Document:

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                                                                    EXHIBIT 10.5

                                                                  April 17, 2005

GameStop Corp.
2250 William D. Tate Ave.
Grapevine, Texas 76501

Attention: Mr. David Carlson
           Chief Financial Officer

Dear Mr. Carlson:

1.    COMMITMENT

      We are pleased to advise you of the commitment of Bank of America, N.A.
("BOFA"), Merrill Lynch Capital, a division of Merrill Lynch Business Financial
Services Inc. ("ML") and Citigroup (as defined below), subject to the terms and
conditions hereof, to provide a senior secured revolving credit facility in the
amount of $400,000,000 (the "REVOLVING CREDIT FACILITY") in favor of (a) a
holding company that upon the consummation of the Acquisition of the Target (the
identity of which the Agents and the Arrangers have previously been advised)
will hold all of the equity interests of GameStop Corp. and the Target, (b)
GameStop Corp., (c) the Target, and (d) certain of the subsidiaries of each of
the foregoing (collectively, the "BORROWER"), all as contemplated on the Summary
of Terms and Conditions (the "TERM SHEET") annexed to this letter as EXHIBIT A.
Each of BofA, ML, and Citigroup severally commits that each such institution
will participate in thirty-three and one-third percent (33 1/3%) of the
Revolving Credit Facility. For purposes of this letter, "Citigroup" means
Citigroup Global Markets Inc. ("CGMI"), Citibank, N.A., Citicorp USA, Inc.,
Citicorp North America, Inc. and/or any of their affiliates as may be
appropriate to consummate the transactions contemplated herein.

2.    AGENTS

      BofA will act as Administrative Agent and Collateral Agent (and is
referred to herein in such capacity as the "ADMINISTRATIVE AGENT") for itself
and other lenders (the "LENDERS") which fund the Revolving Credit Facility. An
affiliate of CGMI will act as Syndication Agent (the "SYNDICATION AGENT"). ML
will act as Documentation Agent (the "DOCUMENTATION AGENT" and collectively with
the Administrative Agent and the Syndication Agent, the "AGENTS").

3.    SYNDICATION

      BofA, ML, and CGMI reserve the right to syndicate the Revolving Credit
Facility to other lenders. In such event, Banc of America Securities LLC., CGMI
and ML will act as the Joint Lead Arrangers and Joint Lead Bookrunners (in such
capacity, the "ARRANGERS") and as the exclusive syndication managers for the
Revolving Credit Facility and, in such capacity, the Arrangers will perform the
duties and exercise the authority customarily associated with such role. No
additional agents, arrangers or syndication managers will be appointed with
respect to

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GameStop Corp.
April 17, 2005
Page 2

the syndication of the Revolving Credit Facility. The Arrangers, in their sole
discretion, but in consultation with the Borrower, will manage all aspects of
the syndication of the Revolving Credit Facility, including the selection of
lenders reasonably acceptable to the Borrower and the Arrangers, the
determination of when to approach potential lenders, the titles and roles given
various lenders, and the final allocation of the commitments among the lenders.
Subject to the preceding sentence, the Arrangers shall, in all events, have the
final say concerning all aspects of the syndication. BofA, ML, and Citigroup
shall be released from a portion of their respective commitments hereunder in an
aggregate amount equal to the commitment of those lenders which commit and
subscribe to the Revolving Credit Facility. In connection therewith, each of
BofA, ML, and Citigroup shall be reduced to a hold level reasonably satisfactory
to the Arrangers.

      The Borrower will be reasonably responsive in assisting the Arrangers in
achieving a successful syndication, including (a) direct contact during the
syndication between the Borrower's senior officers, representatives, and
advisors, on the one hand, and the Arrangers; and (b) providing the Arrangers
with all such financial and other information in the Borrower's possession with
respect to the Borrower and the transactions contemplated by this letter,
including but not limited to financial projections and forecasts relating to the
foregoing not presently in the possession of the Arrangers and which the
Arrangers reasonably may request from time to time.

      The provisions of this Paragraph 3 shall survive any closing of the
Revolving Credit Facility in the event that a successful syndication has not
been completed at the time of such closing.

4.    INDEMNIFICATION

      Whether or not the credit facility contemplated hereby is established, the
Borrower agrees to indemnify and hold harmless each Agent, BofA, ML, Citigroup,
the Arrangers, the Lenders, and their respective participants, directors,
officers, employees, affiliates, agents, attorneys, accountants, consultants and
each other entity, if any, who controls any of the foregoing, and to hold such
persons and entities (each, an "INDEMNIFIED PERSON") harmless from and against
all losses, claims, damages, liabilities and expenses, joint or several, to
which any such person or entity may become subject arising out of or in
connection with this letter, the Term Sheet, the Revolving Credit Facility, the
use of proceeds of the extensions of credit thereunder or any related
transaction or any claim, litigation, investigation or proceeding relating to
any of the foregoing, regardless of whether any of such Indemnified Persons is a
party thereto, and to reimburse each Indemnified Person upon demand for any
reasonable legal or other expenses incurred in connection with investigating or
defending any of the foregoing; provided, however, the foregoing indemnification
shall not be available, as to any Indemnified Person, on account or in respect
to any claim in which a final judgment has been entered by a court of competent
jurisdiction finding that such Indemnified Person had acted with gross
negligence, willful misconduct or in bad faith. In all such litigation, or the
preparation therefor, the Agents and such Indemnified Party shall be entitled to
select their own counsel and the Borrower agrees

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to pay promptly the reasonable fees and expenses of such counsel, provided that
the Indemnified Parties who are not the Agents shall be entitled to
reimbursement for no more than one counsel representing all such Indemnified
Parties (absent a conflict of interest, in which case the Indemnified Parties
may engage and be reimbursed for additional counsel).

      The Borrower also agrees that neither any Indemnified Person, nor any of
their respective affiliates, partners, directors, officers, agents, employees or
controlling persons, shall have any liability to the Borrower, any person
asserting claims on behalf or in right of the Borrower or any other person in
connection with or as a result of either the syndication or any matter referred
to herein or in the loan documentation except for any claim in which a final
judgment has been entered by a court of competent jurisdiction finding that such
Indemnified Person had acted with gross negligence, willful misconduct or in bad
faith.

      No Indemnified Person shall be liable for any indirect, special, punitive,
or consequential damages in connection with or arising out of this letter or the
transactions contemplated hereby. The indemnification contained in this Section
4 shall survive any termination of the commitments hereunder.

5.    REIMBURSEMENT

      The Borrower shall reimburse the Agents, BofA, ML, Citigroup, and the
Arrangers from time to time on demand for reasonable out-of-pocket expenses
(including, but not limited to, reasonable expenses of due diligence
investigation, reasonable syndication expenses, reasonable travel expenses and
reasonable fees, disbursements and charges of its counsel), in each instance
incurred in connection with the Revolving Credit Facility and the preparation of
this letter, the Term Sheet and the definitive documentation for the Revolving
Credit Facility, whether or not the transactions contemplated by this letter are
closed.

      Upon acceptance of this commitment letter, the Borrower shall pay to the
Administrative Agent the sum of $100,000 (the "EXPENSE DEPOSIT"). The Expense
Deposit shall be applied to reimburse the Agents, BofA, ML, Citigroup, the
Arrangers for any fees and expenses reasonably incurred in connection with the
transaction contemplated by this letter (including, without limitation,
reasonable legal, appraisal, and commercial finance examination fees). From time
to time, the Borrower shall furnish supplemental Expense Deposits in such
amounts as may be reasonably requested by the Agents and the Arrangers. In any
event, the Borrower shall remain obligated to reimburse the Agents, BofA, ML,
Citigroup, the Arrangers for any fees and expenses reasonably incurred in
connection with the transaction contemplated by this letter (including, without
limitation, reasonable legal, appraisal, and commercial finance examination
fees) not covered by the Expense Deposit. The provisions of this paragraph shall
survive any closing of the Revolving Credit Facility and any termination of
BofA's, ML's, or Citigroup's commitments hereunder. All amounts payable under
this Section 5 shall not be subject to counterclaim or offset for, or otherwise
be affected by, any claim or dispute relating to any other matter.

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6.    CLOSING

      This letter shall terminate unless accepted by the Borrower on or before
5:00 p.m. (New York time) on April 18, 2005, by signing below and returning this
letter so signed to the Administrative Agent. Further, after this letter is so
accepted, this letter and the commitments herein contained may be terminated by
the Agents and the Arrangers and shall be of no further force or effect, if
either the Expense Deposit or a non-refundable deposit of $500,000 (the
"NON-REFUNDABLE DEPOSIT") shall not have been paid to the Administrative Agent
on or before 5:00 p.m. (New York time) on April 18, 2005. Time and strict
performance are of the essence with respect to all of the terms, conditions and
provisions of this letter.

      If the Revolving Credit Facility closes, the Non-Refundable Deposit shall
be applied by the Administrative Agent toward the Underwriting Fee (as defined
in the Fee Letter) payable by the Borrower on the Closing Date. If the Revolving
Credit Facility is not consummated, BofA, ML, and Citigroup and their respective
affiliates may retain the Non-Refundable Deposit towards compensation for their
lost opportunity costs and their efforts to establish the facility contemplated
by this letter.

      If this letter is so accepted, then, subject to the terms and conditions
of this letter, BofA, ML, and Citigroup would be obligated to establish the
Revolving Credit Facility if all conditions precedent thereto are satisfied (as
reasonably determined by each of the Agents) on or before October 31, 2005
provided that such date shall be automatically extended to December 31, 2005 to
the extent the Outside Date (as defined in the Merger Agreement for the
acquisition of the Target) is extended to December 31, 2005 pursuant to Section
8.1(b)(i) of the Merger Agreement (as in effect on the date of its execution).

      This letter does not constitute an unconditional commitment to lend. Such
a commitment will exist only following: the execution and delivery of definitive
loan documents (each in form reasonably satisfactory to each of the Agents); the
recordation of such instruments and documents as the Administrative Agent
reasonably determines to be appropriate under the circumstances; and the
satisfaction of all conditions precedent referenced herein, in the Term Sheet,
or in any of the loan documents.

7.    NONTRANSFERABILITY OF COMMITMENT

      The identity of the Borrower is of material importance to each of BofA,
ML, and Citigroup. Consequently, this commitment may not be assigned or
transferred by the Borrower. BofA, ML, and/or Citigroup may assign its
obligations (a) under this commitment to any present or future affiliate, or (b)
after the closing of the Revolving Credit Facility, in accordance with the loan
documentation.

8.    NON-DISCLOSURE OF COMMITMENT; EXCLUSIVE DEALINGS

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      The Borrower covenants that, from and after the date of this letter, and
until the consummation of the transactions contemplated herein (including
successful completion of the syndication, as determined by the Arrangers) or the
expiry of the commitment provided for herein, the Borrower (and its affiliates,
officers, directors, employees, agents and representatives) shall not directly
or indirectly solicit, initiate, encourage, facilitate, discuss, syndicate,
issue, or attempt to syndicate or issue, announce or authorize the announcement
of the syndication or issuance of, (a) any other bank financing of the Borrower,
or (b) any debt facility or debt security (including renewals thereof) (other
than the Bridge/Permanent Facility (as defined in the Term Sheet) and any
substitutions thereof or replacements therefore (subject to the provisions of
Paragraph 9 of the "Conditions Precedent" in the Term Sheet)), in each case,
without the prior written consent of the Arrangers. For purposes of
clarification, the foregoing covenant shall not be applicable to the extent that
the transactions contemplated herein are not consummated due to the condition
set forth in Paragraph 9 of the "Conditions Precedent" in the Term Sheet.

      Except as, and only to the extent required under applicable laws, the
Borrower shall maintain as confidential the terms or conditions of this letter,
the Term Sheet, or the Fee Letter. Without limiting the foregoing, this letter
and the Term Sheet may not be disclosed by the Borrower to any persons
(including any existing lenders of the Borrower) other than (a) the
Bridge/Permanent Agent and its officers, directors, employees and affiliates and
its accountants, financial advisors, and counsel, (b) the Target and its
officers, directors, employees and affiliates and its accountants, financial
advisors, and counsel, and (c) the officers, directors, employees and affiliates
of the Borrower and its accountants, financial advisors, and counsel. The
knowing and intentional failure to comply with the foregoing provisions shall,
at the option of BofA, ML, or Citigroup, as applicable, automatically terminate
any and all of its respective obligations with respect to the financing
contemplated hereunder; except that the confidentiality provisions of this
Section 8 shall survive any such termination.. Notwithstanding anything to the
contrary herein, the Borrower (and each of its affiliates, employees,
representative, and agents) may disclose to any and all persons, without
limitation, the structure and tax aspects of the transaction contemplated
hereby, and all materials of any kind (including opinions and other tax
analyses) that are provided to the Borrower related to such structure and tax
aspects.

9.    GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL.

      This Commitment Letter and the Fee Letter accompanying this letter shall
be governed by and construed in accordance with, the laws of the State of New
York. The Borrower agrees that any legal action, proceeding, case, or
controversy against the Borrower with respect to this letter or the Revolving
Credit Facility may be brought in any New York state court or federal court
sitting in New York City, as the Administrative Agent may elect in its sole
discretion. By acceptance of this letter, the Borrower for itself and in respect
of its property, accepts, submits, and consents generally and unconditionally,
to the non-exclusive jurisdiction of the aforesaid courts. The Borrower WAIVES
any objection based on forum non conveniens and any objection to venue of any
action or proceeding instituted under or with respect to this letter or the
Revolving Credit Facility and consents to the granting of such legal or
equitable remedy as is

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deemed appropriate by the relevant court. The Borrower further agrees that any
action commenced by the Borrower asserting any claim or counterclaim arising
under or in connection with this letter or the Revolving Credit Facility shall
be brought solely in any New York state court or federal court sitting in New
York City and that such courts shall have exclusive jurisdiction with respect to
any such action.

      The Borrower, the Agents, BofA, ML, Citigroup, the Arrangers make each of
the following waivers knowingly, voluntarily, and intentionally, and understand
that the Agents, BofA, ML, Citigroup, the Arrangers, in providing this letter,
and the Borrower, are each relying on such waivers.

      THE BORROWER, THE AGENTS, BOFA, ML, CITIGROUP, AND THE ARRANGERS EACH
WAIVES THE FOLLOWING:

      THE RIGHT TO A JURY IN ANY TRIAL OF ANY CASE OR CONTROVERSY IN WHICH THE
BORROWER, THE AGENTS, BOFA, ML, CITIGROUP, THE ARRANGERS, OR ANY LENDER TO WHICH
A PART OF THE REVOLVING CREDIT FACILITY IS PARTICIPATED, IS OR BECOMES A PARTY
(WHETHER SUCH CASE OR CONTROVERSY IS INITIATED BY OR AGAINST THE BORROWER, THE
AGENTS, BOFA, ML, CITIGROUP, THE ARRANGERS, AND/OR SUCH LENDER OR PARTICIPANT OR
IN WHICH THE BORROWER, THE AGENTS, BOFA, ML, CITIGROUP, THE ARRANGERS, OR SUCH
LENDER OR PARTICIPANT, IS JOINED AS A PARTY LITIGANT), WHICH CASE OR CONTROVERSY
ARISES OUT OF OR IS IN RESPECT OF, ANY RELATIONSHIP AMONGST OR BETWEEN THE
BORROWER OR ANY OTHER PERSON AND THE AGENTS, BOFA, ML, CITIGROUP, THE ARRANGERS,
OR SUCH LENDER.

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      If the foregoing is in accordance with your understanding of our
agreement, please sign this letter in the space indicated below and return it to
the Administrative Agent.

                                            Very truly yours,

                                            BANK OF AMERICA, N.A.

                                            By /s/ Stephen S. Garvin
                                               ---------------------------------
                                            Title: Managing Director

                                            CITIGROUP GLOBAL MARKETS INC.

                                            By /s/ William Washburn
                                               ---------------------------------
                                            Title: Vice President and Director

                                            BANC OF AMERICA SECURITIES LLC

                                            By /s/ Thomas J. Bullard
                                               ---------------------------------
                                            Title: Managing Director

                                            MERRILL LYNCH CAPITAL, a division
                                            of MERRILL LYNCH BUSINESS
                                            FINANCIAL SERVICES INC.

                                            By /s/ Michele Kovatchis
                                               ---------------------------------
                                            Title: Director

The foregoing is agreed to:
GAMESTOP CORP.

By /s/ David W. Carlson
   ----------------------------------
Title:  Executive Vice President and
        Chief Financial Officer
Dated:  April 17, 2005

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                         SUMMARY OF TERMS AND CONDITIONS
                                 GAMESTOP CORP.
              $400,000,000 SENIOR SECURED REVOLVING CREDIT FACILITY

                                 APRIL 17, 2005

BORROWERS:                    Collectively, (a) a holding company that upon the
                              consummation of the Acquisition of the Target (the
                              identity of which the Agents and the Arrangers
                              have previously been advised) will hold all of the
                              equity interests of GameStop Corp. and the Target,
                              (b) GameStop Corp., (c) the Target, and (d)
                              certain of the subsidiaries of each of the
                              foregoing (collectively, the "Borrower").

GUARANTORS:                   All wholly owned domestic subsidiaries. Foreign
                              subsidiaries shall not be required to be
                              Guarantors.

ADMINISTRATIVE AGENT:         Bank of America, N.A.

COLLATERAL AGENT:             Bank of America, N.A. (in its capacities as
                              Administrative Agent and Collateral Agent, the
                              "Administrative Agent").

JOINT LEAD ARRANGERS
AND JOINT LEAD
BOOKRUNNNERS:                 Banc of America Securities LLC., Citigroup Global
                              Markets Inc. ("CGMI") and Merrill Lynch Capital, a
                              division of Merrill Lynch Business Financial
                              Services Inc. (collectively, the "Arrangers").

SYNDICATION AGENT:            An affiliate of CGMI (the "Syndication Agent").

DOCUMENTATION AGENT:          Merrill Lynch Capital, a division of Merrill Lynch
                              Business Financial Services Inc. (the
                              "Documentation Agent" and collectively with the
                              Administrative Agent and the Syndication Agent,
                              the "Agents")

LENDERS:                      A syndicate of financial institutions, including
                              the Agents and an affiliate of CGMI, which
                              institutions shall be acceptable to the Borrower
                              and the Arrangers.

SENIOR SECURED
CREDIT FACILITY:              Five-year Senior Secured Revolving Credit Facility
                              (herein referred to as the "Revolving Credit
                              Facility" or the "Facility") in the initial amount
                              of $400,000,000 (the

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Page 9

                              "Facility Cap"), which will include a $50,000,000
                              sublimit for the issuance of letters of credit
                              (the "Letters of Credit").

PURPOSE:                      The Facility shall be used for refinancing of
                              existing working capital indebtedness of the
                              Borrower and the Target, and, at the Borrower's
                              option, for refinancing of other indebtedness, to
                              pay transaction costs in connection with the
                              acquisition of the Target and for other general
                              corporate purposes, including letters of credit,
                              working capital, capital expenditures, dividends,
                              share repurchases and acquisitions permitted under
                              the documentation for the Facility.

LETTERS OF CREDIT:            A portion of the Revolving Credit Facility, not in
                              excess of $50,000,000, shall be available for the
                              issuance of Letters of Credit by Bank of America,
                              N.A. or an affiliate of CGMI (in such capacity the
                              "Issuing Lender"). No Letter of Credit shall have
                              an expiration date after the earlier of (i) one
                              year after the date of issuance and (ii) five
                              business days prior to the Maturity of the
                              Revolving Credit Facility, provided that any
                              Letter of Credit with a one-year term may provide
                              for the renewal thereof for additional one-year
                              periods (which shall in no event extend beyond the
                              date referred to in clause (ii) above).

L/C ISSUING BANK:             Bank of America, N.A. or an affiliate of CGMI.

CLOSING:                      To be mutually agreed upon by the Agents and the
                              Borrower, but in any event no later than October
                              31, 2005, provided that such date shall be
                              automatically extended to December 31, 2005 to the
                              extent the Outside Date (as defined in the Merger
                              Agreement for the acquisition of the Target) is
                              extended to December 31, 2005 pursuant to Section
                              8.1(b)(i) of the Merger Agreement (as in effect on
                              the date of its execution).

