Document:

exv10w2

 

Exhibit 10.2

			
	 	 	 
	Banc of America Leasing & Capital, LLC
	 	Master Lease Agreement Number: 17495-90000

This Master Lease Agreement, dated as of June 6, 2007 (this “Agreement”), is by and between Banc of
America Leasing & Capital, LLC, a Delaware limited liability company having an office at 2059
Northlake Parkway, 4 South, Tucker, GA 30084 (together with its successors and assigns, “Lessor”),
and Widmer Brothers Brewing Company as “Lessee”, a corporation existing under the laws of the state
of Oregon, and having its chief executive office and any organizational identification
number as specified with its execution of this Agreement below. Certain defined terms used herein
are identified in bold face and quotation marks throughout this Agreement and in Section 15 below.
This Agreement sets forth the terms and conditions for the lease of Equipment between Lessor and
Lessee pursuant to one or more “Schedules” incorporating by reference the terms of this Agreement,
together with all exhibits, addenda, schedules, certificates, riders and other documents and
instruments executed and delivered in connection with such Schedule (as amended from time to time,
a “Lease”). Each Lease constitutes a separate, distinct and independent lease of Equipment and
contractual obligation of Lessee. This Agreement is not an agreement or commitment by Lessor or
Lessee to enter into any future Leases or other agreements, or for Lessor to provide any financial
accommodations to Lessee. Lessor shall not be obligated under any circumstances to advance any
progress payments or other funds for any Equipment or to enter into any Lease if there shall have
occurred a material adverse change in the operations, business, properties or condition, financial
or otherwise, of Lessee or any Guarantor. This Agreement and each Lease shall become effective only
upon Lessor’s acceptance and execution thereof at its corporate offices set forth above.

1. Lease; Term; Non-Interference. Lessor and Lessee agree to lease Equipment described in
Schedules entered into from time to time, together with all other documentation from Lessee
required by Lessor with respect to such Lease. Upon receipt of any item or group of Equipment
intended for Lease hereunder, Lessee shall execute a Schedule, with all information fully completed
and irrevocably accepting such Equipment for Lease, and deliver such Schedule to Lessor for its
review and acceptance. Provided no Event of Default has occurred, Lessee shall be entitled to use
and possess the Equipment during the original Lease Term provided in the Schedule (together with
any extensions or renewals thereof in accordance with terms of the Lease, the “Lease Term”) free
from interference by any person claiming by, through or under Lessor.

2. Rent. “Rent” shall be payable to Lessor during the Lease Term in the amounts and at the times
provided in the Schedule. If any Rent or other amount payable hereunder is not paid within 10 days
of its due date, Lessee shall pay an administrative late charge of 5% of the amount not timely
paid. All Rent and other amounts payable under a Lease shall be made in immediately available funds
at Lessor’s address above or such other place as Lessor shall specify in writing. Unless otherwise
provided herein, payments received under any Lease will be applied to all interest, fees and
amounts owing thereunder (other than Rent), and then to Rent payable thereunder.

3. Net Lease; Disclaimer Of Warranties. Each Lease is a net lease and a “finance lease” under
Article 2A of the UCC, and Lessee waives all rights and remedies Lessee may have under sections
2A-508 – 2A-522 thereof, including any right to cancel or repudiate any Lease or to reject or
revoke acceptance of any Equipment. Upon the “Acceptance Date” provided in the Schedule for each
Lease, Lessee’s Obligations thereunder (i) shall be non-cancelable, absolute and unconditional
under all circumstances for the entire Lease Term, (ii) shall be unaffected by the loss or
destruction of any Equipment, and (iii) shall not be subject to any abatement, deferment,
reduction, set-off, counterclaim, recoupment or defense for any reason whatsoever. LESSOR IS NOT A
VENDOR OR AGENT OF THE EQUIPMENT VENDOR, AND HAS NOT ENGAGED IN THE SALE OR DISTRIBUTION OF ANY
EQUIPMENT. LESSOR MAKES NO EXPRESS OR IMPLIED REPRESENTATIONS OR WARRANTIES AS TO TITLE,
MERCHANTABILITY, PERFORMANCE, CONDITION, EXISTENCE, FITNESS OR SUITABILITY FOR LESSEE’S PURPOSES OF
ANY EQUIPMENT, PATENT, TRADEMARK OR COPYRIGHT INFRINGEMENTS, THE CONFORMITY OF THE EQUIPMENT TO THE
DESCRIPTION THEREOF IN ANY LEASE, OR ANY OTHER REPRESENTATION OR WARRANTY OF ANY KIND WITH RESPECT
TO THE EQUIPMENT. If Equipment is not delivered or properly installed, does not operate as
warranted, becomes obsolete, or is unsatisfactory for any reason, Lessee shall make all claims on
account thereof solely against Vendor and not against Lessor. Lessee is solely responsible for the
selection, shipment, delivery and installation of the Equipment and its Vendors, expressly
disclaims any reliance upon any statements or representations made by Lessor in connection
therewith, and has received and approved the terms of any purchase orders, warranties, licenses or
agreements with respect to the Equipment. During the Lease Term, Lessee shall be entitled, on a
non-exclusive basis, to enforce any applicable Vendor warranties, to the extent permitted thereby
and by applicable law. Lessor assigns such warranties to Lessee, to the extent permitted thereby,
and agrees to cooperate with Lessee, at Lessee’s sole cost and expense, in making any reasonable
claim against such Vendor arising from any defect in the Equipment.

4. Use; Maintenance; Location; Inspection. Lessee shall: (i) use, operate, protect and maintain
the Equipment (a) in good operating order, repair, condition and appearance, in the same condition
as when received, ordinary wear and tear excepted, (b) consistent with prudent industry practice
(but in no event less than the extent to which Lessee maintains other similar equipment in the
prudent management of its assets and properties), and (c) in compliance with all applicable
insurance policies, laws, ordinances, rules, regulations and manufacturer’s recommended maintenance
and repair procedures, and (ii) maintain comprehensive books and records regarding the use,
operation, maintenance and repair of the Equipment. The Equipment shall be used only within the 48
contiguous United States, solely for business purposes (and not for any consumer, personal, home,
or family purpose), and shall not be abandoned or used for any unlawful purpose. Lessee shall not
discontinue use of any Equipment except for normal maintenance nor, through modifications,
alterations or otherwise, impair the current or residual value, useful life, utility or originally
intended function of any Equipment without Lessor’s prior consent. Any replacement or substitution
of parts, improvements, upgrades, or additions to the Equipment during the Lease Term shall be the
property of Lessor and subject to the Lease, except that if no Event of Default exists, Lessee may
at its expense remove improvements or additions provided by Lessee that can be readily removed
without impairing the value, function or remaining useful life of the Equipment. If requested by
Lessor, Lessee shall cause Equipment to be plainly marked to disclose Lessor’s ownership, as
specified by Lessor. Lessee shall not change the location or, in the case of over-the-road
vehicles, the base of any Equipment specified in its Schedule without Lessor’s prior written
consent. Lessor shall have the right to enter any premises where Equipment is located and inspect
it (together with related books and records) at any reasonable time.

1

 

5. Loss and Damage. Lessee assumes all risk of (and shall promptly notify Lessor in writing of any
occurrence of) any damage to or loss, theft, confiscation or destruction of any Equipment from any
cause whatsoever (a “Casualty”) from the date shipped or otherwise made available to Lessee and
continuing until it is returned to and accepted by Lessor in the condition required by the Lease,
including Section 8 of this Agreement. If any Equipment suffers a Casualty which Lessor determines
is reparable, Lessee shall at its expense promptly place the same in good repair, condition or
working order. If any Equipment suffers a Casualty which Lessor determines is beyond repair or
materially impairs its residual value (a “Total Loss”), Lessee shall at Lessor’s option either (a)
promptly replace such Equipment with a similar item reasonably acceptable to Lessor having an
equivalent value, utility and remaining useful life of such Equipment, whereupon such replacement
items shall constitute Equipment for all purposes the Lease, or (b) on the Rent payment date
following such Casualty (or, if none, within 30 days) pay Lessor the Stipulated Loss Value for such
Equipment, together with all Rent scheduled for payment on such date, and all accrued interest,
late charges and other amounts then due and owing under the Lease. Upon such payment following a
Total Loss, the Lease with respect to the Equipment suffering a Total Loss shall terminate, and
Lessor shall transfer all of its right, title and interest in such Equipment, free from all liens
and encumbrances created by Lessor, but otherwise on an “AS-IS, WHERE-IS,” quitclaim basis. If less
than all Equipment under a Schedule suffers a Total Loss, (i) the Stipulated Loss Value with
respect to any such item of Equipment shall be calculated by reference to the allocable portion of
“Lessor’s Cost” provided in the applicable Schedule, Rent or other amount related to such item, as
reasonably determined by Lessor, and (ii) the remaining Rent under the Schedule shall be
proportionately reduced as reasonably calculated by Lessor upon Lessor’s receipt of the payments
described above.

6. Insurance. Lessee, at its own expense, shall keep each item of Equipment insured against all
risks for its replacement value, and in no event less than its Stipulated Loss Value, and shall
maintain public liability and, with respect to Equipment that is over-the-road vehicles, automotive
liability insurance against such risks and for such amounts as Lessor may require. All such
insurance shall (a) be with companies rated “A-” or better by A.M. Best Company, in such form as
Lessor shall approve, (b) specify Lessor and Lessee as insureds and provide that it may not be
canceled or altered in any way that would affect the interest of Lessor without at least 30 days’
prior written notice to Lessor (10 days’ in the case of nonpayment of premium), (c) be primary,
without right of contribution from any other insurance carried by Lessor and contain waiver of
subrogation and “breach of warranty” provisions satisfactory to Lessor, (d) provide that all
amounts payable by reason of loss or damage to Equipment shall be payable solely to Lessor, unless
Lessor otherwise agrees, and (e) contain such other endorsements as Lessor may reasonably require.
Lessee shall provide Lessor with evidence satisfactory to Lessor of the required insurance upon the
execution of any Schedule and promptly upon any renewal of any required policy.

7. Indemnities; Taxes. Lessee’s indemnity and reimbursement obligations set forth below shall
survive the cancellation, termination or expiration of any Lease or this Agreement.

     (a) General Indemnity. Lessee shall indemnify, on an after-tax basis, defend and hold
harmless Lessor and its respective officers, directors, employees, agents and Affiliates
(“Indemnified Persons”) against all claims, liabilities, losses and expenses whatsoever (except
those determined by final decision of a court of competent jurisdiction to have been directly and
primarily caused by the Indemnified Person’s gross negligence or willful misconduct), including
court costs and reasonable attorneys’ fees and expenses (together, “Attorneys’ Fees”), in any way
relating to or arising out of the Equipment or any Lease at any time, or the ordering, acquisition,
rejection, installation, possession, maintenance, use, ownership, condition, destruction or return
of the Equipment, including any claims based in negligence, strict liability in tort, environmental
liability or infringement.

