Document:

Class B(2006-3) Terms Document, dated as of August 22, 2006

 Exhibit 4.1 
 EXECUTION COPY 
  

 BA CREDIT CARD TRUST 
 as Issuer 
 CLASS B(2006-3) TERMS DOCUMENT 
 dated as of August 22, 2006 
 to 
 AMENDED AND RESTATED BASERIES INDENTURE
SUPPLEMENT 
 dated as of June 10, 2006 
 to 
 AMENDED AND RESTATED INDENTURE 
 dated as of June 10, 2006 
 THE BANK OF NEW YORK 
 as Indenture Trustee 
  

					
		 	ARTICLE I	  	
			
		 	Definitions and Other Provisions of General Application	  	
			
	Section 1.01.	 	Definitions	  	1
			
	Section 1.02.	 	Governing Law; Submission to Jurisdiction; Agent for Service of Process	  	5
			
	Section 1.03.	 	Counterparts	  	6
			
	Section 1.04.	 	Ratification of Indenture and Indenture Supplement	  	6
			
		 	ARTICLE II	  	
			
		 	The Class B(2006-3) Notes	  	
			
	Section 2.01	 	Creation and Designation	  	7
			
	Section 2.02	 	Specification of Required Subordinated Amount and other Terms	  	7
			
	Section 2.03.	 	Interest Payment	  	8
			
	Section 2.04.	 	Calculation Agent; Determination of LIBOR	  	8
			
	Section 2.05.	 	Payments of Interest and Principal	  	9
			
	Section 2.06.	 	Form of Delivery of Class B(2006-3) Notes; Depository; Denominations	  	10
			
	Section 2.07.	 	Delivery and Payment for the Class B(2006-3) Notes	  	10
			
	Section 2.08.	 	Targeted Deposits to the Accumulation Reserve Account	  	10
			
		 	ARTICLE III	  	
			
		 	Representations and Warranties	  	
			
	Section 3.01	 	Issuer’s Representations and Warranties	  	11

 THIS CLASS B(2006-3) TERMS DOCUMENT (this “Terms Document”), by and between BA CREDIT
CARD TRUST, a statutory trust created under the laws of the State of Delaware (the “Issuer”), having its principal office at Rodney Square North, 1100 North Market Street, Wilmington, Delaware 19890, and THE BANK OF NEW YORK, a New
York banking corporation ( the “Indenture Trustee”), is made and entered into as of August 22, 2006. 
 Pursuant to
this Terms Document, the Issuer and the Indenture Trustee shall create a new tranche of Class B Notes and shall specify the principal terms thereof. 
 ARTICLE I 
 Definitions and Other Provisions of General Application 
 Section 1.01. Definitions. For all purposes of this Terms Document, except as otherwise expressly provided or unless the context otherwise
requires: 
  

	 	(1)	the terms defined in this Article have the meanings assigned to them in this Article, and include the plural as well as the singular; 

  

	 	(2)	all other terms used herein which are defined in the Amended and Restated BAseries Indenture Supplement, dated as of June 10, 2006 (the “Indenture
Supplement”), or the Amended and Restated Indenture, dated as of June 10, 2006 (the “Indenture”), each between the Issuer (formerly known as MBNA Credit Card Master Note Trust) and the Indenture Trustee, either
directly or by reference therein, have the meanings assigned to them therein; 

  

	 	(3)	all accounting terms not otherwise defined herein have the meanings assigned to them in accordance with generally accepted accounting principles and, except as otherwise herein
expressly provided, the term “generally accepted accounting principles” with respect to any computation required or permitted hereunder means such accounting principles as are generally accepted in the United States of America at the date
of such computation; 

  

	 	(4)	all references in this Terms Document to designated “Articles,” “Sections” and other subdivisions are to the designated Articles, Sections and other subdivisions
of this Terms Document as originally executed; 

  

	 	(5)	the words “herein,” “hereof” and “hereunder” and other words of similar import refer to this Terms Document as a whole and not to any particular
Article, Section or other subdivision; 

  

	 	(6)	in the event that any term or provision contained herein shall conflict with or be inconsistent with any term or provision contained in the Indenture Supplement or the Indenture,
the terms and provisions of this Terms Document shall be controlling; 

	 	(7)	each capitalized term defined herein shall relate only to the Class B(2006-3) Notes and no other tranche of Notes issued by the Issuer; and 

  

	 	(8)	“including” and words of similar import will be deemed to be followed by “without limitation.” 

 “Accumulation Reserve Funding Period” shall mean, (a) if the Accumulation Period Length is determined to be one (1) month,
there shall be no Accumulation Reserve Funding Period and (b) otherwise, the period (x) commencing on the earliest to occur of (i) the Monthly Period beginning three (3) calendar months prior to the first Transfer Date for which
a budgeted deposit is targeted to be made into the Principal Funding sub-Account of the Class B(2006-3) Notes pursuant to Section 3.10(b) of the Indenture Supplement, (ii) the Monthly Period following the first Transfer Date
following and including the July 2007 Transfer Date for which the Quarterly Excess Available Funds Percentage is less than 2%, but in such event the Accumulation Reserve Funding Period shall not be required to commence earlier than 24 months prior
to the Expected Principal Payment Date, (iii) the Monthly Period following the first Transfer Date following and including the January 2008 Transfer Date for which the Quarterly Excess Available Funds Percentage is less than 3%, but in such
event the Accumulation Reserve Funding Period shall not be required to commence earlier than 18 months prior to the Expected Principal Payment Date, and (iv) the Monthly Period following the first Transfer Date following and including the March
2008 Transfer Date for which the Quarterly Excess Available Funds Percentage is less than 4%, but in such event the Accumulation Reserve Funding Period shall not be required to commence earlier than 16 months prior to the Expected Principal Payment
Date and (y) ending on the close of business on the last day of the Monthly Period preceding the earlier to occur of (i) the Expected Principal Payment Date for the Class B(2006-3) Notes and (ii) the date on which the Class B(2006-3)
Notes are paid in full. 
 “Base Rate” means, with respect to any Monthly Period, the sum of (i) the Weighted Average
Interest Rates for the Outstanding BAseries Notes, (ii) the Net Servicing Fee Rate (as such term is defined in the Series 2001-D Supplement) and (iii) so long as FIA or The Bank of New York is the Servicer, the Servicer Interchange Rate,
in each case, for such Monthly Period. 
 “BAseries Servicer Interchange” means, with respect to any Monthly Period, an
amount equal to the product of (a) the Servicer Interchange (as such term is defined in the Series 2001-D Supplement) with respect to such Monthly Period and (b) a fraction the numerator of which is the Weighted Average Available Funds
Allocation Amount for the BAseries for such Monthly Period and the denominator of which is the Weighted Average Available Funds Allocation Amount for all series of Notes for such Monthly Period. 
 “Calculation Agent” is defined in Section 2.04(a). 
 “Class B(2006-3) Note” means any Note, substantially in the form set forth in Exhibit A-2 to the Indenture Supplement, designated
therein as a Class B(2006-3) Note and duly executed and authenticated in accordance with the Indenture. 
  

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 “Class B(2006-3) Noteholder” means a Person in whose name a Class B(2006-3) Note is
registered in the Note Register. 
 “Class B(2006-3) Termination Date” means the earliest to occur of (a) the Principal
Payment Date on which the Outstanding Dollar Principal Amount of the Class B(2006-3) Notes is paid in full, (b) the Legal Maturity Date and (c) the date on which the Indenture is discharged and satisfied pursuant to Article VI
thereof. 
 “Class B Required Subordinated Amount of Class C Notes” is defined in Section 2.02(b). 

“Controlled Accumulation Amount” means $25,000,000.00; provided, however, if the Accumulation Period Length is
determined to be less than twelve (12) months pursuant to Section 3.10(b)(ii) of the Indenture Supplement, the Controlled Accumulation Amount shall be the amount specified in the definition of “Controlled Accumulation
Amount” in the Indenture Supplement. 
 “Excess Available Funds Percentage” means, with respect to any Transfer Date,
the amount, if any, by which the Portfolio Yield for the preceding Monthly Period exceeds the Base Rate for such Monthly Period. 
 “Expected Principal Payment Date” means August 17, 2009 
 “Initial Dollar Principal Amount”
means $300,000,000. 
 “Interest Payment Date” means the fifteenth day of each month, or if such fifteenth day is not a
Business Day, the next succeeding Business Day, commencing October 16, 2006. 
 “Interest Period” means, with respect
to any Interest Payment Date, the period from and including the previous Interest Payment Date (or in the case of the initial Interest Payment Date, from and including the Issuance Date) through the day preceding such Interest Payment Date.

 “Issuance Date” means August 22, 2006. 
 “Legal Maturity Date” means January 17, 2012. 
 “LIBOR” means, for any Interest Period, the London interbank offered rate for one-month United States dollar deposits determined by the Calculation Agent on the LIBOR Determination Date for each
Interest Period in accordance with the provisions of Section 2.04. 
 “LIBOR Determination Date” means
August 18, 2006 for the period from and including the Issuance Date to but excluding October 16, 2006, and for each Interest Period thereafter, the second London Business Day prior to the Interest Payment Date on which such Interest Period
commences. 
  

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 “London Business Day” means any Business Day on which dealings in deposits in United
States Dollars are transacted in the London interbank market. 
 “Note Interest Rate” means a per annum rate equal to 0.08%
in excess of LIBOR as determined by the Calculation Agent on the related LIBOR Determination Date with respect to each Interest Period. 
 “Paying Agent” means The Bank of New York. 
 “Portfolio Yield” means, with respect to any Monthly
Period, the annualized percentage equivalent of a fraction, the numerator of which is (a) the amount of Available Funds allocated to the BAseries pursuant to Section 501 of the Indenture, plus (b) any Interest Funding
sub-Account Earnings on the related Transfer Date, plus (c) any amounts to be treated as BAseries Available Funds pursuant to Sections 3.20(d) and 3.27(a) of the Indenture Supplement, plus (d) the BAseries
Servicer Interchange for such Monthly Period, minus (e) the excess, if any, of the sum of the PFA Prefunding Earnings Shortfall plus the PFA Accumulation Earnings Shortfall over the sum of the aggregate amount to be treated as
BAseries Available Funds for such Monthly Period pursuant to Sections 3.04(a)(ii) and 3.25(a) of the Indenture Supplement plus any other amounts applied to cover earnings shortfalls on amounts in the Principal Funding
sub-Account for any tranche of BAseries Notes for such Monthly Period, minus (f) the BAseries Investor Default Amount for such Monthly Period, and the denominator of which is the Weighted Average Available Funds Allocation Amount for the
BAseries for such Monthly Period. 
 “Predecessor Note” means, with respect to any particular Note, every previous Note
evidencing all or a portion of the same debt as that evidenced by such particular Note; and, for the purpose of this definition, any Note authenticated and delivered under Section 306 of the Indenture in lieu of a mutilated, lost,
destroyed or stolen Note shall be deemed to evidence the same debt as the mutilated, lost, destroyed or stolen Note. 
 “Quarterly
Excess Available Funds Percentage” means, with respect to the July 2007 Transfer Date and each Transfer Date thereafter, the percentage equivalent of a fraction the numerator of which is the sum of the Excess Available Funds Percentages
with respect to the immediately preceding three Monthly Periods and the denominator of which is three. 
 “Record Date”
means, for any Transfer Date, the last Business Day of the preceding Monthly Period. 
 “Reference Banks” means four major
banks in the London interbank market selected by the Beneficiary. 
 “Required Accumulation Reserve sub-Account Amount”
means, with respect to any Monthly Period during the Accumulation Reserve Funding Period, an amount equal to (i) 0.5% of the Outstanding Dollar Principal Amount of the Class B(2006-3) Notes as of the close of business on the last day of the
preceding Monthly Period or (ii) any other amount 
  

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 designated by the Issuer; provided, however, that if such designation is of a lesser amount, the Note
Rating Agencies shall have provided prior written confirmation that a Ratings Effect will not occur with respect to such change. 
 “Servicer Interchange Rate” means, for any Monthly Period, the percentage equivalent of a fraction, the numerator of which is the BAseries Servicer Interchange for such Monthly Period, and the denominator of which is the
Weighted Average Available Funds Allocation Amount for the BAseries for such Monthly Period. 
 “Stated Principal Amount”
means $300,000,000. 
 “Telerate Page 3750” means the display page currently so designated on the Moneyline Telerate Service
(or such other page as may replace that page on that service for the purpose of displaying comparable rates or prices). 
 “Weighted
Average Interest Rates” means, with respect to any Outstanding Notes of a class or tranche of the BAseries, or of all of the Outstanding Notes of the BAseries, on any date, the weighted average (weighted based on the Outstanding Dollar
Principal Amount of the related Notes on such date) of the following rates of interest: 
 (a) in the case of a tranche of Dollar
Interest-bearing Notes with no Derivative Agreement for interest, the rate of interest applicable to that tranche on that date; 
 (b) in the
case of a tranche of Discount Notes, the rate of accretion (converted to an accrual rate) of that tranche on that date; 
 (c) in the case of
a tranche of Notes with a payment due under a Performing Derivative Agreement for interest, the rate at which payments by the Issuer to the applicable Derivative Counterparty accrue on that date (prior to the netting of such payments, if
applicable); and 
 (d) in the case of a tranche of Notes with a non-Performing Derivative Agreement for interest, the rate specified for
that date in the related terms document. 
 Section 1.02. Governing Law; Submission to Jurisdiction; Agent for Service of Process.
This Terms Document shall be governed by and construed in accordance with the laws of the State of Delaware, without regard to principles of conflict of laws. The parties hereto declare that it is their intention that this Terms Document shall be
regarded as made under the laws of the State of Delaware and that the laws of said State shall be applied in interpreting its provisions in all cases where legal interpretation shall be required. Each of the parties hereto agrees (a) that this
Terms Document involves at least $100,000.00, and (b) that this Terms Document has been entered into by the parties hereto in express reliance upon 6 DEL. C. § 2708. Each of the parties hereto hereby irrevocably and unconditionally
agrees (a) to be subject to the jurisdiction of the courts of the State of Delaware and of the federal courts sitting in the State of Delaware, and (b)(1) to the extent such party is not otherwise subject to service of process in the State of
Delaware, to appoint and maintain an agent in the State of Delaware as such party’s 
  

