Document:

Exhibit
10.7

TERM
LOAN AGREEMENT

This Term Loan Agreement (the “Agreement”) is
dated for reference purposes as of June 28, 2007, between THE
INVENTURE GROUP, INC., a Delaware corporation (as further defined
below, the “Borrower”) and U.S. BANK NATIONAL
ASSOCIATION, a national banking association (the “Bank”), with the
agreement and acknowledgement of all other Obligated Group Parties as to the
covenants, representations, and warranties set forth herein applicable to them
as part of the Obligated Group.

Unless
defined elsewhere in this Agreement, defined terms used herein have the
meanings given them in the Definitions Section hereof.

Factual
Background

A.            Bank has agreed to make a term  loan (the “Loan”) to Borrower in the principal
amount of Four Million and No/100 Dollars ($4,000,000.00) (the “Loan
Amount”). 
The Loan will be secured by, among other things, the lessee’s
interest in that certain Ground Lease wherein Lyle Rader, Sue Rader, Brad Rader
and Julie Newell (formerly known as Julie Rader) are the current lessors
(collectively, “Ground Lessor”) and RADER FARMS, INC.,
a Delaware corporation (“RFI”), is the current ground lessee, dated May 15,
2007 (the “Ground Lease”).  The Ground
Lease is also described in that certain Memorandum of Lease and Purchase Agreement,
and recorded May 17, 2007, as Instrument No. 2070502840, Official Records
of Whatcom County, Washington.  The
Ground Lease covers certain real property (the “Land”) owned by Ground Lessor,
consisting of approximately 736 acres of real property and located in Whatcom
County, Washington, as more particularly described in the attached Exhibit A, together with all
buildings, structures, and other Improvements now or hereafter located on the
Land, and certain other property. 
Borrower will use the Loan to
reimburse Borrower for funds used to acquire the Property that will
serve as collateral security for the Loan. 
Borrower is a holding company for several affiliated entities, and each
of the Obligated Group Parties (other than Borrower) is an Affiliate, and a
wholly owned subsidiary, of Borrower.

B.            Borrower is executing
a promissory note (the “Note”) payable to Bank evidencing the Loan.   The Loan is secured by a Leasehold Deed of
Trust with Assignment of Rents, Security Agreement, and Fixture Filing (the “Deed
of Trust”) covering the Land, the Improvements, and certain other property, and
is also secured by other Collateral.  The Credit Facilities, including the Loan and
the RLOC/TL Loan shall be cross-collateralized and cross-defaulted.  The RLOC/TL Security Agreement also secures
the Loan.  In this Agreement, the
term “Lessee’s Rights” means all of the
RFI’s right, title, and interest under the Ground Lease, including all
possessory rights to the Land, and all rights and interests of the RFI in all Improvements
now existing or hereafter located on the Land, and the term “Property” means
all or any part of the property affected by the Deed of Trust, or any interest
in all or any part of it, as the context requires, which includes but is not
limited to all of the Lessee’s Rights and all now existing or hereafter
acquired interests of RFI in and to the Land together with all Improvements now
or hereafter located on it.  As a
material condition and material consideration of Bank making the Loan to
Borrower, Bank has required that (i) Ground Lessor consent to the liens and
security interests under the Deed of Trust, and (ii) Ground Lessor and RFI
agree to certain other terms and conditions, including nondisturbance of the
Lessee’s Rights under the Ground Lease following a foreclosure under the Deed
of Trust, deed or assignment in lieu of foreclosure or similar action, and
certain clarifications to the Ground Lease required by Bank, pursuant to a
Ground Lessor’s Consent Agreement in form and substance mutually agreed between
Ground Lessor, RFI, Borrower, and Bank (the “Ground Lessor’s Consent”).

C.            The following parties
have each agreed to guarantee all or certain of Borrower’s obligations to Bank
in accordance with one or more Guaranties:

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(1)           LA COMETA PROPERTIES, INC., an Arizona
corporation (“La Cometa”);

(2)           POORE BROTHERS - BLUFFTON, LLC, a Delaware
limited liability company (the “PBB”);

(3)           TEJAS PB DISTRIBUTING, INC., an Arizona
corporation (“Tejas”);

(4)           BOULDER NATURAL FOODS, INC., an Arizona
corporation (“Boulder”);

(5)           BN FOODS INC., a Colorado corporation (“BN
Foods”); and

(6)           RFI  (i.e., RADER
FARMS, INC., a Delaware corporation).

Each of the Guarantors
described above is an Obligated Group Party (as such term is defined
below).  It is intended (i) that each
Obligated Group Party shall be liable for the Credit Facilities, directly or
indirectly, as a Borrower or as a Guarantor, (ii) that all business assets of
each Obligated Group Party shall be pledged to Bank as collateral for the
Credit Facilities, (iii) that the financial statements and other information
required of Borrower under this Agreement shall be prepared on a consolidated
basis to include all Obligated Group Parties, (iv) that all covenants of
Borrower shall be covenants of the Obligated Group Parties as applicable to the
appropriate Obligated Group Party(ies), and (v) that all representations and
warranties of Borrower shall be representations and warranties of the Obligated
Group Parties as applicable to the appropriate Obligated Group Party(ies).

D.            The Loan is due
and payable on July 1, 2017 (the “Maturity
Date”).

E.             This Agreement,
the Note, and the Deed of Trust, together with all of their exhibits, and all
other documents which evidence, guaranty, secure, or otherwise pertain to the Loan
collectively constitute the “Loan Documents.”

THEREFORE,
Bank and Borrower agree as follows:

Agreement

Definitions:  The following capitalized words and terms
shall have the meanings set forth in the “Factual Background” section above, or
if not defined therein, shall have the following meanings when used in this
Agreement.  All references to dollar
amounts shall mean amounts in lawful money of the United States of
America.  Words and terms used in the
singular shall include the plural, and the plural shall include the singular,
as the context may require.  The term “Guarantor,”
as used in this Agreement and the other Loan Documents shall apply only if any
such party exists, and should be ignored if inapplicable.

“Accelerating
Transfer” has the meaning set forth in the Deed of Trust.

“Account” means Borrower’s checking account number
151701212137 at Bank.

“Affiliate of”
or “affiliated with” means in control of, controlled by or under common
control with.

“Agricultural
Laws” means all existing and future laws relating to perishable
agricultural commodities, including but not limited to the Food Security Act, the Perishable Agricultural Commodities Act, and
all applicable state and federal agricultural laws.

“Agreement” means
this term loan agreement between Borrower and Bank.

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“Approved
Existing Liens” means, collectively, the liens set forth on Exhibit B attached hereto, and any
other lien on collateral for any Credit Facility approved in writing by Bank
from time to time.

“Approved  Existing
Lien Collateral” means collateral for any Credit Facility which is subject
to any Approved Existing Lien.

“BN Foods”
has the meaning set forth in Recital C
above.

“Bailee Letter”
has the meaning set forth in the RLOC/TL Loan Agreement.

“Boulder”
has the meaning set forth in Recital C
above.

“Borrower”
means the entity described in the introductory paragraph to this Agreement; provided,
however, that because RFI is the Ground Lessee under the Ground Lease
and the owner/holder of the Lessee’s Rights that are collateral for the Loan,
Borrower, and RFI by it’s signature below, each agrees that anywhere in this
Agreement where the obligation is related to or in connection with the Ground
Lease or the Property or any portion thereof, RFI shall comply with any such
obligation and Borrower shall also have the obligation to cause RFI to comply
with any such obligation.  If RFI does
not comply with any such obligation, then Borrower shall be obligated and
hereby agrees to timely perform such obligation in RFI’s stead.  Borrower and RFI agree that the
non-performance of such obligation by them shall constitute an Event of Default
under this Agreement.

“Borrowing Base”
has the meaning set forth in the RLOC/TL Loan Agreement.

“Borrowing Base Certificate” has the meaning set forth in
the RLOC/TL Loan Agreement.

“Borrower’s
Indemnity” means, collectively, all of Borrower’s obligations under each
indemnity by Borrower in favor of Bank and/or the Indemnified Parties relating
to Hazardous Substances, including but not limited to Borrower’s covenants,
warranties, and indemnification obligations set forth in any provisions
contained within the Loan Documents, and/or separate secured or unsecured
indemnity agreement, relating to Hazardous Substances executed by Borrower in
connection with the Loan, and specifically including that certain Indemnity
Agreement dated of even date herewith executed by Borrower in connection with
the Loan.

“Change in Control” means any transaction or series of
transactions that result in any transfer, direct or indirect, of fifty percent
(50%) or more of the voting power of Borrower or any Guarantor, or other power to
direct or cause the direction of the management and policies of Borrower or any Guarantor, as the case may be,
or fifty percent (50%) or more of the direct or indirect beneficial ownership
of Borrower  or any Guarantor, as the
case may be.

“Closing Date”
means the date of recordation of the Deed of Trust.

“Collateral”
means all real and/or personal property now or hereafter assigned, pledged, or hypothecated to Bank
as collateral security for the Loan.  The
Collateral includes all collateral covered under the Deed of Trust, and all
includes all personal property business assets of the Obligated Group now or hereafter assigned,
pledged, or hypothecated to Lender as collateral security for the Loan.

“Compliance Certificate” has the meaning set forth in Section 3.5 below.

“Covered by
Insurance” is when defense of a lawsuit has been tendered to the applicable
insurance carrier under a valid insurance policy that provides coverage with
respect to the claim and has a deductible amount of less than Two Hundred Fifty
Thousand and No/100 Dollars ($250,000.00), such insurance carrier has accepted
such tender of defense, and such insurance carrier proceeds with such 

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defense without
denying liability for any part of such claim which could result in liability of
Two Hundred Fifty Thousand and No/100 Dollars ($250,000.00) or more to Borrower
or any Guarantor.

“Credit
Facilities” means all extensions of credit from the Bank to Borrower
or any other Obligated Group Party, whether now existing or hereafter arising,
including but not limited to the Loan described in Recital A
above, and the RLOC/TL Loans (each, a “Credit Facility”).

“Deed of Trust”
has the meaning set forth in Recital B
above.

“Default Rate”
has the meaning given it in the Note; provided, however, that if
a default rate is not used or defined in the Note, “Default Rate” shall mean a
per annum interest rate of five percent (5%) in excess of the rate of interest
charged from time to time under the Note (the “Note Rate”); provided, however,
that if a default rate is not used or defined in the Note evidencing the Loan,
or if more than one Note Rate applies, the “Default Rate” shall mean a per
annum interest rate of five percent (5%) in excess of the highest Note Rate.

“EBITDA” means,
for the Obligated Group for the applicable period, net income, plus interest
expense, plus income tax expense, plus depreciation expense, plus
amortization expense.

“EBITDAR”
means, for the Obligated Group for the applicable period, net income, plus interest expense, plus income tax expense, plus depreciation expense, plus amortization expense, plus rent or lease expense.

“EDGAR System”
means the Electronic Data Gathering Analysis and Retrieval System owned and
operated by the United States Securities and Exchange Commission or any
replacement system.

“Eligible
Account” has the meaning set forth in the RLOC/TL Loan Agreement.

“Eligible
Finished Goods Inventory” has the meaning set forth in the RLOC/TL
Loan Agreement.

“Eligible Inventory” has the meaning
set forth in the RLOC/TL Loan Agreement.

“Eligible
Raw Materials Inventory” has the meaning set forth in the RLOC/TL
Loan Agreement.

“Events of
Default” means those events of default set forth in Section
7.1 (each, an “Event of Default”).

“Facility 1”
has the meaning set forth in Recital A
of the RLOC/Term Loan Agreement.

“Facility 2”
has the meaning set forth in Recital A
of the RLOC/Term Loan Agreement.

“Fixed Charge
Coverage Ratio” means, for the Obligated Group for the applicable period,
(a) EBITDAR minus cash taxes, cash dividends, and Maintenance Capital
Expenditures, divided by (b) the sum of all required principal payments
(on short and long term debt and capital leases), interest and rental or lease
expense.

“GAAP” means generally
accepted accounting principles, consistently applied.

“Grower Lien”
any lien on any collateral for any Credit Facility pursuant to PACA or any
other Agricultural Law.

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“Ground Lease” has the meaning set forth in Recital
A above.

“Ground Lease Default Notice” has the meaning
set forth in Section
4.2
below.

“Ground Lessor” has the meaning set forth in Recital
A above.

“Ground Lessor’s
Consent” has the meaning set forth in Recital B
above.

“Guarantor” means, each person or entity guaranteeing all
or any portion of Borrower’s obligations under the Loan Documents, or all or
any portion of any other party’s obligations under the Loan Documents, pursuant
to a Guaranty, including those parties described in Recital C
above (collectively, the “Guarantor” or “Guarantors”).  “Guarantor” also means any indemnitor under
any indemnity agreement.

“Guaranty”
means, each guaranty executed or required to be executed in favor of Bank in
connection with any of the Credit Facilities, including each continuing
guaranty, payment guaranty, payment and performance guaranty, or other guaranty
or indemnity agreement (collectively, the “Guaranty” or “Guaranties”).

“Home Page” means
Borrower’s corporate home page on the World Wide Web accessible through the
Internet via the universal resource locator (URL) identified as “www.inventuregroup.net”
or such other universal resource locator that Borrower shall designate in
writing to Bank as its corporate home page on the World Wide Web.

“Hazardous Substance”
means and includes any substance, material, or waste, including asbestos,
petroleum, and petroleum products (including crude oil), that is or becomes
designated, classified, or regulated as “toxic” or “hazardous” or a “pollutant,”
or that is or becomes similarly designated, classified, or regulated, under any
federal, state, or local law, regulation, or ordinance, but does not include
any such substance that is a customary and ordinary household, cleaning, or
office product used on the Property by Borrower or any tenant or agent of
Borrower, or customary construction materials used during the course of
construction of any Improvements on the Property by Borrower or it contractors,
provided such use is in accordance with applicable hazardous materials laws and
regulations.

“Improvements”
means all existing and hereafter constructed improvements to the Land.  All such Improvements shall be constructed
and maintained in accordance with the terms of the Ground Lease.

“Indemnified
Costs” means all actual or threatened liabilities, claims, actions, causes
of action, judgments, orders, damages (including foreseeable and unforeseeable
consequential damages), costs, expenses, fines, penalties and losses (including
sums paid in settlement of claims and all consultant, expert and legal fees and
expenses of Bank’s counsel), including those incurred in connection with any
investigation of site conditions or any clean-up, remedial, removal or
restoration work (whether of the Property or any other property), or any resulting
damages, harm, or injuries to the person or property of any third parties or to
any natural resources, excepting those arising out of, or resulting, solely
from the applicable Indemnified Party’s gross negligence or willful misconduct.

“Indemnified Parties,”
means Bank, its parent, subsidiary, and any affiliated companies, any assignees
of any of Bank’s interest in the Loan or the Loan Documents, any owners of
participation or other interests in the Loan or the Loan Documents, any
purchasers of all or any portion of the Property at any foreclosure sale or
from Bank or any of its affiliates, and the officers, directors, employees, and
agents of each of them (each individually, an “Indemnified Party”).

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“Initial Minimum TNW Amount” means Fourteen Million Seven
Hundred Fifty Thousand and No/100 Dollars ($14,750,000.00).

“Insolvency Payments” means all monetary obligations incurred or
accrued during the pendency of any Insolvency Proceeding regardless of whether
allowed or allowable in such proceeding.

“Insolvency
Proceeding” means any bankruptcy, receivership, or other voluntary or
involuntary proceeding, in or out of court, for the adjustment of
debtor-creditor relationships.

“La Cometa”
has the meaning set forth in Recital C
above.

“Land” has
the meaning set forth in Recital A
above.

“Lessee’s Rights” has the meaning set forth in Recital B above.

“Leverage Ratio”
means, for the Obligated Group, the relationship, expressed as a numerical
ratio, between:  (a) Total Funded Debt of
the Obligated Group, and (b)
EBITDA of the Obligated Group on
a rolling four (4) quarter basis, calculated at the end of each fiscal quarter,
using the results of that fiscal quarter and each of the three (3) immediately
preceding fiscal quarters.

“Loan” means the
loan being made available by Bank to Borrower pursuant to the terms of this
Agreement as described in Recital A
above.

“Loan Amount”
has the meaning set forth in Recital A
above.

“Loan Documents”
has the meaning set forth in Recital E
above.

“Maintenance Capital
Expenditures” means One Million Five Hundred Thousand and No/100 Dollars
($1,500,000.00).

“Maturity Date”
has the meaning set forth in Recital D
above.

“Maximum Loan-to-Value Ratio” means
the ratio of the Loan Amount to the Property Value.

“Minimum TNW Amount”
means, initially, the Initial Minimum TNW Amount; provided, however,
that Bank shall have the right to increase or decrease this Initial Minimum TNW
Amount as determined by Bank based upon the post-Rader Acquisition consolidated
balance sheet of Borrower that Borrower is required to promptly deliver to
Bank; provided further, however, that the Minimum TNW Amount
shall be increased annually, as of the end of each fiscal year of Borrower, by
an amount equal to fifty percent (50%) of Borrower’s consolidated positive net
income in accordance with GAAP.

“Net
Eligible Accounts” has the meaning set forth in the RLOC/TL Loan
Agreement.

“Net Monthly Cash Income” means all actual cash income received
from the Property during a calendar month less the actual operating expenses
incurred for or attributable to the Property, excluding amounts payable under
the Note.

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“Note” means that certain promissory note
described in  Recital
B  above
made by Borrower to the order of Bank in the Loan Amount, as amended, renewed,
restated, or replaced from time to time. 
“Notes” means, collectively, all promissory notes, instruments,
reimbursement agreements, or other contracts or agreements evidencing the terms
and conditions of the Obligations, including the “Note” described in  Recital
B  above, and
also including the Facility 1 Note and the Facility 2 Note.

“Obligations” or “obligations”
means all obligations,  indebtedness, and liabilities of
Borrower to Bank, or any of
Bank’s Affiliates, successors or assigns, of
every kind and nature, including but not limited to all loans, advances,
drafts, overdrafts, checks, promissory notes, and all other debts, liabilities,
and obligations of every kind owning by Borrower to Bank, whether direct or
indirect, voluntary or involuntary, due or not due, absolute or contingent,
liquidated or unliquidated, of the same or a different nature, whether now
existing or hereafter incurred or created, or whether incurred directly or
acquired by Bank by assignment or otherwise, including interest thereon and all
costs, expenses, and reasonable attorney’s fees (including the fees of in-house
counsel) paid or incurred by Bank at any time before or after judgment in
attempting to collect any of the foregoing, to realize on any collateral
securing any of the foregoing, to realize on any guaranty or indemnity executed
in connection with the foregoing, and to enforce this Agreement.  The “Obligations” specifically include, but
are not limited to, all indebtedness
of Borrower to Bank under the Loan
and under the Credit Facilities, and all advances made by Bank to or for the
benefit of Borrower thereunder, and Surrendered Payments.  In the event that Bank makes any Surrendered
Payment, including pursuant to a negotiated settlement, the Surrendered
Payments shall immediately and automatically without any further action
required on behalf of Bank or any other party, be reinstated as Obligations,
regardless of whether this Agreement has been terminated, cancelled, or
released pursuant to its terms or otherwise and regardless of whether Bank has
surrendered, terminated, cancelled, or released this Agreement prior to
returning any Surrendered Payments. 
Unless Borrower shall have otherwise agreed in writing, for the purposes
of this Agreement, “Obligations” shall not include “consumer credit” subject to
the disclosure requirements of the Federal Truth in Lending Act or any
regulations promulgated thereunder.

“Obligated Group”
and “Obligated Group Parties” shall mean, collectively, (a) Borrower,
(b) La Cometa, (c) PBB, (d) Tejas, (e) Boulder, (f) BN Foods, and (g) RFAC
(each, individually, an “Obligated Group Party”).

“PACA”
means the Perishable Agricultural
Commodities Act, as such may be amended, recodified, and in effect from
time to time.

“Patriot Act” has the meaning set forth in Section 9.26 below.

“PBB” has
the meaning set forth in Recital C
above

“Property”
has the meaning set forth in Recital B
above.

“Property Value” means the lower of (a)
the actual acquisition cost of the Land and existing Improvements as previously
disclosed by Borrower to Bank, or (b) the “as is” market value of the Land and
existing Improvements as determined by Bank using, as appropriate, a
methodology which (i) conforms to then-current regulatory
requirements, (ii) is considered by Bank to be reasonable and appropriate
under the circumstances, and (iii) takes into account then-current
market conditions, all as determined by Bank in its sole and absolute
discretion.

“Rader Acquisition”
means the acquisition by RFAC and/or the other Obligated Group Parties, of all
or a portion of the assets of RADER FARMS,
INC., which acquisition is being financed in part with the proceeds
of the Credit Facilities.

“Rader Acquisition
Assets” means all business assets of RADER
FARMS, INC. being acquired by RFAC and/or the other Obligated Group
Parties as part of the Rader Acquisition.

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“Requirements” has
the meaning set forth in Section 3.1.

“Reserve Account”
means each reserve or impound account established and thereafter maintained at
Bank in the name of Borrower, on and subject to such terms and conditions, and
at such interest rates, as Bank may offer to Borrower in connection with the
Loan (collectively, the “Reserve Accounts”).

“Reserve Deposit”
means each deposit of funds required pursuant to the Loan Documents to be made
into a Reserve Account (collectively, the “Reserve Deposits”).

“RFAC” has
the meaning set forth in Recital C
above

“RFAC Eligible
Inventory” has the meaning set forth in the RLOC/TL Loan Agreement.

“RLOC/TL Security
Agreement” means that certain Security Agreement (Blanket — All Business
Assets) dated as of May 16, 2007 executed by all Obligated Group Parties in
favor of Bank, which secures, among other things, (a) the Loan Agreement and
all obligations of Borrower in connection with the Loan, and (b) all obligations
of Borrower in connection with Facility 1 and Facility 2.

