Document:

This
      Note
      is a Global Security within the meaning of the Indenture hereinafter referred
      to
      and is registered in the name of the Depository named below or a nominee of
      the
      Depository. This Note is not exchangeable for Notes registered in the name
      of a
      Person other than the Depository or its nominee except in the limited
      circumstances described herein and in the Indenture, and no transfer of this
      Note (other than a transfer of this Note as a whole by the Depository to a
      nominee of the Depository or by a nominee of the Depository to the Depository
      or
      another nominee of the Depository) may be registered except in the limited
      circumstances described herein.

    

    Unless
      this certificate is presented by an authorized representative of The Depository
      Trust Company, a New York corporation (the "Depository"), to the Company or
      its
      agent for registration of transfer, exchange, or payment, and any certificate
      issued is registered in the name of Cede & Co. or in such other name as is
      requested by an authorized representative of the Depository (and any payment
      is
      made to Cede & Co. or to such other entity as is requested by an authorized
      representative of the Depository), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF
      FOR
      VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered
      owner hereof, Cede & Co., has an interest herein.

    

    

    CITIGROUP
      INC.

    6.500%
      Notes due August 19, 2013

    
      	
              REGISTERED

            	
              REGISTERED

            

    

    

    CUSIP:
      172967 EU1

    ISIN:
      US172967 EU16

    Common
      Code: 038383868

    

    
      	
              No.
                R-_____

            	
              $___________

            

    

    

    CITIGROUP
      INC., a Delaware corporation (the "Company", which term includes any successor
      Person under the Indenture), for value received, hereby promises to pay to
      Cede
& Co., or registered assigns, the principal sum of $___________ on August
      19, 2013 and
      to
      pay interest thereon from and including August 19, 2008 or from the most recent
      Interest Payment Date to which interest has been paid or duly provided for,
      semi-annually, on August 19 and February 19 of each year, commencing February
      19, 2009, at the rate of 6.500% per annum, until the principal hereof is paid
      or
      made available for payment. The interest so payable, and punctually paid or
      duly
      provided for, on any Interest Payment Date will, as provided in the Indenture,
      be paid to the Person in whose name this Note is registered at the close of
      business on the Record Date for such interest, which shall be the August 1
      and
      February 1 (whether or not a Business Day) immediately preceding such Interest
      Payment Date.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    Any
      such
      interest not so punctually paid or duly provided for will forthwith cease to
      be
      payable to the holder on such Record Date and may either be paid to the Person
      in whose name this Note is registered at the close of business on a subsequent
      Record Date, such subsequent Record Date to be not less than five days prior
      to
      the date of payment of such defaulted interest, notice whereof shall be given
      to
      holders of Notes of this series not less than 15 days prior to such subsequent
      Record Date, or be paid at any time in any other lawful manner not inconsistent
      with the requirements of any securities exchange on which the Notes of this
      series may be listed, and upon such notice as may be required by such exchange,
      all as more fully provided in the Indenture.

    

    Interest
      hereon will be calculated on the basis of a 360-day year comprised of twelve
      30-day months.

    

    If
      either
      an Interest Payment Date or the Maturity of the Notes falls on a day that is
      not
      a Business Day, such Interest Payment Date or Maturity will be the next
      succeeding Business Day. If a date for payment of interest or principal on
      the
      Notes falls on a day that is not a business day in the place of payment, such
      payment will be made on the next succeeding business day in such place of
      payment as if made on the date the payment was due. No interest will accrue
      on
      any amounts payable for the period from and after the due date for payment
      of
      such principal or interest. 

    

    For
      these
      purposes, “Business Day” means any day which is a day on which commercial banks
      settle payments and are open for general business in The City of New
      York.

    

    Payment
      of the principal of and interest on this Note will be made at the office or
      agency of the Trustee maintained for that purpose in The City of New
      York.

    

    Reference
      is hereby made to the further provisions of this Note set forth on the reverse
      hereof, which further provisions shall for all purposes have the same effect
      as
      if set forth at this place.

