Document:

Lease Agreement

 Exhibit 10.18 
  
 MULTI-TENANT BUILDING 
  
 LEASE 
  
 Between 
  
 LANDLORD: DEMCO WISCONSIN 5, LLC 
  
 and

  
 TENANT: NIGHTHAWK RADIOLOGY SERVICES 
  
 Dated: February 25, 2004 
  

 TABLE OF CONTENTS 
  

					
	 	 	 	  	Page

	SECTION 1 SCHEDULE	  	1
	SECTION 2 GRANT AND TERM	  	3
	 2.1
	 	 Demised Premises
	  	3
	 2.2
	 	 Term
	  	3
	 2.3
	 	 Option Term
	  	3
	SECTION 3 CONSTRUCTION OF DEMISED PREMISES	  	3
	 3.1
	 	 Construction
	  	3
	 3.2
	 	 Delays
	  	4
	 3.3
	 	 Substantial Completion Date
	  	4
	 3.4
	 	 Changes and Additions
	  	5
	 3.5
	 	 Settlement of Disputes
	  	5
	SECTION 4 POSSESSION AND COMMENCEMENT OF TERM	  	5
	 4.1
	 	 Possession and Commencement of Lease Term
	  	5
	 4.2
	 	 Landlord Not Liable for Delays
	  	6
	 4.3
	 	 Memorandum
	  	6
	SECTION 5 RENT	  	6
	 5.1
	 	 Base Rent
	  	6
	 5.2
	 	 Rent Net of Expenses
	  	6
	 5.3
	 	 Additional Rent
	  	7
	 5.4
	 	 Lease Year
	  	7
	 5.5
	 	 Delinquency Charge
	  	7
	 5.6
	 	 Default Charge
	  	7
	SECTION 6 UTILITIES	  	8
	SECTION 7 COMMON AREA MAINTENANCE	  	8
	 7.1
	 	 Common Areas
	  	8
	 7.2
	 	 Maintenance of Common Areas
	  	9
	 7.3
	 	 Tenant’s Pro Rata Share
	  	9
	 7.4
	 	 Tenant’s Pro Rata Share of Expenses
	  	9
	 7.5
	 	 Payment of Pro Rata Share
	  	13
	SECTION 8 TAXES AND ASSESSMENTS	  	13
	 8.1
	 	 Obligation
	  	13
	 8.2
	 	 Definition
	  	13
	 8.3
	 	 Payments
	  	14
	 8.4
	 	 Tenant’s Taxes
	  	14
	SECTION 9 USE OF DEMISED PREMISES	  	14
	 9.1
	 	 Use of Demised Premises
	  	14
	 9.2
	 	 Care of Demised Premises
	  	15
	 9.3
	 	 Hazardous Substances
	  	15
	 9.4
	 	 Affidavit And Questionnaire
	  	16
	 9.5
	 	 Obligation of Tenant
	  	16

  

					
	 SECTION 10 INDEMNITY
	  	16
	 10.1
	 	 Indemnity
	  	16
	 10.2
	 	 Liability Insurance
	  	17
	 10.3
	 	 Tenant’s Contractor’s Insurance
	  	17
	 10.4
	 	 Delivery of Policy and Special Endorsement
	  	17
	 SECTION 11 MAINTENANCE AND REPAIRS
	  	18
	 11.1
	 	 Maintenance and Repairs
	  	18
	 11.2
	 	 Compliance with Laws
	  	18
	 SECTION 12 TENANT’S ALTERATIONS
	  	18
	 12.1
	 	 Alterations
	  	18
	 12.2
	 	 Construction Liens
	  	19
	 SECTION 13 PROPERTY INSURANCE, REBUILDING AND WAIVER OF SUBROGATION
	  	20
	 13.1
	 	 Tenant’s Insurance
	  	20
	 13.2
	 	 Insurance Policies
	  	20
	 13.3
	 	 Increases in Insurance Coverage
	  	21
	 13.4
	 	 Landlord’s Insurance
	  	21
	 13.5
	 	 Release of Claims
	  	22
	 13.6
	 	 Waiver of Subrogation
	  	22
	 13.7
	 	 Rebuilding
	  	22
	 13.8
	 	 Termination of Lease
	  	23
	 13.9
	 	 Rental Proration or Abatement
	  	23
	 SECTION 14 EMINENT DOMAIN
	  	24
	 14.1
	 	 Total Condemnation
	  	24
	 14.2
	 	 Partial Condemnation
	  	24
	 14.3
	 	 Landlord’s and Tenant’s Damages
	  	24
	 SECTION 15 ACCESS TO PREMISES
	  	25
	 SECTION 16 FIXTURES AND EQUIPMENT
	  	25
	 SECTION 17 BANKRUPTCY AND INSOLVENCY
	  	25
	 SECTION 18 MORTGAGE OR SALE BY LANDLORD
	  	26
	 18.1
	 	 Mortgage and Subordination
	  	26
	 18.2
	 	 Sale or Transfer
	  	27
	 18.3
	 	 Estoppel Certificates
	  	27
	 18.4
	 	 Notice to Mortgagee
	  	27
	 SECTION 19 ASSIGNMENT AND SUBLETTING
	  	28
	 SECTION 20 EXPANSION SPACE
	  	29
	 SECTION 21 DEFAULT, RE-ENTRY AND DAMAGES
	  	30
	 21.1
	 	 Default
	  	30
	 21.2
	 	 Re-Entry and Damages
	  	30
	 21.3
	 	 Waiver of Landlord’s Liability
	  	31
	 21.4
	 	 Rights Cumulative
	  	31
	 21.5
	 	 Waiver of Jury Trial and Counterclaim
	  	31
	 21.6
	 	 Non-Liability
	  	31
	 21.7
	 	 Landlord’s Default
	  	32

  

 ii 

					
	 SECTION 22 LANDLORD’S RIGHTS TO CURE DEFAULTS
	  	32
	 SECTION 23 SECURITY INTEREST
	  	32
	 23.1
	 	 Grant of Security Interest
	  	32
	 23.2
	 	 Subordination
	  	33
	 23.3
	 	 Remedies
	  	33
	 SECTION 24 QUIET ENJOYMENT
	  	33
	 SECTION 25 HOLDING OVER
	  	34
	 SECTION 26 CUMULATIVE REMEDIES AND WAIVER
	  	34
	 26.1
	 	 Cumulative Remedies
	  	34
	 26.2
	 	 Waiver
	  	34
	 SECTION 27 RELOCATION
	  	34
	 SECTION 28 DEFINITION OF LANDLORD, LANDLORD’S LIABILITY
	  	35
	 28.1
	 	 Definition of Landlord
	  	35
	 28.2
	 	 No Abatement or Setoff
	  	35
	 28.3
	 	 Limitation of Liability
	  	35
	 SECTION 29 WASTE
	  	36
	 SECTION 30 TENANT’S FINANCIAL INFORMATION
	  	36
	 SECTION 31 SIGNS
	  	36
	 SECTION 32 SECURITY DEPOSIT
	  	36
	 SECTION 33 MISCELLANEOUS
	  	37
	 33.1
	 	 Condition of Demised Premises
	  	37
	 33.2
	 	 Independent Covenants
	  	37
	 33.3
	 	 Authority
	  	37
	 33.4
	 	 Entire Agreement
	  	38
	 33.5
	 	 Modification
	  	38
	 33.6
	 	 Joint Venture, Mortgage
	  	38
	 33.7
	 	 Notices
	  	38
	 33.8
	 	 Survival
	  	38
	 33.9
	 	 Gender
	  	38
	 33.10
	 	 Captions and Section Numbers
	  	39
	 33.11
	 	 Broker’s Commission
	  	39
	 33.12
	 	 Rules and Regulations
	  	39
	 33.13
	 	 Recording
	  	39
	 33.14
	 	 Execution of Lease
	  	39
	 33.15
	 	 Construction
	  	39
	 33.16
	 	 Binding Effect
	  	39
	 33.17
	 	 Legal Fees
	  	40
	 33.18
	 	 Joint Drafting
	  	40
	 33.19
	 	 Counterparts
	  	40

  

 iii 

 LEASE 
  
 SECTION 1 
 SCHEDULE 
  

					
	LANDLORD:	  	NAME:	  	Demco Wisconsin 5, LLC
	 	  	ADDRESS:	  	45501 Helm Street, Plymouth, Michigan 48170
			
	TENANT:	  	NAME:	  	Nighthawk Radiology Services
	 	  	ADDRESS:	  	250 Northwest Blvd., #202
	 	  	 	  	Coeur D’Alene, Idaho 83814
		
	SITE:	  	Land described in Exhibit A attached hereto and incorporated herein.
		
	BUILDING:	  	The building and improvements constructed on the Site at 223 North Water Street, Milwaukee, Wisconsin 53202 and any utility systems or signs serving the building and improvements but
not situated on the Site.
		
	DEMISED	  	 
	PREMISES:	  	1,650 square feet of rentable floor area (Suite 200), Level 2 – East Half in the Building in accordance with Exhibit C attached hereto and incorporated herein.
		
	LEASE TERM:	  	Three (3) years, with one 3-year option to extend.
		
	COMMENCEMENT	  	 
	DATE:	  	March 1, 2004, subject to adjustment pursuant to Section 4.1.
		
	TERMINATION	  	 
	DATE:	  	February 28, 2007, subject to adjustment pursuant to Section 4.1.

									
				
	ANNUAL BASE RENT:	  	 Lease Year

	  	Annual Base Rent

	  	Price Per Sq. Ft.

	 	  	1	  	$	23,512.50	  	$	14.25
	 	  	2	  	$	24,222.00	  	$	14.68
	 	  	3	  	$	24,948.00	  	$	15.12
				
	OPTION YEARS ANNUAL
BASE RENT:	  	 Lease Year

	  	Annual Base Rent

	  	Price Per Sq. Ft.

	 	  	4	  	$	25,690.50	  	$	15.57
	 	  	5	  	$	26,466.50	  	$	16.04
	 	  	6	  	$	27,258.50	  	$	16.52

  

					
	MONTHLY
INSTALLMENT OF
BASE RENT:	  	 Month of Lease Term

	  	Monthly Installment of Base Rent

	 	  	1-12	  	$1,959.38, first month paid on the date hereof
	 	  	13-24	  	$2,018.50
	 	  	25-36	  	$2,079.00
	 	  	37-48	  	$2,140.88
	 	  	49-60	  	$2,205.50
	 	  	61-72	  	$2,271.50

  

			
	SECURITY	  	 
	DEPOSIT:	  	$1,959.38, first paid on the date hereof.
		
	USE OF DEMISED	  	 
	PREMISES:	  	General Office
		
	TENANT’S PRO	  	 
	RATA SHARE:	  	9.70% (1,650 ÷ 17,000), subject to adjustment pursuant to Section 3.5.
		
	BROKER:	  	The Polacheck Company
	 	  	777 East Wisconsin Avenue, Suite 3250, Milwaukee, WI
		
	DATED:	  	February 25, 2004

							
				
	EXHIBITS ATTACHED:	  	A	  	-	  	 Legal Description of Demised Premises

	 	  	B	  	-	  	 Site Plan

	 	  	C	  	-	  	 Floor Plan of Demised Premises

	 	  	D	  	-	  	 Landlord’s Improvements

	 	  	D-1	  	 	  	 Scope of Work

	 	  	E	  	-	  	 Building Rules and Regulations

	 	  	F	  	-	  	 Subordination, Nondisturbance and Attornment Agreement

	 	  	G	  	-	  	 Estoppel Certificate

	 	  	H	  	 	  	 Unconditional Lease Guaranty

  

 2 

 SECTION 2 
 GRANT AND TERM 
  
 2.1 Demised
Premises 
  
 Landlord, in consideration of the rents to
be paid and the covenants, promises and agreements to be performed by Tenant, does hereby lease to Tenant and Tenant hereby rents from Landlord, the Demised Premises described in Section 1 hereof, together with the nonexclusive right to use the
common areas which may be designated by Landlord from time to time in connection with the Demised Premises with others entitled to use the same. 
  
 2.2 Term 
  
 The term of this Lease shall be for the Lease Term commencing on the Commencement Date stated in Section 1 (as adjusted pursuant to Section 4.1) and
expiring on the Termination Date stated in Section 1 (as adjusted pursuant to Section 4.1), unless the Lease Term is extended or sooner terminated in accordance with the provisions of this Lease. For purposes of this Lease, references to Lease Term
shall include any option to extend, if any, exercised in accordance with the terms of this Lease (“Lease Term”). 
  
 2.3 Option Term 
  
 2.3.1 Option to Extend Lease Term. So long as Tenant is not in default under this Lease and has not on more than one prior occasion been in
default, which default has been cured, Tenant shall have an option to extend the Lease Term (“Option to Extend”) for a period of three (3) years for Lease Years 4 through 6 in accordance with the terms of this Section 2.3 (“Option
Term”). The Option to Extend the Lease Term is personal to the Tenant and is not transferable or exercisable by any transferee. 
  
 2.3.2 Exercise of Option. If this Lease is in full force and effect, and Tenant complies with Section 2.3.1, Tenant may exercise the Option to
Extend by providing Landlord with written notice of exercise not less than nine (9) months prior to the expiration of the Third Lease Year. For purposes of this Section, Lease Year shall mean the Lease Year as defined in Section 5.4 of this Lease.

  
 2.3.3 Rent During Option Term. If the Option to Extend
is properly exercised, then the Annual Base Rent shall be increased as set forth in the Section 1 Schedule. References in this Lease to Annual Base Rent shall include adjustments thereto pursuant to this Section 2.3. 
  
 SECTION 3 
 CONSTRUCTION OF DEMISED PREMISES 
  
 3.1 Construction 
  
 Landlord agrees prior to the Commencement Date, at Landlord’s sole cost and expense, to install in the Demised Premises the improvements shown on Exhibit D (“Landlord’s Improvements”) in accordance with the floor plan
attached as Exhibit C, which improvements shall be substantially complete prior to the Commencement Date. The Landlord’s Improvements 

  

 3 

 
shall be constructed in a good and workmanlike manner, free of all liens, and in accordance with all laws, statutes, ordinances, building codes, rules and
regulations of any federal, state or municipal body or other governmental agency having jurisdiction thereof then in effect. Landlord warrants that the Landlord’s Improvements will be free from defect in materials or workmanship for one (1)
year after Substantial Completion. Any changes made to Landlord’s Improvements, at the request of Tenant, after the date of this Lease, which are acceptable to Landlord in cost, character, nature of scope (collectively “Change
Orders”) shall be constructed by Landlord as a part of Landlord’s Improvements. Delays due to (a) Tenant’s request for Change Orders, (b) preparing, revising or obtaining Tenant’s approval of Change Orders and necessary changes
to the Plans, and (c) implementing and constructing the work required by the Change Orders shall not delay or postpone the Commencement Date and Tenant’s obligation to commence paying rent. Landlord shall reasonably determine the date the
Demised Premises would have been ready but for such delays associated with the Change Orders and such date shall be the Commencement Date even if the Demised Premises are not completed on such Commencement Date. The increased costs due pursuant to
any Change Order shall be paid by Tenant; one-half (1/2) of such amount at the date each Change Order is approved by Landlord and Tenant and the balance to be paid on the Commencement Date. Minor changes to the Plans which may be necessary to
accommodate construction of the Building or Demised Premises shall not affect or change this Lease or invalidate same. Landlord hereby warrants that, upon the Commencement Date, the Demised Premises and all systems (mechanical, electrical, life
safety and plumbing) will be in good condition and repair, free from defects and in compliance with all laws, statutes, ordinances, building codes, rules and regulations. 
  
 3.2 Delays 
  
 Landlord’s obligations under this section shall not require Landlord to incur overtime costs and expenses. In the event Landlord shall be delayed or
hindered in the construction of the Demised Premises, or prevented from completing such construction, or prevented from delivering possession of the Demised Premises because of any strike, lockout, labor dispute, fire, damage or destruction or
casualty, unavailability of material, weather, power failures, unavailability of utilities, restrictive governmental laws or regulations, riots, insurrection, war, a previous tenant holding over, or any other reason beyond Landlord’s control,
then Landlord shall be excused for the period of delay and the Commencement Date shall be postponed for such period of delay until such time as the Demised Premises are ready for occupancy and the Termination Date shall be appropriately extended.

  
 3.3 Substantial Completion Date 
  
 Subject to Section 3.2, the Demised Premises shall be substantially
completed on or before the Commencement Date. The date the Demised Premises is substantially completed (“Substantial Completion Date”) shall mean the date upon which Landlord delivers a Certificate of Occupancy (whether temporary or final)
which permits Tenant to occupy the Demised Premises, or Tenant begins using or occupying any portion of the Demised Premises, whichever occurs first. 
  

 4 

 3.4 Changes and Additions 
  
 Landlord reserves the right at any time and from time to time (a) to make or permit changes or revisions in its plan for the
Building, including additions to, subtractions from, rearrangements of, alterations of, modifications of or supplements to the building areas, walkways, or other areas, (b) to construct other buildings or improvements in the Building and to make
alterations thereof or additions thereto and to build additional stories on any such building or buildings and to build adjoining same, and (c) to make or permit changes or revisions in the Building, including additions thereto, and to convey
portions of the Building to others. Landlord’s changes and additions described herein shall not interfere with Tenant’s access to or use of their computer and network systems. 
  
 3.5 Settlement of Disputes 
  
 Any disagreement or dispute which may arise between Landlord and Tenant with reference to the construction of Landlord’s Improvements shall be
resolved by an independent third party architect selected by Landlord and Tenant, whose decision shall be final and binding on both Landlord and Tenant. 
  
 SECTION 4 
 POSSESSION AND
COMMENCEMENT OF TERM 
  
 4.1 Possession and Commencement of Lease
Term 
  
 Landlord shall deliver actual possession of the
Demised Premises to Tenant on or before the Substantial Completion Date specified in Section 3.3, but if delivery is delayed by reason of Section 3.2 or by the Landlord for any reason whatsoever, the date upon which such possession is delivered
shall constitute the “Commencement Date” in lieu of the date provided in Section 1 and the Termination Date provided in Section 1 shall be appropriately extended. If such delivery is delayed due to delays caused by or attributable to the
acts or omissions of Tenant, its employees, agents, representatives, and contractors (“Tenant Delays”), then the Commencement Date and Tenant’s obligation to pay Rent shall be the date Landlord reasonably determines the Demised
Premises would have been ready for delivery to Tenant but for such Tenant Delays. Landlord shall, when construction progress so permits, notify Tenant of the anticipated Substantial Completion Date specified in Section 3.3. By occupying the Demised
Premises, Tenant will be deemed to have accepted the Demised Premises and acknowledged that they are in substantially the condition required under this Lease except for incidental items of uncompleted contract work of which Tenant shall notify
Landlord in writing (“Punchlist”) within ten (10) days after the Commencement Date. Landlord shall diligently pursue completion of such items of uncompleted contract work set forth in the Punchlist. If Tenant fails to deliver the Punchlist
to Landlord within such ten (10) day period, Landlord shall not be required to complete any such items of uncompleted contract work. The Rent, as hereinafter defined, due under this Lease and the term of this Lease shall commence on the Commencement
Date. If permission is given to Tenant to occupy all or part of the Demised Premises prior to the Commencement Date, Tenant covenants and agrees that such occupancy shall be governed by all terms and conditions of this Lease. Such early occupancy
shall not interfere with Landlord’s completion of the Project. 
  

 5 

 4.2 Landlord Not Liable for Delays 
  
 Under no circumstances shall Landlord be liable for any delays in the delivery of possession to Tenant on the Commencement
Date. Tenant’s sole and exclusive remedy shall be the abatement of Rent (as defined in Section 5.3) until the Demised Premises are ready for occupancy and possession is delivered to Tenant. 
  
 4.3 Memorandum 
  
 Within thirty (30) days after delivery of possession to Tenant, Tenant shall join with Landlord in the execution of a
written memorandum confirming the Commencement Date and Termination Date of the Lease Term. Tenant’s failure to execute the memorandum shall be a Default by Tenant under this Lease and Landlord’s default under this Lease shall not relieve
Tenant of the obligation to execute the memorandum within such thirty (30) day period. 
  
 SECTION 5 
 RENT 
  
 5.1 Base Rent 
  
 Tenant shall pay to Landlord the Annual Base Rent stated in Section 1 hereof for the Demised Premises during the Lease Term. The Annual Base Rent shall be
payable in monthly installments equal to the Monthly Installment of Base Rent stated in Section 1 hereof, paid in advance, on the first day of each and every calendar month during the Lease Term, without any setoff, deduction or demand whatsoever,
at the office of Landlord stated in Section 1 hereof, or at such other place as Landlord may designate from time to time in writing. The first Monthly Installment of Base Rent shall be due and payable at the time of execution of this Lease. If the
Lease Term shall commence on a day other than the first day of a calendar month or shall end on other than the last day of a calendar month, then the Monthly Installment of Base Rent for such a partial month shall be prorated. 
  
 5.2 Rent Net of Expenses 
  
 Landlord and Tenant intend that the Annual Base Rent due hereunder, together
with any adjustments during the Lease Term, shall be absolutely net of all costs, expenses, taxes (real and personal) and charges of every kind and nature whatsoever relating to the ownership, occupancy or use of the Demised Premises so that the
Annual Base Rent, together with any adjustments, constitutes the minimum income realized by Landlord from the Lease of the Demised Premises. Tenant shall indemnify and hold Landlord harmless from and against any such costs, expenses, taxes (real or
personal) and charges, for which Tenant is responsible under the Lease. 
  

 6 

 5.3 Additional Rent 
  
 All amounts due from Tenant and payable to Landlord under this Lease other than Annual Base Rent, including, without
limitation, Delinquency Charges pursuant to Section 5.5, Default Charges pursuant to Section 5.6, Metered Utilities and Common Utility Costs pursuant to Section 6 hereof, Expenses pursuant to Section 7 hereof, Taxes pursuant to Section 8 hereof, and
insurance costs pursuant to Section 13, and amounts paid by Landlord pursuant to Section 22, shall be deemed to be additional rent (“Additional Rent”). Upon Tenant’s failure to pay any Additional Rent, Landlord, in addition to any
other remedies, shall have the same remedies provided for Tenant’s failure to pay the Annual Base Rent (the Annual Base Rent, together with the Additional Rent, shall be collectively referred to as “Rent”). Tenant shall pay any and
all sums of money or charges required to be paid by Tenant under this Lease promptly when the same are due, without any deductions or setoff whatsoever. 
  
 5.4 Lease Year 
  
 Lease Year shall mean a period of twelve (12) consecutive calendar months. The first Lease Year shall begin on the Commencement Date if the Commencement
Date shall occur on the first day of the month; if not, then the first Lease Year shall commence on the first day of the month following the Commencement Date. Each succeeding Lease Year shall commence on the anniversary of the commencement of the
first Lease Year. If the Commencement Date is other than the first day of a month, then the period between the Commencement Date and the first day of the month following the Commencement Date shall be added and be a part of the first Lease Year.

  
 5.5 Delinquency Charge 
  
 If Tenant shall fail to pay all or any portion of a Monthly Installment of
Base Rent as and when the same is due, then in addition to the Monthly Installment of Base Rent, Tenant shall pay a delinquency charge equal to five (5%) percent of the amount unpaid per month outstanding to reimburse Landlord for the costs incurred
as the result of such late payment (“Delinquency Charge”). Such Delinquency Charge shall be paid with the next Monthly Installment of Base Rent. 
  
 5.6 Default Charge 
  
 If Tenant shall Default in any payment or expenditure, other than Annual Base Rent, required to be paid or expended by Tenant under the terms hereof, the
Landlord may, at its option, make such payment or expenditure in accordance with Section 22. In such event, the amount thereof shall be due and payable as Additional Rent to Landlord by Tenant with the next Monthly Installment of Base Rent, together
with interest thereon at a rate equal to the sum of the then prevailing “prime interest rate” (as hereinafter defined) plus five (5%) percent from the date of such payment or expenditure by Landlord until the date of payment by Tenant, to
cover Landlord’s loss of the use of the funds and administrative costs resulting from Tenant’s failure (“Default Charge”). Upon Tenant’s failure to pay such Additional Rent together with the Default Charge, such Default
Charge shall continue for each month or portion thereof 

  

 7 

 
outstanding until the date of payment The “prime interest rate” for purposes of this Lease shall mean the rate of interest announced by The Wall
Street Journal from time to time as its “prime interest rate.” The “prime interest rate” shall be determined as of the date of Landlord’s payment or expenditure. If The Wall Street Journal ceases to publish its
“prime interest rate,” the most comparable interest rate to that known as the “prime interest rate” shall be used. 
  
 SECTION 6 
 UTILITIES

  
 Landlord has caused the necessary mains, conduits and
other facilities to be made available to the Demised Premises, as of the Commencement Date and throughout the Term of this Lease, potable water (hot and cold) meeting local, state and federal requirements for water quality for drinking purposes,
sprinkler, electricity, gas, sewer and telephone conduits. Tenant agrees to pay all charges made against the Demised Premises for gas, heat, water, electricity, sewage disposition, telephone and all other utilities during the Lease Term as the same
shall become due. The quantity of electricity and telephone shall be separately metered at the Demised Premises (“Metered Utilities”), and Tenant shall make timely payment for all such Metered Utilities. Water, sewer and gas are not
separately metered to the Demised Premises and, as a result, Tenant shall pay its appropriate share of such utilities as reasonably determined by Landlord. Landlord shall not be liable to Tenant for the quality or quantity of any utilities, or for
any interruption in the supply of any utilities. Tenant acknowledges that the HVAC system for the Demised Premises also serves a small portion of the Common Areas on the second floor. Tenant shall also pay, as Additional Rent, Tenant’s Pro Rata
Share of (a) the cost of water for toilet facilities and other water consumption, which water is centrally metered for the Building, (b) the cost of the electrical energy for any exterior illumination of the building(s), walks, and any exterior sign
or signs on the Building, (c) the cost of any and all other utilities serving the Building not separately metered to the Demised Premises, (d) the cost of repair and maintenance of the plumbing system, the electrical energy supply system, and any
other systems supplying utilities to the Building (“Common Utility Costs”) pursuant to Section 7.3. 
  
 SECTION 7 
 COMMON AREA MAINTENANCE 
  
 7.1 Common Areas 
  
 The term “Common Areas,” as used in this Lease, shall mean the; stairways, elevators, lobbies, atriums, pedestrian
sidewalks; truck ways, loading docks, delivery areas; landscaped areas; drainage systems; common area lighting facilities; roof and four outer walls; utility lines, facilities and services serving the Building (other than Tenant Utilities), public
bathrooms and comfort stations and all other areas or improvements which may be provided by the Landlord for the convenience and use of the lessees of the Building and their respective sublessees, agents, employees, customers, invitees, and any
other licensees of Landlord. Landlord may include the parking areas, roadways and landscaped areas located on property adjacent and contiguous to the Building in the Common Areas provided for the convenience and use of the Lessees of the Building
and their respective sublessees, agents, employees, customers, invitees and other 

  

 8 

 
licensees of Landlord. The use and occupancy by the Tenant of the Demised Premises shall include the use, in common with all others to whom Landlord has
granted or may hereafter grant rights to use the same, of the Common Areas located within the Project, and of such other improvements and facilities as may be designated from time to time as Common Areas, subject, however, to rules and regulations
for the use thereof as prescribed from time to time by Landlord. Landlord reserves the right in its sole discretion to change from time to time the size, dimensions, location and components of the Common Areas. Landlord may at any time temporarily
close any Common Areas to make repairs or changes, to prevent the acquisition of public rights in such area or to discourage non-customer parking and may do such other acts in and to the Common Areas as in its judgment may be desirable to improve
the convenience thereof. Landlord’s changes to the Common Areas shall not interfere with Tenant’s use of their network/internet systems. 
  
 7.2 Maintenance of Common Areas 
  
 Subject to Tenant paying its Pro Rata Share as provided in Section 7.6, Landlord shall cause to be operated, managed and maintained during the Lease Term
all sidewalks, landscaping, drainage, common area lighting facilities, roof, outer walls, the Common Area plumbing system, the Common Area electrical system, the Common Area heating, ventilating and air conditioning system, the Common Area storm
sewers, sanitary sewers and water main; provided, however, Landlord shall not maintain the plumbing system, electrical system, heating, ventilating and air conditioning system, sanitary sewer or water main located within the Demised Premises, which
Tenant shall maintain at its sole cost and expense. The manner in which such common facilities shall be maintained and operated and the expenditures therefor shall be in a first-class condition and Landlord shall use its good faith efforts to
minimize Common Area costs in a manner consistent with prudent office building management practices. The use of such common facilities shall be subject to such reasonable regulations as Landlord shall make from time to time. 
  
 7.3 Tenant’s Pro Rata Share 
  
 Tenant’s Pro Rata Share is a percentage resulting from a fraction, the
numerator of which is the gross rentable square feet of the Demised Premises measured from the outside of all walls and the denominator of which is 17,000 square feet constituting the gross rentable floor area of the Building. Gross rentable floor
area excludes utility and maintenance rooms, stairways, duct shafts, elevator shafts, building corridor areas, lobbies used in common by more than one lessee and toilet rooms available for use by more than one lessee, if any. Tenant’s Pro Rata
Share shall be redetermined (increased or decreased as is appropriate) in the event the rentable square feet in either or both of the Demised Premises or the Building is increased or decreased in accordance with the terms of this Lease. 

 
 7.4 Tenant’s Pro Rata Share of Expenses 
  
 In addition to the Annual Base Rent payable under Section 5.1 hereof, Tenant
agrees to pay monthly throughout the term of this Lease, as Additional Rent, Tenant’s Pro Rata Share of 

  

 9 

 
all reasonable costs of operation, maintenance, administration, repairs and replacements of the Common Areas, Building and Site including, but not limited
to, Common Utility Costs, Expenses, Taxes and Insurance Costs. Expenses shall mean all costs of operation, maintenance, repair and replacement of the Common Areas, Building, building components, and improvements (including any future building and
improvements) located on the Site, including, but not limited to, the roof and four outer walls, walks, landscaping, plumbing system, electrical system, heating, ventilating and air conditioning system, storm sewers, sanitary sewers and water main,
and shall include the following costs by way of illustration, but not limitation: repairs to the building(s), walks, or any other improvements on the land; ; license, permit and inspection fees; grounds care costs, including snow removal,
landscaping and lawn, tree and shrubbery care; labor; supplies; materials; equipment; tools; insurance premiums; and all costs of maintenance and redecoration of the exterior of the building(s), including repainting and glazing; trash and garbage
collection services, if provided by Landlord (collectively “Expenses”); provided, however, such Expenses shall exclude the cost of repairs required to be made by Tenant. In addition, an amount equal to fifteen (15%) percent of the total of
the Expenses, and the Tenant’s Pro Rata Share of Common Utility Costs under Section 6 hereof, Taxes under Section 8 hereof, and Insurance Costs under Section 13 hereof to cover Landlord’s administration costs shall be paid by Tenant in
accordance with Section 7.3. In determining the foregoing costs, any such cost attributable to periods prior to the Commencement Date or subsequent to the Termination Date shall be prorated. Any capital improvements shall be amortized over the
useful life of such capital improvements. 
  
 The following items
shall also be specifically excluded from such Common Area costs: 
  
 (a) Leasing commissions, fees and costs, advertising and promotional expenses and other costs incurred in procuring tenants or in selling the Building; 
  
 (b) Legal fees except those incurred directly in connection with Landlord’s operation and maintenance
of the Building; 
  
 (c) Costs of renovating or
otherwise improving or decorating space for any tenant or other occupant of the Building, or relocating any tenant; 
  
 (d) Financing costs including interest and principal amortization of debts and the costs of providing the same; 
  
 (e) Depreciation; 
  
 (f) Rental on ground leases or other underlying leases and
the costs of providing the same; 
  
 (g) Wages,
bonuses and other compensation of employees above the grade of building manager, and fringe benefits other than insurance plans and tax-qualified benefit plans; 
  

 10 

 (h) Any liabilities, costs or expenses associated with or incurred in connection with the
removal, enclosure, encapsulation or other handling of asbestos or other hazardous or toxic materials or substances and the cost of defending against claims in regard to the existence or release of Hazardous Substances or materials at the Building
(except with respect to those costs for which Tenant is otherwise responsible pursuant to the express terms of this Lease); 
  
 (i) Costs of any items for which Landlord is or is entitled to be paid or reimbursed by insurance; 
  
 (j) Increased insurance or Taxes assessed specifically to
any other tenant of the Building for which Landlord is entitled to reimbursement from any other tenant; 
  
 (k) Charges for electricity, water, or other utilities, services or goods and applicable taxes for which Tenant or any other tenant,
occupant, person or other party is obligated to reimburse Landlord or to pay to third parties; 
  
 (l) Cost of any HVAC, janitorial or other services provided to tenants on an extra cost basis after regular business hours; 
  
 (m) Cost of installing, operating and maintaining any
specialty service, such as an observatory, broadcasting facilities, child or daycare, luncheon club or athletic or recreation club; 
  
 (n) Cost of correcting defects in the design, construction or latent defects in, Building; 
  
 (o) Cost of any work or service performed on an extra cost
basis for any tenant in the Building to a materially greater extent or in a materially more favorable manner than furnished generally to the tenants and other occupants; 
  
 (p) Cost of any work or services performed for any facility other than the Building; 
  
 (q) Any cost representing an amount paid to a person, firm,
corporation or other entity related to Landlord that is in excess of the amount which would have been paid in the absence of such relationship; 
  
 (r) Any cost of painting or decorating any interior parts of the Building other than Common Areas; 
  
 (s) Costs of revamping all light fixtures in non-public
areas of the Building including, without limitation, labor and materials for light tubes, bulbs, starters, ballasts and their equivalents; 
  

 11 

 (t) Any cost associated with operating an on-or off-site management office for the
Building; 
  
 (u) Landlord’s general
overhead and any other expense not directly attributable to operation and management of the Building (e.g., the activities of Landlord’s officers and executives or professional development expenditures); 
  
 (v) Cost of initial cleaning and rubbish removal from the
Building to be performed before final completion of the base building or tenant space; 
  
 (w) Cost of initial landscaping of the Building; 
  

(x) Costs of any mitigation fees, impact fees, subsidies, tap-in fees, connection fees or similar one time charges or costs (however
characterized), imposed or incurred in connection with undertaking the initial development of the Building or any expansion thereof; 
  
 (y) Any fees, costs or expenditures incurred in connection with negotiations, disputes and claims of other tenants or occupants of the
Building; 
  
 (z) Cost of the initial start-up
stock of tools and equipment for operation, repair and maintenance of the Building; 
  
 (aa) Late fees or charges incurred by Landlord due to late payment of expenses; 
  
 (bb) Cost of acquiring, securing, cleaning or maintaining
extraordinary sculptures, paintings and other excessive works of art; 
  
 (cc) Income, excess profits, franchise, capital stock, estate and inheritance Taxes on Landlord’s business; 
  
 (dd) Costs and expenses incurred in connection with any fines or settlements related to Landlord’s violation of laws (this shall not
exclude fire or other compliance inspections and tests); 
  
 (ee) Direct costs or allocable costs (such as Taxes) associated with parking operations if there is a separate charge to Tenant, other tenants or the public for parking; 
  
 (ff) Charitable or political contributions; 
  
 (gg) Costs related to public transportation, transit or van
pools; 
  
 (hh) All other items for which another
party compensates or pays so that Landlord shall not recover any item of cost more than once; and 
  
 (ii) All fines for failure to comply with specific legal requirements. 
  

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 7.5 Payment of Pro Rata Share 
  
 Tenant’s Pro Rata Share of Common Utility Costs, Expenses and Insurance Costs for each Lease Year and partial Lease
Year shall be paid in monthly installments on the first day of each calendar month, in advance, in an amount estimated by Landlord from time to time. Subsequent to the end of each calendar year, Landlord shall furnish Tenant with a statement of the
actual amount of Tenant’s Pro Rata Share of such Common Utility Costs, Expenses and Insurance Costs for such calendar year (“Year End Statement”). If the total amount paid by Tenant under this Section 7.3 for any such calendar year
shall be less than the actual amount due from Tenant for such calendar year as shown on such Year End Statement, Tenant shall pay to Landlord the difference between the amount paid by Tenant and the actual amount due, such deficiency to be paid
within fifteen (15) days after the furnishing of each Year End Statement. If the total amount paid by Tenant hereunder for any such calendar year shall exceed such actual amount due from Tenant for such calendar year, such excess shall be credited
against the next installment due from Tenant to Landlord under this Section 7.3 or paid to Tenant in the event this Lease has terminated and Tenant has paid all Rent and other payments required under this Lease and performed all obligations of
Tenant under this Lease. Tenant may audit such Common Area costs at Tenant’s expense, except that Landlord shall pay for such reasonable audit expenses (which shall not exceed $500) if Tenant proves a discrepancy in excess of five percent (5%).

  
 SECTION 8 
 TAXES AND ASSESSMENTS 
  
 8.1 Obligation 
  
 Tenant agrees to pay to Landlord Tenant’s Pro Rata Share of all Taxes, as defined in Section 8.2 hereof, for each Lease Year or partial Lease Year
during the Lease Term. 
  
 8.2 Definition 
  
 “Taxes” shall be defined as: (a) all taxes (either real or
personal), assessments (general or specific), all water and sewer charges, and all other governmental impositions which may be levied during the Lease Term upon the land, building or improvements comprising the Building or any part thereof; (b) all
other taxes and other charges imposed by the State of Wisconsin or any subdivision thereof which: (i) are in replacement of or in lieu of increases in all or any part of ad valorem taxes as sources of revenue, and (ii) are based in whole or
in part upon the Demised Premises or any interest therein or the ownership thereof, or the rents, profits or other income therefrom, including, without limitation, income, single business, franchise, excise, license, privilege, sales, use, and
occupancy taxes; and (c) all costs and expenses incurred by Landlord during negotiations for or contests of the amount of such taxes and assessments, without regard to the result, including, without limitation, actual attorneys’ fees. Taxes
shall not include any tax on the net income of Landlord, except to the extent included in subparagraph (b) above. 
  

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 8.3 Payments 
  
 Tenant’s Pro Rata Share of Taxes levied or assessed for or during the Lease Term shall be paid in monthly installments on or before the first day of
each calendar month, in advance, in an amount estimated by Landlord; provided, that in the event Landlord is required under any mortgage covering the Building to escrow Taxes, Landlord may, but shall not be obligated to, use the amount required to
be so escrowed as a basis for its estimate of the monthly installments due from Tenant hereunder. Subsequent to the end of each calendar year, Landlord shall include in the Year End Statement the actual amount of Tenant’s Pro Rata Share of
Taxes for such calendar year. In the event no tax bill is available, Landlord will compute the amount of such tax. If the total amount paid by Tenant under this Section 8.3 for any calendar year during the Lease Term shall be less than the actual
amount due from Tenant for such calendar year, as shown on such Year End Statement, Tenant shall pay to Landlord the difference between the amount paid by Tenant and the actual amount due, such deficiency to be paid within fifteen (15) days after
the furnishing of each Year End Statement. If the total amount paid by Tenant hereunder for any such calendar year shall exceed such actual amount due from Tenant for such calendar year, such excess shall be credited against the next installment of
taxes and assessments due from Tenant to Landlord hereunder or paid to Tenant in the event this Lease has terminated and Tenant has paid all Rent and other payments required under this Lease and performed all obligations of Tenant under this Lease.
In the event a refund of Taxes previously paid is obtained, Tenant’s Pro Rata Share thereof shall be credited to the next installment due under this Section or paid to Tenant in the event this Lease has terminated and Tenant has paid all Rent
and all other payments under this Lease and performed all obligations of Tenant under this Lease. For the partial Lease Years in which this Lease commences and terminates, the provisions of this Section shall apply, and Tenant’s Pro Rata Share
of any Taxes for such years shall be subject to a pro rata adjustment based on the number of days of said Lease Years during which the Lease Term is in effect. A copy of a tax bill or assessment bill submitted by Landlord to Tenant shall at all
times be sufficient evidence of the amount of Taxes assessed or levied against the property to which such bill or return relates. 
  
 8.4 Tenant’s Taxes 
  
 Tenant shall pay all real and personal property taxes levied or assessed against Tenant’s property and improvements upon or affixed to the Demised
Premises, including taxes attributable to all alterations, additions, or improvements made by Tenant. 
  
