Document:

Fourth Amendment and Waiver Agreement

 Exhibit 10.23 
  
 FOURTH AMENDMENT AND WAIVER AGREEMENT 
  
 THIS FOURTH AMENDMENT AND WAIVER AGREEMENT (this “Agreement”), is dated as of March 31, 2005, by and
between Q.E.P. CO., INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. - O’TOOL, INC., a Nevada corporation with its chief
executive office and principal place of business at 1070 Mary Crest Road, Henderson, NV 89014, MARION TOOL CORPORATION, an Indiana corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton,
Florida 33487, ROBERTS CONSOLIDATED INDUSTRIES, INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS JAPAN KK, an entity organized in
Japan with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS HOLDING INTERNATIONAL, INC., a Delaware corporation with its chief executive office and principal place of
business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS COMPANY CANADA LIMITED, an entity organized in Ontario, Canada with its chief executive office and principal place of business at 2070 Steeles Avenue, Bramalea, Ontario,
Canada L6T1A7, ROBERTS HOLLAND B.V., an entity organized in The Netherlands with its chief executive office and principal place of business at 3360 AB Sliedrecht, P.O. Box 64, Parallelweg, The Netherlands, ROBERTS U.K. LIMITED, an
entity organized in England with its chief executive office and principal place of business at Unit 10, Branxholme Industrial Estate, Bailiff Bridge, Brighouse, West Yorkshire, England, HD6 4EA, ROBERTS GERMANY GmbH, an entity organized in
Germany with its chief executive office and principal place of business at Dreieichstrasse 10, 64546 Morfelden-Waldorf, Germany, ROBERTS S.A.R.L., an entity organized in France with its chief executive office and principal place of business
at 25 rue de la Gare, 78370b Plaisir, France, Q.E.P. STONE HOLDINGS, INC., a Florida corporation with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. AUST. PTY. LIMITED, an entity organized in Australia
with a place of business at 32-34 Hydrive Close, Victoria, Australia 3175, Q.E.P. CHILE LIMITADA, an entity organized in Chile with a place of business at Av. Recoleta 4464, Huechuraba, Santiago, Chile, Q.E.P. HOLDING B.V., an entity
organized in the Netherlands with its chief executive office and principal place of business at 3360 AB Sliedrecht, Parallelweg, The Netherlands, Q.E.P. CO. NEW ZEALAND LIMITED, an entity organized in New Zealand with a place of business at
67 Dalgety Drive, Manukau City, Auckland, New Zealand, Q.E.P. ZOCALIS HOLDING L.L.C., a Delaware limited liability company with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. ZOCALIS S.R.L., an entity
organized in Argentina with its chief executive office and principal place of business at 1607 Villa Adelina, Buenos Aries, Argentina, BOIARDI PRODUCTS CORPORATION, an Ohio corporation, with its chief executive office and principal place of
business at 453 Main Street, Little Falls, New Jersey 07424, Q.E.P. CO. U.K. LIMITED, an entity organized in England with its chief executive office and principal place of business at Gverest Road, Lytham St Anncs, Lancashire FY8 3AZ,
VITREX LIMITED, an entity organized in England with its chief executive office and principal place of business at Gverest Road, Lytham St Anncs, Lancashire FY8 3AZ, ROBERTS CAPITOL, INC., a Florida corporation with a chief executive
office and 

 
principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS MEXICANA, S.A. DE C.V., an entity organized in Mexico with its
chief executive office and principal place of business at Poniente 152, numero 935, Colonia Industrial Vallejo, C.P. 02300, Mexico, D.F., and P.R.C.I. SA, an entity organized in France with its chief executive office and principal place of
business at 111 Rue du Masdeporaly, Zone Industrielle 34000, Montpellier, France (all of the foregoing are hereinafter collectively referred to as, the “Borrower”), FLEET CAPITAL CORPORATION (“FCC”) and HSBC BANK
USA, NATIONAL ASSOCIATION, successor-by-merger to HSBC BANK USA (“HSBC” and together with FCC, the “Lenders” and each individually a “Lender”), and FLEET CAPITAL CORPORATION, a
Rhode Island corporation with an office at One Landmark Square, Stamford, Connecticut 06901, as agent for the Lenders, (hereinafter referred to as the “Agent”). 
  
 PREAMBLE 
  
 WHEREAS, pursuant to that certain Second Amended and Restated Loan Agreement dated as of November 14, 2002 by and among the Borrower, the Lenders
and the Agent (as amended and in effect from time to time, the “Loan Agreement”), the Lenders made, or agreed to make in the future, certain Loans to the Borrower; 
  
 WHEREAS, the Borrower has requested Lenders to amend the Loan Agreement in order to, among other things, increase the
maximum principal amount of the Revolving Loan, make the 2005 Term Loan available to Borrower, extend the maturity date of the Revolving Loan, add Vitrex Limited (“Vitrex”), Roberts Capitol, Inc. Roberts Mexicana, S.A., de C.V., and
P.R.C.I. SA as Borrowers and waive certain requirements contained therein; and 
  
 WHEREAS, Lenders are willing to amend the Loan Agreement and waive such requirements subject to and in reliance upon the representations, warranties, acknowledgments, covenants and agreements of Borrower
contained herein. 
  
 AGREEMENT 
  
 NOW, THEREFORE, in consideration of the mutual promises and covenants
contained herein and acknowledging that Lenders are relying upon the representations, warranties, acknowledgments, covenants and agreements of Borrower contained herein, Borrower and Lenders agree as follows: 
  
 I. Acknowledgments and Affirmations. 
  
 A. Borrower and Lenders acknowledge and agree that capitalized terms used
herein and without definition shall have the meanings assigned to them in the Loan Agreement. 
  

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 B. Borrower acknowledges and affirms that: 
  
 1. As of March 1, 2005, Borrower is legally and validly indebted to Lenders under the Loan Agreement in the principal amount
(including the face amount of outstanding Letters of Credit) of $ 22,243,181.14 with respect to the Revolving Loan, $ 2,866,661.00 with respect to the Term Loans, $ 0.00 with respect to the BV Loans and CAD $ 2,322,024.02 with respect to the
Mortgage Loan, plus interest, fees and charges accrued and accruing thereon and thereunder, and there is no defense, offset or counterclaim with respect to any such indebtedness or independent claim or action against Lenders. 
  
 2. All indebtedness of Borrower to Lenders whenever and however arising, is
secured by a duly perfected, first priority security interest in the Collateral (or, in the case of QEP UK, Vitrex, Roberts Mexicana, S.A. de C.V., and P.R.C.I. SA a second priority security interest in the Collateral which is and shall be junior
only to the liens described in subsection III (ii) below). 
  
 C.
Borrower represents and warrants that: 
  
 1. The resolutions
previously adopted by the Board of Directors of each Borrower with respect to the Loan Agreement and provided to Lenders have not in any way been rescinded or modified and have been in full force and effect since their adoption to and including the
date hereof and are now in full force and effect, except to the extent that they have been modified or supplemented to authorize this Agreement and the documents and transactions describe herein. 
  
 2. Each Borrower has the corporate power and authority to enter into this
Agreement and the transactions contemplated herein, and each Borrower has taken all necessary corporate action to authorize this Agreement and the transactions contemplated herein. 
  
 3. Except as amended by this Agreement, all representations, warranties and covenants contained in the Loan Agreement, and
in the schedules and exhibits attached thereto, are true and correct on and as of the date hereof, are incorporated herein by reference and, with respect to each Borrower organized under the laws of any jurisdiction with the United States, Canada,
the Netherlands, Australia or the United Kingdom, are hereby remade, and, with respect to each other Borrower, are hereby remade to the best of their knowledge. 
  

4. No Borrower is currently in default under the Loan Agreement, and no condition exists or has occurred which would constitute a default thereunder
but for the giving of notice or passage of time, or both. 
  
 D.
The consummation of the transactions contemplated herein (a) is not prevented or limited by, nor does it conflict with or result in a breach of the terms, conditions or provisions of, any Borrower’s articles of incorporation or bylaws, or any
evidence of indebtedness, agreement or instrument of whatever nature to which any Borrower is a party or by which any of them is bound, (b) does not constitute a default under any of the foregoing, and (c) does not violate any federal, state or
local law, regulation or order of any court or agency which is binding upon any Borrower. 
  

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 II. Amendments to Loan Agreement. The following amendments to the Loan Agreement shall be made.

  
 A. Section 1.1 is hereby amended by deleting the definitions
of “Borrower”, “Foreign Advances”, “Foreign Companies”, “Maturity Date”, “Notes”, and “Term Loan Commitment”, “Borrowing Base”, “Domestic Advances” and “Domestic
Companies”, and replacing them with the following: 
  
 “Borrower” means that term as defined in the preamble to the Fourth Amendment and Waiver Agreement to the Agreement dated as of March 31, 2005.” 
  
 “Borrowing Base” means, at the relevant time of reference, the amount which is equal to (i) 85% of Eligible
Accounts Receivable, plus (ii) the lesser of (a) the sum of (1) 50% of Eligible Finished Goods Inventory, plus (2) 35% of Eligible Raw Materials Inventory, plus (3) 25% of Eligible Work-in-Progress Inventory or (b) for the period through and
including February 28, 2006, $13,000,000 and, on and after March 1, 2006, $14,000,000, provided that Lender may, in its sole discretion, at any time and from time to time upon three (3) Business Days’ prior written notice (unless a Default or
an Event of Default shall have occurred and be continuing, in which event no such notice shall be required), adjust the advance rates set forth within this definition of “Borrowing Base”. 
  
 “Domestic Advances” shall mean those advances made in favor of
Q.E.P. Co., Inc., Q.E.P.-O’Tool, Inc., Marion Tool corporation, Westpoint Foundry, Inc., Roberts Consolidated Industries, Inc., Roberts Holding International, Inc., Roberts Company Canada Limited, Q.E.P. Stone Holdings, Inc., Boiardi Products
Corporation and Roberts Capitol, Inc. 
  
 “Domestic
Companies” shall mean Q.E.P. Co., Inc., Q.E.P.-O’Tool, Inc., Marion Tool Corporation, Westpoint Foundary, Inc., Roberts Consolidated Industries, Inc., Roberts Holding International, Inc., Roberts Company Canada Limited, Q.E.P. Stone
Holdings, Inc., Boiardi Products Corporation, and Roberts Capitol, Inc. 
  
 “Foreign Advances” shall mean those advances made in favor of Roberts Japan KK, Roberts U.K. Limited, Roberts Germany GmbH, Roberts S.A.R.L., Q.E.P Holding B.V., Q.E.P. Aust. Pty. Limited, Q.E.P. Chile Limitada, Q.E.P. Co., New
Zealand Limited, Q.E.P. Zocalis S.R.L, Q.E.P. Co. U.K. Limited, Vitrex Limited, Roberts Mexicana, S.A. de C.V., and P.R.C.I. SA. 
  
 “Foreign Companies” shall mean Roberts Japan KK, Roberts U.K. Limited, Roberts Germany GmbH, Roberts S.A.R.L., Q.E.P. Holding B.V., Q.E.P. Aust.
Pty. Limited, Q.E.P. Chile Limitada, Q.E.P. Co., New Zealand Limited, Q.E.P. Zocalis S.R.L., Q.E.P. Co. U.K. Limited, Vitrex Limited, Roberts Mexicana, S.A. de C.V., and P.R.C.I. SA. 
  

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 “Maturity Date” means, (i) in the case of the Revolving Credit Loan, July 25, 2008, (ii) in the
case of the 2005 Term Loan, April 1, 2008, (iii) in the case of the BV Loan, July 25, 2008, and (iv) in the case of the Mortgage Loan, September 1, 2008, in each case or earlier as set forth in this Agreement. 
  
 “Notes” means collectively the Domestic Advance Notes, the Foreign
Notes, the BV Notes, the 2005 Term Notes, and the Mortgage Notes. 
  
 “Term Loan Commitment” means for each Lender, the amount set forth opposite such Lender’s name in Schedule 2 directly below the column entitled “2005 Term Loan Commitment”, and in the aggregate, as set forth
in Section 2 below such columns in the row entitled “Total” as the same may be adjusted from time to time as a result of assignments to or from such Lender pursuant to Section 11.4. 
  
 B. Section 1.1 is hereby further amended by deleting subsection (k) of the
definition of “Eligible Accounts Receivable” and replacing it with the following: (k) It is not owing from an Account Debtor located in any jurisdiction in which the Borrower has not complied with any laws which might restrict the ability
of the Borrower to collect such Receivables; and 
  
 C. The
definitions of “2002 Term Loan”, “2002 Term Note”, “2003 Term Loan”, and “2003 Term Note” are hereby deleted. 
  
 D. The following new definitions are hereby added in the appropriate alphabetical location: 
  
 “2005 Term Loan” means that term as defined in Section 2.2(a). 
  
 “2005 Term Note” means that term as defined in Section 2.2(b).

  
 “Fourth Amendment Effective Date” means March 31,
2005. 
  
 E. Section 2.1 (c) of the Loan Agreement is hereby
deleted and replaced with the following: 
  
 (a) All Revolving
Advances made to Domestic Companies shall be evidenced by, and repaid with interest in accordance with one or more promissory notes of Borrower, each substantially in the form of Exhibit A hereto (each such promissory note is referred to herein as a
“Domestic Advance Note”, and Domestic Advance Notes and Foreign Notes are collectively referred to as “Revolving Credit Notes”). The Revolving Credit Note issued to each Lender shall (i) be executed by the Borrower, (ii) be
payable to such Lender or its registered assigns and be dated the Fourth Amendment Effective Date, (iii) be in a stated principal amount equal to the Revolving Loan Commitment of such Lender and be payable in the outstanding principal amount of the
Revolving Loans evidenced thereby, (iv) mature on the Maturity Date, (v) bear interest as provided in the appropriate clause of Section 2.3 in respect 

  

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of the Prime Rate Advances and LIBOR Rate Advances, as the case may be, evidenced thereby, and (vi) be entitled to the benefits of this Agreement and the
other Loan Documents. Borrower hereby authorizes each Lender to record on its Revolving Credit Note or in its internal computerized records the amount of each Revolving Advance and of each payment of principal received by such Lender on account of
the Revolving Loan, which recordation shall, in the absence of manifest error, be conclusive as to the outstanding principal balance of the Revolving Loan and shall be considered correct and binding on Borrower provided, however, that the failure to
make such recordation with respect to any Revolving Advance or payment shall not limit or otherwise affect the obligations of Borrower under this Agreement or the Revolving Credit Note. With respect to the Revolving Loan, Borrower shall pay to the
Agent, for the ratable benefit of the Lenders, a fee on the first day of each month and on the Maturity Date, in an amount equal to one-quarter of one percent (.25%) per annum of the difference between the Revolving Loan Commitment and the average
daily outstanding principal balance of the Revolving Loan for the prior one month period. 
  
 F. Section 2.2 of the Loan Agreement is hereby deleted and replaced with the following: 
  
 Section 2.2 2005 Term Loan. 
  
 (a) Subject to the terms and conditions set forth in this Agreement, the Lenders shall, on the Third Amendment Effective Date, make a term loan to
Borrower (the “2005 Term Loan”) in an original principal amount of Six Million ($6,000,000) U.S. Dollars. 
  
 (b) The 2005 Term Loan shall be evidenced by, and repaid in accordance with one or more promissory notes of Borrower, each substantially in the form
attached hereto as Exhibit B (each such note a “2005 Term Note”). The 2005 Term Note issued to each Lender that has a Term Loan Commitment or outstanding Term Loans shall (i) be executed by the Borrower, (ii) be payable to such
Lender or its registered assigns and be dated the Fourth Amendment Effective Date, (iii) be in a stated principal amount equal to the 2005 Term Loan made by such Lender and be payable in the outstanding principal amount of 2005 Term Loans evidenced
thereby, (iv) mature on the Maturity Date, (v) bear interest as provided in the appropriate clause of Section 2.3 in respect of the Prime Rate Advances and LIBOR Rate Advances, as the case may be, evidenced thereby, and (vi) be entitled to
the benefits of this Agreement and the other Loan Documents. 
  
 (c) Borrower shall make mandatory scheduled principal payments under the Term Notes monthly in the aggregate amount of (i) $166,666.67 per calendar month, commencing May 1, 2005 and continuing on the first day of each succeeding month
thereafter through and including April 1, 2008 until the outstanding principal amount of the 2005 Term Loan, together with all interest accrued thereon, has been fully paid, except that if not sooner paid, the principal amount, together with all
accrued but unpaid interest thereon, shall be due and payable on the Maturity Date. 
  

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 (d) Borrower may prepay any portion of the outstanding principal of the Term Loan, in whole or in part,
together with accrued interest to the date of such prepayment on the amount prepaid and all amounts required pursuant to Section 2.19 hereof, (i) with respect to any principal portion that bears interest with reference to the Prime Rate, on
any Business Day, without Make-Whole Premium, and (ii) with respect to any principal portion that bears interest with reference to LIBOR either (1) on the last Business Day of the Interest Period applicable to the portion of the Term Loan being
prepaid, without Make-Whole Premium or (2) on any other Business Day, together with the Make-Whole Premium. 
  
 G. Section 2.2A is hereby deleted in its entirety. 
  
 H. Section 2.3(a) of the Loan Agreement is hereby deleted and replaced with the following: 
  
 Section 2.3(a) Interest Provisions. 
  
 (a) Commencing with the first such date following the date of this Agreement, Borrower promises to pay interest to the
Agent, on the outstanding and unpaid principal balances of each of the Revolving Loan and the 2005 Term Loan, at a rate per annum equal to, at the option of Borrower, (i) the Prime Rate or (ii) the LIBOR Rate plus the LIBOR Spread (the “LIBOR
Spread”) as set forth in the following table: 
  

					
	 Fixed Charge Coverage Ratio
 (calculated,
for purposes of
 this pricing grid only, using
 amortization of $166,666.47
 per month for the 2005 Term
 Loan)

	 	 LIBOR SPREAD
 (Revolving Loan)

	    	 LIBOR SPREAD
 (2005 Term Loan)

	 • 1.15 - < 1.35
	 	200 basis points	    	263 basis points
	 • 1.35 - < 1.75
	 	175 basis points	    	238 basis points
	 • 1.75 x
	 	150 basis points	    	213 basis points

  
 Changes in the LIBOR Spread resulting
from a change in the above ratios shall become effective on the due date of delivery by the Borrower of a compliance certificate evidencing such change. If the Borrower shall fail to timely deliver a compliance certificate within five days of such
certificate’s due date in accordance with Section 5.8(c) of this Agreement, the LIBOR Spread shall be 200 basis points in the case of the Revolving Loan and 263 basis points in the case of the 2005 Term Loan from the day such certificate
was due until the day a certificate evidencing a lower LIBOR Spread is actually delivered to the Lender. Each Revolving Advance shall be comprised entirely of a Prime Rate Advance or a LIBOR Rate Advance as Borrower may request pursuant to
Section 2.4. Borrower shall not be entitled to 

  

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request any Revolving Advance which, if made, would result in more than six (6) LIBOR Rate Advances outstanding hereunder at any time. For purposes of the
foregoing, LIBOR Rate Advances having different Interest Periods, regardless of whether they commence on the same date, shall be considered separate LIBOR Rate Advances. Each LIBOR Rate Advance shall be in a principal amount of $500,000 (or the
equivalent in an Alternative Currency) or in $50,000 (or the equivalent in an Alternative Currency) increments in excess thereof. 
  
