Document:

TERM
NOTE NON-REVOLVING LINE OF CREDIT

 

 December 1,
2017

 

	$800,000.00	Albany,
    New York

 

For
value received, the undersigned Plastic Printing Professionals, Inc., a New York corporation, with an address of 28
East Main Street, Suite 1525, Rochester, New York 14614 (the “Borrower”), promises to pay to the
order of Citizens Bank, N.A., a national banking association with an address of 833 Broadway, Albany, New York 12207 (together
with its successors and assigns, the “Bank”), the principal amount of Eight Hundred Thousand Dollars and Zero Cents
($800,000.00), or, if less, such amount as may be the aggregate unpaid principal amount of all loans or advances made
by the Bank to the Borrower pursuant hereto, on or before  December 1, 2025 (the “Maturity Date”),
as set forth below, together with interest from the date hereof on the unpaid principal balance from time to time outstanding
until paid in full for any Interest Period (as hereinafter defined). Until the Conversion Date (as hereinafter defined), the aggregate
principal balance outstanding shall bear interest thereon at a per annum rate equal to Two Percent (2.00%) above
the LIBOR Advantage Rate (as hereinafter defined), during each LA Interest Period (as hereinafter defined). Effective on the Conversion
Date, the interest rate payable on the aggregate principal balance outstanding shall be adjusted to a fixed rate (the “Fixed
Rate”) equal to Two Percent (2.00%) above the Bank’s Cost of Funds on the Conversion Date as determined
by the Bank in its sole discretion.

 

This
Note evidences a line of credit for the purpose of financing the acquisition of equipment by the Borrower. Advances shall be limited
to a maximum of 100% of the invoice price of equipment, less delivery and installation costs acceptable to the Bank in
its sole discretion, based upon invoices or other evidence acceptable to the Bank. Advances may be made from time to time until
 December 1, 2018 (the “Conversion Date”). Within the limits of time and amount set forth above
and subject to the terms and conditions set forth herein, and in the other loan and security documents executed in connection
herewith. Undersigned may borrow, one or more advances hereunder provided, however, that amounts repaid may not be reborrowed
hereunder.

 

LA
Interest Period means with respect to any LIBOR Advantage Loan, the period commencing on (and including) the date of this Note
(the “Start Date”) and ending on (but excluding) the numerically corresponding date one month later, and thereafter
each one month period ending on the day of such month that numerically corresponds to the Start Date. If an LA Interest Period
is to end in a month for which there is no day which numerically corresponds to the Start Date, the LA Interest Period will end
on the last day of such month.

 

Notwithstanding
the date of commencement of any LA Interest Period, interest shall only begin to accrue as of the date the initial LIBOR Advantage
Loan is made hereunder.

 

“LIBOR
Advantage Rate” means, relative to any LA Interest Period, the offered rate for deposits of U.S. Dollars for a term
coextensive with the designated LA Interest Period, reset daily, which the ICE Benchmark Administration (or any successor
administrator of LIBOR rates) fixes as its LIBOR rate as of 11:00 a.m. London time for delivery in two London Banking Days. If
such day is not a London Banking Day, the LIBOR Advantage Rate shall be determined on the next preceding day which is a London
Banking Day. If for any reason the Bank cannot determine such offered rate fixed by the then current administrator of LIBOR rates,
the Bank may, in its sole but reasonable discretion, use an alternative method to select a rate calculated by the Bank to reflect
its cost of funds. “London Banking Day” means any day on which dealings in US dollar deposits are transacted
in the London interbank market.

 

    	 

    	 

    

 

“Cost
of Funds Rate” means the rate per annum from time to time determined by the Bank, in its sole discretion, as the Bank’s
cost of funds rate and made available by the Bank at its main office or, in the discretion of the Bank, the base, reference or
other rate then designated by the Bank for general commercial loan reference purposes, it being understood that such rate is a
reference rate, not necessarily the lowest, established from time to time, which serves as the basis upon which effective interest
rates are calculated for loans making reference thereto.

 

Prior
to the Conversion Date, interest on the outstanding principal balance shall be due and payable in arrears monthly
commencing the month following the date of the first advance on the _____ of each month. After the Conversion Date, each
advance shall be repaid in equal installments comprised of principal and interest (calculated by the Bank in the Bank's sole
discretion at the applicable rate) based upon up to a 7 year amortization period for New Equipment and up to a 5 year
amortization period for Used Equipment, as determined by the Bank in its sole discretion. Commencing on the _____ day of the
month immediately following the Conversion Date and continuing on the same day of each month thereafter to and including the
month immediately preceding the scheduled date of the last such payment and one final payment equal to the aggregate
outstanding balance of such advance and all interest accrued thereon shall be due and payable and such Advance shall mature
on the earlier of the scheduled date of the last such payment and the Maturity Date without further notice or
demand.

 

This
Note is secured by all collateral granted to the Bank by the Borrower or any endorser or guarantor hereof or by any other party
and shall be secured by any additional collateral hereafter granted to the Bank by the Borrower or any endorser or guarantor hereof
or by any other party.

 

Principal
and interest shall be payable at the Bank’s main office or at such other place as the Bank may designate in writing in immediately
available funds in lawful money of the United States of America without set-off, deduction or counterclaim. Interest shall be
calculated on the basis of actual number of days elapsed and a 360-day year.

 

Each
Advance may be prepaid in whole or in part upon thirty (30) days prior written notice to the Bank. In the event of any
prepayment of such Advance after the Conversion Date, whether by voluntary prepayment, acceleration or otherwise, the
Borrower shall, at the option of the Bank, pay a “fixed rate prepayment charge” equal to the product of: (a) the
principal amount prepaid and (b) the percentage set forth in the table below for any prepayment made during the indicated
period. “Conversion Year” shall mean each one year period commencing on the Conversion Date or on any anniversary
of the Conversion Date.

 

	Period	Percentage
	Conversion
    Year 1	5%
	Conversion
    Year 2	4%
	Conversion
    Year 3	3%
	Conversion
    Year 4	2%
	Conversion
    Year 5	1%
	Conversion
    Year 6	1%
	Conversion
    Year 7	1%

 

After
the last period indicated in the above table this Note may be prepaid in whole or in part without any prepayment charge.