 5 

 agent for acceptance of legal process, and (2) that, to the fullest extent permitted by applicable law, service of
process may also be made on such party by prepaid certified mail with a proof of mailing receipt validated by the United States Postal Service constituting evidence of valid service, and that service made pursuant to (b)(1) or (2) above shall,
to the fullest extent permitted by applicable law, have the same legal force and effect as if served upon such party personally within the State of Delaware. 
 Section 1.03. Counterparts. This Terms Document may be executed in any number of counterparts, each of which so executed will be deemed to be an original, but all such counterparts will together constitute but
one and the same instrument. 
 Section 1.04. Ratification of Indenture and Indenture Supplement. As supplemented by this Terms
Document, each of the Indenture and the Indenture Supplement is in all respects ratified and confirmed and the Indenture as so supplemented by the Indenture Supplement as so supplemented and this Terms Document shall be read, taken and construed as
one and the same instrument. 
 [END OF ARTICLE I] 
  

 6 

 Article II 
 The Class B(2006-3) Notes 
 Section 2.01 Creation and Designation. There is hereby created a
tranche of BAseries Class B Notes to be issued pursuant to the Indenture and the BAseries Indenture Supplement to be known as the “BAseries Class B(2006-3) Notes.” 
 Section 2.02 Specification of Required Subordinated Amount and other Terms. 
 (a) Notwithstanding any provision of Section 2.03 of the Indenture Supplement to the contrary, on any date of determination, the available
subordinated amount of Class C Notes for the Class B(2006-3) Notes shall be at least equal to the Class B Required Subordinated Amount of Class C Notes for the Class B(2006-3) Notes. For purposes of this clause, the available subordinated amount of
Class C Notes for the Class B(2006-3) Notes as of any date will be an amount equal to, after giving effect to any issuances, deposits, allocations, reallocations or payments to be made on that date: 
 (i) the aggregate Nominal Liquidation Amount of all tranches of Class C Notes which are Outstanding on that date; minus

 (ii) the sum of (A) the aggregate Class B Required Subordinated Amount of Class C Notes for all other tranches of
Class B Notes which are Outstanding on that date plus (B) the aggregate Class A Required Subordinated Amount of Class C Notes for all tranches of Class A Notes for which the Class A Required Subordinated Amount of Class B
Notes is equal to zero which are Outstanding on that date. 
 (b) (i) For the Class B(2006-3) Notes for any date of
determination, the Class B Required Subordinated Amount of Class C Notes will be an amount equal to the product of (A) the Adjusted Outstanding Dollar Principal Amount of the Class B(2006-3) Notes on such date, times (B) the sum of:

 (x) a fraction, the numerator of which is the aggregate Class A Required Subordinated Amount of Class C Notes for all
tranches of Class A Notes which are Outstanding on that date, for which the Class A Required Subordinated Amount of Class B Notes is greater than zero and the denominator of which is the aggregate Adjusted Outstanding Dollar Principal
Amount for all tranches of Class B Notes (including the Class B(2006-3) Notes) which are Outstanding on that date; plus  
 (y) the product of: 
 (1) 8.10811%; times  
 (2) a fraction, the numerator of which is the aggregate Adjusted Outstanding Dollar Principal Amount for all tranches of Class B Notes
(including the Class B(2006-3) Notes) which are Outstanding on that date minus the aggregate Class A Required Subordinated Amount of 
  

 7 

 Class B Notes for all tranches of Class A Notes which are Outstanding on that date, and the
denominator of which is the aggregate Adjusted Outstanding Dollar Principal Amount for all tranches of Class B Notes (including the Class B(2006-3) Notes) which are Outstanding on that date. 
 (ii) If an Early Redemption Event with respect to the Class B(2006-3) Notes shall have occurred, if an Event of Default and acceleration
of the Class B(2006-3) Notes shall have occurred or if the Class B Usage of the Class C Required Subordinated Amount for the Class B(2006-3) Notes is greater than zero, on any date of determination following any such event, the Class B Required
Subordinated Amount of Class C Notes for the Class B(2006-3) Notes shall be the greater of (i) the amount determined pursuant to subsection 2.02(b)(i) on such date of determination and (ii) the amount determined pursuant to
subsection 2.02(b)(i) as of close of business on the day immediately preceding the occurrence of such Early Redemption Event, such Event of Default and acceleration or the date on which the Class B Usage of Class C Required Subordinated
Amount exceeded zero. 
 (c) The Issuer may change the definition of the Class B Required Subordinated Amount of Class C Notes with respect
to the Class B(2006-3) Notes without the consent of any Noteholder so long as the Issuer has (i) received written confirmation from each Note Rating Agency that has rated any Outstanding Notes of the BAseries that the change in such definition
will not result in a Ratings Effect with respect to any Outstanding Class B(2006-3) Notes and (ii) delivered to the Indenture Trustee and the Note Rating Agencies a Master Trust Tax Opinion and an Issuer Tax Opinion with respect to such change.

 Section 2.03. Interest Payment. 
 (a) For each Interest Payment Date, the amount of interest due with respect to the Class B(2006-3) Notes shall be an amount equal to the product of (i)(A) a fraction, the numerator of which is the actual number
of days in the related Interest Period and the denominator of which is 360, times (B) the Note Interest Rate in effect with respect to the related Interest Period, times (ii) the Outstanding Dollar Principal Amount of the
Class B(2006-3) Notes determined as of the Record Date preceding the related Transfer Date. Interest on the Class B(2006-3) Notes will be calculated on the basis of the actual number of days in the related Interest Period and a 360-day year.

 (b) Pursuant to Section 3.03 of the Indenture Supplement, on each Transfer Date, the Indenture Trustee shall deposit into the
Class B(2006-3) Interest Funding sub-Account the portion of BAseries Available Funds allocable to the Class B(2006-3) Notes. 
 Section 2.04. Calculation Agent; Determination of LIBOR. 
 (a) The Issuer hereby agrees that for so long as any Class
B(2006-3) Notes are Outstanding, there shall at all times be an agent appointed to calculate LIBOR for each Interest Period (the “Calculation Agent”). The Issuer hereby initially appoints the Indenture Trustee as the Calculation
Agent for purposes of determining LIBOR for each Interest Period. The Calculation Agent may be removed by the Issuer at any time. If the Calculation Agent is unable 
  

 8 

 or unwilling to act as such or is removed by the Issuer, or if the Calculation Agent fails to determine LIBOR for an
Interest Period, the Issuer shall promptly appoint a replacement Calculation Agent that does not control or is not controlled by or under common control with the Issuer or its Affiliates. The Calculation Agent may not resign its duties, and the
Issuer may not remove the Calculation Agent, without a successor having been duly appointed. 
 (b) On each LIBOR Determination Date, the
Calculation Agent shall determine LIBOR on the basis of the rate for deposits in United States dollars for a one-month period which appears on Telerate Page 3750 as of 11:00 a.m., London time, on such date (or, for the first Interest Period, the
rate that corresponds to the actual number of days in the first Interest Period). If such rate does not appear on Telerate Page 3750, the rate for that LIBOR Determination Date shall be determined on the basis of the rates at which deposits in
United States dollars are offered by the Reference Banks at approximately 11:00 a.m., London time, on that day to prime banks in the London interbank market for a one-month period. The Calculation Agent shall request the principal London office of
each of the Reference Banks to provide a quotation of its rate. If at least two such quotations are provided, the rate for that LIBOR Determination Date shall be the arithmetic mean of the quotations. If fewer than two quotations are provided as
requested, the rate for that LIBOR Determination Date will be the arithmetic mean of the rates quoted by four major banks in New York City, selected by the Beneficiary, at approximately 11:00 a.m., New York City time, on that day for loans in United
States dollars to leading European banks for a one-month period. 
 (c) The Note Interest Rate applicable to the then current and the
immediately preceding Interest Periods may be obtained by telephoning the Indenture Trustee at its corporate trust office at (212) 815-3247 or such other telephone number as shall be designated by the Indenture Trustee for such purpose by prior
written notice by the Indenture Trustee to each Noteholder from time to time. 
 (d) On each LIBOR Determination Date, the Calculation Agent
shall send to the Indenture Trustee and the Beneficiary, by facsimile transmission, notification of LIBOR for the following Interest Period. 
 Section 2.05. Payments of Interest and Principal. 
 (a) Any installment of interest or principal, if any, payable on any
Class B(2006-3) Note which is punctually paid or duly provided for by the Issuer and the Indenture Trustee on the applicable Interest Payment Date or Principal Payment Date shall be paid by the Paying Agent to the Person in whose name such Class
B(2006-3) Note (or one or more Predecessor Notes) is registered on the Record Date, by wire transfer of immediately available funds to such Person’s account as has been designated by written instructions received by the Paying Agent from such
Person not later than the close of business on the third Business Day preceding the date of payment or, if no such account has been so designated, by check mailed first-class, postage prepaid to such Person’s address as it appears on the Note
Register on such Record Date, except that with respect to Notes registered on the Record Date in the name of the nominee of Cede & Co., payment shall be made by wire transfer in immediately available funds to the account designated by such
nominee. 
  

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 (b) The right of the Class B(2006-3) Noteholders to receive payments from the Issuer will terminate on
the first Business Day following the Class B(2006-3) Termination Date. 
 Section 2.06. Form of Delivery of Class B(2006-3) Notes;
Depository; Denominations. 
 (a) The Class B(2006-3) Notes shall be delivered in the form of a global Registered Note as provided in
Sections 202 and 301(i) of the Indenture, respectively. 
 (b) The Depository for the Class B(2006-3) Notes shall be The
Depository Trust Company, and the Class B(2006-3) Notes shall initially be registered in the name of Cede & Co., its nominee. 
 (c)
The Class B(2006-3) Notes will be issued in minimum denominations of $5,000 and multiples of $1,000 in excess of that amount. 
 Section 2.07. Delivery and Payment for the Class B(2006-3) Notes. The Issuer shall execute and deliver the Class B(2006-3) Notes to the Indenture Trustee for authentication, and the Indenture Trustee shall deliver the Class
B(2006-3) Notes when authenticated, each in accordance with Section 303 of the Indenture. 
 Section 2.08. Targeted
Deposits to the Accumulation Reserve Account. The deposit targeted to be made to the Accumulation Reserve Account for any Monthly Period during the Accumulation Reserve Funding Period will be an amount equal to the Required Accumulation Reserve
sub-Account Amount. 
 [END OF ARTICLE II] 
  

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 ARTICLE III 
 Representations and Warranties 
 Section 3.01 Issuer’s Representations and Warranties. The
Issuer makes the following representations and warranties as to the Collateral Certificate on which the Indenture Trustee is deemed to have relied in acquiring the Collateral Certificate. Such representations and warranties speak as of the execution
and delivery of this Terms Document, but shall survive until the termination of this Terms Document. Such representations and warranties shall not be waived by any of the parties to this Terms Document unless the Issuer has obtained written
confirmation from each Note Rating Agency that there will be no Ratings Effect with respect to such waiver. 
 (a) The Indenture creates a
valid and continuing security interest (as defined in the Delaware UCC) in the Collateral Certificate in favor of the Indenture Trustee, which security interest is prior to all other liens, and is enforceable as such as against creditors of and
purchasers from the Issuer. 
 (b) The Collateral Certificate constitutes either an “account,” a “general intangible,” an
“instrument,” or a “certificated security,” each within the meaning of the Delaware UCC. 
 (c) At the time of the
transfer and assignment of the Collateral Certificate to the Indenture Trustee pursuant to the Indenture, the Issuer owned and had good and marketable title to the Collateral Certificate free and clear of any lien, claim or encumbrance of any
Person. 
 (d) The Issuer has caused, within ten days of the execution of the Indenture, the filing of all appropriate financing statements
in the proper filing office in the appropriate jurisdictions under applicable law in order to perfect the security interest in the Collateral Certificate granted to the Indenture Trustee pursuant to the Indenture. 
 (e) Other than the security interest granted to the Indenture Trustee pursuant to the Indenture, the Issuer has not pledged, assigned, sold, granted a
security interest in, or otherwise conveyed the Collateral Certificate. The Issuer has not authorized the filing of and is not aware of any financing statements against the Issuer that include a description of collateral covering the Collateral
Certificate other than any financing statement relating to the security interest granted to the Indenture Trustee pursuant to the Indenture or any financing statement that has been terminated. The Issuer is not aware of any judgment or tax lien
filings against the Issuer. 
 (f) All original executed copies of the Collateral Certificate have been delivered to the Indenture Trustee.

