Document:

EX-10.1

 Exhibit 10.1 

EXECUTION 
 RATIFICATION AND
AMENDMENT AGREEMENT 
 This RATIFICATION AND AMENDMENT AGREEMENT (the “Ratification Agreement”), dated as of April 9,
2015, is by and among Wells Fargo Bank, National Association, a national banking association, in its capacity as administrative agent acting for and on behalf of the parties to the Loan Agreement (as defined below) as lenders (in such capacity,
“Administrative Agent”) and its capacity as collateral agent acting on behalf of the parties to the Loan Agreement as Lenders and the other Secured Parties, in such capacity, the “Collateral Agent”, sometimes the Collateral Agent
and Administrative Agent are referred to herein, collectively, as the “Agent”), the parties to the Loan Agreement as lenders (each individually, a “Lender” and collectively, “Lenders”), Oneida Ltd., a Delaware
corporation, as Debtor and Debtor-in-Possession (the “Oneida”), Anchor Hocking, LLC, a Delaware limited liability company, as Debtor and Debtor-in-Possession (“Anchor”, and together with Oneida, each, individually a
“Borrower” and collectively, “Borrowers”), Universal Tabletop, Inc., a Delaware corporation, as Debtor and Debtor-in-Possession (“Parent”), and each other Subsidiary of Parent party thereto, as Debtor and
Debtor-in-Possession (together with Parent, each a “Guarantor”, and collectively, “Guarantors”). 
 W I
T N E S S E T H: 
 WHEREAS, Borrowers and each Guarantor (collectively, the
“Debtors”) has commenced a case under Chapter 11 of Title 11 of the United States Code in the United States Bankruptcy Court for the District of Delaware, and each Borrower and each Guarantor has retained possession of its assets and is
authorized under the Bankruptcy Code to continue the operation of its businesses as a debtor-in-possession; 
 WHEREAS, prior to the
commencement of the Chapter 11 Cases (as defined below), Agent and Lenders made loans and advances and provided other financial or credit accommodations to Borrowers secured by substantially all assets and properties of Borrowers and Guarantors as
set forth in the Existing Loan Documents (as defined below) and the Existing Guarantor Documents (as defined below); 
 WHEREAS, the
Bankruptcy Court (as defined below) has entered a Financing Order (defined below) pursuant to which Agent and Lenders may make post-petition loans and advances, and provide other financial accommodations, to Borrowers secured by substantially all
the assets and properties of Borrowers and Guarantor as set forth in the Financing Order and the Loan Documents (as defined below); 

WHEREAS, the Financing Order provides that as a condition to the making of such post-petition loans, advances and other financial
accommodations, Borrowers and Guarantors shall execute and deliver this Ratification Agreement; 
 WHEREAS, Borrowers and Guarantor desire
to reaffirm their obligations to Agent and Lenders pursuant to the Existing Loan Documents and acknowledge their continuing liabilities to Agent and Lenders thereunder in order to induce Agent and Lenders to make such post-petition loans and
advances, and provide such other financial accommodations, to Borrowers; and 

 WHEREAS, Borrowers and Guarantors have requested that Agent and Lenders make post-petition loans
and advances and provide other financial or credit accommodations to Borrowers and make certain amendments to the Loan Agreement (as defined below), and Agent and Lenders are willing to do so, subject to the terms and conditions contained herein.

 NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and agreements contained herein and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, Agent, Lenders, Borrowers and Guarantors mutually covenant, warrant and agree as follows: 
  

	 	1.	DEFINITIONS. 

 1.1 Additional Definitions. As used herein, the following terms
shall have the respective meanings given to them below and the Loan Agreement and the other Loan Documents shall be deemed and are hereby amended to include, in addition and not in limitation, each of the following definitions: 

(a) “Bankruptcy Court” means the United States Bankruptcy Court or the United States District Court for the District of Delaware

 (b) “Bankruptcy Code” means the United States Bankruptcy Code, being Title 11 of the United States Code as enacted in 1978, as
the same has heretofore been or may hereafter be amended, recodified, modified or supplemented, together with all rules, regulations and interpretations thereunder or related thereto. 

(c) “Budget” means the fourteen (14) week budget delivered to Agent in accordance with Section 5.3 of the Ratification
Agreement (a summary of which is attached hereto as Exhibit A), in form and substance satisfactory to Administrative Agent, together with any subsequent or amended budgets thereto delivered to Administrative Agent and Lenders, in form and substance
satisfactory to Administrative Agent, in accordance with the terms and conditions hereof. 
 (d) “Carve-Out” means the sum of
(i) all fees required to be paid to the Clerk of the Bankruptcy Court and to the Office of the United States Trustee under section 1930(a) of title 28 of the United States Code plus interest at the statutory rate (without regard to the notice
set forth in (iii) below); (ii) all reasonable fees and expenses up to $50,000 incurred by a trustee under Section 726(b) of the Bankruptcy Code (without regard to the notice set forth in (iii) below); (iii) to the extent
allowed by the Bankruptcy Court at any time, whether by interim order, procedural order, or otherwise, all unpaid fees and expenses (the “Allowed Professional Fees”) incurred by persons or firms retained by the Loan Parties and any
affiliated debtors-in-possession pursuant to Sections 327, 328, or 363 of the Bankruptcy Code (the “Debtor Professionals”) at any time before or on the first business day following delivery by the DIP Term Loan Agent of a Carve-Out Trigger
Notice, whether allowed by the Bankruptcy Court prior to or after delivery of a Carve-Out Trigger Notice; and (iv) Allowed Professional Fees of Debtor Professionals in an aggregate amount not to exceed $750,000 incurred after the first

  
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business day following delivery by the DIP Term Loan Agent of the Carve-Out Trigger Notice, to the extent allowed at any time, whether by interim order, procedural order, or otherwise (the
amounts set forth in this clause (iv) being the “Post-Carve-Out Trigger Notice Cap”). 
 (e) “Carve-Out Trigger
Notice” shall mean a written notice delivered by email (or other electronic means) by the DIP Term Loan Agent to the Loan Parties and any affiliated debtors-in-possession, their lead restructuring counsel, the U.S. Trustee and Administrative
Agent, which notice may be delivered following the occurrence and during the continuation of an Event of Default and acceleration of the obligations under the Loan Agreement and/or under the DIP Term Loan Credit Facility, stating that the
Post-Carve-Out Trigger Notice Cap has been invoked. 
 (f) “Chapter 11 Cases” means the Chapter 11 cases of Borrowers and
Guarantors which are being jointly administered under the Bankruptcy Code and are pending in the Bankruptcy Court. 
 (g)
“Debtors” means, collectively, Borrowers and Guarantors, each as Debtor and Debtor-in-Possession in the Chapter 11 Cases. 
 (h)
“DIP Term Loan Agent” means Wilmington Trust, National Association, in its capacity as administrative agent pursuant to the DIP Term Loan Documents, and its successors, assigns or any replacement agent appointed pursuant to the terms of
the DIP Term Loan Agreement. 
 (i) “DIP Term Loan Agreement” means the Term Loan Agreement, dated of even date herewith, among
Anchor, as borrower agent, Oneida, as borrower, the subsidiaries of Anchor and Oneida, parties thereto as guarantors, the lenders from time to time parties thereto, and DIP Term Loan Agent, as administrative agent, as it may be amended, restated,
refinanced, replaced or otherwise modified from time to time. 
 (j) “DIP Term Loan Debt” means the “Secured
Obligations” of the Loan Parties under and as defined in the DIP Term Loan Agreement. 
 (k) “DIP Term Loan Documents” means
the DIP Term Loan Agreement and each other agreement, certificate, document, or instrument executed or delivered by Parent or its Subsidiaries to DIP Term Loan Agent or any DIP Term Loan Lender in connection therewith, whether prior to, on, or after
the closing of the DIP Term Loan Agreement, and any and all renewals, extensions, amendments, modifications, refinancings or restatements of any of the foregoing. 

(l) “DIP Term Loan Facility” means the term loan credit facility evidenced by the DIP Term Loan Agreement. 

(m) “DIP Term Loan Funding Account” has the meaning ascribed to such term in the DIP Term Loan Agreement (as in effect on the date
hereof). 

  
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 (n) “DIP Intercreditor Agreement” means the Intercreditor Agreement, dated as of
May 21, 2013, by and among Administrative Agent on behalf of itself and the other Secured Parties, and the Term Loan Agent, on behalf of itself and the Term Loan Lenders, as amended by the Financing Order with the consent of the Agent (as
further amended, restated, supplemented or otherwise modified from time to time in accordance with its terms); all references in the Existing Loan Agreement and Existing Loan Documents to the “Intercreditor Agreement”, are hereby deemed
references to the “DIP Intercreditor Agreement.” 
 (o) “DIP Term Loan Lenders” means each of the lenders party to the
DIP Term Loan Agreement, as “Lenders” from time to time. 
 (p) “Existing Loan Documents” means the Loan Documents (as
defined in the Existing Loan Agreement), including, without limitation, the Existing Guarantor Documents (as defined below), in each instance, as in effect immediately prior to the Petition Date. 

(q) “Existing Guarantor Documents” means the Second Amended and Restated Guaranty, dated as of May 21, 2013, by each Guarantor
in favor of Agent for the benefit of Agent and the other Secured Parties, Existing Loan Agreement and any other documents executed by any Guarantor, in each case, as in effect immediately prior to the Petition Date. 

(r) “Existing Loan Agreement” means the Second Amended and Restated Loan and Security Agreement, dated as of May 21, 2013, by
and among Borrowers, Guarantors, Agent and Lenders, as amended by Amendment No. 1 to the Second Amended and Restated Loan and Security Agreement, dated as of May 14, 2014, Amendment No. 2 to the Second Amended and Restated Loan and
Security Agreement, dated as of May 30, 2014, Amendment No. 3 to the Second Amended and Restated Loan and Security Agreement, dated as of June 30, 2014, Amendment No. 4 to the Second Amended and Restated Loan and Security
Agreement, dated as of July 15, 2014, Amendment No. 5 to the Second Amended and Restated Loan and Security Agreement, dated as of July 22, 2014, and Amendment No. 6 to the Second Amended and Restated Loan and Security Agreement,
dated as of July 30, 2014, as in effect immediately prior to the Petition Date. 
 (s) “Financing Order” means the Interim
Financing Order, the Permanent Financing Order and such other orders relating thereto or authorizing the granting of credit by Agent and Lenders to Borrowers on an emergency, interim or permanent basis pursuant to Section 364 of the Bankruptcy
Code as may be issued or entered by the Bankruptcy Court in the Chapter 11 Cases. 
 (t) “Guarantor Documents” means,
collectively, the Existing Guarantor Documents, as amended by this Ratification Agreement, in each instance, as the same now exists or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced. 

(u) “Interim Financing Order” shall have the meaning set forth in Section 9.9 hereof. 

(v) “Permanent Financing Order” shall have the meaning set forth in Section 9.11 hereof. 

  
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 (w) “Petition Date” means the date of the commencement of the Chapter 11 Cases. 

(x) “Post-Petition Collateral” means, collectively, all now existing and hereafter acquired real and personal property of each
Debtor’s estate, wherever located, of any kind, nature or description, including any such property in which a lien is granted to Agent and Lenders pursuant to the Loan Documents, the Financing Order or any other order entered or issued by the
Bankruptcy Court, and shall include, without limitation (excluding, in each case, any Excluded Assets): 
 (i) all of the Pre-Petition
Collateral; 
 (ii) all Accounts; 

(iii) all general intangibles, including, without limitation, all Intellectual Property; 

(iv) all goods, including, without limitation, all Inventory and all Equipment; 

(v) all Real Property and fixtures; 

(vi) all chattel paper, including, without limitation, all tangible and electronic chattel paper; 

(vii) all instruments, including, without limitation, all promissory notes; 

(viii) all documents; 
 (ix)
all deposit accounts; 
 (x) all letters of credit, banker’s acceptances and similar instruments and including all letter-of-credit
rights; 
 (xi) all supporting obligations and all present and future liens, security interests, rights, remedies, title and interest in,
to and in respect of Receivables and other Collateral, including, without limitation, (A) rights and remedies under or relating to guaranties, contracts of suretyship, letters of credit and credit and other insurance related to the Collateral,
(B) rights of stoppage in transit, replevin, repossession, reclamation and other rights and remedies of an unpaid vendor, lienor or secured party, (C) goods described in invoices, documents, contracts or instruments with respect to, or
otherwise representing or evidencing, Receivables or other Collateral, including returned, repossessed and reclaimed goods, and (D) deposits by and property of account debtors or other persons securing the obligations of account debtors; 

  
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 (xii) all (A) investment property (including securities, whether certificated or
uncertificated, securities accounts, security entitlements, commodity contracts or commodity accounts) and (B) monies, credit balances, deposits and other property of any Borrower or Guarantor now or hereafter held or received by or in transit
to Administrative Agent, Collateral Agent, any Lender or their respective Affiliates or at any other depository or other institution from or for the account of any Borrower or Guarantor, whether for safekeeping, pledge, custody, transmission,
collection or otherwise; 
 (xiii) all commercial tort claims; 

(xiv) to the extent not otherwise described above, all Receivables; 

(xv) all claims, rights, interests, assets and properties (recovered by or on behalf of each Borrower and Guarantor or any trustee of such
Borrower or Guarantor (whether in the Chapter 11 Cases or any subsequent case to which any of the Chapter 11 Cases is converted), including, without limitation, all property recovered as a result of transfers or obligations avoided or actions
maintained or taken pursuant to Sections 544, 545, 547, 548, 549, 550, 551 and 553 of the Bankruptcy Code; 
 (xvi) all Records; and 

(xvii) all products and proceeds of the foregoing, in any form, including insurance proceeds and all claims against third parties for loss or
damage to or destruction of or other involuntary conversion of any kind or nature of any or all of the other Collateral; 
 provided, that, the Collateral
shall not include the DIP Term Loan Funding Account and the Segregated Operating Account and amounts deposited therein. 
 (y)
“Post-Petition Obligations” means all Obligations (as defined in the Existing Loan Agreement) arising on and after the Petition Date and whether arising on or after the conversion or dismissal of the Chapter 11 Cases, or before, during and
after the confirmation of any plan of reorganization in the Chapter 11 Cases, and whether arising under or related to this Ratification Agreement, the Loan Agreement, the Guarantor Documents, the other Loan Documents, a Financing Order, by operation
of law or otherwise, and whether incurred by such Borrower or Guarantor as principal, surety, endorser, guarantor or otherwise and including, without limitation, all principal, interest, financing charges, letter of credit fees, unused line fees,
servicing fees, line increase fees, debtor-in-possession facility fees, early termination fees, other fees, commissions, costs, expenses and attorneys’, accountants’ and consultants’ fees and expenses incurred in connection with any
of the foregoing. 
 (z) “Pre-Petition Collateral” means, collectively, (i) all “Collateral” as such term is
defined in the Existing Loan Agreement as in effect immediately prior to the Petition Date, (ii) all “Collateral” and “Pledged Collateral” as such terms are defined in each of the other Existing Loan Documents as in effect
immediately prior to the Petition Date, and (iii) all other security for the Pre-Petition Obligations as provided in the Existing Loan Agreement, the Existing Guarantor Documents and the other Existing Loan Documents immediately prior to the
Petition Date. 

  
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 (aa) “Pre-Petition Obligations” means all Obligations (as such term is defined in the
Existing Loan Agreement) arising at any time before the Petition Date. 
 (bb) “Ratification Agreement” means this Ratification
and Amendment Agreement by and among Borrowers, Guarantors, Agent and Lenders, as the same now exists or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced. 

(cc) “Special Reserve” means a reserve against the Borrowing Base in the amount of $7,500,000, provided, that, at all times upon
and after the entry of the Interim Financing Order and receipt by Administrative Agent of evidence of Borrowers’ right to draw the proceeds of the DIP Term Loan, a reserve against the Borrowing Base in the amount of $9,000,000. 

(dd) “Segregated Operating Account” shall have the meaning ascribed to such term in the DIP Term Loan Agreement (as in effect on
the date hereof). 
 (ee) “Term Loan Lenders” means each of the lenders party to the Term Loan Agreement, as “Lenders”
from time to time. 
  

	 	1.2	Amendments to Definitions. 

 (a) Adjusted Availability. The definition of
“Adjusted Availability” in the Loan Agreement is hereby deleted in its entirety and the following substituted therefor: 

“ ‘Adjusted Availability’ means the lesser of (a) the amount of the Borrowing Base
and (b) the Maximum Revolver Amount minus the Aggregate Revolver Outstandings.” 
 (b) Applicable Margin. The definition
of “Applicable Margin” in the Loan Agreement is hereby deleted in its entirety and the following substituted therefor: 

“ ‘Applicable Margin’ means, with respect to Base Rate Revolving Loans, two percent
(2.00%) and LIBO Rate Revolving Loans, three percent (3.00%), in each case on a per annum basis. 
 (c) Availability. The
definition of “Availability” in the Loan Agreement is hereby deleted in its entirety and the following substituted therefor 

“ ‘Availability’ means, at any time, (a) the lesser of (i) the amount of the
Borrowing Base or (ii) the Maximum Revolver Amount minus (b) the Aggregate Revolver Outstandings.” 
 (d) Borrowing
Base. Clause (b) in the definition of “Borrowing Base” in the Loan Agreement is hereby deleted in its entirety and the following substituted therefor: 

“(b) the following reserves: (i) all reserves which the Administrative Agent or the Collateral
Agent deems necessary in the exercise of its Reasonable Credit Judgment to maintain with 

  
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respect to any Borrower or the Collateral, including without limitation reserves for any amounts which either Agent or any Lender may be obligated to pay in the future for the account of any
Borrower, (ii) the amount of the Special Reserve, (iii) the Bank Product Reserve Amount, and (iv) reserves as may be applicable under the circumstances in connection with the Chapter 11 Case, including reserves in respect of
(A) the amount of any senior Liens or claims in or against the Collateral that, in Administrative Agent’s or Collateral Agent’s good faith determination, have priority over the liens and claims of Administrative Agent and Lenders, and
(B) the amount of priority or administrative expense claims that, in Administrative Agent’s good faith determination, require payment during the Chapter 11 Case.” 

(e) Collateral. All references to the term “Collateral” in the Loan Agreement or the other Loan Documents, or any other term
referring to the security for the Pre-Petition Obligations, shall be deemed, and each such reference is hereby amended to mean, collectively, the Pre-Petition Collateral and the Post-Petition Collateral. 

(f) Debtors. All references to Debtors, including, without limitation, to the terms “Borrower,” “Borrowers,”
“Guarantor” or “Guarantors” in the Loan Agreement or the other Loan Documents shall be deemed, and each such reference is hereby amended, to mean and include the Debtors as defined herein, and their successors and assigns
(including any trustee or other fiduciary hereafter appointed as its legal representative or with respect to the property of the estate of such corporation whether under Chapter 11 of the Bankruptcy Code or any subsequent Chapter 7 case and its
successor upon conclusion of the Chapter 11 Case of such corporation). 
 (g) Eligible Inventory. Clause (h) of the definition
of “Eligible Inventory” in the Loan Agreement is hereby amended by replacing the reference to “$7,500,000” with “$5,000,000.” 