 I. Section 2.17 of the Loan Agreement is hereby deleted and replaced with the following: 
  
 Use of Proceeds. The proceeds of the Revolving Loans made hereunder shall be used by Borrower for Borrower’s
short term working capital requirements. The proceeds of the BV Loans made hereunder shall be used for the short term working capital requirements of BV and Q.E.P. The proceeds of the 2005 Term Loan will be used to refinance existing term
indebtedness of Borrower to the Lenders, fund the acquisition of Capitol USA and for general working capital purposes. The proceeds of the Mortgage Loan were used to refinance existing mortgage debt of Borrower in favor of a third party lender.
Borrower will not, directly or indirectly, use any part of the proceeds of any of the Loans for the purpose of purchasing or carrying any margin stock within the meaning of Regulation U of the Board of Governors of the Federal Reserve System or to
extend credit to any Person for the purpose of purchasing or carrying any such margin stock. 
  
 J. Section 2.25 of the Loan Agreement is hereby deleted and replaced with the following: 
  
 Excess Cash Flow Recapture. So long as there is any principal amount outstanding under the 2005 Term Note, Borrower shall, commencing with the
fiscal year ending February 28, 2006, pay Lender twenty-five percent (25%) of the amount of Excess Cash Flow for the such fiscal year annually upon the sooner to occur of (i) thirty (30) days of the delivery of Borrower’s audited financial
statements for such fiscal year and (ii) the end of the applicable Interest Period. Borrower may elect to make such payment at the end of the applicable Interest Period notwithstanding that such date may be greater than thirty (30) days after the
delivery of Borrower’s audited financial statements for such fiscal year, provided Borrower maintains a cash reserve with Lender equal to the amount of such payment. Such payment shall be allocated to payment of the principal of the 2005 Term
Loan, in the inverse order of maturity. 
  
 K. Section 5.8(d) of
the Loan Agreement is hereby deleted and replaced with the following: 
  
 (d) On each Drawdown Date or date of issuance, extension or renewal of a Letter of Credit, a collateral update certificate on the Agent’s then current form and, on a bi-weekly basis as of the 15th and last day of each month, a Borrowing Base Certificate in the Agent’s current form (a “Borrowing Base Certificate”), with supporting
verification, provided that at any time at which the Borrower’s average monthly Credit Availability (uncapped by line limits) is less than $1,000,000, Borrower shall deliver a Borrowing Base Certificate on a weekly basis as of Monday of each
week. 
  

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 L. Article 7 of the Loan Agreement is hereby deleted and replaced with the following: 
  
 ARTICLE 7 
  
 FINANCIAL COVENANTS 
  
 Borrower covenants and agrees that until payment is made of all the Loans and the performance of all its obligations hereunder, Borrower shall (as to
Borrower and any of its Subsidiaries) on a consolidated basis: 
  
 Section 7.1 Current Ratio. Maintain a ratio of (i) Current Assets to (ii) Current Liabilities of not less than 1.0:1.0 as of the end of each fiscal quarter of the Borrower. 
  
 Section 7.2 Tangible Net Worth. Maintain as of the end of each fiscal
quarter of the Borrower a Tangible Net Worth of not less than (i) at the end of the fiscal quarter ended November 30, 2004, $15,308,000, and (ii) for each fiscal quarter thereafter, the amount equal to the sum of (x), the amount required during the
last fiscal quarter of the immediately preceding fiscal year (e.g. for the fiscal quarter ending May 31, 2005, August 31, 2005, November 30, 2005 and February 28, 2006, the amount required for the fiscal quarter ended February 28, 2005) plus (y) the
percentage of Borrower’s net income for the immediately preceding fiscal year set forth in the following table: 
  

				
	 Fiscal Quarter Ending
 (each
year)

	  	Required Percentage of net income

	 
	 May 31
	  	12.5	%
	 August 31
	  	25	%
	 November 30
	  	37.5	%
	 February 28/29
	  	50	%

  
 Section 7.3
Leverage Ratio. Maintain as of the end of each quarter of the Borrower, a ratio of (i) Total Liabilities minus Subordinated Debt to (ii) Tangible Net Worth of not more than as set forth in the following table: 
  

			
	 Fiscal Quarter Ending

	 	 Ratio Not More Than

	2/28/05 – 2/28/06	 	2.75:1.0
	5/31/06 – 5/31/08	 	2.50:1.0

  

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 Section 7.4 Senior Debt to Trailing EBITDA Ratio. The Borrower shall maintain on a rolling four
quarter basis as of the end of each fiscal quarter of the Borrower a ratio of (i) Senior Debt to (ii) trailing twelve-month Earnings Before Interest, Taxes, Depreciation and Amortization of not more than as set forth in the following table:

  

			
	 Fiscal Quarter Ending

	 	 Ratio Not More Than

	2/28/05 – 2/28/06	 	2.75:1.0
	5/31/06 – 5/31/08	 	2.65:1.0

  
 Section 7.5
Intentionally omitted. 
  
 Section 7.6 Intentionally
omitted. 
  
 Section 7.7 Fixed Charge Coverage Ratio.
The Borrower shall maintain on a rolling four quarter basis as of the end of each fiscal quarter of the Borrower a ratio of (i) Earnings Before Interest, Taxes, Depreciation and Amortization minus unfinanced Capital Expenditures minus
all taxes paid during such period minus all dividends paid during such period, to (ii) Current Maturities of Long-Term Debt plus Interest Expense of not less than 1.15:1.0. 
  
 Section 7.8 Certain Financial Terms. For purposes of this Article 7, the following terms shall have the following
meanings: 
  
 (a) “Capital Assets” means fixed assets,
both tangible (such as land, buildings, fixtures, machinery and equipment) and intangible (such as patents, copyrights, trademarks, franchises and good will); provided that capital assets shall not include any item customarily charged
directly to expense or depreciated over a useful life of twelve (12) months or less in accordance with GAAP. 
  
 (b) “Capital Expenditures” means amounts paid or indebtedness incurred by Borrower or any of its Subsidiaries in connection with the purchase or
lease by the Borrower or any of its Subsidiaries of Capital Assets that would be required to be capitalized and shown on the balance sheet of such Person in accordance with GAAP. 
  
 (c) “Current Assets” means the aggregate amount of assets which in accordance with GAAP may be properly classified
as current assets, after deducting all costs and estimated earnings in excess of amounts billed and all indebtedness from Affiliates. 
  
 (d) “Current Liabilities” means (i) all Debt due on demand or within one year from the date of determination thereof (including without
limitation all Debt owed to Lender) and (ii) all other items which, in accordance with GAAP, may be properly classified as current liabilities. 
  

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 (e) “Current Maturities of Long-Term Debt” means, with respect to all Debt which, in accordance
with GAAP, may be properly classified as long-term debt, the portion of such Debt which is due within one (1) year from the date of determination thereof. 
  
 (f) Intentionally omitted. 
  
 (g) “Earnings Before Interest, Taxes, Depreciation and Amortization” means earnings (or losses) from operations for any period, after all
expenses and other proper charges but before payment or provision for any depreciation, amortization, income taxes and increased by interest expense (including non-cash interest expense) and pension expense and option or warrant related expenses for
such period. 
  
 (h) “Interest Expense” means, for any
period, the aggregate amount of interest required to be paid or accrued during such period on all Debt outstanding during all or any part of such period, whether such interest was or is required to be reflected as an item of expense or capitalized,
including payments consisting of interest in respect of Capital Leases and including commitment fees, agency fees, facility fees, balance deficiency fees and similar fees or expenses in connection with the borrowing of money. 
  
 (i) “Senior Debt” means Debt of the Borrower to the Agent or any
Lender of any kind or nature. 
  
 (j) “Subordinated
Debt” means any Debt of the Borrower which is subordinated in right of payment to the Loans upon terms and conditions and pursuant to subordination agreements satisfactory to the Lender in its sole discretion. 
  
 (k) Intentionally omitted. 
  
 (l) “Tangible Net Worth” means as at any date of determination
thereof, (a) the amount at which common stockholders’ equity and preferred stock would be shown on a balance sheet at such date, minus (b) amounts at which good will and any other intangibles and amounts owed by and/or invested in Affiliates
would be shown on such balance sheet, plus (c) Subordinated Debt. Tangible Net Worth shall not include (i) non-cash items related to the extinguishment of the Subordinated Debt owed to The HillStreet Fund, L.P., and (ii) accumulated other
comprehensive loss as set forth in the equity section of Borrower’s balance sheet. 
  
 (m) “Total Liabilities” means all Debt and other liabilities which in accordance with GAAP may be properly classified as liabilities and all other liabilities, indebtedness or obligation whether or not so
classified. 
  
 Section 7.9 Exclusion from Calculations.
All calculations made pursuant to Article 7 shall exclude any adjustments required by GAAP as a result of the mandatory put provisions contained in the Warrant Agreement between the Borrower and The HillStreet Fund, L.P. 
  

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 M. The portion of Section 11.2(a) of the Loan Agreement entitled “will a copy to” is hereby
deleted and replaced with the following: 
  
 With a copy to:

  
 Shipman & Goodwin LLP 
 One Constitution Plaza 
 Hartford, CT 06103

 Attn: James C. Schulwolf, Esq. 
 Telephone No.: 860-251-5949 
 Telecopier No.: 860-251-5311 
  
 N. Section 11.17 of the Loan Agreement is hereby deleted and replaced with the following: 
  
 Examination of Records. Not more than one (1) time per year, provided
that the Borrower’s average monthly Credit Availability (uncapped by line limits) exceeds $1,500,000, and otherwise not more than two (2) times per year (unless an Event of Default shall have occurred and be continuing, in which event such
right shall be unlimited), the Agent will have the right to conduct field audits or otherwise make periodic examinations of the books, records and operations of Borrower and review and verify the Receivables of Borrower. All costs arising in
connection with any exercise of the Agent’s rights under this Section 11.17 shall be at the rate of $750 per man day plus out-of-pocket expenses and shall be for the account of Borrower. Notwithstanding the foregoing, the Agent may
conduct additional field audits and periodic examinations at the expense of the Lenders, unless an Event of Default shall have occurred and be continuing, in which event the costs thereof shall be borne by Borrower. 
  
 O. Schedule 1 to the Loan Agreement is hereby deleted and replaced
with the following: 
  
 Borrowers: 
  
 Marion Tool Corporation 
 Roberts Consolidated Industries 
 Roberts
Japan KK 
 Roberts Holding International, Inc. 
 Roberts Company Canada Limited 
 Roberts Holland B.V. 
 Roberts U.K. Limited 
 Roberts Germany GmbH

 Roberts S.A.R.L. 
 Q.E.P. Stone
Holdings, Inc. 
 Q.E.P. Aust. Pty. Limited 
 Q.E.P. Chile Limitada 
 Q.E.P. Holding B.V. 
  

 -12- 

 Q.E.P. Co. New Zealand Limited 
 Q.E.P. Zocalis Holdings L.L.C. 
 Q.E.P.
Zocalis S.R.L 
 Boiardi Products Corporation 
 Q.E.P. Co. U.K., Limited 
 Vitrex Limited 
 Roberts Capitol, Inc. 
 Roberts Mexicana, S.A.
de C.V. 
 P.R.C.I. SA 
  
 P. Schedule 2 to the Loan Agreement is hereby deleted and replaced with the following: 
  
 SCHEDULE 2 
  
 COMMITMENTS 
  

													
	 Lender

	  	Mortgage
Loan
Commitment

	  	2005 Term Loan
Commitment

	  	 Revolving
 Loan
Commitment

	 	 Total
 Commitment

	 Fleet Capital Corporation
	  	$	825,000	  	$	3,600,000	  	$	16,200,0001	 	$	20,625,0001
	 	  	 	 	  	 	 	  	$	17,400,0002	 	$	21,825,0002
	 HSBC Bank USA
	  	$	550,000	  	$	2,400,000	  	$	10,800,0001	 	$	13,750,0001
	 	  	 	 	  	 	 	  	$	11,600,0002	 	$	14,550,0002
	 	  	
	
	  	
	
	  	
	
	 	
	

	 TOTAL
	  	$	1,375,000	  	$	6,000,000	  	$	27,000,0001	 	$	34,375,0001
	 	  	 	 	  	 	 	  	$	29,000,0002	 	$	36,375,0002

	1	Through and including February 28, 2006 

	2	On and after March 1, 2006 

  

			
	 Lender

	  	 Address

	 Fleet Capital Corporation
	  	 200 Glastonbury Boulevard
 Glastonbury, CT
06033
 Attn: Loan Administration
 QEP Account
Officer

		
	 HSBC Bank USA
	  	 2 South Biscayne Boulevard
 Suite 1920
 Miami, FL 33131
 Attn: Jose M. Cruz, Senior Vice
President

  

 -13- 

 Q. Exhibit A to the Loan Agreement is hereby deleted and replaced with Exhibit A attached
hereto. 
  
 R. Exhibit B to the Loan Agreement is hereby
deleted and replaced with Exhibit B attached hereto. 
  
 S.
The “Second Amendment and Waiver Agreement” dated as of January 23, 2004, is hereby redesignated as the “Third Amendment and Waiver Agreement” and the title thereof is hereby amended accordingly. 
  
 T. All references in the Loan Agreement and the Loan Documents to
“HSBC” shall be deemed to refer to HSBC Bank USA, National Association, successor-by-merger to HSBC Bank USA. 
  
 III. Certain Waivers. The following sections of the Loan Agreement are hereby waived on a one-time basis, solely for the purposes set forth below:

  
 (i) Section 5.14, solely to permit the
acquisition by Roberts Capitol, Inc. of certain assets of Capitol USA as more particularly described in Schedule X hereto. The Agent and the Lenders acknowledge and agree that the consideration for this acquisition shall not be counted in
calculating the annual and aggregate limits set forth in Section 5.14 (a)(ix). 
  
 (ii) Section 6.1, solely to permit the incurrence of liens by (i) Vitrex in favor of HSBC Bank plc and HSBC Invoice Finance (UK) Ltd and
(ii) Roberts Mexicana, S.A. de C.V. and P.R.C.I SA in favor of HSBC Bank plc, in each case securing indebtedness described in (iii) below; 
  
 (iii) Section 6.2, solely to permit the incurrence by (i) Vitrex of certain indebtedness on or about the date hereof in favor of HSBC Bank
plc and HSBC Invoice Finance (UK) Ltd for purposes of providing working capital to Vitrex and (ii) Roberts Mexicana, S.A. de C.V. and P.R.C.I SA in favor of HSBC Bank plc, for purposes of providing working capital to such companies; 
  
 (iv) Sections 6.3 and 6.8, solely to permit (i) the transfer
of the capital stock of Roberts U.K. Limited from Roberts Holland BV to Vitrex and (ii) the acquisition by QEP of Roberts Mexicana, S.A. de C.V. and P.R.C.I. SA, and (iii) the acquisition by Roberts Capitol, Inc. of certain assets of Capitol USA;

  

 -14- 

 (v) Section 6.9, solely to permit the guarantee by Q.E.P. Co., Inc., upon terms and
conditions satisfactory to the Required Lenders, of the indebtedness described in (iii) above; and 
  
 (vi) Section 6.11, solely to permit the creation of Vitrex, Roberts Capitol, Inc., Roberts Mexicana, S.A. de C.V. and P.R.C.I. SA as
Subsidiaries. 
  
 IV. Joinder. Each of Vitrex, Roberts
Capitol, Inc., Roberts Mexicana, S.A. de C.V. and P.R.C.I. SA hereby agrees to become a Borrower as such term is used in the Loan Agreement and the Loan Documents and, by virtue of its execution and delivery of this Agreement, agrees to assume all
of the obligations and liabilities of a Borrower under the Loan Agreement and the other Loan Documents and be deemed to be a party and signatory to the Loan Agreement and the other Loan Documents (including, without limitation, the Notes).

  
 V. Pledge of Stock. Pursuant to Section 5.14(b) of the
Loan Agreement, (i) Q.E.P. Co., Inc. hereby pledges 100% of the issued and outstanding capital stock of Roberts Capitol, Inc., (ii) QEP UK hereby pledges 66 2/3% of the issued and outstanding capital stock of Vitrex, and (iii) Vitrex hereby pledges 66 2/3% of the issued and outstanding capital stock of Roberts U.K. Limited, in each case to the Agent, for the ratable benefit of the Lenders, and agrees (i) that the Stock Pledge Agreement, including
without limitation Schedule A thereof, is hereby amended in all respects necessary to effect and reflect such pledge and (ii) to take all further actions as may be required under English, Florida, Mexican, and French law to evidence and effect such
pledge. 
  
 VI. Amendment to Other Loan
Documents. 
  
 A. The Roberts Guaranty is hereby amended by
deleting Section 1 thereof and inserting the following in place hereof: 
  
 1. Guarantor unconditionally guarantees to Agent, for the ratable benefit of the Lenders, (i) the full and prompt payment when due, whether at maturity or earlier, by reason of acceleration or otherwise, and at all
times thereafter, all indebtedness, liabilities and obligations of every kind and nature of Borrower to Lenders arising under the Loan Agreement and the related loan and security documents delivered in connection therewith, including, without
limitation, the Mortgage Note (the “Other Agreements”), whether direct or indirect, absolute or contingent, joint or several, now or hereafter existing, or due or to become due and (ii) the prompt, full and faithful discharge by
Borrower of each and ever term, condition, agreement, representation and warranty now and hereafter made by Borrower under the Loan Agreement and the Other Agreements (all such indebtedness, liabilities and obligations being hereinafter referred to
as the “guaranteed liabilities”). Guarantor further agrees to pay all costs and expenses, including, without limitation, all court costs and reasonable legal fees paid or incurred by Agent and/or Lenders in endeavoring to collect
all or any part of the guaranteed liabilities from, or in prosecuting any action against, Guarantor or any other guarantor of all or any part of the guaranteed liabilities. 
  

 -15- 

 VII. Conditions Precedent. 
  
 A. The effectiveness of this Agreement shall be subject to the prior satisfaction of each of the following conditions:

  
 1. the Agent shall have received each of the following, in
form and substance satisfactory to the Agent and its counsel: 
  
 (a) This Agreement, duly executed by Borrower; 
  
 (b) The Amended and Restated Domestic Advance Notes, duly executed by the Domestic Borrowers; 
  
 (c) The 2005 Term Notes, duly executed by Borrower;

  
 (d) Security agreement, duly executed by
Roberts Capitol, Inc., Roberts Mexicana, S.A. de C.V., and P.R.C.I. SA granting the Agent, for the ratable benefit of the Lenders, a security interest in all of the assets of such Borrower; 
  
 (e) UCC-1 Financing Statement, with respect to Roberts
Capitol, Inc.; 
  
 (f) Debenture duly executed by
Vitrex Limited; 
  
 (g) Share charge, duly
executed by (i) QEP UK with respect to the shares of Vitrex Limited, and (ii) Vitrex Limited will respect to the shares of Roberts U.K. Limited; 
  
 (h) Accounts Receivable Letters, duly executed by QEP UK, Vitrex Limited, Roberts Capitol, Inc., Roberts Mexicana S.A. de C.V., and
P.R.C.I. SA; 
  
 (i) Landlord’s Waivers,
duly executed by each landlord leasing premises to Roberts Capitol, Inc.; 
  
 (j) Copies of all corporate action taken by each Borrower, including resolutions of its Board of Directors, authorizing the execution, delivery, and performance of this Agreement and each other document to be
delivered pursuant to this Agreement, certified as of the date of this Agreement by the Secretary of such Borrower; 
  
 (k) A certificate, dated as of the date of this Agreement, of the Secretary of each Borrower certifying the names and true signatures of
the officers of such Borrower authorized to sign this Fourth Amendment and the other documents to be delivered by it under this Agreement; 
  

 -16- 

 (l) A favorable opinion of independent counsel for Borrower, satisfactory to Lender dated
the Fourth Amendment Effective Date; 
  
 (m) A
Hypothec, duly executed by Borrower with respect to each located in the Province of Quebec, Canada; 
  
 (n) A Borrowing Base Certificate of Borrower dated the date of this Agreement; 
  
 (o) An amendment fee of $62,500; and 
  
 (p) All other documents, instruments and agreements that
Lender shall reasonably require in connection with this Agreement, including without limitation those documents, instruments, and agreements required under previous amendments to the Loan Agreement which have not yet been delivered to Lender.