  

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 (g) At the time of the transfer and assignment of the Collateral Certificate to the Indenture Trustee
pursuant to the Indenture, the Collateral Certificate had no marks or notations indicating that it has been pledged, assigned or otherwise conveyed to any Person other than the Indenture Trustee. 
 [END OF ARTICLE III] 
  

 12 

 IN WITNESS WHEREOF, the parties hereto have caused this Terms Document to be duly executed, all as of the
day and year first above written. 
  

			
	BA CREDIT CARD TRUST,
	by FIA CARD SERVICES,
	 NATIONAL ASSOCIATION,
 as Beneficiary and not
in its individual capacity

		
	By:	 	 /s/ Scott W. McCarthy

		 	Scott W. McCarthy
		 	Senior Vice President
	
	 THE BANK OF NEW YORK, as Indenture Trustee
 and not in its individual capacity

		
	By:	 	 /s/ Catherine L. Cerilles

	Name:	 	Catherine L. Cerilles
	Title:	 	Assistant Vice President

 [Signature Page to the Class B(2006-3) Terms Document]Stock Purchase Agreement

 Exhibit 10.1 
 STOCK PURCHASE AGREEMENT 
 Velocity Express Corporation 
 One Morningside Drive North, Bldg. B, Suite 300 
 Westport, CT 06880 
 The undersigned (the “Purchasers”), hereby confirm their agreement with you as follows: 
 1. This Stock Purchase Agreement (the
“Agreement”) is made as of the date set forth below among Velocity Express Corporation, a Delaware corporation (the “Company”), and each of the Purchasers listed on Exhibit A hereto. 
 2. The Company sold 4,322,770 shares of Series Q Convertible Preferred Stock of the Company, $0.004 par value per share to Purchasers in private placement transactions
on July 3, 2006 (the “Offering”) exempt from registration under the Securities Act of 1933, as amended, pursuant to Section 4(2) and Regulation D thereunder. The Company proposes to sell up to 500,000 additional shares of Series
Q Convertible Preferred Stock (the “Shares”) to Purchasers. The Shares are initially convertible into 4,545,454 shares (the “Conversion Shares”) of the Company’s Common Stock, $0.004 par value (the “Common Stock”),
subject to adjustment in accordance with the terms of the Certificate of Designations, Preferences and Rights of Series Q Convertible Preferred Stock of the Company. The proceeds from the sale of the Shares, the Notes (as defined below) and the
Warrants (as defined below), net of transaction expenses, will be used (i) to fund the Company’s acquisition and integration of CD&L, Inc., (ii) to refinance certain existing indebtedness of the Company, (iii) for the payment
of fees and expenses in connection with the financing of the acquisition of CD&L, Inc. and (iv) for general corporate purposes. 
 3. On the basis
of the representations, warranties and agreements contained in this Agreement, and subject to the terms and conditions set forth in this Agreement, the Company hereby agrees to issue and sell to the Purchasers, and each Purchaser severally and not
jointly, agrees to purchase from the Company the number of Shares set forth above such Purchaser’s name on the signature page hereto at a purchase price of $10.00 per Share, pursuant to the Terms and Conditions for Purchase of Shares attached
hereto as Annex I and incorporated herein by this reference as if fully set forth herein. Unless otherwise requested by any Purchaser, certificates representing the Shares purchased by such Purchaser will be registered in such
Purchaser’s name and address as set forth on the signature page hereto. 
 4. The proceeds from the Offering were released to the Company concurrent
with (i) the Company’s sale of $78,205,000 principal amount of its 12% Senior Secured Notes due 2010 (the “Notes”) and detachable warrants (“Warrants”), (ii) the Company’s execution of (a) the execution
and delivery of agreements with respect to the Company’s acquisition of 49% of the outstanding common stock (on a fully-diluted basis) of CD&L, Inc. (the “CD&L Purchase Agreements”), (b) the execution and delivery of
agreements with the holders of at least an additional 2% of CD&L, Inc.’s outstanding common stock to vote their shares in favor of the 

 merger under the CD&L Merger Agreement (as defined below) (the “Voting Agreement”) and (c) the
execution and delivery of the Agreement and Plan of Merger by and among the Company, CD&L Acquisition Corp. and CD&L, Inc. (the “CD&L Merger Agreement” and, together with the CD&L Purchase Agreements and the Voting
Agreement, the “CD&L Agreements”), (iii) the Company’s execution and delivery of Registration Rights Agreement in the form attached hereto as Exhibit B with respect to the Conversion Shares and the shares of Common
Stock issuable upon exercise of the Warrants and (iv) filing of the Certificate of Designations for the Shares. The Company has heretofore made available to each Purchaser a copy of the Indenture with respect to the issuance of the Notes, the
form of Warrant and the CD&L Agreements. Purchaser is aware that the Indenture relating to the Notes contains restrictions on the Company’s ability to pay dividends and other restricted payments. 
 5. Jefferies & Company, Inc. joins this Agreement only for purposes of Section 2.1(f) and Section 10 hereof and solely in its capacity as Closing
Agent (as defined in Section 2.1(f)). 
  

 2 

 IN WITNESS WHEREOF, the undersigned have executed this Stock Purchase Agreement as of the 17th day of August, 2006. 
 Number of
Shares Purchased: 13,200 
  

					
		 	 William S. Lapp
  

		 	Name of Purchaser
			
		 	By:	 	 /s/ William S. Lapp
  

		 	Print Name:	 	 William S. Lapp

		 	Title:	 	  

		 	Address:	 	 One Financial Plaza, Suite 2500

		 		 	 120 South Sixth Street

		 		 	 Minneapolis, MN 55402

  

					
	1.	 	The exact name that your Shares are to be registered in (this is the name that will appear on your stock certificate(s)). You may use a nominee name if appropriate:	 	William S. Lapp
			
	2.	 	The relationship between the Purchaser and the registered holder listed in response to item 1 above:	 	Same
			
	3.	 	The mailing address of the registered holder listed in response to item 1 above:	 	 One Financial Plaza, Suite 2500
 120 South Sixth
Street
 Minneapolis, MN 55402

			
	4.	 	The Social Security Number or Tax Identification Number of the registered holder listed in the response to item 1 above:	 	__________________________________________
			
	5.	 	The facsimile and email address of the registered holder listed in the response to item 1 above:	 	 Fax: 612-338-6651
 Email:
wlapp@lapplibra.com

  

 3 

 IN WITNESS WHEREOF, the undersigned have executed this Stock Purchase Agreement as of the 17th day of August, 2006. 
 Number of
Shares Purchased: 55,000 
  

					
		 	 PJ Family Trust, LLC
  

		 	Name of Purchaser
			
		 	By:	 	 /s/ Paul M. Soros
  
  

		 	Print Name:	 	 Paul M. Soros

		 	Title:	 	 Trustee of Member Trusts

		 	Address:	 	

  

					
	1.	 	The exact name that your Shares are to be registered in (this is the name that will appear on your stock certificate(s)). You may use a nominee name if appropriate:	 	 PJ Family Trust, LLC
  

			
	2.	 	The relationship between the Purchaser and the registered holder listed in response to item 1 above:	 	__________________________________________
			
	3.	 	The mailing address of the registered holder listed in response to item 1 above:	 	 888 Seventh Avenue, 32nd Fl
 New York, NY 10106

			
	4.	 	The Social Security Number or Tax Identification Number of the registered holder listed in the response to item 1 above:	 	__________________________________________
			
	5.	 	The facsimile and email address of the registered holder listed in the response to item 1 above:	 	 Fax: 212-956-5906
 Email:
psoros@paulsoroinvestments.com

  

 4 

 IN WITNESS WHEREOF, the undersigned have executed this Stock Purchase Agreement as of the 17th day of August, 2006. 
 Number of
Shares Purchased: 30,000 
  

					
		 	 Andrew K. Boszhardt, Jr.
  

		 	Name of Purchaser
			
		 	By:	 	 /s/ Andrew K. Boszhardt, Jr.
  

		 	Print Name:	 	 Andrew K. Boszhardt, Jr.
  

		 	Title:	 	  

		 	Address:	 	 660 Madison Ave, 14th Fl NY, NY 10021

  

					
	1.	 	The exact name that your Shares are to be registered in (this is the name that will appear on your stock certificate(s)). You may use a nominee name if appropriate:	 	Andrew K. Boszhardt, Jr.
			
	2.	 	The relationship between the Purchaser and the registered holder listed in response to item 1 above:	 	same
			
	3.	 	The mailing address of the registered holder listed in response to item 1 above:	 	 660 Madison Ave, 14th Fl
 New York, NY 10021

			
	4.	 	The Social Security Number or Tax Identification Number of the registered holder listed in the response to item 1 above:	 	__________________________________________
			
	5.	 	The facsimile and email address of the registered holder listed in the response to item 1 above:	 	 Fax: 212-644-0099
 Email:
ab@greatoakscap.com

  

 5 

 IN WITNESS WHEREOF, the undersigned have executed this Stock Purchase Agreement as of the 17th day of August, 2006. 
 Number of
Shares Purchased: 250,000 
  

					
		 	 Linden Capital L.P.
  

		 	Name of Purchaser
			
		 	By:	 	 /s/ Craig Jarvis
  

		 	Print Name:	 	 Craig Jarvis

		 	Title:	 	 Authorized Signatory

		 	Address:	 	  

  

					
	1.	 	The exact name that your Shares are to be registered in (this is the name that will appear on your stock certificate(s)). You may use a nominee name if appropriate:	 	Linden Capital, L.P.
			
	2.	 	The relationship between the Purchaser and the registered holder listed in response to item 1 above:	 	None
			
	3.	 	The mailing address of the registered holder listed in response to item 1 above:	 	 c/o Goldman Sachs
 One New York Plaza, 44th Fl
 New York, NY
100004

			
	4.	 	The Social Security Number or Tax Identification Number of the registered holder listed in the response to item 1 above:	 	__________________________________________
			
	5.	 	The facsimile and email address of the registered holder listed in the response to item 1 above:	 	 Fax: 646-840-3625
 Email:
cjarvis@lindenlp.com

  

 6 

 IN WITNESS WHEREOF, the undersigned have executed this Stock Purchase Agreement as of the 17th day of August, 2006. 
 Number of
Shares Purchased: 130,290 
  

					
		 	 Charter Oak Partners
  

		 	Name of Purchaser
			
		 	By:	 	 /s/ Robert Jaffee
  

		 	Print Name:	 	 Robert Jaffee

		 	Title:	 	 General Partner

		 	Address:	 	 10 Wright Street, Westport, CT 06880

  

					
	1.	 	The exact name that your Shares are to be registered in (this is the name that will appear on your stock certificate(s)). You may use a nominee name if appropriate:	 	 Charter Oak Partners

			
	2.	 	The relationship between the Purchaser and the registered holder listed in response to item 1 above:	 	 Same

			
	3.	 	The mailing address of the registered holder listed in response to item 1 above:	 	 10 Wright Street, Ste 210
 Westport, CT 06880

			
	4.	 	The Social Security Number or Tax Identification Number of the registered holder listed in the response to item 1 above:	 	__________________________________________
			
	5.	 	The facsimile and email address of the registered holder listed in the response to item 1 above:	 	 Fax: 203-226-7596
 Email: bjaffee@charteroakpartners.com

  

 7 

 IN WITNESS WHEREOF, the undersigned have executed this Stock Purchase Agreement as of the 17th day of August, 2006. 
 Number of
Shares Purchased: 21,510 
  

					
		 	 Charter Oak Partners II, LP
  

		 	Name of Purchaser
			
		 	By:	 	 /s/ Robert Jaffee
  

		 	Print Name:	 	 Robert Jaffee

		 	Title:	 	 General Partner

		 	Address:	 	 10 Wright Street, Westport, CT 06880

  

					
	1.	 	The exact name that your Shares are to be registered in (this is the name that will appear on your stock certificate(s)). You may use a nominee name if appropriate:	 	 Charter Oak Partners II, LP

			
	2.	 	The relationship between the Purchaser and the registered holder listed in response to item 1 above:	 	Same
			
	3.	 	The mailing address of the registered holder listed in response to item 1 above:	 	 10 Wright Street, Ste 210
 Westport, CT
06880

			
	4.	 	The Social Security Number or Tax Identification Number of the registered holder listed in the response to item 1 above:	 	__________________________________________
			
	5.	 	The facsimile and email address of the registered holder listed in the response to item 1 above:	 	 Fax: 203-226-7596
 Email:
bjaffee@charteroakpartners.com

  

 8 

			
	 JEFFERIES & COMPANY, INC.,
     As Closing Agent

		
	 By:
	 	 /s/ Jonathan Cunningham
  

	 Name:
	 	 Jonathan Cunningham

	 Title:
	 	 Executive Vice President

	
	 VELOCITY EXPRESS CORPORATION

		
	 By:
	 	 /s/ Edward W. Stone
  

	 Name:
	 	 Edward W. Stone

	 Title:
	 	 Chief Financial Officer

  

