Document:

exv4w137

Exhibit 4.137

(English Translation)

First Amendment to the Shareholders Agreement

This amendment to the Agreement (hereinafter referred to as the “First Amendment”) is
made as of the 24th day of January, 2011,

Between:

“DMS GROUP”, LLC for power engineering Novi Sad Sremska 4, a corporation incorporated
under the laws of Serbia with registered offices at Sremska Street no. 4, 21000 Novi
Sad, Serbia and tax identification number [***], Agency for Business Registries in
Belgrade, company ID no. [***], represented by the Prof. Dr. Dragan Popovic, Personal
ID: [***], Chairman of the Board (hereinafter referred to as: “DMS GROUP”).

And

Telvent Energia S.A., a Joint Stock Company organized and existing under the laws of
Spain, with registered office at Valgrande 6, Alcobendas 28108, Madrid, Spain, with
V.A.T/Taxpayer’s Number [***], entered in the Companies’ Register of Madrid, in volume
1612 general, 1036 of section 3 of the Companies Book, sheet 1, sheet number 7367,
registration 1, represented by Mr. Victor José Hidalgo Vega, with Personal [***],
passport number: [***], by virtue of a power of attorney dated November 25, 2010
before the Notary Public Mr. Ignacio Paz-Ares Rodriguez, with protocol number 2,407,
(hereinafter referred to as Telvent).

The preamble of the Agreement is hereby amended so as to state:

	A.	 	In accordance with the joint venture agreement between the parties dated May 8,
2008 (hereinafter referred: the JV Agreement), the parties incorporated Telvent DMS
LLC for power engineering Novi Sad, a Limited Liability Company incorporated under the
laws of Serbia with offices at Street Sremska 4, Novi Sad, Serbia (hereinafter
referred to as Company), according to the Foundation Agreement, for the purpose of
carrying on in common through the Company the businesses relating to the development,
promotion, marketing and licensing of the software formerly owned by DMS GROUP known
as DMS software and carrying out turnkey projects in the area of control and
information systems and communications infrastructures in the energy, transportation,
telecommunications, environmental fields;
	 
	 	 	The Parties have entered into the First Amendment to the JV Agreement
concurrently with the signing of this First Amendment and determined the
purpose and area of the Company’s future development and in accordance

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	 	 	with that the special aims of the Research and Development Plan (hereinafter
referred to as the “R&D Plan”) shall be determined

	B.	 	On the date of conclusion of this First Amendment:
	 
	1.	 	The initial capital of the Company is EUR 12,245,000.00.
	 
	 	 	The monetary capital: registered EUR 4,135,000.00 and entered EUR 4,135,000.00
within 2 years of the date of establishment of the Company.
	 
	 	 	The non-monetary capital: EUR 8,110,000.00 registered and entered in full
before registering.

	2.	 	The contribution of each Party to the registered capital is as follows:

	 	 	a) Telvent: EUR 6,000,000.00, the registered and entered monetary capital EUR
4,135,000.00 , the registered and entered non-monetary capital EUR
1,865,000.00;
	 
	 	 	b) DMS GROUP: EUR 6,245,000.00, the registered and entered non-monetary
capital EUR 6,245,000.00 (DMS Business and other assets)
	 
	 	 	Telvent Initial Capital Contribution of EUR 4,135,000.00 was used exclusively
for financing of R&D Plan as according to the Schedule 5 of the JV Agreement.
	 
	3.	 	The Parties’ Contribution Percentages are as follows :

	 	(a)	 	DMS GROUP owns 51% of the capital of the Company;
	 
	 	(b)	 	Telvent owns 49% of the capital of the Company;

	C.	 	The Parties have agreed to complete, as a continuation of the joint venture, a
transaction described below (hereinafter referred to as the “Transaction”):
	 
	 	 	1. The Parties will make additional capital contributions to the Company in
Facilities, in accordance with the Installments of the Additional Capital
Contribution attached as Appendix 2 to the First Amendment to the JV Agreement,
for the total of EUR 24,000,000.00 (hereinafter referred to as the “Additional
Capital Contributions”) in accordance with the terms and conditions of the First
Amendment to the JV Agreement with each party paying its capital contribution
proportionately to its Contribution Percentage after the

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	 	 	transfer of 8% of capital and payment of the Fixed Component of the Purchase Price for the
transfer in the amount of EUR 9,600,000.00 (57% in the case of Telvent and 43%
in the case of DMS GROUP);

	 	 	The Parties shall make sure that the Company bears the costs of the currency
differences if any arising out of the conversion from EUR into dinars of the
amounts of the Additional Capital Contributions made by DMS GROUP and Telvent.
	 
	 	 	The Additional Capital Contributions will be used solely to fund the three year
research and development plan —  R&D Plan for the years 2011-2013 attached as
Appendix 1 to the First Amendment to the JV Agreement

	2.	 	Telvent will receive 8% of the total capital of the Company from DMS GROUP
(hereinafter referred to as the “Transferred 8%”) for a total purchase price
consisting of: (a) a fixed component in the amount of EUR 9,600,000.00 (hereinafter
referred to as the: “Fixed Component of the Purchase Price”); and (b) a variable
component equal to 1.5% of Qualifying Bookings from Smart Grid IT Contracts signed
within 5 years of the Closing (hereinafter referred to as the: “Variable Component of
the Purchase Price”) pursuant to and as defined in a stake transfer agreement to be
signed by the Parties on the Signature Date (hereinafter referred to as the “STA”)
thereby increasing Telvent’s stake and Contribution Percentage in the Company to 57%
and decreasing DMS GROUP’s stake and Contribution Percentage in the Company to 43%.
	 
	 	 	The Variable Component of the Purchase Price shall be adjusted up or down to
take account of changes of orders, amendments or cancellations that change the
part of the price under each Smart Grid IT DMS Contract for the Smart Grid IT
Solution Suite, systems and services to be delivered by the Company.

“Smart Grid IT Contracts” means a contract between Telvent, or Telvent USA Corporation
or any of their respective affiliate companies (other than the Company) and a client
which includes the supply of Smart Grid IT Solution Suite systems and/or services
related thereto and which is signed during the 5 year period commencing on the Closing
(the “Earn Out Period”).

“Qualifying Bookings” means that portion of the purchase price in the Smart Grid IT
Contracts payable by the client to Telvent or Telvent USA Corporation or any of their
respective affiliate companies (other than the Company) for software, systems and/or
services to be delivered by the Company under those Smart Grid IT Contracts.

	 	 	Under the STA, Telvent shall pay the Fixed Component of the Purchase Price in
the amount of EUR 9,600,000.00 to DMS GROUP, on the Closing Date.

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	 	 	If Telvent fails to pay the Fixed Component of the Purchase Price, and
such failures continues for 10 days, DMS GROUP shall have the right to
charge interest in the amount of 9.3% per annum, on the unpaid amount of
the Fixed Component of the Purchase Price, from the expiry of the
aforementioned 10 days until the payment to the account of DMS GROUP.

If Telvent fails to pay the Variable Component of the Purchase Price, DMS GROUP
shall have the right to charge interest in the amount of 9.3% per annum, on the
unpaid amount of the Variable Component of the Purchase Price, starting from the
due date as set out in the STA until the payment to the account of DMS GROUP.

If Telvent fails to fulfill its obligations to pay any due and undisputed amount
of the Variable Component of the Purchase Price, DMS GROUP shall be obliged to
notify Telvent in writing thereof.

If Telvent fails to pay any due and undisputed amount of the Variable Component
of the Purchase Price and if the total aggregate amount of the unpaid Variable
Component of the Purchase Price including interest is greater than EUR
140,000.00:

	 	•	 	Telvent shall not have the right to exercise the Pledge in
accordance with the Stake Pledge Agreement
	 
	 	•	 	Telvent shall not be entitled to obtain the Mortgage
Agreement from the deposit, in accordance with the Escrow Mortgage
Agreement
	 
	 	•	 	Due dates for the Loan repayment under the Loan Agreement
shall be postponed and the interest under the Loan Agreement shall
cease to accrue;

	 	 	 	until the fulfillment of Telvent’s obligations to pay the amount
of the Variable Component of the Purchase Price

After the payment of the Fixed Component of the Purchase Price in full to DMS
GROUP, the transfer of the Transferred 8% will be registered before the BRA.

The amount of the Variable Component of the Purchase Price owing to DMS GROUP
shall be calculated and paid by Telvent within 30 days after the date Telvent
receives the first payment from the client under the Smart Grid IT Contract of
which Telvent is obliged to notify DMS GROUP in writing. Telvent will continue
to calculate and make the payments of the Variable Component of the Purchase
Price for all Smart Grid IT Contracts signed in the Earn Out Period, until all
the relevant payments payable to Telvent in respect of these Smart Grid IT
Contracts have been received by Telvent including the first

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payments received after the end of the Earn Out Period.

	 	 	In the event of Resignation of Prof. dr. Dragan Popovic from the Company,
Telvent shall not be obliged to make any further payments for the Variable
Component of the Purchase Price for Smart Grid IT Contracts which are signed
after the date of Resignation of Prof. Dr. Dragan Popovic. Telvent shall remain
liable to DMS GROUP for any such payments for the Variable Component of the
Purchase Price due under Smart Grid IT Contracts signed before the date of Prof.
Dr. Dragan Popovic’s Resignation.

In case termination of the STA occurs as a result of failure to pay the amount of the
Fixed Component of the Purchase Price in full within 15 days from the Closing Date:

	 	•	 	DMS GROUP shall have the right to unilaterally terminate this First
Amendment and all the Transaction documents, by written notice delivered to
Telvent,
	 
	 	•	 	Telvent shall indemnify DMS GROUP against the actual direct damage
suffered by it arising from or in connection with the termination of the STA on
the basis of this Article,
	 
	 	•	 	No Party will be liable to the other Party for lost profits, lost
business, indirect losses or indirect damages regardless of the form of claim.

