Document:

Long-Term Incentive (LTI) Stock Performance Program.

 Exhibit 10.1 
 

 
 Long-Term (LTI) 
 Stock Performance Program 
 2007 

 Long-Term Incentive (LTI) Stock Performance Program. 
 Sterling Bank, as an integral part of its compensation strategies, has developed a stock performance program designed to reward bank officers for individual contributions to company-wide results and to serve as a
retention vehicle for executive officers and key employees. 
 Incentives, when used to influence behavior and performance, can improve the likelihood that
the organization’s goals will be achieved. 
 Equity-based awards may be granted each year and the vesting of such awards is specifically tied to
performance metrics approved by the Board of Directors that reflect the linkage between a portion of the officers’ total compensation and the creation of shareholder value. 
 It is the desire of the program that participating employees accumulate a significant level of equity in the company over the course of their entire career with Sterling Bank with a balance of measurable benefits to
our shareholders. 
 All awards for this program are made under the Shareholder approved 2003 Stock Incentive and Compensation Plan. All awards of stock
under this program are considered as recommended grants until approved by the Human Resource Programs Committee. 
 Definitions: 
 Sterling Bank officers: Employees who have been designated as an officer of the Bank by the Bank Board and are actively employed by Sterling Bank or any of its
subsidiaries. 
 Program: For purposes of this document, “Program” refers to the Long-Term Incentive (LTI) Stock Performance Program. 

Recipient: A bank officer who is actually granted an award under the Program. 
 Annual awards: Stock awards (phantom units or options) granted during any calendar year to a specific recipient. 
 Fair Market Value: For purposes
of the Program, but not necessarily for tax or other purposes, “Fair Market Value” means the closing price of Sterling Bancshares, Inc. common stock on the National Association of Securities Dealers Automated Quotations (NASDQ) on the
business day immediately preceding the grant date. 
 SBIB: Sterling Bancshares, Inc. 

 Eligibility 
 All
officers of Sterling Bank are eligible to participate in the Program. Participation in the program does not ensure that the officer will be a recipient of an award. Awards are made on an individual basis considering the employee’s performance,
scope of responsibilities, and long-term impact on company-results. 
 Officers who receive an award during one calendar year are not guaranteed an award in
subsequent calendar years. 
 Program Levels 
 Each
officer position is assigned to one of seven Program Level Groups. Each group is designed to reflect the scope of responsibilities associated with the position. Level 1 represents the most senior executive positions in the company. A complete list
of positions within each Program Level Group is attached. See Attachment A. 
 The Program Level will determine the target stock award (number of shares)
level for each group. 
 The target award level is a guideline only to aid in the administration of the program. The actual awards granted may be higher or
lower at the discretion of the President and CEO with the approval of the Human Resources Programs Committee. A table listing the target awards by level is attached. See Attachment B. 
 The Program Level Group to which a specific officer position is assigned may change each year depending on the organizational structure of the company. All changes are reviewed and approved by the President and CEO
and the Chief Human Resources Officer. 
 The position of President and CEO, as an officer of the company, is an eligible participant in the Program. The
Program Level for this position is designated as a separate group, not included in the groups 1 to 7, and has a specific award target. The award type is a combination of performance-based phantom stock units and incentive stock options as described
below for program level groups 1, 2, and 3. 
 Award Type 
 Program Level Groups 1, 2 and 3 may be granted stock awards that are comprised of two award types. Fifty-percent of the stock award is in the form of “Performance-Based Phantom Stock Units” and the other fifty-percent in
the form of Incentive Stock Options. 
 For the “Performance-Based Phantom Stock Units” portion to be earned, certain performance results in
relative comparison to a defined peer group of financial institutions must be achieved by the end of the three-year vesting period stipulated 

