Document:

efc8-0541_emailex101.htm

    Exhibit
10.1

     

     

     

    EXECUTION
COPY

    

     

    

    
    

     

    
      	 

    

     

    

     

    

     

    STOCK
PURCHASE AGREEMENT

    

     

    Dated as
of March 4, 2008

     

    among

     

     

    BROADPOINT
SECURITIES GROUP, INC.,

     

    MAST
CREDIT OPPORTUNITIES I MASTER FUND LIMITED,

     

    MATLINPATTERSON
FA ACQUISITION LLC

     

    and

     

    THE
INDIVIDUAL INVESTORS LISTED ON THE SIGNATURE PAGES

     

    

    
       

      
        	 

      

       

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

     

    TABLE OF
CONTENTS

     

    
      
        	
                ARTICLE
      I DEFINITIONS AND INTERPRETATION

              	
                1

              
	 	 
	
                Section
      1.1

              	
                Definitions.

              	
                1

              
	
                Section
      1.2

              	
                Interpretation.

              	
                1

              
	 	 	 
	
                ARTICLE
      II ISSUANCE AND SALE OF PURCHASED SHARES

              	
                2

              
	 	 
	
                Section
      2.1

              	
                Issuance
      and Sale of Stock.

              	
                2

              
	
                Section
      2.2

              	
                The
      Closing.

              	
                2

              
	
                Section
      2.3

              	
                Investor
      Deliveries at the Closing.

              	
                2

              
	
                Section
      2.4

              	
                Company
      Deliveries at the Closing.

              	
                3

              
	 	 	 
	
                ARTICLE
      III REPRESENTATIONS AND WARRANTIES OF THE COMPANY

              	
                3

              
	 	 
	
                Section
      3.1

              	
                Organization.

              	
                3

              
	
                Section
      3.2

              	
                Capitalization.

              	
                4

              
	
                Section
      3.3

              	
                Authorization;
      Execution and Enforceability.

              	
                5

              
	
                Section
      3.4

              	
                Validity
      of Purchased Shares.

              	
                5

              
	
                Section
      3.5

              	
                No
      Conflicts; Consents and Approvals.

              	
                5

              
	
                Section
      3.6

              	
                SEC
      Reports; Financial Statements.

              	
                6

              
	
                Section
      3.7

              	
                Sarbanes-Oxley;
      Disclosure and Internal Controls.

              	
                7

              
	
                Section
      3.8

              	
                Absence
      of Certain Changes.

              	
                7

              
	
                Section
      3.9

              	
                Litigation.

              	
                8

              
	
                Section
      3.10

              	
                Intellectual
      Property Rights.

              	
                8

              
	
                Section
      3.11

              	
                Exchange
      Listing.

              	
                9

              
	
                Section
      3.12

              	
                Tax
      Matters.

              	
                9

              
	
                Section
      3.13

              	
                Title
      to Assets.

              	
                9

              
	
                Section
      3.14

              	
                Insurance.

              	
                9

              
	
                Section
      3.15

              	
                Permits.

              	
                9

              
	
                Section
      3.16

              	
                Labor
      Matters.

              	
                11

              
	
                Section
      3.17

              	
                Compliance.

              	
                11

              
	
                Section
      3.18

              	
                Transactions
      with Affiliates.

              	
                11

              
	
                Section
      3.19

              	
                Investment
      Company

              	
                11

              
	
                Section
      3.20

              	
                Corrupt
      Practices.

              	
                12

              
	
                Section
      3.21

              	
                Application
      of Takeover Protections.

              	
                12

              
	
                Section
      3.22

              	
                Securities
      Law Compliance.

              	
                13

              
	
                Section
      3.23

              	
                No
      Brokers.

              	
                13

              
	 	 	 
	
                ARTICLE
      IV REPRESENTATIONS AND WARRANTIES OF THE INVESTORS

              	
                13

              
	 	 
	
                Section
      4.1

              	
                Organization,
      Standing and Power.

              	
                13

              
	
                Section
      4.2

              	
                Authorization;
      Execution and Enforceability.

              	
                13

              
	
                Section
      4.3

              	
                No
      Conflict; Consents and Approvals.

              	
                14

              
	
                Section
      4.4

              	
                Purchase
      Entirely for Own Account.

              	
                14

              
	
                Section
      4.5

              	
                Investment
      Experience.

              	
                14

              
	
                Section
      4.6

              	
                Disclosure
      of Information.

              	
                14

              

      

       

       

       

      
        
          
          

        

        
          i

          
            

          

        

        
          
          

        

      

       

       

      
        	
                Section
      4.7

              	
                Restricted
      Securities.

              	
                15

              
	
                Section
      4.8

              	
                Legends.

              	
                15

              
	
                Section
      4.9

              	
                Accredited
      Investor.

              	
                16

              
	
                Section
      4.10

              	
                No
      Puts or Short Sales.

              	
                16

              
	
                Section
      4.11

              	
                Availability
      of Funds.

              	
                16

              
	
                Section
      4.12

              	
                No
      Brokers.

              	
                16

              
	
                Section
      4.13

              	
                Tax
      Matters.

              	
                16

              
	 	 	 
	
                ARTICLE
      V COVENANTS

              	
                16

              
	 	 
	
                Section
      5.1

              	
                Listing.

              	
                17

              
	
                Section
      5.2

              	
                Defense
      of Certain Actions.

              	
                17

              
	
                Section
      5.3

              	
                Contractual
      Consents and Governmental Approvals.

              	
                17

              
	
                Section
      5.4

              	
                Use
      of Proceeds.

              	
                18

              
	
                Section
      5.5

              	
                Restrictions
      on Transferability

              	
                18

              
	
                Section
      5.6

              	
                Current
      Public Information.

              	
                19

              
	 	 	 
	
                ARTICLE
      VI CONDITIONS

              	
                19

              
	 	 
	
                Section
      6.1

              	
                Conditions
      to the Company’s Obligations.

              	
                19

              
	
                Section
      6.2

              	
                Conditions
      to the Investors’ Obligations.

              	
                20

              
	 	 	 
	
                ARTICLE
      VII FURTHER AGREEMENTS

              	
                20

              
	 	 
	
                Section
      7.1

              	
                Public
      Announcements.

              	
                21

              
	
                Section
      7.2

              	
                Fees
      and Expenses.

              	
                21

              
	
                Section
      7.3

              	
                Independent
      Nature of Investors Obligations.

              	
                22

              
	 	 	 
	
                ARTICLE
      VIII GENERAL

              	
                22

              
	 	 
	
                Section
      8.1

              	
                Termination.

              	
                22

              
	
                Section
      8.2

              	
                Notice.

              	
                23

              
	
                Section
      8.3

              	
                Complete
      Agreement; No Third-Party Beneficiaries.

              	
                24

              
	
                Section
      8.4

              	
                Survival.

              	
                24

              
	
                Section
      8.5

              	
                Governing
      Law.

              	
                25

              
	
                Section
      8.6

              	
                No
      Assignment.

              	
                25

              
	
                Section
      8.7

              	
                Counterparts.

              	
                25

              
	
                Section
      8.8

              	
                Remedies;
      Waiver.

              	
                25

              
	
                Section
      8.9

              	
                Severability.

              	
                25

              
	
                Section
      8.10

              	
                Amendment;
      Waiver.

              	
                26

              
	
                Section
      8.11

              	
                Confidentiality.