(h) Loan Documents. All references to the term “Loan Documents” in the Loan Agreement or the other Loan Documents shall be
deemed, and each such reference is hereby amended, to include, in addition and not in limitation, this Ratification Agreement and all of the Existing Loan Documents, as ratified, assumed and adopted by each Borrower and Guarantor pursuant to the
terms hereof, as amended and supplemented hereby, and the Financing Order, as each of the same now exists or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced. 

(i) Letter of Credit Sublimit. The definition of “Letter of Credit Sublimit” in the Loan Agreement is hereby deleted in its
entirety and the following substituted therefor: 
 “ ‘Letter of Credit Sublimit’ means $12,500,000.” 

  
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 (j) Loan Agreement. All references to the term “Loan Agreement” in the Loan
Agreement or the other Loan Documents shall be deemed, and each such reference is hereby amended, to mean the Existing Loan Agreement, as amended by this Ratification Agreement and as ratified, assumed and adopted by each Borrower and Guarantor
pursuant to the terms hereof and the Financing Order, as the same now exists or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced. 

(k) Material Adverse Effect. All references to the term “Material Adverse Effect,” “material adverse effect” or
“material adverse change” in the Loan Agreement, this Ratification Agreement or the other Loan Documents shall be deemed, and each such reference is hereby amended, to add at the end thereof: “provided, that, the
commencement of the Chapter 11 Cases and the events and conditions related and/or leading up to and effects thereof shall not constitute a Material Adverse Effect”. 

(l) Obligations. All references to the term “Obligations” in the Loan Agreement, this Ratification Agreement or the other
Loan Documents shall be deemed, and each such reference is hereby amended, to mean both the Pre-Petition Obligations and the Post-Petition Obligations. 

(m) Permitted Liens. The following clauses (x) and (y) are hereby added to the definition of “Permitted Liens”:

 “(x) Liens on the Collateral granted in favor of the DIP Term Loan Agent to secure the DIP Term
Loan Debt, so long as such Liens are subject to the DIP Intercreditor Agreement; and 
 (y) Liens on the
Collateral in respect of the Carve-Out; provided, that, any such Lien on the ABL Priority Collateral, is at all times junior and subordinate in priority and right of payment to the Liens of Administrative Agent in the ABL Priority
Collateral securing all Obligations.” 
 (n) Termination Date. The definition of “Termination Date” in the Loan
Agreement is hereby deleted in its entirety and the following substituted therefor: 
 “
‘Termination Date’ means the earliest to occur of (a) July 31, 2015, (b) thirty (30) days after the entry of the Interim Financing Order if the Permanent Financing Order has not been entered prior to the expiration of
such thirty (30) day period (or such longer period if consented to in writing by the Agent), (c) the effective date of a plan of reorganization filed in the Chapter 11 Cases pursuant to an order entered by the Bankruptcy Court;
provided, that, relative to the treatment of the liens and claims of each the Loan Agreement and the Existing Loan Agreement, such plan and the order confirming such plan are acceptable the Administrative Agent, (d) the
acceleration of the DIP Term Loan Debt or the termination of any commitment thereunder prior to the 

  
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funding of the DIP Term Loan, (e) the date the Bankruptcy Court orders the conversion of the bankruptcy case of any Debtor to a Chapter 7 liquidation, (f) the date the Maximum Revolver
Amount is terminated either by the Borrowers pursuant to Section 4.2 or Section 13.1 or by the Required Lenders pursuant to Section 12.2 or Section 13.1, (g) the date this Agreement is otherwise terminated for any reason
whatsoever (including pursuant to Section 12.2) pursuant to the terms of this Agreement and (h) the acceleration of the Obligations or termination of the Commitments hereunder, including without limitation, as a result of the occurrence of
an Event of Default.” 
 (o) Threshold Amount. The definition of “Threshold Amount” in the Loan Agreement is hereby
deleted in its entirety and the following substituted therefor: 
 “ ‘Threshold Amount’ means $5,000,000.” 

 

	 	1.3	Interpretation. 

 (a) For purposes of this Ratification Agreement, unless otherwise
defined or amended herein, including, but not limited to, those terms used or defined in the recitals hereto, all terms used herein shall have the respective meanings assigned to such terms in the Loan Agreement. 

(b) All references to the terms “Agent,” and “Lenders” shall include their respective successors and assigns. 

(c) All references to the terms “Borrowers”, “Guarantors” or “Debtors” in any of the Existing Loan Documents
shall be deemed and each such reference is hereby amended to mean and include (as applicable) the Debtors, each as defined herein, and their successors and assigns (including any trustee or other fiduciary hereafter appointed as any Debtor’s
legal representative, as applicable, or with respect to any Debtor the property of the estate of such Debtor whether under Chapter 11 of the Bankruptcy Code or any subsequent Chapter 7 case or cases and its successor upon conclusion of the Chapter
11 Case of such Debtor, as the case may be). 
 (d) All references to any term in the singular shall include the plural and all references
to any term in the plural shall include the singular unless the context of such usage requires otherwise. 
 (e) All terms not specifically
defined herein which are defined in the Uniform Commercial Code, as in effect in the State of New York as of the date hereof, shall have the meaning set forth therein, except that the term “Lien” or “lien” shall have the meaning
set forth in § 101(37) of the Bankruptcy Code. 

  
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	 	2.	ACKNOWLEDGMENT. 

 2.1 Pre-Petition Obligations. Each Borrower and Guarantor hereby
acknowledges, confirms and agrees that, as of April 7, 2015, Borrowers are indebted to Agent and Lenders in respect of all Pre-Petition Obligations in the aggregate principal amount of not less than $52,363,383.57, consisting of
(a) Revolving Loans to each Borrower made pursuant to the Existing Loan Documents in the aggregate principal amount of not less than $42,152,772.57, together with interest accrued and accruing thereon, and (b) Letter of Credit Obligations
in the amount of $10,201,611.00, together with interest accrued and accruing thereon, and all costs, expenses, fees (including attorneys’ fees and legal expenses) and (d) other charges now or hereafter owed by Borrowers to Agent and
Lenders, all of which are unconditionally owing by Borrowers to Agent and Lenders, without offset, defense or counterclaim of any kind, nature and description whatsoever. 

2.2 Guaranteed Obligations. Each Guarantor hereby acknowledges, confirms and agrees that: 

(a) all obligations of such Guarantors under the Guarantor Documents are unconditionally owing by such Guarantor to Agent and Lenders without
offset, defense or counterclaim of any kind, nature and description whatsoever, and 
 (b) the absolute and unconditional guarantee of the
payment of the Pre-Petition Obligations by such Guarantor pursuant to the Guarantor Documents extends to all Post-Petition Obligations, subject only to the limitations set forth in the Guarantor Documents. 

2.3 Acknowledgment of Security Interests. Each Borrower and Guarantor hereby acknowledges, confirms and agrees that Agent, for the
benefit of itself and the other Lenders, has and shall continue to have valid, enforceable and perfected first priority and senior security interests in and liens upon all Pre-Petition Collateral heretofore granted to Agent and Lenders pursuant to
the Existing Loan Documents as in effect immediately prior to the Petition Date to secure all of the Obligations, as well as valid and enforceable first priority and senior security interests in and liens upon all Post-Petition Collateral granted to
Agent, for the benefit of itself and the other Lenders, under the Financing Order or hereunder or under any of the other Loan Documents or otherwise granted to or held by Agent and Lenders, in each case, subject only to liens or encumbrances
expressly permitted by the Loan Agreement (including, without limitation, Permitted Liens) and any other liens or encumbrances expressly permitted by the Financing Order that may have priority over the liens in favor of Agent and Lenders. 

2.4 Binding Effect of Documents. Each Borrower and Guarantor hereby acknowledges, confirms and agrees that: (a) each of the
Existing Loan Documents to which it is a party was duly executed and delivered to Agent and Lenders by such Borrower or Guarantor and each is in full force and effect as of the date hereof, (b) the agreements and obligations of such Borrower or
Guarantor contained in the Existing Loan Documents constitute the legal, valid and binding obligations of such Borrower or Guarantor enforceable against it in accordance with the terms thereof, and such Borrower or Guarantor has no valid defense,
offset or counterclaim to the enforcement of such obligations, and (c) Agent and Lenders are and shall be entitled to all of the rights, remedies and benefits provided for in (i), subject to the entry and terms of the Financing Orders, the Loan
Documents and (ii) the Financing Order. 

  
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	 	3.	ADOPTION AND RATIFICATION. 

 Each Borrower and Guarantor hereby (a) ratifies,
assumes, adopts and agrees to be bound by all of the Existing Loan Documents to which it is a party and (b) agrees to pay all of the Pre-Petition Obligations in accordance with the terms of such Existing Loan Documents, as amended by this
Ratification Agreement, and in accordance with the Financing Order. All of the Existing Loan Documents are hereby incorporated herein by reference and hereby are and shall be deemed adopted and assumed in full by Borrowers and Guarantors, each as
Debtor and Debtor-in-Possession, and considered as agreements between such Borrowers or Guarantors, on the one hand, and Agent and Lenders, on the other hand. Each Borrower and Guarantor hereby ratifies, restates, affirms and confirms all of the
terms and conditions of the Existing Loan Documents, as amended and supplemented pursuant hereto and the Financing Order, and each Borrower and Guarantor agrees to be fully bound, as Debtor and Debtor-in-Possession, by the terms of the Loan
Documents to which such Borrower or Guarantor is a party. 
  

	 	4.	GRANT OF SECURITY INTEREST. 

 As collateral security for the prompt performance,
observance and payment in full of all of the Obligations (including the Pre-Petition Obligations and the Post-Petition Obligations), Borrowers and Guarantors, each as Debtor and Debtor-in-Possession, hereby grant, pledge and assign to the Collateral
Agent, for the benefit of itself and the other Secured Parties, and also confirm, reaffirm and restate the prior grant to Collateral Agent and the other Secured Parties of, continuing security interests in and liens upon, and rights of setoff
against, all of the Collateral. 
  

	 	5.	ADDITIONAL REPRESENTATIONS, WARRANTIES AND COVENANTS. 

 In addition to the continuing
representations, warranties and covenants heretofore and hereafter made by Borrowers and Guarantors to Agent and Lenders, whether pursuant to the Loan Documents or otherwise, and not in limitation thereof, each Borrower and Guarantor hereby
represents, warrants and covenants to Agent and Lenders the following (which shall survive the execution and delivery of this Ratification Agreement), the truth and accuracy of which, or compliance with, to the extent such compliance does not
violate the terms and provisions of the Bankruptcy Code, shall be a continuing condition of the making of Revolving Loans by Agent and Lenders: 

5.1 Financing Order. The Interim Financing Order (and, following the expiration of the Interim Financing Period defined therein, the
Permanent Financing Order) has been duly entered, is valid, subsisting and continuing and has not been vacated, modified, reversed on appeal, or vacated or modified by any order of the Bankruptcy Court (other than as consented to by Agent) and is
not subject to any pending appeal or stay. 
 5.2 Use of Proceeds. All Revolving Loans and Letters of Credit provided by
Administrative Agent or any Lender to Borrowers pursuant to the Financing Orders, the Loan Agreement or otherwise, shall be used by Debtors and their Subsidiaries and for general operating and working capital purposes in the ordinary course of
business of the Debtors and 

  
 12 

 
their Subsidiaries in accordance with the Budget pursuant to Section 5.3 of this Ratification Agreement; for the avoidance of doubt, no proceeds of the Revolving Loans or any Letters of
Credit shall be used to fund or ensure that adequate funds are set aside for or available to fund the Carve-Out obligations. Unless authorized by the Bankruptcy Court and approved by Agent in writing, no portion of any administrative expense claim
or other claim relating to the Chapter 11 Cases shall be paid with the proceeds of such Revolving Loans or Letters of Credit provided by Agent and Lenders to Borrowers, other than those administrative expense claims and other claims relating to the
Chapter 11 Cases directly attributable to the operation of the business of any Borrower or Guarantor in the ordinary course of such business in accordance with the Loan Documents. 

 

	 	5.3	Budget. 

 (a) Borrowers have prepared and delivered to Administrative Agent and Lenders
a fourteen (14) week post-petition Budget. The Budget has been thoroughly reviewed by the Borrowers and their management and sets forth, for the periods covered thereby, projected weekly cash receipts, disbursements, net cash flow, net sales,
eligible accounts, eligible inventory, payable float, loans and availability for each week of the fourteen (14) consecutive week period commencing with the week ending April 17, 2015. 

(b) Not later than 11:59 p.m. (Eastern time) on the Wednesday of each week commencing on April 22, 2015, Borrowers shall furnish to
Administrative Agent, in form and substance satisfactory to Administrative Agent, a report in form satisfactory to the Administrative Agent (the “Budget Compliance Report”) that (i) sets forth for the immediately preceding week and on
a cumulative, weekly roll-forward basis through the end of such week the actual results for the following items: (A) net cash flow, (B) excess availability, and (C) loan balance, noting therein variances from values set forth for such
periods in the Budget, and (ii) an explanation for all material variances, certified by the chief financial officer of the Borrowers. Such report/reconciliation shall also note any variances with values set forth in the Budget as of the day of
such report/reconciliation. 
 (c) Each Debtor acknowledges, confirms and agrees that, for each period measured in a Budget Compliance
Report in accordance with Section 5.3(b) of this Ratification Agreement, the actual “Net Cash Flow (Deficit)” excluding “Bankruptcy Professional Fees” (measured on a cumulative, weekly roll-forward basis) shall not vary more
than fifteen percent (15%) from the “Net Cash Flow (Deficit)” excluding “Bankruptcy Professional Fees” set forth in the Budget in respect of such period (measured on a cumulative, weekly roll-forward basis). 

(d) Each Debtor hereby confirms, acknowledges and agrees that, unless waived in writing by Administrative Agent, (i) a failure to
maintain the deviations in the Budget in an amount equal to or less than the percentage set forth in Section 5.3(c) hereof shall constitute a material deviation from the Budget and an additional Event of Default (each, a “Material Budget
Deviation”) and (ii) the failure to deliver any reports with respect to any Budget, in form and substance satisfactory to Administrative Agent, as provided in Section 5.3(b) hereof shall constitute an Event of Default. Notwithstanding
any approval by Administrative Agent or any Lender of the Budget or any subsequent or amended Budget(s), 

  
 13 

 
Agent and Lenders will not, and shall not be required to, provide any Revolving Loans or Letters of Credit to Borrower pursuant to the Budget, but shall only provide Revolving Loans and Letters
of Credit in accordance with the terms and conditions set forth in the Loan Agreement as amended by this Ratification Agreement, the other Loan Documents and the Financing Order. Agent and Lenders are relying upon the Borrowers’ delivery of,
and compliance with, the Budget in accordance with this Section 5.3 in determining to enter into the post-petition financing arrangements provided for herein. 

(e) Notwithstanding any projected amounts set forth in the Budget relating to the costs and expenses of Agent and the other Secured Parties
that are reimbursable by Borrowers or any other amounts owing by Borrowers to Agent and the Secured Parties (including, without limitation reasonable attorneys and consulting fees and expenses) in accordance with the Loan Agreement and the other
Loan Documents, such projections shall not limit, impair, modify or waive the Loan Parties’ obligation to pay the actual amounts due to Agent and/or the other Secured Parties in respect of such costs, expenses and other amounts owing to Agent
and Lenders in accordance with the Loan Agreement and the other Loan Documents. 
  

	 	5.4	[Reserved]. 

 5.5 Ratification of Deposit Account Control Agreement. To the extent
Agent deems it necessary in its reasonable discretion and upon Agent’s request, Borrowers and Guarantor shall promptly provide Agent with evidence, in form and substance satisfactory to Agent, that the Deposit Account Control Agreement (as
defined in the Financing Order) and other deposit account arrangements provided for under Section 6.9 of the Loan Agreement have been ratified and amended by the parties thereto, or their respective successors in interest to reflect the
commencement of the Chapter 11 Cases, that each Borrower and each Guarantor, as Debtor and Debtor-in-Possession, is the successor in interest to such Borrower or Guarantor, that the Obligations include both the Pre-Petition Obligations and the
Post-Petition Obligations, that the Collateral includes both the Pre-Petition Collateral and the Post-Petition Collateral as provided for. 

5.6 ERISA. Each Borrower and Guarantor hereby represents and warrants with, to and in favor of Agent and Lenders that (a) there
are no liens, security interests or encumbrances upon, in or against any assets or properties of any Borrower or Guarantor arising under ERISA, whether held by the Pension Benefit Guaranty Corporation (the “PBGC”) or the contributing
sponsor of, or a member of the controlled group thereof, any pension benefit plan of any Borrower or Guarantor and (b) no notice of lien has been filed by the PBGC (or any other Person) pursuant to ERISA against any assets or properties of any
Borrower or Guarantor. 
 5.7 Carve-Out. The Carve-Out shall be junior and subordinate in priority and the right of payment to the
right to payment and liens granted to Administrative Agent and Lenders in the ABL Priority Collateral securing all Obligations. 

  
 14 

	 	6.	DIP FACILITY FEE. 

 Borrowers shall pay to Agent, for the account of Lenders on a pro
rata basis according to their respective Commitments, a debtor-in-possession financing facility fee, in the amount of $90,000, on account of the financing provided by Agent and Lenders to Borrowers in the Chapter 11 Cases, which fee shall be fully
earned and due and payable on the date hereof and which may be charged directly to the loan account of any Borrower maintained by Agent. 
  

	 	7.	AMENDMENTS. 

 7.1 Increase in Maximum Revolver Amount. Section 2.5 of the
Loan Agreement is hereby by deleted in its entirety and the following substituted therefor: 
 “2.5 Increase in
Maximum Revolver Amount. Intentionally deleted.” 
 7.2 Limits and Sublimits. Section 2 of the Loan Agreement is hereby
amended by adding the following new Section 2.6 at the end of such Section: 
 “2.6 Limit and
Sublimit Construction. All limits and sublimits set forth in this Agreement, and any formula or other provision to which a limit or sublimit may apply, shall be determined on an aggregate basis considering together both the Pre-Petition
Obligations and the Post-Petition Obligations.” 
 7.3 Payments. Section 4.4 of the Loan Agreement is hereby amended by
adding the following at the end of such Section: 
 “Without limiting the generality of the foregoing,
Administrative Agent may, in its discretion, apply any such payments or proceeds first, to the Pre-Petition Obligations until such Pre-Petition Obligations are paid and satisfied in full and second, to the Post-Petition Obligations
until such Post-Petition Obligations are paid and satisfied in full.” 
 7.4 Appraisals. Section 6.5 of the Loan Agreement
is hereby deleted in its entirety and the following substituted therefor: 
 “Section 6.5
Appraisals. Not more frequently than three (3) times (with respect to each category of Collateral) during any twelve (12) month period at the Agents’ request, the Loan Parties shall, at their expense and upon such Agent’s
request, provide the Agents with appraisals or updates for each category of the Collateral from credentialed appraisers, and prepared in a form and on a basis, reasonably satisfactory to the Agents, such appraisals and updates to include, without
limitation, information required by Requirements of Law and by the internal policies of the Agents and Lenders, and such other appraisals as Agents may request at any time an Event of Default exists or has occurred and is continuing at the expense
of Loan Parties or otherwise at any other times at the expense of Agents and Lenders.” 

