Document:

Unassociated Document

    WAIVER
AND AMENDMENT NO. 2 TO CREDIT AGREEMENT

     

    This
Waiver and Amendment No. 2 to Credit Agreement (this "Amendment"), dated as of
April 17, 2009, is among Clark Holdings, Inc. (f/k/a Global Logistics
Acquisition Corporation), a Delaware corporation ("Holdings"), The Clark
Group, Inc., a Delaware corporation ("Clark Holdings"),
Clark Distribution Systems, Inc., a Delaware corporation ("CDS"), Clark
Worldwide Transportation, Inc., a Pennsylvania corporation ("CWT"), Highway
Distribution Systems, Inc., a Delaware corporation ("HDS"), and Evergreen
Express Lines, Inc., a Pennsylvania corporation (together with Holdings, Clark
Holdings, CDS, CWT and HDS, the "Borrowers") and Bank of America, N.A.,
(successor-in-interest to LaSalle Bank National Association), individually as a
Lender and as Administrative Agent for the Lenders (as such terms are each
defined in the Credit Agreement defined below).

     

    Reference
is made to that certain Credit Agreement dated as of February 12, 2008, among
the Borrowers, the financial institutions that are or may from time to time
become parties thereto as lenders (together with their respective successors and
assigns, the "Lenders") and Bank of America, N.A. (successor-in-interest to
LaSalle Bank National Association), as Administrative Agent for the Lenders (as
amended or otherwise modified through the date hereof, the "Credit Agreement";
except as otherwise expressly provided for herein, capitalized terms used herein
without definition shall have the meanings ascribed to such terms in the Credit
Agreement).

     

    Borrowers
have advised Administrative Agent and the sole initial Lender
that  Borrowers have (i) permitted the Senior Debt to EBITDA Ratio as
of the last day of the Computation Period ended December 31, 2008 to exceed 3.0
to 1.0, constituting a breach of Section 11.14.1 of the Credit Agreement and an
Event of Default pursuant to Section 13.1.5 of the Credit Agreement (the "Senior
Leverage Default"), (ii) permitted the Fixed Charge Coverage Ratio as of the
last day of the Computation Period ended December 31, 2008 to be less than 1.25
to 1.0, constituting a breach of Section 11.14.2 of the Credit Agreement and an
Event of Default pursuant to Section 13.1.5 of the Credit Agreement (the "Fixed
Charge Coverage Default"), (iii) permitted the Total Debt to EBITDA Ratio as of
the last day of the Computation Period ended December 31, 2008 to exceed 3.5 to
1.0, constituting a breach of Section 11.14.3 of the Credit Agreement and an
Event of Default pursuant to Section 13.1.5 of the Credit Agreement (the "Total
Leverage Default"), (iv) failed to give Administrative Agent prompt notice of
each of the Senior Leverage Default, Fixed Charge Coverage Default and Total
Leverage Default, constituting separate breaches of Section 10.1.5(a) of the
Credit Agreement and separate Events of Default pursuant to Section 13.1.5 of
the Credit Agreement (the "Notice Defaults") and (v) an Event of Default exists
pursuant to Section 13.1.6 of the Credit Agreement in respect of computations A,
B and C in the Compliance Certificate delivered to Administrative Agent for the
Fiscal Quarter ended January 3, 2009 (the "Compliance Certificate Default"; the
Senior Leverage Default, the Fixed Charge Coverage Default, the Total Leverage
Default, the Notice Defaults and the Compliance Certificate Default being
referred to collectively as the "Existing Defaults"). Borrowers have requested
that Administrative Agent and the sole initial Lender waive the Existing
Defaults.  Borrowers has further agreed with Administrative Agent and
the sole initial Lender to amend and modify the Credit Agreement as provided
herein, subject to the terms and provisions hereof.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    NOW,
THEREFORE, the parties hereto hereby agree as follows:

     

    1. Waiver.  Subject
to the conditions set forth in this Amendment, and in reliance on the
representations, warranties, covenants and other agreements contained herein,
Administrative Agent and the sole initial Lender hereby waive the Existing
Defaults.  The foregoing waivers are expressly intended to be limited
in scope and, except as otherwise expressly provided, shall not be construed as
a waiver, consent or as an amendment or modification of the Credit
Agreement.

     

    2. Amendments to Credit
Agreement. Subject to the conditions set forth in this Amendment, and in
reliance on the representations, warranties, covenants and other agreements
contained herein, the parties hereto hereby agree to amend and modify the Credit
Agreement as follows:

     

    2.1. The
defined term "Applicable Margin", set forth in Section 1.1 of the Credit
Agreement, is hereby deleted in its entirety.

     

    2.2. The
defined term "Base Rate Margin", set forth in Section 1.1 of the Credit
Agreement, is hereby amended and restated in it is entirety as
follows:

     

    Base Rate Margin
means, as of any date of determination, 2.50% per annum.

     

    2.3. The
defined term "Borrowing Base", set forth in Section 1.1 of the Credit Agreement,
is hereby amended and restated in it is entirety as follows:

     

    Borrowing Base means
an amount equal to the sum of (i) 80% of the unpaid amount of all Eligible
Accounts plus (ii) 50% of the appraised fair market value of Eligible Real
Estate, plus (iii) 100% of the value, as of any applicable date of
determination, of Cash Equivalent Investments in any deposit accounts and/or
securities accounts subject to a control agreement in form and substance
acceptable to Administrative Agent minus (iv) such reserves and allowances as
the Administrative Agent deems necessary or appropriate in its reasonable
discretion, including as necessary or appropriate to reflect any events,
conditions, contingencies, risks or other circumstances which may arise from
time to time with respect to any Loan Party.

     

    2.4. The
defined term "Computation Period", set forth in Section 1.1 of the Credit
Agreement, is hereby amended and restated in its entirety as
follows:

     

    Computation Period
means each period of twelve consecutive Fiscal Months ending on the last day of
a Fiscal Month.