              	
                26

              

      

    

     

     

     

    
      
        
        

      

      
        ii

        
          

        

      

      
        
        

      

    

     

     

    STOCK
PURCHASE AGREEMENT

     

    

    STOCK
PURCHASE AGREEMENT (this “Agreement”), dated as
of March 4, 2008, among BROADPOINT SECURITIES GROUP, INC. a New York
corporation (the “Company”), MAST
CREDIT OPPORTUNITIES I MASTER FUND LIMITED, a Cayman Islands corporation (the
“Mast
Investor”), MATLINPATTERSON FA ACQUISITION LLC, a Delaware limited
liability company (the “MatlinPatterson
Investor” and, together with the Mast Investor, the “Fund Investors”), and
the individuals listed as Individual Investors on the signature pages hereto
(the “Individual
Investors” and, together with the Fund Investors, the “Investors”),

     

    WITNESSETH:

     

    WHEREAS
the Company wishes to issue and sell to the Investors, and the Investors wish to
purchase from the Company, the Purchased Shares (and related Rights) (each as
defined below, upon the terms and subject to the conditions set forth
herein;

     

    NOW,
THEREFORE, in consideration of these premises and the representations,
warranties, covenants and agreements herein set forth, the parties agree as
follows:

     

    ARTICLE
I

    DEFINITIONS
AND INTERPRETATION

     

    Section
1.1        Definitions.

     

    The
capitalized terms that are defined in Exhibit A are used
herein with the meanings set forth therein.

     

    Section
1.2        Interpretation.

     

    (a)           Headings.  The
headings to the Articles, Sections and Subsections of this Agreement or any
Exhibit to this Agreement are inserted for convenience of reference only and
shall not affect the meaning or interpretation of this Agreement.

     

    (b)           Usage.  In
this Agreement, unless the context requires otherwise:  (i) the
singular number includes the plural number and vice versa; (ii) reference to any
gender includes each other gender; (iii) the Exhibits to this Agreement are
hereby incorporated into, and shall be deemed to be a part of, this Agreement;
(iv) the terms “hereunder”, “hereof”, “hereto” and words of similar import shall
be deemed references to this Agreement as a whole and not to any particular
section or other provision hereof; (v) the words “include”, “includes” and
“including” shall be deemed to be followed by the words “without limitation”;
(vi) a reference to any Article, Section, Subsection or Exhibit shall be deemed
to refer to the corresponding Article, Section, Subsection, or Exhibit of this
Agreement and (vii) a reference to any Schedule shall be deemed to refer to the
corresponding Schedule to the Company Disclosure Letter.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    ARTICLE
II

    ISSUANCE
AND SALE OF PURCHASED SHARES

     

    Section
2.1        Issuance and Sale of
Stock.

     

    Pursuant to this Agreement, the Company
is selling an aggregate of up to 11,579,592 shares of Common
Stock.  At the Closing, the Company shall issue and sell, and each
Investor shall purchase, the number of shares of Common Stock indicated opposite
such Investor’s name on Exhibit B
(collectively, the “Purchased Shares”),
together with the related Rights, all on the terms set forth herein and free and
clear of any Liens.  At the Closing, each Investor shall pay the
Company, as consideration for the Purchased Shares issued to such Investor, the
purchase price indicated opposite such Investor’s name on Exhibit B (such
Investor’s “Purchase
Price”), representing a per share purchase price of $1.70 (the “Share
Price”).  At the option of the Fund Investors, funds paid at
the Closing in satisfaction of such Fund Investor’s Purchase Price may be
adjusted for unpaid Reimbursable Expenses in accordance with Section
7.2.

    

    Section
2.2        The
Closing.

     

    (a)           The
closing of the issuance and sale of the Purchased Shares (the “Closing”) and all
related actions contemplated by this Agreement to occur at the Closing shall
take place in the offices of Sidley Austin LLP, 787 Seventh Ave., New York, New
York, at 10:00 a.m. local time, on a date to be specified by the parties, which
shall be no later than the second Business Day following the day on which the
last of the conditions set forth in Article IV (other than those conditions
required to be fulfilled at the Closing) shall have been fulfilled or waived, or
at such other time and place as the Company and the Investors may
agree.  At the Closing, the Investors and the Company shall make
certain deliveries, as specified in Sections 2.3 and 2.4, respectively, and all
such deliveries, regardless of chronological sequence, shall be deemed to occur
contemporaneously and simultaneously on the occurrence of the last delivery and
none of such deliveries shall be effective until the last of the same has
occurred.

     

    Section
2.3        Investor Deliveries at the
Closing.  At the Closing:

     

    (a)           Each
Investor shall pay to the Company an amount in same-day funds equal to such
Investor’s Purchase Price by wire transfer to a bank account designated in
writing by the Company prior to the Closing;

     

    (b)           The
MatlinPatterson Investor shall deliver to the Company a duly-executed
counterpart of the MatlinPatterson Registration Rights Amendment attached hereto
as Exhibit
E;

     

    (c)           The
Mast Investor shall deliver to the Company a duly executed counterpart of the
New Registration Rights Agreement attached hereto as Exhibit
F;

     

    (d)           The
Investors shall deliver to the Company a duly completed Accredited Investor
Questionnaire attached hereto as Exhibit
G.

     

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    (e)           The
applicable Investors shall deliver to the Company each of the other certificates
and documents listed in Part I of Exhibit C.

     

    Section
2.4        Company Deliveries at the
Closing.  At the Closing:

     

    (a)           The
Company shall deliver to each Investor a certificate or certificates (in
denominations specified by such Investor) representing the Purchased Shares to
be issued to such Investor, registered in such Investor’s name; provided, however, that upon
request of any such Investor, the Company will instruct the Company’s transfer
agent to deliver the Purchased Shares electronically by crediting such
Investor’s account, or the account of such Investor’s prime broker, with the
Depository Trust Company;

     

    (b)           The
Company shall deliver to the MatlinPatterson Investor a duly executed
counterpart of the MatlinPatterson Registration Rights Amendment;

     

    (c)           The
Company shall deliver to the Mast Investor an executed counterpart of the New
Registration Rights Agreement;

     

    (d)           The
Company shall deliver to the Investors a legal opinion, dated the Closing Date,
of Dewey & LeBoeuf LLP substantially to the effect set forth in Exhibit D;
and

     

    (e)           The
Company shall deliver to the applicable Investors each of the additional
certificates and documents listed in Part II of Exhibit C.

     

    ARTICLE
III

    REPRESENTATIONS
AND WARRANTIES OF THE COMPANY

     

    The
Company hereby represents and warrants to each Investor, except in each case as
specifically (i) set forth in a Schedule to the Company Disclosure Letter
furnished to each Investor specifically identifying the relevant Section hereof,
and (ii) with the exception of the representations and warranties in Sections
3.1, 3.2, 3.3 and 3.4, as qualified by disclosures in the Company’s SEC
Reports.  These representations and warranties, and the exceptions
referenced therein, are current as of the date of this Agreement except to the
extent that a representation or warranty is current only as of an earlier
date.  Where certain of the representations and warranties below are
specifically qualified by disclosures in the Company’s SEC Reports, such
qualification excludes any disclosure therein that constitutes a “risk factor”
or a “forward looking statement” under the heading “Forward Looking Statements”
in any such SEC Report (provided, however, that the
exclusion of any such “risk factor” or “forward looking statement” shall not
limit any of the exceptions set forth in clauses (a) through (l) in the
definition of “Company Material Adverse Effect”.

     

    Section
3.1        Organization.

