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Exhibit 10.23  

        THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT") OR UNDER THE SECURITIES LAWS OF ANY STATE OR JURISDICTION AND MAY NOT
BE SOLD, OFFERED FOR SALE OR OTHERWISE TRANSFERRED UNLESS REGISTERED OR QUALIFIED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR UNLESS THE COMPANY RECEIVES AN OPINION, IN REASONABLY ACCEPTABLE
FORM AND SCOPE, OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY, THAT REGISTRATION, QUALIFICATION OR OTHER SUCH ACTIONS ARE NOT REQUIRED UNDER ANY SUCH LAWS. THE TRANSFER AND SALE OF THIS NOTE IS
ALSO RESTRICTED PURSUANT TO SECTION 8 OF THIS NOTE. 

 
 

SENIOR SECURED PROMISSORY NOTE    
    

	$5,000,000	 	February 22, 2005

        FOR
VALUE RECEIVED, Fischer Imaging Corporation, a Delaware corporation (the "Company"), hereby promises to pay to the order of ComVest
Investment Partners II LLC, a Delaware limited liability company, or registered assigns (the "Holder"), the sum of Five Million Dollars ($5,000,000)
(the "Principal"), with interest thereon, on the terms and conditions set forth herein and in the Note and Warrant Purchase Agreement dated
February 22, 2005 between the Company and the Holder (the "Purchase Agreement"). 

        Payments
of principal of, interest on and any other amounts with respect to this Senior Secured Promissory Note (this "Note") are to be
made in lawful money of the United States of America. 

        The
amounts due under this Note are secured pursuant to the terms of that certain Security Agreement between the Company and the Holder of even date herewith. The Holder shall release
its security interest upon payment in full of the entire Principal balance of this Note and all accrued Interest and other amounts payable hereunder. 

        Notwithstanding
any provision of this Note, the Purchase Agreement or any other agreement to the contrary, the Company shall not be required to pay, and the Holder shall not be permitted
to contract for, take, reserve, charge or receive, any compensation that constitutes interest under Applicable Law in excess of the maximum amount of interest permitted by Applicable Law. 

        All
terms used in this Note but not defined herein shall have the meanings ascribed to such terms in the Purchase Agreement. The original Holder of this Note will be deemed, by its
acceptance hereof, to have agreed to the provisions and to have made the representations and warranties set forth in Article 3 of the Purchase Agreement. 

        1.    Interest; Payments.    

        (a)   This
Note shall bear interest on Principal amounts outstanding from time to time from the date hereof until maturity at an annual rate of eight and one-half
percent (8.50%) ("Interest"); provided, however, that upon the occurrence and during the continuance of
any Event of Default hereunder, the applicable Interest rate hereunder shall be 11.50% per annum. All Interest shall be calculated on the basis of a 360-day year counting the actual days
elapsed. Accrued Interest shall be payable, commencing November 15, 2005, and quarterly thereafter on each February 15, May 15, August 15 and November 15 thereafter
(or, if such day is not a business day, on the next succeeding business day). 

        (b)   The
Principal of this Note shall be payable (i) in ten (10) equal quarterly installments, each such installment in an amount equal to one (1%) percent of
the original Principal amount of this Note, which installments shall be payable commencing February 15, 2006, and shall continue quarterly thereafter on each May 15, August 15,
November 15 and February 15 thereafter (or, if such day is not a business day, on the next succeeding business day), and (ii) in an eleventh (11th) and final
installment due and payable on August 15, 2008.

 

        (c)   Anything
contained in Sections 1(a) and 1(b) above to the contrary notwithstanding, all unpaid Principal and the accrued and unpaid Interest thereon shall be due and
payable on the earlier of (i) August 15, 2008, or (ii) the Sale of the Company (the "Maturity Date"). 

        2.    Prepayment.    

        (a)   The
unpaid Principal balance of this Note, together with all accrued and unpaid Interest, may at the Company's option be prepaid in whole or in part, at any time or from
time to time upon fifteen (15) days' prior written notice to the Holder stating the Principal amount to be prepaid and the date on which such prepayment shall be made. 

        (b)   Within
five (5) business days after the Company's receipt of any Equity Proceeds at any time or from time to time, the Company shall be required to make a
prepayment of Principal under this Note in an amount equal to (i) one-half of such Equity Proceeds, multiplied by (ii) a fraction, the numerator of which shall be the
Principal balance of this Note as of the date of such prepayment, and the denominator of which shall be the aggregate principal balance of all outstanding Notes as of the date of such prepayment. 

        (c)   Within
forty-five (45) days after the close of each fiscal quarter (60 days in the case of the last fiscal quarter of each fiscal year)
commencing with the fiscal quarter ending December 31, 2005, the Company shall be required to make a prepayment of Principal under this Note in an amount equal to
(i) one-half of the positive Excess Cash Flow (if any) for such fiscal quarter, multiplied by (ii) a fraction, the numerator of which shall be the Principal balance of this
Note as of the close of such fiscal quarter, and the denominator of which shall be the aggregate principal balance of all outstanding Notes as of the close of such fiscal quarter issued pursuant to
the Purchase Agreement. 

        (d)   Any
and all prepayments of Principal hereunder shall be applied to the remaining installments under Section 1 above in inverse order of maturity. Each prepayment
of Principal shall be accompanied by all accrued Interest on the Principal amount prepaid accrued to the date of prepayment. 

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

        7(a)    "Applicable Law" means that law in effect from time to time and applicable to this Note which lawfully permits the
contracting, charging, taking, reserving and/or collection of the highest permissible lawful, non-usurious rate of interest or amount of interest on or in connection with this Note. 

        (b)   "EBITDA" means, for the subject fiscal quarter, the sum of the following, determined in accordance with generally
accepted accounting principles consistently applied and on a consolidated basis for the Company and its Subsidiaries: (i) Net Income, plus
(ii) the sum of the following to the extent deducted in determining Net Income: (A) income and franchise taxes, (B) interest expense, and (C) depreciation, amortization,
impairment of good will or other intangible assets, and other non-cash charges (including, without limitation, any impairment or similar charges),  minus (iii) any non-cash gains. 

