UBS) divided by (y) the number of Company’s
outstanding Shares (such quotient expressed as a percentage, the “Warrant Equity
Percentage”) to 14.5% or less, UBS may designate any Exchange Business Day as an Early
Termination Date with respect to a portion (the “Terminated Portion”) of this
Transaction, such that (i) the number of Shares that UBS Group directly or indirectly
beneficially owns following such partial termination will be equal to or less than 8.0%
of Company’s outstanding Shares or (ii) the Warrant Equity Percentage following such
partial termination will be equal to or less than 14.5%. In the event that UBS so
designates an Early Termination Date with respect to a portion of this Transaction, a
payment shall be made pursuant to Section 6 of the Agreement as if (i) an Early
Termination Date had been designated in respect of
a Transaction having terms identical to this Transaction and a Number of Warrants
equal to the Terminated Portion, (ii) Company shall be the sole Affected Party with
respect to such partial termination and (iii) such Transaction shall be the only
Terminated Transaction (and, for the avoidance of doubt, the provisions of paragraph
9(j) shall apply to any amount that is payable by Company to UBS pursuant to this
sentence). Notwithstanding any other provision in this Confirmation to the contrary
requiring or allowing UBS to purchase, sell, receive or deliver any Shares or other
securities to or from Company, UBS may designate any of its affiliates to purchase,
sell, receive or deliver such Shares or other securities and otherwise to perform
UBS’s obligations in respect of this Transaction and any such designee may assume
such obligations. UBS shall be discharged of its obligations to Company to the
extent of any such performance. “UBS Group” means UBS and each business unit of its
affiliates subject to aggregation with UBS under Section 13 of the Exchange Act and
rules promulgated thereunder.
	 
	 	(f)	 	Dividends. If at any time during the period from and excluding the
Trade Date, to and including the Expiration Date, an ex-dividend date for a cash
dividend occurs with respect to the Shares, then the Calculation Agent will adjust any
of the Strike Price, Number of Warrants and/or Daily Number of Warrants to preserve the
fair value of the Warrants to UBS after taking into account such dividend or lack
thereof.
	 
	 	(g)	 	Role of Agent. Agent is acting as agent for both parties but does not
guarantee the performance of either party and neither UBS nor Company shall contact the
other with respect to any matter relating to the Transaction without the direct
involvement of Agent; (ii) Agent is not a member of the Securities Investor Protection
Corporation; (iii) Agent, UBS and Company each hereby acknowledges that any
transactions by UBS or Agent in the Shares will be undertaken by UBS or Agent, as the
case may, as principal for its own account; (iv) without limiting the obligations of
UBS or Agent hereunder or in the Agreement, all of the actions to be taken by UBS and
Agent in connection with the Transaction, including but not limited to any exercise of
any rights with respect to the Warrants, shall be taken by UBS or Agent independently
and without any advance or subsequent consultation with Company; and (v) Agent is not
authorized to act as agent for 

10

 

	 	 	 	Company except to the extent required to satisfy the
requirements of Rule 15a-6 under the Exchange Act in respect of the Warrants described
hereunder.
	 
	 	(h)	 	Additional Provisions.

	 	(i)	 	Amendments to the Equity Definitions:

(A) Section 11.2(a) of the Equity Definitions is hereby amended by deleting the
words “a diluting or concentrative” and replacing them with the words “an”; and
adding the phrase “or Warrants” at the end of the sentence.

(B) Section 11.2(c) of the Equity Definitions is hereby amended by (x)
replacing the words “a diluting or concentrative” with “an”, (y) adding the
phrase “or Warrants” after the words “the relevant Shares” in the same sentence
and (z) deleting the phrase “(provided that no adjustments will be made to
account solely for changes in volatility, expected dividends, stock loan rate
or liquidity relative to the relevant Shares)” and replacing it with the phrase
“(and, for the avoidance of doubt, adjustments may be made to account solely
for changes in volatility, expected dividends, stock loan rate or liquidity
relative to the relevant Shares).”

(C) Section 11.2(e)(vii) of the Equity Definitions is hereby amended by
deleting the words “a diluting or concentrative” and replacing them with the
word “a material”; and adding the phrase “or Warrants” at the end of the
sentence.

(D) Section 12.6(a)(ii) of the Equity Definitions is hereby amended by (1)
deleting from the fourth line thereof the word “or” after the word “official”
and inserting a comma therefor, and (2) deleting the semi-colon at the end of
subsection (B) thereof and inserting the following words therefor “or (C) at
UBS’s option, the occurrence of any of the events
specified in Section 5(a)(vii) (1) through (9) of the ISDA Master Agreement
with respect to that Issuer.”

(E) Section 12.9(b)(iv) of the Equity Definitions is hereby amended by:

(x) deleting (1) subsection (A) in its entirety, (2) the phrase “or (B)”
following subsection (A) and (3) the phrase “in each case” in subsection
(B); and

(y) deleting the phrase “neither the Non-Hedging Party nor the Lending
Party lends Shares in the amount of the Hedging Shares or” in the
penultimate sentence.

(F) Section 12.9(b)(v) of the Equity Definitions is hereby amended by:

(x) adding the word “or” immediately before subsection “(B)” and
deleting the comma at the end of subsection (A); and

(y) (1) deleting subsection (C) in its entirety, (2) deleting the word
“or” immediately preceding subsection (C) and (3) deleting the
penultimate sentence in its entirety and replacing it with the sentence
“The Hedging Party will determine the Cancellation Amount payable by one
party to the other.”

	 	(ii)	 	Notwithstanding anything to the contrary in this Confirmation, upon the
occurrence of one of the following events, with respect to this Transaction, (1) UBS
shall have the right to designate such event an Additional Termination Event and
designate an Early Termination Date pursuant to Section 6(b) of the Agreement, and
(2) Company shall be deemed the sole Affected Party and the Transaction shall be
deemed the sole Affected Transaction:

     (A) Consummation of (x) any recapitalization, reclassification, or change of
the Shares (other than changes resulting from a subdivision or combination) as
a result of which the Shares will be converted into, or exchanged for, stock,
other securities, other property, or

11

 

assets or (y) any share exchange,
consolidation, or merger of Company pursuant to which the Shares will be
converted into cash, securities or other property or any sale, lease or other
transfer in one transaction or a series of transactions of all or substantially
all of the consolidated assets of Company and its subsidiaries, taken as a
whole, to any person other than one of Company’s subsidiaries; provided,
however, that a share exchange, consolidation, or merger transaction where the
holders of more than 50% of all classes of the common equity of Company
immediately prior to such transaction own, directly or indirectly, more than
50% of all classes of the common equity of the continuing or surviving
corporation or transferee or the parent thereof immediately after such event
will not constitute an Additional Termination Event.

An Additional Termination Event as a result of Section 9(h)(ii)(A) will not be
deemed to have occurred, however, if at least 90% of the consideration received
or to be received by Company’s common stockholders, excluding cash payments for
fractional shares and cash payments in respect of dissenters’ or appraisal
rights, in connection with the transaction or transactions otherwise
constituting the Additional Termination Event consists of shares of common
stock traded on a United States national securities exchange or which will be
so traded or quoted when issued or exchanged in connection with an Additional
Termination Event.

(B) There is a default by Company or any of its subsidiaries with respect to
any mortgage, agreement or other instrument under which there may be
outstanding, or by which there may be secured or evidenced, any indebtedness
for money borrowed in excess of $15 million in the aggregate of Company and/or
any of its subsidiaries, whether such indebtedness now exists or shall
hereafter be created (x) resulting in such indebtedness becoming or being
declared due and payable or (y) constituting a failure to pay the principal
or interest of any such debt when due and payable at its stated maturity, upon
required repurchase, upon declaration or otherwise.

(C) A “person” or “group” within the meaning of Section 13(d) of the Exchange
Act other than Company, its subsidiaries, or its or their employee benefit
plans, has become the direct or indirect “beneficial owner,” as defined in Rule
13d-3 under the Exchange Act, of the common equity of Company representing more
than 50% of the voting power of such common equity.

(D) Company’s stockholders approve any plan or proposal for the liquidation or
dissolution of Company.

(E) UBS, despite using commercially reasonable efforts, is unable or reasonably
determines that it is impractical (at any time prior to the first anniversary
of the Effective Date), or illegal (at any time prior to the last Settlement
Date), to hedge its obligations pursuant to this Transaction in the public
market without registration under the Securities Act or as a result of any
legal, regulatory or self-regulatory requirements or related policies and
procedures (whether or not such requirements, policies or procedures are
imposed by law or have been voluntarily adopted by UBS).

	 	(i)	 	No Collateral or Setoff. Notwithstanding any provision of the
Agreement or any other agreement between the parties to the contrary, the obligations
of Company hereunder are not secured by any collateral. Neither party shall have the
right to set off any obligation that it may have to the other party under this
Transaction against any obligation such other party may have to it, whether arising
under the Agreement, this Confirmation or any other agreement between the parties
hereto, by operation of law or otherwise.
	 
	 	(j)	 	Alternative Calculations and Payment on Early Termination and on Certain
Extraordinary Events. If, in respect of this Transaction, an amount is payable by
Company to UBS, (i) pursuant to Section 12.7 or Section 12.9 of the Equity Definitions
(except in the event of an Insolvency, Nationalization, Tender Offer or Merger Event in
which the consideration or proceeds to be paid

12

 

	 	 	 	to holders of shares consists solely of
cash) or (ii) pursuant to Section 6(d)(ii) of the Agreement (except in the event of an
Event of Default in which Company is the Defaulting Party or a Termination Event in
which Company is the Affected Party, other than an Event of Default of the type
described in (x) Section 5(a)(iii), (v), (vi), (vii) or (viii) of the Agreement or (y)
a Termination Event of the type described in Section 5(b) of the Agreement, in the case
of both (x) and (y), resulting from an event or events outside Company’s control) (a
“Payment Obligation”), Company shall have the right, in its sole discretion, to satisfy
any such Payment Obligation by the Share Termination Alternative (as defined below) by
giving irrevocable telephonic notice to UBS, confirmed in writing within one Scheduled
Trading Day, no later than 12:00 p.m. New York local time on the Merger Date, Tender
Offer Date, Announcement Date (in the case of a Nationalization, Insolvency or
Delisting), Early Termination Date or date of cancellation, as applicable; provided
that if Company does not validly elect to satisfy its Payment Obligation by the Share
Termination Alternative, UBS shall have the right to require Company to satisfy its
Payment Obligation by the Share Termination Alternative. Notwithstanding the
foregoing, Company’s or UBS’s right to elect satisfaction of a Payment Obligation in
the Share Termination Alternative as set forth in this clause shall only apply to
Transactions under this Confirmation and, notwithstanding anything to the contrary in
the Agreement, (1) separate amounts shall be calculated with respect to (a)
Transactions hereunder and (b) all other Transactions under the Agreement, and (2) such
separate amounts shall be payable pursuant to Section 6(d)(ii) of the Agreement,
subject to, in the case of clause (a), Company’s Share Termination Alternative right
hereunder.

	 	 	 	 	 
	 

	 	Share Termination Alternative:
	 	If applicable, Company shall
deliver to UBS the Share
Termination Delivery Property
on the date (the “Share
Termination Payment Date”) on
which the Payment Obligation
would otherwise be due
pursuant to Section 12.7 or
Section 12.9 of the Equity
Definitions or Section
6(d)(ii) of the Agreement, as
applicable, subject to
paragraph (k)(i) below, in
satisfaction, subject to
paragraph (k)(ii) below, of
the Payment Obligation in the
manner reasonably requested by
UBS free of payment.
	 