     

    
      
        
        

      

      
        -2-

        
          

        

      

      
        
        

      

    

    2.5. The
defined term "EBITDA", set forth in Section 1.1 of the Credit Agreement, is
hereby amended and restated in its entirety as follows:

     

    EBITDA means, for any
period, Consolidated Net Income for such period plus, in each case to the extent
deducted in determining such Consolidated Net Income for such period, Interest
Expense, income tax expense, depreciation and amortization, transaction costs,
expenses and severance expense in connection with Permitted Acquisitions, in
each case to the extent approved by Administrative Agent in its reasonable
discretion, charges resulting from the impairment of goodwill and intangible
assets attributable to the Purchase Agreement, and costs and expenses in
connection with the Related Agreements (other than the Employment Agreements),
in each case to the extent approved by Administrative Agent in its reasonable
discretion; provided, that, notwithstanding anything to the contrary contained
herein, (i) for the Fiscal Months ending on or about February 28, 2007,
March 31, 2007, April 30, 2007, May 31, 2007, June 30, 2007,
July 31, 2007, August 31, 2007, September 30, 2007,
October 31, 2007, November 30, 2007 and December 31, 2007, EBITDA
shall be deemed to be $629,275, $680,185, $1,046,641, $557,864, $995,531,
$887,473, $922,805, $1,036,710, $1,222,029, $403,135 and ($461,991),
respectively, and (ii) for the Fiscal Month ending on or about January 31,
2008, EBITDA shall be computed based on the consolidated results of Clark
Holdings and its Subsidiaries pursuant to financial statements delivered
pursuant to Section
10.1.2, subject to adjustments consistent with those used in determining
the amounts specified in the preceding clause (i).

     

    2.6. The
defined term "L/C Fee Rate", set forth in Section 1.1 of the Credit Agreement,
is hereby amended and restated in it is entirety as follows:

     

    L/C Fee Rate means,
as of any date of determination, 4.0% per annum; provided, that with
respect to Cash Collateralized Letters of Credit, the L/C Fee Rate shall mean
1.75% per annum.

     

    2.7. The
defined term "LIBOR Margin", set forth in Section 1.1 of the Credit Agreement,
is hereby amended and restated in it is entirety as follows:

     

    LIBOR Margin means,
as of any date of determination, 4.00% per annum.

     

    2.8. The
defined term "LIBOR Rate", set forth in Section 1.1 of the Credit Agreement, is
hereby amended by inserting the following new sentence at the end of such
defined term:  "Notwithstanding anything to the contrary set forth in
this definition, at no time shall the LIBOR Rate be less than 3.0% per
annum."

     

    2.9. The
defined term "Non-Use Fee Rate", set forth in Section 1.1 of the Credit
Agreement, is hereby amended and restated in it is entirety as
follows:

     

    
      
        
        

      

      
        -3-

        
          

        

      

      
        
        

      

    

    Non-Use Fee Rate
means, as of any date of determination, 0.675% per annum.

     

    2.10. The
defined term "Revolving Commitment", set forth in Section 1.1 of the Credit
Agreement, is hereby amended and restated in its entirety as
follows:

     

    Revolving Commitment
means, as to any Lender as of any date of determination, the amount specified
for such Lender as the "Revolving Commitment Amount" on Annex A hereto,
subject to adjustment pursuant to any and all Assignment Agreements entered into
by such Lender following the Closing Date, in each case as such amount may be
reduced from time to time pursuant to Section 6.1.

     

    2.11. The
defined term "Revolving Loan Availability", set forth in Section 1.1 of the
Credit Agreement, is hereby amended and restated in its entirety as
follows:

     

    Revolving Loan
Availability means, as of any date of determination, the lesser of (i)
the aggregate Revolving Commitments of all Lenders and (ii) the sum of (x) the
Borrowing Base plus (y) the Stated
Amount of Cash Collateralized Letters of Credit on such date minus (z) the
outstanding principal amount of the Term Loans on such date.

     

    2.12. The
defined term "Tangible Net Worth" is hereby added to Section 1.1 of the Credit
Agreement in appropriate alphabetical order, which term shall read as
follows:

     

    Tangible Net Worth of
Holdings and its Subsidiaries means, as of any date, the value of the total
consolidated assets of Holdings and its Subsidiaries (including leaseholds and
leasehold improvements and reserves against assets, but excluding goodwill,
patents, trademarks, trade names, organization expense, unamortized debt
discount and expense, capitalized or deferred research and development costs,
deferred marketing expenses and other like intangibles according to GAAP and
monies due from Affiliates, officers, directors, employees, shareholders,
members or managers of Holdings or any of its Subsidiaries), less the total
consolidated liabilities of Holdings and its Subsidiaries.

     

    2.13. Section
2.1.1 of the Credit Agreement is hereby amended and restated in its entirety as
follows:

     

    2.1.1                      Revolving
Commitment.  Each Lender with a Revolving Commitment agrees to
make loans on a revolving basis ("Revolving Loans")
from time to time until the Termination Date in such Lender's Pro Rata Share of
such aggregate amounts as any Borrower may request from all Lenders; provided that
(i) the Revolving Outstandings will not at any time exceed Revolving Loan
Availability and (ii) the Holdco Borrowers shall have no right, following
the Closing Date, to request any Revolving Loans, and no Lender shall have any
obligation following the Closing Date to make any Revolving Loans to or for the
account of any Holdco Borrower.

    

    
      
        
        

      

      
        -4-

        
          

        

      

      
        
        

      

    

    2.14. Section
2.1.3 of the Credit Agreement is hereby amended and restated in its entirety as
follows:

     

    2.1.3                      L/C
Commitment.  Subject to Section 2.3.1,
the Issuing Lender agrees to issue letters of credit, in each case containing
such terms and conditions as are permitted by this Agreement and are reasonably
satisfactory to the Issuing Lender (each, a "Letter of Credit"),
at the request of and for the account of any Operating Borrower from time to
time before the scheduled Termination Date and, as more fully set forth in Section 2.3.2,
each Lender agrees to purchase a participation in each such Letter of Credit;
provided that
(a) the aggregate Stated Amount of all Letters of Credit shall not at any time
exceed $2,000,000 and (b) the Revolving Outstandings shall not at any time
exceed Revolving Loan Availability.

    

    2.15. Clause
(b) of Section 6.2.2 of the Credit Agreement is hereby amended and restated in
its entirety as follows:

     

    (b)           If
on any day the Revolving Outstandings exceed the Revolving Loan Availability,
the Borrowers shall immediately prepay Revolving Loans or Cash Collateralize
outstanding Letters of Credit, or do a combination of the foregoing, in an
amount sufficient to eliminate such excess.

    

    2.16. Section
11.14.1 of the Credit Agreement is hereby amended by deleting the reference
therein to "3.0 to 1.0", and by inserting in lieu thereof a reference to "2.0 to
1.0".

     

    2.17. Section
11.14.3 of the Credit Agreement is hereby amended by deleting the reference
therein to "3.5 to 1.0", and by inserting in lieu thereof a reference to "2.5 to
1.0".

     

    2.18. New
Section 11.14.5 is hereby added to the Credit Agreement, which section shall
read as follows:

     

    11.14.5.                      Tangible Net
Worth.  Not permit Tangible Net Worth as of (i) January 2, 2010
to be less than $1,000,000 and (ii) each Computation Period ending after January
2, 2010 to be less than $1,000,000 plus 75% of positive
Consolidated Net Income from the period commencing on January 2, 2010
through the last day of such Computation Period.

