Document:

ex10_8.htm

Exhibit 10.8

Primo Water Corporation

Value Creation Plan

____________________________________

Purpose of Plan

 

This Value Creation Plan (the “Plan”) is established to assist Primo Water Corp. (the “Company”) in attracting and retaining highly qualified executive officers and motivating such executive officers to serve the Company and expend maximum effort to improve the business results and earnings of the Company, by providing to such persons an opportunity to earn incentive compensation based on the achievement by the Company of pre-established performance goals, as provided herein:

 

Award Formula

 

	
  

	
·

	
Equity/Cash Award issuance based on the Company’s achieving targets of at least $20MM in Adjusted EBITDA for fiscal 2013 and/or at least $25MM in Adjusted EBITDA for fiscal 2014.  Issuance to be an incentive pool of 2.5% of the market cap appreciation (excluding additional share issuances), with the allocation of the pool among Participants (defined below) to be recommended by the CEO and determined and approved by the Compensation Committee in its sole discretion.  Market cap appreciation would be determined based on the (i) the Company’s closing stock price on May 11, 2012, (ii) the number of shares outstanding on May 11, 2012, and (iii) the Company’s closing stock price on the date two trading days after public announcement of financial results for the fiscal year for which an award is being made.

 

	
  

	
o

	
Example for fiscal 2013:

 

	 	
§

	
5/11/12 Share price at start

	
$1.60 (est)

 

	
  

	
§

	
3/17/14 Achieve $20MM Adjusted EBITDA 2013

 

	 	
§

	
3/19/14 (closing share price – two days after announcing results)

	
$7.00 (ex)

 

	
  

	
§

	
Number of shares outstanding at 5/11/12

	
23,752,816

 

	
  

	
§

	
Value created ($7.00 - $1.60 x shares) (thousands)

	
$128,265

 

	
  

	
§

	
2.5% bonus pool of value created (thousands)

	
$3,207

 

	
  

	
§

	
Bonus pool to be split among Participants

 

	
  

	
o

	
Example for fiscal 2014 - an additional bonus pool would be established and split among Participants in the same manner if the Company achieves $25MM EBITDA for 2014:

 

	
  

	
§

	
5/11/12 Share price at start

	 	
$1.60 (est)

 

	
  

	
§

	
3/16/15 Achieve $25MM Adjusted EBITDA 2014

 

	 	
§

	
3/18/15 (closing share price – two days after announcing results)

	 	
$9.00 (ex)

 

	
  

	
§

	
Number of shares outstanding at 5/11/12

	
23,752,816

 

	
  

	
§

	
Value created ($9.00 - $1.60 x shares) (thousands)

	
$175,771

 

	
  

	
§

	
2.5% bonus pool of value created (thousands)

	
$4,394

 

	
  

	
§

	
Bonus pool to be split among Participants

Calculation of Awards and Other Terms and Conditions:

 

	
  

	
·

	
Award pool will be calculated effective at the market close on the second trading day after public announcement of year-end financial results (after completion of the audited financial statements), upon attaining  the targeted Adjusted EBITDA (as defined in the Company’s then current credit agreements).

 

  

  

  

 

	
  

	
·

	
Awards may be paid in cash and/or equity (restricted stock) in the sole discretion of the Compensation Committee.

 

	
  

	
·

	
Award is dependent on the Company being in compliance (including via a waiver) with all applicable loan agreements, as such may be amended.

 

	
  

	
·

	
The Compensation Committee shall review and approve, in its sole discretion, individual awards under the Plan promptly after the award pool is established, as described above.

 

	
  

	
·

	
Equity awards may be subject to additional conditions or vesting requirements, including continued periods of service beyond the performance period, in the sole discretion of the Compensation Committee.

 

	
  

	
·

	
All equity awards made under this Plan shall be valued for such purpose at the closing price on the trading day prior to the payment date and issued under the Primo Water Corporation 2010 Omnibus Long-Term Incentive Plan (or any successor plan) (the “Omnibus Plan”).

 

Separation of Employment:

 

	
  

	
·

	
A Participant who leaves the Company voluntarily, is dismissed for Cause (as defined in the Omnibus Plan), or is terminated by the Company shall forfeit all rights to his/her current-year award.

 

	
  

	
·

	
A participant who separates employment because of death, Disability, retirement or Change in Control (Disability and Change in Control have the same meanings as in the Omnibus Plan) shall remain eligible for a current-year award.  In the event of a participant’s termination in connection with a Change in Control or retirement from the Company prior to the end of a fiscal year, the Compensation Committee shall have discretion to award the participant a full or pro-rata share of his or her current-year award based on the Company’s progress toward the applicable Adjusted EBITDA target at the time of such termination or retirement.  In the case of a participant’s death, any payments shall be made to the participant’s estate.

