Document:

Exhibit 10(o)(x)

                              EMPLOYMENT AGREEMENT

      THIS AGREEMENT is dated as of January 20, 2009, by and between Albany
International Corp. (hereinafter referred to as "Albany") and David B. Madden
(hereinafter referred to as "Executive").

                                   WITNESSETH

      WHEREAS, Executive has been employed by Albany in a critical managerial
position as Group Vice President - PMC Asia & Pacific; and

      WHEREAS, Executive's position has been eliminated in connection with a
restructuring of Albany's business; and

      WHEREAS, Executive continues to possesses certain knowledge and skills
beneficial to Albany's business; and

      WHEREAS, ALBANY wishes for Executive to continue his employment with
Albany and Executive wishes to continue his employment with Albany; and

      WHEREAS, Executive and Albany each believe it to be in their best
interests to define Executive's new position with Albany and to provide each
party with certain protections as set forth herein.

      NOW, THEREFORE, in consideration of the premises, covenants and conditions
set forth herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, Albany and Executive hereby agree
as follows:

      1. Executive acknowledges that he was given this Agreement on January 14,
2009 and was afforded 21 days to consider same. Executive was, and hereby is,
advised to consult a lawyer before signing this Agreement and did in fact have
the opportunity to obtain the advice of counsel.

      2. Executive may accept this Agreement only by signing, dating and
delivering the Agreement to Albany (in the manner set forth in paragraph 31) on
or before Albany's normal close of business on February 6, 2009. Time is of the
essence with regard to this paragraph 2.

                                  Page 1 of 9
<PAGE>

      3. Executive may revoke this Agreement at any time within seven (7) days
after signing and delivering it to Albany by notifying Albany in writing (in the
manner set forth in paragraph 31) of Executive's decision to revoke. Time is of
the essence with regard to this paragraph 3.

      4. Executive no longer holds the position of Group Vice President and,
effective immediately upon the execution of this Agreement, further resigns his
position as an officer of Albany.

      5. The period during which Executive is to be employed by Albany under the
terms of this Agreement is referred to herein as the "Employment Term". The
Employment Term shall begin immediately upon execution of this Agreement and
shall expire on April 30, 2011.

      6. During the Employment Term Executive shall serve in the position of
Vice President - Special Projects, reporting to, and performing to the best of
his abilities the duties assigned to him by Albany's President and CEO, or his
designee. At the discretion of Albany's President and CEO, or his designee, or
Albany's Board of Directors, the duties, responsibilities and title of the
Executive may change from time to time.

      7. During the Employment Term Executive shall work out of, and his
principal place of employment shall be located at, his residence, unless
mutually agreed otherwise and the parties acknowledge that Executive's duties
may require business-related travel. Albany shall reimburse Executive for all
reasonable travel and other business expenses upon presentation of the
appropriate documentation, and to the extent consistent with Albany's travel and
expense policies.

      8. During the Employment Term, Executive salary shall be equal to
$146,742.00 per annum, payable in installments in accordance with Albany's
customary payroll practices and in no event less than monthly, less (i)
applicable withholdings for taxes, (ii) deductions of premiums due from
Executive for any health care or life insurance coverage provided by or through
Albany, (iii) 401(k), profit-sharing or other Albany benefit plan contributions
and (iv) any other applicable withholdings. Executive shall remain eligible for
a cash incentive bonus relating to the services he performed during 2008 as
Group Vice President. Said bonus shall be determined and paid at the same time
and in the same manner in which bonuses are awarded to Albany's management
employees under current prevailing bonus programs. Executive shall not be
eligible for a bonus relating to his employment during 2009, 2010 or 2011.

      9. During the Employment Term, Executive will be eligible to receive the
standard package of employee benefits available to similarly situated Albany
employees. Albany reserves the right to modify, supplement, amend or eliminate
the standard benefits provided to its employees, including, without limitation,
the eligibility requirements and/or premiums, deductibles, co-payments or other
charges relating thereto.

      10. Executive acknowledges that as a consequence of his employment with
Albany, proprietary and confidential information relating to Albany's business
may be disclosed to or

                                  Page 2 of 9
<PAGE>

developed or acquired by Executive which is not generally known to the trade or
the general public and which is of considerable value to Albany (the
"Proprietary Information"). Such Proprietary Information includes, without
limitation, information about trade secrets, inventions, patents, licenses,
research projects, costs, profits, markets, sales, customer lists, computer
programs, records, and software; plans for future development, and any other
information not available to the trade or the general public, including
information obtained from or developed in conjunction with a third party that is
subject to a confidentiality or similar agreement to which Albany is a party.
Executive acknowledges and agrees that his relationship with Albany with respect
to such Proprietary Information shall be fiduciary in nature. Consequently,
during the Employment Term, and for a period of five (5) years thereafter,
Executive covenants that he shall not use such Proprietary Information for his
own benefit, or for the benefit of any other employer or for any other purpose
whatsoever other than the performance of his work for Albany, and Executive
shall maintain all such Proprietary Information in confidence and shall not
disclose any thereof to any person other than employees of Albany and its
affiliates authorized to receive such Proprietary Information.

      11. Executive shall disclose promptly to Albany all inventions, concepts,
improvements, discoveries, know-how, designs, processes, methods, formulae and
techniques, and any related suggestions and ideas, that Executive may conceive,
make, develop or work on, in whole or in part, solely or jointly with others
(collectively, "Inventions"), while employed by Albany or one year after
termination of his employment with Albany, whether or not:

      (a)   patentable, copyrightable or otherwise legally protectable; or

      (b)   reduced to a writing, drawing, blueprint or other tangible form.

Subject to any applicable requirements of law with respect to compensation,
Executive agrees to assign, and hereby assigns, to Albany all his entire right,
title and interest in all such Inventions (as well as any other forms of
intellectual property relating thereto) that

      (a)   relate to a business then conducted by Albany, conducted by Albany
            in the past, proposed to be conducted by Albany in the future or
            then under investigation by Albany;

      (b)   are conceived, made, developed or worked on by the Executive or any
            other employee of Albany;

            (i)   upon the suggestion of Albany;

            (ii)  during the Executive's hours of work for Albany; or

            (iii) in or about Albany's premises; or

      (c)   are derived, in whole or in part, from information, technology,
            data, materials, equipment, tools or training received from Albany
            or its customers;

                                  Page 3 of 9
<PAGE>

(collectively "Employment Inventions"; provided, that "Employment Inventions"
shall not include any invention for which none of Albany's equipment, supplies,
facilities, or trade secret information was used and which is developed entirely
on the Executive's own time, unless (a) the invention relates (i) directly to
Albany's business, or (ii) to Albany's actual or demonstrably anticipated
research or development, or (b) the invention results from any work performed by
Executive for Albany). All Employment Inventions, and any writings, drawings,
blueprints, models or other documentation or tangible representations relating
thereto, shall be the exclusive property of Albany. At the request of Albany, at
its cost and without liability to Executive, Executive shall assist Albany, or
any person or persons from time to time designated by it, in obtaining the grant
of patents, copyrights or similar protections, in such country or countries as
may be designated by Albany, covering Employment Inventions and shall, in
connection therewith, execute such applications, statements or other documents,
furnish such information and data and take all such other action (including,
without limitation, the giving of testimony) as Albany may from time to time
request, all without compensation to Executive other than normal compensation
for services and any special compensation required by law.