 9 

 ANNEX I 
 TERMS AND CONDITIONS FOR PURCHASE OF SHARES 
 1. Agreement to Sell and Purchase the Shares; Subscription Date. 
 1.1 Purchase and Sale. At the Closing (as hereinafter defined), the Company will sell to each Purchaser, and such Purchaser will purchase from the Company severally, not jointly, upon the terms and conditions
hereinafter set forth, the number of Shares set forth next to such Purchaser’s name on Exhibit A hereto at a purchase price of $10.00 per Share. The Company has adopted and filed with the Secretary of State of the State of Delaware the
Certificate of Designations, Preferences and Rights of Series Q Convertible Preferred Stock in the form attached hereto as Exhibit C hereto (as amended, the “Certificate of Designations”). 
 1.2 Placement Agent. The Company has engaged Broadband Capital Management LLC (the “Placement Agent”) in connection with the sale of the
Shares. The Company agrees and acknowledges that any and all fees and commissions payable or previously paid to the Placement Agent in respect of the sale of Shares shall be the sole and exclusive responsibility of the Company. Other than the
Placement Agent, the fees of which shall be paid by the Company on the Closing Date, the Company shall not be obligated to pay any fee or commission to any broker, finder or other intermediary for or on account of the transactions contemplated by
this Agreement. The Company further agrees that it shall indemnify and hold harmless each Purchaser from and against all fees, commissions or other payments owing by the Company to the Placement Agent or any other person or firm acting or alleging
to act on behalf of the Company hereunder. 
 2. Deliveries at Closing; Closing Obligations. The purchase and sale of the Shares (the
“Closing”) shall occur on a date to be specified by the Company and the Placement Agent (the “Closing Date”). 
 2.1
Certain Closing Deliveries 
 (a) At the Closing, the Company shall deliver to each Purchaser one or more stock certificates
representing the number of Shares set forth next to such Purchaser’s name on Exhibit A hereto, each such certificate to be registered in the name of the Purchaser or, if so indicated on the signature page hereto, in the name of a nominee
designated by the Purchaser. 
 (b) On or prior to the Closing Date, the Company shall deliver to the Purchasers a legal opinion from the
Company’s Special Counsel, Briggs and Morgan, P.A., in the form attached hereto as Exhibit D. 
 (c) At the Closing, the Company
shall deliver to the Purchasers an executed copy of the Registration Rights Agreement; 
 (d) Concurrently with the execution and delivery of
this Agreement, the Company shall deliver to the Purchasers a certificate of the Company signed on behalf of the Company by the principal executive officer and by the chief financial or chief accounting officer of the Company, in their capacities as
such, dated the date of this Agreement, to the effect that each of such persons has carefully examined this Agreement and each of the other Transaction Documents, and that: 
 (1) the representations and warranties of the Company in this Agreement and each of the other Transaction Documents are true and correct; 

 (2) no stop order suspending the qualification or exemption from qualification of the Shares shall have
been issued and no proceedings for that purpose shall have been commenced or, to the knowledge of the Company, be contemplated; 
 (3) since
the date of the most recent financial statements included in the SEC Filings, there has been no material adverse change in the condition, financial or otherwise, business, prospects or results of operation of the Company and the Subsidiaries, taken
as a whole; 
 (4) none of the SEC Filings or any amendment or supplement thereto includes any untrue statement of a material fact or omits
to state any material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; and 
 (5) subsequent to the respective dates as of which information is given in the SEC Filings: (A) neither the Company nor any of the Subsidiaries has
incurred up to and including the date of this Agreement, other than in the ordinary course of its business, any material liabilities or obligations, direct or contingent; (B) neither the Company nor any of the Subsidiaries has paid or declared
any dividends or other distributions on its capital stock; (C) neither the Company nor any of the Subsidiaries has entered into any material transactions not in the ordinary course of business; (D) there has not been any change in the
capital stock (other than securities covered by the Registration Rights Agreement or pursuant to the Company’s stock option plan or stock purchase plan or the exercise of warrants outstanding on such respective dates) or the short-term or
long-term debt of the Company or any of the Subsidiaries; (E) neither the Company nor any of the Subsidiaries has sustained any material loss or damage to its property or assets, whether or not insured; and (F) there is no litigation which
is pending or, to the Company’s knowledge, threatened or contemplated against the Company or any of its Affiliates which would, if decided adversely, have a Material Adverse Effect. 
 (e) Concurrently with the execution and delivery of this Agreement, the Company shall have delivered to the Purchasers a certificate signed on behalf of
the Company by the Secretary of the Company, in his capacity as such, dated the date of this Agreement, as to: 
 (1) the absence of any
contemplated proceeding for the merger, consolidation, liquidation or dissolution of the Company or any Subsidiary, as the case may be, or the sale of all or substantially all of its assets, other than the transactions contemplated by the CD&L
Agreements; 
 (2) the due adoption and full force and effect of the By-laws of the Company (with a copy of the By-laws attached);

  

 2 

 (3) resolutions adopted by the Board of Directors of the Company authorizing the Shares and the
consummation of the transactions contemplated by this Agreement and each of the other Transaction Documents (with copies of such resolutions attached); and 
 (4) the incumbency, authorization and signatures of those officers of the Company signing this Agreement, each of the other Transaction Documents and/or any certificate delivered in connection therewith. 

(f) On the Closing Date, (i) subject to the satisfaction (or waiver by a Purchaser) of the conditions to Closing described in Section 2.3
of this Agreement, each Purchaser shall pay to the Wells Fargo Bank, National Association, as Escrow Agent, the aggregate purchase price for the number of Shares set forth above Purchaser’s name on the signature page to this Agreement by wire
transfer of immediately available funds in accordance with the wire instructions provided by the Escrow Agent and (ii) the Company shall deliver or cause to be delivered the Shares that such Purchaser is purchasing to the Purchaser (or for the
account of the Purchaser as the Purchaser shall instruct). Prior to the Closing, Jefferies & Company, Inc., as closing agent (in such capacity, the “Closing Agent”), will contact each Purchaser listed on Exhibit A hereto to
confirm (A) that the Closing is to take place, the wire transfer instructions and the closing mechanics set forth herein and (B) the receipt from the Company of duly executed signature pages (as applicable) to the Transaction Documents.
The receipt of funds by the Escrow Agent from a Purchaser shall be deemed to be irrevocable instructions from such Purchaser to the Closing Agent that the conditions to the Closing have been satisfied. In accordance with the foregoing, the Closing
Agent shall instruct the Escrow Agent to disburse the funds referred to above by wire transfer of immediately available funds in accordance with the Company’s written wire instructions on the Closing Date. Following the Closing Date, the
Closing Agent shall deliver to each Purchaser duly executed signature pages to this Agreement and the Registration Rights Agreement of the Company. 
 2.2 Company Obligations to Close. The Company’s obligation to issue and sell the Shares to the Purchasers shall be subject to the following conditions, any one or more of which may be waived by the Company: (a) receipt by
the Company from each Purchaser of the purchase price for the Shares being purchased hereunder as set forth above Purchaser’s name on the signature page hereto; (b) consummation of the transactions contemplated by the Merger Agreement; and
(c) the accuracy of the representations and warranties made by the Purchasers herein and the fulfillment the covenants and agreements of the Purchasers to be fulfilled hereunder prior to the Closing. 
 2.3 Purchasers Obligations to Close. The obligation of each Purchaser to purchase the number of Shares set forth above Purchaser’s name on
the signature page hereto shall be subject to the following conditions, any one or more of which may be waived in writing by the Purchasers: (a) the documents contemplated by Sections 2.1 and 2.3 of this Agreement; (b) the representations
and warranties of the Company contained in Section 3 being true and correct on and as of such Closing with the same effect as though such representations and warranties had been made on and as of the date of such Closing (except with respect to
representations and warranties which are made as of a specific date or period, which shall continue to be true and correct in all material respects as of the respective dates and for the 
  

 3 

 respective periods covered); (c) the absence of any order, writ, injunction, judgment or decree that questions the
validity of the Agreements or the right of the Company to enter into such Agreements or to consummate the transactions contemplated hereby and thereby; and (d) delivery to each Purchaser by the Secretary or Assistant Secretary of the Company of
a certificate stating that the conditions of this Section 2.3 have been fulfilled. 
 3. Representations, Warranties of the
Company. In addition to those terms defined above and elsewhere in this Agreement, the following terms shall have the meanings set forth below: 
 “Affiliate”, as applied to any Person, means any other Person directly or indirectly controlling, controlled by, or under common control with, that Person. For the purposes of this definition, “control”
(including, with correlative meanings, the terms “controlling”, “controlled by” and “under common control with”), as applied to any Person, means the possession, directly or indirectly, of the power to direct or cause
the direction of the management and policies of that Person, whether through the ownership of voting securities or by contract or otherwise. 
 “Common Stock Equivalent” means any preferred stock, option, warrant, convertible bond, debt instrument or any other convertible instrument that can be converted into Common Stock. 
 “Intellectual Property” means all of the following: (i) patents, patent applications, patent disclosures and inventions (whether or
not patentable and whether or not reduced to practice); (ii) trademarks, service marks, trade dress, trade names, corporate names, logos, slogans and Internet domain names, together with all goodwill associated with each of the foregoing;
(iii) copyrights and copyrightable works; (iv) registrations, applications and renewals for any of the foregoing; and (v) proprietary computer software (including but not limited to data, data bases and documentation). 
 “Material Adverse Effect” means a material adverse effect on (i) the assets, liabilities, results of operations, condition
(financial or otherwise), business, or prospects of the Company and its Subsidiaries taken as a whole, or (ii) the ability of the Company to perform its obligations under the Transaction Documents. 
 “Nasdaq” means The Nasdaq Stock Market, Inc. 
 “Person” means an individual, corporation, partnership, limited liability company, trust, business trust, association, joint stock company, joint venture, sole proprietorship, unincorporated
organization, governmental authority or any other form of entity not specifically listed herein. 
 “PIK Shares” means
shares of the Company’s Series Q Convertible Preferred Stock issued as payment-in-kind dividends on the Shares or any previously issued PIK Shares. 
 “Subsidiary” of any Person means another Person, an amount of the voting securities, other voting ownership or voting partnership interests of which is sufficient to elect at least a majority of its
Board of Directors or other governing body (or, if there are no such voting interests, 50% or more of the equity interests of which) is owned directly or indirectly by such first Person. 
  

 4 

 “Transaction Documents” means this Agreement, the Certificate of Designations, the
Registration Rights Agreement and the CD&L Agreements. 
 The Company hereby represents and warrants to each Purchaser that, except as set forth in the
schedules delivered herewith (collectively, the “Disclosure Schedules”): 
 3.1 Organization, Good Standing and
Qualification. Each of the Company and its Subsidiaries is a corporation duly organized, validly existing and in good standing under the laws of the jurisdiction of its incorporation and has all requisite corporate power and authority to carry
on its business as now conducted and to own its properties. Each of the Company and its Subsidiaries is duly qualified to do business as a foreign corporation and is in good standing in each jurisdiction in which the conduct of its business or its
ownership or leasing of property makes such qualification or leasing necessary unless the failure to so qualify has not and could not reasonably be expected to have a Material Adverse Effect. 
 3.2 Authorization. The Company has full power and authority and has taken all requisite action on the part of the Company, its officers, directors
and stockholders necessary for (i) the authorization, execution and delivery of this Agreement and the other Transaction Documents, (ii) the authorization of the performance of all obligations of the Company under this Agreement and the
other Transaction Documents, and (iii) the authorization, issuance, reservation for issuance and delivery, and the conversion of the Series Q Convertible Preferred Stock, the Shares and the PIK Shares and the authorization, issuance,
reservation for issuance and delivery of the Conversion Shares. The Transaction Documents constitute the legal, valid and binding obligations of the Company, enforceable against the Company in accordance with their terms, subject to
(i) bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability, relating to or affecting creditors’ rights generally and (ii) laws relating to the availability of specific
performance, injunctive relief or other equitable remedies. 
 3.3 Capitalization. All of the issued and outstanding shares of the
Company’s and its subsidiaries capital stock have been duly authorized and validly issued and are fully paid, nonassessable and were issued in full compliance with applicable state and federal securities law and any rights of third parties; the
holders thereof have no rights of rescission with respect thereto and are not subject to personal liability by reason of being such holders; and none of such securities were issued in violation of the preemptive rights of any security holder of the
Company or any of the Subsidiaries or similar contractual rights granted by the Company or any of the Subsidiaries. The Company does not have outstanding stockholder purchase rights or “poison pill” or any similar arrangement in effect
giving any Person the right to purchase any equity interest in the Company upon the occurrence of certain events. 
 3.4 Valid
Issuance. The Shares are duly and validly authorized and, when issued and paid for pursuant to this Agreement, will be validly issued, fully paid and nonassessable, free and clear of all encumbrances and restrictions (other than those created by
the Purchasers), except for restrictions on transfer set forth in the Transaction Documents or 
  

