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EXHIBIT 4.8    
  

 
 

WARRANT    
  

        THIS WARRANT HAS BEEN ISSUED AND THE SHARES OF COMMON STOCK WHICH MAY BE PURCHASED PURSUANT TO THE EXERCISE OF THE RIGHTS UNDER THIS
WARRANT HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT FOR DISTRIBUTION, AND HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. SUCH SECURITIES MAY NOT BE SOLD, OFFERED FOR SALE,
PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED IN THE ABSENCE OF A REGISTRATION STATEMENT IN EFFECT WITH RESPECT THERETO UNDER SUCH ACT UNLESS SOLD PURSUANT TO RULE 144 OF SUCH ACT OR UNLESS
SUCH SALE, OFFER, PLEDGE, HYPOTHECATION OR TRANSFER IS OTHERWISE EXEMPT FROM REGISTRATION.

 
 

WARRANT TO PURCHASE SHARES OF COMMON STOCK
  OF
  HEALTHETECH, INC.    
  

 
  Dated as of September 27, 2002    
  

	No. CS-4	 	Warrant to Purchase

76,000 Shares of

Common Stock of the Company

(subject to adjustment)

        THIS
CERTIFIES THAT, for value received, James W. Dennis (the "Holder") is entitled, subject to the terms and conditions set forth below,
to purchase from HealtheTech, Inc., a Delaware corporation (the "Company"), up to seventy-six thousand (76,000) shares of the
Company's Common Stock, $0.001 par value per share (the "Shares"), subject to the provisions and upon the terms and conditions set forth herein. The
term "Warrant" as used herein shall include this Warrant and any warrants delivered in substitution or exchange therefore as provided herein. This
Warrant is issued in consideration for certain consulting services to be provided by the Holder to the Company pursuant to the terms and conditions of a letter agreement, dated as of
September 27, 2002, by and between the Company and the Holder. 

        1.    Number, Price and Expiration of the Shares.    

        (a)    Two Year Right to Purchase the Shares.    The Holder shall have the right to purchase up to a total of forty
thousand (40,000) of the Shares (as may be adjusted pursuant hereto), at an exercise price of $7.50 per share, which right shall terminate, to the extent not exercised, at 5:00 p.m., Mountain
Time, on September 26, 2004. 

        (b)    Three Year Right to Purchase the Shares.    The Holder shall have the right to purchase up to a total of
thirty-six thousand (36,000) of the Shares (as may be adjusted pursuant hereto), at an exercise price of $10.00 per share, which right shall terminate, to the extent not exercised, at
5:00 p.m., Mountain Time, on September 26, 2005. 

        2.    Exercise of Warrant.    

        (a)    Exercise.    The purchase rights represented by this Warrant may be exercised at the election of the Holder, in
whole or in part, in accordance with Section 1 and prior to the expiration of this Warrant, by (i) the tender to the Company at its principal office (or such other office or agency of
the Company as it may designate by notice in writing to the Holder at the address of the Holder appearing on the books of the Company) of a notice of exercise in the form attached hereto as  Exhibit A (the "Notice of Exercise"), duly completed and executed on behalf of the Holder,
together with the surrender of this
Warrant, and (ii) the payment to the Company of an amount equal to the applicable exercise price(s) multiplied by 

 

the number of Shares being purchased by wire transfer or certified, cashier's or other check acceptable to the Company and payable to the order of the Company. 

        (b)    Stock Certificates.    The rights under this Warrant shall be deemed to have been exercised and the Shares
shall be deemed to have been issued immediately prior to the close of business on the date of its tender for exercise as provided above, and the person entitled to receive the Shares issuable upon
such exercise shall be treated for all purposes as the holder of record of such Shares as of the close of business on such date. As promptly as reasonably practicable on or after such date, the
Company shall direct the Company's transfer agent to issue and deliver to the person or persons entitled to receive the same a certificate or certificates for that number of shares issuable upon such
exercise. In the event that the rights under this Warrant are exercised in part and have not expired, the Company shall execute and deliver a new Warrant with the same terms and conditions for the
number of Shares that remain subject to this Warrant. 

        (c)    Taxes.    In no event shall the Company be required to pay any tax which may be payable in respect of any
transfer involved in the issue and delivery of any certificate in a name other than that of the Holder, and the Company shall not be required to direct the Company's transfer agent to issue or deliver
any such certificate unless and until the person or persons requesting the issue thereof shall have paid to the Company the amount of such tax or shall have established to the satisfaction of the
Company that such tax has been paid. 

        3.    No Fractional Shares or Scrip.    No fractional shares or scrip representing fractional shares shall be issued
upon the exercise of the rights under this Warrant. In lieu of such fractional share to which the Holder would otherwise be entitled, the Company shall make a cash payment equal to the applicable
exercise price(s) multiplied by such fraction. 

        4.    Replacement of Warrant.    On receipt of evidence reasonably satisfactory to the Company of the loss, theft,
destruction or mutilation of this Warrant and, in the case of loss, theft or destruction, on delivery of an indemnity agreement reasonably satisfactory in form and substance to the Company or, in the
case of mutilation, on surrender and cancellation of this Warrant, the Company at the expense of the Holder shall execute and deliver, in lieu of this Warrant, a new warrant of like tenor and amount. 

        5.    Piggy-back Registration Rights.    

        The
Shares issued upon exercise of this Warrant shall have certain piggy-back registration rights as set forth in Attachment
A. 

        6.    Representations and Warranties of the Holder.    

        (a)    Investment Intent.    The Holder is acquiring the Securities Warrant and the Shares issuable upon exercise of
the Warrant, for investment for his own account, not as a nominee or agent, and not with the view to, or for resale in connection with, any distribution thereof. 

        (b)    Investment Experience.    The Holder has substantial experience in evaluating and investing in private
placement transactions of securities in companies similar to the Company so that he is capable of evaluating the merits and risks of his investment in the Company and has the capacity to protect his
own interests. 

        (c)    Speculative Nature of Investment.    The Holder acknowledges that his investment in the Company is highly
speculative and entails a substantial degree of risk and the Holder is in a position to lose the entire amount of such investment. 

        (d)    Access to Data.    The Holder has had an opportunity to discuss the Company's business, management and
financial affairs with the Company's management. The Holder has also had an opportunity to ask questions of officers of the Company, which questions were 

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answered to his satisfaction. The Holder understands that such discussions, as well as any information issued by the Company, were intended to describe certain aspects of the Company's business and
prospects, but were not necessarily a thorough or exhaustive description. The Holder acknowledges that any business plans prepared by the Company have been, and continue to be, subject to change and
that any projections included in such business plans or otherwise are necessarily speculative in nature, and it can be expected that some or all of the assumptions underlying the projections will not
materialize or will vary significantly from actual results. 

        (e)    Accredited Investor.    The Holder is an "accredited investor" within the meaning of Regulation D,
Rule 501(a), promulgated by the Securities and Exchange Commission under the Securities Act of 1933, as amended (the "Securities Act"). 

        (f)    Residency.    The residency of the Holder is correctly set forth on the signature page hereto. 

        (g)    Restriction on Resales.    The Holder acknowledges that the Securities Warrant and the Shares issuable upon
exercise of the Warrant must be held indefinitely unless subsequently registered under the Securities Act or unless an exemption from such registration is available. The Holder further understands
that there is no assurance that any exemption from registration under the Securities Act will be available or, if available, that such exemption will allow the Holder to dispose of or otherwise
transfer any or all of the Securities under the circumstances, in the amounts or at the times the Holder might propose. 

        (h)    Rule 144.    The Holder is aware of the provisions of Rule 144 promulgated under the Securities
Act which permit limited resale of shares purchased in a private placement subject to the satisfaction of certain conditions, including among other things, the existence of a public market for the
shares, the availability of certain current public information about the Company, the resale occurring not less than one year after a party has purchased and paid for the security to be sold, the sale
being effected through a "broker's transaction" or in transactions directly with a "market maker" and the number of shares being sold during any three-month period not exceeding specified limitations.
The Holder acknowledges that, in the event all of the requirements of Rule 144 are not met, registration under the Securities Act or an exemption from registration will be required for any
disposition of the Securities. The Holder understands that, although Rule 144 is not exclusive, the Securities and Exchange Commission has expressed its opinion that persons proposing to sell
restricted securities received in a private offering other than in a registered offering or pursuant to Rule 144 will have a substantial burden of proof in establishing that an exemption from
registration is available for such offers or sales and that such persons and the brokers who participate in the transactions do so at their own risk. 

        (i)    Authorization.    

          (i)  The
Holder has all requisite power and authority to execute and deliver this Warrant, to purchase the Shares issuable upon exercise of the rights under this Warrant and
to carry out and perform his obligations under the terms and conditions of this Warrant. All action on the part of the Holder necessary for the authorization, execution, delivery and performance of
this Warrant, and the performance of all of the Holder's obligations under this Warrant, has been taken or will be taken prior to the purchase of this Warrant. 

        (ii)  This
Warrant, when executed and delivered by the Holder, will constitute a valid and legally binding obligation of the Holder, enforceable in accordance with its terms
except: (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium 

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and other laws of general application affecting enforcement of creditors' rights generally, and (ii) as limited by laws relating to the availability of specific performance, injunctive relief
or other equitable remedies or by general principles of equity. 

        (iii)  No
consent, approval, authorization, order, filing, registration or qualification of or with any court, governmental authority or third person is required to be
obtained by the Holder in connection with the execution and delivery of this Warrant or the performance of the Holder's obligations hereunder. 

        (j)    Brokers and Finders.    The Holder has not engaged any brokers, finders or agents in connection with this
Warrant, and the Company has not incurred and will not incur, directly or indirectly, as a result of any action taken by the Holder, any liability for brokerage or finders' fees or agents' commissions
or any similar charges in connection with this Warrant. 