 
in the award grant. For awards granted under this program, the three year performance vesting period will be measured in calendar years with the first year
of the three year period being the year in which the award is granted. 
 Two key performance metrics have been approved by the Board of Directors: Return on
Assets and Earning Per Share Growth. The performance metrics are evaluated independently at the end of the three-year period and the combined peer performance rankings determine the amount of the award that vests. Performance metric results have
been scaled so that recipients can receive 1) a partial award in the event that acceptable, but not the desired results are achieved, 2) a full award if the desired results are achieved, or 3) an enhanced award in the event that better than the
desired results are achieved. It is possible that if the results are unacceptable and a minimum threshold of comparative performance is not achieved, no portion of the award will vest at the end of the vesting period. A table listing the performance
results for each performance metric is attached. See Attachment C. 
 In the event of a Change of Control, all awards will vest under the terms of the stock
plan. Should a Change of Control occur, any unvested Phantom Stock Units will be accelerated to vest at 100% of the original grant. 
 An award recipient
must remain continuously employed by Sterling Bank through the date in which the Phantom Stock Units vest. This portion of the award cliff vests only at the end of the three-year period and only to the extent that comparative performance metrics at
the end of that three-year period have been achieved. 
 The remaining fifty-percent portion of the award is in the form of an Incentive Stock Option.
This is an award that vests in equal increments over a three-year period of time and is in the form of a stock option that has met certain tax requirements which may entitle the recipient to favorable tax treatment. This type of stock award complies
with the requirements of Section 422 of the Internal Revenue Code of 1986, as amended or any successor section of the Code. This portion is a time-based vesting award and vests independently from that of the Performance-Based Phantom stock
units. However, vesting only occurs if the award recipient remains continuously employed by Sterling Bank through the date in which vesting occurs. In the event of a Change of Control, all option awards will vest under the terms of the stock plan.

 A new award may be granted to officers in Program Level Groups 1, 2 and 3 each calendar year. The Performance Based Phantom Stock Unit portion of the new
award is subject to performance metrics at the end of the new three-year period. The performance metrics are subject to annual approval by the Human Resources Program Committee. 
 Program Level Groups 4, 5, 6, and 7 may be granted an award in the form of an Incentive Stock Option. This is an award that vests in equal increments over a three-year period of time and is in the form
of a stock option that has met certain tax 

 
requirements which may entitle the recipient to favorable tax treatment. This type of stock award complies with the requirements of Section 422 of the
Internal Revenue Code of 1986, as amended or any successor section of the Code. This option award is a time-based vesting award and vesting only occurs if the award recipient remains continuously employed by Sterling Bank through the date in which
vesting occurs. In the event of a Change of Control, all option awards will vest under the terms of the stock plan. 
 A new award may be granted to officers
in Program Level Groups 4, 5, 6, and 7 each calendar year. Each new award is treated separately for vesting purposes. 
 New Hires 
 Newly hired officers may receive a stock award as part of their employment offer. If a stock award is incorporated into an employment offer, the actual award will be made
in the first month of the next quarter following the date of employment. Receiving a new hire award, under the Program, does not impact the officer’s participation in the annual award process. However, a newly hired officer’s first year
participation target may be impacted by the months of service to Sterling Bank that have been completed at the time of the award. 
 The following guidelines
are to be used when formulating an employment offer for an officer candidate: 
  

	 	•	 	 Employment offers for candidates offered Level 1, 2 or 3 positions will include a new hire stock award not to exceed the following targets:

  

							
	 Level
	  	 2007
	  	 2008
	  	 2009

	 1
	  	4,500 PBPSU; 4,500 ISO	  	6,000 PBPSU; 6,000 ISO	  	7,500 PBPSU; 7,500 ISO
	 2
	  	2,000 PBPSU; 2,000 ISO	  	2,500 PBPSU; 2,500 ISO	  	2,850 PBPSU; 2,850 ISO
	 3
	  	1,000 PBPSU; 1,000 ISO	  	1,200 PBPSU; 1,200 ISO	  	1,200 PBPSU; 1,200 ISO

 Typically, candidates offered positions at these levels have been participants in their former
employers’ stock performance programs. Participation in the program is normal and customary. 
 The award levels stipulated above are for
guidance purposes. Fifty-percent of the award will be Performance-Based Phantom Stock Units tied to the performance metrics determined for that three-year, cliff vesting period, and fifty-percent will be award as time-based, vesting Incentive Stock
Options. A request for an award that exceeds the target for either Performance-Based Phantom Stock Units or Incentive Stock Options must be approved by the Chief Human Resources Officer and may also require the approval of the President and CEO.