        (c)   "Equity Proceeds" means the aggregate proceeds (which, to the extent received in a form other than cash, shall be deemed
to be a cash amount equal to the fair market value of the non-cash proceeds) received by or on behalf of the Company or any of its Subsidiaries at any time and from time to time from or in
respect of the issuance and/or exercise of any equity securities and/or any options, warrants, convertible securities or other rights to purchase or acquire equity securities of the Company or any
Subsidiary other than (i) issuances of securities under any Option Plan or similar plan approved by the stockholders of the Company, (ii) the exercise of any option granted or to be
granted under any Option Plan or similar plan approved by the stockholders of

 
the Company or (iii) the exercise of the Warrants, in each case net of any underwriting commissions, placement agent fees and other reasonable expenses paid or incurred by the Company in
respect thereof (exclusive of any amounts paid or payable to officers, directors or other affiliates of the Company or any Subsidiary). 

        (d)   "Excess Cash Flow" means, for the subject fiscal quarter, the sum of the following, determined in accordance with
generally accepted accounting principles consistently applied and on a consolidated basis for the Company and its Subsidiaries: (i) EBITDA, minus
(ii) income and franchise taxes to the extent paid or due and payable in cash, minus (iii) interest expense to the extent paid or due and
payable in cash, minus (iv) all net principal payments made in respect of indebtedness for money borrowed (excluding mandatory prepayments
hereunder measured by Excess Cash Flow), minus (v) capital expenditures paid in cash (including principal payments made under capitalized leases
and purchase money financing of capital assets) up to a maximum of $312,500 per fiscal quarter, plus (vi) without limitation of
Section 5.12(c) of the Purchase Agreement, net cash proceeds of any new borrowings (other than borrowings represented by Notes issued pursuant to the Purchase Agreement and borrowings solely
for the purchase of capital assets within the limitations of Section 5.12(l) of the Purchase Agreement). 

        (e)   "Net Income" means, with respect to any fiscal quarter, the consolidated net income (or loss) of the Company and its
Subsidiaries, determined on a consolidated basis and accordance with generally accepted accounting principles consistently applied, provided that, for
purposes of calculating Net Income, there shall be excluded and no effect shall be given to (i) any restoration of any contingency reserve, except to the extent that provision for such reserve
was made out of income during the subject fiscal quarter, and/or (ii) any amounts deducted for amortization of depreciation to the extent resulting from the write-up of any asset. 

        (f)    "Person" means an individual, a partnership, a limited liability company, a corporation, an association, a joint stock
company, a trust, a joint venture, an unincorporated organization, Section 13D group, or a governmental entity (or any department, agency or political subdivision thereof). 

        (g)   "Sale of the Company" means any transaction or series of transactions pursuant to which any Person(s) other than the
Holder acquire(s) (i) interests in the Company (or the surviving or resulting entity in such transaction or transactions) possessing more than fifty percent (50%) of the voting power (other
than voting rights accruing only in the event of a default, breach or event of noncompliance), whether by merger, consolidation, reorganization, combination, issuance, sale or transfer of the
Company's capital stock, or otherwise, or (ii) more than fifty percent (50%) of the Company's and its Subsidiaries' assets determined on a consolidated basis (measured by either book value in
accordance with generally accepted accounting principles consistently applied or fair market value determined in the reasonable good faith judgment of the Company's Board of Directors). 

        (h)   "Subsidiary" means, at the time as of which any determination is being made, any entity in which the Company owns, either
directly or indirectly through Subsidiaries, a general partner's interest, or shares of stock or membership interests having a majority of the general voting power in electing the board of directors
or managers of such entity. 

        4.    Priority of Note.    This Note shall be senior in right of payment to all classes of the Company's capital
stock, including but not limited to, the Common Stock and any shares of preferred stock of the Company, shall be pari passu in right of payment to any
and all other Notes issued pursuant to the Purchase Agreement, and shall be senior to all other indebtedness of the Company.

 

        5.    Time of the Essence.    It is agreed that time is of the essence on this Note. 

        6.    Events of Default.    Each of the following shall be deemed an "Event of Default": 

        (a)   The
Company shall default in the payment when due of any Principal of or Interest on this Note whether on a scheduled payment date, at maturity, by reason of any
mandatory prepayment in accordance with Section 2(b) or Section 2(c), or by acceleration or otherwise, and such default shall continue for fifteen (15) business days in the case
of a default with respect to a mandatory prepayment under Section 2(c) or five (5) business days in any other case; or 

        (b)   The
Company or any of its Subsidiaries (i) shall admit in writing its inability to pay its debts as they mature, or (ii) shall make a general assignment
for the benefit of creditors, or (iii) shall be adjudicated bankrupt or insolvent, or (iv) shall commence a voluntary proceeding seeking liquidation, reorganization or other relief with
respect to itself or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect; or 

        (c)   An
involuntary proceeding shall be commenced against the Company or any of its Subsidiaries seeking liquidation, reorganization or other relief with respect to it or its
debts under any bankruptcy, insolvency or other similar law now or hereafter in effect, or a receiver, liquidator, trustee, custodian, conservator or other such person shall be appointed by any court
to take charge of the Company's or any Subsidiary's affairs, assets or business, and (i) the Company or the subject Subsidiary shall admit to the material allegations of the petition or
complaint in such proceeding, or (ii) such involuntary proceeding or appointment shall remain undismissed and unstayed for a period of sixty (60) days; or 

        (d)   If
any representation or warranty made by the Company in the Purchase Agreement, the Security Agreement or the FDA Certificate shall be determined to have been false or
misleading in any material respect as of the date made; or 

