Document:

Binding Memorandum of Terms

 Exhibit 10.1 
 BINDING MEMORANDUM OF TERMS 
 Bioject Medical Technologies, Inc. 
 September 14, 2009 
 Offering of Series G
Preferred Stock 
  

			
	Issuer:	  	Bioject Medical Technologies Inc., an Oregon Corporation (the “Company”).
		
	Total Proceeds:	  	 $1,125,000, paid as follows:
  
 •        Conversion of existing convertible notes of approximately $675,000,
including accrued interest (the “Signet Notes”), held by the Investors listed below, which are investment funds managed by Signet Healthcare Partners, LLC (“Signet”)
  
 •        Balance paid in cash of approximately $450,000

		
	Securities to be Issued:	  	Series G Convertible Preferred Stock (“Series G Preferred”). Each share of Series G Preferred will be convertible at any time into one share of Common Stock, subject to standard
anti-dilution adjustments described in “Antidilution Adjustments” below, if any.
		
	Issue Price:	  	$0.13 per share of Series G Preferred.
		
	Investors:	  	Funds managed by Signet.
		
	Use of Proceeds:	  	The proceeds from the issuance of Series G Preferred will be used for general corporate purposes.
	
	Terms of Series G Preferred
		
	Liquidation Preference:	  	The Series G Preferred will rank senior to all other outstanding Preferred Stock and to the Common Stock. Upon the occurrence of a Liquidation Event, Investors in the Series G Preferred will
be paid a liquidation preference equal to $0.13 per share of Series G Preferred (plus any accrued and unpaid dividends) prior to any payments to any other series of Preferred Stock and the Common Stock. No Preferred Stock will be issued in the
future which is senior to the Series G Preferred, unless consented to by the holders of the Series G Preferred. A Liquidation Event will include any dissolution, winding-up, merger, reorganization, consolidation, or other transaction(s) in which
shareholders of the Company do not own a majority of the outstanding shares of the surviving corporation or a sale of a majority of the assets of the Company, including pursuant to a foreclosure proceeding by a secured lender.
		
	Dividends:	  	8% per annum, payable annually. If the Board does not declare a dividend, dividends will accrue at 10% per annum from date of issuance, on a cumulative basis. Dividends can be paid in cash or
in additional shares of Series G preferred at the Issue Price.
		
	Antidilution Adjustments:	  	The conversion price of the Series G Preferred will be subject to adjustment at any time as the result of any subdivision, stock split, stock dividend, combination of shares or
recapitalization.

  

 1 

			
	Voting Rights:	  	Votes on an as-converted basis. Has the benefit of all rights to vote as a class or series as provided by law and approval by a majority of the class of Series G Preferred is required for (1)
the issuance or creation of any senior or pari passu debt or equity security or obligation, (2) payment of dividends on Common Stock, (3) any redemptions or repurchases of Common Stock or Preferred Stock except for purchases at fair market value
from employees of the Company upon termination of employment and any allocations of new option awards to any employees or other persons, (4) any merger, acquisition, recapitalization, reorganization or sale of all or substantially all of the assets
of the Company which results in a payment to the Series G Preferred Holder of an amount less than the Liquidation Preference, (5) an increase or decrease in the number of authorized shares of any series of Preferred Stock or Common Stock, (6) any
change to the rights, preferences, and privileges of the Series G Preferred, (7) material amendments or repeal of any provision of the Company’s Charter or Bylaws, (8) material changes in the nature of the Company’s business or (9) the
prepayment of any debt obligation.
		
	Registration:	  	The Company will provide demand registration rights obligating the Company to file one Registration Statement on Form S-1 registering for resale the Common Stock underlying the Series G
Preferred upon request of the holders of a majority of the Series G Preferred.
		
	Management Option Pool:	  	An additional option pool equal to 10% of the issued and outstanding common stock will be established and awarded to existing management and others (such as directors and/or consultants)
deemed essential by the Board of Directors for value creation going forward. These options will be awarded with an exercise price equal to the issue price. 25% of the options will vest on December 31st of each of 2010, 2011, 2012 and 2013, except that vesting will be accelerated upon a change of control. To the extent that this
additional option pool requires shareholder approval and such approval is not obtained due to nay votes of shareholders not affiliated with Signet, such nonapproval shall have no impact on the validity or enforceability of all the other terms of
this Binding Memorandum of Terms. The options will have a term of 10 years but will contain standard provisions relating to the termination of employment.
		
