Document:

f8k021709ex10iv_attdrinks.htm

     

     

     

    Exhibit
10.4       Form of Class A Common Stock
Purchase Warrant

     

     

    
 

    NEITHER
THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE
SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE HAVE BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES
LAWS.  THE SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED
OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR
THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION
OF COUNSEL (WHICH COUNSEL SHALL BE SELECTED BY THE HOLDER), IN A GENERALLY
ACCEPTABLE FORM, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS
SOLD PURSUANT TO RULE 144 OR RULE 144A UNDER SAID
ACT.  NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED IN
CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING
ARRANGEMENT SECURED BY THE SECURITIES.

    

    
      
        	 
      	
                Right
      to Purchase _________ shares of Common Stock of Attitude Drinks Inc.
      (subject to adjustment as provided
herein)

              

      

    

    

    CLASS
A COMMON STOCK PURCHASE WARRANT

     

    No. 2009-A-001                                                                                                                                                                                              
       Issue Date: March ___,
2009

     

    ATTITUDE
DRINKS INC., a corporation organized under the laws of the State of Delaware
(the “Company”), hereby certifies that, for value received,
_____________________, or its assigns (the “Holder”), is entitled, subject to
the terms set forth below, to purchase from the Company at any time after the
Issue Date until 5:00 p.m., E.S.T on the fifth anniversary of the Issue Date
(the “Expiration Date”), up to ________ fully paid and nonassessable shares of
Common Stock at a per share purchase price of $0.05.   The
aforedescribed purchase price per share, as adjusted from time to time as herein
provided, is referred to herein as the "Purchase Price."  The number
and character of such shares of Common Stock and the Purchase Price are subject
to adjustment as provided herein.  The Company may reduce the Purchase
Price for some or all of the Warrants, temporarily or
permanently.  Capitalized terms used and not otherwise defined herein
shall have the meanings set forth in that certain Subscription Agreement (the
“Subscription
Agreement”), dated as of March ___, 2009, entered into by the Company and
the Holder.

    

    As used
herein the following terms, unless the context otherwise requires, have the
following respective meanings:

     

    (a)           The
term “Company” shall include Attitude Drinks Inc. and any corporation which
shall succeed or assume the obligations of Attitude Drinks Inc.
hereunder.

     

    (b)           The
term “Common Stock” includes (a) the Company's Common Stock, $0.001 par
value per share, as authorized on the date of the Subscription Agreement, and
(b) any other securities into which or for which any of the securities described
in (a) may be converted or exchanged pursuant to a plan of
recapitalization, reorganization, merger, sale of assets or
otherwise.

     

    (c)           The
term “Other Securities” refers to any stock (other than Common Stock) and other
securities of the Company or any other person (corporate or otherwise) which the
holder of the Warrant at any time shall be entitled to receive, or shall have
received, on the exercise of the Warrant, in lieu of or in addition to Common
Stock, or which at any time shall be issuable or shall have been issued in
exchange for or in replacement of Common Stock or Other Securities pursuant to
Section 4 or otherwise.

     

     

    
      
        
        

      

      
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    (d)           The
term “Warrant Shares” shall mean the Common Stock issuable upon exercise of this
Warrant.

     

    1.           Exercise of
Warrant.

     

    1.1.           Number of Shares Issuable
upon Exercise.  From and after the Issue Date through and
including the Expiration Date, the Holder hereof shall be entitled to receive,
upon exercise of this Warrant in whole in accordance with the terms of
subsection 1.2 or upon exercise of this Warrant in part in accordance with
subsection 1.3, shares of Common Stock of the Company, subject to
adjustment pursuant to Section 4.

     

    1.2.           Full
Exercise.  This Warrant may be exercised in full by the Holder
hereof by delivery of an original or facsimile copy of the form of subscription
attached as Exhibit A hereto (the “Subscription Form”) duly executed by
such Holder and delivery within two days thereafter of payment, in cash, wire
transfer or by certified or official bank check payable to the order of the
Company, in the amount obtained by multiplying the number of shares of Common
Stock for which this Warrant is then exercisable by the Purchase Price then in
effect.  The original Warrant is not required to be surrendered to the
Company until it has been fully exercised.

     

    1.3.           Partial
Exercise.  This Warrant may be exercised in part (but not for a
fractional share) by delivery of a Subscription Form in the manner and at the
place provided in subsection 1.2 except that the amount payable by the
Holder on such partial exercise shall be the amount obtained by multiplying
(a) the number of whole shares of Common Stock designated by the Holder in
the Subscription Form by (b) the Purchase Price then in
effect.  On any such partial exercise provided the Holder has
surrendered the original Warrant, the Company, at its expense, will forthwith
issue and deliver to or upon the order of the Holder hereof a new Warrant of
like tenor, in the name of the Holder hereof or as such Holder (upon payment by
such Holder of any applicable transfer taxes) may request, the whole number of
shares of Common Stock for which such Warrant may still be exercised for the
balance of.

     

    1.4.           Fair Market Value.
Fair Market Value of a share of Common Stock as of a particular date (the
"Determination Date") shall mean:

     

    (a)           If
the Company's Common Stock is traded on an exchange or is quoted on the NASDAQ
Global Market, Nasdaq Global Select Market, the NASDAQ Capital Market, the New
York Stock Exchange or the American Stock Exchange, LLC, then the average of the
closing or last sale prices, respectively, reported for the ten trading days
immediately preceding the Determination Date;

     

    (b)           If
the Company's Common Stock is not traded on an exchange or on the NASDAQ Global
Market, Nasdaq Global Select Market, the NASDAQ Capital Market, the New York
Stock Exchange or the American Stock Exchange, LLC, but is traded in the
over-the-counter market, then the average of the closing bid and ask prices
reported for the ten trading days immediately preceding the Determination
Date;

     

    (c)           Except
as provided in clause (d) below and Section 3.1, if the Company's Common
Stock is not publicly traded, then as the Holder and the Company agree, or in
the absence of such an agreement, by arbitration in accordance with the rules
then standing of the American Arbitration Association, before a single
arbitrator to be chosen from a panel of persons qualified by education and
training to pass on the matter to be decided; or

     

    (d)           If
the Determination Date is the date of a liquidation, dissolution or winding up,
or any event deemed to be a liquidation, dissolution or winding up pursuant to
the Company's charter, then all amounts to be payable per share to holders of
the Common Stock pursuant to the charter in the event of such liquidation,
dissolution or winding up, plus all other amounts to be payable per share in
respect of the Common Stock in liquidation under the charter, assuming for the
purposes of this clause (d) that all of the shares of Common Stock then
issuable upon exercise of all of the Warrants are outstanding at the
Determination Date.