      12. Executive shall have no right, title or interest in or to any assets,
property, equipment, reports, studies, memoranda, records, plans, manuals,
correspondence, drawings, blueprints, models or other documentation or tangible
representations provided by Albany or created or acquired in the course of, or
as a consequence of, the employment of Executive, or in any copies, pictures,
facsimiles or other reproductions, recordings, abstracts or summaries thereof,
and Executive will promptly surrender to Albany any such property, assets,
equipment or materials in Executive's possession, or under Executive's control,
upon the termination of Executive's employment, or upon request of Albany at any
time prior thereto.

      13. Unless terminated earlier in accordance with paragraphs 14 or 15
hereof, Executive's employment with Albany will terminate at the end of the
Employment Term.. Said termination shall be deemed an involuntary termination
(the "Scheduled Termination"); provided, that it shall not be a Scheduled
Termination if, at or prior to the end of the Employment Term, Albany shall have
"cause" to terminate the Executive's employment (as defined in paragraph 14
below) or the Executive shall have exercised his right to terminate his
employment pursuant to paragraph 15. Upon the Scheduled Termination, any
outstanding restricted stock units awarded to Executive under Albany's 2003
Restricted Stock Unit Plan will be treated in accordance with the terms of that
plan governing an involuntary termination by Albany: (i) one-half of the
unvested restricted stock units shall vest on the date of termination and shall
be paid as promptly as practical thereafter; and (ii) the remaining unvested
restricted stock units shall be forfeited and shall never vest, and the
Executive shall cease to have any rights with respect thereto. Furthermore, upon
the Scheduled Termination, any unvested awards granted to Executive under
Albany's 2005 Incentive Plan, will be treated in accordance with the terms of
that plan governing an involuntary termination by Albany: (i) one-half of the
unvested amount then credited to the Executive's Bonus Account established under
the plan shall vest immediately but be distributed to the Executive pursuant to
the payment schedule established at the time of the award; and (ii) the
remainder of the credited amount shall be forfeited and the Executive shall
cease to have any further rights with respect thereto. Until the Scheduled

                                  Page 4 of 9
<PAGE>

Termination, any awards previously granted under either of the foregoing plans
shall continue to be earned, and shall vest and be paid, according to the terms
of the applicable award agreement.

      14. Albany may terminate Executive prior to the Scheduled Termination with
or without cause. Cause shall be deemed to exist if Albany determines that
Executive has:

            (i) undertaken a position in competition with Albany;

            (ii) caused substantial harm to Albany with intent to do so or as a
            result of gross negligence in the performance of his duties;

            (iii) wrongfully and substantially enriched himself at the expense
            of Albany;

            (iv) been convicted of felon

            (v) failed to perform his duties in an adequate and proper manner in
            accordance with the instructions communicated to Executive by his
            direct supervisor

      15. Executive reserves the right to terminate his employment with Albany
at will, at any time.

      16. If Executive' employment is terminated by Albany at any time prior to
the end of the Employment Term without cause, Albany shall continue to pay the
Executive's base salary for the remainder of the Employment Term in accordance
with paragraph 8. Executive's right to receive such payments in accordance with
this paragraph 16 is contingent upon the Executive's continued compliance with
the provisions of Sections 10, 11, 12, 18 and 19 of this Agreement and upon
Executive having executed and delivered to Albany a release of any and all
claims relating to his termination. Executive will not be required to mitigate
the amount of payments under this paragraph 16, nor will any earnings that
Executive may receive from any other source reduce any such payments. For the
purpose of this paragraph:

      (a)   Termination "by Albany" shall not include termination as the result
            of death or disability; and

      (b)   "Disability" shall be deemed to exist if (i) by reason of mental or
            physical illness Executive has not performed his duties for a period
            of six consecutive months; and (ii) the Executive does not return to
            the performance of his duties within thirty days after written
            notice is given by Albany that the Executive has been determined by
            Albany's Board of Directors to be "Disabled" under Albany's long
            term disability policy.

      17. Except as otherwise provided in paragraphs 13 and 16, Executive shall
not be entitled to receive any severance or other payments or benefits in the
event the Executive's employment with Albany terminates prior to or at the end
of the Employment Term.

      18. During the Employment Term, Executive agrees and promises that he will
not directly or indirectly, or in conjunction with any person, firm,
partnership, joint venture,

                                  Page 5 of 9
<PAGE>

association, corporation or other business, organization, entity or enterprise
whatsoever ("Person"):

            (i) engage in any business which is in competition with Albany or
            any of its subsidiaries or affiliates in the same geographical areas
            as Albany or any of its subsidiaries or affiliates are engaged in
            their business (a "Competitive Business");

            (ii) enter into the employ of, or render any services to, any Person
            in respect of any Competitive Business, or any business related to
            the papermaking industry;

            (iii) acquire a financial interest in, or otherwise become actively
            involved with, any Competitive Business; provided, however, that in
            no event shall ownership of less than 2% of the outstanding capital
            stock of any corporation, in and of itself, be deemed a violation of
            this Agreement is such capital stock is listed on a national
            securities exchange or regularly traded in an over-the-counter
            market; or

            (iv) interfere with, or attempt to interfere with, any business
            relationships between Albany and its customers, clients, suppliers
            or investors.

      19. During the Employment Term, and for a period of two (2) years
thereafter, Executive specifically agrees and promises that he will not directly
or indirectly disparage Albany, (as defined below in paragraph 20), or any of
Albany's products or services in any manner, at any time, to any person or
entity. "Disparage" is defined as but not limited to any utterance whatsoever
either verbal, in writing, by gesture or any behavior of any kind that might
tend to or actually harm or injure Albany, whether intended or not.