“RLOC/TL Loans”
means, collectively, Facility 1 and Facility 2, which Credit Facilities were
made available by Bank to Borrower pursuant to and as described in the RLOC/TL
Loan Agreement.  The Loan and the RLOC/TL Loans shall be
cross-collateralized and cross-defaulted.

“RLOC/TL Loan
Agreement” means that certain Loan Agreement (Revolving Line of Credit Loan and Term Loan) between Borrower and
Bank dated as of May 16, 2007 evidencing the RLOC/TL Loans, which RLOC/TL Loan
Agreement was made with the agreement and acknowledgement of all other
Obligated Group Parties as to the covenants, representations, and warranties
set forth therein applicable to them as part of the Obligated Group.

“RLOC/TL Loan Closing
Date” means May 17, 2007.

“RLOC/TL Loan
Documents” means all documents
which evidence, guarantee, secure, or otherwise pertain to the RLOC/TL Loans, including but not limited to the
RLOC/TL Loan Agreement, the RLOC/TL Security Agreement, and any other security instrument or agreement
securing the RLOC/TL Loan.

“Royalties Payable”
means, the aggregate of all accrued and unpaid royalties payable of the
Obligated Group as show on Borrower’s consolidated balance sheet.

“Security
Agreement” means any pledge, assignment, or grant of a security interest in
favor of Bank of all or any portion of the
Obligated Group’s assets, including the assignment and security interest
created in favor of Bank pursuant to that certain Security Agreement (Blanket - All Business Assets) dated
as of May 16, 2007 executed by each Obligated Group Party in favor of Bank
dated of even date herewith.  Each
Security Agreement shall be in form and substance acceptable to Bank.

“Subject Party” means, for any and all financial covenants
set for this Agreement, the subject party (i.e., Borrower, Guarantor, Obligated
Group, or other applicable party) or each subject party, as the context may
require, with respect the particular covenant.  For
any Subject Party who does not have a separate fiscal year end for tax
reporting purposes, the fiscal year will be deemed to be the calendar year.

“Surrendered
Payments” means, collectively, the
amount of any payments made to Bank or any other party on behalf of Borrower or
any other Obligated Group Party (including payments resulting from liquidation
of collateral) which are recovered from the Bank by a trustee, receiver,
creditor, or other party pursuant to applicable federal or state law.

 8
 

“Swap Contract”
means, individually and collectively, as the context may require, any rate lock agreement or interest rate
protection agreement, such as any rate lock agreement, interest rate swap
agreement, the International Swaps and Derivatives Association, Inc. Master
Agreement, or similar agreement or arrangements now existing or hereafter
entered into by Borrower and/or any other
Obligated Group Party and Bank in connection with one or more of the
Credit Facilities, to hedge the risk of variable rate interest volatility or
fluctuations in interest rates, as any such agreement or arrangement may be
modified, supplemented and in effect from time to time.

“Swap Payments”
has the meaning set forth in Section 6.1.

“Tangible
Net Worth” means (1) the total of all assets properly appearing on the
consolidated balance sheet of Borrower (i.e. of the Obligated Group) in
accordance with GAAP, less (2) the sum of (i) the book amount of all
such assets which would be treated as intangibles under GAAP, including,
without limitation, all such items as goodwill, trademarks, trademark rights,
trade names, trade name rights, brands, copyrights, patents, patent rights,
licenses, deferred charges and unamortized debt discount and expenses, (ii) any
write-up in the book value of any such assets resulting from a revaluation thereof
subsequent to the date of the Agreement, (iii) all reserves which have not
already been deducted in calculating total assets on Borrower’s consolidated
balance sheet, including reserves for depreciation, depletion, insurance, and
inventory valuation, but not including contingency reserves not
allocated for any particular purpose and not deducted from assets, (iv) the
amount, if any, at which any shares of stock of Borrower or any other Obligated
Group Party appear on the asset side of such balance sheet, (v) all liabilities
of Borrower or any other Obligated Group Party shown on such balance sheet,
(vi) all investments in foreign affiliates and non-consolidated domestic
affiliates, and (vii) all accounts or notes due to Borrower or any other
Obligated Group Party from any shareholder, director, officer, employee or
affiliate of Borrower or any other Obligated Group Party or from any relative
of such party.

“Tejas” has the
meaning set forth in Recital C
above.

“Third Party
Indemnity” means any indemnity agreement executed by a Guarantor or any
other third party in favor of Bank, including the indemnity in favor of Bank
pursuant to those certain Third Party Indemnity Agreements being executed by
each Guarantor in connection with the Loan.

“Total Funded Debt”
means, for the Obligated Group for the applicable period, the sum of (a)
outstanding borrowings under the Loan and the RLOC/TL Loans, plus (b) the face amount of issued
and outstanding letters of credit, plus (c)
the aggregate outstanding principal balance of all other indebtedness for
borrowed money, including capital lease obligations, plus
(d) the aggregate of all guaranties executed by Borrower or any other Obligated
Group Party.

“Unmatured
Event of Default” means an event that, with notice or the passage of time,
or both, could become an Event of Default.

1.             Conditions
Precedent to Closing and Disbursement.

1.1          Conditions to Closing
and Disbursements Upon Closing. 
Before Bank becomes obligated to close the Loan herein contemplated or
make any disbursement under this Agreement, the following closing conditions
shall have been satisfied at Borrower’s sole cost and expense in a manner
acceptable to Bank in its sole and absolute discretion. No waiver of any
closing condition is effective unless expressly made in writing by Bank.

(a)           Financial Statements
of Borrower and Other Financial Information.  Borrower shall have delivered to Bank all
financial statements and other financial information currently required under
the Loan Documents, certified as being true, correct, and complete in all
material respects by an authorized officer, manager, member, or general partner
of Borrower or other applicable parties.

 9
 

(b)           Organizational
Documents and Certificates.  Borrower
shall have delivered to Bank, for each party to each of the Loan Documents:

(i)            All
organization documents and evidence of due formation and good standing
requested by Bank.

(ii)           All
resolutions, certificates of authority, incumbency certificates, or other
evidence of authorization requested by Bank.

(iii)          Evidence of such party’s Federal Tax
Identification Number.

(iv)          An
Article 9 Certificate in form and substance acceptable to Bank.

(c)           Loan Documents and
Other Items.  Borrower shall have
duly executed or obtained the due execution of, and delivered to Bank, all Loan
Documents and other items required by Bank to be executed in connection with
the Loan, including but not limited to this Agreement, the Note, the Deed of Trust, the Guaranties, the Third
Party Indemnities, UCC-1 financing statements, and any and all other such
documentation otherwise required by Bank to fulfill the purposes of this
Agreement.

(d)           Security Interests
Perfected.  The Deed of Trust shall
have been duly recorded in a first-priority
lien position.  Bank’s security interest
in all personal property and fixtures described in the Deed of Trust shall have
been duly perfected in a first-priority
lien position.  Bank’s security interest
in all property pledged as collateral security for the Loan, as described in
one or more Security Agreements or other security instruments executed by
Borrower, and/or any third party pledgor, in favor of Bank, shall have been
duly perfected in a first-priority
lien position.

(e)           Title Insurance
Commitment.  Bank shall have received
a commitment to issue an ALTA extended coverage lender’s policy of title
insurance underwritten by a title insurance company approved by Bank in its
sole and absolute discretion in an amount not less than the Loan Amount and
insuring the lien of the Deed of Trust to be a first-priority lien on the Property, including the
Lessee’s Rights, subject only to such exceptions and conditions to title as
Bank has approved, and containing such endorsements as Bank may require, which
may include zoning, survey, access, parcel contiguity, variable rate,
environmental, tax parcel, and leasehold policy endorsements.  In addition, if required by Bank, one or more
other title insurance companies acceptable to Bank shall have issued such
coinsurance and/or reinsurance as Bank may require.  No title matter may be insured over by any
title company without the express written consent of Bank.  The final title insurance policy shall be
delivered to Bank within a reasonable time following the issuance of the title
insurance commitment.

(f)            Survey.  If requested by Bank, Borrower shall have
delivered to Bank an ALTA/ACSM survey of the Land and any existing Improvements
thereon certified to Bank and the title insurance company by a licensed land
surveyor and showing the location of all boundary lines, easements, rights of
way, and other matters affecting the Land. 
Such survey shall be certified by the land surveyor within ninety (90)
days of the Loan Closing Date.  Such
survey shall be sufficient for the deletion of the survey exception, if any,
from the Bank’s title insurance policy.

(g)           Flood Hazard
Evidence and Insurance.  Borrower
shall have provided Bank with evidence as to whether or not the Land or any
portion thereof is located in an area identified as having “special flood
hazards” as such term is defined in the federal Flood Disaster Protection Act
of 1973, as amended.  If any part of the
Improvements is in a special flood hazard area, Borrower shall have provided
Bank with a flood insurance policy as part of the insurance requirements of
this Agreement.

(h)           Insurance.  Borrower shall have provided evidence that
there is in effect all insurance required by Bank pursuant to this Agreement
and the other Loan Documents, written by 

 10
 

insurers, and in
form and in amount satisfactory to Bank. 
Borrower shall also have provided evidence that there is in effect all
insurance required by Bank pursuant to the RLOC/TL Loan Agreement and the other
RLOC/TL Loan Documents, written by insurers, and in form and in amount
satisfactory to Bank.

(i)            Taxes and Tax Service
Contract.  Borrower shall have
provided to Bank the tax identification number(s) assigned to the Land and
evidence that all taxes and assessments levied against or affecting the Land
have been paid current, or in the event Borrower has commenced a legal or
administrative challenge to any such tax or assessment, evidence that such
liability has been bonded over, or that funds for the payment thereof (in the
amount of the original assessment) have been escrowed with an independent third
party with provisions for the payment thereof satisfactory to Bank in its sole
and absolute discretion.  Borrower shall have provided to Bank, at Borrower’s
cost and expense, a tax service contract for the Land with a tax service
company, and containing terms and conditions, acceptable to Bank in its sole
and absolute discretion.  Additionally
if requested by Bank, Borrower shall also provide a sales tax clearance letter
from the appropriate taxing authority.

(j)            Appraisal.  Bank shall have received, reviewed and
approved, in Bank’s sole and absolute discretion, an MAI certified appraisal of the Property, performed in accordance with FIRREA and Bank’s appraisal requirements by
an appraiser selected and retained by Bank, in form and content
acceptable to Bank.

(k)           Environmental.  Bank shall have received, reviewed, and
approved, in Bank’s sole and absolute discretion, a Phase I Environmental Site
Assessment prepared by a licensed or registered environmental engineer or other
qualified party satisfactory to Bank, and the information set forth in it must
be acceptable to Bank.

(l)            Agreements Related
to the Property.  If requested by
Bank, Borrower shall provide Bank with copies of all ongoing agreements related
to the Property, including but not limited to all property management
agreements, all service contracts and warranties, all leases affecting the
Property, and such other Property-related information which Bank may reasonably
request.  All such agreements required by
Bank shall be in full force and effect.

(m)          Existing Leases;
Subordinations.  If there are any
leases of any part of the Property in
existence as of the loan closing date other than the Ground Lease (i) copies of
those leases must be delivered to and approved by Bank, and (ii) if
required by Bank, Bank shall have received fully executed estoppel
certificates, subordination agreements, and/or subordination, nondisturbance
and attornment agreements, in form and
substance acceptable to Bank.

(n)           Fees.  Borrower shall have paid to Bank, in
immediately available funds, all fees and costs called for under this Agreement
or by any Loan commitment letter.

(o)           Approval of Items.  Bank shall have approved or consented to, as
the case may be, all items required by Bank prior to the closing of the Loan
pursuant to this Agreement which are subject to the consent or approval of
Bank.  All contracts or agreements
included in such items shall be in full force and effect.

(p)           Zoning.  If required by Bank, Borrower shall have
provided to Bank evidence satisfactory to Bank in its sole and absolute
discretion that the Property is properly zoned for its intended use and that
any and all zoning stipulations have been complied with.

(q)           Condition of
Property. Unless otherwise agreed in writing by Bank, the Property and all
existing improvements thereon shall not be in need of immediate repairs (except
de minimis repairs), as determined by Bank in its sole and absolute discretion.

 11
 

(r)            No Default.  No event shall have
occurred and be continuing which would constitute a default or Event of Default
(as defined in the applicable document) or an Unmatured Event of Default under
any of the Loan Documents.

(s)           No Condemnation
Proceedings.  Neither the Property
nor any interest in it shall be affected by eminent domain or condemnation
proceedings.

(t)            Opinion Letters.  If required by Bank, Borrower has delivered
to Bank a favorable opinion from independent counsel, opining to such matters
as Bank may require, in form and substance satisfactory to Bank in its sole and
absolute discretion, by counsel acceptable to Bank for Borrower and/or any
other parties to the Loan Documents.

(u)           Miscellaneous.  Borrower shall have delivered to Bank any
other item reasonably deemed necessary by Bank and shall have fulfilled any
other condition reasonably required by Bank to fulfill the intention of this
Agreement and any Loan commitment issued to Borrower.

2.             Disbursement
Conditions and Procedures; Other Loan Terms.

2.1          Disbursement
Conditions, Amounts, and Procedures.

(a)           Single Disbursement.  Subject to the terms hereof, unless otherwise
agreed in writing by Bank, Bank shall disburse the Loan as a single
disbursement upon the closing of the Loan.

(b)           Debit of Loan at
Closing.  As of the day the Loan
closes, Bank is authorized to make payments on Borrower’s behalf by debiting
the Loan funds and disbursing such amounts to itself for all costs and expenses
payable by Borrower to Bank pursuant to the terms of this Agreement, if such
have not been received by Bank in immediately available funds directly from
Borrower’s own funds.  Such expenses
shall include but not be limited to: 
(i) legal fees and expenses of Bank’s counsel; (ii) loan administration
and documentation fees; (iii) appraisal fees, and, if applicable, appraisal
review fees; and (iv) and other fees and costs required to be paid to Bank by
Borrower under this Agreement.

(c)           Interest on
Disbursement.  Interest on the Loan
shall be payable from the time Bank debits the Loan funds in the amount of the
disbursement.

(d)           Use of Disbursements.  Borrower agrees to use disbursements solely
in conformity with the uses set forth above, except as otherwise provided
herein or agreed to in writing by Bank.

(c)           Debit of Loan at
Closing.  As of the day the Loan
closes, Bank is authorized to make payments on Borrower’s behalf by debiting
the Loan funds and disbursing such amounts to itself for all costs and expenses
payable by Borrower to Bank pursuant to the terms of this Agreement, if such
have not been received by Bank in immediately available funds directly from
Borrower’s own funds.  Such expenses
shall include but not be limited to: 
(i) legal fees and expenses of Bank’s counsel; (ii) loan administration
and documentation fees; (iii) appraisal fees, and, if applicable, appraisal
review fees; and (iv) other fees and costs required to be paid to Bank by
Borrower under this Agreement.

(f)            Interest on
Disbursement.  Interest on the Loan
shall be payable from the time Bank debits the Loan funds in the amount of the
disbursement.

2.2          Escrow for Loan
Closing; Fulfillment of Conditions.

(a)           Escrow for Loan Closing.    In connection with the Loan closing and the
disbursement of Loan proceeds by Bank under this Agreement, Bank, at its
option, may require that such 

 12
 

disbursement be made
through an escrow maintained with a title company or law firm acceptable to
Bank in its sole and absolute discretion, in accordance with escrow
instructions prepared by Bank.

(b)           Fulfillment of Conditions. Bank need not make any disbursement of the Loan
funds until Borrower fulfills all conditions of the Loan Documents, at Borrower’s sole cost and expense.  All
such conditions shall be satisfied at Borrower’s sole cost and expense.

(c)           Deferral of Conditions; Conditions
Subsequent.  If Borrower has not
fulfilled all closing and disbursement conditions prior to the date set for
closing the Loan, Bank, at its option, may close the Loan without disbursing
any Loan funds or may close the Loan and disburse some or all of the Loan funds
subject to Borrower’s compliance with any or all such condition(s) as conditions
subsequent to the Loan closing.  In such
event, Bank shall notify Borrower of the conditions subsequent that must be met
and the time period(s) within which Borrower is required to comply.  If no time period for compliance is specified
by Bank as to any condition subsequent, then Borrower shall comply with such
condition subsequent within thirty (30) days of the date of closing of the
Loan.  Failure of Borrower to comply with
all conditions subsequent within the applicable time periods shall be an Event
of Default hereunder.

2.3          Automatic
Deduction.  At Borrower’s
election, automatic deduction may be used to make payments under the Loan.  If Borrower so elects, then the following
shall apply:

(a)           Monthly Payments.  Borrower agrees that monthly payments on the
Loan will be deducted automatically on the due date from the Account.

(b)           Date of Debit.  Bank will debit the Account on the dates the
payments on the Loan become due.  If a
due date does not fall on a Banking Day (as such term is defined in the Note) ,
Bank will debit the Account on the first Banking Day following the due date.

(c)           Maintenance of Funds.  Borrower will maintain sufficient funds in
the Account on the dates Bank enters debits authorized by this Agreement.  If there are insufficient funds in the
Account on the date Bank enters any debit authorized by this Agreement, the
debit will be reversed.

(d)           Security.  Borrower hereby grants to Bank a security
interest in the Account, and any other accounts from which Borrower may
hereafter authorize Bank to debit payments due on the Loan, for the purpose of
securing the payment of amounts Bank is authorized to deduct from the Account
or such other accounts.

2.4          Collateral
Security.

(a)           Other Collateral.  In addition to the Property described above,
the Loan shall be secured by all of the following:

(i)            Personalty Related to the Land and Improvements.  A
first-priority lien on and
security interest in all equipment, furniture, fixtures, and materials to be
incorporated into any Improvements, and any other personal property owned by
Borrower located on or used in connection with the Land and Improvements; provided,
however, that as to any such property assets subject to an Approved
Existing Lien, Bank shall obtain a second-priority
security interest, subject only to the Approved Existing Lien.

(ii)           Contracts.  If requested by Bank, an
assignment of, and first-priority
security interest in and all development
contracts, management contracts, service and warranty contracts, and all other
agreements now or hereafter entered into by Borrower in connection with the
leasing, management, operation, or maintenance of Property, or for services on
or related to, the Property.

 13
 

(iii)          Business Assets.  A first-priority
security interest in all business assets of the Obligated Group, as more
particularly described in one or more Security Agreements; provided, however,
that as to any business assets subject to an Approved Existing Lien, Bank shall
obtain a second-priority
security interest, subject only to the Approved Existing Lien; provided
further, however, that with respect to any vehicles currently owned
by any being purchased as part of the Rader Acquisition Assets (as such term is
defined in the RLOC/TL Loan Agreement), no lien of Bank on the certificates of
title for such vehicles shall be required.

(iv)          Accounts.  An
assignment of, and first-priority
security interest in all of the following accounts (if any, whether opened
prior to, concurrently with, or subsequent to, the closing of the Loan), and
all funds contained or deposited therein: 
(A) the Account, and (B) all Reserve Accounts, is any.

(v)           Swap Contract Payments.  An
assignment of, a lien on, and first-priority
security interest in all payments due at any time and from time to time from
Bank to Borrower under any Swap Contract.

(b)           Release of
Collateral.  Unless otherwise agreed
in writing by Bank, Bank’s security interest in all collateral for the Loan
shall be released by Bank when the Loan has been paid and performed in full
unless such collateral also serves as collateral for other indebtedness of
Borrower or any other party to Bank; provided, however, that if
there is any conflict in the release terms contained in any security agreement,
assignment, or other security instrument as to the terms upon which the Bank’s
security interest in the collateral described in that document, or any portion
thereof, shall be terminated and/or released and the terms of this Section, the
terms of any such security agreement, assignment, or other security instrument
shall control and govern the collateral described therein.

(c)           Collateral Documents.  Borrower agrees to execute and/or authorize,
as the case may be, any and all documents, including security agreements and
financing statements, as Bank may reasonably request in order to create,
perfect, or continue the security interests described above.

(d)            Cross-Collateralization;
Payment Application.

(i)             Borrower
and each other Obligated Group Party understands and acknowledges that certain
collateral will secure both the Loan and the RLOC/TL Loans, and may secure
other Obligations, and thus the Loan and the RLOC/TL Loans (and any other
secured Obligations) will be cross-collateralized by such collateral.  Without limitation, at the closing of the
Loan, the Deed of Trust executed by Borrower covering the Property described
therein will cover all Obligations, including the Loan and the RLOC/TL Loans,
and thus the Loan and the RLOC/TL Loans will be cross-collateralized by such
collateral.  Additionally, the Security
Agreement(s) executed by Borrower and/or the other Obligated Group Parties at
or prior to the RLOC/TL Closing Date covering the collateral described therein
cover all Obligations, including the Loan and the RLOC/TL Loans, and thus the
Loan and the RLOC/TL Loans will be cross-collateralized by such collateral.

(ii)           Borrower
and each other Obligated Group Party agrees that all involuntary payments and
prepayments by liquidation of all or any portion of such collateral, through
foreclosure or otherwise, shall be applied to Borrower’s obligations under the
Loan Documents, and any other Obligations secured thereby, in such order and
manner as Bank shall determine in its sole and absolute discretion.

(iii)          Borrower and each other Obligated Group Party
understands and agrees that, unless otherwise agreed in writing by Bank, (i)
Bank may direct the order and manner of any sale of all or any part of the
collateral held for any Credit Facility, and Bank may also bid at any 

 14
 

such sale, and (ii) Bank may apply any proceeds of any collateral to
payment of the Loan and/or either of the RLOC/TL (and any other secured
Obligations) in such manner, order, and priority as Bank may elect, whether or
not those obligations are guaranteed by any Guaranty or secured by other
collateral at the time of the application.