    

    2.19. Section
15.1 of the Credit Agreement is hereby amended by deleting the clause "(except
for periodic adjustments of interest rates and fees resulting from a change in
the Applicable Margin as provided for in this Agreement)" set forth
therein.

     

    
      
        
        

      

      
        -5-

        
          

        

      

      
        
        

      

    

    2.20. Annex A to the Credit
Agreement is hereby amended and restated in its entirety as set forth on Exhibit A
hereto.

     

    2.21. Exhibit B to the
Credit Agreement is hereby amended and restated in its entirety as set forth on
Exhibit B
hereto.

     

    2.22. Exhibit C to the
Credit Agreement is hereby amended and restated in its entirety as set forth on
Exhibit C
hereto.

     

    3. Acquisitions.  Notwithstanding
anything to the contrary set forth in the Credit Agreement, no Borrower shall
consummate any Permitted Acquisition following the date hereof financed in whole
or in part with proceeds of any Loans, absent the prior written consent of
Administrative Agent, in its sole and absolute discretion.

     

    4. Conditions
Precedent.  The effectiveness of the amendments set forth above
is subject to the satisfaction of the following conditions precedent or
concurrent:

     

    (a) Cash
Collateralization of all presently outstanding Letters of Credit;

     

    (b) Receipt
by Administrative Agent of counterparts to this Amendment duly executed and
delivered by the Borrowers;

     

    (c) All
proceedings taken in connection with the transactions contemplated by this
Amendment and all documents, instruments and other legal matters incident
thereto shall be satisfactory to Administrative Agent and its legal counsel;
and

     

    (d) No
Unmatured Event of Default or Event of Default (other than Existing Defaults)
shall have occurred and be continuing.

     

    5. Representations and
Warranties.  To induce Administrative Agent and the sole
initial Lender to enter into this Amendment, each of the Borrowers represents
and warrants to Administrative Agent and Lender:

     

    (a) that the
execution, delivery and performance of this Amendment has been duly authorized
by all requisite corporate action on the part of such Borrower and that this
Amendment has been duly executed and delivered by such Borrower;

     

    (b) that each
of the representations and warranties set forth in the Loan Documents (other
than those which, by their terms, specifically are made as of certain date prior
to the date hereof) are true and correct in all material respects as of the date
hereof; and

     

    
      
        
        

      

      
        -6-

        
          

        

      

      
        
        

      

    

    (c) that no
Unmatured Event of Default or Event of Default (other than Existing Defaults)
has occurred and is continuing as of the date hereof.

     

    6. Amendment
Fee.  In consideration of the transactions contemplated hereby,
Borrowers hereby agree to pay to Administrative Agent a fully-earned and
non-refundable fee in the amount of $50,000 (the "Amendment
Fee").  Administrative Agent hereby confirms that Administrative Agent
has applied against the Amendment Fee the $50,000 received by Administrative
Agent pursuant to that certain letter dated March 27, 2009 delivered by
Administrative Agent to Borrowers.

     

    7. Miscellaneous.

     

    7.1. Reaffirmation.  Each
Borrower hereby consents to each other Borrower's execution and delivery of this
Amendment and agrees to be bound hereby.  Each Borrower hereby affirms
that nothing contained herein shall modify in any respect whatsoever its
obligations pursuant to the terms of the Guaranty and Collateral Agreement and
reaffirms that the Guaranty and Collateral Agreement is and shall continue to
remain in full force and effect.

     

    7.2. Expenses.  The
Borrowers hereby acknowledge and agree that this Amendment is a "Loan Document"
for purposes of, among other things, Section 15.5 of the Credit
Agreement.

     

    7.3. Event of
Default.  The Borrowers hereby acknowledge and agree that the
breach by any Borrower of any of the representations, warrants and/or covenants
set forth in this Amendment shall constitute an Event of Default.

     

    7.4. Governing
Law.  This Amendment shall be a contract made under and
governed by the internal laws of the State of Illinois.

     

    7.5. Severability. 
Any provision of this Amendment held by a court of competent jurisdiction to be
invalid or unenforceable shall not impair or invalidate the remainder of this
Amendment and the effect thereof shall be confined to the provision so held to
be invalid or unenforceable.

     

    7.6. Counterparts. This
Amendment may be executed in one or more counterparts, each of which shall
constitute an original, but all of which taken together shall be one and the
same instrument.

     

    7.7. Ratification. The
terms and provisions set forth in this Amendment shall modify and supersede all
inconsistent terms and provisions of the Credit Agreement and shall not be
deemed to be a consent to the modification or waiver of any other term or
condition of the Credit Agreement.  Except as expressly modified and
superseded by this Amendment, the terms and provisions of the Credit Agreement
are ratified and confirmed and shall continue in full force and
effect.

     

    
      
        
        

      

      
        -7-

        
          

        

      

      
        
        

      

    

    7.8. Reference. Any
reference to the Credit Agreement contained in any document, instrument or
agreement executed in connection with the Credit Agreement shall be deemed to be
a reference to the Credit Agreement as modified by this Amendment.

     

    7.9. Successors.  This
Amendment shall be binding upon the Borrowers, the Lenders, Administrative Agent
and their respective successors and assigns, and shall inure to the benefit of
the Borrowers, the Lenders, Administrative Agent and their respective successors
and assigns.

     

    
      
        
        

      

      
        -8-

        
          

        

      

      
        
        

      

    

    IN
WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by
their respective officers thereunto duly authorized and delivered at Chicago,
Illinois as of the date first written above.

    
      
        	 	 	 
	 	 	 
	 
      	
                CLARK
      HOLDINGS, INC. (f/k/a Global Logistics

              	 
	 
      	
                Acquisition
      Corporation), as a Borrower

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                /s/
      Stephen Spritzer

              	 
	 
      	
                Title:

              	
                Vice
      President & Treasurer

              	 
	 
      	 
      	 
      	 
	 
      	
                THE
      CLARK GROUP, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                
                  /s/
      Stephen Spritzer

                

              	 
	 
      	
                Title:

              	
                Vice
      President & Treasurer

              	 
	 
      	 
      	 
      	 
	 
      	
                CLARK
      DISTRIBUTION SYSTEMS, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                
                  /s/
      Stephen Spritzer

                

              	 
	 
      	
                Title:

              	
                Vice
      President & Treasurer

              	 
	 
      	 
      	 
      	 
	 
      	
                CLARK
      WORLDWIDE TRANSPORTATION, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                /s/
      Stephen Spritzer

              	 
	 
      	
                Title:

              	
                Vice
      President & Treasurer

              	 
	 
      	 
      	 
      	 
	 