  
 B. The Loan Documents are hereby amended so as to be
consistent with the amendments set forth in this Agreement. 
  
 VIII. Miscellaneous. 
  
 A. Each Borrower
acknowledges, agrees and affirms that Lenders’ first priority security interest, (or, in the case of QEP UK and Vitrex, Lenders’ second priority security interest, which is and shall be junior only to the liens described in subsection III
(ii) above) in its personal property and assets shall continue to secure Borrower’s respective indebtedness to Lenders arising under the Loans. 
  
 B. This Agreement shall be governed by and construed in accordance with the laws of the State of Connecticut (except its conflicts of laws provisions).

  
 C. Upon the execution of this Agreement, the Loan Agreement is
amended to the extent this Agreement amends the Loan Agreement. Except as specifically amended by the terms of this Agreement, all terms and conditions set forth in the Loan Agreement shall remain in full force and effect. 
  
 D. This Agreement may be executed in any number of counterparts, each of
which shall constitute an original and all of which taken together shall constitute one instrument. 
  
 [The remainder of this page has been left blank intentionally.] 
  
  

 -17- 

 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed and delivered as of the date
first above written. 
  

							
	 WITNESSES AS TO ALL
	 	 	 	 BORROWER:

	 BORROWERS
	 	 	 	 
	 	 	 	 	Q.E.P. CO., INC.
				
	 /s/ Ruth L. Lansner

	 	 	 	 By:
	 	 /s/ Marc Applebaum

	 	 	 	 	 	 	 Marc Applebaum

	 /s/ James C. Schulwolf
	 	 	 	 	 	 Its Chief Financial Officer

	
	 	 	 	 	 	 Duly Authorized

			
	 	 	 	 	Q.E.P.-O’TOOL, INC.
				
	 	 	 	 	 By:
	 	 /s/ Marc Applebaum

	 	 	 	 	 	 	 Marc Applebaum

	 	 	 	 	 	 	 Its Director, Secretary

	 	 	 	 	 	 	 Duly Authorized

			
	 	 	 	 	MARION TOOL CORPORATION
				
	 	 	 	 	 By:
	 	 /s/ Marc Applebaum

	 	 	 	 	 	 	 Marc Applebaum

	 	 	 	 	 	 	 Its Director, Secretary

	 	 	 	 	 	 	 Duly Authorized

			
	 	 	 	 	ROBERTS CONSOLIDATED
	 	 	 	 	INDUSTRIES, INC.
				
	 	 	 	 	By:	 	 /s/ Marc Applebaum

	 	 	 	 	 	 	 Marc Applebaum

	 	 	 	 	 	 	 Its Director, Secretary

	 	 	 	 	 	 	 Duly Authorized

  

 -18- 

			
	ROBERTS HOLDING INTERNATIONAL INC.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	ROBERTS COMPANY CANADA LIMITED
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	ROBERTS U. K. LIMITED
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	ROBERTS GERMANY GmbH
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	ROBERTS S.A.R.L.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

  
  

 -19- 

			
	ROBERTS JAPAN KK
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	ROBERTS HOLLAND B.V.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	Q.E.P. HOLDING B.V.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	Q.E.P. STONE HOLDINGS, INC.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	Q.E.P. AUST. PTY. LIMITED
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

  
  

 -20- 

			
	Q.E.P. CO. NEW ZEALAND, LIMITED
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its President, Director

	 	 	 Duly Authorized

	
	Q.E.P. CHILE LIMITADA
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	Q.E.P. ZOCALIS HOLDING, L.L.C.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	Q.E.P. ZOCALIS S.R.L.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	BOIARDI PRODUCTS CORPORATION
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

  

 -21- 

			
	Q.E.P. CO. U.K. LIMITED
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	VITREX LIMITED
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	 	 	 Duly Authorized

	
	ROBERTS CAPITOL, INC.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	ROBERTS MEXICANA, S.A. DE C.V.
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	P.R.C.I. SA
		
	 By:
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

  

 -22- 

					
	 WITNESSES AS TO AGENT:
	 	 AGENT:

		
	 	 	FLEET CAPITAL CORPORATION
			
	 /s/ Ruth L. Lansner

	 	 By:
	 	 /s/ Deirdre Z. Sikora

	 	 	 	 	 Deirdre Z. Sikora

	 	 	 	 	 Its Vice President

	  
 /s/ James C. Schulwolf

	 	 	 	  
 Duly
Authorized

		
	 WITNESSES AS TO FCC :
	 	 LENDERS:

		
	 	 	FLEET CAPITAL CORPORATION
			
	 /s/ Ruth L. Lansner

	 	 By:
	 	 /s/ Deirdre Z. Sikora

	 	 	 	 	 Deirdre Z. Sikora

	 	 	 	 	 Its Vice President

	  
 /s/ James C. Schulwolf

	 	 	 	  
 Duly
Authorized

		
	 WITNESSES AS TO HSBC :
	 	HSBC BANK USA,
	 	 	NATIONAL ASSOCIATION
	 	 	successor-by-merger to HSBC Bank USA
			
	 /s/ Ruth L. Lansner

	 	 By:
	 	 /s/ Juan Zaino

	 	 	 	 	 Juan Zaino

	 	 	 	 	 Vice President

	  
 /s/ James C. Schulwolf

	 	 	 	  
 Duly
AuthorizedForm of Term Notes

 Exhibit 10.24 
  
 2005 TERM NOTE 
  

			
	$3,600,000.00	  	New York, New York
	 	  	March 31, 2005

  
 FOR VALUE RECEIVED,
the undersigned, Q.E.P. CO., INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. - O’TOOL, INC., a Nevada corporation with its chief
executive office and principal place of business at 1070 Mary Crest Road, Henderson, NV 89014, MARION TOOL CORPORATION, an Indiana corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton,
Florida 33487, ROBERTS CONSOLIDATED INDUSTRIES, INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS HOLDING INTERNATIONAL, INC., a
Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS COMPANY CANADA LIMITED, an entity organized in Ontario, Canada with its chief executive office and
principal place of business at 2070 Steeles Avenue, Bramalea, Ontario, Canada L6T1A7, Q.E.P. STONE HOLDINGS, INC., a Florida corporation with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. ZOCALIS HOLDING
L.L.C., a Delaware limited liability company with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS JAPAN KK, an entity organized in Japan with its chief executive office and principal place of business at 1081
Holland Drive, Boca Raton, Florida 33487, ROBERTS HOLLAND B.V., an entity organized in The Netherlands with its chief executive office and principal place of business at 3360 AB Sliedrecht, P.O. Box 64, Parallelweg, The Netherlands,
ROBERTS U. K. LIMITED, an entity organized in England with its chief executive office and principal place of business at Unit 10, Branxholme Industrial Estate, Bailiff Bridge, Brighouse, West Yorkshire, England, HD6 4EA, ROBERTS GERMANY
GmbH, an entity organized in Germany with its chief executive office and principal place of business at Dreieichstrasse 10, 64546 Morfelden-Waldorf, Germany, ROBERTS S.A.R.L., an entity organized in France with its chief executive office
and principal place of business at 25 rue de la Gare, 78370 Plaisir, France, BOIARDI PRODUCTS CORPORATION, an Ohio corporation with its chief executive office and principal place of business at 453 Main Street, Little Falls, New Jersey 07424,
Q.E.P. AUST. PTY. LIMITED, an entity organized in Australia with a place of business at 32-34 Hydrive Close, Victoria, Australia 3175, Q.E.P. CHILE LIMITADA, an entity organized in Chile with a place of business at Av. Recoleta 4464,
Huechuraba, Santiago, Chile, Q.E.P HOLDING B.V., an entity organized in the Netherlands with its chief executive office and principal place of business at 3360 AB Sliedrecht, Parrallelweg, The Netherlands, Q.E.P. CO. NEW ZEALAND
LIMITED, an entity organized in New Zealand with a place of business at 67 Dalgety Drive, Manukau City, Auckland, New Zealand, Q.E.P. ZOCALIS S.R.L., an entity organized in Argentina with its chief executive office and principal place of
business at 1607 Villa Adelina, Buenos Aries, Argentina, Q.E.P. CO. U.K. LIMITED, an entity organized in England and Wales with an office at Everest Road, Lytham St. Annes, Lancashire FY8 3AZ, VITREX LIMITED, an entity organized in
England and Wales with an office at Everest Road, Lytham St. Annes, Lancashire FY8 3AZ, ROBERTS 

 
CAPITOL, INC., a Florida corporation with a chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487,
ROBERTS MEXICANA, S.A. DE C.V., an entity organized in Mexico with its chief executive office and principal place of business at Poniente 152, numero 935, Colonia Industrial Vallejo, C.P. 02300, Mexico, D.F., and P.R.C.I SA, an entity
organized in France with its chief executive office and principal place of business at 111 Rue du Masdeporaly, Zone Industrielle 34000, Montpellier, France (all of the foregoing collectively called the “Borrower”) jointly and
severally promise to pay to the order of FLEET CAPITAL CORPORATION, (“Lender”), a Rhode Island corporation, at its office located at One Landmark Square, Stamford, Connecticut 06901 or at such other place as Lender may from
time to time designate in writing, the principal sum of THREE MILLION SIX HUNDRED THOUSAND DOLLARS ($3,600,000.00) (the “Principal Amount”), pursuant to that certain Second Amended and Restated Loan Agreement dated as of November
14, 2002 between Borrower, Lender, HSBC Bank USA, National Association successor-by-merger to HSBC Bank USA (“HSBC”) and Lender, as agent for itself and HSBC (as amended and in effect from time to time, the “Loan
Agreement”), together with (i) interest at the rate and in the manner provided in the Loan Agreement; (ii) all fees, premiums and charges which may become due under the Loan Agreement or any of the other Loan Documents (as defined in the
Loan Agreement); (iii) any costs and expenses, including reasonable attorneys’ and appraiser’s fees incurred in the collection of this Note or the enforcement of the Loan Agreement or any of the other Loan Documents, foreclosure thereunder
or in any litigation or controversy arising from or connected with this Note, or the Loan Agreement or any of the other Loan Documents; and (iv) all taxes or duties, other than income taxes, assessed upon said sum against Lender or upon the debt
evidenced hereby. All amounts owing under this Note and interest thereon shall be payable in legal tender of the United States of America. Capitalized terms used herein and not otherwise defined shall have the meanings given to them in the Loan
Agreement. 
  
 Equal monthly payments of principal in the amount
of One Hundred Thousand Dollars ($100,000) shall be due and payable commencing on May 1, 2005 and continuing on the first day of each of the succeeding months thereafter with the last of such payments due on April 1, 2008.  
  
 Interest on the Principal Amount shall be computed and shall be payable at
the rate and in the manner as provided in the Loan Agreement until all of said Principal Amount has been fully paid, whether before or after the Maturity Date, by acceleration or otherwise, and whether or not any judgment is obtained hereon.

  
 In the event that Lender has not received, within fifteen (15)
days of its due date, any installment of the Principal Amount and interest (upon the Maturity Date or otherwise), or payment with respect to any other payment due under this Note, Borrower shall be subject to a late charge equal to two percent (2%)
of such amount due. 
  
 Upon the failure by Borrower to pay
principal or interest under this Note when due and payable, or an Event of Default as defined in the Loan Agreement or in any other Loan Documents, Lender may, at its option, accelerate Borrower’s obligations hereunder and 

  

 2 

 
declare the entire unpaid Principal Amount, together with accrued interest and all other amounts then due which are evidenced by this Note, to be immediately
due and payable, without the necessity for demand or additional notice. In addition, upon the occurrence of such default or Event of Default or after the Maturity Date, all principal and accrued but unpaid interest shall bear interest until paid in
full, payable on demand at the Default Rate. Failure to exercise these options shall not constitute a waiver of the right to exercise the same in the event of any subsequent default. 
  
 Borrower may prepay the 2005 Term Loan only as permitted in the Loan Agreement. 
  
 Notwithstanding any provisions of this Note, it is the understanding and
agreement of Borrower and Lender that the maximum rate of interest to be paid by Borrower to Lender shall not exceed the highest of the maximum rate of interest permissible to be charged by Lender under applicable laws. Any amount paid in excess of
such rate shall be deemed to be a payment in reduction of principal except to the extent that such amount is in excess of the then outstanding Principal Amount, in which event such excess shall be returned to the Borrower. 
  
 This Note shall be governed by and construed in accordance with the laws of
the State of Connecticut. This Note shall bind the successors and assigns of Borrower, and shall inure to the benefit of Lender and its successors and assigns. This Note may not be changed or terminated orally, but only by an agreement in writing
signed by the party against whom enforcement of any such change or termination is sought. 
  
 Whenever in this Note words of any gender appear, they shall be deemed to apply equally to any other gender. Whenever used in this Note, the plural shall include the singular and the singular shall include the plural,
as the context shall require. In the event that Borrower consists of more than one person or entity, the obligations hereunder shall be joint and several. 
  
 TO INDUCE LENDER TO ENTER INTO THE COMMERCIAL LOAN TRANSACTION EVIDENCED BY THIS NOTE, THE LOAN AGREEMENT, AND ANY OTHER LOAN DOCUMENTS EVIDENCING OR
SECURING THE SAME, BORROWER AGREES THAT THIS IS A COMMERCIAL TRANSACTION AND NOT A CONSUMER TRANSACTION, AND WAIVES ANY RIGHT TO NOTICE AND A HEARING AND AUTHORIZES LENDER’S ATTORNEY TO ISSUE A WRIT FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER,
PROVIDED THE COMPLAINT SHALL SET FORTH A COPY OF THIS WAIVER AND WAIVES ANY CLAIM IN TORT, CONTRACT OR OTHERWISE AGAINST LENDER’S ATTORNEY WHICH MAY ARISE OUT OF SUCH ISSUANCE OF A WRIT FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER. BORROWER
ACKNOWLEDGES AND STIPULATES THAT SUCH WAIVER AND AUTHORIZATION GRANTED ABOVE ARE MADE KNOWINGLY AND FREELY AND AFTER FULL CONSULTATION WITH COUNSEL. SPECIFICALLY, BORROWER RECOGNIZES AND UNDERSTANDS THAT THE EXERCISE OF LENDER’S RIGHTS
DESCRIBED ABOVE MAY RESULT IN THE ATTACHMENT 

  

 3 

 
OF OR LEVY AGAINST BORROWER’S PROPERTY, AND SUCH WRIT FOR A PREJUDGMENT REMEDY WILL NOT HAVE THE PRIOR WRITTEN APPROVAL OR SCRUTINY OF A COURT OF LAW
OR OTHER JUDICIAL OFFICER NOR WILL BORROWER HAVE THE RIGHT TO ANY NOTICE OR PRIOR HEARING WHERE BORROWER MIGHT CONTEST SUCH A PROCEDURE. THE INTENT OF BORROWER IS TO GRANT TO LENDER FOR GOOD AND VALUABLE CONSIDERATION THE RIGHT TO OBTAIN SUCH A
PREJUDGMENT REMEDY AND TO EXPRESS ITS BELIEF THAT ANY SUCH PREJUDGMENT REMEDY OBTAINED IS VALID AND CONSTITUTIONAL. FURTHER, TO THE EXTENT ALLOWED UNDER APPLICABLE LAW, BORROWER HEREBY WAIVES DEMAND, PRESENTMENT FOR PAYMENT, PROTEST, NOTICE OF
PROTEST, NOTICE OF DISHONOR, DILIGENCE IN COLLECTION, NOTICE OF NONPAYMENT OF THIS NOTE AND ANY AND ALL NOTICES OF A LIKE NATURE. 
  
 BORROWER HEREBY EXPRESSLY WAIVES ANY AND ALL RIGHTS IT MAY HAVE TO A TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION (1) ARISING OUT OF,
UNDER OR IN CONNECTION WITH THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENTS OR AGREEMENTS CONTEMPLATED TO BE EXECUTED OR DELIVERED IN CONNECTION HEREWITH OR THE TRANSACTIONS RELATED HERETO OR THERETO, OR (2) IN ANY WAY CONNECTED WITH OR RELATED OR
INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENT OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH, OR THE TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE
WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER SOUNDING IN CONTRACT OR TORT OR OTHERWISE; AND THE BORROWER HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND
LENDER MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF EACH OF THEM TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY. 
  
 [signature page to follow] 
  

 4 

 This Note is one of the 2002 Term Notes referred to in, entitled to the benefits of and subject to the
terms and conditions of the Loan Agreement. 
  

			
	BORROWER:
	
	 Q.E.P. CO., INC.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Chief Financial Officer

	 	 	 Duly Authorized

	
	 Q.E.P.-O’TOOL, INC.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 MARION TOOL CORPORATION

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 ROBERTS CONSOLIDATED INDUSTRIES, INC.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

			
	 ROBERTS HOLDING INTERNATIONAL INC.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 ROBERTS COMPANY CANADA LIMITED

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. STONE HOLDINGS, INC.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. ZOCALIS HOLDING, L.L.C.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 BOIARDI PRODUCTS CORPORATION

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

  
  

			
	 ROBERTS JAPAN KK

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 ROBERTS HOLLAND B.V.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 ROBERTS U.K. LIMITED

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 ROBERTS GERMANY GmbH

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

			
	 ROBERTS S.A.R.L.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. AUST. PTY. LIMITED

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. CHILE LIMITADA

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. HOLDING B.V.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

			
	 Q.E.P. CO. NEW ZEALAND LIMITED

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. ZOCALIS S.R.L.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 Q.E.P. CO, U.K. LIMITED

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 VITREX LIMITED

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

  
  

			
	 ROBERTS CAPITOL, INC.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 ROBERTS MEXICANA, S.A. DE C.V.

