Document:

Exhibit
      10.4

     

    EMPLOYMENT
      AGREEMENT

     

    This
      EMPLOYMENT AGREEMENT (this “Agreement”)
      is
      entered into as of February 28, 2008, by and between FLAGSHIP GLOBAL HEALTH,
      INC., a Delaware corporation (along with its successors and assigns, the
“Company”),
      and
      Clay Larsen (“Executive”).

     

    WHEREAS,
      the Company desires to employ Executive, and Executive desires to be employed
      by
      the Company, on the terms and conditions hereinafter set forth.

     

    NOW,
      THEREFORE, in consideration of the mutual promises contained herein and other
      good and valuable consideration, the Company and Executive agree as follows:
      

     

    1. Employment.
      

     

    (a) Term.
      Subject
      to the terms hereof, Executive’s employment hereunder shall commence as of
      February 28, 2008 (the
      “Effective
      Date”)
      and
      continue until the anniversary of the Effective Date, with automatic one (1)
      year extensions thereafter, unless otherwise terminated pursuant to Section
      3 of
      the Agreement (such period, the “Employment
      Period”).

     

    (b) Position,
      Place of Performance and Duties.
      Executive will serve as the Company’s Senior Vice President, Marketing and
      Sales, and Executive shall report directly to the Company’s Chief Executive
      Officer (“CEO”). Executive will have the responsibilities, duties and authority
      commensurate with the position of Senior Vice President, Marketing and Sales,
      and Executive will perform such other services of an executive nature as may
      be
      prescribed from time to time by the CEO. Executive will generally perform his
      services hereunder at the Company’s principal offices in New York, or such other
      place as may be agreed to by Executive and the CEO. During the Employment
      Period, Executive will be available to travel for business at such times and
      to
      such places as may be reasonably necessary in connection with the performance
      of
      his duties hereunder, including, but not limited to, anywhere in the United
      States, the Middle East, Asia and Europe. Executive
      shall devote his full business time and efforts to the performance of his duties
      hereunder. For
      the
      duration of the Employment Period, Executive agrees not to actively engage
      in
      any other employment for any remuneration. Notwithstanding the foregoing
      sentence, Executive may serve in any capacity with any civic, educational or
      charitable organization, subject to Executive’s obligations under this Agreement
      and any agreement contemplated under Section 5 of this Agreement; provided,
      however, that Executive may not serve as an officer, director or trustee with
      respect to more than two (2) such organizations.

     

    2. Compensation.

     

    (a) Base
      Salary.
      During
      the Employment Period, the Company will pay Executive a base salary at the
      annual rate of $225,000.00, which amount will be reviewed annually and subject
      to adjustment at the good faith discretion of the Board (or the Compensation
      Committee of the Board (the “Compensation
      Committee”)),
      including without limitation, discretionary cost of living adjustments (as
      adjusted from time to time, the “Base
      Salary”).
      The
      Base Salary will be payable in substantially equal installments in accordance
      with the Company’s payroll practices as in effect from time to
      time.

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    (b) Annual
      Bonus.
      During
      the Employment Period, based on Executive’s performance relative to targets set
      by the Board and/or the Compensation Committee in its sole discretion, and
      subject to the overall performance of the Company, Executive will be eligible
      to
      receive annual bonuses, with a target bonus of up to 100% of Base Salary, in
      accordance with the terms and conditions established by the Board and/or the
      Compensation Committee from time to time.

     

    (c) Equity
      Compensation.
      On
      March 31, 2008, Executive will be granted an incentive stock option to purchase
      an additional 50,000 shares of the Company's common stock at an exercise price
      equal to the fair market value of the Company’s common stock on the date of
      grant (the “Option”).
      The
      Option will vest 25% on the date of grant and the balance vesting ratably over
      a
      three-year period commencing on the first anniversary following
      the date of grant.
      The
      Option will be subject to the terms, definitions and provisions of the 2006
      Amended and Restated Stock Option Plan, and the accompanying stock option
      agreement under which it is granted. In addition, Executive may further be
      entitled to annual option grants as part of the annual review process at the
      discretion of the Board and the Compensation Committee.

     

    (d) Vacation.
      During
      the Employment Period, Executive will be entitled to (i) three (3) weeks paid
      vacation in each calendar year (to be taken at such times and in such number
      of
      days as Executive and the Company shall mutually agree), (ii) paid sick days
      as
      needed due to illness or other incapacity, and (iii) paid Company holidays,
      all
      in accordance with the Company’s policies for its senior executives as in effect
      from time to time. Any accrued unused vacation may be carried over from one
      year
      to the following year, provided that no more than two (2) weeks vacation may
      be
      carried over at any time. 

     

    (e) Benefits.
      During
      the Employment Period, Executive (and his eligible dependents) will be entitled
      to participate in the same manner as the Company’s other senior executives in
      any employee benefit plans which the Company provides or may establish for
      the
      benefit of its senior executives generally; provided that the Company reserves
      the right to cancel or change any of its employee benefit plans and programs
      at
      any time.

     

    (f) Reimbursement
      of Expenses.
      During
      the Employment Period, the Company will reimburse Executive for all
      out-of-pocket business expenses that are incurred by him in furtherance of
      the
      Company’s business in accordance with the Company’s policies with respect
      thereto as in effect from time to time. Without limiting the generality of
      the
      foregoing, the Company shall pay or reimburse Executive for charges relating
      to
      the use of his cellular phone and reasonable business travel
      expenses.

     

    3. Termination.
      Executive’s employment
      hereunder will terminate upon the first to occur of the following: 

     

    (a) Executive’s
      death; 

     

    (b) by
      the
      Company in the event of Executive’s Disability (as defined below);

     

    (c) by
      the
      Company for Cause (as defined below);

     

    (d) by
      the
      Company without Cause; or 

     

    (e) by
      Executive, with or without Good Reason (as defined below). 

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    For
      purposes of this Agreement, the following terms shall have the following
      meanings:

     

    “Cause”
means:
      (i) Executive’s conviction of, or plea of nolo
      contendere
      to, a
      felony, or a crime involving dishonesty, disloyalty or moral
      turpitude; (ii)
      Executive’s willful disloyalty or deliberate dishonesty; (iii) the commission by
      Executive of an act of fraud or embezzlement against the Company; (iv)
      Executive’s failure to use his good faith efforts to perform in all material
      respects such duties as are contemplated by this Agreement, or to follow any
      lawful direction of the Board or any committee thereof; (v) Executive’s gross
      negligence in the performance of his duties hereunder; or (vi) a material breach
      by Executive of any provision of this Agreement or of any Company policy, which
      breach is not cured within thirty (30) days after delivery by the Company to
      Executive of written notice of such breach, provided that, if such breach is
      not
      capable of being cured within such 30-day period, Executive will have a
      reasonable additional period to cure such breach. No act or omission on
      Executive’s part will be considered “willful” unless done, or admitted to be
      done, by Executive in bad faith or without his reasonable belief that such
      act
      or omission was in the best interests of the Company. Any determination of
      “Cause” shall be made in good faith by a majority vote of the
      Board.

     

    “Disability”
means
      Executive’s mental, physical or other disability, the condition of which renders
      him incapable of performing his obligations under this Agreement for a period
      of
      ninety (90) consecutive days or an aggregate of one hundred twenty (120) days
      (whether or not consecutive) in any twelve (12)-month period. Any determination
      of “Disability” shall be made in good faith by a majority vote of the
      Board.

     

    “Good
      Reason”
means
      the occurrence of any of the following events, without the Executive’s written
      consent, at any time during the Executive’s employment: (A) a material
      diminution in the Executive’s annual base compensation; (B) a material
      diminution in the Executive’s authority, duties or responsibilities; (C) a
      material diminution in authority, duties or responsibilities of the supervisor
      to whom the Executive reports, including a requirement to report to an officer
      or other employee, rather than directly to the Board (or similar governing
      body); (D) a material diminution in the budget over which the Executive retains
      authority (if applicable); (E) a relocation of the Company’s principal office by
      fifty (50) miles or more from its location on the date of this Agreement, or
      (F)
      any other action or inaction that constitutes a material breach under this
      Agreement.

     

    4. Termination
      Procedures; Effect of Termination.
      

     

    (a) Notice
      of Termination.
      Any
      termination of Executive’s employment by the Company or Executive (other than
      termination on account of Executive’s death) shall be communicated by written
      notice (a “Notice
      of Termination”)
      to the
      other party hereto in accordance with Section 7(a) below, which notice shall
      indicate the specific termination provision in Section 3 of this Agreement
      relied upon and, if the termination is by the Company for Cause or by Executive
      for Good Reason, the specific reasons therefor.