	 	 	If the termination of the STA occurs as a result of failure to pay the amount of
the Fixed Component of the Purchase Price in full within 15 days from the
Closing Date, Telvent shall be obliged to execute and certify with DMS GROUP the
termination of the STA and the amendment to the Foundation Agreement
accordingly, within the following 15 days.
	 
	 	 	If Telvent fails to execute the termination of STA and the amendment to
Foundation Agreement within 30 days from the Closing Date, the provisions of
Article 4 points 4.4 second paragraph and 4.26 of the Shareholders Agreement
shall be suspended until Telvent has executed both the termination of the STA
and amendment to the Foundation Agreement in accordance with that.

In case of termination of the STA and the amendment to the Foundation Agreement in
accordance with that, the Loan Agreement and all other Transaction Documents shall
also be terminated and put out of force, as well as documents provided for the
execution stated under point “Transaction Documents” in the First Amendment of the JV
Agreement and all obligations of the Parties related to additional investment, and
exclusively the provisions of the First Amendment of the JV Agreement which regulate
the consequences in case that the Closing does not occur due to nonpayment of the
Fixed Component of the Purchase Price for the transfer in the amount of EUR 9,600,000
in full, shall apply.

Telvent shall have the right for unilateral termination of the STA and all the

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Transaction documents before or at the Closing, by written notice delivered to Group,
in case that:

	 	 	1) DMS Group breaches any of its obligations at the Closing Date from the
STA, or
	 
	 	 	2) Any of DMS GROUP’s representations and warranties fromthis Agreement is
untrue, misleading or inaccurate in any material respect at the Closing
Date.
	 
	 	 	The STA may be terminated by Telvent upon the Closing if Telvent’s title
over the Stake cannot be registered due to reasons which were known to DMS
GROUP on the Signature Date but were not disclosed to Telvent.
	 
	 	 	DMS GROUP shall indemnify Telvent against the actual direct damage
suffered by it arising from or in connection with the termination of the
STA, that occurred as a consequence of reasons stated in two preceding
paragraphs of this Article.
	 
	 	 	If the termination of the STA occurs, DMS GROUP shall be obliged to
execute and certify with Telvent the termination of STA and the amendment
to the Foundation Agreement in accordance with that, and all the
Transaction documents.
	 
	 	 	If DMS GROUP fails to execute the termination of STA and the amendment to
Foundation Agreement within 30 days from the Closing Date, the provisions
of Article 4 point 4.2 of the Shareholders Agreement shall be suspended
until DMS GROUP has executed both the termination of the STA and amendment
to the Foundation Agreement in accordance with that.
	 
	 	 	No Party will be liable to the other Party for lost profits, lost business
and indirect losses or indirect damages regardless of the form of claim.
	 
	3.	 	Telvent will lend the sum of EUR 10,320,000.00 to DMS GROUP pursuant to a loan
agreement to be signed by the Parties on the Signature Date (hereinafter referred to
as the “Loan Agreement”) in order to finance the payment by DMS GROUP of DMS GROUP’s
43% share of the Additional Capital Contributions, after the transfer of 8% of capital
and payment of the Fixed Component of the Purchase Price for the transfer in the
amount of EUR 9,600,000.00. The loan will be approved to DMS Group in 3 facilities in
the amount of EUR 3,440,000.00 each. Each of the facilities shall be advanced in four
quarterly installments as shown in the Appendix 1 of the Loan Agreement (hereinafter
referred to as “Installment of the Loan”) ;
	 
	4.	 	The obligations of DMS GROUP and Telvent to make their share of the Additional
Capital Contributions related to the capital increase and the

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	 	 	obligations of Telvent to advance the Installments of the Loan are complementary and
simultaneous, in terms and amounts that are prescribed by this First Amendment.

	 	 	The increase of capital shall be made on the basis of 12 special
amendments to the Foundation Agreement (on increase of capital) which the
Parties, as the shareholders of the Company, will sign and verify prior to
payment of each Installment of Additional Capital Contribution, in
accordance with the Appendix 2 to the First Amendment to the JV Agreement.
Each amendment will increase the capital of the Company by the agreed
amount, and will be registered before the Business Registers Agency within
15 days from the date of signing the amendment and receiving the entire
agreed amount into the account of the Company.
	 
	 	 	Payment of all Installments of the Additional Capital Contribution by DMS
GROUP shall be conditional upon Telvent advancing the corresponding amount
of Installment of the Loan to DMS GROUP pursuant to the Loan Agreement.
Both Parties shall act in good faith and shall not do anything or refrain
from doing anything which would cause any condition precedent to the
advance of funds under the Loan Agreement to not be satisfied.
	 
	D.	 	After the entering into force of this First Amendment and registration before the
Business Register Agency, the Parties’ Contribution Percentages of the total capital
will be as follows:
	 
	(a)	 	DMS GROUP 43%;
	 
	(b)	 	Telvent 57%;
	 
	E.	 	The Parties wish to establish their respective rights and obligations with respect
to: (a) the Stakes of the Company owned by them, directly or indirectly; (b) the
management and control of the Company; and (c) the other matters set forth in this
Agreement;
	 
	F.	 	It is the intention of each of the parties hereto that this First Amendment
shall constitute a unanimous Shareholders’ Agreement with respect to the
Company, in accordance with the Foundation Agreement, as amended and
the JV Agreement as amended and Company law of Republic Serbia.
	 
	G.	 	Anything that is not defined in this Agreement will be applied in accordance with
Serbian Company Law.
	 
	H.	 	Certain provisions of the Shareholders Agreement are amended by this First
Amendment in the following manner detailed below.
	 
	1.	 	The following definitions from Article 1 of the Agreement are hereby

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	 	 	amended or added so as to state:

	 	 	“Cause” means any one or more of the following actions or conducts
performed by Prof. Dr. Dragan Popovic:
	 
	(a)	 	which constitute a criminal offense from the following group of criminal offenses
determined by the Criminal Law of the Republic of Serbia:

	 	•	 	criminal offences against the commercial activity including
only the most serious forms of the followingcriminal offenses:
	 
	 	-	 	forging the securities
	 
	 	-	 	professional negligence at commercial work
	 
	 	-	 	causing bankruptcy
	 
	 	-	 	causing false bankruptcy
	 
	 	-	 	causing damage to creditors
	 
	 	-	 	abuse of power in commercial activities
	 
	 	-	 	disclosure of business secret
	 
	 	•	 	criminal offences against property punishable by Criminal
Law of the Republic of Serbia for which suspended sentence cannot
be imposed,

	 	 	 	under the following conditions: (i) that a final court verdict was
determined by a court of competent jurisdiction against Prof. Dr.
Dragan Popovic, due to the aforementioned offenses, and (ii) that
damage has been done to the Company and the mentioned damage being
an element of the crime.

	(b)	 	actions, by Prof. Dr. Dragan Popovic carrying out his duties, or failure to take
actions, that constitute gross negligence or willful misconduct and continue for more
than 30 days after written notice given by Telvent and result in significant loss
which materially affects the results of operation of the Company (defined in the
Employment Agreement as the breaches of work duty); The significant loss shall be
confirmed by one of the Big four independent auditors (Deloitte, Pricewaterhouse
Coopers, Ernst & Young, KPMG);
	 
	(c)	 	breach of any non-competition covenant of Prof. Dr. Dragan Popovic under his
employment agreement with the Company (defined in the Annex to the Employment
Agreement as the breaches of work duty) or under the JV Agreement as determined by an
award made in arbitration proceedings in accordance with the rules and procedures set
out in the Shareholders Agreement, if possible, and if not possible, as determined by
a final court verdict by a court of competent jurisdiction;
	 
	 	 	“Closing” means the completion of the actions to be done on the Closing

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	 	 	Date and receipt of the payment of the Fixed Component of the Purchase
Price under the STA by DMS GROUP on its bank account;

	 	 	“Closing Date” means the date which is 15 days after the Signature Date,
or such other date as the parties may agree in writing on which the
following actions shall be completed:

(a) The execution and delivery by the parties to the Transaction Documents of the
Closing Documents;

(b) The satisfaction or waiver of all of the closing conditions set out in the
Transaction Documents;

(c) Telvent shall give wire transfer instruction to its bank to transfer the Fixed
Component of the Purchase Price payable under the STA to the bank account specified by
DMS GROUP.

“Closing Documents” means all of the documents to be signed and/or delivered by the
parties to the Transaction Documents on the Closing in accordance with the terms of
the Transaction Documents

“Good Reason” means any of the following breaches by Telvent or any Affiliated Company
of Telvent which occurs on or after the date hereof without the consent of Prof. Dr.
Dragan Popovic:

	(a)	 	Any material decrease in the title, responsibilities, authorities, powers or
duties of Prof. Dr. Dragan Popovic as described in Appendix 3 to the First Amendment
to the JV Agreement or in the Management Agreement with Telvent or in the Employment
Agreement with the Company and the Annex to that Employment Agreement that continues
for more than thirty (30) days after Prof. Dr. Dragan Popovic has given written notice
to Telvent of such decrease; or
	 
	(b)	 	If Telvent or any Affiliated Company of Telvent breaches any of the Articles from
the Transaction Documents relating to Prof. Dr. Dragan Popovic’s title,
responsibilities, authorities, powers or duties or breaches its obligations to pay its
Additional Capital Contributions or the Installments of the Loan in accordance with
the First Amendment to the JV Agreement, the Loan Agreement and such breach is not
remedied within thirty (30) days after Prof. Dr. Dragan Popovic has given written
notice to Telvent of such breach.
	 
