Document:

Amendment No. 1 to the Rights Agreement dated as of January 25, 2005

 EXHIBIT 4.2(a) 
  
 Shuffle Master, Inc. 
  
 and 
  
 Wells Fargo Bank, N.A. 
 (fka Norwest Bank Minnesota, N.A.) 
  
 Rights Agent 
  
 Rights Agreement 
  
 Dated as of June 26, 1998 
 Amendment No. 1
dated January 25, 2005 
  

 (i) 

 AMENDMENT No. 1 TO RIGHTS AGREEMENT 
  
 The Agreement, dated as of June 26, 1998, between Shuffle Master, Inc., a Minnesota corporation (the “Company”), and Norwest Bank
Minnesota, N.A., now known as Wells Fargo Bank, N.A. (the “Rights Agent”) is hereby amended as follows: 
  
 Section 1 “Certain Definitions” is amended so that paragraph (g) of Section 1, in its entirety, now reads as follows: 
  
 (g) (not used) 
  
 Section 23 “Redemption” is amended by deleting language so that paragraph b of Section 23, in its entirety, now reads as
follows: 
  
 (b) The Board of Directors of the Company may, at its option, at
any time prior to such time as any Person becomes an Acquiring Person, redeem all, but not less than all, of the then outstanding Rights at a redemption price of $.01 per Right, appropriately adjusted to reflect any stock split, stock dividend or
similar transaction occurring after the date hereof (such redemption price being hereinafter referred to as the “Redemption Price”); 
  
 The redemption of the Rights by the Board of Directors may be made effective at such time on such basis and with such conditions as the Board of Directors in its sole
discretion may establish. If redemption of the Rights is to be effective as of a future date, the Rights shall continue to be exercisable, subject to Section 11(a)(ii) hereof, until the effective date of the redemption, provided that nothing
contained herein shall preclude the Board of Directors from subsequently causing the Rights to be redeemed at a date earlier than the previously scheduled effective date of the redemption. The Company may, at its option, pay the Redemption Price in
cash, Common Shares (based on the current per share market price of the Common Shares at the time of redemption) or any other form of consideration deemed appropriate by the Board of Directors. 
  
 Section 26 “Notices” amended by changing names and addresses so that Section 26
now reads, in its entirety, as follows: 
  
 Notices or demands authorized by
this Agreement to be given or made by the Rights Agent or by the holder of any Rights Certificate to or on the Company shall be sufficiently given or made if sent by first-class mail, postage prepaid, addressed (until another address is filed in
writing with the Rights Agent) as follows: 
  
 Shuffle Master, Inc. 
 1106 Palms Airport Drive 
 Las Vegas, Nevada 89119 
 Attention: General Counsel 
  

 C-1 

 With a copy to: 
  
 Larkin Hoffman Daly & Lindgren, Ltd. 
 1500 Wells Fargo Plaza 
 7900 Xerxes Avenue South 
 Bloomington, Minnesota 55431 
 Attention: Michael Schley 
  
 Subject to the provisions of Section 21 hereof, any notice or demand authorized by this Agreement to be given or made by the Company or by the holder of any Rights
Certificate to or on the Rights Agent shall be deemed given or made upon receipt and shall be addressed (until another address is filed in writing with the Company) as follows: 
  
 Wells Fargo Bank, N.A. 
 161 North Concord Exchange 
 South Saint Paul, Minnesota 55075 
 Attention: Shareholder Relations 
  
 Notices or demands authorized by this Agreement to be given or made by the Company or the
Rights Agent to the holder of any Rights Certificate shall be sufficiently given or made if sent by first-class mail, postage prepaid, addressed to such holder at the address of such holder as shown on the registry books of the Company. 

 
 Section 27, “Supplements and Amendments” is amended by deleting language so
that Section 27, in its entirety, now reads as follows: 
  
 The Company may
from time to time supplement or amend this Agreement without the approval of any holders of Rights Certificates in order to cure any ambiguity, to correct or supplement any provision contained herein which may be defective or inconsistent with any
other provisions herein, or to make any other provisions with respect to the Rights which the Company may deem necessary or desirable, any such supplement or amendment to be evidenced by a writing signed by the Company and the Rights Agent;
PROVIDED, HOWEVER, that from and after such time as any Person becomes an Acquiring Person, this Agreement shall not be amended in any manner which would adversely affect the interests of the holders of Rights (except the interests of any Acquiring
Person and its Affiliates and Associates). 
  
 Counterparts. 
  
 This Amendment No. 1 may be executed in any number of counterparts and each of such
counterparts shall for all purposes be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument. 
  