	 	Share Termination Delivery Property:
	 	A number of Share Termination
Delivery Units, as calculated
by the Calculation Agent,
equal to the Payment
Obligation divided by the
Share Termination Unit Price.
The Calculation Agent shall
adjust the amount of Share
Termination Delivery Property
by replacing any fractional
portion of a security therein
with an amount of cash equal
to the value of such
fractional security based on
the values used to calculate
the Share Termination Unit
Price.
	 

	 	Share Termination Unit Price:
	 	The value to UBS of property
contained in one Share
Termination Delivery Unit on
the date such Share
Termination Delivery Units are
to be delivered as Share
Termination Delivery Property,
as determined by the
Calculation Agent in its
discretion by commercially
reasonable means. The
Calculation Agent shall notify
Company of such Share
Termination Unit Price at the
time of notification of the
Payment Obligation. In the
case of a Private Placement of
Share Termination Delivery
Units that are Restricted
Shares (as defined below), as
set forth in paragraph (k)(i)
below, the Share Termination
Unit Price shall be determined
by the discounted price

13

 

	 	 	 	 	 
	 

	 	 	 	applicable to such Share
Termination Delivery Units.
In the case of a Registration
Settlement of Share
Termination Delivery Units
that are Restricted Shares (as
defined below) as set forth in
paragraph (k)(ii) below, the
Share Termination Unit Price
shall be the Settlement Price
on the Merger Date, the Tender
Offer Date, the Announcement
Date (in the case of a
Nationalization, Insolvency or
Delisting), the date of
cancellation or the Early
Termination Date, as
applicable.
	 	 
	 

	 	Share Termination Delivery Unit:
	 	In the case of a Termination
Event, Event of Default
Additional Disruption Event or
Delisting, one Share or, in
the case of Nationalization,
Insolvency, Tender Offer or
Merger Event, a unit
consisting of the number or
amount of each type of
property received by a holder
of one Share (without
consideration of any
requirement to pay cash or
other consideration in lieu of
fractional amounts of any
securities) in such
Nationalization, Insolvency,
Tender Offer or Merger Event.
If such Nationalization,
Insolvency, Tender Offer or
Merger Event involves a choice
of consideration to be
received by holders, such
holder shall be deemed to have
elected to receive the maximum
possible amount of cash.
	 

	 	Failure to Deliver:
	 	Inapplicable
	 

	 	Other applicable provisions:
	 	If Share Termination
Alternative is applicable, the
provisions of Sections 9.8,
9.9, 9.11, 9.12 and 10.5 (as
modified above) of the Equity
Definitions will be
applicable, except that all
references in such provisions
to “Physically-settled” shall
be read as references to
“Share Termination Settled”
and all references to “Shares”
shall be read as references to
“Share Termination Delivery
Units”. “Share Termination
Settled” in relation to this
Transaction means that Share
Termination Alternative is
applicable to this
Transaction.

	 	(k)	 	Registration/Private Placement Procedures. If, in the reasonable
opinion of UBS, following any delivery of Shares or Share Termination Delivery Property
to UBS hereunder, such Shares or Share Termination Delivery Property would be in the
hands of UBS subject to any applicable restrictions with respect to any registration or
qualification requirement or prospectus delivery requirement for such Shares or Share
Termination Delivery Property pursuant to any applicable
federal or state securities law (including, without limitation, any such requirement
arising under Section 5 of the Securities Act as a result of such Shares or Share
Termination Delivery Property being “restricted securities”, as such term is defined
in Rule 144 under the Securities Act, or as a result of the sale of such Shares or
Share Termination Delivery Property being subject to paragraph (c) of Rule 145 under
the Securities Act) (such Shares or Share Termination Delivery Property, “Restricted
Shares”), then delivery of such Restricted Shares shall be effected pursuant to
either clause (i) or (ii) below at the election of Company, unless UBS waives the
need for registration/private placement procedures set forth in (i) and (ii) below.
Notwithstanding the foregoing, solely in respect of any Daily Number of Warrants
exercised or deemed exercised on any Expiration Date, Company shall elect, prior to
the first Settlement Date for the first Expiration Date, a Private Placement
Settlement or Registration Settlement for all deliveries of Restricted 

14

 

	 	 	 	Shares for
all such Expiration Dates which election shall be applicable to all Settlement Dates
for such Warrants and the procedures in clause (i) or clause (ii) below shall apply
for all such delivered Restricted Shares on an aggregate basis commencing after the
final Settlement Date for such Warrants. The Calculation Agent shall make
reasonable adjustments to settlement terms and provisions under this Confirmation to
reflect a single Private Placement or Registration Settlement for such aggregate
Restricted Shares delivered hereunder.

	 	(i)	 	If Company elects to settle the Transaction pursuant to this
clause (i) (a “Private Placement Settlement”), then delivery of Restricted
Shares by Company shall be effected in customary private placement procedures
with respect to such Restricted Shares reasonably acceptable to UBS; provided
that Company may not elect a Private Placement Settlement if, on the date of
its election, it has taken, or caused to be taken, any action that would make
unavailable either the exemption pursuant to Section 4(2) of the Securities Act
for the sale by Company to UBS (or any affiliate designated by UBS) of the
Restricted Shares or the exemption pursuant to Section 4(1) or Section 4(3) of
the Securities Act for resales of the Restricted Shares by UBS (or any such
affiliate of UBS). The Private Placement Settlement of such Restricted Shares
shall include customary representations, covenants, blue sky and other
governmental filings and/or registrations, indemnities to UBS, due diligence
rights (for UBS or any designated buyer of the Restricted Shares by UBS),
opinions and certificates, and such other documentation as is customary for
private placement agreements, all reasonably acceptable to UBS. In the case of
a Private Placement Settlement, UBS shall determine the appropriate discount to
the Share Termination Unit Price (in the case of settlement of Share
Termination Delivery Units pursuant to paragraph (j) above) or any Settlement
Price (in the case of settlement of Shares pursuant to Section 2 above)
applicable to such Restricted Shares in a commercially reasonable manner and
appropriately adjust the number of such Restricted Shares to be delivered to
UBS hereunder; provided that in no event shall such number be greater than two
times the Number of Shares (the “Maximum Amount”). Notwithstanding the
Agreement or this Confirmation, the date of delivery of such Restricted Shares
shall be the Exchange Business Day following notice by UBS to Company, of such
applicable discount and the number of Restricted Shares to be delivered
pursuant to this clause (i). For the avoidance of doubt, delivery of
Restricted Shares shall be due as set forth in the previous sentence and not be
due on the Share Termination Payment Date (in the case of settlement of Share
Termination Delivery Units pursuant to paragraph (j) above) or on the
Settlement Date for such Restricted Shares (in the case of settlement in Shares
pursuant to Section 2 above).
	 	 
	 	 	 	
In the event Company shall not have delivered the full number of Restricted
Shares otherwise applicable as a result of the proviso above relating to the
Maximum Amount (such deficit, the “Deficit Restricted Shares”), Company
shall be continually obligated to deliver, from time to time until the full
number of Deficit Restricted Shares have been delivered pursuant to this
paragraph, Restricted Shares when, and to the extent, that (i) Shares are
repurchased, acquired or otherwise received by Company or any of its
subsidiaries after the Trade Date (whether or not in exchange for cash, fair
value or any other consideration), (ii) authorized and unissued Shares
reserved for issuance in respect of other transactions prior to such date
which prior to the relevant date become no longer
so reserved and (iii) Company additionally authorizes any unissued Shares
that are not reserved for other transactions. Company shall immediately
notify UBS of the occurrence of any of the foregoing events (including the
number of Shares subject to clause (i), (ii) or (iii) and the corresponding
number of Restricted Shares to be delivered) and promptly deliver such
Restricted Shares thereafter.
	 
	 	(ii)	 	If Company elects to settle the Transaction pursuant to this
clause (ii) (a “Registration Settlement”), then Company shall promptly (but in
any event no later than the beginning of the Resale Period) file and use its
reasonable best efforts to make effective under the Securities Act a
registration statement or supplement or amend an outstanding registration
statement in form and substance reasonably satisfactory to UBS, to cover the

15

 

	 	 	 	resale of such Restricted Shares in accordance with customary resale
registration procedures, including covenants, conditions, representations,
underwriting discounts (if applicable), commissions (if applicable),
indemnities due diligence rights, opinions and certificates, and such other
documentation as is customary for equity resale underwriting agreements, all
reasonably acceptable to UBS. If UBS, in its sole reasonable discretion, is
not satisfied with such procedures and documentation Private Placement
Settlement shall apply. If UBS is satisfied with such procedures and
documentation, it shall sell the Restricted Shares pursuant to such
registration statement during a period (the “Resale Period”) commencing on the
Exchange Business Day following delivery of such Restricted Shares (which, for
the avoidance of doubt, shall be the Share Termination Payment Date in case of
settlement in Share Termination Delivery Units pursuant to paragraph (j) above
or (y) the Settlement Date in respect of the final Expiration Date for all
Daily Number of Warrants) and ending on the earliest of (i) the Exchange
Business Day on which UBS completes the sale of all Restricted Shares or, in
the case of settlement of Share Termination Delivery Units, a sufficient number
of Restricted Shares so that the realized net proceeds of such sales equals or
exceeds the Payment Obligation (as defined above), (ii) the date upon which all
Restricted Shares have been sold or transferred pursuant to Rule 144 (or
similar provisions then in force) or Rule 145(d)(1) or (2) (or any similar
provision then in force) under the Securities Act and (iii) the date upon which
all Restricted Shares may be sold or transferred by a non-affiliate pursuant to
Rule 144 (or any similar provision then in force) or Rule 145(d)(3) (or any
similar provision then in force) under the Securities Act. If the Payment
Obligation exceeds the realized net proceeds from such resale, Company shall
transfer to UBS by the open of the regular trading session on the Exchange on
the Exchange Trading Day immediately following the last day of the Resale
Period the amount of such excess (the “Additional Amount”) in cash or in a
number of Shares (“Make-whole Shares”) in an amount that, based on the
Settlement Price on the last day of the Resale Period (as if such day was the
“Valuation Date” for purposes of computing such Settlement Price), has a dollar
value equal to the Additional Amount. The Resale Period shall continue to
enable the sale of the Make-whole Shares. If Company elects to pay the
Additional Amount in Shares, the requirements and provisions for Registration
Settlement shall apply. This provision shall be applied successively until the
Additional Amount is equal to zero. In no event shall Company deliver a number
of Restricted Shares greater than the Maximum Amount.
	 
	 	(iii)	 	Without limiting the generality of the foregoing, Company
agrees that any Restricted Shares delivered to UBS, as purchaser of such
Restricted Shares, (i) may be transferred by and among UBS and its affiliates
and Company shall effect such transfer without any further action by UBS and
(ii) after the period of 6 months from the Trade Date (or 1 year from the Trade
Date if, at such time, informational requirements of Rule 144(c) are not
satisfied with respect to Company) has elapsed after any Settlement Date for
such Restricted Shares, Company shall promptly remove, or cause the transfer
agent for such Restricted Shares to remove, any legends referring to any such
restrictions or requirements from such Restricted Shares upon request by UBS
(or such affiliate of UBS) to Company or such transfer agent, without any
requirement for the delivery of any certificate, consent, agreement, opinion of
counsel, notice or any other document, any transfer tax stamps or payment of any other amount or any other action by
UBS (or such affiliate of UBS).

If the Private Placement Settlement or the Registration Settlement shall not be
effected as set forth in clauses (i) or (ii), as applicable, then failure to effect
such Private Placement Settlement or such Registration Settlement shall constitute
an Event of Default with respect to which Company shall be the Defaulting Party.