 

	
  

	
o

	
Upon any separation as described above, any and all awards for the current year shall be at the sole discretion of the Compensation Committee.

 

Eligibility

 

	
  

	
·

	
It is anticipated that all executive officers and all other officers at or above the level of Vice President (“Participants”) shall be eligible to participate in the Plan.

 

	
  

	
·

	
The Board may add or remove employees in the Plan at any time without prior notice.

 

General Requirements:

 

	
  

	
·

	
Nothing contained in this Plan shall give any employee the right to be retained in the employment of the Company or effect the right of the Company to relocate, change positions, or dismiss any employee.

 

	
  

	
·

	
The Compensation Committee reserves the right, in its sole discretion, to make adjustments to the Plan or to individual awards when it believes the integrity, purpose and fairness of the Plan would be better served.  Any decisions of the Board shall be conclusive and binding on all parties.

 

	
  

	
·

	
It is intended that the Plan be ongoing, however, it may be necessary for the Board to amend or terminate the Plan at any time without prior notification.

 

	
  

	
·

	
This Plan will be in effect starting January 1, 2012 and will terminate upon the earlier of (i) any payout based on the Company’s achieving $25MM or more in Adjusted EBITDA for fiscal 2014, or (ii) a final determination that the Company has not achieved at least $25MM in Adjusted EBITDA for fiscal 2014.

 

  

2

  

 

	
  

	
·

	
To the extent the Company is subject to any tax deduction limits under Section 162(m) of the Internal Revenue Code, this Plan is intended to comply with the “performance-based compensation” requirements of Section 162(m) and will be administered and interpreted accordingly.

 

	
  

	
·

	
To the extent applicable, this Plan shall be interpreted in accordance with Section 409A.  Notwithstanding any provision of this Plan to the contrary, in the event that the Company determines in good faith that any compensation or benefits payable under this Plan may not be either exempt from or compliant with Section 409A, the Company shall adopt such amendments to this Plan or adopt other policies or procedures (including amendments, policies and procedures with retroactive effect), or take any other commercially reasonable actions necessary or appropriate (i) to preserve the intended tax treatment of the compensation and benefits payable hereunder, to preserve the economic benefits of such compensation and benefits, and/or to avoid less favorable accounting or tax consequences for the Company and/or (ii) to exempt the compensation and benefits payable hereunder from Section 409A or to comply with the requirements of Section 409A and thereby avoid the application of penalty taxes thereunder; provided, however, that this provision does not, and shall not be construed so as to, create any obligation on the part of the Company to adopt any such amendments, policies or procedures or to take any other such actions or to indemnify any Participant for any failure to do so.

 

	
  

	
·

	
The Company shall have the authority, duty, and power to withhold from any award under this Plan the amount of any applicable federal, state, and local tax required to be withheld by the Company pursuant to any applicable laws or regulations.

 

 

	Signature: 	 	 /s/ Mark Castaneda	Date: 	May 9, 2012      

 

 

3ex10_1.htm

Exhibit 10.1

 

March 22, 2012

 

Khan M. Siddiqui, M.D.

Chief Executive Officer

higi llc

350 N. Orleans Street

Chicago, Illinois  60654

 

	
Re:

	
Agreement Between higi llc, an Delaware corporation (“higi”), and Merge Healthcare Solutions Inc., a Delaware corporation (“Merge”), for the Purchase and Sale of Merge Motion Kiosks (“Kiosks”)

 

Dear Khan:

 

The purpose of this letter, effective as of the date written above (the “Effective Date”), is to memorialize the agreement and understanding between higi and Merge (each a “Party” and, collectively, the “Parties”) regarding higi’s purchase of Merge’s kiosks as identified in Exhibit A (the “Kiosks”), subject to the terms and conditions we describe in herein letter (the “Agreement”).  In consideration of the mutual promises and covenants contained herein, and for other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by each of the Parties, the Parties hereby stipulate, covenant and agree as follows:

 

1.           Purchase and Sale.  Subject to the terms and conditions of this Agreement, higi shall purchase from Merge, and Merge shall sell, transfer and assign to higi, all of Merge’s rights, title and interests in and to the Kiosks including the software license granted below.  Higi shall be responsible for the cost of insurance from the manufacturer’s point of origin.  Merge shall deliver Kiosks and the software license granted below to higi at a location and date as specified by higi but in any event no later than March 30, 2012.

