Document:

STOCK
      EXCHANGE AGREEMENT

    

    THIS
      STOCK EXCHANGE AGREEMENT (the “Agreement”), dated as of the 28th day
      of April, 2008, is by and between Decorize, Inc., a Delaware corporation (the
      “Company”), and James K. Parsons, an individual (“Parsons”).

    

    WHEREAS,
      on June 15, 2001, the Company issued to Parsons that certain Promissory Note
      in
      the original principal amount of $925,000.00, which was amended by certain
      Note
      Modification Agreements to extend the applicable maturity date and was further
      amended by that certain Amended and Restated Promissory Note in the original
      principal amount of $609,467.69 on May 5, 2006 (collectively, the “Note”);
      and

    

    WHEREAS,
      the Company desires to issue and sell to Parsons, and Parsons desires to
      purchase from the Company, 1,500,000 shares (the “Shares”) of the common stock,
      $0.001 par value per share, of the Company (“Common Stock”), in exchange for a
      reduction of the principal balance of the Note, as further set forth
      below;

    

    NOW,
      THERFORE, in consideration of the premises and the mutual covenants and
      agreements herein contained, the parties hereto agree as follows:

    

    
      	1.	
              PURCHASE
                AND SALE

            

    

    

    
      	
            	1.1.	
              Sale
                of Shares.
                Upon the terms and subject to the conditions set forth in this Agreement,
                the Company hereby agrees to issue the Shares to Parsons upon the
                receipt
                of the consideration described herein, and Parsons hereby agrees
                to
                purchase from the Company, all right, title and interest in and to
                all of
                the Shares, free of all liens, claims and
                encumbrances.

            

    

    

    
      	
            	1.2.	
              Consideration.
                The aggregate purchase price for the Shares is the sum of $300,000.00
                (the
                “Purchase Price”), at a price of $0.20 per share, which shall be paid by
                applying the Purchase Price against the outstanding principal balance
                of
                the Note. The reduction in the outstanding principal balance of the
                Note
                shall be evidenced by the issuance of a Second Amended and Restated
                Promissory Note, in the form of Exhibit A to this Agreement (the
“New
                Note”), which shall be issued in full replacement and substitution for
                the
                Note. Upon issuance of the New Note and the Shares, the Note shall
                cease
                to be of any further force or
                effect.

            

    

    

    
      	
            	1.3.	
              Closing
                Procedure.
                Concurrent with the execution of this Agreement, the Company shall
                deliver
                to Parsons stock certificate(s) representing the Shares, issued in
                the
                name of Parsons and this Agreement (the “Closing Documents”). All actions
                taken on the date hereof with respect to the transactions contemplated
                hereunder shall be deemed to have been taken simultaneously at the
                time
                the last of any such actions is taken or
                completed.

            

    

     

    
      	
            	1.4.	
              Removal
                of Restrictive Legends.
                In connection with any proposed sale of the Shares, any legend endorsed
                on
                a certificate pursuant to Section 3.2(d) and any related stop transfer
                instructions with respect to any Shares shall be removed, and the
                Company
                shall within ten (10) business days request its transfer agent to
                issue
                promptly a certificate without such legend to the holder thereof,
                if (i)
                such Shares shall be registered under the Securities Act of 1933,
                as
                amended (the “Securities Act”), (ii) such legend may be properly removed
                under the terms of Rule 144 under the Securities Act or (iii) such
                holder
                shall provide the Company with an opinion of counsel, satisfactory
                to the
                Company, to the effect that a sale, transfer or assignment of such
                Shares
                may be made pursuant to Rule 144(k) under the Securities
                Act.

            

    

     

    
      
        
        

      

      
        Page
          1 of 6

        
          

        

      

      
        
        

      

    

     

    
      	2.	
              REPRESENTATIONS
                AND WARRANTIES OF THE COMPANY.
                The Company hereby represents and warrants to Parsons as
                follows:

            

    

    

    
      	
            	2.1.	
              Organization
                and Good Standing.
                The Company is a corporation duly organized, validly existing and
                in good
                standing under the laws of the State of Delaware, and has all necessary
                corporate power and authority to own or lease its assets and to carry
                on
                its business as now being conducted and presently proposed to be
                conducted. The Company is duly qualified to do business as a foreign
                corporation and is in good standing in each jurisdiction in which
                its
                ownership or leasing of assets, or the conduct of its business, makes
                such
                qualification necessary, except where the failure to be so qualified
                would
                not result in a material and adverse change in the business, assets,
                financial condition, results of operations, affairs or prospects
                of the
                Company and its subsidiaries, taken as a whole (“Material Adverse
                Change”). Except for any subsidiaries disclosed in its SEC Documents (as
                defined in Section 2.3), the Company has no subsidiaries and no equity
                interests in any corporation, partnership, joint venture or other
                entity.