      20. As used in this Agreement, the term "Albany" means, individually and
collectively, Albany, each subsidiary and affiliate of Albany, and their
respective employee welfare benefit plans, employee pension benefit plans,
successors and assigns, as well as all present and former shareholders,
directors, officers, fiduciaries, agents, representatives and employees of those
companies and other entities.

      21. By signing this Agreement Executive immediately gives up and releases
Albany from, and promises never to sue Albany with respect to, any and all
rights and claims that Executive may have against Albany, whether or not
Executive presently is aware of such rights or claims. In addition, and without
limiting the foregoing:

      (a)   Executive on behalf of himself, his agents, spouse, representatives,
            assignees, attorneys, heirs, executors and administrators, fully
            releases Albany and Albany's past and present successors, assigns,
            parents, divisions, subsidiaries, affiliates, officers, directors,
            shareholders, employees, agents and representatives from any and all
            liability, claims, demands, actions, causes of action, suits,
            grievances, debts, sums of moneys, controversies, agreements,
            promises, damages, back and front pay, costs, expenses, attorneys
            fees, and remedies of any type, which

                                  Page 6 of 9
<PAGE>

            Executive now has or hereafter may have, by reason of any matter,
            cause, act or omission arising out of or in connection with
            Executive's employment or the termination of his employment with
            Albany, including, without limiting the generality of the foregoing,
            any claims, demands or actions arising under the Age Discrimination
            in Employment Act of 1967, the Older Worker's Benefit Protection
            Act, the Executive Retirement Income Security Act of 1974, Title VII
            of the Civil Rights Act of 1964, the Civil Rights act of 1991, the
            Civil Rights Act of 1866, the Rehabilitation Act of 1973, the
            Americans with Disabilities Act of 1990, and any other federal,
            state or local statute, ordinance or common law of any state
            regarding employment, discrimination in employment, or the
            termination of employment.

      (b)   If Executive ever sues Albany in violation of the promise never to
            sue stated in this paragraph 21, or otherwise breaches any other
            obligation under this Agreement, Executive agrees (1) that Albany
            shall not be obligated to continue to making any payments due to
            Executive under this Agreement and (2) to reimburse Albany for any
            and all attorneys' fees and costs which Albany pays to defend any
            such lawsuit, regardless of who prevails.

      22. The appearance of a release in this Agreement does not constitute an
admission by Albany of any liability to Executive, and Executive understands and
agrees that Albany denies any such liability to Executive.

      23. Executive acknowledges and agrees that, except for this Agreement,
Executive would have no right to receive the benefits described herein.

      24. This Agreement constitutes the entire agreement between Albany and
Executive relating to the subject matter thereof, and supercedes any prior
agreement or understanding with respect thereto, and may not be amended or
modified in any way whatsoever except in writing signed by the parties hereto.

      25. Executive acknowledges that he has had the opportunity to obtain legal
advice with respect to this Agreement, has had sufficient time to read, and has
carefully read and fully understands all the provisions of this Agreement, and
is knowingly and voluntarily entering into this Agreement.

      26. Executive understands that the release contained in paragraph 21
hereof is a general release, and represents that he has been advised to seek
counsel on the legal and practical effect of a general release, and recognizes
that he is executing and delivering this release, intending thereby to be
legally bound by the terms and provisions thereof, of his own free will, without
promises or threats or the exertion of duress. He also acknowledges that he has
had adequate time to review it, have it explained to him, and understands its
provisions.

      27. Executive and Albany understand and agree that if an action is
commenced by any party alleging breach of this agreement, the non-prevailing
party shall be liable to the

                                  Page 7 of 9
<PAGE>

prevailing party for any and all available legal and equitable relief, as well
as reasonable attorneys' fees and costs associated with pursuing or defending
such legal action.

      28. This Agreement shall be governed by and construed in accordance with
the laws of the State of New York without regard to any provisions thereof
relating to conflict of laws. The parties agree that the provisions of the
Agreement shall be enforced to the fullest extent permitted by law. Accordingly,
if, in any judicial proceeding, a court shall determine that any provision
hereof is unenforceable for any reason, then the parties intend that such
covenant shall be deemed to be limited only to the extent necessary to permit
enforceability by the court; however, such limitation shall in no way affect the
remaining provisions of this Agreement.

      29. Albany and Executive agree that a breach by Executive of the
provisions of this Agreement may cause irreparable harm to Albany which will be
difficult to quantify and for which money damages will not be adequate.
Accordingly, Executive agrees that Albany shall have the right to obtain an
injunction against Executive enjoining any such breach in addition to any other
rights or remedies available to Albany on account of any breach or threatened
breach of this Agreement. Executive and Albany each further agree that if an
action is commenced by any party alleging breach of this Agreement, the
non-prevailing party shall be liable to the prevailing party for any and all
available legal and equitable relief, as well as reasonable attorneys' fees and
costs associated with pursuing or defending such legal action

      30. The terms of this agreement are binding upon and shall be for the
benefit of Executive and Albany, as well as their respective heirs, executors,
administrators, successors and assigns.

      31. Notices or other deliveries required or permitted to be given or made
under this Agreement by Executive to Albany shall, except to the extent
otherwise required by law, be deemed given or made if delivered by hand or by
express mail or overnight courier service to Albany International Corp., 1373
Broadway, Albany, New York 12204, Attention: Charles J. Silva, Jr.

      32. Whether and when a "separation from service" has occurred for purposes
of Section 409A of the Section 409A of the Internal Revenue Code of 1986, as
amended (the "Code") is a determination based on the facts and circumstances and
is not always clear. The payments and the payment schedules set forth herein are
intended to comply with, or be exempt from, Section 409A of the Code, without
regard to whether a "separation from service" has occurred as of the date hereof
or at any date hereafter.

                                  Page 8 of 9
<PAGE>

      IN WITNESS WHEREOF, a duly authorized representative of Albany and
Executive have signed this Agreement to be effective as of the day and year
first set forth above.

                              Albany International Corp.

                              By:  /s/ Ralph M. Polumbo            01/21/2009
                                   ------------------------------  -------------
                                   Ralph M. Polumbo                Date
                              Its: Sr. VP - Human Resources
                                   & Chief Administrative Officer

THE  UNDERSIGNED  FURTHER  STATES  THAT  HE HAS  CAREFULLY  READ  THE  FOREGOING
AGREEMENT AND KNOWS THE CONTENTS THEREOF AND SIGNS THE SAME AS HIS OWN FREE ACT.
THIS AGREEMENT INCLUDES A RELEASE OF ALL KNOWN AND UNKNOWN CLAIMS.