 

2.           Purchase Price.  The purchase price includes those parts and materials as set forth on Exhibit B, the Bill of Materials and Specifications.  The purchase price shall be Five Thousand Five Hundred U.S. Dollars ($5,500) per Kiosk and shall include shipping costs to the warehouse location in Colorado.  Higi shall be responsible for payment of insurance costs during shipment as set forth above. No later than close of business on March 30, 2012, higi shall pay to Merge the amount of Two Million Seven Hundred Fifty Thousand U.S. Dollars ($2,750,000) for the Machines purchased hereunder in immediately available funds.

3.           Software License; Warranty.  Merge hereby grants to higi a perpetual, royalty-free license to use the Merge software included with each Kiosk.  Furthermore, Merge shall grant higi a perpetual, royalty-free license to use the included programs, drivers and software for all components in each Kiosk and a perpetual, royalty-free license to develop tothe application programming interfaces of each component in the Kiosk consistent with the specifications developed and agreed to by higi and Merge. Merge represents that the software will be consistent with those specifications upon delivery and installation of the software. Merge represents and warrants that the software will include licenses for any embedded third party software for use consistent with the specifications.

Merge Healthcare warrants that the software shall perform in substantial conformity with the specifications and the documentation and that the media on which the Software is delivered shall be free of defects in material and workmanship for a period of ninety (90) days from the date of delivery of the gold copy. The preceding warranty is conditional upon unmodified software and that the software is properly used on the hardware and with the operating system for which it was designed. The preceding warranty shall be void if failure of the software has resulted from accident, abuse, misapplication, or installation of any third party software that has not been approved by Merge Healthcare.  Upon the purchase of support services from Merge, such software warranty shall continue through the period of support purchased from Merge by higi.

 

200 E. Randolph Street, Suite 2435  |  Chicago, IL  60601  |  P: 312.565.6868  |  F: 312.565.6870

 

  

  

  

4.           Hardware: Pass-Through of Manufacturer Warranties.  Merge Healthcare provides no warranty on hardware and instead assigns and will pass-through to higi, to the fullest extent permitted by law and by the terms and conditions of third-party manufacturer warranties, if any.  All manufacturer warranties on the hardware and this Agreement shall serve as an assignment from Merge Healthcare to higi of any such warranties.

5.           Additional Kiosks and Support Services Options.

 

	
  

	
a.

	
Additional Kiosk Procurement.  For a period of five (5) years from the execution of this Agreement (the “Option Term”), higi may procure additional kiosks under the following terms.

 

	
  

	
i.

	
Purchase Option.  higi may purchase additional kiosks during this five (5) year term at a purchase price of Five Thousand Five Hundred U.S. Dollars ($5,500) per additional kiosk.  Such price shall include a perpetual license to use of the software included with the kiosk.  In the event that the costs related to the specifications or Bill or Materials changes significantly from that set forth in Exhibit B and the cost of such materials is materially affected, the parties to this Agreement shall update the purchase price proportionally with the change in Bill of Materials.

 

	
  

	
ii.

	
Lease Option.  In the alternative to purchasing such additional kiosks, higi may lease additional kiosks for a lease term of five (5) years per kiosk at the amount of One Hundred Twenty-Five U.S. Dollars ($125) per month (inclusive of Optional Support Services), and will adjust proportionally with the change in Bill of Materials as provided in Section 7.a.i. In the event that higi chooses to lease any additional kiosks, the parties expressly acknowledge and agree that they will negotiate and execute an appropriate lease agreement at that time.

 

	
  

	
b.

	
Optional Support Services.  higi may at its option purchase support services from Merge at Merge’s current pricing of $30 per month, per kiosk.  Support services shall include labor, parts (replacement) and kiosk maintenance as needed plus an annual maintenance if no other service has been required.  Upon the purchase of these services from Merge, it shall also correct software bugs and performance issues at no additional cost to higi.  Support services also include software updates and upgrades.

Merge support pricing shall be offered at this price and shall not be subject to change for a period of five (5) years from the date hereof.  higi may exercise this option to purchase support services at any time during this five (5) year period at this pricing in any quantities desired.  In the event that higi elects to purchase such support services during this five (5) year period, higi shall provide thirty (30) days advance written notice of its desire to so exercise this option.  Upon receipt of such notice, Merge shall then invoice higi for the appropriate amount and such invoice shall be due and payable to Merge thirty (30) days in advance of the start of the support services.

6.           Mutual General Release.  Each Party on behalf of itself and any other party, person or entity claiming under or through it, hereby generally releases, discharges and acquits each other Party, and its respective current and former agents, servants, officers, directors, shareholders, employees, subsidiaries, divisions, branches, units, affiliates, parents, attorneys, successors, predecessors, heirs, personal representatives, and assigns (each of the foregoing, a “Released Party”), from all manners of action, causes of action, judgments, executions, debts, demands, rights, damages, costs, expenses, and claims of every kind, nature, and character whatsoever, whether in law or in equity, whether based on contract (including, without limitation, quasi-contract or estoppels), statute, regulation, tort (including, without limitation, intentional torts, fraud, misrepresentation, defamation, breaches of alleged fiduciary duty, recklessness, gross negligence, or negligence) or otherwise, accrued or unaccrued, known or unknown, matured, unmatured, liquidated or unliquidated, certain or contingent, that such releasing Party ever had or claimed to have, or now has or claims to have presently or at any future date, against any Released Party, provided, however, that neither Party shall be deemed released or discharged from its duties and obligations under this Agreement.

