Document:

bydesign8kx103_4162009.htm

     

    

    Exhibit
10.3

     

    

    MERGER
AGREEMENT

    

    by,
between and among

    

    By
Design, Inc.

    ("Purchaser")

    

    and

    

    BDI
Acquisition Corp.

    (“Merger
Subsidiary”)

    

    and

    

    Asset
Holdings Corporation

    ("Company")

    

    and

    

    Deanie J.
Underwood and Bradley C. Underwood

    ("Stockholders")

    

    April 15,
2009

    

     

    

    

    
      
        
           

        

        
           

          
            

          

        

        
           

        

      

    

    

    

    
      
        
          
            	
                    1.

                  	
                    MERGER

                  	
                     
      1

                  
	
                    1.1

                  	
                    Plan
      of Merger

                  	
                     
      1

                  
	
                    1.2

                  	
                    Closing;
      Transaction Date

                  	
                     
      1

                  
	
                    1.3

                  	
                    Cooperation
      After Closing

                  	
                     
      2

                  
	 
      	 
      	
                     
      

                  
	
                    2.

                  	
                    REPRESENTATIONS
      AND WARRANTIES OF SELLER AND STOCKHOLDER

                  	
                     
      2

                  
	
                    2.1

                  	
                    Organization
      and Corporate Power

                  	
                     
      2

                  
	
                    2.2

                  	
                    Due
      Authorization; Effect of Transaction

                  	
                     
      2

                  
	
                    2.3

                  	
                    Financial
      Statements and SEC Forms

                  	
                     
      3

                  
	
                    2.4

                  	
                    Accounts
      Receivable

                  	
                     
      3

                  
	
                    2.5

                  	
                    Liabilities

                  	
                     
      3

                  
	
                    2.6

                  	
                    Capitalization

                  	
                     
      3

                  
	
                    2.7

                  	
                    Dividends
      and Distributions

                  	
                     
      3

                  
	
                    2.8

                  	
                    Subsidiaries

                  	
                     
      3

                  
	
                    2.9

                  	
                    Real
      Property

                  	
                     
      4

                  
	
                    2.10

                  	
                    Leases

                  	
                     
      4

                  
	
                    2.11

                  	
                    Personal
      Properties

                  	
                     
      4

                  
	
                    2.12

                  	
                    Employment
      Arrangements

                  	
                     
      4

                  
	
                    2.13

                  	
                    Material
      Contracts and Arrangements

                  	
                     
      4

                  
	
                    2.14

                  	
                    Ordinary
      Course of Business

                  	
                     
      4

                  
	
                    2.15

                  	
                    Litigation
      and Compliance with Laws

                  	
                    4

                  
	
                    2.16

                  	
                    Tax
      Returns

                  	
                     
      5

                  
	
                    2.17

                  	
                    Environmental
      Matters

                  	
                     
      5

                  
	
                    2.18

                  	
                    Trademarks,
      Licenses, Etc

                  	
                     
      5

                  
	
                    2.19

                  	
                    Insurance
      Policies

                  	
                     
      6

                  
	
                    2.20

                  	
                    Extraordinary
      Events

                  	
                     
      6

                  
	
                    2.21

                  	
                    Adverse
      Restrictions

                  	
                     
      6

                  
	
                    2.22

                  	
                    Material
      Information

                  	
                     
      6

                  
	
                    2.23

                  	
                    Certain
      Transactions

                  	
                     
      6

                  
	
                    2.24

                  	
                    No
      Governmental Authorizations or Approvals Required

                  	
                     
      6

                  
	
                    2.25

                  	
                    Employee
      Benefit Plans

                  	
                     
      7

                  
	
                    2.26

                  	
                    Securities
      Compliance

                  	
                     
      8

                  
	
                    2.27

                  	
                    Continuing
      Representations

                  	
                     
      8

                  
	
                    3.

                  	
                    REPRESENTATIONS,
      WARRANTIES, AND AGREEMENTS OF PURCHASER

                  	
                     
      8

                  
	
                    3.1

                  	
                    Organization
      and Corporate Power

                  	
                     
      8

                  
	
                    3.2

                  	
                    Due
      Authorization; Effect of Transaction

                  	
                     
      8

                  

          

        

      

    

     

     

    

    
      
        
           

        

        
          -
i -

          
            

          

        

        
           

        

      

    

    

    

    

    

    
      
        
          
            
              
                
                  	
                          3.3

                        	
                          Financial
      Statements

                        	
                           
      8

                        
	
                          3.4

                        	
                          Accounts
      Receivable

                        	
                           
      9

                        
	
                          3.5

                        	
                          Liabilities

                        	
                           
      9

                        
	
                          3.6

                        	
                          Capitalization

                        	
                           
      9

                        
	
                          3.7

                        	
                          Dividends
      and Distributions

                        	
                           
      9

                        
	
                          3.8

                        	
                          Subsidiaries

                        	
                           
      9

                        
	
                          3.9

                        	
                          Real
      Property

                        	
                           
      9

                        
	
                          3.10

                        	
                          Leases

                        	
                           9 
      

                        
	
                          3.11

                        	
                          Personal
      Properties

                        	
                           
      10

                        
	
                          3.12

                        	
                          Employment
      Arrangements

                        	
                           
      10

                        
	
                          3.13

                        	
                          Material
      Contracts and Arrangements

                        	
                           
      11

                        
	
                          3.14

                        	
                          Ordinary
      Course of Business

                        	
                           
      11

                        
	
                          3.15

                        	
                          Litigation
      and Compliance with Laws

                        	
                           
      12

                        
	
                          3.16

                        	
                          Tax
      Returns

                        	
                           
      12

                        
	
                          3.17

                        	
                          Environmental
      Matters

                        	
                           
      13

                        
	
                          3.18

                        	
                          Trademarks,
      Licenses, Etc

                        	
                           
      13

                        
	
                          3.19

                        	
                          Insurance
      Policies

                        	
                           
      14

                        
	
                          3.20

                        	
                          Extraordinary
      Events

                        	
                           
      14

                        
	
                          3.21

                        	
                          Adverse
      Restrictions

                        	
                           
      14

                        
	
                          3.22

                        	
                          Material
      Information

                        	
                           
      14

                        
	
                          3.23

                        	
                          Products
      in Warranty

                        	
                           
      14

                        
	
                          3.24

                        	
                          Certain
      Transactions

                        	
                           
      14

                        
	
                          3.25

                        	
                          No
      Governmental Authorizations or Approvals Required

                        	
                           
      15

                        
	
                          3.26

                        	
                          Employee
      Benefit Plans

                        	
                           
      15

                        
	
                          3.27

                        	
                          Continuing
      Representations

                        	
                           
      16

                        
	
                          4.

                        	
                          COVENANTS
      AND AGREEMENTS

                        	
                           
      16

                        
	
                          4.1

                        	
                          Purchaser’s
      and Merger Subsidiary's Covenants and Agreements Pending
      Closing

                        	
                           
      16

                        
	 
      	 
      	
                           
      

                        
	
                          5.

                        	
                          CONDITIONS
      OF COMPANY'S OBLIGATIONS

                        	
                           
      17

                        
	
                          5.1

                        	
                          Opinion
      of Purchaser's and Merger Subsidiary's Counsel

                        	
                           
      17

                        
	
                          5.2

                        	
                          No
      Opposition

                        	
                           
      17

                        
	
                          5.3

                        	
                          Reserved

                        	
                           
      17

                        
	
                          5.4

                        	
                          Representations
      and Covenants

                        	
                           
      17

                        
	
                          5.5

                        	
                          Satisfaction
      of Counsel

                        	
                          18
      

                        
	
                          5.6

                        	
                          Instruments
      of Transfer

                        	
                           
      18

                        
	
                          5.7

                        	
                          Diligence

                        	
                           
      18

                        
	 
      	 
      	 
      
	
                          6.

                        	
                          CONDITIONS
      OF SELLER'S AND STOCKHOLDER'S OBLIGATIONS

                        	
                           
      18

                        
	
                          6.1

                        	
                          Opinion
      of Company's Counsel

                        	
                           
      18

                        
	
                          6.2

                        	
                          Representations
      and Covenants

                        	
                           
      18

                        
	
                          6.3

                        	
                          No
      Opposition

                        	
                          18

                        
	
                          6.4

                        	
                          Diligence

                        	
                           
      19

                        

                

              

            

          

        

      

    

     

     

    

    
      
        
           

        

        
          -
ii -

          
            

          

        

        
           

        

      

    

    

    

    
      
        
          
            
              
                
                  	 
      	 
      	 
      
	
                          6.5

                        	
                          Audit

                        	
                           
      19

                        
	
                          6.6

                        	
                          Form
      8-K

                        	
                           
      19

                        
	 
      	 
      	
                           
      

                        
	
                          7.

                        	
                          INDEMNIFICATION
      BY PURCHASER, MERGER SUBSIDIARY AND STOCKHOLDERS

                        	
                           
      19

                        
	
                          7.1

                        	
                          Indemnification

                        	
                           
      19

                        
	
                          7.2

                        	
                          Notice
      of Claim

                        	
                           
      20

                        
	 
      	 
      	
                           
      

                        
	
                          8.

                        	
                          INDEMNIFICATION
      BY COMPANY

                        	
                           
      20

                        
	
                          8.1

                        	
                          Indemnification

                        	
                           
      20

                        
	
                          8.2

                        	
                          Notice
      of Claim

                        	
                          21
      

                        
	 
      	 
      	
                           
      

                        
	
                          9.

                        	
                          FINDER'S
      FEE

                        	
                           
      21

                        
	
                          10.

                        	
                          AMENDMENTS;
      WAIVERS

                        	
                          22
      

                        
	
                          11.

                        	
                          TERMINATION
      OF AGREEMENT

                        	
                           
      22

                        
	
                          11.1

                        	
                          TERMINATION

                        	
                           
      22

                        
	
                          11.2

                        	
                          EFFECT
      OF TERMINATION

                        	
                           
      22

                        
	
                          12.

                        	
                          ASSIGNMENT;
      SUCCESSORS AND ASSIGNS

                        	
                          22
      

                        
	
                          13.

                        	
                          SEVERABILITY

                        	
                           
      23

                        
	
                          14.

                        	
                          COUNTERPARTS

                        	
                           
      23

                        
	
                          15.

                        	
                          SECTION
      AND OTHER HEADINGS

                        	
                           
      23

                        
	
                          16.

                        	
                          NOTICES

                        	
                           
      23

                        
	
                          17.

                        	
                          GENDER

                        	
                          25
      

                        
	
                          18.

                        	
                          LAW
      TO GOVERN

                        	
                           
      25

                        
	
                          19.

                        	
                          COURTS

                        	
                           
      25

                        
	
                          20.

                        	
                          ARBITRATION

                        	
                           
      25

                        
	 
      	 
      	 
      
	
                          EXHIBITS

                        	 
      
	 	 
	
                          A  PLAN
      OF MERGER

                        	
                          27
      

                        
	
                          B  CERTAIN
      DEFINED TERMS

                        	
                           
      28

                        
	 
      	 
      	 
      

                

              

            

          

        

      

    

    

    

    
      
        
           

        

        
          -
iii -

          
            

          

        

        
           

        

      

    

    

    MERGER
AGREEMENT

    

    THIS MERGER AGREEMENT (this "Agreement") is entered into
this 15th day of April 2009, by, between and among Asset Holdings Corporation, a
Maryland corporation (the “Company”), By Design, Inc., a
Nevada corporation (the "Purchaser"), BDI Acquisition
Corp., a Nevada, corporation, and wholly owned subsidiary of the Purchaser (the
"Merger Subsidiary"),
and Deanie J. Underwood and Bradley C. Underwood, individuals and controlling
stockholders of the Purchaser (the "Stockholders");

    

    W I T N E
S S E T H  T H A T:

    

    WHEREAS, the Purchaser desires to
acquire, on the terms and subject to the conditions reflected below, the
business of the Company; and

    

    WHEREAS, THE Company believes that it
is desirable and in the best interests of the Company that its business be
combined with that of the Purchaser in a merger of the Company with and into the
Merger Subsidiary so that the Company will become a wholly owned subsidiary of
the Purchaser as below provided;

    

    NOW, THEREFORE, in consideration of the
agreements of the parties hereto, and intending to be legally bound hereby, the
parties hereto agree as follows:

    

    1.          MERGER.

    

    1.1           Plan of
Merger.  On the Closing Date (as hereinafter defined) the
parties hereto shall enter into the Plan of Merger attached as Exhibit A hereto and made a
part hereof.

    

    1.2           Closing; Transaction
Date.  This Agreement and the other documents, agreements,
securities, and all other instruments required to be executed or delivered shall
be executed and delivered (the execution and delivery of those instruments being
referred to as the "Closing") simultaneously
herewith at 10:00 A.M. on May 22, 2009 (the "Closing Date"), at the offices
of Weintraub Law Group PC; provided, however, all
provisions of Articles 5 and 6 have been met or waived in writing.