                                   /s/ David B. Madden             01/20/2009
                                   ------------------------------  -------------
                                   David B. Madden                 Date

                              FOR COMPANY USE ONLY

      The foregoing Employment Agreement, signed and dated by Executive, was
received by me on behalf of Albany International Corp. this 21st day of January,
2009.

                                   /s/ Charles J. Silva, Jr.
                                   ------------------------------
                                   Charles J. Silva, Jr.

                                  Page 9 of 9exv4w1

Exhibit
4.1

	 		
	No. B-[  ]
	 	$[  ]

Date: January 20, 2009

BMP SUNSTONE CORPORATION

12.5% SECURED CONVERTIBLE NOTE DUE

JULY 1, 2011

     THIS NOTE is one of a series of duly authorized and issued notes of BMP Sunstone Corporation,
a Delaware corporation (the “Company”), designated as its 12.5% Secured Convertible Note due July
1, 2011, in the aggregate principal amount of up to $23,000,000 (the “Notes”).

     FOR VALUE RECEIVED, the Company promises to pay to the order of [ ] or his registered assigns
(the “Holder”), the principal sum of [ ] Dollars ($[ ]) (the “Original Principal Amount”), on
July 1, 2011 (the “Maturity Date”), or such earlier date as the Notes are required or permitted to
be repaid as provided hereunder, and to pay interest to the Holder on the then outstanding
principal amount of this Note in accordance with the provisions hereof. Notwithstanding the
foregoing, the Company hereby unconditionally promises to pay to the order of the Holder interest
on any principal or interest payable hereunder that shall not be paid in full when due, whether at
the time of any stated interest payment date or maturity or by prepayment, acceleration or
declaration or otherwise, for the period from and including the due date of such payment to but
excluding the date the same is paid in full, at a rate of 18% per annum (but in no event in excess
of the maximum rate permitted under applicable law).

     Interest payable under this Note shall be computed on the basis of a year of 360 days and
actual days elapsed (including the first day but excluding the last day) occurring in the period
for which interest is payable.

     Payments of principal and interest shall be made in lawful money of the United States of
America to the Holder at its address as provided in Section 10 or by wire transfer to such account
specified from time to time by the Holder hereof for such purpose as provided in Section 10.

     1. Definitions. In addition to the terms defined elsewhere in this Note, (a)
capitalized terms that are not otherwise defined herein have the meanings given to such terms in
the Note Exchange Agreement, dated as of the date hereof, between the Company and the Holder (the
"Note Exchange Agreement”), and (b) the following terms have the meanings indicated:

     “Bankruptcy Event” means that the Company or any Subsidiary shall commence, or there
shall be commenced against the Company or any Subsidiary under any applicable bankruptcy or
insolvency laws as now or hereafter in effect or any successor thereto, or the Company or
any Subsidiary commences any other proceeding under any reorganization, arrangement,
adjustment of debt, relief of debtors, dissolution, insolvency or liquidation or similar law
of any jurisdiction whether now or hereafter in effect relating to the Company or any
Subsidiary or there is commenced against the Company or any Subsidiary any such bankruptcy,
insolvency or other proceeding which remains undismissed for a period of sixty-one (61)
days; or the Company or any

- 1 -

 

Subsidiary is adjudicated insolvent or bankrupt; or any order of
relief or other order
approving any such case or proceeding is entered; or the Company or any Subsidiary
suffers any appointment of any custodian, private or court appointed receiver or the like
for it or any substantial part of its property which continues undischarged or unstayed for
a period of sixty one (61) days; or the Company or any Subsidiary makes a general assignment
for the benefit of creditors; or the Company or any Subsidiary shall fail to pay, or shall
state that it is unable to pay, or shall be unable to pay, its debts generally as they
become due; or the Company or any Subsidiary shall call a meeting of its creditors with a
view to arranging a composition, adjustment or restructuring of its debts; or the Company or
any Subsidiary shall by any act or failure to act expressly indicate its consent to,
approval of or acquiescence in any of the foregoing; or any corporate or other action is
taken by the Company or any Subsidiary for the purpose of effecting any of the foregoing.

     “Business Day” means any day except Saturday, Sunday and any day that shall be a
federal legal holiday or a day on which banking institutions in the Commonwealth of
Pennsylvania are authorized or required by law or other governmental action to close.

     “Change of Control” means the occurrence of (i) an acquisition after the date hereof by
an individual or legal entity or “group” (as described in Rule 13d-5(b)(1) promulgated under
the Exchange Act) of effective control (whether through legal or beneficial ownership of
capital stock of the Company, by contract or otherwise) of in excess of fifty percent (50%)
of the voting securities of the Company (except that the acquisition of voting securities by
the Holder or any current holder of convertible securities of the Company shall not
constitute a Change of Control for purposes hereof); (ii) a replacement at one time or over
time of more than one-half of the members of the board of directors of the Company which is
not approved by a majority of those individuals who are members of the board of directors on
the date hereof (or by those individuals who are serving as members of the board of
directors on any date whose nomination to the board of directors was approved by a majority
of the members of the board of directors who are members on the date hereof); (iii) the
merger or consolidation of the Company with or into another entity as a result of which the
holders of the voting securities of the Company immediately before such merger or
consolidation do not hold fifty percent (50%) or more of the voting securities of the
surviving or resulting entity; (iv) the sale of fifty percent (50%) or more of the assets of
the Company and its subsidiaries on a consolidated basis; or (v) the execution by the
Company of an agreement to which the Company is a party or by which it is bound, providing
for any of the events set forth above in (i), (ii), (iii) or (iv).

     “Closing Market Price” means the quoted sale price of the Common Shares as of the close
of trading on the Nasdaq Global Market or any other national securities exchange, market or
trading or quotation facility on which the Common Shares is then listed or quoted.

     “Majority in Interest” means the holders of greater than fifty percent (50%) of the
aggregate principal amount of Notes then outstanding.

- 2 -

 

     “Prepayment Price” for any Notes which shall be subject to prepayment pursuant to
Section 6, means the amount equal to the sum of the then outstanding principal amount of
this Note being prepaid pursuant to Section 6 plus all accrued but unpaid interest on such
outstanding principal amount of this Note.

     “Qualified Offering” shall mean the issuance of Common Shares in one or more offerings
to investors resulting in the receipt of proceeds, net of all commissions, by the Company in
an aggregate amount of at least sixteen million dollars ($16,000,000).

     “Subsidiary” means (i) any “significant subsidiary,” as defined in Item 1-02(w) of
Regulation S-X promulgated by the Securities and Exchange Commission, of the Company and
(ii) Sunstone China Limited (formerly named Hong Kong Fly International Health Care
Limited), a Hong Kong corporation (“Sunstone China”).