        (e)   Any
failure by the Company to perform or observe any of its covenants contained in (i) the Purchase Agreement other than the covenants in Sections 5.3, 5.4, 5.6,
5.11(a)-(h) or 5.13(b) or (ii) the Security Agreement, the Registration Rights Agreement or in Sections 5.3, 5.4, 5.6, 5.11(a)-(h) or 5.13(b) of the Purchase Agreement where such failure
continues for a period in excess of fifteen (15) days after written notice from the Holder or actual knowledge of the Company of such failure; provided however, that any failure requiring the
payment of cash fees under Section 2(c) of the Registration Rights Agreement shall not constitute an Event of Default under this Section 6; or 

        (f)    If
a final judgment or judgments in an aggregate uninsured amount in excess of $250,000 shall be rendered against the Company or any of its Subsidiaries which is not,
within thirty (30) days after the entry thereof, discharged or the execution thereof stayed pending appeal, or within thirty (30) days after the expiration of any such stay, such
judgment is not discharged; or 

        (g)   Any
default with respect to any other indebtedness or liabilities of the Company or any of its Subsidiaries in any amount in excess of (i) $250,000 individually
or in the aggregate with respect to indebtedness, (ii) $250,000 individually with respect to liabilities and (iii) $750,000 in the aggregate with respect to liabilities and indebtedness,
in each case if the effect of such default is to permit the holder(s) to accelerate the maturity of such indebtedness or liabilities as the case may be; or 

        (h)   The
occurrence of any levy upon or seizure or attachment of any property of the Company or any of its Subsidiaries having an aggregate fair market value in excess of
$250,000, which levy, seizure or attachment shall not be set aside, bonded or discharged within thirty (30) days after the date thereof; or

 

        (i)    The
suspension of all or any substantial portion of the normal business operations of the Company and its Subsidiaries (taken as a whole) for any period in excess of ten
(10) consecutive days; or 

        (j)    Any
liquidation, dissolution or winding up of the Company and its Subsidiaries (taken as a whole) or its business; or 

        (k)   Any
prepayment under any of the other Notes issued pursuant to the Purchase Agreement unless, simultaneously with such prepayment, the Company makes a prepayment under
this Note equal (on a percentage basis) to the portion of such other Note which is then being prepaid; or 

        (l)    The
occurrence of any "Event of Default" under and as defined in any of the other Notes issued pursuant to the Purchase Agreement. 

        7.    Consequences of an Event of Default.    

        (a)    Non-Payment; Bankruptcy.    If there shall occur any Event of Default
specified in subsections (a), (b) or (c) of Section 6 hereof, the unpaid Principal balance of this Note and all accrued Interest thereon shall be immediately due and payable,
without presentment, demand, protest or notice of any kind, all of which are expressly waived. 

        (b)    Other Defaults.    If any other Event of Default shall occur, the Holder may, at its
option, by written notice to the Company, declare the entire unpaid Principal balance of this Note and all accrued Interest thereon due and payable, and the same shall thereupon become immediately due
and payable without presentment, demand, protest or (except as expressly required hereby) notice of any kind, all of which are expressly waived. 

        (c)    Financial Statements.    Upon the occurrence and during the continuance of any Event of
Default, upon the request of the Holder, the Company shall provide to the Holder monthly financial statements of the Company within fifteen (15) days after the end of each month. 

        8.    Restrictions on Sale and Transfer.    Until thirty (30) days after the expiration of the
Post-Closing Commitment, the Holder may not assign or transfer this Note or any right or obligation hereunder. After such date, this Note may only be transferred in amounts of at least
$1,000,000 and upon fifteen (15) days prior written notice to the Company. Neither this Note nor any interest or participation herein may be assigned or transferred to Hologic, Inc.,
General Electric Medical Systems, Philips Medical Systems, Ethicon Endo-Surgery, Inc. or Siemens Medical Solutions; to any other business or entity which directly or indirectly
engages in the business of developing, designing, manufacturing, supplying and/or distributing diagnostic medical imaging products competitive with any of the Company's then current product lines; to
Morgan Nields or any business or entity in which he is employed or is otherwise involved or has a greater than 5% ownership interest; or to any Affiliate of any of the foregoing. Notwithstanding the
foregoing, the Holder shall be entitled to transfer all or any portion of this Note to its Affiliates or to make a distribution of all or any portion of the Notes to its members. 

        9.    Payment; Delivery.    Any check, draft, money order or other instrument given in payment of all or any portion
hereof may be accepted by the Holder and handled in collection in the customary manner, but the same shall not constitute payment hereunder or diminish any rights of the Holder except to the extent
that actual cash proceeds of such instrument are unconditionally received by the Holder. 

        10.    Compliance with Applicable Law.    It is expressly stipulated and agreed to be the intent of Company and Holder
at all times to comply with the Applicable Law in connection with this Note. All sums paid or agreed to be paid to the Holder for the use, forbearance or detention of the indebtedness

 
evidenced hereby shall, to the extent permitted by Applicable Law, be amortized, prorated, allocated and spread throughout the full term of such indebtedness until payment in full so that the rate or
amount of interest on account of such indebtedness does not exceed the applicable usury ceiling. 

        11.    Notices.    Any notice under this Note must be in writing, and shall be given or served, unless otherwise
expressly provided herein, by depositing the same in the United States Mail, postpaid and certified and addressed to the party to be notified, with return receipt requested, or by delivering the same
by courier or in person to such party (or, if the party or parties to be notified be incorporated, to an officer of such party), or by e-mail to the e-mail address set forth
below. Notice deposited in the mail, postpaid and certified with return receipt requested, shall be deemed received and effective upon the deposit in a proper United States depository. Notice given in
any other manner shall be effective only if and when received by the party to be notified. For the purposes of notice, the addresses of the parties for the receipt of notice hereunder are: 

If to the Company:

Fischer Imaging Corporation

12300 N. Grant Street

Denver, CO 80241

Attention: Harris Ravine 

Tel
No.:(303) 450-4370

Fax No.: (303) 252-4256 

If to the Holder:

ComVest Investment Partners II LLC

One North Clematis, Suite 300

West Palm Beach, FL 33401

Attention: Carl Kleidman 

Tel
No.: (561) 868-6070

E-mail: carlk@comvest.com 

        Any
party shall have the right from time to time, and at any time, to change its address for the receipt of notice by giving at least five (5) days' prior written notice of the
change of its address to the other parties in the manner specified herein. 