     (b) General Tax Indemnity. Lessee shall pay or reimburse Lessor, and indemnify, defend
and hold Lessor harmless from, on an after-tax basis, all taxes, assessments, fees and other
governmental charges paid or required to be paid by Lessor or Lessee in any way arising out of or
related to the Equipment or any Lease before or during the Lease Term or after the Lease Term
following an Event of Default, including foreign, Federal, state, county and municipal fees, taxes
and assessments, and property, value-added, sales, use, gross receipts, excise, stamp and
documentary taxes, and all related penalties, fines, additions to tax and interest charges
(“Impositions”), excluding only Federal and state taxes based on Lessor’s net income unless such
taxes are in lieu of any Imposition Lessee would otherwise be required to pay hereunder. Lessee
shall timely pay any Imposition for which Lessee is primarily responsible under law and any other
Imposition not payable or not paid by Lessor, but Lessee shall have no obligation to pay any
Imposition being contested in good faith and by appropriate legal proceedings, the nonpayment of
which does not, in the opinion of Lessor, result in a material risk of adverse effect on the title,
property, use, disposition or other rights of Lessor with respect to the Equipment. Upon Lessor’s
request, Lessee shall furnish proof of its payment of any Imposition.

     (c) Income Tax Indemnity. Lessor shall be treated for federal and state income tax
purposes as the owner of the Equipment and shall be entitled to take into account certain Tax
Benefits in computing its income tax liabilities in connection with any Lease. If Lessor suffers a
Tax Loss by reason of any act or failure to act by Lessee, or Lessee’s breach of any
representation, warranty or agreement in any Lease then, upon Lessor’s demand and at Lessor’s
option, either: (i) all further Rent under the Lease, if any, shall be increased by an amount, or
(ii) Lessee shall pay Lessor a lump sum amount, which in either case shall maintain the net
economic after-tax yield, cash-flow and rate of return Lessor originally anticipated, based on
Lessor’s federal and state corporate income tax rate in effect on the Acceptance Date of the
applicable Schedule and other assumptions originally used by Lessor in evaluating the transaction
and setting the Rent therefor and other terms thereof. Lessee shall also pay Lessor on demand all
interest, costs (including Attorneys’ Fees), penalties and additions to tax associated with the Tax
Loss. Lessor shall have no obligation to contest any Tax Loss. All references to “Lessor” in this
Section 7(c) shall include (A) Lessor’s successors and Assignees, and (B) each member of the
affiliated group of corporations, as defined in Section 1504(a) of the Code, of which Lessor or
such successor or Assignee is at any time a member. As used herein: “Tax Benefits” means all items
of income, deduction (including depreciation consistent with Lessee’s representation in the
applicable Schedule), credit, gain or loss relating to ownership of the Equipment as are provided
to owners of similar equipment under the Code and applicable state tax laws in effect on the
Acceptance Date of such Schedule; and “Tax Loss” means and will be deemed to be suffered if Lessor
loses, is delayed in claiming, is required to recapture, is not allowed or may not claim all or any
portion of any Tax Benefits, provided, however, that Lessee shall be under no obligation to
make any payments with respect to a Tax Loss to the extent that it (1) is caused by Lessor’s
failure to have sufficient taxable income to benefit from any Tax Benefits, or (2) results from any
disposition of Equipment by Lessor other than a disposition of Equipment following an Event of
Default.

8. Return. Upon any cancellation, termination or expiration of any Lease (after the occurrence of
an Event of Default or otherwise), Lessee shall, at its expense, cause the Equipment to be prepared
and adequately protected for shipment by an authorized manufacturer’s representative and either
surrender it to Lessor in place or, if instructed by Lessor, ship the Equipment to Lessor, freight
and insurance pre-paid, to a place designated by Lessor within the 48 contiguous United States, in
the condition required under Section 4 hereof and under the applicable Schedule, able to be put
into immediate service and to perform at manufacturer’s rated levels (if any), together with all
related manuals, documents and records, and, if applicable, reassembled by an authorized

2

 

manufacturer’s representative and immediately qualified for the manufacturer’s (or its authorized
servicing representative’s) then available service contract or warranty. If requested by Lessor,
Lessee shall, at its expense: (i) cause the Equipment to qualify for all applicable licenses or
permits necessary for its operation and for its intended purpose, and to comply with all
specifications and requirements of applicable federal, state and local laws, regulations and
ordinances; (ii) provide safe, suitable storage, acceptable to Lessor, for the Equipment for a
period not to exceed 90 days from the date of return; and (iii) cooperate with Lessor in attempting
to remarket the Equipment, including display and demonstration to prospective parties, and allowing
Lessor to conduct a private sale on Lessee’s premises. If Lessee does not surrender or return any
item of Equipment to Lessor on the date or in the condition required under a Lease, in addition to
all other available rights and remedies, at Lessor’s election, such Equipment shall continue to be
subject to all the terms and conditions of the Lease, with Rent and other charges continuing to
accrue and be payable under the Lease with respect to such Equipment until it is so surrendered or
returned to Lessor, except that Rent shall accrue at 125% of the last Rent allocable to such item
of Equipment (as reasonably calculated by Lessor) during the Lease Term, payable on demand.

9. Lessee Representations and Agreements. Lessee represents, warrants and agrees that: (a) Lessee
has had for the previous 5 years (except as previously disclosed to Lessor in writing) the legal
name and form of business organization in the state described above; (b) Lessee’s chief executive
office and notice address, taxpayer identification number and any organizational identification
number is as described with its execution of this Agreement below; (c) Lessee shall notify Lessor
in writing at least 30 days before changing its legal name, state of organization, chief executive
office location or organizational identification number; (d) Lessee is duly organized and existing
in good standing under the laws of the state described above and all other jurisdictions where
legally required in order to carry on its business, shall maintain its good standing in all such
jurisdictions, and shall conduct its businesses and manage its properties in compliance with all
applicable laws, rules or regulations binding on Lessee; (e) the execution, delivery and
performance of this Agreement, each Lease and Related Agreement to which it is a party has been
duly authorized by Lessee, each of which are and will be binding on and enforceable against Lessee
in accordance with their terms, and do not and will not contravene any other instrument or
agreement binding on Lessee; and (f) there is no pending litigation, tax or environmental claim,
proceeding, dispute or regulatory or enforcement action (and Lessee shall promptly notify Lessor of
any of the same that may hereafter arise) that may adversely affect any Equipment or Lessee’s
financial condition or impair its ability to perform its Obligations.

10. Title; Property; Additional Security. (a) Title; Personal Property. Each Lease is and
is intended to be a lease of personal property for all purposes. Lessee does not acquire any right,
title or interest in or to any Equipment, except the right to use and possess the same under the
terms of the applicable Lease. Except as specifically provided in the applicable Schedule, Lessee
has no right or option to extend the Lease Term of a Lease or purchase any Equipment. Lessee
assigns all of its rights (but none of its obligations) to Lessor under any purchase orders,
invoices or other contracts of sale with respect to the Equipment, and conveys whatever right,
title and interest it may now or hereafter have in any Equipment to Lessor. Lessor shall be the
sole owner of Equipment free and clear of all liens or encumbrances, other than Lessee’s rights
under the Lease. Lessee will not create or permit to exist any lien, security interest, charge or
encumbrance on any Equipment except those created by Lessor. The Equipment shall remain personal
property at all times, notwithstanding the manner in which it may be affixed to realty. Lessee
shall obtain and record such instruments and take such steps as may be necessary to (i) prevent any
creditor, landlord, mortgagee or other entity (other than Lessor) from having any lien, charge,
security interest or encumbrance on any Equipment, and (ii) ensure Lessor’s right of access to and
removal of Equipment in accordance with the Lease.

     (b) Additional Security. To secure the punctual payment and performance of Lessee’s
Obligations under each Lease and, as a separate grant of security, to secure the payment and
performance of all other Obligations owing to Lessor, Lessee grants to Lessor a continuing security
interest in the Collateral, provided, however, that if there then exists no Event of
Default, Lessor’s security interest in Collateral subject to a Lease shall terminate upon the
payment and performance of all Obligations of Lessee under the applicable Lease. Notwithstanding
the grant of a security interest in any Collateral, Lessee shall have no right to sell, lease,
rent, dispose or surrender possession, use or operation of any Equipment to any third parties
without the prior written consent of Lessor. The foregoing grant of a security interest shall not
of itself be a factor in determining whether any Lease creates a lease or security interest in the
Equipment under applicable provisions of the UCC.

11. Default. Each of the following (a “Default”) shall, with the giving of any notice or passage of
any time period specified, constitute an “Event of Default” hereunder and under all Leases: (1)
Lessee fails to pay any Rent or other amount owing under any Lease within 10 days of its due date;
(2) Lessee fails to maintain insurance as required herein, or sells, leases, subleases, assigns,
conveys, or suffers to exist any lien, charge, security interest or encumbrance on, any Equipment
without Lessor’s prior consent, or any Equipment is subjected to levy, seizure or attachment; (3)
Lessee fails to perform or comply with any other covenant or obligation under any Lease or Related
Agreement and, if curable, such failure continues for 30 days after written notice thereof by
Lessor to Lessee; (4) any representation, warranty or other written statement made to Lessor by
Lessee in connection with this Agreement, any Lease, Related Agreement or other Obligation, or by
any Guarantor pursuant to any Guaranty (including financial statements) proves to have been
incorrect in any material respect when made; (5) Lessee (w) enters into any merger or consolidation
with, or sells or transfers all or any substantial portion of its assets to, or enters into any
partnership or joint venture other than in the ordinary course of business with, any entity without
the prior written consent of Lessor, which consent may be withheld for any valid credit or business
consideration Lessor reasonably deems important, (x) dies (if a natural person), dissolves,
liquidates or ceases or suspends the conduct of business, or ceases to maintain its existence, (y)
if Lessee is a privately held entity, enters into or suffers any transaction or series of
transactions as a result of which Lessee is directly or indirectly controlled by persons or
entities not directly or indirectly controlling Lessee as of the date hereof without the prior
written consent of Lessor, which consent may be withheld for any valid credit or business
consideration Lessor reasonably deems important, or (z) if Lessee is a publicly held entity, there
shall be a change in the ownership of Lessee’s stock or other equivalent ownership interest such
that Lessee is no longer subject to the reporting requirements of, or no longer has a class of
equity securities registered under, the Securities Act of 1933 or the Securities Exchange Act of
1934; (6) Lessee undertakes any general assignment for the benefit of creditors or commences any
voluntary case or proceeding for relief under the federal bankruptcy code, or any other law for the
relief of debtors, or takes any action to authorize or implement any of the foregoing; (7) the
filing of any petition or application against Lessee under any law for the relief of debtors,
including proceedings under the federal bankruptcy code, or for the subjection of property of
Lessee to the control of any court, receiver or agency for the benefit of creditors if such
petition or application is consented to by Lessee or is otherwise not dismissed within 60 days from
the date of filing; (8) any default occurs under any other lease, credit or other agreement or
instrument to which Lessee and Lessor or any Affiliate of Lessor are now or hereafter party; (9)
any default occurs under any other agreement or instrument to which Lessee is a party and under
which there is outstanding, owing or committed an aggregate amount greater than $1,000,000.00,
which default is not cured within any applicable grace period; (10) any attempted repudiation,
breach or default of any Guaranty; or (11) the occurrence of any event described in clauses (4)
through (9) above with reference to

3

 

any Guarantor or any controlling shareholder, general partner or member of Lessee. Lessee shall
promptly notify Lessor in writing of any Default or Event of Default.