  
 15 

 7.5 Field Examinations. Section 6.6(a) of the Loan Agreement is hereby amended by
deleting the fourth sentence thereof and the following substituted therefor: 
 “The Collateral Agent
shall have the right, at any time, in the Collateral Agent’s name or in the name of a nominee of the Collateral Agent, (i) to verify the validity, amount, or any other matter relating to the Accounts, Inventory, or other Collateral, by
mail, telephone, or otherwise of up to (10) Accounts each month and (ii) to conduct not more than three (3) field examinations (in addition to the appraisals referred to in Section 6.5) in any twelve (12) month period at the
expense of Borrowers; except, that, (A) at any time that an Availability Trigger Event has occurred and is continuing (other than due to the occurrence of an Event of Default), the Collateral Agent may conduct not more than four (4) field
examinations during any twelve (12) month period at the expense of Borrowers, (B) at any time an Event of Default exists or has occurred and is continuing Agents may conduct as many field examinations at the expense of Loan Parties, as
Agents may require; provided, that, notwithstanding the limitations set forth in clauses (A) and (B) above Agents may conduct more than the number of field examinations provided therein at Agents and Lenders expense. Notwithstanding
anything to the contrary set forth in Sections 6.5 and 6.6 hereof, Agents shall have the right to conduct at least one field examination and one appraisal during the Chapter 11 Case, at the expense of Borrowers.” 

7.6 Collection of Accounts; Payments. The first sentence of Section 6.9(a) of the Loan Agreement is hereby deleted and the
following substituted therefor: 
 “The Borrowers shall maintain a Payment Account (the “Payment
Account”) with Wells Fargo Bank, National Association into which all Account collections of the Loan Parties and proceeds of the ABL Priority Collateral shall be deposited, and shall also establish and maintain all zero balance, payroll and
credit card accounts with Wells Fargo Bank, National Association (together with the Primary Payment Account, the “Primary Accounts”).” 

7.7 Additional Financial Reporting Requirements. Section 7.2 of the Loan Agreement is hereby amended by adding the following new
Sections 7.2(m) and (n): 
 “(m) Each Loan Party shall also provide Administrative Agent and Lenders
with copies of all financial reports, schedules and other materials and information at any time furnished by or on 

  
 16 

 
behalf of any Loan Party to the Bankruptcy Court, or the U.S. Trustee or to any creditors’ committee or such Loan Party’s shareholders, substantially concurrently with the delivery
thereof to the Bankruptcy Court, creditors’ committee, U.S. Trustee or shareholders, as the case may be; and 

(n) Borrowers shall provide Administration Agent with copies of each Committed Loan Notice (as such term is
defined in the DIP Term Loan Agreement) and each Withdrawal Notice (as such term is defined in the DIP Term Loan Agreement) delivered by Loan Parties under the DIP Term Loan Agreement.” 

7.8 Mergers, Consolidations, Sales, Acquisitions. Notwithstanding anything to the contrary contained in Section 10.1 of the Loan
Agreement or any other provision of the Loan Agreement or any of the other Loan Document, the Loan Parties will not, and will not be permitted to engage in any of the mergers, consolidations, sales, acquisitions, dispositions or other transactions
otherwise permitted pursuant to clauses 10.1(a) through (j) thereof (other those permitted pursuant to clauses (d)(i), (vi) through (ix), (xiv), (e) and (f), to the extent such transactions are specifically set forth in the Budget and
subject to the terms of the DIP Intercreditor Agreement. 
 7.9 Distributions; Restricted Investments. Notwithstanding anything to
the contrary contained in Section 10.2 of the Loan Agreement or any other provision of the Loan Agreement or any of the other Loan Documents, the Loan Parties will not, and will not permit any Subsidiary, after the date hereof, to make any
Distribution or Investment permitted in Section 10.2 of the Loan Agreement, except for Distributions permitted by Subsections 10.2(a)(viii), (xi)(so long as any such Distributions are not made to Holdings) and (xvii)(A) and (B), to the extent
specifically set forth in the Budget. 
 7.10 DIP Term Loan Debt. Section 10.5(w) of the Loan Agreement is hereby deleted in its
entirety and the following substituted therefor: 
 “(w) Debt incurred under the DIP Term Loan Facility in an aggregate principal amount
at any time outstanding not to exceed $40,000,000, all on the terms and conditions set forth in the DIP Term Loan Documents (as in effect on the date hereof); provided, that all amounts repaid may not be reborrowed and the DIP Intercreditor
Agreement is in full force and effect.” 
 7.11 Debt. Notwithstanding anything to the contrary contained in Section 10.5 of
the Loan Agreement or any other provision of the Loan Agreement or any of the other Loan Documents, the Loan Parties will not, and will not permit any Subsidiary, after the date hereof, to, create, incur, assume, suffer to exist, guarantee, or
otherwise become or remain, directly or indirectly, liable with respect to any Debt for borrowed money (other than the PBGC Note, Debt incurred pursuant to the Loan Agreement and the other Loan Documents and DIP Term Loan Debt pursuant to
Section 10.5(w) of the Loan Agreement and subject to the DIP Intercreditor Agreement), without in each case the prior written consent of Administrative Agent and Collateral Agent (and no such consent shall be implied, from any other action,
inaction or 

  
 17 

 
acquiescence by Administrative Agent, Collateral Agent or any Lender); for the avoidance of doubt, the outstanding amount of the Term Loan Debt on the date hereof is approximately
$248,550,836.24, plus accrued but unpaid interest and other unpaid fees, charges, costs and expenses as required under the Term Loan Documents, and no additional Debt other than fees and expenses may be incurred under the Term Loan Documents after
the date hereof. 
 7.12 Liens. Notwithstanding anything to the contrary contained in Section 10.10 of the Loan Agreement or any
other provision of the Loan Agreement or any of the other Loan Documents, the Loan Parties will not, and will not permit any Subsidiary, after the date hereof, to, create, incur, assume or suffer to exist, directly or indirectly, any Lien on or with
respect to any of its assets, of any kind, whether now owned or hereafter acquired, or any income or profits therefrom (other than (a) Permitted Liens existing on the Petition Date and (b) Liens securing the Obligations, without in each
case the prior written consent of the Administrative Agent (and no such consent shall be implied, from any other action, inaction or acquiescence by Agent or any other Secured Party). 

7.13 Prepayments and Amendments. Notwithstanding anything to the contrary contained in Section 10.6 of the Loan Agreement or any
other provision of the Loan Agreement or any of the other Loan Documents, the Loan Parties will not, and will not permit any Subsidiary, after the date hereof, to make any payment on account of, or optionally prepay, redeem, defease, purchase, or
otherwise acquire, Debt (other than (i) the Obligations and (ii) regularly scheduled and mandatory payments of interest and principal in respect of the DIP Term Loan Debt in accordance with the DIP Term Loan Agreement, in accordance with
the Budget and subject to the DIP Intercreditor Agreement) without in each case the prior written consent of the Administrative Agent and the Collateral Agent (and no such consent shall be implied, from any other action, inaction or acquiescence by
Administrative Agent, the Collateral Agent or any Lender). 
 7.14 Capital Expenditures. Section 10.13 of the Loan Agreement is
hereby deleted in its entirety and the following substituted thereof: 
 “10.13 Capital
Expenditures. On or after the effective date of the Ratification Agreement, no Loan Party shall make or become legally obligated to make any Capital Expenditure, except for Capital Expenditures not exceeding, in the aggregate for all Loan
Parties and their Subsidiaries, an amount equal to the lesser of (a) $2,300,000 and (b) capital expenditures set forth in the Budget through the Termination Date.” 

7.15 Fixed Charge Coverage Ratio. Section 10.14 of the Loan Agreement is hereby by deleted in its entirety and the following
substituted therefor: 
 “10.14 Fixed Charge Coverage Ratio. Intentionally deleted.” 

  
 18 

 7.16 Events of Default. Section 10.1 of the Loan Agreement is hereby amended as
follows: 
 (a) Section 12.1(d) of the Loan Agreement is hereby by deleted in its entirety and the following substituted therefor:

 “(d) (i) Any Loan Party (A) fails to make any payment when due, after lapse of all applicable grace, cure or
notice periods (whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise), in respect of any Debt (other than Debt under the Loan Documents and Debt under Swap Contracts) having an aggregate original principal amount of
more than the Threshold Amount or (B) fails to observe or perform any other agreement or condition relating to any such Debt or contained in any instrument or agreement evidencing or securing such Debt, or any other event occurs, in each case,
and continues, after any applicable grace, cure or notice period, the effect of which default or other event is to cause, or to permit, after lapse of all applicable grace, cure or notice periods, the holder or holders of such Debt (or a trustee or
agent on behalf of such holder or holders) to cause, with the giving of notice if required, such Debt or to become due or to be repurchased, prepaid, defeased or redeemed (automatically or otherwise), or an offer to repurchase, prepay, defease or
redeem such Debt to be made, in each case, prior to its stated maturity; or (ii) there occurs under any Swap Contract an Early Termination Date (as defined, or as such comparable term may be used and defined, in such Swap Contract) resulting
from (A) any event of default under such Swap Contract as to which any Borrower or any of its Subsidiaries is the “Defaulting Party” (as defined, or as such comparable term may be used and defined, in such Swap Contract) or
(B) any “Termination Event” (as defined, or as such comparable term may be used and defined, in such Swap Contract) under such Swap Contract as to which any Borrower or any of its Subsidiaries is an Affected Party (as defined, or as
such comparable term may be used and defined, in such Swap Contract) and, in either event, the Swap Termination Value owed by such Borrower or such Subsidiary as a result thereof is greater than the Threshold Amount.” 

(b) Section 12.1(e) of the Loan Agreement are hereby amended to delete all references to “any Loan Party” and substitute
“any obligor (other than Debtors)” therefor. 
 (c) Section 12.1 of the Loan Agreement is hereby amended by
(i) deleting the reference to the word “or” at the end of Section 10.1(o), (ii) replacing the period appearing at the end of Section 12.1(p) with a semicolon, and (iii) adding the following: 

“(q) the occurrence of any condition or event which permits Administrative Agent and Lenders to exercise
any of the remedies set forth in the Financing Order, including, without limitation, any “Event of Default” (as defined in any Financing Order); 

  
 19 

 (r) the termination or non-renewal of the Loan Documents as
provided for in any Financing Order; 
 (s) any Loan Party suspends or discontinues or is enjoined by any
court or governmental agency from continuing to conduct all or any material part of its business, or a trustee or examiner with expanded powers is appointed for any Loan Party, or any of their respective properties; 

(t) any act, condition or event occurring after the Petition Date that has or would reasonably expect to have
a Material Adverse Effect upon the assets of the Loan Parties (taken as a whole), or the Collateral or the rights and remedies of Administrative Agent and Lenders under the Loan Agreement or any other Loan Documents or any Financing Order; 

(u) conversion of any Chapter 11 Case to a Chapter 7 case under the Bankruptcy Code; 

(v) dismissal of any Chapter 11 Case or any subsequent Chapter 7 case either voluntarily or involuntarily;

 (w) grant of a lien on or other interest in any property of any Loan Party, other than a Permitted Lien
or a lien or encumbrance permitted by any Financing Order, which is superior to or ranks in parity with any Agent’s security interest in or lien upon the Collateral; 

(x) the grant of an administrative expense claim in any Chapter 11 Case which is superior to or ranks in
parity with the rights of the Administrative Agent (other than administrative expense claim permitted by any Financing Order or the Ratification Agreement, the Carve-Out and the claims under the DIP Term Loan Credit Facility to the extent set forth
herein); 
 (y) the failure of Borrowers or Guarantors to comply with any Financing Order or any Financing
Order shall be modified, reversed, revoked, remanded, stayed, rescinded, vacated or amended on appeal or by the Bankruptcy Court without the prior written consent of Administrative Agent (and no such consent shall be implied from any other
authorization or acquiescence by Administrative Agent or any Lender); 
 (z) the appointment of a trustee
pursuant to Sections 1104(a)(1) or 1104(a)(2) of the Bankruptcy Code; 

  
 20 

 (aa) the appointment of an examiner with special powers
pursuant to Section 1104(a) of the Bankruptcy Code; 
 (bb) the filing of a plan of reorganization or
liquidation by or on behalf of any Loan Party, to which Administrative Agent has not consented in writing, which does not provide for payment in full of all Obligations on the effective date thereof in accordance with the terms and conditions
contained herein; 
 (cc) the confirmation of any plan of reorganization or liquidation in the Chapter 11
Case of any Loan Party, to which Administrative Agent has not consented to in writing, which does not provide for payment in full of all Obligations on the effective date thereof in accordance with the terms and conditions contained herein; 

(dd) the filing of a motion by any Debtor (or any Affiliate) that is not dismissed or denied within thirty
(30) days after the date of filing such motion seeking, or the entry of any order permitting, recovery from any portion of the Collateral (or from Agent or any of the Lenders directly) any costs or expenses of preserving or disposing of the
Collateral under section 506(c) or section 552(b) of the Bankruptcy Code (or otherwise); 
 (ee) if, for
whatever reason and at any time, the Board of Directors of any Debtor as of the Petition Date should fail to have the full and exclusive right and control over the business and affairs of such Debtor and all decisions affecting the business and
affairs of such Debtor, in each case subject only to (a) the power and authority of the Bankruptcy Court in the Chapter 11 Cases and (b) any provision of applicable law that limits the director or directors of such Debtor from having the
full and exclusive right or control; 
 (ff) any Material Budget Deviation, as defined in
Section 5.3(d) of the Ratification Agreement; 
 (gg) a determination by the DIP Term Loan Agent or
otherwise in accordance with the DIP Term Loan Documents, after delivery by Borrowers of a Notice of Withdrawal (as such term is defined in the DIP Term Loan Agreement, as in effect on the date hereof) that Borrowers have failed to satisfy the
conditions set forth in the DIP Term Loan Agreement required with respect to any periodic Withdrawal (as such term is defined in the DIP Term Loan Agreement in effect on the date hereof) of funds from the DIP Term Loan Funding Account; 

  
 21 

 (hh) any future proceedings which may develop out of any such
cases, including liquidation in bankruptcy, shall have been entered within five (5) days after the commencement of the Chapter 11 Case and be in full force and effect and not have been vacated, reversed, modified, amended or stayed and not be
subject to a pending appeal or motion for leave to appeal or other proceeding to set aside such order or challenge to the relief provided for in it, except as consented to in writing by Administrative Agent; or 

(ii) the Term Borrowing (as such term is defined in the DIP Term Loan Agreement, as in effect on the date
hereof) shall not have been deposited into the DIP Term Loan Funding Account within two (2) Business Days following the earlier of (1) the delivery of the Committed Loan Notice as such term is defined in the DIP Term Loan Agreement (as in
effect on the date hereof) by the Borrower and (2) two (2) Business Days after the entry of the Interim Financing Order. ” 

7.17 Right to Cure. Section 12.3 of the Loan Agreement is hereby by deleted in its entirety and the following substituted
therefor: 
 “12.3 Right to Cure. Intentionally deleted.” 

7.18 Governing Law; Choice of Forum; Service of Process; Jury Trial Waiver. Section 16.3(a) of the Loan Agreement is hereby
amended by deleting the period and adding the following at the end thereof: 
 “EXCEPT TO THE EXTENT THAT THE PROVISIONS OF THE
BANKRUPTCY CODE ARE APPLICABLE AND SPECIFICALLY CONFLICT WITH THE FOREGOING.” 
 7.19 Notices. Section 16.8 of the Loan
Agreement is hereby amended by adding that any notices, requests and demands also be sent to the following parties: 
  

			
	If to Agent:		 Wells Fargo Bank, National Association
 100
Park Avenue, 14th Floor
 New York, NY 100017

Attention: Guido Cuomo
 Telephone No.: 212-545-4482

Telecopy No.: 855-434-1989

		
	with a copy to:		 Otterbourg P.C.
 230 Park Avenue

New York, New York 10169
 Telephone No.: 212-661-9100

Facsimile No.: 212-682-6104
 Attn: Jonathan N. Helfat,
Esq.

  
 22 

	 	8.	RELEASE. 

  

	 	8.1	Release of Pre-Petition Claims. 

 (a) Upon the earlier of (i) the entry of the
Permanent Financing Order or (ii) the entry of an Order extending the term of the Interim Financing Order beyond thirty (30) calendar days after the date of the Interim Financing Order, in consideration of the agreements of Agent and
Lenders contained herein and the making of any Revolving Loans by Agent and Lenders, each Loan Party, pursuant to the Loan Agreement, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, on
behalf of itself and its respective successors, assigns, and other legal representatives, hereby absolutely, unconditionally and irrevocably releases, remises and forever discharges Agent, each Lender and their respective successors and assigns, and
their present and former shareholders, affiliates, subsidiaries, divisions, predecessors, directors, officers, attorneys, employees and other representatives (Agent, each Lender and all such other parties being hereinafter referred to collectively
as the “Releasees” and individually as a “Releasee”), of and from all demands, actions, causes of action, suits, covenants, contracts, controversies, agreements, promises, sums of money, accounts, bills, reckonings, damages and
any and all other claims, counterclaims, defenses, rights of set-off, demands and liabilities whatsoever (individually, a “Pre-Petition Released Claim” and collectively, “Pre-Petition Released Claims”) of every name and nature,
known or unknown, suspected or unsuspected, both at law and in equity, which any Borrower or Guarantor, or any of their respective successors, assigns, or other legal representatives may now or hereafter own, hold, have or claim to have against the
Releasees or any of them for, upon, or by reason of any nature, cause or thing whatsoever which arises at any time on or prior to the day and date of this Agreement, including, without limitation, for or on account of, or in relation to, or in any
way in connection with the Loan Agreement, as amended and supplemented through the date hereof, and the other Loan Documents. 
 (b) Upon
the earlier of (i) the entry of the Permanent Financing Order or (ii) the entry of an Order extending the term of the Interim Financing Order beyond thirty (30) calendar days after the date of the Interim Financing Order, each Loan
Party, on behalf of itself and its successors, assigns, and other legal representatives, hereby absolutely, unconditionally and irrevocably, covenants and agrees with each Releasee that it will not sue (at law, in equity, in any regulatory
proceeding or otherwise) any Releasee on the basis of any Pre-Petition Released Claim released, remised and discharged by each Borrower and Guarantor pursuant to this Section 8.1. If any Loan Party violates the foregoing covenant, Loan Parties
agree to pay, in addition to such other damages as any Releasee may sustain as a result of such violation, all attorneys’ fees and costs incurred by any Releasee as a result of such violation. 

