Document:

EXHIBIT
      10.4

    

    Foam
      Manufacturing, Inc.

    305
      Madison Avenue, Suite 4510

    New
      York,
      New York 10165

    

    February 14,
      2007

    

    [NOTEHOLDER
      NAME AND ADDRESS]

     

    
      	
              Re:

            	
              Amended
                and Restated Note Purchase Agreement (the “Purchase
                Agreement”)
                dated February 1, 2006, by and among Foam Manufacturing, Inc. (the
                “Company”),
                Chicago Investments, Inc. (“Agent”)
                and the additional investors named therein (the “Investors”);
                Senior Secured Promissory Notes identified in Schedule
                A
                hereto (the “Notes”)
                made by the Company in favor of [NOTEHOLDER]
                (the “Lender”); and Amended and Restated Security Agreement dated as of
                February 1, 2006, by the Company in favor of Agent, acting as agent
                for
                the Investors (the “Security
                Agreement”)

            

    

    

    Ladies
      and Gentlemen:

    

    This
      letter agreement is to memorialize our agreement concerning the conversion
      of
      all amounts outstanding under the Notes into shares of the common stock
      (“Nesco Common
      Stock”)
      of
      Nesco Industries, Inc., the indirect parent of the Company (“Nesco”).
      

    

    The
      Lender acknowledges that Nesco has a strong need to raise capital that will
      enable it to restructure its balance sheet and provide working capital for
      the
      recent asset acquisitions by the Company. The Lender further acknowledges that
      Nesco is currently negotiating a financing arrangement that will provide it
      with
      the needed capital (the “Financing”).
      In
      order to induce the proposed lender to provide the Financing and to reorganize
      the outstanding indebtedness of Nesco and the Company, Nesco and the Company
      are
      proposing the conversion to Nesco Common Stock of the amounts under the Notes.
      The Lender acknowledges that it is in the best interest of Lender, as well
      as
      the best interest of Nesco and the Company, that the Company close the
      Financing. In consideration of the foregoing and the covenants and agreements
      of
      the parties contained in this letter agreement, Nesco, the Company and the
      Lender are hereby entering into the following agreements. 

    

    Subject
      to and contingent on the closing of the Financing (the “Closing”),
      the
      parties agree as follows:

    

    1. The
      Notes
      shall cease accruing interest as of January 31, 2007 and, simultaneously with
      the Closing, the Company shall pay to Agent for distribution to the Lender
      and
      the Investors an amount equal to $78,723.84 representing all amounts of interest
      accrued on the Notes but unpaid to the date of Closing, which payment shall
      be
      made by check or by wire transfer of immediately available funds (the
“Cash
      Payment”).

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    2. Notwithstanding
      anything to the contrary contained in the Purchase Agreement, the Notes or
      the
      Security Agreement, including without limitation, the provisions of Section
      2 of
      the Purchase Agreement, upon the Closing [$Insert Amount], representing the
      full
      amount of the principal outstanding under the Notes, shall be automatically
      be
      converted into the right to receive [Insert Number] shares of Nesco Common
      Stock, at $0.0022 per share, and warrants to purchase [Insert Number] shares
      of
      Nesco Common Stock (the “Warrants”),
      which
      shares of Nesco Common Stock (the “Conversion
      Shares”)
      and
      Warrants shall be issuable as follows: (a) the Warrants and [Insert Number]
      shares of Nesco Common Stock shall be issued to the Lender promptly following
      the Initial Common Stock Increase and (b) [Insert Number] shares of Nesco Common
      Stock shall be issued to the Lender promptly following the Second Common Stock
      Increase. For purposes of this letter agreement, the “Initial Common
      Stock Increase”
shall
      mean such time as Nesco has filed with the Secretary of State of Nevada an
      amendment to Nesco’s Articles of Incorporation to increase Nesco’s authorized
      common stock to 400 million shares and the “Second
      Common Stock Increase”
shall
      mean such time as Nesco has obtained the approval of its shareholders at a
      special meeting or annual meeting to increase Nesco’s shares of common stock in
      accordance with the Financing and has filed with the Secretary of State of
      Nevada an amendment to Nesco’s Articles of Incorporation to so increase Nesco’s
      authorized common stock. The provisions of Section 2 of the Purchase Agreement
      are hereby waived by the Lender in connection with the Financing.