	(c)	 	Breach as described in Article XIII, point 13.16 of the JV Agreement, as amended
	 
	(d)	 	Articles of the Reseller and Service Agreement — VAR Agreement dated May 8, 2008,
and of its annexes, with regard to the maximum mark up on

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	 	 	the mutually agreed prices for Company services and licenses which are contrary to notice
from Prof. Dr. Dragan Popovic that such mark-up will be in breach of the maximum mark-up
agreed to in the First Annex to the Reseller and Services Agreement.
	 
	 	 	“Loan Agreement” has the meaning as set out in the recitals of the Section
C point 3 to this First Amendment.
	 
	 	 	“Loan” has the meaning as set out in the recitals the Section C point 3 to
this First Amendment.
	 
	 	 	“Management Agreement” means the agreement entered into between Telvent
and Prof. Dr. Dragan Popovic, as a non-resident employee in the position
of the Executive Vice President for Smart Grid IT.
	 
	 	 	“Resignation” means the voluntary and unilateral termination by Prof. Dr.
Dragan Popovic of his Employment Agreement with the Company and does not
include situations of termination due to illness or injury of Dragan
Popovic, or resignation for Good Reason.
	 
	 	 	“Payment” means the date when the Party or the Company which shall receive
the payment receives the amount of such payment on its bank account.
	 
	 	 	“Signature Date” means the date on which the Transaction Documents are
signed and confirmed by the parties thereto as complete for the Closing.
	 
	 	 	“Smart Grid IT Solution Suite” means an integrated solution for the
electrical utility/industry covering Smart operations including one or more
of the following components: DMS, EMS, Energy Market, Electrical SCADA, OMS,
MDM, Integration Bus etc. in an open and highly integrated environment.

“Transaction Documents” in addition to this First Amendment includes the following
documents:

	 	•	 	The STA;
	 
	 	•	 	The Second Amendment to the Foundation Agreement;
	 
	 	•	 	The First Amendment to the Shareholders Agreement;
	 
	 	•	 	The Loan Agreement;
	 
	 	•	 	The Pledge Agreement;
	 
	 	•	 	The Asset Purchase Agreement
	 
	 	•	 	The EMS Licensee Agreement between the Joint Company and DMS GROUP

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	 	•	 	The Annex to the Employment Agreement entered into between the Joint
Company and Prof. Dr. Dragan Popovic

	 
	 	•	 	 Management Agreement
	 
	 	•	 	The Annex to the Reseller and Service Agreement between Telvent Sweden
and the Joint Company –VAR Agreement.
	 
	 	•	 	The Value Added Reseller Agreement between Tevent Sweden and the
Joint Company as the VAR (new VAR Agreement)
	 
	 	•	 	Lease Agreement to be executed between the Joint Company as lessee and
DMS GROUP as lessor on the date of signing of this First Amendment.
	 
	 	•	 	Inter-company agreement between the Joint Company and DMS GROUP for
1.5% that the Joint Company should pay to DMS GROUP

	 	 	 	“Installments of Additional Capital Contributions” has the meaning set out
in Article 1;
	 
	 	 	 	“Reseller and Service Agreement” means the agreement entered into
between Telvent Sweden and the Company, on May 8, 2008 as amended – VAR
agreement
	 
	 	 	 	“Value Added Reseller Agreement” means the agreement entered into
between Telvent Sweden Ltd. and the Company as the VAR (new VAR
Agreement) on the Signature Date.

2. Article 3. Point 3.2. of the Agreement is hereby amended to state as follows:

3.2. Stakes and Ownership. Each Shareholder warrants that:

	 	 	 	(a) it is the registered and beneficial owner of one Stake of the
Company, with the Capital Contribution and Contribution Percentage in
relation to the capital of the Company on the date of conclusion of this
First Amendment as set out below:

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	 	 	 	 	Capital	 	Contribution	 
	Name	 	 	Contribution	 	Percentage	 
	DMS GROUP	 	EUR 6,245,000
	 	 	51	%
	Telvent	 	EUR 6,000,000
	 	 	49	%

	 	(b)	 	it shall be the registered and beneficial owner of one Stake of the Company, with
the Capital Contribution and Contribution Percentage in relation to the
capital of the Company upon registration before Business Register Agency on
the basis of the Stake Transfer Agreement as a Transaction Document, as
set out below:

	 	 	 	 	 	 	 	 	 
	 	 	 	 	Capital	 	Contribution	 
	Name	 	 	Contribution	 	Percentage	 
	DMS GROUP	 	EUR 5,265,350.00
	 	 	43	%
	Telvent	 	EUR 6,979,650.00
	 	 	57	%

	 	(c)	 	the Stake is free and clear of all claims, liens and encumbrances whatsoever,
apart from the pledge over the stake of DMS GROUP which shall be established in the
favor of Telvent on the basis of the Pledge Agreement, which is signed on the day of
these First Amendments as one of the documents of this transaction set out in the
First Amendment to the JV Agreement and except as provided herein no person has any
agreement or option or any right capable of becoming an agreement for the transfer of
any such Stake.

	3.	 	The following Points within Article 4. of the Agreement are being amended to state
as follows:
	 
	 	 	Point 4.1. Composition of the Board. The Board of the Company shall consist
of four (4) Members of the Board, two of whom shall be nominees of DMS GROUP
Shareholder and two of whom shall be nominees of Telvent Shareholder. The
Board will have a Chairman and a Vice-Chairman. Except as otherwise stated in
the Shareholder Agreement, this First Amendment, the JV Agreement and in the
First Amendment to the JV Agreement, DMS GROUP shall appoint the Chairman and
Telvent shall appoint the Vice-Chairman of the Board. The Chairman and the
Vice-Chairman cannot be from the same Shareholder of the Company. In the
event that the office of any Member of the Board becomes vacant for any
reason, the Party who appointed such Member of the Board shall appoint a
replacement. Any Party may at any time require that a Member of the Board
appointed by that Party vacates his/her office, and nominate a replacement.
Any Party replacing or appointing a Member of the Board shall notify without
delay the other Party

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	 	 	in written form on such replacement or appointment but
without being obligated to obtain a prior consent from the other Party to
perform such action.

	 	 	Point 4.2. Election of the chairman and vice chairman: Except for the
cases described in clause 4.29 1), as long as Prof. Dr. Dragan Popovic
remains employed by the Company as the Executive Director/CEO (or other
senior executive position), Prof. Dr. Dragan Popovic shall be the
Chairman of the Board of the Company and shall have a Casting Vote.
	 
	 	 	Except for Prof. Dr. Dragan Popovic, the Chairman shall be elected by
majority voting of the Board. In case of a tie vote, the election will be
determined by a Casting Vote. Upon election of the Chairman, the Chairman
has the right to a Casting Vote. For replacement of the Chairman, a
resolution of the Board has to be adopted by at least 3 of the 4 Members
of the Board.
	 
	 	 	The Vice-Chairman of the Board is elected in the same manner, but he must
be one of the nominees of other Shareholder.
	 
	 	 	For the replacement of Prof. Dr. Dragan Popovic from the position of the
Chairman of the Board of Directors in the Company as well as for the
termination of the Employment Agreement of Prof. Dr. Dragan Popovic
employed as the Executive Director/CEO (or other senior executive
position), the Resolution of the Board is needed and that Resolution has
to be adopted by at least 3 of 4 Members of the Board. It shall be a
necessary precondition to any termination for the Cause of Dragan
Popovic’s appointment as the Executive Director/CEO and Chairman of the
Board of the Company, that the Board of Directors of the Company pass a
resolution confirming that the Cause exists and approving the termination.
This resolution must be approved by at least 3 of the 4 Members of the
Board of the Company. If the Board does not pass a resolution approved by
at least 3 of the 4 Members of the Board confirming that Cause exists and
approving the termination, Prof. Dr. Dragan Popovic shall continue as the
Executive Director/CEO and Chairman of the Board.
	 
	 	 	In case the employment of Prof. Dr. Dragan Popovic is terminated due to
Resignation or the Cause, Telvent as the majority owner will choose the
new Chairman of the Board.
	 
	 	 	In case Prof. Dr. Dragan Popovic is planning to resign from the position
of the Executive Director/CEO (or other senior executive position) of
the Company due to the illness or injury or because of resignation for
Good Reason, he will be entitled to appoint a replacement to the
position of the Executive Director/CEO (hereinafter referred to as the:
“CEO Replacement”), and the appointment of such a person to that
position will be confirmed by the declarative action of the Board
reached at the session

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	 	 	where Prof. Dr. Dragan Popovic as the Chairman will have the Casting Vote.

	 	 	Prof. Dr Dragan Popovic is entitled to name a person, in a sealed
envelope with his own notarized signature, to be his replacement to the
position of the Executive Director/CEO (hereinafter referred to as the:
“CEO Replacement“) in the event of his death or permanent incapacity.
	 
	 	 	In case of death or permanent incapacity occurred during his employment
relationship or conducting business for the Company or Telvent, the
appointment of such a person to the position of the Executive Director/CEO
will be only confirmed by the declarative action of the Board reached at the
session on which this envelope will be opened and where a temporary
representative of DMS GROUP shall be present and shall have the Casting Vote
with respect to the declarative action stated above.
	 
	 	 	In case that, after 5 years as of the day of Closing, Prof. Dr. Dragan
Popovic intends to resign from the position of the Executive Director /CEO
(or other senior executive position) in the Company, he will be entitled to
appoint the replacement to the position of the Executive Director/CEO
(hereinafter referred to as the “CEO Replacement”), and appointment of such a
person to that position will be confirmed by the decision of the Board
reached at the session where Prof. Dr. Dragan Popovic as the Chairman will
have the Casting Vote.
	 
	 	 	The CEO Replacement should have at least the following minimum qualifications:

	 	•	 	5 years experience as a first level executive of the company;

	 
	 	•	 	MBA or master degree;
	 
	 	•	 	English spoken.