            

    

    

    
      	
            	2.2.	
              Requisite
                Power and Authorization.
                The Company has all necessary corporate power and authority to execute
                and
                deliver the Closing Documents and to perform its obligations under
                each of
                the Closing Documents, including without limitation the issuance
                of the
                Shares hereunder. All corporate actions of the Company required for
                the
                execution and delivery of the Closing Documents and the issuance
                and
                delivery of the Shares has been duly and effectively taken, and no
                further
                actions, authorizations or consents, including, without limitation,
                any
                consents of the stockholders of the Company, are required. Each of
                the
                Closing Documents constitutes the valid and binding obligation of
                the
                Company, enforceable against the Company in accordance with its terms,
                except (i) as limited by applicable bankruptcy, insolvency,
                reorganization, moratorium or other laws of general application affecting
                enforcement of creditor’s rights, and (ii) as limited by general
                principles of equity that restrict the availability of equitable
                remedies.

            

    

     

    
      
        
        

      

      
        Page
          2 of 6

        
          

        

      

      
        
        

      

    

     

    
      	
            	2.3.	
              SEC
                Documents.
                The Company has filed with the Securities and Exchange Commission
                (the
                “SEC”) all reports, statements, schedules and other documents
                (collectively, the “SEC Documents”) required to be filed by it pursuant to
                the Securities Act and the Securities Exchange Act of 1934 (the “Exchange
                Act”). As of their respective dates, the SEC Documents complied in all
                material respects with the requirements of the Securities Act or
                the
                Exchange Act, as the case may be, and the rules and regulations of
                the SEC
                promulgated thereunder, and none of the SEC Documents, at the time
                they
                were filed with the SEC, contained any untrue statement of a material
                fact
                or omitted to state a material fact required to be stated therein
                or
                necessary in order to make the statements therein, in light of the
                circumstances under which they were made, not misleading. As of their
                respective dates, the financial statements included in the SEC Documents
                (the “Financial Statements”) complied as to form in all material respects
                with applicable accounting requirements and the published rules and
                regulations of the SEC with respect thereto. Except (i) as may be
                indicated in the notes to the Financial Statements or (ii) in the
                case of
                the unaudited interim statements, as permitted by Form 10-QSB under
                the
                Exchange Act, the Financial Statements have been prepared in accordance
                with generally accepted accounting principles consistently applied
                and
                fairly present in all material respects the financial position of
                the
                Company and its subsidiaries as of the dates thereof and the results
                of
                its operations and cash flows for the periods then ended (subject,
                in the
                case of unaudited statements, to normal recurring year-end adjustments
                and
                footnotes). Except as set forth in the Financial Statements filed
                with the
                SEC prior to the date hereof, neither the Company nor any of its
                subsidiaries has any liabilities, whether absolute, contingent or
                otherwise, other than (i) liabilities incurred in the ordinary course
                of
                business subsequent to the date of such Financial Statements, (ii)
                obligations under contracts and commitments incurred in the ordinary
                course of business and not required under generally accepted accounting
                principles to be reflected in such Financial Statements, which liabilities
                and obligations referred to in clauses (i) and (ii), individually
                or in
                the aggregate, are not material to the financial condition or operating
                results of the Company or any of its subsidiaries and (iii) liabilities
                and obligations incurred in connection with the Closing Documents
                and the
                transactions contemplated thereby.

            

    

    

    
      	
            	2.4.	
              No
                Conflicts.
                Neither the execution, delivery and performance by the Company of
                this
                Agreement, the other Closing Documents, and all instruments and documents
                to be delivered by the Company, nor the consummation of the transactions
                contemplated by any of the foregoing (i) has constituted or resulted
                in,
                or will constitute or result in, a default under or breach or violation
                of
                any term or provision of the Certificate of Incorporation or bylaws
                of the
                Company, as amended, or material contracts or instruments to which
                the
                Company or any of its subsidiaries is a party or federal, state or
                local
                laws, rules or regulations, writs, orders, judgments or decrees which
                are
                applicable to the Company, any of its subsidiaries or their assets,
                (ii)
                will result in the acceleration or termination of any rights under
                any
                contract or instrument to which the Company or any of its subsidiaries
                is
                a party or (iii) will result in the creation or imposition of any
                liens,
                charges or encumbrances upon any assets of the Company or any of
                its
                subsidiaries.