      	
                HIGHWAY
      DISTRIBUTION SYSTEMS, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                /s/
      Stephen Spritzer

              	 
	 
      	
                Title:

              	
                Vice
      President & Treasurer

              	 
	 
      	 
      	 
      	 

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	 
      	
                EVERGREEN
      EXPRESS LINES, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                
                  /s/
      Stephen Spritzer

                

              	 
	 
      	
                Title:

              	
                Vice
      President & Treasurer

              	 
	 
      	 
      	 
      	 
	 
      	
                BANK
      OF AMERICA, N.A.,

              	 
	 
      	
                as
      Administrative Agent and as a Lender

              	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	
                By:

              	
                
                  /s/
      Robert W. Hart

                

              	 
	 
      	
                Title:

              	
                
                  Senior Vice
      President

                

              	 

      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
A

    

    ANNEX
A

     

    LENDERS
AND PRO RATA SHARES

     

    
      	
              Lender

            	 	
              Revolving
      

              Commitment 

              Amount

            	 	 	
              Pro
      Rata 

              Share

            	 	 	
              Term
      Loan Commitment 

              Amount

            	 	 	
              Pro
      Rata 

              Share

            	 
	
              Bank
      of America, N.A.

            	 	$	3,000,000	 	 	 	100	%	 	$	4,700,000	*	 	 	100	%
	
              TOTALS

            	 	$	3,000,000	 	 	 	100	%	 	$	4,700,000	*	 	 	100	%

    

    

    *  In
accordance with the provisions of Section 2.1.2 of the Credit Agreement, the
Term Loan Commitments expired on the earlier of (i) the date on which all Term
Loans were made and (ii) the date that is 60 days following the Closing
Date.  As of April 17, 2009, the outstanding principal amount of the
Term Loans is $3,786,605.

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Exhibit
B

    

    EXHIBIT
B

    

    FORM OF COMPLIANCE
CERTIFICATE

     

    To:           Bank
of America, N.A., as Administrative Agent

     

    Please
refer to the Credit Agreement dated as of February 12, 2008 (as amended,
restated, supplemented or otherwise modified from time to time, the "Credit Agreement")
among Clark Holdings, Inc. (f/k/a Global Logistics Acquisition Corporation), The
Clark Group, Inc., Clark Distribution Systems, Inc., Clark Worldwide
Transportation, Inc., Highway Distribution Systems, Inc., Evergreen Express
Lines, Inc., various financial institutions and Bank of America, N.A., as
Administrative Agent.  Terms used but not otherwise defined herein are
used herein as defined in the Credit Agreement.

    
      
        	 	 	 	 
	
                I.

              	
                Reports.  Enclosed
      herewith is a copy of the [annual
      audited/quarterly/monthly] report of Holdings as at _____________,
      ____ (the "Computation Date"), which
      report fairly presents in all material respects the financial condition
      and results of operations [(subject to the absence of
      footnotes and to normal year-end adjustments)] of Holdings and its
      Subsidiaries as of the Computation Date and has been prepared in
      accordance with GAAP consistently applied.

              
	 	 	 	 
	
                II.

              	
                Financial
      Tests.  The Borrowers hereby certify and warrant to you
      that the following is a true and correct computation as at the Computation
      Date of the following ratios and/or financial restrictions contained in
      the Credit Agreement:

              
	 	 	 	 
	
                A.

              	
                Section 11.14.1
      – Senior Debt to EBITDA Ratio

              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                1.

              	
                Senior
      Debt

              	
                $________

              
	 
      	 
      	 
      	 
      
	 
      	
                2.

              	
                EBITDA

              	
                $________

              
	 
      	 
      	 
      	 
      
	 
      	
                3.

              	
                Pro
      Forma Target EBITDA

              	
                $________

              
	 
      	 
      	 
      	 
      
	 
      	
                4.

              	
                Sum
      of (2) and (3) (Adjusted EBITDA)

              	
                $________

              
	 
      	 
      	 
      	 
      
	 
      	
                5.

              	
                Ratio
      of (1) to (4)

              	
                ____
      to 1

              
	 
      	 
      	 
      	 
      
	 
      	
                6.

              	
                Maximum
      allowed

              	
                2.0
      to 1

              
	 
      	 
      	 
      	 
      
	
                B.

              	
                Section
      11.14.2 - Minimum Fixed Charge Coverage Ratio

              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                1.

              	
                EBITDA
      (from Item A(2) above)

              	
                $________

              
	 
      	 
      	 
      	 
      
	 
      	
                2.

              	
                Income
      taxes paid

              	
                $________

              
	 
      	 
      	 
      	 
      
	 
      	
                3.

              	
                Unfinanced
      Capital Expenditures

              	
                $________

              
	 
      	 
      	 
      	 
      

      

       

      
        
          
            Exhibit
B

          

        

        
          Page
1

          
            

          

        

        
          
          

        

      

       

      
        
          	 
      	
                  4.

                	
                  Sum
      of (2) and (3)

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  5.

                	
                  Remainder
      of (1) minus (4)

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  6.

                	
                  Interest
      Expense

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  7.

                	
                  Required
      payments of principal of Funded Debt (including the Term Loans but
      excluding Revolving Loans)

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  8.

                	
                  Distributions
      made to holders of Holdings' Capital Securities, and amounts paid to
      purchase or redeem such Capital Securities

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  9.

                	
                  Sum
      of (6), (7) and (8)

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  10.

                	
                  Ratio
      of (5) to (9)

                	
                  ____
      to 1.00

                
	 
      	 
      	 
      	 
      
	 
      	
                  11.

                	
                  Minimum
      Required

                	
                  1.25
      to 1.00

                
	 
      	 
      	 
      	 
      
	
                  C.

                	
                  Section
      11.14.3 - Maximum Total Debt to EBITDA Ratio

                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  1.

                	
                  Total
      Debt

                	
                  $________

                
	 
      	 
      	 
      	 
      
	 
      	
                  2.

                	
                  Adjusted
      EBITDA (from Item A(4) above)

                	

                  $________ 
      

                
	 
      	 
      	 
      	 
      
	 
      	
                  3.

                	
                  Ratio
      of (1) to (2)

                	
                  ____
      to 1

                
	 
      	 
      	 
      	 
      
	 
      	
                  4.

                	
                  Maximum
      allowed

                	
                   2.5
      to 1

                
	 
      	 
      	 
      	 
      
	
                  D.

                	
                  Section
      11.14.5 - Capital Expenditures

                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  1.

                	
                  Capital
      Expenditures for the Fiscal Year (other than in respect of Specified
      Systems CapEx)

                	

                  $__________ 
      

                
	 
      	 
      	 
      	 
      
	 
      	
                  2.

