Document:

AGREEMENT
AND PLAN OF MERGER

     

    by
and among

     

    BERLINER
COMMUNICATIONS, INC.,

     

    BCI
EAST, INC.,

     

    RICH
BERLINER (as Parent Representative),

     

    HM
CAPITAL PARTNERS LLC (as Company Representative)

     

    and

     

    UNITEK
HOLDINGS, INC.

     

    Dated
as of January 27, 2010

    
      
        
          	
                   

                

        

      

    

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    TABLE
OF CONTENTS

    (continued)

     

    
      
        
          
            
              
                
                  
                    
                      	
                               
      

                            	 	 
      	
                              Page

                            
	 
      	 	 
      	 
      
	
                              ARTICLE
      I

                            	
                              DEFINITIONS

                            	
                              2

                            
	
                              ARTICLE
      II

                            	
                              THE
      MERGER

                            	
                              13

                            
	
                              2.1

                            	 	
                              The
      Merger

                            	
                              13

                            
	
                              2.2

                            	 	
                              Effective
      Time

                            	
                              13

                            
	
                              2.3

                            	
                               

                            	
                              Effects
      of Merger

                            	
                              13

                            
	
                              2.4

                            	 	
                              Certificate
      of Incorporation and Bylaws of the Surviving Corporation

                            	
                              14

                            
	
                              2.5

                            	 	
                              Directors
      and Officers of the Surviving Corporation

                            	
                              14

                            
	
                              ARTICLE
      III

                            	
                              MERGER
      CONSIDERATION; CONVERSION OF SECURITIES

                            	
                              14

                            
	
                              3.1

                            	 	
                              Effect
      on Securities of the Company

                            	
                              14

                            
	
                              3.2

                            	 	
                              Company
      Common Stock and Company Preferred Stock Owned by the Company, Merger Sub
      or Parent

                            	
                              15

                            
	
                              3.3

                            	 	
                              Effect
      on Capital Stock of Merger Sub

                            	
                              15

                            
	
                              3.4

                            	 	
                              Indemnity
      Shares

                            	
                              16

                            
	
                              3.5

                            	 	
                              Appraisal
      Rights

                            	
                              16

                            
	
                              3.6

                            	 	
                              Exchange
      of Shares

                            	
                              17

                            
	
                              3.7

                            	 	
                              Withholding
      Taxes

                            	
                              19

                            
	
                              ARTICLE
      IV

                            	
                              CLOSING
      AND DELIVERIES

                            	
                              19

                            
	
                              4.1

                            	 	
                              Closing

                            	
                              19

                            
	
                              4.2

                            	 	
                              Deliveries
      of the Company

                            	
                              20

                            
	
                              4.3

                            	 	
                              Deliveries
      of Parent

                            	
                              21

                            
	
                              ARTICLE
      V

                            	
                              REPRESENTATIONS
      AND WARRANTIES RELATING TO THE COMPANY

                            	
                              22

                            
	
                              5.1

                            	
                                

                            	
                              Organization
      and Standing

                            	
                              22

                            
	
                              5.2

                            	 	
                              Authority,
      Validity and Effect

                            	
                              22

                            
	
                              5.3

                            	 	
                              Capitalization

                            	
                              23

                            
	
                              5.4

                            	 	
                              Subsidiaries

                            	
                              24

                            
	
                              5.5

                            	 	
                              No
      Conflict; Required Filings and Consents

                            	
                              24

                            
	
                              5.6

                            	 	
                              Financial
      Statements

                            	
                              25

                            
	
                              5.7

                            	 	
                              Taxes

                            	
                              26

                            
	
                              5.8

                            	 	
                              Title
      to Properties

                            	
                              27

                            

                    

                  

                

              

            

          

        

      

    

    
      
         

      

      
        i

        
          

        

      

      
         

      

    

    TABLE
OF CONTENTS

    (continued)

     

    
      
        
          
            
              
                	 
      	 	 
      	
                        Page

                      
	 	 	 	 
	
                        5.9  
      

                      	 	
                        Real
      Property

                      	
                        27

                      
	
                        5.10

                      	 	
                        Compliance
      with Laws

                      	
                        28

                      
	
                        5.11

                      	 	
                        Permits

                      	
                        28

                      
	
                        5.12

                      	 	
                        Employee
      Benefits and Labor Matters

                      	
                        28

                      
	
                        5.13

                      	 	
                        Material
      Contracts

                      	
                        30

                      
	
                        5.14

                      	 	
                        Legal
      Proceedings

                      	
                        32

                      
	
                        5.15

                      	 	
                        Intellectual
      Property

                      	
                        32

                      
	
                        5.16

                      	 	
                        Insurance

                      	
                        34

                      
	
                        5.17

                      	 	
                        Environmental
      Matters

                      	
                        34

                      
	
                        5.18

                      	 	
                        Absence
      of Certain Changes or Events

                      	
                        35

                      
	
                        5.19

                      	 	
                        Customers
      and Suppliers

                      	
                        37

                      
	
                        5.20

                      	 	
                        No
      Brokers; Management Agreements

                      	
                        37

                      
	
                        5.21

                      	 	
                        No
      Undisclosed Liabilities

                      	
                        38

                      
	
                        5.22

                      	 	
                        Required
      Vote of the Company Stockholders

                      	
                        38

                      
	
                        5.23

                      	 	
                        Debt

                      	
                        38

                      
	
                        5.24

                      	 	
                        Restated
      Financial Statements

                      	
                        38

                      
	
                        5.25

                      	 	
                        No
      Additional Representations

                      	
                        39

                      
	
                        ARTICLE
      VI

                      	
                        REPRESENTATIONS
      AND WARRANTIES OF PARENT AND MERGER SUB

                      	
                        39

                      
	
                        6.1  
      

                      	 	
                        Organization
      and Standing

                      	
                        39

                      
	
                        6.2  
      

                      	 	
                        Authority,
      Validity and Effect

                      	
                        39

                      
	
                        6.3  
      

                      	 
       	
                        Capitalization

                      	
                        40

                      
	
                        6.4  
      

                      	 	
                        Subsidiaries

                      	
                        41

                      
	
                        6.5  
      

                      	 	
                        No
      Conflict; Required Filings and Consents

                      	
                        41

                      
	
                        6.6  
      

                      	 	
                        Financial
      Statements; SEC Filings

                      	
                        42

                      
	
                        6.7  
      

                      	 	
                        Internal
      Controls and Procedures

                      	
                        43

                      
	
                        6.8  
      

                      	 	
                        Taxes

                      	
                        43

                      
	
                        6.9  
      

                      	 
       	
                        Title
      to Properties

                      	
                        44

                      
	
                        6.10

                      	 	
                        Real
      Property

                      	
                        44

                      
	
                        6.11

                      	 	
                        Compliance
      with Laws

                      	
                        45

                      

              

            

          

        

      

    

    
      
         

      

      
        ii

        
          

        

      

      
         

      

    

    TABLE
OF CONTENTS

    (continued)

    

    
      
        
          
            
              
                	 
      	 	 
      	
                        Page

                      
	 	 	 	 
	
                        6.12

                      	 	
                        Permits

                      	
                        45

                      
	
                        6.13

                      	 	
                        Employee
      Benefits and Labor Matters

                      	
                        46

                      
	
                        6.14

                      	 	
                        Material
      Contracts

                      	
                        47

                      
	
                        6.15

                      	 	
                        Legal
      Proceedings

                      	
                        49

                      
	
                        6.16

                      	 	
                        Intellectual
      Property

                      	
                        49

                      
	
                        6.17

                      	 	
                        Insurance

                      	
                        51

                      
	
                        6.18

                      	 	
                        Environmental
      Matters

                      	
                        51

                      
	
                        6.19

                      	 	
                        Absence
      of Certain Changes or Events

                      	
                        52

                      
	
                        6.20

                      	 	
                        Customers
      and Suppliers

                      	
                        54

                      
	
                        6.21

                      	 	
                        No
      Brokers

                      	
                        54

                      
	
                        6.22

                      	 	
                        Opinion
      of Financial Advisors

                      	
                        54

                      
	
                        6.23

                      	 	
                        No
      Undisclosed Liabilities

                      	
                        54

                      
	
                        6.24

                      	 	
                        Antitakeover
      Statutes and Related Matters

                      	
                        55

                      
	
                        6.25

                      	 	
                        No
      Additional Representations

                      	
                        55

                      
	
                        ARTICLE
      VII

                      	
                        COVENANTS
      AND AGREEMENTS

                      	
                        55

                      
	
                        7.1  
      

                      	 	
                        Charter
      Amendment; Conversion of Parent Series A Preferred

                      	
                        55

                      
	
                        7.2  
      

                      	 	
                        Controlling
      Stockholders

                      	
                        56

                      
	
                        7.3  
      

                      	 	
                        Special
      Committee; Certain Negative Covenants

                      	
                        56

                      
	
                        7.4  
      

                      	  	
                        Company
      Stock Options

                      	
                        57

                      
	
                        7.5  
      

                      	 	
                        Indemnification

                      	
                        58

                      
	
                        7.6  
      

                      	 	
                        Further
      Assurances; Cooperation

                      	
                        59

                      
	
                        7.7  
      

                      	 	
                        Employees
      and Employee Benefits

                      	
                        59

                      
	
                        7.8  
      

                      	 	
                        Certain
      Transfer Taxes

                      	
                        60

                      
	
                        7.9  
      

                      	 	
                        Section
      16 Matters

                      	
                        60

                      
	
                        7.10

                      	 	
                        Parent
      Board

                      	
                        61

                      
	
                        7.11

                      	 	
                        Repayment
      of Parent Indebtedness

                      	
                        61

                      
	
                        ARTICLE
      VIII

                      	
                        CONDITION
      TO CLOSING; TERMINATION OF AGREEMENT

                      	
                        61

                      
	
                        8.1  
      

                      	 	
                        Condition
      to Each Party’s Obligation to Effect the Merger

                      	
                        61

                      
	
                        8.2  
      

                      	 	
                        Termination

                      	
                        61

                      

              

            

          

        

      

    

    
      
         

      

      
        iii

        
          

        

      

      
         

      

    

    TABLE
OF CONTENTS

    (continued)

     

    
      
        
          
            
              
                
                  	 
      	 	 
      	
                          Page

                        
	 	 	 	 
	
                          ARTICLE
      IX

                        	
                          SURVIVAL
      OF REPRESENTATIONS, WARRANTIES AND COVENANTS; INDEMNIFICATION;
      LIMITATIONS

                        	
                          62

                        
	
                          9.1
          

                        	 	
                          Survival
      of Representations, Warranties and Covenants

                        	
                          62

                        
	
                          9.2  
        

                        	 	
                          Indemnification
      for Parent Claims

                        	
                          62

                        
	
                          9.3
          

                        	 	
                          Indemnification
      for Company Claims

                        	
                          62

                        
	
                          9.4
          

                        	 	
                          Limitations

                        	
                          63

                        
	
                          9.5
          

                        	 	
                          Procedures

                        	
                          64

                        
	
                          9.6
          

                        	 	
                          Company
      Representative

                        	
                          67

                        
	
                          9.7  
       

                        	 	
                          Parent
      Representative

                        	
                          68

                        
	
                          ARTICLE
      X

                        	
                          MISCELLANEOUS
      AND GENERAL

                        	
                          68

                        
	
                          10.1  
      

                        	 	
                          Specific
      Performance

                        	
                          68

                        
	
                          10.2  
      

                        	 	
                          Expenses

                        	
                          68

                        
	
                          10.3  
      

                        	 	
                          Successors
      and Assigns

                        	
                          69

                        
	
                          10.4  
      

                        	 	
                          Third
      Party Beneficiaries

                        	
                          69

                        
	
                          10.5  
      

                        	 	
                          Notices

                        	
                          69

                        
	
                          10.6  
      

                        	 	
                          Complete
      Agreement

                        	
                          71

                        
	
                          10.7  
      

                        	 	
                          Captions;
      References

                        	
                          71

                        
	
                          10.8  
      

                        	 	
                          Amendment

                        	
                          72

                        
	
                          10.9  
      

                        	 	
                          Waiver

                        	
                          72

                        
	
                          10.10

                        	 	
                          Governing
      Law

                        	
                          72

                        
	
                          10.11

                        	 	
                          Waiver
      of Jury Trial

                        	
                          72

                        
	
                          10.12

                        	 	
                          Venue

                        	
                          72

                        
	
                          10.13

                        	 	
                          Exclusive
      Jurisdiction

                        	
                          72

                        
	
                          10.14

                        	 	
                          Severability

                        	
                          73

                        
	
                          10.15

                        	 	
                          Non-Recourse

                        	
                          73

                        
	
                          10.16

                        	 	
                          Counterparts;
      Electronic Transmission

                        	
                          73

                        

                

              

            

          

        

      

    

    
      
         

      

      
        iv

        
          

        

      

      
         

      

    

    EXHIBITS
AND SCHEDULES

    (continued)

    

    
      
        
          
            
              
                
                  	
                          Exhibits

                        	 
      
	
                          Exhibit
      A

                        	
                          Certificate
      of Merger

                        
	
                          Exhibit
      B

                        	
                          Certificate
      of Incorporation of the Surviving Corporation

                        
	
                          Exhibit
      C

                        	
                          Bylaws
      of the Surviving Corporation

                        
	
                          Exhibit
      D

                        	
                          Substitute
      Warrant

                        
	
                          Exhibit
      E

                        	
                          Escrow
      Agreement

                        
	
                          Exhibit
      F

                        	
                          Letter
      of Transmittal

                        
	
                          Exhibit
      G

                        	
                          Credit
      Support Agreement

                        
	
                          Exhibit
      H

                        	
                          Indemnity
      Priority Agreement

                        
	
                          Exhibit
      I

                        	
                          Registration
      Rights Agreement

                        
	
                          Exhibit
      J

                        	
                          D&O
      Indemnification Agreement

                        
	
                          Exhibit
      K

                        	
                          Amended
      and Restated Parent Certificate of Incorporation

                        
	
                          Exhibit
      L

                        	
                          Voting
      Agreement

                        
	
                          Exhibit
      M

                        	
                          Initial
      Parent Directors

                        
	
                          Exhibit
      N

                        	
                          Affiliated
      Parties

                        
	 
      	 
      
	
                          Schedules

                        	 
      
	
                          Schedule
      4.2(n)

                        	
                          Company
      Required Consents

                        
	
                          Schedule
      4.3(d)

                        	
                          Director
      and Officer Resignations

                        
	
                          Schedule
      4.3(i)

                        	
                          D&O
      Indemnification Agreement Parties

                        
	
                          Schedule
      4.3(l)

                        	
                          Amendments
      to Employment Agreements

                        
	
                          Schedule
      4.3(m)

                        	
                          Parent
      Required Consents

                        
	 
      	 
      
	
                          Disclosure Schedules

                        
	
                          Schedule
      5.3

                        	
                          Capitalization
      of the Company

                        
	
                          Schedule
      5.4

                        	
                          Subsidiaries
      of the Company

                        
	
                          Schedule
      5.5(a)

                        	
                          No
      Conflict

                        
	
                          Schedule
      5.5(b)

                        	
                          Required
      Filings and Consents

                        
	
                          Schedule
      5.6

                        	
                          Company
      Financial Statements

                        
	
                          Schedule
      5.7

                        	
                          Taxes

                        
	
                          Schedule
      5.9(a)

                        	
                          Company
      Owned Real Property

                        
	
                          Schedule
      5.9(b)

                        	
                          Company
      Leased Real Property

                        
	
                          Schedule
      5.12(a)

                        	
                          Company
      Plans

                        
	
                          Schedule
      5.12(g)

                        	
                          Effect
      of Transaction on Company Plans

                        
	
                          Schedule
      5.12(i)

                        	
                          Company
      Labor Issues

                        
	
                          Schedule
      5.13

                        	
                          Company
      Material Contracts

                        
	
                          Schedule
      5.14

                        	
                          Legal
      Proceedings

                        
	
                          Schedule
      5.15(a)

                        	
                          Company
      Registered Intellectual Property

                        
	
                          Schedule
      5.15(f)

                        	
                          Company
      Software

                        
	
                          Schedule
      5.16(a)

                        	
                          Company
      Policies

                        
	
                          Schedule
      5.16(b)

                        	
                          Status
      of Company Policies

                        
	
                          Schedule
      5.18

                        	
                          Absence
      of Certain Changes or
Events

                        

                

              

            

          

        

      

    

    
      
         

      

      
        v

        
          

        

      

      
         

      

    

    EXHIBITS
AND SCHEDULES

    (continued)

    

    
      	
              Schedule
      5.19

            	
              Company
      Customers and Suppliers

            
	
              Schedule
      5.20

            	
              No
      Brokers

            
	
              Schedule
      5.21

            	
              No
      Undisclosed Liabilities

            
	
              Schedule
      5.23

            	
              Debt

            
	
              Schedule
      6.3

            	
              Capitalization
      of Parent

            
	
              Schedule
      6.4

            	
              Subsidiaries
      of Parent

            
	
              Schedule
      6.5(a)

            	
              No
      Conflict

            
	
              Schedule
      6.5(b)

            	
              Required
      Filings and Consents

            
	
              Schedule
      6.6

            	
              Parent
      Financial Statements

            
	
              Schedule
      6.7

            	
              Internal
      Controls and Procedures

            
	
              Schedule
      6.8

            	
              Taxes

            
	
              Schedule
      6.10(a)

            	
              Parent
      Owned Real Property

            
	
              Schedule
      6.10(b)

            	
              Parent
      Leased Real Property

            
	
              Schedule
      6.13(a)

            	
              Parent
      Plans

            
	
              Schedule
      6.13(g)

            	
              Effect
      of Transaction on Parent Plans

            
	
              Schedule
      6.14

            	
              Parent
      Material Contracts

            
	
              Schedule
      6.15

            	
              Legal
      Proceedings

            
	
              Schedule
      6.16(a)

            	
              Parent
      Registered Intellectual Property

            
	
              Schedule
      6.16(f)

            	
              Parent
      Software

            
	
              Schedule
      6.17(a)

            	
              Parent
      Policies

            
	
              Schedule
      6.17(b)

            	
              Status
      of Parent Policies

            
	
              Schedule
      6.20

            	
              Parent
      Customers and Suppliers

            
	
              Schedule
      6.21

            	
              No
      Brokers

            
	
              Schedule
      6.23

            	
              No
      Undisclosed Liabilities

            

    

    
      
         

      

      
        vi

        
          

        

      

      
         

      

    

    AGREEMENT AND PLAN OF
MERGER

     

    THIS
AGREEMENT AND PLAN OF MERGER (this “Agreement”),
is dated as of January 27, 2010, by and among Berliner Communications, Inc., a
Delaware corporation (“Parent”),
BCI East, Inc., a Delaware corporation and wholly-owned subsidiary of Parent
(“Merger
Sub”), Unitek Holdings, Inc., a Delaware corporation (the “Company”),
Rich Berliner (solely in his capacity as Parent Representative) (the “Parent
Representative”) and HM Capital Partners LLC (solely in its capacity as
Company Representative) (the “Company
Representative”).

     

    RECITALS

     

    A.          The
parties hereto intend that Merger Sub be merged with and into the Company (the
“Merger”),
with the Company surviving the Merger as a wholly-owned subsidiary of
Parent.

     

    B.           The
board of directors of the Company (the “Company
Board”) has unanimously (i) determined that it is in the best
interests of the Company and its stockholders, and declared it advisable, to
enter into this Agreement, (ii) approved the execution, delivery and
performance of this Agreement and the consummation of the transactions
contemplated hereby, including the Merger, and (iii) resolved to recommend
approval of this Agreement and the transactions contemplated hereby by the
stockholders of the Company.

     

    C.           The
board of directors of Parent (the “Parent
Board”) has unanimously (i) determined that it is in the best
interests of Parent and its stockholders, and declared it advisable, to enter
into this Agreement, and (ii) approved the execution, delivery and
performance of this Agreement and the consummation of the transactions
contemplated hereby, including the Merger.

     

    D.           Parent,
as the sole stockholder of Merger Sub, has approved this Agreement and the
transactions contemplated hereby, including the Merger.

     

    E.           The
parties hereto intend, for United States Federal income tax purposes, that the
Merger shall constitute a “reorganization” within the meaning of Section 368(a)
of the Code and that this Agreement shall constitute a “plan of reorganization”
within the meaning of Sections 354 and 361 of the Code.

     

    NOW,
THEREFORE, in consideration of the foregoing and the respective representations,
warranties, covenants and agreements set forth herein, and subject to the terms
and conditions set forth herein, the parties hereto hereby agree as
follows:

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ARTICLE
I

     

    DEFINITIONS

     

    For
purposes of this Agreement:

     

    “Actions”
means any claim, action, suit, inquiry, indictment, demand, hearing,
investigation, legal proceeding, administrative enforcement proceeding or
arbitration proceeding by or before any Governmental Authority.

     

    “Affiliate”
means with respect to any Person, any other Person that directly or indirectly
controls, is controlled by or is under common control with such
Person.  For the purposes of this definition, “control” means the
possession, directly or indirectly, of the power to direct the management and
policies of a Person whether through Contract, the ownership of voting
securities or otherwise.

     

    “Affiliated
Party” means any Person listed on Exhibit N.

     

    “Agreed
Claims” has the meaning set forth in Section 9.5(c).

     

    “Agreement”
has the meaning set forth in the preamble.

     

    “Appraisal
Shares” has the meaning set forth in Section 3.5.

     

    “BMO Loan”
shall mean the BMO Loan, as defined in the Credit Support
Agreement.

     

    “BMO Loan
Agreement” shall mean the BMO Loan Agreement, as defined in the Credit
Support Agreement.

     

    “BMO Loan
Documents” shall mean the BMO Loan, the BMO Note and the BMO Loan
Agreement.

     

    “BMO Note”
shall mean the BMO Note, as defined in the Credit Support
Agreement.

     

    “Business
Day” means any day other than a Saturday, Sunday or a day on which banks
in New York, New York are authorized or obligated by Law or executive order to
close.

     

    “Certificate of
Merger” has the meaning set forth in Section 2.2.

     

    “Charter
Amendment” has the meaning set forth in Section 7.1.

     

    “Closing”
has the meaning set forth in Section 4.1.

     

    “Closing
Date” has the meaning set forth in Section 4.1.

     

    “Code”
means the U.S. Internal Revenue Code of 1986, as amended, and the rules and
regulations promulgated thereunder.

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    “Common
Share” has the meaning set forth in Section 3.1(a).

     

    “Common Stock
Exchange Ratio” has the meaning set forth in Section 3.1(a).

     

    “Company”
has the meaning set forth in the preamble.

     

    “Company 2007
Common Stock Purchase Warrants” means those certain common stock purchase
warrants, each dated as of September 27, 2007, of the Company issued pursuant to
that certain Membership Interests Purchase Agreement, dated as of September 27,
2007, by and among Unitek USA, LLC, Unitek Acquisition, Inc. and the other
parties signatory thereto.

     

    “Company 2007
Financial Statements” has the meaning set forth in Section
5.6(a).

     

    “Company AMBB
Warrants” means those certain common stock purchase warrants of the
Company issuable as a contingent payment pursuant to that certain Asset Purchase
Agreement (as amended), dated as of October 2, 2009, by and among FTS USA, LLC,
AMBB LLC, Steven Nickel, Edward Reynolds, Cliff Sylvestre and David
Sylvestre.

     

     “Company Balance
Sheet” has the meaning set forth in Section 5.6(a).

     

    “Company Balance
Sheet Date” has the meaning set forth in Section 5.6(a).

     

    “Company
Board” has the meaning set forth in the recitals.

     

    “Company
Claim” has the meaning set forth in Section 9.5(b).

     

    “Company Common
Stock” has the meaning set forth in Section 3.1(a).

     

    “Company
Designee” has the meaning set forth in Section 7.10.

     

    “Company
Documents” has the meaning set forth in Section 5.2.

     

    “Company Financial
Statements” has the meaning set forth in Section 5.6(a).

     

    “Company
Indemnified Parties” has the meaning set forth in Section 9.3.

     

    “Company Indemnity
Shares” has the meaning set forth in Section 9.3.

     

    “Company
Intellectual Property” means all Intellectual Property and Technology
owned, used or held for use by the Company or any of its
Subsidiaries.

     

    “Company Interim
Financial Statements” has the meaning set forth in Section 5.6(a).

     

    “Company Leased
Real Property” means all leasehold or subleasehold estates and other
rights to use or occupy any land, buildings, structures, improvements, fixtures,
or other interests in real property used in the operation of the businesses of,
or otherwise held by, the Company or any of its Subsidiaries.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    “Company
Leases” means all leases, subleases, licenses, concessions and other
agreements, including all amendments, extensions, renewals, and other agreements
with respect thereto, pursuant to which the Company or any of its Subsidiaries
holds or has, or gives others, the right to use any Company Leased Real
Property.

     

    “Company Material
Contracts” has the meaning set forth in Section 5.13.

     

    “Company Owned
Real Property” means all land, together with all buildings, structures,
improvements and fixtures located thereon, and all easements and other rights
and interests appurtenant thereto, owned by the Company or any of its
Subsidiaries.

     

    “Company
Permits” has the meaning set forth in Section 5.11.

     

    “Company
Plans” has the meaning set forth in Section 5.12(a).

     

    “Company
Policies” has the meaning set forth in Section 5.16(a).

     

    “Company Preferred
Stock” has the meaning set forth in Section 3.1(a).

     

    “Company
Representative” has the meaning set forth in Section 9.6(a).

     

    “Company
Software” has the meaning set forth in Section
5.15(f).

     

    “Company Stock
Option” means any option to acquire shares of Company Common
Stock.

     

    “Company Stock
Option Plan” means the Unitek Holdings, Inc. 2007 Equity Incentive Plan,
as amended.

     

    “Company
Stockholder Approval” has the meaning set forth in Section
5.22.

     

    “Company Year-End
Financial Statements” has the meaning set forth in Section 5.6(a).

     

    “Company’s
Knowledge” means the actual knowledge of Scott Hisey, Pete Giacalone, Ron
Lejman, Joel Rivas, Michael Hisey, Elizabeth Downey, Daniel Yannantuono, Kenneth
Wiltse, Ralph Perkins and Kevin McClelland.

     

    “Confidentiality
Agreement” has the meaning set forth in Section 8.2.

     

    “Consent”
means any consent, approval, authorization, qualification, waiver, filing,
notice or registration required to be obtained from, filed with or delivered to
any Person in connection with the consummation of the transactions contemplated
hereby.

     

    “Continuing
Director Designee” has the meaning set forth in Section
7.3.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

     

    “Contract”
means any contract, lease, license, note, mortgage, indenture, arrangement or
other agreement or obligation (including any amendments and other modifications
thereto), whether written or oral.

     

    “Controlling
Stockholders” has the meaning set forth in Section 7.2.

     

    “Credit Support
Agreement” has the meaning set forth in Section 4.2(e).

     

    “D&O
Indemnified Party” has the meaning set forth in Section 7.5(b).

     

    “Deductible
Amount” has the meaning set forth in Section 9.4(b).

     

    “DGCL” has
the meaning set forth in Section 2.1.

     

    “Effective
Time” has the meaning set forth in Section 2.2.

     

    “Environment”
means soil, surface water, groundwater, stream sediments, natural resources and
ambient air.

     

    “Environmental
Costs and Liabilities” means, with respect to any Person, all
liabilities, obligations, responsibilities, remedial actions, losses, damages
(including punitive damages and consequential damages) costs and expenses
(including all reasonable fees, disbursements and expenses of counsel, experts
and consultants and costs of investigation and feasibility studies), fines,
penalties, sanctions and interest incurred as a result of any claim or demand by
any other Person or in response to any violation of Environmental Law, whether
known or unknown, accrued or contingent, whether based in contract, tort,
implied or express warranty, strict liability, criminal or civil statute or
otherwise, to the extent based upon, related to, or arising under or pursuant to
any Environmental Law, Environmental Permit, Order or agreement with any
Governmental Authority or other Person, which relates to any environmental,
health or safety condition, violation of Environmental Law or a release or
threatened release of Hazardous Materials.

     

    “Environmental
Law” means any Law in any way relating to the protection of human health
and safety, the Environment or natural resources including the Comprehensive
Environmental Response, Compensation and Liability Act (42 U.S.C. § 9601
et seq.), the Hazardous
Materials Transportation Act (49 U.S.C. App. § 1801 et seq.), the Resource
Conservation and Recovery Act (42 U.S.C. § 6901 et seq.), the Clean
Water Act (33 U.S.C. § 1251 et seq.), the Clean Air
Act (42 U.S.C. § 7401 et seq.) the Toxic
Substances Control Act (15 U.S.C. § 2601 et seq.), the Federal
Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. § 136 et seq.), and the
Occupational Safety and Health Act (29 U.S.C. § 651 et seq.), as each has
been or may be amended and the regulations promulgated pursuant
thereto.

     

    “Environmental
Permit” means, with respect to any Person, any Permit required by
Environmental Laws for the operation of such Person and its
Subsidiaries.

     

    “ERISA” has
the meaning set forth in Section 5.12(a).

     

    “Escrow
Agent” has the meaning set forth in Section 3.4(a).

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

     

    “Escrow
Agreement” has the meaning set forth in Section 3.4(a).

     

    “Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules
and regulations promulgated thereunder.

     

    “Exchange
Agent” has the meaning set forth in Section
3.6(a).

     

    “Exchange
Fund” has the meaning set forth in Section
3.6(a).

     

    “Former Company
Stockholders” means the stockholders of the Company immediately prior to
the Effective Time.

     

    “GAAP”
means United States generally accepted accounting principles as in effect at any
applicable time.

     

    “General
Enforceability Exceptions” has the meaning set forth in Section 5.2.

     

    “Governmental
Authority” means any government or political subdivision, whether
federal, national, state, provincial, local or foreign, or any agency,
regulatory or administrative authority or commission of any such government or
political subdivision, or any federal, state, local or foreign court, tribunal,
or judicial or arbitral body.

     

    “Hazardous
Material” means any substance, material or waste that is regulated,
classified, or otherwise characterized under or pursuant to any Environmental
Law as “hazardous,” “toxic,” “pollutant,” “contaminant,” “radioactive,” or words
of similar meaning or effect, including petroleum and its by-products, asbestos,
polychlorinated biphenyls, radon, mold and urea formaldehyde
insulation.

     

    “HM Financial
Advisory Agreement” means that certain Financial Advisory Agreement,
dated as of September 27, 2007, by and among the Company, HM Capital Partners I
LP, Unitek USA, LLC, Unitek Midco, Inc. and Unitek Acquisition,
Inc.

     

    “HM Monitoring and
Oversight Agreement” means that certain Monitoring and Oversight
Agreement, dated as of September 27, 2007, by and among the Company, HM Capital
Partners I LP, Unitek USA, LLC, Unitek Midco, Inc. and Unitek Acquisition, Inc.,
as amended on January 27, 2010.

     

    “Indemnified
Parties” has the meaning set forth in Section 9.3.

     

    “Indemnity Escrow
Shares” has the meaning set forth in Section 3.4(a).

     

    “Indemnity
Priority Agreement” has the meaning set forth in Section 4.2(i).

     

    “Independent
Director” shall mean any member of the Parent Board other than
(i) any of the current directors of the Parent Board set forth on Exhibit M under the heading
“Continuing Directors”, (ii) any member, partner or employee of HM Capital
Partners LLC or any fund or management company Affiliated with HM Capital
Partners LLC and (iii) any member of the Company’s (or any of its Subsidiaries’)
management or the Company Board at any time during the one-year period prior to
the Closing Date.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

     

    “Independent
Director Designee” has the meaning set forth in Section
7.3.

     

    “Information
Statement” has the meaning set forth in Section 7.1.

     

    “Intellectual
Property” means all intellectual property and industrial property rights
and related priority rights throughout the world, whether protected, created or
arising under the Laws of the United States or any other jurisdiction or under
any international convention, including all: (a) patents and patent
applications, including all continuations, continuations-in-part, divisionals
and provisionals and all patents issuing on any of the foregoing, and all
reissues, reexaminations, substitutions, renewals and extensions of any of the
foregoing (“Patents”);
(b) trademarks, service marks, trade dress, logos, trade names, corporate names
and other source or business identifiers (whether registered or unregistered),
together with the goodwill associated with any of the foregoing, and all
registrations, applications for registration, renewals and extensions of any of
the foregoing (“Marks”);
(c) copyrights and works of authorship (whether registered or unregistered) and
moral rights, and all registrations, applications for registration, renewals,
extensions and reversions of any of the foregoing (“Copyrights”);
(d) trade secrets and all intellectual property rights in or to confidential and
proprietary information, know-how or Technology, in each case excluding any
rights in respect of any of the foregoing in this subclause (d) that comprise or
are protected by issued Patents or published Patent applications (“Trade
Secrets”); and (e) domain names, together with the goodwill associated
therewith, and all registrations, applications for registration, renewals and
extensions of any of the foregoing (“Domain
Names”).

     

    “IRS” means
the U.S. Internal Revenue Service.

     

    “IT
Systems” means all communications systems, computer systems, servers,
network equipment and other hardware.

     

    “Law” means
any law, treaty, statute, code, ordinance, regulation, rule or Order of any
Governmental Authority.

     

    “Liens”
means any mortgage, lien, defect in title, charge, easement, security interest,
option, pledge or other encumbrance.

     

    “Loss”
means (i) with respect to third-party claims, any and all out-of-pocket losses,
liabilities, claims, damages (including special, punitive, exemplary, incidental
and consequential damages, diminution in value and for lost profits), awards,
assessments, judgments, fines, penalties, settlements, taxes, costs, fees,
expenses (including costs of investigation and reasonable and actually incurred
defense and attorneys’ and other professionals’ fees) and disbursements; and
(ii) with respect to claims which are not third-party claims, any and all
out-of-pocket losses, liabilities, claims, damages (including damages which were
reasonably foreseeable as of the date of this Agreement as a result of or in
connection with the applicable facts, events, Contracts, conditions, actions or
inactions, as of such time, causing or relating to such damages, but excluding
special, punitive, exemplary or multiple of earnings damages), awards,
assessments, judgments, fines, penalties, settlements, taxes, costs, fees,
expenses (including costs of investigation and reasonable and actually incurred
defense and attorneys’ and other professionals’ fees) and
disbursements.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    “Market
Value” means, with respect to each share of Parent Common Stock, $0.60,
as adjusted from time to time to reflect the effect of any stock splits or
similar events requiring equitable adjustment; provided, however, that the
Market Value shall not be adjusted for any change in the trading price or for
any sales or issuances of Parent Common Stock.