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

	
	 P.R.C.I. SA

		
	 By
	 	 /s/ Marc Applebaum

	 	 	 Marc Applebaum

	 	 	 Its Director, Secretary

	 	 	 Duly Authorized

 STATE OF NEW YORK 
  
 COUNTY OF NEW YORK 
  
 Before me, the undersigned, this 31st day of March, 2005, personally appeared Marc
Applebaum, an authorized signatory of Q.E.P. Co., Inc., Q.E.P.-O’Tool, Inc., Marion Tool Corporation, Roberts Consolidated Industries, Inc., Roberts Holding International, Inc., Roberts Company Canada Limited, Q.E.P. Stone Holdings, Inc.,
Q.E.P. Zocalis Holding, LLC, BOIARDI Products Corporation, Roberts Japan KK, Roberts Holland B.V., Roberts U.K. Limited, Roberts Germany GmbH, Roberts S.A.R.L., Q.E.P. Aust. Pty. Limited, Q.E.P. Chile Limitada, Q.E.P. Holding B.V., Q.E.P. Co. New
Zealand Limited, Q.E.P. Zocalis S.R.L., Q.E.P. Co. U.K. Limited, Vitrex Limited, Roberts Capitol, Inc., Roberts Mexicana, S.A. de C.V., and P.R.C.I. SA and that he as such authorized signatory of the foregoing instrument, acknowledged the execution
of the same to be his free act and deed individually and as such officer, and the free act and deed of said entity. 
  
 In Witness Whereof, I hereunto set my hand. 
  

	
	 /s/ Arthur Evan Rosenberg

	 Notary Public

	 My Commission Expires: 06/09/2006

  
  

  
 2005 TERM NOTE

  

			
	 $2,400,000.00
	  	New York, New York
	 	  	March 31, 2005

  
 FOR VALUE RECEIVED,
the undersigned, Q.E.P. CO., INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. - O’TOOL, INC., a Nevada corporation with its chief
executive office and principal place of business at 1070 Mary Crest Road, Henderson, NV 89014, MARION TOOL CORPORATION, an Indiana corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton,
Florida 33487, ROBERTS CONSOLIDATED INDUSTRIES, INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS HOLDING INTERNATIONAL, INC., a
Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS COMPANY CANADA LIMITED, an entity organized in Ontario, Canada with its chief executive office and
principal place of business at 2070 Steeles Avenue, Bramalea, Ontario, Canada L6T1A7, Q.E.P. STONE HOLDINGS, INC., a Florida corporation with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. ZOCALIS HOLDING
L.L.C., a Delaware limited liability company with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, ROBERTS JAPAN KK, an entity organized in Japan with its chief executive office and principal place of business at 1081
Holland Drive, Boca Raton, Florida 33487, ROBERTS HOLLAND B.V., an entity organized in The Netherlands with its chief executive office and principal place of business at 3360 AB Sliedrecht, P.O. Box 64, Parallelweg, The Netherlands,
ROBERTS U. K. LIMITED, an entity organized in England with its chief executive office and principal place of business at Unit 10, Branxholme Industrial Estate, Bailiff Bridge, Brighouse, West Yorkshire, England, HD6 4EA, ROBERTS GERMANY
GmbH, an entity organized in Germany with its chief executive office and principal place of business at Dreieichstrasse 10, 64546 Morfelden-Waldorf, Germany, ROBERTS S.A.R.L., an entity organized in France with its chief executive office
and principal place of business at 25 rue de la Gare, 78370 Plaisir, France, BOIARDI PRODUCTS CORPORATION, an Ohio corporation with its chief executive office and principal place of business at 453 Main Street, Little Falls, New Jersey 07424,
Q.E.P. AUST. PTY. LIMITED, an entity organized in Australia with a place of business at 32-34 Hydrive Close, Victoria, Australia 3175, Q.E.P. CHILE LIMITADA, an entity organized in Chile with a place of business at Av. Recoleta 4464,
Huechuraba, Santiago, Chile, Q.E.P HOLDING B.V., an entity organized in the Netherlands with its chief executive office and principal place of business at 3360 AB Sliedrecht, Parrallelweg, The Netherlands, Q.E.P. CO. NEW ZEALAND
LIMITED, an entity organized in New Zealand with a place of business at 67 Dalgety Drive, Manukau City, Auckland, New Zealand, Q.E.P. ZOCALIS S.R.L., an entity organized in Argentina with its chief executive office and principal place of
business at 1607 Villa Adelina, Buenos Aries, Argentina, Q.E.P. CO. U.K. LIMITED, an entity organized in England and Wales with an office at Everest Road, Lytham St. Annes, Lancashire FY8 3AZ, VITREX LIMITED, an entity organized in
England and Wales with an office at Everest Road, Lytham St. Annes, Lancashire FY8 3AZ, ROBERTS 

 
CAPITOL, INC., a Florida corporation with a chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487,
ROBERTS MEXICANA, S.A. DE C.V., an entity organized in Mexico with its chief executive office and principal place of business at Poniente 152, numero 935, Colonia Industrial Vallejo, C.P. 02300, Mexico, D.F., and P.R.C.I SA, an entity
organized in France with its chief executive office and principal place of business at 111 Rue du Masdeporaly, Zone Industrielle 34000, Montpellier, France (all of the foregoing collectively called the “Borrower”) jointly and
severally promise to pay to the order of, HSBC BANK USA, NATIONAL ASSOCIATION successor-by-merger to HSBC BANK USA (“Lender), with an office located at 2 South Biscayne Boulevard, Suite 1920, Miami, Florida 33131 or at such
other place as Lender may from time to time designate in writing, the principal sum of TWO MILLION FOUR HUNDRED THOUSAND DOLLARS ($2,400,000.00) (the “Principal Amount”), pursuant to that certain Second Amended and Restated Loan
Agreement dated as of November 14, 2002 between Borrower, Lender, Fleet Capital Corporation (“FCC”) and Lender, as agent for itself and FCC (as amended and in effect from time to time, the “Loan Agreement”),
together with (i) interest at the rate and in the manner provided in the Loan Agreement; (ii) all fees, premiums and charges which may become due under the Loan Agreement or any of the other Loan Documents (as defined in the Loan Agreement); (iii)
any costs and expenses, including reasonable attorneys’ and appraiser’s fees incurred in the collection of this Note or the enforcement of the Loan Agreement or any of the other Loan Documents, foreclosure thereunder or in any litigation
or controversy arising from or connected with this Note, or the Loan Agreement or any of the other Loan Documents; and (iv) all taxes or duties, other than income taxes, assessed upon said sum against Lender or upon the debt evidenced hereby. All
amounts owing under this Note and interest thereon shall be payable in legal tender of the United States of America. Capitalized terms used herein and not otherwise defined shall have the meanings given to them in the Loan Agreement. 
  
 Equal monthly payments of principal in the amount of Sixty-Six Thousand Six
Hundred Sixty-Six dollars and Sixty-seven cents ($66,666.67) shall be due and payable commencing on May 1, 2005 and continuing on the first day of each of the succeeding months thereafter with the last of such payment in the amount of Sixty-Six
Thousand Six Hundred Sixty-Six dollars and Forty-five cents ($66,666.45) due on April 1, 2008.  
  
 Interest on the Principal Amount shall be computed and shall be payable at the rate and in the manner as provided in the Loan Agreement until all of said
Principal Amount has been fully paid, whether before or after the Maturity Date, by acceleration or otherwise, and whether or not any judgment is obtained hereon. 
  
 In the event that Lender has not received, within fifteen (15) days of its due date, any installment of the Principal Amount
and interest (upon the Maturity Date or otherwise), or payment with respect to any other payment due under this Note, Borrower shall be subject to a late charge equal to two percent (2%) of such amount due. 
  
 Upon the failure by Borrower to pay principal or interest under this Note
when due and payable, or an Event of Default as defined in the Loan Agreement or in any other Loan 

  

 2 

 
Documents, Lender may, at its option, accelerate Borrower’s obligations hereunder and declare the entire unpaid Principal Amount, together with accrued
interest and all other amounts then due which are evidenced by this Note, to be immediately due and payable, without the necessity for demand or additional notice. In addition, upon the occurrence of such default or Event of Default or after the
Maturity Date, all principal and accrued but unpaid interest shall bear interest until paid in full, payable on demand at the Default Rate. Failure to exercise these options shall not constitute a waiver of the right to exercise the same in the
event of any subsequent default. 
  
 Borrower may prepay the 2005
Term Loan only as permitted in the Loan Agreement. 
  
 Notwithstanding any provisions of this Note, it is the understanding and agreement of Borrower and Lender that the maximum rate of interest to be paid by Borrower to Lender shall not exceed the highest of the maximum rate of interest
permissible to be charged by Lender under applicable laws. Any amount paid in excess of such rate shall be deemed to be a payment in reduction of principal except to the extent that such amount is in excess of the then outstanding Principal Amount,
in which event such excess shall be returned to the Borrower. 
  
 This Note shall be governed by and construed in accordance with the laws of the State of Connecticut. This Note shall bind the successors and assigns of Borrower, and shall inure to the benefit of Lender and its successors and assigns. This
Note may not be changed or terminated orally, but only by an agreement in writing signed by the party against whom enforcement of any such change or termination is sought. 
  
 Whenever in this Note words of any gender appear, they shall be deemed to apply equally to any other gender. Whenever used
in this Note, the plural shall include the singular and the singular shall include the plural, as the context shall require. In the event that Borrower consists of more than one person or entity, the obligations hereunder shall be joint and several.

  
 TO INDUCE LENDER TO ENTER INTO THE COMMERCIAL LOAN
TRANSACTION EVIDENCED BY THIS NOTE, THE LOAN AGREEMENT, AND ANY OTHER LOAN DOCUMENTS EVIDENCING OR SECURING THE SAME, BORROWER AGREES THAT THIS IS A COMMERCIAL TRANSACTION AND NOT A CONSUMER TRANSACTION, AND WAIVES ANY RIGHT TO NOTICE AND A HEARING
AND AUTHORIZES LENDER’S ATTORNEY TO ISSUE A WRIT FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER, PROVIDED THE COMPLAINT SHALL SET FORTH A COPY OF THIS WAIVER AND WAIVES ANY CLAIM IN TORT, CONTRACT OR OTHERWISE AGAINST LENDER’S ATTORNEY WHICH
MAY ARISE OUT OF SUCH ISSUANCE OF A WRIT FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER. BORROWER ACKNOWLEDGES AND STIPULATES THAT SUCH WAIVER AND AUTHORIZATION GRANTED ABOVE ARE MADE KNOWINGLY AND FREELY AND AFTER FULL CONSULTATION WITH COUNSEL.
SPECIFICALLY, BORROWER RECOGNIZES AND UNDERSTANDS THAT THE EXERCISE OF 

  

 3 

 
LENDER’S RIGHTS DESCRIBED ABOVE MAY RESULT IN THE ATTACHMENT OF OR LEVY AGAINST BORROWER’S PROPERTY, AND SUCH WRIT FOR A PREJUDGMENT REMEDY WILL
NOT HAVE THE PRIOR WRITTEN APPROVAL OR SCRUTINY OF A COURT OF LAW OR OTHER JUDICIAL OFFICER NOR WILL BORROWER HAVE THE RIGHT TO ANY NOTICE OR PRIOR HEARING WHERE BORROWER MIGHT CONTEST SUCH A PROCEDURE. THE INTENT OF BORROWER IS TO GRANT TO LENDER
FOR GOOD AND VALUABLE CONSIDERATION THE RIGHT TO OBTAIN SUCH A PREJUDGMENT REMEDY AND TO EXPRESS ITS BELIEF THAT ANY SUCH PREJUDGMENT REMEDY OBTAINED IS VALID AND CONSTITUTIONAL. FURTHER, TO THE EXTENT ALLOWED UNDER APPLICABLE LAW, BORROWER HEREBY
WAIVES DEMAND, PRESENTMENT FOR PAYMENT, PROTEST, NOTICE OF PROTEST, NOTICE OF DISHONOR, DILIGENCE IN COLLECTION, NOTICE OF NONPAYMENT OF THIS NOTE AND ANY AND ALL NOTICES OF A LIKE NATURE. 
  
 BORROWER HEREBY EXPRESSLY WAIVES ANY AND ALL RIGHTS IT MAY HAVE TO A TRIAL
BY JURY OF ANY CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION (1) ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENTS OR AGREEMENTS CONTEMPLATED TO BE EXECUTED OR DELIVERED IN CONNECTION HEREWITH OR THE TRANSACTIONS
RELATED HERETO OR THERETO, OR (2) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENT OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION
HEREWITH, OR THE TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER SOUNDING IN CONTRACT OR TORT OR OTHERWISE; AND THE BORROWER HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION,
OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND LENDER MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF EACH OF THEM TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY.

  
 [signature page to follow] 
  

 4 

 This Note is one of the 2002 Term Notes referred to in, entitled to the benefits of and subject to the
terms and conditions of the Loan Agreement. 
  

			
	BORROWER:
	
	Q.E.P. CO., INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Chief Financial Officer
	 	 	Duly Authorized
	
	Q.E.P.-O’TOOL, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	MARION TOOL CORPORATION
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS CONSOLIDATED INDUSTRIES, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

			
	ROBERTS HOLDING INTERNATIONAL INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS COMPANY CANADA LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. STONE HOLDINGS, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. ZOCALIS HOLDING, L.L.C.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	BOIARDI PRODUCTS CORPORATION
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

  
  

			
	ROBERTS JAPAN KK
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS HOLLAND B.V.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS U.K. LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS GERMANY GmbH
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

  
  

			
	ROBERTS S.A.R.L.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. AUST. PTY. LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. CHILE LIMITADA
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. HOLDING B.V.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

			
	Q.E.P. CO. NEW ZEALAND LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. ZOCALIS S.R.L.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. CO, U.K. LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	VITREX LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

  
  

			
	ROBERTS CAPITOL, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS MEXICANA, S.A. DE C.V.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	P.R.C.I. SA
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

 STATE OF NEW YORK 
  
 COUNTY OF NEW YORK 
  
 Before me, the undersigned, this 31st day of March, 2005, personally appeared Marc
Applebaum, an authorized signatory of Q.E.P. Co., Inc., Q.E.P.-O’Tool, Inc., Marion Tool Corporation, Roberts Consolidated Industries, Inc., Roberts Holding International, Inc., Roberts Company Canada Limited, Q.E.P. Stone Holdings, Inc.,
Q.E.P. Zocalis Holding, LLC, BOIARDI Products Corporation, Roberts Japan KK, Roberts Holland B.V., Roberts U.K. Limited, Roberts Germany GmbH, Roberts S.A.R.L., Q.E.P. Aust. Pty. Limited, Q.E.P. Chile Limitada, Q.E.P. Holding B.V., Q.E.P. Co. New
Zealand Limited, Q.E.P. Zocalis S.R.L., Q.E.P. Co. U.K. Limited, Vitrex Limited, Roberts Capitol, Inc., Roberts Mexicana, S.A. de C.V., and P.R.C.I. SA and that he as such authorized signatory of the foregoing instrument, acknowledged the execution
of the same to be his free act and deed individually and as such officer, and the free act and deed of said entity. 
  
 In Witness Whereof, I hereunto set my hand. 
  

	
	 /s/ Arthur Evan Rosenberg

	 Notary Public

	 My Commission Expires:06/09/2006

 AMENDED AND RESTATED DOMESTIC ADVANCES NOTE 
  

			
	 	 	New York, New York
	 $11,600,000.00
	 	March 31, 2005

  
 Q.E.P. CO.,
INC., a Delaware corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. - O’TOOL, INC., a Nevada corporation with its chief executive office and principal
place of business at 20535 Belshaw Avenue, Carson, California 90746, MARION TOOL CORPORATION, an Indiana corporation with its chief executive office and principal place of business at 11th Street and Miller Avenue, Marion, Indiana 46952,
ROBERTS CONSOLIDATED INDUSTRIES, INC., a Delaware corporation with its chief executive office and principal place of business at 600 North Baldwin Park Boulevard, City of Industry, California 91749, ROBERTS HOLDING INTERNATIONAL, INC.,
a Delaware corporation with its chief executive office and principal place of business at 600 North Baldwin Park Boulevard, City of Industry, California 91749, ROBERTS COMPANY CANADA LIMITED, an Ontario corporation with its chief executive
office and principal place of business at 2070 Steeles Avenue, Bramalea, Ontario, Canada L6T1A7, Q.E.P. STONE HOLDINGS, INC., a Florida corporation with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. ZOCALIS
HOLDING LLC, with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, BOIARDI PRODUCTS CORPORATION, an Ohio corporation with its chief executive office and principal place of business at 453 Main Street, Little Falls,
New Jersey 07424, and ROBERTS CAPITOL, INC., a Florida corporation with its chief executive office and principle place of business at 1081 Holland Drive, Boca Raton, Florida 33487 (all of the foregoing hereinafter collectively called the
“Borrower” unless otherwise specifically indicated), for value received, jointly and severally promise to pay to the order of HSBC BANK USA, NATIONAL ASSOCIATION successor-by-merger to HSBC BANK USA, with an
office at 2 South Biscayne Boulevard, Suite 1920, Miami, Fl 33131 (hereinafter referred to as the “Lender”), the principal sum of ELEVEN MILLION SIX HUNDRED THOUSAND DOLLARS ($11,600,000.00), or such lesser amount as has been
advanced and remains outstanding under this Note, with interest computed as set forth in a certain Second Amended and Restated Loan Agreement between the Borrower, Fleet Capital Corporation (“Fleet”), the Lender and Fleet, as agent for
itself and the Lender, dated as of November 14, 2002 (as amended from time to time the “Loan Agreement”) from the date hereof until this Note is fully paid. 
  
 All payments will be applied first to the payment of late charges, then to accrued and unpaid interest and the balance on
account of the unpaid principal of this Note. 
  
 All sums due
under this Note shall be payable together with all taxes and other charges required under the Loan Agreement. 
  
 The happening of any of the following events or conditions shall constitute an “Event of Default” under this Note: 
  
 1. Failure to make when due any payment of principal or interest or any sum
due under this Note when the same shall be due and payable. 

 2. The occurrence of an Event of Default or notice of termination under the Loan Agreement. 

 
 Upon and after the occurrence and during the continuance of an Event of
Default, the whole of said indebtedness, both principal and interest, and including any other sums which may become due under this Note, shall, at the option of the holder of this Note, immediately become due and payable without presentment, demand,
protest, notice of protest, or other notice or notice of dishonor of any kind, all of which are hereby expressly waived by the Borrower. 
  
 The Borrower agrees that no delay or failure on the part of the holder in exercising any power, privilege, remedy, option or right under this Note shall
operate as a waiver thereof or of any other power, privilege, remedy or right; nor shall any single or partial exercise of any power, privilege, remedy, option or right hereunder preclude any other or future exercise thereof or the exercise of any
other power, privilege, remedy, option or right. The rights and remedies expressed herein are cumulative, and may be enforced successively, alternately, or concurrently and are not exclusive of any rights or remedies which holder may or would
otherwise have under the provisions of all applicable laws, and under the provisions of all agreements between the Borrower and the Lender. 
  
 The Borrower hereby waives presentment, demand, notice, protest and all other demands and notices in connection with the delivery, acceptance,
performance, default or enforcement of this Note, assents to any extension or postponement of the time of payment or any other indulgence and/or to the addition or release of any party or person primarily or secondarily liable. 
  
 The Borrower gives the Lender a lien and right of setoff for all of
Borrower’s liabilities upon and against the Borrower’s deposits, credits and property, now or hereafter in the possession or control of the Lender or in transit to it. The Lender may, at any time, apply the same or any part thereof, to any
of the Borrower’s liability, though unmatured, without notice and without first resorting to any other collateral. 
  