8.2 Release of Post-Petition Claims. Upon (a) the receipt by Agent, on behalf of itself and the other Lenders, of payment in full
of all Obligations in cash or other immediately available funds, plus cash collateral or other collateral security acceptable to Agent to secure any Obligations that survive or continue beyond the termination of the Loan Documents, and (b) the
termination of the Loan Documents (the “Payment Date”), in consideration of the agreements of Agent and Lenders contained herein and the making of any Revolving Loans by Agent and 

  
 23 

 
Lenders, each Loan Party hereby covenants and agrees to execute and deliver in favor of Agent and Lenders a valid and binding termination and release agreement, in form and substance satisfactory
to Agent. If any Loan Party violates such covenant, Loan Parties agree to pay, in addition to such other damages as any Releasee may sustain as a result of such violation, all attorneys’ fees and costs incurred by any Releasee as a result of
such violation. 
  

	 	8.3	Releases Generally. 

 (a) Each Loan Party understands, acknowledges and agrees that the
releases set forth above in Sections 8.1 and 8.2 hereof may be pleaded as a full and complete defense and may be used as a basis for an injunction against any action, suit or other proceeding which may be instituted, prosecuted or attempted in
breach of the provisions of such releases. 
 (b) Each Loan Party agrees that no fact, event, circumstance, evidence or transaction which
could now be asserted or which may hereafter be discovered shall affect in any manner the final and unconditional nature of the releases set forth in Section 8.1 hereof and, when made, Section 8.2 hereof. 

 

	 	9.	CONDITIONS PRECEDENT. 

 In addition to any other conditions contained herein or the Loan
Agreement, as in effect immediately prior to the Petition Date, with respect to the Revolving Loans and other financial accommodations available to Borrowers (all of which conditions, except as modified or made pursuant to this Ratification
Agreement shall remain applicable to the Revolving Loans and be applicable to other financial accommodations available to Borrowers), the following are conditions to Agent’s and Lenders’ obligation to extend further loans, advances or
other financial accommodations to Borrowers pursuant to the Loan Agreement: 
 9.1 Borrowers and Guarantors shall furnish to Agent and
Lenders all financial information, projections, budgets, business plans, cash flows and such other information as Agent and Lenders shall reasonably request from time to time; 

9.2 as of the Petition Date, the Existing Loan Documents shall not have been terminated; 

9.3 Loan Parties shall have commenced a voluntary case under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the
District of Delaware by no later than April 7, 2015. Loan Parties shall have complied in full with the notice and other requirements of the Bankruptcy Code in a manner reasonably acceptable to Agent and its counsel, with respect to the Interim
Financing Order) and Agent shall have received such evidence thereof as it shall reasonably require. All of the first day orders entered by the Bankruptcy Court at the time of the commencement of the Chapter 11 Case shall be in form and substance
reasonably satisfactory to Agent; 
 9.4 no trustee or examiner with expanded powers shall have been appointed or designated with respect to
any Borrower or Guarantor, as Debtor and Debtor-in-Possession, or its respective business, properties and assets and no motion or proceeding shall be pending seeking such relief; 

  
 24 

 9.5 the Interim Financing Order or other Order(s) of the Bankruptcy Court shall ratify and amend
the cash management arrangements of Borrowers and Guarantors to reflect the commencement of the Chapter 11 Cases, that each Debtor, as Debtor and Debtor-in-Possession, is the successor in interest to such Borrower or Guarantor, as the case may be,
that the Obligations include both the Pre-Petition Obligations and the Post-Petition Obligations, that the Collateral includes both the Pre-Petition Collateral and the Post-Petition Collateral as provided for in this Ratification Agreement; 

9.6 the execution and delivery of this Ratification Agreement to be delivered in connection herewith by Borrowers and Guarantors in form and
substance satisfactory to Agent; 
 9.7 the execution or delivery to Agent and Lenders of all other Loan Documents, and other agreements,
documents and instruments which, in the good faith judgment, of Agent are necessary or appropriate. The implementation of the terms of this Ratification Agreement and the other Loan Documents, as modified pursuant to this Ratification Agreement, all
of which contains provisions, representations, warranties, covenants and Events of Default, as are satisfactory to Agent and its counsel; 

9.8 satisfactory review by counsel for Agent of legal issues attendant to the post-petition financing transactions contemplated hereunder;

 9.9 Each Borrower and Guarantor shall comply in full with the notice and other requirements of the Bankruptcy Code and the applicable
Bankruptcy Rules with respect to any relevant Financing Order in a manner prescribed by the Bankruptcy Code and the applicable Bankruptcy Rules, and an Interim Financing Order shall have been entered by the Bankruptcy Court (the “Interim
Financing Order”) acceptable to Agent and its counsel, and the Interim Financing Order authorizing the secured financing under the Loan Documents as ratified and amended hereunder on the terms and conditions set forth in this Ratification
Agreement and, among other things, modifying the automatic stay, authorizing and granting the senior security interest in liens in favor of Agent and Lenders described in this Ratification Agreement and in the Interim Financing Order, the Permanent
Financing Order and granting super-priority expense claims to Agent and Lenders with respect to all obligations due Agent and Lenders, subject to no priority claim or administrative expenses of the Chapter 11 Case or any other entity (other than the
Carve-Out and the super-priority administrative claim in respect of the DIP Term Loan Facility to the extent provided in the Ratification Agreement). The Financing Orders shall authorize post-petition financing under the terms set forth in this
Ratification Agreement in an amount acceptable to Administrative Agent and Lenders, in their sole discretion, and it shall contain such other terms or provisions as Administrative Agent and its counsel shall require; 

9.10 Reserved; 
 9.11 with
respect to further credit after expiration of the Interim Financing Order, on or before the expiration of the Interim Financing Order, the Bankruptcy Court shall have entered a Permanent Financing Order authorizing the secured financing on the terms
and conditions set forth in this Ratification Agreement, granting to Agent and Lenders the senior security interests and liens described above and super-priority administrative expense claims 

  
 25 

 
described above (except as otherwise specifically provided in the Interim Financing Order), and modifying the automatic stay and other provisions required by Agent and its counsel
(“Permanent Financing Order”). Neither Agent nor any Lender shall provide any Revolving Loans (or other financial accommodations) other than those authorized under the Interim Financing Order unless, on or before the expiration of the
Interim Financing Order, the Permanent Financing Order shall have been entered, and there shall be no appeal or other contest with respect to either the Interim Financing Order or the Permanent Financing Order and the time to appeal to contest such
order shall have expired; 
 9.12 other than the voluntary commencement of the Chapter 11 Cases, no material impairment of the priority of
Agent’s and Lenders’ security interests in the Collateral shall have occurred from the date of the latest field examinations of Agent and Lenders to the Petition Date; 

9.13 Borrowers shall have delivered to Agent, on terms and conditions satisfactory to Agent, a plan of reorganization which provides for,
among other things, either (i) the conversion of the Loan Agreement (as amended by this Ratification Agreement) into an exist facility on terms and conditions acceptable to the Borrowers, the Agent and the Lenders, on terms and conditions
acceptable to Agent and Lenders or (ii) the indefeasible payment in full of all of the obligations owing to Agent and Lenders. 
 9.14
Receipt by Agent, each in form and substance satisfactory to Agent, of (i) the initial Budget, (ii) an income statement and balance sheet as of the end of the most recent fiscal month for each of the Borrowers, and a comparison of such
information to information for the same period in the immediately preceding year, each in form and substance satisfactory to Agent, provided that if the Chapter 11 Case commences on or prior to the twelfth (12th) business day of any calendar
month, such income statement and balance sheet may be as of the end of the fiscal month immediately preceding the most recent fiscal month, (iii) projected monthly balance sheets, income statements, statements of cash flows and availability of
Borrowers and Guarantors for the period through the end of the Loan Agreement, in each case as to the projections, with the results and assumptions set forth in all of such projections in form and substance satisfactory to Agent, (iv) any
updates or modifications to the projected financial statements of Borrowers and Guarantors previously received by Agent, in each case in form and substance satisfactory to Agent, and (v) copies of satisfactory interim unaudited financial
statements for each month ended since the last audited financial statements for which financial statements are available; 
 9.15 Borrowers
and Guarantors shall have executed and delivered all of the documents necessary to consummate the DIP Term Loan Facility as described in the Term Sheet for Proposed Debtor-in-Possession Financing, dated March 31, 2015 (the “DIP Term Loan
Facility Term Sheet”), issued by certain of the Pre-Petition Term Loan Lenders, providing for a super-priority, priming term loan in an aggregate principal amount of not less than $40,000,000 minus the amount of fees set forth in
Section 2.07(c) of the DIP Term Loan Agreement, and (i) On or before the date hereof, Borrower shall have delivered a Committed Loan Notice (as such term is defined in the DIP Term Loan Agreement, as in effect on the date hereof) to the
DIP Term Loan Agent (a copy of which sent to the Agent) effecting the Term Borrowing (as such term is defined in the DIP Term Loan Agreement, as in effect on the date hereof), and 

  
 26 

 
(ii) Borrowers shall have the ability to draw down the proceeds of the DIP Term Loan in accordance with the terms of the DIP Term Loan Agreement following the date on which the Interim
Financing Order has been entered to fund the expenses and disbursements set forth in the Budget. 
 9.16 The Financing Orders shall confirm
the following lien priorities: (a) with respect to the Term Priority Collateral, first, subject to the payment of Allowed Professional Fees subject to the Carve-Out, the DIP Term Loan Agent and Term Loan Lenders to secure the DIP Term
Loan Debt, second, the Term Loan Agent and Term Loan Lenders to secure the Term Loan Debt, and third, Agent and the other Secured Parties to secure the Obligations, and (b) with respect to the ABL Priority Collateral,
first, Agent and the other Secured Parties to secure the Obligations, second, subject to the payment of Allowed Professional Fees subject to the Carve-Out, the DIP Term Loan Agent and the DIP Term Loan Lenders to secure the DIP Term
Loan Debt, and third, the Term Loan Agent and the Term Loan Lenders to secure the Term Loan Debt. 
 9.17 Agent, for the benefit of
itself and the other Secured Parties, shall hold perfected, priority security interests in and liens upon the ABL Priority Collateral and no less than a third priority (exclusive of the Carve-Out but only to the extent such claims extend or apply to
the proceeds of the Term Priority Collateral) security interest in the Term Loan Priority Collateral (including without limitation the DIP Term Loan Funding Account, to the extent that the DIP Term Loan Funding Account is property of the estate of
any Debtor whether under Chapter 11 of the Bankruptcy Code or any subsequent Chapter 7 case or cases) and Agent shall have received such evidence thereof as it requires; 

9.18 Agent shall have received (i) an update of the existing field examinations of the business and collateral of Borrowers and
Guarantors so as to obtain current results within 5 days prior to closing consistent with Agent’s customary procedures and practices and as otherwise required by the nature and circumstances of the businesses of Borrowers and Guarantors (and
including current agings of receivables, current perpetual inventory records and/or rollforwards of accounts and inventory through the date of closing, together with reasonable supporting documentation) and (ii) an updated written appraisal as
to the Inventory in form, scope and methodology acceptable to Agent and by an appraiser acceptable to Agent, addressed to Agent and upon which Agent and Lenders are expressly permitted to rely; 

9.19 Borrowers shall have (i) engaged a financial advisor with authority and duties satisfactory to Agent, who shall, among other things,
assist Borrowers in the preparation of and compliance with, on an ongoing basis, the Budget and compliance with, on and ongoing basis, the terms and conditions set forth in the Loan Documents, (ii) engaged an investment banking firm with
authority and duties reasonably satisfactory to Agent, and the foregoing engagements under clauses (i) and (ii) shall each have been approved under the Interim Financing Order, and (iii) have provided such consultants, financial
advisor and investment banking firm with such information as they may require; 
 9.20 Borrowers and Guarantors shall have established a
cash management system in form and substance reasonably satisfactory to Agent, including blocked accounts for collections and the transfer thereof to Agent, and subject to control agreements by the banks at which such accounts are maintained, which
shall be in form and substance acceptable to Agent; 

  
 27 

 9.21 No material adverse change in the business, operations, property or financial condition of
Borrowers (taken as a whole) shall have occurred since March 31, 2015 (it being understood that the commencement of the Chapter 11 Case, any defaults under agreements that have no effect under the terms of the Bankruptcy Code as a result of the
commencement thereof, reduction in payment terms by suppliers, and reclamation claims shall not be deemed a material adverse change). No material misstatements in or omissions from the materials previously furnished to Agent by Borrowers and
Guarantors taken as a whole shall have been made. Agent and Lenders shall have received the payment of all fees required to be paid to each of them, at, or prior to, closing in connection with the DIP ABL Credit Facility; and 

9.22 no Default or Event of Default shall have occurred or be existing under any of the Loan Documents, as modified pursuant hereto, and
assumed by Borrowers and Guarantor. 
  

	 	10.	MISCELLANEOUS. 

 10.1 Amendments and Waivers. Neither this Ratification Agreement
nor any other instrument or document referred to herein or therein may be changed, waived, discharged or terminated orally, but only by an instrument in writing signed by the party against whom enforcement of the change, waiver, discharge or
termination is sought. 
 10.2 Further Assurances. Each Borrower and Guarantor shall, at its expense, at any time or times duly
execute and deliver, or shall use its best efforts to cause to be duly executed and delivered, such further agreements, instruments and documents, including, without limitation, additional security agreements, collateral assignments, UCC financing
statements or amendments or continuations thereof, landlord’s or mortgagee’s waivers of liens and consents to the exercise by Agent and Lenders of all the rights and remedies hereunder, under any of the other Loan Documents, any Financing
Order or applicable law with respect to the Collateral, and do or use its best efforts to cause to be done such further acts as may be reasonably necessary or proper in Agent’s opinion (other than any Excluded Action) to evidence, perfect,
maintain and enforce the security interests of Agent and Lenders, and the priority thereof, in the Collateral and to otherwise effectuate the provisions or purposes of this Ratification Agreement, any of the other Loan Documents or the Financing
Order. Upon the request of Agent, at any time and from time to time, each Borrower and Guarantor shall, at its cost and expense, do, make, execute, deliver and record, register or file updates to the filings of Agent and Lenders with respect to the
Intellectual Property with the United States Patent and Trademark Office, the financing statements, mortgages (with respect to each parcel of real property with a fair market value of greater than $1,000,000), deeds of trust, deeds to secure debt,
and other instruments, acts, pledges, assignments and transfers (or use its best efforts to cause the same to be done) and will deliver to Agent and Lenders such instruments evidencing items of Collateral as may be requested by Agent (other than any
Excluded Actions). 
 10.3 Headings. The headings used herein are for convenience only and do not constitute matters to be considered
in interpreting this Ratification Agreement. 

  
 28 

 10.4 Counterparts. This Ratification Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original, but all of which shall together constitute one and the same agreement. In making proof of this Ratification Agreement, it shall not be necessary to produce or account for more than one
counterpart thereof signed by each of the parties hereto. Delivery of an executed counterpart of this Ratification Agreement by telefacsimile or other means of electronic transmission shall have the same force and effect as delivery of an original
executed counterpart of this Ratification Agreement. Any party delivering an executed counterpart of this Ratification Agreement by telefacsimile or other means of electronic transmission also shall deliver an original executed counterpart of this
Ratification Agreement, but the failure to deliver an original executed counterpart shall not affect the validity, enforceability, and binding effect of this Ratification Agreement as to such party or any other party. 

10.5 Additional Events of Default. The parties hereto acknowledge, confirm and agree that the failure of any Borrower or Guarantor to
comply with any of the covenants, conditions and agreements contained herein or in any other agreement, document or instrument at any time executed by such Borrower or Guarantor in connection herewith shall constitute an Event of Default under the
Loan Documents. 
 10.6 Costs and Expenses. Borrowers shall pay to Agents and Lenders on demand all costs and expenses that Agents or
Lenders pay or incur in connection with the negotiation, preparation, consummation, administration, enforcement, and termination of this Ratification Agreement and the other Loan Documents and the Financing Order, including, without limitation:
(a) reasonable attorneys’ and paralegals’ fees and disbursements of counsel to, and reasonable fees and expenses of consultants, accountants and other professionals retained by, Agent and Lenders; (b) costs and expenses
(including reasonable attorneys’ and paralegals’ fees and disbursements) for any amendment, supplement, waiver, consent, or subsequent closing in connection with this Ratification Agreement, the other Loan Documents, the Financing Order
and the transactions contemplated thereby; (c) taxes, fees and other charges for recording any agreements or documents with any governmental authority, and the filing of UCC financing statements and continuations, and other actions to perfect,
protect, and continue the security interests and liens of Agent and Lenders in the Collateral; (d) sums paid or incurred to pay any amount or take any action required of Borrowers and Guarantor under the Loan Documents or the Financing Order
that Borrowers and Guarantor fail to pay or take; (e) costs of appraisals, inspections and verifications of the Collateral and including travel, lodging, and meals for inspections of the Collateral and the Debtors’ operations by Agent or
its agent and to attend court hearings or otherwise in connection with the Chapter 11 Cases; (f) costs and expenses of preserving and protecting the Collateral; (g) all out-of-pocket expenses and costs heretofore and from time to time
hereafter incurred by Agent during the course of periodic field examinations of the Collateral and Debtors’ operations, plus a per diem charge at the rate of $1,000 per person per day for Agent’s examiners in the field and office; and
(h) costs and expenses (including attorneys’ and paralegals’ fees and disbursements) paid or incurred to obtain payment of the Obligations, enforce the security interests and liens of Agent and Lenders, sell or otherwise realize upon
the Collateral, and otherwise enforce the provisions of this Ratification Agreement, the other Loan Documents and the Financing Order, or to defend any claims made or threatened against Agent or any Lender arising out of the transactions
contemplated hereby (including, without limitation, preparations for and consultations concerning any such matters). The 

  
 29 

 
foregoing shall not be construed to limit any other provisions of the Loan Documents regarding costs and expenses to be paid by Borrowers. All sums provided for in this Section 10.6 shall be
part of the Obligations, shall be payable on demand, and shall accrue interest after demand for payment thereof at the highest rate of interest then payable under the Loan Documents. Agent is hereby irrevocably authorized to charge any amounts
payable hereunder directly to any of the account(s) maintained by Agent with respect to any Borrower or Guarantor. 
 10.7
Effectiveness. This Ratification Agreement shall become effective upon the execution hereof by Agent and Lenders and the entry of the Interim Financing Order. 

[REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK] 

  
 30 

 IN WITNESS WHEREOF, the parties hereto have caused this Ratification Agreement to be duly
executed as of the day and year first above written. 
  