    

    Unless
      the certificate of authentication hereon has been executed by the Trustee or
      by
      an authenticating agent on behalf of the Trustee by manual signature, this
      Note
      shall not be entitled to any benefit under the Indenture or be valid or
      obligatory for any purpose.

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF, the Company has caused this instrument to be duly executed
      under its corporate seal.

    

    Dated:
      August 19, 2008

    

    
      	 	
              CITIGROUP
                INC.

            
	 	 
	 	 
	 	 
	 	
              By:_________________________________

            
	 	
              Title:
                Chief Accounting Officer

            

    

    

    

    

    ATTEST:

    

    By:___________________________

    Title:
      Assistant Secretary

    
 

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    This
      is
      one of the Notes of the series issued under the within-mentioned
      Indenture.

    

    Dated:
      August
      19, 2008

    

    
      	 	
              THE
                BANK OF NEW YORK MELLON,

            
	 	
              as
                Trustee

            
	 	 
	 	 
	 	
              By:_________________________________

            
	 	
              Name:

            
	
               

            	
              Title:

            
	 	 
	 	 
	 	
              -or-

            
	 	 
	 	 
	 	
              CITIBANK,
                N.A.,

            
	 	
              as
                Authenticating Agent

            
	 	 
	 	 
	 	
              By:_________________________________

            
	 	
              Name:

            
	
               

            	
              Title:

            

    

     

     

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

    This
      Note
      is one of a duly authorized issue of Securities of the Company (the "Notes"),
      issued and to be issued in one or more series under the Indenture, dated as
      of
      March 15, 1987 (as amended and supplemented to date, the "Indenture"), between
      the Company and The Bank of New York Mellon, formerly
      known as The Bank of New York,
      as
      Trustee (the "Trustee", which term includes any successor trustee under the
      Indenture), to which Indenture and all indentures supplemental thereto reference
      is hereby made for a statement of the respective rights, limitations of rights,
      duties and immunities thereunder of the Company, the Trustee and the holders
      of
      the Notes and of the terms upon which the Notes are, and are to be,
      authenticated and delivered. This Note is one of the series designated on the
      face hereof, initially limited in aggregate principal to
      $3,000,000,000.

    

    If
      an
      event of default (as defined in the Indenture) with respect to Notes of this
      series shall occur and be continuing, the principal of the Notes of this series
      may be declared due and payable in the manner and with the effect provided
      in
      the Indenture.

    

    The
      Indenture contains provisions for defeasance at any time of the entire
      indebtedness of this Note upon compliance by the Company with certain conditions
      set forth in Sections 11.03 and 11.04 thereof, which provisions apply to this
      Note.

    

    The
      Indenture contains provisions permitting the Company and the Trustee, without
      the consent of the holders of the Securities, to establish, among other things,
      the form and terms of any series of Securities issuable thereunder by one or
      more supplemental indentures, and, with the consent of the holders of not less
      than 66 2/3% in aggregate principal amount of Securities at the time outstanding
      which are affected thereby, to modify the Indenture or any supplemental
      indenture or the rights of the holders of Securities of such series to be
      affected, provided that no such modification will (i) extend the fixed maturity
      of any Securities, reduce the rate or extend the time of payment of interest
      thereon, reduce the principal amount thereof or the premium, if any, thereon,
      reduce the amount of the principal of Original Issue Discount Securities payable
      on any date, change the currency in which Securities are payable, or impair
      the
      right to institute suit for the enforcement of any such payment on or after
      the
      maturity thereof, without the consent of the holder of each Security so
      affected, or (ii) reduce the aforesaid percentage of Securities of any series
      the consent of the holders of which is required for any such modification
      without the consent of the holders of all Securities of such series then
      outstanding, or (iii) modify, without the written consent of the Trustee, the
      rights, duties or immunities of the Trustee.

    

    No
      reference herein to the Indenture and no provision of this Note or of the
      Indenture shall alter or impair the obligation of the Company, which is absolute
      and unconditional, to pay the principal of and interest on this Note at the
      times, place and rate, and in the coin or currency, herein
      prescribed.