	 	•	 	 Employment offers for candidates being offered Level 4 and 5 positions may include an incentive stock option award if it is deemed necessary to gain acceptance of
the offer. It is possible that individuals at these levels have participated in a stock award program and may be forfeiting unvested portions of previous awards. It is important to confirm the applicant’s prior participation levels and the
value of the forfeited stock before formulating an employment offer. 

 The new hire incentive stock option awards for Level
4 and 5 positions should not exceed the following targets: 
  

							
	 Level
	  	 # of ISO Shares
	  	 	  	 
	 4
	  	1,300	  		  	
	 5
	  	740	  		  	

 Proposed stock awards for Level 4 and 5 positions must be reviewed by the Director, HR Services,
or the Director, HR Operations, before inclusion in the offer letter. A request for an award that exceeds the target must be approved by the Chief Human Resources Officer and may also require the approval of the President and CEO. 
 Employment offers for candidates being offered Level 6 and 7 positions do not usually include stock awards. Officers hired into Level 6 and 7 positions are eligible to
participate in the annual stock award program. Exceptions to this provision must be discussed with the Director of HR Services, or the Director of HR Operations and approved by the Chief Human Resources Officer and the President, and CEO 

Effective Date 
 “Performance Based Phantom Stock Units”
are granted as soon as administratively possible following the end of the three-year performance period. The target date for the annual award will be April of each calendar year. 
 Incentive Stock Option awards under this Program are typically effective the first of the quarter following the award date. The target date for the annual award will be April of each calendar year. 
 Stock Administration 
 Sterling Bank uses Charles Schwab to provide
stock program administration and brokerage services for cashless transactions to participants in Sterling Bank’s Long Term Stock Performance Program. 
 All stock award grant distributions and stock option exercise transactions, including sales associated with the transactions, will be processed by Charles Schwab. After 

 
settlement of shares acquired from a grant award distribution or stock option exercise transaction, the shares may be transferred to another broker of the
recipient’s choice. Any fees associated with the transfer are the responsibility of the recipient. 
 For participants who already have a brokerage
account with Charles Schwab, there is no further action required. For participants who have a brokerage account with another broker, it will be necessary to open a Charles Schwab account. Recipients can access the Charles Schwab’s website, www.
Schwab.com to set up an account and establish a password. 
 Shares Issued 
 Shares issued under this Program are shares of Sterling Bancshares, Inc. common stock that is authorized under the Shareholder approved 2003 Stock Incentive and Compensation Plan. 
 Other Stock Awards 
 Outside the specifics of this Program, the
President and CEO, at his discretion, may recommend an immediate common stock grant, a special grant of Phantom Stock Units, or an Incentive Stock Option award to any employee of Sterling Bank or any of its subsidiaries. Such a discretionary award
will have a specified, requested effective date and may be designed to vest immediately, or over a three-year period. 
 Awards of this type are also issued
under the Shareholder approved 2003 Stock Incentive and Compensation Plan and are subject to the final approval by the Human Resources Programs Committee. 
 Program Review 
 This program is subject to annual review and approval by the Human Resources Programs Committee. As a result of this review,
changes may occur without prior notification to recipients. 
 Employment-At-Will 
 Nothing in this document is intended, explicitly or implicitly, to alter the company’s employment-at-will relationship with its employees, including those designated as bank officers. Participation and receipt of
an award under this Program do not ensure continued employment. 
 Effective Date 
 This Program is effective September 1, 2007. 