                	
                  Maximum
      Permitted Capital Expenditures (other than in respect of Specified Systems
      CapEx)

                	
                  $__________

                
	 
      	 
      	 
      	 
      
	 
      	
                  3.

                	
                  Aggregate
      Specified Systems CapEx

                	
                  $__________

                
	 
      	 
      	 
      	 
      
	 
      	
                  4.

                	
                  Maximum
      Permitted Specified Systems CapEx

                	
                  $__________

                
	 
      	 
      	 
      	 
      

        

      

       

      
        
          
            Exhibit
B

          

        

        
          Page
2

          
            

          

        

        
          
          

        

      

       

      
        
          
            	
                    E.

                  	
                    Section
      11.14.6 - Tangible Net Worth (effective as of 01/02/2010)

                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                    1.

                  	
                    Total
      consolidated assets

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    2.

                  	
                    Goodwill,
      patents, trademarks, trade names, organization expense, unamortized debt
      discount and expense, capitalized or deferred research and development
      costs, deferred marketing expenses and other like intangibles according to
      GAAP

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    3.

                  	
                    monies
      due from Affiliates, officers, directors, employees, shareholders, members
      or managers of Holdings or any of its Subsidiaries

                  	

                    $__________ 
      

                  
	 
      	 
      	 
      	 
      
	 
      	
                    4.

                  	
                    Total
      consolidated liabilities

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    5.

                  	
                    Sum
      of (2), (3) and (4)

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    6.

                  	
                    (1)
      minus (5)

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    7.

                  	
                    Positive
      Consolidated Net Income from January 1, 2010 through the Computation
      Date

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    8.

                  	
                    75%
      of (7)

                  	
                    $__________

                  
	 
      	 
      	 
      	 
      
	 
      	
                    9.

                  	
                    Sum
      of $1,000,000 plus (8)
      (Minimum required Tangible Net Worth)

                  	
                    $_________

                  

          

        

      

    

     

    The
Borrowers further certify to you that no Event of Default has occurred and is
continuing.

     

    
      
        
          Exhibit
B

        

      

      
        Page
3

        
          

        

      

      
        
        

      

    

    The
Borrowers have caused this Certificate to be executed and delivered by their
duly authorized officer on _________, ____.

    
      
        	 	 	 	 
	 	 	 	 
	 
      	
                CLARK
      HOLDINGS, INC., as a Borrower

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                THE
      CLARK GROUP, INC., as a Borrower

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                CLARK
      DISTRIBUTION SYSTEMS, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                CLARK
      WORLDWIDE TRANSPORTATION, INC., as a Borrower

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                HIGHWAY
      DISTRIBUTION SYSTEMS, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                EVERGREEN
      EXPRESS LINES, INC.,

              	 
	 
      	
                as
      a Borrower

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 

      

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Exhibit
C

    

    EXHIBIT
C

     

    

     

    FORM OF BORROWING BASE
CERTIFICATE

     

    To:           Bank
of America, N.A., as Administrative Agent

     

    Please
refer to the Credit Agreement dated as of February 12, 2008 (as amended,
restated, supplemented or otherwise modified from time to time, the "Credit Agreement")
among Clark Holdings, Inc. (f/k/a Global Logistics Acquisition Corporation), The
Clark Group, Inc., Clark Distribution Systems, Inc., Clark Worldwide
Transportation, Inc., Highway Distribution Systems, Inc., Evergreen Express
Lines, Inc., various financial institutions and Bank of America, N.A., as
Administrative Agent.  This certificate (this "Certificate"),
together with supporting calculations attached hereto, is delivered to you
pursuant to the terms of the Credit Agreement.  Capitalized terms used
but not otherwise defined herein shall have the same meanings herein as in the
Credit Agreement.

     

    The
Borrowers hereby certify and warrant to the Administrative Agent and the Lenders
that at the close of business on ______________, ____ (the "Calculation Date"),
the Borrowing Base was $_____________, computed as set forth on the schedule
attached hereto.

     

    The
Borrowers have caused this Certificate to be executed and delivered by their
officer thereunto duly authorized on ___________,
______.

    
      
        	 	 	 	 
	 	 	 	 
	 
      	
                
                  CLARK
      HOLDINGS, INC.,

                  as
      a Borrower

                

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                
                  THE
      CLARK GROUP, INC.,

                  as
      a Borrower

                

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                
                  CLARK
      DISTRIBUTION SYSTEMS, INC.,

                  as
      a Borrower

                

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 

      

       

      
        
          
            Exhibit
C

          

        

        
          Page
1

          
            

          

        

        
          
          

        

      

       

      
        	 
      	 
      	 	 
	 
      	
                
                  CLARK
      WORLDWIDE TRANSPORTATION, INC.,

                  as
      a Borrower

                

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                
                  HIGHWAY
      DISTRIBUTION SYSTEMS, INC.,

                  as
      a Borrower

                

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 
	 
      	 
      	 	 
	 
      	
                
                  EVERGREEN
      EXPRESS LINES, INC.,

                  as
      a Borrower

                

              	 
	 
      	 
      	 	 
	 
      	 
      	 	 
	 
      	
                By:

              	 	 
	 
      	
                Title:

              	 	 

      

       

      
        
          
            Exhibit
C

          

        

        
          Page
2

          
            

          

        

        
          
          

        

      

    

    
      SCHEDULE
TO BORROWING BASE CERTIFICATE

       

      DATED
AS OF [_________________]

       

      
        	
                1.

              	
                Gross
      Accounts

              	 
      	
                 

              	$_________
	 	 	 	 	 
	
                2.

              	
                Less
      Ineligibles

              	 
      	 
      	 
      

      

       

      
        	 
      	
                -

              	
                Services
      not fully performed

              	
                $_________

              	 
      
	 
      	
                -

              	
                Subject
      to other Lien or Administrative

              	 
      	 
      
	 
      	
                 

              	
                
                  Agent's
      Lien not perfected

                

              	$_________	 
      
	 
      	
                -

              	
                Subject
      to Offset, etc.

              	
                $_________

              	 
      
	 
      	
                -

              	
                Account
      Debtor subject to bankruptcy

              	
                $_________

              	 
      
	 
      	
                -

              	
                Account
      Debtor not in U.S. or Canada

              	
                $_________

              	 
      
	 
      	
                -

              	
                Sale
      on Approval, Sale or

              	 
      	 
      
	
                 

              	 
      	Return,
      Bill and Hold or	 
      	 
      
	
                 

              	
                 

              	Consignment	$_________	 
      
	 
      	
                -

              	
                Not
      ordinary course of business

              	
                $_________

              	 
      
	 
      	
                -

              	
                Federal
      Accounts not assigned

              	
                $_________

              	 
      
	 
      	
                -

              	
                Exceeds
      credit limit

              	
                $_________

              	 
      
	 
      	
                -

              	
                Evidenced
      by non-assigned
      instrument etc.

