Document:

WCMA Reducing Revolver Loan and Security Agreement

 Exhibit 10.18 
  

			
	Merrill Lynch	  	WCMA® REDUCING REVOLVER – LOAN AND SECURITY AGREEMENT

  
 WCMA REDUCING REVOLVER® LOAN AND SECURITY AGREEMENT NO. 582-07L53 (“Loan Agreement”) dated as of May 18, 2001, between DYNACQ INTERNATIONAL, INC., a corporation organized and existing under the laws of the State of Nevada having its
principal office at 10304 Interstate 10 East, Suite 369, Houston, Texas 77029 (“Customer”), and MERRILL LYNCH BUSINESS FINANCIAL SERVICES INC., a corporation organized and existing under the laws of the State of Delaware having its
principal office at 222 North LaSalle Street, Chicago, IL 60601 (“MLBFS”). 
  
 In accordance with that certain WORKING CAPITAL MANAGEMENT® ACCOUNT AGREEMENT NO. 582-07L53 (“WCMA Agreement”) between Customer and MLBFS’ affiliate, MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED (“MLPF&S”), Customer has
subscribed to the WCMA Program described in the WCMA Agreement. The WCMA Agreement is by this reference incorporated as a part hereof. In conjunction therewith, Customer has requested that MLBFS make a WCMA Reducing Revolver Loan (a “Reducing
Revolver”) to Customer in the amount and upon the terms hereafter specified, and, subject to the terms and conditions hereafter set forth, MLBFS has agreed to provide a Reducing Revolver for Customer. 
  
 A Reducing Revolver is a term credit facility, similar to a conventional term loan, but
funded out of a line of credit under the WCMA Program (“WCMA Line of Credit”) in the amount of the initial loan. With a Reducing Revolver (i) interest will generally be charged each month to Customer’s WCMA account, and, so long as
the WCMA Line of Credit is in effect, paid with an additional loan under the WCMA Line of Credit (i.e., added to the loan balance), (ii) the maximum WCMA Line of Credit will be reduced each month by the amount that would be payable on account of
principal if the Reducing Revolver were a conventional term loan amortized over the same term and in the same manner as the Reducing Revolver, and (iii) Customer will be required to make sufficient payments on account of the Reducing Revolver to
assure that the outstanding balance of the Reducing Revolver does not at any time exceed the Maximum WCMA Line of Credit, as reduced each month. 
  
 Absent a prepayment by Customer, this structure results in required monthly payments for the Reducing Revolver that are substantially the same as the required monthly
payments for a conventional term loan with the same term and amortization. However, unlike most conventional term loans, because is funded out of a line of credit, the Reducing Revolver permits both a prepayment in whole or in part at any time, and,
subject to certain conditions, the reborrowing on a revolving basis of any such prepaid amounts up to the Maximum WCMA Line of Credit, as reduced each month. The structure therefore will enable Customer at its option to use any excess or temporary
cash balances that it may have from time to time to prepay the Reducing Revolver and thereby effectively reduce interest expense on the Reducing Revolver without impairing its working capital. 
  
 Accordingly, and in consideration of the premises and of the mutual covenants of the parties
hereto, Customer and MLBFS hereby agree as follows. 
  

 Article I. 
 DEFINITIONS 
  
 1.1
Specific Terms. In addition to terms defined elsewhere in this Loan Agreement, when used herein the following terms shall have the following meanings: 
  
 (a) “Account Debtor” shall mean any party who is or may become obligated with respect to an Account or Chattel Paper. 
  
 (b) “Additional Agreements” shall mean all agreements, instruments,
documents and opinions other than this Loan Agreement, whether with or from Customer or any other party, which are contemplated hereby or otherwise reasonably required by MLBFS in connection herewith, or which evidence the creation, guaranty or
collateralization of any of the Obligations or the granting or perfection of liens or security interests upon the Collateral or any other collateral for the Obligations. 
  
 (c) “Bankruptcy Event” shall mean any of the following (i) a proceeding under any bankruptcy, reorganization,
arrangement, insolvency, readjustment of debt or receivership law or statute shall be filed or consented to by Customer or any Guarantor, or (ii) any such proceeding shall be filed against Customer or any Guarantor and shall not be dismissed or
withdrawn within sixty (60) days after filing, or (iii) Customer or any Guarantor shall make a general assignment for the benefit of creditors, or (iv) Customer or any Guarantor shall generally fail to pay or admit in writing its inability to pay
its debts as they become due, or (v) Customer or any Guarantor shall be adjudicated a bankrupt or insolvent. 
  
 (d) “Business Day” shall mean any day other than a Saturday, Sunday, federal holiday or other day on which the New York Stock Exchange is
regularly closed. 
  
 (e) “Closing Date” shall mean the
date upon which all conditions precedent to MLBFS’ obligation to make the Loan shall have been met to the satisfaction of MLBFS. 
  
 (f) “Collateral” shall mean all Equipment, Fixtures, Investment Property and Financial Assets of Customer, howsoever arising, whether now owned
or existing or hereafter acquired or arising, and wherever located, together with all parts thereof (including spare parts), all accessories and accessions thereto, all books and records (including computer records) directly related thereto, all
proceeds thereof (including, without limitation, proceeds in the form of Accounts and insurance proceeds), and the additional collateral described in Section 4.6(b) hereof. 
  
 (g) “Commitment Expiration Date” shall mean June 18, 2001. 
  
 (h) “Commitment Fee” shall mean a fee of $53,000.00 due to MLBFS in
connection with this Loan Agreement. 
  
 (i) “Default”
shall mean either an “Event of Default” as defined in Section 4.5 hereof, or an event which with the giving of notice, passage of time, or both, would constitute such an Event of Default. 
  

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 (j) “General Funding Conditions” shall mean each of the following conditions precedent to the
obligation of MLBFS to make the Loan or any Subsequent WCMA Loan hereunder (i) Customer shall have validly subscribed to and continued to maintain the WCMA Account with MLPF&S, and the WCMA Account shall then be reflected as an active
“Commercial” WCMA Account (i.e., one with line of credit capabilities) on MLPF&S’ WCMA computer system, (ii) no Default shall have occurred and be continuing or would result from the making of the Loan or such Subsequent WCMA Loan
by MLBFS, (iii) there shall not have occurred and be continuing any material adverse change in the business or financial condition of Customer or any Guarantor, (iv) all representations and warranties of Customer or any Guarantor herein or in any
Additional Agreements shall then be true and correct in all material respects, (v) MLBFS shall have received this Loan Agreement and all Additional Agreements (including, without limitation, each of the Additional Agreements described in the
definition of “Real Property Funding Condition”), duly executed and filed or recorded where applicable, all of which shall be in form and substance reasonably satisfactory to MLBFS, (vi) the Commitment Fee shall have been paid in full,
(vii) MLBFS shall have received, as and to the extent applicable, copies of invoices, bills of sale, loan payoff letters and/or other evidence reasonably satisfactory to it that the proceeds of the Loan will satisfy the Loan Purpose; (viii) MLBFS
shall have received evidence reasonably satisfactory to it as to the ownership of the Collateral and the perfection and priority of MLBFS’ liens and security interests thereon, as well as the ownership of and the perfection and priority of
MLBFS’ liens and security interests on any other collateral for the Obligations furnished pursuant to any of the Additional Agreements, (ix) MLBFS shall have received evidence reasonably satisfactory to it of the insurance required hereby or by
any of the Additional Agreements, and (x) any additional conditions specified in the “WCMA Reducing Revolver Loan Approval” letter executed by MLBFS with respect to the transactions contemplated hereby shall have been met to the reasonable
satisfaction of MLBFS. 
  
 (k) “Guarantor” shall mean a
person or entity who has either guaranteed or provided collateral for any or all of the Obligations, and “Business Guarantor” shall mean any such Guarantor that is a corporation, partnership, proprietorship, limited liability company or
other entity regularly engaged in a business activity. 
  
 (l)
“Interest Due Date” shall mean the last Business Day of each calendar month during the term hereof (or, if Customer makes special arrangements with MLPF&S, on the last Friday of each calendar month during the term hereof). 

 
 (m) “Interest Rate” shall mean a variable per annum rate equal
to the sum of (i) 2.30% per annum, and (ii) the interest rate from time to time published in the “Money Rates” section of The Wall Street Journal as the “Dealer Commercial Paper” rate for 30-day high-grade unsecured notes sold
through dealers by major corporations (the “30-day Dealer Commercial Paper Rate”). The Interest Rate will change as of the date of publication in The Wall Street Journal of a 30-day Dealer Commercial Paper Rate that is different
from that published on the preceding Business Day. In the event that The Wall Street Journal shall, for any reason, fail or cease to publish the 30-day Dealer Commercial Paper Rate, MLBFS will choose a reasonably comparable index or source to
use as the basis for the Interest Rate. 
  
 (n) “Loan”
shall mean the specific Reducing Revolver by MLBFS to Customer pursuant to this Agreement for the Loan Purpose and in the Loan Amount. 
  

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 (o) “Loan Amount’” shall mean an amount equal to the lesser of (i) 80% of the fair market
value of the Real Property, as determined by the appraisal required to be furnished by Customer to MLBFS pursuant hereto, (ii) the aggregate amount which Customer shall request be advanced by MLBFS on account of the Loan Purpose on the Closing Date,
or (ii) $8,000,000.00. 
  
 (p) “Loan Purpose” shall mean
the purpose for which the proceeds of the Loan will be used, to wit to refinance an existing mortgage loan with G E Capital and the remaining proceeds will be used for expansion and acquisition of additional ambulatory surgery centers. 

 
 (q) “Location of Tangible Collateral” shall mean the address of
Customer set forth at the beginning of this Loan Agreement, together with any other address or addresses set forth on an exhibit hereto as being a Location of Tangible Collateral. 
  
 (r) “Maximum WCMA Line of Credit” shall mean the maximum aggregate line of credit which MLBFS will extend to
Customer subject to the terms and conditions hereof, as the same shall be reduced each month in accordance with the terms hereof. On the Closing Date, the Maximum WCMA Line of Credit will equal the Loan Amount. 
  
 (s) “Obligations” shall mean all liabilities, indebtedness and
other obligations of Customer to MLBFS, howsoever created, arising or evidenced, whether now existing or hereafter arising, whether direct or indirect, absolute or contingent, due or to become due, primary or secondary or joint or several, and,
without limiting the foregoing, shall include interest accruing after the filing of any petition in bankruptcy, and all present and future liabilities, indebtedness and obligations of Customer under this Loan Agreement. 
  
 (t) “Permitted Liens” shall mean with respect to the Collateral (i)
liens for current taxes not delinquent, other non-consensual liens arising in the ordinary course of business for sums not due, and, if MLBFS’ rights to and interest in the Collateral are not materially and adversely affected thereby, any such
liens for taxes or other non-consensual liens arising in the ordinary course of business being contested in good faith by appropriate proceedings, (ii) liens in favor of MLBFS, (iii) liens which will be discharged with the proceeds of the initial
WCMA Loan, (iv) existing liens, if any, upon Accounts, Chattel Paper, Contract Rights, and Inventory of Customer, together with any future purchase money liens upon Inventory of Customer, and (v) any other liens expressly permitted in writing by
MLBFS. 
  
 (u) “Real Properties” shall mean the real
properties and improvements thereon commonly known as 4301 Vista Road, 4301A Vista Road and 4301B Vista Road, Pasadena, Texas 77504. 
  
 (v) “Real Property Funding Condition” shall mean that Customer, at Customer’s expense, shall have furnished or caused to be furnished to
MLBFS all of the following, in form and substance reasonably satisfactory to MLBFS (i) a first mortgage or deed of trust upon each of the Real Properties in favor of MLBFS (including an assignment of rents and a security agreement granting to MLBFS
a first security interest upon all fixtures now or hereafter located upon each of the Real Properties), (ii) if any of the Real Properties are over 25 years old, a Property Condition Report prepared by an engineer selected by MLBFS setting forth any
deferred maintenance on each of the Real Properties and capital improvements required to 

  

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maintain each of the Real Properties during the term of the credit facility being provided by MLBFS, (iii) a Phase 1 Environmental Audit Report on each of
the Real Properties, prepared by an environmental specialist selected by MLBFS, disclosing no conditions that are reasonably unacceptable to MLBFS, (iv) an appraisal of each of the Real Properties prepared by an MAI appraiser selected by MLBFS
demonstrating an aggregate fair market value of not less than $10,000,000.00, and (v) such other agreements, documents and instruments in connection with the Real Properties or MLBFS’ lien thereon as MLBFS or the title insurance company may
reasonably require. 
  
 (w) “Subsequent WCMA Loan” shall
mean each WCMA Loan other than the Loan, including, without limitation, each WCMA Loan to pay accrued interest. 
  
 (x) “Termination Date” shall mean the first to occur of (i) the last Business Day of the one hundred twentieth (120th) full calendar month
following the Closing Date, or (ii) if earlier, the date of termination of the WCMA Line of Credit pursuant to the terms hereof. 
  
 (y) “WCMA Account” shall mean and refer to the Working Capital Management Account of Customer with MLPF&S identified as WCMA Account No.
582-07L53 and any successor Working Capital Management Account of Customer with MLPF&S. 
  
 (z) “WCMA Loan” shall mean each advance made by MLBFS pursuant to the WCMA Line of Credit, including the Loan and each Subsequent WCMA Loan. 
  
 (aa) “WCMA Loan Balance” shall mean an amount equal to the aggregate unpaid principal balance of all WCMA Loans.

  
 1.2 Other Terms. Except as otherwise defined herein,
(i) all terms used in this Loan Agreement which are defined in the Uniform Commercial Code of Illinois (“UCC”) shall have the meanings set forth in the UCC, and (ii) capitalized terms used herein which are defined in the WCMA Agreement
(including, without limitation, “Money Accounts”, “Minimum Money Accounts Balance”, “WCMA Directed Reserve Program” and “WCMA Program”) shall have the meanings set forth in the WCMA Agreement. 
  
 Article II. 
 THE LOAN 
  
 2.1 Commitment. Subject to the terms and conditions hereof, MLBFS hereby agrees to make the Loan to Customer, and Customer hereby agrees to borrow the Loan from MLBFS. Except as otherwise provided in Section 3.1 hereof, the entire
proceeds of the Loan will be disbursed by MLBFS out of the WCMA Line of Credit either directly to the applicable third party or parties on account of the Loan Purpose or to reimburse Customer for amounts directly expended by it for the Loan Purpose,
all as directed by Customer in a Closing Certificate to be executed and delivered to MLBFS prior to the date of funding. 
  
 2.2 Conditions of MLBFS’ Obligation. The Closing Date and MLBFS’ obligations to activate the WCMA Line of Credit, as hereafter set forth,
and make the Loan on the Closing Date are subject to the prior fulfillment of each of the following conditions: (a) not less than two Business Days prior to any requested funding date, MLBFS shall have received a Closing 

  

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Certificate, duly executed by Customer, setting forth, among other things, the amount of the Loan and the method of payment and payee(s) of the proceeds
thereof, (b) after giving effect to the Loan, the WCMA Loan Balance will not exceed either the Maximum WCMA Line of Credit or the Loan Amount. (c) the Commitment Expiration Date shall not then have occurred, and (d) each of the General Funding
Conditions and the Real Property Funding Condition shall then have been met or satisfied to the reasonable satisfaction of MLBFS. 
  
 2.3 Commitment Fee. In consideration of the agreement by MLBFS to extend the Loan and any Subsequent WCMA Loans to Customer in accordance with and
subject to the terms hereof, Customer has paid or shall, on or before the Closing Date pay, the Commitment Fee to MLBFS. Customer acknowledges and agrees that the Commitment Fee has been fully earned by MLBFS, and that it will not under any
circumstances be refundable. 
  
 2.4 Use of Loan Proceeds.
Unless otherwise agreed by MLBFS in writing, the proceeds of the Loan shall be used solely for the Loan Purpose. The Proceeds of each Subsequent WCMA Loan initiated by Customer shall be used by Customer solely for working capital in the ordinary
course of its business, or, with the prior written consent of MLBFS, for other lawful business purposes of Customer not prohibited hereby. Customer agrees that under no circumstances will the proceeds of the Loan or any Subsequent WCMA Loan be
used: (i) for personal, family or household purposes of any person whatsoever, or (ii) to purchase, carry or trade in securities, or repay debt incurred to purchase, carry or trade in securities, whether in or in connection with the WCMA Account,
another account of Customer with MLPF&S or an account of Customer at any other broker or dealer in securities, or (iii) unless otherwise consented to in writing by MLBFS, to pay any amount to Merrill Lynch and Co., Inc., or any of its
subsidiaries, other than Merrill Lynch Bank USA, Merrill Lynch Bank & Trust Co. or any subsidiary of either of them (including MLBFS and Merrill Lynch Credit Corporation). 
  
 Article III. 
 THE WCMA LINE OF CREDIT 
  
 3.1 Activation of
the WCMA Line of Credit. Subject to the terms and conditions hereof, on the Closing Date MLBFS will activate a WCMA Line of Credit for Customer in the Loan Amount. The Loan will be funded out of the WCMA Line of Credit immediately after such
activation (or, if and to the extent otherwise expressly contemplated in the definition of Loan Purpose or otherwise directed in the Closing Certificate and hereafter expressly agreed by MLBFS, all or part of the Loan may be made available as a WCMA
Line of Credit and funded by Customer). 
  
 3.2 Subsequent WCMA
Loans. Subject to the terms and conditions hereof, during the period from and after the Closing Date to the Termination Date: (a) Customer may repay the WCMA Loan Balance in whole or in part at any time without premium or penalty, and request a
re-borrowing of amounts repaid on a revolving basis, and (b) in addition to Subsequent WCMA Loans made automatically to pay accrued interest, as hereafter provided, MLBFS will make such Subsequent WCMA Loans as Customer may from time to time request
or be deemed to have requested in accordance with the terms hereof. Customer may request Subsequent WCMA Loans by use of WCMA Checks, FTS, Visa® charges, wire transfers, or such other means of 

  

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access to the WCMA Line of Credit as may be permitted by MLBFS from time to time, it being understood that so long as the WCMA Line of Credit shall be in
effect, any charge or debit to the WCMA Account which but for the WCMA Line of Credit would under the terms of the WCMA Agreement result in an overdraft, shall be deemed a request by Customer for a Subsequent WCMA Loan. 
  
 3.3 Conditions of Subsequent WCMA Loans. Notwithstanding the
foregoing, MLBFS shall not be obligated to make any Subsequent WCMA Loan, and may without notice refuse to honor any such request by Customer, if at the time of receipt by MLBFS of Customer’s request (a) the making of such Subsequent WCMA Loan
would cause the Maximum WCMA Line of Credit, as reduced pursuant to the provisions of Section 3.6 hereof, to be exceeded, or (b) the Termination Date shall have occurred, or (c) an event shall have occurred and be continuing which shall have caused
any of the General Funding Conditions to not then be met or satisfied to the reasonable satisfaction of MLBFS. The making by MLBFS of any Subsequent WCMA Loan (including, without limitation, the making of a Subsequent WCMA Loan to pay accrued
interest or late charges, as hereafter provided) at a time when any one or more of said conditions shall not have been met shall not in any event be construed as a waiver of said condition or conditions or of any Default, and shall not prevent MLBFS
at any time thereafter while any condition shall not have been met from refusing to honor any request by Customer for a Subsequent WCMA Loan. 
  
 3.4 WCMA Note. Customer hereby promises to pay to the order of MLBFS, at the times and in the manner set forth in this Loan Agreement, or in such
other manner and at such place as MLBFS may hereafter designate in writing (a) the WCMA Loan Balance, (b) interest at the Interest Rate on the outstanding WCMA Loan Balance (computed for the actual number of days elapsed on the basis of a year
consisting of 360 days), from and including the date on which the Loan is made until the date of payment of all WCMA Loans in full, and (c) on demand, all other sums payable pursuant to this Loan Agreement, including, but not limited to, any late
charges. Except as otherwise expressly set forth herein, Customer hereby waives presentment, demand for payment, protest and notice of protest, notice of dishonor, notice of acceleration, notice of intent to accelerate and all other notices and
formalities in connection with this WCMA Note and this Loan Agreement. 
  
 3.5 Interest. (a) An amount equal to accrued interest on the WCMA Loan Balance shall be payable by Customer monthly on each Interest Due Date, commencing with the Interest Due Date occurring in the calendar month in which the Closing
Date shall occur. Unless otherwise hereafter directed in writing by MLBFS on or after the Termination Date, such interest will be automatically charged to the WCMA Account on the applicable Interest Due Date, and, to the extent not paid with free
credit balances or the proceeds of sales of any Money Accounts then in the WCMA Account, as hereafter provided, such interest will be paid by a Subsequent WCMA Loan and added to the WCMA Loan Balance. All interest shall be computed for the actual
number of days elapsed on the basis of a year consisting of 360 days. 
  
