Document:

SERIES B WARRANT

 Exhibit 10.7 
  
 NEITHER THESE SECURITIES NOR THE SECURITIES ISSUABLE UPON EXERCISE OF THESE SECURITIES HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE
COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AS
EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY. THESE SECURITIES AND THE SECURITIES ISSUABLE UPON EXERCISE OF THESE SECURITIES MAY BE PLEDGED IN
CONNECTION WITH A BONA FIDE MARGIN ACCOUNT SECURED BY SUCH SECURITIES. 
  
 PROSOFTTRAINING 
  
 SERIES B WARRANT

  

			
	 Warrant No. 04-B02
	 	Original Issue Date: August 30, 2004

  
 ProsoftTraining, a Nevada corporation (the “Company”), hereby certifies that, for value received, DKR SoundShore Strategic Holding Fund Ltd. or its registered assigns (the “Holder”), is entitled to
purchase from the Company up to a total of 771,429 shares of Common Stock (each such share, a “Warrant Share” and all such shares, the “Warrant Shares”), at any time and from time to time from and after the six
month anniversary of the Original Issue Date and through and including the earlier of (A) the later of (i) the eighteen-month anniversary of the Closing Date and (ii) one year after the Effective Date of the Registration Statement plus such number
of days during such one year period when a Registration Statement shall not be effective and available to the Holders for the resale of Warrant Shares and (B) August 30, 2009 (the “Expiration Date”), and subject to the following
terms and conditions: 
  
 1. Definitions. As used in this
Warrant, the following terms shall have the respective definitions set forth in this Section 1. Capitalized terms that are used and not defined in this Warrant that are defined in the Purchase Agreement (as defined below) shall have the respective
definitions set forth in the Purchase Agreement. 
  
 “Business Day” means any day except Saturday, Sunday and any day that is a federal legal holiday in the United States or a day on which banking institutions in the State of New York are authorized or required by law or
other government action to close. 

 “Common Stock” means the common stock of the Company, par value $.001 per share, and any
securities into which such common stock may hereafter be reclassified. 
  
 “Exercise Price” means $0.35, subject to adjustment in accordance with Section 9. 
  
 “Fundamental Transaction” means any of the following: (1) the Company effects any merger or consolidation of the Company with or into
another Person, (2) the Company effects any sale of all or substantially all of its assets in one or a series of related transactions, (3) any tender offer or exchange offer (whether by the Company or another Person) is completed pursuant to which
holders of Common Stock are permitted to tender or exchange their shares for other securities, cash or property, or (4) the Company effects any reclassification of the Common Stock or any compulsory share exchange pursuant to which the Common Stock
is effectively converted into or exchanged for other securities, cash or property. 
  
 “Original Issue Date” means the Original Issue Date first set forth on the first page of this Warrant. 
  
 “New York Courts” means the state and federal courts sitting in the City of New York, Borough of Manhattan. 
  
 “Purchase Agreement” means the Purchase Agreement, dated
August 30, 2004, to which the Company and the original Holder are parties. 
  
 “Trading Day” means (i) a day on which the Common Stock is traded on a Trading Market (other than the OTC Bulletin Board), or (ii) if the Common Stock is not listed on a Trading Market (other than the
OTC Bulletin Board), a day on which the Common Stock is traded in the over-the-counter market, as reported by the OTC Bulletin Board, or (iii) if the Common Stock is not quoted on any Trading Market, a day on which the Common Stock is quoted in the
over-the-counter market as reported by the National Quotation Bureau Incorporated (or any similar organization or agency succeeding to its functions of reporting prices); provided, that in the event that the Common Stock is not listed or quoted as
set forth in (i), (ii) and (iii) hereof, then Trading Day shall mean a Business Day. 
  
 2. Registration of Warrant. The Company shall register this Warrant upon records to be maintained by the Company for that purpose (the “Warrant Register”), in the name of the record Holder
hereof from time to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner hereof for the purpose of any exercise hereof or any distribution to the Holder, and for all other purposes, absent actual notice to
the contrary. 
  
 3. Registration of Transfers. The Company
shall register the transfer of any portion of this Warrant in the Warrant Register, upon surrender of this Warrant, with the Form of Assignment attached hereto duly completed and signed, to the Company at its address specified herein. Upon any such
registration or transfer, a new Warrant to purchase Common Stock, in substantially the form of this Warrant (any such new Warrant, a “New Warrant”), evidencing the portion of this Warrant so transferred shall be issued to the
transferee and a New Warrant evidencing the remaining portion of this Warrant not so transferred, if any, shall be issued to the transferring Holder. The acceptance of the New Warrant by the transferee thereof shall be deemed the acceptance by such
transferee of all of the rights and obligations of a holder of a 
  

 2 

 Warrant. Each Holder of all or any portion of this Warrant, by its acceptance hereof, agrees that any transfers must be
made in compliance with state and federal securities laws and the conditions set forth in the Purchase Agreement. 
  
 4. Exercise and Duration of Warrants. This Warrant shall be exercisable by the registered Holder at any time and from time to time from and after
the six month anniversary of the Original Issue Date through and including the Expiration Date. At 6:30 p.m., New York City time on the Expiration Date, the portion of this Warrant not exercised prior thereto shall be and become void and of no
value. The Company may not call or redeem any portion of this Warrant without the prior written consent of the affected Holder. 
  
 5. Delivery of Warrant Shares. 
  
 (a) To effect exercises hereunder, the Holder shall not be required to physically surrender this Warrant unless the aggregate Warrant Shares represented
by this Warrant is being exercised. Upon delivery of the Exercise Notice (in the form attached hereto) to the Company (with the attached Warrant Shares Exercise Log) at its address for notice set forth herein and upon payment of the Exercise Price
multiplied by the number of Warrant Shares that the Holder intends to purchase hereunder, the Company shall promptly (but in no event later than three Trading Days after the Date of Exercise (as defined herein)) issue and deliver to the Holder, a
certificate for the Warrant Shares issuable upon such exercise, which, unless otherwise required by the Purchase Agreement, shall be free of restrictive legends. The Company shall, upon request of the Holder and subsequent to the date on which a
registration statement covering the resale of the Warrant Shares has been declared effective by the Securities and Exchange Commission, use its reasonable best efforts to deliver Warrant Shares hereunder electronically through the Depository Trust
Corporation or another established clearing corporation performing similar functions, if available, provided, that, the Company may, but will not be required to change its transfer agent if its current transfer agent cannot deliver Warrant
Shares electronically through the Depository Trust Corporation. A “Date of Exercise” means the date on which the Holder shall have delivered to the Company: (i) the Exercise Notice (with the Warrant Exercise Log attached to it),
appropriately completed and duly signed and (ii) if such Holder is not utilizing the cashless exercise provisions set forth in this Warrant, payment of the Exercise Price for the number of Warrant Shares so indicated by the Holder to be purchased.

  
 (b) If by the fifth Trading Day after a Date of Exercise the
Company fails to deliver the required number of Warrant Shares in the manner required pursuant to Section 5(a), then the Holder will have the right to rescind such exercise. 
  
 (c) If by the third Trading Day after a Date of Exercise the Company fails to deliver the required number of Warrant Shares
in the manner required pursuant to Section 5(a), and if after such third Trading Day and prior to the receipt of such Warrant Shares, the Holder purchases (in an open market transaction or otherwise) shares of Common Stock to deliver in satisfaction
of a sale by the Holder of the Warrant Shares which the Holder anticipated receiving upon such exercise (a “Buy-In”), then the Company shall (1) pay in cash to the Holder the amount by which (x) the Holder’s total purchase
price (including brokerage commissions, if any) for the shares of Common Stock so purchased exceeds (y) the amount obtained by multiplying (A) the number of Warrant Shares that the Company was required to deliver to the Holder in 
  

 3 

 connection with the exercise at issue by (B) the closing bid price of the Common Stock at the time of the delivery
obligation giving rise to such purchase and (2) at the option of the Holder, either reinstate the portion of the Warrant and equivalent number of Warrant Shares for which such exercise was not honored or deliver to the Holder the number of shares of
Common Stock that would have been issued had the Company timely complied with its exercise and delivery obligations hereunder. The Holder shall provide the Company written notice indicating the amounts payable to the Holder in respect of the Buy-In.

  
 (d) The Company’s obligations to issue and deliver
Warrant Shares in accordance with the terms hereof are absolute and unconditional, irrespective of any action or inaction by the Holder to enforce the same, any waiver or consent with respect to any provision hereof, the recovery of any judgment
against any Person or any action to enforce the same, or any setoff, counterclaim, recoupment, limitation or termination, or any breach or alleged breach by the Holder or any other Person of any obligation to the Company or any violation or alleged
violation of law by the Holder or any other Person, and irrespective of any other circumstance which might otherwise limit such obligation of the Company to the Holder in connection with the issuance of Warrant Shares. Nothing herein shall limit a
Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely deliver
certificates representing Warrant Shares upon exercise of the Warrant as required pursuant to the terms hereof. 
  
 6. Charges, Taxes and Expenses. Issuance and delivery of Warrant Shares upon exercise of this Warrant shall be made without charge to the Holder
for any issue or transfer tax, withholding tax, transfer agent fee or other incidental tax or expense in respect of the issuance of such certificates, all of which taxes and expenses shall be paid by the Company; provided, however, that the Company
shall not be required to pay any tax which may be payable in respect of any transfer involved in the registration of any certificates for Warrant Shares or Warrants in a name other than that of the Holder. The Holder shall be responsible for all
other tax liability that may arise as a result of holding or transferring this Warrant or receiving Warrant Shares upon exercise hereof. 
  
 7. Replacement of Warrant. If this Warrant is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange and
substitution for and upon cancellation hereof, or in lieu of and substitution for this Warrant, a New Warrant, but only upon receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction and customary and reasonable
indemnity (which shall not include a surety bond), if requested. Applicants for a New Warrant under such circumstances shall also comply with such other reasonable regulations and procedures and pay such other reasonable third-party costs as the
Company may prescribe. If a New Warrant is requested as a result of a mutilation of this Warrant, then the Holder shall deliver such mutilated Warrant to the Company as a condition precedent to the Company’s obligation to issue the New Warrant.

  
 8. Reservation of Warrant Shares. The Company covenants
that it will at all times reserve and keep available out of the aggregate of its authorized but unissued and otherwise unreserved Common Stock, solely for the purpose of enabling it to issue Warrant Shares upon exercise of this Warrant as herein
provided, the number of Warrant Shares which are then 
  

 4 

 issuable and deliverable upon the exercise of this entire Warrant, free from preemptive rights or any other contingent
purchase rights of Persons other than the Holder (taking into account the adjustments and restrictions of Section 9). The Company covenants that all Warrant Shares so issuable and deliverable shall, upon issuance and the payment of the
applicable Exercise Price in accordance with the terms hereof, be duly and validly authorized, issued and fully paid and nonassessable. 
  
 9. Certain Adjustments. The Exercise Price and number of Warrant Shares issuable upon exercise of this Warrant are subject to adjustment from time
to time as set forth in this Section 9. 
  
 (a) Stock
Dividends and Splits. If the Company, at any time while this Warrant is outstanding, (i) pays a stock dividend on its Common Stock or otherwise makes a distribution on any class of capital stock that is payable in shares of Common Stock, (ii)
subdivides outstanding shares of Common Stock into a larger number of shares, or (iii) combines outstanding shares of Common Stock into a smaller number of shares, then in each such case the Exercise Price shall be multiplied by a fraction of which
the numerator shall be the number of shares of Common Stock outstanding immediately before such event and of which the denominator shall be the number of shares of Common Stock outstanding immediately after such event. Any adjustment made pursuant
to clause (i) of this paragraph shall become effective immediately after the record date for the determination of stockholders entitled to receive such dividend or distribution, and any adjustment pursuant to clause (ii) or (iii) of this paragraph
shall become effective immediately after the effective date of such subdivision or combination. 
  
 (b) Fundamental Transactions. If, at any time while this Warrant is outstanding there is a Fundamental Transaction, then the Holder shall have the
right thereafter to receive, upon exercise of this Warrant, the same amount and kind of securities, cash or property as it would have been entitled to receive upon the occurrence of such Fundamental Transaction if it had been, immediately prior to
such Fundamental Transaction, the holder of the number of Warrant Shares then issuable upon exercise in full of this Warrant (the “Alternate Consideration”). For purposes of any such exercise, the determination of the Exercise Price
shall be appropriately adjusted to apply to such Alternate Consideration based on the amount of Alternate Consideration issuable in respect of one share of Common Stock in such Fundamental Transaction, and the Company shall apportion the Exercise
Price among the Alternate Consideration in a reasonable manner reflecting the relative value of any different components of the Alternate Consideration. If holders of Common Stock are given any choice as to the securities, cash or property to be
received in a Fundamental Transaction, then the Holder shall be given the same choice as to the Alternate Consideration it receives upon any exercise of this Warrant following such Fundamental Transaction. At the Holder’s request, any successor
to the Company or surviving entity in such Fundamental Transaction shall issue to the Holder a new warrant substantially in the form of this Warrant and consistent with the foregoing provisions and evidencing the Holder’s right to purchase the
Alternate Consideration for the aggregate Exercise Price upon exercise thereof. The terms of any agreement pursuant to which a Fundamental Transaction is effected shall include terms requiring any such successor or surviving entity to comply with
the provisions of this paragraph (c) and insuring that the Warrant (or any such replacement security) will be similarly adjusted upon any subsequent transaction analogous to a Fundamental Transaction. 
  