        (k)    Investor Counsel.    The Holder acknowledges that he has had the opportunity to review this Warrant and the
exhibits attached hereto and the transactions contemplated by this Warrant with his own legal counsel. The Holder is relying solely on such counsel and not on any statements or representations of the
Company or its agents for legal advice with respect to this investment or the transactions contemplated by this Warrant. 

        (l)    Tax Advisors.    The Holder has reviewed with his own tax advisors the U.S. federal, state, local and foreign
tax consequences of this investment and the transactions contemplated by this Warrant. With respect to such matters, the Holder relies solely on such advisors and not on any statements or
representations of the Company or any of its agents, written or oral. The Holder understands that he (and not the Company) shall be responsible for his own tax liability that may arise as a result of
this investment or the transactions contemplated by this Warrant. 

        7.    Transfer of Warrants; Restrictions on Transfer.    

        (a)    Warrant Register.    The Company shall maintain a register (the "Warrant
Register") containing the name and address of the Holder or Holders. Any Holder of this Warrant or any portion thereof may change its address as shown on the Warrant Register
by written notice to the Company requesting such change. Any written notice or written communication required or permitted to be given to the Holder may be delivered or given by any method provided in
Section 12(d) hereof. Until this Warrant is transferred on the Warrant Register, the Company may treat the Holder as shown on the Warrant Register as the absolute owner of this Warrant
for all purposes, notwithstanding any notice to the contrary. 

        (b)    Warrant Agent.    The Company may, by notice to the Holder, appoint an agent for the purpose of maintaining the
Warrant Register referred to in Section 7(a) above, issuing the Shares or other securities then issuable upon the exercise of the rights under this Warrant, exchanging this Warrant,
replacing this Warrant or any or all of the foregoing. Thereafter, any such registration, issuance, exchange or replacement, as the case may be, shall be made at the office of such agent. 

        (c)    Transferability and Non-negotiability of Warrant.    This Warrant may not be transferred or
assigned in whole or in part without compliance with all applicable federal and state securities laws by the transferor and the transferee. Subject to the provisions of this Warrant with respect to
compliance with the Securities Act and limitations on assignments and transfers, including without limitation compliance with the restrictions on transfer set forth in
Section 7(e) hereof, title to this Warrant may be transferred by endorsement (by the transferor and the transferee executing the assignment form (the "Assignment
Form") attached hereto as Exhibit C) and delivery in the same manner as a negotiable instrument transferable by
endorsement and delivery. 

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        (d)    Exchange of Warrant upon a Transfer.    On surrender of this Warrant for exchange and a properly endorsed
Assignment Form, and subject to the provisions of this Warrant with respect to compliance with the Securities Act and limitations on assignments and transfers, the Company shall issue to or on the
order of the Holder a new warrant or warrants with the same terms and conditions, in the name of the Holder or such other individual or entity as the Holder (on payment by the Holder of any applicable
transfer taxes) may direct, for the number of shares Shares issuable upon exercise of the rights hereunder and the Company shall register any such transfer upon the Warrant Register. This Warrant and
the Shares issuable upon exercise of the rights under this Warrant must be surrendered to the Company or its warrant or transfer agent, as applicable, as a condition precedent to the sale, pledge,
hypothecation or any other transfer of any interest in any of the securities represented hereby. Upon the transfer of this Warrant pursuant to the terms of this Section 7, the transferee shall
be a "Holder" under the terms hereof. 

        (e)    Restrictions on Transfer of Warrants and Shares; Compliance with Securities Laws.    

          (i)  The
Holder agrees not to make any disposition of all or any portion of the Shares or this Warrant unless and until, and it shall be a condition to the transfer of all
or any portion of the Shares or this Warrant that: (1) there is then in effect a registration statement under the Securities Act covering such proposed disposition and such disposition is made
in accordance with such registration statement or (2) (A) the Holder shall have notified the Company of the proposed disposition and shall have furnished the Company with a detailed
statement of the circumstances surrounding the proposed disposition, (B) the transferee shall have agreed in writing to be bound by and subject to the terms, conditions, restrictions,
obligations and other limitations set forth in this Warrant to the same extent as if such transferee were the original Holder hereunder, (C) the transferee shall have confirmed to the
satisfaction of the Company in writing, substantially in the form attached hereto as Exhibit B, that the Shares or the Warrant purchased are
being acquired solely for the transferee's own account and not as a nominee for any other party, for investment and not with a view toward distribution or resale and that the transferee shall have
confirmed such other matters related thereto as may be reasonably requested by the Company, and (D) if requested by the Company, the Holder shall have furnished the Company with an opinion of
counsel, reasonably satisfactory to the Company, that such disposition will not require registration of the Warrant or such Shares under the Securities Act. This Warrant or any portion hereof and any
Shares issuable pursuant to the exercise of the rights under this Warrant that are transferred to a transferee shall be subject to the terms, conditions, restrictions, obligations and other
limitations set forth herein. 

        (ii)  Unless
the rights under this Warrant are exercised pursuant to an effective registration statement under the Securities Act that includes the Shares with respect to
which the Warrant was exercised, it shall be a condition to any exercise of the rights under this Warrant that the Holder shall have confirmed to the satisfaction of the Company in writing,
substantially in the form attached hereto as Exhibit B, that the Shares so purchased are being acquired solely for the Holder's own account and
not as a nominee for any other party, for investment and not with a view toward distribution or resale and that the Holder shall have confirmed such other matters related thereto as may be reasonably
requested by the Company. 

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        (iii)  This
Warrant and all Shares issued upon exercise hereof shall be stamped or imprinted with a legend in substantially the following form (in addition to any legend
required by state securities laws): 

        "THESE
SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT FOR DISTRIBUTION, AND HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. SUCH SECURITIES MAY NOT BE SOLD,
OFFERED FOR SALE, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED IN THE ABSENCE OF A REGISTRATION STATEMENT IN EFFECT WITH RESPECT THERETO UNDER SUCH ACT UNLESS SOLD PURSUANT TO RULE 144 OF
SUCH ACT OR UNLESS SUCH SALE, OFFER, PLEDGE, HYPOTHECATION OR TRANSFER IS OTHERWISE EXEMPT FROM REGISTRATION." 

        (f)    This
Warrant may not be transferred in part unless such transfer is to a transferee who, pursuant to such transfer, receives the right to purchase at least five thousand
(5,000) Shares hereunder (as adjusted from time to time in accordance with Section 10 hereof). 

        8.    Reservation of Stock.    The Company agrees during the term the rights under this Warrant are exercisable to
reserve from its authorized and unissued Common Stock a sufficient number of shares to provide for the issuance of the Shares upon the exercise of the rights under this Warrant and, from time to time,
to use its best efforts to amend its Certificate of Incorporation to provide sufficient reserves of shares of Common Stock issuable upon exercise of the rights under the Warrant. 

        9.    Expiration; Early Termination.    This Warrant shall expire on September 26, 2005, and shall be void
thereafter. Notwithstanding the foregoing, this Warrant shall terminate immediately prior to the voluntary liquidation, dissolution or winding up of the Company. 

        10.    Adjustment Rights.    The number and kind of shares purchasable hereunder and the applicable exercise price(s)
therefore are subject to adjustment from time to time, as follows: 

        (a)    Merger.    The number and kind of shares If at any time after the date hereof there shall be any
reorganization, recapitalization, merger or consolidation involving the Company in which shares of the Company's stock (other than a reorganization, recapitalization, merger or consolidation or a
related combination, reclassification, exchange, capital reorganization, subdivision of securities or other transaction otherwise provided for herein) are converted into or exchanged for securities,
cash or other property, other than as would cause the expiration of this Warrant, then, as a part of such reorganization, recapitalization, merger or consolidation, lawful provision shall be made so
that the Holder shall thereafter be entitled to receive upon exercise of his rights to purchase the Shares hereunder, the kind and amount of securities, cash or other property of the successor
corporation resulting from such reorganization, recapitalization, merger or consolidation, equivalent in value to that which a holder of the Common Stock deliverable upon exercise of such rights to
purchase the Shares hereunder would have been entitled in such reorganization, recapitalization, merger or consolidation if such rights to purchase the Shares hereunder had been exercised immediately
prior to such reorganization, recapitalization, merger or consolidation. In any such case, appropriate adjustment (as determined in good faith by the Company's Board of Directors) shall be made in the
application of the provisions of this Warrant with respect to the rights and interests of the Holder after such reorganization, recapitalization, merger or consolidation to the end that the provisions
of this Warrant (including adjustments of the applicable exercise price(s) and number of shares of Common Stock purchasable pursuant to the terms and conditions of this Warrant) shall be applicable
after the event, as near as reasonably may be, in relation to any shares or other securities deliverable after that event upon the exercise of the Holder's rights to purchase the Shares pursuant to
this Warrant. 

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        (b)    Reclassification of Shares.    If the Company at any time after the date hereof shall, by combination,
reclassification, exchange, capital reorganization or subdivision of securities or otherwise (other than a combination, reclassification, exchange, capital reorganization or subdivision of securities
or a related reorganization, recapitalization, merger, consolidation or other transaction otherwise provided for herein), change any of the securities as to which purchase rights under this Warrant
exist into the same or a different number of securities of any other class or classes, this Warrant shall thereafter provide for the right or rights to acquire such number and kind of securities as
would have been issuable as the result of such change with respect to the securities which were subject to the purchase rights under this Warrant immediately prior to such combination,
reclassification, exchange, capital reorganization, subdivision or other change. In any such case, appropriate adjustment (as determined in good faith by the Company's Board of Directors) shall be
made in the application of the provisions of this Warrant with respect to the rights and interests of the Holder after such combination, reclassification, capital reorganization, exchange, subdivision
or change to the end that the provisions of this Warrant (including adjustments of the applicable exercise price(s) and number of shares of Common Stock purchasable pursuant to the terms and
conditions of this Warrant) shall be applicable after the event, as near as reasonably may be, in relation to any shares or other securities deliverable after that event upon the exercise of the
Holder's rights to purchase the Shares pursuant to this Warrant. 