    

    Upon the occurrence of the Closing
hereunder in accordance with the terms and conditions hereof, the execution and
delivery of this Agreement by the parties hereto and the consummation of the
transactions contemplated herein shall be deemed to have been completed as of 10
A.M. on May 22, 2009.

    

    
      
        
           

        

        
          -
1 -

          
            

          

        

        
           

        

      

    

    

    

    

    1.3           Cooperation After
Closing.  The Stockholders will cooperate with Company and the
Purchaser, at their request, on and after the Closing Date, in furnishing
information, evidence, testimony, and other reasonable assistance in connection
with any actions, proceedings, arrangements, or disputes relating to adjustment
of federal income and other taxes of the Company for all periods prior to the
Closing Date and in connection with any such other actions, proceedings,
arrangements, or disputes involving the Company or based upon any of the
Company's contracts, agreements, acts, or omissions that were in effect or
occurred on or prior to the Closing Date.

    

    The Stockholders agree that they will,
at any time and from time to time after the Closing Date, upon request of
Purchaser, take or cause to be taken such further actions and execute and
deliver or cause to be executed and delivered all such further documents as may
be reasonably required to consummate the transactions contemplated hereby.

    

    2.          REPRESENTATIONS AND
WARRANTIES OF PURCHASER, MERGER SUBSIDIARY AND STOCKHOLDERS.

    

    Purchaser, Merger Subsidiary and
Stockholders jointly and severally represent and warrant, covenant and agree
that on the execution hereof and on the Closing Date:

    

    2.1           Organization and Corporate
Power.  Purchaser and Merger Subsidiary are corporations duly
organized, validly existing, and in good standing under the laws of its
jurisdiction of incorporation and is duly qualified and in good standing as a
foreign corporation in each other jurisdiction in which it owns or leases
properties, conducts operations, or maintains a stock of goods, with full power
and authority (corporate and other) to carry on the business in which it is
engaged (a true and correct list of each such jurisdiction is set forth in Schedule 2.1 of the Purchaser Disclosure Schedule)
and to execute and deliver and carry out the transactions contemplated by this
Agreement.

    

    2.2           Due Authorization; Effect of
Transaction.  No provisions of the Certificate of Incorporation
or Bylaws of Purchaser and Merger Subsidiary, or of any agreement, instrument,
or understanding, or any judgment, decree, rule, or regulation, to which
Purchaser and Merger Subsidiary are a party or by which Purchaser and Merger
Subsidiary are bound, have been or will be violated by the execution and
delivery by Purchaser and Merger Subsidiary of this Agreement or the performance
or satisfaction of any agreement or condition herein contained upon its part to
be performed or satisfied, and all requisite corporate and other authorizations
for such execution, delivery, performance, and satisfaction have been duly
obtained.  Upon execution and delivery, this Agreement will be a
legal, valid, and binding obligation of Purchaser, Merger Subsidiary and
Stockholder, enforceable in accordance with its terms.  Purchaser and
Merger Subsidiary are not in default in the performance, observance, or
fulfillment of any of the terms or conditions of its Articles of Incorporation
or Bylaws.

     

    
      
        
        

      

      
        -
2 -

        
          

        

      

      
        
        

      

    

     

    

    2.3           Financial Statements and SEC
Filings.  Except as set forth on Schedule 2.3 of the Purchaser
Disclosure Schedule, Purchaser has delivered to the Company the audited
consolidated balance sheets of Purchaser as at the close of its fiscal year for
each of the three years ending December 31, 2006, 2007 and 2008 respectively,
together with related consolidated statements of operations, consolidated
statements of changes in stockholders' equity, and consolidated statements of
cash flows for the respective years then ended.  Purchaser has also
delivered to the Company its consolidated trial balance for the three-month
period ending March 2009.  Purchaser has also delivered to the Company
all filings required by the Securities Exchange Act of 1934 (the “34 Act”) since
inception, including, but not limited to, Forms 10Q, 10QSB, 10K, 10KSB, 12B-25
and SB-2 (“SEC
Filings”).

    

    The financial statements and SEC
Filings specified above, including in each case the notes to such financial
statements, are hereinafter sometimes collectively referred to as the "Purchaser Financial
Statements."  All of the Purchaser Financial Statements are
true, correct, and complete, have been prepared in accordance with generally
accepted accounting principles consistently followed throughout the periods
(except as set forth in such notes or statements) and fairly present the
financial condition of Purchaser and the results of its operations as at the
dates thereof and throughout the periods covered thereby.  The
Purchaser Financial Statements reflect or provide for all claims against, and
all debts and liabilities of, Purchaser, fixed or contingent, as at the dates
thereof, and there has not been any change between the date of the most recent
Purchaser Financial Statements and the date of this Agreement that has
materially or adversely affected  the business or properties or
condition or prospects, financial or other, or results of operations of
Purchaser, and no fact or condition exists or is contemplated or threatened,
which might cause any such change at any time in the future.  The SEC
filings were made on or before the due date, or if properly extended, by the
extended due date.

    

    2.4           Accounts
Receivable.  Purchaser has no accounts receivable.

    

    2.5           Liabilities.  Purchaser
has no liabilities of any nature, whether absolute, contingent, or
otherwise.  Purchaser is not in breach or default or in arrears in
respect of the terms or conditions of any such liabilities and no waiver or
forbearance has been granted by any holder of any such liability with respect to
any such liability.  All liabilities of Purchaser will be paid in full
on or before the Closing Date.

    

    2.6           Capitalization.  The
capitalization of Purchaser and Merger Subsidiary are as set forth in Schedule 2.6 of the Purchaser
Disclosure Schedule; and all of the outstanding capital stock of Purchaser and
Merger Subsidiary are duly authorized and validly issued, fully paid, and
nonassessable; and all the outstanding capital stock of each subsidiary of
Purchaser is owned beneficially and of record by Purchaser.

    

    2.7           Dividends and
Distributions.  From the end of its most recent fiscal year to
the date hereof Purchaser has not declared or paid any dividend or declared or
made any distribution whatsoever to its stockholders, either in cash, stock, or
other property, through purchases or redemptions of stock or
otherwise.

    

    2.8           Subsidiaries.  Except
for the Merger Subsidiary and the subsidiaries set forth in Section 5.8, Purchaser does
not own, directly or indirectly, any of the capital stock of any corporation,
association, trust or similar entity, any interest in the equity of any
partnership or similar entity, any share in any joint venture, or any other
equity or proprietary interest in any entity or enterprise, however organized
and however such interest may be denominated or evidenced.

     

    
      
        
        

      

      
        -
3 -

        
          

        

      

      
        
        

      

    

    
 

    2.9           Real
Property.  Purchaser and Merger Subsidiary own no real
property.

    

    2.10                      Leases.  Purchaser
and Merger Subsidiary are not currently a party to any real estate
lease.

    

    2.11                      Personal
Properties.  Purchaser and Merger Subsidiary own no tangible
and intangible personal property and assets.

    

    2.12                      Employment
Arrangements.  Purchaser and Merger Subsidiary have no
obligation, contingent or otherwise, under any employment agreement, collective
bargaining or other labor agreement, any agreement containing severance or
termination pay arrangements, deferred compensation agreement, retainer or
consulting arrangements, pension or retirement plan, bonus or profit-sharing
plan, stock option or purchase plan, or other employee contract or
non-terminable arrangement (whether or not that arrangement imposes a penalty
for termination), group life, health, medical or hospitalization insurance plan
or program, or other employee or fringe benefit plan, including vacation plans
or programs and sick leave plans or programs.  Schedule 2.12 of the Purchaser
Disclosure Schedule sets forth the basis of funding, and the current status of,
any past service liability with respect to any such plan or
agreement.  Except as set forth on Schedule 2.12 of the Purchaser
Disclosure Schedule, Purchaser, Merger Subsidiary or its employees are not now
and for the past five years have not been subject to or involved in or, to the
best of the Shareholders’ knowledge, threatened with any union elections,
petitions therefor or other organizational activities.  Purchaser and
Merger Subsidiary have performed all obligations required to be performed under
all such agreements, plans, and arrangements and is not in breach of or in
default or arrears under the terms thereof.

    

    2.13                      Material Contracts and
Arrangements.  Purchaser and Merger Subsidiary have no contract
or arrangement, including, without limitation, any commitments or obligations,
contingent or otherwise, under any contract or arrangement.  Purchaser
has performed all obligations required to be performed under any previously
entered contract or arrangement and has no liability arising from any breach or
default of any such contract or arrangement under the terms
thereof.

    

    2.14                      Ordinary Course of
Business.  [Omitted.]

    

    2.15                      Litigation and Compliance
with Laws.  Schedule 2.15 of the and
Purchaser Disclosure Schedule contains a brief description of all litigation or
legal or other actions, suits, proceedings, or investigations, at law or in
equity or admiralty, or before any federal, state, municipal, or other
governmental department (including, without limitation, the National Labor
Relations Board), commission, board, agency, or instrumentality, domestic or
foreign, in which Purchaser, Merger Subsidiary or any of its officers or
directors, in such capacity, is engaged, or, to the knowledge and belief of the
Stockholders, with which Purchaser, Merger Subsidiary or any of its officers or
directors is threatened in connection with the business or affairs or properties
or assets of Seller and Merger Subsidiary.  Seller and Merger
Subsidiary are and at all times since its inception have been in compliance with
all laws and governmental rules and regulations, domestic and foreign, and all
requirements of insurance carriers, applicable to its business or affairs or
properties or assets, including, without limitation, those relating to
environmental protection, water or air pollution, and similar
matters.

     

    
      
        
        

      

      
        -
4 -

        
          

        

      

      
        
        

      

    

    
 

    2.16                      Tax
Returns.  Seller and Merger Subsidiary have filed, in
accordance with applicable law, all federal, state, county, and local income and
franchise tax returns and all real and personal property tax returns that are
required to be filed, and the provision for taxes shown on the most recent
balance sheet included in the Purchaser Financial Statements is sufficient to
satisfy all taxes of any kind of Seller and Merger Subsidiary, including
interest and penalties in respect thereof, whether disputed or not, and whether
accrued, due, absolute, deferred, contingent, or other for all periods ended on
or prior to the date of such balance sheet.  As of the date hereof no
tax liabilities have been assessed or proposed that remain unpaid, and Seller
and Merger Subsidiary have not signed any extension agreement with the Internal
Revenue Service or any state or local taxing authority.  Seller and
Merger Subsidiary have paid all taxes that have become due pursuant to such
returns and has paid all installments of estimated taxes due.  All
taxes and other assessments and levies that Seller and Merger Subsidiary are
required by law to withhold or to collect have been duly withheld and collected,
and have been paid over to the proper governmental authorities to the extent due
and payable. From the end of its most recent fiscal year to the date hereof
Seller and Merger Subsidiary have not made any payment of or on account of any
federal, state, or local income, franchise, or any real or personal property
taxes, except as set forth in Schedule 2.16 of the
Disclosure Schedule.  Neither Purchaser nor Stockholders are aware of
any basis upon which any assessment for a material amount of additional federal
income taxes could be made.  The information shown on the federal
income tax returns of Purchaser and Merger Subsidiary heretofore delivered to
the Company is true, accurate, and complete and fairly presents the information
purported to be shown.

    

    2.17                      Environmental
Matters.  Without limiting the generality of Section 2.15:

    

    
      	
               
      

            	
              (i)  Purchaser
      and Merger Subsidiary are in compliance in all material respects with all
      applicable Environmental Laws (as such term is defined in Exhibit B
      hereto);

            

    

    

    
      	
               
      

            	
              (ii)  Purchaser
      and Merger Subsidiary have obtained all material permits and approvals
      required under Environmental Laws, including, without limitation, all
      material environmental, health and safety permits, licenses, approvals,
      authorizations, variances, agreements, and waivers of federal, state, and
      local governmental authorities ("Permits") necessary for
      the conduct of its business and the operation of its facilities, and all
      such Permits are in good standing and Purchaser and Merger Subsidiary are
      in compliance with all terms and conditions of such
    Permits;

            

    

    

    
      	
               
      

            	
              (iii)  Neither
      Purchaser and Merger Subsidiary, nor any of its currently or previously
      owned or leased property or operations, has been named as a potentially
      responsible party or is subject to any outstanding written order from or
      agreement with any federal, state, or local governmental authority or
      other person or is subject to any judicial or docketed administrative
      proceeding respecting (x) Environmental Laws, (y) Remedial Action (as such
      term is defined in Exhibit B hereto), or
      (z) any material Environmental Liabilities and Costs (as such term is
      defined in Exhibit
      B hereto);

            

    

    

    
      	
               
      

            	
              (iv)  There
      are no conditions or circumstances associated with the currently or
      previously owned or leased properties or operations of Purchaser and
      Merger Subsidiary that may give rise to Environmental Liabilities and
      Costs.