 SECTION 9 
 USE OF DEMISED PREMISES 
  
 9.1 Use of Demised Premises 
  
 Tenant shall use and occupy the Demised Premises during the Lease Term only
for the purpose stated in Section 1 hereof and attendant office use and for no other purpose without the prior written consent of the Landlord. Tenant shall not use or permit any person to use the Demised Premises or any part thereof for any use or
purpose other than the use stated in Section 1 or in violation of any law, statute, order, ordinance, code, rule or regulation of any 

  

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federal, state or municipal body or other governmental agency having jurisdiction thereof, including, without limitation, zoning, land use and building
ordinances, uses and requirements; occupational safety and health requirements, community right-to-know requirements; the Americans With Disabilities Act of 1990; and Environmental Laws (as defined in Section 9.3) (collectively “Laws”), or
any building and use restrictions (“Restrictions”) affecting the Building or the Demised Premises, if any. Tenant shall comply with all such present and future Laws and Restrictions affecting the Building and Demised Premises and the
cleanliness, safety, occupation and use of the same, at Tenant’s sole cost and expense. Tenant shall, at Tenant’s expense, obtain such approvals, permits or certificates, including, without limitation, a Certificate of Occupancy if Tenant
is constructing any tenant improvements in the Demised Premises, that may be required in order for Tenant to occupy and use the Demised Premises. Tenant shall promptly notify Landlord of, and provide Landlord with copies of, all notices, requests,
orders, complaints or other correspondence directed to Tenant from any federal, state or municipal body or governmental agency or authority pertaining to any actual or alleged violation of Laws or Restrictions. 
  
 9.2 Care of Demised Premises 
  
 Tenant, at its sole cost and expense, shall keep the Demised Premises
orderly, neat, safe and clean and free from rubbish and dirt at all times and shall store all inventory, trash and supplies within the Demised Premises. Tenant shall not deposit trash or any other items in the Common Areas. Tenant shall use the
dumpsters provided by Landlord for trash and garbage and Tenant shall pay Landlord all reasonable additional costs incurred by Landlord in the event Tenant’s trash and garbage exceeds the normal usage, specifically including that generated by
Tenant’s move in and move out of the Demised Premises upon written demand. Tenant shall not burn any trash or garbage at any time in or about the Demised Premises. At the expiration of the Lease Term, or the sooner termination thereof, Tenant
shall surrender the Demised Premises in as good condition and repair as existed at the time Tenant took possession, reasonable wear and tear excepted. 
  
 9.3 Hazardous Substances 
  
 Tenant shall not cause or permit the Demised Premises to be used to generate, manufacture, refine, transport, treat, store, handle, dispose, release,
transfer, produce or process hazardous substances as defined in Section 101(14) of the Comprehensive Environmental Response, Compensation, and Liability Act, as amended, 42 U.S.C. 9601(14), hazardous wastes as defined in Section 1004(5) of the
Resource Conservation and Recovery Act, as amended, 42 U.S.C. 6903(5) and implementing regulations, hazardous wastes as defined in the Wisconsin Hazardous Waste Management Act, as amended, Wis. Stats. Sec.291.01 et. seq., gasoline, petroleum,
petroleum products and any substances defined as hazardous or toxic substances in any Environmental Laws, or extremely hazardous substances as defined in the Emergency Planning and Community Right-To-Know Act of 1986, 42 U.S.C. 1001 et. seq.
(hereinafter collectively referred to as “Hazardous Substances”), except for Hazardous Substances necessary for Tenant’s permitted use, cleaning and maintenance of the Demised Premises, provided and so long as such use of
Hazardous Substances (including storage of reasonable quantities) are in full 

  

 15 

 
compliance with all Environmental Laws. Environmental Laws mean any applicable federal, state, county or local statutes, laws, regulations, rules,
directives, ordinances, or codes relating to environmental matters, including by way of illustration and not by way of limitation, the Clean Air Act, the Federal Water Pollution Control Act of 1972, the Resource, Conservation and Recovery Act of
1976, the Comprehensive Environmental, Response, Compensation and Liability Act of 1980, the Superfund Amendment and Reauthorization Act of 1986, the Federal Hazardous Materials Transportation Act, the Toxic Substance Control Act, and Chapters 281
(Water and Sewage), 283 (Pollution Discharge Elimination) 285 (Air Pollution), 287 (Solid Waste) and 291 (Hazardous Waste Management) of the Wisconsin Statutes, and any amendments or extensions thereof, any replacement laws, statutes and ordinances
and any rules, regulations, standards or guidelines issued pursuant to any of the aforesaid and all other applicable environmental standards or requirements. 
  
 9.4 Affidavit And Questionnaire 
  
 Tenant is not aware of, and intends that it will not bring, any Hazardous Substances to the Demised Premises. However, if Tenant does introduce any
Hazardous Substances to its Demised Premises, Tenant shall, upon the reasonable request of Landlord or Landlord’s mortgagee, which shall not be more than annually, submit a sworn Affidavit signed by the duly authorized officer of Tenant,
setting forth the identity, quantity and purpose of all Hazardous Substances and any similar substance used or present on the Demised Premises, if any. 
  
 9.5 Obligation of Tenant 
  
 The obligations and liabilities of Tenant under Sections 9.1 through 9.5 shall survive termination of this Lease. 
  
 SECTION 10 
 INDEMNITY 
  
 10.1 Indemnity 
  
 Tenant shall indemnify
and hold harmless Landlord from claims, suits, actions, or liabilities for personal injury, death or for loss or damage to property that arises out of: (a) Tenant’s use of the Demised Premises; (b) the negligence or willful misconduct of
Tenant, its employees, agents, or invitees; or (c) any breach or default by Tenant in the performance of any obligation on Tenant’s part to be performed under this Lease. 
  
 Landlord shall indemnify and hold harmless Tenant from claims, suits, actions, or liabilities for personal injury, death or
for loss or damage to property that arises from: (a) any work or activity performed by Landlord in Demised Premises; (b) the gross negligence or willful misconduct of Landlord, its employees, agents or contractors; or (c) any breach or default by
Landlord in the performance of any obligation on Landlord’s part to be performed under this Lease. 
  

 16 

 10.2 Liability Insurance 
  
 Tenant shall from and after the Substantial Completion Date through the termination of the Lease Term procure and keep in
effect, for the benefit of Landlord and any mortgagee of the Building or any portion thereof, commercial, general liability insurance on an occurrence basis, including personal and advertising injury liability, employers’ liability, non-owned
automobile liability, owners’ and contractors’ protection insurance, operations and blanket contractual coverage, for personal injury or death or property damage occurring in, upon or about the Site or Demised Premises or any street,
drive, sidewalk, curb or passageway adjacent thereto and caused by or attributable to the negligence, acts or omissions of Tenant, its employees, agents, representatives, invitees, licensees and contractors in the amount reasonably required by
Landlord (but in no event less than Two Million ($2,000,000) Dollars combined single limit per occurrence, which may be based on a combination of primary coverage plus excess insurance or “umbrella” coverage. Any contractual liability
coverage for indemnifications given by Tenant under this Lease shall not in any way limit such indemnifications. The insurance coverage shall include the activities and operations of Tenant and any person on the Demised Premises or performing work
on behalf of Tenant and shall contain a severability of interest clause and a cross-liability clause. Tenant shall provide Landlord with an endorsement to such insurance naming Landlord and Landlord’s mortgagee as additional named insureds.

  
 10.3 Tenant’s Contractor’s Insurance 
  
 Tenant shall require any contractor of Tenant performing work on the Demised
Premises to take out and keep in force, at no expense to Landlord, (a) comprehensive general liability insurance, including contractor’s liability coverage, contractual liability coverage, completed operations coverage, broad form property
damage endorsement and contractor’s protective liability coverage, to afford protection to the limit, for each occurrence, of not less than Two Million ($2,000,000) Dollars with respect to personal injury or death and Five Hundred Thousand
($500,000) Dollars with respect to property damage; and (b) worker’s compensation or similar insurance in form and amounts required by law. The liability insurance shall name Landlord and any mortgagee of the Building or any portion thereof as
additional insureds and provide Landlord with thirty (30) days prior written notice of alteration, amendment, modification or cancellation of such insurance by specific endorsement. 
  
 10.4 Delivery of Policy and Special Endorsement 
  
 The insurance policies required by this Section 10 shall contain provisions satisfactory to Landlord prohibiting
cancellation, alterations, changes, amendments, modifications, deletions or reductions in coverage either at the insistence of Tenant or the insurance company issuing the policy, without at least thirty (30) days prior written notice having been
given to Landlord at the address stated in Section 1. Copies of such insurance policies and all renewals thereof, together with receipts evidencing payment in full of the premiums thereon, shall be delivered promptly to Landlord prior to Tenant
taking possession under this Lease and at least thirty (30) days prior to expiration or renewal of such insurance. 
  

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 SECTION 11 
 MAINTENANCE AND REPAIRS 
  
 11.1
Maintenance and Repairs 
  
 Tenant shall, at its sole
cost and expense, during the Lease Term, maintain and repair (including necessary replacements) and keep neat and in good appearance and condition the Demised Premises, including, but not limited to, the interior walls, interior ceiling, and the
portion of electrical system, plumbing system, and HVAC system which is located in the Demised Premises. The plumbing system, including the sewage facility, serving the Demised Premises shall not be used for any purpose other than for which it was
constructed and Tenant shall not introduce any matter therein which results in blocking such system. Tenant shall, at its sole cost and expense, also repair any damage to the outer walls or roof of the Demised Premises, or to the walkways,
landscaping or land for the Building, caused by Tenant, its customers or invitees, including damage caused by trucks or trailers making pickups or deliveries to the Demised Premises. Tenant shall, at its sole cost and expense, contract with
contractors acceptable to Landlord for the performance of all maintenance and repairs required of Tenant under this Lease. Tenant shall perform such maintenance and repairs so as to maintain the Demised Premises in a first-class condition. Such
maintenance and repair obligations of Tenant shall include items deemed to be capital improvements for tax purposes. The maintenance and repair obligations of Tenant hereunder shall survive termination of this Lease. 
  
 11.2 Compliance with Laws 
  
 During the term of this Lease, Tenant shall comply with all Laws and
Restrictions (as defined in Section 9.1) and make any repairs, additions, modifications or alterations to the Demised Premises, regardless of the nature thereof, which are required by any Laws or Restrictions or required by the insurance carrier to
maintain the insurance required under this Lease. Tenant shall not be responsible for any items out of compliance as of the Commencement Date. Landlord shall be responsible for all items out of compliance prior to the Commencement Date. 

 
 SECTION 12 
 TENANT’S ALTERATIONS 
  
 12.1 Alterations 
  
 Tenant shall not make any alterations, additions, modifications or improvements (“Alterations”) to the Demised Premises without the prior written consent of Landlord. Landlord will not unreasonably withhold its consent with
respect only to non-structural Alterations which do not modify the weight bearing capabilities of the Demised Premises or the building in which it is located, do not involve any demolition work or penetration of the exterior roof, walls or walls
adjacent to common areas, do not change the architectural design or the character or use of the Demised Premises and do not adversely effect the plumbing, mechanical, electrical, or heating, ventilating and air conditioning systems of the Demised
Premises or other improvements in or to the Building. Tenant shall notify Landlord in writing and obtain prior 

  

 18 

 
written consent of Landlord for any Alterations which involve asbestos-based fire retardants, ceiling tiles, pipes or other asbestos-containing materials.
All Alterations made by either Landlord or Tenant to the Demised Premises shall become the property of Landlord, shall remain upon and be surrendered with the Demised Premises at the termination of this Lease, without molestation or injury; unless
(a) Landlord either (i) has consented to such removal at the time such Alteration was made by Tenant, or (ii) consents in writing to Tenant’s removal of such Alterations, and (b) Tenant repairs any damage or injury caused thereby in a good and
workmanlike manner. Notwithstanding anything to the contrary herein, Landlord, at its option, may at the expiration of the Lease Term require Tenant, at Tenant’s sole cost and expense, to remove any Alterations made by Tenant during the Lease
Term unless Landlord has expressly waived such right in writing and to repair any damage or injury caused thereby in a good and workmanlike manner. All Alterations made by Tenant or the removal thereof shall be made in a first class workmanlike
manner by properly bonded contractors in amounts approved by Landlord, free of all liens and encumbrances and in compliance with all Laws and Restrictions. Landlord shall have the right to stop any work not being performed in conformance with this
Lease, and, at its option, may repair or remove non-conforming work at the expense of Tenant. Tenant hereby indemnifies and holds Landlord harmless from and against any such liens, encumbrances and violations of Laws and Restrictions. The filing of
any lien or encumbrance, or the violation of Laws or Restrictions, shall constitute a Default hereunder. The repair and indemnity obligations of Tenant hereunder, including Tenant’s obligations to repay Landlord the cost of repairing or
removing Alterations, shall survive the termination of this Lease. 
  
 12.2
Construction Liens 
  
 Tenant shall not suffer or
permit any construction liens to be filed against the Demised Premises or any part thereof by reason of work, labor, services or materials supplied or claimed to have been supplied to Tenant or anyone holding the Demised Premises or any part thereof
through or under Tenant. If any such construction lien shall at any time be filed against the Demised Premises, Tenant shall cause the same to be discharged of record within twenty (20) days after the date of filing the same. If Tenant shall fail to
discharge such construction lien within such period, then, in addition to any other right or remedy of Landlord, Landlord may, but shall not be obligated to, discharge the same either by paying the amount claimed to be due or by procuring the
discharge of such lien by deposit in court or by giving security or in such other manner as is, or may be, prescribed by law. Any amount paid by Landlord for any of the aforesaid purposes, and all actual legal and other expenses of Landlord,
including actual counsel fees, in or about procuring the discharge of such lien, together with all necessary disbursements in connection therewith, and together with interest thereon at the rate equal to the prime interest rate (as defined in
Section 5.6) plus five (5%) percent, but in no event higher than the legal limit, from the date of payment, shall be repaid by Tenant to Landlord on demand, and if unpaid may be treated as Additional Rent. Nothing herein contained shall imply any
consent or agreement on the part of Landlord to subject Landlord’s estate to liability under any construction lien law. In connection with the construction of any Alteration, the performance of any maintenance, repairs or replacement pursuant
to Section 11 by Tenant or any other construction performed by Tenant, Tenant shall prior to commencing construction post (and provide Landlord the opportunity to post) notices in the visible locations within the construction area advising all

  

 19 

 
contractors, subcontractors, laborers and materialmen that Landlord has no responsibility for the construction of the Alterations, maintenance, repairs,
replacements or other construction by Tenant and that Landlord’s interest in the Site, Building and Demised Premises shall not be subject to any construction lien. Tenant does hereby agree to indemnify, defend and hold Landlord and the Site,
Building and Demised Premises (and any portion thereof) harmless from and against any and all losses, costs, damages, expenses, liabilities and obligations, including, without limitation, reasonable attorneys fees resulting from the assertion,
filing, foreclosure or other legal proceedings with respect to any such construction lien or other lien. 
  
 SECTION 13 
 PROPERTY INSURANCE, REBUILDING AND WAIVER OF SUBROGATION

  
 13.1 Tenant’s Insurance 
  
 Tenant shall from and after the Substantial Completion Date through the
termination of the Lease Term procure and keep in effect, for the benefit of Landlord and any mortgagee of the Demised Premises, the following insurance: 
  
 13.1.1 Property coverage insurance including fire, vandalism, windstorm, explosion, smoke damage, malicious mischief, sprinkler leakage and such other perils as are
included in a standard extended coverage endorsement, insuring all equipment, furniture, furnishings, fixtures and property owned or leased by Tenant, or for which Tenant is responsible and all Alterations and tenant improvements constructed by
Landlord at Tenant’ expense (collectively “Tenant Property”) in an amount equal to the full replacement cost of such Tenant Property. Whether or not Tenant maintains such insurance, Tenant shall make no claims and releases Landlord
from any liability for any damage, injury, loss, or loss of use of any and all Tenant Property and any other contents of Tenant located on or within the Demised Premises. 
  
 13.1.2 Business interruption insurance in such amount as will reimburse Tenant for all business interruption damages and losses, including
without limitation, relocation expenses, rental costs and expenses and direct or indirect loss of earnings, for a period of at least one (1) year, attributable to all perils insured against under this Section 13 and other perils commonly insured
against by prudent Tenants or attributable to prevention of access to the Demised Premises as a result of such perils. Whether or not such insurance is maintained, Tenant shall make no claims and releases Landlord from any liability for any such
business interruption damages and losses. 
  
 13.2 Insurance Policies

  
 Tenant’s insurance policies shall comply with the
following requirements: 
  
 13.2.1 Name Landlord, Landlord’s employees,
agents and representatives and Landlord’s mortgagee as additional insureds. 
  

 20 

 13.2.2 Contain a waiver of any subrogation rights which Tenant’s insurers may have against Landlord or
Landlord’s mortgagee and against those for whom the Landlord is legally responsible. 
  
 13.2.3 Be issued by insurers licensed to do business in the State of Wisconsin, with a general policy rating of A- or better from a financial class of VII or better by A.M. Best Company, Inc. in such form reasonably
satisfactory to Landlord and Landlord’s mortgagee. 
  
 13.2.4 The policies
shall be non-contributing and apply only as primary coverages and not as excess coverage to any other insurance available to Landlord. 
  
 13.2.5 Include provisions providing that insurance coverage shall not be invalidated with respect to the interests of the Landlord or the Landlord’s mortgagee by
reason of any breach or violation by Tenant of any warranties, representations, declarations or conditions contained in the policies. 
  
 13.2.6 Contain provisions or include endorsements which provide that the policies shall not be cancelled, amended or materially altered without at least thirty (30) days
prior written notice to Landlord and Landlord’s mortgagee. 
  
 13.2.7
Certificates of insurance and copies of all insurance policies required under this Section 13 and receipts evidencing payment of all premiums for such policies shall be provided to Landlord thirty (30) days prior to Tenant taking possession under
this Lease and at least thirty (30) days prior to their termination or renewal. 
  
 13.3 Increases in Insurance Coverage 
  
 During the term of this Lease, or whenever Tenant materially improves or alters the Demised Premises, Landlord shall have the right to require reasonable changes to Tenant’s insurance coverages and increases in Tenant’s insurance
policy limits for insurance to be carried by Tenant as set forth in this Section 13. 
  
 13.4 Landlord’s Insurance 
  
 Landlord shall provide and keep in full force and effect throughout the Lease Term the following insurance and Tenant shall pay, as Additional Rent, Tenant’s Prorata Share of the cost of such insurance pursuant to Section 7.3:

  
 13.4.1 Commercial general liability insurance with respect to Landlord’s
operation of the Building, for bodily injury or death, and for damage to property of others, with policy limits as reasonably determined by Landlord or as required by Landlord’s mortgagee. 
  

 21 

 13.4.2 Fire and casualty insurance with extended coverage endorsements in such reasonable amounts and with such
reasonable deductibles as reasonably determined by Landlord or as required by Landlord’s mortgagee. 
  
 13.4.3 Such other insurance on the Building or the Project as Landlord reasonably deems advisable. 
  
 No insurable interest is conferred upon Tenant under any policies of insurance carried by Landlord and Tenant shall not be entitled to share or receive any proceeds of
any insurance policy carried by Landlord. Landlord is authorized to adjust and compromise any loss without the consent of Tenant, to collect, receive and receipt for any insurance proceeds on behalf of Landlord and all tenants in the Building and to
endorse Tenant’s name upon any check in payment of such proceeds in the event Tenant’s name is listed thereon. Landlord’s obligations to carry the insurance provided for herein may be brought within the coverage of any so-called
blanket policy or policies of insurance carried and maintained by Landlord, provided that the coverage afforded will not be reduced or diminished by reason of the use of such blanket policy of insurance. Landlord’s insurance shall not cover
Tenant’s Property, tenant improvements constructed by Landlord at Tenant’s expense, or Alterations. Landlord, at its option, may carry rental interruption insurance in amounts equal to Tenant’s Rent for twelve (12) months under this
Lease. 
  
 13.5 Release of Claims 
  
 Tenant waives and releases all claims against Landlord in respect of any
liability or loss in connection with, damage to any property (including without limitation, documents, files or work products) or injury to or death of any person in, upon or around the Demised Premises and Building, arising at any time and from any
cause, except for Landlord’s gross negligence or willful misconduct. 
  
 13.6 Waiver of Subrogation 
  
 Any
property insurance policy carried by Landlord or Tenant or any policy covering both the interest of Landlord or Tenant under this Section 13 shall include a provision under which the insurance company waives all right of recovery by way of
subrogation against Landlord or Tenant in connection with any loss or damage covered by any such policy. Landlord or Tenant hereby release and discharge each other from any liability whatsoever arising from any loss, damage or injury caused by fire
or other casualty. 
  
 13.7 Rebuilding 
  
 If all or part of the Demised Premises are rendered untenantable by damage
from fire or other casualty which in Landlord’s reasonable opinion can be substantially repaired (employing normal construction methods without overtime or other premium) under applicable Laws within one hundred eighty (180) days from the date
on which Landlord receives the insurance proceeds, then only to the extent that insurance proceeds are available for repair or rebuilding, Landlord shall diligently and continuously repair the damage to the Building and Demised Premises 

  

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(including Landlord’s Improvements), provided and so long as, Tenant repairs and restores all of Tenant’s fixtures, furniture, furnishings,
equipment and personal property and pays Landlord the cost of any tenant improvements constructed by Landlord at Tenant’s expense. If Landlord is unable to complete the restoration within such one hundred eighty (180) day period, Tenant may
terminate this Lease. Notwithstanding anything to the contrary contained herein, Landlord shall have no obligation to repair or rebuild the Demised Premises or the Building in the event the damage or destruction by fire or other casualty occurs
during the last Lease Year of the original term of this Lease or any exercised option term, if any. Except for Landlord’s Improvements, Landlord shall have no obligation to repair, rebuild or restore Alterations (whether constructed or
installed by Landlord or Tenant) nor shall Landlord have any obligation to replace Tenant’s fixtures, furniture, furnishings, equipment and personal property. 
  
 13.8 Termination of Lease 
  
 If all or any part of the Demised Premises are rendered untenantable by damage from fire or other casualty which in Landlord’s reasonable opinion
cannot be substantially repaired (employing normal construction methods without overtime or other premium) under applicable Laws within one hundred eighty (180) days from the date on which Landlord receives the insurance proceeds relating to such
casualty, then either Landlord or Tenant may elect to terminate this Lease as of the date of such casualty by written notice delivered to the other pursuant to the terms of this Lease not later than ten (10) days after such determination by
Landlord. If neither party exercises its right to terminate, Landlord shall, but only to the extent that insurance proceeds are available, repair such damage to the Building and Demised Premises (including Landlord’s Improvements), provided and
so long as, Tenant repairs and restores all of Tenant’s fixtures, furniture, furnishings, equipment and personal property and pays Landlord the cost of any tenant improvements constructed by Landlord at Tenant’s expense. If Landlord elects
not to rebuild or reconstruct the Building, then Landlord shall have the right to terminate this Lease upon sixty (60) days prior written notice to Tenant notwithstanding the fact that the Demised Premises remains tenantable. Except for
Landlord’s Improvements, Landlord shall have no obligation to repair, rebuild or restore Alterations (whether constructed or installed by Landlord or Tenant) nor shall Landlord have any obligation to replace Tenant’s fixtures, furniture,
furnishings, equipment and personal property. 
  
 13.9 Rental Proration or
Abatement 
  
 In the event the Lease is terminated
pursuant to this Section 13, the Rent shall be prorated to the effective date of Termination and any other obligations of Tenant requiring adjustment shall be appropriately adjusted between Landlord and Tenant as of the date of termination. Except
as specifically set forth in this Section 13, there shall be no reduction or abatement of Rent and Landlord shall have no liability to Tenant by reason of any injury to or interference with Tenant’s business or property arising from any fire or
other casualty, regardless of cause, or from the making of any repairs resulting from such fire or other casualty in or to any portion of the Building or the Demised Premises. In the event the Lease is not terminated and Landlord elects to rebuild,
then during the period the Demised Premises is untenantable, Tenant shall be entitled to an abatement of the Rent, provided and so long as the Tenant, its employees, agents, representatives, invitees, licensees and contracting parties did not cause
the damage or destruction. 
  

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 SECTION 14 
 EMINENT DOMAIN 
  
 14.1 Total
Condemnation 
  
 If the whole of the Demised Premises
shall be taken by any condemning authority under the power of eminent domain, then the term of this Lease shall cease as of the date Tenant loses use or possession of the Demised Premises, and the Rent shall be paid up to that day with a
proportionate refund by Landlord of such Rent as may have been paid in advance. 
  
 14.2 Partial Condemnation 
  
 If only a
part of the Demised Premises shall be taken by any condemning authority under the power of eminent domain, then, except as otherwise provided in this Section, this Lease and the term shall continue in full force and effect and there shall be no
reduction in the Rent, except as provided in this Section 14.2. From and after the date Tenant loses use or possession of a portion of the Demised Premises, the Rent and Tenant’s Pro Rata Share shall each be reduced in the proportion which the
floor area of the part of the Demised Premises so acquired bears to the total floor area of the Demised Premises immediately prior to the date such physical possession is transferred. If (a) more than thirty-five (35%) percent of the Demised
Premises or the building in which the Demised Premises are located shall be taken under eminent domain, or (b) more than thirty-five (35%) percent of the parking spaces on the Demised Premises shall be taken under eminent domain and Landlord is
unable to provide parking spaces on land immediately contiguous to the Demised Premises equal to one-half of the number of parking spaces taken, the Landlord and Tenant shall each have the right to terminate this Lease and declare the same null and
void, by written notice of termination to the other party within thirty (30) days after the date the order is entered in such eminent domain proceeding establishing the date upon which actual physical possession shall be transferred to the
condemning authority. Termination of this Lease shall be effective as of the date Tenant loses use or possession of the Demised Premises. In the event neither party exercises said right of termination, the Lease Term shall cease only on the part of
the Demised Premises so taken as of the date Tenant loses use or possession of the Demised Premises and Tenant shall pay Rent up to that day, with appropriate refund by Landlord of such Rent as may have been paid in advance, and thereafter all the
terms herein provided shall continue in effect, except that the Annual Base Rent and Tenant’s Pro Rata Share shall be reduced in the proportion stated above and Landlord shall, at its own cost and expense, make all the necessary repairs or
alterations to the remaining Building and the remaining Demised Premises so as to cause each to be a complete architectural unit. 
  
 14.3 Landlord’s and Tenant’s Damages 
  
 All damages awarded for such taking under the power of eminent domain, whether for the whole or a part of the Demised Premises, shall belong to and be the
property of Landlord whether such damages shall be awarded as compensation for diminution in value to the leasehold 

  

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or to the fee for the Building; provided, however, that Landlord shall not be entitled to the award made for depreciation to, and cost of removal of,
Tenant’s stock and fixtures, business interruption losses and relocation expenses. 
  
 SECTION 15 
 ACCESS TO PREMISES 
  
 Landlord or Landlord’s agents shall have the right, upon twenty-four
(24) hours advance written notice, except in the case of an emergency, to enter the Demised Premises at all reasonable times to examine the same, and to show them to prospective purchasers or mortgagees of the Building, and to make such repairs,
alterations, improvements or additions as Landlord may deem necessary or desirable. Landlord shall be allowed to take all material into and upon the Demised Premises that may be required therefor without the same constituting an eviction of Tenant
in whole or in part, and the Rent shall in no way abate while said repairs, alterations, improvements, or additions are being made, by reason of loss or interruption of the business of Tenant, or otherwise. Landlord may exhibit the Demised Premises
to prospective lessees during the nine (9) months prior to expiration of the Lease Term and place upon the Demised Premises the usual notices “To Let” or “For Rent,” which notices Tenant shall permit to remain thereon without
molestation. Landlord shall use its good faith efforts to minimize its disruption to Tenant in entering the Demised Premises. 
  
 SECTION 16 
 FIXTURES AND EQUIPMENT

  
 All fixtures and equipment installed by Tenant during
the term of this Lease which are incorporated into and/or affixed to the Building, Demised Premises, Alterations or any improvements therein and cannot be removed without substantial damage or injury to the Building, Demised Premises, Alterations or
any improvements therein shall not be removed without Landlord’s prior written consent. All fixtures and equipment not removed shall remain the property of Landlord at the termination of the Lease Term. In the event Landlord consents to such
removal, Tenant shall remove such fixtures in accordance with all applicable Laws and Restrictions and shall repair any such damage or injury in a good and workmanlike manner. 
  
 SECTION 17 
 BANKRUPTCY AND INSOLVENCY 
  
 If the estate
created hereby shall be taken in execution, or by other process of law, or if Tenant shall be declared bankrupt or insolvent, according to law, or if any receiver be appointed for the business and property of Tenant, or if any assignment shall be
made of Tenant’s property for the benefit of creditors (and as to such matters involuntarily taken against Tenant, Tenant has not within sixty (60) days thereof obtained a release or discharge therefrom), then this Lease may be canceled at the
option of Landlord. If, as a matter of law, Landlord has no right upon the bankruptcy of Tenant to terminate this Lease then, the rights of Tenant, as debtor, or its trustee, shall be deemed abandoned or rejected unless Tenant, as debtor, or its
trustee, (a) within sixty (60) days after the date of the order for relief under Chapter 7 of the Bankruptcy Code or sixty 

  

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(60) days after the date the petition is filed under Chapter 11 of the Bankruptcy Code assumes in writing the obligations under this Lease, (b) cures or
adequately assures the cure of all Defaults existing under this Lease on Tenant’s part within such sixty (60) days, and (c) furnishes adequate assurance of future performance of the obligations of Tenant under this Lease. Adequate assurance of
curing Defaults means the posting with Landlord of a sum in cash sufficient to defray the costs of such cure. Adequate assurance of future performance of the Tenant’s obligations under this Lease means increasing the security deposit by an
amount equal to six (6) Monthly Installments of Base Rent. 
  
 Tenant shall not be permitted to assume and assign this Lease in connection with any bankruptcy or insolvency proceedings without full and complete compliance with the following provisions: (a) Landlord is provided with the following
information regarding the party desiring to assume the Lease (“Assumptor”) which Landlord in its sole and absolute discretion deems sufficient (1) organizational information regarding the Assumptor (2) audited financial statements for the
three (3) most recent fiscal years, and (3) such other information as Landlord deems appropriate, (b) Landlord determines that the use of the Demised Premises by the intended Assignee is compatible with the character of the Building, (c) all
existing Defaults under this Lease are cured at least ten (10) days prior to any hearings in connection with Tenant’s request to assume and assign the Lease, (d) the Assumptor at any such hearing provides adequate assurance of its future
performance of the Lease as determined by Landlord in its sole and absolute discretion, which adequately assurance shall include at least the following: (1) posting of security deposit equal to six (6) Monthly Installments of Base Rent, if such was
not already posted by Tenant, (2) paying in advance to Landlord the next six (6) Monthly Installments of Base Rent, or posting an irrevocable letter of credit for such amount, (3) establishing with Landlord an escrow in advance for the full cost of
all real estate taxes, and insurance, as required under the Lease for the next twelve (12) months of the Lease and thereafter on an annual basis in advance, and (4) providing Landlord with an unconditional continuing guarantee of the Lease executed
by the owners or officers of the Assumptor as determined by Landlord in its sole and absolute discretion, and (5) the Assumptor executes a written agreement assuming the Lease and such Lease amendments as are necessary, which agreements and
amendments are satisfactory to Landlord in its sole and absolute discretion. 
  
 SECTION 18 
 MORTGAGE OR SALE BY LANDLORD 
  
 18.1 Mortgage and Subordination 
  
 Landlord reserves the absolute right to subject and subordinate this Lease,
at all times and in all respects, to all existing and future mortgages now or hereafter placed upon the Demised Premises; provided Tenant’s right of possession will not be disturbed by the mortgagee of any mortgage upon the Demised Premises in
connection with any mortgage foreclosure proceedings so long as Tenant is not in Default hereunder. The holder of any such mortgage may elect to subordinate such mortgage to this Lease. In the event Landlord exercises its right hereunder, Tenant
hereby agrees to execute and deliver, or join in the execution and delivery of an agreement (“Subordination Agreement”) substantially in the form and substance attached as 

  

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Exhibit F. In the event Tenant fails to provide the Subordination Agreement required by this Section 18.1 within twenty (20) days, Landlord may execute and
deliver the Subordination Agreement in the name of Tenant and Tenant hereby irrevocably appoints Landlord as the attorney-in-fact for Tenant for such purposes and Landlord shall promptly provide Tenant with a copy of such executed Subordination
Agreement. Any mortgagee of any mortgage upon the Demised Premises shall have no personal liability under this Lease and upon becoming a successor in interest to the Landlord, such liability as a successor landlord shall be limited to its ownership
interest in the Project in the same manner as the Landlord pursuant to Section 28.3 of this Lease. 
  
 18.2 Sale or Transfer 
  
 Landlord shall have the right to sell, transfer or assign the Demised Premises (“Conveyance”). In the event of a Conveyance, Tenant shall attorn to the purchaser, transferee or assignee (“Transferee”) and recognize such
Transferee as Landlord under this Lease and Landlord shall be relieved from all subsequent obligations and liabilities under this Lease, provided such obligations are assumed in writing by such Transferee and a copy thereof is provided to Tenant.
Any Transferee shall have no personal liability under this Lease and upon becoming a successor in interest to the Landlord and incurring liability from and after such date as a successor landlord shall have liability limited to its ownership
interest in the Project in the same manner as the Landlord pursuant to Section 28.3 of this Lease. 
  
 18.3 Estoppel Certificates 
  
 Prior to occupancy and thereafter within twenty (20) days after written request from Landlord, Tenant shall execute, acknowledge and deliver to Landlord a statement (“Estoppel Certificate”) in writing in the
form and substance attached as Exhibit G, or such other form as reasonably requested by any mortgagee providing financing or refinancing for the Project or any purchaser of the Project. It is understood that such Estoppel Certificate may be relied
upon by Landlord, a prospective purchaser, mortgagee or assignee of any mortgagee of Landlord’s interest in the Demised Premises for this Lease. In the event Tenant fails to provide the Estoppel Certificate required by this Section 18.3 within
twenty (20) days, Landlord may execute and deliver the Estoppel Certificate in the name of Tenant and Tenant hereby irrevocably appoints Landlord as the attorney-in-fact for Tenant for such purposes and Landlord shall promptly provide Tenant with a
copy of such executed Estoppel Certificate. 
  
 18.4 Notice to Mortgagee

  
 If Landlord shall fail to perform any covenant, term or
condition of this Lease upon Landlord’s part to be performed, Tenant shall, prior to exercising any rights or remedies it may have hereunder or as a matter of law as a result of such default, notify any mortgagee of any mortgage upon the
Building (“Mortgagee”), in writing, of such default. Such Mortgagee shall have forty (40) days after the date of such notice to cure such default; provided, however, if such default cannot, with reasonable diligence, be fully cured within
such forty (40) day period and Mortgagee commences such performance and is proceeding diligently, then such forty (40) day period shall be extended to the time that, with reasonable diligence, such default can be cured. 
  

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 SECTION 19 
 ASSIGNMENT AND SUBLETTING 
  
 Tenant shall not sell, assign, sublet, hypothecate, encumber, mortgage or in any manner transfer (including transfers by operation of law or otherwise) this Lease or any estate or interest therein (including any transfer by operation of law
or otherwise), the Demised Premises or any part thereof or permit the use of the Demised Premises by any third party (collectively “Transfer”) without the prior written consent of Landlord, which consent shall not be unreasonably withheld.
In determining reasonableness, Landlord will consider all relevant factors surrounding the proposed subletting or assignment, including, and without limitation: the business reputation of the proposed subtenant or assignee and its officers,
directors, and stockholders; the type of business of the proposed subtenant or assignee and its affect on the other tenants of the building; the financial condition of the proposed subtenant or assignee; the proposed subtenant or assignee will not
involve any medical or dental use or similar or related use and the subtenant or assignee is not any governmental or quasi-governmental agency; the use of the proposed subtenant or assignee will not violate or conflict with any restrictions
contained in previously executed leases or other agreements affecting the Building. 
  
 For purposes of this Section 19, Transfer shall include the following events: (a) the sale or liquidation of any assets not in the ordinary course of business, (b) the merger, acquisition or consolidation by Tenant by
or with any other person, corporation, partnership or other entity, (c) the merger, acquisition or consolidation by Tenant of any other person, corporation, partnership or other entity, (d) any sale, exchange, transfer, pledge or redemption of any
stock of Tenant of the issuance of any stock, stock options, preference, warrants or other change in the capitalization or ownership of Tenant which results in a change in the control of Tenant, or (e) any other transaction resulting in a change of
control or other material change in the structure of Tenant. In the event of a Transfer with Landlord’s consent, Tenant shall remain and continue fully liable to perform all of Tenant’s obligations under this Lease, unless Landlord
releases Tenant in writing from such obligations. In the event of a Transfer by Tenant without Landlord’s prior written consent, Landlord shall have the right, without further notice to Tenant or any right of Tenant to cure such default, to
exercise the following remedies, either individually or cumulatively without such constituting an election of remedies: (1) accelerate payment of all Rent payable during the balance of the unexpired Lease Term and receive immediate payment thereof,
(2) terminate this Lease, re-enter and repossess the Demised Premises, and (3) enforce all other remedies available under this Lease or permitted by law. Consent by Landlord to one or more Transfers shall not operate to exhaust Landlord’s
rights hereunder. The acceptance of Annual Base Rent or Additional Rent from an assignee, subtenant or occupant shall not constitute a release of Tenant from the obligations and covenants in this Lease. Tenant shall remain liable under this Lease
until Landlord executes and delivers a written release of such liability. Landlord’s consent hereunder shall not be unreasonably withheld only in the event of the Transfer of all or any part of the Demised Premises to any parent corporation of
Tenant, or wholly owned subsidiary of Tenant. In the event of a Transfer by Tenant, with or without Landlord’s consent, all Annual Base Rent, Additional Rent, sums of money or other economic considerations received by Tenant from any such
subtenant, assignee, transferee or occupant, 

  

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which exceed, in the aggregate, the total sums of Annual Base Rent, Additional Rent or other amounts which Tenant is obligated to pay Landlord under this
Lease shall be payable to Landlord as Additional Rent under this Lease without affecting or reducing any obligations of Tenant hereunder. 
  
 SECTION 20 
 EXPANSION SPACE

  
 20.1 Expansion Offer Subject to those rights of the
current tenant existing on the date hereof, if space on the second floor of the Building adjacent to the Demised Premises becomes vacant and available for lease during the Lease term (“Available Expansion Space”) Landlord, prior to
offering or leasing such space to any third party, shall provide Tenant with a written notice identifying the size and location of the Available Expansion Space and the date the space is available for occupancy (“Expansion Notice”). The
Available Expansion Space shall be offered by Landlord in its then “as is” condition and broom clean. Landlord shall have no obligation to make any repairs or improvements to the Expansion Space. If Tenant notifies Landlord within twenty
(20) days of receipt of the Expansion Notice that Tenant desires to lease such space, Tenant and Landlord shall amend the Lease to include the Expansion Space under the same terms and conditions as the Lease. Tenant acknowledges that the remaining
space on the second floor of the Building (Suite 250) is currently being leased by an affiliate of Landlord and that any transfer of the Lease of Suite 250 to another entity of which Landlord or DeMattia Development II, LLC, is a member, shall not
constitute a vacancy or new lease and Landlord shall not be required to provide Tenant with an Expansion Notice. 
  
 20.2 Tenant’s Acceptance Notice So long as Tenant is not in default under this Lease and has not on more than one prior occasion been in
default, which default has been cured, Tenant shall have the right to lease the Available Expansion Space by providing Landlord with written notice of acceptance of the terms and conditions contained in the Expansion Notice within five (5) business
days of the Expansion Notice (“Tenant’s Acceptance Notice”) and taking possession of the Available Expansion Space on the date specified in the Expansion Notice. Prior to Tenant taking occupancy of the Available Expansion Space,
Landlord and Tenant shall execute an amendment to this Lease adding the Available Expansion Space to the Demised Premises and otherwise setting forth the lease terms and conditions for the Available Expansion Space. In the event Tenant fails to
provide the Tenant Acceptance Notice, Tenant’s right to such Available Expansion Space or any Expansion Space on the second floor subsequently becoming available shall be deemed waived and any rights under this Section 20 shall terminate. The
rights of Tenant under this Section 20 are personal to Tenant and are not transferable or exercisable by any Transferee. 
  