    

    This
      Note
      is a Global Security registered in the name of a nominee of the Depository.
      This
      Note is exchangeable for Notes registered in the name of a person other than
      the
      Depository or its nominee only in the limited circumstances hereinafter
      described. Unless and until it is exchanged in whole or in part for definitive
      Notes in certificated form, this Note may not be transferred except as a whole
      by the Depository to a nominee of the Depository or by a nominee of the
      Depository to the Depository or another nominee of the Depository.

    
      

      
        
           

        

        
          5

          
            

          

        

        
           

      

    

    The
      Notes
      represented by this Global Security are exchangeable for definitive Notes in
      certificated form of like tenor as such Notes in denominations of $1,000 and
      whole multiples of $1,000 in excess thereof only if (i) the Depository
      notifies the Company that it is unwilling or unable to continue as Depository
      for the Notes or (ii) the Depository ceases to be a clearing agency registered
      under the Securities Exchange Act of 1934, as amended, or (iii) the Company
      in
      its sole discretion decides to allow the Notes to be exchanged for definitive
      Notes in registered form. Any Notes that are exchangeable pursuant to the
      preceding sentence are exchangeable for certificated Notes issuable in
      authorized denominations and registered in such names as the Depository shall
      direct. As provided in the Indenture and subject to certain limitations therein
      set forth, the transfer of definitive Notes in certificated form is registrable
      in the register maintained by the Company in The City of New York for such
      purpose, upon surrender of the definitive Note for registration of transfer
      at
      the office or agency of the registrar, duly endorsed by, or accompanied by
      a
      written instrument of transfer in form satisfactory to the Company and the
      registrar duly executed by, the holder thereof or his attorney duly authorized
      in writing, and thereupon one or more new Notes of this series and of like
      tenor, of authorized denominations and for the same aggregate principal amount,
      will be issued to the designated transferee or transferees. Subject to the
      foregoing, this Note is not exchangeable, except for a Global Security or Global
      Securities of this issue of the same principal amount to be registered in the
      name of the Depository or its nominee.

     

    No
      service charge shall be made for any such registration of transfer or exchange,
      but the Company may require payment of a sum sufficient to cover any tax or
      other governmental charge payable in connection therewith.

    

    Prior
      to
      due presentment of this Note for registration of transfer, the Company, the
      Trustee and any agent of the Company or the Trustee may treat the Person in
      whose name this Note is registered as the owner hereof for all purposes, whether
      or not this Note be overdue, and neither the Company, the Trustee nor any such
      agent shall be affected by notice to the contrary.

    

    The
      Company will pay additional amounts ("Additional Amounts") to the beneficial
      owner of any Note that is a non-United States person in order to ensure that
      every net payment on such Note will not be less, due to payment of U.S.
      withholding tax, than the amount then due and payable. For this purpose, a
      "net
      payment" on a Note means a payment by the Company or a paying agent, including
      payment of principal and interest, after deduction for any present or future
      tax, assessment or other governmental charge of the United States. These
      Additional Amounts will constitute additional interest on the Note.

    

    The
      Company will not be required to pay Additional Amounts, however, in any of
      the
      circumstances described in items (1) through (13) below.

    

    
      
         

      

      
        6

        
          

        

      

      
         

      

       

    

    
      	 	
              (1)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld solely by reason of the beneficial
                owner:

            

    

    

    
      	 	 	
              (a)

            	
              having
                a relationship with the United States as a citizen, resident or
                otherwise;

            

    

    
      	 	 	
              (b)

            	
              having
                had such a relationship in the past
                or

            

    

    
      	 	 	
              (c)

            	
              being
                considered as having had such a
                relationship.

            

    

    

    
      	 	
              (2)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld solely by reason of the beneficial
                owner:

            

    

    

    
      	 	
               

            	
              (a)

            	
              being
                treated as present in or engaged in a trade or business in the United
                States;

            

    

    
      	 	
               

            	
              (b)

            	
              being
                treated as having been present in or engaged in a trade or business
                in the
                United States in the past or

            

    

    
      	 	
               

            	
              (c)

            	
              having
                or having had a permanent establishment in the United
                States.