 This Note constitutes the amendment and restatement in its entirety of the Domestic Advances Note of the Borrower to the Lender in the principal amount of
$9,200,000 dated November 14, 2002 (the “Original Note”), and is in substitution therefor and an amendment and replacement thereof. Nothing herein or in any other document shall be construed to constitute payment of the Original
Note or to release or terminate any guaranty or any lien, mortgage, pledge, or other security interest in favor of the Lender. 
  
 This Note shall be governed by and construed in accordance with the laws of the State of Connecticut. 
  

 2 

 TO INDUCE LENDER TO ENTER INTO THE COMMERCIAL LOAN TRANSACTION EVIDENCED BY THIS NOTE, THE LOAN
AGREEMENT, AND ANY OTHER LOAN DOCUMENTS EVIDENCING OR SECURING THE SAME, BORROWER AGREES THAT THIS IS A COMMERCIAL TRANSACTION AND NOT A CONSUMER TRANSACTION, AND WAIVES ANY RIGHT TO NOTICE AND A HEARING AND AUTHORIZES LENDER’S ATTORNEY TO
ISSUE A WRIT FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER, PROVIDED THE COMPLAINT SHALL SET FORTH A COPY OF THIS WAIVER AND WAIVES ANY CLAIM IN TORT, CONTRACT OR OTHERWISE AGAINST LENDER’S ATTORNEY WHICH MAY ARISE OUT OF SUCH ISSUANCE OF A WRIT
FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER. BORROWER FURTHER WAIVES ANY RIGHT IT MAY HAVE TO REQUEST THAT LENDER POST A BOND IN CONNECTION WITH ANY PREJUDGEMENT REMEDY. BORROWER ACKNOWLEDGES AND STIPULATES THAT SUCH WAIVER AND AUTHORIZATION
GRANTED ABOVE ARE MADE KNOWINGLY AND FREELY AND AFTER FULL CONSULTATION WITH COUNSEL. SPECIFICALLY, BORROWER RECOGNIZES AND UNDERSTANDS THAT THE EXERCISE OF LENDER’S RIGHTS DESCRIBED ABOVE MAY RESULT IN THE ATTACHMENT OF OR LEVY AGAINST
BORROWER’S PROPERTY, AND SUCH WRIT FOR A PREJUDGMENT REMEDY WILL NOT HAVE THE PRIOR WRITTEN APPROVAL OR SCRUTINY OF A COURT OF LAW OR OTHER JUDICIAL OFFICER NOR WILL BORROWER HAVE THE RIGHT TO ANY NOTICE OR PRIOR HEARING WHERE BORROWER MIGHT
CONTEST SUCH A PROCEDURE. THE INTENT OF BORROWER IS TO GRANT TO LENDER FOR GOOD AND VALUABLE CONSIDERATION THE RIGHT TO OBTAIN SUCH A PREJUDGMENT REMEDY AND TO EXPRESS ITS BELIEF THAT ANY SUCH PREJUDGMENT REMEDY OBTAINED IS VALID AND CONSTITUTIONAL.

  
 BORROWER HEREBY EXPRESSLY WAIVES ANY AND ALL RIGHTS IT
MAY HAVE TO A TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION (1) ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENTS OR AGREEMENTS CONTEMPLATED TO BE EXECUTED OR DELIVERED IN CONNECTION HEREWITH
OR THE TRANSACTIONS RELATED HERETO OR THERETO, OR (2) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENT OR AGREEMENT EXECUTED OR
DELIVERED IN CONNECTION HEREWITH, OR THE TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER SOUNDING IN CONTRACT OR TORT OR OTHERWISE; AND THE BORROWER HEREBY AGREES AND CONSENTS THAT ANY SUCH
CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND LENDER MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF EACH OF THEM TO THE WAIVER OF THEIR
RIGHT TO TRIAL BY JURY. 
  

 3 

 This Note is one of the Revolving Promissory Notes referred to in, entitled to the benefits of, and
subject to the terms and conditions of the Loan Agreement. 
  

			
	BORROWER:
	
	Q.E.P. CO., INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Chief Financial Officer
	 	 	Duly Authorized
	
	Q.E.P.-O’TOOL, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	MARION TOOL CORPORATION
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS CONSOLIDATED INDUSTRIES, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

			
	ROBERTS HOLDING INTERNATIONAL INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS COMPANY CANADA LIMITED
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. STONE HOLDINGS, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. ZOCALIS HOLDING, L.L.C.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	BOIARDI PRODUCTS CORPORATION
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

  

 5 

			
	ROBERTS CAPITOL, INC.
		
	By	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

  

 6 

 STATE OF NEW YORK 
  
 COUNTY OF NEW YORK 
  
 Before me, the undersigned, this 31st day of March, 2005, personally appeared Marc
Applebaum, an authorized signatory of Q.E.P. Co., Inc., Q.E.P.-O’Tool, Inc., Marion Tool Corporation, Roberts Consolidated Industries, Inc., Roberts Holding International, Inc., Roberts Company Canada Limited, Q.E.P. Stone Holdings, Inc.,
Q.E.P. Zocalis Holding, LLC, BOIARDI Products Corporation, and Roberts Capitol, Inc. and that he as such authorized signatory of the foregoing instrument, acknowledged the execution of the same to be his free act and deed individually and as such
officer, and the free act and deed of said entity. 
  
 In Witness
Whereof, I hereunto set my hand. 
  

	
	 /s/ Arthur Evan Rosenberg

	 Notary Public

	 My Commission Expires:

  

 7 

 SECOND AMENDED AND RESTATED DOMESTIC ADVANCES NOTE 
  

			
	 	 	New York, New York
	 $17,400,000.00
	 	March 31, 2005

  
 Q.E.P. CO., INC., a Delaware
corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. - O’TOOL, INC., a Nevada corporation with its chief executive office and principal place of business at
20535 Belshaw Avenue, Carson, California 90746, MARION TOOL CORPORATION, an Indiana corporation with its chief executive office and principal place of business at 11th Street and Miller Avenue, Marion, Indiana 46952, ROBERTS CONSOLIDATED
INDUSTRIES, INC., a Delaware corporation with its chief executive office and principal place of business at 600 North Baldwin Park Boulevard, City of Industry, California 91749, ROBERTS HOLDING INTERNATIONAL, INC., a Delaware corporation
with its chief executive office and principal place of business at 600 North Baldwin Park Boulevard, City of Industry, California 91749, ROBERTS COMPANY CANADA LIMITED, an Ontario corporation with its chief executive office and principal
place of business at 2070 Steeles Avenue, Bramalea, Ontario, Canada L6T1A7, Q.E.P. STONE HOLDINGS, INC., a Florida corporation with a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, Q.E.P. ZOCALIS HOLDING LLC, with
a place of business at 1081 Holland Drive, Boca Raton, Florida 33487, BOIARDI PRODUCTS CORPORATION, an Ohio corporation with its chief executive office and principal place of business at 453 Main Street, Little Falls, New Jersey 07424 and
ROBERTS CAPITOL, INC., a Florida corporation with its chief executive office and principal place of business at 1081 Holland Drive, Boca Raton, Florida 33487, all of the foregoing hereinafter collectively called the
“Borrower” unless otherwise specifically indicated), for value received, jointly and severally promise to pay to the order of FLEET CAPITAL CORPORATION, a Rhode Island corporation with an office at One Landmark Square,
Stamford, Connecticut 06901 (hereinafter referred to as the “Lender”), the principal sum of SEVENTEEN MILLION FOUR HUNDRED THOUSAND DOLLARS ($17,400,000.00), or such lesser amount as has been advanced and remains outstanding
under this Note, with interest computed as set forth in a certain Second Amended and Restated Loan Agreement between the Borrower, the Lender, HSBC Bank USA, National Association successor-by-merger to HSBC Bank USA (“HSBC”) and the
Lender, as agent for itself and HSBC, dated as of November 14, 2002 (as amended from time to time the “Loan Agreement”) from the date hereof until this Note is fully paid. 
  
 All payments will be applied first to the payment of late charges, then to
accrued and unpaid interest and the balance on account of the unpaid principal of this Note. 
  
 All sums due under this Note shall be payable together with all taxes and other charges required under the Loan Agreement. 
  
 The happening of any of the following events or conditions shall constitute an “Event of Default” under this Note: 
  
 1. Failure to make when due any payment of principal or interest or any sum
due under this Note when the same shall be due and payable. 

 2. The occurrence of an Event of Default or notice of termination under the Loan Agreement. 

 
 Upon and after the occurrence and during the continuance of an Event of
Default, the whole of said indebtedness, both principal and interest, and including any other sums which may become due under this Note, shall, at the option of the holder of this Note, immediately become due and payable without presentment, demand,
protest, notice of protest, or other notice or notice of dishonor of any kind, all of which are hereby expressly waived by the Borrower. 
  
 The Borrower agrees that no delay or failure on the part of the holder in exercising any power, privilege, remedy, option or right under this Note shall
operate as a waiver thereof or of any other power, privilege, remedy or right; nor shall any single or partial exercise of any power, privilege, remedy, option or right hereunder preclude any other or future exercise thereof or the exercise of any
other power, privilege, remedy, option or right. The rights and remedies expressed herein are cumulative, and may be enforced successively, alternately, or concurrently and are not exclusive of any rights or remedies which holder may or would
otherwise have under the provisions of all applicable laws, and under the provisions of all agreements between the Borrower and the Lender. 
  
 The Borrower hereby waives presentment, demand, notice, protest and all other demands and notices in connection with the delivery, acceptance,
performance, default or enforcement of this Note, assents to any extension or postponement of the time of payment or any other indulgence and/or to the addition or release of any party or person primarily or secondarily liable. 
  
 The Borrower gives the Lender a lien and right of setoff for all of
Borrower’s liabilities upon and against the Borrower’s deposits, credits and property, now or hereafter in the possession or control of the Lender or in transit to it. The Lender may, at any time, apply the same or any part thereof, to any
of the Borrower’s liability, though unmatured, without notice and without first resorting to any other collateral. 
  
 This Note shall be governed by and construed in accordance with the laws of the State of Connecticut. 
  
 This Note constitutes the amendment and restatement in its entirety of the
Amended and Restated Domestic Advances Note of the Borrower to the Lender in the principal amount of $13,800,000 dated November 14, 2002 (the “Original Note”), and is in substitution therefor and an amendment and replacement
thereof. Nothing herein or in any other document shall be construed to constitute payment of the Original Note or to release or terminate any guaranty or any lien, mortgage, pledge or other security interest in favor of the Lender. 
  

 2 

 TO INDUCE LENDER TO ENTER INTO THE COMMERCIAL LOAN TRANSACTION EVIDENCED BY THIS NOTE, THE LOAN
AGREEMENT, AND ANY OTHER LOAN DOCUMENTS EVIDENCING OR SECURING THE SAME, BORROWER AGREES THAT THIS IS A COMMERCIAL TRANSACTION AND NOT A CONSUMER TRANSACTION, AND WAIVES ANY RIGHT TO NOTICE AND A HEARING AND AUTHORIZES LENDER’S ATTORNEY TO
ISSUE A WRIT FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER, PROVIDED THE COMPLAINT SHALL SET FORTH A COPY OF THIS WAIVER AND WAIVES ANY CLAIM IN TORT, CONTRACT OR OTHERWISE AGAINST LENDER’S ATTORNEY WHICH MAY ARISE OUT OF SUCH ISSUANCE OF A WRIT
FOR A PREJUDGMENT REMEDY WITHOUT COURT ORDER. BORROWER FURTHER WAIVES ANY RIGHT IT MAY HAVE TO REQUEST THAT LENDER POST A BOND IN CONNECTION WITH ANY PREJUDGEMENT REMEDY. BORROWER ACKNOWLEDGES AND STIPULATES THAT SUCH WAIVER AND AUTHORIZATION
GRANTED ABOVE ARE MADE KNOWINGLY AND FREELY AND AFTER FULL CONSULTATION WITH COUNSEL. SPECIFICALLY, BORROWER RECOGNIZES AND UNDERSTANDS THAT THE EXERCISE OF LENDER’S RIGHTS DESCRIBED ABOVE MAY RESULT IN THE ATTACHMENT OF OR LEVY AGAINST
BORROWER’S PROPERTY, AND SUCH WRIT FOR A PREJUDGMENT REMEDY WILL NOT HAVE THE PRIOR WRITTEN APPROVAL OR SCRUTINY OF A COURT OF LAW OR OTHER JUDICIAL OFFICER NOR WILL BORROWER HAVE THE RIGHT TO ANY NOTICE OR PRIOR HEARING WHERE BORROWER MIGHT
CONTEST SUCH A PROCEDURE. THE INTENT OF BORROWER IS TO GRANT TO LENDER FOR GOOD AND VALUABLE CONSIDERATION THE RIGHT TO OBTAIN SUCH A PREJUDGMENT REMEDY AND TO EXPRESS ITS BELIEF THAT ANY SUCH PREJUDGMENT REMEDY OBTAINED IS VALID AND CONSTITUTIONAL.

  
 BORROWER HEREBY EXPRESSLY WAIVES ANY AND ALL RIGHTS IT
MAY HAVE TO A TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION (1) ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENTS OR AGREEMENTS CONTEMPLATED TO BE EXECUTED OR DELIVERED IN CONNECTION HEREWITH
OR THE TRANSACTIONS RELATED HERETO OR THERETO, OR (2) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO THIS NOTE OR ANY OTHER DOCUMENTS, INSTRUMENT OR AGREEMENT EXECUTED OR
DELIVERED IN CONNECTION HEREWITH, OR THE TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER SOUNDING IN CONTRACT OR TORT OR OTHERWISE; AND THE BORROWER HEREBY AGREES AND CONSENTS THAT ANY SUCH
CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND LENDER MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF EACH OF THEM TO THE WAIVER OF THEIR
RIGHT TO TRIAL BY JURY. 

 This Note is one of the Revolving Promissory Notes referred to in, entitled to the benefits of, and
subject to the terms and conditions of the Loan Agreement. 
  

			
	BORROWER:
	
	Q.E.P. CO., INC.
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Chief Financial Officer
	 	 	Duly Authorized
	
	Q.E.P. - O’TOOL, INC.
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	MARION TOOL CORPORATION
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS CONSOLIDATED INDUSTRIES, INC.
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS HOLDING INTERNATIONAL, INC.
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

			
	ROBERTS COMPANY CANADA LIMITED
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. STONE HOLDINGS, INC.
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	Q.E.P. ZOCALIS HOLDING LLC
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	BOIARDI PRODUCTS CORPORATION
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized
	
	ROBERTS CAPITOL, INC.
		
	By:	 	 /s/ Marc Applebaum

	 	 	Marc Applebaum
	 	 	Its Director, Secretary
	 	 	Duly Authorized

 STATE OF NEW YORK 
  
 COUNTY OF NEW YORK 
  
 Before me, the undersigned, this 31st day of March, 2005, personally appeared Marc
Applebaum, an authorized signatory of Q.E.P. Co., Inc., Q.E.P.-O’Tool, Inc., Marion Tool Corporation, Roberts Consolidated Industries, Inc., Roberts Holding International, Inc., Roberts Company Canada Limited, Q.E.P. Stone Holdings, Inc.,
Q.E.P. Zocalis Holding, LLC, BOIARDI Products Corporation, and Roberts Capitol, Inc. and that he as such authorized signatory of the foregoing instrument, acknowledged the execution of the same to be his free act and deed individually and as such
officer, and the free act and deed of said entity. 
  
 In Witness
Whereof, I hereunto set my hand. 
  

	
	 /s/ Arthur Evan Rosenberg

	 Notary Public

	 My Commission Expires: 06/09/2006

 Dated
                     20     Checker’s Initial 
  
 VITREX LIMITED 
  
 to 
  
 Fleet Capital Corporation, 
  
 as Agent 
  

  
 Debenture 
  

  
 Registered at the Companies’
Registry on the          
  
 Day of                      2005 

 This Debenture by way of deed made the 31st day of March 2005 
  
 Between (1) Vitrex Limited Company Number 05017563 (the “Company”) and 

 

	(2)	Fleet Capital Corporation, as Agent for the ratable benefit of the Lenders party from time to time to that certain Second Amended and Restated Loan Agreement dated as of November
14, 2002 (as amended and in effect from time to time, the “Loan Agreement”) by and among the Company, certain of its Affiliates and Subsidiaries, Fleet Capital Corporation and HSBC Bank USA (collectively the “Lenders”) and the
Agent as Agent for the Lenders (“the Agent”) whose address for service for entry on the register is 200 Glastonbury Boulevard, Glastonbury, Connecticut, USA 06033 

  
 WITNESSES as follows 
  
 Debenture as security for the Debt 
  

	1.	This Debenture shall be security for the payment and discharge of the Debt mentioned in Clause 2 below. 

  

	2.	The Debt is all money and liabilities whatever, whenever and however incurred whether now or in the future due, or become due, from the Company to the Agent and/or the Lenders
arising under the Loan Documents (as defined in the Loan Agreement) (“the Debt”). 

 The Agreement to pay the Debt 
  

	3.	The Company agrees to pay and discharge the Debt when the same is due to be paid and discharged. It acknowledges that the Debt shall, in the absence of express written agreement to
the contrary as provided in the Loan Agreement, be due and payable as and when set forth in the Loan Agreement. 

  
 Security given over the Company’s Assets 
  

	4.	The Company, with full title guarantee, and as security for the payment and discharge of the Debt, charges (subject only to the existing charges in favor of HSBC Bank plc and HSBC
Invoice Finance (UK) Limited):- 

  

	 	(a)	By way of legal mortgage all freehold and leasehold land now vested in the Company together with all buildings, fixtures, fittings and fixed plant and machinery now or at any time
afterwards on it. This includes (without limitation) the land described or referred to in Part I of the First Schedule below subject only to the other mortgages or matters (if any) mentioned in Part 2 of the First Schedule below.

  

	 	(b)	By way of fixed charge the chattels (including all additions and improvements to, and replacements of, them from time to time), securities, intellectual property and/or other
property mentioned in the Second Schedule below. 

  

	 	(c)	By way of fixed charge, (except as already charged above):- 

  

	 	(i)	All the present and future right, title and interest of the Company in or to any freehold or leasehold land or other immovable property wherever situated and all fixtures, fittings
and fixed plant and machinery now or at any time afterwards on it. 

  

	 	(ii)	All chattels now or at any time afterwards belonging to the Company . This excludes any of them for the time being forming part of the stock in trade or work-in-progress of the
Company or which are, for the time being, otherwise effectively charged by way of legal mortgage or fixed charge by this Debenture. 

  

	 	(iii)	The benefit of all rights, licences, guarantees, rent deposits, contracts, deeds, undertakings and warranties relating to any land or other property mentioned above and/or to any
trade or business from time to time carried on by the Company. 

  

	 	(iv)	All book debts and other debts and monetary claims and any rents, license fees or other payments due from any lessee, licensee or occupier of any immovable property wherever
situated now or at any time afterwards due owing or incurred to the Company. In addition, the full benefit of all guarantees and securities for them and all liens, reservations of title and other rights enabling the Company to enforce any such debts
or claims (collectively called the “debts”). This excludes such debts and claims (if any) as the Lenders may from time to time have agreed in writing with the Company in accordance with the Loan Agreement which shall not be subject to this
fixed charge and also such debts and claims as charged in accordance with paragraph (v) below. 