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 SECTION 21 
 DEFAULT, RE-ENTRY AND DAMAGES 
  
 21.1 Default 
  
 The following shall
constitute a default (“Default”) by Tenant under this Lease: (a) failure to pay any Rent within five (5) days of written notice that it is past due, except that Landlord shall not be required to give written notice more than two (2) times
in a twelve (12) month period, and, after two (2) such written notices, written notice shall no longer be required; (b) failure to maintain the insurance coverage required hereunder; (c) failure to perform any of the terms and conditions under this
Lease, other than the payment of Rent or maintenance of insurance coverage, and such failure remains uncured for thirty (30) days following written notice; (d) Landlord has elected to cure Tenant’s default under Section 22 and Tenant has failed
to pay Landlord the cost and expenses incurred to cure such default within fifteen (15) days after demand; (e) Tenant has attempted to Transfer (as defined in Section 19) the Demised Premises or taken other actions requiring Landlord’s consent,
without receiving such consent; (f) an event of bankruptcy or insolvency in violation of Section 17 has occurred; or (g) Tenant has committed waste, which shall include the failure to pay taxes, hazard insurance premiums and failure to maintain and
repair the Demised Premises or any other obligations hereunder. Notwithstanding anything else contained herein to the contrary, for non-monetary defaults, it shall not be deemed a default if Tenant is diligently proceeding to cure such default, but
has not been able to cure within the thirty (30) day time period; however, this shall not exceed ninety (90) days. 
  
 21.2 Re-Entry and Damages 
  
 In the event of Tenant’s Default, Landlord shall, in addition to all of its other remedies under this Lease, or permitted in law or equity, have the
right to re-enter the Demised Premises, in accordance with applicable law, to remove all persons and property therefrom. Upon such default, Landlord, at its option, may either terminate this Lease, or without terminating this Lease, relet the
Demised Premises or any part thereof on such terms and conditions as Landlord deems advisable in its reasonable discretion. The proceeds of such reletting shall be applied: (a) first, to the payment of any indebtedness due from Tenant to Landlord
other than Rent hereunder, together with the Default Charge as provided for in Section 5.6; (b) second, to the payment of any costs of such reletting (or attempts to relet), including, without limitation, the cost of any reasonable alterations and
repairs to the Demised Premises; brokerage fees and expenses; advertising expenses; inspection fees; free rent and rental concessions; tenant improvement allowances; tenant relocation costs, expenses and allowances; tenant equipment allowances and
other tenant concessions; and attorney’s fees; (c) third, to the payment of Rent due and unpaid hereunder, together with the Delinquency Charge as provided for in Section 5.5; (d) fourth, to any other damages, costs and expenses incurred by
Landlord as a result of Tenant’s breach; and (e) the remaining balance of such proceeds, if any (“Net Reletting Proceeds”), shall be held by Landlord and applied in payment of future Rent as the same may become due and payable
hereunder. Should the Net Reletting Proceeds during any month be less than the Monthly Installment of Base Rent or Additional Rent required hereunder, then Tenant shall during such month pay such deficiency to Landlord upon demand. No re-entry or
taking 

  

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possession of the Demised Premises by Landlord shall be construed as an election on its part to terminate this Lease. In the event Landlord elects to
terminate this Lease, then Tenant shall remain liable to Landlord for all Rent and other obligations of Tenant under this Lease and damages incurred by Landlord as a result of Tenant’s default. Landlord shall be required to mitigate damages in
accordance with Wisconsin law. 
  
 21.3 Waiver of Landlord’s
Liability 
  
 Whether or not Landlord terminates the
Lease because of Tenant’s default, provided Landlord has attempted in good faith to relet, Landlord shall have no liability or responsibility in any way whatsoever for its failure to relet the Demised Premises or, in the event of reletting, for
failure to collect rent or other payments under such reletting. Tenant acknowledges and agrees that Landlord shall have no obligation to lease or attempt to lease the Demised Premises (a) prior to the leasing of any other vacant space or premises
within the Building (whether offered for lease by Landlord or any tenant within the Building), (b) to a potential tenant which does not satisfy Landlord’s criteria for a creditworthy tenant, (c) to a potential tenant whose business or business
related activities may violate or conflict with any restricted uses contained in leases with other tenants in the Building, (d) to a potential tenant whose business or business related activities are not compatible or consistent with the nature and
character of the other tenants in the Building as solely determined by Landlord, or (e) to a potential tenant which may have an adverse impact upon the first-class, high-grade manner in which the Building is operated or with the high reputation of
the Building as solely determined by Landlord. The failure of Landlord to relet the Demised Premises or any part thereof shall not release or affect Tenant’s liability for rent or damages. 
  
 21.4 Rights Cumulative 
  
 All the rights and remedies of Landlord or Tenant hereunder shall be
cumulative and in addition to all other rights and remedies allowed by law or equity and may be exercised separately or jointly without constituting an election of remedies. 
  
 21.5 Waiver of Jury Trial and Counterclaim 
  
 In the event Landlord commences any proceedings for nonpayment of Rent or any other amount payable to Landlord by Tenant,
Tenant shall not interpose any counterclaim of whatever nature or description in any such proceeding. This shall not, however, be construed as a waiver of Tenant’s right to assert such a claim in any separate action brought by Tenant. Landlord
and Tenant waive trial by jury in any action or proceeding brought by either party on any matter whatsoever arising out of or in any way connected with this Lease, the relationship of lessor and lessee, Tenant’s use or occupancy of the Demised
Premises, or any claim of injury or damage. 
  
 21.6 Non-Liability

  
 Landlord shall not be responsible or liable to Tenant for
any loss or damage that may be occasioned by or through the acts or omissions of persons occupying adjoining premises or any part of the premises adjacent to or connected with the Demised Premises or any part of the Building or for any loss or
damage resulting to Tenant or its property from burst, stopped or 

  

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leaking water, gas, sewer or steam pipes, or for any damage or loss of property within the Demised Premises from any cause whatsoever, and no such occurrence
shall be deemed to be an actual or constructive eviction from the Demised Premises or result in an abatement of rental. 
  
 21.7 Landlord’s Default 
  
 If Landlord shall default in any of its obligations hereunder, Tenant shall give Landlord written notice of such default and Landlord shall have thirty
(30) days to cure such default, unless Landlord is diligently proceeding, then Landlord shall have the appropriate amount of time to cure such default as necessary, not to exceed ninety (90) days. If Landlord fails to cure such default within such
period, Tenant may, upon additional written notice to Landlord, perform Landlord’s obligation and Landlord shall have the obligation to reimburse Tenant for Tenant’s out-of-pocket costs in performing such work. 
  
 SECTION 22 
 LANDLORD’S RIGHTS TO CURE DEFAULTS 
  
 If Tenant defaults in the performance of any provision of this Lease, Landlord shall have the right (but not the obligation) in addition to any and other
rights and remedies in the event of default, to cure such default for the account of Tenant, without prior notice to or demand upon Tenant and without waiving or releasing Tenant from any obligations of Tenant under the Lease, and Tenant shall, upon
receipt of notice thereof and demand for payment from Landlord, pay any payment or expenditure made by Landlord with the next Monthly Installment of Base Rent, together with the Default Charge as defined in Section 5.6. 
  
 SECTION 23 
 SECURITY INTEREST 
  
 23.1 Grant of Security Interest 
  
 Tenant, for the purpose of securing payment of all sums for which Tenant may now be or may at any time hereafter become indebted to Landlord under this Lease and for the purpose of securing performance of Tenant’s obligations to
Landlord under this Lease, grants to Landlord a security interest in the following property attached to, located within or used for the Demised Premises (“Collateral”): (a) all fixtures and goods, including all machinery, equipment, tools,
dies, jigs, appliances, trucks, motor vehicles and office, store, and factory furniture and leasehold improvements to the Demised Premises now owned or held or hereafter acquired by Tenant and, without permitting a sale by Tenant, the proceeds
thereof; and (b) all goods hereafter added to, or affixed to, or acquired in replacement of, or used in connection with, said above described goods and without permitting a sale by Tenant, the proceeds thereof; and (c) all inventory of goods held
for sale or lease or to be furnished under contracts of service, including raw materials, work in process and finished products, now owned or held or hereafter acquired by Tenant, and the proceeds thereof; and (e) all policies of insurance
pertaining to the Collateral now or hereafter owned or held by Tenant, the proceeds thereof and the unearned premiums pertaining to such policies. At the request of Landlord, Tenant shall join with Landlord in executing one or more financing
statements, pursuant to the applicable Uniform Commercial Code, in a form 

  

 32 

 
satisfactory to Landlord, and shall pay the cost of filing the same or filing or recording this Lease in all public offices wherever filing or recording is
deemed by Landlord to be necessary or desirable. 
  
 23.2 Subordination

  
 The security interest granted pursuant to Section 23.1
hereof shall be subordinate and inferior to all security interests in the Collateral or any portion thereof granted by Tenant to any bank, savings and loan association or finance company prior to the date of this Lease, which security interests are
duly perfected prior to the date hereof. Landlord shall execute such agreement confirming this subordination which is mutually acceptable to Landlord and the secured party. 
  
 23.3 Remedies 
  
 In the event of default by Tenant under this Lease or at any time thereafter (such default not having previously been cured) Landlord shall have the
remedies of a secured party under the Uniform Commercial Code, including, without limitation, the right to take possession of the Collateral by any lawful means, without notice, and for that purpose Landlord may enter upon any premises on which the
Collateral or any part thereof may be situated and hold the Collateral upon said premises (without charge to Landlord), or remove the same to such other place or places as Landlord shall determine. Upon demand by Landlord, Tenant shall assemble the
Collateral and make it available to Landlord at a place to be designated by Landlord which is reasonably convenient to both parties. Any requirement of notice under the Uniform Commercial Code shall be met if such notice is mailed, postage prepaid,
to the address of Tenant shown at the beginning of this Lease at least five (5) days before the event with respect to which notice is required. Landlord shall be entitled to recover its reasonable attorneys’ fees and expenses incurred in
protecting and enforcing its rights and remedies with respect to the Collateral. Tenant recognizes that in the event of default no remedy at law will provide adequate relief to Landlord; therefore, Tenant agrees that Landlord shall be entitled to
temporary and permanent injunctive relief in any such case without proving actual damages. Landlord shall have no duty to protect, insure or realize upon the Collateral. In the event of any default by Tenant, Landlord, in addition to the exercise of
all rights and remedies available to Landlord by law, shall be entitled to enforce its rights hereunder and to avail itself of other security interests granted by Tenant to Landlord and assets of Tenant, simultaneously or successively, in such order
as Landlord shall determine, and all such security interests, rights and remedies shall continue in full force and effect until all indebtedness of Tenant to Landlord is paid in full. 
  
 SECTION 24 
 QUIET ENJOYMENT 
  
 Landlord covenants that
so long as Tenant is not in default in the terms and conditions of this Lease, Tenant may peacefully and quietly hold and enjoy the Demised Premises for the Lease Term without interference by Landlord or any person claiming by, through or under
Landlord. 
  

 33 

 SECTION 25 
 HOLDING OVER 
  
 In
the event of Tenant holding over after the expiration of the Term of this Lease, then the tenancy shall continue from month to month in the absence of a written agreement to the contrary, subject to all the terms and provisions hereof, except the
Monthly Installment of Base Rent shall be equal to one hundred fifty (150%) percent of the Monthly Installment of Base Rent due in the last full month of the Lease Term and Landlord shall be entitled to damages for all such illegal occupancy,
together with all other rights and remedies permitted under this Lease or available at law. No holding over by Tenant shall establish any right or option of extension or renewal of this Lease. 
  
 SECTION 26 
 CUMULATIVE REMEDIES AND WAIVER 
  
 26.1 Cumulative Remedies 
  
 Each and every right, remedy and benefit provided by this Lease to Landlord shall be cumulative and shall not be exclusive of any other right, remedy or benefit allowed by law. These remedies may be exercised jointly or severally without
constituting an election of remedies. 
  
 26.2 Waiver 
  
 One or more waivers by Landlord or Tenant of any term and condition
hereunder or default hereunder shall not be construed as a waiver of such term and condition or default in the future or any subsequent default for the same cause. Any consent or approval given by Landlord or Tenant requiring such consent or
approval shall not constitute consent or approval to any subsequent similar act. The prevailing party shall pay all attorneys’ fees and expenses in enforcing any of the obligations under this Lease. 
  
 No payment by Tenant or receipt by Landlord of a lesser amount than the
Monthly Installment of Base Rent shall be deemed to be other than on account of the earliest stipulated Rent, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as Rent be deemed an accord and
satisfaction, and Landlord shall accept such check or payment without prejudice to Landlord’s right to recover the balance of such Rent or pursue any other remedy in this Lease provided. 
  
 SECTION 27 
 RELOCATION 
  
 Landlord may, at its election, relocate Tenant to other comparable space in the Building upon not less than thirty (30) days prior written notice to Tenant. Landlord shall pay the reasonable costs of moving Tenant to
the new space, including all physical relocation expenses, the removal and installation of all computer systems, network systems, office furniture, supplies and artwork, and the reasonable and necessary production of new letterhead, business cards,

  

 34 

 
envelopes, and other material necessitated by the move. If Tenant does not wish to accept such relocation, Tenant may object thereto by written notice to
Landlord within ten (10) days after the notice from Landlord. In the event Tenant so objects, Landlord may rescind the notice of intention to relocate Tenant, or may reaffirm such intention, in which latter event Tenant may terminate this Lease by
notice to Landlord within ten (10) days after notice of Landlord’s reaffirmation and, in that event, Tenant shall vacate within thirty (30) days thereafter. 
  
 SECTION 28 
 DEFINITION OF LANDLORD, LANDLORD’S LIABILITY 
  
 28.1 Definition of Landlord 
  
 The term
“Landlord” as used in this Lease so far as covenants or obligations of Landlord are concerned shall be limited to mean and include only the owner or owners at the time in question of the fee of the Demised Premises. In the event of any
transfer or transfers of the title to such fee, Landlord herein named (and in case of any subsequent transfers or conveyances, the successor landlord) shall be automatically released from all personal liability for the performance of any covenants
or obligations of Landlord contained in this Lease after the date of such transfer or conveyance. Any Security Deposit or other Tenant funds held by such Landlord at the time of such transfer or conveyance shall be turned over to the transferee and
any amount then due and payable to Tenant by Landlord under this Lease shall be paid to Tenant. It is the intent of this Section that Landlord’s covenants and obligations under this Lease shall be binding on Landlord, its successors and
assigns, only during and in respect of their respective successive periods of ownership. 
  
 28.2 No Abatement or Setoff 
  
 Tenant acknowledges that the obligations of Landlord and Tenant, respectively, under this Lease are independent covenants. If Landlord fails to perform any obligation of Landlord under this Lease, Tenant shall have no
right to: (a) abate or withhold any Rent or any other charges or sums payable by Tenant under this Lease, (b) any right of setoff, (c) terminate this Lease, except as may be allowed pursuant to Wisconsin law or (d) avail itself of self-help, except
as specifically provided in Section 21.7 of this Lease. 
  
 28.3 Limitation
of Liability 
  
 If Landlord shall fail to perform any
covenant, term or condition of this Lease upon Landlord’s part to be performed, and if as a consequence of such default Tenant shall recover a money judgment against Landlord, such judgment shall be satisfied only out of Landlord’s
interest in the Building and real estate of which the Building is a part, and Landlord, its owners, partners, members, officers, employees, agents, representatives, successors and assigns, shall not be liable for any deficiency. 
  

 35 

 SECTION 29 
 WASTE 
  
 Tenant
shall not commit or suffer to be committed any waste upon the Demised Premises or any nuisance or other act or thing which may disturb the quiet enjoyment of any other tenant in the Building. Tenant shall not use or permit to be used, any medium
that might constitute a nuisance, such as loud speakers, sound amplifiers, phonographs, radios, televisions, or any other sound producing device which will carry sound outside the Demised Premises. 
  
 SECTION 30 
 TENANT’S FINANCIAL INFORMATION 
  
 Tenant warrants and represents to the Landlord that any and all financial statements or other financial information delivered to the Landlord are true and
correct in all material respects as of the date of such statements or information and to the extent that such statements or information are not correct, the Tenant represents that there has been no material adverse change in the financial condition
of the Tenant since the date of such statements or information to the date of this Lease. Tenant acknowledges that in executing this Lease, the Landlord has relied upon such financial statements and information. During the Lease Term, Tenant shall
provide Landlord financial reports or statements prepared consistent with generally accepted accounting principles, audited by a nationally recognized accounting firm and verified as true, complete, accurate and by the chief financial officer of
Tenant (“Audited Financial Statements”). Tenant shall provide Landlord with its Audited Financial Statements annually or at such other times as requested by Landlord. Landlord shall keep such information confidential, except it may provide
such information to potential mortgagees or purchasers. 
  
 SECTION 31 
 SIGNS 
  
 Tenant will not place or cause to be placed or maintained any sign or advertising matter of any kind anywhere within the Building, except in the interior
of the Demised Premises, without Landlord’s prior written approval. No illuminated signs located in the interior of the Demised Premises and which are visible from the outside shall advertise any product. All signs located in the interior of
the Demised Premises shall be in good taste so as not to detract from the general appearance of the Demised Premises and the Building. Tenant further agrees to maintain in good condition and repair at all times any such sign or advertising matter of
any kind which has been approved by Landlord for use by Tenant. 
  
 SECTION 32 
 SECURITY DEPOSIT 
  
 The Landlord herewith acknowledges receipt of the Security Deposit in the amount stated in Section 1 hereof, which it is to
retain as security for the faithful performance of all covenants, conditions and agreements of this Lease. Landlord shall have the right (but not the obligation) to apply the Security Deposit upon Rent or other obligations in arrears or upon damages
for the Tenant’s failure to perform the said covenants, conditions and agreements. Any such application by Landlord shall be credited to such obligations of Tenant, but shall not constitute a cure of Tenant’s Default barring Landlord from
pursuing any other remedies available under this Lease 

  

 36 

 
or at law. Upon such application of the Security Deposit, Tenant shall be obligated to replace such amounts so applied within ten (10) days after demand
therefor by Landlord and, upon Landlord’s request, increase the amount of such Security Deposit to an amount not greater than two hundred fifty (250%) percent of the original amount of the Security Deposit. Landlord’s right to the
possession of the Demised Premises for non-payment of Rent or for any other reason shall not in any event be affected by reason of the fact that the Landlord holds or applies this Security Deposit. Upon the expiration of the Lease Term, surrender of
possession of the Demised Premises by Tenant and Tenant’s full and complete performance of all the terms and conditions of this Lease, the Security Deposit shall be returned to the Tenant without interest. Landlord shall have the right to apply
such Security Deposit to any liquidated damages calculated pursuant to Section 21.2 and any undisbursed portion of the Security Deposit may be retained by Landlord and applied to any obligations of Tenant or damages incurred by reason of
Tenant’s subsequent Default or breach. The Landlord shall not be obliged to keep the Security Deposit as a separate fund or pay interest thereon but may commingle the Security Deposit with its own funds. 
  
 SECTION 33 
 MISCELLANEOUS 
  
 33.1 Condition of Demised Premises 
  
 Tenant is fully familiar with the physical conditions of the Demised Premises and Landlord has made no representations of whatever nature in connection with the condition of the Demised Premises, except for Landlord’s Improvements to
be constructed pursuant to Section 3 of this Lease. 
  
 33.2 Independent
Covenants 
  
 The obligations of Landlord and Tenant,
respectively, under this Lease are expressly agreed by the parties to be independent covenants. If Landlord fails to perform any obligation under this Lease required to be performed by Landlord, Tenant shall have no right to: (i) terminate this
Lease, except as may be allowed pursuant to Wisconsin law; (ii) avail itself of self-help or to perform any obligation of Landlord, except as specifically provided in Section 21.7 of this Lease; (iii) abate or withhold rent or any other charges or
sums payable by Tenant under this Lease; or (iv) exercise any right of setoff. 
  
 33.3 Authority 
  
 Tenant represents and
warrants that Tenant has the full power and authority to execute this Lease, Subordination Agreement, Estoppel Certificates and perform its obligations under this Lease and each person executing this Lease, Subordination Agreement, Estoppel
Certificate and any other documents or agreements delivered in connection with this Lease has due power and authority to so act and bind Tenant. Landlord represents and warrants that Landlord has the full power and authority to execute this Lease
and perform its obligations under this Lease and each person executing this Lease and any other documents or agreements delivered in connection with this Lease has due power and authority to so act and bind Landlord. 
  

 37 

 33.4 Entire Agreement 
  
 This Lease and exhibits attached hereto and forming a part hereof, set forth all of the covenants, agreements, stipulations,
promises, conditions, understandings and representations, hereinafter collectively “Representations” between Landlord and Tenant concerning the Demised Premises and the buildings and improvements to be constructed thereon. Landlord and
Tenant agree that there are no Representations other than set forth herein and agree to make no claims against each other based upon Representations not set forth herein. 
  
 33.5 Modification 
  
 This Lease shall not be modified or amended unless by a writing signed by Landlord and Tenant. 
  
 33.6 Joint Venture, Mortgage 
  
 Nothing contained herein shall be deemed or construed by the parties hereto,
nor by any third party, as creating the relationship of mortgagor and mortgagee, principal and agent or of partnership or of joint venture between the parties hereto, it being understood and agreed that neither the method of computation of Rent, nor
any other provision contained herein, nor any acts of the parties herein, shall be deemed to create any relationship between the parties hereto other than the relationship of lessor and lessee. 
  
 33.7 Notices 
  
 Except as specifically provided otherwise in this Lease, any notices or demands required under this Lease shall be in
writing addressed to the party at the address set forth herein or such changed address provided in writing by such party and served as follows: (a) by personal service with service being effective upon delivery, or (b) by certified mail, return
receipt requested, with service being effective two (2) days after mailing, or (c) by telecopy, facsimile or other form of telecommunication, with service being effective upon the date of transmission with reasonable evidence that the transmission
was received, or (d) by recognized overnight courier service, with service being effective one (1) day after delivery to such courier service. 
  
 33.8 Survival 
  
 Any obligation of Tenant or Landlord under this Lease which is not performed in full prior to the termination of this Lease shall survive the termination
of this Lease and continue in full force and effect until performed in full. 
  
 33.9 Gender 
  
 Whenever the singular is
used herein, the same shall include the plural and the masculine, feminine and neuter genders. 
  

 38 

 33.10 Captions and Section Numbers 
  
 The captions, section numbers, article numbers, and index appearing in this Lease are inserted only as a matter of
convenience and in no way define, limit, construe, or describe the scope or intent of such sections or articles of this Lease nor in any way affect this Lease. 
  

33.11 Broker’s Commission 
  
 Except for the Broker identified in Section 1, Tenant represents and warrants unto the Landlord that there are no claims for brokerage commissions or
finder’s fees in connection with this Lease, and Tenant agrees to indemnify, defend and hold Landlord harmless from all liabilities arising from any such claim arising from an alleged agreement or act by Tenant, including, without limitation,
the cost of counsel fees in connection therewith. Except for the Broker identified in Section 1 whose commission shall be paid by Landlord, Landlord represents and warrants to Tenant that there are no claims for brokerage commissions or finders fees
in connection with this Lease, and Landlord agrees to indemnify, defend and hold Tenant harmless from any and all liabilities and claims arising from our asserted in connection with any alleged agreement or act by Landlord, including, without
limitation, the cost of attorneys fees in connection therewith. 
  
 33.12
Rules and Regulations 
  
 Tenant agrees to comply with
and observe all reasonable rules and regulations established by Landlord from time to time. Tenant’s failure to keep and observe said rules and regulations shall constitute a breach of this Lease in the manner as if the same were contained
herein as covenants. 
  
 33.13 Recording 
  
 Tenant shall not record this Lease or any memorandum thereof without the
prior written consent of Landlord. 
  
 33.14 Execution of Lease

  
 The submission of this Lease for examination does not
constitute a reservation of, or option for, the Demised Premises, and this Lease shall become effective as a lease only upon execution and delivery thereof by Landlord and Tenant. 
  
 33.15 Construction 
  
 This Lease shall be construed and enforced in accordance with the laws of the State of Wisconsin. If any provision of this Lease, or the application
thereof to any person or circumstances, shall, to any extent be invalid or unenforceable, the remaining provisions of this Lease shall not be affected thereby and shall be valid and enforceable. 
  
 33.16 Binding Effect 
  
 This Lease shall be binding upon and inure to the benefit of the parties
hereto and their respective heirs, legal representatives, successors, assigns and permitted transferees. 
  

 39 

 33.17 Legal Fees 
  

In the event any party commences litigation, arbitration or other action to enforce such party’s rights or the other party’s obligations
under this Lease, the Prevailing Party shall be entitled to recover reasonable attorneys fees, witness fees, expert fees, paralegal expenses, litigation costs and other costs and expenses in connection therewith. Prevailing Party shall mean the
party who obtains an order of enforcement, similar remedy or a judgment or award against the other party or dismissal or similar relief against the other party’s claim or, in the event of a counterclaim or crossclaim, a judgment which exceeds
any claim, counterclaim, judgment or award of the other party. 
  
 33.18
Joint Drafting 
  
 Landlord and Tenant acknowledge and
agree that each has joined in and contributed to the drafting of this Lease and as a result there shall be no presumption in construing the provisions of this Lease favoring or burdening either Landlord or Tenant based upon draftsmanship or similar
rule of construction. 
  
 33.19 Counterparts 
  
 This Lease may be executed in any number of separate counterparts, each of
which, when executed and delivered, shall be an original, but such counterparts shall together constitute one and the same document. 
  
 IN WITNESS WHEREOF, Landlord and Tenant have executed this Lease on the day and year first above written. 
  

											
	IN THE PRESENCE OF:	 	 	 	 	 	LANDLORD:
				
	 	 	 	 	 	 	 Demco Wisconsin 5, LLC,
 a Michigan limited liability company

						
	 	 	 	 	 	 	 	 	 By: 
	 	 DeMattia Group Wisconsin, LLC
 a Michigan limited liability company

	 	 	 	 	 	 	 	 	 Its: 
	 	 Managing Member

				
	 /s/ LAITH M. HERMIZ
	 	 	 	 By: 
	 	 /s/ GARY D. ROBERTS

	 Laith M. Hermiz
	 	 	 	 	 	 Gary D. Roberts

	 	 	 	 	 	 	 Its: Executive Vice President

				
	 	 	 	 	 	 	TENANT:
				
	 	 	 	 	 	 	 Nighthawk Radiology Services,
 a ___________________________________________

	 /s/ JULIE ADAMCZEWSKI
	 	 	 	 	 	 
	 Julie Adamczewski
	 	 	 	 	 	 By: 
	 	 /s/ CHRISTOPHER HUBER

	 	 	 	 	 	 	 	 	 Christopher Huber

	 	 	 	 	 	 	 	 	 Its: Vice President

  

 40 

 EXHIBIT A 
  

Legal Description of Demised Premises 
  
 The southerly 1/2 of Lot 5, in Block 32, in Plat of the Town of Milwaukee on the East Side of the River in the Southeast 1/4 of Section 29, Township 7
North, Range 22 East, in the City of Milwaukee, Milwaukee County, Wisconsin, being so much of Lot 5 as lies South of a line drawn through and parallel with and equi-distant from the North and South lines thereof. 
  
 ALSO the Southerly 6 feet and 8 inches of the Northerly 1/2 of Lot 5, in
Block 32, in Plat of the Town of Milwaukee on the East Side of the River in the Southeast 1/4 of Section 29, Township 7 North, Range 22 East, in the City of Milwaukee, Milwaukee County, Wisconsin, bounded and described as follows: 
  
 Commencing in the East line of said Lot equi-distant from the Northeast and
Southeast corner of same; thence West on a line parallel with the North line of said Lot to the intersection with its West line; thence North along said West line, 6 feet, 8 inches to a point; thence East on a line parallel with said North line to
the intersection with the East line of said Lot; thence South on said East line, 6 feet, 8 inches to the place of beginning. 
  
 Tax Key No. 392-0952-5 
  
 ADDRESS: 223 N. Water Street 
  

 EXHIBIT B 
  

Site Plan 
  

 EXHIBIT C 
  

Floor Plan of Demised Premises 
  

 EXHIBIT D 
  

Landlord’s Improvements 
  
 Tenant shall accept the Demised Premises in its “as is” condition, except Landlord shall, at Landlord’s sole cost and expense: 
  

	 	1)	Remove the wall between the kitchen and the adjacent office and refinish and restore walls affected by such removal; 

  

	 	2)	Apply new paint to walls where required pursuant to Exhibit D-1; 

  

	 	3)	Provide suite in clean condition; 

  

	 	4)	Install one (1) refrigerator and one (1) microwave. 

  

 

 
  

 EXHIBIT E 
  

Building Rules and Regulations 
  

	1.	The sidewalks, entrances, passages, courts, elevators, vestibules, stairways, corridors, or halls, shall not be obstructed or encumbered by any Tenant or used for any purpose other
than ingress or egress to and from the Demised Premises. 

  

	2.	No sign, picture, lettering, notice or advertisement of any kind shall be painted or displayed on or from the windows, doors, roof, or outside walls of the structure in which the
Demised Premises are located. In the event of the violation of the foregoing by any Tenant, Landlord may remove same without any liability and may charge the expense incurred for such removal to the Tenant. 

  

	3.	Landlord shall, upon 24 hours’ advance notice, have the right to enter upon the Demised Premises during Tenant’s normal business hours for the purpose of inspecting the
same. 

  

	4.	Landlord shall, upon 24 hours’ advance notice, have the right to enter the Demised Premises at hours convenient to Tenant for the purpose of exhibiting the same to prospective
tenants. 

  

	5.	No curtains, blinds, shades, screens, awnings, or other projections shall be attached to or hung in, or used in connection with any window or door of the Demised Premises or outside
wall of the building, other than the building standard window blinds, unless consented to by Landlord in writing. 

  

	6.	Any carpeting cemented down shall be installed with a releasable adhesive. 

  

	7.	The water and wash closets and other plumbing fixtures shall not be used for any purpose other than those for which they were constructed and no sweepings, rubbish, rags, or other
substances shall be thrown therein. All damages resulting from any misuse of the fixtures shall be borne by the Tenant who, or whose servants, employees, agents, visitors, licensees or invitees, shall have caused the same. No person shall waste
water by interfering or tampering with the faucets or otherwise. 

  

	8.	No electric current shall be used by Tenant except that furnished or approved by Landlord. No electric or other wires for any purpose shall be brought into the Demised Premises
without Landlord’s written permission specifying the manner in which same may be done. 

  

	9.	Except with the prior written consent of Landlord, no Tenant shall paint, drill into, or in any way deface any part of the Demised Premises or the structure of which they form a
part. No boring, cutting or stringing of wires shall be permitted. 

  

	10.	No hazardous articles shall be brought into or kept in the building at any time. 

  

 2 

	11.	No bicycle or other vehicle, no dog, bird or other animal shall be brought in offices, halls, corridors, or elsewhere in the building by Tenant, its servants, employees, agents,
visitors, licensees or invitees. 

  

	12.	Tenant shall not cause or permit unusual or objectionable odors to be produced upon or permeate from the Demised Premises, including duplicating or printing equipment or data
processing equipment emitting noxious fumes. Tenant shall not disturb any occupants of this or neighboring structures or premises by the use of any musical instruments, radio, television, loudspeaker, or by any unseemly or disturbing noise.

  

	13.	No Tenant shall throw anything out of the doors, windows, or down any passageways or elevator shafts. No area outside of the Demised Premises shall be used for storage at any time.

  

	14.	All loading, unloading, receiving or delivery of goods, supplies or disposal of garbage or refuse shall be made only through entryways provided for such purposes and indicated by
Landlord. 

  

	15.	Tenant is not permitted to use any part of the structures in, including but not limited to, common areas for any manufacturing, storage or sale or merchandise, or property of any
kind, or for lodging or sleeping, gambling or for any immoral or illegal purpose. No intoxicating beverages shall be sold in the Demised Premises or the structure of which the Demised Premises are a part. 

  

	16.	All safes, office furniture, equipment or other heavy articles shall be carried in or out of the Demised Premises only at such times and in such manner as shall be prescribed in
writing by Landlord. Landlord shall in all cases have the right to specify the proper location of any such safe, equipment or other heavy article within the Demised Premises and which shall only be used by Tenant in a manner which will not interfere
with or cause damage to the Demised Premises or the structure in which the Demised Premises are located, or to the other tenants or occupants of said structure. Tenant shall be responsible for any damage to the Demised Premises or the building in
which the Demised Premises are contained or the property of its tenants or others and injuries sustained by any person whomsoever resulting from the use or moving of articles, in or out of the Demised Premises, and Tenant shall pay for and make all
repairs in connection with the use or moving of such articles. If approved by Landlord, all repairs or improvements by Tenant shall be made only at such times and in such manner as shall be prescribed by Landlord. 

  

	17.	Tenant shall not install or operate any steam or gas engine or boiler or carry on any mechanical business in the Demised Premises, or use oil, burning fluids, camphene or gasoline
for heating or lighting, or for any other purpose. No article deemed hazardous on account of fire or any other dangerous properties, or any explosive, shall be brought into the Demised Premises. 

  

 3 

	18.	Landlord will furnish Tenant with two keys for each lock on the doors of the Demised Premises. No additional locks or bolts of any kind shall be placed upon any of the doors by
Tenant, nor shall any changes be made in existing locks or the mechanism thereof, without the prior written consent of Landlord. Each Tenant must, upon the termination of its tenancy, restore to the Landlord all keys. 

  

	19.	Landlord shall have the right to prohibit any advertising by Tenant, which in Landlord’s opinion tends to impair the reputation of the building or its desirability as a
building for offices, and upon written notice from Landlord, Tenant shall refrain from or discontinue such advertising. 

  

	20.	The Landlord reserves the right to exclude from the building between the hours of 7 p.m. and 8 a.m., Monday through Friday, after 1 p.m. on Saturday, and at all hours on Sundays and
legal holidays all persons who do not present a security access card or demonstrate other appropriate reason to be in the building. The Landlord will furnish security codes to persons for whom Tenant requests such pass and Tenant shall be liable to
the Landlord for all acts of such persons. Security cards will be re-issued as needed, at Tenant’s sole cost and expense. 

  

	21.	Canvassing, soliciting, or peddling in or about the Demised Premises or the building in which the Demised Premises are contained is prohibited and each Tenant shall cooperate to
prevent the same. 

  

	22.	Vending machines will not be permitted to be installed by anyone but the Landlord. If Landlord permits the installation of other vending machines, they will be installed by the same
company that the Landlord has under contract and under the same terms and conditions of said contract between the Landlord and the vending machine company. 

  

	23.	Wherever the word “Tenant” occurs, it is understood and agreed that it shall mean Tenant’s associates, agents, clerks, servants, invitees and visitors. Wherever the
word “Landlord” occurs, it is understood and agreed that is shall mean Landlord’s assigns, agents, clerks, servants, invitees and visitors. 

  

	24.	Tenant shall not waste electricity or air conditioning. 

  

	25.	Landlord reserves the right at any time, and from time to time, to rescind, alter or waive, in whole or in part, any of these Rules and Regulations when it is deemed necessary,
desirable, or proper, in Landlord’s judgment, for its best interest or the best interests of the tenants in the Building. 

  

	26.	No Tenant shall place or permit to be placed, on any part of the floor or floors of the space demised to such Tenant a load exceeding the floor load per square foot which such floor
was designed to carry and which is allowed by law. 

  

 4 

	27.	Additional security or janitorial service required by a Tenant will be contracted through the Landlord using the same company that Landlord has under contract to provide the
service. Tenant shall not employ or contract with any person to do cleaning or perform janitorial services in the Demised Premises without prior written consent from Landlord. 

  

	28.	Tenant assumes responsibility for protecting the Demised Premises from theft, robbery and pilferage. Tenant shall be responsible for locking all doors. 

  

	29.	Tenant shall not place objects against glass partitions or doors or windows which would be unsightly from the Demised Premises’ corridor, or from the exterior of the Demised
Premises, and will promptly remove same upon notice from Landlord. 

  

	30.	No Tenant shall place on the outside of its Demised Premises or in the hall, corridor, window or any other common area, any sign except a sign that has had the prior written
approval by the Landlord. Only signs that set forth the name of the company or business operating in the Demised Premises and the suite number, consistent with the building standard signage which presently exists and placed in the building and lobby
by the landlord shall be approved. 

  

	31.	Smoking is prohibited in the Demised Premises and the Building, including all elevator(s), hallways, corridors, stairs, lobbies and other common areas of the building.

  

 5 

 EXHIBIT F 
  

SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT 
  
 This Subordination, Nondisturbance and Attornment Agreement (the “Agreement”) is made and entered into as
of the      day of                     , 20    , by and among Nighthawk Radiology
Services, a                                  (hereafter referred to as
“Tenant”) whose address is 250 Northwest Boulevard, Suite 202, Coeur D’Alene, Idaho 83814, Demco Wisconsin 5, L.L.C., a Michigan limited liability company (hereafter referred to as “Landlord” or “Borrower”)
whose address is 45501 Helm Street, Plymouth, Michigan 48170, and
                                    *, a
                                 (hereafter referred to as “Lender”)
whose address is
                                        
             
  
 WHEREAS, Lender has made a loan (the “Loan”) to Borrower evidenced by a note (the “Note”) secured by a Mortgage, Security Agreement and Fixture Filing (the “Mortgage”), dated
                     which will be recorded in the records of the Register of Deeds of
                    County, Wisconsin, constituting a first lien upon the land described in Exhibit A attached hereto and made a part hereof
and the improvements thereon, as well as all of Landlord’s right, title interest, estate and claim now owned or hereafter acquired in, to or relating to the items described in (i) through (xii) in the recitals of the Mortgage (collectively the
“Property”); and 
  
 WHEREAS, Landlord and Tenant
have entered into a certain lease dated                     , which lease provides for the direct payment of rents from Tenant to Landlord for
the use and occupancy of the building located on the Property in the City/Township of                     ,
                     County, Wisconsin (the “Premises”) by Tenant, as more fully set forth in the lease (hereafter the lease and all
present and future amendments and modifications thereto, and extensions thereof, shall be referred to as the “Lease”); and 
  
 WHEREAS, Lender wishes to obtain from Tenant certain assurances that Tenant will attorn to the Purchaser at a foreclosure sale in the event of a
foreclosure or to the holder of the Note and Mortgage in the event of such holder’s exercise of its rights under the Note and Mortgage; and 
  
 WHEREAS, Tenant wishes to obtain from Lender certain assurances that so long as Tenant is not in Default of Tenant’s obligations to Landlord
under the Lease, that Tenant shall 

  

 
not be disturbed in its peaceful possession of the Premises as a result of actions taken by Lender pursuant to its rights under the Mortgage; and 

 
 WHEREAS, Tenant and Lender are both willing to provide such
assurances to each other upon and subject to the terms and conditions of this Agreement. 
  
 NOW, THEREFORE, in consideration of the above, the mutual promises hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties
hereto mutually agree as follows: 
  
 1. Subordination and
Attornment. The Lease and all of the rights of Tenant thereunder shall be and are hereby declared to be and at all times hereafter shall be and remain subject and subordinate in all respects to the lien of the Mortgage and to all renewals,
modifications, consolidations, replacements and extensions thereof and all of the rights of the Lender thereunder and all other documents securing the Note. Notwithstanding such subordination, Tenant hereby agrees that the Lease shall not terminate
in the event of a foreclosure of the Mortgage, whether judicial or nonjudicial or any other proceedings brought to enforce the Mortgage or by deed in lieu of foreclosure and Tenant further agrees to attorn to and to recognize Lender (as mortgagee in
possession or otherwise), or the purchaser at such foreclosure sale, as Tenant’s landlord for the balance of the term of the Lease, in accordance with the terms and provisions thereof, but subject, nevertheless, to the provisions of this
Agreement, which Agreement shall be controlling in the event of any conflict. 
  
 2. Estoppel. Landlord and Tenant hereby agree that the Lease is valid, enforceable and in full force and effect, that as of the date hereof there are no Defaults by Landlord or Tenant, that there are no
set offs or counterclaims by Tenant to the payment of rent due under the Lease, that all conditions to the effectiveness or continuing effectiveness of the Lease required to be satisfied as of the date hereof have been satisfied, that the Lease has
not been modified or amended, except as set forth below: 
  
 and that the Lease is
a complete statement of the agreement of Tenant and Landlord with respect to the Premises. 
  