            

    

    

    
      	 	
              (3)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld in whole or in part by reason of the beneficial owner being
                or
                having been any of the following (as such terms are defined in the
                Internal Revenue Code of 1986, as
                amended):

            

    

    

    
      	 	
               

            	
              (a)

            	
              personal
                holding company;

            

    

    
      	 	
               

            	
              (b)

            	
              foreign
                personal holding company;

            

    

    
      	 	
               

            	
              (c)

            	
              foreign
                private foundation or other foreign tax-exempt
                organization;

            

    

    
      	 	
               

            	
              (d)

            	
              passive
                foreign investment company;

            

    

    
      	 	
               

            	
              (e)

            	
              controlled
                foreign corporation or

            

    

    
      	 	
               

            	
              (f)

            	
              corporation
                which has accumulated earnings to avoid United States federal income
                tax.

            

    

    

    
      	 	
              (4)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld solely by reason of the beneficial owner owning or having
                owned,
                actually or constructively, 10 percent or more of the total combined
                voting power of all classes of stock of the Company entitled to vote
                or by
                reason of the beneficial owner being a bank that has invested in
                a Note as
                an extension of credit in the ordinary course of its trade or
                business.

            

    

    

    For
      purposes of items (1) through (4) above, "beneficial owner" means a fiduciary,
      settlor, beneficiary, member or shareholder of the holder if the holder is
      an
      estate, trust, partnership, limited liability company, corporation or other
      entity, or a person holding a power over an estate or trust administered by
      a
      fiduciary holder.

     

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    

    
      	 	
              (5)

            	
              Additional
                Amounts will not be payable to any beneficial owner of a Note that
                is
                a:

            

    

    

    
      	 	
               

            	
              (a)

            	
              fiduciary;

            

    

    
      	 	
               

            	
              (b)

            	
              partnership;

            

    

    
      	 	
               

            	
              (c)

            	
              limited
                liability company or

            

    

    
      	 	
               

            	
              (d)

            	
              other
                fiscally transparent entity

            

    

    

    
      	 	 	
              or
                that is not the sole beneficial owner of the Note, or any portion
                of the
                Note. However, this exception to the obligation to pay Additional
                Amounts
                will only apply to the extent that a beneficiary or settlor in relation
                to
                the fiduciary, or a beneficial owner or member of the partnership,
                limited
                liability company or other fiscally transparent entity, would not
                have
                been entitled to the payment of an Additional Amount had the beneficiary,
                settlor, beneficial owner or member received directly its beneficial
                or
                distributive share of the payment.

            

    

    

    
      	 	
              (6)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld solely by reason of the failure of the beneficial owner
                or any
                other person to comply with applicable certification, identification,
                documentation or other information reporting requirements. This exception
                to the obligation to pay Additional Amounts will only apply if compliance
                with such reporting requirements is required by statute or regulation
                of
                the United States or by an applicable income tax treaty to which
                the
                United States is a party as a precondition to exemption from such
                tax,
                assessment or other governmental
                charge.

            

    

    

    
      	 	
              (7)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is collected
                or
                imposed by any method other than by withholding from a payment on
                a Note
                by the Company or a paying agent.

            

    

    

    
      	 	
              (8)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld by reason of a change in law, regulation, or administrative
                or
                judicial interpretation that becomes effective more than 15 days
                after the
                payment becomes due or is duly provided for, whichever occurs
                later.

            

    

    

    
      	 	
              (9)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is imposed
                or
                withheld by reason of the presentation by the beneficial owner of
                a Note
                for payment more than 30 days after the date on which such payment
                becomes
                due or is duly provided for, whichever occurs
                later.

            

    

    

    
      	 	
              (10)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any:

            

    

    

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    
      	 	
               

            	
              (a)

            	
              estate
                tax;

            

    

    
      	 	
               

            	
              (b)

            	
              inheritance
                tax;

            

    

    
      	 	
               

            	
              (c)

            	
              gift
                tax;

            

    

    
      	 	
               

            	
              (d)

            	
              sales
                tax;

            

    

    
      	 	
               

            	
              (e)

            	
              excise
                tax;

            

    

    
      	 	
               

            	
              (f)

            	
              transfer
                tax;

            

    

    
      	 	
               

            	
              (g)

            	
              wealth
                tax;

            

    

    
      	 	
               

            	
              (h)

            	
              personal
                property tax or

            

    

    
      	 	
               

            	
              (i)

            	
              any
                similar tax, assessment, withholding, deduction or other governmental
                charge.