	 	(l)	 	Limit on Beneficial Ownership. Notwithstanding any other provisions
hereof, UBS may not exercise any Warrant hereunder or be entitled to take delivery of
any Shares deliverable hereunder, and Automatic Exercise shall not apply with respect
to any Warrant hereunder, to the extent (but only to the extent) that, after such
receipt of any Shares upon the exercise of such Warrant or 

16

 

	 	 	 	otherwise hereunder, UBS
Group. would directly or indirectly beneficially own (as such term is defined for
purposes of Section 13(d) of the Exchange Act) in excess of 7.5% of the then
outstanding Shares. Any purported delivery hereunder shall be void and have no effect
to the extent (but only to the extent) that, after such delivery, UBS Group would
directly or indirectly so beneficially own in excess of 7.5% of the then outstanding
Shares. If any delivery owed to UBS hereunder is not made, in whole or in part, as a
result of this provision, Company’s obligation to make such delivery shall not be
extinguished and Company shall make such delivery as promptly as practicable after, but
in no event later than one Business Day after, UBS gives notice to Company that, after
such delivery, UBS Group would not directly or indirectly so beneficially own in excess
of 7.5% of the then outstanding Shares.
	 	 
	 	(m)	 	Share Deliveries. Company acknowledges and agrees that, to the extent
the holder of this Warrant is not then an affiliate and has not been an affiliate for
90 days (it being understood that UBS will not be considered an affiliate under this
paragraph solely by reason of its receipt of Shares pursuant to this Transaction), and
otherwise satisfies all holding period and other requirements of Rule 144 of the
Securities Act applicable to it, any delivery of Shares or Share Termination Delivery
Property hereunder at any time after 6 months from the Trade Date (or 1 year from the
Trade Date if, at such time, informational requirements of Rule 144(c) are not
satisfied with respect to Company) shall be eligible for resale under Rule 144 of the
Securities Act and Company agrees to promptly remove, or cause the transfer agent for
such Shares or Share Termination Delivery Property, to remove, any legends referring to
any restrictions on resale under the Securities Act from the Shares or Share
Termination Delivery Property. Company further agrees that any delivery of Shares or
Share Termination Delivery Property prior to the date that is 6 months from the Trade
Date (or 1 year from the Trade Date if, at such time, informational requirements of
Rule 144(c) are not satisfied with respect to Company), may be transferred by and among
UBS and its affiliates and Company shall effect such transfer without any further
action by UBS. Notwithstanding anything to the contrary herein, Company agrees that
any delivery of Shares or Share Termination Delivery Property shall be effected by
book-entry transfer through the facilities of DTC, or any successor depositary, if at
the time of delivery, such class of Shares or class of Share Termination Delivery
Property is in book-entry form at DTC or such successor depositary. Notwithstanding
anything to the contrary herein, to the extent the provisions of Rule 144 of the
Securities Act or any successor rule are amended, or the applicable interpretation
thereof by the Securities and Exchange Commission or any court change after the Trade
Date, the agreements of Company herein shall be deemed modified to the extent
necessary, in the opinion of outside counsel of Company, to comply with Rule 144 of the
Securities Act, as in effect at the time of delivery of the relevant Shares or Share
Termination Delivery Property.
	 
	 	(n)	 	Governing Law. New York law (without reference to choice of law
doctrine).
	 
	 	(o)	 	Waiver of Jury Trial. Each party waives, to the fullest extent
permitted by applicable law, any right it may have to a trial by jury in respect of any
suit, action or proceeding relating to this Transaction. Each party (i) certifies that
no representative, agent or attorney of the other party has represented, expressly or
otherwise, that such other party would not, in the event of such a suit, action or
proceeding, seek to enforce the foregoing waiver and (ii) acknowledges that it and the
other party have been induced to enter into this Transaction, as applicable, by,
among other things, the mutual waivers and certifications provided herein.
	 
	 	(p)	 	Tax Disclosure. Effective from the date of commencement of discussions
concerning the Transaction, Company and each of its employees, representatives, or
other agents may disclose to any and all persons, without limitation of any kind, the
tax treatment and tax structure of the Transaction and all materials of any kind
(including opinions or other tax analyses) that are provided to Company relating to
such tax treatment and tax structure.
	 
	 	(q)	 	Maximum Share Delivery. Notwithstanding any other provision of this
Confirmation or the Agreement, in no event will Company be required to deliver more
than the Maximum Amount of Shares in the aggregate to UBS in connection with this
Transaction, subject to the provisions regarding Deficit Restricted Shares

17

 

	 	(r)	 	Right to Extend. UBS may postpone, in whole or in part, any Expiration
Date or any other date of valuation or delivery with respect to some or all of the
relevant Warrants (in which event the Calculation Agent shall make appropriate
adjustments to the Daily Number of Warrants with respect to one or more Expiration
Dates) if UBS determines, in its commercially reasonable judgment, that such extension
is reasonably necessary or appropriate to preserve UBS’s hedging or hedge unwind
activity hereunder in light of existing liquidity conditions or to enable UBS to effect
purchases of Shares in connection with its hedging, hedge unwind or settlement activity
hereunder in a manner that would, if UBS were Issuer or an affiliated purchaser of
Issuer, be in compliance with applicable legal, regulatory or self-regulatory
requirements, or with related policies and procedures applicable to UBS.
	 
	 	(s)	 	Status of Claims in Bankruptcy. UBS acknowledges and agrees that this
Confirmation is not intended to convey to UBS rights against Company with respect to
the Transaction that are senior to the claims of common stockholders of Company in any
United States bankruptcy proceedings of Company; provided that nothing herein shall
limit or shall be deemed to limit UBS’s right to pursue remedies in the event of a
breach by Company of its obligations and agreements with respect to the Transaction;
provided, further, that nothing herein shall limit or shall be deemed to limit UBS’s
rights in respect of any transactions other than the Transaction.
	 
	 	(t)	 	Securities Contract; Swap Agreement. The parties hereto intend for:
(a) the Transaction to be a “securities contract” and a “swap agreement” as defined in
the Bankruptcy Code (Title 11 of the United States Code) (the “Bankruptcy Code”), and
the parties hereto to be entitled to the protections afforded by, among other Sections,
Sections 362(b)(6), 362(b)(17), 546(e), 546(g), 555 and 560 of the Bankruptcy Code; (b)
a party’s right to liquidate the Transaction and to exercise any other remedies upon
the occurrence of any Event of Default under the Agreement with respect to the other
party to constitute a “contractual right” as described in the Bankruptcy Code; and (c)
each payment and delivery of cash, securities or other property hereunder to constitute
a “margin payment” or “settlement payment” and a “transfer” as defined in the
Bankruptcy Code.
	 
	 	(u)	 	Delivery or Receipt of Cash. For the avoidance of doubt, other than
receipt of the Premium by Company, nothing in this Confirmation shall be interpreted as
requiring Company to deliver or receive cash in respect of the settlement of the
Transaction contemplated by this Confirmation, except in circumstances where the cash
settlement thereof is within Company’s control (including, without limitation, where an
Event of Default by Company has occurred under Section 5(a)(ii) or Section 5(a)(iv) of
the Agreement, where Company elects to deliver or receive cash or fails timely to elect
to deliver or receive Share Termination Delivery Property in respect of the settlement
of such Transaction) or in those circumstances in which holders of the Shares would
also receive cash.
	 
	 	(v)	 	Future Agreement. Company agrees not to enter into any agreement
(including, without limitation, any credit facility) that would prohibit Company from
performing its obligations hereunder (including, without limitation, pursuant to
Section 6(d)(ii) of the Agreement).

18

 

     Company hereby agrees (a) to check this Confirmation carefully and immediately upon receipt so
that errors or discrepancies can be promptly identified and rectified and (b) to confirm that the
foregoing (in the exact form provided by UBS AG, London Branch) correctly sets forth the terms of
the agreement between UBS AG, London Branch, and Company with respect to the Transaction, by
manually signing this Confirmation or this page hereof as evidence of agreement to such terms and
providing the other information requested herein and immediately returning an executed copy to
Equity Risk Management (Corporates), Facsimile No. (212) 821-4610.

	 	 	 	 	 
	 	Yours faithfully,

UBS AG, LONDON BRANCH

 	 
	 	By:  	 /s/
D. Mandel	 
	 	 	Name:  	 Dmitriy Mandel	 
	 	 	Title:  	 Executive Director	 
	 
	 	 	 
	 	By:  	
 /s/ Daniel S. Hoverman	 
	 	 	Name:  	 Daniel S. Hoverman	 
	 	 	Title:  	 Director	 
	 
	 	UBS SECURITIES LLC, as agent

 	 
	 	By:  	 /s/
D. Mandel	 
	 	 	Name:  	 Dmitriy Mandel	 
	 	 	Title:  	 Executive Director	 
	 
	 	 	 
	 	By:  	
 /s/ Daniel S. Hoverman	 
	 	 	Name:  	 Daniel S. Hoverman	 
	 	 	Title:  	 Director	 
	 

	 	 	 	 	 
	 

	 	 	 	 
	Agreed and Accepted By:	 	 
	 
	 	 	 	 
	TTM TECHNOLOGIES, INC.	 	 
	 
	 	 	 	 
	By:
	 	 /s/ Steven W. Richards	 	 
	 

	 	 	 	 
	Name:
	 	 Steven W. Richards	 	 
	Title:
	 	 EVP, CFO and SecretaryExhibit 10.25

                     LOAN, INVESTMENT AND SECURITY AGREEMENT

         THIS LOAN, INVESTMENT AND SECURITY AGREEMENT (this "Agreement") is made
and entered  into as of May 19,  2008,  by and among  Private  Access,  Inc.,  a
California corporation (the "Company"), and VirtualHealth  Technologies,  Inc. a
Delaware  corporation (the  "Investor").  The Company and Investor are sometimes
referred to herein  collectively  as the  "Parties" and each  individually  as a
"Party".

                                    RECITALS:

         A. The Company is the  successor  in interest by way of  conversion  to
Private Access, LLC, and all of the rights, assets,  obligations and liabilities
of such predecessor entity.

         B. The Company has requested  that Investor  provide  certain loans and
other  financial  accommodations  to the  Company,  and  Investor  has agreed to
provide such loans and  financial  accommodations  to the Company upon the terms
and conditions set forth in this Agreement.

                                   AGREEMENT:

         NOW,  THEREFORE,  in  consideration  of the  premises  and  the  mutual
covenants and agreements set forth herein, the Parties agree as follows:

                                   ARTICLE 1
                                 INTERPRETATION

         1.1 Definitions.  In this Agreement,  including the recitals, except as
otherwise expressly provided or unless the context otherwise requires:

                  "Affiliate"  of any Person  means a Person  that  directly  or
         indirectly, through one or more intermediaries, controls, is controlled
         by or is under common control with the first mentioned Person. A Person
         shall  be  deemed  to  control  another  Person  if such  first  Person
         possesses  directly  or  indirectly  the power to direct,  or cause the
         direction of, the management and policies of the second Person, whether
         through the ownership of voting securities, by contract or otherwise.

                  "Articles" means the Company's  Articles of Incorporation,  as
         filed with the Secretary of State of California on April 3, 2008.

                  "Business  Day" means a day that is not a Saturday or a Sunday
         or any other day on which  banks in  Dallas,  Texas,  are  required  or
         permitted by applicable law to close.

                  "Collateral" means all of Company's right, title, and interest
         in and to all current and future patents and patent applications of the
         Company (which currently  consist of U.S. Patent Numbers  7,028,049 and
         6,345,260,   and  U.S.  Patent   Application   Numbers  11/231,561  and
         12/031,987), and all continuations thereto and derivatives thereof, and
         all source  codes  developed  by or for the Company and  pertaining  or
         relating to the above  patents  and patent  applications  (the  "Source
         Codes").