 Attachment A 
 LTI Level Groupings by Job Title 
  

					
	Level	  	 Job Title
	  	 Paygrade Description

	JDB	  	President	  	Officer - 99
			
	1	  	Chief Financial Officer	  	Officer - 98
		  	Chief Risk Officer	  	Officer - 98
		  	General Counsel	  	Officer - 98
		  	Chief Information Officer	  	Officer - 98
		  	Corp Mgr Pers Relationship Bkg	  	Officer - 98
		  	Chief HR Officer	  	Officer - 98
		  	Mgr Specialized Bkng & Invest	  	Officer - 97
		  	Dir of Operations	  	Officer - 98
		  	Regional CEO (BOTH Regional CEO)	  	Officer - 97
		  	Dir Corporate Communications	  	Officer - 98
			
	2	  	Mgr PCS	  	Officer - 71
		  	Mgr International Banking	  	Officer - 71
		  	Mgr Energy Lending	  	Officer - 71
		  	Mgr SB Capital Markets	  	Officer - 71
		  	Mgr TMS Sales	  	Officer - 69
		  	Mgr TMS Client Supt & Prod Dev	  	Officer - 69
		  	Dir Internal Audit	  	Officer - 69
		  	Market CEO (BOTH Market CEO)	  	Officer - 69
		  	Manager, Commercial Banking - San Ant.	  	Officer - 69
		  	Treasurer	  	Officer - 70
			
	3	  	Asst General Counsel	  	Officer - 69
		  	Mgr Special Assets	  	Officer - 67
		  	Chief Operations Officer Leasing	  	Officer - 68
		  	Chief Technology Officer	  	Officer - 67
		  	Corporate Business Dev Officer	  	Officer - 67
		  	Deputy Chief Credit Officer	  	Officer - 67
		  	Deputy Chief Risk Officer	  	Officer - 67
		  	Dir Compliance	  	Officer - 68
		  	Dir HR Operations	  	Officer - 68
		  	Dir HR Services	  	Officer - 68
		  	Dir Organization Development	  	Officer - 68
		  	Energy Lender II	  	Officer - 67
		  	Enterprise Risk Manager	  	Officer - 67
		  	Mgr Dealer Paper	  	Officer - 68
		  	Mgr SBA Lending	  	Officer - 70
		  	Regional Chief Credit Officer	  	Officer - 68
		  	Senior Lender	  	Officer - 68
		  	Region Manager (BOTH RM)	  	Officer - 65
		  	Operations Division Manager	  	Officer - 69
			
	4	  	Mgr Trust Operations	  	Officer - 70
		  	Regional Credit Officer (BOTH RCO)	  	Officer - 66
		  	Mgr Wholesale Real Estate Funding	  	Officer - 66
		  	Mgr Loan Center Operations	  	Officer - 66
		  	Loan Closing and Funding Officer	  	Officer - 66
		  	Credit Administration Officer	  	Officer - 66
		  	Mgr Wire and ACH Services	  	Officer - 66
		  	Mgr Technology Development	  	Officer - 66
		  	Mgr Real Estate and Facilities	  	Officer - 66
		  	Mgr Office Assistance	  	Officer - 66
		  	Mgr Call Center	  	Officer - 66
		  	Dir Security	  	Officer - 66
		  	Lender III	  	Officer - 66
		  	Mgr Financial Reporting	  	Officer - 65
		  	Mgr Accounting Ops	  	Officer - 65

 LTI Level Groupings by Job Title 
  

					
	Level	  	 Job Title
	  	 Paygrade Description

	5	  	TMS Product Manager	  	Officer - 65
		  	Financial Svcs Consultant II	  	Officer - 65
		  	Mgr Specialized Markets	  	Officer - 65
		  	Loan Review Officer	  	Officer - 65
		  	VP Shared Services	  	Officer - 65
		  	Training Program Manager	  	Officer - 65
		  	TMS Product Manager	  	Officer - 65
		  	Mgr Internal Audit	  	Officer - 65
		  	Mgr Home Equity Lending Ops	  	Officer - 65
		  	Mgr Benefits	  	Officer - 65
		  	Mgr Accounting-Tax &amp; Projects	  	Officer - 65
		  	Loan Review Officer	  	Officer - 65
		  	Letters of Credit Officer	  	Officer - 65
		  	HR Generalist IV	  	Officer - 65
		  	Lender II	  	Officer - 64
		  	TMS Sales Officer II	  	Officer - 65
		  	BOTH Mgr Operations & Tech	  	
		  	BOTH Lender - Specialty	  	
		  	BOTH Lender - Business	  	
			