MATURITY:                     The Facility shall terminate and all amounts
                              outstanding thereunder shall be due and payable in
                              full five years from Closing.

PRIORITY AND SECURITY:        The Facility will be secured by a first priority
                              perfected security interest in all assets of the
                              Borrower and the Guarantors, including, without
                              limitation, (i) inventory, (ii) accounts
                              receivable, including credit card receivables,
                              (iii)

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                              documents, (iv) general intangibles, including
                              trade names, trademarks and other intellectual
                              property, (v) furniture, fixtures and equipment,
                              (vi) bank and investment accounts, (vii)
                              investment property, including a pledge of
                              subsidiary stock (foreign subsidiary pledge will
                              be limited to 65% of the capital stock), (viii)
                              owned real estate, (ix) claims and causes of
                              action relating to the foregoing, and (x) all
                              proceeds of the foregoing, whether now owned or
                              hereafter acquired.

BORROWING BASE/
ADVANCE RATES:                The aggregate amount of Loans and Letters of
                              Credit outstanding under the Facility shall never
                              exceed the lesser of the (a) Borrowing Base and
                              (b) the Facility Cap.

                              Borrowing Base: (i) The sum of lesser of (A) the
                              cost of Eligible Inventory (as defined in the
                              Borrower's existing Credit Agreement, subject to
                              adjustment after completion of due diligence)
                              multiplied by the inventory advance rate, or (B)
                              90% of the net appraised inventory liquidation
                              value, plus (ii) 85% of Eligible Credit Card
                              Receivables (to be defined in the definitive loan
                              documentation), less (iii) reserves.

                              Inventory Advance Rate: The initial inventory
                              advance rate for the Borrower's inventory will be
                              55%. The initial inventory advance rate for the
                              Target's inventory will be set at 50%. The
                              inventory advance rates may be adjusted after the
                              completion of due diligence as set forth below.

                              From the due diligence process, the Administrative
                              Agent may adjust the Borrowing Base, advance
                              rates, and the standards of eligibility and
                              reserves. The due diligence will include but not
                              be limited to an inventory appraisal and a
                              commercial finance examination of the Borrower and
                              the Target.

                              Borrowing Base collateral reporting will be
                              provided to the Administrative Agent on a monthly
                              basis, provided that no Event of Default has
                              occurred. After the occurrence of the earlier of
                              (i) uncapped (i.e. without regard to the Facility
                              Cap) availability under the Borrowing Base falls
                              below 20% of the Borrowing Base, or (ii) an Event
                              of Default, the

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                              Administrative Agent may require Borrowing Base
                              collateral reporting on a weekly basis.

INTEREST RATES:               As set forth in Addendum I.

FEES/EXPENSES:                As set forth in Addendum I.

MANDATORY PREPAYMENTS
AND COMMITMENT
REDUCTIONS:                   The Borrower shall not be required to make any
                              prepayments of the Facility except (i) if, and to
                              the extent that, the total credit extensions
                              exceed the lesser of the then amounts available
                              under the Borrowing Base, or the Facility Cap (as
                              such may be reduced by the Borrower as provided
                              below), and (ii) as may be required by the Lenders
                              after the occurrence and during the continuance of
                              an event of default.

OPTIONAL PREPAYMENTS
AND COMMITMENT
REDUCTIONS:                   The Borrower may prepay the Facility, in whole or
                              in part at any time without penalty, subject to
                              reimbursement of each Lender's breakage and
                              redeployment costs in the case of prepayment of
                              LIBOR borrowings. The unutilized portion of any
                              commitment under the Facility may be irrevocably
                              canceled by the Borrower in whole or in part. Such
                              optional prepayments and commitment reductions
                              will be required to be in minimum amounts to be
                              determined.

CONDITIONS PRECEDENT:         Closing shall be conditioned upon satisfaction of
                              the following conditions precedent and other
                              conditions customary to transactions of this type,
                              or reasonably required by the Agents and the
                              Arrangers.

                              1.    Preparation, execution and delivery of
                                    definitive documentation (the "Definitive
                                    Documentation") satisfactory to the
                                    Administrative Agent and the Arrangers
                                    (including a certified Borrowing Base
                                    certificate and reasonably appropriate
                                    security documentation).

                              2.    Legal opinions of counsel to the Borrower
                                    and Guarantors reasonably satisfactory in
                                    form and

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Page 12

                                    substance to the Administrative Agent and
                                    the Arrangers including, without limitation,
                                    with respect to the enforceability and
                                    perfection of the Administrative Agent's
                                    security interests.

                              3.    Not later than 30 days before the Closing
                                    Date, the Agents shall have received (a)
                                    audited consolidated and consolidating
                                    balance sheets and related statements of
                                    income, stockholders' equity and cash flows
                                    of each of GameStop Corp. and the Target for
                                    the three fiscal years ended before the
                                    Closing Date and (b) to the extent
                                    available, unaudited consolidated and
                                    consolidating balance sheets and related
                                    statements of income, stockholders' equity
                                    and cash flows of each of GameStop Corp. and
                                    the Target for each completed fiscal quarter
                                    since the date of such audited financial
                                    statements (and, to the extent available,
                                    for each completed month since the last such
                                    quarter), which audited and unaudited
                                    financial statements shall be prepared in
                                    accordance with, or reconciled to, United
                                    Stated generally accepted accounting
                                    principles ("GAAP").

                              4.    The Administrative Agent shall have filed
                                    all such financing statements and shall have
                                    given all such notices as may be necessary
                                    for the Administrative Agent to perfect its
                                    security interest in the collateral and to
                                    assure its first-priority status therein.

                              5.    The accuracy and completeness in all
                                    material respects of all representations
                                    that GameStop Corp., the Target and their
                                    respective affiliates make to the Agents and
                                    the Arrangers and all information (other
                                    than financial projections) that GameStop
                                    Corp., the Target and their respective
                                    affiliates furnish to the Agents and the
                                    Arrangers.

                              6.    The absence of any change, effect, event,
                                    occurrence or state of facts that is
                                    materially adverse to the business,
                                    financial condition, or results of
                                    operations of the Target, other than any
                                    changes, effects, events, occurrences or
                                    state of

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Page 13

                                    facts relating to (i) the economy or
                                    financial markets in general, (ii)
                                    negotiation and entry into the Merger
                                    Agreement, the announcement of the Merger
                                    Agreement or the undertaking and performance
                                    or observance of the obligations
                                    contemplated by the Merger Agreement or
                                    necessary to consummate the transactions
                                    contemplated hereby (including adverse
                                    effects on results of operations
                                    attributable to the uncertainties associated
                                    with the period between the date hereof and
                                    the Closing Date), (iii) fluctuation in
                                    GameStop Corp.'s or the Target's stock price
                                    (iv) the effect of incurring and paying
                                    Expenses (as defined in the Merger
                                    Agreement) in connection with negotiating,
                                    entering into, performing and consummating
                                    the transactions contemplated by the Merger
                                    Agreement, (v) changes in GAAP after the
                                    date hereof, and (vi) product shortages and
                                    delays in product introductions consistent
                                    with those that occurred in 2004; ;
                                    provided, that with respect to clause (i)
                                    such changes, effects, events, occurrences
                                    or state of facts do not disproportionately
                                    affect such Persons (as defined in the
                                    Merger Agreement) relative to the other
                                    participants in the industries in which such
                                    Persons operate; provided, further, that,
                                    for the avoidance of doubt, compliance with
                                    (and the consequences thereof) the terms of
                                    the Merger Agreement (including Section 6.5
                                    thereof, except for Section 6.5(a)(vi))
                                    shall not be taken into account in
                                    determining whether a material adverse
                                    effect shall have occurred or shall be
                                    expected to occur for any and all purposes.

                              7.    The consummation of the acquisition of the
                                    Target on the terms set forth in the Merger
                                    Agreement dated on or about the date hereof,
                                    with such modifications as the Target and
                                    the Borrower may agree (other than
                                    amendments, modifications or waivers which
                                    are adverse to the Lenders, which
                                    modifications, amendments or waivers shall
                                    be reasonably acceptable to the Agents and
                                    the Arrangers).

                                       13
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Page 14

                              8.    The Borrower shall have received the
                                    proceeds from a senior bridge facility or
                                    permanent securities (the "Bridge/Permanent
                                    Facility") which Bridge/Permanent Facility
                                    shall be consistent with the terms
                                    previously disclosed to the Agents, with
                                    such modifications as the agents under the
                                    Bridge/Permanent Facility and the Borrower
                                    may agree (other than modifications which
                                    are adverse to the Lenders, which
                                    modifications shall be reasonably acceptable
                                    to the Agents and the Arrangers).

                              9.    The proposed financing is subject to the
                                    condition that no material changes in
                                    governmental regulations or policies
                                    affecting any Lender's ability to perform
                                    its obligations under the commitment letter
                                    occur prior to the Closing Date.

                              10.   There shall be no defaults or events of
                                    default on the Closing Date under the
                                    definitive documents for the Facility.

                              11.   The Borrower shall have excess borrowing
                                    availability on the Closing Date (after
                                    giving effect to the loans to be made and
                                    letters of credit to be issued on the
                                    Closing Date) of at least $150,000,000.

                              12.   The Agents shall have received a solvency
                                    certificate, in form and substance and from
                                    the chief financial officer of Borrower,
                                    together with such other evidence reasonably
                                    requested by the Agents, confirming the
                                    solvency of Borrower and its subsidiaries on
                                    a consolidated basis after giving effect to
                                    the transactions contemplated hereby.

                              13.   All requisite material governmental
                                    authorities and, except as would not
                                    reasonably be expected to have or result in
                                    a Material Adverse Effect (as defined in
                                    paragraph 6, of these conditions precedent,
                                    without giving effect to clause (ii) of such
                                    definition), all third parties shall have
                                    approved or consented to the transactions
                                    contemplated hereby (including the

                                       14
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April 17, 2005
Page 15

                                    Acquisition) to the extent required, all
                                    applicable appeal periods shall have expired
                                    and there shall be no material governmental
                                    or judicial action, actual or threatened,
                                    that could reasonably be expected to
                                    materially restrain, prevent or impose
                                    burdensome conditions on such transactions.

                              14.   Other customary closing conditions,
                                    including absence of prepayment events or
                                    creation of liens under debt instruments or
                                    other agreements as a result of the
                                    transactions contemplated hereby; evidence
                                    of authority; compliance with applicable
                                    laws and regulations; and payment of fees
                                    and expenses.

REPRESENTATIONS AND
WARRANTIES:                   Usual and customary for transactions of this type,
                              generally consistent with those in the Borrower's
                              existing Credit Agreement.

PERMITTED REPURCHASES:        The Borrower shall be allowed to make unlimited
                              repurchases of the Borrower's common stock
                              provided that each of the following conditions is
                              satisfied: (i) no default or event of default
                              exists immediately prior to, or after giving
                              effect to any such repurchase; (ii) uncapped (i.e.
                              without regard to the Facility Cap) availability
                              under the Borrowing Base has been equal to or
                              greater than 25% of the Borrowing Base for each
                              day of thirty (30) days immediately prior to any
                              such Permitted Repurchase; (iii) uncapped (i.e.
                              without regard to the Facility Cap) availability
                              under the Borrowing Base is equal to or greater
                              than 25% of the Borrowing Base following such
                              repurchase; and (iv) uncapped (i.e. without regard
                              to the Facility Cap) availability under the
                              Borrowing Base is projected on a pro forma basis
                              to be at least 25% of the Borrowing Base for each
                              day of the 120 day period immediately following
                              such repurchase.

OTHER COVENANTS:              Other affirmative and negative covenants to
                              include without limitation:

                              a)    Usual and customary financial reporting
                                    requirements and certain asset based
                                    reporting

                                       15
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GameStop Corp.
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Page 16

                                    requirements, including monthly projections
                                    of sales and inventory levels.

                              b)    Usual and customary covenants related to
                                    maintenance of properties and insurance,
                                    payment of taxes, compliance with laws,
                                    contracts, and permits; and ERISA generally
                                    consistent with those in the Borrower's
                                    existing Credit Agreement.

                              c)    Usual and customary covenants related to
                                    indebtedness, guarantees, liens,
                                    investments, loans, mergers, acquisitions,
                                    dividends, distributions, restricted
                                    payments and transactions with affiliates,
                                    subject to allowances to be agreed by the
                                    Agents, the Arrangers and the Borrower
                                    following completion of due diligence,
                                    provided that (i) no proceeds of the
                                    Facility may be utilized to pay principal or
                                    fees on the Bridge/Permanent Facility, and
                                    (b) acquisitions, dividends and
                                    distributions will be otherwise permitted on
                                    the same terms and limitations as are set
                                    forth above for Permitted Repurchases.

                              d)    The Administrative Agent will have the right
                                    to conduct periodic commercial finance
                                    examinations and appraisals, as set forth
                                    below.

EXAMS/APPRAISALS:             The Borrower shall be responsible for the
                              reasonable costs of one commercial financial
                              examination and one inventory appraisal prior to
                              Closing. The Administrative Agent shall be
                              entitled to conduct additional periodic commercial
                              finance exams and inventory appraisals at
                              reasonable times and upon reasonable notice at its
                              own discretion, all at the expense of the
                              Borrower, provided that prior to the occurrence of
                              an event of default, (a) if the Borrower's usage
                              of the Facility is at all times less than fifty
                              percent (50%) of the lesser of the Facility Cap or
                              the Borrowing Base, the Administrative Agent may
                              conduct only one commercial finance exam and
                              inventory appraisal in any twelve month period,
                              and (b) if the Borrower's usage of the Facility is
                              at any time greater than fifty percent (50%) of
                              the lesser of the Facility Cap or the Borrowing
                              Base, the Administrative Agent may conduct up to
                              two commercial

                                       16
<PAGE>

GameStop Corp.
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Page 17

                              finance exams and inventory appraisals in any
                              twelve month period. The limitations set forth in
                              the proviso above shall be inapplicable after the
                              occurrence of an event of default and the
                              Administrative Agent may, after the occurrence of
                              any such event of default, conduct additional
                              periodic commercial finance exams and inventory
                              appraisals at reasonable times and upon reasonable
                              notice at its own discretion, all at the expense
                              of the Borrower.

FINANCIAL COVENANTS:          In the event that the outstanding Loans and
                              Letters of Credit under the Facility at any time
                              exceed 80% of the lesser of the Borrowing Base or
                              the Facility Cap, the Borrower will be obligated
                              to comply with a Fixed Charge Coverage Covenant of
                              at least 1.5:1.0. Fixed Charge Coverage shall be
                              defined in the same manner as in the Borrower's
                              existing Credit Agreement.

SPRINGING CASH CONTROL:       The Administrative Agent will require a blocked
                              account agreement with the Borrower's primary cash
                              concentration bank, such that the Borrower's daily
                              cash receipts must be directed to an account at
                              the Administrative Agent in the event that
                              uncapped (i.e. without regard to the Facility Cap)
                              availability under the Borrowing Base falls below
                              15% of the Borrowing Base.

EVENTS OF DEFAULT:            Usual and customary in transactions of this type,
                              to include without limitation: (i) nonpayment of
                              principal, interest, fees or other amounts (with
                              grace periods as applicable), (ii) violation of
                              covenants (with cure periods as applicable), (iii)
                              material inaccuracy of representations and
                              warranties, (iv) cross-default to other material
                              indebtedness, (v) bankruptcy and other insolvency
                              events, (vi) material judgments, (vii) ERISA
                              matters, and (viii) change of control.

INDEMNIFICATION:              The Borrower shall indemnify the Agents, the
                              Arrangers and the Lenders and each of their
                              respective affiliates and their respective
                              officers, directors, employees, agents, advisors,
                              attorneys and representatives from and against all
                              losses, liabilities, claims, damages or expenses
                              arising out of or relating to any investigation,
                              litigation or other proceeding (whether or not an
                              indemnitee is a party thereto) related to the
                              entering into and/or performance of

                                       17
<PAGE>

GameStop Corp.
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Page 18

                              the loan agreement and other definitive credit
                              documentation for the Facility, the Borrower's use
                              of loan proceeds or the consummation of any other
                              transactions contemplated in the definitive credit
                              documentation for the Facility, including, but not
                              limited to, reasonable attorneys' fees, and
                              settlement costs, except any resulting from the
                              gross negligence, bad faith, or willful misconduct
                              of the indemnitee. This indemnification shall
                              survive and continue for the benefit of the
                              indemnitees at all times after the Borrower's
                              acceptance of the Agents' and the Arrangers'
                              commitments for the Facility, notwithstanding any
                              failure of the Facility to close, but shall
                              terminate and be superceded by the provisions of
                              definitive documentation for the Facility.

GOVERNING LAW:                The State of New York.

AGENTS' COUNSEL:              Riemer & Braunstein, LLP.

OTHER:                        This Summary of Terms is intended as an outline of
                              certain of the material terms of the Facility and
                              does not purport to summarize all of the
                              conditions, covenants, representations, warranties
                              and other provisions which would be contained in
                              definitive documentation for the Facility
                              contemplated hereby. The Borrower, the Agents and
                              the Arrangers shall each waive its right to a
                              trial by jury.

                                       18
<PAGE>

GameStop Corp.
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Page 19

                                   ADDENDUM I
                                FEES AND EXPENSES

INTEREST RATES:               The Revolving Credit Facility shall bear interest
                              at a rate equal to LIBOR plus the Applicable
                              Margin or the Alternate Base Rate plus the
                              Applicable Margin (to be defined as the higher of
                              (i) the Administrative Agent's prime rate and (ii)
                              the Federal Funds rate plus .50%). The Applicable
                              Margin shall be determined in accordance with the
                              applicable Performance Pricing grid set forth
                              below.

                              The Borrower may select interest periods of 1, 2,
                              3 or 6 months for LIBOR loans, subject to
                              availability. Interest shall be payable at the end
                              of the selected interest period, but no less
                              frequently than quarterly.

                              A default rate shall apply on all past due amounts
                              under the Facility at a rate per annum of 2% above
                              the applicable interest rate.

CALCULATION OF
INTEREST AND FEES:            Other than calculations in respect of interest at
                              the Alternate Base Rate (which shall be made on
                              the basis of actual number of days elapsed in a
                              365/366 day year), all calculations of interest
                              and fees shall be made on the basis of actual
                              number of days elapsed in a 360 day year.

COMMITMENT FEE:               The Borrower will pay a fee (the "Commitment
                              Fee"), determined in accordance with the
                              applicable Performance Pricing grid set forth
                              below, on the unused portion of each Lender's
                              commitment amount reduced by any portion of the
                              Commitment that is irrevocably canceled by the
                              Borrower under the terms of the Facility. The
                              Commitment Fee is payable in arrears at the end of
                              each calendar quarter, commencing upon the first
                              such date to occur after Closing. For purposes of
                              calculating the Commitment Fee, outstanding
                              Letters of Credit shall count as usage under the
                              Revolving Credit Facility.

LETTER OF CREDIT FEES:        The Borrower shall pay a commission on standby
                              Letters of Credit at a per annum rate equal to the
                              Applicable Margin then in effect with respect to
                              LIBOR loans on the face amount of each such letter
                              of credit. Such commission shall

                                       19
<PAGE>

GameStop Corp.
April 17, 2005
Page 20

                              be payable quarterly in arrears. The Borrower
                              shall pay a commission on documentary Letters of
                              Credit at a per annum rate equal to one-half of
                              the Applicable Margin then in effect with respect
                              to LIBOR loans on the face amount of each such
                              letter of credit. A fronting fee to be agreed upon
                              with the Issuing Lender shall be payable quarterly
                              in arrears to such Issuing Lender for its own
                              account. In addition, customary administrative,
                              issuance, amendment, payment, and negotiation
                              charges shall be payable to the Issuing Lender for
                              its own account.

COST AND YIELD
PROTECTION:                   Customary for transactions and facilities of this
                              type, including, without limitation, in respect of
                              breakage or redeployment costs incurred in
                              connection with prepayments, changes in capital
                              adequacy and capital requirements or their
                              interpretation, illegality, unavailability,
                              reserves without proration or offset and payments
                              free and clear of withholding or other taxes.