<PAGE>

                  "Customer"  means any and all person or  entities  that are in
         privity with the Company to purchase,  lease,  license or otherwise use
         any  of  the  Company's   systems,   devices,   software,   inventions,
         components, products, services or processes.

                  "Governmental  Authority" means any nation or government,  any
         state, county, municipality or other political subdivision thereof, any
         entity  exercising  executive,  legislative,  judicial,  regulatory  or
         administrative functions of or pertaining to government,  including any
         government  authority,   agency,   department,   board,  commission  or
         instrumentality of the United States, any State of the United States or
         any political subdivision thereof, any court, tribunal or arbitrator(s)
         of competent  jurisdiction,  any  self-regulatory  organization  or any
         Indian tribal authority.

                  "Loan  Documents"  means,  collectively,  this Agreement,  the
         Promissory Note, and any other  instruments,  documents,  or agreements
         entered into, now or in the future by Company in connection therewith.

                  "Obligations" means the Loan (as defined below), including all
         principal and interest accrued thereon, and all related fees, expenses,
         costs  and other  amounts,  if any,  owed to  Investor  by the  Company
         pursuant to this Agreement or any other Loan Documents.

                  "Person" means any individual,  corporation, limited liability
         company,  partnership (general or limited),  syndicate,  joint venture,
         society,    association,    trust,   unincorporated   organization   or
         Governmental  Authority,  or any trustee,  executor,  administrator  or
         other legal representative thereof.

                  "UCC" means the California Uniform Commercial Code, as amended
         or  supplemented  from  time to  time.  Any and all  terms  used in the
         Agreement  which are defined in the UCC shall be construed  and defined
         in accordance  with the meaning and  definition  ascribed to such terms
         under the UCC, unless otherwise defined herein.

                                   ARTICLE 2
                        LOAN AND INVESTMENT OPPORTUNITIES

         2.1 Loan. Subject to the terms and conditions of this Agreement, on the
Closing Date (as hereinafter defined),  the Company hereby agrees to borrow, and
Investor hereby agrees to loan to the Company, up to an aggregate of One Million
Five Hundred and No/100  ($1,500,000) (the "Loan").  The Loan shall be evidenced
by a Secured  Promissory Note, in  substantially  the form of Exhibit A attached
hereto (the  "Promissory  Note").  The Parties  acknowledge  and agree that: (i)
pursuant to that certain  Promissory  Note,  dated March 1, 2008, of the Company
payable to Investor, Investor previously loaned the Company $150,000 (the "First
Previous  Note");  (ii) the principal amount of, and accrued but unpaid interest
of $2,035 on the First Previous Note were  rolled-into  that certain Amended and
Restated  Promissory  Note,  dated April 25,  2008,  of the  Company  payable to
Investor (the "Second Previous Note"),  with the interest being  rolled-into the
Second  Previous  Note as accrued  but unpaid  interest,  and  Investor  made an
additional  advance of $150,000 to the Company under the Second  Previous  Note;
(iii) the principal  amount of $300,000 and accrued but unpaid  interest to date
of $3,823,  including the accrued but unpaid  interest  under the First Previous

                                       2
<PAGE>

Note and an  additional  $1,788 under the Second  Previous  Note (from April 25,
2008 to May 19, 2008,  are hereby  rolled-into  this  Promissory  Note (with the
interest being  rolled-into the Promissory Note as accrued but unpaid interest);
and (iv) at the Closing,  Investor shall deliver the Second Previous Note to the
Company for cancellation,  and Investor shall make the first $150,000 of Advance
(as defined in the Promissory Note) under the Promissory Note.

         2.2 Closing.  The closing of the transactions  contemplated hereby (the
"Closing")  shall be  deemed to have  occurred  on May 19,  2008  (the  "Closing
Date").

         2.3  Equity  Interest.  In the event  that  Investor  makes all  timely
Advances (as defined in the Promissory  Note) under the Promissory  Note for the
period from the Closing Date to the earlier of: (i) the last day of the month in
which the Company  receives  $10,000,000 or more of additional  funding (or such
lesser amount as determined by the Company in its sole and absolute  discretion)
("Adequate Third-Party Funding"); or (ii) December 10, 2008 (the "Timely Payment
Condition"),  then on or prior to December 15, 2008, the Company shall issue and
deliver to Investor a certificate  for 105,625  shares of common  stock,  no par
value per share,  of the Company (the "Common  Stock"),  which  represents  five
percent  (5%) of the  Fully-Diluted  Capital  Stock of the  Company  (as defined
below) as of the date of this Agreement except for the contingent warrants being
held for C. Hoag as of the Closing Date.

         2.4 Option to Purchase Shares of Common Stock.

                  (a) In the event that  Investor  has timely made all  Advances
         under the Promissory  Note, and the Company has delivered the Repayment
         Notice (as defined in the  Promissory  Note),  then for a period of ten
         (10)  days  following  Investor's  receipt  of  the  Repayment  Notice,
         Investor shall have the option (the "Purchase  Option"),  in Investor's
         sole discretion,  to purchase from the Company, the number of shares of
         Common  Stock  of  the  Company  equal  to  five  percent  (5%)  of the
         Fully-Diluted  Capital Stock of the Company as of the date of Repayment
         Notice (the "Investment  Shares"),  for an aggregate  purchase price of
         $1,500,000 (the "Option  Price").  Investor's  exercise of the Purchase
         Option  shall be in writing  and shall be  irrevocable  (the  "Election
         Notice").

                  (b) If Investor  elects to exercise the Purchase  Option,  the
         delivery  of the  Election  Notice  to the  Company  shall  serve as an
         instruction  to the Company to apply the  proceeds of the  repayment of
         the Promissory Note (the "Repayment  Proceeds"),  first, to the accrued
         but  unpaid  interest  on  the  Promissory  Note,  and  second,  to the
         outstanding principal balance of the Note. If:

                           (i)  the   Repayment   Proceeds   are  greater   than
                  $1,500,000,  then on the  Repayment  Date (as  defined  in the
                  Promissory  Note), the Company shall:  (1) retain  $1,500,000;
                  (2) issue to Investor a certificate  evidencing the Investment
                  Shares;  and  (3)  pay  to  Investor,   by  wire  transfer  of
                  immediately  available funds, any Repayment Proceeds in excess
                  of $1,500,000; or

                                       3
<PAGE>

                           (ii) in the event  the  Repayment  Proceeds  are less
                  than or equal to $1,500,000,  then on the Repayment  Date, the
                  Company  shall (1) retain all of the Repayment  Proceeds;  (2)
                  issue to Investor that portion of the Investment  Shares equal
                  to (5%) of the  Fully-Diluted  Capital Stock of the Company as
                  of the date of Repayment Notice multiplied by a fraction,  the
                  numerator  of which is the amount of the  Repayment  Proceeds,
                  and the denominator of which is $1,500,000;  and (3) be deemed
                  to have granted to Investor an option (the "Second Option") to
                  purchase  the  remainder of the  Investment  Shares not issued
                  pursuant to  subsection  (2) above,  at an aggregate  purchase
                  price  equal  to the  difference  between  $1,500,000  and the
                  amount  of the  Repayment  Proceeds.  [e.g.,  in the event the
                  Payoff Proceeds are $1,200,000, then on the Repayment Date the
                  Company  will  retain  $1,200,000  and,  in  return,  issue to
                  Investor four percent (4%) of the Fully-Diluted  Capital Stock
                  of in the  Company,  together  with an option to purchase  the
                  remaining one percent (1%) of the Fully-Diluted  Capital Stock
                  of the Company for  $300,000.]  The term of the Second  Option
                  shall  commence on the date of the  Election  Notice and shall
                  continue  until the earlier of: (1) ninety (90) days following
                  the Repayment Date; or (2) December 10, 2008.

         2.5 Certain  Definitions.  As used herein, (i)  "Fully-Diluted  Capital
Stock of the Company"  means the then  outstanding  capital stock of the Company
(including  shares of  preferred  stock of the  Company,  and if such shares are
convertible, on an "as converted" basis) plus all shares of capital stock of the
Company  issuable,  whether at such time,  upon the  passage of time or upon the
occurrence  of some future event,  upon the exercise,  conversion or exchange of
all then  outstanding  Capital  Stock  Equivalents  plus the number of shares of
Common  Stock  issuable  under  the  Section  of this  Agreement  to which  such
definition  applies (i.e.,  either  Section 2.3 or Section 2.4 above);  and (ii)
"Capital Stock  Equivalents"  means all rights,  warrants,  options  (including,
without limitation, any options or other securities issued under any plan of the
Company),  convertible  securities or indebtedness,  exchangeable  securities or
indebtedness,  or other rights, exercisable for or convertible into, directly or
indirectly,  capital  stock of the Company  and  securities  convertible  for or
exchangeable  into  equity  interests  of the  Company,  whether  at the time of
issuance, upon the passage of time or upon the occurrence of some future event.

         2.6 Right of First Offer.

                  (a) Prior to the Repayment  Date,  the Company  agrees that it
         will not issue any  capital  stock of the  Company or any Common  Stock
         Equivalents  (excluding:  (i) any sales of  securities  pursuant  to an
         effective  registration  statement under the Securities Act of 1933, as
         amended; (ii) any sale of securities to a non-profit entity or industry
         partner  pursuant to a debt  funding,  grant  funding or  research  and
         development  project by any such non-profit entity or industry partner;
         and (iii) a pool of up to fifteen  percent (15%) of the then  currently
         issued and  outstanding  shares of Common  Stock and  Preferred  Stock,
         which pool may be used only for the  issuance  of capital  stock of the
         Company  and  Capital  Stock  Equivalents  to  employees,  consultants,
         directors  and  advisory  board  members  of  the  Company)  (the  "New
         Securities"), without first offering to sell all of such New Securities
         to Investor on the terms and  conditions  specified by the Company (the
         "Offering  Terms"),  subject to subsection (b) below. In the event that

                                       4
<PAGE>

         the  Company  desires  to issue or sell any New  Securities  (each,  an
         "Offering"),  it shall  provide  Investor  with  written  notice of the
         Offering, including the Offering Terms (the "Offer Notice").

                  (b) Investor shall have ten (10) days following its receipt of
         the  Offer  Notice  (the  "Election  Period")  to elect in  writing  to
         purchase  all or any  portion  of the  New  Securities  offered  in the
         Offering  (the  "Election  Notice").  If Investor  delivers an Election
         Notice to the  Company  within  the  Election  Period,  then:  (a) such
         purchase by Investor shall close and fund within thirty (30) days after
         delivery by Investor or the Election Notice; and (b) the purchase price
         paid by  Investor  shall  reflect a ten percent  (10%)  discount in the
         price per share stated in the Offering Terms.

                  (c) If the offer set forth in the Offer Notice is not accepted
         by  Investor,  then the  Company  may sell  such New  Securities,  or a
         ratable portion thereof, to any third-party purchaser (the "Purchaser")
         at any time within one hundred  eighty (180) days after the last day of
         the Election Period,  provided that such sale shall be made on terms no
         more favorable to the Purchaser  than the terms  contained in the Offer
         Notice. In the event that the New Securities are not sold in accordance
         with the terms of the  preceding  sentence,  then  they  cannot be sold
         without  again going through the  procedures  set forth in this Section
         2.6

         2.7 Events of  Default.  The  occurrence  of any Event of  Default  (as
defined in the Promissory  Note) shall constitute an Event of Default under this
Agreement.  Upon the  occurrence  of an Event of Default,  Investor  may, at its
option,  accelerate  and make  immediately  payable  all sums of  principal  and
interest  outstanding  and unpaid under the  Promissory  Note,  without  demand,
presentment or notice, all of which are hereby expressly waived by Company.