			
	AGENT		
	
	 WELLS FARGO BANK, NATIONAL ASSOCIATION, as Administrative Agent,

Collateral Agent, Issuing Bank and Lender 

		
	By:		 /s/ Guido Cuomo

	Name:		Guido Cuomo
	Title:		Authorized Signatory

 [SIGNATURES CONTINUED ON NEXT PAGE] 

[Signature Page to Ratification and Amendment Agreement] 

 [SIGNATURES CONTINUED FROM PREVIOUS PAGE] 

 

			
	BORROWERS:
	
	ONEIDA LTD.
		
	By :		 /s/ Erika Schoenberger

	Name:		Erika Schoenberger
	Title:		Secretary
	
	ANCHOR HOCKING, LLC
		
	By:		 /s/ Erika Schoenberger

	Name:		Erika Schoenberger
	Title:		Secretary
	
	GUARANTORS:
	
	UNIVERSAL TABLETOP, INC.
		
	By:		 /s/ Erika Schoenberger

	Name:		Erika Schoenberger
	Title:		Secretary
	
	 BUFFALO CHINA, INC.
 DELCO
INTERNATIONAL, LTD.
 SAKURA, INC.
 THC SYSTEMS, INC.

KENWOOD SILVER COMPANY, INC.

	ONEIDA SILVERSMITHS INC.
	 ONEIDA INTERNATIONAL INC.
 ONEIDA
FOOD SERVICE, INC.

		
	By:		 /s/ Erika Schoenberger

	Name:		Erika Schoenberger
	Title:		Secretary

 EXHIBIT A 

to 
 RATIFICATION
AGREEMENT 
 Summary of Budget 

																																																													
	EveryWare Global	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 DIP
Summary
	 	BK FILING	 	 	Week 2	 	 	Week 3	 	 	Week 4	 	 	Week 5	 	 	Week 6	 	 	Week 7	 	 	Week 8	 	 	Week 9	 	 	Week 10	 	 	Week 11	 	 	Week 12	 	 	Week 13	 	 	Week 14	 	 	14-Week	 
	 Week Ending
- USD’000
	 	10-Apr-15	 	 	17-Apr-15	 	 	24-Apr-15	 	 	1-May-15	 	 	8-May-15	 	 	15-May-15	 	 	22-May-15	 	 	29-May-15	 	 	5-Jun-15	 	 	12-Jun-15	 	 	19-Jun-15	 	 	26-Jun-15	 	 	3-Jul-15	 	 	10-Jul-15	 	 	Total	 
	 Projected Receipts
	 	 	5,693	  	 	 	7,206	  	 	 	5,429	  	 	 	8,364	  	 	 	8,358	  	 	 	6,474	  	 	 	6,209	  	 	 	6,086	  	 	 	6,537	  	 	 	6,147	  	 	 	6,361	  	 	 	6,504	  	 	 	6,782	  	 	 	5,544	  	 	 	91,695	  
	 Total Disbursements Excluding Bankruptcy Professional Fees
	 	 	(11,160	) 	 	 	(10,845	) 	 	 	(11,546	) 	 	 	(9,900	) 	 	 	(7,024	) 	 	 	(6,577	) 	 	 	(6,635	) 	 	 	(5,805	) 	 	 	(8,140	) 	 	 	(6,075	) 	 	 	(7,068	) 	 	 	(5,652	) 	 	 	(6,531	) 	 	 	(6,264	) 	 	 	(109,223	) 
	 Bankruptcy Professional Fees
	 	 	(1,450	) 	 	 	—  	  	 	 	—  	  	 	 	—  	  	 	 	(163	) 	 	 	—  	  	 	 	(150	) 	 	 	—  	  	 	 	(325	) 	 	 	—  	  	 	 	—  	  	 	 	(2,030	) 	 	 	(325	) 	 	 	(10,895	) 	 	 	(15,338	) 
	 Total Disbursements
	 	 	(12,610	) 	 	 	(10,845	) 	 	 	(11,546	) 	 	 	(9,900	) 	 	 	(7,187	) 	 	 	(6,577	) 	 	 	(6,785	) 	 	 	(5,805	) 	 	 	(8,465	) 	 	 	(6,075	) 	 	 	(7,068	) 	 	 	(7,682	) 	 	 	(6,856	) 	 	 	(17,159	) 	 	 	(124,561	) 
		 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
	 Net Cash Flow (Deficit)
	 	 	(6,917	) 	 	 	(3,639	) 	 	 	(6,117	) 	 	 	(1,536	) 	 	 	1,171	  	 	 	(104	) 	 	 	(576	) 	 	 	281	  	 	 	(1,928	) 	 	 	73	  	 	 	(707	) 	 	 	(1,177	) 	 	 	(74	) 	 	 	(11,616	) 	 	 	(32,866	) 
		 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
	 Total Liquidity
	 	 	34,473	  	 	 	30,834	  	 	 	24,717	  	 	 	23,181	  	 	 	23,181	  	 	 	23,181	  	 	 	23,181	  	 	 	23,181	  	 	 	22,025	  	 	 	22,025	  	 	 	21,391	  	 	 	20,214	  	 	 	20,140	  	 	 	8,224	  	 	 	8,224	  

  
 Page 1 of 1Exhibit 10.1

 

SECURITIES
PURCHASE AGREEMENT

 

This Securities Purchase
Agreement (this “Agreement”) is dated as of April __, 2015, between Synthesis Energy Systems, Inc., a Delaware
corporation (the “Company”), and each purchaser identified on the signature pages hereto (each, including its
successors and assigns, a “Purchaser” and collectively the “Purchasers”).

 

WHEREAS, subject to
the terms and conditions set forth in this Agreement and pursuant to an effective registration statement under the Securities Act
of 1933, as amended (the “Securities Act”), the Company desires to issue and sell to each Purchaser, and each
Purchaser, severally and not jointly, desires to purchase from the Company, securities of the Company as more fully described in
this Agreement.

 

NOW, THEREFORE, IN
CONSIDERATION of the mutual covenants contained in this Agreement, and for other good and valuable consideration the receipt and
adequacy of which are hereby acknowledged, the Company and each Purchaser agree as follows:

 

ARTICLE I.

DEFINITIONS

 

1.1
Definitions. In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following
terms have the meanings set forth in this Section 1.1:

 

“Acquiring
Person” shall have the meaning ascribed to such term in Section 4.5.

 

“Action”
shall have the meaning ascribed to such term in Section 3.1(j).

 

“Affiliate”
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common
control with a Person as such terms are used in and construed under Rule 405 under the Securities Act.

 

“Board
of Directors” means the board of directors of the Company.

 

“Business
Day” means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or
any day on which banking institutions in the State of New York are authorized or required by law or other governmental action to
close.

 

“Closing”
means the closing of the purchase and sale of the Shares pursuant to Section 2.1.

 

“Closing
Date” means the Trading Day on which all of the Transaction Documents have been executed and delivered by the applicable
parties thereto, and all conditions precedent to (i) the Purchasers’ obligations to pay the Subscription Amount and (ii)
the Company’s obligations to deliver the Shares, in each case, have been satisfied or waived, but in no event later than
the third Trading Day following the date hereof.

 

“Commission”
means the United States Securities and Exchange Commission.

 

    	1

    	 

    

 

“Common
Stock” means the common stock of the Company, par value $0.01 per share, and any other class of securities into which
such securities may hereafter be reclassified or changed.

 

“Common
Stock Equivalents” means any securities of the Company or the Subsidiaries which would entitle the holder thereof to
acquire at any time Common Stock, including, without limitation, any debt, preferred stock, right, option, warrant or other instrument
that is at any time convertible into or exercisable or exchangeable for, or otherwise entitles the holder thereof to receive, Common
Stock.

 

“Company
Counsel” means Porter Hedges LLP, with offices located at 1000 Main Street, 36th Floor, Houston, Texas 77002.

 

“Disclosure
Schedules” means the Disclosure Schedules of the Company delivered concurrently herewith.

 

“EGS”
means Ellenoff Grossman & Schole LLP, with offices located at 1345 Avenue of the Americas, New York, New York 10105-0302.

 

“Escrow
Agent” means Signature Bank, a New York State chartered bank, with offices at 261 Madison Avenue, New York, New York
10016.

 

“Escrow
Agreement” means the escrow agreement which may be entered into prior to the Closing Date, by and among the Company,
the Escrow Agent and the Placement Agent pursuant to which the Purchasers shall deposit Subscription Amounts with the Escrow Agent
to be applied to the transactions contemplated hereunder.

 

“Evaluation
Date” shall have the meaning ascribed to such term in Section 3.1(r).

 

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

 

“FCPA”
means the Foreign Corrupt Practices Act of 1977, as amended.

 

“GAAP”
shall have the meaning ascribed to such term in Section 3.1(h).

 

“Indebtedness”
shall have the meaning ascribed to such term in Section 3.1(z).

 

“Intellectual
Property Rights” shall have the meaning ascribed to such term in Section 3.1(o).

 

“Liens”
means a lien, charge, pledge, security interest, encumbrance, right of first refusal, preemptive right or other restriction.

 

“Material
Adverse Effect” shall have the meaning assigned to such term in Section 3.1(b).

 

    	2

    	 

    

 

“Material
Permits” shall have the meaning ascribed to such term in Section 3.1(m).

 

“Per
Share Purchase Price” equals $____, subject to adjustment for reverse and forward stock splits, stock dividends, stock
combinations and other similar transactions of the Common Stock that occur after the date of this Agreement.

 

“Person”
means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability
company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

 

“Placement
Agent” means T.R. Winston & Company, LLC.

 

“Proceeding”
means an action, claim, suit, investigation or proceeding (including, without limitation, an informal investigation or partial
proceeding, such as a deposition), whether commenced or threatened.

 

“Prospectus”
means the final prospectus filed for the Registration Statement.

 

“Prospectus
Supplement” means the supplement to the Prospectus complying with Rule 424(b) of the Securities Act that is filed with
the Commission and delivered by the Company to each Purchaser at the Closing.

 

“Purchaser
Party” shall have the meaning ascribed to such term in Section 4.8.

 

“Registration
Statement” means the effective registration statement with Commission file No. 333-187760 which registers the sale of
the Shares.

 

“Required
Approvals” shall have the meaning ascribed to such term in Section 3.1(e).

 

“Rule
424” means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

 

“SEC
Reports” shall have the meaning ascribed to such term in Section 3.1(h).

 

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

 

“Shares”
means the shares of Common Stock issued or issuable to each Purchaser pursuant to this Agreement.

 

“Short
Sales” means all “short sales” as defined in Rule 200 of Regulation SHO under the Exchange Act (but shall
not be deemed to include the location and/or reservation of borrowable shares of Common Stock). 

 

    	3

    	 

    

 

“Subscription
Amount” means, as to each Purchaser, the aggregate amount to be paid for Shares purchased hereunder as specified below
such Purchaser’s name on the signature page of this Agreement and next to the heading “Subscription Amount,”
in United States dollars and in immediately available funds.

 

“Subsidiary”
means any subsidiary of the Company as set forth on Exhibit 21.1 of the Company’s Annual Report on Form 10-K for the year
ended June 30, 2014, and shall, where applicable, also include any direct or indirect subsidiary of the Company formed or acquired
after the date thereof.

 

“Trading
Day” means a day on which the principal Trading Market is open for trading.

 

“Trading
Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on
the date in question: the NYSE MKT, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the New
York Stock Exchange, the OTCQX, the OTCQB Marketplace or the OTC Bulletin Board (or any successors to any of the foregoing).

 

“Transaction
Documents” means this Agreement, and any other documents or agreements executed in connection with the transactions contemplated
hereunder.

 

“Transfer
Agent” means American Stock Transfer & Trust Company, the current transfer agent of the Company, with a mailing address
of 59 Maiden Lane, Plaza Level, New York, New York 10038 and any successor transfer agent of the Company.

 

ARTICLE II.

PURCHASE AND SALE

 

2.1Closing.
On the Closing Date, upon the terms and subject to the conditions set forth herein, substantially concurrent with the execution
and delivery of this Agreement by the parties hereto, the Company agrees to sell, and the Purchasers, severally and not jointly,
agree to purchase, up to an aggregate of $__________ of Shares. Each Purchaser shall deliver to the Escrow Agent or as otherwise
directed by the Placement Agent, via wire transfer or a certified check, immediately available funds equal to such Purchaser’s
Subscription Amount as set forth on the signature page hereto executed by such Purchaser and the Company shall deliver to each
Purchaser its respective Shares, and the Company and each Purchaser shall deliver the other items set forth in Section 2.2 deliverable
at the Closing. Upon satisfaction of the covenants and conditions set forth in Sections 2.2 and 2.3, the Closing shall occur at
the offices of EGS or such other location as the parties shall mutually agree. Unless otherwise directed by the Placement Agent,
settlement of the Shares shall occur via “Delivery Versus Payment” (“DVP”) (i.e., on the Closing
Date, the Company shall issue the Shares in the Purchasers’ names and addresses and released by the Transfer Agent directly
to the account(s) at the Placement Agent identified by each Purchaser; upon receipt of such Shares, the Placement Agent shall promptly
electronically deliver such Shares to the applicable Purchaser, and payment therefor shall be made by the Placement Agent (or its
clearing firm) by wire transfer to the Company).

 

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2.2Deliveries.

 

(a)On
or prior to the Closing Date, the Company shall deliver or cause to be delivered to each Purchaser the following:

 

(i)this
Agreement duly executed by the Company;

 

(ii)a legal
opinion of Company Counsel, substantially in the form of Exhibit B attached hereto;

 

(iii)subject
to the last sentence of Section 2.1, contemporaneously with the Closing, a copy of the irrevocable instructions to the Transfer
Agent instructing the Transfer Agent to deliver on an expedited basis via The Depository Trust Company Deposit or Withdrawal at
Custodian system (“DWAC”) Shares equal to such Purchaser’s Subscription Amount divided by the Per Share
Purchase Price, registered in the name of such Purchaser; and

 

(iv)the
Prospectus and Prospectus Supplement (which may be delivered in accordance with Rule 172 under the Securities Act).

 

(b)On
or prior to the Closing Date, each Purchaser shall deliver or cause to be delivered to the Company or the Escrow Agent, as applicable,
the following:

 

(i)this
Agreement duly executed by such Purchaser; and

 

(ii)to
Escrow Agent, such Purchaser’s Subscription Amount by wire transfer to the account specified by the Escrow Agreement or as
otherwise directed by the Placement Agent for delivery to the account of the Company.

 

2.3Closing
Conditions. 

 

(a)The
obligations of the Company hereunder in connection with the Closing are subject to the following conditions being met:

 

(i)the
accuracy in all material respects on the Closing Date of the representations and warranties of the Purchasers contained herein
(unless as of a specific date therein in which case they shall be accurate as of such date);

 

(ii)all
obligations, covenants and agreements of each Purchaser required to be performed at or prior to the Closing Date shall have been
performed; and

 

(iii)the
delivery by each Purchaser of the items set forth in Section 2.2(b) of this Agreement.

 

(b)The
respective obligations of the Purchasers hereunder in connection with the Closing are subject to the following conditions being
met:

 

    	5

    	 

    

 

(i)the
accuracy in all material respects when made and on the Closing Date of the representations and warranties of the Company contained
herein (unless as of a specific date therein);

 

(ii)all
obligations, covenants and agreements of the Company required to be performed at or prior to the Closing Date shall have been performed;

 

(iii)the
delivery by the Company of the items set forth in Section 2.2(a) of this Agreement;

 

(iv)there
shall have been no Material Adverse Effect with respect to the Company since the date hereof; and

 

(v)from
the date hereof to the Closing Date, trading in the Common Stock shall not have been suspended by the Commission or the Company’s
principal Trading Market, and, at any time prior to the Closing Date, trading in securities generally as reported by Bloomberg
L.P. shall not have been suspended or limited, or minimum prices shall not have been established on securities whose trades are
reported by such service, or on any Trading Market, nor shall a banking moratorium have been declared either by the United States
or New York State authorities nor shall there have occurred any material outbreak or escalation of hostilities or other national
or international calamity of such magnitude in its effect on, or any material adverse change in, any financial market which, in
each case, in the reasonable judgment of such Purchaser, makes it impracticable or inadvisable to purchase the Shares at the Closing.

 

ARTICLE III.

REPRESENTATIONS AND WARRANTIES

 

3.1Representations
and Warranties of the Company. Except as set forth in the Disclosure Schedules, which Disclosure Schedules shall be deemed
a part hereof and shall qualify any representation or otherwise made herein to the extent of the disclosure contained in the corresponding
section of the Disclosure Schedules, the Company hereby makes the following representations and warranties to each Purchaser:

 

(a)Subsidiaries.
The Subsidiaries are all of the direct and indirect subsidiaries of the Company (other than Synthesis Energy Systems (Zao Zhuang)
New Gas Company Ltd., a Chinese company and SES Asia Technologies, Ltd., a Hong Kong company). The Company owns, directly or indirectly,
all of the capital stock or other equity interests of each Subsidiary free and clear of any Liens, and all of the issued and outstanding
shares of capital stock of each Subsidiary are validly issued and are fully paid, non-assessable and free of preemptive and similar
rights to subscribe for or purchase securities.

 

(b)Organization
and Qualification. The Company and each of the Subsidiaries is an entity duly incorporated or otherwise organized, validly
existing and in good standing under the laws of the jurisdiction of its incorporation or organization, with the requisite power
and authority to own and use its properties and assets and to carry on its business as currently conducted. Neither the Company
nor any Subsidiary is in violation nor default of any of the provisions of its respective certificate or articles of incorporation,
bylaws or other organizational or charter documents. Each of the Company and the Subsidiaries is duly qualified to conduct business
and is in good standing as a foreign corporation or other entity in each jurisdiction in which the nature of the business conducted
or property owned by it makes such qualification necessary, except where the failure to be so qualified or in good standing, as
the case may be, could not have or reasonably be expected to result in: (i) a material adverse effect on the legality, validity
or enforceability of any Transaction Document, (ii) a material adverse effect on the results of operations, assets, business, prospects
or condition (financial or otherwise) of the Company and the Subsidiaries, taken as a whole, or (iii) a material adverse effect
on the Company’s ability to perform in any material respect on a timely basis its obligations under any Transaction Document
(any of (i), (ii) or (iii), a “Material Adverse Effect”) and no Proceeding has been instituted in any such jurisdiction
revoking, limiting or curtailing or seeking to revoke, limit or curtail such power and authority or qualification.

 

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(c)Authorization;
Enforcement. The Company has the requisite corporate power and authority to enter into and to consummate the transactions contemplated
by this Agreement and each of the other Transaction Documents and otherwise to carry out its obligations hereunder and thereunder.
The execution and delivery of this Agreement and each of the other Transaction Documents by the Company and the consummation by
it of the transactions contemplated hereby and thereby have been duly authorized by all necessary action on the part of the Company
and no further action is required by the Company, the Board of Directors or the Company’s stockholders in connection herewith
or therewith other than in connection with the Required Approvals. This Agreement and each other Transaction Document to which
it is a party has been (or upon delivery will have been) duly executed by the Company and, when delivered in accordance with the
terms hereof and thereof, will constitute the valid and binding obligation of the Company enforceable against the Company in accordance
with its terms, except (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium
and other laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating
to the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as indemnification
and contribution provisions may be limited by applicable law.