EXPENSES:                     The Borrower will pay all reasonable costs and
                              expenses associated with the preparation, due
                              diligence, syndication and enforcement of all
                              documentation executed in connection with the
                              Facility, including without limitation, the legal
                              fees of counsel to the Agents and the Arrangers,
                              regardless of whether or not the Facility is
                              closed. The Borrower will also pay the reasonable
                              expenses of the Agents in connection with the
                              enforcement of any loan documentation for the
                              Facility.

PERFORMANCE PRICING:          The Applicable Margin and Commitment Fee for any
                              fiscal quarter, shall be determined based upon the
                              Performance Pricing Grid outlined below and the
                              ratio of outstanding Total Indebtedness to EBITDA,
                              as of the most recently ended fiscal quarter (as
                              reported on the Borrower's compliance certificate.

<TABLE>
<CAPTION>
LEVEL     DEBT TO EBITDA     APPLICABLE LIBOR MARGIN     APPLICABLE BASE RATE MARGIN     COMMITMENT FEE
-----     --------------     -----------------------     ---------------------------     --------------
<S>       <C>                <C>                         <C>                             <C>
I         >=3.5:1.0                   1.75                           0.25                      50.0

II        <3.5:1.0 but>=              1.50                            0.0                      37.5
</TABLE>

                                       20
<PAGE>

GameStop Corp.
April 17, 2005
Page 20

<TABLE>
<S>       <C>                <C>                         <C>                             <C>
          1.0:1.0

III       <1.0:1.0           1.25                        0.0                             37.5
</TABLE>

ADMINISTRATIVE
AGENT'S FEE:                  Payable at the times and in the amounts set forth
                              in a Fee Letter of even date.

UNDERWRITING FEE:             Payable at the times and in the amounts set forth
                              in a Fee Letter of even date.

                                       21EXHIBIT 10.1

 

Exhibit 10.1

AGREEMENT OF SUBLEASE

between

DEUTSCHE BANK AG, NEW YORK BRANCH,

as Sublandlord

and

FIRST ALBANY CAPITAL, INC.,

as Subtenant

concerning certain sublease space located at

1301 Avenue of the Americas, 9th Floor

New York, New York 10019

Dated as of April 6, 2005

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	ARTICLE 1.
	 	Demise	 	 	2	 
	ARTICLE 2.
	 	Term	 	 	2	 
	ARTICLE 3.
	 	Fixed Rent	 	 	3	 
	ARTICLE 4.
	 	Subtenant's Proportionate Share	 	 	3	 
	ARTICLE 5.
	 	Escalation Charges	 	 	4	 
	ARTICLE 6.
	 	Payment of Rental	 	 	6	 
	ARTICLE 7.
	 	Subordination to and Incorporation of the Overlease and Master Lease	 	 	7	 
	ARTICLE 8.
	 	Use: Quiet Enjoyment	 	 	9	 
	ARTICLE 9.
	 	Covenants with Respect to the Overlease and Master Lease	 	 	9	 
	ARTICLE 10.
	 	Master Landlord's and/or Overlandlord's Services and Repairs	 	 	10	 
	ARTICLE 11.
	 	Indemnification	 	 	11	 
	ARTICLE 12.
	 	Consents	 	 	12	 
	ARTICLE 13.
	 	Termination of Overlease	 	 	13	 
	ARTICLE 14.
	 	Sublease, Not Assignment	 	 	13	 
	ARTICLE 15.
	 	Damage, Destruction, Fire and Other Casualty: Condemnation	 	 	13	 
	ARTICLE 16.
	 	No Waivers	 	 	13	 
	ARTICLE 17.
	 	Notices	 	 	14	 
	ARTICLE 18.
	 	Broker	 	 	14	 
	ARTICLE 19.
	 	Condition of Subleased Premises	 	 	15	 
	ARTICLE 20.
	 	Consent of Overlandlord and Master Landlord to Sublease	 	 	15	 
	ARTICLE 21.
	 	Assignment, Subletting and Mortgaging	 	 	16	 
	ARTICLE 22.
	 	Insurance	 	 	19	 
	ARTICLE 23.
	 	End of Term	 	 	22	 
	ARTICLE 24.
	 	Heating, Ventilation and Air Conditioning	 	 	23	 
	ARTICLE 25.
	 	Subtenant’s Work	 	 	24	 
	ARTICLE 26.
	 	Compliance with Legal Requirements and Sublandlord's Rules and Regulations	 	 	29	 
	ARTICLE 27.
	 	Alterations	 	 	29	 
	ARTICLE 28.
	 	Electricity	 	 	31	 
	ARTICLE 29.
	 	Non-Disturbance	 	 	33	 

 

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	ARTICLE 30.
	 	Representations and Warranties	 	 	33	 
	ARTICLE 31.
	 	Elevators	 	 	33	 
	ARTICLE 32.
	 	Security/Life Safety Systems	 	 	34	 
	ARTICLE 33.
	 	Security Deposit	 	 	34	 
	ARTICLE 34.
	 	Miscellaneous	 	 	37	 

ii

 

 

AGREEMENT OF SUBLEASE

     AGREEMENT
OF SUBLEASE, made as of the 6th day of April 2005 (this “Sublease”), between
DEUTSCHE BANK AG, NEW YORK BRANCH, a banking corporation organized under the laws of the Federal
Republic of Germany and authorized to do business in the State of New York, having an office at 60
Wall Street, NYC60-3430, New York, New York 10005 (“Sublandlord”), as sub-sublandlord, and FIRST
ALBANY CAPITAL, INC., a corporation organized under the laws of the State of New York, having an
office at 677 Broadway, Albany, New York 12207(“Subtenant”), as sub-subtenant.

W I T N E S  S  E  T  H:

     WHEREAS, by Agreement of Lease, dated as of December 22, 1989 (the “Original Lease”), between
1301 Properties, L.L.C. (successor to Tishman Speyer Trammell Crow Limited Partnership; “Master
Landlord”), as landlord, and Pricewaterhouse Coopers (successor to Coopers & Lybrand L.L.P.)
(“Overlandlord”), as tenant, as supplemented and amended from time to time by certain letter
agreements listed on Exhibit A attached to the Overlease and by a First Amendment of Lease and
Agreement, dated as of July 17, 1990 (the “First
Amendment”), and a Second Amendment of Lease and
Agreement, dated as of January 28, 1993 (the “Second
Amendment”), each between Master Landlord and
Overlandlord (the Original Lease, as supplemented and amended, hereinafter collectively referred to
as the “Master Lease”), Master Landlord leased to Overlandlord certain premises, as said premises
may be modified from time to time (the “Master Premises”) more particularly described in the Master
Lease and initially located on the subconcourse, the concourse and the second (2nd) through and
including the tenth (10th) floors of the building (the “Building”) known as 1301 Avenue of the
Americas, New York, New York; and

     WHEREAS, by Agreement of Sublease, dated as of September 19, 1996 (the “Overlease”), between
Overlandlord, as sublandlord, and Sublandlord, as subtenant, Overlandlord subleased to Sublandlord
the eighth (8th) and ninth (9th) floors of the Master Premises (the “Overlease Premises”), which
Overlease was consented to by Master Landlord pursuant to that certain Consent to Sublease dated
September 19, 1996, signed by Master Landlord, Overlandlord and Sublandlord (the “Consent to
Overlease”; the Overlease, the Consent to Overlease and the Master Lease collectively referred to
herein as the “Primary Lease Documents”).

     WHEREAS, Sublandlord and Subtenant desire to consummate a subleasing of a portion of the
Overlease Premises consisting of 62,600 rentable square feet located on the entire 9th
Floor of the Overlease Premises shown as the cross-hatched areas on the floor plan attached hereto
as Exhibit “A” and made a part hereof (the “Subleased Premises”) on terms and conditions
contained in this Sublease.

     NOW, THEREFORE, in consideration of the mutual covenants herein contained and for other good
and valuable consideration, the mutual receipt and legal sufficiency of which are hereby
acknowledged, it is mutually agreed as follows:

 

 

     ARTICLE 1. Demise.

          1.1 Sublandlord hereby subleases to Subtenant, and Subtenant hereby hires from Sublandlord,
the Subleased Premises, upon and subject to the terms and conditions hereinafter set forth. The
attachment of floor plans of the Subleased Premises or any portions thereof as exhibits to this
Sublease does not constitute a representation or warranty by Sublandlord that said floor plans are
exact or correct, and Sublandlord makes no representations or warranties with respect to the
accuracy of the layout, square footage or dimensions of the Subleased Premises, or any portion
thereof, as shown on said floor plans.

     ARTICLE 2. Term.

          2.1 The term (the “Sublease Term”) of this Sublease shall commence upon the later of (a) the
date of this Sublease and delivery of the Subleased Premises to Subtenant free of occupants and
with all furnishings, furniture and equipment, including work stations, removed or (b) the first
date that Sublandlord has received written consent to this Sublease from Master Landlord and, if
required by Sublandlord, Overlandlord pursuant to Section 20 hereof (the “Commencement Date”) and
shall expire at the close of business on December 29, 2010 or on such earlier date on which this
Sublease may be cancelled or terminated pursuant to any of the provisions of this Sublease, the
Overlease or the Master Lease or pursuant to law (the “Sublease Expiration Date”).

          2.2 Promptly after the Commencement Date is established, the parties hereto shall execute
commencement date letter agreement which sets forth the actual Commencement Date for the Subleased
Premises, provided that either party’s failure to execute such an amendment shall not affect the
validity or enforceability of the Commencement Date hereunder.

     ARTICLE 3. Fixed Rent.

          3.1 Subtenant shall pay to Sublandlord annual fixed rent (the “Fixed Rent”) in the amount of
Two Million Sixty-Five Thousand Eight Hundred Dollars and Zero Cents ($2,065,800.00) in advance in
equal monthly installments of One Hundred Seventy-Two Thousand One Hundred Fifty Dollars and Zero
Cents ($172,150.00), on or before one business day prior to the first (1st) day of each
month during the Sublease Term, commencing on November 1, 2005 (the “Rent Commencement Date”).
Notwithstanding the foregoing, one (1) month’s Fixed Rent shall be paid by Subtenant to Sublandlord
upon Subtenant’s execution hereof and held by Sublandlord as temporary security for the performance
of Subtenant’s obligations hereunder, and be applied to the first Fixed Rent payable hereunder.

          3.2 If the Rent Commencement Date occurs on a day other than the first day of a month, Fixed
Rent from such day until the first day of the following month shall be prorated and shall be
payable, in advance, on the Rent Commencement Date. In such event, the installment of Fixed Rent
paid at execution hereof shall be applied to the rent due for the first full calendar month after
the month in which the Rent Commencement date occurs.

2

 

     ARTICLE 4. Subtenant’s Proportionate Share.

          4.1 For the purposes of this Sublease, “Subtenant’s Proportionate Share” shall mean fifty
percent (50%), based on a fraction (expressed as a percentage), the numerator of which is the
aggregate rentable square feet of the Subleased Premises as of the date hereof and the denominator
of which is the aggregate rentable square feet contained in the Overlease Premises as of the date
hereof (as set forth in the Overlease). If, during the Sublease Term, Sublandlord shall exercise
any of its options pursuant to the Overlease to lease additional space in the Building, Subtenant’s
Proportionate Share shall be adjusted accordingly as of the effective date of the commencement of
the term of such lease or sublease by Sublandlord, as the case may be, with respect to such space,
by adjusting the denominator for calculating Subtenant’s Proportionate Share to add the additional
rentable square footage (consistently measured) of the Overlease Premises, as reasonably determined
by Sublandlord. In the event of any change in Subtenant’s Proportionate Share in accordance with
this Article the parties hereto shall execute and deliver an amendment to this Sublease which sets
forth the new Subtenant’s Proportionate Share and the effective date of such change, provided that
either party’s failure to execute any such amendment shall not affect the validity or
enforceability of the new Subtenant’s Proportionate Share.

     ARTICLE 5. Escalation Charges.

          5.1 Pursuant to Article 6 of the Overlease, Sublandlord pays additional rent to Overlandlord
for Taxes (as such term is defined in the Master Lease) and for Operating Expenses (as such term is
defined in the Master Lease) which payments are hereinafter collectively referred to as “Overlease
Escalation Charges”. Subtenant, throughout the Sublease Term, shall pay to Sublandlord (such
amounts hereinafter referred to as, the “Escalation Charges”) with respect to each Operating Year
and each Tax Year (as such terms are defined in the Master Lease), respectively (any part or all of
which falls within the Sublease Term) Subtenant’s Proportionate Share of Overlease Escalation
Charges (more particularly described below) for each such Operating Year or Tax Year above those
for the 2005 Operating Year and for the 2005/2006 Tax Year; which Overlease Escalation Charges are
calculated as the applicable portion paid by Sublandlord pursuant to the Overlease of the amount by
which (x) the Operating Rent (as such term is defined in the Master Lease) payable by Overlandlord
to Master Landlord exceeds the Operating Rent payable by Overlandlord to Master Landlord with
respect to the Operating Year commencing January 1, 1997 and (y) the Tax Rent (as such term is
defined in the Master Lease) payable by Overlandlord to Master Landlord exceeds the Tax Rent
payable by Overlandlord to Master Landlord in fiscal tax year 1996/97. Except as otherwise
provided in Section 5.3 below, Subtenant shall pay the Escalation Charges within five (5) business
days following receipt of Sublandlord’s statement therefor, together with a copy of any materials
furnished to Sublandlord by Overlandlord in connection therewith. Subtenant’s obligation to pay
Escalation Charges shall survive the expiration or termination of this Sublease as and to the
extent provided in Section 6.4 hereof.

          5.2 With respect to Tax Rent, in the event a refund of Tax Rent (for a Tax Year in which
Sublandlord has previously paid Overlease Escalation Charges) is actually received by Sublandlord
(whether in cash or by way of a credit against Fixed Rent payable by Sublandlord under the
Overlease) due to a reduction in Taxes for a Tax Year with respect to

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which Sublandlord has previously paid Overlease Escalation Charges to Overlandlord and
Subtenant has previously paid Escalation Charges, Sublandlord shall refund to Subtenant the
corresponding Escalation Charges including interest on the refund to the extent received by
Sublandlord, if any, within twenty (20) days after receipt of such refund or, if the Sublease Term
shall have expired or been terminated, in cash within twenty (20) days after Sublandlord shall
receive such refund.

          5.3 Pursuant to Article 6 of the Overlease, Sublandlord is required to make estimated monthly
payments to Overlandlord as Overlease Escalation Charges in respect of Operating Rent (as defined
in the Master Lease). Subtenant shall pay to Sublandlord, Subtenant’s Proportionate Share of such
required monthly payments in respect of Overlease Escalation Charges in the amounts above those for
Operating Year 2005, together with monthly payments of Fixed Rent. If the aggregate of the monthly
payments of such Overlease Escalation Charges made by Sublandlord for any Operating Year are less
than the actual Overlease Escalation Charges for such Operating Year and Sublandlord is required to
pay a deficiency, then Subtenant shall be required to pay the corresponding deficiency in the
Escalation Charges previously paid by Subtenant within twenty (20) days after notice by
Sublandlord. If the aggregate of the monthly payments of such Overlease Escalation Charges made by
Sublandlord to Overlandlord for any Operating Year are more than the actual Overlease Escalation
Charges for such Operating Year and Subtenant has previously paid Sublandlord the corresponding
Escalation Charges, and (a) Sublandlord is paid by Overlandlord the amount of such overpayment,
then Sublandlord shall within twenty (20) days after receipt thereof, refund to Subtenant the
corresponding overpaid Escalation Charges (including, without limitation, interest paid thereon, if
any) or (b) Sublandlord receives a credit against Fixed Rent and Additional Rent payable under the
Overlease from Overlandlord in the amount of such overpayment, then Subtenant shall receive a
credit against Fixed Rent and Additional Rent hereunder from Sublandlord in the amount of the
corresponding overpaid Escalation Charges (including, without limitation, interest paid thereon, if
any), or if the Sublease Term shall have expired or been terminated, Sublandlord shall pay
Subtenant such amount within twenty (20) days after Sublandlord shall receive such a credit. In
accordance with the foregoing, it is the intention of the parties that Subtenant shall not be
obligated to pay more than Subtenant’s Proportionate Share of the actual Overlease Escalation
Charges payable by Sublandlord pursuant to the terms of the Overlease for each Operating Year or
Tax Year, in the amounts above those for the 2005 Operating Year and for the 2005/2006 Tax Year.

          5.4 Sublandlord shall provide Subtenant with copies of any and all Operating Statements and
Tax Statements pursuant to the Master Lease and any Overlease Escalation Charges calculations that
it receives from Overlandlord. Subtenant shall have the right to dispute and audit any of such
Operating Statements and Tax Statements and Overlease Escalation Charges calculations if and to the
extent that Sublandlord has such rights pursuant to the terms of the Overlease. If Subtenant
exercises such rights, Sublandlord shall cooperate fully in the exercise thereof, provided that
Subtenant shall reimburse Sublandlord for any reasonable cost or expense incurred by Sublandlord as
a result of such cooperation. If Sublandlord is disputing or auditing any such statement also with
respect to any portion of the Overlease Premises other than the Subleased Premises, Subtenant shall
reimburse Sublandlord only for Subtenant’s pro-rata share of any reasonable cost or expense
incurred by Sublandlord in prosecuting such dispute.

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          5.5 Subtenant shall also pay to Sublandlord, as additional rent under this Sublease,
Subtenant’s Proportionate Share of all other Additional Rent or Rental (each as defined in the
Overlease) and other charges payable by Sublandlord to Overlandlord pursuant to the Overlease,
pertaining to or which benefit or affect the Subleased Premises and incurred at the request of or
by reason of the act or omission of Subtenant, or of any right of Subtenant hereunder or obligation
of Overlandlord under the Overlease (or Master Landlord in connection with its consent to the
Overlease and this Sublease) as to which Subtenant is entitled to the benefit pursuant to this
Sublease, or as otherwise expressly provided in this Sublease, provided, however, Subtenant shall
pay one hundred (100%) percent of all charges (i) for work, utilities, services and/or labor
provided to the Subleased Premises by Overlandlord or Master Landlord during any time that is not
normal business hours (including, without limitation, freight elevator service, excess cleaning or
rubbish removal and condenser water) or (ii) in excess of work, services, utilities and/or labor
provided for in the Overlease to be without charge or fee to the Subleased Premises or (iii) at the
request of Subtenant or otherwise pertaining solely to the Subleased Premises, or (iv) with respect
to alterations to the Subleased Premises by or for the account of Subtenant, but excluding from the
provisions of this sentence the Escalation Charges. Subtenant agrees that if Subtenant has
requested that Master Landlord provide air-conditioning, ventilation and/or heating service to the
Subleased Premises at a time for which Master Landlord may charge therefor under the Master Lease,
Subtenant shall pay, as additional rent under this Sublease, all charges imposed by Overlandlord
therefor as to the entire Overlease Premises, subject to pro-rata reduction by rentable square
footage in the event that Sublandlord or any other occupant of the Overlease Premises requests such
service for the same time as requested by Subtenant. All payments due from Subtenant to
Sublandlord, together with all other payments, fees and charges required to be made by Subtenant to
Sublandlord under this Sublease including, without limitation, Escalation Charges (other than Fixed
Rent), shall be deemed additional rent (“Additional Rent”) hereunder and shall be paid without
demand, set-off, offset, abatement or deduction of any kind whatsoever within twenty (20) days
following receipt of Sublandlord’s statement therefor, except as otherwise provided herein.

     ARTICLE 6. Payment of Rental.

          6.1 All Fixed Rent, Escalation Charges, Additional Rent, and all other costs, charges and sums
payable by Subtenant hereunder (collectively, “Rental”), shall constitute rent under this Sublease.
Fixed Rent, Escalation Charges, Additional Rent and all other items of Rental shall be payable to
Sublandlord at Sublandlord’s office specified in Article 17 hereof (or such other location as
Sublandlord shall specify in writing) by check drawn on a bank which is a member of the New York
Clearing House Association, unless Sublandlord shall otherwise so direct in writing.

          6.2 Except as otherwise expressly provided herein, Subtenant shall promptly pay the Rental as
and when the same shall become due and payable hereunder without demand, set-off, offset, abatement
or deduction of any kind whatsoever, and, in the event of Subtenant’s failure to pay the same when
due (subject to grace periods provided herein), Sublandlord shall have all of the rights and
remedies provided for herein or at law or in equity, in the case of non-payment of rent.
Subtenant’s covenant to pay rent shall be independent of every other covenant in this Sublease.
Subtenant’s liability for such amounts shall survive the expiration of the Sublease Term.