        12.    Entire Agreement.    This Note, those documents expressly referred to herein and other documents of even date
herewith embody the complete agreement and understanding between the parties and supersede and preempt any prior understandings, agreements or representations by or between the parties, written or
oral, which may have related to the subject matter hereof in any way. 

        13.    Severability.    Whenever possible, each provision of this Note will be interpreted in such manner as to be
effective and valid under applicable law, but if any provision of this Note is held by a court of competent jurisdiction to be invalid, illegal or unenforceable in any respect under any applicable
law, such provision shall thereupon be deemed modified to the extent necessary to render same valid, or excised from this Note, as the situation may require, and this Note shall be construed and
enforced as if such provision had been included herein as so modified in scope or application, or had not been included herein, as the case may be. 

        14.    Governing Law; Jurisdiction; Waiver of Jury Trial.    The provisions of this Note shall be governed by and
construed in accordance with the laws of the State of New York, without giving effect to any choice of law or conflict of law rules or provisions. The Company hereby irrevocably consents to the
jurisdiction of all courts (state and federal) sitting in the State of New York in connection with any claim, action or proceeding relating to or for collection or enforcement of this Note, and hereby
waives any defense of inconvenient forum or other such claim or defense in respect of the lodging of any such

 
claim, action or proceeding in any such court. THE COMPANY HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY CLAIM, ACTION OR PROCEEDING RELATING TO OR FOR THE COLLECTION OR ENFORCEMENT OF
THIS NOTE. 

        15.    Counterparts.    This Note may be executed in multiple counterparts, each of which is deemed to be an original
and all of which taken together constitute one and the same agreement. 

        16.    Miscellaneous.    No delay or failure by the Holder in exercising any right, power, privilege, or remedy shall
be deemed to be a waiver of the same or any part thereof; nor shall any single or partial exercise thereof or any failure to exercise the same in any instance preclude any future exercise thereof, or
the exercise of any other right, power, privilege or remedy, and the rights and remedies provided for hereunder are cumulative and not exclusive of any other right or remedy available at law or in
equity. Neither any provision of this Note nor any performance hereunder may be amended or waived except pursuant to an agreement in writing signed by the party against whom enforcement thereof is
sought. Except as otherwise expressly provided in this Note, the Company hereby waives diligence, demand, presentment for payment, protest, dishonor, nonpayment, default, and notice of any and all of
the foregoing. All amounts payable hereunder shall be payable without relief under any applicable valuation and appraisement laws. The Company hereby expressly agrees that this Note, and/or any
payment hereunder, may be extended, modified or subordinated (by forbearance or otherwise) from time to time, without in any way affecting the liability of the Company hereunder. 

        17.    Collection Costs.    In the event that the Holder shall, after the occurrence of an Event of Default, turn this
Note over to an attorney for collection, the Company shall further be liable for and shall pay to the Holder all collection costs and expenses incurred by the Holder, including reasonable attorneys'
fees and expenses; and the Holder may take judgment for all such amounts in addition to all other sums payable hereunder. 

	 	 	FISCHER IMAGING CORPORATION
	

 	
 	

By:	

 
	 	 	 	

	 	 	Name: Harris Ravine

Title: President and Chief Executive Officer

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Exhibit 10.24  

No. WC-1  

        THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT") OR UNDER THE SECURITIES LAWS OF ANY STATE OR JURISDICTION AND
MAY NOT BE SOLD, OFFERED FOR SALE OR OTHERWISE TRANSFERRED UNLESS REGISTERED OR QUALIFIED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR UNLESS THE COMPANY RECEIVES AN OPINION, IN REASONABLY
ACCEPTABLE FORM AND SCOPE, OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY, THAT REGISTRATION, QUALIFICATION OR OTHER SUCH ACTIONS ARE NOT REQUIRED UNDER ANY SUCH LAWS. 

FISCHER IMAGING CORPORATION  

 
 

WARRANT TO PURCHASE SHARES OF COMMON STOCK
  (Expires February 22, 2010)    
    

	Warrant No. WC-1	 	2,000,000 Shares of Common Stock

        FOR
VALUE RECEIVED, subject to the provisions set forth below, the undersigned, Fischer Imaging Corporation, a Delaware corporation (the
"Company"), hereby certifies that ComVest Investment Partners II LLC, a Delaware limited liability company or its registered assigns (the
"Holder"), is entitled to purchase from the Company up to two million (2,000,000) fully paid and non-assessable shares (the
"Warrant Shares") of the Company's common stock, $0.01 par value per share (the "Common Shares"), for
cash at a price of four dollars and twenty five cents ($4.25) per share (the "Exercise Price") at any time from and after August 23, 2005 (the
"Exercise Date") and until 5:00 p.m. (Mountain time) on February 22, 2010 (the "Expiration
Date") upon surrender to the Company at its principal office (or at such other location as the Company may advise the Holder in writing) of this Warrant properly endorsed with
the Notice of Exercise attached hereto duly filled in and signed and, if applicable, upon payment in cash or by check of the aggregate Exercise Price for the number of shares for which this Warrant is
being exercised determined in accordance with the provisions hereof. The Exercise Price and the number of shares purchasable hereunder are subject to adjustment as provided in Section 3 of this
Warrant. 

1.     Exercise of Warrant. 

        1.1    Exercise.    This Warrant shall be exercisable from the Exercise Date until the
Expiration Date, and this Warrant shall expire on the Expiration Date. Upon exercise of this Warrant, the Exercise Price shall be payable in cash or check. This Warrant may be exercised in whole or in
part so long as any exercise in part hereof would not involve the issuance of fractional Warrant Shares. If exercised in part, the Company shall deliver to the Holder a new Warrant, identical in form,
in the name of the Holder, evidencing the right to purchase the number of Warrant Shares as to which this Warrant has not been exercised, which new Warrant shall be signed by an appropriate officer of
the Company. The term "Warrant" as used herein shall include any subsequent Warrant issued as provided herein. 