(iv)         Each
of Borrower, RFAC, and each other Obligated Group Party understands and
acknowledges that, effective as of the Closing Date, (i) the Deed of Trust
encumbering the Property will secure the Loan and will also secure the RLOC/TL
Loans, thus the Loan and the RLOC/TL Loans will be cross-collateralized by the
Property, (ii) the Security Agreement(s) covering Borrower’s and each other
Obligated Group Party’s business assets, including the Rader Acquisition
Assets, will secure both the Loan and the RLOC/TL Loans (and other indebtedness
described therein), thus the Loan and the RLOC/TL Loans will also be
cross-collateralized by the collateral described in the Security
Agreement(s).  All other collateral for
the Loan, if any, will also secure the RLOC/TL Loans.  All other collateral for the RLOC/TL Loans,
if any, will also secure the Loan.

(v)          Each
of Borrower, RFAC, and each other Obligated Group Party agrees that all
involuntary payments and prepayments by liquidation of the Property, or any
portion thereof, as collateral under the Deed of Trust, through foreclosure or
otherwise, shall be applied (i) first, to Borrower’s obligations under the
Loan Documents; and (ii) then, to Borrower’s  obligations under the RLOC/TL Loan Documents
and any other Obligations secured thereby in such order and manner as Bank
shall determine in its sole and absolute discretion.

3.             Covenants
of Borrower.  Borrower
promises to keep each of the covenants set forth below, unless Bank has waived
compliance in writing.

3.1          Compliance with Law
and Ground Lease.  Borrower shall
comply, and shall cause RFI to comply, with all existing and future laws,
regulations, orders, building codes, restrictions and requirements of, and all
permits and approvals from, and agreements with and commitments to, all
governmental, judicial, or legal authorities having jurisdiction over the
Property, including those pertaining to the acquisition, ownership, management,
maintenance, operation, or enjoyment of the Property, and with all covenants
and restrictions and other title encumbrances affecting the Property, and with
the terms and conditions of the Ground Lease, and Borrower shall also comply
with all existing and future laws, regulations, orders, codes, restrictions,
and requirements of, and all permits and approvals from, and agreements with
and commitments to, all governmental, judicial, or legal authorities having
jurisdiction over Borrower’s business and other properties (collectively, the “Requirements”).

3.2          Taxes; Additional Costs.  Borrower
shall not deduct any taxes from any payments it makes to the Bank.  If any government authority imposes any taxes
on any payments made by Borrower, Borrower shall pay the taxes and shall also
pay to the Bank, at the time interest is paid, any additional amount which the
Bank specifies as necessary to preserve the after-tax yield the Bank would have
received if such taxes had not been imposed. 
Upon request by the Bank, the Borrower will confirm that it has paid the
taxes by giving the Bank official tax receipts (or notarized copies) within
thirty (30) days after the due date. 
However, the Borrower will not pay the Bank’s net income taxes.  Additionally, Borrower shall pay the Bank, on
demand, for the Bank’s costs or losses arising from any statute or regulation,
or any request or requirement of a regulatory agency.  The costs and losses (a) will be allocated to
the loan in a manner determined by the Bank, using any reasonable method, and
(b) include the following: (i) any reserve or deposit requirements, and (ii)
any capital requirements relating to the Bank’s assets and commitments for
credit.

3.3          Insurance.

(a)           Borrower
shall provide, maintain, and keep in force at all times prior to repayment of
the Loan:

 15
 

(i)            All-risk hazard
insurance covering the Property, reflecting coverage in an amount not less than
one hundred percent (100%) of the full insurable value of the Property on a
replacement cost basis, that includes (unless otherwise agreed in writing by
Bank): (A) a lender’s loss payable endorsement with a severability of interest
clause with a thirty (30) day notice to Bank in the event of cancellation,
non-renewal, or material change, (B) a replacement cost endorsement, (C) no
coinsurance clause, (D) boiler and machinery coverage, (E) vandalism and
malicious mischief coverage, (F) extra expense coverage and (G) loss of rents
insurance in an amount of not less than the greater of (1) 100% of one
year’s Rental Value of the Property or (2) to twelve (12) months’ principal and
interest payments, taxes, and insurance premiums relating to the Property.  For purposes hereof, “Rental Value” shall
include, as applicable (1) the total projected gross rental income from tenant
occupancy of the Property as set forth in any tenant leases, and any other
projections delivered to Bank, (2) the amount of all charges which are the
legal obligation of tenants and which would otherwise be the obligation of the
applicable Borrower, and (3) the fair rental value of any portion of the
Property which is occupied by Borrower, or any Affiliate of Borrower.

(ii)           Commercial
General Liability coverage with such limits as Bank may require.  This policy shall name Bank as an additional
insured.  Coverage shall be written on an
occurrence, not claims made, basis.  Initially
(i.e. as of the Closing Date), the Commercial General Liability insurance
coverage limits required are One Million and no/100 Dollars ($1,000,000.00) per
occurrence and Two Million and No/100
Dollars ($2,000,000.00) aggregate.

(b)           Borrower shall provide,
maintain, and keep in force at all times prior to repayment of the Loan, any
and all additional insurance Bank in its reasonable judgment may from time to
time require, against commonly insured hazards for similarly situated
properties.  Such additional insurance
may include flood insurance as required by federal law and earthquake and/or
sinkhole insurance as required by Bank. 
At Bank’s request, Borrower shall supply Bank with an original,
countersigned original, or certified copy of any policy.  All policies of insurance required under the
Loan Documents shall be issued by companies approved by Bank having an A.M.
Best’s rating acceptable to Bank, with limits, coverage, forms, deductibles,
inception and expiration dates and cancellation provisions acceptable to Bank,
and shall provide that all proceeds be payable to Bank to the extent of its
interest.  In addition, each required
property insurance policy shall contain a mortgagee clause or Lender’s Loss
Payable Form (Form CP1218 or equivalent) in favor of Bank, and any other
endorsements required by Bank, and shall provide that all proceeds be payable
to Bank to the extent of its interest. 
An approval by Bank is not, and may not be deemed to be, a
representation of the solvency of any insurer or the sufficiency of any amount
of insurance.  Each policy of insurance
required under the Loan Documents shall provide that it may not be modified or
canceled without at least thirty (30) days’ prior written notice to Bank.  When any required insurance policy expires,
Borrower shall furnish Bank with proof acceptable to Bank that the policy has
been reinstated or a new policy issued, continuing in force the insurance
covered by the expired policy.  Borrower
shall also furnish evidence satisfactory to Bank that all premiums for such
policy have been paid within thirty (30) days of renewal or issuance.  If Bank fails to receive such proof and
evidence, Bank has the right, but not the obligation, to obtain current
coverage and advance funds to pay the premiums for it.  Borrower shall repay Bank immediately on
demand for any advance for such premiums, which will be an additional loan to
Borrower bearing interest at the Default Rate and secured by the Deed of Trust
and any other collateral held by Bank in connection with the Loan.  As to all policies of insurance provided by
Borrower, Borrower shall be named as the insured and any additional insured
parties shall be subject to Bank’s approval. 
As to all policies of insurance provided by a third party other than
Borrower, Borrower shall be named as an additional insured.

3.4          Payment of Expenses.  Borrower shall pay Bank’s reasonable costs
and expenses incurred in connection with the making, disbursement, and
administration of the Loan.  Borrower
shall also pay any and all of Bank’s costs and expenses incurred in connection
with any revisions, extensions, renewals, or “workouts” of the Loan, and in the
exercise of any of Bank’s rights or remedies under this 

 16
 

Agreement.  Such costs and expenses include charges for
title insurance (including endorsements), filing, recording, and escrow
charges, fees for appraisal and appraisal review, environmental services,
mortgage taxes, document review and preparation, reasonable legal fees and
expenses of Bank’s counsel, and any other reasonable fees and costs for
services, regardless of whether such services are furnished by Bank’s employees
or agents or independent contractors. 
Borrower acknowledges that amounts payable under this Section are not
included in any loan or commitment fees for the Loan.  All such sums incurred by Bank and not
immediately reimbursed by Borrower will be considered an additional loan to
Borrower secured by the Deed of Trust and bearing interest at the Default Rate.

3.5          Financial and Other Information.  Borrower
and each other Obligated Group Party shall
keep true and correct financial books and records, using GAAP, or such other
accounting principles as Bank in its reasonable judgment may find acceptable
from time to time.  The financial
statements and other information required of Borrower under this Section shall
be prepared on a consolidated basis including all Obligated Group Parties.  Borrower,
and each other Obligated Group Party if applicable, shall provide to Bank the
following:

(a)           Annual
Financial Statements; Annual Report on Form 10-K.  Via
either the Edgar System, Borrower’s Home Page, or such other system acceptable
to Bank, within ninety (90)  days after the filing of Borrower’s Annual Report
on Form 10-K for the fiscal year then ended
with the Securities and Exchange Commission, the annual Independent
Registered Public Accounting Firm prepared
and audited financial statements for such fiscal year as contained in
such Annual Report on Form 10-K and,
as soon as it shall become available, the annual report to shareholders of
Borrower for the fiscal year then ended.

(b)           Interim Financial Statements; Quarterly
Report on Form 10-Q.  For each fiscal quarter other than the last
fiscal quarter of each fiscal year, via the Edgar System, Borrower’s Home Page,
or such other system acceptable to Bank, within forty-five (45) days after the
filing of its Quarterly Report on Form 10-Q for the fiscal quarter then ended with the Securities and Exchange Commission,
copies of the financial statements for such fiscal quarter as contained
in such Quarterly Report on Form 10-Q.

(c)           Other Reports.  Via the Edgar System,
Borrower’s Home Page, or such other system acceptable to Bank, promptly after
the same become publicly available, copies of all periodic reports, proxy
statements, and other materials filed by Borrower or any Affiliate of Borrower
with the Securities and Exchange Commission
or any governmental authority succeeding to any or all of the functions of the
Securities and Exchange Commission.

(d)           Compliance
Certificate.  Within forty-five (45)
days after the end of each fiscal quarter, a certificate in the form attached
hereto as Exhibit C (each,
a “Compliance Certificate”), executed by Borrower’s chief financial officer or
other officer or person acceptable to Bank, certifying (1) that the
Obligated Group is in compliance with the financial covenants set forth in this
agreement, including (i) the minimum Fixed Charge Coverage Ratio required under
Section 3.17, (ii) the
maximum Leverage Ratio required under Section
3.17, and (ii) the minimum Tangible Net Worth required under Section 3.17, (2) that the
representations and warranties set forth in the Agreement are true and correct
as of the date of the certificate, and (3) that, as of the date of the
certificate, no default or Event of Default, or Unmatured Event of Default, has
occurred and is continuing under this Agreement.

(e)           Agings of Accounts
Receivable Report.  Within thirty (30) days after the end of
each calendar month, the Obligated Group’s detailed aging by invoice date of
accounts and contracts receivable as of the last day of such monthly reporting
period, together with an explanation of any adjustments made at the end of such
period.

(f)            Accounts Payable
Report.  Not later than thirty (30)
days after the end of each calendar month, the Obligated Group’s detailed
accounts payable report as of the last day of such period, 

 17
 

together with an
explanation of any adjustments made at the end of such period.  Such detailed accounts payable report shall
include Royalties Payable.

(g)           Inventory Report.  Not later than thirty (30)  days after the end of each calendar month,
the Obligated Group’s detailed schedule of inventory, together with an
explanation of any adjustments made at the end of such period. Such detailed
inventory report shall include the total of all inventory of the Obligated
Group, and the portions of such total representing (i) Eligible Raw Material
Inventory, (ii) Eligible Finished Goods Inventory, and (iii) RFAC Eligible
Inventory.

(h)           Monthly Leadership
Financial Package.  Promptly upon the
request of Bank, Borrower’s monthly leadership financial package, together with
such related information as requested by Bank.

(i)            Other Information.  Promptly
upon the request of Bank, such other information as Bank may reasonably request
concerning the affairs and properties of Borrower and/or any other Obligated
Group Party.

Notwithstanding anything
in this Section to the contrary, if for any reason the Edgar System, Borrower’s
Home Page, and/or such other system acceptable to Bank are not available to
Borrower as is required for making available the financial statements or
reports referred to above, Borrower shall then furnish a copy of such financial
statements or reports to Bank.

By signing where
indicated below in this Agreement, the Obligated Group Parties hereby authorize
Borrower to represent, warrant, and certify on their behalf as to the financial
covenants and other items concerning the Obligated Group set forth in
Compliance Certificate and as to any other financial and other information
provided by Borrower to Bank concerning the Obligated Group and/or any
individual Obligated Group Party.

3.6          Audits.  Borrower shall allow Bank and its agents to
inspect Borrower’s properties and examine, audit, and make copies of Borrower’s
books and records at any reasonable time. 
If any of Borrower’s properties, books, or records are in the possession
of a third party, Borrower authorizes that third party to permit Bank or its
agents to have access to perform inspections or audits and to respond to Bank’s
requests for information concerning such properties, books and records.

3.7          Notices.  Borrower shall notify Bank promptly in
writing of any and all of the following:

(a)           Any existing and/or
threatened litigation, claims, investigations, administrative proceedings, and
similar actions affecting Borrower or any other Obligated Group Party where, if monetary in nature, the amount claimed
is or may be Two Hundred Fifty Thousand and No/100 Dollars ($250,000.00) or
more, and which (i) is not dismissed within sixty (60) days of the
filing thereof, and (ii) is not Covered by Insurance.

(b)           Any material adverse
change in Borrower’s or any Guarantor’s financial condition, any material
adverse change in Borrower’s any other Obligated Group Party’s operations, or
any other circumstance, event, or occurrence that results in a material adverse
change in Borrower’s or any Guarantor’s ability to timely perform any of its
obligations under any of the Loan Documents.

(c)            Any notice that Borrower’s
or any Guarantor’s business fails in any respect to comply with any
Requirement, and/or any material dispute
between Borrower and any Guarantor, or between Borrower or any Guarantor and
any government authority.

(d)            Any (i) material dispute between Borrower, or
other Obligated Group Party, and any third
party franchisor or licensor, where such party’s franchise or license is
material to Borrower’s or any 

 18
 

other Obligated Group
Party’s business, or (ii) any
default or breach under any franchise agreement
or license agreement to which Borrower or other Obligated Group Party is a party, where the franchise or license under
such agreement is material to Borrower’s or any other Obligated Group
Party’s business.

(e)            Any change in Borrower’s or any other Obligated
Group Party’s name, legal structure or
business structure, state in which
Borrower or any other Obligated
Group Party has filed its entity incorporation or organizational documents, and/or location of its place of business
or its chief executive office if it has more than one place of business,
Borrower’s or any other Obligated
Group Party’s organizational identification number assigned by the state of its
incorporation or organization, and/or any change in the location of Borrower’s or any other Obligated Group
Party’s books and records, all which are currently located at Borrower’s chief
executive office (except as otherwise disclosed in writing to Bank).

(f)             The institution of
any steps by Borrower or any other
Obligated Group Party to withdraw from or terminate any employee benefit plan
as to which Borrower or any other
Obligated Group Party may have liability.

(g)            Any Change in Control
or any change in the key management of Borrower.

(h)            Any default, Event of
Default, or Unmatured Event of Default under any of the Loan Documents by
Borrower or any other Obligated
Group Party and any alleged breach or default any of the Loan Documents by
Bank.

(i)            Any notice that any
collateral for the Loan is subject to any Grower Lien.

(j)            Any written or oral
communication Borrower or any other
Obligated Group Party receives from any governmental, judicial, or legal
authority giving notice of any claim or assertion that the Land or Improvements
fail in any respect to comply with any of the Requirements or any other
applicable governmental law.

(k)           Any
material adverse change in the physical condition of the Property (including
any damage suffered as a result of fire, earthquakes, or floods).

(l)            Any event that shall
have occurred and be continuing that would constitute a breach or default, or
that, with notice or the passage of time, or both, could become a breach or
default under the Ground Lease by any party thereto.

3.8          Keeping Guarantors
and Third Party Pledgors Informed. 
If the Loan is guaranteed, Borrower shall keep each Guarantor and/or
third party pledgor informed of Borrower’s financial condition and business
operations, the condition and all uses of the Property, including all changes
in condition or use, and any and all other circumstances that may affect
Borrower’s ability to pay or perform its obligations under the Loan
Documents.  However, any failure to do so
shall not give rise to any defense to Guarantor and/or any third party pledgor.

3.9          Use of
Proceeds.  Borrower
shall use the Loan for the purposes described in Recital A. above unless other wise agreed in writing by
Bank.

3.10        Performance of Acts.  Upon Bank’s request, Borrower shall perform
all acts necessary or advisable to perfect any lien or security interest
provided for in the Loan Documents or to carry out the intent of the Loan
Documents.

3.11        Maintenance of Properties; Preservation of Rights.  Borrower shall make any repairs, renewals, or replacements to keep the Borrower’s
properties in good working condition. 
Borrower shall 

 19
 

obtain, preserve and
maintain in good standing, as applicable, all rights, privileges and franchises
necessary or desirable for the operation of the Property and for the operation
of Borrower’s business.

3.12        Indemnity Regarding
Ownership of Property and Other Risks. 
Borrower indemnifies, defends, and holds the Indemnified Parties
harmless for, from, and against any and all actual or threatened liabilities,
claims, actions, causes of action, judgments, orders, damages (including
foreseeable and unforeseeable consequential damages), costs, expenses, fines,
penalties, and losses (including sums paid in settlement of claims and all
reasonable consultant, expert and legal fees and expenses of Bank’s counsel),
and any resulting damages, harm or injuries to the person or property of any
third parties, directly or indirectly arising out of or resulting from
(a)  the ownership, management, maintenance, operation, marketing,
leasing, sale, or use of the Property, as applicable, whether such claims are
based on theories of derivative liability, comparative negligence or otherwise,
(b) any development of or improvement to the Property, including any
defective workmanship or materials; (c) any failure to satisfy any requirements
of any laws, regulations, ordinances, governmental policies or standards,
reports, maps, development agreements, or regulatory agreements that apply or
pertain to the Property; (d) breach of any representation or warranty made or
given by Borrower to any of the Indemnified Parties or to any prospective or actual
lessee or buyer of all or any portion of the Property; and/or (e) any claim or
cause of action of any kind by any party that any Indemnified Party is liable
for any act or omission of Borrower or any other person or entity in connection
with the ownership, management, maintenance, operation, marketing, leasing,
sale, or use of the Property, or any development of or improvement to the
Property, excepting those arising out of, or resulting, solely from the
applicable Indemnified Party’s gross negligence or willful misconduct.  Notwithstanding, anything to the contrary in
any other Loan Document, the provisions of this Section shall survive the
termination of this Agreement, repayment of the Loan, and foreclosure of the
Deed of Trust or similar proceedings.

3.13        Other Debts.  Except as otherwise disclosed in writing to
Bank prior to the date of this Agreement or provided herein or in any other
Loan Document, without Bank’s prior written consent, Borrower and each
other Obligated Group Party agrees that it shall
not have outstanding or incur any direct or contingent debts or lease
obligations (other than those to Bank), or become liable for the debts of
others.  This does not prohibit:

(a)           Acquiring goods, supplies, or merchandise on normal trade credit.

(b)           Endorsing negotiable instruments received in the usual course of
business.

(c)           Debts, lines of credit, and/or leases in existence on the date of this
Agreement previously disclosed in writing to Bank.

3.14        Other Liens.  Except as otherwise disclosed in writing to
Bank prior to the date of this Agreement or provided herein or in any other
Loan Document, without Bank’s prior written consent, Borrower and each
other Obligated Group Party agrees that it shall
not create, assume, or allow any security interest or lien (including judicial
liens) on property such party now or later owns, except:

(a)           Deeds of trust and Security Agreements and other security instruments
in favor of Bank.

(b)           Liens for taxes not yet due.

(c)           Liens outstanding on the date of this Agreement previously disclosed in
writing to the Bank, which includes the Approved Existing Liens.

 20

3.15        Negative
Covenants.  Without Bank’s prior
written consent, Borrower and each
other Obligated Group Party agrees that it shall
not:

(a)           engage
in any business activities substantially different from such party’s present
business;

(b)           liquidate or dissolve
its business;

(c)           lease, sell, or
otherwise dispose of all or a substantial part of its business or  assets or sell or otherwise dispose of any
assets for less than fair market price, or sell or make any distribution of its assets that could adversely affect Borrower’s or
such party’s financial condition;

(d)           enter into any
consolidation, merger, pool, joint venture, syndicate or other combination;

(e)           enter into any sale and
leaseback agreement covering any of the fixed or capital assets of such party;

(f)            acquire or purchase a business or its assets;

(g)           cause, permit, or suffer any direct or indirect Change in Control in
Borrower or any other Obligated Group Party; or

(h)           make any loans, advances, or other extensions of credit to anyone.

3.16        Employee Benefit Plans;
ERISA Compliance.  Borrower and each other Obligated Group Party
shall at all times maintain, and cause each Guarantor to at all times maintain,
each employee benefit plan as to which Borrower, any other Obligated Group
Party, or any Guarantor, as the case may be, may have any liability, in
compliance with all applicable laws, rules, and regulations.  Borrower and each other Obligated Group Party
shall at all times comply with, and cause each Guarantor to comply with, the
provisions of ERISA with respect to any retirement or other employee benefit
plan to which it/they is/are a party as employer.  As soon as possible after Borrower or any
other Obligated Group Party knows, or has reason to know, that any Reportable
Event (as defined in ERISA) with respect to any such plan of Borrower, any
other Obligated Group Party, or any Guarantor has occurred, it shall furnish to
Bank a written statement setting forth details as to such Reportable Event and
the action, if any, which Borrower or the applicable other Obligated Group
Party or applicable Guarantor proposes to take with respect thereto, together
with a copy of the notice of such Reportable Event furnished to the Pension
Benefit Guaranty Corporation.

3.17         Financial
Covenants.  Financial
terms used herein which are not specifically defined herein shall have the
meanings ascribed to them under GAAP. 
Borrower and each other Obligated Group Party understands and
acknowledges that a default of any of the covenants set forth shall be an Event
of Default under this Agreement.