     

    The Company is a corporation duly
organized, validly existing and in good standing under the laws of the State of
New York.  True and correct copies of the certificate of incorporation
and by-laws of the Company, as amended through the date hereof, have been
provided to the Investors.  The Company has all requisite corporate
power and authority to carry on the businesses in which it is engaged (and as
described in the SEC Reports) and to own or 

     

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    lease its
properties.  The Company and each of its Subsidiaries are duly
qualified to conduct business as a foreign corporation and are in good standing
under the laws of each jurisdiction in which the nature of the businesses of the
Company and its Subsidiaries or the ownership or leasing of their properties
requires such qualification, other than where the failure to be so qualified
would not reasonably be expected, individually or in the aggregate, to have a
Company Material Adverse Effect.

    

    Section
3.2        Capitalization.

     

    (a)           The
authorized capital stock of the Company consists of 100,000,000 shares of Common
Stock and 1,500,000 shares of Preferred Stock.  No shares of Preferred
Stock are currently outstanding and, other than the Company’s Series A Junior
Participating Preferred Stock referred to in the Rights Agreement, no series of
Preferred Stock has been designated or reserved for issuance.  Of the
shares of Common Stock currently authorized:  (i) 57,898,253 shares
are currently outstanding (of which 87,882 are Restricted Stock), (ii) 230,600
shares are currently held in a rabbi trust to hedge certain deferred
compensation obligations, (iii) 511,095 shares are reserved for issuance upon
the exercise of the Lender Warrants, (iv) 4,785,962 shares are reserved for
issuance upon the exercise of Employee Stock Options, (v) 7,542,050 shares are
reserved for the issuance of Restricted Stock upon the exercise of RSU Awards
that are currently outstanding, (vi) 6,533,669 additional shares are reserved
for issuance pursuant to the Employee Stock Incentive Plans in respect of future
awards under such plans, of which 4,475,000 are subject to shareholder approval,
(vii) 6,200,000 shares are reserved for issuance, subject to shareholder
approval, under the 2007 Incentive Compensation Plan in connection with the Bank
of New York transaction, and (viii) no other shares are reserved for issuance
for any purpose.

     

    (b)           Except
as set forth in Schedule 3.2(b),
there are no outstanding Convertible Securities.  Except as disclosed
on Schedule
3.2(b), the issuance of the Purchased Shares as contemplated herein will
not cause the number of shares of Common Stock issuable pursuant to any
outstanding Convertible Securities to increase as a result of any antidilution
provisions relating thereto.

     

    (c)           Except
as disclosed in Schedule 3.2(c),
there are no (i) outstanding options, warrants or other rights exercisable for
the purchase of any shares of Capital Stock or Convertible Securities (“Stock Purchase
Rights”), (ii) stock appreciation rights, performance stock awards or
other employee incentive awards the value of which is determined by reference to
the value of the Common Stock or (iii) other agreements or commitments
obligating the Company or any of its Subsidiaries to issue, sell, repurchase,
redeem or otherwise acquire any shares of Capital Stock, Convertible Securities,
Stock Purchase Rights or any securities of any Subsidiary.  Except as
set forth in Schedule
3.2(c), the issuance of the Purchased Shares as contemplated herein will
not cause the number of shares of Common Stock issuable pursuant to any
outstanding Stock Purchase Rights to increase as a result of any antidilution
provisions relating thereto.

     

    (d)           There
are no authorized or outstanding bonds, debentures, notes or other obligations
of the Company the holders of which have the right to vote with the holders of
Common Stock on any matter.  The Company does not have in effect any
dividend reinvestment plans or employee stock purchase plans.

     

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (e)           All
outstanding shares of Capital Stock (including any outstanding Restricted Stock)
have been duly authorized and validly issued and are fully-paid and
nonassessable and have been offered and issued without violation of any
preemptive rights of any Person or any applicable securities
laws.  All outstanding Stock Purchase Rights have been issued without
violation of any applicable securities laws, and all shares of Common Stock
issued upon exercise thereof will have been, upon such issuance, duly authorized
and validly issued without violation of any preemptive rights of any Person and
will be fully-paid and nonassessable.

     

    (f)           Except
as disclosed on Schedule 3.2(f),
there are no voting trusts, proxies or other agreements to which the Company or,
to the Knowledge of the Company any of its officers or directors, is a party or
by which it is bound with respect to the voting of any shares of Capital Stock
affecting the voting of any shares of Capital Stock.

     

    (g)           Except
as disclosed on Schedule 3.2(g),
there are no agreements or arrangements under which the Company or any of its
Subsidiaries is obligated to register the sale of any of their securities under
the Securities Act.

     

    Section
3.3        Authorization; Execution and
Enforceability.

     

    (a)           The
Company has all requisite corporate power and authority to execute, deliver and
perform this Agreement and the each of the other Transaction Agreements and to
consummate the Transactions.  The execution, delivery and performance
of this Agreement and each of the other Transaction Agreements and the
consummation of the Transactions has been duly authorized by the Board and the
Audit Committee and no further corporate action on the part of the Company is
required in connection therewith.

     

    (b)           This
Agreement has been duly executed and delivered by the Company and constitutes,
and, upon execution and delivery thereof as contemplated herein, each of the
other Transaction Agreements will have been duly executed and delivered by the
Company and will constitute, a legal, valid and binding obligation of the
Company enforceable against it in accordance with its terms.

     

    Section
3.4        Validity of Purchased
Shares.

     

    Upon issuance to each Investor as
contemplated herein, the Purchased Shares (including the attached Rights)
issuable to such Investor hereunder will have been duly authorized and validly
issued without violation of the preemptive rights of any Person and will be
fully-paid and nonassessable, free and clear of any Liens, taxes or
charges.

     

    Section
3.5        No Conflicts; Consents and
Approvals.

     

    (a)           Neither
the execution, delivery or performance of this Agreement or any of the other
Transaction Agreements by the Company nor the consummation of any of the
Transactions will (a) conflict with or violate any provision of the certificate
of incorporation or by-laws of the Company or any Organizational Document of any
of the Subsidiaries; (b) result in a breach of, constitute (with or without due
notice or lapse of time or both) a default under, result in the acceleration of,
create in any party any right to accelerate, terminate, modify or cancel, or

     

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    require
any notice, consent or waiver under, any material Contractual Obligation or any
Requirement of Law material to the operation of the Company or any of the
Subsidiaries or any of their respective properties and assets; (c) result in the
imposition of any Lien upon any material properties or assets of the Company or
any of the Subsidiaries, which Lien would materially detract from the value or
materially interfere with the use of such properties or assets, (d) result in
the Company or any Subsidiary being required to redeem, repurchase or otherwise
acquire any outstanding equity or debt interests, securities or obligations in
the Company or any of the Subsidiaries or any options or other rights
exercisable for any of same or (e) cause the accelerated vesting of any Employee
Stock Options, Restricted Stock Awards or RSU Awards.

     

    (b)           Except
as set forth in Schedule 3.5(b),
neither the Company nor any of the Subsidiaries is required to obtain any
consent, authorization or approval of, or make any filing, notification or
registration with, any Governmental Authority or any self regulatory
organization in order for the Company to execute, deliver and perform this
Agreement and each of the other Transaction Agreements and to consummate the
Transactions (“Company
Approvals”).

     

    (c)           No
Contractual Consents are required to be obtained under any Contractual
Obligation applicable to the Company or any Subsidiary or, to the Knowledge of
the Company, any Associated Person thereof in connection with the execution,
delivery or performance of this Agreement or the Registration Rights Agreement
or the consummation of any of the Transactions which if not obtained would
reasonably be expected, individually or in the aggregate to have a Company
Material Adverse Effect (“Company Contractual
Consents”).