        1.2    Exercise Procedures; Delivery of Certificate.    Upon surrender of this Warrant with a
duly executed Notice of Exercise in the form of Annex A attached hereto, together with payment of the Exercise Price for the Warrant Shares purchased,
at the Company's principal executive offices (the "Designated Office"), the Holder shall be entitled to receive a certificate or certificates for the
Warrant Shares so purchased. The Company agrees that the Warrant Shares shall be deemed to have been issued to the Holder as of the close of business on the

 
date on which this Warrant shall have been surrendered together with the Notice of Exercise and payment for such Warrant Shares. 

        1.3    Cashless Exercise.    In lieu of payment of the Exercise Price, a Holder may exercise
this Warrant, in whole or in part, by presentation and surrender of this Warrant to the Company, together with a Cashless Exercise Form attached hereto as Annex
B (or a reasonable facsimile thereof) duly executed (a "Cashless Exercise"). Acceptance by the Company of such presentation and surrender shall be deemed a waiver of the
Holder's obligation to pay all or any portion of the Exercise Price, as the case may be. In the event of a Cashless Exercise, the Holder shall exchange this Warrant for that number of Common Shares
determined by multiplying the number of Common Shares for which this Warrant is being exercised by a fraction, the numerator of which shall be the difference between the then current market price per
Common Share and Exercise Price, and the denominator of which shall be the then current market price per Common Share. For purposes of any computation under this Section l.3, the then current
market price per Common Share at any date shall be deemed to be the average for the ten (10) consecutive business days immediately prior to the Cashless Exercise of the daily closing prices of
the Common Shares on the principal national securities exchange on which the Common Shares are admitted to trading or listed, or if not listed or admitted to trading on any such exchange, the last
reported sales prices as included for quotation on Nasdaq, or if not included for quotation on Nasdaq, the average of the highest reported bid and lowest reported asked prices as reported by the
National Association of Securities Dealers, Inc. Automated Quotations System, or if not then publicly traded, the fair market price of the Common Shares as determined, in good faith, by the
Board of Directors of the Company. 

2.     Transfer; Issuance of Stock Certificates; Restrictive Legends. 

        2.1    Transfer.    Each transfer of this Warrant and all rights hereunder, in whole or in
part, shall be registered on the books of the Company to be maintained for such purpose, upon surrender of this Warrant at the Designated Office, together with a written assignment of this Warrant in
the form of Annex C attached hereto duly executed by the Holder or its agent or attorney. Upon such surrender and delivery, the Company shall execute
and deliver a new Warrant or Warrants in the name of the assignee or assignees and in the denominations specified in such instrument of assignment, and shall issue to the assignor a new Warrant
evidencing the portion of this Warrant not so assigned, if any. A Warrant may be exercised by the new Holder for the purchase of Warrant Shares without having a new Warrant issued. Prior to due
presentment for registration of transfer thereof, the Company may deem and treat the registered Holder of this Warrant as the absolute owner hereof (notwithstanding any notations of ownership or
writing thereon made by anyone other than a duly authorized officer of the Company) for all purposes and shall not be affected by any notice to the contrary. All Warrants issued upon any assignment of
Warrants shall be the valid obligations of the Company, evidencing the same rights, and entitled to the same benefits as the Warrants surrendered upon such registration of transfer or exchange. 

        2.2    Stock Certificates.    Certificates for the Warrant Shares shall be delivered to the
Holder within three (3) business days after the rights represented by this Warrant shall have been exercised pursuant to Section 1, and a new Warrant representing the shares of Common
Shares, if any, with respect to which this Warrant shall not then have been exercised shall also be issued to the Holder within such time. The issuance of certificates for Warrant Shares upon the
exercise of this Warrant shall be made without charge to the Holder hereof including, without limitation, any documentary, stamp or similar tax that may be payable in respect thereof;  provided, however,
that the Company shall not be required to pay any income tax to

 
which the Holder hereof may be subject in connection with the issuance of this Warrant or the Warrant Shares. 

        2.3    Restrictive Legend.    Except as otherwise provided in this Section 2, each
certificate for Warrant Shares initially issued upon the exercise of this Warrant and each certificate for Warrant Shares issued to any subsequent transferee of any such certificate, shall be stamped
or otherwise imprinted with a legend in substantially the following form: 

"THESE
SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF A REGISTRATION STATEMENT IN
EFFECT WITH RESPECT TO THE SECURITIES UNDER SUCH ACT OR AN OPINION IN FORM AND FROM COUNSEL REASONABLY SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED." 

        Notwithstanding
the foregoing, the legend requirements of this Section 2.3 shall terminate as to any particular Warrant Shares when (i) the Warrant Shares are transferred
pursuant to an effective resale registration statement, as contemplated in the Registration Rights Agreement between the Company and the Holder of even date herewith, or (ii) the Company shall
have received from the Holder thereof an opinion of counsel in form and substance reasonably acceptable to the Company that such legend is not required in order to ensure compliance with the
Securities Act. Whenever the restrictions imposed by this Section 2.3 shall terminate, the Holder or subsequent transferee, as the case may be, shall be entitled to receive from the Company
without cost to such Holder or transferee a certificate for the Warrant Shares without such restrictive legend. 

3.     Adjustment of Number of Shares; Exercise Price; Nature of Securities lssuable Upon Exercise of Warrants.  

        3.1    Exercise Price; Adjustment of Number of Shares.    The Exercise Price and the number of
shares purchasable hereunder shall be subject to adjustment from time to time as hereinafter provided; provided, however, that, notwithstanding the
below, in no case shall the Exercise Price be reduced to below the par value of the class of stock for which this Warrant is exercisable at such time. 