     

    “Material Adverse
Effect” means, with respect to any Person, any change, occurrence or
development that has had or resulted in, is having or that would reasonably be
expected to have or result in a material adverse effect (individually or in the
aggregate with other changes or effects) on the business, property, assets,
results of operations or condition (financial or otherwise) of such Person and
its Subsidiaries, or that materially and adversely affects the ability of any
such Person and its Subsidiaries to perform its or their obligations under this
Agreement and to consummate the transactions contemplated hereby, but excludes
any effect (i) resulting from general economic conditions,
(ii) affecting such party or parties in the industry in which it or they
conduct its or their business generally, (iii) resulting from the
announcement or performance of this Agreement or the transactions contemplated
hereby, (iv) resulting from any changes in applicable Laws or accounting
rules, or (v) resulting from natural disasters or acts of terrorism or war;
provided, however, that in the
case of clauses (i) and (ii) above, the effect on such Person and its
Subsidiaries is not disproportionate to the effect on other participants in the
industry in which any of such Person and/or its Subsidiaries
operate.

     

    “Mediation”
has the meaning set forth in Section 9.5(a).

     

    “Mediator”
has the meaning set forth in Section 9.5(a).

     

    “Merger”
has the meaning set forth in the recitals.

     

    “Merger
Consideration” has the meaning set forth in Section 3.1(a).

     

    “Merger
Sub” has the meaning set forth in the preamble.

     

    “Multiemployer
Plan” has the meaning set forth in Section 5.12(a).

     

    “New Plans”
has the meaning set forth in Section 7.7(b).

     

    “Notice of
Disagreement” has the meaning set forth in Section 9.5(a).

     

    “Old Plans”
has the meaning set forth in Section 7.7(b).

     

    “Order”
means any order, judgment, ruling, injunction, assessment, award, decree, writ,
temporary restraining order, or any other order of any nature enacted, issued,
promulgated, enforced or entered by any Governmental Authority.

     

    “Parent”
has the meaning set forth in the preamble.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

     

    “Parent Audited
Financial Statements” has the meaning set forth in Section 6.6(a).

     

    “Parent Balance
Sheet” has the meaning set forth in Section 6.6(a).

     

    “Parent Balance
Sheet Date” has the meaning set forth in Section 6.6(a).

     

    “Parent
Board” has the meaning set forth in the recitals.

     

    “Parent
Capitalization Date” has the meaning set forth in Section 6.3(a).

     

    “Parent
Claim” has the meaning set forth in Section 9.5(a).

     

    “Parent Common
Stock” has the meaning set forth in Section 3.1(a).

     

    “Parent
Documents” has the meaning set forth in Section 6.2.

     

    “Parent
Employees” has the meaning set forth in Section 7.7(b).

     

    “Parent Financial
Statements” has the meaning set forth in Section 6.6(a).

     

    “Parent
Indemnified Parties” has the meaning set forth in Section 9.2.

     

    “Parent
Intellectual Property” means all Intellectual Property and Technology
owned, used or held for use by Parent or any of its Subsidiaries.

     

    “Parent Interim
Financial Statements” has the meaning set forth in Section 6.6(a).

     

    “Parent Leased
Real Property” means all leasehold or subleasehold estates and other
rights to use or occupy any land, buildings, structures, improvements, fixtures,
or other interests in real property used in the operation of the businesses of,
or otherwise held by, Parent or any of its Subsidiaries.

     

    “Parent
Leases” means all leases, subleases, licenses, concessions and other
agreements, including all amendments, extensions, renewals, and other agreements
with respect thereto, pursuant to which Parent or any of its Subsidiaries holds
or has, or gives others, the right to use any Parent Leased Real
Property.

     

    “Parent Material
Contracts” has the meaning set forth in Section 6.14.

     

    “Parent Owned Real
Property” means all land, together with all buildings, structures,
improvements and fixtures located thereon, and all easements and other rights
and interests appurtenant thereto, owned by Parent or any of its
Subsidiaries.

     

    “Parent
Permits” has the meaning set forth in Section 6.12.

     

    “Parent
Plans” has the meaning set forth in Section 6.13(a).

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

     

    “Parent
Policies” has the meaning set forth in Section 6.17(a).

     

    “Parent Preferred
Stock” has the meaning set forth in Section 6.3(a).

     

    “Parent
Representative” has the meaning set forth in Section 9.7(a).

     

    “Parent SEC
Documents” has the meaning set forth in Section 6.6(c)

     

    “Parent
Series A Preferred Stock” has the meaning set forth in Section 3.1(a).

     

    “Parent
Series B Preferred Stock” has the meaning set forth in Section 3.1(a).

     

    “Parent
Software” has the meaning set forth in Section
6.16(f).

     

    “Parent Stock
Option” means any option to acquire shares of Parent Common
Stock.

     

    “Parent Stock
Option Plans” means Parent’s 1999 Omnibus Securities Plan, 2001 Equity
Incentive Plan and 2009 Omnibus Equity Plan, each as amended.

     

    “Parent
Stockholder Consent” has the meaning set forth in Section 7.1.

     

    “Parent
Warrant” means any Contract entitling or granting any Person to purchase
or otherwise acquire shares of Parent Common Stock.

     

    “Parent’s
Knowledge” means the actual knowledge of Rich Berliner, Ray Cardonne,
Nick Day, Michael Guerriero, Jim Smith, Phil Southard and Robert
Bradley.

     

    “Permits”
means any license, permit, authorization, franchise, concession, certificate of
authority, approval, registration, qualification or similar document or
authority that has been issued or granted by any Governmental Authority, or
other similar right, including any related financial security in the form of a
surety bond, letter of credit, cash collateral or similar instrument made a
condition of or relating to such authorizations.

     

    “Permitted
Liens” means with respect to any asset or property of the Company or any
of its Subsidiaries or Parent or any of its Subsidiaries, as
applicable:  (i) Liens for Taxes, assessments and other charges
of Governmental Authorities not yet due and payable or being contested in good
faith by appropriate proceedings for which collection or enforcement against the
property is stayed and for which appropriate reserves have been established in
accordance with GAAP, (ii) mechanics’, workmens’, repairmen’s,
warehousemen’s, carriers’ or other like Liens arising or incurred in the
ordinary course of business or by operation of Law if the underlying obligations
are not yet due and payable, (iii) with respect to real property
(A) any conditions that may be shown by a current, accurate survey,
(B) easements, encroachments, restrictions, rights-of-way and any other
non-monetary title defects and (C) zoning, building and other similar
restrictions that are not violated by the use or occupancy of such real property
or the operation of the business of the applicable Person as conducted thereon,
and (iv) title of a lessor under a capital or operating lease; provided, however, that none of
the foregoing described in clauses (ii) or (iii) will individually or in the
aggregate impair the continued use and operation of the property to which they
relate in the business of the applicable Person as presently conducted in any
material respect.

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

     

    “Person”
means any individual, sole proprietorship, partnership, corporation, limited
liability company, joint venture, unincorporated society or association, trust
or other legal entity or Governmental Authority.

     

    “PNC Payoff
Letter” has the meaning set forth in Section 4.3(l).

     

    “Preferred
Share” has the meaning set forth in Section 3.1(a).

     

    “Registered
Intellectual Property” means all issued Patents, pending Patent
applications, registered Marks, pending applications for registration of Marks,
registered Copyrights, pending applications for registration of Copyrights and
Domain Name registrations.

     

    “Rights”
means, with respect to any Person, all options, warrants, purchase rights,
subscription rights, conversion rights, exchange rights, other Contracts or
commitments that could require such Person to issue, sell, or otherwise cause to
become outstanding any of its capital stock or other equity securities, stock
appreciation rights, phantom stock rights, profit participation rights, or
similar rights (excluding any Company Plan, in the case of the Company, and any
Parent Plan, in the case of Parent).

     

    “Sarbanes-Oxley
Act” has the meaning set forth in Section 6.7.

     

    “Schedule 5.23
Agreements” has the meaning set forth in Section 5.23.

     

    “SEC” means
the Securities and Exchange Commission.

     

    “Section 262”
has the meaning set forth in Section 3.5.

     

    “Securities
Act” means the Securities Act of 1933, as amended, and the rules and
regulations promulgated thereunder.

     

    “Series A
Preferred Stock Exchange Ratio” has the meaning set forth in Section 3.1(a).

     

    “Series B
Preferred Stock Exchange Ratio” has the meaning set forth in Section 3.1(a).

     

    “Shares”
means Common Shares and/or Preferred Shares, as applicable.

     

    “Software”
means all (i) computer programs, including all software implementations of
algorithms, models and methodologies, whether in source code or object code,
(ii) databases and compilations, including all data and collections of data,
whether machine readable or otherwise, (iii) descriptions, flow-charts and other
work product used to design, plan, organize and develop any of the foregoing,
screens, user interfaces, report formats, firmware, development tools,
templates, menus, buttons and icons, and (iv) documentation, including user
manuals and other training documentation, related to any of the
foregoing.

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

     

    “Special
Committee” has the meaning set forth in Section
7.3.

     

    “Sponsor
Funds” means Sector Performance Fund, LP, a Delaware limited partnership,
and SPF SBS LP, a Delaware limited partnership.

     

    “Subsidiaries”
means, with respect to any Person, any corporation, limited liability company,
partnership, association, or other business entity of which (i) if a
corporation, a majority of the total voting power of shares of stock entitled
(without regard to the occurrence of any contingency) to vote in the election of
directors, managers, or trustees thereof is at the time owned or controlled,
directly or indirectly, by that Person or one or more of the other Subsidiaries
of that Person or a combination thereof, or (ii) if a limited liability
company, partnership, association, or other business entity (other than a
corporation), a majority of the partnership or other similar ownership interests
thereof is at the time owned or controlled, directly or indirectly, by that
Person or one or more Subsidiaries of that Person or a combination thereof or
for this purpose, a Person or Persons own a majority ownership interest or has a
majority of the voting control in such a business entity (other than a
corporation) if such Person or Persons shall be allocated a majority of such
business entity’s gains or losses or shall be or control any managing director
or general partner of such business entity (other than a
corporation).  The term Subsidiary shall include all Subsidiaries of
such Subsidiary.

     

    “Substitute
Option” has the meaning set forth in Section
3.1(c).

     

    “Substitute
Warrant” has the meaning set forth in Section
3.1(b).

     

    “Surviving
Corporation” has the meaning set forth in Section 2.1.

     

    “Tax” means
all federal, state, local and foreign income, profits, franchise, gross
receipts, environmental, customs duties, capital stock, severances, stamp,
payroll, sales, employment, unemployment, disability, use, property,
withholding, excise, production, value added, occupancy, license, estimated,
real property, personal property, windfall profits or other taxes, duties, fees
or assessments of any nature whatsoever, together with all interest, penalties
and additions imposed with respect to such amounts and any interest in respect
of such penalties and additions.

     

    “Tax
Returns” means all returns and reports (including elections,
declarations, disclosures, schedules, estimates and information returns)
supplied or required to be supplied to a Tax authority relating to Taxes,
including any schedule or attachment thereto, and including any amendment
thereof.

     

    “Taxing
Authority” means the IRS or any other any Governmental Authority
responsible for the administration, assessment or collection of any
Tax.

     

    “Technology”
means all Software, compositions, content, information, designs, formulae,
algorithms, procedures, methods, techniques, ideas, know-how, research and
development, technical data, programs, subroutines, tools, materials,
specifications, processes, inventions (whether patentable or unpatentable and
whether or not reduced to practice), apparatus, creations, improvements,
recordings, graphs, drawings, reports, analyses and other similar writings and
materials.

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

     

    “Third Party
Claim” has the meaning set forth in Section 9.5(a).

     

    “Treasury
Regulation” means the regulations promulgated under the
Code.

     

    “Unitek Credit
Agreements” means the Unitek First Lien Credit Agreement, the Unitek
Second Lien Term Loan Agreement and the BMO Loan Agreement.

     

    “Unitek First Lien
Credit Agreement” means that certain First Lien Credit Agreement, dated
as of September 27, 2007, by and among Unitek Acquisition, Inc., Unitek Midco,
Inc., the guarantors listed on the signature pages thereof, certain financial
institutions and other lender parties listed on the signature pages thereof, and
Royal Bank of Canada, as amended, refinanced or replaced from time to
time.

     

    “Unitek Second
Lien Term Loan Agreement” means that certain Second Lien Term Loan
Agreement, dated as of September 27, 2007, by and among Unitek Acquisition,
Inc., Unitek Midco, Inc., the guarantors listed on the signature pages thereof,
certain financial institutions and other lender parties listed on the signature
pages thereof, and Royal Bank of Canada, as amended, refinanced or replaced from
time to time.

     

    “WARN” has
the meaning set forth in Section 5.12(i).

     

    ARTICLE
II

     

    THE
MERGER

     

    2.1          The
Merger.  Subject to the terms and conditions of this Agreement,
and in accordance with the Delaware General Corporation Law (the “DGCL”), at
the Effective Time, Merger Sub shall be merged with and into the Company, and
the separate corporate existence of Merger Sub shall thereupon cease, and the
Company shall be the surviving corporation in the Merger (the “Surviving
Corporation”) and a direct, wholly-owned subsidiary of
Parent.

     

    2.2          Effective
Time.  Subject to the provisions of this Agreement, at the
Closing, the Company and Merger Sub shall cause a certificate of merger in the
form of Exhibit A
(the “Certificate of
Merger”) to be executed and acknowledged, and filed with the Secretary of
State of the State of Delaware in accordance with Section 251 of the
DGCL.  The Merger will become effective at such time as the
Certificate of Merger has been duly filed with the Secretary of State of the
State of Delaware or at such later date or time as may be agreed to in writing
by the Company and Parent and specified in the Certificate of Merger in
accordance with the DGCL (the time at which the Merger becomes effective is
herein referred to as the “Effective
Time”).

     

    2.3          Effects
of Merger.  The Merger shall have the effects set forth in this
Agreement, the Certificate of Merger and the applicable provisions of the
DGCL.  Without limiting the generality of the foregoing and subject
thereto, at the Effective Time, the Surviving Corporation shall succeed to all
of the assets, rights, privileges, powers and franchises, and be subject to all
of the liabilities, restrictions and duties of Merger Sub and the Company,
including under this Agreement, all as provided under the DGCL.

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    

     

    2.4          Certificate
of Incorporation and Bylaws of the Surviving Corporation.  From
and after the Effective Time:  (i) the certificate of
incorporation of Merger Sub, as in effect immediately prior to the Effective
Time and substantially in the form attached hereto as Exhibit B shall become
the certificate of incorporation of the Surviving Corporation until thereafter
changed or amended in accordance with the provisions thereof or applicable Law,
and (ii) the bylaws of Merger Sub as in effect immediately prior to the
Effective Time and substantially in the form attached hereto as Exhibit C shall become
the bylaws of the Surviving Corporation until thereafter changed or amended in
accordance with the provisions thereof, the provisions of the certificate of
incorporation of the Surviving Corporation or applicable Law.

     

    2.5          Directors
and Officers of the Surviving Corporation.  From and after the
Effective Time:  (i) the directors of the Company immediately
prior to the Effective Time shall be the initial directors of the Surviving
Corporation, until the earlier of their death, resignation or removal or until
their respective successors are duly qualified and elected, as the case may be,
and (ii) the officers of the Company immediately prior to the Effective
Time shall be the initial officers of the Surviving Corporation (in addition to
any officers named by the board of directors of the Surviving Corporation at or
after the Effective Time), until the earlier of their death, resignation or
removal or until their respective successors are duly qualified and appointed,
as the case may be.

     

    ARTICLE
III

     

    MERGER
CONSIDERATION; CONVERSION OF SECURITIES

     

    3.1          Effect on
Securities of the Company.   At the Effective Time, by
virtue of the Merger and without any action on the part of any
Person:

     

    (a)           Conversion of Company Common
Stock.  Subject to Sections 3.2
and 3.5,
(i) each issued and outstanding share of common stock (a “Common Share”),
par value $0.01 per share, of the Company (“Company Common
Stock”), outstanding immediately prior to the Effective Time, shall
thereupon be converted automatically into and shall thereafter represent the
right to receive (A) 0.4 (the “Common Stock
Exchange Ratio”) of a fully-paid and nonassessable share of common stock,
par value $0.00002 per share, of Parent (“Parent Common
Stock”), and (B) 0.012 (the “Series A
Preferred Stock Exchange Ratio”) of a fully-paid and nonassessable share
of Series A Convertible Preferred Stock, par value $0.00002 per share, of Parent
(“Parent
Series A Preferred Stock”), and (ii) each issued and outstanding
share of preferred stock (a “Preferred
Share”), par value $0.01 per share, of the Company (“Company Preferred
Stock”), outstanding immediately prior to the Effective Time, shall
thereupon be converted automatically into and shall thereafter represent the
right to receive 0.02 (the “Series B
Preferred Stock Exchange Ratio”) of a fully-paid and nonassessable share
of Series B Convertible Preferred Stock, par value $0.00002 per share, of Parent
(“Parent
Series B Preferred Stock”).  The shares of Parent Common
Stock and Parent Series A Preferred Stock issued to each holder of Common Shares
and the shares of Parent Series B Preferred Stock issued to each holder of
Preferred Shares pursuant to this Section 3.1(a),
are hereinafter referred to as the “Merger
Consideration.”  As a result of the Merger, at the Effective
Time, each holder of Common Shares and each holder of Preferred Shares shall
cease to have any rights with respect thereto, except the right to receive the
applicable portion of the Merger Consideration payable in respect of such Shares
which are issued and outstanding immediately prior to the Effective Time and any
dividends or other distributions payable pursuant to Section 3.6(c),
all to be issued or paid, without interest, in consideration therefor upon the
surrender of such Shares in accordance with Section 3.6(b).  The
number of shares of Parent Common Stock and Parent Series A Preferred Stock
issued to each holder of Common Shares pursuant to this Section 3.1(a)
and the number of shares of Parent Series B Preferred Stock issued to each
holder of Preferred Shares pursuant to this Section 3.1(a)
shall be rounded up to the next whole share after taking into account all Shares
surrendered by such holder.

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

    (b)           Company
Warrants.  At the Effective Time, all outstanding Company 2007
Common Stock Purchase Warrants and Company AMBB Warrants shall be cancelled and
Parent shall thereafter issue to each holder thereof that has executed and
delivered an agreement to exchange their warrants a replacement warrant, in
substantially the form attached hereto as Exhibit D (each, a “Substitute
Warrant”), to purchase Parent Common Stock, with each Substitute Warrant
being exercisable at the same exercise price and for the same number of shares
as under the applicable Company 2007 Common Stock Purchase Warrant or Company
AMBB Warrant.

     

    (c)           Company
Options.  Subject to the terms and conditions of this
Agreement, at the Effective Time, by virtue of the Merger and without any
further action on the part of Parent, Merger Sub, the Company or any holder of
Shares or Company Stock Options, the Company Stock Options shall cease to
represent a right to acquire Company Common Stock and shall automatically be
converted into an option (each, a “Substitute
Option”) to purchase Parent Common Stock.  The Substitute
Option shall be exercisable upon the same terms and conditions (including with
respect to vesting and exercisability) as under the Company Stock Option Plan
and the applicable stock option agreement (as amended) issued thereunder, except
that each such Substitute Option shall be exercisable for, and represent the
right to acquire, that number of shares of Parent Common Stock equal to the
number of shares of Company Common Stock subject to such Company Stock
Option.  Such Substitute Option shall otherwise be subject to the same
terms and conditions as such Company Stock Option.

     

    3.2         Company
Common Stock and Company Preferred Stock Owned by the Company, Merger Sub or
Parent.  Notwithstanding the foregoing, each share of Company
Common Stock and Company Preferred Stock held immediately prior to the Effective
Time (i) by the Company as treasury stock or (ii) by any Subsidiary of the
Company, shall be cancelled and retired and cease to exist, and no payment shall
be made with respect thereto.  Each share of Company Common Stock and
Company Preferred Stock held immediately prior to the Effective Time by Parent
or Merger Sub, shall be cancelled and retired and cease to exist, and no payment
shall be made with respect thereto.

     

    3.3         Effect on
Capital Stock of Merger Sub.  At the Effective Time, each share
of common stock of Merger Sub, par value $0.01 per share, issued and outstanding
immediately prior to the Effective Time, by virtue of the Merger and without any
action on the part of any Person, shall be converted into and become one
fully-paid and nonassessable share of common stock, par value $0.01 per share,
of the Surviving Corporation and shall constitute the only outstanding shares of
capital stock of the Surviving Corporation at the Effective Time, so that at the
Effective Time, Parent shall be the holder of all of the issued and outstanding
shares of the Surviving Corporation.  From and after the Effective
Time, all certificates representing the common stock of Merger Sub shall be
deemed for all purposes to represent the number of shares of common stock of the
Surviving Corporation into which they were converted in accordance with the
immediately preceding sentence.

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

     

    3.4         Indemnity
Shares.

     

    (a)           Immediately
prior to the Effective Time, Parent, the Parent Representative and the Company
Representative shall enter into an Escrow Agreement in the form of Exhibit E attached hereto (the
“Escrow
Agreement”) with Wells Fargo Bank, National Association, as escrow agent
(the “Escrow
Agent”).  At the Effective Time, Parent shall deposit with the
Escrow Agent 10,980,000 shares of Parent Common Stock otherwise issuable as
Merger Consideration pursuant to this Agreement (the “Indemnity Escrow
Shares”), which will be available to satisfy the indemnification
obligations set forth in Section
9.2.  The Indemnity Escrow Shares shall be held and distributed
pursuant to the Escrow Agreement.

     

    (b)           The
Escrow Agent will release all or a portion, as applicable, of the Indemnity
Escrow Shares pursuant to the Escrow Agreement and the provisions of Section 9.5.  On
the six-month anniversary of the Closing Date, the Escrow Agent will, in
accordance with the Escrow Agreement, release any remaining Indemnity Escrow
Shares, except any amount that is subject to a pending Parent Claim, which
amount shall be released pursuant to the Escrow Agreement and the provisions of
Section
9.5.

     

    (c)           From
and after the filing of the Charter Amendment, Parent will at all times reserve
and keep available the Company Indemnity Shares out of its authorized and
unissued Parent Common Stock, solely for the purpose of satisfying the
indemnification obligations set forth in Section
9.3.

     

    3.5         Appraisal
Rights.  Notwithstanding anything in this Agreement to the
contrary, shares (the “Appraisal
Shares”) of Company Common Stock and Company Preferred Stock issued and
outstanding immediately prior to the Effective Time that are held by any holder
who is entitled to demand and properly demands appraisal of such shares pursuant
to, and who complies in all respects with, the provisions of Section 262 of
the DGCL (“Section 262”)
shall not be converted into the right to receive the Merger Consideration as
provided in Section 3.1(a),
but instead such holder shall be entitled to the rights provided under Section
262.  At the Effective Time, all Appraisal Shares shall no longer be
outstanding and shall automatically be cancelled and shall cease to exist, and
each holder of Appraisal Shares shall cease to have any rights with respect
thereto, except the rights provided under
Section 262.  Notwithstanding the foregoing, if any such holder
shall fail to perfect or otherwise shall waive, withdraw or lose the right to
appraisal under Section 262 or a court of competent jurisdiction shall
determine that such holder is not entitled to the relief provided by
Section 262, then the rights of such holder under Section 262 shall
cease and such Appraisal Shares shall be deemed to have been converted at the
Effective Time into, and shall have become, the right to receive the Merger
Consideration as provided in Section 3.1(a).  Any
amounts payable in cash with respect to Appraisal Shares shall be payable by the
Company out of its separate funds, and no funds shall be supplied, directly or
indirectly, by Parent for such purpose.  Immediately prior to the
Effective Time, if necessary, the Company shall establish an escrow account and
immediately deposit into such account funds sufficient to pay any such
amounts.

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

     

    3.6         Exchange
of Shares.

     

    (a)           Exchange
Agent.  Prior to the Effective Time, Parent shall deposit, or
shall cause to be deposited, with American Stock Transfer and Trust Company (the
“Exchange
Agent”), in trust for the benefit of holders of the Shares, certificates
representing the shares of Parent Common Stock, Parent Series A Preferred Stock
and Parent Series B Preferred Stock issuable pursuant to Section 3.1(a)
(or appropriate alternative arrangements shall be made by Parent if
uncertificated shares of Parent Common Stock, Parent Series A Preferred Stock or
Parent Series B Preferred Stock will be issued), less the Indemnity Escrow
Shares.  Following the Effective Time, Parent agrees to make available
to the Exchange Agent, from time to time as needed, cash sufficient to pay any
dividends and other distributions pursuant to Section 3.6(c).  All
certificates representing shares of Parent Common Stock, Parent Series A
Preferred Stock or Parent Series B Preferred Stock deposited with the Exchange
Agent (including the amount of cash to pay any dividends or other distributions
payable with respect thereto pursuant to Section 3.6(c))
are hereinafter referred to as the “Exchange
Fund.”

     

    (b)           Exchange
Procedures.  As soon as reasonably practicable after the
Effective Time and in any event not later than the second Business Day following
the Effective Time, Parent shall cause the Exchange Agent to mail to each holder
of Shares, which at the Effective Time were converted into the right to receive
the Merger Consideration pursuant to Section 3.1(a),
(i) a letter of transmittal in the form attached hereto as Exhibit F (which shall specify
that delivery shall be effected, and that risk of loss and title to the Shares
shall pass, only upon delivery of the Shares to the Exchange Agent) and (ii)
instructions for use in effecting the surrender of the Common Shares in exchange
for certificates representing whole shares of Parent Common Stock and Parent
Series A Preferred Stock, and the surrender of Preferred Shares in exchange for
certificates representing whole shares of Parent Series B Preferred Stock (or
appropriate alternative arrangements shall be made by Parent if uncertificated
shares of Parent Common Stock, Parent Series A Preferred Stock or Parent Series
B Preferred Stock will be issued) and any dividends or other distributions
payable pursuant to Section 3.6(c).  Upon
surrender of Shares for cancellation to the Exchange Agent, together with such
letter of transmittal, duly completed and validly executed in accordance with
the instructions thereto, and such other documents as may reasonably be required
by the Exchange Agent, the holder of such Shares shall be entitled to receive in
exchange therefor, in the case of Common Shares that number of whole shares of
Parent Common Stock and Parent Series A Preferred Stock, or in the case of
Preferred Shares that number of whole shares of Parent Series B Preferred Stock
(after taking into account all Shares surrendered by such holder), to which such
holder is entitled pursuant to Section 3.1(a)
(which shall be in uncertificated book entry form unless a physical certificate
is requested), less (with respect to the Common Shares only) the pro rata
portion of the Indemnity Escrow Shares attributable to each such holder of
Common Shares, and any dividends or distributions payable pursuant to Section
3.6(c), and the Shares so surrendered shall forthwith be
cancelled.  If any portion of the Merger Consideration is to be
registered in the name of a Person other than the Person in whose name the
applicable surrendered Share is registered, it shall be a condition to the
registration thereof that the surrendered Share be in proper form for transfer
and that the Person requesting such delivery of the Merger Consideration pay any
transfer or other similar Taxes required as a result of such registration in the
name of a Person other than the registered holder of such Share or establish to
the satisfaction of the Exchange Agent that such Tax has been paid or is not
payable.  Until surrendered as contemplated by this Section 3.6(b),
each Share shall be deemed at any time after the Effective Time to represent
only the right to receive the Merger Consideration (and any amounts to be paid
pursuant to Section 3.6(c))
upon such surrender.  No interest shall be paid or shall accrue on any
Merger Consideration payable upon due surrender of the Shares.  If any
certificate representing any Shares shall have been lost, stolen or destroyed,
then, upon the making of a customary affidavit by the holder of such Shares as
Parent shall reasonably direct providing for an indemnity against any claim that
may be made against the Exchange Agent, Parent or the Surviving Corporation with
respect to such certificate, the Exchange Agent will issue the Merger
Consideration as described in this Article
III for such Shares.

    
      
         

      

      
        17

        
          

        

      

      
         

      

    

     

    (c)           Distributions with Respect
to Unexchanged Shares.  No dividends or other distributions
with respect to shares of Parent Common Stock, Parent Series A Preferred Stock
or Parent Series B Preferred Stock with a record date after the Effective Time
shall be paid to the holder of any unsurrendered Share with respect to the
shares of Parent Common Stock, Parent Series A Preferred Stock and Parent Series
B Preferred Stock represented thereby, until such Share has been surrendered in
accordance with this Article III.  Subject
to the effect of escheat, Tax or other applicable Laws, following surrender of
any such Share, there shall be paid to the recordholder thereof, without
interest, (i) promptly after such surrender, in the case of Common Shares
that number of whole shares of Parent Common Stock and Parent Series A Preferred
Stock, or in the case of Preferred Shares that number of whole shares of Parent
Series B Preferred Stock, in exchange therefor pursuant to this Article
III, together with the amount of dividends or other distributions with a
record date after the Effective Time theretofore paid with respect to such
shares of Parent Common Stock, Parent Series A Preferred Stock and Parent Series
B Preferred Stock and (ii) at the appropriate payment date, the amount of
dividends or other distributions with a record date after the Effective Time and
a payment date subsequent to such surrender payable with respect to such shares
of Parent Common Stock, Parent Series A Preferred Stock and Parent Series B
Preferred Stock.

     

    (d)           No Further Ownership Rights
in Company Common Stock or Company Preferred Stock; Closing of Transfer
Books.  All shares of Parent Common Stock, Parent Series A
Preferred Stock and Parent Series B Preferred Stock issued upon the surrender
for exchange of Shares in accordance with the terms of this Article III
and any cash paid pursuant to Section 3.6(c)
shall be deemed to have been issued (or paid) in full satisfaction of all rights
pertaining to the Shares previously represented by such Shares.  After
the Effective Time, the stock transfer books of the Company shall be closed, and
there shall be no further registration of transfers on the stock transfer books
of the Surviving Corporation of the Shares which were outstanding immediately
prior to the Effective Time and the holders of the Shares outstanding
immediately prior to the Effective Time will cease to have any rights with
respect to such Shares, except as set forth herein.  Subject to Section 3.6(e),
if, after the Effective Time, Shares are presented to the Surviving Corporation
or the Exchange Agent for any reason, they shall be cancelled and exchanged as
provided in this Article III
..

    
      
         

      

      
        18

        
          

        

      

      
         

      

    

     

    (e)           Termination of Exchange
Fund. Any portion of the Exchange Fund (including the proceeds of any
investments thereof) that remains undistributed to the former holders of Shares
for six months after the Effective Time shall be delivered to Parent upon
demand, and any holders of Shares who have not theretofore complied with this
Article III
shall thereafter look only to Parent for payment of their claim for the Merger
Consideration and any dividends or distributions pursuant to Section 3.6(c),
subject to applicable abandoned property, escheat or similar Law.  If
any certificate representing any Share shall not have been surrendered prior to
five years after the Effective Time (or immediately prior to such earlier date
on which any shares of Parent Common Stock, Parent Series A Preferred Stock or
Parent Series B Preferred Stock or any dividends or other distributions payable
to the holder of such certificate representing any Share would otherwise escheat
to or become the property of any Governmental Authority), any such shares of
Parent Common Stock, Parent Series A Preferred Stock or Parent Series B
Preferred Stock, or dividends or other distributions in respect of such
certificate representing any Share shall, to the extent permitted by applicable
Law, become the property of Parent, free and clear of all claims or interest of
any Person previously entitled thereto.

     

    (f)           No
Liability.  Notwithstanding anything in this Agreement to the
contrary, none of the Company, Parent, Merger Sub, the Surviving Corporation,
the Exchange Agent or any other Person shall be liable to any Person for any
amount properly delivered to a public official pursuant to any applicable
abandoned property, escheat or similar Law.

     

    (g)           Adjustments.  The
number of shares of Parent Common Stock, Parent Series A Preferred Stock and
Parent Series B Preferred Stock issuable pursuant to this Article III
shall be equitably adjusted to reflect appropriately the effect of any stock
split, reverse stock split, stock dividend (including any dividend or
distribution of securities convertible into Parent Common Stock or Parent Series
A Preferred Stock, as applicable), cash dividends, reorganization,
recapitalization, reclassification, combination, exchange of shares or other
like change with respect to Parent Common Stock, Parent Series A Preferred
Stock  or Parent Series B Preferred Stock occurring on or after the
date hereof (but prior to the issuances required by this Article
III).

     

    3.7         Withholding
Taxes.  The Exchange Agent, Parent or the Surviving
Corporation, as applicable, shall be entitled to deduct and withhold from the
consideration otherwise payable by it under this Agreement, such amounts as are
required to be withheld or deducted under the Code or any provision of Law with
respect to the making of such payment.  To the extent that amounts are
so withheld or deducted and paid over to the applicable Taxing Authority, such
withheld or deducted amounts shall be treated for all purposes of this Agreement
as having been paid to the Person in respect of which such deduction and
withholding were made. 

     

    ARTICLE
IV

     

    CLOSING
AND DELIVERIES

     

    4.1         Closing.  The
closing of the transactions contemplated hereby (the “Closing”)
will take place at the offices of Weil, Gotshal & Manges, 767 Fifth Avenue,
New York, New York on the date hereof immediately following the satisfaction of
the condition set forth in Article VIII,
or on such other date or at such other time and place as Parent and the Company
mutually agree in writing (the date on which the Closing occurs, the “Closing
Date”).  Except as otherwise set forth herein, all proceedings
to be taken and all documents to be executed and delivered by all parties at the
Closing will be deemed to have been taken and executed simultaneously and no
proceedings will be deemed to have been taken nor documents executed or
delivered until all have been taken, executed and delivered.