 

    	2

    	 

    

 

At
the option of the Bank, this Note shall become immediately due and payable without notice or demand upon the occurrence at any
time of any of the following events of default (each, an “Event of Default”): (1) default of any liability, obligation,
covenant or undertaking of the Borrower, any endorser or any guarantor hereof to the Bank, hereunder or otherwise, including,
without limitation, failure to pay in full and when due any installment of principal or interest or default of the Borrower, any
endorser or any guarantor hereof under any other loan document delivered by the Borrower, any endorser or any guarantor, or in
connection with the loan evidenced by this Note or any other agreement by the Borrower, any endorser or any guarantor with the
Bank; (2) failure of the Borrower, any endorser or any guarantor hereof to maintain aggregate collateral security value satisfactory
to the Bank; (3) default of any material liability, obligation or undertaking of the Borrower, any endorser or any guarantor hereof
to any other party; (4) if any statement, representation or warranty heretofore, now or hereafter made by the Borrower, any endorser
or any guarantor hereof in connection with the loan evidenced by this Note or in any supporting financial statement of the Borrower,
any endorser or any guarantor hereof shall be determined by the Bank to have been false or misleading in any material respect
when made; (5) if the Borrower, any endorser or any guarantor hereof is a corporation, trust, partnership or limited liability
company, the liquidation, termination or dissolution of any such organization, or the merger or consolidation of such organization
into another entity, or its ceasing to carry on actively its present business or the appointment of a receiver for its property;
(6) the death of the Borrower, any endorser or any guarantor hereof and, if the Borrower, any endorser or any guarantor hereof
is a partnership or limited liability company, the death of any partner or member; (7) the institution by or against the Borrower,
any endorser or any guarantor hereof of any proceedings under the Bankruptcy Code 11 USC §101 et seq. or any other
law in which the Borrower, any endorser or any guarantor hereof is alleged to be insolvent or unable to pay its debts as they
mature, or the making by the Borrower, any endorser or any guarantor hereof of an assignment for the benefit of creditors or the
granting by the Borrower, any endorser or any guarantor hereof of a trust mortgage for the benefit of creditors; (8) the service
upon the Bank of a writ in which the Bank is named as trustee of the Borrower, any endorser or any guarantor hereof; (9) a judgment
or judgments for the payment of money shall be rendered against the Borrower, any endorser or any guarantor hereof, and any such
judgment shall remain unsatisfied and in effect for any period of thirty (30) consecutive days without a stay of execution; (10)
any levy, lien (including mechanics lien) except as permitted under any of the other loan documents between the Bank and the Borrower,
seizure, attachment, execution or similar process shall be issued or levied on any of the property of the Borrower, any endorser
or any guarantor hereof; (11) the termination or revocation of any guaranty hereof; or (12) the occurrence of such a change in
the condition or affairs (financial or otherwise) of the Borrower, any endorser or any guarantor hereof, or the occurrence of
any other event or circumstance, such that the Bank, in its sole discretion, deems that it is insecure or that the prospects for
timely or full payment or performance of any obligation of the Borrower, any endorser or any guarantor hereof to the Bank has
been or may be impaired.

 

Any
payments received by the Bank on account of this Note shall, at the Bank’s option, be applied first, to accrued and unpaid
interest; second, to the unpaid principal balance hereof; third to any costs, expenses or charges then owed to the Bank by the
Borrower; and the balance to escrows, if any. Notwithstanding the foregoing, any payments received after the occurrence and during
the continuance of an Event of Default shall be applied in such manner as the Bank may determine. The Borrower hereby authorizes
the Bank to charge any deposit account which the Borrower may maintain with the Bank for any payment required hereunder without
prior notice to the Borrower.

 

If
pursuant to the terms of this Note, the Borrower is at any time obligated to pay interest on the principal balance at a rate in
excess of the maximum interest rate permitted by applicable law for the loan evidenced by this Note, the applicable interest rate
shall be immediately reduced to such maximum rate and all previous payments in excess of the maximum rate shall be deemed to have
been payments in reduction of principal and not on account of the interest due hereunder.

 

The
Borrower represents to the Bank that the proceeds of this Note will not be used for personal, family or household purposes or
for the purpose of purchasing or carrying margin stock or margin securities within the meaning of Regulations U and X of the Board
of Governors of the Federal Reserve System, 12 C.F.R. Parts 221 and 224.

 

The
Borrower and each endorser and guarantor hereof grant to the Bank a continuing lien on and security interest in any and all deposits
or other sums at any time credited by or due from the Bank or any Bank Affiliate (as hereinafter defined) to the Borrower and/or
each endorser or guarantor hereof and any cash, securities, instruments or other property of the Borrower and each endorser and
guarantor hereof in the possession of the Bank or any Bank Affiliate, whether for safekeeping or otherwise, or in transit to or
from the Bank or any Bank Affiliate (regardless of the reason the Bank or Bank Affiliate had received the same or whether the
Bank or Bank Affiliate has conditionally released the same) as security for the full and punctual payment and performance of all
of the liabilities and obligations of the Borrower and/or any endorser or guarantor hereof to the Bank or any Bank Affiliate and
such deposits and other sums may be applied or set off against such liabilities and obligations of the Borrower or any endorser
or guarantor hereof to the Bank or any Bank Affiliate at any time, whether or not such are then due, whether or not demand has
been made and whether or not other collateral is then available to the Bank or any Bank Affiliate.

 

    	3

    	 

    

 

No
delay or omission on the part of the Bank in exercising any right hereunder shall operate as a waiver of such right or of any
other right of the Bank, nor shall any delay, omission or waiver on any one occasion be deemed a bar to or waiver of the same
or any other right on any future occasion. The Borrower and every endorser or guarantor of this Note, regardless of the time,
order or place of signing, waive presentment, demand, protest, notice of intent to accelerate, notice of acceleration and all
other notices of every kind in connection with the delivery, acceptance, performance or enforcement of this Note and assent to
any extension or postponement of the time of payment or any other indulgence, to any substitution, exchange or release of collateral,
and to the addition or release of any other party or person primarily or secondarily liable and waives all recourse to suretyship
and guarantor defenses generally, including any defense based on impairment of collateral. To the maximum extent permitted by
law, the Borrower and each endorser and guarantor of this Note waive and terminate any homestead rights and/or exemptions respecting
any premises under the provisions of any applicable homestead laws, including without limitation, Section 5206 of the Civil Practice
Law and Rules of New York.

 

The
Borrower and each endorser and guarantor of this Note shall indemnify, defend and hold the Bank and the Bank Affiliates and their
directors, officers, employees, agents and attorneys (each an “Indemnitee”) harmless against any claim brought or
threatened against any Indemnitee by the Borrower, by any endorser or guarantor, or by any other person (as well as from attorneys’
reasonable fees and expenses in connection therewith) on account of the Bank’s relationship with the Borrower or any endorser
or guarantor hereof (each of which may be defended, compromised, settled or pursued by the Bank with counsel of the Bank’s
selection, but at the expense of the Borrower and any endorser and/or guarantor), except for any claim arising out of the gross
negligence or willful misconduct of the Bank.

