Document:

EX-10.2

 Exhibit 10.2 
 EMPLOYMENT AGREEMENT 
 THIS EMPLOYMENT AGREEMENT (this
“Agreement”) by and among Vapor Corp., a Nevada corporation (the “ Company ”), and Harlan Press, a resident of the State of Florida (“ Executive ”) is entered into as of
February 27, 2012. 
 WITNESSETH: 
 WHEREAS, the Board of Directors of the Company (the “Board”) has determined that it is in the best interests of the Company and its shareholders to employ Executive as Chief
Financial Officer of the Company pursuant to the terms and subject to the conditions of this Agreement; and 
 WHEREAS,
the Executive desires to accept employment as the Chief Financial Officer of the Company pursuant to the terms and subject to the conditions of this Agreement. 
 NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the
parties hereto agree as follows: 
 1. EMPLOYMENT 
 Upon the terms and subject to the conditions of this Agreement, the Company employs the Executive, and the Executive accepts employment. 
 2. TERM, DATES AND PLACE OF PERFORMANCE 
 2.1 Term. The term of
this Agreement shall begin on February 29, 2012 (the “Effective Date”), and, unless sooner terminated in accordance with the provisions of this Agreement, shall end on February 28, 2015 (the “Initial
Term ”), and will thereafter automatically extend for successive one-year periods (each a “Renewal Term”) unless either party gives at least six months’ advance written notice to the other party of its
intention not to extend the Initial Term or any Renewal Term, as applicable (a “Notice of Non-Renewal”). 
 2.2 Dates. This Agreement refers to the dates defined in this Section as follows: (i) the period of time during which the Executive is an employee of the Company during the Initial Term and
any Renewal Term is hereinafter referred to as the “Term”; and (ii) each year which begins with the Effective Date (or with the anniversary of the Effective Date) and continues until the next anniversary of the Effective
Date is hereinafter referred to as an “Employment Year”. 
 2.3 Principal Place of Employment.
During the Term, the principal place of employment of Executive shall be at Company’s principal offices in Dania Beach, FL, or such other location within the Counties of Miami-Dade, Broward or Palm Beach (the “Tri-County
Area”), as established by the Company; provided, that, Executive acknowledges and agrees that the nature of the Executive’s position and overall responsibilities with the Company shall require Executive to travel
within and without the United States from time to time during the Term and such travel may for extended periods of time. 
 3. POSITION
AND DUTIES 
 3.1 Position and Duties. Executive shall serve as the Chief Financial Officer of the Company and, at
the request of the Board and for no compensation beyond that specified in Section 4.1 hereof, in such other positions with the Company and its subsidiaries that are reasonably acceptable to Executive. Executive shall have executive duties,
functions, authority, and responsibilities commensurate with the office of Chief Financial Officer or such other offices Executive from time to time holds with the Company, as a public company, and its subsidiaries, subject, in accordance with
applicable law, to the supervision and direction of the Board and the Company’s Chief Executive Officer. 
 3.2 Devotion
of Time and Effort. Executive shall use Executive’s good faith, best efforts and judgment (a) in performing Executive’s duties required hereunder and (b) to act in the best interests of the Company. Executive shall devote his
full working time, attention and efforts to the business and affairs of the Company and to the fulfillment of the duties under this Agreement in a diligent and competent fashion, but may participate in charitable and personal investment activities
to a reasonable extent, as long as such activities do not, in the reasonable discretion of the Board, interfere with the performance of his duties and responsibilities hereunder. In the event that the Board reasonably determines that the
participation, service or activities set forth in this Section 3.2 interfere with the performance of Executive’s duties and responsibilities hereunder or otherwise violate the terms of this Agreement or any other agreement to which
Executive and the Company or any of its subsidiaries are party, then the Board shall notify Executive in writing that Executive is required to cease such participation, service and/or activities, and Executive shall immediately cease such
participation, service or activities. Any failure to cease such participation, service or activities shall be deemed to be a continuing and substantial willful failure to follow the lawful instructions of the Board for purposes of this Agreement.

 4. COMPENSATION 
 4.1 Base Salary. Executive shall be entitled to receive base salary (“Base Salary”) at the annual rate as follows: (a) One Hundred and Seventy Five Thousand Dollars
($175,000) during the first Employment Year, (b) One Hundred and Eighty One Thousand Dollars ($181,000) during the second Employment year and (c) One Hundred and Ninety Thousand Dollars ($190,000) during the third Employment Year, in each
instance less all applicable tax withholdings and deductions by the Company. The Base Salary shall be payable in accordance with the Company’s customary payroll practices and net of all applicable tax withholding and deductions by the Company.
Notwithstanding the preceding sentence, the Board shall review Executive’s Base Salary annually and may make adjustments to increase but not decrease such Base Salary, in accordance with the compensation practices and guidelines of the Company
in effect from time to time during the Term. In the Board’s annual review of Executive’s Base Salary, it shall in good faith and in consultation with Executive consider any material increase in value of the Company during the Term in
determining any increase in the Base Salary. 
 4.2 Annual Bonus. Commencing on the Effective Date,
Executive shall be eligible to participate in the Company’s annual performance based bonus program, as the same may be established from time to time by the Board in consultation with the Executive for executive officers of the Company and any
annual bonus earned thereunder (the “ Annual Bonus ”) shall be paid no later than the 15th day of the third month following the end of the fiscal year for which it is earned (and no earlier than January 1 of the year
following such fiscal year) and following certification by the Board of the achievement of agreed-upon performance measures and the amount of the bonus to be paid to Executive for the applicable fiscal year; provided, that in the event
that such certification does not occur on or prior to the 15 th day of the third month following the end of such fiscal year, the Annual Bonus will be paid no later than December 31 of the year following such fiscal year. 

4.3 Stock Options Award. As of the Effective Date, Executive shall, subject to the approval of the Board (or, if applicable,
its Compensation Committee) be granted 200,000 stock options (“Options”) to purchase up to 200,000 shares of Company common stock pursuant to and in accordance with the Company’s Equity Incentive Plan at an exercise
price equal to the fair market value of a share of Company common stock on the date of grant and such Options shall vest at a rate of 5,555.6 per month during the Term and contain such other terms as reasonably determined by the Board (or, if
applicable, its Compensation Committee) and consistent with the Equity Incentive Plan. The Options shall be evidenced by the customary form of agreement utilized under the Equity Incentive Plan. Executive acknowledges and agrees that notwithstanding
the terms of the Option, the Option does not confer any right to continue in the employ of the Company hereunder or interfere in any way with the Company’s right to terminate his employment pursuant to any of the provisions hereof. 

4.4 Vacation. During the Term, Executive shall be entitled to three (3) weeks of paid vacation Employment Year to be used and
accrued in accordance with the Company’s policy as it may be established from time to time. In addition, Executive shall receive other paid time-off in accordance with the Company’s policies for senior executives as such policies may exist
from time to time. 
 4.5 Welfare, Pension and Incentive Benefit Plans. During the Term, the Company shall provide
Executive with employee benefit plans and insurance programs on a basis no less favorable than as in effect with respect to the Company’s employees immediately prior to the Effective Date, including, without limitation, company-paid medical
benefits; provided, that if the provision of such company-paid medical benefits would cause the imposition of any tax under Section 4980D of the Internal Revenue Code of 1986, as amended, and the regulations thereunder (the
“Code ”), the parties agree to negotiate in good faith an alternative arrangement for providing such benefits in an economically neutral manner which does not cause the imposition of such tax. 

4.6 Business Expenses. Executive will be promptly reimbursed for all reasonable business expenses incurred by Executive in
connection with Executive’s employment subject to Executive’s compliance with the Company’s expense reimbursement policies as in effect from time to time during the Term. 
 5. TERMINATION; TERMINATION BENEFITS 
 5.1 Due to Death or
Disability. 
 (a) If Executive dies during the Term, Executive’s employment and this Agreement shall terminate on
the date of his death. The Company may terminate Executive’s employment if he becomes “ Disabled ,” as defined below, upon delivery of a Notice of Termination (as defined below) to Executive. 

Upon termination of Executive’s employment due to Executive’s death or by the Company due to Executive’s Disability,
Executive (or his estate, as applicable) shall be entitled to compensation and payment for any unreimbursed expenses incurred, accrued but unpaid then current Base Salary and Annual Bonus and other accrued but unpaid employee benefits as provided in
this Agreement, in each case through the Date of Termination (as defined below) (the “ Accrued Amounts ”); provided, that the portion of such Accrued Amounts representing unreimbursed expenses shall be paid as
soon as practicable following Executive’s compliance with Section 4.6 hereof; 

  
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 (b) For purposes of this Agreement, the term “Disabled”
or “Disability” shall mean a medically determined physical or mental incapacity as a result of which Executive is entitled to receive (i) long term disability benefits under the Company’s long term disability
policy, which shall be in effect as of the Effective Date, or (ii) if no such policy is in effect, United States Social Security Disability Insurance benefits. 
 5.2 By the Company Without “Cause”. 
 (a) The Company may
terminate Executive’s employment without “Cause” (as defined below) at any time following the Effective Date upon delivery of a Notice of Termination to Executive. 

(b) Upon termination of Executive’s employment by the Company Without Cause, other than due to death, Disability or a Change of
Control Termination Event, Executive shall be entitled to: 
 (i) the Accrued Amounts, payable in accordance with
Section 5.1(a); 
 (ii) subject to Executive’s execution and delivery to the Company of (a) a letter of
resignation resigning as a member of the Board, if applicable, and all other positions with the Company and its subsidiaries (the “Letter of Resignation”) and (b) a general release of claims in such form as reasonably
determined by the Company and containing carve outs for (A) indemnification, contribution, and directors and officers insurance rights to which Executive may be entitled, (B) rights in his capacity as an equity holder, (C) rights to
collect the Severance Payment and COBRA Coverage, and (D) rights to any vested employee benefits (which execution version of such release will be provided no later than five (5) calendar days following the Date of Termination) and such
general release (the “ Release ”) has become irrevocable pursuant to its terms and applicable law, payments equal to three (3) months’ Base Salary for each year of service at the prevailing rate, which payment will
be made in installments in accordance with the normal payroll schedule following the Date of Termination (the “ Severance Payment ”) subject to the delay of payment under Section 5.7. The minimum Severance Payment will
be equal to three (3) months Base Salary and the maximum Severance Payment will be equal to eighteen (18) months Base Salary; and 
 (iii) if Executive elects to continue his medical coverage under the Consolidated Omnibus Budget Reconciliation Act (“COBRA”), the Executive shall pay for coverage under COBRA
following the Date of Termination (the “ COBRA Coverage ”). 
 5.3 By the Company For Cause.

 (a) The Company may terminate Executive’s employment for “Cause” in accordance with the requirements of
this Section 5.3. 
 (b) Upon termination of Executive’s employment by the Company for Cause, Executive shall be
entitled to the Accrued Amounts. 
 (c) For purposes of this Agreement, “Cause” shall mean:

 (i) continuing and substantial willful failure, neglect or refusal by Executive to perform his duties under this
Agreement or to follow the lawful instructions of the Board which has not been cured by Executive (if curable) within ten (10) days after written notice thereof to Executive from the Company; 

(ii) Executive’s commission of any material act of fraud or embezzlement against the Company; 

(iii) Executive’s material breach of this Agreement, which breach has not been cured by Executive (if curable) within ten
(10) days after written notice thereof to Executive from the Company; 
 (iv) Executive’s conviction of (or
pleading guilty or nolo contendere to) any felony; 
 (v) alcohol or other substance abuse by Executive which, in
the reasonable discretion of the Board, materially and adversely affects Executive’s ability to perform his duties required or requested consistent with Executive’s obligations under this Agreement and applicable law; or 

(vi) any finding by the Securities and Exchange Commission pertaining to Executive which, in the opinion of independent counsel selected
by the Company, could reasonably be expected to impair or impede the Company’s ability to register, list, or otherwise offer its stock to the public, or to maintain itself as a publicly-traded company in good standing with the Securities and
Exchange Commission. 

  
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 (d) Cause shall not exist with respect to clauses (i), (ii), (iii) or
(v) unless and until there shall have been delivered to Executive a copy of a resolution, duly adopted by the affirmative vote of not less than a majority of the members of the Board at a meeting of the Board held for the purpose (after five
(5) days’ prior written notice to Executive of such meeting and the purpose thereof and an opportunity for Executive, together with his counsel, to be heard before the Board at such meeting), of a finding that, in the good faith opinion of
the Board, Executive was guilty of any of the conduct specified in any of such clauses. No act or failure to act by the Executive shall be considered “willful” if done or omitted by Executive in good faith with reasonable belief that such
action or omission was in the best interests of the Company. 
 5.4 By Executive For Good Reason. 

(a) Executive may terminate his employment for “Good Reason” (as defined below) by providing a Notice of Termination to
the Board within thirty (30) days of the occurrence of the circumstances giving rise to such Good Reason. The foregoing notice shall describe the claimed event or circumstance and set forth Executive’s intention to terminate his employment
with the Company; provided, that, the Company has not substantially cured such event within thirty (30) days after receiving such notice. Upon termination by Executive of his employment for “Good Reason”, Executive will
be entitled to: 
 (i) the Accrued Amounts payable in accordance with Section 5.1(a); 

(ii) subject to Executive’s execution and delivery to the Company of the Letter of Resignation and the
Release, the Severance Payment which payment will be made on the later of the 60 th day following the Date of Termination or the date on which the Release has become irrevocable pursuant to its terms and applicable law, subject to the delay of payment under Section 5.7; and

 (iii) the COBRA Coverage. 
 (b) For purposes of this Agreement, “Good Reason” shall mean: 
 (i) any material failure of the Company to fulfill its obligations under this Agreement, including the failure to make any material payment due hereunder when due, or any other material breach of a
term or condition of this Agreement; 
 (ii) a material and adverse change to, or a material reduction of,
Executive’s duties and responsibilities to the Company, including no longer reporting to the Board or a change in title; provided however, that, the hiring or engagement of any person or entity by the Company with the approval of
Executive to perform any of Executive’s duties and responsibilities to the Company shall not constitute Good Reason;  
 (iii) a material reduction in Executive’s Base Salary (unless such reduction is caused by bona fide financial exigencies and is part of an overall and nondiscriminatory reduction by the Company
to the base salaries of all of its senior executives and such reduction is proportional in amount to the reductions suffered by all of such other senior executives); or 
 (iv) the relocation of Executive’s principal place of work outside the Tri-County Area. 