 5 

 (c) Number of Warrant Shares. Simultaneously with any adjustment to the Exercise Price pursuant to
this Section 9, the number of Warrant Shares that may be purchased upon exercise of this Warrant shall be increased or decreased proportionately, so that after such adjustment the aggregate Exercise Price payable hereunder for the adjusted number of
Warrant Shares shall be the same as the aggregate Exercise Price in effect immediately prior to such adjustment. 
  
 (d) Calculations. All calculations under this Section 9 shall be made to the nearest cent or the nearest 1/100th of a share, as applicable. The number of shares of Common Stock outstanding at any given time shall not include shares owned
or held by or for the account of the Company. 
  
 (e) Notice of
Adjustments. Upon the occurrence of each adjustment pursuant to this Section 9, the Company at its expense will promptly compute such adjustment in accordance with the terms of this Warrant and prepare a certificate setting forth such
adjustment, including a statement of the adjusted Exercise Price and adjusted number or type of Warrant Shares or other securities issuable upon exercise of this Warrant (as applicable), describing the transactions giving rise to such adjustments
and showing in detail the facts upon which such adjustment is based. Upon written request, the Company will promptly deliver a copy of each such certificate to the Holder and to the Company’s Transfer Agent. 
  
 (f) Notice of Corporate Events. If the Company (i) declares a dividend
or any other distribution of cash, securities or other property in respect of its Common Stock, including without limitation any granting of rights or warrants to subscribe for or purchase any capital stock of the Company or any Subsidiary, (ii)
authorizes or approves, enters into any agreement contemplating or solicits stockholder approval for any Fundamental Transaction or (iii) authorizes the voluntary dissolution, liquidation or winding up of the affairs of the Company, then the Company
shall deliver to the Holder a notice describing the material terms and conditions of such transaction (but only to the extent such disclosure would not result in the dissemination of material, non-public information to the Holder) at least 10
calendar days prior to the applicable record or effective date on which a Person would need to hold Common Stock in order to participate in or vote with respect to such transaction, and the Company will take all steps reasonably necessary in order
to insure that the Holder is given the practical opportunity to exercise this Warrant prior to such time so as to participate in or vote with respect to such transaction; provided, however, that the failure to deliver such notice or any defect
therein shall not affect the validity of the corporate action required to be described in such notice. 
  
 10. Payment of Exercise Price. The Holder may pay the Exercise Price in one of the following manners: 
  
 (a) Cash Exercise. The Holder may deliver immediately available
funds; or 
  

 6 

 (b) Cashless Exercise. If after the one year anniversary of the Closing Date an Exercise Notice is
delivered at a time when a registration statement permitting the Holder to resell the Warrant Shares is not then effective or the prospectus forming a part thereof is not then available to the Holder for the resale of the Warrant Shares, then the
Holder may notify the Company in an Exercise Notice of its election to utilize cashless exercise, in which event the Company shall issue to the Holder the number of Warrant Shares determined as follows: 
  

			
	 	 	X = Y [(A-B)/A]
		
	 where:
	 	 
		
	 	 	X = the number of Warrant Shares to be issued to the Holder.
		
	 	 	Y = the number of Warrant Shares with respect to which this Warrant is being exercised.
		
	 	 	A = the average of the closing prices for the five Trading Days immediately prior to (but not including) the Exercise Date.
		
	 	 	B = the Exercise Price.

  
 For purposes of Rule 144 promulgated
under the Securities Act, it is intended, understood and acknowledged that the Warrant Shares issued in a cashless exercise transaction shall be deemed to have been acquired by the Holder, and the holding period for the Warrant Shares shall be
deemed to have commenced, on the date this Warrant was originally issued. 
  
 11. Limitations on Exercise. 
  
 (a) Notwithstanding anything to the contrary contained herein, the number of Warrant Shares that may be acquired by the Holder upon any exercise of this Warrant (or otherwise in respect hereof) shall be limited to the extent necessary to
insure that, following such exercise (or other issuance), the total number of shares of Common Stock then beneficially owned by such Holder and its Affiliates and any other Persons whose beneficial ownership of Common Stock would be aggregated with
the Holder’s for purposes of Section 13(d) of the Exchange Act, does not exceed 4.999% of the total number of issued and outstanding shares of Common Stock (including for such purpose the shares of Common Stock issuable upon such exercise). For
such purposes, beneficial ownership shall be determined in accordance with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder. This provision shall not restrict the number of shares of Common Stock which a Holder
may receive or beneficially own in order to determine the amount of securities or other consideration that such Holder may receive in the event of a Fundamental Transaction as contemplated in Section 9 of this Warrant. By written notice to the
Company, an Investor may waive the provisions of this Section 11(b) as to itself but any such waiver will not be effective until the 61st day after delivery thereof and such waiver shall have no effect on any other Investor. 
  
 (b) Notwithstanding anything to the contrary contained herein, the number of Warrant Shares that may be acquired by the Holder upon any exercise of this
Warrant (or otherwise in respect hereof) shall be limited to the extent necessary to insure that, following such exercise (or other issuance), the total number of shares of Common Stock then beneficially owned by such Holder and its Affiliates and
any other Persons whose beneficial ownership of Common Stock would be aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act, does not exceed 9.999% of the total number of issued and outstanding shares of 
  

 7 

 Common Stock (including for such purpose the shares of Common Stock issuable upon such exercise). For such purposes,
beneficial ownership shall be determined in accordance with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder. This provision shall not restrict the number of shares of Common Stock which a Holder may receive or
beneficially own in order to determine the amount of securities or other consideration that such Holder may receive in the event of a Fundamental Transaction as contemplated in Section 9 of this Warrant. This restriction may not be waived.

  
 12. No Fractional Shares. No fractional shares of
Warrant Shares will be issued in connection with any exercise of this Warrant. In lieu of any fractional shares which would, otherwise be issuable, the Company shall pay cash equal to the product of such fraction multiplied by the closing price of
one Warrant Share as reported by the applicable Trading Market on the date of exercise. 
  
 13. Notices. Any and all notices or other communications or deliveries hereunder (including, without limitation, any Exercise Notice) shall be in writing and shall be deemed given and effective on the earliest
of (i) the date of transmission, if such notice or communication is delivered via facsimile at the facsimile number specified in this Section prior to 6:30 p.m. (New York City time) on a Trading Day, (ii) the next Trading Day after the date of
transmission, if such notice or communication is delivered via facsimile at the facsimile number specified in this Section on a day that is not a Trading Day or later than 6:30 p.m. (New York City time) on any Trading Day, (iii) the Trading Day
following the date of mailing, if sent by nationally recognized overnight courier service, or (iv) upon actual receipt by the party to whom such notice is required to be given. The addresses for such communications shall be: (i) if to the Company,
to ProsoftTraining, 410 N. 44th Street, Suite 600, Phoenix, Arizona 85008, Attn: President, or to Facsimile No.:
(602) 794-4198 (or such other address as the Company shall indicate in writing in accordance with this Section), or (ii) if to the Holder, to the address or facsimile number appearing on the Warrant Register or such other address or facsimile number
as the Holder may provide to the Company in accordance with this Section. 
  
 14. Warrant Agent. The Company shall serve as warrant agent under this Warrant. Upon 10 days’ notice to the Holder, the Company may appoint a new warrant agent. Any corporation into which the Company or
any new warrant agent may be merged or any corporation resulting from any consolidation to which the Company or any new warrant agent shall be a party or any corporation to which the Company or any new warrant agent transfers substantially all of
its corporate trust or shareholders services business shall be a successor warrant agent under this Warrant without any further act. Any such successor warrant agent shall promptly cause notice of its succession as warrant agent to be mailed (by
first class mail, postage prepaid) to the Holder at the Holder’s last address as shown on the Warrant Register. 
  
 15. Miscellaneous. 
  
 (a) This Warrant shall be binding on and inure to the benefit of the parties hereto and their respective successors and assigns. Subject to the preceding
sentence, nothing in this Warrant shall be construed to give to any Person other than the Company and the Holder any legal or equitable right, remedy or cause of action under this Warrant. This Warrant may be amended only in writing signed by the
Company and the Holder and their successors and assigns. 
  

 8 

 (b) All questions concerning the construction, validity, enforcement and interpretation of this Warrant
shall be governed by and construed and enforced in accordance with the internal laws of the State of New York (except for matters governed by corporate law in the State of Delaware), without regard to the principles of conflicts of law thereof. Each
party agrees that all legal proceedings concerning the interpretations, enforcement and defense of this Warrant and the transactions herein contemplated (“Proceedings”) (whether brought against a party hereto or its respective
Affiliates, employees or agents) shall be commenced exclusively in the New York Courts. Each party hereto hereby irrevocably submits to the exclusive jurisdiction of the New York Courts for the adjudication of any dispute hereunder or in connection
herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert in any Proceeding, any claim that it is not personally subject to the jurisdiction of any New York Court, or that such
Proceeding has been commenced in an improper or inconvenient forum. Each party hereto hereby irrevocably waives personal service of process and consents to process being served in any such Proceeding by mailing a copy thereof via registered or
certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Warrant and agrees that such service shall constitute good and sufficient service of process and notice thereof.
Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law. Each party hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, any and all right to trial by
jury in any legal proceeding arising out of or relating to this Warrant or the transactions contemplated hereby. If either party shall commence a Proceeding to enforce any provisions of this Warrant, then the prevailing party in such Proceeding
shall be reimbursed by the other party for its attorney’s fees and other costs and expenses incurred with the investigation, preparation and prosecution of such Proceeding. 
  
 (c) The headings herein are for convenience only, do not constitute a part of this Warrant and shall not be deemed to limit
or affect any of the provisions hereof. 
  
 (d) In case any one or
more of the provisions of this Warrant shall be invalid or unenforceable in any respect, the validity and enforceability of the remaining terms and provisions of this Warrant shall not in any way be affected or impaired thereby and the parties will
attempt in good faith to agree upon a valid and enforceable provision which shall be a commercially reasonable substitute therefor, and upon so agreeing, shall incorporate such substitute provision in this Warrant. 
  
 (e) Prior to exercise of this Warrant, the Holder hereof shall not, by reason
of by being a Holder, be entitled to any rights of a stockholder with respect to the Warrant Shares 
  
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK, 
 SIGNATURE PAGE FOLLOWS] 
  

 9 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by its authorized officer as
of the date first indicated above. 
  

			
	PROSOFTRAINING
		
	 By:
	 	 /s/ Robert G. Gwin

	 Name:
	 	 Robert G. Gwin

	 Title:
	 	 Chief Executive Officer

  

 10 

 EXERCISE NOTICE 
 PROSOFTTRAINING 
 WARRANT DATED AUGUST 30, 2004 
  
 The undersigned Holder hereby irrevocably elects to purchase
                                 shares of Common Stock pursuant to the above
referenced Warrant. Capitalized terms used herein and not otherwise defined have the respective meanings set forth in the Warrant. 
  
 (1) The undersigned Holder hereby exercises its right to purchase
                         Warrant Shares pursuant to the Warrant. 
  
 (2) The Holder intends that payment of the Exercise Price shall be made as (check one):

  
              “Cash Exercise” under Section 10 
  
              “Cashless Exercise” under Section 10 
  
 (3) If the holder has elected a Cash Exercise, the holder shall pay the sum of
$                     to the Company in accordance with the terms of the Warrant. 
  
 (4) Pursuant to this Exercise Notice, the Company shall deliver to the holder
                                 Warrant Shares in accordance with the terms of
the Warrant. 
  
 (5) By its delivery of this Exercise Notice, the undersigned
represents and warrants to the Company that in giving effect to the exercise evidenced hereby the Holder will not beneficially own in excess of the number of shares of Common Stock (determined in accordance with Section 13(d) of the Securities
Exchange Act of 1934) permitted to be owned under Section 11 of this Warrant to which this notice relates. 
  