    
      
         

      

      
        19

        
          

        

      

      
         

      

    

     

    4.2         Deliveries
of the Company.  At the Closing, the Company shall have
delivered or caused to be delivered to Parent the following items:

     

    (a)           a
duly executed certificate from an authorized officer of the Company, dated as of
the Closing Date, given by him or her on behalf of the Company and not in his or
her individual capacity, certifying (i) to attached copies of resolutions of the
Company Board authorizing and approving the execution, delivery and performance
of this Agreement and the consummation of the transactions contemplated hereby,
and recommending approval thereof to the Company’s stockholders, and (ii) to
copies of the Company’s and each of its Subsidiaries’ articles of incorporation
and bylaws (or similar governing documents) in effect as of the Closing
Date;

     

    (b)           a
certificate of good standing (or equivalent document) for the Company and each
of its Subsidiaries as of a recent date from the state of its incorporation,
organization or formation;

     

    (c)           the
Escrow Agreement, dated as of the date hereof, duly executed by the
Company;

     

    (d)           a
certificate in accordance with Treasury Regulations Sections
1.1445-2(c)(3) and 1.897-2(h) to the effect that interests in the Company
are not “United States real property interests”;

     

    (e)           a
credit support agreement, in the form attached hereto as Exhibit G (the “Credit Support
Agreement”), duly executed by the Company and the Sponsor
Funds;

     

    (f)     
      an executed copy of Amendment No. 2 to
Second Incremental Term C Facility Amendment, dated as of December 17, 2009, by
and among Unitek Acquisition, Inc., certain lenders party thereto and Royal Bank
of Canada;

     

    (g)           an
executed copy of Amendment No. 2 to the Second Lien Term Loan Agreement, dated
as of December 17, 2009, by and among Unitek Acquisition, Inc., Unitek Midco,
Inc., the guarantors listed on the signature pages thereof, certain financial
institutions and other lender parties listed on the signature pages thereof, and
Royal Bank of Canada;

     

    (h)           (i)
an executed copy of Amendment No. 4 to the First Lien Credit Agreement, dated as
of December 17, 2009, by and among Unitek Acquisition, Inc., Unitek Midco, Inc.,
the guarantors listed on the signature pages thereof, certain financial
institutions and other lender parties listed on the signature pages thereof, and
Royal Bank of Canada and (ii) a duly executed certificate from an
authorized officer of the Company, dated as of the Closing Date, given by him or
her on behalf of the Company and not in his or her individual capacity,
certifying as to the satisfaction of the conditions precedent to the
effectiveness of such Amendment No. 4 to the First Lien Credit
Agreement;

    
      
         

      

      
        20

        
          

        

      

      
         

      

    

     

    (i)           
a letter agreement regarding advancement and indemnification rights, in the form
attached hereto as Exhibit
H (the “Indemnity
Priority Agreement”), duly executed by the Company Representative, the
Company and its Subsidiaries that are signatories thereto;

     

    (j)           
evidence of the termination of the Stockholders Agreement, dated as of September
27, 2007, by and among the Company, the Sponsor Funds, HM Unitek Coinvest, LP
and the other parties signatory thereto;

     

    (k)           evidence
of the termination of the Registration Rights Agreement, dated as of September
27, 2007, by and among the Company, the Sponsor Funds, HM Unitek Coinvest, LP
and the other parties signatory thereto;

     

    (l)           
evidence of the termination of the Management Rights Agreement, dated as of
September 27, 2007, by and between the Company and HM Unitek Coinvest,
LP;

     

    (m)          evidence
of the termination of the HM Financial Advisory Agreement; and

     

    (n)           evidence
of certain third party Consents set forth on Schedule
4.2(n).

     

    4.3         Deliveries
of Parent.  At the Closing, Parent and/or Merger Sub, as
applicable, shall have delivered or caused to be delivered to the Company the
following items:

     

    (a)           a
duly executed certificate from an authorized officer of Parent, dated as of the
Closing Date, given by him or her on behalf of Parent and not in his or her
individual capacity, certifying (i) to attached copies of resolutions of the
Parent Board authorizing and approving the execution, delivery and performance
of this Agreement and the consummation of the transactions contemplated hereby,
(ii) to attached copies of resolutions of the stockholder of Merger Sub
approving this Agreement and the consummation of the transactions contemplated
hereby, and (iii) to copies of Parent’s and each of its Subsidiaries’ articles
of incorporation and bylaws (or similar governing documents) in effect as of the
Closing Date;

     

    (b)           a
certificate of good standing (or equivalent document) for Parent and each of its
Subsidiaries as of a recent date from the state of its incorporation,
organization or formation;

     

    (c)           evidence
from the Secretary of State of the State of Delaware of the filing of
certificates of designation for Parent Series A Preferred Stock and Parent
Series B Preferred Stock;

     

    (d)           written
resignations, effective as of the Closing, of each director and officer of
Parent and its Subsidiaries listed on Schedule
4.3(d);

     

    (e)           resolutions
of the Parent Board appointing the Company Designees as directors on the Parent
Board effective as of the Closing;

     

    (f)           
the Escrow Agreement, duly executed by Parent;

    
      
         

      

      
        21

        
          

        

      

      
         

      

    

     

    (g)           a
registration rights agreement, in the form attached hereto as Exhibit I, duly executed by
Parent;

     

    (h)           the
Credit Support Agreement, duly executed by Parent;

     

    (i)           
director and officer indemnification agreements, in the form attached hereto as
Exhibit J, duly executed
by Parent for the benefit of the individuals listed on Schedule 4.3(i);

     

    (j)           
the Indemnity Priority Agreement, duly executed by Parent and its Subsidiaries
that are signatories thereto;

     

    (k)           a
payoff letter from PNC Bank, N.A. (the “PNC Payoff
Letter”);

     

    (l)           
amendments to certain employment agreements, effective as of the Closing, duly
executed by Parent and the employees of Parent and its Subsidiaries listed on
Schedule
4.3(l); and

     

    (m)          evidence
of certain third party Consents set forth on Schedule
4.3(m).

     

    ARTICLE
V

     

    REPRESENTATIONS
AND WARRANTIES RELATING TO THE COMPANY

     

    The
Company represents and warrants to Parent and Merger Sub that, as of immediately
prior to the consummation of the transactions contemplated hereby:

     

    5.1         Organization
and Standing.  Each of the Company and its Subsidiaries is an
entity duly organized or formed, validly existing and in good standing under the
Laws of its respective jurisdiction of incorporation or
organization.  Each of the Company and its Subsidiaries is duly
qualified to do business, and is in good standing, in each jurisdiction in which
the character of the properties owned or leased by it or in which the conduct of
its business requires it to be so qualified, except where the failure to be so
qualified or to be in good standing would not have a Material Adverse Effect on
the Company.  Each of the Company and its Subsidiaries has all
requisite corporate or similar power and authority to own, lease and operate its
properties and assets and to carry on its business as currently conducted in all
material respects.

    
      
         

      

      
        22

        
          

        

      

      
         

      

    

     

    5.2         Authority,
Validity and Effect.  The Company has the requisite corporate
power and authority to enter in this Agreement and, subject to receipt of the
Company Stockholder Approval, to consummate the transactions contemplated
hereby.  The execution, delivery and performance by the Company of
this Agreement and each other agreement or document contemplated to be executed
and delivered by it or any of its Subsidiaries in connection with the
transactions contemplated hereby (the “Company
Documents”) and the consummation of the Merger and the other transactions
contemplated hereby and thereby have been duly and validly authorized by the
Company Board, and the Company Board has (i) determined that it is in the
best interests of the Company and its stockholders, and declared it advisable,
to enter into this Agreement, and (ii) approved the execution, delivery and
performance of this Agreement and the consummation of the transactions
contemplated hereby, including the Merger, upon the terms and subject to the
conditions set forth herein.  Except for the Company Stockholder
Approval, no other proceedings on the part of the Company are necessary to
authorize the execution, delivery or performance of this Agreement or the
Company Documents.  As of the date hereof, the Company Board has
resolved to recommend that the Company’s stockholders approve this Agreement and
the transactions contemplated hereby and directed that this Agreement be
submitted to the Company’s stockholders for approval.  This Agreement
has been, and each of the Company Documents shall be at or prior to the Closing,
duly executed and delivered by the Company and each of its Subsidiaries (to the
extent such Person is a party thereto) and assuming the due authorization,
execution and delivery by the other parties hereto and thereto, constitutes, and
each of the Company Documents when so executed and delivered shall constitute, a
legal, valid and binding obligation of the Company and each such Subsidiary,
enforceable against it in accordance with its terms, except as limited by (i)
applicable bankruptcy, reorganization, insolvency, moratorium or other similar
laws affecting the enforcement of creditors’ rights generally from time to time
in effect and (ii) the availability of equitable remedies (regardless of whether
enforceability is considered in a proceeding at law or in equity) (collectively,
the “General
Enforceability Exceptions”).

     

    5.3         Capitalization.  

     

    (a)           The
authorized capital stock of the Company consists of 150,000,000 shares of
Company Common Stock and 20,000,000 shares of Company Preferred
Stock.  As of the date of this Agreement, (i) 109,800,000 shares
of Company Common Stock are issued and outstanding, (ii) 15,823,301 shares
of Company Common Stock are issuable pursuant to the Company Stock Option Plan
in respect of Company Stock Options, (iii) 5,000,000 shares of Company
Common Stock are issuable pursuant to the Company 2007 Common Stock Purchase
Warrants and up to 250,000 shares of Company Common Stock may be issuable
pursuant to the Company AMBB Warrants if and when such warrants are issued, and
(iv) 12,500,000 shares of Company Preferred Stock, all of which are
designated Series A Preferred Stock, are issued and outstanding.  All
outstanding shares of Company Common Stock and Company Preferred Stock are
duly-authorized, validly-issued, fully-paid and nonassessable and were not
issued in violation of any preemptive or similar right.  Other than
Company Common Stock and the Company Preferred Stock mentioned above, the
Company has no other authorized or issued classes of capital
stock.  The Company issued the Company Preferred Stock on January 27,
2010 for an aggregate amount of $12,500,000 in cash.

     

    (b)           Except
as set forth in Section 5.3(a)
or on Schedule 5.3,
there are no (i) outstanding or authorized Rights with respect to the
Company or any of its Subsidiaries, (ii) voting trusts, proxies or other
agreements or understandings, or (iii) agreements or understandings with respect
to any management or board rights or other rights (including any registration
rights agreements, investor rights agreements, voting agreements, stockholder
agreements or comparable agreements) to which the Company or any of its
Subsidiaries is a party or by which the Company or any of its Subsidiaries is
bound with respect to the voting, transfer, registration or other disposition of
its shares of capital stock.

     

    (c)           Except
as set forth on Schedule 5.3,
neither the Company nor any of its Subsidiaries has outstanding bonds,
debentures, notes or other obligations, the holders of which have the right to
vote (or which are convertible into or exchangeable or exercisable for
securities having the right to vote) with the stockholders of the Company on any
matter.

    
      
         

      

      
        23

        
          

        

      

      
         

      

    

     

    (d)           Except
as set forth on Schedule 5.3,
there are no outstanding obligations of the Company or any of its Subsidiaries
restricting the transfer of, containing any right of first refusal or granting
any antidilution rights with respect to, any shares of capital stock or other
ownership interests of the Company or any of its Subsidiaries.  No
Subsidiary of the Company owns any shares of capital stock of the
Company.

     

    5.4         Subsidiaries.  Schedule
5.4 sets forth the name of each Subsidiary of the Company, and, with
respect to each such Subsidiary, (i) the jurisdiction in which it is
incorporated or organized, (ii) the number of shares of its authorized
capital stock or other voting securities or ownership interests, (iii) the
number and class of shares, other voting securities or ownership interests
thereof duly issued and outstanding, (iv) the names of all stockholders or
other equity owners and the number of shares of stock or other voting securities
or ownership interests owned by each stockholder or equity owner.  The
outstanding shares of capital stock or other voting securities or ownership
interests of each Subsidiary of the Company are validly-issued, fully-paid and
nonassessable and were not issued in violation of any purchase or call option,
right of first refusal, subscription right, preemptive right or any similar
right.  All such shares, voting securities or ownership interests
represented as being owned by the Company or any of its Subsidiaries are owned
by them free and clear of any and all Liens, except as set forth on Schedule 5.4.  No
shares of capital stock or other voting securities or ownership interests are
held by any Subsidiary of the Company as treasury stock.  Except as
set forth on Schedule
5.4, the Company does not own, directly or indirectly, any capital stock
or other voting securities or ownership interests of any Person other than its
Subsidiaries.

     

    5.5         No
Conflict; Required Filings and Consents.

     

    (a)           The
execution and delivery of this Agreement or the Company Documents by the Company
or any of its Subsidiaries, and, except as described in Section 5.5(b),
the consummation by the Company or any of its Subsidiaries of the transactions
contemplated hereby or thereby and compliance by the Company or any of its
Subsidiaries with any of the provisions hereof or thereof, will not
(i) conflict with or result in a breach of any provisions of the articles
or certificate of incorporation, certificate of formation, bylaws or operating
agreement (or equivalent organizational documents), in each case as may be
amended, of the Company or any of its Subsidiaries, (ii) except as set
forth on Schedule 5.5(a),
constitute (with or without due notice or lapse of time or both) or result in
the breach of any term, condition or provision of, or constitute a default
under, or give rise to any right of termination, cancellation, modification or
acceleration with respect to, any Company Material Contract (or result in the
creation or imposition of a Lien upon any material property or assets of the
Company or any of its Subsidiaries), or (iii) conflict with or violate any
Order, Law or Permit applicable to the Company or any of its Subsidiaries or any
of their respective properties or assets, other than, in the case of clauses
(ii) and (iii), any such breach, default, termination, cancellation,
modification, acceleration, Lien, conflict or violation that would not
reasonably be expected to have a Material Adverse Effect on the
Company.

    
      
         

      

      
        24

        
          

        

      

      
         

      

    

     

    (b)           Other
than (i) as set forth on Schedule 5.5(b),
(ii) the Company Stockholder Approval, (iii) in connection with or in
compliance with the HSR Act, and (iv) the filing of the Certificate of
Merger with the Secretary of State of the State of Delaware, no Consent is
required by the Company or any of its Subsidiaries for the consummation by the
Company or any of its Subsidiaries of the transactions contemplated by this
Agreement or by the Company Documents or to maintain any material Permit held by
the Company or any of its Subsidiaries except for such Consents that if not
obtained or made, would not reasonably be expected to have a Material Adverse
Effect on the Company.

     

    5.6         Financial
Statements.

     

    (a)           True,
correct and complete copies of the following financial statements have been
delivered to Parent prior to the date hereof: (i) the unaudited consolidated
balance sheet of Unitek Acquisition, Inc. as of December 31, 2007 and the
related unaudited consolidated statements of operations, stockholders’ equity,
and cash flows for the year ended December 31, 2007, together with the notes
thereto (the “Company 2007
Financial Statements”), and the restated audited consolidated balance
sheet of the Company as of December 31, 2008 and the related restated audited
consolidated statements of operations, stockholders’ equity, and cash flows for
the year ended December 31, 2008, together with the notes thereto (together with
the Company 2007 Financial Statements, the “Company Year-End
Financial Statements”), and (ii) the unaudited consolidated balance sheet
(the “Company Balance
Sheet”) of the Company as of November 28, 2009 (the “Company Balance
Sheet Date”), and the related unaudited consolidated statements of
operations and cash flows for the eleven-month period then ended
(the “Company Interim
Financial Statements” and together with the Company Year-End Financial
Statements, the “Company Financial
Statements”).

     

    (b)           Except
as set forth on Schedule 5.6,
the Company Financial Statements (i) have been prepared in accordance with
GAAP and fairly present, in all material respects, the financial position,
results of operations, stockholders’ equity, and cash flows of Unitek
Acquisition, Inc. or the Company, as applicable, on a consolidated basis with
such applicable Person’s Subsidiaries, as of the dates and for the periods
indicated, and (ii) were prepared in accordance with the books and records of
Unitek Acquisition, Inc. and its Subsidiaries or the Company and its
Subsidiaries, as applicable (subject, in the case of the Company Interim
Financial Statements, to those items set forth on Schedule 5.6,
normal year-end adjustments and the absence of notes thereto).

     

    (c)           The
Company and each of its Subsidiaries has in place systems and processes that are
(i) designed to (A) provide reasonable assurances regarding the reliability of
the Company Financial Statements and (B) accumulate and communicate to the
Company’s principal executive officer and principal financial officer in a
timely manner the type of information that is required to be disclosed in the
Company Financial Statements, and (ii) customary and adequate for a company
similar to the Company.  Neither the Company nor any of its
Subsidiaries nor, to the Company’s knowledge, any employee, auditor, accountant
or representative of the Company or any of its Subsidiaries has received or
otherwise had or obtained knowledge of any complaint, allegation, assertion or
claim, whether written or oral, regarding the inadequacy of such systems and
processes or the accuracy of the Company Financial Statements.  To the
Company’s Knowledge and except as set forth on Schedule 5.6,
(i) there have been no instances of fraud, whether or not material, during
any period covered by the Company Financial Statements, (ii) there are no
significant deficiencies or material weaknesses in the design or operation of
its internal processes that would reasonably be expected to adversely affect the
Company’s ability to record, process and summarize financial information and
(iii) there has been no fraud, whether or not material, that involves
management or other employees who have a significant role in the Company’s
internal processes related to preparation of the Company Financial
Statements.  There are no outstanding loans or other extensions of
credit made by the Company or any of its Subsidiaries to any executive officer
(as defined in Rule 3b-7 under the Exchange Act) or director of the
Company.

    
      
         

      

      
        25

        
          

        

      

      
         

      

    

     

    (d)           To
the Company’s Knowledge and except as set forth on Schedule 5.6,
as of the date of this Agreement, there are no SEC inquiries or investigations,
other governmental inquiries or investigations or internal investigations
pending or threatened, in each case regarding any accounting practices of the
Company.

     

    5.7         Taxes.  

     

    (a)           Except
as set forth on Schedule
5.7, (i) each of the Company and its Subsidiaries has duly and timely
filed all material Tax Returns required to be filed by it, all such Tax Returns
are true and correct in all material respects, and the Company and each of its
Subsidiaries has paid all material Taxes due and payable, whether or not shown
on such Tax Returns, or has made adequate provision (in accordance with GAAP)
for all material Taxes on the Company Balance Sheet, (ii) there is no pending
examination, investigation, audit, suit, action, claim or proceeding relating to
material Taxes of the Company or any of its Subsidiaries, and no written notice
thereof has been received by the Company or any of its Subsidiaries,
(iii) neither the Company nor any of its Subsidiaries has received written
notice of a determination by any Taxing Authority that any material Tax amounts
are owed by the Company or any of its Subsidiaries, which determination has not
been paid, compromised, or otherwise finally disposed of, and, to the Company’s
Knowledge, no such determination is proposed or threatened, (iv) there are no
Liens arising from or related to Taxes on or pending against the Company or any
of its Subsidiaries, or any of their properties, other than statutory liens for
Taxes that are not yet due and payable, and (v) neither the Company nor any of
its Subsidiaries has waived any statute of limitations with respect to Taxes or
agreed to any extension of time with respect to the assessment or collection of
any Tax, which waiver or extension remains in effect.

     

    (b)           Neither
the Company nor any of its Subsidiaries is a party to or is bound by any Tax
sharing, allocation or indemnification agreement or arrangement (other than such
an agreement or arrangement exclusively between or among the Company and its
Subsidiaries).  Neither the Company nor any of its Subsidiaries has
ever been a member of a consolidated, combined or unitary Tax group (other than
such a group consisting exclusively of the Company and its
Subsidiaries).

     

    (c)           Neither
the Company nor any of its Subsidiaries has constituted either a “distributing
corporation” or a “controlled corporation” (within the meaning of
Section 355(a)(1)(A) of the Code) in a distribution of stock qualifying or
intended to qualify for tax-free treatment under Section 355(a) of the Code
within the two-year period prior to the date of this Agreement.

    
      
         

      

      
        26

        
          

        

      

      
         

      

    

     

    (d)           Neither
the Company nor any of its Subsidiaries has participated in any “listed
transaction” within the meaning of Treasury Regulation section
1.6011-4(b)(2).

     

    (e)           The
Company and each of its Subsidiaries has complied in all material respects with
all applicable laws relating to the payment and withholding of Taxes and has
duly and timely withheld and paid over to the appropriate Taxing Authority all
amounts required to be so withheld and paid over under applicable
Laws.

     

    (f)           No
claim has ever been made in writing by a Taxing Authority in a jurisdiction
where the Company or any of its Subsidiaries does not file Tax Returns that it
or may be subject to taxation by that jurisdiction, except as would not have or
reasonably be expected to have a Material Adverse Effect on the
Company.

     

    5.8         Title to
Properties.  Except as is not having or would not reasonably be
expected to have a Material Adverse Effect on the Company, (i) the Company
or a Subsidiary of the Company has good and valid title to all of the properties
and assets, tangible or intangible, reflected in the Company Interim Financial
Statements as being owned by the Company or a Subsidiary of the Company, free
and clear of all Liens except for Permitted Liens, excluding properties and
assets sold or disposed of by the Company or a Subsidiary of the Company since
the Company Balance Sheet Date in the ordinary course of business consistent
with past practices and in compliance with this Agreement, and (ii) the
Company or a Subsidiary of the Company has good and valid title to, or holds a
valid and enforceable lease for or leasehold interest in, all of the material
personal property used or held for use in the Company’s and its Subsidiaries’
businesses, free and clear of all Liens, except for Permitted Liens, excluding
properties and assets sold or disposed of by the Company or its Subsidiaries
since the Company Balance Sheet Date in the ordinary course of business
consistent with past practices and in compliance with this
Agreement.

     

    5.9         Real
Property.  

     

    (a)           Schedule 5.9(a)
sets forth the address of each Company Owned Real Property.  With
respect to each Company Owned Real Property, except as is not having or would
not reasonably be expected to have a Material Adverse Effect on the
Company:  (i) the Company or a Subsidiary of the Company (as the
case may be and as indicated on Schedule 5.9(a))
has, good and marketable title to such Company Owned Real Property, free and
clear of all Liens, except Permitted Liens, (ii) none of the Company or its
Subsidiaries has leased or otherwise granted to any Person the right to use or
occupy such Company Owned Real Property or any portion thereof, and (iii) none
of the Company or its Subsidiaries is a party to any agreement or option to
purchase any real property or interest therein.  Other than the
Company Owned Real Property set forth or required to be set forth on Schedule 5.9(a),
neither the Company nor any of its Subsidiaries has ever owned any real
property.

    
      
         

      

      
        27

        
          

        

      

      
         

      

    

     

    (b)           Schedule 5.9(b)
sets forth the address of each Company Leased Real Property, and a true, correct
and complete list of all Company Leases for each such Company Leased Real
Property.  Except as set forth on Schedule 5.9(b),
the Company has delivered to Parent prior to the date hereof a true, correct and
complete copy of each such Company Lease document, and in the case of any oral
Company Lease, a written summary of the material terms of such Company Lease,
and in each case any amendments thereto.  Except as is not having or
would not reasonably be expected to have a Material Adverse Effect on the
Company, (i) each such Company Lease is in full force and effect and is a
legal, valid and binding agreement of the Company or a Subsidiary of the
Company, as applicable, and is enforceable against the Company or a Subsidiary
of the Company, as applicable, and to the Company’s Knowledge, the other parties
thereto, subject only to the General Enforceability Exceptions, and each such
Company Lease shall continue to be in full force and effect on the same terms
immediately following the consummation of the transactions contemplated hereby,
and (ii) none of the Company or its Subsidiaries is in breach or default
under any such Company Lease and no event has occurred which, with notice or
lapse of time or both, would constitute such a breach or default by the Company
or its Subsidiaries, as applicable, or, to the Company’s Knowledge, any other
party thereto under such Company Lease.

     

    (c)           Except
as is not having or would not reasonably be expected to have a Material Adverse
Effect on the Company, all of the buildings, fixtures and improvements located
on the Company Owned Real Properties and all building systems thereof are in
good operating condition and repair (subject to normal wear and tear) in all
respects.

     

    (d)           There
does not exist any actual or, to the Company’s Knowledge, threatened or
contemplated condemnation or eminent domain proceedings that affect any Company
Owned Real Property or Company Leased Real Property, or any part thereof, and
the Company has not received any notice of the intention of any Governmental
Authority or other Person to take or use all or any part thereof or claiming any
right to take or use all or any part thereof, except where any of the above are
not having or would not reasonably be expected to have a Material Adverse Effect
on the Company.

     

    (e)           Except
as is not having or would not reasonably be expected to have a Material Adverse
Effect on the Company, each of the Company and its Subsidiaries has all rights
of access, rights of way, easements or surface use agreements necessary or
advisable for the conduct of its business in all material respects, and there is
no pending or, to the Company’s Knowledge, threatened Action by any Governmental
Authority or any other Person to cancel, terminate or modify such rights of
access.

     

    5.10       Compliance
with Laws.  Each of the Company and its Subsidiaries is in
compliance with and not in default under or in violation of any Law or Order
applicable to its business, operations, assets and employees conducting its
business, except where such non-compliance, default or violation is not having
or would not reasonably be expected to have a Material Adverse Effect on the
Company.

     

    5.11       Permits.  The
Company and its Subsidiaries are in possession of all Permits necessary for the
Company and its Subsidiaries to own, lease and operate their properties and
assets or to carry on their businesses as they are now being conducted (the
“Company
Permits”), except where the failure to have any of the Company Permits is
not having or would not reasonably be expected to have, individually or in the
aggregate, a Material Adverse Effect on the Company.  All Company
Permits are in full force and effect, except where the failure to be in full
force and effect is not having or would not reasonably be expected to have,
individually or in the aggregate, a Material Adverse Effect on the
Company.

    
      
         

      

      
        28

        
          

        

      

      
         

      

    

     

    5.12       Employee
Benefits and Labor Matters.

     

    (a)           Schedule 5.12(a)
sets forth a correct and complete list of:  (i) all “employee benefit
plans” (as defined in Section 3(3) of the Employee Retirement Income
Security Act of 1974, as amended (“ERISA”)),
(ii) all material employment or individual consulting agreements, and (iii) all
pension, welfare benefit, bonus or other incentive compensation, stock purchase,
equity or equity-based compensation, deferred compensation, change in control,
tax gross up, severance, leave of absence, vacation, loans, salary continuation,
life insurance and educational assistance plan, policies or agreements, in each
case with respect to which the Company or any of its Subsidiaries has any
obligation or liability, contingent or otherwise, for current or former
employees or directors of the Company or any of its Subsidiaries (collectively,
the “Company
Plans”).  Schedule 5.12(a)
separately sets forth each Company Plan which is subject to Title IV of
ERISA, is a “multiemployer plan”, as defined in Section 3(37) of ERISA (a “Multiemployer
Plan”), or is or has been subject to Sections 4063 or 4064 of
ERISA.

     

    (b)           Correct
and complete copies of the following documents with respect to each of the
Company Plans (other than a Multiemployer Plan) have been delivered to Parent by
the Company to the extent applicable:  (i) any plans and related trust
documents, insurance contracts or other funding arrangements, and all amendments
thereto, (ii) the most recent Forms 5500 and all schedules thereto, (iii) the
most recent actuarial report, if any, (iv) the most recent IRS determination
letter, and (v) the most recent summary plan descriptions or, if none, the most
recent summary or other description provided to participants in such Company
Plan.

     

    (c)           The
Company Plans have been maintained, in all material respects, in accordance with
their terms and with all applicable provisions of ERISA, the Code and other
Laws.

     

    (d)           The
Company Plans intended to qualify under Section 401 or other tax-favored
treatment under of Subchapter B of Chapter 1 of Subtitle A of the
Code are so qualified, and any trusts intended to be exempt from federal income
taxation under the Code are so exempt, except for non-compliance which is not
having or would not reasonably be expected to have a Material Adverse Effect on
the Company.  To the Company’s Knowledge, nothing has occurred with
respect to the operation of the Company Plans that could cause the loss of such
qualification or exemption, or the imposition of any liability, penalty or tax
under ERISA or the Code.

     

    (e)           Neither
the Company nor any of its Subsidiaries contributes to or has any liability or
potential liability with respect to any Multiemployer Plan.  Parent
will not have any obligation to make any contribution or other payment to any
Multiemployer Plan which it would not have had but for the consummation of the
transactions contemplated by this Agreement.

     

    (f)           There
are no pending Actions arising from or relating to the Company Plans (other than
routine benefit claims), and to the Company’s Knowledge, there are no facts that
could form the basis for any such Action.

     

    (g)           Except
as set forth on Schedule 5.12(g),
neither the execution and delivery of this Agreement nor the consummation of the
transactions contemplated hereby will (i) result in any payment becoming
due to any employee, (ii) increase any benefits otherwise payable under any
Company Plan, (iii) result in the acceleration of the time of payment or vesting
of any such benefits under any such plan, or (iv) require any contributions or
payments to fund any obligations under any Company Plan.

    
      
         

      

      
        29

        
          

        

      

      
         

      

    

     

    (h)           Any
individual who performs services for the Company or any of its Subsidiaries
(other than through a contract with an organization other than such individual)
and who is not treated as an employee of the Company or any of its Subsidiaries
for purposes of applicable taxes or the Company Plans is and has been properly
treated in all material respects by the Company as not being an employee for
such purposes.

     

    (i)           Except
as set forth on Schedule 5.12(i),
(i) none of the employees of the Company or its Subsidiaries is represented in
his or her capacity as an employee of the Company or any of its Subsidiaries by
any labor organization, (ii) neither the Company nor any of its
Subsidiaries has recognized any labor organization, nor has any labor
organization been elected as the collective bargaining agent of any employees,
nor has the Company or any of its Subsidiaries entered into any collective
bargaining agreement or union contract recognizing any labor organization as the
bargaining agent of any employees, nor is the Company or any of its Subsidiaries
party to or otherwise bound by any collective bargaining agreement or other
agreement with any labor organization, and (iii) there is no union organization
activity involving any of the employees of the Company or any of its
Subsidiaries pending or, to the Company’s Knowledge,
threatened.  There is no picketing pending or, to the Company’s
Knowledge, threatened, and there are no strikes, slowdowns, work stoppages,
other job actions, lockouts, arbitrations, grievances or other labor disputes
involving any of the employees of the Company or any of its Subsidiaries pending
or, to the Company’s Knowledge, threatened.  There are no Actions
against the Company or any of its Subsidiaries pending or, to the Company’s
Knowledge, threatened that could be brought or filed with any Governmental
Authority or arbitrator based on, arising out of, in connection with, or
otherwise relating to the employment or termination of employment or failure to
employ by the Company or any of its Subsidiaries, of any individual, which if
adversely determined against the Company or any of its Subsidiaries, would
reasonably be expected to have a Material Adverse Effect on the
Company.  The Company and its Subsidiaries are in compliance in all
material respects with all Laws relating to the employment of labor, including
all such Laws relating to wages, hours, the Worker Adjustment and Retraining
Notification Act and any similar state or local “mass layoff” or “plant closing”
law (“WARN”),
collective bargaining, discrimination, civil rights, safety and health, workers’
compensation and the collection and payment of withholding and/or social
security taxes and any similar tax.  There has been no “mass layoff”
or “plant closing” (as defined by WARN) with respect to the Company or any
of its Subsidiaries since December 31, 2008.

     

    5.13        Material
Contracts.  Set forth on Schedule 5.13 is a true,
correct and complete list of each of the following types of Contracts to which
the Company or any of its Subsidiaries are a party or by which any of their
respective properties or assets are bound as of the date of this
Agreement:

     

    (a)           Contracts
made or entered into outside of the ordinary course of business and that limit
or otherwise restrict in any material respect the Company or any of its
Subsidiaries (or, after the Effective Time, the Surviving Corporation, Parent or
any of their respective Subsidiaries) from engaging or competing in any material
line of business in any location or with any Person;

    
      
         

      

      
        30

        
          

        

      

      
         

      

    

     

    (b)           Contracts
made or entered into outside of the ordinary course of business and that include
any material exclusive dealing arrangement or any other material arrangement
that grants any material right of first refusal or material right of first offer
or similar material right or that limits or purports to limit in any material
respect the ability of the Company or its Subsidiaries (or, after the Effective
Time, the Surviving Corporation, Parent or any of their respective Subsidiaries)
to own, operate, sell, transfer, pledge or otherwise dispose of any material
assets or business;

     

    (c)           Contracts
evidencing a joint venture, alliance or partnership agreement;

     

    (d)           Contracts
relating to the borrowing of money or to mortgaging, pledging or otherwise
placing a Lien (other than a Permitted Lien) on any portion of the assets of the
Company or any of its Subsidiaries;

     

    (e)           Contracts
evidencing indebtedness for borrowed money or any guarantees of any obligation
in respect of indebtedness for borrowed money or other material
guarantees;

     

    (f)      
     bonds, debentures, notes, or other debt
securities;

     

    (g)           Contracts
containing an obligation to pay a deferred purchase price for property, assets
or services (including any obligation in respect of earnout payments, noncompete
payments and similar payments) other than obligations with respect to trade
payables or other obligations incurred in the ordinary course of
business;

     

    (h)           interest
rate swap agreements, forward rate agreements, interest rate cap or collar
agreements or other financial agreements or arrangements entered into for the
purpose of limiting or managing interest rate risks;

     

    (i)           
leases or other Contracts under which the Company or any of its Subsidiaries is
the lessee of, or holds or operates any personal property owned by another
Person, for which the annual rent exceeds $500,000;

     

    (j)        
   Contracts or group of related Contracts with the same party
for the purchase of products or services, under which the undelivered balance of
such products and services has a selling price in excess of
$1,000,000;

     

    (k)           Contracts
or group of related Contracts with the same party for the sale of products or
services, under which the undelivered balance of such products or services has a
sales price in excess of $1,000,000;

     

    (l)           
Contracts relating to (i) the licensing of Intellectual Property by the
Company or any of its Subsidiaries to a third party or by a third party to the
Company or any of its Subsidiaries, in each case involving consideration in
excess of $500,000 per annum or (ii) material Intellectual Property
cross-licensing arrangements;

    
      
         

      

      
        31

        
          

        

      

      
         

      

    

     

    (m)          Contracts
related to the acquisition or disposition by the Company or any of its
Subsidiaries of any operating business or the equity interests of any other
Person;

     

    (n)           consulting,
broker or management services agreements or Contracts for the employment of any
officer, employee or other Person or a severance agreement, pursuant to which
the annual base salary for any such officer, employee or other Person is greater
than $100,000;

     

    (o)           Contracts
pursuant to which the Company or any of its Subsidiaries lends money to any
other Person;

     

    (p)           material
Contracts relating to the distribution, marketing, sale, advertising or
promotion of the Company’s or any of its Subsidiaries’ products or
services;

     

    (q)           Contracts
relating to the subcontracting of material services to third parties;
and

     

    (r)           
leases that have been or are required to be capitalized under GAAP.