	 	 	The CEO Replacement shall be the new Chairman of the Board and shall have a
Casting Vote as long as the Company achieves the budgets and cash flow
targets established by the Board. If the CEO Replacement does not achieve the
budgets and cash flow targets established by the Board on his quarterly
reports to the Board, then DMS GROUP’s right to Casting Vote as defined in
Article 4 point 4.2 of this Agreement shall be temporarily suspended in
accordance with the procedure prescribed by article 5, point 5.13 (d) of the
JV Agreement as amended by the First Amendment, until the CEO Replacement
remedies the abovementioned breaches.
	 
	 	 	After the CEO Replacement has been selected, he shall automatically take over
the right to the Casting Vote.
	 
	 	 	In the event that there is an arbitration award or final court judgment
confirming that there were breaches defined as Good Reason, Prof. Dragan
Popovich is entitled to resign for Good Reason by giving 15 days written

Page 14

 

	 	 	notice of termination of his employment with the Company as the Chairman of
the Board and Executive Director/CEO or as the Executive Vice President for
Smart Grid IT, or both, depending on which rights of Prof. Dr Dragan Popovic
were breached (which includes also a termination of his employment agreement
as the Executive Director/CEO or his Management agreement for the position of
the Executive Vice President for Smart Grid IT or both, as the case may be )
and the following shall apply:
	 
	 	 	(a) Prof. Dragan Popovich shall be entitled to receive a severance payment
in the amount of U.S. $300,000.00 in full settlement of all claims by Prof.
Dr. Dragan Popovic against the Company and Telvent, under both the
Employment Agreement with the Company and/or the Management Agreement with
Telvent,
	 
	 	 	(b) The Mortgage Agreement will not be released from the escrow established
by the Mortgage Escrow Agreement and the Mortgage Agreement shall not be
enforceable.
	 
	 	 	(c) In the event that either party becomes entitled to purchase the remaining
stake of the other party in the Company under the provisions of Article 9 of
the Shareholders Agreement as amended by this First Amendment:

	 	 	 	(i) the price for a party’s remaining stake shall be a minimum price
of EUR 1,200,000.00 for a 1% stake of the Company as the basis for
calculation for the purposes of the said Article 9; and
	 
	 	 	 	(ii) the provisions of point 9.10 (b) regarding escrow of 50% of the
amount payable to DMS GROUP shall not apply and in the event that the
funds were paid into escrow, those funds shall be immediately paid to
DMS GROUP by the Escrow Agent.

	 	 	(d) Prof. Dr. Dragan Popovic will not be bound by the Non-competition
covenants in the Employment Agreement with the Company and/or Telvent only
in the event prof. Dr. Dragan Popovic resigns from both positions, i.e. from
the positions of the Executive Director/CEO and the Chairman of the Board
and the position of the Executive Vice President for Smart Grid IT.

In the event that the arbitration award or final court judgment dismisses the claim
that there was a breach which constitutes Good Reason Prof. Dr. Dragan Popovic will
continue to work in the same working position in Telvent and in the Company without
any consequence.

Prof. Dr. Dragan Popovic is entitled to resign from his employment with Telvent and/or
with the Company, in any case after the 5 years from the Closing, without Good Reason
and the aforementioned provision from the clause 4.2 (c) (i) and (ii) shall apply.

Except of the aforementioned, Prof. Dr. Dragan Popovic is entitled to resign from his
position of Executive Vice President for Smart Grid IT with Telvent at any time, if
both Parties agree that the goals of establishing the North American

Page 15

 

effective sales network and the North American delivery network are achieved, and it
will not, in any way, affect his rights and responsibilities as the Chairman of the
Board and the Executive Director/CEO of the Company, nor will it have any negative
consequences for DMS GROUP.

	 	 	Point 4.4. Voting at Board Meetings. Except as otherwise required by Law or
by this Agreement questions arising at any meeting of the Board shall be
decided by a majority of votes of all Board Members. In case of a tie of
votes at a meeting of the Board, the Chairman of the Board for the time being
shall have a second or the Casting Vote in addition to his original vote.

	 
	 	 	
The following decisions shall be approved exclusively by consensus in the
Board:
	 
	 	 	a) Yearly budget — this budget will include both the technological
development and investments, as well as the financial and economical
considerations (cash/flow, working capital, financing etc.) for the whole
year.
	 
	 	 	b) Alliances and any other cooperation agreements with new partners must be
approved by a unanimous resolution of the Members of the Board. Conflict
situations with any Telvent company shall be avoided in any case.

In case the new budget for a year cannot be approved by consensus, the Company will
continue operating according to the budget model used in the previous year, until the
consensus is reached. This process may last until the end of the current year,
provided, that Telvent and DMS GROUP fulfill all obligations under the JV Agreement as
amended by the First Amendment to JV Agreement to make the Additional Capital
Contributions for the current year, the VAR Agreement and other agreements concluded
on the Closing. Both parties will use their best efforts and will act in good faith to
reach agreement by consensus on the new budget. If consensus about the new budget is
not reached by the end of that year, the parties can opt to open the Deadlock
procedure. If the updated R&D Plan has not been adopted by consensus by the Board as a
formal part of the Budget, the Company shall continue to operate in accordance with
the original three year R&D Plan attached as Appendix 1 to the First Amendment to the
JV Agreement. After the first 3 (three) years after Closing, unless unanimously
decided by the Board on the amount of part of the reserve funds to be allocated for
the R&D Budget for the next year, the amount of 5% of the net sales revenue of the
Company at the end of the current fiscal year shall be used for the R&D Budget for the
next year.

	 	 	Point 4.7. Term. The Chairman and the Vice Chairman shall be appointed     for
a term of 5 years. Other members of the Board shall be appointed for a
term expiring upon the close of the annual meeting of the Shareholders in the
next year following the election of each such Member of the Board.
	 
	 	 	This term does not apply to Prof. Dr. Dragan Popovic, who is appointed as the
first Chairman of the Board and as long as employed with the Company

Page 16

 

	 	 	as the Executive Director/CEO (or other senior executive position) he will be the
Chairman of the Board and will have the Casting Vote, to the Vice Chairman
of the Board Victor Jose Hidalgo Vega, who shall be the Vice Chairman for a
term of 5 years from the date of his appointment or to the Members of the
Board who have been first appointed with the term of 2 years from signing the
Shareholders Agreement or the Effective Date of the Company.

	 	Point 4.8 Responsibilities of the Board:
	 
	 	•	 	Supervision of financial and business reports,
	 
	 	•	 	Adoption of annual business plan and yearly budget in accordance
with article 4.4,
	 
	 	•	 	Proposing to the Shareholders Assembly to adopt a decision to pay
dividends in accordance with article 13, point 13.16 of the JV Agreement,
as amended
	 
	 	•	 	Supervision of Company administration and officers,
	 
	 	•	 	Approval for appointment of executive officers in the Company,
	 
	 	•	 	Preparation and convening of Shareholders Meetings,
	 
	 	•	 	Execution of resolutions of Shareholders Meetings,
	 
	 	•	 	Giving special authorities to persons relating the Company,
	 
	 	•	 	Approval and conclusion of loan agreements, subject to section 4.26,
	 
	 	•	 	Alliances and any other commercial agreements with new partners,
subject to section 4.4,
	 
	 	•	 	Approval of Company internal organization and other internal acts,
	 
	 	•	 	Other activities defined in Memorandum of Incorporation, this
Agreement and the Law.

	 	 	Point 4.9. Chairman of the Board. Prof. Dr. Dragan Popovic will be the
Chairman of the Board as long as employed with the Company as the Executive
Director/CEO (or other senior executive position), unless he provides his
Resignation or unless there is the Cause. He is obliged to report to the
Board which will have a monthly meeting for coordination and follow up
purposes.
	 
	 	 	The Chairman of the Board will be registered in the Business Register Agency
as legal representative of the Company with the right on concluding contracts
or signing documents involving liability or obligation of the Company with
the limitations defined in sections 4.25 and 4.26.
	 
	 	 	The Chairman of the Board will manage and represent the Company in every day
business transactions and act as Chief Executive Officer (CEO) of the
Company. He will be responsible for the preparation and chairing of Board
meetings and for the execution of all decisions of the Board, as well as
preparation and execution of annual business plans and yearly budget approved
in accordance with section article 4 point 4.4, including number of
employees, individual employee’s salaries, bonuses and other benefits within

Page 17

 

	 	 	the parameters of the budget, management of assets, commercial activities,
preparation of all financial and business reports for the Board, preparation
of all Corporate internal organization and organization of teams and
regulation acts.
	 
	 	 	The Chairman of the Board will have full autonomy to make decisions in the
normal course of business, according to the approved R&D Plan and annual
budget and instructions received by the Board. The Chairman of the Board will
have the final decision regarding the technology programs of the Company as
defined in the yearly development budget approved and he will actively
participate in any Telvent strategic technology committee related to
electrical control center business.
	 
	 	 	For avoidance of any doubt, Telvent agrees that in compliance with profit and
losses and the annual budget, in the Company Prof. Dr. Dragan Popovic will be
authorized to:
	 
	 	 	(a) For a period of 2 years after the Closing, simultaneously engage not more
than 4 smaller companies at the same time, and not more than 40 people per
year in total on a temporary basis only from those companies, as
subcontractors. Smaller companies mean companies with an annual turnover of
up to EUR 20 million.
	 
	 	 	After 2 years from the date of the Closing, Prof. Dr. Dragan Popovic will be
authorized to simultaneously engage not more than 3 smaller companies at the
same time, and not more than 20 people per year from each of those companies
on a temporary basis only, as subcontractors.
	 