	Board of Directors:	  	The Board of Directors shall consist of six members, two of which will be nominated by the Series G Preferred. The other four members will be nominated by the Board of Directors, and it is
anticipated that such four nominees will be chosen from persons currently serving as Directors.
		
	Charter/Bylaws:	  	A “plain vanilla” charter and bylaws, reasonably acceptable to Signet, will be submitted to shareholders for approval. The existing Rights Plan, or Poison Pill, shall be terminated
and, if necessary, shall be submitted to shareholders of the Company for approval of such termination. Signet acknowledges that termination of the Rights Plan may require a cash redemption of the related rights by the Company. To the extent that
counsel to the Company and counsel to Signet agree, termination and shareholder approval may be avoided if changes to the Rights Plan can be made which accomplish the goal of eliminating its material terms and conditions.
		
	 Shareholder Vote and Board
 Approval:
	  	All terms in this Memorandum of Terms and any associated documentation which require shareholder approval in order to be valid and effective (the “Required Terms”), will be
submitted for shareholder approval at a Company shareholder meeting to be held as soon as reasonably practicable. The Company and the Investors acknowledge that immediately prior to the execution of this Memorandum of Terms, the entire Board of
Directors of the Company, with the exception of any directors not voting due to actual or perceived conflicts of interest (including due to financial interests, affiliations, or otherwise), voted unanimously to authorized and approve the
Company’s execution of this Memorandum of Terms, and recommended that all additional actions needed to consummate the terms herein be undertaken, including the submission to shareholders for approval of any Required Terms on a date mutually
agreed upon by the parties.

  

 2 

			
	Extension of Existing Note:	  	The maturity date of the existing Signet Notes will be extended to the date occurring 10 business days after the date of the shareholder meeting referred to above. If the shareholders do not
approve the Required Terms at such meeting, the Signet Notes and all accrued interest thereon will become due and payable on such 10th business day.
		
	Fee to Investors:	  	As a necessary inducement to the Investors to enter into this Memorandum of Terms, the Company agrees to pay the Investors or their designee a fee of $200,000, in cash, as liquidated damages,
if the Board of Directors of the Company approves the consummation of another transaction as an alternative to the issuance of the Series G Preferred, including by reason of the Company pursuing an alternative transaction as permitted under “No
Shop” and “Fiduciary Shop Period” below.
		
	Closing Conditions:	  	 Standard conditions to Closing, which shall include, without limitation,
  
 a)      Closing subject to the
negotiation of definitive legal documents with standard terms and conditions and completion of legal and financial due diligence by the Investors.
  
 b)      Approval of the Investment Committee of Signet within 30 days of the date of the execution
of this Memorandum of Terms.

		
	No Shop:	  	Commencing on the 31st day
after the date of the execution of this Binding Memorandum of Terms, until 5:00 p.m. EST on the 7th business day following the shareholder meeting referred to above, the Company shall not directly or indirectly solicit, or directly or indirectly accept (i) any offers for the purchase or acquisition of (a) any
capital stock of the Company, (b) all or any material portion of the assets of the Company, or (ii) any proposal for any merger or consolidation involving the Company, and the Company shall not negotiate or enter into any agreement or understanding
with any other person with respect to any such transaction. The only exceptions to the foregoing include all ongoing business transactions currently in process and the actions of Ferghana Partners under its engagement letter with the
Company.
		
	Fiduciary Shop Period	  	 As soon as possible after the execution of this Binding Memorandum of Terms and as required by law, this Binding Memorandum of Terms shall be
disclosed in a Form 8-K filed by the Company with the Securities and Exchange Commission, and reference shall be made specifically to the binding nature of this Binding Memorandum of Terms on the Company and the Investors and the Board Approval.
Commencing on the date of the execution of this Binding Memorandum of Terms and until the 30th calendar day thereafter, the Company shall have the right to solicit offers with respect to and enter into a competing transaction subject to the following terms:
  
 1)      The overall terms must
be materially superior to those of this Binding Memorandum of Terms as determined by the Company’s Board of Directors in their sole discretion.
  