        (c)    Subdivisions and Combinations.    In the event that the Company shall at any time subdivide (by stock split, by
payment of a stock dividend or otherwise) the outstanding shares of Common Stock, the number of Shares issuable upon exercise of the rights under this Warrant immediately prior to such subdivision
shall, concurrently with the effectiveness of such subdivision, be proportionately increased, and the applicable exercise price(s) shall be proportionately decreased, and in the event that the Company
shall at any time combine (by reclassification or otherwise) the outstanding shares of Common Stock into a lesser number of shares of Common Stock, the number of Shares issuable upon exercise of the
rights under this Warrant immediately prior to such combination shall, concurrently with the effectiveness of such combination, be proportionately decreased, and the applicable exercise price(s) shall
be proportionately increased. 

        (d)    Notice of Adjustments.    Upon any adjustment of any of the exercise prices or any increase or decrease in the
number of Shares purchasable upon the exercise of the rights under this Warrant in accordance with this Section 10, then, and in each such case, the Company, within thirty (30) days
thereafter, shall promptly give notice thereof, to the Holder at the address of such Holder as shown on the Warrant Register of the Company, delivered by any method provided in
Section 12(d) hereof, which notice shall state the event giving rise to the adjustment, the exercise price(s) as adjusted and, if applicable, the increased or decreased number of Shares
purchasable upon the exercise of the rights under this Warrant, setting forth in reasonable detail the method of calculation of each. 

        (e)    Other Notices.    In the event that the Company shall authorize: (1) the issuance of any dividend or
other distribution on the Common Stock (other than: (i) repurchases of Common Stock issued to or held by employees, officers, directors or consultants of the Company or its subsidiaries upon
termination of their employment or services pursuant to agreements providing for the right of said repurchase; (ii) repurchases of Common Stock issued to or held by employees, officers,
directors or consultants of the Company or its subsidiaries pursuant to rights of first refusal contained in agreements providing for such right; or (iii) repurchases of capital stock of the
Company in connection with the settlement of disputes with any stockholder), whether in cash, property, stock or other securities; (2) the voluntary liquidation, dissolution or winding up of
the Company; or (3) any transaction 

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resulting in the expiration of this Warrant; then, in each such case, the Company shall give written notice thereof to the Holder at the address of such Holder as shown on the Warrant Register of the
Company, delivered by any method provided in Section 12(d) hereof, at least five (5) days prior to the effective date of such event. The notice provisions set forth in this
section may be shortened or waived prospectively or retrospectively by the vote or written consent of the holders of a majority of the Shares issuable upon exercise of the rights under this
Warrant. 

        11.    No Rights as Stockholder.    Nothing contained herein shall entitle the Holder to any rights as a stockholder
of the Company or to be deemed the holder of Common Stock or any other securities that may at any time be issuable on the exercise of the rights hereunder for any purpose nor shall anything contained
herein be construed to confer upon the Holder, as such, any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold
consent to any corporate action (whether upon any recapitalization, issuance of stock, reclassification of stock, change of par value or change of stock to no par value, consolidation, merger,
conveyance or otherwise) or to receive notice of meetings, or to receive dividends or subscription rights or otherwise or any other rights of a stockholder of the Company until the rights under the
Warrant shall have been
exercised and the Shares purchasable upon exercise of the rights hereunder shall have become deliverable as provided herein. 

        12.    Miscellaneous.    

        (a)    Effective Date.    The provisions of this Warrant shall be construed and shall be given effect in all respects
as if it had been executed and delivered by the Company on the date hereof. 

        (b)    Waiver and Amendment.    Any provision of this Warrant may be amended, waived or modified only upon the written
consent of the Company and the Holder. 

        (c)    Successors and Assigns.    Except as provided in Section 7, this Warrant, and any and all rights, duties
and obligations hereunder, shall not be assigned, transferred, delegated or sublicensed by any party hereto without the prior written consent of the other party. Any attempt by a party without such
permission to assign, transfer, delegate or sublicense any rights, duties or obligations that arise under this Warrant shall be void. Subject to the foregoing and except as otherwise provided herein,
the provisions of this Warrant shall inure to the benefit of, and be binding upon, the successors and assigns of the parties. 

        (d)    Notices.    All notices and other communications provided for hereunder shall be in writing and delivered,
mailed or telecopied. Notices and other communications to the Holder shall be directed to the Holder at his address as shown on the Warrant Register maintained by the Company; and notices and other
communications to the Company shall be directed to the Company at its address as shown on the signature page hereto (any notice or other communication sent to the Company should be directed to
the attention of the President or Chief Financial Officer of the Company); or, as to each party, at such other address as shall be designated by such party in a written notice to the other party
pursuant hereto. Any such notice or other communication shall be deemed to have been duly given (i) when sent by Federal Express or other overnight delivery service of recognized standing, on
the business day following deposit with such service; (ii) when mailed by registered or certified mail, first class postage prepaid and addressed as aforesaid through the United States Postal
Service, upon receipt; (iii) when delivered by hand, upon delivery; and (iv) when telecopied, upon confirmation of receipt. Any party hereto may by notice so given change its address for
future notice hereunder. 

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        (e)    Governing Law.    This Warrant and all actions arising out of or in connection with this Warrant shall be
governed by and construed in accordance with the laws of the State of Delaware, without regard to the conflicts of law provisions of the State of Delaware, or of any other state. 

        (f)    Further Assurances.    Each party hereto agrees to execute and deliver, by the proper exercise of its
corporate, limited liability company, partnership or other powers, all such other and additional instruments and documents and do all such other acts and things as may be reasonably necessary to more
fully effectuate this Warrant. 

        (g)    Entire Agreement.    Except as expressly set forth herein, this Warrant (including the exhibits attached
hereto) constitutes the entire agreement and understanding of the parties hereto with respect to the subject matter hereof and supersedes all prior agreements and understandings relating to such
subject matter. 

        (h)    WAIVER OF JURY TRIAL.    EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY AND
ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS WARRANT OR THE ACTIONS OF ANY PARTY HERETO IN NEGOTIATION, ADMINISTRATION,
PERFORMANCE OR ENFORCEMENT HEREOF. 

        (i)    Counterparts.    This Warrant may be executed in one or more counterparts, all of which shall be considered one
and the same agreement and shall become effective when one or more counterparts have been signed by each of the parties and delivered to the other party, it being understood that all parties need not
sign the same counterpart. 

        (j)    Titles and Subtitles.    The titles and subtitles used in this Warrant are used for convenience only and are
not to be considered in construing or interpreting this Warrant. All references in this Warrant to sections, paragraphs and exhibits shall, unless otherwise provided, refer to sections and
paragraphs hereof and exhibits attached hereto. 

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        IN
WITNESS WHEREOF, the Company has caused this Warrant to be executed as of the date first above written. 

	 	 	HEALTHETECH, INC.
	

 	
 	

By:	
 	

/s/  STEPHEN E. WEBB      

	 	 	 	 	Name:	Stephen E. Webb
	 	 	 	 	Title:	Chief Financial Officer

	 	 	 	 	Address:	523 Park Point Drive, 3rd Floor

Golden, Colorado 80401

(Signature Page to Warrant to Purchase Shares of Common Stock of HealtheTech, Inc.)

  

 
 

ATTACHMENT A
  PIGGY-BACK REGISTRATION RIGHTS    
  

        1.    Company Registration.    

        (a)    Registration.    If at any time or from time to time, the Company shall determine to register any of its
securities for its own account, other than (i) a registration on Form S-8 (or a similar or successor form) relating solely to employee stock option, stock purchase or other
benefit plans, or (ii) a registration on Form S-4 (or similar or successor form) relating solely to a Securities and Exchange Commission (the
"Commission") Rule 145 transaction, the Company will: 

          (i)  promptly
give to the holder of the Shares or any permitted transferee (as provided in Section 7 of the Warrant) (the
"Holder") written notice thereof; and 

        (ii)  offer
to include in such registration (and any related qualification under blue sky laws or other compliance), and in any underwriting involved therein, all the Shares
specified in a written request or requests, made within 15 days after mailing of written notice by the Company. 

        (b)    Underwriting.    If the registration of which the Company gives notice is for a registered public offering
involving an underwriting, the Company shall so advise the Holder as a part of the written notice given pursuant to Section 1(a) (i) above. In such event the right of the Holder to
registration pursuant to this section shall be conditioned upon such Holder's participation in such underwriting and the inclusion of such Shares in the underwriting to the extent provided
herein. 

        The
Holder proposing to distribute the Shares through such underwriting shall (together with the Company and, if applicable, any other holders distributing their securities through such
underwriting) enter into an underwriting agreement in customary form with the underwriter or underwriters selected for such underwriting by the Company. Notwithstanding any other provision of this
section, if the managing underwriter determines that marketing factors require a limitation of the number of shares to
be underwritten, the underwriter may limit the number or exclude all of the Shares to be included in the registration and underwriting. The number of securities includable by the Holder may, in the
discretion of the underwriters, be rounded to the nearest one hundred shares. No securities excluded from the underwriting by reason of the underwriter's marketing limitation shall be included in such
registration. If some but not all of the Shares are to be excluded from a registration, the Shares to be included in the registration shall be allocated on a pro rata basis based on the total number
of shares of all securities being included in such registration.; provided, that, no Registrable Securities, as that term is defined in that certain
Sixth Amended and Restated Investor Rights Agreement, dated as of June 21, 2001, as amended, shall be excluded from any Company registration until all of the Shares have been excluded from such
underwriting. 

        If
the Holder disapproves of the terms of any such underwriting, the Holder may elect to withdraw therefrom by written notice to the Company and the underwriter. Any securities excluded
or withdrawn from such underwriting shall be withdrawn from such registration. 

        If
the underwriter has not limited the number of such shares to be underwritten for the Company's account and the account of the Holder, the Company may then include securities for the
account of employees, officers, directors and consultants. 