 5 

 imposed by applicable securities laws, and will be entitled to the relative rights, powers and preferences set forth in
the Certificate of Designations. The PIK Shares are duly and validly authorized and, when issued pursuant to the terms of the Certificate of Designations, will be validly issued, fully paid and nonassessable, free and clear of all encumbrances and
restrictions (other than those created by the Purchasers), except for restrictions on transfer set forth in the Transaction Documents or imposed by applicable securities laws, and will be entitled to the relative rights, powers and preferences set
forth in the Certificate of Designations. Upon the conversion of the Shares and/or the PIK Shares, the Conversion Shares will be validly issued, fully paid and non-assessable, free and clear of all encumbrances and restrictions, except for
restrictions on transfer set forth in the Transaction Documents or imposed by applicable securities laws and except for those created by the Purchasers. Prior to Closing, the Company will have reserved not less than 150% of the amount of shares of
Common Stock issuable upon conversion of the Shares, free and clear of all encumbrances and restrictions, except for restrictions on transfer set forth in the Transaction Documents or imposed by applicable securities laws and except for those
created by the Purchasers. 
 3.5 Consents. The execution, delivery and performance by the Company of the Transaction Documents and
the offer, issuance and sale of the Shares and Conversion Shares require no consent of, action by or in respect of, or filing with, any Person, governmental body, agency, or official other than (i) filings that have been made pursuant to
applicable state securities laws, (ii) post-sale filings pursuant to applicable state and federal securities laws, which were not required to be made prior to Closing and (iii) such consents as have been previously obtained. Subject to the
accuracy of the representations and warranties of each Purchaser set forth in Section 5 hereof, the Company has taken all action necessary to exempt (i) the issuance and sale of the Conversion Shares, (ii) the issuance of the PIK
Shares in accordance with the Certificate of Designations, (iii) the issuance of the Conversion Shares upon due conversion of the Shares and the PIK Shares, and (iv) the other transactions contemplated by the Transaction Documents, from
the provisions of any stockholder rights plan or other “poison pill” arrangement, any anti-takeover, business combination or control share law or statute binding on the Company or to which the Company or any of its assets and properties
may be subject and any provision of the Company’s Certificate of Incorporation or By-laws that is or could reasonably be expected to become applicable to the Purchasers as a result of the transactions contemplated hereby, including without
limitation, the issuance of the Conversion Shares, Shares and the ownership, disposition or voting of the Shares by the Purchasers or the exercise of any right granted to the Purchasers pursuant to the Transaction Documents. The Company has received
confirmation from that number of voting stockholders sufficient to approve conversion of the Shares and the PIK Shares. 
 3.6 SEC
Filings; Business. 
 (a) The Company is subject to, and in full compliance with, the reporting requirements of Section 13 or 15(d)
of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The Company has made available to each Purchaser through the EDGAR system true and complete copies of the Company’s Annual Report on Form 10-K for the fiscal
year ended July 2, 2005 (and any amendments thereto filed prior to the date of this Agreement), the Company’s Quarterly Reports on Form 10-Q for the fiscal periods ended October 1, 2005, December 31, 2005 and April 1,
2006, each of the Company’s Current Reports 
  

 6 

 on Form 8-K filed since July 2, 2005, and the Company’s proxy statement pertaining to its annual meeting of
stockholders to be held on June 28, 2006 and each other filing made by the Company with the Securities and Exchange Commission (the “Commission”) under the Exchange Act since July 2, 2005 (collectively, the “SEC
Filings”). The Company has not made any filings with the Commission under the Exchange Act since July 2, 2005 except for the SEC Filings and documents that are only required to be furnished to the Commission. The SEC Filings, when they
were filed with the Commission (or, if any amendment with respect to any such document was filed, when such amendment was filed), complied in all material respects with the applicable requirements of the Exchange Act and the rules and regulations
thereunder and did not, as of such date, contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances under
which they were made, not misleading. All reports and statements required to be filed by the Company under the Securities Act of 1933, as amended (the “Securities Act”) and the Exchange Act have been filed, together with all exhibits
required to be filed therewith. The Company and each of its direct and indirect subsidiaries (collectively, the “Subsidiaries”) are engaged in all material respects only in the business described in the SEC Filings, and the SEC Filings
contain a complete and accurate description in all material respects of the business of the Company and the Subsidiaries. 
 (b) Each
registration statement and any amendment thereto filed by the Company and which has become effective since January 1, 2004 pursuant to the Securities Act and the rules and regulations thereunder, as of the date such statement or amendment
became effective, complied as to form in all material respects with the Securities Act and did not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the
statements made therein not misleading; and each prospectus filed pursuant to Rule 424(b) under the Securities Act, as of its issue date and as of the closing of any sale of securities pursuant thereto did not contain any untrue statement of a
material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements made therein, in the light of the circumstances under which they were made, not misleading, and the Company will continue to
make such filings as is necessary to comply with the obligations of a company with a class of shares registered pursuant to Rule 12(g) of the Exchange Act. 
 (c) Each filing required to be made by the Company pursuant to the Securities Act or the Exchange Act in connection with the acquisition of CD&L, Inc. or the acquisition of any interest in CD&L, Inc. shall,
when filed with the Commission, comply in all material respects with the applicable requirements of the Securities Act and the Exchange Act and the rules and regulations thereunder and will not, as of such date, contain an untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements therein not misleading. 
 For
purposes of clarity, when any of the following representations and warranties of the Company in this Section 3 are qualified by reference to disclosures in the SEC Filings, such qualification shall apply only to express statements set forth in
the body of the relevant SEC Filings and will not include disclosures set forth in exhibits included in the SEC Filings. 
  

 7 

 3.7 Subsidiaries. The Company does not own or control, directly or indirectly, any corporation,
association or other entity other than the Subsidiaries. There are no Subsidiaries other than those set forth on Schedule 3.7. None of the Subsidiaries owns or controls directly or indirectly, any corporation, association or other entity. Except as
described in the Annual Report on Form 10-K included among the SEC Filings, the Company owns, either directly or through other Subsidiaries, all of the outstanding capital stock of each Subsidiary, in each case free and clear of all liens, charges,
claims, encumbrances, pledges, security interests, defects or other restrictions or equities of any kind whatsoever; and all outstanding capital stock of the Subsidiaries has been duly authorized and validly issued and is fully paid and
non-assessable and not issued in violation of any preemptive rights or applicable securities laws. 
 3.8 Power and Authority. Each of
the Company and the Subsidiaries has all requisite power and authority (corporate and other), and has obtained any and all requisite authorizations, approvals, orders, licenses, certificates, franchises and permits of and from all governmental or
regulatory officials and bodies, to own or lease its properties and conduct its business as described in the SEC Filings, except where the failure to have any such power, authority, authorization, approval, order license, certificate, franchise or
permit would not have a Material Adverse Effect; each of the Company and the Subsidiaries is and has been doing business in compliance with all such authorizations, approvals, orders, licenses, certificates, franchises and permits and all federal,
foreign, state and local laws, rules and regulations, except where the failure to be in compliance would not have a Material Adverse Effect; and neither the Company nor any of the Subsidiaries has received any notice of proceedings relating to the
revocation or modification of any such authorization, approval, order, license, certificate, franchise or permit which, singly or in the aggregate, if the subject of an unfavorable decision, ruling or finding, would have a Material Adverse Effect.

 3.9 Use of Proceeds. The net proceeds of the sale of the Shares, the Notes and the Warrants shall only be used by the Company
(i) to fund the Company’s acquisition and integration of CD&L Inc., (ii) to refinance existing indebtedness of the Company, (iii) for the payment of fees and expenses in connection with the financing of the acquisition of
CD&L Inc., and (iv) for and general corporate purposes in accordance with financial budgets approved from time to time by the Board of Directors of the Company. 
 3.10 No Conflict, Breach, Violation or Default. The execution, delivery and performance of the Transaction Documents by the Company and the issuance and sale of the Shares and Conversion Shares will not
conflict with or result in a breach or violation of any of the terms and provisions of, or constitute a default under (i) the Company’s Certificate of Incorporation or the Company’s Bylaws, both as in effect on the date hereof (true
and complete copies of which have been made available to the Purchasers through the EDGAR system), or (ii)(a) any statute, rule, regulation or order of any governmental agency or body or any court, domestic or foreign, having jurisdiction over the
Company, any Subsidiary or any of their respective assets or properties, or (b) any agreement or instrument to which the Company or any Subsidiary is a party or by which the Company or a Subsidiary is bound or to which any of their respective
assets or properties is subject. 
 3.11 Title to Properties. Except as disclosed in the SEC Filings and except for liens,
encumbrances and defects that arise in the ordinary course of business and do not impair 
  

 8 

 the Company’s ownership or use of such properties, the Company and each Subsidiary has good and marketable title to
all real properties and all other properties and assets owned by it, in each case free from liens, encumbrances and defects that would materially affect the value thereof or materially interfere with the use made or currently planned to be made
thereof by them; and except as disclosed in the SEC Filings, the Company and each Subsidiary holds any leased real or personal property under valid and enforceable leases with no exceptions that would materially interfere with the use made or
currently planned to be made thereof by them. 
 3.12 Certificates, Authorities and Permits. The Company and each Subsidiary possess
adequate certificates, authorities or permits issued by appropriate governmental agencies or bodies necessary to conduct the business now operated by it, and neither the Company nor any Subsidiary has received any notice of proceedings relating to
the revocation or modification of any such certificate, authority or permit that, if determined adversely to the Company or such Subsidiary, could reasonably be expected to have a Material Adverse Effect, individually or in the aggregate.

 3.13 ERISA. No “employee pension benefit plan,” “employee welfare benefit plan” or “multi-employer
plan” of the Company (“ERISA Plans”) as such terms are defined in Sections 3(2), 3(1) and 3(37), respectively, of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), or any trust created thereunder has
engaged in a “prohibited transaction” within the meaning of Section 406 of ERISA or Section 4975 of the Internal Revenue Code of 1986, as amended (the “Code”) which could subject the Company to any material tax penalty
on prohibited transactions and which has not adequately been corrected. No “accumulated funding deficiency” (as defined in Section 302 of ERISA) or any of the events set forth in Section 4043(b) of ERISA (other than events with
respect to which the 30-day notice under Section 4043 of ERISA has been waived) has occurred with respect to any employee benefit plan which might reasonably be expected to have a Material Adverse Effect. 
 3.14 Labor Matters. 
 (a) The Company
and the Subsidiaries are in compliance in all material respects with all applicable federal, state, local and foreign laws and regulations respecting employment and employment practices, terms and conditions of employment and wages and hours. Except
as set forth in Schedule 3.12 hereto, to the knowledge of the Company, there are no pending investigations involving the Company or any of the Subsidiaries by the U.S. Department of Labor or any other governmental agency responsible for the
enforcement of such federal, state, local or foreign laws and regulations. To the knowledge of the Company, there is no unfair labor practice charge or complaint against the Company or any of the Subsidiaries pending before the National Labor
Relations Board or any strike, picketing, boycott, dispute, slowdown or stoppage pending or threatened against or involving the Company or any of the Subsidiaries. Neither the Company nor any of the Subsidiaries is or ever have been a party to any
collective bargaining agreement, and no collective bargaining agreement is currently being negotiated by the Company or any of the Subsidiaries. No material labor dispute with the employees of the Company or any of the Subsidiaries exists or, to the
knowledge of the Company, is imminent. 
  

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 (b) Neither the Company nor any of the Subsidiaries is a party to, or bound by, any employment or other
contract or agreement that contains any severance, termination pay or change of control liability or obligation, including, without limitation, any “excess parachute payment,” as defined in Section 280G(b) of the Internal Revenue
Code. 
 (c) Neither the Company nor any Subsidiary has any liability for the improper classification by the Company of their employees as
independent contractors or leased employees. 
 3.15 Intellectual Property. 
 (a) Except as set forth in Schedule 3.13 hereto, all Intellectual Property of the Company and its Subsidiaries is currently in compliance with all legal
requirements (including timely filings, proofs and payments of fees) and is valid and enforceable, except where the failure to be in compliance or to be valid and enforceable has not and could not reasonably be expected to have a Material Adverse
Effect on the Company and its Subsidiaries taken as a whole. Except as set forth in Schedule 3.13 hereto, no Intellectual Property of the Company or its Subsidiaries which is necessary for the conduct of Company’s and each of its
Subsidiaries’ respective businesses as currently conducted or as currently proposed to be conducted has been or is now involved in any cancellation, dispute or litigation, and, to the knowledge of the Company, no such action is threatened. No
patent of the Company or its Subsidiaries has been or is now involved in any interference, reissue, re-examination or opposition proceeding. 
 (b) All of the licenses and sublicenses and consent, royalty or other agreements concerning Intellectual Property which are necessary for the conduct of the Company’s and each of its Subsidiaries’ respective businesses as
currently conducted or as currently proposed to be conducted to which the Company or any Subsidiary is a party or by which any of their assets are bound (other than generally commercially available, non-custom, off-the-shelf software application
programs having a retail acquisition price of less than $10,000 per license) (collectively, “License Agreements”) are valid and binding obligations of the Company or its Subsidiaries that are parties thereto and, to the knowledge of the
Company, the other parties thereto, enforceable in accordance with their terms, except to the extent that enforcement thereof may be limited by bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance or other similar laws affecting
the enforcement of creditors’ rights generally, and there exists no event or condition which will result in a material violation or breach of or constitute (with or without due notice or lapse of time or both) a default by the Company or any of
its Subsidiaries under any such License Agreement. 
 (c) The Company and its Subsidiaries own or have the valid right to use all of the
Intellectual Property that is necessary for the conduct of the Company’s and each of its Subsidiaries’ respective businesses as currently conducted or as currently proposed to be conducted and for the ownership, maintenance and operation
of the Company’s and its Subsidiaries’ properties and assets, free and clear of all liens, encumbrances, adverse claims or obligations to license all such owned Intellectual Property and Confidential Information, other than licenses
entered into in the ordinary course of the Company’s and its Subsidiaries’ businesses. The Company and its Subsidiaries have a valid and enforceable right to use all third party Intellectual Property and Confidential Information used or
held for use in the respective businesses of the Company and its Subsidiaries. 
  