    

    3. In
      connection with the issuance of the Conversion Shares and the Warrants, the
      Lender hereby makes the representations and warranties set forth on Schedule
      B
      attached
      hereto. The Lender understands that Nesco and the Company are relying on such
      representations and warranties in connection with the issuance of the Conversion
      Shares. 

    

    4. Upon
      receipt by the Agent of the Cash Payment, the security interest granted to
      the
      Lender pursuant to the Security Agreement shall automatically expire and be
      deemed released, and the Company shall be permitted to file UCC termination
      statements with respect thereto. 

    

    5. Upon
      receipt by Lender of all of the Conversion Shares and the Warrant,
      the
      Notes
      shall be cancelled and Lender shall, automatically and without further action
      of
      the parties, release Nesco, the Company and their respective officers,
      directors, employees and agents, and each of its successors and assigns from
      all
      causes of action, debts, contracts, demands and claims of every kind and nature,
      whether known or unknown and whether in law or in equity, that the Lender had,
      now have, or hereafter can, shall or may have with respect to the Notes, the
      Security Agreement or the Purchase Agreement.

    

    Each
      of
      the foregoing agreements set forth in paragraphs 1 through 5, inclusive, of
      this
      letter agreement are expressly made subject to the Closing, and none of such
      agreements shall be effective unless and until such time as the Closing occurs.
      If the Closing has not occurred on or prior to February 28, 2007, this letter
      agreement shall automatically terminate and shall be of no further force and
      effect, and neither the Company nor the Lender shall have any obligations to
      the
      other hereunder. 

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    Nothing
      in this letter
      agreement shall be construed as an admission of any liability by any of the
      parties or as a release of any claim or obligation other than as specifically
      set forth above. 

    

    This
      letter agreement is binding upon and shall inure to the benefit of the parties
      hereto and their respective heirs, successors and assigns. No persons other
      than
      Nesco, the Company and the Lender are intended to be benefited by this letter
      agreement or to have rights hereunder as third-party beneficiaries or
      otherwise.

    

    This
      letter agreement shall be deemed to be a contract made under, and to be
      construed in accordance with, the laws of the State of New York, without giving
      effect to conflicts of law.

    

    If
      any
      provision of this letter agreement is held to be invalid, illegal or
      unenforceable, such invalidity, illegality or unenforceability shall not
      invalidate this letter agreement as a whole, but rather this letter agreement
      shall be construed as though it did not contain the particular provision held
      to
      be invalid, illegal or unenforceable and the rights and obligations of the
      parties hereto shall be construed and enforced only to such extent as may be
      permitted by applicable law. 

    

    This
      letter agreement may be executed by the parties in one or more counterparts,
      each of which will be deemed an original but all of which will constitute one
      and the same instrument.

    

    If
      the
      foregoing accurately memorializes our agreement to settle the matters described
      above, please sign below.

    

    Very
      truly yours,

    

    Nesco
      Industries, Inc.

    

    

    By________________________

    Matthew
      Harriton 

    President
      and CEO

    

    Foam
      Manufacturing, Inc.

    

    

    By________________________

    Matthew
      Harriton

    President
      and CEO 

    

    

    AGREED
      AND ACCEPTED:

    

    [NOTEHOLDER]

    

    

    By_______________________________

    Its_______________________________

    

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    Schedule
      A

    

    Notes

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule
      B

    

    Representations
      and Warranties

    

    1.1.  Purchase
      Entirely for Own Account.
      Each
      Note purchased by Lender was, and the Conversion Shares and the Warrants to
      be
      issued in connection therewith will be, acquired for investment for Lender’s own
      account and not with a view to the resale or distribution of any part thereof.
      Lender represents that it has full power and authority to enter into this
      Agreement. 