     

    All such
Contracts listed or required to be listed on Schedule 5.13
are referred to herein as “Company Material
Contracts.”

     

    Except as
set forth on Schedule 5.13,
each Company Material Contract is valid and binding and in full force and effect
and, to the Company’s Knowledge, enforceable against the other party or parties
thereto in accordance with its terms, subject only to the General Enforceability
Exceptions.  Except as set forth on Schedule 5.13,
neither the Company nor any of its Subsidiaries, nor to the Company’s Knowledge
any other party to a Company Material Contract, has materially violated any
provision of, or taken or failed to take any act which, with or without notice,
lapse of time, or both, would constitute a material default under the provisions
of such Company Material Contract, and neither the Company nor any of its
Subsidiaries has received written notice that it has materially breached,
violated or defaulted under any Company Material Contract.

     

    5.14       Legal
Proceedings.  Except as set forth on Schedule 5.14,
(i) there is no investigation or review pending (or, to the Company’s Knowledge,
threatened) by any Governmental Authority with respect to the Company or any of
its Subsidiaries, and (ii) there are no Actions pending or, to the Company’s
Knowledge, threatened against the Company or any of its Subsidiaries or their
respective assets, and there are no Orders that, in the case of clause (i) or
(ii) or, to the Company’s Knowledge, otherwise question the validity of this
Agreement or the transactions contemplated hereby or that are having or would
reasonably be expected to have a Material Adverse Effect on the
Company.

    
      
         

      

      
        32

        
          

        

      

      
         

      

    

     

    5.15       Intellectual
Property.  

     

    (a)           Schedule 5.15(a)
sets forth a complete and accurate list of all Registered Intellectual Property
owned, filed or applied for by the Company or any of its Subsidiaries,
including, for each item of Registered Intellectual Property (i) the record
owner (and, if different from the record owner, the beneficial owner) of such
item of Registered Intellectual Property, (ii) the jurisdiction in which
such item of Registered Intellectual Property has been issued or registered or
is pending and (iii) the date and number of such item of Registered Intellectual
Property.  Except as is not having or would not reasonably be expected
to have a Material Adverse Effect on the Company, the Registered Intellectual
Property owned, filed or applied for by the Company or any of its Subsidiaries
is subsisting and, to the Company’s Knowledge, valid and
enforceable.

     

    (b)           The
Company and its Subsidiaries own or have sufficient rights to use all material
Company Intellectual Property as the same is used, sold, licensed and exploited
in the respective businesses of the Company and its Subsidiaries as currently
conducted, and the Company Intellectual Property owned by or licensed to the
Company or any of its Subsidiaries includes all material Intellectual Property
and Technology necessary and sufficient for the Company and its Subsidiaries to
conduct their respective businesses as currently conducted.

     

    (c)           To
the Company’s Knowledge, (i) neither the conduct of the business of the Company
or any of its Subsidiaries (including the manufacture, use, licensing, offering
for sale, sale, importation, exportation or other exploitation of any products
or services in connection with the business of the Company or any of its
Subsidiaries) nor any of the Company Intellectual Property (or the use, practice
or exploitation thereof) infringes, constitutes or results from a
misappropriation of or violates any Intellectual Property rights of any Person
and (ii) except as is not having or would not reasonably be expected to have a
Material Adverse Effect on the Company, none of the Company Intellectual
Property owned by or exclusively licensed to the Company or any of its
Subsidiaries is being infringed, misappropriated or violated by any
Person.

     

    (d)           There
are no claims pending or, to the Company’s Knowledge, threatened against the
Company or any of its Subsidiaries (i) alleging that the Company or any of its
Subsidiaries is infringing, misappropriating or violating any Intellectual
Property of any Person or (ii) challenging the ownership, use, validity or
enforceability of any material Company Intellectual Property.  Neither
the Company nor any of its Subsidiaries has made any written or, to the
Company’s Knowledge, unwritten claims against any Person alleging that any
Person is infringing, misappropriating or violating any material Company
Intellectual Property owned by or exclusively licensed to the Company or any of
its Subsidiaries.

     

    (e)           The
Company and each of its Subsidiaries have taken reasonable measures to protect
the confidentiality of all material Trade Secrets owned by the Company or any of
its Subsidiaries.

     

    (f)           Schedule 5.15(f)
sets forth a complete and accurate list of all Software developed by or for, or
exclusively licensed to, the Company or any of its Subsidiaries (“Company
Software”).  Neither the Company nor any of its Subsidiaries
has licensed or provided to any Person any source code or related source code
materials for any material Company Software.  No open source Software,
free Software, “shareware” or other Software distributed under any similar
distribution models is incorporated or embedded in or distributed with, or was
or is used in connection with the development, maintenance or operation of, any
Company Software in a manner that requires or obligates the Company or any of
its Subsidiaries to make available, disclose, contribute, distribute or license
the source code for any material Company Software to any Person (including the
open source community).

    
      
         

      

      
        33

        
          

        

      

      
         

      

    

     

    (g)           The
consummation of the transactions contemplated by this Agreement will not result
in the loss or impairment of any right of the Company or any of its Subsidiaries
to own, use, sell, license or exploit any material Company Intellectual
Property.

     

    (h)           Except
as is not having or would not reasonably be expected to have a Material Adverse
Effect on the Company, (i) the IT Systems owned, leased or licensed by the
Company or any of its Subsidiaries are adequate and sufficient in all material
respects (including with respect to working condition and capacity) for the
operation of the respective businesses of the Company and its Subsidiaries as
currently conducted, and (ii) the Company and each of its Subsidiaries have
taken reasonable measures to protect the confidentiality, integrity and security
of such IT Systems (and any Software, data or information stored
thereon).

     

    (i)           
The Company and each of its Subsidiaries have established privacy compliance
policies and are in compliance with, and have been in compliance with for the
two-year period prior to the date hereof, their respective privacy policies and
any Laws relating to personal identifiable information.

     

    5.16       Insurance.

     

    (a)           Schedule 5.16(a)
sets forth (i) a true and complete list of all material policies of
insurance covering the Company and its Subsidiaries and their respective
businesses as of the date hereof (each a “Company
Policy” and collectively, the “Company
Policies”), and (ii) the name of the insurer and the name of the
policyholder, period of coverage, amount of coverage, amount of any deductible,
the annual premium and the general type of coverage provided under such Company
Policy.

     

    (b)           Except
as set forth on Schedule 5.16(b)
or except as is not having or would not reasonably be expected to have a
Material Adverse Effect on the Company, (i) each Company Policy is in full
force and effect, all premiums due thereon have been paid in full and the
Company and its Subsidiaries are in compliance with the terms and conditions of
such Company Policy, (ii) neither the Company nor any of its Subsidiaries
is in breach or default under any Company Policy and (iii) no event has
occurred which, with notice or lapse of time, would constitute such breach or
default, or permit termination or modification, under any Company
Policy.

     

    5.17       Environmental
Matters.  Except as is not having or would not reasonably be
expected to have a Material Adverse Effect on the Company:

     

    (a)           the
operations of the Company and each of its Subsidiaries are and have been in
compliance with all applicable Environmental Laws, which compliance includes
obtaining, maintaining in good standing and complying with all Environmental
Permits;

     

    (b)           no
claim has been made or is pending, or to the Company’s Knowledge, threatened
against the Company or any of its Subsidiaries alleging either or both that the
Company or any of its Subsidiaries may be in violation of any Environmental Law
or Environmental Permit, or may have any liability under any Environmental
Law;

    
      
         

      

      
        34

        
          

        

      

      
         

      

    

     

    (c)           to
the Company’s Knowledge, no facts, circumstances or conditions exist with
respect to the Company or any of its Subsidiaries or any property currently or
formerly owned, operated or leased by the Company or any of its Subsidiaries or
any property to which the Company or any of its Subsidiaries arranged for the
disposal or treatment of Hazardous Materials that could adversely affect the
Company’s compliance with Environmental Laws and Environmental Permits or could
reasonably be expected to result in the Company or any of its Subsidiaries
incurring unbudgeted Environmental Costs and Liabilities;

    

    (d)           the
transactions contemplated hereby do not require the consent of or filings with
any Governmental Authority with jurisdiction over the Company or any Subsidiary
of the Company with respect to environmental matters; and

     

    (e)           the
Company has provided to Parent all environmentally related audits, studies,
reports, analyses and results of investigations that have been performed with
respect to the currently or previously owned, leased or operated properties of
the Company or any of its Subsidiaries.

     

    5.18       Absence
of Certain Changes or Events.  

     

    (a)           Since
the Company Balance Sheet Date, (i) the Company and its Subsidiaries have
conducted, in all material respects, their respective businesses and operations
in the ordinary course of business consistent with past practices,
(ii) there has not occurred any change, occurrence or development that has
had or could reasonably be expected to have, individually or in the aggregate, a
Material Adverse Effect on the Company, (iii) none of the Company or any of
its Subsidiaries have experienced any damage, destruction, casualty or loss
materially and adversely affecting any material assets, properties or business
of the Company or any of its Subsidiaries, and (iv) the Company and its
Subsidiaries have not (except as expressly contemplated by the parties hereto in
connection with the transactions contemplated hereby or as set forth on Schedule
5.18):

     

    (i)           incurred,
assumed, guaranteed, prepaid or otherwise become liable for any indebtedness for
borrowed money, except for (A) financing of equipment or vehicle purchases
incurred in the ordinary course of business or (B) indebtedness incurred in the
ordinary course of business consistent with past practice under its senior
credit facility;

     

    (ii)          except
in the ordinary course of business consistent with past practice, (A) sold,
assigned, licensed, transferred, conveyed, leased or otherwise disposed of, any
material property or assets, including the capital stock of its Subsidiaries,
(B) mortgaged or encumbered, or permitted, allowed or suffered to be
encumbered, any property or assets other than Permitted Liens, or
(C) canceled any debts owed to or claims, or waived or released any
material right, held by the Company or its Subsidiaries;

     

    (iii)         acquired
(by merger, consolidation, stock or asset purchase or otherwise) any Person or
any business, division or material assets of any Person or executed, entered
into or agreed upon any letter of intent, term sheet or similar arrangement,
whether binding or non-binding, to so acquire any Person or any business,
division or material assets;

     

    
      
         

      

      
        35

        
          

        

      

      
         

      

    

     

    (iv)          made
any capital expenditures, loans, advances or capital contributions to, or
investments in, any other Person in excess of $500,000 in the
aggregate;

     

    (v)           terminated
any Contracts that would constitute a Company Material Contract if it was in
existence as of the date hereof, except Contracts made in the ordinary course of
business consistent with past practice, or amended, supplemented or waived any
rights under any existing Company Material Contract;

     

    (vi)          made
any investments in or loans to, paid any fees or expenses to, entered into or
modified any Contract with, or forgiven any loans to any Affiliate, Subsidiary,
or director, officer, or employee of the Company (including any of its
Affiliates or Subsidiaries);

     

    (vii)         entered
into, committed to enter into, adopted, amended or terminated any Contract
relating to the compensation or severance of any employee of the Company or its
Subsidiaries (including any change-in-control agreements) other than in the
ordinary course of business or pursuant to annual compensation reviews for
non-salaried employees in the ordinary course of business consistent with past
practice or Contracts providing for payments not exceeding $100,000 annually and
for a term not exceeding one year;

     

    (viii)        taken
any action to increase or accelerate the vesting or payment (or fund or in any
other way secure the payment) of compensation or benefits of any current or
former director, officer, or employee (except for new hires, promotions, or
increases in hourly wage rates in the ordinary course of business consistent
with past practice);

     

    (ix)          granted
any severance or termination pay to any current or former director, officer,
employee or consultant, except as required by an existing Company Plan or
Contract;

     

    (x)          
amended any Company Plan to increase the benefits available thereunder, other
than scheduled changes in the ordinary course of business consistent with past
practice or created any new Company Plan;

     

    (xi)           made
any material change to its accounting (including Tax accounting) methods,
principles or practices, except as may be required by GAAP or applicable Law,
including changing any actuarial or other assumptions used to calculate funding
obligations with regard to any Company Plan or changing the manner in which
contributions to such plans are made or the basis on which such contributions
are determined;

     

    (xii)          made
or changed any material election concerning Taxes or Tax Returns, filed any
material amended Tax Return, entered into any closing agreement with respect to
Taxes, settled any material Tax claim or assessment or surrendered any right to
claim a material refund of Taxes or obtained any Tax ruling;

     

    
      
        
        

      

      
        36

        
          

        

      

      
        
        

      

    

     

    (xiii)        taken
any action, or failed to take any action, which action or failure to act would
reasonably be expected to cause the Merger to fail to qualify as a
“reorganization” within the meaning of Section 368(a) of the
Code;

     

    (xiv)        settled
or compromised any Action, or released, dismissed or otherwise disposed of any
Action, other than settlements, compromises, releases, dismissals or
dispositions of an Action that involve the payment of monetary damages not in
excess of $100,000 individually or $250,000 in the aggregate by the Company or
any Subsidiary of the Company and do not involve any material injunctive or
other non-monetary relief or impose restrictions on the business or operations
of the Company or any of its Subsidiaries;

     

    (xv)         entered
into interest rate swaps and other similar hedging arrangements other than for
purposes of offsetting a bona fide exposure (including counterparty risk);
or

     

    (xvi)        agreed
or committed to do any of the foregoing.

     

     
  (b)      Since the Company Balance Sheet
Date, the Company and its Subsidiaries have not taken any action or inaction
outside of the ordinary course of business consistent with past practices with
the intent of reducing working capital, including accelerating or decelerating
any scheduled receipts or payments or incurring any additional indebtedness for
borrowed money (except for (i) financing of equipment or vehicle purchases
incurred in the ordinary course of business or (ii) indebtedness incurred in the
ordinary course of business consistent with past practice under its senior
credit facility).  Since the Company Balance Sheet Date, the Company
and its Subsidiaries have not declared or paid any dividends or distributions
(whether in cash, stock or property or any combination thereof) or repurchased
any shares of capital stock or other equity interests.

     

    5.19           Customers
and Suppliers.  Schedule 5.19
sets forth (i) each of the Company’s and its Subsidiaries’ ten largest customers
as a percentage of the Company’s consolidated revenue for the 11 months ended
November 28, 2009 and (ii) each of the Company’s and its Subsidiaries’ ten
largest suppliers as a percentage of the Company’s consolidated purchases for
the 11 months ended November 28, 2009.  Except as set forth on
Schedule 5.19,
since December 31, 2008, no customer or supplier listed or required to be
listed on Schedule 5.19
has terminated its relationship with the Company or any of its Subsidiaries or
materially reduced or changed the price, volume or other terms of its business
with the Company or any of its Subsidiaries and, to the Company’s Knowledge, no
such customer or supplier has notified the Company or any of its Subsidiaries
that it intends to terminate or materially reduce or change the pricing, volume
or other terms of its business with the Company or any of its
Subsidiaries.

     

    5.20           No
Brokers; Management Agreements.  Except as set forth on Schedule
5.20, no broker, finder or similar agent has been employed by or on
behalf of the Company or any of its Subsidiaries, and no Person with which the
Company or any of its Subsidiaries has had any dealings or communications of any
kind is entitled to any brokerage commission, finder’s fee or any similar
compensation in connection with this Agreement or the transactions contemplated
hereby.  There are no management agreements or similar agreements
binding upon the Company or any of its Subsidiaries, other than the HM Financial
Advisory Agreement, which is being terminated in connection with the Closing,
and the HM Monitoring and Oversight Agreement.

     

    
      
        
        

      

      
        37

        
          

        

      

      
        
        

      

    

     

    5.21           No
Undisclosed Liabilities.  Neither the Company nor any of its
Subsidiaries has any obligation or liability (whether or not accrued, absolute,
contingent, unliquidated or otherwise), except for (i) liabilities
specifically reflected and reserved against on the Company Balance Sheet,
(ii) liabilities permitted or contemplated by this Agreement,
(iii) liabilities that have arisen after the Company Balance Sheet Date in
the ordinary course of business consistent with past practices that are not
material, individually or in the aggregate, to the Company and its Subsidiaries
taken as a whole, (iv) liabilities listed on Schedule 5.21
or (v) liabilities that would not reasonably be expected to have a Material
Adverse Effect on the Company and its Subsidiaries, taken as a
whole.

     

    5.22           Required
Vote of the Company Stockholders.  The affirmative vote of
(i) a majority of the outstanding Company Common Stock and the Company
Preferred Stock, voting together as a single class on an as-converted basis, and
(ii) a majority of the outstanding Company Preferred Stock, voting as a
separate class, are the only votes of holders of securities of the Company that
are required to approve this Agreement and the Merger (the “Company
Stockholder Approval”).

     

    5.23           Debt.  Schedule
5.23 sets forth the current outstanding principal amount and all accrued
and unpaid interest (and each agreement with respect thereto), as of the end of
the Business Day immediately prior to the Closing, of all indebtedness for
borrowed money (but, for the avoidance of doubt, excluding any capital leases,
accounts payable, lines of credit with customers or suppliers and any amounts
owed with respect to credit cards, including Comdata and Wright Express credit
cards) of the Company and its Subsidiaries that have a current principal amount
owing in excess of $250,000.  To the Company’s Knowledge, (i) the
representations and warranties contained in each of the agreements in respect of
indebtedness for borrowed money required to be included on Schedule 5.23
(the “Schedule 5.23
Agreements”) are true and correct in all material respects on and as of
the date hereof, before and after giving effect to the Closing, as though made
on and as of the date hereof, other than any such representations or warranties
that, by their terms, refer to a specific date other than the date hereof, in
which case such representations and warranties are true and correct in all
material respects as of such specific date and (ii) no default (howsoever
described in the applicable Schedule 5.23 Agreement) with respect to any of the
Schedule 5.23 Agreements has occurred and is continuing.

     

    5.24           Restated
Financial Statements.  The restatement of the Company’s
accounts receivable reserve accrual balance as of December 31, 2008 (as
reflected in the Company Financial Statements) is consistent with the terms
disclosed to the Administrative Agent (as defined in the Unitek First Lien
Credit Agreement) prior to the Forbearance Effective Date (as defined in
Amendment No. 4 to the Unitek First Lien Credit
Agreement).  

     

    
      
        
        

      

      
        38

        
          

        

      

      
        
        

      

    

     

    5.25           No
Additional Representations.  The Company acknowledges that
neither Parent nor Merger Sub makes any representation or warranty as to any
matter whatsoever except as expressly set forth in this Agreement or in any
certificate delivered by Parent or Merger Sub to the Company in accordance with
the terms hereof, and specifically (but without limiting the generality of the
foregoing) that neither Parent nor Merger Sub makes any representation or
warranty with respect to (i) any projections, estimates or budgets
delivered or made available to the Company (or any of its Affiliates or
Representatives) of future revenues, results of operations (or any component
thereof), cash flows or financial condition (or any component thereof) of Parent
and its Subsidiaries or (ii) the future business and operations of Parent
and its Subsidiaries.

     

    ARTICLE
VI

     

    REPRESENTATIONS
AND WARRANTIES OF PARENT AND MERGER SUB

     

    Except as
disclosed in the Parent SEC Documents filed or furnished with the SEC since June
30, 2007 but prior to the date hereof (but excluding any risk factor disclosures
contained under the heading “Risk Factors,” any disclosure of risks included in
any “forward-looking statements” disclaimer or any other statements that are
similarly predictive or forward-looking in nature, other than, in the case of
any such disclosures or other statements, any factual or historical information
contained therein) Parent and Merger Sub represent and warrant to the Company
that, as of immediately prior to the consummation of the transactions
contemplated hereby:

     

    6.1           Organization
and Standing.  Each of Parent and its Subsidiaries is an entity
duly organized or formed, validly existing and in good standing under the Laws
of its respective jurisdiction of incorporation or organization.  Each
of Parent and its Subsidiaries is duly qualified to do business, and is in good
standing, in each jurisdiction in which the character of the properties owned or
leased by it or in which the conduct of its business requires it to be so
qualified, except where the failure to be so qualified or to be in good standing
would not have a Material Adverse Effect on Parent.  Each of Parent
and its Subsidiaries has all requisite corporate or similar power and authority
to own, lease and operate its properties and assets and to carry on its business
as currently conducted in all material respects.

     

    6.2           Authority,
Validity and Effect.  Parent has the requisite corporate power
and authority to enter in this Agreement and to consummate the transactions
contemplated hereby.  The execution, delivery and performance by
Parent of this Agreement and each other agreement or document contemplated to be
executed and delivered by it or any of its Subsidiaries in connection with the
transactions contemplated hereby (the “Parent
Documents”) and the consummation of the Merger and the other transactions
contemplated hereby and thereby have been duly and validly authorized by all
requisite action on the part of Parent, and no other proceedings on its part are
necessary to authorize the execution, delivery or performance of this Agreement
or the Parent Documents.  This Agreement has been, and each of the
Parent Documents shall be at or prior to the Closing, duly executed and
delivered by Parent and each of its Subsidiaries (to the extent such Person is a
party thereto) and assuming the due authorization, execution and delivery by the
other parties hereto and thereto, constitutes, and each of the Parent Documents
when so executed and delivered shall constitute, a legal, valid and binding
obligation of Parent and each such Subsidiary, enforceable against it in
accordance with its terms, except as limited by the General Enforceability
Exceptions.  

     

    
      
        
        

      

      
        39

        
          

        

      

      
        
        

      

    

     

    6.3           Capitalization.  

     

      (a)           The
authorized capital stock of Parent consists of 100,000,000 shares of Parent
Common Stock and 2,000,000 shares of preferred stock, par value $0.00002 per
share (“Parent Preferred
Stock”), of which 1,317,602 shares have been designated Parent
Series A Preferred Stock and 682,398 shares have been designated Parent
Series B Preferred Stock.  As of the close of business on December 31,
2009 (the “Parent
Capitalization Date”), (i) 26,515,732 shares of Parent Common Stock
were issued and outstanding, (ii) no shares of Parent Common Stock were
held in treasury, (iii) 2,203,977 shares of Parent Common Stock were
issuable pursuant to the Parent Stock Option Plans in respect of Parent Stock
Options, (iv) 1,003,572 shares of Parent Common Stock were issuable
pursuant to the Parent Warrants, and (v) no shares of Parent Preferred
Stock (including Parent Series A Preferred Stock and Parent Series B
Preferred Stock) were issued or outstanding.  All outstanding shares
of Parent Common Stock are, and all shares of Parent Common Stock reserved for
issuance as noted in clauses (iii) and (iv), when issued in accordance with
the respective terms thereof, will be, duly-authorized, validly-issued,
fully-paid and nonassessable and were not or will not be issued in violation of
any preemptive or similar right.  Other than Parent Common Stock and
Parent Preferred Stock (including Parent Series A Preferred Stock and
Parent Series B Preferred Stock), Parent has no other authorized or issued
classes of capital stock.  From the close of business on the Parent
Capitalization Date through the date of this Agreement, there have been no
issuances of shares of capital stock or equity securities of Parent or any other
securities of Parent other than (i) the issuance of Parent Stock Options
exercisable for up to 5,000 shares of Parent Common Stock and
(ii) issuances of shares of Parent Common Stock pursuant to the exercise of
Parent Stock Options outstanding as of the Parent Capitalization Date under the
Parent Stock Option Plans.

     

      (b)           Except
as set forth in Section 6.3(a)
or on Schedule
6.3, there are no (i) outstanding or authorized Rights with respect
to Parent or any of its Subsidiaries, (ii) voting trusts, proxies or other
agreements or understandings, or (iii) agreements or understandings with respect
to any management or board rights or other rights (including any registration
rights agreements, investor rights agreements, voting agreements, stockholder
agreements or comparable agreements) to which Parent or any of its Subsidiaries
is a party or by which Parent or any of its Subsidiaries is bound with respect
to the voting, transfer, registration or other disposition of its shares of
capital stock.

     

      (c)           Except
as set forth on Schedule 6.3,
neither Parent nor any of its Subsidiaries has outstanding bonds, debentures,
notes or other obligations, the holders of which have the right to vote (or
which are convertible into or exchangeable or exercisable for securities having
the right to vote) with the stockholders of Parent on any matter.

     

      (d)           Except
as set forth on Schedule 6.3,
there are no outstanding obligations of Parent or any of its Subsidiaries
restricting the transfer of, containing any right of first refusal or granting
any antidilution rights with respect to, any shares of capital stock or other
ownership interests of Parent or any of its Subsidiaries.  No
Subsidiary of Parent owns any shares of capital stock of Parent.

     

    
      
        
        

      

      
        40

        
          

        

      

      
        
        

      

    

     

      (e)           The
shares of Parent Common Stock, Parent Series A Preferred Stock and Parent Series
B Preferred Stock to be issued pursuant to this Agreement have been duly
authorized and, when issued and delivered in accordance with the terms of this
Agreement, will have been validly-issued and will be fully-paid and
nonassessable and the issuance thereof is not subject to any preemptive or other
similar right.

     

    6.4           Subsidiaries.  Schedule
6.4 sets forth the name of each Subsidiary of Parent, and, with respect
to each such Subsidiary, (i) the jurisdiction in which it is incorporated
or organized, (ii) the number of shares of its authorized capital stock or
other voting securities or ownership interests, (iii) the number and class
of shares, other voting securities or ownership interests thereof duly issued
and outstanding, (iv) the names of all stockholders or other equity owners
and the number of shares of stock or other voting securities or ownership
interests owned by each stockholder or equity owner.  The outstanding
shares of capital stock or other voting securities or ownership interests of
each Subsidiary of Parent are validly-issued, fully-paid and nonassessable and
were not issued in violation of any purchase or call option, right of first
refusal, subscription right, preemptive right or any similar
right.  All such shares, voting securities or ownership interests
represented as being owned by Parent or any of its Subsidiaries are owned by
them free and clear of any and all Liens, except as set forth on Schedule
6.4.  No shares of capital stock or other voting securities or
ownership interests are held by any Subsidiary of Parent as treasury
stock.  Parent does not own, directly or indirectly, any capital stock
or other voting securities or ownership interests of any Person other than its
Subsidiaries.

     

    6.5           No
Conflict; Required Filings and Consents.

     

      (a)           The
execution and delivery of this Agreement or the Parent Documents by Parent or
any of its Subsidiaries, and, except as described in Section 6.5(b),
the consummation by Parent or any of its Subsidiaries of the transactions
contemplated hereby or thereby and compliance by Parent or any of its
Subsidiaries with any of the provisions hereof or thereof, will not
(i) conflict with or result in a breach of any provisions of the articles
or certificate of incorporation, certificate of formation, bylaws or operating
agreement (or equivalent organizational documents), in each case as may be
amended, of Parent or any of its Subsidiaries, (ii) except as set forth on
Schedule 6.5(a),
constitute (with or without due notice or lapse of time or both) or result in
the breach of any term, condition or provision of, or constitute a default
under, or give rise to any right of termination, cancellation, modification or
acceleration with respect to, any Parent Material Contract (or result in the
creation or imposition of a Lien upon any material property or assets of Parent
or any of its Subsidiaries), or (iii) conflict with or violate any Order,
Law or Permit applicable to Parent or any of its Subsidiaries or any of their
respective properties or assets, other than, in the case of clauses (ii) and
(iii), any such breach, default, termination, cancellation, modification,
acceleration, Lien, conflict or violation that would not reasonably be expected
to have a Material Adverse Effect on Parent.

     

      (b)           Other
than (i) as set forth on Schedule 6.5(b),
(ii) in connection with or in compliance with (A) the Exchange Act,
(B) the Securities Act and (C) the HSR Act, and (iii) the filing
of the Certificate of Merger with the Secretary of State of the State of
Delaware, no Consent is required by Parent or any of its Subsidiaries for the
consummation by Parent or any of its Subsidiaries of the transactions
contemplated by this Agreement or by the Parent Documents or to maintain any
material Permit held by Parent or any of its Subsidiaries except for such
Consents that if not obtained or made, would not reasonably be expected to have
a Material Adverse Effect on Parent.

     

    
      
        
        

      

      
        41

        
          

        

      

      
        
        

      

    

     

    6.6           Financial
Statements; SEC Filings.

     

     
(a)           True,
correct and complete copies of the following financial statements have been
delivered to the Company prior to the date hereof: (i) the audited consolidated
balance sheets of Parent as of June 30, 2008 and 2009, and the related
audited consolidated statements of operations, stockholders’ equity, and cash
flows for the years ended June 30, 2008 and 2009, together with the notes
thereto (collectively, the “Parent Audited
Financial Statements”), and (ii) the unaudited consolidated balance sheet
(the “Parent Balance
Sheet”) of Parent as of September 30, 2009 (the “Parent Balance
Sheet Date”), and the related unaudited consolidated statements of
operations and cash flows for the three-month period then ended (the “Parent Interim
Financial Statements” and together with the Parent Audited Financial
Statements, the “Parent Financial
Statements”).

     

     
(b)           The Parent
Financial Statements (i) have been prepared in accordance with GAAP and fairly
present, in all material respects, the financial position, results of
operations, stockholders’ equity, and cash flows of Parent, on a consolidated
basis with its Subsidiaries, as of the dates and for the periods indicated, and
(ii) were prepared in accordance with the books and records of Parent and its
Subsidiaries (subject, in the case of the Parent Interim Financial Statements,
to those items set forth on Schedule 6.6,
normal year-end adjustments and the notes thereto).

     

     
(c)           From
June 30, 2008 through the date of this Agreement, Parent has filed or
furnished all forms, documents and reports required to be filed or furnished by
it with the SEC (the “Parent SEC
Documents”).  None of Parent’s Subsidiaries is required to make
any filings with the SEC.  As of their respective dates or, if amended
prior to the date hereof, as of the date of the last such amendment, the Parent
SEC Documents complied in all material respects with the requirements of the
Securities Act and the Exchange Act, as the case may be, and the applicable
rules and regulations promulgated thereunder, and none of the Parent SEC
Documents (excluding any Parent Financial Statements included therein) contained
any untrue statement of a material fact or omitted to state any material fact
required to be stated therein or necessary to make the statements therein, in
light of the circumstances under which they were made, not
misleading.

     

     
(d)           To Parent’s
Knowledge, as of the date of this Agreement, there are no SEC inquiries or
investigations, other governmental inquiries or investigations or internal
investigations pending or threatened, in each case regarding any accounting
practices of Parent.

     

    
      
        
        

      

      
        42

        
          

        

      

      
        
        

      

    

     

    6.7           Internal
Controls and Procedures.  Parent has established and maintains
disclosure controls and procedures and internal control over financial reporting
(as such terms are defined in paragraphs (e) and (f), respectively, of
Rule 13a-15 under the Exchange Act) as required by Rule 13a-15 under
the Exchange Act.  Parent’s disclosure controls and procedures are
reasonably designed to ensure that all material information required to be
disclosed by Parent in the reports that it files or furnishes under the Exchange
Act is recorded, processed, summarized and reported within the time periods
specified in the rules and forms of the SEC, and that all such material
information is accumulated and communicated to Parent’s management as
appropriate to allow timely decisions regarding required disclosure and to make
the certifications required pursuant to Sections 302 and 906 of the
Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley
Act”).  Parent’s management has completed an assessment of the
effectiveness of Parent’s disclosure controls and procedures in accordance with
Rule 13a-15 and, to the extent required by applicable Law, presented in any
applicable Parent SEC Document that is a report on Form 10-K or Form 10-Q its
conclusions about the effectiveness of the disclosure controls and procedures as
of the end of the period covered by such report based on such
evaluation.  Based on Parent’s management’s most recently completed
evaluation of Parent’s internal control over financial reporting prior to the
date of this Agreement, (i) except as set forth on Schedule
6.7, Parent had no significant deficiencies or material weaknesses in the
design or operation of its internal control over financial reporting that would
reasonably be expected to adversely affect Parent’s ability to record, process,
summarize and report financial information and (ii) Parent does not have
knowledge of any fraud, whether or not material, that involves management or
other employees who have a significant role in Parent’s internal control over
financial reporting.  There are no outstanding loans or other
extensions of credit made by Parent or any of its Subsidiaries to any executive
officer (as defined in Rule 3b-7 under the Exchange Act) or director of
Parent.  Parent has not, since the enactment of the Sarbanes-Oxley
Act, taken any action prohibited by Section 402 of the Sarbanes-Oxley
Act.

     

    6.8           Taxes.  

     

     
(a)           Except as
set forth on Schedule 6.8,
(i) each of Parent and its Subsidiaries has duly and timely filed all material
Tax Returns required to be filed by it, all such Tax Returns are true and
correct in all material respects, and Parent and each of its Subsidiaries has
paid all material Taxes due and payable, whether or not shown on such Tax
Returns, or has made adequate provision (in accordance with GAAP) for all
material Taxes on the Parent Balance Sheet, (ii) there is no pending
examination, investigation, audit, suit, action, claim or proceeding relating to
material Taxes of Parent or any of its Subsidiaries, and no written notice
thereof has been received by Parent or any of its Subsidiaries, (iii) neither
Parent nor any of its Subsidiaries has received written notice of a
determination by any Taxing Authority that any material Tax amounts are owed by
Parent or any of its Subsidiaries, which determination has not been paid,
compromised, or otherwise finally disposed of, and, to Parent’s Knowledge, no
such determination is proposed or threatened, (iv) there are no Liens
arising from or related to Taxes on or pending against Parent or any of its
Subsidiaries, or any of their properties, other than statutory liens for Taxes
that are not yet due and payable, and (v) neither Parent nor any of its
Subsidiaries has waived any statute of limitations with respect to Taxes or
agreed to any extension of time with respect to the assessment or collection of
any Tax, which waiver or extension remains in effect.

     

     
(b)           Neither
Parent nor any of its Subsidiaries is a party to or is bound by any Tax sharing,
allocation or indemnification agreement or arrangement (other than such an
agreement or arrangement exclusively between or among Parent and its
Subsidiaries).  Neither Parent nor any of its Subsidiaries has ever
been a member of a consolidated, combined or unitary Tax group (other than such
a group consisting exclusively of Parent and its Subsidiaries).

