Document:

exc-20220524ex41

       Prepared by, Record and Return to:    Patrick R. Gillard   Ballard Spahr LLP   1735 Market Street, 51st Floor   Philadelphia, PA 19103   (215) 864-8536    Counterpart ______ of 30  PECO ENERGY COMPANY  TO  U.S. BANK NATIONAL ASSOCIATION, TRUSTEE  ______________________    ONE HUNDRED AND TWENTY-FIRST SUPPLEMENTAL   INDENTURE DATED AS OF   May 1, 2022    TO  FIRST AND REFUNDING MORTGAGE  OF  THE COUNTIES GAS AND ELECTRIC   COMPANY  TO  FIDELITY TRUST COMPANY, TRUSTEE  DATED MAY 1, 1923  __________________  4.600% SERIES DUE 2052  (New Series)    

 

   1  THIS SUPPLEMENTAL INDENTURE dated as of May 1, 2022 by and between PECO  ENERGY COMPANY, a corporation organized and existing under the laws of the Commonwealth  of Pennsylvania (hereinafter called the Company), party of the first part, and U.S. BANK  NATIONAL ASSOCIATION, a national banking association organized and existing under the  laws of the United States of America (hereinafter called the Trustee), as Trustee under the  Mortgage hereinafter mentioned, party of the second part, Witnesseth that  WHEREAS, The Counties Gas and Electric Company (hereinafter called Counties  Company), a Pennsylvania corporation and a predecessor to the Company, duly executed and  delivered to Fidelity Trust Company, a Pennsylvania corporation to which the Trustee is successor,  as Trustee, a certain indenture of mortgage and deed of trust dated May 1, 1923 (hereinafter called  the Mortgage), to provide for the issue of, and to secure, its First and Refunding Mortgage Bonds,  issuable in series and without limit as to principal amount except as provided in the Mortgage, the  initial series of Bonds being designated the 6% Series of 1923, and the terms and provisions of  other series of bonds secured by the Mortgage to be determined as provided in the Mortgage; and   WHEREAS, thereafter Counties Company, Philadelphia Suburban-Counties Gas and  Electric Company (hereinafter called Suburban Company), and the Company, respectively, have  from time to time executed and delivered indentures supplemental to the Mortgage, providing for  the creation of additional series of bonds secured by the Mortgage and for amendment of certain  of the terms and provisions of the Mortgage and of indentures supplemental thereto, or evidencing  the succession of Suburban Company to Counties Company and of the Company to Suburban  Company, such indentures supplemental to the Mortgage, the respective dates, parties thereto, and  purposes thereof, being as follows:     

 

   2  Supplemental Indenture     and Date  Parties Providing for:  First  September 1, 1926  Counties Company to   Fidelity-Philadelphia  Trust Company  (Successor to Fidelity  Trust Company)  Bonds of 5% Series of  1926  Second  May 1, 1927  Suburban Company to   Fidelity-Philadelphia  Trust Company  Evidencing succession of   Suburban Company to   Counties Company   Third  May 1, 1927  Suburban Company to   Fidelity-Philadelphia  Trust Company  Bonds of 4-1/2% Series  due 1957; amendment of  certain provisions of   Mortgage  Fourth  November 1, 1927  Suburban Company to   Fidelity-Philadelphia  Trust Company  Additional Bonds of   4-1/2% Series due 1957  Fifth  January 31, 1931  Company to   Fidelity-Philadelphia  Trust Company  Evidencing succession of   Company to   Suburban Company  Sixth  February 1, 1931  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 4% Series   due 1971  Seventh  March 1, 1937  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 3-1/2% Series   due 1967; amendment of  certain provisions of   Mortgage  Eighth  December 1, 1941  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 2-3/4% Series  due 1971; amendment of  certain provisions of  Mortgage  Ninth  November 1, 1944  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 2-3/4% Series   due 1967 and 2-3/4% Series   due 1974; amendment of   certain provisions of   Mortgage  

 

   3  Supplemental Indenture     and Date  Parties Providing for:  Tenth  December 1, 1946  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 2-3/4% Series   due 1981; amendment of   certain provisions of   Mortgage*  Eleventh  February 1, 1948  Company to  Fidelity-Philadelphia  Trust Company  Bonds of 2-7/8% Series  due 1978*  Twelfth  January 1, 1952  Company to  Fidelity-Philadelphia  Trust Company  Bonds of 3-1/4% Series  due 1982*  Thirteenth  May 1, 1953  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 3-7/8% Series  due 1983*  Fourteenth  December 1, 1953  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 3-1/8% Series  due 1983*  Fifteenth  April 1, 1955  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 3-1/8% Series  due 1985*  Sixteenth  September 1, 1957  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 4-5/8% Series  due 1987; amendment of  certain provisions of  Mortgage*  Seventeenth  May 1, 1958  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 3-3/4% Series  due 1988; amendment of  certain provisions of  Mortgage*  Eighteenth  December 1, 1958  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 4-3/8% Series  due 1986*  Nineteenth  October 1, 1959  Company to   Fidelity-Philadelphia  Trust Company  Bonds of 5% Series  due 1989*  

 

   4  Supplemental Indenture     and Date  Parties Providing for:  Twentieth  May 1, 1964  Company to  Fidelity-Philadelphia  Trust Company  Bonds of 4-1/2% Series  due 1994*  Twenty-first  October 15, 1966  Company to  Fidelity-Philadelphia  Trust Company  Bonds of 6% Series due  1968-1973*  Twenty-second  June 1, 1967  Company to The Fidelity  Bank (formerly   Fidelity-Philadelphia  Trust Company)   Bonds of 5-1/4 % Series due  1968-1973 and 5-3/4 %   Series due 1977*  Twenty-third  October 1, 1957  Company to The Fidelity   Bank  Bonds of 6-1/8 % Series   due 1997*  Twenty-fourth  March 1, 1968  Company to The Fidelity   Bank  Bonds of 6-1/2% Series  due 1993; amendment of   Article XIV of  Mortgage*  Twenty-fifth  September 10, 1968  Company to The Fidelity   Bank  Bonds of 1968 Series due  1969-1976*  Twenty-sixth  August 15, 1969  Company to The Fidelity   Bank  Bonds of 8% Series due  1975*  Twenty-seventh  February 1, 1970  Company to The Fidelity   Bank  Bonds of 9% Series due  1995*  Twenty-eighth  May 1, 1970  Company to The Fidelity   Bank  Bonds of 8-1/2% Series   due 1976*  Twenty-ninth  December 15, 1970  Company to The Fidelity   Bank  Bonds of 7-3/4% Series   due 2000*  Thirtieth  August 1, 1971  Company to The Fidelity   Bank  Bonds of 8-1/4% Series   due 1996*  Thirty-first  December 15, 1971   Company to The Fidelity   Bank  Bonds of 7-3/8% Series   due 2001; amendment of   Article XI of Mortgage*  

 

   5  Supplemental Indenture     and Date  Parties Providing for:  Thirty-second  June 15, 1972  Company to The Fidelity   Bank  Bonds of 7-1/2% Series  due 1998*  Thirty-third  January 15, 1973  Company to The Fidelity   Bank  Bonds of 7-1/2% Series  due 1999*  Thirty-fourth  January 15, 1974  Company to The Fidelity   Bank  Bonds of 8-1/2% Series  due 2004  Thirty-fifth  October 15, 1974  Company to The Fidelity   Bank  Bonds of 11% Series  due 1980*  Thirty-sixth  April 15, 1975  Company to The Fidelity   Bank  Bonds of 11-5/8% Series  due 2000*  Thirty-seventh  August 1, 1975  Company to The Fidelity   Bank  Bonds of 11% Series due  2000*  Thirty-eighth  March 1, 1976  Company to The Fidelity   Bank  Bonds of 9-1/8% Series  due 2006*  Thirty-ninth  August 1, 1976  Company to The Fidelity   Bank  Bonds of 9-5/8% Series  due 2002*  Fortieth  February 1, 1977  Company to The Fidelity   Bank  Bonds of Pollution  Control Series A  and Pollution  Control Series B*  Forty-first  March 15, 1977  Company to The Fidelity   Bank  Bonds of 8-5/8% Series  due 2007*  Forty-second  July 15, 1977  Company to The Fidelity   Bank  Bonds of 8-5/8% Series  due 2003*  Forty-third  March 15, 1978  Company to The Fidelity   Bank  Bonds of 9-1/8% Series  due 2008*  Forty-fourth  October 15, 1979  Company to The Fidelity   Bank  Bonds of 12-1/2% Series  due 2005*  Forty-fifth  October 15, 1980  Company to The Fidelity   Bank  Bonds of 13-3/4% Series  due 1992*  

 

   6  Supplemental Indenture     and Date  Parties Providing for:  Forty-sixth  March 1, 1981  Company to The Fidelity   Bank  Bonds of 15-1/4% Series  due 1996; amendment of  Article VIII of  Mortgage*  Forty-seventh  March 1, 1981  Company to The Fidelity   Bank  Bonds of 15% Series due  1996; amendment of  Article VIII of   Mortgage*  Forty-eighth  July 1, 1981  Company to The Fidelity   Bank  Bonds of 17-5/8% Series  due 2011*  Forty-ninth  September 15, 1981  Company to The Fidelity   Bank  Bonds of 18-3/4% Series  due 2009*  Fiftieth  April 1, 1982  Company to The Fidelity   Bank  Bonds of 18% Series due  2012*  Fifty-first  October 1, 1982  Company to The Fidelity   Bank  Bonds of 15-3/8% Series  due 2010*  Fifty-second  June 15, 1983  Company to The Fidelity   Bank  Bonds of 13-3/8% Series  due 2013*  Fifty-third  November 15, 1984  Company to Fidelity Bank,   National Association   (formerly The Fidelity Bank)  Bonds of 13.05% Series  due 1994; amendment  of Article VIII of  Mortgage*  Fifty-fourth  December 1, 1984  Company to Fidelity Bank,   National Association  Bonds of 14% Series due  1988-1994; amendment  of Article VIII of  Mortgage*  Fifty-fifth  May 15, 1985  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series C*  Fifty-sixth  October 1, 1985  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series D*  Fifty-seventh  November 15, 1985  Company to Fidelity Bank,   National Association  Bonds of 10-7/8% Series  due 1995*  

 

   7  Supplemental Indenture     and Date  Parties Providing for:  Fifty-eight  November 15, 1985  Company to Fidelity Bank,   National Association  Bonds of 11-3/4% Series  due 2014*  Fifty-ninth  June 1, 1986  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series E*  Sixtieth  November 1, 1986  Company to Fidelity Bank,   National Association  Bonds of 10-1/4% Series  due 2016*  Sixty-first  November 1, 1986  Company to Fidelity Bank,   National Association  Bonds of 8-3/4% Series  due 1994*  Sixty-second  April 1, 1987  Company to Fidelity Bank,   National Association  Bonds of 9-3/8% Series  due 2017*  Sixty-third  July 15, 1987  Company to Fidelity Bank,   National Association  Bonds of 11% Series due  2016*  Sixty-fourth  July 15, 1987  Company to Fidelity Bank,   National Association  Bonds of 10% Series due  1997*  Sixty-fifth  August 1, 1987  Company to Fidelity Bank,   National Association  Bonds of 10-1/4% Series  due 2007*  Sixty-sixth  October 15, 1987  Company to Fidelity Bank,   National Association  Bonds of 11% Series due  1997*  Sixty-seventh  October 15, 1987  Company to Fidelity Bank,   National Association  Bonds of 12-1/8% Series  due 2016*  Sixty-eighth  April 15, 1988  Company to Fidelity Bank,   National Association  Bonds of 10% Series due  1998*  Sixty-ninth  April 15, 1988  Company to Fidelity Bank,   National Association  Bonds of 11% Series due  2018*  Seventieth  June 15, 1989  Company to Fidelity Bank,   National Association  Bonds of 10% Series due  2019*  Seventy-first  October 1, 1989  Company to Fidelity Bank,   National Association  Bonds of 9-7/8% Series  due 2019*  Seventy-second  October 1, 1989  Company to Fidelity Bank,   National Association  Bonds of 9-1/4% Series  due 1999*  

 

   8  Supplemental Indenture     and Date  Parties Providing for:  Seventy-third  October 1, 1989  Company to Fidelity Bank,   National Association  Medium-Term Note  Series A*  Seventy-fourth  October 15, 1990  Company to Fidelity Bank,   National Association  Bonds of 10-1/2% Series  due 2020*  Seventy-fifth  October 15, 1990  Company to Fidelity Bank,   National Association  Bonds of 10% Series due  2000*  Seventy-sixth  April 1, 1991  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series F  and Pollution  Control Series G*  Seventy-seventh  December 1, 1991  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series H*  Seventy-eighth  January 15, 1992  Company to Fidelity Bank,   National Association  Bonds of 7-1/2% 1992  Series due 1999*  Seventy-ninth  April 1, 1992  Company to Fidelity Bank,   National Association  Bonds of 8% Series due  2002*  Eightieth  April 1, 1992  Company to Fidelity Bank,   National Association  Bonds of 8-3/4% Series  due 2022*  Eighty-first  June 1, 1992  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series I*  Eighty-second  June 1, 1992  Company to Fidelity Bank,   National Association  Bonds of 8-5/8% Series  due 2022*  Eighty-third  July 15, 1992  Company to Fidelity Bank,   National Association  Bonds of 7-1/2% Series  due 2002*  Eighty-fourth  September 1, 1992  Company to Fidelity Bank,   National Association  Bonds of 8-1/4% Series  due 2022*  Eighty-fifth  September 1, 1992  Company to Fidelity Bank,   National Association  Bonds of 7-1/8% Series  due 2002*  Eighty-sixth  March 1, 1993  Company to Fidelity Bank,   National Association  Bonds of 6-5/8% Series  due 2003*  

 

   9  Supplemental Indenture     and Date  Parties Providing for:  Eighty-Seventh  March 1, 1993  Company to Fidelity Bank,   National Association  Bonds of 7-3/4% Series  due 2023*  Eighty-eighth  March 1, 1993  Company to Fidelity Bank,   National Association  Bonds of Pollution  Control Series J,  Pollution Control  Series K, Pollution  Control Series L  and Pollution Control  Series M*  Eighty-ninth  May 1, 1993  Company to Fidelity Bank,   National Association  Bonds of 6-1/2% Series  due 2003*  Ninetieth  May 1, 1993  Company to Fidelity Bank,   National Association  Bonds of 7-3/4% Series  2 due 2023*  Ninety-first  August 15, 1993  Company to First Fidelity  Bank,   N.A., Pennsylvania  Bonds of 7-1/8% Series  due 2023*  Ninety-second  August 15, 1993  Company to First Fidelity  Bank,   N.A., Pennsylvania  Bonds of 6-3/8% Series  due 2005*  Ninety-third  August 15, 1993  Company to First Fidelity  Bank,   N.A., Pennsylvania  Bonds of 5-3/8% Series  due 1998*  Ninety-fourth  November 1, 1993  Company to First Fidelity  Bank,   N.A., Pennsylvania  Bonds of 7-1/4% Series  due 2024*  Ninety-fifth  November 1, 1993  Company to First Fidelity  Bank,   N.A., Pennsylvania  Bonds of 5-5/8% Series  due 2001*  Ninety-sixth  May 1, 1995  Company to First Fidelity  Bank,  N.A., Pennsylvania  Medium Term Note Series B*  

 

   10  Supplemental Indenture     and Date  Parties Providing for:  Ninety-seventh  October 15, 2001  Company to First Union  National Bank (formerly First  Fidelity Bank, N.A.,  Pennsylvania)  Bonds of  5.95% Series   due 2011*  Ninety-eighth  October 1, 2002  Company to Wachovia Bank,  National Association   Bonds of 5.95% Series  Due 2011*  Ninety-ninth  September 15, 2002  Company to Wachovia Bank,  National Association   Bonds of 4.75% Series  Due 2012*  One Hundredth   April 15, 2003  Company to Wachovia Bank,  National Association   Bonds of 3.50% Series  Due 2008*  One Hundred and First  April 15, 2004  Company to Wachovia Bank,  National Association   Bonds of 5.90% Series  Due 2034*  One Hundred and Second  September 15, 2006  Company to Wachovia Bank,  National Association   Bonds of 5.95% Series  Due 2036; amendment of  certain provisions of  Mortgage*    One Hundred and Third  March 15, 2007  Company to U.S. Bank  National Association   Bonds of 5.70% Series  Due 2037*  One Hundred and Fourth  February 15, 2008  Company to U.S. Bank  National Association   Bonds of 5.35% Series  Due 2018*  One Hundred and Fifth  February 15, 2008  Company to U.S. Bank  National Association   Bonds of Pollution   Control Series N*  One Hundred and Sixth  September 15, 2008  Company to U.S. Bank  National Association   Bonds of 5.60% Series  Due 2013*  One Hundred and  Seventh  March 15, 2009  Company to U.S. Bank  National Association   Bonds of 5.00% Series  Due 2014*  One Hundred and Eighth  September 1, 2012  Company to U.S. Bank  National Association   Bonds of 2.375% Series  Due 2022*  One Hundred and Ninth  September 15, 2013  Company to U.S. Bank  National Association   Bonds of 1.200% Series  Due 2016*  

 

   11  Supplemental Indenture     and Date  Parties Providing for:  One Hundred and Tenth  September 15, 2013  Company to U.S. Bank  National Association   Bonds of 4.800% Series  Due 2043*  One Hundred and  Eleventh  September 1, 2014  Company to U.S. Bank  National Association   Bonds of 4.150% Series  Due 2044*  One Hundred and Twelfth         September 15, 2015  Company to U.S. Bank  National Association   Bonds of 3.15% Series  Due 2025*  One Hundred and  Thirteenth         September 1, 2016  Company to U.S. Bank  National Association  Bonds of 1.700% Series  Due 2021*  One Hundred and  Fourteenth         September 1, 2017  Company to U.S. Bank  National Association  Bonds of 3.700% Series  Due 2047*  One Hundred and  Fifteenth         February 1, 2018  Company to U.S. Bank  National Association  Bonds of 3.900% Series  Due 2048*  One Hundred and  Sixteenth         September 1, 2018  Company to U.S. Bank  National Association  Bonds of 3.900% Series  Due 2048  (Additional Issuance of Bonds of  3.900% Series due 2048)  One Hundred and  Seventeenth         August 15, 2019  Company to U.S. Bank  National Association  Bonds of 3.000% Series  Due 2049*    One Hundred and  Eighteenth         June 1, 2020  Company to U.S. Bank  National Association  Bonds of 2.800% Series  Due 2050*  One Hundred and  Nineteenth         February 15, 2021   Company to U.S. Bank  National Association  Bonds of 3.050% Series  Due 2051*  One Hundred and  Twentieth         September 1, 2021  Company to U.S. Bank  National Association  Bonds of 2.850% Series  Due 2051*  *And amendment of certain provisions of the Ninth Supplemental Indenture.  