        3.2    Adjustments Upon Distribution, Subdivision or Combination.    If the Company, at any
time or from time to time after the issuance of this Warrant, shall (i) make a dividend or distribution on its shares of Common Stock payable in shares of Common Stock, (ii) subdivide or
reclassify the outstanding shares of Common Stock into a greater number of shares, or (iii) combine or reclassify the outstanding shares of Common Stock into a smaller number of shares, the
Exercise Price in effect at that time and the number of Warrant Shares into which the Warrant is exercisable at that time shall be proportionately adjusted effective as of the record date for the
dividend or distribution or the effective date of the subdivision, combination or reclassification. 

        3.3    Adjustment Upon Other Distributions.    If the Company, at any time or from time to
time after the issuance of this Warrant, makes a distribution to the holders of the Common Stock payable in securities of the Company other than shares of Common Stock, then, in each such event,
provision shall be made so that the Holder shall receive upon exercise of the Warrant, in addition to the number of Warrant Shares, the amount of such securities of the Company which would have been
received if the portion of the Warrant so exercised had been exercised for Warrant Shares on the date of such event, subject to adjustments subsequent to the date of such event with respect to such
distributed securities which shall be on terms as

 
nearly equivalent as practicable to the adjustments provided in this Section 3 and all other adjustments under this Section 3. 

        3.4    Adjustment Upon Merger, Consolidation or Exchange.    If at any time or from time to
time after the issuance of this Warrant there is any merger, consolidation, arrangement or statutory share exchange of the Company with or into any other person or company, then, in each such event,
provision shall be made so that the Holder shall receive upon exercise of the Warrant the kind and amount of shares and other securities and property (including cash) which would have been received
upon such merger, consolidation, arrangement or statutory share exchange by the Holder if the portion of the Warrant so exercised had been exercised for Warrant Shares immediately prior to such
merger, consolidation, arrangement or statutory share exchange, subject to adjustments for events subsequent to the effective date of such merger, consolidation, arrangement or statutory share
exchange with respect to such shares and other securities which shall be on terms as nearly equivalent as practicable to the adjustments provided in this Section 3 and all other adjustments
under this Section 3. 

        3.5    Adjustments for Recapitalization or Reclassification.    If, at any time or from time
to time after the issuance of this Warrant, the Warrant Shares issuable upon exercise of the Warrant are changed into
the same or a different number of securities of any class of the Company, whether by recapitalization, reclassification or otherwise (other than a merger, consolidation, arrangement or statutory share
exchange provided for elsewhere in this Section 3), then, in each such event, provision shall be made so that the Holder shall receive upon exercise of the Warrant the kind and amount of
securities or other property which would have been received in connection with such recapitalization, reclassification or other change by the Holder if the portion of the Warrant so exercised had been
exercised immediately prior to such recapitalization, reclassification or change, subject to adjustments for events subsequent to the effective date of such recapitalization, reclassification or other
change with respect to such securities which shall be on terms as nearly equivalent as practicable to the adjustments provided in this Section 3 and all other adjustments under this
Section 3. 

        3.6    Extraordinary Dividends or Distributions.    If, at any time or from time to time after
the issuance of this Warrant, the Company shall declare a dividend or any other distribution upon the Common Stock payable otherwise than out of current earnings, retained earnings or earned surplus
and otherwise than in shares of Common Stock, then the Exercise Price in effect immediately prior to such declaration shall be reduced by an amount equal, in the case of a dividend or distribution in
cash, to the amount thereof payable per share of Common Stock or, in the case of any other dividend or distribution, to the value thereof per share of Common Stock at the time such dividend or
distribution was declared, as determined by the Board of Directors of the Company in good faith. Such reductions shall take effect as of the date on which a record is taken for the purposes of the
subject dividend or distribution, or, if a record is not taken, the date as of which the holders of record of Common Stock entitled to such dividend or distribution are to be determined. 

        3.7    Adjustment Upon Issuance of Shares of Common Stock Below Exercise Price.    

        (a)   If
the Company, at any time or from time to time, issues or sells any Additional Shares of Common Stock (as defined below), other than as provided in the foregoing
subsections of this Section 3, for a price per share (which, in the case of options, warrants, convertible securities or other rights, includes the amounts paid therefor plus the exercise
price, conversion price or other such amounts payable thereunder) that is less than the then applicable Exercise Price, then and in each such case, the then applicable Exercise Price shall
automatically be reduced as of the opening of business on the date of such issue or sale, to a price determined by multiplying the Exercise Price by a fraction (i) the numerator of which

 
shall be (A) the number of shares of Common Stock deemed outstanding (as determined below) immediately prior to such issue or sale, plus (B) the number of shares of Common Stock which
the aggregate consideration received by the Company for the total number of Additional Shares of Common Stock so issued would purchase at such Exercise Price, and (ii) the denominator of which
shall be the number of shares of Common Stock deemed outstanding (as defined below) immediately prior to such issue or sale plus the total number of Additional Shares of Common Stock so issued;  provided,
however, that upon the expiration or other termination of options, warrants, or other rights to purchase or acquire shares of Common Stock,
and upon the expiration or termination of the right to convert or exchange convertible or exchangeable securities (whether by reason of redemption or otherwise), if any thereof shall not have been
exercised, converted or exchanged, as applicable, the number of shares of Common Stock deemed to be outstanding pursuant to this Section 3.7(a) shall be reduced by the number of shares as to
which options, warrants, and rights to purchase or acquire shares of Common Stock shall have expired or terminated unexercised, and as to which conversion or exchange rights shall have expired or
terminated unexercised, and such number of shares shall no longer be deemed to be outstanding; and the Exercise Price then in effect shall forthwith be readjusted and thereafter be the price that it
would have been had adjustment been made on the basis of the issuance only of the shares of Common Stock actually issued. For purposes of the preceding sentence, the number of shares of Common Stock
deemed to be outstanding as of a given date shall be the sum of (A) the number of shares of Common Stock actually outstanding, (B) the number of Shares for which the Warrant could be
exercised on the day immediately preceding the given date, and (C) the number of shares of Common Stock which could be obtained through the exercise or conversion of all other rights, options
and convertible securities outstanding on the day immediately preceding the given date. "Additional Shares of Common Stock" shall mean all shares of
Common Stock, and all options, warrants, convertible securities or other rights to purchase or acquire shares of Common Stock, issued by the Company other than (A) shares of Common Stock and/or
options, warrants or other Common Stock purchase rights for up to an aggregate of 300,000 shares of Common Stock (such number to be subject to adjustment in accordance with Section 3.2 above),
where such options, warrants or other rights are issued both (i) with exercise prices per share of Common Stock at the then-current fair market value of a share of Common Stock, as
determined in good faith by the Board of Directors of the Company or the Compensation Committee thereof, and (ii) to employees, officers or directors of, or consultants to, the Company or any
subsidiary pursuant to stock purchase or stock option plans or other arrangements that are approved by the Company's Board of Directors or the Compensation Committee and (B) shares of Common
Stock issued pursuant to the exercise of options, warrants or convertible securities outstanding as of the date hereof. 