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    (b) Date
      of Termination.
      As used
      herein, “Date
      of Termination”
shall
      mean: (i) if Executive’s employment is terminated as a result of Executive’s
      death, the date of Executive’s death; (ii) if Executive’s employment is
      terminated by reason of Executive’s Disability, on the date Notice of
      Termination is given or such later date specified in the Notice of Termination
      as the effective date of termination; (iii) if Executive’s employment is
      terminated by the Company for Cause, on the date Notice of Termination is given
      or such later date specified in the Notice of Termination as the effective
      date
      of termination; (iv) if Executive’s employment is terminated by the Company
      without Cause, such date which is specified in the Notice of Termination as
      the
      effective date of termination, which date shall be at least thirty (30) days
      following the date the Notice of Termination is given; and (v) if Executive’s
      employment is terminated by Executive, with or without Good Reason, such date
      which is specified in the Notice of Termination as the effective date of
      termination, which date shall be at least thirty (30) days following the date
      the Notice of Termination is given.

     

    (c) Compensation
      Upon Termination.
      

     

    (i) Upon
      any
      termination of Executive’s employment, the Company will pay the Accrued
      Obligations (as defined below) to Executive (or to his estate or legal
      representative, if applicable) on or promptly following the Date of Termination.
      For purposes of this Agreement, “Accrued
      Obligations”
means
      (A) the portion of Executive’s Base Salary as has accrued up through the Date of
      Termination which the Executive has not yet been paid, (B) an amount equal
      to
      any unpaid bonus which has already been earned and awarded by the Board and/or
      the Compensation Committee through the Date of Termination, (C) an amount equal
      to the value of Executive’s accrued unused vacation days, and (D) the amount of
      expenses incurred by Executive on behalf of the Company prior to the Date of
      Termination and not yet reimbursed as of such date.

     

    (ii) In
      addition to the Accrued Obligations, if Executive’s employment is terminated by
      the Company without Cause or by Executive for Good Reason (and other than due
      to
      Executive’s death or Disability), then in exchange for Executive’s execution and
      delivery to the Company of a full general release (which Executive does not
      later revoke in accordance with its terms), in a form acceptable to the Company,
      releasing all claims, known or unknown, that Executive may have against the
      Company, and any subsidiary or related entity, and their respective officers,
      directors, employees and agents, the Company will (A) within thirty (30) days
      following the Date of Termination, pay to Executive (or his estate or legal
      representative if applicable) a lump-sum severance payment equal to the sum
      of
      (x) one year of his then current Base Salary and (y) the greater of Executive’s
      annual bonus paid for the year prior to the Date of Termination or Executive’s
      target annual bonus for the year in which the Date of Termination occurs, and
      (B) upon proper election of continuation coverage under Title X of the
      Consolidated Budget Reconciliation Act of 1985, as amended (“COBRA”)
      under
      the Company’s group health plans, continue to pay the group medical and dental
      COBRA premiums for Executive and Executive’s eligible dependents until the
      earliest of (x) the date Executive first becomes eligible for coverage under
      a
      subsequent employer’s applicable group health plan(s), (y) the date such
      coverage terminates under applicable law, or (z) twelve (12) months after the
      Date of Termination.

     

    Notwithstanding
      any other provision with respect to the timing of payments under this Section
      4(c), if, at the time of Executive’s termination,
      Executive is deemed to be a “specified employee”  (within the meaning
      of Section 409A of the Internal Revenue Code of 1986, as amended (the
“Code”),
      and
any
      successor statute, regulation and guidance thereto)
      of the
      Company, then only to the extent necessary to comply with the requirements
      of
      Code Section 409A, any payments to which Executive may become entitled
      under Section 4(c) which are subject to Code Section 409A (and not otherwise
      exempt from its application) will be withheld until the first business day
      of
      the seventh month following the Date of Termination, at which time Executive
      shall be paid an aggregate amount of any withheld payments otherwise
      due under Section 4(c), as applicable.

     

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

     

    (d) Certain
      Additional Payments by the Company

     

    (i) In
      the
      event it shall be determined that any payment or distribution by the Company
      to
      or for the benefit of the Executive (whether paid or payable or distributed
      or
      distributable pursuant to the terms of this Agreement or otherwise) (a
“Payment”
and
      collectively “Total
      Payments”)
      would
      be subject to the excise tax imposed by Section 4999 of the Code (or would
      be
      within $1,000 of triggering such excise tax), then Total Payments shall be
      reduced (but not below zero) so that the maximum amount of Total Payments (after
      reduction) shall be $1,000 less than the amount that would cause the Total
      Payments to be subject to the excise tax imposed by Section 4999 of the Code
      (as
      so reduced, the “280G
      Limitation Amount”).
      References to Section 4999 of the Code shall include any successor provision
      or
      any similar excise tax. The Executive shall not be entitled to an increased
      payment from the Company for any excise, additional, or other tax, penalty,
      or
      interest as a result of this Agreement. Any payment reductions under this
      subsection (a) shall be made first from cash payments. 

     

    (ii) All
      determinations required to be made under this Section 4(d), including
      whether and when Total Payments should or should not be reduced and the
      assumptions to be utilized in arriving at such determination, shall be made
      by a
“Consulting
      Firm,”
which
      shall be a law firm, a certified public accounting firm, and/or a firm of
      recognized executive compensation consultants selected by the Company. The
      Consulting Firm shall provide detailed supporting calculations regarding such
      determination both to the Company and the Executive within fifteen (15) business
      days of the receipt of notice from the Executive that there has been a Payment,
      or such earlier time as is requested by the Company. All fees and expenses
      of
      the Consulting Firm shall be borne solely by the Company. Any determination
      by
      the Consulting Firm shall be binding upon the Company and the Executive, and
      no
      later determination shall obligate the Company to make any payment or adjustment
      to the Total Payments made to the Executive.

     

    (e) Other
      Provisions.
      Upon
      any termination of Executive’s employment, 100% of the Executive’s then
      outstanding and unvested stock options shall immediately vest and become
      exercisable as of such termination and remain exercisable for a period of one
      year thereafter, but in no event later than the originally scheduled expiration
      without regard to such termination. The amount of any benefit due to Executive
      after the date of such termination pursuant to this Agreement will not be
      reduced or offset by any payment or benefit that Executive may receive from
      any
      other source.

     

    5. Restrictive
      Covenants.
      On the
      Effective Date, Executive will enter into a confidentiality, non-competition,
      non-solicitation, assignment of inventions and non-disparagement agreement
      (the
“Non-Competition
      Agreement”),
      substantially in the form of the Company’s standard agreement used for such
      purposes, and the non-competition and non-solicitation covenants shall last
      for
      one year following the Date of Termination. Notwithstanding anything to the
      contrary herein, the Company’s obligation to make payments to the Executive
      pursuant to Section 4(c)(ii) shall immediately cease upon the Executive’s
      willful or intentional material breach of any of the Non-Competition
      Agreement.

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

     

    6. Indemnification.
      The
      Company shall, to the fullest extent permitted by law and by its Certificate
      of
      Incorporation and Bylaws, indemnify Executive and hold him harmless for any
      acts
      or decisions made by him in good faith while performing his duties to the
      Company, and the Company shall at all times during Executive’s employment with
      the Company, maintain directors’ and officers’ liability insurance, at and upon
      commercially reasonable terms and limits.

     

    7. General.

     

    (a) Notices.
      All
      notices, requests, consents and other communications hereunder will be in
      writing, will be addressed to the receiving party’s address set forth below or
      to such other address as a party may designate by notice hereunder, and will
      be
      either (i) delivered by hand, (ii) sent by overnight courier, or
      (iii) sent by registered or certified mail, return receipt requested,
      postage prepaid. All notices, requests, consents and other communications
      hereunder will be deemed to have been given either (A) if by hand, at the
      time of the delivery thereof to the receiving party, (B) if sent by
      overnight courier, on the next business day following the day such notice is
      delivered to the courier service, or (C) if sent by registered or certified
      mail, on the third business day following the day such mailing is made. All
      notices, requests, consents and other communications hereunder will be sent
      as
      follows:

     

    
      
        	
                If
                  to the Company:

              	
                Flagship
                  Global Health, Inc. 

              
	 	
                220
                  West 42nd
                  Street

              
	 	
                New
                  York, NY 10036

              
	 	
                Attention:
                  Director of Human Resources

              
	 	 
	
                If
                  to Executive:

              	
                Clay
                  Larsen

              
	 	
                413
                  Hurlbutt St.

              
	 	
                Wilton,
                  CT 06897

              

      

    

     

    (b) Entire
      Agreement.
      This
      Agreement (together with any other agreements referenced herein) embodies the
      entire agreement and understanding between the parties hereto with respect
      to
      the subject matter hereof and supersedes all prior oral or written agreements
      and understandings relating to the subject matter hereof. No statement,
      representation, warranty, covenant or agreement of any kind not expressly set
      forth in this Agreement will affect, or be used to interpret, change or
      restrict, the express terms and provisions of this Agreement.