 

   12  WHEREAS, the respective principal amounts of the bonds of each series presently  outstanding under the Mortgage and the several supplemental indentures above referred to, are as  follows:      Series  PRINCIPAL  AMOUNT    5.90% Series due 2034 ................................................................. $ 75,000,000  5.95% Series due 2036 .................................................................. 300,000,000  5.70% Series due 2037 .................................................................. 175,000,000  2.375% Series due 2022 .................................................................. 350,000,000  4.80% Series due 2043 .................................................................. 250,000,000  4.150% Series due 2044 .................................................................. 300,000,000  3.150% Series due 2025 .................................................................. 350,000,000  3.700% Series due 2047 .................................................................. 325,000,000  3.900% Series due 2048 .................................................................. 650,000,000  3.000% Series due 2049 .................................................................. 325,000,000  2.800% Series due 2050 .................................................................. 350,000,000  3.050% Series due 2051 .................................................................. 375,000,000  2.850% Series due 2051 .................................................................. 375,000,000   Total $4,200,000,000    WHEREAS, the Company deems it advisable and has determined, pursuant to Article XI  of the Mortgage,  (a) to amend Article II of the Ninth Supplemental Indenture to the Mortgage as  heretofore amended;  (b) to convey, pledge, transfer and assign to the Trustee and to subject specifically to  the lien of the Mortgage additional property not therein or in any supplemental indenture  specifically described but now owned by the Company and acquired by it by purchase or  otherwise; and  (c) to create a new series of bonds to be issued from time to time under, and secured  by, the Mortgage, to be designated PECO Energy Company First and Refunding Mortgage Bonds,  4.600% Series due 2052, (hereinafter sometimes called the “bonds of the New Series” or the  “bonds of the 4.600% Series due 2052”); and for the above-mentioned purposes to execute, deliver  and record this Supplemental Indenture; and  WHEREAS, the Company has determined by proper corporate action that the terms,  provisions and form of the bonds of the New Series shall be substantially as follows:  

 

   13  (Form of Face of Bond)  UNLESS THIS BOND IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF  THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO  THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE,  OR PAYMENT, AND ANY BOND ISSUED IS REGISTERED IN THE NAME OF CEDE  & CO.  OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED  REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO  SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED  REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF  FOR VALUE OR OTHERWISE BY A PERSON IS WRONGFUL INASMUCH AS THE  REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.  PECO ENERGY COMPANY  REGISTERED          NUMBER  FIRST AND REFUNDING MORTGAGE BOND,  4.600% SERIES DUE 2052,   DUE MAY 15, 2052  PECO Energy Company, a Pennsylvania corporation (hereinafter called the Company), for  value received, hereby promises to pay to Cede & Co. or registered assigns, Three Hundred and  Fifty Million Dollars on May 15, 2052, at the office or agency of the Company, in the City of  Philadelphia, Pennsylvania, or, at the option of the holder, at the office or agency of the Company,  in the Borough of Manhattan, The City of New York, in such coin or currency of the United States  of America as at the time of payment shall constitute legal tender for the payment of public and  private debts, and to pay interest (computed on the basis of a 360-day year of twelve 30-day  months) thereon from the date hereof at the rate of 4.600 percent per annum in like coin or  currency, payable at either of the offices aforesaid on May 15 and November 15 of each year,  beginning on November 15, 2022, until the Company’s obligation with respect to the payment of  such principal shall have been discharged.    The record date for determining the registered holder of this bond entitled to an interest  payment shall be fourteen calendar days prior to any interest payment date.  Only the registered  holder on such record date shall be entitled to receive such payment, notwithstanding any transfer  of this bond upon the registration books subsequent to such record date.  This bond shall not be valid or become obligatory for any purpose unless it shall have been  authenticated by the certificate of the Trustee under said Mortgage endorsed hereon.  The provisions of this bond are continued on the reverse hereof and such continued  provisions shall for all purposes have the same effect as though fully set forth at this place.  [Remainder of this page intentionally left blank]  

 

   14  IN WITNESS WHEREOF, PECO Energy Company has caused this instrument to be  signed in its corporate name with the manual or facsimile signature of its Treasurer or Assistant  Treasurer, duly attested by the manual or facsimile signature of its Secretary or an Assistant  Secretary.  Dated:  PECO ENERGY COMPANY    By_________________________________   Treasurer or Assistant Treasurer    Attest______________________________    Secretary or Assistant Secretary  

 

   15  (Form of Reverse of Bond)  PECO ENERGY COMPANY  First and Refunding Mortgage Bond,  4.600% Series Due 2052,   Due May 15, 2052  (CONTINUED)  This bond is one of a duly authorized issue of bonds of the Company, unlimited as to  amount except as provided in the Mortgage hereinafter mentioned or in any indenture  supplemental thereto, and is one of a series of said bonds known as First and Refunding Mortgage  Bonds, 4.600% Series due 2052. This bond and all other bonds of said issue are issued and to be  issued under and pursuant to and are all secured equally and ratably by an indenture of mortgage  and deed of trust dated May 1, 1923, duly executed and delivered by The Counties Gas and Electric  Company (to which the Company is successor) to Fidelity Trust Company, as Trustee (to which  U.S. Bank National Association, a national banking association organized and existing under the  laws of the United States of America, is successor Trustee), as amended, modified or supplemented  by certain supplemental indentures from the Company or its predecessors to said successor Trustee  or its predecessors, said mortgage, as so amended, modified or supplemented being herein called  the Mortgage. Reference is hereby made to the Mortgage for a statement of the property mortgaged  and pledged, the nature and extent of the security, the rights of the holders of said bonds and of  the Trustee in respect of such security, the rights, duties and immunities of the Trustee, and the  terms and conditions upon which said bonds are and are to be secured, and the circumstances under  which additional bonds may be issued.  As provided in the Mortgage, the bonds secured thereby may be for various principal sums  and are issuable in series, which series may mature at different times, may bear interest at different  rates, and may otherwise vary. The bonds of this series mature on May 15, 2052, and are issuable  only in registered form without coupons in any denomination authorized by the Company.   Any bond or bonds of this series may be exchanged for another bond or bonds of this series  in a like aggregate principal amount in authorized denominations, upon presentation at the office  of the Trustee in the City of Philadelphia, Pennsylvania, or, at the option of the holder, at the office  or agency of the Company in the Borough of Manhattan, The City of New York, all subject to the  terms of the Mortgage but without any charge other than a sum sufficient to reimburse the  Company for any stamp tax or other governmental charge incident to the exchange.  The bonds of this series are redeemable at the option of the Company, as a whole or in part,  at any time upon notice sent by the Company through the mail, postage prepaid, or electronically  delivered (or otherwise transmitted in accordance with DTC’s (or another depositary’s)  procedures) at least ten (10) days and not more than sixty (60) days prior to the date fixed for  redemption, to the registered holder of each bond to be redeemed, addressed to such holder at his  address appearing upon the registration books.  At any time prior to November 15, 2051 (six  months prior to the maturity date of the bonds of this series) (the “Par Call Date”), the redemption  price shall be equal to the greater of (1) 100% of the principal amount of the bonds to be redeemed;  or (2) (a) the sum of the present values of the remaining scheduled payments of principal and  

 

   16  interest thereon discounted to the redemption date (assuming the bonds to be redeemed matured  on the Par Call Date) on a semi-annual basis (assuming a 360-day year consisting of twelve 30- day months) at the Treasury Rate plus 25 basis points less (b) interest accrued to the redemption  date; plus, in each case, accrued and unpaid interest to, but not including, the redemption date.   Unless the Company defaults in payment of the redemption price, on and after the redemption  date, interest will cease to accrue on the bonds of this series or portions of the bonds of this series  called for redemption.  On or after the Par Call Date, the Company may redeem bonds of this series, in whole or  in part, at any time and from time to time, at a redemption price equal to 100% of the principal  amount of the bonds of this series being redeemed plus accrued and unpaid interest thereon to the  redemption date.   “Treasury Rate” means, with respect to any redemption date, the yield determined by the  Company in accordance with the following two paragraphs.  The Treasury Rate shall be determined by the Company after 4:15 p.m., New York City  time (or after such time as yields on U.S. government securities are posted daily by the Board of  Governors of the Federal Reserve System), on the third Business Day preceding the redemption  date based upon the yield or yields for the most recent day that appear after such time on such day  in the most recent statistical release published by the Board of Governors of the Federal Reserve  System designated as “Selected Interest Rates (Daily) - H.15” (or any successor designation or  publication) (“H.15”) under the caption “U.S. government securities–Treasury constant  maturities–Nominal” (or any successor caption or heading). In determining the Treasury Rate, the  Company shall select, as applicable: (1) the yield for the Treasury constant maturity on H.15  exactly equal to the period from the redemption date to the Par Call Date (the “Remaining Life”);  or (2) if there is no such Treasury constant maturity on H.15 exactly equal to the Remaining Life,  the two yields – one yield corresponding to the Treasury constant maturity on H.15 immediately  shorter than and one yield corresponding to the Treasury constant maturity on H.15 immediately  longer than the Remaining Life – and shall interpolate to the Par Call Date on a straight-line basis  (using the actual number of days) using such yields and rounding the result to three decimal places;  or (3) if there is no such Treasury constant maturity on H.15 shorter than or longer than the  Remaining Life, the yield for the single Treasury constant maturity on H.15 closest to the  Remaining Life.  For purposes of this paragraph, the applicable Treasury constant maturity or  maturities on H.15 shall be deemed to have a maturity date equal to the relevant number of months  or years, as applicable, of such Treasury constant maturity from the redemption date.  If on the third Business Day preceding the redemption date H.15 or any successor  designation or publication is no longer published, the Company shall calculate the Treasury Rate  based on the rate per annum equal to the semi-annual equivalent yield to maturity at 11:00 a.m.,  New York City time, on the second Business Day preceding such redemption date of the United  States Treasury security maturing on, or with a maturity that is closest to, the Par Call Date, as  applicable.  If there is no United States Treasury security maturing on the Par Call Date but there  are two or more United States Treasury securities with a maturity date equally distant from the Par  Call Date, one with a maturity date preceding the Par Call Date and one with a maturity date  following the Par Call Date, the Company shall select the United States Treasury security with a  maturity date preceding the Par Call Date.  If there are two or more United States Treasury  

 

   17  securities maturing on the Par Call Date or two or more United States Treasury securities meeting  the criteria of the preceding sentence, the Company shall select from among these two or more  United States Treasury securities the United States Treasury security that is trading closest to par  based upon the average of the bid and asked prices for such United States Treasury securities at  11:00 a.m., New York City time.  In determining the Treasury Rate in accordance with the terms  of this paragraph, the semi-annual yield to maturity of the applicable United States Treasury  security shall be based upon the average of the bid and asked prices (expressed as a percentage of  principal amount) at 11:00 a.m., New York City time, of such United States Treasury security, and  rounded to three decimal places.  “Business Day” means any day that is not a day on which banking institutions in New York  City are authorized or required by law or regulation to close.  The Company’s actions and determinations in determining the redemption price shall be  conclusive and binding for all purposes, absent manifest error.  In the case of a partial redemption, selection of the bonds of this series for redemption will  be made pro rata, by lot or by such other method as the Trustee in its sole discretion deems  appropriate and fair.  No bonds of this series of a principal amount of $2,000 or less will be  redeemed in part. If any bonds of this series is to be redeemed in part only, the notice of redemption  that relates to the bond will state the portion of the principal amount of the bonds of this series to  be redeemed.  A new bonds of this series in a principal amount equal to the unredeemed portion  of the bonds of this series will be issued in the name of the holder of the bonds of this series upon  surrender for cancellation of the original bonds of this series.  For so long as the bonds of this  series are held by DTC (or another depositary), the redemption of the bonds of this series shall be  done in accordance with the policies and procedures of the depositary.  The principal of this bond may be declared or may become due on the conditions, in the  manner and with the effect provided in the Mortgage upon the happening of an event of default as  in the Mortgage provided.  This bond is transferable by the registered holder hereof in person or by attorney, duly  authorized in writing, at the office of the Trustee in the City of Philadelphia, Pennsylvania, or, at  the option of the holder, at the office or agency of the Company in the Borough of Manhattan, The  City of New York, in books of the Company to be kept for that purpose, upon surrender and  cancellation hereof, and upon any such transfer, a new registered bond or bonds, without coupons,  of this series and for the same aggregate principal amount, will be issued to the transferee in  exchange herefor, all subject to the terms of the Mortgage but without payment of any charge other  than a sum sufficient to reimburse the Company for any stamp tax or other governmental charge  incident to the transfer. The Company, the Trustee, and any paying agent may deem and treat the  person in whose name this bond is registered as the absolute owner hereof for the purpose of  receiving payment of or on account of the principal and interest due hereon and for all other  purposes, and neither the Company nor the Trustee nor any paying agent shall be affected by any  notice to the contrary.  No recourse shall be had for the payment of the principal of or interest on this bond to any  incorporator or any past, present or future stockholder, officer or director of the Company or of  

 

   18  any predecessor or successor corporation, either directly or indirectly, by virtue of any statute or  by enforcement of any assessment or otherwise, and any and all liability of the said incorporators,  stockholders, officers or directors of the Company or of any predecessor or successor corporation  in respect to this bond is hereby expressly waived and released by every holder hereof, except to  the extent that such liability may not be waived or released under the provisions of the Securities  Act of 1933, as amended, or of the rules and regulations of the Securities and Exchange  Commission thereunder.    (End of Form of Reverse of Bond)   

 

   19  and  WHEREAS, on the face of each of the bonds of the New Series, there is to be endorsed a  certificate of the Trustee in substantially the following form, to wit:  (Form of Trustee’s Certificate)  This bond is one of the bonds, of the series designated therein, provided for in the within- mentioned Mortgage and in the One Hundred and Twenty-First Supplemental Indenture dated as  of May 1, 2022.  U.S. BANK NATIONAL ASSOCIATION,  Trustee    By______________________________  Authorized Officer  and  WHEREAS, all acts and things necessary to make the bonds of the New Series, when duly  executed by the Company and authenticated by the Trustee as provided in the Mortgage and  indentures supplemental thereto, and issued by the Company, the valid, binding and legal  obligations of the Company, and this Supplemental Indenture a valid and enforceable supplement  to the Mortgage, have been done, performed and fulfilled and the execution and delivery hereof  have been in all respects duly and lawfully authorized.  NOW, THEREFORE, THIS SUPPLEMENTAL INDENTURE WITNESSETH:  That in order to secure the payment of the principal of and interest on all bonds issued and  to be issued under the Mortgage and/or under any indenture supplemental thereto, according to  their tenor and effect, and according to the terms of the Mortgage and of any indenture  supplemental thereto, and to secure the performance of the covenants and obligations in the bonds  and in the Mortgage and any indenture supplemental thereto respectively contained, and for the  proper assuring, conveying, and confirming unto the Trustee, its successors in trust and its and  their assigns forever, upon the trusts and for the purposes expressed in the Mortgage and in any  indentures supplemental thereto, all and singular the estates, property and franchises of the  Company thereby mortgaged or intended so to be, the Company, for and in consideration of the  premises and of the sum of One Dollar ($1.00) in hand paid by the Trustee to the Company upon  the execution and delivery of this Supplemental Indenture, receipt whereof is hereby  acknowledged, and of other good and valuable consideration, has granted, bargained, sold,  conveyed, released, confirmed, pledged, assigned, transferred and set over and by these presents  does grant, bargain, sell, convey, release, confirm, pledge, assign, transfer, and set over to U.S.  Bank National Association, as Trustee, and to its successors in trust and its and their assigns  forever, all the following described property, real, personal and mixed of the Company, viz.:  

 

   20  The real property set forth in Exhibit A, attached hereto and hereby made a part hereof,  with any improvements thereon erected as may be owned by the Company but not specifically  described in the Mortgage or in any indenture supplemental thereto heretofore executed, in the  places set forth in Exhibit A.  All of the real property with any improvements thereon erected as may be owned by the  Company and described in the Mortgage or in any indenture supplemental thereto as may  heretofore have been executed, delivered and recorded, but excluding therefrom all real property  heretofore released from the lien of the Mortgage.  The purpose of restating such prior conveyances  as security is to confirm that the obligations of the Company as provided in this Supplemental  Indenture are included within the lien and security of the Mortgage, and that public record be made  of such purpose and fact by the recording of this Supplemental Indenture.  Together with all gas works, electric works, plants, buildings, structures, improvements  and machinery located upon such real estate or any portion thereof, and all rights, privileges and  easements of every kind and nature appurtenant thereto, and all and singular the tenements,  hereditaments and appurtenances belonging to the real estate or any part thereof hereinbefore  described or referred to or intended so to be, or in any way appertaining thereto, and the reversions,  remainders, rents, issues and profits thereof; also all the estate, right, title, interest, property,  possession, claim and demand whatsoever, as well in law as in equity, of the Company, of, in and  to the same and any and every part thereof, with the appurtenances.  Also all the Company’s electric transmission and distribution lines and systems,  substations, transforming stations, structures, machinery, apparatus, appliances, devices and  appurtenances.  Also all the Company’s gas transmission and distribution mains, pipes, pipe lines and  systems, storage facilities, structures, machinery, apparatus, appliances, devices and  appurtenances.  Also all plants, systems, works, improvements, buildings, structures, fixtures, appliances,  engines, furnaces, boilers, machinery, retorts, tanks, condensers, pumps, gas tanks, holders,  reservoirs, expansion tanks, gas mains and pipes, tunnels, service pipe, pipe lines, fittings, gates,  valves, connections, gas and electric meters, generators, dynamos, fans, supplies, tools and  implements, tracks, sidings, motor and other vehicles, all electric light lines, electric power lines,  transmission lines, distribution lines, conduits, cables, stations, substations, and distributing  systems, motors, conductors, converters, switchboards, shafting, belting, wires, mains, feeders,  poles, towers, mast arms, brackets, pipes, lamps, insulators, house wiring connections and all  instruments, appliances, apparatus, fixtures, fittings and equipment and all stores, repair parts,  materials and supplies of every nature and kind whatsoever now or hereafter owned by the  Company in connection with or appurtenant to its plants and systems for production, purchase,  storage, transmission, distribution, utilization and sale of gas and its by-products and residual  products, and/or for the generation, production, purchase, storage, transmission, distribution,  utilization and sale of electricity, or in connection with such business.  Also all the goodwill of the business of the Company, and all rights, claims, contracts,  leases, patents, patent rights, and agreements, all accounts receivable, accounts, claims, demands,  

 

   21  choses in action, books of account, cash assets, franchises, ordinances, rights, powers, easements,  water rights, riparian rights, licenses, privileges, immunities, concessions and consents now or  hereafter owned by the Company in connection with or appurtenant to its said business.  Also all the right, title and interest of the Company in and to all contracts for the purchase,  sale or supply of gas, and its by-products and residual products of electricity and electrical energy,  now or hereafter entered into by the Company with the right on the part of the Trustee, upon the  happening of an event of default as defined in the Mortgage as supplemented by any supplemental  indenture, to require a specific assignment of any and all such contracts, whenever it shall request  the Company to make the same.  Also all rents, tolls, earnings, profits, revenues, dividends and income arising or to arise  from any property now owned, leased, operated or controlled or hereafter acquired, leased,  operated or controlled by the Company and subject to the lien of the Mortgage and indentures  supplemental thereto.  Also all the estate, right, title and interest of the Company, as lessee, in and to any and all  demised premises under any and all agreements of lease now or at any time hereafter in force,  insofar as the same may now or hereafter be assignable by the Company.  Also all other property, real, personal and mixed not hereinbefore specified or referred to,  of every kind and nature whatsoever, now owned, or which may hereafter be owned by the  Company (except shares of stock, bonds or other securities not now or hereafter specifically  pledged under the Mortgage and indentures supplemental thereto or required to be pledged  thereunder by the provisions of the Mortgage or any indenture supplemental thereto), together with  all and singular the tenements, hereditaments and appurtenances thereunto belonging or in any  way appertaining and the reversions, remainder or remainders, rents, issues and profits thereof;  and also all the estate, right, title, interest, property, claim and demand whatsoever as well in law  as in equity of the Company of, in and to the same and every part and parcel thereof.  It is the intention and it is hereby agreed that all property and the earnings and income  thereof acquired by the Company after the date hereof shall be as fully embraced within the  provisions hereof and subject to the lien hereby created for securing the payment of all bonds,  together with the interest thereon, as if the property were now owned by the Company and were  specifically described herein and conveyed hereby, provided nevertheless, that no shares of stock,  bonds or other securities now or hereafter owned by the Company, shall be subject to the lien of  the Mortgage and indentures supplemental thereto unless now or hereafter specifically pledged or  required to be pledged thereunder by the provisions of the Mortgage or any indenture supplemental  thereto.  TO HAVE AND TO HOLD, all and singular the property, rights, privileges and franchises  hereby conveyed, transferred or pledged or intended so to be, including after-acquired property,  together with all and singular the reversions, remainders, rents, revenues, income, issues and  profits, privileges and appurtenances, now or hereafter belonging or in any way appertaining  thereto, unto the Trustee and its successors in the trust hereby created, and its and their assigns  forever;  

 

   22  IN TRUST NEVERTHELESS, for the equal and pro rata benefit and security of each and  every person or corporation who may be or become the holders of bonds secured by the Mortgage  and indentures supplemental thereto, without preference, priority or distinction (except as provided  in Section 1 of Article VIII of the Mortgage) as to lien or otherwise of any bond of any series over  or from any other bond, so that (except as aforesaid) each and every of the bonds issued or to be  issued, of whatsoever series, shall have the same right, lien, privilege under the Mortgage and  indentures supplemental thereto and shall be equally secured thereby and hereby, with the same  effect as if the bonds had all been made, issued and negotiated simultaneously on the date of the  Mortgage.  AND THIS SUPPLEMENTAL INDENTURE FURTHER WITNESSETH:  It is hereby covenanted that all bonds secured by the Mortgage and indentures supplemental  thereto with the coupons appertaining thereto, are issued to and accepted by each and every holder  thereof, and that the property aforesaid and all other property subject to the lien of the Mortgage  and indentures supplemental thereto is held by or hereby conveyed to the Trustee, under and  subject to the trusts, conditions and limitations set forth in the Mortgage and indentures  supplemental thereto and upon and subject to the further trusts, conditions and limitations  hereinafter set forth, as follows, to wit:  ARTICLE I  AMENDMENTS OF MORTGAGE  Section 1. Article II of the Ninth Supplemental Indenture to the Mortgage, as heretofore  amended, is hereby further amended as follows:  By adding to paragraph (d) of Section 5 and to the first clause of Section 9, the following:  “4.600% Series due 2052”  ARTICLE II.  BONDS OF THE NEW SERIES  Section 1. The bonds of the New Series shall be designated as hereinabove specified for  such designation in the recital immediately preceding the form of bonds of the New Series, subject  however, to the provisions of Section 2 of Article I of the Mortgage, as amended, and are issuable  only as registered bonds without coupons, substantially in the form hereinbefore recited.  Subject  to the provisions of the Mortgage, the bonds of the New Series shall be issuable without limitation  as to the aggregate principal amount thereof.   The bonds of the New Series shall bear interest from the date thereof and shall be dated as  of the interest payment date to which interest was paid next preceding the date of issue unless (a)  such date of issue is an interest payment date to which interest was paid, in which event such bonds  shall be dated as of such interest payment date, or (b) issued prior to the occurrence of the first  interest payment date on which interest is to be paid, in which event such bonds shall be dated  May 24, 2022.  The bonds of the New Series shall mature on May 15, 2052.  