            

    

    

    
      	
               
      

            	
              (v)  Purchaser
      and Merger Subsidiary have not received any notice or claim to the effect
      that it is or is reasonably expected to be liable to any person as a
      result of a Release (as such term is defined in Exhibit B hereto) or
      threatened Release or any notice letter or request for information under
      CERCLA (as such term is defined in Exhibit B hereto);
      and

            

    

    

    
      	
               
      

            	
              (vi)  No
      Environmental Lien (as such term is defined in Exhibit B hereto) and no
      unrecorded Environmental Lien of which Purchaser and Merger Subsidiary
      have notice has attached to any property of Purchaser and Merger
      Subsidiary.

            

    

    

    2.18                      Trademarks, Licenses,
Etc.  Purchaser and Merger Subsidiary owns no trademarks, trade
names, service marks, patents, copyrights, registrations, or applications with
respect thereto.

     

    
      
        
        

      

      
        -
5 -

        
          

        

      

      
        
        

      

    

    
 

    2.19                      Insurance
Policies.  The insurance policies listed and described briefly
in Schedule 2.19 of the
Disclosure Schedule constitute all of the policies in force and effect in
respect of the business, properties and assets, including, without limitation,
insurance on personnel, of Purchaser.  Purchaser is not in default
under any such policy.  The insurance policies so listed and
identified are sufficient in nature, scope, and amounts to insure adequately
(and, in any event, in amounts sufficient to prevent Purchaser from becoming a
co-insurer within the terms of such policies) the business, properties, and
assets of Purchaser.  Purchaser has not been refused insurance by any
insurance carrier to which it has applied for insurance.

    

    2.20                      Extraordinary
Events.  From the end of its most recent fiscal year to the
date hereof, neither the business nor properties nor condition, financial or
other, nor results of operations of Purchaser and Merger Subsidiary have been
materially and adversely affected in any way as the result of any fire,
explosion, accident, casualty, labor disturbance, requisition, or taking of
property by any governmental body or agency, flood, embargo, or Act of God or
the public enemy, or cessation, interruption, or diminution of operations,
whether or not covered by insurance.

    

    2.21                      Adverse
Restrictions.  The execution and delivery of this Agreement and
the consummation of the transactions contemplated hereby are not events that of
themselves or with the giving of notice or the passage of time or both, could
constitute, on the part of Purchaser and Merger Subsidiary, a violation of or
conflict with or result in any breach of, or default under the terms,
conditions, or provisions of, any judgment, law, or regulation, or of the
Certificate of Incorporation or Bylaws of Purchaser and Merger Subsidiary, any
agreement or instrument to which Purchaser and Merger Subsidiary are a party or
by which it is bound, or result in the creation or imposition of any lien,
charge, or encumbrance of any nature whatsoever on the property or assets of
Purchaser and Merger Subsidiary and no such event of itself or with the giving
of notice or the passage of time or both will result in the acceleration of the
due date of any obligation of Purchaser and Merger Subsidiary.

    

    2.22                      Material
Information.  Neither the Purchaser Financial Statements nor
this Agreement (including the Schedules and Exhibits hereto) nor any certificate
or other information or document furnished or to be furnished by either
Purchaser, Merger Subsidiary or Stockholders to the Company contains or will
contain any untrue statement of a material fact or omits or will omit to state a
material fact required to be stated herein or therein or necessary to make the
statements herein or therein not misleading.

    

    2.23                      Certain
Transactions.  With the exception of transactions involving
Stone Select, LLC, which are disclosed in the Purchaser’s filings with the
SEC,  none of the officers, directors, or employees of Purchaser and
Merger Subsidiary are presently a party to any transaction with Purchaser and
Merger Subsidiary (other than for services as officers, directors, and
employees), including, without limitation, any contract, agreement, or other
arrangement providing for the furnishing of services to or by, providing for
rental of real or personal property to or from, or otherwise requiring payments
to or from, any officer, director, any such employee, any member of a family of
any officer, director, or such employee or any corporation, partnership, trust,
or other entity in which any officer, director, or any such employee has a
substantial interest or is an officer, director, trustee, or
partner.

    

    2.24                      No Governmental
Authorizations or Approvals Required.  No authorization or
approval of, or filing with, any governmental agency, authority, or other body
will be required in connection with the execution and delivery of this Agreement
or the consummation of the transactions contemplated hereby.

     

    
      
        
        

      

      
        -
6 -

        
          

        

      

      
        
        

      

    

    
 

    2.25                      Employee Benefit
Plans.

    

    Schedule 2.25 of the
Disclosure Schedule contains a true, correct, and complete list of all pension,
profit sharing, retirement, deferred compensation, welfare, insurance
disability, bonus, vacation pay, severance pay, and other similar plans,
programs, or agreements, and every material personnel policy, whether reduced to
writing or not, relating to any persons employed by Purchaser and Merger
Subsidiary and maintained at any time by Purchaser and Merger Subsidiary or by
any other member (hereinafter, "Affiliate") of a
controlled group of corporations, group of trades, or businesses under common
control or affiliated service group that includes Purchaser and Merger
Subsidiary (as defined for purposes of Section 414(b), (c), and (m) of the Code)
(collectively, the "Plans").  Purchaser
and Merger Subsidiary have made available to the Company true, correct, and
complete copies of all Plans that have been reduced to writing, together with
all documents establishing or constituting any related trust, annuity contract,
insurance contract, or other funding instrument, and true, correct, and complete
written summaries of those that have not been reduced to writing.  For
each "defined benefit plan," Purchaser and Merger Subsidiary have made available
a copy of the latest annual actuarial report, and for all Plans the latest Forms
5500.  Except as set forth on Schedule 2.25 of the Disclosure Schedule,
neither Purchaser, Merger Subsidiary nor any Affiliate has any obligation or
other employee benefit plan liability under applicable law; nor has Purchaser,
Merger Subsidiary or any Affiliate ever been obligated to contribute to any
"multi-employer plan," as defined in Section 3(37) of the Employee Retirement
Income Security Act of 1974, as amended ("ERISA").  Neither
Purchaser, Merger Subsidiary nor any Affiliate has incurred any "withdrawal
liability" calculated under Section 4211 of ERISA and there has been no event or
circumstance that would cause them to incur any such
liability.  Neither Purchaser, Merger Subsidiary nor any Affiliate has
ever maintained a Plan providing health or life insurance benefits to former
employees.  No plan previously maintained by Purchaser, Merger
Subsidiary or its Affiliates that was subject to ERISA has been terminated; no
proceedings to terminate any such plan have been instituted within the meaning
of Subtitle C of Title IV of ERISA; and no reportable event within the meaning
of Section 4043 of Subtitle C has occurred with respect to any such Plan, and no
liability to the Pension Benefit Guaranty Corporation has been
incurred.  For each Plan, Purchaser, Merger Subsidiary and every
Affiliate are in compliance with all requirements prescribed by all statutes,
regulations, orders, or rules currently in effect, and they have in all respects
performed all obligations required to be performed by them.  Neither
Purchaser, Merger Subsidiary nor any Affiliate, nor any of their directors,
officers, employees, or agents, nor any trustee or administrator of any trust
created under the Plans, have engaged in or been a party to any "prohibited
transaction" as defined in Section 4975 of the Code and Section 406 of ERISA
that could subject Purchaser, Merger Subsidiary or the Company or their
affiliates, directors, or employees or the Plans or the trusts relating thereto
or any party dealing with any of the Plans or trusts to any tax or penalty on
"prohibited transactions" imposed by Section 4975 of the Code.  Except
as set forth on Schedule
2.25 of the Disclosure Schedule, neither the Plans nor the trusts created
thereunder have incurred any "accumulated funding deficiency," as such term is
defined in Section 412 of the Code and regulations issued thereunder, whether or
not waived.

    

    Each Plan intended to qualify under
Section 401(a) of the Code has been determined by the Internal Revenue Service
to so qualify, and the trusts created thereunder have been determined to be
exempt from tax under Section 501(a) of the Code; copies of all determination
letters have been delivered to the Company; and nothing has occurred since the
date of such determination letters that might cause the loss of such
qualification or exemption.  For each funded Defined Benefit Plan, the
present value of the actuarial accrued liability, determined on a plan
termination basis, does not exceed the fair market value of the assets held
under such Plan, and there is no unpaid contribution for any Plan year ended
prior to the Closing Date as required under Section 412 of the
Code.  For each Plan that is a qualified profit sharing or stock bonus
plan, all employer contributions accrued for plan years ending prior to the
Closing Date under the Plan terms and applicable law have been
made.

    

    Except as set forth on the Purchaser Disclosure Schedule,
all of the liabilities with respect to all of the Plans are accurately reflected
in Purchaser's Financial Statements and Purchaser's Balance Sheet.

     

    
      
        
        

      

      
        -
7 -

        
          

        

      

      
        
        

      

    

    
 

    2.26  Securities
Compliance.  The Purchaser is in full compliance with all
federal and state securities laws as applied to any previous offerings under
Regulation D promulgated pursuant to Section 4(2) of the Securities Act of 1933
(the “33 Act”) and any state securities laws. The Purchaser has filed all
federal and state securities notices, including Form D, in a timely
manner.

    

    2.27                      Continuing
Representations.  The representations and warranties of
Purchaser, Merger Subsidiary and Stockholders herein contained (a) relating to
non-tax matters shall survive the Closing for a period ending March 31, 2010 and
(b) relating to tax matters shall survive the Closing for the applicable statute
of limitations.  The Surviving Corporation, as defined in the Plan of
Merger, shall be retained until the expiration of the survival
period.  At that time it may be merged or reorganized.

    

    3.          REPRESENTATIONS, WARRANTIES,
AND AGREEMENTS OF THE COMPANY.

    

    3.1           Organization and Corporate
Power.  The Company is a corporation duly organized, validly
existing, and in good standing under the laws of its jurisdiction of
incorporation and is duly qualified and in good standing as a foreign
corporation in each other jurisdiction in which it owns or leases properties,
conducts operations, or maintains a stock of goods, with full power and
authority (corporate and other) to carry on the business in which it is engaged
(a true and correct list of each such jurisdiction is set forth in Schedule 3.1 of the Company
Disclosure Schedule) and to execute and deliver and carry out the transactions
contemplated by this Agreement.

    

    3.2           Due Authorization; Effect of
Transaction.  No provisions of the Certificate of Incorporation
or Bylaws of the Company, or of any agreement, instrument, or understanding, or
any judgment, decree, rule, or regulation, to which Company is a party or by
which Company is bound, has been or will be violated by the execution and
delivery by Company of this Agreement or the performance or satisfaction of any
agreement or condition herein contained upon its part to be performed or
satisfied, and all requisite corporate and other authorizations for such
execution, delivery, performance, and satisfaction have been duly
obtained.  Upon execution and delivery, this Agreement will be a
legal, valid, and binding obligation of Company, enforceable in accordance with
its terms.  Company is not in default in the performance, observance,
or fulfillment of any of the terms or conditions of its Articles of
Incorporation or Bylaws.

    

    3.3           Financial
Statements.  Except as set forth on Schedule 3.3 of the Company
Disclosure Schedule, Company has delivered to Purchaser reviewed consolidated
balance sheets of Company as at the close of its fiscal year for the year ended
December 31, 2008, together with related consolidated statements of operations,
consolidated statements of changes in stockholders' equity, and consolidated
statements of cash flows for the respective years then ended.  Company
has also delivered to Purchaser its consolidated trial balance for the three
months ending March 31, 2009.  On or before the Closing Date, the
Company shall deliver to the Purchaser the audited consolidated balance sheets
of Company as at the close of its fiscal year for the year ended December 31,
2008, together with related consolidated statements of operations, consolidated
statements of changes in stockholders' equity, and consolidated statements of
cash flows for the respective years then ended as well as the consolidated
balance sheet, consolidated statements of operations, consolidated statements of
changes in stockholders' equity, and consolidated statements of cash flows for
the three months ended March 31, 2009.

     

    
      
        
        

      

      
        -
8 -

        
          

        

      

      
        
        

      

    

     

     

    The financial statements specified
above, including in each case the notes to such financial statements, are
hereinafter sometimes collectively referred to as the "Company Financial
Statements."  All of the Company Financial Statements are true,
correct, and complete, have been prepared in accordance with generally accepted
accounting principles consistently followed throughout the periods (except as
set forth in such notes or statements) and fairly present the financial
condition of Company and the results of its operations as at the dates thereof
and throughout the periods covered thereby.  The Company Financial
Statements reflect or provide for all claims against, and all debts and
liabilities of, Company, fixed or contingent, as at the dates thereof, and there
has not been any change between the date of the most recent Company Financial
Statements and the date of this Agreement that has materially or adversely
affected  the business or properties or condition or prospects,
financial or other, or results of operations of Company, and no fact or
condition exists or is contemplated or threatened, which might cause any such
change at any time in the future.