     

     
(c)           Neither
Parent nor any of its Subsidiaries has constituted either a “distributing
corporation” or a “controlled corporation” (within the meaning of Section
355(a)(1)(A) of the Code) in a distribution of stock qualifying or intended to
qualify for tax-free treatment under Section 355(a) of the Code within the
two-year period prior to the date of this Agreement.

     

    
      
        
        

      

      
        43

        
          

        

      

      
        
        

      

    

     

     
(d)           Neither
Parent nor any of its Subsidiaries has participated in any “listed transaction”
within the meaning of Treasury Regulation section 1.6011-4(b)(2).

     

     
(e)           Parent and
each of its Subsidiaries has complied in all material respects with all
applicable laws relating to the payment and withholding of Taxes and has duly
and timely withheld and paid over to the appropriate Taxing Authority all
amounts required to be so withheld and paid over under applicable
Laws.

     

     
(f)           No claim
has ever been made in writing by a Taxing Authority in a jurisdiction where
Parent or any of its Subsidiaries does not file Tax Returns that it or may be
subject to taxation by that jurisdiction, except as would not have or reasonably
be expected to have a Material Adverse Effect on Parent.

     

    6.9           Title to
Properties.  Except as is not having or would not reasonably be
expected to have a Material Adverse Effect on Parent, (i) Parent or a
Subsidiary of Parent has good and valid title to all of the properties and
assets, tangible or intangible, reflected in the Parent Interim Financial
Statements as being owned by Parent or a Subsidiary of Parent, free and clear of
all Liens except for Permitted Liens, excluding properties and assets sold or
disposed of by Parent or a Subsidiary of Parent since the Parent Balance Sheet
Date in the ordinary course of business consistent with past practices and in
compliance with this Agreement, and (ii) Parent or a Subsidiary of Parent
has good and valid title to, or holds a valid and enforceable lease for or
leasehold interest in, all of the material personal property used or held for
use in Parent’s and its Subsidiaries’ businesses, free and clear of all Liens,
except for Permitted Liens, excluding properties and assets sold or disposed of
by Parent or its Subsidiaries since the Parent Balance Sheet Date in the
ordinary course of business consistent with past practices and in compliance
with this Agreement.

     

    6.10          Real
Property.  

     

     
(a)           Schedule 6.10(a)
sets forth the address of each Parent Owned Real Property.  With
respect to each Parent Owned Real Property, except as is not having or would not
reasonably be expected to have a Material Adverse Effect on
Parent:  (i) Parent or a Subsidiary of Parent (as the case may be and
as indicated on Schedule 6.10(a))
has, good and marketable title to such Parent Owned Real Property, free and
clear of all Liens, except Permitted Liens, (ii) none of Parent or its
Subsidiaries has leased or otherwise granted to any Person the right to use or
occupy such Parent Owned Real Property or any portion thereof, and (iii) none of
Parent or its Subsidiaries is a party to any agreement or option to purchase any
real property or interest therein.  Other than the Parent Owned Real
Property set forth or required to be set forth on Schedule 6.10(a),
neither Parent nor any of its Subsidiaries has ever owned any real
property.

     

    
      
        
        

      

      
        44

        
          

        

      

      
        
        

      

    

     

     
(b)           Schedule 6.10(b)
sets forth the address of each Parent Leased Real Property, and a true, correct
and complete list of all Parent Leases for each such Parent Leased Real
Property.  Except as set forth on Schedule 6.10(b),
Parent has delivered to the Company prior to the date hereof a true, correct and
complete copy of each such Parent Lease document, and in the case of any oral
Parent Lease, a written summary of the material terms of such Parent Lease, and
in each case any amendments thereto.  Except as is not having or would
not reasonably be expected to have a Material Adverse Effect on Parent,
(i) each such Parent Lease is in full force and effect and is a legal,
valid and binding agreement of Parent or a Subsidiary of Parent, as applicable,
and is enforceable against Parent or a Subsidiary of Parent, as applicable, and
to Parent’s Knowledge, the other parties thereto, subject only to the General
Enforceability Exceptions, and each such Parent Lease shall continue to be in
full force and effect on the same terms immediately following the consummation
of the transactions contemplated hereby, and (ii) none of Parent or its
Subsidiaries is in breach or default under any such Parent Lease and no event
has occurred which, with notice or lapse of time or both, would constitute such
a breach or default by Parent or its Subsidiaries, as applicable, or, to
Parent’s Knowledge, any other party thereto under such Parent
Lease.

     

     
(c)           Except as
is not having or would not reasonably be expected to have a Material Adverse
Effect on Parent, all of the buildings, fixtures and improvements located on the
Parent Owned Real Properties and all building systems thereof are in good
operating condition and repair (subject to normal wear and tear) in all
respects.

     

     
(d)           There does
not exist any actual or, to Parent’s Knowledge, threatened or contemplated
condemnation or eminent domain proceedings that affect any Parent Owned Real
Property or Parent Leased Real Property, or any part thereof, and Parent has not
received any notice of the intention of any Governmental Authority or other
Person to take or use all or any part thereof or claiming any right to take or
use all or any part thereof, except where any of the above are not having or
would not reasonably be expected to have a Material Adverse Effect on
Parent.

     

     
(e)           Except as
is not having or would not reasonably be expected to have a Material Adverse
Effect on Parent, each of Parent and its Subsidiaries has all rights of access,
rights of way, easements or surface use agreements necessary or advisable for
the conduct of its business in all material respects, and there is no pending
or, to Parent’s Knowledge, threatened Action by any Governmental Authority or
any other Person to cancel, terminate or modify such rights of
access.

     

    6.11         Compliance
with Laws.  Each of Parent and its Subsidiaries is in
compliance with and not in default under or in violation of any Law or Order
applicable to its business, operations, assets and employees conducting its
business, except where such non-compliance, default or violation is not having
or would not reasonably be expected to have, individually or in the aggregate, a
Material Adverse Effect on Parent.

     

    6.12         Permits.  Parent
and its Subsidiaries are in possession of all Permits necessary for Parent and
its Subsidiaries to own, lease and operate their properties and assets or to
carry on their businesses as they are now being conducted (the “Parent
Permits”), except where the failure to have any of the Parent Permits is
not having or would not reasonably be expected to have, individually or in the
aggregate, a Material Adverse Effect on Parent.  All Parent Permits
are in full force and effect, except where the failure to be in full force and
effect is not having or would not reasonably be expected to have a Material
Adverse Effect on Parent.

     

    
      
        
        

      

      
        45

        
          

        

      

      
        
        

      

    

     

    6.13         Employee
Benefits and Labor Matters.

     

     
(a)           Schedule 6.13(a)
sets forth a correct and complete list of:  (i) all “employee benefit
plans” (as defined in Section 3(3) of ERISA), (ii) all material employment
or individual consulting agreements, and (iii) all pension, welfare benefit,
bonus or other incentive compensation, stock purchase, equity or equity-based
compensation, deferred compensation, change in control, tax gross up, severance,
leave of absence, vacation, loans, salary continuation, life insurance and
educational assistance plan, policies or agreements, in each case with respect
to which Parent or any of its Subsidiaries has any obligation or liability,
contingent or otherwise, for current or former employees or directors of Parent
or any of its Subsidiaries (collectively, the “Parent
Plans”).  Schedule 6.13(a)
separately sets forth each Parent Plan which is subject to Title IV of
ERISA, is a Multiemployer Plan, or is or has been subject to Sections 4063
or 4064 of ERISA.

     

     
(b)           Correct and
complete copies of the following documents with respect to each of the Parent
Plans (other than a Multiemployer Plan) have been delivered to the Company by
Parent to the extent applicable:  (i) any plans and related trust
documents, insurance contracts or other funding arrangements, and all amendments
thereto, (ii) the most recent Forms 5500 and all schedules thereto, (iii) the
most recent actuarial report, if any, (iv) the most recent IRS determination
letter, and (v) the most recent summary plan descriptions or, if none, the most
recent summary or other description provided to participants in such Parent
Plan.

     

     
(c)           The Parent
Plans have been maintained, in all material respects, in accordance with their
terms and with all applicable provisions of ERISA, the Code and other
Laws.

     

     
(d)           The Parent
Plans intended to qualify under Section 401 or other tax-favored treatment
under of Subchapter B of Chapter 1 of Subtitle A of the Code are
so qualified, and any trusts intended to be exempt from federal income taxation
under the Code are so exempt, except for non-compliance which is not having or
would not reasonably be expected to have a Material Adverse Effect on
Parent.  To Parent’s Knowledge, nothing has occurred with respect to
the operation of the Parent Plans that could cause the loss of such
qualification or exemption, or the imposition of any liability, penalty or tax
under ERISA or the Code.

     

     
(e)           Neither
Parent nor any of its Subsidiaries contributes to or has any liability or
potential liability with respect to any Multiemployer Plan.

     

     
(f)           There are
no pending Actions arising from or relating to the Parent Plans (other than
routine benefit claims), and to Parent’s Knowledge, there are no facts that
could form the basis for any such Action.

     

     
(g)           Except as
set forth on Schedule 6.13(g),
neither the execution and delivery of this Agreement nor the consummation of the
transactions contemplated hereby will (i) result in any payment becoming
due to any employee, (ii) increase any benefits otherwise payable under any
Parent Plan, (iii) result in the acceleration of the time of payment or vesting
of any such benefits under any such plan, or (iv) require any contributions or
payments to fund any obligations under any Parent Plan.

     

    
      
        
        

      

      
        46

        
          

        

      

      
        
        

      

    

     

     
(h)           There are
no Parent Plans that obligate Parent or any of its Subsidiaries to measure
performance or to make any payments based upon or calculated in relation to the
EBITDA, revenue, or other financial or operational metrics of Parent and its
Subsidiaries on a combined basis in a manner that would include the Company and
its Subsidiaries following the Closing.

     

     
(i)            Any
individual who performs services for Parent or any of its Subsidiaries (other
than through a contract with an organization other than such individual) and who
is not treated as an employee of Parent or any of its Subsidiaries for purposes
of applicable taxes or the Parent Plans is and has been properly treated in all
material respects by Parent as not being an employee for such
purposes.

     

     
(j)            None of
the employees of Parent or its Subsidiaries is represented in his or her
capacity as an employee of Parent or any of its Subsidiaries by any labor
organization.  Neither Parent nor any of its Subsidiaries has
recognized any labor organization, nor has any labor organization been elected
as the collective bargaining agent of any employees, nor has Parent or any of
its Subsidiaries entered into any collective bargaining agreement or union
contract recognizing any labor organization as the bargaining agent of any
employees, nor is Parent or any of its Subsidiaries party to or otherwise bound
by any collective bargaining agreement or other agreement with any labor
organization.  There is no union organization activity involving any
of the employees of Parent or any of its Subsidiaries pending or, to Parent’s
Knowledge, threatened.  There is no picketing pending or, to Parent’s
Knowledge, threatened, and there are no strikes, slowdowns, work stoppages,
other job actions, lockouts, arbitrations, grievances or other labor disputes
involving any of the employees of Parent or any of its Subsidiaries pending or,
to Parent’s Knowledge, threatened.  There are no Actions against
Parent or any of its Subsidiaries pending or, to Parent’s Knowledge, threatened
that could be brought or filed with any Governmental Authority or arbitrator
based on, arising out of, in connection with, or otherwise relating to the
employment or termination of employment or failure to employ by Parent or any of
its Subsidiaries, of any individual, which if adversely determined against
Parent or any of its Subsidiaries, would reasonably be expected to have a
Material Adverse Effect on Parent.  Parent and its Subsidiaries are in
compliance in all material respects with all Laws relating to the employment of
labor, including all such Laws relating to wages, hours, WARN, collective
bargaining, discrimination, civil rights, safety and health, workers’
compensation and the collection and payment of withholding and/or social
security taxes and any similar tax.  There has been no “mass layoff”
or “plant closing” (as defined by WARN) with respect to Parent or any of its
Subsidiaries since December 31, 2008.

     

    6.14         Material
Contracts.  Set forth on Schedule 6.14
is a true, correct and complete list of each of the following types of Contracts
to which Parent or any of its Subsidiaries are a party or by which any of their
respective properties or assets are bound as of the date of this
Agreement:

     

      
(a)           Contracts
made or entered into outside of the ordinary course of business and that limit
or otherwise restrict in any material respect Parent or any of its Subsidiaries
(or, after the Effective Time, the Surviving Corporation, Parent or any of their
respective Subsidiaries) from engaging or competing in any material line of
business in any location or with any Person;

     

    
      
        
        

      

      
        47

        
          

        

      

      
        
        

      

    

     

     
(b)           Contracts
made or entered into outside of the ordinary course of business and that include
any material exclusive dealing arrangement or any other material arrangement
that grants any material right of first refusal or material right of first offer
or similar material right or that limits or purports to limit in any material
respect the ability of Parent or its Subsidiaries (or, after the Effective Time,
the Surviving Corporation, Parent or any of their respective Subsidiaries) to
own, operate, sell, transfer, pledge or otherwise dispose of any material assets
or business;

     

     
(c)           Contracts
evidencing a joint venture, alliance or partnership agreement;

     

     
(d)           Contracts
relating to the borrowing of money or to mortgaging, pledging or otherwise
placing a Lien (other than a Permitted Lien) on any portion of the assets of
Parent or any of its Subsidiaries;

     

     
(e)           Contracts
evidencing indebtedness for borrowed money or any guarantees of any obligation
in respect of indebtedness for borrowed money or other material
guarantees;

     

     
(f)           bonds,
debentures, notes, or other debt securities;

     

     
(g)           Contracts
containing an obligation to pay a deferred purchase price for property, assets
or services (including any obligation in respect of earnout payments, noncompete
payments and similar payments) other than obligations with respect to trade
payables or other obligations incurred in the ordinary course of
business;

     

     
(h)           interest
rate swap agreements, forward rate agreements, interest rate cap or collar
agreements or other financial agreements or arrangements entered into for the
purpose of limiting or managing interest rate risks;

     

     
(i)            leases or
other Contracts under which Parent or any of its Subsidiaries is the lessee of,
or holds or operates any personal property owned by another Person, for which
the annual rent exceeds $250,000;

     

     
(j)            Contracts
or group of related Contracts with the same party for the purchase of products
or services, under which the undelivered balance of such products and services
has a selling price in excess of $500,000;

     

     
(k)           Contracts
or group of related Contracts with the same party for the sale of products or
services, under which the undelivered balance of such products or services has a
sales price in excess of $500,000;

     

     
(l)            Contracts
relating to (i) the licensing of Intellectual Property by Parent or any of
its Subsidiaries to a third party or by a third party to Parent or any of its
Subsidiaries, in each case involving consideration in excess of $250,000 per
annum or (ii) material Intellectual Property cross-licensing
arrangements;

     

     
(m)          Contracts related
to the acquisition or disposition by Parent or any of its Subsidiaries of any
operating business or the equity interests of any other Person;

     

    
      
        
        

      

      
        48

        
          

        

      

      
        
        

      

    

     

     
(n)          consulting,
broker or management services agreements or Contracts for the employment of any
officer, employee or other Person or severance agreement, pursuant to which the
annual base salary for any such officer, employee or other Person is greater
than $100,000;

     

     
(o)           Contracts
pursuant to which Parent or any of its Subsidiaries lends money to any other
Person;

     

     
(p)           material
Contracts relating to the distribution, marketing, sale, advertising or
promotion of Parent’s or any of its Subsidiaries’ products or
services;

     

     
(q)           Contracts
relating to the subcontracting of material services to third parties;
and

     

     
(r)            leases
that have been or are required to be capitalized under GAAP.

     

    All such
Contracts listed or required to be listed on Schedule 6.14
are referred to herein as “Parent Material
Contracts.”

     

     
Except as set forth on Schedule 6.14,
each Parent Material Contract is valid and binding and in full force and effect
and, to Parent’s Knowledge, enforceable against the other party or parties
thereto in accordance with its terms, subject only to the General Enforceability
Exceptions.  Except as set forth on Schedule 6.14,
neither Parent nor any of its Subsidiaries, nor to Parent’s Knowledge any other
party to a Parent Material Contract, has materially violated any provision of,
or taken or failed to take any act which, with or without notice, lapse of time,
or both, would constitute a material default under the provisions of such Parent
Material Contract, and neither Parent nor any of its Subsidiaries has received
written notice that it has materially breached, violated or defaulted under any
Parent Material Contract.

     

    6.15         Legal
Proceedings.  Except as set forth on Schedule 6.15,
(i) there is no investigation or review pending (or, to Parent’s Knowledge,
threatened) by any Governmental Authority with respect to Parent or any of its
Subsidiaries, and (ii) there are no Actions pending or, to Parent’s Knowledge,
threatened against Parent or any of its Subsidiaries or their respective assets,
and there are no Orders that, in the case of clause (i) or (ii) or, to Parent’s
Knowledge, otherwise question the validity of this Agreement or the transactions
contemplated hereby or that are having or would reasonably be expected to have a
Material Adverse Effect on Parent.

     

    6.16         Intellectual
Property.

     

     
(a)           Schedule 6.16(a)
sets forth a complete and accurate list of all Registered Intellectual Property
owned, filed or applied for by Parent or any of its Subsidiaries, including, for
each item of Registered Intellectual Property (i) the record owner (and, if
different from the record owner, the beneficial owner) of such item of
Registered Intellectual Property, (ii) the jurisdiction in which such item of
Registered Intellectual Property has been issued or registered or is pending and
(iii) the date and number of such item of Registered Intellectual
Property.  Except as is not having or would not reasonably be expected
to have a Material Adverse Effect on Parent, the Registered Intellectual
Property owned, filed or applied for by Parent or any of its Subsidiaries is
subsisting and, to Parent’s Knowledge, valid and enforceable.

     

    
      
        
        

      

      
        49

        
          

        

      

      
        
        

      

    

     

     
(b)           Parent and
its Subsidiaries own or have sufficient rights to use all material Parent
Intellectual Property as the same is used, sold, licensed and exploited in the
respective businesses of Parent and its Subsidiaries as currently conducted, and
the Parent Intellectual Property owned by or licensed to Parent or any of its
Subsidiaries includes all material Intellectual Property and Technology
necessary and sufficient for Parent and its Subsidiaries to conduct their
respective businesses as currently conducted.

     

     
(c)           To Parent’s
Knowledge, (i) neither the conduct of the business of Parent or any of its
Subsidiaries (including the manufacture, use, licensing, offering for sale,
sale, importation, exportation or other exploitation of any products or services
in connection with the business of Parent or any of its Subsidiaries) nor any of
the Parent Intellectual Property (or the use, practice or exploitation thereof)
infringes, constitutes or results from a misappropriation of or violates any
Intellectual Property rights of any Person and (ii) except as is not having or
would not reasonably be expected to have a Material Adverse Effect on Parent,
none of the Parent Intellectual Property owned by or exclusively licensed to
Parent or any of its Subsidiaries is being infringed, misappropriated or
violated by any Person.

     

     
(d)           There are
no claims pending or, to Parent’s Knowledge, threatened against Parent or any of
its Subsidiaries (i) alleging that Parent or any of its Subsidiaries is
infringing, misappropriating or violating any Intellectual Property of any
Person or (ii) challenging the ownership, use, validity or enforceability of any
material Parent Intellectual Property.  Neither Parent nor any of its
Subsidiaries has made any written or, to Parent’s Knowledge, unwritten claims
against any Person alleging that any Person is infringing, misappropriating or
violating any material Parent Intellectual Property owned by or exclusively
licensed to Parent or any of its Subsidiaries.

     

     
(e)           Parent and
each of its Subsidiaries have taken reasonable measures to protect the
confidentiality of all material Trade Secrets owned by Parent or any of its
Subsidiaries.

     

     
(f)           Schedule 6.16(f)
sets forth a complete and accurate list of all Software developed by or for, or
exclusively licensed to, Parent or any of its Subsidiaries (“Parent
Software”).  Neither Parent nor any of its Subsidiaries has
licensed or provided to any Person any source code or related source code
materials for any material Parent Software.  No open source Software,
free Software, “shareware” or other Software distributed under any similar
distribution models is incorporated or embedded in or distributed with, or was
or is used in connection with the development, maintenance or operation of, any
Parent Software in a manner that requires or obligates Parent or any of its
Subsidiaries to make available, disclose, contribute, distribute or license the
source code for any material Parent Software to any Person (including the open
source community).

     

     
(g)           The
consummation of the transactions contemplated by this Agreement will not result
in the loss or impairment of any right of Parent or any of its Subsidiaries to
own, use, sell, license or exploit any material Parent Intellectual
Property.

     

    
      
        
        

      

      
        50

        
          

        

      

      
        
        

      

    

     

     
(h)           Except as
is not having or would not reasonably be expected to have a Material Adverse
Effect on Parent, (i) the IT Systems owned, leased or licensed by Parent or any
of its Subsidiaries are adequate and sufficient in all material respects
(including with respect to working condition and capacity) for the operation of
the respective businesses of Parent and its Subsidiaries as currently conducted,
and (ii) Parent and each of its Subsidiaries have taken reasonable measures to
protect the confidentiality, integrity and security of such IT Systems (and any
Software, data or information stored thereon).

     

     
(i)           Parent and
each of its Subsidiaries have established privacy compliance policies and are in
compliance with, and have been in compliance with for the two year period prior
to the date hereof, their respective privacy policies and any Laws relating to
personal identifiable information.

     

    6.17         Insurance.

     

     
(a)           Schedule 6.17(a)
sets forth (i) a true and complete list of all material policies of
insurance covering Parent and its Subsidiaries and their respective businesses
as of the date hereof (each a “Parent
Policy” and collectively, the “Parent
Policies”), and (ii) the name of the insurer and the name of the
policyholder, period of coverage, amount of coverage, amount of any deductible,
the annual premium and the general type of coverage provided under such Parent
Policy.

     

     
(b)           Except as
set forth on Schedule 6.17(b)
or except as is not having or would not reasonably be expected to have a
Material Adverse Effect on Parent, (i) each Parent Policy is in full force
and effect, all premiums due thereon have been paid in full and Parent and its
Subsidiaries are in compliance with the terms and conditions of such Parent
Policy, (ii) neither Parent nor any of its Subsidiaries is in breach or
default under any Parent Policy and (iii) no event has occurred which, with
notice or lapse of time, would constitute such breach or default, or permit
termination or modification, under any Parent Policy.

     

    6.18         Environmental
Matters.  Except as is not having or would not reasonably be
expected to have a Material Adverse Effect on Parent:

     

     
(a)           the
operations of Parent and each of its Subsidiaries are and have been in
compliance with all applicable Environmental Laws, which compliance includes
obtaining, maintaining in good standing and complying with all Environmental
Permits;

     

     
(b)           no claim
has been made or is pending, or to Parent’s Knowledge, threatened against Parent
or any of its Subsidiaries alleging either or both that Parent or any of its
Subsidiaries may be in violation of any Environmental Law or Environmental
Permit, or may have any liability under any Environmental Law;

     

     
(c)           to Parent’s
Knowledge, no facts, circumstances or conditions exist with respect to Parent or
any of its Subsidiaries or any property currently or formerly owned, operated or
leased by Parent or any of its Subsidiaries or any property to which Parent or
any of its Subsidiaries arranged for the disposal or treatment of Hazardous
Materials that could adversely affect Parent’s compliance with Environmental
Laws and Environmental Permits or could reasonably be expected to result in
Parent or any of its Subsidiaries incurring unbudgeted Environmental Costs and
Liabilities;

     

    
      
        
        

      

      
        51

        
          

        

      

      
        
        

      

    

     

     
(d)          the transactions
contemplated hereby do not require the consent of or filings with any
Governmental Authority with jurisdiction over Parent or any Subsidiary of Parent
with respect to environmental matters; and

     

     
(e)          Parent has
provided to the Company all environmentally related audits, studies, reports,
analyses and results of investigations that have been performed with respect to
the currently or previously owned, leased or operated properties of Parent or
any of its Subsidiaries.

     

    6.19         Absence
of Certain Changes or Events.  

     

     
(a)          Since the Parent
Balance Sheet Date, (i) Parent and its Subsidiaries have conducted, in all
material respects, their respective businesses and operations in the ordinary
course of business consistent with past practices, (ii) there has not
occurred any change, occurrence or development that has had or could reasonably
be expected to have, individually or in the aggregate, a Material Adverse Effect
on Parent, (iii) none of Parent or any of its Subsidiaries have experienced
any damage, destruction, casualty or loss materially and adversely affecting any
material assets, properties or business of Parent or any of its Subsidiaries,
and (iv) Parent and its Subsidiaries have not (except as expressly
contemplated by the parties hereto in connection with the transactions
contemplated hereby):

     

      (i)           incurred,
assumed, guaranteed, prepaid or otherwise become liable for any indebtedness for
borrowed money, except for (A) financing of equipment or vehicle purchases
incurred in the ordinary course of business or (B) indebtedness under its senior
credit facility with PNC Bank, N.A.;

     

     
(ii)          except in the
ordinary course of business consistent with past practice, (A) sold,
assigned, licensed, transferred, conveyed, leased or otherwise disposed of, any
material property or assets, including the capital stock of its Subsidiaries,
(B) mortgaged or encumbered, or permitted, allowed or suffered to be
encumbered, any property or assets other than Permitted Liens, or
(C) canceled any debts owed to or claims, or waived or released any
material right, held by Parent or its Subsidiaries;

     

      (iii)         acquired
(by merger, consolidation, stock or asset purchase or otherwise) any Person or
any business, division or material assets of any Person or executed, entered
into or agreed upon any letter of intent, term sheet or similar arrangement,
whether binding or non-binding, to so acquire any Person or any business,
division or material assets;

     

      (iv)        made
any capital expenditures, loans, advances or capital contributions to, or
investments in, any other Person in excess of $250,000 in the
aggregate;

     

     
(v)         terminated any
Contracts that would constitute a Parent Material Contract if it was in
existence as of the date hereof, except Contracts made in the ordinary course of
business consistent with past practice, or amended, supplemented or waived any
rights under any existing Parent Material Contract;

     

    
      
        
        

      

      
        52

        
          

        

      

      
        
        

      

    

     

      (vi)        made
any investments in or loans to, paid any fees or expenses to, entered into or
modified any Contract with, or forgiven any loans to any Affiliate, Subsidiary,
or director, officer, or employee of Parent (including any of its Affiliates or
Subsidiaries);

     

      (vii)       entered
into, committed to enter into, adopted, amended or terminated any Contract
relating to the compensation or severance of any employee of Parent or its
Subsidiaries (including any change-in-control agreements) other than in the
ordinary course of business or pursuant to annual compensation reviews in the
ordinary course of business consistent with past practice or Contracts providing
for payments not exceeding $100,000 annually and for a term not exceeding one
year;

     

      (viii)      taken
any action to increase or accelerate the vesting or payment (or fund or in any
other way secure the payment) of compensation or benefits of any current or
former director, officer, or employee (except for new hires, promotions, or
increases in hourly wage rates in the ordinary course of business consistent
with past practice);

     

      (ix)         granted
any severance or termination pay to any current or former director, officer,
employee or consultant, except as required by an existing Parent Plan or
Contract;

     

      (x)          amended
any Parent Plan to increase the benefits available thereunder, other than
scheduled changes in the ordinary course of business consistent with past
practice or created any new Parent Plan;

     

      (xi)         made
any material change to its accounting (including Tax accounting) methods,
principles or practices, except as may be required by GAAP or applicable Law,
including changing any actuarial or other assumptions used to calculate funding
obligations with regard to any Parent Plan or changing the manner in which
contributions to such plans are made or the basis on which such contributions
are determined;

     

      (xii)        made
or changed any material election concerning Taxes or Tax Returns, filed any
material amended Tax Return, entered into any closing agreement with respect to
Taxes, settled any material Tax claim or assessment or surrendered any right to
claim a material refund of Taxes or obtained any Tax ruling;

     

      (xiii)       taken
any action, or failed to take any action, which action or failure to act would
reasonably be expected to cause the Merger to fail to qualify as a
“reorganization” within the meaning of Section 368(a) of the Code;

     

     (xiv)       settled
or compromised any Action, or released, dismissed or otherwise disposed of any
Action, other than settlements, compromises, releases, dismissals or
dispositions of an Action that involve the payment of monetary damages not in
excess of $50,000 individually or $125,000 in the aggregate by Parent or any
Subsidiary of Parent and do not involve any material injunctive or other
non-monetary relief or impose restrictions on the business or operations of
Parent or any of its Subsidiaries;

     

    
      
        
        

      

      
        53

        
          

        

      

      
        
        

      

    

     

      (xv)        entered
into interest rate swaps and other similar hedging arrangements other than for
purposes of offsetting a bona fide exposure (including counterparty risk);
or

     

      (xvi)       agreed
or committed to do any of the foregoing.

     

     
(b)          Since the Parent
Balance Sheet Date, Parent and its Subsidiaries have not taken any action or
inaction outside of the ordinary course of business consistent with past
practices with the intent of reducing working capital, including accelerating or
decelerating any scheduled receipts or payments or incurring any additional
indebtedness for borrowed money (except for (i) financing of equipment or
vehicle purchases incurred in the ordinary course of business or (ii)
indebtedness under its senior credit facility with PNC Bank,
N.A.).  Since the Parent Balance Sheet Date, Parent and its
Subsidiaries have not declared or paid any dividends or distributions (whether
in cash, stock or property or any combination thereof) or repurchased any shares
of capital stock or other equity interests.

     

    6.20         Customers
and Suppliers.  Schedule 6.20
sets forth (i) each of Parent’s and its Subsidiaries’ ten largest customers as a
percentage of Parent’s consolidated revenue for the year ended June 30, 2009 and
(ii) each of Parent’s and its Subsidiaries’ ten largest suppliers as a
percentage of Parent’s consolidated purchases for the year ended June 30,
2009.  Except as set forth on Schedule 6.20,
since June 30, 2009, no customer or supplier listed or required to be listed on
Schedule 6.20
has terminated its relationship with Parent or any of its Subsidiaries or
materially reduced or changed the price, volume or other terms of its business
with Parent or any of its Subsidiaries and, to Parent’s Knowledge, no such
customer or supplier has notified Parent or any of its Subsidiaries that it
intends to terminate or materially reduce or change the pricing, volume or other
terms of its business with Parent or any of its Subsidiaries.

     

    6.21         No
Brokers.  Except for Duff & Phelps, LLC and Duff &
Phelps Securities, LLC and as set forth on Schedule
6.21, no broker, finder or similar agent has been employed by or on
behalf of Parent or any of its Subsidiaries, and no Person with which Parent or
any of its Subsidiaries has had any dealings or communications of any kind is
entitled to any brokerage commission, finder’s fee or any similar compensation
in connection with this Agreement or the transactions contemplated
hereby.  Parent has made available to the Company, for informational
purposes only, a true and complete copy of all agreements between Parent or any
of its Subsidiaries and Duff & Phelps, LLC and Duff & Phelps Securities,
LLC, pursuant to which such firm would be entitled to any payment relating to
this Agreement or the transactions contemplated hereby.

     

    6.22         Opinion
of Financial Advisors.  The Parent Board has received an
opinion of Duff & Phelps, LLC, dated on or about the date of this Agreement,
a copy of which will be provided, solely for informational purposes only, to the
Company promptly after the date hereof.

     

    6.23         No
Undisclosed Liabilities.  Neither Parent nor any of its
Subsidiaries has any obligation or liability (whether or not accrued, absolute,
contingent, unliquidated or otherwise), except for (i) liabilities
specifically reflected and reserved against on the Parent Balance Sheet,
(ii) liabilities permitted or contemplated by this Agreement,
(iii) liabilities that have arisen after the Parent Balance Sheet Date in
the ordinary course of business consistent with past practices that are not
material, individually or in the aggregate, to Parent and its Subsidiaries taken
as a whole, (iv) liabilities listed on Schedule 6.23
or (v) liabilities that would not reasonably be expected to have a Material
Adverse Effect on Parent and its Subsidiaries, taken as a whole.

     

    
      
        
        

      

      
        54

        
          

        

      

      
        
        

      

    

     

    6.24         Antitakeover
Statutes and Related Matters.  Parent has taken
all action necessary to exempt the Merger, this Agreement and the transactions
contemplated hereby from the supermajority voting provisions of Section 203 of
the DGCL, and, accordingly, neither such Section 203 nor any other anti-takeover
or similar statute or regulation applies or purports to apply to any such
transactions.  To Parent’s Knowledge, no other “control share
acquisition,” “fair price,” “moratorium” or other anti-takeover laws enacted
under U.S. state or federal laws apply to the Merger, this Agreement or any of
the transactions contemplated hereby.

     

    6.25         No
Additional Representations.  Parent and Merger Sub acknowledge
that the Company makes no representation or warranty as to any matter whatsoever
except as expressly set forth in this Agreement or in any certificate delivered
by the Company to Parent or Merger Sub in accordance with the terms hereof, and
specifically (but without limiting the generality of the foregoing) that the
Company makes no representation or warranty with respect to (i) any
projections, estimates or budgets delivered or made available to Parent or
Merger Sub (or any of their respective Affiliates or Representatives) of future
revenues, results of operations (or any component thereof), cash flows or
financial condition (or any component thereof) of the Company and its
Subsidiaries or (ii) the future business and operations of the Company and
its Subsidiaries.