 

   23  The bonds of the New Series shall bear interest (computed on the basis of a 360-day year  of twelve 30-day months) at the rate provided in the form of bond hereinbefore recited, payable  on May 15 and November 15 of each year, beginning on November 15, 2022, until the Company’s  obligation with respect to the payment of principal thereof shall have been discharged.  In the event  that any interest payment date is not a Business Day (as defined below), then the payment of  interest payable on such date will be made on the next succeeding day which is a Business Day  with the same force and effect as if made on the interest payment date (and without any interest or  other payment in respect of such delay).  Both principal and interest on bonds of the New Series  shall be payable at the office or agency of the Company in the City of Philadelphia, Pennsylvania,  or, at the option of the holder, at the office or agency of the Company in the Borough of Manhattan,  The City of New York, and shall be payable in such coin or currency of the United States of  America as at the time of payment shall constitute legal tender for the payment of public and  private debts.  The bonds of the New Series shall be in any denomination authorized by the Company.  Any bond or bonds of the New Series shall be exchangeable for another bond or bonds of  the New Series in a like aggregate principal amount.  Any such exchange may be made upon  presentation at the office of the Trustee in the City of Philadelphia, Pennsylvania, or, at the option  of the holder, at the office or agency of the Company in the Borough of Manhattan, The City of  New York, without any charge other than a sum sufficient to reimburse the Company for any stamp  tax or other governmental charge incident to the exchange.  Section 2. (a) Initially, the bonds of the New Series shall be issued pursuant to a book- entry system administered by The Depository Trust Company (or its successor, referred to herein  as the “Depository”) as a global security with no physical distribution of bond certificates to be  made except as provided in this Section 2.  Any provisions of the Mortgage or the bonds of the  New Series requiring physical delivery of bonds shall, with respect to any bonds of the New Series  held under the book-entry system, be deemed to be satisfied by a notation on the bond registration  books maintained by the Trustee that such bonds are subject to the book-entry system.  (b) So long as the book-entry system is being used, one or more bonds of the New  Series in the aggregate principal amount of the bonds of the New Series and registered in the name  of the Depository’s nominee (the “Nominee”) will be issued and required to be deposited with the  Depository and held in its custody.  The book-entry system will be maintained by the Depository  and its participants and indirect participants and will evidence beneficial ownership of the bonds  of the New Series, with transfers of ownership effected on the records of the Depository, the  participants and the indirect participants pursuant to rules and procedures established by the  Depository, the participants and the indirect participants.  The principal of and any premium on  each bond of the New Series shall be payable to the Nominee or any other person appearing on the  registration books as the registered holder of such bond or its registered assigns or legal  representative at the office of the office or agency of the Company in the City of Philadelphia,  Pennsylvania or the Borough of Manhattan, The City of New York.  So long as the book-entry  system is in effect, the Depository will be recognized as the holder of the bonds of the New Series  for all purposes.  Transfers of principal, interest and any premium payments or notices to  participants and indirect participants will be the responsibility of the Depository, and transfers of  principal, interest and any premium payments or notices to beneficial owners will be the  

 

   24  responsibility of participants and indirect participants.  No other party will be responsible or liable  for such transfers of payments or notices or for maintaining, supervising or reviewing such records  maintained by the Depository, the participants or the indirect participants.  While the Nominee or  the Depository, as the case may be, is the registered owner of the bonds of the New Series,  notwithstanding any other provisions set forth herein, payments of principal of, redemption  premium, if any, and interest on the bonds of the New Series shall be made to the Nominee or the  Depository, as the case may be, by wire transfer in immediately available funds to the account of  such holder.  Without notice to or consent of the beneficial owners, the Trustee with the consent  of the Company and the Depository may agree in writing to make payments of principal,  redemption price and interest in a manner different from that set forth herein.  In such event, the  Trustee shall make payment with respect to the bonds of the New Series in such manner as if set  forth herein.  (c) The Company may at any time elect (i) to provide for the replacement of any  Depository as the depository for the bonds of the New Series with another qualified depository, or  (ii) to discontinue the maintenance of the bonds of the New Series under book-entry system.  In  such event, the Trustee shall give 30 days’ prior notice of such election to the Depository (or such  fewer number of days acceptable to such Depository).  (d) Upon the discontinuance of the maintenance of the bonds of the New Series  under a book-entry system, the Company will cause the bonds to be issued directly to the beneficial  owners of the bonds of the New Series, or their designees, as further described below.  In such  event, the Trustee shall make provisions to notify participants and beneficial owners of the bonds  of the New Series, by mailing an appropriate notice to the Depository, that bonds of the New Series  will be directly issued to beneficial owners of the bonds as of a date set forth in such notice (or  such fewer number of days acceptable to such Depository).  (e) In the event that bonds of the New Series are to be issued to beneficial owners  of the bonds, or their designees, the Company shall promptly have bonds of the New Series  prepared in certificated form registered in the names of the beneficial owners of such bonds shown  on the records of the participants provided to the Trustee, as of the date set forth in the notice  above.  Bonds issued to beneficial owners, or their designees shall be substantially in the form set  forth in this Supplemental Indenture, but will not include the provision related to global securities.  (f) If the Depository is replaced as the depository for the bonds of the New Series  with another qualified depository, the Company will issue a replacement global security  substantially in the form set forth in this Supplemental Indenture.  (g) The Company and the Trustee shall have no liability for the failure of any  Depository to perform its obligations to any participant, any indirect participant or any beneficial  owner of any bonds of the New Series, and the Company and the Trustee shall not be liable for the  failure of any participant, indirect participant or other nominee of any beneficial owner or any  bonds of the New Series to perform any obligation that such participant, indirect participant or  other nominee may incur to any beneficial owner of the bonds of the New Series.  (h) Notwithstanding any other provision of the Mortgage, on or prior to the date of  issuance of the bonds of the New Series, the Trustee shall have executed and delivered to the initial  

 

   25  Depository a Letter of Representations governing various matters relating to the Depository and  its activities pertaining to the bonds of the New Series.  The terms and provisions of such Letter  of Representations are incorporated herein by reference and, in the event there shall exist any  inconsistency between the substantive provisions of the said Letter of Representations and any  provisions of the Mortgage, then, for as long as the initial Depository shall serve as depository  with respect to the bonds of the New Series, the terms of the Letter of Representations shall govern.   (i) The Company and the Trustee may rely conclusively upon (i) a certificate of  the Depository as to the identity of a participant in the book-entry system; (ii) a certificate of any  participant as to the identity of any indirect participant and (iii) a certificate of any participant or  any indirect participant as to the identity of, and the respective principal amount of bonds of the  New Series owned by, beneficial owners.  Section 3. So long as the bonds of the New Series are held by The Depository Trust  Company, such bonds of the New Series shall bear the following legend:  UNLESS THIS BOND IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE  OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO  THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR  PAYMENT, AND ANY BOND ISSUED IS REGISTERED IN THE NAME OF CEDE & CO.   OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED  REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO.  OR TO  SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF  DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR  OTHERWISE BY A PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER  HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.  Section 4. So long as any of the bonds of the New Series remain outstanding, the Company  shall keep at its office or agency in the Borough of Manhattan, The City of New York, as well as  at the office of the Trustee in the City of Philadelphia, Pennsylvania, books for the registry and  transfer of outstanding bonds of the New Series, in accordance with the terms and provisions of  the bonds of the New Series and the provisions of Section 8 of Article I of said Mortgage.  Section 5. So long as any bonds of the New Series remain outstanding, the Company shall  maintain an office or agency in the City of Philadelphia, Pennsylvania, and an office or agency in  the Borough of Manhattan, The City of New York, for the payment upon proper demand of the  principal of, the interest on, or the redemption price of the outstanding bonds of the New Series,  and will from time to time give notice to the Trustee of the location of such office or agency.  In  case the Company shall fail to maintain for such purpose an office or agency in the City of  Philadelphia or shall fail to give such notice of the location thereof, then notices, presentations and  demands in respect of the bonds of the New Series may be given or made to or upon the Trustee  at its office in the City of Philadelphia and the principal of, the interest on, and the redemption  price of said bonds in such event be payable at said office of the Trustee.  All bonds of the New  Series when paid shall forthwith be cancelled.  Section 6. The record date for determining the registered holder of this bond entitled to an  interest payment shall be fourteen calendar days prior to any interest payment date.  Only the  

 

   26  registered holder of such bond on such record date shall be entitled to receive such payment,  notwithstanding any transfer of such bond upon the registration books subsequent to such record  date.  Section 7. The bonds of the New Series shall be issued under and subject to all of the terms  and provisions of the Mortgage, of the indentures supplemental thereto referred to in the recitals  hereof and of this Supplemental Indenture which may be applicable to such bonds or applicable to  all bonds issued under the Mortgage and indentures supplemental thereto.  ARTICLE III.    ISSUE AND AUTHENTICATION OF  BONDS OF THE NEW SERIES  In addition to any bonds of any series which may from time to time be executed by the  Company and authenticated and delivered by the Trustee upon compliance with the provisions of  the Mortgage and/or of any indenture supplemental thereto, bonds of the New Series of an  aggregate principal amount of $350,000,000 shall forthwith be executed by the Company and  delivered to the Trustee, and the Trustee shall thereupon, whether or not this Supplemental  Indenture shall have been recorded, authenticate and deliver said bonds to or upon the written order  of the President, a Vice President, the Treasurer, or the Assistant Treasurer of the Company, under  the terms and provisions of paragraph (e) of Section 3 of Article II of the Mortgage, as amended.  ARTICLE IV.    REDEMPTION OF BONDS OF THE  NEW SERIES    Section 1. The bonds of the New Series shall be redeemable at the option of the Company,  as a whole or in part, at any time upon notice sent by the Company through the mail, postage  prepaid, or electronically delivered (or otherwise transmitted in accordance with DTC’s (or another  depositary’s) procedures) at least ten (10) days and not more than sixty (60) days prior to the date  fixed for redemption, to the registered holder of each bond to be redeemed, addressed to such  holder at his address appearing upon the registration books.  At any time prior to November 15,  2051 (six months prior to the maturity date of the bonds of the New Series) (the “Par Call Date”),  the redemption price shall be equal to the greater of (1) 100% of the principal amount of the bonds  to be redeemed; and (2) (a) the sum of the present values of the remaining scheduled payments of  principal and interest thereon discounted to the redemption date (assuming the bonds to be  redeemed matured on the Par Call Date) on a semi-annual basis (assuming a 360-day year  consisting of twelve 30-day months) at the Treasury Rate plus 25 basis points less (b) interest  accrued to the redemption date; plus, in each case, accrued and unpaid interest to, but not including,  the redemption date.  Unless the Company defaults in payment of the redemption price, on and  after the redemption date, interest will cease to accrue on the bonds of the New Series or portions  of the bonds of the New Series called for redemption.  On or after the Par Call Date, the Company  may redeem the bonds of the New Series, in whole or in part, at any time and from time to time,  at a redemption price equal to 100% of the principal amount of the bonds of the New Series being  redeemed plus accrued and unpaid interest thereon to the redemption date.   

 

   27  For purposes of this Section 1, “Treasury Rate” means, with respect to any redemption  date, the yield determined by the Company in accordance with the following two paragraphs.  The Treasury Rate shall be determined by the Company after 4:15 p.m., New York City  time (or after such time as yields on U.S. government securities are posted daily by the Board of  Governors of the Federal Reserve System), on the third Business Day preceding the redemption  date based upon the yield or yields for the most recent day that appear after such time on such day  in the most recent statistical release published by the Board of Governors of the Federal Reserve  System designated as “Selected Interest Rates (Daily) - H.15” (or any successor designation or  publication) (“H.15”) under the caption “U.S. government securities–Treasury constant  maturities–Nominal” (or any successor caption or heading). In determining the Treasury Rate, the  Company shall select, as applicable: (1) the yield for the Treasury constant maturity on H.15  exactly equal to the period from the redemption date to the Par Call Date (the “Remaining Life”);  or (2) if there is no such Treasury constant maturity on H.15 exactly equal to the Remaining Life,  the two yields – one yield corresponding to the Treasury constant maturity on H.15 immediately  shorter than and one yield corresponding to the Treasury constant maturity on H.15 immediately  longer than the Remaining Life – and shall interpolate to the Par Call Date on a straight-line basis  (using the actual number of days) using such yields and rounding the result to three decimal places;  or (3) if there is no such Treasury constant maturity on H.15 shorter than or longer than the  Remaining Life, the yield for the single Treasury constant maturity on H.15 closest to the  Remaining Life.  For purposes of this paragraph, the applicable Treasury constant maturity or  maturities on H.15 shall be deemed to have a maturity date equal to the relevant number of months  or years, as applicable, of such Treasury constant maturity from the redemption date.  If on the third Business Day preceding the redemption date H.15 or any successor  designation or publication is no longer published, the Company shall calculate the Treasury Rate  based on the rate per annum equal to the semi-annual equivalent yield to maturity at 11:00 a.m.,  New York City time, on the second Business Day preceding such redemption date of the United  States Treasury security maturing on, or with a maturity that is closest to, the Par Call Date, as  applicable.  If there is no United States Treasury security maturing on the Par Call Date but there  are two or more United States Treasury securities with a maturity date equally distant from the Par  Call Date, one with a maturity date preceding the Par Call Date and one with a maturity date  following the Par Call Date, the Company shall select the United States Treasury security with a  maturity date preceding the Par Call Date.  If there are two or more United States Treasury  securities maturing on the Par Call Date or two or more United States Treasury securities meeting  the criteria of the preceding sentence, the Company shall select from among these two or more  United States Treasury securities the United States Treasury security that is trading closest to par  based upon the average of the bid and asked prices for such United States Treasury securities at  11:00 a.m., New York City time.  In determining the Treasury Rate in accordance with the terms  of this paragraph, the semi-annual yield to maturity of the applicable United States Treasury  security shall be based upon the average of the bid and asked prices (expressed as a percentage of  principal amount) at 11:00 a.m., New York City time, of such United States Treasury security, and  rounded to three decimal places.  “Business Day” means any day that is not a day on which banking institutions in New York  City are authorized or required by law or regulation to close.  

 

   28  The Company’s actions and determinations in determining the redemption price shall be  conclusive and binding for all purposes, absent manifest error.  In the case of a partial redemption,  selection of the bonds of the New Series for redemption will be made pro rata, by lot or by such  other method as the Trustee in its sole discretion deems appropriate and fair.  No bonds of the New  Series of a principal amount of $2,000 or less will be redeemed in part. If any bond of the New  Series is to be redeemed in part only, the notice of redemption that relates to the bond will state  the portion of the principal amount of the bonds of the New Series to be redeemed.  A new bond  of the New Series in a principal amount equal to the unredeemed portion of the bonds of the New  Series will be issued in the name of the holder of the bonds of the New Series upon surrender for  cancellation of the original bonds of the New Series.  For so long as the bonds of the New Series  are held by DTC (or another depositary), the redemption of the bonds of the New Series shall be  done in accordance with the policies and procedures of the depositary.  Section 2. In case the Company shall desire to exercise such right to redeem and pay off  all or any part of such bonds of the New Series as hereinbefore provided it shall comply with all  the terms and provisions of Article III of the Mortgage, as amended, applicable thereto, and such  redemption shall be made under and subject to the terms and provisions of Article III and in the  manner and with the effect therein provided, but at the time or times and upon mailing of notice,  all as hereinbefore set forth in Section 1 of this Article. No publication of notice of any redemption  of any bonds of the New Series shall be required.  ARTICLE V.    CERTAIN EVENTS OF DEFAULT; REMEDIES  Section 1.  So long as any bonds of the New Series remain outstanding, in case one or more  of the following events shall happen, such events shall, in addition to the events of default  heretofore enumerated in paragraphs (a) throughout (d) of Section 2 of Article VIII of the  Mortgage, constitute an “event of default” under the Mortgage, as fully as if such events were  enumerated therein:  (e) default shall be made in the due and punctual payment of the principal  (including the full amount of any applicable optional redemption price) of any bond or  bonds of the New Series whether at the maturity of said bonds, or at a date fixed for  redemption of said bonds, or any of them, or by declaration as authorized by the Mortgage;  Section 2.  So long as any bonds of the New Series remain outstanding, Section 10 of  Article VIII of the Mortgage, as heretofore amended, is hereby further amended by inserting in the  first paragraph of such Section 10, immediately after the words “as herein provided,” at the end of  clause (2) thereof, the following:  “or (3) in case default shall be made in any payment of any interest on any bond or bonds  secured by this indenture or in the payment of the principal (including any applicable optional  redemption price) of any bond or bonds secured by this indenture, where such default is not of the  character referred to in clause (1) or (2) of this Section 10 but constitutes an event of default within  the meaning of Section 2 of this Article VIII.”  