 IN WITNESS WHEREOF, the parties hereto have caused this Amendment No.1 to be duly executed and attested, effective as of February 7, 2005, the date of
execution hereof. 
  

 C-2 

					
	ATTEST:	 	SHUFFLE MASTER, INC.
			
	  

	 	By:	 	  

	Secretary	 	Its:	 	Chief Executive Officer
		
	ATTEST:	 	WELLS FARGO BANK, N.A.
			
	  

	 	By:	 	  

	 	 	Its:	 	  
  

  

 4Amendment To Subscriber Unit License Agreement And Dmss Software Agreements

 EXHIBIT 10.1 
  
 CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 Amendment to Subscriber Unit License Agreement 
 and DMSS Software Agreements
(the “Amendment”) 
  
 QUALCOMM Incorporated (“QUALCOMM”),
a Delaware corporation, and Axesstel, Inc. (“Axesstel” or “LICENSEE”), a California corporation, hereby agree to amend the following agreements between the Parties (i) that certain Subscriber Unit License Agreement dated November
14, 2000, as amended (collectively, the “License Agreement”); (ii) that certain DMSS5100 Software Agreement dated December 5, 2002, as amended (the “DMSS5100 Agreement”); and (ii) that certain DMSS5010 Software Agreement dated
November 26, 2003 (the “DMSS5010 Agreement”) as follows: 
  
 1. Headings And Definitions. 
  
 Unless
otherwise specified herein, capitalized terms used herein shall have the meanings specified in the License Agreement. Effective as of November 14, 2000, the following additional or modified terms shall have the meanings specified below: 

 
 “CDMA Modem Card” means a complete CDMA modem card or module which (i)
incorporates all or any part of QUALCOMM’s Intellectual Property, (ii) is capable of transmitting and receiving CDMA Wireless communications when attached to a Communications Device, and (iii) is for use with a “Communications
Device,” meaning either a telephone, personal computer, personal digital assistant, facsimile machine, monitoring device, multi-media terminal, data entry terminal, or point of sale terminal. The CDMA Modem Card must contain at a minimum a
printed circuit board, multiple individually packaged integrated circuit devices, and all of the circuitry necessary for the Communications Device to perform all of the CDMA reverse link modulation and CDMA forward link demodulation, baseband
processing, RF filtering, upconversion, downconversion, and protocol stack messaging; provided that a CDMA Modem Card shall not be capable of initiating and receiving Wireless communications without being attached to the Communications Device. A
CDMA Modem Card for use with a Communications Device includes a complete modem card or module and all attachments necessary to enable the Communications Device to transmit and receive Wireless communications when such CDMA Modem Card is attached to
such Communications Device. For purposes of clarification, a Communications Device Sold with a CDMA Modem Card embedded within such Communications Device and that is capable of transmitting and receiving Wireless communications without any
additional equipment or components being attached thereto is a Complete CDMA Telephone, not a CDMA Modem Card. 
  
 “Complete CDMA Telephone” means a complete CDMA telephone, including but not limited to fixed, mobile, transportable and portable telephones, which incorporates all or any part of QUALCOMM’s
Intellectual Property and can be used, without any additional equipment or components being attached thereto, to initiate and/or receive Wireless telecommunications transmissions in accordance with the CAI. 
  
 The definition of “Components” is hereby deleted and replaced with the following:

  
 “Components” means application specific integrated
circuits (ASICs), electronic devices, integrated circuits, including firmware thereon and accompanying or associated software, and/or families of devices for use in wireless telecommunications equipment. 
  

 -1- 

 CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 “Licensed Customer” means a person or entity that is licensed by QUALCOMM under any or all of QUALCOMM’s Intellectual Property to make and sell Subscriber
Units that comply with or implement one or more of the air interface standards included in the CAI (each such license agreement between QUALCOMM and a Licensed Customer shall hereinafter be referred to as an “LC License Agreement”).

  
 The definition of “Subscriber Unit” in the License Agreement is
hereby deleted and replaced with the following: 
  
 “Subscriber Unit” means a Complete CDMA Telephone or a CDMA Modem Card, and “Subscriber Units” means Complete CDMA Telephones and/or CDMA Modem Cards. 
  
 “Unlicensed Customer” means a person or entity that is not a Licensed Customer. 
  
 2. Wireless Applications. Effective as of November 14, 2000, the definitions of
“Wireless Local Loop” and “Wireless Local Loop Applications” in the License Agreement shall be deemed deleted and all references to such terms shall be replaced with the term “Wireless” or “Wireless
Applications,” as the case may be. 
  