     

    3.4           Accounts
Receivable.  Subject to the bad debt reserve shown in the
Financial Statements, all customer and trade notes and accounts receivable owned
by Company on the date of the most recent balance sheet included in the
Financial Statements are fully collectible in the aggregate, to the extent of
the aggregate face value thereof as indicated on such balance
sheet.

    

    3.5           Liabilities.  Company
has no liabilities of any nature, whether absolute, contingent, or otherwise,
except as set forth in the most recent balance sheet included in the Company
Financial Statements, other than liabilities subsequently incurred in the
ordinary course of business.  Company is not in breach or default or
in arrears in respect of the terms or conditions of any such liabilities and no
waiver or forbearance has been granted by any holder of any such liability with
respect to any such liability.

    

    3.6           Capitalization.  The
capitalization of Company is as set forth in Schedule 3.6 of the Company
Disclosure Schedule; and all of the outstanding capital stock of Company is duly
authorized and validly issued, fully paid, and nonassessable; and all the
outstanding capital stock of each subsidiary of Company is owned beneficially
and of record by Company.

    

    3.7           Dividends and
Distributions.  From the end of its most recent fiscal year to
the date hereof Company has not declared or paid any dividend or declared or
made any distribution whatsoever to its stockholders, either in cash, stock, or
other property, through purchases or redemptions of stock or
otherwise.

    

    3.8           Subsidiaries.  Except
Asset Guardian Plan, Inc., a Nevada corporation, Loan Center Funding, Inc., a
California corporation and Newport Coast Consulting, LLC, a Nevada limited
liability company, Company does not own, directly or indirectly, any of the
capital stock of any corporation, association, trust or similar entity, any
interest in the equity of any partnership or similar entity, any share in any
joint venture, or any other equity or proprietary interest in any entity or
enterprise, however organized and however such interest may be denominated or
evidenced.

    

    3.9           Real
Property.  The Company owns no real property.

    

    3.10                      Leases.  The
leases listed and described in Schedule 3.10 of the Company
Disclosure Schedule constitute all the leases of real or personal property under
which Company is bound or to which Company is a party.  Each lease
listed in Schedule 3.10
of the Company Disclosure Schedule is valid, binding, subsisting, and
enforceable in accordance with its terms, and neither Company nor any landlord
or lessor is in default or in arrears in the performance or satisfaction of any
agreement or condition on its part to be performed or satisfied thereunder, and
no waiver or indulgence has been granted by any of the landlords or lessors
under those leases.  Company is not the landlord or lessor under any
leases of real or personal property.

     

    
      
        
        

      

      
        -
9 -

        
          

        

      

      
        
        

      

    

    
 

    3.11                      Personal
Properties.  Company owns and has good and marketable title to
all the tangible and intangible personal property and assets, other than the
leaseholds referred to in Schedule 3.10 of the Company
Disclosure Schedule, reflected upon the most recent balance sheet included in
the Company Financial Statements or used by Company in its business if not so
reflected, free and clear of all mortgages, liens, encumbrances, equities,
claims, and obligations to other persons, of whatever kind and character, except
as set forth in Schedule
3.11 of the Company Disclosure Schedule.  Schedule 3.11 of the Company
Disclosure Schedule contains an identification of certain major items of fixed
assets and machinery and equipment.  None of the fixed assets and
machinery and equipment is subject to contracts of sale, and none is held by
Company as lessee or as conditional sales vendee under any lease or conditional
sales contract and none is subject to any title retention agreement, except as
set forth in Schedule
3.11 of the Company Disclosure Schedule.  The fixed assets and
machinery and equipment, taken as a whole, are in a state of good repair and
maintenance and are in good operating condition; inventory is up to normal
commercial standards and no inventory that is obsolete or unmarketable is
reflected in the most recent balance sheets included in the Financial
Statements.  All items included in such inventory are covered on the
books of Company, and are valued on the Financial Statements at the lower of
cost or market and, in any event, at not greater than their net realizable
value, on an item by item basis.  Upon the sale, assignment, transfer,
and delivery of the Assets to Purchaser hereunder, there will be vested in
Purchaser good and marketable title to the tangible and intangible personal
property constituting a part thereof, free and clear of all mortgages, liens,
encumbrances, equities, claims, and obligations to other persons, of whatever
kind and character, except for the rights of third persons arising under
contracts for the sale of inventory in the ordinary course of business, each of
which is listed in Schedule
3.11 of the Company Disclosure Schedule.

    

    3.12                      Employment
Arrangements.  Except as set forth on Schedule 3.12 of the Company
Disclosure Schedule, Company has no obligation, contingent or otherwise, under
any employment agreement, collective bargaining or other labor agreement, any
agreement containing severance or termination pay arrangements, deferred
compensation agreement, retainer or consulting arrangements, pension or
retirement plan, bonus or profit-sharing plan, stock option or purchase plan, or
other employee contract or non-terminable arrangement (whether or not that
arrangement imposes a penalty for termination), group life, health, medical or
hospitalization insurance plan or program, or other employee or fringe benefit
plan, including vacation plans or programs and sick leave plans or
programs.  Schedule
3.12 of the Company Disclosure Schedule sets forth the basis of funding,
and the current status of, any past service liability with respect to any such
plan or agreement.  Except as set forth on Schedule 3.12 of the Company
Disclosure Schedule, Company or its employees are not now and for the past five
years have not been subject to or involved in or, to the best of Company's
knowledge, threatened with any union elections, petitions therefor or other
organizational activities.  Company has performed all obligations
required to be performed under all such agreements, plans, and arrangements and
is not in breach of or in default or arrears under the terms
thereof.

     

    
      
        
        

      

      
        -
10 -

        
          

        

      

      
        
        

      

    

     

    

    3.13                      Material Contracts and
Arrangements.  Except as set forth in the Schedule 3.13 of Company
Disclosure Schedule, Company has no contract or arrangement, including, without
limitation, any commitments or obligations, contingent or otherwise, under any
contract or arrangement (i) for the purchase or sale of inventory in excess of
$25,000 in any one instance, (ii) for the purchase or sale of supplies, services
or other items in excess of $25,000 in any one instance, (iii) for the purchase,
sale or lease of any equipment or machinery, (iv) for the performance of service
for others in excess of $25,000_ in any one instance, or (v) extending beyond
December 31, 2009.  All contracts of less than $25,000 do not in the
aggregate exceed $100,000.  Each of such contracts and arrangements is
valid, binding, subsisting, and enforceable in accordance with its terms and
Company has performed all obligations required to be performed under any such
contract or arrangement and is not in breach or default or in arrears in any
material respect or in any other respect that would permit the other party to
cancel such contract or arrangement under the terms thereof.  To the
best knowledge of Stockholder after due inquiry, each of the contracts, if any,
set forth in the Schedule
3.13 of Company Disclosure Schedule calling for the performance of
services or the sale of inventory can be satisfied or performed by Company
without any loss to it.

    

    3.14                      Ordinary Course of
Business.  Company, from the date of the balance sheet
contained in the most recent Company Financial Statements to the date
hereof,

    

    
      	
              (a)

            	
              has
      operated its business in the normal, usual, and customary manner in the
      ordinary and regular course of
business;

            

    

    

    
      	
              (b)

            	
              has
      not sold or otherwise disposed of any of its properties or assets, other
      than inventory sold in the ordinary course of
  business;

            

    

    

    
      	
              (c)

            	
              except
      in each case in the ordinary course of
business,

            

    

    

    
      	
               
      

            	
              (i)  has
      not amended or terminated any outstanding lease, contract, or
      agreement,

            

    

    

    
      	
               
      

            	
              (ii)  has
      not incurred any obligations or liabilities (fixed, contingent, or other),
      and

            

    

    

    
      	
               
      

            	
              (iii)  has
      not entered any commitments;

            

    

    

    
      	
              (d)

            	
              has
      not made any transactions outside the ordinary course of business in its
      inventory or any additions to its property or any purchases of machinery
      or equipment, except for normal maintenance and
    replacements;

            

    

    

    
      	
              (e)

            	
              has
      not discharged or satisfied any lien or encumbrance or paid any obligation
      or liability (absolute or contingent) other than current liabilities or
      obligations under contracts then existing or thereafter entered into in
      the ordinary course of business, and commitments under leases existing on
      that date or incurred since that date in the ordinary course of
      business;

            

    

    

    
      	
              (f)

            	
              has
      not mortgaged, pledged, or subjected to lien or any other encumbrances,
      any of its assets, tangible or
intangible;

            

    

    

    
      	
              (g)

            	
              has
      not sold or transferred any tangible asset or cancelled any debts or
      claims except in each case in the ordinary course of
    business;

            

    

     

    
      
        
        

      

      
        -
11 -

        
          

        

      

      
        
        

      

    

     

    
 

    
      	
              (h)

            	
              has
      not sold, assigned, or transferred any patents, trademarks, trade names,
      trade secrets, copyrights, or other intangible
  assets;

            

    

    

    
      	
              (i)

            	
              has
      not increased the compensation payable or to become payable to any of its
      officers, employees, or agents;

            

    

    

    
      	
              (j)

            	
              has
      not suffered any material damage, destruction, or loss (whether or not
      covered by insurance) or any acquisition or taking of property by any
      governmental authority;

            

    

    

    
      	
              (k)

            	
              has
      not waived any rights that individually or in the aggregate exceed
      $10,000;

            

    

    

    
      	
              (l)

            	
              has
      not experienced any organized work stoppage or industrial action;
      or

            

    

    

    
      	
              (m)

            	
              has
      not entered into any other transaction or transactions that individually
      or in the aggregate are material to Company, other than in the ordinary
      course of business.

            

    

    

    3.15                      Litigation and Compliance
with Laws.  The Schedule 3.15 of Company
Disclosure Schedule contains a brief description of all litigation or legal or
other actions, suits, proceedings, or investigations, at law or in equity or
admiralty, or before any federal, state, municipal, or other governmental
department (including, without limitation, the National Labor Relations Board),
commission, board, agency, or instrumentality, domestic or foreign, in which
Company or any of its officers or directors, in such capacity, is engaged, or,
to the knowledge and belief of Company, with which Company or any of its
officers or directors is threatened in connection with the business or affairs
or properties or assets of Company.  Company is and at all times since
its inception has been in compliance with all laws and governmental rules and
regulations, domestic and foreign, and all requirements of insurance carriers,
applicable to its business or affairs or properties or assets, including,
without limitation, those relating to environmental protection, water or air
pollution, and similar matters.

    

    3.16                      Tax
Returns.  Company has filed, in accordance with applicable law,
all federal, state, county, and local income and franchise tax returns and all
real and personal property tax returns that are required to be filed, and the
provision for taxes shown on the most recent balance sheet included in the
Company Financial Statements is sufficient to satisfy all taxes of any kind of
Company, including interest and penalties in respect thereof, whether disputed
or not, and whether accrued, due, absolute, deferred, contingent, or other for
all periods ended on or prior to the date of such balance sheet.  As
of the date hereof no tax liabilities have been assessed or proposed that remain
unpaid, and Company has not signed any extension agreement with the Internal
Revenue Service or any state or local taxing authority.  Company has
paid all taxes that have become due pursuant to such returns and has paid all
installments of estimated taxes due.  All taxes and other assessments
and levies that Company is required by law to withhold or to collect have been
duly withheld and collected, and have been paid over to the proper governmental
authorities to the extent due and payable.  From the end of its most
recent fiscal year to the date hereof Company has not made any payment of or on
account of any federal, state, or local income, franchise, or any real or
personal property taxes, except as set forth in the Schedule 3.16 of Company
Disclosure Schedule.  Company is not aware of any basis upon which any
assessment for a material amount of additional federal income taxes could be
made.  The information shown on the federal income tax returns of
Company heretofore delivered to Purchaser is true, accurate, and complete and
fairly presents the information purported to be shown.