     

     

    
      
        
        

      

      
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    1.5.           Company
Acknowledgment. The Company will, at the time of the exercise of the
Warrant, upon the request of the Holder hereof acknowledge in writing its
continuing obligation to afford to such Holder any rights to which such Holder
shall continue to be entitled after such exercise in accordance with the
provisions of this Warrant. If the Holder shall fail to make any such request,
such failure shall not affect the continuing obligation of the Company to afford
to such Holder any such rights.

     

    1.6.           Trustee for Warrant
Holders. In the event that a bank or trust company shall have been
appointed as trustee for the Holder of the Warrants pursuant to
Subsection 3.2, such bank or trust company shall have all the powers and
duties of a warrant agent (as hereinafter described) and shall accept, in its
own name for the account of the Company or such successor person as may be
entitled thereto, all amounts otherwise payable to the Company or such
successor, as the case may be, on exercise of this Warrant pursuant to this
Section 1.

     

                  
 1.7           Delivery of Stock Certificates,
etc. on Exercise. The Company agrees that the shares of Common Stock
purchased upon exercise of this Warrant shall be deemed to be issued to the
Holder hereof as the record owner of such shares as of the close of business on
the date on which delivery of a Subscription Form shall have occurred and
payment made for such shares as aforesaid. As soon as practicable after the
exercise of this Warrant in full or in part, and in any event within three (3)
business days thereafter (“Warrant Share Delivery Date”), the Company at its
expense (including the payment by it of any applicable issue taxes) will cause
to be issued in the name of and delivered to the Holder hereof, or as such
Holder (upon payment by such Holder of any applicable transfer taxes) may direct
in compliance with applicable securities laws, a certificate or certificates for
the number of duly and validly issued, fully paid and non-assessable shares of
Common Stock (or Other Securities) to which such Holder shall be entitled on
such exercise, plus, in lieu of any fractional share to which such Holder would
otherwise be entitled, cash equal to such fraction multiplied by the then Fair
Market Value of one full share of Common Stock, together with any other stock or
other securities and property (including cash, where applicable) to which such
Holder is entitled upon such exercise pursuant to Section 1 or
otherwise.  The Company understands that a delay in the delivery of
the Warrant Shares after the Warrant Share Delivery Date could result in
economic loss to the Holder.  As compensation to the Holder for such
loss, the Company agrees to pay (as liquidated damages and not as a penalty) to
the Holder for late issuance of Warrant Shares upon exercise of this Warrant the
proportionate amount of $100 per business day after the Warrant Share Delivery
Date for each $10,000 of Purchase Price of Warrant Shares for which this Warrant
is exercised which are not timely delivered.  The Company shall pay
any payments incurred under this Section in immediately available funds upon
demand.  Furthermore, in addition to any other remedies which may be
available to the Holder, in the event that the Company fails for any reason to
effect delivery of the Warrant Shares by the Warrant Share Delivery Date,
the Holder may revoke all or part of the relevant Warrant exercise by delivery
of a notice to such effect to the Company, whereupon the Company and the Holder
shall each be restored to their respective positions immediately prior to the
exercise of the relevant portion of this Warrant, except that the liquidated
damages described above shall be payable through the date notice of revocation
or rescission is given to the Company.

     

               
   1.8           Buy-In.  In
addition to any other rights available to the Holder, if the Company fails to
deliver to a Holder the Warrant Shares as required pursuant to this Warrant,
within seven (7) business days after the Warrant Share Delivery Date and the
Holder or a broker on the Holder’s behalf, purchases (in an open market
transaction or otherwise) shares of common stock to deliver in satisfaction of a
sale by such Holder of the Warrant Shares which the Holder was entitled to
receive from the Company (a "Buy-In"), then the Company
shall pay in cash to the Holder (in addition to any remedies available to or
elected by the Holder) the amount by which (A) the Holder's total purchase price
(including brokerage commissions, if any) for the shares of common stock so
purchased exceeds (B) the aggregate Purchase Price of the Warrant
Shares required to have been delivered together with interest thereon at a
rate of 15% per annum, accruing until such amount and any accrued interest
thereon is paid in full (which amount shall be paid as liquidated damages and
not as a penalty).  For example, if a Holder purchases shares of
Common Stock having a total purchase price of $11,000 to cover a Buy-In with
respect to $10,000 of Purchase Price of Warrant Shares to have been received
upon exercise of this Warrant, the Company shall be required to pay the Holder
$1,000, plus interest. The Holder shall provide the Company written notice
indicating the amounts payable to the Holder in respect of the
Buy-In.

     

    
      
        
        

      

      
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    2.           Cashless
Exercise.

     

    (a)           Payment
upon exercise may be made at the option of the Holder either in (i) cash,
wire transfer or by certified or official bank check payable to the order of the
Company equal to the applicable aggregate Purchase Price, (ii) by delivery of
Common Stock issuable upon exercise of the Warrants in accordance with
Section (b) below or (iii) by a combination of any of the
foregoing methods, for the number of Common Stock specified in such form (as
such exercise number shall be adjusted to reflect any adjustment in the total
number of shares of Common Stock issuable to the holder per the terms of this
Warrant) and the holder shall thereupon be entitled to receive the number of
duly authorized, validly issued, fully-paid and non-assessable shares of Common
Stock (or Other Securities) determined as provided herein.

     

    (b)           Subject
to the provisions herein to the contrary, if the Fair Market Value of one share
of Common Stock is greater than the Purchase Price (at the date of calculation
as set forth below), in lieu of exercising this Warrant for cash, the holder may
elect to receive shares equal to the value (as determined below) of this Warrant
(or the portion thereof being cancelled) by surrender of this Warrant at the
principal office of the Company together with the properly endorsed Subscription
Form in which event the Company shall issue to the holder a number of shares of
Common Stock computed using the following formula:

     

    X=Y (A-B)

              A

     

    
      
        	
                Where

              	X=	the
      number of shares of Common Stock to be issued to the holder
	 	 	 
	
                 
      

              	
                Y=

              	
                the
      number of shares of Common Stock purchasable under the Warrant or, if only
      a portion of the Warrant is being exercised, the portion of the Warrant
      being exercised (at the date of such
  calculation)

              

      

    

     

    
      	
               
      

            	
              A=

            	
              the
      average of the closing sale prices of the Common Stock for the five (5)
      Trading Days immediately prior to (but not including) the Exercise Date,
      or Fair Market Value, whichever is
less

            

    

     

    
      	
               
      

            	
              B=

            	
              Purchase
      Price (as adjusted to the date of such
  calculation)

            

    

     

    (c)           The
Holder may employ the cashless exercise feature described in Section (b) above
at any time.