 (b) Notwithstanding any provision to the contrary in this Agreement or any of the Additional Agreements, no provision of this Agreement or any of the Additional Agreements shall require the payment or permit the collection of any amount in
excess of the maximum amount of interest permitted to be charged by law (“Excess Interest”) if any Excess Interest is 

  

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provided for, or is adjudicated as being provided for, in this Agreement or any of the Additional Agreements, then. (i) Customer shall not be obligated to
pay any Excess Interest, and (ii) any Excess Interest that MLBFS may have received hereunder or under any of the Additional Agreements shall, at the option of MLBFS, be either applied as a credit against the then WCMA Loan Balance, or refunded to
the payer thereof. 
  
 3.6 Periodic Reduction of Maximum WCMA
Line of Credit. Commencing on the last Business Day of the first full calendar month following the Closing Date, and continuing on the last Business Day of each calendar month thereafter to and including the last Business Day of the one hundred
nineteenth (119th) such calendar month, the Maximum WCMA Line of Credit shall be reduced by an amount equal to one-one hundred eightieth (1/180th) of the Loan Amount per month. Unless the WCMA Line of Credit shall have been earlier terminated
pursuant to the terms hereof, on the last Business Day of the one hundred twentieth (120th) such calendar month, the WCMA Line of Credit shall, without further action of either of the parties hereto, be terminated, Customer shall pay to MLBFS the
entire WCMA Loan Balance, if any, and all other Obligations, and the WCMA Account, at the option of Customer, will either be converted to a WCMA Cash Account (subject to any requirements of MLPF&S) or terminated. No failure or delay on the part
of MLBFS in entering into the WCMA computer system any scheduled reduction in the Maximum WCMA Line of Credit pursuant to this Section shall have the effect of preventing or delaying such reduction. 
  
 3.7 Mandatory Payments. CUSTOMER AGREES THAT IT WILL, WITHOUT DEMAND,
INVOICING OR THE REQUEST OF MLBFS, FROM TIME TO TIME MAKE SUFFICIENT PAYMENTS ON ACCOUNT OF THE WCMA LOAN BALANCE TO ASSURE THAT THE WCMA LOAN BALANCE WILL NOT AT ANY TIME EXCEED THE MAXIMUM WCMA LINE OF CREDIT, AS REDUCED EACH MONTH PURSUANT TO
SECTION 3.6 HEREOF. 
  
 3.8 Method of Making Payments.
All payments required or permitted to be made pursuant to this Loan Agreement shall be made in lawful money of the United States. Unless otherwise hereafter directed by MLBFS, such payments may be made by the delivery of checks (other than WCMA
Checks), or by means of FTS or wire transfer of funds (other than funds from the WCMA Line of Credit) to MLPF&S for credit to the WCMA Account. Payments to MLBFS from funds in the WCMA Account shall be deemed to be made by Customer upon the same
basis and schedule as funds are made available for investment in the Money Accounts in accordance with the terms of the WCMA Agreement. The acceptance by or on behalf of MLBFS of a check or other payment for a lesser amount than shall be due from
Customer, regardless of any endorsement or statement thereon or transmitted therewith, shall not be deemed an accord and satisfaction or anything other than a payment on account, and MLBFS or anyone acting on behalf of MLBFS may accept such check or
other payment without prejudice to the rights of MLBFS to recover the balance actually due or to pursue any other remedy under this Loan Agreement or applicable law for such balance. All checks accepted by or on behalf of MLBFS in connection with
this Loan Agreement are subject to final collection. 
  
 3.9
Irrevocable Instructions to MLPF&S. In order to minimize the WCMA Loan Balance, Customer hereby irrevocably authorizes and directs MLPF&S, effective on the Closing Date and continuing thereafter so long as this Agreement shall be in
effect: (a) to immediately 

  

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and prior to application for any other purpose pay to MLBFS to the extent of any WCMA Loan Balance or other amounts payable by Customer hereunder all
available free credit balances from time to time in the WCMA Account, and (b) if such available free credit balances are insufficient to pay the WCMA Loan Balance and such other amounts, and there are in the WCMA Account at any time any investments
in Money Accounts (other than any investments constituting any Minimum Money Accounts Balance under the WCMA Directed Reserve Program), to immediately liquidate such investments and pay to MLBFS to the extent of any WCMA Loan Balance and such other
amounts the available proceeds from the liquidation of any such Money Accounts. 
  
 3.10 Late Charge. Any payment or deposit required to be made by Customer pursuant to this Loan Agreement or any of the Additional Agreements not paid or made within ten (10) days of the applicable due date
shall be subject to a late charge in an amount equal to the lesser of (a) 5% of the overdue amount, or (b) the maximum amount permitted by applicable law. Such late charge shall be payable on demand, or, without demand, may in the sole discretion of
MLBFS be paid by a Subsequent WCMA Loan and added to the WCMA Loan Balance in the same manner as provided herein for accrued interest with respect to the WCMA Line of Credit. 
  
 3.11 Prepayment. Customer may prepay the Loan and any Subsequent WCMA Loan at any time in whole or in part without
premium or penalty. 
  
 3.12 Option of Customer to
Terminate. Customer will have the option to terminate the WCMA Line of Credit at any time upon written notice to MLBFS. Concurrently with any such termination, Customer shall pay to MLBFS the entire WCMA Loan Balance and all other Obligations.

  
 3.13 Limitation of Liability. MLBFS shall not be
responsible, and shall have no liability to Customer or any other party, for any delay or failure of MLBFS to honor any request of Customer for a WCMA Loan or any other act or omission of MLBFS, MLPF&S or any of their affiliates due to or
resulting from any system failure, error or delay in posting or other clerical error, loss of power, fire, Act of God or other cause beyond the reasonable control of MLBFS, MLPF&S or any of their affiliates unless directly arising out of the
willful wrongful act or active gross negligence of MLBFS. In no event shall MLBFS be liable to Customer or any other party for any incidental or consequential damages arising from any act or omission by MLBFS, MLPF&S or any of their affiliates
in connection with the WCMA Line of Credit or this Loan Agreement. 
  
 3.14 Statements. MLPF&S will include in each monthly statement it issues under the WCMA Program information with respect to WCMA Loans and the WCMA Loan Balance. Any questions that Customer may have with respect to such
information or the Loan should be directed to MLBFS; and any questions with respect to any other matter in such statements or about or affecting the WCMA Program should be directed to MLPF&S. 
  

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 Article IV. 
 GENERAL PROVISIONS 
  
 4.1 Representations and Warranties. 
  
 Customer
represents and warrants to MLBFS that: 
  
 (a) Organization and
Existence. Customer is a corporation, duly organized and validly existing in good standing under the laws of the State of Nevada and is qualified to do business and in good standing in each other state where the nature of its business or the
property owned by it make such qualification necessary, and, where applicable, each Business Guarantor is duly organized, validly existing and in good standing under the laws of the state of its formation and is qualified to do business and in good
standing in each other state where the nature of its business or the property owned by it make such qualification necessary. 
  
 (b) Execution, Delivery and Performance. The execution, delivery and performance by Customer of this Loan Agreement and by Customer and each
Guarantor of such of the Additional Agreements to which it is a party (i) have been duly authorized by all requisite action, (ii) do not and will not violate or conflict with any law or other governmental requirement, or any of the agreements,
instruments or documents which formed or govern Customer or any such Guarantor, and (iii) do not and will not breach or violate any of the provisions of, and will not result in a default by Customer or any such Guarantor under, any other agreement,
instrument or document to which it is a party or by which it or its properties are bound. 
  
 (c) Notices and Approvals. Except as may have been given or obtained, no notice to or consent or approval of any governmental body or authority or other third party whatsoever (including, without limitation,
any other creditor) is required in connection with the execution, delivery or performance by Customer or any Guarantor of such of this Loan Agreement and the Additional Agreements to which it is a party. 
  
 (d) Enforceability. This Loan Agreement and such of the Additional
Agreements to which Customer or any Guarantor is a party are the respective legal, valid and binding obligations of Customer and such Guarantor, enforceable against it or them, as the case may be, in accordance with their respective terms, except as
enforceability may be limited by bankruptcy and other similar laws affecting the rights of creditors generally or by general principles of equity. 
  
 (e) Collateral. Except for any Permitted Liens (i) Customer has good and marketable title to the Collateral, (ii) none of the Collateral is subject
to any lien, encumbrance or security interest, and (iii) upon the filing of all Uniform Commercial Code financing statements executed by Customer with respect to the Collateral in the appropriate jurisdiction(s) and/or the completion of any other
action required by applicable law to perfect its liens and security interests, MLBFS will have valid and perfected first liens and security interests upon all of the Collateral. 
  
 (f) Financial Statements. Except as expressly set forth in Customer’s or any Business Guarantor’s financial
statements, all financial statements of Customer and each 

  

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Business Guarantor furnished to MLBFS have been prepared in conformity with generally accepted accounting principles, consistently applied, are true and
correct in all material respects, and fairly present the financial condition of it as at such dates and the results of its operations for the periods then ended (subject, in the case of interim unaudited financial statements, to normal year-end
adjustments), and since the most recent date covered by such financial statements, there has been no material adverse change in any such financial condition or operation. All financial statements furnished to MLBFS of any Guarantor other than a
Business Guarantor are true and correct in all material respects and fairly represent such Guarantor’s financial condition as of the date of such financial statements, and since the most recent date of such financial statements, there has been
no material adverse change in such financial condition. 
  
 (g)
Litigation. No litigation, arbitration, administrative or governmental proceedings are pending or, to the knowledge of Customer, threatened against Customer or any Guarantor, which would, if adversely determined, materially and adversely
affect the liens and security interests of MLBFS hereunder or under any of the Additional Agreements, the financial condition of Customer or any such Guarantor or the continued operations of Customer or any Business Guarantor. 
  
 (h) Tax Returns. All federal, state and local tax returns, reports and
statements required to be filed by Customer and each Guarantor have been filed with the appropriate governmental agencies and all taxes due and payable by Customer and each Guarantor have been timely paid (except to the extent that any such failure
to file or pay will not materially and adversely affect either the liens and security interests of MLBFS hereunder or under any of the Additional Agreements, the financial condition of Customer or any Guarantor, or the continued operations of
Customer or any Business Guarantor). 
  
 (i) Collateral
Location. All of the tangible Collateral is located at a Location of Tangible Collateral. 
  
 (j) No Outside Broker. Except for employees of MLBFS, MLPF&S or one of their affiliates, Customer has not in connection with the transactions contemplated hereby directly or indirectly engaged or dealt
with, and was not introduced or referred to MLBFS by, any broker or other loan arranger. 
  
 (k) Owner-Occupied. Not less than 35% of the Real Property is regularly occupied for use in a business operated by Customer or one or more entities which are either (i) more than 50% owned and controlled by
Customer or a Guarantor, or (ii) if Customer is an entity, which own and control more than 50% of Customer. 
  
 Each of the foregoing representations and warranties (i) has been and will be relied upon as an inducement to MLBFS to make the Loan and each Subsequent WCMA Loan, and (ii) is continuing and shall be deemed remade by
Customer on the Closing Date, and concurrently with each request by Customer for a Subsequent WCMA Loan. 
  

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 4.2 Financial and Other Information. 
  
 (a) Customer shall furnish or cause to be furnished to MLBFS during the term of this Loan Agreement all of the following:

  
 (i) Annual Financial Statements.
Within 120 days after the close of each fiscal year of Customer, a copy of the annual audited and consolidated financial statements of Customer and the annual audited and consolidated financial statements of each Business Guarantor, including, in
each case, in reasonable detail, a balance sheet and statement of retained earnings as at the close of such fiscal year and statements of profit and loss and cash flow for such fiscal year, 
  
 (ii) Interim Financial Statements. Within 45 days
after the close of each fiscal quarter of Customer, a copy of the interim consolidated financial statements of Customer and each Business Guarantor for such fiscal quarter (including in reasonable detail both a balance sheet as of the close of such
fiscal period, and statement of profit and loss for the applicable fiscal period), 
  
 (iii) Paid Tax Bills. A copy of each real estate tax bill on or issued in connection with the Real Property, together with evidence
of payment of such tax bill, and 
  
 (iv)
Other Information. Such other information as MLBFS may from time to time reasonably request relating to Customer, any Guarantor or the Collateral. 
  
 (b) General Agreements With Respect to Financial Information. Customer agrees that except as otherwise specified herein or otherwise agreed to in
writing by MLBFS (i) all annual financial statements required to be furnished by Customer to MLBFS hereunder will be prepared by either the current independent accountants for Customer or other independent accountants reasonably acceptable to MLBFS,
and (ii) all other financial information required to be furnished by Customer to MLBFS hereunder will be certified as correct in all material respects by the party who has prepared such information, and, in the case of internally prepared
information with respect to Customer or any Business Guarantor, certified as correct by their respective chief financial officer. 
  
 4.3 Other Covenants. Customer further covenants and agrees during the term of this Loan Agreement that: 
  
 (a) Financial Records; Inspection. Customer and each Business
Guarantor will (i) maintain at its principal place of business complete and accurate books and records, and maintain all of its financial records in a manner consistent with the financial statements heretofore furnished to MLBFS, or prepared on such
other basis as may be approved in writing by MLBFS, and (ii) permit MLBFS or its duly authorized representatives, upon reasonable notice and at reasonable times, to inspect its properties (both real and personal), operations, books and records.

  
 (b) Taxes. Customer and each Guarantor will pay when
due all taxes, assessments and other governmental charges, howsoever designated, and all other liabilities and obligations, except to the extent that any such failure to pay will not materially and adversely affect either the liens and security
interests of MLBFS hereunder or under any of the Additional Agreements, the financial condition of Customer or any Guarantor or the continued operations of Customer or any Business Guarantor. 
  

 -12- 

 (c) Compliance With Laws and Agreements. Neither Customer nor any Guarantor will violate any law,
regulation or other governmental requirement, any judgment or order of any court or governmental agency or authority, or any agreement, instrument or document to which it is a party or by which it is bound, if any such violation will materially and
adversely affect either the liens and security interests of MLBFS hereunder or under any of the Additional Agreements, the financial condition of Customer or any Guarantor, or the continued operations of Customer or any Business Guarantor.

  
 (d) No Use of Merrill Lynch Name. Neither Customer nor
any Guarantor will directly or indirectly publish, disclose or otherwise use in any advertising or promotional material, or press release or interview, the name, logo or any trademark of MLBFS, MLPF&S, Merrill Lynch and Co. Incorporated or any
of their affiliates. 
  
 (e) Notification By Customer.
Customer shall provide MLBFS with prompt written notification of (i) any Default, (ii) any materially adverse change in the business, financial condition or operations of Customer or any Business Guarantor, (iii) any information which indicates that
any financial statements of Customer or any Guarantor fail in any material respect to present fairly the financial condition and results of operations purported to be presented in such statements, and (iv) any change in Customers outside accounts.
Each notification by Customer pursuant hereto shall specify the event or information causing such notification, and, to the extent applicable, shall specify the steps being taken to rectify or remedy such event or information. 
  
 (f) Notice of Change. Customer shall give MLBFS not less than 30 days
prior written notice of any change in the name (including any fictitious name) or principal place of business or residence of Customer or any Guarantor. 
  
 (g) Real Estate Expense Deposit. On or before the date of execution hereof by Customer, Customer shall pay to MLBFS a “Real Estate Expense
Deposit” in the amount of $7,000.00. Said deposit, which shall not bear interest and which need not be segregated from other funds of MLBFS, shall be applied by MLBFS on account of the out-of-pocket expenses to third parties incurred in
fulfilling the Real Property Funding Condition. On the final Closing Date, or if this Loan Agreement and any commitment of MLBFS to make the Loan shall for any reason be terminated without a funding of any portion of the Loans, then promptly after
the date of such termination, any unused portion of the Real Estate Expense Deposit shall be refunded to Customer. Nothing herein shall alter the primary liability of Customer to pay or reimburse MLBFS for all of the out-of-pocket expenses to third
parties incurred in fulfilling the Real Property Funding Condition, whether or not the Loan is funded. 
  
 (h) Continuity. Except upon the prior written consent of MLBFS, which consent will not be unreasonably withheld (i) neither Customer nor any
Business Guarantor shall be a party to any merger or consolidation with, or purchase or otherwise acquire all or substantially all of the assets of, or any material stock, partnership, joint venture or other equity interest in, any person or entity,
or sell, transfer or lease all or any substantial part of its assets, if any such action would result in either: (A) a material change in the principal business, ownership or control of Customer or such Business Guarantor, or (B) a material adverse
change in the financial condition or operations of Customer or such Business Guarantor, (ii) Customer and 

  

 -13- 

 
each Business Guarantor shall preserve their respective existence and good standing in the jurisdiction(s) of establishment and operation, (iii) neither
Customer nor any Business Guarantor shall engage in any material business substantially different from their respective business in effect as of the date of application by Customer for credit from MLBFS, or cease operating any such material
business, (iv) nether Customer nor any Business Guarantor shall cause or permit any other person or entity to assume or succeed to any material business or operations of Customer or such Business Guarantor, and (v) neither Customer nor any Business
Guarantor shall cause or permit any material change in its controlling ownership. 
  
 (i) Minimum Tangible Net Worth. Customer’s and Business Guarantors’ (on a consolidated basis) “tangible net worth” shall at all times exceed $15,000,000.00. For the purposes hereof, the term
“tangible net worth” shall mean Customer’s and Business Guarantors’ (on a consolidated basis) net worth as shown on Customer’s and Business Guarantors’ regular consolidated financial statements prepared in a manner
consistent with the terms hereof, but excluding an amount equal to (i) any assets which are ordinarily classified as “intangible” in accordance with generally accepted accounting principles, and (ii) any amounts now or hereafter directly
or indirectly owing to Customer or Business Guarantors by officers, shareholders or affiliates of Customer and Business Guarantors. 
  
 (j) Minimum Net Cash Flow. The “Net Cash Flow” of Customer and Business Guarantors (on a consolidated basis) as of the end of each of its
fiscal years shall not be less than $1,600,000.00. As used herein, “Net Cash Flow” shall mean the (i) the sum of Customer’s and Business Guarantors’ (on a consolidated basis) annual net after-tax income, any non-recurring
expenses, and depredation and similar non-cash charges, less (ii) the sum of the current portion of Customer’s and Business Guarantors’ (on a consolidated basis) long term debt, any non-recurring income, and any dividends or other
distributions to its owners, all as set forth on Customer’s and Business Guarantors’ regular annual consolidated financial statements prepared in a manner consistent with the terms hereof. 
  
 4.4 Collateral. 
  
 (a) Pledge of Collateral. To secure payment and performance of the
Obligations, Customer hereby pledges, assigns, transfers and sets over to MLBFS, and grants to MLBFS first liens and security interests in and upon all of the Collateral, subject only to Permitted Liens. 
  
 (b) Liens. Except upon the prior written consent of MLBFS, Customer
shall not create or permit to exist any lien, encumbrance or security interest upon or with respect to any Collateral now owned or hereafter acquired other than Permitted Liens. 
  
 (c) Performance of Obligations. Customer shall perform all of its obligations owing on account of or with respect to
the Collateral, it being understood that nothing herein, and no action or inaction by MLBFS, under this Loan Agreement or otherwise, shall be deemed an assumption by MLBFS of any of Customer’s said obligations. 
  
 (d) Sales and Collections. So long as no Event of Default shall have
occurred and be continuing, Customer may in the ordinary course of its business (i) sell any Inventory normally held by Customer for sale, (ii) use or consume any materials and supplies normally held by 

  

 -14- 

 
Customer for use or consumption, and (iii) collect all of its Accounts Customer shall take such action with respect to protection of its Inventory and the
other Collateral and the collection of its Accounts as MLBFS may from time to time reasonably request. 
  
 (e) Account Schedules. Upon the request of MLBFS, made now or at any reasonable time or times hereafter, Customer shall deliver to MLBFS, in
addition to the other information required hereunder, a schedule identifying, for each Account and all Chattel Paper subject to MLBFS’ security interests hereunder, each Account Debtor by name and address and amount, invoice or contract number
and date of each invoice or contract Customer shall furnish to MLBFS such additional information with respect to the Collateral, and amounts received by Customer as proceeds of any of the Collateral, as MLBFS may from time to time reasonably
request. 
  