An event set forth in the foregoing clauses (i) through (iv) shall not constitute “Good Reason” unless and until Executive shall have
provided the Company with notice thereof no later than 30 days following Executive’s becoming aware of such event and the Company shall have failed to remedy such event within 30 days of receipt of such notice. 

5.5 Termination Following a Change of Control. 
 (a) If, within 12 months following a Change of Control, the Company terminates Executive’s employment without Cause, other than due to death or Disability, or there is a Termination for Good Reason
(a “Change in Control Termination”), the Executive shall be entitled to be paid by the Company following the Date of Termination: 
 (i) the Accrued Amounts payable in accordance with Section 5.1(a) within five (5) days following the Date of Termination; 

(ii) subject to Executive’s execution and delivery to the Company of the Release, the Severance Payment
which payment will be made on the later of the 60 th day
following the Date of Termination or the date on which the Release has become irrevocable pursuant to its terms and applicable law, subject to the delay of payment under Section 5.7; and 

(iii) the COBRA Coverage 

(b) For purposes of this Agreement, “Change of Control” shall mean: 

(i) Any sale, lease, license, exchange or other transfer (in one or a series of related transactions) of all or substantially all
of the consolidated assets of the Company and its subsidiaries, other than a sale, lease, license or other disposition of all or substantially all of the consolidated assets of the Company and its subsidiaries to an entity, more than fifty percent
(50%) of the combined voting power of the voting securities of which are owned by shareholders of the Company in substantially the same proportion as their ownership of the Company immediately prior to such sale, lease, license or other
disposition; 

  
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 (ii) Any “person” as such term is used in Section 13(d) and
Section 14(d) of the Securities Exchange Act of 1934, as amended (the “ Exchange Act ”) is or becomes, directly or indirectly, the “beneficial owner” as defined in Rule 13d-3 under the Exchange Act of
securities of the Company that represent more than 50% of the combined voting power of the Company’s then outstanding voting securities, other than by virtue of a merger, consolidation or similar transaction, provided that,
notwithstanding the foregoing, a Change in Control shall not be deemed to occur solely because the level of ownership held by any such person (the “Subject Person”) exceeds the designated percentage threshold of the
outstanding voting securities as a result of a repurchase or other acquisition of voting securities by the Company reducing the number of shares outstanding, provided further that if a Change in Control would occur (but for the operation of this
proviso) as a result of the acquisition of voting securities by the Company, and after such share acquisition, any such Subject Person becomes the owner of any additional voting securities of the Company that, assuming the repurchase or other
acquisition had not occurred, increases the percentage of the then outstanding voting securities owned by such Subject Person over the designated percentage threshold, then a Change in Control shall be deemed to occur; 

(iii) During any period of 12 consecutive months, individuals who at the beginning of such period constitute the Board cease for any
reason to constitute at least a majority thereof unless the election, or the nomination for election by stockholders, of each new director was approved by a vote of at least a majority of the directors then still in office who were directors at the
beginning of the period; or 
 (iv) There is consummated a merger, consolidation or similar transaction involving
(directly or indirectly) the Company if, immediately after the consummation of such merger, consolidation or similar transaction, the stockholders of the Company immediately prior thereto do not own, directly or indirectly, either
(A) outstanding voting securities representing more than fifty percent (50%) of the combined outstanding voting power of the surviving entity in such merger, consolidation or similar transaction or (B) more than fifty percent
(50%) of the combined outstanding voting power of the parent of the surviving entity in such merger, consolidation or similar transaction. 
 5.6 By Executive Without Good Reason. 
 (a) Executive may terminate
his employment without Good Reason by providing a Notice of Termination to the Company at least thirty (30) days prior to the Date of Termination. 
 (b) Upon termination by Executive of his employment without Good Reason, Executive shall be entitled to receive the Accrued Amounts payable in accordance with Section 5.1(a). 

5.7 Non-Renewal of the Term. 
 (a) Upon termination of Executive’s employment as a result of non-renewal of the Initial Term or any Renewal Term by the Company, Executive will be entitled to the Accrued Amounts payable in
accordance with Section 5.1(a). 
 (b) Upon termination of Executive’s employment as a result of non-renewal of
the Initial Term or any Renewal Term by the Executive, Executive will be entitled to the Accrued Amounts payable in accordance with Section 5.1(a). 
 5.8 Nonqualified Deferred Compensation. Notwithstanding any provision of this Agreement to the contrary (but subject in all respects to Section 16.9 below), if all or any portion of the
payments due under Section 5 are determined to be “nonqualified deferred compensation” subject to Section 409A of the Code, and the Company determines that Executive is a “specified employee” (as defined in
Section 409A(a)(2)(B)(i) of the Code and other guidance issued thereunder), then such Severance Payment will be made on the first day of the seventh month following the month in which Executive’s termination of employment occurs.

 5.9 Notice of Termination; Non-Renewal. Any termination of employment pursuant to Sections 5.1 through 5.6 shall
be communicated by a Notice of Termination to the other party hereto given in accordance with Section 16.2. 
 (a) For
purposes of this Agreement, a “Notice of Termination” means a written notice that (i) indicates the specific termination provision in this Agreement relied upon, (ii) to the extent applicable, sets forth in
reasonable detail the facts and circumstances claimed to provide a basis for termination of Executive’s employment under the provision so indicated and (iii) if the Date of Termination (as defined below) is other than the date of receipt
of such notice, specifies the termination date. The failure by Executive or the Company to set forth in the Notice of Termination any fact or circumstance that contributes to a showing of Good Reason or Cause shall not waive any right of Executive
or the Company, as the case may be, hereunder or preclude Executive or the Company, as the case may be, from asserting such fact or circumstance in enforcing Executive’s or the Company’s rights hereunder. 

(b) For purposes of this Agreement, “Date of Termination” means (i) if Executive’s employment is
terminated pursuant to Sections 5.1 through 5.6, the date of receipt of the Notice of Termination (in the case of a termination with or without Good Reason, provided, such Date of Termination is in accordance with Sections 5.4 or
5.6, as the case may be), (ii) if Executive’s employment is terminated by reason of death, the date of death, and (iii) the expiration of the Initial Term or any Renewal Term, as applicable. 

  
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 (c) A termination of employment pursuant to Section 5.7 shall be communicated by a
Notice of Non-Renewal to the other party hereto given in accordance with Section 2 and Section 16.2. Notwithstanding anything to the contrary set forth in the Agreement, Executive hereby agrees to execute and deliver the Letter of
Resignation to the Company if Executive’s employment is validly terminated for any reason other than for death. 

6. NON-SOLICITATION 

During the Term and for a period of twelve (12) month period after the Date of Termination in the event of termination
(i) without Cause or (ii) for Good Reason, Executive shall not: (i) request, induce or attempt to influence any person or entity who is or was a client, customer, contractor or supplier of the Company to limit, curtail or cancel its
business with the Company or (ii) request, induce, or attempt to influence any current or future officer, director, employee, consultant, agent or representative of the Company to: (a) terminate his, her, or its employment or business
relationship with the Company; or (b) commit any act that, if committed by Executive, would constitute a breach of any term or provision of this Section 6. 
 7. NON-COMPETITION; WORK PRODUCT 
 (a) During the Term and for a
period of twelve (12) months after the Date of Termination in the event of termination (i) without Cause or (ii) for Good Reason, Executive shall not, directly or indirectly, (a) engage in any business for Executive’s own
account that competes with the business of the Company or its affiliates (including, without limitation, businesses which the Company or its affiliates have specific plans to conduct in the future and as to which Executive is aware of such
planning), (b) enter the employ of, or render any services to, any person or entity engaged in any business that competes with the business of the Company or its subsidiaries, (c) acquire a financial interest in any person or entity
engaged in any business that competes with the business of the Company or its subsidiaries, directly or indirectly, as an individual, partner, stockholder, officer, director, principal, agent, trustee or consultant, or (d) interfere with
business relationships (whether formed before or after the date of this Agreement) between the Company or any of its subsidiaries and their respective customers, suppliers or contractors. Notwithstanding anything to the contrary in this Agreement,
Executive may, directly or indirectly, own, solely as an investment, securities of any entity engaged in the business of the Company or its subsidiaries which are publicly traded on a national or regional stock exchange or on an over-the-counter
market if Executive (i) is not a controlling person of, or a member of a group which controls, such person and (ii) does not, directly or indirectly, own five percent (5%) or more of any class of securities of such person. 

(b) All copyrights, patents, trade secrets, or other intellectual property rights associated with any ideas, concepts, techniques,
inventions, processes, or works of authorship developed or created by Executive during the Term (collectively, the “Work Product”) shall belong exclusively to the Company and shall, to the extent possible, be considered a
work made by Executive for hire for the within the meaning of Title 17 of the United States Code. To the extent the Work Product may not be considered work made by Executive for hire for the Company, Executive agrees to assign, and automatically
assign at the time of creation of the Work Product, without any requirement of further consideration, any right, title, or interest Executive may have in such Work Product. Upon the request of the Company, Executive shall take such further actions,
including execution and delivery of instruments of conveyance, as may be appropriate to give full and proper effect to such assignment. 

8. CONFIDENTIALITY/TRADE SECRETS 
 Executive specifically agrees that Executive will not at any time, whether during or subsequent to the Term, in any fashion, form or manner, except in furtherance of Executive’s duties at the Company
or with the specific written consent of the Company, either directly or indirectly use, divulge, disclose or communicate to any person or entity in any manner whatsoever, any confidential information or trade secrets of any kind, nature or
description concerning any matters affecting or relating to the business of the Company (the “ Proprietary Information ”), including, without limitation, (a) all information, design or software programs (including object
codes and source codes), techniques, drawings, plans, experimental and research work, inventions, patterns, processes and know-how, whether or not patentable, and whether or not at a commercial stage related to the Company or any subsidiary thereof,
(b) buying habits or practices of any of its customers or vendors, (c) the Company’s marketing methods, sales activities, promotion, credit and financial data and related information, (d) the Company’s costs or sources of
materials, (e) the prices it obtains or has obtained or at which it sells or has sold its products or services, (f) lists or other written records used in the Company’s business, (g) compensation paid to employees and other terms
of employment, or (h) any other confidential information of, about or concerning the business of the Company, its manner of operation, or other confidential data of any kind, nature, or description (excluding any information that is or becomes
publicly known or available for use through no fault of Executive or as directed by court order). The parties hereto stipulate that as between them, Proprietary Information constitutes trade secrets that derive independent economic value, actual or
potential, from not being generally known to the public or to other persons who can obtain economic value or cause economic harm to the Company from its disclosure or use and that Proprietary Information is the subject of efforts which are
reasonable under the circumstances to maintain its secrecy and of which this Section 8 is an example, and that any breach of this Section 8 shall be a material breach of this Agreement. All Proprietary Information shall be and remain the
Company’s sole property. 

  
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 9. INJUNCTIVE RELIEF 
 Executive acknowledges that any violation of any provision of Sections 6 through 8 or Section 12 hereof by Executive will cause irreparable damage to the Company, that such damages will be
incapable of precise measurement and that, as a result, the Company will not have an adequate remedy at law to redress the harm which such violations will cause. Therefore, in the event of any violation or threatened violation of any provision of
Sections 6 through 8 or Section 12 hereof by Executive, in addition to any other rights at law or in equity the Company may have, Executive agrees that the Company will be entitled to seek, without proof of an inadequate remedy at law,
posting any bond or proof of damages, equitable relief in the form of specific performance, temporary restraining order, temporary or permanent injunction or any other equitable remedy which may then be available. 

10. BLUE PENCIL 

It is the desire and intent of the Parties that the provisions of Sections 6 through 8 or Section 12 hereof shall be enforced
to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought. Accordingly, if any portion of Sections 6 through 8 or Section 12 hereof shall be adjudicated to be invalid
or unenforceable, such provision shall be deemed amended either to conform to such restrictions as the court or arbitrator may allow, or to delete therefrom or reform the portion thus adjudicated to be invalid and unenforceable, such deletion or
reformation to apply only with respect to the operation of such Section in the particular jurisdiction in which such adjudication is made. It is expressly agreed that any court or arbitrator shall have the authority to modify any provision of
Sections 6 through 8 or Section 12 hereof if necessary to render it enforceable, in such manner as to preserve as much as possible the parties’ original intentions, as expressed therein, with respect to the scope thereof. 

11. COMPANY’S AND EXECUTIVE’S DUTIES ON TERMINATION 
 In the event of termination of Executive’s employment pursuant to Section 5, Executive agrees to deliver promptly to the Company all Proprietary Information which is or has been in
Executive’s possession or under Executive’s control. Upon termination of Executive’s employment by the Company for any reason whatsoever and at any earlier time the Company so requests, Executive will deliver to the custody of the
person designated by the Company all originals and copies of such documents and other property of the Company in Executive’s possession, under Executive’s control or to which Executive may have access. 