 2)      The Signet Notes are paid in full upon the closing of the competing transaction.

 
 3)      The Investors or
their designee are paid a fee of $200,000 in cash, as described in Fee to Investors above, as liquidated damages, upon the date of such closing.

		
	 Governing Law and Binding
 Effect:
	  	This Binding Memorandum of Terms shall be governed and construed under New York law. This Binding Memorandum of Terms is intended to be a binding agreement between the Company and the
Investors. Formal documentation shall be prepared, containing the terms set forth herein and the standard terms and conditions that would accompany such terms when memorialized formally.
		
	Expenses:	  	Counsel to Investors will draft the Series G Preferred purchase agreement and related documents, including the description of the Series G Preferred Stock for the Company’s charter. The
Company shall pay reasonable expenses of the Investors (including Investors’ counsel), not to exceed $25,000, whether or not the Series G Preferred is issued, in addition to any $200,000 fee that is payable.

  

 3 

			
	AGREED AND ACCEPTED:
	
	Bioject Medical Technologies, Inc.
	20245 SW 95th Avenue

	Tualatin, OR 97062, USA
		
	By:	 	 /s/    Ralph Makar

	Name:	 	 Ralph Makar

	Title:	 	 President and CEO

	Date:	 	 September 14, 2009

 INVESTORS 
 LIFE SCIENCES OPPORTUNITIES FUND II, L.P. 

			
	By:	 	Signet Healthcare Partners, general partner
		
	By:	 	 /s/    Al Hansen

	Name:	 	 Al Hansen

	Date:	 	 September 15, 2009

 LIFE SCIENCES OPPORTUNITIES FUND II (INSTITUTIONAL), L.P. 

			
	By:	 	Signet Healthcare Partners, general partner
		
	By:	 	 /s/    Al Hansen

	Name:	 	 Al Hansen

	Date:	 	 September 15, 2009

  

 4Second Supplemental Indenture

 EXHIBIT 4.1 
 SECOND SUPPLEMENTAL INDENTURE 
 SECOND SUPPLEMENTAL INDENTURE (this “Supplemental
Indenture”) dated as of September 11, 2009 (the “New Notes Issue Date”), among HARRAH’S OPERATING COMPANY, INC., a Delaware corporation (the “Issuer”), HARRAH’S ENTERTAINMENT, INC., a
Delaware corporation (the “Parent Guarantor”) and U.S. BANK NATIONAL ASSOCIATION, a national banking association, as trustee under the indenture referred to below (the “Trustee”). 
 W I T N E S S E T H : 
 WHEREAS, Harrah’s Operating Escrow LLC, a Delaware limited liability company, Harrah’s Escrow Corporation, a Delaware corporation (together, the “Escrow Issuers”), and the Parent Guarantor have heretofore executed
and delivered to the Trustee an indenture (the “Base Indenture”) dated as of June 10, 2009, providing for the issuance of 11 1/4% Senior Secured Notes due 2017 (the “Existing Notes”),
initially in the aggregate principal amount of $1,375,000,000; 
 WHEREAS, the Issuer has heretofore executed and delivered to the
Trustee a supplemental indenture (the “First Supplemental Indenture” and, together with the Base Indenture, and as further amended, supplemented or otherwise modified, the “Indenture”) dated as of June 10,
2009, pursuant to which the Issuer assumed all of the obligations of the Escrow Issuers under the Indenture and the Existing Notes; 
 WHEREAS, pursuant to Section 2.01 of the Indenture, the Issuer may issue Additional Notes under the Indenture subject to certain conditions as set forth therein; 
 WHEREAS, the Issuer desires to issue an additional $720,000,000 aggregate principal amount of such Additional Notes (hereinafter, the “New
Notes”); 
 WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee, the Issuer and the Parent Guarantor are authorized
to execute and deliver this Supplemental Indenture; 
 NOW THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the Issuer, the Parent Guarantor and the Trustee mutually covenant and agree for the equal and ratable benefit of the holders of the Notes (as defined in the Indenture) as follows:

 1. Defined Terms. As used in this Supplemental Indenture, terms defined in the Indenture or in the preamble or recital hereto are
used herein as therein defined, except that the term “holders” in this Supplemental Indenture shall refer to the term “holders” as defined in the Indenture and the Trustee acting on behalf of and for the benefit of
such holders. The words “herein,” “hereof” and “hereby” and other words of similar import used in this Supplemental Indenture refer to this Supplemental Indenture as a whole and not to any
particular section hereof. 

 2. New Notes. The Issuer shall issue the New Notes under the Indenture, subject to compliance with
the terms thereof, with such New Notes to have identical terms to those of the Existing Notes; provided that: 
  

	 	a.	The aggregate amount of New Notes to be authenticated and delivered under this Supplemental Indenture on the New Notes Issue Date is $720,000,000; 

  

	 	b.	The issue price of the New Notes is 100.0%, plus accrued interest from June 10, 2009; 

  

	 	c.	The New Notes will be issued on the New Notes Issue Date; 

  

	 	d.	The New Notes shall be issued as “Initial Notes” under the Indenture (including Appendix A thereto), shall in all respects be subject to the terms applicable to Initial
Notes as provided in Appendix A to the Indenture, and shall be issuable in whole or in part in the form of one or more Global Notes as provided in Section 2.1(b) of Appendix A to the Indenture and in the form provided in Exhibit A to the
Indenture (except that the New Notes shall bear the name and signature of the Issuer rather than the Escrow Issuers, and, until the New Notes and the Existing Notes are exchanged for freely tradable notes, the New Notes shall bear different CUSIP
and ISIN Numbers). The New Notes shall be registered in the name of the Depository (as defined in Appendix A to the Indenture) or the nominee of such Depository, in each case for credit to an account of an Agent Member (as defined in Appendix A
of the Indenture); 

  

	 	e.	The New Notes shall be, and may be exchanged or transferred on, the terms provided for Initial Notes in Appendix A to the Indenture; 

  

	 	f.	The New Notes and the Existing Notes shall be a single class for all purposes under the Indenture, including, without limitation, waivers, amendments, redemptions and offers to
purchase; and 

  

	 	g.	Holders of New Notes shall have the benefit of a separate Registration Rights Agreement dated the date hereof. 

 3. Ratification of Indenture; Supplemental Indentures Part of Indenture. Except as expressly amended hereby, the Indenture is in all respects
ratified and confirmed and all the terms, conditions and provisions thereof shall remain in full force and effect. This Supplemental Indenture shall form a part of the Indenture for all purposes, and every holder of Notes heretofore or hereafter
authenticated and delivered shall be bound hereby. 
 4. Governing Law. THIS SUPPLEMENTAL INDENTURE SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW. 
 5. Trustee Makes
No Representation. The Trustee makes no representation as to the validity or sufficiency of this Supplemental Indenture. 
 6.
Counterparts. The parties may sign any number of copies of this Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. 

 7. Effect of Headings. The Section headings herein are for convenience only and shall not effect
the construction thereof. 
 8. Severability. In case any provision of this Supplemental Indenture shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 
 [Signature pages follow] 

 IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed as of
the date first above written. 
  

			
	HARRAH’S OPERATING COMPANY, INC.
		
	By:	 	/s/ Jonathan S. Halkyard
		 	 Name: Jonathan S. Halkyard
 Title:   Senior Vice President, Chief Financial Officer and Treasurer

  

			
	HARRAH’S ENTERTAINMENT, INC.
		
	By:	 	/s/ Jonathan S. Halkyard
		 	 Name: Jonathan S. Halkyard
 Title:   Senior Vice President, Chief Financial Officer and Treasurer

			
	 U.S. BANK NATIONAL ASSOCIATION,
 as Trustee

		
	By:	 	/s/ Raymond S. Haverstock
		 	 Name: Raymond S. Haverstock
 Title:   Vice
President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00163-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00163-of-00352.parquet"}]]