(a)           Fixed
Charge Coverage Ratio.  The Obligated Group shall maintain, and
Borrower shall cause the Obligated Group to maintain, a Fixed Charge Coverage
Ratio of at least  1.15 to 1.00.  This Fixed Charge Coverage Ratio shall be
tested quarterly (i) on a cumulative consolidated basis for the first four
quarters ending after the Closing Date, and (ii) thereafter, on a rolling four
(4) quarter basis, calculated at the end of each fiscal quarter, using the
results of that fiscal quarter and each of the three (3) immediately preceding
fiscal quarters.

 21
 

(b)           Leverage
Ratio.  The Obligated Group shall maintain,
and Borrower shall cause the Obligated Group to maintain, a Leverage Ratio as of the last day
of each fiscal year quarter beginning with fiscal quarter ended June, 30, 2008, of not more than  3.50 to 1.00.

(c)           Tangible Net Worth.  The Obligated Group shall maintain, and
Borrower shall cause the Obligated Group to maintain, Tangible Net Worth as of
June 30, 2007 of at least the Initial Minimum TNW Amount, and
thereafter, of at least the Minimum TNW Amount.

3.18        Site Visits.

(a)           Bank and its agents and
representatives shall have the right to enter and visit the Property at any
reasonable time for the purposes of observing or inspecting the Property,
performing an appraisal, taking soil or ground water samples, and conducting
tests, among other things to investigate for the presence of Hazardous
Substances.  Bank shall also have the
right to examine, copy and audit the books, records, accounting data and other
documents of Borrower. In each instance, Bank shall give Borrower reasonable
notice before entering the Property and make reasonable efforts to avoid
interfering with Borrower’s use of the Property when exercising any of the
rights granted in this Section.

(b)           Bank has
no duty to visit the Property, or to observe or inspect it, or to examine any
books or records.  Any site visit,
observation, or examination by Bank is solely for the purpose of protecting
Bank’s rights and interests.  No site
visit, observation, or examination by Bank shall impose any liability on Bank
or result in a waiver of any default of Borrower.  Neither Borrower nor any other party is
entitled to rely on any site visit, observation, or examination by Bank.  Bank owes no duty of care to protect Borrower
or any other party against, or to inform Borrower or any other party of, any
other adverse condition affecting the Property, including any defects in the
design or construction of any Improvements located on the Property, or the
presence of Hazardous Substances on the Property.  Bank shall not be obligated to disclose to
Borrower or any other party any report or findings made as a result of, or in
connection with, any site visit, observation, or examination by Bank.

(c)           Notwithstanding anything in this Agreement
or any other Loan Document to the contrary, Bank has required and Borrower
hereby agrees that after the Closing Date, (i) Borrower shall fully cooperate
with Bank’s RETECHS department and/or other Bank consultants to perform
additional testing as to the following items located on the Property:  (1) wells, (2) septic tank, and (3) area
where an underground storage tank was removed, and (ii) if requested by Bank
after such additional testing, Borrower shall also provide to Bank a report
prepared by a licensed or registered environmental engineer or other qualified
party satisfactory to Bank stating that no Hazardous Substances are present in,
on, under or around the Property and that no condition or circumstance warranting
further investigation or analysis exists in the opinion of the preparer of the
report.

3.19        No Construction;
Protection Against Lien Claims. 
Borrower shall not construct any Improvements on the Property without
the prior written consent of Bank in Bank’s sole and absolute discretion.  Borrower shall pay or otherwise discharge
promptly all claims and liens for labor done and materials and services
furnished in connection with the Property or the construction of any Improvements.  Borrower has the right to contest in good
faith any claim or lien, provided that it does so diligently and without
prejudice to Bank.  Promptly upon Bank’s
request, Borrower shall provide a bond, cash deposit, or other security
satisfactory to Bank in its sole and absolute discretion.

3.20        Appraisals.  If
required by Bank or if required by applicable law or regulations, Bank shall
have the right to order appraisals of the Property from time to time from an
appraiser selected by Bank, which appraisals shall comply with all federal and
state standards for appraisals and otherwise shall be satisfactory to Bank in
all material respects.  Borrower agrees
to pay the cost and expense for all such appraisals and reviews thereof ordered
by Bank pursuant to this Section when (a) an Event of Default has occurred
or an 

 22
 

Unmatured Event of Default has occurred and is continuing hereunder, or
(b) such appraisal or update is required by applicable law or regulation.

3.21        Tax Service Contract.  At Borrower’s sole expense, Bank shall be
furnished with a tax service contract issued by a tax-reporting agency
satisfactory to Bank with respect to the Land and Improvements.  Unless otherwise agreed in writing by Bank,
such tax service contract shall remain in place at all times prior to repayment
of the Loan.

3.22        Maintenance
and Repair.  Borrower shall (a)
maintain the Property, including the parking and landscaping portions thereof,
in good condition and repair, (b) promptly make all necessary structural
and non-structural repairs to the Improvements (or cause tenants under any
leases to perform such obligation), (c) not demolish, alter, remove, or add to
any Improvements, excepting (i) the repair and restoration of Improvements
following damage thereto as required by the Deed of Trust, (ii) the construction
or installation of non-structural alterations or improvements, provided the
same are in all respects consistent with the character and utility of the
existing Improvements, (iii) the installation or construction of tenant
improvements and related demolition in connection with any leases approved in
accordance with this Agreement, and (d) not erect any new buildings, structures
or building additions on the Land, without the prior written consent of Bank in
each instance.  Borrower shall pay when
due all claims for labor performed and materials furnished therefor in
connection with any improvements or construction activities.

3.23        Conditional Sales
Contracts; Removal of Fixtures and Equipment.  Without the Bank’s prior written consent,
Borrower shall not (a) purchase or contract for any materials, equipment,
furnishings, fixtures, or articles of personal property to be placed or
installed on the Land or any Improvements under any security agreement or other
agreement where the seller reserves or purports to reserve a lien, security
interest, or title thereto, or the right of removal or repossession after such
items are installed on or in the Property; or (b) remove or permit to be
removed from the Land or the Improvements any equipment, machinery, or fixtures
used in connection with the ownership, management, maintenance, operation, or
enjoyment thereof unless replaced by articles of equal suitability and value
owned by Borrower free and clear of any lien or security interest.

3.23        Income from Property.  Borrower shall first apply, and shall cause
RFI to apply, all income from leases, and all other income derived from the
Property, if any, to pay costs and expenses associated with the ownership,
maintenance, operation, and marketing of the Land and Improvements, including
all amounts then required to be paid under the Loan Documents and all payments
under the Ground Lease then due, before using or applying such income for any
other purpose.  Neither Borrower nor RFI
may distribute any income to any of its members, partners, or shareholders,
allow any member, partner, or shareholder to withdraw capital, or make any
payments on indebtedness owed to any member, partner, or shareholder, unless
all property expenses then due, including all payments under the Ground Lease
then due, have been paid in full.

3.24        Property
Management.  If any Property will be managed at any time
during the term of the Loan by a third party property manager, any property
manager must be a reputable and creditworthy property manager subject to the
prior approval of Bank, which approval shall not be unreasonably withheld, and
any property management agreement entered into with respect to any Property
must be in writing and be terminable upon no more than thirty (30) days written
notice without penalty or charge (other than for unpaid accrued management
fees), unless otherwise agreed in writing by Bank, and a copy any such property
management agreement shall promptly be provided by Borrower to Bank.

3.25        Restrictions.  Except as otherwise set forth herein,
Borrower shall not record any covenants, conditions, restrictions, or easements
(collectively, “Restrictions”), affecting all or part of the Property without
the prior written consent of Bank, in Bank’s sole and absolute discretion, in
each instance.  Borrower may submit to
Bank a proposed form of any covenants, conditions, restrictions and/or 

 23
 

easements affecting all
or part of the Property and may request Bank to approve and to subordinate the
Deed of Trust to such Restrictions.  Bank
has no obligation to grant such a request by Borrower.  However, Bank will consider and honor any
such request if it does not impair or affect the security of any obligation
evidenced by the Loan Documents, all as Bank may determine in its sole and
absolute discretion.  Borrower
acknowledges that delays may result from the approval process and agrees that,
so long as the delays are not unreasonable in duration, they shall not affect
Borrower’s obligations to timely perform any other requirement set forth in this
Agreement.  With respect to any
Restrictions which are recorded, upon Bank’s request, Borrower shall execute
and deliver to Bank an assignment of Borrower’s rights thereunder, in form and substance acceptable to Bank in its sole
and absolute discretion, as security for the performance of Borrower’s
obligations under the Loan Documents.

3.26        Reserve Accounts.  Upon the occurrence of an Event of Default
hereunder, at Bank’s option in its sole and absolute discretion, Bank may
require Borrower to establish and thereafter maintain one or more Reserve
Accounts, which may include (a) a replacement reserve account, (b) an operating
reserve account, and/or (c) a taxes and insurance reserve account.  Each Reserve Account shall be under the sole
dominion and exclusive control of Bank, and shall be pledged to Bank as
additional collateral security for the Loan. 
If Bank requires the establishment of any Reserve Accounts pursuant to
this Section, Bank shall determine in its sole and absolute discretion (i) any
initial deposit to be deposited by Borrower in each such Reserve Account, (ii)
any periodic deposits to be deposited by Borrower in each such Reserve Account,
and (iii) any other terms, conditions, and requirements applicable to each such
Reserve Account, and shall notify Borrower in writing of such terms,
conditions, and requirements, including deposit requirements, and Borrower
shall thereafter timely make all such Reserve Deposits.  Borrower, whenever and as often as it shall
be requested by Bank, shall execute, acknowledge, and deliver, or cause to be
executed, acknowledged, and delivered to Bank, such further instruments and
documents, and shall do any and all things, as may be reasonably requested by
Bank in order to (1) establish and maintain any Reserve Accounts required by
Bank pursuant to this Section, and/or (2) to create and perfect a collateral
security interest in all such Reserve Accounts in favor of Bank.

4.             Use of the
Property; Leases; Ground Lease.

4.1          Use
of the Property; Leases. 
Borrower shall not change, or allow RFI to change, Borrower’s or RFI’s
intended use of the Property without Bank’s prior written approval.  Neither Borrower nor RFI may lease or any
portion of the Property without Bank’s prior written consent, together with the
approval of all other parties whose consent is required. As to any lease of any
part of the Land or Improvements (which lease shall be approved by Bank), such
lease must be permitted pursuant to the terms of the Ground Lease, and if
Ground Lessor’s consent to or approval of any such lease is required pursuant
to the Ground Lease, such consent or approval shall first be obtained by
Borrower or RFI prior to the execution of any such lease (even if such lease
has been approved by Bank), and Borrower shall promptly deliver, or shall cause
RFI to promptly deliver, a copy of any such consent or approval to Bank.

4.2          Ground Lease.  As to the Ground Lease, (i) Borrower shall
have provided to Bank a true, correct, and complete copy of such Ground Lease,
including all amendments or modifications thereto and any agreements related
thereto, prior to the Closing Date, (ii) the Ground Lease is subject to Bank’s
review and approval in its sole and absolute discretion, (iii) for such Ground
Lease, Borrower shall obtain and deliver to Lender a Ground Lessor’s Consent
Agreement fully executed by the Ground Lessor, RFI, and, if required by Bank,
the Borrower in form and substance acceptable to Bank in its sole and absolute
discretion.  Borrower and RFI each agree
that notwithstanding anything in the Ground Lease to the contrary, RFI shall
not have the right to terminate, allow termination of, or consent to
termination of the Ground Lease for any reason whatsoever, without the prior
written consent of Bank.  Borrower and
RFI each agree further that they will promptly, and in no event later than
three (3) business days after RFI’s or Borrower’s receipt thereof, as the case
may be, deliver to Bank a copy of any notice of breach or default or any other
notice relating to RFI’s failure of any performance under the Ground Lease that
Borrower or RFI receives from Ground Lessor (each a “Ground Lease Default
Notice”).  Borrower and RFI each 

 24
 

understand that and
acknowledge that (i) the Lessee’s Rights will serve as the Bank’s primary
collateral security for the Loan; (ii) the Bank’s collateral security can be at
eliminated if the Ground Lease is terminated by Ground Lessor, and (iii) Bank
desires to have to the best opportunity to cure any such breach or default or
failure of performance to protect it’s security (although it is not obligated
to do so).  Therefore, it is a material
condition and a material consideration to Bank’s making and continuing the Loan
to Borrower that Borrower shall timely provide, or shall cause RFI to timely
provide, any Ground Lease Default Notice to Bank.  Borrower agrees that failure of Borrower or
RFI, as applicable, to timely provide any Ground Lease Default Notice to Bank
shall be an Event of Default hereunder.

5.             Representations
and Warranties.  Borrower
promises that each representation and warranty set forth below is and will be
true, accurate and correct as of the date of this Agreement, and, if
applicable, as of the date of any requested disbursement.

5.1          Authority;
Enforceability.  Borrower has
complied with any and all laws and regulations concerning their organization,
existence, and the transaction of their business.  RFI has the right and power to ground lease
the Land and the Improvements, own the Lessee’s Rights, and operate and
maintain the Land and Improvements as contemplated in the Loan Documents.  Borrower and each Guarantor is authorized to
execute, deliver, and perform its obligations under the Loan Documents.  Those documents are valid and binding
obligations of Borrower and each Guarantor, as applicable.

5.2          Compliance With Law.  Borrower, and RFI with respect to the Ground
Lease, is familiar and has complied with all of the Requirements, as well as
all other applicable laws, regulations, and ordinances.  No provision or obligation of Borrower or any
Guarantor contained in any of the Loan Documents violates any of the
Requirements or any order or ruling of any court or governmental entity.  No such provision or obligation conflicts
with, or constitutes a breach or default under, any agreement binding or regulating
the Property.

5.3          No Violation.  The execution and delivery of this Agreement
and the other Loan Documents and performance by Borrower of its obligations
hereunder and thereunder will not result in a default under any other material
agreement to which Borrower is a party.

5.4          No Claims.  No claims, actions, proceedings, or
investigations are pending against Borrower or affecting the Property or any
collateral for the Loan, except for those previously disclosed by Borrower to
Bank in writing.  To the best of Borrower’s
knowledge, no threat of any such claim, action, proceeding, or investigation
exists, except for those previously disclosed by Borrower to Bank in writing.

5.5          Financial and Other
Information.  All financial
information delivered to Bank, including all information relating to the
financial condition of (a) Borrower or any of its partners, shareholders, or
members (as applicable), (b) any Guarantor, and (c) the Property, fairly and
accurately represents the financial condition being reported on as of its
date.  All such information is prepared
in accordance with GAAP consistently applied, unless otherwise noted.  There has been no material adverse change in
the financial condition of any of the persons described above-reported at any
time to Bank, except as previously disclosed to Bank in writing in later
financial information and found acceptable to Bank in its sole and absolute
discretion.  Other than the Ground Lease,
there are no existing leases affecting the Property or any portion thereof or
interest therein.

5.6          Accuracy.  All reports, documents, instruments,
information, and forms of evidence delivered to Bank concerning the Loan or
required by this Agreement, any Loan commitment, and/or the other Loan
Documents are accurate, correct, and sufficiently complete to give Bank true
and accurate knowledge of their subject matter. 
None of them contains any misrepresentation or material omission.

 25
 

5.7          Taxes.  Borrower has filed all required state,
federal, and local income tax returns and has paid all taxes when due and
payable.  Borrower knows of no basis for
any additional assessment of taxes.

5.8          Borrower Not a “Foreign
Person”.  Borrower is not a “foreign
person” within the meaning of Section 1445(f)(3) of the Internal Revenue Code
of 1986, as amended from time to time.

5.9          No Breaches or
Defaults. No event has occurred and is continuing which would
constitute a default or Event of Default (as defined in the applicable
document) or an Unmatured Event of Default under any of the Loan Documents.  No event shall have occurred and be
continuing that would constitute a breach or default, or that, with notice or
the passage of time, or both, could become a breach or default under the Ground
Lease by any party thereto.

5.10        ERISA Plans.  Either:

(a)           Borrower is not a party in interest to any plan defined or regulated
under ERISA, and the assets of Borrower are not “plan assets” of any employee
benefit plan covered by ERISA or Section 4975 of the Internal Revenue
Code, or

(b)           If Borrower is a party in interest to a plan
defined or regulated under ERISA, then all of the following are true: (i)
the Borrower has fulfilled its obligations,
if any, under the minimum funding standards of ERISA and the Code with respect
to each Plan and is in compliance in all material respects with the presently
applicable provisions of ERISA and the Code, and has not incurred any liability
with respect to any Plan under Title IV of ERISA, (ii) no reportable event has
occurred under Section 4043(b) of ERISA for which the PBGC requires thirty (30)
days notice, (iii), no action by the Borrower to terminate or withdraw from any
Plan has been taken and no notice of intent to terminate a Plan has been filed
under Section 4041 of ERISA, and (iv) no proceeding has been commenced with
respect to a Plan under Section 4042 of ERISA, and no event has occurred or
condition exists which might constitute grounds for the commencement of such a
proceeding.

5.11        Disclosure to Guarantor
and Third Parties.  Before any
Guarantor and/or any other third party (if any) became obligated in connection
with the Loan or under any of the Loan Documents, Borrower made full disclosure
to that Guarantor and/or third party trustor or pledgor regarding Borrower’s
financial condition and business operations, the present and former condition,
uses, and ownership of the Property and all other circumstances bearing upon
Borrower’s ability to pay and perform its obligations under the Loan Documents.

6.             Swap Contract.  Borrower may elect to purchase from Bank a swap
for the Loan, which if purchased will be governed by a Swap Contract entered
into between Bank and Borrower.  Any such
Swap Contract is a “Loan Document.”  Capitalized terms used here without definition
shall have the meanings given to them in the Swap Contract.  With respect to any Swap
Contract entered into between Bank and Borrower, the following shall apply:

6.1          Swap Payments; Grant of Security Interest.  Under
the Swap Contract, Bank or Borrower may be obligated from time to time to make
certain payments (“Swap Payments”) to the other party.  Each Swap Payment to be made by Bank to
Borrower shall be collateral for the Loan. 
As security for the prompt payment and performance of the Loan,
and all obligations and indebtedness of Borrower to Bank under the Loan
Documents, and all renewals, extensions, modifications, amendments,
and/or supplements thereto, Borrower hereby irrevocably
and unconditionally assigns, grants, pledges, transfers, and sets over
to Bank, and there is hereby created a security interest in favor of Bank, in
and to each Swap Payment due from Bank to
Borrower, whether now or hereafter existing, and all proceeds thereof.

 26
 

6.2          No Assumption of Borrower’s
Obligations.  Borrower expressly understands and agrees
that Bank does not assume any duties or obligations of Borrower arising out of
the Note, any Swap Contract, or any other Loan Document.

7.             Default and
Remedies.

7.1          Events
of Default.  An Event of
Default will occur under this Agreement upon the occurrence of any of the
following events:

(a)           Borrower fails to make
any payment of principal or interest under the Note within ten (10) days after
the date when due; or

(b)           Borrower fails to
comply with any provision or covenant contained in this Agreement calling for
the payment of money and does not cure that failure within ten (10) days after
written notice from Bank; or

(c)           Borrower or any
Guarantor becomes insolvent or the subject of any Insolvency Proceeding, or any
such party consents to the appointment or taking of possession by a receiver
(or similar official) with respect to its business or property, or makes an
assignment for the benefit of creditors; provided, however, that
any involuntary Insolvency Proceeding shall not be considered an Event of
Default hereunder if it is either (i) consented to in writing by Bank, or
(ii) dismissed within ninety (90) days of the filing thereof; or

(d)           Borrower or any
Guarantor dissolves or liquidates, or any of these events happens to any
indemnitor hereunder or under any of the other Loan Documents (if any); or

(e)           An Accelerating
Transfer occurs; or

(f)            Any representation or
warranty when made or given in any of the Loan Documents proves to be false or
misleading in any material respect; or

(g)           A material adverse
change in Borrower’s or any Guarantor’s financial condition, or an event or
condition materially impairing RFI’s intended use of the Property, or Borrower’s
or any Guarantor’s ability to repay the Loan occurs; or

(h)           Borrower fails to meet
the conditions of, or fails to perform any obligation under, any other
agreement Borrower has with Bank or any affiliate of Bank; or

(i)            Any Guarantor fails to
meet the conditions of, or fails to perform any obligation under, any other
agreement any of Guarantor has with Bank or any affiliate of Bank (subject to
applicable notice and cure periods); or

(j)            Borrower defaults
under any agreement in connection with any credit in the amount of Twenty-Five Thousand and No/100 Dollars ($25,000.00)
or more that Borrower has obtained from anyone else if the default
consists of failing to make a payment when due or gives the other lender the
right to accelerate the obligation; or

(k)           Any Guarantor defaults
under any agreement in connection with any credit in the amount of Twenty-Five Thousand and No/100 Dollars ($25,000.00)
or more that Guarantor has obtained from anyone else if the default
consists of failing to make a payment when due or gives the other lender the
right to accelerate the obligation (each subject to applicable notice and cure
periods); or

 27
 

(l)            Any of the following
occurs:  (i) a lawsuit is filed against
Borrower or any Guarantor where the amount
claimed is Two Hundred Fifty Thousand and No/100 Dollars ($250,000.00) or more
and which (A) is not dismissed within sixty (60) days of the filing
thereof, and (B) is not Covered by Insurance, (ii) a judgment or judgments are
entered against Borrower or any Guarantor, or (iii) any government authority
takes action materially adversely affecting either (A) RFI’s rights under
the Ground Lease or intended use of the Land or Improvements, or
(B) Borrower’s or any Guarantor’s ability to repay the Loan; or

(m)          Bank fails to have an enforceable first-priority
lien on or first-priority
security interest in any property given as security for the Loan, except as
otherwise agreed by Bank in writing, and except for as to Approved Existing
Lien Collateral wherein it shall only be an Event of Default hereunder if Bank
fails to have an enforceable second-priority
lien on or second-priority
security interest in such collateral, subject only the applicable Approved
Existing Lien(s); or

(n)           Under
any of the Loan Documents, a default or an Event of Default (as defined in that
document, subject to applicable notice and cure periods) occurs.