 (f) Alterations and Maintenance. Except upon
the prior written consent of MLBFS, Customer shall not make or permit any material alterations to any tangible Collateral which might materially reduce or impair its market value or utility. Customer shall at all times keep the tangible Collateral
in good condition and repair, reasonable wear and tear excepted, and shall pay or cause to be paid all obligations arising from the repair and maintenance of such Collateral, as well as all obligations with respect to each Location of Tangible
Collateral, except for any such obligations being contested by Customer in good faith by appropriate proceedings. 
  
 (g) Location. Except for movements required in the ordinary course of Customer’s business, Customer shall give MLBFS 30 days’ prior
written notice of the placing at or movement of any tangible Collateral to any location other than a Location of Tangible Collateral. In no event shall Customer cause or permit any material tangible Collateral to be removed from the United States
without the express prior written consent of MLBFS. 
  
 (h)
Insurance. Customer shall insure all of the tangible Collateral under a policy or policies of physical damage insurance providing that losses will be payable to MLBFS as its interests may appear pursuant to a Lender’s Loss Payable
Endorsement and containing such other provisions as may be reasonably required by MLBFS. Customer shall further provide and maintain a policy or policies of comprehensive public liability insurance naming MLBFS as an additional party insured.
Customer and each Business Guarantor shall maintain such other insurance as may be required by law or is customarily maintained by companies in a similar business or otherwise reasonably required by MLBFS. All such insurance policies shall provide
that MLBFS will receive not less than 10 days prior written notice of any cancellation, and shall otherwise be in form and amount and with an insurer or Insurers reasonably acceptable to MLBFS. Customer shall furnish MLBFS with a copy or certificate
of each such policy or policies and, prior to any expiration or cancellation, each renewal or replacement thereof. 
  
 (i) Event of Loss. Customer shall at its expense promptly repair all repairable damage to any tangible Collateral. In the event that any tangible
Collateral is damaged beyond repair, lost, totally destroyed or confiscated (an “Event of Loss”) and such Collateral had a value prior to such Event of Loss of $25,000.00 or more, then, on or before the first to occur of (i) 90 days after
the occurrence of such Event of Loss, or (ii) 10 Business Days after the date on which either Customer or MLBFS shall receive any proceeds of insurance on account of such Event of Loss, or any underwriter of insurance on such Collateral shall advise
either Customer or MLBFS 

  

 -15- 

 
that it disclaims liability in respect of such Event of Loss, Customer shall, at Customers option, either replace the Collateral subject to such Event of
Loss with comparable Collateral free of all liens other than Permitted Liens (in which event Customer shall be entitled to utilize the proceeds of insurance on account of such Event of Loss for such purpose, and may retain any excess proceeds of
such insurance), or permanently prepay the Loan by an amount equal to the actual cash value of such Collateral as determined by either the insurance company’s payment (plus any applicable deductible) or, in absence of insurance company payment,
as reasonably determined by MLBFS, it bang further understood that any such permanent prepayment shall be accompanied by a like permanent reduction in the Maximum WCMA Line of Credit. Notwithstanding the foregoing, if at the time of occurrence of
such Event of Loss or any time thereafter prior to replacement or line reduction, as aforesaid, an Event of Default shall have occurred and be continuing hereunder, then MLBFS may at its sole option, exercisable at any time while such Event of
Default shall be continuing, require Customer to either replace such Collateral or prepay the Loan and reduce the Maximum WCMA Line of Credit, as aforesaid. 
  
 (j) Notice of Certain Events. Customer shall give MLBFS immediate notice of any attachment, lien, judicial process, encumbrance or claim affecting
or involving $25,000.00 or more of the Collateral. 
  
 (k)
Indemnification. Customer shall indemnify, defend and save MLBFS harmless from and against any and all claims, liabilities, losses, costs and expenses (including, without limitation, reasonable attorneys’ fees and expenses) of any nature
whatsoever which may be asserted against or incurred by MLBFS arising out of or in any manner occasioned by (i) the ownership, collection, possession, use or operation of any Collateral, or (ii) any failure by Customer to perform any of its
obligations hereunder, excluding, however, from said indemnity any such claims, liabilities, etc. arising directly out of the willful wrongful act or active gross negligence of MLBFS. This indemnity shall survive the expiration or termination of
this Loan Agreement as to all matters arising or accruing prior to such expiration or termination. 
  
 4.5 Events of Default. The occurrence of any of the following events shall constitute an “Event of Default” under this Loan Agreement.

  
 (a) Failure to Pay. (i) Customer shall fail to deposit
into the WCMA Account an amount sufficient to assure that the WCMA Loan Balance does not exceed the Maximum WCMA Line of Credit, as reduced in accordance with the provisions hereof, or (ii) Customer shall fail to pay to MLBFS or deposit into the
WCMA Account when due any other amount owing or required to be paid or deposited by Customer under this Loan Agreement, or (iii) Customer shall fail to pay when due any other Obligations, and any such failure shall continue for more than five (5)
Business Days after written notice thereof shall have been given by MLBFS to Customer. 
  
 (b) Failure to Perform. Customer or any Guarantor shall default in the performance or observance of any covenant or agreement on its part to be performed or observed under this Loan Agreement or any of the
Additional Agreements (not constituting an Event of Default under any other clause of this Section), and such default shall continue unremedied for ten (10) Business Days after written notice thereof shall have been given by MLBFS to Customer.

  

 -16- 

 (c) Breach of Warranty. Any representation or warranty made by Customer or any Guarantor contained
in this Loan Agreement or any of the other Additional Agreements shall at any time prove to have been incorrect in any material respect when made. 
  
 (d) Default Under Other Agreement. A default or Event of Default by Customer or any Guarantor shall occur under the terms of any other agreement,
instrument or document with or intended for the benefit of MLBFS, MLPF&S or any of their affiliates, and any required notice shall have been given and required passage of time shall have elapsed. 
  
 (e) Bankruptcy Event. Any Bankruptcy Event shall occur. 
  
 (f) Material Impairment. Any event shall occur which shall reasonably
cause MLBFS to in good faith believe that the prospect of full payment or performance by Customer or any Guarantor of any of their respective liabilities or obligations under this Loan Agreement or any of the Additional Agreements to which Customer
or such Guarantor is a party has been materially impaired. The existence of such a material impairment shall be determined in a manner consistent with the intent of Section 1-208 of the UCC. 
  
 (g) Acceleration of Debt to Other Creditors. Any event shall occur
which results in the acceleration of the maturity of any indebtedness of $100,000.00 or more of Customer or any Guarantor to another creditor under any indenture, agreement, undertaking, or otherwise. 
  
 (h) Seizure or Abuse of Collateral. The Collateral, or any material
part thereof, shall be or become subject to any material abuse or misuse, or any levy, attachment, seizure or confiscation which is not released within ten (10) Business Days. 
  
 4.6 Remedies. 
  
 (a) Remedies Upon Default. Upon the occurrence and during the continuance of any Event of Default, MLBFS may at its sole option do any one or more
or all of the following, at such time and in such order as MLBFS may in its sole discretion choose. 
  
 (i) Termination. MLBFS may without notice terminate its obligation to make the Loan (if the Loan has not then been funded),
terminate the WCMA Line of Credit, and terminate any obligation to make any Subsequent WCMA Loan (including, without limitation, any Subsequent WCMA Loan to pay accrued interest) or otherwise extend any credit to or for the benefit of Customer (it
being understood that upon the occurrence of any Bankruptcy Event the WCMA Line of Credit and all such obligations shall automatically terminate without any action on the part of MLBFS), and upon any such termination MLBFS shall be relieved of all
such obligations. 
  
 (ii) Acceleration.
MLBFS may declare the WCMA Loan Balance and all other Obligations to be forthwith due and payable, whereupon all such amounts shall be immediately due and payable, without presentment, demand for payment, protest and notice of protest, notice of
dishonor, notice of acceleration, notice of intent to accelerate or other notice or formality of any kind, all of which are hereby expressly waived, provided, however, that upon the occurrence of any Bankruptcy Event the WCMA Loan 

  

 -17- 

 
Balance and other Obligations shall automatically become due and payable without any action on the part of MLBFS. 
  
 (iii) Exercise Other Rights. MLBFS may exercise any
or all of the remedies of a secured party under applicable law, including, but not limited to, the UCC, and any or all of its other rights and remedies under this Loan Agreement and the Additional Agreements. 
  
 (iv) Possession. MLBFS may require Customer to make
the Collateral and the records pertaining to the Collateral available to MLBFS at a place designated by MLBFS which is reasonably convenient to Customer, or may take possession of the Collateral and the records pertaining to the Collateral without
the use of any judicial process and without any prior notice to Customer. 
  
 (v) Sale. MLBFS may sell any or all of the Collateral at public or private sale upon such terms and conditions as MLBFS may reasonably deem proper. MLBFS may purchase any Collateral at any such public sale. The
net proceeds of any such public or private sale and all other amounts actually collected or received by MLBFS pursuant hereto, after deducting all costs and expenses incurred at any time in the collection of the Obligations and in the protection,
collection and sale of the Collateral, will be applied to the payment of the Obligations, with any remaining proceeds paid to Customer or whoever else may be entitled thereto, and with Customer and each Guarantor remaining jointly and severally
liable for any amount remaining unpaid alter such application. 
  
 (vi) Delivery of Cash, Checks, Etc. MLBFS may require Customer to forthwith upon receipt, transmit and deliver to MLBFS in the form received, all cash, checks, drafts and other instruments for the payment of
money (property endorsed, where required, so that such items may be collected by MLBFS) which may be received by Customer at any time in full or partial payment of any Collateral, and require that Customer not commingle any such items which may be
so received by Customer with any other of its funds or property but instead hold them separate and apart and in trust for MLBFS until delivery is made to MLBFS. 
  
 (vii) Notification of Account. Debtors MLBFS may notify any Account Debtor that its Account or
Chattel Paper has been assigned to MLBFS and direct such Account Debtor to make payment directly to MLBFS of all amounts due or becoming due with respect to such Account or Chattel Paper, and MLBFS may enforce payment and collect, by legal
proceedings or otherwise, such Account or Chattel Paper. 
  
 (viii) Control of Collateral. MLBFS may otherwise take control in any lawful manner of any cash or non-cash items of payment or proceeds of Collateral and of any rejected, returned, stopped in transit or
repossessed goods included in the Collateral and endorse Customer’s name on any item of payment on or proceeds of the Collateral. 
  
 (b) Set-Off. MLBFS shall have the further right upon the occurrence and during the continuance of an Event of Default to set-off, appropriate and
apply toward payment of any of 

  

 -18- 

 
the Obligations, in such order of application as MLBFS may from time to time and at any time elect, any cash, credit, deposits, accounts, financial assets,
investment property, securities and any other property of Customer which is in transit to or in the possession, custody or control of MLBFS, MLPF&S or any agent, bailee, or affiliate of MLBFS or MLPF&S. Customer hereby collaterally assigns
and grants to MLBFS a continuing security interest in all such property as additional Collateral. 
  
 (c) Power of Attorney. Effective upon the occurrence and during the continuance of an Event of Default, Customer hereby irrevocably appoints MLBFS
as its attorney-in-fact, with full power of substitution, in its place and stead and in its name or in the name of MLBFS, to from time to time in MLBFS’ sole discretion lake any action and to execute any instrument which MLBFS may deem
necessary or advisable to accomplish the purposes of this Loan Agreement, including, but not limited to, to receive, endorse and collect all checks, drafts and other instruments for the payment of money made payable to Customer included in the
Collateral. 
  
 (d) Remedies are Severable and Cumulative.
All rights and remedies of MLBFS herein are severable and cumulative and in addition to all other rights and remedies available in the Additional Agreements, at law or in equity, and any one or more of such rights and remedies may be exercised
simultaneously or successively. 
  
 (i)
Notices. To the fullest extent permitted by applicable law, Customer hereby irrevocably waives and releases MLBFS of and from any and all liabilities and penalties for failure of MLBFS to comply with any statutory or other requirement imposed
upon MLBFS relating to notices of sale, holding of sale or reporting of any sale, and Customer waives all rights of redemption or reinstatement from any such sale. Any notices required under applicable law shall be reasonably and property given to
Customer if given by any of the methods provided herein at least 5 Business Days prior to taking action MLBFS shall have the right to postpone or adjourn any sale or other disposition of Collateral at any time without giving notice of any such
postponed or adjourned date. In the event MLBFS seeks to take possession of any or all of the Collateral by court process, Customer further irrevocably waives to the fullest extent permitted by law any bonds and any surety or security relating
thereto required by any statute, court rule or otherwise as an incident to such possession, and any demand for possession prior to the commencement of any suit or action. 
  
 4.7 Miscellaneous. 
  
 (a) Non-Waiver. No failure or delay on the part of MLBFS in exercising any right, power or remedy pursuant to this Loan Agreement or any of the
Additional Agreements shall operate as a waiver thereof, and no single or partial exercise of any such right, power or remedy shall preclude any other or further exercise thereof, or the exercise of any other right, power or remedy. Neither any
waiver of any provision of this Loan Agreement or any of the Additional Agreements, nor any consent to any departure by Customer therefrom, shall be effective unless the same shall be in writing and signed by MLBFS. Any waiver of any provision of
this Loan Agreement or any of the Additional Agreements and any consent to any departure by Customer from the terms thereof shall be effective only in the specific instance and for the specific purpose 

  

 -19- 

 
for which given. Except as otherwise expressly provided herein, no notice to or demand on Customer shall in any case entitle Customer to any other or further
notice or demand in similar or other circumstances. 
  
 (b)
Disclosure. Customer hereby irrevocably authorizes MLBFS and each of its affiliates, including without limitation MLPF&S, to at any time (whether or not an Event of Default shall have occurred) obtain from and disclose to each other any
and all financial and other information about Customer. 
  
 (c)
Communications. All notices and other communications required or permitted hereunder or in connection with any of the Additional Agreements shall be in writing, and shall be either delivered personally, mailed by postage prepaid certified
mail or sent by express overnight courier or by facsimile. Such notices and communications shall be deemed to be given on the date of personal delivery, facsimile transmission or actual delivery of certified mail, or one Business Day after delivery
to an express overnight courier. Unless otherwise specified in a notice sent or delivered in accordance with the terms hereof, notices and other communications in writing shall be given to the parties hereto at their respective addresses set forth
at the beginning of this Loan Agreement, or, in the case of facsimile transmission, to the parties at their respective regular facsimile telephone number. 
  
 (d) Fees, Expenses and Taxes. Customer shall pay or reimburse MLBFS for (i) all Uniform Commercial Code filing and search fees and expenses
incurred by MLBFS in connection with the verification, perfection or preservation of MLBFS’ rights hereunder or in the Collateral or any other collateral for the Obligations, (ii) any and all stamp, transfer and other taxes and fees payable or
determined to be payable in connection with the execution, delivery and/or recording of this Loan Agreement or any of the Additional Agreements, (iii) any and all reasonable fees and out-of-pocket expenses to third parties incurred by MLBFS in
connection with the title insurance, environmental audit, appraisal, survey and other instruments or documents referred to in the definition of Real Property Funding Condition; and (iv) all reasonable fees and out-of-pocket expenses (including, but
not limited to, reasonable fees and expenses of outside counsel) incurred by MLBFS in connection with the collection of any sum payable hereunder or under any of the Additional Agreements not paid when due, the enforcement of this Loan Agreement or
any of the Additional Agreements and the protection of MLBFS’ rights hereunder or thereunder, excluding, however, salaries and normal overhead attributable to MLBFS’ employees. Customer hereby authorizes MLBFS, at its option, to either
cause any and all such fees, expenses and taxes to be paid with a WCMA Loan, or invoice Customer therefor (in which event Customer shall pay all such fees, expenses and taxes within 5 Business Days after receipt of such invoice). The obligations of
Customer under this paragraph shall survive the expiration or termination of this Loan Agreement and the discharge of the other Obligations. 
  
 (e) Right to Perform Obligations. If Customer shall fail to do any act or thing which it has covenanted to do under this Loan Agreement or any
representation or warranty on the part of Customer contained in this Loan Agreement shall be breached, MLBFS may, in its sole discretion, after 5 Business Days written notice is sent to Customer (or such lesser notice, including no notice, as is
reasonable under the circumstances), do the same or cause it to be done or remedy any such breach, and may expend its funds for such purpose. Any and all reasonable 

  

 -20- 

 
amounts so expended by MLBFS shall be repayable to MLBFS by Customer upon demand, with interest at the Interest Rate during the period from and including the
date funds are so expended by MLBFS to the date of repayment, and all such amounts shall be additional Obligations. The payment or performance by MLBFS of any of Customers obligations hereunder shall not relieve Customer of said obligations or of
the consequences of having failed to pay or perform the same, and shall not waive or be deemed a cure of any Default. 
  
 (f) Further Assurances. Customer agrees to do such further acts and things and to execute and deliver to MLBFS such additional agreements,
instruments and documents as MLBFS may reasonably require or deem advisable to effectuate the purposes of this Loan Agreement or any of the Additional Agreements, or to establish, perfect and maintain MLBFS’ security interests and liens upon
the Collateral, including, but not limited to (i) executing financing statements or amendments thereto when and as reasonably requested by MLBFS, and (ii) if in the reasonable judgment of MLBFS it is required by local law, causing the owners and/or
mortgagees of the real property on which any Collateral may be located to execute and deliver to MLBFS waivers or subordinations reasonably satisfactory to MLBFS with respect to any rights in such Collateral. 
  
 (g) Binding Effect. This Loan Agreement and the Additional Agreements
shall be binding upon, and shall inure to the benefit of MLBFS, Customer and their respective successors and assigns. Customer shall not assign any of its rights or delegate any of its obligations under this Loan Agreement or any of the Additional
Agreements without the prior written consent of MLBFS. Unless otherwise expressly agreed to in a writing signed by MLBFS, no such consent shall in any event relieve Customer of any of its obligations under this Loan Agreement or any of the
Additional Agreements. 
  
 (h) Headings. Captions and
section and paragraph headings in this Loan Agreement are inserted only as a matter of convenience, and shall not affect the interpretation hereof. 
  
 (i) Governing Law. This Loan Agreement and, unless otherwise expressly provided therein, each of the Additional Agreements, shall be governed in
all respects by the laws of the State of Illinois. 
  
 (j)
Severability of Provisions. Whenever possible, each provision of this Loan Agreement and the Additional Agreements shall be interpreted in such manner as to be effective and valid under applicable law. Any provision of this Loan Agreement or
any of the Additional Agreements which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective only to the extent of such prohibition or unenforceability without invalidating the remaining provisions of this
Loan Agreement and the Additional Agreements or affecting the validity or enforceability of such provision in any other jurisdiction. 
  
 (k) Term. This Loan Agreement shall become effective on the date accepted by MLBFS at its office in Chicago, Illinois, and, subject to the terms
hereof, shall continue in effect so long thereafter as (i) MLBFS shall be obligated to make the Loan, (ii) the WCMA Line of Credit shall be in effect, (iii) there shall be any moneys outstanding under this Loan Agreement, or (iv) there shall be any
other Obligations outstanding. 
  

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 (l) Counterparts. This Loan Agreement may be executed in one or more counterparts which, when
taken together, constitute one and the same agreement. 
  
 (m)
Jurisdiction; Waiver. CUSTOMER ACKNOWLEDGES THAT THIS LOAN AGREEMENT IS BEING ACCEPTED BY MLBFS IN PARTIAL CONSIDERATION OF MLBFS’ RIGHT AND OPTION, IN ITS SOLE DISCRETION, TO ENFORCE THIS LOAN AGREEMENT AND THE ADDITIONAL AGREEMENTS
IN EITHER THE STATE OF ILLINOIS OR IN ANY OTHER JURISDICTION WHERE CUSTOMER OR ANY COLLATERAL FOR THE OBLIGATIONS MAY BE LOCATED. CUSTOMER IRREVOCABLY SUBMITS ITSELF TO JURISDICTION IN THE STATE OF ILLINOIS AND VENUE IN ANY STATE OR FEDERAL COURT IN
THE COUNTY OF COOK FOR SUCH PURPOSES, AND CUSTOMER WAIVES ANY AND ALL RIGHTS TO CONTEST SAID JURISDICTION AND VENUE AND THE CONVENIENCE OF ANY SUCH FORUM, AND ANY AND ALL RIGHTS TO REMOVE SUCH ACTION FROM STATE TO FEDERAL COURT. CUSTOMER FURTHER
WAIVES ANY RIGHTS TO COMMENCE ANY ACTION AGAINST MLBFS IN ANY JURISDICTION EXCEPT IN THE COUNTY OF COOK AND STATE OF ILLINOIS. MLBFS AND CUSTOMER HEREBY EACH EXPRESSLY WAIVE ANY AND ALL RIGHTS TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR
COUNTERCLAIM BROUGHT BY EITHER OF THE PARTIES AGAINST THE OTHER PARTY WITH RESPECT TO ANY MATTER RELATING TO, ARISING OUT OF OR IN ANY WAY CONNECTED WITH THE LOAN, THIS LOAN AGREEMENT, ANY ADDITIONAL AGREEMENTS AND/OR ANY OF THE TRANSACTIONS WHICH
ARE THE SUBJECT MATTER OF THIS LOAN AGREEMENT. CUSTOMER FURTHER WAIVES THE RIGHT TO BRING ANY NON-COMPULSORY COUNTERCLAIMS. 
  