              	
                
                  $_________

                

              	
                 

              
	 
      	
                -

              	
                Over 30 days past due
      or

              	 
      	 
      
	
                 

              	
                 

              	over
      60 days past invoice date	$_________	 
      
	 
      	
                -

              	
                Business
      Activity Report jurisdiction

              	
                $_________

              	 
      
	 
      	
                -

              	
                Affiliate
      Receivables

              	
                $_________

              	 
      
	 
      	
                -

              	
                Cross
      aged Accounts

              	
                $_________

              	 
      
	 
      	
                -

              	
                Concentration
      limit (25%)

              	
                $_________

              	 
      
	 
      	
                -

              	
                Other
      Administrative Agent exclusions

              	
                $_________

              	 
      
	 
      	
                -

              	
                Total

              	
                 

              	

                $_________ 
      

              

      

       

      
        	
                3.

              	
                Eligible
      Accounts [Item 1
      minus Item 2]

              	
                $__________

              
	 	 	 
	
                4.

              	
                Item
      3 times 80%

              	
                $__________

              
	 	 	 
	
                5.

              	
                Appraised
      value of Eligible Real Estate

              	
                $__________

              
	 	 	 
	
                6.

              	
                Item
      5 times 50%

              	
                $__________

              
	 	 	 
	
                7.

              	
                Cash
      Equivalent Investments subject to a control agreement

              	 
      
	 
      	
                in
      favor of Administrative Agent

              	
                $__________

              
	 	 	 
	
                8.

              	
                Borrowing
      Base [Item 4 plus Item 6
      plus Item 7]

              	
                $__________

              
	 	 	 
	
                9.

              	
                Cash
      Collateralized Letters of Credit

              	
                $__________

              
	 
      	 
      	 
      
	
                10.

              	
                Outstanding
      principal amount of Term Loans

              	
                $__________

              
	 
      	 
      	 
      
	
                11.

              	
                Item
      8 plus Item 9 minus Item 10

              	
                $__________

              
	 
      	 
      	 
      
	
                12.

              	
                Revolving
      Loan Availability [Lesser
      of Item 11 and the
      aggregate Revolving Commitments of all
    Lenders]

              	$__________
	
                 

              	 
      	 
      

      

       

      
        
          
            Exhibit
C

          

        

        
          Page
3

          
            

          

        

        
          
          

        

      

       

      
        	
                13.

              	
                Revolving
      Outstandings (includes Stated Amount of Letters of Credit)

              	
                $__________

              
	 	 	 
	
                14.

              	
                Excess
      Revolving Loan Availability

              	 
      
	
                 

              	[Excess of Item 12 over Item
      13]	

                $_________ 
      

              
	 	 	
                 

              
	
                15.

              	
                Required
      Prepayment

              	 
      
	
                 

              	[Excess of Item 13 over Item
      12]	
                $_________

              
	 
      	 
      	 
      

      

      

      
        
          
            Exhibit
C

          

        

        
          Page
4EXHIBIT
4.1

    

    ONSTREAM
MEDIA CORPORATION

    CONVERTIBLE
PROMISSORY NOTE

    

    
      
        	
                $1,000,000.00

              	
                April
      14, 2009

              
	 
      	
                Hartford,
      Connecticut

              

      

    

    

    FOR VALUE
RECEIVED, ONSTREAM MEDIA
CORPORATION, a Florida Corporation with its principal place of business
at 1291 SW 29th Avenue Pompano Beach Florida
33069 (“Company”) promises to
pay to ROCKRIDGE CAPITAL
HOLDINGS, LLC, a Virginia limited liability company, with an address at
300 Bic Drive, 2nd Floor,
Milford, Connecticut 06461 (“Investor”) the
principal sum of up to ONE MILLION DOLLARS ($1,000,000.00), or such lesser
amount as shall be outstanding from time to time hereunder (the “Principal
Amount”), pursuant to that certain Note and Stock Purchase Agreement dated as of
the date hereof, (as amended, restated, and in effect from time to time) (the
“Purchase Agreement”), together with (i) interest accrued and unpaid thereon
from the time as provided herein; (ii) all amounts which may become due under
the Purchase Agreement or any of the other Transaction Documents; (iii) any
costs and expenses, including reasonable attorneys' and appraiser's fees
incurred in the collection of this Note or the enforcement of the Purchase
Agreement or any of the other Transaction Documents, or in any litigation or
controversy arising from or connected with this Note, the Purchase Agreement or
any of the other Transaction Documents; and (iv) all taxes or duties assessed
upon said sum against Investor or upon the debt evidenced hereby other than
income or excise taxes.  All amounts owing under this Note and
interest thereon shall be payable in legal tender of the United States of
America.  Capitalized terms used herein and not otherwise defined
shall have the meanings given to them in the Purchase Agreement.

    

    1.           Maturity Date;
Interest.  Company promises to pay interest at a rate of twelve
percent (12%) per annum on the Principal Amount of this Note, such interest
accrued on a monthly basis based on the then outstanding
balance.  Monthly payments against principal and accrued interest
shall be due and payable commencing on May 14, 2009 and continuing on a
monthly basis thereafter through and including April 14, 2011, except that if not
sooner paid, the Principal Amount together with all accrued interest thereon,
shall be due and payable on May 13, 2011 or such earlier date as
provided in the Purchase Agreement (including by reason of acceleration upon the
occurrence of an Event of Default) (the “Maturity
Date”).  The monthly payments to be applied against principal
and interest shall be as set forth on Exhibit A attached
hereto calculated on a total of Seven Hundred Fifty Thousand Dollars
($750,000.00) being advanced as of the date hereof.  In the event
additional advances are made by Investor to the Company as provided for under
the terms of this Note and the Purchase Agreement (and which at all times shall
not exceed the aggregate principal amount of One Million Dollars ($1,000,000)),
Exhibit A shall
be replaced and the monthly payments to be applied against principal and
interest shall be recalculated as set forth in a revised Exhibit A to take into
the account such additional advance.  Interest on the Principal Amount
shall be computed on the basis of a 365-day year and actual days elapsed until
all of said Principal Amount has been fully paid, whether before or after the
Maturity Date, by acceleration or otherwise, and whether or not any judgment is
obtained hereon.  Payments shall be made by check or wire transfer to
an account designated by Investor.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    In the
absence of any optional conversions in accordance with section 2 below, it is
anticipated that the Company’s final payment on May 13, 2011 will include an
approximately $250,000 balloon payment against principal.  However, in
the event of any optional conversions in accordance with Section 2 below, (i)
the balloon payment will be reduced by the amount of any such conversion and
(ii) the interest portion of the monthly payments hereunder for the remaining
months after any such conversion will be adjusted to reflect the outstanding
principal being immediately reduced for amount of the conversion.

