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Exhibit 4.7    
  

NEITHER THIS WARRANT NOR THE SECURITIES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE LAW AND
SUCH SECURITIES MAY NOT BE SOLD OR TRANSFERRED UNLESS (A) THERE IS AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT AND APPLICABLE STATE LAW COVERING SUCH SECURITIES, OR (B) SUCH
TRANSACTION IS EXEMPT FROM, AND NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF SUCH ACT AND APPLICABLE STATE SECURITIES LAWS AND THE COMPANY RECEIVES AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO
THE COMPANY STATING THAT SUCH SALE OR TRANSFER IS EXEMPT FROM REGISTRATION, OR (C) THE COMPANY OTHERWISE SATISFIES ITSELF THAT SUCH SALE OR TRANSFER IS EXEMPT FROM
REGISTRATION.

	No. W-L-49

Issued: February 27, 2002	 	Warrant to purchase

189,037 shares of Common Stock

(subject to adjustment)

 
 

CENTERSPAN COMMUNICATIONS CORPORATION    
    
    COMMON STOCK
  PURCHASE WARRANT    
  

        THIS CERTIFIES THAT, for value received, SONY MUSIC ENTERTAINMENT INC. (the "Holder") is entitled to exercise this Warrant to purchase from the Company one
hundred eighty-nine thousand thirty-seven (189,037) fully paid and nonassessable shares of the Company's Common Stock, $0.01 par
value per share (the "Common Stock"), on the terms and subject to the conditions set forth herein. The shares of Common Stock issuable upon the exercise of this Warrant are referred to herein as the
"Warrant Shares." The number of Warrant Shares issuable upon exercise of this Warrant and the Exercise Price (as defined below) are subject to adjustment as provided herein. The term "Warrant" as used
herein shall include this Warrant and any warrants delivered in substitution hereof as provided herein. 

        This
Warrant is being issued pursuant to Section 6.02(c) of the Content Integration Agreement dated as of February 27, 2002 (the "Content Agreement") between the Company
and Sony Music, a Group of Sony Music Entertainment Inc. ("Sony"). Pursuant to Section 6.02(b) of the Content Agreement, the Company also is issuing, or has issued, to Sony shares of its
Common Stock, which shares are being issued, or have been issued, pursuant to the Stock Purchase Agreement dated as of February 27, 2002 (the "Purchase Agreement") between the Company and Sony. 

        1.1    Term of Warrant    

        This
Warrant may be exercised by the Holder at any time prior to the earlier of (a) the third anniversary of the Effective Date (as defined in the Purchase Agreement) and
(b) the closing of a Corporate Transaction. As used herein, the term "Corporate Transaction" means the sale of all or substantially all the assets of the Company, or the acquisition of the
Company by another entity by means of a merger, consolidation, reorganization or any other transaction or series of related transactions resulting in the exchange of outstanding shares of the Company
for securities or consideration issued or caused to be issued by the acquiring entity or any of its affiliates and as a result of which the shareholders of the Company immediately prior to such
transaction hold or receive, by virtue of their ownership of securities of the Company, less than fifty percent (50%) of the capital stock of the resulting entity. 

 

        1.2    Exercise Price    

        The
exercise price (the "Exercise Price") at which this Warrant may be exercised shall be $8.11 per share of Common Stock, as adjusted from time to time pursuant to Section 4
hereof. 

        1.3    Method of Exercise    

        This
Warrant may be exercised by the Holder, in whole or in part (but not for less than 10,000 shares at a time, or such lesser amount then issuable upon the full exercise of this
Warrant), by delivering to the Company (a) this Warrant, (b) cash, a wire transfer of funds or a check payable to the Company in the amount of the Exercise Price multiplied by the number
of shares for which this Warrant is being exercised (the "Purchase Price"), and (c) the form of Election to Purchase attached hereto as Annex A, duly completed and executed by the Holder. This
Warrant shall be deemed to have been exercised immediately prior to the close of business on the date of its surrender for exercise as provided above. 

2.    Delivery of Stock Certificates  

        Within five business days after the payment of the Purchase Price following the exercise of this Warrant, the Company, at its expense, shall issue in the name of
the Holder (a) a certificate for the number of fully paid and nonassessable Warrant Shares to which the Holder shall be entitled upon such exercise and payment and (b) a new Warrant of
like tenor to purchase up to that number of Warrant Shares, if any, not previously purchased by the Holder if this Warrant has not expired. 

3.    Covenants as to Warrant Shares  

        3.1    Reservation of Warrant Shares    

        The
Company shall at all times have authorized and reserve and keep available, free from preemptive rights, for the purpose of enabling it to satisfy any obligation to issue Warrant
Shares upon the exercise of this Warrant, the number of Warrant Shares deliverable upon full exercise of this Warrant. 

        3.2    Issuance of Warrant Shares    

        The
Company covenants that all Warrant Shares shall, upon issuance thereof in accordance with the terms of this Warrant, be (a) duly authorized, validly issued, fully paid and
nonassessable and (b) free from all liens, pledges, charges and security interests created by the Company. 

4.    Adjustments  

        4.1    Adjustments of Exercise Price and Number of Warrant Shares    

        The
Exercise Price and the number of Warrant Shares issuable upon the exercise of this Warrant shall be subject to adjustment from time to time as hereinafter provided in this
Section 4. 

        4.2    Adjustment of Exercise Price Upon Extraordinary Common Stock Event    

        Upon
the happening of an Extraordinary Common Stock Event (as defined below) after the issuance date of this Warrant, the Exercise Price shall, simultaneously with the happening of such
Extraordinary Common Stock Event, be adjusted by multiplying the then effective Exercise Price by a fraction, the numerator of which shall be the number of shares of Common Stock outstanding
immediately prior to such Extraordinary Common Stock Event and the denominator of which shall be the number of shares of Common Stock outstanding immediately after such Extraordinary Common Stock
Event, and the product so obtained shall thereafter be the Exercise Price. The Exercise Price, as so adjusted, shall be readjusted in the same manner upon the happening of any successive Extraordinary
Common Stock Event or Events. 

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        Upon
each adjustment of such Exercise Price pursuant to this Section 4.2, this Warrant shall thereafter entitle the Holder to purchase, at the Exercise Price resulting from such
adjustment, the number of Warrant Shares obtained by multiplying the Exercise Price in effect immediately prior to such adjustment by the number of Warrant Shares issuable upon exercise of this
Warrant immediately prior to such adjustment, and dividing the product thereof by the Exercise Price resulting from such adjustment. 