     

    (c) Modifications
      and Amendments.
      The
      terms and provisions of this Agreement may be modified or amended only by
      written agreement executed by the parties hereto.
       

    

    (d) Waivers
      and Consents.
      The
      terms and provisions of this Agreement may be waived, or consent for the
      departure therefrom granted, only by written document executed by the party
      entitled to the benefits of such terms or provisions. No such waiver or consent
      will be deemed to be or will constitute a waiver or consent with respect to
      any
      other terms or provisions of this Agreement, whether or not similar. Each such
      waiver or consent will be effective only in the specific instance and for the
      purpose for which it was given, and will not constitute a continuing waiver
      or
      consent.

     

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

     

    (e) Successors
      and Assigns; Third Party Beneficiaries.
      All
      statements, representations, warranties, covenants and agreements in this
      Agreement will be binding on the parties hereto and will inure to the benefit
      of
      the respective successors, heirs, executors and permitted assigns of each party
      hereto. Any such successor of the Company will be deemed substituted for the
      Company under the terms of this Agreement for all purposes. For this purpose,
      “successor” means any person, firm, corporation or other business entity which
      at any time, whether by purchase, merger or otherwise, directly or indirectly
      acquires all or substantially all of the assets or business of the Company.
      Executive may not assign any of Executive’s rights to compensation or other
      benefits under this Agreement, except by will or the laws of descent and
      distribution. Any other attempted assignment, transfer, conveyance or other
      disposition of Executive’s right to compensation or other benefits will be null
      and void. Nothing in this Agreement will be construed to create any rights
      or
      obligations except among the parties hereto, and (except for Executive’s estate
      or other legal representative) no person or entity will be regarded as a
      third-party beneficiary of this Agreement.

     

    (f) Governing
      Law.
      This
      Agreement and the rights and obligations of the parties hereunder will be
      construed in accordance with and governed by the law of the State of New York,
      without giving effect to the conflict of law principles thereof.

     

    (g) Dispute
      Resolution.
      Any
      disputes, claims or controversies arising under the Agreement between Company
      and Executive shall be settled by final and binding arbitration before the
      American Arbitration Association in New York, NY. 

     

    (h) Severability.
      The
      parties intend this Agreement to be enforced as written. However, if
      any
      court of competent jurisdiction determines any provision, or any portion
      thereof, of this Agreement to be unenforceable or invalid, then such provision
      shall be deemed limited to the extent that such court deems it valid or
      enforceable and the remaining provisions of this Agreement shall nevertheless
      remain in full force and effect.

     

    (i) Headings
      and Captions.
      The
      headings and captions of the various subdivisions of this Agreement are for
      convenience of reference only and will in no way modify or affect the meaning
      or
      construction of any of the terms or provisions hereof.

     

    (j) No
      Waiver of Rights, Powers and Remedies.
      No
      failure or delay by a party hereto in exercising any right, power or remedy
      under this Agreement, and no course of dealing between the parties hereto,
      will
      operate as a waiver of any such right, power or remedy of the party. No single
      or partial exercise of any right, power or remedy under this Agreement by a
      party hereto, nor any abandonment or discontinuance of steps to enforce any
      such
      right, power or remedy, will preclude such party from any other or further
      exercise thereof or the exercise of any other right, power or remedy hereunder.
      The election of any remedy by a party hereto will not constitute a waiver of
      the
      right of such party to pursue other available remedies. No notice to or demand
      on a party not expressly required under this Agreement will entitle the party
      receiving such notice or demand to any other or further notice or demand in
      similar or other circumstances or constitute a waiver of the rights of the
      party
      giving such notice or demand to any other or further action in any circumstances
      without such notice or demand.

     

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    (k) Expenses.
      Each
      party shall bear its own fees and expenses incurred in connection with the
      preparation, negotiation, execution and delivery of this Agreement. The
      prevailing party in any legal proceeding to enforce this Agreement shall be
      entitled to legal fees and costs reasonably incurred. 

     

    (l) Withholdings.
      The
      Company will deduct from each payment to be made to Executive under this
      Agreement such amounts, if any, required to be deducted or withheld under
      applicable law.

     

    (m) Tax
      Consequences.
      Executive hereby acknowledges and agrees that the Company makes no
      representations or warranties regarding the tax treatment or tax consequences
      of
      any compensation, benefits or other payments under the Agreement, including,
      without limitation, by operation of Code Section 409A, or any successor statute,
      regulation or guidance thereto.

     

    (n) Counterparts.
      This
      Agreement may be executed in two or more counterparts, and by different parties
      hereto on separate counterparts, each of which will be deemed an original,
      but
      all of which together will constitute one and the same instrument. This
      Agreement may be delivered by facsimile, and facsimile signatures shall be
      treated as original signatures for all applicable purposes.

     

    (o) Opportunity
      to Review.
      Executive hereby acknowledges that Executive has had adequate opportunity to
      review these terms and conditions and to reflect upon and consider the terms
      and
      conditions of this Agreement, and that Executive has had the opportunity to
      consult with counsel of Executive’s
      own
      choosing regarding such terms.  Executive
      further acknowledges that Executive fully understands the terms of this
      Agreement and has voluntarily executed this Agreement.

     

    [Remainder
      of page left intentionally blank. Signature page(s) to follow.]

     

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF, the undersigned have executed and delivered this Agreement
      as
      of the date and year first above written.

     

    
      
        	
                FLAGSHIP
                  GLOBAL HEALTH, INC.

              
	 	 
	
                /s/
                  Brian Stafford

              
	
                By:

              	
                Brian
                  Stafford

              
	 	
                Chairman,
                  Compensation Committee

              
	 	
                Flagship
                  Global Health, Inc. Board of Directors

              
	 	 
	 	 
	
                EXECUTIVE

              
	 	 
	
                /s/
                  Clay Larsen

              
	
                Clay
                  Larsen

              
	
                SVP,
                  Sales and Marketing

              

      

       

    

    
      
         

      

      
        9Exhibit
        10.4

       

      
        	
                CUSTOMER
                  GROUP SCHEDULE

              

      

       

    

    For
      the
      purpose of this Letter of Offer the following entities are individually and
      collectively known as Royal
      Wolf Australia Group or
      simply
      the Group:

     

    
      	
              ·

            	
              GFN
                Australasia Holdings Pty Ltd ACN 121 226
                793

            

    

     

    
      	
              ·

            	
              GFN
                Australasia Finance Pty Ltd ACN 121 227
                790

            

    

     

    
      	
              ·

            	
              RWA
                Holdings Pty Ltd ABN 55 106 913 964

            

    

     

    
      	
              ·

            	
              Royal
                Wolf Trading Australia Pty Ltd ABN 38 069 244
                417

            

    

     

    
      	
              ·

            	
              Royal
                Wolf Hi-Tech Pty Ltd ABN 22 079 735
                050

            

    

     

    “You”
is
      a reference to the Group members individually and collectively.

     

    
      
         

      

      
        
        

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    

      
        		 	
                

              
	
                Australia
                  and New Zealand Banking Group Limited

                ABN
                  11 005 357 522

                Level
                  13, 20 Martin Place

                Sydney
                  NSW 2000

              	 	 

      

    

     

    
      3
        March
        2008

       

    

    
      	
              The
                Directors 

              Royal
                Wolf Australia Group

              Suite
                202, Level 2

              22-28
                Edgeworth David Ave

              Hornsby
                NSW 2077

            	 

    

     

     

    Dear
      Sirs, 

    

    VARIATION
      LETTER

     

    Royal
      Wolf Australia Group 

     

    Following
      our recent discussions, we are pleased to offer an additional facility and
      variations to some of the conditions on which the existing facilities are
      provided as follows:

     

    Summary
      of facilities available:

     

    A
      summary
      of facilities is as follows:

     

    
      	
              Facility

            	 	
              Facility
                Limit

              AUD

            	 
	
              Interchangeable
                Facility (1)

              - Fixed
                Rate Commercial Bill Facility

              - Variable
                Rate Commercial Bill Acceptance and Discount Facility

            	 	 	
              40,000,000

              
              

              
              

            	 
	
              Interchangeable
                Facility (2)

              - Fixed
                Rate Commercial Bill Facility

              - Variable
                Rate Commercial Bill Acceptance and Discount Facility

            	 	 	
              5,000,000

              
              