     

    1.2.  Disclosure
      of Information.
      Lender
      acknowledges that it has received all the information that it has requested
      relating to Nesco and the Company and conversion of the Notes (the “Disclosure
      Materials”).
      Lender further represents that it has had an opportunity to ask questions and
      receive answers from Nesco and the Company regarding the terms and conditions
      of
      the issuance of the Conversion Shares and the Warrants. 

     

    1.3.  Accredited
      Investor.
      Lender
      is an “accredited investor” within the meaning of Rule 501 of Regulation D
      of the Securities and Exchange Commission as presently in effect. 

     

    1.4.  Restricted
      Securities.
      Lender
      understands that the Conversion Shares and the Warrants are characterized as
      “restricted securities” under the federal securities laws inasmuch as they are
      being acquired from the Company in a transaction not involving a public
      offering, and that under such laws and applicable regulations such securities
      may be resold without registration under the Act only in certain limited
      circumstances.EXHIBIT
      10.5

    

    Nesco
      Industries, Inc.

    305
      Madison Avenue, Suite 4510

    New
      York,
      New York 10165

    

    February ___,
      2007

    

    

    [NAME
      AND ADDRESS OF NOTEHOLDER]

    

    
      	
              Re:

            	
              [NOTE
                OR NOTES]
                (the “Notes”)
                made by Nesco Industries, Inc. (the “Company”)
                in favor of [NOTEHOLDER]
                (the “Lender”)

            

    

    

    [NOTEHOLDER
      SALUTATION]:

    

    This
      letter agreement is to memorialize our agreement concerning the conversion
      of
      all amounts outstanding under the Notes into shares of the common stock
      (“Nesco Common
      Stock”)
      of the
      Company. 

    

    The
      Lender acknowledges that the Company has a strong need to raise capital that
      will enable it to restructure its balance sheet and provide working capital
      for
      the recent asset acquisitions by the Company. The Lender further acknowledges
      that the Company is currently negotiating a financing arrangement that will
      provide it with the needed capital (the “Financing”).
      In
      order to induce the proposed lender to provide the Financing and to reorganize
      the outstanding indebtedness of the Company, the Company is proposing the
      conversion to Nesco Common Stock of the amounts under the Notes. The Lender
      acknowledges that it is in its best interest, as well as the best interest
      of
      the Company, that the Company close the Financing. In consideration of the
      foregoing and the covenants and agreements of the parties contained in this
      letter agreement, the Company and the Lender are hereby entering into the
      following agreements. 

    

    Subject
      to and contingent on the closing of the Financing (the “Closing”),
      the
      parties agree as follows:

    

    1. The
      Notes
      shall cease to accrue interest as of January 31, 2007. Notwithstanding anything
      to the contrary contained in the Notes, immediately following the Common Stock
      Increase (as defined below), the full amount of the principal outstanding under
      the Notes shall be converted into shares of Nesco Common Stock, at $[Insert
      Conversion Rate] per share or [Insert Number] shares of Nesco Common Stock
      for
      the [$Insert Amount] principal amount of Notes outstanding and a warrant to
      purchase [Insert Number] shares of Nesco Common Stock (the “Warrant”)
      at an
      initial exercise price equal to the initial exercise price for the warrants
      to
      be issued in the Financing. Accordingly, promptly following the Common Stock
      Increase, the Company will issue [Insert Number] of Nesco Common Stock to the
      Lender (the “Conversion
      Shares”)
      and
      the Warrant. For purposes of this letter agreement, the “Common
      Stock Increase”
shall
      mean such time as the Company has obtained the approval of its shareholders
      at a
      special or annual meeting to increase the Company’s authorized common stock in
      accordance with the Financing and has filed with the Secretary of State of
      Nevada the amendment to the Company’s Articles of Incorporation to so increase
      the Company’s authorized common stock. 