(o)           The occurrence of any
one or more of the following events with respect to Borrower and/or any other Obligated Group Party,
provided such event or events could reasonably be expected, in the judgment of
the Bank, to subject Borrower and/or
any other Obligated Group Party to any tax, penalty, or liability (or
any combination of the foregoing) which, in the aggregate, could have a
material adverse effect on the financial condition of Borrower and/or any other Obligated Group Party with
respect to a Plan:  (i) a reportable
event shall occur with respect to a Plan which is, in the reasonable judgment
of the Bank, likely to result in the termination of such Plan for purposes of
Title IV of ERISA, or (ii) any Plan termination (or commencement of proceedings
to terminate a Plan) or the Borrower’s and/or
any other Obligated Group Party’s full or partial withdrawal from a
Plan; or

(p)           A default or an Event of Default (as
defined in the applicable document, subject to applicable notice and cure
periods) occurs under any Guaranty, or any
Guaranty becomes unenforceable for any reason, or any Guarantor purports to
revoke or terminate its Guaranty; or

(q)           Borrower
or the Obligated Group or any Obligated Group Party, as the case may be, has
failed to timely deliver to Bank any Compliance Certificate or Borrowing Base
Certificate, or (i) fails to maintain at least the minimum Fixed Charge
Coverage Ratio required under Section 3.17,
(ii) exceeds the maximum Leverage Ratio required under Section 3.17, or (iii) fails to
maintain at least the minimum Tangible Net Worth required under Section 3.17; or

(r)            Under
any Swap Contract, a default or an Event of Default (as defined in that
document, subject to applicable notice and cure periods) of Borrower occurs; or

(s)           Under any of the
RLOC/TL Loan Documents a default or an Event of Default (as defined in that
document, subject to applicable notice and cure periods) occurs; or

(t)            Under
the Ground Lease, a breach or default occurs and is not cured by the applicable
party within any applicable cure period, or Borrower and/or RFI, as the case
may be, fails to timely provide to Bank any Ground Lease Default Notice in
accordance with Section 4.2
above.

(u)           Borrower
and/or any other Obligated Group Party fails
to comply with any provision contained in this Agreement, other than those
events specifically referred to above and thus set out as separate Events of
Default in this Section 7.1.

 28
 

7.2          Remedies.

(a)           If an Event of Default
occurs under this Agreement, Bank may exercise any right or remedy under any of
the Loan Documents or otherwise available at law or in equity, and all of Bank’s
rights and remedies are cumulative.  If
any Event of Default occurs, Bank’s obligation to lend under the Loan Documents
automatically terminates, and Bank in its sole and absolute discretion may
withhold any one or more disbursements. 
Bank may also withhold any one or more disbursements after an Unmatured
Event of Default occurs and is continuing. 
By making a Loan disbursement, Bank will not be deemed to have waived
any Event of Default unless Bank agrees otherwise in writing in each instance.

(b)           If any Event of Default occurs, Bank shall have the right in its sole and
absolute discretion to enter the Property and take possession of it, whether in
person, by agent or by court-appointed receiver, collect rents and
otherwise protect its collateral and rights under the Loan Documents.  If Bank exercises any of the rights or
remedies provided in this Section, that exercise shall not make Bank a partner
or joint venturer of Borrower or RFI. 
All sums which are expended by Bank in preserving its collateral shall
be considered an additional loan to Borrower secured by the Deed of Trust and
bearing interest at the Default Rate, and shall be secured by the Deed of Trust
and any other collateral held by Bank in connection with the Loan.

(c)           If Borrower or any
other Obligated Group Party becomes the subject of any Insolvency Proceeding
(which, if an involuntary Insolvency Proceeding has not been (i) consented to
in writing by Bank, or (ii) dismissed within ninety (90) days of the filing
thereof), all of Borrower’s and the other Obligated Group Parties obligations
under the Loan Documents automatically become immediately due and payable upon
the filing of the petition commencing such proceeding, all without notice of
default, presentment or demand for payment, protest, or notice of nonpayment or
dishonor, or other notices or demands of any kind or character.  Upon the occurrence of any other Event of
Default, all of Borrower’s obligations under the Loan Documents may become due
and payable immediately without notice of default, presentment, or demand for
payment, protest, or notice of nonpayment or dishonor, or other notices or
demands of any kind or character, all at Bank’s option, exercisable in its sole
and absolute discretion.  If such
acceleration occurs, Bank may apply any undisbursed Loan funds and any sums in
the Account and/or any Reserve Account (if any) to Borrower’s obligations under
the Loan Documents, in any order and proportions as Bank may determine in its
sole and absolute discretion.

(d)           As security for the payment
and performance of all obligations of Borrower and the other Obligated
Group Parties under the Loan Documents, Borrower and each other Obligated Group
Party, each as the case may be, hereby grants Bank a security interest in, a
lien on, and an express contractual right to set off against all depository
account balances, cash, and any other property of Borrower and the other
Obligated Group Parties, respectively, now or hereafter in the possession or
control of Bank and the right to refuse to allow withdrawals from any
account.  Without limiting the foregoing,
the security interest granted herein and the right of setoff granted to Bank
hereunder is intended to cover and include the Account and/or any Reserve
Account (if any). Bank may, at any time upon the occurrence of any Event of
Default or Unmatured Event of Default under this Agreement or any other Loan
Document, setoff against any amounts outstanding under the Loan whether or not
the Loan or any portion thereof is then due or has been accelerated, all
without any advance or contemporaneous notice of demand of any kind to Borrower
or any other Obligated Group Party, such notice and demand being expressly
waived.

8.             Waiver of Jury
Trial.  TO THE EXTENT NOT PROHIBITED
BY APPLICABLE LAW, BORROWER, AND TO THE EXTENT APPLICABLE, EACH OTHER OBLIGATED
PARTY, HEREBY KNOWINGLY, VOLUNTARILY, AND INTENTIONALLY WAIVES ANY RIGHT TO
TRIAL BY JURY FOR ANY CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION BASED UPON OR
ARISING UNDER THIS AGREEMENT OR ANY OF THE LOAN DOCUMENTS OR ANY OF THE
TRANSACTIONS CONTEMPLATED THEREIN, OR IN ANY WAY CONNECTED WITH OR RELATED OR
INCIDENTAL 

 29
 

TO THE DISCUSSIONS, DEALINGS, OR
ACTIONS OF THE PARTIES TO THIS AGREEMENT OR EITHER OF THEM (WHETHER ORAL OR
WRITTEN) WITH RESPECT THERETO, OR TO THE TRANSACTIONS RELATED THERETO, IN EACH
CASE WHETHER NOW EXISTING OR HEREINAFTER ARISING, AT LAW OR IN EQUITY,
INCLUDING WITHOUT LIMITATION, CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY
CLAIMS, AND ALL OTHER COMMON LAW OR STATUTORY CLAIMS.  BORROWER AND EACH OTHER OBLIGATED PARTY,
HEREBY CONSENTS AND AGREES THAT ANY SUCH CLAIM, DEMAND, ACTION, OR CAUSE OF
ACTION SHALL BE DECIDED BY A TRIAL COURT WITHOUT A JURY, AND THAT EITHER PARTY
TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OR A COPY HEREOF WITH ANY
COURT AS WRITTEN EVIDENCE OF THE CONSENT OF BORROWER AND EACH OTHER OBLIGATED
PARTY TO THE WAIVER OF ITS RIGHT TO TRIAL BY JURY.  BORROWER AND EACH OTHER OBLIGATED PARTY,
ACKNOWLEDGES AND AGREES THAT IT HAS RECEIVED FULL AND SUFFICIENT CONSIDERATION
FOR THIS PROVISION (AND EACH OTHER PROVISION OF THIS AGREEMENT AND EACH OTHER
DOCUMENT TO WHICH IT IS A PARTY) AND THAT THIS PROVISION IS A MATERIAL
INDUCEMENT FOR BANK IN MAKING THE LOAN. 
BORROWER AND EACH OTHER OBLIGATED PARTY FURTHER REPRESENTS AND WARRANTS
THAT IT HAS BEEN REPRESENTED IN THE SIGNING OF THIS AGREEMENT AND IN THE MAKING
OF THIS WAIVER BY INDEPENDENT LEGAL COUNSEL, OR HAS HAD THE OPPORTUNITY TO BE
REPRESENTED BY INDEPENDENT LEGAL COUNSEL SELECTED OF ITS OWN FREE WILL, AND
THAT IT HAS HAD THE OPPORTUNITY TO DISCUSS THIS WAIVER WITH COUNSEL.

9.             Miscellaneous
Provisions.

9.1          No Waiver; Consents.  Each waiver by Bank must be in writing, and
no waiver may be construed as a continuing waiver.  No waiver shall be implied from Bank’s delay
in exercising or failure to exercise any right or remedy against Borrower or
any other Obligated Party or any Collateral. 
Bank’s consent to any act or omission by Borrower or any other Obligated
Party shall not be construed as a consent to any other or subsequent act or
omission or as a waiver of the requirement for Bank’s consent to be obtained in
any future or other instance.  All Bank’s
rights and remedies are cumulative.

9.2          Purpose and Effect of
Bank Approval.  Bank’s approval
of any matter in connection with the Loan is for the sole purpose of protecting
Bank’s security and rights.  No such
approval shall result in a waiver of any default of Borrower or any other
Obligated Group Party.  In no event shall
Bank’s approval be a representation of any kind with regard to the matter being
approved.

9.3          No Third Parties
Benefited.  This Agreement is
made and entered into for the sole protection and benefit of Bank and Borrower
and their permitted successors and assigns. 
No trust fund is created by this Agreement, and no other persons or
entities have any right of action under this Agreement or any right to the Loan
funds.

9.4          Joint and Several
Liability.  If more than one
person or entity executes this Agreement as Borrower, each shall be jointly and
severally liable to Bank for the faithful performance of the obligations of
Borrower under this Agreement and the other Loan Documents.

9.5          Notices.  All notices given under this Agreement shall
be in writing and be given by personal delivery, overnight receipted courier
(such as UPS, Airborne, or Federal Express) or by registered or certified
United States mail, postage prepaid, sent to the party at its address appearing
below its signature.  Notices shall be
effective upon the first to occur of receipt, when proper delivery is refused,
or the expiration of forty-eight (48) hours after deposit in registered or
certified United States mail as described above.  Addresses for notice may be changed by any
party by notice to any other party in accordance with this Section.  If more than one person or entity executes
this Agreement as Borrower, service of any notice on any one Borrower shall be
effective service on all Borrower parties for all purposes.

 30
 

9.6          Actions.  Bank shall have the right, but not the
obligation, to commence, appear in, and defend any action or proceeding that
might affect its security or its rights, duties, or liabilities relating to the
Loan, the Property, or any of the Loan Documents.  Borrower shall pay promptly on demand all of
Bank’s out-of-pocket costs, expenses, and reasonable legal fees and expenses of
Bank’s counsel incurred in those actions or proceedings.

9.7          Attorneys’ Fees.  In any lawsuit or arbitration arising out of
or relating to this Agreement, the Loan Documents, or the Loan, the prevailing
party will be entitled to recover from each other party such sums as the court
or arbitrator adjudges to be reasonable attorneys’ fees in the action or
arbitration, in addition to costs and expenses otherwise allowed by law.  In all other actions or proceedings,
including any matter arising out of or relating to any Insolvency Proceeding,
Borrower agrees to pay all of Bank’s costs and expenses, including reasonable
attorneys’ fees, incurred in enforcing or protecting Bank’s rights or
interests.  From the time(s) incurred
until paid in full to Bank, all such sums shall bear interest at the Default
Rate.  Whenever Borrower is obligated to
pay or reimburse Bank for any attorneys’ fees, those fees include the allocated
costs for services of in-house counsel, to the extent not prohibited by
applicable law.

9.8          Governing Law.  This Agreement shall be governed by, and
construed in accordance with, the laws of the State of Arizona, without regard
to the choice of law rules of that state, except to the extent that any of such
laws may now or hereafter be preempted by Federal law.  Borrower and each other Obligated Group Party
consents to the jurisdiction of any Federal or State court within the State of
Arizona, submits to venue in such state, and also consents to service of
process by any means authorized by Federal law or the law of such state.  Without
limiting the generality of the foregoing, Borrower and each other
Obligated Party hereby waives and agrees
not to assert by way of motion, defense, or otherwise in such suit, action, or
proceeding, any claim that (i) Borrower or any other Obligated Party is not subject to the jurisdiction of the courts
of the above-referenced state or the United States District Court for such
state, or (ii) such suit, action, or proceeding is brought in an inconvenient
forum, or (iii) the venue of such suit, action, or proceeding is improper.

9.9          Heirs, Successors,
and Assigns; Participations.  The
terms of this Agreement shall bind and benefit the heirs, legal
representatives, successors, and assigns of the parties; provided, however,
that Borrower may not assign this Agreement or any Loan funds, or assign or
delegate any of its rights or obligations, without the prior written consent of
Bank in each instance.  Bank in its sole
and absolute discretion may sell or assign the Loan or participations or other
interests in all or part of the Loan on the terms and subject to the conditions
of the Loan Documents, all without notice to or the consent of Borrower or any
other Obligated Group Party.  Also
without notice to or the consent of Borrower or any other Obligated Group
Party, Bank or its affiliates may disclose to any actual or prospective purchaser
of any securities issued or to be issued by Bank and to any actual or
prospective purchaser or assignee of any participation or other interest in the
Loan or any other loans made by Bank to Borrower or any other Obligated Group
Party (whether under this Agreement or otherwise), any financial or other
information, data or material in Bank’s possession relating to Borrower, any
partners of Borrower, the Loan, the Improvements, or the Property.

9.10        Relationships With
Other Bank Customers.  From time
to time, Bank may have business relationships with Borrower’s or any other
Obligated Group Party’s customers, suppliers, contractors, tenants, partners,
members, shareholders, officers, or directors, or with businesses offering
products or services similar to those of Borrower or any other Obligated Group
Party, or with persons seeking to invest in, borrow from, or lend to Borrower
or any other Obligated Group Party. 
Borrower and each other Obligated Group Party agrees that Bank may
extend credit to such parties and take any action it deems necessary to collect
the credit, regardless of the effect that such extension or collection of
credit may have on Borrower’s or any other Obligated Group Party’s financial
condition or operations.  Borrower and
each any other Obligated Group Party further agrees that in no event shall Bank
be obligated to 

 31
 

disclose to Borrower or
any other Obligated Group Party any information concerning any other Bank
customer.

9.11        Disclosure to Title
Company.  Without notice to or
the consent of Borrower or any other Obligated Group Party, Bank may disclose
to any title insurance company insuring any interest of Bank under the Deed of
Trust (whether as primary insurer, coinsurer or reinsurer) any information,
data, or material in Bank’s possession relating to Borrower, the other Obligated
Group Parties, the Loan, the Improvements, or the Property.

9.12        Improvement District.  Borrower shall not consent to, vote in favor
of, or directly or indirectly advocate or assist in, the incorporation of any
part of the Property into any improvement or community facilities district,
special assessment district or other district without Bank’s prior written
consent in each instance.

9.13        Restriction on Personal
Property.  Except for the
replacement of personal property made in the ordinary course of Borrower’s
business with items of equal or greater value, Borrower shall not sell, convey
or otherwise transfer or dispose of its interest in any personal property in
which Bank has a security interest, or contract to do any of the foregoing,
without the prior written consent of Bank in each instance.

9.14        Publicity.  Borrower hereby agrees that Bank, at its
expense, may publicize the financing of the Property and, in connection
therewith, may use the address, description and photographs or other illustrative
drawings of the Property.

9.15        Severability.  The invalidity or unenforceability of any one
or more provisions of this Agreement shall in no way affect any other
provision.  If any court of competent
jurisdiction determines any provision of this Agreement or any of the other
Loan Documents to be invalid, illegal or unenforceable, that portion shall be
deemed severed from the rest, which shall remain in full force and effect as
though the invalid, illegal or unenforceable portion had never been a part of
the Loan Documents.

9.16        Interpretation.  Whenever the context requires, all words used
in the singular shall be construed to have been used in the plural, and vice
versa, and each gender shall include any other gender.  The captions of the sections of this
Agreement are for convenience only and do not define or limit any terms or
provisions.  The word “include(s)” means “include(s),
without limitation,” and the word “including” means “including, but not limited
to.”  No listing of specific instances, items
or matters in any way limits the scope or generality of any language of this
Agreement.  Whenever any provision of
this Agreement, including any representation, covenant, or Event of Default
contained herein, applies to a guarantor, third party pledgor, or any other
party to any Loan Document other than Borrower, such provision only applies to
such party during the time that such party’s guaranty, pledge, or other Loan
Document, as applicable, remains in effect.

9.17        Amendments.  This Agreement may not be modified or amended
except by a written agreement signed by the party against whom enforcement is
sought.

9.18        Counterparts.  This Agreement and any attached consents or
exhibits requiring signatures may be executed in counterparts, and all
counterparts constitute but one and the same document.

9.19        Language of Agreement.  The language of this Agreement shall be
construed as a whole according to its fair meaning and not strictly for or
against any party.

 32
 

9.20        Exchange of Information.  Borrower and each other Obligated Group Party
agrees that Bank may exchange or disclose financial and other information about
Borrower, the other Obligated Group Parties, or the Property with or to any of
Bank’s affiliates or other related entities and with any party that acquires a
participation or other interest in all or part of the Loan.

9.21        Survival.  The representations, warranties,
acknowledgments, and agreements set forth herein shall survive the date of this
Agreement.

9.22        Further Performance.  Borrower and the other Obligated Group
Parties, whenever and as often as they shall be requested by Bank, shall
execute, acknowledge, and deliver, or cause to be executed, acknowledged, and
delivered to Bank, such further instruments and documents, and do any and all
things as may be requested, in order to carry out the intent and purpose of
this Agreement and the other Loan Documents.

9.23        Time is of the Essence.  Time is of the essence in the performance of
this Agreement and the other Loan Documents by Borrower and the other Obligated
Group Parties, and each and every term thereof.

9.24        Recitals; Exhibits.  The recitals to this Agreement set forth
above in the “Factual Background” are true, complete, accurate, and correct,
and such recitals are incorporated hereby by reference.  The exhibits to this Agreement are
incorporated hereby by reference.

9.25        Loan Commission.  Except as otherwise agreed in writing by
Bank:  (a) Bank shall not be obligated to
pay any brokerage commission or fee in connection with or arising out of the
Loan, and (b) Borrower shall pay any and all brokerage commissions or fees
arising out of or in connection with the Loan.

9.26        Patriot Act Provisions.  The following notification is provided to
Borrower pursuant to Section 326 of the USA Patriot Act of 2001, 31 U.S.C.
Section 5318 (as such maybe amended or recodified from time to time, the “Patriot
Act”):

(a)           Important
Information About Procedures for Opening a New Account.  To help the government fight the funding of
terrorism and money laundering activities, federal law requires all financial
institutions to obtain, verify, and record information that identifies each
person or entity that opens an account, including any deposit account, treasury
management account, loan, other extension of credit, or other financial
services product.  Borrower is hereby
notified that when Borrower opens an account, including but not limited to the
Account, and any reserve account that may be required pursuant to the terms of
this Agreement, (i) if Borrower is not an individual, Bank will ask for
Borrower’s name, taxpayer identification number, business address, and other
information that will allow Bank to identify Borrower, and may also ask to see
Borrower’s legal organizational documents or other identifying documents, and
(ii) if Borrower is an individual, Bank will ask for Borrower’s name, taxpayer
identification number, residential address, date of birth, and other
information that will allow Bank to identify Borrower, and may also ask to see
Borrower’s driver’s license or other identifying documents.

(b)           Government
Regulation.  Borrower shall not (a)
be or become subject at any time to any law, regulation, or list of any
government agency (including, without limitation, the U.S. Office of Foreign
Asset Control list) that prohibits or limits Bank from making any advance or
extension of credit to Borrower or from otherwise conducting business with
Borrower, or (b) fail to provide documentary and other evidence of Borrower’s
identity as may be requested by Bank at any time to enable Bank to verify
Borrower’s identity or to comply with any applicable law or regulation,
including, without limitation, Section 326 of the Patriot Act.

 33
 

9.27        Integration and
Relation to Loan Commitment.  The
Loan Documents (a) integrate all the terms and conditions mentioned in or
incidental to this Agreement, (b) supersede all oral negotiations and prior
writings with respect to their subject matter, including Bank’s loan commitment
to Borrower, and (c) are intended by the parties as the final expression
of the agreement with respect to the terms and conditions set forth in those
documents and as the complete and exclusive statement of the terms agreed to by
the parties.  No representation,
understanding, promise or condition shall be enforceable against any party
unless it is contained in the Loan Documents. 
If there is any conflict between the terms, conditions and provisions of
this Agreement and those of any other agreement or instrument, including any other
Loan Document, the terms, conditions and provisions of this Agreement shall
prevail.

(Remainder of page intentionally
left blank.  

See the following pages for signatories.)

 34
 

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

“BORROWER”

	
  THE INVENTURE GROUP, INC., 

  	
   

  	
  Address for notices to
  Borrower:  

  
	
  a Delaware corporation 

  	
   

  	
   

  
	
   

  	
   

  	
  The Inventure Group, Inc. 

  
	
  By: 

  	
  /s/ Eric J. Kufel 

  	
   

  	
   

  	
  5050 N. 40th Street,
  Suite 300 

  
	
   

  	
  Eric J. Kufel, its
  President/CEO

  	
   

  	
  Phoenix, Arizona 85018 

  
	
   

  	
   

  	
  Attention: Steve Weinberger

  
					

 

(Remainder of page intentionally
left blank.  