     

    
      
        
        

      

      
        -
12 -

        
          

        

      

      
        
        

      

    

    
 

    3.17                      Environmental
Matters.  Without limiting the generality of Section
3.15:

    

    
      	
               
      

            	
              (i)  Company
      is in compliance in all material respects with all applicable
      Environmental Laws (as such term is defined in Exhibit A
      hereto);

            

    

    

    
      	
               
      

            	
              (ii)  Company
      has obtained all material permits and approvals required under
      Environmental Laws, including, without limitation, all material
      environmental, health and safety permits, licenses, approvals,
      authorizations, variances, agreements, and waivers of federal, state, and
      local governmental authorities ("Permits")
      necessary for the conduct of its business and the operation of its
      facilities, and all such Permits are in good standing and Company is in
      compliance with all terms and conditions of such
  Permits;

            

    

    

    
      	
               
      

            	
              (iii)  Neither
      Company nor any of its currently or previously owned or leased property or
      operations has been named as a potentially responsible party or is subject
      to any outstanding written order from or agreement with any federal,
      state, or local governmental authority or other person or is subject to
      any judicial or docketed administrative proceeding respecting (x)
      Environmental Laws, (y) Remedial Action (as such term is defined in Exhibit A
      hereto), or (z) any material Environmental Liabilities and Costs (as such
      term is defined in Exhibit A
      hereto);

            

    

    

    
      	
               
      

            	
              (iv)  Except
      as set forth on Schedule
      3.17 of the Company Disclosure Schedule, there are no conditions or
      circumstances associated with the currently or previously owned or leased
      properties or operations of Company that may give rise to Environmental
      Liabilities and Costs.

            

    

    

    
      	
               
      

            	
              (v)  Company
      has not received any notice or claim to the effect that it is or is
      reasonably expected to be liable to any person as a result of a Release
      (as such term is defined in Exhibit A
      hereto) or threatened Release or any notice letter or request for
      information under CERCLA (as such term is defined in Exhibit A
      hereto); and

            

    

    

    
      	
               
      

            	
              (vi)  No
      Environmental Lien (as such term is defined in Exhibit A hereto) and no
      unrecorded Environmental Lien of which Company has notice has attached to
      any property of Company.

            

    

    

    3.18                      Trademarks, Licenses,
Etc.  Section
3.18 of the Company Disclosure Schedule sets forth all of the trademarks,
trade names, service marks, patents, copyrights, registrations, or applications
with respect thereto, and licenses or rights under them owned, used, or intended
to be acquired or used by Company, and, to the extent indicated in Section 3.18 of the Company
Disclosure Schedule, they have been duly registered in such offices as are
indicated therein.  Company is the sole and exclusive owner of the
trademarks, trade names, service marks, and copyrights, the holder of the full
record title to the trademark registrations and the sole owner of the inventions
covered by the patents and patent applications, all as set forth in Section 3.18 of the Company
Disclosure Schedule; Company has the sole and exclusive right, to the extent
listed in Section 3.18
of the Company Disclosure Schedule, to use such trademarks, trade names, service
marks, patents and copyrights, and, except to the extent set forth on Section 3.18 of the Company
Disclosure Schedule, all of them are free and clear of any mortgages, liens,
encumbrances, equities, licenses, claims, and obligations to other persons of
whatever kind and character.

     

    
      
        
        

      

      
        -
13 -

        
          

        

      

      
        
        

      

    

    
 

    3.19                      Insurance
Policies.  The insurance policies listed and described briefly
in Section 3.19 of the
Company Disclosure Schedule constitute all of the policies in force and effect
in respect of the business, properties and assets, including, without
limitation, insurance on personnel, of Company.  Company is not in
default under any such policy.  The insurance policies so listed and
identified are sufficient in nature, scope, and amounts to insure adequately
(and, in any event, in amounts sufficient to prevent Company from becoming a
co-insurer within the terms of such policies) the business, properties, and
assets of Company.  Company has not been refused insurance by any
insurance carrier to which it has applied for insurance.

    

    3.20                      Extraordinary
Events.  From the end of its most recent fiscal year to the
date hereof, neither the business nor properties nor condition, financial or
other, nor results of operations of Company have been materially and adversely
affected in any way as the result of any fire, explosion, accident, casualty,
labor disturbance, requisition, or taking of property by any governmental body
or agency, flood, embargo, or Act of God or the public enemy, or cessation,
interruption, or diminution of operations, whether or not covered by
insurance.

    

    3.21                      Adverse
Restrictions.  The execution and delivery of this Agreement and
the consummation of the transactions contemplated hereby are not events that of
themselves or with the giving of notice or the passage of time or both, could
constitute, on the part of Company, a violation of or conflict with or result in
any breach of, or default under the terms, conditions, or provisions of, any
judgment, law, or regulation, or of the Certificate of Incorporation or Bylaws
of Company, any agreement or instrument to which Company is a party or by which
it is bound, or result in the creation or imposition of any lien, charge, or
encumbrance of any nature whatsoever on the property or assets of Company and no
such event of itself or with the giving of notice or the passage of time or both
will result in the acceleration of the due date of any obligation of
Company.

    

    3.22                      Material
Information.  Neither the Financial Statements nor this
Agreement (including the Schedules and Exhibits hereto) nor any certificate or
other information or document furnished or to be furnished by Company to
Purchaser contains or will contain any untrue statement of a material fact or
omits or will omit to state a material fact required to be stated herein or
therein or necessary to make the statements herein or therein not
misleading.

    

    3.23                      Products in
Warranty.  Attached as part of Section 3.18 of the Company
Disclosure Schedule are true and correct copies of Company's standard warranty
agreements used in connection with its business operations.  Company's
standard warranty agreements apply to each product in warranty except as
otherwise indicated on the Section 3.18 of Company
Disclosure Schedule.  Company is not in violation in any material
respect of any such warranty agreement.

    

    3.24                      Certain
Transactions.  None of the officers, directors, or employees of
Company is presently a party to any transaction with Company (other than for
services as officers, directors, and employees), including, without limitation,
any contract, agreement, or other arrangement providing for the furnishing of
services to or by, providing for rental of real or personal property to or from,
or otherwise requiring payments to or from, any officer, director, any such
employee, any member of a family of any officer, director, or such employee or
any corporation, partnership, trust, or other entity in which any officer,
director, or any such employee has a substantial interest or is an officer,
director, trustee, or partner.

     

    
      
        
        

      

      
        -
14 -

        
          

        

      

      
        
        

      

    

    
 

    3.25                      No Governmental
Authorizations or Approvals Required.  No authorization or
approval of, or filing with, any governmental agency, authority, or other body
will be required in connection with the execution and delivery of this Agreement
or the consummation of the transactions contemplated hereby.

    

    3.26                      Employee Benefit
Plans.

    

    Section 3.26 of the Company
Disclosure Schedule contains a true, correct, and complete list of all pension,
profit sharing, retirement, deferred compensation, welfare, insurance
disability, bonus, vacation pay, severance pay, and other similar plans,
programs, or agreements, and every material personnel policy, whether reduced to
writing or not, relating to any persons employed by Company and maintained at
any time by Company or by any other member (hereinafter, "Affiliate") of a
controlled group of corporations, group of trades, or businesses under common
control or affiliated service group that includes Company (as defined for
purposes of Section 414(b), (c), and (m) of the Code) (collectively, the "Plans").  Company
has made available to Buyer true, correct, and complete copies of all Plans that
have been reduced to writing, together with all documents establishing or
constituting any related trust, annuity contract, insurance contract, or other
funding instrument, and true, correct, and complete written summaries of those
that have not been reduced to writing.  For each "defined benefit
plan," Company has made available a copy of the latest annual actuarial report,
and for all Plans the latest Forms 5500.  Except as set forth on Section 3.26 of the Company
Disclosure Schedule, neither Company nor any Affiliate has any obligation or
other employee benefit plan liability under applicable law; nor has Company or
any Affiliate ever been obligated to contribute to any "multi-employer plan," as
defined in Section 3(37) of the Employee Retirement Income Security Act of 1974,
as amended ("ERISA").  Neither
Company nor any Affiliate has incurred any "withdrawal liability" calculated
under Section 4211 of ERISA and there has been no event or circumstance that
would cause them to incur any such liability.  Neither Company nor any
Affiliate has ever maintained a Plan providing health or life insurance benefits
to former employees.  No plan previously maintained by Company or its
Affiliates that was subject to ERISA has been terminated; no proceedings to
terminate any such plan have been instituted within the meaning of Subtitle C of
Title IV of ERISA; and no reportable event within the meaning of Section 4043 of
Subtitle C has occurred with respect to any such Plan, and no liability to the
Pension Benefit Guaranty Corporation has been incurred.  For each
Plan, Company and every Affiliate are in compliance with all requirements
prescribed by all statutes, regulations, orders, or rules currently in effect,
and they have in all respects performed all obligations required to be performed
by them.  Neither Company nor any Affiliate, nor any of their
directors, officers, employees, or agents, nor any trustee or administrator of
any trust created under the Plans, have engaged in or been a party to any
"prohibited transaction" as defined in Section 4975 of the Code and Section 406
of ERISA that could subject Company or Buyer or their affiliates, directors, or
employees or the Plans or the trusts relating thereto or any party dealing with
any of the Plans or trusts to any tax or penalty on "prohibited transactions"
imposed by Section 4975 of the Code.  Except as set forth on Section 3.26 of the Company
Disclosure Schedule, neither the Plans nor the trusts created thereunder have
incurred any "accumulated funding deficiency," as such term is defined in
Section 412 of the Code and regulations issued thereunder, whether or not
waived.

    

    Each Plan intended to qualify under
Section 401(a) of the Code has been determined by the Internal Revenue Service
to so qualify, and the trusts created thereunder have been determined to be
exempt from tax under Section 501(a) of the Code; copies of all determination
letters have been delivered to Buyer; and nothing has occurred since the date of
such determination letters that might cause the loss of such qualification or
exemption.  For each funded Defined Benefit Plan, the present value of
the actuarial accrued liability, determined on a plan termination basis, does
not exceed the fair market value of the assets held under such Plan, and there
is no unpaid contribution for any Plan year ended prior to the Closing Date as
required under Section 412 of the Code.  For each Plan that is a
qualified profit sharing or stock bonus plan, all employer contributions accrued
for plan years ending prior to the Closing Date under the Plan terms and
applicable law have been made.

     

    
      
        
        

      

      
        -
15 -

        
          

        

      

      
        
        

      

    

    
 

    Except as set forth on Section 3.26 of the Company
Disclosure Schedule, all of the liabilities with respect to all of the Plans are
accurately reflected in Company's Financial Statements and Company's Balance
Sheet.

    

    3.27                      Continuing
Representations.  The representations and warranties of Company
and Stockholder herein contained (a) relating to non-tax matters shall survive
the Closing for a period of one (1) year and (b) relating to tax matters shall
survive the Closing for the applicable statute of limitations.

    

    4.          COVENANTS AND
AGREEMENTS.

    

    4.1           Purchaser's and Merger
Subsidiary’s Covenants and Agreements Pending
Closing.  Purchaser and Merger Subsidiary, from the date hereof
to the Closing Date,

    

    
      	
              (a)

            	
              will
      operate their business in the normal, usual, and customary manner in the
      ordinary and regular course of
business;

            

    

    

    
      	
              (b)

            	
              will
      not sell or otherwise dispose of any of its properties or assets, other
      than (i) the membership interests of Stone Select, LLC and the common
      stock of Stone Select Imports, Inc. and (ii) inventory sold in the
      ordinary course of business;

            

    

    

    
      	
              (c)

            	
              except
      in each case in the ordinary course of
business,

            

    

    

    
      	
               
      

            	
              (i)  will
      not amend or terminate any outstanding lease, contract, or
      agreement,

            

    

    

    
      	
               
      

            	
              (ii)  will
      not incur any obligations or liabilities (fixed, contingent, or other),
      and

            

    

    

    
      	
               
      

            	
              (iii)  will
      not enter into any commitments;

            

    

    

    
      	
              (d)

            	
              will
      not make any unusual transactions in its inventory or any additions to its
      property or any purchases of machinery or equipment, except for normal
      maintenance and replacements;

            

    

    

    
      	
              (e)

            	
              will
      not discharge or satisfy any lien or encumbrance or pay any obligation or
      liability (absolute or contingent) other than current liabilities or
      obligations under contracts now existing or hereafter entered into in the
      ordinary course of business, and commitments under leases now
      existing;

            

    

    

    
      	
              (f)

            	
              will
      not mortgage, pledge, or subject to lien or any other encumbrances, any of
      its assets, tangible or intangible unless such mortgage, pledge, lien, or
      encumbrance is discharged before the
Closing;

            

    

     

    
      
        
        

      

      
        -
16 -

        
          

        

      

      
        
        

      

    

    
 

    
      	
              (g)

            	
              will
      not sell or transfer any tangible asset or cancel any debts or claims
      except in each case in the ordinary course of
  business;

            

    

    

    
      	
              (h)

            	
              will
      not sell, assign, or transfer any patents, trademarks, trade names, trade
      secrets, copyrights, or other intangible
assets;

            

    

    

    
      	
              (i)

            	
              will
      not increase the compensation payable or to become payable to any of its
      officers, employees, or agents;

            

    

    

    
      	
              (j)

            	
              will
      not suffer any material damage, destruction, or loss (whether or not
      covered by insurance) or any acquisition or taking of property by any
      governmental authority;

            

    

    

    
      	
              (k)

            	
              will
      not waive any rights of substantial value;
or

            

    

    

    
      	
              (l)

            	
              will
      not enter into any other transaction or transactions that individually or
      in the aggregate are material to
Company.