              
              

            	 
	
              Interchangeable
                Facility (3) 

              - Fixed
                Rate Commercial Bill Facility

              - Variable
                Rate Commercial Bill Acceptance and Discount Facility

            	 	 	
              12,300,000

              
              

              
              

            	 
	
              Special
                Finance line Facility - Uncommitted (additional)

            	 	 	
              
              

              25,000,000

            	 
	
              Multi
                Option Facility (1)

              - Lease
                Finance (Progressive Draw) Facility

              - Hire
                Purchase (Progressive Draw) Facility

            	 	 	
              500,000

              
              

            	 
	
              Multi
                Option Facility (2) (additional)

              - Fixed
                Rate Commercial Bill Facility

              - Variable
                Rate Commercial Bill Acceptance and Discount Facility

              - Lease
                Finance (Progressive Draw) Facility

              - Hire
                Purchase (Progressive Draw) Facility

            	 	 	
              2,500,000

            	 
	
              ANZ
                Online Facility - Direct Payments

            	 	 	
              2,000,000

            	 
	
              ANZ
                Online Facility - Global Payments

            	 	 	
              1,000,000

            	 
	
              Indemnity/Guarantee
                Facility - Financial Guarantees

            	 	 	
              1,500,000

            	 
	
              Invoice
                Finance Facility (varied)

            	 	 	
              10,000,000

            	 
	 	 	 	 	 
	
              Total
                Facility Limits:

            	 	 	
              99,800,000

            	 

    

     

    
      
         

      

      
        2

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

     

    Details
      of additional facility:

     

    Details
      of the additional facility are set out in the Facilities Schedule to this
      Variation Letter.

     

    Security:

     

    The
      existing security held by us is to remain in full force and will extend to
      cover
      the existing facilities and the additional facility in this letter being
      provided to you by us.

    

    Securities
      for the facilities are set out in the Security Schedule to this
      letter.

     

    Financial
      requirements, other conditions and conditions precedent:

     

    Details
      of additional financial covenant and conditions precedent are set out in the
      Financial Requirements and Other Conditions Schedule to this Variation
      Letter.

    

    The
      existing financial reporting
      requirements and other conditions continue to remain in full force. 

     

    General
      and Specific Conditions:

     

    Our
      General Conditions (Fourth Edition 2003) apply to the facilities as well as
      any
      applicable Specific Conditions to the facilities. Both the General Conditions
      and any applicable Specific Conditions are enclosed with this letter, unless
      they have been previously provided by us.

     

    Annual
      review:

     

    The
      facilities are subject to annual
      review.
      The
      next review date will be on 17
      October 2008.
      

    

    If
      the
Annual
      review
      is not
      carried out on or before the next review date, we may carry out the
Annual
      review
      at any
      time after the next review date.

     

    Conditions
      continue:

     

    Until
      you
      accept our offer (and have complied with all conditions precedent), the
      arrangements for the facilities that we are making available to you, including
      the conditions on which those facilities are being made available,
      continue.

     

    No
      other variations:

     

    Except
      as
      indicated above, it is not proposed to vary any of the other conditions of
      your
      facilities.

     

    
      
         

      

      
        3

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    

    Fees

     

    Loan
      Approval Fee:

     

    A
      Loan
      Approval Fee of $250,000 will be debited to your account on
      receipt of your acceptance of this letter. 

     

    Stamp
      Duty - Certificate of Value and Location of Assets

     

    To
      ensure
      government stamp duty is paid correctly on any document and transaction would
      you please provide us with a certificate signed by each entity providing
      security which sets out the location of assets on a State or Territory basis
      (the form of the certificate required is attached).

    

    Stamp
      duty and other State and Federal Government charges may be levied/payable on
      the
      facilities provided by the Bank. State charges may apply in a single
      jurisdiction or multiple jurisdictions. You are liable for all such duties
      or
      charges and we may debit your account for those charges. If you do not have
      an
      account with us we will ask you to pay by cheque. We may, at our discretion,
      seek advice from external legal sources to advise on duties and charges payable.
      Any costs associated with obtaining this advice will be for your
      account.

     

    Offer
      period:

     

    Our
      offer
      is available for acceptance until the close of business on 25
      March 2008,
      unless
      otherwise extended by ANZ in writing.

    

    We
      may
      withdraw our offer at any time before you accept it if we become aware of
      anything which, in our opinion, adversely alters the basis on which we made
      our
      offer.

     

    Acceptance:

     

    To
      accept
      this offer, please sign the duplicate of this letter of offer where indicated
      and return it to me at this office.

     

    
      
        	
                Yours
                  faithfully,

              	 
	 	 
	 	 
	
                /s/
                  Zaheed Khan

              	
                /s/
                  Trevor Auld

              
	 	 
	 	 
	
                Zaheed
                  Khan

              	
                Trevor
                  Auld

              
	
                Relationship
                  Manager

              	
                Associate
                  Director

              

      

    

    
      
         

      

      
        4

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

     

    
      
        	
                FACILITIES
                  SCHEDULE

              

      

     

    FACILITIES
      SCHEDULE to Variation Letter dated 3 March 2008.

    

    The
      facility detailed in this Schedule corresponds
      with
      those denoted as varied or additional in the Facility Summary shown on page
      1 of
      this letter. The details of all other facilities remain unchanged.

    

    Please
      note the following in relation to Uncommitted Facilities

     

    Prior
      to
      the date of this Variation Letter, we have advised you of the availability
      of
      one or more of the following uncommitted facility types: 

    
      	
            	·	
              Interest
                Rate Swap Facility 

            

    

    
      	 	
              ·

            	
              Foreign
                Currency Dealing Facility 

            

    

     

    Drawings
      under any of these facilities are subject to our discretion - that is they
      are
      available only if we agree to the terms and conditions of each individual
      contract or transaction. While you may continue to request us to enter into
      transactions of the uncommitted facility/facilities previously included in
      your
      letter of offer, we will no longer be making reference to these facilities
      in
      future letter of offer documentation and each request will remain subject to
      us
      agreeing the terms and conditions of each individual contract or
      transaction.

     

    The
      facility
      specified below are only
      available to the customer named before the facility details.

    

      
        	
                CUSTOMER:

              	 	
                Royal
                  Wolf Australia Group 

              
	 
	
                Special
                  Finance Line Facility - Uncommitted 

              
	 
	
                Total
                  facility limit:

              	 	
                $25,000,000

              
	 	 	 
	
                Termination
                  date:

              	 	
                18
                  September 2012

              
	 	 	 
	
                Purpose:

              	 	
                To
                  assist with acquisition funding
                  for businesses to be identified.

              
	 	 	 
	
                Repayments:

              	 	
                Interest
                  only until 18 September 2012. 

              
	 	 	 
	
                Conditions
                  of use:

              	 	
                Activation
                  is at the bank’s absolute discretion. We do not commit to fund any
                  acquisition which we do not approve. If we do not agree to fund
                  we will
                  not be obliged to provide any reasons. In any event any agreement
                  by the
                  bank to fund will at least be subject to:

              
	 	 	
                i.

              	 	
                Appropriate
                  financial /legal due diligence to be undertaken to the satisfaction
                  of
                  ANZ.

              
	 	 	
                ii.

              	 	
                Independent
                  financial data review of the target company to the satisfaction
                  of the
                  bank. 

              
	 	 	
                iii.

              	 	
                Trailing
                  12mths EBITDA to be utilised for covenant calculations. i.e. Trailing
                  EBITDA of the acquired target to be utilised on a pro - rata basis
                  for
                  covenant calculations following finalisation of acquisitions for
                  a full 12
                  months. 

              
	 	 	
                iv.

              	 	
                Total
                  existing and proposed debt facilities must not exceed 85% of the
                  orderly
                  liquidation value (OLV) of the existing fleet prior to the proposed
                  acquisition. If the existing and proposed debt facilities would
                  exceed the
                  OLV following the drawing of the proposed debt facilities, you
                  may obtain
                  a valuation by Dovebid on the container assets which you propose
                  to
                  acquire and then we will include the Dovebid value of those assets
                  in the
                  OLV calculation to determine satisfaction with the OLV for the
                  purposed of
                  drawing the proposed debt facility. (refer proposed
                  covenants)

              
	 	 	
                v.

              	 	
                Acquired
                  assets to be incorporated into existing security
                  structure.

              
	 	 	
                vi.

              	 	
                Share/Sale
                  Purchase agreements to the satisfaction of ANZ.

              
	 	 	
                vii.