        (c)    Right to Terminate Registration.    The Company shall have the right to terminate or withdraw any registration
initiated by it under this Section 1(c) prior to the effectiveness of such registration whether or not the Holder has elected to include the Shares in such registration. 

        2.    Registration Procedures.    In the case of each registration, qualification or compliance effected by the
Company pursuant to this section, the Company will keep the Holder advised in writing as to 

Attachment A—Page 1

 

the initiation of each registration, qualification and compliance and as to the completion thereof. At its expense the Company will: 

        (a)  Prepare
and file with the SEC a registration statement with respect to such securities and use reasonable efforts to cause such registration statement to become and
remain effective for at least 180 days or until the Holder have completed the distribution described in the registration statement relating thereto, whichever first occurs; and 

        (b)  Furnish
to the Holder participating in the registration such number of prospectuses, preliminary prospectuses, final prospectuses and such other documents as the Holder
may reasonably request in order to facilitate the public sale or other disposition of the Shares being sold by the Holder. 

        3.    Information by Holder.    If any of the Shares are included in any registration, the Holder shall furnish to the
Company such information regarding the Holder and the distribution proposed by the Holder as the Company may reasonably request in writing and as shall be required in connection with any registration,
qualification or compliance referred to in this section. 

        4.    Rule 144 Reporting.    With a view to making available the benefits of certain rules and regulations of
the Commission which may at any time permit the sale of the Shares to the public without registration, the Company agrees to use all reasonable efforts to: 

        (a)  Make
and keep public information available, as those terms are understood and defined in Rule 144 under the Securities Act of 1933, as amended (the "Securities
Act") at all times after the effective date the Company becomes subject to the reporting requirements of the Securities Act or the Securities and Exchange Act of 1934, as amended (the "Exchange Act"); 

        (b)  File
with the Commission in a timely manner all reports and other documents required of the Company under the Securities Act and the Exchange Act (at any time after it
has become subject to such reporting requirements); and 

        (c)  Furnish
to the Holder, so long as the Holder owns any Shares, written notice of the Company's qualification as a registrant, as soon as practicable after the such
qualification; the Company further shall furnish forthwith upon request a written statement as to its compliance with the reporting requirements of said Rule 144 (at any time after
90 days after the effective date of the first registration statement filed by the Company for an offering of its securities to the general public), and of its compliance with the Securities Act
and the Securities Exchange Act (at any time after it has become subject to such reporting requirements); the Company shall provide forthwith upon written request a copy of the most recent annual or
quarterly report of the Company, and such other reports and documents of the Company as the Holder may reasonably request in availing itself of any rule or regulation of the Commission allowing the
Holder to sell any such securities without registration. 

        5.    Assignment of Registration Rights.    The rights to cause the Company to register securities and related rights
granted the Holder under this section may not be assigned except (i) to a successor entity to the Holder pursuant to a reorganization or recapitalization of such Holder or (ii) to
the constituent partners or affiliates of the Holder; provided, that the Company receives notice within a reasonable time after such assignment and the transferee agrees in writing to be bound by the
provisions hereof. 

        6.    Termination of Registration Rights.    The piggy-back registration rights granted pursuant to this
section shall terminate upon the occurrence of any of the following: 

        (a)  Following
the Company's first registered offering to the public, of its Common Stock and registration of its Common Stock under the Exchange Act, at such time as all
Shares held by the
Holder can be sold within a given three (3) month period without compliance with the registration requirements of the Securities Act pursuant to Rule 144 (or its successor provision); or 

        (b)  Five years
from the date of the Warrant. 

Attachment A—Page 2

 
 

EXHIBIT A
  NOTICE OF EXERCISE    
  

	TO:	 	HEALTHETECH, INC.
	ATTN:	 	PRESIDENT

        (1)  The
undersigned Holder hereby elects to purchase            shares of the Common Stock of HEALTHETECH, INC., pursuant to the terms of the attached Warrant to
Purchase Shares of Common Stock, dated as of September 27, 2002 (the "Warrant"), between HEALTHETECH, INC. and the Holder, and tenders
herewith payment of the purchase price for such shares in full, together with all applicable transfer taxes, if any. 

        (2)  Please
issue a certificate or certificates representing said shares of Common Stock in the name of the undersigned or in such other name as is specified below: 

	

 	
 	

 Name
	

 	
 	

 Address

        (3)  Please
issue a new Warrant for the unexercised portion of the attached Warrant in the name of the undersigned or in such other name as is specified below: 

	

 	
 	

 Name
	

 	
 	

 Address

        (4)  The
undersigned hereby represents and warrants that the aforesaid shares of Common Stock are being acquired for investment, solely for the account of the undersigned and
not as a nominee for any other person and not with a view to, or for resale in connection with, the distribution thereof, and that the undersigned has no present intention of distributing or reselling
such shares except under circumstances that will not result in a violation of the Securities Act of 1933, as amended, or any applicable state securities laws, and all representations and warranties of
the undersigned set forth in Section 6 and Section 7(e) of the attached Warrant are
true and correct as of the date hereof. In support thereof, the undersigned agrees to execute an Investment Representation Statement in a form substantially similar to the form attached to the Warrant
as Exhibit B. 

	

 Date	
 	

 Signature
	

 	
 	

 Name
	

 	
 	

 Title and Name of Entity (if signing on behalf of an entity)

  

 
 

EXHIBIT B
  INVESTMENT REPRESENTATION STATEMENT    
  

	HOLDER:	 	 
	COMPANY:	 	HEALTHETECH, INC.
	SECURITIES:	 	THE WARRANT (THE "WARRANT") TO PURCHASE SHARES OF COMMON STOCK (THE "WARRANT") ISSUED ON SEPTEMBER 27, 2002 AND THE COMMON
STOCK ISSUED OR ISSUABLE UPON EXERCISE THEREOF
	AMOUNT:	 	                        SHARES
	DATE:	 	                        ,
            

        In
connection with the purchase of the above-listed Securities, the undersigned Holder represents and warrants to, and agrees with, the Company as follows: 

        1.    Investment Intent.    The Holder is acquiring the Securities for investment for his own account, not as a
nominee or agent, and not with the view to, or for resale in connection with, any distribution thereof. 

        2.    Investment Experience.    The Holder has substantial experience in evaluating and investing in private placement
transactions of securities in companies similar to the Company so that he is capable of evaluating the merits and risks of his investment in the Company and has the capacity to protect his own
interests. 

        3.    Speculative Nature of Investment.    The Holder acknowledges that his investment in the Company is highly
speculative and entails a substantial degree of risk and the Holder is in a position to lose the entire amount of such investment. 

        4.    Access to Data.    The Holder has had an opportunity to discuss the Company's business, management and financial
affairs with the Company's management. The Holder has also had an opportunity to ask questions of officers of the Company, which questions were answered to its satisfaction. The Holder understands
that such discussions, as well as any information issued by the Company, were intended to describe certain aspects of the Company's business and prospects, but were not necessarily a thorough or
exhaustive description. The Holder acknowledges that any business plans prepared by the Company have been, and continue to be, subject to change and that any projections included in such business
plans or otherwise are necessarily speculative in nature, and he can be expected that some or all of the assumptions underlying the projections will not materialize or will vary significantly from
actual results. 

        5.    Accredited Investor.    The Holder is an "accredited investor" within the meaning of Regulation D,
Rule 501(a), promulgated by the Securities and Exchange Commission under the Securities Act of 1933, as amended (the "Securities Act"). 

        6.    Residency.    The residency of the Holder (or, in the case of a partnership or corporation, such entity's
principal place of business) is correctly set forth on the signature page hereto. 

        7.    Restriction on Resales.    The Holder acknowledges that the Securities must be held indefinitely unless
subsequently registered under the Securities Act or unless an exemption from such registration is available. The Holder further understands that there is no assurance that any exemption from
registration under the Securities Act will be available or, if available, that such exemption will allow the Holder to dispose of or otherwise transfer any or all of the Securities under the
circumstances, in the amounts or at the times the Holder might propose. 

        8.    Rule 144.    The Holder is aware of the provisions of Rule 144 promulgated under the Securities
Act which permit limited resale of shares purchased in a private placement subject to the satisfaction of certain conditions, including among other things, the existence of a public market for the 

Exhibit B—Page 1

 

shares, the availability of certain current public information about the Company, the resale occurring not less than one year after a party has purchased and paid for the security to be sold, the
sale being effected through a "broker's transaction" or in transactions directly with a "market maker" and the number of shares being sold during any three-month period not exceeding specified
limitations. The Holder acknowledges that, in the event all of the requirements of Rule 144 are not met, registration under the Securities Act or an exemption from registration will be required
for any disposition of the Securities. The Holder understands that, although Rule 144 is not exclusive, the Securities and Exchange Commission has expressed its opinion that persons proposing
to sell restricted securities received in a private offering other than in a registered offering or pursuant to Rule 144 will have a substantial
burden of proof in establishing that an exemption from registration is available for such offers or sales and that such persons and the brokers who participate in the transactions do so at their own
risk. 

        9.    Authorization.    The Holder has all requisite power and authority to execute and deliver the Warrant, to
purchase the Securities and to carry out and perform its obligations under the terms of the Warrant. All action on the part of the Holder necessary for the authorization, execution, delivery and
performance of the Warrant, and the performance of all of the Holder's obligations under the Warrant, has been taken or will be taken prior to the purchase of the Warrant. 

        (b)  The
Warrant, when executed and delivered by the Holder, will constitute a valid and legally binding obligation of the Holder, enforceable in accordance with its terms
except: (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors' rights generally, and
(ii) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies or by general principles of equity. 

        (c)  No
consent, approval, authorization, order, filing, registration or qualification of or with any court, governmental authority or third person is required to be obtained
by the Holder in connection with the execution and delivery of the Warrant or the performance of the Holder's obligations hereunder. 