        (b)   In
the event that the exercise price, conversion price, purchase price or other price at which shares of Common Stock are purchasable pursuant to any options, warrants,
convertible securities or other rights to purchase or acquire Common Stock is reduced at any time or from time to time (other than under or by reason of provisions designed to protect against
dilution), then, upon such reduction becoming effective, the Exercise Price then in effect hereunder shall forthwith be decreased to such Exercise Price as would have been obtained had the adjustments
made and required under this Section 3.7 upon the issuance of such options, warrants, convertible securities or other rights been made upon the basis of (and the total consideration received
therefor) (A) the issuance of the number of shares of Common Stock theretofore actually delivered upon the exercise, conversion or exchange of such options, warrants, convertible securities or
other rights, (B) the issuance of all of the Common Stock and all other options, warrants, convertible securities and other rights to purchase or acquire Common Stock issued after the issuance
of the modified options, warrants, convertible

 
securities or other rights, and (C) the original issuance at the time of the reduction of any such options, warrants, convertible securities or other rights then still outstanding. 

        (c)   In
no event shall an adjustment under this Section 3.7 be made if it would result in an increase in the then applicable Exercise Price. 

        3.8    Notice of Adjustment.    Whenever the Exercise Price is adjusted, the Company shall
promptly deliver to the Holder a certificate of adjustment, setting forth the Exercise after adjustment, a brief statement of the facts requiring the adjustment and the computation by which the
adjustment was made. The certificate of adjustment shall be conclusive evidence of the correctness of the adjustment. 

        3.9    Successive Adjustments.    The provisions of this Section 3 shall be applicable
successively to each event described herein which may occur subsequent to the issuance of this Warrant and prior to the exercise in full of this Warrant. 

        4.    Registration; Exchange and Replacement of Warrant; Reservation of Shares.    The Company shall keep at the
Designated Office a register in which the Company shall provide for the registration, transfer and exchange of this Warrant. The Company shall not at any time, except upon the dissolution, liquidation
or winding-up of the Company, close such register so as to result in preventing or delaying the exercise or transfer of this Warrant. 

        The
Company may deem and treat the person in whose name this Warrant is registered as the Holder and owner hereof for all purposes and shall not be affected by any notice to the
contrary, until presentation of this Warrant for registration or transfer as provided in this Section 4. 

        Upon
receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant and (in case of loss, theft or destruction) of
indemnity satisfactory to it, and (in the case of mutilation) upon surrender and cancellation of this Warrant, the Company will (in the absence of notice to the Company that the Warrant has been
acquired by a bona fide purchaser) make and deliver a new Warrant of like tenor, in lieu of this Warrant without requiring the posting of any bond or the giving of any security. 

        The
Company shall at all times reserve and keep available out of its authorized shares of capital stock, solely for the purpose of issuance upon the exercise of this Warrant, such number
of shares of Common Shares as shall be issuable upon the exercise hereof. The Company covenants and agrees that, upon exercise of this Warrant and payment of the Exercise Price therefor, if
applicable, all Warrant Shares issuable upon such exercise shall be duly and validly authorized and issued, fully paid and non-assessable. 

        5.    Investment Representations.    The Holder, by accepting this Warrant, covenants and agrees that, at the time of
exercise of this Warrant, the securities acquired by the Holder upon exercise hereof are for the account of the Holder or are being acquired for its own investment and account and are not acquired
with a view to, or for sale in connection with, any distribution thereof (or any portion thereof) and with no present intention (at any such time) of offering and distributing such securities (or any
portion thereof), except in compliance with applicable federal and state securities laws. 

        6.    Fractional Warrants and Fractional Shares.    If the number of Warrant Shares purchasable upon the exercise of
this Warrant is adjusted pursuant to Section 3 hereof, the Company shall nevertheless not be required to issue fractions of shares, upon exercise of this Warrant or otherwise, or to distribute
certificates that evidence fractional shares. With respect to any fraction of a share called for upon any exercise hereof, the Company shall pay to the Holder an amount in cash equal to such fraction
multiplied by the current market value of such fractional share as may be prescribed, in good faith, by the Board of Directors of the Company.

 

        7.    Warrant Holders Not Deemed Stockholders.    No Holder of this Warrant shall, as such, be entitled to vote or to
receive dividends or be deemed the holder of Warrant Shares that may at any time be issuable upon exercise of this Warrant, nor shall anything contained herein be construed to confer upon the Holder
of this Warrant, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or
to give or withhold consent to any corporate action (whether upon any recapitalization, issue or reclassification of stock, change of par value or change of stock to no par value, consolidation,
merger or conveyance or otherwise), or to receive notice of meetings, or subscription rights, until such Holder shall have exercised this Warrant and been issued Warrant Shares or deemed to have been
issued Warrant Shares in accordance with the provisions hereof. 

        8.    Sales of Company Securities.    The Holder agrees that for a period of three (3) years from the date of
this Warrant, it will not, and will cause its Affiliates not to, sell short, sell short against the box, engage in any other similar derivative transactions or otherwise effect any sales of securities
of the Company except for sales which are covered through the delivery of the Warrant Shares. 