            

    

    

    5.          CONDITIONS OF COMPANY'S
OBLIGATIONS.

    

    The obligations of Company hereunder
are subject to the fulfillment to the reasonable satisfaction of the Company,
prior to or at the Closing, of each of the following conditions:

    

    5.1           Opinion of Purchaser's and
Merger Subsidiary’s Counsel.  Purchaser and Merger Subsidiary
shall have furnished Company with an opinion, dated the Closing Date, of David
Wagner and Associates, counsel for the Purchaser and the Merger Subsidiary, in
form and substance reasonably satisfactory to the Company and its counsel,
Weintraub Law Group PC.

    

    5.2           No
Opposition.  No suit, action, or proceeding shall be pending or
threatened at any time prior to or on the Closing Date before or by any court or
governmental body (a) seeking to restrain or prohibit, or to obtain damages or
other relief in connection with, the execution and delivery of this Agreement or
the consummation of the transactions contemplated hereby; or (b) that might
materially and adversely affect the business or properties or condition,
financial or other, or results of operations of Seller.

    

    5.3           Reserved.

    

    5.4           Representations and
Covenants.  The representations and warranties of Purchaser,
Merger Subsidiary and Stockholders contained in this Agreement or otherwise made
in writing by them or on their behalf pursuant hereto or otherwise made in
connection with the transactions contemplated hereby shall be true and correct
at and as of the Closing Date with the same force and effect as though made on
and as of such date; each and all of the covenants, agreements, and conditions
to be performed or satisfied by Seller Purchaser, Merger Subsidiary or
Stockholders hereunder at or prior to the Closing Date shall have been duly
performed or satisfied; and Purchaser, Merger Subsidiary and Stockholders shall
have furnished Company with such certificates and other documents evidencing the
truth of such representations and warranties and the performance and
satisfaction of such covenants, agreements, and conditions as Company shall have
reasonably requested.

     

    
      
        
        

      

      
        -
17 -

        
          

        

      

      
        
        

      

    

    
 

    5.5           Satisfaction of
Counsel.  The validity of all transactions herein mentioned, as
well as the form and substance of all opinions, bills of sale, assignments,
deeds, stock powers, certificates, documents, and other instruments hereunder,
shall be satisfactory in all reasonable respects to Weintraub Law Group, PC,
counsel to Company.

    

    5.6           Instruments of
Transfer.  Purchaser, Merger Subsidiary and Stockholders shall
have delivered to Company bills of sale, assignments, deeds, stock powers, and
other instruments of transfer and assignment in accordance with the provisions
hereof, transferring to Company all of commons stock of Purchaser pursuant to
the provisions of this Agreement.

    

    5.7           Diligence.  Company
shall have (i) completed its diligence review of the business, properties,
assets, and liabilities of Purchaser, Merger Subsidiary and Stockholders, with
results satisfactory to Company and (ii) approved the Disclosure
Schedule.

    

    5.8           Spin-off of
Subsidiaries.  At or before the Closing, Purchaser shall
reorganize by transferring all of the common stock of Stone Select Imports, Inc.
and all of the membership interests in Stone Select, LLC to its shareholders in
exchange for the assumption of all liabilities of the Purchaser.

    

    6.          CONDITIONS OF PURCHASER’S,
MERGER SUBSIDIARY’S AND STOCKHOLDER'S OBLIGATIONS.

    

    The obligations of Purchaser, Merger
Subsidiary and Stockholders hereunder are subject to the fulfillment to the
reasonable satisfaction of Purchaser, Merger Subsidiary and Stockholders prior
to or at the Closing of each of the following conditions:

    

    6.1           Opinion of Company's
Counsel.  Purchaser shall have furnished Purchaser, Merger
Subsidiary and Stockholders with an opinion, dated the Closing Date, of
Weintraub Law Group, PC, counsel for the Company, in form and substance
reasonably satisfactory to Seller, Stockholder, and their counsel, David Wagner
and Associates.

    

    6.2           Representations and
Covenants.  The representations and warranties of the Company
contained in this Agreement or otherwise made in writing by it or on its behalf
pursuant hereto or otherwise made in connection with the transactions
contemplated hereby shall be true and correct at and as of the Closing Date with
the same force and effect as though made on and as of such date; each of the
covenants, agreements, and conditions to be performed or satisfied by the
Company hereunder at or prior to the Closing Date shall have been duly performed
or satisfied; and the Company shall have furnished Purchaser, Merger Subsidiary
and Stockholders with such certificates or other documents evidencing the truth
of such representations and warranties and the performance and satisfaction of
such covenants, agreements, and conditions as Purchaser, Merger Subsidiary and
Stockholders shall have reasonably requested.

    

    6.3           No
Opposition.  No suit, action, or proceeding shall be pending or
threatened on the Closing Date before or by any court or governmental authority
seeking to restrain or prohibit the execution and delivery of this Agreement or
the consummation of the transactions contemplated hereby.

     

    
      
        
        

      

      
        -
18 -

        
          

        

      

      
        
        

      

    

    
 

    6.4           Diligence.  Purchaser,
Merger Subsidiary and Stockholders shall have (i) completed their diligence
review of the business, properties, assets, and liabilities of the Company, with
results satisfactory of Purchaser, Merger Subsidiary and Stockholders and (ii)
approved the Company Disclosure Schedule.

    

    6.5           Audit.                        The
Company shall have obtained an audit certified by an auditor overseen by the
Public Company Accounting Oversight Board for the fiscal year ended December 31,
2008 and financial statements for the three months ended March 31, 2009 in a
form acceptable to be filed with the from 8-K required to be filed as set forth
in Section 6.6 of this
Agreement.

    

    6.6           Form
8-K.  The Company shall have prepared a Form 8-K, suitable for
filing with the Securities and Exchange Commission on its EDGAR system,
including the information required by Form 8-K and Regulation S-K.

    

    

    7.          INDEMNIFICATION BY
PURCHASER, MERGER SUBSIDIARY AND STOCKHOLDERS.

    

    7.1           Indemnification.

    

    
      	
              (a)

            	
              Purchaser,
      Merger Subsidiary and Stockholders (collectively, the "Purchasing Parties")
      hereby agree jointly and severally to indemnify, defend, and hold Company
      (the "Company")
      harmless from and against the amount of any actual (or potential in the
      case of any litigation or claims by any person not a party to this
      Agreement) damage, loss, cost, or expense (including reasonable attorneys'
      fees and settlement costs) to Company ("Loss") occasioned or
      caused by, resulting from, or arising out
of:

            

    

    

    
      	
               
      

            	
              (i)  Any
      failure by the Purchasing Parties to perform, abide by, or fulfill any of
      the agreements, covenants, or obligations set forth in or entered into, in
      connection with this Agreement to be so performed or fulfilled by the
      Purchasing Parties.

            

    

    

    
      	
               
      

            	
              (ii)  Any
      material inaccuracy in or breach of any of the representations or
      warranties set forth in this Agreement, or any certificate or Schedule or
      other writing furnished pursuant
hereto.

            

    

    

    
      	
               
      

            	
              (iii)  Any
      claim, known or unknown, arising out of or by virtue of or based upon any
      liability or obligation of the Purchasing
  Parties.

            

    

    

    
      	
               
      

            	
              (iv)  Any
      claim, known or unknown, arising out of, or by virtue of, or based upon
      any contract or agreement of Purchaser or Merger Subsidiary or any failure
      by Purchaser or Merger Subsidiary to have performed any obligation or
      satisfied any liability thereunder to the extent required to be performed
      or satisfied at or prior to the Closing, or is not set forth (or
      described) in writing and furnished or made available to Company pursuant
      hereto.

            

    

    

    
      	
               
      

            	
              (v)  Any
      liability or obligation for any tort or any breach or violation of any
      contractual, quasi-contractual, legal, fiduciary, or equitable duty by any
      Purchasing Party, whether before, at, or after the
  Closing.

            

    

     

    
      
        
        

      

      
        -
19 -

        
          

        

      

      
        
        

      

    

    
 

    
      	
               
      

            	
              The
      amount of any Loss shall be the amount of cash reimbursement or set-off
      that, when received by the Selling Party or Company incurring such loss,
      shall place such Selling Party or Company in the same financial position
      it or they would have been in if such Loss has not
    occurred.

            

    

    

    7.2           Notice of
Claim.  Company shall give prompt written notice to Purchasing
Parties of any claim (actual or threatened) or other event that in the judgment
of the Company might result or has resulted in a Loss by the Company hereunder,
and Purchasing Parties shall have the right to assume the defense of such claim
or any litigation resulting therefrom; provided that counsel for the
Purchasing Parties, who shall conduct the defense of such claim (actual,
threatened, or asserted) or litigation, shall be reasonably satisfactory to the
Company, and Company may participate in such defense at their expense, and provided, further, that the
omission by Company to give notice as provided herein shall not relieve
Purchasing Parties of their obligations hereunder except to the extent that the
omission results in a failure of actual notice to the Purchasing Parties and
Purchasing Parties are damaged solely as a result of the failure to give
notice.  No Purchasing Party, in the defense of any such claim or
litigation, shall, except with the consent of the Company, consent to the entry
of any judgment or decree or enter into any settlement that does not include as
an unconditional term thereof the giving by the claimant or plaintiff to Company
of a release from all liability in respect to such claim or litigation, and no
Purchasing Party shall have liability with respect to any payment made by the
Company in connection with the settlement, satisfaction, or compromise of any
claim unless the Purchasing Parties shall have approved thereof in advance in
writing, which approval shall not unreasonably be withheld or
delayed.  If the Company shall not have received notice that the
Purchasing Parties shall assume the defense of such claim within twenty (20)
days after the notice is sent to the Purchasing Parties of the existence of such
claim, the Company shall be free to proceed with the defense of such
claim.  Each such notice shall be accompanied (or followed as promptly
as is reasonably practicable after the amount of such Loss becomes determinable)
by a certificate signed by the President of Purchaser and setting forth in
reasonable detail the calculation of the amount of such Loss in accordance with
the provisions hereof, and accompanied by copies of all relevant documents and
records.  The omission to give such notice or provide such certificate
by Company shall not relieve Purchasing Parties of their obligation under this
Section 7.2 except to
the extent such omission results in a failure of actual notice to the Purchasing
Parties and Purchasing Parties are damaged solely by such failure to give
notice.  No Loss shall be considered to have occurred with respect to
any payment made by any Company in settlement, satisfaction, or compromise of
any claim unless the Purchasing Parties shall have approved thereof in advance
and in writing.

    

    8.          INDEMNIFICATION BY
COMPANY.

    

    8.1           Indemnification.

    

    
      	
              (a)

            	
              The
      Company hereby agrees to indemnify, defend, and hold Purchaser and the
      Purchasing Parties harmless from and against the amount of Loss to
      Purchasing Parties occasioned or caused by, resulting from, or arising out
      of:

            

    

    

    
      	
               
      

            	
              (i)  Any
      failure by the Company to perform, abide by, or fulfill any of the
      agreements, covenants, or obligations set forth in or entered into, in
      connection with this Agreement to be so performed or fulfilled by the
      Company.

            

    

    

    
      	
               
      

            	
              (ii)  Any
      material inaccuracy in or breach of any of the representations or
      warranties set forth in this Agreement, or any certificate or Schedule or
      other writing furnished pursuant
hereto.

            

    

    

    
      	
               
      

            	
              (iii)  Any
      claim, known or unknown, arising out of or by virtue of or based upon any
      liability or obligation of the
Company.

            

    

     

    
      
        
        

      

      
        -
20 -

        
          

        

      

      
        
        

      

    

    
 

    
      	
               
      

            	
              (iv)  Any
      claim, known or unknown, arising out of, or by virtue of, or based upon
      any contract or agreement of the Company or any failure by the Company to
      have performed any obligation or satisfied any liability thereunder to the
      extent required to be performed or satisfied at or prior to the Closing,
      or is not set forth (or described) in writing and furnished or made
      available to Purchasing Parties pursuant
hereto.

            

    

    

    
      	
               
      

            	
              (v)  Any
      liability or obligation for any tort or any breach or violation of any
      contractual, quasi-contractual, legal, fiduciary, or equitable duty by the
      Company, whether before, at, or after the
  Closing.

            

    

    

    
      	
               
      

            	
              The
      amount of any Loss shall be the amount of cash reimbursement or set-off
      that, when received by the Purchasing Party or Purchasing Parties
      incurring such loss, shall place such Purchasing Party or Purchasing
      Parties in the same financial position it or they would have been in if
      such Loss has not occurred.