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 3.16 Environmental Matters. Neither the Company nor any of the Subsidiaries has been notified in
writing that it is liable with respect to obligations under the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, or any similar law, statute, rule, regulatory decision or order of any governmental agency or
body or any court, domestic or foreign relating to the use, disposal or release of hazardous or toxic substances or relating to the protection or restoration of the environment or human exposure to hazardous or toxic substances (collectively,
“Environmental Laws”), except for any liability as would not have a Material Adverse Effect, and it is not aware of any facts or circumstances which could reasonably be expected to result in any such liability. The Company and the
Subsidiaries are in substantial compliance with all applicable existing Environmental Laws, except for such instances of non-compliance which would not have a Material Adverse Effect. The term “Hazardous Material” means (i) any
“hazardous substance” as defined by the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, (ii) any “hazardous waste” as defined by the Resource Conservation and Recovery Act, as
amended, (iii) any petroleum or petroleum product, (iv) any polychlorinated biphenyl and (v) any pollutant or contaminant or hazardous, dangerous or toxic chemical, material, waste or substance regulation under or within the meaning
of any other Environmental Law. To the knowledge of the Company, no disposal, release or discharge of “Hazardous Material” has occurred on, in, at or about any of the facilities or properties of the Company or any of the Subsidiaries,
except for any such disposal, release or discharge which is in compliance with Environmental Laws or which would not have a Material Adverse Effect. Except as described in the SEC Filings, to the knowledge of the Company: (A) there has been no
storage, disposal, generation, transportation, handling or treatment of hazardous substances or solid wastes by the Company or any of the Subsidiaries (or to the knowledge of the Company, any of its predecessors in interest) at, upon or from any of
the property now or previously owned or leased by the Company or any of the Subsidiaries in violation of any applicable law, ordinance, rule, regulation, order, judgment, decree or permit or which would require remedial action which has not been
taken, under any applicable law, ordinance, rule, regulation, order, judgment, decree or permit, except for such violations and failures to take remedial action which would not result in, singularly or in the aggregate, a Material Adverse Effect;
and (B) there has been no material spill, discharge, leak, emission, injection, escape, dumping or release of any kind onto such property or into the environment surrounding such property by the Company or any of the Subsidiaries of any solid
waste or Hazardous Materials, except for such spills, discharges, leaks, emissions, injections, escapes, dumping or releases which would not result in, singularly or in the aggregate, a Material Adverse Effect. 
 3.17 Litigation. There is no action, suit, proceeding, litigation or governmental proceeding pending or, to the knowledge of the Company,
threatened or contemplated against (or circumstances that are reasonably likely to give rise to the same), or involving the properties or businesses of, the Company or any of the Subsidiaries which questions the validity of any of the capital stock
of the Company (including, without limitation, the Shares) or any of the Subsidiaries, this Agreement or any of the other Transaction Documents, or of any action taken or to be taken by the Company or any of the Subsidiaries pursuant to or in
connection with this Agreement or any of the other Transaction Documents. There are no pending actions, suits or 
  

 11 

 proceedings against or affecting the Company, its Subsidiaries or any of its or their properties involving an amount in
controversy in excess of $150,000; and to the knowledge of the Company, no such actions, suits or proceedings are threatened or contemplated. 
 3.18 Financial Statements. The consolidated financial statements of the Company and the Subsidiaries together with the related notes thereto included in the Annual Report on Form 10-K and the most recent Quarterly Report on Form 10-Q
included among the SEC Filings fairly present in all material respects the financial position, income, changes in stockholders’ equity, cash flow and results of operations of the Company and the Subsidiaries at the respective dates and for the
respective periods to which they apply, and such financial statements have been prepared in conformity with United States generally accepted accounting principles applied on a consistent basis (“GAAP”) throughout the periods involved
(except as may be disclosed therein or in the notes thereto, and, in the case of quarterly financial statements, as permitted by Form 10-Q under the Securities Act). Except as set forth in the financial statements of the Company set forth in the
Annual Report on Form 10-K and the most recent Quarterly Report on Form 10-Q included among the SEC Filings, since the date of the latest financial statements included in the most recent Quarterly Report on Form 10-Q included among the SEC Filings:
(i) neither the Company nor any of its Subsidiaries has incurred any liabilities, contingent or otherwise, except those incurred in the ordinary course of business, consistent (as to amount and nature) with past practices, none of which,
individually or in the aggregate, have had or could reasonably be expected to have a Material Adverse Effect; (ii) there has been no material adverse change or development involving a prospective material change in the condition, financial or
otherwise, or in the earnings, business, prospects or results of operations of the Company and the Subsidiaries, taken as a whole, whether or not arising in the ordinary course of business; (iii) neither the Company nor any Subsidiary has
entered into any material transaction other than in the ordinary course of business; and (iv) the Company has not declared or paid any dividend or made any other distribution on or in respect of its capital stock. The outstanding debt, the
property, both tangible and intangible, and the businesses of each of the Company and the Subsidiaries conform in all material respects to the descriptions thereof contained in the Annual Report on Form 10-K and the most recent Quarterly Report on
Form 10-Q included among the SEC Filings. 
 3.19 Insurance Coverage. The Company and each Subsidiary maintains in full force and
effect insurance coverage that is customary for comparably situated companies for the business being conducted and properties owned or leased by the Company and each Subsidiary, and the Company reasonably believes such insurance coverage to be
adequate against all liabilities, claims and risks against which it is customary for comparably situated companies to insure. 
 3.20
Compliance with Nasdaq Continued Listing Requirements. The Common Stock is registered pursuant to Section 12(g) of the Exchange Act, and is approved for listing on the Nasdaq Capital Market under the symbol “VEXP”. The Company
is, and after giving effect to the issuance of the Notes, the Warrants and the Series Q Preferred Stock and the entering into of the Transaction Documents will be, in compliance with applicable Nasdaq continued listing requirements following the
Company’s filing and distribution of the Information Statement in accordance with Section 5.1 below. There are no proceedings pending or, to the knowledge of the Company, threatened against the Company relating to the continued listing of
the Company’s 
  

 12 

 Common Stock on the Nasdaq Capital Market and the Company has not received any notice of, nor to the knowledge of the
Company is there any basis for, the delisting of the Common Stock from the Nasdaq Capital Market. The Company has taken no action that was designed to terminate trading of the Common Stock on the Nasdaq Capital Market, nor has the Company received
any notification that the Commission or Nasdaq is contemplating terminating such trading. 
 3.21 No Directed Selling Efforts or
General Solicitation. Neither the Company, nor, to the knowledge of the Company, any Affiliate of the Company, nor any Person acting on its behalf has conducted any general solicitation or general advertising (as those terms are used in
Regulation D under the Securities Act) in connection with the offer or sale of any of the Shares. 
 3.22 No Integrated Offering.
Neither the Company nor, to the knowledge of the Company, any of its Affiliates, nor any Person acting on its or their behalf has, directly or indirectly, made any offers or sales of any Company security or solicited any offers to buy any security,
or otherwise taken any action or abstained from taking any action, under circumstances that would adversely affect reliance by the Company on Section 4(2) and/or Regulation D for the exemption from registration for the transactions contemplated
hereby or would require registration of the Shares under the Securities Act. 
 3.23 Private Placement. Assuming the truth and
accuracy of the applicable Purchasers’ representations set forth in Section 4 of this Agreement, the offer and sale of the Securities to the Purchasers as contemplated hereby is exempt from the registration requirements of the Securities
Act. 
 3.24 Questionable Payments. Neither the Company nor any of the Subsidiaries has, nor, to the knowledge of the
Company, has any officer, director or employee of the Company or any of the Subsidiaries or any other person acting on behalf of the Company or any of the Subsidiaries, for the benefit of the Company or any such Subsidiaries at any time during the
last five years, (i) made any unlawful gift or contribution to any candidate for federal, state, local or foreign political office, or failed to disclose fully any such gift or contribution in violation of law, or (ii) made any payment to
any federal, state, local or foreign governmental officer or official, which would be reasonably likely to subject the Company or any of the Subsidiaries to any damage or penalty in any civil, criminal or governmental litigation or proceeding
(domestic or foreign). Each of the Company’s and the Subsidiaries’ internal accounting controls are sufficient to cause the Company and the Subsidiaries to comply in all material respects with the Foreign Corrupt Practices Act of 1977, as
amended. 
 3.25 Transactions with Affiliates. Except as disclosed in the SEC Filings and except for the Expense Reimbursement
Agreement by and between the Company and TH Lee Putnam, none of the officers, directors or 5% or greater stockholders of the Company, and to the knowledge of the Company none of their respective Affiliates and, to the knowledge of the Company, none
of the employees of the Company is presently a party to any transaction with the Company or any Subsidiary (other than as holders of stock options and/or warrants, and for services as employees, officers and directors), including any contract,
agreement or other arrangement providing for the furnishing of services to or by, providing for rental of real or 
  

 13 

 personal property to or from, or otherwise requiring payments to or from any officer, director or such employee or, to
the knowledge of the Company, any entity in which any officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner. 
 3.26 Internal Controls. Except as described in the SEC filings, the Company is in material compliance with the provisions of the Sarbanes-Oxley Act of 2002 currently applicable to the Company. The Company and
the Subsidiaries maintain a system of internal accounting controls sufficient to provide reasonable assurance that (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions are
recorded as necessary to permit preparation of financial statements in conformity with generally accepted accounting principles and to maintain asset accountability, (iii) access to assets is permitted only in accordance with management’s
general or specific authorization, and (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any differences. Except as described in the SEC
Filings, the Company has established disclosure controls and procedures (as defined in Exchange Act Rules 13a-13 and 15d-13) for the Company and designed such disclosure controls and procedures to ensure that material information relating to the
Company, including the Subsidiaries, is made known to the certifying officers by others within those entities, particularly during the period in which the Company’s most recently filed period report under the Exchange Act, as the case may be,
is being prepared. The Company’s certifying officers have evaluated the effectiveness of the Company’s controls and procedures as of the end of the period covered by the most recently filed periodic report under the Exchange Act (such
date, the “Evaluation Date”). The Company presented in its most recently filed periodic report under the Exchange Act the conclusions of the certifying officers about the effectiveness of the disclosure controls and procedures based on
their evaluations as of the Evaluation Date. The Company maintains and will continue to maintain a standard system of accounting established and administered in accordance with GAAP and the applicable requirements of the Exchange Act. 
 3.27 Lockup. Prior to Closing the Company will have entered into written agreements with each executive officer of the Company whereby each such
Person shall agree that he or she will not directly or indirectly (including through any entity within his or her control) sell, dispose of any Common Stock, Series Q Convertible Preferred Stock or other equity securities of the Company for the
period beginning on the Closing Date of the Offering and ending on the date three (3) months following the effective date of the Registration Statement (as hereinafter defined). Schedule 3.27 attached hereto contains an accurate list of the
parties to these agreements. 
 3.28 Stabilization. None of the Company, any of the Subsidiaries or, to the knowledge of the Company,
any Affiliate of the Company or any Subsidiary, has taken or will take, directly or indirectly, any action designed to or which has constituted or which might be expected to cause or result in, under the Exchange Act or otherwise, stabilization or
manipulation of the price of any security of the Company to facilitate the sale or resale of the Shares or otherwise. 
 3.29 Taxes.
Each of the Company and the Subsidiaries has filed all income and franchise tax returns required to be filed (after giving effect to all permissible extensions) through the date hereof by it in any jurisdiction, and has paid all taxes shown to be
due on such 
  

 14 

 returns or claimed to be due from such entities, other than those being contested in good faith, except where the failure
to so file or pay would not have a Material Adverse Effect. All tax liabilities, including those being contested by the Company or the Subsidiaries are adequately reserved for in the Company’s financial statements (in accordance with GAAP). No
tax deficiency has been asserted and no tax proceedings are pending or, to the knowledge of the Company, are threatened against the Company or any of the Subsidiaries which, if adversely determined would have a Material Adverse Effect, and to the
knowledge of the Company, no such deficiency or proceeding is contemplated. 
 3.30 No Transfer Tax. No transfer tax, stamp duty or
other similar tax is payable by or on behalf of any Purchaser in connection with (i) the issuance by the Company of the Shares, (ii) the purchase by such Purchaser of Shares from the Company or (iii) the consummation by the Company of
any of its obligations under this Agreement. 
 3.31 Not Investment Company. The Company is not an “investment company” or a
company controlled by an “investment company” or, to the knowledge of the Company, an “affiliated person” of, or “promoter” or “principal underwriter” for, an “investment company” as such terms are
defined in the Investment Company Act of 1940, as amended. 
 3.32 Solvency. All indebtedness of the Company that will be repaid with
the proceeds of the issuance and sale of the Shares was incurred for proper purposes and in good faith and the Company was, at the time of the incurrence of such indebtedness that will be repaid with the proceeds of the issuance and sale of the
Shares, and will be on the Closing Date (after giving effect to the application of the proceeds from the issuance of the Shares) solvent, and had at the time of the incurrence of such indebtedness that will be repaid with the proceeds of the
issuance and sale of the Shares and will have on the Closing Date (after giving effect to the application of the proceeds from the issuance of the Shares) sufficient capital for carrying on its business and was, at the time of the incurrence of such
indebtedness that will be repaid with the proceeds of the issuance and sale of the Shares, and will be on the Closing Date (after giving effect to the application of the proceeds from the issuance of the Shares) able to pay its debts as they mature.