 3. Up-Front License Fees. In
partial consideration of the rights granted to LICENSEE in this Amendment, LICENSEE shall pay to QUALCOMM a non-refundable up-front license fee in the amount of [***] U.S. Dollars (US$[***]) (the “Amendment Fee”) in accordance with the
following: (1) LICENSEE shall pay [***] US Dollars (US$[***]) of the Amendment Fee no later than [***] (the “First Payment Date”); and (2) LICENSEE shall pay [***] no later than [***] after the First Payment Date. 
  
 Notwithstanding the foregoing, in the event that LICENSEE begins to Market its Subscriber
Units as mobile (as opposed to fixed, limited-mobility, wireless local loop or terms of similar meaning) Subscriber Units, LICENSEE shall pay, at QUALCOMM’s sole option, the unpaid balance of the Amendment Fee to QUALCOMM in accordance with one
of the following payment schedules: (i) in accordance with the payment schedule set forth in the previous paragraph, or (ii) in [***] installments due no later than [***] (beginning with the calendar quarter in which LICENSEE first Markets its
Subscriber Units as mobile Subscriber Units) until the Amendment Fee is paid in full. The foregoing up-front license fees shall be in addition to all other up-front license fees previously paid by LICENSEE under the License Agreement. For purposes
of this Section 3, “Market” shall mean for LICENSEE to advertise or otherwise identify on its website, written marketing materials or product literature. 
  

 -2- 

 CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 4. QUALCOMM License. Effective as of November 14, 2000, Section 5.1 of the License Agreement is hereby deleted and replaced with the following new Section 5.1. The
following new Sections 5.1.2 and 5.1.3 are also hereby added to the License Agreement: 
  
 5.1 Grant of License From QUALCOMM. Subject to the terms and conditions of the License Agreement and this Amendment, including but
not limited to timely payment of the license fees and royalties set forth herein, QUALCOMM hereby grants to LICENSEE a personal, nontransferable (except as may otherwise be provided under Section 15 of the License Agreement), worldwide and
nonexclusive license under QUALCOMM’s Intellectual Property solely for Wireless Applications to (a) make (and have made), import, use, sell, lease and otherwise dispose of Subscriber Units, and (b) to make (and have made) Components (provided
such Components have been designed exclusively by LICENSEE and which design is owned and used exclusively by LICENSEE) and import, use and sell, lease and otherwise dispose of such Components but only if such Components are included as part of and
within complete Subscriber Units Sold by LICENSEE in accordance with this Section 5.1.2 (or as replacement parts for such Subscriber Units previously sold by LICENSEE). No other, further or different license is hereby granted or implied.
Notwithstanding anything in the foregoing, LICENSEE’s Sale of CDMA Modem Cards shall not convey to LICENSEE’s customers any right or license (express or implied) to any of QUALCOMM’s Intellectual Property that is not incorporated or
implemented entirely within LICENSEE’s CDMA Modem Cards, including with respect to any claim in any QUALCOMM patent covering the use of LICENSEE’s CDMA Modem Cards in combination with any other product or apparatus. 
  
 5.1.2 Sales to Licensed Customers. Notwithstanding
anything to the contrary in this Amendment or the License Agreement, the license granted by QUALCOMM to LICENSEE to sell, lease or otherwise dispose of Subscriber Units shall be limited to the Sale of such Subscriber Units solely to Unlicensed
Customers; provided that nothing herein shall be construed to prohibit LICENSEE from making for or Selling Subscriber Units to a Licensed Customer solely in accordance with the “have made” rights of such Licensed Customer as set forth in
such Licensed Customer’s LC License Agreement and no royalty shall be payable by LICENSEE under the License Agreement for such Sales to a Licensed Customer. Notwithstanding anything in the foregoing, nothing herein is (a) intended to modify or
amend the terms and conditions of any LC License Agreement, including but not limited to the scope of such Licensed Customer’s “have made” rights or the royalties payable thereunder or (b) imply that such Licensed Customer may deduct
the price or cost of any CDMA Modem Cards acquired by such Licensed Customer from the price upon which such Licensed Customer is obligated to compute and pay royalties to QUALCOMM under its LC License Agreement. LICENSEE hereby represents and
warrants that LICENSEE will not engage in any transaction(s) that facilitate the Sale, whether directly or indirectly, of any Subscriber Units to a Licensed Customer, except as expressly provided for in this Section 5.1.2. 
  