 3. Tenant’s Representations and Warranties. Tenant hereby represents and warrants to Lender that it has not subordinated the Lease or any of its rights thereunder to any lien or mortgage other than
the Mortgage and that it will not subordinate the Lease or its rights thereunder to any lien or mortgage without the prior written consent of Lender. 
  
 4. Lender’s Notice and Cure Rights. Tenant agrees with Lender that, from and after the date hereof until payment in full of the
indebtedness under the Note, Tenant will not terminate the Lease nor discontinue or abate the rent as a result of a default by Landlord under the Lease, without first giving the Lender written notice and an opportunity, at Lender’s option, to
cure such default for a period of forty (40) days from such written notice; provided, however, if the default is of such a nature that it cannot be cured with due diligence within such forty (40) day period, Lender shall have such reasonable time as
is necessary to cure such default provided 

  

 2 

 
Lender diligently commences to cure within such forty (40) day period and thereafter diligently pursues such cure (“Lender’s Cure Period”). In
the event such default by Landlord under the Lease is not cured by the Lender within Lender’s Cure Period, Tenant may, at its option, exercise all its rights under the Lease (including, without limitation, the right to terminate the Lease or
discontinue or abate rent). Notwithstanding the foregoing the Tenant shall not terminate the Lease nor discontinue or abate rent as a result of default by Landlord under the Lease if (a) the Lender is diligently in the process of foreclosing on the
Property and (b) the continuation of such default by Landlord under the Lease during the time period required for foreclosure does not (i) unreasonably interfere with the Tenant’s use and enjoyment of the Premises under the terms of the Lease
nor (ii) impose any additional obligations on the Tenant not contained in the Lease. Tenant and Landlord also agree that, at the request of Lender the rent payments due under the Lease shall be paid directly to Lender and any such payments to the
Lender shall be credited against the rent due under the Lease as if made to the Landlord. Tenant agrees that prior to exercising any rights of offset, defense or self help provisions contained in the Lease or available at law, Tenant shall give
written notice to Lender of the occurrence of default by Landlord and Landlord’s failure to cure such default pursuant to the terms of the Lease, specifying, with reasonable clarity, the events constituting such default, and shall give Lender
forty (40) calendar days after the date of receipt of such notice to undertake to cure such default, provided however, such forty (40) day period shall be extended provided that Lender is proceeding diligently to cure such default. 
  
 5. Nondisturbance. So long as Tenant is not in Default under
the Lease beyond any notice and cure period provided in the Lease, then Lender agrees with Tenant that in the event the interest of Landlord is acquired by Lender or Lender acquires title to the Property or comes into possession of said Property by
reason of foreclosure or enforcement of the Mortgage or the Note, or by a conveyance in lieu thereof, or by any other means, Tenant’s possession of the Premises and Tenant’s rights, privileges and obligations under the Lease shall not be
disturbed, diminished or interfered with by Lender or any party claiming through Lender during the term of the Lease, including any extensions thereof permitted to Tenant, and the Lease shall continue in full force and effect and shall not be
terminated except in accordance with the terms of the Lease. In the event Tenant Defaults under the Lease or this Agreement beyond any applicable notice and cure period, the obligations of Lender hereunder shall, at Lender’s election, become
null and void and Lender may proceed to extinguish the Lease and all of Tenant’s rights and interests in and to the Premises through foreclosure of the Mortgage. 
  
 Immediately upon the acquisition by Lender of possession or title to the Property by reason of foreclosure or enforcement of
the Mortgage or the Note, or by a conveyance in lieu thereof, or as a result of any other means, Tenant agrees to be bound to Lender under all of the terms, covenants, and conditions of the Lease for the balance of the term thereof, including any
extensions thereof permitted to Tenant, with the same force and effect as if Lender were the landlord under the Lease, and Tenant does hereby attorn to Lender as its landlord, said attornment to be effective and self-operative without the exercise
of any other instruments on the part of either party hereto. 
  

 3 

 Lender further agrees that if it obtains possession and title to the Property during the Lease Term,
Lender shall be bound to Tenant under all of the terms, covenants and conditions of the Lease and Tenant shall, from and after the occurrence of the events set forth above, have the same remedies that Tenant might have had under the Lease against
Landlord; provided, however, that Lender shall not be: 
  

	 	(a)	liable to Tenant for damages for any act or omission of Landlord or any prior landlord occurring prior to Lender obtaining possession or title to the Property; or

  

	 	(b)	subject to any offsets, claims or defenses which Tenant might have against Landlord or against any prior landlord which arise prior to the date Lender obtains possession or title to
the Property (except that any transferee shall have the obligation to cure any continuing default of which it had prior written notice); or 

  

	 	(c)	bound by any rent or additional rent or deposit, rental security or any other sums which Tenant may have paid to Landlord or any other landlord; or 

  

	 	(d)	bound by any amendment or modification of the Lease made without Lender’s prior written consent; or 

  

	 	(e)	bound to the Tenant after the date upon which the Lender transfers its interest in the Property to any third party; or 

  

	 	(f)	obligated or liable to Tenant with respect to the construction and completion of the initial improvements in the Premises for Tenant’s use, enjoyment or occupancy; or

  

	 	(g)	obligated or liable to Tenant for any moving, relocation or refurbishment allowance or any payment or allowance for improvements to the Premises or any part thereof; or

  

	 	(h)	liable for any payment of any leasing commissions or other expenses for which Landlord or any prior landlord incurred the obligation to pay; or 

  

	 	(i)	bound or liable to Tenant under any oral or written notice given by Tenant to Landlord or any prior landlord; or 

  

	 	(j)	obligated or liable to Tenant with respect to a breach of the representations and warranties set forth in the Lease and such provisions shall be null and void as between Tenant and
Lender. 

  
 6. Obligations of Succeeding
Owner. Tenant hereby agrees that any entity or person which at any time hereafter becomes the Landlord under the Lease, including, without 

  

 4 

 
limitation, Lender, in all cases as a result of Lender’s exercise of its rights under the Mortgage, or a purchaser from Lender, shall be liable only for
the performance of the obligations of the Landlord under the Lease which arise and accrue during the period of such entity’s or person’s ownership of the Property. 
  
 7. Notices. All notices or other written communications required or permitted to be given pursuant to this
Agreement shall be in writing, and shall be deemed to have been properly given (i) upon delivery, if delivery in person or by facsimile transmission with receipt acknowledged, (ii) one business day after having been deposited for overnight delivery
with any reputable overnight courier service, or (iii) three business days after having been deposited in any post office or mail depository regularly maintained by the U.S. Postal Service and sent by registered or certified mail, postage prepaid,
addressed as follows: 
  

			
	 If to Borrower:
	 	Demco Wisconsin 5, L.L.C.
	 	 	45501 Helm Street
	 	 	Plymouth, Michigan 48170
	 	 	Attn: ________________
		
	 If to Tenant:
	 	NightHawk Radiology Services
	 	 	250 Northwest Boulevard #202
	 	 	Coeur d’Alene, Idaho 83814
	 	 	Attn: Kristine Gray
		
	 If to Lender:
	 	____________________________
	 	 	____________________________
	 	 	____________________________
	 	 	Attn: _____________

  
 or addressed as such party may from
time to time designate in writing to the other parties hereto and delivered in accordance with the provisions of this Section 7. 
  
 8. Miscellaneous. This Agreement may not be amended or modified in any manner other than by an agreement in writing, signed by the parties
hereto or their respective successors in interest, and this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. The words “foreclosure” and “foreclosure
sale” as used herein shall be deemed to include the acquisition of Landlord’s estate in the Property by any power of sale contained in the Mortgage, or by voluntary deed, assignment or other conveyance or transfer in lieu of foreclosure;
and the word “Lender” shall include the Lender herein specifically named and any of its successors and assigns, including anyone who shall have succeeded to Landlord’s interest in the Property or acquired possession thereof by,
through, under or as a result of foreclosure of the Mortgage, or by any other manner of enforcement of the Mortgage, or the Note or other obligations secured thereby. 
  

 5 

 9. Conflicts with Lease. This Agreement shall supersede, as between Tenant and Lender, all
of the terms and provisions of the Lease which are inconsistent with this Agreement, but shall not affect any obligations or liabilities of Borrower, as landlord, under the Lease. 
  
 10. Proceeds of Casualty or Condemnation. The interest of Tenant and Landlord under the Lease in and to any
proceeds of insurance arising from any casualty to the Premises or the Property and all interest of Tenant and Landlord in and to any award for the taking of the Property or the Premises under the power of eminent domain or any payment in lieu of
such taking shall be subordinate to the interest of the Lender therein. Tenant shall not seek or accept any such proceeds or awards unless and until all amounts secured by the Mortgage are paid in full. Landlord shall not seek or accept any such
proceeds or awards unless specifically permitted by the Mortgage. 
  
 11. Governing Law; Venue. This Agreement shall be construed in accordance with the laws of the State of Wisconsin and any litigation arising out of this Agreement shall be brought in the courts of the State of Wisconsin or in
the courts of the United States for the Eastern District of the State of Wisconsin and all parties hereto consent to the venue of such courts. 
  
 12. Effect of Agreement. Landlord joins in the execution and delivery of this Agreement for the purpose of evidencing its consent to the
terms and provisions hereof, and as between Landlord and Tenant, nothing herein contained shall be deemed to alter or modify the Lease. As between Lender and Landlord, nothing contained herein shall be deemed to alter or modify the terms and
conditions of the Note, the Mortgage or any other document or agreement regarding the mortgage loan made by Lender to Borrower. 
  
 13. Construction. All capitalized terms not otherwise defined herein shall have the meaning ascribed to such terms in the Mortgage.

  
 14. WAIVER OF TRIAL BY JURY: ALL PARTIES HERETO
HEREBY WAIVER, TO THE FULLEST EXTENT PERMITTED BY LAW, THE RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM, WHETHER IN CONTRACT, TORT OR OTHERWISE, RELATING DIRECTLY OR INDIRECTLY TO THE LOAN, THE LOAN DOCUMENTS, INCLUDING, WITHOUT
LIMITATION, THIS AGREEMENT, OR ANY ACTS OR OMISSIONS OF LENDER, ITS OFFICERS, EMPLOYEES, DIRECTORS OR AGENTS IN CONNECTION THEREWITH. 
  
 15. Memorandum of Lease. Tenant and Landlord shall deliver the written memorandum described in Section 4.3 of the Lease to Lender within
five (5) business days of its execution by Tenant and Landlord. 
  

 6 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be properly executed and
sealed by their duly authorized representatives as of the date first above written. 
  

											
	 	 	 	 	TENANT:
			
	 	 	 	 	Nighthawk Radiology Services,
	 	 	 	 	 a *

				
	 	 	 	 	 	 	 
	 	 	 	 	 By:
	 	 /s/ CHRISTOPHER HUBER

				
	 	 	 	 	 Its:
	 	 Vice President

			
	 	 	 	 	LANDLORD:
			
	 	 	 	 	Demco Wisconsin 5, LLC
	 	 	 	 	 a Michigan limited liability company

				
	 	 	 	 	 By:
	 	 DeMattia Group Wisconsin, LLC

	 	 	 	 	 	 	 a Michigan limited liability company

	 	 	 	 	 Its:
	 	 Managing Member

					
	 	 	 	 	 	 	 By:
	 	 
	 	 	 	 	 	 	 	 	 Gary D. Roberts

	 	 	 	 	 	 	 Its:
	 	 Executive Vice President

			
	 	 	 	 	LENDER:
			
	 	 	 	 	*,
	 	 	 	 	 a *

				
	 	 	 	 	 	 	 
	 	 	 	 	 By:
	 	 
				
	 	 	 	 	 Its:
	 	 

  

			
	 STATE OF IDAHO
	 	)
	 	 	) SS.
	 COUNTY OF KOOTENAI
	 	)

  
 Personally came before
me this 23rd day of February, 2004, the above named Chris Huber, to me known to be the person who executed the foregoing document and acknowledged the same. 
  

 7 

	
	
	 /s/ KRISTINE GRAY

	
	 Notary Public, State of___________________

	 My Commission:_______________________

  

			
	 STATE OF MICHIGAN
	 	)
	 	 	) SS.
	 COUNTY OF WAYNE
	 	)

  
 Personally came before
me this      day of                     , 200  , the above named Gary D. Roberts, to me known to
be the person who executed the foregoing document and acknowledged the same. 
  

	
	
	 
	
	 Notary Public, State of___________________

	 My Commission:_______________________

  

			
	 STATE OF
	 	)
	 	 	) SS.
	 COUNTY OF
	 	)

  
 Personally came before
me this      day of                     , 200  , the above named
                            , to me known to be the person who executed the foregoing document and
acknowledged the same. 
  

	
	
	 
	
	 Notary Public, State of___________________

	 My Commission:_______________________

  
 Drafted By and When Recorded
Return To: 
 Robert R. Nix II, Esq. 
 Kerr, Russell and
Weber, PLC 
 500 Woodward Ave., Suite 2500 
 Detroit, Michigan
48226 
 (313) 961-0200 
  

 8 

 EXHIBIT G 
  

Estoppel Certificate 
  
 [date] 
  

	
	 
	
	 
	
	 

  

	 	Re:	Lease between __________ L.L.C. (“Landlord”) and _______________ (“Tenant”), dated ____________________ (the “Lease”) 

 
 Gentlemen: 
  
 Tenant understands that the Lease is being assigned to
[                                 (“Lender”) in connection with a loan
being made to Landlord or                          (“Purchaser”) in connection with the purchase of the
                                        
Building from Landlord]. Tenant hereby certifies to and agrees with [Lender/Purchaser] and its successors and assigns and Landlord as follows: 
  
 1. Pursuant to the Lease, Landlord leased to Tenant and Tenant leased from Landlord approximately
         square feet of space in the premises commonly known as Suite         , located in
                                        
                 (the “Demised Premises”).1 
  
 2. The Lease constitutes the only agreement between Landlord and Tenant with respect to the Demised Premises, and a true copy of the Lease
and all amendments and modifications (including letter agreements) are attached hereto as Exhibit A. 
  
 3. The Lease is in full force and effect and binding on Tenant. There have been no amendments or other agreements respecting the Lease,
except as follows:
                                       
                                        
                                 . Tenant agrees that no future amendment of the
Lease is enforceable against [Lender/Purchaser] or its successors and assigns unless such amendment has been consented to in writing by [Lender/Purchaser] or its successors and assigns. Tenant has no setoffs, claims or defenses to the enforcement of
the Lease 
  
 4. Landlord has completed
construction of the Demised Premises, including all Tenant Improvements and Additional Tenant Improvements, if any. Tenant has accepted the Demised Premises, presently occupies the Demised Premises and has no claims against Landlord in connection
with the construction of the Demised Premises, Tenant Improvements and Additional Tenant Improvements, if any. 
  

 5. Tenant commenced occupancy of the Demised Premises on
                    , and began paying Rent on
                    . 
  
 6. The Lease term commenced on
                    , and the term terminates (excluding renewal periods) on
                    . 
  
 7. The Lease contains
                     renewal periods of
                     years each. 
  
 8. Tenant is paying Rent on a current basis with no Rent being paid more than one month in advance and Tenant has paid a security deposit
in the amount of $                    . Tenant acknowledges that the current Annual Base Rent is
$                    , the current Monthly Base Rent is
$                    , the Expense Base Year is             , the Tax Base
Year is             , and Tenant’s proportionate share of Operating Expenses and Taxes is
                    . 
  
 9. Tenant has no right of offset, deduction or credit against the payment of Rent in the event of a default by Landlord under the Lease.

  
 10. As of the date hereof there is no dispute
between Tenant and Landlord regarding the interpretation, application or enforcement of any provision of the Lease. 
  
 11. The tenant has no notice of any prior assignment, hypothecation or pledge of the Rents under this Lease. 
  
 12. There are no concessions, allowances, rebates or refunds
or rent-free occupancies to which the Tenant is entitled. 
  
 13. As of the date hereof, Tenant is not obligated to pay Landlord any Rent, parking fees, costs of Tenant Improvements or Additional Tenant Improvements, if any, or any other cost and expenses pursuant to the terms
of the Lease, other than Rent. 
  
 14. As of the
date hereof, Tenant is not in Default in the performance of the Lease, and has not committed any breach of the Lease, and no notice of Default has been given to Tenant. 
  
 15. As of the date hereof, Tenant has not subleased or assigned all or any portion of the Demised Premises.

  
 16. Tenant does not have a right to purchase
the Demised Premises or the Project by option, right of first refusal, right of first offer or otherwise. 
  
 17. Tenant has no early termination or cancellation rights under the Lease. 
  
 18. The obligations and liabilities of Tenant under the Lease have been guaranteed by
                                 and such guaranty remains in full force and
effect. 
  

 2 

 19. As of the date hereof, Tenant has no knowledge of any default in the performance of
the Lease by Landlord, has sent no notice of default to Landlord and has no knowledge of any circumstances or events, with or without the giving of notice, which would constitute a default by Landlord under the Lease. 
  
 20. Tenant makes this Estoppel Certificate with the
understanding that [Lender is contemplating making a mortgage loan on the Demised Premises or Purchaser is contemplating purchasing the
                                 Building] and [Lender/Purchaser] will do so in
material reliance on this Estoppel Certificate. 
  
 21. The person executing this Estoppel Certificate is duly authorized and empowered in all respects to execute and deliver the same on behalf of Tenant. 
  

			
	*,
	a *
		
	By:	 	 /s/ CHRISTOPHER HUBER

	 Its:
	 	 Vice President

  
 GUARANTOR’S
ACKNOWLEDGMENT 
  
 The undersigned,
                         (the “Guarantor”), acknowledges and agrees that the documents attached as Exhibit H
constitute a complete and accurate copy of the Guarantor’s guaranty of the Lease (the “Guaranty”) and that the Guaranty is in full force and effect as is enforceable in accordance with its terms. 
  

									
	CORPORATE GUARANTOR:	 	 	 	INDIVIDUAL GUARANTOR:
			
	 ________________________, a
	 	 	 	 ________________________________________

			
	 ___________ corporation
	 	 	 	 
					
	 By:
	 	 ________________________
	 	 	 	 	 	 
					
	 Its:
	 	 ________________________
	 	 	 	 	 	 

  

 3Agreement and Plan of Merger and Reorganization

 Exhibit 10.19 
  
 Execution Copy 
  
 AGREEMENT AND PLAN OF 
 MERGER AND REORGANIZATION 
  
 among 
  
 NightHawk Radiology Holdings, Inc.,

  
 as Parent 
  
 ATN Merger Sub, Inc., 
  
 as Merger Sub 
  
 and 
  
 American Teleradiology Nighthawks, Inc., 
  
 as Company 
  
 dated as of 
  
 September 30, 2005 

 TABLE OF CONTENTS 
  

					
	 	  	Page

	 ARTICLE I THE MERGER
	  	1
			
	             1.1
	 	The Merger	  	1
	             1.2
	 	Closing; Effective Time	  	1
	             1.3
	 	Effect of the Merger	  	2
	             1.4
	 	Certificate of Incorporation; Bylaws.	  	2
		
	 ARTICLE II [INTENTIONALLY OMITTED]
	  	2
		
	 ARTICLE III MERGER CONSIDERATION; EFFECT OF MERGER ON COMPANY CAPITAL STOCK
	  	3
			
	             3.1
	 	Merger Consideration; Earnout Consideration; Exchange of Capital Stock	  	3
	             3.2
	 	Stock Options/Equity Interests	  	4
	             3.3
	 	Cancellation of Company-Held Capital Stock	  	4
	             3.4
	 	Merger Sub	  	4
	             3.5
	 	Dissenters’ Rights	  	4
	             3.6
	 	Mechanics of Exchange	  	5
	             3.7
	 	No Further Rights in Shares	  	6
	             3.8
	 	No Fractional Shares	  	6
	             3.9
	 	Taking of Necessary Action; Further Action	  	6
	             3.10
	 	Distributions	  	7
	             3.11
	 	Reorganization, Reclassification, Merger, Consolidation, Etc. of Parent	  	7
	             3.12
	 	Withholding Taxes	  	8
		
	 ARTICLE IV REPRESENTATIONS AND WARRANTIES OF COMPANY
	  	8
			
	             4.1
	 	Organization, Good Standing, Qualification	  	8
	             4.2
	 	Certificate of Incorporation and Bylaws; Records	  	9
	             4.3
	 	Capitalization	  	9
	             4.4
	 	Authority; Binding Nature of Agreements	  	10
	             4.5
	 	Non-Contravention; Consents	  	10
	             4.6
	 	Proceedings; Orders	  	12
	             4.7
	 	Disputes Among Stockholders	  	12
	             4.8
	 	Compliance with Legal Requirements	  	12
	             4.9
	 	Governmental Approvals	  	14
	             4.10
	 	Financial Statements	  	14
	             4.11
	 	Absence of Undisclosed Liabilities	  	15
	             4.12
	 	Accounts Receivable	  	15
	             4.13
	 	Cash Equivalents/Bank Accounts	  	15
	             4.14
	 	Title to, Condition of and Sufficiency of Assets; Tangible Assets	  	16
	             4.15
	 	Intellectual Property	  	17
	             4.16
	 	Real Property	  	20
	             4.17
	 	Employees, Consultants and Physicians	  	20
	             4.18
	 	Benefit Plans; ERISA	  	22

  

 -i- 

 TABLE OF CONTENTS 
 (Continued) 
  

					
	 	  	Page

	             4.19
	 	Tax Matters	  	24
	             4.20
	 	Environmental Compliance	  	26
	             4.21
	 	Material Contracts	  	26
	             4.22
	 	Government Contracts	  	30
	             4.23
	 	Medical Liability	  	31
	             4.24
	 	Customers and Contractors	  	31
	             4.25
	 	Restrictive Covenants	  	31
	             4.26
	 	Competing Business	  	31
	             4.27
	 	Insurance	  	31
	             4.28
	 	Affiliate Transactions	  	33
	             4.29
	 	Interim Operations	  	33
	             4.30
	 	Finders and Brokers; Fees	  	35
	             4.31
	 	Full Disclosure	  	35
		
	 ARTICLE V REPRESENTATIONS AND WARRANTIES OF PARENT AND MERGER SUB
	  	35
			
	             5.1
	 	Organization, Standing and Power	  	35
	             5.2
	 	Certificate of Incorporation and Bylaws; Records	  	36
	             5.3
	 	Authority; Binding Nature of Agreements	  	36
	             5.4
	 	Capitalization	  	37
	             5.5
	 	Non-Contravention; Consents	  	37
	             5.6
	 	Financial Statements	  	37
	             5.7
	 	Absence of Undisclosed Liabilities	  	38
	             5.8
	 	Proceedings; Orders	  	38
	             5.9
	 	Compliance with Legal Requirements	  	39
	             5.10
	 	Governmental Approvals	  	39
	             5.11
	 	Environmental Compliance	  	39
	             5.12
	 	Medical Liability	  	40
	             5.13
	 	Finders and Brokers; Fees	  	40
	             5.14
	 	Operations of Merger Sub	  	40
		
	 ARTICLE VI ADDITIONAL AGREEMENTS
	  	40
			
	             6.1
	 	Company’s Conduct of the Business Prior to Closing	  	40
	             6.2
	 	Interim Operations	  	41
	             6.3
	 	Confidentiality; Acquisition Proposals	  	41
	             6.4
	 	Certain Notifications	  	41
	             6.5
	 	Access to Information	  	41
	             6.6
	 	All Commercially Reasonable Efforts	  	42
	             6.7
	 	Consents	  	42
	             6.8
	 	Further Assurances	  	42
	             6.9
	 	Confidentiality	  	42
	             6.10
	 	Public Announcements	  	43
	             6.11
	 	Key Personnel	  	44
	             6.12
	 	Additional Financial Statements	  	44
	             6.13
	 	Stockholder Approval	  	44
	             6.14
	 	Employee Plans	  	44

  

 -ii- 

 TABLE OF CONTENTS 
 (Continued) 
  

					
	 	  	Page

	             6.15
	 	Business Plan and Budget	  	44
	             6.16
	 	Hospital Business Committee	  	45
	             6.17
	 	Company Closing Deliverables	  	46
	             6.18
	 	Parent Deliveries at Closing	  	46
		
	 ARTICLE VII CONDITIONS TO THE MERGER
	  	46
			
	             7.1
	 	Conditions to Parent’s and Merger Sub’s Obligations to Close	  	46
	             7.2
	 	Conditions to Company’s Obligation to Close	  	48
		
	 ARTICLE VIII TERMINATION
	  	49
			
	             8.1
	 	Termination	  	49
	             8.2
	 	Effect of Termination	  	49
		
	 ARTICLE IX INDEMNIFICATION
	  	50
			
	             9.1
	 	Survival of Representations, Warranties and Covenants	  	50
	             9.2
	 	Indemnification	  	50
	             9.3
	 	Limitations on Indemnification	  	52
	             9.4
	 	Procedures for Indemnification for Third Party Claims	  	52
	             9.5
	 	Stockholder Representative	  	52
	             9.6
	 	Limitation of Liability	  	53
		
	 ARTICLE X GENERAL PROVISIONS
	  	53
			
	             10.1
	 	Notices	  	53
	             10.2
	 	Interpretation and Construction of Transaction Agreements	  	54
	             10.3
	 	Specific Performance	  	55
	             10.4
	 	Counterparts; Facsimile Delivery	  	55
	             10.5
	 	Entire Agreement	  	55
	             10.6
	 	Amendment; Waiver; Requirement of Writing	  	56
	             10.7
	 	Expenses	  	56
	             10.8
	 	No Third-Party Beneficiaries	  	56
	             10.9
	 	Disclaimer of Agency	  	56
	             10.10
	 	Relationship of the Parties	  	56
	             10.11
	 	Assignment	  	56
	             10.12
	 	Severability	  	57
	             10.13
	 	Remedies Cumulative	  	57
	             10.14
	 	Governing Law/Dispute Resolution Procedures	  	57

  

 -iii- 

 INDEX OF EXHIBITS, SCHEDULES AND APPENDICES 
  

			
	 Exhibits
	 	 
		
	 Exhibit A
	 	Defined Terms
		
	 Exhibit B
	 	Form of Certificate of Merger
		
	 Exhibit C
	 	Merger Consideration
		
	 Exhibit D
	 	Form of Opinion from Special Counsel
		
	 Exhibit E
	 	Form of Opinion from Corporate Counsel
		
	 Schedules
	 	 
		
	 Schedule 4
	 	Company Disclosure Schedule
		
	 Schedule 6.2(b)
	 	Prohibited Pre-Closing Company Actions
		
	 Appendices
	 	 
		
	 Appendix 1
	 	Company Customer Contracts for Purposes of Qualified Off-Hours Revenue
		
	 Appendix 2
	 	List of Hospital Contracts

  

 -iv- 

 AGREEMENT AND PLAN OF MERGER AND REORGANIZATION 
  
 This AGREEMENT AND PLAN OF MERGER AND REORGANIZATION (this
“Agreement”) is made as of September 28, 2005 (the “Execution Date”) by and among NightHawk Radiology Holdings, Inc., a corporation organized under the laws of Delaware (“Parent”), ATN Merger
Sub, Inc., a corporation organized under the laws of Delaware (“Merger Sub”) and American Teleradiology Nighthawks, Inc., a corporation organized under the laws of Delaware (“Company”). As used in this Agreement,
certain terms shall have the meanings set forth in Exhibit A. 
  
 RECITALS 
  
 WHEREAS, the boards of directors of Parent, Merger Sub and Company each have determined that the acquisition of Company by Parent through the merger of Merger Sub with and into Company pursuant to the terms and subject to the
conditions set forth herein (the “Merger”) is in the best interests of their respective companies and stockholders and have approved the Merger and the related transactions set forth herein; 
  
 WHEREAS, Merger Sub is a wholly-owned subsidiary of Parent;

  
 WHEREAS, pursuant to the Merger, each outstanding share
of capital stock of Company shall be cancelled and converted into the right to receive the consideration set forth herein. 
  
 WHEREAS, the parties intend that the Merger shall constitute a reorganization within the meaning of Section 368(a) of the Internal Revenue
Code of 1986, as amended. By executing this Agreement, the parties adopt a “plan of reorganization” within the meaning of Treasury Regulations Section 1.368-2(g). 
  
 NOW, THEREFORE, in consideration of the covenants and representations set forth herein, and for other good and
valuable consideration, the adequacy of which is hereby acknowledged, the parties hereto agree as follows: 
  
 ARTICLE I 
 THE MERGER 
  
 1.1 The Merger. Subject to and in accordance with the terms and conditions set forth in this Agreement, at the
Effective Time, Merger Sub shall be merged with and into Company, which shall be the surviving corporation (the “Surviving Corporation”) in the Merger, and the separate existence of Merger Sub shall thereupon cease. The name of the
Surviving Corporation shall be American Teleradiology Nighthawks, Inc. The Merger shall have the effects set forth in the Delaware General Corporation Law (“Delaware Corporate Law”) as further described in Section 1.3.

  
 1.2 Closing; Effective Time. The closing of the
transactions contemplated hereby (the “Closing”) shall take place as soon as practicable, but not later than the second Business Day after the satisfaction or waiver of each of the conditions set forth in ARTICLE VII hereof
or 

 at such other time as the parties hereto agree in writing (the “Closing Date”). The Closing shall take
place at the offices of Wilson Sonsini Goodrich & Rosati, P.C., 701 Fifth Avenue, Suite 5100, Seattle, Washington, or at such other location as the parties hereto agree. In connection with the Closing, the parties hereto shall cause the
Merger to be consummated by filing at the Closing a certificate of merger, substantially in the form to be attached hereto as Exhibit B and as acceptable for filing (the “Certificate of Merger”), together with any
required certificates or other documents, with the Secretary of State of the State of Delaware in accordance with the relevant provisions of Delaware Corporate Law (the time of such filing with the Secretary of State of the State of Delaware is the
“Effective Time”). 
  
 1.3 Effect of the
Merger. At the Effective Time, the effect of the Merger shall be as provided in this Agreement, the Certificate of Merger and the applicable provisions of Delaware Corporate Law; provided that in the event of any conflict between this
Agreement or the Certificate of Merger and Delaware Corporate Law, Delaware Corporate Law shall prevail. Without limiting the generality of the foregoing, and subject thereto, at the Effective Time, all the property, rights, privileges, powers and
franchises of Company and the Merger Sub shall vest in the Surviving Corporation, and all debts, liabilities and duties of Company and the Merger Sub shall become the debts, liabilities and duties of the Surviving Corporation. 
  
 1.4 Certificate of Incorporation; Bylaws. 
  
 (a) At and from the Effective Time, the certificate of incorporation of
Company, as in effect immediately prior to the Effective Time, shall be amended to be identical to the certificate of incorporation of Merger Sub, as in effect immediately prior to the Effective Time, except that the name of the Surviving
Corporation shall be identical to the name of Company in effect immediately prior to the Effective Time, until such certificate of incorporation is thereafter amended as provided by Delaware Corporate Law and such certificate of incorporation.

  
 (b) At and from the Effective Time, the bylaws of Company, as
in effect immediately prior to the Effective Time, shall be the bylaws of the Surviving Corporation and as of the Effective Time shall be amended to be identical to the bylaws of Merger Sub, as in effect immediately prior to the Effective Time,
except that the name of the Surviving Corporation as set forth therein shall be identical to the name of Company in effect immediately prior to the Effective Time, until such bylaws are amended as provided therein, by Delaware Corporate Law and as
may be provided in the Surviving Corporation’s certificate of incorporation. 
  
 (c) At and from the Effective Time, the directors of Merger Sub, as in office immediately prior to the Effective Time, shall be the directors of the Surviving Corporation until their respective successors are duly
elected or appointed and qualified. At and from the Effective Time, the officers of Merger Sub, as in office immediately prior to the Effective Time, shall be the officers of the Surviving Corporation until their respective successors are duly
elected or appointed and qualified. 
  
 ARTICLE II 
 [INTENTIONALLY OMITTED] 
  

 -2- 

 ARTICLE III 
 MERGER CONSIDERATION; EFFECT OF MERGER ON COMPANY CAPITAL STOCK 
  
 3.1 Merger Consideration; Earnout Consideration; Exchange of Capital Stock. 
  
 (a) By virtue of the Merger and without any action on the part of Parent, Company, Merger Sub or the holders of any of
Company’s securities, at the Effective Time, each and every share of capital stock of the Company issued and outstanding immediately prior to the Effective Time shall be cancelled and extinguished and automatically converted into the right to
receive, at such times and upon such conditions as set forth herein, a number of shares of Parent Common Stock equal to the Common Stock Exchange Ratio (the “Merger Shares”). Certificates representing the Merger Shares shall be
delivered to the holders of Company Common Stock in such amounts as are set forth opposite such holder’s name on Exhibit C hereto. 
  
 (b) In addition to the Parent Common Stock issuable upon conversion of Company Common Stock pursuant to Section 3.1(a) above, if, when and to
the extent payable in accordance with the provisions of this Section 3.1(b), on the Off-Hours Payment Date and each Hospital Payment Date, as the case may be, each stockholder of the Company as of immediately prior to the Effective Time
(“Company Stockholder”) shall be entitled to receive for each share of capital stock of the Company issued and outstanding immediately prior to the Effective Time held by such Company Stockholder (i) in the case of the
Off-Hours Payment Date, that number of shares of Parent Common Stock equal to the Off-Hours Exchange Ratio and (ii) in the case of a Hospital Payment Date, that number of shares of Parent Common Stock that becomes distributable pursuant to
Section 3.1(d) below equal to the Hospital Exchange Ratio. 
  
 (c) Subject to the provisions of ARTICLE IX, Parent shall issue, in accordance with Section 3.1(b) hereof, the Off-Hours Earnout Payment, if any, not later than the sixtieth (60th) day following the first anniversary of the Closing Date (the “Off-Hours Payment Date”). 
  
 (d) Subject to the provisions of ARTICLE IX, Parent shall issue, in
accordance with Section 3.1(b) hereof, the Hospital Earnout Payment, if any, as follows: 
  
 (i) on the date that is twenty-four (24) months after the Closing Date, one-third (1/3) of the Hospital Earnout Payment; 
  
 (ii) on the date that is thirty (30) months after the Closing Date, one
third (1/3) of the Hospital Earnout Payment; and 
  
 (iii)
on the date that is thirty-six (36) months after the Closing Date, one third (1/3) of the Hospital Earnout Payment. 
  
 Each of the foregoing dates on which Hospital Earnout Payment is to be issued is a “Hospital Payment Date”. 
  
 (e) Not later than fifteen (15) days prior to each of the Off-Hours
Payment Date and the initial Hospital Payment Date, Parent shall deliver to the Stockholder Representative a memorandum (an “Earnout Notice”) (a) stating the Qualified Off-Hours 
  

 -3- 

 Revenue and EBITDA Amount, as the case may be, together with supporting documentation, (b) stating the number of
shares of Parent Common Stock to be paid as the Off-Hours Earnout Payment and the Hospital Earnout Payment, as the case may be, (c) specifying in reasonable detail the calculation of the Off-Hours Exchange Ratio and the Hospital Exchange Ratio,
as applicable, and (d) if applicable, stating any proposed set off for Damages. 
  
 (f) The Stockholder Representative(s) shall have ten (10) days to make, and deliver to Parent, any objection (in writing) to any item in an Earnout Notice. 
  
 To the extent not specifically and expressly disputed in a timely manner,
Parent’s calculation of the Off-Hours Earnout Payment (and Off-Hours Exchange Ratio), Hospital Earnout Payment (and Hospital Earnout Exchange Ratio) and any proposed set off for Damages shall be conclusive and binding on the Company
Stockholders. If the Stockholder Representative objects in writing to any calculation of the Off-Hours Earnout Payment (or Off-Hours Exchange Ratio), Hospital Earnout Payment (or Hospital Earnout Exchange Ratio) or any proposed set off for Damages
prior to the expiration of the ten (10) day period, Parent and the Stockholder Representative shall resolve such conflict in accordance with the procedures set forth in Section 10.14. 
  
 (g) No Company Stockholder may sell, exchange, transfer or otherwise dispose
of his or her right to receive the Off-Hours Earnout Payment or the Hospital Earnout Payment, other than by the laws of descent and distribution or succession, and any transfer in violation of this Section 3.1(g) shall be null and void
and shall not be recognized by Parent or the Company. 
  
 3.2
Stock Options/Equity Interests. Neither Parent nor any of its Affiliates will assume any outstanding options, warrants, or other rights to acquire capital stock of the Company nor will Parent or any of its Affiliates (including the
Surviving Corporation) have any Liability or other obligation with respect thereto. 
  
 3.3 Cancellation of Company-Held Capital Stock. Notwithstanding Section 3.1(a), at the Effective Time, any shares of Company’s capital stock that are owned by Company as treasury stock
immediately prior to the Effective Time shall be canceled and extinguished without any conversion thereof. 
  
 3.4 Merger Sub. At the Effective Time, by virtue of the Merger and without any action on the part of Parent as the holder thereof, each share
of the common stock, $0.001 par value per share, of Merger Sub outstanding immediately prior to the Effective Time shall be converted into one share of the common stock of the Surviving Corporation. This common stock shall be the only outstanding
capital stock of the Surviving Corporation immediately following the Effective Time. 
  
 3.5 Dissenters’ Rights. Any Dissenting Shares shall not be converted into the right to receive Merger Consideration, if any, as set forth in Section 3.1 but shall instead be converted into
the right to receive such consideration as may be determined to be due with respect to such Dissenting Shares pursuant to Delaware Corporate Law. The Company shall give Parent (a) prompt notice of any written demand for appraisal received by
the Company pursuant to 
  

 -4- 

 Delaware Corporate Law, (b) the opportunity to control all negotiations and proceedings with respect to such demands
and (c) the opportunity to review and comment on all dissenters’ rights notices and other communications to the stockholders of the Company with respect to dissenters’ rights. Company agrees that, except with the prior written consent
of Parent, or as required under Delaware Corporate Law, it will not voluntarily make any payment with respect to, or settle or offer to settle, any such demand. Each holder of Dissenting Shares (each a “Dissenting Shareholder”) who,
pursuant to the provisions of Delaware Corporate Law, becomes entitled to payment of the fair value of such shares of Company’s capital stock shall receive payment therefor (but only after the value thereof shall have been agreed upon or
finally determined pursuant to the provisions of Delaware Corporate Law), with interest paid thereon only to the extent required by Delaware Corporate Law. If, after the Effective Time, any Dissenting Shares shall lose their status as Dissenting
Shares, Parent shall issue and deliver on such conditions and at such times as shall be required herein, upon surrender by such shareholder of the certificate or certificates representing such shares of Company capital stock as set forth in
Section 3.7, the consideration, if any, to which such shareholder would otherwise be entitled pursuant to Section 3.1 with respect to such shares. 
  
 3.6 Mechanics of Exchange. 
  

(a) Following the Effective Time, each holder of Company capital stock shall be entitled to surrender certificates formerly representing shares of
Company capital stock (the “Company Stock Certificates”) to Parent for cancellation in exchange for such holder’s right to receive, subject to the terms and conditions hereof, the Merger Consideration and the Earnout
Consideration, if any, pursuant to Section 3.1. It shall be a condition of any holder’s receipt of its portion of the Merger Consideration and the Earnout Consideration, if any, that the Company Stock Certificates representing such
holder’s capital stock be surrendered to Parent, properly endorsed or otherwise in proper form for transfer, or that such holder comply with Section 3.6(d). 
  
 (b) At the Effective Time, Company shall deliver a certified copy of a list of its stockholders to Parent (the
“Certified Stockholder List”). After the Effective Time, there shall be no further transfer of Company Stock Certificates on the records of the Company and, if such Company Stock Certificates are presented to Company for transfer,
they shall be cancelled at the time of such presentation. Parent shall be entitled to rely upon the Certified Stockholder List to establish the identity of those persons entitled to receive the Merger Consideration and the Earnout Consideration, if
any, specified in this Agreement, which Certified Stockholder List shall be conclusive with respect thereto. In the event of a dispute with respect to ownership of stock represented by any Company Stock Certificates, Parent shall be entitled to
deposit the Merger Consideration and the Earnout Consideration, if any, in respect thereof in escrow with an independent third party and thereafter be relieved with respect to any claims thereto. 
  
 (c) Following the Effective Time and upon receipt of any Company Stock
Certificate(s) pursuant to this ARTICLE III, Parent shall deliver or cause to be delivered to such holder presenting such Company Stock Certificate(s) its portion of the Merger Consideration and the Earnout Consideration, if any, at such
times and as calculated pursuant to Section 3.1. 
  