 

   29  ARTICLE VI.    CONCERNING THE TRUSTEE  The Trustee hereby accepts the trust herein declared and provided and agrees to perform  the same upon the terms and conditions set forth in the Mortgage, as amended and supplemented,  and upon the following terms and conditions:  The Trustee shall not be responsible in any manner whatsoever for or in respect of the  validity of this Supplemental Indenture or the due execution hereof by the Company or for or in  respect of the recitals contained herein, all of which recitals are made by the Company solely.  ARTICLE VII.    MISCELLANEOUS  Section 1. Unless otherwise clearly required by the context, the term “Trustee,” or any  other equivalent term used in this Supplemental Indenture, shall be held and construed to mean  the trustee under the Mortgage for the time being whether the original or a successor trustee.  Section 2. The headings of the Articles of this Supplemental Indenture are inserted for  convenience of reference only and are not to be taken to be any part of this Supplemental Indenture  or to control or affect the meaning of the same.  Section 3. Nothing expressed or mentioned in or to be implied from this Supplemental  Indenture or in or from the bonds of the New Series is intended, or shall be construed, to give any  person or corporation, other than the parties hereto and their respective successors, and the holders  of bonds secured by the Mortgage and the indentures supplemental thereto, any legal or equitable  right, remedy or claim under or in respect of such bonds or the Mortgage or any indenture  supplemental thereto, or any covenant, condition or provision therein or in this Supplemental  Indenture contained. All the covenants, conditions and provisions thereof and hereof are for the  sole and exclusive benefit of the parties hereto and their successors and of the holders of bonds  secured by the Mortgage and indentures supplemental thereto.  Section 4. This Supplemental Indenture may be executed in several counterparts, each of  which shall be an original and all collectively but one instrument.  Section 5. This Supplemental Indenture shall be effective as of May 1, 2022, but was  actually executed and delivered as of May 1, 2022.    [Remainder of this page intentionally left blank] 

 

   Supplemental Indenture – Company’s Signature Page  IN WITNESS WHEREOF, an Authorized Officer of the party of the first part and a Vice  President of the party of the second part, under and by the authority vested in them, have hereto  affixed their signatures this 1st day of May, 2022.    PECO ENERGY COMPANY    By_______________________________        Elizabeth M. Hensen, Authorized Officer    

 

   Supplemental Indenture – Trustee’s Signature Page  U.S. BANK NATIONAL ASSOCIATION,  Trustee    By________________________________  George J. Rayzis  Vice President      

 

   Supplemental Indenture – Company’s Notary Page    STATE OF ILLINOIS )          )  SS.   COUNTY OF COOK  )     On this, the 1st day of May, 2022, before me, a Notary Public in and for the State of Illinois,  the undersigned officer, personally appeared Elizabeth M. Hensen, who acknowledged herself to  be an Authorized Officer of PECO Energy Company, a Pennsylvania corporation, and that she as  such officer, being authorized to do so, executed the foregoing instrument for the purposes therein  contained, by signing the name of the corporation by herself as such officer.   In witness whereof, I hereunto set my hand and official seal.           __________________________________           Notary Public  My Commission expires:  [NOTARIAL SEAL]  

 

   Supplemental Indenture – Trustee’s Notary Page    COMMONWEALTH OF PENNSYLVANIA :          :  SS.  COUNTY OF _____________________   :     On this, the _____ day of May, 2022, before me, a Notary Public in and for the  Commonwealth of Pennsylvania, the undersigned officer, personally appeared George J. Rayzis  who acknowledged himself to be the Vice President of U.S. Bank National Association, a national  banking association, as Trustee, and that he as such officer, being authorized to do so, executed  the foregoing instrument for the purposes therein contained, by signing the name of the national  banking association, as Trustee, by himself as such officer.   In witness whereof, I hereunto set my hand and official seal.           ____________________________________           Notary Public  My Commission expires:  [NOTARIAL SEAL]        

 

     CERTIFICATE OF RESIDENCE  U.S. Bank National Association, Mortgagee and Trustee within named, hereby certifies  that its precise address in the City of Philadelphia is 50 South 16th Street, Philadelphia,  Pennsylvania 19102.        U.S. BANK NATIONAL ASSOCIATION,  Trustee      By________________________________  George J. Rayzis  Vice President  

 

   A-1    Exhibit A    2900 Ellsworth Street   2918-2922 Ellsworth Street  2930-2934 Ellsworth Street  City and County of Philadelphia, PA    PREMISES "A"    ALL THAT CERTAIN lot or piece of ground SITUATE in the 36th Ward of the City of  Philadelphia and described in accordance with a Survey and Plan of Property made by Paul N.  Lonie, Surveyor and Regulator of the Second Survey District, dated January 27, 1995, as revised,  ALTA NSPS Land Title Survey by Ruggiero Plante Land Design, dated April 19, 2021, as  follows to wit:    BEGINNING at a point of intersection of the Southwesterly side of Ellsworth Street (50 feet  wide) with the Northwesterly side of 29th Street (50 feet wide); thence extending South 43  degrees 41 minutes 27 seconds West along the Northwesterly side of said 29th Street and partly  crossing a certain 4 feet wide alley (proposed to be abandoned) which extends Northwestwardly  and communicates with a proposed 4 feet wide alley that extends Northeastwardly to the  Southwesterly side of said Ellsworth Street and also partly crossing the head of the bed of former  Annin Street (40 feet wide, stricken from City Plan and vacated-reserved as a right of way for  drainage, gas main, and public utility purposes) and also partly crossing a certain second 4 feet  wide alley (proposed to be abandoned) which leads Northwestwardly a certain distance, the  distance of 233.281 feet to a point on the Southwesterly side of said second mentioned 4 feet  wide alley (proposed to be abandoned); thence extending North 46 degrees 20 minutes 29  seconds West, the distance of 779.173 feet to a point on the Southeasterly side of The Schuylkill  River East Side Railroad; thence extending the following four courses and distances along the  Southeasterly side of said railroad; (1) North 68 degrees 16 minutes 58 seconds East the distance  of 38.370 feet; (2) North 67 degrees 12 minutes 35 seconds East the distance of 100.313 feet; (3)  North 64 degrees 12 minutes 35 seconds East the distance of 100.685 feet; (4) North 61 degrees  56 minutes 23 seconds East, the distance of 13.424 feet to a point on the Southwesterly side of  said Ellsworth Street; thence extending South 46 degrees 17 minutes 33 seconds East and partly  crossing the head of the bed of the former Schuylkill Avenue (stricken from City Plan and  Vacated reserved as a right of way for drainage purposes) and also partly crossing the head of the  bed of a 4 feet wide alley (proposed to be abandoned) and also partly crossing the head of  previously mentioned proposed 4 feet wide alley, the distance of 427.681 feet to a point on the  Southeasterly side of said proposed 4 feet wide alley; thence extending South 43 degrees 41  minutes 27 seconds West along the Southeasterly side of said alley the distance of 70.219 feet to  a point on the Northeasterly side of the said first mentioned 4 feet wide alley (proposed to be  abandoned); thence extending South 46 degrees 17 minutes 33 seconds East the distance of  42.00 feet to a point; thence extending North 43 degrees 41 minutes 27 seconds East the distance  of 70.177 feet to a point on the Southwesterly side of said Ellsworth Street; thence extending  South 46 degrees 17 minutes 33 seconds East along the Southwesterly side of said Ellsworth  Street the distance of 42.00 feet to a point; thence extending South 43 degrees 41 minutes 27  

 

   A-2  seconds West, the distance of 70.146 feet to a point on the Northeasterly side of said 4 feet wide  alley; thence extending South 46 degrees 20 minutes 29 seconds East along said alley the  distance of 42.00 feet to a point; thence extending North 43 degrees 41 minutes 27 seconds East  the distance of 70.115 feet to a point on the Southwesterly side of said Ellsworth Street; thence  extending South 46 degrees 17 minutes 33 seconds East along the Southwesterly side of said  Ellsworth Street the distance of 130.00 feet to the first mentioned point and place of beginning.  PREMISES "B"  ALL THAT CERTAIN lot or piece of ground SITUATE in the 36th Ward of the City of  Philadelphia and described in accordance with a Survey and Plan of Property made by Paul  N. Lonie, Surveyor and Regulator of the Second Survey District, dated January 27, 1995 as  follows, to wit:  BEGINNING at a point on the Southwesterly side of Ellsworth Street (50 feet wide), at  the distance of 763.090 feet Northwestwardly from the Northwesterly side of 29th Street;  thence extending Southwestwardly and passing along the Northwesterly side of Schuylki ll  River East Side Railroad on the arc of a circle curving to the right having a radius of  1906.265 feet and sub-tending an angle of 7 degrees 47 minutes 57 seconds and extending  the arc distance of 259.493 feet; thence extending North 46 degrees 20 minutes 29 seconds  West the distance of 99.993 feet to a point on the Pierhead and Bulkhead line of the  Schuylkill River; thence extending North 80 degrees 08 minutes 48.4 seconds East along  said Pierhead and Bulkhead line, the distance of 166.336 feet to a point; thence extending  North 74 degrees 20 minutes 23.3 seconds East still along said Pierhead and Bulkhead line  the distance of 116.561 feet to a point on the Southwesterly side of said Ellsworth Street;  thence extending South 46 degrees 17 minutes 33 seconds eat along the Southwesterly  side of said Ellsworth the distance of 53.434 feet to the first mentioned point and place of  beginning.  BEING known as 2900-2940 Ellsworth Street.  PREMISES "C"  ALL THAT CERTAIN lot or piece of ground, with the buildings and improvements thereon  erected,  SITUATE on the South side of Ellsworth Street, at the distance of 130 feet Westward from  the West side of 29th Street, in the 36th Ward of the City of Philadelphia;  CONTAINING in front or breadth on the said Ellsworth Street 14 feet and extending of that  width, in length or depth Southward, 70 feet to a certain 4 feet wide alley, which extends  Westward from the said 29th Street and communicates at its Westernmost end with a certain  other alley, 4 feet wide, which extends Northward and Southward from the said Ellsworth  Street to Annin Street.  BEING NO. 2918 Ellsworth Street.     

 

   A-3  PREMISES "D"  ALL THAT CERTAIN lot or piece of ground, with the buildings and improvements thereon  erected, SITUATE on the South side of Ellsworth Street, at the distance of 144 feet Westward  from the West side of 29th Street, in the 36th Ward of the City of Philadelphia.  CONTAINING in front or breadth on the said Ellsworth Street 14 feet and extending of that  width, in length or depth Southward, 70 feet to a certain 4 feet wide alley, which extends  Westward from the said 29th Street and communicates at its Westernmost end with a certain  other alley 4 feet wide, which extends Northward and Southward from the said Ellsworth  Street to Annin Street.  BEING NO. 2920 Ellsworth Street,  PREMISES "E"   ALL THAT CERTAIN lot or piece of ground, with the messuage or tenement thereon  erected,  SITUATE on the South side of Ellsworth Street, in the 36th Ward of the City of Philadelphia,  at the distance of 158 feet Westward from the West side of 29th Street.  CONTAINING in front or breadth on the said Ellsworth Street 14 feet and extending of that  width, in length or depth Southward, 70 feet to a 4 feet wide alley, extending Westward from  the said 29th Street and communicating at its Western end, with another 4 feet wide alley,  leading from Ellsworth Street to Annin Street.  BEING NO. 2922 Ellsworth Street.  PREMISES "F"  ALL THAT CERTAIN lot or piece of ground with the messuage or tenement thereon  erected,  SITUATE on the South side of Ellsworth Street, at the distance of 214 feet Westward from the  West side of 29th Street, in the 36th Ward of the City of Philadelphia.  CONTAINING in front or breadth on the said Ellsworth Street 14 feet and extending of that  width, in length or depth Southward, 70 feet to a 4 feet wide alley, extending Westward from  29th Street and communicating at its Western end, with another 4 feet wide alley, extending  from Ellsworth Street to Annin (formerly Hummel) Street.  BEING NO. 2930 Ellsworth Street.  PREMISES "G"  ALL THAT CERTAIN lot or piece of ground, with the buildings and improvements thereon  erected, SITUATE on the South side of Ellsworth Street, at the distance of 228 feet Westward  from the West side of 29th Street, in the 36th Ward of the City of Philadelphia.  

 

   A-4  CONTAINING in front or breadth on the said Ellsworth Street 14 feet and extending of that  width, in length or depth Southward, between parallel lines at right angles to the said  Ellsworth Street, 70 feet to a certain 4 feet wide alley, leading Westward from 29th Street,  into another 4 feet wide alley, leading North and South from said Ellsworth Street to Annin  Street.  BEING NO. 2932 Ellsworth Street.  PREMISES "H"  ALL THAT CERTAIN lot or piece of ground, with the buildings and improvements  thereon erected,  SITUATE on the South side of Ellsworth Street, at the distance of 242 feet Westward from  the West side of 29th Street, in the 36th Ward of the City of Philadelphia.  CONTAINING in front or breadth on the said Ellsworth Street 14 feet and extending of that  width, in length or depth Southward, between parallel lines at right angles with the said  Ellsworth Street, 70 feet to a certain 4 feet wide alley, leading North and South from said  Ellsworth Street to Annin Street.  BEING NO. 2934 Ellsworth Street.    1515-1523 North Delaware Avenue Premises  1525-1553 North Delaware Avenue Premises  City of Philadelphia, Philadelphia County, PA  PREMISES "A":  ALL THAT CERTAIN lot or piece of ground with the buildings and improvements thereon  erected.  SITUATE on the Southeasterly side of Richmond Street (now Delaware Avenue) at the  distance of 91 feet Northwardly from the Northerly side of Montgomery Avenue in the 18th  Ward of the City of Philadelphia.  CONTAINING in front or breadth on the said Richmond Street (now Delaware Avenue) 17  feet and extending of that width in length or depth Southeastwardly 70 feet.  BOUNDED Northeastwardly by ground now or late of Abraham P. Eyre, Southeastwardly by  lot of ground known as 1517 North Delaware Avenue. Southwestwardly by ground now or late  of James Burk and Northwestwardly by said Richmond Street (now Delaware Avenue).  ALSO, ALL THAT CERTAIN lot or piece of ground with the buildings and  improvements thereon erected.  SITUATE on the Northwesterly side of a certain Street called Savannah Street (now Allen  Street) of the width of 20 feet at the Northerly end thereof gradually widening as it  extends Southwardly to the width of 30 feet to thereabout laid out and opened by James  

 

   A-5  Burk between Richmond and Beach Street and Montgomery Avenue and Berks Street and  communicating at the Southerly end thereof with a certain 12 feet wide alley also laid out  and opened by the said James Burk, leading Southeastwardly into the said Beach Street in  the Ward and City aforesaid.  CONTAINING in front or breadth on the said Savannah Street 17 feet and extending of that  width in length or depth Northwestwardly between parallel lines at right angles with the said  Savannah Street 45 feet.  BOUNDED Southeastwardly by the said Savannah Street, Northwestwardly by the premises  first herein described, Northeastwardly and Southwestwardly by ground now or late of the  same James Burk.  BEING known as 1515 North Delaware Avenue.  PREMISES "B":  ALL THAT CERTAIN lot or piece of ground with the buildings and improvements thereon  erected.  SITUATE in the 18th Ward of the City of Philadelphia, described according to  Subdivision-Plot Plan and Building Addition to existing Storage Building (based on a  Survey Plan dated June 27, 1988 by Lawrence J. Cleary of the 3rd District) made for  Raymond C. Biddle by Oskar J. Udel, registered architect dated July 26, 1988, as  follows, to wit:  BEGINNING at a point by the intersection of the Northwesterly side of Beach  Street (50 feet wide) and the Southwesterly side of Berks Street (30 feet wide);  thence extending from said point of beginning South 59 degrees, 19 minutes, 33  seconds West along the said Northwesterly side of Beach Street the distance of  298.339 feet to a point on the Northeasterly side of Morse Street (12 feet wide);  thence extending North 28 degrees, 29 minutes, 57 seconds West along the said  Northeasterly side of Morse Street the distance of 114 feet to a point on the  Southeasterly side of Allen Street (variable width); thence extending Nort h 59  degrees, 19 minutes, 33 seconds East along the said Southeasterly side of Allen  Street the distance of 81.800 feet to a point on the Easterly end of said Allen Street;  thence extending North 28 degrees, 29 minutes, 57 seconds West along the said  Easterly end of Allen Street the distance of 22.343 feet to a point on the  Northeasterly side of Allen Street; thence extending South 65 degrees, 14 minutes,  3 seconds West along the said Northeasterly side of Allen Street the distance of  25.039 feet to a point ; thence extending North 28 degrees, 25 minutes, 57 seconds  West the distance of 45 feet to a point; thence extending South 65 degrees, 14  minutes, 3 seconds West the distance of 18 feet to a point; thence extending North  28 degrees, 29 minutes, 57 seconds West the distance of 70 feet to a point on the  Southeasterly side of Delaware Avenue (120 feet wide); thence extending North 65  degrees, 14 minutes, 3 seconds East along the said Southeasterly side of Delaware  Avenue the distance of 67.935 feet to a point ; thence extending South 28 degrees,  58 minutes, 27 seconds East the distance of 125 feet to a point; thence extending  North 65 degrees, 14 minutes, 3 seconds East the distance of 109.542 feet to a  point; thence extending North 56 degrees, 40 minutes, 3 se conds East the distance  of 80 458 feet to a point on the Southwesterly side of Berks Street, thence  

 

   A-6  extending South 28 degrees, 58 minutes, 27 seconds East along the said  Southwesterly side of Berks Street the distance of 116.161 feet to a point on the  said Northwesterly side of Beach Street, being the first mentioned point and place  of beginning.  BEING known as 1517-1523 North Delaware Street.   PREMISES "C":   ALL THE LAND with the benefits appurtenant thereto in the 18th Ward of the City of  Philadelphia, Philadelphia County, Pennsylvania, described as follows:  BEGINNING at a point at the intersection of the Southeasterly side of Delaware  Avenue (120 feet wide) with the Southwesterly side of Berks Street (30 feet wide);  extending thence (1) along said Southwesterly side of Berks Street, South 28  degrees 58 minutes 27 seconds East 125 feet 0 inches to a point thence (2) parallel  to Delaware Avenue the following (2) courses and distances: (a) South 56 degrees  40 minutes 03 seconds West 80 feet 5-1/2 inches to a point and (b) South 65  degrees 14 minutes 03 seconds West 109 feet 6 -1/2 inches to a point thence (3)  parallel to Berks Street, North 28 degrees 58 minutes 27 seconds West 125 feet 0  inches to a point on the aforesaid Southeasterly side of Delaware Avenue the  following (2) courses and distances (a) North 65 degrees 14 minutes 03 seconds  East 109 feet 6-1/2 inches to a point and (b) North 56 degrees 40 minutes 03  seconds East 80 feet 5-1/2 inches to the point and place of beginning.   BEING known as 1525-1555 North Delaware Avenue.  ALSO, BEING DESCRIBED AS FOLLOWS:    Premises "A":   ALL that certain piece, parcel or lot of land situate in the 18th Ward of the City of  Philadelphia, County of Philadelphia and State of Pennsylvania as described according to  "Boundary/Topography Plan for PECO Energy Company", referenced hereinafter, to wit:  BEGINNING at the division Line between the land now or formerly FB Delaware, LLC  described in Document Id. 51781416 and Premises A of the Boundary/Topography Plan for  PECO Energy Company (referenced hereinafter) intersected by the southeasterly side of N.  Delaware Avenue 120' wide legally open, said point being described by the following two (2)  courses;  1. Commencing from a point at the intersection of the southeasterly side of the N. Delaware  Avenue on City Plan 120' wide legally open and the easterly side of Berks Street 60' wide  legally open thence South 53°05'12" West along the southerly side of Delaware Avenue a  distance of 80.458 feet to a point;  2. Thence South 61°39'12" West continuing along the southeasterly side of N. Delaware  Avenue a distance of 194.477 feet to the POINT OF BEGINNING;  

 