     

    For
purposes of Rule 144 promulgated under the 1933 Act, it is intended, understood
and acknowledged that the Warrant Shares issued in a cashless exercise
transaction shall be deemed to have been acquired by the Holder, and the holding
period for the Warrant Shares shall be deemed to have commenced, on the date
this Warrant was originally issued pursuant to the Subscription
Agreement.

     

     

    
      
        
        

      

      
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    3.           Adjustment for
Reorganization, Consolidation, Merger, etc.

     

    3.1.
Fundamental
Transaction. If, at any time while this Warrant is outstanding, (A) the
Company effects any merger or consolidation of the Company with or into another
entity, (B) the Company effects any sale of all or substantially all of its
assets in one or a series of related transactions, (C) any tender offer or
exchange offer (whether by the Company or another entity) is completed pursuant
to which holders of Common Stock are permitted to tender or exchange their
shares for other securities, cash or property, (D) the Company consummates a
stock purchase agreement or other business combination (including, without
limitation, a reorganization, recapitalization, spin-off or scheme of
arrangement) with one or more persons or entities whereby such other persons or
entities acquire more than the 50% of the outstanding shares of Common Stock
(not including any shares of Common Stock held by such other persons or entities
making or party to, or associated or affiliated with the other persons or
entities making or party to, such stock purchase agreement or other business
combination), (E) any "person" or "group" (as these terms are used for purposes
of Sections 13(d) and 14(d) of the 1934 Act) is or shall become the "beneficial
owner" (as defined in Rule 13d-3 under the 1934 Act), directly or indirectly, of
50% of the aggregate Common Stock of the Company, or (F) the Company effects any
reclassification of the Common Stock or any compulsory share exchange pursuant
to which the Common Stock is effectively converted into or exchanged for other
securities, cash or property (in any such case, a "Fundamental Transaction"),
then, upon any subsequent exercise of this Warrant, the Holder shall have the
right to receive, for each Warrant Share that would have been issuable upon such
exercise immediately prior to the occurrence of such Fundamental Transaction, at
the option of the Holder, (a) upon exercise of this Warrant, the number of
shares of Common Stock of the successor or acquiring corporation or of the
Company, if it is the surviving corporation, and any additional consideration
(the "Alternate Consideration") receivable upon or as a result of such
reorganization, reclassification, merger, consolidation or disposition of assets
by a Holder of the number of shares of Common Stock for which this Warrant is
exercisable immediately prior to such event or (b) if the Company is acquired in
(1) a transaction where the consideration paid to the holders of the Common
Stock consists solely of cash, (2) a “Rule 13e-3 transaction” as defined in Rule
13e-3 under the 1934 Act, or (3) a transaction involving a person or entity not
traded on a national securities exchange, the Nasdaq Global Select Market, the
Nasdaq Global Market or the Nasdaq Capital Market, cash equal to the
Black-Scholes Value. For purposes of any such exercise, the determination of the
Purchase Price shall be appropriately adjusted to apply to such Alternate
Consideration based on the amount of Alternate Consideration issuable in respect
of one share of Common Stock in such Fundamental Transaction, and the Company
shall apportion the Purchase Price among the Alternate Consideration in a
reasonable manner reflecting the relative value of any different components of
the Alternate Consideration. If holders of Common Stock are given any choice as
to the securities, cash or property to be received in a Fundamental Transaction,
then the Holder shall be given the same choice as to the Alternate Consideration
it receives upon any exercise of this Warrant following such Fundamental
Transaction. To the extent necessary to effectuate the foregoing provisions, any
successor to the Company or surviving entity in such Fundamental Transaction
shall issue to the Holder a new warrant consistent with the foregoing provisions
and evidencing the Holder's right to exercise such warrant into Alternate
Consideration. The terms of any agreement pursuant to which a Fundamental
Transaction is effected shall include terms requiring any such successor or
surviving entity to comply with the provisions of this Section 3.1 and insuring
that this Warrant (or any such replacement security) will be similarly adjusted
upon any subsequent transaction analogous to a Fundamental Transaction.
“Black-Scholes Value” shall be determined in accordance with the Black-Scholes
Option Pricing Model obtained from the “OV” function on Bloomberg L.P. using (i)
a price per share of Common Stock equal to the VWAP of the Common Stock for the
Trading Day immediately preceding the date of consummation of the applicable
Fundamental Transaction, (ii) a risk-free interest rate corresponding to the
U.S. Treasury rate for a period equal to the remaining term of this Warrant as
of the date of such request and (iii) an expected volatility equal to the 100
day volatility obtained from the HVT function on Bloomberg L.P. determined as of
the Trading Day immediately following the public announcement of the applicable
Fundamental Transaction.

     

    3.2.           Dissolution.  In
the event of any dissolution of the Company following the transfer of all or
substantially all of its properties or assets, the Company, prior to such
dissolution, shall at its expense deliver or cause to be delivered the stock and
other securities and property (including cash, where applicable) receivable by
the Holder of the Warrants after the effective date of such dissolution pursuant
to this Section 3 to a bank or trust company (a "Trustee") having its
principal office in New York, NY, as trustee for the Holder of the
Warrants.  Such property shall be delivered only upon payment of the
Warrant exercise price.

     

    
      
        
        

      

      
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    3.3.           Continuation of
Terms.  Upon any reorganization, consolidation, merger or
transfer (and any dissolution following any transfer) referred to in this
Section 3, this Warrant shall continue in full force and effect and the
terms hereof shall be applicable to the Other Securities and property receivable
on the exercise of this Warrant after the consummation of such reorganization,
consolidation or merger or the effective date of dissolution following any such
transfer, as the case may be, and shall be binding upon the issuer of any Other
Securities, including, in the case of any such transfer, the person acquiring
all or substantially all of the properties or assets of the Company, whether or
not such person shall have expressly assumed the terms of this Warrant as
provided in Section 4.  In the event this Warrant does not
continue in full force and effect after the consummation of the transaction
described in this Section 3, then only in such event will the Company's
securities and property (including cash, where applicable) receivable by the
Holder of the Warrants be delivered to the Trustee as contemplated by
Section 3.2.