12. Remedies. (a) Upon the occurrence of an Event of Default, Lessor may, in its discretion,
exercise any one or more of the following remedies with respect to any or all Leases or Equipment:
(1) cause Lessee to promptly discontinue use of or disable any Equipment, or to assemble and return
any Equipment or other Collateral in accordance with the terms of the applicable Lease; (2) remedy
such Event of Default or proceed by court action, either at law or in equity, to enforce
performance of the applicable provisions of any Lease; (3) with or without court order, enter upon
the premises where Equipment is located and repossess and remove the same, all without liability
for damage to such premises or by reason such entry or repossession, except for Lessor’s gross
negligence or willful misconduct; (4) dispose of any Equipment in a public or private transaction,
or hold, use, operate or keep idle the Equipment, free and clear of any rights or interests of
Lessee therein; (5) recover direct, incidental, consequential and other damages for the breach of
any Lease, including the payment of all Rent and other amounts payable thereunder (discounted at
the Discount Rate with respect to any accelerated future amounts), and all costs and expenses
incurred by Lessor in exercising its remedies or enforcing its rights thereunder (including all
Attorneys’ Fees); (6) by written notice to Lessee, cancel any Lease and, as liquidated damages for
the loss of Lessor’s bargain and not as a penalty, declare immediately due and payable an amount
equal to the Stipulated Loss Value applicable to such Leases which Lessee acknowledges to be
reasonable liquidated damages in light of the anticipated harm to Lessor that might be caused by an
Event of Default and the facts and circumstances existing as of the Acceptance Date of each Lease;
(7) without notice to Lessee, apply or set-off against any Obligations all security deposits,
advance payments, proceeds of letters of credit, certificates of deposit (whether or not matured),
securities or other additional collateral held by Lessor or otherwise credited by or due from
Lessor to Lessee; or (8) pursue all other remedies provided under the UCC or other applicable law.
Upon the commencement of any voluntary case under the federal bankruptcy code concerning the
Lessee, the remedy provided in clause (6) above shall be automatically exercised without the
requirement of prior written notice to Lessee or of any other act or declaration by Lessor, and the
liquidated damages described therein shall be immediately due and payable. Lessee shall pay
interest equal to the lesser of (a) 10% per annum, or (b) the highest rate permitted by applicable
law (“Default Rate”) on (i) any amount other than Rent owing under any Lease and not paid when due,
(ii) Rent not paid within 30 days of its due date, and (iii) any amount required to be paid upon
cancellation of any Lease under this Section 12. Any payments received by Lessor after an Event of
Default, including proceeds of any disposition of Equipment, shall be applied in the following
order: (A) to all of Lessor’s costs (including Attorneys’ Fees), charges and expenses incurred in
taking, removing, holding, repairing and selling or leasing the Equipment or other Collateral or
enforcing the provisions hereof; (B) to the extent not previously paid by Lessee, to pay Lessor for
any damages then remaining unpaid hereunder; (C) to reimburse Lessee for any sums previously paid
by Lessee as damages hereunder; and (D) the balance, if any, shall be retained by Lessor.

     (b) No remedy referred to in this Section 12 shall be exclusive, each shall be cumulative (but
not duplicative of recovery of any Obligation) and in addition to any other remedy referred to
above or otherwise available to Lessor at law or in equity, and all such remedies shall survive the
cancellation of any Lease. Lessor’s exercise or partial exercise of, or failure to exercise, any
remedy shall not restrict Lessor from further exercise of that remedy or any other available
remedy. No extension of time for payment or performance of any Obligation shall operate to release,
discharge, modify, change or affect the original liability of Lessee for any Obligations, either in
whole or in part. Lessor may proceed against any Collateral or Guarantor, or may proceed
contemporaneously or in the first instance against Lessee, in such order and at such times
following an Event of Default as Lessor determines in its sole discretion. In any action to
repossess any Equipment or other Collateral, Lessee waives any bonds and any surety or security
required by any applicable laws as an incident to such repossession. Notices of Lessor’s intention
to accelerate, acceleration, nonpayment, presentment, protest, dishonor, or any other notice
whatsoever (other than notices of Default specifically required of Lessor pursuant to Section 11
above) are waived by Lessee and any Guarantor. Any notice given by Lessor of any disposition of
Collateral or other intended action of Lessor which is given in accordance with this Agreement at
least 10 business days prior to such action, shall constitute fair and reasonable notice of such
action.

13. Assignment. Lessor and any Assignee may assign or transfer any of Lessor’s interests in any
Lease or Equipment without notice to Lessee, subject, however, to the rights of Lessee to use and
possess the Equipment under such Lease for so long as no Event of Default has occurred and is
continuing. Lessee agrees that: (i) the rights of any Assignee shall not be affected by any breach
or default of Lessor or any prior Assignee, and Lessee shall not assert any defense, rights of
set-off or counterclaim against any Assignee, nor hold or attempt to hold such Assignee liable for
any such breach or default; (ii) no Assignee shall be required to assume any obligations of Lessor
under any Lease except the obligation of non-interference in Section 1 above, (iii) any Assignee
expressly assuming the obligations of Lessor shall thereupon be responsible for Lessor’s duties
under the applicable Lease accruing after assignment and Lessor shall be released from such duties,
and (iv) Lessee shall execute and deliver upon request such additional documents, instruments and
assurances as Lessor deems necessary in order to (y) acknowledge and confirm all of the terms and
conditions of any Lease and Lessor’s or such Assignee’s rights with respect thereto, and Lessee’s
compliance with all of the terms and provisions thereof, and (z) preserve, protect and perfect
Lessor’s or Assignee’s right, title or interest hereunder and in any Equipment, including, without
limitation, such UCC financing statements or amendments, control agreements, corporate or member
resolutions, votes, notices of assignment of interests, and confirmations of Lessee’s obligations
and representations and warranties with respect thereto as of the dates requested. Lessor may
disclose to any potential Assignee any information regarding Lessee, any Guarantor and their
Affiliates. Lessee shall not assign, pledge, hypothecate or in any way dispose of any of its rights
or obligations under any Lease, or enter into any sublease of any Equipment, without Lessor’s prior
written consent. Any purported assignment, pledge, hypothecation, disposal or sublease by Lessee
made without Lessor’s prior written consent shall be null and void.

14. Financial and Other Data. (a) During any Lease Term, Lessee shall (i) maintain books and
records in accordance with generally accepted accounting principles consistently applied (“GAAP”)
and prudent business practice; (ii) promptly provide Lessor, within 120 days after the close of
each fiscal year, and, upon Lessor’s request, within 45 days of the end of each quarter of Lessee’s
and any Guarantor’s fiscal year, a copy of financial statements for Lessee and each Guarantor
requested by Lessor, in each case prepared in accordance with GAAP and (in the case of annual
statements) audited by independent certified public accountants and (in the case of quarterly
statements) certified by the chief financial officer of Lessee or Guarantor, as applicable;
provided, however, that for so long as Lessee or any such Guarantor is legally and timely
filing annual and quarterly financial reports on Forms 10-K and 10-Q with the Securities and
Exchange Commission which are readily available to the public, the filing of such reports shall
satisfy the foregoing financial statement reporting requirements for such entity; and (iii) furnish
Lessor all other financial information and reports and such other information as Lessor may
reasonably request concerning Lessee, any Guarantor and their respective affairs, or the Equipment
or its condition, location, use or operation.

     (b) Lessee represents and warrants that all information and financial statements at any time
furnished by or on behalf of Lessee or any Guarantor are

4

 

accurate and reasonably reflect as of their respective dates, results of operations and the
financial condition of Lessee, such Guarantor or other entity they purport to cover. Credit and
other information regarding Lessee, any Guarantor or their Affiliates, any Lease or Equipment may
be disclosed by Lessor to its Affiliates, agents and potential Assignees, notwithstanding anything
contained in any agreement that may purport to limit or prohibit such disclosure.

15. Definitions

     As used herein, the following terms shall have the meanings assigned or referred to them
below:

     “Affiliate” means any entity controlling, controlled by or under common control with the
referent entity; “control” includes (i) the ownership of 25% or more of the voting stock or other
ownership interest of any entity and (ii) the status of a general partner of a partnership or
managing member of a limited liability company.

     “Assignee” means any assignee or transferee of all or any of Lessor’s right, title and
interest in any Lease or any Equipment.

     “Code” means the Internal Revenue Code of 1986, as amended.

     “Collateral” means and includes all of Lessee’s right, title and interest in and to all
Equipment, together with: (i) all parts, attachments, accessories and accessions to, substitutions
and replacements for, each item of Equipment; (ii) all accounts, chattel paper, and general
intangibles arising from or related to any sale, lease, rental or other disposition of any
Equipment to third parties, or otherwise resulting from the possession, use or operation of any
Equipment by third parties, including instruments, investment property, deposit accounts, letter of
credit rights, and supporting obligations arising thereunder or in connection therewith; (iii) all
insurance, warranty and other claims against third parties with respect to any Equipment; (iv) all
software and other intellectual property rights used in connection therewith; (v) proceeds of all
of the foregoing, including insurance proceeds and any proceeds in the form of goods, accounts,
chattel paper, documents, instruments, general intangibles, investment property, deposit accounts,
letter of credit rights and supporting obligations; and (vi) all books and records regarding the
foregoing, in each case, now existing or hereafter arising.

     “Discount Rate” means the 1-year Treasury Constant Maturity rate as published in the Selected
Interest Rates table of the Federal Reserve statistical release H.15(519) for the week ending
immediately prior to the original Acceptance Date of a Lease (or if such rate is no longer
determined or published, a successor or alternate rate selected by Lessor).