         2.8 Investor's Rights and Remedies.  Upon the occurrence and during the
continuation of an Event of Default, Investor may, at its sole election, without
notice of such  election  and without  demand,  exercise  any one or more of the
rights or remedies  available  to Investor  at law or in equity,  including  the
rights of a secured party under the UCC.

         2.9 Board Seat.  So long as there  remains any money owed by Company to
Investor under the  Obligations,  Investor shall have the right to designate one
member  (the  "Investor  Designee")  to the  Company's  Advisory  Board  and the
Company's  Board  of  Directors,  and  in  each  case,  all  committees  thereof
(collectively, the "Company Boards"), and the Company and stockholders executing
the  signature  page to this  Agreement  hereby  agree  to cause  such  Investor
Designee to be elected to the Company Boards.  The Investor Designee shall serve
until the first to occur of his/her death, resignation or removal from office by
Investor;  it being  agreed  and  understood  that only  Investor  may remove an
Investor  Designee;  it  being  further  agreed  and  understood  that  upon the
occurrence of any removal, Investor Designee shall have the right to designate a
new Investor  Designee and the Company and stockholders  executing the signature
page to this  Agreement  hereby  agree to cause  such  Investor  Designee  to be
elected to the Company Boards. The initial Investor Designee shall be Deborah L.
Jenkins; it being agreed and understood that Ms. Jenkins shall be elected to the
Company  Boards at the  Closing.  Each  Investor  Designee  shall be entitled to
receive  from  the  Company  for  his/her  services  whatever   compensation  or
remuneration  paid to other  directors  of the Company,  including  the right to
receive warrants  commensurate  with all members of Company Boards.  Any and all

                                       5
<PAGE>

rights to designate  members to any of the Company Boards  pursuant to the terms
of this Section 2.9 shall be extinguished  upon repayment or satisfaction by the
Company of the Obligations.

         2.10  Strategic  and  Technology  Synergies.  Investor  and the Company
acknowledge  that there  appears to be a number of strategic  and  technological
synergies in the products and services  being offered  and/or  developed by each
Party and its Affiliates,  including  without  limitation the Convoii and Envoii
digital content management and security  technology.  The Parties agree to exert
reasonable commercial efforts to explore these mutually-beneficial prospects and
synergies. Without limiting the foregoing, Investor agrees to make (or cause its
Affiliates  to make) the  Convoii  and Envoii  digital  content  management  and
security  technology  available  for  inclusion  in the  Company's  products and
services  under a cost formula to be mutually  agreed to by the  Parties,  which
cost formula  shall be subject to a favored  nations  provision so that the cost
paid by the Company for such technologies shall not exceed the price paid by any
other  client,   purchaser  or  user  of  the  Convoii  and  Envoii  technology,
respectively.

         2.11 Cancellation of Rights.  If, for any reason other than the Company
having  received  Adequate  Third-Party  Funding  (which  in  turn  extinguishes
Investor's  obligation  to fund any further  installments  under the  Promissory
Note),  Investor  does not timely fund an Advance as provided in the  Promissory
Note,  Investor shall forfeit the following rights: (a) the right of Investor to
receive  securities  of the Company  pursuant to Sections 2.3; (b) the rights of
Investor to purchase securities of the Company pursuant to Sections 2.4 and 2.6;
and (c) the  right of  Investor  to  designate  a person to the  Company  Boards
pursuant to Section 2.9.

                                   ARTICLE 3
                                    SECURITY

         3.1 Grant of Security Interest. In order to secure the Company's prompt
repayment of any and all Obligations  and its prompt  performance of each of its
covenants  and duties under this  Agreement  and the other Loan  Documents,  the
Company  hereby  grants  to  Investor  a  continuing  security  interest  in the
Collateral.  Investor's security interests in the Collateral shall attach to all
Collateral  without further action on the part of Investor or the Company.  Such
security  interest  constitutes  a  valid  security  interest  in the  presently
existing  Collateral,   and  shall  constitute  a  valid  security  interest  in
Collateral acquired after the date hereof.

         3.2 Relinquishment of Security Interest.  Upon the Company's  repayment
of the  Obligations,  and without  further  action on the part of the Company or
Investor,  any security  interest  created  pursuant to Section 3.1 hereof shall
immediately be released and/or deemed  released,  including  without  limitation
Investor's interests in the Collateral.

         3.3 License Created in the Event of Default. Upon the occurrence of any
Event of Default that results in Company's  loss of the  Collateral  pursuant to
any Security Interest granted under this Agreement, including but not limited to
under Section 3.1 hereof,  Investor hereby grants to Company and its Customers a
non-exclusive, non-sublicensable,  non-transferable, fully paid-up license under
the patents and source codes  comprising the Collateral to make, have made, use,
offer for sale, sell, import,  distribute,  lease, service, or otherwise dispose
of any product or process offered for sale, made, distributed,  sold, or used by
or on behalf of Company  covered by a claim of any of the patents or source code

                                       6
<PAGE>

comprising the Collateral  ("License").  The License shall run to the end of the
life of the last to expire of the patents  comprising the Collateral,  including
any  extensions  thereto that may occur during the life of any such patent.  The
License shall be "AS IS, WHERE IS" and Investor shall have no obligations to the
Company  or  any  of  its  Customers  under  the  License  (including,   without
limitation, any obligation for patent infringement claims of others).

                                   ARTICLE 4
                    REPRESENTATIONS AND WARRANTIES OF COMPANY

         The Company hereby  represents and warrants to Investor that, as of the
date of execution of this  Agreement by both Parties  hereto  (which shall occur
after the Closing Date) (the "Execution Date"):

         4.1 Organization,  Qualification, and Corporate Power. The Company is a
duly organized and validly  existing  corporation  and is in good standing under
the laws of the state of California  and has all requisite  corporate  power and
corporate  authority for the ownership and operation of its  properties  and for
the  carrying on of its  business  as now  conducted  and as now  proposed to be
conducted.  The Company is duly  qualified  and is in good standing as a foreign
corporation  and  authorized  to do  business in all  jurisdictions  wherein the
character  of the  property  owned or leased,  or the  nature of the  activities
conducted by it, makes such  qualification  or authorization  necessary,  except
where the  failure to so qualify or be so  authorized  would not have a material
adverse effect on the Company's business,  assets (including intangible assets),
liabilities,   property,  financial  condition,  or  results  of  operations  (a
"Material  Adverse  Effect").  The Company has all requisite power and corporate
authority to (i) execute and deliver the Loan Documents; (ii) to perform all its
obligations under the Loan Documents;  and (iii) to issue and deliver the shares
of capital stock which may be issuable under this Agreement ("collectively,  the
"Shares").

         4.2  Authorization  of  Agreements.  The  execution and delivery by the
Company of the Loan Documents, the performance by the Company of its obligations
thereunder  and the  reservation  of and the issuance and delivery of the Shares
have been duly  authorized by all requisite  action and will not (i) violate (A)
any provision of any  applicable  law, or any order of any court or other agency
of government applicable to the Company, (B) the Articles, (C) the Bylaws of the
Company, or (D) any provision of any mortgage,  lease, indenture,  agreement, or
other  instrument  to which the  Company or any of its  properties  or assets is
bound,  or (ii) conflict  with,  result in a breach of, or constitute  (with due
notice or lapse of time or both) a default under any such indenture,  agreement,
or other  instrument,  or  result in the  creation  or  imposition  of any lien,
charge,  or encumbrance of any nature  whatsoever  upon any of the properties or
assets of the Company, except in the case of clauses (i)(D) and (ii), where such
violation,  conflict, breach, default, or lien would not have a Material Adverse
Effect.  The Shares have been duly  reserved for issuance  under this  Agreement
and, when so issued,  will be duly authorized,  validly issued,  fully paid, and
nonassessable  shares  with no personal  liability  attaching  to the  ownership
thereof and will be free and clear of all liens,  charges,  and  encumbrances of
any nature  whatsoever  except for  restrictions  on transfer  under  applicable
federal and state securities  laws, and except for restrictions  imposed by that
certain  Shareholders  Agreement  of the Company,  shown in Schedule  4.2, to be

                                       7
<PAGE>

separately  delivered to Investor by Company in accordance  with Section  7.1(b)
hereof.  Neither  the  issuance  nor  delivery  of the  Shares is subject to any
preemptive  rights  of  stockholders  of the  Company,  or to any right of first
refusal or other right in favor of any Person.

         4.3  Validity.  This  Agreement has been duly executed and delivered by
the Company and  constitutes  the legal,  valid,  and binding  obligation of the
Company,  enforceable  in  accordance  with its terms  except  (a) as limited by
applicable bankruptcy, insolvency, reorganization, moratorium, and other laws of
general application  affecting  enforcement of creditors' rights generally,  and
(b) as limited by laws  relating to the  availability  of specific  performance,
injunctive relief, or other equitable  remedies.  The Loan Documents  constitute
the legal,  valid,  and  binding  obligations  of the  Company,  enforceable  in
accordance  with their  respective  terms  except  (i) as limited by  applicable
bankruptcy,  insolvency,  reorganization,  moratorium, and other laws of general
application  affecting  enforcement of creditors' rights generally,  and (ii) as
limited by laws relating to the availability of specific performance, injunctive
relief, or other equitable remedies.

         4.4 Capital Stock.  The authorized  capital of the Company consists of:
(i) 15,000,000 shares of Common Stock,  2,025,000 shares of which are issued and
outstanding  immediately  prior to the Closing (10,000 shares of which are based
on fully vested warrants); and (ii) (A) 10,000,000 shares of preferred stock, no
par value ("Preferred Stock"), and (B) up to 241,000 warrants to purchase shares
of  Common  Stock  that are fully  contingent  on  future  contributions  to the
Company,  none of  which  shares  have  been  earned,  issued  or are  presently
outstanding.  All of the  outstanding  shares  of  Common  Stock  have been duly
authorized, are fully paid and nonassessable, and were issued in compliance with
all applicable  federal and state  securities  laws. The issued and  outstanding
shares of the Company's  capital stock are owned by the  stockholders and in the
numbers set forth on Schedule  4.4, to be  separately  delivered  to Investor by
Company  in  accordance  with  Section  7.1(b)  hereof.  Except  as set forth in
Schedule 4.4,  there are no outstanding  options,  warrants,  rights  (including
conversion or preemptive  rights and rights of first refusal or similar  rights)
or agreements, orally or in writing, to purchase or acquire from the Company any
shares of Common Stock or Preferred Stock, or any securities convertible into or
exchangeable for shares of Common Stock or Preferred Stock.

         4.5  Financial  Statements.  The  financial  position of the Company is
reflected in Schedule 4.5 ("Financial  Statements"),  to be separately delivered
to Investor by Company in accordance  with Section 7.1(b) hereof.  The Financial
Statements  present fairly the financial  position of the Company as at February
29, 2008 and the Company's  results of operations  for the period from inception
to February  29, 2008,  except as set forth  therein,  and were  prepared in the
ordinary  course  of  business.  Since the last date  covered  by the  Financial
Statement, the Company has not suffered a Material Adverse Effect.