	 	 	The Company will have to provide evidence that the required resources are not
available in the Company or another Telvent company and will provide
satisfactory evidence of the work executed by the subcontractor. The Company
shall also require each subcontractor to sign an agreement in which the
subcontractor agrees to maintain the confidentiality of all confidential
information of the Company, and agrees that all work products and
developments made, developed or created by the subcontractor and its
employees and subcontractors for the Company are the sole and exclusive
property of the Company. For engaging companies which are not in accordance
with the aforementioned, a written consent from Telvent Management shall be
required;
	 
	 	 	This will not include persons that are engaged directly from the faculty and
institutes in the Republic of Serbia or indirectly through agencies, and
there will be no restrictictions for their engagement.

Page 18

 

	 	 	(b) engage experts and consultants from Smart Grid field,
	 
	 	 	(c) reach decisions on contracts for renting business premises, purchasing
equipment, etc., provided that the amount of the rent is in accordance with
the then current market rents.
	 
	 	 	Point 4.10. Vice-Chairman of the Board. Unless changed by resignation or a
resolution of the Board passed by at least 3 of the 4 members of the Board,
Victor Jose Hidalgo Vega shall be the Vice-Chairman of the Board for a term
of five years from the date of his appointment. In the event that the
Chairman of the Board cannot perform his/her duties for any reasons, he/she
may temporarily authorize the Vice Chairman or any other Member of the Board
to act as his/her representative.
	 
	 	 	Vice-Chairman will be registered in the Serbian Business Registers Agency as
legal representative of the Company with the right on concluding contracts or
signing documents involving a liability or obligation on the Company with the
limitations defined in sections 4.25 and 4.26.

	 
	 	 	
In addition, he will have the same responsibilities as other members of the
Board according to article 4.8.
	 
	 	 	Special responsibilities and authority of the Vice-Chairman are as follows:
	 
	1.	 	The Vice-Chairman shall assist the Chairman with the preparation of the
yearly budget and the updating of the R&D Plan, shall take care that the budget
includes both the technological developments and investments, and the financial
and economical considerations (cash/flow, working capital, financing etc.) for
the whole year.
	 
	2.	 	The Vice-Chairman shall be informed and will monitor any proposal, contract
or order of the Company exceeding EUR 1.000,000.00.
	 
	3.	 	The Vice-Chairman shall be informed of status of projects and R&D activities
to monitor the progress in carrying out the R&D Plan.
	 
	4.	 	The monthly report and Board preparation will be prepared and reported by the
Vice-Chairman.
	 
	5.	 	The Company’s Administration and Financial Departments shall report also to
the Vice-Chairman.
	 
	6.	 	The Chairman may assign other daily duties appropriate to his position to

Page 19

 

	 	 	the Vice Chairman to help him in the operation of the Company.

4.10.1 Telvent’s On-Site Representative

	 	 	Telvent is entitled to appoint a Telvent employee to act as Telvent’s onsite
representative (the “On-Site Representative”) who will assist the Company with
its day-to-day operations and shall have access to the same reports and
information as provided to the Vice-Chairman. The On-Site Representative may
also act as the Vice Chairman’s authorized representative as directed by the
Vice Chairman. The On-Site Representative’s duties will include, but shall not
be limited to:

	 	a)	 	The On-Site Representative shall assist the Chairman with the
preparation of the yearly budget and the updating of the R&D Plan. The
budget will include both the technological developments and investments,
and the financial and economical considerations (cash/flow, working
capital, financing etc.) for the whole year.
	 
	 	b)	 	The On-Site Representative shall have the right to be informed and will
monitor any proposal, contract or order of the Company exceeding EUR
1,000,000.00. The On-Site Representative shall not have the right to
approve any proposal, contract or order of the Company.
	 
	 	c)	 	The On-Site Representative shall be informed of status of projects and
R&D activities to monitor the progress in carrying out the R&D Plan.
	 
	 	d)	 	The On-Site Representative will prepare and submit a monthly report and
participate in the Telvent’s Committee preparation.
	 
	 	e)	 	The Company’s Administration and Financial Departments shall report to
the On-Site Representative as the representative of the Vice Chairman.
	 
	 	f)	 	The Chairman may assign some duties appropriate to his position to the
On-Site Representative to help him in the operation of the Company.

	 	 	The On-Site Representative will not be considered an employee, agent or
contractor of the Company.
	 
	 	 	DMS GROUP may require Telvent to replace Telvent’s On-Site Representative
immediately for any of the following reasons: (i) fraud, drug abuse, theft, or
illegal activities; or (ii) misconduct, inappropriate behavior or negligence
that results in material interference with the day-to-day operations of the
Company.

Page 20

 

In the event that DMS GROUP wishes to replace the On-Site Representative for
reasons other than those listed above, DMS GROUP may make a written reasoned
request to Telvent. Telvent will review such requests on a case-by-case
basis.

If Chairman of the Company determines in good faith that the On-Site
Representative’s conduct, behavior or performance is unsatisfactory, he may
give notice to Telvent requesting the replacement of the On-Site
Representative with detailed reasons for the request. Upon receipt of such
notice, Telvent will have 5 Business Days in which to investigate the matters
stated in such notice, discuss its findings with the Chairman and try to
reach agreement to resolve any such problems regarding the On-Site
Representative. If no agreement is reached, the issue shall be considered
by the Company’s Board of Directors, who shall meet to discuss the request.
If a simple majority of the Board decides that there are reasonable grounds
to remove the On-Site Representative, Telvent will replace the On-Site
Representative with another person. In case Telvent’s On-Site Representative
is also the Vice Chairman of the Board, then a vote of 3 out of 4 Board
Members will be required.

Point 4.11. Members of the Board: Other members of the Board, other
then the Chairman and the Vice-Chairman, will be registered in the
Serbian Business Registers Agency as legal representatives of the
Company without the right to conclude contracts or sign documents
involving a liability or obligation on the Company unless it is
otherwise decided by special decision of all Shareholders. In addition,
they will have responsibilities as defined in section 4.8.

Point 4.25. Signing Contracts. All contracts and documents involving a
liability or obligation on the part of the Company (whether in money,
goods or services) in excess of Euro 4,500,000.00 shall require
signatures of both the Chairman of the Board and the Vice-Chairman of
the Board. All other contracts and documents binding the Company shall
require only one signature, either of the Chairman of the Board or
Vice-Chairman of the Board or such other individual(s) as may be
authorized by the Board.

Point 4.26. Special approvals is amended to add the following:

(o) Change of prevailing activity of the Company

(p) Sell and transfer of the IP rights

(r) Change of the Company’s business name

(s) Any change or a waiver of any VAR or JV agreement provision

Page 21

 

(t) Allocation and distribution of profit

(u) Additional Payments

4.29 Non-Transferability of Certain Rights of DMS Group

1) Notwithstanding anything else in this Agreement, in the event that DMS Group
sells or transfers its stake in the Company to a third party in whole or in part
(other than to a Permitted Transferee as defined in Agreement) or in case of
change in the ownership structure of DMS GROUP after which Prof. Dr. Dragan
Popovic and/or Mr. Laslo Tipura or their heirs do not continue to Control DMS
GROUP. (“Control” means the ownership, directly or indirectly, of at least 51%
of the voting rights of DMS GROUP) the following provisions of the
Agreement are non-transferable and will not apply in favor of the third party:

	 	(a)	 	the right of DMS GROUP to appoint the Chairman of the Board; and
	 
	 	(b)	 	the right of DMS GROUP and Prof. Dr. Dragan Popovic to nominate
a replacement Executive Director/CEO and Chairman of the Board;

and in this case the Chairman of the Board shall be elected by the Shareholder(s)
holding a majority of the Stakes in the Company.

2) In the event that Telvent sells or transfers its stake in the Company in whole
or in part to a third party, the right of DMS Group to appoint the Chairman of
the Board and the right of DMS Group and Prof. Dr. Dragan Popovic to nominate a
replacement Chairman of the Board and the Executive Director/CEO will continue to
apply in accordance with the JV Agreement as amended and the Shareholder
Agreement as amended.

4. The following Point 5.8 within Article 5. of the Agreement is being
amended to state as follows

5.8 Budgets. For the current financial year of the Company and for each
subsequent financial year of the Company, the Chairman of the Board shall
prepare a budget showing, among other things, in a reasonable degree of detail
the anticipated revenues, expenditures, cash flow, working capital and financing
of the Company for such financial year of the Company. The budget for any
particular financial year of the Company shall be prepared and delivered to each
Member of the Board and Shareholder at least 30 days prior to the beginning of
each financial year.

The Board shall meet to review and discuss the budget for a financial year with a
view to agreeing upon a final budget for such financial year, subject to Article
4.4. In the management and operation of the business, each Shareholder of the

Page 22

 

Company shall, and shall cause its Nominees to, endeavor to the extent it is
reasonable to do so to adhere to the final budget (as agreed upon by consensus by
the Members of the Board) for a financial year and not to exceed expenditures
provided for therein without prior notice to each Shareholder of the Company.

5. The following Points within the Article 7. of the Agreement are being
amended to state as follows:

	7.1.	 	Definitions and Application. For the purposes of this Article:
	 
	(a)	 	“Disability” and “Disabled” means, in relation to Prof. Dr. Dragan Popovic,
that Prof. Dr. Dragan Popovic, through bona fide illness, physical or mental, is
unable to devote the time and attention to the affairs of the Company required in
order to carry out his duties to the Company, and such disability continues for 365
days from the commencement of such disability or for 365 days in the aggregate
during any period of 540 consecutive days.
	 
	 	 	Calculation of Period of Disability. The parties agree as follows:
	 
		 	(i) For the purposes of this Article, a period of disability for
Prof. Dr. Dragan Popovic shall be deemed to commence on the first
working day that Prof. Dr. Dragan Popovic does not attend to the
affairs of the Company required of Prof. Dr. Dragan Popovic, statutory
holidays and vacations excepted.
	 