   A-7  THENCE North 61°39'12" East along the said southeasterly right-of-way of Delaware  Avenue a distance of 17.000 feet to a point along the lands now or formerly of FB  Delaware, LLC, also being Premises B of the aforementioned Boundary/Topography Plan;   THENCE along the said lands now or formerly of FB Delaware, LLC South 32°04'48" East a  distance of 70.000 feet to a point, a common corner with the aforementioned Premises A and  B and lands now or formerly of Karielys Zareth Otero Quinones;  THENCE along said lands of Quinones South 32°04'48" East a distance of 45.002 feet to a  point on the Northwesterly side of Allen Street whose right-of-way varies and is legally  open;  THENCE along the Northwesterly side of said Allen Street South 61°39'12" West a  distance of 17.000 feet to a point a common corner with lands now or formerly of Dekap  Properties LP;  THENCE along said lands of Dekab Properties LP North 32°04'48" West a distance of  115.000 feet to the POINT OF BEGINNING;  All Distances are in Philadelphia District Standard Measure. 100.250' US Standard Equals  100.000 Philadelphia Standard.  CONTAINING 1,955 S.F. and being all of Premises A as shown on the  "Boundary/Topography Survey for 1515, 1517-23, 1525-55 N. Delaware Avenue"  prepared by RETTEW & Associates with a plan date of 8/6/2021 and last revised  09/01/21.  Premises "B":     ALL that certain piece, parcel or lot of land situate in the 18th Ward of the City of Philadelphia,  County of Philadelphia and State of Pennsylvania as described according to  "Boundary/Topography Plan for PECO Energy Company", referenced hereinafter, to wit:    BEGINNING at a point by the intersection of the northwesterly side of Beach Street 50' wide  legally opened and southwesterly side of Berks Street 30' wide legally open;    THENCE South 55°44'42" West along the northwesterly side of said Beach Street a distance of  298.339 feet to a point by the intersection of aforementioned Beach Street and the northeasterly  side of Morse Street 12' wide legally opened;  THENCE North 32°04'48" West along the northeasterly side of said Morse Street a distance of  114.000 feet to a point by the intersection of aforementioned Morse Street and the southeasterly  side of Allen Street of varying width;  THENCE along the southeasterly, northeasterly and northwesterly side of Allen Street  respectively the following three (3) courses and distances:  1. North 55°44'22" East a distance of 81.800 feet to a point;  2. North 32°04'48" West a distance of 22.343 feet to a point;  3. South 61°39'12" West a distance of 25.032 feet to a point a common corner with the  lands now or formerly of Karielys Zareth Otero Quinones;  

 

   A-8  THENCE along lands of said Quinones the following two (2) courses and distances:   1. North 32°00'48" West a distance of 45.002 feet to a point;  2. South 61°39'12" West a distance of 18.000 feet to a point in the line with lands now or  formerly FB Delaware, LLC being Premises A as shown on a plan referenced hereinafter.  THENCE North 32°04'48" West along the Northeasterly line of aforementioned Premises A  distance of 70.000 feet to a point a common corner with southeasterly side of N. Delaware  Avenue 120' wide legally opened;  THENCE along said side of N Delaware Avenue North 61°39'12" East a distance of 67.935  feet to a point, a common corner with other lands now or formerly of FB Delaware, LLC  being Premises C as shown on a plan referenced hereinafter.  THENCE along said Premises C the following three (3) courses and distances:   1. South 32°33'18" East a distance of 125.000 feet to a point;   2. North 61°39'12" East a distance of 109.542 feet to a point;   3. North 53°05'12" East a distance of 80.458 feet to a point on the southwesterly side of  said Berks Street;  THENCE along said southwesterly side of said Berks Street South 32°33'18" East a distance of  116.161 feet to the POINT OF BEGINNING;  All Distances are in Philadelphia District Standard Measure. 100.250' US Standard Equals  100.000 Philadelphia Standard.  CONTAINING 0.964 Acres or 41,995 S.F. District Standard Measure and being all of  Premises B as shown on the "Boundary/Topography Survey for 1515, 1517-23, 1525-55 N.  Delaware Avenue" prepared by RETTEW & Associates with a plan date of 8/6/2021 and last  revised 09/01/21.  Premises "C":  ALL that certain piece, parcel or lot of land situate in the 18th Ward of the City of  Philadelphia, County of Philadelphia and State of Pennsylvania as described according to  "Boundary/Topography Plan for PECO Energy Company", referenced hereinafter, to wit:  BEGINNING at a point by the intersection of the southeasterly side of N. Delaware Avenue  120' wide legally opened and southwesterly side of Berks Street 30' wide legally open;  THENCE South 32°33'18" East along the northwesterly side of said Berks Street a distance of  125.000 feet to a point by other lands now or formerly of FB Delaware, LLC being Premises B  on a plan prepared by Rettew Associates described hereinafter;  THENCE along lands of said Premises B the following three (3) courses and distances:   1. South 53°05'12" West a distance of 80.458 feet to a point;  2. South 61°39'12" West a distance of 109.542 feet to a point;  

 

   A-9  3. North 32°33'18" West a distance of 125.000 feet to a point on the southwesterly side of  said N. Delaware Avenue;  THENCE along said southwesterly side of N. Delaware Avenue the following two (2) courses  and distances:  1. North 61°39'12" East a distance of 109.542 feet to a point;   2. North 53°05'12" East a distance of 80.458 feet to the POINT OF BEGINNING.  All Distances are in Philadelphia District Standard Measure. 100.250' US Standard Equals  100.000 Philadelphia Standard.  CONTAINING 0.545 Acres or 23,744 S.F. District Standard Measure and being all of  Premises C as shown on the "Boundary/Topography Survey for 1515, 1517-23, 1525-55 N.  Delaware Avenue" prepared by RETTEW & Associates with a plan date of 8/6/2021 and  last revised 09/01/21.  Front Street   West Front Street   Chester City, Delaware County, PA  ALL THAT CERTAIN lot or piece of land with the buildings and improvements thereon  erected, situate in the City of Chester, County of Delaware and State of Pennsylvania, and  being more fully described according to an ALTA/NSPS for Excelon Generation Corp.,  LLC Chester Substation-Delco Tap, prepared by Rettew Associates, Inc., Drawing No.  031002041, dated 04/07/2020, last revised 07/01/2021, being more fully bounded and  described as follows, to wit:  BEGINNING a corner marker to be set on the easterly right-of-way of Highland Avenue  (60' wide) at a distance of 70.00 feet measured southeastwardly along the said easterly right- of-way of Highland Avenue from its intersection with the southerly right-of-way of Front  Street (60' wide - unopened);  THENCE by lands now or former Conrail, the following three (3) courses and distances:  1. N 38° 03' 02" E, a distance of 125.00 feet to a corner marker to be set;  2. N 54° 18' 39" E, a distance of 590.98 feet to an iron pin with cap found;  3. S 86° 45' 39" W, a distance of 65.23 feet to an iron pin with cap found on the said  southerly right-of-way of Front Street,  THENCE along the said southerly right-of-way of Front Street N 54° 18' 39" E a distance of  37.27' to an iron pin found;  THENCE along the said lands now or former Conrail, the following six (6) courses and  distances:  4. N 86° 45' 39" E, a distance of 65.23 feet;  5. N 54° 18' 39" E, a distance of 73.00 feet;  

 

   A-10  6. S 35° 41' 21" E, a distance of 30.00 feet,  7. N 54° 18' 39" E, a distance of 366.80 feet to a found MAG nail;  8. Along a curve to the right having radius of 357.81' an arc length of 281.65 feet, and a  chord which bears N 76° 51' 41" E a chord distance of 274.43 feet;  9. Along the said lands now or former Conrail and the northerly right-of-way of  Seaport Drive (formerly known as Delaware Avenue) S 35° 41' 21" E a distance of 159.76'  to a corner marker to be set on the northerly right-of-way line of Seaport Drive (Variable  Width);  THENCE along the said northerly right-of-way line of Seaport Drive the following five (5)  courses and distances:  1. S 54° 18' 39" W a distance of 183,81 feet;  2. Along a curve to the left having a radius of 320.00 feet an arc length of 237.28 feet  having a chord which bears S 33° 04' 05" W a chord distance of 231.89 feet;  3. S 11° 49' 31" W a distance of 417.55 feet;  4. Along a curve to the right having a radius of 220.00 feet an arc length of 163.13 feet  having a chord which bears S 33° 04' 05" W a chord distance of 159.42 feet;  5. S 54° 18' 39" W a distance of 585.05 feet to a corner marker to be set in the said  easterly right-of-way line of Highland Avenue;  THENCE along said easterly right-of-way line of Highland Avenue N 35° 41' 21" W a  distance of 683.80 feet to the POINT OF BEGINNING.  Containing: 17.924 Acres / 780,758 Square Feet.  Tax ID / Parcel No. 49-11-01454-01 (A) 49-11-01454-03 (B)    1215 South Trooper Road  Lower Providence Township  Montgomery County, PA   ALL THAT CERTAIN parcel or tract of land Situate in Lower Providence Township,  Montgomery County, Commonwealth of Pennsylvania, bounded and described as follows,  according to a Topographic Survey Sheets 1 and 2 made for Mobil Oil Corporation by Urwiler  and Watler, Inc., dated July 17, 1969, as follows, to wit:  BEGINNING at a point being near the intersection of the Title lines in the bed of Audubon  Road (LR 46064) & Trooper Road (LR 463); thence extending in and along the bed of Trooper  Road (LR 463) South 38 degrees 51 minutes West 335.00 feet to a point; thence leaving the  bed of Trooper Road (LR 463) and extending along lands of Walter J. Parry North 51 degrees  

 

   A-11  09 minutes West 300.00 feet to a spike; thence extending along lands of Ignatius F. Kwasizur  the two following courses and distances: (1) North 28 degrees 27 minutes East 42.66 feet to an  iron pin in concrete and (2) North 47 degrees 45 minutes East 300.00 feet to a P.K. nail near the  centerline of Audubon Road (LR 46064); thence extending in and along the bed of Audubon  Road (LR 46064) South 50 degrees 25 minutes East 261.31 feet to the point and place of  beginning.  EXCEPTING THEREFROM AND THEREOUT premises which Richard W. McPhillips  conveyed to Commonwealth of Pennsylvania Department of Transportation by deed dated 2- 22-2012 and recorded 9-6-2012 in Deed Book 5847 Page 1350.  Tax ID / Parcel No. 43-00-15103-00-1Exhibit
10.1

 

NEITHER
THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE
HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES
ACT OF 1933, AS AMENDED, OR (B) AN OPINION OF LEGAL COUNSEL TO THE HOLDER (IF REQUESTED BY THE COMPANY), IN A FORM REASONABLY ACCEPTABLE
TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD OR ELIGIBLE TO BE SOLD PURSUANT TO RULE 144 OR RULE
144A UNDER SAID ACT. NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER
LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES. THE NUMBER OF SHARES OF COMMON STOCK ISSUABLE UPON EXERCISE OF THIS WARRANT
MAY BE LESS THAN THE AMOUNTS SET FORTH ON THE FACE HEREOF PURSUANT TO SECTION 1(a) OF THIS WARRANT.

 

CRYPTYDE,
INC.

 

WARRANT
TO PURCHASE COMMON STOCK

Warrant
No.: 3

 

Date
of Issuance: May 18, 2022 (“Issuance Date”)

 

Cryptyde,
Inc., a Delaware corporation (the “Company”), hereby certifies that, for good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, HUDSON BAY MASTER FUND LTD., the registered holder hereof or its permitted assigns
(the “Holder”), is entitled, subject to the terms set forth below, to purchase from the Company, at the Exercise Price
(as defined below) then in effect, upon exercise of this Warrant to Purchase Common Stock (including any Warrants to Purchase Common
Stock issued in exchange, transfer or replacement hereof, the “Warrant”), at any time or times on or after the Initial
Exercisability Date, but not after 11:59 p.m., New York time, on the Expiration Date (as defined below), EIGHT MILLION SIX HUNDRED FIFTY
TWO THOUSAND FOUR HUNDRED NINETEEN (8,652,419) (subject to adjustment as provided herein) fully paid and non-assessable shares of Common
Stock (as defined below) (the “Warrant Shares”). Except as otherwise defined herein, capitalized terms in this Warrant
shall have the meanings set forth in Section 19. This Warrant is one of the Warrants to Purchase Common Stock (the “Warrants”)
issued pursuant to Section 1 of that certain Amendment Agreement, dated as of November 11, 2021 (the “Subscription Date”),
by and between the Company and the investor (the “Buyer”) referred to therein, as amended from time to time (the “Amendment
Agreement”).

 

    	1

     

    

 

1.
EXERCISE OF WARRANT.

 

(a)
Mechanics of Exercise. Subject to the terms and
conditions hereof (including, without limitation, the limitations set forth in Section 1(f)), this Warrant may be exercised by the Holder
on any day on or after the Initial Exercisability Date (an “Exercise Date”), in whole or in part, by delivery (whether
via facsimile or otherwise) of a written notice, in the form attached hereto as Exhibit A (an “Exercise Notice”),
of the Holder’s election to exercise this Warrant. Within one (1) Trading Day following an exercise of this Warrant as aforesaid,
the Holder shall deliver payment to the Company of an amount equal to the Exercise Price in effect on the date of such exercise multiplied
by the number of Warrant Shares as to which this Warrant was so exercised (the “Aggregate Exercise Price”) in cash
or via wire transfer of immediately available funds if the Holder did not notify the Company in such Exercise Notice that such exercise
was made pursuant to a Cashless Exercise (as defined in Section 1(d)(1)). The Holder shall not be required to deliver the original of
this Warrant in order to effect an exercise hereunder. Execution and delivery of an Exercise Notice with respect to less than all of
the Warrant Shares shall have the same effect as cancellation of the original of this Warrant and issuance of a new Warrant evidencing
the right to purchase the remaining number of Warrant Shares. Execution and delivery of an Exercise Notice for all of the then-remaining
Warrant Shares shall have the same effect as cancellation of the original of this Warrant after delivery of the Warrant Shares in accordance
with the terms hereof. On or before the first (1st) Trading Day following the date on which the Company has received an Exercise Notice,
the Company shall transmit by facsimile or electronic mail an acknowledgment of confirmation of receipt of such Exercise Notice, in the
form attached hereto as Exhibit B, to the Holder and the Company’s transfer agent (the “Transfer Agent”), which
confirmation shall constitute an instruction to the Transfer Agent to process such Exercise Notice in accordance with the terms herein.
On or before the second (2nd) Trading Day following the date on which the Company has received such Exercise Notice (or such earlier
date as required pursuant to the 1934 Act or other applicable law, rule or regulation for the settlement of a trade of such Warrant Shares
initiated on the applicable Exercise Date), the Company shall (X) provided that the Transfer Agent is participating in The Depository
Trust Company (“DTC”) Fast Automated Securities Transfer Program, upon the request of the Holder, credit such aggregate
number of shares of Common Stock to which the Holder is entitled pursuant to such exercise to the Holder’s or its designee’s
balance account with DTC through its Deposit/Withdrawal at Custodian system, or (Y) if the Transfer Agent is not participating in the
DTC Fast Automated Securities Transfer Program, upon the request of the Holder, issue and deliver (via reputable overnight courier) to
the address as specified in the Exercise Notice, a certificate, registered in the name of the Holder or its designee, for the number
of shares of Common Stock to which the Holder shall be entitled pursuant to such exercise. Upon delivery of an Exercise Notice, the Holder
shall be deemed for all corporate purposes to have become the holder of record of the Warrant Shares with respect to which this Warrant
has been exercised, irrespective of the date such Warrant Shares are credited to the Holder’s DTC account or the date of delivery
of the certificates evidencing such Warrant Shares (as the case may be). If this Warrant is submitted in connection with any exercise
pursuant to this Section 1(a) and the number of Warrant Shares represented by this Warrant submitted for exercise is greater than the
number of Warrant Shares being acquired upon an exercise and upon surrender of this Warrant to the Company by the Holder, then, at the
request of the Holder, the Company shall as soon as practicable and in no event later than two (2) Business Days after any exercise and
at its own expense, issue and deliver to the Holder (or its designee) a new Warrant (in accordance with Section 7(d)) representing the
right to purchase the number of Warrant Shares purchasable immediately prior to such exercise under this Warrant, less the number of
Warrant Shares with respect to which this Warrant is exercised. No fractional shares of Common Stock are to be issued upon the exercise
of this Warrant, but rather the number of shares of Common Stock to be issued shall be rounded up to the nearest whole number. The Company
shall pay any and all transfer, stamp, issuance and similar taxes, costs and expenses (including, without limitation, fees and expenses
of the Transfer Agent) that may be payable with respect to the issuance and delivery of Warrant Shares upon exercise of this Warrant.
Notwithstanding the foregoing, except in the case where an exercise of this Warrant is validly made pursuant to a Cashless Exercise Cashless
Exercise, the Company’s failure to deliver Warrant Shares to the Holder on or prior to the later of (i) two (2) Trading Days after
receipt of the applicable Exercise Notice (or such earlier date as required pursuant to the 1934 Act or other applicable law, rule or
regulation for the settlement of a trade of such Warrant Shares initiated on the applicable Exercise Date) and (ii) one (1) Trading Day
after the Company’s receipt of the Aggregate Exercise Price (or valid notice of a Cashless Exercise) (such later date, a “Share
Delivery Date”) shall not be deemed to be a breach of this Warrant. Notwithstanding anything to the contrary contained in this
Warrant or the Registration Rights Agreement, after the effective date of the Registration Statement (as defined in the Registration
Rights Agreement) and prior to the Holder’s receipt of the notice of a Grace Period (as defined in the Registration Rights Agreement),
the Company shall cause the Transfer Agent to deliver unlegended shares of Common Stock to the Holder (or its designee) in connection
with any sale of Registrable Securities (as defined in the Registration Rights Agreement) with respect to which the Holder has entered
into a contract for sale, and delivered a copy of the prospectus included as part of the particular Registration Statement to the extent
applicable, and for which the Holder has not yet settled. From the Issuance Date through and including the Expiration Date, the Company
shall maintain a transfer agent that participates in the DTC’s Fast Automated Securities Transfer Program.

 

    	2

     

    

 

(b)
Exercise Price. For purposes of this Warrant,
“Exercise Price” means $0.001, subject to adjustment as provided herein.