 

The
Borrower and each endorser and guarantor of this Note agree to pay, upon demand, costs of collection of all amounts under
this Note including, without limitation, principal and interest, or in connection with the enforcement of, or realization on,
any security for this Note, including, without limitation, to the extent permitted by applicable law, reasonable
attorneys’ fees and expenses. Upon the occurrence and during the continuance of an Event of Default, interest shall
accrue at a rate per annum equal to the aggregate of 5.0% plus the rate provided for herein. If any payment due under this
Note is unpaid for 10 days or more, the Borrower shall pay, in addition to any other sums due under this Note (and without
limiting the Bank’s other remedies on account thereof), a late charge equal to the greater of $35.00 or 5.0% of such
unpaid amount (which amount shall be subject to and limited so as to not be in violation of the provisions of Section 254-b
of New York Real Property Law, if applicable).

 

This
Note shall be binding upon the Borrower and each endorser and guarantor hereof and upon their respective heirs, successors, assigns
and legal representatives, and shall inure to the benefit of the Bank and its successors, endorsees and assigns.

 

The
liabilities of the Borrower and each Borrower, if more than one, and any endorser or guarantor of this Note are joint and several;
provided, however, the release by the Bank of the Borrower or any one or more endorsers or guarantors shall not release any other
person obligated on account of this Note. Any and all present and future debts of the Borrower to any endorser or guarantor of
this Note are subordinated to the full payment and performance of all present and future debts and obligations of the Borrower
to the Bank. Each reference in this Note to the Borrower and each Borrower, if more than one, and endorser or guarantor of this
Note, is to such person individually and also to all such persons jointly. No person obligated on account of this Note may seek
contribution from any other person also obligated, unless and until all liabilities, obligations and indebtedness to the Bank
of the person from whom contribution is sought have been irrevocably satisfied in full. The release or compromise by the Bank
of any collateral shall not release any person obligated on account of this Note.

 

    	4

    	 

    

 

The
Borrower and each endorser and guarantor hereof each authorizes the Bank to complete this Note if delivered incomplete in any
respect. A photographic or other reproduction of this Note may be made by the Bank, and any such reproduction shall be admissible
in evidence with the same effect as the original itself in any judicial or administrative proceeding, whether or not the original
is in existence.

 

The
Borrower will from time to time execute and deliver to the Bank such documents, and take or cause to be taken, all such other
further action, as the Bank may request in order to effect and confirm or vest more securely in the Bank all rights contemplated
by this Note or any other loan documents related thereto (including, without limitation, to correct clerical errors) or to vest
more fully in or assure to the Bank the security interest in any collateral securing this Note or to comply with applicable statute
or law.

 

This
Note shall be governed by federal law applicable to the Bank and, to the extent not preempted by federal law, the laws of the
State of New York.

 

Any
notices under or pursuant to this Note shall be deemed duly received and effective if delivered in hand to any officer or agent
of the Borrower or Bank, or if mailed by registered or certified mail, return receipt requested, addressed to the Borrower or
Bank at the address set forth in this Note or as any party may from time to time designate by written notice to the other party.

 

The
term “Bank Affiliate” as used in this Note shall mean any “Affiliate” of the Bank or any lender acting
as a participant under any loan arrangement between the Bank and the Borrower(s). The term “Affiliate” shall mean
with respect to any person, (a) any person which, directly or indirectly through one or more intermediaries controls, or is controlled
by, or is under common control with, such person, or (b) any person who is a director or officer (i) of such person, (ii) of any
subsidiary of such person, or (iii) any person described in clause (a) above. For purposes of this definition, control of a person
shall mean the power, direct or indirect, (x) to vote 5% or more of the Capital Stock having ordinary voting power for the election
of directors (or comparable equivalent) of such person, or (y) to direct or cause the direction of the management and policies
of such person whether by contract or otherwise. Control may be by ownership, contract, or otherwise.

 

The
Borrower and each endorser and guarantor of this Note each irrevocably submits to the nonexclusive jurisdiction of any Federal
or state court sitting in New York, over any suit, action or proceeding arising out of or relating to this Note. Each of the Borrower
and each endorser and guarantor irrevocably waives, to the fullest extent it may effectively do so under applicable law, any objection
it may now or hereafter have to the laying of the venue of any such suit, action or proceeding brought in any such court and any
claim that the same has been brought in an inconvenient forum. Each of the Borrower and each endorser and guarantor hereby consents
to any and all process which may be served in any such suit, action or proceeding, (i) by mailing a copy thereof by registered
and certified mail, postage prepaid, return receipt requested, to the Borrower’s, endorser’s or guarantor’s
address shown below or as notified to the Bank and (ii) by serving the same upon the Borrower(s), endorser(s) or guarantor(s)
in any other manner otherwise permitted by law, and agrees that such service shall in every respect be deemed effective service
upon the Borrower or such endorser or guarantor.

 

    	5

    	 

    

 

THE
BORROWER, EACH ENDORSER AND GUARANTOR AND THE BANK EACH HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY, AND AFTER AN OPPORTUNITY
TO CONSULT WITH LEGAL COUNSEL, (A) WAIVES ANY AND ALL RIGHTS TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING IN CONNECTION WITH
THIS NOTE, ANY OF THE OBLIGATIONS OF THE BORROWER, EACH ENDORSER AND GUARANTOR TO THE BANK, AND ALL MATTERS CONTEMPLATED HEREBY
AND DOCUMENTS EXECUTED IN CONNECTION HEREWITH AND (B) AGREES NOT TO SEEK TO CONSOLIDATE ANY SUCH ACTION WITH ANY OTHER ACTION
IN WHICH A JURY TRIAL CAN NOT BE, OR HAS NOT BEEN, WAIVED. THE BORROWER, EACH ENDORSER AND GUARANTOR AND THE BANK EACH CERTIFIES
THAT NEITHER THE BANK NOR ANY OF ITS REPRESENTATIVES, AGENTS OR COUNSEL HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE BANK
WOULD NOT IN THE EVENT OF ANY SUCH PROCEEDING SEEK TO ENFORCE THIS WAIVER OF RIGHT TO TRIAL BY JURY.

 

Executed
as of  December 1, 2017.

 

	 	Borrower:
	 	 
	 	Plastic
    Printing Professionals, Inc.
	 	 
	 	By:	 
	 	 	Philip
    Jones, Treasurer
	 	 
	 	28
    East Main Street, Suite 1525 

Rochester, New York
	 	14614

 

    	6SECURITY
AGREEMENT

 

This
SECURITY AGREEMENT (this “Agreement”) is entered into at Albany, New York, as of  December 1, 2017, between Plastic
Printing Professionals, Inc., a New York corporation, with its chief executive office located at 28 East Main
Street, Suite 1525, Rochester, New York 14614 (the “Borrower”) and Citizens Bank, N.A., a
national banking association, with an address of 833 Broadway, Albany, New York 12207 (the “Bank”).