     2. Interest. The Company shall pay interest to the Holder on the aggregate then
outstanding principal amount of this Note at the rate of 12.5% per annum, payable quarterly in
arrears on each April 1, July 1, October 1 and January 1, except if such date is not a Business
Day, in which case such interest shall be payable on the next succeeding Business Day (each, an
"Interest Payment Date”). The first Interest Payment Date shall be April 1, 2009.

     3. Ranking and Covenants.

     (a) Other than the 10.0% Senior Secured Promissory Notes Due May 1, 2009, no indebtedness of
the Company is senior to this Note in right of payment, whether with respect to interest, damages
or upon liquidation or dissolution or otherwise. The Company will not, and will not permit any
Subsidiary to, directly or indirectly, enter into, create, incur, assume or suffer to exist any
indebtedness of any kind, on or with respect to any of its property or assets now owned or
hereafter acquired or any interest therein or any income or profits therefrom, that is not
subordinated in all respects to the Company’s obligations under the Notes, other than (i)
indebtedness secured by purchase money security interests (which will be senior only as to the
underlying assets covered thereby), (ii) indebtedness under capital lease obligations (which will
be senior only as to the assets covered thereby), (iii) indebtedness to any commercial bank or
other institutional lender of commercial loans, (iv) the Notes or the 10.0% Senior Secured
Promissory Notes Due May 1, 2009, or (v) any renewal, refinancing or replacement of indebtedness
contemplated by clause (i) through (iv) above; provided, however, in no event shall the terms of
any renewal, refinancing or replacement of the 10.0% Senior Secured Promissory Notes Due May 1,
2009 be more favorable than the terms of this Note.

     (b) So long as any Notes are outstanding, the Company shall maintain in an escrow account
established pursuant to the terms of the Interest Escrow Agreement (as defined in the Note Exchange
Agreement), (i) at all times after the date of transfer of the applicable funds as contemplated by
Section 1.2.4 of the Note Exchange Agreement until April 1, 2009, an amount equal to the amount
transferred pursuant to Section 1.2.4 of the Note Exchange Agreement, (ii) at all times after April
1, 2009 until the earlier of the closing date of a Qualified Offering or July 1, 2009, an amount
equal to (A) the amount transferred pursuant to Section 1.2.4 of the Note Exchange Agreement minus
(B) the amount to be paid pursuant to Section 1.2.3 of the Note Exchange Agreement and (iii) at all
times after the earlier of the closing date of a Qualified

- 3 -

 

Offering or July 1, 2009, an amount equal to the interest to be paid with respect to all the
Notes then outstanding on the next two succeeding Interest Payment Dates.

     (c) So long as any Notes are outstanding, (i) the Company shall own 100% of the issued and
outstanding shares of capital stock or equity securities of Sunstone China, and (ii) Sunstone China
shall own 100% of the issued and outstanding shares of capital stock or equity securities of
Sunstone Pharmaceutical Co., Ltd., a Hong Kong corporation.

     (d) So long as any Notes are outstanding, the Company shall not declare or pay any cash
dividend or distribution without the prior written consent of a Majority in Interest.

     4. Registration of Notes. The Company shall register the Notes upon records to be
maintained by the Company for that purpose (the “Note Register”) in the name of each record holder
thereof from time to time. The Company may deem and treat the registered Holder of this Note as
the absolute owner hereof for the purpose of any payment of interest or principal hereon, and for
all other purposes, absent actual notice to the contrary.

     5. Registration of Transfers and Exchanges. The Company shall register the transfer
of any portion of this Note in the Note Register upon surrender of this Note to the Company at its
address for notice set forth herein. Upon any such registration or transfer, a new Note, in
substantially the form of this Note (any such new Note, a “New Note”), evidencing the portion of
this Note so transferred shall be issued to the transferee and a New Note evidencing the remaining
portion of this Note not so transferred, if any, shall be issued to the transferring Holder. The
acceptance of the New Note by the transferee thereof shall be deemed the acceptance by such
transferee of all of the rights and obligations of a holder of a Note. This Note is exchangeable
for an equal aggregate principal amount of Notes of different authorized denominations, as
requested by the Holder surrendering the same. No service charge or other fee will be imposed in
connection with any such registration of transfer or exchange. Notwithstanding anything herein to
the contrary, the Company shall not be required at any time to register any transfer to a
transferee and any transfer shall be void and of no force or effect unless the Note has been
registered under the Securities Act or the Company has received an opinion of counsel reasonably
acceptable to it stating that such transfer is exempt from the registration and prospectus delivery
requirements of the Securities Act.

     6. Prepayment.

     (a) At any time on or following a Change of Control and delivery of a written notice to the
Company (the date such notice is delivered to the Company, the “Notice Date”), the Noteholder shall
be entitled to demand prepayment of all or any portion of the outstanding principal amount of this
Note plus any accrued and unpaid interest thereon for an amount in cash equal to the Prepayment
Price.

     (b) The Prepayment Price shall be due on the fifteenth Business Day immediately following the
Notice Date. If any portion of the Prepayment Price shall not be timely paid by the Company,
interest shall accrue thereon at the rate of 18% per annum (or the maximum rate permitted by
applicable law, whichever is less) until the Prepayment Price plus all such interest is paid in
full, which payment shall constitute liquidated damages and not a penalty.

- 4 -

 

     7. Events of Default.

     (a) “Event of Default” means any one of the following events (whatever the reason and whether
it shall be voluntary or involuntary or effected by operation of law or pursuant to any judgment,
decree or order of any court, or any order, rule or regulation of any administrative or
governmental body):

     (i) (A) any default in the payment of any principal amount of the Notes, as and when
the same becomes due and payable (whether on a date specified for the payment of interest or
the date on which the obligations under the Note mature or by acceleration, redemption,
prepayment or otherwise), (B) any default in the payment of interest in respect of any
Notes, no later than the third Business Day after such interest become due and payable
(whether on a date specified for the payment of interest or the date on which the
obligations under the Note mature or by acceleration, redemption, prepayment or otherwise),
(C) any default by the Company in the performance of its covenants set forth in paragraphs
3(b) or 3(c) of this Note or (D) any default by the Company in the performance of any of its
other covenants and obligations under this Note not listed in clauses (A), (B) or (C) above,
which defaults remain uncured fifteen (15) Business Days after the Company receives written
notice thereof from the Holder or a representative of the Holder;

     (ii) the Company or any Subsidiary defaults in any of its obligations under any other
note or any mortgage, credit agreement or other facility, indenture agreement, factoring
agreement or other instrument under which there may be issued, or by which there may be
secured or evidenced, any indebtedness for borrowed money or money due under any long term
leasing or factoring arrangement of the Company or any Subsidiary in an amount exceeding
$1,000,000, whether such indebtedness now exists or is hereafter created, and such default
results in such indebtedness becoming or being declared due and payable prior to the date on
which it would otherwise become due and payable;

     (iii) any default by the Company of any of its obligations pursuant to the Note
Exchange Agreement, the Pledge Agreement, the Interest Escrow Agreement or the Share Escrow
Agreement; or

     (iv) the occurrence of a Bankruptcy Event.