 

(c)
Company’s Failure to Timely Deliver Securities.
If the Company shall fail, for any reason or for no reason, on or prior to the applicable Share Delivery Date, either (I) if the Transfer
Agent is not participating in the DTC Fast Automated Securities Transfer Program, to issue and deliver to the Holder (or its designee)
a certificate for the number of Warrant Shares to which the Holder is entitled and register such Warrant Shares on the Company’s
share register or, if the Transfer Agent is participating in the DTC Fast Automated Securities Transfer Program, to credit the balance
account of the Holder or the Holder’s designee with DTC for such number of Warrant Shares to which the Holder is entitled upon
the Holder’s exercise of this Warrant (as the case may be) or (II) if a Registration Statement covering the resale of the Warrant
Shares that are the subject of the Exercise Notice (the “Unavailable Warrant Shares”) is not available for the resale
of such Unavailable Warrant Shares and the Company fails to promptly, but in no event later than as required pursuant to the Registration
Rights Agreement (x) so notify the Holder and (y) deliver the Warrant Shares electronically without any restrictive legend by crediting
such aggregate number of Warrant Shares to which the Holder is entitled pursuant to such exercise to the Holder’s or its designee’s
balance account with DTC through its Deposit/Withdrawal At Custodian system (the event described in the immediately foregoing clause
(II) is hereinafter referred as a “Notice Failure” and together with the event described in clause (I) above, a “Delivery
Failure”), then, in addition to all other remedies available to the Holder, (X) the Company shall pay in cash to the Holder
on each day after the applicable Share Delivery Date and during such Delivery Failure an amount equal to 1% of the product of (A) the
sum of the number of shares of Common Stock not issued to the Holder on or prior to the applicable Share Delivery Date and to which the
Holder is entitled, multiplied by (B) any trading price of the Common Stock selected by the Holder in writing as in effect at any time
during the period beginning on the applicable Exercise Date and ending on the applicable Share Delivery Date, and (Y) the Holder, upon
written notice to the Company, may void its Exercise Notice with respect to, and retain or have returned, as the case may be, any portion
of this Warrant that has not been exercised pursuant to such Exercise Notice; provided that the voiding of an Exercise Notice shall not
affect the Company’s obligations to make any payments which have accrued prior to the date of such notice pursuant to this Section
1(c) or otherwise. In addition to the foregoing, if on or prior to the Share Delivery Date either (I) the Transfer Agent is not participating
in the DTC Fast Automated Securities Transfer Program, the Company shall fail to issue and deliver to the Holder (or its designee) a
certificate and register such shares of Common Stock on the Company’s share register or, if the Transfer Agent is participating
in the DTC Fast Automated Securities Transfer Program, the Transfer Agent shall fail to credit the balance account of the Holder or the
Holder’s designee with DTC for the number of shares of Common Stock to which the Holder is entitled upon the Holder’s exercise
hereunder or pursuant to the Company’s obligation pursuant to clause (ii) below or (II) a Notice Failure occurs, and if on or after
such Share Delivery Date the Holder purchases (in an open market transaction or otherwise) shares of Common Stock corresponding to all
or any portion of the number of shares of Common Stock issuable upon such exercise that the Holder is entitled to receive from the Company
and has not received from the Company in connection with such Delivery Failure or Notice Failure, as applicable (a “Buy-In”),
then, in addition to all other remedies available to the Holder, the Company shall, within two (2) Business Days after the Holder’s
request and in the Holder’s discretion, either (i) pay cash to the Holder in an amount equal to the Holder’s total purchase
price (including brokerage commissions and other reasonable out-of-pocket expenses, if any) for the shares of Common Stock so purchased
(including, without limitation, by any other Person in respect, or on behalf, of the Holder) (the “Buy-In Price”),
at which point the Company’s obligation to so issue and deliver such certificate (and to issue such shares of Common Stock) or
credit the balance account of such Holder or such Holder’s designee, as applicable, with DTC for the number of Warrant Shares to
which the Holder is entitled upon the Holder’s exercise hereunder (as the case may be) (and to issue such Warrant Shares) shall
terminate, or (ii) promptly honor its obligation to so issue and deliver to the Holder a certificate or certificates representing such
Warrant Shares or credit the balance account of such Holder or such Holder’s designee, as applicable, with DTC for the number of
Warrant Shares to which the Holder is entitled upon the Holder’s exercise hereunder (as the case may be) and pay cash to the Holder
in an amount equal to the excess (if any) of the Buy-In Price over the product of (A) such number of Warrant Shares multiplied by (B)
the lowest Closing Sale Price of the Common Stock on any Trading Day during the period commencing on the date of the applicable Exercise
Notice and ending on the date of such issuance and payment under this clause (ii) (the “Buy-In Payment Amount”). Nothing
shall limit the Holder’s right to pursue any other remedies available to it hereunder, at law or in equity, including, without
limitation, a decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely deliver certificates
representing shares of Common Stock (or to electronically deliver such shares of Common Stock) upon the exercise of this Warrant as required
pursuant to the terms hereof. While this Warrant is outstanding, the Company shall cause its transfer agent to participate in the DTC
Fast Automated Securities Transfer Program. In addition to the foregoing rights, (i) if the Company fails to deliver the applicable number
of Warrant Shares upon an exercise pursuant to Section 1 by the applicable Share Delivery Date, then the Holder shall have the right
to rescind such exercise in whole or in part and retain and/or have the Company return, as the case may be, any portion of this Warrant
that has not been exercised pursuant to such Exercise Notice; provided that the rescission of an exercise shall not affect the Company’s
obligation to make any payments that have accrued prior to the date of such notice pursuant to this Section 1(c) or otherwise, and (ii)
if a registration statement covering the issuance or resale of the Warrant Shares that are subject to an Exercise Notice is not available
for the issuance or resale, as applicable, of such Warrant Shares and the Holder has submitted an Exercise Notice prior to receiving
notice of the non-availability of such registration statement and the Company has not already delivered the Warrant Shares underlying
such Exercise Notice electronically without any restrictive legend by crediting such aggregate number of Warrant Shares to which the
Holder is entitled pursuant to such exercise to the Holder’s or its designee’s balance account with DTC through its Deposit
/ Withdrawal At Custodian system, the Holder shall have the option, by delivery of notice to the Company, to (x) rescind such Exercise
Notice in whole or in part and retain or have returned, as the case may be, any portion of this Warrant that has not been exercised pursuant
to such Exercise Notice; provided that the rescission of an Exercise Notice shall not affect the Company’s obligation to make any
payments that have accrued prior to the date of such notice pursuant to this Section 1(c) or otherwise, and/or (y) switch some or all
of such Exercise Notice from a cash exercise to a Cashless Exercise.

 

    	3

     

    

 

(d)
Cashless Exercise.

 

	 	(1)	Notwithstanding
    anything contained herein to the contrary (other than Section 1(f) below), the Holder may, in its sole discretion, exercise this
    Warrant in whole or in part and, in lieu of making the cash payment otherwise contemplated to be made to the Company upon such exercise
    in payment of the Aggregate Exercise Price, elect instead to receive upon such exercise the “Net Number” of Warrant
    Shares determined according to the following formula (a “Cashless Exercise”):

 

	 	Net Number =	(A x B) – (A x C)
	 	 	 
	 	For purposes of the foregoing formula:

 

	 	A =	the total number of shares with respect to which this Warrant is then being exercised.
	 	 	 
	 	B =	as elected by the Holder: (i) the VWAP of the shares of Common Stock on the Trading Day immediately preceding the date of the applicable Exercise Notice if such Exercise Notice is (1) both executed and delivered pursuant to Section 1(a) hereof on a day that is not a Trading Day or (2) both executed and delivered pursuant to Section 1(a) hereof on a Trading Day prior to the opening of “regular trading hours” (as defined in Rule 600(b) of Regulation NMS promulgated under the federal securities laws) on such Trading Day, (ii) at the option of the Holder, either (y) the VWAP on the Trading Day immediately preceding the date of the applicable Exercise Notice or (z) the Bid Price of the shares of Common Stock as of the time of the Holder’s execution of the applicable Exercise Notice if such Exercise Notice is executed during “regular trading hours” on a Trading Day and is delivered within two (2) hours thereafter pursuant to Section 1(a) hereof, or (iii) the Closing Sale Price of the shares of Common Stock on the date of the applicable Exercise Notice if the date of such Exercise Notice is a Trading Day and such Exercise Notice is both executed and delivered pursuant to Section 1(a) hereof after the close of “regular trading hours” on such Trading Day.
	 	C =	the Exercise Price then in effect for the applicable Warrant Shares at the time of such exercise. If the Warrant Shares are issued in a Cashless Exercise, the parties acknowledge and agree that in accordance with Section 3(a)(9) of the 1933 Act, the Warrant Shares take on the registered characteristics of the Warrants being exercised.

 

    	4

     

    

 

	 	(2)	INTENTIONALLY OMITTED
	 	 	 
	 	(3)	If the Warrant Shares are issued in a Cashless Exercise, the parties acknowledge and agree that in accordance with Section 3(a)(9) of the 1933 Act, the Warrant Shares take on the registered characteristics of the Warrants being exercised. For purposes of Rule 144(d) promulgated under the 1933 Act, as in effect on the Subscription Date, it is intended that the Warrant Shares issued in a Cashless Exercise shall be deemed to have been acquired by the Holder, and the holding period for the Warrant Shares shall be deemed to have commenced, on the date this Warrant was originally issued pursuant to the Amendment Agreement.

 

(e)
Disputes. In the case of a dispute as to the
determination of the Exercise Price or the arithmetic calculation of the number of Warrant Shares to be issued pursuant to the terms
hereof, the Company shall promptly issue to the Holder the number of Warrant Shares that are not disputed and resolve such dispute in
accordance with Section 15.

 

(f)
Limitations on Exercises. The Company shall not
effect the exercise of any portion of this Warrant, and the Holder shall not have the right to exercise any portion of this Warrant,
pursuant to the terms and conditions of this Warrant and any such exercise shall be null and void and treated as if never made, to the
extent that after giving effect to such exercise, the Holder together with the other Attribution Parties collectively would beneficially
own in excess of 9.99% (the “Maximum Percentage”) of the shares of Common Stock outstanding immediately after giving
effect to such exercise. For purposes of the foregoing sentence, the aggregate number of shares of Common Stock beneficially owned by
the Holder and the other Attribution Parties shall include the number of shares of Common Stock held by the Holder and all other Attribution
Parties plus the number of shares of Common Stock issuable upon exercise of this Warrant with respect to which the determination of such
sentence is being made, but shall exclude shares of Common Stock which would be issuable upon (A) exercise of the remaining, unexercised
portion of this Warrant beneficially owned by the Holder or any of the other Attribution Parties and (B) exercise or conversion of the
unexercised or unconverted portion of any other securities of the Company (including, without limitation, any convertible notes or convertible
preferred stock or warrants, including any other Warrants) beneficially owned by the Holder or any other Attribution Party subject to
a limitation on conversion or exercise analogous to the limitation contained in this Section 1(f). For purposes of this Section 1(f),
beneficial ownership shall be calculated in accordance with Section 13(d) of the 1934 Act. For purposes of determining the number of
outstanding shares of Common Stock the Holder may acquire upon the exercise of this Warrant without exceeding the Maximum Percentage,
the Holder may rely on the number of outstanding shares of Common Stock as reflected in (x) the Company’s most recent Annual Report
on Form 10-K, Quarterly Report on Form 10-Q, Current Report on Form 8-K, or other public filing with the SEC, as the case may be, (y)
a more recent public announcement by the Company or (z) any other written notice by the Company or the Transfer Agent, if any, setting
forth the number of shares of Common Stock outstanding (the “Reported Outstanding Share Number”). If the Company receives
an Exercise Notice from the Holder at a time when the actual number of outstanding shares of Common Stock is less than the Reported Outstanding
Share Number, the Company shall (i) notify the Holder in writing of the number of shares of Common Stock then outstanding and, to the
extent that such Exercise Notice would otherwise cause the Holder’s beneficial ownership, as determined pursuant to this Section
1(f), to exceed the Maximum Percentage, the Holder must notify the Company of a reduced number of Warrant Shares to be acquired pursuant
to such Exercise Notice (the number of shares by which such purchase is reduced, the “Reduction Shares”) and (ii)
as soon as reasonably practicable, the Company shall return to the Holder any exercise price paid by the Holder for the Reduction Shares.
For any reason at any time, upon the written or oral request of the Holder, the Company shall within two (2) Business Days confirm orally
and in writing or by electronic mail to the Holder the number of shares of Common Stock then outstanding. In any case, the number of
outstanding shares of Common Stock shall be determined after giving effect to the conversion or exercise of securities of the Company,
including this Warrant, by the Holder and any other Attribution Party since the date as of which the Reported Outstanding Share Number
was reported. In the event that the issuance of shares of Common Stock to the Holder upon exercise of this Warrant results in the Holder
and the other Attribution Parties being deemed to beneficially own, in the aggregate, more than the Maximum Percentage of the number
of outstanding shares of Common Stock (as determined under Section 13(d) of the 1934 Act), the number of shares so issued by which the
Holder’s and the other Attribution Parties’ aggregate beneficial ownership exceeds the Maximum Percentage (the “Excess
Shares”) shall be deemed null and void and shall be cancelled ab initio, and the Holder shall not have the power to vote or
to transfer the Excess Shares. As soon as reasonably practicable after the issuance of the Excess Shares has been deemed null and void,
the Company shall return to the Holder the exercise price paid by the Holder for the Excess Shares. Upon delivery of a written notice
to the Company, the Holder may from time to time increase (with such increase not effective until the sixty-first (61st) day after delivery
of such notice) or decrease the Maximum Percentage to any other percentage not in excess of 9.99% as specified in such notice; provided
that (i) any such increase in the Maximum Percentage will not be effective until the sixty-first (61st) day after such notice is delivered
to the Company and (ii) any such increase or decrease will apply only to the Holder and the other Attribution Parties and not to any
other holder of Warrants that is not an Attribution Party of the Holder. For purposes of clarity, the shares of Common Stock issuable
pursuant to the terms of this Warrant in excess of the Maximum Percentage shall not be deemed to be beneficially owned by the Holder
for any purpose including for purposes of Section 13(d) or Rule 16a-1(a)(1) of the 1934 Act. No prior inability to exercise this Warrant
pursuant to this paragraph shall have any effect on the applicability of the provisions of this paragraph with respect to any subsequent
determination of exercisability. The provisions of this paragraph shall be construed and implemented in a manner otherwise than in strict
conformity with the terms of this Section 1(f) to the extent necessary to correct this paragraph or any portion of this paragraph which
may be defective or inconsistent with the intended beneficial ownership limitation contained in this Section 1(f) or to make changes
or supplements necessary or desirable to properly give effect to such limitation. The limitation contained in this paragraph may not
be waived and shall apply to a successor holder of this Warrant.

 

    	5

     

    

 

(g)
Reservation of Shares.

 

(i)
Required Reserve Amount. So long as this Warrant
remains outstanding, the Company shall at all times keep reserved for issuance under this Warrant a number of shares of Common Stock
at least equal to the maximum number of shares of Common Stock as shall be necessary to satisfy the Company’s obligation to issue
shares of Common Stock under the Warrants then outstanding (without regard to any limitations on exercise) (the “Required Reserve
Amount”); provided that at no time shall the number of shares of Common Stock reserved pursuant to this Section 1(g)(i) be
reduced other than proportionally in connection with any exercise or redemption of Warrants or such other event covered by Section 2(a)
below. The Required Reserve Amount (including, without limitation, each increase in the number of shares so reserved) shall be allocated
pro rata among the holders of the Warrants based on number of shares of Common Stock issuable upon exercise of Warrants held by each
holder on the Issuance Date ((without regard to any limitations on exercise) or increase in the number of reserved shares, as the case
may be (the “Authorized Share Allocation”). In the event that a holder shall sell or otherwise transfer any of such
holder’s Warrants, each transferee shall be allocated a pro rata portion of such holder’s Authorized Share Allocation. Any
shares of Common Stock reserved and allocated to any Person which ceases to hold any Warrants shall be allocated to the remaining holders
of Warrants, pro rata based on the number of shares of Common Stock issuable upon exercise of the Warrants then held by such holders
(without regard to any limitations on exercise).

 

(ii)
Insufficient Authorized Shares. If, notwithstanding
Section 1(g)(i) above, and not in limitation thereof, at any time while any of the Warrants remain outstanding, the Company does not
have a sufficient number of authorized and unreserved shares of Common Stock to satisfy its obligation to reserve the Required Reserve
Amount (an “Authorized Share Failure”), then the Company shall immediately take all action necessary to increase the
Company’s authorized shares of Common Stock to an amount sufficient to allow the Company to reserve the Required Reserve Amount
for all the Warrants then outstanding. Without limiting the generality of the foregoing sentence, as soon as practicable after the date
of the occurrence of an Authorized Share Failure, but in no event later than sixty (60) days after the occurrence of such Authorized
Share Failure, the Company shall hold a meeting of its shareholders for the approval of an increase in the number of authorized shares
of Common Stock. In connection with such meeting, the Company shall provide each shareholder with a proxy statement and shall use its
best efforts to solicit its shareholders’ approval of such increase in authorized shares of Common Stock and to cause its board
of directors to recommend to the shareholders that they approve such proposal. In the event that the Company is prohibited from issuing
shares of Common Stock upon an exercise of this Warrant due to the failure by the Company to have sufficient shares of Common Stock available
out of the authorized but unissued shares of Common Stock (such unavailable number of shares of Common Stock, the “Authorization
Failure Shares”), in lieu of delivering such Authorization Failure Shares to the Holder, the Company shall pay cash in exchange
for the cancellation of such portion of this Warrant exercisable into such Authorization Failure Shares at a price equal to the sum of
(i) the product of (x) such number of Authorization Failure Shares and (y) the greatest Closing Sale Price of the Common Stock on any
Trading Day during the period commencing on the date the Holder delivers the applicable Exercise Notice with respect to such Authorization
Failure Shares to the Company and ending on the date of such issuance and payment under this Section 1(f); and (ii) to the extent the
Holder purchases (in an open market transaction or otherwise) shares of Common Stock to deliver in satisfaction of a sale by the Holder
of Authorization Failure Shares, any Buy-In Payment Amount, brokerage commissions and other out-of-pocket expenses, if any, of the Holder
incurred in connection therewith.

 

    	6

     

    

 

2. ADJUSTMENT
OF EXERCISE PRICE AND NUMBER OF WARRANT SHARES. The
Exercise Price and number of Warrant Shares issuable upon exercise of this Warrant are subject to adjustment from time to time as
set forth in this Section 2.

 

(a)
Stock Dividends and Splits. Without limiting
any provision of Section 3 or Section 4, if the Company, at any time on or after the Subscription Date, (i) pays a stock dividend on
one or more classes of its then outstanding shares of Common Stock or otherwise makes a distribution on any class of capital stock that
is payable in shares of Common Stock, (ii) subdivides (by any stock split, stock dividend, recapitalization or otherwise) one or more
classes of its then outstanding shares of Common Stock into a larger number of shares or (iii) combines (by combination, reverse stock
split or otherwise) one or more classes of its then outstanding shares of Common Stock into a smaller number of shares, then in each
such case the Exercise Price shall be multiplied by a fraction of which the numerator shall be the number of shares of Common Stock outstanding
immediately before such event and of which the denominator shall be the number of shares of Common Stock outstanding immediately after
such event. Any adjustment made pursuant to clause (i) of this paragraph shall become effective immediately after the record date for
the determination of shareholders entitled to receive such dividend or distribution, and any adjustment pursuant to clause (ii) or (iii)
of this paragraph shall become effective immediately after the effective date of such subdivision or combination. If any event requiring
an adjustment under this paragraph occurs during the period that an Exercise Price is calculated hereunder, then the calculation of such
Exercise Price shall be adjusted appropriately to reflect such event.

 

(b)
Number of Warrant Shares. Simultaneously with
any adjustment to the Exercise Price pursuant to Section 2(a), the number of Warrant Shares that may be purchased upon exercise of this
Warrant shall be increased or decreased proportionately, so that after such adjustment the aggregate Exercise Price payable hereunder
for the adjusted number of Warrant Shares shall be the same as the aggregate Exercise Price in effect immediately prior to such adjustment
(without regard to any limitations on exercise contained herein).

 

(c)
Calculations. All calculations under this Section
2 shall be made by rounding to the nearest cent or the nearest 1/100th of a share, as applicable. The number of shares of Common Stock
outstanding at any given time shall not include shares owned or held by or for the account of the Company, and the disposition of any
such shares shall be considered an issuance or sale of Common Stock.

 

(d)
Voluntary Adjustment By Company. Subject to the
rules and regulations of the Principal Market, the Company may at any time during the term of this Warrant, with the prior written consent
of the Holder, reduce the then current Exercise Price to any amount and for any period of time deemed appropriate by the board of directors
of the Company.

 

    	7

     

    

 

3.
RIGHTS UPON DISTRIBUTION OF ASSETS. In
addition to any adjustments pursuant to Section 2 above, if the Company shall declare or make any dividend or other distribution of its
assets (or rights to acquire its assets) to holders of shares of Common Stock, by way of return of capital or otherwise (including, without
limitation, any distribution of cash, stock or other securities, property, options, evidence of indebtedness or any other assets by way
of a dividend, spin off, reclassification, corporate rearrangement, scheme of arrangement or other similar transaction) (a “Distribution”),
at any time after the issuance of this Warrant, then, in each such case, the Holder shall be entitled to participate in such Distribution
to the same extent that the Holder would have participated therein if the Holder had held the number of shares of Common Stock acquirable
upon complete exercise of this Warrant (without regard to any limitations or restrictions on exercise of this Warrant, including without
limitation, the Maximum Percentage) immediately before the date on which a record is taken for such Distribution, or, if no such record
is taken, the date as of which the record holders of shares of Common Stock are to be determined for the participation in such Distribution
(provided, however, that to the extent that the Holder’s right to participate in any such Distribution would result in the Holder
and the other Attribution Parties exceeding the Maximum Percentage, then the Holder shall not be entitled to participate in such Distribution
to the extent of the Maximum Percentage (and shall not be entitled to beneficial ownership of such shares of Common Stock as a result
of such Distribution (and beneficial ownership) to the extent of any such excess) and the portion of such Distribution shall be held
in abeyance for the benefit of the Holder until such time or times, if ever, as its right thereto would not result in the Holder and
the other Attribution Parties exceeding the Maximum Percentage, at which time or times the Holder shall be granted such Distribution
(and any Distributions declared or made on such initial Distribution or on any subsequent Distribution held similarly in abeyance) to
the same extent as if there had been no such limitation).