     “Equipment” means the items, units and groups of personal property, licensed materials and
fixtures described in each Schedule, together with all replacements, parts, additions, accessories
and substitutions therefor; and “item of Equipment” means a “commercial unit” as defined and
described in Article 2A of the UCC, and includes each functionally integrated and separately
marketable group or unit of Equipment.

     “Guarantor” means any guarantor, surety, endorser, general partner or co-lessee of Lessee, or
other party liable in any capacity, or providing additional collateral security for, the payment or
performance of any Obligations of Lessee.

     “Guaranty” means any guaranty, surety instrument, security, indemnity, “keep-well” agreement
or other instrument or arrangement from or with any Guarantor.

     “Obligations” means and includes all obligations of Lessee owing to Lessor under this
Agreement, any Lease or Related Agreement, or of any Guarantor owing to Lessor under any Guaranty,
together with all other obligations, indebtedness and liabilities of Lessee to Lessor under any
other financings, leases, loans, notes, progress payment agreements, guaranties or other
agreements, of every kind and description, now existing or hereafter arising, direct or indirect,
joint or several, absolute or contingent, whether for payment or performance, regardless of how the
same may arise or by what instrument, agreement or book account they may be evidenced, including
without limitation, any such obligations, indebtedness and liabilities of Lessee to others which
may be obtained by Lessor through purchase, negotiation, discount, transfer, assignment or
otherwise.

     “Related Agreement” means and includes any Guaranty and any approval letter or progress
payment, assignment, security or other agreement or addendum related to this Agreement, any Lease
or any Collateral to which Lessee or any Guarantor is a party.

     “Stipulated Loss Value” means, as of any particular date, the product obtained by multiplying
the “Lessor’s Cost” specified in the Schedule by the percentage set forth in the “Schedule of
Stipulated Loss Values” attached to the Schedule, specified opposite the Rent installment number
(or date) becoming due immediately after the Casualty, Event of Default or other event requiring
the calculation of Stipulated Loss Value. If there is no Schedule of Stipulated Loss Values
attached to a Schedule, or if the Schedule of Stipulated Loss Values does not otherwise cover a
Rent installment number (or date), Stipulated Loss Value on any Rent payment date shall equal the
net present value of: (a) all unpaid Rent for the remainder of the Lease Term, plus (b) the
amount of any purchase obligation, fixed price purchase option, or TRAC amount payment or, if there
is no such obligation, option or payment, then the fair market value of the Equipment as of the end
of the Lease Term, as estimated by Lessor in its sole discretion, all discounted to present value
at the Discount Rate.

     “UCC” means the Uniform Commercial Code in effect in the state specified in Section 16(f) of
this Agreement.

     “Vendor” means the manufacturer, distributor, supplier or other seller (whether or not a
merchant or dealer) of the Equipment and any sales representative or agent thereof.

16. Miscellaneous. (a) At Lessor’s request, Lessee shall execute, deliver, file and record such
financing statements and other documents as Lessor deems necessary to protect Lessor’s interest in
the Equipment and to effectuate the purposes of any Lease or Related Agreement, and Lessee
authorizes, and irrevocably appoints Lessor as its agent and attorney-in-fact, with right of
substitution and coupled with an interest, to (i) execute, deliver, file, and record any such item,
and to take such action for Lessee and in Lessee’s name, place and stead, (ii) make minor
corrections to manifest errors in factual data in any Schedule and any addenda, attachments,
exhibits and riders thereto, and (iii) after the occurrence of an Event of Default, enforce claims
relating to the Equipment against insurers, Vendors or other persons, and to make, adjust,
compromise, settle and receive payment under such claims; but without any obligation to do so.

     (b) Federal law requires all financial institutions to obtain, verify and record information
that identifies each entity that obtains a loan or other financial accommodation. The first time
Lessee requests a financial accommodation from Lessor, the Lessor may ask for Lessee’s (or any
Guarantor’s) legal name, address, tax ID number and other identifying information. Lessee shall
promptly provide copies of business licenses or other documents evidencing the existence and good
standing of Lessee or any Guarantor requested by Lessor.

     (c) Time is of the essence in the payment and performance of all of Lessee’s Obligations under
any Lease or Related Agreement. This Agreement, and each Lease or Related Agreement may be executed
in one or more counterparts, each of which shall constitute one and the same agreement. All
demands, notices, requests, consents, waivers and other communications concerning this Agreement
and any Lease or Related Agreement shall be in writing and shall be deemed to have been duly given
when received, personally delivered or three business days after being deposited in the mail, first
class postage prepaid, or the business day after delivery to an express carrier, charges prepaid,
addressed to each party at the address provided herein, or at such other address as may hereafter
be furnished in writing by such party to the other.

5

 

     (d) Except as otherwise agreed between Lessee and Lessor in writing, Lessee shall reimburse
Lessor upon demand for costs and expenses incurred by Lessor in connection with the execution and
delivery of this Agreement, any Lease or Related Agreement. Lessee shall reimburse Lessor on demand
for all costs (including Attorneys’ Fees) incurred by Lessor in connection with Lessee’s exercise
of any purchase or extension option under any Lease, or any amendment or waiver of the terms of
this Agreement or any Lease or Related Agreement requested by Lessee.

     (e) Any provisions of this Agreement or any Lease or Related Agreement which are unenforceable
in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such
unenforceability without invalidating the remaining provisions thereof, and any such
unenforceability shall not render unenforceable such provisions in any other jurisdiction. Any
requirement for the execution and delivery of any document, instrument or notice may be satisfied,
in Lessor’s discretion, by authentication as a record within the meaning of, and to the extent
permitted by, Article 9 of the UCC.

     (f) THIS AGREEMENT AND ANY LEASE OR RELATED AGREEMENT, AND THE LEGAL RELATIONS OF THE PARTIES
THERETO, SHALL IN ALL RESPECTS BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE
STATE OF RHODE ISLAND, WITHOUT REGARD TO CHOICE OF LAW PRINCIPLES; THE PARTIES CONSENT AND SUBMIT
TO THE JURISDICTION OF THE STATE AND FEDERAL COURTS OF SUCH STATE FOR THE PURPOSES OF ANY SUIT,
ACTION OR OTHER PROCEEDING ARISING THEREFROM, AND EXPRESSLY WAIVE ANY OBJECTIONS THAT IT MAY HAVE
TO THE VENUE OF SUCH COURTS. THE PARTIES EXPRESSLY WAIVE ANY RIGHT TO TRIAL BY JURY IN ANY ACTION
BROUGHT ON OR WITH RESPECT THERETO. IN NO EVENT SHALL LESSOR HAVE ANY LIABILITY TO LESSEE FOR
INCIDENTAL, GENERAL, CONSEQUENTIAL, PUNITIVE OR EXEMPLARY DAMAGES. Any cause of action by Lessee
against Lessor relating to this Agreement or any Lease or Related Agreement shall be brought within
one year after any such cause of action first arises, and Lessee hereby waives the benefit of any
longer period provided by statute.

     (g) EACH LEASE, TOGETHER WITH THIS AGREEMENT AND ANY RELATED AGREEMENTS, (i) CONSTITUTES THE
FINAL AND ENTIRE AGREEMENT BETWEEN THE PARTIES SUPERSEDING ALL CONFLICTING TERMS OR PROVISIONS OF
ANY PRIOR PROPOSALS, APPROVAL LETTERS, TERM SHEETS OR OTHER AGREEMENTS OR UNDERSTANDINGS BETWEEN
THE PARTIES, (ii) MAY NOT BE CONTRADICTED BY EVIDENCE OF (y) ANY PRIOR WRITTEN OR ORAL AGREEMENTS
OR UNDERSTANDINGS, OR (z) ANY CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OR UNDERSTANDINGS
BETWEEN THE PARTIES; and (iii) MAY NOT BE AMENDED, NOR MAY ANY RIGHTS THEREUNDER BE WAIVED, EXCEPT
BY AN INSTRUMENT IN WRITING SIGNED BY THE PARTY CHARGED WITH SUCH AMENDMENT OR WAIVER.

     In Witness Whereof, Lessor and Lessee have executed this Agreement as of the date first
above written.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	BANC OF AMERICA LEASING & CAPITAL, LLC (Lessor)	 	Widmer Brothers Brewing Company (Lessee)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	By:
	 	/s/ 	 	 	 	 	 	By:
	 	/s/ Richard G. Shawen	 	 
	 

	 	 	 	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	Print Name:
	 	 	 	 	 	 	 	Print Name:
	 	Richard G. Shawen	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Title:
	 	 	 	 	 	 	 	Title:
	 	Vice President — Finance	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	Taxpayer ID # :	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	Org. ID # (if any)
	 	 

	 	 
	 

	 	 	 	 	 	 	 	 	 	Chief Executive Office:
	 	 

	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	929 N. Russell	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	Portland, OR 97227	 	 

6

 

	 	 	 	 	 
	 

	 	Schedule (Lease Intended as Security)
	 	Schedule
	Banc of America Leasing & Capital, LLC

	 	to Master Lease Agreement
	 	Number 17495-90001

This Schedule (“Schedule”), dated as of June 6, 2007, between Banc of America Leasing & Capital,
LLC (“Lessor”) and Widmer Brothers Brewing Company (“Lessee”) is executed pursuant to Master Lease
Agreement Number 17495-90000 dated June 6, 2007 (the “Master Lease”), incorporated in this Schedule
by this reference. Unless otherwise defined in this Schedule, capitalized terms used in this
Schedule have the respective meanings assigned to such terms in the Master Lease. If any provision
of this Schedule conflicts with any provision of the Master Lease, the provisions contained in this
Schedule shall prevail. Lessee hereby authorizes Lessor to insert the serial numbers and other
identification data of the Equipment, dates, and other omitted factual matters or descriptions in
this Schedule.

1. Description of Equipment; Location. The Equipment subject to this Schedule, which has a cost to
Lessor in the aggregate of $8,000,000.00, which may include taxes, shipping, installation and other
related expenses, if any (collectively “Lessor’s Cost”), are as follows:

	 	 	 	 	 	 	 
	Quantity	 	Description	 	Serial Number	 	Lessor’s Cost
	 

	 	 
	 	 
	 	 

See Exhibit A Attached Hereto and Made a Part Hereof.

     Location of Equipment. The Equipment will be located or (in the case of over-the-road vehicles)
based at the following locations:

	 	 	 	 	 	 	 	 	 	 	 
	Location	 	Address	 	City	 	County	 	State	 	ZIP
	A

	 	929 North Russell Street
	 	Portland
	 	Multnomah
	 	Oregon
	 	97227 

2. Acceptance. Lessee acknowledges and represents that the Equipment (a) has been delivered to,
received and inspected by Lessee, (b) is in good operating order, repair, condition and appearance,
(c) is of the manufacture, design and capacity selected by Lessee and are suitable for the purposes
for which the Equipment are leased, and are acceptable and satisfactory to Lessee, (d) do not
require any additions or modifications to make them suitable for use, other than ancillary
modifications or additions normally made by lessees of similar assets, and are available for use
and lease by Lessee and Lessor, and (e) have been irrevocably accepted as “Equipment” leased by
Lessee under this Schedule as of the date written below (the “Acceptance Date”). Lessee hereby
authorizes and directs Lessor to reimburse Lessee or pay Vendors for the purchase price of the
Equipment in accordance with Vendors’ invoices therefor, receipt and approval of which are hereby
reaffirmed by Lessee.