     

    ARTICLE
VII

     

    COVENANTS
AND AGREEMENTS

     

    7.1           Charter
Amendment; Conversion of Parent Series A Preferred.  From and
after the Closing, Parent shall use its commercially reasonable efforts to cause
the approval of an amendment and restatement to Parent’s Certificate of
Incorporation in the form attached hereto as Exhibit K (the “Charter
Amendment”).  In connection with this requirement, subject to
applicable Law and Parent obtaining all necessary consents and approvals, Parent
shall use its commercially reasonable efforts to cause (i) the Parent Board to
resolve to recommend that Parent’s stockholders approve the Charter Amendment
and direct that the Charter Amendment be submitted to Parent’s stockholders for
approval, (ii) an irrevocable written consent (the “Parent
Stockholder Consent”) to be executed and delivered by the requisite
number of Parent’s stockholders to approve the Charter Amendment and (iii) the
preparation of an information statement in accordance with Regulation 14C
promulgated under the Exchange Act (the “Information
Statement”) and shall (A) file such Information Statement with the SEC
not later than ten Business Days after Parent’s receipt of the Parent
Stockholder Consent and (B) mail such Information Statement to the Parent’s
stockholders that did not execute and deliver the Parent Stockholder Consent
(along with notice of the Parent Stockholder Consent in accordance with
Section 228 of the DGCL and Parent’s certificate of incorporation and
bylaws) not later than five Business Days after Parent’s receipt of confirmation
that the SEC has no further comments on the Information
Statement.  The Information Statement shall provide that the Charter
Amendment will become effective 20 days after the Information Statement is
mailed to such stockholders, and Parent shall file the Charter Amendment with
the Secretary of State of the State of Delaware on the first Business Day after
such 20-day period has expired.  Parent agrees that upon the filing
with and acceptance by the Secretary of State of the State of Delaware of the
Charter Amendment, the Parent Series A Preferred Stock shall automatically
convert to Parent Common Stock in accordance with the terms of the Certificate
of Designation for the Series A Preferred Stock, and there shall be no shares of
Parent Series A Preferred Stock outstanding immediately after such
conversion.

     

    
      
        
        

      

      
        55

        
          

        

      

      
        
        

      

    

     

    7.2           Controlling
Stockholders.  As of the date hereof, Parent, the Sponsor Funds
and HM Unitek Coinvest, LP (collectively, the “Controlling
Stockholders”) have entered into the Voting Agreement attached hereto as
Exhibit L whereby
the Controlling Stockholders have irrevocably agreed, among other things, to
approve the Charter Amendment in accordance with the terms and conditions set
forth therein.

     

    7.3           Special
Committee; Certain Negative Covenants.  Parent shall cause a
special committee of its board of directors (the “Special
Committee”) to be established immediately after the Closing, with the
Special Committee consisting of three members of the Parent Board, comprised of
the two current directors (each, including any duly appointed successor,
a “Continuing
Director Designee”) of the Parent Board set forth on Exhibit M under the
heading “Continuing Directors” and one Independent Director (including any duly
appointed successor, the “Independent
Director Designee”) appointed by a majority-in-interest of the Parent
Board.  In the event that (i) a Continuing Director Designee
ceases to serve as a member of the Parent Board or the Special Committee, the
resulting vacancy on the Special Committee shall be filled with a member of the
Parent Board to be chosen by the other Continuing Director Designee, or in the
absence thereof by the Parent Representative, or (ii) the Independent
Director Designee ceases to serve as a member of the Parent Board or the Special
Committee, the resulting vacancy on the Special Committee shall be filled with
an Independent Director to be chosen by a majority-in-interest of the Parent
Board, and the Parent will take all such actions as are necessary to cause such
replacements to be made in accordance with this sentence.  Parent
shall not increase or decrease the number of members on the Special
Committee.  Parent shall provide appropriate funding, as determined by
the Special Committee, for the payment to any advisors or legal counsel retained
by the Special Committee and for ordinary administrative expenses of the Special
Committee that are necessary or appropriate in carrying out its
duties.  From and after the Closing, until such time as the Special
Committee ceases to exist in accordance with the terms of the Charter Amendment,
Parent and its Subsidiaries shall not take any of the following actions without
the prior approval of a majority of the members of the Special
Committee:

     

     
(a)           amend or in
any way modify the certificate of incorporation of Parent (other than as set
forth in the Charter Amendment), any certificate of designation, Parent’s bylaws
or any other agreement of Parent or any of its Subsidiaries, in each case, in a
way that would (i) amend or modify the rights, privileges or preferences of
the Parent Series A Preferred Stock or the Parent Series B Preferred Stock or
(ii) amend or modify the provisions regarding the rights of the Special
Committee;

     

     
(b)           issue any
additional shares of the Parent Series A Preferred Stock or the Parent Series B
Preferred Stock to any Affiliated Party, other than pursuant to the Credit
Support Agreement;

     

    
      
        
        

      

      
        56

        
          

        

      

      
        
        

      

    

     

    (c)           amend
or in any way modify, or waive any right with respect to, any term or provision
of the BMO Loan Documents, except as set forth in the Credit Support
Agreement;

     

    (d)           refinance
or otherwise restructure the BMO Loan, except as set forth in the Credit Support
Agreement;

     

    (e)           for
so long as the Controlling Stockholders collectively own beneficially or of
record or otherwise have the right to vote or consent with respect to at least
thirty five percent (35%) of the total number of the then-outstanding shares of
Parent Common Stock (including Parent Preferred Stock calculated on an
as-if-converted basis), enter into, amend, modify or supplement, or permit any
Subsidiary to enter into, amend, modify or supplement, any agreement,
transaction, commitment or arrangement with any Affiliated Party (including any
securities issuance), except for employment arrangements and benefit programs
(including equity incentive plans) as approved by the Parent Board or the
compensation committee of the Parent Board and except as otherwise expressly
contemplated by this Agreement;

     

    (f)           amend,
modify or supplement any provision of, or agree to the buyout of, the HM
Monitoring and Oversight Agreement other than as permitted therein;
or

     

    (g)           make
any determination as to the form of payment of any fees or interest payments
owed pursuant to the Credit Support Agreement; provided, that if any
of the Unitek Credit Agreements do not permit the borrowers thereunder to make
dividends to the Obligors (as defined in the Credit Support Agreement) to pay
such fees or interest payments in cash, then such fees and interest payments
shall be paid in shares of Parent Series B Preferred Stock; provided, further, that if the
Special Committee has not made a determination as to such payment before it is
due, then such payment shall be paid in shares of Parent Series B Preferred
Stock.

     

    Also, the Special Committee shall have
the right at any time to cause the Parent Board to discuss and take such actions
as are reasonably necessary to determine if the BMO Loan could be refinanced on
terms more favorable to Parent and its Subsidiaries (or otherwise repaid or
eliminated), and in such case the Parent Board shall have the obligation to
review with Parent’s management and third party advisors any alternative
financing options and the Parent Board shall have the obligation to consider in
good faith taking such action as is reasonably necessary to refinance the BMO
Loan on more favorable terms to Parent and its Subsidiaries than those in place
at such time; provided, however, that such
right may only be exercised two times by members of the Special Committee in the
aggregate during any twelve-month period.

     

    Lastly, the Special Committee shall
have the right, power, and authority to specifically enforce the right to
approve certain actions requiring the consent of the Special Committee or to
specifically enforce the rights of Parent and its Subsidiaries or the Special
Committee with respect to any covenants, in each case as and only to the extent
set forth herein and in any of the agreements included as exhibits to this
Agreement in which the Special Committee is expressly granted third party
beneficiary rights.

     

    7.4           Company
Stock Options.  Parent shall cause there to be no further
options or other Rights granted on or after the Closing Date pursuant to the
Company Stock Option Plan, and shall cause there to be a Registration Statement
filed on Form S-8 with the SEC as promptly as practicable following the
Effective Time with respect to all shares of Parent Common Stock into which
grants outstanding prior to the Effective Time under the Company Stock Option
Plan are exercisable or may become exercisable following the Effective
Time.

    
      
         

      

      
        57

        
          

        

      

      
         

      

    

     

    7.5          Indemnification.

     

    (a)           For
a period of six years after the Closing Date, Parent shall not, and shall not
permit the Surviving Corporation or any of its Subsidiaries to amend, repeal or
modify any provision in Parent’s, the Surviving Corporation’s or any of their
respective Subsidiaries’ certificate or articles of incorporation or bylaws (or
other organizational documents) or in any indemnification agreements, if any, in
effect immediately prior to the Effective Time, relating to the exculpation or
indemnification (or advancement of expenses provisions with respect thereto) of
any officers, employees, members, managers and directors (unless required by
Law), it being the intent of the parties hereto that the past and present
officers, employees, members, managers and directors of Parent, the Company and
their respective Subsidiaries shall continue to be entitled to such exculpation
and indemnification (and advancement of expenses provisions with respect
thereto) to the full extent provided in such certificate or articles of
incorporation or bylaws (or other organizational documents) or indemnification
agreements.  From and after the Effective Time, Parent shall assume,
be jointly and severally liable for, and honor, guaranty and stand surety for,
and shall cause the Surviving Corporation and its and Parent’s Subsidiaries to
honor, in accordance with their respective terms, each of the covenants
contained in this Section 7.5
without limit as to time.

     

    (b)           At
and after the Effective Time, each of Parent and the Surviving Corporation
shall, to the fullest extent permitted under applicable Law, indemnify and hold
harmless each current and former director, member, manager, officer or employee
of Parent, the Company or any of their respective Subsidiaries and each Person
who served as a director, manager, officer, member, trustee or fiduciary of
another corporation, partnership, joint venture, trust, pension or other
employee benefit plan or enterprise if such service was at the request or for
the benefit of Parent, the Company or any of their respective Subsidiaries
(each, together with such Person’s heirs, executors or administrators,
a “D&O
Indemnified Party”) against any costs or expenses (including advancing
attorneys’ fees and expenses in advance of the final disposition of any claim,
suit, proceeding or investigation to each D&O Indemnified Party to the
fullest extent permitted by law), judgments, fines, losses, claims, damages,
liabilities and amounts paid in settlement in connection with any actual or
threatened Action, arising out of, relating to or in connection with any action
or omission occurring or alleged to have occurred whether before or after the
Effective Time (including acts or omissions in connection with such Persons
serving as an officer, member, manager, director or other fiduciary in any
entity if such service was at the request or for the benefit of Parent or the
Company, as applicable).  In the event of any such Action, Parent and
the Surviving Corporation shall cooperate with the D&O Indemnified Party in
the defense of any such Action.

    
      
         

      

      
        58

        
          

        

      

      
         

      

    

    (c)           For
a period of six years from the Effective Time, Parent shall cause to be
maintained in effect (i) the coverage provided by the policies of
directors’ and officers’ liability insurance and fiduciary liability insurance
in effect as of immediately prior to the Effective Time maintained by Parent,
the Company and their respective Subsidiaries with respect to matters arising on
or before the Effective Time and/or (ii) a “tail” policy under the Parent’s
and the Company’s existing directors’ and officers’ insurance policy that covers
those Persons who are currently covered by Parent’s and the Company’s directors’
and officers’ insurance policy in effect as of the date hereof for actions and
omissions occurring on or prior to the Effective Time, is from a carrier with
comparable credit ratings to Parent’s or the Company’s, as applicable, existing
directors’ and officers’ insurance policy carrier and contains terms and
conditions that are no less favorable to the insured than those of Parent’s or
the Company’s, as applicable, directors’ and officers’ insurance policy in
effect as of the date hereof; provided, however, that, after
the Effective Time, Parent shall not be required to pay annual premiums in
excess of 300% of the last annual premium paid by Parent or the Company, as
applicable, prior to the date hereof in respect of the coverages required to be
obtained pursuant hereto, but in such case shall purchase as much coverage as
reasonably practicable for such amount.

     

    (d)           Parent
shall pay all reasonable expenses, including reasonable attorneys’ fees, that
may be incurred by any D&O Indemnified Party in enforcing the indemnity and
other obligations provided in this Section 7.5.

     

    (e)           The
rights of each D&O Indemnified Party hereunder shall be in addition to, and
not in limitation of, any other rights such D&O Indemnified Party may have
under the certificate of incorporation or bylaws or other organization documents
of Parent, the Company or any of their respective Subsidiaries or the Surviving
Corporation, any other indemnification arrangement, the DGCL (or any other
applicable Law) or otherwise.  Notwithstanding anything in this
Agreement to the contrary, the provisions of this Section 7.5
shall survive the consummation of the Merger and expressly are intended to
benefit, and are enforceable by, each of the D&O Indemnified
Parties.

     

    (f)           If
Parent, the Surviving Corporation or any of its successors or assigns
(i) consolidates with or merges into any other Person and shall not be the
continuing or surviving corporation or entity of such consolidation or merger,
or (ii) transfers or conveys all or substantially all of its properties and
assets to any Person, then, and in each such case, to the extent necessary,
proper provision shall be made so that the successors and assigns of Parent or
the Surviving Corporation, as the case may be, shall assume the obligations set
forth in this Section 7.5.

     

    7.6          Further
Assurances; Cooperation.  From and after the Closing, the
parties hereto agree to execute and deliver all documents, provide all
information and take such actions as may be requested by another party hereto
and as may be reasonably necessary or appropriate to achieve the purposes of
this Agreement.

     

    7.7         Employees
and Employee Benefits.

     

    (a)           Parent
and the Company agree to honor, and to cause the Surviving Corporation and each
of their respective Subsidiaries to honor, from and after the Effective Time,
all of the Parent Plans in accordance with their terms as in effect immediately
before the Effective Time, subject to any amendment or termination thereof that
may be permitted by their terms.

    
      
         

      

      
        59

        
          

        

      

      
         

      

    

     

    (b)           For
purposes of eligibility and vesting (other than for benefit accrual under a
defined benefit plan) as well as for purposes of calculating vacation or
severance benefits, if applicable, under the employee benefit plans of Parent,
the Company and their Subsidiaries or the Surviving Corporation and its
Subsidiaries providing benefits to employees of Parent and its Subsidiaries as
of the Closing (the “Parent
Employees”) after the Effective Time (the “New
Plans”), each Parent Employee shall be credited with his or her years of
service with Parent and its Affiliates before the Effective Time, to the same
extent as such Parent Employee was entitled, before the Effective Time, to
credit for such service under any similar Parent Plans, provided that such
service will not be credited to the extent it would result in duplication of
benefits.  In addition, and without limiting the generality of the
foregoing: (i) each Parent Employee shall be immediately eligible to
participate, without any waiting time, in any and all New Plans to the extent
coverage under such New Plan replaces coverage under a comparable Parent Plan in
which such Parent Employee participated immediately before the Effective Time
(such plans, the “Old
Plans”); and (ii) for purposes of each New Plan providing medical,
dental, pharmaceutical and/or vision benefits to any Parent Employee, Parent and
the Company shall cause, or cause the Surviving Corporation and each of their
respective Subsidiaries to cause, all pre-existing condition exclusions and
actively-at-work requirements of such New Plan to be waived for such employee
and his or her covered dependents to the extent such requirements would not have
applied under the comparable Parent Plan that employee and his or her covered
dependents participated in prior to the Effective Time, and Parent and the
Company shall cause, or cause the Surviving Corporation and each of their
respective Subsidiaries to cause, any eligible expenses incurred by such
employee and his or her covered dependents during the portion of the applicable
plan year ending on the date such employee’s participation in the corresponding
New Plan begins to be taken into account under such New Plan for purposes of
satisfying all deductible, co-insurance and maximum out-of-pocket requirements
applicable to such employee and his or her covered dependents for the applicable
plan year as if such amounts had been paid in accordance with such New
Plan.  The applicable plan year shall be either the plan year of the
Old Plan or the New Plan, as elected by the Surviving Corporation.

     

    7.8           Certain
Transfer Taxes.  The Company and Parent shall cooperate in the
preparation, execution and filing of all returns, questionnaires, applications
or other documents regarding any real property transfer or gains, sales, use,
transfer, value added, stock transfer and stamp Taxes, any transfer, recording,
registration and other fees and any similar Taxes which are payable under
applicable Law in connection with the transactions contemplated by this
Agreement.  Any liability arising out of any real estate transfer Tax
with respect to interests in real property owned directly or indirectly by the
Company or any of its Subsidiaries immediately prior to the Merger, if
applicable and due with respect to the Merger, shall be borne by the Surviving
Corporation and expressly shall not be a liability of the Former Company
Stockholders. 

     

    7.9           Section
16 Matters.  Prior to the Effective Time, Parent and the
Company shall take all such steps as may be required to cause any acquisitions
of Parent Common Stock (including derivative securities with respect to Parent
Common Stock) resulting from the transactions contemplated by this Agreement by
each individual who will become subject to the reporting requirements of Section
16(a) of the Exchange Act with respect to Parent, to be exempt under
Rule 16b-3 promulgated under the Exchange Act.

    
      
         

      

      
        60

        
          

        

      

      
         

      

    

    7.10           Parent
Board.  Immediately following the Effective Time, Parent shall
take all actions as may be necessary to cause the Parent Board to be comprised
of (i) those current directors of the Parent Board set forth on Exhibit M under the heading
“Continuing Directors” and (ii) those directors designated by the Company
(each a “Company
Designee”) as set forth on Exhibit M under the heading
“Company Designees.”  At the first annual meeting of Parent following
the Closing, Parent shall use commercially reasonable efforts to cause each
Company Designee to be elected and ratified to the Parent Board.

     

    7.11           Repayment
of Parent Indebtedness.  Parent and the Surviving Corporation
shall cause the applicable portion of the proceeds received in respect of the
issuance by the Company of the Company Preferred Stock to be used to repay all
amounts due to PNC Bank, N.A. to terminate its credit facility with Parent on
the Closing Date, pursuant to the PNC Payoff Letter.

     

    ARTICLE
VIII

     

    CONDITION
TO CLOSING; TERMINATION OF AGREEMENT

     

    8.1          Condition
to Each Party’s Obligation to Effect the Merger.  The
respective obligations of each party to effect the Merger and consummate the
other transactions contemplated hereby shall be subject to the satisfaction at
or prior to the Closing of the condition that the Company Stockholder Approval
shall have been obtained and evidence thereof delivered to each party hereto.

     

    8.2         Termination.  Notwithstanding
anything in this Agreement to the contrary, this Agreement may be terminated and
abandoned at any time prior to the Effective Time:

     

    (a)           by
the mutual written consent of Parent and the Company; or

     

    (b)           by
either Parent or the Company, upon written notice to the other party, if the
transactions contemplated by this Agreement have not been consummated on or
prior to the close of business on the date hereof.

     

    If this
Agreement is terminated pursuant to this Section 8.2,
then this Agreement shall terminate (except for the provisions of this Section
8.2), and there shall be no other liability on the part of the Company,
Merger Sub or Parent to the other except as provided for in the Confidentiality
Agreement, dated April 9, 2009 (the “Confidentiality
Agreement”), by and between Unitek USA, LLC and Parent.

    
      
         

      

      
        61

        
          

        

      

      
         

      

    

     

    ARTICLE
IX

     

    SURVIVAL
OF REPRESENTATIONS, WARRANTIES AND COVENANTS; 
INDEMNIFICATION;
LIMITATIONS

     

    9.1          Survival
of Representations, Warranties and Covenants.

     

    (a)           The
representations and warranties of the Company in Article V
and of Parent and Merger Sub in Article VI
(including, in each case, the schedules and exhibits attached hereto and any
certificate delivered pursuant hereto) shall survive the execution and delivery
of this Agreement and the Effective Time and shall terminate at 5:00 p.m.
Eastern Time on the six-month anniversary of the Closing Date except, in all
cases, with respect to any claim made with reasonable specificity by the party
seeking to be indemnified within such six-month period, which shall survive
until such claim is finally and fully resolved.

     

    (b)           The
respective covenants, agreements and obligations of the Company, Parent and
Merger Sub set forth in this Agreement (including the schedules and exhibits
attached hereto and any certificate delivered pursuant hereto) shall survive the
execution and delivery of this Agreement and the Effective Time in accordance
with their respective terms.

     

    9.2          Indemnification
for Parent Claims.  Subject to the other provisions of this
Article
IX, the Indemnity Escrow Shares shall be available to indemnify, defend
and hold harmless Parent, Merger Sub, the Surviving Corporation and each of
their respective officers, directors, employees, partners, members, agents and
Affiliates (collectively, the “Parent
Indemnified Parties”) against any and all Losses actually incurred by any
such Parent Indemnified Parties as a result of, with respect to or in connection
with the failure of any representation or warranty of the Company set forth in
Article
V to be true and correct in all respects as of the date of this Agreement
and immediately prior to the consummation of the transactions contemplated
hereby (except in the case of any representation and warranty that addresses
matters as of an earlier date or dates, which such representation and warranty
shall be true and correct as of such date or dates).

     

    9.3           Indemnification
for Company Claims.  Subject to the other provisions of this
Article
IX, the Parent shall (only by way of issuance of additional shares of
Parent Common Stock, with each such share deemed to be valued at Market Value
for purposes hereof, and with the aggregate amount of Parent Common Stock
available to satisfy such indemnity equal to 10,980,000 shares (together with
any securities distributed in respect of or in exchange for any of such shares
(on an as-if issued basis), whether by way of stock dividends, stock splits or
otherwise, the “Company Indemnity
Shares”)) indemnify, defend and hold harmless the Former Company
Stockholders and each of their respective officers, directors, employees,
partners, members, agents and Affiliates (collectively, the “Company
Indemnified Parties” and together with the Parent Indemnified Parties,
the “Indemnified
Parties”) against any and all Losses actually incurred by any such
Company Indemnified Parties as a result of, with respect to or in connection
with the failure of any representation or warranty of Parent set forth in Article
VI to be true and correct in all respects as of the date of this
Agreement and immediately prior to the consummation of the transactions
contemplated hereby (except in the case of any representation and warranty that
addresses matters as of an earlier date or dates, which such representation and
warranty shall be true and correct as of such date or
dates).  

    
      
         

      

      
        62

        
          

        

      

      
         

      

    

    9.4          Limitations.

     

    (a)           Notwithstanding
anything to the contrary in this Agreement, (i) the indemnification obligations
under Section
9.2 shall be satisfied solely by the distribution and/or cancellation of
Indemnity Escrow Shares in accordance with Section
9.5(c) and in no event shall the indemnification obligations under Section
9.2 exceed the Indemnity Escrow Shares or require any payment or other
obligation of any indemnifying party, or (ii) the indemnification obligations
under Section
9.3 shall be satisfied solely by the issuance of the Company Indemnity
Shares in accordance with Section
9.5(c) and in no event shall the indemnification obligations under Section
9.3 exceed the Company Indemnity Shares or require any payment or other
obligation of any indemnifying party.

     

    (b)           No
claims shall be made by any Parent Indemnified Party for indemnification
pursuant to Section
9.2 unless and until the aggregate amount of Losses for which the Parent
Indemnified Parties seek to be indemnified pursuant to Section 9.2
exceeds $1,000,000 (the “Deductible
Amount”), at which time the Parent Indemnified Parties shall be entitled
to indemnification for all such Losses in excess of the Deductible Amount,
subject to the limitation set forth in Section
9.4(a)(i), and no claims shall be made by any Company Indemnified Party
for indemnification pursuant to Section
9.3, unless and until the aggregate amount of Losses for which the
Company Indemnified Parties seek to be indemnified pursuant to Section 9.3
exceeds the Deductible Amount, at which time the Company Indemnified Parties
shall be entitled to indemnification for all such Losses in excess of the
Deductible Amount, subject to the limitation set forth in Section
9.4(a)(ii).  Notwithstanding the foregoing, the Deductible
Amount shall not apply to any indemnification obligations relating to Losses
(i) arising under Section 9.2
as a result of, with respect to or in connection with the failure of any
representation or warranty of the Company set forth in Section
5.18(b) or arising under Section 9.3
as a result of, with respect to or in connection with the failure of any
representation or warranty of Parent set forth in Section
6.19(b) or (ii) resulting from fraud or intentional
misrepresentation.

     

    (c)           The
representations, warranties, covenants and obligations of the Company, and the
rights and remedies that may be exercised by the Parent Indemnified Parties
based on such representations, warranties, covenants and obligations, will not
be limited or affected by any investigation conducted by Parent or Merger Sub,
any agent of Parent or Merger Sub or the Parent Representative with respect to,
or any knowledge acquired (or capable of being acquired) by Parent or Merger
Sub, any agent of Parent or Merger Sub or the Parent Representative at any time,
whether before or after the execution and delivery of this Agreement-or the
Closing, with respect to the accuracy or inaccuracy of or compliance with any
such representation, warranty, covenant or obligation.

     

    (d)           The
representations, warranties, covenants and obligations of Parent, and the rights
and remedies that may be exercised by the Company Indemnified Parties based on
such representations, warranties, covenants and obligations, will not be limited
or affected by any investigation conducted by the Company, any agent of the
Company or the Company Representative with respect to, or any knowledge acquired
(or capable of being acquired) by the Company, any agent of the Company or the
Company Representative at any time, whether before or after the execution and
delivery of this Agreement or the Closing, with respect to the accuracy or
inaccuracy of or compliance with any such representation, warranty, covenant or
obligation.

     

    (e)           The
parties agree that, from and after the Closing, the sole and exclusive remedy
(other than as described in Section 9.4(f)) for
any Losses based upon, arising out of or otherwise in respect of matters set
forth in this Agreement (including the schedules and any certificate delivered
pursuant hereto, but, for the avoidance of doubt, excluding exhibits and any
other agreements entered into in connection herewith) shall be the rights to
indemnification set forth in this Article IX.

    
      
         

      

      
        63

        
          

        

      

      
         

      

    

    (f)           Notwithstanding
anything in this Article
IX to the contrary, nothing in this Agreement shall limit the right of
any party to seek a preliminary or permanent injunction or specific performance
of any covenant or agreement contained herein or in any exhibit, schedule,
certificate or instrument or other agreement, whether or not contemplated
herein.

     

    (g)           The
amount of any Losses subject to indemnification under this Article IX
shall be reduced by the amounts actually recovered by the applicable Indemnified
Parties under applicable insurance policies with respect to claims related to
such Losses, net of all costs and expenses associated with the recovery thereof,
including any premium increases, and net of the Deductible Amount applicable to
such Losses.

     

    (h)           For
purposes of determining the failure of any representations or warranties to be
true and correct, the breach of any covenants and agreements, and calculating
Losses hereunder, any and all materiality or Material Adverse Effect
qualifications (or similar qualifications, but not specific dollar thresholds)
in the representations, warranties, covenants and agreements shall be
disregarded (other than those set forth in Sections
5.6(b), 5.18(a),
5.21,
5.23,
6.6(b),
6.6(c),
6.19(a),
6.23,
and other than those included in any references to any “Company Material
Contract” or “Parent Material Contract,” which shall not be disregarded for
purposes of determining the failure of any such representations or warranties to
be true and correct).

     

    9.5          Procedures.  The following procedures shall govern any claim for
indemnification made pursuant to Sections
9.2 and 9.3, subject to the applicable limitations set forth in
this Article
IX, and shall be the
exclusive remedy or method for resolving all disputes with respect to indemnification arising out of or related to this Article
IX:

    
      
         

      

      
        64

        
          

        

      

      
         

      

    

    (a)           Notice of Losses by Parent
Indemnified Parties.  Subject to the applicable limitations set forth in this Article
IX, promptly after the discovery by the Parent Representative of any Loss
or Losses that would reasonably be expected to give rise to a claim for
indemnification hereunder, the Parent Representative shall deliver to the
Company Representative written notice (a “Parent
Claim”) thereof that specifies in reasonable detail (including supporting schedules or material)
each individual item of Loss included in the amount so stated, the date (if any)
such item was paid or properly accrued, the basis for any anticipated liability
and the nature of the misrepresentation, default, breach of warranty or breach
of covenant or claim to which each such item is related and, to the extent
computable, the computation of the amount to which such Parent Indemnified Party
claims to be entitled hereunder; provided that no
delay on the part of the Parent Representative in notifying the Company
Representative shall diminish the rights of the Parent Indemnified Parties to
obtain recovery for the Parent Claim except
to the extent that the delay shall increase the amount of such Loss in the Parent Claim, and then only to such
extent.  If the Company Representative objects to the indemnification
of a Parent Indemnified Party in respect of any Loss or Losses specified in any Parent Claim, the Company
Representative shall deliver a written notice to such effect to the Parent
Representative within 30 days after receipt
by the Company Representative of such Parent Claim
(the “Notice of
Disagreement”).  During the
30
days immediately following Parent Representative’s receipt of the Notice of
Disagreement, the Company Representative and the Parent Representative
shall attempt in good faith to agree upon the rights of the respective parties
with respect to each of such Loss or Losses set
forth in the Parent Claim to which the Company Representative has
objected.  If the Parent Representative and the Company Representative
agree with respect to any of the Loss or Losses
set forth in the Parent Claim, the Parent Representative and the Company
Representative shall promptly prepare and sign a memorandum setting forth such
agreement and, if applicable, an instruction to the Escrow
Agent.  If the Parent
Representative and the Company Representative are
unable to resolve their differences with respect to any matters specified in the
Notice of Disagreement by the end of such
30-day period, then the Parent
Representative and the Company Representative shall jointly engage in a confidential mediation (the “Mediation”) an independent mediator (the “Mediator”)
to resolve all matters that remain in
dispute with respect to the Notice of
Disagreement.  Such Mediator shall be an attorney specializing in commercial law who
has been licensed to practice law in New York for 15 years and
is selected by the New York, New York office of JAMS, provided that JAMS
agrees upon its engagement to render a decision regarding the claim within 20 Business Days following the engagement, and if JAMS shall not so agree, the
Mediator shall be an independent third party mutually agreeable to the Parent
Representative and the Company Representative that shall agree to render a
decision within such time period.  Each
party shall be entitled to submit a written
position paper in support of its position to the Mediator, and the parties shall
thereafter be entitled to present their positions to the Mediator at a hearing
to take place within such 20-Business Day
period.  The Mediator shall choose one of the parties’
positions based solely upon the written
submissions and hearing.  If only one written submission is made, the Mediator will
choose that position and, if no written submissions are made, the Company
Representative’s position shall be conclusive and binding.  Parent will pay the fees and expenses of the Mediation
and the expenses, if any, incurred by each party in connection with the written
submissions.  All determinations made by the Mediator will be
in writing and will be final, conclusive
and binding on the parties, and such Loss or Losses shall thereafter be treated as an
Agreed Claim for the amount determined in accordance with this Section
9.5(a) for purposes of Section
9.5(c).

    
      
         

      

      
        65

        
          

        

      

      
         

      

    

    (b)           Notice of Losses by Company
Indemnified Parties.  Subject to the applicable limitations set forth in this Article
IX, promptly after the discovery by the Company Representative of any
Loss or Losses that would reasonably be expected to give rise to a claim for
indemnification hereunder, the Company Representative shall deliver to the
Parent Representative written notice (a “Company
Claim”) thereof that specifies in reasonable detail (including supporting schedules or documentary
material) each individual item of Loss included in the amount so stated,
the date (if any) such item was paid or properly accrued, the basis for any
anticipated liability and the nature of the misrepresentation, default, breach
of warranty or breach of covenant or claim to which each such item is related
and, to the extent computable, the computation of the amount to which such
Company Indemnified Party claims to be entitled hereunder; provided that no
delay on the part of the Company Representative in notifying the Parent
Representative shall diminish the rights of the Company Indemnified Parties to
obtain recovery for the Company Claim
except to the extent that the delay shall increase the amount of such Loss in the Company Claim, and then only to such
extent.  If the Parent Representative objects to the indemnification
of a Company Indemnified Party in respect of any Loss or Losses specified in any Company Claim, the Parent
Representative shall deliver a Notice of Disagreement to the Company
Representative within 30 days after receipt
by the Parent Representative of such Company Claim.  During
the 30 days immediately following Company
Representative’s receipt of the Notice of Disagreement, the Company
Representative and the Parent Representative shall attempt in good faith to
agree upon the rights of the respective parties with respect to each of such
Loss or Losses set forth in the Company
Claim to which the Parent Representative has objected.  If the
Parent Representative and the Company Representative agree with respect to any
of the Loss or Losses set forth in the Company
Claim, the Parent Representative and the Company Representative shall
promptly prepare and sign a memorandum setting forth such agreement and, if
applicable, an instruction to the Escrow Agent.  If the Parent Representative and the Company
Representative are unable to resolve their
differences with respect to any matters specified in the Notice of Disagreement
by the end of such 30-day
period, then the Parent
Representative and the Company Representative shall jointly engage a Mediator
to resolve all matters that remain in dispute with
respect to the Notice of Disagreement in a confidential Mediation.  Such Mediator shall be an attorney specializing in commercial law who has been
licensed to practice law in New York for 15 years and is
selected by the New York, New York office of JAMS, provided that JAMS
agrees upon its engagement to render a decision regarding the claim within 20 Business Days following the engagement, and if JAMS shall not so agree, the
Mediator shall be an independent third party mutually agreeable to the Parent
Representative and the Company Representative that shall agree to render a
decision within such time period.  Each
party shall be entitled to submit a written
position paper in support of its position to the Mediator, and the parties shall
thereafter be entitled to present their positions to the Mediator to take place
within such 20-Business Day
period.  The Mediator shall choose one of the parties’
positions based solely upon the written
submissions and hearing.  If only one written submission is made, the Mediator will
choose that position, and, if no submissions are made, the Parent
Representative’s position shall be conclusive and binding.  Parent will pay the fees and expenses of the Mediation
and the expenses, if any, incurred by each party in connection with the written
submissions.  All determinations made by the Mediator will be
in writing and will be final, conclusive
and binding on the parties and such Loss or
Losses shall thereafter be treated as an Agreed Claim for the amount
determined in accordance with this Section
9.5(b) for purposes of Section
9.5(c).

     

    (c)           Agreed
Claims.  Claims for Losses specified in any Parent Claim to
which the Company Representative did not object in writing within 30 days of
receipt of such Parent Claim, Claims for Losses specified in any Company Claim
to which the Parent Representative did not object in writing within 30 days of
receipt of such Company Claim, claims for Losses covered by a memorandum of
agreement of the nature described in Section
9.5(a) or Section 9.5(b),
and claims for Losses the validity and amount of which have been the subject of
resolution by mediation or of a final non-appealable judicial determination are
hereinafter referred to, collectively, as “Agreed
Claims.”  Within ten Business Days after the determination of
an Agreed Claim (i) for the benefit of the Parent Indemnified Parties (to
the extent all such Agreed Claims for the benefit of the Parent Indemnified
Parties, in the aggregate, exceed the Deductible), Parent, the Parent
Representative and the Company Representative shall instruct the Escrow Agent to
release to Parent from the Indemnity Escrow Shares that number of shares of
Parent Common Stock having an aggregate Market Value equal to the amount of such
Agreed Claim (and Parent agrees to then immediately cancel and retire such
released Parent Common Stock) in accordance with the Escrow Agreement, or
(ii) for the benefit of the Company Indemnified Parties (to the extent all
such Agreed Claims for the benefit of the Company Indemnified Parties, in the
aggregate, exceed the Deductible), the Parent Representative and the Company
Representative shall instruct Parent to issue (and Parent shall issue) to the
Former Company Stockholders from the Company Indemnity Shares that number of
shares of Parent Common Stock having an aggregate Market Value equal to the
amount of such Agreed Claim.  Notwithstanding anything to the contrary
herein, no Company Indemnity Shares will be issued after the fifth anniversary
of the Closing Date.