     

    3.4           Share
Issuance.  Until the Expiration Date, if the Company shall
issue any Common Stock except for the Excepted Issuances (as defined in the
Subscription Agreement), prior to the complete exercise of this Warrant for a
consideration less than the Purchase Price that would be in effect at the time
of such issue, then, and thereafter successively upon each such issue, the
Purchase Price shall be reduced to such other lower price for then outstanding
Warrants.  For purposes of this adjustment, the issuance of any
security or debt instrument of the Company carrying the right to convert such
security or debt instrument into Common Stock or of any warrant, right or option
to purchase Common Stock shall result in an adjustment to the Purchase Price
upon the issuance of the above-described security, debt instrument, warrant,
right, or option if such issuance is at a price lower than the Purchase Price in
effect upon such issuance and again at any time upon any subsequent issuances of
shares of Common Stock upon exercise of such conversion or purchase rights if
such issuance is at a price lower than the Purchase Price in effect upon such
issuance.  The reduction of the Purchase Price described in this
Section 3.4 is subject to the provisions of, and in addition to the other rights
of the Holder described in, the Subscription Agreement.  The number of
shares of Common Stock that the Holder of this Warrant shall thereafter, on the
exercise hereof, be entitled to receive shall be adjusted to a number determined
by multiplying the number of shares of Common Stock that would otherwise (but
for the provisions of this Section 3.4 be issuable on such exercise by a
fraction of which (a) the numerator is the Purchase Price that would otherwise
(but for the provisions of this Section 3.4 be in effect, and (b) the
denominator is the Purchase Price in effect on the date of such
exercise.

     

    4.           Extraordinary Events
Regarding Common Stock.  In the event that the Company shall
(a) issue additional shares of the Common Stock as a dividend or other
distribution on outstanding Common Stock, (b) subdivide its outstanding
shares of Common Stock, or (c) combine its outstanding shares of the Common
Stock into a smaller number of shares of the Common Stock, then, in each such
event, the Purchase Price shall, simultaneously with the happening of such
event, be adjusted by multiplying the then Purchase Price by a fraction, the
numerator of which shall be the number of shares of Common Stock outstanding
immediately prior to such event and the denominator of which shall be the number
of shares of Common Stock outstanding immediately after such event, and the
product so obtained shall thereafter be the Purchase Price then in effect. The
Purchase Price, as so adjusted, shall be readjusted in the same manner upon the
happening of any successive event or events described herein in this
Section 4. The number of shares of Common Stock that the Holder of this
Warrant shall thereafter, on the exercise hereof, be entitled to receive shall
be adjusted to a number determined by multiplying the number of shares of Common
Stock that would otherwise (but for the provisions of this Section 4 be issuable
on such exercise by a fraction of which (a) the numerator is the Purchase Price
that would otherwise (but for the provisions of this Section 4 be in effect, and
(b) the denominator is the Purchase Price in effect on the date of such
exercise.

     

    
      
        
        

      

      
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    5.           Certificate as to
Adjustments.  In each case of any adjustment or readjustment in
the shares of Common Stock (or Other Securities) issuable on the exercise of the
Warrants, the Company at its expense will promptly cause its Chief Financial
Officer or other appropriate designee to compute such adjustment or readjustment
in accordance with the terms of the Warrant and prepare a certificate setting
forth such adjustment or readjustment and showing in detail the facts upon which
such adjustment or readjustment is based, including a statement of (a) the
consideration received or receivable by the Company for any additional shares of
Common Stock (or Other Securities) issued or sold or deemed to have been issued
or sold, (b) the number of shares of Common Stock (or Other Securities)
outstanding or deemed to be outstanding, and (c) the Purchase Price and the
number of shares of Common Stock to be received upon exercise of this Warrant,
in effect immediately prior to such adjustment or readjustment and as adjusted
or readjusted as provided in this Warrant. The Company will forthwith mail a
copy of each such certificate to the Holder of the Warrant and any Warrant Agent
of the Company (appointed pursuant to Section 11 hereof).

     

    6.           Reservation of Stock, etc.
Issuable on Exercise of Warrant; Financial
Statements.   The Company will at all times reserve and
keep available, solely for issuance and delivery on the exercise of the
Warrants, all shares of Common Stock (or Other Securities) from time to time
issuable on the exercise of the Warrant.  This Warrant entitles the
Holder hereof to receive copies of all financial and other information
distributed or required to be distributed to the holders of the Company's Common
Stock.

     

    7.           Assignment; Exchange of
Warrant.  Subject to compliance with applicable securities
laws, this Warrant, and the rights evidenced hereby, may be transferred by any
registered holder hereof (a "Transferor"). On the surrender for exchange of this
Warrant, with the Transferor's endorsement in the form of Exhibit B
attached hereto (the “Transferor Endorsement Form") and together with an opinion
of counsel reasonably satisfactory to the Company that the transfer of this
Warrant will be in compliance with applicable securities laws, the Company will
issue and deliver to or on the order of the Transferor thereof a new Warrant or
Warrants of like tenor, in the name of the Transferor and/or the transferee(s)
specified in such Transferor Endorsement Form (each a "Transferee"), calling in
the aggregate on the face or faces thereof for the number of shares of Common
Stock called for on the face or faces of the Warrant so surrendered by the
Transferor.

     

    8.           Replacement of
Warrant.  On receipt of evidence reasonably satisfactory to the
Company of the loss, theft, destruction or mutilation of this Warrant and, in
the case of any such loss, theft or destruction of this Warrant, on delivery of
an indemnity agreement or security reasonably satisfactory in form and amount to
the Company or, in the case of any such mutilation, on surrender and
cancellation of this Warrant, the Company at its expense, twice only, will
execute and deliver, in lieu thereof, a new Warrant of like tenor.

     

    9.           Registration
Rights.  The Holder of this Warrant has been granted certain
registration rights by the Company.  These registration rights are set
forth in the Subscription Agreement.  The terms of the Subscription
Agreement are incorporated herein by this reference.