    

    2.           Optional
Conversion.  Upon notice from Investor, up to $250,000 of the
outstanding principal of this Note may be converted at any time and from time to
time prior to the Maturity Date (subject to a minimum of one month between
conversion notices unless such conversion amount exceeds $25,000) into a number
of restricted shares of Company’s common stock (the “Shares”) using a conversion
price which shall be a twenty percent (20%) discount of the fair market value of
the average closing bid price for the common stock of the Company for the prior
twenty (20) days of trading on NASDAQ Capital Market (or such other exchange or
market on which the Company’s common shares are trading) prior to such Investor
notice, but such conversion price not less than $.40 per share.  The
conversion price is subject to adjustment for stock splits, stock dividends, and
other similar transactions.  To the extent possible, restricted Shares
issued upon conversion of this Note will be issued with the same voting and
other similar rights as the Company’s existing common shares.  The
Company will not effect any conversion of this Note, to the extent Investor and
Frederick DeLuca, after giving effect to such conversion would beneficially own
in excess of 9.9% of the Company’s outstanding common stock (the “Beneficial
Ownership Limitation”).  The Beneficial Ownership Limitation may be
waived by the Investor upon not less than sixty-one (61) days’ prior written
notice to the Company.

    

    3.           Exercise of Conversion
Right.  Investor shall exercise its optional conversion right
pursuant to Section 3 by giving to Company written notice of such exercise,
including the amount of principal to be converted.  Thereupon,
Investor and Company shall take all such actions as shall be necessary or
appropriate to consummate the conversion of such principal.

    

    4.           Mechanics of
Conversion. Upon the conversion of any principal pursuant to this Note,
Company will be released from all of its obligations and liabilities pursuant to
this Note only with respect to such converted principal.  No
fractional Shares will be issued upon conversion of this Note and instead the
number of Shares issued on conversion will be rounded to the nearest whole
number.  Investor will surrender this Note on or before the date of
conversion at the principal offices of Company or its transfer agent in exchange
for (a) a replacement Note in an amount equal to the outstanding principal of
this Note not being converted, if any, which Note shall be otherwise identical
in form and substance to this Note, and (b) a certificate or certificates for
the number of Shares to which Investor is entitled (bearing such legends as may
be required by applicable state and federal securities laws in the opinion of
legal counsel to Company), including a check payable to Investor for any cash
amounts payable for any fractional Shares resulting from the conversion of this
Note.

    

    
      5.           Late Payment. If any
monthly installment or any other sum due under this Note, is not
received within ten (10) business days after the Company has received notice of
non payment, the Company agrees to pay, in addition to the amount of each
installment or other sum, a late payment charge of five percent (5%) of the
amount of said installment or other sum, but not exceeding any lawful
maximum.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    6.           Prepayments. This
Note may be prepaid in whole or in part together with accrued but unpaid
interest provided, however, that if this Note or any portion thereof is repaid
prior to September 30, 2009,
(the “Early Payment Date”), Company shall pay Investor all interest which
would have been accrued up to and including the Early Payment Date less any
interest actually paid by Company through the date of repayment.  Any
prepayments shall be held and applied between and among the principal and
interest of this Note at Investor’s discretion.

    

    7.          Default.  Upon
the occurrence of default (which remains uncured after 10 days’ written notice
to the Company) by Company in the performance of any of Company's obligations
hereunder, or an Event of Default as defined in the Purchase Agreement or in any
other Transaction Documents, Investor may, at its option, accelerate Company's
obligations hereunder and declare the entire unpaid Principal Amount, together
with accrued interest and all other amounts then due which are evidenced by this
Note, to be immediately due and payable, without the necessity for demand or
additional notice.  In addition, upon the occurrence of such uncured
default or Event of Default or after the Maturity Date, the interest rate of
this Note shall increase, effective solely upon written notice from Investor to
Company and applied from the date of such notice, to the lesser of (i) eighteen
percent 18% or (ii) the highest rate allowable under applicable law (the
“Default Rate”).  Failure to exercise these options shall not
constitute a waiver of the right to exercise the same in the event of any
subsequent default.

    

    
      8.           
Rescission, Avoidance, or
Recovery by Investor:  In the event that all or any partof
any
payments made to Investor shall be rescinded, avoided or recovered from Investor
for any reason whatsoever, including, without limitation, proceedings in
connection with the insolvency or bankruptcy of Company or the paying party, the
amount of such rescinded, avoided or recovered payment shall be added to the
Principal Amount and all representations, warranties and covenants of Company
shall remain in full force and effect, and Company shall remain liable to
Investor for the amount of such rescinded, avoided or recovered payments in
accordance with this Note and the Purchase Agreement.

    

    

    9.           Non-Waiver and Other
Remedies.  No course of dealing or delay on the part of any
holder of this Note in exercising any right shall operate as a waiver thereof or
otherwise prejudice the right of any holder.  No remedy conferred
hereby shall be exclusive of any other remedy referred to herein or now or
hereafter available at law, in equity, by statute or otherwise.  In
case of any uncured default under this Note, Company will reimburse the holder
of this Note for his reasonable attorneys’ fees incurred in connection with the
enforcement of its rights hereunder.

    

    10.           Rate of Interest.
Notwithstanding any provisions of this Note, it is the understanding and
agreement of Company and Investor that the maximum rate of interest to be paid
by Company to Investor shall not exceed the highest of the maximum rate of
interest permissible to be charged by Investor under applicable laws. Any amount
paid in excess of such rate shall be deemed to be a payment in reduction of
principal except to the extent that such amount is in excess of the then
outstanding Principal Amount, in which event such excess shall be returned to
Company.

    

    11.           Method of
Payment.  Borrower shall make each payment due under this Note
to Investor at its address specified in the preamble of this Agreement not later
than 2:00 p.m., Hartford, Connecticut time, on the date when due in lawful money
of the United States in immediately available funds.  Such payments
shall be made via electronic transfer to the operating account specified by
Investor.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    12.           GOVERNING
LAW.  THIS NOTE SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF CONNECTICUT, WITHOUT REGARD TO THE
PRINCIPLES OF CONFLICT OF LAWS THEREOF.

    

    13.           Successors and
Assigns.  This Note shall be binding on, and it shall inure to
the benefit of, the parties to it, and their respective permitted transferees,
heirs, legal representatives and successors.

    

    
      14.           Amendments. This Note
may not be changed or terminated orally, but only by an agreement
in writing signed by the party against whom enforcement of any such change or
termination is sought.