        10.    Brokers or Finders.    The Holder has not engaged any brokers, finders or agents, and the Company has not
incurred and will not incur, directly or indirectly, as a result of any action taken by the Holder, any liability for brokerage or finders' fees or agents' commissions or any similar charges in
connection with the Warrant. 

        11.    Investor Counsel.    The Holder acknowledges that he has had the opportunity to review the Warrant and the
exhibits attached thereto and the transactions contemplated by the Warrant with his own legal counsel. The Holder is relying solely on such counsel and not on any statements or representations of the
Company or its agents for legal advice with respect to this investment or the transactions contemplated by the Warrant. 

        12.    Tax Advisors.    The Holder has reviewed with his own tax advisors the U.S. federal, state, local and foreign
tax consequences of this investment and the transactions contemplated by the Warrant. With respect to such matters, the Holder relies solely on such advisors and not on any statements or
representations of the Company or any of its agents, written or oral. The Holder understands that it (and not the Company) shall be responsible for his own tax liability that may arise as a result of
this investment or the transactions contemplated by the Warrant. 

        13.    Further Limitations on Disposition.    Without in any way limiting the representations and warranties set forth
above, the Holder agrees not to make any disposition of all or any portion of the Securities unless and until, and it shall be a condition to the transfer of all or any portion of the Securities that:
(1) there is then in effect a registration statement under the Securities Act covering such proposed disposition and such disposition is made in accordance with such registration statement 

Exhibit B—Page 2

 

or (2) (A) the Holder shall have notified the Company of the proposed disposition and shall have furnished the Company with a detailed statement of the circumstances surrounding the
proposed disposition, (B) the transferee shall have agreed in writing to be bound by and subject to the terms, conditions, restrictions, obligations and other limitations set forth in the
Warrant to the same extent as if such transferee were the original Holder thereunder, (C) the transferee shall have confirmed to the satisfaction of the Company in writing, substantially in the
form attached to the Warrant as Exhibit B, that the Securities are being acquired solely for the transferee's own account and not as a nominee
for any other party, for investment and not with a view toward distribution or resale and that the transferee shall have confirmed such other matters related thereto as may be reasonably requested by
the Company, and (D) if requested by the Company, the Holder shall have furnished the Company with an opinion of counsel, reasonably satisfactory to the Company, that such disposition will not
require registration of the Securities under the Securities Act. The Securities that are transferred to a transferee shall be subject to the terms, conditions, restrictions, obligations and other
limitations set forth herein and therein. 

(The remainder of this page is intentionally left blank.)  

Exhibit B—Page 3

        IN WITNESS WHEREOF, the Holder has caused this Investment Representation Statement to be duly executed and delivered by its proper and duly authorized officers as
of the date and year first written above. 

	

 	
 	
HOLDER:
	
 	
 	

By:	

    

	

 	
 	

Name:	

    

	

 	
 	

Title:	

    

	

 	
 	

Address:	

 
	

 	
 	

	

 	
 	

	

 	
 	

(Signature page to the Investment Representation Statement)  

 
 

EXHIBIT C
  ASSIGNMENT FORM    
  

	ASSIGNOR:	 	 
	COMPANY:	 	HEALTHETECH, INC.
	WARRANT:	 	THE WARRANT (THE "WARRANT") TO PURCHASE SHARES OF COMMON STOCK ISSUED ON SEPTEMBER 27, 2002 (THE "WARRANT")
	DATE:	 	                        ,
            

        FOR
VALUE RECEIVED, the undersigned registered Holder of the Warrant ("Assignor") hereby sells, assigns and transfers unto the Assignee
named below all of the rights of the undersigned under the within Warrant, with respect to the number of shares of Common Stock set forth below: 

	Name of Assignee
 
	 	Address
	 	Number of Shares
	 	Exercise Period

	

 	
 	

 	
 	

 	
 	

 

and
does irrevocably constitute and appoint                        as attorney to make such transfer on the books of HEALTHETECH,
 INC., maintained for the purpose, with full power of substitution in
the premises. 

        Each
of the Assignor and Assignee also represent and warrant that, by assignment hereof, the Assignee acknowledges that the Warrant and the shares of stock to be issued upon exercise of
the rights thereunder are being acquired for investment and that the Assignee will not offer, sell or otherwise dispose of the Warrant or any shares of stock to be issued upon exercise of the rights
thereunder except under circumstances which will not result in a violation of the Securities Act of 1933, as amended, or any state securities laws. Further, the Assignee has acknowledged that upon
exercise of any rights under the Warrant, the Assignee shall, if requested by the Company, confirm in writing, in a form satisfactory to the Company, that the shares of stock so purchased are being
acquired for investment and not with a view toward distribution or resale. In support thereof, the undersigned Assignee agrees to execute an Investment Representation Statement in a form substantially
similar to the form attached to the Warrant as Exhibit B in connection with this assignment and any exercise of the rights under the Warrant. 

	
ASSIGNOR:	
 	

ASSIGNEE:
	
By:	

    
 Name:

Title:	
 	

By:	

    
 Name:

Title:
	

 	

Address:	

    
	
 	

 	

Address:	

    

	

 	

	
 	

 	

QuickLinks

EXHIBIT 4.8

WARRANT

WARRANT TO PURCHASE SHARES OF COMMON STOCK OF HEALTHETECH, INC.

Dated as of September 27, 2002

ATTACHMENT A PIGGY-BACK REGISTRATION RIGHTS

EXHIBIT A NOTICE OF EXERCISE

EXHIBIT B INVESTMENT REPRESENTATION STATEMENT

EXHIBIT C ASSIGNMENT FORMQuickLinks
 -- Click here to rapidly navigate through this document

 
 

EXHIBIT 10.41    
  

VENDOR AGREEMENT
  WAL-MART STORES, INC.

Corporate office

Bentonville, AR 72716

(501) 273-4000  

THIS AGREEMENT IS A LEGALLY BINDING DOCUMENT AND THE PARTIES HERETO AGREE TO BE BOUND BY ALL TERMS AND CONDITIONS HEREIN; HOWEVER, THIS VENDOR AGREEMENT
AND OTHER TERMS, CONDITIONS AND STANDARDS INCORPORATED HEREIN DO NOT CREATE AN OBLIGATION FOR PURCHASER TO PURCHASER MERCHANDISE OR OTHER GOODS.

	

	TO BE COMPLETED BY PURCHASER:	Effective
Date                                     	VENDOR NO.                  DEPT.    SEQ.
	

o WAL-MART	

o ROYALTY	

o EXISTING VENDOR	

o PURCHASE/MDSE	
7    3    8    5    2    6
	

ý SAM'S CLUB	

o OTHER         	

o NEW VENDOR	

o EXPENSE &	

CATEGORY                         
	

o SUPERCENTER	

 	

o UPDATE	

Type         	

Department                               
	

o GROCERY DIVISION	

 	

o NEW SEQ.	

 	

BUYER                EXT.               
	

GENERAL VENDOR INFORMATION  

Company Classification:                  (Please disregard this section if you are not a minority owned business)

Minority
Owned?                       Woman-Owned?              
 

B              Black        P              Asian-Pacific
American        I              Asian
Indian        N              Eskimo

H              Hispanic    N              American Indian

N              Aleut    N              Native Hawaiian  

 IF YOUR COMPANY FALLS WITHIN ANY OF THE ABOVE MINORITY CLASSES, AND HAS BEEN CERTIFIED AS MINORITY-OWNED BY A GOVERMNENT AGENCY OR
PURCHASING COUNCIL, YOU ARE QUALIFIED FOR THE FIRST STEP IN THE WAL-MART MINORITY OWNED BUSINESS DEVELOPMENT PROGRAM. A COPY OF YOUR CERTIFICATION MUST BE
ATTACHED TO QUALIFY.

Enter the Federal Taxpayer Identification Number (TIN) of the Payee Named Below, If a "TIN" has not been issued, enter the Employer's Social Security
Number.

7    7    —    0    4    7    8    6    1    1 
   or                —            —         
               
  

 TYPE OF PAYEE (CHECK ONLY ONE):                Individual/Sole Proprietorship      X  
Corporation                   Partnership                 
  Other

PURCHASER RESERVES THE RIGHT TO REMIT TO THE PARTY TO WHOM THE PURCHASE ORDER IS ISSUED.  

	ADDRESS TO MAIL PAYMENT:	 	ADDRESS TO SEND PURCHASE ORDERS:
	

Vendor Name	
 	

HealtheTech, Inc.
	
 	

 	
 	

 	
 	

Vendor Name	
 	

	

Address	
 	

523 Park Point Drive, 3rd Floor
	
 	

Attention	
 	

Same

	

City	
 	

Golden
	
 	

State	
 	

CO
	
 	

Zip	
 	

80401
	
 	

Address	
 	

	

Factor Name:	
 	

	
 	

City	
 	

	
 	

State	
 	

	
 	

Zip	
 	

	

Vendor Also Doing Business As: (Attach a list to this Agreement if space below is insufficient	
 	

Street Address for use by delivery services other than the U.S. Mail, if not already shown in the Purchase Order address above.
	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

	
 	

Room	
 	

	

	
 	

Vendor #	
 	

	
 	

Expedite Orders: Phone	
 	

            —                  —

	

ADDRESS TO MAIL CLAIM DOCUMENTATION:	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	

Attention	
 	

Colleen Schroeder
	
 	

ADDRESS TO SEND PRICING TICKETS:
	

Address	
 	

see above
	
 	

Vendor Name	
 	

	

City	
 	

	
 	

State	
 	

	
 	

Zip	
 	

	
 	

Attention	
 	

	

Accounting Phone Number	
 	

303-526-5085
	
 	

Address	
 	

	

Toll Free Number	
 	

            —                  —
	
 	

City	
 	

	
 	

State	
 	

	
 	

Zip	
 	

	

FAX Number	
 	

            —                  —
	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 

	SHIPPING TERMS	 	 
	 	FREIGHT TERMS	 	MINIMUM FOR PREPAID FREIGHT TERMS:
	

o COLLECT—FOB VENDOR      ý PREPAID—FOB PURCHASER	
 	

         POUNDS          1       UNITS           
  WHOLE DOLLARS
	o PREPAID TO CONSOLIDATOR—FOB PURCHASER'S CONSOLIDATOR

CONDITION OF SALE        Attach Details of Available Programs. Programs that are accepted will become an addendum to Agreement.  

	o Guaranteed Sale	o Consignment	o Preticketing	o Prepricing	o Stock Balancing	o Shelf Labels

STANDARD PURCHASE ORDER ALLOWANCE  

	 
	 	 
	 	DISC
	 	 
	 	HOW PAID
	 	WHEN PAID

	

CODE
	 	ALLOWANCE
	 	

%
	 	MEMO
	 	Each Inv.