     

    10.           Maximum
Exercise.  The Holder shall not be entitled to exercise this
Warrant on an exercise date, in connection with that number of shares of Common
Stock which would be in excess of the sum of (i) the number of shares of
Common Stock beneficially owned by the Holder and its affiliates on an exercise
date, and (ii) the number of shares of Common Stock issuable upon the
exercise of this Warrant with respect to which the determination of this
limitation is being made on an exercise date, which would result in beneficial
ownership by the Holder and its affiliates of more than 4.99% of the outstanding
shares of Common Stock on such date.  For the purposes of the
immediately preceding sentence, beneficial ownership shall be determined in
accordance with Section 13(d) of the 1934 Act and Rule 13d-3
thereunder.  Subject to the foregoing, the Holder shall not be limited
to aggregate exercises which would result in the issuance of more than
4.99%.  The restriction described in this paragraph may be
waived, in whole or in part, upon sixty-one (61) days prior notice from the
Holder to the Company to increase such percentage to up to 9.99%, but not in
excess of 9.99%.  The Holder may decide whether to convert a
Convertible Note or exercise this Warrant to achieve an actual 4.99% or up to
9.99% ownership position as described above, but not in excess of
9.99%.

     

     

    
      
        
        

      

      
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    11.           Warrant
Agent.  The Company may, by written notice to the Holder of the
Warrant, appoint an agent (a “Warrant Agent”) for the purpose of issuing Common
Stock (or Other Securities) on the exercise of this Warrant pursuant to
Section 1, exchanging this Warrant pursuant to Section 7, and
replacing this Warrant pursuant to Section 8, or any of the foregoing, and
thereafter any such issuance, exchange or replacement, as the case may be, shall
be made at such office by such Warrant Agent.

     

    12.           Transfer on the Company's
Books.  Until this Warrant is transferred on the books of the
Company, the Company may treat the registered holder hereof as the absolute
owner hereof for all purposes, notwithstanding any notice to the
contrary.

     

    13.           Notices.   All
notices, demands, requests, consents, approvals, and other communications
required or permitted hereunder shall be in writing and, unless otherwise
specified herein, shall be (i) personally served, (ii) deposited in the mail,
registered or certified, return receipt requested, postage prepaid, (iii)
delivered by reputable air courier service with charges prepaid, or (iv)
transmitted by hand delivery, telegram, or facsimile, addressed as set forth
below or to such other address as such party shall have specified most recently
by written notice.  Any notice or other communication required or
permitted to be given hereunder shall be deemed effective (a) upon hand delivery
or delivery by facsimile, with accurate confirmation generated by the
transmitting facsimile machine, at the address or number designated below (if
delivered on a business day during normal business hours where such notice is to
be received), or the first business day following such delivery (if delivered
other than on a business day during normal business hours where such notice is
to be received) or (b) on the second business day following the date of mailing
by express courier service, fully prepaid, addressed to such address, or upon
actual receipt of such mailing, whichever shall first occur.  The
addresses for such communications shall be:  if to the Company, to:
Attitude Drinks Inc., 10415 Riverside Drive, Suite 101, Palm Beach Gardens, FL
33410, Attn: Roy Warren, CEO and President, telecopier: (561) 799-5039, with a
copy by telecopier only to: Weed & Co., LLP, 4695 MacArthur Court, Suite
1430, Newport Beach, CA 92660, Attn: Rick Weed, Esq., telecopier number: (949)
475-9087, and (ii) if to the Holder, to the address and telecopier number listed
on the first paragraph of this Warrant, with a copy by telecopier only to:
Grushko & Mittman, P.C., 551 Fifth Avenue, Suite 1601, New York, New York
10176, telecopier number: (212) 697-3575.

     

    14.           Law Governing This
Warrant.  This Warrant shall be governed by and construed in
accordance with the laws of the State of New York without regard to principles
of conflicts of laws.  Any action brought by either party against the
other concerning the transactions contemplated by this Warrant shall be brought
only in the state courts of New York or in the federal courts located in the
state and county of New York.  The parties to this Warrant hereby
irrevocably waive any objection to jurisdiction and venue of any action
instituted hereunder and shall not assert any defense based on lack of
jurisdiction or venue or based upon forum non
conveniens.  The Company and Holder waive trial by
jury.  The prevailing party shall be entitled to recover from the
other party its reasonable attorney's fees and costs.  In the event
that any provision of this Warrant or any other agreement delivered in
connection herewith is invalid or unenforceable under any applicable statute or
rule of law, then such provision shall be deemed inoperative to the extent that
it may conflict therewith and shall be deemed modified to conform with such
statute or rule of law.  Any such provision which may prove invalid or
unenforceable under any law shall not affect the validity or enforceability of
any other provision of any agreement.   Each party hereby
irrevocably waives personal service of process and consents to process being
served in any suit, action or proceeding in connection with this Agreement or
any other Transaction Document by mailing a copy thereof via registered or
certified mail or overnight delivery (with evidence of delivery) to such party
at the address in effect for notices to it under this Agreement and agrees that
such service shall constitute good and sufficient service of process and notice
thereof.  Nothing contained herein shall be deemed to limit in any way
any right to serve process in any other manner permitted by law.

     

    
      
        
        

      

      
        -8-

        
          

        

      

      
        
        

      

    

     

     

     

    IN
WITNESS WHEREOF, the Company has executed this Warrant as of the date first
written above.

     

    
      
        
          	 
      	
                  ATTITUDE
      DRINKS INC.

                   

                   

                   

                  By:                                       
                           

                  Name:

                   

                

        

      

    

    

     

    
      
        
        

      

      
        -9-

        
          

        

      

      
        
        

      

    

     

     

    Exhibit A

    

    FORM OF
SUBSCRIPTION

    (to be
signed only on exercise of Warrant)

    TO:  ATTITUDE
DRINKS INC.

    The
undersigned, pursuant to the provisions set forth in the attached Warrant
(No.____), hereby irrevocably elects to purchase (check applicable
box):

    

    ___           ________
shares of the Common Stock covered by such Warrant; or

    ___           the
maximum number of shares of Common Stock covered by such Warrant pursuant to the
cashless exercise procedure set forth in Section 2.

    

    The
undersigned herewith makes payment of the full purchase price for such shares at
the price per share provided for in such Warrant, which is
$______.  Such payment takes the form of (check applicable box or
boxes):

    

    ___           $__________
in lawful money of the United States; and/or

    ___           the
cancellation of such portion of the attached Warrant as is exercisable for a
total of _______ shares of Common Stock (using a Fair Market Value of $_______
per share for purposes of this calculation); and/or

    

    ___           the
cancellation of such number of shares of Common Stock as is necessary, in
accordance with the formula set forth in Section 2, to exercise this
Warrant with respect to the maximum number of shares of Common Stock purchasable
pursuant to the cashless exercise procedure set forth in
Section 2.