     

    Section
3.6        SEC Reports; Financial
Statements.

     

    (a)           Except
as set forth in Schedule 3.6(a), the
Company has timely filed all reports, schedules, forms, statements and other
documents required to be filed by it since December 31, 2006 with the SEC
pursuant to the reporting requirements of the Exchange Act (all the foregoing
filed prior to the date hereof and all exhibits included or incorporated by
reference therein and financial statements and schedules thereto and documents
included or incorporated by reference therein being sometimes hereinafter
collectively referred to as the “SEC
Reports”).  As of their respective dates, the SEC Reports
complied in all material respects with the requirements of the Exchange Act
applicable to the SEC Reports, and none of the SEC Reports, at the time they
were filed with the SEC, contained any untrue statement of a material fact or
omitted to state a material fact required to be stated therein or necessary in
order to make the statements therein, in light of the circumstances under which
they were made, not misleading.

     

    (b)           As
of their respective dates, except as set forth therein or in the notes thereto,
the financial statements contained in the SEC Reports and the related notes (the
“Financial
Statements”) complied as to form in all material respects with all
applicable accounting requirements and the published rules and regulations of
the SEC with respect thereto.  The Financial Statements: (i) were
prepared in accordance with accounting principles generally accepted in the
United States (“GAAP”), consistently
applied during the periods involved (except (i) as may be otherwise indicated in
the notes thereto or (ii) in the case of unaudited interim statements, to the
extent that they may not include footnotes, may be condensed or summary
statements or may conform to the SEC’s rules and instructions for Reports on
Form 

     

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    10-Q),
(ii) fairly present in all material respects the consolidated financial position
of the Company and its consolidated subsidiaries as of the dates thereof and the
consolidated results of their operations and cash flows for the periods then
ended (subject, in the case of unaudited statements, to normal and recurring
year-end audit adjustments) and (iii) are in all material respects in accordance
with the books of account and records of the Company and its consolidated
subsidiaries (except as may be otherwise noted therein).

     

    Section
3.7        Sarbanes-Oxley; Disclosure
and Internal Controls.

     

    Except as
disclosed on Schedule
3.7:

     

    (a)           The
Company is in compliance in all material respects with all of the provisions of
the Sarbanes-Oxley Act of 2002 (“Sarbanes-Oxley”) that
are applicable to it or any of the Subsidiaries.

     

    (b)           The
Company has established and maintains disclosure controls and procedures as
defined in Rule 13a-15 under the Exchange Act.  Such disclosure
controls and procedures are designed to ensure that material information
relating to the Company and the Subsidiaries is made known to the Company’s
principal executive officer and its principal financial officer by others within
those entities, particularly during the periods in which the periodic reports
required to be filed under the Exchange Act are being prepared.  Such
disclosure controls and procedures are effective in all material respects to
timely alert the Company’s principal executive officer and principal financial
officer to material information required to be included in the Company’s reports
required to be filed under Exchange Act.

     

    (c)           The
Company and its consolidated subsidiaries have established and maintained a
system of internal control over financial reporting (within the meaning of Rule
13a-15 under the Exchange Act) (“internal controls”).  Such internal
controls are sufficient to provide reasonable assurance regarding the
reliability of the Company’s financial reporting and the preparation of the
Company’s financial statements for external purposes in accordance with
GAAP.  The Company’s certifying officers have evaluated the
effectiveness of the Company’s internal controls as of the end of the period
covered by the most recently filed quarterly or annual periodic report under the
Exchange Act (the “Evaluation
Date”).  The Company presented in its most recently filed
quarterly or annual periodic report under the Exchange Act the conclusions of
the certifying officers about the effectiveness of the internal controls and
procedures based on their evaluations as of the Evaluation
Date.  Since the Evaluation Date, there have been no significant
changes in the Company’s internal controls over financial reporting (as defined
in Item 307(b) of Regulation S-K under the Exchange Act) or, to the Knowledge of
the Company, in other factors that could significantly affect such internal
controls.

     

    Section
3.8        Absence of Certain
Changes.

     

    Since December 31, 2006, (a) there has
not been any Company Material Adverse Effect or any changes, events or
developments that would reasonably be expected, individually or in the
aggregate, to have a Company Material Adverse Effect, and (b) the Company and
the Subsidiaries have conducted their respective businesses only in the ordinary
course and in conformity with past practice.

     

     

    
      
        
        

      

      
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    Section
3.9        Litigation.

     

    Except as disclosed on Schedule 3.9, there
is no Action or Proceeding to which the Company or any of the Subsidiaries is a
party (either as a plaintiff or defendant) pending or, to the Knowledge of the
Company, threatened before any Governmental Authority, FINRA or self-regulatory
organization (i) that challenges the validity or propriety of any of the
Transactions or (ii) if determined adversely to the Company or any Subsidiary
would reasonably be expected, individually or in the aggregate, to have a
Company Material Adverse Effect.  Except as would not reasonably be
expected, individually or in the aggregate, to have a Company Material Adverse
Effect, neither the Company nor any of the Subsidiaries, nor, to the Knowledge
of the Company, any of their respective officers, directors, employees or
Associated Persons, is or has been the subject of any Action or Proceeding
involving a claim of violation or liability under federal, state or foreign
securities or insurance laws or the rules, by-laws, or constitution of FINRA or
any self-regulatory organization, or a claim of breach of fiduciary duty
relating to the Company or any of the Subsidiaries or has been permanently or
temporarily enjoined by any order, judgment or decree of any Governmental
Authority, FINRA or self-regulatory organization from engaging in or continuing
to conduct any of the businesses of the Company or any
Subsidiary.  Except as would not reasonably be expected, individually
or in the aggregate, to have a Company Material Adverse Effect, there has not
been, and to the Knowledge of the Company, there is not pending or contemplated,
any investigation by any Governmental Authority, FINRA or self-regulatory
organization involving the Company or any of the Subsidiaries or any officer,
director, employee or Associated Person thereof.  The Company has not
received a stop order or other order suspending the effectiveness of any
registration statement filed by the Company under the Exchange Act or the
Securities Act and, to the Knowledge of the Company, the SEC has not issued any
such order. No
order, judgment or decree of any Governmental Authority, FINRA or
self-regulatory organization has been issued in any Action or Proceeding to
which the Company or any of the Subsidiaries is or was a party or, to the
Knowledge of the Company, in any other Action or Proceeding except as would not
reasonably be expected, individually or in the aggregate, to have a Company
Material Adverse Effect.

    

    Section
3.10      Intellectual Property
Rights.

     

    Except as would not reasonably be
expected, individually or in the aggregate, to have a Company Material Adverse
Effect, the Company and the Subsidiaries own or possess, or will be able to
obtain on reasonable terms, licenses or sufficient rights to use all patents,
patent applications, patent rights, inventions, know-how, trade secrets,
trademarks, trademark applications, service marks, service names, trade names
and copyrights necessary to enable them to conduct their businesses as currently
conducted (“Intellectual
Property”).  Neither the Company nor any of the Subsidiaries
has infringed the intellectual property rights of third parties, and no third
party, to the Knowledge of the Company, is infringing the Intellectual Property,
in each case, where such infringement would reasonably be expected, individually
or in the aggregate, to result in a Company Material Adverse
Effect.  There is no material claim or proceeding pending or, to the
Knowledge of the Company, threatened that challenges the right of the Company or
any of the Subsidiaries with respect to any of the Intellectual
Property.