 (n) Integration. THIS LOAN AGREEMENT, TOGETHER WITH THE ADDITIONAL AGREEMENTS, CONSTITUTES THE ENTIRE UNDERSTANDING AND REPRESENTS THE FULL AND
FINAL AGREEMENT BETWEEN THE PARTIES WITH RESPECT TO THE SUBJECT MATTER HEREOF, AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR WRITTEN AGREEMENTS OR PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL
AGREEMENTS OF THE PARTIES. WITHOUT LIMITING THE FOREGOING, CUSTOMER ACKNOWLEDGES THAT: (I) NO PROMISE OR COMMITMENT HAS BEEN MADE TO IT BY MLBFS, MLPF&S OR ANY OF THEIR RESPECTIVE EMPLOYEES, AGENTS OR REPRESENTATIVES TO MAKE THE LOAN OR ANY
SUBSEQUENT WCMA LOAN ON ANY TERMS OTHER THAN AS EXPRESSLY SET FORTH HEREIN, OR TO MAKE ANY OTHER LOAN OR OTHERWISE EXTEND ANY OTHER CREDIT TO CUSTOMER OR ANY OTHER PARTY; AND (II) EXCEPT AS OTHERWISE EXPRESSLY PROVIDED HEREIN, THIS LOAN AGREEMENT
SUPERSEDES AND REPLACES ANY AND ALL PROPOSALS, LETTERS OF INTENT AND APPROVAL AND COMMITMENT LETTERS FROM MLBFS TO CUSTOMER, NONE OF WHICH SHALL BE CONSIDERED AN ADDITIONAL AGREEMENT. NO AMENDMENT OR MODIFICATION OF THIS AGREEMENT OR ANY OF THE
ADDITIONAL 

  

 -22- 

 
AGREEMENTS TO WHICH CUSTOMER IS A PARTY SHALL BE EFFECTIVE UNLESS IN A WRITING SIGNED BY BOTH MLBFS AND CUSTOMER. 
  
 IN WITNESS WHEREOF, this Loan Agreement has been executed as of the day and
year first above written 
  

			
	 DYNACQ INTERNATIONAL, INC.

		
	By:	 	 /s/ Philip Chan

	 	 	 Philip Chan, Vice President

	 	 	 
	
	 Accepted at Chicago, Illinois

	MERRILL LYNCH BUSINESS FINANCIAL SERVICES INC.
		
	By:	 	 /s/ Beth Afensen, VP

	 	 	 Beth Afensen, VP

  

 -23-EXHIBIT 10.13

 Exhibit 10.13 
 STOCK PURCHASE AGREEMENT 
  
 This STOCK PURCHASE AGREEMENT (this “Agreement”) is made as of April 27, 2004 (the “Effective Date”), by and between Mableton Investment Group, LLC, a Delaware limited liability company
(“Seller”), and Radio One, Inc., a Delaware corporation (“Buyer”). 
  
 W I T N E S S E T H: 
  
 WHEREAS, Seller is the record and beneficial owner of all right, title and interest in and to 8,040 shares of the issued and outstanding Common
Stock, par value $.01 per share (“Common Stock”) of New Mableton Broadcasting Corporation, a Delaware corporation (the “Company” and such 8,040 shares of the Company, the “Owned Shares”);

  
 WHEREAS, Seller has the right to purchase, and intends
to purchase prior to the Closing (as hereinafter defined), 980 shares of Common Stock of the Company from Voth Broadcasting Company (“Voth”) (the “Additional Shares” and, together with the Owned Shares, the
“Shares”); 
  
 WHEREAS, the Company owns
and operates, and is the licensee of, radio station WAMJ-FM in Mableton, Georgia (formerly known as WAWE-FM) on channel 273A (the “Station”); 
  

WHEREAS, Sellers desire to sell and Buyer desires to purchase all, but not less than all, of the Shares; 
  
 NOW, THEREFORE, in consideration of the mutual benefits to be derived
from this Agreement and of the representations, warranties, conditions, agreements and promises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending
to be legally bound, hereby agree as follows: 
  
 ARTICLE
I—DEFINITIONS; INTERPRETATION 
  
 Section 1.1.
Definitions; Interpretation. Capitalized terms used herein have the respective meanings ascribed thereto in Part I of Exhibit 1.1 and elsewhere in this Agreement. This Agreement shall be interpreted in accordance with
the rules of construction set forth in Part II of Exhibit 1.1. 
  
 ARTICLE II—PURCHASE AND SALE 
  
 Section 2.1. Purchase and Sale. Subject to the terms and conditions set forth herein, on the Closing Date, Seller shall sell and deliver to Buyer, and Buyer shall purchase from Seller, the Shares, free and clear
of any Liens. 
  
 Section 2.2. Purchase
Price. Buyer shall pay to Seller, in consideration of the sale of the Shares (a) Thirty One Million Five Hundred Thousand Dollars ($31,500,000) less (b) the amount of the Closing Debt (the “Base Purchase Price”). The Base
Purchase Price shall be payable at Closing, decreased by any adjustment made pursuant to Section 2.3 (such adjusted amount, the “Adjusted Purchase Price”). 
  
 Section 2.3. Adjustment. The Base Purchase Price shall be subject to adjustment after the
Closing Date as follows: 
  
 (a) As
promptly as possible following the Closing Date, Buyer shall conduct an audit of the books and records of the Company as of the Closing Date. Not later than ninety (90) days after the Closing Date, Buyer shall deliver a consolidated balance sheet of
the Company as of the Closing Date (as corrected pursuant to Section 2.3(c) hereof, the “Closing Balance Sheet”) to Seller. The Closing Balance Sheet shall be prepared 

 
in accordance with GAAP applied consistently with the Company’s past practice (to the extent that such past practice was in accordance with GAAP),
without any adjustments applicable solely as a result of the acquisition of the Shares by Buyer on the Closing Date. The Closing Balance Sheet shall be accompanied by a statement setting forth the basis for the determination of the items and values
reflected on the Closing Balance Sheet. 
  
 (b)
Seller shall have the right to review the work papers of Buyer utilized in preparing the Closing Balance Sheet, and shall have reasonable access to the books, records, properties and personnel of the Company for purposes of verifying the
accuracy and fairness of the presentation of the Closing Balance Sheet. Seller shall work in good faith and cooperate with Buyer in the preparation of the Closing Balance Sheet and the resolution of any dispute in connection therewith pursuant to
Section 2.3(c) hereof. 
  
 (c) The values
or amounts for each item reflected on the Closing Balance Sheet shall be binding upon Seller, unless Seller provides Buyer with written notice within ten (10) days after receipt of the Closing Balance Sheet of disagreement with any of the values or
amounts shown on the Closing Balance Sheet, specifying as to each such item in reasonable detail, the nature and extent of such disagreement (the “Dispute Notice”). If Buyer and Seller are unable to resolve any such disagreement
within ten (10) days after the date of the Dispute Notice, then, within one-hundred twenty (120) days from the Closing date, Buyer and Seller shall submit the dispute to a neutral, mutually acceptable accounting firm (the “Accounting
Firm”). Buyer and Seller shall request that the Accounting Firm render its determination prior to the expiration of one-hundred fifty (150) days from the Closing Date and such determination and any required adjustments therefrom shall be
final and binding on the parties. If as a result of the resolution of any disputes by agreement pursuant to this Section 2.3 any amount shown in the Closing Balance Sheet is determined to be erroneous, such erroneous amount shall be deleted from the
Closing Balance Sheet and the correct amount shall be inserted in lieu thereof. The Closing Balance Sheet, as so corrected, shall constitute the Closing Balance Sheet for purposes of this Agreement. 
  
 (d) The fees and expenses of the Accounting Firm shall
be allocated to be paid by Buyer and/or Seller, respectively based upon the percentage which the portion of the contested amount not awarded to each party bears to the amount actually contested by such party, as determined by the Accounting Firm. In
no event shall Buyer be liable for any fees or disbursements of Seller incurred in Seller’s review of the Closing Balance Sheet. 
  
 (e) Immediately upon the expiration of the ten (10) day period for giving the Dispute Notice, if no Dispute Notice is given, or
immediately upon the resolution of disputes, if any, pursuant to this Section 2.3, the Base Purchase Price shall be decreased dollar for dollar for any current liabilities of the Company as at the Closing Date, including accounts payable, deferred
charges and accrued liabilities, but excluding any expenses of the Company that Buyer is obligated to pay pursuant to Section 6 of the PMA. 
  
 (f) If the adjustment required by Section 2.3(e) hereof results in a net decrease in the Base Purchase Price, the difference
between the Adjusted Purchase Price and the Base Purchase Price, shall be paid by Seller to Buyer immediately upon the expiration of the ten (10) day period for giving the Dispute Notice, if no Dispute Notice is given, or immediately upon final
resolution, in accordance with Section 2.3 hereof, of any dispute in connection with the determination of the Adjusted Purchase Price. Such amount shall be paid to Buyer directly by Seller in cash, by cashier’s or certified check or by wire
transfer of immediately available funds to an account designated by Buyer. 
  
 Section 2.4. Closing Debt. At Closing, Buyer shall pay (a) to Seller the amount necessary on the Closing Date to pay off the Seller Loan and release the Seller Lien and (b) to Bank of
America, N.A., or its designee, an amount necessary on the Closing Date to pay off the Bank Loan and release the Bank Lien (such amounts, collectively, the “Closing Debt”). 
  
 Section 2.5. Closing. Pursuant to the terms and
subject to the conditions of this Agreement, the consummation of the transactions contemplated by this Agreement (the “Closing”) shall take place at the offices 

 
of Covington & Burling, 1201 Pennsylvania Avenue, N.W., Washington, D.C., at 10:00 a.m. local time on the later to occur of: (a) five (5) Business
Days after the date on which the conditions set forth in Sections 6.1(h). 6.1(m) and 6.2(e) shall have been satisfied or waived or (b) October 15, 2004, or such other time and place as Buyer and Seller may agree to in writing (such date of the
Closing hereinafter referred to as the “Closing Date”). 
  
 ARTICLE III—REPRESENTATIONS AND WARRANTIES OF SELLER 
  
 In order to induce Buyer to enter into this Agreement and to purchase the Shares, Seller hereby represents and warrants to Buyer as follows, as of the date hereof and again at and as of the Closing Date, provided,
however, that Seller makes no representation or warranty herein as to (i) any matter as to which Buyer has actual knowledge on the date of this Agreement and (ii) any action or omission for which Buyer is responsible in its capacity as manager under
the PMA: 
  
 Section 3.1. Organization of
Seller; Binding Agreement. Seller is a limited liability company duly organized, validly existing and in good standing under the laws of the State of Delaware. The execution, delivery and performance of this Agreement and the other
agreements, certificates and documents delivered in connection herewith and the consummation of the transactions contemplated hereby and thereby have been duly and validly authorized by all necessary action on the part of Seller. Seller has all
requisite organizational power and authority to enter into this Agreement and the other agreements, certificates and documents delivered in connection herewith and to consummate the transactions contemplated hereby and thereby, and this Agreement
and the other agreements, certificates and documents delivered in connection herewith have been, or upon execution and delivery thereof will be, duly executed and delivered by Seller. This Agreement and the other agreements, certificates and
documents delivered in connection herewith are, or upon execution and delivery thereof will be, the valid and binding obligations of Seller, enforceable against Seller in accordance with their respective terms, except to the extent that (a) such
enforcement may be subject to bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to creditor’s rights generally and (b) the remedy of specific performance or injunctive and other forms
of equitable relief may be subject to equitable defenses and to the discretion of the court before which any proceeding therefor may be brought. 
  
 Section 3.2. Ownership. The Owned Shares are, and when acquired by Seller the Additional Shares will be, owned beneficially
and of record by Seller. The Owned Shares are, and when acquired by Seller the Additional Shares will be, free and clear of all Liens, and the authorization of no other person or entity is required in order to consummate the transactions
contemplated herein by virtue of any such person or entity having an equitable or beneficial interest in the Company. Except for the Shares, Seller does not own, beneficially or of record, directly or indirectly, any capital stock or other ownership
or proprietary interest in the Company. 
  
 Section 3.3.
Good Title Conveyed. Upon consummation of the transaction contemplated by this Agreement, Buyer will acquire, good, valid and marketable title to all Shares, free and clear of all Liens. 
  
 Section 3.4. No Violation. Subject to the receipt
of the FCC Consent and any Consents listed on Schedule 3.4 hereto, the execution, delivery and performance by Seller of this Agreement and the other agreements, certificates or documents delivered in connection herewith (with or without the
giving of notice, the lapse of time, or both), and the consummation by Seller of the transactions contemplated hereby or thereby do not and will not: 
  
 (a) require the Consent or notification of or filing with any Person or Governmental Authority; 
  
 (b) conflict with, result in a breach of, or
constitute a default under, any Applicable Law of any Person or Governmental Authority applicable to Seller or the Company; 
  
 (c) conflict with or result in a breach of Seller’s certificate of formation, operating agreement or other constitutive or
organizational documents of Seller; 

 (d) conflict with or result in a breach of the Company’s certificate of
incorporation, by-laws or other constitutive or organizational documents of the Company; 
  
 (e) conflict with, result in a default or give rise to any right of termination, cancellation, modification or acceleration under
any of the provisions of any Contract, note, bond, lease, mortgage, indenture, license, franchise, permit, agreement or other instrument or obligation (other than the FCC Licenses) to which the Company or Seller is a party, or by which the Station
may be bound or affected; or 
  
 (f) result
in the creation or imposition of any Lien (other than Permitted Liens) upon any of the Company’s properties. 
  
 Seller is not a party to, nor is it bound by, and the Shares are not subject to, any agreement or commitment that prohibits the execution and delivery by
Seller of this Agreement or the consummation of the transactions contemplated hereby, except in connection with the Closing Debt. 
  
 Section 3.5. Organization of the Company. The Company is a corporation duly organized, validly existing and in good standing
under the laws of the State of Delaware and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now being conducted. The Company is duly qualified to do business and is in good
standing in the State of Georgia and in each other jurisdiction in which such qualification is necessary because of the property owned, leased or operated by it or because of the nature of its business as now being conducted. The Company has never
conducted the Station Business under or otherwise used, for any purpose or in any jurisdiction, any fictitious name, assumed name, trade name or other name, other than the names “WAWE,” “WAWE-FM,” “WAMJ,” and
“WAMJ-FM.” 
  
 Section 3.6.
Capitalization of the Company. The authorized capital stock of the Company consists of 10,000 shares of Common Stock all of which are issued and outstanding. Of those shares, 8,040 shares of Common Stock are held of record by
Seller, 980 shares of Common Stock are held of record by Voth, and 980 shares of Common Stock are held of record by Communications. The issued and outstanding shares of Common Stock are duly authorized, validly issued, fully paid and non-assessable.
Except for options held by Seller to acquire 980 shares of Common Stock from Communications and 980 shares of Common Stock from Voth, there are no outstanding options, warrants or other rights entitling any Person to acquire, or any commitments of
the Company for the issuance of or the granting of rights to acquire any shares of capital stock of the Company any securities convertible into or exchangeable for any shares of capital stock of the Company, or any outstanding or authorized stock
appreciation rights, phantom stock, profit participations, or other similar interests with respect to the Company. There are no outstanding contractual obligations of the Company to repurchase, to redeem or otherwise to acquire any outstanding
shares of its capital stock. Upon consummation of the transactions contemplated by this Agreement and by the Communications Purchase Agreement, Buyer will be the holder of 100% of the issued and outstanding equity securities of the Company. The
Company and Seller are not, and to the knowledge of Seller no other stockholder of the Company is, party to any stockholders’ agreement, voting trust, proxy, registration rights agreement, or similar instrument conferring rights or imposing
obligations upon the Company, Seller or any other stockholder with respect to the Shares. 
  
 Section 3.7. Personal Property.  
  
 (a) Except for the Seller Lien and the Bank Lien, the personal property of the Company is free and clear of all Liens other than
Permitted Liens. The Company has entered into a valid and binding lease with respect to each item of personal property with a value in excess of Five Thousand Dollars ($5,000) leased by it, and neither the Company nor any other party is in default
of any provision of any such lease. 
  
 (b)
The Company’s personal property is in good operating condition and repair, ordinary wear and tear excepted, and if under warranty has been maintained in accordance with any maintenance conditions to such warranties. 

 Section 3.8. Real Property. 
  
 (a) The Company owns no real property. The Leased Real
Property comprises all real property interests used by Company to conduct the Station Business as now conducted. 
  
 (b) The Company has provided Buyer with true and complete copies of each of the leases, subleases, licenses and other Contracts
with respect to all Leased Real Property, and Seller is the owner and holder of all of the leasehold interests and estates purported to be granted by such leases or subleases. Neither the Company nor any other Person has granted any oral or written
right to any Person other than the Company to acquire, lease, sublease, license or otherwise use or occupy any of the Leased Real Property through the end of the applicable periods of such lease, sublease, license or other Contract. Subject to
obtaining the Material Consents, such leases, subleases, licenses and other Contracts are assignable to Buyer. The Company has peaceful and undisturbed possession under all leases, subleases or other Contracts with respect to the Leased Real
Property. 
  
 (c) The Leased Real Property
and all appurtenances and improvements thereto or thereon, as used, constructed or maintained by the Company at any time, conform to applicable Laws (including all building, fire, health and Environmental Laws) and no notices of violation of any
such Laws have been issued by any Governmental Authority with respect to any Leased Real Property. Each Leased Real Property (including the improvements thereon) (i) is in good operating condition and repair (ordinary wear and tear excepted) and no
condition exists which could reasonably be expected to interfere with the customary use and operation thereof and (ii) is available for immediate use in the conduct of the Station Business. 
  
 (d) All Towers, buildings (including transmitter
buildings) and other structures and improvements used or useful in connection with the operation of the Station (collectively, “Transmission Structures”) are owned or leased by the Company and are located entirely on the Leased Real
Property. The Company has full legal and practical access to Leased Real Property, and each parcel of Leased Real Property is accessible by a public right of way or is otherwise reasonably accessible for purposes of conducting the use of each such
property, as currently conducted, including reasonable access to each transmitter building, the Tower and, if applicable, each guy anchor supporting such Tower. All ingress and egress to, from, between and among the transmitter building, the Tower
and, if applicable, each guy anchor supporting such Tower are located entirely on the Leased Real Property. None of the Transmission Structures or the use thereof violates any restrictive covenants or encroaches on any property owned by any other
Person, and all such Transmission Structures are constructed in conformity with all “set-back” lines, easements and other restrictions or rights of record. No condemnation or eminent domain proceeding is pending or, to Seller’s
Knowledge, threatened which could reasonably be expected to preclude or impair in any way the use of any Leased Real Property. There are no structural or other defects in the Transmission Structures and all such Transmission Structures have been
maintained in accordance with generally accepted standards in the broadcast industry. 
  
 (e) No part of any Leased Real Property is subject to any building or use restrictions that could reasonably be expected to
restrict or prevent the present use and operation of such Leased Real Property, and each Leased Real Property is properly and duly zoned for its current use, and such current use is in all respects a conforming use. No Governmental Authority has
issued or, to Seller’s Knowledge, threatened to issue, any notice or order that could reasonably be expected to affect adversely the use or operation of any Leased Real Property, or require any repairs, alterations, additions or improvements
thereto, or the payment or dedication of any money, fee, exaction or property. There is no actual, or to Seller’s Knowledge, pending, imposition of any assessments for public improvements with respect to any Leased Real Property and, to
Seller’s Knowledge, no such improvements have been constructed or planned that would be paid for by means of assessments upon any Leased Real Property. 
  