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          6.3 To cover the additional expense incurred by the Sublandlord in the handling of each
delinquent payment of Fixed Rent, Escalation Charges, Additional Rent and other charges payable to
Sublandlord by Subtenant pursuant to this Sublease, Subtenant will pay upon notice if and to the
extent permitted by applicable law, (i) for each dollar of such delinquent payment of Fixed Rent,
Escalation Charges, Additional Rent and other charges if any such amount is received later than
three (3) business days after its due date, interest at the lesser of (A) an annual rate equal to
the floating prime rate of Citibank, N.A. plus two (2%) percent or (B) the maximum rate permitted
by law, and to accrue from the date such amounts of Fixed Rent, Escalation Charges, Additional Rent
and other charges first became due hereunder (such payment referred to herein as, “Late Payment
Costs”), and (ii) upon each occasion of a delinquent payment at the time that such amount becomes
delinquent, provided that Subtenant incurred liability for Late Payment Costs on one or more prior
occasions, in any twelve (12) month period until such time as twelve (12) consecutive months shall
have elapsed without Subtenant having failed to make such payment when due, a “late charge” in an
amount equal to four (4%) percent of such delinquent payment except that in the case of any monthly
payment of Fixed Rent such late charge shall be $1750.00, to cover the administrative expenses of
handling such late payment.

          6.4 Sublandlord’s failure during the Sublease Term to prepare and deliver any statements or
bills required to be delivered to Subtenant hereunder, or Sublandlord’s failure to make a demand
under any provision of this Sublease shall not in any way be deemed to be a waiver of, or cause
Sublandlord to forfeit or surrender its rights to collect any Rental which may have become due
pursuant to this Sublease during the Sublease Term. Subtenant’s liability for Rental due hereunder
accruing during the Sublease Term, and Sublandlord’s obligation to refund overpayments of or
adjustments to Rental paid to it by Subtenant, shall survive the expiration or sooner termination
of this Sublease. Notwithstanding the foregoing, Subtenant shall have no obligation to pay any
such statements or bills received by Subtenant later than twelve (12) months after the expiration
of this Sublease, except for or as to such statements or bills received by Sublandlord from
Overlandlord or Master Landlord thereafter, provided that Sublandlord then furnishes such statement
or bill to Subtenant within thirty (30) business days after Sublandlord’s receipt thereof from
Overlandlord or Master Landlord.

          6.5 Except as otherwise provided herein, in no event shall any adjustment of any amounts
payable by Subtenant result in a decrease in Fixed Rent, nor shall any adjustment of any item of
Additional Rent payable by Subtenant result in a decrease in any other item of Additional Rent
payable by Subtenant, it being understood and agreed that the payment of any item of Additional
Rent under this Sublease is an obligation supplemental to Subtenant’s obligations to pay Fixed Rent
and any other item of Additional Rent.

     ARTICLE 7. Subordination to and Incorporation of the Overlease and Master Lease.

          7.1 This Sublease is in all respects subject and subordinate to Overlease and the Master Lease
(a true and redacted copy of which has been furnished by Sublandlord to Subtenant) and to all of
the terms, covenants, agreements, provisions and conditions therein, to all modifications,
amendments and extensions of the Overlease and Master Lease, to all of

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Sublandlord’s obligations under the Overlease and to all matters to which the Overlease and
the Master Lease is subject and subordinate.

          7.2 All of the terms, covenants, conditions and provisions in the Master Lease are hereby
incorporated in, and made a part of this Sublease, except as herein otherwise expressly provided,
and except those which by their nature or purport are inapplicable to the subleasing of the
Subleased Premises pursuant to this Sublease or are inconsistent with or modified by any of the
terms, covenants or conditions of this Sublease or modifications or amendments to the Master Lease
made after the date hereof, and except for the obligation to pay rent and additional rent under the
Master Lease; and such rights and obligations as are contained in the Master Lease are hereby
imposed upon the respective parties hereto with the same force and effect as if (i) references in
the Master Lease to the “Lease” and to the “Premises” were references, respectively, to this
Sublease and the Subleased Premises, and (ii) references in the Master Lease to “Landlord” and
“Tenant” were references, respectively, to Sublandlord and Subtenant, (iii) references in the
Master Lease to the “Commencement Date” were references to the Commencement Date hereunder, (iv)
references in the Master Lease to the “Expiration Date” were references to the Sublease Expiration
Date, (v) references in the Master Lease to the “Rental” were references to the Rental hereunder
and (vi) references in the Master Lease to the “Fixed Rent”, “Additional Rent” and “Rental” were
references to the Fixed Rent, Additional Rent and Rental payable hereunder by Subtenant.
Notwithstanding anything to the contrary, in Section 16(d) of the Master Lease as incorporated
herein, references to “Tenant” shall mean “Subtenant or Guarantor” for the purposes of this
Sublease.

          7.3 Notwithstanding anything to the contrary in Section 7.2 above, for the purposes of this
Sublease, the following provisions of the Master Lease shall be deemed deleted therefrom and shall
have no force and effect as between Sublandlord and Subtenant:

Articles 1.1, 2.1(a), 2.1(b), 2.2(b) (except for the first four (4)
lines and the first two words on the fifth line, clause 2.2(b)(ii),
and the last sentence of Article 2.2(b)), Articles 2.2(c), 2.2(d),
3.1, 3.2, 3.4, 3.5, 3.6, 3.7, 3.8, 3.9, 3.10, 4.1 and 4.3, Article
5, Articles 6.1(b), 6.1(c), 6.2, Article 7, Articles 8.1, 8.2,
8.4(a), (b), (c)(i) and (c)(ii), 8.5(b) and (c), 8.6 (first
sentence), 8.7(b), 8.8, 8.9, 8.10, the second sentence of Article
9.1(b) (except Subtenant shall be entitled to the same abatement of
Fixed Rent that Sublandlord actually receives with respect to any
closed windows within the Subleased Premises), Articles 9.3, 9.4(b),
10.2 (b), (c) and (d), 10.3, Articles 12.1, 12.4, 12.6, 12.7, 12.8,
13.1(b) and (c), 14.1(a) from and after the word “Notwithstanding”
appearing on the thirty-third (33rd) line thereof and 14.1(b) and
(c), 14.2, 14.5, 15.2, 18.1(b), 18.2, Articles 22 and 26, Article 28
(provided that Subtenant shall be bound by all Rules and Regulations
and Building Alteration Rules promulgated by Master Landlord in
accordance with said Article 28), Articles 29.2 and 34, Article 35,
Articles 37.5, 37.7, the last sentence of 37.10, 37.11 and 37.12,
Articles 39, 40 and 41, Article 42, Articles 43, 44 and 45,
Schedules B-2, E and F and Exhibits A, C, D, E, F, G, H, I, J, L, M,
N, O, P, Q and T and the letter

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agreements supplementing the Master Lease (as described in the
Recitals above), the First Amendment (except for Sections 3(k) and
3(l)) and the Second Amendment.

          7.4 Supplementing the Overlease, if a separate consent by Overlandlord to this Sublease is
signed by Subtenant, the term “Overlease” and “Sublease” as used herein shall each be deemed to
include such consent, and it shall be a default under this Sublease if Subtenant shall default in
the full and timely performance of any of its covenants and other agreements set forth in such
consent. Supplementing the Master Lease, if a separate consent by Master Landlord to this Sublease
is signed by Subtenant, the term “Master Lease” and “Sublease” as used herein shall each be deemed
to include such consent, and it shall be a default under this Sublease if Subtenant shall default
in the full and timely performance of any of its covenants and other agreements set forth in such
consent.

     ARTICLE 8. Use: Quiet Enjoyment.

          8.1 Subtenant shall use and occupy the Subleased Premises for general and executive offices
and for ancillary securities trading floor purposes not prohibited under Article 2 of the Master
Lease, in accordance with all applicable laws, rules and regulations, and for no other purposes.

          8.2 As long as Subtenant shall pay the Rental due hereunder and shall duly perform all the
terms, covenants and conditions of this Sublease on its part to be performed and observed,
Subtenant shall peaceably and quietly have, hold and enjoy the Subleased Premises during the
Sublease Term, subject to the provisions of this Sublease, the Overlease and the Master Lease.

          8.3 Notwithstanding anything to the contrary contained herein, and in addition to
Overlandlord’s rights of access under the Overlease and Master Landlord’s rights of access under
the Master Lease, Subtenant agrees that Sublandlord shall have access to the Subleased Premises, at
all reasonable times, upon reasonable prior notice (except in the event of an emergency in which
event Sublandlord may have access to such areas without notice) in order to inspect the Subleased
Premises. Except in the event of any emergency, Sublandlord’s right of access shall be exercisable
during business hours only in the presence of a representative of Subtenant, provided Subtenant
promptly makes such representative available for such purpose. Sublandlord shall use reasonable
efforts to minimize interference with Subtenant’s use and occupancy of the Subleased Premises in
accordance with Article 4.3 of the Master Lease, as incorporated herein by reference. Subtenant
acknowledges that the LAN closets (which contain certain cabling and associated switches and
equipment) and conveyor system and related equipment, if any, and are owned by Overlandlord and
that Subtenant and Sublandlord have no rights to use and under no circumstances may Subtenant or
Sublandlord alter, relocate, or otherwise disturb such conveyor system or LAN Equipment.

     ARTICLE 9. Covenants with Respect to the Overlease and Master Lease.

          9.1 Subtenant shall not do anything that would constitute a default under the Master Lease or
omit to do anything that Subtenant is obligated to do under the terms of this

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Sublease so as to cause a default under the Master Lease. Sublandlord shall perform or cause
to be performed all of its obligations under the Overlease (excluding any obligations to be
performed by Subtenant pursuant to the terms of this Sublease) so as not to cause a termination
thereof. In addition, Sublandlord shall comply with those requirements of Sublandlord as the
subtenant under the Overlease which are not to be complied with solely by Subtenant hereunder and
shall not amend, modify, surrender or terminate the Overlease in any manner which would adversely
affect the rights of Subtenant under this Sublease, except as otherwise contemplated hereunder.

          9.2 The time limits set forth in the Overlease for the giving of notices, making demands,
performance of any act, condition or covenant, or the exercise of any right, remedy or option, are
changed for the purpose of this Sublease by lengthening or shortening the same in each instance, as
appropriate, so that to the extent circumstances reasonably permit, notices may be given, demands
made or any act, condition or covenant performed or any right, remedy or option hereunder exercised
by Sublandlord or Subtenant, as the case may be, (and each party covenants that it will do so)
within five (5) days prior to the expiration of the time limit, taking into account the maximum
grace period, if any, relating thereto contained in the Overlease and, if notice is required,
measured from the earlier of the date on which notice is given to Subtenant by any of Sublandlord,
Overlandlord or Master Landlord. It is understood and agreed that the foregoing sentence shall not
be applicable to (i) the payment of Fixed Rent, Escalation Charges and Additional Rent, (ii) the
time periods set forth in Article 16.1(a) and (d) of the Master Lease and (iii) the time periods
set forth in Article 16.2 of the Master Lease. Subtenant and Sublandlord shall promptly deliver to
each other copies of all material notices, requests or demands which relate to the Subleased
Premises or the use or occupancy thereof promptly after receipt of same from Overlandlord or Master
Landlord.

          ARTICLE 10. Master Landlord’s and/or Overlandlord’s Services and Repairs.
Notwithstanding anything to the contrary contained in this Sublease or any Primary Lease Documents,
Sublandlord shall not be required to provide any of the services that Overlandlord or Master
Landlord has agreed to provide, whether or not specified in the Primary Lease Documents or required
by law, except as provided in Article 19, or to furnish the electricity to the Subleased Premises
that Overlandlord or Master Landlord has agreed to furnish pursuant to the Primary Lease Documents
or required by law, or to make any of the repairs or restorations that Overlandlord or Master
Landlord has agreed to make pursuant to the Primary Lease Documents or required by law, or to
comply with any laws or requirements of any governmental authorities, or to take any other action
that Overlandlord or Master Landlord has agreed to provide, furnish, make, comply with, or take, or
cause to be provided, furnished, made, complied with or taken under the Primary Lease Documents,
but Sublandlord agrees, upon the written request of Subtenant, to use reasonable efforts, at
Subtenant’s sole cost and expense, to cause Overlandlord to provide or cause the Master Landlord to
provide the same (provided, however, that Sublandlord shall not be obligated to use such efforts or
take any action which is, in Sublandlord’s reasonable determination, likely to give rise to a
default under the Primary Lease Documents), and Subtenant shall rely upon, and look solely to,
Overlandlord or Master Landlord, as applicable, for the provision, furnishing or making thereof or
compliance therewith, except that Subtenant shall be entitled to the remedies provided in Article
14.2(a) of the Master Lease as incorporated herein. In addition, Sublandlord shall not be required
to provide any of the services that Overlandlord or Master Landlord may agree to provide pursuant
to a separate

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agreement with Subtenant including, without limitation, as described in Exhibit “D”
attached hereto and incorporated herein. Subtenant acknowledges and agrees that any separate
agreement for services between Subtenant and either Master Landlord or Overlandlord or both shall
not have the effect of reducing or eliminating or otherwise interfering with the services to be
provided to the portion of the Overlease Premises which does not include the Subleased Premises.

     ARTICLE 11. Indemnification.

          11.1 Anything in the Primary Lease Documents to the contrary notwithstanding, and subject to
the waiver of subrogation provisions of this Sublease, Subtenant shall indemnify Sublandlord, its
direct and indirect subsidiaries and affiliates and its respective officers, directors,
shareholders and employees (individually and collectively, “Sublandlord Indemnitee”) against and
save them harmless from any claims, liabilities, damages, losses costs or expenses (including
Sublandlord Indemnitee’s reasonable attorneys’ and consultants’ fees and disbursements), which may
be imposed upon or incurred by or asserted against Sublandlord Indemnitee by any individual or
other person or entity (including, without limitation by Overlandlord or Master Landlord) arising
from (i) the acts or omissions of Subtenant, or of any of Subtenant’s employees, agents, invitees,
licensees or contractors that are the subject matter of any indemnity or hold harmless of
Sublandlord to Overlandlord or Master Landlord under any of the Primary Lease Documents; (ii) the
acts, omissions or negligence of Subtenant, or of any of Subtenant’s employees, agents, invitees,
licensees or contractors or any person claiming through Subtenant in the Subleased Premises, either
prior to, during or after the Sublease Term, (iii) any injuries to Subtenant, its employees,
invitees and contractors or damage to their property occurring in, on or about the Subleased
Premises, except to the extent the same arises from the negligent acts or omissions of Sublandlord
or any Sublandlord Indemnitee, (iv) the performance of any Alterations or arising from Sections
24.2 or 28.1 of this Sublease, or (v) Subtenant’s separate agreement(s) with Master Landlord for
services or use of conduit space or other space in the Building or as otherwise described on
Exhibit “D” attached hereto and incorporated herein. Such obligation shall not be construed
to negate, abridge or otherwise reduce any other right or obligation of indemnity that would
otherwise exist as to Subtenant and the indemnification obligations under this Article and shall
not be limited in any way by restriction on the amount or type of damages, compensation or benefits
payable by or for Subtenant under any worker’s compensation acts, disability benefit acts or other
employee benefit acts. Subject to the waiver of subrogation provisions of this Sublease, if any
action or proceeding shall be brought against Sublandlord Indemnitee by reason of any such claim as
to which Subtenant is obligated to indemnify Sublandlord, Subtenant, upon notice from Sublandlord
Indemnitee, at Subtenant’s expense, shall resist and defend such action or proceeding and employ
counsel satisfactory to Sublandlord Indemnitee in Sublandlord Indemnitee’s reasonable discretion.
Notwithstanding the foregoing, Sublandlord Indemnitee may retain its own attorneys to participate
or assist in defending any claim, action or proceeding involving potential liability of $5,000,000
or more, and Subtenant shall pay the reasonable fees and disbursements of such attorney. Subtenant
shall pay to Sublandlord within twenty (20) business days after demand all sums which may be owing
to Sublandlord by reason of this Article. Subtenant’s obligations under this Section shall survive
the Sublease Expiration Date. Notwithstanding anything contained in this Section, Subtenant

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shall have no liability for any consequential damages suffered by Sublandlord, any Sublandlord
Indemnitee or other party claiming by or through Sublandlord or any such Sublandlord Indemnitee
except as provided in Section 23.1 of this Sublease.

          11.2 Anything in the Primary Lease Documents to the contrary notwithstanding, and subject to
the waiver of subrogation provisions of this Sublease, Sublandlord shall indemnify Subtenant, its
direct and indirect subsidiaries and affiliates and its respective officers, directors,
shareholders and employees (individually and collectively, “Subtenant Indemnitee”) against and save
them harmless from or arising out of (i) Sublandlord’s failure to perform any of the terms,
covenants, conditions or agreements contained in or incorporated into this Sublease or the
Overlease which, by the terms of this Sublease, Sublandlord is obligated to perform, except for
defaults arising out of the acts or omissions of Subtenant, its agents, contractors, employees
invitees or licensees, and (ii) any willful misconduct or gross negligence of Sublandlord, its
employees, agents, contractors or invitees. Subject to the waiver of subrogation provisions of
this Sublease, if any action or proceeding shall be brought against Subtenant Indemnitee by reason
of any such claim as to which Sublandlord is obligated to indemnify Subtenant, Sublandlord, upon
notice from Subtenant Indemnitee, at Sublandlord’s expense, shall resist and defend such action or
proceeding and employ counsel satisfactory to Subtenant Indemnitee in Subtenant Indemnitee’s
reasonable discretion. Notwithstanding the foregoing, Subtenant Indemnitee may retain its own
attorneys to participate or assist in defending any claim, action or proceeding involving potential
liability of $5,000,000 or more, and Sublandlord shall pay the reasonable fees and disbursements of
such attorney. Sublandlord shall pay to Subtenant within twenty (20) business days after demand all
sums which may be owing to Subtenant by reason of this Section. Sublandlord’s obligations under
this Section shall survive the Sublease Expiration Date. Notwithstanding anything contained in this
Article, Sublandlord shall have no liability for any consequential damages suffered by Subtenant
any Subtenant Indemnitee or other party claiming by or through Subtenant or any such Subtenant
Indemnitee.

     ARTICLE 12. Consents.

          12.1 In addition to the provisions of Section 37.6 of the Master Lease as incorporated herein,
if the consent or approval of Overlandlord, Master Landlord, the lessor under a superior lease, or
the mortgagee under a mortgage, as the case may be, is required in any instance pursuant to the
terms of the Overlease or the Master Lease and Overlandlord, Master Landlord, the lessor under a
superior lease, or the mortgagee under a mortgage shall withhold its consent or approval for any
reason whatsoever, provided Sublandlord timely performs any obligations it may have under this
Sublease to request such consent, Sublandlord shall not be deemed to be acting unreasonably if it
shall also withhold its consent or approval in such instance.

          12.2 The provisions of Section 23.4 of the Master Lease are incorporated herein by reference,
provided that the party giving its statement of reasons for denying or withholding any requested
approval or consent under this Sublease shall only be required to do so within a reasonable period
of time after a written request therefor is received from the other party. Neither the form or
content of any such statement shall in any way modify or change the provisions

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regarding consents and approvals contained in this Sublease and Section 37.6 of the Master
Lease.

     ARTICLE 13. Termination of Overlease. Subject to any non-disturbance agreement given
by Overlandlord or Master Landlord to Subtenant, if the Overlease is terminated by Overlandlord,
Master Landlord or Sublandlord with respect to all or any portion of the Subleased Premises prior
to the Sublease Expiration Date for any reason whatsoever, including, without limitation, by reason
of casualty or condemnation, this Sublease shall thereupon terminate with respect to any
corresponding portion of the Subleased Premises, and (unless such termination of the Overlease
shall be as a result of Sublandlord’s default thereunder or a voluntary termination of the
Overlease or surrender of the Subleased Premises, other than a surrender of the Subleased Premises
permitted under the Overlease with respect to a termination of the Overlease by reason of casualty
to or condemnation of the Subleased Premises or the Building) Sublandlord shall not be liable to
Subtenant by reason thereof, provided that in no event shall Sublandlord be liable to Subtenant for
any loss, cost or expense incurred by Subtenant if Overlandlord or Master Landlord shall accept an
attornment by Subtenant to Overlandlord or Master Landlord upon substantially the same (or more
favorable to Subtenant) terms as provided in this Sublease; and provided further that in no event
shall Sublandlord be liable for any special, consequential or punitive damage to Subtenant.