    

    The
undersigned requests that the certificates for such shares be issued in the name
of, and delivered to ____________________________________ whose address is
_________________________________________________

    ______________________________________ .

    

    The
undersigned represents and warrants that all offers and sales by the undersigned
of the securities issuable upon exercise of the within Warrant shall be made
pursuant to registration of the Common Stock under the Securities Act of 1933,
as amended (the "Securities Act"), or pursuant to an exemption from registration
under the Securities Act.

    

    
      	
              Dated:                                            
             

            	
                                                                                             
           

              (Signature
      must conform to name of holder as 

              specified
      on the face of the Warrant)

               

                                                                                        
                   
      

                                                                                            
           

              (Address)

            

    

     

     

    
      
        
        

      

      
        -10-

        
          

        

      

      
        
        

      

    

     

     

    Exhibit B

    

    

    FORM OF
TRANSFEROR ENDORSEMENT

    (To be
signed only on transfer of Warrant)

     

    For value
received, the undersigned hereby sells, assigns, and transfers unto the
person(s) named below under the heading "Transferees" the right represented by
the within Warrant to purchase the percentage and number of shares of Common
Stock of ATTITUDE DRINKS INC. to which the within Warrant relates specified
under the headings "Percentage Transferred" and "Number Transferred,"
respectively, opposite the name(s) of such person(s) and appoints each such
person Attorney to transfer its respective right on the books of ATTITUDE DRINKS
INC. with full power of substitution in the premises.

     

    

    
      
        
          
            	
                    Transferees

                  	
                    Percentage Transferred

                  	
                    Number Transferred

                  
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      

          

        

      

    

    

    

    
      	
              Dated:  ______________,
      ___________

               

               

               

              Signed
      in the presence of:

               

                                                                      
                        
         

              (Name)

               

               

              ACCEPTED
      AND AGREED:

              [TRANSFEREE]

               

                                                                         

              (Name)

               

            	
                                                                                 
      

              (Signature
      must conform to name of holder 

              as
      specified on the face of the warrant)

               

               

               

               

                                                                                                      
      

                                                                                                      
      

              (address)

               

                                                                                           
                       
      

                                                                                        
                       
      

              (address)

            

    

    

    

    
 

     

     -11-ex10_1.htm

    
      EXHIBIT
10.1

    

     

    Contract
No.  2009SC000000841

     

     

     

    Bank of
Hangzhou

     

    Comprehensive
Financing Line Contract

     

     

     

     

     

    Party A:SinoHub
SCM Shenzhen Ltd. 

     

    Address:6/F,
No. 5 Qiongyu Road, Central Area, Technology Park, Nanshan District, Shenzhen,
China

     

    The legal representative:Hantao
Cui 

     

    Phone:86-755-26612223
         Postcode:518057

     

     

     

    Party B:Shenzhen
Branch, Bank of Hangzhou

     

    Address:1-3
Floor, Ai Hua Mansion, No. 2038 Shen Nan Zhong Avenue, Futian District,
Shenzhen, China

     

    The legal representative:Haobo
Wan 

     

    Phone:86-755-83885055          Postcode:518010

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Whereas Party A
applies for comprehensive financing line at Party B, Party A and Party B agree
on the following terms and conditions in accordance with The Contract Law of the
People's Republic of China, The Guaranty Law of the People's Republic of China,
Real Right Law of the Peoples Republic of China and other relevant laws and
regulations.

     

    Article 1
Comprehensive financing line of credit: please see Article 12 (1).

     

    Article 2 Term of
comprehensive financing line: please see Article 12 (2).

     

    Article 3 Category
of comprehensive financing line:

     

    The comprehensive
financing line in this contract includes but is not limited to the following
categories of business:

     

    Bank loan, Bank
Discount Acceptance, confirming agent, guarantee, loan commitment, opening L/C,
Import/export Bill Advance, financial packaging, forfeiting, etc.

     

    The specific
category, amount, interest rate, rate and term, please refer to the subcontract
for each business category and loan, or other credit documents.

     

    Article 4 Use of
financing line of credit:

     

    
      	
              I.

            	
              The
      comprehensive financing line shall be used only when Party A submits the
      application, after Party B examines and approves, and both parties sign
      the subcontract against each business
category.

            

    

    
      	
              II.

            	
              The
      prerequisite to use the comprehensive
      financing line:

            

    

    
      	
               
      

            	
              1.

            	
              This contract
      has taken effect;

            

    

    
      	
               
      

            	
              2.

            	
              Party A has
      provided guarantees according to the requirement of Party B, and the
      guarantee contracts has become effect with all the legal or agreed
      approval, registration, delivery, etc. procedures
    completed.

            

    

    
      	
               
      

            	
              3.

            	
              No such
      events as listed in Article 7 to breach the terms of this contract
      occurred before using the financing line of
  credit;

            

    

    
      	
               
      

            	
              4.

            	
              The other
      conditions required by law, agreed by both parties or required by Party
      B.

            

    

    Party B is entitled
to refuse the using of this comprehensive financing line by Party A if one of
the above conditions is not fulfilled, but not including the situation agreed by
Party B.

     

    Article 5
Repayment:

    
      	
              I.

            	
              Party A shall
      open an account at Party B, and deposit amount that is equal to the
      repayment to this account before the agreed repayment
  date.

            

    

    
      	
              II.

            	
              Party B shall
      fulfill its obligations before the expiration date of each credit,
      otherwise, it will be regarded and coped with as overdue credit (including
      advances).

            

    

    
      	
              III.

            	
              Party A
      hereby irrevocably authorizes Party B to deduct the due principal and
      interest (amount payable) and other relative expenses of each subcontract
      from any account of Party A.

            

    

     

    Article 6 Guarantee
method and guarantee contract: please see Article 12 (3).

     

    Article 7 Default
Events:

    
      	
              I.

            	
              On the
      condition that one of the following situations occurs, it shall be
      regarded as an event of default under this contract and the
      subcontracts:

            

    

    
      	
               
      

            	
              1.

            	
              Party A
      conceals its financial conditions, the worsening of operations, decreased
      registered capital or the failure to pay off, illegal withdrawal of
      capital, illegal transfer of property, evading repayment of debt, losing
      business creditworthiness or losing the capability of performing debt
      obligations;

            

    

    
      	
               
      

            	
              2.

            	
              The documents
      provided by Party A conceals or deviate from the facts, or during the
      application and execution of the credit specified in this contract and
      subcontract, there existed suspected deceptive
      business practices.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      
      

    

    
      	
               
      

            	
              3.

            	
              Party A uses
      the credit other than the purpose specified in this
    contract;

            

    

    
      	
               
      

            	
              4.