     (b) At any time or times that an Event of Default has occurred and is continuing, (1) the full
unpaid principal amount of this Note, together with interest and other amounts owing in respect
thereof, to the date of acceleration shall become immediately due and payable in cash, and (2)
while a non-payment default is continuing, the Note shall bear interest at a rate of 15% per annum
(but in no event in excess of the maximum rate permitted under applicable law).

     (c) In connection with any Event of Default, the Holder need not provide and the Company
hereby waives any presentment, demand, protest or other notice of any kind, and the Holder may
immediately and without expiration of any grace period enforce any and all of its rights and
remedies hereunder and all other remedies available to it under applicable law. Any

- 5 -

 

such declaration may be rescinded and annulled by the Holder at any time prior to payment
hereunder. No such rescission or annulment shall affect any subsequent Event of Default or impair
any right consequent thereto. Upon the occurrence of any Bankruptcy Event, all amounts pursuant to
Section 7(b) shall immediately become due and payable in full in cash, without any further action
by the Holder.

     8. Conversion.

     (a) Conversion into Common Shares. At any time after May 15, 2009, the Holder shall
have the option to convert, as a whole or in part, up to the entire amount outstanding under this
Note (including the accrued but unpaid interest) (the “Conversion Amount”) into fully paid and
nonassessable shares of common stock, par value $0.001 per share, of the Company (the “Common
Shares”) from time to time at a conversion price (the “Conversion Price”), subject to adjustments
as set forth in Section 9, equal to $5.00; provided that, if the Company issues
Common Shares in one or more offerings to investors (other than any offerings following the closing
of the Qualified Offering) on or prior to September 15, 2009 (any such issuance, an “Offering”),
the Conversion Price shall equal the lesser of (i) $5.00 or (ii) 115% of the lowest price per
Common Share for which the Company sells Common Shares in any Offering. Notwithstanding anything
to the contrary, if the Conversion Price would result, upon conversion by all of the Notes on the
date such Conversion Price is established, in the issuance of Common Shares in amount equal to or
greater than 20.00% of the outstanding Common Shares, the Conversion Price shall be increased to
such amount (subject to rounding) as would result in the issuance, upon conversion by all of the
Notes on the date such Conversion Price is established, of Common Shares in an aggregate amount
equal to 19.99% of the outstanding Common Shares. The number of Common Shares issuable upon
conversion of any portion of the Conversion Amount shall be determined by dividing (x) such portion
of the Conversion Amount by (y) the Conversion Price in effect on the date of receipt of the
Conversion Notice by the Company from the Holder pursuant to Section 8(b).

     (b) Mechanics and Effect of Conversion. To convert the Note, a Holder must (a)
deliver to the Company a duly signed and completed Conversion Notice set forth in Exhibit A hereto,
(b) surrender this Note, duly endorsed, at the principal office of the Company, (c) deliver to the
Company appropriate endorsements and transfer documents if required by the Company and (d) pay any
tax or duty required to effect the conversion. At its expense, the Company shall, as soon as
practicable following any conversion of this Note pursuant to this Section 8, and in any event
within three Business Days of such surrender, issue and deliver to the Holder at such principal
office a certificate or certificates for the number of shares of such Common Shares to which the
Holder shall be entitled upon such conversion (bearing such legends as are required by applicable
securities laws and stock exchange regulations or policies, as required in the opinion of counsel
to the Company), together with any other securities and property to which the Holder is entitled
upon such conversion under the terms of this Note. Issuance of this Note shall constitute full
authority to the Company’s officers who are charged with the duty of executing stock certificates
to execute and issue the necessary certificates for Common Shares issuable upon the conversion of
this Note. On partial conversion of this Note, the Company shall issue to the Holder a new Note
having identical terms to this Note, except that the principal amount thereof shall equal the
difference between (i) the principal amount of this Note immediately prior

- 6 -

 

to such conversion minus (ii) the portion of such principal amount converted into Common
Shares.

     (c) Reservation of Stock Issuable Upon Conversion. The Company shall at all times
reserve and keep available out of its authorized but unissued Common Shares, solely for the purpose
of effecting the conversion of this Note, such number of its Common Shares as shall from time to
time be sufficient to effect the conversion of this Note; and if at any time the number of
authorized but unissued Common Shares shall not be sufficient to effect the conversion of this Note
and the Company will take such corporate action as may, in the opinion of its counsel, be necessary
to increase its authorized but unissued Common Shares to such number of shares as shall be
sufficient for such purpose. This Note is being issued, and the Common Shares issuable upon
conversion of this Note will be issued, in reliance upon an exemption from registration pursuant to
Sections 3(a)(9) of the Securities Act of 1933, as amended, and the certificates evidencing such
Common Shares issuable upon conversion of this Note will be unrestricted and without any
restrictive legend imprinted thereon, subject to receipt of an appropriate non-affiliate
representation letter executed by the Noteholder.

     (d) Withholding Taxes. Notwithstanding any other provision of this Note, the Company
shall (i) not be obliged to reimburse, indemnify, make whole or otherwise pay to the Holder, and
(ii) be entitled to deduct and withhold from all amounts payable pursuant to this Note, any amounts
required by applicable law to be deducted or withheld for any and all taxes, so long as the Company
promptly pays the full amount deducted or withheld to the applicable governmental entity in
accordance with applicable law. Any such amounts deducted and not owed or paid to the applicable
governmental entity in accordance with applicable law shall be returned to the Holder promptly.
The Holder shall provide any information reasonably requested by the Company to enable it to
determine whether taxes must be withheld or deducted and the amount of such withholding or
deduction.

     9. Conversion Price Adjustments.

     (a) Adjustment for Splits and Combinations. If the Company shall at any time or from
time to time after the date hereof effect a stock split of the outstanding Common Shares, the
Conversion Price in effect immediately before that stock split shall be proportionately decreased,
and, conversely, if the Company shall at any time or from time to time after the date hereof
combine the outstanding Common Shares into a smaller number of shares, the Conversion Price in
effect immediately before the combination shall be proportionately increased. Any adjustment under
this Section 9(a) shall become effective at the close of business on the date the stock split or
combination becomes effective.