     ARTICLE 14. Sublease, Not Assignment. Notwithstanding anything contained herein, this
Sublease shall be deemed to be a sublease of the Subleased Premises and not an assignment, in whole
or in part, of Sublandlord’s interest in the Overlease.

     ARTICLE 15. Damage, Destruction, Fire and Other Casualty: Condemnation. Except as
hereinafter specifically provided, the provisions of the Master Lease herein incorporated by
reference shall not give Subtenant the right to terminate this Sublease as to all or any part of
the Subleased Premises, or entitle Subtenant to an abatement of Fixed Rent, Escalation Charges,
Additional Rent or any other item of Rental, by reason of a casualty or condemnation affecting the
Subleased Premises unless Sublandlord is entitled to terminate the Overlease or is entitled to
corresponding abatement with respect to its corresponding obligation under the Overlease.
Sublandlord shall deliver to Subtenant all notices delivered to Sublandlord pursuant to Article 17
of the Overlease promptly after receipt thereof by Sublandlord. If Sublandlord is entitled to
terminate the Overlease for all or any portion of the Subleased Premises by reason of casualty or
condemnation, Subtenant may terminate this Sublease as to any corresponding part of the Subleased
Premises by written notice to Sublandlord given at least five (5) business days prior to the
date(s) Sublandlord is required to give notice to Overlandlord of such termination under the terms
of the Overlease; provided, however, if the portion of the Subleased Premises remaining after
termination of this Sublease for a portion of the Subleased Premises cannot reasonably be utilized
by Subtenant for the conduct of its business, as determined in good faith by Subtenant, Subtenant
may terminate this Sublease as to the remaining portion of the Subleased Premises upon ten (10)
business days’ prior written notice to Sublandlord.

     ARTICLE 16. No Waivers. Failure by Sublandlord or Subtenant, as the case may be, in
any instance to insist upon the strict performance of any one or more of the obligations of
Subtenant or Sublandlord, as the case may be, under this Sublease, or to exercise

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any election herein contained (except as otherwise provided herein), shall in no manner be or
be deemed to be a waiver by Sublandlord or Subtenant, as the case may be, of any of Subtenant’s or
Sublandlord’s, as the case may be, defaults or breaches hereunder or of any of Sublandlord’s or
Subtenant’s, as the case may be, rights and remedies by reason of such defaults or breaches, or a
waiver or relinquishment for the future of the requirement of strict performance of any and all of
Subtenant’s or Sublandlord’s, as the case may be obligations hereunder. Further, no payment by
Subtenant or receipt by Sublandlord of a lesser amount than the correct amount or manner of payment
of Rental due hereunder shall be deemed to be other than a payment on account, nor shall any
endorsement or statement on any check or any letter accompanying any check or payment be deemed to
effect or evidence an accord and satisfaction, and Sublandlord may accept any checks or payments as
made without prejudice to Sublandlord’s right to recover the balance or pursue any other remedy in
this Sublease or otherwise provided at law or equity.

     ARTICLE 17. Notices. Any notice, statement, demand, consent, approval, advice or
other communication required or permitted to be given, rendered or made by either party to the
other, pursuant to this Sublease or pursuant to any applicable law or requirement of public
authority (collectively, “communications”) shall be in writing and shall be deemed to have been
properly given, rendered or made only if sent by personal delivery, receipted by the party to whom
addressed, or by certified mail, return receipt requested and posted in a United States post office
station in the continental United States, or by a nationally recognized overnight delivery service
for next business day delivery, addressed (i) to Subtenant at 677 Broadway, Albany, New York 12207,
Attn: Counsel and (ii) to Sublandlord at 60 Wall Street, NYC60-3430, New York, New York 10005,
Attn: Lease Administration, with a copy to Richard E. Strauss, Esq., Moses & Singer LLP, 1301
Avenue of the Americas, New York, New York 10019. All such communications shall be deemed to have
been given, rendered or made when delivered and receipted by the party to whom addressed in the
case of personal delivery, three (3) business days after the day so mailed at the United States
post office and one (1) business day after the day given to a nationally recognized overnight
delivery service for next business day delivery. Either party may, by notice as aforesaid actually
received, designate a different address or addresses for communications intended for it.

     ARTICLE 18. Broker. Each party hereto covenants, warrants and represents to the other
party that it has had no dealings, conversations or negotiations with any broker other than CB
Richard Ellis, Inc. (representing Sublandlord) and Cushman & Wakefield, Inc. (representing
Subtenant) (collectively, the “Broker”), concerning the execution and delivery of this Sublease.
Each party hereto agrees to indemnify and hold harmless the other party against and from any claims
for any brokerage commissions and all costs, expenses and liabilities in connection therewith,
including, without limitation, reasonable attorneys’ fees and disbursements, arising out of its
respective representations and warranties contained in this Article being untrue. Sublandlord shall
pay any brokerage commissions due to the Broker pursuant to one or more separate agreement(s)
between Sublandlord and the Broker. The provisions of this Article shall survive the expiration or
earlier termination of the Sublease Term.

     ARTICLE 19. Condition of Subleased Premises. Except as otherwise specifically
provided in this Sublease, no warranties or representations, expressed or implied, are made or
intended to be made by Sublandlord in respect of the Subleased Premises or the Building systems or
their physical condition, the uses to which they may be put, or any other

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matter pertaining thereto. Subtenant has inspected and is fully familiar with the Subleased
Premises and Building systems, accepts the same “as is”, in their condition on the date hereof and
Sublandlord shall have no obligation to perform any additions, alterations, maintenance, repairs,
decoration or other work in or to the Subleased Premises to prepare them for Subtenant’s use or
occupancy or for any other purpose. Notwithstanding anything to the contrary contained herein,
Sublandlord shall, at its sole expense, remediate any hazardous materials, including asbestos, in
the Subleased Premises to the extent necessary to deliver an ACP-5 form satisfactory to obtain
necessary permits and approvals to perform Subtenant’s Work and furnish to Subtenant such ACP-5
form therefor, if Subtenant notifies Sublandlord thereof prior to commencement of Subtenant’s Work
in the Subleased Premises. If the commencement or completion of Subtenant’s Work is delayed by
reason of remediation of hazardous materials in accordance with the preceding sentence and
Sublandlord receives an abatement against rent as to the Subleased Premises from Overlandlord for
the period of such delay by reason of such remediation, then Subtenant shall be entitled to a
corresponding abatement of Fixed Rent under this Sublease for the period of the abatement received
by Sublandlord for the Subleased Premises.

     ARTICLE 20. Consent of Overlandlord and Master Landlord to Sublease.

          20.1 This Sublease is conditioned upon the written consent thereto by Master Landlord and, if
required by Sublandlord, Overlandlord, which consent shall be evidenced by Overlandlord’s and
Master Landlord’s signature appended hereto or one or more separate consent(s) in the standard form
utilized by Overlandlord or Master Landlord for such purposes (collectively, the “Consents”).
Sublandlord agrees promptly to request the Consents of Master Landlord and, if required by
Sublandlord, Overlandlord, but Sublandlord shall have no responsibility or liability whatsoever if
any of the Consents are refused or not obtained for any reason whatsoever or for no reason.
Subtenant agrees to cooperate with Sublandlord with respect thereto and to furnish all financial
statements, references and other data with respect to Subtenant as Overlandlord or Master Landlord
may request in accordance with the provisions of the Overlease and the Master Lease and execute and
deliver the Consents in the form provided by Overlandlord or Master Landlord or both. If
Sublandlord shall not require the Consent of Overlandlord, it will give notice of this Sublease to
Overlandlord and shall deliver to Overlandlord a duplicate original of this Sublease and a copy of
Master Landlord’s Consent as required by the Overlease. In no event shall Sublandlord or Subtenant
be obligated to make any payment to Overlandlord or Master Landlord in order to obtain the Consents
or the consent to any provision hereof, other than as expressly set forth in the Overlease or to
commence any litigation or other proceeding to obtain the Consents.

          20.2 In the event that Overlandlord or Master Landlord notifies Sublandlord that the consent
of Master Landlord or, if required by Sublandlord, the consent of Overlandlord will not be given,
Sublandlord will so notify Subtenant and this Sublease shall be deemed to be canceled and without
force or effect. In the event that the previous sentence does not apply but Sublandlord does not
receive the consent of Master Landlord and, if required by Sublandlord, the consent of Overlandlord
by a date which is sixty (60) days after the date of this Sublease, then, upon written notice to
the other, Sublandlord or Subtenant may cancel this Sublease, and upon the giving of such notice,
this Sublease shall be deemed canceled and of no further force or effect. If either of the two (2)
previous sentences shall be applicable, Sublandlord and Subtenant shall have no further obligations
or liabilities to the other with respect to this Sublease and

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Sublandlord shall promptly return to Subtenant any Rental heretofore paid hereunder. If
neither Sublandlord nor Subtenant elects to cancel this Sublease pursuant to this paragraph,
Subtenant shall be entitled to an abatement of Fixed Rent for each day after the expiration of such
sixty (60) day period until such consent of Master Landlord and, if required by Sublandlord, the
consent of Overlandlord are obtained, such abatement to be credited against the Fixed Rent payable
commencing December 1, 2005.

     ARTICLE 21. Assignment, Subletting and Mortgaging.

          21.1 Subtenant shall not, whether voluntarily, involuntarily or by operation of law, in any
manner or by reason of any act or omission on the part of Subtenant or any party acting by or
through Subtenant (a) assign or otherwise transfer this Sublease or the term or estate hereby
granted, nor (b) sublet or underlet all or any part of the Subleased Premises, nor (c) permit the
Subleased Premises or any desk space therein to be occupied by any person(s) other than Subtenant
or its employees, nor (d) mortgage, pledge or encumber this Sublease or all or part of the
Subleased Premises without first obtaining:

               (i) Overlandlord’s consent or Master Landlord’s consent or both, if required, and all
other required consents to such assignment or subletting as set forth in and pursuant to the
terms of the Primary Lease Documents, and

               (ii) except as provided in Sections 21.3 and 21.4 hereof, Sublandlord’s consent.

Notwithstanding anything contained in this Section, in the event Subtenant desires Sublandlord’s
consent to an assignment of this Sublease or an underletting of all or part of the Subleased
Premises, Subtenant by notice in writing shall notify Sublandlord of the name of the proposed
assignee or undertenant, furnish such information as to the proposed assignee’s or undertenant’s
financial responsibility and standing as Sublandlord may reasonably require and advise Sublandlord
of all of the material terms and provisions contained in the proposed assignment or underlease, and
furnish such other information and documents to Sublandlord as would be required under the Primary
Lease Documents upon a proposed subletting or assignment by the tenant thereunder.

          21.2 Sublandlord covenants not to unreasonably withhold, condition or delay its consent to a
proposed assignment or underletting by Subtenant of the Subleased Premises to the proposed assignee
or undertenant on the terms and provisions set forth in the notice to Sublandlord referred to in
this Article; provided, however, that Sublandlord shall not in any event be obligated to consent to
any such proposed assignment or underletting unless:

               (i) the proposed assignee or undertenant has adequate financial net worth and credit
considering the responsibilities involved and is engaged in a business permitted pursuant to
the terms of this Sublease;

               (ii) the proposed assignee or undertenant is, in Sublandlord’s reasonable judgment, a
reputable party;

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               (iii) there shall be no monetary or material non-monetary default by Subtenant under
any of the terms, covenants and conditions of this Sublease at the time that Sublandlord’s
consent to any such assignment or underletting is requested and on the effective date of the
assignment or the proposed underlease;

               (iv) Subtenant shall reimburse Sublandlord for any reasonable expenses that may be
incurred by Sublandlord in connection with the proposed assignment or underlease, including
without limitation the reasonable costs of making investigations as to the acceptability of
a proposed assignee or undertenant, any amounts payable under the Overlease and Master Lease
as a result of such actual or proposed assignment or underletting and reasonable legal
expenses incurred in connection with the granting of any requested consent to the assignment
or underlease;

               (v) any such assignee or sub-subtenant shall consent, in writing, to the exclusive
jurisdiction of the courts of New York State and the Federal courts located in the County of
New York, State of New York; and

               (vi) Subtenant and such assignee shall be jointly and severally liable for all
obligations to be performed thereafter under this Sublease.

          21.3 Notwithstanding anything to the contrary in this Article, provided First Albany Capital,
Inc. is the subtenant hereunder and subject to the terms and conditions hereinafter set forth,
Subtenant shall have the right upon notice to Sublandlord, but not contingent upon the consent of
Sublandlord, to sub-sublet all or any portion of the Subleased Premises or to assign this Sublease
to a “Subtenant Related Entity”, which shall mean a corporation, partnership, limited liability
company or other entity which shall have at least fifty-one percent (51%) of the voting securities
or equity interests of such sub-subtenant or assignee, directly or indirectly, owned, beneficially
or of record, by First Albany Capital, Inc. or First Albany Companies, Inc. and management of which
shall be controlled, directly or indirectly, by First Albany Capital, Inc. or First Albany
Companies, Inc. (provided First Albany Companies, Inc. owns at least 51% of the voting securities
and other equity interests of First Albany Capital, Inc., and controls its management). Any
permitted subletting or assignment to a Subtenant Related Entity shall be upon the condition that
(i) Overlandlord’s consent or Master Landlord’s consent or both, as required, and all other
required consents to such assignment or subletting as set forth in and pursuant to the terms of the
Primary Lease Documents and the Consents are obtained and delivered to Sublandlord prior to the
commencement date of any such sublease or assignment; (ii) any such assignee or sub-subtenant shall
use the Subleased Premises or such portion thereof only as permitted under this Sublease, (iii)
such Subtenant Related Entity shall be of a character, be engaged in a business, and propose to use
the Subleased Premises in a manner in keeping with the standards of the other tenancies in the
Building, and (iv) any such assignee or sub-subtenant shall consent, in writing, to the exclusive
jurisdiction of the courts of New York State and the Federal courts located in the County of New
York, State of New York. Subtenant shall, within ten (10) business days after execution thereof,
deliver to Sublandlord, (A) if an assignment, instruments, duly executed by the assignee and
Subtenant, in which such assignee shall assume the observance and performance of, and agree to be
personally bound by, all of the obligations of Subtenant under this Sublease, (B) if a
sub-sublease, a duplicate original sub-sublease, duly executed by Subtenant and the sub-subtenant
and (C) a copy of Overlandlord’s

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and Master Landlord’s written consent to such assignment or sub-sublease, to the extent
required under the Primary Lease Documents and the Consents.

          21.4 Notwithstanding anything contained in this Section to the contrary, Subtenant shall have
the right, without Sublandlord’s consent but otherwise subject to the provisions of this Sublease,
the Overlease and the Master Lease, to assign this Sublease or sub-sublet the Subleased Premises or
any portion thereof to any entity (a) into which or with which Subtenant is merged or consolidated,
in accordance with applicable statutory provisions for the merger or consolidation, provided that
by operation of law or by the instruments of merger or consolidation, the liabilities of the
entities participating in such merger or consolidation are assumed by the entity surviving such
merger or consolidation, or (b) which is purchaser of all or substantially all of Subtenant’s
assets (provided such purchaser shall have assumed all or substantially all of Subtenant’s
liabilities including those under this Sublease) (each a “Successor”), provided that no monetary or
material non-monetary default shall have occurred and be continuing and further provided that, in
either case, such transaction be for a valid corporate purpose and not to circumvent the other
provisions of this Sublease, and immediately after giving effect thereto, the Successor shall have
a net worth, as determined in accordance with generally accepted accounting principles, at least
equal to the net worth, similarly determined, of Subtenant immediately prior to such transaction.
Subtenant and such Successor shall be jointly and severally liable for all obligations to be
performed thereafter under this Sublease. Notice of such assignment or sub-sublease shall be
given to Sublandlord within ten (10) business days after the effective date thereof.

          21.5 Any permitted subletting shall end no later than one (1) day before the Sublease
Expiration Date and shall not be for a term of less than one (1) year. Subtenant shall reimburse
Overlandlord, Master Landlord and Sublandlord within five (5) business days after notice for any
reasonable costs that may be incurred by any of them in connection with any permitted assignment or
sublease, including, without being limited to, any processing fees payable to Overlandlord or
Master Landlord or both (and, if Sublandlord’s consent is required hereunder, Sublandlord’s)
reasonable attorneys’ fees and disbursements and the costs of making investigations as to the
acceptability of the proposed subtenant.

          21.6 If this Sublease be assigned or if the Subleased Premises be sub-sublet (whether or not
Sublandlord, Overlandlord or Master Landlord shall have consented thereto), Sublandlord, after
default by Subtenant in its obligations hereunder, may collect rent from the assignee or subtenant
and apply the net amount collected to the Rental herein reserved, but no such assignment or
sub-subletting or collection of rent shall be deemed a waiver of the covenant set forth in this
Article, or the acceptance of the assignee or subtenant as a tenant, or a release of Subtenant from
the further performance and observance by Subtenant of the covenants, obligations and agreements on
the part of Subtenant to be performed or observed herein. The consent by Sublandlord, Overlandlord
or Master Landlord to an assignment, sale, pledge, transfer, mortgage or sub-subletting shall not
in any way be construed to relieve Subtenant from obtaining the express consent in writing, to the
extent required by this Sublease, any of the Primary Lease Documents or the Consents, of
Sublandlord, Overlandlord or Master Landlord to any further assignment, sale, pledge, transfer,
mortgage or sub-subletting.

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          21.7 Except as set forth above, either a transfer (including the issuance of treasury stock or
the creation and issuance of new stock) of a controlling interest in the shares of Subtenant (if
Subtenant is a corporation, other than a professional corporation, or trust) or a transfer of a
majority of the total interest in Subtenant (if Subtenant is a partnership) at any one time or over
a period of time through a series of transfers, shall be deemed an assignment of this Sublease and
shall be subject to all of the provisions of this Sublease, including, without limitation, the
requirements that Subtenant obtain Sublandlord’s prior consent thereto. The transfer of shares of
Subtenant (if Subtenant is a corporation or trust) for purposes of this Section shall not include
the sale of shares by persons other than those deemed “insiders” within the meaning of the
Securities Exchange Act of 1934, as amended, which sale is effected through the “over-the-counter
market” or through any recognized stock exchange.

          21.8 Sublandlord shall be entitled to receive from Subtenant (as and when received by
Subtenant) as an item of additional rent, fifty percent (50%) of all amounts received by Subtenant
from any sub-subtenant or assignee in excess of the amounts payable by Subtenant to Sublandlord
hereunder (hereinafter the “Transfer Premium”), as and when paid by such assignee or undertenant.
The Transfer Premium shall be reduced by the reasonable transaction costs actually paid by
Subtenant in order to assign this Sublease or to sub-sublet a portion of the Subleased Premises,
provided that Subtenant provides Sublandlord with a detailed breakdown of all transaction costs
associated with such assignment or subletting at the time Subtenant obtains Sublandlord’s consent
and Sublandlord consents to such costs, which consent shall not be unreasonably withheld,
conditioned or delayed (Sublandlord acknowledges that the following may constitute transaction
costs: work allowances, alteration expenses, advertising costs, brokerage fees and legal fees
reasonably incurred by Subtenant). “Transfer Premium” shall include all fixed rent, escalation
charges, other additional rent or other consideration of any type whatsoever payable by the
assignee or sub-subtenant in excess of the Fixed Rent, Escalation Charges and other Additional Rent
payable by Subtenant under this Sublease. Transfer Premium shall also include, but not be limited
to, key money and bonus money paid by the assignee or sub-subtenant to Subtenant in connection with
such assignment or sub-subletting, and any payment in excess of fair market value for services
rendered by Subtenant to the assignee or sub-subtenant or for physical assets, fixtures, inventory,
equipment, or furniture transferred by Subtenant to the assignee or sub-subtenant in connection
with therewith. For purposes of calculating the Transfer Premium, expenses will be amortized on a
straight line basis over the term of the Sublease commencing from its rent commencement date and
deducted from any assignment proceeds or the sublet rents.