        9.    Notices.    Any notice which is required to be given by this Warrant must be in writing, and shall be given or
served, unless otherwise expressly provided herein, by depositing the same in the United States Mail, postpaid and certified and addressed to the party to be notified, with return receipt requested,
or by delivering the same by courier or in person to such party (or, if the party or parties to be notified be incorporated, to an officer of such party). Notice deposited in the mail, postpaid and
certified with return receipt requested, shall be deemed received and effective upon the deposit in a proper United States depository. Notice given in any other manner shall be effective only if and
when received by the party to be notified. For the purposes of notice, the addresses of the parties for the receipt of notice hereunder are: 

If to the Company:

Fischer
Imaging Corporation

12300 N. Grant Street

Denver, CO 80241

Attention: Harris Ravine 

Tel
No.: (303) 450-4370

Fax No.: (303) 252-4256 

If to the Holder:

ComVest
Investment Partners II LLC

One North Clematis, Suite 300

West Palm Beach, Florida 33401

ATTENTION: Carl Kleidman 

Telephone:
(561) 868-6070

e-mail: carlk@comvest.com 

        Any
party shall have the right from time to time, and at any time, to change its address for the receipt of notice by giving at least five (5) days' prior written notice of the
change of its address to the other parties in the manner specified herein. 

        10.    Successors.    All the covenants, agreements, representations and warranties contained in this Warrant shall
bind the parties hereto and their respective heirs, executors, administrators, distributees, successors, assigns and transferees.

 

        11.    Law Governing.    THIS WARRANT SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW
YORK WITHOUT REGARD TO THE CONFLICTS OF LAW PRINCIPLES THEREOF. 

        12.    Entire Agreement; Amendments and Waivers.    This Warrant sets forth the entire understanding of the parties
with respect to the transactions contemplated hereby. The failure of any party to seek redress for the violation or to insist upon the strict performance of any term of this Warrant shall not
constitute a waiver of such term and such party shall be entitled to enforce such term without regard to such forbearance. This Warrant may be amended, and any breach of or compliance with any
covenant, agreement, warranty or representation may be waived, only if the Company has obtained the written consent or written waiver of the Holder, and then such consent or waiver shall be effective
only in the specific instance and for the specific purpose for which given. 

        13.    Severability; Headings.    If any term of this Warrant as applied to any person or to any circumstance is
prohibited, void, invalid or unenforceable in any jurisdiction, such term shall, as to such jurisdiction, be ineffective to the extent of such prohibition or invalidity without in any way affecting
any other term of this Warrant or affecting the validity or enforceability of this Warrant or of such provision in any other jurisdiction. The Section headings in this Warrant have been inserted for
purposes of convenience only and shall have no substantive effect. 

 

        IN
WITNESS WHEREOF, the Company has caused this Warrant to be duly executed as of the 22nd day of February, 2005. 

	 	 	FISCHER IMAGING CORPORATION
 
	

 	
 	

By:	
 	

	 	 	 	 	Name:	Harris Ravine
	 	 	 	 	Title:	President and Chief Executive Officer

  

 
 

ANNEX A    
    

NOTICE OF EXERCISE  

(To be executed upon partial or full

exercise of the within Warrant)  

        The undersigned hereby irrevocably elects to exercise the right to
purchase                        shares of Common Stock of Fischer Imaging Corporation covered by the
within Warrant according to the conditions hereof and herewith makes payment of the Exercise Price of such shares in full in the amount of
$                        . 

	

 	
 	

 	
 	

By:	

 
	 	 	 	 	 	
 (Signature of Registered Holder)
	Dated:	 	 	 	 	 
	 	 	
	 	 	 

 

 
 

ANNEX B    
    

CASHLESS EXERCISE FORM  

(To be executed upon partial or full

exercise of Warrants pursuant to Section 1.3 of the Warrant)  

        The undersigned hereby irrevocably elects to
surrender                        shares of Common Stock of Fischer Imaging Corporation purchasable under the Warrants for
such shares of Common Stock issuable in exchange therefor pursuant to the Cashless Exercise provisions of the within Warrants, as provided for in Section 1.3 of such Warrant. 

        Please
issue a certificate or certificates for such Common Stock in the name of, and pay cash for fractional shares in the name of: 

        (Please
print name, address, and social security number/tax identification number:) 

and,
if said number of shares of Common Stock shall not be all the shares of Common Stock purchasable thereunder, that a new Warrant for the balance remaining of the shares of Common Stock purchasable
under the within Warrants be registered in the name of the undersigned Holder or its transferee as below indicated and delivered to the address stated below. 

	Dated:	    
	 	 

	Name of Warrant Holder or transferee:	 	    
 (Please print)

	Address:	 	    

	Signature:	 	    

        NOTICE:
The signature on this form must correspond with the name as written upon the face of this Warrant in every particular, without alteration or enlargement or any change whatsoever. 

 

 
 

ANNEX C    
    

ASSIGNMENT FORM  

        FOR VALUE RECEIVED the undersigned registered owner of this Warrant hereby sells, assigns and transfers unto the Assignee named below all of the rights of the
undersigned under this Warrant, with respect to the number of shares of Common Stock set forth below: 

	Name and Address of Assignee
 
	 	No. of Shares of Common Stock

	    	 	 
	    	 	 

and
does hereby irrevocably constitute and appoint                        attorney-in-fact to register such transfer onto the books of
Fischer Imaging Corporation maintained for the
purpose, with full power of substitution in the premises. 

	

Dated:	
 	

    
	
 	

Print Name:	

    

	 	 	 	 	Signature:	    

	 	 	 	 	Witness:	    

	NOTICE:	 	The signature on this assignment must correspond with the name as written upon the face of this Warrant in every particular, without alteration or enlargement or any change whatsoever.

QuickLinks

WARRANT TO PURCHASE SHARES OF COMMON STOCK (Expires February 22, 2010)

ANNEX A

ANNEX B

ANNEX C

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