 (f) Each Leased Real Property is located on public roads and streets, and all utility systems required in connection with the use,
occupancy and operation of each Leased Real Property are sufficient for their present purposes and are fully operational and in working order. Each Leased Real Property consists of 

 
sufficient land, parking areas, sidewalks, driveways and other improvements to permit the continued use of such Leased Real Property in the manner and for
the purposes to which each is currently devoted. 
  
 Section
3.9. Assets of the Business. The assets owned, leased or licensed by the Company constitute all of the assets used or held for use by the Company in the Station Business and such assets are all the assets necessary and useful
to carry on such business as it is presently conducted. Such assets are accurately reflected in the Financial Statements. 
  
 Section 3.10. Financial Information; No Undisclosed Liabilities; Accounts. 
  
 (a) Financial Statements. The Disclosure
Schedule contains the following financial statements (the “Financial Statements”) of the Company: the audited balance sheets as of the end of the fiscal year ended December 31, 2003 (the “Financial Statements
Date”), and the related audited statements of income for the fiscal year then ended. The Financial Statements have been prepared in accordance with GAAP, present fairly the financial condition of the Company at the respective dates thereof
and the results of operations of the Company for the periods then ended, and are true and complete in all material respects. There are no liabilities or obligations of Company whether accrued, contingent, absolute, determined, determinable or
otherwise, of a nature required by GAAP to be reflected in financial statements other than (A) liabilities disclosed or provided for in the Financial Statements and (B) liabilities incurred in the ordinary course of business consistent with past
practice since the Financial Statements Date that are not material to the Station Business, and, to Seller’s Knowledge, there is no circumstance currently existing that could reasonably be expected to result in any such liability or obligation.

  
 Section 3.11. Absence of Changes.
Except as set forth in the Disclosure Schedule, since the Financial Statements Date, the Company has operated the Station in the ordinary course of business consistent with past practice, and there has not been in connection with or related to the
Company or the Station: 
  
 (a) any
Material Adverse Effect; 
  
 (b) the
incurrence of any indebtedness for borrowed money, or the guaranty by the Company of any obligation of any other person; 
  
 (c) any obligation or liability (whether absolute, accrued, contingent or otherwise, and whether due or to become due) incurred by
the Company, other than current obligations and liabilities incurred in the ordinary course of business and consistent with past practice; 
  
 (d) any payment, discharge or satisfaction of any claim or obligation of the Company, except in the ordinary course of business and
consistent with past practice or the giving of any promise, assurance or guaranty of payment, discharge or satisfaction of any claim or obligation of any Person; 
  
 (e) any sale, assignment, lease or other disposition of any tangible asset of the Company (except for
obsolete equipment disposed of in the ordinary course of business consistent with past practice) or any sale, assignment, license, transfer or other disposition of any Intellectual Property or any other intangible assets; 
  
 (f) any transfer to any Affiliate of the Company or
any other Person, any right, property or interest which is necessary or useful in the operation of the Station Business; 
  
 (g) except in the ordinary course of business, any amendment, modification or termination of any Material Contract; 
  
 (h) any notice from any of the Station’s sponsors
as to any of such sponsor’s intention not to conduct business with the Station; 

 (i) any period of four (4) or more consecutive days during which the Station was
off the air for any reason or a period of fifteen (15) or more days during which the Station operated at substantially reduced power; 
  
 (j) any capital expenditure or commitment or addition to property, plant or equipment of the Company, individually or in the
aggregate, in excess of Five Thousand Dollars ($5,000); 
  
 (k) any material increase in the compensation payable or to become payable to any Employee, officer, shareholder, director, consultant or agent of the Company, including any increase pursuant to any bonus, pension, profit-sharing or
other benefit or compensation plan, policy or arrangement or commitment; 
  
 (l) any loan or advance by the Company to any other person; 
  
 (m) any material damage, destruction or loss (whether or not covered by insurance) affecting any asset or property of the Company;

  
 (n) any change in the accounting
methods or accounting practices followed by the Company or any change in depreciation or amortization policies or rates; or 
  
 (o) any agreement or commitment, whether in writing or otherwise, to take any of the actions specified in the foregoing items (a)
through (n). 
  
 Section 3.12. Intellectual
Property. 
  
 (a) The Company owns
all right, title and interest in and to, or has valid license rights to, all Intellectual Property necessary, used or useful for the operation of the Station Business as currently conducted. 
  
 (b) Buyer has been provided true and complete copies
of all such registrations, applications and similar filings with any Governmental Authority relating to the Intellectual Property owned by the Company. The Company and has taken all action necessary to prosecute all of its existing applications and
to maintain all such registrations in full force and effect, and has not taken or failed to take any action which could reasonably be expected to have the effect of waiving any rights to the Intellectual Property. 
  
 (c) None of the Intellectual Property infringes any
rights owned or held by any other Person, and there is no claim pending or, to Seller’s Knowledge, threatened contesting the Company’s right exclusively to use any of the Intellectual Property. To Seller’s Knowledge, no Person is
infringing, misappropriating or otherwise conflicting with the rights of the Company in any Intellectual Property. There are no claims pending or, to Seller’s Knowledge, threatened by any Person in respect of the ownership, validity,
enforceability or use of any of the Intellectual Property. 
  
 (d) The Company has taken all reasonable measures to protect and preserve the security, confidentiality, value and ownership of the Know-How and other confidential information of the Company. To Seller’s
Knowledge, none of the Know-How is part of the public domain or knowledge, nor, to Seller’s Knowledge, has the Know-How been used by, disclosed or divulged to, or appropriated by or for the benefit of any Person other than the Company or
otherwise to the detriment of the Company. 
  
 Section 3.13.
Contracts. 
  
 (a)
The Disclosure Schedule contains a list of all Material Contracts. Except as set forth on the Disclosure Schedule, each Material Contract to which the Company is a party is a valid and binding obligation of the Company and is in full force and
effect. Except as otherwise disclosed on the Disclosure Schedule, neither the Company nor, to Seller’s Knowledge, any other party to a Material Contract is in default under any such Material Contract nor, to Seller’s Knowledge, has any
event occurred which would, 

 
upon receipt of notice or passage of time, or both, constitute a default under any Material Contract. Seller has made available to Buyer true and complete
copies of all written Material Contracts. 
  
 (b) Except as disclosed on the Disclosure Schedule, there are no obligations of the Company to any Affiliate or of any Affiliate to the Company. 
  

Section 3.14. Compliance with Law; Permits. The business and operations of the Company are conducted in compliance with all
applicable Laws. Together with the FCC Licenses, the Permits constitute all permits, approvals, franchises, concessions, licenses or other governmental authorizations of every character whatsoever that are required by applicable Law or Governmental
Authorities for the lawful ownership and operation of the Company. The Company is in compliance with the terms of all of the Permits, the Permits are in full force and effect, and no violations are or have been recorded in respect of any thereof. No
proceeding is pending or, to Seller’s Knowledge, threatened, to cancel, suspend, revoke or limit any of the Permits and, to Seller’s Knowledge, there is no basis for any such proceeding.  
  
 Section 3.15. Regulatory Matters. 
  
 (a) The Company is legally, financially and otherwise
qualified under the Communications Act to perform its obligations hereunder, to be the licensee of, and to own and operate the Station. To Seller’s Knowledge, no fact or circumstance exists relating to the FCC qualifications of the Company that
(i) could reasonably be expected to prevent or delay the FCC from granting the Assignment Application or (ii) would otherwise disqualify the Company as the licensee, owner, operator or transferee of the Station. 
  
 (b) The Disclosure Schedule sets forth a true and
complete list of all FCC Licenses, all pending applications filed with the FCC by the Company and all Permits held by Company in connection with the conduct of the Station Business as conducted immediately prior to the Closing, including any
registrations of Transmission Structures (copies of which are attached thereto). 
  
 (c) No application, action or proceeding is pending for the renewal of any FCC License as to which any petition to deny or
objection has been filed and, to Seller’s Knowledge, there is not before the FCC any investigation, proceeding, notice of violation, or order of forfeiture relating to the Company. There is not now pending and, to Seller’s Knowledge, there
is not threatened, any action by or before the FCC to revoke, suspend, cancel, rescind or modify any of the FCC Licenses (other than proceedings to amend the Communications Act or proceedings of general applicability to the broadcast radio
industry). 
  
 (d) The Station is owned and
operated by the Company in compliance with (i) the terms of the FCC Licenses and (ii) the Communications Act. The Company has filed or made all applications, reports, and other disclosures required by the FCC to be made in respect of the Station and
have or will have timely paid all FCC regulatory fees in respect thereof. No licenses, authorizations, permits or other rights other than the Permits and the FCC Licenses are required to own and operate the Station in substantially the same manner
as it is being operated as of the date hereof and as of the Closing Date. The FCC Licenses are in full force and effect; and are not subject to any condition except conditions applicable to broadcast radio licenses generally, or as otherwise
disclosed on the face of the FCC Licenses. Seller has no reason to believe that the FCC will not renew any FCC Licenses in the ordinary course. 
  
 (e) The Transmission Structures are registered to the extent required by Law and all such Transmission Structures have been
constructed, and are operated and maintained, in compliance with the FCC Licenses and all applicable Laws, including the Communications Act and those promulgated by the FAA (and including, to the extent applicable, all such Laws concerning the
marking, painting, lighting, height and registration of the Transmission Structures). 
  
 (f) All transmission and related equipment will be, (i) in good operating condition and adequate repair (ordinary wear and tear
excepted) and (ii) operated and maintained in accordance with good engineering practices and in full compliance with all applicable Laws, including the Communications Act and the FCC 

 
Licenses. The Company has conducted or obtained engineering studies (including studies in respect of wind load) that demonstrate, using good engineering
practices, that the Tower has been constructed in a manner sufficient to hold and support the structures currently mounted, or contemplated to be mounted, thereon (including the Station’s antennae) by the Station pursuant to the FCC Licenses,
any Contract (including this Agreement) or otherwise. 
  
 (g) The Station is operating at the effective radiated power authorized under the FCC Licenses. 
  
 (h) To Seller’s Knowledge, the Station does not cause or receive any interference that is in violation of the Communications
Act or any other applicable Laws. 
  
 (i)
All returns, reports and statements that the Company is currently required to file with the FCC or FAA have been filed. 
  
 Section 3.16. Litigation. Except as set forth on the Disclosure Schedule, there are no claims, actions, suits, proceedings or
investigations pending or, to Seller’s Knowledge, threatened before any court, arbitrator or Governmental Authority. Seller has made available to Buyer true and complete copies of all court papers and other documents with respect to the matters
referred to in the Disclosure Schedule. Except as set forth in the Disclosure Schedule, there is no outstanding writ, judgment, stipulation, injunction, decree, determination, award or other order of any Governmental Authority against the Company.

  
 Section 3.17. Labor Matters.
Except as disclosed in the Disclosure Schedule, (a) there is no labor strike, dispute, slowdown, stoppage or lockout pending, affecting, or, to Seller’s Knowledge, threatened against the Company, and during the last five (5) years there has not
been any such action and, to Seller’s Knowledge, there are no existing or prior facts, circumstances or conditions that could reasonably be expected to lead to such an action; (b) there are no union claims to represent the Employees nor have
there been any claims to represent Employees or former employees of the Company within the last five (5) years; (c) there is no Contract with any labor organization, nor work rules or practices agreed to with any labor organization or employee
association, applicable to the Employees, nor is the Company a party to or bound by any collective bargaining or similar Contract; (d) there is, and within the last five (5) years has been, no representation of the Employees or former employees of
the Company by any labor organization and, to Seller’s Knowledge, there are no union organizing activities among the Employees, nor does any question concerning representation exist concerning such Employees; (e) the Company has not engaged in
any unfair labor practices as defined in the National Labor Relations Act or other applicable Laws, and the Company is, and has for the past five (5) years been, in compliance with all applicable Laws in respect of employment and employment
practices, terms and conditions of employment, wages, hours of work and occupational safety and health; (f) there is no unfair labor practice charge or complaint against the Company pending or, to Seller’s Knowledge, threatened before the
National Labor Relations Board or any other Governmental Authority and, to Seller’s Knowledge, there are no existing or prior facts, circumstances or conditions that could reasonably be expected to form the basis therefor; (g) there is no
grievance pending or, to Seller’s Knowledge, threatened against the Company arising out of any collective bargaining agreement or other grievance procedure and, to Seller’s Knowledge, there are no existing or prior facts, circumstances or
conditions that could reasonably be expected to form the basis therefor; (h) there are no charges with respect to or relating to the Company pending or, to Seller’s Knowledge, threatened before the Equal Employment Opportunity Commission or any
other Governmental Authority responsible for the prevention of unlawful employment practices and, to Seller’s Knowledge, there are no existing or prior facts, circumstances or conditions that could reasonably be expected to form the basis
therefor; (i) the Company has not received notice of the intent of any Governmental Authority responsible for the enforcement of labor or employment Laws to conduct an investigation with respect to or relating to the Company and no such
investigation is in progress; and (j) no complaints, lawsuits or other proceedings are pending or, to Seller’s Knowledge, threatened in any forum by or on behalf of any Employee or former employee of the Company, any applicant for employment or
classes of the foregoing alleging breach of any express or implied Contract for employment, any Law governing employment or the termination thereof or other discriminatory, wrongful or tortious conduct in connection with any employment relationship.

 Section 3.18. Employees and Employee Benefits. 
  
 (a) Seller has delivered to Buyer true and complete
copies of all written personnel policies, rules and procedures applicable to Employees together with summaries of all oral personnel policies, rules and procedures applicable to Employees 
  
 (b) The Disclosure Schedule contains a true and complete list of each Plan. Seller has delivered to
Buyer true and complete copies of (i) each Plan for which a Plan document exists, (ii) the summary plan description for each Plan and (iii) the latest annual report, if any, which has been filed with the IRS for each Plan. Each Plan intended to be
tax qualified under Sections 401(a) and 501(a) of the Code is, and has been determined by the IRS to be, tax qualified under Sections 401(a) and 501(a) of the Code and, since such determination, no amendment to or failure to amend any such Plan or
any other circumstance adversely affects its tax qualified status. There has been no prohibited transaction within the meaning of Section 4975 of the Code and Section 406 of Title I of ERISA with respect to any Plan. 
  
 (c) No Plan is subject to the provisions of Section
412 of the Code or Part 3 of Subtitle B of Title I of ERISA. No Plan is subject to Title IV of ERISA. During the past five (5) years, neither Seller nor any Person then Controlling, Controlled by, or under common Control with Seller contributed to
or was obliged to contribute to an employee pension plan that was subject to Title IV of ERISA. 
  
 (d) There are no actions, claims, lawsuits or arbitrations (other than routine claims for benefits) pending, or, to Seller’s
Knowledge, threatened, with respect to any Plan or the assets of any Plan, and, to Seller’s Knowledge, no facts exist which could reasonably be expected to give rise to any such actions, claims, lawsuits or arbitrations (other than routine
claims for benefits). The Company has satisfied all funding, compliance and reporting requirements for all Plans. With respect to each Plan, the Company has paid all contributions (including employee salary reduction contributions) and all insurance
premiums that have become due and any such expense accrued but not yet due has been properly reflected in the Financial Statements. 
  
 (e) No Plan provides or is required to provide, now or in the future, health, medical, dental, accident, disability, death or
survivor benefits to or in respect of any Person beyond termination of employment, except to the extent required under any state insurance Law or under Part 6 of Subtitle B of Title I of ERISA and under Section 4980(B) of the Code. No Plan covers
any individual other than Employees or dependents or spouses of Employees. 
  
 (f) The consummation of the transactions contemplated by this Agreement and the other agreements, certificates and documents delivered in connection herewith do not and will not (i) entitle any Employee to
severance pay or termination benefits or (ii) accelerate the time of payment or vesting, or increase the amount of compensation due to any such Employee or former employee of the Company. Company has paid all salary and other obligations owed to
Employees and former employees. 
  
 (g) The
Company has not made any representations or warranties (whether written or oral, express or implied) for which the Company could be liable, contractually or otherwise, to any client or customer of the Company that the Employees rendering services to
such client or customer are not “leased employees” (within the meaning of Section 414(n) of the Code) or that such Employees would not be required to participate under any pension benefit plan (within the meaning of Section 3(2) of ERISA)
(a “Pension Benefit Plan”) of such client or customer relating either to (i) providing benefits to Employees under a Pension Benefit Plan of the Company or (ii) making contributions to or reimbursing such client or customer for any
contributions made to a Pension Benefit Plan of such client or customer on behalf of the Employees. 
  
 Section 3.19. Environmental Matters. Except as disclosed in the Disclosure Schedule, (a) the operation of the Station Business
as heretofore operated and used are not in violation of any applicable Environmental Law; (b) no inspection or investigation by any Governmental Authority at or about the Leased Real Property or, with respect to the Station Business, any other
facility or property currently or previously owned or operated by the 

 
Company or any third party has resulted in a citation, complaint, notice of violation, or letter demanding cleanup of hazardous or toxic substances or waste
pursuant to any Environmental Law that in any case the Company or such third party has failed to remedy, nor is any such citation, complaint, notice of violation, or letter threatened, nor, to Seller’s Knowledge, does any condition or state of
affairs exist with respect to any such Leased Real Property or any other properties or facilities which could reasonably be expected to result in any such citation, complaint, notice of violation or letter; (c) the Company has (i) not disposed of,
or stored for more than ninety (90) days, any toxic, hazardous or other wastes or substances on the Leased Real Property, nor has there been any release, spill or leak of any toxic, hazardous or other wastes or substances at such sites reportable
under any Environmental Law, and (ii) fully complied with all Environmental Laws relating to the generation, storage, treatment, recycling, removal, cleanup, transport or disposal of all hazardous, toxic or other wastes or substances at such sites;
and (d) there are no solid, liquid, or gaseous materials present at the surface or subsurface levels of the Leased Real Property, or present in the air above, or the air and water immediately surrounding, such property which is in excess of any
concentration levels or standards prescribed or permitted by any applicable Environmental Law, nor does any condition or state of affairs exist on or about such property that would now or in the future require remedial investigation, corrective
action or closure under the provisions of any Environmental Law or that could reasonably be expected to constitute a nuisance or other violation of any Environmental Law. 
  
 Section 3.20. Insurance. Seller has provided to Buyer a true and complete list of all policies
of casualty, liability, theft, fidelity, life and other forms of insurance held by the Company (specifying for each such insurance policy the insurer, the policy number or covering note number with respect to binders, and each pending claim
thereunder of more than Five Thousand Dollars ($5,000), and setting forth the aggregate amounts paid out under each such policy during the last three (3) years through the Effective Date). Each such policy is valid and binding, and is and has been
in effect during the last three (3) years. True and complete copies of all such policies have been delivered to Buyer. All insurance policies are in the name of the Company and all premiums with respect to such policies have been paid. The Company
has not received notice of cancellation or termination of any such policy, nor has it been denied or had revoked or rescinded any policy of insurance, nor borrowed against any such policies. No claim under any such policy is pending.

  
 Section 3.21. Related Party
Transactions. Except as set forth on the Disclosure Schedule, no current or former partner, director, officer, employee, member or shareholder of the Company or any associate or Affiliate thereof, or any relative with a relationship of not
more remote than first cousin of any of the foregoing, is presently, or during the twelve (12) month period ending on the Effective Date has been, (a) a party to any transaction with the Company, including any Contract providing for the furnishing
of services by, or rental of real or personal property from, or otherwise requiring payments to, any such partner, director, officer, employee, member, shareholder, associate or Affiliate, or (b) to Seller’s Knowledge, the direct or indirect
owner of an interest in any Person which is a present or potential competitor, supplier or customer of the Station Business, nor does any such Person receive income from any source other than the Company which relates to the Company or should
properly accrue to the Company. 
  
 Section
3.22. Taxes.  
  
 (a) The Company has timely filed or caused to be timely filed with the appropriate taxing authorities all Tax Returns required to be filed by or on behalf of the Company, all of which Tax Returns were true, correct and complete when
filed, and has timely paid, or caused to be timely paid, in full all Taxes shown to be due on such Tax Returns for all periods for which any Tax is due. The provision made for taxes on the Financial Statements is sufficient for the payment of all
Taxes for which the Company may be liable as of the Closing Date and for all years and periods prior thereto. The Company has not requested any extension of time within which to file or send any Tax Return (and no such request has been made on
behalf of the Company), which Tax Return has not since been filed or sent within the proper time period. 
  