     (b) Adjustment for Common Shares Dividends and Distributions. If the Company at any
time or from time to time after the date hereof issues, or fixes a record date for the
determination of holders of Common Shares entitled to receive, a dividend or other distribution
payable solely or in part in additional Common Shares or other instruments or rights convertible
into Common Shares, in each such event the Conversion Price that is then in effect shall be
decreased as of the time of such issuance or, in the event such record date is fixed, as of the
close of business on such record date, by multiplying the Conversion Price then in effect by a
fraction (i) the numerator of which is the total number of Common Shares issued and outstanding

- 7 -

 

immediately prior to the time of such issuance or the close of business on such record date,
and (ii) the denominator of which is the sum of the total number of Common Shares issued and
outstanding immediately prior to the time of such issuance or the close of business on such record
date plus the number of Common Shares issuable in payment of such dividend or distribution,
including Common Shares to be issued under other instruments or rights convertible into Common
Shares; provided, however, that if such record date is fixed and such dividend is not fully paid or
if such distribution is not fully made on the date fixed therefore, the Conversion Price shall be
recomputed accordingly as of the close of business on such record date and thereafter the
Conversion Price shall be adjusted pursuant to this Section 9(b) to reflect the actual payment of
such dividend or distribution.

     (c) Adjustment for Reorganization. If at any time or from time to time after the date
hereof, there is a reorganization, recapitalization, reclassification, consolidation or merger
involving the Company in which the Common Shares are converted into or exchanged for securities,
cash or other property (collectively, a “Reorganization”), then, following such Reorganization, the
Holder shall thereafter be entitled to receive upon conversion of this Note the kind and amount of
securities, cash or other property which the Holder would have been entitled to receive pursuant to
such Reorganization if such conversion had taken place immediately prior to such Reorganization.
Notwithstanding the foregoing sentence, if (x) there shall occur any Reorganization in which Common
Shares are converted into or exchanged for anything other than solely equity securities, and (y)
the common stock of the acquiring or surviving company is publicly traded, then, as part of such
Reorganization, (i) the Holder shall have the right thereafter to receive upon the conversion of
this Note such number of shares of common stock of the acquiring or surviving company as is
determined by multiplying (A) the number of Common Shares receivable upon conversion of this Note
immediately prior to such Reorganization by (B) a fraction, the numerator of which is the fair
market value, as determined in good faith by the board of directors of the Company, per Common
Share as of the effective date of such Reorganization, and the denominator of which is the fair
market value per share of common stock of the acquiring or surviving company as of the effective
date of such transaction, as determined in good faith by the board of directors of the Company, and
(ii) the conversion price per share of common stock of the acquiring or surviving company shall be
the Conversion Price divided by the fraction referred to in clause (B) above. In any such case,
appropriate adjustment shall be made in the application of the provisions of this Section 9 with
respect to the rights and interests of the Holder, to the end that the provisions of this Section 9
(including adjustment of the Conversion Price then in effect and the number of shares issuable upon
conversion of this Note) shall thereafter be applicable, as nearly as reasonably may be, in
relation to any securities, cash or other property thereafter deliverable upon the conversion of
this Note.

     (d) Certificate of Adjustment. In each case of an adjustment or readjustment of any
Conversion Price for the number of Common Shares or other securities issuable upon conversion of
this Note, the Company, at its own expense, shall cause its Chief Financial Officer to compute such
adjustment or readjustment in accordance with the provisions of this Note and prepare a certificate
showing such adjustment or readjustment, and shall mail such certificate, by first class mail,
postage prepaid, to the Holder at the Holder’s address as shown in the Company’s books. The
certificate shall set forth such adjustment or readjustment, showing in detail the facts upon which
such adjustment or readjustment is based. No adjustment in the Conversion Price shall be required
to be made unless it would result in an increase or decrease of at least one cent, but any

- 8 -

 

adjustments not made because of this sentence shall be carried forward and taken into account
in any subsequent adjustment otherwise required hereunder.

     (e) No Impairment. The Company shall not amend its Certificate of Incorporation or
Bylaws or participate in any reorganization, transfer of assets, consolidation, merger,
dissolution, issue or sale of securities or any other voluntary action for the sole purpose of
avoiding or seeking to avoid the observance or performance of any of the terms to be observed or
performed hereunder by the Company, but shall at all times in good faith assist in carrying out all
such action as may be reasonably necessary or appropriate in order to protect the conversion rights
of the Holder of this Note against dilution or other impairment as provided herein. If the Company
takes any action in breach of this Note, the Holder shall be entitled to any and all remedies
available at law or in equity.

     (f) Fractional Share. No fractional share shall be issuable upon conversion of this
Note and the number of shares to be issued shall be rounded down to the nearest whole share. If
the conversion of this Note shall result in the issuance of any fractional share, the Company shall
eliminate such fractional share by paying the Holder an amount computed by multiplying such
fraction by the fair market value, as determined in good faith by the board of directors of the
Company, of a full share.

     10. Notices. Any and all notices or other communications or deliveries hereunder
shall be in writing in the English language and shall be deemed given and effective on the earliest
of (i) the date of transmission, if such notice or communication is delivered via facsimile at the
facsimile number specified in this Section 8 prior to 5:00 p.m. (Philadelphia, Pennsylvania time)
on a Business Day, (ii) the next Business Day after the date of transmission, if such notice or
communication is delivered via facsimile at the facsimile number specified in this Section 10 on a
day that is not a Business Day or later than 6:30 p.m. (Philadelphia, Pennsylvania time) on any
Business Day, (iii) the Business Day following the date of mailing, if sent by nationally
recognized overnight courier service, or (iv) upon actual receipt by the party to whom such notice
is required to be given. The addresses for such communications shall be: (i) if to the Company, to
600 W. Germantown Pike, Suite 400, Plymouth Meeting, PA 19482, facsimile: (610) 940-1676, attention
Fred C. Powell, Chief Financial Officer, or (ii) if to the Holder, to the address or facsimile
number appearing on the Company’s Noteholder records or such other address or facsimile number as
the Holder may provide to the Company in accordance with this Section 10.

     11. Miscellaneous.

     (a) Binding Nature of Note. This Note shall be binding on and inure to the benefit of
the parties hereto and their respective successors and permitted assigns. The Company shall not be
permitted to assign this Note.