 3.33 Non-Contravention. 
 (a) None of the Company’s issue and sale of the Shares, the execution or delivery of the Transaction Documents, its performance hereunder and thereunder or its consummation of the transactions contemplated herein and therein conflicts
or will conflict with or results or will result in any breach or violation of any of the terms or provisions of, or constitutes or will constitute a default under, or results or will result in a right of acceleration of performance or the creation
or imposition of any lien, charge, claim, encumbrance, pledge, security interest, defect or other restriction or equity of any kind whatsoever upon any property or assets of the Company or any of the Subsidiaries pursuant to the terms of,
(A) the certificate of incorporation or by-laws of the Company or any of the Subsidiaries, (B) any license, contract, indenture, mortgage, deed of trust, voting trust agreement, stockholders’ agreement, note, loan or credit agreement
or other agreement or instrument to which the Company or any of the Subsidiaries is a party or by which it or any Subsidiary is or may be bound or to which its or any of the Subsidiaries’ properties or assets is or may be subject, or any
indebtedness, or (C) any 
  

 15 

 statute, judgment, decree, order, rule or regulation directly applicable to the Company or any of the Subsidiaries of any
arbitrator, court, regulatory body or administrative agency or other governmental agency or body, having jurisdiction over the Company or any of the Subsidiaries or any of their respective activities or properties, which, with respect to the
foregoing clauses (B) and (C) only, breach, violation or default would have a Material Adverse Effect. 
 (b) Neither the Company
nor any of the Subsidiaries (A) is in violation of its certificate of incorporation or by-laws, (B) is in default in the performance of any obligation, agreement or condition contained in any license, contract, indenture, mortgage,
installment sale agreement, lease, deed of trust, voting trust agreement, stockholders’ agreement, note, loan or credit agreement, purchase order, agreement or instrument evidencing an obligation for borrowed money or other material agreement
or instrument to which the Company or any of the Subsidiaries is a party or by which the Company or any of the Subsidiaries may be bound or to which the property or assets of the Company or any of the Subsidiaries is subject or affected or
(C) is in violation in any respect of any law, ordinance, governmental rule, regulation or court decree to which it or its property or assets may be subject, except any violation or default under the foregoing clauses (B) or (C) as
would not have a Material Adverse Effect. 
 (c) Except as disclosed in Schedule 3.33 to this Agreement, none of: (A) the execution,
delivery or performance of the CD&L Purchase Agreements, (B) the consummation of the transactions contemplated therein or (C) the execution and delivery of the Merger Agreement conflicts or will conflict with or results or will result
in any breach or violation of any of the terms or provisions of, or constitutes or will constitute a default under, or results or will result in a right of acceleration of performance or the creation or imposition of any lien, charge, claim,
encumbrance, pledge, security interest, defect or other restriction or equity of any kind whatsoever upon any property or assets of CD&L, Inc. pursuant to the terms of any indenture, mortgage, deed of trust, note, loan or credit agreement or
other agreement or instrument pertaining to indebtedness of CD&L, Inc. or any of its subsidiaries to which CD&L, Inc. or any of its subsidiaries is a party or by which CD&L, Inc. or any of its subsidiaries is or may be bound or to which
CD&L Inc. or any of its subsidiaries’ properties or assets is or may be subject. 
 3.34 Minute Books Complete. The minute
books of each of the Company and the Subsidiaries have been made available to counsel for the Placement Agent and summarize in all material respects all meetings and actions of the directors and stockholders of each of the Company and
the Subsidiaries since the time of their respective incorporation. 
 3.35 Payment Restrictions. No Subsidiary is prohibited, directly
or indirectly, from paying any dividends to the Company, from making any other distribution on such Subsidiary’s capital stock, from repaying to the Company any loans or advances to such Subsidiary from the Company or from transferring any of
such Subsidiary’s property or assets to the Company or any other Subsidiary. 
 3.36 Transaction Structure. The solicitation of
the holders of the capital stock and debt securities of CD&L, Inc. to be acquired by the Company with the proceeds from the sale of the Shares, the capital stock and debt securities of CD&L, Inc. acquired pursuant to the CD&L Purchase
Agreements, the issue and sale of Series Q Preferred Stock hereunder and the 
  

 16 

 consummation of the sale of Units each have been and will be made in compliance with the reporting, disclosure and
procedural requirements of the Securities Act, the Exchange Act, Delaware General Corporation Law, the Nasdaq Stock Market and all other applicable laws, rules and regulations. The solicitation, delivery and performance of the Voting Agreement has
been and will be made in compliance with the reporting, disclosure and procedural requirements of the Securities Act, the Exchange Act, Delaware General Corporation Law, the Nasdaq Stock Market and all other applicable laws. 
 3.37 Representations in Other Transaction Documents. To the knowledge of the Company, each representation and warranty set forth in the
Transaction Documents of each party to the Transaction Documents, other than the Purchasers, which is not qualified by a materiality standard is true and correct in all material respects, and each such representation and warranty that is qualified
by a materiality standard is true and correct in all respects. 
 3.38 No Undisclosed Events, Liabilities or Developments. Except for
the issuance of the Shares contemplated by this Agreement, and the transactions contemplated by the other Transaction Documents, no event, liability or development has occurred or exists with respect to the Company or its Subsidiaries or their
respective business, properties, operations or financial condition, that would be required to be disclosed by the Company under applicable securities laws at the time this representation is made that has not been publicly disclosed one (1) day
prior to the date that this representation is made. 
 4. Representations, Warranties and Covenants of the Purchasers. 
 4.1 Purchaser Knowledge and Status. Each Purchaser severally and not jointly with any other Purchaser represents and warrants to, and covenants
with, the Company that: (i) such Purchaser is an “accredited investor” as defined in Regulation D under the Securities Act and has requested, received, reviewed and considered all information it deemed relevant in making an informed
decision to purchase the Shares, and has such business and financial experience as is required to give it the capacity to utilize the information received, to evaluate the risks involved in purchasing the Shares, and to protect its own interests in
connection with the purchase of the Shares and is able to bear the risks of an investment in the Shares; (ii) such Purchaser understands that the Shares are “restricted securities” and have not been registered under the Securities Act
and is acquiring the number of Shares set forth on the Exhibit A hereto in the ordinary course of its business and for its own account for investment only, has no present intention of distributing any of such Shares and has no arrangement or
understanding with any other persons regarding the distribution of such Shares; (iii) such Purchaser will notify the Company promptly of any change in any of such information until such time as such Purchaser has sold all of its Shares or until
the Company is no longer required to keep the Registration Statement effective; and (iv) such Purchaser has, in connection with its decision to purchase the number of Shares set forth on the signature page hereto, relied only upon the
representations and warranties of the Company contained herein. Each Purchaser understands that the Shares to be issued to such Purchaser have not been registered under the Securities Act, or registered or qualified under any state securities law in
reliance on specific exemptions therefrom, which exemptions may depend upon, among other things, the bona fide nature of such Purchaser’s investment intent as expressed herein, and such Purchaser is able to bear the economic risk of holding the
Shares for an indefinite period of time and can afford a complete loss of its 
  

 17 

 investment. The Placement Agent is not authorized to make any representation or use any information in connection with
the placement, purchase and sale of the Shares, and no person is authorized to provide any representation which is inconsistent or in addition to those in the SEC Reports. Each Purchaser acknowledges that it has not received or relied on any such
representations. 
 4.2 International Actions. Each Purchaser acknowledges, represents and agrees that no action has been or will be
taken in any jurisdiction outside the United States by the Company or the Placement Agent that would permit an offering of the Shares, or possession or distribution of offering materials in connection with the issue of the Shares, in any
jurisdiction outside the United States. If such Purchaser is located outside the United States, it has or will take all actions necessary for the sale of the Shares to comply with all applicable laws and regulations in each foreign jurisdiction in
which it offers, sells or delivers Shares or has in its possession or distributes any offering material, in all cases at its own expense. 
 4.3 Registration Required. Each Purchaser hereby covenants with the Company not to make any sale of the Shares without complying with the provisions of this Agreement and the Registration Rights Agreement, and such Purchaser
acknowledges that the certificates evidencing the Shares will be imprinted with a legend that prohibits their transfer except in accordance therewith. Each Purchaser acknowledges that as set forth in, and subject to the provisions of, the
Registration Rights Agreement, there may occasionally be times when the Company, based on the advice of its counsel, determines that it must suspend the use of the prospectus forming a part of the Registration Statement until such time as an
amendment to the Registration Statement has been filed by the Company and declared effective by the Commission or until the Company has amended or supplemented such prospectus. 
 4.4 Power and Authority. Each Purchaser severally and not jointly with any other Purchaser further represents and warrants to, and covenants with,
the Company that (i) if an entity, such Purchaser is duly organized and in good standing in the jurisdiction of its organization, (ii) such Purchaser has full right, power, authority and capacity to enter into this Agreement and to
consummate the transactions contemplated hereby and has taken all necessary action to authorize the execution, delivery and performance of this Agreement, and (iii) this Agreement has been duly authorized, executed and delivered, and
constitutes a valid and binding obligation of such Purchaser enforceable against such Purchaser in accordance with its terms, except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws
affecting creditors’ and contracting parties’ rights generally and except as enforceability may be subject to general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law).

 4.5 Prohibited Transactions. During the last thirty (30) days prior to the date hereof, neither such Purchaser nor any
Affiliate of such Purchaser, which (x) had knowledge of the transactions contemplated hereby, (y) has or shares discretion relating to such Purchaser’s investments or trading or information concerning such Purchaser’s
investments, including in respect of the Shares, or (z) is subject to such Purchaser’s review or input concerning such Affiliate’s investments or trading (collectively, “Trading Affiliates”), has, directly or indirectly,
effected or agreed to effect any short sale, whether or not against the box, established any “put equivalent position” (as defined in Rule 16a-1(h) under the Exchange Act) with respect to the 
  

 18 

 Common Stock, granted any other right (including, without limitation, any put or call option) with respect to the Common
Stock or with respect to any security that includes, relates to or derived any significant part of its value from the Common Stock or otherwise sought to hedge its position in the Shares (each, a “Prohibited Transaction”). 
 4.6 No Tax or Legal Advice. Each Purchaser understands that nothing in this Agreement, or any other materials presented to such Purchaser in
connection with the purchase and sale of Shares hereunder constitutes legal, tax or investment advice. Each Purchaser has consulted such legal, tax and investment advisors as it, in its sole discretion, has deemed necessary or appropriate in
connection with its purchase of Shares. 
 4.7 Risk Factors. Each Purchaser has carefully considered the potential risks relating to
the Company and a purchase of the Shares, and fully understands that the Shares are speculative investments which involve a high degree of risk of loss of the Purchaser’s entire investment. Among others, each Purchaser has carefully considered
each of the risks described under the headings “Risk Factors” in the Company’s Annual Report on Form 10-K, as amended, for the year ended July 2, 2005 and the Company’s Quarterly Reports on Form 10-Q for the quarters ended
October 1, 2005, December 31, 2005 and April 1, 2006. 
 5. Company Covenants. 
 5.1 Stockholder Approval. The Company has filed with the Securities and Exchange Commission an Information Statement in compliance with Regulation
14C and Schedule 14C under the Exchange Act with respect to the approvals by the holders of the Company’s Common Stock and Outstanding Preferred of the matters set forth in Section 2.3 to comply with applicable Nasdaq Marketplace Rules.
The stockholder approval shall be deemed given after 20 days has elapsed following the date the Company mails the Information Statement to stockholders pursuant to Regulation 14C under the Exchange Act. Within two (2) business days after
stockholder approval of the matters set forth in the Information Statement is effective, the Company will send written notification to each Purchaser of such stockholder approval and that such Purchaser may exercise its conversion rights in
accordance with the Certificate of Designations. 
 5.2 Press Release. The Company will not issue a press release naming any Purchaser
without the prior written approval of such Purchaser, which approval will not be unreasonably withheld or delayed. 
 5.3 Prohibition on
Certain Forms of Financing. For as long as any of the Shares purchased by the Purchasers hereunder are outstanding, the Company will not enter into or consummate any agreement providing for an equity line of credit, variable or
“future-priced” resetting, self-liquidating, adjusting or conditional fund raising, or similar financing arrangements. 
 5.4
Maintain Listing. The Company will use best efforts to maintain the listing of its common stock on the Nasdaq Capital Market or a recognized securities exchange registered with the Securities and Exchange Commission. 
  

 19 

 5.5 Regulation D Notice. The Company agrees to file a Notice of Sale of Securities pursuant to
Regulation D, Section 4(6), and/or Uniform Limited Offering Exemption on Form D with respect to the Shares as required under Regulation D and to provide a copy thereof to the Purchasers promptly after such filing. 
 5.6 Restriction on Integrated Offering. The Company shall not, and it shall use best efforts to ensure that no Affiliate of the Company will,
“offer,” “sell” or solicit offers to buy or otherwise negotiate in respect of any “security” (as each of such terms are defined in the Securities Act) which could be integrated with the sale of the Shares in a manner
that would require the registration of the Shares under the Securities Act. 
 5.7 Maintain Corporate Existence. The Company will keep
in full force and effect its corporate existence and take all reasonable action to maintain all rights and privileges necessary or desirable in the normal conduct of its business. 
 5.8 SEC Information. During the five-year period following the Closing Date, the Company shall furnish to the Purchasers holding Shares all
reports, documents, information and financial statements filed by the Company with the Commission pursuant to the Exchange Act or the rules and regulations thereunder. 
 5.9 Rule 144A Information. During the two-year period following the date of this Agreement, for so long as and at any time that the Company is not subject to Section 13 or 15(d) of the Exchange Act, upon
request of any holder of the Shares, the Company shall furnish to such holder, and to any prospective purchaser or purchasers of the Shares designated by such holder, information satisfying the requirements of subsection (d)(4) of Rule 144(A) under
the Securities Act. This covenant is intended to be for the benefit of the holders from time to time of the Shares, and prospective purchasers of the Shares designated by such holders. 
 5.10 Reservation of Shares. The Company shall take all action necessary to at all times have authorized, and reserved for the purpose of issuance,
no less than 150% of the amount of shares of Common Stock issuable upon conversion of the Shares issued at the Closing (without taking into account any limitations on the conversion of the Shares set forth in the Certificate of Designations).