 

FOR
VALUE RECEIVED, and in consideration of the granting by the Bank of financial accommodations to or for the benefit of the Borrower,
including without limitation respecting the Obligations (as hereinafter defined), the Borrower represents to and agrees with the
Bank, as of the date hereof and as of the date of each loan, credit and/or other financial accommodation, as follows:

 

1.
GRANT OF SECURITY INTEREST

 

1.1       Grant
of Security Interest. In consideration of the Bank’s extending credit and other financial accommodations to or for
the benefit of the Borrower, the Borrower hereby grants to the Bank a security interest in, a lien on and pledge and
assignment of the Collateral (as hereinafter defined). The security interest granted by this Agreement is given to and shall
be held by the Bank as security for the payment and performance of all Obligations (as hereinafter defined), including
without limitation, all amounts due and owing to the Bank and all obligations respecting that certain Term Note
Non-Revolving Line of Credit, dated  December 1, 2017, by Plastic Printing Professionals, Inc. in favor of the Bank in the
original principal amount of $800,000.00 (the “Note”; and collectively, along with all other agreements,
documents, certificates and instruments delivered in connection therewith, the “Loan Documents”), and any
substitutions, modifications, extensions or amendments to any of the Loan Documents.

 

1.2       Definitions.
The following definitions shall apply:

 

	 	(a)	“Bank
    Affiliate” shall mean any “Affiliate” of the Bank or any lender acting as a participant under any loan arrangement
    between the Bank and the Borrower(s). The term “Affiliate” shall mean with respect to any person, (a) any person
    which, directly or indirectly through one or more intermediaries controls, or is controlled by, or is under common control
    with, such person, or (b) any person who is a director or officer (i) of such person, (ii) of any subsidiary of such person,
    or (iii) any person described in clause (a) above. For purposes of this definition, control of a person shall mean the power,
    direct or indirect, (x) to vote 5% or more of the Capital Stock having ordinary voting power for the election of directors
    (or comparable equivalent) of such person, or (y) to direct or cause the direction of the management and policies of such
    person whether by contract or otherwise. Control may be by ownership, contract, or otherwise.
	 	 	 
	 	(b)	“Code”
    shall mean the New York Uniform Commercial Code as amended from time to time.
	 	 	 
	 	(c)	“Collateral”
    shall mean all of the Borrower’s present and future right, title and interest in and to any and all of the personal
    property of the Borrower whether such property is now existing or hereafter created, acquired or arising and wherever located
    from time to time, including without limitation:

 

    	 	 	 

     

    

 

	 	(i)	accounts;
	 	 	 
	 	(ii)	chattel
    paper;
	 	 	 
	 	(iii)	goods;
	 	 	 
	 	(iv)	inventory;
	 	 	 
	 	(v)	equipment;
	 	 	 
	 	(vi)	fixtures
	 	 	 
	 	(vii)	farm
    products;
	 	 	 
	 	(viii)	instruments;
	 	 	 
	 	(ix)	investment
    property;
	 	 	 
	 	(x)	documents;
	 	 	 
	 	(xi)	commercial
    tort claims;
	 	 	 
	 	(xii)	deposit
    accounts;
	 	 	 
	 	(xiii)	letter-of-credit
    rights;
	 	 	 
	 	(xiv)	general
    intangibles;
	 	 	 
	 	(xv)	supporting
    obligations; and
	 	 	 
	 	(xvi)	records
    of, accession to and proceeds and products of the foregoing.

 

	 	(d)	“Debtors”
    shall mean the Borrower’s customers who are indebted to the Borrower.
	 	 	 
	 	(e)	“Obligation(s)”
    shall mean, without limitation, all loans, advances, indebtedness, notes, liabilities, rate swap transactions, basis swaps,
    forward rate transactions, commodity swaps, commodity options, equity or equity index swaps, equity or equity index options,
    bond options, interest rate options, foreign exchange transactions, cap transactions, floor transactions, collar transactions,
    forward transactions, currency swap transactions, cross-currency rate swap transactions, currency options (provided, however,
    that if and only if the Borrower is not an “eligible contract participant” (as defined in the Commodity Exchange
    Act (7 U.S.C. § 1 et seq.) and any applicable rules, as amended), then to the extent applicable law prohibits such Borrower
    from entering into an agreement to secure any obligations in respect of a “swap” (as defined in the Commodity
    Exchange Act and any applicable rules, as amended, and referred to herein as a “Swap”), Obligations shall not
    include obligations of the Borrower to Bank under any Swap) and amounts, liquidated or unliquidated, owing by the Borrower
    to the Bank or any Bank Affiliate at any time, of each and every kind, nature and description, whether arising under this
    Agreement or otherwise, and whether secured or unsecured, direct or indirect (that is, whether the same are due directly by
    the Borrower to the Bank or any Bank Affiliate; or are due indirectly by the Borrower to the Bank or any Bank Affiliate as
    endorser, guarantor or other surety, or as borrower of obligations due third persons which have been endorsed or assigned
    to the Bank or any Bank Affiliate, or otherwise), absolute or contingent, due or to become due, now existing or hereafter
    arising or contracted, including, without limitation, payment when due of all amounts outstanding respecting any of the Loan
    Documents. Said term shall also include all interest and other charges chargeable to the Borrower or due from the Borrower
    to the Bank or any Bank Affiliate from time to time and all costs and expenses referred to in this Agreement.

 

    	 	2	 

     

    

 

	 	(f)	“Person”
    or “party” shall mean individuals, partnerships, corporations, limited liability companies and all other entities.

 

All
words and terms used in this Agreement other than those specifically defined herein shall have the meanings accorded to them in
the Code.

 

1.3       Ordinary
Course of Business. The Bank hereby authorizes and permits the Borrower to hold, process, sell, use or consume in the manufacture
or processing of finished goods, or otherwise dispose of inventory for fair consideration, all in the ordinary course of the Borrower’s
business, excluding, without limitation, sales to creditors or in bulk or sales or other dispositions occurring under circumstances
which would or could create any lien or interest adverse to the Bank’s security interest or other right hereunder in the
proceeds resulting therefrom. The Bank also hereby authorizes and permits the Borrower to receive from the Debtors all amounts
due as proceeds of the Collateral at the Borrower’s own cost and expense, and also liability, if any, subject to the direction
and control of the Bank at all times; and the Bank may at any time, without cause or notice, and whether or not an Event of Default
has occurred or demand has been made, terminate all or any part of the authority and permission herein or elsewhere in this Agreement
granted to the Borrower with reference to the Collateral, and notify Debtors to make all payments due as proceeds of the Collateral
to the Bank. Until Bank shall otherwise notify Borrower, all proceeds of and collections of Collateral shall be retained by Borrower
and used solely for the ordinary and usual operation of Borrower’s business. From and after notice by Bank to Borrower,
all proceeds of and collections of the Collateral shall be held in trust by Borrower for Bank and shall not be commingled with
Borrower’s other funds or deposited in any Bank account of Borrower; and Borrower agrees to deliver to Bank on the dates
of receipt thereof by Borrower, duly endorsed to Bank or to bearer, or assigned to Bank, as may be appropriate, all proceeds of
the Collateral in the identical form received by Borrower.