    
      
         

      

      
        66

        
          

        

      

      
         

      

    

     

    (d)           Remaining
Escrow.  All property held as part of the Indemnity Escrow
Shares that is not required to satisfy an Agreed Claim and is not subject to a
pending Parent Claim shall be released to the Former Company Stockholders not
later than the third Business Day after the six-month anniversary of the Closing
Date in accordance with the Escrow Agreement.  Notwithstanding
anything to the contrary herein, all property held as part of the Indemnity
Escrow Shares on the fifth anniversary of the Closing Date shall be released to
the Former Company Stockholders in accordance with the Escrow
Agreement.

     

    9.6         Company
Representative.

     

    (a)           The
Company hereby initially appoints HM Capital Partners LLC (together with its
permitted successors, the “Company
Representative”), as of the Effective Time to: (i) give and receive
notices and communications (on behalf of itself or any other Company Indemnified
Party) to or from Parent, the Surviving Corporation and the Parent
Representative (on behalf of himself or any other Parent Indemnified Party)
and/or the Escrow Agent relating to this Agreement, the Escrow Agreement or any
of the transactions and other matters contemplated hereby or thereby; (ii)
authorize deliveries (including by means of not objecting to claims) to Parent
(including for further issuance to the Former Company Stockholders) of shares of
Parent Common Stock from the Indemnity Escrow Shares and instruct Parent to
release Company Indemnity Shares; (iii) provide notice of any Company
Claims or object to any Parent Claims pursuant to Section 9.5;
(iv) consent or agree to, negotiate, enter into settlements and compromises
of, and agree to mediation and comply with orders of courts and awards of
mediators with respect to, such Parent Claims; (v) assert, negotiate, enter into
settlements and compromises of, and agree to mediation and comply with orders of
courts and awards of mediators with respect to, any Company Claim; and (vi) take
all actions necessary or appropriate in the judgment of the Company
Representative for the accomplishment of the foregoing, in each case without
having to seek or obtain the consent of any Person under any
circumstance.  The Person serving as the Company Representative may be
replaced upon its dissolution or resignation by a majority of the Company
Designees.  No bond shall be required of the Company Representative,
and the Company Representative shall receive no compensation for its
services.  The Company Representative accepts its appointment
hereunder.

     

    (b)           The
Company Representative shall not be liable to any Person for any act done or
omitted hereunder as the Company Representative except for such acts or
omissions that constitute gross negligence or bad faith on the part of the
Company Representative.  The Company Representative shall be
reimbursed for reasonable expenses incurred in the performance of its duties
(including the reasonable fees of counsel), and such fees shall be paid by
Parent.

    
      
         

      

      
        67

        
          

        

      

      
         

      

    

    9.7         Parent
Representative.  

     

    (a)           Parent
hereby initially appoints Rich Berliner (together with his permitted successors,
the “Parent
Representative”), as of the Effective Time to: (i) give and receive
notices and communications (on behalf of himself or any other Parent Indemnified
Party) to or from Parent, the Company Representative (on behalf of itself or any
other Company Indemnified Party) and the Surviving Corporation and/or the Escrow
Agent relating to this Agreement, the Escrow Agreement or any of the
transactions and other matters contemplated hereby or thereby; (ii) authorize
deliveries (including by means of not objecting to claims) to Parent (including
for further issuance to the Former Company Stockholders of shares of Parent
Common Stock) from the Indemnity Escrow Shares and instruct Parent to release
Company Indemnity Shares; (iii) provide notice of any Parent Claims or
object to any Company Claims pursuant to Section 9.5;
(iv) consent or agree to, negotiate, enter into settlements and compromises of,
and agree to mediation and comply with orders of courts and awards of mediators
with respect to, such Company Claims; (v) assert, negotiate, enter into
settlements and compromises of, and agree to mediation and comply with orders of
courts and awards of mediators with respect to, any Parent Claim; and (vi) take
all actions necessary or appropriate in the judgment of the Parent
Representative for the accomplishment of the foregoing, in each case without
having to seek or obtain the consent of any Person under any
circumstance.  The Person serving as the Parent Representative may be
replaced upon his death, incapacity or resignation by a majority of the Special
Committee, or in the absence thereof by a majority of the Independent
Directors.  No bond shall be required of the Parent Representative,
and the Parent Representative shall receive no compensation for his
services.  The Parent Representative accepts his appointment
hereunder.

     

    (b)           The
Parent Representative shall not be liable to any Person for any act done or
omitted hereunder as the Parent Representative except for such acts or omissions
that constitute gross negligence or bad faith on the part of the Parent
Representative.  The Parent Representative shall be reimbursed for
reasonable expenses incurred in the performance of his duties (including the
reasonable fees of counsel), and such fees shall be paid by Parent.

     

    ARTICLE
X

     

    MISCELLANEOUS
AND GENERAL

     

    10.1       Specific
Performance.  The parties agree that irreparable damage would
occur in the event that any of the provisions of this Agreement were not
performed in accordance with their specific terms or were otherwise
breached.  It is accordingly agreed that other than as set forth below
the parties hereto shall be entitled to an injunction or injunctions to prevent
breaches of this Agreement, and to enforce specifically the terms and provisions
of this Agreement, this being in addition to any other remedy to which they are
entitled at law or in equity.  The equitable remedies described in
this Section
10.1 shall be in addition to, and not in lieu of, any other remedies at
law or in equity that the parties to this Agreement are permitted to elect to
pursue in accordance with this Agreement.

     

    10.2       Expenses.  Except
as set forth in this Agreement, all costs and expenses (including all legal,
accounting, broker, finder or investment banker fees) incurred in connection
with this Agreement and the transactions contemplated hereby shall be paid by
the party incurring or required to incur such expenses.

    
      
         

      

      
        68

        
          

        

      

      
         

      

    

    10.3   
     Successors
and Assigns.  This Agreement is binding upon and inures to the
benefit of the parties hereto and their respective successors and permitted
assigns, but is not assignable by any party without the prior written consent of
the other parties hereto.

     

    10.4     
   Third
Party Beneficiaries.  Each party hereto intends that this
Agreement does not benefit or create any right or cause of action in or on
behalf of any Person other than (i) the parties hereto and their respective
successors and permitted assigns, (ii) the past and present officers, employees,
directors, members and managers of the Company and its Subsidiaries, who shall
be third-party beneficiaries of Section 7.5
and Section
7.7, (iii) the Persons protected by Section 10.15,
who shall be third-party beneficiaries of Section 10.15,
(iv) the indemnification provisions in Article IX
are intended to benefit the applicable Indemnified Parties, and each Indemnified
Party shall be deemed a third-party beneficiary of such provisions of this
Agreement and this Agreement shall be enforceable by the applicable Indemnified
Parties to that extent and (v) until such time as the Special Committee ceases
to exist in accordance with the terms of the Charter Amendment, the members of
the Special Committee shall be third party beneficiaries and shall be entitled
to enforce the right to approve certain actions requiring the consent of the
Special Committee or to enforce the rights of the Special Committee as set forth
herein.

     

    10.5   
     Notices.  Any
notice or other communication provided for herein or given hereunder to a party
hereto must be in writing, and shall be deemed to have been given (i) when
personally delivered or delivered by facsimile transmission with confirmation of
delivery, (ii) one Business Day after deposit with Federal Express or
similar overnight courier service, or (iii) three Business Days after being
mailed by registered, certified or first class mail, return receipt
requested.  Notices and any other communications to the Company, the
Company Representative, Parent, Merger Sub and the Parent Representative shall
be sent to the addresses indicated below:

     

    If to the
Company:

     

    Unitek
Holdings, Inc.

    c/o
Unitek USA, LLC

    1777
Sentry Parkway West

    Gwynedd
Hall, Suite 302

    Blue
Bell, Pennsylvania 19422

    Attention:  Peter
Giacalone

    Fax:  (267)
464-1733

    
      
         

      

      
        69

        
          

        

      

      
         

      

    

    

    with a
copy to:

    

    Unitek
Holdings, Inc.

    c/o HM
Capital Partners LLC

    200
Crescent Court, Suite 1600

    Dallas,
Texas 75201

    Attention:  Peter
Brodsky

    Fax:  (214)
720-7888

    

    and

    

    Weil,
Gotshal & Manges LLP

    767 Fifth
Avenue

    New York,
New York 10153

    Attention:  S.
Scott Parel

    Fax:  (212)
310-8007

    

    If to the
Company Representative:

     

    HM
Capital Partners LLC

    200
Crescent Court, Suite 1600

    Dallas,
Texas 75201

    Attention:  Peter
Brodsky

    Fax:  (214)
720-7888

    

    with a
copy to:

     

    Weil,
Gotshal & Manges LLP

    767 Fifth
Avenue

    New York,
New York 10153

    Attention:  S.
Scott Parel

    Fax:  (212)
310-8007

     

    If to
Parent or Merger Sub:

     

    Berliner
Communications, Inc.

    18-01
Pollitt Drive

    Fair
Lawn, New Jersey 07410

    Attention:  General
Counsel

    Fax:  (201)
794-8974

    
      
         

      

      
        70

        
          

        

      

      
         

      

    

    

    with a
copy to:

     

    Rich
Berliner

    18-01
Pollitt Drive

    Fair
Lawn, New Jersey 07410

    Fax:  (201)
794-8974

    

    and

    

    Kirkland
& Ellis LLP

    300 North
LaSalle Street

    Chicago,
Illinois 60654

    
      	
               
      

            	
              Attention:

            	
              Robert
      M. Hayward, P.C.

            

    

    Roger D.
Rhoten

    Fax:  (312)
862-2200

    

    If to the
Parent Representative:

    

    Rich
Berliner

    18-01
Pollitt Drive

    Fair
Lawn, New Jersey 07410

    Fax:  (201)
794-8974

    

    with a
copy to:

    

    Kirkland
& Ellis LLP

    300 North
LaSalle Street

    Chicago,
Illinois 60654

    
      	
               
      

            	
              Attention:

            	
              Robert
      M. Hayward, P.C.

            

    

    Roger D.
Rhoten

    Fax:  (312)
862-2200

    

    or to
such other address with respect to a party as such party notifies the other in
writing as above provided.

     

    10.6   
     Complete
Agreement.  This Agreement and the schedules and exhibits
hereto and the other documents delivered by the parties in connection herewith,
together with the Confidentiality Agreement, contain the complete agreement
between the parties hereto with respect to the transactions contemplated hereby
and thereby and supersede all prior agreements and understandings (including any
term sheets or letters of intent), whether written or oral, between the parties
hereto that may have related to the subject matter hereof in any
way.

     

    10.7    
    Captions;
References.  The captions and table of contents contained in
this Agreement are for convenience of reference only and do not form a part of
this Agreement.  All references to days or months shall be deemed
references to calendar days or months.  All references to “$” shall be
deemed references to United States dollars.  Unless the context
otherwise requires, any reference to a “Section,” “Exhibit,” or “Schedule” shall
be deemed to refer to a Section of this Agreement, exhibit to this
Agreement or a Schedule to this Agreement, as applicable.  The
words “hereof,” “hereby,” “herein” and “hereunder” and words of similar import
referring to this Agreement refer to this Agreement as a whole and not to any
particular provision of this Agreement.  The use of the terms
“include” or “including” and variations thereof shall not be deemed to be terms
of limitation, but rather shall mean “including, without
limitation.”

    
      
         

      

      
        71

        
          

        

      

      
         

      

    

    10.8         Amendment.  This
Agreement and the exhibits hereto may be amended or modified only by an
instrument in writing duly executed by the parties hereto.

     

    10.9         Waiver.  No
failure or delay by any party in exercising any right, power or privilege
hereunder shall act as a waiver thereof, nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise
of any other right, power or privilege hereunder.

     

    10.10       Governing
Law.  THE PROVISIONS OF THIS AGREEMENT AND ALL OF THE DOCUMENTS
DELIVERED PURSUANT HERETO, THEIR EXECUTION, PERFORMANCE OR NONPERFORMANCE,
INTERPRETATION, TERMINATION, CONSTRUCTION AND ALL MATTERS BASED UPON, ARISING
OUT OF OR RELATED TO THIS AGREEMENT OR THE NEGOTIATION, EXECUTION OR PERFORMANCE
OF THIS AGREEMENT (WHETHER IN EQUITY, LAW OR STATUTE) SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS, BOTH PROCEDURAL AND SUBSTANTIVE, OF THE
STATE OF DELAWARE WITHOUT REGARD TO ITS CONFLICT OF LAWS PROVISIONS THAT IF
APPLIED MIGHT REQUIRE THE APPLICATION OF THE LAWS OF ANOTHER
JURISDICTION.  

     

    10.11       Waiver of
Jury Trial.  EACH PARTY HEREBY EXPRESSLY WAIVES THE RIGHT TO A
TRIAL BY JURY IN ANY ACTION BROUGHT BY OR AGAINST IT ARISING OUT OF OR RELATING
TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY.  

     

    10.12       Venue.  EXCEPT
AS SET FORTH IN SECTIONS
9.5(A) AND 9.5(B),
ANY ACTION, CLAIM, SUIT OR PROCEEDING RELATING TO THIS AGREEMENT OR THE
ENFORCEMENT OF ANY PROVISION OF THIS AGREEMENT SHALL BE BROUGHT IN THE STATE
COURTS OF THE STATE OF NEW YORK LOCATED IN NEW YORK COUNTY OR THE UNITED STATES
DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK OR IN ANY OTHER COURT OF
COMPETENT JURISDICTION IF SUCH STATE OR FEDERAL COURTS IN NEW YORK DO NOT HAVE
JURISDICTION OVER SUCH MATTER, WITHOUT BOND OR OTHER SECURITY BEING
REQUIRED.  

     

    10.13       Exclusive
Jurisdiction.  Each of the parties hereto hereby submits to the
jurisdiction of any state or federal court sitting in New York City, New York,
in any action arising out of or relating to this Agreement or the transactions
contemplated hereby and agrees that all claims in respect of such action may be
heard and determined in any such court.  Each party hereto also agrees
not to bring any action arising out of or relating to this Agreement or the
transactions contemplated hereby in any other court.  Each of the
parties hereto waives any defense of inconvenient forum to the maintenance of
any action so brought and waives any bond, surety, or other security that might
be required of any other party with respect thereto.

    
      
         

      

      
        72

        
          

        

      

      
         

      

    

    10.14     Severability.  Any
term or provision of this Agreement that is invalid or unenforceable in any
jurisdiction will, as to that jurisdiction, be ineffective to the extent of such
invalidity or unenforceability without rendering invalid or unenforceable the
remaining terms and provisions of this Agreement or affecting the validity or
enforceability of any of the terms or provisions of this Agreement in any other
jurisdiction.  Upon such determination that any term or other
provision is prohibited or invalid under applicable Law, the parties hereto
shall negotiate in good faith to modify this Agreement so as to effect the
original intent of the parties as closely as possible to the fullest extent
permitted by applicable Law in an acceptable manner to the end that the
transactions contemplated hereby are fulfilled to the fullest extent
possible.

     

    10.15     Non-Recourse.  

     

    (a)           No
past, present or future director, officer, employee, incorporator, member,
manager, partner, stockholder, Affiliate, agent, attorney or representative of
Parent or Merger Sub or any of their respective Affiliates shall have any
liability for any obligations or liabilities of Parent or Merger Sub under this
Agreement or for any claim based on, in respect of, or by reason of, the
transactions contemplated hereby.

     

    (b)           No
past, present or future director, officer, employee, incorporator, member,
manager, partner, stockholder, Affiliate, agent, attorney or representative of
the Company or any of their respective Affiliates shall have any liability for
any obligations or liabilities of the Company or Parent under this Agreement or
for any claim based on, in respect of, or by reason of, the transactions
contemplated hereby.

     

    (c)           Notwithstanding
anything to the contrary in Sections 10.15(a) and
(b), the
provisions of this Section 10.15
shall not (i) limit or modify the rights or obligations of any Person that
is an express party to any agreement entered into in connection with the
transactions contemplated hereby, or (ii) limit the availability of the
Indemnity Escrow Shares or the Company Indemnity Shares for the applicable
indemnification obligations set forth in Article IX.

     

    10.16     Counterparts;
Electronic Transmission.  This Agreement may be executed in two
or more counterparts (any of which may be delivered by facsimile or other
electronic transmission followed promptly by an executed original), each of
which will be deemed an original, but all of which together will constitute one
and the same instrument.  Any signature page delivered by facsimile or
electronic image transmission shall be binding to the same extent as an original
signature page. 

     

    [The
Remainder of This Page Is Intentionally Left Blank.]

    
      
         

      

      
        73

        
          

        

      

      
         

      

    

    IN WITNESS WHEREOF, the
parties hereto have caused this Agreement to be executed as of the day and year
first above written.

     

    
      
        
          
            	 
      	
                    BERLINER
      COMMUNICATIONS, INC.

                  
	 	 	 
	 
      	
                    By:

                  	
                    /s/ Rich Berliner

                  
	 
      	
                    Name:  

                  	
                    Rich
      Berliner

                  
	 
      	
                    Title:

                  	
                    President

                  
	 
      	 
      	 
      
	 
      	
                    BCI
      EAST, INC.

                  
	 
      	 
      	 
      
	 
      	
                    By:

                  	
                    /s/ Nicholas Day

                  
	 
      	
                    Name:  

                  	
                    Nicholas
      Day

                  
	 
      	
                    Title:

                  	
                    Secretary

                  
	 
      	 
      	 
      
	 
      	
                    UNITEK
      HOLDINGS, INC.

                  
	 
      	 
      	 
      
	 
      	
                    By:

                  	
                    /s/ David W. Knickel

                  
	 
      	
                    Name:  

                  	
                    David
      W. Knickel

                  
	 
      	
                    Title:

                  	
                    Vice
      President and Secretary

                  
	 
      	 
      	 
      
	 
      	
                    COMPANY
      REPRESENTATIVE:

                  
	 
      	 
      	 
      
	 
      	
                    HM
      Capital Partners LLC

                  
	 
      	 
      	 
      
	 
      	
                    By:

                  	
                    /s/ David W. Knickel

                  
	 
      	
                    Name:  

                  	
                    David
      W. Knickel

                  
	 
      	
                    Title:

                  	
                    Vice
      President, Chief Financial Officer

                  
	 
      	 
      	
                    and
      Secretary

                  
	 
      	 
      	 
      
	 
      	
                    PARENT
      REPRESENTATIVE:

                  
	 
      	 
      	 
      
	 
      	
                    /s/ Rich Berliner

                  
	 
      	
                    Rich
      Berliner

                  

          

        

      

    

    

    Signature
Page to

    Agreement
and Plan of Merger

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    Exhibit
M

    

    Initial
Parent Directors

    

    Continuing
Directors

    Rich
Berliner

    Mark
Dailey

    

    Company
Designees

    Pete
Giacalone

    Scott
Hisey

    Peter
Brodsky

    Dean
MacDonald

    Joe
Colonnetta

    Richard
Siber

    Dan
Hopkin

    
      
         

      

      
        M-1

        
          

        

      

      
         

      

    

    

    Exhibit
N

    

    Affiliated
Parties

    

    HM
Capital Partners LLC and any fund or management company Affiliated with HM
Capital Partners LLC.

     

    Any
company controlled by HM Capital Partners LLC (or any fund or management company
Affiliated with HM Capital Partners LLC) after the Effective Time, other than
Parent and its Subsidiaries.

    
      
         

      

      
        N-1REGISTRATION
RIGHTS AGREEMENT

       

      THIS REGISTRATION RIGHTS
AGREEMENT (this “Agreement”) is made
as of January 27, 2010, by and among Berliner Communications, Inc., a Delaware
corporation (the “Company”), and each
of the Company’s stockholders listed on the Schedule of
Stockholders attached hereto (the “Stockholders”).

       

      WHEREAS, pursuant to that
certain Agreement and Plan of Merger, dated as of the date hereof, by and among
the Company, BCI East, Inc., a Delaware corporation and wholly-owned subsidiary
of the Company, Unitek Holdings, Inc., a Delaware corporation, Rich Berliner
(solely in his capacity as Parent Representative) and HM Capital Partners, LLC
(solely in its capacity as Company Representative) (the “Merger Agreement”),
the Stockholders have the right to receive shares of Common Stock and Preferred
Stock and the Company has agreed to provide the registration rights set forth in
this Agreement in connection with the consummation of the transactions described
in the Merger Agreement.

       

      NOW, THEREFORE, in
consideration of the mutual covenants contained herein and other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties to this Agreement hereby agree as
follows:

       

      Section
1.             Definitions.  Unless
otherwise set forth below or elsewhere in this Agreement, other capitalized
terms contained herein have the meanings set forth in the Merger Agreement, a
copy of which has been provided to and reviewed by the
Stockholders.

       

      “Affiliate” of any
Person means any other Person controlled by, controlling or under common control
with such Person; provided that the
Company and its Subsidiaries shall not be deemed to be Affiliates of any holder
of Registrable Securities.  As used in this definition, “control”
(including, with its correlative meanings, “controlling,” “controlled by” and
“under common control with”) shall mean possession, directly or indirectly, of
power to direct or cause the direction of management or policies (whether
through ownership of securities, by contract or otherwise).  With
respect to any Person who is an individual, “Affiliates” shall also include,
without limitation, any member of such individual’s Family Group.

       

      “Agreement” has the
meaning set forth in the recitals.

       

      “Capital Stock” means
(i) with respect to any Person that is a corporation, any and all shares,
interests or equivalents in capital stock of such corporation (whether voting or
nonvoting and whether common or preferred) and (ii) with respect to any Person
that is not a corporation, individual or governmental entity, any and all
partnership, membership, limited liability company or other equity interests of
such Person that confer on the holder thereof the right to receive a share of
the profits and losses of, or the distribution of assets of, the issuing Person,
including in each case any and all warrants, rights (including conversion and
exchange rights) and options to purchase any of the foregoing.

       

      “Common Stock” means
the Company’s common stock, par value $.00002 per share, and any Capital Stock
into which such Common Stock may hereafter be converted, changed or
reclassified.

      
        
           

        

        
          
          

          
            

          

        

        
           

        

      

      “Company” has the
meaning set forth in the preamble.

       

      “Demand Registrations”
has the meaning set forth in Section
2(a).

       

      “Exchange Act” means
the Securities Exchange Act of 1934, as amended from time to time, or any
successor federal law then in force, together with all rules and regulations
promulgated thereunder.

       

      “Family Group” means,
with respect to a Person who is an individual, (i) such individual’s spouse
and descendants (whether natural or adopted) (collectively, for purposes of this
definition, “relatives”),
(ii) such individual’s executor or personal representative, (iii) any
trust, the trustee of which is such individual or such individual’s executor or
personal representative and which at all times is and remains solely for the
benefit of such individual and/or such individual’s relatives, (iv) any
corporation, limited partnership, limited liability company or other tax
flow-through entity the governing instruments of which provide that such
individual or such individual’s executor or personal representative shall have
the exclusive, nontransferable power to direct the management and policies of
such entity and of which the sole owners of stock, partnership interests,
membership interests or any other equity interests are limited to such
individual, such individual’s relatives and/or the trusts described in clause (iii) above,
and (v) any retirement plan for such individual.

       

      “FINRA” means the
Financial Industry Regulatory Authority, Inc.

       

      “Free Writing
Prospectus” means a free-writing prospectus, as defined in
Rule 405.

       

      “Holdback Extension”
has the meaning set forth in Section
4(b).

       

      “Holdback Period” has
the meaning set forth in Section
4(a).

       

      “Indemnified Parties”
has the meaning set forth in Section
7(a).

       

      “Long-Form
Registrations” has the meaning set forth in Section
2(a).

       

      “Merger Agreement” has
the meaning set forth in the recitals.

       

      “Person” means an
individual, a partnership, a corporation, a limited liability company, an
association, a joint stock company, a trust, a joint venture, an unincorporated
organization and a governmental entity or any department, agency or political
subdivision thereof.

       

      “Piggyback
Registrations” has the meaning set forth in Section
3(a).

       

      “Preferred Stock”
means the Company’s preferred stock, par value $.00002 per share, and any
designated series thereof, including, without limitation, the Series A Preferred
and Series B Preferred, and any Capital Stock into which any such Preferred
Stock may hereafter be converted, changed or reclassified.

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

      “Public Offering”
means any sale or distribution by the Company and/or holders of Registrable
Securities to the public of Common Stock pursuant to an offering registered
under the Securities Act.

       

      “Registrable
Securities” means any Common Stock (including any Common Stock issued
upon the conversion of the Series A Preferred or the Series B Preferred issued
pursuant to the Merger Agreement).  As to any particular Registrable
Securities, such securities shall cease to be Registrable Securities when they
have been (a) sold or distributed pursuant to a Public Offering, (b) sold in
compliance with Rule 144 or (c) repurchased by the Company or a Subsidiary of
the Company.  For purposes of this Agreement, a Person shall be deemed
to be a holder of Registrable Securities, and the Registrable Securities shall
be deemed to be in existence, whenever such Person has the right to acquire,
directly or indirectly, such Registrable Securities (upon conversion or exercise
in connection with a transfer of securities or otherwise, but disregarding any
restrictions or limitations upon the exercise of such right), whether or not
such acquisition has actually been effected, and such Person shall be entitled
to exercise the rights of a holder of Registrable Securities hereunder; provided that a
holder of Registrable Securities may only request that Registrable Securities in
the form of Common Stock be registered pursuant to and in accordance with this
Agreement.

       

      “Rule 144”, “Rule 405” and “Rule 415” mean, in
each case, such rule promulgated under the Securities Act (or any successor
provision) by the SEC, as the same shall be amended from time to time, or any
successor rule then in force.

       

      “SEC” means the
Securities and Exchange Commission.

       

      “Securities Act” means
the Securities Act of 1933, as amended from time to time, or any successor
federal law then in force, together with all rules and regulations promulgated
thereunder.

       

      “Series A Preferred”
means the Company’s Series A Convertible Preferred Stock, par value $0.00002 per
share, and any Capital Stock into which any such Preferred Stock may hereafter
be converted, changed or reclassified.

       

      “Series B Preferred”
means the Company’s Series B Convertible Preferred Stock, par value $0.00002 per
share, and any Capital Stock into which any such Preferred Stock may hereafter
be converted, changed or reclassified.

       

      “Shelf Registration”
has the meaning set forth in Section
2(c).

       

      “Short-Form
Registrations” has the meaning set forth in Section
2(a).

       

      “Stockholders” has the
meaning set forth in the recitals.

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

      “Subsidiary” means,
with respect to the Company, any corporation, limited liability company,
partnership, association or other business entity of which (i) if a corporation,
a majority of the total voting power of shares of stock entitled (without regard
to the occurrence of any contingency) to vote in the election of directors,
managers or trustees thereof is at the time owned or controlled, directly or
indirectly, by the Company or one or more of the other Subsidiaries of the
Company or a combination thereof, or (ii) if a limited liability company,
partnership, association or other business entity, a majority of the limited
liability company, partnership or other similar ownership interest thereof is at
the time owned or controlled, directly or indirectly, by the Company or one or
more Subsidiaries of the Company or a combination thereof.  For
purposes hereof, a Person or Persons shall be deemed to have a majority
ownership interest in a limited liability company, partnership, association or
other business entity if such Person or Persons shall be allocated a majority of
limited liability company, partnership, association or other business entity
gains or losses or shall be or control the managing director or general partner
of such limited liability company, partnership, association or other business
entity.

       

      “Violation” has the
meaning set forth in Section
7(a).

       

      Section
2.             Demand
Registrations.

       

      (a)           Requests for
Registration.  Subject to the terms and conditions of this
Agreement and any restriction or limitation of the SEC or any rule or regulation
promulgated by the SEC, at any time after the six-month anniversary of the date
hereof, the holders of at least a majority of the Registrable Securities may
request registration under the Securities Act of all or any portion of their
Registrable Securities on Form S-1 or any similar long-form registration (“Long-Form
Registrations”), or on Form S-3 (including pursuant to Rule 415) or
any similar short form registration (“Short-Form
Registrations”) if available. All registrations requested pursuant to
this Section
2(a) are referred to herein as “Demand
Registrations”.  Each request for a Demand Registration shall
specify the approximate number of Registrable Securities requested to be
registered and the intended method of distribution.  Within ten days
after receipt of any such request, the Company shall give written notice of the
Demand Registration to all other holders of Registrable Securities and, subject
to the terms of Section 2(d), shall
include in such Demand Registration (and in all related registrations and
qualifications under state blue sky laws and in any related underwriting) all
Registrable Securities with respect to which the Company has received written
requests for inclusion therein within 15 days after the receipt of the Company’s
notice.

       

      (b)           Long-Form
Registrations.  The holders of Registrable Securities shall be
entitled to request two Long-Form Registrations; provided that the
aggregate offering value of the Registrable Securities requested to be
registered in any Long-Form Registration must equal at least
$10,000,000.  A registration shall not count as one of the permitted
Long-Form Registrations until it has become effective and remains effective in
accordance with the terms of this Agreement.  All Long-Form
Registrations shall be underwritten registrations unless otherwise approved by
the holders of a majority of the Registrable Securities requesting
registration. 

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

      (c)           Short-Form
Registrations.  In addition to the Long-Form Registrations
provided pursuant to Section 2(b), the
holders of Registrable Securities shall be entitled to request an unlimited
number of Short-Form Registrations; provided that the
aggregate offering value of the Registrable Securities requested to be
registered in any Short-Form Registration must equal at least
$5,000,000.  Demand Registrations shall be Short-Form Registrations
whenever the Company is permitted to use any applicable short form and if the
managing underwriters (if any) agree to the use of a Short-Form
Registration.  If the holders of a majority of the Registrable
Securities request that a Short Form Registration be filed pursuant to Rule 415
(a “Shelf
Registration”) and the Company is qualified to do so, the Company shall
use its commercially reasonable efforts to cause the Shelf Registration to be
declared effective under the Securities Act as soon as practicable after
filing.

       

      (d)           Priority on Demand
Registrations.  The Company shall not include in any Demand
Registration any securities which are not Registrable Securities without the
prior written consent of the holders of at least a majority of the Registrable
Securities included in such registration.  If a Demand Registration is
an underwritten offering and the managing underwriters advise the Company in
writing that in their opinion the number of Registrable Securities and, if
permitted hereunder, other securities requested to be included in such offering
exceeds the number of Registrable Securities and other securities, if any, which
can be sold therein without adversely affecting the marketability, proposed
offering price, timing or method of distribution of the offering, the Company
shall include in such registration prior to the inclusion of any securities
which are not Registrable Securities the number of Registrable Securities
requested to be included which, in the opinion of such underwriters, can be
sold, without any such adverse effect, pro rata among the respective holders
thereof on the basis of the amount of Registrable Securities owned by each such
holder.

       

      (e)           Restrictions on Demand
Registrations.  The Company shall not be obligated to effect
any Demand Registration within 90 days after the effective date of a previous
Demand Registration or other registration in which Registrable Securities were
included.  The Company may postpone, for up to 90 days from the date
of the request, the filing or the effectiveness of a registration statement for
a Demand Registration if the
Company’s board of directors determines in its reasonable good faith judgment
that such Demand Registration would
reasonably be expected to have a material adverse effect on any proposal or plan
by the Company or any Subsidiary to engage in any material acquisition of assets
or stock (other than in the ordinary course of business) or any material merger,
consolidation, tender offer, recapitalization, reorganization or similar
transaction or would require the Company to disclose any material nonpublic
information which would reasonably be likely to be materially detrimental to the
Company and its Subsidiaries; provided that in such
event, the holders of Registrable Securities initially requesting such
Demand Registration
shall be entitled to withdraw such request, and if such request is withdrawn,
such Demand Registration shall not
count as one of the permitted Demand Registrations
hereunder.  The Company may postpone the filing or the effectiveness
of a particular registration statement pursuant to this Section 2(e) only
once in any twelve-month period.

       

      (f)           Selection of
Underwriters. The holders of at least a majority of the Registrable
Securities shall have the right to select the investment banker(s) and
manager(s) to administer any underwritten Demand Registration, subject to the
approval of the Company, which approval shall not be unreasonably withheld,
conditioned or delayed.

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

      Section
3.             Piggyback
Registrations.

       

      (a)           Right to
Piggyback.  Whenever the Company proposes to register any of
its securities under the Securities Act (other than (i) pursuant to a Demand
Registration or (ii) in connection with registrations on Form S-4 or S-8
promulgated by the SEC or any successor or similar forms) and the registration
form to be used may be used for the registration of Registrable Securities (a
“Piggyback
Registration”), the Company shall give prompt written notice to all
holders of Registrable Securities of its intention to effect such Piggyback
Registration and, subject to the terms of Section 3(b) and
Section 3(c),
shall include in such Piggyback Registration (and in all related registrations
or qualifications under blue sky laws and in any related underwriting) all
Registrable Securities with respect to which the Company has received written
requests for inclusion therein within 20 days after delivery of the Company’s
notice.

       

      (b)           Priority on Primary
Registrations.  If a Piggyback Registration is an underwritten
primary registration on behalf of the Company, and the managing underwriters
advise the Company in writing that in their opinion the number of securities
requested to be included in such registration exceeds the number which can be
sold in such offering without adversely affecting the marketability, proposed
offering price, timing or method of distribution of the offering, the Company
shall include in such registration (i) first, the securities the Company
proposes to sell, (ii) second, the Registrable Securities requested to be
included in such registration which, in the opinion of the underwriters, can be
sold without any such adverse effect, pro rata among the holders of such
Registrable Securities on the basis of the number of shares owned by each such
holder, and (iii) third, other securities requested to be included in such
registration which, in the opinion of the underwriters, can be sold without any
such adverse effect. 