 (For use if at the time of this Notice, a registration statement is effective and available for use by the undersigned holder to sell Warrant Shares): 
  
 The undersigned represents its intention to promptly sell the Warrant Shares issuable
pursuant to this Exercise Notice pursuant to the prospectus that forms a part of the Registration Statement, and accordingly requests that such Warrant Shares be issued free of all legends in accordance with the Purchase
Agreement.   ̈ 
  

					
	 Dated:                 ,
            
	 	 Name of Holder:

			
	 	 	 (Print)
  
	 	  

			
	 	 	By:	 	  

	 	 	 Name:
  
	 	  

	 	 	 Title:
  
	 	  

		
	 	 	 (Signature must conform in all respects to
 name of holder as specified on the face of the Warrant)

  

 11 

 Warrant Shares Exercise Log 
  

							
	 Date

	 	 Number of Warrant
 Shares Available to be
Exercised

	 	 Number of Warrant Shares
Exercised

	  	 Number of
 Warrant Shares
Remaining to
 be Exercised

  

 12 

 PROSOFTTRAINING 
 WARRANT ORIGINALLY ISSUED AUGUST 30, 2004 
 WARRANT NO. 04-B02 
  
 FORM OF ASSIGNMENT 
  
 [To be completed and signed only upon transfer of Warrant] 
  
 FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto
                                        
         the right represented by the above-captioned Warrant to purchase
                         shares of Common Stock to which such Warrant relates and appoints
                                 attorney to transfer said right on the books of
the Company with full power of substitution in the premises. 
  
 Dated:
                ,              
  

	
	  

	 (Signature must conform in all respects to name of
 holder as specified on the face of the Warrant)

	
	  

	 Address of Transferee

	
	  

	
	  

  

	
	 In the presence of:

	
	  

  

 13SECURITY AGREEMENT

 Exhibit 10.8 
  
 SECURITY AGREEMENT 
  
 THIS SECURITY AGREEMENT (the “Agreement”) dated as of August 30, 2004 between ProsoftTraining, a Nevada corporation (the
“Debtor”), DKR SoundShore Oasis Holding Fund Ltd., a company organized under the laws of Bermuda (“DKR Oasis”), DKR SoundShore Strategic Holding Fund Ltd., a company organized under the laws of Bermuda (collectively
with DKR Oasis, the “Secured Party”), and DKR Oasis, in its capacity as administrative agent for the Secured Party (the “Administrative Agent”). 
  
 R E C I T A L S: 
  
 WHEREAS, the Debtor and the Secured Party are entering into that certain
Purchase Agreement dated of even date herewith (such agreement as it may be amended, renewed, extended, restated, replaced, substituted, supplemented, or otherwise modified from time to time is referred to herein as the “Purchase
Agreement”); and 
  
 WHEREAS, execution and delivery of this
Agreement is a condition to the Secured Party entering into the Purchase Agreement and the purchase of the Note pursuant thereto; 
  
 NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration, the adequacy, receipt, and sufficiency of which are hereby
acknowledged, and in order to induce the Secured Party to make the loan under the Purchase Agreement, the parties hereto hereby agree as follows: 
  
 ARTICLE I 
  
 Definitions 
  
 Section 1.01. Definitions. As used in this Agreement, the following terms have the following meanings: 
  
 “Account” means any “account,” as such term is defined in Article or Chapter 9 of the UCC, now owned or hereafter acquired by the
Debtor and, in any event, shall include, without limitation, each of the following, whether now owned or hereafter acquired by the Debtor: (a) all rights of the Debtor to payment for goods sold or leased or services rendered, whether or not earned
by performance, (b) all accounts receivable of the Debtor, (c) all rights of the Debtor to receive any payment of money or other form of consideration, (d) all security pledged, assigned, or granted to or held by the Debtor to secure any of the
foregoing, (e) all guaranties of, or indemnifications with respect to, any of the foregoing, and (f) all rights of the Debtor as an unpaid seller of goods or services, including, but not limited to, all rights of stoppage in transit, replevin,
reclamation and resale. 
  
 “Broker” means any
“broker,” as such term is defined in Article or Chapter 8 of the UCC, and in any event shall include, but not be limited to, any Person defined as a broker or dealer under the federal securities laws, but without excluding a bank acting in
that capacity. 

 “Chattel Paper” means any “chattel paper,” as such term is defined in Article or
Chapter 9 of the UCC, now owned or hereafter acquired by the Debtor. 
  
 “Clearing Corporation” means any “clearing corporation,” as such term is defined in Article or Chapter 8 of the UCC, and in any event shall include, but not be limited to, any (a) Person that is registered as a
“clearing agency” under the federal securities laws, (b) federal reserve bank, or (c) other Person that provides clearance or settlement services with respect to Financial Assets that would require it to register as a clearing agency under
the federal securities laws but for an exclusion or exemption from the registration requirement, if its activities as a clearing corporation, including promulgation of rules, are subject to regulation by a federal or state governmental authority.

  
 “Collateral” has the meaning specified in Section
2.01 of this Agreement. 
  
 “Collateral Agent” has the
meaning set forth in the Intercreditor Agreement. 
  
 “Commodity Account” means any commodity account, now owned or hereafter acquired by the Debtor, including, without limitation, all accounts maintained by a Commodity Intermediary in which a Commodity Contract is carried for the
Debtor. 
  
 “Commodity Contract” means any commodity
contract, and includes, without limitation, a commodity futures contract, a commodity option, or other contract that, in each case, is (a) traded on or subject to the rules of a board of trade that has been designated as a contract market for such a
contract pursuant to the federal commodities laws, or (b) traded on a foreign commodity board of trade, exchange, or market, and is carried on the books of a Commodity Intermediary for a Commodity Customer. 
  
 “Commodity Customer” means any Person for whom a Commodity
Intermediary carries a Commodity Contract on its books. 
  
 “Commodity Intermediary” means (a) a Person who is registered as a futures commission merchant under the federal commodities laws, or (b) a Person who in the ordinary course of its business provides clearance or settlement
services for a board of trade that has been designated as a contract market pursuant to the federal commodities laws. 
  
 “Creditors” has the meaning set forth in the Intercreditor Agreement. 
  
 “Deposit Accounts” means any and all deposit accounts, bank accounts or investment accounts now owned or hereafter
acquired or opened by the Debtor, and any account which is a replacement or substitute for any of such accounts, together with all monies, Instruments and other property deposited therein and all balances therein and all investments made with funds
deposited therein or otherwise held in connection therewith including, without limitation, indebtedness (howsoever evidenced) and/or securities issued or guaranteed by the government of the United States of America, certificates of deposit and all
contract rights, General Intangibles, contracts, Instruments, Investment Property, Security Entitlements, Financial Assets, Commodity Contracts and other Documents now or hereafter existing with respect thereto, including, but not limited to, any
and all renewals, extensions, reissuances and replacements and substitutions therefor with all earnings, profits or other Proceeds therefrom in the form of interest or otherwise. 

 “Document” means any “document,” as such term is defined in Article or Chapter 9 of
the UCC, now owned or hereafter acquired by the Debtor, including, without limitation, all documents of title and all receipts covering, evidencing or representing goods now owned or hereafter acquired by the Debtor. 
  
 “Entitlement Holder” means any Person identified in the records of
a Securities Intermediary as the Person having a Security Entitlement against the Securities Intermediary. 
  
 “Equipment” means any “equipment,” as such term is defined in Article or Chapter 9 of the UCC, now owned or hereafter acquired by the
Debtor and, in any event, shall include, without limitation, all machinery, equipment, furniture, fixtures, trade fixtures, trailers, rolling stock, vessels, aircraft and vehicles now owned or hereafter acquired by the Debtor and any and all
additions, substitutions and replacements of any of the foregoing, wherever located, together with all attachments, components, parts, equipment and accessories installed thereon or affixed thereto. 
  
 “Event of Default” has the meaning set forth in the Notes.

  
 “Financial Asset” means any financial asset, and in
any event shall include, but not be limited to, any (a) Security, (b) obligation of a Person or a share, participation or other interest in a Person or in property or an enterprise of a Person, which is, or is of a type, dealt in or traded on
financial markets, or which is recognized in any area in which it is issued or dealt in as a medium for investment, and (c) any property that is held by a Securities Intermediary for another Person in a Securities Account if the Securities
Intermediary has expressly agreed with the other Person that the property is to be treated as a Financial Asset under Article or Chapter 8 of the UCC. 
  
 “General Intangible” means any “general intangible,” as such term is defined in Article or Chapter 9 of the UCC, now owned or
hereafter acquired by the Debtor and, in any event, shall include, without limitation, each of the following, whether now owned or hereafter acquired by the Debtor: (a) all of the Debtor’s service marks, trade names, trade secrets,
registrations, goodwill, franchises, licenses, permits, proprietary information, customer lists, designs and inventions; (b) all of the Debtor’s books, records, data, plans, manuals, computer software, computer tapes, computer disks, computer
programs, source codes, object codes and all rights of the Debtor to retrieve data and other information from third parties; (c) all of the Debtor’s contract rights, partnership interests, joint venture interests, securities, deposit accounts,
investment accounts and certificates of deposit; (d) all rights of the Debtor to payment under letters of credit and similar agreements; (e) all tax refunds and tax refund claims of the Debtor; (f) all choses in action and causes of action of the
Debtor (whether arising in contract, tort or otherwise and whether or not currently in litigation) and all judgments in favor of the Debtor; (g) all rights and claims of the Debtor under warranties and indemnities; and (h) all rights of the Debtor
under any insurance, surety or similar contract or arrangement. 
  
 “Hunt” means Hunt Capital Growth Fund II, L.P. 

 “Hunt Lien” means that security interest in the Debtor’s property held by Hunt pursuant to
the Hunt Security Agreement. 
  
 “Hunt Security
Agreement” means the Security Agreement, dated as of October 16, 2001, between the Debtor and Hunt. 
  
 “Instrument” means any “instrument,” as such term is defined in Article or Chapter 9 of the UCC, now owned or hereafter acquired by
the Debtor, and, in any event, shall include all promissory notes, drafts, bills of exchange and trade acceptances of the Debtor, whether now owned or hereafter acquired. 
  
 “Intellectual Property” means (a) all copyrights, copyright licenses, patents, patent licenses, trademarks and
trademark licenses of Debtor; (b) all renewals, extensions and modifications thereof; (c) all income, royalties, damages, profits and payments relating to or payable under any of the foregoing; (d) the right to sue for past, present or future
infringements of any of the foregoing; (e) all other rights and benefits relating to any of the foregoing throughout the world; and (f) all goodwill associated with and symbolized by any of the foregoing; in each case, whether now owned or hereafter
acquired by the Debtor. 
  
 “Intercreditor Agreement”
means the Intercreditor Agreement, dated as of the date hereof, by and among the Secured Party, the Debtor and Hunt. 
  
 “Inventory” means any “inventory,” as such term is defined in Article or Chapter 9 of the UCC, now owned or hereafter acquired by the
Debtor, and, in any event, shall include, without limitation, each of the following, whether now owned or hereafter acquired by the Debtor: (a) all goods and other personal property of the Debtor that are held for sale or lease or to be furnished
under any contract of service; (b) all raw materials, work-in-process, finished goods, inventory, supplies and materials of the Debtor; (c) all wrapping, packaging, advertising and shipping materials of the Debtor; (d) all goods that have been
returned to, repossessed by or stopped in transit by the Debtor; and (e) all Documents evidencing any of the foregoing. 
  
 “Investment Property” means any investment property, now owned or hereafter acquired by the Debtor, and, in any event, shall include, without
limitation, each of the following, whether now owned or hereafter acquired by the Debtor: (a) any Security, whether certificated or uncertificated; (b) any Security Entitlement; (c) any Securities Account; (d) any Commodity Contract; and (e) any
Commodity Account. 
  
 “Issuer” means any
“issuer,” as such term is defined in Article or Chapter 8 of the UCC, and in any event shall include, but not be limited to, any Person that, with respect to an obligation on or a defense to a Security, (a) places or authorizes the placing
of its name on a Security Certificate, other than as authenticating trustee, registrar, transfer agent, or the like, to evidence a share, participation, or other interest in its property or in an enterprise, or to evidence its duty to perform an
obligation represented by the certificate; (b) creates a share, participation, or other interest in its property or in an enterprise, or undertakes an obligation, that is an Uncertificated Security; (c) directly or indirectly creates a fractional
interest in its rights or property, if the fractional interest is represented by a Security Certificate; or (d) becomes responsible for, or in the place of, another Issuer. 

 “Obligations” means all indebtedness, liabilities and obligations of Debtor under the Notes,
under the Purchase Agreement and under this Agreement. 
  
 “Pledged Collateral” has the meaning specified in Section 4.16(b)(i) of this Agreement. 
  
 “Pledged Shares” means the shares of capital stock or other equity, partnership or membership interests described on Schedule 3 attached hereto
and incorporated herein by reference. 
  