        "Extraordinary
Common Stock Event" shall mean (x) the issuance of additional shares of Common Stock (or other securities or rights convertible into or entitling the holder thereof
to receive additional shares of Common Stock) as a dividend or other distribution on outstanding Common Stock of the Company, (y) a split or subdivision of outstanding shares of Common Stock
into a greater number of shares of Common Stock, or (z) a combination of outstanding shares of Common Stock into a smaller number of shares of Common Stock. 

        4.3    Capital Reorganization or Reclassification    

        If
the Common Stock issuable upon the exercise of this Warrant shall be changed into the same or a different number of shares of any class or classes of stock of the Company, whether by
capital reorganization, reclassification or otherwise (other than an Extraordinary Common Stock Event), then and in each such event the Holder shall have the right thereafter to exercise this Warrant
for the kind and amount of shares of stock and other securities and property receivable upon such reorganization, reclassification or other change by holders of the number of shares of Common Stock
into which this Warrant might have been converted immediately prior to such reorganization, reclassification or change, all subject to adjustment as provided herein. In any such case, appropriate
adjustment shall be made in the application of the provisions of this Section 4 with respect to the rights of the Holder after the reorganization, recapitalization or change to the end that the
provisions of this Section 4 (including adjustment of the Exercise Price then in effect and the number of shares issuable upon exercise of this Warrant) shall be applicable after that event as
nearly equivalent as may be practicable. 

        4.4    Notice of Adjustment    

        Whenever
the number of shares of Common Stock or other stock or property issuable upon the exercise of this Warrant or the Exercise Price is adjusted, then and in each such case the
Company shall promptly deliver a notice to the Holder, which notice shall state the Exercise Price resulting from such adjustment and/or the increase or decrease, if any, in the number of shares of
Common Stock or other stock or property issuable upon the exercise of this Warrant, setting forth in reasonable detail the method of calculation and the facts upon which such calculation is based. 

        4.5    Other Notices    

        In
the event that the Company shall propose at any time: 

        (a)  to
declare any dividend or distribution upon its Common Stock, whether in cash, property, stock or other securities, whether or not a regular cash dividend and whether
or not out of earnings or earned surplus; 

        (b)  to
offer for subscription to the holders of its Common Stock any additional shares of stock of any class or series or other rights; 

        (c)  to
effect any reclassification or recapitalization of the shares of its Common Stock outstanding involving a change in the Common Stock; or 

        (d)  to
merge or consolidate with or into any other corporation, to sell, lease or convey all or substantially all of its property or business, to effect any other Corporate
Transaction, or to liquidate, dissolve or wind up; 

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then,
in connection with each such event, the Company shall send to the Holder: 

          (i)  at
least 20 days' prior written notice of the date on which a record shall be taken for such dividend, distribution or subscription rights (and specifying the
date on which the holders of Common Stock shall be entitled thereto) or for determining rights to vote in respect of the matters referred to in (c) and (d) above; and 

        (ii)  in
the case of the matters referred to in (c) and (d) above, at least 20 days' prior written notice of the date when the same shall take place
(and, if applicable, specifying the date on which the holders of the Common Stock shall be entitled to exchange their shares of Common Stock for securities or other property deliverable upon the
occurrence of such events). 

5.    Fractional Shares  

        No fractional shares shall be issued upon the exercise of this Warrant. If any fraction of a Warrant Share would, except for the provisions of this Section, be
issuable on the exercise of this Warrant (or any portion hereof), the Company shall pay to the Holder an amount of cash equal to the then fair market value of a Warrant Share multiplied by such
fraction, computed to the nearest whole cent. For purposes of the above calculation, the fair market value of a Warrant Share shall be deemed to be the average of the closing bid and asked prices of
the Company's Common Stock as quoted on the Nasdaq National Market System or on any exchange on which such Common Stock is then listed, whichever is applicable, for the five trading days prior to the
date of exercise of this Warrant. 

6.    Transfers  

        6.1    Restrictions on Transfer    

        No
Warrant Shares or any interest therein may be transferred unless (a) such transfer is registered under the Securities Act of 1933, as amended (the "Securities Act"),
(b) the Company has received an opinion of legal counsel for the Holder reasonably satisfactory to the Company stating that the transfer is exempt from the registration requirements of the
Securities Act, or (c) the Company otherwise satisfies itself that such transfer is exempt from registration. 

        6.2    Transfers    

        The
Company shall register on the books of the Company maintained at its principal office the permitted transfer of this Warrant upon surrender to the Company of this Warrant, with the
form of Assignment attached hereto as Annex B duly completed and executed by the Holder. Upon any such registration of transfer, a new Warrant, in substantially the form of this Warrant, evidencing
this Warrant so transferred shall be issued, at the Company's expense, to the transferee, and a new Warrant, in substantially the form of this Warrant, evidencing the portion of this Warrant, if any,
not so transferred shall be issued, at the Company's expense, to the Holder. 

7.    Legend  

        Legends setting forth or referring to the applicable restrictions set forth in Section 6.1 may be placed on this Warrant, any replacement hereof or any
certificate representing the Warrant Shares, and, until such securities may be sold or otherwise transferred in accordance with Section 6.1, a stop transfer restriction or order shall be placed
on the books of the Company and with any transfer agent. 

8.    Holder as Owner  

        The Company may deem and treat the holder of record of this Warrant as the absolute owner hereof for all purposes regardless of any notice to the contrary. 

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9.    No Shareholder Rights  

        This Warrant shall not entitle the Holder to any voting rights or any other rights as a shareholder of the Company or to any other rights whatsoever except the
rights stated herein; and no dividend or interest shall be payable or shall accrue in respect of this Warrant or the Warrant Shares, until and to the extent that this Warrant shall be exercised. 