       

      (c)           Priority on Secondary
Registrations.  If a Piggyback Registration is an underwritten
secondary registration on behalf of holders of the Company’s securities, and the
managing underwriters advise the Company in writing that in their opinion the
number of securities requested to be included in such registration exceeds the
number which can be sold in such offering without adversely affecting the
marketability, proposed offering price, timing or method of distribution of the
offering, the Company shall include in such registration (i) first, the
securities requested to be included therein by the holders requesting such
registration which, in the opinion of the underwriters, can be sold without any
such adverse effect, (ii) second, the Registrable Securities requested to be
included in such registration, pro rata among the holders of such Registrable
Securities on the basis of the number of shares owned by each such holder which,
in the opinion of the underwriters, can be sold without any such adverse effect,
and (iii) third, other securities requested to be included in such registration
which, in the opinion of the underwriters, can be sold without any such adverse
effect.

       

      (d)           Right to Terminate
Registration.  The Company shall have the right to terminate or
withdraw any registration initiated by it under this Section 3 whether or
not any holder of Registrable Securities has elected to include securities in
such registration.

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

      Section
4.             Holdback
Agreements.  If requested by the Company, each holder of
Registrable Securities participating in a Demand Registration or a Piggyback
Registration shall enter into lock-up agreements with the managing
underwriter(s) of an underwritten Public Offering in such form as agreed to by
the holders of a majority of the Registrable Securities participating in such
Public Offering.  In the absence of any such lock-up agreement, each
holder of Registrable Securities participating in a Demand Registration or a
Piggyback Registration agrees as follows:  

       

      (a)           in
connection with all Public Offerings, such holder shall not effect any Sale
Transaction from the date on which the Company gives notice to the holders of
Registrable Securities of the circulation of a preliminary or final prospectus
for such Public Offering to the date that is 90 days following the date of the
final prospectus for such Public Offering
(a “Holdback
Period”), unless, if an underwritten Public Offering, the underwriters
managing such Public Offering otherwise agree in writing; and

       

      (b)           in
the event that (i) the Company issues an earnings release or discloses
other material information or a material event relating to the Company and its
Subsidiaries occurs during the last 17 days of any Holdback Period or
(ii) prior to the expiration of any Holdback Period, the Company announces
that it will release earnings results during the 16-day period beginning upon
the expiration of such period, then to the extent necessary for a managing or
co-managing underwriter of a registered offering hereunder to comply with FINRA
Rule 2711(f)(4) (or any successor rule), the Holdback Period shall be
extended until 18 days after the earnings release or disclosure of other
material information or the occurrence of the material event, as the case may be
(a “Holdback
Extension”).

       

      The
Company may impose stop-transfer instructions with respect to the shares of
Common Stock (or other securities) subject to the restrictions set forth in this
Section 4 until
the end of such period, including any Holdback Extension.

       

      Section
5.             Registration
Procedures.

       

      (a)           Whenever
the holders of Registrable Securities have requested that any Registrable
Securities be registered pursuant to this Agreement, the Company shall use its
commercially reasonable efforts to effect the registration and the sale of such
Registrable Securities in accordance with the intended method of disposition
thereof, and pursuant thereto the Company shall as expeditiously as reasonably
practicable:

       

      (i)           in
accordance with the Securities Act and all applicable rules and regulations
promulgated thereunder, prepare and file with the SEC a registration statement,
and all amendments and supplements thereto and related prospectuses, with
respect to such Registrable Securities and use its commercially reasonable
efforts to cause such registration statement to become effective;

       

      (ii)          notify
each holder of Registrable Securities of (A) the issuance by the SEC of any stop
order suspending the effectiveness of any registration statement or the
initiation of any proceedings for that purpose, (B) the receipt by the Company
or its counsel of any notification with respect to the suspension of the
qualification of the Registrable Securities for sale in any jurisdiction or the
initiation or threatening of any proceeding for such purpose, and (C) the
effectiveness of each registration statement filed hereunder;

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

      (iii)         prepare
and file with the SEC such amendments and supplements to such registration
statement and the prospectus used in connection therewith as may be necessary to
keep such registration statement effective for a period ending when all of the
securities covered by such registration statement have been disposed of in
accordance with the intended methods of distribution by the sellers thereof set
forth in such registration statement (but not in any event before the expiration
of any longer period required under the Securities Act or, if such registration
statement relates to an underwritten Public Offering, such longer period as in
the opinion of counsel for the underwriters a prospectus is required by law to
be delivered in connection with sale of Registrable Securities by an underwriter
or dealer) and comply with the provisions of the Securities Act with respect to
the disposition of all securities covered by such registration statement during
such period in accordance with the intended methods of disposition by the
sellers thereof set forth in such registration statement;

       

      (iv)        furnish
to each seller of Registrable Securities thereunder such number of copies of
such registration statement, each amendment and supplement thereto, the
prospectus included in such registration statement (including each preliminary
prospectus), each Free Writing Prospectus and such other documents as such
seller may reasonably request in order to facilitate the disposition of the
Registrable Securities owned by such seller;

       

      (v)         use
its commercially reasonable efforts to register or qualify such Registrable
Securities under such other securities or blue sky laws of such jurisdictions as
any seller reasonably requests and do any and all other acts and things which
may be reasonably necessary or advisable to enable such seller to consummate the
disposition in such jurisdictions of the Registrable Securities owned by such
seller (provided that the
Company shall not be required to (A) qualify generally to do business in any
jurisdiction where it would not otherwise be required to qualify but for this
subparagraph or (B) consent to general service of process in any such
jurisdiction or (C) subject itself to taxation in any such
jurisdiction);

       

      (vi)        notify
each seller of such Registrable Securities (A) promptly after it receives
notice thereof, of the date and time when such registration statement and each
post-effective amendment thereto has become effective or a prospectus or
supplement to any prospectus relating to a registration statement has been filed
and when any registration or qualification has become effective under a state
securities or blue sky law or any exemption thereunder has been obtained,
(B) promptly after receipt thereof, of any request by the SEC for the
amendment or supplementing of such registration statement or prospectus or for
additional information, and (C) at any time when a prospectus relating
thereto is required to be delivered under the Securities Act, of the happening
of any event as a result of which the prospectus included in such registration
statement contains an untrue statement of a material fact or omits any fact
necessary to make the statements therein not misleading, and, at the request of
any such seller, the Company shall prepare a supplement or amendment to such
prospectus so that, as thereafter delivered to the purchasers of such
Registrable Securities, such prospectus shall not contain an untrue statement of
a material fact or omit to state any fact necessary to make the statements
therein not misleading; provided, that at any
time, upon written notice to the participating holders of Registrable
Securities, the Company may delay the filing or effectiveness of any
registration statement or suspend the use or effectiveness of any registration
statement (and the holders of Registrable Securities hereby agree not to offer
or sell any Registrable Securities pursuant to such registration statement
during such delay) if the Company reasonably believes that there is or may be in
existence material nonpublic information or events involving the Company, the
failure of which to be disclosed in the prospectus included in the registration
statement could result in a Violation;

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

      (vii)       use
commercially reasonable efforts to cause all such Registrable Securities to be
listed on each securities exchange on which similar securities issued by the
Company are then listed, if any;

       

      (viii)      use
commercially reasonable efforts to provide a transfer agent and registrar for
all such Registrable Securities not later than the effective date of such
registration statement;

       

      (ix)         enter
into and perform such customary agreements (including underwriting agreements in
customary form) as the holders of a majority of the Registrable Securities being
sold or the underwriters, if any, reasonably request in order to expedite or
facilitate the disposition of such Registrable Securities; and

       

      (x)          in
the event of the issuance of any stop order suspending the effectiveness of a
registration statement, or the issuance of any order suspending or preventing
the use of any related prospectus or suspending the qualification of any Common
Stock included in such registration statement for sale in any jurisdiction, use
commercially reasonable efforts promptly to obtain the withdrawal of such
order.

       

      (b)           If
so directed by the Company, all holders of Registrable Securities registering
shares under such registration statement shall (i) not offer to sell any
Registrable Securities pursuant to the registration statement during the period
in which the delay or suspension is in effect after receiving notice of such
delay or suspension and (ii) use their commercially reasonable efforts to
deliver to the Company (at the Company’s expense) all copies, other than
permanent file copies then in such holders’ possession, of the prospectus
relating to such Registrable Securities current at the time of receipt of such
notice.

      
        
           

        

        
          9

          
            

          

        

        
           

        

      

      Section
6.             Registration
Expenses.

       

      (a)           The Company’s
Obligation.  All expenses incident to the Company’s performance
of or compliance with this Agreement (including, without limitation, all
registration, qualification and filing fees, fees and expenses of compliance
with securities or blue sky laws, printing expenses, messenger and delivery
expenses, fees and disbursements of custodians, fees and disbursements of
counsel for the Company and the reasonable fees of one separate counsel for the
holders of the Registrable Securities included in the registration (chosen by
the holders of a majority of such Registrable Securities), and fees and
disbursements of all independent certified public accountants, underwriters
(excluding underwriting discounts and commissions) and other Persons retained by
the Company), shall be borne by the Company.  Each holder of
Registrable Securities that sells securities pursuant to a Demand Registration
or Piggyback Registration hereunder shall bear and pay any underwriting
discounts and commissions applicable to the securities sold for such holder’s
account.

       

      Section
7.             Indemnification and
Contribution.

       

      (a)           By the
Company.  The Company shall indemnify and hold harmless, to the
extent permitted by law, each holder of Registrable Securities, such holder’s
officers, directors, managers, partners, employees, agents and representatives,
and each Person who controls such holder (within the meaning of the Securities
Act) (the “Indemnified
Parties”) against all losses, claims, actions, damages, liabilities and
expenses (including with respect to actions or proceedings, whether commenced or
threatened, and including reasonable attorney fees and expenses) caused by,
resulting from, arising out of, based upon or related to any of the following
statements, omissions or violations (each a “Violation”) by the
Company: (i) any untrue or alleged untrue statement of material fact
contained in (A) any registration statement, prospectus, preliminary prospectus
or Free-Writing Prospectus, or any amendment thereof or supplement thereto or
(B) any application or other document or communication (in this Section 7,
collectively called an “application”)
executed by or on behalf of the Company or based upon written information
furnished by or on behalf of the Company filed in any jurisdiction in order to
qualify any securities covered by such registration under the securities laws
thereof, (ii) any omission or alleged omission of a material fact required
to be stated therein or necessary to make the statements therein not misleading
or (iii) any violation or alleged violation by the Company of the
Securities Act or any other similar federal or state securities laws or any rule
or regulation promulgated thereunder applicable to the Company and relating to
action or inaction required of the Company in connection with any such
registration, qualification or compliance.  In addition, the Company
will reimburse such Indemnified Party for any legal or any other expenses
reasonably incurred by them in connection with investigating or defending any
such losses.  Notwithstanding the foregoing, the Company shall not be
liable in any such case to the extent that any such losses result from, arise
out of, are based upon, or relate to an untrue statement or alleged untrue
statement, or omission or alleged omission, made in such registration statement,
any such prospectus, preliminary prospectus or Free-Writing Prospectus or any
amendment or supplement thereto, or in any application, in reliance upon, and in
conformity with, written information prepared and furnished in writing to the
Company by such Indemnified Party expressly stated for use therein or by such
Indemnified Party’s failure to deliver a copy of the registration statement or
prospectus or any amendments or supplements thereto after the Company has
furnished such Indemnified Party with a sufficient number of copies of the
same.

      
        
           

        

        
          10

          
            

          

        

        
           

        

      

      (b)           By Each Security
Holder.  In connection with any registration statement in which
a holder of Registrable Securities is participating, each such holder shall
furnish to the Company in writing such information and affidavits as the Company
reasonably requests for use and as required in connection with any such
registration statement or prospectus and, to the extent permitted by law, shall
indemnify the Company, its officers, directors, employees, agents and
representatives, and each Person who controls the Company (within the meaning of
the Securities Act) against any losses, claims, damages, liabilities and
expenses resulting from any untrue or alleged untrue statement of material fact
contained in the registration statement, prospectus or preliminary prospectus or
any amendment thereof or supplement thereto or any omission or alleged omission
of a material fact required to be stated therein or necessary to make the
statements therein not misleading, but only to the extent that such untrue
statement or omission is contained in any information or affidavit so furnished
in writing by such holder and expressly stated for use therein; provided that the
obligation to indemnify shall be individual, not joint and several, for each
holder and shall be limited to the net amount of proceeds received by such
holder from the sale of Registrable Securities pursuant to such registration
statement.

       

      (c)           Claim
Procedure.  Any Person entitled to indemnification hereunder
shall (i) give prompt written notice to the indemnifying party of any claim with
respect to which it seeks indemnification (provided that the failure to give
prompt notice shall impair any Person’s right to indemnification hereunder only
to the extent such failure has prejudiced the indemnifying party) and (ii)
unless in such indemnified party’s reasonable judgment a conflict of interest
between such indemnified and indemnifying parties may exist with respect to such
claim, permit such indemnifying party to assume the defense of such claim with
counsel reasonably satisfactory to the indemnified party.  If such
defense is assumed, the indemnifying party shall not be subject to any liability
for any settlement made by the indemnified party without its consent (but such
consent shall not be unreasonably withheld, conditioned or
delayed).  An indemnifying party who is not entitled to, or elects not
to, assume the defense of a claim shall not be obligated to pay the fees and
expenses of more than one counsel for all parties indemnified by such
indemnifying party with respect to such claim, unless in the reasonable judgment
of any indemnified party a conflict of interest may exist between such
indemnified party and any other of such indemnified parties with respect to such
claim. In such instance, the conflicted indemnified parties shall have a right
to retain one separate counsel, chosen by the holders of a majority of the
Registrable Securities included in the registration if such holders are
indemnified parties, at the expense of the indemnifying party.

      
        
           

        

        
          11

          
            

          

        

        
           

        

      

      (d)           Contribution.  If
the indemnification provided for in this Section 7 is held by
a court of competent jurisdiction to be unavailable to, or is insufficient to
hold harmless, an indemnified party or is otherwise unenforceable with respect
to any loss, claim, damage, liability or action referred to herein, then the
indemnifying party shall contribute to the amounts paid or payable by such
indemnified party as a result of such loss, claim, damage, liability or action
in such proportion as is appropriate to reflect the relative fault of the
indemnifying party on the one hand and of the indemnified party on the other
hand in connection with the statements or omissions which resulted in such loss,
claim, damage, liability or action as well as any other relevant equitable
considerations; provided that the
maximum amount of liability in respect of such contribution shall be limited, in
the case of each seller of Registrable Securities, to an amount equal to the net
amount of proceeds actually received by such seller from the sale of Registrable
Securities effected pursuant to such registration.  The relative fault
of the indemnifying party and of the indemnified party shall be determined by
reference to, among other things, whether the untrue or alleged untrue statement
of a material fact or the omission to state a material fact relates to
information supplied by the indemnifying party or by the indemnified party and
the parties’ relative intent, knowledge, access to information and opportunity
to correct or prevent such statement or omission.  The parties hereto
agree that it would not be just or equitable if the contribution pursuant to
this Section
7(d) were to be determined by pro rata allocation or by any other method
of allocation that does not take into account such equitable
considerations.  The amount paid or payable by an indemnified party as
a result of the losses, claims, damages, liabilities or expenses referred to
herein shall be deemed to include any legal or other expenses reasonably
incurred by such indemnified party in connection with investigating or defending
against any action or claim which is the subject hereof.  No person
guilty of fraudulent misrepresentation (within the meaning of Section 11(f)
of the Securities Act) shall be entitled to contribution from any Person who is
not guilty of such fraudulent misrepresentation.

       

      (e)           Release.  No
indemnifying party shall, except with the consent of the indemnified party,
consent to the entry of any judgment or enter into any settlement that does not
include as an unconditional term thereof giving by the claimant or plaintiff to
such indemnified party of a release from all liability in respect to such claim
or litigation.

       

      (f)           Non-Exclusive Remedy;
Survival.  The indemnification and contribution provided for
under this Agreement shall be in addition to any other rights to indemnification
or contribution that any indemnified party may have pursuant to law or contract
and shall remain in full force and effect regardless of any investigation made
by or on behalf of the indemnified party or any officer, director or controlling
Person of such indemnified party and shall survive the transfer of Registrable
Securities and the termination or expiration of this Agreement.

       

      Section
8.             Underwritten
Registrations.

       

      (a)           Participation.  No
Person may participate in any registration hereunder which is underwritten
unless such Person (i) agrees to sell such Person’s securities
on the basis provided in any underwriting arrangements approved by the Person or
Persons entitled hereunder to approve such arrangements (including, without
limitation, pursuant to any over-allotment or “green shoe” option requested by
the underwriters; provided that no
holder of Registrable Securities shall be required to sell more than the number
of Registrable Securities such holder has requested to include) and (ii)
completes and executes all questionnaires, powers of attorney, indemnities,
underwriting agreements and other documents required under the terms of such
underwriting arrangements.  Each holder of
Registrable Securities shall execute and deliver such other agreements as may be
reasonably requested by the Company and the lead managing underwriter(s) that
are consistent with such holder’s obligations under Section 4, Section 5 and this
Section 8(a) or
that are necessary to give further effect thereto.

       

      (b)           Suspended
Distributions.  Each Person that is participating in any
registration under this Agreement, upon receipt of any notice from the Company
of the happening of any event of the kind described in Section 5(a)(vi),
shall immediately discontinue the disposition of its Registrable Securities
pursuant to the registration statement until such Person’s receipt of the copies
of a supplemented or amended prospectus as contemplated by Section 5(a)(vi). In
the event the Company has given any such notice, the applicable time period set
forth in Section
5(a)(iii) during which a Registration Statement is to remain effective
shall be extended by the number of days during the period from and including the
date of the giving of such notice pursuant to this Section 8(b) to and
including the date when each seller of Registrable Securities covered by such
registration statement shall have received the copies of the supplemented or
amended prospectus contemplated by Section
5(a)(vi).

      
        
           

        

        
          12

          
            

          

        

        
           

        

      

      Section
9.             General
Provisions.

       

      (a)           Amendments and
Waivers.  Except as otherwise provided herein, the provisions
of this Agreement may be amended, modified or waived only with the prior written
consent of the Company and holders of at least a majority of the Registrable
Securities.  No failure or delay by any party in exercising any right,
power or privilege hereunder shall act as a waiver thereof, nor shall any single
or partial exercise thereof preclude any other or further exercise thereof or
the exercise of any other right, power or privilege hereunder.

       

      (b)           Specific
Performance.  The parties agree that irreparable damage would
occur in the event that any of the provisions of this Agreement were not
performed in accordance with their specific terms or were otherwise
breached.  It is accordingly agreed that the parties hereto shall be
entitled to an injunction or injunctions to prevent breaches of this Agreement,
and to enforce specifically the terms and provisions of this Agreement, this
being in addition to any other remedy to which they are entitled at law or in
equity.  The equitable remedies described in this Section 9(b) shall be
in addition to, and not in lieu of, any other remedies at law or in equity that
the parties to this Agreement are permitted to elect to pursue in accordance
with this Agreement.

       

      (c)           Severability.  Any
term or provision of this Agreement that is invalid or unenforceable in any
jurisdiction will, as to that jurisdiction, be ineffective to the extent of such
invalidity or unenforceability without rendering invalid or unenforceable the
remaining terms and provisions of this Agreement or affecting the validity or
enforceability of any of the terms or provisions of this Agreement in any other
jurisdiction.  Upon such determination that any term or other
provision is prohibited or invalid under applicable law, the parties hereto
shall negotiate in good faith to modify this Agreement so as to effect the
original intent of the parties as closely as possible to the fullest extent
permitted by applicable law in an acceptable manner to the end that the
transactions contemplated hereby are fulfilled to the fullest extent
possible.

       

      (d)           Complete
Agreement.  Except as otherwise provided herein, this Agreement
contains the complete agreement between the parties hereto with respect to the
subject matter hereof and supersedes all prior agreements and understandings,
whether written or oral, between the parties hereto that may have related to the
subject matter hereof in any way.

       

      (e)           Successors and
Assigns.  Except as otherwise provided herein, this Agreement
shall bind and inure to the benefit and be enforceable by the Company and its
successors and assigns and the holders of Registrable Securities and their
respective successors and permitted assigns (whether so expressed or
not).

      
        
           

        

        
          13

          
            

          

        

        
           

        

      

      (f)           Notices.  Any
notice, demands or other communication provided for herein or given hereunder to
a party hereto must be in writing, and shall be deemed to have been given (i)
when personally delivered or delivered by facsimile transmission with
confirmation of delivery, (ii) one Business Day after deposit with Federal
Express or similar overnight courier service, or (iii) three Business Days
after being mailed by registered, certified or first class mail, return receipt
requested.  Such notices, demands and other communications shall be
sent to the Company at the address specified below and to any holder of
Registrable Securities or to any other party subject to this Agreement at such
address as indicated on the Schedule of
Stockholders hereto, or at such address or to the attention of such other
Person as the recipient party has specified by prior written notice to the
sending party.  Any party may change its address for receipt of notice
by providing sending prior written notice of the change to the sending
party.  The Company’s address is:

       

      
        If to the
Company:

      

       

      
        	
                 
      

              	
                Berliner
      Communications, Inc.

              

      

      
        	
                 
      

              	
                18-01
      Pollitt Drive

              

      

      
        	
                 
      

              	
                Fair
      Lawn, New Jersey 07410

              

      

      
        	
                 
      

              	
                Attn:  General
      Counsel

              

      

      
        	
                 
      

              	
                Facsimile:  (201)
      794-8974

              

      

      

      
        	
                 
      

              	
                with
      a copy to:

              

      

       

      HM
Capital Partners LLC

      200
Crescent Court, Suite 1600

      Dallas,
Texas 75201

      Attn:  Peter
Brodsky

      Facsimile:  (214)
720-7888

       

      or to
such other address or to the attention of such other person as the recipient
party has specified by prior written notice to the sending party.

       

      (g)           Business
Days.  If any time period for giving notice or taking action
hereunder expires on a day which is a Saturday, Sunday or legal holiday in the
state in which the Company’s chief executive office is located, the time period
shall automatically be extended to the business day immediately following such
Saturday, Sunday or legal holiday.

       

      (h)           Governing
Law.  THE PROVISIONS OF THIS AGREEMENT AND ALL OF THE DOCUMENTS
DELIVERED PURSUANT HERETO, THEIR EXECUTION, PERFORMANCE OR NONPERFORMANCE,
INTERPRETATION, TERMINATION, CONSTRUCTION AND ALL MATTERS BASED UPON, ARISING
OUT OF OR RELATED TO THIS AGREEMENT OR THE NEGOTIATION, EXECUTION OR PERFORMANCE
OF THIS AGREEMENT (WHETHER IN EQUITY, LAW OR STATUTE) SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS, BOTH PROCEDURAL AND SUBSTANTIVE, OF THE
STATE OF DELAWARE WITHOUT REGARD TO ITS CONFLICT OF LAWS PROVISIONS THAT IF
APPLIED MIGHT REQUIRE THE APPLICATION OF THE LAWS OF ANOTHER
JURISDICTION.

      
        
           

        

        
          14

          
            

          

        

        
           

        

      

      (i)           Waiver of Jury
Trial.  EACH PARTY HEREBY EXPRESSLY WAIVES THE RIGHT TO A TRIAL
BY JURY IN ANY ACTION BROUGHT BY OR AGAINST IT ARISING OUT OF OR RELATING TO
THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

       

      (j)           Venue and
Jurisdiction.  ANY ACTION, CLAIM, SUIT OR PROCEEDING RELATING
TO THIS AGREEMENT OR THE ENFORCEMENT OF ANY PROVISION OF THIS AGREEMENT SHALL BE
BROUGHT IN THE STATE COURTS OF THE STATE OF NEW YORK LOCATED IN NEW YORK COUNTY
OR THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK OR IN
ANY OTHER COURT OF COMPETENT JURISDICTION IF SUCH STATE OR FEDERAL COURTS IN NEW
YORK DO NOT HAVE JURISDICTION OVER SUCH MATTER, WITHOUT BOND OR OTHER SECURITY
BEING REQUIRED.  EACH OF THE PARTIES HERETO HEREBY SUBMITS TO THE
JURISDICTION OF ANY STATE OR FEDERAL COURT SITTING IN NEW YORK CITY, NEW YORK,
IN ANY ACTION ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY AND AGREES THAT ALL CLAIMS IN RESPECT OF SUCH ACTION MAY BE
HEARD AND DETERMINED IN ANY SUCH COURT.  EACH PARTY HERETO ALSO AGREES
NOT TO BRING ANY ACTION ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE
TRANSACTIONS CONTEMPLATED HEREBY IN ANY OTHER COURT.  EACH OF THE
PARTIES HERETO WAIVES ANY DEFENSE OF INCONVENIENT FORUM TO THE MAINTENANCE OF
ANY ACTION SO BROUGHT AND WAIVES ANY BOND, SURETY, OR OTHER SECURITY THAT MIGHT
BE REQUIRED OF ANY OTHER PARTY WITH RESPECT THERETO.

       

      (k)           Descriptive
Headings;
Interpretation.  The descriptive headings of this Agreement are
inserted for convenience only and do not constitute a part of this
Agreement.  The use of the word “including” in this Agreement shall be
by way of example rather than by limitation.

       

      (l)           No Strict
Construction.  The language used in this Agreement shall be
deemed to be the language chosen by the parties hereto to express their mutual
intent, and no rule of strict construction shall be applied against any
party.

       

      (m)          Counterparts.  This
Agreement may be executed in two or more counterparts (any of which may be
delivered by facsimile or other electronic transmission followed promptly by an
executed original), each of which will be deemed an original, but all of which
together will constitute one and the same instrument.  Any signature
page delivered by facsimile or electronic image transmission shall be binding to
the same extent as an original signature page.

       

      (n)           Further
Assurances.  In connection with this Agreement and the
transactions contemplated hereby, each holder of Registrable Securities shall
execute and deliver any additional documents and instruments and perform any
additional acts that may be necessary or appropriate to effectuate and perform
the provisions of this Agreement and the transactions contemplated
hereby.

      
        
           

        

        
          15

          
            

          

        

        
           

        

      

      (o)           No Inconsistent
Agreements.  The Company shall not hereafter enter into any
agreement with respect to its securities which is inconsistent with or violates
the rights granted to the holders of Registrable Securities in this
Agreement.

       

      (p)           Effective
Date.  After this Agreement is executed and delivered by all of
the parties hereto, this Agreement shall become effective only upon the issuance
of the Common Stock and Preferred Stock upon consummation of the closing under
the Merger Agreement.  However, prior thereto, this Agreement shall
terminate and become null and void automatically without any further action by
any of the parties hereto immediately upon the termination of the Merger
Agreement pursuant to its terms.

       

      (q)           Restrictions on
Transfer.  Notwithstanding anything to the contrary contained
herein, prior to transferring any Registrable Securities to any Person
(including, without limitation, by operation of law), the transferring holder
shall cause the prospective transferee to execute and deliver to the Company a
joinder in the form of Exhibit A attached
hereto (a “Joinder”) agreeing to
be bound by the terms of this Agreement.  Any transfer or attempted
transfer of any Registrable Securities in violation of any provision of this
Agreement shall be void, and the Company shall not record such transfer on its
books or treat any purported transferee of such Registrable Securities as the
owner thereof for any purpose.

       

      *     *     *     *    *

      
        
           

        

        
          16

          
            

          

        

        
           

        

      

    

     

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

     

    
      
        
          
            	 
      	
                    BERLINER
      COMMUNICATIONS, INC.

                  
	 
      	 
      	 
      
	 
      	
                    By:

                  	/s/
      Rich Berliner  
	 
      	
                    Name:

                  	
                    Rich
      Berliner 

                  
	 
      	
                    Title:

                  	
                    President

                  

          

        

      

    

     

    [Signature
Page to Registration Rights Agreement]

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      
        
          
            
              
                
                  
                    	 
      	
                            AMERICAN AIRLINES MASTER FIXED

                            BENEFITS PENSION PLAN TRUST

                          
	 
      	 
      
	 
      	
                            By: State Street Bank & Trust Co., its Trustee

                          
	 
      	 
      	 
      
	 
      	
                            By:

                          	
                            /s/
      Keith G. Maloney

                          
	 
      	
                            Name:

                          	
                            Keith G. Maloney

                          
	 
      	
                            Title:

                          	
                            Vice President

                          
	 
      	 
      
	 
      	
                            BOURDIGNY INVESTMENTS, S.A.

                          
	 
      	 
      	 
      
	 
      	
                            By:

                          	
                            /s/
      Ian Buchanan

                          
	 
      	
                            Name:

                          	
                            Ian Buchanan

                          
	 
      	
                            Title:

                          	
                            Managing Director

                          
	 
      	 
      
	 
      	
                            CPC 2008 CO-INVESTMENT POOL LP

                          
	 
      	 
      
	 
      	
                            By:

                          	
                            CPC 2008 Co-investment Pool GP, LP, its

                          
	 
      	 
      	
                            general partner

                          
	 
      	 
      	 
      
	 
      	
                            By:

                          	
                            CPC 2008 Co-invest LLC,

                          
	 
      	 
      	
                            its general partner

                          
	 
      	 
      	 
      
	 
      	
                            By:

                          	
                            /s/
      Michael T. Hearne

                          
	 
      	
                            Name:

                          	
                            Michael T. Hearne
      

                          
	 
      	
                            Title:

                          	
                            Senior Vice President

                          
	 
      	 
      
	 
      	
                            HM UNITEK COINVEST, LP

                          
	 
      	 
      
	 
      	
                            By:

                          	
                            Sector Performance LLC,

                          
	 
      	 
      	
                            its general partner

                          
	 
      	 
      	 
      
	 
      	
                            By:

                          	
                            /s/
      David W. Knickel

                          
	 
      	
                            Name:

                          	
                            David W. Knickel

                          
	 
      	
                            Title:

                          	
                            Vice President and Chief Financial Officer

                          

                  

                

              

            

          

        

      

    

    

    [Signature
Page to Registration Rights Agreement]

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      
        
          
            
              
                
                  
                    
                      
                        	 
      	
                                SECTOR PERFORMANCE FUND, LP

                              
	 
      	 
      
	 
      	
                                By:

                              	
                                Sector Performance GP, LP,

                              
	 
      	 
      	
                                its general partner

                              
	 
      	 
      
	 
      	
                                By:

                              	
                                Sector Performance LLC,

                              
	 
      	 
      	
                                its general partner

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/ David W. Knickel
      

                              
	 
      	
                                Name:

                              	
                                David W. Kinckel

                              
	 
      	
                                Title:

                              	
                                Vice President and Chief Financial Officer

                              
	 
      	 
      
	 
      	
                                SPF SBS LP

                              
	 
      	 
      
	 
      	
                                By:

                              	
                                Sector Performance LLC, its general partner

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/ David W. Knickel

                              
	 
      	
                                Name:

                              	
                                David W. Knickel

                              
	 
      	
                                Title:

                              	
                                Vice President and Chief Financial Officer

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/
      Elizabeth Downey

                              
	 
      	 
      	
                                Elizabeth Downey

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/
      Robert F. Fabrizio

                              
	 
      	 
      	
                                Robert F. Fabrizio

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/
      Peter Giacalone 
      

                              
	 
      	 
      	
                                Peter Giacalone

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/
      C. Scott Hiesy

                              
	 
      	 
      	
                                C. Scott Hiesy

                              
	 
      	 
      	 
      
	 
      	
                                By:

                              	
                                /s/
      Michael C. Hisey

                              
	 
      	 
      	
                                Michael C. Hisey

                              

                      

                    

                  

                

              

            

          

        

      

    

    

    [Signature
Page to Registration Rights Agreement]

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          	 
      	
                                  By:

                                	
                                  /s/
      Dean T. MacDonald

                                
	 
      	 
      	
                                  Dean T. MacDonald

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Lloyd S. Riddle III

                                
	 
      	 
      	
                                  Lloyd S. Riddle III

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Joel Rivas

                                
	 
      	 
      	
                                  Joel Rivas

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Norman Snell

                                
	 
      	 
      	
                                  Norman Snell

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Gregory K. Sudell

                                
	 
      	 
      	
                                  Gregory K. Sudell

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Albert Vagnozzi

                                
	 
      	 
      	
                                  Albert Vagnozzi

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Kenneth L. Wiltse

                                
	 
      	 
      	
                                  Kenneth L. Wiltse

                                
	 
      	 
      	 
      
	 
      	
                                  By:

                                	
                                  /s/
      Daniel J. Yannantuono

                                
	 
      	 
      	
                                  Daniel J. Yannantuono

                                

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    [Signature
Page to Registration Rights Agreement]

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    EXHIBIT
A

     

    REGISTRATION RIGHTS
AGREEMENT JOINDER

     

    The
undersigned is executing and delivering this Registration Rights Agreement
Joinder (this “Joinder”) pursuant to
the Registration Rights Agreement, dated as of January 27, 2010 (as the same may
hereafter be amended, the “Registration Rights
Agreement”), by and among Berliner Communications, Inc., a Delaware
corporation (the “Company”), and each
of the Company’s stockholders signatories thereto.  Capitalized terms
used but not defined herein shall have the meaning ascribed to such terms in the
Registration Rights Agreement.

     

    By
executing and delivering this Joinder to the Company, the undersigned hereby
agrees to become a party to, to be bound by, and to comply with the provisions
of the Registration Rights Agreement as a holder of Registrable Securities in
the same manner as if the undersigned were an original signatory to the
Registration Rights Agreement, and the undersigned’s ____ shares of Common
Stock shall be
included as Registrable Securities under the Registration Rights
Agreement.

     

    Accordingly,
the undersigned has executed and delivered this Joinder as of the ___ day of
____________, 20__.

     

    
      
        
          
            
              
                
                  	 
      	 
      
	 
      	
                          Signature
      of Stockholder

                        
	 
      	 
      
	 
      	 
      
	 
      	
                          Printed
      Name of Stockholder

                        
	 
      	 
      
	 
      	
                          Address:

                        	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      

                

              

            

          

        

      

    

     

    Agreed
and Accepted as of

     

    _____________________.

     

    BERLINER
COMMUNICATIONS, INC.

     

    
      
        
          
            	
                    By:

                  	 
      	 
      
	 
      	 
      	 
      
	
                    Its:

                  	 
      	 
      

          

        

      

    

     

    
      
         

      

      
        A-1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}]]