 “Proceeds”
means any “proceeds,” as such term is defined in Article or Chapter 9 of the UCC and, in any event, shall include, but not be limited to, (a) any and all proceeds of any insurance, indemnity, warranty or guaranty payable to the Debtor from
time to time with respect to any of the Collateral, (b) any and all payments (in any form whatsoever) made or due and payable to the Debtor from time to time in connection with any requisition, confiscation, condemnation, seizure or forfeiture of
all or any part of the Collateral by any governmental authority (or any Person acting, or purporting to act, for or on behalf of any governmental authority), and (c) any and all other amounts from time to time paid or payable under or in connection
with any of the Collateral. 
  
 “Securities Account”
means any account to which a Financial Asset is or may be credited in accordance with an agreement under which the Person maintaining the account undertakes to treat the Person for whom the account is maintained as entitled to exercise the rights
that comprise the Financial Asset. 
  
 “Securities
Intermediary” means any (a) Clearing Corporation, or (b) Person, including a bank or Broker, that in the ordinary course of its business maintains Securities Accounts for others and is acting in that capacity. 
  
 “Security” means any “security,” as such term is defined
in Article or Chapter 8 of the UCC and, in any event, shall include, but not be limited to, any obligation of an Issuer or a share, participation, or other interest in an Issuer or in property or an enterprise of an Issuer: (a) which is represented
by a Security Certificate in bearer or registered form, or the transfer of which may be registered upon books maintained for that purpose by or on behalf of the Issuer; (b) which is one of a class or series or by its terms is divisible into a class
or series of shares, participations, interests, or obligations; and (c) which (i) is, or is of a type, dealt in or traded on securities exchanges or securities markets; or (ii) is a medium for investment and by its terms expressly provides that it
is a security governed by Article or Chapter 8 of the UCC. 
  
 “Security Certificate” means any certificate representing a Security. 
  
 “Security Entitlement” means the rights and property interest of an Entitlement Holder with respect to a Financial Asset. 
  
 “UCC” means the Uniform Commercial Code as in effect in the State of New York; provided, that if, by applicable
law, the perfection or effect of perfection or non-perfection of the security interest created hereunder in any Collateral is governed by the Uniform Commercial Code as in effect on or after the date hereof in any other jurisdiction, “UCC”
means the Uniform Commercial Code as in effect in such other jurisdiction for purposes of the provisions hereof relating to such perfection or the effect of perfection or non-perfection. 

 “Uncertificated Security” means any “uncertificated security,” as such term is
defined in Article or Chapter 8 of the UCC, and in any event shall include, but not be limited to, any Security that is not represented by a certificate. 
  
 Section 1.02. Other Definitional Provisions. Terms used herein that are defined in the Purchase Agreement and are not otherwise defined herein shall have
the meanings therefor specified in the Purchase Agreement. References to “Sections,” “subsections,” “Exhibits” and “Schedules” shall be to Sections, subsections, Exhibits and Schedules, respectively, of this
Agreement unless otherwise specifically provided. All definitions contained in this Agreement are equally applicable to the singular and plural forms of the terms defined. All references to statutes and regulations shall include any amendments of
the same and any successor statutes and regulations. References to particular sections of the UCC should be read to refer also to parallel sections of the Uniform Commercial Code as enacted in each state or other jurisdiction where any portion of
the Collateral is or may be located. 
  
 ARTICLE II 
  
 Security Interest 
  
 Section 2.01. Security Interest. As collateral security for the prompt
payment and performance in full when due of the Obligations (whether at stated maturity, by acceleration or otherwise), the Debtor hereby pledges and assigns (as collateral) to the Administrative Agent (for the benefit of the Secured Party), and
grants to the Administrative Agent (for the benefit of the Secured Party) a continuing lien on and security interest in, all of the Debtor’s right, title and interest in and to the following, whether now owned or hereafter arising or acquired
and wherever located (collectively, the “Collateral”): 
  
 (a) all Accounts; 
  
 (b) all Chattel Paper; 

 
 (c) all Instruments; 
  
 (d) all General Intangibles; 
  
 (e) all Documents; 
  
 (f) all Equipment; 
  
 (g) all Inventory; 
  
 (h) all Intellectual Property; 
  
 (i) all Investment Property; 

 (j) all Deposit Accounts of the Debtor and all funds, certificates, Documents,
Instruments, checks, drafts, wire transfer receipts and other earnings, profits or other Proceeds from time to time representing, evidencing, deposited into or held in the Deposit Accounts (including, without limitation, in the form of interest);

  
 (k) the Pledged Shares and the certificates
representing the Pledged Shares, and all dividends, cash, instruments and other property from time to time received, receivable or otherwise distributed or distributable in respect of or in exchange for any or all of the Pledged Shares; 

 
 (l) all shares of stock of the Subsidiaries of the Debtor
from time to time owned or acquired by the Debtor in any manner, and the certificates and all dividends, cash, instruments and other property from time to time received, receivable or otherwise distributed or distributable in respect of or in
exchange for any or all of such shares; 
  
 (m)
all indebtedness from time to time owed to the Debtor by the Subsidiaries of the Debtor and the instruments evidencing such indebtedness, and all interest, cash, instruments and other property from time to time received, receivable or otherwise
distributed or distributable in respect of or in exchange for any or all of such indebtedness; 
  
 (n) the proceeds, in cash or otherwise, of any of the property described in the foregoing clauses (a) through (m) and all, security,
rights, remedies and claims of the Debtor with respect thereto; 
  
 (o) all other goods and personal property of the Debtor of any kind or character, whether tangible or intangible, including, without limitation, any and all rights in and claims under insurance policies, judgments and
rights thereunder, and tort claims; and 
  
 (p)
all Proceeds and products of any or all of the foregoing. 
  
 Section 2.02. Debtor Remains Liable. Notwithstanding anything to the contrary contained herein, (a) the Debtor shall remain liable under the contracts, agreements, documents and instruments included in the Collateral to the extent set forth
therein to perform all of its duties and obligations thereunder to the same extent as if this Agreement had not been executed, (b) the exercise by the Secured Party of any of its rights or remedies hereunder shall not release the Debtor from any of
its duties or obligations under the contracts, agreements, documents and instruments included in the Collateral, and (c) the Secured Party shall not have any indebtedness, liability or obligation under any of the contracts, agreements, documents and
instruments included in the Collateral by reason of this Agreement, and the Secured Party shall not be obligated to perform any of the obligations or duties of the Debtor thereunder or to take any action to collect or enforce any claim for payment
assigned hereunder. 
  
 Section 2.03. Delivery of Collateral. All
certificates or instruments representing or evidencing the Pledged Shares, any Instruments or Chattel Paper or any other Collateral including, without limitation, any Investment Property, promptly upon the Debtor gaining any rights therein (Debtor
shall provide prompt written notice thereof to the Secured Party) shall, after request therefor by Secured Party, be delivered to and held by any Collateral Agent on behalf of the Creditors pursuant hereto in suitable form for transfer by delivery,
or accompanied 

 by duly executed instruments of transfer or assignment in blank, all in form and substance reasonably satisfactory to the
Secured Party. After the occurrence and during the continuation of an Event of Default, each Collateral Agent shall have the right at any time to exchange certificates or instruments representing or evidencing any Pledged Collateral in its
possession for certificates or instruments of smaller or larger denominations. 
  
 ARTICLE III 
  
 Representations
and Warranties 
  
 To induce the Secured Party to enter into this
Agreement and the Purchase Agreement, the Debtor represents and warrants to the Secured Party that: 
  
 Section 3.01. Title. The Debtor is, and with respect to Collateral acquired after the date hereof the Debtor will be, the legal and beneficial owner of
the Collateral free and clear of any Lien or other encumbrance, except for Permitted Liens. 
  
 Section 3.02. Accounts. Unless the Debtor has given the Secured Party written notice to the contrary, whenever the security interest granted hereunder attaches to an Account, the Debtor shall be deemed to have
represented and warranted to the Secured Party as to each of its Accounts that (a) each Account is genuine and in all respects what it purports to be, (b) each Account represents the legal, valid and binding obligation of the account debtor
evidencing indebtedness unpaid and owed by such account debtor, (c) except for defenses and business disputes arising in the ordinary course of business which in the aggregate are not material, the amount of each Account represented as owing is the
correct amount actually and unconditionally owing except for normal trade discounts granted in the ordinary course of business, and (d) except for defenses and business disputes arising in the ordinary course of business which in the aggregate are
not material, no Account is subject to any offset, counterclaim, or other defense. 
  
 Section 3.03. Financing Statements. No financing statement, security agreement or other Lien instrument covering all or any part of the Collateral is on file in any public office, except as may have been filed in
connection with purchase money Liens that constitute Permitted Liens, this Agreement or the Hunt Security Agreement. Except as otherwise disclosed on Schedule 4 hereto, the Debtor does not do business and has not done business within the past five
(5) years under a trade name or any name other than its legal name set forth at the beginning of this Agreement. 
  
 Section 3.04. Principal Place of Business. The principal place of business and chief executive office of the Debtor, and the office where the Debtor keeps
its books and records, is located at the address of the Debtor shown on the signature pages of this Agreement. 
  
 Section 3.05. Location of Collateral. All Inventory (except Inventory in transit) and Equipment (other than vehicles) of the Debtor are located at the
places specified on Schedule 1 hereto. If any such location is leased by the Debtor, the name and address of the landlord leasing such location is identified on Schedule 1 hereto. The Debtor has exclusive possession and control of its Inventory and
Equipment. None of the Inventory or Equipment of the Debtor is evidenced by a Document (including, without limitation, a negotiable document of title). All Instruments, Chattel Paper and Security Certificates of the Debtor have been delivered to a
Collateral Agent. 

 Section 3.06. Perfection. Upon (i) the filing of Uniform Commercial Code financing statements in the
jurisdictions listed on Schedule 2 attached hereto, (ii) a Collateral Agent’s obtaining (a) possession of the Pledged Shares and all other Instruments, Chattel Paper and Security Certificates of the Debtor and (b) “control” over all
Deposit Accounts, and (iii) with respect to Intellectual Property, appropriate filings being made in the United States Patent and Trademark Office and the United States Copyright Office, the security interest in favor of the Secured Party created
herein will constitute a valid and perfected Lien upon and security interest in the Collateral, subject to no equal or prior Liens except for the Hunt Lien and purchase money Liens existing on the date hereof. 
  
 Section 3.07. Inventory. All Inventory has been produced in compliance with
all requirements of the Fair Labor Standards Act. 
  
 Section
3.08. Pledged Shares. 
  
 (a) The Pledged Shares
that are shares of a corporation have been duly authorized and validly issued and are fully paid and nonassessable, and the Pledged Shares that are membership or partnership interests (if any) have been validly granted, under the laws of the
jurisdiction of organization of the issuers thereof. 
  
 (b) The Debtor is the legal and beneficial owner of the Pledged Shares, free and clear of any Lien (other than the Lien created by this Agreement and the Hunt Lien), and the Debtor has not sold, granted any option with respect to, assigned,
transferred or otherwise disposed of any of its rights or interest in or to the Pledged Shares. 
  
 (c) On the date hereof, the Pledged Shares constitute the percentage of the issued and outstanding shares of stock, partnership interests
or membership interests of the issuers thereof indicated on Schedule 3, as such Schedule 3 may from time to time be supplemented, amended or modified. 
  
 Section 3.09. Miscellaneous. 
  
 As of the date hereof, the Debtor has no Permitted Senior Indebtedness (as such term is defined in the Subordinated Secured Convertible Note, dated as of
October 16, 2001, in the stated principal amount of $2,500,000 issued by Debtor in favor of Hunt). 
  
 ARTICLE IV 
  
 Covenants 
  
 The Debtor covenants and agrees with the
Secured Party that until the Obligations are paid and performed in full: 
  
 Section 4.01. Encumbrances. The Debtor shall not create, permit or suffer to exist, and shall defend the Collateral against, any Lien or other encumbrance on the Collateral except for 

 Permitted Liens, and shall defend the Debtor’s rights in the Collateral and the interest of the Administrative Agent
and Secured Party in the Collateral against the claims and demands of all Persons other than Hunt’s claims and demands to the extent arising under the Hunt Security Agreement. The Debtor shall do nothing to impair the rights of the Secured
Party in the Collateral. 
  
 Section 4.02. Modification of
Accounts. The Debtor shall, in accordance with prudent business practices, endeavor to collect or cause to be collected from each account debtor under its Accounts, as and when due, any and all amounts owing under such Accounts. Without the prior
written consent of the Secured Party the Debtor shall not (a) grant any extension of time for any payment with respect to any of the Accounts, (b) compromise, compound or settle any of the Accounts for less than the full amount thereof, (c) release,
in whole or in part, any Person liable for payment of any of the Accounts, (d) allow any credit or discount for payment with respect to any Account other than trade discounts granted in the ordinary course of business, or (e) release any Lien or
guaranty securing any Account. 
  