 -5- 

 (d) In the event that any Company Stock Certificate shall have been lost, stolen or destroyed, upon the
making of an affidavit of that fact by the holder claiming such Company Stock Certificate to be lost, stolen or destroyed, Parent will deliver or cause to be delivered, in accordance with and subject to this Section 3.6 and the other
terms and conditions hereof, in exchange for such lost, stolen or destroyed Company Stock Certificate, the applicable portion of such holder’s Merger Consideration and the Earnout Consideration, if any, for which the capital stock represented
by such certificate has been cancelled and exchanged pursuant to Section 3.1. When authorizing such payment in exchange therefor, Parent may in its discretion require the owner of such lost, stolen or destroyed Company Stock Certificate
to give Parent a bond in such sum as it may reasonably direct as indemnity, or such other form of indemnity, as Parent shall reasonably direct, against any claim that may be made against Parent with respect to the Company Stock Certificate alleged
to have been lost, stolen or destroyed. 
  
 (e) Parent may, at its
option, meet its obligations under this Section 3.6 through a bank, trust company or other third party reasonably selected by Parent to act as exchange agent in connection with the Merger. 
  
 (f) Notwithstanding anything in this Agreement to the contrary, neither
Parent nor any other party hereto shall be liable to a holder of Company capital stock for any portion of the Merger Consideration or the Earnout Consideration, if any, delivered to a public official pursuant to applicable escheat laws following the
passage of time specified therein. 
  
 3.7 No Further Rights in
Shares. After the Effective Time, holders of Company Stock Certificates shall cease to have rights with respect to the Company capital stock previously represented by such certificates, and their sole rights (other than such rights as they
may have as Dissenting Stockholders under the applicable provisions of Delaware Corporate Law) shall be to exchange such certificates for the Merger Consideration and the Earnout Consideration, if any, as set forth in Section 3.1.

  
 3.8 No Fractional Shares. Notwithstanding any
other provision of this Agreement, neither certificates nor scrip for fractional shares of Parent Common Stock shall be issued in the Merger. Each holder who otherwise would have been entitled to a fraction of a share of Parent Common Stock (after
taking into account all certificates of such holder) shall receive in lieu thereof (a) one full share of Parent Common Stock if such fraction of a share is equal to or greater than one half (1/2) and (b) zero (0) shares of Parent
Common Stock in lieu of such fraction of a share if such fraction of a share is less than one half (1/2). 
  
 3.9 Taking of Necessary Action; Further Action. If, at any time after the Effective Time, any further action is necessary or reasonably
desirable to carry out the purposes of this Agreement and to vest the Surviving Corporation with full right to, title to and possession of all assets, property, rights, privileges, powers and franchises of Company, the officers and directors of the
Surviving Corporation are fully authorized in the name and on the behalf of Company or the Surviving Corporation or otherwise to take, and shall take, all such lawful and necessary action, so long as such action is not inconsistent with this
Agreement. 
  

 -6- 

 3.10 Distributions. Dividends or other distributions declared or made after the date of this
Agreement with respect to Parent Common Stock with a record date after the Effective Time will only be paid to the Company Stockholders as follows: 
  
 (a) with respect to Parent Common Stock representing the Off-Hours Earnout Payment no dividends or other distributions (other than dividends or other
distributions payable, in whole or in part, in additional shares of Parent Common Stock) will be paid to Company Stockholders until shares representing the Off-Hours Earnout Payment shall have been issued and delivered to Company Stockholders
pursuant to Section 3.1 hereof, 
  
 (b) with respect to
Parent Common Stock representing the Hospital Earnout Payment, no dividends or other distributions (other than dividends or other distributions payable, in whole or in part, in additional shares of Parent Common Stock) will be paid to Company
Stockholders until the first Hospital Payment Date, it being agreed and understood that from and after the first Hospital Payment Date, all dividends and other distributions declared or made after such first Hospital Payment Date will be paid to the
Company Stockholders entitled to receive the Hospital Earnout Payment, if any, as provided in Section 3.1 hereof, and 
  
 (c) in the event the Parent declares a dividend or other distribution payable, in whole or in part, in additional shares of Parent Common Stock with a
record date after the Effective Date, then, Parent shall issue, upon of the issuance to the Company Stockholders of the shares of Parent Common Stock representing Earnout Consideration, such number of additional shares of Parent Common Stock as the
Company Stockholders would have received if such shares of Parent Common Stock representing Earnout Consideration had been issued and outstanding as of the record date for such dividend or distribution. 
  
 3.11 Reorganization, Reclassification, Merger, Consolidation, Etc. of
Parent. If any capital reorganization or reclassification of the capital stock of Parent, or a merger or consolidation of Parent with or into another company or the sale of all or substantially all of Parent’s properties and assets to
any other Person, shall be effected at any time after the Effective Date in such a way that holders of Parent Common Stock shall be entitled to receive stock, securities or assets with respect to or in exchange for Parent Common Stock, then lawful
and adequate provisions shall be made so that on the Off- Hours Payment Date or the relevant Hospital Payment Date, as the case may be, instead of, or in addition to, the shares of Parent Common Stock that a Company Stockholder would have received
had such reorganization, reclassification, merger, consolidation or sale not taken place, such Company Stockholder shall receive such shares of stock, securities or assets as may be issued or payable with respect to or in exchange for a number of
outstanding shares of such Parent Common Stock equal to the number of shares of such Parent Common Stock that such Company Stockholder would have held if the Off-Hours Payment Date or the relevant Hospital Payment Date, as the case may be, had
occurred immediately prior to the effective date of such reorganization, reclassification, merger, consolidation or sale, and in any such case appropriate provisions shall be made with respect to the rights and interests of such Company Stockholder
to the end that the provisions this Section 3.11 shall thereafter be applicable, as nearly as may be, in relation to any shares of stock, securities or assets thereafter deliverable upon the payment of such Off Hours Earnout
Consideration or Hospital Earnout Consideration. 
  

 -7- 

 3.12 Withholding Taxes. To the extent required by applicable law, Parent shall have the right
to deduct and withhold Taxes from any payments to be made hereunder, and to request any necessary Tax forms, including Form W-9 or the appropriate series of Form W-8, as applicable, or any similar information, from the recipients of payments
hereunder. To the extent that amounts are so withheld, such withheld amounts shall be treated for all purposes of this Agreement as having been delivered and paid to the recipient of the payment in respect of which such deduction and withholding was
made. 
  
 ARTICLE IV 
 REPRESENTATIONS AND WARRANTIES OF COMPANY 
  
 Company represents and warrants, as of the date hereof and the Closing, to and for the benefit of Parent (except, with respect to any particular section
or subsection of this ARTICLE IV, to the extent specifically described in the corresponding section or subsection of the Company disclosure schedule attached hereto as Schedule 4, (the “Company Disclosure
Schedule”)): 
  
 4.1 Organization, Good Standing,
Qualification.
  
 (a) The Company is a corporation duly
organized and validly existing, and is in good standing, under the laws of the State of Delaware, and is duly qualified to conduct business and is in good standing in each jurisdiction in which the failure to be so qualified and in good standing
would or could reasonably be expected to have a Material Adverse Effect. Section 4.1(a) of the Company Disclosure Schedule identifies all jurisdictions in which the Company owns real property, conducts business or is qualified as a
foreign entity to conduct business. The Company has all requisite corporate power and authority to own and operate its properties and assets, to execute and deliver this Agreement and the other Transaction Agreements contemplated to be executed and
delivered by it, to carry out the provisions hereof and thereof, and to carry on its business as currently conducted and as presently proposed to be conducted. 
  

(b) Section 4.1(b) of the Company Disclosure Schedule accurately sets forth (i) the names of the members of the Company’s board
of directors, (ii) the names of the members of each committee of the Company’s board of directors and (iii) the names and titles of the Company’s officers. 
  
 (c) Neither the Company nor the stockholders of the Company have ever approved, or commenced any proceeding, or made any
election contemplating, the dissolution or liquidation of the Company or the winding up or cessation of the Company’s business or affairs. 
  
 (d) The Company has no Subsidiaries and has never owned, beneficially or otherwise, any shares or other securities of, or any other direct or any other
indirect interest of any nature in, any Entity (other than de minimis holdings in publicly traded companies in connection with investment accounts, if any). 
  

 -8- 

 4.2 Certificate of Incorporation and Bylaws; Records.
  
 (a) The Company has delivered or otherwise made available to Parent accurate
and complete copies of: 
  
 (i) the Company’s Certificate
of Incorporation and bylaws, including all amendments thereto, as presently in effect; 
  
 (ii) the stock records of the Company; and 
  
 (iii) the minutes and other records of the meetings and other actions (including any actions taken by written consent or otherwise without a meeting) of the stockholders of the Company, the Company’s board of
directors and all committees of the Company’s board of directors. 
  
 (b) The Company has never conducted any business under or otherwise used, for any purpose or in any jurisdiction, any fictitious name, assumed name, trade name or other name, other than its corporate name “American Teleradiology
Nighthawks, Inc.” 
  
 (c) There has not been any uncured
violation of (i) any of the provisions of the Company’s Certificate of Incorporation or bylaws or (ii) any resolutions adopted by the Company’s stockholders, the Company’s board of directors, or any committee of the board of
directors within the last five (5) years, and no event has occurred, and no condition or circumstance exists, that (with or without notice or lapse of time) constitutes or is reasonably likely to result directly or indirectly in such a
violation. 
  
 (d) The books of account, stock records, minute
books and other records of the Company are accurate, up to date and complete in all material respects. All of the records of the Company are in the actual possession or control of the Company. The Company has been administered and the Company’s
corporate records maintained as required by Legal Requirements to maintain the separate corporate existence of the Company. 
  
 4.3 Capitalization.
  
 (a) As of the date of the Agreement, the authorized capital stock of the Company consists of 1,000,000 shares of capital stock, comprising zero shares of
Preferred Stock, and 1,000,000 shares of Common Stock, $0.01 par value (“Company Common Stock”). 55,420 shares of Company Common Stock are issued and outstanding. No other shares of capital stock are authorized or issued and
outstanding. Section 4.3(a) of the Company Disclosure Schedule sets forth a true and complete list of the capital stockholders of the Company listing the type and amount of Company capital stock held by each holder of such capital stock.
All issued and outstanding shares of the Company’s capital stock have been duly authorized and validly issued, are fully paid and nonassessable, and have been issued in compliance with all applicable securities laws and other applicable Legal
Requirements. 
  
 (b) The Company has not granted any purchaser or
other recipient of its securities the right to require the Company to register any securities under the Securities Act or to qualify for any exemption thereunder. 
  

 -9- 

 (c) Section 4.3(c) of the Company Disclosure Schedule sets forth a true and complete list of
all other equity interests in or related to Company describing in reasonable detail such other equity interests. 
  
 (d) Except as set forth on Section 4.3(d) of the Company Disclosure Schedule, there is no: 
  
 (i) outstanding subscription, option, call, warrant or right (whether or
not currently exercisable) to acquire any shares of capital stock or other securities of the Company; 
  
 (ii) outstanding security, instrument or obligation that is or may become convertible into or exchangeable for any shares of capital stock or other
securities of the Company; 
  
 (iii) Contract under which the
Company is or may become obligated to sell or otherwise issue any shares of its capital stock or any other securities; 
  
 (iv) condition or circumstance that will directly or indirectly give rise to or provide a reasonable basis for the assertion of a claim by any Person to
the effect that such Person is entitled to acquire or receive from the Company any shares of capital stock or other securities of the Company; or 
  
 (v) other Equity Interest existing with respect to the Company. 
  

(e) The Company has never repurchased, redeemed or otherwise reacquired (or agreed, committed or offered (in writing or otherwise) to repurchase,
redeem or otherwise reacquire) any shares of capital stock or other securities. 
  
 4.4 Authority; Binding Nature of Agreements. The execution, delivery and performance by the Company of this Agreement and such Transaction Agreements to which it is contemplated to be a party have been
duly authorized by all necessary corporate action on the part of the Company, its board of directors and stockholders. This Agreement and the other Transaction Agreements constitute (assuming such agreements constitute legal, valid and binding
obligations of Parent and Merger Sub to the extent they are executing such agreements), or upon execution and delivery will constitute (assuming such agreements constitute legal, valid and binding obligations of Parent and Merger Sub to the extent
they are executing such agreements and to the extent such execution affects the relevant obligations), the legal, valid and binding obligations of the Company, enforceable against the Company in accordance with their respective terms, subject only
to bankruptcy, insolvency, reorganization and similar Legal Requirements. 
  
 4.5 Non-Contravention; Consents.
  
 (a) The execution, delivery and performance of this Agreement and the other Transaction Agreements and the consummation of the Merger by the Company will not, directly or indirectly (with or without notice or lapse of time): 
  
 (i) contravene or result in a violation of (A) any provisions of the
Company’s Certificate of Incorporation or bylaws, or (B) any resolution adopted by the Company’s board of directors or any committee thereof or by the stockholders of the Company; 
  

 -10- 

 (ii) contravene, conflict with or result in a violation of, or give any Governmental Authority or other
Person the right to challenge the Merger or to exercise any remedy or obtain any relief under, any Legal Requirement or any Order to which the Company or any assets owned by the Company are subject; 
  
 (iii) cause the Company to become subject to, or to become liable for the
payment of, any Tax (except pursuant to any election by Parent under Section 338 of the Code); 
  
 (iv) cause any assets owned or used by the Company to be reassessed or revalued by any taxing authority or other Governmental Authority (except pursuant
to any election by Parent under Section 338 of the Code); 
  
 (v) contravene, conflict with or result in a violation of any of the terms or requirements of, or give any Governmental Authority the right to revoke, withdraw, suspend, cancel, terminate, modify or charge any material fee with respect to,
any Governmental Approval that is held by the Company or that otherwise relates to the Company’s business or to any of the assets owned or used by the Company; 
  
 (vi) contravene, conflict with or result in a violation or breach of, or default under, any provision of any Material
Contract; 
  
 (vii) give any Person the right to (A) declare
a default or exercise any remedy under any Material Contract, (B) accelerate the maturity or performance of any Material Contract in any material respect, or (C) cancel, terminate or modify any Material Contract; 
  
 (viii) give any Person the right to any payment by the Company or give rise
to any acceleration or change in the award, grant, vesting or determination of options, warrants, rights, severance payments or other contingent obligations of any nature whatsoever of the Company in favor of any Person, in any such case as a result
of the change in control of the Company or otherwise resulting from the Merger; or 
  
 (ix) result in the imposition or creation of any Encumbrance upon or with respect to any material asset owned or used by the Company. 
  
 (b) Except as set forth in Section 4.5(b) of the Company Disclosure Schedule and for the filing of the
Certificate of Merger pursuant to Section 1.2, the Company is not required to make any filing with or give any notice to, or obtain any Consent from, any Governmental Authority, party to a Material Contract or any other Person in
connection with the execution and delivery of this Agreement and the other Transaction Agreements or the consummation or performance of the Merger. As of the Closing Date, all filings, notices and Consents to, with or with respect to Governmental
Authorities set forth on such schedule have been duly made, given or obtained and are in full force and effect. 
  

 -11- 

 4.6 Proceedings; Orders.
  
 (a) There is no pending Proceeding, and, to the Company’s Knowledge, no Person has threatened to commence any
Proceeding: 
  
 (i) to which Company is a party or, to
Company’s Knowledge, that otherwise directly relates to or might directly affect the Company’s business or any of the assets owned or used by the Company (whether or not the Company is named as a party thereto); or 
  
 (ii) that challenges, or that may have the effect of preventing, delaying,
making illegal or otherwise interfering with, the Merger or the Company’s ability to comply with or perform its obligations and covenants under this Agreement or any of the other Transaction Agreements; and to the Company’s Knowledge, no
event has occurred, and no claim, dispute or other condition or circumstance exists, that would be reasonably expected to give rise to, or serve as a reasonable basis for, the commencement of any such Proceeding. 
  
 (b) Within the last five years, no material Proceeding has ever been
commenced by or against the Company, and to the Company’s Knowledge, no such Proceeding has been threatened. 
  
 (c) There is no Order to which the Company, or any of the assets owned by the Company, is subject. 
  
 (d) To the Company’s Knowledge, no officer, employee, or contractor of
the Company, is subject to any Order that prohibits such officer, employee or contractor from engaging in or continuing any conduct, activity or practice relating to the Company’s business. 
  
 (e) To the Company’s Knowledge, there is no proposed Order that, if
issued or otherwise put into effect, (i) would or could reasonably be expected to have a Material Adverse Effect or (ii) would otherwise have the effect of preventing, delaying, making illegal or otherwise interfering with the Merger.

  
 4.7 Disputes Among Stockholders. There is no
actual, or to the Company’s Knowledge, threatened Proceeding by a holder of Company capital stock against another holder of Company capital stock in respect of the Company or such holder’s capital stock interests in the Company (a
“Stockholder Proceeding”) and, to Company’s Knowledge, no event has occurred and no condition or circumstance exists that is reasonably likely to result in a Stockholder Proceeding. 
  
 4.8 Compliance with Legal Requirements.
  
 (a) To the Company’s Knowledge, the Company and ATNPC are each in full
compliance with all Legal Requirements that are respectively applicable to it or to the conduct of their respective businesses or the ownership or use of any of their respective assets. 
  
 (b) To the Knowledge of the Company, no event has occurred, and no condition or circumstance exists, that (with or without
notice or lapse of time) constitutes or is reasonably likely to result directly or indirectly in a material violation by the Company or ATNPC of, or a failure on the part of the Company to materially comply with, any Legal Requirement. 

 

 -12- 

 (c) The Company has not received, at any time, any written notice from any Governmental Authority or any
other Person, and has no Knowledge, regarding (i) any actual or alleged violation of, or failure to comply with, any Legal Requirement by the Company or ATNPC or (ii) any actual or alleged obligation on the part of the Company or ATNPC to
undertake, or to bear all or any portion of the cost of, any cleanup or any remedial, corrective or responsive action of any nature. 
  
 (d) To the Knowledge of the Company, no Governmental Authority is considering any Legal Requirement that, if adopted or otherwise put into
effect, would prevent, delay, make illegal or otherwise interfere with the Merger. 
  
 (e) Neither the Company nor ATNPC is a “covered entity” as that term is defined by 45 C.F.R. § 160.103 nor are either the Company or ATNPC subject as a “covered entity” to the Standards for
Privacy of Individually Identifiable Health Information promulgated by the U.S. Department of Health and Human Services in accordance with the Administration Simplification provisions of the Health Insurance Portability and Accountability Act of
1996 (“HIPAA”). Each of the Company and ATNPC is either not subject to or is in compliance in all respects with any similar privacy laws in existence in any state or foreign jurisdiction. 
  
 (f) The Company (and each of the physicians that provides teleradiology or
other services on behalf of the Company or ATNPC) holds all permits, licenses, certificates, accreditations (including, without limitation, accreditation by the Joint Commission on Accreditation of Health Organizations (“JCAHO”) as
an ambulatory care organization) and other authorizations of foreign, federal, state and local governmental agencies required for the conduct of the business of the Company or ATNPC, as the case may be, and the attached Compliance Schedule sets
forth a list of all such permits, licenses, certificates, accreditations, and other authorizations, and the Company (and each of the physicians that provides teleradiology or other services on behalf of the Company or ATNPC) are in compliance with
all terms and conditions of any such required permits, licenses, certificates, accreditations and authorizations. 
  
 (g) Each of the Company’s and ATNPC’s services meet or exceed the standards for radiology established by the American College of Radiology,
including but not limited to the Technical Standard for Teleradiology, the Technical Standard for Digital Image Data Management and the Practice Guideline for Communication: Diagnostic Radiology. 
  
 (h) Each of the physicians who provide reading services on behalf of the
Company or ATNPC (a) meets all qualifications for readers under any agreement for services pursuant to which such physician provides services on behalf of the Company, (b) is licensed to practice medicine in each of the states in which the
patients are located for which such physician provides teleradiology interpretations, (c) has obtained medical staff privileges at the hospitals for which such physician provides teleradiology interpretations, (d) provides only
“preliminary” readings for the Company’s customers and does not provide “final” reads for these customers, (e) is an independent contractor or an independent licensed practitioner for all purposes including, without
limitation, all Tax purposes and for the JCAHO standards set forth in the 2004 JCAHO Comprehensive Accreditation Manual for Hospitals and (f) does not review mammograms or participate in interventional radiology. 
  

 -13- 

 (i) Neither the Company nor any physician who provides readings on behalf of the Company or ATNPC submits
any claims for reimbursement for such readings to any third-party payor, including, without limitation, Medicare, Medicaid or any private insurance plan. 
  
 4.9 Governmental Approvals.
  
 (a) Section 4.9(a) of the Company Disclosure Schedule identifies each Governmental Approval held by the Company the failure of which to hold
would or could reasonably be expected to have a Material Adverse Effect. 
  
 (b) The Company has delivered or made available to Parent accurate and complete copies of all such Governmental Approvals, including all renewals thereof and all amendments thereto. Each Governmental Approval
identified or required to be identified in Section 4.9(a) of the Company Disclosure Schedule is valid and in full force and effect, Company is in material compliance with such Governmental Approvals, and no fines or penalties are owed by
Company in respect of such Governmental Approvals or the failure to obtain or maintain any such Governmental Approvals. Company has received no written notice of any, and there is no pending, or to Company’s Knowledge threatened, Proceeding
which could result in the suspension, termination, revocation, cancellation, limitation or impairment of any such Governmental Approval. To the Knowledge of Company, (i) no event or circumstance exists that would cause Company to be deemed to
be out of compliance with, or would cause the suspension, termination, revocation, cancellation, limitation or impairment of, any such Governmental Approval and (ii) Company has not received any notice of any of the foregoing. 
  
 (c) The Governmental Approvals identified in Section 4.9(a) of
the Company Disclosure Schedule constitute all the Governmental Approvals necessary (i) to enable the Company to conduct its business in the manner in which its business is currently being conducted and as has been conducted in the past year,
and (ii) to permit the Company to own and use its assets in the manner in which they are currently owned and used. 
  
 4.10 Financial Statements.
  
 (a) The Company has delivered to Parent the following financial statements (collectively, the “Financial Statements”) which are attached
hereto as Section 4.10(a) of the Company Disclosure Schedule: 
  
 (i) the audited balance sheets of the Company as of December 31, 2003 and 2004 and the audited related statements of operations, cash flows and changes in stockholders equity as of December 31, 2003 and
2004, in each case together with the notes thereto and the report and certification of the auditor thereto and prepared in accordance with GAAP on a basis consistent with past practice 
  
 (ii) the unaudited balance sheets of the Company as of (i) June 30, 2004 and 2005 and the unaudited related
statements of operations, cash flows and changes in stockholders equity as of June 30, 2004 and 2005, prepared in accordance with GAAP on a basis consistent with past practice (the “Interim Financial Statements”); 

 

 -14- 

 (b) All the Financial Statements, (including the Interim Financial Statements) are accurate and complete
in all material respects, in accordance with the books and records of the Company and present fairly the financial position of the Company as of the respective dates thereof and the results of operations of the Company, changes in stockholder’s
equity, cash flows and income for the periods covered thereby. The Financial Statements and the Interim Financial Statements have been prepared in accordance with GAAP, applied on a consistent basis with past periods and practice (except that the
Interim Financial Statements will not have notes thereto and will be subject to normal year-end adjustments in accordance with GAAP and past practice). All reserves set forth or reflected in the Interim Balance Sheet were established in accordance
with GAAP. 
  
 4.11 Absence of Undisclosed
Liabilities. The Company has no Liabilities except (i) as set forth on the Interim Balance Sheet in accordance with GAAP and (ii) Liabilities (matured or unmatured, fixed or contingent) arising after the date of such balance sheet
in the Ordinary Course of Business. 
  
 4.12 Accounts
Receivable.
  
 (a) Section 4.12(a) of the Company
Disclosure Schedule sets forth an accurate and complete breakdown and aging of all accounts receivable, notes receivable and other receivables of the Company (collectively, “Accounts Receivable”) as of the date of the Interim
Balance Sheet. 
  
 (b) All Accounts Receivable of the Company
(including those Accounts Receivable reflected on the Interim Balance Sheet that have not yet been collected and those Accounts Receivable that have arisen since the date of the Interim Balance Sheet and have not yet been collected): 
  
 (i) represent valid and enforceable obligations of customers of the Company
arising from bona fide transactions entered into in the Ordinary Course of Business; and 
  
 (ii) are free and clear of all Encumbrances. 
  
 4.13 Cash Equivalents/Bank Accounts.
  
 (a) Section 4.13 of the Company Disclosure Schedule accurately sets forth, with respect to each account maintained by or for the benefit of the Company at any bank or other financial institution:

  
 (i) the name and location of the institution at which such
account is maintained; 
  
 (ii) the name in which such account is
maintained and the account number of such account; and 
  

 -15- 

 (iii) the names of all individuals authorized to draw on or make withdrawals from such account.

  
 The Company has full legal and beneficial interest in all cash, cash
equivalents and other financial assets deposited in such accounts, free and clear of any Encumbrances, other than Permitted Encumbrances. 
  
 (b) The bank accounts listed on Section 4.13 of the Company Disclosure Schedule have been reconciled as of August 31, 2005. 

 
 4.14 Title to, Condition of and Sufficiency of Assets; Tangible
Assets.
  
 (a) Except for leased property set forth on
Section 4.14(e) of the Company Disclosure Schedule, the leases for the Leased Premises set forth on Section 4.16 of the Company Disclosure Schedule and any Intellectual Property Rights licensed to the Company pursuant to the
licenses set forth on Section 4.15(e) of the Company Disclosure Schedule, the Company owns, and has good, valid and marketable title to, all assets purported to be owned by it or used in its business, free and clear of any Encumbrances,
except for Permitted Encumbrances, including: 
  
 (i) all assets
reflected on the Interim Balance Sheet (except for Accounts Receivable collected in the Ordinary Course of Business); 
  
 (ii) all assets acquired by the Company since the date of the Interim Balance Sheet; 
  
 (iii) all other assets reflected in the Company’s books and records as being owned by the Company; and 
  
 (iv) all supplies used in the Ordinary Course of Business
(“Supplies”). 
  
 (b) Section 4.14(b)
of the Company Disclosure Schedule identifies all equipment, furniture, fixtures, improvements and other tangible assets owned or leased (indicating those items which are leased) by the Company, in each case having a value in excess of $5,000.

  
 (c) Except as otherwise indicated, each asset identified in
Section 4.14(b) of the Company Disclosure Schedule: 
  
 (i) is in good condition and repair, consistent with its intended use (ordinary wear and tear excepted); and 
  
 (ii) is adequate for the uses to which it is being put. 
  
 (d) The assets identified in Section 4.14(b) of the Company Disclosure Schedule and the Supplies constitute all of the material tangible
assets the Company used for the conduct of its business. 
  

 -16- 

 (e) Section 4.14(e) of the Company Disclosure Schedule identifies all equipment and other
material tangible or other personal property that is being leased or licensed to the Company. Except as otherwise indicated, all leases pursuant to which the Company leases such property are in good standing and are valid and effective in accordance
with their respective terms, and there exists no material default thereunder or occurrence or condition that is reasonably likely to result in a material default thereunder or termination thereof. There are no Encumbrances, other than Permitted
Encumbrances, on such property other than as set forth in the respective leases for such property. 
  
 (f) Section 4.14(f) of the Company Disclosure Schedule sets forth a list of all premises currently leased by the Company (“Current
Leased Premises”) and all premises for which the Company terminated its lease during the past two (2) years (“Prior Leased Premises”). The Current Leased Premises are in good operating condition, ordinary wear and tear
excepted, and are useable in the Ordinary Course of Business. The Company has no liability to the lessor of the Prior Leased Premises for damages to such Prior Leased Premises or as a result of any obligation of the Company arising on its vacation
of the Prior Leased Premises, in each case in excess of any deposit or other reserve specifically established with respect to such liability reflected on the Interim Balance Sheet. The Company has not caused any damage to the Current Leased Premises
and would have no liability to the lessor thereof on its vacation of such Current Leased Premises, in each case in excess of any deposit or other reserve specifically established with respect to such liability and reflected on the Interim Balance
Sheet. 
  
 (g) The Company owns, or has valid leasehold interests
in, all material (individually or in the aggregate) assets necessary for the conduct of its business as currently conducted. 
  
 (h) Notwithstanding anything to the contrary herein, the representations and warranties of the Company set forth in this Section 4.14 do not
extend to Intellectual Property Rights owned or used by Company, or any Encumbrances arising out of or relating to any such Intellectual Property Rights, which Intellectual Property Rights and related Encumbrances shall instead be governed by the
representations and warranties of Company set forth in Section 4.15 below. 
  
 4.15 Intellectual Property.
  
 (a) Section 4.15(a) of the Company Disclosure Schedule lists all Company Intellectual Property, specifying in each case whether such Company Intellectual Property is owned or controlled by or for, licensed to, or otherwise held
by or for the benefit of Company, including all Registered Intellectual Property Rights owned by, filed in the name of or applied for by Company and used in its business (the “Company Registered Intellectual Property Rights”).

  
 (b) Each item of Company Intellectual Property owned by the
Company (i) is valid, subsisting and in full force and effect, (ii) has not been abandoned or passed into the public domain and (iii) is free and clear of any Encumbrances. 
  

 -17- 

 (c) The Company Intellectual Property constitutes all the Intellectual Property Rights used in and/or
necessary to the conduct of its business as it is currently conducted, and as it is currently planned to be conducted by Company prior to the Closing. 
  
 (d) Each item of Company Intellectual Property either (i) is exclusively owned by Company and was written and created solely by employees of Company
acting within the scope of their employment or by third parties, all of which employees and third parties have validly and irrevocably assigned all of their rights, including Intellectual Property Rights therein, to Company, and no third party owns
or has any rights to any such Company Intellectual Property, or (ii) is duly and validly licensed to Company for use in the manner currently used by Company in the conduct of its business and as it is currently planned to be conducted by
Company prior to the Closing. 
  
 (e) Except as set forth in
Section 4.15(e) of the Company Disclosure Schedule, in each case in which Company has acquired ownership to any Intellectual Property Rights from any Person, to the Company’s knowledge the Company has obtained a valid and
enforceable assignment sufficient to irrevocably transfer all rights in such Intellectual Property Rights (including the right to seek past and future damages with respect thereto) to Company. No Person who has licensed Intellectual Property Rights
to Company has ownership rights or license rights to improvements made by Company in such Intellectual Property Rights. Company has not transferred ownership of, or granted any exclusive license of or right to use, or authorized the retention of any
exclusive rights to use or joint ownership of, any Intellectual Property Rights that is or was Company Intellectual Property to any Person. 
  
 (f) Company has no Knowledge of any facts, circumstances or information that (i) would render any Company Intellectual Property invalid or
unenforceable, (ii) would adversely affect any pending application for any Company Registered Intellectual Property Right, or (iii) would adversely affect or impede the ability of Company to use any Company Intellectual Property in the
conduct of its business as it is currently conducted or as it is currently planned to be conducted by Company prior to Closing. Company has not misrepresented, or failed to disclose, and has no Knowledge of any misrepresentation or failure to
disclose, any fact or circumstances in any application for any Company Registered Intellectual Property Right that would constitute fraud or a misrepresentation with respect to such application or that would otherwise affect the validity or
enforceability of any Company Registered Intellectual Property Right. 
  
 (g) All necessary registration, maintenance and renewal fees in connection with each item of Company Registered Intellectual Property Rights have been paid and all necessary documents and certificates in connection with such Company
Registered Intellectual Property Rights have been filed with the relevant patent, copyright, trademark or other authorities in the United States or foreign jurisdictions, as the case may be, for the purposes of maintaining such Company Registered
Intellectual Property Rights. There are no actions that must be taken by Company within sixty (60) days following the Closing Date, including the payment of any registration, maintenance or renewal fees or the filing of any responses to office
actions, documents, applications or certificates for the purposes of obtaining, maintaining, perfecting, preserving or renewing any Company Registered Intellectual Property Rights. To the maximum extent provided for by, and in accordance with,
applicable laws and regulations, 
  

 -18- 

 Company has recorded in a timely manner each such assignment of a Registered Intellectual Property Right assigned to
Company with the relevant governmental authority, including the United States Patent and Trademark Office (the “PTO”), the U.S. Copyright Office or their respective counterparts in any relevant foreign jurisdiction, as the case may
be. 
  
 (h) Company has taken all necessary action to maintain and
protect (i) Company’s Intellectual Property, and (ii) the secrecy, confidentiality, value and Company’s rights in the Confidential Information and Trade Secrets of Company and those provided by any Person to Company, including by
having and enforcing a policy requiring all current and former employees, consultants and contractors of Company to execute appropriate confidentiality and assignment agreements. All copies thereof shall be delivered to Parent at or prior to
Closing. Company has no Knowledge of any violation or unauthorized disclosure of any Trade Secret or Confidential Information related to its business or obligations of confidentiality with respect to its business. 
  
 (i) To the Knowledge of the Company, the operation of the Company’s
business as it is currently conducted, or as it is currently planned to be conducted by Company prior to Closing, does not and will not, and will not when operated by Parent substantially in the same manner following the Closing, violate, infringe
or misappropriate any Intellectual Property Rights of any Person. 
  
 (j) To the Knowledge of Company, no Person is violating, infringing or misappropriating any Company Intellectual Property Right. 
  
 (k) To the Knowledge of the Company, there are no Proceedings before any Governmental Authority (including before the PTO) anywhere in the world related
to any of the Company Intellectual Property, including any Company Registered Intellectual Property Rights. 
  
 (l) No Company Intellectual Property is subject to any Proceeding or any outstanding decree, order, judgment, office action or settlement agreement or
stipulation that restricts in any manner the use, transfer or licensing thereof by Company or, to the Knowledge of the Company, that may affect the validity, use or enforceability of such Company Intellectual Property. 
  
 (m) Section 4.15(m) of the Company Disclosure Schedule lists all
Contracts affecting any Intellectual Property Rights. Company is not in breach of, nor has Company failed to perform under, any such Contracts and, to Company’s Knowledge, no other party to any such Contracts, is in breach thereof or has failed
to perform thereunder. 
  
 (n) To the extent not listed in
Section 4.15(m) of the Company Disclosure Schedule, Section 4.15(n) of the Company Disclosure Schedule lists all Contracts under which Company has agreed to, or assumed, any obligation or duty to warrant, indemnify,
reimburse, hold harmless, guaranty or otherwise assume or incur any obligation or liability, or provide a right of rescission, with respect to the infringement or misappropriation by Company or such other person of the Intellectual Property Rights
of any Person other than Company. 
  
 (o) To the Knowledge of
Company, there is no Contract affecting any Company Intellectual Property under which there is any dispute regarding the scope of such Contract, or performance under such Contract, including with respect to any payments to be made or received by
Company thereunder. 
  

 -19- 

 (p) All Company Intellectual Property owned by the Company will be fully transferable, alienable or
licensable by Parent or Surviving Corporation without restriction (other than restrictions on sublicensing that exist as of the Closing) and without payment of any kind to any third party. The consummation of the transaction as contemplated hereby
will not result in any loss of any Company Intellectual Property or the right to use any Company Intellectual Property. 
  
 (q) Neither this Agreement nor the transactions contemplated herein, including the assignment to Parent, by operation of law or otherwise, of any
Contracts will result in (i) Parent granting to any third party any right to, or with respect to, any Intellectual Property Right owned by, or licensed to, Parent; (ii) Parent being bound by, or subject to, any non-compete or other
restriction on the operation or scope of its businesses; or (iii) Parent being obligated to pay any royalties or other amounts to any third party. 
  
 4.16 Real Property. The Company does not own any Real Property or any interest in Real Property except for the leaseholds created under the
Real Property leases identified in Section 4.16 of the Company Disclosure Schedule (the “Leased Premises”) pursuant to which the Company is the lessee. The Company enjoys peaceful and undisturbed possession of such
premises. The Company has delivered or made available to Parent complete copies of all such leases. All leases pursuant to which the Company leases such property are valid and effective in accordance with their respective terms, and there exists no
material default thereunder by Company, or to the Knowledge of Company, any occurrence or condition that is reasonably likely to result in a default thereunder or termination thereof. Surviving Corporation will obtain a valid leasehold interest in
such leases, in each case free and clear of all Encumbrances, except Permitted Encumbrances. 
  
 4.17 Employees, Consultants and Physicians.
  
 (a) Section 4.17(a) of the Company Disclosure Schedule contains a list of all employees of the Company (including any employee on a leave of absence or layoff status), showing for each employee, the
employee’s hire date, title and current annualized compensation. 
  
 (b) Section 4.17(b) of the Company Disclosure Schedule contains a list of individuals who are currently performing services for the Company business and are classified as “consultants” or “independent
contractors,” and the respective compensation, including any compensation that may become due as a result of the achievement of certain milestones reached by the Company or other event agreed to by the parties, of each such
“consultant” or “independent contractor.” 
  
 (c) Section 4.17(c) of the Company Disclosure Schedule contains a list of (i) physicians who are currently providing radiological interpretations to or on behalf of the Company, (ii) annual agreed compensation paid to
each such physician by ATNPC, including any compensation that may become due as a result of the achievement of certain milestones reached by the Company or ATNPC or other event agreed to by the parties, (ii) the states in which each such
physician is licensed to practice medicine, by physician and (iv) the hospitals at which each such physician has staff privileges, by physician. 
  

 -20- 

 (d) The Company has no collective bargaining agreements, union Contracts or similar Contracts with any of
its employees. There is no labor union organizing activity pending or, to the Company’s Knowledge, threatened with respect to the Company. 
  
 (e) Except as set forth in Section 4.17(e) of the Company Disclosure Schedule, the employment of each of the Company’s employees is
terminable by the Company at will; and no employee has any agreement or contract, written or verbal, regarding his or her employment other than the employment offer letter delivered by the Company to such employee, in the Company’s standard
form, a copy of which form has been made available to Parent. The Company has delivered or made available to Parent accurate and complete copies of all employee manuals and handbooks, disclosure materials, policy statements, employment agreements
and other materials relating to the employment of its current employees, and to the extent that the Company has outstanding payment obligations or Liabilities thereunder, relating to the employment of former employees. 
  
 (f) To the Company’s Knowledge, (i) no employee of the Company, nor
any consultant with whom the Company has contracted, is in violation of any term of any employment contract, proprietary information agreement or other agreement relating to the right of any such individual to be employed by, or to contract with,
the Company because of the nature of the business to be conducted by the Company, and (ii) the continued employment by the Company of its present employees, and the performance of the Company’s Contracts with its independent contractors,
will not result in any such violation. The Company has not received any written notice alleging that any such violation has occurred. No employee of the Company has been granted the right to any continued employment with Company or to any material
compensation following termination of employment with the Company. To the Knowledge of the Company, no officer or key employee, or any group of employees, or any independent contractor or consultant, intends to terminate his, her or their employment
with the Company. The Company does not have a present intention to terminate the employment of any officer, key employee, key contractor or group of employees or contractors. 
  
 (g) The Company is not engaged, and has never been engaged, in any unfair labor practice of any nature. There has never been
any slowdown, work stoppage, labor dispute or union organizing activity, or any similar activity or dispute, materially affecting the Company or any of its employees. There is not now pending, and to the Knowledge of the Company no Person has
threatened to commence, any such slowdown, work stoppage, labor dispute or union organizing activity or any similar activity or dispute, nor has any event occurred. 
  
 (h) There are no Proceedings pending with respect the employees or consultants of the Company in connection with their
service with the Company, and to the Knowledge of Company, no such Proceedings are threatened. 
  
 (i) Except as set forth in Section 4.17(i) of the Company Disclosure Schedule, the Company has no obligation to pay, and has not paid or agreed to pay, any bonus or similar amount to any employee or
consultant of Company in connection with the Merger or this Agreement. 
  

 -21- 

 4.18 Benefit Plans; ERISA.
  
 (a) Section 4.18 of the Company Disclosure Schedule lists (i) all Employee Benefit Plans, (ii) all
employment agreements, including any individual benefit arrangement, policy or practice with respect to any current or former employee or director of the Company or ERISA Affiliate, and (iii) all other employee benefit, bonus or other incentive
compensation, stock option, stock purchase, stock appreciation, severance pay, lay-off or reduction in force, change in control, sick pay, vacation pay, salary continuation, retainer, leave of absence, educational assistance, service award, employee
discount, and fringe benefit plans, arrangements, policies or practices, whether legally binding or not, which the Company or any ERISA Affiliate maintains, contributes to or has any obligation to or Liability for (collectively, the
“Plans”). 
  