10.  Registration Rights  

        (a)  Subject
to Section 10(b) below, the Company shall file, with respect to the shares of Common Stock issuable under this Warrant, a registration statement on
Form S-3 (or any successor form) on or before the date 90 days after the Effective Date (as defined in the Purchase Agreement) to register the shares issuable upon the
exercise of this Warrant under the Securities Act. Any such registration statement may also include other shares of Common Stock issued to other investors by the Company. If the Company fails to
comply with its obligation in the preceding sentence within such 90-day period, for each 30-day or lesser period thereafter, the number of Warrant Shares deliverable by the
Company to the Investor hereunder shall be increased by 10%. The Company shall use its best efforts to have the registration statement declared effective within 120 days after the Effective
Date and to maintain the effectiveness of such registration statement (and maintain the current status of the prospectus or prospectuses contained therein) until the earliest of (i) the date
36 months after the Effective Date of the registration statement, (ii) the date all such shares have been disposed of, whether pursuant to such effective registration statement or
otherwise, and (iii) the date the Holder is able to dispose of all such shares in one three-month period pursuant to Rule 144 (or any similar provision then in force) under the
Securities Act without registration under the Securities Act. 

        (b)  The
Company shall not be obligated to effect any such registration pursuant to Section 10(a) in any particular jurisdiction in which the Company would be required
to qualify to do business or to execute a general consent to service of process in effecting such registration. 

        (c)  The
Company shall notify the Holder in writing at least thirty (30) days prior to filing any registration statement under the Securities Act for purposes of
effecting a public offering of securities of the Company (including, but not limited to, registration statements relating to secondary offerings of securities of the Company, but excluding
registration statements relating to any registration under Section 10(a) of this Warrant or to any employee benefit plan or a corporate reorganization) and will afford the Holder an opportunity
to include in such registration statement all or any part of the shares issuable upon the exercise of this Warrant, subject to the provisions of Section 10(d) below. If the Holder wants to
include in any such registration statement all or any part of the shares issuable upon the exercise of this Warrant, the Investor shall, within twenty (20) days after receipt of the above-
described notice from the Company, so notify the Company in writing, and in such notice shall inform the Company of the number of shares of Common Stock the Investor wishes to include in such
registration statement. 

        (d)  If
a registration statement under which the Company gives notice under Section 10(c) is for an underwritten offering, then the Company shall so advise the Holder.
In such event, the right of the Holder to include any of the shares issuable upon the exercise of this Warrant in a registration pursuant to Section 10(c) shall be conditioned upon the Holder's
participation in such underwriting and the inclusion of the Holder's shares of Common Stock in the underwriting on the same terms and conditions as the other participants in such offering, including,
without limitation, entering into an underwriting agreement in customary form with the managing underwriter or underwriters selected for such underwriting (including a market stand-off
agreement of up to 180 days if required by such underwriters). Notwithstanding any other provision of this Warrant, if the managing underwriter(s) determine(s) that marketing factors require a
limitation of the number of shares to be underwritten, then the managing underwriter(s) may exclude shares from the registration and the underwriting, and 

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the number of shares that may be included in the registration and the underwriting shall be allocated, first, to the Company,  second, to each holder of
registration rights granted by the Company before the issuance date of this Warrant that contractually require the Company to
include such holder's shares on a priority basis, and, third, to the Holder and any other holder of registration rights granted by the Company
(excluding those covered above), on a pro rata basis based on the total number of shares of Common Stock then sought to be included by each in such offering. If the Holder disapproves of the terms of
any such underwriting, the Holder may elect to withdraw therefrom by written notice to the Company and the underwriter(s), delivered at least ten (10) business days prior to the effective date
of the registration statement. Any shares of Common Stock excluded or withdrawn from such underwriting shall be excluded and withdrawn from the registration. 

        (e)  The
Holder shall have no right to obtain or seek, nor shall the Holder obtain or seek, an injunction restraining or otherwise delaying any registration as the result of
any controversy that might arise with respect to the interpretation or implementation of this Agreement. 

          (f)  In
the event any Registrable Shares are included in a registration statement under this Agreement or the terms of the Warrant: 

          (i)  To
the extent permitted by law, the Company will indemnify and hold harmless the Holder and each person, if any, who controls the Holder within the meaning of the
Securities Act or the Securities Exchange Act of 1934, as amended (the "Exchange Act"), against any losses, claims, damages, or liabilities to which they may become subject under the Securities Act,
the Exchange Act or other federal or state law, insofar as such losses, claims, damages, or liabilities (or actions in respect thereof) arise out of or are based upon any of the following statements,
omissions or violations (collectively a "Violation"): (A) any untrue statement or alleged untrue statement of a material fact contained in such registration statement, including any preliminary
prospectus or final prospectus contained therein or any amendments or supplements thereto, (B) the omission or alleged omission to state therein a material fact required to be stated therein,
or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, or (C) any violation or alleged violation by the Company of the Securities
Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with such registration and
sale of securities; and the Company will pay to the Holder or such controlling person, as incurred, any legal or other expenses reasonably incurred by them in connection with investigating or
defending any such loss, claim, damage, liability, or action; provided, however, that the
indemnity agreement contained in this subsection 10(f)(i) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability, or action if such settlement is effected
without the consent of the Company (which consent shall not be unreasonably withheld), nor shall the Company be liable in any such case for any such loss, claim, damage, liability, or action to the
extent that it arises out of or is based upon a Violation that occurs in reliance upon and in conformity with written information furnished expressly for use in connection with such registration by
the Holder or such controlling person or their respective agents. 

        (ii)  To
the extent permitted by law, the Holder will indemnify and hold harmless the Company, each of its directors, each of its officers who has signed the registration
statement, each person, if any, who controls the Company within the meaning of the Securities Act, each agent and any underwriter, any other person or entity selling securities in such registration
statement and any controlling person of any such underwriter or other person or entity, against any losses, claims, damages, or liabilities (joint or several) to which any of the foregoing persons may
become subject, under the Securities Act, the Exchange Act or other federal or state law, insofar as such losses, claims, damages, or liabilities (or actions in respect thereto) arise out of or are
based upon any Violation, in each case to the extent (and only to the extent) that such Violation occurs in reliance upon and in conformity with written information furnished by the Holder or its
agents expressly 

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for use in connection with such registration; and the Holder will pay, as incurred, any legal or other expenses reasonably incurred by any person intended to be indemnified pursuant to this
subsection 10(f)(ii), in connection with investigating or defending any such loss, claim, damage, liability, or action; provided, however, that the indemnity agreement contained in this subsection
10(f)(ii) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Holder (which consent
shall not be unreasonably withheld); and, provided further, that in no event shall any indemnity under this subsection 10(f)(ii) exceed the proceeds from the offering received by the Holder. 