 Section 4.03. Disposition of
Collateral. Except as expressly permitted by the terms of the Purchase Agreement and sales of Inventory in the ordinary course of the Debtor’s business, the Debtor shall not sell, lease, assign (by operation of law or otherwise) or otherwise
dispose of, or grant any option with respect to, the Collateral or any part thereof without the prior written consent of the Secured Party. 
  
 Section 4.04. Further Assurances. At any time and from time to time, upon the request of the Secured Party, and at the sole expense of the Debtor, the
Debtor shall promptly execute and deliver all such further agreements, documents and instruments and take such further action as the Secured Party may reasonably deem necessary or appropriate to preserve and perfect its security interest in and
pledge and collateral assignment of the Collateral and carry out the provisions and purposes of this Agreement or to enable the Secured Party to exercise and enforce its rights and remedies hereunder with respect to any of the Collateral, and, to
the extent any of the Collateral is at any time in the custody of a Clearing Corporation or of a “custodian bank” or a nominee of either, as defined in the UCC, or any other Securities Intermediary, then the Debtor shall cause the Secured
Party to obtain “control,” as defined in Article or Chapter 8 of the UCC, of such Collateral in one of the manners prescribed in Article or Chapter 8.106 of the UCC. Except as otherwise expressly permitted by the terms of the Purchase
Agreement relating to disposition of assets and except for Permitted Liens, the Debtor agrees to defend the title to the Collateral and the Lien thereon of the Secured Party against the claim of any other Person (other than Hunt to the extent its
claims arise under the Hunt Security Agreement) and to maintain and preserve such Lien. Without limiting the generality of the foregoing, the Debtor shall (a) execute and deliver to the Secured Party such financing statements as the Secured Party
may from time to time require; (b) deliver and pledge to a Collateral Agent all Documents (including, without limitation, documents of title) evidencing Inventory or Equipment and cause the Secured Party to be named as lienholder on all Documents of
title; (c) deliver and pledge to a Collateral Agent all Instruments and Chattel Paper of the Debtor with any necessary endorsements; and (d) execute and deliver to the Secured Party such other agreements, documents and instruments as the Secured
Party may require to perfect and maintain the validity, effectiveness and priority of the Liens intended to be created by the Transaction Documents. The Debtor authorizes the Secured Party to file one or more financing or continuation statements,
and amendments thereto, relating 

 to all or any part of the Collateral without the signature of the Debtor where permitted by law. A carbon, photographic
or other reproduction of this Agreement or of any financing statement covering the Collateral or any part thereof shall be sufficient as a financing statement and may be filed as a financing statement. 
  
 Section 4.05. Insurance. The Debtor will, at its own expense, maintain
insurance with respect to all Collateral which constitutes goods in such amounts and against such risks as is provided in the Purchase Agreement. 
  
 Section 4.06. Bailees. If any of the Collateral is at any time in the possession or control of any warehouseman, bailee or any of the Debtor’s agents
or processors, the Debtor shall, at the request of the Secured Party, notify such warehouseman, bailee, agent or processor of the security interest created hereunder and shall instruct such Person to hold such Collateral for the Creditors’
account subject to a Collateral Agent’s instructions. 
  
 Section 4.07. Inspection Rights. The Debtor shall permit the Secured Party and its representatives to examine, inspect and audit the Collateral and to examine, inspect and audit the Debtor’s books and records at any reasonable time and
after notice, and as the Secured Party may desire. The Secured Party may at any time and from time to time contact account debtors to verify the existence, amounts and terms of the Accounts. 
  
 Section 4.08. Mortgagee and Landlord Waivers. The Debtor shall cause each
mortgagee of real property owned by the Debtor and each landlord of real property leased by the Debtor to execute and deliver instruments satisfactory in form and substance to the Secured Party by which such mortgagee or landlord waives its rights,
if any, in the Collateral. 
  
 Section 4.09. Legal Changes. The
Debtor shall not change its name, identity or legal structure in any manner that might make any financing statement filed in connection with this Agreement seriously misleading unless the Debtor shall have given the Secured Party thirty (30) days
prior written notice thereof and shall have taken all action deemed necessary or desirable by the Secured Party to protect its Liens and the perfection and priority thereof. The Debtor shall not change its principal place of business, chief
executive office, jurisdiction of formation, or the place where it keeps its books and records unless it shall have given the Secured Party thirty (30) days prior written notice thereof and shall have taken all action deemed necessary or desirable
by the Secured Party to cause its security interest in the Collateral to be perfected with the priority required by this Agreement. 
  
 Section 4.10. Books and Records; Information. The Debtor shall keep accurate and complete books and records of the Collateral and the Debtor’s
business and financial condition in accordance with generally accepted accounting principles consistently applied. The Debtor shall from time to time at the request of the Secured Party deliver to the Secured Party such information regarding the
Collateral and the Debtor as the Secured Party may request, including, without limitation, lists and descriptions of the Collateral and evidence of the identity and existence of the Collateral. To the extent required by Section 4.04 of this
Agreement, the Debtor shall mark its books and records to reflect the security interest of the Secured Party under this Agreement. 

 Section 4.11. Equipment and Inventory. 
  
 (a) The Debtor shall keep the Equipment (other than vehicles) and Inventory (other than Inventory in
transit) at the locations specified on Schedule 1 hereto or, upon thirty (30) days prior written notice to the Secured Party, at such other places within the United States of America where all action required to perfect the Secured Party’s
security interest in the Equipment and Inventory with the priority required by this Agreement shall have been taken. 
  
 (b) The Debtor shall maintain the Equipment and Inventory in good condition and repair (ordinary wear and tear excepted) and in accordance
with any manufacturer’s manual. The Debtor shall not permit any waste or destruction of the Equipment or Inventory or any part thereof. The Debtor shall not permit the Equipment or Inventory to be used in violation of any law, rule or
regulation or the terms of any policy of insurance. The Debtor shall not use or permit any of the Equipment or Inventory to be used in any manner or for any purpose that would impair its value or expose it to unusual risk. 
  
 (c) In producing Inventory, the Debtor shall comply with all
requirements of the Fair Labor Standards Act. 
  
 Section 4.12.
Warehouse Receipts Non-Negotiable. The Debtor agrees that if any warehouse receipt or receipt in the nature of a warehouse receipt is issued in respect of any of the Collateral, such warehouse receipt or receipt in the nature thereof shall not be
“negotiable” (as such term is used in Section 7.104 of the UCC) unless such warehouse receipt or receipt in the nature thereof is delivered to a Collateral Agent. 
  
 Section 4.13. Notification. The Debtor shall promptly notify the Secured Party of (a) any Lien, encumbrance or claim that
has attached to or been made or asserted against any of the Collateral, (b) any material change in any of the Collateral, including, without limitation any material damage to or loss of Collateral, and (c) the occurrence of any other event or
condition (including, without limitation, matters as to Lien priority) that could have a material adverse effect on the Collateral or the security interest created hereunder. 
  
 Section 4.14. Collection of Accounts. So long as no Event of Default has occurred and is continuing and except as otherwise
provided in this Section 4.14 and in Section 5.01, the Debtor shall have the right to collect and receive payments on the Accounts. In connection with such collections, the Debtor may take (and, at the Secured Party’s direction, shall take)
such actions as the Debtor or the Secured Party may deem necessary or advisable to enforce collection of the Accounts. Upon the request of the Secured Party, the Debtor shall cause all account debtors and other Persons obligated in respect of the
Accounts to make all payments on the Accounts directly to any collection or collateral account established by a Collateral Agent and the Debtor shall cause all other Proceeds of Collateral to be deposited directly to such account. Until such
Proceeds are delivered to such account, such Proceeds shall be held in trust by the Debtor for the benefit of the Creditors and shall not be commingled with any other funds or property of the Debtor. All Proceeds of Collateral received by a
Collateral Agent pursuant to this Section 4.14 will be applied by such Collateral Agent in accordance with the Intercreditor Agreement. All such Proceeds received by a Secured Party will be applied by the Secured party 

 to the Obligations at such time and in such order as the Secured party shall determine from time to time in its sole
judgment, subject to the Intercreditor Agreement to the extent it is then in effect. 
  
 Section 4.15. Intellectual Property. 
  
 (a) The Debtor shall prosecute diligently all applications in respect of Intellectual Property, now or hereafter pending. 
  
 (b) The Debtor shall make federal applications on all of its unpatented but patentable inventions and all of its registrable but
unregistered copyrights and trademarks. 
  
 (c)
The Debtor shall preserve and maintain all of its rights in the Intellectual Property and shall protect the Intellectual Property from infringement, unfair competition, cancellation or dilution by all appropriate action, including the commencement
and prosecution of legal proceedings to recover damages for infringement and to defend and preserve its rights in the Intellectual Property. 
  
 (d) The Debtor shall not abandon any of the Intellectual Property. 
  
 (e) The Debtor shall not sell or assign any of its interest in, or grant any license under (except as
permitted by Section 5.05 hereof), any of the Intellectual Property without the prior written consent of the Secured Party and shall maintain the quality of any and all products and services with respect to which the Intellectual Property is used.
The Debtor shall not enter into any agreement regarding Intellectual Property, including, but not limited to any licensing agreement not permitted by Section 5.05 hereof, that is or may be inconsistent with the Debtor’s obligations under this
Agreement or any of the other Transaction Documents. 
  
 (f) If the Debtor shall obtain rights to or become entitled to the benefit of any Intellectual Property, the Debtor shall give the Secured Party prompt written notice thereof and the provisions of this Agreement shall automatically apply
thereto. 
  
 (g) If an Event of Default shall
have occurred and be continuing, the Debtor shall use its best efforts to obtain any consents, waivers or agreements necessary to enable the Secured Party to exercise its rights and remedies with respect to the Intellectual Property. 
  
 (h) The Debtor shall, at the request of the Secured Party,
execute and deliver to the Secured Party a copyright security agreement, a patent security agreement, and a trademark security agreement and all other documents, instruments, and other items as may be necessary for the Secured Party to file such
agreements with the United States Copyright Office, the United States Patent and Trademark Office, and any similar domestic or foreign office, department, or agency. The Debtor will, at any time and from time to time upon the request of the Secured
Party, execute and deliver to a Collateral Agent all such other agreements, documents, instruments and other items as may be necessary or appropriate for the Secured Party to create and perfect its security interest in the Intellectual Property and
to make all appropriate filings with respect thereto. 

 Section 4.16. Voting Rights; Distributions, etc. 
  
 (a) So long as no Event of Default shall have occurred and
be continuing: 
  
 (i) The Debtor shall be
entitled to exercise any and all voting and other consensual rights (including, without limitation, the right to give consents, waivers and notifications in respect of any of the Pledged Collateral) pertaining to any of the Pledged Collateral or any
part thereof; provided; however, that without the prior written consent of the Secured Party, no vote shall be cast or consent, waiver or ratification given or action taken which would (x) be inconsistent with or violate any provision of this
Agreement or any other Transaction Document or (y) amend, modify or waive any term, provision or condition of the certificate of incorporation, by-laws, certificate of formation or other charter document or other agreement relating to, evidencing,
providing for the issuance of or securing any Collateral; and provided further that the Debtor shall give the Secured Party at least five (5) Business Days’ prior written notice in the form of an officer’s certificate of the manner in
which it intends to exercise, or the reasons for refraining from exercising, any voting or other consensual rights pertaining to the Collateral or any part thereof which might have a material adverse effect on the value of the Collateral or any part
thereof; and 
  
 (ii) Unless a Event of Default
shall have occurred and be continuing, the Debtor shall be entitled to receive and retain any and all dividends and interest paid in respect to any of the Collateral to the extent, if any, permitted by the Purchase Agreement; provided, however, that
any and all 
  
 (A) dividends, interest or other
distributions paid or payable in violation of the Purchase Agreement, 
  
 (B) dividends, interest or other distributions paid or payable other than in cash in respect of, and instruments and other property received, receivable or otherwise distributed in respect of, or in exchange for, any
Collateral, 
  
 (C) dividends, interest or other
distributions hereafter paid or payable in cash in respect of any Collateral in connection with a partial or total liquidation or dissolution or in connection with a reduction of capital, capital surplus or paid-in-surplus, and 
  
 (D) cash paid, payable or otherwise distributed in
redemption of, or in exchange for, any Collateral, 
  
 shall be,
and shall be forthwith delivered to a Collateral Agent to hold as, Collateral and shall, if received by the Debtor, be received in trust for the benefit of the Creditors, be segregated from the other property or funds of the Debtor and be forthwith
delivered to a Collateral Agent as Collateral in the same form as so received (with any necessary endorsement). All amounts (other than amounts described in clauses (ii) (A)-(D) above) received by the Secured Party in respect of any Pledged
Collateral shall be either (1) promptly released to the Debtor, so long as no Event of Default shall have occurred and 

 be continuing or (2) if any Event of Default shall have occurred and be continuing, delivered over to a
Collateral Agent and applied to the Obligations. During the continuance of any Event of Default, any dividends, interest or other distributions (whether in cash, securities, property or otherwise) received by the Debtor with respect to any Pledged
Collateral shall be held by the Debtor in trust for the benefit of the Creditors and, upon the request of the Secured Party, shall be delivered promptly to a Collateral Agent to hold as Collateral. If such Event of Default is waived or cured to the
satisfaction of the Secured Party, any such distributions (except those of the types described in clauses (ii)(A)-(D) above) shall be returned promptly to the Debtor (provided that no other Event of Default exists). 
  