12. NON-DISPARAGEMENT 
 During and after the Term, for any reason, neither Executive nor his agents, on the one hand, nor the Company, or its senior executives or the Board, on the other hand, shall directly or indirectly issue
or communicate any public statement, or statement likely to become public, that maligns, denigrates or disparages the other (including, in the case of communications by Executive or his agents, any of the Company’s officers, directors or
employees). The foregoing shall not be violated by truthful responses to legal process or governmental inquiry or by private statements to any of the Company’s officers, directors or employees; provided, that, in the case of
Executive, such statements are made in the course of carrying out his duties pursuant to this Agreement. 
 13. INDEMNIFICATION

 The Company shall indemnify the Executive against all losses, claims, expenses, or other liabilities of any nature
arising by reason of the fact that Executive: (a) is or was a director, officer, employee, or agent of the Company or any of its subsidiaries; or (b) while a director, officer, employee or agent of the Company or any of its subsidiaries,
is or was serving at the request of the Company as a director, officer, partner, venturer, proprietor, trustee, employee, agent or similar functionary of another corporation, partnership, joint venture, trust, employee benefit plan or other entity,
in each case to the fullest extent permitted under the Nevada Revised Statutes, Private Corporations Law, as the same exists or may hereafter be amended. Without limiting the generality of the foregoing, Executive shall be entitled in connection
with Executive’s employment and in connection with Executive’s services as an officer and/or director of the Company to the benefit of the provisions relating to indemnification and advancement of defense costs and expenses contained in
the bylaws and articles of incorporation of the Company, as the same in the future may be amended (not including any amendments or additions that limit or narrow, but including any that add to or broaden, the protection afforded to the Executive),
to the fullest extent permitted by applicable law. The Company shall advance to Executive all costs of investigation or defense incurred by the Executive in connection with any pending or threatened claim for which Executive may be entitled to
indemnification hereunder, provided that the Executive shall agree to return to the Company any such reimbursed amounts, without interest, if it is determined in a final, non-appealable judgment by a court of competent jurisdiction that the
Executive is not entitled to indemnification by the Company for losses incurred in connection with such claim. The indemnification obligations of the Employer shall survive from the Effective Date of this Agreement and continue until three
(3) months after the expiration of any applicable statute of limitations with respect to any claim made against Executive for which Executive is or may be entitled to indemnification 

  
 7 

 
(the “Survival Period ”), and shall survive after the Survival Period with respect to any indemnification claim as to which the Company has received notice on or prior to
the end of the Survival Period. During the Term of this Agreement and during the Survival Period, the Company shall, to the extent that the Board determines it to be economically reasonable, maintain for the benefit of Executive, on an
“occurrence” basis, a directors and officers errors and omissions insurance policy, or a similar insurance policy(ies), providing coverage from a financially reputable carrier. Anything in this Agreement to the contrary notwithstanding,
this Section 13 shall survive the termination of this Agreement for any reason, and no release which may be entered into in connection with the termination of the Executive's employment will be deemed to release the Employer from its
obligations under this Section 13. 
 14. REPRESENTATIONS AND WARRANTIES 

14.1 Executive hereby represents and warrants to the Company, and Executive acknowledges, that the Company has relied on such
representations and warranties in employing Executive and entering into this Agreement, as follows: 
 (a) Executive has
the legal capacity and right to execute and deliver this Agreement and to perform his obligations contemplated hereby, and this Agreement has been duly executed by Executive; 
 (b) the execution, delivery and performance of this Agreement by Executive does not and will not, with or without notice or the passage of time, conflict with, breach, violate or cause a default
under any agreement, contract or instrument to which Executive is a party or any judgment, order or decree to which Executive is subject; 
 (c) Executive is not a party to or bound by any employment agreement, consulting agreement, non-compete agreement, fee for services agreement, confidentiality agreement or similar agreement with any
other person or entity; 
 (d) upon the execution and delivery of this Agreement by the Company and Executive, this
Agreement will be a legal, valid and binding obligation of Executive, enforceable in accordance with its terms; and 

(e) Executive understands that the Company will rely upon the accuracy and truth of the representations and warranties of Executive
set forth herein and Executive consents to such reliance. 
 14.2 The Company hereby represents and warrants to Executive, and
the Company acknowledges that Executive has relied on such representations and warranties in entering into this Agreement, as follows: 
 (a) the Company has all requisite power and authority to execute and deliver this Agreement and to perform its obligations hereunder, and this Agreement has been duly executed by the Company;

 (b) the execution, delivery and performance of this Agreement by the Company does not and will not, with or without
notice or the passage of time, conflict with, breach, violate or cause a default under any agreement, contract or instrument to which the Company is a party or any judgment, order or decree to which the Company is subject; 

(c) upon the execution and delivery of this Agreement by the Company and Executive, this Agreement will be a legal, valid and
binding obligation of the Company, enforceable in accordance with its terms; and  
 (d) the Company
understands that Executive will rely upon the accuracy and truth of the representations and warranties of the Company set forth herein and the Company consents to such reliance. 
 15. ARBITRATION 
 Any controversy arising out of or relating to this
Agreement, its enforcement or interpretation, or because of an alleged breach, default, or misrepresentation in connection with any of its provisions, or any other controversy arising out of Executive’s employment with the Company or the
termination of Executive’s employment with the Company, including, but not limited to, any state or federal statutory claims, shall be submitted to arbitration in Broward County, Florida, before a sole arbitrator selected from the American
Arbitration Association,; provided, however, that provisional injunctive relief may, but need not, be sought by either party to this Agreement in a court of law while arbitration proceedings are pending, and any provisional injunctive
relief granted by such court shall remain effective until the matter is finally determined by the arbitrator. Final resolution of any dispute through arbitration may include any remedy or relief which the arbitrator deems just and equitable,
including any and all remedies provided by applicable state or federal statutes. The Company shall bear all administrative costs of any arbitration initiated under this Section 15, including any filing fees and arbitrator fees. 

At the conclusion of the arbitration, the arbitrator shall issue a written decision that sets forth the essential findings and
conclusions upon which the arbitrator’s award or decision is based. Any award or relief granted by the arbitrator hereunder shall be final and binding on the parties hereto and may be enforced by any court of competent jurisdiction. The parties
hereto acknowledge and agree that they are hereby waiving any rights to trial by jury in any action, proceeding or counterclaim brought by either of the parties against the other in connection with any matter whatsoever arising out of or in any way
connected with this Agreement. The 

  
 8 

 
arbitrator shall award reasonable attorney’s fees (including reasonable disbursements) to the party that the arbitrator has determined to be the prevailing party in such arbitration. Except
as may be necessary to enter judgment upon the award or to the extent required by applicable law, all claims, defenses and proceedings (including, without limiting the generality of the foregoing, the existence of the controversy and the fact that
there is an arbitration proceeding) shall be treated in a confidential manner by the arbitrator, the parties hereto and their counsel, and each of their agents, employees and all others acting on behalf of or in concert with them. Without limiting
the generality of the foregoing, no one shall divulge to any person or entity not directly involved in the arbitration the contents of the pleadings, papers, orders, hearings, trials, or awards in the arbitration, except as may be necessary to enter
judgment upon an award as required by applicable law. Any court proceedings relating to the arbitration hereunder, including, without limiting the generality of the foregoing, to prevent or compel arbitration or to confirm, correct, vacate or
otherwise enforce an arbitration award, shall be filed under seal with the court, to the extent permitted by law. 
 16. GENERAL
PROVISIONS 
 16.1 Assignment, Binding Effect. This Agreement, and Executive’s rights and obligations hereunder,
may not be assigned or delegated, in whole or in part, by Executive, and any prohibited assignment attempted by the Executive is void. This Agreement shall be binding on any successor to the Company, whether by merger, acquisition of substantially
all of the Company’s assets, or otherwise, as fully as if such successor was a signatory hereto and the Company shall cause such successor to, and such successor shall, expressly assume the Company’s obligations hereunder. Notwithstanding
anything else herein contained, the term “Company” as used in this agreement, shall include all such successors. 

16.2 Notices. 
 (a) All notices, requests, demands or other communications that are required or may be given under this Agreement shall be in writing and shall be given by personal delivery, by certified or
registered United States mail (postage prepaid, return receipt requested), by a nationally recognized overnight delivery service for next day delivery, or by facsimile transmission, as follows (or to such other address as any party may give in a
notice given in accordance with the provisions hereof): 
 If to the Company, 

Vapor Corp. 
 3001 Griffin Road 

Dania Beach, Florida 33312 
 If
to Executive, 
 Harlan Press 
 c/o
Vapor Corp. 
 3001 Griffin Road 
 Dania
Beach, FL 33312 
 (b) All notices, requests or other communications will be effective and deemed given only as follows:
(i) if given by personal delivery, upon such personal delivery, (ii) if sent by certified or registered mail, on the fifth business day after being deposited in the United States mail, (iii) if sent for next day delivery by overnight
delivery service, on the date of delivery as confirmed by written confirmation of delivery, (iv) if sent by facsimile, upon the transmitter’s confirmation of receipt of such facsimile transmission, except that if such confirmation is
received after 5:00 p.m. (in the recipient’s time zone) on a business day, or is received on a day that is not a business day, then such notice, request or communication will not be deemed effective or given until the next succeeding business
day. Notices, requests and other communications sent in any other manner, including by electronic mail, will not be effective. 

16.3 Governing Law. This Agreement is governed by, and is to be construed and enforced in accordance with, the laws of the State
of Florida without regard to principles of conflicts of laws. 
 16.4 Amendment. No provisions of this Agreement may be
amended, modified or waived unless such amendment or modification is agreed to in writing signed by Executive and by a duly authorized officer selected at such time by the Board, and such waiver is set forth in writing and signed by the party to be
charged. 
 16.5 Entire Agreement. This Agreement sets forth the entire agreement of the parties hereto in respect of the
subject matter contained herein and supersedes all prior or contemporaneous agreements, arrangements and understandings, whether oral or written, between the parties with respect to such subject matter. Executive and the Company affirm that each
fully understands this Agreement’s meaning and effect. Each party hereto has participated fully and equally in the negotiation and drafting of this agreement. This Agreement contains section headings for reference only. The headings in no way
affect the meaning or interpretation of this Agreement. For purposes of Sections 6, 7, 8 and 12 of this Agreement, the “Company” as used therein shall be deemed to include the Company and its subsidiaries and their respective
successors and assigns. 

  
 9 

 16.6 Withholding. All payments hereunder shall be subject to any required withholding
of federal, state and local taxes pursuant to any applicable law or regulation. 
 16.7 Severability. The sections,
paragraphs and provisions of this Agreement are severable. If any such section, paragraph or provision is found to be unenforceable, the remaining sections, paragraphs and provisions will remain in full force and effect. 

16.8 Counterparts. This Agreement may be executed and delivered (by facsimile, PDF or other electronic transmission) in
counterparts, each of which shall be deemed an original but all of which together will constitute one and the same instrument. 

16.9 Section 409A. Notwithstanding anything herein to the contrary, this Agreement is intended to be interpreted and applied
so that the payment of the benefits set forth herein either shall be exempt from the requirements of Section 409A of the Code, or shall comply with the requirements of such provision. Furthermore, the Company and its respective officers,
directors, employees or agents make no guarantee that this Agreement complies with, or is exempt from, the provisions of Section 409A of the Code and none of the foregoing shall have any liability for the failure of this Agreement to comply
with, or be exempt from, the provisions of Code Section 409A. The parties hereto agree to make such amendments from time to time to the terms and conditions of this Agreement as are necessary to ensure that this Agreement complies with the
terms of and in a manner permitted by Section 409A of the Code and any regulation or other official guidance promulgated thereunder. Each payment due hereunder shall be treated as a separate payment under Section 409A of the Code. To the
extent required by Code Section 409A, “termination of employment” (or any similar terms) shall mean “separation from service” (as defined in Treasury Regulations Section 1.409A-1(h) and the default presumptions
thereof). With regard to any provision herein that provides for reimbursement of costs and expenses or in-kind benefits, except as permitted by Code Section 409A, (i) the right to reimbursement or in-kind benefits shall not be subject to
liquidation or exchange for another benefit, (ii) the amount of expenses eligible for reimbursement, or in-kind benefits, provided during any taxable year shall not affect the expenses eligible for reimbursement, or in-kind benefits to be
provided, in any other taxable year, and (iii) such payments shall be made on or before the last day of Executive’s taxable year following the taxable year in which the expense was incurred. 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above. 

 

			
	VAPOR CORP.:
		
	By:	 	/s/ Kevin Frija
	Name:	 	Kevin Frija
	Title:	 	Chairman & CEO
	
	EXECUTIVE:
		
	By:	 	/s/ Harlan Press
	Name:	 	Harlan Press
	Title:	 	Chief Financial Officer

 [Signature Page to Employment Agreement] 

  
 10EX-4.5

 Exhibit 4.5 
 THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE SOLD, ASSIGNED, PLEDGED,
HYPOTHECATED OR OTHERWISE TRANSFERRED EXCEPT IN A TRANSACTION WHICH IS REGISTERED UNDER THE SECURITIES ACT, OR IN A TRANSACTION WHICH IS EXEMPT FROM OR NOT SUBJECT TO THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. ADDITIONALLY, THE TRANSFER OF
THIS NOTE IS SUBJECT TO THE CONDITIONS SPECIFIED IN THIS NOTE, AND MAKER HEREOF RESERVES THE RIGHT TO REFUSE THE TRANSFER OF THIS NOTE UNTIL SUCH CONDITIONS HAVE BEEN FULFILLED WITH RESPECT TO SUCH TRANSFER. 

SURGIVISION, INC. 
 10% SUBORDINATED SECURED CONVERTIBLE NOTE DUE 2016 
  

			
	 Issue Date: April 5, 2011
	  	Principal Amount: U.S. $2,000,000

 SURGIVISION, INC., a Delaware corporation (the “Company”), for value received,
hereby promises to pay to BRAINLAB AG., a corporation organized under the laws of the Federal Republic of Germany (“Brainlab”), the principal amount of U.S. $2,000,000 on April 5, 2016 (the “Maturity
Date”). This Note is subject to the following terms and conditions: 
 1. DEFINITIONS 

“Bankruptcy Law” means Title 11, U.S. Code or any similar federal, state or foreign law for the relief of debtors.

 “Brainlab” means Brainlab AG., a corporation organized under the laws of the Federal Republic of Germany or
its successors or assigns. 
 “Business Day” means each day of the year on which banking institutions are not
required or authorized to close in Germany or New York. 
 “Capital Stock” means, with respect to any Person,
any and all shares, interests, participations or other equivalents (however designated and whether or not voting) of corporate stock, limited liability company interests, partnership interests or any other participation, right or other interest in
the nature of an equity interest in such Person including, without limitation, common stock and preferred stock of such Person, or any option, warrant or other security convertible into any of the foregoing. 

“Collateral Agent” means Landmark Community Bank, in its capacity as collateral agent for the ratable benefit of the
Junior Lender. 
 “Company” means SurgiVision, Inc., a Delaware corporation. 

“Conversion Date” has the meaning specified in Section 4(b)(iii) of this Note. 

“Conversion Notice” has the meaning specified in Section 4(b)(i) of this Note. 

“Conversion Price” has the meaning specified in Section 4(a)(iv) of this Note. 