    

    

    15.           Headings.  The
headings of the sections of this Note are inserted for convenience only and
shall not be deemed to constitute a part hereof.

    

    16.           Notices.  Any
notices hereunder shall be sent and deemed to have been received as provided for
in the Purchase Agreement.

    

    17.           Terms. Whenever in
this Note words of any gender appear, they shall be deemed to apply equally to
any other gender.  Whenever used in this Note, the plural shall
include the singular and the singular shall include the plural, as the context
shall require.  In the event that Company consists of more than one
person or entity, the obligations hereunder shall be joint and
several.

    

    18.           Severability.  In
the event any one or more of the provisions contained in this Note shall for any
reason be held to be invalid, illegal or unenforceable in any respect, such
invalidity, illegality or unenforceability shall not affect any other provision
hereof, and this Note shall be construed as if such invalid, illegal or
unenforceable provision had never been contained herein.

    

    19.           Waiver. TO INDUCE INVESTOR TO ENTER INTO THE
LOAN TRANSACTION EVIDENCED BY THIS NOTE;

    

    (a)           COMPANY
VOLUNTARILY AND INTENTIONALLY WAIVES ANY RIGHT TO A TRIAL BY JURY IN CONNECTION
WITH ANY LITIGATION ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS
NOTE;

    

    (b)           COMPANY
AGREES THAT ANY SUIT, ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS
NOTE OR ANY ACTION OR PROCEEDING TO EXECUTE OR OTHERWISE ENFORCE ANY JUDGMENT IN
RESPECT OF ANY BREACH UNDER THIS NOTE MAY BE BROUGHT BY INVESTOR IN ANY FEDERAL
DISTRICT COURT LOCATED IN CONNECTICUT OR ANY CONNECTICUT STATE COURT AS INVESTOR
MAY IN HIS SOLE DISCRETION ELECT, AND BY THE EXECUTION AND DELIVERY OF THIS
NOTE, COMPANY IRREVOCABLY AND UNCONDITIONALLY SUBMITS TO THE NON-EXCLUSIVE IN
PERSONAM JURISDICTION OF EACH SUCH COURT, AND COMPANY HEREBY IRREVOCABLY WAIVES
AND AGREES NOT TO ASSERT IN ANY PROCEEDING BEFORE ANY SUCH COURT, BY WAY OF
MOTION, AS A DEFENSE OR OTHERWISE, ANY CLAIM THAT IT IS NOT SUBJECT TO THE IN
PERSONAM JURISDICTION OF ANY SUCH COURT.  IN ADDITION, COMPANY
IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION THAT
IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE IN ANY SUIT, ACTION OR
PROCEEDING ARISING OUT OF OR RELATING TO THIS NOTE, BROUGHT IN ANY SUCH COURT,
AND HEREBY IRREVOCABLY WAIVES ANY CLAIM THAT ANY SUCH SUIT, ACTION OR PROCEEDING
BROUGHT IN ANY SUCH COURT HAS BEEN BROUGHT IN ANY INCONVENIENT
FORUM;

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    (c)           COMPANY
IRREVOCABLY AGREES THAT PROCESS PERSONALLY SERVED OR SERVED BY
U.S.  REGISTERED MAIL OR SERVED IN THE MANNER PROVIDED FOR
COMMUNICATIONS IN THIS NOTE SHALL CONSTITUTE, TO THE EXTENT PERMITTED BY LAW,
ADEQUATE SERVICE OF PROCESS IN ANY SUIT, ACTION OR PROCEEDING ARISING OUT OF OR
RELATING TO THIS NOTE OR ANY ACTION OR PROCEEDING TO EXECUTE OR OTHERWISE
ENFORCE ANY JUDGMENT IN RESPECT OF ANY BREACH HEREUNDER.  RECEIPT OF
PROCESS SO SERVED SHALL BE CONCLUSIVELY PRESUMED AS EVIDENCED BY A DELIVERY
RECEIPT FURNISHED BY THE UNITED STATES POSTAL SERVICE OR ANY COMMERCIAL DELIVERY
SERVICE;

    

    (d)           COMPANY
HEREBY AGREES THAT NOTHING HEREIN SHALL IN ANY WAY BE DEEMED TO LIMIT THE
ABILITY OF ANY PARTY HERETO TO SERVE ANY WRITS, PROCESS OR SUMMONSES IN ANY
MANNER PERMITTED BY APPLICABLE LAW OR TO OBTAIN JURISDICTION OVER ANY OTHER
PARTY HERETO IN SUCH OTHER JURISDICTION, AND IN SUCH OTHER MANNER, AS MAY BE
PERMITTED BY APPLICABLE LAW; AND

    

    (e)           COMPANY
ACKNOWLEDGES THAT THIS NOTE, AND THE UNDERLYING TRANSACTIONS GIVING RISE HERETO
CONSTITUTE COMMERCIAL BUSINESS TRANSACTION WITHIN THE STATE OF
CONNECTICUT.  IN THE EVENT OF ANY LEGAL ACTION BETWEEN COMPANY AND
INVESTOR UNDER THIS NOTE, COMPANY HEREBY EXPRESSLY WAIVES ANY RIGHTS WITH REGARD
TO NOTICE AND A HEARING UNDER ANY STATUTE OR STATUTES, STATE OR FEDERAL,
AFFECTING PREJUDGMENT REMEDIES, AND INVESTOR MAY INVOKE ANY PREJUDGMENT REMEDY
AVAILABLE TO IT, INCLUDING, BUT NOT LIMITED TO, GARNISHMENT, ATTACHMENT, FOREIGN
ATTACHMENT AND REPLEVIN, WITH RESPECT TO ANY TANGIBLE OR INTANGIBLE PROPERTY
(WHETHER REAL OR PERSONAL) OF COMPANY TO ENFORCE THE PROVISIONS OF THIS NOTE,
WITHOUT GIVING COMPANY ANY NOTICE OR OPPORTUNITY FOR A HEARING.

    

    [intentionally
left blank; signature page follows]

     

    
      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      (Rockridge/Onstream
Convertible Promissory Note Signature Page)

    IN
WITNESS WHEREOF, Company has executed this Note as of the date first above
written.

    

    
      
        
          
            
              
                
                  	 
      	
                          ONSTREAM
      MEDIA CORPORATION

                        	 
	 
      	 
      	 
      	 
	 
      	 
      	 
      	 
	 
      	

                          By:

                        	 /s/ Randy S. Selman	 
	 
      	
                          Name:

                        	
                          Randy
      S. Selman

                        	 
	 
      	
                          Title:

                        	
                          President
      and Chief Executive Officer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00157-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00157-of-00352.parquet"}]]