 

1.4       Allowances.
Absent an Event of Default the Borrower may grant such allowances or other adjustments to Debtors (exclusive of extending the
time for payment of any item which shall not be done without first obtaining the Bank’s written consent in each instance)
as the Borrower may reasonably deem to accord with sound business practice, including, without limiting the generality of the
foregoing, accepting the return of all or any part of the inventory (subject to the provisions set forth in this Agreement with
reference to returned inventory).

 

1.5       Records.
The Borrower shall hold its books and records relating to the Collateral segregated from all the Borrower’s other books
and records in a manner satisfactory to the Bank; and shall deliver to the Bank from time to time promptly at its request all
invoices, original documents of title, contracts, chattel paper, instruments and any other writings relating thereto, and other
evidence of performance of contracts, or evidence of shipment or delivery of the merchandise or of the rendering of services;
and the Borrower will deliver to the Bank promptly at the Bank’s request from time to time additional copies of any or all
of such papers or writings, and such other information with respect to any of the Collateral and such schedules of inventory,
schedules of accounts and such other writings as the Bank may in its sole discretion deem to be necessary or effectual to evidence
any loan hereunder or the Bank’s security interest in the Collateral.

 

1.6       Legends.
The Borrower shall promptly make, stamp or record such entries or legends on the Borrower’s books and records or on any
of the Collateral (including, without limitation, chattel paper) as Bank shall request from time to time, to indicate and disclose
that Bank has a security interest in such Collateral.

 

    	 	3	 

     

    

 

1.7       Inspection.
The Bank, or its representatives, at any time and from time to time, shall have the right at the sole cost and expense of Borrower,
and the Borrower will permit the Bank and/or its representatives: (a) to examine, check, make copies of or extracts from any of
the Borrower’s books, records and files (including, without limitation, orders and original correspondence); (b) to perform
field exams or otherwise inspect and examine the Collateral and to check, test or appraise the same as to quality, quantity, value
and condition; and (c) to verify the Collateral or any portion or portions thereof or the Borrower’s compliance with the
provisions of this Agreement.

 

1.8       Purchase
Money Security Interests. To the extent the Borrower uses proceeds of any loans to purchase Collateral, the repayment of such
loans shall be on a “first-in-first-out” basis so that the portion of the loan used to purchase a particular item
of Collateral shall be repaid in the order in which Borrower purchased such item of Collateral.

 

1.9       Search
Reports. Bank shall receive prior to the date of this Agreement UCC search results under all names used by the Borrower during
the prior five (5) years, from each jurisdiction where any Collateral is located, from the State, if any, where the Borrower is
organized and registered (as such terms are used in the Code), and the State where the Borrower’s chief executive office
is located. The search results shall confirm that the security interest in the Collateral granted Bank hereunder is prior to all
other security interests in favor of any other person.

 

2.
REPRESENTATIONS AND WARRANTIES

 

2.1       Accounts
and Contract Rights. All accounts arise out of legally enforceable and existing contracts, and represent unconditional and
undisputed bona fide indebtedness by a Debtor, and are not and will not be subject to any discount (except such cash or trade
discount as may be shown on any invoice, contract or other writing delivered to the Bank). No contract right, account, general
intangible or chattel paper is or will be represented by any note or other instrument, and no contract right, account or general
intangible is, or will be represented by any conditional or installment sales obligation or other chattel paper, except such instruments
or chattel paper as have been or immediately upon receipt by the Borrower will be delivered to the Bank (duly endorsed or assigned),
such delivery, in the case of chattel paper, to include all executed copies except those in the possession of the installment
buyer and any security for or guaranty of any of the Collateral shall be delivered to the Bank immediately upon receipt thereof
by the Borrower, with such assignments and endorsements thereof as the Bank may request.

 

2.2       Location
of Collateral. Except for sale, processing, use, consumption or other disposition in the ordinary course of business, the
Borrower will keep all inventory and equipment only at locations specified in this Agreement or specified to the Bank in writing.
The Borrower shall, during the term of this Agreement, keep the Bank currently and accurately informed in writing of each location
where the Borrower’s records relating to its accounts and contract rights, respectively, are kept, and shall not remove
such records or any of them to another location without giving the Bank at least thirty (30) days prior written notice thereof.

 

2.3       Third
Parties. The Bank shall not be deemed to have assumed any liability or responsibility to the Borrower or any third person
for the correctness, validity or genuineness of any instruments or documents that may be released or endorsed to the Borrower
by the Bank (which shall automatically be deemed to be without recourse to the Bank in any event) or for the existence, character,
quantity, quality, condition, value or delivery of any goods purporting to be represented by any such documents; and the Bank,
by accepting such security interest in the Collateral, or by releasing any Collateral to the Borrower, shall not be deemed to
have assumed any obligation or liability to any supplier or Debtor or to any other third party, and the Borrower agrees to indemnify
and defend the Bank and hold it harmless in respect to any claim or proceeding arising out of any matter referred to in this paragraph.

 

    	 	4	 

     

    

 

2.4       Payment
of Accounts. Each account or other item of Collateral, other than inventory and equipment, will be paid in full on or before
the date shown as its due date in the schedule of Collateral, in the copy of the invoice(s) relating to the account or other Collateral
or in contracts relating thereto. Upon any suspension of business, assignment or trust mortgage for the benefit of creditors,
dissolution, petition in receivership or under any chapter of the Bankruptcy Code as amended from time to time by or against any
Debtor, any Debtor becoming insolvent or unable to pay its debts as they mature or any other act of the same or different nature
amounting to a business failure, the Borrower will immediately notify the Bank thereof.

 

3.
AFFIRMATIVE COVENANTS

 

3.1       Inspection.
Borrower will at all reasonable times make its books and records available in its offices for inspection, examination and duplication
by the Bank and the Bank’s representatives and will permit inspection of the Collateral and all of its properties by the
Bank and the Bank’s representatives. Borrower will from time to time furnish the Bank with such information and statements
as the Bank may request in its sole discretion with respect to the Obligations or the Bank’s security interest in the Collateral.
Borrower shall, during the term of this Agreement, keep the Bank currently and accurately informed in writing of each location
where Borrower’s records relating to its accounts and contract rights are kept, and shall not remove such records to another
location without giving the Bank at least thirty (30) days prior written notice thereof.

 

3.2       Notice
to Account Debtors. The Borrower agrees, at the request of the Bank, to notify all or any of the Debtors in writing of the
Bank’s security interest in the Collateral in whatever manner the Bank requests and, hereby authorizes the Bank to notify
all or any of the Debtors of the Bank’s security interest in the Borrower’s accounts at the Borrower’s expense.