OI
	 	CM
	 	Other

CK
	 	EI
	 	M
	 	

Q
	 	S
	 	A

	

	SA	 	New Store/Club Discount	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	(% Applied to each line item for each new store P.O.)	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
OL	
 	

New Store/Club Discount	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	(% Represents Contribution of total business to New Store Program)	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
NW	
 	

New Distribution Center	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
WA	
 	

Warehouse Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
OD	
 	

Warehouse Distribution Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	(order type 33 only)	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
DM	
 	

Defective/Returned Mdse. Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	(When selected must mark option 8 under warranty policy)	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
SD	
 	

Soft Goods Defective Allow	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
PA	
 	

Promotional Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
VD	
 	

Volume Discount	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
FA	
 	

Freight Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
AA	
 	

Advertising Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
TR	
 	

TV/Radio Media Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
DA	
 	

Display/Endcap Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
EB	
 	

Early Buy Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

	
HA	
 	

Handling Allowance	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 	
 	

 
	 	 	 	 	
	 	 	 	
	 	
	 	
	 	
	 	
	 	
	 	
	 	

PAYMENT TERMS
  ALL DATING SHALL BEGIN AT THE DATE OF RECEIPT OF THE GOODS AT PURCHASER'S DOCK. ON ALL E.O.M. (END OF THE MONTH) DATINGS, GOODS RECEIVED AFTER THE
24TH OF ANY MONTH SHALL BE PAYABLE AS IF RECEIVED IN THE FOLLOWING MONTH. INVOICES SHOULD BE MAILED OR ELECTRONICALLY TRANSMITTED ON THE SAME DAY GOODS ARE SHIPPED AND SHALL DATE FROM
PURCHASER'S RECEIPT OF THE GOODS, CASH DISCOUNT WILL BE CALCULATED ON THE GROSS AMOUNT OF VENDOR'S INVOICE. 

	 	 	1. Cash Discount	 	NEW STORE/CLUB/WHSE TERMS IF DIFFERENT THAN REGULAR TERMS
	
	 	 	 	

	

 	
 	

Cash Discount Days Available	
 	

 
	
	 	 	 	

	
3 0	
 	
2. Net Payment Days Available (must be at least one day more than Cash Discount Days Available).	
 	

 
	
	 	 	 	

	Yes ___ No ____	 	3. E.O.M.	 	 
	 	 	 	 	

Alaska, Hawaii, and Puerto Rico, defective merchandise programs will be negotiated separately. 

CONDITION OF MERCHANDISE
  Vendor agrees to only ship goods which comply with the "Warranties and Guarantees" section of the "Purchase Order Terms and Conditions" which is attached hereto
and incorporated herein. 

PRICE GUARANTEE AND NOTICE OF PRICE INCREASES
  Prices are guaranteed by Vendor against manufacturer's or Vendor's own price decline and against legitimate competition until date of shipment with
Purchaser's
owned inventories price protected by credit memo. In the event that prior to the final shipment under any order Vendor sells or offers to others goods substantially of the same kind as ordered at
lower prices and or on terms more favorable to a third party than those stated on the purchase order, the prices and or terms shall be deemed automatically revised to equal the lowest prices and most
favorable terms at which Vendor shall have sold or shall have offered such goods and payment shall be made accordingly. In the event Purchaser shall become entitled to such lower prices, but shall
have made payment at any prices in excess thereof, Vendor shall promptly refund the difference in price to Purchaser. In the event that a court or regulatory agency or body finds that the prices on an
order are in excess of that allowed by any law or regulation of any governmental agency, the prices shall be automatically revised to equal a price which is not in violation of said law or
regulations. If Purchaser shall have made payment before it is determined that there has been a violation, Vendor shall promptly refund an amount of money equal to the difference between the price
paid for the goods and the price which is not in violation of said regulations. In the event of a price increase, Vendor shall give Wal-Mart written notice of any such increase at least
sixty (60) days prior to the effective date of the increase. 

DEBIT BALANCES
  If Vendor has a Debit Balance with Purchaser, the amount owed Purchaser will be deducted from the next remittance or a check from
Vendor to clear this amount will be paid within 30 days at the option of Purchaser. Purchaser reserves the right to charge the Vendor penalties and interest for any Debit Balances not paid
within 30 days. 

**IMPORTANT NOTICE** ALL PAYMENTS OF MONIES MUST BE MAILED TO THE ADDRESS INDICATED BELOW:

	 	 	o P.O. BOX 889, LOWELL, AR 72745	 	o P.O. BOX 500646. ST. LOUIS, MO, 63150-0645 (Allowance Checks)
	

 	
 	

o P.O. BOX 18045 B, ST. LOUIS, MO 63160	
 	

o P.O. BOX 500787, ST. LOUIS, MO 63150-0787 (SAM'S)

WARRANTY POLICY  

VENDOR MUST CHECK OPTIONS BELOW AND COMPLETE INFORMATION BEFORE AGREEMENT CAN BE APPROVED  

Vendor will be charged current costs plus a 10% handling charge for all returned merchandise except where a Defective/Returned Merchandise Allowance is given by the vendor.
Returned merchandise will be shipped with return freight charges billed back to the vendor. Returns are F.O.B. Purchaser. 

o 
VENDOR OPTION #1: VENDOR WANTS RETURNED MERCHANDISE SENT TO THEM: 

	 	 	o	 	Returned merchandise will be sent to the vendor direct from each store.

Permanent return authorization #                              , if required for shipment. If
automatic return is not possible, an 800 number should be provided or the vendor must accept purchaser's collect calls to secure return authorization over the phone.
	 	 	 	 	 
	 	 	 	 	Phone
            -            -                 
                       Contact
                                    
	 	 	o	 	Returned merchandise will be sent from store locations to the return center and sent to the vendor.

Permanent return authorization #                              , if required for shipment. The
practice of requesting a separate return authorization number for each return claim (shipment) will be discontinued.

	 	 	 
	ADDRESS TO SHIP RETURNS TO:	 	COMMENTS:
	 	 	 
	
	 	

	 	 	 
	
	 	

	 	 	 
	
	 	

	o VENDOR OPTION #2 VENDOR DOES NOT WANT RETURNED MERCHANDISE SENT TO THEM	 	 
	

 	
 	

o	
 	

Returned merchandise will be sent from store locations to the Return Center for disposal.	
 	
COMMENTS:
	

 	
 	

o	
 	

Return Center may dispose of returned merchandise through salvage outlets.	
 	

 
	 	 	 	 	 	 	

	 	 	o	 	Return Center must destroy returned merchandise.	 	 
	 	 	 	 	 	 	

	 	 	o	 	Returned merchandise must be disposed of by the individual store.	 	 
	 	 	 	 	 	 	

	

o VENDOR OPTION #3 DEFECTIVE/RETURNED MERCHANDSE ALLOWANCE:

Vendor will allow the Defective/Returned Merchandise Allowance shown on the reverse side of this agreement. The percentage must be adequate to cover all defective/returned merchandise or additional claims will be filed by the Return Center at our
fiscal year end.
	

 	
 	

o	
 	

Return Center may dispose of returned merchandise through salvage outlets.
	

 	
 	

o	
 	

Return Center must destroy returned merchandise.
	

 	
 	

o	
 	

Returned merchandise will be sent from store locations to the Return Center and sent to the vendor. If vendor requests the returned merchandise be sent to them, they will be charged a 10% handling charge and the merchandise will be shipped with
return freight charges billed back to the vendor.

	 	 	 
	
ADDRESS TO SHIP RETURNS TO:	
 	

COMMENTS:
	 	 	 
	
	 	

	 	 	 
	
	 	

	 	 	 
	
	 	

SHIPPER LOAD AND COUNT RESPONSIBILITES
  The Vendor who is shipping collect to Wal-Mart/Sam's a full truckload, will be responsible for monitoring their shipping process including closing the trailer and
sealing it with a vendor provided seal. This seal number MUST be referenced and identified as the seal number on all copies of the Bill of Lading, if the Vendor fails to seal the trailer the driver
will seal the trailer on the vendor's behalf. The driver will the document that seal number on the Bill of Lading before providing the Vendor with his/her copy. If the load is properly sealed and a
shortage does occur, Vendor shall be liable for said shortage. 

VENDOR FINANCIAL INFORMATION
  Vendor shall furnish to Purchaser, when submitting this completed agreement, a complete set of current financial statements. If such statements are not available, a current
Dun & Bradstreet financial report shall be provided by vendor. Publicly-held companies shall provide to Purchaser its most recent Annual Report to Shareholders and Management Proxy
Information. In the event that Purchaser's purchases from Vendor constitutes twenty percent (20%) or more of Vendor's gross annual sales, Vendor agrees to notify Purchaser of this fact, in writing,
within thirty (30) days of said event. 

NOTICE REGARDING ASSIGNMENT OF ACCOUNTS
          The Vendor shall provide Purchaser written notice of an assignment, factoring, or other transfer of its right to
receive payments arising under this agreement
30 days prior to such assignment, factoring, or other transfer taking legal affect. Such written notice shall include the name and address of assignee/transferee, date assignment is to begin,
and terms of the assignment, and shall be considered delivered upon receipt of such written notice by the Vendor Master Clerk. Vendor shall be allowed to have only one assignment, factoring or
transfer legally effective at any one point in time. No multiple assignments, factorings or transfers by the Vendor shall be permitted. 