            

    

    

    
      	 	
              (11)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment, or other governmental charge required to
                be
                withheld by any paying agent from a payment of principal or interest
                on a
                Note if such payment can be made without such withholding by any
                other
                paying agent.

            

    

    

    
      	 	
              (12)

            	
              Additional
                amounts will not be payable if a payment on a Note is reduced as
                a result
                of any tax, assessment or other governmental charge that is required
                to be
                made pursuant to any European Union directive on the taxation of
                savings
                income or any law implementing or complying with, or introduced to
                conform
                to, any such directive.

            

    

    

    
      	 	
              (13)

            	
              Additional
                Amounts will not be payable if a payment on a Note is reduced as
                a result
                of any combination of items (1) through (12)
                above.

            

    

    

    Except
      as
      specifically provided herein, the Company will not be required to make any
      payment of any tax, assessment or other governmental charge imposed by any
      government or a political subdivision or taxing authority of such
      government.

    

    As
      used
      in this Note, "United States person" means:

    

    
      	 	
              (a)

            	
              any
                individual who is a citizen or resident of the United
                States;

            

    

    
      	 	
              (b)

            	
              any
                corporation, partnership or other entity created or organized in
                or under
                the laws of the United States;

            

    

    
      	 	
              (c)

            	
              any
                estate if the income of such estate falls within the federal income
                tax
                jurisdiction of the United States regardless of the source of such
                income
                and

            

    

    
      	 	
              (d)

            	
              any
                trust if a United States court is able to exercise primary supervision
                over its administration and one or more United States persons have
                the
                authority to control all of the substantial decisions of the
                trust.

            

    

    

    Additionally,
      "non-United States person" means a person who is not a United States person,
      and
      "United States" means the states of the United States of America and the
      District of Columbia, but excluding its territories and its
      possessions.

    

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    Except
      as
      provided below, the Notes may not be redeemed prior to maturity.

     

    (1) The
      Company may, at its option, redeem the Notes if:

    

    
      	 	 	
              (a)

            	
              the
                Company becomes or will become obligated to pay Additional Amounts
                as
                described above;

            

    

    
      	 	 	
              (b)

            	
              the
                obligation to pay Additional Amounts arises as a result of any change
                in
                the laws, regulations or rulings of the United States, or an official
                position regarding the application or interpretation of such laws,
                regulations or rulings, which change is announced or becomes effective
                on
                or after August 12, 2008 and

            

    

    
      	 	 	
              (c)

            	
              the
                Company determines, in its business judgment, that the obligation
                to pay
                such Additional Amounts cannot be avoided by the use of reasonable
                measures available to it, other than substituting the obligor under
                the
                Notes or taking any action that would entail a material cost to the
                Company.

            

    

    

    
      	 	
              (2)

            	
              The
                Company may also redeem the Notes, at its option,
                if:

            

    

    

    
      	 	 	
              (a)

            	
              any
                act is taken by a taxing authority of the United States on or after
                August
                12, 2008, whether or not such act is taken in relation to the Company
                or
                any affiliate, that results in a substantial probability that the
                Company
                will or may be required to pay Additional Amounts as described
                above;

            

    

    
      	 	 	
              (b)

            	
              the
                Company determines, in its business judgment, that the obligation
                to pay
                such Additional Amounts cannot be avoided by the use of reasonable
                measures available to it, other than substituting the obligor under
                the
                Notes or taking any action that would entail a material cost to the
                Company and

            

    

    
      	 	 	
              (c)

            	
              the
                Company receives an opinion of independent counsel to the effect
                that an
                act taken by a taxing authority of the United States results in a
                substantial probability that the Company will or may be required
                to pay
                the Additional Amounts described under above, and delivers to the
                Trustee
                a certificate, signed by a duly authorized officer, stating that
                based on
                such opinion the Company is entitled to redeem the Notes pursuant
                to their
                terms.