     ARTICLE 22. Insurance.

          22.1 Subtenant shall not violate, or permit the violation of, any order, rule or regulation of
any Board of Fire Underwriters or similar organization having jurisdiction over the Master
Premises, the Overlease Premises or the Subleased Premises, and shall not do, or permit anything to
be done, or keep or permit anything to be kept in the Subleased Premises which would increase the
fire or other casualty insurance rate on the Building or the Subleased Premises or the property
therein over the rate which would otherwise then be in effect (unless Subtenant pays the resulting
increased amount of the premium as provided in this Article) or which would result in insurance
companies of good standing refusing to insure the Subleased Premises in amounts and at normal rates
satisfactory to Overlandlord or Sublandlord. However,

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Subtenant shall not be subject to any liability or obligation under this Article by reason of
the use of the Subleased Premises for the purposes permitted under this Sublease, provided such use
is otherwise in accordance with the terms of this Sublease, the Primary Lease Documents, the
Consents and applicable law.

          22.2 If, by reason of any act or omission on the part of Subtenant, the rate of fire insurance
with extended coverage on the Subleased Premises or equipment or other property of Overlandlord or
Sublandlord shall be higher than it otherwise would be, Subtenant shall reimburse Overlandlord or
Sublandlord, on demand, for that part of the premiums for fire insurance and extended coverage paid
by Overlandlord or Sublandlord, because of such act or omission on the part of Subtenant, which sum
shall be deemed to be additional rent and in each instance collectible on the first day of any
month following the date of notice to Subtenant in the same manner as though it were Rental
originally reserved hereunder.

          22.3 In the event that any dispute should arise between Sublandlord and Subtenant concerning
rates, a schedule or make up of rates for the Subleased Premises issued by any fire insurance
rating organization or other similar body making rates for fire insurance and extended coverage for
the premises concerned, shall be presumptive evidence of the facts therein stated and of the
several items and charges in the fire insurance rates with extended coverage then applicable to
such premises.

          22.4 Subtenant shall obtain and keep in full force and effect during the term of this Sublease
at its own cost and expense each of the types of insurance described on Exhibit “B” hereto
and in such amounts stated thereon (or in such greater amounts as Sublandlord may from time to time
reasonably require), protecting Overlandlord, Master Landlord, Sublandlord, their respective
subsidiaries and affiliates and Subtenant as insureds, against any and all claims for personal
injury, death or property damage occurring in, upon, adjacent to or connected with the Subleased
Premises. Said insurance is to be written on a form reasonably satisfactory to Sublandlord by good
and solvent insurance companies and otherwise in accordance with Exhibit “B”. Subtenant
shall pay all premiums and charges therefor and upon failure to do so Sublandlord may, but shall
not be obligated to, make such payments, and in such latter event Subtenant agrees to pay the
amount thereof to Sublandlord on demand and said sum shall be deemed to be additional rent and in
each instance collectible on the first day of any month following the date of notice to Subtenant
in the same manner as though it were Rental originally reserved hereunder. Commencing on the
Commencement Date, the original insurance policies or appropriate certificates shall be deposited
with Sublandlord together with any renewals, replacements or endorsements to the end that said
insurance shall be in full force and effect for the benefit of Sublandlord, Overlandlord and Master
Landlord during the Sublease Term. In the event Subtenant shall fail to procure and place such
insurance, Sublandlord may, but shall not be obligated to, procure and place same, in which event
the amount of the premium paid shall be refunded by Subtenant to Sublandlord, upon demand and shall
in each instance be collectible on the first day of the month or any subsequent month following the
date of payment by Sublandlord, in the same manner as though said sums were Rental reserved
hereunder.

          22.5 Each party agrees to include in each of its insurance policies (insuring Sublandlord’s
property interests therein and rental value thereof in the case of Sublandlord, and insuring
Subtenant’s property and business interest in the Subleased Premises (business

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interruption insurance) in the case of Subtenant, against loss, damage, or destruction by fire
or other casualty) a waiver of the insurer’s right of subrogation against the other party, or if
such waiver should be unobtainable or unenforceable (a) an express agreement that such policy shall
not be invalidated if the insured waives the right of recovery against any party responsible for a
casualty covered by the policy before the casualty or (b) any other form of permission for the
release of the other party. If such waiver, agreement or permission shall not be, or shall cease
to be, obtainable without additional charge or at all, the insured party shall so notify the other
party promptly after learning thereof. In such case, if the other party shall so elect and shall
pay the insurer’s additional charge therefor, such waiver, agreement or permission shall be
included in the policy or the other party shall be named as an additional insured in the policy.
Each such policy which shall so name a party hereto as an additional insured shall contain, if
obtainable, agreements by the insurer that the policy will not be cancelled without at least thirty
(30) days’ prior notice to both insureds and that the act or omission of one insured will not
invalidate the policy as to the other insured. Any failure by Subtenant, if named as additional
insured, promptly to endorse to the order of Sublandlord any instrument for the payment of money
under or with respect to the policy of which Subtenant is the owner or original or primary insured,
shall be deemed a default under this Sublease.

          22.6 Each party hereby releases the other party with respect to any claim (including a claim
for negligence) which it might otherwise have against the other party for loss, damage or
destruction with respect to its property (including rental value or business interruption)
occurring during the term of this Sublease and with respect and to the extent to which it is
insured under a policy or policies containing a waiver of subrogation or permission to release
liability or naming the other party as an additional insured, as provided in this Article. If
notwithstanding the recovery of insurance proceeds by either party for loss, damage or destruction
of its property (or rental value or business interruption) the other party is liable to the first
party with respect thereto or is obligated under this Sublease to make replacement, repair or
restoration or payment. then provided the first party’s right of full recovery under its insurance
policies is not thereby prejudiced or otherwise adversely affected, the amount of the net proceeds
of the first party’s insurance against such loss, damage or destruction shall be offset against the
second party’s liability to the first party therefor, or shall be made available to the second
party to pay for replacement, repair or restoration, as the case may be.

          22.7 The waiver of subrogation or permission for release referred to in this Article shall
extend to the agents of each party and its and their employees and, in the case of Subtenant, shall
also extend to all other persons and entities occupying, using or visiting the Subleased Premises
in accordance with the terms of the Sublease, but only if and to the extent that such waiver or
permission can be obtained without additional charge (unless such party shall pay such charge and
such party shall provide a like waiver to Sublandlord). The releases provided for in this Article
shall likewise extend to such agents, employees and other persons and entities, if and to the
extent that such waiver or permission is effective as to them.

     ARTICLE 23. End of Term.

          23.1 Upon the expiration or earlier termination of this Sublease, Subtenant shall quit and
surrender to Sublandlord the Subleased Premises vacant, broom clean, in good order and condition,
ordinary wear and tear and damage for which Subtenant is not responsible under the

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terms of this Sublease excepted, and Subtenant shall, (i) to the extent required by
Overlandlord or Master Landlord or both pursuant to the terms of the Primary Lease Documents; or
(ii) to the extent required by Sublandlord, in its sole discretion, in the event this Sublease is
terminated as a result of a default by Subtenant hereunder, at Subtenant’s sole cost and expense,
remove all of its property and all Alterations (as defined in Article 27 hereof) including
Subtenant’s Work and all Non-Structural Alterations (as defined in Article 27 hereof) made or
installed by Subtenant and shall repair any damage caused by any such removal. If at the time
Subtenant requests Sublandlord’s consent to Subtenant’s Work (and such consent is required),
Subtenant also requests Sublandlord to designate the portions of Subtenant’s Work which must be
removed pursuant to this Section, Sublandlord shall make that designation on the date Sublandlord
gives its consent to Subtenant’s Work and Subtenant shall not be obligated to remove the portions
of Subtenant’s Work not designated unless the same is required by Overlandlord or Master Landlord
or both pursuant to notice thereof, given at any time prior to the expiration or termination of the
Sublease Term, in accordance with the terms of the Primary Lease Documents or by Sublandlord
pursuant to clause (ii) of the preceding sentence. Subtenant expressly waives, for itself and for
any person claiming through or under Subtenant, any rights which Subtenant or any such person may
have under the provisions of Article 2201 of the New York Civil Practice Law and Rules and of any
successor law of like import then in force in connection with any holdover summary proceedings
which Sublandlord may institute to enforce the foregoing provisions of this Article. The
obligations of Subtenant under this Article shall survive the expiration or sooner termination of
the Sublease Term. Notwithstanding the foregoing, if the Subleased Premises are not vacated and
surrendered in such condition at the Sublease Expiration Date, Subtenant shall and hereby agrees to
indemnify and hold Sublandlord harmless from and against any and all claims, losses, expenses or
damages, including, without limitation, attorneys’ fees and disbursements, arising out of or
resulting from any delay by Subtenant in so surrendering the Subleased Premises, or any portion
thereof, including, without limitation, any amounts payable by Sublandlord to Overlandlord or
Master Landlord pursuant to the Primary Lease Documents in respect of the Overlease Premises by
reason thereof. In the event Subtenant remains in possession of the Subleased Premises, or any
portion thereof, after the Sublease Expiration Date, the parties recognize and agree that the
damage to Sublandlord resulting therefrom will be substantial and will exceed the amount of the
monthly installments of the rent payable hereunder. Subtenant therefore agrees that in addition to
any other right or remedy Sublandlord may have hereunder or at law or in equity, Subtenant, at the
option of Sublandlord, shall be deemed to be occupying the Subleased Premises as a subtenant from
month-to-month, at a monthly rental equal to one and one-quarter (11/4) times (x) the monthly Fixed
Rent and Additional Rent and other Rental payable during the last month of the scheduled term
hereof or (y) the fair market value for the Subleased Premises, whichever is greater, subject to
all of the other terms of this Sublease and the Primary Lease Documents insofar as the same are
applicable to a month-to-month tenancy. The provisions of the preceding sentence shall not be
construed to limit any other rights or remedies which might be available to Sublandlord as a result
of Subtenant’s failure to surrender possession of the Subleased Premises or any portion thereof on
the Sublease Expiration Date, including, without limitation, prosecuting a holdover or su
mmary
dispossess proceeding.

          23.2 Except as otherwise provided in this Article, all fixtures and installations (other than
any items which would qualify as Subtenant’s Property under the Master Lease) installed in the
Subleased Premises at any time either by Subtenant or by Sublandlord on

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Subtenant’s behalf shall, upon installation, become the property of Overlandlord and shall
remain upon and be surrendered with the Subleased Premises upon the expiration or earlier
termination of this Sublease.

          23.3 Notwithstanding anything to the contrary in this Sublease, if the Sublease Term expires
at or about the date of the expiration of the Overlease, and if Sublandlord is required under or
pursuant to the terms of the Overlease to remove any Alterations (as defined in the Overlease)
performed prior to the Commencement Date, Subtenant shall permit Sublandlord to enter the Subleased
Premises for a reasonable period of time prior to the expiration of the Sublease, subject to such
conditions as Subtenant may reasonably impose, for the purpose of removing such Alterations (as
defined in the Overlease) and restoring the Subleased Premises as required of Sublandlord.

     ARTICLE 24. Heating, Ventilation and Air Conditioning.

          24.1 All heating, ventilation and air conditioning (“HVAC”) service is to be furnished by
Master Landlord pursuant to the terms, conditions and standards contained in the Primary Lease
Documents, and Sublandlord shall not be responsible for interruptions, stoppages or changes in the
quality or quantity of such HVAC service. Any overtime HVAC service shall be requested from Master
Landlord by reasonable prior notice to Sublandlord or such other direct access arrangement
acceptable to Master Landlord, Overlandlord and Sublandlord, provided that Subtenant pays all
charges imposed therefor under the Primary Lease Documents as additional rent hereunder upon demand
by Sublandlord. Subtenant shall be responsible for the maintenance repair and replacement of all
ducts, air handling equipment and related facilities located within and serving the Subleased
Premises. Sublandlord shall have no obligation to supply Subtenant with any supplemental HVAC
service or to provide Subtenant with any condenser water or “tap-ins” to the Building’s condenser
water system; provided that Subtenant may use any supplemental air-conditioning equipment existing
in the Subleased Premises on the Commencement Date (without representation or warranty by
Sublandlord, express or implied) and that Subtenant is obligated for the costs associated with any
condenser water incurred in connection with servicing the Subleased Premises and shall pay
Sublandlord the charges therefor incurred by Sublandlord within ten (10) business days after
demand.

          24.2 Sublandlord shall reasonably cooperate with Subtenant, at Subtenant’s sole cost and
expense, to request tap-ins to Master Landlord’s condenser water system or obtain any condenser
water and/or chilled air from Master Landlord for Subtenant’s supplemental air conditioning
equipment or utilization of a roof top, separate condenser water tank, in addition to condenser or
chilled water available to Sublandlord for the Overlease Premises as of the date hereof, provided
that any such requests would not result in a reduction in the quantity, or increase the cost of,
tap-ins, condenser water or chilled air provided by Master Landlord to the Overlease Premises or to
any subtenant or other occupant of the Overlease Premises as of the date hereof; and, provided
further, such requests shall not be obtained pursuant to the Overlease or Master Lease and
Overlandlord and Master Landlord shall so agree and further agree that Sublandlord shall have no
liability therefor, for the payment of any charges therefor, for the removal or restoration thereof
at the expiration or earlier termination of the Overlease or Sublease or for any damages or
liability related to such tap-ins, condenser water or chilled air or any work or equipment
associated therewith. Notwithstanding the foregoing, Subtenant shall be

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entitled to Subtenant’s Proportionate Share of all HVAC service provided by Master Landlord to
the Overlease Premises in accordance with, and subject to, the terms of the Primary Lease
Documents. Any and all such tap-ins or condenser water installations shall be deemed to be an
Alteration hereunder and shall be performed at Subtenant’s sole cost and expense. Nothing contained
herein shall constitute a representation or warranty by Sublandlord as to whether, or the extent to
which, any such condenser water installations or tap-ins may be available from Master Landlord. If
such tap-ins, condenser water or chilled air installations is made available to Subtenant,
Sublandlord and Subtenant shall execute an amendment to this Sublease which incorporates the terms
and conditions agreed to by Master Landlord, Overlandlord and Sublandlord with respect thereto.
Subtenant represents that, as of the date hereof, Subtenant is seeking to enter into a separate
agreement with Master Landlord concerning the matters set forth in an email correspondence dated
March 31, 2005 between the general manager of Equity Office Properties, as agent for Master
Landlord, and Subtenant’s real estate broker, as agent for Subtenant attached hereto and made a
part hereof as Exhibit “D”. Sublandlord does not object to Subtenant entering into such
separate agreement with Master Landlord, provided that such agreement is in accordance with the
provisions above. Unless otherwise agreed to in writing by Master Landlord, Overlandlord and
Sublandlord, Subtenant shall disconnect any and all tap-ins installed by Subtenant pursuant to the
terms of this Article and repair any damage caused thereby prior to the Sublease Expiration Date.

     ARTICLE 25. Subtenant’s Work.

          25.1 Subtenant shall furnish and install or cause to be furnished and installed Subtenant’s
Work (as hereinafter defined) in accordance with the provisions of this Sublease and applicable
provisions of the Primary Lease Documents. In addition to any requirements with respect to
alterations under the Primary Lease Documents, Subtenant shall, at Subtenant’s cost and expense,
(a) cause a licensed architect reasonably satisfactory to Sublandlord (“Subtenant’s Architect”) to
prepare architectural working drawings and specifications, and cause a licensed professional
engineer reasonably satisfactory to Sublandlord (“Subtenant’s Engineer”) to prepare engineering
working drawings and specifications, for demolition of existing improvements in and to the
Subleased Premises and all items of work and equipment, proposed to be completed as part of
Subtenant’s installation to demolish the existing tenant installations and to prepare the Subleased
Premises for Subtenant’s initial occupancy (“Subtenant’s Work”), and (b) submit said plans and
specifications to Sublandlord for Sublandlord’s, Overlandlord’s and Master Landlord’s approval as
hereinafter provided. The architectural and engineering working drawings and specifications for
Subtenant’s Work caused to be prepared by Subtenant pursuant to this Article and any changes
therein permitted under this Sublease which are approved by Sublandlord, Overlandlord and Master
Landlord are herein referred to as “Subtenant’s Plans”. Subtenant shall cause Subtenant’s Plans to
comply with all legal requirements. and insurance requirements herein.

          25.2 Sublandlord shall approve or disapprove each portion of Subtenant’s Plans which
Sublandlord has the right to disapprove pursuant to this Section 25.2 within ten (10) business days
after the receipt of such portion of Subtenant’s Plans (which approval shall not be unreasonably
withheld or conditioned); if Sublandlord disapproves any portion of Subtenant’s Plans, its notice
of disapproval shall set forth in reasonable detail the reasons for such disapproval. In the event
of Sublandlord’s disapproval, Subtenant shall have the right to

23

 

resubmit Subtenant’s Plans, revised to comply with Sublandlord’s objections. Failure to
approve or disapprove of Subtenant’s Plans within said ten (10) business day period (or within five
(5) business days in the case of resubmitted plans which are merely refinements to previously
submitted plans) shall constitute an approval by Sublandlord of such Subtenant’s Plans (or revised,
resubmitted plans) if together with Subtenant’s request for approval it notifies Sublandlord that
Sublandlord has the right to disapprove pursuant to this Section 25.2 and requests its approval,
but such deemed approval shall not relieve Subtenant of its obligation to obtain, as a condition to
proceeding with Subtenant’s Work hereunder, Overlandlord’s and Master Landlord’s prior written
consent thereto in accordance with the applicable terms of the Primary Lease Documents. No approval
by Sublandlord of Subtenant’s Plans shall in any way be deemed to be an agreement, acknowledgement
or representation by Sublandlord that the work contemplated thereby complies with any legal or
insurance requirements or that Subtenant’s Plans will be approved by Overlandlord or Master
Landlord or both, the Department of Buildings of the City of New York or any other governmental
agency having jurisdiction thereover. Notwithstanding the foregoing, Sublandlord shall not have
the right to disapprove Subtenant’s Plans if they are approved by Master Landlord and Overlandlord,
provided that Subtenant’s Plans shall not include alterations in the Subleased Premises which are
vaults, penetrations of the ceiling or floor slabs, cafeterias, kitchens, bathrooms installed by
Subtenant or raised computer floors or any alteration as to which Master Landlord or Overlandlord
may impose an obligation on Sublandlord to remove or restore at the expiration or earlier
termination of the Overlease. Sublandlord shall give Subtenant copies of any such plans at least
ten (10) business days prior to commencing the work, even if Sublandlord’s approval is not
requested pursuant to this Section 25.2, if good construction practice requires the preparation of
plans and specifications for such work (or a reasonably detailed written description of such work,
if plans and specifications are not so required).

          25.3 Subtenant’s Work shall be performed by a general contractor or construction manager
selected by Subtenant and reasonably satisfactory to Overlandlord and Master Landlord (“Subtenant’s
Construction Manager”). Subtenant shall pay Sublandlord’s reasonable out-of-pocket costs in
connection with the review of Subtenant’s Plans, including such costs payable to Master Landlord
and Overlandlord in connection therewith.

          25.4 Subtenant’s Work shall be diligently performed in a good and workmanlike manner, using
new materials and equipment, in accordance with Subtenant’s Plans as approved by Sublandlord (to
the extent required by Section 25.2), Overlandlord and Master Landlord, legal requirements and
insurance requirements. Subtenant shall deliver to Sublandlord prior to commencement of Subtenant’s
Work, (i) the most recent financial statement of Subtenant’s Construction Manager, (ii) evidence
that Subtenant’s Construction Manager has had at least five years’ experience in construction
management in Manhattan and (iii) a proposed budget of Subtenant’s Work. Subtenant shall deliver to
Sublandlord revised budgets from time to time during the course of Subtenant’s Work. Subtenant’s
Construction Manager shall not commence Subtenant’s Work in any portion of the Subleased Premises
prior to the Commencement Date. In performing Subtenant’s Work, Subtenant shall comply, and cause
Subtenant’s Construction Manager to comply, with Master Landlord’s rules and regulations as well as
all reasonable procedures prescribed by Sublandlord, Overlandlord and Master Landlord. Subtenant
shall cause Subtenant’s Construction Manager to use labor compatible with the labor performing any
work in the Building, and shall cause Subtenant’s Construction Manager and

24

 

such laborers to comply with Overlandlord’s, Master Landlord’s and Sublandlord’s security and
site safety programs, if any, and to conduct themselves in a safe and clean manner. Subtenant shall
not permit any union conflict to arise in connection with Subtenant’s Work. No fixtures, materials
or equipment shall be incorporated in the Subleased Premises in connection with the performance of
Subtenant’s Work which is subject to any security interest, lien, charge, mortgage or other
encumbrance. Subtenant shall deliver to Sublandlord promptly after substantial completion of
Subtenant’s Work, scaled and dimensioned copies of “as-built” plans for Subtenant’s Work prepared
and certified by Subtenant’s Architect and electronic CADD drawings of the same (and, if required
by Overlandlord, reproducible mylars).