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    2. In
      connection with the issuance of the Conversion Shares and the Warrant, the
      Lender hereby makes the representations and warranties set forth on Schedule
      A
      attached
      hereto. The Lender understands that the Company is relying on such
      representations and warranties in connection with the issuance of the Conversion
      Shares. 

    

    3. Upon
      receipt of the Conversion Shares and the Warrant, the
      Notes
      shall be cancelled and Lender shall, automatically and without further action
      of
      the parties, release the Company and its officers, directors, employees and
      agents, and each of its successors and assigns from all causes of action, debts,
      contracts, demands and claims of every kind and nature, whether known or unknown
      and whether in law or in equity, that the Lender had, now have, or hereafter
      can, shall or may have with respect to the Notes.

    

    Each
      of
      the foregoing agreements set forth in paragraphs 1 through 3, inclusive, of
      this
      letter agreement are expressly made subject to the Closing, and none of such
      agreements shall be effective unless and until such time as the Closing occurs.
      If the Closing has not occurred on or prior to February 28, 2007, this letter
      agreement shall automatically terminate and shall be of no further force and
      effect, and neither the Company nor the Lender shall have any obligations to
      the
      other hereunder. 

    

    Nothing
      in this letter
      agreement shall be construed as an admission of any liability by any of the
      parties or as a release of any claim or obligation other than as specifically
      set forth above. 

    

    This
      letter agreement is binding upon and shall inure to the benefit of the parties
      hereto and their respective heirs, successors and assigns. No persons other
      than
      the Company and the Lender are intended to be benefited by this letter agreement
      or to have rights hereunder as third-party beneficiaries or
      otherwise.

    

    This
      letter agreement shall be deemed to be a contract made under, and to be
      construed in accordance with, the laws of the State of New York, without giving
      effect to conflicts of law.

    

    If
      any
      provision of this letter agreement is held to be invalid, illegal or
      unenforceable, such invalidity, illegality or unenforceability shall not
      invalidate this letter agreement as a whole, but rather this letter agreement
      shall be construed as though it did not contain the particular provision held
      to
      be invalid, illegal or unenforceable and the rights and obligations of the
      parties hereto shall be construed and enforced only to such extent as may be
      permitted by applicable law. 

    

    This
      letter agreement may be executed by the parties in one or more counterparts,
      each of which will be deemed an original but all of which will constitute one
      and the same instrument.

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    If
      the
      foregoing accurately memorializes our agreement to settle the matters described
      above, please sign below.

    

    Very
      truly yours,

    

    Nesco
      Industries, Inc.

    

    

    By________________________

    Matthew
      Harriton 

    President
      and CEO

    

    

    

    AGREED
      AND ACCEPTED:

    

    [NOTEHOLDER]

    

    

    By_______________________________

    Its_______________________________

    

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    Schedule
      A

    

    Representations
      and Warranties

    

    1.1.  Purchase
      Entirely for Own Account.
      Each
      Note purchased by Lender was, and the Conversion Shares and the Warrant to
      be
      issued in connection therewith will be, acquired for investment for Lender’s own
      account and not with a view to the resale or distribution of any part thereof.
      Lender represents that it has full power and authority to enter into this
      Agreement. 

     

    1.2.  Disclosure
      of Information.
      Lender
      acknowledges that it has received all the information that it has requested
      relating to the Company and conversion of the Notes. Lender further represents
      that it has had an opportunity to ask questions and receive answers from the
      Company regarding the terms and conditions of the issuance of the Conversion
      Shares and the Warrant. 

     

    1.3.  Accredited
      Investor.
      Lender
      is an “accredited investor” within the meaning of Rule 501 of Regulation D
      of the Securities and Exchange Commission as presently in effect. 

     

    1.4.  Restricted
      Securities.
      Lender
      understands that the Conversion Shares, the Warrant and the shares of Nesco
      Common Stock underlying the Warrant are characterized as “restricted securities”
under the federal securities laws inasmuch as they are being acquired from
      the
      Company in a transaction not involving a public offering, and that under such
      laws and applicable regulations such securities may be resold without
      registration under the Act only in certain limited circumstances.

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