            

    

     

    
      	
            	2.5.	
              Consents.
                No approval, consent, order, authorization or other action by, or
                notice
                to or filing with, any governmental authority or regulatory agency
                or any
                other person or entity, and no lapse of a waiting period, is required
                in
                connection with the execution, delivery or performance by the Company
                of
                this Agreement, any other Closing Document, the issuance and delivery
                of
                any of the Shares or any other transactions contemplated by any of
                the
                Closing Documents except for filings required under applicable state
“blue
                sky” laws (which shall be duly filed and effective prior to the issuance
                of the Shares if so required under such
                laws).

            

    

     

    
      	
            	2.6.	
              No
                Material Adverse Change.
                Since the date of the most recent SEC Documents, the business of
                the
                Company and each subsidiary has been operated in the ordinary course
                and
                substantially consistent with past practice and there has not been
                any
                Material Adverse Change.

            

    

     

    
      
        
        

      

      
        Page
          3 of 6

        
          

        

      

      
        
        

      

    

     

    
      	
            	2.7.	
              Litigation.
                There is no claim, action, suit, proceeding or investigation pending
                or to
                the Company’s knowledge, currently threatened against the Company or any
                of its subsidiaries, or any of their respective directors or officers,
                in
                their capacities as such, (i) that questions the validity of this
                Agreement or any other Closing Document or the issuance of the Shares,
                or
                the right of the Company to enter into this Agreement or any other
                Closing
                Document or to consummate the transactions contemplated by any Closing
                Document or (ii) that might result, either individually or in the
                aggregate, in any Material Adverse Change or in any change in the
                current
                equity ownership of the Company.

            

    

     

    
      	
            	2.8.	
              Validity
                of Shares.
                The Shares, when issued by the Company to Parsons upon payment in
                full of
                the Purchase Price, will be validly issued, fully paid and
                non-assessable.

            

    

    

    
      
        	3.	
                REPRESENTATIONS
                  AND WARRANTIES OF PARSONS.
                  Parsons represents and warrants to the Company as
                  follows:

              

      

    

    

    
      	
            	3.1.	
              Due
                Authorization.
                Parsons has full capacity to enter into this Agreement and to carry
                out
                his obligations hereunder. This Agreement has been duly executed
                and
                delivered by Parsons and constitutes the legal, valid and binding
                obligations of Parsons, enforceable against him in accordance with
                its
                terms.

            

    

    

    
      	
            	3.2.	
              Investment
                Representations.
                Parsons further represents and warrants as
                follows:

            

    

    

    
      	
            	3.2.1.	
              The
                undersigned is purchasing the Shares for his own account and not
                with a
                view to resale or redistribution in a manner which would require
                registration under the Securities Act, or any state securities laws,
                or
                for sale in connection with a “distribution” as that term is used in
                Section 2(11) of the Securities Act, of the
                shares.

            

    

    

    
      	
            	3.2.2.	
              The
                undersigned understands that the Shares are not registered under
                the
                Securities Act or the securities laws of any state and may not be
                disposed
                of in whole or in part in the absence of registration under the Securities
                Act or any state securities laws, unless an exemption from registration
                is
                available.

            

    

    

    
      	
            	3.2.3.	
              The
                undersigned understands that there is a very limited public market
                for the
                Shares and it may not be possible for the undersigned to readily
                liquidate
                its investment. As a consequence, the undersigned may never be able
                to
                sell or dispose of such Shares and may thus have to bear the risk
                of
                investment in such Shares for a substantial period of time. The
                undersigned has adequate means of providing for its current and future
                contingencies and has no need for liquidity with regard to its investment
                in the Shares.

            

    

    

    
      	
            	3.2.4.	
              The
                undersigned has been informed and understands that the Shares, upon
                issue,
                will have such restrictive legends as are required by law or as the
                Company may otherwise determine.

            

    

    

    
      	
            	3.2.5.	
              The
                undersigned has such knowledge and experience in financial and business
                matters that it is capable of evaluating the merits and risks of
                an
                investment in the Shares and making an informed decision with respect
                to
                the purchase of the Shares. Parsons is not relying upon any representation
                or warranty by the Company with respect to the value of the Shares,
                and
                accordingly no such representations or warranties are
                made.