7.           Representations, Warranties and Acknowledgements.

	
  

	
a.

	
Merge represents and warrants to higi that the Kiosks are not be subject to any lien, encumbrance, or security interest of any third party.

 

	
  

	
b.

	
higi acknowledges that it has read this Agreement and has had a reasonable period of time to consider this Agreement.  higi further acknowledges that it understands all the terms and conditions of this Agreement and has knowingly and voluntarily agreed to those terms, which may not be changed.

 

  

  

  

 

8.           No Third-Party Beneficiaries.  This Agreement shall be for the benefit of the Parties, and none of the provisions of this Agreement shall be for the benefit of or enforceable by any third party.  Nothing in this Agreement is intended to relieve or discharge the obligations or liabilities of any third party to any Party hereto or to give any third party any right of subrogation or action over or against any Party hereto.

 

9.           Governing Law.  This agreement and any question, dispute or other matter between the Parties with respect to or in connection with this agreement shall be governed by and construed in accordance with the laws of the State of Illinois.

 

10.           Successors and Assigns.  All of the terms and provisions of this Agreement shall be binding upon and shall benefit, and be enforceable by, the successors and assigns of the Parties hereto.

 

11.           Entire Agreement.  This Agreement constitutes the entire agreement between the Parties relating to the subject matter hereof and supersedes any previous written or oral agreement in connection therewith.

 

12.           Execution.  This agreement may be executed in separate counterparts (including by electronic or facsimile transmission), all of which when so executed shall be deemed to constitute one and the same agreement.

 

By signing this letter, each of higi and Merge confirms that it has agreed to the terms and conditions set forth herein.

 

	
Very truly yours,

	 
	
MERGE HEALTHCARE SOLUTIONS INC.

	  
	
/s/ Justin Dearborn

	  
	
Justin Dearborn

	
President & Chief Financial Officer

	  
	
Acknowledged and agreed as to the foregoing.

 

	
higi llc

	 
	  	 	 
	
By:  

	/s/ Khan M. Siddiqui, MD	 
	 	 	
Khan M. Siddiqui, MD

	 
	
Its: 

	 	Chief Executive Officer	 
	  	 	 
	
Date:  

	March 28, 2012	 

  

  

  

 

EXHIBIT A

 

KIOSKS

	
KMY120328650-020

	
KMY120328650-021

	
KMY120328650-022

	
KMY120328650-023

	
KMY120328650-024

	
KMY120328650-025

	
KMY120328650-026

	
KMY120328650-027

	
KMY120328650-028

	
KMY120328650-029

	
KMY120328650-030

	
KMY120328650-031

	
KMY120328650-032

	
KMY120328650-033

	
KMY120328650-034

	
KMY120328650-035

	
KMY120328650-036

	
KMY120328650-037

	
KMY120328650-038

	
KMY120328650-039

	
KMY120328650-040

	
KMY120328650-041

	
KMY120328650-042

	
KMY120328650-043

	
KMY120328650-044

	
KMY120328650-045

	
KMY120328650-046

	
KMY120328650-047

	
KMY120328650-048

	
KMY120328650-049

	
KMY120328650-050

	
KMY120328650-051

	
KMY120328650-052

	
KMY120328650-053

	
KMY120328650-054

	
KMY120328650-055

	
KMY120328650-056

	
KMY120328650-057

	
KMY120328650-058

	
KMY120328650-059

	
KMY120328650-060

	
KMY120328650-061

 

  

  

  

 

	
KMY120328650-062

	
KMY120328650-063

	
KMY120328650-064

	
KMY120328650-065

	
KMY120328650-066

	
KMY120328650-067

	
KMY120328650-068

	
KMY120328650-069

	
KMY120328650-070

	
KMY120328650-071

	
KMY120328650-072

	
KMY120328650-073

	
KMY120328650-074

	
KMY120328650-075

	
KMY120328650-076

	
KMY120328650-077

	
KMY120328650-078

	
KMY120328650-079

	
KMY120328650-080

	
KMY120328650-081

	
KMY120328650-082

	
KMY120328650-083

	
KMY120328650-084

	
KMY120328650-085

	
KMY120328650-086

	
KMY120328650-087

	
KMY120328650-088

	
KMY120328650-089

	
KMY120328650-090

	
KMY120328650-091

	
KMY120328650-092

	
KMY120328650-093

	
KMY120328650-094

	
KMY120328650-095

	
KMY120328650-096

	
KMY120328650-097

	
KMY120328650-098

	
KMY120328650-099

	
KMY120328650-100

	
KMY120328650-101

	
KMY120328650-102

	
KMY120328650-103

	
KMY120328650-104

	
KMY120328650-105

	
KMY120328650-106

 