              	 	
                Drawdown
                  subject to all covenants being met, there is no existing event
                  of default
                  or circumstances which with the giving of notice or passing of
                  time would
                  constitute an event of default, nor has a notice been given under
                  clause 9
                  of the General Conditions 2003 which has not been accepted by you.
                  

              
	 	 	 	 	 

      

       

      
        
           

        

        
          5

          
            

          

        

        
          
          

          Exhibit
            10.4

        

      

       

      
        	
                Line
                  Fee 

              	
                Payable
                  quarterly in advance and to be
                  adjusted in accordance to the upward/downward ratchet mechanism.
                  The Line
                  Fee will be adjusted by reference to the Total Financial Debt /
                  Adjusted
                  Trailing EBITDA ratio as follows and implemented at the next available
                  rollover date provided financials and covenant compliance certificate
                  are
                  provided within 15 days of the rollover
                  date:

              

      

       

      
        
          	
                  Total
                    Debt (excl GFN) / Adj

                  Trailing
                    EBITDA

                	 	
                  Line
                    Fee

                
	
                  Less
                    than 2.5x

                	 	 	
                  1.40

                	 
	
                  >2.5x
                    ≤ 3.0x

                	 	 	
                  1.75

                	 
	
                  >3.0x
                    ≤ 4.0x

                	 	 	
                  1.95

                	 
	
                  >4.0x
                    ≤ 4.5x

                	 	 	
                  2.25

                	 
	
                  >
                    4.5x ≤ 5.5x

                	 	 	
                  2.50

                	 
	
                  >5.5x
                    

                	 	 	
                  Review
                    Event 

                

        

      

       

      
        	 	 	 
	 	
                Initial
                  margin to be set at 1.95bps
                  until such time as financial data for the Group (reviewed by WHK)
                  for
                  FYE30/06/2008 are available. Then for each applicable period the
                  margin is
                  to be determined in accordance with Total debt (excl GFN)/ Adjusted
                  Trailing EBITDA (12 months trailing).

              

      

       

    

    
      
        	
                Multi
                  Option Facility (2) (additional)

              
	 	 	 
	
                Total
                  facility limit:

              	 	
                $2,500,000

              
	 	 	 
	
                Termination
                  date:

              	 	
                18
                  September 2012

              
	 	 	 
	
                Purpose:

              	 	
                To
                  assist with the construction of yard facilities. 

              
	 	 	 
	
                Repayments:

              	 	
                Principal
                  and Interest Payments. 

              
	 	 	 
	
                Total
                  facility limit for Multi-Option Facility and separate facility
                  limits:

              	 	
                You
                  may only make a drawing under a particular facility included in
                  the
                  Multi-Option Facility so long as the making of the drawing would
                  not
                  cause:

              
	 	 	 
	 	 	
                (i)

              	 	
                the
                  amount of the outstanding drawings under the facilities included
                  in the
                  Multi-Option Facility to exceed the total facility limit for the
                  Multi-Option Facility; and

              
	 	 	 	 	 
	 	 	
                (ii)

              	 	
                the
                  amount of the outstanding drawings under the particular facility
                  under
                  which the drawing is made to exceed the facility limit, if any,
                  for that
                  particular facility.

              

      

       

       

      
        
           

        

        
          6

          
            

          

        

        
          
          

          Exhibit
            10.4

        

      

       

      
        	
                Detailed
                  Facility Information

              	 	
                The
                  terms associated with the specific facility types listed within
                  the
                  Multi-Option facility are documented separately.

              
	 	 	 
	 	 	
                The
                  available facilities are

              
	 	 	
                -

              	 	
                Fixed
                  Rate Commercial Bill Facility

              
	 	 	
                -

              	 	
                Variable
                  Rate Commercial Bill Acceptance and Discount
                  Facility

              
	 	 	
                -

              	 	
                Lease
                  Finance (Progressive Draw) Facility

              
	 	 	
                -

              	 	
                Hire
                  Purchase (Progressive Draw) Facility

              
	 	 	 	 	 
	
                Fixed
                  Rate Commercial Bill Facility

              	 
	 	 
	
                Yield
                  rate:

              	 	
                For
                  each drawing of bills, a rate fixed for all rollovers up until
                  the last
                  day of the term.

              
	 	 	 
	
                Fees:

              	 	
                Line
                  fee:

              
	 	 	 
	 	 	
                Refer
                  table below. 

              
	 	 	 
	 	 	
                Handling
                  fee:

              
	 	 	 
	 	 	
                A
                  fee of $150 is payable when each bill is rolled. 

              
	 	 	 	 	 
	
                Specific
                  Conditions:

              	 	
                Specific
                  Conditions for the facility are enclosed. 

              
	 
	
                Variable
                  Rate Commercial Bill Acceptance and Discount
                  Facility

              
	 
	
                Yield
                  Rate:

              	 	
                For
                  each drawing of bills, a rate quoted by us for the face value of
                  the bills
                  for the relevant tenor.

              
	 	 	 	 	 
	 	 	
                For
                  tenors of 30, 60, 90, 120, 150 or 180 days, the actual rate used
                  in the
                  calculation will be the Bank Bill Swap Rate - Average Bid (rounded
                  to the
                  nearest two decimal places) plus a margin (if
                  applicable).

              
	 	 	 
	
                 

              	 	For
                any other tenor, the actual rate used in the calculation will be
                the rate
                that we determine is the prevailing rate at which we can discount
                bills
                for the relevant term (rounded to the nearest two decimal places)
                plus a
                margin (if applicable).
	 	 	 	 	 
	 	 	
                In
                  either case, the margin to be applied will depend on the size of
                  the bill
                  parcel and tenor.

              
	 	 	 	 	 
	 	 	
                The
                  Bank Bill Swap Rate - Average Bid is quoted on the BBSY screen
                  of Reuters
                  on the day the quote is given and advertised in the Australian
                  Financial
                  Review the following business day.

              
	 	 	 	 	 
	 	 	
                An
                  additional margin reflecting any movement in the actual rate since
                  its
                  quotation may be applied if your bills are not ready for acceptance
                  by us
                  by 12 noon on the day the bills are to be discounted or
                  rolled.

              
	 	 	 	 	 
	 	 	
                Full
                  details of how the rate has been calculated will be listed on the
                  quotation given.

              

      

       

      
        
           

        

        
          7

          
            

          

        

        
          
          

          Exhibit
            10.4

        

      

       

      
        	
                Fees:

              	 	
                Line
                  fee:

              
	 	 	 
	 	 	
                Payable
                  quarterly in advance,
                  commencing on the date on which the facility is first drawnst.
                  This fee is not rebatable.

              
	 	 	 
	 	 	
                The
                  Line Fee will be adjusted by reference to the Total Financial Debt
                  /
                  Adjusted Trailing EBITDA ratio as follows and implemented at the
                  next
                  available rollover date provided financials and covenant compliance
                  certificate are provided within 15 days of the
                  rollover

              

      

       

      
        
          	
                  Total
                    Debt (excl GFN) / Adj

                  Trailing
                    EBITDA

                	 	
                  Line
                    Fee 

                
	
                  Less
                    than 2.5x

                	 	 	
                  1.40

                	 
	
                  >2.5x
                    ≤ 3.0x

                	 	 	
                  1.75

                	 
	
                  >3.0x
                    ≤ 4.0x

                	 	 	
                  1.95

                	 
	
                  >4.0x
                    ≤ 4.5x

                	 	 	
                  2.25

                	 
	
                  >
                    4.5x ≤ 5.5x

                	 	 	
                  2.50

                	 
	
                  >5.5x
                    

                	 	 	
                  Review
                    Event 

                

        

      

       

      
        	 	 	
                Handling
                  fee:

              
	 	 	 
	 	 	
                A
                  fee of $150 is payable when each bill is rolled. 

              
	 	 	 
	
                Specific
                  Conditions:

              	 	
                Specific
                  Conditions for the facility are enclosed. 

              
	 	 	 
	
                Lease
                  Finance (Progressive Draw) Facility

              
	 
	
                Subject
                  to execution and acceptance of lease request:

              	 	
                The
                  Customer is entitled to an agreement to lease or lease, as the
                  case may
                  be, only upon acceptance by the Bank of a signed lease
                  request.

              
	 	 	 
	
                Fees:

              	 	
                Documentation
                  fee:

              
	 	 	 
	 	 	
                A
                  Documentation fee of $385 is payable on each draw.

              
	 	 	 
	 	 	
                Asset
                  Drawdown fee:

              
	 	 	 
	 	 	
                An
                  Asset Drawdown fee of $165 is payable on each draw.

              
	 	 	 
	 	 	
                Other
                  fees may be payable in accordance with the Specific
                  Conditions.