            

    

    

    8.2           Notice of
Claim.  Purchasing Parties shall give prompt written notice to
the Company of any claim (actual or threatened) or other event that in the
judgment of either Purchasing Party might result or has resulted in a Loss by a
Purchasing Party hereunder, and the Company shall have the right to assume the
defense of such claim or any litigation resulting therefrom; provided that counsel for the
Company, who shall conduct the defense of such claim (actual, threatened, or
asserted) or litigation, shall be reasonably satisfactory to the Purchasing
Parties, and Purchasing Parties may participate in such defense at their
expense, and provided,
further, that the omission by Purchasing Parties to give notice as
provided herein shall not relieve the Company of its obligations hereunder
except to the extent that the omission results in a failure of actual notice to
the Company and the Company is damaged solely as a result of the failure to give
notice.  The Company, in the defense of any such claim or litigation,
shall not, except with the consent of each Purchasing Party, consent to the
entry of any judgment or decree or enter into any settlement that does not
include as an unconditional term thereof the giving by the claimant or plaintiff
to Purchasing Parties of a release from all liability in respect to such claim
or litigation, and the Company shall not have liability with respect to any
payment made by a Purchasing Party in connection with the settlement,
satisfaction, or compromise of any claim unless the Company shall have approved
thereof in advance in writing, which approval shall not unreasonably be withheld
or delayed.  If the Purchasing Parties shall not have received notice
that the Company shall assume the defense of such claim within twenty (20) days
after the notice is sent to the Company of the existence of such claim, the
Purchasing Parties shall be free to proceed with the defense of such
claim.  Each such notice shall be accompanied (or followed as promptly
as is reasonably practicable after the amount of such Loss becomes determinable)
by a certificate signed by the President of Purchaser and setting forth in
reasonable detail the calculation of the amount of such Loss in accordance with
the provisions hereof, and accompanied by copies of all relevant documents and
records.  The omission to give such notice or provide such certificate
by Purchasing Parties shall not relieve the Company of its obligation under this
Section 8.2 except to
the extent such omission results in a failure of actual notice to the Company
and the Company is damaged solely by such failure to give notice.  No
Loss shall be considered to have occurred with respect to any payment made by
any Purchasing Parties in settlement, satisfaction, or compromise of any claim
unless the Company shall have approved thereof in advance and in
writing.

    

    9.          BROKERAGE
FEE.

    

    Purchaser, Merger Subsidiary and the
Company each represent that no broker (other than Capital Group Communications,
Inc. (the "Finder")) has been
involved in this transaction and each party agrees to indemnify and hold the
others harmless from payment of any brokerage fee, finder's fee, or commission
claimed by any party who claims to have been involved because of association
with such party; provided
that the Company shall (pursuant to an agreement between the Company and
Finder) pay all fees owed to the Finder in connection with this
transaction.

     

    
      
        
        

      

      
        -
21 -

        
          

        

      

      
        
        

      

    

    
 

    10.        AMENDMENTS;
WAIVERS.

    

    This Agreement constitutes the entire
agreement of the parties related to the subject matter of this Agreement,
supersedes all prior or contemporary agreements, representations, warranties,
covenants, and understandings of the parties.  This Agreement may not
be amended, nor shall any waiver, change, modification, consent, or discharge be
effected, except by an instrument in writing executed by or on behalf of the
party against whom enforcement of any amendment, waiver, change, modification,
consent, or discharge is sought.

    

    Any waiver of any term or condition of
this Agreement, or of the breach of any covenant, representation, or warranty
contained herein, in any one instance, shall not operate as or be deemed to be
or construed as a further or continuing waiver of such term, condition, or
breach of covenant, representation, or warranty, nor shall any failure at any
time or times to enforce or require performance of any provision hereof operate
as a waiver of or affect in any manner such party's right at a later time to
enforce or require performance of such provision or of any other provision
hereof; and no such written waiver, unless it, by its own terms, explicitly
provides to the contrary, shall be construed to effect a continuing waiver of
the provision being waived and no such waiver in any instance shall constitute a
waiver in any other instance or for any other purpose or impair the right of the
party against whom such waiver is claimed in all other instances or for all
other purposes to require full compliance with such provision.

    

    11.        TERMINATION OF
AGREEMENT.

    
 

    11.1                      Termination.  At
any time prior to the Closing Date, this Agreement may be terminated (i) by the
consent of the Purchaser and the Company, (ii) by the Purchaser if there has
been a material misrepresentation, breach of warranty or breach of covenant by
the Company in its representations, warranties and covenants set forth herein,
(iii) by the Company if there has been a material misrepresentation, breach of
warranty or breach of covenant by the Purchaser in its representations,
warranties and covenant set forth herein, or (iv) by the Purchaser if the
conditions stated in Sections
6.5 and 6.6 have not been satisfied at or prior to July 1,
2009.

    

      
11.2                      Effect of
Termination.  If this Agreement shall be terminated as above
provided, all obligations of the parties hereunder shall terminate without
liability of any party to the other; provided, however, that nothing in this
Section 11.2 shall prevent any party from seeking or obtaining damages or
appropriate equitable relief for the breach of any representation, warranty or
covenant made by any other party hereto.

    

    12.        ASSIGNMENT; SUCCESSORS AND
ASSIGNS.

    

    This Agreement shall not be assignable
by any party without the written consent of the others.  This
Agreement shall be binding upon and shall inure to the benefit of the parties
hereto and their respective successors and permitted assigns.

     

    
      
        
        

      

      
        -
22 -

        
          

        

      

      
        
        

      

    

    
 

    13.        SEVERABILITY.

    

    If any provision or provisions of this
Agreement shall be, or shall be found to be, invalid, inoperative, or
unenforceable as applied to any particular case in any jurisdiction or
jurisdictions, or in all jurisdictions or in all cases, because of the conflict
of any provision with any constitution or statute or rule of public policy or
for any other reason, such circumstance shall not have the effect of rendering
the provision or provisions in question invalid, inoperative, or unenforceable
in any other jurisdiction or in any other case or circumstance or of rendering
any other provision or provisions herein contained invalid, inoperative, or
unenforceable to the extent that such other provisions are not themselves
actually in conflict with such constitution, statute, or rule of public policy,
but this Agreement shall be reformed and construed in any such jurisdiction or
case as if such invalid, inoperative, or unenforceable provision had never been
contained herein and such provision reformed so that it would be valid,
operative, and enforceable to the maximum extent permitted in such jurisdiction
or in such case.

    

    14.        COUNTERPARTS.

    

    This Agreement may be executed in two
or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument, and in pleading or
proving any provision of this Agreement it shall not be necessary to produce
more than one such counterpart.  Facsimile counterparts shall be
binding on the parties hereto.

    

    15.        SECTION AND OTHER
HEADINGS.

    

    The headings contained in this
Agreement are for reference purposes only and shall not in any way effect the
meaning or interpretation of this Agreement.

     

    16.        NOTICES.

    

    All notices, requests, demands, and
other communications hereunder shall be in writing and shall be deemed to have
been duly given if delivered or mailed, postage prepaid, certified mail, return
receipt requested:

    

    
      	
              (a)

            	
              TO PURCHASER, MERGER
      SUBSIDIARY AND STOCKHOLDERS:  If to Purchaser, Merger
      Subsidiary or Stockholders to:

            

    

    

    By Design, Inc.

    2519 East Kentucky Ave.

    Denver, Colorado 80209

    Attention:  Deanie C.
Underwood

    Fax:  303-409-7650

    Email:  deanieu@msn.com

     

    
      
        
        

      

      
        -
23 -

        
          

        

      

      
        
        

      

    

    
 

    with a copy to:

    

    David Wagner &
Associates

    8400 East Prentice Ave, Suite
1500

    Greenwood Village, Colorado
80111

    Attention:  David
Wagner

    Fax:  303-409-7650

    Email:  dwaa2000@yahoo.com

    

    
      	
              (b)

            	
              TO
      PURCHASER:  If to Purchaser,
  to:

            

    

    

    Asset Holdings
Corporation

    535 E First Street, 2nd
Floor

    Tustin, CA 92780

    Attention:  Yeota
Christie

    Fax:  714-730-2017

    Email:  yeota.christie@assetholdingscorp.com

    

    with a copy to:

    

    Weintraub Law Group, PC

    10085 Carroll Canyon Road

    Suite 230

    San Diego, California
92131

    Attention:  Richard A.
Weintraub

    Fax:  858-566-7010

    Email:  rick@weintraublawgroup.com

    

    
      	
               
      

            	
              and/or
      to such other person(s) and address(es) as either party shall have
      specified in writing to the other.

            

    

     

    
      
        
        

      

      
        -
24 -

        
          

        

      

      
        
        

      

    

    
 

    17.           GENDER.

    

    Whenever used herein, the singular
number shall include the plural, the plural shall include the singular, and the
use of any gender shall include all genders.

    

    18.           LAW TO
GOVERN.

    

    This Agreement shall be governed by and
construed and enforced in accordance with the law (other than the law governing
conflict of law questions) of Colorado

    

    19.           COURTS.

    

    Any action to enforce, arising out of,
or relating in any way to, any of the provisions of this Agreement may be
brought and prosecuted in such court or courts located in Orange County,
California as is provided by law; and the parties consent to the jurisdiction of
the court or courts located in Orange County, California and to service of
process by registered mail, return receipt requested, or in any other manner
provided by law.

    

    19.           ARBITRATION.

    

    If the parties hereto are unable to
resolve any dispute with respect to claims arising hereunder within 30 days of
written notice of such dispute by one party to the others, such dispute shall be
settled by compulsory and binding arbitration by a panel of three arbitrators in
accordance with the JAMS/Endispute, and judgment upon the award rendered by the
arbitrator(s) may be entered in any court having jurisdiction.  The
parties agree that such arbitration shall be held in Orange County,
California.

    

    

    [This
space left intentionally blank.]

    

    
      
        
           

        

        
          -
25 -

          
            

          

        

        
           

        

      

    

    

    IN WITNESS WHEREOF, Purchaser, Merger
Subsidiary, Stockholders and the Company have caused this Agreement to be
executed as of the date first above written.

     

    
      
        
          
            
              
                
                  
                    
                      	 
      	
                              Asset
      Holdings Corporation

                            	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                              By:

                            	
                              /s/
      Yeota Christie

                            	 
	
                                

                            	 
      	
                              Yeota
      Christie, President

                            	 
	 
      	 
      	 
      	 
	 
      	
                              By
      Design, Inc.

                            	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                              By:

                            	
                              /s/
      Deanie J. Underwood

                            	 
	
                                

                            	 
      	
                              Deanie
      J. Underwood

                            	 
	 
      	 
      	 
      	 
	 
      	
                              BDI
      Acquisition Corp.

                            	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                              By:

                            	
                              /s/
      Deanie J. Underwood

                            	 
	
                                

                            	 
      	
                              Deanie
      J. Underwood

                            	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	 
      	
                              /s/
      Deanie J. Underwood

                            	 
	
                                

                            	 
      	
                              Deanie
      J. Underwood

                            	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	 
      	
                              /s/
      Bradley C. Underwood

                            	 
	
                                

                            	 
      	
                              Bradley
      C. Underwood

                            	 

                    

                  

                

              

            

          

        

      

      
        
           

        

        
          -
26 -

          
            

          

        

        
           

        

      

    

    EXHIBIT
A

    Plan
of Merger

     

     

    
      
        
        

      

      
        -
27 -

        
          

        

      

      
        
        

      

    

     

     

    EXHIBIT
B

    Certain
Defined Terms

    

    "CERCLA"
means the Comprehensive Environmental Response, Compensation, and Liability Act
(42 U.S.C. Section 9601 et
seq.), as amended or supplemented from time to time.

    

    "Contaminant"
means any waste, pollutant, hazardous material, hazardous substance, toxic
substance, hazardous waste, special waste, petroleum, or petroleum-derived
substance or waste, or any constituent of any such pollutant material, substance
or waste, including, without limitation, any pollutant material, substance, or
waste regulated under any Environmental Law.