3. Lease Term. The original Lease Term for the Lease of Equipment under this Schedule consist of:
(i) an “Interim Term” (if any) beginning on the Acceptance Date, and continuing through and
including the day preceding the Base Date; and (ii) a “Base Term” of Eighty Four (84) months,
beginning on       , 2007 (the “Base Date”).

4. Rent. Rent payable under this Schedule consists of: (i) “Interim Rent”, which shall be due
Lessor for each day of the Interim Term and shall equal the daily equivalent of the initial Base
Rent, payable on the Base Date; and (ii) “Base Rent”, which shall be payable in arrears in Eighty
Four (84) consecutive monthly installments of $119,020.25 each, or as set forth in the Schedule of
Base Rent installments attached hereto, the first Base Rent installment being payable thirty (30)
days following the Base Date and the remaining Base Rent installments being payable on the same day
of each succeeding month.

5. Tax Exemption; Personal Property Taxes. Lessor will invoice Lessee for all sales, use and/or
personal property taxes as and when due and payable in accordance with applicable law, unless
Lessee timely delivers to Lessor a valid exemption certificate with respect to such taxes.
Delivery of such certificate shall constitute Lessee’s representation and warranty that no such
taxes shall become due and payable with respect to the Equipment, and Lessee shall indemnify and
hold harmless Lessor from and against any and all liability or damages, including late charges and
interest which Lessor may incur by reason of the assessment of such taxes. Notwithstanding any
provision to the contrary in this Lease, Lessee shall file directly with all appropriate taxing
authorities all declarations, returns, inventories and other documentation with respect to any
personal property taxes due or to become due with respect to the Equipment (“Taxes”) and shall pay
on or before the date when due all such Taxes assessed, billed or otherwise payable with respect to
such Equipment directly to such taxing authorities. Upon request by Lessor, Lessee shall provide
Lessor with copies of satisfactory documentation and proof of payment of such Taxes, and any
penalties and interest thereon, and any other liabilities and damages that Lessor may incur arising
out of the failure of Lessee to pay when due such Taxes. The indemnity and covenants set forth
herein shall continue in full force and effect and shall survive the expiration or earlier
termination of this Lease.

Page 1 of 3

 

6. Status of Lease as “Lease Intended as Security.” Any provision of the Master Lease to the
contrary notwithstanding, Lessor and Lessee acknowledge and agree that the Lease of Equipment under
this Schedule is and is intended to be a transaction which creates a security interest in personal
property in favor of Lessor, and shall be construed to constitute a lease intended as security for
all commercial law and federal income and state tax purposes. Lessee and Lessor further
acknowledge and agree that: (i) any right, title or interest of Lessor in and to the Equipment is
held for collateral security purposes and that Lessor shall be entitled to all of the rights and
remedies of a secured party under Article 9 of the UCC and otherwise provided under applicable law;
(ii) the special tax indemnity provisions of Section 7(c) of the Master Lease shall not be
applicable to the Lease evidenced by this Schedule; (iii) upon the payment and performance of all
of Lessee’s Obligations under this Schedule, and provided that there then exists no Event of
Default, Lessee shall not be obligated to return the Equipment to Lessor pursuant to the provisions
of Section 8 of the Master Lease; and (iv) the last sentence of Section 12(a) of the Master Lease
as it relates to the Lease evidenced by this Schedule is deleted and replaced with the following:
“Any payments received by Lessor after the occurrence of an Event of Default, including proceeds of
any disposition of Equipment, shall be applied in the following order: (A) to all costs, and
(including Attorneys’ Fees), charges and expenses incurred in taking, removing, holding, repairing
and selling or leasing the Equipment or other Collateral or enforcing the provisions hereof; (B) to
the extent not previously paid by Lessee, to pay Lessor for any damages then remaining unpaid
hereunder; and (C) the balance, if any, shall be paid to Lessee and/or other parties lawfully
entitled thereto.”

7. Further Representations and Agreements. Lessee represents, warrants and agrees as follows: (a)
all representations and warranties of Lessee contained in the Master Lease are restated as of the
Acceptance Date and are true and correct as of such date; (b) there has been no material adverse
change in the operations, business, properties or condition (financial or otherwise) of Lessee or
any Guarantor since December 2006; (c) there exists no Default or Event of Default as of the
Acceptance Date; and (d) the operation and maintenance of any Equipment in the ordinary
course by Lessee do not require the entry into any software or other intellectual property rights
agreement with any licensor or other person, except as disclosed to Lessor in writing prior to the
Acceptance Date.

8. End of Lease Term Purchase. At the end of the Base Term, or within 15 days thereafter, Lessee
shall purchase the Equipment on an “AS IS, WHERE IS” quitclaim basis, without representations or
warranties of any kind, express or implied, for the cash amount of one dollar ($1.00) (“Purchase
Price”). Lessee shall pay Lessor the Purchase Price on or before the expiration of the Base Term
in immediately available funds.

9. Prepayment. On any rent payment date under this Schedule, upon no less than 30 days’
irrevocable notice to Lessor, and provided that no Event of Default exists, Lessee may terminate
the Lease with respect to all and not less than all Equipment covered by this Schedule by
purchasing the Equipment “as is and where is” without warranties or representations of any kind,
express or implied, for a purchase price equal to the Stipulated Loss Value plus all other amounts
owing with respect to the Equipment; provided that any such prepayment shall be made
together with (a) all accrued interest and other charges and amounts owing hereunder through the
date of prepayment, and (b) a prepayment charge equal to four percent (4%) of the amount prepaid
during months 1 through 12 of the Lease Term, three percent (3%) of the amount prepaid during
months 13 through 24 of the Lease Term, two percent 2% of the amount prepaid during months 25
through 36 of the Lease term, one percent (1%) of the amount prepaid during months 37 through 48
and no prepayment charge during months 49 through 84 of the Lease Term; provided further
that, if any prepayment is made following an Event of Default, by reason of acceleration or
otherwise, the prepayment charge shall be calculated based upon the full original Lease Term. The
purchase price of the Equipment and any prepayment charge shall be paid in immediately available
funds at the time of exercising such option.

	 	 	 	 	 	 	 	 	 
	BANC OF AMERICA LEASING & CAPITAL, LLC	 	 	 	Widmer Brothers Brewing Company
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ 	 	 	 	By:
	 	/s/ Richard G. Shawen
	 

	 	 

	 	 	 	 	 	 
 
	Printed Name:

	 	 	 	 	 	Printed Name:
	 	Richard G. Shawen
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Title:

	 	 	 	 	 	Title:
	 	Vice President — Finance
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Acceptance Date:
	 	6/20/07

Where multiple counterpart originals of this Schedule have been executed by Lessee and Lessor, only
the counterpart marked “Lessor’s Copy” shall be deemed chattel paper evidencing the Lease of
Equipment subject to this Schedule, and a security interest in such chattel paper and Lease may be
perfected through the transfer and possession of the “Lessor’s Copy” of such Schedule only, without
the need to transfer possession of the Master Lease, any Related Agreement or any other document
executed and delivered in connection with this Lease.

Page 2 of 3

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	 	 	BREWHOUSE 250,000 BBL/YR
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Malt Handling System, Huppmann, 15 tons per hour, c/o:
	 	 	1996	 	 	 	14	 
	 	 	1 - Dry Grist Mill, Buhler, Maltomat 07, s/n 20-351-733,
type DBZC-073110, 6 roller, 4 ton per hour
	 	 	 	 	 	 	 	 
	 	 	2 - Malt Silo, 30 ton capacity
	 	 	 	 	 	 	 	 
	 	 	2 - Malt Silo, 125 ton capacity
	 	 	 	 	 	 	 	 
	 	 	1 - Dust Collection System, Buhler
	 	 	 	 	 	 	 	 
	 	 	1 - Grist Bin, 7 ton
	 	 	 	 	 	 	 	 
	 	 	2 - Bucket Elevator, 6x10” 30-40’
	 	 	 	 	 	 	 	 
	 	 	2 - Chain Conveyor, 12“x60’
	 	 	 	 	 	 	 	 
	 	 	1 - Screw Conveyor, 16“x20’
	 	 	 	 	 	 	 	 
	 	 	1 - Malt Weigh Hopper, with load cell
	 	 	 	 	 	 	 	 
	 	 	1 - Super Sack Hopper, Huppmann, 500CS, s/n X10877-00
	 	 	 	 	 	 	 	 
	 	 	1 - Hoist, overhead, Coffing, 1-ton, with support
	 	 	 	 	 	 	 	 
	 	 	1 - Item of related equipment, piping and controls
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Wet Spent Grain Silo, Vetter, 70 cubic meter, with ball
cleaning device and rotary discharge valve
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Mash Tun, Huppmann, 242 hl, 7,440 gal, Co # 1 w/ mixer, mash
pump, piping, valves and fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Lauter Tun Kettle, Huppmann, 615 hl, 18,900 gal, with
Saccharometer, spent grain discharge, piping, valves and
fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Wort Kettle, Huppmann, 470 hl, 12,462 gal, Co #4 with 15 hp
pump, piping, valves and fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Whirlpool, Huppmann, 440 hl, 11,687 gal, Co #5, piping,
valves and fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Pre-run Kettle, Huppmann, 380 hl, piping, valves and fittings
	 	 	2001	 	 	 	24	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Traub Tank, Mueller, 25 hl, 790 gal, Co # #6, w/ pump,
piping, valves and fittings
	 	 	1996	 	 	 	19	 

1

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	1	 	Wart Cooling System, glycol c/o:
	 	 	1996	 	 	 	14	 
	 	 	1 - Oxygen Aeration Unit, Huppmann
	 	 	 	 	 	 	 	 
	 	 	1 - Heat Exchanger, APV, mdl Delta #SR62AG, s/n 11483
	 	 	 	 	 	 	 	 
	 	 	1 - Water Filter, Culligan, apprx 42” dia x 60”
	 	 	 	 	 	 	 	 
