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Unassociated Document

    EXHIBIT
10.4

    

    AMENDMENT
NO. 1 TO THE SECURITIES ESCROW AGREEMENT

    

    This Amendment,
dated as of November 23, 2009 (the “Amendment”), to the
Securities Escrow Agreement, dated
as of November 29, 2007 (the “Escrow Agreement”), is made by and among Camden
Learning Corporation, a Delaware corporation (the “Company”), the undersigned
parties (the “Initial Stockholders”), and Continental Stock Transfer & Trust
Company, a New York corporation (the “Escrow Agent”).

    

    WHEREAS,
the Company consummated its initial public offering (the “IPO”) on December 5,
2007, pursuant to an Underwriting Agreement dated November 29, 2007 between the
Company and Morgan Joseph & Co. Inc., acting as representative of the
several underwriters (collectively, the “Underwriters”), pursuant to which the
Underwriters agreed to purchase 6,250,000 units (the “Units”) of the Company;
and

    

    WHEREAS,
each Unit consists of one share of common stock, par value $0.0001 per share
(the “Common Stock”), of the Company and one warrant to purchase one share of
Common Stock at an exercise price of $5.50 per share; and

    

    WHEREAS,
in conjunction with the IPO, the Company issued 1,562,650 shares of restricted
Common Stock (the “Escrow Shares”) to the Initial Stockholders with such Escrow
Shares subject to the terms and conditions of the Securities Escrow Agreement
(as amended by this Amendment); and

    

    WHEREAS,
the Company has entered into that certain Agreement and Plan of Reorganization
as amended and restated in its entirety on August 11, 2009 and further amended
on October 26, 2009 by Amendment No. 1 to the Amended and Restated Agreement and
Plan of Reorganization (as amended, the “Merger Agreement”) pursuant to which
Dlorah Subsidiary, Inc., a newly formed, wholly-owned subsidiary of the Company
(“Merger Sub”), will merge with and into Dlorah, Inc., a South Dakota
corporation (Dlorah, Inc., together with its divisions and subsidiaries, is
referred to herein as “Dlorah”), with Dlorah surviving as a wholly-owned
subsidiary of the Company, as a result of which the stockholders of Dlorah will
contribute all of the outstanding capital stock of Dlorah to the Company in
exchange for shares of a newly created class of common stock, common stock
purchase warrants and restricted shares of the Company’s currently authorized
Common Stock (the “Acquisition”); and

    

    WHEREAS, in connection with the
Acquisition, the Initial Stockholders have decided to transfer up to an
aggregate of 838,772 Escrow Shares to certain stockholders of the Company;
and

    

    WHEREAS, in connection with the
consummation of the Acquisition, the Initial Stockholders have agreed to cancel
all 2,800,000 warrants to purchase Common Stock, at an exercise price of $5.50
per share of Common Stock owned by such Initial Stockholders.

     

    
      
        
        

      

      
        - 1
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    NOW,
THEREFORE, in consideration of the mutual agreements contained herein and other
good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, and intending to be legally bound hereby, the parties hereto agree
to amend the Escrow Agreement as set forth herein:

    

    
      	
              1.

            	
              Escrow
      Agreement.

            

    

    

    1.1           Section
3.1.  Section 3.1 of the Escrow Agreement is hereby amended and
restated in its entirety as follows:

    

    “(a)           Upon
compliance with Section 3.2 hereof, upon the effective time of the acquisition
(the “Acquisition”) of 100% of the capital stock of Dlorah, Inc. (“Dlorah”) by
the Company (the “Effective Time”), and regardless of whether the Initial
Stockholders provide instructions directing as such, the Escrow Agent is hereby
authorized to release 838,772 Escrow Shares from the accounts of Camden
Learning, LLC (the “Transferred Stock”) and to irrevocably transfer the
Transferred Stock, as soon as practicable following the Acquisition, to the
accounts of those certain institutional or strategic investors set forth on
Exhibit A
attached hereto (the “Investors”).  Except as set forth above, the
Escrow Agent shall hold the Escrow Shares until the termination of the Escrow
Period.  The Escrow Period shall be the period beginning on the date
of the certificates representing the shares are deposited with the Escrow Agent
and ending on the date that is twelve (12) months following the consummation of
the Acquisition.  On the termination date of the Escrow, the Escrow
Agent shall, upon written instructions from the Company or the Company’s
counsel, disburse each of the Initial Stockholder’s Escrow Shares to such
Initial Stockholder; provided, however, that if after the Company consummates
the Acquisition, it (or the surviving entity) subsequently consummates a
liquidation, merger, stock exchange or other similar transaction which results
in all of its stockholders having the right to exchange their shares of Common
Stock for cash, securities or other property, then the Escrow Agent will, upon
consummation of such transaction, immediately release the Escrow Shares to the
Initial Stockholders so they can participate.  The Escrow Agent shall
have no further duties hereunder after the disbursement of the Escrow Shares in
accordance with this Section 3.