 

(d)No
Conflicts. The execution, delivery and performance by the Company of this Agreement and the other Transaction Documents to
which it is a party, the issuance and sale of the Shares and the consummation by it of the transactions contemplated hereby and
thereby do not and will not (i) conflict with or violate any provision of the Company’s or any Subsidiary’s certificate
or articles of incorporation, bylaws or other organizational or charter documents, or (ii) conflict with, or constitute a default
(or an event that with notice or lapse of time or both would become a default) under, result in the creation of any Lien upon any
of the properties or assets of the Company or any Subsidiary, or give to others any rights of termination, amendment, acceleration
or cancellation (with or without notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing
a Company or Subsidiary debt or otherwise) or other agreement or instrument to which the Company or any Subsidiary is a party or
by which any property or asset of the Company or any Subsidiary is bound or affected, or (iii) subject to the Required Approvals,
conflict with or result in a violation of any law, rule, regulation, order, judgment, injunction, decree or other restriction of
any court or governmental authority to which the Company or a Subsidiary is subject (including federal and state securities laws
and regulations), or by which any property or asset of the Company or a Subsidiary is bound or affected; except in the case of
each of clauses (ii) and (iii), such as could not have or reasonably be expected to result in a Material Adverse Effect.

 

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(e)Filings,
Consents and Approvals. The Company is not required to obtain any consent, waiver, authorization or order of, give any notice
to, or make any filing or registration with, any court or other federal, state, local or other governmental authority or other
Person in connection with the execution, delivery and performance by the Company of the Transaction Documents, other than: (i)
the filings required pursuant to Section 4.4 of this Agreement, (ii) the filing with the Commission of the Prospectus Supplement,
(iii) application(s) and/or notice to the Transfer Agent and each applicable Trading Market for the listing of the Shares for trading
thereon in the time and manner required thereby and (iv) such filings as are required to be made under applicable state securities
laws (collectively, the “Required Approvals”).

 

(f)Issuance
of the Shares; Registration. The Shares are duly authorized and, when issued and paid for in accordance with the applicable
Transaction Documents, the Shares will be duly and validly issued, fully paid and nonassessable, free and clear of all Liens imposed
by the Company. The Company has reserved from its duly authorized capital stock the maximum number of shares of Common Stock issuable
pursuant to this Agreement. The Company has prepared and filed the Registration Statement in conformity with the requirements of
the Securities Act, which became effective on May 9, 2013 (the “Effective Date”), including the Prospectus,
and such amendments and supplements thereto as may have been required to the date of this Agreement. The Registration Statement
is effective under the Securities Act and no stop order preventing or suspending the effectiveness of the Registration Statement
or suspending or preventing the use of the Prospectus has been issued by the Commission and no proceedings for that purpose have
been instituted or, to the knowledge of the Company, are threatened by the Commission. The Company, if required by the rules and
regulations of the Commission, shall file the Prospectus with the Commission pursuant to Rule 424(b). At the time the Registration
Statement and any amendments thereto became effective, at the date of this Agreement and at the Closing Date, the Registration
Statement and any amendments thereto conformed and will conform in all material respects to the requirements of the Securities
Act and did not and will not contain any untrue statement of a material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein not misleading; and the Prospectus and any amendments or supplements
thereto, at time the Prospectus or any amendment or supplement thereto was issued and at the Closing Date, conformed and will conform
in all material respects to the requirements of the Securities Act and did not and will not contain an untrue statement of a material
fact or omit to state a material fact necessary in order to make the statements therein, in light of the circumstances under which
they were made, not misleading.

 

    	8

    	 

    

 

(g)Capitalization.
The capitalization of the Company is as set forth in the SEC Reports. The Company has not issued any capital stock since its most
recently filed SEC Report, other than pursuant to the exercise of employee stock options under the Company’s stock option
plans, the issuance of grants of Common Stock Equivalents pursuant to the Company’s incentive plans and pursuant to the conversion
and/or exercise of Common Stock Equivalents outstanding as of the date of the most recently filed SEC Report. No Person has any
right of first refusal, preemptive right, right of participation, or any similar right to participate in the transactions contemplated
by the Transaction Documents. Except as a result of the purchase and sale of the Shares or as set forth in the SEC Reports, there
are no outstanding options, warrants, scrip rights to subscribe to, calls or commitments of any character whatsoever relating to,
or securities, rights or obligations convertible into or exercisable or exchangeable for, or giving any Person any right to subscribe
for or acquire, any shares of Common Stock, or contracts, commitments, understandings or arrangements by which the Company or any
Subsidiary is or may become bound to issue additional shares of Common Stock or Common Stock Equivalents. The issuance and sale
of the Shares will not obligate the Company to issue shares of Common Stock or other securities to any Person (other than the Purchasers)
and will not result in a right of any holder of Company securities to adjust the exercise, conversion, exchange or reset price
under any of such securities. All of the outstanding shares of capital stock of the Company are duly authorized, validly issued,
fully paid and nonassessable, have been issued in compliance with all federal and state securities laws, and none of such outstanding
shares was issued in violation of any preemptive rights or similar rights to subscribe for or purchase securities. Other than specified
in Section 3.1(e), no further approval or authorization of any stockholder, the Board of Directors or others is required for the
issuance and sale of the Shares. Other than as described in the SEC Reports, there are no stockholders agreements, voting agreements
or other similar agreements with respect to the Company’s capital stock to which the Company is a party or, to the knowledge
of the Company, between or among any of the Company’s stockholders.

 

(h)SEC
Reports; Financial Statements. The Company has filed all reports, schedules, forms, statements and other documents required
to be filed by the Company under the Securities Act and the Exchange Act, including pursuant to Section 13(a) or 15(d) thereof,
for the two years preceding the date hereof (or such shorter period as the Company was required by law or regulation to file such
material) (the foregoing materials, including the exhibits thereto and documents incorporated by reference therein, together with
the Prospectus and the Prospectus Supplement, being collectively referred to herein as the “SEC Reports”) on
a timely basis or has received a valid extension of such time of filing and has filed any such SEC Reports prior to the expiration
of any such extension. As of their respective dates, the SEC Reports complied in all material respects with the requirements of
the Securities Act and the Exchange Act, as applicable, and none of the SEC Reports, when filed, contained any untrue statement
of a material fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements
therein, in the light of the circumstances under which they were made, not misleading. The financial statements of the Company
included in the SEC Reports comply in all material respects with applicable accounting requirements and the rules and regulations
of the Commission with respect thereto as in effect at the time of filing. Such financial statements have been prepared in accordance
with United States generally accepted accounting principles applied on a consistent basis during the periods involved (“GAAP”),
except as may be otherwise specified in such financial statements or the notes thereto and except that unaudited financial statements
may not contain all footnotes required by GAAP, and fairly present in all material respects the financial position of the Company
and its consolidated Subsidiaries as of and for the dates thereof and the results of operations and cash flows for the periods
then ended, subject, in the case of unaudited statements, to normal, immaterial, year-end audit adjustments.

 

    	9

    	 

    

 

(i)Material
Changes; Undisclosed Events, Liabilities or Developments. Since the date of the latest financial statements included within
the SEC Reports, except as specifically disclosed in a subsequent SEC Report filed prior to the date hereof, (i) there has been
no event, occurrence or development that has had or that could reasonably be expected to result in a Material Adverse Effect, (ii)
the Company has not incurred any liabilities (contingent or otherwise) other than (A) trade payables and accrued expenses incurred
in the ordinary course of business consistent with past practice and (B) liabilities not required to be reflected in the Company’s
financial statements pursuant to GAAP or disclosed in filings made with the Commission, (iii) the Company has not altered its method
of accounting, (iv) the Company has not declared or made any dividend or distribution of cash or other property to its stockholders
or purchased, redeemed or made any agreements to purchase or redeem any shares of its capital stock and (v) the Company has not
issued any equity securities to any officer, director or Affiliate, except pursuant to existing Company incentive plans or pursuant
to previously issued Common Stock Equivalents. The Company does not have pending before the Commission any request for confidential
treatment of information. Except for the issuance of the Shares contemplated by this Agreement, no event, liability, fact, circumstance,
occurrence or development has occurred or exists or is reasonably expected to occur or exist with respect to the Company or its
Subsidiaries or their respective businesses, properties, operations, assets or financial condition that would be required to be
disclosed by the Company under applicable securities laws at the time this representation is made or deemed made that has not been
publicly disclosed at least 1 Trading Day prior to the date that this representation is made.

 

(j)Litigation.
There is no action, suit, inquiry, notice of violation, proceeding or investigation pending or, to the knowledge of the Company,
threatened against or affecting the Company, any Subsidiary or any of their respective properties before or by any court, arbitrator,
governmental or administrative agency or regulatory authority (federal, state, county, local or foreign) (collectively, an “Action”)
which (i) adversely affects or challenges the legality, validity or enforceability of any of the Transaction Documents or the Shares
or (ii) could, if there were an unfavorable decision, have or reasonably be expected to result in a Material Adverse Effect. Neither
the Company nor any Subsidiary, nor any director or officer thereof, is or has been the subject of any Action involving a claim
of violation of or liability under federal or state securities laws or a claim of breach of fiduciary duty. There has not been,
and to the knowledge of the Company, there is not pending or contemplated, any investigation by the Commission involving the Company
or any current or former director or officer of the Company. The Commission has not issued any stop order or other order suspending
the effectiveness of any registration statement filed by the Company or any Subsidiary under the Exchange Act or the Securities
Act.

 

    	10

    	 

    

 

(k)Labor
Relations. No labor dispute exists or, to the knowledge of the Company, is imminent with respect to any of the employees of
the Company, which could reasonably be expected to result in a Material Adverse Effect. None of the Company’s or its Subsidiaries’
employees is a member of a union that relates to such employee’s relationship with the Company or such Subsidiary, and neither
the Company nor any of its Subsidiaries is a party to a collective bargaining agreement, and the Company and its Subsidiaries believe
that their relationships with their employees are good. To the knowledge of the Company, no executive officer of the Company or
any Subsidiary, is, or is now expected to be, in violation of any material term of any employment contract, confidentiality, disclosure
or proprietary information agreement or non-competition agreement, or any other contract or agreement or any restrictive covenant
in favor of any third party, and the continued employment of each such executive officer does not subject the Company or any of
its Subsidiaries to any liability with respect to any of the foregoing matters. The Company and its Subsidiaries are in compliance
with all U.S. federal, state, local and foreign laws and regulations relating to employment and employment practices, terms and
conditions of employment and wages and hours, except where the failure to be in compliance could not, individually or in the aggregate,
reasonably be expected to have a Material Adverse Effect.

 

(l)Compliance.
Neither the Company nor any Subsidiary: (i) is in default under or in violation of (and no event has occurred that has not been
waived that, with notice or lapse of time or both, would result in a default by the Company or any Subsidiary under), nor has the
Company or any Subsidiary received notice of a claim that it is in default under or that it is in violation of, any indenture,
loan or credit agreement or any other agreement or instrument to which it is a party or by which it or any of its properties is
bound (whether or not such default or violation has been waived), (ii) is in violation of any judgment, decree or order of any
court, arbitrator or other governmental authority or (iii) to the Company’s knowledge, is or has been in violation of any
statute, rule, ordinance or regulation of any governmental authority, including without limitation all foreign, federal, state
and local laws relating to taxes, environmental protection, occupational health and safety, product quality and safety and employment
and labor matters, except in each case as could not have or reasonably be expected to result in a Material Adverse Effect.

 

(m)Regulatory
Permits. To the Company’s knowledge, and except as otherwise noted in the SEC Reports, the Company and the Subsidiaries
possess all certificates, authorizations and permits issued by the appropriate federal, state, local or foreign regulatory authorities
necessary to conduct their respective businesses as described in the SEC Reports, except where the failure to possess such permits
could not reasonably be expected to result in a Material Adverse Effect (“Material Permits”), and neither the
Company nor any Subsidiary has received any notice of proceedings relating to the revocation or modification of any Material Permit.

 

    	11

    	 

    

 

(n)Title
to Assets. The Company and the Subsidiaries have title in fee simple to all real property owned by them and title in all personal
property owned by them that is material to the business of the Company and the Subsidiaries, in each case free and clear of all
Liens, except for (i) Liens as do not materially affect the value of such property and do not materially interfere with the use
made and proposed to be made of such property by the Company and the Subsidiaries, (ii) Liens for the payment of federal, state
or other taxes, for which appropriate reserves have been made in accordance with GAAP and, the payment of which is neither delinquent
nor subject to penalties and (iii) Liens described in the SEC Reports. Any real property and facilities held under lease by the
Company and the Subsidiaries are held by them under leases with which the Company and the Subsidiaries are in compliance.

 

(o)Intellectual
Property. The Company and the Subsidiaries have, or have rights to use, all patents, patent applications, trademarks, trademark
applications, service marks, trade names, trade secrets, inventions, copyrights, licenses and other intellectual property rights
and similar rights necessary or required for use in connection with their respective businesses as described in the SEC Reports
and which the failure to so have could have a Material Adverse Effect (collectively, the “Intellectual Property Rights”).
None of, and neither the Company nor any Subsidiary has received a notice (written or otherwise) that any of, the Intellectual
Property Rights has expired, terminated or been abandoned, or is expected to expire or terminate or be abandoned, within two (2)
years from the date of this Agreement. Neither the Company nor any Subsidiary has received, since the date of the latest audited
financial statements included within the SEC Reports, a written notice of a claim or otherwise has any knowledge that the Intellectual
Property Rights violate or infringe upon the rights of any Person, except as could not have or reasonably be expected to not have
a Material Adverse Effect. To the knowledge of the Company, all such Intellectual Property Rights are enforceable and there is
no existing infringement by another Person of any of the Intellectual Property Rights, except as could not have or reasonably be
expected to not have a Material Adverse Effect. The Company and its Subsidiaries have taken reasonable security measures to protect
the secrecy, confidentiality and value of all of their intellectual properties, except where failure to do so could not, individually
or in the aggregate, reasonably be expected to have a Material Adverse Effect.

 

(p)Insurance.
The Company and the Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks and
in such amounts as are prudent and customary in the businesses in which the Company and the Subsidiaries are engaged, including,
but not limited to, directors and officers insurance coverage. Neither the Company nor any Subsidiary has any reason to believe
that it will not be able to renew its existing insurance coverage as and when such coverage expires or to obtain similar coverage
from similar insurers as may be necessary to continue its business without a significant increase in cost.

 

(q)Transactions
With Affiliates and Employees. Except as set forth in the SEC Reports, none of the officers or directors of the Company or
any Subsidiary and, to the knowledge of the Company, none of the employees of the Company or any Subsidiary is presently a party
to any transaction with the Company or any Subsidiary (other than for services as employees, officers and directors), including
any contract, agreement or other arrangement providing for the furnishing of services to or by, providing for rental of real or
personal property to or from, providing for the borrowing of money from or lending of money to or otherwise requiring payments
to or from any officer, director or such employee or, to the knowledge of the Company, any entity in which any officer, director,
or any such employee has a substantial interest or is an officer, director, trustee, stockholder, member or partner, in each case
in excess of $120,000 other than for (i) payment of salary or consulting fees for services rendered, (ii) reimbursement for expenses
incurred on behalf of the Company and (iii) other employee benefits, including stock option agreements under any stock option plan
of the Company.

 

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(r)Sarbanes-Oxley;
Internal Accounting Controls. The Company and the Subsidiaries are in material compliance with any and all applicable requirements
of the Sarbanes-Oxley Act of 2002 that are effective as of the date hereof, and any and all applicable rules and regulations promulgated
by the Commission thereunder that are effective as of the date hereof and as of the Closing Date. The Company and the Subsidiaries
maintain a system of internal accounting controls sufficient to provide reasonable assurance that: (i) transactions are executed
in accordance with management’s general or specific authorizations, (ii) transactions are recorded as necessary to permit
preparation of financial statements in conformity with GAAP and to maintain asset accountability, (iii) access to assets is permitted
only in accordance with management’s general or specific authorization, and (iv) the recorded accountability for assets is
compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any differences. The
Company and the Subsidiaries have established disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and
15d-15(e)) for the Company and the Subsidiaries and designed such disclosure controls and procedures to ensure that information
required to be disclosed by the Company in the reports it files or submits under the Exchange Act is recorded, processed, summarized
and reported, within the time periods specified in the Commission’s rules and forms. The Company’s certifying officers
have evaluated the effectiveness of the disclosure controls and procedures of the Company and the Subsidiaries as of the end of
the period covered by the most recently filed periodic report under the Exchange Act (such date, the “Evaluation Date”).
The Company presented in its most recently filed periodic report under the Exchange Act the conclusions of the certifying officers
about the effectiveness of the disclosure controls and procedures based on their evaluations as of the Evaluation Date. Since the
Evaluation Date, there have been no changes in the internal control over financial reporting (as such term is defined in the Exchange
Act) of the Company and its Subsidiaries that have materially affected, or is reasonably likely to materially affect, the internal
control over financial reporting of the Company and its Subsidiaries.

 

(s)Certain
Fees. Except as set forth in the Prospectus Supplement, no brokerage or finder’s fees or commissions are or will be payable
by the Company or any Subsidiary to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank
or other Person with respect to the transactions contemplated by the Transaction Documents. The Purchasers shall have no obligation
with respect to any fees or with respect to any claims made by or on behalf of other Persons for fees of a type contemplated in
this Section that may be due in connection with the transactions contemplated by the Transaction Documents.

 

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(t)Investment
Company. The Company is not, and is not an Affiliate of, and immediately after receipt of payment for the Shares, will not
be or be an Affiliate of, an “investment company” within the meaning of the Investment Company Act of 1940, as amended.
The Company shall conduct its business in a manner so that it will not become an “investment company” subject to registration
under the Investment Company Act of 1940, as amended.

 

(u)Registration
Rights. Other than registration rights granted to Market Development Consulting Group, Inc. as contemplated by the Management
Consulting Agreement with the Company dated November 1, 2013, no Person has any right to cause the Company or any Subsidiary to
effect the registration under the Securities Act of any securities of the Company or any Subsidiary.

 

(v)Listing
and Maintenance Requirements. The Common Stock is registered pursuant to Section 12(b) or 12(g) of the Exchange Act, and the
Company has taken no action designed to, or which to its knowledge is likely to have the effect of, terminating the registration
of the Common Stock under the Exchange Act nor has the Company received any notification that the Commission is contemplating terminating
such registration. Other than as described in the SEC Reports, the Company has not, in the 12 months preceding the date hereof,
received notice from any Trading Market on which the Common Stock is or has been listed or quoted to the effect that the Company
is not in compliance with the listing or maintenance requirements of such Trading Market. Other than as described in the SEC Reports,
the Company is, and has no reason to believe that it will not in the foreseeable future continue to be, in compliance with all
such listing and maintenance requirements. The Common Stock is currently eligible for electronic transfer through the Depository
Trust Company or another established clearing corporation and the Company is current in payment of the fees to the Depository Trust
Company (or such other established clearing corporation) in connection with such electronic transfer.