          25.5 Sublandlord agrees to reimburse Subtenant up to a maximum amount of Two Million Five
Hundred and Four Thousand Dollars ($2,504,000) (“Sublandlord’s Commitment”) on account of the cost
of Subtenant’s Work (excluding the telephones and other communication equipment) performed in
accordance with the provisions of this Sublease. Sublandlord’s Commitment shall be payable in the
manner hereinafter provided. Subtenant agrees to pay promptly and in full the amount by which the
cost of Subtenant’s Work exceeds Sublandlord’s Commitment.

          25.6 It shall be a condition precedent to each payment by Sublandlord of Sublandlord’s
Commitment that Subtenant shall have submitted to Sublandlord written requisitions therefor, each
in an amount not less than $100,000.00 (except for the final payment), signed by Subtenant
(together with a certificate from Subtenant’s supervising architect and Subtenant’s general
contractor on AIA forms G702 and G703 in regard to any such work under their supervision), such
requisition by Subtenant to state that with respect to the amount sought by each such requisition:

               (a) all work performed to the date of such requisition is in compliance with all legal
requirements, including, without limitation, the New York City Department of Buildings, and with
all the terms and provisions of this Sublease,

               (b) such amount represents, in the aggregate, work actually furnished and in place at the
Subleased Premises or services actually rendered and the reasonable value of such work, material or
services is not less than the amount stated in the requisition,

               (c) such amount does not, in whole or in part, represent work, services or materials for which
a prior requisition has been made or for which Subtenant has been paid out of funds obtained on a
prior requisition,

               (d) all contractors, subcontractors, materialmen or others who have performed work or
furnished services or materials in connection with Subtenant’s Work have been paid by Subtenant in
full (less, with respect to construction costs, customary retainage of not less than ten percent
(10%)) for all work performed and materials or services furnished up to the date of such
requisition, attached to which certificate shall be lien waivers evidencing and acknowledging all
such payments,

               (e) a certificate from Subtenant’s architect setting forth such architect’s good faith
estimate of the total cost of Subtenant’s Work (including, without

25

 

limitation, the soft costs) (the “Total Cost”) and the remaining cost to complete Subtenant’s
Work (including, without limitation, the soft costs) (the “Remaining Cost”) which Total Cost and
Remaining Cost shall be subject to Sublandlord’s verification thereof and which Total Cost and
Remaining Cost shall be adjusted from time to time as such Total Cost and Remaining Cost changes,
and

               (f) Subtenant shall further certify that: (i) there are no mechanics’ liens or orders for the
payment of money against the Building or Subleased Premises arising out of Subtenant’s Work, and
(ii) there is no monetary or material non-monetary default under this Sublease.

Subtenant shall furnish to Sublandlord with such requisition proof reasonably satisfactory to
Sublandlord that Subtenant shall have complied with the payment requirements of subsection (d)
above, including, without limitation, invoices, vouchers, bills, statements, lien waivers and/or
receipts of the person or entities performing the work, furnishing the materials or rendering the
services covered by the requisition, or photostatic copies thereof (other than materialmen with
whom Subtenant has not directly contracted).

          25.7 Notwithstanding anything to the contrary contained in Section 25.6:

               (a) Sublandlord shall be under no obligation to make any payment hereunder if there exists a
monetary or material non-monetary default by Subtenant in any of the terms, covenants, conditions
or agreements on Subtenant’s part to be performed or observed under or relating to this Sublease,
until such default is cured by Subtenant;

               (b) Sublandlord shall make disbursements of Sublandlord’s Commitment to Subtenant from time to
time, within twenty (20) business days after final receipt of each requisition submitted with
required materials included in compliance with in Section 25.6, but in no event more frequently
than once per calendar month.

               (c) Sublandlord shall not be obligated to disburse any portion of Sublandlord’s Commitment
unless and until the Remaining Cost as adjusted from time to time and verified by Sublandlord
pursuant hereto shall equal or be less than Sublandlord’s Commitment which has not been disbursed
pursuant to this Section.

               (d) Sublandlord’s obligation to disburse the final ten (10%) percent of Sublandlord’s
Commitment to Subtenant pursuant to this Section 25 shall also be subject to satisfaction of the
following additional conditions: within thirty (30) days after completion of the Subtenant’s Work,
Subtenant shall deliver to Sublandlord (A) general releases and waivers of lien from all
contractors, subcontractors and materialmen (but same shall not be required from materialmen with
whom Subtenant has not directly contracted) involved in the performance of the Subtenant’s Work and
the materials furnished in connection therewith, (B) a certificate or “sign-off” of the New York
City Department of Buildings to the effect that after an inspection by the New York City Department
of Buildings and each other applicable governmental authority that Subtenant’s Work complies with
the rules and regulations of the New York City Department of Buildings, and (C) a certificate from
Subtenant’s independent architect certifying that (i) the Subtenant’s Work has been completed in
accordance with this Sublease, all legal requirements

26

 

and the plans and specifications therefor approved by Sublandlord and (ii) all contractors,
subcontractors and materialmen have been paid for Subtenant’s Work and materials furnished through
such date.

               (e) If within one (1) year after the Commencement Date, Sublandlord’s Commitment has not been
completely requisitioned in accordance with the provisions of this Section, then, notwithstanding
the provisions of this Section 25.7 and notwithstanding Subtenant’s further requisitions therefor,
Sublandlord shall not be required to make any further disbursements pursuant to this Section 25.7.

          25.8 It is expressly understood and agreed that Subtenant shall expeditiously complete, at its
sole cost and expense, Subtenant’s Work, whether or not Sublandlord’s Commitment is sufficient to
fund such completion and notwithstanding the provisions of this Article. Any costs to complete
Subtenant’s Work in excess of Sublandlord’s Commitment shall be the sole responsibility and
obligation of Subtenant.

          25.9 Subtenant shall, at its cost and expense, file Subtenant’s Plans (if required) with the
Department of Buildings of the City of New York and any other governmental authority having
jurisdiction thereover and take whatever action is necessary to obtain and maintain all necessary
permits, authorizations and approvals from such Department and such other governmental authorities
for Subtenant’s Work, and Subtenant shall deliver copies of all of such permits, authorizations and
approvals to Sublandlord.

          25.10 Notwithstanding anything to the contrary in this Article, if (a) Subtenant fails to
remedy within five (5) days after notice and demand any failure to (i) pay any amount required to
be paid under this Article when such amount is due or (ii) maintain the insurance required to be
maintained hereunder or (b) Subtenant fails to perform its other obligations in accordance with
this Article within fifteen (15) days after notice and demand (or such longer period as may be
required if such failure cannot be cured within such fifteen (15) day period, provided Subtenant
commences to cure such failure within such fifteen (15) day period and thereafter diligently
proceeds to cure same), or (c) any monetary default under this Sublease continues beyond the
applicable grace period, then, in any such event, at Sublandlord’s option, Sublandlord may do all
or any of the following: (1) Sublandlord may proceed with all of its rights and remedies provided
in this Sublease for a default by Subtenant, (2) Sublandlord shall not be required to pay or credit
any sums to be paid or credited as part of Sublandlord’s Commitment hereunder, and/or (3)
Sublandlord may terminate this Sublease without liability therefor, in which latter event Subtenant
shall remain liable to Sublandlord for the damages provided for hereunder. Sublandlord shall not be
required to pay to Subtenant or give Subtenant credit for any portion of Sublandlord’s Commitment
while Subtenant is in default hereunder beyond any applicable grace period. If Sublandlord shall
terminate this Sublease under this Article or any other applicable provision of this Sublease,
then, in addition to all of Sublandlord’s rights and remedies provided for in this Sublease,
Subtenant shall assign all of its rights to Subtenant’s Plans to Sublandlord and Subtenant shall no
longer be entitled to the then outstanding balance of Sublandlord’s Commitment and Sublandlord
shall have no further obligation at any time to pay to Subtenant or give Subtenant credit for the
amount of such balance.

27

 

     ARTICLE 26. Compliance with Legal Requirements and Sublandlord’s Rules and
Regulations.

          26.1 Subtenant, at its sole cost and expense, and with diligence and dispatch, shall procure
the cancellation or discharge of all notices of violation arising from or otherwise connected with
Subtenant’s use and occupancy of the Subleased Premises, Subtenant’s Work and any Alterations
(hereinafter defined) which shall be issued by the Department of Buildings of the City of New York
or any other public authority having or asserting jurisdiction over the Master Premises, the
Overlease Premises, the Subleased Premises. Subtenant shall defend, indemnify and hold harmless
Sublandlord from and against any and all mechanics’ and other liens and conditional bills of sale
and chattel mortgage or any action or proceeding brought thereon. Subtenant shall procure the
release, satisfaction or discharge of all such liens within twenty (20) days. If Subtenant shall
fail to cause any such lien to be discharged, Sublandlord may discharge the same at Subtenant’s
sole cost and expense.

          26.2 Subtenant acknowledges that the Building is open for business to the public; therefore,
any heavy construction in the Subleased Premises which produces unusually loud or obnoxious noises
must be performed during non-business hours or at any other times as may be prescribed by Master
Landlord, Overlandlord or Sublandlord in their reasonable discretion. In addition, Subtenant agrees
that in performing Subtenant’s Work it shall not use any hazardous materials in a way that: (i) is
in violation of any legal requirements; (ii) is contrary to standard construction procedures; (iii)
gives off noxious odors that will infiltrate the ventilation system at the Subleased Premises; (iv)
violates any rules and regulations regarding alteration work in the Building imposed by Master
Landlord.

          26.3 Neither Subtenant nor any agent or contractor of Subtenant shall have any power or
authority to do any act or things or to make any contract or agreement which would bind Sublandlord
or which may create or be the foundation for any mechanic’s lien or other lien or claim upon or
against this Sublease or Sublandlord’s interest therein or Sublandlord’s interest in the Overlease
Premises.

     ARTICLE 27. Alterations.

          27.1 Subtenant shall not make any changes, decorations, alterations, repairs or improvements
to all or any portion of the Subleased Premises (“Alterations”) other than Subtenant’s Work, which
shall be governed by the consent provisions contained in Article 25 hereof, without first obtaining
the prior written consent of (i) Sublandlord, not to be unreasonably withheld, conditioned or
delayed except to the extent Sublandlord does not have the right to disapprove Subtenant’s Plans
therefor pursuant to Section 25.2; and (ii) Overlandlord and Master Landlord, to the extent
required under the Primary Lease Documents. Notwithstanding the foregoing, Sublandlord’s consent
shall not be required for Alterations which are non-structural in nature, do not affect any of
Overlandlord’s, Master Landlord’s or Sublandlord’s (or any of their tenants’ or subtenants’)
electrical, plumbing, HVAC or security systems within the Subleased Premises and are otherwise as
described in Section 3.4 of the Master Lease (“Non-Structural Alterations”) and if neither
Overlandlord nor Master Landlord may require such Non-Structural Alterations to be removed at the
end of the terms of the Primary Lease Documents. However, plans and specifications for such
Non-Structural Alterations (or a

28

 

reasonably detailed written description thereof, if plans and specifications are not required
by good construction practice) shall be delivered to Sublandlord and Overlandlord at least ten (10)
days before the commencement of such work. Notwithstanding anything to the contrary herein,
Sublandlord’s consent shall not be required for decorations to the interior of the Subleased
Premises, including, without limitation, painting, wallpaper and carpet.

          27.2 Prior to making any Alterations, Subtenant shall (i) except as otherwise provided in
Section 27.1 above, submit to Sublandlord reasonably detailed plans and specifications (including
layout, architectural, mechanical and structural drawings) for each proposed Alteration and shall
not commence any such Alterations without first obtaining Sublandlord’s (and Overlandlord’s and
Master Landlord’s, if required under the Primary Lease Documents) written approval of such plans
and specifications, (ii) at Subtenant’s expense, obtain all permits, approvals and certificates
required by any governmental authorities in connection with such Alterations, and (iii) furnish to
Sublandlord duplicate original policies, or certificates thereof, or worker’s compensation
(covering all persons to be employed by Subtenant, and Subtenant’s contractors and subcontractors
in connection with such Alterations) and comprehensive public liability (including property damage
coverage) insurance in such form, with such companies and for such periods and in such amounts as
Sublandlord may reasonably approve, naming Sublandlord, Overlandlord, Master Landlord and their
respective affiliates and agents, any superior lessor and any mortgagee, as additional insureds.
Upon completion of such Alterations, Subtenant, at Subtenant’s expense, shall obtain certificates
of final approval of such Alterations required by any governmental authority and shall furnish
Sublandlord with copies thereof, together with the “as-built” plans and specifications therefor and
electronic version of the CADD drawings as approved by Sublandlord, in accordance with all legal
requirements and Rules and Regulations. All materials and equipment to be incorporated in the
Subleased Premises as a result of any Alterations or a part thereof shall be of first quality and
no such materials or equipment shall be subject to any lien, encumbrance, chattel mortgage or title
retention or security agreement.

          27.3 Sublandlord shall, within ten (10) business days after receipt from Subtenant (i)
disapprove any plans and specifications in whole or in part, (ii) reserve approval of items shown
thereon pending its review and approval of other plans and specifications, or (iii) condition its
approval upon Subtenant making revisions to the plans and specifications or supplying additional
information, in each case with respect to plans and specifications Sublandlord has the right to
disapprove pursuant to Section 25.2. Sublandlord’s failure to respond to Subtenant’s request for
its approval of said plans and specifications within the ten (10) business day period shall be
deemed to be an acceptance thereof by Sublandlord if together with Subtenant’s request for approval
it notifies Sublandlord that Sublandlord has the right to disapprove pursuant to Section 25.2 and
requests its approval, but such deemed approval shall not relieve Subtenant from its obligation to
obtain Overlandlord’s, Master Landlord’s or both of their prior written consent thereto in
accordance with the terms of the Primary Lease Documents. Subtenant agrees that any review or
approval by Sublandlord of any plans and/or specifications with respect to any Alteration is solely
for Sublandlord’s benefit, and without any representation or warranty whatsoever to Subtenant or
any other person with respect to the adequacy, correctness or efficiency thereof or otherwise.

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          27.4 If the proposed Alterations require approval of Overlandlord, Master Landlord or both
under the Primary Lease Documents or any lessor of a superior lease or the holder of a superior
mortgage under the Primary Lease Documents, no such Alterations or Decorative Work shall be
proceeded with until such approval has been received by Sublandlord on Subtenant’s behalf.

          27.5 Sublandlord may impose such conditions on its approval of any Alterations (except for
Subtenant’s Work to the extent otherwise expressly set forth in this Sublease) as it may deem
necessary or desirable in its reasonable discretion, including, without limitation, the approval of
architects, engineers, contractors and subcontractors, additional insurance requirements,
requirements for the delivery of mechanic’s lien waivers upon the completion of Alterations,
reasonable restrictions on those business hours, if any, during which any heavy construction may
proceed, and the requirement that Sublandlord’s designated contractors or staff be used for certain
types of work which may affect Building-wide systems, except as otherwise specifically provided in
this Sublease. Notwithstanding the foregoing, in the event a particular architect, engineer,
contractor or subcontractor has been approved in writing by Overlandlord or Master Landlord to
perform any Alterations, including Subtenant’s Work, such entity shall be deemed acceptable to
Sublandlord, except to the extent Sublandlord advises Subtenant that it has a pending dispute,
judgment, claim or action involving in excess of $250,000.00 against any such entity.

          27.6 In addition to any fees or charges owing to Overlandlord or Master Landlord under the
Primary Lease Documents, Sublandlord shall be reimbursed for all reasonable out-of-pocket expenses
associated with the review of all plans and specifications presented to Sublandlord. All amounts
due under this Article shall be payable within thirty (30) days after demand by Sublandlord.

          27.7 In the event that any Alteration is damaged or destroyed by fire or other casualty, then
Subtenant shall have no obligation to repair or restore such Alteration at the expiration or
earlier termination of this Sublease. If, however, such repair or restoration obligation exists
pursuant to the terms of this Sublease, any Primary Lease Documents or any Consent, then in lieu of
performing any necessary restoration and repairs, Subtenant may assign to Sublandlord all insurance
proceeds for the full replacement value of such Alterations and pay to Sublandlord any applicable
deductible in cash for the uninsured balance of such replacement value.

     ARTICLE 28. Electricity.

          28.1 Electricity shall be furnished to the Subleased Premises on a sub-metered basis and
Subtenant will pay to Sublandlord as Additional Rent, charges for such electricity based upon the
total kilowatt hours of consumption and kilowatt hours of demand recorded on the sub-meter or
sub-meters for the Subleased Premises (collectively, “Subtenant’s Meter”) during such billing
period at the same rates charged to Sublandlord by Overlandlord or Master Landlord for such
consumption, plus any additional sales or use taxes, surcharges or other incremental amounts which
may be imposed on Sublandlord by Overlandlord or Master Landlord, any taxing authority, utility or
other body for sub-submetered electricity. If the consumption of electricity is measured by more
than one sub-meter, such sub-meters must be

30

 

capable of totalization for utility rate purposes. Throughout the duration of Subtenant’s
occupancy, Subtenant shall keep Subtenant’s Meter in good working order and repair, at its sole
cost and expense. Bills for such sub-metered electricity shall be rendered at such time as
Sublandlord receives a bill for the same from Overlandlord and shall be payable by Subtenant within
twenty (20) days after receipt thereof. If the amount billed by Overlandlord, Master Landlord or
the public utility company providing electricity to the Building shall be retroactively increased
or decreased for any billing period for which Subtenant shall have paid Additional Rent pursuant to
this Article, then such Additional Rent shall be accordingly, adjusted, and Subtenant shall pay any
deficiency therein within ten (10) days of demand therefor, or if there shall have been an
overpayment, Sublandlord shall credit the amount thereof against the next succeeding payments of
Additional Rent. Sublandlord shall have no liability to Subtenant for any loss, damage or expense
sustained or incurred by reason of any change, failure, inadequacy, unsuitability or defect in the
supply or character of the electrical energy furnished to the Subleased Premises. Subtenant agrees:
(i) that its use of electric current shall not exceed the capacity of the feeders or the risers or
wiring installation provided for in the Subleased Premises: and (ii) not to use or install any
electric equipment which, in Sublandlord’s reasonable judgment, could overload the installations in
the Subleased Premises or interfere with the use thereof by Sublandlord. Sublandlord makes no
representations or warranties as to the capacity of the risers which presently serve the Building,
Overlease Premises, Subleased Premises (“Existing Electrical Capacity”); provided that Sublandlord
shall, promptly after Subtenant’s request and at Subtenant’s sole cost and expense, use all
commercially reasonably efforts (to the fullest extent permitted under the Overlease) to cause
Overlandlord to enforce its rights under the Master Lease in order to cause Master Landlord to
deliver the electrical capacity that Overlandlord is entitled to with respect to the Subleased
Premises pursuant to the terms and conditions of the Master Lease. If Subtenant requires more than
the Existing Electrical Capacity to serve the Subleased Premises for the uses permitted hereunder,
then Sublandlord will reasonably cooperate with Subtenant in requesting from Overlandlord and
Master Landlord that such additional capacity be so provided to the Subleased Premises at
Subtenant’s sole cost and expense, provided that any such requests would not result in a reduction
in the quantity or increase in the cost of electricity provided by Master Landlord to the Overlease
Premises or to any subtenant or other occupant of the Overlease Premises as of the date hereof,
provided further, such requests shall not be obtained pursuant to the Overlease or the Master Lease
and Overlandlord and Master Landlord shall so agree and further agree that Sublandlord shall have
no liability therefor, for the payment of any charges therefor, for the removal or restoration
thereof at the expiration or earlier termination of the Overlease or Sublease or for any damages or
liability related to such additional electrical capacity or any work or equipment associated
therewith. Subtenant represents that, as of the date hereof, Subtenant is seeking to enter into a
separate agreement with Master Landlord concerning the matters set forth in an email correspondence
dated March 31, 2005 between the general manager of Equity Office Properties, as agent for Master
Landlord, and Subtenant’s real estate broker, as agent for Subtenant attached hereto and made a
part hereof as Exhibit “D”. Sublandlord does not object to Subtenant entering into such
separate agreement with Master Landlord, provided that suc
h agreement is in accordance with the
provisions above. Any and all work or equipment arising from supplying such additional electrical
capacity shall be deemed to be an Alteration hereunder. Sublandlord makes no representations or
warranties as to whether or the extent to which such additional capacity is available, or, if
available, whether or not Overlandlord would be willing to cause Master Landlord to provide (or
whether or not

31

 

Master Landlord would be willing to provide) the necessary excess capacity to the Subleased
Premises.