 6. Disclosure of Transactions and Other Material Information. The Company shall, on or before 9:00 a.m., New York City Time, on the
first business day following the date of this Agreement, issue a press release (the “Press Release”) disclosing the sale of the Shares, but not disclosing the identity of any of the Purchasers. On or before 5:00 p.m., New York City Time,
on the fourth business day following the date of this Agreement, the Company shall file a Current Report on Form 8-K disclosing the sale of the Shares (including, without limitation, this Agreement and all schedules and exhibits to this Agreement),
as exhibits to such filing. From and after the issuance of the Press Release, no Purchaser shall be in possession of any material, nonpublic information received from the Company, any of its Subsidiaries or any of its respective officers, directors,
employees or agents, that is not disclosed in the Press Release. Except as expressly provided in the foregoing sentence, the Company shall not, and shall cause each of its Subsidiaries and each of their respective officers, directors, employees and
agents, not to, provide any Purchaser with any material, nonpublic information regarding the Company 

 20 

 or any of its Subsidiaries from and after the filing of the Press Release without the express written consent of such
Purchaser. In the event of a breach of the foregoing covenant by the Company, any Subsidiary, or each of its respective officers, directors, employees and agents, in addition to any other remedy available to the Purchasers, a Purchaser shall have
the right to make a public disclosure, in the form of a press release, public advertisement or otherwise, of such material, nonpublic information without the prior approval by the Company, its Subsidiaries, or any of its or their respective
officers, directors, employees or agents; provided, that the Purchaser shall give to the Company notice at least twenty four (24) hours prior to making any such disclosure and allow the Company the option of making such public disclosure during
such twenty four (24) hour period. No Purchaser shall have any liability to the Company, its Subsidiaries, or any of its or their respective officers, directors, employees, shareholders or agents for any such disclosure. 
 7. Indemnification 
 7.1 The Company
agrees to indemnify and hold harmless each Purchaser and its Affiliates and the officers, directors, managers, members, partners, employees and agents of such Purchaser and its Affiliates, and any other persons or entities controlling such Purchaser
or any of its Affiliates within the meaning of either Section 15 of the Securities Act or Section 20 of the Exchange Act (the Purchasers and such other persons and entities each an “Indemnified Person”), to the fullest extent
lawful, from and against any and all claims, liabilities, losses, damages and expenses (or actions in respect thereof), as incurred (“Losses”), to which such Indemnified Person may become subject under the Securities Act, the Exchange Act
or other federal or state statutory law or regulation, or the laws or regulations of foreign jurisdictions where the Shares have been offered, or at common law or otherwise (including settlement of any litigation), insofar as such Losses (or actions
in respect thereof as contemplated below) arises out of or is based: 
 (a) upon any untrue statement or alleged untrue statement of a
material fact contained in any materials or information provided to the Purchasers by, or with the approval in writing of, the Company in connection with the marketing of the Shares, including any investor presentations made to investors by the
Company (whether in person, in writing or electronically), or the omission or alleged omission therefrom of a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not
misleading; or 
 (b) any breach by the Company of any representation or warranty or failure to comply with any of the covenants and
agreements contained in this Agreement. 
 7.2 With respect to expenses, the indemnification provided in Section 7.1 shall include, but
not be limited to, reimbursement of each Indemnified Person for all expenses (including, without limitation, reasonable fees and expenses of counsel), as such expenses are incurred, in connection with investigating, preparing, defending or settling
any action or claim for which indemnification has or is reasonably likely to be sought by such Indemnified Person, whether or not in connection with litigation in which such Indemnified Person is a named party. For this purpose, the Company will
only be responsible for the expense of one legal counsel (in addition to local counsel) for all Indemnified Persons who suffered Losses in connection with such action or claim, which counsel will be selected by the Indemnified Persons who hold a
majority of the outstanding Shares held by all such Indemnified Persons. 
  

 21 

 7.3 The indemnity agreement set forth in this Section 7 shall be in addition to any liabilities that
the Company may otherwise have. 
 7.4 Notwithstanding the foregoing provisions of this Section 7, no Indemnified Person shall be
entitled to indemnification under this Section 7 for any Loss caused by the gross negligence or willful misconduct of such Indemnified Person. 
 8. Survival of Representations, Warranties and Agreements. Notwithstanding any investigation made by any party to this Agreement or by the Placement Agent, all covenants, agreements, representations and warranties made by the Company
and each Purchaser herein shall survive the execution of this Agreement, the delivery to each Purchaser of the Shares being purchased and the payment therefore. 
 9. Closing Agent Matters. 
 9.1 The Closing Agent shall have no duties or obligations other than those
specifically set forth herein. 
 9.2 The Closing Agent shall not be required to make any representations or have any responsibilities as to
the validity, accuracy, value or genuineness of any certificates or documentation delivered pursuant to this Agreement. 
 9.3 The Closing
Agent shall be able to rely on, and shall be protected in acting upon, any certificate, instrument, opinion, notice, letter or any other document or security delivered to it by the Company or any Purchaser. 
 9.4 The Closing Agent shall not be liable for any action taken, suffered or omitted by it in good faith and reasonably believed by it to be authorized or
within the discretion or rights or powers conferred upon it by this Agreement and shall not be liable for anything that it may do or refrain from doing in connection with this Agreement except for its own gross negligence, willful misconduct or bad
faith. 
 9.5 The Company agrees to indemnify and hold harmless Jefferies & Company, Inc. for acting as Closing Agent hereunder from
any and all reasonable costs and expenses (including reasonable fees and expenses of counsel and other professionals) that may be paid or incurred or suffered by it or to which it may become subject without gross negligence, willful misconduct or
bad faith on its part by reason of or as a result of its compliance with the instructions set forth herein or which may arise out of or in connection with the administration and performance of its duties under this Agreement. 
 10. Notices. All notices, requests, consents and other communications hereunder shall be in writing, shall be mailed (A) if within domestic
United States by first-class registered or certified airmail, or nationally recognized overnight express courier, postage prepaid, or by facsimile or electronic mail, or (B) if delivered from outside the United States, by International Federal
Express (or comparable service) or facsimile or electronic mail, and shall be deemed 
  

 22 

 given (i) if delivered by first-class registered or certified mail domestic, three business days after so mailed,
(ii) if delivered by nationally recognized overnight carrier, one (1) business day after so mailed, (iii) if delivered by International Federal Express (or comparable service), two (2) business days after so mailed, (iv) if
delivered by facsimile or electronic mail, upon electric confirmation of receipt and shall be delivered as addressed as follows: 
  

			
	(a)	  	if to the Company, to:
		
		  	Velocity Express Corporation
		  	One Morningside Drive North
		  	Building B – Suite 300
		
		  	Westport, CT 06880
		  	Attention: Chief Financial Officer
		  	Telephone: (203) 349-4199
		  	Telecopy: (203) 349-4198
		
	With a copy to:	  	Briggs and Morgan, P.A.
		  	2200 IDS Center
		  	80 South Eighth Street
		  	Minneapolis, MN 55402
		  	Attn: Avron L. Gordon
		  	Telephone: (612) 977-8400
		  	Telecopy: (612) 977-8650
		  	Email: agordon@briggs.com

 (b) if to any Purchaser, at such Purchaser’s address on Exhibit A hereto, or at such
other address or addresses as may have been furnished to the Company in writing. 
 11. Changes. This Agreement may not be modified or
amended except pursuant to an instrument in writing signed by the Company and each of the Purchasers. 
 12. Independent Nature of
Purchasers’ Obligations and Rights. The obligations of each Purchaser under any Transaction Document are several and not joint with the obligations of any other Purchaser, and no Purchaser shall be responsible in any way for the performance
of the obligations of any other Purchaser under any Transaction Document. Nothing contained herein or in any Transaction Document, and no action taken by any Purchaser pursuant thereto, shall be deemed to constitute the Purchasers as a partnership,
an association, a joint venture or any other kind of entity, or create a presumption that the Purchasers are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by the Transaction Documents.
Each Purchaser shall be entitled to independently protect and enforce its rights, including without limitation, the rights arising out of this Agreement or out of the other Transaction Documents, and it shall not be necessary for any other Purchaser
to be joined as an additional party in any proceeding for such purpose. Each Purchaser has been represented by its own separate legal counsel in their review and negotiation of the Transaction Documents. The Company has elected to provide all
Purchasers with the same terms and Transaction Documents for the convenience of the Company and not because it was required or requested to do so by the Purchasers. 
  

 23 

 13. Headings. The headings of the various sections of this Agreement have been inserted for
convenience of reference only and shall not be deemed to be part of this Agreement. 
 14. Severability. In case any provision
contained in this Agreement should be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby. 
 15. Governing Law. This Agreement shall be governed by, and construed in accordance with, the internal laws of the State of New York. Service of
process in connection with any suit, action or proceeding may be served on each party hereto anywhere in the world by the same methods as are specified for the giving of notices under this Agreement. Each of the parties hereto irrevocably consents
to the jurisdiction of the courts of the State of New York in any such suit, action or proceeding and to the laying of venue exclusively in New York. Each party hereto irrevocably waives any objection to the laying of venue of any such suit, action
or proceeding brought in such courts and irrevocably waives any claim that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum. 
 16. Amendment and Waiver. No provision of this Agreement may be waived or amended except in a written instrument signed by the Company and
Purchasers holding a majority of the then outstanding Shares purchased hereunder. 
 17. Counterparts and Facsimiles. This Agreement
may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute but one instrument, and shall become effective when one or more counterparts have been signed by each
party hereto and delivered to the other parties. This Agreement may also be executed and delivered via facsimile, which shall be deemed an original. 
 18. Confidential Disclosure Agreement. Notwithstanding any provision of this Agreement to the contrary, any confidential disclosure agreement previously executed by the Company and any Purchaser in connection
with the transactions contemplated by this Agreement shall remain in full force and effect in accordance with its terms following the execution of this Agreement and the consummation of the transactions contemplated hereby. 
 19. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors and permitted
assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written consent of Purchasers holding a majority of the then outstanding Shares purchased hereunder. Each Purchaser may assign any or all of
its rights under this Agreement to any Person to whom such Purchaser assigns and transfers the Shares, provided that such transferee (i) makes the representations of such Purchaser under this Agreement, and (ii) agrees in writing to be
bound with respect to the transferred Shares, by the provisions hereof that apply to such Purchaser. 
 20. Further Assurances. Each
party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute and deliver all such other 
  

 24 

 agreements, certificates, instruments and documents, as any other party may reasonably request in order to carry out the
intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby. 
 21. No Strict
Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent, and no rules of strict construction will be applied against any party. 
  

 25 

 EXHIBIT A 
 PURCHASER LIST 
  

			
	 Purchaser
	  	 Shares

	 William S. Lapp
	  	13,200
	 PJ Family Trust, LLC
	  	55,000
	 Andrew K. Boszhardt, Jr.
	  	30,000
	 Linden Capital L.P.
	  	250,000
	 Charter Oak Partners
	  	130,290
	 Charter Oak Partners II, LP
	  	21,510

 EXHIBIT B 
 Registration Rights Agreement 

 EXHIBIT C 
 Certificate of Designations 

 EXHIBIT D 
 Legal Opinion 

 Schedule 3.7 
 Subsidiaries 
 Velocity Express, Inc. 
 Corporate Express Distribution Services, Inc. 
 Velocity Express Leasing, Inc. 
 VXP Leasing Mid-West, Inc. 
 VXP Mid-West, Inc. 
 CD&L Acquisition Corp. 

 Schedule 3.12 
 Labor Matters 
 The California EDD is conducting an investigation of the classification of the
Company’s independent contractors. 

 Schedule 3.13 
 Intellectual Property 
 On November 30, 2000, Velocity Express, Inc. entered into a Settlement
Agreement with Velocity Courier, Inc. in connection with the parties’ use of certain “Velocity” trademarks. Pursuant to the terms of the settlement, Velocity Express, Inc. is permitted to use the Velocity trademarks anywhere in the
United States except for the City of Chicago and the territory that extends 50 miles from the Chicago city limits, but within the State of Illinois. The Settlement Agreement required Velocity Express, Inc. to amend its trademark applications to
reflect this exclusion. The Company anticipates that it will initiate concurrent use proceedings in order to clarify territorial rights with respect to two “Velocity” trademark registrations (Velocity and Velocity Express).

 Schedule 3.27 
 Lock-up Agreements 
 Vincent A. Wasik 
 Edward W. Stone 
 Andrew B. Kronik 
 Kay Perry Durbin

 Jeffrey Hendrickson 

 Schedule 3.33 
 Non-Contravention 
  

	A.	Contraventions: 

 See below. 
  

	B.	Consents: 

 The proposed transaction with CD&L,
Inc. is restricted under the terms of a credit facility of CD&L with Bank of America N.A. (“BOA”). BOA’s consent or waiver of the proposed merger with the Company will be required to avoid a default under such facilities.

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