  

  

  

 

	
KMY120328650-107

	
KMY120328650-108

	
KMY120328650-109

	
KMY120328650-110

	
KMY120328650-111

	
KMY120328650-112

	
KMY120328650-113

	
KMY120328650-114

	
KMY120328650-115

	
KMY120328650-116

	
KMY120328650-117

	
KMY120328650-118

	
KMY120328650-119

	
KMY120328650-120

	
KMY120328650-121

	
KMY120328650-122

	
KMY120328650-123

	
KMY120328650-124

	
KMY120328650-125

	
KMY120328650-126

	
KMY120328650-127

	
KMY120328650-128

	
KMY120328650-129

	
KMY120328650-130

	
KMY120328650-131

	
KMY120328650-132

	
KMY120328650-133

	
KMY120328650-134

	
KMY120328650-135

	
KMY120328650-136

	
KMY120328650-137

	
KMY120328650-138

	
KMY120328650-139

	
KMY120328650-140

	
KMY120328650-141

	
KMY120328650-142

	
KMY120328650-143

	
KMY120328650-144

	
KMY120328650-145

	
KMY120328650-146

	
KMY120328650-147

	
KMY120328650-148

	
KMY120328650-149

	
KMY120328650-150

	
KMY120328650-151

 

  

  

  

 

	
KMY120328650-152

	
KMY120328650-153

	
KMY120328650-154

	
KMY120328650-155

	
KMY120328650-156

	
KMY120328650-157

	
KMY120328650-158

	
KMY120328650-159

	
KMY120328650-160

	
KMY120328650-161

	
KMY120328650-162

	
KMY120328650-163

	
KMY120328650-164

	
KMY120328650-165

	
KMY120328650-166

	
KMY120328650-167

	
KMY120328650-168

	
KMY120328650-169

	
KMY120328650-170

	
KMY120328650-171

	
KMY120328650-172

	
KMY120328650-173

	
KMY120328650-174

	
KMY120328650-175

	
KMY120328650-176

	
KMY120328650-177

	
KMY120328650-178

	
KMY120328650-179

	
KMY120328650-180

	
KMY120328650-181

	
KMY120328650-182

	
KMY120328650-183

	
KMY120328650-184

	
KMY120328650-185

	
KMY120328650-186

	
KMY120328650-187

	
KMY120328650-188

	
KMY120328650-189

	
KMY120328650-190

	
KMY120328650-191

	
KMY120328650-192

	
KMY120328650-193

	
KMY120328650-194

	
KMY120328650-195

	
KMY120328650-196

 

  

  

  

 

	
KMY120328650-197

	
KMY120328650-198

	
KMY120328650-199

	
KMY120328650-200

	
KMY120328650-201

	
KMY120328650-202

	
KMY120328650-203

	
KMY120328650-204

	
KMY120328650-205

	
KMY120328650-206

	
KMY120328650-207

	
KMY120328650-208

	
KMY120328650-209

	
KMY120328650-210

	
KMY120328650-211

	
KMY120328650-212

	
KMY120328650-213

	
KMY120328650-214

	
KMY120328650-215

	
KMY120328650-216

	
KMY120328650-217

	
KMY120328650-218

	
KMY120328650-219

	
KMY120328650-220

	
KMY120328650-221

	
KMY120328650-222

	
KMY120328650-223

	
KMY120328650-224

	
KMY120328650-225

	
KMY120328650-226

	
KMY120328650-227

	
KMY120328650-228

	
KMY120328650-229

	
KMY120328650-230

	
KMY120328650-231

	
KMY120328650-232

	
KMY120328650-233

	
KMY120328650-234

	
KMY120328650-235

	
KMY120328650-236

	
KMY120328650-237

	
KMY120328650-238

	
KMY120328650-239

	
KMY120328650-240

	
KMY120328650-241

 

  

  

  

 