 (b) None of the Plans is or was a
Pension Plan, and neither the Company nor any ERISA Affiliate has ever sponsored, maintained or contributed to, or ever been obligated to contribute to, a Pension Plan. 
  
 (c) None of the Plans is or was a Multiemployer Plan, and neither the Company nor any ERISA Affiliate has ever contributed
to, or ever been obligated to contribute to, a Multiemployer Plan. 
  
 (d) The Company does not maintain or contribute to any welfare benefit plan which provides health benefits to an employee after the employee’s termination of employment or retirement except as required under Section 4980B of the
Code and Sections 601 through 608 of ERISA. 
  
 (e) Each Employee
Benefit Plan materially complies by its terms and in operation with the requirements provided by any and all statutes, orders or governmental rules or regulations currently in effect and applicable to the Employee Benefit Plan, including but not
limited to ERISA and the Code. 
  
 (f) All reports, forms and
other documents required to be filed with any government entity or furnished to employees, former employees or beneficiaries with respect to any Employee Benefit Plan or benefit arrangement (including without limitation, summary plan descriptions,
Forms 5500 and summary annual reports) have been timely filed and furnished and are accurate. 
  
 (g) Each of the Employee Benefit Plans that is intended to qualify under Section 401(a) of the Code is the subject of a favorable determination letter issued by the Internal Revenue Service after January 1,
1997 approving such Employee Benefit Plans as so amended (or (i) the Company has time remaining in which to apply for a favorable determination letter, or (ii) if reliance is permitted under IRS Announcement 2001-77, the Company relies on
the favorable opinion letter or advisory letter of the master and prototype or volume submitter plan sponsor of such Employee Benefit Plan). Each trust maintained pursuant to any such Employee Benefit Plan has been determined by the Internal Revenue
Service to be exempt from taxation 
  

 -22- 

 under Section 501 of the Code. To the Knowledge of Company, nothing has occurred since the date of the Internal
Revenue Service’s favorable determination letter that could adversely affect the qualification of the Employee Benefit Plan and its related trust. The Company and each ERISA Affiliate have timely amended and operated each of the applicable
Employee Benefit Plans in material compliance with the Economic Growth and Tax Relief Reconciliation Act of 2001 and subsequent legislation enacted through the date hereof, and Section 501 of the Code. 
  
 (h) All contributions for each Employee Benefit Plan for all periods ending
prior to the Closing Date (including periods from the first day of the current plan year to the Closing Date) have been made prior to the Closing Date by the Company in accordance with applicable Legal Requirements and the recommended contribution
in any applicable actuarial report. 
  
 (i) All required insurance
premiums have been paid, subject only to normal retrospective adjustments in the ordinary course, with regard to the Employee Benefit Plans for plan years ending on or before the Closing Date. 
  
 (j) With respect to each Employee Benefit Plan: 
  
 (i) no prohibited transactions (as defined in Section 406 or 407 of
ERISA or Section 4975 of the Code) have occurred for which a statutory exemption is not available; 
  
 (ii) no actions or claims (other than routine claims for benefits made in the ordinary course of the Employee Benefit Plan administration for which
Employee Benefit Plan administrative review procedures have not been exhausted) are pending, or, to the Knowledge of the Company, threatened against or with respect to the Employee Benefit Plan, any employer who is participating (or who has
participated) in any Employee Benefit Plan or any fiduciary (as defined in Section 3(21) of ERISA) of the Employee Benefit Plan; 
  
 (iii) the Company has no Knowledge of any facts which could give rise to any such action or claim; and 
  
 (iv) the plan document provides that it may be amended or terminated at any
time and, except for benefits protected under Section 411(d) of the Code, all benefits payable to current or terminated employees or any beneficiary may be amended or terminated by the Company at any time without Liability. 
  
 (k) Neither the Company nor any ERISA Affiliate has any Liability or is
threatened with any Liability (whether joint or several) (i) for any excise tax imposed by Section 4971, 4975, 4976, 4977 or 4979 of the Code, or (ii) to a fine under Section 502 of ERISA. 
  
 (l) All of the Plans, to the extent applicable, are in material compliance
with the continuation of group health coverage provisions contained in Section 4980B of the Code and Sections 601 through 608 of ERISA, the requirements of the Family Medical Leave Act of 1993, as amended, the requirements of the Health
Insurance Portability and Accountability Act of 1996 (including the regulations set forth in Parts 160, 162, and 164 of Title 45 of the Code of 
  

 -23- 

 Federal Regulations), the requirements of the Women’s Health and Cancer Rights Act of 1998, the requirements of the
Newborns’ and Mothers’ Health Protection Act of 1996, and any amendment to each such act, or any similar state law requirements. 
  
 (m) The Company has delivered or made available to Parent true, correct and complete copies of: (i) all documents creating or evidencing any Plan;
(ii) all reports, forms and other documents required to be filed with any governmental entity or furnished to employees, former employees or beneficiaries (including, without limitation, summary plan descriptions, Forms 5500 and summary annual
reports for all plans subject to ERISA, but excluding individual account statements and tax forms) for the preceding plan year; (iii) all IRS determination, opinion, notification and advisory letters and rulings relating to any Employee Benefit
Plan; (iv) all applications and correspondence to or from the IRS, Department of Labor or any other governmental agency with respect to any Employee Benefit Plan; and (v) all material written agreements and contracts relating to each Plan
or its related trust (if any), including, but not limited to, administrative service agreements, group annuity contracts and group insurance contracts. There are no negotiations, demands, proposals, or commitments which are, to the Knowledge of the
Company, pending or have been made to increase or enhance the compensation or benefits made available through the Plans except as otherwise provided in Section 4.18 of the Company Disclosure Schedule. 
  
 4.19 Tax Matters.
  
 (a) Except as otherwise provided in Section 4.19 of the Company
Disclosure Schedule, each material Tax required to have been paid by the Company (whether pursuant to any Tax Return or otherwise) has been duly paid in full on a timely basis, other than Taxes which are adequately reserved for on the Company’s
Interim Balance Sheet. 
  
 (b) The Company has filed all material
Tax Returns required to be filed on or before the date hereof. All Company material Tax Returns (i) have been, or will be, filed when due, and (ii) were correct and complete in all material respects. All amounts shown on the Company Tax
Returns to be due on or before the Closing Date, and all material amounts otherwise required to be paid in connection with the Company Tax Returns on or before the Closing Date, have been or will be paid on or before the Closing Date. The Company
has delivered to Parent accurate and complete copies of all Company Tax Returns pertaining to state and federal income taxes and payroll taxes filed for the fiscal periods ended December 31, 2004, 2003 and 2002. 
  
 (c) The Company’s Liability for unpaid Taxes for all periods ending on
or before the date of the Interim Balance Sheet, including any Liability for Taxes assumed under contract, does not, in the aggregate, exceed the amount of the current Liability accruals for Taxes (excluding reserves for deferred taxes established
to reflect timing differences between book and Tax treatment) reported on the Interim Balance Sheet. The Company has incurred no liability for Taxes since the date of the Interim Balance Sheet other than in the Ordinary Course of Business. The
Company will establish, in the Ordinary Course of Business, reserves adequate for the payment of all Taxes for the period from the date of the Interim Balance Sheet through the Closing Date, and the Company will disclose the dollar amount of such
reserves to Parent on or prior to the Closing Date. 
  

 -24- 

 (d) The Company has delivered to Parent accurate and complete copies of all audit reports and similar
documents relating to material Company Tax Returns. No extension or waiver of the limitation period applicable to any of the Company Tax Returns has been granted (by the Company or any other Person), and no such extension or waiver has been
requested from the Company. 
  
 (e) No claim or other Proceeding
is pending or, to the Company’s Knowledge, has been threatened in writing against or with respect to the Company in respect of any material Tax. There are no unsatisfied Liabilities for Taxes (including liabilities for interest, additions to
tax and penalties thereon and related expenses) with respect to any notice of deficiency or similar document received by the Company. The Company has not been, and will not be, required to include any material adjustment in taxable income for any
tax period (or portion thereof) pursuant to Section 481 or 263A of the Code or any comparable provision under state or foreign Tax laws as a result of transactions or events occurring, or accounting methods employed, prior to the Closing. No
claim has ever been made by an authority in a jurisdiction where Company does not file Returns that it is or may be subject to taxation by that jurisdiction. 
  
 (f) The Company has never been in a “consolidated group” within the meaning of Treasury Regulations Section 1.1502-1(h), and is not liable
for Taxes incurred by any individual, trust, corporation, partnership or other Entity whether as a transferee, pursuant to Treasury Regulations Section 1.1502-6, or pursuant to any other provision of federal, territorial, state, local or
foreign law or regulations. The Company is not a party to any joint venture, partnership or other arrangement or contract that to the Company’s Knowledge could be treated as a partnership for United States Federal income tax purposes. The
Company is not, and has never been, a party to or bound by any Tax indemnity agreement, Tax sharing agreement, Tax allocation agreement or similar Contract, and has not otherwise assumed the Tax Liability of any other Person under contract.

  
 (g) There is no agreement, plan, arrangement or other Contract
covering any employee or independent contractor or former employee or independent contractor of the Company that, individually or collectively, could give rise directly or indirectly to the payment of any amount that would not be deductible pursuant
to Section 280G of the Code. The Company has withheld and paid over all material Taxes required to have been paid and/or withheld and paid over, and complied with all material information reporting and back-up withholding requirements,
including maintenance of required records with respect thereto, in connection with amounts paid or owing to any employee, creditor, independent contractor or third party. 
  
 (h) The Company is not a United States real property holding corporation within the meaning of Section 897(c)(2) of the
Code and has not been a United States real property holding corporation within the applicable period specified in Section 897(c)(1)(A)(ii) of the Code. 
  
 (i) The Company has not been a “distributing corporation” or a “controlled corporation” in a transaction intended to qualify under
Section 355 of the Code. 
  

 -25- 

 (j) The Company has disclosed on its federal income Tax Returns, in accordance with applicable disclosure
procedures under Sections 6662 and 6664 of the Code, all positions taken thereon that could give rise to a substantial understatement penalty within the meaning of Section 6662 of the Code. Company has not filed, and is not required to file, a
disclosure statement under Treasury Regulation Section 1.6011-4, Treasury Regulation Section 1.6011-4T, or under any similar provision of state law, with respect to participation in a reportable transaction (as defined in such regulation
or similar provision of state law). 
  
 (k) There are (and
immediately following the Effective Time there will be) no liens, pledges, charges, claims, restrictions on transfer, mortgages, security interests or other encumbrances of any sort (collectively, “Liens”) on the assets of the
Company relating to or attributable to Taxes other than Liens for Taxes not yet due and payable. There is no basis for the assertion of any claim relating or attributable to Taxes which, if adversely determined, would result in any Lien for Taxes on
the assets of the Company. 
  
 (l) The Company is not subject to
Tax in any jurisdiction other than its country of incorporation or formation by virtue of having a permanent establishment or other place of business or by virtue of having a source of income in that jurisdiction. 
  
 4.20 Environmental Compliance.
  
 (a) The Company is and has been at all times in compliance in all material
respects with all Environmental Laws. The Company has now and at all times has had all the necessary permits and other Governmental Approvals required under Environmental Laws for the operation of its business, and is not and has not been in
violation in any material respect of any of the terms and conditions of any of such permits or such other Governmental Approvals. The Company has not received any written notice or other written communication that alleges that the Company is not in
compliance with any Environmental Law. 
  
 (b) The Company has not
generated, manufactured, produced, transported, imported, used, treated, refined, processed, handled, stored, discharged, released, or disposed of any Hazardous Materials (whether lawfully or unlawfully) at any premises occupied or controlled by the
Company on or at any time prior to the Closing Date. There: (i) are not and have not been any releases or threatened releases of any Hazardous Materials by Company, or in connection with the business of Company, or to Company’s Knowledge
in any other respect, in any quantity at, on or from any such premises, (ii) are no circumstances that may prevent or interfere with the Company’s material compliance with any Environmental Law, and (iii) to the Knowledge of Company,
is no former owner or user of any such premises who was engaged in any type of manufacturing or commercial activity which would be reasonably expected to generate, manufacture, produce, transport, import, use, treat, refine, process, handle, store,
discharge, release or dispose of any Hazardous Materials (whether lawfully or unlawfully) on such premises. 
  
 4.21 Material Contracts.
  
 (a) Section 4.21(a) of the Company Disclosure Schedule lists each material Contract to which Company is a party, to which any other Person has
entered into on behalf of or 
  

 -26- 

 for the benefit of Company, pursuant to which, to the Knowledge of the Company, the Company otherwise benefits, or
pursuant to which Company’s assets or liabilities are otherwise bound or affected, and in each case that falls within one of the following categories (collectively, the “Material Contracts”): 
  
 (i) Shareholder agreements, voting trusts, proxies or other binding
arrangements or understandings among all or any of the stockholders or other Equity Interest holders of the Company relating to the voting of their respective capital stock of the Company or other Equity Interest in the Company; 
  
 (ii) Investor rights agreements, registration rights agreements and other
Contracts granting rights of any nature to any holder of Company capital stock or other securities of, or other equity interest in, the Company, or to persons having rights to acquire such capital stock, securities or equity interest; 
  
 (iii) Contracts related to the issuance or transfer of the securities of, or
any other Equity Interest in, the Company, including stock purchase agreements, warrants, convertible notes, and other notes; 
  
 (iv) Personal property leases and conditional sales and title retention agreements for personal property, in each case involving payments of more than
$5,000 individually or $25,000 in the aggregate for related leases; 
  
 (v) Real Property leases and subleases and any other Contracts relating to any right, title or interest in or to Real Property; 
  
 (vi) any Customer Contract; 
  
 (vii) any in-bound licenses and related Contracts, other than licenses for commercial off the shelf software licensed by the Company in the Ordinary
Course of Business not required to be scheduled on Schedule 4.15(c); 
  
 (viii) any out-bound licenses and related Contracts, other than Customer Contracts entered into in the Ordinary Course of Business; 
  
 (ix) any Contract relating to any sales, agency, distribution, marketing, service/product tie-in, barter or in-kind
agreement; 
  
 (x) any Contract for the manufacture, service or
maintenance of any equipment or other personal property of Company involving payments of more than $5,000; 
  
 (xi) any other Contract for capital expenditures or for the purchase of goods or services in excess of $5,000 for individual items or more than $25,000
for a category or type of goods or services, other than the purchase of supplies in the Ordinary Course of Business; 
  
 (xii) any mortgage or other Contract involving financing or borrowing of money for the Company, or evidencing indebtedness or any Liability for borrowed
money or any obligation for the deferred purchase price of property in each case for or of the Company (excluding normal trade payables); 
  

 -27- 

 (xiii) any Contract to indemnify any Person, to share in or contribute to the Liability of any Person or
to guarantee any Liability of any Person, other than Customer Contracts entered into in the Ordinary Course of Business; 
  
 (xiv) any joint venture, partnership, cooperative arrangement or similar Contract and any other Contract involving a sharing of profits; 
  
 (xv) any Contract related to the acquisition of a business or the equity of
any other Person; 
  
 (xvi) any Contract for the purchase or sale
of any assets or for the option or rights to purchase or sell any assets in excess of $5,000 per purchase order and in any case other than in the Ordinary Course of Business; 
  
 (xvii) any Contract with or with respect to any consultant, independent contractor or employee of the Company, including
with respect to bonus, stock option or other incentive equity, termination payments or other compensation, and further including any Contract with any labor union, other than employment offer letters in the Company’s standard form; 

 
 (xviii) any Contract with any Governmental Authority; 
  
 (xix) any insurance policy or other Contract pertaining to insurance;

  
 (xx) any Contract containing covenants not to compete
applicable to the Company, with any Person in any geographical area; 
  
 (xxi) any power of attorney, proxy or similar instrument, except for the power of attorney granted to Company’s counsel or foreign patent agents or similar persons for the prosecution of matters related to the Company’s Registered
Intellectual Property Rights; 
  
 (xxii) any Contract for the
purchase or sale of foreign currency or otherwise involving foreign exchange transactions; 
  
 (xxiii) any Contract containing a “most-favored nation” or other provision requiring adjustment of cost, pricing, priority or other terms or conditions of the Contract, or performance obligations under such
Contract; 
  
 (xxiv) any Contract requiring Company to “pass
through” or otherwise provide any party to such Contract the full or partial benefit of reduced royalty rates, production or other costs; 
  
 (xxv) any Contract which by its terms requires the consent of the other party to the transfer or assignment of such Contract, including in the in the
event the Company shall sell all or substantially all of its assets or business or otherwise be subject to a merger, reorganization, consolidation or change in control; 
  

 -28- 

 (xxvi) any Contract between Company and an Affiliate, other than employment offer letters in the
Company’s standard form; 
  
 (xxvii) any confidentiality,
non-disclosure or similar Contract between Company and any third party; and 
  
 (xxviii) (1) Any other Contract which provides for payment or performance by any party thereto having an aggregate value of $5,000 or more, including future payments, performance of services or delivery of goods
or materials to or by Company of an aggregate amount or value in excess of $25,000 on an annual basis, (2) any other Contract outside the Ordinary Course of Business of Company and (3) any Contract the terms of which are not
arm’s-length. 
  
 (b) Section 4.21(b) of the
Company Disclosure Schedule sets forth any proposed Contract under negotiation or discussion that would fall under any of the categories in subsection (a) above if it is executed or otherwise becomes legally binding at any time in the future.

  
 (c) The Material Contracts constitute all of the material
contracts used in or, to the Company’s Knowledge, necessary for the conduct of the business of the Company as currently conducted in a manner consistent with the conduct of the business in the previous year. 
  
 (d) Company has provided to Parent true, accurate and complete copies of all
of the Material Contracts, and there are no oral or written amendments, modifications, side letters, supplements or other arrangements or agreements in existence with respect to the Material Contracts which have not been provided to Parent.

  
 (e) Each Material Contract is in full force and effect and is
valid and legally binding on Company and, to Company’s Knowledge, the other parties thereto, and each Material Contract is enforceable in accordance with its terms with respect to Company and, to the Knowledge of Company, with respect to each
other party to such Material Contract. Company has no Knowledge of any pending or threatened bankruptcy, insolvency or similar Proceeding with respect to any party to any Material Contract. 
  
 (f) To the Knowledge of Company, no audit or similar review or investigation
has been or is being conducted by any party to a Material Contract. Company has no Knowledge of, and has not received any written notice or written request with respect to, any such audit, review or investigation, and Company has no Knowledge of any
facts that are reasonably likely to lead to the commencement of any such audit, review or investigation. 
  
 (g) Company is not in material violation or material breach of or material default under any Material Contract. To the Knowledge of Company, no third
party to any Material Contract is in material violation or breach of or material default under any Material Contract. No action by Company has been taken, and to Company’s Knowledge, no action has been taken by another Person, which would, with
or without notice or lapse of time, (i) result in a 
  

 -29- 

 violation or breach of any of the provisions of any Material Contract other than immaterial violations or breaches,
(ii) give any Person the right to declare a material default under or exercise any remedy under any Material Contract, (iii) give any Person the right to accelerate the maturity or performance of any Material Contract, or (iv) give
any Person the right to cancel, terminate or modify any Material Contract or assert a counterclaim, defense or offsetting claim under a Material Contract. Company has no Knowledge of, and has received no written notice of, any of the foregoing, and
Company has no Knowledge of facts that are reasonably likely to result in any of the foregoing. 
  
 (h) No Person (i) is renegotiating, or (ii) has requested a renegotiation of, any amount paid or payable to Company under any Material Contract
or any other term or provision of any Material Contract. Company has not waived any of its material rights under any Material Contract. Performance of the Material Contracts by Company as of the Closing Date will not result in any violation of or
failure to comply with any Legal Requirement. Company has not guaranteed or otherwise agreed to insure or become liable for in any way any Contract or Liability of another Person, or pledged any of Company’s assets to secure the performance or
payment of any Material Contract. Neither Company nor any of its Affiliates or officers, nor, to the Knowledge of Company, any employee or agent of Company or any other Person acting on Company’s behalf, has directly or indirectly within the
last five (5) years provided, or agreed to provide, any tangible or intangible benefit to any customer, supplier, Governmental Authority, employee or other Person that would result in any violation of any Legal Requirement. 
  
 4.22 Government Contracts.
  
 (a) The Company has not been suspended or debarred from bidding on contracts
or subcontracts for any Government Authority, nor, to the Company’s Knowledge, has any suspension or debarment action been commenced. There is no valid basis for the Company’s suspension or debarment from bidding on contracts or
subcontracts for any Government Authority. 
  
 (b) The Company has
not within the preceding three (3) years been, nor is it now being, audited or, to Company’s Knowledge, investigated by any Government Authority, including without limitation the Government Accountability Office, the Defense Contract Audit
Agency, the Defense Contract Administrative Service, the Department of Labor, the Department of Health and Human Services, the Environmental Protection Agency, the General Services Administration, or the inspector general or auditor general or
similar functionary of any agency or instrumentality, nor, to the best of Company’s Knowledge, is any such audit or investigation threatened. 
  
 (c) No material cost incurred by the Company pertaining to any contracts or subcontracts for any Government Authority has been questioned or challenged by
representatives of a Government Authority, or is, to the Knowledge of Company, the subject of any investigation, or has been disallowed by the United States Government, and no amount of money due to the Company pertaining to any contracts or
subcontracts for any Government Authority has been withheld or set off nor has any claim been made to withhold or set off money and the Company is entitled to all progress payments received with respect thereto; and all amounts previously charged or
at present carried as chargeable by the Company to any contracts or subcontracts for any Government Authority have been or will be reasonable, allowable and allocable to each such contracts or subcontracts for any Government Authority. 

 

 -30- 

 (d) The operation of its business by the Company, as it relates to the contracts or subcontracts for any
Government Authority, has been conducted in all material respects in accordance with all applicable laws, regulations, and other requirements of all Government Authorities. 
  
 4.23 Medical Liability. Company is not subject to any Liability arising from any injury to Person or property or
as a result of any claim of medical malpractice or similar circumstance. There are no pending claims, and within the last five (5) years there have not been any material claims involving any of the Company’s physician contractors or
physician employees. 
  
 4.24 Customers and
Contractors. The Company has not received any written notice of, and Company has no Knowledge of, facts or circumstances indicating that any current customer or contractor including in connection with the consummation of the Merger or
otherwise (i) intends to cease dealing with Company, (ii) intends to otherwise materially reduce the volume of business transacted by such Person with Company, (iii) is otherwise materially dissatisfied with the services the Company
provides such person or otherwise with its relationship with Company, or (iv) is threatened with bankruptcy or insolvency. 
  
 4.25 Restrictive Covenants. There is no Contract to which the Company is a party or any Order or Legal Requirement binding upon or applicable
to the Company which has or would reasonably be expected to have the effect of (a) prohibiting or materially impairing any business practice material to the Company, (b) prohibiting or materially impairing any acquisition of property by
the Company or (c) restricting or prohibiting, through a non-competition or similar obligation or otherwise, the Company from conducting business or competing in any line of business with any Person or in any geographic area. 
  
 4.26 Competing Business. Neither Company nor, to the Knowledge of
Company, any officer, director (or any family member thereof) or controlled Affiliate of Company directly or indirectly holds any interest in (excepting not more than five-percent (5%) stockholdings for investment purposes in securities of
publicly held and traded companies), or is an officer, director, employee or consultant of, or otherwise receives remuneration from, any Person that is, or is engaged in business as, a competitor, lessor, lessee, customer or supplier of Company or
is party to any Contract with the Company. 
  
 4.27
Insurance.
  
 (a) Section 4.27 of the Company
Disclosure Schedule sets forth, with respect to each insurance policy maintained by or at the expense of, or for the direct or indirect benefit of, the Company as of the Execution Date: 
  
 (i) the name of the insurance carrier that issued such policy and the policy number of such policy; 
  

 -31- 

 (ii) whether such policy is a “claims made” or an “occurrences” policy; 

 
 (iii) a description of the coverage provided by such policy; 

 
 (iv) the annual premium payable with respect to such policy; and

  
 (v) a description of any claims pending, and any claims that
have been asserted in the past, with respect to such policy. 
  
 (b) The Company has delivered or made available to Parent accurate and complete copies of each of the insurance policies identified in Section 4.27 of the Company Disclosure Schedule (including all renewals thereof and
endorsements thereto) and binders relating thereto indicating that such policies are in full force and effect as of the date hereof, and all of the pending applications identified in Section 4.27 of the Company Disclosure Schedule. The
Company does not have any self-insurance or risk sharing arrangement affecting the Company or any of its assets. 
  
 (c) Each of the policies identified in Section 4.27 of the Company Disclosure Schedule is valid, enforceable and in full force and effect, and
has been issued by an insurance carrier that, to the Knowledge of the Company, is solvent and financially sound. All of the information contained in the applications submitted in connection with said policies was (at the times said applications were
submitted) accurate and complete in all material respects, and all premiums and other amounts owing with respect to said policies have been paid in full. The Company maintains policies of insurance of the type and in amounts reasonably and
customarily carried by persons conducting businesses or owning assets similar in type and size and in similar industries to those of the Company, including all legally required workers’ compensation insurance and errors and omissions, casualty,
fire and general liability insurance. Each of the policies identified in Section 4.27 of the Company Disclosure Schedule will continue in full force and effect following the Closing, and the Company has paid all premiums due, and has
otherwise performed in all material respects all of its obligations, under each policy to which it is a party or that provides coverage to it or any of its directors, officers or contractors in connection with their performance of services to the
Company. 
  
 (d) There is no pending claim under or based upon any
of the policies identified in Section 4.27 of the Company Disclosure Schedule, and, to the Knowledge of the Company, no event has occurred, and to the Company’s Knowledge, no condition or circumstance exists, that would (with or
without notice or lapse of time) directly or indirectly give rise to or serve as a reasonable basis for any such claim. 
  
 (e) The Company has not received: 
  
 (i) any notice regarding the actual or possible cancellation or invalidation of any of the policies identified in Section 4.27 of the Company
Disclosure Schedule or regarding any actual or possible adjustment in the amount of the premiums payable with respect to any of said policies; or 
  

 -32- 

 (ii) any notice regarding any actual or possible refusal of coverage under, or any actual or possible
rejection of any claim under, any of the policies identified in Section 4.27 of the Company Disclosure Schedule. 
  
 4.28 Affiliate Transactions.
  
 (a) Except as provided in Section 4.28 of the Company Disclosure Schedule, no Affiliate of the Company has, and no such Affiliate of the
Company has at any time had, any direct or indirect interest of any nature in any asset used in or otherwise relating to the business of the Company. 
  
 (b) No Affiliate of the Company is indebted to the Company for an amount, individually or in the aggregate, in excess of $1,000. 
  
 (c) No Affiliate of the Company has entered into, or has had any direct or
indirect financial interest in, any Contract, transaction or business dealing of any nature involving the Company other than with respect to the grant or purchase of Equity Interests in the Company or except in connection with employment with
Company. 
  
 (d) To the Knowledge of Company, no Affiliate of the
Company has any claim or right against the Company, except for salary, vacation pay, expense reimbursement or similar claims arising from such Affiliate’s employment with the Company. 
  
 4.29 Interim Operations. Since December 31, 2004:

  
 (a) Company has operated in the Ordinary Course of Business,
and there has not been any occurrence, event, incident, action, failure to act or transaction outside the Ordinary Course of Business; 
  
 (b) The Company has not (i) declared, accrued, set aside or paid any dividend or made any other distribution in respect of any shares of capital
stock, or (ii) repurchased, redeemed or otherwise reacquired any shares of capital stock or other securities, or split, combined or reclassified any of its capital stock or issued or authorized the issuance of any other securities in respect
of, in lieu of or in substitution for shares of its capital stock, or repurchased or otherwise acquired, directly or indirectly, any shares of its capital stock; 
  
 (c) The Company has not sold or otherwise issued (or granted any warrants, options or other rights to purchase) any shares
of capital stock or any other Equity Interest in the Company; 
  
 (d) The Company has not amended its Certificate of Incorporation or bylaws and has not effected or been a party to any acquisition transaction, recapitalization, reorganization, reclassification of shares, stock split, reverse stock split
or similar transaction (other than the acquisition transaction with Parent and Merger Sub set forth herein); 
  
 (e) There has not been any material damage, destruction or other casualty loss with respect to any of the Company’s assets; 
  

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 (f) Company has not materially violated any Legal Requirement applicable to Company; 
  
 (g) Company has not entered into any Contract (other than with Parent and its
Affiliates) regarding any sale or acquisition of the Company (whether by merger, stock acquisition or otherwise) or all or a significant portion of its assets, or any license to its Intellectual Property Rights outside the Ordinary Course of
Business or any exclusive license to its Intellectual Property Rights, nor has Company entered into any Contract with respect to any acquisition by Company of any Person or assets that would materially affect or relate to the Company’s
business; 
  
 (h) There has not been, except as required by any
change in GAAP, any material change by Company in its accounting principles, practices or methods, in its Tax practices or principles or in the practices or standards used to maintain Company’s books, accounts or business records; 

 
 (i) Company has not violated, entered into, terminated or materially
modified any of its Material Contracts or Governmental Approvals, and no Governmental Authority or other Person has amended, accelerated, terminated or modified any such Material Contracts or Governmental Approvals; 
  
 (j) To Company’s Knowledge, no Proceeding has been commenced against
Company, and Company has not commenced any Proceeding against any other Person other than for the routine collection of Accounts Receivable in the Ordinary Course of Business; 
  
 (k) Company has not (i) failed to maintain its assets in good repair, order and condition, reasonable wear and tear
excepted, (ii) accelerated the collection of any Accounts Receivable, or (iii) made any sale of any such Accounts Receivable or any accrual of liabilities, written off any Accounts Receivable which are individually or in the aggregate
material or portions thereof as uncollectible or established an extraordinary reserve with respect thereto; 
  
 (l) Company has not sold, leased, transferred or assigned any material asset, other than in the Ordinary Course of Business; 
  
 (m) Company has not assigned, nor granted any license or sublicense of any
rights under or with respect to, any of its Intellectual Property Rights or granted any license with respect to any such right (other than non-exclusive licenses to customers of the Company in the Ordinary Course of Business); 
  
 (n) Company has not made any material gifts or sold, transferred or exchanged
any material property on a non-arm’s length basis; 
  
 (o)
Company has not mortgaged, pledged or subjected any of its assets to any Encumbrance; 
  
 (p) Company has not forgiven any material debt or otherwise released or waived any material right or claim nor discharged any material lien nor paid any obligation or Liability other than in the Ordinary Course of
Business; 
  

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 (q) To the Knowledge of Company, Company has not suffered any material loss of or harm to any
relationship with, any customer or other third Person material to the Company’s business; 
  
 (r) The Company has not otherwise become subject to any Liability in an individual or aggregate amount greater than $1,000 not otherwise reflected on the most recent Interim Balance Sheet; 
  
 (s) Company has not taken, or failed to take, any other action that would or
could reasonably be expected to have a Material Adverse Effect; and 
  
 (t) Company has not entered into any Contract or otherwise agreed, in writing or otherwise, to take any of the actions that are described above or that would be reasonably likely to lead to the occurrence of any of the events or conditions
described above. 
  
 4.30 Finders and Brokers;
Fees. Except as set forth on Section 4.30 of the Company Disclosure Schedule, neither the Company nor any person acting on behalf of the Company has negotiated with any finder, broker or any similar person in connection with the
Merger. Except as set forth on Section 4.30 of the Company Disclosure Schedule, the Company has not entered into a Contract that provides that a fee shall be paid to any Person if the Merger is consummated and has not otherwise incurred
any Liability for any brokerage fees, commissions or finder’s fees with respect to this Agreement or the Merger. 
  
 4.31 Full Disclosure. Neither this Agreement (including all schedules and exhibits hereto) nor the other Transaction Agreements (including all
schedules and exhibits thereto) contain any untrue statement of material fact or omits to state any fact necessary to make any of the representations, warranties or statements contained herein or therein not misleading. 
  
 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES OF PARENT AND MERGER SUB 
  
 Parent and Merger Sub jointly and severally represent and warrant to the Company as follows, as of the date hereof and the Closing, to and for the benefit
of the Company and the holders of Company capital stock entitled to receive Merger Consideration pursuant to Section 3.1: 
  
 5.1 Organization, Standing and Power. Parent and Merger Sub are corporations duly organized, validly existing and in good standing under the
laws of their respective jurisdictions of organization. Each of Parent and Merger Sub has the corporate power to enter into and perform this Agreement and the other Transaction Agreements to which it is a party, and each of Parent and Merger Sub is
duly qualified to do business and is in corporate and tax good standing in each jurisdiction in which the failure to be so qualified and in good standing would or could reasonably be expected to have a Material Adverse Effect on Parent’s or
Merger Sub’s ability to enter into this Agreement and the other Transaction Documents and consummate the transactions contemplated hereby and thereby. Neither Parent nor Merger Sub is in violation of any of the provisions of its articles of
incorporation, bylaws or equivalent organizational documents in a manner which would or could reasonably be expected to have a material adverse effect on Parent’s or Merger Sub’s ability to enter into this Agreement and the other
Transaction Documents and consummate the transactions contemplated hereby and thereby. 
  

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 5.2 Certificate of Incorporation and Bylaws; Records.
  
 (a) Parent has delivered or otherwise made available to Company accurate and
complete copies of: 
  
 (i) Parent’s Certificate of
Incorporation and bylaws, including all amendments thereto, as presently in effect; 
  
 (ii) the stock records of Parent; and 
  
 (iii) the minutes and other records of the meetings and other actions (including any actions taken by written consent or otherwise without a meeting) of the stockholders of Parent, Parent’s board of directors and all committees
thereof; 
  
 There have been no meetings or other Proceedings of the stockholders
of Parent, Parent’s board of directors or any committee of Parent’s board of directors that are not fully reflected in such minutes or other records. 
  

(b) There has not been any uncured violation of (i) any of the provisions of Parent’s Certificate of Incorporation or bylaws or (ii) any
resolutions adopted by Parent’s stockholder, Parent’s board of directors, or any committee thereof within the last one (1) year, and no event has occurred, and no condition or circumstance exists, that (with or without notice or lapse
of time) constitutes or is reasonably likely to result directly or indirectly in such a violation. 
  
 (c) The books of account, stock records, minute books and other records of Parent are accurate, up to date and complete in all material respects. All of
the records of Parent are in the actual possession or control of the Parent. Parent has been administered and Parent’s corporate records maintained as required by Legal Requirements to maintain the separate corporate existence of Parent.

  
 5.3 Authority; Binding Nature of Agreements. The
execution, delivery and performance by each of Parent and Merger Sub of this Agreement and such Transaction Agreements to which it is a party have been duly authorized by all necessary corporate action on the part of each of Parent and Merger Sub.
This Agreement and such other Transaction Agreements constitute (assuming such agreements constitute legal, valid and binding obligations of Company), or upon execution and delivery will constitute (assuming such agreements constitute legal, valid
and binding obligations of Company to the extent they are executing such agreements and to the extent such execution affects the relevant obligations), the legal, valid and binding obligations of each of Parent and Merger Sub, enforceable against
Parent and Merger Sub in accordance with their respective terms, subject only to bankruptcy, insolvency, reorganization and similar Legal Requirements. 
  

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 5.4 Capitalization.
  
 (a) Immediately prior to Closing, the authorized capital stock of Parent will consist of 48,125,000 shares of capital stock,
comprised of 8,125,000 shares of Series A Preferred Stock (“Preferred Stock”) and 40,000,000 shares of Common Stock, of which 8,125,000 shares of Preferred Stock and 21,492,857 shares of Common Stock will be outstanding. In
addition, as of immediately prior to Closing, an aggregate of 2,077,256 shares of Parent Common Stock are reserved for issuance under Parent’s stock option plan. All issued and outstanding shares of Parent’s capital stock have been duly
authorized and validly issued, are fully paid and nonassessable, and have been issued in compliance with all applicable securities laws and other applicable Legal Requirements. The shares of Parent Common Stock representing the Merger Consideration
and the Earnout Consideration, when issued in accordance with the terms of this Agreement, will be duly authorized and validly issued, fully paid and nonassessable and not subject to any preemptive or similar right. 
  
 5.5 Non-Contravention; Consents.
  
 (a) The execution, delivery and performance of this Agreement and the other
Transaction Agreements to which each of Parent and Merger Sub is a party, and the consummation of the Merger by each of Parent and Merger Sub will not, directly or indirectly (with or without notice or lapse of time): 
  
 (i) contravene, conflict with or result in a violation of (A) any
provisions of its certificate of incorporation or bylaws or (B) any resolution adopted by its board of directors or any committee thereof or by its stockholders; 
  
 (ii) contravene, conflict with or result in a violation of, or give any Governmental Authority or other Person the right to
challenge the Merger or to exercise any remedy or obtain any relief under, any Legal Requirement or any Order to which it is subject or any of its assets owned or used by it are subject (except in each case with respect to any Legal Requirements, or
Orders of or applicable to the Company); 
  
 (iii) contravene,
conflict with or result in a violation of any of the terms or requirements of, or give any Governmental Authority the right to revoke, withdraw, suspend, cancel, terminate, modify or charge any fee with respect to, any Governmental Approval that is
held by it or any of its employees or that otherwise relates to its business or to any of the assets owned or used by it (except in each case with respect to any Governmental Approvals held by the Company); or 
  
 (iv) otherwise create a Material Adverse Effect on its ability to enter into
and perform its obligations under this Agreement or the Transaction Agreements to which it is a party. 
  
 5.6 Financial Statements.
  
 (a) Parent has delivered or otherwise made available to the Company the following financial statements and notes (collectively, the “Parent
Financial Statements”): 
  
 (i) the unaudited balance
sheets of the Parent as of June 30, 2005 and the unaudited related statements of operations, income, cash flows and changes in stockholders’ 
  

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 equity for the period then ended, prepared in accordance with GAAP on a basis consistent with past practice (except that
such financial statements will not have notes thereto and shall be subject to normal year-end adjustments in accordance with GAAP and past practice); and 
  
 (ii) the audited balance sheets of Parent as of December 31, 2004, 2003 and 2002 and the related audited statements of operations, income, cash
flows and changes in stockholders’ equity for the fiscal years then ended, in each case together with the notes thereto and the report and certification of the auditor relating thereto and in each case prepared in accordance with GAAP on a
basis consistent with past practice. 
  
 (b) All the Parent
Financial Statements are accurate and complete, in accordance with the books and records of Parent and present fairly the financial position of Parent as of the respective dates thereof and the results of operations of Parent, changes in
shareholder’s equity, cash flows and income for the periods covered thereby. The Parent Financial Statements have been prepared in accordance with GAAP, applied on a consistent basis with past periods and practice. 
  
 5.7 Absence of Undisclosed Liabilities. Other than as may be
incurred under the Loan and Security Agreement, Parent has no Liabilities except (i) as set forth in the Parent Financial Statements and (ii) Liabilities (matured or unmatured, fixed or contingent) arising after June 30, 2005 in the
Ordinary Course of Business. 
  
 5.8 Proceedings;
Orders.
  
 (a) There is no pending Proceeding, and, to the
Parent’s Knowledge, no Person has threatened to commence any Proceeding: 
  
 (i) to which Parent is a party or, to Parent’s Knowledge, that otherwise directly relates to or might directly affect the Parent’s business or any of the assets owned or used by the Parent (whether or not
the Parent is named as a party thereto); or 
  
 (ii) that
challenges, or that may have the effect of preventing, delaying, making illegal or otherwise interfering with, the Merger or the Parent’s ability to comply with or perform its obligations and covenants under this Agreement or any of the other
Transaction Agreements; and to the Parent’s Knowledge, no event has occurred, and no claim, dispute or other condition or circumstance exists, that would be reasonably expected to give rise to, or serve as a reasonable basis for, the
commencement of any such Proceeding. 
  
 (b) Within the last five
years, no material Proceeding has ever been commenced by or against the Parent, and to the Parent’s Knowledge, no such Proceeding has been threatened. 
  
 (c) There is no Order to which the Parent, or any of the assets owned by the Parent, is subject. 
  
 (d) To the Parent’s Knowledge, no officer or employee of the Parent, is
subject to any Order that prohibits such officer or employee from engaging in or continuing any conduct, activity or practice relating to the Parent’s business. 
  