 

(w)Application
of Takeover Protections. The Company and the Board of Directors have taken all necessary action, if any, in order to render
inapplicable any control share acquisition, business combination, poison pill (including any distribution under a rights agreement)
or other similar anti-takeover provision under the Company’s certificate of incorporation (or similar charter documents)
or the laws of its state of incorporation that is or could become applicable to the Purchasers as a result of the Purchasers and
the Company fulfilling their obligations or exercising their rights under the Transaction Documents, including without limitation
as a result of the Company’s issuance of the Shares and the Purchasers’ ownership of the Shares.

 

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(x)Disclosure.
Except with respect to the material terms and conditions of the transactions contemplated by the Transaction Documents, the Company
confirms that neither it nor any other Person acting on its behalf has provided any of the Purchasers or their agents or counsel
with any information that it believes constitutes or might constitute material, non-public information which is not otherwise disclosed
in the Prospectus Supplement. The Company understands and confirms that the Purchasers will rely on the foregoing representation
in effecting transactions in securities of the Company. All of the disclosure furnished by or on behalf of the Company to the Purchasers
regarding the Company and its Subsidiaries, their respective businesses and the transactions contemplated hereby, including the
Disclosure Schedules to this Agreement, is true and correct and does not contain any untrue statement of a material fact or omit
to state any material fact necessary in order to make the statements made therein, in light of the circumstances under which they
were made, not misleading. The press releases disseminated by the Company during the twelve months preceding the date of this Agreement
taken as a whole do not contain any untrue statement of a material fact or omit to state a material fact required to be stated
therein or necessary in order to make the statements therein, in light of the circumstances under which they were made and when
made, not misleading. The Company acknowledges and agrees that no Purchaser makes or has made any representations or warranties
with respect to the transactions contemplated hereby other than those specifically set forth in Section 3.2 hereof.

 

(y)No
Integrated Offering. Assuming the accuracy of the Purchasers’ representations and warranties set forth in Section 3.2,
neither the Company, nor any of its Affiliates, nor any Person acting on its or their behalf has, directly or indirectly, made
any offers or sales of any security or solicited any offers to buy any security, under circumstances that would cause this offering
of the Shares to be integrated with prior offerings by the Company for purposes of any applicable shareholder approval provisions
of any Trading Market on which any of the securities of the Company are listed or designated.

 

(z)Solvency.
Based on the consolidated financial condition of the Company as of the Closing Date, after giving effect to the receipt by the
Company of the proceeds from the sale of the Shares hereunder, (i) the fair saleable value of the Company’s assets exceeds
the amount that will be required to be paid on or in respect of the Company’s existing debts and other liabilities (including
known contingent liabilities) as they mature, (ii) the Company’s assets do not constitute unreasonably small capital to carry
on its business as now conducted and as proposed to be conducted including its capital needs taking into account the particular
capital requirements of the business conducted by the Company, consolidated and projected capital requirements and capital availability
thereof, and (iii) the current cash flow of the Company, together with the proceeds the Company would receive, were it to liquidate
all of its assets, after taking into account all anticipated uses of the cash, would be sufficient to pay all amounts on or in
respect of its liabilities when such amounts are required to be paid. The Company does not intend to incur debts beyond its ability
to pay such debts as they mature (taking into account the timing and amounts of cash to be payable on or in respect of its debt).
The Company has no knowledge of any facts or circumstances which lead it to believe that it will file for reorganization or liquidation
under the bankruptcy or reorganization laws of any jurisdiction within one year from the Closing Date. The SEC Reports set forth
as of the date hereof all outstanding secured and unsecured Indebtedness of the Company or any Subsidiary, or for which the Company
or any Subsidiary has commitments. For the purposes of this Agreement, “Indebtedness” means (x) any liabilities
for borrowed money or amounts owed in excess of $50,000 (other than trade accounts payable incurred in the ordinary course of business),
(y) all guaranties, endorsements and other contingent obligations in respect of indebtedness of others, whether or not the same
are or should be reflected in the Company’s consolidated balance sheet (or the notes thereto), except guaranties by endorsement
of negotiable instruments for deposit or collection or similar transactions in the ordinary course of business; and (z) the present
value of any lease payments in excess of $50,000 due under leases required to be capitalized in accordance with GAAP. Neither the
Company nor any Subsidiary is in default with respect to any Indebtedness.

 

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(aa)Tax
Status. Except for matters that would not, individually or in the aggregate, have or reasonably be expected to result in a
Material Adverse Effect, the Company and its Subsidiaries each (i) has made or filed all United States federal, state and local
income and all foreign income and franchise tax returns, reports and declarations required by any jurisdiction to which it is subject,
(ii) has paid all taxes and other governmental assessments and charges that are material in amount, shown or determined to be due
on such returns, reports and declarations and (iii) has set aside on its books provision reasonably adequate for the payment of
all material taxes for periods subsequent to the periods to which such returns, reports or declarations apply. There are no unpaid
taxes in any material amount claimed to be due by the taxing authority of any jurisdiction, and the officers of the Company or
of any Subsidiary know of no basis for any such claim.

 

(bb)Foreign
Corrupt Practices. Neither the Company nor any Subsidiary, nor to the knowledge of the Company or any Subsidiary, any agent
or other person acting on behalf of the Company or any Subsidiary, has (i) directly or indirectly, used any funds for unlawful
contributions, gifts, entertainment or other unlawful expenses related to foreign or domestic political activity, (ii) made any
unlawful payment to foreign or domestic government officials or employees or to any foreign or domestic political parties or campaigns
from corporate funds, (iii) failed to disclose fully any contribution made by the Company or any Subsidiary (or made by any person
acting on its behalf of which the Company is aware) which is in violation of law, or (iv) violated in any material respect any
provision of FCPA.

 

(cc)Accountants.
The Company’s accounting firm is BDO USA LLP. To the knowledge of the Company, such accounting firm (i) is a registered public
accounting firm as required by the Exchange Act and (ii) shall express its opinion with respect to the financial statements to
be included in the Company’s Annual Report for the fiscal year ending June 30, 2015.

 

(dd)
Acknowledgment Regarding Purchasers’ Purchase of Shares. The Company acknowledges and agrees that each of the Purchasers
is acting solely in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions
contemplated thereby. The Company further acknowledges that no Purchaser is acting as a financial advisor or fiduciary of the Company
(or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated thereby and any advice
given by any Purchaser or any of their respective representatives or agents in connection with the Transaction Documents and the
transactions contemplated thereby is merely incidental to the Purchasers’ purchase of the Shares. The Company further represents
to each Purchaser that the Company’s decision to enter into this Agreement and the other Transaction Documents has been based
solely on the independent evaluation of the transactions contemplated hereby by the Company and its representatives.

 

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(ee)Acknowledgement
Regarding Purchaser’s Trading Activity. Anything in this Agreement or elsewhere herein to the contrary notwithstanding
(except for Sections 3.2(e) and 4.14 hereof), it is understood and acknowledged by the Company that: (i) none of the Purchasers
has been asked by the Company to agree, nor has any Purchaser agreed, to desist from purchasing or selling, long and/or short,
securities of the Company, or “derivative” securities based on securities issued by the Company or to hold the Shares
for any specified term; (ii) past or future open market or other transactions by any Purchaser, specifically including, without
limitation, Short Sales or “derivative” transactions, before or after the closing of this or future private placement
transactions, may negatively impact the market price of the Company’s publicly-traded securities; (iii) any Purchaser, and
counter-parties in “derivative” transactions to which any such Purchaser is a party, directly or indirectly, presently
may have a “short” position in the Common Stock, and (iv) each Purchaser shall not be deemed to have any affiliation
with or control over any arm’s length counter-party in any “derivative” transaction. The Company further understands
and acknowledges that (y) one or more Purchasers may engage in hedging activities at various times during the period that the
Shares are outstanding, and (z) such hedging activities (if any) could reduce the value of the existing stockholders' equity interests
in the Company at and after the time that the hedging activities are being conducted.  The Company acknowledges that such
aforementioned hedging activities do not constitute a breach of any of the Transaction Documents.

 

(ff)Regulation
M Compliance.  The Company has not, and to its knowledge no one acting on its behalf has, (i) taken, directly or indirectly,
any action designed to cause or to result in the stabilization or manipulation of the price of any security of the Company to facilitate
the sale or resale of any of the Shares, (ii) sold, bid for, purchased, or, paid any compensation for soliciting purchases of,
any of the Shares, or (iii) paid or agreed to pay to any Person any compensation for soliciting another to purchase any other securities
of the Company, other than, in the case of clauses (ii) and (iii), compensation paid to the Company’s placement agent in
connection with the placement of the Shares.

 

(gg)Office
of Foreign Assets Control. Neither the Company nor any Subsidiary nor, to the Company's knowledge, any director, officer, agent,
employee or affiliate of the Company or any Subsidiary is currently subject to any U.S. sanctions administered by the Office of
Foreign Assets Control of the U.S. Treasury Department (“OFAC”).

 

(hh)U.S.
Real Property Holding Corporation. The Company is not and has never been a U.S. real property holding corporation within the
meaning of Section 897 of the Internal Revenue Code of 1986, as amended.

 

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(ii)Bank
Holding Company Act. Neither the Company nor any of its Subsidiaries or Affiliates is subject to the Bank Holding Company Act
of 1956, as amended (the “BHCA”) and to regulation by the Board of Governors of the Federal Reserve System (the
“Federal Reserve”). Neither the Company nor any of its Subsidiaries or Affiliates owns or controls, directly
or indirectly, five percent (5%) or more of the outstanding shares of any class of voting securities or twenty-five percent or
more of the total equity of a bank or any entity that is subject to the BHCA and to regulation by the Federal Reserve. Neither
the Company nor any of its Subsidiaries or Affiliates exercises a controlling influence over the management or policies of a bank
or any entity that is subject to the BHCA and to regulation by the Federal Reserve.

 

(jj)Money
Laundering. The operations of the Company and, to the knowledge of the Company, its Subsidiaries are and have been conducted
at all times in compliance with applicable financial record-keeping and reporting requirements of the Currency and Foreign Transactions
Reporting Act of 1970, as amended, applicable money laundering statutes and applicable rules and regulations thereunder (collectively,
the “Money Laundering Laws”), and no action, suit or proceeding by or before any court or governmental agency,
authority or body or any arbitrator involving the Company or any Subsidiary with respect to the Money Laundering Laws is pending
or, to the knowledge of the Company or any Subsidiary, threatened.

 

3.2Representations
and Warranties of the Purchasers. Each Purchaser, for itself and for no other Purchaser, hereby represents and warrants as
of the date hereof and as of the Closing Date to the Company as follows (unless as of a specific date therein):

 

(a)Organization;
Authority. Such Purchaser is either an individual or an entity duly incorporation or formation, validly existing and in good
standing under the laws of the jurisdiction of its incorporation or formation with full right, corporate, partnership, limited
liability company or similar power and authority to enter into and to consummate the transactions contemplated by this Agreement
and otherwise to carry out its obligations hereunder and thereunder. The execution and delivery of this Agreement and performance
by such Purchaser of the transactions contemplated by this Agreement have been duly authorized by all necessary corporate, partnership,
limited liability company or similar action, as applicable, on the part of such Purchaser. Each Transaction Document to which it
is a party has been duly executed by such Purchaser, and when delivered by such Purchaser in accordance with the terms hereof,
will constitute the valid and legally binding obligation of such Purchaser, enforceable against it in accordance with its terms,
except: (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other
laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating to the
availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as indemnification and contribution
provisions may be limited by applicable law. The Purchaser’s execution, delivery and performance of this Agreement and the
other Transaction Documents and the consummation by it of the transactions contemplated hereby do not and will not (i) conflict
with or violate any provision of the Purchaser’s certificate or articles of incorporation, bylaws or other organizational
or charter documents, or (ii) conflict with or result in a violation of any law, rule, regulation, order, judgment, injunction,
decree or other restriction of any court or governmental authority to which the Purchaser is subject (including federal and state
securities laws and regulations), or by which any property or asset of the Purchaser is bound or affected.

 

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(b)Understandings
or Arrangements. Such Purchaser is acquiring the Shares as principal for its own account and has no direct or indirect arrangement
or understandings with any other persons to distribute or regarding the distribution of such Shares (this representation and warranty
not limiting such Purchaser’s right to sell the Shares pursuant to the Registration Statement or otherwise in compliance
with applicable federal and state securities laws). Such Purchaser is acquiring the Shares hereunder in the ordinary course of
its business.

 

(c)Purchaser
Status. At the time such Purchaser was offered the Shares, it was, and as of the date hereof it is, an “accredited investor”
as defined in Rule 501. Such Purchaser is not required to be registered as a broker-dealer under Section 15 of the Exchange Act.

 

(d)Experience
of Such Purchaser. Such Purchaser, either alone or together with its representatives, has such knowledge, sophistication and
experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment
in the Shares, and has so evaluated the merits and risks of such investment. Such Purchaser is able to bear the economic risk of
an investment in the Shares and, at the present time, is able to afford a complete loss of such investment. Such Purchaser understands
that nothing in the Transaction Documents or any other materials presented to such Purchaser in connection with the purchase and
sale of the Shares constitutes legal, tax or investment advice.

 

(e)Access
to Information. Such Purchaser acknowledges that it has had the opportunity to review the Transaction Documents (including
all exhibits and schedules thereto) and the SEC Reports and has been afforded (i) the opportunity to ask such questions as it has
deemed necessary of, and to receive answers from, representatives of the Company concerning the terms and conditions of the offering
of the Shares and the merits and risks of investing in the Shares; (ii) access to information about the Company and its financial
condition, results of operations, business, properties, management and prospects sufficient to enable it to evaluate its investment;
and (iii) the opportunity to obtain such additional information that the Company possesses or can acquire without unreasonable
effort or expense that is necessary to make an informed investment decision with respect to the investment.  Such Purchaser
acknowledges and agrees that neither the Placement Agent nor any Affiliate of the Placement Agent has provided such Purchaser with
any information or advice with respect to the Shares nor is such information or advice necessary or desired.  Neither the
Placement Agent nor any Affiliate has made or makes any representation as to the Company or the quality of the Shares and the Placement
Agent and any Affiliate may have acquired non-public information with respect to the Company which such Purchaser agrees need not
be provided to it.  In connection with the issuance of the Shares to such Purchaser, neither the Placement Agent nor any of
its Affiliates has acted as a financial advisor or fiduciary to such Purchaser.

 

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(f)Certain
Transactions and Confidentiality. Other than consummating the transactions contemplated hereunder, such Purchaser has not,
nor has any Person acting on behalf of or pursuant to any understanding with such Purchaser, directly or indirectly executed any
purchases or sales, including Short Sales, of the securities of the Company during the period commencing as of the time that
such Purchaser first received a term sheet (written or oral) from the Company or any other Person representing the Company setting
forth the material pricing terms of the transactions contemplated hereunder and ending immediately prior to the execution hereof.
Notwithstanding the foregoing, in the case of a Purchaser that is a multi-managed investment vehicle whereby separate portfolio
managers manage separate portions of such Purchaser’s assets and the portfolio managers have no direct knowledge of the investment
decisions made by the portfolio managers managing other portions of such Purchaser’s assets, the representation set forth
above shall only apply with respect to the portion of assets managed by the portfolio manager that made the investment decision
to purchase the Shares covered by this Agreement. Other than to other Persons party to this Agreement, such Purchaser has maintained,
and will maintain, the confidentiality of all disclosures made to it in connection with this transaction (including the existence
and terms of this transaction). Notwithstanding the foregoing, for avoidance of doubt, nothing contained herein shall constitute
a representation or warranty, or preclude any actions, with respect to the identification of the availability of, or securing of,
available shares to borrow in order to effect Short Sales or similar transactions in the future.

 

The Company acknowledges
and agrees that the representations contained in Section 3.2 shall not modify, amend or affect such Purchaser’s right to
rely on the Company’s representations and warranties contained in this Agreement or any representations and warranties contained
in any other Transaction Document or any other document or instrument executed and/or delivered in connection with this Agreement
or the consummation of the transaction contemplated hereby.

 

ARTICLE IV.

OTHER AGREEMENTS OF THE PARTIES

 

4.1[Reserved].

 

4.2Furnishing
of Information. Until the earliest of the time that no Purchaser owns Shares, the Company covenants to timely file (or obtain
extensions in respect thereof and file within the applicable grace period) all reports required to be filed by the Company after
the date hereof pursuant to the Exchange Act even if the Company is not then subject to the reporting requirements of the Exchange
Act; provided, however, that the Company shall have no further obligations pursuant to this Section 4.2 upon the completion of
a Fundamental Transaction (as defined in the Warrants). 

 

4.3Integration.
The Company shall not sell, offer for sale or solicit offers to buy or otherwise negotiate in respect of any security (as defined
in Section 2 of the Securities Act) that would be integrated with the offer or sale of the Shares for purposes of the rules and
regulations of any Trading Market such that it would require shareholder approval prior to the closing of such other transaction
unless shareholder approval is obtained before the closing of such subsequent transaction. 

 

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4.4Securities
Laws Disclosure; Publicity. The Company shall (a) by 9:00 a.m. (New York City time) on the Trading Day immediately following
the date hereof, issue a press release disclosing the material terms of the transactions contemplated hereby, and (b) file a Current
Report on Form 8-K, including the Transaction Documents as exhibits thereto, with the Commission within the time required by the
Exchange Act. From and after the issuance of such press release, the Company represents to the Purchasers that it shall have publicly
disclosed all material, non-public information delivered to any of the Purchasers by the Company or any of its Subsidiaries, or
any of their respective officers, directors, employees or agents in connection with the transactions contemplated by the Transaction
Documents. The Company and the Placement Agent shall consult with each other in issuing any other press releases with respect to
the transactions contemplated hereby, and neither the Company nor any Purchaser shall issue any such press release nor otherwise
make any such public statement without the prior consent of the Company, with respect to any press release of any Purchaser, or
without the prior consent of each Purchaser, with respect to any press release of the Company, which consent shall not unreasonably
be withheld or delayed, except if such disclosure is required by law, in which case the disclosing party shall promptly provide
the other party with prior notice of such public statement or communication. Notwithstanding the foregoing, the Company shall not
publicly disclose the name of any Purchaser, or include the name of any Purchaser in any filing with the Commission or any regulatory
agency or Trading Market, without the prior written consent of such Purchaser, except (a) as required by federal securities law
in connection with the filing of final Transaction Documents with the Commission and (b) to the extent such disclosure is required
by law or Trading Market regulations, in which case the Company shall provide the Purchasers with prior notice of such disclosure
permitted under this clause (b).