	
KMY120328650-242

	
KMY120328650-243

	
KMY120328650-244

	
KMY120328650-245

	
KMY120328650-246

	
KMY120328650-247

	
KMY120328650-248

	
KMY120328650-249

	
KMY120328650-250

	
KMY120328650-251

	
KMY120328650-252

	
KMY120328650-253

	
KMY120328650-254

	
KMY120328650-255

	
KMY120328650-256

	
KMY120328650-257

	
KMY120328650-258

	
KMY120328650-259

	
KMY120328650-260

	
KMY120328650-261

	
KMY120328650-262

	
KMY120328650-263

	
KMY120328650-264

	
KMY120328650-265

	
KMY120328650-266

	
KMY120328650-267

	
KMY120328650-268

	
KMY120328650-269

	
KMY120328650-270

	
KMY120328650-271

	
KMY120328650-272

	
KMY120328650-273

	
KMY120328650-274

	
KMY120328650-275

	
KMY120328650-276

	
KMY120328650-277

	
KMY120328650-278

	
KMY120328650-279

	
KMY120328650-280

	
KMY120328650-281

	
KMY120328650-282

	
KMY120328650-283

	
KMY120328650-284

	
KMY120328650-285

	
KMY120328650-286

 

  

  

  

 

	
KMY120328650-287

	
KMY120328650-288

	
KMY120328650-289

	
KMY120328650-290

	
KMY120328650-291

	
KMY120328650-292

	
KMY120328650-293

	
KMY120328650-294

	
KMY120328650-295

	
KMY120328650-296

	
KMY120328650-297

	
KMY120328650-298

	
KMY120328650-299

	
KMY120328650-300

	
KMY120328650-301

	
KMY120328650-302

	
KMY120328650-303

	
KMY120328650-304

	
KMY120328650-305

	
KMY120328650-306

	
KMY120328650-307

	
KMY120328650-308

	
KMY120328650-309

	
KMY120328650-310

	
KMY120328650-311

	
KMY120328650-312

	
KMY120328650-313

	
KMY120328650-314

	
KMY120328650-315

	
KMY120328650-316

	
KMY120328650-317

	
KMY120328650-318

	
KMY120328650-319

	
KMY120328650-320

	
KMY120328650-321

	
KMY120328650-322

	
KMY120328650-323

	
KMY120328650-324

	
KMY120328650-325

	
KMY120328650-326

	
KMY120328650-327

	
KMY120328650-328

	
KMY120328650-329

	
KMY120328650-330

	
KMY120328650-331

 

  

  

  

 

	
KMY120328650-332

	
KMY120328650-333

	
KMY120328650-334

	
KMY120328650-335

	
KMY120328650-336

	
KMY120328650-337

	
KMY120328650-338

	
KMY120328650-339

	
KMY120328650-340

	
KMY120328650-341

	
KMY120328650-342

	
KMY120328650-343

	
KMY120328650-344

	
KMY120328650-345

	
KMY120328650-346

	
KMY120328650-347

	
KMY120328650-348

	
KMY120328650-349

	
KMY120328650-350

	
KMY120328650-351

	
KMY120328650-352

	
KMY120328650-353

	
KMY120328650-354

	
KMY120328650-355

	
KMY120328650-356

	
KMY120328650-357

	
KMY120328650-358

	
KMY120328650-359

	
KMY120328650-360

	
KMY120328650-361

	
KMY120328650-362

	
KMY120328650-363

	
KMY120328650-364

	
KMY120328650-365

	
KMY120328650-366

	
KMY120328650-367

	
KMY120328650-368

	
KMY120328650-369

	
KMY120328650-370

	
KMY120328650-371

	
KMY120328650-372

	
KMY120328650-373

	
KMY120328650-374

	
KMY120328650-375

	
KMY120328650-376

 

  

  

  

 

	
KMY120328650-377

	
KMY120328650-378

	
KMY120328650-379

	
KMY120328650-380

	
KMY120328650-381

	
KMY120328650-382

	
KMY120328650-383

	
KMY120328650-384

	
KMY120328650-385

	
KMY120328650-386

	
KMY120328650-387

	
KMY120328650-388

	
KMY120328650-389

	
KMY120328650-390

	
KMY120328650-391

	
KMY120328650-392

	
KMY120328650-393

	
KMY120328650-394

	
KMY120328650-395

	
KMY120328650-396

	
KMY120328650-397

	
KMY120328650-398

	
KMY120328650-399

	
KMY120328650-400

	
KMY120328650-401

	
KMY120328650-402

	
KMY120328650-403

	
KMY120328650-404

	
KMY120328650-405

	
KMY120328650-406

	
KMY120328650-407

	
KMY120328650-408

	
KMY120328650-409

	
KMY120328650-410

	
KMY120328650-411

	
KMY120328650-412

	
KMY120328650-413

	
KMY120328650-414

	
KMY120328650-415

	
KMY120328650-416

	
KMY120328650-417

	
KMY120328650-418

	
KMY120328650-419

	
KMY120328650-420

	
KMY120328650-421

 