     

     

    
      
        
        

      

      
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    Section
3.11      Exchange
Listing.

     

    The Common Stock is listed on the
NASDAQ Global Market and, to the Knowledge of the Company, there are no
proceedings to revoke or suspend such listing.  The Company is in
compliance with the requirements of the NASDAQ Global Market for continued
listing of the Common Stock thereon and any other NASDAQ Global Market listing
and maintenance requirements.  Trading in the Common Stock has not
been suspended by the SEC or the NASDAQ Global Market.  The
transactions contemplated by this Agreement and the Transaction Documents will
not require shareholder approval under NASDAQ Marketplace Rule
4350.

    

    Section
3.12      Tax
Matters.

     

    The Company and the Subsidiaries have
made or filed all federal, state and foreign income and all other Tax Returns
required by any jurisdiction to which they are subject (unless and only to the
extent that the Company or any of the Subsidiaries has set aside on its books
provisions reasonably adequate for the payment of all unpaid and unreported
Taxes) and have paid all Taxes that are material in amount, shown or determined
to be due on such Tax Returns, except those being contested in good faith and
have set aside on their books provisions reasonably adequate for the payment of
all taxes for periods subsequent to the periods to which such returns, reports
or declarations apply.  To the Knowledge of the Company there are no
unpaid Taxes in any material amount claimed to be due by any Taxing Authority,
and to the Knowledge of the Company there is no basis for any such
claim.  Neither the Company nor any Subsidiary has executed a waiver
with respect to the statute of limitations relating to the assessment or
collection of any Tax.  None of the Company's, or any of the
Subsidiaries’, Tax Returns is presently being audited by any Taxing
Authority.

    

    Section
3.13      Title to Assets.

     

    The
Company and the Subsidiaries have good and marketable title in and to all
property owned by them and that is material to their businesses, free and clear
of all Liens, except for Liens as do not materially affect the value of such
property and do not materially interfere with the use made and proposed to be
made of such property by them. Any property and facilities held under lease by
the Company and the Subsidiaries are held under valid, subsisting and
enforceable leases concerning which the Company and the Subsidiaries are in
material compliance.

     

    Section
3.14      Insurance.

     

    The Company and the Subsidiaries
maintain 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 the Subsidiaries, and the Company reasonably
believes such insurance coverage provides reasonable, prudent and customary
coverage against all liabilities, claims and risks against which it is customary
for comparably situated companies to insure.

    

    Section
3.15      Permits.

     

     

    
      
        
        

      

      
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    (a)           The
Company and its Subsidiaries and, to the Knowledge of the Company, their
respective officers, directors, employees, and Associated Persons hold all
licenses, permits, certificates, franchises, ordinances, registrations,
qualifications, or other rights, privileges, applications and authorizations
filed with, granted or issued by, or entered by any Governmental Authority,
FINRA or self-regulatory organization that are required for the conduct of the
businesses of the Company and the Subsidiaries as currently being conducted,
each as amended through the date hereof (collectively, the "Company Permits"),
other than such licenses, permits, certificates, franchises, ordinances,
registrations, qualifications, or other rights, privileges, applications and
authorizations the absence of which would not reasonably be expected,
individually or in the aggregate to have a Company Material Adverse
Effect.

     

    (b)           The
Company Permits are in full force and effect and have not been pledged or
otherwise encumbered, assigned, suspended, modified, conditioned, or restricted
in any material respect, canceled or revoked, and the Company and each of the
Subsidiaries, and, to the Knowledge of the Company, each of their respective
officers, directors, employees and Associated Persons thereof, have operated,
and are operating, in compliance with all terms thereof or any renewals thereof
applicable to them, and with all Requirements of Law which apply to the conduct
of the business thereof, and are in good standing in respect of all such Company
Permits, other than in any case where the failure to so comply or operate or to
be in good standing would not reasonably be expected, individually or in the
aggregate, to have a Company Material Adverse Effect.  To the
Knowledge of the Company, no event has occurred, or notice received, with
respect to any of the Company Permits which allows or results in, or after
notice or lapse of time or both would result in, revocation, suspension, or
termination, modification, or the imposition of any condition or restriction,
thereof or would result in any other material impairment of the rights of the
holder of any such Company Permit other than as would not be reasonably
expected, individually or in the aggregate, to have a Company Material Adverse
Effect.

     

    (c)           Except
as disclosed on Schedule 3.15(c), to
the Knowledge of the Company, no Governmental Authority, FINRA or
self-regulatory organization has initiated any proceeding, investigation, or
examination into the business or operations of the Company or any Subsidiary, or
any officer, director, employee or Associated Persons thereof, or has instituted
any proceeding seeking to revoke, cancel or limit any Company Permit, and
neither the Company or any Subsidiary, nor any officer, director, employee or
Associated Person thereof has received any notice of any unresolved material
violation or exception by any Governmental Authority, FINRA or self-regulatory
organization with respect to any report or statement relating to any examination
of the Company or any Subsidiary, except in any case as would not reasonably be
expected, individually or in the aggregate, to have a Company Material Adverse
Effect.  Without limiting the generality of the foregoing, neither the
Company nor any Subsidiary nor, to the Knowledge of the Company, any of their
respective officers, directors, employees, or Associated Persons or persons
performing similar duties has been enjoined, indicted, convicted or made the
subject of a disciplinary proceeding, censure, consent decree, cease and desist
or administrative order on account of any violation of the Exchange Act, the
Commodity Exchange Act, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, state securities law or applicable foreign law or
regulation.

     

     

    
      
        
        

      

      
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    (d)           Except
as disclosed on Schedule 3.15(d),
neither the Company or any Subsidiary, nor, to the Knowledge of the Company, any
officer, director, employee or Associated Person thereof is a party or subject
to any agreement, consent, decree or order or other understanding or arrangement
with, or any directive of any Government Authority, FINRA or self-regulatory
organization which imposes any material restrictions on or otherwise affects in
any material way the conduct of any of the business of the Company and its
Subsidiaries.

    

    Section
3.16      Labor
Matters.

     

    There are no collective bargaining
agreements to which the Company or any of the Subsidiaries is a
party.  Except as would not be reasonably expected, individually or in
the aggregate, to have a Company Material Adverse Effect, the Company and each
Subsidiary are in compliance with all Requirements of Law respecting employment
and employment practices, terms and conditions of employment and wages and
hours.

    

    Section
3.17      Compliance.

     

    The Company and the Subsidiaries are
not: (i) in violation of any of their respective Organizational Documents, (ii)
in default under or in violation of (and, to the Knowledge of the Company, no
event has occurred that has not been waived that, with notice or lapse of time
or both, would result in a default by the Company or the Subsidiaries under),
nor has the Company or the Subsidiaries received notice of a claim that it is in
default under or that it is in violation of, any Company Contract to which it is
a party or by which it or any of its properties is bound (whether or not such
default or violation has been waived), (iii) in violation of any order of any
court, arbitrator or Governmental Authority, or (iv) in violation of any
applicable Requirement of Law, and with respect to clauses (ii), (iii) or (iv)
above, other than where such violation or default would not reasonably be
expected, individually or in the aggregate, to have a Company Material Adverse
Effect.  The Company and each of  its Subsidiaries and the
conduct and operation of their respective businesses is and has been in material
compliance with each Requirement of Law that (a) affects or relates to this
Agreement or any of the other Transaction Agreements or any of the Transactions
or (b) is applicable to the Company or its Subsidiaries or their respective
businesses, other than where the failure to be or to have been in compliance
would not reasonably be expected, individually or in the aggregate, to have a
Company Material Adverse Effect.