 “Conversion Shares” means shares of Qualified Financing Stock to be issued
in connection with the conversion of this Note. 
 “Default” means any event which is, or after notice or
passage of time or both would be, an Event of Default. 
 “Event of Default” has the meaning specified in
Section 9(a) of this Note. 
 “Indebtedness” of any Person means at any date, without duplication,
(i) all obligations of such Person for borrowed money, (ii) all obligations of such Person evidenced by bonds, debentures, notes or other similar instruments, (iii) all obligations of such Person to pay the deferred purchase price of
property or services, except trade accounts payable arising in the ordinary course of business, (iv) all obligations of such Person as lessee which are capitalized in accordance with United States generally accepted accounting principles,
(v) all reimbursement obligations of such Person (whether contingent or otherwise) in respect of letters of credit, banker’s acceptances, surety or other bonds and similar instruments, (vi) all Indebtedness of others secured by a lien
on any asset of such Person, whether or not such Indebtedness is assumed by such Person, and (vii) all Indebtedness of others guaranteed by such Person or for which such Person is otherwise liable. 

“Issue Date” of this Note means the date on which this Note was originally issued or deemed issued as set forth on the
face of this Note. 
 “Junior Debt” means any obligations of the Company under the Junior Debt Documents,
including, without limitation, obligations with respect to the payment of principal, interest (including without limitation interest accruing at the then applicable rate provided in the Junior Notes after the commencement of any Proceeding by,
against or relating to the Company, whether or not a claim for such interest is allowed in such Proceeding), fees, costs and expenses before or after the commencement of any Proceeding, in each instance, without regard to whether or not an allowed
claim in any such Proceeding. 
 “Junior Debt Documents” means the Junior Notes, the Junior Security Agreement,
and any and all other documents or instruments evidencing or further guarantying or securing, directly or indirectly, any of the Junior Debt, whether now existing or hereafter amended or created. 

“Junior Lender” means, collectively, the holders of the Junior Notes. 

“Junior Notes” means those certain Junior Secured Promissory Notes due 2020 issued by the Company, and any amendments
thereto or extensions thereof. 
 “Junior Security Agreement” means that certain Junior Security Agreement
dated November 5, 2010, by and between the Company and the Collateral Agent, and any amendments thereto. 

“Legend” has the meaning specified in Section 10(c) of this Note. 

“Lien” shall mean any mortgage, deed of trust, pledge, hypothecation, assignment, security interest, encumbrance, lien
or other security interest or security agreement of any kind or nature whatsoever. 
 “Maturity Date” means
April 5, 2016. 
 “Note” means this 10% Subordinated Secured Convertible Note Due 2016 issued by the
Company. 

  
 2 

 “Person” means any individual, corporation, partnership, limited liability
company, joint venture, association, joint-stock company, trust, unincorporated organization or government, or any agency or political subdivision thereof. 
 “Qualified Financing” means any bona fide, third-party, arms-length negotiated equity financing with net proceeds to the Company of at least $10,000,000, pursuant to a single transaction
or series of related transactions, occurring after the Issue Date in which shares of the Company’s preferred stock are issued in exchange for cash proceeds. 
 “Qualified Financing Stock” means shares of a series of the Company’s preferred stock issued in a Qualified Financing after the Issue Date. 

“Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations of the Securities Exchange
Commission promulgated thereunder. 
 “Senior Debt” means any obligations of the Company under the Senior Debt
Documents, including, without limitation, obligations with respect to the payment of principal, interest (including without limitation interest accruing at the then applicable rate provided in the Senior Notes after the commencement of any
Proceeding by, against or relating to the Company, whether or not a claim for such interest is allowed in such Proceeding), fees, costs and expenses before or after the commencement of any Proceeding, in each instance, without regard to whether or
not an allowed claim in any such Proceeding. 
 “Senior Debt Documents” means the Senior Notes, the Loan
Agreement dated as of October 16, 2009 between the Company and Boston Scientific Corporation, the Patent Security Agreement dated October 16, 2009 between the Company and Boston Scientific Corporation, and any and all other documents or
instruments evidencing or further guarantying or securing, directly or indirectly, any of the Senior Debt, whether now existing or hereafter amended or created. 
 “Senior Lender” means the holder of the Senior Debt. 

“Senior Notes” means those certain Secured Convertible Promissory Notes issued by the Company to Boston Scientific
Corporation dated as of October 16, 2009, November 17, 2009 and December 18, 2009, respectively, in the aggregate original principal amount of $3,500,000, and any amendments thereto or extensions thereof. 

“Shares” means the shares of Capital Stock in the Company, or any other securities into which such shares of Capital
Stock shall be reclassified or changed. 
 “Subsidiary” of any specified Person means any corporation,
partnership, joint venture, limited liability company, association, trust or other business entity, whether now existing or hereafter organized or acquired, (i) in the case of a corporation, of which more than 50% of the total voting power of
the Capital Stock entitled (without regard to the occurrence of any contingency) to vote in the election of directors, officers or trustees thereof is held by such specified Person or any of its Subsidiaries or (ii) in the case of a
partnership, joint venture, limited liability company, association, trust or other business entity, with respect to which such specified Person or any of its Subsidiaries has the power to direct or cause the direction of the management and policies
of such entity by contract or otherwise. 
 “Tax or Taxes” means any present or future tax, duty, levy,
impost, assessment or other government charge (including penalties and interest related thereto) imposed or levied by or on behalf of any Taxing Authority. 

  
 3 

 “Taxing Authority” means any government or political subdivision or
territory or possession of any government or agency therein or thereof having the power to tax. 
 “Term” means
the period of time from the Issue Date until all amounts owing by the Company under this Note have been paid in full in cash or converted into equity of the Company as contemplated herein. 

“Transfer Restricted Security” has the meaning specified in Section 10(c) of this Note. 

2. INTEREST; PRINCIPAL 
 (a) Accrual and Payment of Interest. The outstanding principal amount of this Note shall accrue interest at a rate per annum (calculated on the basis of the actual number of days elapsed over a
year of 360 days) equal to ten percent (10%) from the Issue Date to but excluding the Maturity Date. All accrued but unpaid interest shall be due and payable on the Maturity Date. Notwithstanding the foregoing, in the event that the principal
balance of this Note is converted pursuant to Section 4 hereof on or prior to the Maturity Date, all accrued but unpaid interest shall also be converted in accordance with Section 4 hereof. 

(b) Defaulted Interest. If the Company defaults in a payment of principal or interest on this Note, it shall pay interest on
overdue principal and on overdue installments of interest (without regard to any applicable grace periods) from time to time on demand at the rate per annum equal to fifteen percent (15%), to the extent lawful, until such time as the Company has
paid such overdue principal and interest. 
 (c) Principal. If this Note has not previously been converted as provided in
Section 4 hereof, all principal and all accrued, but unpaid interest shall be immediately due and payable by the Company to Brainlab on the Maturity Date. 
 (d) Prepayment. Amounts owing under this Note may not be pre-paid, in whole or in part, by the Company prior to the delivery of a Financing Notice (as defined below) from the Company to Brainlab
without the prior written consent of Brainlab. In the event that the Company delivers a Financing Notice and conversion is not automatic, the Company may thereafter, pre-pay, in whole or in part, amounts owing under this Note prior to the the
Maturity Date, upon at least 10 days prior notice to Brainlab. 
 3. METHOD OF PAYMENT 

All principal and interest owing by the Company to Brainlab under this Note shall be paid in United States Dollars. The Company shall pay
all principal and interest owing under this Note by wire transfer of immediately available funds, in accordance with the wiring instructions provided from time to time by Brainlab to the Company in writing, provided that if any applicable law
(as determined by the Company) requires the deduction of withholding of any Tax from any such payment, then the Company shall make such deduction and timely pay the full amount deducted to the relevant governmental authority in accordance with
applicable law and remit the balance of the payment to Brainlab. 

  
 4 

 4. CONVERSION 
 (a) Conversion of Note. 
 (i) The Company shall provide
written notice to Brainlab setting forth the fact that a Qualified Financing has occurred, the applicable Conversion Price, the number of Conversion Shares issued/to be issued upon conversion and the calculation thereof and the rights, preferences
and responsibilities of the Conversion Shares, not more than 10 days following the consummation of a Qualified Financing, as well as a representation as to the then current capitalization of the Company (“Financing Notice”).

 (ii) Subject to the further provisions of this Section 4, in the event that the Conversion Shares to be
issued to Brainlab in connection with the Qualified Financing shall represent at least 10% of the outstanding Shares of the Company, on a fully diluted basis, the principal and accrued interest existing pursuant to this Note shall automatically be
converted into Conversion Shares simultaneous upon the closing of the Qualified Financing. Subject to the further provisions of this Section 4, in the event that the Conversion Shares to be issued to Brainlab in connection with the Qualified
Financing shall represent less than 10% of the outstanding Shares of the Company, on a fully diluted basis, Brainlab may, at its sole option, cause all but not less than all of the principal and accrued interest existing pursuant to this Note to be
converted into Conversion Shares at any time following the closing of a Qualified Financing but prior to the time all amounts owing by the Company under this Note have been paid in full, at the Conversion Price in effect on the Conversion Date.

 (iii) The number of Conversion Shares issuable upon conversion of this Note shall equal the number determined
by dividing (a) the outstanding principal amount of this Note plus all accrued but unpaid interest by (b) the Conversion Price in effect on the Conversion Date. 

(iv) Subject to the adjustments provided by this Section 4, the “Conversion Price” shall be the
price per share paid by investors in the Qualified Financing for one share of Qualified Financing Stock. 
 (v)
Notwithstanding any of the foregoing to the contrary, the Company shall not issue or cause to be issued fractional Conversion Shares on conversion of this Note. If any fraction of a share would, except for the provisions of this
Section 4(a)(v), be issuable upon conversion of this Note, the number of Conversion Shares to be issued will be rounded up to the nearest whole share. 
 (b) Conversion Procedure 
 (i) In the case of an optional
conversion by Brainlab, Brainlab shall deliver to the Company a written notice of Brainlab’s election to convert all of the principal and accrued interest existing pursuant to this Note into Conversion Shares (a “Conversion
Notice”). 
 (ii) In the case of any conversion of this Note, Brainlab must (a) surrender this Note
to the Company, and (b) furnish appropriate endorsements and transfer documents if required by the Company. As soon as practicable after Brainlab fulfills these obligations the Company shall deliver to Brainlab (or any affiliate of Brainlab as
designated in writing by Brainlab) a certificate (or, if so designated in writing by Brainlab, multiple certificates in the name of Brainlab or its affiliates in such denominations as Brainlab may request) for the number of Conversion Shares
issuable upon the conversion. 
 (iii) For purposes of this Note, the “Conversion Date” shall be
(a) in the case of an automatic conversion upon a Qualified Financing, the closing date of a Qualified Financing, or (b) in the case of an optional conversion by Brainlab, the date on which the Conversion Notice is delivered to the Company
in accordance with Section 11(a) hereof. 
 (iv) The Person(s) in whose name the Conversion Shares are
registered shall be deemed to be a shareholder of record as of the Conversion Date. 

  
 5 

 (c) Taxes on Conversion. If Brainlab converts this Note, the Company shall pay any
documentary, stamp, transfer or similar Tax, but excluding any foreign Tax, due on the issuance of Conversion Shares upon such conversion. Nothing herein shall preclude any Tax withholding required by law or regulation. 

(d) Obligation to Provide Conversion Shares. 

(i) All Conversion Shares delivered upon conversion of this Note shall be (a) duly authorized and validly issued,
(b) free from preemptive rights and free of any lien or adverse claim and (c) subject to the terms of the Company’s Certificate of Incorporation. 
 (ii) The Company will promptly comply with all federal and state securities laws regulating the offer and delivery of Conversion Shares, upon conversion of this Note, if any. 

(e) Adjustment of Conversion Price. The Conversion Price shall be adjusted from time to time by the Company as follows:

 (i) In the event that the Company experiences a Qualified Financing and, prior to Brainlab’s election to
convert, another Qualified Financing shall occur, the Conversion Price shall be adjusted based upon the most recent Qualified Financing. 
 (ii) In the event of any stock subdivision, stock combination or other similar event, the Conversion Price shall be appropriately and equitably adjusted to reflect such event. An adjustment made pursuant
to this Section shall become effective immediately after the effectiveness of such event. 
 (f) Notice of Adjustment.
Whenever the Conversion Price is adjusted, the Company shall promptly deliver to Brainlab a notice of the adjustment briefly stating the facts requiring the adjustment and the manner of computing it. 

(g) Notice of Certain Transactions. In the event that: 

(i) the Company takes any action which would require an adjustment in the Conversion Price; 

(ii) the Company consolidates or merges with, or transfers all or substantially all of its assets to, another corporation
and the Company’s stockholders must approve the transaction; or 
 (iii) there is a dissolution or
liquidation of the Company; 
 the Company shall deliver to Brainlab a notice stating the proposed record or effective date, as the case may be,
at least 10 days before such date; provided, however, that the failure to deliver such notice or any defect therein shall not affect the validity of the corporate action required to be described in such notice. Additionally, in the event of any
other occurrence which causes any of the representations and warranties of the Company contained herein to be untrue or incorrect in any material respect, the Company shall deliver to Brainlab a written notice describing such occurrence within 10
days of the Company becoming aware thereof. 
 (h) Effect of Reclassification, Consolidation, Merger or Sale on Conversion
Right. If any of the following shall occur, namely: (a) any reclassification or change of shares of Capital Stock issuable upon conversion of this Note (other than a change as a result of a subdivision or combination, any other change for
which an adjustment is provided in Section 4(e), or any change in par value); (b) any 

  
 6 

 
consolidation or merger to which the Company is a party other than a consolidation or merger in which the Company is the continuing corporation and which does not result in any reclassification
or change of shares of Capital Stock issuable upon conversion of this Note (other than a change in name or as a result of a subdivision or combination); or (c) any sale or conveyance of all or substantially all of the assets of the Company as
an entirety, then the Company, or such successor or purchasing corporation, as the case may be, shall, as a condition precedent to such reclassification, change, consolidation, merger, sale or conveyance, deliver a notice to Brainlab that Brainlab
shall have the right to convert this Note into the kind and amount of securities and property (including cash) receivable upon such reclassification, change, consolidation, merger, sale or conveyance by a holder of the number of Conversion Shares
deliverable upon conversion of this Note immediately prior to such reclassification, change, consolidation, merger, sale or conveyance. Such notice shall provide for adjustments of the Conversion Price which shall be as nearly equivalent as may be
practicable to the adjustments of the Conversion Price provided for in Section 4(e). If, in the case of any such consolidation, merger, sale or conveyance, the stock or other securities and property (including cash) receivable thereupon by a
holder of shares of Capital Stock include shares of stock or other securities and property of a corporation other than the successor or purchasing corporation, as the case may be, in such consolidation, merger, sale or conveyance, then the Company
shall use commercially reasonable efforts to cause such notice to be executed by such other corporation and contain such additional provisions to protect the interests of Brainlab as the directors of the Company shall reasonably consider necessary
by reason of the foregoing. The provisions of this Section 4(h) shall similarly apply to successive consolidations, mergers, sales or conveyances. 
 5. SECURITY 
 The Company hereby grants to Brainlab a continuing
second priority security interest in and Lien on, second only to the Liens of Senior Lender under the Senior Debt Documents, all of the properties, assets, and rights of the Company, wherever located and whether now owned or hereafter acquired or
arising, and all proceeds and products thereof (all such properties, assets, rights, proceeds and products hereinafter sometimes called, collectively, the “Collateral”). This security interest and Lien shall be evidenced the parties
entering into a Master Security Agreement, the terms of which shall be incorporated herein by reference. Upon the request of Brainlab, the Company will execute and deliver such further instruments and do such further acts as may be reasonably
necessary or proper to carry out and perfect the security interest granted hereby. 
 6. SUBORDINATION 

(a) Subordination of this Note. Brainlab agrees that, until such time as all amounts owing by the Company under the Senior Debt
have been indefeasibly converted into equity of the Company or paid in full in cash, any Lien it may acquire against any assets or property of the Company to secure any obligations of the Company to Brainlab in connection herewith shall be
subordinate and inferior to the Liens of Senior Lender under the Senior Debt Documents. The priorities set forth in this section are applicable irrespective of the order or time of attachment, or the order, time or manner of perfection, or the order
or time of filing or recordation of any document or instrument, or other method of perfecting the Lien, and notwithstanding any conflicting terms or conditions which may be contained in any of the Senior Debt Documents or any other documents.