 

3.3       Lien
Law. If any account or general intangible included in the Collateral represents money owing pursuant to any contract for the
improvement of real property or for a public improvement for purposes of the Lien Law of the State of New York (the “Lien
Law”), Borrower shall (i) give Bank notice of such fact; (ii) receive and hold any money advanced by Bank with respect to
such account or general intangible as a trust fund to be first applied to the payment of trust claims as such term is defined
in the Lien Law (Section 71 or otherwise); and (iii) until such trust claim is paid, not use or permit the use of any such money
for any purpose other than the payment of such trust claims.

 

4.
DEFAULT

 

4.1       Default.
“Event of Default” shall mean the occurrence of one or more of any of the following events:

 

	 	(a)	default
    of any liability, obligation, covenant or undertaking of the Borrower or any guarantor of the Obligations to the Bank, hereunder
    or otherwise, including, without limitation, failure to pay in full and when due any installment of principal or interest
    or default of the Borrower or any guarantor of the Obligations under any other Loan Document or any other agreement with the
    Bank;
	 	 	 
	 	(b)	failure
    of the Borrower or any guarantor of the Obligations to maintain aggregate collateral security value satisfactory to the Bank;
	 	 	 
	 	(c)	default
    of any material liability, obligation or undertaking of the Borrower or any guarantor of the Obligations to any other party;
	 	 	 
	 	(d)	if
    any statement, representation or warranty heretofore, now or hereafter made by the Borrower or any guarantor of the Obligations
    in connection with this Agreement or in any supporting financial statement of the Borrower or any guarantor of the Obligations
    shall be determined by the Bank to have been false or misleading in any material respect when made;

 

    	 	5	 

     

    

 

	 	(e)	if
    the Borrower or any guarantor of the Obligations is a corporation, trust, partnership or limited liability company, the liquidation,
    termination or dissolution of any such organization, or the merger or consolidation of such organization into another entity,
    or its ceasing to carry on actively its present business or the appointment of a receiver for its property;
	 	 	 
	 	(f)	the
    death of the Borrower or any guarantor of the Obligations and, if the Borrower or any guarantor of the Obligations is a partnership
    or limited liability company, the death of any partner or member;
	 	 	 
	 	(g)	the
    institution by or against the Borrower or any guarantor of the Obligations of any proceedings under the Bankruptcy Code 11
    USC §101 et seq. or any other law in which the Borrower or any guarantor of the Obligations is alleged to be insolvent
    or unable to pay its debts as they mature, or the making by the Borrower or any guarantor of the Obligations of an assignment
    for the benefit of creditors or the granting by the Borrower or any guarantor of the Obligations of a trust mortgage for the
    benefit of creditors;
	 	 	 
	 	(h)	the
    service upon the Bank of a writ in which the Bank is named as trustee of the Borrower or any guarantor of the Obligations;
	 	 	 
	 	(i)	a
    judgment or judgments for the payment of money shall be rendered against the Borrower or any guarantor of the Obligations,
    and any such judgment shall remain unsatisfied and in effect for any period of thirty (30) consecutive days without a stay
    of execution;
	 	 	 
	 	(j)	any
    levy, lien (including mechanics lien), seizure, attachment, execution or similar process shall be issued or levied on any
    of the property of the Borrower or any guarantor of the Obligations;
	 	 	 
	 	(k)	the
    termination or revocation of any guaranty of the Obligations; or
	 	 	 
	 	(l)	the
    occurrence of such a change in the condition or affairs (financial or otherwise) of the Borrower or any guarantor of the Obligations,
    or the occurrence of any other event or circumstance, such that the Bank, in its sole discretion, deems that it is insecure
    or that the prospects for timely or full payment or performance of any obligation of the Borrower or any guarantor of the
    Obligations to the Bank has been or may be impaired.

 

4.2       Acceleration.
If an Event of Default shall occur, at the election of the Bank, all Obligations shall become immediately due and payable without
notice or demand, except with respect to Obligations payable on DEMAND, which shall be due and payable on DEMAND, whether or not
an Event of Default has occurred.

 

The
Bank is hereby authorized, at its election, after an Event of Default or after Demand, without any further demand or notice except
to such extent as notice may be required by applicable law, to take possession and/or sell or otherwise dispose of all or any
of the Collateral at public or private sale; and the Bank may also exercise any and all other rights and remedies of a secured
party under the Code or which are otherwise accorded to it in equity or at law, all as Bank may determine, and such exercise of
rights in compliance with the requirements of law will not be considered adversely to affect the commercial reasonableness of
any sale or other disposition of the Collateral. If notice of a sale or other action by the Bank is required by applicable law,
unless the Collateral is perishable or threatens to decline speedily in value or is of a type customarily sold on a recognized
market, the Borrower agrees that ten (10) days written notice to the Borrower, or the shortest period of written notice permitted
by such law, whichever is smaller, shall be sufficient notice; and that to the extent permitted by law, the Bank, its officers,
attorneys and agents may bid and become purchasers at any such sale, if public, and may purchase at any private sale any of the
Collateral that is of a type customarily sold on a recognized market or which is the subject of widely distributed standard price
quotations. Any sale (public or private) shall be without warranty and free from any right of redemption, which the Borrower shall
waive and release after default upon the Bank’s request therefor, and may be free of any warranties as to the Collateral
if Bank shall so decide. No purchaser at any sale (public or private) shall be responsible for the application of the purchase
money. Any balance of the net proceeds of sale remaining after paying all Obligations of the Borrower to the Bank shall be returned
to such other party as may be legally entitled thereto; and if there is a deficiency, the Borrower shall be responsible for repayment
of the same, with interest. Upon demand by the Bank, the Borrower shall assemble the Collateral and make it available to the Bank
at a place designated by the Bank which is reasonably convenient to the Bank and the Borrower. The Borrower hereby acknowledges
that the Bank has extended credit and other financial accommodations to the Borrower upon reliance of the Borrower’s granting
the Bank the rights and remedies contained in this Agreement including without limitation the right to take immediate possession
of the Collateral upon the occurrence of an Event of Default or after DEMAND with respect to Obligations payable on DEMAND and
the Borrower hereby acknowledges that the Bank is entitled to equitable and injunctive relief to enforce any of its rights and
remedies hereunder or under the Code and the Borrower hereby waives any defense to such equitable or injunctive relief based upon
any allegation of the absence of irreparable harm to the Bank.

 

    	 	6	 

     

    

 

The
Bank shall not be required to marshal any present or future security for (including but not limited to this Agreement and the
Collateral subject to the security interest created hereby), or guarantees of, the Obligations or any of them, or to resort to
such security or guarantees in any particular order; and all of its rights hereunder and in respect of such securities and guaranties
shall be cumulative and in addition to all other rights, however existing or arising. To the extent that it lawfully may do so,
the Borrower hereby agrees that it will not invoke and irrevocably waives the benefits of any law relating to the marshaling of
collateral which might cause delay in or impede the enforcement of the Bank’s rights under this Agreement or under any other
instrument evidencing any of the Obligations or under which any of the Obligations is outstanding or by which any of the Obligations
is secured or guaranteed. Except as required by applicable law, the Bank shall have no duty as to the collection or protection
of the Collateral or any income thereon, nor as to the preservation of rights against prior parties, nor as to the preservation
of any rights pertaining thereto beyond the safe custody thereof.