    

    Section
3.18      Transactions with
Affiliates.

     

    Except as disclosed on Schedule 3.18, and
other than the Transactions, no transactions, or series of related transactions,
are currently proposed to which the Company or any of the Subsidiaries would be
a party that would be required to be disclosed under Item 404 of Regulation S-K
promulgated under the Securities Act.

    

    Section
3.19      Investment
Company

     

     

    
      
        
        

      

      
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    The Company is not, and after giving
effect to the Transactions will not be, an “investment company” as such term is
defined in the Investment Company Act of 1940, as amended.

     

    Section
3.20      Corrupt
Practices.

     

    Neither the Company nor any
Subsidiary, nor to the Knowledge of the Company any director, officer, employee,
agent or other Person acting on behalf of the Company or any Subsidiary has, in
the course of his or its actions for, or on behalf of the Company or any of the
Subsidiaries (i) used any corporate funds for any unlawful contribution gift,
entertainment or other unlawful expense relating to political activity; (ii)
made any direct or indirect unlawful payment to any foreign or domestic
government official or employees from corporate funds; (iii) violated or is in
violation of in any material respect any provision of the U.S. Foreign Corrupt
Practices Act of 1977, as amended, or (iv) made any unlawful bribe, rebate,
payoff, influence payment, kickback or other unlawful payment to any foreign or
domestic government official or employee.

     

    Section
3.21      Application of Takeover
Protections.

     

    (a)           The
Board has taken all action necessary pursuant to Section 912 of the NYBCL prior
to the date hereof to approve for purposes of Section 912 the purchase of the
Purchased Shares by the Investors.  Other than Section 912 of the
NYBCL, no state or foreign takeover or similar statute or regulation in any
jurisdiction in which the Company does business applies or purports to apply to
this Agreement or any of the Transactions.

     

    (b)           The
Company has taken all actions necessary under the Rights Agreement to cause the
Rights Agreement to be rendered inapplicable to this Agreement and the
Transactions for the Investors to be deemed not to be “Acquiring Persons” (as
defined in the Rights Agreement).

     

     

    
      
        
        

      

      
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    Section
3.22      Securities Law
Compliance.

     

    Assuming the accuracy of the Investors’
representations and warranties contained in Article IV, the offer, sale and
issuance of the Purchased Shares hereunder is in compliance with Section 4(2) of
the Securities Act and is exempt from the registration and prospectus delivery
requirements of the Securities Act and all applicable state securities
laws.  Neither the Company nor any agent of the Company has offered
the Purchased Shares by any form of general solicitation or general advertising,
including any advertisement, article, notice or other communication published in
any newspaper, magazine or similar media or broadcast over television or radio
or any seminar or meeting whose attendees have been invited by any general
solicitation or general advertising.  Except as stated in this
Agreement and to the Knowledge of the Company, the Company has not taken, nor
will it take, directly or indirectly, any action designed to or that might
reasonably be expected to cause or result in stabilization or manipulation of
the price of the Common Stock to facilitate the sale or resale of the Purchased
Shares.  The Company agrees not to sell, offer for sale or solicit
offers to buy or otherwise negotiate in respect of any security (as defined in
the Securities Act) that would be integrated with the sale of the Purchased
Shares in a manner that would require the registration under the Securities Act
of the offer or sale to any of the Investors of the Shares.

    

    Section
3.23      No
Brokers.

     

    No broker, investment banker or other
Person is entitled to any broker’s, finder’s or other similar fee or commission
in connection with the execution and delivery of this Agreement or any of the
other Transaction Agreements or the consummation of any of the Transactions
based upon arrangements made by or on behalf of the Company, and the Company
shall indemnify and hold the Investors harmless against any claim for any such
fee or commission based on any such arrangements.

    

    ARTICLE
IV

    REPRESENTATIONS
AND WARRANTIES OF THE INVESTORS

     

    Each
Investor hereby represents and warrants to the Company severally and not jointly
as follows:

     

    Section
4.1        Organization, Standing and
Power.

     

    Such Investor (if a Business Entity) is
duly organized, validly existing and in good standing under the laws of the
jurisdiction of its formation.  Such Investor has the necessary power
and authority to execute, deliver and perform this Agreement and each of the
other Transaction Agreements to which it is a party.

    

    Section
4.2        Authorization; Execution and
Enforceability.

     

    The execution, delivery and performance
by such Investor (if a Business Entity) of this Agreement and each of the other
Transaction Agreements to which it is a party have been duly and validly
authorized by all necessary Business Entity action on its part.  This
Agreement has been duly executed and delivered by such Investor and each other
Transaction Agreement to 

     

     

    
      
        
        

      

      
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    which it
is a party, when executed and delivered as contemplated herein, will have been
duly executed and delivered by it, and this Agreement constitutes, and each such
other Transaction Agreement upon execution and delivery thereof by such Investor
will constitute, the legal, valid and binding obligations of such Investor,
enforceable against it in accordance with their respective terms.

    

    Section
4.3        No Conflict; Consents and
Approvals.

     

    (a)           Neither
the execution, delivery or performance by such Investor of this Agreement or any
other Transaction Agreement to which such Investor is a party nor the
consummation of any of the Transactions will (i) conflict with or violate any
provision of any Organizational Document of such Investor (if a Business Entity)
or (ii) result in a breach of, constitute (with or without due notice or lapse
of time or both) a default under, result in the acceleration of, create in any
party any right to accelerate, terminate, modify or cancel, or require any
notice, consent or waiver under, any Contractual Obligation or any Requirement
of Law applicable to such Investor or any of its properties or assets other than
a breach, default, acceleration, right, notice, consent or waiver that is not
material.

     

    (b)           Such
Investor is not required to obtain any consent, authorization or approval of, or
make any filing or registration with, any Governmental Authority or any self
regulatory organization in order for such Investor to execute, deliver and
perform this Agreement and the other Transaction Agreements to which it is a
party and to consummate the Transactions (“Investors
Approvals”).

     

    (c)           No
material Contractual Consents are required to be obtained under any Contractual
Obligation applicable to such Investor in connection with the execution,
delivery or performance of this Agreement or any of the other Transaction
Agreements to which it is a party or the consummation of any of the
Transactions.

     

    Section
4.4        Purchase Entirely for Own
Account.

     

    The
Purchased Shares to be acquired by such Investor hereunder will be acquired for
the Investor’s own account, not as nominee or agent, and not with a view to the
resale or distribution of any part thereof in violation of the Securities Act,
and such Investor has no present intention of selling, granting any
participation in, or otherwise distributing the same in violation of the
Securities Act.  Such Investor does not have any agreement or
understanding, whether or not legally binding, direct or indirect, with any
other Person to sell or otherwise distribute the Purchased Shares to be issued
to it hereunder.

     

    Section
4.5        Investment
Experience.

     

    Such Investor acknowledges that it can
bear the economic risk and complete loss of its investment in the Purchased
Shares to be purchased by it and has such knowledge and experience in financial
or business matters that it is capable of evaluating the merits and risks of the
investment contemplated hereby.  Such Investor understands that the
purchase of the Purchased Shares involves substantial risk.

    

    Section
4.6        Disclosure of
Information.