  

	 	(v)	Any credit balance on any account of the Company with the Agent or any Lender. 

  

	 	(vi)	Any credit balance on any account of the Company with any bank (other than the Agent or any Lender) or other person. 

  

	 	(vii)	All goodwill and uncalled capital for the time being of the Company. 

  

	 	(viii)	All stocks, shares, debentures, bonds, loan capital and other securities of any description of any other person (including, without limitation, any subsidiary or subsidiary
undertaking of the Company). In addition: 

  
 (a)
all rights to subscribe to or convert such other securities into or otherwise acquire any such securities now or at any time afterwards belonging to the Company, 

 (b) all dividends, interest and other income and all other rights of whatsoever kind deriving from or
incidental to, any of these (together with any securities mentioned in the Second Schedule below, collectively called, the “securities”). 
  

	 	(ix)	All letters patent, trademarks, service marks, designs, utility models, copyrights, design rights, applications for registration of any of them and the right to apply for them in
any part of the world. In addition, moral rights, inventions, confidential information, know-how and rights of a similar nature arising or subsisting anywhere in the world in relation to all or any of the above (whether registered or unregistered)
now or at any time afterwards belonging to the Company (together with any of the same mentioned in the Second Schedule below, collectively called the “intellectual property). 

  

	 	(x)	All policies of life insurance or assurance and all rights and claims to which the Company is now, or may at any time afterwards, become entitled in relation to the proceeds of them
or of any other policies of insurance of any description (including, without limitation, the insurances mentioned to in Clause 8(a) below). 

  

	 	(xi)	All rights and other property to which the Company is now, or may at any time afterwards, become entitled as a result of, or in connection with, any proceedings threatened or
commenced under the Insolvency Act 1986 or any similar legislation in any jurisdiction. 

  

	 	(xii)	The benefit of all agreements for the provision by the Company to any person of any loan or credit or other financial accommodation of any description (including, without
limitation, any finance leases and hire or hire-purchase agreements) now, or at any time afterwards, entered into by the Company. 

  

	 	(xiii)	The proceeds of sale of any property mentioned above. 

  

	 	(d)	By way of floating charge, all the undertaking of the Company and all its property whatsoever and wheresoever both present and future. This will not include any part of the same
which is, for the time being, effectively charged by way of legal mortgage or fixed charge by this Debenture and recognised as effectively so charged under the laws of the jurisdiction in which the same is situated. 

  
 The property referred to in paragraphs (a) (b) (c) and (d) above is
collectively called the “charged property”. The property referred to in paragraphs (a) (b) and (c) (together with any property for the time being effectively charged by way of fixed charge by the application of Clause 5 below) is
collectively called the “fixed charged property”. 
  
 Agent’s
ability to convert Floating Charge 
  

	5.	The Agent may, by notice in writing to the Company, convert the floating charge created by Clause 4(d) above into a fixed charge in respect of such of the property of the Company as
may be specified in such notice. It may do so: 

  
 (i) on the happening of any of the events mentioned in Clause 11 below; or 
  
 (ii) it appears to the Agent that such property is in danger of seizure, distress, diligence or any other form of legal process or that the same, and/or the security now created in respect of it, is otherwise in
jeopardy. 
  
 In either event, the ability of the Company to deal
in any way with such property shall cease except to the extent that the Agent may otherwise agree in writing. 
  
 Restrictions on Company 
  

	6.	The Company shall not, except with the prior written consent of the Agent and/or the Lenders, or as provided in the Loan Agreement: 

  

	 	(a)	create, or attempt to create, or allow to subsist over all or any of the charged property, any mortgage, charge, lien, pledge or other security other than the existing charges in
favor of HSBC Bank plc and HSBC Invoice Finance (UK) Limited, this Debenture and the mortgages or matters (if any) mentioned in Part 2 of the First Schedule below; or 

	 	(b)	allow any tangible property, forming part of the fixed charged property, to leave the possession of the Company (except as permitted under paragraph (d) below and for the purpose of
necessary repair or maintenance) or to be used by any person other than the Company or for any purpose other than in connection with the business of the Company; or 

  

	 	(c)	release, exchange, compound, set off, grant time or agree to any other arrangement in respect of, or in any other way deal with, all or any of the debts except in accordance with
the arrangements with HSBC Bank plc and HSBC Invoice Finance (UK) Limited (until their termination) and as expressly allowed by this Debenture; or 

  

	 	(d)	part with, hire, lend, sell, assign or dispose of all, or any part of (or any right, title or interest in), the fixed charged property or all, or (except by a sale or disposal in
the ordinary course of the Company’s business and for the purpose of carrying on the same) any part of the remainder of the charged property. 

  

Land Registry Restriction 
  

	7.	In respect of any part of, or interest in, the fixed charged property title which is or becomes registered at HM Land Registry, the Company applies to HM Chief Land Registrar to
enter the following restriction on the Proprietorship Register of the title of all such property:- 

  
 “Except under an Order of the Registrar no disposition or dealing by the proprietor of the land is to be registered or noted without the consent of
the proprietor of the Debenture dated in favour of Fleet Capital Corporation, as Agent referred to in the Charges Register”. 
  
 Company’s Obligations to the Agent and the Lenders 
  

	8.	Until this Debenture is discharged the Company will:- 

  

					
	 (a)
	  	(i)	 	Insure, and keep insured, the charged property with such insurer and against such risks and in such amounts and otherwise upon such terms as the Agent may reasonably require. If the Agent makes
no requirement, then in accordance with accepted prudent business practice from time to time in respect of property of the same type.
			
	 	  	(ii)	 	Punctually pay all premiums and other monies necessary for keeping up such insurances or any other insurance referred to in Clause 4(c)(x).
			
	 	  	(iii)	 	See that the interest of the Agent, for the ratable benefit of the Lenders is noted upon all policies of such insurance or (if the Agent reasonably so requires) that the policy is held in the
joint names of the Company and the Agent for the ratable benefit of the Lenders.
			
	 	  	(iv)	 	If the Agent reasonably requires, produce to, or deposit with, the Agent all such policies and the receipts for all premium and other payments necessary for effecting and keeping up such
policies.
			
	 	  	(v)	 	Promptly notify the Agent of anything which may give rise to a claim under such policy(ies) and ensure that nothing is done or not done as a consequence of which any such policy might be
adversely affected or which may increase the premium payable.
			
	 	  	(vi)	 	Notify the Agent prior to taking any steps to open an account with any bank (other than the Agent or any Lender) or other person.

							
	 	 	 	 	It is agreed (whether or not this Debenture shall have become enforceable) that:-
				
	 	 	 	 	(i)	 	The Agent may (but without being under any duty to do so and if it reasonably considers it necessary to do so) itself effect such insurances. If it does so, the Company shall be liable to the
Agent for the expenses incurred by the Agent in doing so.
				
	 	 	 	 	(ii)	 	All sums at any time payable under any such policies of insurance shall (subject to any prior rights and claims of any third party) be paid to the Agent for the ratable benefit of the Lenders.
If the same are not paid directly to the Agent by the insurers then the Company shall be trustee of them for the benefit of the Agent and shall account to the Agent accordingly. The insurance monies shall at the option of the Agent be applied
(subject to Clause 28 below) in or towards the payment or discharge of the Debt or in making good or recouping expenditure in respect of the loss or damage for which such monies are received.
				
	 	 	 (b)
	 	(i)	 	Keep all buildings on any land charged by this Debenture and all fixtures and plant and machinery on and in them (and all other tangible property comprised in the charged property) in good and
substantial repair and condition.
				
	 	 	 	 	(ii)	 	Whenever any of the said buildings, fixtures, fittings or plant and machinery are destroyed, damaged or deteriorates, immediately repair, replace and make good the same. If the Company shall
fail to do so, then the Agent shall be entitled (but not bound) to do so instead.
			
	 	 	 (c)
	 	Not, without the prior written consent of the Agent and/or the Lenders or as provided in the Loan Agreement:-
				
	 	 	 	 	(i)	 	pull down or remove the whole or any part of any buildings forming part of the land charged by this Debenture;
				
	 	 	 	 	(ii)	 	sever or unfix or remove any of the fixtures or fittings; or
				
	 	 	 	 	(iii)	 	except for the purpose of effecting necessary repairs to them or of replacing the same with new or improved models or substitutes, remove any of the plant and machinery belonging to, or in use
by, the Company.
				
	 	 	 (d)
	 	(i)	 	Carry on any trade, business or agricultural use on any land now or afterwards used by the Company for the purposes of trade, business or agriculture. It shall do so in accordance with the
standards of good management from time to time current in the trade or business or (in the case of agricultural use) with the standards of good husbandry, from time to time. It shall also do so in accordance with the authorized planning use of such
land.
				
	 	 	 	 	(ii)	 	Obtain, maintain and comply with all licenses, consents and other authorizations (including, without limitation, environmental permits) and effect all registrations which may be necessary or
desirable in relation to all or any part of the charged property or any business or other activity from time to time carried on by the Company.
			
	 	 	 (e)
	 	Not, without the prior written consent of the Agent and/or the Lenders or as provided in the Loan Agreement:-
				
	 	 	 	 	(i)	 	carry out, or allow to be carried out, on any land charged by this Debenture, any development as defined in the Town and Country Planning Act 1990;
				
	 	 	 	 	(ii)	 	enter into any agreement under Section 106 of the said Act; or
				
	 	 	 	 	(iii)	 	change, or allow to be changed, the use of any such land.
				
	 	 	 (f)
	 	(i)	 	Observe and perform all covenants, stipulations and conditions which from time to time affect the use or possession of the charged property whether arising under any lease or other agreement
under which the charged property is held.
				
	 	 	 	 	(ii)	 	Punctually pay all rents and other payments becoming due, or to become due, under any lease or other agreement mentioned above.
				
	 	 	 	 	(iii)	 	If the Agent so requires, produce to the Agent evidence sufficient to reasonably satisfy it that the requirements mentioned above have been complied with.
				
	 	 	 (g)
	 	(i)	 	Comply with all statutory and other regulations affecting the charged property. This will include all environmental laws and environmental permits applicable from time to time to all or any part
of the charged property or any business or other activity from time to time carried on by the Company.

									
	 	  	 	  	(ii)	 	Not allow any circumstances to arise which could lead:-
					
	 	  	 	  	 	 	(a)	 	to any competent authority or other person taking action, or making a claim under any environmental laws (including the requirement to clean up any contaminated land or the revocation,
suspension, variation or non-renewal of any environmental permit); or
					
	 	  	 	  	 	 	(b)	 	to the Company having to take action to prevent the possibility of any such action or claim.
				
	 	  	 	  	(iii)	 	Indemnify each of the Agent, the Lenders, the Administrator or Receiver (and their respective officers, agents and
delegates) against all costs expenses and liabilities properly
incurred (directly or indirectly) as a result of any non-
compliance or alleged non-compliance with any environmental laws in relation to all or any part of the charged
property or anything done or not done on it.
				
	 	  	 (h)
	  	(i)	 	Within 7 days after becoming aware of the same, give full particulars to the Agent of any notice, order, direction,
designation, resolution or proposal affecting all or any part
of the charged property or (in the case of any land) the
locality in which it is situated, given or made by any planning authority or other public body or authority whatsoever
(including, without limitation, any licensing
authority).
				
	 	  	 	  	(ii)	 	If the Agent reasonably requires, immediately, and at the cost of the Company, take all reasonable and necessary
steps to comply with any of the matters mentioned in (h)(i) above
and make (or join with the Bank in making) such
objections or representations in respect of them. (i) Permit the Agent, the Lenders, their respective agents and any
person authorized by any of them, to enter any land charged by this Debenture
or on which any other part of the fixed
charged property is situated, at all reasonable times and on reasonable notice (except in case of emergency) for the
purpose of inspecting or valuing any of the fixed charged property and if the Agent or
any Lender calls for such a
valuation (which it is entitled to do) that shall be at the expense of the Company.
			
	 	  	 (j)
	  	Not without the prior written consent of the Agent and/or the Lenders or as provided in the Loan Agreement:-
				
	 	  	 	  	(i)	 	grant or vary, or agree to grant or vary, any license or tenancy affecting any land charged by this Debenture;
				
	 	  	 	  	(ii)	 	exercise the powers of leasing, or agreeing to lease, or of accepting or agreeing to accept surrenders of leases,
conferred by Sections 99 or 100 of the Law of Property Act
1925.
				
	 	  	 	  	(iii)	 	in any other way, dispose, or agree to dispose of, or create, any legal or equitable estate or interest in any land charged
by this Debenture;
				
	 	  	 	  	(iv)	 	negotiate, settle or waive any claim for loss, damage or other compensation (including without limitation compulsory
purchase compensation) affecting any land charged by this
Debenture; or
				
	 	  	 	  	(v)	 	apply for an improvement or other grant or do anything which might result in any land charged by this Debenture
being subject to any statutory charge.
			
	 	  	 (k)
	  	Ensure that, except with the written consent of the Agent and/or the Lenders or as provided in the Loan Agreement:-
				
	 	  	 	  	(i)	 	no person other than the Company shall be registered under the Land Registration legislation in force from time to
time as proprietor of any interest in land charged by this
Debenture;
				
	 	  	 	  	(ii)	 	no person shall become entitled to any proprietary right or interest which may adversely affect the value of such
interests in land (unless such entitlement exists at the date of
this Debenture or at the time of the acquisition of such
land by the Company) and the Company shall indemnify the Agent and the Lenders for all expenses reasonably
incurred by the Bank in lodging from time to time cautions or notices against
the registration of title to any such land.
				
	 	  	 (l)
	  	(i)	 	Permanently keep all tangible moveable property forming part of the fixed charged property at the premises (if any)
specified in the Second Schedule below or at such other
premises as the Agent may from time to time reasonably
approve in writing.
				
	 	  	 	  	(ii)	 	Keep such fixed charged property within England and Wales and notify the Agent upon request of the location of
such fixed charged property from time to time.
				
	 	  	 	  	(iii)	 	Upon written notice from the Agent, keep such fixed charged property at the premises so notified or at such other
premises as may be reasonably authorized in writing by the
Agent.

							
	 	  	 	  	(iv)	 	Pay all costs for the relocation of any of the fixed charged property.
			
	 	  	(m)	  	See that there is fixed to all tangible moveable property forming part of the fixed charged property in a prominent position
a plaque containing the following
words:-

  
 “NOTICE OF
CHARGE 
  
 This property and accessories are subject to a
second fixed charge in favour of Fleet Capital Corporation, as Agent, subject only to a first fixed charge in favour of HSBC Bank plc.” 
  
 or in such other form as the Agent may require. 
  

									
	 	 	(n)	 	(i)	 	Get in and realize the debts in the ordinary course of its business (which shall not extend to selling or assigning or in any other way factoring or discounting
them).
				
	 	 	 	 	(ii)	 	Pay the proceeds of such getting in and realization, and all other monies received in respect of the fixed charged property, into such separate and denominated accounts as the Agent
shall from time to time nominate in writing for such purpose or as the Agent may otherwise from time to time require. If the Agent shall not nominate any such account, the Company’s current account with the Agent shall be the nominated account
for the purpose of this Clause 8(n).
				
	 	 	 	 	(iii)	 	Pending such payment, hold such proceeds and other monies upon trust for the Agent, for the ratable benefit of the Lenders.
				
	 	 	 	 	(iv)	 	Except with the prior written consent of the Agent and/or the Lenders or as provided in the Loan Agreement, not be entitled to withdraw or transfer from any such account any monies
standing to the credit of such account.
			
	 	 	(o)	 	Punctually pay all calls, installments and other monies that may become due in respect of the securities.
				
	 	 	 (p)
	 	(i)	 	Not exercise any of the rights and powers attaching to any of the securities in a manner which, in the reasonable opinion of the Agent, may adversely affect the value of the security
created by this Debenture; and
				
	 	 	 	 	(ii)	 	prior to this Debenture becoming enforceable, and subject to (p)(i) above, all rights and powers attaching to the securities shall be exercisable by the Company or as it may
direct.
				
	 	 	 (q)
	 	(i)	 	Take all such necessary steps, and do all such acts (including the prompt payment of any appropriate fees and policing against any infringement of, or challenge to, the intellectual
property) to maintain the value, subsistence and validity of the intellectual property.
				
	 	 	 	 	(ii)	 	Where appropriate, use its best endeavours to protect and safeguard the intellectual property from and against theft, loss, destruction, unauthorised access, copying or use by third
parties.
				
	 	 	 	 	(iii)	 	Not use, or allow to be used, or take any step in respect of any of the intellectual property in any way which, in the reasonable opinion of the Agent, may adversely affect the value
of it.
				
	 	 	 (r)
	 	(i)	 	Deposit with the Agent (and the Agent shall be entitled to retain) all deeds, certificates and other documents constituting or evidencing title to the fixed charged property (except
insofar as the same are held, or required to be held by any third party in accordance with any obligation ranking in priority to the security created by this Debenture).
				
	 	 	 	 	(ii)	 	On being reasonably required to do so by the Agent, and at the cost and expense of the Company:-
					
	 	 	 	 	 	 	(a)	  	To the extent required to comply with the Loan Agreement, execute, sign, deliver and do all things necessary (including, without limitation, the assignment of all or any of the debts and the
transfer of all or any of the securities, to the Agent or its nominee and the giving of any notices and effecting of any registrations) as (and in such form as) the Agent may reasonably require to perfect or protect the security intended to be
created by this Debenture or to facilitate the exercise of any powers, authorities and discretions conferred under or in accordance with this Debenture.
					
	 	 	 	 	 	 	(b)	  	Endorse, or cause to be endorsed, on any documents constituting or evidencing title to the fixed charge property and give to third parties such notices of the security created by this Debenture
as the Agent may reasonably require.

 Agent’s Powers 
  

					
	9.	 	(a)	  	Without affecting in any way the Company’s obligation under Clause 8(m) above, the Agent shall have the right at any time to fix plaques or other markings to all tangible moveable property
comprised in the fixed charged property or the premises in or on which such property is situated.
			
	 	 	(b)	  	The plaques or other markings shall be in such form and with such wording as the Agent may reasonably require indicating the Agent’s interest in such fixed charged
property.
			
	 	 	(c)	  	The Company shall not allow any such plaques or markings to be concealed, altered or removed.
			
	10.	 	(a)	  	At any time before this Debenture is discharged (and whether or not the same shall have become enforceable), the Bank may, if and whenever, and so often as it shall reasonably think fit, apply
the whole or any part of the monies from time to time standing to the credit of any account as referred to in Clause 8(n) in or towards the discharge of the Debt.
			
	 	 	(b)	  	It may pay the monies mentioned in (a) above to the credit of any other account nominated by it (including an account opened by it for the purpose) as security for any contingent or future
liability of the Company to the Agent.

  
 When the Debenture becomes
enforceable 
  

							
	11.	 	This Debenture shall become enforceable upon the occurrence and during the continuance of an Event of Default (as defined in the Loan Agreement) under the Loan
Documents.
		