              
	 	 	 
	
                Specific
                  Conditions:

              	 	
                Specific
                  Conditions for the facility are enclosed.

              
	 	 	 
	
                Hire
                  Purchase (Progressive Draw) Facility

              
	 	 	 
	Subject
                to execution and acceptance of hire purchase request:	 	
                
                  The
                    Customer is entitled to an agreement to hire or hire purchase
                    agreement,
                    as the case may be, only upon acceptance by the Bank of a signed
                    hire
                    purchase request.

                

              
	 	 	 
	
                Fees:

              	 	
                Documentation
                  fee:

              
	 	 	 
	 	 	
                A
                  Documentation fee of $350 is payable on each draw.

              
	 	 	 
	 	 	
                Asset
                  Drawdown fee:

              
	 	 	 
	 	 	
                An
                  Asset Drawdown fee of $150 is payable on each draw.

              
	 	 	 
	 	 	
                Other
                  fees may be payable in accordance with the Specific
                  Conditions.

              
	 	 	 
	
                Specific
                  Conditions:

              	 	
                Specific
                  Conditions for the facility are
                  enclosed.

              

      

    

     

    
      
         

      

      
        8

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    

      
        	
                Invoice
                  Finance Facility (varied)

              
	 	 	 	 	 
	
                Product
                  limit:

              	 	
                $10,000,000
                  (previously
                  $13,000,000)

              
	 	 	 	 	 
	
                Termination
                  date:

              	 	
                Not
                  before the next review date.

              
	 	 	 	 	 
	
                Purpose:

              	 	
                To
                  enable you to sell debts to us and receive payments (including
                  prepayments) to provide working capital for your
                  business.

              
	 	 	 	 
	
                Administration
                  fee:

              	 	
                $5,500
                  per month. 

              
	 	 	 	 	 
	
                Prepayment
                  percentage:

              	 	
                85%
                  of the aggregate Face Value of Approved Debts.

              
	
                Funding
                  Charge:

              	 	
                The
                  Bank Bill Swap Reference Rate - Average Bid for 30 days (rounded
                  to the
                  nearest two decimal places) plus a margin of 1.65% pa.

              
	 	 	 	 	 
	 	 	
                The
                  Bank Bill Swap Reference Rate - Average Bid for 30 days is quoted
                  on the
                  BBSY screen of Reuters on the day the quote is given and is advertised
                  in
                  the Australian Financial Review the following business
                  day.

              
	 	 	 	 	 
	
                Condition
                  Precedent

              	 	
                ·

              	 	
                Debtors
                  obtained from new business acquisitions will need to be vetted
                  and
                  approved by ANZ Invoice Finance prior to the invoices being discounted
                  via
                  the Invoice Finance facility.

              
	 	 	 	 	 
	
                 

              	 	
                
                  ·

                

              	 	Any
                invoices issued involving progress claim billing will not be funded
                via
                the facility and the customer is to advise ANZ Invoice Finance in
                advance
                of any invoices raised on a progress claim basis.
	 	 	 	 	 
	
                Field
                  Review

              	 	
                At
                  the Bank’s discretion. 

              
	 	 	 	 	 
	 	 	
                Should
                  any aspect of the Field Review in our opinion be unsatisfactory,
                  we
                  reserve the right to vary terms and conditions under the Invoice
                  Finance
                  facility or withdraw the Invoice Finance facility if we deem
                  appropriate.

              
	 	 	 	 	 
	
                Ageing
                  of Purchased Debts:

              	 	
                Purchased
                  Debts may be disapproved by us at any time and unless otherwise
                  agreed,
                  will be automatically disapproved once they are 3 months past the
                  end of
                  month of invoice.

              
	 	 	 	 	 
	
                Specific
                  Conditions:

              	 	
                Specific
                  Conditions - Invoice Finance Facility are enclosed.
                  

              

      

    

     

    
      
         

      

      
        9

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

     

    
      
        	
                SECURITY
                  SCHEDULE

              

      

    

     

    SECURITY
      SCHEDULE
      to
      Variation Letter dated 3 March 2008.

     

    Existing
      Securities

    

      
        	
                ·

              	
                Corporate
                  Guarantee and Indemnity between:

              
	 	
                -

              	
                Royal
                  Wolf Trading Australia Pty Ltd ACN 069 244 417

              
	 	
                -

              	
                RWA
                  Holdings Pty Ltd ACN 106 913 964 

              
	 	
                -

              	
                GFN
                  Australasia Holdings Pty Ltd ACN 121 226 793

              
	 	
                -

              	
                GFN
                  Australasia Finance Pty Ltd ACN 121 227 790

              
	 	
                -

              	
                Royal
                  Wolf Hi-Tech Pty Ltd ACN 079 735 050

              
	 	 	 
	
                ·

              	
                First
                  Registered Company Charges (Mortgage Debentures) over all the assets
                  and
                  undertaking of:

              
	 	
                -

              	
                Royal
                  Wolf Trading Australia Pty Ltd ACN 069 244 417 ASIC Charge No.
                  1117185
                  dated 20 May 2005.

              
	 	
                -

              	
                RWA
                  Holdings Pty Ltd ACN 106 913 964 ASIC Charge No. 1117184 dated
                  20 May
                  2005. 

              
	 	
                -

              	
                Royal
                  Wolf Hi-Tech Pty Ltd ACN 079 735 050 ASIC Charge No. 1438843 dated
                  12
                  April 2007.

              
	 	
                -

              	
                GFN
                  Australasia Holdings Pty Ltd ACN 121 226 793

              
	 	
                -

              	
                GFN
                  Australasia Finance Pty Ltd ACN 121 227 790

              
	 
	
                (These
                  are fixed and floating charges over all present and future assets,
                  undertaking (including goodwill) and unpaid/uncalled capital of
                  the
                  companies).

              
	 	 	 
	
                ·

              	
                Registered
                  Fixed Charge over shares in Royal Wolf Trading Australia Pty Limited
                  ACN
                  069 244 417 granted by RWA Holdings Pty Ltd ACN 106 913 964 ASIC
                  Charge
                  No.1117849 dated 31 December 2004.

              
	 	 	 
	
                ·

              	
                Deed
                  of Subordination dated 14 September 2007 between General Finance
                  Corporation (U.S), GFN U.S. Australasia Holdings, Inc., Bison
                  Capital Australia, L.P.,
                  Royal Wolf Australia Group and Australia and New Zealand Banking
                  Group
                  Limited ABN 11 005 357 522 (the Bank).

              
	 	 	 

      

    

     

    
      
         

      

      
        10

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    

      
        	
                FINANCIAL
                  REQUIREMENTS AND OTHER CONDITIONS
                  SCHEDULE

              

      

    

     

    FINANCIAL
      REQUIREMENTS AND OTHER CONDITIONS SCHEDULE to Variation Letter dated 3 March
      2008.

     

    Financial
      covenants: 

     

    While
      we
      are making facilities available to you and while there remains any obligations
      by you to us, you undertake that:

    
      
        	
                ·

              	 	
                Consolidated
                  Interest Cover: The
                  interest cover ratio must
                  be equal to or greater than as listed below at all
                  times,
                  tested quarterly on a rolling basis:(amended)

              
	 	 	
                31/03/2008
                  - 2.25 times 

              
	 	 	
                30/06/2009
                  - 2.50 times 

              

      

    

     

    
      	
              ·

            	 	
              Consolidated
                Senior Debt Interest Cover: The
                senior debt interest cover ratio must
                be equal to or greater than 3.50 times at all times,
                tested quarterly on a rolling basis, to commence from the period
                31 March
                2008.  

              (amended)

            
	
              · 

            	 	
              Total
                Debt (excluding loans
                from General Finance Corporation to the Group)
                to adjusted trailing EBITDA ratio must
                be equal to or less than 5.50 times at all times,
                tested quarterly on a rolling basis, to commence from the period
                31 March
                2008. 

              (new)

            
	
              · 

            	 	
              Senior
                Debt to adjusted trailing EBITDA ratio must
                be equal to or less than 4.50 times at all times,
                tested quarterly, to commence from the period 31 March 2008.

              (new)
                

            

    

     

    unless
      we
      have given you our prior written consent to a variation.

    

    All
      other
      financial covenant requirements remain unchanged.

    

    Commercial
      Bill Facility Line Fee. 

     

    For
      all
      existing Commercial Bill, payable quarterly in advance,
      commencing on the date on which the facility is rolled nextst.
      This
      fee is not rebatable.