     

     

    
      
        
        

      

      
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    Such Investor has, in connection with
its decision to purchase the Purchased Shares to be issued to it, has had access
to the SEC Reports and the representations and warranties of the Company
contained herein.  Such Investor is not purchasing the Purchased
Shares as a result of any advertisement, article, notice or other communication
regarding the Purchased Shares published in any newspaper, magazine or similar
media or broadcast over television or radio or presented at any seminar or any
other general solicitation or general advertisement.  In making its
decision to invest in the Purchased Shares, such Investor has relied upon the
independent investigations made by such Investor and by such Investor’s own
professional advisors.  Such Investor and its advisors, if any, have
been given the opportunity to obtain information and to examine this Agreement
and certain other information regarding the Company and to ask questions of, and
to receive answers from the Company or Persons acting on the Company's behalf
concerning the Purchased Shares, the Company, and terms and conditions of this
investment, and to obtain any additional information to verify the accuracy of
any information previously furnished.  All such questions have been
answered to such Investor’s full satisfaction.  Such Investor or any
person acting on its behalf has not received from the Company any information
that may constitute material, non-public information, the confidentiality and
use of which is not covered by an Investor Confidentiality Agreement to which
such Investor is a party.  The right of each Investor to rely fully
upon the representations and warranties of the Company contained in this
Agreement shall not limited by this Section 4.6 or any right of the Investors to
investigate the affairs of the Company or any knowledge of facts determined or
determinable by the Investors pursuant to such investigation or right of
investigation.

    

    Section
4.7        Restricted
Securities.

     

    Such Investor understands that the
Purchased Shares will be characterized as “restricted securities” under the
United States federal securities laws inasmuch as they are being acquired from
the Company in a transaction not involving a public offering and that under such
laws and applicable regulations such securities may be resold without
registration under the Securities Act only in certain limited
circumstances.  Such Investor understands that no United States
federal or state agency or any other government or governmental agency has
passed on or made any recommendation or endorsement of the Purchased Shares or
the fairness or suitability of the investment in the Purchased
Shares.

     

    Section
4.8        Legends.

     

    Such Investor understands that, except
as provided below and until such time as the resale of the Purchased Shares has
been registered under the Securities Act, certificates evidencing the Purchased
Shares shall bear the following legends:

     

    (a)           “THE
SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS AND MAY
NOT BE SOLD, TRANSFERRED, ASSIGNED, PLEDGED, OFFERED FOR SALE, OR OTHERWISE
DISPOSED OF IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT
AND APPLICABLE STATE SECURITIES LAWS OR AN OPINION FROM COUNSEL IN A FORM
ACCEPTABLE TO THE COMPANY AND ITS LEGAL COUNSEL STATING THAT SUCH REGISTRATION
IS NOT REQUIRED.”

     

     

    
      
        
        

      

      
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    (b)           If
required by the authorities of any state in connection with the issuance or sale
of the Purchased Shares, the legend required by such state
authority.

     

    Section
4.9        Accredited
Investor.

     

    Such
Investor is an “accredited investor” as defined in Rule 501(a) of Regulation D,
as amended, under the Securities Act.  Such Investor’s principal place
of business is located in the jurisdiction set forth opposite the name of such
Investor on Exhibit
B.

     

    Section
4.10      No Puts or Short
Sales.

     

    During the period of time beginning
ninety (90) days prior to the date of this Agreement and ending upon the Closing
Date, such Investor and its Affiliates have not entered, and will not enter,
into any "put equivalent position" as such term is defined in Rule 16a-1 under
the Exchange Act or short sale positions with respect to the Common Stock of the
Company.

     

    Section
4.11      Availability of
Funds.

     

    Such Investor has sufficient funds on
hand or currently drawable under applicable credit facilities or financing
commitments to pay the Purchase Price for the Purchased Shares to be issued to
it on the Closing Date.

    

    Section
4.12      No
Brokers.

     

    Except as heretofore been disclosed to
the Company by the Investor no broker, investment banker or other Person is
entitled to any broker’s, finder’s or other similar fee or commission in
connection with the execution an delivery of this Agreement or any of the other
Transaction Agreements or the consummation of any of the Transactions based upon
arrangements made by or on behalf of such Investor, and such Investor shall
indemnify and hold the Company harmless against any claim for any such fee or
commission based on any such arrangements.

    

    Section
4.13      Tax
Matters.

     

    With respect to tax considerations
involved in this investment, other than the representations and warranties of
the Company set forth in Section 3.12, such Investor is not relying on the
Company (or any agent or representative of the Company).  Such
Investor has carefully considered and has, to the extent the Investor believes
such discussion necessary, discussed with the Investor's tax advisers the
suitability of an investment in the Purchased Shares for the Investor's
particular tax situation.

     

    

     

    ARTICLE
V

    COVENANTS

     

     

    
      
        
        

      

      
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    Section
5.1        Listing.

     

    The Company shall use its reasonable
best efforts to maintain the Common Stock’s authorization for quotation on the
NASDAQ Global Market and to cause the Purchased Shares to be approved for
listing thereon on or prior to the Closing Date to the extent permitted under
the rules of the NASDSAQ Global Market.  Neither the Company nor any
of the Subsidiaries shall take any action which would be reasonably expected to
result in the delisting or suspension of the Common Stock on the NASDAQ Global
Market and shall take all action reasonably necessary to maintain the listing of
the Common Stock on the NASDAQ Global Market, including without limitation,
exhausting all available remedies, appeal reviews and other similar mechanisms
and procedures provided for under the rules and regulations of the NASDAQ Global
Market to permit the continued listing of the Common Stock on the NASDAQ Global
Market.  The Company shall pay all fees and expenses in connection
with satisfying its obligations under this Section 5.1.

    

    Section
5.2        Defense of Certain
Actions.

     

    (a)           The
Company and the Investors shall each refrain from taking any action which would
render any representation or warranty contained in Article III or IV inaccurate
in any material respect as of the Closing Date.  Each party shall
promptly notify the other of (i) any event or matter that would reasonably be
expected to cause any of its representations or warranties to be untrue in any
material respect or (ii) any action, suit or proceeding that shall be instituted
or threatened against such party to restrain, prohibit or otherwise challenge
the legality of any of the Transactions.

     

    (b)           The
Company and the Investors shall each use their respective reasonable best
efforts to cause each of the conditions precedent set forth in Article VI to be
satisfied as soon as practicable after the date hereof.

     

    (c)           The
Company and the Investors shall cooperate fully with each other and assist each
other in defending any lawsuits or other legal proceedings, whether judicial or
administrative, brought against either party challenging this Agreement or any
of the other Transaction Agreements or the consummation of the Transactions,
including seeking to have any stay or temporary restraining order entered by any
court or other Governmental Authority vacated or reversed.

     

     

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

     

    Section
5.3        Contractual Consents and
Governmental Approvals.

     

    (a)           The
Company will act diligently and reasonably in attempting to obtain before the
Closing Date, and the Investors shall reasonably cooperate with the Company in
such efforts, any Company Contractual Consents in form and substance reasonably
satisfactory to the Investors, including, without limitation, the Mast Investor,
provided that
neither the Company nor the Investors shall have any obligation to offer or pay
any consideration in order to obtain any such Company Contractual Consents; and
provided, further, that the
Company shall not make any agreement or understanding affecting the Company or
any of the Subsidiaries, or any of their respective businesses, as a condition
for obtaining any such Company Contractual Consents except with the prior
written consent of the Investors, including, without limitation, the Mast
Investor.