    

    (b)           The
Transferred Stock released at the Effective Time shall not be subject to the
Escrow Period; however, the
Transferred Stock shall remain restricted pending registration pursuant to an
effective registration statement filed by the Company or another exemption from
the Securities Act of 1933, as amended.

    

    (c)           At
the Effective Time, the Inside Stockholder owning the Private Warrants shall
have no further right, title or interest in the Private Warrants which shall be
released from escrow and immediately cancelled, in whole and not in part, by the
Escrow Agent (the “Cancellation”).  At such time of the Cancellation,
the Private Warrants shall cease to exist.”

     

    
      
        
        

      

      
        - 2
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    1.2           Section
4.3.  Section 4.3 shall be amended restated in its entirety as
follows:

    

    “Except
with respect to the Transferred Stock, which shall not be subject to the Escrow
Period, during the Escrow Period, no sale transfer or other disposition may be
made of any or all of the Escrow Shares except (i) by gift to a member of
Initial Stockholder’s immediate family or to a trust or other entity, the
beneficiary of which is an Initial Stockholder or a member of an Initial
Stockholder’s immediate family, (ii) by virtue of the laws of descent and
distribution upon death of any Initial Stockholder, (iii) pursuant to a
qualified domestic relations order, (iv) to an entity that is an Initial
Stockholder, (v) to any person or entity controlling, controlled by, or under
common control with, an Initial Stockholder or (vi) with respect to an Initial
Stockholder who is an individual, to an entity controlled by such Initial
Stockholder; provided, however, that such
permitted transfers may be implemented only upon the respective transferee’s
written agreement to be bound by the terms and conditions of this Agreement and
of the Insider Letter signed by the Initial Stockholder transferring the Escrow
Shares. During the Escrow Period, the Initial Stockholders shall not pledge or
grant a security interest in the Escrow Securities or grant a security interest
in their rights under this Agreement.”

    

    1.3           Escrow
Securities.  All references to the “Escrow Securities” shall be
replaced by the “Escrow Shares” which shall not include the Transferred
Stock.

    

    2.           Definitions.  Capitalized
terms used but not defined herein shall have the meaning given to such term in
the Escrow Agreement.

    

    3.           Governing Law. The
validity, interpretation, and performance of this Amendment and of the Warrants
shall be governed in all respects by the laws of the State of New York, without
giving effect to conflicts of law principles. The parties agree that all actions
and proceedings arising out of this Amendment or any of the transactions
contemplated hereby shall be brought in the United States District Court for the
Southern District of New York or in a New York State Court in the County of New
York and that, in connection with any such action or proceeding, submit to the
jurisdiction of, and venue in, such court. Each of the parties hereto also
irrevocably waives all right to trial by jury in any action, proceeding or
counterclaim arising out of this Amendment or the transactions contemplated
hereby.

      

    4.           Binding
Effect.  This Amendment shall be binding upon and inure to the
benefit of the parties hereto and to their respective heirs, legal
representatives, successors and assigns.

    

    5.           Entire Agreement.
This Amendment sets forth the entire agreement and understanding between the
parties as to the subject matter thereof and merges and supersedes all prior
discussions, agreements and understandings of any and every nature among them.
Except as set forth in this Amendment, provisions of the Escrow Agreement which
are not inconsistent with this Amendment shall remain in full force and
effect.

     

    
      
        
        

      

      
        - 3
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    6.           Severability.  This
Amendment shall be deemed severable, and the invalidity or unenforceability of
any term or provision hereof shall not affect the validity or enforceability of
this Amendment or of any other term or provision hereof. Furthermore, in lieu of
any such invalid or unenforceable term or provision, the parties hereto intend
that there shall be added as part of this Amendment a provision as similar in
terms to such invalid or unenforceable provision as may be possible and be valid
and enforceable.

    

    7.           Counterparts.  This
Amendment may be executed in any number of counterparts and each of such
counterparts shall for all purposes be deemed to be an original, and all such
counterparts shall constitute but one and the same instrument.

    

    8.           Indemnity.  Notwithstanding
any provision of this Amendment or the Escrow Agreement to the contrary, the
Company hereby agrees to indemnify the Escrow Agent and save it harmless from
and against any and all expenses, including reasonable counsel fees and
disbursements, or losses incurred by the Escrow Agent in connection with any
action, suit or other proceeding brought against the Escrow Agent involving any
claim or potential claim, or in connection with any claim or demand, which in
any way arises out of or relates to this Amendment or the Escrow Agent’s
execution thereof.