        (iii)  Promptly
after receipt by an indemnified party under this Section 10(f) of notice of the commencement of any action (including any governmental action), such
indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 10(f), deliver to the indemnifying party a written notice of the
commencement thereof and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly
noticed, to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however, that an indemnified party (together with all other indemnified parties that may be
represented without conflict by one counsel) shall have the right to retain one separate counsel, with reasonable fees and expenses to be paid by the indemnifying party, if representation of such
indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests between such indemnified party and any other party represented
by such counsel in such proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action, if prejudicial to its ability to
defend such action, shall relieve such indemnifying party of any liability to the indemnified party under this Section 10(f), but the omission so to deliver written notice to the indemnifying
party will not relieve it of any liability that it may have to any indemnified party otherwise than under this Section 10(f). 

        (iv)  To
the extent the indemnification provided for in this Section 10(f) is held by a court of competent jurisdiction to be unavailable to an indemnified party with
respect to any losses, claims, damages or liabilities referred to herein, the indemnifying party, in lieu of indemnifying such indemnified party hereunder, shall to the extent permitted by applicable
law contribute to the amount paid or payable by such indemnified party as a result of such loss, claim, damage or liability in such proportion as is appropriate to reflect the relative fault of the
indemnifying party on the one hand and of the indemnified party on the other, in connection with the Violation(s) that resulted in such loss, claim, damage or liability, as well as any other relevant
equitable considerations. The relative fault of the indemnifying party and of the indemnified party shall be determined by a court of law by reference to, among other things, whether the untrue or
allegedly untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying party or by the indemnified party and the parties' relative
intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. 

        (v)  The
obligations of the Company and the Holder under this Section 10(f) shall survive the completion of any offering of shares in a registration statement under
Section 10, and otherwise. 

11.  Governing Law; Construction  

        The validity and interpretation of the terms and provisions of this Warrant shall be governed by the laws of the State of Oregon applicable to agreements between
residents of Oregon entered into and to be wholly performed in Oregon. The descriptive headings of the several sections of this Warrant are inserted for convenience only and shall not control or
affect the meaning or construction of any of the provisions thereof. 

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12.  Lost Warrant Certificate  

        Upon receipt by the Company of satisfactory evidence of the loss, theft, destruction or mutilation of this Warrant and either (in the case of loss, theft or
destruction) indemnification reasonably satisfactory to the Company or (in the case of mutilation) the surrender of this Warrant for cancellation, the Company will execute and deliver to the Holder,
without charge, a new Warrant of like denomination. 

13.  Waivers and Amendments  

        This Warrant or any provision hereof may be amended or waived only by a statement in writing signed by the Company and the Holder. 

14.  Notices  

        Any notice required by the provisions of this Warrant to be given to the Holder shall be deemed given five days after being deposited in the United States mail,
postage prepaid and addressed to such Holder's address appearing on the books of the Company. 

        Any
notice required by the provisions of this Warrant to be given to the Company shall be deemed given two days after being deposited in the United States mail, postage prepaid and
addressed to CenterSpan Communications Corporation, 7175 NW Evergreen Parkway, Suite 400, Hillsboro, OR 97124, Attention: Chief Financial Officer, or at such other address as specified in a notice
delivered to the Holder as set forth above. 

15.  Binding Effect  

        This Warrant shall be binding upon the Company and its successors and assigns, and shall inure to the benefit of and be enforceable by the Holder and its
successors and permitted assigns. 

16.  Investment Intent, etc.  

        By accepting this Warrant, the Holder represents that (a) the Holder is acquiring this Warrant and the Warrant Shares issuable upon exercise hereof for
investment and not with a view to, or for sale in connection with, any distribution thereof; (b) the Holder can bear the economic risk of an investment in the Warrant Shares (including possible
complete loss of such investment) for an indefinite period of time; (c) the Holder understands that this Warrant and the Warrant Shares have not been registered under the Securities Act, or
under the securities laws of any jurisdiction, by reason of reliance upon certain exemptions, and that the reliance of the Company on such exemptions is predicated upon the accuracy of the Holder's
representations in this Section; (d) the Holder is familiar with Rule 144 under the Securities Act, as currently in effect, and understands the resale limitations that are or would be
imposed thereby and by the Securities Act on this Warrant and the Warrant Shares to the extent such securities are characterized as "restricted securities" under the United States federal securities
laws inasmuch as they are acquired from the Company in a transaction not involving a public offering; (e) the Holder has received and reviewed a copy of each SEC Document (as defined below) and
the Holder has been given access to full and complete information regarding the Company and has utilized such access to the Holder's satisfaction for the purpose of obtaining information about the
Company, particularly, representatives of the Holder have had adequate opportunities to ask questions of, and receive answers from, senior executives of the Company concerning the Company and to
obtain any additional information, to the extent reasonably available, necessary to verify the accuracy of information provided to the Holder about the Company; (f) the Holder is an "accredited
investor" as such term is defined in Rule 501(a) under the Securities Act and as defined pursuant to the provisions
of state securities laws applicable to the Holder providing for an exemption from registration or qualification of the offer and sale of this Warrant and the Warrant Shares; and (g) the Holder
has 

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obtained, to the extent he or she deems necessary, his or her own professional advice with respect to the risks inherent in the investment in this Warrant and the Warrant Shares, the condition of the
Company and the suitability of the investment in this Warrant and the Warrant Shares in light of the Holder's financial condition and investment needs. 

        As
used herein, the term "SEC Documents" means, collectively, the following documents of the Company filed with the SEC: (i) its Annual Report on Form 10-K for
the fiscal year ended December 31, 2000, (ii) all Forms 8-K filed after the date of such Form 10-K, if any, (iii) its Quarterly Reports on
Form 10-Q for the quarters ended March 31, June 30 and September 30, 2001, and (iv) its Definitive Proxy Statement for the annual meeting of the
Company's shareholders held in May 2001. 

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        IN
WITNESS WHEREOF, the Company has executed this Warrant as of the date first written above. 

	 	CENTERSPAN COMMUNICATIONS CORPORATION
	

 	

By	
 	

/s/ Frank G. Hausmann, Jr.

	 	Title:	 	Chairman & CEO
	

The undersigned hereby confirms its

acknowledgements and representations in

Section 16 of this Warrant.	

 	
 	

 
	

SONY MUSIC ENTERTAINMENT INC.	