 (b) Subordination of Other Indebtedness. The Company and the Collateral Agent, on behalf of the Junior Lender, agree
that, until such time as all amounts owing by the Company under this Note have been indefeasibly converted into equity of the Company or paid in full in cash (a) the Junior Debt is subordinate in priority and subject in right and priority of
payment to the prior performance of any and all obligations of the Company to Brainlab or its successor or assignee, pursuant to this Note, including, but not limited to, any interest accruing thereon after the commencement of an insolvency
proceeding, 

  
 7 

 
without regard to whether or not such interest is an allowed claim and (b) any Liens the Collateral Agent has or may acquire, on behalf of and for the ratable benefit of the Junior Lender,
against any assets or property of the Company to secure any obligations of the Company to the Junior Lender shall be subordinate and inferior to the Liens of Brainlab under this Note and the related Master Security Agreement. The priorities set
forth in this section are applicable irrespective of the order or time of attachment, or the order, time or manner of perfection, or the order or time of filing or recordation of any document or instrument, or other method of perfecting the Lien,
and notwithstanding any conflicting terms or conditions which may be contained in the Master Security Agreement in favor of Brainlab or any other documents. 
 7. REPRESENTATIONS AND WARRANTIES OF THE COMPANY The Company hereby represents and warrants to Brainlab as of the Issue Date, and, if applicable, as of the Conversion Date, as follows, each
of which shall survive for the Term of this Note: 
 (a) Organization and Qualification. The Company is a corporation
duly incorporated and validly existing under the laws of the State of Delaware. The Company has all requisite power and authority to carry on its business as currently conducted, other than such failures that, individually or in the aggregate, would
not have a material adverse effect on the Company’s business, properties or financial condition taken as a whole (a “Material Adverse Effect”). The Company is duly qualified to transact business in each jurisdiction in which
the failure to be so qualified would reasonably be expected to have a Material Adverse Effect. 
 (b) Capitalization.

 (i) As of the Issue Date, the authorized Capital Stock of the Company consists of: (a) 30,000,000 shares
of Preferred Stock, of which 8,000,000 shares have been designated Series A Convertible Preferred Stock and of which 7,965,000 shares of Series A Convertible Preferred Stock are issued and outstanding; and (b) 70,000,000 shares of Common Stock,
of which 15,859,981 shares are issued and outstanding. As of the Conversion Date, the capitalization of the Company shall be as set forth in the Financing Notice. 

(ii) As of the Issue Date, other than as set forth on Schedule 7(b), (a) there is not outstanding, nor is the
Company bound by, any subscriptions, options, preemptive rights, warrants, calls, commitments or agreements or rights, rights of first offer or first refusal, or rights of any character requiring the Company to issue or entitling any Person to
acquire any shares of Capital Stock or any other equity security of the Company, including any right of conversion or exchange under any outstanding security or other instrument, and the Company is not obligated to issue or transfer any shares of
Capital Stock or other equity interest for any purpose; (b) there are no outstanding obligations of the Company to repurchase, redeem or otherwise acquire any outstanding shares of Capital Stock or other equity interests in the Company; and
(c) no plan, purchase agreement, option or other agreement or understanding between the Company and any holder of any shares of Capital Stock or other equity interests or securities or rights exercisable or convertible for shares of Capital
Stock or other equity interests or securities provides for acceleration or other changes in the vesting provisions or other terms of such agreement or understanding as the result of the occurrence of any event. 

(c) Subsidiaries. The Company has no Subsidiaries. The Company is not a participant in any joint venture, partnership, or similar
arrangement. 
 (d) Authorization. All action for or on the part of the Company, its officers and directors necessary,
including without limitation, all action required by the Company’s stockholders, for the authorization, execution and delivery of this Note and the performance of all obligations of the Company

  
 8 

 
hereunder shall have been taken, and this Note will constitute a valid and legally binding obligation of the Company, enforceable in accordance with its terms, subject to: (i) judicial
principles limiting the availability of specific performance, injunctive relief, and other equitable remedies and (ii) bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect generally relating to or
affecting creditors’ rights. 
 (e) Valid Issuance of Conversion Shares Upon Conversion. Upon conversion in
accordance with the terms hereof, Brainlab will obtain good and valid title to the Conversion Shares to be issued upon conversion free and clear of any liens, restrictions, claims, equities, options, charges, rights of first refusal, or encumbrances
or other restrictions, except restrictions on transfer and other rights and limitations contained in the Company’s Certificate of Incorporation and except for restrictions imposed by applicable state and federal securities laws. 

(f) Required Consents. No consent, approval, order or authorization of, or registration, qualification, designation, declaration
or filing with, any Person, including, without limitation any, federal, state or local governmental authority on the part of the Company is required in connection with the offer, sale or issuance of this Note or the issuance of Conversion Shares
upon conversion as provided for herein, except for the following: (i) the filing of such notices as may be required under the Securities Act; (ii) the filing of such notices as may be required under any applicable state securities laws,
which, in the case of each of (i) and (ii), shall be filed by the Company (with the cooperation of Brainlab) following conversion within the applicable required timeframes; and (iii) the compliance with any other applicable state and/or
federal securities laws, which compliance the Company (with the cooperation of Brainlab) will arrange within the appropriate time periods therefore. 
 (g) Litigation. Other than as set forth on Schedule 7(g), there is no claim, action, suit, proceeding, arbitration, complaint, charge or investigation (“Action”) pending
(i) by, or to the best of the Company’s knowledge, against (A) the Company or (B) to the best of the Company’s knowledge, any officer or director of the Company arising out of such officer’s or director’s
employment or service to the Company; or (ii) that questions the validity of, or may materially and adversely impact Brainlab’s rights under, this Note. Other than as set forth on Schedule 7(g), neither the Company, nor, to the best
of the Company’s knowledge, any officer or director of the Company, is a party to or is named as subject to the provisions of any order, writ, injunction, judgment or decree of any governmental authority (collectively, an
“Order”) (in the case of officers or directors, such as would affect the Company). Other than as set forth on Schedule 7(g), to the best of the Company’s knowledge, (i) the Company has not received written notice of
a threatened Action or Order against the Company, and (ii) no event has occurred or circumstance exists that may give rise to or serve as a basis for the commencement or imposition of any such Action or Order. For purposes of this Note,
“Company’s knowledge” shall mean the actual knowledge, following due inquiry, of each of Kimble Jenkins, the Company’s Chief Executive Officer, and Oscar Thomas, the Company’s Vice President, Business Affairs.

 (h) Intellectual Property. 
 (i) For purposes of this Note, “Company Intellectual Property” shall mean all patents, patent rights, patent applications, trademarks and service marks, trademark rights, trademark
applications, service mark rights, service mark applications, trade names, registered copyrights, copyright rights, domain names and proprietary rights and trade secrets, technology and know-how, owned or used by the Company, that the Company
reasonably believes to be necessary to or used in connection with the business of the Company as presently conducted or as proposed to be conducted, in each case together with any amendments, modifications and supplements thereto. 

  
 9 

 (ii) The Company owns or possesses sufficient legal rights to all Company
Intellectual Property for the conduct of its business as presently conducted or as presently proposed to be conducted without, to the best of the Company’s knowledge, conflict with, or infringement of, the rights of others. To the best of the
Company’s knowledge, no service marketed or sold, or presently proposed to be marketed or sold, by the Company violates or will violate any license or infringes or will infringe any intellectual property rights of any Person. Other than as set
forth on Schedule 7(h)(ii) hereto, and other than with respect to commercially available software products under standard end-user object code license agreements, as of the Issue Date there are no outstanding options, licenses, agreements,
claims, encumbrances or shared ownership interests of any kind relating to the Company Intellectual Property, nor is the Company bound by or a party to any options, licenses or agreements of any kind with respect to the patents, trademarks, service
marks, trade names, copyrights, trade secrets, licenses, information, proprietary rights and processes of any other Person. Except as set forth on Schedule 7(h)(ii) hereto, the Company has not received any communications alleging that the
Company has violated or, by conducting its business, would violate any of the patents, trademarks, service marks, tradenames, copyrights, trade secrets, mask works or other proprietary rights or processes of any other Person. The Company has
obtained and possesses valid licenses to use all of the software programs present on the computers and other software-enabled electronic devices that it owns or leases or that it has otherwise provided to its employees for their use in connection
with its business. To the best of the Company’s knowledge, except as set forth in Schedule 7(h)(ii) hereto, the Company does not use any inventions of any of the officers, employees or consultants of the Company (or Persons the Company
currently intends to hire) made prior to their employment with or engagement by the Company. Except as set forth in Schedule 7(h)(ii) hereto, each officer, employee and consultant of the Company has assigned to the Company all intellectual
property rights he or she creates in the performance of services for the Company that are related to the business of the Company as now conducted and as presently proposed to be conducted by execution of a binding agreement with the Company.

 (i) No Violation of Law. Other than as set forth in Schedule 7(i), (i) the Company is not in violation, in
any material respect, of any applicable local, state or federal law, ordinance, regulation, order, injunction or decree, or any other requirement of any governmental body, agency or authority or court binding on it, or relating to its property or
business or its advertising, sales or pricing practices (including, without limitation, any state or federal banking laws and regulations, antitrust laws and regulations, or consumer protection laws or regulations), and (ii) the Company has
not, in any event, received any written notice of the existence of any of the foregoing. 
 (j) Compliance with Other
Instruments. The Company is not in violation or default of any provision of its Certificate of Incorporation or Bylaws. The Company is not in violation or default of any provision of any material instrument, mortgage, deed of trust, loan,
contract, commitment, judgment, decree, order or obligation to which it is a party or by which it or any of its properties or assets are bound which would reasonably be expected, individually or in the aggregate, to have a Material Adverse Effect.
The execution, delivery and performance of and compliance with this Note and the issuance of Conversion Shares upon conversion as provided herein, will not result in any such violation, be in conflict with or constitute, with or without the passage
of time or giving of notice, a default under any such provision, require any consent or waiver under any such provision (other than any consents or waivers that have been obtained), or result in the creation of any mortgage, pledge, lien,
encumbrance or charge upon any of the properties or assets of the Company pursuant to any such provision. 
 (k) Permits.
The Company has all permits, licenses, and any similar authority necessary for the conduct of its business as now being conducted by it, the lack of which would reasonably be expected to have a Material Adverse Effect. The Company is not in default
in any material respect under any of such permits, licenses, or other similar authority. 

  
 10 

 (l) Environmental and Safety Laws. The operations of the Company have been and are in
compliance in all respects with all Environmental Laws (defined below) applicable to the Company and with all licenses required by Environmental Laws applicable to the Company, except, in each case, such non-compliance as would not have a Material
Adverse Effect. For purposes of this Note, the term “Environmental Laws” shall mean all present federal, state and local laws, statutes, ordinances, regulations, codes, published policies, rules, directives, orders, decrees,
permits, licenses, approvals, authorizations, published guidelines, covenants, deed restrictions, treaties, conventions, and rules of common law in effect, and in each case as amended, and any judicial or administrative judgment, opinion or
interpretation thereof, relating to the regulation or protection of human health, safety, natural resources or the environment, including, without limitation, laws and regulations (and all other items recited above) relating to the use, treatment,
storage, management, handling, manufacture, generation, processing, recycling, distribution, transport, release or threatened release of or exposure to any hazardous material. 
 (m) Title to Property and Assets. The Company has good and marketable title to all of the material properties and assets owned by it, free and clear of any and all mortgages, liens, encroachments,
easements, restrictions, claims, equities, options, charges, rights of first refusal, encumbrances, defects of title or other conflicting ownership or security interests whatsoever (collectively, “Encumbrances”), except
(i) Liens for current taxes and assessments not yet due, (ii) Liens under the Senior Debt Documents, (iii) Liens under the Junior Debt Documents, (iv) Liens in favor of Brainlab as contemplated hereunder, and (v) possible
minor Encumbrances which do not, in any case, materially detract from the value of the property subject thereto or materially impair the operations of the Company (collectively, “Permitted Encumbrances”). With respect to any
material property and assets it leases, the Company is in material compliance with such leases and, to the best of its knowledge, holds a valid leasehold interest free of any and all Encumbrances, except for Permitted Encumbrances. The
Company’s material properties and assets are in good condition and repair, in all material respects, for the purposes for which they are currently used, ordinary wear and tear excepted. 