	6	  	Senior Internal Audit Officer	  	Officer - 64
		  	Mgr Single Point of Contact	  	Officer - 64
		  	Facilities Project Manager III	  	Officer - 64
		  	Core Product Support Manager	  	Officer - 64
		  	Assistant Finance Manager	  	Officer - 64
		  	Technology Officer	  	Officer - 64
		  	Mgr Telecom and Network Infrastructure	  	Officer - 64
		  	Mgr SBA Operations	  	Officer - 64
		  	Loan Workout Officer II	  	Officer - 64
		  	SCM-Wholesale Real Estate Sales Mgr	  	Officer - 64
		  	Private Banking Officer II	  	Officer - 64
		  	Mgr Treasury Portfolio	  	Officer - 64
		  	Mgr Officer Dev Program	  	Officer - 64
		  	Lender II - Dealer Paper	  	Officer - 64
		  	International Banking Officer	  	Officer - 64
		  	International Banking Officer	  	Officer - 64
		  	Computer Operations Manager	  	Officer - 64
		  	Commission Broker	  	Officer - 64
		  	Banking Center Manager III	  	Officer - 63
		  	TMS Sales Officer I	  	Officer - 63
		  	BOTH Business Dev Officer	  	

 LTI Level Groupings by Job Title 
  

					
	Level	  	 Job Title
	  	 Paygrade Description

	7	  	Special Assets Portfolio Manager	  	Officer - 63
		  	HR Generalist III	  	Officer - 63
		  	Funding Manager	  	Officer - 63
		  	Business Dev Officer	  	Officer - 63
		  	Assistant Accounting Manager	  	Officer - 63
		  	Asset Liability Manager	  	Officer - 63
		  	Mgr Document Preparation	  	Officer - 63
		  	Mgr Credit Analysts	  	Officer - 63
		  	Credit Administration Officer	  	Officer - 63
		  	Business Dev Officer SBA	  	Officer - 63
		  	Special Assets Portfolio Manager	  	Officer - 63
		  	SBA Operations Officer	  	Officer - 63
		  	Mgr Internet Banking	  	Officer - 63
		  	Mgr Corp Communication	  	Officer - 63
		  	Mgr B2B	  	Officer - 63
		  	Business Dev Officer SBA	  	Officer - 63
		  	Business Dev Officer	  	Officer - 63
		  	SBA Portfolio Manager	  	Officer - 62
		  	Mgr Accounts Payable	  	Officer - 62
		  	Loan Risk Officer	  	Officer - 62
		  	Deposit Services Manager	  	Officer - 62
		  	Wire Transfer Supervisor	  	Officer - 61
		  	Mgr Purchasing	  	Officer - 61
		  	ACH Supervisor	  	Officer - 61
		  	Mgr Collections	  	Officer - 61
		  	Specialized Markets Officer	  	Officer - 60
		  	Mgr Loan Operations	  	Officer - 60
		  	Assistant Call Center Manager	  	Officer - 60
		  	TMS Client Services Associate	  	Officer - 60
		  	Mgr Items Processing	  	Officer - 60
		  	Document Imaging Supv	  	Officer - 60
		  	Deposit Services Supervisor	  	Officer - 60
		  	Credit Officer	  	Officer - 60
		  	Bankruptcy Trustee Svcs Supv	  	Officer - 60
		  	Assistant Compliance Officer	  	Officer - 60
		  	Mgr Loan Operations	  	Officer - 60
		  	Lending Officer	  	Officer - 62
		  	Banking Center Manager II	  	Officer - 61
		  	Banking Center Manager I	  	Officer - 60
		  	PCS Ops & Financial Ctr Supv	  	Officer - 63
		  	BOTH Personal Relationship Off	  	
		  	BOTH Banking Center Manager	  	
		  	BOTH Teller Manager	  	
		  	BOTH Public Relations Officer	  	
		  	BOTH Operations Manager	  	
		  	BOTH Lobby Services Manager	  	
		  	BOTH Loan Review Officer	  	
			
		  	Vice Chairman incumbents are not assigned to a group and will participate on a discretionary basis.	  	