 

4.5Shareholder
Rights Plan. No claim will be made or enforced by the Company or, with the consent of the Company, any other Person, that any
Purchaser is an “Acquiring Person” under any control share acquisition, business combination, poison pill (including
any distribution under a rights agreement) or similar anti-takeover plan or arrangement in effect or hereafter adopted by the Company,
or that any Purchaser could be deemed to trigger the provisions of any such plan or arrangement, by virtue of receiving Shares
under the Transaction Documents or under any other agreement between the Company and the Purchasers.

 

4.6Non-Public
Information. Except with respect to the material terms and conditions of the transactions contemplated by the Transaction Documents,
the Company covenants and agrees that neither it, nor any other Person acting on its behalf will provide any Purchaser or its agents
or counsel with any information that the Company believes constitutes material non-public information, unless prior thereto such
Purchaser shall have entered into a written agreement with the Company regarding the confidentiality and use of such information.
The Company understands and confirms that each Purchaser shall be relying on the foregoing covenant in effecting transactions in
securities of the Company.

 

4.7Use
of Proceeds. The Company shall use the net proceeds from the sale of the Shares hereunder for working capital and general corporate
purposes and shall not use such proceeds: (a) for the redemption of any Common Stock or Common Stock Equivalents, (b) for the settlement
of any outstanding litigation or (c) in violation of FCPA or OFAC regulations.

 

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4.8Indemnification
of Purchasers. Subject to the provisions of this Section 4.8, the Company will indemnify and hold each Purchaser and its directors,
officers, shareholders, members, partners, employees and agents (and any other Persons with a functionally equivalent role of a
Person holding such titles notwithstanding a lack of such title or any other title), each Person who controls such Purchaser (within
the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers, shareholders,
agents, members, partners or employees (and any other Persons with a functionally equivalent role of a Person holding such titles
notwithstanding a lack of such title or any other title) of such controlling persons (each, a “Purchaser Party”)
harmless from any and all losses, liabilities, obligations, claims, contingencies, damages, costs and expenses, including all judgments,
amounts paid in settlements, court costs and reasonable attorneys’ fees and costs of investigation that any such Purchaser
Party may suffer or incur as a result of or relating to (a) any breach of any of the representations, warranties, covenants or
agreements made by the Company in this Agreement or in the other Transaction Documents or (b) any action instituted against the
Purchaser Parties in any capacity, or any of them or their respective Affiliates, by any stockholder of the Company who is not
an Affiliate of such Purchaser Party, with respect to any of the transactions contemplated by the Transaction Documents (unless
such action is based upon a breach of such Purchaser Party’s representations, warranties or covenants under the Transaction
Documents or any agreements or understandings such Purchaser Party may have with any such stockholder or any violations by such
Purchaser Party of state or federal securities laws or any conduct by such Purchaser Party which constitutes fraud, gross negligence,
willful misconduct or malfeasance). If any action shall be brought against any Purchaser Party in respect of which indemnity may
be sought pursuant to this Agreement, such Purchaser Party shall promptly notify the Company in writing, and the Company shall
have the right to assume the defense thereof with counsel of its own choosing reasonably acceptable to the Purchaser Party. Any
Purchaser Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but
the fees and expenses of such counsel shall be at the expense of such Purchaser Party except to the extent that (i) the employment
thereof has been specifically authorized by the Company in writing, (ii) the Company has failed after a reasonable period of time
to assume such defense and to employ counsel or (iii) in such action there is, in the reasonable opinion of counsel, a material
conflict on any material issue between the position of the Company and the position of such Purchaser Party, in which case the
Company shall be responsible for the reasonable fees and expenses of no more than one such separate counsel. The Company will not
be liable to any Purchaser Party under this Agreement (y) for any settlement by a Purchaser Party effected without the Company’s
prior written consent, which shall not be unreasonably withheld or delayed; or (z) to the extent, but only to the extent that a
loss, claim, damage or liability is attributable to any Purchaser Party’s breach of any of the representations, warranties,
covenants or agreements made by such Purchaser Party in this Agreement or in the other Transaction Documents. The indemnification
required by this Section 4.8 shall be made by periodic payments of the amount thereof during the course of the investigation or
defense, as and when bills are received or are incurred. The indemnity agreements contained herein shall be in addition to any
cause of action or similar right of any Purchaser Party against the Company or others and any liabilities the Company may be subject
to pursuant to law.

 

4.9Reservation
of Common Stock. As of the date hereof, the Company has reserved and the Company shall continue to reserve and keep available
at all times, free of preemptive rights, a sufficient number of shares of Common Stock for the purpose of enabling the Company
to issue Shares pursuant to this Agreement. 

 

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4.10Listing
of Common Stock. The Company hereby agrees to use best efforts to maintain the listing or quotation of the Common Stock on
the Trading Market on which it is currently listed, and concurrently with the Closing, the Company shall apply to list or quote
all of the Shares on such Trading Market and promptly secure the listing of all of the Shares on such Trading Market. The Company
further agrees, if the Company applies to have the Common Stock traded on any other Trading Market, it will then include in such
application all of the Shares, and will take such other action as is necessary to cause all of the Shares to be listed or quoted
on such other Trading Market as promptly as possible. The Company will then take all action reasonably necessary to continue the
listing and trading of its Common Stock on a Trading Market and will comply in all respects with the Company’s reporting,
filing and other obligations under the bylaws or rules of the Trading Market. The Company agrees to maintain the eligibility of
the Common Stock for electronic transfer through the Depository Trust Company or another established clearing corporation, including,
without limitation, by timely payment of fees to the Depository Trust Company or such other established clearing corporation in
connection with such electronic transfer.

 

4.11Equal
Treatment of Purchasers. No consideration (including any modification of any Transaction Document) shall be offered or paid
to any Person to amend or consent to a waiver or modification of any provision of this Agreement unless the same consideration
is also offered to all of the parties to this Agreement. For clarification purposes, this provision constitutes a separate right
granted to each Purchaser by the Company and negotiated separately by each Purchaser, and is intended for the Company to treat
the Purchasers as a class and shall not in any way be construed as the Purchasers acting in concert or as a group with respect
to the purchase, disposition or voting of Shares or otherwise.

 

4.12Certain
Transactions and Confidentiality. Each Purchaser, severally and not jointly with the other Purchasers, covenants that neither
it nor any Affiliate acting on its behalf or pursuant to any understanding with it will execute any purchases or sales, including
Short Sales of any of the Company’s securities during the period commencing with the execution of this Agreement and ending
at such time that the transactions contemplated by this Agreement are first publicly announced pursuant to the initial press release
as described in Section 4.4.  Each Purchaser, severally and not jointly with the other Purchasers, covenants that until such
time as the transactions contemplated by this Agreement are publicly disclosed by the Company pursuant to the initial press release
as described in Section 4.4, such Purchaser will maintain the confidentiality of the existence and terms of this transaction and
the information included in the Disclosure Schedules.  Notwithstanding the foregoing and notwithstanding anything contained
in this Agreement to the contrary, the Company expressly acknowledges and agrees that (i) no Purchaser makes any representation,
warranty or covenant hereby that it will not engage in effecting transactions in any securities of the Company after the time that
the transactions contemplated by this Agreement are first publicly announced pursuant to the initial press release as described
in Section 4.4, (ii) no Purchaser shall be restricted or prohibited from effecting any transactions in any securities of the Company
in accordance with applicable securities laws from and after the time that the transactions contemplated by this Agreement are
first publicly announced pursuant to the initial press release as described in Section 4.4 and (iii) no Purchaser shall have any
duty of confidentiality to the Company or its Subsidiaries after the issuance of the initial press release as described in Section
4.4.  Notwithstanding the foregoing, in the case of a Purchaser that is a multi-managed investment vehicle whereby separate
portfolio managers manage separate portions of such Purchaser’s assets and the portfolio managers have no direct knowledge
of the investment decisions made by the portfolio managers managing other portions of such Purchaser’s assets, the covenant
set forth above shall only apply with respect to the portion of assets managed by the portfolio manager that made the investment
decision to purchase the Shares covered by this Agreement.

 

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ARTICLE V.

MISCELLANEOUS

 

5.1Termination. 
This Agreement may be terminated by any Purchaser, as to such Purchaser’s obligations hereunder only and without any effect
whatsoever on the obligations between the Company and the other Purchasers, by written notice to the other parties, if the Closing
has not been consummated on or before April __, 2015; provided, however, that no such termination will affect the
right of any party to sue for any breach by any other party (or parties).

 

5.2Fees
and Expenses. Except as expressly set forth in the Transaction Documents to the contrary, each party shall pay the fees and
expenses of its advisers, counsel, accountants and other experts, if any, and all other expenses incurred by such party incident
to the negotiation, preparation, execution, delivery and performance of this Agreement. The Company shall pay all Transfer Agent
fees (including, without limitation, any fees required for same-day processing of any instruction letter delivered by the Company),
stamp taxes and other taxes and duties levied in connection with the delivery of any Shares to the Purchasers.

 

5.3Entire
Agreement. The Transaction Documents, together with the exhibits and schedules thereto, the Prospectus and the Prospectus Supplement,
contain the entire understanding of the parties with respect to the subject matter hereof and thereof and supersede all prior agreements
and understandings, oral or written, with respect to such matters, which the parties acknowledge have been merged into such documents,
exhibits and schedules.

 

5.4Notices.
Any and all notices or other communications or deliveries required or permitted to be provided hereunder shall be in writing and
shall be deemed given and effective on the earliest of: (a) the date of transmission, if such notice or communication is delivered
via facsimile at the facsimile number set forth on the signature pages attached hereto at or prior to 5:30 p.m. (New York City
time) on a Trading Day, (b) the next Trading Day after the date of transmission, if such notice or communication is delivered via
facsimile at the facsimile number set forth on the signature pages attached hereto on a day that is not a Trading Day or later
than 5:30 p.m. (New York City time) on any Trading Day, (c) the second (2nd) Trading Day following the date of mailing,
if sent by U.S. nationally recognized overnight courier service or (d) upon actual receipt by the party to whom such notice is
required to be given. The address for such notices and communications shall be as set forth on the signature pages attached hereto.

 

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5.5Amendments;
Waivers. No provision of this Agreement may be waived, modified, supplemented or amended except in a written instrument signed,
in the case of an amendment, by the Company and the Purchasers who purchased at least 51% in interest of the Shares based on the
initial Subscription Amounts hereunder or, in the case of a waiver, by the party against whom enforcement of any such waived provision
is sought. No waiver of any default with respect to any provision, condition or requirement of this Agreement shall be deemed to
be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other provision, condition or requirement
hereof, nor shall any delay or omission of any party to exercise any right hereunder in any manner impair the exercise of any such
right.

 

5.6Headings.
The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be deemed to limit or affect
any of the provisions hereof.

 

5.7Successors
and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors and permitted
assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written consent of
each Purchaser (other than by merger). Any Purchaser may assign any or all of its rights under this Agreement to any Person to
whom such Purchaser assigns or transfers any Shares, provided that such transferee agrees in writing to be bound, with respect
to the transferred Shares, by the provisions of the Transaction Documents that apply to the “Purchasers.”

 

5.8No
Third-Party Beneficiaries. The Placement Agent shall be the third party beneficiary of the representations and warranties of
the Company in Section 3.1 and the representations and warranties of the Purchasers in Section 3.2. This Agreement is intended
for the benefit of the parties hereto and their respective successors and permitted assigns and is not for the benefit of, nor
may any provision hereof be enforced by, any other Person, except as otherwise set forth in Section 4.8 and this Section 5.8.

 

5.9Governing
Law. All questions concerning the construction, validity, enforcement and interpretation of the Transaction Documents shall
be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the
principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations, enforcement
and defense of the transactions contemplated by this Agreement and any other Transaction Documents (whether brought against a party
hereto or its respective affiliates, directors, officers, shareholders, partners, members, employees or agents) shall be commenced
exclusively in the state and federal courts sitting in the City of New York. Each party hereby irrevocably submits to the exclusive
jurisdiction of the state and federal courts sitting in the City of New York, Borough of Manhattan for the adjudication of any
dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect
to the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and agrees not to assert in any suit, action
or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding
is improper or is an inconvenient venue for such proceeding. Each party hereby irrevocably waives personal service of process and
consents to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified mail
or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement
and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein
shall be deemed to limit in any way any right to serve process in any other manner permitted by law. If either party shall commence
an action, suit or proceeding to enforce any provisions of the Transaction Documents, then, in addition to the obligations of the
Company under Section 4.8, the prevailing party in such action, suit or proceeding shall be reimbursed by the other party for its
reasonable attorneys’ fees and other costs and expenses incurred with the investigation, preparation and prosecution of such
action or proceeding.

 

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5.10Survival.
The representations and warranties contained herein shall survive the Closing and the delivery of the Shares.

 

5.11Execution.
This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered one and the same
agreement and shall become effective when counterparts have been signed by each party and delivered to each other party, it being
understood that the parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission
or by e-mail delivery of a “.pdf” format data file, such signature shall create a valid and binding obligation of the
party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or “.pdf”
signature page were an original thereof.

 

5.12Severability.
If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal,
void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full
force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their commercially
reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated
by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that
they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be
hereafter declared invalid, illegal, void or unenforceable.

 

5.13Rescission
and Withdrawal Right. Notwithstanding anything to the contrary contained in (and without limiting any similar provisions of)
any of the other Transaction Documents, whenever any Purchaser exercises a right, election, demand or option under a Transaction
Document and the Company does not timely perform its related obligations within the periods therein provided, then such Purchaser
may rescind or withdraw, in its sole discretion from time to time upon written notice to the Company, any relevant notice, demand
or election in whole or in part without prejudice to its future actions and rights.

 

5.14Replacement
of Shares. If any certificate or instrument evidencing any Shares is mutilated, lost, stolen or destroyed, the Company shall
issue or cause to be issued in exchange and substitution for and upon cancellation thereof (in the case of mutilation), or in lieu
of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence reasonably satisfactory to the
Company of such loss, theft or destruction. The applicant for a new certificate or instrument under such circumstances shall also
pay any reasonable third-party costs (including customary indemnity) associated with the issuance of such replacement Shares.

 

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5.15Remedies.
In addition to being entitled to exercise all rights provided herein or granted by law, including recovery of damages, each of
the Purchasers and the Company will be entitled to specific performance under the Transaction Documents. The parties agree that
monetary damages may not be adequate compensation for any loss incurred by reason of any breach of obligations contained in the
Transaction Documents and hereby agree to waive and not to assert in any action for specific performance of any such obligation
the defense that a remedy at law would be adequate.

 

5.16Payment
Set Aside. To the extent that the Company makes a payment or payments to any Purchaser pursuant to any Transaction Document
or a Purchaser enforces or exercises its rights thereunder, and such payment or payments or the proceeds of such enforcement or
exercise or any part thereof are subsequently invalidated, declared to be fraudulent or preferential, set aside, recovered from,
disgorged by or are required to be refunded, repaid or otherwise restored to the Company, a trustee, receiver or any other Person
under any law (including, without limitation, any bankruptcy law, state or federal law, common law or equitable cause of action),
then to the extent of any such restoration the obligation or part thereof originally intended to be satisfied shall be revived
and continued in full force and effect as if such payment had not been made or such enforcement or setoff had not occurred.

 

5.17Independent
Nature of Purchasers’ Obligations and Rights. The obligations of each Purchaser under any Transaction Document are several
and not joint with the obligations of any other Purchaser, and no Purchaser shall be responsible in any way for the performance
or non-performance of the obligations of any other Purchaser under any Transaction Document. Nothing contained herein or in any
other Transaction Document, and no action taken by any Purchaser pursuant hereto or thereto, shall be deemed to constitute the
Purchasers as a partnership, an association, a joint venture or any other kind of entity, or create a presumption that the Purchasers
are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by the Transaction
Documents. Each Purchaser shall be entitled to independently protect and enforce its rights including, without limitation, the
rights arising out of this Agreement or out of the other Transaction Documents, and it shall not be necessary for any other Purchaser
to be joined as an additional party in any proceeding for such purpose. Each Purchaser has been represented by its own separate
legal counsel in its review and negotiation of the Transaction Documents. For reasons of administrative convenience only, each
Purchaser and its respective counsel have chosen to communicate with the Company through EGS. EGS does not represent any of the
Purchasers and only represents the Placement Agent. The Company has elected to provide all Purchasers with the same terms and Transaction
Documents for the convenience of the Company and not because it was required or requested to do so by any of the Purchasers. It
is expressly understood and agreed that each provision contained in this Agreement and in each other Transaction Document is between
the Company and a Purchaser, solely, and not between the Company and the Purchasers collectively and not between and among the
Purchasers.

 

5.18Liquidated
Damages. The Company’s obligations to pay any partial liquidated damages or other amounts owing under the Transaction
Documents is a continuing obligation of the Company and shall not terminate until all unpaid partial liquidated damages and other
amounts have been paid notwithstanding the fact that the instrument or security pursuant to which such partial liquidated damages
or other amounts are due and payable shall have been canceled.

 

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5.19Saturdays,
Sundays, Holidays, etc.If the last or appointed day for the taking of any action or the expiration of any right required
or granted herein shall not be a Business Day, then such action may be taken or such right may be exercised on the next succeeding
Business Day.

 

5.20Construction.
The parties agree that each of them and/or their respective counsel have reviewed and had an opportunity to revise the Transaction
Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting
party shall not be employed in the interpretation of the Transaction Documents or any amendments thereto. In addition, each and
every reference to share prices and shares of Common Stock in any Transaction Document shall be subject to adjustment for reverse
and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock that occur after
the date of this Agreement.

 

5.21WAIVER
OF JURY TRIAL. IN ANY ACTION, SUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY OTHER PARTY, THE
PARTIES EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY, UNCONDITIONALLY,
IRREVOCABLY AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY. 

 

 

 

(Signature Pages Follow)

 

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IN WITNESS WHEREOF,
the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories
as of the date first indicated above.

 

 

	synthesis energy systems, inc. 

	 	Address for Notice:
	 	 	 	 
	 	 	 	 
	 	 	 	 
	By:		 	Fax:
		
        Name:

        Title:

        

        
	 	
	 	 	 
	With a copy to (which shall not constitute notice): 

	 	 

 

 

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK

SIGNATURE PAGE FOR PURCHASER FOLLOWS]

[PURCHASER SIGNATURE PAGES TO
symx SECURITIES PURCHASE AGREEMENT]

 

    	29

    	 

    

 

IN WITNESS WHEREOF,
the undersigned have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as
of the date first indicated above.

 

Name of Purchaser: ________________________________________________________

 

Signature of Authorized Signatory of
Purchaser: _________________________________

 

Name of Authorized Signatory: _______________________________________________

 

Title of Authorized Signatory: ________________________________________________

 

Email Address of Authorized Signatory:_________________________________________

 

Facsimile Number of Authorized Signatory: __________________________________________

 

Address for Notice to Purchaser:

 

 

 

Address for Delivery of Shares to Purchaser (if not same as
address for notice):

 

 

 

 

Subscription Amount: $_________________

 

Shares: _________________

 

EIN Number: _______________________

 

 

 

[SIGNATURE PAGES CONTINUE]

 

    	30

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