(n) Financial Statements. The unaudited financial statements of the Company for the fiscal year ended December 31, 2010
(consisting of a balance sheet and statement of operations) (collectively, the “Financial Statements”) have been provided to Brainlab. The Financial Statements (i) were prepared on an accrual basis, in accordance with the
Company’s past practices, applied on a consistent basis throughout the period indicated, (ii) are derived from and were prepared in accordance with the books and records of the Company, and (iii) fairly present in all material
respects the financial position of the Company at the date therein indicated and the results of operations of the Company for the period therein specified. The Company has no material liabilities of a kind that would be required under United
States generally accepted accounting principles to be reflected on the face of the Company’s balance sheet, other than (i) those set forth or adequately provided for in the December 31, 2010 balance sheet included in the Financial
Statements, (ii) those incurred in the conduct of the Company’s business since January 1, 2011 in the ordinary course, consistent with past practice, which are of the type that ordinarily occur or recur and, individually or in the
aggregate, are not material in nature or amount and do not result from any breach of contract, tort or violation of law, (iii) those set forth on Schedule 7(n) and (iv) liabilities arising pursuant to this Note. Except for
liabilities reflected in the Financial Statements, the Company has no off balance sheet liability of any nature to, or any financial interest in, any third party or entities, the purpose or effect of which is to defer, postpone, reduce or otherwise
avoid or adjust the recording of debt expenses incurred by the Company. Except as set forth on Schedule 7(n), since January 1, 2011, there have not been any materially adverse changes in the assets, liabilities, condition (financial or
otherwise), relationships (including with its customers, suppliers and employees), operations or prospects of the Company. 

  
 11 

 (o) Agreements; Actions. 

(i) Except for agreements set forth on Schedule 7(o)(i) hereto, there are no agreements, understandings or
proposed transactions between the Company and any of its officers, directors, affiliates, or any affiliate thereof. 
 (ii) Except as set forth on Schedule 7(o)(ii), there are no agreements, understandings, instruments, contracts, judgments, orders, writs or decrees to which the Company is a party or by which it is
bound that involve (i) provisions restricting the development, manufacture or distribution of the Company’s products or services or (ii) the payment of indemnification by the Company with respect to infringement of proprietary rights.

 (iii) Since January 1, 2011, the Company has not (i) incurred indebtedness for money borrowed, or
(ii) sold, exchanged or otherwise disposed of any of its assets or rights having an aggregate value of more than $50,000, other than the sale of its inventory and license agreements in the ordinary course of business. 

(p) Changes. Other than as set forth on Schedule 7(p), since January 1, 2011, there has not been: 

(i) any adverse change in the assets, liabilities, financial condition or operating results of the Company, from that
reflected in the Financial Statements, except for changes arising in the ordinary course of business that, individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect; 

(ii) any damage, destruction or loss of any asset or property of the Company having an aggregate value in excess of
$50,000, whether or not covered by insurance; 
 (iii) any waiver by the Company of a valuable right or of a debt
owed to it in excess of $50,000; 
 (iv) any satisfaction or discharge of any Encumbrance or payment of any
obligation by the Company, except in the ordinary course of business and the satisfaction or discharge of which would not have a Material Adverse Effect; 
 (v) any material change or amendment to any contract or agreement that could reasonably be expected to be material to the Company either in terms of revenue generated thereby or the liabilities incurred
by the Company thereunder; 
 (vi) any material change in any compensation arrangement or agreement with any key
employee; 
 (vii) any sale, assignment or transfer of any patents, trademarks, copyrights, trade secrets or
other intangible assets; 
 (viii) any resignation or termination of employment of any key employee or officer of
the Company (and to the best of Company’s knowledge, there is no impending resignation or termination of employment of any such key employee or officer); 

  
 12 

 (ix) the loss of any customer or the cancellation of any order of the
Company which has historically represented, or is expected to represent, revenue to the Company in excess of $5,000 per month or $50,000 in the aggregate nor any written notice thereof; 

(x) any mortgage, pledge, grant of a security interest in, or Encumbrance created by the Company, with respect to any of
its material properties or assets, except for Permitted Encumbrances; 
 (xi) any loans or guarantees made by the
Company to or for the benefit of any related party, or any members of their immediate families, other than travel advances and other advances made in the ordinary course of business; 

(xii) any declaration, set aside, payment or other distribution in respect of any of the Capital Stock of the Company, or
any direct or indirect redemption, purchase or other acquisition of any of such Capital Stock by the Company; 

(xiii) any other event or condition of any character that would have a Material Adverse Effect; or 

(xiv) any agreement or commitment by the Company to do any of the things described in this Section 7(p). 

(q) Employee Benefit Plans. 
 (i) Except as set forth in Schedule 7(q) hereto, the Company does not maintain, sponsor, or make contributions to: any “employee pension benefit plan” or “employee welfare benefit
plan,” as such terms are defined in the Employee Retirement Income Security Act of 1974, as amended, and all regulations promulgated thereunder (“ERISA”); any collective bargaining agreement; any severance agreement or plan, or
any medical, life or disability benefit plan or arrangement; any excess benefit plan, bonus or incentive plan, top hat plan or deferred compensation plan, salary reduction agreement, or change-of-control agreement; whether or not written with
respect to any employee, former employee, director, independent contractor, or any beneficiary or dependent thereof (all such plans, policies, programs, arrangements, agreements and contracts, including those that are set forth on Schedule
7(q) hereto are referred to in this Note as “Scheduled Plans”). 
 (ii) To the best of the
Company’s knowledge, each Scheduled Plan has been operated and administered in compliance in all material respects, and each Scheduled Plan currently complies in form and in operation in all material respects, with all applicable requirements
of ERISA, the Internal Revenue Code of 1986, as amended, and all regulations promulgated thereunder (the “Code”), and all other applicable laws. Neither the Company nor any controlled group affiliate, as described in Sections 414(b)
or (c) of the Code, has ever sponsored, maintained, contributed to or had any obligation to contribute to any plan subject to Section 412 of the Code or Title IV of ERISA. 

(r) Tax Returns, Payments and Elections. The Company has filed all material tax returns and reports (including information returns
and reports) as the Company is required by law to have filed, and such returns and reports are true and correct in all material respects. The Company has paid all material taxes and other assessments that have become due and payable. The Company has
not made any elections pursuant to the Code (other than elections that relate solely to methods of accounting, depreciation or amortization) that would have a Material Adverse Effect. Except as set forth in Schedule 7(r), the Company has
never had any material tax deficiency proposed or assessed against it and the Company has not executed any waiver of any statute of limitations on the assessment or collection of any tax or governmental charge. Except as set forth in Schedule
7(r), none of the federal income tax returns, 

  
 13 

 
state income or franchise tax or sales or use tax returns of the Company has ever been audited by governmental authorities. Since January 1, 2011, the Company has not incurred any taxes,
assessments or governmental charges other than in the ordinary course of business and the Company has made adequate provisions on its books of account for all material taxes, assessments and governmental charges with respect to its business,
properties and operations that have accrued but not yet been paid. Except as set forth in Schedule 7(r) hereto, the Company has withheld or collected from each payment made to each of its employees, the amount of all taxes (including, but not
limited to, federal income taxes, Federal Insurance Contribution Act taxes and Federal Unemployment Tax Act taxes) required to be withheld or collected therefrom, and has paid the same to the proper tax receiving officers or authorized depositories.

 (s) Labor Agreements and Actions; Employee Compensation. The Company is not bound by or subject to (and none of its
assets or properties is bound by or subject to) any written or oral, express or implied, contract, commitment or arrangement with any labor union, and no labor union has requested or, to the best of the Company’s knowledge, has sought to
represent any of the employees, representatives or agents of the Company. There is no strike or other labor dispute involving the Company pending, or to the best of the Company’s knowledge, threatened, that could have a Material Adverse Effect,
nor is the Company aware of any labor organization activity involving its employees. To the best of the Company’s knowledge none of its officers or key employees or any group of key employees intends to terminate their employment with the
Company, nor does the Company have a present intention to terminate the employment of any of the foregoing. The Company has complied in all material respects with all applicable state and federal equal employment opportunity laws. 

(t) Brokers or Finders. The Company has not agreed to incur, directly or indirectly, any liability for brokerage or finders’
fees, agents’ commissions or other similar charges in connection with this Note or any of the transactions contemplated hereby. 
 (u) Disclosure. Neither this Note nor any and all written statements furnished or made to Brainlab by or on behalf of the Company in connection with this Note, taken as a whole, and including any
corrective materials furnished or made available to Brainlab, contains any untrue statement of a material fact or omits or will omit to state a material fact necessary in order to make the statements contained herein and therein not materially
misleading in light of the circumstances under which they were made. 
 8. COVENANTS AND OTHER AGREEMENTS 

(a) Payment of Note. The Company shall promptly make all payments in respect of this Note on the dates and in the manner provided
in this Note. The Company shall, to the extent permitted by law, pay interest on overdue amounts at the rate set forth in Section 2 of this Note, which interest on overdue amounts (to the extent that the payment of such interest shall be
legally enforceable) shall accrue from the date such amounts become overdue. 
 (b) No Additional Indebtedness. During
the Term of this Note, other than the Senior Debt, the Company shall incur no new Indebtedness for borrowed money in excess of $250,000 individually or in the aggregate, except with the prior written consent of Brainlab which consent, in the case of
Indebtedness that is, by its terms, subordinate to Indebtedness owed to Brainlab, shall not unreasonably be withheld or delayed. 
 (c) Financial Reporting. As long as any amounts remain outstanding under this Note or, if this Note is converted, as long as Brainlab continues to hold at least 50% of the Conversion Shares issued
upon such conversion, the Company shall deliver to Brainlab (i) as soon as practicable after the end of each fiscal year of the Company, and in any event within 120 days thereafter, a balance sheet of the

  
 14 

 
Company and statement of stockholders’ equity as of the end of such year and statements of income and cash flow for such year, such year-end financial reports to be in reasonable detail,
prepared in accordance with generally accepted accounting principles, consistently applied (subject however to the absence of footnotes in the event the Company does not engage an independent certified public accounting firm to audit and certify
such financial statements); and (ii) as soon as practicable after the end of each fiscal quarter (except the last quarter of each fiscal year), and in any event within forty-five (45) days thereafter, an unaudited balance sheet of the
Company as of the end of such fiscal quarter, and an unaudited statement of income for each fiscal quarter and for the current fiscal year to date. 
 (d) Information and Inspection Rights. During the Term of this Note or, if this Note is converted, as long as Brainlab continues to hold at least 50% of the Conversion Shares issued upon such
conversion, in addition to any rights that may be available under Delaware or other applicable law, subject to the execution of a standard confidentiality agreement, Brainlab shall have the right, at its sole expense and upon reasonable prior notice
to the Company, to inspect and examine the Company’s properties, operations and books of account; provided, however, that any such inspection or examination shall be conducted in a manner that is reasonably designed to minimize any interference
with the operations of the Company’s business; provided, further, that the Company shall be under no obligation to provide, give access to or discuss with Brainlab any information regarding the Company’s properties, operations or books of
account to the extent necessary to comply with the terms and conditions of confidentiality agreements between the Company and any third parties or to the extent the Company has determined that there exists an actual or potential conflict of interest
between Brainlab and the Company. 
 (e) Board Observation Rights. During the Term of this Note or, if this Note is
converted, as long as Brainlab continues to hold at least 50% of the Conversion Shares issued upon such conversion, Brainlab shall be entitled to appoint one individual who shall be invited to attend and observe all meetings of the Company’s
board of directors or any committees created by the board; provided, however, that such board observer agrees to hold in confidence and trust, to act in a fiduciary manner with respect to and not to disclose any information provided to or learned by
the board observer acting in such capacity. Notwithstanding the provisions of this Section 8(e), the Company reserves the right to exclude the board observer from portions of any meeting where and to the extent that the Company reasonably
believes that excluding the board observer from attending such portion of the meeting is reasonably necessary (i) to preserve attorney-client, work product or similar privilege between the Company and its counsel with respect to any matter,
(ii) to comply with the terms and conditions of confidentiality agreements between the Company and any third parties, or (iii) because the Company has determined, in good faith, that there exists, with respect to the subject of such
deliberation or such information, an actual or potential conflict of interest between Brainlab and the Company. Furthermore, the members of the Company’s board of directors shall be entitled to hold reasonable executive sessions which the board
observer may not be invited to attend. Brainlab’s board observer shall use the same degree of care to protect the Company’s confidential and proprietary information as Brainlab uses to protect its confidential and proprietary information
of like nature, but in no circumstances with less than reasonable care. 
 (f) Further Instruments and Acts. Upon the
reasonable request of Brainlab, the Company will execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the provisions of this Note. 