See the following pages for additional signatories.)

 35
 

“BANK”

	
  U.S. BANK NATIONAL ASSOCIATION, 

  	
   

  	
  Address for notices to Bank: 

  
	
  a national
  banking association 

  	
   

  	
  U.S. Bank National
  Association  

  
	
   

  	
   

  	
  101 North First Avenue, Suite 1600 

  
	
  By: 

  	
  /s/ Timothy Coffey 

  	
   

  	
  Phoenix, AZ  85003 

  
	
  Timothy Coffey,
  Vice President

  	
   

  	
  Attention: Commercial Banking

  
				

 

(Remainder of page intentionally
left blank.  

See the following pages for Obligated Group’s signatories.)

 36
 

ACKNOWLEDGED
AND AGREED TO THIS

                   
DAY OF JUNE, 2007:

“OBLIGATED GROUP”

	
  BN FOODS, INC.,
  a Colorado corporation 

  	
   

  	
  Address for notices to BN
  Foods: 

  
	
   

  	
   

  	
   

  
	
  By:
  

  	
  /s/ Eric J. Kufel 

  	
   

  	
  BN Foods, Inc. 

  
	
   

  	
  Eric
  J. Kufel, its President

  	
   

  	
  c/o The Inventure Group,
  Inc.

  5050 N. 40TH Street, Suite 300

  Phoenix, AZ 85018

  Attention: Steve Weinberger

  
	
   

  	
   

  	
   

  
	
  BOULDER NATURAL FOODS, INC., 

  	
   

  	
  Address for notices to Boulder:
  

  
	
  an Arizona corporation 

  	
   

  	
   

  
	
   

  	
   

  	
  Boulder Natural Foods, Inc. 

  
	
   

  	
   

  	
  c/o The Inventure Group,
  Inc.  

  
	
  By: 

  	
  /s/ Eric J. Kufel

  	
   

  	
  5050 N. 40TH Street, Suite 300 

  
	
   

  	
  Eric J. Kufel, its President

  	
   

  	
  Phoenix, AZ 85018 

  
	
   

  	
   

  	
  Attention: Steve Weinberger

  
	
   

  	
   

  	
   

  
	
  LA COMETA PROPERTIES, INC., an
  Arizona 

  	
   

  	
  Address for notices to La
  Cometa:  

  
	
  corporation 

  	
   

  	
   

  
	
   

  	
   

  	
  La Cometa Properties, Inc. 

  
	
   

  	
   

  	
  c/o The Inventure Group,
  Inc.  

  
	
  By:  

  	
  /s/ Eric J. Kufel

  	
   

  	
  5050 N. 40TH Street, Suite 300 

  
	
   

  	
  Eric J. Kufel, its President

  	
   

  	
  Phoenix, AZ 85018 

  
	
   

  	
   

  	
  Attention: Steve Weinberger

  
	
   

  	
   

  	
   

  
	
  POORE BROTHERS - BLUFFTON, LLC, 

  	
   

  	
  Address for notices to PBB:
  

  
	
  a Delaware limited liability company 

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Poore Brothers - Bluffton, LLC 

  
	
   

  	
   

  	
  c/o The Inventure Group,
  Inc. 

  
	
  By: 

  	
  /s/ Eric J. Kufel 

  	
   

  	
  5050 N. 40TH Street, Suite 300 

  
	
   

  	
  Eric
  J. Kufel, its Manager

  	
   

  	
  Phoenix, AZ 85018 

  
	
   

  	
   

  	
  Attention: Steve Weinberger

  
	
   

  	
   

  	
   

  
	
  RADER FARMS, INC., 

  	
   

  	
  Address for notices to Rader: 

  
	
  a Delaware corporation 

  	
   

  	
   

  
	
   

  	
   

  	
  Rader Farms, Inc. 

  
	
   

  	
   

  	
  c/o The Inventure Group,
  Inc. 

  
	
  By: 

  	
  /s/ Eric J. Kufel 

  	
   

  	
  5050 N. 40TH Street, Suite 300 

  
	
   

  	
  Eric
  J. Kufel, its President

  	
   

  	
  Phoenix, AZ 85018 

  
	
   

  	
   

  	
  Attention: Steve Weinberger

  
	
   

  	
   

  	
   

  
	
  TEJAS PB DISTRIBUTING, INC., 

  	
   

  	
  Address for notices to Tejas: 

  
	
  an Arizona corporation 

  	
   

  	
   

  
	
   

  	
   

  	
  Tejas PB Distributing, Inc. 

  
	
  By: 

  	
  /s/ Eric J. Kufel 

  	
   

  	
  c/o The Inventure Group,
  Inc. 

  
	
   

  	
  Eric J. Kufel, its President

  	
   

  	
  5050 N. 40TH Street, Suite 300 

  
	
   

  	
   

  	
  Phoenix, AZ 85018 

  
	
   

  	
   

  	
  Attention: Steve Weinberger

  

 

 37

EXHIBIT A

Description of Property

PARCEL A:

The North half of the
West half of the East half of the Northwest quarter (also known as Government
Lot 3) of Section 6, Township 40 North, Range 4 East of W.M.; Except the
North 420 feet of the East 332 feet thereof and except right of way for
Halverstick Road tying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL B:

The West three-fourths of
Government Lot 2 in Section 6, Township 40 North, Range 4 East of W.M.,
excepting a strip 16 feet wide along the West side thereof for road, and except
right of way for Halverstick Road No. 257, lying along the North line
thereof.  Also, the East half of the
Northeast quarter of the Northwest quarter (also known as Government Lot 3) of
Section 6, Township 40 North, Range 4 East of W.M.; (East half of Government
Lot 3).  Except right of way for
Halverstick Road No. 257, lying along the North line thereof;

Also, except that portion
of the East half of the Northeast quarter of the Northwest quarter (also known
as Government Lot 3) described as follows:

Beginning at the
Northwest corner of the East half of the Northeast quarter of the Northwest
quarter (also known as Government Lot 3); thence East 600 feet; thence South
363 feet; thence West 600 feet; thence North 363 feet to the point of
beginning; Less road.

Except also a tract of
land within Government Lot 2, also known as the Northwest quarter of the
Northeast quarter of Section 6, Township 40 North, Range 4 East of W.M., said
tract being more particularly described as follows:

Commencing at the
Northwest corner of said Government Lot 2; thence South 88°13’57” East along
the North line of said Government Lot 2 a distance of 313.45 feet to the true
point of beginning; thence South 02°40’29” West along an existing fence line
and its Southerly extension a distance of 642.79 feet; thence South 88°13’57”
East a distance of 681.43 feet to the West line of the East half of said
Government Lot 2; thence North 02°03’24” East along said West line a
distance of 642.72 feet to the North line of said Government Lot 2; thence
North 88°13’57” West along said North line a distance of 674.74 feet to the
true point of beginning;

Except the right-of-way
for Halverstick Road No. 257, lying along the Northerly line thereof.

Situate in Whatcom
County, Washington.

PARCEL C:

Government Lot 4 (the
Northwest quarter of the Northwest quarter) in Section 6, Township 40 North,
Range 4 East of W.M., excepting the East 20 acres thereof, and except right of
way for Halverstick Road, lying along the North line thereof.

Situate in Whatcom
County, Washington.

 1
 

PARCEL D:

The West half of the West
half of the Southeast quarter of the Northeast quarter of Section 1, Township
40 North, Range 3 East of W.M.

Also Government Lots 1
and 2, except right of way for Halverstick Road, lying along the North line
thereof;

Also the Southwest
quarter of the Northeast quarter, except that portion of Government Lot 2,
described as follows:

Beginning at the
Northeast corner of Government Lot 2; thence West 161 feet to the true point of
beginning; thence West 537 feet; thence South 140 feet; thence East 537 feet;
thence North 140 feet to the true point of beginning.

Except the South half of the Southwest quarter of the Northeast
quarter;

Except the Northeast quarter of the Southwest quarter of the Northeast
quarter;

Except the Southeast
quarter of the Northwest quarter of the Northeast quarter;

Also, except that portion
of Government Lot 2, described as follows:

The West 600 feet of the
North 363 feet of Government Lot 2:

Together with the South
200 feet of the South half of the Southwest quarter of the Northeast quarter;

And also except that
portion of Government Lot 2 of Section 1, Township
40 North, Range 3 East of W.M., described as follows:

Beginning at the Northeast
corner of said Government Lot 2; thence West 161 feet to the point of
beginning; thence South 140 feet; thence West 268.5 feet; thence South 33 feet;
thence East 304.5 feet; thence North 173 feet; thence West 36 feet to the true
point of beginning.

All situate in Whatcom
County, Washington.

PARCEL E:

The South half of the
Southwest quarter of the Northeast quarter, except the South 200 feet.  Together with the Northeast quarter of the
Southwest quarter of the Northeast quarter. Also together with the Southeast
quarter of the Northwest quarter of the Northeast quarter.

Also the East half of
Government Lot 3 and a tract 50 feet square in the Northeast corner of the
South half of the Northwest quarter, all in Section 1, Township 40 North, Range
3 East of W.M.

Except that portion of
the East half of Government Lot 3, described as follows:

The North 363 feet of the
East half of Government Lot 3, less roads.

Situate in Whatcom
County, Washington.

 2
 

PARCEL F:

Beginning at the
Northwest corner of the East half of the Northeast quarter of the Northwest
quarter (also known as Government Lot 3) Section 6, Township 40 North, Range 4
East, W.M.; thence East 600 feet; thence South 363 feet; thence West 600 feet;
thence North 363 feet to the point of beginning.

Except the right-of-way
for Halverstick Road, lying along the Northerly line thereof.

Situate in Whatcom
County, Washington.

PARCEL G:

The East 20 acres of
Government Lot 4, except the West 165 feet of the East 330 feet of the Worth
264 feet thereof, in Section 6, Township 40 North, Range 4 East of W.M.

Except right of way for
Halverstick Road, lying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL H:

The West 16 feet of
Government Lot 2 of Section 6, Township 40 North, Range 4 East of WM, except
the right-of-way for Halverstick Road, lying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL I:

The West 600 feet of the
North 363 feet of Government Lot 2 of Section 1, Township 40 North, Range 3
East of W.M.;

Except the right-of-way
for Halverstick Road, lying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL J:

The North 363 feet of the
East half of Government Lot 3 of Section 1, Township 40 North, Range 3 East of
W.M.

Except the right-of-way
for Halverstick Road, lying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL K:

The West 165 feet of the
East 330 feet of the North 264 feet of the East 20 acres of Government Lot 4,
Section 6, Township 40 North, Range 4 East of W.M., Whatcom County, Washington,
except right of way for Halverstick Road, lying along the Northerly line
thereof.

Situate in Whatcom
County, Washington.

 3
 

PARCEL L:

The South 555 feet
of the following described tract:

A tract of land situated
in the Northeast quarter of the Northeast quarter of Section 3, Township 40
North, Range 3 East of W.M., described as follows:

Commencing at a point 40
feet of the Northwest corner of the Northeast quarter of the Northeast quarter
of said Section 3; running thence East, a distance of 50 rods; thence South, a
distance of 48 rods; thence West, a distance of 50 rods; thence North, a
distance of 48 rods to the point of beginning. 
Except right-of-way for Halverstick Road.

Situate in Whatcom
County, Washington.

PARCEL M:

The East half of the
Northeast quarter of Section 3, Township 40 North, Range 3 East of W.M.; Except
the North 48 rods thereof; Except 40 feet of the West 50 rods thereof; And also
except the South half of the Southeast quarter of the Northeast quarter thereof;
And except right-of-way for Halverstick Road No. 419 lying along the North line
thereof.

Situate in Whatcom
County, Washington.

PARCEL N:

The North 15 acres of the
West 20 acres of the South half of the Southeast quarter of Section 9, Township
40 North, Range 3 East of W.M.; Except right-of-way for county road over the
East 20 feet as conveyed to Whatcom County by deed recorded August 14, 1908,
under Auditors File No. 123163; Except the right-of-way for East Badger Road
lying along the Southerly line thereof.

Situate in Whatcom
County, Washington.

PARCEL N-1:

An easement for ingress,
egress and utilities as disclosed by that certain instrument recorded
December 29, 1975. under Whatcom County Auditor’s File No. 1205059.

This easement is for the
benefit of Parcel N alone.

Situate in Whatcom
County, Washington.

PARCEL O:

The South half of the
Northwest quarter of the Southeast quarter of Section 9, Township 40 North,  Range 3 East of W.M.;
Except right-of-way for county road over the South 40 feet conveyed to Whatcom
County by deed recorded August 14, 1908, under Auditors File No. 123760.

Also, the Southwest
quarter of the Southeast quarter, except the West 20 acres thereof; And the
West half of the Southeast quarter of the Southeast quarter, except the East 3
acres of the Northwest quarter of the Southeast quarter of the Southeast
quarter; And except the North 150 feet of the East 150 feet of the Southwest
quarter of the Southeast quarter of the Southeast quarter; And except the East
16 feet of the 

 4
 

Southwest quarter of the
Southeast quarter of the Southeast quarter; And except right-of-way for East
Badger Road No. 408 lying along the South line thereof.  All in said Section 9.

Situate in Whatcom
County, Washington.

PARCEL P:

The West 10 acres of the
following described tract:

The North half of the
Northeast quarter of the Southeast quarter, and the North 30 feet of the South
half of the Northeast quarter of the Southeast quarter of Section 9, Township
40 North, Range 3 East of W.M., also, excepting therefrom the right-of-way for
Haveman Road lying along the Northerly line thereof.

Situate in Whatcom
County, Washington.

PARCEL Q:

The North 150 feet of the
East 150 feet of the Southwest quarter of the Southeast quarter of the
Southeast quarter, and the East 16 feet of the Southwest quarter of the
Southeast quarter of the Southeast quarter; Except right-of-way for East Badger
Road No. 408 lying along the South line thereof, in Section 9, Township 40
North, Range 3 East of W.M. Except that portion conveyed to the State of
Washington for highway purposes by deed recorded July 27, 1989, under Auditor’s
File No. 1641973.

Situate in Whatcom
County, Washington.

PARCEL R:

The South 203 feet of the
Northeast quarter of the Southeast quarter of the Southeast quarter and the
South 203 feet of the East 3 acres of the Northwest quarter of the Southeast
quarter of the Southeast quarter, all in Section 9, Township 40 North, Range 3
East of W.M., except the East 450 feet thereof.

Situate in Whatcom
County, Washington.

PARCEL S:

The Northeast quarter of
the Southeast quarter of the Southeast quarter and the East 3 acres of the
Northwest quarter of the Southeast quarter of the Southeast quarter, all in
Section 9, Township 40 North, Range 3 East of W.M., excepting therefrom the South
203 feet of the Northeast quarter of the Southeast quarter of the Southeast
quarter, and the South 203 feet of the East 3 acres of the Northwest quarter of
the Southeast quarter of the Southeast quarter of said section. Except the East
450 feet thereof, Except the right-of-way for Line Road tying along the
Easterly line thereof.

Situate in Whatcom
County, Washington.

PARCEL S-1:

An easement for the
perpetual benefit of the present and successive owners of the above-described
property for ingress, egress and utilities over, under and across the following
described property:

The North 60 feet of the
East 450 feet of the following described property:

 5
 

The Northeast quarter of
the Southeast quarter of the Southeast quarter, and the East 3 acres of the
Northwest quarter of the Southeast quarter of the Southeast quarter, all in
Section 9, Township 40 North, Range 3 East of W.M., excepting therefrom the
South 203 feet of the Northeast quarter of the Southeast quarter of the
Southeast quarter, and the South 203 feet of the East 3 acres of the Northwest
quarter of the Southeast quarter of the Southeast quarter of said section.  Except right-of-way for Line Road lying along
the East line thereof.

Situate in Whatcom
County, Washington.

PARCEL T:

That portion of the following
described tract of land lying West of a line being a Northerly extension of the
West line of the tract of land conveyed by deed recorded April 12, 1988, under
Auditors File No. 1599600, more particularly described as follows:

The North half of the Northeast
quarter of the Southeast quarter, and the North 30 feet of the South half of
the Northeast quarter of the Southeast quarter of Section 9, Township 40 North,
Range 3 East of W.M., excepting therefrom those parcels of land conveyed to
deeds on May 11, 1972, April 29, 1977, February 20, 1980, March 13, 1986,
and April 12, 1988, under Auditor’s File Nos. 1114731, 1250007, 1350015,
1531510 and 1599600, respectively.  Also
excepting thereof the rights-of-way for Haveman Road lying along the Northerly
line thereof, and Line Road lying along the Easterly line thereof. Also, except
the West 10 acres thereof.

Situate in Whatcom
County, Washington.

PARCEL U:

The Southeast quarter of
the Southeast quarter of the Southeast quarter of Section 9, Township 40 North,
Range 3 East of W.M., except right-of-way for East Badger Road No. 408 lying
along the South line thereof, and except right-of-way for Line Road No. 149
lying along the East line thereof. Also, except those portions deeded to the
State of Washington for highway purposes recorded June 27, 1989 under Auditor’s
File Nos. 1641973 and 1641974, respectively.

Situate in Whatcom
County, Washington.

PARCEL V:

Beginning at the
Southwest corner of Section 10, Township 40 North, Range 3 East of W.M.; thence
East 365 feet; thence North 600 feet; thence West 365 feet to the West section
line; thence South 600 feet along the West section line to the point of
beginning. Except the right-of-way for East Badger Road lying along the
Southerly line thereof, and also except the right-of-way for Line Road lying
along the Westerly line thereof.  Except
that portion deeded to the State of Washington for road purposes by deed
recorded April 18, 1989, under Whatcom County Auditor’s File No. 1634072.

Situate in Whatcom
County, Washington.

PARCEL W:

The Northwest
quarter of the Northwest quarter of the Southwest quarter and the South
one-half of the Northwest quarter of the Southwest quarter of Section 10,
Township 40 North, Range 3 East of W.M., 

 6
 

excluding that
portion of the Northwest quarter of the Southwest quarter of that section
described as follows:

Beginning at the
Southwest corner of the Northwest quarter of the Southwest quarter; thence
North along the West line, 899 feet, 4 inches East, parallel with the North
section tine, 200.0 feet; thence South, parallel with the West section line,
339.4 feet; thence East, parallel with the North section line, 460.0 feet;
thence North, parallel with the West section line, 100.0 feet; thence East,
parallel with the North section line to the East line of the Northwest quarter
of the Southwest quarter; thence South along the East line of the Northwest
quarter of the Southwest quarter to the Northeast corner of the Northwest
quarter of the Southwest quarter; thence West along the South line of the
Northwest quarter of the Southwest quarter to the point of beginning. Except
the right-of-way of County Road 149 (commonly referred to as Line Road) lying
along the West line thereof, and except the right-of-way of the County Road 649
(commonly referred to as Haveman Road) along the North line thereof. Except the
West 200,0 feet of the North 220.0 feet thereof.

Situate in Whatcom
County, Washington.

PARCEL X:

Beginning 365 feet East
of the Southwest corner of Section 10, Township 40 North, Range 3 East, the
true point of beginning; thence continuing East 600 feet; thence North 365
feet; thence West 600 feet; thence South 365 feet to the true point of
beginning.  Except the right-of-way for
East Badger Road lying along the Southerly line thereof.  Except that portion deeded to the State of
Washington for road purposes by deed recorded April 18, 1989, under Whatcom
County Auditor’s File No. I 634072.

Situate in Whatcom
County, Washington.

PARCEL Y:

The Southwest quarter of
the Southwest quarter of Section 10, Township 40 North, Range 3 East of W.M.,
except the South 571.28 feet of the East 305.00 feet thereof. Except a tract
beginning 365.00 feet East of the Southwest corner of said Section 10, the true
point of beginning; thence continuing East 600.00 feet; thence North 365.00
feet; thence West 600.00 feet; thence South 365.00 feet to the true point of
beginning. Also except a tract beginning at the Southwest corner of said
Section 10; thence East 365.00 feet; thence North 600.00 feet; thence West
365.00 feet to the West section line; thence South 600.00 feet along the West
section line to the point of beginning. And except right-of-way for East Badger
Road lying along the Southerly line thereof, and also except the right-of-way
for Line Road lying along the Westerly line thereof.

Situate in Whatcom
County, Washington.

PARCEL Z:

The portion of the
Northwest quarter of the Southwest quarter of Section 10, Township 40 North,
Range 3 East of W.M., described as follows:

Beginning at the
Southwest corner of the Northwest quarter of the Southwest quarter of said
section; thence North along the West line, 899 feet, 4 inches; thence East,
parallel with the North line of said section, 200.0 feet; thence South,
parallel with the West line of said section 339.4 feet; thence East, parallel
with the North line of said section, 460.0 feet; thence North, parallel with
the West line of said section, 100.0 feet; thence East, parallel with the North
line of said section to the East line of the 

 7
 

Northwest quarter of the
Southwest quarter of said section; thence South along the East line of the
Northwest quarter of the Southwest quarter to the Southeast corner of the
Northwest quarter of the Southwest quarter of said section; thence West along
the South line of the Northwest quarter of the Southwest quarter to the true
point of beginning. Except the South 264.0 feet of the West 160.0 feet of the
Southwest quarter of the Northwest quarter of the Southwest quarter of said
Section 10; and except the North 335 feet, 4 inches of the South 599 feet, 4
inches of the West 130.0 feet of the Southwest quarter of the Northwest quarter
of the Southwest quarter of said Section 10; and except right-of-way for Line
Road No. 149 lying along the West line thereof; and except right-of-way for
Haveman Road No. 649 lying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL AA:

The Northeast quarter of
the Northwest quarter of the Southwest quarter of Section 10, Township 40
North, Range 3 East of W.M., except right-of-way for Haveman Road (County Road
No. 649) lying along the North line thereof.

Situate in Whatcom
County, Washington.