            

    

    

    Any
      redemption of the Notes as set forth in clauses (1) or (2) above shall be in
      whole, and not in part, and will be made at a redemption price equal to 100%
      of
      the principal amount of the Notes Outstanding plus accrued interest thereon
      to
      the date of redemption. Holders shall be given not less than 30 days nor more
      than 60 days prior notice by the Trustee of the date fixed for such
      redemption.

    

    All
      terms
      used in this Note which are defined in the Indenture shall have the meanings
      assigned to them in the Indenture. The Notes are governed by the laws of the
      State of New York.

     

    
      
         

      

      
        10EXCLUSIVE
      AGREEMENT

    

    This
      Exclusive Agreement (“Agreement”) by and between LASERLOCK TECHNOLOGIES (“LL”)
      located at 837 Lindy Lane, Bala Cynwyd, PA 19004 and ARTHUR BLANK & COMPANY,
      INC., (“AB”) located at 225 Rivermoor Street, Boston, MA 02132 is entered into
      this 23rd day of June, 2008.

    

    This
      Agreement will describe the terms and conditions of the worldwide agreement
      reached between AB and LL for the exclusive use of specific applications of
      LL’s
      color changing proprietary pigments defined as WHYTELITE®
      (“WL”)
      technology.

    

    1.
      General Provisions

    a.)
      this
      Agreement shall apply to AB as well as all companies directly or indirectly
      owned by ABN Corp worldwide, For sake of clarification, all references in this
      Agreement to AB shall include all AB affiliated companies as described in the
      preceding sentence. The initial term of this Agreement shall be effective July
      1, 2008 and terminate on December 31, 2009 and may be extended by reaching
      predefined goals in this Agreement;

    b.)
      the
      royalty rate paid by AB to LL for WL pigment shall be $[The confidential
      material contained herein has been omitted and has been separately filed with
      the Commission.] per thousand products shipped and paid for, less normal returns
      and allowances;

    c.)
      the
      exclusivity will automatically expire on December 31, 2009 unless a minimum
      of
      $[The confidential material contained herein has been omitted and has been
      separately filed with the Commission.] in royalty income is generated and paid
      to LL during the initial term of the Agreement.

    

    2.
      Exclusive Products

    a.)
      Except as limited by Section 3, the exclusive products shall be defined as
      all
      plastic cards printed with WL pigments;

    b.)
      exclusivity shall include plastic cards in all markets AB serves without
      restriction (including the casino industry); and including but not limited
      to
      driver’s licenses, loyalty and gift cards, as well as financial, telephone,
      promotional, access, security, Passport and Border Crossing Cards, membership
      and association industries;

    c.)
      products shall include all size and shape form factors that AB manufactures;
      including but not limited to cards, keytags, RAC® Cards, signage and
      shapes;

    d.)
      for
      sake of clarification plastic shall mean, for example but not limited to: PVC,
      PET, PLA, Styrene, Teslin, Polycarbonate and plant based plastics.

    

    3.
      Exclusions to Exclusivity

    The
      exclusivity described in Section 2, above, shall not apply to the
      following:

    a.)
      The
      American Express card;

    b.)
      All
      applications/products not using plastic as a substrate.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    4.
      Pricing

    a.)
      $[The
      confidential material contained herein has been omitted and has been separately
      filed with the Commission.] per kilo FOB warehouse; all pigment orders to be
      accompanied by a PO, terms net 30 days; the $[The confidential material
      contained herein has been omitted and has been separately filed with the
      Commission.] per kilo price will remain constant for the initial term of the
      Agreement;

    b.)
      after
      the initial term of this Agreement, the price per kilo may be increased but
      only
      based on price increases to LL for the cost of WL and/or its
      components

    c.)
      Pigment may only be used for the AB manufactured products described in Section
      2.