 

4.3       Power
of Attorney. The Borrower hereby irrevocably constitutes and appoints the Bank as the Borrower’s true and lawful attorney,
with full power of substitution, at the sole cost and expense of the Borrower but for the sole benefit of the Bank, upon the occurrence
of an Event of Default or after DEMAND with respect to Obligations payable on DEMAND, to convert the Collateral into cash, including,
without limitation, completing the manufacture or processing of work in process, and the sale (either public or private) of all
or any portion or portions of the inventory and other Collateral; to enforce collection of the Collateral, either in its own name
or in the name of the Borrower, including, without limitation, executing releases or waivers, compromising or settling with any
Debtors and prosecuting, defending, compromising or releasing any action relating to the Collateral; to receive, open and dispose
of all mail addressed to the Borrower and to take therefrom any remittances or proceeds of Collateral in which the Bank has a
security interest; to notify Post Office authorities to change the address for delivery of mail addressed to the Borrower to such
address as the Bank shall designate; to endorse the name of the Borrower in favor of the Bank upon any and all checks, drafts,
money orders, notes, acceptances or other instruments of the same or different nature; to sign and endorse the name of the Borrower
on and to receive as secured party any of the Collateral, any invoices, freight or express receipts, or bills of lading, storage
receipts, warehouse receipts, or other documents of title of the same or different nature relating to the Collateral; to sign
the name of the Borrower on any notice of the Debtors or on verification of the Collateral; and to sign, if necessary, and file
or record on behalf of the Borrower any financing or other statement in order to perfect or protect the Bank’s security
interest. The Bank shall not be obliged to do any of the acts or exercise any of the powers hereinabove authorized, but if the
Bank elects to do any such act or exercise any such power, it shall not be accountable for more than it actually receives as a
result of such exercise of power, and it shall not be responsible to the Borrower except for its own gross negligence or willful
misconduct. All powers conferred upon the Bank by this Agreement, being coupled with an interest, shall be irrevocable so long
as any Obligation of the Borrower or any guarantor or surety to the Bank shall remain unpaid or the Bank is obligated under this
Agreement to extend any credit to the Borrower.

 

    	 	7	 

     

    

 

4.4       Nonexclusive
Remedies. All of the Bank’s rights and remedies not only under the provisions of this Agreement but also under any other
agreement or transaction shall be cumulative and not alternative or exclusive, and may be exercised by the Bank at such time or
times and in such order of preference as the Bank in its sole discretion may determine.

 

5.
MISCELLANEOUS

 

5.1       Costs
and Expenses. the Borrower shall pay to the Bank on demand any and all costs and expenses (including, without limitation,
reasonable attorneys’ fees and disbursements, court costs, litigation and other expenses) incurred or paid by the Bank in
establishing, maintaining, protecting or enforcing any of the Bank’s rights or the Obligations, including, without limitation,
any and all such costs and expenses incurred or paid by the Bank in defending the Bank’s security interest in, title or
right to the Collateral or in collecting or attempting to collect or enforcing or attempting to enforce payment of the Obligations.

 

5.2       Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall be an original, but all of which shall constitute
but one agreement.

 

5.3       Severability.
If any provision of this Agreement or portion of such provision or the application thereof to any person or circumstance shall
to any extent be held invalid or unenforceable, the remainder of this Agreement (or the remainder of such provision) and the application
thereof to other persons or circumstances shall not be affected thereby.

 

5.4       Complete
Agreement. This Agreement and the other Loan Documents constitute the entire agreement and understanding between and among
the parties hereto relating to the subject matter hereof, and supersedes all prior proposals, negotiations, agreements and understandings
among the parties hereto with respect to such subject matter.

 

5.5       Binding
Effect of Agreement. This Agreement shall be binding upon and inure to the benefit of the respective heirs, executors, administrators,
legal representatives, successors and assigns of the parties hereto, and shall remain in full force and effect (and the Bank shall
be entitled to rely thereon) until released in writing by the Bank. Notwithstanding any such termination, the Bank shall have
a security interest in all Collateral to secure the payment and performance of Obligations arising after such termination as a
result of commitments or undertakings made or entered into by the Bank prior to such termination. The Bank may transfer and assign
this Agreement and deliver the Collateral to the assignee, who shall thereupon have all of the rights of the Bank; and the Bank
shall then be relieved and discharged of any responsibility or liability with respect to this Agreement and the Collateral. The
Borrower may not assign or transfer any of its rights or obligations under this Agreement. Except as expressly provided herein
or in the other Loan Documents, nothing, expressed or implied, is intended to confer upon any party, other than the parties hereto,
any rights, remedies, obligations or liabilities under or by reason of this Agreement or the other Loan Documents.

 

5.6       Further
Assurances. Borrower will from time to time execute and deliver to Bank such documents, and take or cause to be taken, all
such other or further action, as Bank may request in order to effect and confirm or vest more securely in Bank all rights contemplated
by this Agreement and the other Loan Documents (including, without limitation, to correct clerical errors) or to vest more fully
in or assure to the Bank the security interest in the Collateral granted to the Bank by this Agreement or to comply with applicable
statute or law and to facilitate the collection of the Collateral (including, without limitation, the execution of stock transfer
orders and stock powers, endorsement of promissory notes and instruments and notifications to obligors on the Collateral). To
the extent permitted by applicable law, Borrower authorizes the Bank to file financing statements, continuation statements or
amendments, and any such financing statements, continuation statements or amendments may be filed at any time in any jurisdiction.
Bank may at any time and from time to time file financing statements, continuation statements and amendments thereto which contain
any information required by the Code for the sufficiency or filing office acceptance of any financing statement, continuation
statement or amendment, including whether Borrower is an organization, the type of organization and any organization identification
number issued to Borrower. Borrower agrees to furnish any such information to Bank promptly upon request. In addition, Borrower
shall at any time and from time to time take such steps as Bank may reasonably request for Bank (i) to obtain an acknowledgment,
in form and substance satisfactory to Bank, of any bailee having possession of any of the Collateral that the bailee holds such
Collateral for Bank, (ii) to obtain “control” (as defined in the Code) of any Collateral comprised of deposit accounts,
electronic chattel paper, letter of credit rights or investment property, with any agreements establishing control to be in form
and substance satisfactory to Bank, and (iii) otherwise to insure the continued perfection and priority of Bank’s security
interest in any of the Collateral and the preservation of its rights therein. Borrower hereby constitutes Bank its attorney-in-fact
to execute, if necessary, and file all filings required or so requested for the foregoing purposes, all acts of such attorney
being hereby ratified and confirmed; and such power, being coupled with an interest, shall be irrevocable until this Agreement
terminates in accordance with its terms, all Obligations are irrevocably paid in full and the Collateral is released.