  

  

  

 

	
KMY120328650-422

	
KMY120328650-423

	
KMY120328650-424

	
KMY120328650-425

	
KMY120328650-426

	
KMY120328650-427

	
KMY120328650-428

	
KMY120328650-429

	
KMY120328650-430

	
KMY120328650-431

	
KMY120328650-432

	
KMY120328650-433

	
KMY120328650-434

	
KMY120328650-435

	
KMY120328650-436

	
KMY120328650-437

	
KMY120328650-438

	
KMY120328650-439

	
KMY120328650-440

	
KMY120328650-441

	
KMY120328650-442

	
KMY120328650-443

	
KMY120328650-444

	
KMY120328650-445

	
KMY120328650-446

	
KMY120328650-447

	
KMY120328650-448

	
KMY120328650-449

	
KMY120328650-450

	
KMY120328650-451

	
KMY120328650-452

	
KMY120328650-453

	
KMY120328650-454

	
KMY120328650-455

	
KMY120328650-456

	
KMY120328650-457

	
KMY120328650-458

	
KMY120328650-459

	
KMY120328650-460

	
KMY120328650-461

	
KMY120328650-462

	
KMY120328650-463

	
KMY120328650-464

	
KMY120328650-465

	
KMY120328650-466

 

  

  

  

 

	
KMY120328650-467

	
KMY120328650-468

	
KMY120328650-469

	
KMY120328650-470

	
KMY120328650-471

	
KMY120328650-472

	
KMY120328650-473

	
KMY120328650-474

	
KMY120328650-475

	
KMY120328650-476

	
KMY120328650-477

	
KMY120328650-478

	
KMY120328650-479

	
KMY120328650-480

	
KMY120328650-481

	
KMY120328650-482

	
KMY120328650-483

	
KMY120328650-484

	
KMY120328650-485

	
KMY120328650-486

	
KMY120328650-487

	
KMY120328650-488

	
KMY120328650-489

	
KMY120328650-490

	
KMY120328650-491

	
KMY120328650-492

	
KMY120328650-493

	
KMY120328650-494

	
KMY120328650-495

	
KMY120328650-496

	
KMY120328650-497

	
KMY120328650-498

	
KMY120328650-499

	
KMY120328650-500

	
KMY120328650-501

	
KMY120328650-502

	
KMY120328650-503

	
KMY120328650-504

	
KMY120328650-505

	
KMY120328650-506

	
KMY120328650-507

	
KMY120328650-508

	
KMY120328650-509

	
KMY120328650-510

	
KMY120328650-511

 

  

  

  

 

	
KMY120328650-512

	
KMY120328650-513

	
KMY120328650-514

	
KMY120328650-515

	
KMY120328650-516

	
KMY120328650-517

	
KMY120328650-518

	
KMY120328650-519

	
KMY120328650-520

  

  

  

 

EXHIBIT B

Specifications and Bill of Materials

 

	
No.

	
Components

	
Model

	
Detail  Description

	
1

	
PC Host

	
Industrial 

PC

	
Industrial Mainboard: ZK-ZB4561 CPU: Onboard Processor INTEL

ATOM D2700 dual core; Memory:kingstone 4GRAM DDR:   HD:500G

Min 6RS-232 ports, 8USB ports,1LTP,1VGA,1LVDS,1 10/100M Net

Port Net Card, Sound Card, Integrated Display Card

Computer case and power supply

	
2

	
Top monitor

	
19”TFT 

LCD

	
Brightness: 300cd/m2; angle:horizontal 100°above, Vertical 80°above

Contrast: 450:1; Backlight tube life:more than 40,000hours

Operating temperature:-20-50oC

Response Time:16ms;Dot pitch: 0.297;Max. resolution: 1280×1024

	
3

	
Vandal proof glass

	
 

	
Tempered Glass,thickness 6mm,for monitor protection

	
4

	
Monitor

	
Industrial 

10.4 TFT 

LCD

	
Screen Size 10.4''   Active Display Area (mm) 211.2mm(W)×158.4mm(H)

Display Mode 4:3  LCD Type TFT-LCD Resolution 800×600

Display Color 16.7M  Pixel Pitch(mm) 0.264(H)×0.264(V)

Brightness(nits) 300cd/m2  Contrast Ratio 500:1

Viewing Angle  125(H) /135(V)  Response Time  30ms   Backlight LED backlights

Interface D-Sub15 pin(VGA),HDMI  Optional interface DVI /BNC

Power DC12V  2A   50HZ/60HZ

Power Consumption  ≦25W (Max)  Plug & Play DDC 1/2B

OSD Control Auto adjust, Brightness, Contrast, Hori. / Vert. Position, Clock, phase, Color, Language..