 (b) No deficiency for any Taxes has been proposed, asserted or assessed against the Company; to Sellers’ Knowledge, no Tax
Return filed by or on behalf of the Company is currently under audit by any Tax authority; and the Company has not received, directly or indirectly, from any Tax authority any notice 

 
of any impending audit. There are no outstanding agreements or waivers extending the statutory period of limitations applicable to any Tax Return filed by or
on behalf of the Company. All amounts required to have been withheld or collected by the Company for all periods prior to the Closing Date in compliance with the withholding or collection provisions of all applicable Tax jurisdictions have been
timely paid by the Company to the proper governmental authorities or properly deposited or are provided for in the Financial Statements to the extent not required to be paid or deposited prior to the Closing Date. 
  
 (c) The Company has never (i) filed any consent or
agreement under Section 341(f) of the Code, (ii) entered into a closing agreement with any Tax authority affecting any period after the Closing Date, (iii) made any payments, or been a party to an agreement (including this Agreement) that could
obligate it to make payments that will not be deductible because of Section 280G of the Code, or (iv) been party to a tax allocation or tax sharing agreement affecting any period after the date of this Agreement. 
  
 Section 3.23. Bank Accounts. The Disclosure
Schedule contains a complete list of all bank accounts of the Company with a list of each Person with signature authority over the funds in each such account. 
  
 Section 3.24. No Subsidiaries. The Company does not own, directly or indirectly, any
capital stock or other equity participation in or of any Person. 
  
 Section 3.25. Brokers. No agent, broker, firm or other Person acting on behalf, or under the authority, of Seller or the Company is or will be entitled to any broker’s or finder’s fee or any other
commission or similar fee directly or indirectly in connection with any of the transactions contemplated hereby. 
  
 Section 3.26. Disclosure. No representation or warranty of Seller contained in this Agreement, and no statement
contained in any certificate, schedule, exhibit, annex, list or other writing furnished to Buyer, contains any untrue statement of a material fact or omits to state a material fact necessary to make the statement contained herein or therein not
misleading. 
  
 ARTICLE IV— REPRESENTATIONS AND WARRANTIES
OF BUYER 
  
 In order to induce Seller to enter into this Agreement, Buyer
hereby represents and warrants to Seller as follows, as of the date hereof and again at and as of the Closing Date: 
  
 Section 4.1. Organization, Standing and Power. Buyer is a corporation duly formed, validly existing and in good
standing under the laws of the State of Delaware and has all requisite corporate power and authority to own, lease and operate its properties and to carry on its business as now being conducted.  
  
 Section 4.2. Authority; Binding Agreements. The
execution, delivery and performance of this Agreement and the other agreements, certificates and documents delivered in connection herewith and the consummation of the transactions contemplated hereby and thereby have been duly and validly
authorized by all necessary corporate action on the part of Buyer. Buyer has all requisite corporate power and authority to enter into this Agreement and the other agreements, certificates and documents delivered in connection herewith and to
consummate the transactions contemplated hereby and thereby, and this Agreement and the other agreements, certificates and documents delivered in connection herewith have been, or upon execution and delivery thereof will be, duly executed and
delivered by Buyer. This Agreement and the other agreements, certificates and documents delivered in connection herewith are, or upon execution and delivery thereof will be, the valid and binding obligations of Buyer, enforceable against Buyer in
accordance with their respective terms, except to the extent that (a) such enforcement may be subject to bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to creditor’s rights generally
and (b) the remedy of specific performance or injunctive and other forms of equitable relief may be subject to equitable defenses and to the discretion of the court before which any proceeding therefor may be brought. 

 Section 4.3. Conflicts; Consents. The execution and delivery of this
Agreement and the other agreements and documents to which Buyer is a party as contemplated by this Agreement, the consummation of the transactions contemplated hereby and thereby and compliance by Buyer with the provisions hereof and thereof do not
and will not (a) conflict with or result in a breach of the certificate of incorporation, by-laws, or other constitutive or organizational documents of Buyer, (b) subject to receipt of the FCC Consent, violate any Law applicable to Buyer or
Buyer’s properties or assets, or (c) require the Consent or notification of or filing with, any Person or Governmental Authority other than the FCC, except as set forth on Schedule 4.3 hereto. 
  
 Section 4.4. FCC Qualifications. Subject to
obtaining the FCC Consent, Buyer is legally, financially and otherwise qualified under the Communications Act to perform its obligations hereunder and to be the licensee of, and own and operate, the Station.  
  
 Section 4.5. Acquisition of Shares. Buyer is
acquiring the Shares as principal for its own account, not for the benefit of any other Person and not with a view to the distribution or resale thereof. Buyer acknowledges that the Shares have not been registered for sale under the Securities Act
of 1933, as amended, or applicable state securities laws and that they may not be resold except pursuant to an effective registration statement thereunder or an exemption from the registration requirements thereof. 
  
 Section 4.6. Brokers. No agent, broker,
investment banker, firm or other Person acting on behalf, or under the authority, of Buyer is or will be entitled to any broker’s or finder’s fee or any other commission or similar fee directly or indirectly in connection with any of the
transactions contemplated hereby. 
  
 ARTICLE V—ADDITIONAL
AGREEMENTS 
  
 Section 5.1. FCC
Matters. 
  
 (a) Transfer of
Control. The purchase and sale of the Shares is subject to the prior consent and approval of the FCC. Seller shall, and Seller shall cause the Company to, and Buyer shall, prepare and, within ten (10) business days after the Effective Date,
file with the FCC the Transfer of Control Application. The parties shall thereafter prosecute the Transfer of Control Application with commercially reasonable diligence and otherwise use their commercially reasonable efforts to obtain the grant of
the Transfer of Control Application as expeditiously as practicable. Each party will promptly provide to the other party a copy of any pleading, order or other document served on them relating to such Transfer of Control Application. Seller shall
not take any action, or omit to take any action, or enter into any Contract which would, or could reasonably be expected to, prevent or interfere with the successful prosecution of the Transfer of Control Application or the consummation of the
transactions contemplated by this Agreement, or which is or would be inconsistent with the Transfer of Control Application or the consummation of the transactions contemplated by this Agreement. Buyer and Seller shall oppose any petitions to deny or
other objections filed with respect to any FCC Application and any requests for reconsideration or review of any FCC Consent. 
  
 (b) Certain Extensions. If the Closing shall not have occurred for any reason within the original effective period of
any FCC Consent, and neither party shall have terminated this Agreement pursuant to its right under Section 7.1, the parties shall jointly request an extension of the effective period of such FCC Consent. No extension of the effective period of any
FCC Consent shall limit the exercise by either party of its right to terminate the Agreement under Section 7.1. 
  
 Section 5.2. Conduct of Station Business. 
  
 (a) Certain Affirmative Covenants. From the Effective Date until the Closing Date,
except as otherwise consented to by Buyer in writing, Seller shall, subject to the provisions of Section 5.2(d) and 5.11, cause the Company to: 
  
 (i) operate and control the Station in all material respects in the ordinary course of business and in a manner consistent with
past practices (except where such conduct would conflict with the following 

 
covenants or with Seller’s other obligations under this Agreement) and otherwise in compliance in all material respects with all applicable Laws,
including the Communications Act, the FCC Licenses and all applicable Permits; 
  
 (ii) maintain and repair facilities and equipment related to the Company’s operations, maintain its inventory of supplies, parts and other materials and keep books of account, records and files, in each
case in the ordinary course of Station Business consistent with past practices; 
  
 (iii) keep in full force and effect insurance in respect of the Station Business comparable in amount and scope of coverage to that
now maintained; 
  
 (iv) perform in all
material respects all obligations under the Contracts and any other documents relating to or affecting the Company; 
  
 (v) comply with all applicable Laws; 
  
 (vi) preserve intact all goodwill of or relating to the Company and the Station; and 
  
 (vii) take all actions reasonably necessary or
appropriate to protect the Station from objectionable interference from other stations, including the filing of any and all necessary pleadings with the FCC to prevent or remedy such interference. 
  
 (b) Certain Negative Covenants. Seller
shall, subject to the provisions of Section 5.2(d) and 5.11, cause the Company not to (to the extent the following restrictions are permitted by the FCC, the Communications Act and all other applicable Laws), except as otherwise consented to by
Buyer in writing: 
  
 (i) other than in the
ordinary course of business, assign, sell, lease (as lessor), transfer or dispose of, or agree to assign, sell, lease (as lessor), transfer or dispose of, any material assets of the Company without replacement thereof with functionally equivalent or
superior assets; 
  
 (ii) apply to the FCC
for any FCC license, construction permit, authorization or any modification thereto that would restrict the Station’s present operations or make any adverse change in the buildings, leasehold improvements or fixtures owned by the Company,
including any Transmission Structure; 
  
 (iii)
enter into any material amendment or modification to, or grant any material waiver under, any lease, sublease, license, or other Contract with respect to the Leased Real Property. 
  
 (iv) incur, or suffer or permit to exist, any Lien (other than a Permitted Lien) on the assets of the
Company; 
  
 (v) enter into, renew, amend
or modify any Contract to which the Company is a party except to the extent that such Contract (A) is entered into in the ordinary course of business, (B) does not involve liabilities or obligations in excess of One Thousand Dollars ($1,000)
individually or Ten Thousand Dollars ($10,000) in the aggregate and (C) may be canceled on not more than thirty (30) days notice; 
  
 (vi) enter into any local marketing agreement, joint sales agreement, time brokerage agreement, shared services agreement or other
similar Contract in respect of the programming or operations of the Station; 
  
 (vii) except as required by applicable Laws or Existing Contract, (A) hire any employee except in the ordinary course of business and consistent with past practices of the Company, (B) enter into, renew, amend
or modify any contract of employment, collective bargaining agreement or other labor contract, in each case in, or (C) permit any increases in the compensation of any of the employees of the Station except in the ordinary course of business.

 (viii) enter into any new Plan or amend any existing Plan or grant any increases
in employee compensation except for increases in compensation in the ordinary course of business and consistent with past practice; 
  
 (ix) make any capital expenditure or commitment or addition to property, plant or equipment of the Company, individually or in the
aggregate, in excess of Five Thousand Dollars ($5,000); 
  
 (x) take, or fail to take, any other action which could reasonably be expected to result in a breach or inaccuracy in any of the representations or warranties of Seller contained in this Agreement; 
  
 (xi) agree or commit, whether in writing or otherwise,
to take any of the actions specified in the foregoing clauses; or 
  
 (xii) commit or suffer any of the acts described in clauses (a) through (t) of Section 3.11. 
  
 (c) FCC Licenses; Permits. During the period commencing on the Effective Date and ending on the earlier of the
Closing Date or the termination of this Agreement, Seller shall cause the Company to (i) maintain in effect the FCC Licenses and all Permits that are required to carry on the Station Business, (ii) promptly execute any necessary applications for
renewal of FCC Licenses necessary for the operation of the Station as presently conducted and will use reasonable efforts to cooperate with Buyer in any other respect as Buyer may reasonably request in order to enhance, protect, preserve or maintain
the Station Business; (iii) timely file with the FCC all required reports and renewal applications (and timely prosecute same) and pay any required annual regulatory fees for the operation of the Station; and (iv) deliver to Buyer, within ten (10)
Business Days after filing, copies of any reports, applications or responses to the FCC related to the Station which are filed during such period. Upon request of Buyer, Seller shall cause the Company to consent, pursuant to 47 C.F.R. Section
73.3517, to the filing by, and in the name of Buyer (or any permitted assignee of Buyer) of an application requesting the authorization of the FCC to modify any FCC License or authorization of or relating to the Company, provided that such
authorization be contingent upon Closing. 
  
 (d) Performance under the PMA and TBA. Seller shall not have any obligation to Buyer under Sections 5.2(a) and 5.2(b) for actions taken by Buyer pursuant to the PMA, or for the failure by Buyer to perform its obligations under
the PMA. 
  
 Section 5.3. Purchase of
Additional Shares. Prior to the Closing Date, Seller shall acquire from Voth all right, title and interest in and to the Additional Shares, free and clear of any and all Liens (except for Liens in connection with the Closing Debt).

  
 Section 5.4. Obligation to Consummate
Transaction; Further Assurances. Each of the parties hereto agrees to use all commercially reasonable efforts to take, or cause to be taken, all action, and to do, or cause to be done, all things necessary, proper or advisable to the extent
permissible under applicable Laws, to consummate and make effective the transactions contemplated by this Agreement by the Closing Date and to ensure that the conditions set forth in Article VI are satisfied, insofar as such matters are within the
control of either of them. Without limitation to the foregoing, Seller shall use its reasonable best efforts to obtain all Material Consents. Seller shall use good faith efforts to assist Buyer in dealing with members of the local business and
financial community with respect to the future operations of the Company. In case at any time after the Closing Date any further action is necessary or desirable to carry out the purposes of this Agreement, each of the parties to this Agreement
shall take or cause to be taken all such necessary actions, including the execution and delivery of such further instruments and documents, as may be reasonably requested by either party for such purposes or otherwise to complete or perfect the
transactions contemplated hereby. After the Closing Date, Seller and its members shall cooperate with and provide reasonable assistance to the Company and Buyer in connection with the operation of the Station Business. 
  
 Section 5.5. Exclusivity. From the Effective Date
until the earliest of (a) the Closing Date, (b) the termination of this Agreement (other than as a result of the failure of Seller to comply with or perform its 

 
covenants and obligations under this Agreement), and (c) the date of termination of this Agreement as a result of the failure of Seller to comply with or
perform its covenants and obligations under this Agreement, Seller shall not, and shall not permit any of its Affiliates or any partners, directors, officers or agents of the foregoing to, directly or indirectly, solicit or initiate, enter into or
conduct discussions concerning, or exchange information (including by way of furnishing information concerning Seller or the Station Business) or enter into any negotiations concerning, or respond to any inquiries or solicit, receive, entertain or
agree to any proposals for, the acquisition of the Shares, the Company, the Station Business, the assets of the Company or any substantial part thereof. In addition, during such time period, Seller shall notify Buyer of the identity of any Person
that approaches Seller and the contents of any such proposals, inquiries or discussions. 
  
 Section 5.6. Access and Information; Additional Disclosure. 
  
 (a) Access and Information. From the Effective Date until the earlier of the Closing Date and the termination of this
Agreement, Seller shall permit Buyer and its representatives to make such investigation of the Company as Buyer deems necessary or desirable in connection with the transactions contemplated hereby. Such investigation shall include access to the
directors, officers, employees, agents and representatives (including legal counsel and independent accountants) of Seller and the operations, properties, books and records of the Station Business. During such period, Seller shall furnish Buyer and
its representatives with such financial, operating and other data and information, and copies of documents with respect to the Company, as Buyer shall from time to time request. Such access and investigation shall be made upon reasonable notice and
at reasonable places and times. Such access and information shall not in any way diminish or otherwise affect any of the representations or warranties hereunder or Buyer’s rights to indemnification in respect of any breach thereof. Without
limiting the foregoing, during such period, Seller shall keep Buyer informed as to the operations of the Company and shall consult with Buyer with respect thereto. 
  
 (b) Additional Disclosure. From the Effective Date until the earlier of the Closing
Date and the termination of this Agreement, Seller shall give prompt written notice to Buyer of (i) the occurrence, or failure to occur, of any event which could reasonably be expected to cause any representation or warranty made by it in this
Agreement or any Exhibit or Schedule hereto to be untrue or inaccurate as of the Effective Date or as of the Closing Date, and (ii) any failure to comply with or satisfy any covenant, condition or agreement required to be complied with or satisfied
by it under this Agreement or any Exhibit or Schedule hereto; provided, however, that such disclosure shall not be deemed to cure any breach of representation, warranty, covenant or agreement or to satisfy any condition for purposes of
determining whether the conditions set forth in Article VI have been satisfied. 
  
 Section 5.7. Certain Tax Matters. 
  
 (a) All transfer, documentary, sales, use, stamp, registration, and other such Taxes and fees (including any penalties and
interest) incurred in connection with this Agreement and the transactions contemplated hereby, other than Tax on income, shall be paid one-half by Buyer and one-half by Seller. Each party shall file, to the extent required by applicable Law, all
necessary Tax Returns and other documentation with respect to all such transfer or sales and use Taxes. 
  
 (b) Seller shall be responsible for the initial preparation of all federal, state, foreign and local income Tax Returns of Company
for taxable periods actually ending on or before the Closing Date. Buyer shall have the right, directly and through its designated representatives, to review at its expense any such Tax Returns that pertain to Company at least 30 days prior to the
due date of the return. Seller agrees not to take, or cause Company to take, any position or make any election on any such return inconsistent with prior reporting practices without the prior written consent of Buyer, if the effect of any such
election or position may be to increase the Taxes of Company thereof from taxable periods (or portions thereof) beginning after the Closing Date or to file an extension on the due date for any Tax Return or to file an amended return without first
obtaining Buyer’s consent. Seller will forward any “separate company” state and local Tax Returns due after the Closing Date to Buyer, together with any necessary payment of Tax, interest or penalties, if applicable, for signature and
filing at least 15 days prior to the due date of such returns. 

 (c) Buyer shall cause to be prepared, and filed, all income Tax Returns of Company
for all taxable periods ending after the Closing. 
  
 Section 5.8. Public Announcements. Prior to the Closing, neither Buyer nor Seller shall issue any press release or otherwise make any public statement with respect to the transactions contemplated hereby without
the prior written consent of the other party hereto. At and after the Closing, (a) Buyer shall have the right to issue any press release or otherwise make any public statement with respect to the transactions contemplated hereby without the consent
of Seller and (b) Seller shall have the right to issue a press release or otherwise make a public statement with respect to the transactions contemplated hereby only upon the prior written consent of Buyer. Notwithstanding anything to the contrary
herein, any party may issue any press release or make any public statement with respect to the transactions contemplated hereby without the approval of the other party as may be required by applicable Law or court process. 
  
 Section 5.9. Checks; Remittances and Refunds.
After the Closing, if Seller or its Affiliates receive any payment, refund or other amount which is attributable to, results from or is related to a the Company or is otherwise properly due and owing to Buyer in accordance with the terms of this
Agreement, Seller shall promptly remit, or cause to be remitted, such amount to Buyer. After the Closing, if Buyer or its Affiliates receive any refund or other amount which is properly due and owing to Seller in accordance with the terms of this
Agreement, Buyer shall promptly remit, or cause to be remitted, such amount to Seller. 
  
 Section 5.10. Cooperation in Litigation. From and after the Closing Date, Buyer and Seller shall fully cooperate with each other in the defense or prosecution of any litigation or
examination, audit, or other proceeding instituted prior to the Closing or which may be instituted hereafter against or by such parties relating to or arising out of the conduct of the Station Business prior to or after the Closing (other than
litigation between Buyer and Seller or their respective Affiliates arising out of the transactions contemplated hereby or by the other agreements, certificates and documents delivered in connection herewith). The party requesting such cooperation
shall pay the reasonable out-of-pocket costs and expenses incurred in providing such cooperation (including legal fees and disbursements) as well as any applicable Taxes in connection therewith by the party providing such cooperation and by its
officers, directors, employees and agents, but shall not be responsible for reimbursing such party or its officers, directors and employees for their time spent in such cooperation, provided that the amount of such time is reasonable and
consistent with such person’s other obligations. 
  
 Section 5.11. No Premature Assumption of Control. Nothing contained in this Agreement shall give Buyer any right to, directly or indirectly, control, supervise or direct, or attempt to control, supervise or
direct, the programming, operations, or any other matter relating to the Station prior to the Closing Date. 
  
 Section 5.12. Expenses. Except as expressly set forth herein, each party hereto shall bear its own costs and expenses incurred
in connection with the transactions contemplated hereby. 
  
 Section 5.13. Termination of Agreements. Seller and Buyer shall terminate, effective as of the Closing, that certain Programming Management Agreement by and between Buyer and Seller dated as of March 26, 2001
(the “PMA”). Seller shall cause to be terminated, effective as of the Closing, that certain Time Brokerage Agreement by and between Seller and the Company dated as of July 1, 1999 (the “TBA”).

  
 Section 5.14. Communications Purchase.
Seller acknowledges and agrees that Buyer has entered, or will enter, into the Communications Purchase Agreement under which Buyer will purchase certain Common Stock of the Company owned by Communications, and that such transaction does not
violate any provision of the Settlement Agreement by and between Seller and Communications nor does it represent any interference by Buyer with Seller’s option or other rights thereunder. 

 ARTICLE VI—CONDITIONS PRECEDENT 
  
 Section 6.1. Conditions to Obligations of Buyer. The obligations of Buyer to consummate the
transactions contemplated by this Agreement are subject to the satisfaction or waiver by Buyer of the following conditions: 
  
 (a) Representations and Warranties. All representations and warranties of Seller contained in this Agreement shall be
true and correct at and as of the Closing Date as though made at and as of that time except (i) to the extent any such representation or warranty is expressly stated only as of a specified earlier date or dates, in which case such representation and
warranty shall be true and accurate as of such earlier specified date or dates or (ii) where the consequence of the matter set forth in such representation and warranty having failed to be true and accurate as of the date when made, on the Closing
Date or on such earlier specified date would not result in a Material Adverse Effect. 
  