	 	 	1 - Ultraviolet Disinfection, Aquafine, CSL-6R, s/n JS97024
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Warm Water Tank, Mueller, s/n M6406-3, stainless steel, 910
hl, 23,560 gal with piping, valves and fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Cold Water Tank, Mueller, s/n 1640D6-2, 510 hl, 13,175 gal
with piping, valves and fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Chilled Water Tank, Mueller, s/n 104006-1, 510 hl, 13,175
gal with piping, valves and fittings
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Clean in Place System, Brewhouse c/o:
	 	 	1996	 	 	 	19	 
	 	 	1 - Water Panel, Sudmo, 5 valve
	 	 	 	 	 	 	 	 
	 	 	3 - Caustic Tank, Carl Karrer, apprx 5’ dia x 8’ high
	 	 	 	 	 	 	 	 
	 	 	1 - Heat Exchanger, APV, mdl Delta SR22/1, s/n 11484
	 	 	 	 	 	 	 	 
	 	 	1 - Automatic Sieve
	 	 	 	 	 	 	 	 
	 	 	1 - Lot of various pumps
	 	 	 	 	 	 	 	 
	 	 	1 - Item of related equipment, piping and controls
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Brewhouse Control System, Huppmann, Brewmaxx, with
Wonderware interface, Siemens and Allen Bradley PLCs,
updated 2006.
	 	 	2006	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Item of Proces Piping, including steam, water, gas, air,
CO2, grain
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Item of HVAC in brewery including ductwork, exhausters and
related
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	SOUTH CELLAR
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	6	 	Fermentation Tank, Mueller, Co #s S7-12, 12’ dia x 40’, 900
bbl, 31,000 gal capacity
	 	 	1996	 	 	 	19	 

2

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	6	 	Fermentation Tank, Mueller, Co #s S1-6, 10’ dia x 40’, 750
bbl, 24,229 gal capacity
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Yeast Brink Tank, JV Northwest, Inc, 340 gal with pump
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Collection Brink Tank, JV Northwest, Inc, est 1,000 gal
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Weigh Scale, GSE, mdl 460 and 550 readout, “Yeast Brink and
Collection”
	 	 	1996	 	 	 	4	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Tank Support Equipment, S7-12 c/o:
	 	 	1996	 	 	 	19	 
	 	 	1 - Valve Manifold/Matrix, Station, 36 valves
	 	 	 	 	 	 	 	 
	 	 	1 - Platform Bridge
	 	 	 	 	 	 	 	 
	 	 	1 - Item of pumps, piping, valves and fittings
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Clean in Place System Fermentation, Huppmann, c/o:
	 	 	1996	 	 	 	19	 
	 	 	2 - Pumping Matrix with pumps, valves and fittings
	 	 	 	 	 	 	 	 
	 	 	1 - Item of related equipment, piping and controls
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Control System, Fermentation including PLCs, panels, wiring
and related
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Caustic Water Treament System c/o:
	 	 	1996	 	 	 	10	 
	 	 	4 - Caustic and Hot Water Tanks, stainless steel
	 	 	 	 	 	 	 	 
	 	 	1 - Waste Tank
	 	 	 	 	 	 	 	 
	 	 	1 - Water Tank
	 	 	 	 	 	 	 	 
	 	 	1 - Manifold System
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	BOILER ROOM
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	2	 	Scotch Marine Boiler, Cleaver-Brooks, package, mdl
CB1700-350, s/ns L-94377 and L-94378
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Boiler Feed System, w/ 3 - pumps, feed tank, est 4’ dia x 8’
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	COMPRESSOR ROOM
	 	 	 	 	 	 	 	 

3

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	2	 	Air Compressor, rotary screw, Kobelco, mdl KNW0-W/L, s/n
88C0397 & 89C0741, 75 hp
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Refrigerated Air Dryer, Company ID #D-1, Zeks, mdl
400HSTA400, s/n 93172
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Refrigeration Compressor, rotary screw, 150 hp, Frick, mdl
VYARGF-46, s/n AOR-015
	 	 	2006	 	 	 	24	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Heat Exchanger Plate, ammonia to glycol exchange, est 2-1/2
x 6 x 6’ overall
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Glycol Refrigeration System, Wescold, including 2 -
Compressor, 125 hp, Vilter, mdl VMC450, s/ns 45610 and
45609, condensate tank, various pumps and piping
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	BOTTLING
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Item of Controls and PLCs for packaging line
	 	 	1996	 	 	 	4	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Filler/Crowner, Krones, 66 valve, mdl DK/2VIL, # K013
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Bottle Coder, Videojet, mdl Excel 2000 Opaque
	 	 	2002	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Crown Feeder, Qublelette Machinery Systems, mdl BC3060504DX,
s/n 098
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Decaser, Hartness, mdl D1000
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Case Coder, Videojet, mdl Excel, Series 100
	 	 	1998	 	 	 	6	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Case Slitter/Sealer, Hertel Company, mdl 540, with Nordsen
gluer, discharge, and related
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Labeler, Krones, mdl Topomatic
	 	 	1996	 	 	 	10	 

4

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	1	 	Bottling Line Equipment, Bevco, including: 2 - Combiner,
bidirectional, mdl ZD450, 14’; 1 - Rinser, M810, s/n J7639;
1 - Accumulater, 8x16’, bidirectional; 1 - Lot of link belt
conveyor; 1 - Item of controls
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	2	 	Fill Level Inspector, Filtec, mdl FT-50, s/n 113940
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Full Case Inspector, Filtec, mdl FT-100, s/n 40196
	 	 	1996	 	 	 	4	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Case Packer, Hartness, mdl 825, s/n 8635
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Item of Bottling Line Change Parts, 22 oz, for filler,
labeler, decaser, caser, and related
	 	 	2002	 	 	 	15	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	PACKAGING
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Palletizer, Columbia Machine Company, mdl FL150 0RR-AB-0607,
s/n 0607-6529-2525
	 	 	2006	 	 	 	24	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Pallet Elevator, Titan, with live roll conveyor 60“x30’
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Stretch Wrapper, Lantech, mdl TQ-600, s/n QA001163 with
conveyor
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	De Palletizer, Western Atlas, “Von Gal,” s/n 7096, Company
ID #LS6 & #PRS1
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Item of Case Conveyor, Western Atlas, 24” wide, approx 250
lf overall, with merry-go-round live roll section with
incline and decline belts
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	NORTH BREWERY
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Centrifuge/Separator, Westphalia, mdl KC-1152 T/S, s/n 5807,
est 25 hp with Pinpoint carbonator, pump and piping
	 	 	1996	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	5	 	Transfer Pump, sanitary, centrifugal, 1-1/2 x 1-1/2”
	 	 	2000	 	 	 	8	 

5

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	1	 	Sterilizer, Market Forge, Sterilmatic, apprx 18” dia x 30”
	 	 	1996	 	 	 	2	 
	 	 	 
	 	 	 	 	 	 	 	 
	3	 	Bright BierTank, JV Northwest, Inc, Co #s B5-7, stainless
steel, 167 bbl, 5,115 gal
	 	 	2002	 	 	 	25	 
	 	 	 
	 	 	 	 	 	 	 	 
	2	 	Aging Tank, Paul Mueller, Co #s 6-8, stainless steel, apprx
8’ dia, x 12’
	 	 	1985	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Schenk Filter, Schenk, mdl 2HF-S15-B1, s/n 8815
	 	 	1996	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	5	 	Bright Bier Tank, JV Northwest, Inc, Co #s 17-21, stainless
steel, 220 bbl, 2 6,820 gal
	 	 	1994	 	 	 	17	 
	 	 	 
	 	 	 	 	 	 	 	 
	4	 	Bright Bier Tank, JV Northwest, Inc, Co #s B5-7stainless
steel, 225 bbl, 7,960 gal
	 	 	1996	 	 	 	19	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Kegging Line, Monarch, Company #6, “CPO9-602-27,” includes a
wash tunnel, 4 - filling line, scissor table, digital
readout, and related * NOTE: To be replaced during plant
expansion, RUL reflects expected remaining service life
	 	 	1994	 	 	 	*3	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Inkjet Coder, Videojet, Excel
	 	 	1996	 	 	 	4	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Tank Control Panel, North Fermenters, including Sudmo 16
valve matrix
	 	 	1990	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	3	 	Fermentation Tank, Mueller, Co #s 1-3, stainless steel,
dimpled jacketed, 2,071 gal
	 	 	1990	 	 	 	13	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Fermentation Tank, DCI, Co #4, stainless steel, dimpled
jacketed, 1,985 gal
	 	 	1990	 	 	 	13	 
	 	 	 
	 	 	 	 	 	 	 	 
	8	 	Fermentation Tank, JV Northwest, Inc, Co #s 5-12, 14 & 15,
stainless steel, 2,781 gal
	 	 	1991	 	 	 	14	 
	 	 	 
	 	 	 	 	 	 	 	 
	2	 	Yeast Fermentation Tank, manufacture n/a, Co #s 10 & 16,
stainless steel, est 1,000 gal
	 	 	1985	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Tank, stainless, Co #3, 1,273 gal
	 	 	1998	 	 	 	21	 

6

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	1	 	Tank, stainless, Co #2, 1,609 gal
	 	 	1998	 	 	 	21	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Lager Tank, stainless, Co #1, 2,416 gal
	 	 	1998	 	 	 	21	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Boiler, Scotch Marine, Columbia, 50 hp, year 1994, w/
related peripherals Located on mezzanine
	 	 	1994	 	 	 	17	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Refrigeration Compressor, Trane, mdl CVWV0604
	 	 	1993	 	 	 	11	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Tank Support Equipment, North Cellar c/o:
	 	 	2001	 	 	 	24	 
	 	 	1 - Control System
	 	 	 	 	 	 	 	 
	 	 	1 - Platform Bridge
	 	 	 	 	 	 	 	 
	 	 	1 - Item of pumps, piping, valves and fittings
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	LAB EQUIPMENT
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	3	 	(3) Analyzer, Gehaltemeter, mdl DGM-03
	 	 	1998	 	 	 	1	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	CO2 Analyzer, Gehaltemeter, s/n 85
	 	 	2007	 	 	 	7	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Micrologger, (DO2 and Gaseous) s/n 80850
	 	 	2006	 	 	 	6	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Micrologger, (DO2 and Gaseous) s/n 81534
	 	 	2006	 	 	 	6	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Microscope, Olympus, mdl BX41
	 	 	2006	 	 	 	6	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	DMA Density Meter, s/n 80115144
	 	 	2007	 	 	 	7	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Alcolyzer Plus Beer Nir Analyzer, s/n 80021766
	 	 	2007	 	 	 	7	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Autosampler, s/n 8012694
	 	 	2007	 	 	 	7	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	THROUGHOUT
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Waste Water Storage Tank, 12,000 gal, in upper lot
	 	 	1998	 	 	 	21	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Telephone System, Shortel, 130 desksets throughout
	 	 	2006	 	 	 	9	 