 (b) Upon the occurrence and during the continuance of a
Event of Default: 
  
 (i) The Secured Party may,
without notice to the Debtor, transfer or register, or cause to be transferred or registered, in the name of a Collateral Agent or any of its nominees any or all of the Collateral described in Section 2.01(i) through (m) of this Agreement, the
proceeds thereof (in cash or otherwise) and all liens, security, rights, remedies and claims of the Debtor with respect thereto (collectively, the “Pledged Collateral”) held by the Secured Party hereunder, and such Collateral Agent or its
nominee may thereafter, after delivery of notice to the Debtor, exercise all voting and corporate rights at any meeting of any corporation, partnership or other business entity issuing any of the Pledged Collateral and any and all rights of
conversion, exchange, subscription or any other rights, privileges or options pertaining to any of the Pledged Collateral as if it were the absolute owner thereof, including, without limitation, the right to exchange at its discretion any and all of
the Pledged Collateral upon the merger, consolidation, reorganization, recapitalization or other readjustment of any corporation, partnership or other business entity issuing any of such Pledged Collateral or upon the exercise by any such issuer or
the Secured Party of any right, privilege or option pertaining to any of the Pledged Collateral, and in connection therewith, to deposit and deliver any and all of the Pledged Collateral with any committee, depositary, transfer agent, registrar or
other designated agency upon such terms and conditions as it may determine, all without liability except to account for property actually received by it but the Secured Party shall have no duty to exercise any of the aforesaid rights, privileges or
options, and the Secured Party shall not be responsible for any failure to do so or delay in so doing. 
  
 (ii) All rights of the Debtor to exercise the voting and other consensual rights which it would otherwise be entitled to exercise pursuant
to Subsection 4.16(a)(i) and to receive the dividends, interest and other distributions which it would otherwise be authorized to receive and retain pursuant to Subsection 4.16(a)(ii) shall be suspended until such Event of Default shall no longer
exist, and all such rights shall, until such Event of Default shall no longer exist, thereupon become vested in the Secured Party which shall thereupon have the right to exercise such voting and other consensual rights and to receive and hold as
Pledged Collateral such dividends, interest and other distributions. 

 (iii) All dividends, interest and other distributions which are received by the Debtor
contrary to the provisions of this Subsection 4.13(b) shall be received in trust for the benefit of the Creditors, shall be segregated from other funds of the Debtor and shall be forthwith paid over to a Collateral Agent as Collateral in the same
form as so received (with any necessary endorsement). 
  
 (iv) The Debtor shall execute and deliver (or cause to be executed and delivered) to a Collateral Agent all such proxies and other instruments as the Secured Party may reasonably request for the purpose of enabling the Secured Party to
exercise the voting and other rights which it is entitled to exercise pursuant to this Subsection 4.16(b) and to receive the dividends, interest and other distributions which it is entitled to receive and retain pursuant to this Subsection 4.16(b).
The foregoing shall not in any way limit the Secured Party’s power and authority granted pursuant to Section 5.01. 
  
 Section 4.17. Transfers and Other Liens; Additional Investments. 
  

(a) Except as may be expressly permitted by the terms of the Purchase Agreement, the Debtor shall not grant any option with respect to,
exchange, sell or otherwise dispose of any of the Collateral, except for the sales of inventory in the ordinary course of its business, or create or permit to exist any Lien upon or with respect to any of the Collateral except for Permitted Liens
and the Liens created hereby. 
  
 (b) The Debtor
agrees that it will (i) cause each issuer of any of the Collateral not to issue any shares of stock, notes or other securities or instruments in addition to or in substitution for any of the Collateral, except, with the written consent of the
Secured Party, to the Debtor, (ii) pledge hereunder, immediately upon its acquisition (directly or indirectly) thereof, any and all such shares of stock, membership interests, partnership interests, notes or instruments, and (iii) promptly (and in
any event within three Business Days) deliver to the Administrative Agent an Amendment, duly executed by the Debtor, in substantially the form of Exhibit A hereto (an “Amendment”), in respect of such shares of stock, membership interests,
partnership interests, notes or instruments, together with all certificates, notes or other instruments representing or evidencing the same. The Debtor hereby (i) authorizes the Administrative Agent to attach each Amendment to this Agreement, (ii)
agrees that all such shares of stock, membership interests, partnership interests, notes or instruments listed on any Amendment shall for all purposes hereunder constitute Collateral, and (iii) is deemed to have made, upon such delivery, the
representations and warranties contained in Article III with respect to such Collateral. 
  
 Section 4.18. Possession; Reasonable Care. Regardless of whether a Event of Default has occurred or is continuing, the Secured Party shall have the right to have any Collateral Agent hold in its possession all Pledged
Collateral pledged, assigned or transferred hereunder and from time to time constituting a portion of the Collateral. Any Collateral Agent may, from time to time, in its sole discretion, appoint one or more agents (which in no case shall be the
Debtor or an affiliate of the Debtor) to hold physical custody, for the account of the Secured Party, of any or all of the Collateral. Each Collateral Agent shall be deemed to have exercised reasonable care in the custody and preservation of the
Collateral in its possession if the Collateral is accorded treatment substantially equal to that which such Collateral Agent accords its own property, it 

 being understood that no Collateral Agent shall have any responsibility for (a) ascertaining or taking action with
respect to calls, conversions, exchanges, maturities, tenders or other matters relative to any Collateral, whether or not the Collateral Agent has or is deemed to have knowledge of such matters, or (b) taking any necessary steps to preserve rights
against any parties with respect to any Collateral. Following the occurrence of a Event of Default, the Secured Party shall be entitled to have a Collateral Agent take possession of the Collateral. 
  
 Section 4.19. Acknowledgment of Pledge. The Debtor shall deliver to a
Collateral Agent promptly after request thereof by a Secured Party, one or more agreements providing one or more of the Collateral Agents with control (within the meaning of Section 9-207(c) of the UCC) over all Deposit Accounts, Commodities
Accounts and Securities Accounts, such agreements to be in form and substance satisfactory to such Secured Party. 
  
 ARTICLE V 
  
 Rights of the Secured Party 
  
 Section 5.01. Power of
Attorney. The Debtor hereby irrevocably constitutes and appoints the Secured Party and any officer or agent thereof, with full power of substitution, as its true and lawful attorney-in-fact with full irrevocable power and authority in the name of
the Debtor or in its own name, to take after the occurrence and during the continuance of a Event of Default and from time to time thereafter, any and all action and to execute any and all documents and instruments which the Secured Party at any
time and from time to time deems necessary or desirable to accomplish the purposes of this Agreement and, without limiting the generality of the foregoing, the Debtor hereby gives the Secured Party the power and right on behalf of the Debtor and in
its own name to do any of the following after the occurrence and during the continuance of a Event of Default and from time to time thereafter, without notice to or the consent of the Debtor: 
  
 (a) to demand, sue for, collect or receive, in the name of
the Debtor or in its own name, any money or property at any time payable or receivable on account of or in exchange for any of the Collateral and, in connection therewith, endorse checks, notes, drafts, acceptances, money orders, documents of title
or any other instruments for the payment of money under the Collateral or any policy of insurance; 
  
 (b) to pay or discharge taxes, Liens or other encumbrances levied or placed on or threatened against the Collateral; 
  
 (c) to notify post office authorities to change the address
for delivery of mail of the Debtor to an address designated by the Secured Party and to receive, open and dispose of mail addressed to the Debtor; 
  
 (d) (i) to direct account debtors and any other parties liable for any payment under any of the Collateral to make payment of any and all
monies due and to become due thereunder directly to a Collateral Agent; (ii) to receive payment of and receipt for any and all monies, claims and other amounts due and to become due at any time in respect of or arising out of any Collateral; (iii)
to sign and endorse any invoices, freight or express bills, bills of 

 lading, storage or warehouse receipts, drafts against debtors, assignments, proxies, stock powers,
verifications and notices in connection with accounts and other documents relating to the Collateral; (iv) to commence and prosecute any suit, action or proceeding at law or in equity in any court of competent jurisdiction to collect the Collateral
or any part thereof and to enforce any other right in respect of any Collateral; (v) to defend any suit, action or proceeding brought against the Debtor with respect to any Collateral; (vi) to settle, compromise or adjust any suit, action or
proceeding above and, in connection therewith, to give such discharges or releases as the Secured Party may deem appropriate; (vii) to exchange any of the Collateral for other property upon any merger, consolidation, reorganization, recapitalization
or other readjustment of the issuer thereof and, in connection therewith, deposit any of the Collateral with any committee, depositary, transfer agent, registrar or other designated agency upon such terms as the Secured Party may determine; (viii)
to add or release any guarantor, indorser, surety or other party to any of the Collateral; (ix) to renew, extend or otherwise change the terms and conditions of any of the Collateral; (x) to grant or issue any exclusive or nonexclusive license under
or with respect to any of the Intellectual Property; (xi) to endorse the Debtor’s name on all applications, documents, papers and instruments necessary or desirable in order for the Secured Party to use any of the Intellectual Property; (xii)
to make, settle, compromise or adjust any claims under or pertaining to any of the Collateral (including claims under any policy of insurance); and (xiii) to sell, transfer, pledge, convey, make any agreement with respect to or otherwise deal with
any of the Collateral as fully and completely as though the Secured Party were the absolute owner thereof for all purposes, and to do, at the Secured Party’s option and the Debtor’s expense, at any time, or from time to time, all acts and
things which the Secured Party deems necessary to protect, preserve, maintain, or realize upon the Collateral and the Secured Party’s security interest therein. 
  
 This power of attorney is a power coupled with an interest and shall be irrevocable. The Secured Party shall be under no
duty to exercise or withhold the exercise of any of the rights, powers, privileges and options expressly or implicitly granted to the Secured Party in this Agreement, and shall not be liable for any failure to do so or any delay in doing so. Neither
the Secured Party nor any Person designated by the Secured Party shall be liable for any act or omission or for any error of judgment or any mistake of fact or law. This power of attorney is conferred on the Secured Party solely to protect,
preserve, maintain and realize upon its security interest in the Collateral. The Secured Party shall not be responsible for any decline in the value of the Collateral and shall not be required to take any steps to preserve rights against prior
parties or to protect, preserve or maintain any Lien given to secure the Collateral. 
  
 Section 5.02. Setoff. The Secured Party shall have the right to set off and apply against the Obligations, at any time and without notice to the Debtor, any and all deposits (general, time or demand, provisional or
final) or other sums at any time credited by or owing from the Secured Party to the Debtor whether or not the Obligations are then due. The rights and remedies of the Secured Party hereunder are in addition to other rights and remedies (including,
without limitation, other rights of setoff) that the Secured Party may have. 
  
 Section 5.03. Assignment by the Secured Party. The Secured Party may at any time assign or otherwise transfer all or any portion of its rights and obligations under this Agreement and the other Transaction Documents,
in connection with an assignment of the Obligations, to any other Person, and such Person shall thereupon become vested with all the benefits thereof granted to the Secured Party herein or otherwise. 

 Section 5.04. Performance by the Secured Party. If the Debtor shall fail to perform any covenant or
agreement contained in this Agreement, the Secured Party may perform or attempt to perform such covenant or agreement on behalf of the Debtor. In such event, the Debtor shall, at the request of the Secured Party, promptly pay any amount expended by
the Secured Party in connection with such performance or attempted performance to the Secured Party, together with interest thereon at the applicable rate of interest set forth in the Note from and including the date of such expenditure to but
excluding the date such expenditure is paid in full. Notwithstanding the foregoing, it is expressly agreed that the Secured Party shall not have any liability or responsibility for the performance of any obligation of the Debtor under this
Agreement. 
  
 Section 5.05. License. If no Event of Default shall
have occurred and be continuing, the Debtor shall have the exclusive, non-transferable right and license to use the Intellectual Property in the ordinary course of business and the exclusive right to grant to other Persons licenses and sublicenses
with respect to the Intellectual Property for full and fair consideration. The Debtor agrees not to sell or assign its interest in, or grant any sublicense under, the license granted under this Section 5.05 without the prior written consent of the
Secured Party. 
  