        Purchaser
shall have the right to take deduction or other set-offs against any payment assigned, or factored by the Vendor and Vendor shall indemnify Purchaser against and
hold Purchase harmless from any and all lawsuits, claims, actions, damages (including reasonable attorney fees, court costs, obligations, liabilities or liens) arising or imposed in connection with
the such deductions or set-offs or with the assignment or transfer or factoring of any account or right arising thereunder, Vendor also releases and waives any right, claim or action
against Purchaser for amounts due and owing under this Agreement where Vendor has not complied with the notice requirements of this provision. Such notices shall be mailed directly to: 

INVOICE
CONTROL DEPT.

ATTN: VENDOR MASTER CLERK

BENTONVILLE, AR 72716-8009 

VENDOR ELECTRONIC DATA INTERCHANGE RESPONSIBILITES
  Vendor agrees to receive orders and send Wal-Mart Invoices VIA EDI (electronic transmission) unless specifically waived by Purchaser. 

	1.
	Vendor
will establish a user I.D. to identify its company. The presence of this user I.D. in the EDI interchange will be sufficient to verify the source of the data and the
authenticity of the document. 
	2.
	Documents
containing the user I.D. will constitute a signed writing and neither party shall contest the validity or enforceability of the document on this basis. 
	3.
	EDI
documents or printout thereof shall constitute an original when maintained in the normal course of business. 

If
purchaser agrees to waive the EDI requirements of vendor, Purchase orders will be sent via overnight mail at vendors
Expense.                                    G.M.M. WAIVER 

COMPLIANCE WITH STANDARDS FOR VENDORS
  Vendor agrees to comply with the obligations expressed in the "WAL-MART STORES, INC. STANDARDS FOR VENDORS: which is Incorporated herein as part of this
Vendor Agreement. Wal-Mart reserves the right to cancel any outstanding order, refuse any shipments and otherwise cease to do business with Vendor in the event Vendor fails to comply with
all terms of said Standards or if Wal-Mart has reason to believe Vendor has failed to comply with said Standards. 

Indemnification:    Vendor shall protect, defend, hold harmless and indemnify Purchaser from and against any and all claims, actions,
liabilities, losses, costs and expenses, including reasonable attorney fees and costs, even if such claims are groundless, fraudulent or false, arising out of any actual or alleged infringement of any
patent, trademark, tradedress or copyright by any merchandise sold to the Purchase hereunder, or arising out of any actual or alleged death of or injury to any person, damage to any property, or any
other damage or loss, by whomsoever suffered, resulting or claimed to result in whole or in part from any actual or alleged defect in such merchandise, whether latent or patent, including actual or
alleged improper construction or design of said merchandise or the failure of said merchandise to comply with specifications or with any express or implied warranties of Vendor, or arising out of any
actual or alleged violation by such merchandise, or its manufacturer, possession or use of sales, of any law, statute or ordinance of any governmental administrative order, rule or regulation arising
out or Vendor's Installation of merchandise covered by this agreement. The duties and obligations of Vendor created hereby shall not be affected or limited in any way by Purchaser's extension of
express or implied warranties to its customers, except to the extent that any such warranties expressly extend beyond the scope of Vendor's warranties, express or implied, to Purchaser. It is further
agreed that all duties and obligations of Vendor set forth in this paragraph shall extend in full force and effect to the pallets or other transport or display provided by or at the direction of
Vendor.

ALL PURCHASES MADE BY PURCHASER SHALL BE CONTROLLED BY THE PURCHASER'S PURCHASE ORDER "TERMS AND CONDITIONS", WHICH IS ATTACED AS A PART OF THIS AGREEMENT, AND INCLUDED WITH EACH MANUALLY TRANSMITTED
ORDER. THIS AGREEMENT AND ALL DISPUTES ARISING HEREUNDER SHALL BE GOVERENED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF ARKANSAS. THE PARTIES AGREE THAT THE EXCLUSIVE JURISDICTION OF
ANY DISPUTE ARISING IN CONNECTION WITH THIS AGREEMENT OR ANY DISPUTE RELATING TO THE SERVICES OR GOD PROVIDED HEREUNDER SHALL BE IN THE STATE AND FEDERAL COURT OF THE COUNTIES OF BENTON OR WASHINGTON,
STATE OF ARKANSAS. ANY LEGAL ACTION BROUGHT BY VENDOR AGAINST PURCHASER WITH RESPECT TO THIS AGREEMENT SHALL BE FILLED IN ONE OF THE ABOVE REFERENCED JURISDICTIONS WITHIN TWO (2) YEARS AFTER
THE CAUSE ACTION ARISES. THE PARTIES ACKNOWLEDGE THAT THEY HAVE READ AND UNDERSTAND THIS CLAUSE AND AGREE WILLING TO ITS TERMS. LIMITATION OF DAMAGES: IN
NO EVENT SHALL WAL-MART BE LIABLE FOR ANY INCIDENTAL OR CONSEQUENTIAL DAMAGES, INCLUDING WITHOUT LIMITATION, LOSS OF PROFITS OR BUSINESS, OR OTHER CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT
LIMITED TO DAMAGES ARISING OUT OF WAL-MART'S CANCELLATION OF ORDERS OR THE TERMINATION OF BUSINESS RELATIONS WITH VENDOR), EVEN IF WAL-MART HAS BEEN ADVISED BY VENDOR OF THE
POSSIBLITY OF SUCH DAMAGES.

INSURANCE REQUIREMENTS
  

A copy of your current Certificate of Insurance with the following requirements must be attached to this Vendor Agreement. Certificate Holder should read: 

WAL-MART
STORES, INC. ITS SUBSIDIARIES & ITS AFFILATES

702 SW 8th Street

Bentonville, AR 72716-9078

Attn: Risk Management 

	1.
	COMMERCIAL
GENERAL LIABILITY Including Contractual: Products and Completed Operations with certificate holder names as Additional Insured as evidenced by attached endorsement.
Limits:    $2,000,000 *Per Occurrence 

*$5,000,000.
If determined by Wal-Mart as a high risk vendor. 

	2.
	WORKERS'
COMPENSATION required provided vendor will be entering Wal-Mart premises: 

Workers'
Compensation                  STATUTORY

EMPLOYERS' LIABILITY                  $1,000,000

Waiver of Subrogation where permitted by law. 

	3.
	Notice
of Cancellation must be for 30 days. 
	4.
	Existing
Vendors, your Vendor number needs to be stated on certificate of insurance. Vendor number for new vendors will be assigned upon receipt of vendor agreement. 
	5.
	Renewals
of certificates of Insurance must be submitted prior to expiration of Insurance with vendor number stated. 
	6.
	Please
direct any question regarding your insurance to Risk Management at (501) 273-6516. 
	7.
	If
certificate of insurance does not comply with requests, vendor agreement will be returned until compliances are met. 
	8.
	CONTACT
FOR PRODUCT LIABILITY CLAIMS: 

	NAME:	 	 	 	 	 	 	 	 	 	 
	 	 	

	ADDRESS:	 	 	 	 	 	 	 	 	 	 
	 	 	

	CITY:	 	 	 	STATE	 	 	 	ZIP	 	 
	 	 	
	 	 	 	
	 	 	 	

	ATTN:	 	 	 	PHONE	 	 	 	 
	 	 	
	 	 	 	

	 	 	 	 	FAX	 	 	 	 	 	 
	 	 	 	 	 	 	

	INSURING COMPANY	 	 	 	 	 	 	 	 
	 	 	

	PHONE:	 	 	 	 	 	 	 	 
	 	 	

WARRANTY POLICY—FOR GROCERY ONLY  

 VENDOR MUST CHECK ONE OF THE BOXES BELOW AND COMPLETE INFORMATION BEFORE AGREEMENT CAN BE APPROVED  

Vendor will be charged current costs plus a 18% handling charge for all defectives. All seasonal non-perishable merchandise may be returned to vendor with or without cause. 

Defective
merchandise will be shipped "Prepaid" with return freight charges billed to the vendor. Returns are F.O. B. purchaser. Vendor will allow automatic Return Authorization for
defectives.

YES                                     NO  
                 
 

Permanent
RA                   . If automatic return is not possible, the Purchase must be able to secure return authorization over the phone. An RA number
should be provided in the space below or the vendor must accept purchasers collect calls. 

Defectives
will be returned to the vendor direct from each individual location.
              —              —         
     .

Defectives will be disposed of by the individual location.

Vendor will allow the spoil invoice allowance, which will be deducted from each invoice before payment is made. The percentage of each invoice must be adequate to cover all defectives or additional
claims will be filed by the Return Center. Defectives will be disposed of by the Return Center.

Return Center may dispose of through salvage
outlets. YES                NO               

Defectives will be returned from locations to the Return Center and returned to the vendor.

	ADDRESS FOR STORES TO SHIP RETURNS TO:	 	ADDRESS FOR RETURN CENTER TO SHIP RETURNS TO:
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
	 	

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
	 	

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
	 	

	Attn:	 	 	 	Phone	 	 	 	Attn:	 	 	 	Phone	 	 
	 	 	
	 	 	 	
	 	 	 	
	 	 	 	

FOR GROCERY ONLY                STANDARD PURCHASE ORDER ALLOWANCE
  

	 
	 	 
	 	 
	 	CONTROL TYPE
	 	INVOICE

	 
	 	 
	 	% AMOUNT

	CODE
	 	ALLOWANCE
	 	OI
	 	BB
	 	EI
	 	Q

	

PUA	
 	

Backhaul Or Pick Up Allowance (This will be applied when the whse backhauls a PPD Item)	
 	

	
 	

	
 	

	
 	

	
 	

	

SWA	
 	

Swell Allowance	
 	

	
 	

	
 	

	
 	

	
 	

	

VAA	
 	

Other Vendor Allowance (To be deducted or billed back on every P. O. or Invoice)	
 	

	
 	

	
 	

	
 	

	
 	

OI—Off
Invoice            BB—Bill Back            EI—Each
Invoice            Q—Quarterly 

PURCHASE COST AND CONDITIONS  

Invoice and ship in accordance to the conditions, costs, and allowances reflected on each purchase order unless otherwise communicated and approved by the purchaser confirming
differences in writing. If Cost/UPC/Terms are not correct on P.O., vendor must give 24 hour notice. 