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 (e) To the Parent’s Knowledge, there is no proposed Order that, if issued or otherwise put into
effect, (i) would or could reasonably be expected to have a Material Adverse Effect or (ii) would otherwise have the effect of preventing, delaying, making illegal or otherwise interfering with the Merger. 
  
 5.9 Compliance with Legal Requirements.
  
 (a) To the Parent’s Knowledge, the Parent is in full compliance with
each Legal Requirement that is applicable to it or to the conduct of its business or the ownership or use of any of its assets. 
  
 (b) To the Knowledge of the Parent, no event has occurred, and no condition or circumstance exists, that (with or without notice or lapse of time)
constitutes or is reasonably likely to result directly or indirectly in a material violation by the Parent of, or a failure on the part of the Parent to materially comply with, any Legal Requirement. 
  
 (c) The Parent has not received, at any time, any written notice from any
Governmental Authority or any other Person, and has no Knowledge, regarding (i) any actual or alleged violation of, or failure to comply with, any Legal Requirement by the Parent or (ii) any actual or alleged obligation on the part of the
Parent to undertake, or to bear all or any portion of the cost of, any cleanup or any remedial, corrective or responsive action of any nature. 
  
 (d) To the Knowledge of the Parent, no Governmental Authority is considering any Legal Requirement that, if adopted or otherwise put into effect, would
prevent, delay, make illegal or otherwise interfere with the Merger. 
  
 5.10 Governmental Approvals. Parent has received no written notice of any, and there is no pending, or to Parent’s Knowledge threatened, Proceeding which could result in the suspension, termination, revocation,
cancellation, limitation or impairment of any Governmental Approval which would or could reasonably be expected to have a Material Adverse Effect. To the Knowledge of Parent, (i) no event or circumstance exists that would cause Parent to be
deemed to be out of compliance with, or would cause the suspension, termination, revocation, cancellation, limitation or impairment of, any such Governmental Approval and (ii) Parent has not received any notice of any of the foregoing.

  
 5.11 Environmental Compliance.
  
 (a) The Parent is and has been at all times in compliance in all material
respects with all Environmental Laws. The Parent has now and at all times has had all the necessary permits and other Governmental Approvals required under Environmental Laws for the operation of its business, and is not and has not been in
violation in any material respect of any of the terms and conditions of any of such permits or such other Governmental Approvals. The Parent has not received any written notice or other written communication that alleges that the Parent is not in
compliance with any Environmental Law. 
  
 (b) The Parent has not
generated, manufactured, produced, transported, imported, used, treated, refined, processed, handled, stored, discharged, released, or disposed of any Hazardous Materials (whether lawfully or unlawfully) at any premises occupied or 
  

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 controlled by the Parent on or at any time prior to the Closing Date. There: (i) are not and have not been any
releases or threatened releases of any Hazardous Materials by Parent, or in connection with the business of Parent, or to Parent’s Knowledge in any other respect, in any quantity at, on or from any such premises, (ii) are no circumstances
that may prevent or interfere with the Parent’s material compliance with any Environmental Law, and (iii) to the Knowledge of Parent, is no former owner or user of any such premises who was engaged in any type of manufacturing or
commercial activity which would be reasonably expected to generate, manufacture, produce, transport, import, use, treat, refine, process, handle, store, discharge, release or dispose of any Hazardous Materials (whether lawfully or unlawfully) on
such premises. 
  
 5.12 Medical Liability. Parent is
not subject to any Proceedings arising from any injury to a Person or property or as a result of any claim of medical malpractice or similar circumstance that is not covered by its current medical liability insurance policy. 
  
 5.13 Finders and Brokers; Fees. Except for its agreement with
Cascadia Capital, LLC, dated April 5, 2005, Parent has not entered into a Contract that provides that a fee shall be paid to any Person if the Merger is consummated and has not otherwise incurred any Liability for any brokerage fees,
commissions or finder’s fees with respect to this Agreement or the Merger. 
  
 5.14 Operations of Merger Sub. Merger Sub was formed solely for the purpose of engaging in the transactions contemplated hereby and has engaged in no other business activities. 
  
 ARTICLE VI 
 ADDITIONAL AGREEMENTS 
  
 6.1 Company’s Conduct of the Business Prior to Closing. From the Execution Date until the earlier of the Effective Time or the termination of this Agreement pursuant to ARTICLE VIII, Company
shall: 
  
 (a) Except as necessary to comply with its covenants
and obligations hereunder or as the Parent shall otherwise agree in writing, conduct its business in the Ordinary Course of Business, including but not limited to maintaining all Contracts in full force and effect; 
  
 (b) Use commercially reasonable efforts to collect all of its Accounts
Receivable in the Ordinary Course of Business; 
  
 (c) Maintain
insurance coverage consistent with past practice; 
  
 (d) Use all
commercially reasonable efforts to (i) preserve intact its assets, associated interests, and business and employees and (ii) otherwise maintain good relationships with employees, sales representatives, licensors, licensees, suppliers,
contractors, distributors, customers, and others having relations with the Company, in each case substantially in the manner as it has prior to the Execution Date; and 
  
 (e) Retain and not dispose of any material asset of the Company without the prior consent of Parent. 
  

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 6.2 Interim Operations. From the Execution Date until the earlier of Effective Time or the
termination of this Agreement pursuant to ARTICLE VIII, Company shall not, and shall cause its officers, directors, employees, consultants, contractors and advisors to not (in each case without the written consent of Parent), (a) take
any action that would constitute a breach of its representations and warranties, (b) take any action set forth on Schedule 6.2(b), (c) take any action that would prevent it from performing or cause it not to perform its
covenants or closing conditions hereunder, (d) enter into any Contract to or otherwise agree to, in writing or otherwise, take any of the actions described above or (e) enter into any transaction other than in the Ordinary Course of
Business. 
  
 6.3 Confidentiality; Acquisition
Proposals. The parties acknowledge that they have entered into a certain letter agreement dated June 14, 2005 (“Letter Agreement”) regarding the obligations of the Parties with respect to confidentiality and third
party acquisition proposals and that such letter agreement and the obligations set forth therein remain in full force and effect. 
  
 6.4 Certain Notifications. From the Execution Date until the earlier of the Effective Time or the termination of this Agreement pursuant to
ARTICLE VIII, Company shall promptly notify Parent in writing regarding any: 
  
 (a) action taken by Company with respect to its business not in the Ordinary Course of Business and any circumstance or event that could reasonably be expected to have a Material Adverse Effect; 
  
 (b) fact, circumstance or event, or action by Company (i) which, if
known on the date of this Agreement, would have been required to be disclosed in or pursuant to this Agreement or (ii) the existence, occurrence, or taking of which would result in any of the representations and warranties of Company contained
in this Agreement not being true and correct in all material respects when made or at Closing; 
  
 (c) material breach of any covenant or obligation of Company hereunder; or 
  
 (d) circumstance or event that results in, or could reasonably be expected to result in, the failure of Company to timely satisfy any of the closing
conditions in ARTICLE VII of this Agreement, to the extent Company has Knowledge of any of the foregoing. 
  
 6.5 Access to Information. From the Execution Date until the earlier of the Effective Time and the termination of this Agreement pursuant to
ARTICLE VIII, Company shall (a) provide Parent and its Representatives with prompt and reasonable access during regular business hours upon reasonable advance notice, and in a manner so as not to interfere with the normal business
operations of Company, to all premises, properties, key personnel, Persons having business relationships with Company (including suppliers, licensors, licensees, customers and distributors, to the extent permitted by such third parties), books and
records (including Tax records), (b) furnish Parent with any regularly prepared financial, operating and other data and information related to the Company’s business (including copies thereof), as Parent may reasonably request and
(c) otherwise cooperate and assist, to the extent reasonably requested by Parent, with Parent’s investigation of the Company and its business. No information or knowledge obtained in any investigation pursuant to this
Section 6.5 or otherwise shall affect or be deemed to modify any representation or warranty contained herein or the conditions to the obligations of the parties to consummate the Merger in ARTICLE VII. 
  

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 6.6 All Commercially Reasonable Efforts. From the Execution Date until the earlier of the
Effective Time or termination of this Agreement pursuant to ARTICLE VIII, each of Company, on one hand, and Parent and Merger Sub, on the other, shall use all commercially reasonable efforts to cause to be fulfilled and satisfied all of the
other party’s conditions to Closing set forth in ARTICLE VII. 
  
 6.7 Consents. From the Execution Date until the earlier of the Effective Time or the termination of this Agreement pursuant to ARTICLE VIII, Company shall use all commercially reasonable efforts to
obtain all Consents necessary to consummate the Merger on the terms and conditions hereof with respect to Company and the Company’s business, and Parent shall use all commercially reasonable efforts to obtain any Consents and make and deliver
all filings and notices to consummate the transaction on the terms and conditions hereof that apply to Parent (including any Consents pertaining to Contracts of the Company or Governmental Approvals held by or required to be obtained by the
Company). Parent shall not be required to, as a condition to Company’s obtaining any Consent (a) agree to any material changes in, or the imposition of any material condition to the transfer in connection with the Merger of, any Contract,
Governmental Approval or other asset or liability of the Company, (b) dispose of or make any changes to its business or (c) expend any funds or incur any Liability. 
  
 6.8 Further Assurances. From the Execution Date until the earlier of the Effective Time or the termination of
this Agreement pursuant to ARTICLE VIII, the parties hereto shall execute such documents and other papers and take such further actions as may be reasonably requested by Company, on one hand, and Parent, on the other hand, to facilitate the
Closing as set forth herein. 
  
 6.9
Confidentiality.
  
 (a) The provisions of this
Section 6.9 shall be effective from the Execution Date until the earlier of (x) the Effective Time or (y) in the event of termination of this Agreement pursuant to ARTICLE VIII, five years from the Execution Date.
Without the prior written consent of Company, in the case of Parent and Merger Sub, and Parent, in the case of Company, (1) Company shall not disclose or use any Confidential Information of Parent or Merger Sub, and (2) Parent and Merger
Sub shall not disclose or use the Confidential Information of Company, in each case except as reasonably required in connection with this Agreement and the Merger. Each of Company, on the one hand, and Parent, on the other, shall use no less than
reasonable care in protecting any such Confidential Information received. Information shall not be deemed Confidential Information under this Section 6.9(a) if it: (i) is or becomes publicly known through no wrongful act or omission
of the receiving party; (ii) was rightfully known by the recipient before receipt from the disclosing party; (iii) becomes rightfully known to the receiving party without confidential or proprietary restriction from a source other than the
disclosing party that does not owe a duty of confidentiality to the disclosing party with respect to such Confidential Information; or (iv) is independently developed by the receiving party without the use of or reference to the Confidential
Information of the disclosing party. 
  

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 (b) Notwithstanding subsection (a) above, in the event a party is required to disclose the
Confidential Information of another party (in such event, such party is a “Nondisclosing Party,” and the party required to disclose is the “Disclosing Party”) pursuant to Legal Requirements or an Order, and
otherwise would be prohibited from doing so under this Section 6.9, the Disclosing Party shall: (i) promptly notify the Nondisclosing Party of the existence, terms and circumstances surrounding such requirement; (ii) consult
with the Nondisclosing Party on the advisability of taking legally available steps to resist or narrow such request; and (iii) if disclosure of such Confidential Information is required, furnish only that portion of the Confidential Information
which the Disclosing Party is legally compelled to disclose and advise the Nondisclosing Party reasonably in advance of such disclosure so that the Nondisclosing Party may seek an appropriate protective order or other reliable assurance that
confidential treatment will be accorded such Confidential Information, provided, however, notwithstanding the foregoing, in the event the Disclosing Party is making any such disclosure in connection with a Registration Statement filed under the
Securities Act, the Disclosing Party may make such disclosures as it shall be advised by counsel are necessary to comply with the rules and regulations promulgated thereunder. The Disclosing Party shall not oppose actions by the Nondisclosing Party
to obtain an appropriate protective order or other reliable assurance that confidential treatment will be accorded such Confidential Information. 
  
 (c) Notwithstanding anything to the contrary herein, Parent, Merger Sub and Company shall be entitled to seek equitable relief to protect their interest
in any of their Confidential Information, including injunctive relief. 
  
 (d) In the event of termination of this Agreement pursuant to ARTICLE VIII, upon written request therefor by a party hereto which has provided Confidential Information to the party receiving such Confidential Information, the
Nondisclosing Party shall return to the Disclosing Party within ten (10) days of such request by commercially reasonable, secure delivery means reasonably requested by the Disclosing Party all Confidential Information of the Disclosing Party,
without retaining any copies thereof (except as deemed reasonably necessary by the Nondisclosing Party in connection with any dispute hereto, in which case, any such retained information shall remain subject to this Section 6.9 and shall
be used or disclosed only as reasonable necessary in connection with such dispute). 
  
 6.10 Public Announcements. Parent and Company shall jointly prepare all press releases and public announcements pertaining to this Agreement or the Merger, and neither party nor their respective
Affiliates, shall issue or otherwise make any public announcement or communication pertaining to this Agreement or the Merger without the prior consent of the other party Parent except as required by Legal Requirements. If prior to the Effective
Time the Company determines, with the advice of counsel, that it is required by any Legal Requirement to make this Agreement, the other Transaction Agreements or any terms hereof or thereof public or otherwise issue a press release or make a similar
public disclosure with respect thereto, the Company shall, at a reasonable time before making any public disclosure, consult with Parent regarding such disclosure, seek such confidential treatment for such terms or portions of this Agreement or the
other Transaction Agreements as may be reasonably requested by Parent and disclose only such information as is legally compelled to be disclosed. For the avoidance of doubt, the restrictions set forth in this section shall not apply to
communications by any party to customers, potential customers or other third parties of the Company’s business in connection with performance of this Agreement and the Transaction Agreements and which are not generally made to the public.

  

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 6.11 Key Personnel. Chirinjeev Kathuria, Naiyer Imam and Douglas Karr shall each be
considered a key personnel member of the Company (the “Key Personnel”) and it is a condition precedent to executing this Agreement that each of such Key Personnel enter into three-year service and non-competition agreement (the
“Non-Competition Agreements”) satisfactory to Parent, pursuant to which the Key Personnel will manage the Hospital Business on the terms and subject to the conditions set forth in the Non-Competition Agreements. The Non-Competition
Agreements will be signed simultaneously with this Agreement, and will become effective as of the Closing. 
  
 6.12 Additional Financial Statements. Within fifteen (15) days after the end of each month between the Execution Date and the Effective
Time, Company shall provide to Parent, certified by an executive officer of Company, an unaudited balance sheet of the Company as of the end of such month, and the related unaudited statements of operations, income, cash flows and changes in
stockholders’ equity of the Company for the month then ended, in each case prepared in accordance with GAAP on a basis consistent with past practice (except that such financial statements will not have notes thereto and shall be subject to
normal year-end adjustments in accordance with GAAP and past practice). 
  
 6.13 Stockholder Approval 
  
 (a) Promptly after
the date hereof, the Company will take all action necessary in accordance with Delaware Corporate Law and its Certificate of Incorporation and bylaws to either (A) convene a special meeting of the holders of the capital stock of the Company to
be held as promptly as practicable, or (B) solicit the written consent of the holders of the capital stock of the Company, in either case for the purpose of obtaining the approval and adoption of this Agreement and the Merger. The board of
directors of the Company shall recommend that the holders of capital stock of the Company approve and adopt this Agreement and approve and adopt the Merger. 
  
 (b) Company shall prior to Closing provide dissenters’ rights notices within ten (10) days of such stockholder approval of the Merger in
accordance with Delaware Corporate Law, the Certificate of Incorporation and bylaws of the Company and Delaware Corporate Law with respect to dissenters’ rights. Company shall promptly inform Parent of any claims for dissenters’ rights or
similar communications received by the Company prior to Closing. 
  
 6.14 Employee Plans. If requested by Parent, Company shall, immediately prior to the Closing, terminate any one or more of the Plans. In the event Parent requests that any of the Plans be terminated, Company shall adopt
resolutions and shall take all other actions necessary to effect the termination of any such Plans, to be effective no later than the Closing, and shall provide to Parent executed resolutions by the board of directors of Company authorizing the
termination of any such plans. 
  
 6.15 Business Plan and
Budget. Promptly (but in no event later than 30 days) following the Closing Date, the Key Personnel will prepare and submit to the Board of Directors 
  

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 of Parent for review a business plan and budget for the Hospital Business for from the Closing Date to the end of fiscal
year 2005, and for the 2006 fiscal year. Parent agrees to work together and cooperate with the Key Personnel in connection with the preparation of the business plan and in connection with the preparation of budgets for the Hospital Business for
subsequent fiscal years. 
  
 6.16 Hospital Business
Committee.
  
 (a) Promptly following the Closing Date there
shall be established a committee (the “Hospital Business Committee”) to review and coordinate the exchange of information and materials related to efforts taken and to be taken by the Key Personnel to develop the Hospital Business
and in connection therewith to determine, based on the information and materials presented to the committee, whether a written agreement constitutes a Hospital Contract and whether an identified entity constitutes an Agreed Hospital, it being
understood and agreed that any written agreement pursuant to which the Surviving Corporation (or such other subsidiary or division of Parent, as the case may be) provides Hospital Business services to a hospital or to any entity identified in clause
(i) of the definition of Agreed Hospital shall constitute a Hospital Contract without any determination by the Hospital Business Committee. Any such determination shall take into account the scope, magnitude and duration of any such agreement
and all such other information as may be relevant to any such determination. 
  
 (b) The Hospital Business Committee shall be comprised of the Stockholder Representative, the Chief Executive Officer of the Parent (“CEO”), Naiyer Imam, M.D. and the Vice President and General
Counsel of the Parent (collectively, the “Members”). With the consent of the Members, the CEO and the Stockholder Representative may invite others to attend Hospital Business Committee meetings as non-voting observers. 

 
 (c) Decisions of the Hospital Business Committee shall require three of
the four Members to be in agreement (a “Majority Decision”). In the event that a Majority Decision cannot be reached, the Members shall submit the matter for resolution in good faith through mediation, with the mediator being
selected from the American Arbitration Association’s (“AAA”) Roster of Mediators. The mediation shall be governed by the AAA’s Commercial Mediation Procedures and held in Couer d’Alene, Idaho, with all Members present
either in person or telephonically. 
  
 (d) The Hospital Business
Committee shall meet in person, or as otherwise agreed, at least once each calendar quarter through the 18th month
anniversary of the Closing Date or such other number of times as may be agreed by Majority Decision of the Members. The meetings shall be held in Couer d’Alene, Idaho. The secretary of the Hospital Business Committee shall record any actions
taken by the Hospital Business Committee that result in an amendment or addition to Appendix 2 and shall report such actions to the Chief Financial Officer and Chief Accounting Officer of Parent for use in calculating the amounts, if any, payable
pursuant to 3.1(d). A representative of the Parent shall serve as secretary of the Hospital Business Committee. 
  

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 6.17 Company Closing Deliverables. Company shall deliver at Closing to Parent, in form and
substance reasonably acceptable to Parent, the following items: 
  
 (a) A duly executed opinion of Company’s special counsel, substantially in the form attached hereto as Exhibit C which shall contain customary opinions given by the target’s special counsel in acquisitions of this type;

  
 (b) A duly executed opinion of Company’s outside
corporate counsel, substantially in the form attached hereto as Exhibit D which shall contain customary opinions given by the target’s outside corporate counsel in acquisitions of this type; 
  
 (c) To the extent requested by Parent in advance, the signed written
resignations of the officers and directors of Company in office immediately prior to the Effective Time, effective contingent upon the consummation of the Merger; 
  
 (d) A certificate from the Secretary of State of the State of Delaware as to Company’s good standing, dated at a date
which is as close as reasonably practicable in advance of the Closing Date, but in no event more than five (5) days prior to the Closing Date; 
  
 (e) The Financial Statements described in Section 6.12; 
  
 (f) The Certificate of Merger duly executed by Company, including the duly executed related officers certificate;

  
 (g) Signature cards for the bank accounts of Company listed on
Section 4.13(a) of the Company Disclosure Schedule that Parent may use to transfer authority of those accounts to designees of Parent’s choosing; 
  
 (h) A properly executed statement, in a form and substance reasonably acceptable to Parent, for purposes of satisfying
Parent’s obligations under Treas. Reg. §1.1445-2(c)(3), and a notice to the Internal Revenue Service that complies with the requirements of Treas. Reg. § 1.897-2(h)(2); and 
  
 (i) Such other items as may be provided for herein. 
  
 6.18 Parent Deliveries at Closing. Parent shall deliver to Company at Closing, in form and substance reasonably
acceptable to Company, the following items: 
  
 (a) The Merger
Consideration; and 
  
 (b) Such other items as may be provided for
herein. 
  
 ARTICLE VII 
 CONDITIONS TO THE MERGER 
  
 7.1 Conditions to Parent’s and Merger Sub’s Obligations to Close. The obligations of Parent and Merger Sub to consummate and effect
the Merger shall be subject to the satisfaction at or prior to the Effective Time of each of the following conditions, any of which may be waived, in writing, by Parent and Merger Sub: 
  
 (a) Accuracy of Representations and Warranties. The representations and warranties of Company set forth in this
Agreement shall be true and accurate in all respects, at and as of the Closing with the same force and effect as if made at Closing (other than such representations and warranties as are made as of another date, which shall be true and accurate in
all respects as of such date). 
  

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 (b) Performance of Covenants. Each and all of the covenants and agreements of Company to be
performed or complied with prior to or on the Closing Date shall have been performed or complied with in all material respects by Company. 
  
 (c) No Material Adverse Effect. There shall not have occurred after the date of this Agreement any event or condition of any character (including
any bankruptcy or similar legal or equitable proceeding) that has had or is reasonably likely to have a Material Adverse Effect. 
  
 (d) [Intentionally Omitted]. 
  
 (e) No Pending Litigation; Laws. There shall not be pending any Order or Proceeding against Company and there shall not be pending any Order or
Proceeding against any party hereto brought by any Governmental Authority which seeks to materially restrain, materially modify or invalidate the transactions contemplated by this Agreement. No Governmental Authority shall have issued, promulgated,
enforced or enacted any Legal Requirement or Order that is then in effect or pending and has, or would have, the effect of making the Merger or other material transactions contemplated by this Agreement illegal or otherwise prohibiting consummation
of the Merger or such other material transactions, would materially modify or restrain the Merger or such material transactions, or otherwise materially adversely affects the right or ability of the Surviving Corporation to operate Company’s
business, or for Parent to own or control the Surviving Corporation. 
  
 (f) [Intentionally Omitted]. 
  
 (g) Required
Company Vote/Other Corporate Approvals. Company shall have obtained the approval of its stockholders and its board of directors, and such approvals shall not have been superseded and shall be fully effective at Closing. 
  
 (h) Liens. There shall be no liens on any of the assets of Company
except for Permitted Encumbrances. 
  
 (i) Governmental
Consents. There shall have been obtained at or prior to the Closing Date such permits or authorizations, and there shall have been taken all such other actions by any Governmental Authority or other regulatory authority having jurisdiction over
the parties and the actions herein proposed to be taken, as may be legally required to consummate the Merger. 
  
 (j) Non-Competition Agreements. Each of the Key Personnel shall have delivered to Parent the Non-Competition Agreements. 
  
 (k) [Intentionally Omitted]. 
  

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 (l) Affiliate and Stockholder Liabilities. All outstanding obligations owed to the Company by any
of its Affiliates, stockholders, employees or directors of the Company, including outstanding receivables from, and loans to, any Affiliate or any stockholder, employee or director of the Company, and all outstanding liabilities of the Company with
respect to any Affiliate, or any stockholder, employee or director of the Company, including, but not limited to, unpaid accrued salaries, bonuses and other employee or director compensation, shall have been extinguished, and the Company shall have
provided Parent evidence of such extinguishment satisfactory in all respects to Parent. 
  
 7.2 Conditions to Company’s Obligation to Close. The obligations of Company to consummate and effect the Merger shall be subject to the satisfaction at or prior to the Effective Time of each of the
following conditions, any of which may be waived, in writing, by Company: 
  
 (a) Accuracy of Representations and Warranties. The representations and warranties of Parent and Merger Sub set forth in this Agreement and qualified as to materiality shall be true and accurate, and those not
so qualified shall be true and accurate in all material respects, at and as of the Closing, with the same force and effect as if made at Closing (other than such representations and warranties as are made as of another date, which, if qualified as
to materiality, shall be true and accurate as of such date, and, if not so qualified, shall be true and accurate in all material respects as of such date). 
  
 (b) Performance of Covenants. Each and all of the covenants and agreements of Parent and Merger Sub herein to be performed or complied with prior
to or on the Closing Date shall have been performed or complied with in all material respects by Parent and Merger Sub, respectively. 
  
 (c) [Intentionally Omitted]. 
  
 (d) No Pending Litigation; Laws. There shall not be pending any Order or Proceeding against any party hereto brought by any Governmental Authority
which seeks to materially restrain, materially modify or invalidate the transactions contemplated by this Agreement. No Governmental Authority shall have issued, promulgated, enforced or enacted any Legal Requirement or Order that is then in effect
or pending and has, or would have, the effect of making the Merger or other material transactions contemplated by this Agreement illegal or otherwise prohibiting consummation of the Merger or such other material transactions, would materially modify
or restrain the Merger or such material transactions, or otherwise materially adversely affects the right or ability of the Surviving Corporation to operate Company’s business, or for Parent to own or control the Surviving Corporation.

  
 (e) Governmental Consents. There shall have been
obtained at or prior to the Closing Date such material permits or authorizations, and there shall have been taken all such other material actions by any Governmental Authority or other regulatory authority having jurisdiction over the parties and
the actions herein proposed to be taken, as may be legally required to consummate the Merger. 
  

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 ARTICLE VIII 
 TERMINATION 
  
 8.1
Termination. This Agreement may be terminated prior to Closing as follows: 
  
 (a) Agreement. By mutual written agreement of Company and Parent. 
  
 (b) Parent’s Breach. At the election of Company, if Parent or Merger Sub has (i) breached any representation or warranty herein qualified
as to materiality, (ii) breached any representation or warranty herein not qualified as to materiality in any material respect, or (iii) breached any covenant or agreement contained in this Agreement in any material respect; provided,
however, Company shall have no termination right hereunder unless the breach of such representation, warranty, covenant or agreement shall not have been cured by Parent or Merger Sub (unless such breach is incapable of cure) within fifteen
(15) days after Parent and Merger Sub shall have received notice from Company that Company intends to exercise its right to terminate under this Section 8.1(b). 
  
 (c) Company’s Breach. At the election of Parent, if Company has (i) breached any representation or warranty
herein qualified as to materiality, (ii) breached any representation or warranty herein not qualified as to materiality in any material respect, or (iii) breached any covenant or agreement contained in this Agreement in any material
respect; provided, however, Parent shall have no termination right hereunder unless the breach of such representation, warranty, covenant or agreement shall not have been cured by Company (unless such breach is incapable of cure) within fifteen
(15) days after Company shall have received notice from Parent that Parent intends to exercise its right to terminate under this Section 8.1(c). 
  
 (d) Orders. At the election of Company or Parent, if any court of competent jurisdiction or other Governmental
Authority shall have issued an Order enjoining or otherwise prohibiting the transactions contemplated under this Agreement and such Order shall have become final and nonappealable. 
  
 (e) Deadline. At the election of either Company or Parent, if the Closing has not occurred on or before
October 31, 2005, provided that the party seeking to terminate pursuant to this section has performed all its obligations hereunder in all material respects and diligently cooperated as required to fulfill all applicable conditions to Closing.

  
 (f) Breaching Party. The right to terminate this
Agreement under this Section 8.1 shall not be available to any party whose failure to fulfill any obligation under this Agreement has been the cause of, or resulted in, the failure of the transactions contemplated herein to occur or of
the transactions being delayed. 
  
 8.2 Effect of
Termination. In the event of termination of this Agreement in accordance with Section 8.1 hereof, this Agreement shall thereafter become void and have no effect, and no party hereto shall have any Liability to the other party
hereto or its Affiliates, directors, officers or employees, except for the obligations of the parties hereto contained in Section 6.9 (Confidentiality), Section 6.10 (Public Announcements), this ARTICLE VIII
(Termination), and ARTICLE X (General Provisions) and except that nothing herein will relieve any party of Liability for any willful breach of this Agreement or for any Liability related to fraud or intentional misrepresentation. 

 

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 ARTICLE IX 
 INDEMNIFICATION 
  
 9.1
Survival of Representations, Warranties and Covenants.
  
 (a) All representations and warranties of Company, Parent and Merger Sub contained in this Agreement or any other Transaction Agreement (i) shall survive the Closing, any investigation at any time made and the consummation of the
Merger and (ii) shall terminate and expire at the end of three (3) years following Closing except for any claims as to which written notice identifying such claim and the basis thereof with reasonable specificity shall have been delivered
pursuant to the applicable provisions of this Agreement on or prior to such date. Notwithstanding the foregoing, (i) the representations and warranties in Sections 4.1, 4.3, 4.4, 4.19, 4.30, 5.1, 5.3, 5.4 and 5.12 shall terminate on the
date of expiration of the applicable statute of limitations and (ii) in the case of any liability for fraud, the representations and warranties that are the subject of such fraud shall not terminate until the date of expiration of the
applicable statute of limitations. The representations and warranties of Company, Parent and Merger Sub contained in this Agreement (and any right to indemnification for breach thereof or other right to indemnification hereunder) shall not be
affected by any investigation, verification or examination by any other party or by any Representative or employee of any other party or by the knowledge of any other party or the knowledge of any such Representative or employee of any facts with
respect to the accuracy or inaccuracy of any such representation or warranty. 
  
 (b) Covenants. The covenants and agreements of the parties shall survive the Closing and any investigation at any time made and the consummation of the Merger until fully performed, unless limited by their
terms or purposes. 
  
 (c) Effect of Expiration. On
expiration or termination, the representations, warranties and covenants described in subsections (a) and (b) above shall be of no further force or effect, except with respect to any claim for indemnification hereunder as to which written
notice identifying such claim and the basis thereof with reasonable specificity shall have been delivered pursuant to the applicable provisions of this Agreement on or prior to such expiration or termination. 
  
 9.2 Indemnification.
  
 (a) From and after the Effective Time and until the expiration of the period
set forth in Section 9.1(a) or (b) (the “Indemnification Expiration”), the stockholders of Company entitled to receive Merger Consideration pursuant to Section 3.1 (the “Company Indemnifying
Parties”) shall jointly and severally indemnify, defend and hold harmless Parent, the Surviving Corporation and their respective Representatives and employees (the “Parent Indemnified Parties”) from and against any and all
Damages incurred by Parent or its Representatives, whether or not involving a third party claim, including reasonable attorneys’ fees, arising out of, relating to or resulting from (a) any breach of a representation or warranty of Company
contained in this Agreement or in any other Transaction Agreement, and (b) any breach of a 
  

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 covenant of Company contained in this Agreement or in any other Transaction Agreement. On expiration or termination of
the underlying representations, warranties and covenants, the obligations of Company Indemnifying Parties in this Section 9.2(a) shall be of no further force or effect with respect to any such expired or terminated representation,
warranty or covenant, except with respect to any claim for indemnification hereunder as to which written notice identifying such claim and the basis thereof with reasonable specificity shall have been delivered pursuant to the applicable provisions
of this Agreement on or prior to such expiration or termination. 
  
 (b) From and after the Effective Time and until the Indemnification Expiration, the Company Indemnifying Parties shall jointly and severally indemnify, defend and hold harmless the Parent Indemnified Parties from and against any and all
Damages arising from or related to the exercise or attempted or purported exercise of dissenters’ rights by any Equity Interest holder in Company and any Liabilities of Company, the Surviving Corporation or Parent related to dissenters’
rights in connection with the Merger (“Dissenters’ Rights Damages”). 
  
 (c) From and after the Effective Time and until the Indemnification Expiration, the Company Indemnifying Parties shall jointly and severally indemnify, defend and hold harmless the Parent Indemnified Parties from and
against any and all Damages arising from any claim asserted by any Person relating to such Person’s employment or engagement by Company or ATNPC as an employee or consultant prior to Closing (“Employee Damages”). 
  
 (d) Parent and Surviving Corporation shall make any claims for Damages by
delivering an Officer’s Certificate to the Stockholder Representative. For purposes hereof, “Officer’s Certificate” shall mean in the case of a claim of Damages, a certificate signed by any officer of Parent; and such
certificate shall (A) state that the party has paid, incurred or properly accrued or reasonably anticipates that it will have to pay, incur or accrue Damages; (B) specifying in reasonable detail the individual items of Damages included in
the amount so stated, the date each such item was paid, incurred or properly accrued, or the basis for such anticipated liability, and the nature of the misrepresentation, breach of warranty or covenant to which such item is related;
(C) specify the method of payment thereof. 
  
 (e) If the
Stockholder Representative objects to any claim or claims made in any Officer’s Certificate to recover Damages, the Stockholder Representative must deliver to Parent a writing to that effect within ten (10) days after delivery of the
Officer’s Certificate to the Stockholder Representative. If the Stockholder Representative has delivered such an objection, the Stockholder Representative and Parent shall attempt in good faith to agree upon the rights of the respective parties
with respect to each of such claims. If the Stockholder Representative and the Parent should so agree, a memorandum setting forth such agreement shall be prepared and signed by the Stockholder Representative and Parent and such memorandum shall
state whether the Damages are to be paid by the Company Indemnifying Parties by (i) transferring to the Parent Indemnified Parties shares of Merger Consideration (for purposes of the foregoing having a price per share equal to the Agreed Share
Value), (ii) transferring to the Parent Indemnified Parties shares of any Earnout Consideration (for purposes of the foregoing having a price per share equal to the lower of (A) the Agreed Share Value or (B) the fair market value of
such shares if traded on a securities exchange or through the Nasdaq National Market determined by the average of the closing prices on such exchange or system over the twenty (20) trading-day 
  

 -51- 

 period ending on the day prior to delivery of such Officer’s Certificate or, if not traded on a securities exchange
or through the Nasdaq National Market, the fair market value of Parent’s Common Stock as of such date as shall be determined in good faith by Parent’s Board of Directors), (iii) set off of any Earnout Consideration or (iv) a
combination of clause (i), clause (ii) and clause (iii) above. If the Stockholder Representative does not object in writing within the ten (10) day period after delivery by the Parent of the Officer’s Certificate, such failure to
so object shall be an irrevocable acknowledgment by the Stockholder Representative that the Parent Indemnified Parties are entitled to the full amount of the claim for Damages (and method of payment thereof) set forth in such Officer’s
Certificate. If no agreement can be reached after good faith negotiation, either the Parent or the Stockholder Representative may, by written notice to the other, demand arbitration of the matter in accordance with Section 10.14. 

 
 9.3 Limitations on Indemnification. In seeking indemnification
for Damages under this ARTICLE IX, the Parent Indemnified Parties shall make no claim against the Company Indemnifying Parties for Damages for any single claim less than $5,000 (“De Minimis Claim”) individually up to an
aggregate of $25,000, it being understood that if the aggregate amount of De Minimis Claims asserted against the Company Indemnifying Parties exceeds $25,000, the Parent Indemnified Parties shall be entitled to seek indemnification without regard to
the amount of any single claim. The foregoing limitations shall not apply to claims for indemnification relating to Taxes. 
  
 9.4 Procedures for Indemnification for Third Party Claims. In the event Parent becomes aware of a third-party claim which Parent reasonably
believes may result in a demand for recovery of Damages, Parent shall notify the Stockholder Representative of such claim, and the Stockholder Representative shall be entitled on behalf of the Company Stockholders, at its expense, to participate in,
but not to determine or conduct, the defense of such claim. Parent shall have the right in its sole discretion to conduct the defense of and settle any such claim; provided, however, that except with the consent of the Stockholder Representative, no
settlement of any such claim with third-party claimants shall be determinative of the amount of Damages relating to such matter. In the event that the Stockholder Representative has consented to any such settlement, the Company Stockholders shall
have no power or authority to object under any provision of this Article 9 to the amount of any claim by Parent with respect to such settlement. 
  
 9.5 Stockholder Representative.
  
 (a) Each of the Company Stockholders hereby appoints Dr. Chirinjeev Kathuria, his or her agent and attorney-in-fact, as the Stockholder
Representative for and on behalf of the Company Stockholders, to give and receive notices and communications, to authorize the payment of Damages from the Merger Consideration and/or any Earnout Consideration, to object to any claim set forth in an
Officers Certificate, to agree to, negotiate, enter into settlements and compromises of, and comply with orders of courts with respect to such claims, and to take all other actions that are either (i) necessary or appropriate in the judgment of
the Stockholder Representative for the accomplishment of the foregoing or (ii) specifically mandated by the terms of this Agreement. Such agency may be changed by the Company Stockholders from time to time upon not less than thirty
(30) days prior written notice to the Stockholder Representative and the Company; provided, however, that the Stockholder Representative may not be removed unless holders of a two-thirds of the shares of capital stock 

 

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 of the Company issued and outstanding immediately prior to the Effective Time agree to such removal and to the identity
of the substituted agent. Upon any change in the Stockholder Representative, such successor Stockholder Representative shall promptly provide the Parent with a signature specimen. Any vacancy in the position of Stockholder Representative may be
filled by the holders of a majority in interest of the capital stock of the Company issued and outstanding immediately prior to the Effective Time. No bond shall be required of the Stockholder Representative, and the Stockholder Representative shall
not receive compensation for its services. Notices or communications to or from the Stockholder Representative shall constitute notice to or from the Company Stockholders. 
  
 (b) The Stockholder Representative shall not be liable for any act done or omitted hereunder as the Stockholder
Representative while acting in good faith and in the exercise of reasonable judgment. The Company Stockholders shall indemnify the Stockholder Representative and hold the Stockholder Representative harmless against any loss, liability or expense
incurred without negligence or bad faith on the part of the Stockholder Representative and arising out of or in connection with the acceptance or administration of the Stockholder Representative’s duties hereunder, including the reasonable fees
and expenses of any legal counsel retained by the Stockholder Representative. 
  
 (c) A decision, act, consent or instruction of the Stockholder Representative pursuant to this Agreement shall constitute a decision of the Company Stockholders and shall be final, binding and conclusive upon the
Company Stockholders, and Parent Indemnified Parties may rely upon any such decision, act, consent or instruction of the Stockholder Representative as being the decision, act, consent or instruction of the Company Stockholders. In addition, the
Stockholder Representative may agree to the amendment, extension or waiver of this Agreement pursuant to Section 10.6 hereof. The Parent Indemnified Parties are hereby relieved from any liability to any Person for any acts done by them in
accordance with such decision, act, consent or instruction of the Stockholder Representative. 
  
 9.6 Limitation of Liability. In no event shall the maximum liability of the Company Indemnifying Parties under this Article 9 (exclusive of any liability for indemnification for fraud) exceed, in the
aggregate, the number of shares of Parent Common Stock included in the Merger Consideration and the Earnout Consideration. 
  
 ARTICLE X 
 GENERAL PROVISIONS 
  
 10.1 Notices. All notices and other communications hereunder
shall be in writing and shall be deemed given if delivered personally or by commercial delivery service, or mailed by registered or certified mail (return receipt requested; provided that in the case of delivery by registered or certified mail, such
notices shall be deemed given three (3) days after they are so mailed) or sent via facsimile (with confirmation of receipt) to the parties at the following address (or at such other address for a party as shall be specified by like notice)
(notice to the Stockholder Representative shall be deemed to be notice to all Company Indemnifying Parties for all purposes): 
  
 (a) if to Parent, Merger Sub or, following Closing, the Surviving Corporation, to: 
  
 NightHawk Radiology Holdings, Inc. 
 250 Northwest Blvd #202 
 Coeur d’Alene, ID 
 Phone: 208-676-8321 
 Fax: 208-292-2825

 Attention: Vice President and General Counsel 
  

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 with a copy to: 
  
 Wilson Sonsini Goodrich & Rosati, P.C. 
 701 Fifth Avenue, Suite 5100 
 Seattle,
Washington 98104-7036 
 Attention: Mark J. Handfelt 
 Facsimile No.: (206) 883-2699 
 Telephone No.: (206) 883-2547 
  
 (b) if to Stockholder Representative, to: 
  
 Dr. Chirinjeev Kathuria 
 American Teleradiology Nighthawks, Inc. 
 3800 Electric Road, Suite 202 
 Roanoke, VA 24018 
 Facsimile No.: (540) 767-1908 
 Telephone No.: (540) 767-1907 
  
 with a copy to: 
  
 Swidler Berlin LLP 
 The Chrysler Building 
 405 Lexington Avenue

 New York, NY 10174 
 Attention: David A. Boillot, Esq. 
 Facsimile No.: (212) 891-9598 
 Telephone No.: (212) 891-9565 
  
 10.2 Interpretation and Construction of Transaction Agreements.
  
 (a) Unless the context shall otherwise require, any pronoun herein or in another Transaction Agreement shall include the
corresponding masculine, feminine, and neuter forms, and words using the singular or plural number also shall include the plural or singular number, respectively. The words “include,” “includes” and “including” herein
or in another Transaction Agreement shall be deemed to be followed by the phrase “without limitation” and the word “or” shall include the meaning “either or both.” All references herein or in another Transaction
Agreement to sections, exhibits, and schedules shall be deemed to be references to sections of, and exhibits and schedules to, the agreement in which such references are made 
  

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 unless the context shall otherwise require. The table of contents and the headings of the sections herein and in the
other Transaction Agreements are inserted for convenience of reference only and are not intended to be a part of or to affect the meaning or interpretation of this Agreement or such other Transaction Agreement, as the case may be. Unless the context
shall otherwise require, any reference herein or in another Transaction Agreement to any agreement or other instrument or statute or regulation is to such agreement, instrument, statute or regulation as amended and supplemented from time to time
(and, in the case of a statute or regulation, to any successor provision). 
  