 Attachment B 
 LTI Program Award Targets by Level 
  

									
	Level	  	 Year
	  	 target # shares
 PBPSU
	  	 target # shares
 Stock Options (ISO)
	  	 Target
 Total

	1	  	2007	  	4,500	  	4,500	  	9,000
		  	2008	  	6,000	  	6,000	  	12,000
		  	2009	  	7,500	  	7,500	  	15,000
					
	2	  	2007	  	2,000	  	2,000	  	4,000
		  	2008	  	2,500	  	2,500	  	5,000
		  	2009	  	2,850	  	2,850	  	5,700
					
	3	  	2007	  	1,000	  	1,000	  	2,000
		  	2008	  	1,200	  	1,200	  	2,400
		  	2009	  	1,200	  	1,200	  	2,400
					
	4	  	2007	  		  	1,300	  	1,300
		  	2008	  		  	1,300	  	1,300
		  	2009	  		  	1,300	  	1,300
					
	5	  	2007	  		  	740	  	740
		  	2008	  		  	740	  	740
		  	2009	  		  	740	  	740
					
	6	  	2007	  		  	560	  	560
		  	2008	  		  	560	  	560
		  	2009	  		  	560	  	560
					
	7	  	2007	  		  	325	  	325
		  	2008	  		  	325	  	325
		  	2009	  		  	325	  	325

 Attachment C 
 LTI Program Three-Year Performance Metrics For Phantom Stock Units 
  

												
	 STERLING BANCSHARES, INC. PERFORMANCE BASED
 PHANTOM STOCK UNITS VESTING TABLE
	 	 	 	 
	 Return on Assets Sterling
 Bank performance Vs.
 PEERS 50% Weight
	 	 	 Earning per Share Growth
 Sterling Bank performance
 Vs. PEERS
50% Weight
	 	 	 	 
	 Percentile Rank
	  	 Percent of
 PRS
 Vested
	 	 	 Percentile Rank
	  	 Percent of
 PRS
 Vested
	 	 	 Percent of
 award based
 on
 performance
 results
	 
	 0-29.99%tile
	  	0	%	 	0-29.99%tile	  	0	%	 	0	%
	 30-34.99%tile
	  	10	%	 	30-34.99%tile	  	10	%	 	20	%
	 35-39.99%tile
	  	25	%	 	35-39.99%tile	  	25	%	 	50	%
	 40-49.99%tile
	  	40	%	 	40-49.99%tile	  	40	%	 	80	%
	 50-64.99%tile
	  	50	%	 	50-64.99%tile	  	50	%	 	100	%
	 65-74.99%tile
	  	75	%	 	65-74.99%tile	  	75	%	 	150	%
	 75%tile or higher
	  	100	%	 	75%tile or higher	  	100	%	 	200	%

 PSU grants will generally be made in April of each year based upon the individual officer's contribution in the
previous calendar year. The award will vest three years from the date of the original grant, and the performance of the bank relative to the peer group in the most recently completed calendar year at the end of the three year period will determine
how much if any of the grant vests. 
 Example: If PSUs had been issued in April of 2004, the three years vesting period would have concluded in April of
2007. Performance relative to peer would have been determined by comparing calendar year 2006 results with the remaining participants in the peer group that was established for 2004. Using Sterling's 2006 results relative to our peer group, we would
have achieved the following: ROA of 1.18 placing Sterling in the 37th percentile relative to peer and yielding a 25% vesting. EPS Growth of 24.5% placing Sterling in the 78th percentile and yielding a 100% vesting. The combined vesting for this
grant would therefore be 125% of the original award.Overadvance Side Letter