         4.6 Litigation and Compliance with Law.

                  (a)  There  is  no:  (i)  action,  suit,  claim,   proceeding,
         arbitration,  complaint,  charge,  or investigation  pending or, to the
         Company's  knowledge,  threatened (A) against or affecting the Company,
         or any officer,  director,  or key employee of the Company at law or in
         equity,  or  before  or by any  federal,  state,  municipal,  or  other
         governmental   department,   commission,   board,  bureau,  agency,  or
         instrumentality,  domestic  or  foreign;  or  (B)  that  questions  the

                                       8
<PAGE>

         validity  of the Loan  Documents  or the right of the  Company to enter
         into them, or to consummate the  transactions  contemplated by the Loan
         Documents;  (ii) arbitration  proceeding relating to the Company or any
         officer,  director,  or key  employee  of  the  Company  pending  under
         collective  bargaining  agreements or otherwise;  or (iii) governmental
         inquiry pending or, to the Company's  knowledge,  threatened against or
         affecting the Company or any officer,  director, or key employee of the
         Company.

                  (b)  The  Company  is  not  in  default  with  respect  to any
         governmental order, writ, judgment,  injunction,  or decree known to or
         served  upon  the  Company  of  any  court  or of any  federal,  state,
         municipal, or other governmental department, commission, board, bureau,
         agency, or instrumentality,  domestic or foreign.  There is no material
         action or suit by the Company pending or threatened against others.

                  (c) The  Company is not in  violation  or  default  (i) of any
         provisions of its Articles or Bylaws, (ii) of any instrument, judgment,
         order, writ, or decree, (iii) under any note,  indenture,  or mortgage,
         or (iv) under any lease,  agreement,  contract,  or  purchase  order to
         which it is a party or by which  it is  bound  that is  required  to be
         listed on the  schedules  attached  hereto,  or (v) of any provision of
         federal  or  state  statute,  rule,  or  regulation  applicable  to the
         Company,  the  violation  of which (in each  case for (i) - (v))  would
         have, individually or in the aggregate, a Material Adverse Effect.

                  (d) There is no action, suit, proceeding,  or investigation by
         the Company pending or which the Company intends to initiate.

         4.7 No Outstanding  Indebtedness.  Other than the Previous Note,  there
are no outstanding notes,  indentures,  mortgages, or any other similar forms of
financing  to which the Company is a party.  The  Company is not a guarantor  or
indemnitor of any indebtedness of any other Person.

         4.8 Title to Assets.  The Company has valid and marketable title to all
of its assets now carried on its books  including  those  reflected  in the most
recent  balance  sheet of the Company  which  forms a part of  Schedule  4.5, or
acquired since the last date of the periods covered thereby,  free of any liens,
charges,  or encumbrances of any kind whatsoever,  except such  encumbrances and
liens that arise in the ordinary course of business and do not materially impair
the Company's ownership or use of such assets. The Company does not own any real
property. The Company is in compliance in all material respects under all leases
for  property and assets  under which it is  operating,  and all such leases are
valid and subsisting and are in full force and effect.

         4.9 Taxes.  The Company has  accurately  prepared  and timely filed all
federal, state, and other tax returns required by law to be filed by it, and all
taxes  (including  all  withholding  taxes)  shown to be due and all  additional
assessments have been paid or provisions made therefor.  The Company knows of no
additional  assessments or adjustments pending or threatened against the Company
for any period, nor of any basis for any such assessment or adjustment.

                                       9
<PAGE>

4.10  Intellectual  Property  Assets.  The Company  owns or  possesses  adequate
licenses or other  rights to use all  software,  patents,  patent  applications,
trademarks,  trademark  applications,  service marks, service mark applications,
trade names, copyrights,  manufacturing processes,  formulae, trade secrets, and
know how (collectively,  "Intellectual  Property")  necessary or material to the
conduct of its business as conducted,  without any conflict with or infringement
of the rights of others, and no claim is pending or, to the Company's knowledge,
threatened  to the effect that the  operations  of the Company  infringe upon or
conflict  with the asserted  rights of any other  Person under any  Intellectual
Property, and, to the Company's knowledge,  there is no basis for any such claim
(whether  or not  pending or  threatened).  Set forth in  Schedule  4.10,  to be
separately  delivered to Investor by Company in accordance  with Section  7.1(b)
hereof,  is a list of the  patents  and  patent  applications  constituting  the
Collateral that are owned by or registered in the name of the Company.  No claim
is pending or, to the  Company's  knowledge,  threatened  to the effect that any
such Collateral owned or licensed by the Company, or which the Company otherwise
has the right to use, is invalid or  unenforceable  by the Company,  and, to the
best of  Company's  knowledge  and belief,  there is no basis for any such claim
(whether or not pending or threatened). Except as provided in Schedule 4.10, the
Company has not  granted or assigned to any other  person or entity any right to
manufacture, have manufactured, or assemble the products or proposed products or
to provide the services or proposed services of the Company.  The Company has no
material  obligation  to compensate  any Person for the use of any  Intellectual
Property  nor has the Company  granted to any Person any license or other rights
to use in any manner any  Intellectual  Property of the Company.  If the Company
files any further patent applications with the proper authorities  following the
Execution  Date,  the  Company  agrees  within  five (5) days after such  patent
application is filed, to provide to Investor written notice of such filing and a
Patent  Recordation  Form suitable for being filed with the United States Patent
and Trademark  Office with respect to each such  subsequent  patent  application
filing, if any.

         4.11 Investments in Other Persons. The Company has not made any loan or
advance to any Person which is outstanding on the date of this Agreement, nor is
the Company  obligated or  committed to make any such loan or advance,  nor does
the Company own any equity  interest in, or assets  comprising  the business of,
obligations of, or any interest in, any Person.

         4.12 Governmental  Approvals.  Except as otherwise contemplated by this
Agreement, no authorization, consent, approval, license, filing, or registration
with any court or governmental department, commission, board, bureau, agency, or
instrumentality,  domestic or  foreign,  is or will be  necessary  for the valid
execution,  delivery, and performance by the Company of the Loan Documents,  and
the issuance and  delivery of the Note,  other than filings  pursuant to federal
and state  securities  laws  (the  failure  of which to file will not  adversely
impact the exemption from  registration or  qualification of the issuance of the
securities contemplated by this Agreement) in connection herewith.

         4.13 No Brokers or Finders.  No person has or will have, as a result of
actions taken by the Company in connection with the transactions contemplated by
this Agreement,  any right, interest, or valid claim against or upon Investor or
the Company for any commission, fee, or other compensation as a finder or broker
arising out of the transactions contemplated by this Agreement.

                                       10
<PAGE>

                                   ARTICLE 5
                   REPRESENTATIONS AND WARRANTIES OF INVESTOR

         Investor  represents  and  warrants  to  the  Company  that,  as of the
Execution Date:

         5.1  Organization,  Qualification,  and Corporate Power.  Investor is a
duly organized and validly  existing  corporation  and is in good standing under
the laws of the state of  Delaware  and has all  requisite  corporate  power and
corporate  authority for the ownership and operation of its  properties  and for
the  carrying on of its  business  as now  conducted  and as now  proposed to be
conducted.

         5.2 Authorization of Agreements. The execution and delivery by Investor
of the Loan Documents, the performance by Investor of its obligations thereunder
have been duly  authorized  by all requisite  corporate  action and will not (i)
violate (A) any  provision of any  applicable  law, or any order of any court or
other agency of  government  applicable  to  Investor,  (B) the  Certificate  of
Incorporation  or Bylaws of  Investor,  or (C) any  provision  of any  mortgage,
lease, indenture, agreement, or other instrument to which Investor or any of its
properties or assets is bound, or (ii) conflict with,  result in a breach of, or
constitute  (with due notice or lapse of time or both) a default  under any such
indenture,  agreement,  or  other  instrument,  or  result  in the  creation  or
imposition of any lien, charge, or encumbrance of any nature whatsoever upon any
of the properties or assets of Investor.

         5.3 Validity  This  Agreement  has been duly  executed and delivered by
Investor and constitutes the legal,  valid, and binding  obligation of Investor,
enforceable  in  accordance  with its terms except (a) as limited by  applicable
bankruptcy,  insolvency,  reorganization,  moratorium, and other laws of general
application  affecting  enforcement of creditors' rights  generally,  and (b) as
limited by laws relating to the availability of specific performance, injunctive
relief, or other equitable  remedies.  The Loan Documents  constitute the legal,
valid, and binding obligations of Investor, enforceable in accordance with their
respective  terms except (i) as limited by  applicable  bankruptcy,  insolvency,
reorganization,  moratorium,  and other  laws of general  application  affecting
enforcement of creditors' rights generally, and (ii) as limited by laws relating
to the  availability  of  specific  performance,  injunctive  relief,  or  other
equitable remedies.

         5.4 No Brokers or Finders.  No person has or will have,  as a result of
actions taken by Investor in connection  with the  transactions  contemplated by
this Agreement,  any right, interest, or valid claim against or upon the Company
for any commission, fee, or other compensation as a finder or broker arising out
of the transactions contemplated by this Agreement.

         5.5 Accredited Investor. Investor is not an accredited investor as that
term is defined in Rule 501  promulgated by the Securities  Exchange  Commission
and is acquiring the  securities  issued  pursuant to this Agreement for its own
account and not with a view to distribution.

                                    ARTICLE 6
                                    COVENANTS

         6.1  Covenants of the Company.  The Company  covenants  and agrees with
Investor that,  from and after the date of this Agreement  until the Obligations
are paid in full:

                                       11
<PAGE>

                  (a) At any time at the request of Investor,  the Company shall
         execute  and  deliver  to  Investor  all  documents,   instruments  and
         agreements  that Investor may reasonably  request in order for Investor
         to perfect and continue  perfection of Investor's  security interest in
         the Collateral and in order to fully consummate all of the transactions
         contemplated under the Loan Documents; and

                  (b)  Investor  shall have the  right,  upon  reasonable  prior
         notice, from time to time during the Company's usual business hours (or
         at any time and  without  notice  required  if an Event of Default  has
         occurred and is continuing), to inspect the Company's books and records
         and to make copies  thereof;  provided that any  information  contained
         therein  and deemed by the  Company in  writing  to be  proprietary  or
         confidential  may not be  divulged  by the  Investor to any third party
         except as required by law or applicable statute or regulation.

         6.2 Escrow of Source Codes.  Upon  development of any Source Codes, the
Company  agrees to  escrow  such  source  code  with an  escrow  agent  mutually
acceptable to the Company and Investor, pursuant to an Escrow Agreement, in form
and substance  mutually  acceptable to the Company and Investor.  If the Company
and Investor are unable to agree to any of above  within  thirty days  following
the  development of any Source Code,  then the Source Code shall be interpleaded
to a court of competent jurisdiction until such time as they are able to agree.

                                   ARTICLE 7
                               CLOSING OBLIGATIONS

         7.1 Closing Obligations. In addition to anything else set forth in this
Agreement, at the Closing:

                  (a) the  Parties  (as  applicable)  shall  have  executed  and
         delivered to each other this  Agreement,  the Note,  and all other Loan
         Documents required by Investor;

(b) the Company  shall have  delivered to Investor  each of Schedules  4.2, 4.4;
4.5; 4.10 (collectively,  the "Disclosure Schedules"). Except as required by law
or applicable governmental  authority,  Investor agrees not to publicly disclose
any of the contents of the  Disclosure  Statements  without the express  written
consent of the Company; and

                  (c) the Company  shall have executed and delivered to Investor
         a copy of a Patent  Recordation  Form in a form  suitable for filing by
         Investor  with the United  States  Patent  and  Trademark  Office  with
         respect to the Collateral.

                                    ARTICLE 8
                                  MISCELLANEOUS

         8.1 Expenses  and  Attorney's  Fees.  If suit is brought to enforce any
provision of this Agreement,  the prevailing  party shall be entitled to recover
its reasonable  attorneys'  fees and court costs in addition to any other remedy
or recovery  awarded by the court.  At the  Closing,  the Company  shall pay the

                                       12
<PAGE>

legal fees and costs of Jackson  Walker  L.L.P.,  counsel  to  Investor,  in the
amount of $12,000.00.