 5.1.3 Termination of License. The license granted by
QUALCOMM to LICENSEE under Section 5.1 above to Sell Subscriber Units to Unlicensed Customers shall continue with respect to any Unlicensed Customer only so long as such Unlicensed Customer and its Affiliates (as such term would be applied if such
Unlicensed Customer were a Party) do not assert (by way of 
  

 -3- 

 CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 litigation or a similar legal proceeding) any of their patents against QUALCOMM or its Affiliates for manufacturing, having manufactured, using,
importing, Selling, leasing or otherwise disposing of Subscriber Units or Components or against QUALCOMM’s and its Affiliates’ foundries or suppliers for manufacturing Subscriber Units or Components for, or selling Subscriber Units or
Components to, QUALCOMM or its Affiliates; provided, however, in the event of any such assertion by an Unlicensed Customer or its Affiliate, QUALCOMM shall provide written notice to such Unlicensed Customer and to LICENSEE (the “Notice”)
of its intent to terminate the license with respect to such Unlicensed Customer and shall not terminate such license with respect to such Unlicensed Customer in the event such Unlicensed Customer or its Affiliate withdraws its assertion in writing
to QUALCOMM within sixty (60) days of such Notice. In the event such Unlicensed Customer or its Affiliate does not withdraw such assertion within such sixty (60) days, then the license to Sell Subscriber Units to such Unlicensed Customer shall
terminate as of the date of the Notice and, to the extent such Unlicensed Customer’s or its Affiliate’s assertion seeks damages for infringement allegedly occurring prior to the date of the Notice, retroactively to the date of the first
allegedly infringing act. 
  
 5. Royalties. Effective as of November 14,
2000, Section 5.2 of the License Agreement is hereby deleted and replaced with the following new Sections 5.2 and 5.2.1. 
  
 5.2 Royalties. In partial consideration for such license from QUALCOMM, LICENSEE shall pay to QUALCOMM, within [***] days after the
end of each calendar quarter, an amount equal to the percentage set forth below of the Net Selling Price of each Subscriber Unit that is Sold during such calendar quarter by LICENSEE. The percentage of the Net Selling Price payable to QUALCOMM for
each Subscriber Unit Sold shall be determined each calendar quarter using the following schedule: 
  

	 	[***]	% If not more than [***] Subscriber Units are Sold in the applicable calendar quarter. 

  

	 	[***]	% If less than [***] but more than [***] Subscriber Units are Sold in the applicable calendar quarter. 

  

	 	[***]	% If less than [***] but more than [***] Subscriber Units are Sold in the applicable calendar quarter. 

  

	 	[***]	% If more than [***] Subscriber Units are Sold in the applicable calendar quarter. 

  
 Royalties shall be payable on Subscriber Units Sold by LICENSEE regardless of whether the use or incorporation of
QUALCOMM’s Intellectual Property arises from the use of one or more Components from whomsoever purchased by LICENSEE. 
  
 QUALCOMM will credit to LICENSEE the amount of any overpayment of royalties made hereunder in error provided that such overpayment is identified 

  

 -4- 

 
CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 and fully explained in a written notice from LICENSEE to QUALCOMM delivered no later than six (6) months after the due date of the payment which included such alleged overpayment, provided further that QUALCOMM is
able to verify to its own satisfaction the existence and extent of such overpayment. The foregoing procedure shall constitute the sole basis for LICENSEE to claim overpayments under this Agreement and shall not be affected by any statement appearing
on any check, royalty report, cover letter, or other document, except to the extent agreed upon by QUALCOMM in a writing signed by an authorized representative of QUALCOMM. 
  
 5.2.1. Minimum Royalty on CDMA Modem Cards. Notwithstanding the applicable royalty for the Sale of
any Subscriber Units that are CDMA Modem Cards applying the royalty rate under Section 5.2 above, in no event shall the actual royalty payable for each CDMA Modem Card Sold by LICENSEE or its sublicensed Affiliates to an Unlicensed Customer be an
amount that is less than (i) if LICENSEE has Sold at least [***] Complete CDMA Telephones in either the same calendar quarter or in any one of the [***] calendar quarters, the applicable royalty rate for such CDMA Modem Cards as determined by
Section 5.2 above multiplied by the average Net Selling Price of all Complete CDMA Telephones Sold by LICENSEE and/or its sublicensed Affiliates in the latest calendar quarter in which LICENSEE and/or its sublicensed Affiliates have Sold at least
[***] Complete CDMA Telephones in such calendar quarter, or (ii) if LICENSEE and/or its sublicensed Affiliates have not Sold at least [***] Complete CDMA Telephones in the same calendar quarter or in [***] calendar quarters, the “Minimum
Royalty” described in the following table: 
  

			
	 Year of Sale

	  	Minimum Royalty

	 2005
	  	$[***]
	 2006
	  	$[***]
	 2007 and thereafter
	  	$[***]

  
 6. [***] 
  
 7. LICENSEE Representation. Effective as of October 2, 2002, Section 2 of that certain
Representation Amendment to Subscriber Unit License Agreement dated October 2, 2002 between the Parties (which added a new Section 5.11 to the License Agreement) is hereby deleted. 
  