     (b) Limitation of Rights. Subject to Section 11(a), nothing in this Note shall be
construed to give to any person or corporation other than the Company and the Holder any legal or
equitable right, remedy or cause under this Note.

- 9 -

 

     (c) GOVERNING LAW; VENUE; WAIVER OF JURY TRIAL. ALL QUESTIONS CONCERNING THE
CONSTRUCTION, VALIDITY, ENFORCEMENT AND INTERPRETATION OF THIS NOTE SHALL BE GOVERNED BY AND
CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF DELAWARE, WITHOUT
REGARD TO THE PRINCIPLES OF CONFLICTS OF LAW THEREOF. EACH PARTY HERETO HEREBY IRREVOCABLY SUBMITS
TO THE NON-EXCLUSIVE JURISDICTION OF ANY FEDERAL COURT IN THE UNITED STATES FOR THE ADJUDICATION OF
ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR WITH ANY TRANSACTION CONTEMPLATED HEREBY OR
DISCUSSED HEREIN (INCLUDING WITH RESPECT TO THE ENFORCEMENT OF ANY OF THIS NOTE), AND HEREBY
IRREVOCABLY WAIVES, AND AGREES NOT TO ASSERT IN ANY SUIT, ACTION OR PROCEEDING, ANY CLAIM THAT IT
IS NOT PERSONALLY SUBJECT TO THE JURISDICTION OF ANY SUCH COURT, THAT SUCH SUIT, ACTION OR
PROCEEDING IS IMPROPER. EACH PARTY HERETO HEREBY IRREVOCABLY WAIVES PERSONAL SERVICE OF PROCESS
AND CONSENTS TO PROCESS BEING SERVED IN ANY SUCH SUIT, ACTION OR PROCEEDING BY MAILING A COPY
THEREOF VIA REGISTERED OR CERTIFIED MAIL OR OVERNIGHT DELIVERY (WITH EVIDENCE OF DELIVERY) TO SUCH
PARTY AT THE ADDRESS IN EFFECT FOR NOTICES TO IT UNDER THIS NOTE AND AGREES THAT SUCH SERVICE SHALL
CONSTITUTE GOOD AND SUFFICIENT SERVICE OF PROCESS AND NOTICE THEREOF. NOTHING CONTAINED HEREIN
SHALL BE DEEMED TO LIMIT IN ANY WAY ANY RIGHT TO SERVE PROCESS IN ANY MANNER PERMITTED BY LAW. EACH
PARTY HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND
ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS NOTE OR ANY
OF THE TRANSACTION DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

     (d) Headings. The headings herein are for convenience only, do not constitute a part
of this Note and shall not be deemed to limit or affect any of the provisions hereof.

     (e) Provisions Severable. In case any one or more of the provisions of this Note
shall be invalid or unenforceable in any respect, the validity and enforceability of the remaining
terms and provisions of this Note shall not in any way be affected or impaired thereby and the
parties will attempt in good faith to agree upon a valid and enforceable provision which shall be a
commercially reasonable substitute therefor, and upon so agreeing, shall incorporate such
substitute provision in this Note.

     (f) Lost, Stolen or Mutilated Note. Upon receipt by the Company of evidence
reasonably satisfactory to the Company of the loss, theft, destruction or mutilation of this Note,
and, in the case of loss, theft or destruction, of any indemnification undertaking by the Holder to
the Company in customary form and, in the case of mutilation, upon surrender and cancellation of
this Note, the Company shall execute and deliver to the Holder a new Note of like tenor
representing the outstanding principal.

     (g) Waiver and Amendment. No provision of this Note may be waived or amended except
in a written instrument signed, in the case of an amendment, by the Company and the

- 10 -

 

Majority in Interest or, or, in the case of a waiver, by the Majority in Interest; provided,
that the Maturity Date hereof, the rate of interest payable hereunder, the Interest Payment Dates
hereunder, and the currency in which any payments of principal of or interest on this Note shall be
paid may not be waived or amended except in a written instrument signed by the Holder hereof. No
waiver of any default with respect to any provision, condition or requirement of this Note shall be
deemed to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of
any other provision, condition or requirement hereof, nor shall any delay or omission of either
party to exercise any right hereunder in any manner impair the exercise of any such right.

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK;

SIGNATURE PAGE FOLLOWS]

- 11 -

 

     IN WITNESS WHEREOF, the Company has caused this Note to be duly executed by a duly authorized
officer as of the date first above indicated.

	 	 	 	 	 
	 	BMP SUNSTONE CORPORATION

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

- 12 -

 

EXHIBIT A

BMP SUNSTONE CORPORATION

CONVERSION NOTICE

Reference is made to the 12.5% Secured Convertible Note due July 1, 2011 (the “Note”) issued to the
undersigned by BMP Sunstone Corporation (the “Company”). In accordance with and pursuant to the
Note, the undersigned hereby elects to convert the portion of the Conversion Amount (as defined in
the Note) of the Note indicated below into shares of common stock, par value $0.001 per share (the
“Common Shares”), of the Company, as of the date specified below.

	 	 	 
	     Registered Holder:
	 	 
	 

	 	 
	 
	 	 
	     Date of Conversion:
	 	 
	 

	 	 
	 
	 	 
	     Aggregate Conversion Amount to be converted:
	 	 
	 

	 	 
	 
	 	 
	Please confirm the following information:
	 	 
	 
	 	 
	     Conversion Price:
	 	 
	 

	 	 
	 
	 	 
	     Number of shares of Common Shares to be issued:
	 	 
	 

	 	 
	 
	 	 
	Please issue the Common Shares into which the Note is being converted in the
following name and to the following address:
	 
	 	 
	     Issue to:
	 	 
	 

	 	 
	 
	 	 
	 

	 	 
	 
	 	 
	 

	 	 
	 
	 	 
	     Facsimile Number:
	 	 
	 

	 	 
	 
	 	 
	     Authorization:
	 	 
	 

	 	 
	 
	 	 
	          By:
	 	 
	 

	 	 
	 
	 	 
	          Title:
	 	 
	 

	 	 
	 
	 	 
	Dated:
	 	 
	 

	 	 

 

 

ACKNOWLEDGMENT

     The Company hereby acknowledges this Conversion Notice and hereby directs Stocktrans, Inc. to
issue the above indicated number of shares of Common Shares in accordance with the Transfer Agent
Instructions, dated January 19, 2009, from the Company and acknowledged and agreed to by
Stocktrans, Inc.

	 	 	 	 	 
	 	BMP SUNSTONE CORPORATION

 	 
	 	By:  	 	 
	 	Name:  		 	 
	 	Title:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00152-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00152-of-00352.parquet"}]]