 Exhibit 10.1 
 August 29, 2007 
 Accentia Biopharmaceuticals, Inc. 
 The Analytica Group, Inc. 
 TEAMM Pharmaceuticals, Inc. 
 324 South Hyde Park Ave., Suite 350 
 Tampa, Florida 33606 
 Attention: Chief Financial Officer 
  

	 	Re:	Overadvance Side Letter 

 Reference is hereby made
to that certain Amended and Restated Security Agreement dated as of April 29, 2005, and amended and restated as of February 13, 2006, by and among Accentia Biopharmaceuticals, Inc., a Florida corporation (“Parent”), The
Analytica Group, Inc., a Florida corporation (“Analytica”), TEAMM Pharmaceuticals, Inc., a Florida corporation by way of joinder dated as of July 13, 2006 (“Teamm” and, together with Analytica and Parent, the
“Companies” and, each a “Company”) and Laurus Master Fund, Ltd. (“Laurus”) (as amended, modified and/or supplemented from time to time, the “Security Agreement”). Capitalized terms
used but not defined herein shall have the meanings ascribed them in the Security Agreement. 
 Reference is made to the letter agreement,
dated as of July 13, 2006 (the “Second Overadvance Date”), by and between the Companies and Laurus (the “Second Overadvance Waiver”), pursuant to the terms of which Laurus agreed to make loans to the Companies
in excess of the Formula Amount from the Second Overadvance Date through January 1, 2007 (the “Second Overadvance”). As of the date hereof, $400,000 of the Second Overadvance still remains outstanding. Laurus hereby agrees that
the outstanding balance of the Second Overadvance shall be deemed to be part of the Third Overadvance (as defined herein) and shall be governed by the terms of this letter agreement. 
 Subject to satisfaction of the Third Overadvance Conditions (as defined below), Laurus is hereby notifying the Companies of its decision to again
exercise the discretion granted to it pursuant to Section 2(a)(ii) of the Security Agreement to make Loans to the Companies during the Period (as defined below) in excess of the Formula Amount (the “Third Overadvances”, which
shall be deemed to include the outstanding principal balance of the Second Overadvance). Subject to satisfaction of the Third Overadvance Conditions, the aggregate principal amount of the Third Overadvances shall at no time hereafter exceed
$4,400,000 (the “Maximum Third Overadvance Limit”). 
 In connection with making the Third Overadvances, during and in
respect of the period commencing on the date hereof through and including October 21, 2007 (or earlier to the extent that the Third Overadvances are earlier permanently repaid in full per the terms of the proviso set forth at the end of this
sentence) (the “Period”), Laurus hereby waives compliance with Section 