 8. Software Agreements. Effective as of December 5, 2002 for the DMSS5100 Agreement and November 26, 2003 for the DMSS5010 Agreement,
all references to the term “CDMA Modem Card” in the DMSS5100 Agreement and DMSS5010 Agreement shall be deemed deleted and replaced with the term Subscriber Unit (as defined in this Amendment). 
  
 9. Exhibit D. Exhibit D to the License Agreement is hereby deleted and replaced with
the new Exhibit D attached hereto. 
  

 -5- 

 CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 10. No Other Amendment or Modification. Except as expressly set forth in this Amendment, the License Agreement, DMSS5100 Agreement and DMSS5010 Agreement remain in
full force and effect without modification. The terms and conditions of this Amendment, the License Agreement, DMSS5100 Agreement and DMSS5010 Agreement shall not be modified or amended except by a writing signed by authorized representatives of
both Parties. 
  
 IN WITNESS WHEREOF, the Parties hereto have caused this
Amendment to be executed as of February 8, 2005 (the “Amendment Effective Date”). 
  

							
	QUALCOMM Incorporated	 	Axesstel, Inc.
				
	By:	  	 /s/ Marvin Blecker

	 	By:	 	 /s/ Lixin Cheng

	Printed Name:	  	Marvin Blecker	 	Printed Name:	 	Lixin Cheng
	Title:	  	Sr. VP & GM, Tech Licensing	 	Title:	 	President, Axesstel Wireless
	Date:	  	February 8, 2005	 	Date:	 	February 8, 2005

  

 -6- 

 CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED 
 AND FILED SEPARATELY WITH THE COMMISSION. 
  
 EXHIBIT D — CERTIFICATE 
  
 The undersigned official of Axesstel, Inc. (“LICENSEE”) is providing information to QUALCOMM pursuant to that certain Subscriber Unit License
Agreement entered into between LICENSEE and QUALCOMM (the “Agreement”). All capital terms used in this Certificate have the definitions ascribed to them in the Agreement. This Certificate reflects the Royalties payable by LICENSEE for the
calendar quarter ended:                     , 20    . 
  
 (Note: List Quarterly Sales to Purchaser aggregated only by model of Subscriber Unit) 
  

																											
	 GENERAL INFORMATION REGARDING “SALE”

	  	DETERMINATION OF
SELLING PRICE

	  	DEDUCTIBLE

	  	CALCULATION OF ROYALTIES

	 	  	 	  	 	 	 	 	 	  	 	 	 	  	  	Complete these columns only for sales to Unlicensed Customers

	Country of Sale by LICENSEE and Affiliates (e.g., if sold for use in the United States, state “sold for use in U.S.”)	  	Purchaser,
or if Sold
to Related
Buyer,
name of
Related
Buyer.	  	Type of
Customer
(i.e., either
Licensed or
Unlicensed)	 	Type of
Subscriber
Unit Sold (i.e.,
Complete
CDMA
Telephone or
CDMA
Modem Card,
and product
model)	 	Identify the
Subscriber
Unit as either
Voice Only,
Data Only,
or Voice +
Data	  	Common
Air
Interface
used by
Subscriber
Unit (e.g.,
IS-95,
cdma2000,
IS-856)	 	Number of
Subscriber
Units Sold	  	Selling Price paid by
Purchaser or charged
by final vendee
Related Buyer or, if
Subscriber Unit is
used by LICENSEE,
Selling Price that
would be
realized in
a sale to a Purchaser	  	Type of
Deductible
Item	  	Amount of
Deduction	  	Applicable
Net Selling
Price	  	Applicable
Royalty
Percentage	  	Minimum
Royalty
(CDMA
Modem
Cards
only)	 	Amount
of
Royalty
	Example Data for Certificate Completion
	
	Example Data for Certificate Completion

  
 TOTAL
ROYALTIES             
     DUE AND PAYABLE
$             
  
 The undersigned hereby certifies that the foregoing represents an accurate and complete record of all royalties due and payable by LICENSEE for the calendar quarter specified above. 
  

									
	 	 	Signature:	 	
	  	 	 	 
					
	 	 	Title:	 	
	  	Date:	 	__________

  

 -7-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}]]