            	
              Any form of
      change of business operation or reconstructing the enterprise of Party A,
      such as splitting  up, merge, acquisition, integration, setting
      up joint equity ventures or cooperating with foreign businesses,
      contracting, renting, reorganizing, sending out the shares, reforming the
      form of ownership, planning going public, or decreasing registered
      capital, transferring the ownership of property or stock equities,
      etc.;

            

    

    
      	
               
      

            	
              5.

            	
              No notice to
      Party B in written form 7 days after Party A changes its name, legal
      representative, legal address, scope of business, registered capital,
      ownership structure, etc.;

            

    

    
      	
               
      

            	
              6.

            	
              Party A
      conducts the behavior of evading or escaping from obligations that is
      against the state administration of taxation, or is imposed an
      administrative punishment, such as order to suspend production or
      business operation, or revocation of a permit or license,
      etc.;

            

    

    
      	
               
      

            	
              7.

            	
              Party A
      terminates operation or dissolves, dismisses or becomes
      bankrupt;

            

    

    
      	
               
      

            	
              8.

            	
              Party A signs
      contracts or agreements with any third party that are harmful to the
      interests of Party B;

            

    

    
      	
               
      

            	
              9.

            	
              Party A or
      its legal representative (authorized representative), person in charge is
      or is going to be involved in a major lawsuit, arbitration, criminal case
      or other legal dispute;

            

    

    
      	
               
      

            	
              10.

            	
              Party A fails
      to deliver the interest according to the terms of a certain single
      business subcontract under this contract or repay the due principal and
      payables;

            

    

    
      	
               
      

            	
              11.

            	
              Party A fails
      to discharge the debt against any financial
  organizations;

            

    

    
      	
               
      

            	
              12.

            	
              Party A fails
      to obey the terms in this contract, or conducts any behavior in violation
      of any contracts signed with other organizations of Party B or Hangzhou
      Bank Co. Ltd.;

            

    

    
      	
               
      

            	
              13.

            	
              The
      guarantors of this contract fail to obey the terms in this contract, or
      violate any contracts signed with other organizations of Party B or
      Hangzhou Bank Co. Ltd.;

            

    

    
      	
               
      

            	
              14.

            	
              There is poor
      credit record of Party A in the credit database established or approved to
      be established by The People’s Bank of China, China Banking Regulatory
      Commission or China Association of
Banks;

            

    

    
      	
               
      

            	
              15.

            	
              There appears
      risks on the credit guarantee provided by Party A (including but not
      limited to the worsened financial conditions, decreased capability of
      fulfilling obligations, resetting major liabilities on the collateral
      guarantee without the consent of Party B, collateral guarantee being
      sealed up, and situations agreed in guarantee contract), and Party A fails
      to provide new guarantee meeting the needs of Party
  B;

            

    

    
      	
               
      

            	
              16.

            	
              Other
      situations occur to Party A, which affects its capability and sincerity of
      fulfilling its liabilities, or regarded by Party B as factors to influence
      the financial condition and fulfilling capability of Party
    A.

            

    

     

     

    
      	
              II.

            	
              Party B shall
      take one or all of the several measures if the above default events
      occur

            

    

    
      	
               
      

            	
              1.

            	
              Requiring
      Party A and/or its guarantor to correct the default events within a
      certain deadline;

            

    

    
      	
               
      

            	
              2.

            	
              Decreasing,
      ceasing or terminating the unused amount of credit wholly or
      partially,

            

    

    
      	
               
      

            	
              3.

            	
              Decreasing,
      ceasing or terminating the unissued amount of loan, Bank Discount
      Acceptance, confirming agent, guarantee, loan commitment, opening L/C,
      Import/export Bill Advance, financial packaging, forfeiting, etc. wholly
      or partially;

            

    

    
      	
               
      

            	
              4.

            	
              Announcing
      the unliquidated amount of credit and other payables wholly or partially
      to be due prematurely, and requiring Party A to discharge
      immediately;

            

    

    
      	
               
      

            	
              5.

            	
              Party A
      hereby irrevocably authorizes Party B to deduct the certain amount of each
      subcontract from any account of Party A in order to discharge the debt
      wholly or partially against Party B. The pending payables shall be
      regarded as due prematurely. If the account currency is different from the
      credit currency, the account shall be deducted according to the foreign
      exchange rate applicable to Party
B.

            

    

    
      	
               
      

            	
              6.

            	
              Exercising
      real right for security and/or requiring the guarantor to take
      liabilities;

            

    

    
      	
               
      

            	
              7.

            	
              Other
      measures Party B regards as necessary and
  possible.

            

    

     

    
      	
              III.

            	
              Within the
      line of credit, if there is any amount overdue or advances, Party B shall
      collect interest on the overdue
      credit since the overdue date according to overdue penalty rate. The
      penalty rate is executed as agreed in the single business
      contract.

            

    

    
      
      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	

            	
              Provided that
      Party A uses this credit for the purposes other than those agreed in this
      contract, Party B shall collect interest as of the diverted credit since
      the diverted date according to diverted penalty rate. The diverted penalty
      rate is executed as agreed in the single business contract. 

                
                  In the case
      of the diverted overdue credit, interest shall be calculated and collected
      according to diverted penalty rate.

                

                With regards
      to the interest rate not delivered in time, compound
      interest shall be
      calculated and collected since the overdue interest
      date.

              

            

    

     

    
      	
              IV.

            	
              Party A shall
      be liable for all the expenses incurred by Party B in order to enforce
      Party B’s rights (including but not limited to notary fee, litigation fee,
      arbitration cost, legal fee, transfer fee, travel
    expenses).

            

    

     

    Article 8 Dispute
Resolution

    Any controversy and
dispute occurred during the execution of this contract shall be dealt with
through negotiation, or the two parties can institute legal proceedings in the
People’s Court at the place of Party B.

     

    Article 9
Validation of the Contract

    
      	
               
      

            	
              This contract
      shall become effective upon the signature and corporate chop of the legal
      representative (authorized representative), person in
    charge.

            

    

     

    
      	
              Article 10
      

            	
              The original
      copies of this Contract are in triplicate or more and each copy holds the
      same legal effect. Party A shall keep one copy, and Party B keeps two
      copies, and the guarantors, the registration organization and notarization
      organization, shall keep a copy properly if there are
  any.

            

    

     

    Article 11
Others

    
      	
              I.

            	
              All the
      documents related to this comprehensive financing line, such as credit
      application, single business contract, loan and certificate of
      indebtedness, credit voucher, and other documents and materials confirmed
      by both parties or required by Party B, constitutes a part of this
      contract and have the same legal
effect.