     

    The
      Line
      Fee will be adjusted by reference to the Total Financial Debt / Adjusted
      Trailing EBITDA ratio as follows and implemented at the next available rollover
      date provided financials and covenant compliance certificate are provided within
      15 days of the rollover

     

    
      	
              Total
                Debt (excl GFN) / Adj Trailing EBITDA

            	 	
              Line
                Fee 

            
	
              Less
                than 2.5x

            	 	 	
              1.40

            	 
	
              >2.5x
                ≤ 3.0x

            	 	 	
              1.75

            	 
	
              >3.0x
                ≤ 4.0x

            	 	 	
              1.95

            	 
	
              >4.0x
                ≤ 4.5x

            	 	 	
              2.25

            	 
	
              >
                4.5x ≤ 5.5x

            	 	 	
              2.50

            	 
	
              >5.5x
                

            	 	 	
              Review
                Event 

            

    

     

    
      
         

      

      
        11

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

     

    Compliance
      with financial covenants:

     

    If
      any of
      the above financial covenants are breached, unless we have given you our prior
      written consent to a variation, you will be in breach of your obligations in
      terms of Default clauses in the General Conditions.

    

    We
      will
      test the financial covenants for each entity that the financial covenants apply
      to at the end of each compliance period as set out above, based
      on
      the definitions and calculations set out below.

    

    You
      agree
      that the interpretation and testing of the above financial covenants will be
      carried out in accordance with the provisions of the Corporation Act 2001 (Cth)
      and the accounting concepts, standards and disclosure requirements of the
      Australian accounting bodies consistently applied, unless otherwise agreed
      in
      writing.

     

    Definitions:

     

    “Consolidated”
      means,
      for the purposes of your financial statements, the following entities

     

    
      	 	
              ·

            	
              Royal
                Wolf Trading Australia Pty Ltd ACN 069 244
                417

            

    

     

    
      	 	
              ·

            	
              RWA
                Holdings Pty Ltd ACN 106 913 964 

            

    

     

    
      	 	
              ·

            	
              GFN
                Australasia Holdings Pty Ltd ACN 121 226
                793

            

    

     

    
      	 	
              ·

            	
              GFN
                Australasia Finance Pty Ltd ACN 121 227
                790

            

    

     

    
      	 	
              ·

            	
              Royal
                Wolf Hi-Tech Pty Ltd ACN 079 735
                050

            

    

    

    “Total
      Interest Expense” means
      the
      aggregate of interest expense, interest expense - Intra Group loans,
      subordinated loans, Invoice Finance Administration Fee and Funding Charge and
      interest expense of Directors, Owners and Shareholder loans.

    

    “EBITDA”
      means
      the consolidated net profit/(loss) before deduction of, interest, tax
      depreciation and amortisation (before significant items).

    

    “Senior
      Debt Interest Expense” means
      the
      aggregate of ANZ Commercial Bills and Invoice Finance interest expense, Invoice
      Finance Administration Fee and Funding Charge.

    

    “GFN
      Loan Interest Subordinated” means
      the
      aggregate of interest expense on loans from General Finance Corporation to
      the
      Group, which have principal and
      interest
      subordinated to the facilities being provided by the bank.

    

    “Adjusted
      trailing EBITDA”
      means
      GFN Australasia Holdings trailing 12 months EBITDA plus 12 months trailing
      EBITDA of future acquired companies.

    

    The
      above
      terms are to be interpreted according to the Corporations Act 2001 (Cth),
      Statement of Accounting Concepts, Australian Accounting Standards and other
      mandatory reporting requirements.

     

    Calculation:

    
      	
              Consolidated
                Interest Cover: 

            
	 
	
              Adjusted
                trailing EBITDA 

              Total
                Interest Expense less GFN Loan Interest Subordinated

            
	 
	
              Consolidated
                Senior Debt Interest Cover : 

            
	 
	
              Adjusted
                trailing EBITDA

              Total
                Senior Debt Interest Expense

            
	 
	
              Total
                Debt (excluding loans
                from General Finance Corporation to the Group)
                to adjusted trailing EBITDA:

            
	 
	
              Total
                Debt (excluding loans
                from General Finance Corporation to the Group)

              Adjusted
                trailing EBITDA 

            
	 
	
              Senior
                Debt to adjusted trailing EBITDA:

            
	 
	
              Senior
                Debt

              Adjusted
                trailing EBITDA

            

    

     

    
      
         

      

      
        12

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

     

    Conditions
      Precedent:

     

    Our
      obligation to make any facilities available is subject to us
      being
      satisfied that you have complied
      with Clause 4 of the General Conditions and with the following:

    
      
        	
                ·

              	
                Signed
                  Legal and Financial due diligence to the Bank’s
                  satisfaction.

              
	
                ·

              	
                Full
                  breakdown of the purchase price to be provided. 

              
	
                ·

              	
                You
                  agree to enter into arrangements to hedge your interest rate risks
                  in
                  relation to no less than 50% of the $25,000,000 Special Finance
                  Line
                  Facility - Uncommitted. These hedging arrangements
                  must: 

              
	
                 

              	
                §

              	
                be
                  entered into on or before settlement date; 

              
	 	
                §

              	
                continue
                  for the remainder of the term of the $25,000,000 Variable Rate/Fixed
                  Rate
                  Commercial Bill Acceptance Discount Facility; and

              
	 	
                §

              	
                be
                  acceptable to us in all respects.  

              
	
                 

              	You
                agree to provide us with evidence of the hedging arrangement, which
                is
                acceptable to us, on or before settlement.  
	
                ·

              	
                Additional
                  10% interest rate hedging to be entered into for the $25,000,000
                  for a
                  period of 12 months from the drawdown date. 

              
	
                ·

              	
                All
                  the assets acquired are or will on completion of the acquisition
                  be
                  located in Australia.

              
	
                ·

              	
                None
                  of the conditions precedent in the sale of business agreement have
                  been
                  waived or varied without the Bank's written consent, and that your
                  solicitor provides a letter in terms satisfactory to the Bank that
                  the
                  conditions have been satisfied.

              
	
                ·

              	
                Information
                  on fleet upgrade program and capital expenditure requirements.
                  

              
	
                ·

              	
                Updated
                  forecasts for Financial Year Ending 30 June 2008.

              
	
                ·

              	
                Half
                  Year to Date 31 December 2007 management accounts to be confirmed
                  by
                  External Accounts (ie. WHK). 

              

      

    

     

    Orderly
      Liquidation Value

    

    Funding
      of the Interchangeable Facility (1), Interchangeable Facility (2),
      Interchangeable Facility (3), Special Finance Line Facility and the Multi Option
      Facility (2) are restricted to an amount in total which is no greater than
      85%
      of the orderly liquidation value of the container fleet. Should this condition
      be breached you must reduce the balance of the facilities within 5 Sydney
      business days to a level that will satisfy this condition. 

     

    New
      subsidiaries

    

    All
      subsidiaries of the Group must provide guarantees and security over all assets
      to support all the facilities. 

     

    
      
         

      

      
        13

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    
       

      
        	
                ACCEPTANCE

              

      

    

     

    
      
        	
                To:

              	
                Australia
                  and New Zealand Banking Group Limited

              
	 	
                Corporate
                  Banking

              
	 	
                Level
                  13, 20 Martin Place

              
	 	
                Sydney
                  NSW 2000

              

      

       

      Acceptance
        of
        Variation Letter dated 3 March 2008.

      

      We
        accept
        the additional facility and variations detailed in this letter
        and
        acknowledge receipt of the applicable Specific Conditions.

       

      Dated:
        19
        March 2007

      

      
        	
                Signed
                  for and on behalf of GFN
                  Australasia Holdings Pty Ltd ACN 121 226 793:

              	 	
                GFN
                  Australasia Holdings Pty Ltd ACN 121 226 793

              
	 	 	 
	 	 	/s/
                Peter McCann
	 	 	 
	
                /s/
                  Greg Baker

              	 	 
	
                Signature
                  of witness

              	 	 
	 	 	 
	
                Gregory
                  Brian Baker

              	 	 
	
                Name
                  of witness (BLOCK LETTERS)

              	 	 
	 	 	 
	
                9
                  Jerome Ave Winston Hills NSW

              	 	 
	
                Address
                  of witness

              	 	 

      

      
 

      
        	
                Signed
                  for and on behalf of GFN
                  Australasia Finance Pty Ltd ACN
                  121 227 790:

              	 	
                GFN
                  Australasia Finance Pty Ltd ACN
                  121 227 790

              
	 	 	 
	 	 	/s/
                Peter McCann
	 	 	 
	
                /s/
                  Greg Baker

              	 	 
	
                Signature
                  of witness

              	 	 
	 	 	 
	
                Gregory
                  Brian Baker

              	 	 
	
                Name
                  of witness (BLOCK LETTERS)