		 	(ii) In calculating the period of disability for the purposes of
this Article, unless and until Prof. Dr. Dragan Popovic shall have
returned to attending to the affairs of the Company as required of him
for thirty (30) consecutive normal working days, the said period of
disability shall be deemed to have continued without interruption
whatsoever.
	 
	(b)	 	“Purchase Option Event” means any of the following events:
	 
		 	(i) Prof. Dr. Dragan Popovic dies or becomes Disabled;
	 
		 	(ii) Prof. Dr. Dragan Popovic ceases to be the authorized
representative of DMS GROUP;
	 
		 	(iii) the employment of Prof. Dr. Dragan Popovic as the Chairman of
the Board of the Company is terminated for Cause; or
	 
		 	(iv) Opening of a bankruptcy procedure against DMS GROUP
	 
		 	(v) Any change in the ownership structure of DMS Group after which
Prof. Dr Dragan Popovich and/or Mr. Laslo Tipura or their heirs do
not continue to Control (as defined below) DMS Group. “Control”
means the ownership, directly or indirectly, of at least 51% of the
voting rights of DMS Group.

Page 23

 

	(c)	 	“Purchase Price” means:

(i) In the event that DMS GROUP accepts the price
proposed by Telvent in the Option Notice, the price for the
Optioned Stake shall be the proposed price, or

(ii) In the event that DMS GROUP serves a Notice of
Rejection on Telvent subject to Section 7.3., the price for
the Optioned Stake shall be the price determined in
accordance with Article 11 —Valuation.

In the case the Option to Purchase occurs under this Article, the Purchase Price
shall be determined based on the minimal value of the Company in the amount of EUR
120,000,000.00 or based on the value determined by the Valuator in accordance with
Article 11 of the Shareholder Agreement, whichever is greater, except:

	 	•	 	in the event from Article 7, point 7.1 b (i) in which case the
Purchase Price shall be determined based on the minimum value of the Company
in the amount of EUR 60,000,000.00 or based on the value determined by the
Valuator in accordance with Article 11 of the Shareholder Agreement,
whichever is greater, and
	 
	 	•	 	in the event from Article 7, point 7.1 b (iii) or Dragan Popovic ‘s
Resignation the Purchase Price shall be determined in accordance with Article
11, point 11.4 of the Shareholder Agreement, as amended.

	7.2.	 	Option. Under the condition that Telvent fulfills all of its financial
obligations of payment the Additional Capital Contribution and Loan in the manner
and terms detailed in JV Agreement and the First Amendment to JV Agreement, the STA
and the Loan Agreement, and all the amendments to the Foundation Agreement as
Transaction Documents, which are then due and payable, and all due and undisputable
obligations on the basis of the VAR Agreement, Telvent will have an option,
enforceable at any time within 90 days after occurrence of a Purchase Option Event
(“Option Period”) to give notice in writing (such notice being hereinafter in this
Article Seven referred to as the “Buy-Sell Notice”) to the DMS GROUP and to the
Company, which Buy-Sell Notice shall contain the following:

	 	(a)	 	An offer by Telvent to purchase the Stake beneficially owned by
DMS GROUP (hereinafter in this Article referred to as an “Offer to
Purchase”);
	 
	 	(b)	 	an offer by Telvent to sell the Stake beneficially owned by
Telvent to DMS GROUP (hereinafter in this Article referred to as an
“Offer to Sell”); and
	 
	 	(c)	 	Telvent shall valuate a total price for all of the Stakes of the
Company. The price for the Stake of DMS GROUP shall be DMS GROUP’s
Contribution Percentage of the total price. The price for the

Page 24

 

	 	 	 	Stake of
Telvent shall be Telvent’s Contribution Percentage of the total price.

	 	 	Point 7.4. is added and states as follows:
	 
	7.4.	 	If Telvent becomes entitled to purchase the remaining stake of DMS GROUP in
the Company under the provisions of this Article 7 (Option to Purchase on Certain
Events), and on the closing of the purchase by Telvent of the remaining stake of
DMS GROUP in the Company, the Loan has not been repaid in full, Telvent shall be
entitled to setoff against the purchase price the amount owing by DMS GROUP to
Telvent under the Loan Agreement.
	 
	6.	 	Point 8.4 is added to Article 8. of the Agreement and it states as follows:
	 
	8.4.	 	If Telvent becomes entitled to purchase the remaining stake of DMS GROUP
in the Company under the provisions of this Article 8, and on the closing of the
purchase by Telvent of the remaining stake of DMS GROUP in the Company, the Loans
have not been repaid in full, Telvent shall be entitled to setoff against the
purchase price the amount owing by DMS GROUP to Telvent under the Loan Agreement.
	 
	7.	 	The following Points within Article 9. of the Agreement are being amended to
state as follows:
	 
		 	9.1. Triggering Buy/Sell Provisions. In the event of Deadlock, DMS
GROUP has the first right at any time during the period of 60 days from
the date of the Deadlock to give notice (such notice being hereinafter
in this Article Nine referred to as the “Buy-Sell Notice” and any
Shareholder giving the Buy-Sell Notice being hereinafter in this
Article referred to as the: “Offeror’) to the other Shareholder
(hereinafter in this Article sometimes collectively referred to as the:
“Offeree” and sometimes individually referred to as an: “Offeree”) and
to the Company, which Buy-Sell Notice shall contain the following:

	 	(a)	 	An offer by the Offeror to purchase the Stake beneficially
owned by the Offeree (hereinafter in this Article referred to as an:
“Offer to Purchase”);
	 
	 	(b)	 	An offer by the Offeror to sell the Stake beneficially owned by
the Offeror to the Offeree (hereinafter in this Article referred to as
an: “Offer to Sell”); and
	 
	 	(c)	 	The price to be paid for the Stake pursuant to the Offer to
Purchase and the Offer to Sell, shall be established in the following
manner.
	 
	 	 	 	The Offeror shall valuate the total price for all of the
Stakes of the Company. The price for the Stake of DMS
GROUP shall be DMS

Page 25

 

	 	 	 	GROUP’s Contribution Percentage of the
total price. The price for the Stake of Telvent shall be
Telvent’s Contribution Percentage of the total price (such
price being hereinafter in this Article referred to as the
“Purchase Price”).

	 	 	If DMS GROUP does not exercise the right to first issue the Buy/Sell Notice,
then Telvent can exercise the same right under the same conditions in the
following period of 60 days, provided that Telvent fulfills its financial
obligations detailed in the First amended JV Agreement, the STA and the Loan
Agreement, all amendments to the Foundation agreement, as Transaction
Documents, which are then due and payable, and all due and undisputable
obligations on the basis of the VAR Agreement.
	 
	 	 	Any Buy-Sell Notice delivered pursuant to this Section 9.1 shall be delivered
by courier delivery to the Shareholder and to the Company at the address set
out in the Notices section of this Agreement.

	 
	 	 	If neither DMS GROUP nor Telvent exercise the right to issue the Buy/Sell Notice and the Deadlock continues then the Buy-Sell procedure defined in this
Section will be repeated but the relevant time periods will be 15 days
instead of 60 days.
	 
	 	 	Point 9.9 is added to Article 9. of the Agreement and states as follows:
	 
	9.9.	 	If Telvent becomes entitled to purchase the remaining stake of DMS GROUP
in the Company under the provisions of this Article 9, and on the closing of the
purchase by Telvent of the remaining stake of DMS GROUP in the Company, the Loans
have not been repaid in full, Telvent shall be entitled to setoff against the
purchase price the amount owing by DMS GROUP to Telvent under the Loan Agreement.
	 
	 	 	Point 9.10 is added to Article 9 of the Agreement and states as follows:
	 
	9.10.	 	In the event that at the time that either party becomes entitled to
purchase the remaining stake of the other party in the Company under the provisions
of this Article 9, and the employment of Prof. Dr. Dragan Popovic has not been
terminated by reason of Resignation or termination for Cause, the following shall
apply:

	 	(a)	 	for the purposes of this Article 9, the price for a party’s
remaining stake shall be a minimum price of EUR 1,200,000.00 for a 1%
stake of the Company as the basis for calculation and
	 
	 	(b)	 	Fifty percent (50%) of the purchase price payable by Telvent
(after

Page 26

 

	 	 	 	reducing the amount payable to pay out any loans payable by DMS
GROUP to Telvent) shall be paid into an escrow account with an escrow
agent pursuant to the terms of an escrow agreement to be entered into
among Telvent, DMS GROUP and the escrow agent.
	 
	 	 	 	The escrow agreement shall provide that the funds paid
into escrow will be released to DMS GROUP on the fifth
anniversary of the closing defined in the stake transfer
agreement provided that the employment of Prof. Dr. Dragan
Popovic has not been terminated by reason of Resignation
or termination for Cause. In the event that Prof. Dr.
Dragan Popovic resigns from his employment with the
Company prior to the fifth anniversary of the Closing, DMS
GROUP shall forfeit all rights to receive the money in
escrow (the Escrow Funds) and the Escrow Funds shall be
paid out to Telvent by the Escrow Agent.
	 
	 	(c)	 	In case of Prof. Dr Dragan Popovic’s death or permanent
incapacity occurred during his employment relationship or conducting
business for the Company or Telvent, or resignation for Good Reason,
the Escrow Funds shall be immediately paid to DMS GROUP by the Escrow
Agent.

	 	 	Point 9.11 is added to Article 9 of the Agreement and states as follows:
	 
		 	9.11 If at any time within 5 years of the Closing, either party
becomes entitled to purchase the remaining stake of the other party in
the Company under the provisions of this Article 9, and Prof. Dr.
Dragan Popovic is not then employed with the Company, the price for DMS
GROUP’s stake shall be determined in accordance with the provisions set
out in the JV Agreement and the Shareholders Agreement and in this
event the escrow described in the previous clauses will not be applied.
	 