PARCEL BB:

The South 571.28 feet of
the East 305.00 feet of the Southwest quarter of the Southwest quarter of
Section 10, Township 40 North, Range 3 East of W.M., except right-of-way for
East Badger Road lying along the South line thereof, and except the South
325.00 feet thereof.

Situate in Whatcom
County, Washington.

PARCEL CC:

The West half of the East
half of the Southeast quarter of the Southwest quarter of Section 10,
Township 40 North, Range 3 East of W.M., also the West half of the
Southeast quarter of the Southwest quarter of said Section 10; except the South
325 feet of the West 400 feet thereof; also, except a tract beginning 400 feet
East of the Southwest corner of the Southeast quarter of the Southwest quarter
of said Section 10, the true point of beginning; thence North 400 feet;
thence East 625 feet, more or less, to the East line of the West half of the
East half of the Southeast quarter of the Southwest quarter; thence South 400
feet; thence West 625 feet, more or less, to the point of beginning.  All except East Badger Road lying along the
Southerly line thereof.

Situate in Whatcom
County, Washington.

PARCEL DD:

Beginning 400 feet East
of the Southwest corner of the Southeast quarter of the Southwest quarter of
Section 10, Township 40 North, Range 3 East of W.M., the true point of
beginning; thence North 400 feet; thence East 625 feet, more or less, to the
East line of the West half of the East half of the Southeast quarter of the
Southwest quarter; thence South 400 feet; thence West 625 feet, more or less,
to the point of beginning. Except the right-of-way for East Badger Road lying
along the Southerly line thereof.

Situate in Whatcom County,
Washington.

 8
 

PARCEL EE:

The Northeast quarter of
the Southwest quarter of Section 10, Township 40 North, Range 3 East of W.M.,
except the North 5 rods of the East 16 rods of the Northeast quarter of the
Southwest quarter of said Section 10, and except right-of-way for Haveman Road
No. 649 lying along the Northerly line thereof, and except right-of-way for
Northwood Road (County Road No. 185) lying along the Easterly line thereof.

Situate in Whatcom
County, Washington.

PARCEL FF:

The North 5 rods of the East
16 rods of the Northeast quarter of the Southwest quarter of Section 10,
Township 40 North, Range 3 East of W.M., and except right-of-way for Haveman
Road No. 649 lying along the North line thereof, and except right-of-way for
Northwood Road (County Road No. 185) lying along the Easterly line thereof.

Situate in Whatcom
County, Washington.

PARCEL GG:

Government Lot 3, except
the South 366 feet of the West 165 feet thereof, Section 33, Township 41 North,
Range 3 East of W.M., except East Boundary Road lying along the Northerly line
thereof, and except right-of-way for Assink Road lying along the Easterly line
thereof.

Also except the following
described tract:

Beginning at the
Northwest corner of said Government Lot 3; thence South 327 feet, more or less,
to the North line of the South 366 feet of said Government Lot 3; thence East
165 feet; thence South 23 feet; thence East 497 feet; thence North 350 feet,
more or less, to the North line of said Government Lot 3; thence West to the
point of beginning.

Together with the
Northeast quarter of the Southwest quarter (except the West 10 rods thereof),
in Section 33, except right-of-way for Assink Road.

Situate in Whatcom
County, Washington.

PARCEL GG-1:

A perpetual non-exclusive
easement for the existing poles and overhead power lines now in place (and the
right to enter the premises for maintenance, repair and replacement of the
same) under, over, through and across the property described as follows:

The West 70 feet of the
East 110 feet of a tract of land described as follows:

Beginning at the
Northwest corner of Government Lot 3 of Section 33, Township 41 North, Range 3
East of W.M.; thence South 327 feet, more or less, to the North line of the
South 386 feet of said Government Lot 3; thence East 165 feet; thence South 23
feet; thence East 497 feet; thence North 350 feet, more or less, to the North
line of said Government Lot 3; thence West to the point of beginning.

The easement is for the
benefit of Parcel GG above.

 9
 

Situate in Whatcom
County, Washington.

PARCEL GG-2:

An easement, 15 feet in
width, for the purposes of installing, utilizing and maintaining a pressurized
underground pipeline as disclosed by that certain instrument recorded January
10, 2003, under Whatcom County Auditor’s File No.2030101660.

The easement is for the
benefit of Parcel GG above.

Situate in Whatcom
County, Washington.

PARCEL HH:

Government Lots Sand 6 of
Section 31, Township 41 North, Range 4 East of the Willamette Meridian, except
that portion thereof lying within Holmquist Road and Halverstick Road;

Also, except that portion of Government Lots 5 and 6, described as
follows:

The West 363 feet of Government Lots 5 and 6, except the South 1200
feet thereof;

And except that portion lying North of the South line of Judson Lake; less
roads;

Also, except that portion of Government Lot 6, described as follows:

The West 353 feet of the South 600 feet; less roads;

Also, except that portion of Government Lot 6, described as follows:

The West 363 feet of the South 1200 feet of Government Lot 6, except
the South 600 feet thereof; less roads;

Situate in Whatcom
County, Washington.

PARCEL II:

The West 363 feet of
Government Lots 5 and 6 of Section 31, Township 41 North, Range 4 East of W.M.;

Except the South 1200
feet thereof;

And except that portion
lying North of the South line of Judson Lake: less roads. Situate in Whatcom
County, Washington.

PARCEL JJ:

The West 363 feet of the
South 600 feet of Government Lot 6 of Section 31, Township 41 North, Range 4
East of W,M.; Less roads;

Situate in Whatcom County,
Washington.

PARCEL KK:

The West 363 feet of the
South 1200 feet of Government Lot 6 of Section 31, Township 41 North,
Range 4 East of W.M.;

 10
 

Except the South 600 feet
thereof; Less roads;

Situate in Whatcom
County, Washington.

Parcel LL:

Government Lot 2, except
the South 49 1/2 feet thereof of Section 4, Township 40 North, Range 3  East
of W.M.;

Except right of way for
Assink Road lying along the West line thereof;

Also

Government Lot 3, Section
4, Township 40 North, Range 3 East of W.M., EXCEPT 30 feet off the East side
deeded to Whatcom County for road; except Assink Road.

Situate in Whatcom
County, Washington.

Parcel MM:

The Northeast quarter of
the Northeast quarter of Section 9, Township 40 North, Range 3 East of W.M.,
except therefrom the South half of the Southwest quarter of the Northeast
quarter of the Northeast quarter of said Section 9 and excepting therefrom the
South half of the Southeast quarter of the Northeast quarter of the Northeast
quarter of Section 9, Township 40 North, Range 3 East of W.M., except Pangborn
Road.

Situate in Whatcom
County, Washington.

Street Address of
Property

1270 East Badger
Road

Lynden, Washington

 11

EXHIBIT B

Compliance Certificate

The undersigned, being the being the Chief Financial
Officer and Treasurer of THE INVENTURE GROUP, INC.,
a Delaware corporation (the “Borrower”) hereby certifies to U.S. BANK NATIONAL ASSOCIATION, a national banking association
(the “Bank”) for itself and each of the other Obligated Group Parties, as
follows:

1.             This certificate
(the “Compliance Certificate”) is being provided pursuant to Section 3.5 of that certain loan
agreement (the “Loan Agreement”) dated as of June 28, 2007, by and between Bank
and Borrower, made with the acknowledgment and agreement of the other Obligated
Group Parties.  All capitalized terms not
otherwise defined herein shall have the meanings set forth in the Loan
Agreement.

2.             As of the effective
date set forth below, the undersigned has no knowledge of any event which
constitutes, or which, with the giving of notice or the passage of time, or
both, would constitute a default or an Event of Default under any of the Loan
Documents.

3.             As of the effective date set forth below, the financial condition of Borrower, and each other Obligated Group Party, remains essentially the same as it was the date
of the last financial statement submitted by Borrower to Bank and that no material adverse change has
occurred in the financial condition of Borrower or the other Obligated Group
Parties that affects the any collateral securing the Credit Facilities or
Borrower’s or any Obligated Group Party’s ability to repay any of the Credit Facilities pursuant to the terms of
the Loan Documents.

4.             As of the effective date set forth below, the Obligated
Group is in compliance with the financial covenants set forth in the Loan
Agreement, including the minimum Fixed Charge Coverage Ratio, maximum Leverage
Ratio, and minimum Tangible Net Worth requirements set forth in Section 3.17 of the Loan
Agreement.  Upon the request of Bank,
Borrower shall provide financial covenant analyses and information in form and
substance acceptable to Bank showing Borrower’s compliance with the financial
covenants set forth in the Loan Agreement, which shall be true and accurate on
and as of the effective date of this Compliance Certificate.

5.             As of the effective date set
forth below, neither Borrower nor any other Obligated Group Party has any claim
against Bank, or any defenses or
offsets to payment of any Credit Facility or any other amounts due under the
Loan Documents.

6.             As of the effective date set forth below, the
representations and warranties contained in the Loan Agreement and the other Loan
Documents are true and correct in all material respects as of the date of this
Certificate to the same extent as though made on and as of such date, except to
the extent such representations and warranties specifically relate to an
earlier date.

 1
 

IN WITNESS
WHEREOF, this Certificate has been executed to be effective
as of                           ,
2007.

“BORROWER”

	
  THE INVENTURE GROUP, INC., 

  a Delaware corporation

  	
  

  Address for notices to Borrower:

  
	
   

  	
   

  
	
   

  	
  The Inventure Group, Inc.

  
	
   

  	
  5050 N. 40th Street,
  Suite 300  

  
	
  By:

  	
   

  	
   

  	
  Phoenix, Arizona 85018  

  
	
   

  	
  Eric J. Kufel,
  its President/CEO

  	
   

  	
  Attention: Steve Weinberger

  

 

 2

EXHIBIT C

Approved Existing
Liens

1.                                       CNH
Capital American, LLC, secured by two (2) Korvan pickers, Model # 9000R, Serial
# 01023 and Serial # 01024.

2.                                       Toyota
Motor Credit Corp., secured by one (1) Toyota Fork Lift Model 7FBCU25, Serial
#67279.

3.                                       Trinity
Lease, secured by one (1) 2006 53 foot reefer unit (semi trailer).

 1Exhibit 10.8

PROMISSORY NOTE SECURED
BY DEED OF TRUST

(Term
Loan)

	
  $4,000,000.00

  	
  June 28, 2007

  	
  Phoenix, Arizona

  

 

1.                                      Borrower’s
Promise To Pay.

FOR
VALUE RECEIVED, THE INVENTURE GROUP, INC., a
Delaware corporation (the “Borrower”), promises to pay to the order of U.S. BANK NATIONAL ASSOCIATION, a national banking association (the “Bank”), at 101 N. First Avenue, Suite 1600, Phoenix,
Arizona  85003, Attention: 
Commercial Banking, or at such other place as the holder of this
Note may from time to time designate, the principal sum of Four Million and No/100 Dollars ($4,000,000.00) (“Maximum
Loan Amount”), or such lesser amount as may be advanced and outstanding under
this promissory note (the “Note”), plus interest as specified in this Note.  Bank shall not be required to make any
advance if that would cause the outstanding principal of this Note to exceed
the Maximum Loan Amount.  This Note evidences a term loan (the “Loan”)
made by Bank to Borrower pursuant to the terms of a loan agreement (the “Loan
Agreement”) between Bank and Borrower of even date herewith.

This Note is secured by a Leasehold Deed of Trust with Assignment of Rents, Security Agreement, and Fixture
Filing (the “Deed of Trust”) covering certain real and personal property, as
therein described (the “Property”) and is also secured by other
Collateral.  The RLOC/TL Security Agreement (as such term is defined in the Loan
Agreement) also secures the Loan. 
This Note, the Loan Agreement, the
Deed of Trust, and the RLOC/TL
Security Agreement, together with all of their exhibits, and all other
documents which evidence, guaranty, secure, or otherwise pertain to the Loan
collectively constitute the “Loan Documents.” 
Some or all of the Loan Documents,
including the Loan Agreement, contain provisions for the acceleration of the
maturity of this Note.  This Note is
subject to the terms and conditions of the Loan Agreement.  Capitalized terms used but not defined herein
shall have the meanings set forth in the Loan Agreement.

2.                                      Maturity
Date.  All principal and all accrued and unpaid interest and other sums due
hereunder shall be due and payable on July
1, 2017 (the “Maturity Date”).

3.                                      Interest
Rate and Payment Terms.

3.1          Interest Rate.  Interest on each advance hereunder shall
accrue at an annual rate equal to one and sixty-five hundredths percent (1.65%) (165 basis points) plus the
one-month LIBOR rate quoted by Bank from Reuters Screen LIBOR01 or any
successor thereto, which shall be that one-month LIBOR rate in effect two New
York Banking Days prior to the beginning of each calendar month, adjusted for
any reserve requirement and any subsequent costs arising from a change in
government regulation, such rate to be reset at the beginning of each
succeeding month.  The term “New York Banking Day” means any day (other than a Saturday
or Sunday) on which commercial banks are open for business in New York, New
York.  If the initial advance under this
Note occurs other than on the first day of the month, the initial one-month
LIBOR rate shall be that one-month LIBOR rate in effect two New York Banking
Days prior to the date of the initial advance, which rate plus the percentage
described above shall be in effect for the remaining days of the month of the
initial advance; such one-month LIBOR rate to be reset at the beginning of each
succeeding month.  Bank’s internal
records of applicable interest rates shall be determinative in the absence of
manifest error.

 1
 

3.2          Separate
Principal Plus Interest Payments.

(a)           Interest
Payments.  Interest is payable beginning August 1, 2007,
and on the same date of each CONSECUTIVE month thereafter, plus a final
interest payment with the final payment of principal.

(b)           Principal
Payments.  Principal is payable in installments, each in the
amounts set forth in Exhibit A
attached hereto, beginning August 1, 2007,
and on the same date of each CONSECUTIVE month thereafter (except that if a
given month does not have such a date, the last day of such month), plus a
final payment equal to all unpaid principal on July
1, 2017, the Maturity
Date.  This means that on the
amortization schedule attached hereto as Exhibit
A the principal payment shown as payment number 1, will be the
principal payment due on August 1, 2007 and the following principal
payments shown as payments numbered 2 through 120, will be the principal
payments due on following CONSECUTIVE months thereafter.

3.3          Payment
in Full on Maturity Date. 
If not sooner paid, all principal
and all accrued and unpaid interest and other sums due hereunder shall be due
and payable no later than the Maturity Date.

3.4          Principal Prepayments.  Borrower may prepay some or all of the
principal under this Note, from time to time, without payment of any prepayment
premium or fee; provided, however, that any prepayment is subject
the terms and conditions of any Swap Contract (as such term is defined in the
Loan Agreement) entered into between Bank and Borrower.

4.             General Interest Rate and
Payment Terms.

4.1          Note Rate.  The interest rate in effect from time to time
under this note is herein referred to as the “Note Rate.”

4.2          Effective Contracted Rate.  Borrower
agrees to pay an effective contracted for rate of interest equal to the rate of
interest resulting from all interest payable as provided in this Note plus
the additional rate of interest resulting from (a) any loan fee(s) or other
similar fees described or defined in the Loan Documents, and (b) all Other
Sums.  For purposes hereof, the “Other
Sums” shall mean all fees, charges, goods, things in action, or any other sums
or things of value (other than interest payable as provided in this Note and
any loan fee) paid or payable by Borrower, whether pursuant to this Note, any
of the other Loan Documents, or any other document or instrument in any way
pertaining to this lending transaction, that may be deemed to be interest for
the purpose of any law of the State of Arizona, or any other applicable
law, that may limit the maximum amount of
interest to be charged with respect to this lending transaction.  The Other Sums shall be deemed to be interest
and part of the “contracted for rate of interest” for the purposes of any such
law only.

4.3          Usury Savings Clause.  It is expressly stipulated and agreed to be
the intent of Borrower and Bank at all times to comply with applicable state
law or applicable United States federal law (to the extent that it permits Bank
to contract for, charge, take, reserve, or receive greater amount of interest
than under state law) and that this Section shall control every other covenant
and agreement in this Note and the other Loan Documents.  If applicable state or federal law should at
any time be judicially interpreted so as to render usurious any amount charged,
taken, reserved, or received with respect to the Loan, or if Bank’s exercise of
the option to accelerate the Maturity Date or if any prepayment by Borrower
results in Borrower having paid any interest in excess of that permitted by
applicable law, then it is Bank’s and Borrower’s express intent that (a) all
such excess amounts collected by Bank shall be credited to the principal
balance of this Note and all other indebtedness of Borrower to Bank under the
Loan Documents, and (b) the provisions of this Note and the other Loan
Documents shall immediately be deemed reformed 

 2
 

and the amounts
thereafter collectible hereunder and thereunder reduced, without the necessity
of the execution of any new documents, so as to comply with the applicable law,
but so as to permit the recovery of the fullest amount otherwise called for
hereunder or thereunder.  All sums paid
or agreed to be paid to Bank for the use, forbearance, or detention of the Loan
shall, to the extent not prohibited by applicable law, be amortized, prorated,
allocated, and spread throughout the full stated term of the Loan until payment
in full so that the rate or amount of interest on account of the Loan does not
exceed the maximum lawful rate from time to time in effect and applicable to
the Loan for so long as the Loan is outstanding.  If the outstanding principal
balance and all other indebtedness of Borrower to Bank under the Loan
Documents has been repaid in full, the
excess amount paid will be refunded to the Borrower.

4.4          Calculation of Interest.  Interest will be computed for the actual days
elapsed on the basis of a three hundred sixty (360) day year, which results in
more interest than if a three hundred sixty-five (365) day year method were
used.

4.5          Payments.  Except as otherwise provided herein, all amounts payable under this Note are payable in
lawful money of the United States during normal business hours on a Banking
Day.  For purposes hereof, “Banking Day”
means a day, other than a Saturday or Sunday, on which Bank is open for
business for all banking functions in Phoenix,
Arizona.  Checks and drafts constitute
payment only when collected.  All
payments made under this Note shall be made without offset, demand,
counter-claim, deduction or recoupment (each of which is hereby waived), and
acceptance by Bank of any payment in an amount less than the amount then due
shall be deemed an acceptance on account only, notwithstanding any notation on
or accompanying such partial payment to the contrary, and shall not constitute
a waiver by Bank of any Event of Default. 
Except as otherwise set forth herein or in any other Loan Document, payments
shall be applied in such order and manner as Bank may determine in its sole and
absolute discretion.

5.                                      Late
Payments; Default Rate

5.1          Late Charge for Overdue Payments.
If Bank has not received the full amount of any payment scheduled to be made under this Note, other than the final
principal payment, by the end of ten (10) calendar days after the date
it is due, Borrower shall pay a late charge to Bank in the amount of five
percent (5%) of the overdue payment; provided, however, in no
event shall any late charge be payable hereunder without Bank first having
provided Borrower with any notice required by applicable law.  Borrower shall pay this late charge only once
on any late payment.  This late charge
shall not be construed as in any way extending the due date of any payment, and
is in addition to, and not in lieu of, any other remedy Bank may have.

5.2          Default Rate.
Upon the occurrence of any Event of Default
(subject to any applicable notice and cure periods), the unpaid balance
of the Loan shall bear interest at the rate which is five percent (5%) above
the then applicable Note Rate as it may thereafter change pursuant to the terms
of this Note (the “Default Rate”). 
Additionally, from and after the Maturity Date, or such earlier date as
all sums owing on this Note become due and payable by acceleration or
otherwise, the Loan shall bear interest at the Default Rate.  Accrued interest, at the Note Rate, if not
paid when due, shall accrue interest at the Default Rate, as hereinabove
provided, which may result in compounding of interest.  Except as
otherwise set forth herein or in any other Loan Document, payments under
this Note or under any other Loan Document that are due on demand, shall bear
interest at the Default Rate (i) from the date costs or expenses are incurred
by Bank that give rise to the demand or (ii) if there is no such date, then
from the date of demand, until Borrower pays the full amount of such payment,
including interest.

6.             Events Of Default; Remedies.  If any of the following “Events of Default”
occur, any obligation of the holder of this Note to make advances under this
Note, the Loan Agreement, and/or any other Loan Document terminates and, at the
holder’s option, exercisable in its sole and absolute discretion, all sums 

 3
 

of principal and interest
under this Note immediately become due and payable without notice of intent to
accelerate, notice of acceleration, or of notice of default, presentment,
demand for payment, or protest, or of notice of nonpayment, notice of dishonor,
or other notices or demands of any kind or character:

6.1          Borrower fails to perform any
obligation under this Note to pay principal or interest within ten (10) days
after the date when due; or

6.2          Borrower fails to perform any other
obligation under this Note to pay money within ten (10) days  after written notice from Bank; or

6.3          Under any of the
Loan Documents, a default or an Event of Default (as defined in the applicable
document, subject to applicable notice and cure periods) occurs, except as
provided in Section 7 below.

In addition to the right
to accelerate the Maturity of this Note upon the occurrence of an Event of
Default, Bank shall have all rights and remedies described in the other Loan
Documents.

7.             Insolvency.  It is an “Event of Default” under this Note
if Borrower becomes the subject of any bankruptcy or other voluntary or
involuntary proceeding, in or out of court, for the adjustment of
debtor-creditor relationships (“Insolvency Proceeding”), and as to any
involuntary Insolvency Proceeding, it either: (i) is consented to or (ii) has
not been dismissed within ninety (90) days. 
Upon such an Event of Default, all sums of principal and interest under
this Note automatically become immediately due and payable without notice of
default, presentment or demand for payment, protest or notice of nonpayment or
dishonor, or other notices or demands of any kind or character.  If Borrower becomes the subject of any
Insolvency Proceeding, any obligation of the holder to make advances under this
Note shall automatically terminate, and in the case of an involuntary
Insolvency Proceeding which is dismissed within ninety (90) days, the holder’s
obligation to make advances under this Note shall resume upon the dismissal
thereof.