    

    5.
      License Renewal / Extension

    a.)
      Upon
      expiration of this Agreement, any AB customers which have been sold products
      incorporating the WL pigments during the course of the Agreement will remain
      exclusive AB customers for a further two year period and LL agrees to continue
      to provide WL pigments (subject to price increases in item 4 (b), above) to
      AB
      to service these customers and LL will continue to receive royalties on these
      sales at the rate of $6 per thousand products;

    b.)
      This
      Agreement shall automatically renew for four additional one year periods if
      the
      royalties paid to LL during the prior period shall meet or exceed the amounts
      shown below:

    

    In
      order
      to automatically renew for the period January 1, 2010 to December 31, 2010
      royalties paid during the immediately prior license period must be $[The
      confidential material contained herein has been omitted and has been separately
      filed with the Commission.].

    

    In
      order
      to automatically renew for the period January 1, 2011 to December 31, 2011
      royalties paid during the immediately prior license period must be $[The
      confidential material contained herein has been omitted and has been separately
      filed with the Commission.].

    

    In
      order
      to automatically renew for the period January 1, 2012 to December 31, 2012
      royalties paid during the immediately prior license period must be $[The
      confidential material contained herein has been omitted and has been separately
      filed with the Commission.].

    

    In
      order
      to automatically renew for the period January 1, 2013 to December 31, 2013
      royalties paid during the immediately prior license period must be $[The
      confidential material contained herein has been omitted and has been separately
      filed with the Commission.].

    

    This
      Agreement automatically expires on December 31, 2013;

    

    c.)
      Should the royalty payments in any year not meet the minimum thresholds set
      forth in Section 5b) above, AB may pay LL the difference between the actual
      amount of royalties paid and the minimum royalties due for that period and,
      if
      AB does make such a payment, the exclusivity shall remain in effect for the
      next
      one year renewal period.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    d.)
      The
      royalty rate shall remain $[The confidential material contained herein has
      been
      omitted and has been separately filed with the Commission.] per thousand
      products for the entire term of the Agreement and any renewals/extensions;
      unless otherwise agreed in writing on an individual order basis.

    

    6.
      WHYTELITE® Trademark

    a.)
      AB
      shall be entitled, but not obligated, to use the companies Registered Trademark
      WHYTELITE®.

    

    7.
      Reporting Obligations

    a.)
      AB
      agrees to provide LL quarterly royalty statements no later than 30 days after
      the close of each calendar quarter together with payment for any sales made
      during the quarter; all royalty report are subject to audit by LL and if errors
      of greater than 5% are found AB will pay for the cost of the audit.

    b.)
      AB
      agrees to provide quarterly sales & marketing progress reports at the close
      of each quarter during the initial term of this Agreement.

    

    8.
      General Provisions

    a.)
      This
      Agreement is to be governed by Massachusetts law and all disputes under this
      Agreement will be heard in the federal or state courts located in
      Massachusetts.

    b.)
      Neither LL nor AB may assign this Agreement except in connection with the sale
      of all or substantially all of the business on the party seeking to assign
      this
      Agreement.

    c.)
      LL
      hereby indemnifies and holds AB harmless from and against any and all claims,
      demands, actions, causes of action, suits, proceedings, damages, liabilities
      and
      reasonable costs and expenses including reasonable attorneys’ fees, relating to
      or arising out of a claims that the use of the LL pigments violate the
      intellectual property rights of any third party.

    d.)
      The
      Confidential Agreement dated October 4, 2007 between AB and LL remains in full
      force and effect

    e.)
      Any
      notices required to be given under this Agreement should be given to a party
      at
      the address set forth at the start of this Agreement and sent to the attention
      of the person signing this Agreement. Notice will be effective if sent US Mail
      or by overnight delivery service, providing a receipt of delivery is generated
      in all cases.

    

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

    

    
      	
              /s/
                Norman A. Gardner

            	 	
              /s/
                Eric Blank

            
	
              Agreed
                & Accepted

              Laser
                Lock Technologies

              Per
                Norman A. Gardner

              Chairman
                & Chief Executive Officer

            	 	
              Agreed
                & Accepted

              Arthur
                Blank & Co., Inc.

              Per
                Eric Blank

              Executive
                Vice President

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