 	
 	

 

	

By	
 	

/s/ Mark Eisenberg
	

 
	Title:	 	Sr. VP Business Affairs

New Technology & Business Development	 

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ANNEX A    
    
    FORM OF ELECTION TO PURCHASE    
  

To
CenterSpan Communications Corporation: 

        The
undersigned hereby elects to purchase            shares of Common Stock of CenterSpan Communications Corporation issuable upon the exercise of the within Warrant, and requests
that a certificate for such shares shall be issued in the name of the undersigned holder and delivered to the address indicated below and, if said number of shares shall not be all the shares which
may be purchased pursuant to the within Warrant, that a new Warrant evidencing the right to purchase the balance of such shares be registered in the name of, and delivered to, the undersigned at the
undersigned's address stated below. 

        The
undersigned hereby certifies to the Company that the undersigned's representations set forth in Section 16 of the within Warrant are true and correct on the date hereof as if
made by the undersigned on the date hereof. 

	Payment enclosed in the amount of $                    .
	

Dated:                                  
	

Name of holder of Warrant:	
 	

    
 (please print)
	 	Address:	 	    
    
    

	 	Signature:	 	    

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Exhibit 4.7

CENTERSPAN COMMUNICATIONS CORPORATION COMMON STOCK PURCHASE WARRANT

ANNEX A FORM OF ELECTION TO PURCHASEExhibit 4(c)

                         THE BEAR STEARNS COMPANIES INC.
                                STOCK AWARD PLAN
                   (AMENDED AND RESTATED AS OF MARCH 26, 2002)

      1. Purpose. The purpose of The Bear Stearns Companies Inc. Stock Award
Plan (the "Plan") is to secure for The Bear Stearns Companies Inc. and its
successors and assigns (the "Company") and its stockholders the benefits of the
additional incentive, inherent in the ownership of the Company's common stock,
par value $1.00 per share (the "Common Stock"), by selected key employees of the
Company and its subsidiaries who are important to the success and growth of the
business of the Company and its subsidiaries and to help the Company and its
subsidiaries secure and retain the services of such persons. Compensation
awarded under the Plan is intended to qualify for tax deductibility pursuant to
the requirements of Section 162(m) of the Internal Revenue Code of 1986, as
amended from time to time or any successor statute or statutes (the "Code"), to
the extent deemed appropriate by the Committee (as defined in Paragraph 2.1).

      Pursuant to the Plan, such employees will be offered the opportunity to
acquire Common Stock through the grant of options and stock appreciation rights
in tandem with such options. Options granted under the Plan will be either
"incentive stock options," intended to qualify as such under the provisions of
Section 422 of the Code, or "nonqualified stock options." For purposes of the
Plan, the terms "parent" and "subsidiary" shall mean "parent corporation" and
"subsidiary corporation," respectively, as such terms are defined in Sections
424(e) and (f) of the Code.

      2. Committee.

            2.1 Administration. The Plan shall be administered by the
Compensation Committee of the Board of Directors of the Company (the
"Committee"). Any vacancy on the Committee, whether due to action of the Board
of Directors or due to any other cause, may be filled, and shall be filled if
required to maintain a Committee of at least two disinterested persons, by
resolution adopted by the Board of Directors. For purposes of the Plan, a person
shall be deemed to be a "disinterested person" if, at the time of reference,
such person is not, and has not been at any time during the preceding one-year
period, eligible to participate in the Plan or any other plan of the Company or
any of its affiliates entitling participants therein to acquire stock, stock
options or stock appreciation rights of the Company or any of its affiliates.
Notwithstanding any of the foregoing, the Board of Directors may designate one
or more persons, who at the time of such designation are not disinterested
persons, to serve on the Committee effective upon the date such person or
persons qualify as disinterested persons.

            2.2 Procedures. The Committee shall select one of its members as
Chairman and shall adopt such rules and regulations as it shall deem appropriate
concerning the holding of its meetings and the administration of the Plan. A
majority of the whole Committee shall constitute a quorum, and the acts of a
majority of the members of the Committee present at a meeting at which a quorum
is present, or acts approved in writing by all of the members of the Committee,
shall be the acts of the Committee.

            2.3 Interpretation. The Committee shall have full power and
authority to interpret the provisions of the Plan and any agreement evidencing
options granted under the Plan, and to determine any and all questions arising
under the Plan, and its decisions shall be final and binding on all participants
in the Plan.

                                  Exh. 4(c)-1
<PAGE>

      3. Shares Subject to Grants.

            3.1 Number of Shares. Subject to the provisions of Paragraph 17
(relating to adjustments upon changes in capitalization), the number of shares
of Common Stock subject at any one time to options granted under the Plan, plus
the number of shares of Common Stock theretofore issued or delivered pursuant to
the exercise of options granted under the Plan, shall not exceed 35,000,000
shares. If and to the extent that options granted under the Plan terminate,
expire or are cancelled without having been exercised, new options may be
granted under the Plan with respect to the shares of Common Stock covered by
such terminated, expired or cancelled options; provided, that the granting and
terms of such new options shall in all respects comply with the provisions of
the Plan.

            3.2 Character of Shares. Shares of Common Stock delivered under the
Plan may be authorized and unissued Common Stock, issued Common Stock held in
the Company's treasury, or both.

            3.3 Reservation of Shares. There shall be reserved at all times for
sale or award under the Plan a number of shares of Common Stock (authorized and
unissued Common Stock, issued Common Stock held in the Company's treasury, or
both) equal to the maximum number of shares set forth in Paragraph 3.1.

      4. Employees Eligible. Options may be granted under the Plan to any key
employee of the Company or any of its subsidiaries, or to any prospective key
employee of the Company or any of its subsidiaries, conditioned upon, and
effective not earlier than, such person's becoming an employee. Directors and
executive officers shall be eligible to receive grants under the Plan only if
they are also key employees of the Company or any of its subsidiaries.
Notwithstanding the foregoing:

            (a) No member of the Committee, while serving as such, shall be
eligible to receive any grants under the Plan and no person designated by the
Board of Directors pursuant to Paragraph 2.1 to serve on the Committee effective
at the time he or she qualifies as a disinterested person shall be eligible to
receive any grants under the Plan during the period from the date such
designation is made to the date such designation becomes effective.