 

4.
PURCHASE RIGHTS; FUNDAMENTAL TRANSACTIONS.

 

(a)
Purchase Rights. In addition to any adjustments
pursuant to Section 2 above, if at any time the Company grants, issues or sells any Options, Convertible Securities or rights to purchase
stock, warrants, securities or other property pro rata to the record holders of any class of Common Stock (the “Purchase Rights”),
then the Holder will be entitled to acquire, upon the terms applicable to such Purchase Rights, the aggregate Purchase Rights which the
Holder could have acquired if the Holder had held the number of shares of Common Stock acquirable upon complete exercise of this Warrant
(without regard to any limitations or restrictions on exercise of this Warrant, including without limitation, the Maximum Percentage)
immediately before the date on which a record is taken for the grant, issuance or sale of such Purchase Rights, or, if no such record
is taken, the date as of which the record holders of shares of Common Stock are to be determined for the grant, issuance or sale of such
Purchase Rights (provided, however, that to the extent that the Holder’s right to participate in any such Purchase Right would
result in the Holder and the other Attribution Parties exceeding the Maximum Percentage, then the Holder shall not be entitled to participate
in such Purchase Right to the extent of the Maximum Percentage (and shall not be entitled to beneficial ownership of such shares of Common
Stock as a result of such Purchase Right (and beneficial ownership) to the extent of any such excess) and such Purchase Right to such
extent shall be held in abeyance for the benefit of the Holder until such time or times, if ever, as its right thereto would not result
in the Holder and the other Attribution Parties exceeding the Maximum Percentage, at which time or times the Holder shall be granted
such right (and any Purchase Right granted, issued or sold on such initial Purchase Right or on any subsequent Purchase Right held similarly
in abeyance) to the same extent as if there had been no such limitation).

 

    	8

     

    

 

(b)
Fundamental Transactions. The Company shall not
enter into or be party to a Fundamental Transaction unless the Successor Entity assumes in writing all of the obligations of the Company
under this Warrant and the other Transaction Documents (as defined in the Amendment Agreement) in accordance with the provisions of this
Section 4(b) pursuant to written agreements in form and substance satisfactory to the Holder and approved by the Holder prior to such
Fundamental Transaction, including agreements to deliver to the Holder in exchange for this Warrant a security of the Successor Entity
evidenced by a written instrument substantially similar in form and substance to this Warrant, including, without limitation, which is
exercisable for a corresponding number of shares of capital stock equivalent to the shares of Common Stock acquirable and receivable
upon exercise of this Warrant (without regard to any limitations on the exercise of this Warrant) prior to such Fundamental Transaction,
and with an exercise price which applies the exercise price hereunder to such shares of capital stock (but taking into account the relative
value of the shares of Common Stock pursuant to such Fundamental Transaction and the value of such shares of capital stock, such adjustments
to the number of shares of capital stock and such exercise price being for the purpose of protecting the economic value of this Warrant
immediately prior to the consummation of such Fundamental Transaction). Upon the consummation of each Fundamental Transaction, the Successor
Entity shall succeed to, and be substituted for (so that from and after the date of the applicable Fundamental Transaction, the provisions
of this Warrant and the other Transaction Documents referring to the “Company” shall refer instead to the Successor
Entity), and may exercise every right and power of the Company and shall assume all of the obligations of the Company under this Warrant
and the other Transaction Documents with the same effect as if such Successor Entity had been named as the Company herein. Upon consummation
of each Fundamental Transaction, the Successor Entity shall deliver to the Holder confirmation that there shall be issued upon exercise
of this Warrant at any time after the consummation of the applicable Fundamental Transaction, in lieu of the shares of Common Stock (or
other securities, cash, assets or other property (except such items still issuable under Sections 3 and 4(a) above, which shall continue
to be receivable thereafter)) issuable upon the exercise of this Warrant prior to the applicable Fundamental Transaction, such shares
of publicly traded common stock (or its equivalent) of the Successor Entity (including its Parent Entity) which the Holder would have
been entitled to receive upon the happening of the applicable Fundamental Transaction had this Warrant been exercised immediately prior
to the applicable Fundamental Transaction (without regard to any limitations on the exercise of this Warrant), as adjusted in accordance
with the provisions of this Warrant. Notwithstanding the foregoing, and without limiting Section 1(f) hereof, the Holder may elect, at
its sole option, by delivery of written notice to the Company to waive this Section 4(b) to permit the Fundamental Transaction without
the assumption of this Warrant. In addition to and not in substitution for any other rights hereunder, prior to the consummation of each
Fundamental Transaction pursuant to which holders of shares of Common Stock are entitled to receive securities or other assets with respect
to or in exchange for shares of Common Stock (a “Corporate Event”), the Company shall make appropriate provision to
ensure that the Holder will thereafter have the right to receive upon an exercise of this Warrant at any time after the consummation
of the applicable Fundamental Transaction but prior to the Expiration Date, in lieu of the shares of the Common Stock (or other securities,
cash, assets or other property (except such items still issuable under Sections 3 and 4(a) above, which shall continue to be receivable
thereafter)) issuable upon the exercise of the Warrant prior to such Fundamental Transaction, such shares of stock, securities, cash,
assets or any other property whatsoever (including warrants or other purchase or subscription rights) which the Holder would have been
entitled to receive upon the happening of the applicable Fundamental Transaction had this Warrant been exercised immediately prior to
the applicable Fundamental Transaction (without regard to any limitations on the exercise of this Warrant). Provision made pursuant to
the preceding sentence shall be in a form and substance reasonably satisfactory to the Holder.

 

    	9

     

    

 

(c)
Application. The provisions of this Section 4
shall apply similarly and equally to successive Fundamental Transactions and Corporate Events and shall be applied as if this Warrant
(and any such subsequent warrants) were fully exercisable and without regard to any limitations on the exercise of this Warrant (provided
that the Holder shall continue to be entitled to the benefit of the Maximum Percentage, applied however with respect to shares of capital
stock registered under the 1934 Act and thereafter receivable upon exercise of this Warrant (or any such other warrant)).

 

5.
NONCIRCUMVENTION. The Company hereby covenants
and agrees that the Company will not, by amendment of its Articles of Incorporation, Bylaws or through any reorganization, transfer of
assets, consolidation, merger, scheme of arrangement, dissolution, issuance or sale of securities, or any other voluntary action, avoid
or seek to avoid the observance or performance of any of the terms of this Warrant, and will at all times in good faith carry out all
the provisions of this Warrant and take all action as may be required to protect the rights of the Holder. Without limiting the generality
of the foregoing, the Company (a) shall not increase the par value of any shares of Common Stock receivable upon the exercise of this
Warrant above the Exercise Price then in effect, and (b) shall take all such actions as may be necessary or appropriate in order that
the Company may validly and legally issue fully paid and non-assessable shares of Common Stock upon the exercise of this Warrant. Notwithstanding
anything herein to the contrary, if after the Initial Exercisability Date, the Holder is not permitted to exercise this Warrant in full
for any reason (other than pursuant to restrictions set forth in Section 1(f) hereof), the Company shall use its best efforts to promptly
remedy such failure, including, without limitation, obtaining such consents or approvals as necessary to permit such exercise into shares
of Common Stock.

 

6.
WARRANT HOLDER NOT DEEMED A SHAREHOLDER.
Except as otherwise specifically provided herein, the Holder, solely in its capacity as a holder of this Warrant, shall not be entitled
to vote or receive dividends or be deemed the holder of share capital of the Company for any purpose, nor shall anything contained in
this Warrant be construed to confer upon the Holder, solely in its capacity as the Holder of this Warrant, any of the rights of a shareholder
of the Company or any right to vote, give or withhold consent to any corporate action (whether any reorganization, issue of stock, reclassification
of stock, consolidation, merger, conveyance or otherwise), receive notice of meetings, receive dividends or subscription rights, or otherwise,
prior to the issuance to the Holder of the Warrant Shares which it is then entitled to receive upon the due exercise of this Warrant.
In addition, nothing contained in this Warrant shall be construed as imposing any liabilities on the Holder to purchase any securities
(upon exercise of this Warrant or otherwise) or as a shareholder of the Company, whether such liabilities are asserted by the Company
or by creditors of the Company. Notwithstanding this Section 6, the Company shall provide the Holder with copies of the same notices
and other information given to the shareholders of the Company generally, contemporaneously with the giving thereof to the shareholders.

 

    	10

     

    

 

7.
REISSUANCE OF WARRANTS.

 

(a)
Transfer of Warrant. If this Warrant is to be
transferred, the Holder shall surrender this Warrant to the Company, whereupon the Company will forthwith issue and deliver upon the
order of the Holder a new Warrant (in accordance with Section 7(d)), registered as the Holder may request, representing the right to
purchase the number of Warrant Shares being transferred by the Holder and, if less than the total number of Warrant Shares then underlying
this Warrant is being transferred, a new Warrant (in accordance with Section 7(d)) to the Holder representing the right to purchase the
number of Warrant Shares not being transferred.

 

(b)
Lost, Stolen or Mutilated Warrant. Upon receipt
by the Company of evidence reasonably satisfactory to the Company of the loss, theft, destruction or mutilation of this Warrant (as to
which a written certification and the indemnification contemplated below shall suffice as such evidence), and, in the case of loss, theft
or destruction, of any indemnification undertaking by the Holder to the Company in customary and reasonable form and, in the case of
mutilation, upon surrender and cancellation of this Warrant, the Company shall execute and deliver to the Holder a new Warrant (in accordance
with Section 7(d)) representing the right to purchase the Warrant Shares then underlying this Warrant.

 

(c)
Exchangeable for Multiple Warrants. This Warrant
is exchangeable, upon the surrender hereof by the Holder at the principal office of the Company, for a new Warrant or Warrants (in accordance
with Section 7(d)) representing in the aggregate the right to purchase the number of Warrant Shares then underlying this Warrant, and
each such new Warrant will represent the right to purchase such portion of such Warrant Shares as is designated by the Holder at the
time of such surrender; provided, however, no warrants for fractional shares of Common Stock shall be given.

 

(d)
Issuance of New Warrants. Whenever the Company
is required to issue a new Warrant pursuant to the terms of this Warrant, such new Warrant (i) shall be of like tenor with this Warrant,
(ii) shall represent, as indicated on the face of such new Warrant, the right to purchase the Warrant Shares then underlying this Warrant
(or in the case of a new Warrant being issued pursuant to Section 7(a) or Section 7(c), the Warrant Shares designated by the Holder which,
when added to the number of shares of Common Stock underlying the other new Warrants issued in connection with such issuance, does not
exceed the number of Warrant Shares then underlying this Warrant), (iii) shall have an issuance date, as indicated on the face of such
new Warrant which is the same as the Issuance Date, and (iv) shall have the same rights and conditions as this Warrant.

 

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8.
NOTICES. Whenever notice is required to
be given under this Warrant, unless otherwise provided herein, such notice shall be given in accordance with Section 7(f) of the Amendment
Agreement. The Company shall provide the Holder with prompt written notice of all actions taken pursuant to this Warrant (other than
the issuance of shares of Common Stock upon exercise in accordance with the terms hereof), including in reasonable detail a description
of such action and the reason therefor. Without limiting the generality of the foregoing, the Company will give written notice to the
Holder (i) immediately upon each adjustment of the Exercise Price and the number of Warrant Shares, setting forth in reasonable detail,
and certifying, the calculation of such adjustment(s), (ii) at least fifteen (15) days prior to the date on which the Company closes
its books or takes a record (A) with respect to any dividend or distribution upon the shares of Common Stock, (B) with respect to any
grants, issuances or sales of any Options, Convertible Securities or rights to purchase stock, warrants, securities or other property
to holders of shares of Common Stock or (C) for determining rights to vote with respect to any Fundamental Transaction, dissolution or
liquidation, provided in each case that such information shall be made known to the public prior to or in conjunction with such notice
being provided to the Holder, and (iii) at least ten (10) Trading Days prior to the consummation of any Fundamental Transaction. To the
extent that any notice provided hereunder constitutes, or contains, material, non-public information regarding the Company or any of
its subsidiaries, the Company shall simultaneously file such notice with the SEC pursuant to a Current Report on Form 8-K. If the Company
or any of its subsidiaries provides material non-public information to the Holder that is not simultaneously filed in a Current Report
on Form 8-K and the Holder has not agreed to receive such material non-public information, the Company hereby covenants and agrees that
the Holder shall not have any duty of confidentiality to the Company, any of its subsidiaries or any of their respective officers, directors,
employees, affiliates or agents with respect to, or a duty to any of the foregoing not to trade on the basis of, such material non-public
information. It is expressly understood and agreed that the time of execution specified by the Holder in each Exercise Notice shall be
definitive and may not be disputed or challenged by the Company.

 

9.
DISCLOSURE. Upon delivery by the Company
to the Holder (or receipt by the Company from the Holder) of any notice in accordance with the terms of this Warrant, unless the Company
has in good faith determined that the matters relating to such notice do not constitute material, non-public information relating to
the Company or any of its subsidiaries, the Company shall on or prior to 9:00 am, New York city time on the Business Day immediately
following such notice delivery date, publicly disclose such material, non-public information on a Current Report on Form 8-K or otherwise.
In the event that the Company believes that a notice contains material, non-public information relating to the Company or any of its
subsidiaries, the Company so shall indicate to the Holder explicitly in writing in such notice (or immediately upon receipt of notice
from the Holder, as applicable), and in the absence of any such written indication in such notice (or notification from the Company immediately
upon receipt of notice from the Holder), the Holder shall be entitled to presume that information contained in the notice does not constitute
material, non-public information relating to the Company or any of its subsidiaries.

 

10.
ABSENCE OF TRADING AND DISCLOSURE RESTRICTIONS.
The Company acknowledges and agrees that the Holder is not a fiduciary or agent of the Company and that the Holder shall have no obligation
to (a) maintain the confidentiality of any information provided by the Company or (b) refrain from trading any securities while in possession
of such information in the absence of a written non-disclosure agreement signed by an officer of the Holder that explicitly provides
for such confidentiality and trading restrictions. In the absence of such an executed, written non-disclosure agreement, the Company
acknowledges that the Holder may freely trade in any securities issued by the Company, may possess and use any information provided by
the Company in connection with such trading activity, and may disclose any such information to any third party.

 

    	12

     

    

 

11.
AMENDMENT AND WAIVER. Except as otherwise
provided herein, the provisions of this Warrant (other than Section 1(f)) may be amended and the Company may take any action herein prohibited,
or omit to perform any act herein required to be performed by it, only if the Company has obtained the written consent of the Holder.
No waiver shall be effective unless it is in writing and signed by an authorized representative of the waiving party.

 

12.
SEVERABILITY. If any provision of this
Warrant is prohibited by law or otherwise determined to be invalid or unenforceable by a court of competent jurisdiction, the provision
that would otherwise be prohibited, invalid or unenforceable shall be deemed amended to apply to the broadest extent that it would be
valid and enforceable, and the invalidity or unenforceability of such provision shall not affect the validity of the remaining provisions
of this Warrant so long as this Warrant as so modified continues to express, without material change, the original intentions of the
parties as to the subject matter hereof and the prohibited nature, invalidity or unenforceability of the provision(s) in question does
not substantially impair the respective expectations or reciprocal obligations of the parties or the practical realization of the benefits
that would otherwise be conferred upon the parties. The parties will endeavor in good faith negotiations to replace the prohibited, invalid
or unenforceable provision(s) with a valid provision(s), the effect of which comes as close as possible to that of the prohibited, invalid
or unenforceable provision(s).

 

13.
GOVERNING LAW. This Warrant shall be governed
by and construed and enforced in accordance with, and all questions concerning the construction, validity, interpretation and performance
of this Warrant shall be governed by, the internal laws of the State of New York, without giving effect to any choice of law or conflict
of law provision or rule (whether of the State of New York or any other jurisdictions) that would cause the application of the laws of
any jurisdictions other than the State of New York. The Company hereby irrevocably waives personal service of process and consents to
process being served in any such suit, action or proceeding by mailing a copy thereof to the Company at the address set forth in Section
7(f) of the Amendment Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof.
The Company hereby irrevocably submits to the exclusive jurisdiction of the state and federal courts sitting in The City of New York,
Borough of Manhattan, for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby
or discussed herein, and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is
not personally subject to the jurisdiction of any such court, that such suit, action or proceeding is brought in an inconvenient forum
or that the venue of such suit, action or proceeding is improper. Nothing contained herein shall be deemed to limit in any way any right
to serve process in any manner permitted by law. Nothing contained herein shall be deemed or operate to preclude the Holder from bringing
suit or taking other legal action against the Company in any other jurisdiction to collect on the Company’s obligations to the
Holder, to realize on any collateral or any other security for such obligations, or to enforce a judgment or other court ruling in favor
of the Holder. THE COMPANY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE TO, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION
OF ANY DISPUTE HEREUNDER OR IN CONNECTION WITH OR ARISING OUT OF THIS WARRANT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

14.
CONSTRUCTION; HEADINGS. This Warrant shall
be deemed to be jointly drafted by the Company and the Holder and shall not be construed against any Person as the drafter hereof. The
headings of this Warrant are for convenience of reference and shall not form part of, or affect the interpretation of, this Warrant.
Terms used in this Warrant but defined in the other Transaction Documents shall have the meanings ascribed to such terms on the Closing
Date in such other Transaction Documents unless otherwise consented to in writing by the Holder.

 

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15.
DISPUTE RESOLUTION.

 

(a)
Submission to Dispute Resolution.

 

(i)
In the case of a dispute relating to the Exercise Price,
the Closing Sale Price, the Bid Price or fair market value or the arithmetic calculation of the number of Warrant Shares (as the case
may be) (including, without limitation, a dispute relating to the determination of any of the foregoing), the Company or the Holder (as
the case may be) shall submit the dispute to the other party via facsimile (A) if by the Company, within three (3) Business Days after
the occurrence of the circumstances giving rise to such dispute or (B) if by the Holder, at any time after the Holder learned of the
circumstances giving rise to such dispute. If the Holder and the Company are unable to promptly resolve such dispute relating to such
Exercise Price, such Closing Sale Price, such Bid Price or such fair market value or such arithmetic calculation of the number of Warrant
Shares (as the case may be), at any time after the third (3rd) Business Day following such initial notice by the Company or the Holder
(as the case may be) of such dispute to the Company or the Holder (as the case may be), then the Holder may, at its sole option, select
an independent, reputable investment bank to resolve such dispute.

 

(ii)
The Holder and the Company shall each deliver to such
investment bank (A) a copy of the initial dispute submission so delivered in accordance with the first sentence of this Section 15 and
(B) written documentation supporting its position with respect to such dispute, in each case, no later than 5:00 p.m. (New York time)
by the fifth (5th) Business Day immediately following the date on which the Holder selected such investment bank (the “Dispute
Submission Deadline”) (the documents referred to in the immediately preceding clauses (A) and (B) are collectively referred
to herein as the “Required Dispute Documentation”) (it being understood and agreed that if either the Holder or the
Company fails to so deliver all of the Required Dispute Documentation by the Dispute Submission Deadline, then the party who fails to
so submit all of the Required Dispute Documentation shall no longer be entitled to (and hereby waives its right to) deliver or submit
any written documentation or other support to such investment bank with respect to such dispute and such investment bank shall resolve
such dispute based solely on the Required Dispute Documentation that was delivered to such investment bank prior to the Dispute Submission
Deadline). Unless otherwise agreed to in writing by both the Company and the Holder or otherwise requested by such investment bank, neither
the Company nor the Holder shall be entitled to deliver or submit any written documentation or other support to such investment bank
in connection with such dispute (other than the Required Dispute Documentation).

 

(iii)
The Company and the Holder shall cause such investment
bank to determine the resolution of such dispute and notify the Company and the Holder of such resolution no later than ten (10) Business
Days immediately following the Dispute Submission Deadline. The fees and expenses of such investment bank shall be borne solely by the
Company, and such investment bank’s resolution of such dispute shall be final and binding upon all parties absent manifest error.