    

    

    

    [Signature
Page Follows]

     

    
      
        
        

      

      
        - 4
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    IN
WITNESS WHEREOF, the undersigned have executed this Amendment to the Escrow
Agreement as of the date first set forth above.

    

     

    
      
        	 	CAMDEN LEARNING,
      LLC	 
	 	 	 	 
	
                 

              	
                By:
      

              	Camden Partners Strategic III,
      LLC	 
	 	Title:
      Manager	 

      

    

     

    
      
        	
                 

              	
                By:
      

              	 Camden Partners Strategic Manager, LLC 	 
	 	Title:
      Manager	 

      

    

     

    
      
        	
                 

              	
                By:
      

              	/s/ David Warnock	 
	 	

                Name:
      David Warnock

                Title:
      Managing Member

              	 

      

       

    

    
      
        
          	
                   

                	
                  By:
      

                	/s/ Therese Kreig Crane, Ed. D.	 
	 	Therese
      Kreig Crane Ed.D	 

        

      

       

      
        
          
            	
                     

                  	
                    By:
      

                  	/s/ Ronald Tomalis	 
	 	

                    Ronald
      Tomalis

                  	 

          

        

         

      

    

    
      
        
          	
                   

                	
                  By:
      

                	/s/ William Jews	 
	 	William
      Jews	 

      

    

     

    

    Agreed
and acknowledged, this 23rd day of November, 2009:

    

    CAMDEN
LEARNING CORPORATION

     

    
      	
              By:
      

            	/s/ David Warnock	 
	

              Name:
      David Warnock

              Title:   President
      and Chief Executive Officer

            	 

    

     

    CONTINENTAL
STOCK TRANSFER & TRUST COMPANY

     

    
      	
              By:
      

            	/s/ Alexandra Albrecht	 
	

              

                Name: Alexandra
      Albrecht

                Title:   Vice
      President

              

            	 

    

    

    MORGAN
JOSEPH & CO. INC.

     

    
      	
              By:
      

            	/s/ Tina Pappas	 
	

              

                Name: Tina
      Pappas

                Title:   Managing
      Director

              

            	 

    

    
      
        
        

      

      
        - 5
-EXHIBIT 10.5

     

    LOCK
UP AGREEMENT

     

    
      	
              To:

            	
              Camden Learning
      Corporation

            

    

    500 East
Pratt Street, Suite 1200

    Baltimore,
MD 21202

     

    Re:    
Proposed Business Combination Involving Camden Learning Corporation and Dlorah,
Inc.

     

    
      	
              1.

            	
              Acknowledgement. The
      undersigned acknowledges that Camden Learning Corporation ("Camden") and Dlorah, Inc. ("Dlorah") are intending to complete a
      proposed business combination pursuant to that certain Agreement and Plan
      of Reorganization, dated August 7, 2009, as amended by the Amended and
      Restated Agreement and Plan of Reorganization, dated August 11, 2009, as
      further amended by Amendment No. 1 to the Amended and Restated Agreement
      and Plan of Reorganization by and among Camden, Dlorah and Dlorah
      Subsidiary Inc., a wholly-owned subsidiary of Camden (collectively, the
      “Merger Agreement”). In consideration of the
      transactions contemplated by the Merger Agreement and for other good and
      valuable consideration (the receipt and sufficiency of which are hereby
      acknowledged by the undersigned), the undersigned covenants and agrees
      with Camden as follows with respect to the shares of Camden Class A common
      stock, common stock and warrants issued or issuable to the undersigned (or
      to persons or entities with respect to which the undersigned would have
      beneficial ownership of such shares within the rules and regulations of
      the Securities and Exchange Commission) whether pursuant to the Merger
      Agreement or otherwise and any other security of Dlorah or Camden that is
      convertible into, or exercisable or exchangeable for, securities of Camden
      (collectively, the “Camden Shares”).

            

    

     

    
      	
              2.