            (b) No incentive stock options may be granted under the Plan to any
person who owns, directly or indirectly (within the meaning of Sections
422(b)(6) and 424(d) of the Code), at the time the incentive stock option is
granted, stock possessing more than 10% of the total combined voting power of
all classes of stock of the employee's employer corporation or of its parent, if
any, or any of its subsidiaries, unless the option price is at least 110% of the
fair market value of the shares subject to the option, determined on the date of
the grant, and the option by its terms is not exercisable after the expiration
of five years from the date such option is granted.

            (c) In each calendar year during any part of which the Plan is in
effect, no Participant (as defined below) may be granted options relating in the
aggregate to more than 1,000,000 shares of Common Stock, subject to adjustment
as provided in Paragraph 17.

      An individual receiving any option under the Plan is hereinafter referred
to as a "Participant." Any reference herein to the employment of a Participant
by the Company shall include (i) his or her employment by the Company or any of
its subsidiaries, and (ii) with respect to a Participant who was not an employee
of the Company or any of its subsidiaries at the time of grant of his or her
option, his or her period of service in the capacity for which the option was
granted. For all purposes of this Plan, the time at which an option is granted,
in the case of the grant of an option to a key employee shall be deemed to be
the effective date of such grant.

                                  Exh. 4(c)-2
<PAGE>

      5. Grant of Options.

      The Committee shall determine, within the limitations of the Plan, the
persons to whom options are to be granted, the number of shares that may be
purchased under each option, the option price, and shall designate options at
the time of grant as either "incentive stock options" or "nonqualified stock
options"; provided, that the aggregate fair market value (determined as of the
time the option is granted) of the Common Stock with respect to which incentive
stock options become exercisable for the first time by any Participant (as
defined in Paragraph 4) in any calendar year (under all stock option plans of
the employee's employer corporation and its parent, if any, and its
subsidiaries) shall not exceed $100,000 (the provisions of Section 422(d) of the
Code are intended to govern). In determining the persons to whom options shall
be granted and the number of shares to be covered by each option, the Committee
shall take into consideration the person's present and potential contribution to
the success of the Company and its subsidiaries and such other factors as the
Committee may deem proper and relevant. Each option granted under the Plan shall
be evidenced by a written agreement between the Company and the Participant
containing such terms and conditions and in such form, not inconsistent with the
provisions of the Plan or, with respect to incentive stock options, Section 422
of the Code, as the Committee shall provide.

      6. Option Price. Subject to Paragraph 17, the option price of each share
of Common Stock purchasable under any incentive stock option or non-qualified
stock option granted under the Plan shall not be less than the fair market value
of such share of Common Stock at the time the option is granted. The option
price of an option issued in a transaction described in Section 424(a) of the
Code shall be an amount which conforms to the requirements of that Section and
the regulations thereunder.

      For purposes of this Plan, the "fair market value" of the Common Stock on
any date means (i) if the Common Stock is listed on a national securities
exchange or quotation system, the closing sales price on such exchange or
quotation system on such date or, in the absence of reported sales on such date,
the closing sales price on the immediately preceding date on which sales were
reported, (ii) if the Common Stock is not listed on a national securities
exchange or quotation system, the mean between the bid and offered prices as
quoted by the National Association of Securities Dealers, Inc. Automated
Quotation System ("NASDAQ") for such date or (iii) if the Common Stock is
neither listed on a national securities exchange or quotation system nor quoted
by NASDAQ, the fair value as determined by such other method as the Committee
determines in good faith to be reasonable.

      7. Stock Appreciation Right. The Committee, in its sole discretion, may in
connection with the grant of any option also grant to the Participant a stock
appreciation right. Such stock appreciation right shall be granted by the
Committee simultaneously with the grant of the related stock option. A stock
appreciation right shall be exercised in the manner provided in Paragraph 9, and
shall result in the cancellation of options on shares with respect to which the
Participant exercises a stock appreciation right, and, upon such exercise, the
Company shall pay to the Participant an amount equal to the excess of the fair
market value of such shares with respect to which options are cancelled on the
date of exercise over the option price of such shares. A stock appreciation
right shall be exercisable to the same extent and under the same conditions as
the underlying option, except that a stock appreciation right granted in
connection with an incentive stock option may be exercised only when the fair
market value of the shares subject to the option exceeds the option price of
such shares. Payments on the exercise of stock appreciation rights shall be made
by the Company in cash to the Participant as soon as practicable following
exercise.

                                  Exh. 4(c)-3
<PAGE>

      8. Exercisability and Duration of Options.

            8.1 Determination of Committee; Acceleration. Each option granted
under the Plan shall be exercisable at such time or times, or upon the
occurrence of such event or events, and in such amounts, as the Committee shall
specify in the agreement evidencing the option. Subsequent to the grant of an
option which is not immediately exercisable in full, the Committee, at any time
before complete termination of such option, may accelerate the time or times at
which such option may be exercised in whole or in part.

            8.2 Automatic Termination. The unexercised portion of any option
granted under the Plan shall automatically and without notice terminate and
become null and void at the time of the earliest to occur of the following:

            (a) The expiration of ten years from the date on which such option
was granted;

            (b) The expiration of 30 days from the date of termination of the
Participant's employment by the Company unless a longer period is provided by
the Committee (other than a termination described in subparagraph (c) below or
in the event of termination as a result of death, in which case expiration will
be at the end of the term set forth in the option agreement or such other time
specified therein);

            (c) The termination of the Participant's employment by the Company
if such termination constitutes or is attributable to a breach by the
Participant of an employment or consulting agreement with the Company or any of
its subsidiaries, or if the Participant is discharged or his or her services are
terminated for cause; or

            (d) The expiration of such period of time or the occurrence of such
event as the Committee in its discretion may provide upon the granting thereof.

      The Committee or the Board of Directors shall have the right to determine
what constitutes cause for discharge or termination of services, whether the
Participant has been discharged or his or her services terminated for cause and
the date of such discharge or termination of services, and such determination of
the Committee or the Board of Directors shall be final and conclusive.