            

    

    
      	
              II.

            	
              Party A is
      not entitled to transfer any rights and liabilities specified in this
      contract to any other third party without the consent of Party B in
      written form.

            

    

    
      	
              III.

            	
              Provided that
      Party B needs to entrust the other organizations of Hangzhou Bank Co. Ltd
      to fulfill the rights and obligations specified in this contract because
      of business needs, or ask the other organizations of Hangzhou Bank Co. Ltd
      to take over and manage the credit business agreed in this contract, Party
      A shall approve it. The other organizations of Hangzhou Bank Co. Ltd
      authorized by Party B or asked to take over the credit business is
      entitled to enforce all of the rights of this contract, and institute
      legal proceedings in the People’s Court or apply for enforcement with
      regards to the disputes within the range of this
  contract.

            

    

    
      	
              IV.

            	
              Party A
      authorizes Party B to inquire the credit conditions of Party A in the
      Basic Data of Credit Information of The People’s Bank of China, or the
      credit database established upon the approval of the administrative
      department of credit investigation, or relative units, organizations,
      departments or individuals. The information inquired shall only be applied
      within the range of usage of Interim Measures for the Administration of
      the Basic Data of Credit Information issued by The People’s Bank of China
      or the other relative law and regulations. Party A agrees that Party B
      provides the Basic Data of Credit Information of The People’s Bank of
      China, or the credit database established upon the approval of the
      administrative department of credit investigation with the credit
      information of Party A.

            

    

    
      	
              V.

            	
              Unless agreed
      otherwise, the address specified in this contract by both parties shall be
      the mailing and contact address, and any notice delivered to the address
      shall be regarded as valid. Party A commits that any changes of the mail
      and contact address shall be notified to Party B in written
      form.

            

    

    
      	
              VI.

            	
              Please refer
      to Article 12 (4) for the other
agreements.

            

    

     

    Article 12
Explanation to the relative articles of this Contract

    (1) 
Explanation to Article 1

              
Party B agrees to provide Party A with a comprehensive financing line of RMB
43,750,000.00,

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
               
      

            	
              As of the
      specific business, Party B is entitled to use other currencies. In the
      case of using other currencies, the credit amount shall be recorded as the
      currency specified in this contract according to the central parity issued
      by Party B in the current day of the transaction.

              Within the usage range of the comprehensive financing line,
      regarding the comprehensive financing credit Party A has paid off, Party B
      agrees to process it in the following way 1., and all the balancing
      amounts of each type of credit shall not exceed the total amount of
      comprehensive financing credit, and the unused amount of comprehensive
      financing credit within the term shall be cancelled automatically after
      the expiration date of this
contract.

            

    

    
      	
               
      

            	
              1.

            	
              Can be used
      in cycles, i.e., within the usage range of the comprehensive financing
      line, regarding the comprehensive financing credit Party A has paid off,
      Party B agrees to restore the corresponding amount of credit, and Party A
      shall use the credit repeatedly within the
  credit.

            

    

    
      	
               
      

            	
              2.

            	
              Cannot be
      used in cycles, i.e., within the usage range of the comprehensive
      financing line, regarding the comprehensive financing credit Party A has
      paid off, Party B does not restore the corresponding amount of credit, and
      Party A shall not use the credit repeatedly within the
    credit.

            

    

     

    
      	
              (2)

            	
              Explanation
      to Article 2

            

    

    
      	
               
      

            	
              The term of
      this comprehensive financing line is 12 months, i.e. from April
      6, 2009 to April
      6, 2010. During the term, the type, amount, and term of each time
      shall be negotiated and determined by both
  parties.

            

    

    
      	
               
      

            	
              The credit
      within the amount limit and term of this credit is not necessary to be
      cleared off by the expiration date of the credit. The specific date of
      each credit and overdue date shall be pursuant to the starting and
      finishing time of loan and certificate of indebtedness or other
      documents.

            

    

     

    
      	
              (3)

            	
              Explanation
      to Article 6

            

    

     Party B signs
the following contracts of Guarantee of Maximum Amount with guarantors, and
guarantors shall take the guarantee liabilities according to this contract and
corresponding contract of guarantee.

    
      	
               
      

            	
              1.

            	
              Guarantor
      Lei Xia signs the Contract
      of Guarantee of Maximum Amount No. 2009SC0000008414 with Party B on
      __________ 2009.

            

    

    
      	
               
      

            	
              2.

            	
              Guarantor
      Dehai Li signs the Contract
      of Guarantee of Maximum Amount No. 2009SC0000008415 with Party B on
      __________ 2009.

            

    

    
      	
               
      

            	
              3.

            	
              Guarantor
      Hanto
      Cui signs the Contract
      of Guarantee of Maximum Amount No. 2009SC0000008416 with Party B on
      __________ 2009.

            

    

     

    
      	
              (4)

            	
              Explanation
      to Article 11

            

    

    
      	
               
      

            	
              □

            	
              No other
      agreements

            

    

    √ There are
agreements as following:

    
      	
               
      

            	
              1.

            	
              The total
      balance of each single business of this contract, after deducting the
      caution security provided by applicant, shall not exceed
      RMB35,000,000.00.

            

    

    
      	
               
      

            	
              2.

            	
              The credit
      types of this comprehensive financing line are: working capital loan,
      opening L/C and import bill advance business, in which the working capital
      loan shall not exceed RMB10,000,000.00 in order to pay import duty and
      import goods VAT. The interest rate on working capital loans shall be
      calculated to be no less than 1.10 times the base deposit interest rate
      for the corresponding terms and the corresponding brackets as announced by
      the People’s Bank of China. After delivering the loan, it shall be wired
      to the account specialized for duty settlement of Party A at China
      Construction Bank. The caution security for opening L/C shall not be less
      than 20% of the total amount of L/C; the term to open L/C and import bill
      advance business shall not exceed 120 days with the purpose to for pay for
      import goods.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Party A (Corporate chop): SinoHub
SCM Shenzhen Ltd.

     

    (Party A has read
through the above terms and fully understood the contents and agreed with Party
B.)

     

    Legal representative or authorized
agent (signature): /s/Hantao
Cui

     

     

     

     

     

    Party B (Corporate Chop): Shenzhen
Branch, Bank of Hangzhou

     

     

     

    Legal representative or authorized
agent (signature): /s/Wan
Hao Bo

                                                                                   
2009/05/07

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00158-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00158-of-00352.parquet"}]]