 Section 5.06. Change of Depository. In the
event of the termination by any financial institution in which any Deposit Account is maintained of any agreement with or for the benefit of the Secured Party, or if any such financial institution shall fail to comply with any provisions of any such
agreement or any instructions of the Secured Party in accordance with any such agreement or this Agreement, or if the Secured Party determines in its sole discretion that the financial condition of any such financial institution has materially
deteriorated, the Debtor agrees to transfer the affected Deposit Account(s) to another financial institution acceptable to the Secured Party and cause such substitute financial institution to execute such agreements as the Secured Party may require,
in form and substance reasonably acceptable to the Secured Party, to ensure that the Secured Party has a perfected, first priority security interest, subject only to the Hunt Lien, in the Deposit Account(s) held with such substitute financial
institution. If any affected Deposit Account is a lockbox account, the Debtor agrees to notify its account debtors promptly to remit all payments which were being sent to the terminated Deposit Account directly to the substitute Deposit Account.

  
 Section 5.07. Collection of Deposit Accounts. Upon written
demand from the Secured Party to any financial institution in which any of the Deposit Accounts are maintained, each such financial institution is hereby authorized and directed by the Debtor to make payment directly to a Collateral Agent of the
funds in or credited to the Deposit Accounts, or such part thereof as the Secured Party may request, and each such financial institution shall be fully protected in relying upon the written statement of the Secured Party that the Deposit Accounts
are at the time of such demand assigned hereunder and that the Secured Party is entitled to payment of the Obligations therefrom. The Secured Party’s receipt for sums paid it pursuant to such demand shall be a full and complete release,
discharge and acquittance to the Depository or other financial institution making such payment to the extent of the amount so paid. The Debtor hereby authorizes the Secured Party upon the occurrence and during the continuation of a Event of Default
and so long as any part of the Obligations remain unpaid, (i) to withdraw, collect and receipt for any and all 

 funds, securities or other investments on deposit in or payable on the Deposit Accounts; (ii) on behalf of the Debtor to
endorse the name of the Debtor upon any checks, drafts or other instruments payable to the Debtor evidencing payment on the Deposit Accounts; and (iii) to surrender or present for notation of withdrawal the passbook, certificate or other documents
issued to the Debtor in connection with the Deposit Accounts. No power granted herein to the Secured Party by the Debtor shall terminate upon any disability of the Debtor. 
  
 ARTICLE VI 
  
 Event of Default 
  
 Section 6.01. Rights and Remedies. If a Event of Default shall have occurred and be continuing, the Secured Party shall have the following rights and
remedies: 
  
 (i) In addition to all other rights
and remedies granted to the Secured Party in this Agreement or in any other Transaction Document or by applicable law, the Secured Party shall have all of the rights and remedies of a secured party under the UCC (whether or not the UCC applies to
the affected Collateral) and the Secured Party may also, without notice except as specified below, sell or otherwise dispose of the Collateral or any part thereof in one or more parcels by means of a public or private disposition, at any exchange,
broker’s board or at any of the Secured Party’s offices or elsewhere, for cash, on credit or for future delivery, and upon such other terms as the Secured Party may deem commercially reasonable or otherwise as may be permitted by law.
Without limiting the generality of the foregoing, the Secured Party may (A) without demand or notice to the Debtor, collect, receive or take possession of the Collateral or any part thereof and for that purpose the Secured Party may enter upon any
premises on which the Collateral is located and remove the Collateral therefrom or render it inoperable, and/or (B) sell, lease or otherwise dispose of the Collateral, or any part thereof, in one or more parcels by means of a public or private
disposition or dispositions, at the Secured Party’s offices or elsewhere, for cash, on credit or for future delivery, and upon such other terms as the Secured Party may deem commercially reasonable or otherwise as may be permitted by law. The
Secured Party shall have the right at any public disposition or dispositions, and, to the extent permitted by applicable law, at any private disposition or dispositions, to bid (which bid may be, in whole or in part, in the form of cancellation of
indebtedness) and become a purchaser of the Collateral or any part thereof free of any right or equity of redemption on the part of the Debtor, which right or equity of redemption is hereby expressly waived and released by the Debtor. Upon the
request of the Secured Party, the Debtor shall assemble the Collateral and make it available to the Secured Party at any place designated by the Secured Party that is reasonably convenient to the Debtor and the Secured Party. The Debtor agrees that
the Secured Party shall not be obligated to give more than ten (10) days prior written notice of the time and place of any public sale or disposition or of the time after which any private sale or disposition may take place and that such notice
shall constitute reasonable notice of such matters. The Secured Party shall not be obligated to make any sale or other disposition of Collateral if it shall determine not to do so, regardless of the fact that notice of sale or disposition of
Collateral may have been given. The Secured Party may, without notice or publication, adjourn any public or private sale or disposition or cause the same to be 

 adjourned from time to time by announcement at the time and place fixed for sale or disposition, and such
disposition may, without further notice, be made at the time and place to which the same was so adjourned. The Debtor shall be liable for all expenses of retaking, holding, preparing for sale or other disposition or the like, and all attorneys’
fees, legal expenses and other costs and expenses incurred by the Secured Party in connection with the collection of the Obligations and the enforcement of the Secured Party’s rights under this Agreement. The Debtor shall remain liable for any
deficiency if the Proceeds of any sale or other disposition of the Collateral applied to the Obligations are insufficient to pay the Obligations in full. The Secured Party may apply the Collateral against the Obligations in such order and manner as
the Secured Party may elect in its sole discretion. The Debtor waives all rights of marshaling, valuation and appraisal in respect of the Collateral. Any cash held by the Secured Party or a Collateral Agent as Collateral and all cash proceeds
received by the Secured Party or a Collateral Agent in respect of any disposition of, collection from or other realization upon all or any part of the Collateral may, in the discretion of the Secured Party, be held by the Secured Party or such
Collateral Agent as collateral for, and then or at any time thereafter applied in whole or in part by the Secured Party or such Collateral Agent against, the Obligations in such order as the Secured Party shall select. Any surplus of such cash or
cash proceeds and interest accrued thereon, if any, held by the Secured Party or a Collateral Agent and remaining after payment in full of all the Obligations shall be paid over to the Debtor or to whomsoever may be lawfully entitled to receive such
surplus; provided that the Secured Party shall have no obligation to invest or otherwise pay interest on any amounts held by it in connection with or pursuant to this Agreement. 
  
 (ii) The Secured Party may cause any or all of the Collateral held by it or a Collateral Agent to be
transferred into the name of the Secured Party, a Collateral Agent, or the name or names of the Secured Party’s or such Collateral Agent’s nominee or nominees. 
  
 (iii) The Secured Party may exercise any and all rights and remedies of the Debtor under or in respect of
the Collateral, including, without limitation, any and all rights of the Debtor to demand or otherwise require payment of any amount under, or performance of any provision of, any of the Collateral and any and all voting rights and legal powers in
respect of the Collateral. 
  
 (iv) The Secured
Party may, or may cause a Collateral Agent to, collect or receive all money or property at any time payable or receivable on account of or in exchange for any of the Collateral, but shall be under no obligation to do so. 
  
 (v) On any sale or other disposition of the Collateral, the
Secured Party is hereby authorized to comply with any limitation or restriction with which compliance is necessary, in the view of the Secured Party’s counsel, in order to avoid any violation of applicable law or in order to obtain any required
approval of the purchaser or purchasers by any applicable governmental authority. 
  
 (vi) For purposes of enabling the Secured Party to exercise its rights and remedies under this Section 6.01 and enabling the Secured Party
and its successors 

 and assigns to enjoy the full benefits of the Collateral, the Debtor hereby grants to the Secured Party
an irrevocable, nonexclusive license (exercisable without payment of royalty or other compensation to the Debtor) to use, assign, license or sublicense any of the Intellectual Property, including in such license reasonable access to all media in
which any of the licensed items may be recorded or stored and all computer programs used for the completion or printout thereof. This license shall also inure to the benefit of all successors, assigns and transferees of the Secured Party.

  
 (vii) The Secured Party may require that the
Debtor assign all of its right, title and interest in and to the Intellectual Property or any part thereof to the Secured Party or such other Person as the Secured Party may designate pursuant to documents satisfactory to the Secured Party.

  
 Section 6.02. Registration Rights, Private Dispositions, etc.

  
 (a) If the Secured Party shall determine to
exercise its right to sell or otherwise dispose of all or any of the Collateral pursuant to Section 6.01, the Debtor agrees that, upon the reasonable request of the Secured Party (which request may be made by the Secured Party in its sole
discretion), the Debtor will, at its own expense: 
  
 (i) execute and deliver, and cause each issuer of any of the Collateral contemplated to be sold or otherwise disposed of and the directors and officers thereof to execute and deliver, all such agreements, documents and instruments, and do
or cause to be done all such other acts and things, as may be necessary or, in the opinion of the Secured Party, advisable to register such Collateral under the provisions of the Securities Act (as hereinafter defined) and to cause the registration
statement relating thereto to become effective and to remain effective for such period as prospectuses are required by law to be furnished and to make all amendments and supplements thereto and to the related prospectus which, in the opinion of the
Secured Party, are necessary or advisable, all in conformity with the requirements of the Securities Act and the rules and regulations of the Securities and Exchange Commission applicable thereto; 
  
 (ii) use its best efforts to qualify such Collateral under
all applicable state securities or “Blue Sky” laws and to obtain all necessary governmental approvals for the sale or other disposition of such Collateral, as requested by the Secured Party; 
  
 (iii) cause each such issuer to make available to its
security holders, as soon as practicable, an earnings statement which will satisfy the provisions of Section 11(a) of the Securities Act; 
  
 (iv) do or cause to be done all such other acts and things as may be reasonably necessary to make such sale or other disposition of the
Collateral or any part thereof valid and binding and in compliance with applicable law; and 
  
 (v) bear all reasonable costs and expenses, including reasonable attorneys’ fees, of carrying out its obligations under this Section
6.02. 

 (b) The Debtor recognizes that the Secured Party may be unable to effect a public sale or
other disposition of any or all of the Collateral by reason of certain prohibitions contained in the laws of any jurisdiction outside the United States or in the Securities Act of 1933, as amended from time to time (the “Securities Act”),
and applicable state securities laws but may be compelled to resort to one or more private dispositions thereof to a restricted group of purchasers who will be obliged to agree, among other things, to acquire such Collateral for their own account
for investment and not with a view to the distribution or resale thereof. The Debtor acknowledges and agrees that any such private sale or other disposition may result in prices and other terms less favorable to the seller than if such disposition
were a public sale or other disposition and, notwithstanding such circumstances, agrees that any such private sale or other disposition shall, to the extent permitted by law, be deemed to have been made in a commercially reasonable manner. The
Secured Party shall not be under any obligation to delay a disposition of any of the Collateral for the period of time necessary to permit the issuer of such securities to register such securities under the laws of any jurisdiction outside the
United States, under the Securities Act or under any applicable state securities laws, even if such issuer would agree to do so. 
  
 (c) The Debtor further agrees to do or cause to be done, to the extent that the Debtor may do so under applicable law, all such other acts
and things as may be necessary to make such sales or resales of any portion or all of the Collateral valid and binding and in compliance with any and all applicable laws, regulations, orders, writs, injunctions, decrees or awards of any and all
courts, arbitrators or governmental instrumentalities, domestic or foreign, having jurisdiction over any such sale or sales, all at the Debtor’s expense. The Debtor further agrees that a breach of any of the covenants contained in this Section
6.02 will cause irreparable injury to the Secured Party and that the Secured Party has no adequate remedy at law in respect of such breach and, as a consequence, agrees that each and every covenant contained in this Section 6.02 shall be
specifically enforceable against the Debtor, and the Debtor hereby waives and agrees, to the fullest extent permitted by law, not to assert as a defense against an action for specific performance of such covenants that (i) the Debtor’s failure
to perform such covenants will not cause irreparable injury to the Secured Party or (ii) the Secured Party has an adequate remedy at law in respect of such breach. The Debtor further acknowledges the impossibility of ascertaining the amount of
damages which would be suffered by the Secured Party by reason of a breach of any of the covenants contained in this Section 6.02 and, consequently, agrees that, if the Debtor shall breach any of such covenants and the Secured Party shall sue for
damages for such breach, the Debtor shall pay to the Secured Party, as liquidated damages and not as a penalty, an aggregate amount equal to the value of the Collateral on the date the Secured Party shall demand compliance with this Section 6.02.