      9. Exercise of Options, Stock Appreciation Rights. Options and stock
appreciation rights granted under the Plan shall be exercised by the Participant
(or by his or her executors or administrators, as provided in Paragraph 10) as
to all or part of the shares covered thereby, by the giving of written notice of
exercise to the Company, specifying the number of shares to be purchased or the
number of shares with respect to which stock appreciation rights are being
exercised, accompanied, in the case of an option, by payment of the full
purchase price for the shares being purchased. Payment of such purchase price
shall be made (a) by check payable to the Company, (b) with the consent of the
Committee, by delivery of shares of Common Stock already owned by the
Participant for at least six months (which may include shares received as the
result of a prior exercise of an option) having a fair market value (determined
as of the date such option is exercised) equal to all or part of the aggregate
purchase price, (c) in accordance with a "cashless exercise" program established
by the Committee in its sole discretion under which if so instructed by the
Participant, shares may be issued directly to the Participant's broker or dealer
upon receipt of the purchase price in cash from the broker or dealer, (d) by any
combination of (a), (b), or (c) above, or (e) by other means that the Committee
deems appropriate. Such notice of exercise, accompanied by such payment, shall
be delivered to the Company at its principal business office or such other
office as the Committee may from time to time direct, and shall be in such form,
containing such further provisions consistent with the provisions of the Plan,
as the Committee may from time to time prescribe. The date of exercise shall be

                                  Exh. 4(c)-4
<PAGE>

the date of the Company's receipt of such notice. The Company shall effect the
transfer of the shares so purchased to the Participant (or such other person
exercising the option pursuant to Paragraph 10 hereof) as soon as practicable.
No Participant or other person exercising an option shall have any of the rights
of a stockholder of the Company with respect to shares subject to an option
granted under the Plan until due exercise and full payment has been made as
provided above. No adjustment shall be made for cash dividends or other rights
for which the record date is prior to the date of such due exercise and full
payment. In no event may any option granted hereunder be exercised for a
fraction of a share.

      10. Non-Transferability of Options. Except as provided herein, no option
granted under the Plan or any right evidenced thereby shall be transferable by
the Participant other than by will or by the laws of descent and distribution,
and an option may be exercised, during the lifetime of a Participant, only by
such Participant. Notwithstanding the preceding sentence: (a) in the event of a
Participant's death during his or her employment by the Company, its parent, if
any, or any of its subsidiaries, or during the 30 day period following the date
of termination of such employment, his or her options shall thereafter be
exercisable, during the period set forth in the option agreement, or, if no
period is specifically set forth, during the remaining term of the option, by
his or her executors or administrators; and (b) the Participant, with the
approval of the Committee, may transfer his or her options (other than incentive
stock options) for no consideration to or for the benefit of the Participant's
spouse, parents, children (including stepchildren or adoptive children),
grandchildren, or siblings, or to a trust for the benefit of any of such
persons.

      11. Reload Options. At the time an option (the "original option") is
granted, the Committee may also authorize the grant of a "reload option," which
shall be subject to the following terms:

            (a) The number of shares of Common Stock subject to the reload
option shall be the number of shares, if any, used by the Participant to pay the
purchase price upon exercise of the original option, plus the number of shares,
if any, delivered by the Participant to satisfy the tax withholding requirement
relating to such exercise.

            (b) The reload option shall be a nonqualified stock option.

            (c) The grant of the reload option shall be effective upon the date
of exercise of the original option, and the term of the reload option shall be
the period, if any, remaining from that date to the date upon which the original
option would have expired.

            (d) The grant of the reload option shall not be effective if, on the
date of exercise of the original option, the Participant is not employed by the
Company.

            (e) Except as specified in (a) through (d) above, the terms of the
reload option shall be as prescribed in the preceding Paragraphs of this Plan.

      12. Withholding Tax. Whenever under the Plan shares of stock are to be
delivered upon exercise of a nonqualified stock option, the Company shall be
entitled to require as a condition of delivery that the Participant remit or, in
appropriate cases, agree to remit when due an amount sufficient to satisfy all
federal, state and local withholding tax requirements relating thereto. At the
option of the Company, such amount may be remitted by check payable to the
Company, in shares of Common Stock (which may include shares received as the
result of a prior exercise of an option), by the Company's withholding of shares
of Common Stock issuable upon the exercise of any option or stock appreciation
right pursuant to the Plan, or any combination thereof. Whenever an amount shall
become payable to a Participant in connection with the exercise of a stock
appreciation right, the Company shall be entitled to withhold therefrom an

                                  Exh. 4(c)-5
<PAGE>

amount sufficient to satisfy all federal, state and local withholding tax
requirements relating to such amount.

      13. Restrictions on Delivery and Sale of Shares. Each option granted under
the Plan is subject to the condition that if at any time the Committee, in its
discretion, shall determine that the listing, registration or qualification of
the shares covered by such option upon any securities exchange or under any
state or federal law is necessary or desirable as a condition of or in
connection with the granting of such option or the purchase or delivery of
shares thereunder, the delivery of any or all shares pursuant to exercise of the
option may be withheld unless and until such listing, registration or
qualification shall have been effected. The Committee may require, as a
condition of exercise of any option that the Participant represent, in writing,
that the shares received are being acquired for investment and not with a view
to distribution and agree that the shares will not be disposed of except
pursuant to an effective registration statement, unless the Company shall have
received an opinion of counsel satisfactory to the Company that such disposition
is exempt from such requirement under the Securities Act of 1933. The Committee
may require that the sale or other disposition of any shares acquired upon
exercise of an option hereunder shall be subject to a right of first refusal in
favor of the Company, which right shall permit the Company to repurchase such
shares from the Participant or his or her representative prior to their sale or
other disposition at their then current fair market value in accordance with
such terms and conditions as shall be specified in the agreement evidencing the
grant of the option. The Company may endorse on certificates representing shares
issued upon the exercise of an option such legends referring to the foregoing
representations or restrictions or any other applicable restrictions on resale
as the Company, in its discretion, shall deem appropriate.

      14. Change in Control.

            (a) In the event of a Change in Control of the Company, as defined
below, the Committee may, in its sole discretion, provide that any of the
following applicable actions be taken as a result, or in anticipation, of any
such event to assure fair and equitable treatment of Participants:

            (i) accelerate the exercisability of any outstanding options awarded
pursuant to this Plan;

            (ii) offer to purchase any outstanding options made pursuant to this
Plan from the holder for its equivalent cash value, as determined by the
Committee, as of the date of the Change in Control; or

            (iii) make adjustments or modifications to outstanding options as
the Committee deems appropriate to maintain and protect the rights and interests
of the Participants following such Change in Control.