              	 	 
	 	 	 
	
                9
                  Jerome Ave Winston Hills NSW

              	 	 
	
                Address
                  of witness

              	 	 

      

       

    

    
      
         

      

      
        14

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    
      

      
        	
                Signed
                  for and on behalf of Royal
                  Wolf Trading Australia Pty Limited ACN
                  069 244 417:

              	 	
                Royal
                  Wolf Trading Australia Pty Limited ACN
                  069 244 417

              
	 	 	 
	 	 	/s/
                Peter McCann
	 	 	 
	
                /s/
                  Greg Baker

              	 	 
	
                Signature
                  of witness

              	 	 
	 	 	 
	
                Gregory
                  Brian Baker

              	 	 
	
                Name
                  of witness (BLOCK LETTERS)

              	 	 
	 	 	 
	
                9
                  Jerome Ave Winston Hills NSW

              	 	 
	
                Address
                  of witness

              	 	 

      

      

      

      
        	
                Signed
                  for and on behalf of RWA
                  Holdings Pty Limited ACN
                  106 913 964

              	 	
                RWA
                  Holdings Pty Limited ACN
                  106 913 964

                 

              
	 	 	 
	 	 	/s/
                Peter McCann
	 	 	 
	
                /s/
                  Greg Baker

              	 	 
	
                Signature
                  of witness

              	 	 
	 	 	 
	
                Gregory
                  Brian Baker

              	 	 
	
                Name
                  of witness (BLOCK LETTERS)

              	 	 
	 	 	 
	
                9
                  Jerome Ave Winston Hills NSW

              	 	 
	
                Address
                  of witness

              	 	 

      

      

      

      
        	
                Signed
                  for and on behalf of Royal
                  Wolf Hi-Tech Pty Ltd ACN
                  079 735 050 

              	 	
                Royal
                  Wolf Hi-Tech Pty Ltd ACN
                  079 735 050

              
	 	 	 
	 	 	/s/
                Peter McCann
	 	 	 
	
                /s/
                  Greg Baker

              	 	 
	
                Signature
                  of witness

              	 	 
	 	 	 
	
                Gregory
                  Brian Baker

              	 	 
	
                Name
                  of witness (BLOCK LETTERS)

              	 	 
	 	 	 
	
                9
                  Jerome Ave Winston Hills NSW

              	 	 
	
                Address
                  of witness

              	 	 

      

       

    

    
      
         

      

      
        15

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    
      	
              CORPORATE
                SURETY ACKNOWLEDGMENT

            

    

    

      
        	
                To:

              	
                Australia
                  and New Zealand Banking Group Limited

              
	 	
                Corporate
                  Banking

              
	 	
                Level
                  13, 20 Martin Place

              
	 	
                Sydney
                  NSW 2000

              

      

    

     

    Corporate
      Surety Acknowledgment
      to
      Variation Letter dated 3 March 2008.

     

    Dated:
      19
      March
      2007

    

    
      	
              Signed
                for and on behalf of GFN
                Australasia Holdings Pty Ltd ACN 121 226 793:

            	 	
              GFN
                Australasia Holdings Pty Ltd ACN 121 226 793

               

            
	 	 	 
	 	 	/s/
              Peter McCann
	 	 	 
	
              /s/
                Greg Baker

            	 	 
	
              Signature
                of witness

            	 	 
	 	 	 
	
              Gregory
                Brian Baker

            	 	 
	
              Name
                of witness (BLOCK LETTERS)

            	 	 
	 	 	 
	
              9
                Jerome Ave Winston Hills NSW

            	 	 
	
              Address
                of witness

            	 	 

    

     

     

    
      	
              Signed
                for and on behalf of GFN
                Australasia Finance Pty Ltd ACN
                121 227 790:

            	 	
              GFN
                Australasia Finance Pty Ltd ACN
                121 227 790

            
	 	 	 
	 	 	/s/
              Peter McCann
	 	 	 
	
              /s/
                Greg Baker

            	 	 
	
              Signature
                of witness

            	 	 
	 	 	 
	
              Gregory
                Brian Baker

            	 	 
	
              Name
                of witness (BLOCK LETTERS)

            	 	 
	 	 	 
	
              9
                Jerome Ave Winston Hills NSW

            	 	 
	
              Address
                of witness

            	 	 

    

     

    
      
         

      

      
        16

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

     

    
      	
              Signed
                for and on behalf of Royal
                Wolf Trading Australia Pty Limited ACN
                069 244 417
                in
                the presence of:

            	 	
              Royal
                Wolf Trading Australia Pty Limited ACN
                069 244 417

            
	 	 	 
	 	 	/s/
              Peter McCann
	 	 	 
	
              /s/
                Greg Baker

            	 	 
	
              Signature
                of witness

            	 	 
	 	 	 
	
              Gregory
                Brian Baker

            	 	 
	
              Name
                of witness (BLOCK LETTERS)

            	 	 
	 	 	 
	
              9
                Jerome Ave Winston Hills NSW

            	 	 
	
              Address
                of witness

            	 	 

    

    

    

    
      	
              Signed
                for and on behalf of RWA
                Holdings Pty Limited ACN
                106 913 964
                in
                the presence of:

            	 	
              RWA
                Holdings Pty Limited ACN
                106 913 964

            
	 	 	 
	 	 	/s/
              Peter McCann
	 	 	 
	
              /s/
                Greg Baker

            	 	 
	
              Signature
                of witness

            	 	 
	 	 	 
	
              Gregory
                Brian Baker

            	 	 
	
              Name
                of witness (BLOCK LETTERS)

            	 	 
	 	 	 
	
              9
                Jerome Ave Winston Hills

            	 	 
	
              Address
                of witness

            	 	 

    

    

    

    
      	
              Signed
                for and on behalf of Royal
                Wolf Hi-Tech Pty Ltd ACN
                079 735 050
                in
                the presence of:

            	 	
              Royal
                Wolf Hi-Tech Pty Ltd ACN
                079 735 050

            
	 	 	 
	 	 	/s/
              Peter McCann
	 	 	 
	
              /s/
                Greg Baker

            	 	 
	
              Signature
                of witness

            	 	 
	 	 	 
	
              Gregory
                Brian Baker

            	 	 
	
              Name
                of witness (BLOCK LETTERS)

            	 	 
	 	 	 
	
              9
                Jerome Ave Winston Hills

            	 	 
	
              Address
                of witness

            	 	 

    

     

    
      
         

      

      
        17

        
          

        

      

      
        
        

        Exhibit
          10.4

      

    

    
       

      
        	
                CERTIFICATE
                  OF VALUE AND LOCATION OF
                  ASSETS

              

      

    

    

    Group
      Name: Royal
      Wolf Group

    

    
      	 	
              NSW

            	
              VIC

            	
              QLD

            	
              WA

            	
              SA

            	
              TAS

            	
              ACT

            	
              NT

            	
              Overseas

            	
              Total

            
	
              Customer
                Representative to complete values (include all assets e.g. debtors,
                plant,
                land, inventory, goodwill and loans - excluding intercompany loans
                to
                other companies on this list who have given mortgage
                debentures)

            
	
              Royal
                Wolf Trading Australia Pty Ltd ACN 38 069 244 417 

            	 	 	 	 	 	 	 	 	 	 
	
              RWA
                Holdings Pty Ltd 

              ACN
                55 106 913 964 

            	 	 	 	 	 	 	 	 	 	 
	
              GFN
                Australasia Holdings Pty Ltd ACN 121 226 793

            	 	 	 	 	 	 	 	 	 	 
	
              GFN
                Australasia Finance Pty Ltd ACN 121 227 790

            	 	 	 	 	 	 	 	 	 	 
	
              Royal
                Wolf Hi-Tech Pty Ltd ACN 22 079 735 050

            	 	 	 	 	 	 	 	 	 	 
	
              Customer
                Representative to complete values (eg the value of the land or the
                value
                of the shares)

            
	
              N/a

            	 	 	 	 	 	 	 	 	 	 
	
              Totals

            	 	 	 	 	 	 	 	 	 	 

    

    

    CONFIRMATION
      OF PREVIOUS ADVICE

    

    I
      hereby
      certify that location and values of assets listed have not materially changed
      since our previous advice dated / / 

     

    
      
        	
                Customer
                  Representative Signature

              	   	
                 

              
	 	 	 
	
                Customer
                  Representative Name

              	   	
                 

              
	 	 	 
	
                Position
                  of Customer Representative

              	   	
                 

              
	 	(Director/Financial
                Controller etc)	
                 

              
	 	 	 

      

       

      
        	
                Date

              	
                  
                  

              

      

    

    

    
      
         

      

      
        1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}]]