MENU Chinese/English(other languages supported)

	
5

	
Touch screen

	
Vandal proof  10.4 SAW touchscreen

	
High Transparence, high precision and durability; RS232 Interface

antirust、anti-acid、anti-dust

Thickness: 6mm, Max: 4096×4096

Surface Hardness: Mohs' hardness rating of 7

Operating sensitivity<100G; Response Time: 20ms

	
6

	
Webcam

	
OEM

	
new camera with PCB board, 2.5mm lens

 

  

  

  

 

	
8

	
Thermal printer

	
Epson M-T532

	
Themal Printer, Paper in-depth80mm,Print Speed: 150mm/s,Automatic cutter; Paper running out alarm; Paper to be run out alarm, Paper jam alarm; Black mark sensor

Interface:Serial Port"

	
9

	
Power supply

	
 

	
Power Supply: HF150W-17 ;  110-240VAC ; Output 24V5A 12V3A power supply for the blood pressure module   output: 9V 4A

	
10

	
Swip card reader

	
Magtek SureSwipe Reader-21040140

	
MagTek MiniWedge Magnetic Swipe Reader, Sure Swipe, Dual Head, USB Interface, HID B and Tracks 1, 2 and 3, Requires HID Drive

	
11

	
Speaker

	
 

	
Left and right bi-channel; amplified output; Multimedia speaker

	
13

	
3G modem

	
 

	
support Sprint network and potentially broadcasting.

	
14

	
Blood pressure module

	
 

	
Suntech Advantage 2.0

	
15

	
Pulse Oxymeter

	
 

	
Nonin

	
16

	
Load Cell

	
Load Cell

	
AH200 C3 SH 10e from Scaime S.A.S(France)

	
17

	
Router

	
Cradlepoint wifi router CBR400-bulk

	
compact Broadband Router with wifi 400  from Cradlepoint, Inc(USA)

	
18

	
Load Cell board

	
PCB USB Digitizers

	
DSC Card Industrial USB ASCII from mantracourt(UK)

	
19

	
Kinect Camera

	
Mfg#: MSH-L6M-00001

	
Kinect Camera from MSFT for Commercial use.Msft Kinect Sensor F/Windows

	
23

	
Enclosure

	
Custom 

design 

model

	
Durable steel frame, powder coated steel back covers; Slim and smart design; Easy to install and operate; Moistureproof、Antirust、Anti-acid、Anti-dust、Static free OEM LOGO &color&silkprint& light box& poster  Coat HOOk INLUCDED   SILVER COLOR POWDER COATING

	
24

	
OS Software

	Licensed Microsoft Windows 7 Professional English EMB 64 bit
	
25

	
Shipping Package

	Bubble foam, Carton, Wooden case
	
26

	
Body Fat Handles

	
Custom

	
two stainless handles

	
27

	
RFID Reader

	
 

	
RFID READER NEWLY ADDED

	
28

	
Seat and Arm Rest (Bamboo)

	
Custom

	
Wooden panel for seat and arm made of bamboo

	
29

	
Seat locking mechanism

	
 

	
magnetic lock+controlling board+ open door sensor

	
30

	
 

	
 

	
Silk Print

	
31

	
 

	
 

	
cables and other accessories

	
32

	
 

	
 

	
LED light + Buttons

	
33

	
 

	
 

	
KMY LABOR COSTS others

  

  

  

EXHIBIT C

BILL OF SALE

 

This Bill of Sale dated as of March 28, 2012 (the “Bill of Sale”) is made and delivered by Merge Healthcare Solutions Inc. (“Merge”) and higi llc (“higi”), in favor of higi.  For good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Merge hereby sells, transfers and assigns to higi, all of its rights, title and interests to the Kiosks identified in Exhibit A hereto (the “Kiosks”), including, without limitation, all of Merge’s rights, claims and interests (including security interests and liens) arising under, related to or in connection the Agreement dated as of March 28, 2012.

 

This Bill of Sale and all matters relating hereto shall be governed by and construed in accordance with the internal laws of the State of Illinois.

	Seller: 	
Merge Healthcare Solutions Inc.

	 	
200 East Randolph Street, Suite 2435

	 	
Chicago, Illinois  60601

	 	  
	Buyer:	
higi llc

	 	
350 N. Orleans Street

	 	
Chicago, Illinois  60654

 

	 	
higi llc

	 
	 	 	 	 
	 	
By: 

	/s/ Khan M. Siddiqui, MD	 
	 	 	 	
Khan M. Siddiqui, MD

	 
	 	
Its:

	 	
Chief Executive Officer

	 
	 	
Date:

	 	
March 28, 2012

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00204-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00204-of-00352.parquet"}]]