 (b) Covenants; Material Adverse Effect. Seller shall have performed and complied in all material respects with all
covenants and agreements required to be performed or complied with on or prior to the Closing Date. As of the Closing Date, there shall have been no Material Adverse Effect. 
  
 (c) Seller Officer’s Certificate. Buyer shall have received a certificate, dated
as of the Closing Date, duly executed by an authorized officer of Seller certifying that: 
  
 (i) the conditions set forth in Sections 6.1(a) and (b) have been fulfilled; 
  
 (ii) (A) Seller’s certificate of formation,
operating agreement or other constitutive documents of Seller, attached to the certificate, are true and complete, (B) such organizational documents have been in full force and effect in the form attached since the date of the adoption of the
resolutions referred to in clause (C) below and no amendment to such organizational documents has occurred since the date of the last amendment annexed thereto, if any, and (C) the written consent of the members of Seller authorizing the execution,
delivery and performance of this Agreement, attached to the certificate, were duly approved, remains in full force and effect, and has not been amended, rescinded or modified, except to the extent attached thereto; and 
  
 (iii) the person executing this Agreement and any
other document or instrument pursuant to this Agreement is a properly authorized officer or representative of Seller and the specimen signature of such person on such certificate is genuine. 
  
 (d) Company Officer’s Certificate.
Buyer shall have received a certificate, dated as of the Closing Date, duly executed by an authorized officer of the Company certifying that the Company’s certificate of incorporation and bylaws, attached to the certificate, are true and
complete. 
  
 (e) Certificates of
Good Standing. Buyer shall have received certificates of good standing of each of Seller and the Company, and a copy of the certificate of incorporation of Seller, each certified by the Secretary of State or other appropriate official of the
State of Delaware. Buyer shall have received a certificate of good standing of the Company to do business in the State of Georgia, certified by the appropriate official of the State of Georgia. Each such certificate shall be dated as of a date not
more than ten (10) days prior to the Closing Date. 
  
 (f) No Injunction. No Law shall have been enacted, entered, promulgated or enforced by any Governmental Authority that prohibits the consummation of all or any part of the transactions contemplated by this Agreement and
the other agreements, certificates and documents delivered in connection herewith, and no action or proceeding shall be pending or threatened by any Governmental Authority or other Person seeking any such order or decree or seeking to recover any
damages or obtain other relief as a result of the consummation of such transactions. 

 (g) Material Consents. Buyer shall have received duly executed and
delivered copies of all Material Consents, including the Consent set forth on Schedule 4.3. 
  
 (h) Closing with Voth. Seller shall have closed on the purchase of the Additional Shares from Voth, free and clear of
any Liens. 
  
 (i) Certain Closing
Documents. Seller shall have delivered or caused to be delivered to Buyer: 
  
 (i) certificates evidencing the Shares with (A) fully executed stock powers or (B) an assignment separate from certificate
satisfactory to Buyer; 
  
 (ii) a receipt,
in a form satisfactory to Buyer, acknowledging receipt of the Base Purchase Price; 
  
 (iii) an agreement to terminate the PMA duly executed by Seller; 
  
 (iv) evidence to Buyer’s reasonable satisfaction of the termination of the TBA; 
  
 (v) written resignations of all officers and directors
of the Company; 
  
 (vi) all minute books,
stock ledgers, corporate seals, and other corporate records of the Company; 
  
 (vii) evidence to Buyer’s reasonable satisfaction of the release of the Seller Lien by Seller and the Bank Lien by Bank of America, N.A.; 
  
 (viii) a duly executed assignment of that certain lease between the City of Atlanta and Seller
related to the Transmission Structures; and 
  
 (ix) all keys, computer passwords, and other items in Seller’s possession needed to access the assets of the Company. 
  
 (j) FCC Consent. The FCC Consent shall have been granted and such grant shall have become a Final Order and shall be
effective. 
  
 (k) Fairness
Opinion. Buyer shall have received a fairness opinion, in form and substance reasonably satisfactory to Buyer, to the effect that the price and other terms of this Agreement are substantially fair to Buyer. 
  
 (l) Opinion of Counsel. Buyer shall have
received an opinion of counsel from counsel to Seller, in form and substance reasonably satisfactory to Buyer, as to: 
  
 (i) The existence, power and authority of Seller, and the validity, binding nature, and enforceability against Seller of this
Agreement and the closing documents; 
  
 (ii)
The existence, good standing, qualification and capitalization of the Company; 
  
 (iii) The due and valid issuance of the Shares; 
  
 (iv) The absence of Liens on the Shares pursuant to the Uniform Commercial Code; and 
  
 (v) The effectiveness of the FCC Consent. 

 
 (m) FCC License Renewal. All
applications for renewal of FCC Licenses shall have been granted such grant shall have become a Final Order and shall be effective. 

 (n) Other Documents. Buyer shall have received such other documents,
certificates or instruments as it may reasonably request, and all actions and proceedings hereunder and all documents and other papers required to be delivered by Seller hereunder or in connection with the consummation of the transactions
contemplated hereby, and all other related matters, shall be reasonably acceptable to Buyer as to their form and substance. 
  
 Section 6.2. Conditions to Obligations of Seller. The obligations of Seller to consummate the transactions contemplated by
this Agreement are subject to the satisfaction of the following conditions, unless waived by Seller: 
  
 (a) Representations and Warranties. All representations and warranties of Buyer contained in this Agreement shall be
true and correct at and as of the Closing Date as though made at and as of that time except (i) to the extent any such representation or warranty is expressly stated only as of a specified earlier date or dates, in which case such representation and
warranty shall be true and accurate as of such earlier specified date or dates or (ii) where the consequence of the matter set forth in such representation and warranty having failed to be true and accurate as of the date when made, on the Closing
Date or on such earlier specified date would not result in a Material Adverse Effect. 
  
 (b) Covenants. Buyer shall have performed and complied in all material respects with all covenants and agreements
required to be performed or complied with on or prior to the Closing Date. 
  
 (c) Officer’s Certificate. Seller shall have received a certificate, dated as of the Closing Date, duly executed by an authorized officer of Buyer, certifying that: 
  
 (i) the conditions set forth in Sections 6.2(a) and
(b) have been fulfilled; 
  
 (ii) (A)
Buyer’s certificate of incorporation and by-laws, attached to the certificate, are true and complete, (B) such organizational documents have been in full force and effect in the form attached since the date of the adoption of the resolutions
referred to in clause (C) below and no amendment to such organizational documents has occurred since the date of the last amendment annexed thereto, if any, and (C) the resolutions adopted by the board of directors Buyer (or a committee thereof duly
authorized) authorizing the execution, delivery and performance of this Agreement, attached to the certificate, were duly adopted at a duly convened meeting thereof, at which a quorum was present and acting throughout or by unanimous written
consent, remain in full force and effect, and have not been amended, rescinded or modified, except to the extent attached thereto; and 
  
 (iii) the person executing this Agreement and any other document or instrument pursuant to this Agreement is a properly authorized
officer of Buyer and the specimen signature of such person on such certificate is genuine. 
  
 (d) Certain Closing Deliveries. Buyer shall have delivered or caused to be delivered to Seller payment of the Base
Purchase Price by wire transfer of immediately available funds directly to the account designated in writing by Buyer to Seller not later than two business days prior to the Closing Date. 
  
 (e) FCC Consent. The FCC Consent shall have been granted and shall be effective.

  
 (f) Other Documents.
Seller shall have received such other documents, certificates or instruments as it may reasonably request, and all actions and proceedings hereunder and all documents and other papers required to be delivered by Buyer hereunder or in connection with
the consummation of the transactions contemplated hereby, and all other related matters, shall be reasonably acceptable to Seller as to their form and substance. 
  
 Section 6.3. Frustration of Closing Conditions. With respect to the conditions to its
obligations to consummate the transactions contemplated by this Agreement as provided hereunder and its rights to terminate 

 
this Agreement as provided in Section 7.1, neither party may rely on the failure of any condition set forth in this Article VI to be satisfied if such
failure was caused by such party’s failure to act in good faith or to use its commercially reasonable efforts to cause the Closing to occur to the extent required by Section 5.4. 
  
 ARTICLE VII—TERMINATION 
  

Section 7.1. Termination. This Agreement shall terminate on the earliest to occur of any of the following events:

  
 (a) the mutual written agreement of
Buyer and Seller; 
  
 (b) by Notice of
Termination of Buyer or Seller, (i) if the Closing shall not have occurred prior to the close of business on the eighteen (18) month anniversary of the Effective Date (other than as a result of the failure on the part of the party seeking to
terminate this Agreement to comply with or perform its covenants, agreements and obligations under this Agreement) or (ii) if the FCC Consent shall have been denied by Final Order; 
  
 (c) thirty (30) days following Notice of Termination of Buyer to Seller, if Seller shall have
materially breached any of its representations, warranties, covenants, agreements or obligations hereunder (and if Seller fails cure such breach within such thirty-day period); provided, however, that Buyer’s right under this
Section 7.1(c) may not be exercised after the Closing; or 
  
 (d) thirty (30) days following Notice of Termination of Seller to Buyer, if Buyer shall have materially breached any of its representations, warranties, covenants, agreements or obligations hereunder (and if
Buyer fails to cure such breach within such thirty-day period); provided, however, that Seller’s right under this Section 7.1(d) may not be exercised after the Closing. 
  
 Section 7.2. Procedure and Effect of Termination. 
  
 (a) Notice of Termination. Any
termination by either party shall be communicated by a written notice to the other party (the “Notice of Termination”). The Notice of Termination shall indicate the termination provision in this Agreement claimed to provide a basis
for termination of this Agreement. Termination of this Agreement pursuant to the terms and subject to the conditions of Sections 7.1(a) and 7.1(b) shall be effective upon and as of the date of delivery of a Notice of Termination. Termination of this
Agreement pursuant to the terms and subject to the conditions of Sections 7.1(c) and 7.1(d) shall be effective thirty (30) days following delivery of a Notice of Termination, provided that the breach described in such Notice of Termination has not
been cured prior to the expiration of such thirty-day period. 
  
 (b) Certain Effects of Termination. Nothing in this Article VII shall relieve either party of any liability for a breach of this Agreement prior to the termination hereof. Except as provided in
the foregoing sentence, (i) upon the termination of this Agreement, all rights and obligations of the parties under this Agreement shall terminate, except their respective obligations under Sections 5.4, 5.6, 5.7 and 5.14, Article VIII and this
Section 7.2(b), which shall survive the termination of this Agreement except as specifically provided in such sections and (ii) neither of the parties hereto nor any of their respective partners, members, directors, officers, shareholders,
employers, agents or Affiliates (each, a “Related Party”) shall have any liability or further obligation to the other party or any of their respective Related Parties pursuant to this Agreement with respect to which termination has
occurred, except in respect of the rights and obligations identified in clause (i) above, which shall survive as provided in this Section 7.2(b). 
  
 (c) Withdrawal of Certain Filings. All filings, applications and other submissions relating to the transactions
contemplated by this Agreement as to which termination has occurred shall, to the extent practicable, be withdrawn from the agency or other Person to which made. 

 (d) Put Right. Notwithstanding anything herein to the contrary,
effective upon termination of this Agreement prior to Closing for any reason other than pursuant to Section 7.1(d), Seller hereby grants to Buyer a right, but not an obligation, to sell to Seller, and upon exercise of such right Seller agrees to
purchase, at a purchase price of Three Million Five Hundred Dollars ($3,500,000) (the “Put Price”), the 980 shares of Common Stock of the Company purchased by Buyer from Communications pursuant to the Communications Purchase
Agreement (the “Put Shares”), free and clear of any Liens. The right set forth in this Section 7.2(d) may be exercised by Buyer at anytime during the sixty (60) day period following termination of this Agreement prior to Closing for
any reason other than pursuant to Section 7.1(d), by written notice to Seller. Closing upon the sale of the Put Shares shall occur not later than 10 business days following the date of such notice. At such closing, Buyer shall deliver to Seller the
certificates evidencing the Put Shares, accompanied by duly executed stock powers, and Seller shall pay to Buyer the Put Price by wire transfer of immediately available funds. In addition, Seller shall assume all Buyer’s obligations under the
Communications Purchase Agreement and release Buyer from and indemnify Buyer against any liability thereunder, whether arising prior to or subsequent to Seller’s exercise of its rights under this Section 7.2(d). 
  
 ARTICLE VIII—INDEMNIFICATION 
  
 Section 8.1. Indemnification by Seller. From and
after the Closing, Seller shall indemnify and hold harmless Buyer and its Affiliates, and the directors, officers, employees and other agents and representatives of Buyer and its Affiliates from and against any and all liabilities, judgments,
claims, settlements, losses, damages, fees, Liens, Taxes, penalties, obligations and expenses (including reasonable attorney’s fees and expenses and costs and expenses of investigation) (collectively, “Losses”) incurred or
suffered, directly or indirectly, by any such Person arising from, by reason of or in connection with: 
  
 (a) any breach or inaccuracy of any representation or warranty of Seller contained in this Agreement or any certificate, instrument
or other document delivered by Seller hereunder or in connection with the consummation of the transactions contemplated hereby or thereby; 
  
 (b) the non-fulfillment or breach of any covenant, obligation or agreement made by Seller in this Agreement; 
  
 (c) the failure of Seller to comply with any Laws
relating to Tax applicable to the transactions contemplated by this Agreement; and 
  
 (d) any inaccuracy, non-fulfillment or breach by Communications of its representations, warranties, covenants, agreements or other
obligations under the Communications Purchase Agreement; 
  
 provided, however,
that Seller shall have no obligation pursuant to this Section 8.1 with respect to Losses arising from a breach of representations and warranties until the aggregate amount of such Losses exceeds $25,000, and then only for Losses in excess of such
amount. Seller acknowledges that Buyer is relying upon the representations and warranties of Seller hereunder in purchasing shares of stock of the Company from Communications pursuant to the Communications Purchase Agreement, and Seller further
acknowledges that a Loss suffered by Buyer by reason of such reliance constitutes a “Loss” for purposes of this Section 8.1. 
  
 Section 8.2. Indemnification by Buyer. From and after the Closing, Buyer shall indemnify and hold harmless Seller and its
Affiliates, and the directors, officers, employees and other agents and representatives of Seller and its Affiliates from and against any and all Losses incurred or suffered, directly or indirectly, by any such Person arising from, by reason of or
in connection with: 
  
 (a) any breach or
inaccuracy of any representation or warranty of Buyer contained in this Agreement or any certificate or other document delivered by Buyer hereunder or in connection with the consummation of the transactions contemplated hereby or thereby; and

 (b) the non-fulfillment or breach by Buyer of any covenant, obligation or
agreement made by it in this Agreement; 
  
 provided, however, that Buyer shall
have no obligation pursuant to this Section 8.2 with respect to Losses arising from a breach of representations and warranties until the aggregate amount of such Losses exceeds $25,000, and then only for Losses in excess of such amount. 

 
 Section 8.3. Calculation of Losses. Any
indemnity payment hereunder shall be treated as an adjustment to the Adjusted Purchase Price to the extent permitted by applicable Law. Where the receipt of any such payment is treated for Tax purposes in a manner other than as an adjustment to the
Adjusted Purchase Price, the amount of the payment shall be adjusted to take account of any net Tax cost actually incurred, or benefit actually enjoyed, by the Indemnified Party in respect thereof.  
  
 Section 8.4. Certain Procedures for
Indemnification. 
  
 (a) In the
event that any Person entitled to indemnification under this Agreement (an “Indemnified Party”) asserts a claim for indemnification, or receives notice of the assertion of any claim or of the commencement of any action or proceeding
by any Person not a party to this Agreement against such Indemnified Party, for which a party to this Agreement is required to provide indemnification under this Article VIII (an “Indemnifying Party”), the Indemnified Party shall
promptly notify the Indemnifying Party in writing of the claim or the commencement of that action; provided, however, that the failure to so notify the Indemnifying Party shall not relieve it from any liability which it may have to the
Indemnified Party, except to the extent that the Indemnifying Party is materially prejudiced in its ability to defend such action. 
  
 (b) With respect to third party claims for which indemnification is claimed hereunder, (i) the Indemnifying Party shall be entitled
to participate in the defense of any such claim, and (ii) if, in the judgment of the Indemnified Party, such claim can properly be resolved by money damages alone and the Indemnifying Party has the financial resources to pay such damages, and the
Indemnifying Party admits that this indemnity fully covers the claim or litigation, then the Indemnifying Party shall be entitled (y) to direct the defense of any claim at its sole cost and expense, but such defense shall be conducted by
legal counsel reasonably satisfactory to the Indemnified Party, and (z) to settle and compromise any such claim or action for money damages alone; provided, however, that if the Indemnified Party has elected to be represented by
separate counsel pursuant to the proviso below, or if such settlement or compromise does not include an unconditional release of the Indemnified Party for any liability arising out of such claim or action, such settlement or compromise shall be
effected only with the written consent of the Indemnified Party. After notice from the Indemnifying Party to the Indemnified Party of its election to assume the defense of such claim or action, the Indemnifying Party shall not be liable to the
Indemnified Party under this Section 8.4 for any legal or other expenses subsequently incurred by the Indemnified Party in connection with the defense thereof other than reasonable costs of investigation or of assistance as contemplated by this
Section 8.4; provided, however, that the Indemnified Party shall have the right to employ, at its sole cost and expense, counsel to represent it if, in the opinion of the Indemnified Party, it is advisable for the Indemnified Party to
be represented by separate counsel due to actual or potential conflicts of interest, and in that event, the fees and expenses of such separate counsel shall be paid by the Indemnifying Party; provided further, that in no event shall the
Indemnifying Party be responsible for the fees of more than one counsel to the Indemnified Party. The Indemnified Party and the Indemnifying Party shall each render to each other such assistance as may reasonably be requested in order to ensure the
proper and adequate defense of any such claim or proceeding. 
  
 Section 8.5. Survival; Expiration. 
  
 (a) Notwithstanding any investigation made by or on behalf of Seller or Buyer prior to, on or after the Closing Date, the representations and warranties contained in this Agreement and in any document,
instrument or certificate executed and delivered in connection herewith shall survive the consummation of the transactions contemplated hereby and thereby and shall terminate upon the third anniversary of the 

 
Effective Date; provided, however, that Seller’s representations and warranties as to Seller’s title to the Shares shall survive indefinitely. The
covenants of the parties hereto shall survive until fully performed and discharged, unless otherwise expressly provided herein. 
  
 (b) Any right of indemnification or reimbursement pursuant to this Article VIII with respect to a claimed breach, inaccuracy or
non-fulfillment of any representation, warranty, covenant, agreement or obligation shall expire on the applicable date of termination of the representation, warranty, covenant, agreement or obligation claimed to be breached as set forth in Section
8.5(a) (the “Expiration Date”), unless on or prior to the applicable Expiration Date, the Indemnifying Party has received written notice from the Indemnified Party of such breach, inaccuracy or non-fulfillment from the Indemnified
Party, in which case the Indemnified Party may continue to pursue its right of indemnification or reimbursement hereunder beyond the Expiration Date of the applicable representation, warranty, covenant, agreement or obligation. 
  
 Section 8.6. Other Rights and Remedies Not
Affected. The indemnification rights of the parties under this Article VIII are independent of, and in addition to, such rights and remedies as the parties may have at law or in equity or otherwise for any intentional or knowing
misrepresentation, breach of warranty or failure to fulfill any agreement or covenant hereunder on the part of any party hereto, including the right to seek specific performance, rescission or restitution, none of which rights or remedies shall be
affected or diminished thereby. 
  
 ARTICLE
IX—MISCELLANEOUS 
  
 Section 9.1.
Governing Law. Construction and interpretation of this Agreement shall be governed by the Laws of the State of Delaware, excluding any conflicts or choice of law rule or principle that might otherwise refer construction or
interpretation of this Agreement to the substantive Law of another jurisdiction. 
  