	8.	 	Article 11. point 11.4. is being amended to read as follows:

11.4 Fair Market Value. Except as otherwise expressly provided herein,
for all purposes of this Agreement, “Fair Market Value” shall mean the fair
market value of all Stakes of the Company as at the Relevant Date, as
determined by agreement of the relevant parties or, in the absence of such
agreement, as determined by the Valuator in accordance with the provisions of
this Article.

In the event of a Valuation, the Parties agree that the value of all the
Stakes of the Company for the purposes of this Agreement shall be the greater
value of the following amounts (a) 36.000.000 Euro minus actual debts of the
Company plus actual receivables, or (b) the amount determined by the Valuator,

The Valuator shall (subject to the following) use such criteria, as the
Valuator deems reasonable and appropriate having regard to the nature of the
Company’s

Page 27

 

business and all other facts and circumstances deemed relevant by the
Valuator, provided that in making its determination of fair market value as
aforesaid the Valuator shall:

	 	(a)	 	consider the Company on a going-concern and “stand alone” basis.
	 
	 	(b)	 	assume that there exists a market for the subject Stakes at a
fair price;
	 
	 	(c)	 	ignore the impact that the departure of the withdrawing
Shareholder may have upon the business, goodwill or operations of the
Company and the value of the said Stakes;
	 
	 	(d)	 	assume that the existence of this Agreement does not have an
impact upon the value of the Company or its Stakes.

	 	
For all purposes of this Agreement, the Fair Market Value of a Stake of
a Shareholder shall be equal to that Shareholder’s Contribution
Percentage of the Fair Market Value of all Stakes of the Company as at
the Relevant Date.

	9.	 	Article 15. point 15.1. is amended in full, to read as follows:

	15.1.	 	If a Party fails to make its Additional Capital Contribution within the time
frames as stipulated under the First Amendment to the JV Agreement, except under
the conditions of Force Majeure (hereinafter: “Breaching Party”):
	 
	a)	 	A Breaching Party shall pay to the Company interest for the amount or value
overdue which is calculated on a daily basis from and including the date such
contribution was due until and including the date the contribution is made in full
at the interest rate of EURIBOR plus 1%. Such interest shall be payable monthly in
arrears and shall be used by the Company for appropriate business purposes.
	 
	b)	 	A Breaching Party shall indemnify the Company for any penalties or costs
incurred by the Company as a result of such failure to pay the Capital
Contribution,
	 
	c)	 	If Telvent fails to pay any Installment of its Additional Capital Contributions
under this First Amendment to the JV Agreement or fails to release any Installment
of the Loan of any of the Facilities in accordance with the Loan Agreement, and if
such failure to pay continues for a period of 30 days, then DMS GROUP may give a
Notice in writing to Telvent (hereinafter referred to as: “Notice of Breach”). If
the failure to pay continues for a further 30 days after receipt of such Notice,
DMS GROUP shall be entitled to buy back the 8% of the total capital of the Company
at the purchase price of EUR 9,600,000.00, which is equivalent to the Fixed
Component of the Purchase

Page 28

 

	 	 	Price paid to DMS GROUP by Telvent under the STA
(hereinafter referred to as: “Buy Back Payment”).
	 
	 	 	If DMS GROUP decides to exercise its option to buy back the 8% of the
total capital of the Company, DMS GROUP shall deliver a notice in writing
to Telvent inviting Telvent to execute the stake transfer agreement and
amendment to the Foundation Agreement (hereinafter referred to as the:
“Buy Back Notice”). Together with the Buy Back Notice, DMS GROUP will
deliver the forms of the stake transfer agreement and the amendment to the
Foundation Agreement.
	 
	 	 	Telvent shall be obliged to execute the stake transfer agreement and
amendments to the Foundation Agreement required for registration of the
buy-back of 8% of total capital of the Company before the Business
Register Agency within 8 days from receiving the Buy Back Notice.
	 
	 	 	The payment term for this buy-back shall be for 5 years at annual interest
rate of 5%. DMS GROUP shall have a grace period of 1 year and thereafter
will pay the buy back payment in 16 quarterly payments starting from the
end of grace period. The grace period shall commence on the day of
execution of the stake transfer agreement and amendment to the Foundation
Agreement. In case Telvent fails to execute these documents, grace period
starts from the date of entry of buy-back into the Book of stakes (51% DMS
GROUP). DMS GROUP shall pay the interest calculated during the Grace
Period on the last business day of the Grace Period.
	 
	 	 	If Telvent fails to execute the stake transfer agreement for the 8% of the
total capital in the Company and/or the amendment to the Foundation
Agreement thereto within 8 days from receiving the Buy Back Notice, the
Company is authorized to enter into the transfer of the 8% of the total
capital in the Book of stakes in favor of DMS GROUP (51% DMS GROUP) and:

	 	(i)	 	the annual interest rate under the Loan Agreement shall
decrease to 7% per annum, starting from the expiry of 10 days from the
date that the advance of the Installment of the Loan should have been
made and/or the date that the Installment of Additional Capital
Contribution should have been paid; and
	 
	 	(ii)	 	the provisions of Article 4 points 4.4 second paragraph and
4.26 of the Shareholders Agreement shall be suspended;

	 	 	until Telvent has executed both the stake transfer agreement and the amendment to
the Foundation Agreement.
	 
	 	 	In case DMS GROUP has exercised its Buy Back right on the basis of any ground,
and Telvent breaches its obligations from this First Amendment regarding the
obligations to pay the Installments of Additional Capital Contribution, and/or
Installments of the Loan, and its obligation to execute a stake

Page 29

 

	 	 	transfer
agreeement for the transfer of 8% of the total capital and an amendment to the
Foundation Agreement upon the buy-back, then until Telvent remedies all the
breaches, the annual interest rate under the Loan Agreement shall decrease to 7%
per annum, starting from the expiry of 10 days from the date that the advance of
the Installment of the Loan should have been made and/or the date that the
Installment of Additional Capital Contribution should have been paid and the
provisions of Article 4 points 4.4 second paragraph and 4.26 of the Shareholders
Agreement shall be suspended starting from the expiry of 30 days from the date of
receiving the Notice of Breach up to the date when Telvent remedies the
breaches.
	 
	 	 	The Parties agree that for 30 days following the suspension of Article 4 points
4.4 second paragraph and 4.26, the Board and the Company shall not reach any
decisions nor take any actions on the basis of the suspension.

	 
	 	 	
After 30 days following the suspension of Article 4 points 4.4 second paragraph
and 4.26, but for no more than 90 days following the suspension of Article 4
points 4.4 second paragraph and 4.26, the Board and the Company may reach
decisions and/or take actions only under Article 4 point 4.26 (e) and (f)
without prior written consent of all Shareholders of the Company until Telvent
remedies the breach.
	 
	 	 	After 90 days following the suspension, the Board and the Company may reach any
decisions and/or take any actions under Article 4 points 4.4 second paragraph
and 4.26 on the basis of the suspension until Telvent executes the stake
transfer agreement and the amendment to Foundation Agreement or until Telvent
remedies the breaches.
	 
	 	 	If DMS GROUP fails to pay to Telvent the amounts due under the buy-back of 8%
of the total capital and such failure continues for 30 days Telvent shall
deliver a written Notice of Breach to DMS GROUP, and if the failure to pay
continues for a further 30 days after receipt of such Notice then DMS GROUP’s
right of casting vote as defined in article 4 point 4.2 of the Shareholders
Agreement shall be suspended until DMS GROUP remedies the breaches.
	 
	 	 	The Parties agree that for 60 days following the suspension of Article 4
point 4.2, the Board shall not reach any decisions on the basis of the
suspension. After 60 days following the suspension of Article 4 point 4.2,
the Board may reach all decisions on the basis of the suspension until DMS
GROUP remedies the breaches.

(d) If the Company breaches its obligations to provide financial
reporting, or progress reports on the R&D Plan under Article XIII
point 13.12 or has materially failed to carry out the work to be done
under the mutually agreed and approved R&D Plan, the Parties may
issue a notice

Page 30

 

of breach to the Company with a copy to the other
Party and if such breach is not remedied within 30 days of receipt of
the notice by the Company, the Parties shall be entitled to postpone
their payment of the next Installment of the Additional Capital
contribution and Installment of the Loan listed in Appendix 2 to the
First Amendment to the JV Agreement until the Parties reach an
agreement to adjust the R&D Plan execution and continue with making
the above mentioned payments. The solution to the problem or
adjustment to the R&D Plan shall be approved by the Board by 3 votes
of the 4 Board members. The Parties shall be obliged to make their
payments which were postponed within 10 business days.

If the failure to carry out the R&D Plan is a consequence of
Telvent’s breach of its obligations to pay its Installment of the
Additional Capital Contribution and the Installment of the Loan,
Telvent shall not have the right to postpone the payment of any
Installment of the Additional Capital Contribution or Installment of
the Loan.

	10.	 	In the Shareholders Agreement and this First Amendment, the JV Agreement
and other transaction Documents, and all the documents concluded on the Signature
Date, any reference to Article 4, point 4.25 (e) and (f) actually refers to
Article 4, point 4.26 (e) and (f) and all references to Article 4, point 4.25 in
points 4.8, 4.20 and 4.22 refer to Article 4, point 4.26.
	 
	11.	 	If any changes are made to Serbian Company Law which affect the rights and
obligations under this Agreement or other Transaction Documents, and especially if
they require changes to be made to the provisions which relate to Board of
Directors, Chairman of the Board, Executive Director/CEO and CEO replacement, the
Parties agree to sign the necessary amendments to this Agreement, other
Transactions Documents and the Foundation Agreement of the Company as necessary in
order to maintain the rights and obligations of the Parties in accordance with this
Agreement and other Transactions Documents (hereinafter referred to as: “Necessary
Amendments”).