         8.2 Demand;  Protest. The Company hereby waives demand, protest, notice
of protest,  notice of default or  dishonor,  notice of payment and  nonpayment,
notice of any default, nonpayment at maturity, release, compromise,  settlement,
extension, or renewal of accounts, documents, instruments, and guarantees at any
time held by Investor on which the Company may in any way be liable.

         8.3  Notices.  All  notices,   requests,   demands,  claims  and  other
communications  permitted or required to be given  hereunder  must be in writing
and shall be deemed duly given and received (i) if personally delivered, when so
delivered,  (ii) if mailed,  three (3)  Business  Days after having been sent by
registered or certified  mail,  return receipt  requested,  postage  prepaid and
addressed  to the  intended  recipient  as set  forth  below,  (iii)  if sent by
electronic  facsimile,  once  transmitted to the fax number  specified below and
once the appropriate facsimile confirmation is received, provided that a copy of
such  notice,  request,   demand,  claim  or  other  communication  is  promptly
thereafter sent in accordance with the provisions of clause (ii) or (iv) hereof,
or (iv) if sent through an overnight  delivery service in circumstances to which
such service guarantees next day delivery, the day following being so sent:

<PAGE>

                  If to Investor:          VirtualHealth Technologies, Inc.
                                           777 Main Street, Suite 3100
                                           Fort Worth, Texas  76012
                                           Attention:  Chief Executive Officer

                  If to the Company:       Private Access, Inc.
                                           65 Enterprise
                                           Aliso Viejo, California  92656
                                           Attention:  President

Any Party may give any notice,  request,  demand,  claim or other  communication
hereunder using any other written means  (including  ordinary mail or electronic
mail), but no such notice,  request,  demand, claim or other communication shall
be deemed to have been duly given  unless and until it  actually  is received by
the  individual  for whom it is  intended.  Any Party may change the  address to
which notices, requests,  demands, claims and other communications hereunder are
to be delivered to it by giving each other Party notice in the manner herein set
forth.

         8.4  Governing  Law. THIS  AGREEMENT,  THE ENTIRE  RELATIONSHIP  OF THE
PARTIES  HERETO,  AND ANY LITIGATION  BETWEEN THE PARTIES  (WHETHER  GROUNDED IN
CONTRACT,  TORT, STATUTE,  LAW OR EQUITY) SHALL BE INTERPRETED,  CONSTRUED,  AND
ENFORCED IN ACCORDANCE  WITH THE LAWS OF THE STATE OF TEXAS,  WITHOUT  REGARD TO
ITS CHOICE OF LAW PRINCIPLES.

         8.5 Venue for Disputes.  THE COURTS OF THE NORTHERN  DISTRICT OF TEXAS,
LOCATED IN DALLAS, TEXAS, FEDERAL OR STATE, SHALL HAVE EXCLUSIVE JURISDICTION OF
ALL LEGAL ACTIONS ARISING OUT OF THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS.

                                       13
<PAGE>

         8.6 Waiver; Remedies Cumulative. The rights and remedies of the Parties
hereunder are cumulative and not alternative.  Neither any failure nor any delay
by any Party in exercising  any right,  power or privilege  under this Agreement
shall operate as a waiver of such right,  power or  privilege,  and no single or
partial exercise of any such right,  power or privilege shall preclude any other
or further  exercise of such right,  power or  privilege  or the exercise of any
other right,  power or privilege.  To the maximum extent permitted by applicable
law, (i) no claim or right  arising out of this  Agreement  can be discharged by
one  Party,  in whole or in part,  by a waiver or  renunciation  of the claim or
right unless made in writing and signed by each other Party; (ii) no waiver that
may be given by a Party shall be applicable  except in the specific instance for
which it is given; and (iii) no notice to or demand on one Party shall be deemed
to be a waiver  of any  obligation  of that  Party or of the  right of the Party
giving such notice or demand to take further  action without notice or demand as
provided in this Agreement or the documents referred to in this Agreement.

         8.7  Severability.   If  any  provision  of  this  Agreement,   or  the
application of any such provision to any person, entity or circumstance, is held
to be unenforceable  or invalid by any court of competent  jurisdiction or under
any applicable law, the validity and enforceability of the remaining  provisions
of this Agreement shall not be affected thereby. Without limiting the foregoing,
the covenants and obligations  contained in this Agreement shall be construed as
separate  covenants and obligations,  covering their respective subject matters.
Each breach of a covenant or obligation set forth in this  Agreement  shall give
rise to a separate and independent cause of action.

         8.8 Specific  Performance.  Each party hereto agrees that money damages
would  not be a  sufficient  remedy  for any  breach of the  provisions  of this
Agreement  by the any other party  hereto,  and that each party  hereto shall be
entitled to injunctive relief or specific performance as a remedy for any breach
hereof,  in addition to all other remedies  available at law or in equity to any
party hereto.

         8.9 Entire Agreement;  Modification.  This Agreement and the other Loan
Documents  collectively  constitute  the  entire and final  agreement  among the
Parties with respect to the subject matter hereof, and supersede and replace all
prior    agreements,    understandings,    commitments,    communications    and
representations made between the Parties,  whether written or oral, with respect
to the subject matter hereof.  This Agreement may not be amended,  supplemented,
or otherwise modified except by a written agreement executed by both Parties.

         8.10 No Assignment;  Successors and Assigns;  No Third-Party Rights. No
Party may assign any or all of his/its rights under this Agreement to any Person
without the prior written consent of the other Party.  Any attempted  assignment
or  assumption  without such written  consent shall be null and void and without
legal  effect.  Subject to the  foregoing,  this  Agreement  shall  apply to, be
binding in all respects  upon and inure to the benefit of the heirs,  executors,
personal  representatives,  successors  and  assigns  of  the  Parties.  Nothing
expressed or referred to in this Agreement shall be construed to give any Person
other than the Parties any legal or  equitable  right,  remedy or claim under or
with respect to this Agreement or any provision of this Agreement.

                                       14
<PAGE>

         8.11 Publicity.  Neither Investor nor the Company shall make any public
announcements  concerning  this  transaction  without  first  securing the prior
written  approval  of  the  other  party,  provided  that  neither  party  shall
unreasonably  withhold  or delay  their  approval  except  to  assure  that such
announcement   is  factually   correct  and  does  not   disclose   confidential
information;  provided, further, however, that the Parties acknowledge and agree
that this is a material contract to Investor, which is a publicly-traded company
that files  reports  under the  Securities  Exchange  Act of 1934,  and as such,
Investor  must  file  the  Loan  Agreements  with the  Securities  and  Exchange
Commission, and such filing will not require the consent of the Company.

         8.12  Execution of Agreement.  This Agreement may be executed in two or
more counterparts,  each of which shall be deemed to be an original copy and all
of which,  when taken  together,  shall be deemed to constitute one and the same
agreement.  The exchange of copies of this  Agreement and of signature  pages by
facsimile transmission shall constitute effective execution and delivery of this
Agreement  as to the Parties and may be used in lieu of the  original  Agreement
for all purposes.  Signatures of the Parties  transmitted by facsimile  shall be
deemed to be their original signatures for all purposes.

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

                                  PRIVATE ACCESS, INC

                                  By: /s/ Robert H. Shelton
                                  -------------------------
                                           Robert H. Shelton,
                                           President and Chief Executive Officer

                                  VIRTUAL HEALTH TECHNOLOGIES, INC.

                                  By: /s/ Scott A. Haire
                                  ----------------------
                                           Scott A. Haire,
                                           Chief Executive Officer

Each of the undersigned  stockholders of the Company, owning the number and type
of shares of capital stock set forth below their  respective names below (and in
the aggregate,  owning on the Execution Date approximately 59% of the issued and
outstanding shares of Common Stock), hereby executes this Agreement for the sole
purpose of being  bound by and subject to the  provisions  of Section 2.9 of the
Agreement.

                                       15
<PAGE>

                            /s/ W. Halden Conner
                            ----------------------------------------------------
                            Printed: W. Halden Conner

                            Type of Securities Owned:   Common Stock
                            Number of Shares Owned:   378,000

                            /s/ Robert H. Shelton
                            ----------------------------------------------------
                            Printed: Robert H. Shelton

                            Type of Securities Owned:   Common Stock
                            Number of Shares Owned:   360,000

                            ALLCARE HEALTH MANAGEMENT SYSTEM, INC.

                            By: /s/ W. Halden Conner
                            ------------------------
                                  W. Halden Conner, President

                            Type of Securities Owned:   Common Stock
                            Number of Shares Owned:   180,000

                            /s/ Thomas G. Plaskett
                            ----------------------------------------------------
                            Printed:   Thomas G. Plaskett

                            Type of Securities Owned:   Common Stock
                            Number of Shares Owned:   166,320

                            KEYSTONE EQUITY PARTNERS, LLC

                            By: /s/ Thomas Blanton
                            ----------------------
                                  Thomas Blanton, President

                            Type of Securities Owned:   Common Stock
                            Number of Shares Owned:   113,400

                                       16
<PAGE>

                                    EXHIBIT A
                                    ---------

                             Form of Promissory Note

                                       17
<PAGE>

                                  SCHEDULE 4.2

                         Form of Shareholders' Agreement

                                       18
<PAGE>
<TABLE>
<CAPTION>

                                  SCHEDULE 4.4

                    Issued and Outstanding Company ownership

                                                                 LLC Units             Post-Trigger (C Corp)
                                                                                   ------------------------------
Shareholder Name                                                  by Class         % Interest       # of Shares
                                                                -------------      -----------      -------------
<S>                                                             <C>                <C>              <C>
Class A
  Allcare Health Management System, Inc.                        9,000                   8.89%       180,000
                                                                -------------      -----------      -------------
       Total Class A Shareholders (1)                           9,000                   8.89%       180,000

Class B
  Allcare Health Management System, Inc. (Bonus Pool)           45                      0.40%       8,100

  Alter, Murray                                                 4                       0.04%       720

  Baird, Philip A.                                              53                      0.47%       9,540

  Barrett, Richard                                              36                      0.32%       6,480

  Billington, Carolyn                                           25                      0.22%       4,500

  Boehner, Leonard B.                                           18                      0.16%       3,240

  Britton, John P                                               7                       0.06%       1,260

  Bucher, Leah A.                                               90                      0.80%       16,200

  Cabunag, Georgina                                             2                       0.02%       360

  Conner, David                                                 71                      0.63%       12,780

  Conner, Gregory                                               71                      0.63%       12,780

  Conner, W. Halden                                             2,100                  18.67%       378,000

  Cornish, Sloan                                                71                      0.63%       12,780

  Cummings, Desmond D.                                          360                     3.20%       64,800

  Davidson, Richard                                             36                      0.32%       6,480

  Dewey, Elise                                                  14                      0.12%       2,520

  Ellis, Beatriz                                                7                       0.06%       1,260

  Ellis, William D.                                             7                       0.06%       1,260

  French, Edward D                                              5                       0.04%       900

  French, John H. Trustee                                       71                      0.63%       12,780

  French, John H., II                                           39                      0.35%       7,020

  French, Seth B.                                               5                       0.04%       900

  Gee, Edwin A                                                  2                       0.02%       360

  Glenn, Paul F. Revocable Trust                                18                      0.16%       3,240

  Goldfrank, Lionel III                                         7                       0.06%       1,260

  Greenburg, Arnold                                             4                       0.04%       720

  Hansen, Thes                                                  36                      0.32%       6,480