 
3 of the Security Agreement, but solely as such provision relates to the immediate repayment requirement for Third Overadvances. Laurus further agrees that
solely for such Period (but not thereafter), (i) the incurrence and existence of the Third Overadvances in itself shall not trigger an Event of Default under Section 19(a) of the Security Agreement and (ii) notwithstanding anything to
the contrary set forth in Section 5(b)(ii) of the Security Agreement, during the Period, the rate of interest applicable to such Third Overadvances shall be the “prime rate” published in The Wall Street Journal from time to
time (the “Prime Rate”), plus two percent (2%) (collectively, the “Third Overadvance Rate”). Interest shall be (i) calculated on the basis of a 360 day year, and (ii) payable monthly, in arrears,
commencing on October 1, 2007 on the first business day of each consecutive calendar month thereafter through and including the expiration of the Period, whether by acceleration or otherwise. All other terms and provisions of the Security
Agreement and the Ancillary Agreements shall remain in full force and effect. For the avoidance of doubt, all proceeds applied by any Company in repayment of its obligations to Laurus hereunder and under the Security Agreement and the Ancillary
Agreements shall be first applied as a repayment of the Third Overadvances unless otherwise agreed by Laurus. Once repaid, Third Overadvances may be reborrowed during the Period provided that the aggregate amount of all outstanding Third
Overadvances shall not at any time exceed the Maximum Third Overadvance Limit. 
 The Companies hereby each acknowledge and
agree that Laurus’ obligation to fund the Third Overadvances on the date hereof and each permitted reborrowing thereof after the date hereof (subject to the Maximum Third Overadvance Limit) shall, at the time of such making of such Third
Overadvance or reborrowing, and immediately after giving effect thereto, be subject to the satisfaction of the following conditions (the “Third Overadvance Conditions”): (i) no Event of Default shall
exist and be continuing as of such date; and (ii) all representations, warranties and covenants made by the Companies in connection with the Security Agreement and the Ancillary Agreements shall be true, correct and complete as of such
date. 
 The Companies hereby agree and acknowledge that they shall, on a joint and several basis: (x) permanently and
immediately repay in full all Third Overadvances upon expiration of the Period together with accrued interest and fees which remain unpaid in respect thereof and (y) immediately repay all Third Overadvances which are at any time in excess of
the Maximum Third Overadvance Limit during the Period, together with accrued interest and fees which remain unpaid in respect thereof. The failure to make any required repayment of the Third Overadvances shall give rise to an immediate Event of
Default. 
 In consideration of the foregoing, the receipt and sufficiency of which is hereby acknowledged, the Companies shall, on the date
hereof, pay to Laurus Capital Management, LLC, the investment advisor of Laurus (“LCM”), a non-refundable servicing payment in an amount equal to $70,000. The foregoing payment is referred to herein as the “Servicing
Payment.” The parties acknowledge that the Servicing Payment is a reasonable estimate of the expenses that LCM will incur in monitoring and servicing the Third Overadvances, and the Servicing Payment is intended to enable LCM to defray such
expenses. Such payment shall be deemed fully earned on the date hereof and shall not be subject to rebate or proration for any reason. 
  

 2 

 The Parent understands that it has an affirmative obligation to make prompt public disclosure of material
agreements and material amendments to such agreements. It is the Parent’s determination that this letter and the terms and provisions of this letter, (collectively, the “Information”) are material and will be disclosed in an
8-K filing to be filed by the Parent within four (4) days of the date hereof and in the form otherwise prescribed by the SEC. The Parent has had an opportunity to consult with counsel concerning this determination. 
 This letter may not be amended or waived except by an instrument in writing signed by each of the Companies and Laurus. This letter may be executed in
any number of counterparts, each of which shall be an original and all of which, when taken together, shall constitute one agreement. Delivery of an executed signature page of this letter by facsimile transmission shall be effective as delivery of a
manually executed counterpart hereof or thereof, as the case may be. THIS LETTER SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. This letter sets forth the entire agreement between the parties hereto as to
the matters set forth herein and supersede all prior communications, written or oral, with respect to the matters herein. 
 This letter
agreement shall for all purposes be deemed to be an Ancillary Agreement. 
  

 3 

 If the foregoing meets with the Companies’ approval please signify the Companies’ acceptance of
the terms hereof by signing below. 
  

			
	 LAURUS MASTER FUND, LTD.

		
	 By:
	 	 /s/ David Grin

	 Name:
	 	David Grin
	 Title:
	 	Director

 AGREED AND ACCEPTED ON THE DATE HEREOF: 
  

			
	 ACCENTIA BIOPHARMACEUTICALS, INC.

		
	 By:
	 	 /s/ Francis E. O’Donnell, Jr.

	 Name:
	 	Francis E. O’Donnell, Jr., M.D.
	 Title:
	 	Chairman and CEO
	
	 THE ANALYTICA GROUP, INC.

		
	 By:
	 	 /s/ Francis E. O’Donnell, Jr.

	 Name:
	 	Francis E. O’Donnell, Jr., M.D.
	 Title:
	 	Chairman
	
	 TEAMM PHARMACEUTICALS, INC.

		
	 By:
	 	 /s/ Francis E. O’Donnell, Jr.

	 Name:
	 	Francis E. O’Donnell, Jr., M.D.
	 Title:
	 	Chairman and CEO

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