    

    "Environmental
Laws" means all federal, state, local, and foreign laws or regulations,
codes, orders, decrees, judgments, or injunctions issued, promulgated, approved,
or entered thereunder relating to pollution or protection of the environment or
occupational health and safety, including, releases or threatened releases of
pollutants, contaminants, chemicals, or industrial, toxic or hazardous
substances, materials, or wastes (including, without limitation, oil, asbestos,
and radiation) into the environment (including, without limitation, ambient air,
surface water, ground water, land surface, or subsurface strata) or otherwise
relating to the manufacture, processing, distribution, use, treatment, storage,
disposal, transport, or handling of pollutants, contaminants, chemicals or
industrial, toxic, or hazardous substances, material, or
wastes.  Environmental Laws shall include, without limitation, [HERE INSERT CITATION TO RELEVANT
STATE STATUTES], CERCLA, the Hazardous Material Transportation Act (49
U.S.C. Section 1801 et
seq.), the Solid Waste Disposal Act (42 U.S.C. Section 6901 et seq.), the Federal Water
Pollution Control Act (33 U.S.C. Section 1251 et seq.), the Clean Air Act
(42 U.S.C. Section 7401 et
seq.), the Toxic Substances Control Act (15 U.S.C. Section 2601 et seq.), the Occupational
Safety and Health Act (29 U.S.C. Section 651 et seq.), the Federal
Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. Section 136 et seq.), the Food, Drug, and
Cosmetic Act (21 U.S.C. Section 301 et seq.), the Medical Waste
Tracking Act of 1988, Pub. L. No. 100-582, 102 Stat. 2950 (1988), as such laws
have been amended or supplemented from time to time, and any analogous future
federal, or present or future state, local, or foreign, statutes, ordinances, or
bylaws.

    

    "Environmental
Liabilities and Costs" means, as to the Seller, all liabilities,
obligations, responsibilities, remedial actions, losses, damages, punitive
damages, consequential damages, treble damages, costs, and expenses (including,
without limitation, all reasonable fees, disbursements and expenses of counsel,
expert and consulting fees, and costs of investigation and feasibility studies),
fines, penalties, sanctions and interest incurred as a result of any claim or
demand, by any corporation, partnership, trust, individual, or other entity
("Person"),
whether based in contract, tort, implied or express warranty, strict liability,
criminal or civil statute, including, without limitation, any Environmental Law,
permit, order, approval, authorization, license, variance, or agreement with a
federal, state, or local governmental authority or other person, arising from
environmental, health, or safety conditions or a Release or threatened Release
resulting from the past operations of the Seller (or any of its predecessors in
interest), or any release for which the Seller is otherwise responsible under
any Environmental Law.

     

    
      
        
        

      

      
        -
28 -

        
          

        

      

      
        
        

      

    

    
 

    "Environmental
Lien" means any lien or similar interest in favor of any federal, state,
or local governmental authority for Environmental Liabilities and
Costs.

    

    "Release"
means, as to the Seller, any release, spill, emission, leaking, pumping,
injection, deposit, disposal, discharge, dispersal, pouring, emptying, escaping,
dumping, discarding, leaching, or migration of a Contaminant into the indoor or
outdoor environment or into or out of any property owned, leased, or controlled
by Seller, including, without limitation, the movement of Contaminants through
or in the air, soil, surface water, groundwater, or property, including, without
limitation, the abandonment or discarding of barrels, containers, and other
closed receptacles containing any contaminant.

    

    "Remedial
Action" means all actions necessary to (i) clean up, remove, treat, or in
any other way address Contaminants in the indoor or outdoor environment, (ii)
prevent a Release or condition that is reasonably likely to result in a Release
or minimize further release of Contaminants so they do not migrate or endanger
or threaten to endanger present or future public health or welfare or the indoor
or outdoor environment, or (iii) perform pre-remedial studies and investigations
and post-remedial monitoring and care.

     

    - 28 -tamo8k041509ex10-1.htm

    
      

      

    

    AGREEMENT
TO RESCIND

    

    THIS AGREEMENT TO RESCIND is
made as of the 31st day of
October 2008.

    

    AMONG:

    

    EACH OF THOSE PERSONS holding
shares of the Company, as listed in Schedule “A” hereto

    

    (each a
“Vendor” and
collectively, the “Vendors”)

    

    - and
-

    

    1384482 ALBERTA LTD., a
company incorporated pursuant to the laws of the Province of Alberta with its
principal office at 1000 Canterra Tower, 400-3rd Avenue S.W., Calgary, Alberta
T2P 4H2

    

    (“Acquireco”)

    

    - and
-

    

    TAMM OIL AND GAS CORP., a
corporation incorporated under the laws of the State of Nevada, having its
principal office at 460, 734-7th Avenue
S.W., Calgary, Alberta T2P 3P8

    

    (“Tamm”)

    

    - and
-

    

    1132559 ALBERTA LTD., a
corporation incorporated pursuant to the laws of the Province of Alberta, Canada
with its principal office at 245 Citadel Way NW., Calgary, Alberta T3G
4W8

    

    (the
“Company”)

    

    WHEREAS the Vendors were the
registered holders and beneficial owners of an aggregate of 108 common shares in
the capital of the Company as set out in Schedule “A” hereto (the “Purchased
Shares”);

    

    WHEREAS Acquireco is a
wholly-owned subsidiary of Tamm; and

    

    WHEREAS the Vendors,
Acquireco, Tamm and the Company are parties to a share exchange agreement dated
effective the 20th day of
May 2008 (the “Share Exchange
Agreement”); and

    

    WHEREAS Acquireco, Tamm and
the Trustee are parties to a support agreement dated effective the 20th day of May 2008 (the “Support Agreement”);
and

    

    WHEREAS Acquireco, Tamm and
the Trustee are parties to an exchange and voting trust agreement dated
effective the 20th day of
May 2008 (the “Exchange and
Voting Trust Agreement”); and

    

    
      
        
           

        

        
           

          
            

          

        

        
           

        

      

    

    2

     

     

    WHEREAS certain of the
conditions precedent set out in the Share Exchange Agreement have not been
satisfied; and

    

    WHEREAS the Parties wish to
rescind the Agreements due to the failure to meet such conditions precedent as
hereinafter provided;

    

    NOW THEREFORE in consideration
of the premises and other good and valuable consideration (the receipt and
sufficiency of which is hereby acknowledged), the Parties hereto mutually
covenant and agree as follows:

     

    

    ARTICLE
1 – RESCISSION

    

    
      	
              1.1 

            	
              Rescission

            

    

    

    In
consideration of the mutual release set forth in Section 2.1, the Parties
acknowledge and agree that all rights, benefits, duties, liabilities and
obligations of the Parties under the Share Exchange Agreement, the Support
Agreement, the Exchange and Voting Trust Agreement or under any ancillary
agreements, (all together the “Agreements”) documents or
instruments delivered in connection therewith are hereby rescinded and each
party is absolved from future performance of its obligations under each of the
Agreements.

    

    ARTICLE
2 – RELEASE

    

    
      	
              2.1  

            	
              Mutual
      Release

            

    

    

    Each
Party hereby releases and forever discharges each of the other Parties from any
and all claims, demands, proceedings, causes of action, obligations, debts and
other liabilities whatsoever, both at law and in equity, which such Party now
has, or has ever had, or may hereafter have under or howsoever arising in
connection with the Share Exchange Agreement, the Support Agreement, the
Exchange and Voting Trust Agreement or any ancillary agreements, documents or
instruments delivered in connection therewith.

    

    ARTICLE
3 – SHARES

    

    
      	
              3.1  

            	
              Cancellation
      of 1384482 Alberta Ltd. Shares

            

    

    

    Forthwith,
each Vendor shall return to Acquireco all Series A Preferred Shares of Acquireco
that each Vendor currently holds in escrow, for cancellation by
Acquireco.

    

    
      	
              3.2  

            	
              Return
      of 1132559 Alberta Ltd. 

            

    

     

    SharesForthwith,
Acquireco shall return to the Company the 108 Class A Common Shares of the
Company that Acquireco currently holds in escrow. The Company shall distribute
the Class A Common Shares to each Vendor in the same amount each Vendor held
immediately prior to the Share Exchange Agreement, and as recorded in Schedule
“B” of the Share Exchange Agreement.
 

    ARTICLE
4 - MISCELLANEOUS PROVISIONS

    

    
      	
              4.1  

            	
              Further
      Acts

            

    

    

    Each
Party shall, at the request of and at the expense of the other Parties, execute
and deliver any further documents and do all further acts and things that may be
required in order to carry out the intent and purpose of this
Agreement.

    

    
      
        
           

        

        
           

          
            

          

        

        
           

        

      

    

    3

     
 

    
      	
              4.2  

            	
              Enurement

            

    

    

    This
Agreement shall enure to the benefit of and be binding upon the Parties hereto
and their respective successors and assigns.

    

    
      	
              4.3  

            	
              Governing
      Law and Attornment

            

    

    

    This
Agreement shall be governed by the laws of the Province of Alberta and the laws
of Canada in force in the Province of Alberta.

    

    
      	
              4.4  

            	
              Amendments

            

    

    

    No term
or provision hereof may be amended except by an instrument in writing signed by
all of the parties to this Agreement.

    

    
      	
              4.5  

            	
              Counterparts

            

    

    

    This
Agreement may be executed by the Parties in one or more counterparts by original
or by facsimile, each of which when so executed and delivered shall be an
original and such counterparts shall together constitute one and the same
instrument.

    

    
      	
              4.6  

            	
              Power
      of Attorney

            

    

    

    On behalf
of each Vendor, William Tighe may sign this Agreement to Rescind pursuant to the
power of attorney granted to him by the Vendors on May 10, 2008.

    

    IN WITNESS WHEREOF the parties
have duly executed this Agreement on the day and year first above
written.

    

    
      
         

        
          
            	 
      	
                    TAMM
      OIL & GAS CORP.

                  
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                    Name:

                  	 
      
	 
      	
                    Title:

                  	
                      President

                  
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                    1384482
      ALBERTA LTD.

                  
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                    Name:

                  	 
      
	 
      	
                    Title:

                  	
                      President,
      Director

                  
	 
      	 
      	 
      
	 
      	
                    Name:

                  	 
      
	 
      	
                    Title:

                  	
                      Director

                  
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                    MUZZ INVESTMENTS INC. by its
      attorney 

                  
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                    Per:

                  	
                      Authorized
      Signatory

                  
	 
      	 
      	 
      
	 
      	 
      	 
      

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

             

          

        

      

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    4

     

    
       

      	 
      	
              ALDFORD
      GROUP LTD., by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              DIANELLA
      LTD., by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              SICAMOUS
      OIL AND GAS CONSULTANTS LTD.

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              1004731
      ALBERTA LTD., by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              ISLAND
      ESTATES, by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              JETFIRE
      ASSETS, by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              RAINFORT
      INTERNATIONAL INC., by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      

    

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      5

       

       

      	 
      	
              WATIMA
      SOLUTIONS INC., by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              NORCAN
      MANAGEMENT INC., by its attorney

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
              Per:

            	 
      
	 
      	 
      	
                Authorized
      Signatory

            

    

     

     

     

     

     

     

     

     

     

     

     

     

     

    
      
        	 
      	 
      	 
      
	
                  Witness

              	 
      	
                 
      Guido Hilekes, by his attorney

              
	 
      	 
      	 
      
	
                  Witness

              	 
      	
                 
      Gayle Burgess, by her
attorney

              

      

    

    

    

    
      
        
           

        

        
           

          
            

          

        

        
           

        

      

    

     

    SCHEDULE
A

    COMPLETE
LIST OF SHAREHOLDERS OF 1132559 ALBERTA LTD.

    

    
      
        	 
      	 
      	 
      	 
      	
                Number
      of

              
	 
      	 
      	 
      	 
      	
                Exchangeable

              
	 
      	 
      	
                Number
      of Purchased

              	 
      	
                Shares
      to be

              
	
                Name
      of Shareholder

              	 
      	
                Shares
      Held

              	 
      	
                issued

              
	 
      	 
      	 
      	 
      	 
      
	
                Aldford
      Group Ltd.

                 

              	 
      	
                10

              	 
      	
                1,388,889

              
	
                Dianella
      Ltd.

                 

              	 
      	
                5

              	 
      	
                694,444

              
	
                Sicamous
      Oil and Gas Consultants Ltd.

                 

              	 
      	
                5

              	 
      	
                694,444

              
	
                Norcan
      Management Inc.

                 

              	 
      	
                5

              	 
      	
                694,444

              
	
                1004731
      Alberta Ltd.

                 

              	 
      	
                5

              	 
      	
                694,444

              
	
                Island
      Estates

                 

              	 
      	
                5

              	 
      	
                694,444

              
	
                Muzz
      Investments Inc.

                 

              	 
      	
                10

              	 
      	
                1,388,889

              
	
                Jetfire
      Assets

                 

              	 
      	
                10

              	 
      	
                1,388,889

              
	
                Rainfort
      International Inc.

                 

              	 
      	
                20

              	 
      	
                2,777,778

              
	
                Watima
      Solutions Inc.

                 

              	 
      	
                20

              	 
      	
                2,777,778

              
	
                Guido
      Hilekes

                 

              	 
      	
                3

              	 
      	
                416,667

              
	
                Gayle
      Burgess

                 

              	 
      	
                10

              	 
      	
                1,388,889

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00157-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00157-of-00352.parquet"}]]