	 	 	If any of the above should occur:-
				
	 	 	 	 	(i)	 	the powers of sale and of appointing a receiver conferred by Section 101 of the Law of Property Act 1925 shall immediately arise and become exercisable by the Bank free from the restrictions
contained in Sections 103 and 109 of that Act; and
				
	 	 	 	 	(ii)	 	the powers of leasing, or agreeing to lease, or of accepting or agreeing to accept surrenders of leases (conferred by Sections 99 and 100 of the Law of Property Act 1925) shall immediately
become exercisable.

					
	 	  	 	  	These powers are available to the Agent, for the ratable benefit of the Lenders whether or not the Agent shall then be in possession of all or any part of the charged property. The Agent may
grant a lease at a premium and for any length of term and, generally, without the necessity for the Bank to comply with any restrictions imposed by, or other provisions of, the Sections and legislation mentioned above (and so that for the purposes
of Sections 99 and 100 of the Law of Property Act 1925, the expression “mortgagor” shall include any person deriving title under the Company and Sub-Sections 99 (18) and 100 (12) shall not apply).
	
	Appointment of Administrator or Receiver
			
	12.	  	(a)	  	The floating charge created by this Debenture is intended to be a qualifying floating charge as defined by paragraph 14 of schedule B1 to the Insolvency Act 1986 (inserted by section 248 of and
schedule 16 to the Enterprise Act 2002).
			
	 	  	(b)	  	At any time after having been requested to do so by the Company, or after this Debenture has become enforceable (and whether or not any of the events mentioned in Clause 11 are continuing), the
Agent may appoint by deed or by writing under the hand of a duly authorized officer of the Agent, or otherwise, any one or more persons to be Administrator (“Administrator”) or Receiver (“Receiver”). These expressions shall,
where necessary, include any person substituted as Administrator or Receiver of all or any part of the charged property. The Agent may similarly appoint a Receiver at any time after having being requested to do so by the Company.
			
	 	  	(c)	  	The Agent may (so far as it is lawfully able to do so) from time to time by deed or by writing under the hand of a duly authorized officer of the Agent, or otherwise, remove any person appointed
to be Administrator or Receiver and may in a similar way appoint another in his place.
			
	 	  	(d)	  	If at any time two or more persons shall hold office as Administrator or Receiver of the same property, each one of them shall be seperately entitled (subject to any contrary direction in the
appointment) to exercise all the powers, authorities and discretions conferred on them.
			
	 	  	(e)	  	The power to appoint a Receiver shall be in addition to all statutory and other powers of the Agent under the Insolvency Act 1986 and the Law of Property Act 1925.
			
	 	  	(f)	  	The power to appoint an Administrator or Receiver shall be and remain exercisable by the Agent even though there may be a prior appointment in respect of all or any part of the charged
property.
			
	13.	  	(a)	  	The Agent and each Lender shall not, nor shall the Administrator or Receiver, be liable to account as mortgagee in possession in respect of all or any of the charged property nor be liable for
any loss upon realisation or for any neglect or default (unless wilful) of any nature whatsoever in connection with all or any of the charged property for which a mortgagee in possession might as such be liable.
			
	 	  	(b)	  	All reasonable costs, charges and expenses incurred by the Agent, any Lender, or the Administrator or Receiver (including its internal management and administration costs and the cost of any
proceedings in relation to this Debenture or the Debt) shall be paid by the Company.
		
	14.	  	The Administrator or Receiver shall be the agent of the Company and the Company shall be responsible for his acts and remuneration as well as for any defaults committed by
him.
	
	Powers of Administrator or Receiver
		
	15.	  	The Administrator shall have the statutory powers in schedule 1 of the Insolvency Act 1986. The Receiver shall (subject to any limitations or restrictions expressed in the document
appointing him but notwithstanding any restriction or limitation binding on the Company under this Debenture or any winding-up or dissolution of the Company or any analogous proceedings in any jurisdiction) have

  

									
	 	 	all the powers (as varied and extended by this Debenture) conferred on receivers by the Insolvency Act 1986 and the Law or Property Act 1925 and (without affecting the above in any
way) the following powers:-
				
	 	 	 (a)
	 	(i)	 	To sell, transfer, assign, convey or grant, accept surrender or vary, terminate or surrender leases of or in exchange and
enter into or terminate leases of any of the charged
property; and
				
	 	 	 	 	(ii)	 	in any other way to dispose of, or deal with, all or any of the charged property in respect of which the Receiver is
appointed (or agree in any of the same) in either case in such
a way and generally on such terms and conditions as he
reasonably thinks fit.
			
	 	 	 	 	Any transaction mentioned above may be for such payment or other consideration as the Administrator or Receiver shall
think fit. This is so whether for a lump sum or a
consideration payable in instalments and whether for cash or otherwise. In
the case of the latter, it shall form part of the charged property and be charged with the payment and discharge of the Debt.
			
	 	 	 	 	Fixtures and plant and machinery may be taken and sold separately from the premises to which they are fixed (or in which
they are contained) without the consent of the Company
being obtained or necessary.
			
	 	 	 (b)
	 	To take possession of, collect and get in, all or any of the charged property in respect of which the Receiver is appointed
and for that purpose to make such demands and take any
proceedings as the Receiver shall reasonably think fit.
			
	 	 	 (c)
	 	To carry on, manage, develop, reconstruct, amalgamate or diversify (or agree the same) any trade or business (including
farming) as has from time to time been carried on the whole
or any part of the fixed charged property.
				
	 	 	 (d)
	 	(i)	 	To make any arrangement or compromise between the Company and any other person which the Receiver may
reasonably think expedient.
				
	 	 	 	 	(ii)	 	To take, defend or participate in any proceedings (including, without limitation, arbitration proceedings) as the
Receiver may reasonably think expedient;
			
	 	 	 (e)
	 	To make, effect and complete such improvements, development and repairs to any of the charged property as the Receiver
may reasonably think expedient.
			
	 	 	 (f)
	 	To make calls (and to enforce payment of them) conditionally, or unconditionally, on the members of the Company in
respect of any uncalled capital with the benefit of all the
powers in the Articles of Association of the Company conferred on
the Directors.
			
	 	 	 (g)
	 	To appoint managers, officers, servants, workmen, nominees and agents for any of the purposes mentioned in this Clause
15 at such remuneration and for such periods and on such
terms as the Receiver may reasonably determine.
			
	 	 	 (h)
	 	If the Receiver thinks fit, but without affecting the indemnity contained in Clause 23 below, to effect with any insurer any
policy or policies of insurance either in lieu, or
satisfaction of, or in addition to, such indemnity.
			
	 	 	 (i)
	 	To delegate by power of attorney, or in any other way, to any person or persons approved in writing by the Bank, all or any
of the powers, authorities and discretions which are
for the time being exercisable by the Receiver under this Debenture.
					
	 	 	 (j)
	 	 	 	(i)	 	to promote the formation, or otherwise acquire the share capital of, any body corporate with a view to such body corporate becoming a subsidiary of the Company or otherwise;
					
	 	 	 	 	 	 	(ii)	 	to purchase, lease, or otherwise acquire any interest in all or any of the Company’s undertaking and property;
					
	 	 	 	 	 	 	(iii)	 	to carry on any business in succession to the Company or any subsidiary of the Company;
				
	 	 	 	 	 	 	and in each case, as the Receiver may otherwise reasonably think fit.
			
	 	 	 (k)
	 	To apply for, and otherwise take such steps as the Receiver may consider reasonably necessary or desirable to obtain (in the
name of a nominee or otherwise) such licences,
consents, permits and approvals as the Receiver may reasonably think
expedient.
			
	 	 	 (l)
	 	To make elections for value added tax purposes as the Receiver may reasonably think fit.
			
	 	 	 (m)
	 	For any of the purposes authorised by this Clause, to raise money by borrowing from the Bank or from any other person on
the security of all or any of the charged property in
respect of which the Receiver is appointed.

									
	 	 	 	 	 	 	(i)	 	The Receiver may raise money as mentioned above on such terms (including, if the Bank shall consent, terms under which such security ranks in priority to all or any of the security created by
this Debenture) as the Receiver may reasonably think fit; and
					
	 	 	 	 	 	 	(ii)	 	the repayment of all such monies and the payment of interest on them and related costs charges and expenses, shall be treated for all purposes as expenses properly payable by the
Receiver.
			
	 	 	 (n)
	 	To exercise any of the powers which the Agent or any Lender would be entitled to exercise under this Debenture.
			
	 	 	 (o)
	 	To do all such other acts and things as the Receiver may reasonably consider to be incidental or necessary to any of the
matters or powers mentioned above or which the Receiver
lawfully may or can do as agent for the Company.
			
	 	 	 (p)
	 	To exercise any of the above powers on behalf of the Company or on the Receiver’s own behalf or, in the case of the
powers contained in paragraph (f) above, on behalf of the
Directors of the Company.
		
	16.	 	Subject to claims having priority to the security created by this Debenture, all monies received by the Receiver or (on any exercise by the Agent of its enforcement powers under this
Debenture) the Agent, for the ratable benefit of the Lenders, shall be applied in the following order:-
			
	 	 	 (a)
	 	In payment of all reasonable costs, charges and expenses of, and incidental to, the appointment of the Receiver and to the
exercise of all or any of the powers of the Receiver or
the Agent and of any other outgoings properly payable by them. This
includes, without limitation, the repayment of monies borrowed as referred to in Clause 15(m) above and the payment of
interest and related costs, charges, and expenses (to
the extent that the Agent and/or the Lenders, as provided in the Loan
Agreement has consented to the same being secured in priority to the security created by this Debenture) and all amounts
payable by the Agent or any Lender to the Receiver
under any order of any court or otherwise.
			
	 	 	 (b)
	 	In payment of remuneration to the Receiver at such rate as may from time to time be agreed between the Receiver and the
Bank.
			
	 	 	 (c)
	 	In payment to the Agent for the ratable benefit of the Lenders.
	
	Power of Attorney
			
	17.	 	 (a)
	 	The Company irrevocably, and by way of security, appoints the Agent, any Receiver, and any Administrator appointed by
the Agent and each of their respective delegates, jointly and
also individually to be the attorney and attorneys of the
Company. Any attorney is authorised by the Company to do all things which the Company may be required to do under this
Debenture. This includes (without limitation) that which the
Agent, the Receiver or the Administrator (or any such
delegate) may
				
	 	 	 	 	(i)	 	consider necessary or appropriate for, or in connection with, the improvement, perfection or protection of the security
intended to be created by this Debenture;
or
				
	 	 	 	 	(ii)	 	the exercise of any of the powers authorities and discretions conferred under it.
			
	 	 	 (b)
	 	The Company ratifies and confirms (and agrees to do so) whatever any such attorney shall do, or attempt to do, in the
exercise of all or any of the powers, authorities and
discretions mentioned above or under this power of attorney. The power
of attorney is to secure the performance of obligations owed to the donees within the meaning of the Powers of Attorney
Act 1971.

					
	Agent has Powers of Administrator or Receiver and other powers
			
	18.	 	(i)	 	Without affecting any other powers, authorities and discretions of the Agent, all or any of the powers, authorities and discretions conferred upon the Administrator or Receiver (whether arising
under this Debenture or otherwise) may also be exercised by the Agent for the ratable benefit of the Lenders at any time after this Debenture has become enforceable. This is so whether or not an Administrator or Receiver has been
appointed.
			
	 	 	(ii)	 	The Agent shall also be entitled to delegate by power of attorney, or in any other manner, to any person or persons all or any of its powers authorities and discretions.
			
	 	 	(iii)	 	No such delegation mentioned above shall prevent the subsequent exercise of the powers, authorities and discretions by the Agent itself or prevent the Agent from making any subsequent delegation
of them to some other person.
			
	 	 	(iv)	 	The Agent may revoke any such delegation at any time.
		
	19.	 	At any time after this Debenture shall have become enforceable and after any powers conferred by any interest having priority to
the security created by this Debenture shall have
become exercisable, the Agent for the ratable benefit of the Lenders, may
redeem such or any other prior interest or arrange the transfer of it to itself. It may settle and pass the accounts of any third party
concerned and any account so
settled and passed shall be conclusive and binding on the Company. All monies paid by the Agent
to the third party in accordance with such accounts shall as from such payment be due from the Company to the Agent for the
ratable benefit of the
Lenders, on current account and shall bear interest and be secured as part of the Debt.
		
	20.	 	The rights and remedies of the Agent under this Debenture are in addition to, and not in substitution for, any rights or remedies
provided by law.
		
	21.	 	The restriction on the right of consolidating mortgages contained in Section 93 of the Law of Property Act 1925 shall not apply
to this Debenture.
			
	22.	 	(i)	 	If the Company at any time fails to perform and observe the terms, and obligations contained in this Debenture, the Agent may (but without being under any duty to do so) take such steps as in
its reasonable opinion may be required to remedy such failure; and
			
	 	 	(ii)	 	This includes, without limitation, making any payment, and for the purpose mentioned in
			
	 	 	 	 	(i) above, the Agent or any Lender and their respective agents may enter upon any land of the Company without being regarded as having entered into possession of it.
	
	Indemnity
		
	23.	 	The Company agrees to fully indemnify each of the Agent, and Lender, the Administrator and the Receiver from and against all
and any liability they might incur in the exercise (or
apparent exercise) of any powers, authorities and discretions under or in
connection with this Debenture (with the exception of fraud or wilful default on the part of the Agent, such Lender, the
Administrator or the Receiver, but only to the
extent committed by any of them) or any failure by the Company to comply with
any of its obligations under this Debenture.
	
	Protection of Purchasers
		
	24.	 	No purchaser or other person dealing with the Agent, any Lender, the Administrator or the Receiver (or any of their respective
delegates)
			
	 	 	(i)	 	shall be bound or entitled to see or enquire whether any power, authority or discretion under this Debenture has arisen or become exercisable;

					
			
	 	 	(ii)	  	be concerned with any notice to the contrary or to see whether any delegation shall have lapsed for any reason or been revoked; or
			
	 	 	(iii)	  	be bound or entitled to concern himself with the proceeds of any sale or other dealing or be answerable in any circumstances for the application of the said proceeds.
	
	Payment of costs, charges and expenses
		
	25.	 	The Company shall reimburse to the Agent and each Lender on demand on a full indemnity basis, all costs, charges and expenses (including, without limitation, all amounts reasonably
determined by the Agent or such Lender to be necessary to compensate it for internal management or administration costs, charges and expenses) properly incurred by the Agent or such Lender:-
			
	 	 	(i)	  	in ensuring this Debenture is effective;
			
	 	 	(ii)	  	in connection with the improvement, perfection or protection of the security by this Debenture;
			
	 	 	(iii)	  	in the exercise of any rights, remedies, powers, authorities and discretions conferred under, or in connection with, this Debenture (together with any value added tax or similar tax charged or
chargeable in respect of it).
		
	 	 	All such amounts shall be debited to an account in the name of the Company. Until they are reimbursed they shall bear interest at the Default Rate (as defined in the Loan Agreement)
and shall be payable on demand. They will be secured as part of the Debt by this Debenture.
	
	Independence of Security
			
	26.	 	(a)	  	This Debenture shall be in addition to, and independent of, every other security which the Agent or any Lender may at any time hold for any of Debt.
			
	 	 	(b)	  	No prior security held by the Agent or any Lender over all or any of the charged property shall merge in the security created by this Debenture. and
			
	 	 	(c)	  	This Debenture shall remain in full force and effect as a continuing security unless and until the Agent and the Lenders, as provided in the Loan Agreement, discharge it.
	
	Agent’s powers to deal with Accounts and Money Received
			
	27.	 	(a)	  	If the Agent receives notice of any subsequent charge or other interest affecting all or any of the charged property, the Agent may open a new account or accounts for the Company in its
books.
			
	 	 	(b)	  	If the Agent does not do so, it shall be regarded as having done so unless the Agent gives express written notice to the contrary to the Company. Notwithstanding any appropriation by the Company
to the contrary, as from the time of receipt of such notice, all payments made by the Company to the Agent (other than those dealt with under Clause 8(n)) shall be treated as having been credited to a new account of the Company. Such payments will
not be applied in reduction of the amount due, owing or incurred from the Company to the Agent at the time when it received the notice.

					
	28.	 	(a)	  	All monies received, recovered or realized by the Agent for the ratable benefit of the Lenders under this Debenture (including the proceeds of any conversion under Clause 30 below) may, in the
reasonable discretion of the Agent, be credited to any suspense or impersonal account.
			
	 	 	(b)	  	They may be held in such account for so long as the Agent may think fit pending the application from time to time of such monies and accrued interest (at the rate, if any, agreed in writing
between the Company and the Bank from time to time) in or towards the discharge of the Debt.
		
	29.	 	The Company waives any right of set-off it may have now, or at any time in the future, in respect of the Debt (including sums payable by the Company under this
Debenture).
	
	Currency Conversion
			
	30.	 	(a)	  	For the purpose or pending the discharge of the Debt, the Agent may convert any monies received, recovered or realized by the Agent or any Lender under this Debenture (including the proceeds of
any previous conversion under this Clause) from their existing currency of denomination into such other currency of denomination as the Agent may reasonably think fit.
			
	 	 	(b)	  	Any conversion shall be made at the Agent’s then prevailing spot selling rate of exchange for such other currency against the existing currency.
			
	 	 	(c)	  	Each previous reference in this Clause to a currency extends to funds of that currency and, for the avoidance of doubt, funds of one currency may be converted into different funds of the same
currency.
	
	Dealings with you and others
		
	31.	 	The Agent, to the extent permitted under the Loan Agreement, may, in its discretion, grant time, or make any other arrangement, variation or release with any person or persons not
party to this Debenture (whether or not such person or persons are jointly liable with the Company) in respect of any of the Debt or of any other security for it. If it does, it will not in any way affect either this Debenture or the liability of
the Company for the Debt.
	
	Right of Set Off
		
	32.	 	In addition to all rights of set-off conferred by law, the Agent or any Lender may, subject to the provisions of the Loan Agreement (including without limitation those provisions
relating to sharing of excess payments), set-off any money standing from time to time to the credit of any account the Company has with the Agent or such Lender against the Debt.
	
	Preservation and Retention of Security
			
	33.	 	(a)	  	Any settlement, discharge or release between (i) the Company and (ii) the Agent, any Lender, the Administrator or the Receiver (the “Relevant Person(s)”) shall be conditional upon no
security given, or payment made, to the Relevant Person(s) by the Company (or any other person) being avoided or reduced as a result of any provisions or enactments relating to insolvency for the time being in force in any
jurisdiction.

					
	 	 	(b)	  	In the event of such security or payment being avoided or reduced, the Relevant Person(s) shall be entitled to recover the value or amount of such security or payment from the Company
subsequently as if such settlement, discharge or release had not occurred.
			
	34.	 	(a)	  	Notwithstanding any other provision of this Debenture, or any release, settlement, discharge or arrangement given or made by the Agent or any Lender, the Agent for the ratable benefit of the
Lenders, may retain the security created by this Debenture (and all documents evidencing title to the charged property or any part of it deposited with it) following the payment and discharge in full of the Debt for a period of two years and one
month after such discharge.
			
	 	 	(b)	  	If at any time during the said period, any step taken for the Administration or winding-up (whether voluntary or compulsory) of the Company or any analogous proceedings shall be commenced, the
Agent for the mutual benefit of the Lenders, may continue to retain this security and the documents mentioned above for such further period as the Agent may reasonably determine.
			
	 	 	(c)	  	The security created by this Debenture and documents relating to it shall be deemed to have continued to have been held as security for the Debt.
	