 (b) The parties acknowledge that each party has participated in the drafting of this Agreement and the other Transaction Agreements, and that any rule of construction to the effect that ambiguities are to be resolved
against the drafting party shall not be applied in the construction or interpretation of this Agreement or any of the other Transaction Agreements. 
  
 (c) Any reference in a Transaction Agreement to a “day” or a number of “days” (without the explicit qualification of
“business”) shall be interpreted as a reference to a calendar day or number of calendar days. If any action or notice is to be taken or given on or by a particular calendar day, and such calendar day is not a Business Day, then such action
or notice shall be deferred until, or may be taken or given on, the next Business Day. 
  
 (d) The phrases “the date of this Agreement”, “the date hereof”, and terms of similar import, unless the context otherwise requires, shall be deemed to refer to the Execution Date. 
  
 10.3 Specific Performance. Each party agrees that irreparable
harm, for which there may be no adequate remedy at law and for which the ascertainment of Damages would be difficult, would occur in the event any of the provisions of this Agreement were not performed in accordance with its specific terms or were
otherwise breached. Each party accordingly agrees that the other parties shall be entitled to specifically enforce this Agreement and to obtain an injunction or injunctions to prevent breaches of the provisions of this Agreement or any other
Transaction Agreement and to enforce specifically the terms and provisions hereof or thereof, in each instance without being required to post bond or other security and in addition to, and without having to prove the adequacy of, other remedies at
law. 
  
 10.4 Counterparts; Facsimile Delivery. This
Agreement may be executed in one or more counterparts and delivered by facsimile, all of which shall be considered one and the same agreement, and shall become effective when one or more counterparts have been signed by each of the parties and
delivered to the other parties, it being understood that all parties need not sign the same counterpart. 
  
 10.5 Entire Agreement. This Agreement, the other Transaction Agreements, and the documents and instruments and other agreements specifically
referred to herein or delivered pursuant hereto, including the exhibits and the schedules hereto and thereto, (a) constitute the entire agreement among the parties with respect to the subject matter hereof and (b) supersede all prior
agreements and understandings, both written and oral, among the parties with respect to the subject matter hereof. 
  

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 10.6 Amendment; Waiver; Requirement of Writing. This Agreement and each of the other
Transaction Agreements cannot be amended or changed nor any performance, term, or condition waived in whole or in part except by a writing signed by the party against whom enforcement of the amendment, change or waiver is sought; provided, however,
that Appendix 2 may be amended by the Hospital Business Committee from time to time in accordance with the provisions of Section 6.16 hereof. Any term or condition of this Agreement and each of the other Transaction Agreements may be waived at
any time by the party hereto entitled to the benefit thereof, and any such term or condition may be modified at any time by an agreement in writing executed by each of the parties hereto entitled to the benefit thereof. No delay or failure on the
part of any party in exercising any rights hereunder, and no partial or single exercise thereof, will constitute a waiver of such rights or of any other rights hereunder. 
  
 10.7 Expenses. The Company’s transactions expenses will be subject to a cap of $75,000 which will be paid
by the Company prior to Closing. Any amounts paid by the Company in excess of $75,000, including, without limitation, fees and disbursements of counsel, investment bankers, accountants and any other advisors or consultants incurred in connection
with the Merger, will constitute Excess Transaction Expenses. 
  
 10.8 No Third-Party Beneficiaries. Except with respect to the consideration to be provided hereunder nothing in this Agreement or the other Transaction Agreements will be construed as giving any person, other than the parties
and their successors and permitted assigns, any right, remedy, or claim under or in respect of this Agreement or the other Transaction Agreements or any provision hereof or thereof. 
  
 10.9 Disclaimer of Agency. Except for any provisions herein or in the Transaction Agreements expressly
authorizing one party to act for another, neither this Agreement nor any Transaction Agreement shall constitute any party as a legal representative or agent of the other party, nor shall a party have the right or authority to assume, create, or
incur any Liability of any kind, expressed or implied, against or in the name or on behalf of the other party or any of its Affiliates. 
  
 10.10 Relationship of the Parties. Nothing contained in this Agreement or the Transaction Agreements is intended to, or shall be deemed to,
create a partnership or joint venture relationship among the parties hereto or thereto or any of their Affiliates for any purpose, including tax purposes. 
  
 10.11 Assignment. Unless otherwise set forth in another Transaction Agreement (with respect to such agreement only), this Agreement and the
other Transaction Agreements and the rights and obligations of each party hereunder or thereunder shall be binding upon, and inure to the benefit of, the parties hereto and their respective successors and permitted assigns; provided that prior to
Closing, no party hereto shall assign this Agreement or another Transaction Agreement (except that Parent and Merger Sub may assign this Agreement and the other Transaction Agreements without the consent of Company to Affiliates of Parent; provided
that Parent and Merger Sub shall not be so released from their obligations hereunder without the consent of Company). 
  

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 10.12 Severability. In the event that any provision of this Agreement, or the application
thereof, becomes or is declared by a court of competent jurisdiction to be illegal, void or unenforceable, the remainder of this Agreement will continue in full force and effect, and the application of such provision to other persons or
circumstances will be interpreted so as reasonably to effect the intent of the parties hereto. The parties further agree to replace such void or unenforceable provision of this Agreement with a valid and enforceable provision that will achieve, to
the extent possible, the economic, business and other purposes of such void or unenforceable provision. 
  
 10.13 Remedies Cumulative. Except as otherwise provided herein, any and all remedies herein expressly conferred upon a party will be deemed
cumulative with and not exclusive of any other remedy conferred hereby, or by law or equity, upon such party, and the exercise by a party of any one remedy will not preclude the exercise of any other remedy. 
  
 10.14 Governing Law/Dispute Resolution Procedures.
  
 (a) This Agreement and the other Transaction Agreements will be construed
and interpreted in accordance with and governed by the law of the State of Delaware without regard to the choice-of-law provisions thereof. 
  
 (b) The parties hereto intend that all disputes between the parties arising out of or related to this Agreement or the other Transaction Agreements or the
transactions contemplated hereby or thereby shall be settled by the parties amicably through good-faith discussions upon the written request of any party. 
  
 (c) In the event that any such dispute cannot be resolved thereby within a period of thirty (30) days after such notice has been given, such dispute
shall be finally settled by binding arbitration, which shall take place in Seattle, Washington in accordance with the rules then in effect of the American Arbitration Association. Such arbitration will be conducted in the English language and with
an arbitration panel of three (3) arbitrators. Any party may demand arbitration by filing a written demand with the other applicable party(ies). Each party shall select one (1) arbitrator, and the two (2) arbitrators selected by the
parties shall jointly select the third arbitrator. Any award shall be rendered by a majority of the arbitrators. Judgment upon the award so rendered may be entered in any court having jurisdiction, or application may be made to such court for
judicial acceptance of any award and an order of enforcement, as the case may be. 
  
 (d) After the appointment of the arbitrators, the parties shall have the right to take reasonable discovery including depositions, ask interrogatories, obtain documentation, and obtain other discovery regarding the
subject matter of the arbitration, and, to that end, to use and exercise all the same rights, remedies, and procedures, and be subject to all of the same duties, liabilities, and obligations in the arbitration with respect to the subject matter
thereof, as provided under the law of the State of Delaware. Before any discovery is initiated, the parties shall reach agreement with the arbitrators on a streamlined and expedited discovery program in order to save costs and avoid unnecessary
delay in completing any arbitration and may present to the arbitrators for a ruling any reasons for limiting such discovery in order to save costs and avoid delay. 
  

 -57- 

 (e) The arbitrators shall issue to the parties a written explanation of the reasons for the award and a
full statement of the facts as found and the rules of law applied in reaching their decision. Any provisional remedy which would be available to a court of law in the State of Delaware shall be available from the arbitrators pending arbitration of
the dispute. Any party may make an application to the arbitrators seeking injunctive or other interim relief, and the arbitrators may take whatever interim measures they deem necessary in respect of the subject matter of the dispute, including
measures to maintain the status quo until such time as the arbitration award is rendered or the dispute is otherwise resolved. The arbitrators shall have the authority to award any remedy or relief (except ex parte relief) that a court of the State
of Delaware could order or grant, including specific performance of any obligation created under this Agreement, the issuance of an injunction, or the imposition of sanctions for abuse or frustration of the arbitration process. 
  
 (f) An award rendered in connection with an arbitration pursuant to this
Section 10.14 shall be final and binding upon the parties, and the parties agree and consent that the arbitral award shall be conclusive proof of the validity of the determinations of the arbitrations set forth in the award, and any
judgment upon such an award may be entered and enforced in any court of competent jurisdiction. 
  
 (g) Notwithstanding the foregoing, either party shall have the right to institute a legal action in a court of proper jurisdiction for injunctive relief
or a decree for specific performance pending final settlement by arbitration. 
  
 [SIGNATURE PAGE FOLLOWS] 
  

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 IN WITNESS WHEREOF, each of the parties has caused this Agreement to be executed on its behalf by it or by an officer or
representative thereunto duly authorized, all as of the date first written above. 
  

			
	PARENT
	NIGHTHAWK RADIOLOGY HOLDINGS, INC.
		
	By:	 	 /s/ PAUL E. BERGER, M.D.

	Name:	 	Paul E. Berger, M.D.
	Title:	 	President and Chief Executive Officer
	
	MERGER SUB
	ATN MERGER SUB, INC.
		
	By:	 	 /s/ PAUL E. CARTEE

	Name:	 	Paul E. Cartee
	Title:	 	Secretary
	
	COMPANY
	AMERICAN TELERADIOLOGY NIGHTHAWKS, INC.
		
	By:	 	 /s/ CHIRINJEEV KATHURIA

	Name:	 	Dr. Chirinjeev Kathuria
	Title:	 	President

  

 -59- 

 EXHIBIT A 
 DEFINED TERMS 
  
 “Accounts
Receivable” shall have the meaning set forth in Section 4.12. 
  
 “Affiliate” shall mean, with respect to (a) any Person (including the Company), (i) any member of the immediate family (including spouse, brother, sister, descendant, ancestor or in-law) of such Person,
(ii) any officer, director or stockholder of such Person, (iii) any corporation, partnership, trust or other Entity in which any such Person or any such family member of such Person has a five percent (5%) or greater interest or is a
director, officer, partner or trustee or (iv) any Person that controls, or is controlled by, or is under common control with, such Person and (b) the Company, ATNPC. 
  
 “Agreed Hospital” means (i) those entities identified on Appendix 2 to this Agreement at Closing, (ii) those
hospitals to which the Surviving Corporation (or such other subsidiary or division of Parent, as the case may be) provides Hospital Business services and (iii) such other entities as may be determined from time to time by the Hospital Business
Committee to be Agreed Hospitals. 
  
 “Agreed Share Value” means,
for purposes of this Agreement, $10.15 per share. 
  
 “Agreement”
shall have the meaning set forth in the preamble hereto. 
  
 “ATNPC” shall mean American Teleradiology Nighthawks, P.C., a professional corporation organized under the laws of the State of Delaware. 
  
 “Business Day” shall mean any day other than (i) a Saturday or a Sunday or (ii) a day on which banking and
savings and loan institutions are authorized or required by law to be closed in the United States. 
  
 “Certificate of Incorporation” shall mean the Company’s Amended and Restated Certificate of Incorporation to be filed by the Company prior to the Closing. 
  
 “Certified Shareholder List” shall have the meaning set forth in
Section 3.6. 
  
 “Closing” shall have the meaning set
forth in Section 1.2. 
  
 “Closing Date” shall have
the meaning set forth in Section 1.2. 
  
 “Code”
shall mean the Internal Revenue Code of 1986, as amended. 
  
 “Common
Stock Exchange Ratio” means the quotient obtained by dividing (i) the Merger Consideration by (ii) the Common Share Number. 
  
 “Company” shall have the meaning set forth in the preamble hereto. 
  
 “Company Common Stock” shall have the meaning set forth in Section 4.3(a). 
  

 -1- 

 “Company Disclosure Schedule” shall have the meaning set forth in the introductory paragraph to
ARTICLE IV. 
  
 “Company Intellectual Property” shall mean
(i) all Company Registered Intellectual Property Rights; and (ii) any other Intellectual Property Rights owned, used, controlled, authorized for use or held by Company. 
  
 “Company Registered Intellectual Property Rights” shall mean all Registered Intellectual Property Rights at any time owned
by, filed in the name of or applied for by Company. 
  
 “Common Share
Number” means 55,420. 
  
 “Company Stock Certificates”
shall have the meaning set forth in Section 3.6(a). 
  
 “Company Technology” shall mean all electronic data processing, information, record keeping, communications, telecommunications and other computing systems and Technology owned, used, controlled, authorized for use or held
by Company. 
  
 “Confidential Information” shall mean all Trade
Secrets and other confidential or proprietary information of a Person that such Person desires remain secret or confidential, including information derived from reports, investigations, research, work in progress, codes, marketing and sales
programs, financial projections, cost summaries, pricing formulas, contract analyses, financial information, projections, confidential filings with any state or federal agency, and all other confidential concepts, methods of doing business, ideas,
materials or information prepared or performed for, by or on behalf of such Person by its employees, officers, directors, agents, representatives, or consultants. 
  
 “Consent” shall mean any (i) approval, authorization, certificate, concession, consent, declaration, grant, exemption,
license, permit, variance, vote or waiver, (ii) registration or filing or (iii) report or notice, including all renewals, amendments and extensions of any of the foregoing and any similar matters. 
  
 “Contract” shall mean any binding agreement, contract, promise,
understanding, arrangement, commitment or undertaking of any nature (whether written or oral and whether express or implied), that is currently in effect, and including any binding amendment, modification, side letter, supplement or other agreement
or change with respect to the foregoing that is currently in effect, whether written or oral. 
  
 “Copyrights” shall mean all copyrights, including rights in and to Software, works of authorship and all other rights corresponding thereto throughout the world, whether published or unpublished,
including rights to prepare, reproduce, perform, display and distribute copyrighted works and copies, compilations and derivative works thereof. 
  
 “Current Leased Premises” shall have the meaning set forth in Section 4.14(f). 
  
 “Customer Contracts” means any and all Contracts with customers of the Company, including professional services agreements,
supply agreements, service agreements, license agreements, maintenance and development agreements and consulting agreements. 
  

 -2- 

 “Damages” shall mean and include any loss, Liability, damage, Dissenters’ Rights Damages, Employee
Damages, injury, decline in value, claim, demand, settlement, judgment, award, fine, penalty, Tax, fee (including any legal fee, accounting fee, expert fee or advisory fee), charge, cost (including any cost of investigation) or expense of any
nature. 
  
 “Damages” shall have the meaning set forth in
Section 9.2. 
  
 “De Minimis Claim” shall have the
meaning set forth in Section 9.3. 
  
 “Disclosing
Party” shall have the meaning set forth in Section 6.9(b). 
  
 “Dissenters’ Rights Damages” shall have the meaning set forth in Section 9.2(b). 
  
 “Dissenting Stockholder” shall have the meaning set forth in Section 3.5. 
  
 “Dissenting Shares” shall mean any shares of Company capital stock held by a holder who has exercised such holder’s
dissenters’ rights in accordance with Delaware Corporate Law and who has not effectively withdrawn or lost such dissenters’ rights. 
  
 “Earnout Consideration” means, collectively, the Off-Hours Earnout Payment and the Hospital Earnout Payment. 
  
 “EBITDA Amount” means for the period beginning on the 6th month anniversary
of the Closing Date to but excluding the 18th month anniversary of the Closing Date, the product of (i) Hospital Revenue for such period, and (ii) the EBITDA Margin. 
  
 “EBITDA Margin” means for the period beginning on the 12th month anniversary of the Closing Date to but excluding the 18th
month anniversary of the Closing Date, the ratio of (i) Hospital Income, if any, plus (a) interest expense for such period, (b) liabilities for federal, state and local income taxes paid or accrued with respect to such period and
(c) depreciation and amortization for such period to (ii) Hospital Revenue. 
  
 “Effective Time” shall have the meaning set forth in Section 1.2. 
  
 “Employee Benefit Plan” shall have the meaning specified in Section 3(3) of ERISA. 
  
 “Employee Damages” shall have the meaning set forth in Section 9.2(c). 
  
 “Encumbrance” shall mean any lien, pledge, hypothecation, charge, mortgage, security interest, encumbrance, trust,
equitable interest, claim, preference, right of possession, lease, tenancy, license, encroachment, covenant, Order, proxy, option, right of first refusal, preemptive right, community property interest, limitation, material impairment, imperfection
of title, condition or restriction of any nature (including any restriction on the voting of any security, any restriction on the transfer of any security or other asset, any restriction on the receipt of any income derived from any asset, any
restriction on the use of any asset and any restriction on the possession, exercise or transfer of any other attribute of ownership of any asset). 
  

 -3- 

 “Entity” shall mean any corporation (including any non-profit corporation), general partnership, limited
partnership, limited liability partnership, joint venture, estate, trust company (including any limited liability company or joint stock company) or other legal entity. 
  
 “Environmental Law” shall mean any Legal Requirement or Governmental Approval relating to the protection of the environment
(including air, water, soil and natural resources) or health and safety aspects associated with environmental protection, including with respect to the release of any Hazardous Materials. 
  
 “Equity Interest” means (i) the capital stock of or other equity or ownership interest in an Entity (including
partnership interests and limited liability company membership interests and similar interests and any similar or equivalent rights) and any document evidencing any of the foregoing, (ii) any securities, shares or rights convertible into or
exercisable for, and any preemptive, subscription, acquisition or other outstanding right, option, warrant, conversion right, exercise right, stock appreciation right, redemption right, repurchase right, phantom security, or Contract of any nature
related to the capital stock or other interest described in clause (i) above and (iii) any beneficial interest related to the capital stock or other interest described in clause (i) above. 
  
 “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as
amended. 
  
 “ERISA Affiliate” shall mean each trade or business,
whether or not incorporated, that would be treated as a single employer with Company under Section 4001 of ERISA or Section 414(b), (c), (m) or (o) of the Code. 
  
 “Excess Transaction Expenses” shall have the meaning set forth in Section 10.7 
  
 “Execution Date” shall have the meaning set forth in the preamble hereto.

  
 “Financial Statements” shall have the meaning set forth in
Section 4.10(a). 
  
 “GAAP” shall mean U.S. generally
accepted accounting principles in effect on the date on which they are to be applied pursuant to this Agreement, applied consistently throughout the relevant periods. 
  
 “Governmental Approval” shall mean any: (i) permit, license, certificate, concession, approval, consent, ratification,
permission, clearance, confirmation, exemption, waiver, franchise, certification, designation, rating, registration, variance, qualification, accreditation or authorization issued, granted, given, required by or otherwise made available by or under
the authority of any Governmental Authority or pursuant to any Legal Requirement; or (ii) pending application or request for any of the foregoing in (i) above. 
  
 “Governmental Authority” shall mean any: (i) nation, principality, state, commonwealth, province, territory, county,
municipality, district or other jurisdiction of any nature; (ii) federal, state, local, municipal, foreign or other government; (iii) federal, state, local, municipal, foreign or other court, arbitrator, or judicial or governmental or
quasi-judicial or quasi-governmental authority of any nature (including any governmental division, subdivision, department, agency, bureau, branch, office, commission, council, board, instrumentality, officer, official, 
  

 -4- 

 representative, organization, unit, body or entity and any court or other tribunal); (iv) multinational organization
or body, (v) individual, entity or body entitled to exercise any executive, legislative, judicial, administrative, regulatory, police, military or taxing authority or power of any nature, or (vi) arbitrator or arbitral panel. 

 
 “Hazardous Material” shall mean any material, substance or waste listed,
defined, designated or classified by or pursuant to Environmental Law as hazardous, toxic, pollutant, contaminant or words of similar meaning or effect, including petroleum or petroleum products (including crude oil) and any derivative or
by-products thereof, natural gas, synthetic gas and any mixtures thereof, radioactive material or any substance that is or contains polychlorinated biphenyls (PCBs), radon gas, urea formaldehyde, asbestos-containing materials (ACMs) or lead.

  
 “Hospital Business” shall mean the provision by the Surviving
Corporation (or such other subsidiary or division of Parent, as the case may be) of such radiology and other medical, technical and administrative services as are customarily associated with the management by radiology groups of hospital radiology
departments. Such medical, technical and administrative services shall include, but not be limited to, (i) the placement of, or affiliation with, a radiologist located at the hospital to serve as the representative of the Surviving Corporation
(or such other subsidiary or division of Parent, as the case may be), (ii) the administration or outsourcing of the billing and collections from patients and third party payors and (iii) the management of the administrative and technical
personnel and services in such hospital’s radiology department. 
  
 “Hospital Business Committee” shall have the meaning set forth in Section 6.16. 
  
 “Hospital Contract” shall mean a written agreement between the Surviving Corporation (or such other subsidiary or division of Parent, as the case may be)
conducting the Hospital Business and an Agreed Hospital setting forth the terms and conditions regarding the provision of radiology and other medical, technical and administrative services as are included within the definition of Hospital Business.

  
 “Hospital Earnout Payment” shall mean that number of
unregistered shares of Parent Common Stock equal to the sum of (a) the quotient obtained by dividing (i) the EBITDA Amount by (ii) the Agreed Share Value rounded to the nearest whole share, plus (b) the quotient obtained by
dividing (i) three times (3x) the EBITDA Amount by (ii) the price per share of the Parent Common Stock (if traded on a securities exchange or through the Nasdaq National Market, determined by the average of the closing prices on such
exchange or system over the twenty (20) trading-day period ending on the day prior to such 18th month anniversary date or, if not traded on a securities exchange or through the Nasdaq National Market, the fair market value of Parent’s
Common Stock as of the day prior to the 18th month anniversary of the Closing Date as shall be determined in good faith by Parent’s Board of Directors and the Stockholder Representative). 
  
 “Hospital Exchange Ratio” means the quotient obtained by dividing
(i) the Hospital Earnout Payment by (ii) the Common Share Number. 
  
 “Hospital Income” means for any period an amount equal to Hospital Revenue and other items of income for the Hospital Business, less all expenses incurred and accrued in connection with 
  

 -5- 

 operation of the Hospital Business for such period, including, without limitation, professional services, sales, general
and administrative expenses, depreciation and amortization allocable to operation of the Hospital Business for such period or such other expenses as may be incurred in such period in connection with the provision by the Parent or a subsidiary or
division of Parent of Hospital Business services, but excluding any capital expenditures approved in accordance with Parent’s budgetary procedures, incurred in connection with the Hospital Business during such period or any other period.

  
 “Hospital Revenue” means for any period an amount equal to
the gross sales generated pursuant to the Hospital Contracts. 
  
 “Indemnification Expiration” shall have the meaning set forth in Section 9.2. 
  
 “Intellectual Property Rights” shall mean any intellectual property rights, including, without limitation, Patents, Copyrights, mask works, moral rights,
Trade Secrets, Trademarks, designs, and Technology, together with (i) all registrations and applications for registrations therefor and (ii) all rights to any of the foregoing (including: (A) all rights received under any license or
other arrangement with respect to the foregoing, (B) all rights or causes of action for infringement or misappropriation (past, present or future) of any of the foregoing and (C) all rights to apply for or register any of the foregoing).

  
 “Interim Financial Statements” shall have the meaning set
forth in Section 4.10. 
  
 “Key Personnel” shall have
the meaning set forth in Section 6.11. 
  
 “Knowledge” shall mean any fact or matter known by the officers or directors of Company or Parent, as the case may be, and any person identified as a Key Personnel, which any of the foregoing persons could reasonably be
expected to have discovered or become have become aware of in the course of performing their duties. 
  
 “Leased Premises” shall have the meaning set forth in Section 4.16. 
  
 “Legal Requirement” shall mean any federal, state, local, municipal, foreign or other law, statute, legislation, constitution, ordinance, code, Order,
edict, decree, proclamation, treaty, convention, rule, regulation, permit, ruling, directive, requirement (licensing or otherwise), specification, determination, decision, opinion or interpretation that is or has been issued, enacted, adopted,
passed, approved, promulgated, made, implemented or otherwise put into effect by or under the authority of any Governmental Authority. 
  
 “Liability” shall mean any debt, obligation, duty or liability of any nature (including any unknown, undisclosed, unmatured, unaccrued, unasserted,
contingent, indirect, conditional, implied, vicarious, derivative, joint, several or secondary liability, debt, obligation, or duty), regardless of whether such debt, obligation, duty, or liability would be required to be disclosed on a balance
sheet prepared in accordance with generally accepted accounting principles and regardless of whether such debt, obligation, duty or liability is immediately due and payable. 
  

 -6- 

 “Loan and Security Agreement” means that certain Loan and Security Agreement dated April 20, 2005
among Parent, NightHawk Radiology Services, LLC, NRS Corporation and Comerica Bank, as amended on August 25, 2005. 
  
 “Material Adverse Effect” shall mean an event, circumstance, fact or condition which has had or which could reasonably be expected to have a material
adverse effect on (i) the Company’s business, condition, assets, liabilities, operations, financial performance, or prospects for continuing the operation of its business as historically conducted, as conducted at Closing, (ii) the
ability of the Company to enter into this Agreement or the other Transaction Agreements to which it is a party, to consummate the Merger, or to perform its obligations hereunder or under such other Transaction Agreements or (iii) the ability of
the Surviving Corporation to conduct business following the Merger in substantially the same manner as conducted by Company prior to the Merger. 
  
 “Material Contracts” shall have the meaning set forth in Section 4.21. 
  
 “Merger” shall have the meaning set forth in the recitals hereto. 
  
 “Merger Consideration” means 394,089 unregistered shares of Parent Common
Stock. 
  
 “Merger Sub” shall have the meaning set forth in the
preamble hereto. 
  
 “Multiemployer Plan” shall mean a pension
benefit plan described in Section 3(37) of ERISA. 
  
 “Net
Liabilities” means an amount equal to (A) all liabilities of the Company that are or should be reflected, as of the Closing, in the Company’s financial statements minus (B) current assets of the Company that are, or should be
reflected, as of the Closing, in the Company’s financial statements. 
  
 “Nondisclosing Party” shall have the meaning set forth in Section 6.9(b). 
  
 “Off-Hours Earnout Payment” shall mean that number of unregistered shares of Parent Common Stock equal to (a) the quotient obtained by dividing
(i) Qualified Off-Hours Revenue and (ii) the Agreed Share Value, rounded to the nearest whole share, minus (b) the Merger Consideration. 
  
 “Off-Hours Exchange Ratio” means the quotient obtained by dividing (a) the Off-Hours Earnout Payment by (b) the Common Share Number.

  
 “Officer’s Certificate” shall have the meaning set forth
in Section 9.2(d). 
  
 “Order” shall mean any
temporary, preliminary or permanent order, judgment, injunction, edict, decree, ruling, pronouncement, determination, decision, opinion, verdict, sentence, stipulation, subpoena, writ, award or similar action that is or has been issued, made,
entered, rendered or otherwise put into effect by or under the authority of any court, administrative agency or other Governmental Authority or any arbitrator or arbitration panel. 
  
 “Ordinary Course of Business” shall describe any action taken by a party if (i) such action is consistent with such
party’s past practices and is taken in the ordinary course of such party’s 
  

 -7- 

 normal day-to-day operations and (ii) such action is not required to be authorized by such party’s
stockholders, board of directors or any committee thereof and does not require any other separate or special authorization of any nature. 
  
 “Other Equity Interest” shall have the meaning set forth in Section 0. 
  
 “Parent” shall have the meaning set forth in the preamble hereto. 
  
 “Parent Disclosure Schedule” shall have the meaning set forth in ARTICLE
V. 
  
 “Parent Financial Statements” shall have the meaning
set forth in Section 5.6. 
  
 “Parent Indemnified
Parties” shall have the meaning set forth in Section 9.2(a). 
  
 “Patents” shall mean all United States and foreign patents and utility models and applications therefor and all reissues, divisions, re-examinations, renewals, extensions, provisionals, continuations and
continuations-in-part thereof, and equivalent or similar rights anywhere in the world in inventions and discoveries. 
  
 “Pension Plan” shall mean an employee benefit plan, fund, program, contract or arrangement that is subject to Section 412 of the Code,
Section 302 of ERISA or Title IV of ERISA. 
  
 “Permitted
Encumbrances” shall mean (a) Encumbrances for taxes, assessments and other governmental charges not yet due and payable, (b) Encumbrances for taxes, assessments and other governmental charges that are being contested in good faith
by appropriate Proceedings promptly instituted and diligently conducted and for which reasonable reserves have been established, or (c) statutory, mechanics’, laborers’ and material men’s liens arising in the Ordinary Course of
Business for sums not yet due. 
  
 “Permitted Indebtedness” shall
mean accounts payable incurred in the Ordinary Course of Business. 
  
 “Person” shall mean any individual, Entity or Government Authority. 
  
 “Plans” shall have the meaning as set forth in Section 4.18. 
  
 “Prior Leased Premises” shall have the meaning set forth in Section 4.14(f). 
  
 “Proceeding” shall mean any action, suit, litigation, arbitration, proceeding (including any civil, criminal,
administrative, investigative or appellate proceeding), prosecution, contest, hearing, inquiry, inquest, audit, examination or investigation that is, has been or may in the future be commenced, brought, conducted or heard at law or in equity or
before any Governmental Authority. 
  
 “PTO” shall have the
meaning set forth in Section 4.15(g). 
  
 “Qualified Off-Hours
Revenue” means for the period beginning on the Closing Date to but excluding the one-year anniversary of the Closing Date, an amount equal to (A) the total dollar 
  

 -8- 

 amount, if any, paid to or otherwise properly accrued by Parent or a subsidiary or division of Parent (subject to
allowances for doubtful accounts) in connection with the performance by Parent or a subsidiary or division of Parent of (i) the Professional Services Agreements identified on Appendix 1 to this Agreement and (ii) Professional Services
Agreements executed by both parties thereto within 120 days following (but only to the extent any such Professional Services Agreement contains terms and conditions generally consistent with the terms and conditions of the Professional Services
Agreements identified in Appendix 1 to this Agreement), minus (B) Net Liabilities, minus (C) Excess Transaction Expenses. 
  
 “Real Property” shall mean all real property and all structures, buildings, building systems (including roof, HVAC, electrical, plumbing, sprinkler and
fire safety systems), irrigation systems, fixtures and other improvements, together with the systems and facilities servicing such structures, located thereon. 
  

“Registered Intellectual Property Rights” shall mean all United States, international and foreign: (i) Patents, including applications therefor;
(ii) registered Trademarks, applications to register Trademarks, including intent-to-use applications, or other registrations or applications related to Trademarks; (iii) Copyright registrations and applications to register Copyrights;
(iv) mask work registrations and applications to register mask works; and (v) any other Intellectual Property Rights that are the subject of an application, certificate, filing, registration or other document issued by, filed with, or
recorded by, any state, government or other public legal authority at any time on or before Closing. 
  
 “Representatives” shall mean officers, directors, attorneys, accountants, advisors, stockholders, subsidiaries, parent entities and similar Persons. 
  
 “Securities Act” shall mean the Securities Act of 1933, as amended.

  
 “Stockholder Proceeding” shall have the meaning set forth in
Section 4.7. 
  
 “Subsidiary” shall mean, with
respect to any Entity, another Entity (i) of which more than fifty percent (50%) of the securities or other ownership interests having by their terms ordinary voting power to elect a majority of the board of directors, or other body
performing similar functions, of such other Entity is directly or indirectly owned or controlled by such Entity, (ii) which such Entity otherwise directly or indirectly owns or controls or (iii) which is consolidated in the financial
statements of such Entity. 
  
 “Supplies” shall have the meaning
set forth in Section 4.14(a). 
  
 “Surviving
Corporation” shall have the meaning set forth in Section 1.1. 
  
 “Tax” (and, with correlative meaning, “Taxes” and “Taxable”) shall mean (i) all taxes, however denominated, including any interest, penalties or additions to tax that may become
payable in respect thereof, imposed by any federal, territorial, state, local or foreign government or any agency or political subdivision of any such government, which taxes shall include, without limiting the generality of the foregoing, all
income or profits taxes (including but not limited to federal income taxes and state income and franchise taxes), payroll and employee withholding taxes, unemployment insurance, social security taxes, sales and use taxes, ad valorem taxes,

  

 -9- 

 excise taxes, franchise taxes, gross receipts taxes, business license taxes, occupation taxes, real and personal property
taxes, stamp taxes, environmental taxes, transfer taxes, workers’ compensation, Pension Benefit Guaranty Corporation premiums and other governmental charges, customs fees, duties and similar obligations, and other obligations of the same or of
a similar nature to any of the foregoing, which Company or any of its subsidiaries is required to pay, withhold or collect, (ii) any liability for the payment of any amounts of the type described in clause (i) as a result of being a member
of an affiliated, consolidated, combined or unitary group for any period, and (iii) any liability for the payment of any amounts of the type described in clauses (i) or (ii) as a result of any express or implied obligation to
indemnify any other person or as a result of any obligations under any agreements or arrangements with any other person with respect to such amounts and including any liability for taxes of a predecessor or transferor entity. 
  
 “Tax Return” shall mean all reports, estimates, declarations of estimated
tax, information statements and returns (whether original or amended) relating to, or required to be filed in connection with, any Tax, including information returns or reports with respect to backup withholding and other payments to third parties.

  
 “Technology” shall mean any know-how, confidential or
proprietary information, name, data, discovery, formula, idea, method, process, procedure, other invention, record of invention, model, research, software, technique, technology, test information, market survey, website, or information or material
of a like nature, whether patentable or unpatentable and whether or not reduced to practice. 
  
 “Trade Secrets” shall mean all trade secrets under applicable law and other rights in know-how and confidential or proprietary information, processing, manufacturing or marketing information,
including new developments, inventions, processes, procedures, techniques, ideas or other proprietary information that provides advantages over competitors who do not know or use it and documentation thereof (including related papers, blueprints,
drawings, chemical compositions, formulae, diaries, notebooks, specifications, designs, methods of manufacture and data processing software and compilations of information) and all claims and rights related thereto. 
  
 “Trademarks” shall mean any and all U.S. and foreign trademarks, service
marks, logos, trade names, corporate names, and Internet domain names and addresses, and all goodwill associated therewith throughout the world. 
  
 “Transaction Agreements” shall mean the Letter Agreement, Noncompete Agreements and this Agreement. 
  

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 Schedule 6.2(b) Prohibited Pre-Closing Company Actions 
  

	1.	Except for Permitted Indebtedness, enter into, create, incur or assume (i) any borrowings under capital leases or (ii) any obligations which would or could reasonably be
expected to have a Material Adverse Effect on Company or Parent’s ability to conduct the business as currently conducted or as conducted in the previous year in substantially the same manner and condition as currently conducted by Company;

  

	2.	acquire by merging or consolidating with, or by purchasing any equity securities or assets (which are material, individually or in the aggregate, to Company) of, or by any other
manner, any other business or any Entity; 

  

	3.	Except in connection with Permitted Indebtedness, sell, transfer, lease, license or otherwise encumber any of its assets, except as in the Ordinary Course of Business;

  

	4.	take any material action with regard to adjustment or price or terms not announced prior to the date of this Agreement related to the customers or suppliers of Company, including
providing promotions, coupons, discounts or price increases; 

  

	5.	enter into any agreements or commitments with another Person, except on commercially reasonable terms in the Ordinary Course of Business, except as specifically contemplated by this
Agreement; 

  

	6.	materially violate any Legal Requirement applicable to Company; 

  

	7.	change or announce any material change to the Company’s services; 

  

	8.	violate, terminate or amend any Material Contract or Governmental Approval, except as specifically contemplated by this Agreement or in the Ordinary Course of Business;

  

	9.	commence a Proceeding other than for (i) the routine collection of Accounts Receivable or (ii) injunctive relief on the grounds that Company has suffered immediate and
irreparable harm not compensable in money damages or (iii) for the enforcement of this Agreement; 

  

	10.	declare, authorize or pay any dividends on, make any other distributions with respect to, or redeem, repurchase or otherwise acquire any of its capital stock, except as specifically
contemplated by this Agreement; 

  

	11.	purchase, lease, license or otherwise acquire any material assets with a cost individually or in the aggregate greater than $1,000, except for supplies acquired by Company in the
Ordinary Course of Business and except for any capital expenditures contemplated by item 12 below; 

  

	12.	make any capital expenditure in excess of $1,000 individually or in the aggregate; 

  

 -1- 

	13.	write off as uncollectible, or establish any extraordinary reserve with respect to, any Accounts Receivable or other indebtedness in excess of $1,000, individually or in the
aggregate; 

  

	14.	provide any credit, loan, advance, guaranty, endorsement, indemnity, warranty or mortgage to any Person, including any of the customers, stockholders, officers, employees or
directors of Company, other than those made in the Ordinary Course of Business; 

  

	15.	borrow from any Person by way of a loan, advance, guaranty, endorsement, indemnity or warranty, other than Permitted Indebtedness; 

  

	16.	discharge any Encumbrance, indebtedness or other Liability in excess of $1,000, individually or in the aggregate, except for Liabilities reflected or reserved against in the
Financial Statements and accounts payable in the Ordinary Course of Business and except as otherwise specifically contemplated in this Agreement; provided, however, that the Company is permitted to file all necessary documents, forms or certificates
with the appropriate Governmental Authority in connection with the cancellation of the security interests on the Company’s assets that are currently held by certain of the Company’s stockholders; 

  

	17.	change its credit practices, accounting methods or practices or standards used to maintain its books, accounts or business records; 

  

	18.	change the material terms of its accounts or other payables or Accounts Receivable or take any action directly or indirectly to cause or encourage any material acceleration or
material delay in the payment, collection or generation of its accounts payables or Accounts Receivable (except for paying accounts payables in the Ordinary Course of Business in a manner consistent with past practice); 

  

	19.	incur or become subject to any Liability, contingent or otherwise, except current Liabilities in the Ordinary Course of Business, other than Permitted Indebtedness;

  

	20.	split, combine or reclassify any of its capital stock or issue (except for the conversion or exercise of Equity Interests shown on the Company Disclosure Schedule) or authorize the
issuance of any other securities in lieu of, or in substitution for, shares of its capital stock; 

  

	21.	accelerate, amend or change the period of exercisability or vesting of stock option or other equity interests, except as specifically contemplated in this Agreement;

  

	22.	hire any new employee, terminate any officer or key employee of Company, increase the annual level of compensation of any existing employee, establish or adopt any Plan, or grant
any bonuses, benefits or other forms of direct or indirect compensation to any employee, officer, director or consultant; 

  

	23.	make any severance payments to any employee, officer or director, except payments made pursuant to written agreements outstanding as of the date of this Agreement;

  

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	24.	make or change any material election in respect of Taxes, adopt or change any accounting method in respect of Taxes, file any material amendment to a Tax return, enter into any
closing agreement, settle any claim or assessment in respect of Taxes, or consent to any extension or waiver of the limitation period applicable to any claim or assessment in respect of Taxes; or 

  

	25.	fail to maintain the Company’s assets in good repair, order and condition, reasonable wear and tear excepted. 

  

 -3-

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