  
 15 

 9. DEFAULTS AND REMEDIES 

(a) Events of Default. Each of the following shall be an “Event of Default” for purposes of this Note:

 (1) unless this Note is converted pursuant to Section 4 hereof, failure to pay principal of or interest
on this Note on the dates specified in Section 2 hereof, to and including the Maturity Date; 
 (2) failure
to perform any other covenant, representation, warranty or agreement of the Company under this Note, continued for 30 days or more after written notice to the Company by Brainlab; 

(3) there shall be, with respect to any issue or issues of Indebtedness (other than Indebtedness created or as a result of
this Note) of the Company or any of its Subsidiaries, whether such Indebtedness now exists or shall hereafter be created, (x) an event of default that has caused the holders thereof (or their representatives) (i) to declare such
Indebtedness to be due and payable prior to its scheduled maturity and such Indebtedness has not been discharged in full or such acceleration has not been rescinded or annulled within 45 days following such acceleration and/or (ii) to commence
judicial proceedings to exercise remedies under applicable law and such judicial proceedings have not been dismissed or stayed within 45 days following such commencement and/or (y) the failure to make a principal payment at the final (but not
any interim) fixed maturity and such defaulted payment shall not have been made, waived or extended within 45 days of such payment default; 
 (4) except for judgments related to matters disclosed on the schedules to this Note, the rendering of a final judgment or judgments against the Company or any of its Subsidiaries in an amount that exceeds
$500,000 in excess of insurance coverage, which judgment remains in force, undischarged, unsatisfied, unbonded or unstayed for a period of 60 days; 
 (5) the Company or any of its Subsidiaries pursuant to or within the meaning of any Bankruptcy Law: 
 (A) admits in writing its inability to pay its debts generally as they become due, 
 (B) commences a voluntary case or proceeding, 
 (C) consents to the
entry of an order for relief against it in an involuntary case or proceeding, 
 (D) consents or acquiesces in
the institution of a bankruptcy or insolvency proceeding against it, 
 (E) consents to the appointment of a
custodian of it or for all or substantially all of its property, or 
 (F) makes a general assignment for the
benefit of its creditors, or any of them takes any action to authorize or effect any of the foregoing; 
 (6) a
court of competent jurisdiction enters an order or decree under any Bankruptcy Law that: 
 (A) is for relief
against the Company or any of its Subsidiaries in an involuntary case or proceeding, 
 (B) appoints a custodian
for the Company or any of its Subsidiaries or for all or substantially all of their property, or 

  
 16 

 (C) orders the liquidation of the Company or any of its Subsidiaries, and in
each case the order or decree remains unstayed and in effect for 60 days; provided, however, that if the entry of such order or decree is appealed and dismissed on appeal, then the Event of Default hereunder by reason of the entry of
such order or decree shall be deemed to have been cured; 
 (7) failure to consummate a Qualified Financing
within 180 days following the date of this Note; 
 (8) failure to issue Conversion Shares when such Conversion
Shares are required to be delivered, upon conversion of this Note and such failure is not remedied for a period of 10 Business Days; 
 (9) a breach of any the representations and warranties contained in this Note that is not remedied within 30 days following the Company’s receipt of a notice of such breach from Brainlab; or

 (10) a breach or default by the Company of or under any of the terms of any other agreement between the
Company and Brainlab or any affiliate of Brainlab that is not remedied within 30 days following the Company’s receipt of a notice of such breach from Brainlab. 
 (b) Acceleration. If an Event of Default with respect to this Note (other than an Event of Default specified in clause (5) or (6) of Section 9(a) with respect to the Company) occurs
and is continuing, Brainlab by notice in writing to the Company may declare the unpaid principal of and accrued interest to the date of acceleration on this Note to be due and payable immediately and, upon any such declaration, such principal amount
and accrued interest, notwithstanding anything contained in this Note to the contrary, will become immediately due and payable. If an Event of Default specified in clause (5) or (6) of Section 9(a) with respect to the Company occurs,
this Note will ipso facto become immediately due and payable without any declaration or other act on the part of Brainlab. 

(c) Remedies. If an Event of Default occurs and is continuing, Brainlab may pursue any available remedy by proceeding at law or in
equity to collect the payment of principal of or interest on this Note or to enforce the performance of any provision of this Note. A delay or omission by Brainlab in exercising any right or remedy maturing upon an Event of Default shall not impair
the right or remedy or constitute a waiver of or acquiescence in the Event of Default. No remedy is exclusive of any other remedy. All available remedies are cumulative to the extent permitted by law. 

(d) Waiver of Usury, Stay or Extension Laws. The Company covenants (to the extent that it may lawfully do so) that it will not at
any time insist upon, or plead, or in any manner whatsoever claim or take the benefit or advantage of, any usury, stay or extension law wherever enacted, now or at any time hereafter in force, which may affect the covenants or the performance of
this Note; and the Company (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law and covenants that it will not hinder, delay or impede the execution of any power herein granted to the Company,
but will suffer and permit the execution of every such power as though no such law had been enacted. 
 10. EXCHANGE; TAXES; LEGEND;
REPLACEMENT 
 (a) Exchange. For so long as this Note is outstanding and unless this Note is converted pursuant
to Section 4, at the option of Brainlab, and subject to the other provisions of this Note, this Note may be exchanged for other promissory notes of a like aggregate principal amount and subject to substantially the same terms and conditions as
set forth in this Note, executed by the Company, upon surrender of this Note to the Company. 

  
 17 

 (b) Payment of Taxes. Notwithstanding any other provision of this Section 10, no
transfer of this Note shall be permitted, and no registration of transfer shall be effected unless, prior to the time of such transfer or registration of transfer, Brainlab has made arrangements reasonably satisfactory to the Company for payment or
reimbursement of any and all Taxes which would, in the absence of payment by the transferor, be required to be paid by the Company as a result of such transfer. No service charge shall be made for any registration of transfer or exchange.

 (c) Legend. Except as permitted by Section 10(e), this Note (and all promissory notes issued in exchange therefor
or substitution of this Note) shall, so long as appropriate, bear a legend (the “Legend”) to substantially the following effect (each, a “Transfer Restricted Security”): 

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), AND MAY NOT BE SOLD, ASSIGNED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED EXCEPT IN A TRANSACTION WHICH IS REGISTERED UNDER THE SECURITIES ACT, OR IN A TRANSACTION WHICH IS EXEMPT FROM OR NOT SUBJECT TO THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. ADDITIONALLY, THE TRANSFER OF THIS NOTE IS SUBJECT TO THE CONDITIONS SPECIFIED IN THIS NOTE, AND THE MAKER HEREOF RESERVES THE RIGHT TO REFUSE THE TRANSFER OF THIS NOTE UNTIL SUCH CONDITIONS HAVE BEEN
FULFILLED WITH RESPECT TO SUCH TRANSFER. 
 (d) Removal of Legend. At such time as any Transfer Restricted Security
may be freely transferred without registration under the Securities Act and without being subject to transfer restrictions pursuant to the Securities Act, the Company shall permit the holder of such Transfer Restricted Security to exchange such
Transfer Restricted Security for a new Note which does not bear the applicable portion of the Legend upon receipt of an appropriate certification from such holder and, at the request of the Company, upon receipt of an opinion of counsel, reasonably
acceptable to the Company, that the transfer restrictions contained in the Legend are no longer applicable. 
 (e)
Replacement of Lost, Stolen or Destroyed Note. Upon receipt of an executed lost note affidavit in form and substance satisfactory to the Company regarding the loss, theft, destruction, or mutilation of this Note and, if requested by the
Company in the case of any such loss, theft or destruction, upon delivery of an indemnity bond or other agreement or security reasonably satisfactory to the Company, or, in the case of any such mutilation, upon surrender and cancellation of this
Note, the Company will issue a new Note, of like tenor, in the amount of unpaid principal of this Note, in lieu of such lost, stolen, destroyed or mutilated Note. 
 11. MISCELLANEOUS 
 (a) Notices. All notices (including the
Conversion Notice, if any), consents, waivers and other communications required or permitted by this Note shall be in writing and shall be deemed given to a party when (a) delivered to the appropriate address by hand, (b) one
(1) Business Day following delivery to a nationally recognized overnight courier service (costs prepaid), or (c) received or rejected by 

  
 18 

 
the addressee, if sent by certified mail, return receipt requested, in each case to the following addresses and marked to the attention of the person (by name or title) designated below (or to
such other address or person as a party may designate by notice to the other party): 
  

			
	 the Company:
	  	 SurgiVision, Inc.

Attention: Chief Financial Officer
 One Commerce
Square
 Suite 2550
 Memphis, TN
38103

		
	 With copy to:
	  	 SurgiVision, Inc.

Attention: VP, Business Affairs
 One Commerce
Square
 Suite 2550
 Memphis, TN
38103

		
	 Brainlab:
	  	 Brainlab AG.
 Attention:
Chief Financial Officer
 Kapellenstr. 12,
 85622 Feldkirchen, Germany

		
	 With copy to:
	  	 Legal Department
 Attention:
General Counsel, Brainlab AG
 Kapellenstr. 12,
 85622 Feldkirchen, Germany

 (b) Successors. All agreements of the Company in this Note shall bind its successor. 

(c) Severability. Each provision of this Note shall be considered separable and if for any reason any provision which is not
essential to the effectuation of the basic purpose of this Note shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 

(d) Applicable Law; Dispute Resolution. This Note shall be construed and enforced in accordance with, and all questions concerning
the construction, validity, interpretation and performance of this Note shall be governed by, the internal laws of the State of Delaware, without giving effect to provisions thereof regarding conflict of laws. The parties hereby submit to the
exclusive jurisdiction of any state or federal court located within the State of Delaware, over any dispute arising out of or relating to this Note or any of the transactions contemplated hereby, and further agree that venue for all such matters
shall lie exclusively in those courts and that process for any such action or proceeding may be served on any party anywhere in the world. The parties hereby irrevocably waive, to the fullest extent permitted by applicable law, any objection which
they may now or hereafter have, including, but not limited to, any claim of forum non conveniens, to venue in the courts noted above. Each of the parties agrees that a judgment in any such dispute may be enforced in other jurisdictions by suit on
the judgment or in any other manner provided by law. Each of the parties hereto hereby agrees that this Note involves at least One Hundred Thousand Dollars ($100,000), and that it has been entered into in express reliance on 6 Del. C. § 2708.
EACH OF THE PARTIES HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES ITS RIGHT TO A TRIAL BY JURY in any dispute, and consents to any and all relief ordered by the court, after the time for appeal has expired. 

  
 19 

 (e) Time is of the Essence. The Company hereby agrees that time is of the essence in
the performance of this Note. 
 (f) No Third Party Beneficiaries. This Note is for the sole benefit of the parties
hereto and nothing herein, express or implied, is intended to or shall confer upon any other Person any legal or equitable benefit, claim, cause of action, remedy or right of any kind. 

[Signature Page Follows] 

  
 20 

 [Signature Page to 10% Subordinated Secured Convertible Note Due 2016]

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

			
	SURGIVISION, INC.
		
	By:	 	/s/ Kimble Jenkins
	Name:	 	Kimble Jenkins
	Title:	 	CEO

  

			
	Acknowledged, accepted and agreed to as of the date set forth above:
	
	BRAINLAB AG
		
	By:	 	/s/ Joseph Doyle
	Name:	 	Joseph Doyle
	Title:	 	CFO

 Acknowledged, accepted and agreed to as of the date set forth above with respect to Section 6(b) hereof on behalf of
the Junior Lender: 
  

			
	LANDMARK COMMUNITY BANK
	as collateral agent for the ratable benefit of the Junior Lender
		
	By:	 	/s/ William Bryan Jones
	Name:	 	William Bryan Jones
	Title:	 	S.V.P.

  
 21 

 DISCLOSURE SCHEDULES 
 AS MADE PART OF THE 
 10% SUBORDINATED SECURED 

CONVERTIBLE NOTE DUE 2016 
 ISSUED BY 
 SURGIVISION, INC. 

IN FAVOR OF 

BRAINLAB AG. 

DATED AS OF APRIL 5, 2011 

Except as otherwise defined herein, capitalized terms in these schedules shall have the meanings ascribed to those terms in the above-referenced 10%
Subordinated Secured Convertible Note Due 2016 (the “Note”). 

 Schedule 7(b) 
 Capitalization 
 There are presently 3,759,977 shares of SurgiVision’s
common stock, par value $0.01 per share (the “Common Stock”), issuable upon exercise of outstanding options. The options issued by SurgiVision provide for acceleration of the applicable vesting schedules upon the occurrence of a
“Change of Control” event. The circumstances that constitute a “Change of Control” are set forth in the applicable option agreement or the applicable stock option plan under which the option was granted. Certain options issued to
SurgiVision’s directors and executive officers will become exercisable only if SurgiVision closes one or more equity financings that result in certain minimum cash proceeds. 

There are presently 435,984 shares of Common Stock issuable upon exercise of outstanding warrants. 

As provided in the Company’s certificate of incorporation (as amended and restated to date, the “COI”), shares of
SurgiVision’s Series A Convertible Preferred Stock are convertible into shares of Common Stock. 
 The Senior Notes are
convertible into shares of Capital Stock in accordance with the terms thereof. 
 In March 2010, SurgiVision issued certain
unsecured convertible notes in the aggregate principal amount of $4,071,000 in a private placement transaction. Such notes are convertible into shares of Common Stock. 
 The Note is convertible into shares of Capital Stock in accordance with the terms thereof. 

 Schedule 7(g) 
 Litigation 
 On April 22, 2010, SurgiVision Consultants, Inc. and Guy
M. Kezirian (collectively, the “Plaintiffs”) filed a lawsuit against SurgiVision in the United States District Court, Central District of California, alleging trademark infringement, unfair competition, trademark dilution and
violation of the Anti-Cybersquatting Protection Act, all relating to SurgiVision’s use of its “SURGI-VISION” and “SURGIVISION” trademarks and its “surgivision.com” domain name. SurgiVision and the Plaintiffs
entered into a binding settlement agreement on February 16, 2011, and an order dismissing the litigation was entered on February 18, 2011. 

 Schedule 7(h)(ii) 

Intellectual Property 
 SurgiVision has in place five exclusive license agreements with The Johns Hopkins University. 
 In December 2005, SurgiVision entered into a development agreement and license agreement with an affiliate of Boston Scientific Corporation in the implantable neurological field. 

In July 2007, SurgiVision entered into a master service and license agreement with Cedara Software Corp. (d/b/a Merge OEM). 

In July 2007, we entered into a research agreement with The University of Utah (“Utah”). In return for the funding
provided by SurgiVision for Utah’s research activities, Utah granted SurgiVision a non-exclusive, worldwide license to any intellectual property created or conceived by Utah personnel in the performance of the research. In addition, SurgiVision
also received the first option to license exclusively any such intellectual property. 
 In August 2007, SurgiVision entered
into a research agreement with the University of California, San Francisco (“UCSF”). In return for SurgiVision’s financial support of UCSF’s research, SurgiVision received the first option to license, exclusively or
non-exclusively, any intellectual property conceived or created by UCSF personnel under the research project. 
 In March 2008,
SurgiVision entered into a development agreement and license agreement with an affiliate of Boston Scientific Corporation in the field of implantable medical leads for cardiac applications. 

In April 2009, we entered into a patent license agreement with the National Institutes of Health, or NIH, that covers techniques for
three dimensional renderings of the patient’s anatomy from MRI data in real time. The techniques underlying this patent may be used in the development of SurgiVision’s ClearTrace system. 

In May 2009, SurgiVision entered into a license agreement with Georg Thieme Verlag with respect to an electronic brain atlas. 