      Any such action approved by the Committee shall be conclusive and binding
on the Company, its subsidiaries and all Participants.

            (b) In no event, however, may (i) any option be exercised prior to
the expiration of six (6) months from the date of grant (unless otherwise
provided in the agreement evidencing the option), or (ii) any option be
exercised after ten (10) years from the date it was granted.

            (c) To the extent not otherwise defined in this Plan, the following
terms used in this Paragraph 14 shall have the following meanings:

                                  Exh. 4(c)-6
<PAGE>

      "Affiliate" means (a) Bear Stearns (b) any other subsidiary of the Company
and (c) any other corporation or other entity which is controlled, directly or
indirectly, by, or under common control with, the Company and which the
Committee designates as an "Affiliate" for purposes of the Plan.

      "Associate" of a Person means (a) any corporation or organization of which
such Person is an officer or partner or is, directly or indirectly, the
Beneficial Owner of 10% or more of any class of equity securities, (b) any trust
or other estate in which such Person has a substantial beneficial interest or as
to which such Person serves as trustee or in a similar fiduciary capacity and
(c) any relative or spouse of such Person, or any relative of such spouse, who
has the same home as such Person or who is a director or officer of such Person
or any of its parents or subsidiaries.

      "Bear Stearns" means Bear, Stearns & Co. Inc., a Delaware corporation, and
its successors and assigns.

      "Beneficial Owner" has the meaning ascribed thereto in Rule 13d-3 under
the Exchange Act, except that, in any case, a Person shall be deemed the
Beneficial Owner of any securities owned, directly or indirectly, by the
Affiliates and Associates of such Person.

      "Change in Control" means (a) a majority of the Board of Directors ceases
to consist of Continuing Directors; (b) any Person becomes the Beneficial Owner
of 25% or more of the outstanding voting power of the Company unless such
acquisition is approved by a majority of the Continuing Directors; (c) the
stockholders of the Company approve an agreement to merge or consolidate into
any other entity, unless such merger or consolidation is approved by a majority
of the Continuing Directors; or (d) the stockholders of the Company approve an
agreement to dispose of all or substantially all of the assets of the Company,
unless such disposition is approved by a majority of the Continuing Directors.

      "Continuing Director" means any member of the Board of Directors who is a
member on the effective date of the Plan as set forth in Paragraph 19 or who is
elected to the Board of Directors after such date upon the recommendation or
with the approval of a majority of the Continuing Directors at the time of such
recommendation or approval.

      "Person" means an individual, a corporation, a partnership, an
association, a joint stock company, a trust, any unincorporated organization or
a government or a political subdivision thereof.

      15. Right to Terminate Employment. Nothing in the Plan or in any option
granted under the Plan shall confer upon any Participant the right to continue
as an employee of the Company or affect the right of the Company or any of its
subsidiaries, to terminate the Participant's employment at any time, subject,
however, to the provisions of any agreement of employment between the
Participant and the Company, its parent, if any, or any of its subsidiaries.

      16. Transfer, Leave of Absence. For purposes of this Plan, neither (i) a
transfer of an employee from the Company to a subsidiary or other affiliate of
the Company, or vice versa, or from one subsidiary or affiliate of the Company
to another, nor (ii) a duly authorized leave of absence, shall be deemed a
termination of employment.

      17. Adjustment Upon Changes in Capitalization, etc. In the event of any
stock split, stock dividend, reclassification or recapitalization which changes
the character or amount of the Company's outstanding Common Stock while any
portion of any option theretofore granted under the Plan is outstanding but
unexercised, the Committee shall make such adjustments in the character and
number of shares subject to such options and in the option price, as shall be
equitable and appropriate in order to make the option, as nearly as may be
practicable, equivalent to such option immediately prior to such change;

                                  Exh. 4(c)-7
<PAGE>

provided, however, that no such adjustment shall give any Participant any
additional benefits under his or her option; and provided further, that, with
respect to any outstanding incentive stock option, if any such adjustment is
made by reason of a transaction described in Section 424(a) of the Code, it
shall be made so as to conform to the requirements of that Section and the
regulations thereunder.

      If any transaction (other than a change specified in the preceding
paragraph) described in Section 424(a) of the Code affects the Company's Common
Stock subject to any unexercised option theretofore granted under the Plan
(hereinafter for purposes of this Paragraph 17 referred to as the "old option"),
the Board of Directors or any surviving or acquiring corporation may take such
action as it deems appropriate, and in conformity with the requirements of that
Section and the regulations thereunder, to substitute a new option for the old
option, in order to make the new option, as nearly as may be practicable,
equivalent to the old option, or to assume the old option.

      If any such change or transaction shall occur, the number and kind of
shares for which options may thereafter be granted under the Plan shall be
adjusted to give effect thereto.

      18. Expiration and Termination of the Plan.

            18.1 General. Options may be granted under the Plan at any time and
from time to time on or prior to the tenth anniversary of the effective date of
the Plan as set forth in Paragraph 19 (the "Expiration Date"), on which date the
Plan will expire except as to options then outstanding under the Plan. Such
outstanding options shall remain in effect until they have been exercised,
terminated or have expired. The Plan may be terminated, modified or amended by
the Board of Directors at any time on or prior to the Expiration Date, except
with respect to any options then outstanding under the Plan; provided, however,
that the approval of the Company's stockholders will be required for any
amendment which (i) changes the class of employees eligible for grants, as
specified in Paragraph 4, (ii) increases the maximum number of shares subject to
grants, as specified in Paragraph 3 (unless made pursuant to the provisions of
Paragraph 17) or (iii) materially increases the benefits accruing to
participants under the Plan, within the meaning of Rule 16b-3 promulgated under
the Securities Exchange Act of 1934, as amended (the "Exchange Act").

            18.2 Modifications. No modification, extension, renewal or other
change in any option granted under the Plan shall be made after grant, unless
the same is consistent with the provisions of the Plan and does not disqualify
an incentive stock option under the provisions of Section 422 of the Code. In
addition, the option price of an option may not be changed after grant, other
than in the case of an adjustment described in Paragraph 14 or pursuant to
Paragraph 17.

      19. Effective Date of Plan. The Plan shall become effective on September
28, 1999, the date of its adoption by the Board of Directors, subject, however,
to the approval of the Plan by the Company's stockholders within 12 months of
such adoption.

                                  Exh. 4(c)-8

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