  Hansen, Thomas                                                50                      0.44%       9,000

  Hart, Andrew D.                                               53                      0.47%       9,540

  Hassell, Andrew M.                                            221                     1.96%       39,780

  Henry, Kathryn D.                                             90                      0.80%       16,200

  Hinricks, Bjorn                                               7                       0.06%       1,260

  Kaminsky, Gerald P                                            18                      0.16%       3,240

  Kaminsky, Martin I                                            18                      0.16%       3,240
  Keystone Equity Partners, LLC
       c/o Thomas Blanton, President                            630                     5.60%       113,400

  Kwak, Suky K.                                                 16                      0.14%       2,880

  Lebo, Dr. Steve W.                                            107                     0.95%       19,260

                                       19
<PAGE>

  Lindh, Henry C.B.                                             18                      0.16%       3,240

  Lusk, Ron                                                     113                     1.00%       20,340

  McNeill, Martin M                                             7                       0.06%       1,260

  Murphy, Gerald P.                                             18                      0.16%       3,240

  Muse, Albert                                                  1                       0.01%       180

  Ng, Brian                                                     36                      0.32%       6,480

  Niro, Raymond T.                                              228                     2.03%       41,040

  Norris, Deborah & Steve                                       71                      0.63%       12,780

  Nowak, Michael                                                29                      0.26%       5,220

  Payne, Hershel R.                                             43                      0.38%       7,740

  Peltzman, Steven                                              7                       0.06%       1,260

  Plaskett, Thomas G.                                           924                     8.21%       166,320

  Powell, Kathy F.                                              14                      0.12%       2,520

  Presnall, Dixon                                               18                      0.16%       3,240

  Rapp, Crystelle C.                                            71                      0.63%       12,780

  Shelton, Robert H.                                            2,000                  17.78%       360,000

  Sigalos, John L.                                              315                     2.80%       56,700

  Singer, Charles                                               450                     4.00%       81,000

  Sonn, Werner                                                  4                       0.04%       720

  Starkenburg, Mike                                             45                      0.40%       8,100

  Stevens, Byam                                                 7                       0.06%       1,260

  Stevens, Kate                                                 4                       0.04%       720

  Strafaci, Ralph                                               1                       0.01%       180

  Strauss, E. M.                                                18                      0.16%       3,240

  Trynin, Nathan K.                                             18                      0.16%       3,240

  Van Dine, Vance                                               7                       0.06%       1,260

  Waechter, James W.                                            4                       0.04%       720

  Walker, William                                               7                       0.06%       1,260

  Watts, Eric                                                   14                      0.12%       2,520

  Wharton, Michael                                              7                       0.06%       1,260

  Wheeler, Thomas. & Betsy                                      36                      0.32%       6,480

  White, Guy                                                    21                      0.19%       3,780

  Winterbotham, Chloe T.                                        5                       0.04%       900

  Wood, Patsy                                                   25                      0.22%       4,500
                                                                -------------      -----------      -------------
       Total Class B Shareholders (71)                                                 80.00%       1,620,000
                                                                9,000

Class C
  Adams, Pamela M.
       (Trustee for Pamela M. Adams Living Trust)               100                     0.49%       10,000

  Alter, Murray                                                 50                      0.25%       5,000

  Brutoco, Lalla D. (Trustee for Lalla D. Brutoco Trust)        100                     0.49%       10,000

  Deveau, Carolyn B.                                            100                     0.49%       10,000

  French II Jr., John H. (Trustee for John H. French)           100                     0.49%       10,000

  Goode, Ronald L. (Trustee for the Goode Family Trust)         100                     0.49%       10,000

  Hoag, M. Cassandra (Trustee for the Hoag Family Trust)        100                     0.49%       10,000

  Klieman M.D., Charles                                         200                     0.99%       20,000

  Lambright, J. Mark and Marcia L.                              100                     0.49%       10,000

  Lindh, Henry                                                  100                     0.49%       10,000

  McIlrath, Laureen and Patrick                                 100                     0.49%       10,000

  Mehta, Viren and Amita Rodman                                 200                     0.99%       20,000

  Neubeck, Peter                                                100                     0.49%       10,000

                                       20
<PAGE>

  O'Leary, Renee                                                100                     0.49%       10,000

  Park, Craig                                                   150                     0.74%       15,000

  Peltzman, Steven                                              100                     0.49%       10,000

  Stevens Jr., Byam K.                                          100                     0.49%       10,000

  Strauss, E. M.                                                50                      0.25%       5,000

  Van Lennep, Reinout F.                                        100                     0.49%       10,000

  Wheeler, Thomas E.                                            100                     0.49%       10,000
                                                                -------------      -----------      -------------
       Total Class C Shareholders (20)                                                 10.62%
                                                                2,150                               215,000

Vested Warrants
  Caesar, Vance                                                 23                      0.11%       2,300

  Goode, Ronald                                                 8                       0.04%       800

  Klieman M.D., Charles                                         53                      0.26%       5,300

  Kurtz, George                                                 8                       0.04%       800

  Lambright, J. Mark                                            8                       0.04%       800
                                                                -------------      -----------      -------------
       Total Vested Warrant Holders (5)                         100                     0.49%       10,000
                                                                                   -----------      -------------
    All Shareholders and Vested Warrant Holders (97)            20,250                100.00%        2,025,000
                                                                =============      ===========      =============

Contingent Warrants
  Caesar, Vance                                                 25                     -            2,500

  Goode, Ronald                                                 8                      -            800

  Jones, Leroy E.                                               8                      -            800

  Klieman M.D., Charles                                         8                      -            800

  Kurtz, George                                                 8                      -            800

  Lambright, J. Mark                                            8                      -            800

  Boanta, Michael                                               203                    -            20,300

  Francisco, Cris                                               112                    -            11,200

  Ghazarian, Rafi                                               130                    -            13,000

  Hoag, M. Cassandra                                            1,540                  -            154,000

  Kirshbaum, Marc                                               100                    -            10,000

  Seder, Bruce                                                  125                    -            12,500

  Titov, William                                                140                    -            14,000
                                                                -------------      -----------      -------------
       Total Contingent Warrant Holders (13)                    2,350                  -            241,500
                                                                -------------      -----------      -------------
    All Shareholders, Including Contingent Warrants (110)       22,600                 -              2,266,500
                                                                =============      ===========      =============

</TABLE>

                                       21
<PAGE>

                                  SCHEDULE 4.5

                          Company Financial Statements

                               Private Access, LLC
                             Statement of Operations
              From Inception (December 1, 2006) - February 29, 2008

                                                  Total for
                                                   Period

Total Income               $--
Total Cost of Goods Sold   $--
                           -----
Gross Profit               $--

Operating Expenses

  Advertising Expense                      100.00

  Amortization Expense                   2,176.00

  Auto Expense                              48.75

  Bank Service Charges                     204.00

  Benefits                               3,881.74

  Consulting Services                  390,965.48

  Dues and Subscriptions                 3,555.15

  Marketing                              1,269.46

  Local Meetings & Meals                   158.43

  Miscellaneous                          1,333.16

  Office Equipment                         840.49

  Office Supplies                        2,413.85

  Postage & Delivery                       668.52

  Printing and Reproduction              1,737.35

  Professional Development                 225.00

  Professional Fees                        233.33

  Legal Fees                            28,087.79

  Salary Reimbursement                  44,451.86

  Taxes                                    200.00

  Telephone, Fax & Internet              4,913.23

  Car Rental                             1,533.34

  Entertainment                             93.26

  Lodging                                7,147.83

  Meals                                  3,770.63

  Miscellaneous Travel                   1,030.19

  Airfare & Other Transportation        26,586.33
                                   --------------
Total Operating Expenses           $   527,625.17

Net Operating Income               $  (527,625.17

Other Income / (Expense)                   160.00
                                   --------------
Net Income                         $   527,785.17
                                   ==============

                                       22
<PAGE>

                               Private Access, LLC
                                  Balance Sheet
                             As of February 29, 2008

                                    -------------------
                                           Total
                                    -------------------
 ASSETS
  Current Assets

    Bank Accounts                        11,752.06

    Other Current Assets                     (4.23)
                                    --------------
  Total Current Assets              $    11,747.83

  Fixed Assets

    Patents                             165,000.00

      Amortization - Patents             (2,110.00)
                                    --------------
    Total Patents                       162,890.00

    Set Up Costs                          5,158.00

      Amortization - Set Up Costs           (66.00)
                                    --------------

    Total Set Up Costs                    5,092.00
                                    --------------
  Total Fixed Assets                $   167,982.00
                                    --------------
     TOTAL ASSETS                   $   179,729.83
                                    ==============

LIABILITIES AND EQUITY
  Liabilities
    Current Liabilities

      Accounts Payable                     --
      Credit Cards                        2,812.24
      Other Current Liabilities            --
                                    --------------
    Total Current Liabilities             2,812.24

    Long Term Liabilities                  --
                                    --------------
  Total Liabilities                 $     2,812.24

  Equity

    Initial Capitalization              195,000.00
    Seed Round - Class C                537,500.00
                                    --------------
    Total Investment                    732,500.00
    Opening Balance Equity               (2,812.24)
    Retained Earnings                  (445,195.67)
    Net Income                         (107,574.50)
                                    --------------
    Total Equity                    $   176,917.59
                                    --------------
TOTAL LIABILITIES AND EQUITY        $   179,729.83
                                    ==============

<PAGE>

                                  SCHEDULE 4.10

                        Collateral Assets of the Company

Issued patents and patent rights -

     US Patent Number 6,345,260
     US Patent Number 7,028,049

Currently pending patent applications -

     US  Patent  Application  Number  11/231,561,  filed on  September  21, 2005
         (Published   on  June  26,  2006  as  US  Patent   Publication   Number
         2006/0020622)
     US Patent Application Number 12/031,987, filed on February 15, 2008

Non-Exclusive Licensees of the foregoing patents* --

     Advance PCS
     Argus Health Systems, Inc.
     Baxter Healthcare Corporation and Baxter International
     Caremark Rx, Inc.
     Cerner Corporation
     Eclipsys Solutions Corp.
     Epic Systems, Inc.
     Express Scripts, Inc. and Diversified Pharmaceuticals, Inc.
     First Health Group Corp. and First Health Services Corp.
     GE Medical Systems, Inc. and General Electric Company
     Harvard Pilgrim Health Care, Inc.
     IDX Systems Corporation
     McKesson HBOC, Inc.
     Merck-Medco Managed Care, LLC and Merck & Co.
     National Prescription Administrators, Inc. (NPA)
     PCS Health Systems, Inc.
     WebMD Corporation and its wholly owned subsidiary Envoy Corporation

* Before Private Access was organized,  the patents  acquired by assignment were
owned by Allcare Health Management Systems,  Inc. (herein "Allcare").  Allcare's
primary business was the licensing and enforcement of U.S. Patent 5,301,105 (the
"'105 patent"). Although Private Access has no economic or legal interest in the
'105 patent,  and received no financial benefit  whatsoever from the '105 patent
or any of Allcare's  licensing  and/or  enforcement  activity,  between 2000 and
2004, Allcare entered into fully paid-up non-exclusive,  non-assignable licenses
with the seventeen (17) companies listed above, the terms of which non-exclusive
licenses  convey  rights under  Allcare's  patents,  including  the patents that
Private Access subsequently acquired from Allcare, and any other U.S. or foreign
patent, utility model or application, divisional, substitution, continuation, or
continuation-in-part  application,  extension, reissue or reexamination patents,
or any other  patent or patent  application  based on or relying for priority on
these patents.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00142-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00142-of-00352.parquet"}]]