            

    

     

    
      
        
        

      

      
        Page
          4 of 6

        
          

        

      

      
        
        

      

    

     

    
      	
            	3.2.6.	
              The
                undersigned has had an opportunity to ask questions of and receive
                satisfactory answers from the Company, or any person or persons acing
                on
                the Company’s behalf, concerning the terms and conditions of this
                investment, and all such questions have been answered to the full
                satisfaction of Parsons.

            

    

     

    
      	4.	
              MISCELLANEOUS
                PROVISIONS

            

    

    

    
      	
            	4.1.	
              Assignment.
                This Agreement shall be binding upon and inure to the benefit of
                the
                parties hereto and their respective successors, heirs and
                assigns.

            

    

    

    
      	
            	4.2.	
              Counterparts.
                This Agreement may be executed in any number of counterparts, each
                of
                which shall be deemed an original, but all of which together shall
                constitute one and the same
                instrument.

            

    

     

    
      	
            	4.3.	
              Entire
                Agreement.
                This Agreement and the documents referred to herein contain the entire
                understanding of the parties hereto in respect of the subject matter
                contained herein. There are no restrictions, promises, warranties,
                conveyances or undertakings other than those expressly set forth
                herein.
                This Agreement supersedes any prior agreements and understandings
                between
                the parties with respect to the subject matter of this
                Agreement.

            

    

     

    
      	
            	4.4.	
              Modification.
                No change or modification of this Agreement shall be valid or binding
                upon
                the parties hereto, nor shall any waiver of any term or condition
                in the
                future be so binding, unless such change or modification or waiver
                shall
                be in writing and signed by the parties
                hereto.

            

    

     

    
      	
            	4.5.	
              GOVERNING
                LAW; VENUE.
                NOTWITHSTANDING THE PLACE WHERE THIS AGREEMENT MAY BE EXECUTED BY
                ANY OF
                THE PARTIES HERETO, THE PARTIES EXPRESSLY AGREE THAT THIS AGREEMENT
                SHALL
                BE GOVERNED BY AND CONSTRUED UNDER THE LAWS OF THE STATE OF DELAWARE
                AS
                APPLIED TO AGREEMENTS AMONG DELAWARE RESIDENTS ENTERED INTO AND TO
                BE
                PERFORMED ENTIRELY WITHIN DELAWARE, WITHOUT REGARD TO THE CONFLICT
                OF LAW
                PROVISIONS OF SUCH JURISDICTION. VENUE FOR ANY ACTION TO ENFORCE,
                INTERPRET OR RESOLVE ANY DISPUTE WITH RESPECT TO ANY PROVISION OF
                THIS
                AGREEMENT SHALL BE EXCLUSIVELY IN GREENE COUNTY, MISSOURI, AND ALL
                PARTIES
                HERETO AGREE THAT ANY LITIGATION DIRECTLY OR INDIRECTLY RELATING
                TO THIS
                AGREEMENT MUST BE BROUGHT BEFORE AND DETERMINED BY A COURT OF COMPETENT
                JURISDICTION WITHIN SUCH COUNTY AND STATE. EACH OF THE PARTIES FURTHER
                ACKNOWLEDGE THAT SUCH VENUE IS APPROPRIATE AND AGREE NOT TO RAISE
                ANY
                ARGUMENT THAT SUCH VENUE IS IN ANY WAY UNDULY INCONVENIENT FOR ANY
                OF
                THEM, WITH THEIR EXECUTION HEREOF BEING EVIDENCE OF THEIR AGREEMENT
                TO
                SUBMIT TO THE JURISDICTION OF SUCH
                COURTS.

            

    

     

    
      
        
        

      

      
        Page
          5 of 6

        
          

        

      

      
        
        

      

    

     

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

    

    DECORIZE,
      INC.

    A
      Delaware corporation

    

      
        	
                By:

              	
                /s/
                  Steve Crowder

              	 	
                By:

              	
                /s/
                  James K. Parsons

              	 
	 	
                Steve
                  Crowder

              	 	 	
                James
                  K. Parsons

              	 
	 	
                President

              	 	 	 	 

      

       

      
        
          
          

        

        
          Page
            6 of 6DECORIZE,
      INC.