            	
              Lock-Up. The undersigned
      represents and warrants to Camden that, for the duration of the Lock-Up Period (as defined
      below), the undersigned will not, directly or indirectly: (i) offer, sell,
      contract to sell, pledge, lend, grant any option, right or warrant to
      purchase, make any short sale or otherwise transfer or dispose of,
      directly or indirectly, any Camden Shares, (ii) establish or increase any
      “put equivalent position” or liquidate or decrease any “call equivalent
      position” with respect to any Camden Shares (in each case within the
      meaning of Section 16 of the Securities Exchange Act of 1934, as amended,
      and the rules and regulations promulgated thereunder) or otherwise enter
      into any swap, derivative or other transaction or arrangement that
      transfers to another, in whole or in part, any economic consequence of
      ownership of any Camden Shares, whether or not such transaction is to be
      settled by delivery of Camden Shares, other securities, cash or other
      consideration, or (iii) engage directly or indirectly in any transaction
      the likely result of which would involve a transaction prohibited by
      either of clauses (i) or (ii). The foregoing restriction is expressly
      agreed to preclude the undersigned from engaging in any hedging or other
      transaction which is designed to, or reasonably expected to lead to, or
      result in, a sale or disposition of any Camden Shares even if such Camden
      Shares would be disposed of by someone other than the undersigned. Such
      prohibited hedging or other transactions would include without limitation
      any short sale or any purchase, sale or grant of any right (including
      without limitation any put or call option) with respect to any of the
      Camden Shares or with respect to any security that includes, relates to,
      or derives any significant part of its value from the Camden Shares. The
      undersigned agrees and consents to the entry of stop transfer instructions
      with Camden’s transfer agent and registrar against, and authorizes Camden
      to cause the transfer agent and registrar to decline, the transfer of
      relevant securities held by the undersigned except in compliance with the
      foregoing restrictions.

            

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    Notwithstanding
the foregoing, the undersigned may sell, contract to sell, dispose of, or
otherwise transfer for value or otherwise, the Camden Shares by (i) gift, will
or intestacy, or (ii) distribution to partners, members, shareholders or
beneficiaries of the undersigned; provided however, that in the case of a
transfer pursuant to (i) or (ii) above, it shall be a condition to such transfer
that the transferee execute an agreement stating that the transferee is
receiving and holding the Camden Shares subject to the provisions of this Lock
Up Agreement.

     

    
      	
              3.

            	
              Lock-Up Period. For the
      purposes hereof, the “Lock-Up Period” shall mean with respect to all of
      the Camden Shares, the period beginning on the date of the Effective Time
      (as such term is defined in the Merger Agreement) and ending on the date
      that is one hundred eighty (180) days following the date of the Effective
      Time.

            

    

     

    
      	
              4.

            	
              Termination. This
      agreement may be terminated by mutual written consent of the parties
      hereto. This agreement shall be terminated one calendar day following the
      date that is one hundred eighty-one (181) days following the date of the
      Effective Time, in accordance with its terms. The undersigned further
      understands that this agreement is irrevocable, and that all authority
      herein conferred or agreed to be conferred shall survive death or
      incapacity of the undersigned and will be binding on the undersigned and
      the respective successors, heirs, personal representatives, and assigns of
      the undersigned.

            

    

     

    
      	
              5.

            	
              Authority. The
      undersigned hereby represents and warrants that the undersigned has full
      power and authority to enter into the agreements set forth
      herein.

            

    

     

    
      	
              6.

            	
              Public Disclosure. The
      undersigned agrees not to make any public disclosure or announcement of or
      pertaining to this agreement, the Merger Agreement or the transactions
      contemplated thereby or hereby without the prior written consent of Camden
      except as required by law.

            

    

     

    
      	
              7.

            	
              Damages. The undersigned
      recognizes and acknowledges that this agreement is an integral part of the
      Merger Agreement and that a breach by the undersigned of any covenants or
      other commitments contained in this Agreement will cause the other party
      to sustain injury for which it may not have an adequate remedy at law for
      money damages. Therefore, the undersigned agrees that in the event of any
      such breach, Camden shall be entitled to the remedy of specific
      performance of such covenants or commitments and preliminary and permanent
      injunctive and other equitable relief in addition to any other remedy to
      which it may be entitled, at law or in equity, and the undersigned agrees
      to waive any requirement for the securing or posting of any bond in
      connection with the obtaining of any such injunctive or other equitable
      relief.

            

    

     

    
      	
              8.

            	
              Governing Law. This
      agreement shall be governed by and construed in accordance with the laws
      of the State of Delaware applicable therein (without regard to conflict of
      laws principles).

            

    

     

    
      	
              9.

            	
              Facsimile. Camden and
      the undersigned shall be entitled to rely on delivery of a facsimile copy
      hereof which shall be legally effective to create a valid and binding
      agreement of the undersigned and Camden in accordance with the terms
      hereof.

            

    

     

    
      	
              10.

            	
              Counterparts. This
      agreement may be executed in any number of counterparts, each of which
      when so executed shall be deemed to be an original and all of which taken
      together shall constitute one and the same
  agreement.

            

    

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    
      	
              11.

            	
              Entire Agreement. This
      agreement constitutes the entire agreement and understanding between the
      parties pertaining to the subject matter of this
  agreement.

            

    

    

    
      
        
          	
                  H.
      & E. BUCKINGHAM LIMITED PARTNERSHIP

                
	 
      
	
                  By:

                	
                  /s/
      Bob Buckingham

                
	 
      	
                  Bob
      Buckingham

                
	 
      	
                  General
      Partner

                

        

      

    

    
      
         

      

      
        3

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