In May 2009, SurgiVision entered into a cooperation and development agreement with Siemens Healthcare to develop the hardware and MRI
software systems for MRI-guided, catheter-based ablation to treat cardiac arrhythmias. 
 On April 22, 2010, SurgiVision
Consultants, Inc. and Guy M. Kezirian (collectively, the “Plaintiffs”) filed a lawsuit against SurgiVision in the United States District Court, Central District of California, alleging trademark infringement, unfair competition,
trademark dilution and violation of the Anti-Cybersquatting Protection Act, all relating to SurgiVision’s use of its “SURGI-VISION” and “SURGIVISION” trademarks and its “surgivision.com” domain name. SurgiVision
and the Plaintiffs entered into a binding settlement agreement on February 16, 2011, and an order dismissing the litigation was entered on February 18, 2011. 

 Schedule 7(i) 
 No Violation of Law 
 None 

 Schedule 7(n) 
 Financial Statements 
 On April 22, 2010, SurgiVision Consultants,
Inc. and Guy M. Kezirian (collectively, the “Plaintiffs”) filed a lawsuit against SurgiVision in the United States District Court, Central District of California, alleging trademark infringement, unfair competition, trademark
dilution and violation of the Anti-Cybersquatting Protection Act, all relating to SurgiVision’s use of its “SURGI-VISION” and “SURGIVISION” trademarks and its “surgivision.com” domain name. SurgiVision and the
Plaintiffs entered into a binding settlement agreement on February 16, 2011, and an order dismissing the litigation was entered on February 18, 2011. The amount of the financial settlement is not reflected in the balance sheet included in
the Financial Statements. 

 Schedule 7(o)(i) 

Agreements; Actions 
 SurgiVision has adopted certain compensation practices for its non-employee directors. 
 Each of SurgiVision’s officers is an employee of the company. 
 SurgiVision
has issued stock options to each of its directors and officers. 
 In April 2010, SurgiVision entered into a separation
agreement with Mr. John C. Thomas, Jr., who previously served as our Chief Financial Officer. Under the separation agreement, Mr. Thomas ceased to be a SurgiVision employee, SurgiVision agreed to pay Mr. Thomas certain severance,
and Mr. Thomas agreed to consult and cooperate with SurgiVision in connection with the orderly transition of his business responsibilities to a new Chief Financial Officer. Mr. Thomas continues to serve as a director of the company.

 SurgiVision adopted its Key Personnel Incentive Program to provide a key employee and consultant with the opportunity to
receive incentive bonus payments based on future performance of services to the company or upon a consummation of a sale transaction. The compensation committee of SurgiVision’s Board of Directors is responsible for administering the program,
and the only participants in the program are Paul A. Bottomley and Parag Karmarkar. Dr. Bottomley is a director of the company. 

 Schedule 7(o)(ii) 

Agreements; Actions 
 None 

 Schedule 7(p) 
 Changes 
 On April 22, 2010, SurgiVision Consultants, Inc. and Guy M.
Kezirian (collectively, the “Plaintiffs”) filed a lawsuit against SurgiVision in the United States District Court, Central District of California, alleging trademark infringement, unfair competition, trademark dilution and violation
of the Anti-Cybersquatting Protection Act, all relating to SurgiVision’s use of its “SURGI-VISION” and “SURGIVISION” trademarks and its “surgivision.com” domain name. SurgiVision and the Plaintiffs entered into a
binding settlement agreement on February 16, 2011, and an order dismissing the litigation was entered on February 18, 2011. The amount of the financial settlement is not reflected in the Financial Statements. Pursuant to the settlement
agreement, SurgiVision also abandoned the registrations for its “SURGI-VISION” and “SURGIVISION” trademarks, and it transferred to the Plaintiffs the “surgivision.com” domain name. 

 Schedule 7(q) 
 Employee Benefit Plans 
 SurgiVision utilizes ADP Total Source as a
Professional Employer Organization. As such, SurgiVision’s employees are co-employed through ADP. ADP administers and maintains the benefit plans in which SurgiVision’s employees participate. The benefits made available to
SurgiVision’s employees through ADP include a 401(k) plan, medical insurance, life insurance, long-term disability coverage, and flexible spending accounts for health care and dependent care costs. SurgiVision does not match contributions made
by participants in the 401(k) plan. 
 In April 2010, SurgiVision entered into a separation agreement with Mr. John C.
Thomas, Jr., who previously served as our Chief Financial Officer. Under the separation agreement, Mr. Thomas ceased to be a SurgiVision employee, SurgiVision agreed to pay Mr. Thomas certain severance, and Mr. Thomas agreed to
consult and cooperate with SurgiVision in connection with the orderly transition of his business responsibilities to a new Chief Financial Officer. Mr. Thomas continues to serve as a director of the company. 

SurgiVision adopted its Key Personnel Incentive Program to provide a key employee and consultant with the opportunity to receive
incentive bonus payments based on future performance of services to the company or upon a consummation of a sale transaction. The compensation committee of SurgiVision’s Board of Directors is responsible for administering the program, and the
only participants in the program are Paul A. Bottomley and Parag Karmarkar. Dr. Bottomley is a director of the company. 

SurgiVision adopted its Cardiac EP Business Participation Plan to enable it to provide a key product development advisor and consultant
with financial rewards in the event SurgiVision sells its cardiac EP business operations. SurgiVision’s cardiac EP business operations include its operations relating to the ClearTrace system for MRI-guided cardiac ablation to treat cardiac
arrhythmias, but it does not include SurgiVision’s operations relating to its ClearPoint system, its SafeLead Development Program or any other product or product candidate. The sole participant in the plan is Dr. Nassir F. Marrouche.

 SurgiVision has two plans under which it is currently issuing stock option awards, the 2010 Incentive Compensation Plan and
the 2010 Non-Qualified Stock Option Plan. Although there are options outstanding under SurgiVision’s 2007 Stock Incentive Plan and 1998 Stock Option Plan, no new awards may be granted under those plans. 

SurgiVision has implemented a ClearPoint Sales Incentive Program that covers SurgiVision’s Vice President, Sales and Sales
Representatives. 

 Schedule 7(r) 
 Tax Returns, Payments and Elections 
 None 

 FIRST AMENDMENT TO 

10% SUBORDINATED SECURED CONVERTIBLE NOTE DUE 2016 
 This FIRST AMENDMENT (this “Amendment”) is made effective as of September 30, 2011 and is made in reference to that certain 10% Subordinated Secured Convertible Note Due 2016
(the “Note”) issued by MRI Interventions, Inc. f/k/a SurgiVision, Inc., a Delaware corporation (the “Company”), and payable to Brainlab AG, a corporation organized under the laws of the Federal Republic of Germany
(“Brainlab”). 
 WHEREAS, the Company previously issued the Note to Brainlab; and 

WHEREAS, the Company and Brainlab desire to amend the terms of the Note; 

NOW, THEREFORE, the Note is hereby amended as set forth below: 

1. Defined Terms. Capitalized terms used in this Amendment without definition shall have the same meanings ascribed to such terms
in the Note. 
 2. Amendment to Section 4 (Conversion). Section 4 of the Note (Conversion) is hereby amended by
deleting paragraph (a)(iv) in its entirety and substituting the following therefor: 
 “(iv) Subject to the
adjustments provided by this Section 4, the “Conversion Price” shall be the lesser of (A) the price per share paid by investors in the Qualified Financing for one share of Qualified Financing Stock, or (B) $0.60 per
share. 
 3. Amendment to Section 9 (Defaults and Remedies). Section 9 of the Note (Defaults and Remedies) is
hereby amended by deleting clause (7) of paragraph (a) thereof and substituting the following therefor: 
 “(7) failure to consummate a Qualified Financing within 360 days following the date of this Note;” 
 4. Miscellaneous. On and after the date hereof, reference in the Note to “this Note”, “hereunder”, “hereof”, “herein” or words of like import referring to
such Note shall mean and be a reference to the Note as amended by this Amendment. Except as expressly provided in this Amendment, all other terms, conditions and provisions of the Note shall continue in full force and effect as provided therein.

 [The next page is the signature page] 

 IN WITNESS WHEREOF, the Company has executed, acknowledged and delivered this
Amendment as of the day and year first above written. 
  

			
	MRI INTERVENTIONS, INC.
		
	By:	 	/s/ Oscar Thomas
	Name:	 	Oscar Thomas
	Title:	 	Vice President, Business Affairs

  

			
	 Acknowledged, accepted and agreed to
 as of the date set forth above:

	
	BRAINLAB AG
		
	By:	 	/s/ Joseph Doyle
	Name:	 	Joseph Doyle
	Title:	 	CFO

 SECOND AMENDMENT TO 

10% SUBORDINATED SECURED CONVERTIBLE NOTE DUE 2016 
 This SECOND AMENDMENT (this “Amendment”) is made effective as of February 23, 2012 and is made in reference to that certain 10% Subordinated Secured Convertible Note Due 2016
issued by MRI Interventions, Inc. f/k/a SurgiVision, Inc., a Delaware corporation (the “Company”), and payable to Brainlab AG, a corporation organized under the laws of the Federal Republic of Germany (“Brainlab”),
as amended by that certain First Amendment made effective as of September 30, 2011 (as amended, the “Note”). 
 WHEREAS, the Company previously issued the Note to Brainlab; and 

WHEREAS, the Company and Brainlab desire to amend the terms of the Note as hereinafter provided; 

NOW, THEREFORE, the Note is hereby amended as set forth below: 

1. Defined Terms. Capitalized terms used in this Amendment without definition shall have the same meanings ascribed to such terms
in the Note. 
 2. Amendment to Section 1 (Definitions). 

(a) Section 1 of the Note (Definitions) is hereby amended by deleting the definitions of the terms “Conversion Shares” and
“Senior Notes” and substituting the following therefor: 
 “Conversion Shares” means shares of Common
Stock or Qualified Financing Stock, as applicable, to be issued in connection with the conversion of this Note. 

“Senior Notes” means those certain Amended and Restated Secured Convertible Promissory Notes issued by the Company to
Boston Scientific Corporation dated as of October 16, 2009, November 17, 2009 and December 18, 2009, respectively, and restated as of February 2, 2012, in the aggregate original principal amount of $4,338,601.24, and any
amendments thereto or restatements or extensions thereof. 
 (b) Section 1 of the Note (Definitions) is hereby further
amended by adding the following new defined terms thereto: 
 “Common Stock” means the Company’s common
stock, par value $0.01 per share. 
 “Subordination Agreement” means the subordination agreement dated as of
February 23, 2012, among the Senior Lender, Brainlab and the Company. 

  
 1 

 3. Amendment to Section 4 (Conversion). 

(a) Section 4 of the Note (Conversion) is hereby amended by deleting paragraph (a)(iv) in its entirety and substituting the
following therefor: 
 “(iv) Subject to the adjustments provided by this Section 4, the “Conversion
Price” shall be (a) in the case of Section 4(a)(ii), the lesser of (1) the price per share paid by investors in the Qualified Financing for one share of Qualified Financing Stock, or (B) $0.60 per share, or (b) in
the case of Section 4(a)(vi), $0.60 per share. 
 (b) Section 4 of the Note (Conversion) is hereby amended by adding
the following a new paragraph (a)(vi) thereto: 
 “(vi) Notwithstanding any of the foregoing to the contrary, subject to
earlier payment or conversion as provided for elsewhere in this Note, the entire outstanding principal amount of this Note, together with all accrued but unpaid interest thereon, may be converted into shares of Common Stock at the option of Brainlab
at any time on or before February 23, 2013.” 
 4. Amendment to Section 6 (Subordination). Section 6
of the Note (Subordination) is hereby amended by deleting paragraph (a) in its entirety and substituting the following therefor: 
 “(a) Notwithstanding any provision herein to the contrary, Brainlab hereby agrees that the obligations of the Company to Brainlab hereunder shall be subordinated in all respects, including in right
of payment, to the Senior Debt and that Brainlab shall not be entitled to receive any payment from the Company hereunder until the Senior Debt has been discharged in full. The holder of this Note, whether upon original issue or upon transfer or
assignment hereof, by such holder’s acceptance hereof, agrees that this Note shall be subject to the provisions of the Subordination Agreement.” 
 5. Amendment to Section 9 (Defaults and Remedies). 
 (a)
Section 9 of the Note (Defaults and Remedies) is hereby amended by deleting clause (7) of paragraph (a) in its entirety. 
 (b) Section 9 of the Note (Defaults and Remedies) is hereby further amended by deleting paragraph (b) in its entirety and substituting the following therefor: 

“(b) Acceleration. If an Event of Default with respect to this Note (other than an Event of Default specified in clause
(5) or (6) of Section 9(a) with respect to the Company) occurs and is continuing, Brainlab by notice in writing to the Company may declare the unpaid principal of and accrued interest to the date of acceleration on this Note to be due
and payable immediately and, upon any such declaration, such principal amount and accrued interest, notwithstanding anything contained in this Note to the contrary, will become immediately due and payable, subject, however, to Section 6(a) and
the Subordination Agreement. If an Event of Default specified in clause (5) or (6) of Section 9(a) with respect to the Company occurs, this 

  
 2 

 
Note will ipso facto become immediately due and payable without any declaration or other act on the part of Brainlab, subject, however, to Section 6(a) hereof and the Subordination
Agreement.” 
 (c) Section 9 of the Note (Defaults and Remedies) is hereby further amended by deleting the first
sentence of paragraph (c) in its entirety and substituting the following therefor: 
 “Subject to Section 6(a)
and the Subordination Agreement, if an Event of Default occurs and is continuing, Brainlab may pursue any available remedy by proceeding at law or in equity to collect the payment of principal of or interest on this Note or to enforce the
performance of any provision of this Note.” 
 6. Miscellaneous. On and after the date hereof, reference in the Note
to “this Note”, “hereunder”, “hereof”, “herein” or words of like import referring to such Note shall mean and be a reference to the Note as amended by this Amendment. Except as expressly provided in this
Amendment, all other terms, conditions and provisions of the Note shall continue in full force and effect as provided therein. 

[The next page is the signature page] 

  
 3 

 IN WITNESS WHEREOF, the Company has executed, acknowledged and delivered this
Amendment as of the day and year first above written. 
  

			
	MRI INTERVENTIONS, INC.
		
	By:	 	/s/ Kim Jenkins
	Name:	 	 Kim Jenkins

	Title:	 	 CEO

 Acknowledged, accepted and agreed to 
 as of the date set forth above: 
  

			
	BRAINLAB AG
		
	By:	 	/s/ Stefan Vilsmeier
	Name:	 	 Stefan Vilsmeier

	Title:	 	 CEO

  
 4

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