    SECONDED
      AMENDED AND RESTATED PROMISSORY NOTE

    

    
      	
              $277,160.01

            	
              Springfield,
                Missouri

            
	 	
              April
                28, 2008

            

    

    

    FOR
      VALUE
      RECEIVED, the undersigned, Decorize, Inc., a Delaware corporation (hereinafter
      “Borrower”), hereby promises to pay to the order of James K. Parsons
      (hereinafter “Creditor”), the principal sum of Two Hundred Seventy Seven
      Thousand One Hundred Sixty and 01/100 Dollars ($277,166.01), with interest
      thereon from the date hereof at a rate per annum that is one and a quarter
      percent (1.25%) in excess of the prime rate of Liberty Bank from time to time
      (the “Prime Rate”), said rate to change as and when said Prime Rate changes, on
      the terms set forth below.

    

    This
      Second Amended and Restated Promissory Note (this “Note”) is issued in
      replacement of and substitution for that Amended Promissory Note in the original
      principal amount of $609,467.69, issued on May 5, 2006 (the “Existing Note”),
      which was issued in replacement of and substitution for that certain Promissory
      Note in the original principal amount of $925,000.00, issued on June 15, 2001
      (the “Original Note”). Upon issuance of this Note, the Existing Note shall be of
      no further force or effect, and shall be deemed amended and restated in its
      entirety by this Note.

    

    All
      payments received with respect to this Note shall first be applied to principal,
      and the remainder shall be applied to interest accrued on the principal
      balance.

    

    Beginning
      on May 2, 2008 and every two weeks thereafter, Borrower shall make equal
      installment payments to Creditor of $4,038.46 until the earlier of (1) such
      time
      as the entire balance of unpaid principal, plus all accrued interest thereon
      has
      been paid in full or (2) July 31, 2010 (the “Maturity Date”). On the Maturity
      Date the remaining balance of unpaid principal, if any, plus all unpaid accrued
      interest thereon, if any, shall become immediately due and payable.

    

    Borrower
      hereby waives presentment, demand for payment, notice of dishonor, and all
      other
      notices and demands in connection with the delivery, acceptance, performance,
      default or endorsement of this Note.

    

    Should
      any of the following events occur (an “Event of Default”) Borrower shall be in
      default hereunder: (a) if a payment of principal of, or interest accrued on,
      this Note is not paid when same becomes due; provided, however, that an Event
      of
      Default shall not be deemed to have occurred until the expiration of a sixty
      (60) day period commencing on the date written notice is delivered to Borrower
      of such non-payment; or (b) if Borrower (i) shall voluntarily suspend the
      transaction of its business or if Borrower shall make a general assignment
      for
      the benefit of creditors, (ii) shall be adjudicated a bankrupt, or shall file
      a
      voluntary petition in bankruptcy or for a reorganization or to effect a plan
      or
      other arrangement with its creditors, or if the Borrower shall file an answer
      to
      a creditor’s petition or other petition against it (admitting the material
      allegations thereof) for an adjudication in bankruptcy or for a reorganization,
      or (iii) shall apply for or permit the appointment of a receiver, trustee,
      or
      custodian for any substantial portion of its properties or assets; or (c) if
      bankruptcy, reorganization or liquidation proceedings are instituted against
      Borrower and remain undismissed for ninety (90) days.

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    In
      the
      event of default, Borrower agrees to pay all costs of collection, including
      a
      reasonable attorney fee, if this Note is placed in the hands of an attorney
      for
      collection or if suit is filed hereon.

    

    Borrower
      shall have the privilege of making cash payments in addition to those called
      for
      in this Note at any time without penalty.

    

    Payments
      on this Note shall be paid to Creditor at 1938 E. Phelps, Springfield, Missouri
      65802, or such other address as he or any other holder of this Note may direct
      in writing.

    

    Pursuant
      to RSMo. § 432.045, the Creditor hereby gives the following notice to the
      Borrower:

    

    “Oral
      agreements or commitments to loan money, extend credit or to forbear from
      enforcing repayment of a debt including promises to extend or renew such debt
      are not enforceable. To protect you (borrower) and me (creditor) from
      misunderstanding or disappointment, any agreements we reach covering such
      matters are contained in this writing, which is the complete and exclusive
      statement of the agreement between us, except as we may later agree in writing
      to modify it.”

    

    IN
      WITNESS WHEREOF, the Borrower, by its duly authorized officer, and the Creditor
      have executed this Note as of the date first set forth above.

    

    
      	
              Borrower

            	 	
              Creditor

            
	
              Decorize,
                Inc.

            	 	
              James
                K. Parsons

            
	 	 	 
	
              By:

            	
              /s/
                Steve Crowder

            	 	
              /s/
                James K. Parsons

            
	
              Name:
                Steve Crowder

            	 	 
	
              Title:
                President

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