 

    	 	8	 

     

    

 

5.7       Amendments
and Waivers. This Agreement may be amended and Borrower may take any action herein prohibited, or omit to perform any act
herein required to be performed by it, if Borrower shall obtain the Bank’s prior written consent to each such amendment,
action or omission to act. No course of dealing and no delay or omission on the part of Bank in exercising any right hereunder
shall operate as a waiver of such right or any other right and waiver on any one or more occasions shall not be construed as a
bar to or waiver of any right or remedy of Bank on any future occasion.

 

5.8       Terms
of Agreement. This Agreement shall continue in full force and effect so long as any Obligations or obligation of Borrower
to Bank shall be outstanding, or the Bank shall have any obligation to extend any financial accommodation hereunder, and is supplementary
to each and every other agreement between Borrower and Bank and shall not be so construed as to limit or otherwise derogate from
any of the rights or remedies of Bank or any of the liabilities, obligations or undertakings of Borrower under any such agreement,
nor shall any contemporaneous or subsequent agreement between Borrower and the Bank be construed to limit or otherwise derogate
from any of the rights or remedies of Bank or any of the liabilities, obligations or undertakings of Borrower hereunder, unless
such other agreement specifically refers to this Agreement and expressly so provides.

 

5.9       Notices.
Any notice under or pursuant to this Agreement shall be a signed writing or other authenticated record (within the meaning of
Article 9 of the Code). Any notices under or pursuant to this Agreement shall be deemed duly received and effective if delivered
in hand to any officer or agent of the Borrower or Bank, or if mailed by registered or certified mail, return receipt requested,
addressed to the Borrower or Bank at the address set forth in this Agreement or as any party may from time to time designate by
written notice to the other party.

 

5.10       Governing
Law. This Agreement shall be governed by federal law applicable to the Bank and, to the extent not preempted by federal law,
the laws of the State of New York.

 

5.11       Reproductions.
This Agreement and all documents which have been or may be hereinafter furnished by Borrower to the Bank may be reproduced by
the Bank by any photographic, photostatic, microfilm, xerographic or similar process, and any such reproduction shall be admissible
in evidence as the original itself in any judicial or administrative proceeding (whether or not the original is in existence and
whether or not such reproduction was made in the regular course of business).

 

5.12       Jurisdiction
and Venue. Borrower irrevocably submits to the nonexclusive jurisdiction of any Federal or state court sitting in New York,
over any suit, action or proceeding arising out of or relating to this Agreement. Borrower irrevocably waives, to the fullest
extent it may effectively do so under applicable law, any objection it may now or hereafter have to the laying of the venue of
any such suit, action or proceeding brought in any such court and any claim that the same has been brought in an inconvenient
forum. Borrower hereby consents to any and all process which may be served in any such suit, action or proceeding, (i) by mailing
a copy thereof by registered and certified mail, postage prepaid, return receipt requested, to the Borrower’s address shown
in this Agreement or as notified to the Bank and (ii) by serving the same upon the Borrower in any other manner otherwise permitted
by law, and agrees that such service shall in every respect be deemed effective service upon Borrower.

 

    	 	9	 

     

    

 

5.13       JURY
WAIVER. THE BORROWER AND BANK EACH HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY, AND AFTER AN OPPORTUNITY TO CONSULT WITH
LEGAL COUNSEL, (A) WAIVE ANY AND ALL RIGHTS TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING IN CONNECTION WITH THIS AGREEMENT,
THE OBLIGATIONS, ALL MATTERS CONTEMPLATED HEREBY AND DOCUMENTS EXECUTED IN CONNECTION HEREWITH AND (B) AGREE NOT TO SEEK TO CONSOLIDATE
ANY SUCH ACTION WITH ANY OTHER ACTION IN WHICH A JURY TRIAL CANNOT BE, OR HAS NOT BEEN, WAIVED. THE BORROWER CERTIFIES THAT NEITHER
THE BANK NOR ANY OF ITS REPRESENTATIVES, AGENTS OR COUNSEL HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE BANK WOULD NOT IN
THE EVENT OF ANY SUCH PROCEEDING SEEK TO ENFORCE THIS WAIVER OF RIGHT TO TRIAL BY JURY.

 

Executed
as of  December 1, 2017.

 

	 	Borrower:
	 	Plastic
    Printing Professionals, Inc.
	 	 	 
	 	By:	
	 	 	Philip
    Jones, Treasurer

 

	Accepted: Citizens Bank, N.A.	 
	 	 	 
	By:	 	 
	Name: 	Douglas
    Dandurand	 
	Title:
    	Vice
    President	 

 

    	 	10	 

     

    

 

LOSS
PAYMENT ENDORSEMENT

 

Endorsement
to be attached to and made a part of policy No. _________________, dated of the _________________________ (Insurance Company)
issued to Plastic Printing Professionals, Inc., herein called the named insured.

 

Loss,
if any, under this policy shall be payable to Citizens Bank, N.A. (the “Lender”), with a principal place of business
at 833 Broadway, Albany, New York, as lender, pledgee, mortgagee, lienor, security interest holder, entruster, owner or in any
other capacity in which it holds an insurable interest, as its interest may appear. It is understood that the Lender now has or
will acquire, from time to time hereafter, an insurable interest in property insured under this policy, which interest will be
established by written evidence, including without limitation warehouse receipts, bills of lading, assignments, mortgages, pledges,
factoring agreements, accounts receivable financing agreements, security interest agreements, factors lien agreements, other agreements
or documents, financing statements, trust receipts or records maintained by the Lender.

 

This
insurance, solely as to the interest of the Lender therein, shall not be impaired or invalidated, in whole or in part, by reason
of any act or neglect of the named insured or any subsequent owner of any of the property insured under this policy, or by any
change in the title of ownership of such property, or by the occupation of the premises wherein such property is located or by
any breach of or failure to comply with any warranty or condition of the policy over which the Lender has no control. This policy
shall not be canceled or materially changed as to the interest of the Lender, unless at least Ten (10) days (or in case of war
risk coverage, at least two days) prior written notice of such cancellation or change has been given to the Lender. The Lender
shall have the right, but only if it so elects, to pay any premium which may be or become due under this policy; but shall not,
in any event, have the obligation to do so or any obligation or liability therefor. All other terms and conditions of the policy
to which this endorsement is attached and of which it is a part remain unchanged. This endorsement cannot be changed or terminated
orally.

 

	____________________________	 	____________________________	 
	Date	 	Insurance
    Company

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