          28.2 Sublandlord shall identify vertical risers within the Subleased Premises which will be
available for Subtenant’s installation of telecommunications cable and conduit, provided that
Subtenant shall be solely responsible, at Subtenant’s sole cost and expense, for making the
necessary connections to the appropriate telecommunications providers and for obtaining the
necessary consents from Overlandlord under the Overlease and Master Landlord under the Master Lease
to install such telecommunications cabling. No installations by Subtenant under this section shall
adversely affect Sublandlord’s cabling or reduce or interrupt Sublandlord’s telecommunications
cabling or Existing Electrical Capacity. Any work performed under this section shall be deemed an
Alteration hereunder. Subject to the applicable terms of this Sublease, the Overlease and the
Master Lease, Sublandlord shall provide Subtenant and its contractors access to the Subleased
Premises at reasonable times and upon reasonable prior written notice (subject to the rights of any
subtenants or occupants of the Master Premises ) to the extent reasonably required to install,
maintain and repair such vertical risers, provided that Subtenant shall use reasonable efforts to
minimize any disturbance to Sublandlord and to any of its subtenants and occupants caused thereby.

     ARTICLE 29. Non-Disturbance. Nothing contained herein shall obligate Sublandlord to
obtain from any superior lessors or mortgagees a non-disturbance agreement and this Sublease shall
remain in full force and effect regardless of whether any such non-disturbance agreement is
executed and delivered to Subtenant.

     ARTICLE 30. Representations and Warranties.

          30.1 As of the date hereof, Sublandlord represents and warrants that (i) the Overlease is in
full force and effect, and there are no other agreements between Overlandlord and Sublandlord with
respect to the Subleased Premises which would have a material adverse impact on Subtenant’s
occupancy of the Subleased Premises; (ii) the Overlease has not been modified or amended; (iii)
Sublandlord has been authorized by all necessary corporate action to enter into this Agreement of
Sublease and the obligations contained in this Agreement of Sublease, as executed by Sublandlord,
constitute the binding obligations of Sublandlord, enforceable in accordance with their terms; (iv)
to the best of Sublandlord’s knowledge, there is no event which, with the giving of notice or
passage of time, or both, would constitute a default under the Overlease; and (v) the Overlease and
Master Lease provide that the Subleased Premises are free of asbestos and asbestos containing
materials.

          30.2 As of the date hereof, Subtenant represents and warrants that Subtenant has been
authorized by all necessary corporate action to enter into this Agreement of Sublease and the
obligations contained in this Agreement of Sublease, as executed by Subtenant, constitute the
binding obligations of Subtenant, enforceable in accordance with their terms. Subtenant represents
to Sublandlord that it is not entitled, directly or indirectly, to diplomatic or sovereign
immunity.

     ARTICLE 31. Elevators. Subject to the applicable terms and conditions of the Primary
Lease Documents, Subtenant’s access to the Subleased Premises shall be exclusively

32

 

through (i) the main elevator bank located on the Sixth Avenue side of the Building (the
“Front Elevator Bank”) which shall be shared on a non-exclusive basis with Sublandlord and all
other present and future occupants, subtenants, and licensees of the portion of the Building served
by such elevators subject to the provisions of the Master Lease, and (ii) to the extent made
available by Master Landlord and Overlandlord, one elevator cab located in the rear elevator bank
(as designated by Sublandlord) on the west side of the Building (the “Rear Elevator Bank”).
Subtenant shall also have the right to use the freight elevators which serve the Subleased Premises
on a non-exclusive basis, on the same terms and conditions as provided in the Primary Lease
Documents.

     ARTICLE 32. Security/Life Safety Systems.

          32.1 Subtenant shall be responsible for implementing its own security procedures with respect
to the Subleased Premises, provided such measures are not inconsistent with Sublandlord’s,
Overlandlord’s and Master Landlord’s security measures. Subtenant acknowledges and agrees that the
Master Landlord or Overlandlord may maintain guard stations located on the north and/or south sides
of the Front Elevator Bank (“Guard Stations”). Sublandlord shall request on behalf of Subtenant
that Master Landlord or Overlandlord issue and provide identification passes to all of Subtenant’s
authorized employees, agents, invitees and contractors (“Security Passes”) at Subtenant’s sole cost
and expense and that Master Landlord or Overlandlord cause its security company to screen
Subtenant’s authorized employees, agents, invitees and contractors at the Guard Stations. Subtenant
shall pay for the cost of all Security Passes and any extra charges imposed by Overlandlord for
screening Subtenant’s authorized employees, agents, invitees and contractors. Sublandlord shall
have no liability or responsibility for Master Landlord’s or Overlandlord’s failure or refusal to
provide Guard Stations, Security Passes, or for lost, stolen or invalidated Security Passes or the
acts or omissions of Master Landlord’s or Overlandlord’s security company. Sublandlord agrees that
Subtenant’s Work may include the installation of a security system exclusively for the Subleased
Premises, subject to approval of the plans and specifications as provided in this Sublease.

          32.2 Subtenant acknowledges that the Overlease Premises are served by a security system and
related equipment (the “Security System”) and life safety system which is connected to the
Building’s “Class E” fire alarm system (“Class E System”). Sublandlord shall permit Subtenant, at
Subtenant’s sole cost and expense, to connect to Sublandlord’s portion of the Class E System (the
“Life Safety Hook Up”) subject to Overlandlord’s and Master Landlord’s approval and otherwise in
accordance with Section 3.1(j) of the Master Lease and Article 26 hereof.

          32.3 Sublandlord makes no representations or warranties regarding the adequacy of the services
provided by the Guard Stations or the condition or effectiveness of the Security System or Class E
System or the adequacy or effectiveness of any other security measures for the Building, if any.

     ARTICLE 33. Security Deposit.

          33.1 Subtenant has deposited with Sublandlord a letter of credit complying with the provisions
of Section 33.2 (the “Letter of Credit”) in the original face amount of

33

 

$1,721,500.00 (the “Original Security Deposit Amount”) and shall maintain the Letter of Credit
as provided in Section 33.2; and should the Letter of Credit be drawn upon, such funds from the
Issuing Bank (as hereinafter defined) shall be deposited with Sublandlord as a cash security
deposit, all as security for the faithful performance and observance by Subtenant of all of the
terms, provisions and conditions of this Sublease (including the payment of any Fixed Rent,
Escalation Charges, other Additional Rent and other Rental). Provided no monetary or material
non-monetary default shall have occurred and be continuing at the time of the applicable date on
which the Security Deposit Amount (defined below) is to be reduced as provided herein and provided
further that no notice of any monetary or other material default has been given to Subtenant more
than twice during the preceding twenty-four (24) month period, upon the second anniversary of the
Rent Commencement Date through the day immediately preceding the third anniversary of the Rent
Commencement Date, the Letter of Credit may be reduced to the face amount of $1,205,050.00 and upon
the third anniversary of the Rent Commencement Date through the Sublease Expiration Date, the
Letter of Credit may be reduced to the face amount of $688,600.00 (each of such amounts and the
Original Security Deposit Amount referred to herein as, the “Security Deposit Amount”). Subtenant
may deliver, upon such reduction, a substitute Letter of Credit or amendment to the existing Letter
of Credit consented to by Sublandlord in accordance with the requirements of this Article, it being
understood that if a substitute Letter of Credit is to be delivered, Sublandlord shall not be
obligated to return any Letter of Credit in its possession until Subtenant has delivered the
substitute Letter of Credit. Subtenant agrees that, in the event that Subtenant defaults in
respect of any of the terms, provisions and conditions of this Sublease (including the payment of
any Rental), Sublandlord may make a demand for payment under said Letter of Credit and use, apply,
or retain the whole or any part of the proceeds thereof, or any cash security deposited, as the
case may be, to the extent required for the payment of any Rental, or any other sum as to which
Subtenant is in default, or for any sum that Sublandlord may expend or may be required to expend by
reason of Subtenant’s default, in respect of any of the terms, provisions and conditions of this
Sublease (including any damages or deficiency accrued before or after summary proceedings or other
re-entry by Sublandlord). In the event that Sublandlord applies or retains any portion or all of
such proceeds of such Letter of Credit or cash security, as the case may be, Subtenant shall within
ten (10) days restore the amount so applied or retained by causing the Issuing Bank to issue an
amendment thereto, or if no Letter of Credit was then outstanding by causing a new Letter of Credit
to be issued so that, at all times, the amount of the Letter of Credit which may drawn upon shall
be the Security Deposit Amount. The provisions of this Article shall not be a limitation on
Sublandlord’s rights and remedies under this Sublease or at law or in equity. In the event that
Subtenant shall fully and faithfully comply with all of the terms, provisions and conditions of
this Sublease, the Letter of Credit or cash security, as the case may be, shall be returned to
Subtenant sixty (60) days after the later of the Sublease Expiration Date or delivery of possession
of the entire Subleased Premises to Sublandlord in accordance with the terms of this Sublease.

          33.2 Subtenant shall deliver to Sublandlord and continuously maintain in full force and effect
until a date no earlier than ninety (90) days after the Sublease Expiration Date, a clean,
irrevocable Letter of Credit issued by any commercial bank acceptable to Sublandlord with offices
for banking purposes in the City of New York (hereinafter referred to as the “Issuing Bank”) which
Letter of Credit shall (i) name the Sublandlord as beneficiary thereof, (ii) have a term of not
less than one (1) year, (iii) be in the amount of the Security Deposit Amount, and (iv) otherwise
be in form and content satisfactory to Sublandlord, in its sole discretion.

34

 

Sublandlord agrees that a Letter of Credit in the form of Exhibit “C” hereto shall be
satisfactory. The Letter of Credit shall, in any event, provide that:

(a) The Issuing Bank shall pay to Sublandlord an amount up to the face amount of the Letter
of Credit upon presentation of only a demand for payment in the amount to be drawn;

(b) The Letter of Credit shall be deemed to be automatically renewed, without amendment, for
consecutive periods of one year each and shall have a final expiry date of not earlier than
ninety (90) days after the Sublease Expiration Date, unless the Issuing Bank sends written
notice (hereinafter called the “Non-Renewal Notice”) to Sublandlord both by Federal Express
or similar courier acceptable to Sublandlord and by certified or registered mail, return
receipt requested, not less than sixty (60) days next preceding the then expiration date of
the Letter of Credit, that it elects not to have such Letter of Credit renewed;

(c) Sublandlord, after receipt of the Non-Renewal Notice, or within sixty (60) days prior to
the expiration date of any Letter of Credit then held by Sublandlord, shall have the right,
exercisable by a demand for payment draft only, to draw upon the Letter of Credit and
receive the proceeds thereof (which shall be held by Sublandlord as a cash deposit pursuant
to the terms of this Article pending the replacement of such Letter of Credit or applied as
permitted by the terms of this Article); and

(d) Upon Sublandlord’s assignment or other transfer of the Overlease or a leasing of the
entire Overlease Premises, the Letter of Credit shall be transferable by Sublandlord as
provided in this Article.

If the Letter of Credit held by Sublandlord shall for any reason not have been so renewed within
sixty (60) days of its then expiration date, Subtenant agrees that (x) it shall no later than
forty-five (45) days of the then expiration date replace such expiring Letter of Credit with a
Letter of Credit as required by the terms of this Article and Sublandlord agrees that,
simultaneously with the delivery of such replacement Letter of Credit, it will return to the
Issuing Bank the Letter of Credit being replaced and (y) in addition to any other right or remedy
of Sublandlord under this Sublease, at any time prior to such replacement of such expiring Letter
of Credit, Sublandlord may draw upon the Letter of Credit as provided in clause (c) above (and the
proceeds thereof shall be held by Sublandlord as a cash deposit pursuant to the terms of this
Article pending the replacement of such Letter of Credit or applied as permitted by the terms of
this Article).

          33.3 If Sublandlord draws upon the Letter of Credit it shall deposit the proceeds thereof into
a non-interest bearing account in a bank or savings and loan association to be selected, from time
to time, by Sublandlord in its sole discretion. Sublandlord agrees to hold the said security in
such an account, subject, however, to the terms of Section 33.1, with respect to the application of
such security in the event of Subtenant’s default hereunder and subject to Subtenant’s obligation
and agreement to replace the Letter of Credit so drawn upon with another Letter of Credit as
required by the terms of this Article whereupon Sublandlord shall return such cash security deposit
to Subtenant. To the extent permitted by law, Subtenant agrees that Sublandlord shall be entitled
to receive and retain, as an administrative fee, a sum equal to one

35

 

(1%) percent per annum upon the security if it is in an interest-bearing account, and
Sublandlord shall have the right to withdraw such sum from time to time as Sublandlord shall
determine, in its sole discretion.

          33.4 In the event of an assignment or other transfer of the Overlease, or Sublandlord’s
interest therein, or a leasing of the entire Overlease Premises, Sublandlord shall have the right,
without cost or expense, to transfer the Letter of Credit or cash security, as the case may be,
deposited hereunder to the assignee or lessee, and Sublandlord shall thereupon be released by
Subtenant from all liability for the return of such Letter of Credit or cash security. In such
event, Subtenant agrees to look solely to the new Sublandlord for the return of said Letter of
Credit or cash security. It is agreed that the provisions hereof shall apply to every transfer or
assignment made of said Letter of Credit or cash security to a new Sublandlord. Subtenant shall
execute such documents as may be necessary to accomplish such transfer or assignment of the Letter
of Credit and shall pay any transfer or other fees of the Issuing Bank.

          33.5 Subtenant covenants that it will not assign or encumber, or attempt to assign or
encumber, the Letter of Credit or cash deposited as security hereunder or any proceeds thereof, and
that neither Sublandlord nor its successors or assigns shall be bound by any such assignment,
encumbrance, attempted assignment, or attempted encumbrance. If the Sublandlord determines, in its
reasonable discretion, that the financial condition of the Issuing Bank has so declined as to cause
concern that the Issuing Bank may not honor a draw on its Letter of Credit, the Subtenant shall
promptly obtain a replacement Letter of Credit complying with the terms hereof from another
commercial bank acceptable to Sublandlord with offices for banking purposes in the City of New
York. Any breach of Subtenant’s obligations set forth in this Article shall be an Event of
Default, in addition to those set forth in Article 16 of the Master Lease as incorporated herein.

     ARTICLE 34. Miscellaneous.

          34.1 Subtenant shall cause First Albany Companies, Inc. (the “Guarantor”) to deliver to
Sublandlord a written guaranty in form and substance reasonably acceptable to Sublandlord,
guarantying Subtenant’s performance of its monetary and other obligations under this Sublease.

          34.2 This Sublease contains the entire agreement between the parties and all prior
negotiations and agreements are merged in this Sublease. Any agreement hereafter made shall be
ineffective to change, modify or discharge this Sublease in whole or in part unless such agreement
is in writing and signed by the parties hereto. No provision of this Sublease shall be deemed to
have been waived by Sublandlord or Subtenant unless such waiver be in writing and signed by
Sublandlord or Subtenant, as the case may be. The covenants and agreements contained in this
Sublease shall bind and inure to the benefit of Sublandlord and Subtenant and their respective
permitted successors and assigns.

          34.3 In the event that any provision of this Sublease shall be held to be invalid or
unenforceable in any respect, the validity, legality or enforceability of the remaining provisions
of this Sublease shall be unaffected thereby.

36

 

          34.4 The paragraph headings appearing herein are for purpose of convenience only and are not
deemed to be a part of this Sublease.

          34.5 Capitalized terms used herein shall have the same meanings as are ascribed to them in the
Overlease, unless otherwise expressly defined or specified herein.

          34.6 This Sublease is offered to Subtenant for signature with the express understanding and
agreement that this Sublease shall not be binding upon Sublandlord or Subtenant unless and until
Sublandlord and Subtenant shall have executed and delivered a fully executed copy of this Sublease
to each other.

          34.7 This Sublease may be executed in any number of counterparts and by different parties
hereto in separate counterparts, each of which when so executed shall be deemed to be an original
and all of which taken together shall constitute one and the same Sublease.

          34.8 In all disputes arising out of this Sublease the original Subtenant and Sublandlord
herein named, each entity comprising Subtenant and Sublandlord, each permitted assignee or
sublessee of Subtenant of Subtenant’s interest in this Sublease and each entity comprising each
such assignee or sublessee of Subtenant and each successor of Sublandlord’s interest hereunder,
shall be deemed subject to service in the State of New York and to the exclusive jurisdiction of
the state and federal courts located in the County of New York, State of New York and such service
may be accomplished in the same manner as the giving of a notice hereunder.

          34.9 The parties acknowledge that the Americans With Disabilities Act of 1990 (42 U.S.C. 12101
et seq.) and regulations and guidelines promulgated thereunder, as all of the same may be amended
and supplemented from time to time (collectively referred to herein as the “ADA”) establish
requirements for business operations, accessibility and barrier removal, and that such requirements
may or may not apply to the Subleased Premises and Building depending on, among other things: (i)
whether Subtenant’s business is deemed a “public accommodation” or “commercial facility,” (ii)
whether such requirements are “readily achievable,” and (iii) whether a given alteration affects a
“primary function area” or triggers “path of travel” requirements. The parties hereby agree that:
(a) Overlandlord represented to Sublandlord that the Subleased Premises complied with ADA Title
III, as such law was enforced and administered as of the commencement date of the Master Lease, (b)
except to the extent of the responsibility of Overlandlord under the Overlease or Master Landlord
under the Master Lease, Subtenant shall be responsible for ADA Title III compliance in the
Subleased Premises which results from any of Subtenant’s Work or Alterations on any changes in the
ADA (or enforcement or administrative policies thereunder) promulgated after the commencement date
of the Master Lease. Subtenant shall be solely responsible for compliance with any requirements
under Title I of the ADA relating to Subtenant’s employees.

          34.10 Subtenant shall be entitled to Subtenant’s Proportionate Share of Sublandlord’s
permitted number of listings, pursuant to the Overlease, on the Building Directory (as defined in
Section 37.7 of the Master Lease), at Subtenant’s cost and expense, if any, and subject to the
applicable terms and conditions of the Primary Lease Documents.

37

 

          34.11 This Sublease shall be governed by, and construed in accordance with, the laws of the
State of New York irrespective of the place of execution or performance.

          34.12 This Sublease may not be changed orally, but only by an agreement in writing signed by
the party against whom enforcement of any waiver, change, modification or discharge is sought.

          34.13 Neither this Sublease nor a memorandum thereof may be recorded by the Subtenant.

          IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement of Sublease as of the
day and year first above written.

	 	 	 	 	 	 	 	 	 	 	 
	FIRST ALBANY CAPITAL, INC.,	 	 	 	DEUTSCHE BANK AG, NEW YORK	 	 
	as Subtenant	 	 	 	BRANCH, as Sublandlord	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Steven R. Jenkins	 	 	 	By:	 	/s/ Howard Becker	 	 
	

	 	 
	 	 	 	 	 	 	 	 
	Name:  Steven R. Jenkins	 	 	 	Name:  Howard Becker	 	 
	Title:  Chief Financial Officer	 	 	 	Title:  Attorney In Fact	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	By:	 	/s/ Alan Scott	 	 
	

	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Name:  Alan Scott	 	 
	 	 	 	 	 	 	Title:  Attorney In Fact	 	 

38

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