 

    	14

     

    

 

(b)
Miscellaneous. The Company expressly acknowledges
and agrees that (i) this Section 15 constitutes an agreement to arbitrate between the Company and the Holder (and constitutes an arbitration
agreement) under the rules then in effect under § 7501, et seq. of the New York Civil Practice Law and Rules (“CPLR”)
and that the Holder is authorized to apply for an order to compel arbitration pursuant to CPLR § 7503(a) in order to compel compliance
with this Section 15, (ii) the terms of this Warrant and each other applicable Transaction Document shall serve as the basis for the
selected investment bank’s resolution of the applicable dispute, such investment bank shall be entitled (and is hereby expressly
authorized) to make all findings, determinations and the like that such investment bank determines are required to be made by such investment
bank in connection with its resolution of such dispute and in resolving such dispute such investment bank shall apply such findings,
determinations and the like to the terms of this Warrant and any other applicable Transaction Documents, (iii) the Holder (and only the
Holder), in its sole discretion, shall have the right to submit any dispute described in this Section 15 to any state or federal court
sitting in The City of New York, Borough of Manhattan in lieu of utilizing the procedures set forth in this Section 15 and (iv) nothing
in this Section 15 shall limit the Holder from obtaining any injunctive relief or other equitable remedies (including, without limitation,
with respect to any matters described in this Section 15).

 

16.
REMEDIES, CHARACTERIZATION, OTHER OBLIGATIONS, BREACHES
AND INJUNCTIVE RELIEF. The remedies provided in this Warrant shall be cumulative and in addition to all other remedies available
under this Warrant and the other Transaction Documents, at law or in equity (including a decree of specific performance and/or other
injunctive relief), and nothing herein shall limit the right of the Holder to pursue actual and consequential damages for any failure
by the Company to comply with the terms of this Warrant. The Company covenants to the Holder that there shall be no characterization
concerning this instrument other than as expressly provided herein. Amounts set forth or provided for herein with respect to payments,
exercises and the like (and the computation thereof) shall be the amounts to be received by the Holder and shall not, except as expressly
provided herein, be subject to any other obligation of the Company (or the performance thereof). The Company acknowledges that a breach
by it of its obligations hereunder will cause irreparable harm to the Holder and that the remedy at law for any such breach may be inadequate.
The Company therefore agrees that, in the event of any such breach or threatened breach, the holder of this Warrant shall be entitled,
in addition to all other available remedies, to specific performance and/or temporary, preliminary and permanent injunctive or other
equitable relief from any court of competent jurisdiction in any such case without the necessity of proving actual damages and without
posting a bond or other security. The Company shall provide all information and documentation to the Holder that is requested by the
Holder to enable the Holder to confirm the Company’s compliance with the terms and conditions of this Warrant (including, without
limitation, compliance with Section 2 hereof). The issuance of shares and certificates for shares as contemplated hereby upon the exercise
of this Warrant shall be made without charge to the Holder or such shares for any issuance tax or other costs in respect thereof, provided
that the Company shall not be required to pay any tax which may be payable in respect of any transfer involved in the issuance and delivery
of any certificate in a name other than the Holder or its agent on its behalf.

 

17.
PAYMENT OF COLLECTION, ENFORCEMENT AND OTHER COSTS.
If (a) this Warrant is placed in the hands of an attorney for collection or enforcement or is collected or enforced through any legal
proceeding or the holder otherwise takes action to collect amounts due under this Warrant or to enforce the provisions of this Warrant
or (b) there occurs any bankruptcy, reorganization, receivership of the company or other proceedings affecting company creditors’
rights and involving a claim under this Warrant, then the Company shall pay the costs incurred by the Holder for such collection, enforcement
or action or in connection with such bankruptcy, reorganization, receivership or other proceeding, including, without limitation, attorneys’
fees and disbursements.

 

    	15

     

    

 

18.
TRANSFER. This Warrant may be offered
for sale, sold, transferred or assigned without the consent of the Company.

 

19.
CERTAIN DEFINITIONS. For purposes of this Warrant,
the following terms shall have the following meanings:

 

(a)
“1933 Act” means the Securities Act
of 1933, as amended, and the rules and regulations thereunder.

 

(b)
“1934 Act” means the Securities Exchange
Act of 1934, as amended, and the rules and regulations thereunder.

 

(c)
“Affiliate” means, with respect to
any Person, any other Person that directly or indirectly controls, is controlled by, or is under common control with, such Person, it
being understood for purposes of this definition that “control” of a Person means the power directly or indirectly either
to vote 10% or more of the stock having ordinary voting power for the election of directors of such Person or direct or cause the direction
of the management and policies of such Person whether by contract or otherwise.

 

(d)
“Attribution Parties” means, collectively,
the following Persons: (i) any investment vehicle, including, any funds, feeder funds or managed accounts, currently, or from time to
time after the Issuance Date, directly or indirectly managed or advised by the Holder’s investment manager or any of its Affiliates
or principals, (ii) any direct or indirect Affiliates of the Holder or any of the foregoing, (iii) any Person acting or who could be
deemed to be acting as a Group together with the Holder or any of the foregoing and (iv) any other Persons whose beneficial ownership
of the Common Stock would or could be aggregated with the Holder’s and the other Attribution Parties for purposes of Section 13(d)
of the 1934 Act. For clarity, the purpose of the foregoing is to subject collectively the Holder and all other Attribution Parties to
the Maximum Percentage.

 

(e)
“Bid Price” means, for any security
as of the particular time of determination, the bid price for such security on the Principal Market as reported by Bloomberg as of such
time of determination, or, if the Principal Market is not the principal securities exchange or trading market for such security, the
bid price of such security on the principal securities exchange or trading market where such security is listed or traded as reported
by Bloomberg as of such time of determination, or if the foregoing does not apply, the bid price of such security in the over-the-counter
market on the electronic bulletin board for such security as reported by Bloomberg as of such time of determination, or, if no bid price
is reported for such security by Bloomberg as of such time of determination, the average of the bid prices of any market makers for such
security as reported in the “pink sheets” by OTC Markets Group Inc. (formerly Pink Sheets LLC) as of such time of determination.
If the Bid Price cannot be calculated for a security as of the particular time of determination on any of the foregoing bases, the Bid
Price of such security as of such time of determination shall be the fair market value as mutually determined by the Company and the
Holder. If the Company and the Holder are unable to agree upon the fair market value of such security, then such dispute shall be resolved
in accordance with the procedures in Section 15. All such determinations shall be appropriately adjusted for any stock dividend, stock
split, stock combination or other similar transaction during such period.

 

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(f)
“Bloomberg” means Bloomberg, L.P.

 

(g)
“Business Day” means any day other
than Saturday, Sunday or other day on which commercial banks in The City of New York are authorized or required by law to remain closed;
provided, however, for clarification, commercial banks shall not be deemed to be authorized or required by law to remain closed due to
“stay at home”, “shelter-in-place”, “non-essential employee” or any other similar orders or restrictions
or the closure of any physical branch locations at the direction of any governmental authority so long as the electronic funds transfer
systems (including for wire transfers) of commercial banks in The City of New York generally are open for use by customers on such day.

 

(h)
“Closing Sale Price” means, for any
security as of any date, the last closing trade price for such security on the Principal Market, as reported by Bloomberg, or, if the
Principal Market begins to operate on an extended hours basis and does not designate the closing trade price, then the last trade price
of such security prior to 4:00:00 p.m., New York time, as reported by Bloomberg, or, if the Principal Market is not the principal securities
exchange or trading market for such security, the last trade price of such security on the principal securities exchange or trading market
where such security is listed or traded as reported by Bloomberg, or if the foregoing does not apply, the last trade price of such security
in the over-the-counter market on the electronic bulletin board for such security as reported by Bloomberg, or, if no last trade price
is reported for such security by Bloomberg, the average of the ask prices of any market makers for such security as reported in the “pink
sheets” by OTC Markets Group Inc. (formerly Pink Sheets LLC). If the Closing Sale Price cannot be calculated for a security on
a particular date on any of the foregoing bases, the Closing Sale Price of such security on such date shall be the fair market value
as mutually determined by the Company and the Holder. If the Company and the Holder are unable to agree upon the fair market value of
such security, then such dispute shall be resolved in accordance with the procedures in Section 15. All such determinations shall be
appropriately adjusted for any stock dividend, stock split, stock combination or other similar transaction during such period.

 

(i)
“Common Stock” means (i) the Company’s
shares of common stock, $0.001 par value per share, and (ii) any capital stock into which such common stock shall have been changed or
any share capital resulting from a reclassification of such common stock.

 

(j)
“Convertible Securities” means any
stock or other security (other than Options) that is at any time and under any circumstances, directly or indirectly, convertible into,
exercisable or exchangeable for, or which otherwise entitles the holder thereof to acquire, any shares of Common Stock.

 

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(k)
“Eligible Market” means The New York
Stock Exchange, the NYSE American, the Nasdaq Global Select Market, the Nasdaq Global Market or the Nasdaq Capital Market.

 

(l)
“Expiration Date” means the date
that is the fifth (5th) anniversary of the Initial Exercisability Date or, if such date falls on a day other than a Trading Day or on
which trading does not take place on the Principal Market (a “Holiday”), the next date that is not a Holiday.

 

(m)
“Fundamental Transaction” means (A)
that the Company shall, directly or indirectly, including through subsidiaries, Affiliates or otherwise, in one or more related transactions,
(i) consolidate or merge with or into (whether or not the Company is the surviving corporation) another Subject Entity, or (ii) sell,
assign, transfer, convey or otherwise dispose of all or substantially all of the properties or assets of the Company or any of its “significant
subsidiaries” (as defined in Rule 1-02 of Regulation S-X) to one or more Subject Entities, or (iii) make, or allow one or more
Subject Entities to make, or allow the Company to be subject to or have its Common Stock be subject to or party to one or more Subject
Entities making, a purchase, tender or exchange offer that is accepted by the holders of at least either (x) 50% of the outstanding shares
of Common Stock, (y) 50% of the outstanding shares of Common Stock calculated as if any shares of Common Stock held by all Subject Entities
making or party to, or Affiliated with any Subject Entities making or party to, such purchase, tender or exchange offer were not outstanding;
or (z) such number of shares of Common Stock such that all Subject Entities making or party to, or Affiliated with any Subject Entity
making or party to, such purchase, tender or exchange offer, become collectively the beneficial owners (as defined in Rule 13d-3 under
the 1934 Act) of at least 50% of the outstanding shares of Common Stock, or (iv) consummate a stock or share purchase agreement or other
business combination (including, without limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with one
or more Subject Entities whereby all such Subject Entities, individually or in the aggregate, acquire, either (x) at least 50% of the
outstanding shares of Common Stock, (y) at least 50% of the outstanding shares of Common Stock calculated as if any shares of Common
Stock held by all the Subject Entities making or party to, or Affiliated with any Subject Entity making or party to, such stock purchase
agreement or other business combination were not outstanding; or (z) such number of shares of Common Stock such that the Subject Entities
become collectively the beneficial owners (as defined in Rule 13d-3 under the 1934 Act) of at least 50% of the outstanding shares of
Common Stock, or (v) reorganize, recapitalize or reclassify its Common Stock, (B) that the Company shall, directly or indirectly, including
through subsidiaries, Affiliates or otherwise, in one or more related transactions, allow any Subject Entity individually or the Subject
Entities in the aggregate to be or become the “beneficial owner” (as defined in Rule 13d-3 under the 1934 Act), directly
or indirectly, whether through acquisition, purchase, assignment, conveyance, tender, tender offer, exchange, reduction in outstanding
shares of Common Stock, merger, consolidation, business combination, reorganization, recapitalization, spin-off, scheme of arrangement,
reorganization, recapitalization or reclassification or otherwise in any manner whatsoever, of either (x) at least 50% of the aggregate
ordinary voting power represented by issued and outstanding Common Stock, (y) at least 50% of the aggregate ordinary voting power represented
by issued and outstanding Common Stock not held by all such Subject Entities as of the Subscription Date calculated as if any shares
of Common Stock held by all such Subject Entities were not outstanding, or (z) a percentage of the aggregate ordinary voting power represented
by issued and outstanding shares of Common Stock or other equity securities of the Company sufficient to allow such Subject Entities
to effect a statutory short form merger or other transaction requiring other shareholders of the Company to surrender their shares of
Common Stock without approval of the shareholders of the Company or (C) directly or indirectly, including through subsidiaries, Affiliates
or otherwise, in one or more related transactions, the issuance of or the entering into any other instrument or transaction structured
in a manner to circumvent, or that circumvents, the intent of this definition in which case this definition shall be construed and implemented
in a manner otherwise than in strict conformity with the terms of this definition to the extent necessary to correct this definition
or any portion of this definition which may be defective or inconsistent with the intended treatment of such instrument or transaction.

 

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(n)
“Group” means a “group”
as that term is used in Section 13(d) of the 1934 Act and as defined in Rule 13d-5 thereunder.

 

(o)
“Initial Exercisability Date” means
the date of the Spin-off Distribution (as defined in Section 19(v)) effected in connection with the Spin-Off Transactions.

 

(p)
“Options” means any rights, warrants
or options to subscribe for or purchase shares of Common Stock or Convertible Securities.

 

(q)
“Parent Entity” of a Person means
an entity that, directly or indirectly, controls the applicable Person and whose common stock or equivalent equity security is quoted
or listed on an Eligible Market, or, if there is more than one such Person or Parent Entity, the Person or Parent Entity with the largest
public market capitalization as of the date of consummation of the Fundamental Transaction.

 

(r)
“Person” means an individual, a limited
liability company, a partnership, a joint venture, a corporation, a trust, an unincorporated organization, any other entity or a government
or any department or agency thereof.

 

(s)
“Principal Market” means the Nasdaq
Global Market.

 

(t)
“Registration Rights Agreement” means
that certain registration rights agreement, dated as of the Closing Date, by and among the Company and the initial holders of the Warrants
relating to, among other things, the registration of the resale of the Common Stock issuable upon exercise of the Warrants, as may be
amended from time to time.

 

(u)
“SEC” means the United States Securities
and Exchange Commission or the successor thereto.

 

(v)
“Spin-off Transactions” means the
separation (the “Separation”) of the packaging, Web3, and Bitcoin mining services businesses (collectively, the “Spin-Off
Businesses”) from Vinco Ventures Inc., a Nevada corporation (“BBIG”), and the creation of an independent,
publicly traded company, the Company, through the consummation of (i) the contribution by BBIG to the Company of the assets, including
the various legal entities that are subsidiaries of BBIG, subject to any related liabilities, associated with the Spin-Off Businesses,
(ii) the distribution of all of the shares of Common Stock owned by BBIG to stockholders of BBIG (the “Spin-off Distribution”)
as of the close of business on the record date for such Spin-off Distribution and (iii) means any other transaction to effect the Separation,
including those related to the various name changes, stock listings, and contractual arrangements between us and BBIG.

 

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(w)
“Subject Entity” means any Person,
Persons or Group or any Affiliate or associate of any such Person, Persons or Group.

 

(x)
“Successor Entity” means the Person
(or, if so elected by the Holder, the Parent Entity) formed by, resulting from or surviving any Fundamental Transaction or the Person
(or, if so elected by the Holder, the Parent Entity) with which such Fundamental Transaction shall have been entered into.

 

(y)
“Trading Day” means, as applicable,
(x) with respect to all price or trading volume determinations relating to the Common Stock, any day on which the Common Stock is traded
on the Principal Market, or, if the Principal Market is not the principal trading market for the Common Stock, then on the principal
securities exchange or securities market on which the Common Stock is then traded, provided that “Trading Day” shall not
include any day on which the Common Stock is scheduled to trade on such exchange or market for less than 4.5 hours or any day that the
Common Stock is suspended from trading during the final hour of trading on such exchange or market (or if such exchange or market does
not designate in advance the closing time of trading on such exchange or market, then during the hour ending at 4:00:00 p.m., New York
time) unless such day is otherwise designated as a Trading Day in writing by the Holder or (y) with respect to all determinations other
than price or trading volume determinations relating to the Common Stock, any day on which The New York Stock Exchange (or any successor
thereto) is open for trading of securities.

 

(z)
“VWAP” means, for any security as
of any date, the dollar volume-weighted average price for such security on the Principal Market (or, if the Principal Market is not the
principal trading market for such security, then on the principal securities exchange or securities market on which such security is
then traded), during the period beginning at 9:30 a.m., New York time, and ending at 4:00 p.m., New York time, as reported by Bloomberg
through its “VAP” function (set to 09:30 start time and 16:00 end time) or, if the foregoing does not apply, the dollar volume-weighted
average price of such security in the over-the-counter market on the electronic bulletin board for such security during the period beginning
at 9:30 a.m., New York time, and ending at 4:00 p.m., New York time, as reported by Bloomberg, or, if no dollar volume-weighted average
price is reported for such security by Bloomberg for such hours, the average of the highest closing bid price and the lowest closing
ask price of any of the market makers for such security as reported in the “pink sheets” by OTC Markets Group Inc. (formerly
Pink Sheets LLC). If the VWAP cannot be calculated for such security on such date on any of the foregoing bases, the VWAP of such security
on such date shall be the fair market value as mutually determined by the Company and the Holder. If the Company and the Holder are unable
to agree upon the fair market value of such security, then such dispute shall be resolved in accordance with the procedures in Section
15. All such determinations shall be appropriately adjusted for any stock dividend, stock split, stock combination, recapitalization
or other similar transaction during such period.

 

[signature
page follows]

 

    	20

     

    

 

IN
WITNESS WHEREOF, the Company has caused this Warrant to Purchase Common Stock to be duly executed as of the Issuance Date set out
above.

 

	 	CRYPTYDE,
    INC.
	 	 	 
	 	By:	/s/
    Brian McFadden
	 	Name:	Brian
    McFadden
	 	Title:	President
    and Chief Executive Officer

 

    	21

     

    

 

EXHIBIT
A

 

EXERCISE
NOTICE

TO
BE EXECUTED BY THE REGISTERED HOLDER TO EXERCISE THIS

WARRANT
TO PURCHASE COMMON STOCK

CRYPTYDE,
INC.

 

The
undersigned holder hereby elects to exercise the Warrant to Purchase Common Stock No. _______ (the “Warrant”) of Cryptyde,
Inc., a Delaware corporation (the “Company”) as specified below. Capitalized terms used herein and not otherwise defined
shall have the respective meanings set forth in the Warrant.

 

1.
Form of Exercise Price. The Holder intends that payment of the Aggregate Exercise Price shall be made as:

 

	 	☐	a
    “Cash Exercise” with respect to _____________ Warrant Shares; and/or
	 	☐	a
    “Cashless Exercise” with respect to __________ Warrant Shares.

 

In
the event that the Holder has elected a Cashless Exercise with respect to some or all of the Warrant Shares to be issued pursuant hereto,
the Holder hereby represents and warrants that (i) this Exercise Notice was executed by the Holder at __________ [a.m.][p.m.] on the
date set forth below and (ii) if applicable, the Bid Price as of such time of execution of this Exercise Notice was $________.

 

2.
Payment of Exercise Price. In the event that the Holder has elected a Cash Exercise with respect to some or all of the Warrant
Shares to be issued pursuant hereto, the Holder shall pay the Aggregate Exercise Price in the sum of $___________________ to the Company
in accordance with the terms of the Warrant.

 

3.
Delivery of Warrant Shares. The Company shall deliver to Holder, or its designee or agent as specified below, __________ shares
of Common Stock in accordance with the terms of the Warrant. Delivery shall be made to Holder, or for its benefit, as follows:

 

Check
here if requesting delivery as a certificate to the following name and to the following address:

 

	 	Issue
    to:	 	 
	 	 	 	 
	 	 	 	 

 

	 	☐	Check
    here if requesting delivery by Deposit/Withdrawal at Custodian as follows:

 

	 	DTC
    Participant:	 
	 	DTC
    Number:	 
	 	Account
    Number:	 

 

	Date:
    	 	 

 

	 	 
	Name
    of Registered Holder	 

 

	By:
    	 	 
	Name:	 	 
	Title:	 	 

 

	Tax
    ID: 	 	 
	Facsimile:
    	 	 
	E-mail
    Address: 	 	 

 

    	22

     

    

 

EXHIBIT
B

 

ACKNOWLEDGMENT

 

The
Company hereby acknowledges this Exercise Notice and hereby directs ______________ to issue the above indicated number of shares of Common
Stock.

 

	 	CRYPTYDE,
    INC.
	 	 	 
	 	By:
    	           
	 	Name:	 
	 	Title:	 

 

    	23

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