	Notices Governing Law and Jurisdiction
		
	35.	 	Without affecting any other lawful method of service, any demand or notice to be made or given by the Agent or any Lender to the Company (including without limitation, a demand for
payment of all or any of the Debt) may be made or given by any manager or officer of the Agent or such Lender or of any branch of it:-
			
	 	 	(a)	  	By letter addressed to the Company and delivered to any officer of the Company at any place or sent by first-class post to, or left at the registered office of, the Company or any place of
business or activity of the Company last known to the Agent. If sent by post it shall be regarded as having been made or given at noon on the second day following the day the letter was posted.
			
	 	 	(b)	  	By fax or other electronic means to the fax number or electronic mail address of the Company last known to the Agent. It shall by regarded as having been made or given at the time of
transmission.
			
	36.	 	(a)	  	The Debenture shall be governed by and interpreted in accordance with the law of England and Wales
			
	 	 	(b)	  	The Agent, the Lenders, and the Company submit to the non-exclusive jurisdiction of the courts of England and Wales solely for purposes of enforcing or interpreting this
Agreement.
	
	Disclosure of Information and Transfer of Rights
		
	37.	 	The Company consents to the disclosure by the Agent or any Lender of any information about the Company, this Debenture, the charged property and the Debt:-
			
	 	 	(a)	  	to any person to whom the Agent or such Lender has assigned or transferred, or proposes or may propose to assign or transfer, all or any of its rights and benefits under this Debenture or the
Debt; or
			
	 	 	(b)	  	to any person with whom the Agent or such Lender has entered, or proposes, or may propose to enter, into any contractual arrangements in connection with this Debenture or the Debt;
or
			
	 	 	(c)	  	to any company within the Fleet Financial Group (and any successor) or the HSBC Group being HSBC Holdings plc and its associated and subsidiary companies from time to time, or any of its or
their agents; or

							
	 	 	(d)	 	to any other person if required or permitted by law to do so.
		
	38.	 	The Agent or any Lender to the extent permitted under the Loan Agreement may at any time and in any way transfer some or all of its rights, benefits and obligations under this
Debenture.
	
	The Agent’s written consent and reasonable requirement
			
	39.	 	(a)	 	Where the words “without the Agent’s and/or the Lender’s, as provided in the Loan Agreement, written consent” appear in any Clause, the Agent and each Lender will
not unreasonably withhold consent. The Company agrees that it is reasonable for the Agent or any Lender to refuse to consent to something if in the Agent or such Lender’s reasonable opinion, it adversely affects or might
affect:
				
	 	 	 	 	(i)	  	the Agent or such Lender’s security under this Debenture and its ability to enforce it;
				
	 	 	 	 	(ii)	  	the value of that which is secured to the Agent and the Lenders and its ability to sell the same;
				
	 	 	 	 	(iii)	  	the Agent and such Lender’s ability to recover the Debt; or
				
	 	 	 	 	(iv)	  	the assessment of the value of this Debenture as an asset of the Agent and the Lenders.
			
	 	 	(b)	 	Where the words “the Agent’s and/or the Lender’s, as provided in the Loan Agreement reasonably requires” appear in any clause, the Company agrees that is
reasonable for the Agent or any Lender to require something if, in the Agent’s or such Lender’s reasonable opinion, it will or might assist in:
				
	 	 	 	 	(i)	  	the preservation of the Agent or such Lender’s security under this Debenture or the value of that which is secured by it; or
				
	 	 	 	 	(ii)	  	the Agent or such Lender’s ability to recover the Debt.
	
	Severance and Modification - Unenforceability
			
	40.	 	(a)	 	If any of the Clauses (or part of a Clause) and/or any of the paragraphs (or part of a paragraph) becomes invalid or unenforceable in any way under any law, the validity of the
remaining Clauses (or part of a Clause) or paragraph (or part of a paragraph) will not in any way be affected or impaired.
			
	 	 	(b)	 	If any invalid or unenforceable Clause or paragraph mentioned above (or part of either) would not be invalid or unenforceable if its form or effect were modified in any way, it shall
be deemed to have the modified form or effect so long as the Agent consents.
	
	Interpretation:-
			
	41.	 	(a)	 	The expressions:-
				
	 	 	 	 	(i)	  	“the Company” shall include any person from time to time deriving title under the Company.
				
	 	 	 	 	(ii)	  	“the Agent or “the Lenders” shall include their respective successors and transferees and in both cases to the extent of their respective rights and benefits (including, without
limitation, any person in whom under the laws of such person’s place of incorporation all or substantially all of the assets and liabilities of the Agent or such Lender become vested).
				
	 	 	 	 	(iii)	  	“environmental laws” includes all applicable laws, regulations and directives (and all notices, circulars, orders, judgements and decisions of any court or other competent authority in
any jurisdiction) concerning the pollution or protection of the

							
	 	 	 	 	 	  	environment or the health of humans, animals or plants. This includes, public and workers’ health and safety, the generation, use, treatment, storage, transportation or disposal, or
discharge or release into the environment, of any chemicals or other pollutants or contaminants or industrial, radioactive, dangerous, toxic or hazardous substances or wastes (in whatever form and including noise and genetically modified
organisms).
				
	 	 	 	 	(iv)	  	“environmental permits” means all permits, licenses, consents, approvals, certificates and other authorisations (including all conditions applicable to them) required under any
environmental laws.
				
	 	 	 	 	(v)	  	“holding company” “subsidiary” and “subsidiary undertaking” shall have the meanings respectively set out in the Companies Act 1985.
			
	 	 	(b)	 	Any reference to a person shall include any person, company, corporation, body corporate, government, state (or agency of a state) and any association or partnership (whether or not
having legal personality) of any of these.
			
	 	 	(c)	 	Any reference to any statute or any section of any statute shall be regarded as including reference to any statutory modification or re-enactment of it for the time being in
force.
			
	 	 	(d)	 	References to the singular shall include the plural and vice versa; the use of the male pronoun shall include the female and neuter; the use of the neuter pronoun shall include both
the male and the female.
			
	 	 	(e)	 	The headings are used for guidance only.
	
	Company’s compliance with Memorandum and Articles of Association
		
	42.	 	The Company confirms that this Debenture does not contravene any of the provisions of its Memorandum and Articles of Association.

  
 IN WITNESS this Deed has been executed
and is intended to be and is delivered on the date first mentioned above. 
  
 The First Schedule referred to above 
  
 Part 1 
  
 (Freehold and/or
leasehold land) 
  
 Registered Title 
  

			
	 All the property(ies) comprised in
 the following title(s) at H.M. Land Registry:
	  	Short description of the property
		
	 Title Number
	  	 

  
  

 Unregistered Title 
  

							
	 All the property(ies) now vested in the 
 Company and comprised in the Deed(s) referred to below Short description of the property
	 	Date	 	Deed/Document	  	Parties

  
 Part 2

  

					
	(Prior mortgages or other matters relating to the property described above) Short description of the property	 	Legal Mortgage/Charge dated	  	Parties

  
 The Second Schedule
referred to above 
  
 (Chattels and/or other property)
Description                    Serial/registration number(s)
                    Location 
  
 The Common Seal of the Mortgagor was hereto affixed in the presence of: 
  

							
	VITREX LIMITED	  	 	  	Company Seal
	 	 	 	  	 	  	 
	Director	 	 /s/ Lewis Gould

	  	 	  	 
	Name in full	 	 LEWIS GOULD
	  	 	  	(For use by a
	 	 	(Block letters)	  	 	  	Mortgagor with a Common Seal)

  

			
	Director/Secretary	 	 /s/ Marc Applebaum

	Name in full	 	MARC APPLEBAUM
	 	 	(Block letters)

  
 Signed as a Deed by the Mortgagor
acting by 
  

							
	Signature	 	  

	 	Director	  	 
				
	Name in full	 	  

	 	 	  	(For use by a Mortgagor
	 	 	(Block letters)	 	 	  	without a Common Seal)
				
	Signature	 	  

	 	Director /Secretary	  	 
				
	Name in full	 	  

	 	 	  	 
	 	 	(Block letters)	 	 	  	 

 For and on behalf of Fleet Capital Corporation, as Agent 
  

	
	 /s/ Deirdre Sikora

	 Deirdre Sikora, Vice President

  
 NOTE: Receipt not to be used for
registered charges. 
  
 For Bank Use Only

  
 This Release made the
                             day of 
  
 BETWEEN (1) Fleet Capital Corporation, as Agent (“the Agent”) 
  
 and (2) 
  
 (“the Company”) 
  
 Witnesses that the Agent hereby releases to the Company all the property now comprised in or charged by the within written Debenture from all monies secured by and from all claims and demands under the within written Debenture. 

 
 In Witness whereof this document which is intended to take effect as a deed has been duly
executed the day and year first before written. 
  
 SIGNED AND DELIVERED

  

			
	 By
	 	  

	 	 	  
  

	 	 	(Signature)

  
  

 as the attorney and on behalf of Fleet Capital Corporation, as Agent 
  
 in the presence of 
  

			
	 Full name of witness
	 	  

		
	 Signature of witness
	 	  

  
 Address 
  
  
 Occupation

 BOARD RESOLUTION 
 Provision of Security 
  
 Bank Reference: DUMMY 
  
 Minutes of a Meeting of the Directors of
XXXXXXXXXXX (“the Company”) 
  
 held at
__________________________________________ 
  
 This
section and paragraph 4, onwards is to be completed by the company giving the Resolution.
                                        
on the      day of              20      at              am/pm

  
 Reference was made to facilities made, or to be made, available by Fleet
Capital Corporation, as Agent (“the Agent”) to the Companies. 
  

	There	was produced to the Meeting the following document(s): 

  

	a)	Debenture to be given by the Company in favour of the Agent for the ratable benefit of the Lenders to secure all the present and future indebtedness and liabilities to the Agent and
the Lenders howsoever arising of the Company subject to any limitation which appears in the Debenture itself. 

  
 Those Directors present at the Meeting who had interests in the matter(s) under consideration declared those interests and it was noted that a quorum was available.

  
 Accordingly, after considering the financial position of the Company and its
future requirements, IT WAS RESOLVED:- 
  

	 	a)	THAT it was, in the opinion of the Directors of the Company, for the benefit of the Company and for the purposes of or ancillary to its business that it should give the security and
sign or execute and deliver to the Agent, for the ratable benefit of the Lenders, the document(s) referred to in paragraph 2. above; and 

  

	 	b)	THAT any two directors or one director and the Company Secretary * 

  
 ____________________________________________________________________________________________________________________________________ 
  

	*	(if the Company wishes to make any other arrangements within what is authorized by its Articles of Association, insert suitable details here) 

  
 be and that they are hereby authorized on behalf of the Company to sign or
execute as a Deed(s) the said document(s); or 
  
 that the
Company’s seal be affixed thereto as appropriate and that (in either case) the same be delivered to the Agent, for the mutual benefit of the Lender, with such amendments as the signatories may agree with the Agent. 
  

	The	foregoing is certified to be a true extract/copy of the Minutes of the Board Resolution dated above. 

  
 Signed on                      20
     (date) 
  
 For and on behalf of XXXXXXXXXXX

  
 by Chairman
                                        
and Secretary
                                        

  
 THIS IS AN IMPORTANT RESOLUTION. 

			
	 IF IN DOUBT
 ABOUT ITS
 LEGAL OR
 FINANCIAL
 IMPLICATIONS,
 THE BOARD OF
 DIRECTORS
 SHOULD SEEK
 INDEPENDENT
 LEGAL ADVICE
 BEFORE
 CONSIDERING
 THE
 RESOLUTION
	 	 COMPANIES FORM No. 395
  
 Particulars of a mortgage or charge
  
 A fee of £10 is payable to Companies House in respect of
 each
register entry for a mortgage or charge.
  
 Pursuant to section 395 of
the Companies Act 1985

		
	M	 	 
		
	CHFP078	 	 
		
	 Please do not
 write in
 this margin
	 	 

  
  
  
  
  

  

							
	 Please complete
 legibly, preferably
	  	 To the Registrar of Companies
 (Address overleaf - Note 6)
	  	 For official use
	  	 Company number

	 in block type,
 or bold block
 lettering
  
 *  insert full name of company
	  	  
 Name of company

		
	 	  	Date of creation of the charge
		
	 	  	Description of the instrument (if any) creating or evidencing the charge (note 2)
		
	 	  	Amount secured by the mortgage or charge
		
	 	  	  
  
  
 Names and addresses of the mortgagees or persons entitled to the charge

				
	 	  	  
  
  

Presentor’s name address and reference (if any):
	  	  
  
  

Fleet Capital Corporation, as Agent
 200 Glastonbury Boulevard Glastonbury,
Connecticut 06033
 USA
	  	 

  
 Page 1 
  
 Short particulars of all the property mortgaged or charged

 Legal Mortgage on all freehold and leasehold land now vested in the Company together with all building fixtures, fittings
and fixed plant and machinery now or at any time afterwards on it. This includes (without limitation) the land described or referred to in Part 1 of the First Schedule to the Debenture subject only to the other mortgages or matters (if any)
mentioned in Part 2 of the First Schedule to the Debenture; and 
  
 First Fixed
Charge on the chattels (including all additions and improvements to, and replacement of, them from time to time), securities, intellectual property and/or other property mentioned in the Second Schedule of the Debenture; and 
  
 First Fixed Charge on 
  

	(i)	All the present and future right, title and interest of the Company in or to any freehold or leasehold land or other immovable property wherever situated and all fixtures, fittings
and fixed plant and machinery now or at any afterwards on it. 

  

	(ii)	All chattels now or at any time afterwards belonging to the Company. This excludes any of them for the time being forming part of the stock in trade or work-in-progress of the
Company or which are, for the time being, otherwise effectively charged by way of legal mortgage or fixed charge by this Debenture. 

  

	(iii)	The benefit of all rights, licences, guarantees, rent deposits, contacts, deeds, undertakings and warranties relating to any land or other property mentioned above and/or to any
trade or business from time to time carried on by the Company. 

  

	(iv)	All book debts and other debts and monetary claims and any rents, licences fees or other payments due from any lessee, licensee or occupier of any immoveable property (wherever
situated) now or at any time afterwards due owing to or incurred to the Company. In addition, the full benefit of all guarantees and securties for them and all liens, reservations of title and other rights enabling the Company to enforce any such
debts or claims (collectively called the “debts”). This excludes such debts and claims (if any) as the Bank may from time to time have agreed in writing with the Company shall not be subject to this fixed charge and also such debts and
claims as are charged in accordance with paragragh (v) below. 

  

	(v)	Any credit balance on any account of the Company with the Agent or any Lender. 

  

	(vi)	Any credit balance on any account of the Company with any bank (other than the Agent or any Lender) or other person. 

  

	(vii)	All goodwill and uncalled capital for the time being of the Company. 

  

	(viii)	All stocks, shares, debentures, bonds, loan capital and other securities including of any description of any other person (including, without limitation, any subsidiary or
subsidiary undertaking of the Company). In addition, all rights to subscribe to or convert other securities into or otherwise acquire any such securities now or at any time afterwards belonging to the Company, and all dividends, interest and other
income and all other rights of whatsoever kind deriving from or incidental to, any of these (together with any securities mentioned in the Second Schedule below, collectively called the “securities”). 

  

	(ix)	All letters patent, trademarks, service marks, designs, utility models, copyrights, design rights, applications for registration of any of them and the right to apply for them in
any part of the world. In addition, moral rights, inventions, confidential information, know-how and rights of a similar nature arising or subsisting anywhere in the world in relation to all or any of the above (whether registered or unregistered)
now or any time afterwards belonging to the Company (together with any of the same mentioned in the Second Schedule below, collectively called the “intellectual property” ). 

  

	(x)	All policies of life insurance or assurance and all rights and claims to which the Company is now, or may at any time afterwards, become entitled in relation to the proceeds of them
or of any other policies of insurance of any description (including, without limitation, the insurances mentioned to in Clause 8 (a) below). 

  

	(xi)	All rights and other property to which the Company is now, or may at any time afterwards, become entitled as a result of, or in connection with, any proceedings threatened or
commenced under the Insolvency Act 1986 or any similar legislation in any jurisdiction. 

  

	(xii)	The benefit of all agreements for the provision by the Company to any person or any loan or credit or other financial accommodation of any description (including, without
limitation, any finance leases and hire or hire-purchase agreements) now, or at any time afterwards, entered into by the Company. 

  

	(xiii)	The proceeds of sale of any property mentioned above. 

  
 Floating Charge on all the undertaking of the Company and all its property whatsoever and wheresoever both present and future. This will not include any part of the same
which is, for the time being, effectively charged by way of legal mortgage or fixed charge by this Debenture and recognised as effectively so charged under the laws of the jurisdiction in which the same is situated. 
  

	a)	create or purport to create or permit to subsist over all or any of the charged property any mortgage charge lien pledge or other security other than this Debenture;

  

	b)	release exchange compound set off grant time or indulgence in respect of or in any other manner deal with all or any of the debts; 

  

	c)	part with hire lend sell assign or dispose of all or (except by a sale or disposal in the ordinary course of the Company’s business and for the purpose of carrying on the same)
any part of the charged property for the time being charged only by way of floating charge hereunder. 

			
	 Particulars as to commission allowance or discount (note 3)
  
 Signed
 Date
             20
 On behalf of [company]
[mortgagee/chargee]+
	 	 

  
 A fee of £10 is payable to
Companies House in respect of each register entry for a mortgage or charge. 
 (See Note 5) 
  

	+	delete as appropriate 

  
 Notes 
  

	1	The original instrument (if any) creating or evidencing the mortgage, together with these prescribed particulars correctly completed must be delivered to the Registrar of Companies
within 21 days after the date of creation of the charge (section 395). If the property is situated and the charge was created outside the United Kingdom delivery to the Registrar must be effected within 21 days after the date on which the instrument
could in due course of post, and if dispatched with due diligence, have been received in the United Kingdom (section 398). A copy of the instrument creating the charge will be accepted where the property charged is situated and the charge was
created outside the United Kingdom (section 398) and in such cases the copy must be verified to be a correct copy either by the company or by the person who has delivered or sent the copy to the registrar. The verification must be signed by or on
behalf of the person giving the verification and where this is given by a body corporate it must be signed by an officer of that body. A verified copy will also be accepted where section 398(4) applies (property situate in Scotland or Northern
Ireland) and Form No. 398 is submitted. 

  

	2	A description of the instrument, eg “Trust Deed”, “Debenture”, “Mortgage” or “Legal Charge”, etc, as the case may be, should be given.

  

	3	In this section there should be inserted the amount or rate per cent, of the commission, allowance or discount (if any) paid or made either directly or indirectly by the company to
any person in consideration of his; 

  
 (a)
subscribing or agreeing to subscribe, whether absolutely or conditionally, or 
  
 (b) procuring or agreeing to procure subscriptions, whether absolute or conditional, for any of the debentures included in this return. The rate of interest payable under the terms of the debentures should not be
entered. 
  

	4	If any of the spaces in this form provide insufficient space the particulars must be entered on the prescribed continuation sheet. 

  

	5	Cheques and Postal Orders are to be made payable to Companies House. 

  

	6	The address of the registrar of Companies is:-  

 Page 2          Companies House, Crown Way, Cardiff CF14 3UZ

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