Signatures Required for all Divisions  

By the execution of this Vendor Merchandise Agreement, Vendor agrees to the representations stated above, and on the following pages. Vendor further agrees that Purchaser may
rely on these representations in placing any purchase orders pursuant to information contained in the Agreement. Any changes to this Agreement must be in writing and executed by both parties. 

        By
the execution of this Agreement, the parties hereto agree that this Agreement, the Purchase Order Terms and Conditions and the Standards for Vendors, which are incorporated herein,
constitute the full understanding of the parties, a complete allocation of risks between them and a complete and exclusive statement of the terms and conditions of their agreement; and all prior
agreements, negotiations, dealings and understandings, whether written or oral, regarding the subject matter hereof, are superseded by and merged into this Agreement. Any changes in this Agreement
shall be in writing and executed by both parties. Furthermore, in the event of a conflict of terms between the Vendor Agreement and a Purchase Order, the Vendor Agreement shall be the controlling
document. 

	SELLER:
	By:	 	/s/ James Mault	 	DATE	 	04/25/02
	 	 	
	 	 	 	

	Title:	 	CEO	 	 	 	 
	 	 	

	PURCHASER
	By:	 	/s/ David Badeen	 	DATE	 	6-4-02
	 	 	
	 	 	 	

	By:	 	/s/ Michael Moore, V.P.	 	DATE	 	6-24-02
	 	 	
	 	 	 	

	Salesman:	 	 
	 	 	

	Address:	 	 
	 	 	

	 	 	 
	 	 	

	Phone Number:	 	 
	 	 	

	Sales Mgr. or V.P. Sales	 	 
	 	 	

	Address:	 	 
	 	 	

	 	 	 
	 	 	

	Phone Number:	 	 
	 	 	

	Pres. Name:	 	 
	 	 	

	Address:	 	 
	 	 	

	 	 	 
	 	 	

CONFIDENTIAL TREATMENT REQUESTED

*** Text Omitted and Filed Separately

Confidential Treatment Requested

Under 17 C.F.R. §§ 200.80(b)(4),

200.83 and 240.24b-2  

 AMENDMENT TO SUPPLIER AGREEMENT BETWEEN SAM'S WEST, INC.

AND HEALTHeTECH, INC.  

        This Amendment to the Vendor Agreement between SAM'S West, Inc., a subsidiary of Wal-Mart Stores, Inc. and HealtheTech, Inc. (the
"Amendment") dated 6 August, 2002, is to the Vendor Agreement dated June 24 2002, Purchase Order Terms and Conditions, and Standards for "Supplier" (hereinafter collectively the "Agreement")
between HealtheTech, a Delaware corporation with its offices at 523 Park Point Drive, 3rd Floor, Golden CO 80401 (hereinafter "Supplier" or "HealtheTech") and SAM'S West, Inc., an
Arkansas corporation, with corporate offices at 608 Southwest 8th St., Bentonville, AR 72712 (hereinafter "Sam's Club"). 

        This
Amendment shall set forth the additional terms and conditions specific to the purchase of HealtheTech's BalanceLog and related products and services ("Product") and shall be fully
incorporated into the Agreement and any conflict between the Agreement and this Amendment shall be resolved in favor of this Amendment. Subsequent modifications, amendments, or addenda shall not
change or affect this Amendment in any way unless this Amendment is specifically referenced therein and executed by Supplier and Sam's Club. 

        Pursuant
to the foregoing, Sam's Club and Supplier specifically agree to the following additional terms and conditions under which Product may be purchased by Sam's Club from Supplier. 

	1.
	Sam's
Club will also evaluate HealtheTech's Brand Category for health monitoring devices and related software and services, including products targeted at nutrition and weight
management, fitness and exercise, hypertension, asthma, diabetes, pregnancy, heart disease and other conditions. HealtheTech intends to develop for Sam's Club to evaluate for purchase from
HealtheTech, subject to mutually agreed pricing and terms, additional health monitoring devices, software and services, including products such as a smart activity monitor, aerobic capacity monitor
(e.g., FitGem), peak flow meter (e.g., LungGem) and blood glucose meter PDA (GlucoPDA). Sam's Club shall have the right to be first-to-market among competing retail clubs with
respect to such future products and shall have such right for a period of twelve (12) months.

	2.
	Sam's
Club will use its commercially reasonable efforts to promote and sell in its pharmacy locations a bundled product (the "BalanceLog Kit") including (i) a CD containing
BalanceLog (Palm OS and Windows), (ii) a card ("Prepaid Measurement Card") entitling the holder to one prepaid RMR measurement at any participating HealthSouth facility, and (iii) a one
month prepaid subscription to BalanceLog Web. The BalanceLog Kit will be designed for point of sale activation on Sam's Club's point of sale activation system ("POSA System") at the time of purchase
by a Sam's Club Member.

	3.
	The
total price from HealtheTech to Sam's Club of the BalanceLog Kit will be $[***], provided that HealtheTech will invoice only $[***]
per BalanceLog Kit upon shipment of the kits to Sam's Club. HealtheTech will ship all BalanceLog Kits F.O.B. point of destination and will invoice Sam's Club no earlier than the date of shipment.
Sam's Club will submit an initial purchase order for BalanceLog Kits on the date of this letter agreement specifying a shipping date not later than [***].

	4.
	HealtheTech
grants to Sam's Club a license to retail BalanceLog Kits in Sam's Club locations and through its online retail outlets (e.g., www.samsclub.com). Sam's Club is responsible
for the collection and payment, as applicable, of all foreign, federal, state and local sales taxes that may be imposed on the sale of the BalanceLog Kits and related services.

	5.
	HealtheTech
(and HealthSouth pursuant to the terms of its partnership with HealtheTech) will provide external promotion and marketing of the BalanceLog Kit. Sam's Club will promote the
BalanceLog Kit through the provision of end-cap pallets, displays or other merchandising (which may include looped video infomercials), direct promotion to selected Sam's Club Members
(including direct mailings, internet e-mailings and in-store promotional events) and incorporation of educational and promotional programming on the Sam's Club television
network, provided that all such promotions shall be in accordance with HealtheTech's Branding Guidelines provided to Sam's Club from time to time and deemed by Sam's Club to be within its corporate
marketing and advertising philosophy.

	6.
	In
performing their respective duties under this letter agreement, each of the parties will be operating as an independent contractor. Nothing contained herein will in any way
constitute any association, partnership, or joint venture between the parties, or be construed to evidence the intention of the parties to establish any such relationship. Neither party will have the
power to bind the other party or incur obligations on the other party's behalf without the other party's prior written consent.

	7.
	No
modification to this letter agreement, nor any waiver of any rights, will be effective unless assented to in writing by the party to be charged, and the waiver of any breach or
default shall not constitute a waiver of any other right hereunder or any subsequent breach or default.

	8.
	Any
required or permitted notices hereunder must be given in writing at the address of each party set forth on the first page of this letter agreement, or to such other address as
either party may substitute by written notice to the other in the manner contemplated herein, by one of the following methods: hand delivery; registered, express, or certified mail, return receipt
requested, postage prepaid; or nationally-recognized private express courier. Notices will be deemed given on the date received.

	9.
	This
letter agreement may be executed in separate counterparts including facsimile copies, each of which shall be deemed an original, and all of which shall be deemed one and the same
instrument and legally binding upon the parties.

	10.
	The
parties each agree that they will separately be responsible for securing and maintaining all required licenses, permits, government agency approvals and certificates applicable to
their respective activities and obligations, and each shall comply with any and all federal, state and local laws, regulations, and ordinances as it relates to the terms of this Agreement. Each party
shall reasonably cooperate with a request by the other for information needed to assist the other in it compliance obligations.

	11.
	The
provisions of this Agreement shall be binding upon and inure to the benefit of the parties and their respective successors and assigns.

	12.
	NO BUSINESS GUARANTEE; NO RELIANCE ON ORAL REPRESENTATIONS OR PROMISES: Supplier specifically acknowledges that no person has authority
to make any representations or promises of business with Supplier on behalf of Sam's Club, and, that no person has authority to make any representations or promises about Sam's Club's intentions or
expectations of renewing or extending this Agreement or doing any future business with Supplier, except as may be contained in writing and signed by an officer of Sam's Club. Any expenditures or
investments or commitments made by Supplier in reliance on future business from Sam's Club pursuant to this Agreement or otherwise are done at Supplier's own risk and without any obligation whatsoever
on the part of Sam's Club, unless in writing and signed by an officer of Sam's Club 

        Except
as modified by this Amendment or by any other written agreement between the parties executed after the date of this Amendment, the sale and purchase of the Product by the parties
will be controlled by the terms of the Agreement. This Amendment and the Agreement constitute the entire agreement between the parties with respect to its subject matter and no modification, change or
alteration shall be effective unless in writing and executed by both parties. 

	SAM's West, Inc., a subsidiary of Wal-Mart Stores, Inc.	 	HealtheTech
	

/s/ David Badeen
 (Buyer)	
 	

/s/ James R. Mault
 (Authorized Signature)
	

/s/ Michael Moore, V.P.
 (D.M.M.)	
 	

James. R. Mault, M.D., CEO
 (Print Name and Title)
	

August 6, 2002
 (Date)	
 	

6 August 2002
 (Date)

QuickLinks

EXHIBIT 10.41

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