8.             Waiver of Jury Trial.  TO THE EXTENT NOT PROHIBITED BY APPLICABLE
LAW, BORROWER WAIVES TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO WHICH
BORROWER AND BANK MAY BE PARTIES, ARISING OUT OF, IN CONNECTION WITH OR IN ANY
WAY PERTAINING TO, THIS NOTE, THE LOAN AGREEMENT, OR ANY OF THE OTHER LOAN
DOCUMENTS.  IT IS AGREED AND UNDERSTOOD
THAT THIS WAIVER CONSTITUTES A WAIVER OF TRIAL BY JURY OF ALL CLAIMS AGAINST
ALL PARTIES TO SUCH ACTION OR PROCEEDINGS, INCLUDING CLAIMS AGAINST PARTIES WHO
ARE NOT PARTIES TO THIS NOTE.  THIS
WAIVER IS KNOWINGLY, WILLINGLY AND VOLUNTARILY MADE BY BORROWER, AND BORROWER
HEREBY REPRESENTS THAT NO REPRESENTATIONS OF FACT OR OPINION HAVE BEEN MADE BY
ANY INDIVIDUAL TO INDUCE THIS WAIVER OF TRIAL BY JURY OR TO IN ANY WAY MODIFY
OR NULLIFY ITS EFFECT.  BORROWER FURTHER
REPRESENTS AND WARRANTS THAT IT HAS BEEN REPRESENTED IN THE SIGNING OF THIS
NOTE AND IN THE MAKING OF THIS WAIVER BY INDEPENDENT LEGAL COUNSEL, OR HAS HAD
THE OPPORTUNITY TO BE REPRESENTED BY INDEPENDENT LEGAL COUNSEL SELECTED OF ITS
OWN FREE WILL, AND THAT IT HAS HAD THE OPPORTUNITY TO DISCUSS THIS WAIVER WITH
COUNSEL.

9.                                      Miscellaneous.

9.1          Waivers.  Borrower hereby waives presentment; demand;
notice of dishonor; notice of default or delinquency; without notice of intent
to accelerate, notice of acceleration, notice of nonpayment; notice of costs,
expenses or losses and interest thereon; and notice of interest on interest and
late charges.

 4
 

9.2          Delay In Enforcement.  If Bank delays in exercising or fails to
exercise any of its rights under this Note, that delay or failure does not
constitute a waiver of any of Bank’s rights, or of any breach, default or
failure of condition of or under this Note. 
No waiver by Bank of any of its rights, or of any breach, default or
failure of condition is effective, unless the waiver is expressly stated in
writing by Bank.

9.3          Joint and Several Liability.  If more than one person or entity is signing
this Note as Borrower, their obligations under this Note shall be joint and
several.  As to any Borrower that is a
partnership, the obligations of Borrower under this Note are the joint and
several obligations of each general partner thereof.

9.4          Successors, and Assigns;
Participations. 
This Note inures to and binds the legal representatives, successors and
assigns of Borrower and Bank; provided, however, Borrower may not
assign this Note or any Loan funds, or assign or delegate any of its rights or
obligations, without the prior written consent of Bank in each instance, which
consent is at the sole and absolute discretion of Bank.  Bank, in its sole and absolute discretion,
may transfer this Note, and may sell or assign participations or other
interests in all or part of the Loan, on the terms and subject to the
conditions of the Loan Documents, all without notice to or the consent of
Borrower.  Without notice to or the
consent of Borrower, Bank may disclose to any actual or prospective purchaser
of any securities issued or to be issued by Bank or its affiliates in
connection with Loan, and to any actual or prospective purchaser or assignee of
any participation or other interest in this Note, the Loan, or any other loans
made by Bank to Borrower (whether evidenced by this Note or otherwise), any
financial or other information, data or material in Bank’s possession relating
to Borrower, the Loan, or any collateral for the Loan, including any
improvements thereon.  If Bank so
requests and at no cost or expense to Borrower, Borrower shall sign and deliver
a new note, in the form and substance of this Note, to be issued in exchange
for this Note; provided, such new note shall in no way effect or change
Borrower’s obligations under this Note.

9.5          Cumulative Remedies.  All of Bank’s remedies in connection with
this Note or under applicable law are cumulative, and Bank’s exercise of any
one or more of those remedies shall not constitute an election of remedies.

9.6          Governing Law.  This Note shall be governed by, and construed
in accordance with, the laws of the State of Arizona without regard to the
choice of law rules for that state, except to the extent that any such laws may
now or hereafter be preempted by Federal law. 
Borrower consents to the jurisdiction of any Federal or State court
within the State of Arizona, submits to venue in such state, and also consents
to service of process by any means authorized by Federal law or the law of such
state.  Without
limiting the generality of the foregoing, Borrower hereby waives and agrees not to assert by way of
motion, defense, or otherwise in such suit, action, or proceeding, any claim
that (i) Borrower is not subject to
the jurisdiction of the courts of the above-referenced state or the United
States District Court for such state; (ii) such suit, action, or proceeding is
brought in an inconvenient forum; or (iii) the venue of such suit, action, or
proceeding is improper.

9.7          Attorney’s Fees and Costs.  In any lawsuit or arbitration arising out of
or relating to this Note, the Loan Documents or the Loan, the prevailing party
will be entitled to recover from each other party such sums as the court or
arbitrator adjudges to be reasonable attorneys’ fees in the action, reference,
or arbitration, in addition to costs and expenses otherwise allowed by
law.  In all other actions or
proceedings, including any matter arising out of or relating to any Insolvency
Proceeding, Borrower agrees to pay all of Bank’s costs and expenses, including
reasonable attorneys’ fees, incurred in enforcing or protecting Bank’s rights
or interests.  From the time(s) incurred
until paid in full to Bank, all such sums shall bear interest at the Default
Rate.

 5
 

9.8          Holder’s Rights.  Borrower
agrees that the holder of this Note may accept additional or substitute
security for this Note, or release any security or any party liable for this
Note, or extend or renew this Note, all without notice to Borrower and without
affecting the liability of Borrower.

9.9          Interpretation.  As used
in this Note, the terms “Bank,” “holder” and “holder of this Note” are
interchangeable.  As used in this Note,
the word “include(s)” means “include(s), without limitation,” and the word “including”
means “including, but not limited to.”

9.10        Time of the Essence.  Time is
of the essence with regard to all payment obligations under this Note.

9.11        Amendments.  This Note may not be modified or amended
except by a written agreement signed by the parties.

9.12        Counterparts.  This Note may be executed in counterparts,
and all counterparts constitute but one and the same document.

IN
WITNESS WHEREOF, Borrower has duly executed and delivered
this Note to Bank as of the date first above written.

“BORROWER”

	
  THE INVENTURE GROUP, INC., 

  	
   

  	
  Address for notices to Borrower:

  
	
  a Delaware corporation

  	
   

  	
   

  
	
   

  	
   

  	
  The Inventure Group, Inc.

  
	
   

  	
   

  	
  5050 N. 40th Street, Suite 300

  
	
  By:

  	
  /s/ Eric J. Kufel

  	
   

  	
  Phoenix, Arizona 85018

  
	
   

  	
  Eric J. Kufel, its President/CEO

  	
   

  	
  Attention: Steve Weinberger

  
	
   

  	
   

  	
   

  
	
  Tax I.D. No.: 86-0786101

  	
   

  	
   

  

 

 6

Exhibit A

Amortization
Schedule

	
   

  	
   

  	
  Payment

  	
   

  	
  Principal

  	
   

  	
  Principal

  	
   

  
	
  Period

  	
   

  	
  Date

  	
   

  	
  Balance

  	
   

  	
  Payment

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
  4,000,000.00

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  08/01/07

  	
   

  	
  $

  	
  3,987,552.53

  	
   

  	
  $

  	
  12,447.47

  	
   

  
	
  2

  	
   

  	
  09/01/07

  	
   

  	
  $

  	
  3,975,105.06

  	
   

  	
  $

  	
  12,447.47

  	
   

  
	
  3

  	
   

  	
  10/01/07

  	
   

  	
  $

  	
  3,962,657.59

  	
   

  	
  $

  	
  12,447.47

  	
   

  
	
  4

  	
   

  	
  11/01/07

  	
   

  	
  $

  	
  3,950,210.12

  	
   

  	
  $

  	
  12,447.47

  	
   

  
	
  5

  	
   

  	
  12/01/07

  	
   

  	
  $

  	
  3,937,762.65

  	
   

  	
  $

  	
  12,447.47

  	
   

  
	
  6

  	
   

  	
  01/01/08

  	
   

  	
  $

  	
  3,925,315.18

  	
   

  	
  $

  	
  12,447.47

  	
   

  
	
  7

  	
   

  	
  02/01/08

  	
   

  	
  $

  	
  3,912,188.29

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  8

  	
   

  	
  03/01/08

  	
   

  	
  $

  	
  3,899,061.40

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  9

  	
   

  	
  04/01/08

  	
   

  	
  $

  	
  3,885,934.51

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  10

  	
   

  	
  05/01/08

  	
   

  	
  $

  	
  3,872,807.62

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  11

  	
   

  	
  06/01/08

  	
   

  	
  $

  	
  3,859,680.73

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  12

  	
   

  	
  07/01/08

  	
   

  	
  $

  	
  3,846,553.84

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  13

  	
   

  	
  08/01/08

  	
   

  	
  $

  	
  3,833,426.95

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  14

  	
   

  	
  09/01/08

  	
   

  	
  $

  	
  3,820,300.06

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  15

  	
   

  	
  10/01/08

  	
   

  	
  $

  	
  3,807,173.17

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  16

  	
   

  	
  11/01/08

  	
   

  	
  $

  	
  3,794,046.28

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  17

  	
   

  	
  12/01/08

  	
   

  	
  $

  	
  3,780,919.39

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  18

  	
   

  	
  01/01/09

  	
   

  	
  $

  	
  3,767,792.50

  	
   

  	
  $

  	
  13,126.89

  	
   

  
	
  19

  	
   

  	
  02/01/09

  	
   

  	
  $

  	
  3,753,640.95

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  20

  	
   

  	
  03/01/09

  	
   

  	
  $

  	
  3,739,489.40

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  21

  	
   

  	
  04/01/09

  	
   

  	
  $

  	
  3,725,337.85

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  22

  	
   

  	
  05/01/09

  	
   

  	
  $

  	
  3,711,186.30

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  23

  	
   

  	
  06/01/09

  	
   

  	
  $

  	
  3,697,034.75

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  24

  	
   

  	
  07/01/09

  	
   

  	
  $

  	
  3,682,883.20

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  25

  	
   

  	
  08/01/09

  	
   

  	
  $

  	
  3,668,731.65

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  26

  	
   

  	
  09/01/09

  	
   

  	
  $

  	
  3,654,580.10

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  27

  	
   

  	
  10/01/09

  	
   

  	
  $

  	
  3,640,428.55

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  28

  	
   

  	
  11/01/09

  	
   

  	
  $

  	
  3,626,277.00

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  29

  	
   

  	
  12/01/09

  	
   

  	
  $

  	
  3,612,125.45

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  30

  	
   

  	
  01/01/10

  	
   

  	
  $

  	
  3,597,973.90

  	
   

  	
  $

  	
  14,151.55

  	
   

  
	
  31

  	
   

  	
  02/01/10

  	
   

  	
  $

  	
  3,582,789.25

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  32

  	
   

  	
  03/01/10

  	
   

  	
  $

  	
  3,567,604.60

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  33

  	
   

  	
  04/01/10

  	
   

  	
  $

  	
  3,552,419.95

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  34

  	
   

  	
  05/01/10

  	
   

  	
  $

  	
  3,537,235.30

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  35

  	
   

  	
  06/01/10

  	
   

  	
  $

  	
  3,522,050.65

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  36

  	
   

  	
  07/01/10

  	
   

  	
  $

  	
  3,506,866.00

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  37

  	
   

  	
  08/01/10

  	
   

  	
  $

  	
  3,491,681.35

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  38

  	
   

  	
  09/01/10

  	
   

  	
  $

  	
  3,476,496.70

  	
   

  	
  $

  	
  15,184.65

  	
   

  
											

 

 1
 

 

	
   

  	
   

  	
  Payment

  	
   

  	
  Principal

  	
   

  	
  Principal

  	
   

  
	
  Period

  	
   

  	
  Date

  	
   

  	
  Balance

  	
   

  	
  Payment

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  39

  	
   

  	
  10/01/10

  	
   

  	
  $

  	
  3,461,312.05

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  40

  	
   

  	
  11/01/10

  	
   

  	
  $

  	
  3,446,127.40

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  41

  	
   

  	
  12/01/10

  	
   

  	
  $

  	
  3,430,942.75

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  42

  	
   

  	
  01/01/11

  	
   

  	
  $

  	
  3,415,758.10

  	
   

  	
  $

  	
  15,184.65

  	
   

  
	
  43

  	
   

  	
  02/01/11

  	
   

  	
  $

  	
  3,399,464.94

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  44

  	
   

  	
  03/01/11

  	
   

  	
  $

  	
  3,383,171.78

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  45

  	
   

  	
  04/01/11

  	
   

  	
  $

  	
  3,366,878.62

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  46

  	
   

  	
  05/01/11

  	
   

  	
  $

  	
  3,350,585.46

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  47

  	
   

  	
  06/01/11

  	
   

  	
  $

  	
  3,334,292.30

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  48

  	
   

  	
  07/01/11

  	
   

  	
  $

  	
  3,317,999.14

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  49

  	
   

  	
  08/01/11

  	
   

  	
  $

  	
  3,301,705.98

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  50

  	
   

  	
  09/01/11

  	
   

  	
  $

  	
  3,285,412.82

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  51

  	
   

  	
  10/01/11

  	
   

  	
  $

  	
  3,269,119.66

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  52

  	
   

  	
  11/01/11

  	
   

  	
  $

  	
  3,252,826.50

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  53

  	
   

  	
  12/01/11

  	
   

  	
  $

  	
  3,236,533.34

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  54

  	
   

  	
  01/01/12

  	
   

  	
  $

  	
  3,220,240.18

  	
   

  	
  $

  	
  16,293.16

  	
   

  
	
  55

  	
   

  	
  02/01/12

  	
   

  	
  $

  	
  3,202,811.79

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  56

  	
   

  	
  03/01/12

  	
   

  	
  $

  	
  3,185,383.40

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  57

  	
   

  	
  04/01/12

  	
   

  	
  $

  	
  3,167,955.01

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  58

  	
   

  	
  05/01/12

  	
   

  	
  $

  	
  3,150,526.62

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  59

  	
   

  	
  06/01/12

  	
   

  	
  $

  	
  3,133,098.23

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  60

  	
   

  	
  07/01/12

  	
   

  	
  $

  	
  3,115,669.84

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  61

  	
   

  	
  08/01/12

  	
   

  	
  $

  	
  3,098,241.45

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  62

  	
   

  	
  09/01/12

  	
   

  	
  $

  	
  3,080,813.06

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  63

  	
   

  	
  10/01/12

  	
   

  	
  $

  	
  3,063,384.67

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  64

  	
   

  	
  11/01/12

  	
   

  	
  $

  	
  3,045,956.28

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  65

  	
   

  	
  12/01/12

  	
   

  	
  $

  	
  3,028,527.89

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  66

  	
   

  	
  01/01/13

  	
   

  	
  $

  	
  3,011,099.50

  	
   

  	
  $

  	
  17,428.39

  	
   

  
	
  67

  	
   

  	
  02/01/13

  	
   

  	
  $

  	
  2,992,344.59

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  68

  	
   

  	
  03/01/13

  	
   

  	
  $

  	
  2,973,589.68

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  69

  	
   

  	
  04/01/13

  	
   

  	
  $

  	
  2,954,834.77

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  70

  	
   

  	
  05/01/13

  	
   

  	
  $

  	
  2,936,079.86

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  71

  	
   

  	
  06/01/13

  	
   

  	
  $

  	
  2,917,324.95

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  72

  	
   

  	
  07/01/13

  	
   

  	
  $

  	
  2,898,570.04

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  73

  	
   

  	
  08/01/13

  	
   

  	
  $

  	
  2,879,815.13

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  74

  	
   

  	
  09/01/13

  	
   

  	
  $

  	
  2,861,060.22

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  75

  	
   

  	
  10/01/13

  	
   

  	
  $

  	
  2,842,305.31

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  76

  	
   

  	
  11/01/13

  	
   

  	
  $

  	
  2,823,550.40

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  77

  	
   

  	
  12/01/13

  	
   

  	
  $

  	
  2,804,795.49

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  78

  	
   

  	
  01/01/14

  	
   

  	
  $

  	
  2,786,040.58

  	
   

  	
  $

  	
  18,754.91

  	
   

  
	
  79

  	
   

  	
  02/01/14

  	
   

  	
  $

  	
  2,765,916.51

  	
   

  	
  $

  	
  20,124.07

  	
   

  

 

 2
 

 

	
   

  	
   

  	
  Payment

  	
   

  	
  Principal

  	
   

  	
  Principal

  	
   

  
	
  Period

  	
   

  	
  Date

  	
   

  	
  Balance

  	
   

  	
  Payment

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  80

  	
   

  	
  03/01/14

  	
   

  	
  $

  	
  2,745,792.44

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  81

  	
   

  	
  04/01/14

  	
   

  	
  $

  	
  2,725,668.37

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  82

  	
   

  	
  05/01/14

  	
   

  	
  $

  	
  2,705,544.30

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  83

  	
   

  	
  06/01/14

  	
   

  	
  $

  	
  2,685,420.23

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  84

  	
   

  	
  07/01/14

  	
   

  	
  $

  	
  2,665,296.16

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  85

  	
   

  	
  08/01/14

  	
   

  	
  $

  	
  2,645,172.09

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  86

  	
   

  	
  09/01/14

  	
   

  	
  $

  	
  2,625,048.02

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  87

  	
   

  	
  10/01/14

  	
   

  	
  $

  	
  2,604,923.95

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  88

  	
   

  	
  11/01/14

  	
   

  	
  $

  	
  2,584,799.88

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  89

  	
   

  	
  12/01/14

  	
   

  	
  $

  	
  2,564,675.81

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  90

  	
   

  	
  01/01/15

  	
   

  	
  $

  	
  2,544,551.74

  	
   

  	
  $

  	
  20,124.07

  	
   

  
	
  91

  	
   

  	
  02/01/15

  	
   

  	
  $

  	
  2,522,958.57

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  92

  	
   

  	
  03/01/15

  	
   

  	
  $

  	
  2,501,365.40

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  93

  	
   

  	
  04/01/15

  	
   

  	
  $

  	
  2,479,772.23

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  94

  	
   

  	
  05/01/15

  	
   

  	
  $

  	
  2,458,179.06

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  95

  	
   

  	
  06/01/15

  	
   

  	
  $

  	
  2,436,585.89

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  96

  	
   

  	
  07/01/15

  	
   

  	
  $

  	
  2,414,992.72

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  97

  	
   

  	
  08/01/15

  	
   

  	
  $

  	
  2,393,399.55

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  98

  	
   

  	
  09/01/15

  	
   

  	
  $

  	
  2,371,806.38

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  99

  	
   

  	
  10/01/15

  	
   

  	
  $

  	
  2,350,213.21

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  100

  	
   

  	
  11/01/15

  	
   

  	
  $

  	
  2,328,620.04

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  101

  	
   

  	
  12/01/15

  	
   

  	
  $

  	
  2,307,026.87

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  102

  	
   

  	
  01/01/16

  	
   

  	
  $

  	
  2,285,433.70

  	
   

  	
  $

  	
  21,593.17

  	
   

  
	
  103

  	
   

  	
  02/01/16

  	
   

  	
  $

  	
  2,262,302.31

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  104

  	
   

  	
  03/01/16

  	
   

  	
  $

  	
  2,239,170.92

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  105

  	
   

  	
  04/01/16

  	
   

  	
  $

  	
  2,216,039.53

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  106

  	
   

  	
  05/01/16

  	
   

  	
  $

  	
  2,192,908.14

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  107

  	
   

  	
  06/01/16

  	
   

  	
  $

  	
  2,169,776.75

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  108

  	
   

  	
  07/01/16

  	
   

  	
  $

  	
  2,146,645.36

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  109

  	
   

  	
  08/01/16

  	
   

  	
  $

  	
  2,123,513.97

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  110

  	
   

  	
  09/01/16

  	
   

  	
  $

  	
  2,100,382.58

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  111

  	
   

  	
  10/01/16

  	
   

  	
  $

  	
  2,077,251.19

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  112

  	
   

  	
  11/01/16

  	
   

  	
  $

  	
  2,054,119.80

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  113

  	
   

  	
  12/01/16

  	
   

  	
  $

  	
  2,030,988.41

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  114

  	
   

  	
  01/01/17

  	
   

  	
  $

  	
  2,007,857.02

  	
   

  	
  $

  	
  23,131.39

  	
   

  
	
  115

  	
   

  	
  02/01/17

  	
   

  	
  $

  	
  1,983,406.27

  	
   

  	
  $

  	
  24,450.75

  	
   

  
	
  116

  	
   

  	
  03/01/17

  	
   

  	
  $

  	
  1,958,955.52

  	
   

  	
  $

  	
  24,450.75

  	
   

  
	
  117

  	
   

  	
  04/01/17

  	
   

  	
  $

  	
  1,934,504.77

  	
   

  	
  $

  	
  24,450.75

  	
   

  
	
  118

  	
   

  	
  05/01/17

  	
   

  	
  $

  	
  1,910,054.02

  	
   

  	
  $

  	
  24,450.75

  	
   

  
	
  119

  	
   

  	
  06/01/17

  	
   

  	
  $

  	
  1,885,603.27

  	
   

  	
  $

  	
  24,450.75

  	
   

  
	
  120

  	
   

  	
  07/01/17

  	
   

  	
  $

  	
  1,861,152.52

  	
   

  	
  $

  	
  24,450.75

  	
   

  

 

 3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}]]