It is especially important to understand that if the present rights and
authorities of Prof. Dr Dragan Popovic as the Executive Director/CEO and Chairman
of the Board, as well as the Board structure cannot be maintained, the Parties
agree on the following:

	 	1.	 	The Company shall have the Supervisory Board or some similar board or
authority which corresponds to the current Board of Directors with respect to
its form and competence (and especially with respect to the selection of the
Executive Director/CEO and the Chairman of the Board and his replacement and
CEO replacement), division of authority between that

Page 31

 

	 	 	 	Board and Assembly shall
remain as it is in the scope allowed by the new Company Law.
	 
	 	2.	 	The form of the aforementioned Board shall provide DMS Group the
majority either by number of members of that Board or by a Casting Vote in
the same manner as in the existing JV Agreement and Shareholder Agreement, as
amended.
	 
	 	3.	 	Chairman of the aforementioned Board shall be from DMS Group and Vice
Chairman shall be from Telvent with all the powers and under all terms as
in the existing JV Agreement and Shareholder Agreement, as amended and in the
scope allowed by the new Company Law.
	 
	 	4.	 	The Company shall have one director/CEO or equivalent position, who
will be from DMS Group and who shall have all the powers that the
director/CEO has under the JV Agreement and the Shareholder Agreement, as
amended.
	 
	 	5.	 	All resolutions that are required to be adopted by consensus under the
JV Agreement and the Shareholder Agreement as amended, either by the
Shareholder Assembly or the Board of Directors shall also be adopted by
consensus in the future.
	 
	 	6.	 	The Parties shall provide that the agreed obligation to pay out the
dividends under this Agreement shall be maintained fully.

Parties shall use best efforts to reach an agreement on the Necessary Amendments
utilizing the minimum necessary changes consistant with the applicable law. If a
Party does not agree with the proposed content of a Necessary Amendment(s) and
refuses to sign one or all of the Neccessary Amendments within 15 days upon
receiving notice from the other Party to sign the Necessary Amendments, the
demanding Party shall have the right to refer the Parties to Arbitration in
accordance with Article 22. of the JV Agreement. In arbitration both parties shall
propose the Necessary Amendments that each Party considers consistant with the
changes in the Serbian Company Law and best reflecting the present management
structure. The arbitrator shall base his award with respect to the matter before
him on the contents of JV Agreement, the Shareholder Agreement and on the
provisions of the applicable law. The award of the arbitrator shall be rendered in
writing with all reasonable expedition, and shall be final and binding on the
Parties hereto. If the arbitrator is unable to render an award in writing on the
request that is set before him, the Prties shall re-arbitrate the dispute at least
two (2) additional times. Notwithstanding the foregoing, the first arbitrator to
provide an award in writing, that award shall be final and binding on the Parties.
During the arbitral proceedings

Page 32

 

both parties shall manage the operation of the
Company in accordance with this Agreement and all other Transaction documents.

	I.	 	Entering into force. This First Amendment shall become effective only upon
the execution and delivery of all the Transaction documents by the Parties and
payment of the Fixed Component of the Purchase Price in full, in accordance with
the STA.
	 
	 	 	Except amendments prescribed with this First Amendments, all other
terms and conditions of the Shareholders Agreement shall remain in full
force and effect.
	 
	 	 	Parties have read, understood and accepted this Amendment, which is
confirmed with their signatures and stamps on this Amendment.

	 	 	 	 	 
	 	For: “DMS GROUP”, LLC for

power engineering Novi Sad:

 	 
	 	/s/ Dragan Popovic
 	 
	 	Prof. Dr. Dragan Popovic 	 
	 	Chairman of the Board 	 
	 
	 	For Telvent Energia S.A.Madrid:

 	 
	 	      /s/ Victor Jose Hidalgo Vega
 	 
	 	Mr. Victor Jose Hidalgo Vega 	 
	 	 	 

Page 33exv4w138

	 	 	 	 	 

	 	 	 	 	 

	STATE OF TEXAS

	 	)(
	 	Exhibit 4.138
	COUNTY OF TRAVIS

	 	)(	 	 

FIRST AMENDMENT OF LEASE AGREEMENT

THIS AMENDMENT is made and entered into between Highland Resources, Inc., hereinafter referred to
as “Lessor,” and Telvent USA Corporation hereinafter referred to as “Lessee.”

RECITALS

WHEREAS, Lessor and Lessee entered into a Lease Agreement For Office Space (Lease), commencing
March 1, 2008 and terminating February 28, 2011, for approximately 5,161 square feet of net
rentable area in the Southwest Tower Building, located at 211 E. 7th Street, Austin, Texas.

AGREEMENT

NOW, THEREFORE, it has come to the attention of the parties hereto that Lessor and Lessee agree to
amend the Lease as follows:

	 	1.	 	The Lease shall be renewed commencing upon substantial completion of the tenant
improvements, estimated to be March 1, 2011, and terminating February 28, 2014.
“Substantial Completion” means the issuance of a certificate of occupancy, and subject
only to punch list items.
	 
	 	2.	 	Lessee shall Lease an additional 2,153 net rentable square feet (Expansion Space)
as described on Exhibit “A” attached hereto. Commencement date of the Expansion Space
shall be the date that Lessor obtains a Certificate of Occupancy from the City of Austin.
Lessor, at Lessor’s sole cost, shall construct the Expansion Space as described on Exhibit
“B” attached hereto with the exclusion of any electrical upgrades, data and HVAC costs
associated with construction of the server room. Lessee shall be allowed early access to
the space for data cable and furniture. Lessor shall pay all construction soft costs,
which shall be defined as architectural, MEP engineers, construction management, and
permits. Lessor shall remove all abandoned data cable. Finish selections shall be similar
to Lessee’s existing space. Lessor shall deliver the expansion premises substantially
complete no later than four months after the execution of the amendment. Air conditioning
system for server room, if required, must be a split system with exterior condenser unit.
Lessee shall have the right to remove any 

 

 

	 	 	 	installed HVAC units upon expiration of the
Amendment. If Lessee removes air conditioning units, Lessee shall restore any damage to
the Space and roof, and remove all components associated with the air conditioning units
including rooftop condensers units and condensing lines. Lessor shall, at Lessor’s cost,
install in the Expansion Space new building standard ceiling grid and tile, parabolic
lighting, sprinkler the space, and balance HVAC. Lessor shall construct all improvements
during normal business hours; however, if the noise of the construction disrupts Lessee’s
normal course of business, Lessor and Lessee shall work together to create a reasonable
solution.
	 	3.	 	Lessee’s total Leased Space shall be 7,314 net rentable square feet.
	 
	 	4.	 	Rent for the Lessee’s existing Leased Premises and Expansion Space shall be as
follows:

	 	-	 	March 1, 2011 thru February 28, 2012 $14,018.50/mth ($23.00/sf/yr)
	 
	 	-	 	March 1, 2012 thru February 28, 2013 $14,323.25/mth ($23.50/sf/yr)
	 
	 	-	 	March 1, 2013 thru February 28, 2014 $14,628.00/mth ($24.00/sf/yr)

	 	 	 	In the event that the Expansion Space has not reached Substantial Completion by March 1,
2011, the rent shall be reduced to $9,891.92 until such time as Substantial Completion has
been reached. In the event that the Expansion Space has not reached Substantial
Completion by June 1, 2011, Lessee may terminate the Lease upon written notice to the
Lessor, unless such delay in Substantial Completion is caused by Lessee, including change
orders, server room installation, or timely approval of plans and specifications..
	 
	 	 	 	Lessee’s Base Year shall be reset to 2011 upon the execution of the Amendment.
	 
	 	5.	 	Air conditioning: Lessee shall be responsible for repairs, replacement, and
maintenance of server room air conditioning systems (existing and new) that are separate
from building supplied HVAC. Lessee shall cause such server room air conditioning systems
to be separately metered for utilities, and Lessee shall reimburse Lessor the cost of
utilities for the air conditioning units.
	 
	 	6.	 	Parking: Parking ratio of 1:400nrsf.. Lessee shall advise Lessor, from time
to time, the number of parking spaces it desires, up to a maximum of 12 in the garage and
6 spaces open parking in the lot, Rates are $75/sp/mth reserved in the garage, and
$50/sf/mth open parking on the lot. Lessee may lease additional spaces, if available, on
a month-to-month basis at the same rates noted herein.
	 
	 	7.	 	Expansion: Lessee shall have the right to expand into adjacent space, if vacant,
on similar terms as defined in this amendment. TI allowance to be reduced by length of
remaining lease. Lessor shall provide the final cost of the improvements to Lessee upon
the commencement date.
	 
	 	8.	 	Renewal: Lessee shall have the right to renew the Lease for an additional three
years at market rates with six months notice to the Lessor prior to the termination date
of this Amendment.

 

 

	 	9.	 	The provisions of this Amendment shall be incorporated in full in the Lease, and
all terms and conditions of the Lease Agreement shall remain in full force and effect.

The parties hereto have caused this Amendment to be executed on this 11th day of
October, 2010.

	 	 	 

	Lessor:

	 	Highland Resources, Inc.
	 
	By:

	 	Highland Management, Inc., its Managing Agent

	 	 	 	 	 
	 	 	 
	 	By:  	/s/ Jeff Simmons
 	 
	 	 	Jeff Simmons, Vice President 	 
	 	 	 	 
	 
	 	Lessee: Telvent USA Corporation

 	 
	 	By:  	/s/ Scott Doering
 	 
	 	 	Scott Doering, General Manager

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