 Section 9.2. Notices. All notices, requests, demands and other communications which are required or may be given pursuant to the terms of this Agreement (including Notices of Termination)
shall be in the English language and in written or electronic form, and shall be deemed delivered (a) on the date of delivery when (i) delivered by hand or (ii) sent by reputable overnight courier maintaining records of receipt and (b) on the date
of transmission when sent by facsimile or other electronic transmission during normal business hours with confirmation of transmission by the transmitting equipment; provided, however, that any such communication delivered by facsimile or
other electronic transmission shall only be effective if such communication is also delivered by hand or deposited with a reputable overnight courier maintaining records of receipt within two (2) Business Days after its delivery by facsimile or
other electronic transmission. All such communications shall be addressed to the parties at the address set forth in Exhibit 9.2, or at such other address as a party may designate upon ten (10) days’ prior written notice to the other
party. 
  
 Section 9.3. Benefits of
Agreement. All of the terms and provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns. Except for the provisions of Article VIII, this
Agreement is for the sole benefit of the parties hereto and not for the benefit of any third party. 
  
 Section 9.4. Amendments and Waivers. No modification, amendment or waiver of any provision of, or consent or approval required
by, this Agreement, nor any consent to or approval of any departure herefrom, shall be effective unless it is in writing and signed by the party against whom enforcement of any such modification, amendment, waiver, consent or approval is sought.
Such modification, amendment, waiver, consent or approval shall be effective only in the specific instance and for the purpose for which given. Neither the failure of either party to enforce, nor the delay of either party in enforcing, any condition
or part of this Agreement at any time shall be construed as a waiver of that condition or part or forfeit any rights to future enforcement thereof. No action taken pursuant to this Agreement, including any investigation by or on behalf of either
party hereto, shall be deemed to constitute a waiver by the party taking action of compliance by the other party with any representation, warranty, covenant or agreement contained herein. 

 Section 9.5. Assignment. This Agreement and the rights and obligations
hereunder shall not be assignable or transferable by either party hereto (including in connection with a merger, consolidation, sale of substantially all of the assets of such party or otherwise by operation of law) without the prior written consent
of the other party hereto; provided, however, that Buyer may assign any or all of its rights and obligations under this Agreement to any of its Affiliates (including the transfer of the FCC License to an Affiliate) without the consent of
Seller. 
  
 Section 9.6. Enforceability;
Severability. (a) If any covenant or provision hereof is determined to be void or unenforceable in whole or in part, it shall not be deemed to affect or impair the validity of any other covenant or provision, each of which is hereby declared
to be separate and distinct, (b) if any provision of this Agreement is so broad as to be unenforceable, such provision shall be interpreted to be only so broad as is enforceable, and (c) if any provision of this Agreement is declared invalid or
unenforceable for any reason other than overbreadth, the offending provision will be modified so as to maintain the essential benefits of the bargain among the parties hereto to the maximum extent possible, consistent with Law and public policy.

  
 Section 9.7. Entire Agreement.
This Agreement, together with the Schedules and Exhibits expressly contemplated hereby and attached hereto and the other agreements, certificates and documents delivered in connection herewith or otherwise in connection with the transactions
contemplated hereby and thereby, contains the entire agreement among the parties with respect to the transactions contemplated by this Agreement and supersede all prior agreements or understandings among the parties with respect to the subject
matter hereof. 
  
 Section 9.8.
Counterparts. This Agreement may be executed in any number of counterparts, and each such counterpart hereof shall be deemed to be an original instrument, but all such counterparts together shall constitute but one agreement.
Delivery of an executed counterpart of a signature page of this Agreement by facsimile or other electronic transmission shall be effective as delivery of a manually executed original counterpart of this Agreement. 
  
 [Remainder of page intentionally left blank] 

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

									
	 MABLETON INVESTMENT GROUP, LLC
	 	 	 	 RADIO ONE, INC.

					
	By:	 	/s/    ALFRED C. LIGGINS III	 	 	 	By:	 	/s/    SCOTT R. ROYSTER
	Name:	 	Alfred C. Liggins III	 	 	 	Name:	 	Scott R. Royster
	Title:	 	Manager	 	 	 	Title:	 	Executive VP/CFO

  
 The undersigned, being
the sole member of Seller, hereby unconditionally guarantees to Buyer and its successors and assigns the indemnification obligations of Seller as set forth in Section 8.1. 
  
  

	
	/s/    ALFRED C. LIGGINS III
	Alfred C. Liggins, III

  
  
 [Signature Page to Stock Purchase Agreement] 

 Schedules to Asset Purchase Agreement 
  

			
		
	Schedule 3.4	  	Seller Consents
		
	Schedule 4.3	  	Buyer Consents

  
 Exhibits to Asset
Purchase Agreement 
  

			
		
	Exhibit 1.1	  	Certain Defined Terms; Certain Interpretations
		
	Exhibit 9.2	  	Notices

 EXHIBIT 1.1—CERTAIN DEFINED TERMS;
CERTAIN INTERPRETATIONS 
  
 I.    Certain Defined Terms. The capitalized terms contained and used in this Agreement which are defined below shall have the respective meanings ascribed to them as follows: 
  
 “Accounting Firm” has the meaning set forth in Section
2.3(c). 
  
 “Accrued Compensation” means any and
all salary, accrued vacation and sick leave, and commissions and reimbursements for expenses due and owing to each Employee. 
  
 “Additional Shares” has the meaning set forth in the recitals hereof. 
  
 “Adjusted Purchase Price” has the meaning set forth in Section 2.2. 
  
 “Affiliate” means, with respect to any Person, any other
Person which, directly or indirectly, Controls, is Controlled by, or is under common Control with, the specified Person. For purposes of this Agreement, (i) Seller shall not be deemed an Affiliate of Buyer, (ii) Buyer shall not be deemed an
Affiliate of Seller, and (iii) Alfred C. Liggins, III shall not be deemed an Affiliate of Buyer. 
  
 “Agreement” has the meaning set forth in the recitals hereof. 
  
 “Bank Lien” means the Lien in favor of Bank of America, N.A. in connection with the Bank Loan. 

 
 “Bank Loan” means that certain Credit Agreement dated as
of March 30, 2001, as amended, by and between the Company and Bank of America, N.A. of which $2,547,629.00 is outstanding as of the Effective Date. 
  
 “Base Purchase Price” has the meaning set forth in Section 2.2. 
  
 “Business Day” means any day excluding Saturdays, Sundays and any day that is a legal holiday under the
laws of the United States or that is a day on which banking institutions located in New York, New York, are authorized or required by law or other governmental action to close. 
  
 “Buyer” has the meaning set forth in the recitals hereof. 
  
 “Buyer’s Knowledge” (and similar phrases) means the
actual knowledge of any officer or director of Buyer. 
  
 “Closing” has the meaning set forth in Section 2.5. 
  
 “Closing Balance Sheet” has the meaning set forth in Section 2.3(a). 
  
 “Closing Date” has the meaning set forth in Section 2.5. 
  
 “Closing Debt” has the meaning set forth in Section 2.4. 
  
 “COBRA Obligations” means all obligations of the Company
under Section 601 et seq. of ERISA. 
  
 “Code” means the Internal Revenue Code of 1986, as amended. 
  
 “Common Stock” has the meaning set forth in the recitals hereof. 
  
 “Communications” means Mableton Communications, LLLP (fka Mableton Communications, Ltd.), a Georgia limited liability limited
partnership. 

 “Communications Act” means collectively, the Communications Act of 1934, as amended, and
the rules, regulations and polices of the FCC promulgated thereunder. 
  
 “Communications Purchase Agreement” means that certain share purchase agreement by and between Buyer and Communications of even date herewith. 
  
 “Company” has the meaning set forth in the recitals hereof. 
  
 “Consent” means, with respect to a Contract or a Permit, any
consent or approval of any Person other than any party to this Agreement which, in accordance with the terms of such Contract or Permit, is required to be obtained for the assignment thereof to Buyer. 
  
 “Contracts” means written or oral contracts, commitments,
arrangements, agreements, leases, licenses, purchase orders for the sale or purchase of goods or services and any other understandings. 
  
 “Control” including its various tenses and derivatives (such as “Controlled” and “Controlling”) means
(i) when used with respect to any Person, the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such entity, whether through the ownership of voting securities, by Contract or
otherwise and (ii) when used with respect to any security, the possession, directly or indirectly, of the power to vote, or to direct the voting of, such security or the power to dispose of, or to direct the disposition of, such security.

  
 “Copyrights” means all copyrights, copyright
applications and copyright registrations and foreign counterparts thereof, including all rights to computer software programs (including object and source code, program documentation, disks, tapes, manuals, guides and other materials with respect
thereto), works of authorship and rights to databases of any kind under the Laws of any jurisdiction and all rights or forms of protection of a similar nature or having equivalent or similar effect to any of those which subsist in the world.

  
 “Disclosure Schedule” means a schedule
delivered by Seller to Buyer on or before the date of this Agreement. 
  
 “Dispute Notice” has the meaning set forth in Section 2.3(c). 
  
 “Dollars” or “$” means United States dollars. 
  
 “Effective Date” has the meaning set forth in the recitals hereof. 
  
 “Employee” means an individual employed by the Company as of the Effective Date and any individual(s) hired
by the Company between the Effective Date and the Closing date in accordance with Section 5.2 and the other terms of this Agreement. 
  
 “Environmental Law” means any Law relating to (i) pollution or protection of the environment, including natural resources, disposal of
pollutants, toxic, hazardous, or other waste, and discharge and treatment of stormwater or sanitary and industrial wastewater; (ii) health and safety, including exposure of employees or other persons, to toxic or hazardous substances; (iii)
protection of the public health or welfare from the effects of by-products, wastes, emissions, discharges or releases of any chemical or other substances from industrial or commercial activities; or (iv) regulation of the manufacture, use or
introduction into commerce of chemical or other substances, including their manufacture, importation, exportation, formulation, labeling, distribution, transportation, handling, storage, treatment, recycling, removal and disposal, specifically
including petroleum and petroleum derived products. 
  
 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended. 
  

 ii 

 “Expiration Date” has the meaning set forth in Section 8.5(b). 
  
 “FAA” means the United States Federal Aviation
Administration. 
  
 “FCC” means the United States
Federal Communications Commission. 
  
 “FCC
Applications” means the Transfer of Control Application, together with any Additional Applications. 
  
 “FCC Consent” means action by the FCC granting its consent to the FCC Applications and the consummation of the transactions contemplated
hereby. 
  
 “FCC Licenses” means the FCC license
for the Station and any other licenses, permits or other authorizations issued by or pending before the FCC to the Company in connection with the Station or the Station Business (including construction permits). 
  
 “Final Order” means an action by the FCC or other
Governmental Authority having jurisdiction (a) with respect to which action no timely request for stay, motion or petition for reconsideration or rehearing, application or request for review or notice of appeal or other judicial petition for review
is pending and (b) as to which the time for filing any such request, motion, petition, application, appeal or notice and for the entry of orders staying, reconsidering or reviewing on the FCC’s or such other Governmental Authority’s own
motion has expired. 
  
 “Financial Statements”
has the meaning set forth in Section 3.10. 
  
 “Financial
Statements Date” has the meaning set forth in Section 3.10. 
  
 “GAAP” means generally accepted accounting principles, consistently applied, as applied in the United States of America. 
  
 “Governmental Authority” means any federal, state, local or foreign government, legislature, governmental or administrative agency or
commission, any self-regulatory association or authority, any court or other tribunal of competent jurisdiction, or any other governmental authority or instrumentality anywhere in the world. 
  
 “Indemnified Party” has the meaning set forth in Section
8.4(a). 
  
 “Indemnifying Party” has the meaning
set forth in Section 8.4(a). 
  
 “Intellectual
Property” means Patents, Trademarks, Copyrights, and Know-How, and all copies and tangible embodiments thereof (in whatever form or media). 
  
 “Know-How” means all inventions (whether patentable or unpatentable and whether or not reduced to practice), compositions, manufacturing
and production techniques, technical data, designs, drawings, specifications, molds, dies, casts, product configurations, discoveries, trade secrets, improvements, formulae, practices, processes, methods, technology, know-how, and confidential or
proprietary information, whether or not patentable, including any of the foregoing in the process of development and all rights or forms of protection of a similar nature or having equivalent or similar effect to any of those which subsist in the
world. 
  
 “Law” means any federal, state, local
or foreign constitution, treaty, law, statute, ordinance, rule, regulation, interpretation, directive, policy, order, writ, decree, injunction, judgment, stay or restraining order, provisions and conditions of permits, licenses, registrations and
other operating authorizations, any ruling or decision of, agreement with or by, or any other requirement of, any Governmental Authority. 
  

 iii 

 “Leased Real Property” means the Company’s leasehold or license interest in all of
the real property leased or licensed by the Company and all improvements thereon. 
  
 “Lien” means any lien (statutory or otherwise), claim, charge, option, security interest, pledge, mortgage, restriction, financing statement or similar encumbrance of any kind or nature whatsoever
(including any conditional sale or other title retention agreement and any lease having substantially the same effect as any of the foregoing and any assignment or deposit arrangement in the nature of a security device). 
  
 “Losses” has the meaning set forth in Section 8.1.

  
 “Material Adverse Effect” means (i) any
effect that is materially adverse to the business, assets, operations, condition (financial or otherwise), or results of operations of the Company, or (ii) any effect with respect to the Company that materially impacts, materially delays or prevents
the consummation of the transactions contemplated hereby, including the grant of the FCC Consent. 
  
 “Material Consent” means any Consent required under any Materials Contract. 
  
 “Material Contracts” means any and all (i) Contracts between the Company and its Affiliates; (ii) Contracts
providing for aggregate payment by or to the Company of Five Thousand Dollars ($5,000) or more; (iii) obligations of the Company as guarantor, surety, indemnitor in respect of the obligations of another Person; (iv) Contracts which, by their terms,
may not be cancelled by the Company on the giving of less than ninety (90) days’ notice; or (v) Contracts the termination or non-renewal of which would have a Material Adverse Effect. 
  
 “Voth” has the meaning set forth in the recitals hereof.

  
 “Owned Shares” has the meaning set forth in
the recitals hereof. 
  
 “Patents” means patents,
patent disclosures, design patents, design rights and registered designs, utility models and similar related rights under the Laws of any jurisdiction and all registrations, applications and foreign counterparts thereof, and any foreign equivalents,
additions, divisions, continuations, continuations in-part, substitutions, reissues, extensions and renewals of any of the foregoing and all rights or forms of protection of a similar nature or having equivalent or similar effect to any of those
which subsist in the world. 
  
 “Pension Benefit
Plan” has the meaning set forth in Section 3.19(g). 
  
 “Permits” means all licenses, permits, construction permits, approvals, concessions, franchises, certificates, consents, qualifications, registrations, privileges and other authorizations and other rights, other than the
FCC Licenses, from any Governmental Authority to the Company currently in effect, together with any additions thereto between the Effective Date and the Closing Date. 
  
 “Permitted Liens” means (a) Liens for Taxes or assessments which are not yet due or which are being
contested in good faith by appropriate proceedings, and (b) statutory mechanics’, materialmen’s, contractors’, warehousemen’s, repairmen’s and other similar statutory Liens arising in the ordinary course of business and
which are not delinquent. 
  
 “Person”
means a human being, labor organization, partnership, firm, enterprise, association, joint venture, corporation, limited liability company, cooperative, legal representative, foundation, society, political party, estate, trust, trustee, trustee in
bankruptcy, receiver or any other organization or entity whatsoever, including any Governmental Authority. 
  
 “Plan” means any pension, retirement, savings, deferred compensation, and profit-sharing plan and each stock option, stock appreciation,
stock purchase, performance share, bonus or other incentive plan, severance 

  

 iv 

 
plan, health, group insurance or other welfare plan, or other plan, agreement or policy applicable to Employees and any “employee benefit plan”
within the meaning of Section 3(3) of ERISA under which the Company has any current or future obligation or liability or under which any Employee or former employee (or any dependent, beneficiary or alternate payee of any Employee or former
employee) of the Company has or may have any current or future right to benefits on account of employment with the Company. 
  
 “PMA” has the meaning set forth in Section 5.13. 
  

“Receivables” has the meaning set forth in Section 2.3(e). 
  
 “Referee” means an independent accounting firm of national recognition mutually selected by Buyer and
Seller acting as arbitrator. 
  
 “Related Party”
has the meaning set forth in Section 7.2(b). 
  
 “Seller” has the meaning set forth in the recitals hereof. 
  
 “Seller’s Knowledge” (and similar phrases) means the actual knowledge of any officer or director of Seller. 
  
 “Seller Lien” means the Lien in favor of Seller in connection with the Seller Loan. 
  
 “Seller Loan” means that certain notes of Company in favor
of Seller issued July 1, 1999 of which $1,123,468.66 is outstanding as of the Effective Date. 
  
 “Station” has the meaning set forth in the recitals hereof. 
  
 “Station Business” means the business of the Company, taken as a whole, including the operations of the Station. 
  
 “Tax” means any federal, state, local, or foreign income,
gross receipts, license, payroll, employment, excise, severance, stamp, occupation, premium, windfall profits, environmental (including taxes under Section 59A of the Code), customs duties, capital stock, franchise, profits, withholding, social
security (or similar), unemployment, disability, real property, personal property, sales, use, transfer, registration, value added, alternative or add-on minimum, estimated, or other tax of any kind whatsoever, including any interest, penalty, or
addition thereto, whether disputed or not. 
  
 “Tax
Return” means any return, declaration, report, claim for refund, information return or statement relating to Taxes, including any schedule or attachment thereto, filed or maintained, or required to be filed or maintained, in connection with
the calculation, determination, assessment or collection of any Tax and shall include any amended returns required as a result of examination adjustments made by the Internal Revenue Service or other Tax authority. 
  
 “TBA” has the meaning set forth in Section 5.13. 

 
 “Tower” means all antenna support structures, including
any guy anchors and guy wires, used or useful in connection with the operation of the Station. 
  
 “Trademarks” means trademarks, trade names, trade dress, service marks and service names, logos, slogans, brand names and domain names and all registrations, applications for registration, renewals
and foreign counterparts thereof, together with the goodwill of the business associated therewith and symbolized thereby, and all rights or forms of protection of a similar nature or having equivalent or similar effect to any of those which subsist
in the world. 
  

 v 

 “Transfer of Control Application” means the application to be filed with the FCC in
order to obtain the consent of the FCC to a transfer of Control of the Company from Seller to Buyer from an assignment to Buyer. 
  
 “Transmission Structures” has the meaning set forth in Section 3.8(e). 
  
 “Working Capital” has the meaning set forth in Section 2.3(e). 
  
 II.    Descriptive Headings; Certain Interpretations.

  
 (a) Descriptive headings are for convenience
only and shall not control or affect the meaning or construction of any provision of this Agreement. 
  
 (b) Except as otherwise expressly provided in this Agreement or as the context otherwise requires, the following rules of interpretation
apply to this Agreement: (i) the singular includes the plural and the plural includes the singular; (ii) “or” and “any” are not exclusive and the words “include” and “including,” and variations thereof, shall
not be deemed to be terms of limitation, but rather shall be deemed to be followed by the words “without limitation”; (iii) a reference to any Contract includes permitted supplements and amendments; (iv) a reference to a Law includes any
amendment or modification to such Law; (v) a reference to a Person includes its successors and permitted assigns; (vi) a reference to one gender shall include any other gender; and (vii) a reference in this Agreement to an Article, Section, Exhibit
or Schedule is to the referenced Article, Section, Exhibit or Schedule of this Agreement. 
  
 (c) The parties hereto agree that they have been represented by counsel during the negotiation, drafting, preparation and execution of this Agreement and, therefore, waive the application of any Law or
rule of construction providing that ambiguities in an agreement or other document will be construed against the party drafting such agreement or document. 
  
 *             *             *

  

 vii 

 EXHIBIT 9.2—NOTICES 
  
 If to Buyer, to: 
  
 Radio One, Inc. 
 5900 Princess Garden Parkway, 7th Floor 
 Lanham, MD 20705 
 Fax: 301-306-9638 
 Attention: Linda J. Eckard Vilardo, Esq., General Counsel 
  
 with a copy (which shall not constitute notice) to: 
  
 Covington & Burling 
 1201 Pennsylvania Ave., N.W. 
 Washington, D.C. 20004 
 Fax: 202-662-6291 
 Attention: Michael E. Cutler, Esq. 
  
 If to Seller to: 
  
 Mableton Investment Group, LLC 
 5900 Princess Garden Parkway, 7th Floor 
 Lanham, MD 20705 
 Fax: 301-306-9694 
 Attention: Alfred C. Liggins, III, Managing Member 
  
 with a copy (which
shall not constitute notice) to: 
  
 [Name of
Seller Counsel] 
 [Address] 
 [Address] 
 Fax:
[                        ] 
 Attention:                         , Esq.

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