7

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	 	 	RESTAURANT
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Lot of Restuarant Furniture, Fixtures & Equipment including:
	 	 	*2000	 	 	 	8	 
	 	 	1 - Stand, hostess, wood
	 	 	 	 	 	 	 	 
	 	 	1 - Ice Machine, Ice-O-Matic
	 	 	 	 	 	 	 	 
	 	 	2 - Prep Station, salad, Delfield, refrigerated
	 	 	 	 	 	 	 	 
	 	 	1 - Pie Cabinet, Delfield, overhead, 2-door, glass, 48”
	 	 	 	 	 	 	 	 
	 	 	1 - Bun Warmer, Wells, 2 drawer
	 	 	 	 	 	 	 	 
	 	 	1 - Range, Jaderan, gas fired, 6 burner
	 	 	 	 	 	 	 	 
	 	 	1 - Griddle, gas fired, 2 burner
	 	 	 	 	 	 	 	 
	 	 	1 - Char broiler, US Range, 36”
	 	 	 	 	 	 	 	 
	 	 	1 - Warmer, 2 drawer
	 	 	 	 	 	 	 	 
	 	 	1 - Hood, Exhuast, stainless steel with ansul fire protection
	 	 	 	 	 	 	 	 
	 	 	2 - Prep Station, salad, Delfield, refrigerated, 2 door, 60”
	 	 	 	 	 	 	 	 
	 	 	1 - Lot of tables, chairs, booths, stools and other furniture
throughout, est seating for 100
	 	 	 	 	 	 	 	 
	 	 	1 - Bar and back bar with sink, coolers and related
	 	 	 	 	 	 	 	 
	 	 	2 - TV’s, 24”
	 	 	 	 	 	 	 	 
	 	 	1 - Walkin Cooler, prefab
	 	 	 	 	 	 	 	 
	 	 	2 - Prep Station, salad, Delfield, refrigerated, 2 door, 54”
	 	 	 	 	 	 	 	 
	 	 	1 - Mixer with stand
	 	 	 	 	 	 	 	 
	 	 	1 - Meat Slicer, Globe
	 	 	 	 	 	 	 	 
	 	 	1 - Dishwashing line including washer, disposal, tables, sink and shelves
	 	 	 	 	 	 	 	 
	 	 	1 - Glasswasher
	 	 	 	 	 	 	 	 
	 	 	1 - Point of Sale System, Micros, with terminals and printers
	 	 	 	 	 	 	 	 
	 	 	1 - Misc Lot, throughout
	 	 	 	 	 	 	 	 
	 	 	* YR reflects average.
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	KEGS
	 	 	 	 	 	 	 	 
	 	 	 
	 	 	 	 	 	 	 	 
	1	 	Lot of 66,302 half barrel kegs, “Sankey” kegs per WBBC
Account 2297 Deposits, as of 12/31/06. Note: YR reflects
weighted average
	 	 	2003	 	 	 	10	 

8

 

Exhibit A to Schedule Number 17495-90001

	 	 	 	 	 	 	 	 	 	 	 
	DESCRIPTION	 	YR	 	RUL
	1	 	Lot of 8,617 quarter barrel “Sankey” kegs per WBBC Account
2297 Deposits, as of 12/31/06. Note: YR reflects weighted
average
	 	 	2003	 	 	 	10	 
	 	 	 
	 	 	 	 	 	 	 	 
	 	 	TOTAL $8,000,000.00
	 	 	 	 	 	 	 	 

9exv10w3

 

Exhibit 10.3

AMENDED AND RESTATED LICENSE AGREEMENT

     THIS LICENSE AGREEMENT, effective the 28th day of February, 1997 (“License”) by and between
Widmer Brothers Brewing Company, an Oregon corporation with offices at 929 North Russell, Portland,
Oregon 97227 (“Widmer Brewing”) and Widmer’s Wine Cellars, Inc. (“Widmer’s Wine”), a New York
corporation with offices at 1 Lake Niagara Lane, Naples, New York 14424, and Canandaigua Wine
Company, Inc. (“Canandaigua”) a Delaware corporation also with offices at 116 Buffalo Street,
Canandaigua, New York 14424, parent of Widmer’s Wine.

PREMISES:

     WHEREAS, Widmer’s Wine is the registered owner of the trademark “Widmer” as registered in the
United States Patent and Trademark Office under Registration Numbers 767,274 and 1,415,215
(“Trademarks”); and

     WHEREAS, Widmer Brewing has used the mark Widmer and Widmer Brewing on beer in Oregon since at
least as early as 1985, in Alaska since at least as early as 1992, in California since at least as
early as 1990, in Colorado since at least as early as 1994, in Georgia since at least as early as
1995, in Idaho since at least as early as 1992, in Illinois since at least as early as 1995, in
Maryland since at least as early as 1995, in Massachusetts since at least as early as 1995, in
Minnesota since at least as early as 1995, in Montana since at least as early as 1994, in Nevada
since at least as early as 1995, in New York since at least as early as 1995, in Virginia since at
least as early as 1995, in Washington since at least as early as 1985, in Washington, D.C. since
at least as early as 1995, in Wisconsin since at least as early as 1995, and in Wyoming since at
least as early as 1994; and

     WHEREAS, Widmer Brewing has since November of 1995 also used the marks WIDMER BROTHERS and
WIDMER BROTHERS BREWING; and

     WHEREAS, Widmer Brewing desires to continue to use on an exclusive basis the trademarks
WIDMER, WIDMER BREWING, WIDMER BROTHERS and WIDMER BROTHERS BREWING on beer and malt beverage
products, whiskey, hard cider and root beer and any apparel and promotional items related thereto
(collectively, “Products”), in the United States of America (“Territory”); and

     WHEREAS, Widmer Brewing desires to use the trademarks WIDMER, WIDMER BREWING, WIDMER BROTHERS
and WIDMER BROTHERS BREWING on a non-exclusive basis on cider and soft drinks and on apparel and
promotional items related thereto (collectively, “Other Products”) in the Territory; and

     WHEREAS, Widmer’s Wine is willing, subject to terms and conditions hereof, to grant a license
to use Widmer; and

     WHEREAS, Widmer Brewing desires to be able to use other trademarks from time to time
containing the terms WIDMER or WIDBIER;

- 1 -

 

     NOW, THEREFORE, in consideration of these premises and the promises herein, Widmer Brewing and
Widmer’s Wine agree as follows:

     1. Grant of License. In consideration of One Million Dollars ($1,000,000), and other
good and valuable consideration, Widmer’s Wine grants to Widmer Brewing an exclusive license to
Widmer Brewing to use WIDMER, alone, or in connection with any other marks containing the term
WIDMER, including, but not limited to, WIDMER BROTHERS, WIDMER BREWING, and WIDMER BROTHERS
BREWING, in connection with the manufacture, distribution and sale of the Products in the
Territory, and Widmer Brewing accepts such license subject to the terms and conditions hereinafter
set forth. Widmer’s Wine also grants to Widmer Brewing an nonexclusive license to Widmer Brewing
to use WIDMER, alone, or in connection with any other marks containing the term WIDMER, including,
but not limited to, WIDMER BROTHERS, WIDMER BREWING, and WIDMER BROTHERS BREWING, in connection
with the manufacture, distribution and sale of the Other Products in the Territory, and Widmer
Brewing accepts such license subject to the terms and conditions hereinafter set forth. Widmer
Brewing and Widmer’s Wine agree that these licenses shall be perpetual and shall be royalty-free.
The licenses shall not be deemed to prevent Widmer’s Wine from using the Trademarks as it chooses
in connection with its businesses including, without limitation, promotion, marketing and
advertising to support sales of its wines and wine coolers, except that Widmer’s Wine shall not use
(or in any way authorize or license to a third party) the Trademarks in connection with the
Products, and shall use the Trademarks on Other Products in a different, distinctive manner from
prior use by Widmer Brewing, and Widmer Brewing shall use the Trademarks on Other Products in a
different, distinctive manner from prior use by Widmer’s Wine.

     2. WIDBIER. Widmer Brewing hereby assigns its common law rights (if any) to the
trademark “WIDBIER” to Widmer’s Wine, and will assign ownership of the trademark “WIDBIER,” if and
when it is registered in the United States Patent and Trademark Office based on intent to use
Application Number 74718399, to Widmer’s Wine. For purposes of this Agreement, “WIDBIER” shall be
deemed a Trademark hereunder. Widmer’s Wine hereby grants to Widmer Brewing an exclusive license
to use WIDBIER, and any other marks containing the term WIDBIER, in connection with the
manufacture, distribution and sale of the Products in the Territory, and Widmer Brewing accepts
such license subject to the terms and conditions of this Agreement. Widmer Brewing and Widmer’s
Wine agree that this license shall be perpetual and shall be royalty-free. Widmer’s Wine shall not
use (or in any way authorize or license to a third party) the WIDBIER Trademark.

     3. Covenants Regarding Ownership and Use of Trademarks in the Territory.

	 	i)	 	Except as expressly provided herein, Widmer’s
Wine shall maintain and keep current all right, title, and interest in
and to the Trademarks and the goodwill associated therewith;
	 
	 	ii)	 	Widmer Brewing acknowledges this Agreement does
not grant to Widmer Brewing any right, title, or interest in or to the
Trademarks or the goodwill associated therewith;

- 2 -

 

	 	iii)	 	Except as expressly provided herein, Widmer
Brewing acknowledges that Widmer’s Wine has the sole right, title and
interest in and to the Trademarks and the goodwill associated
therewith, and Widmer Brewing shall never challenge Widmer’s Wine’s
right, title or interest therein or thereto and shall not, directly or
indirectly, seek to register the Trademarks or any mark confusingly
similar thereto; however, it is understood and agreed that “WIDBERRY”
and “WIDBERRY WEIZEIN” are not confusingly similar;
	 
	 	iv)	 	Widmer Brewing shall promptly notify Widmer’s
Wine in writing of any infringement or suspected infringement of the
Trademarks which comes to the attention of Widmer Brewing during the
term of this License and will supply information reasonably requested
by Widmer’s Wine with respect to such infringement;
	 
	 	v)	 	Representative examples of Products, Other
Products, and packaging, advertising and promotional material of Widmer
Brewing using the Trademarks, including but not limited to, WIDMER,
WIDMER BREWING, WIDBIER, WIDBIER BREWING COMPANY, WIDMER BROTHERS, or
WIDMER BROTHERS BREWING, shall be available for inspection by Widmer’s
Wine at Widmer Brewing premises during normal business hours, upon ten
(10) days’ notice. The packaging, advertising, and promotional
materials of Widmer Brewing shall not disparage or tarnish in any
material manner Widmer’s Wine’s products or Trademarks.