  
 (d) THE DEBTOR HEREBY AGREES TO INDEMNIFY,
PROTECT AND SAVE HARMLESS THE SECURED PARTY AND ANY CONTROLLING PERSONS THEREOF WITHIN THE MEANING OF THE SECURITIES ACT FROM AND AGAINST ANY AND ALL LIABILITIES, SUITS, CLAIMS, COSTS AND EXPENSES (INCLUDING COUNSEL FEES AND DISBURSEMENTS) ARISING
UNDER THE SECURITIES ACT, THE SECURITIES AND EXCHANGE ACT OF 1934, AS AMENDED, ANY APPLICABLE STATE SECURITIES STATUTE, OR AT COMMON LAW, OR PURSUANT TO ANY OTHER APPLICABLE LAW IN CONNECTION WITH THE AFORESAID 

 REGISTRATION, INSOFAR AS SUCH LIABILITIES, SUITS, CLAIMS, COSTS AND EXPENSES ARISE OUT OF, OR ARE BASED
UPON, ANY UNTRUE STATEMENT OR ALLEGED UNTRUE STATEMENT OF A MATERIAL FACT CONTAINED IN ANY REGISTRATION STATEMENT RELATING TO ANY PART OF THE COLLATERAL, OR SUCH REGISTRATION STATEMENT AS AMENDED OR SUPPLEMENTED, OR ARISES OUT OF, OR IS BASED UPON,
THE OMISSION OR ALLEGED OMISSION TO STATE THEREIN A MATERIAL FACT REQUIRED TO BE STATED THEREIN OR NECESSARY TO MAKE THE STATEMENTS THEREIN NOT MISLEADING; PROVIDED, HOWEVER, THAT THE DEBTOR SHALL NOT BE LIABLE IN ANY SUCH CASE TO THE EXTENT THAT
ANY SUCH LIABILITIES, SUITS, CLAIMS, COSTS AND EXPENSES ARISE OUT OF, OR ARE BASED UPON, ANY UNTRUE STATEMENT OR ALLEGED UNTRUE STATEMENT OR OMISSION OR ALLEGED OMISSION MADE IN THE AFORESAID REGISTRATION STATEMENT OR THE AFORESAID REGISTRATION
STATEMENT AS AMENDED OR SUPPLEMENTED, IN RELIANCE UPON AND IN CONFORMITY WITH WRITTEN INFORMATION FURNISHED TO THE DEBTOR BY THE SECURED PARTY SPECIFICALLY FOR INCLUSION THEREIN. THE FOREGOING INDEMNITY AGREEMENT IS IN ADDITION TO ANY INDEBTEDNESS,
LIABILITY OR OBLIGATION THAT THE DEBTOR MAY OTHERWISE HAVE TO THE SECURED PARTY OR ANY SUCH CONTROLLING PERSON. 
  
 ARTICLE VII 
  
 ADMINISTRATIVE AGENT 
  
 The Secured Party hereby
irrevocably appoints the Administrative Agent as its agent and authorizes the Administrative Agent to take such actions on its behalf and to exercise such powers as are delegated to the Administrative Agent by the terms hereof, together with such
actions and powers as are reasonably incidental thereto. 
  
 The
Person serving as the Administrative Agent hereunder shall have all rights and powers in its capacity as the Secured Party that are granted to the Secured Party under this Agreement and the other Transaction Documents and may exercise the same as
though it were not the Administrative Agent, and such Person and its Affiliates may lend money to and generally engage in any kind of business with the Debtor or any Subsidiary or other Affiliate thereof as if it were not the Administrative Agent
hereunder. 
  
 The Administrative Agent shall not have any duties
or obligations except those expressly set forth herein. Without limiting the generality of the foregoing, (i) the Administrative Agent shall not be subject to any fiduciary or other implied duties, regardless of whether an Event of Default (or an
event which, with the giving of notice, lapse of time, or both, would constitute an Event of Default) has occurred and is continuing, (ii) the Administrative Agent shall not have any duty to take any discretionary action or exercise any
discretionary powers, except discretionary rights and powers expressly contemplated by the Transaction Documents that the Administrative Agent is required to exercise in writing, and (iii) except as expressly set forth herein, the Administrative
Agent shall not have any duty to disclose, and shall not be liable for the failure to disclose, any information relating to the Debtor, any Affiliate thereof or any Subsidiary that is communicated to or obtained by the Person serving as
Administrative Agent or any of its Affiliates in any capacity. The Administrative Agent shall not be liable for any action 

 taken or not taken by it with the consent or at the request of the Secured Party or in the absence of its own gross
negligence or willful misconduct. The Administrative Agent shall be deemed not to have knowledge of any Event of Default (or any event which, with the giving of notice, lapse of time, or both, would constitute an Event of Default) unless and until
written notice thereof is given to the Administrative Agent by the Debtor or the Secured Party (and, promptly after its receipt of any such notice, it shall give the Secured Party and the Debtor notice thereof), and the Administrative Agent shall
not be responsible for or have any duty to ascertain or inquire into (a) any statement, warranty or representation made in or in connection with any Transaction Document, (b) the contents of any certificate, report or other document delivered
thereunder or in connection therewith, (c) the performance or observance of any of the covenants, agreements or other terms or conditions set forth therein, (d) the validity, enforceability, effectiveness or genuineness thereof or any other
agreement, instrument or other document or (e) the satisfaction of any condition set forth in the Transaction Documents. 
  
 The Administrative Agent shall be entitled to rely upon, and shall not incur any liability for relying upon, any notice, request, certificate, consent,
statement, instrument, document or other writing believed by it to be genuine and to have been signed or sent by the proper Person. The Administrative Agent also may rely upon any statement made to it orally or by telephone and believed by it to be
made by the proper Person, and shall not incur any liability for relying thereon. The Administrative Agent may consult with legal counsel (who may be counsel for the Debtor or any Subsidiary), independent accountants and other experts selected by
it, and shall not be liable for any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts. 
  
 The Administrative Agent may perform any and all its duties and exercise its rights and powers by or through any one or more sub agents appointed by the
Administrative Agent, provided that no such delegation shall serve as a release of the Administrative Agent or waiver by the Debtor or Secured Party of any rights hereunder. The exculpatory provisions of the preceding paragraphs shall apply
to any such sub agent of the Administrative Agent, and shall apply to their respective activities in connection with the activities as Administrative Agent. 
  
 Subject to the appointment and acceptance of a successor Administrative Agent as provided in this paragraph, the Administrative Agent may resign at any
time by notifying the Debtor and the Secured Party. Upon any such resignation, the Secured Party shall have the right to appoint a successor. Upon the acceptance of its appointment as Administrative Agent hereunder by a successor, such successor
shall succeed to and become vested with all the rights, powers, privileges and duties of the retiring Administrative Agent, and the retiring Administrative Agent shall be discharged from its duties and obligations hereunder. After the Administrative
Agent’s resignation hereunder, the provisions of this Article and Section 8.13 shall continue in effect for the benefit of such retiring Administrative Agent and any of its sub agents in respect of any actions taken or omitted to be taken by
any of them while it was acting as Administrative Agent. 
  
 ARTICLE VIII 
  
 Miscellaneous 
  
 Section 8.01. No Waiver; Cumulative Remedies. No failure on the part of the
Secured Party to exercise and no delay in exercising, and no course of dealing with respect to, any right, 

 power or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of
any right, power or privilege under this Agreement preclude any other or further exercise thereof or the exercise of any other right, power or privilege. The rights and remedies provided for in this Agreement are cumulative and not exclusive of any
rights and remedies provided by law. 
  
 Section 8.02. Successors
and Assigns. This Agreement shall be binding upon and inure to the benefit of the Debtor and the Secured Party and their respective heirs, successors and assigns, except that the Debtor may not assign any of its rights or obligations under this
Agreement without the prior written consent of the Secured Party. 
  
 Section 8.03. Amendment; Entire Agreement. This Agreement embodies the final, entire agreement among the parties hereto and supersedes any and all prior commitments, agreements, representations and understandings, whether written or oral,
relating to the subject matter hereof and may not be contradicted or varied by evidence of prior, contemporaneous or subsequent oral agreements or discussions of the parties hereto. There are no unwritten oral agreements among the parties hereto.
The provisions of this Agreement may be amended or waived only by an instrument in writing signed by the parties hereto. 
  
 Section 8.04. Notices. All notices and other communications provided for in this Agreement shall be given or made by telecopy or in writing and
telecopied, mailed by certified mail return receipt requested, or delivered to the intended recipient at the “Address for Notices” specified below its name on the signature pages hereof, or, as to any party, at such other address as shall
be designated by such party in a notice to the other party given in accordance with this Section 8.04. Except as otherwise provided in this Agreement, all such communications shall be deemed to have been duly given when transmitted by telecopy or
when personally delivered or, in the case of a mailed notice, upon receipt, in each case given or addressed as aforesaid; provided, however, that notices to the Secured Party shall be deemed given when received by the Secured Party. 
  
 Section 8.05. Governing Law; Submission to Jurisdiction; Service of Process.
THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK AND APPLICABLE LAWS OF THE UNITED STATES. 
  
 Section 8.06. Headings. The headings, captions, and arrangements used in this Agreement are for convenience only and shall not affect the interpretation
of this Agreement. 
  
 Section 8.07. Survival of Representations
and Warranties. All representations and warranties made in this Agreement or in any certificate delivered pursuant hereto shall survive the execution and delivery of this Agreement, and no investigation by the Secured Party shall affect the
representations and warranties or the right of the Secured Party to rely upon them. 
  
 Section 8.08. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 

 Section 8.09. Waiver of Bond. In the event the Secured Party seeks to take possession (either directly or
through a Collateral Agent) of any or all of the Collateral by judicial process, the Debtor hereby irrevocably waives any bonds and any surety or security relating thereto that may be required by applicable law as an incident to such possession, and
waives any demand for possession prior to the commencement of any such suit or action 
  
 Section 8.10. Severability. Any provision of this Agreement which is determined by a court of competent jurisdiction to be prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the remaining provisions of this Agreement, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in
any other jurisdiction. 
  
 Section 8.11. Construction. The Debtor
and the Secured Party acknowledge that each of them has had the benefit of legal counsel of its own choice and has been afforded an opportunity to review this Agreement with its legal counsel and that this Agreement shall be construed as if jointly
drafted by the Debtor and the Secured Party. 
  
 Section 8.12.
Termination. If all of the Obligations shall have been paid and performed in full, the Secured Party shall, upon the written request of the Debtor, execute and deliver to the Debtor a proper instrument or instruments acknowledging the release and
termination of the security interests created by this Agreement, and shall duly assign and deliver to the Debtor (without recourse and without any representation or warranty) such of the Collateral as may be in the possession of the Secured Party
and has not previously been sold or otherwise applied pursuant to this Agreement. 
  
 Section 8.13. Expenses; Indemnity; Damage Waiver. The Debtor shall pay all reasonable out-of-pocket costs and expenses incurred by the Administrative Agent, including the reasonable fees, charges and disbursements of
counsel for the Administrative Agent, in connection with the administration and/or enforcement of each Transaction Document. 
  
 To the extent permitted by applicable law, the Borrower shall not assert, and hereby waives, any claim against the Administrative Agent, on any theory of
liability, for special, indirect, consequential or punitive damages (as opposed to direct and actual damages) arising out of, in connection with, or as a result of, any Transaction Document or any agreement, instrument or other document contemplated
thereby, the transactions contemplated by the Transaction Documents or the use of the proceeds thereof. 
  
 All amounts due under this Section shall be payable promptly but in no event later than ten days after written demand therefor. 
  
 (Signature page follows) 

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

			
	 PROSOFTTRAINING, as Debtor

		
	 By:
	 	 /s/ Robert G. Gwin

	 Name:
	 	 Robert G. Gwin

	 Title:
	 	 Chief Executive Officer

	
	 Address for Notices:

	
	 410 N. 44th Street, Suite 600

	 Phoenix, Arizona 85008

	 Attention: Chief Financial Officer

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

			
	 DKR SOUNDSHORE OASIS HOLDING FUND
 LTD., as a Secured Party and as the Administrative
 Agent

		
	 By:
	 	 /s/ Barbara Burger

	 Name:
	 	 Barbara Burger

	 Title:
	 	 Alternate Director

	
	 Address for Notices:

	
	 c/o DKR Oasis Management Company L.P.

	 1281 East Main Street

	 Stamford, Connecticut 06920

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

			
	 DKR SOUNDSHORE STRATEGIC HOLDING
 FUND LTD.,
as a Secured Party

		
	 By:
	 	 /s/ Barbara Burger

	 Name:
	 	Barbara Burger
	 Title:
	 	Alternate Director
	
	 Address for Notices:

	
	 c/o DKR Oasis Management Company L.P.

	 1281 East Main Street

	 Stamford, Connecticut 06920

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00071-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00071-of-00352.parquet"}]]