     4. Quality and Approval. Widmer Brewing hereby agrees that the Products and the Other
Products shall be of a high quality at least comparable to the quality of Widmer Brewing’s Products
and the Other Products and the wines and wine coolers sold by Widmer’s Wine, as of the date of this
Agreement. Widmer Brewing agrees it will take reasonable steps to comply with all federal, state,
local and other applicable governmental laws, rules and regulations, and in the event of a
violation, Widmer Brewing can cure such violation by taking additional steps to comply in the
future. Widmer Brewing, every six months, will supply Widmer’s Wine at the address provided in
Section 17 for notice, one case of samples of the Products and the Other Products as sold to Widmer
Brewing’s customers so that Widmer’s Wine may verify the quality of the Products and the Other
Products.

     5. Termination. This Agreement is perpetual and may not be terminated by Widmer’s
Wine unless Widmer Brewing: (i) defaults in the performance of any material provision of this
Agreement and does not cure such default within 180 days after receipt of written notice describing
such default (and if Widmer Brewing has begun to cure the default which, being capable of cure,
cannot be cured within the 180 day cure period, the 180 day cure period shall be extended an
additional 240 days), or (ii) files a petition in bankruptcy (or under any other insolvency law) or
a petition in bankruptcy (or under any other insolvency law) is filed against it and Widmer Brewing
does not object within sixty (60) days, or if Widmer Brewing is

- 3 -

 

adjudicated a bankrupt, or becomes insolvent, or makes an assignment of substantially all of
its assets for the benefit of its creditors, or discontinues its business involving the use of the
Trademarks. In the event of any of the foregoing Widmer’s Wine shall have the right to terminate
this Agreement immediately upon giving written notice of termination to Widmer Brewing.

     6. Indemnification. Each party shall indemnify and hold the other party harmless
against any claim, damages, cause of action, cost or expense (including reasonable attorneys’ fees
and expenses, whether incurred as the result of a third party claim or a claim to enforce this
Agreement) of any nature whatever arising out of or connected with a breach of this License by such
party. In no event, however, shall either party be liable to the other for any consequential,
special, incidental or punitive damages of any kind.

     7. Infringement by Third Parties. In the event of infringement by third parties of
any of the Trademarks which are the subject of this License, Widmer’s Wine will be in charge of all
litigation against and settlement with any and all third party infringers of the Trademarks, except
as provided herein. Widmer Brewing will cooperate in any such action, in accordance with this
Section. If cooperation is required, Widmer Brewing will cooperate with Widmer’s Wine as requested
by Widmer’s Wine, at Widmer’s Wine’s expense in accordance with this Section, in connection with
any action taken by Widmer’s Wine in its judgment against such potential infringer(s). The
following provisions (i) through (iv) specify the parties respective obligations with respect
hereto:

     (i) Such cooperation by Widmer Brewing will include, without limitation, providing its
personnel to appear as witnesses at depositions or in court, furnishing documents and information,
executing all necessary documents, and being joined as a party to any legal proceedings.

     (ii) Except as provided in subsections (iii) and (iv) of this Section, the cost of any
litigation or other action against potential infringers will be borne entirely by Widmer’s Wine.
Widmer’s Wine will reimburse Widmer Brewing, within thirty (30) days after request from Widmer
Brewing, for any travel expenses, photocopying expenses, and the like (but excluding salary or
comparable expenses as well as fees and expenses charged by separate counsel, if any, engaged by
Widmer Brewing) incurred by it at Widmer’s wine’s request in connection with any such infringement
action. Any recovery of damages or attorney’s fees in such actions, or in settlement of such
actions or disputes, will belong entirely to Widmer’s Wine.

     (iii) Widmer’s Wine will consult with Widmer Brewing during the course of any third party
infringement and legal proceedings hereunder. Widmer Brewing shall be named as co-plaintiff in any
adversarial proceeding where either (a) the infringement significantly impacts the present or
future sales of Products (or any items sold by Widmer Brewing pursuant to license under this
Agreement), or (b) the alleged infringer is also infringing the trade dress, packaging or
trademarks of Widmer Brewing. When named as a co-plaintiff Widmer Brewing shall have the right to
participate in any such adversarial proceeding through its counsel of record at its own expense.
If Widmer Brewing named as a co-plaintiff (or if litigation ensues in which Widmer Brewing would
have the right to be named as a co-plaintiff), then Widmer Brewing shall have the right to approve
any settlement of any infringement matters whether it

- 4 -

 

has been the subject of litigation or simply negotiation. Any such approval shall not be
unreasonably withheld or delayed. If Widmer Brewing has no right to be named as a co-plaintiff,
then Widmer Brewing shall have the right to approve any settlement in connection with such
proceedings if it materially affects Widmer Brewing’s use of any of the Trademarks. Any such
approval shall not be unreasonably withheld or delayed. If Widmer Brewing has no right to be named
as a co-plaintiff, Widmer’s wine will not be required to seek Widmer Brewing’s consent to any
settlement if such settlement does not (a) compromise the title, validity or ownership of any
Trademark(s); (b) involve continued use of the allegedly infringing trademark; (c) create any
obligation on behalf of Widmer Brewing or subject Widmer Brewing to any fine, penalty or monetary
damages or award of any kind whatsoever; or (d) materially affect Widmer Brewing’s use of any of
the Trademarks.

     (iv) Upon notification by Widmer Brewing of an apparent infringer, Widmer’s Wine shall have
forty-five (45) days to decide whether or not to pursue an instance of alleged infringement, except
that when Widmer Brewing notifies Widmer’s wine of its desire to seek preliminary injunctive relief
(“Relief”) with regard thereto, and Widmer Brewing supplies Widmer’s Wine with evidence in the
reasonable judgment of Widmer’s Wine sufficient to obtain such Relief, then, in such instance,
Widmer’s Wine shall have five (5) days to decide whether or not to seek such Relief. In the event
that Widmer’s Wine should decide not to pursue an instance of alleged infringement of the
Trademarks, or fails to communicate any decision to Widmer Brewing, then Widmer Brewing, with the
cooperation of Widmer’s Wine in the same manner provided herein for Widmer Brewing’s cooperation
with Widmer’s Wine, shall be entitled to proceed against the alleged infringer at Widmer Brewing’s
expense, and any and all recoveries obtained in such litigation and settlement will accrue solely
to the benefit of Widmer Brewing. However, without the prior written consent of Widmer’s Wine,
Widmer Brewing shall have no right to settle such infringement matter by compromising title,
validity or ownership of any Trademark(s); allowing continued use of the allegedly infringing
trademark; creating any obligation on behalf of Widmer’s Wine or by subjecting Widmer’s Wine to any
fine, penalty or monetary damages or award of any kind whatsoever.

     8. Waiver. If either party breaches this Agreement and the other party waives such
breach or fails for whatever reason to take any action with respect thereto, such waiver or failure
to take action with regard to such breach shall not constitute a waiver of any other prior or
subsequent breach of this Agreement.

     9. Independent Contractors. With respect to performance under this Agreement, the
parties acknowledge that their relationship is that of independent contractors. Neither party
shall have the right to bind the other in relationships with third parties. Nothing herein shall
be construed or interpreted to create a joint venture or any other relationship between the
parties.

     10. Severability. It is intended that each paragraph and provision of this Agreement
shall be viewed as separate and divisible, and if any paragraph or provision shall be held to be
invalid, the remaining paragraphs and provisions shall continue to be in full force and effect.

- 5 -

 

     11. Assignment. Except as provided in the last sentence of this Section 11, either
party may freely assign, mortgage, sublicense, or otherwise encumber or transfer by agreement or by
operation of law its rights and obligations under this Agreement without the prior written consent
of the other, provided that the proposed assignee must execute and deliver to the other party a
document by which the assignee agrees to undertake all burdens and obligations of assigning party
under this Agreement and be bound by this Agreement as if an original signatory thereto. Widmer
Brewing shall be liable for the performance of duties and obligations of its permitted
sublicensees. Without the consent of Widmer Brewing, Widmer’s Wine and Canandaigua may not assign
or otherwise transfer their rights and obligations under this Agreement to a company the principal
business of which, or a substantial or significant portion of which, is as a malt beverage brewer.

     12. Binding Effect. All covenants, conditions and agreements contained in this
Agreement shall bind and inure to the benefit of the parties hereto and their respective executors,
administrators, heirs at law, successors in interest, permitted assigns and any person acting in a
representative capacity to any of the foregoing.

     13. Termination of Prior License. The previous License Agreement dated January 15,
1996 between the parties is hereby amended, restated and superseded by this Agreement, and the
previous License Agreement is void and of no effect.

     14. Entire Agreement. This Agreement constitutes the entire understanding between the
parties with respect to its subject matter and cannot be modified, changed or amended except in
writing executed by the parties hereto, or their successors.

     15. Construction. Each of the parties agrees that it has reviewed and participated in
the drafting of this Agreement and 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 this Agreement or any revision or addendum hereto.

     16. Guarantee of Obligation. Canandaigua guarantees all the obligations of Widmer’s
Wine set forth in this Agreement.

     17. Notices. Any notices to be given hereunder shall be considered duly given, if
sent by telefacsimile with evidence of receipt or by recognized courier service with evidence of
receipt to:

	 	 	 	 	 
	 

	 	If to Widmer’s Wine:
	 	Robert S. Sands, Esq.
	 

	 	 	 	Canandaigua Wine Company, Inc.
	 

	 	 	 	116 Buffalo Street
	 

	 	 	 	Canandaigua, New York 14424
	 

	 	 	 	Telefacsimile No. 716-396-7675

- 6 -

 

	 	 	 	 	 
	 

	 	If to Widmer Brewing:
	 	Mr. Kurt Widmer
	 

	 	 	 	Widmer Brothers Brewing Company
	 

	 	 	 	929 North Russell
	 

	 	 	 	Portland, Oregon 97227
	 

	 	 	 	Telefacsimile No. 603-281-1496
	 
	 	 	 	 
	 

	 	With a copy to:
	 	Kermit A. Brashear, Esquire Brashear & Ginn
	 

	 	 	 	800 Farnam Plaza
	 

	 	 	 	1623 Farnam Street
	 

	 	 	 	Omaha, Nebraska 68102-2106
	 

	 	 	 	Telefacsimile No. 402-348-1111

     IN WITNESS WHEREOF, the parties hereto have hereunto set their hands as of the date first set
forth above.

	 	 	 	 	 	 	 	 	 	 	 
	WIDMER BROTHERS BREWING
COMPANY,
INC.	 	 	 	WIDMER’S WINE CELLARS, INC.	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Kurt Widmer
 

	 	 	 	By:
	 	/s/ Robert S. Sands
 

	 	 
	Its: Pres	 	 	 	Its: Secretary	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	CANANDAIGUA WINE COMPANY, INC.	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ Robert S. Sands	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Its: Executive Vice President, General

       Counsel	 	 

- 7 -

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}]]