     

    (b)           Between
the date hereof and the Closing Date, the Company and the Investors shall act
diligently and reasonably, and shall cooperate with each other, in making any
required filing, registration or notification with, and in attempting to obtain
any consent, authorization or approval required from, any Governmental
Authority, FINRA, any self regulatory organization, and stock exchange of which
the Company or any Subsidiary is a member in connection with the Transactions or
to otherwise satisfy the conditions set forth in Article VI; provided that the
Company shall not make any agreement or understanding affecting the Company or
any of the Subsidiaries, or any of their respective businesses, as a condition
for obtaining any such consents or waivers except with the prior written consent
of the Investors; provided, further that neither
the Company nor the Investors shall be obligated to (A) execute settlements,
undertakings, consent decrees, stipulations or other agreements, (B) sell,
divest, hold separate or otherwise convey any particular assets or categories of
assets or businesses of the Company or the Investors or (C) otherwise take or
commit to take actions that after the Closing Date would limit the freedom of
action of the Investors or the Company or its Subsidiaries with respect to, or
its or their ability to retain, one or more of its or their businesses, product
lines or assets, in each case as may be required in order to avoid the entry of,
or to effect the dissolution of, any injunction, temporary restraining order or
other order in any suit or proceeding which would otherwise have the effect of
preventing or materially delaying the Closing

     

    Section
5.4        Use of
Proceeds.

     

    The net proceeds received by the
Company from the issuance of the Purchased Shares shall be used to increase the
regulatory capital of the Company’s broker-dealer Subsidiaries and for other
corporate purposes.

     

    Section
5.5        Restrictions on
Transferability

     

    Each Investor agrees that it shall
not make any sale of the Purchased Shares except in accordance with this
Agreement.  Each Investor acknowledges and agrees that the Purchased
Shares are not transferable on the books of the Company unless (a) such
Purchased Shares are sold pursuant to (i) a Registration Statement, (ii) Rule
144 under the Securities Act (“Rule 144”) or (iii) an exemption from
registration other than Rule 144 and (b) a certificate is submitted to the
Company’s transfer agent evidencing the Purchased Shares and accompanied by a
separate officer’s certificate: (i) executed by an officer of, or other
authorized person designated by, such Investor; and (ii) to the effect that the
Purchased Shares have been sold pursuant to (A) a Registration Statement, in
which case such Investor certifies that the requirement of delivering a current
prospectus has been complied with or will be complied with 

     

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

     

     

    in
connection with the sale, (B) Rule 144, in which case such Investor certifies
that it has complied with or will
comply with the requirements of Rule 144 or (C) pursuant to an exemption from
registration other than Rule 144, and in the case of (B) and (C) such Investor
must also provide the Company with an opinion of counsel, reasonably acceptable
to the Company, to the effect that the transaction is so exempt.  Each
Investor hereby covenants with the Company not to make any sale of the Purchased
Shares pursuant to a Registration Statement without effectively causing the
prospectus delivery requirements under the Securities Act (to the extent
applicable) to be satisfied.

     

    Section
5.6        Current Public
Information.

     

    At all
times between the date of this Agreement and the first anniversary of the
Closing, so long as any of the Investors own any of the Purchased Shares, the
Company shall satisfy the current public information requirement of Rule 144(c)
of the Securities Act, and shall not terminate its status as an issuer required
to file reports under the Exchange Act.

     

    ARTICLE
VI

    CONDITIONS

     

    Section
6.1        Conditions to the Company’s
Obligations.

     

    The obligation of the Company to
consummate the Transactions shall be subject to the fulfillment (or waiver by
the Company) at or prior to the Closing of each of the following
conditions:

    

    (a)           No
Order.  No court or other Governmental Authority having
jurisdiction over the Company or any of the Subsidiaries or the Investors shall
have instituted, enacted, issued, promulgated, enforced or entered any
Requirement of Law (whether temporary, preliminary or permanent) that is then in
effect and that (i) has the effect of making illegal or otherwise prohibiting or
invalidating consummation of any of the Transactions or any provision of this
Agreement or any of the other Transaction Agreements or (ii) seeks to restrain,
prohibit or invalidate the consummation of any of the Transactions or to
invalidate any provision of this Agreement or any of the other Transaction
Agreements.

     

    (b)           Governmental
Approvals.  Each Company Approval and Investor Approval, if
any, shall have been obtained or made and shall be in full force and effect to
the extent that the failure to obtain or make such Company Approval or Investor
Approval (i) has the effect of making illegal or otherwise prohibiting or
invalidating consummation of any of the Transactions or any provision of this
Agreement or any of the other Transaction Agreements or (ii) could reasonably be
expected, individually or in the aggregate, to have a Company Material Adverse
Effect.

     

    (c)           Performance of
Obligations.  The Investors shall have performed in all
material respects each of their respective covenants and agreements contained in
this Agreement required to be performed at or prior to the Closing.

     

     

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

     

    (d)           Representations and
Warranties.  Each of the representations and warranties of the
Investors contained in this Agreement that is qualified as to materiality shall
be true and correct on and as of the Closing Date as if made on and as of such
date (other than representations and warranties which address matters only as of
a certain date, which shall be true and correct as of such certain date) and
each of the representations and warranties of the Investors that is not so
qualified shall be true and correct in all material respects on and as of the
Closing Date as if made on and as of such date (other than representations and
warranties which address matters only as of a certain date, which shall be true
and correct in all material respects as of such certain date).

     

    Section
6.2        Conditions to the Investors’
Obligations.

     

    The obligation of each Investor to
consummate the Transactions shall be subject to the fulfillment (or waiver by
such Investor) at or prior to the Closing of each of the following
conditions:

    

    (a)           No
Order.  No court or other Governmental Authority having
jurisdiction over the Company or any of the Subsidiaries or the Investors shall
have instituted, enacted, issued, promulgated, enforced or entered any
Requirement of Law (whether temporary, preliminary or permanent) that is then in
effect and that (i) has the effect of making illegal or otherwise prohibiting or
invalidating consummation of any of the Transactions or any provision of this
Agreement or any of the other Transaction Agreements or result or would result
in a Company Material Adverse Effect or (ii) seeks to restrain, prohibit or
invalidate the consummation of any of the Transactions or to invalidate any
provision of this Agreement or any of the other Transaction
Agreements.

     

    (b)           Governmental
Approvals.  Each Company Approval and Investor Approval, if
any, shall have been obtained or made and shall be in full force and effect to
the extent that the failure to obtain or make such Company Approval or Investors
Approval (i) has the effect of making illegal or otherwise prohibiting or
invalidating consummation of any of the Transactions or any provision of this
Agreement or any of the other Transaction Agreements or (ii) would reasonably be
expected, individually or together with other Company Approvals or Investor
Approvals that have not been obtained or made, to have a Company Material
Adverse Effect.

     

    (c)           Contractual
Consents.  Each Company Contractual Consent, if any, shall have
been obtained and shall be in full force and effect to the extent that the
failure to obtain such Company Contractual Consent would reasonably be expected,
individually or together with other Company Contractual Consents that have not
been obtained, to have a Company Material Adverse Effect.

     

    (d)           Performance of
Obligations.  The Company shall have performed in all material
respects each of its respective covenants and agreements contained in this
Agreement and required to be performed at or prior to the Closing.

     

    (e)           Representations and
Warranties.  Each of the representations and warranties of the
Company contained in this Agreement that is qualified as to materiality shall be

     

     

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

     

    true and
correct on and as of the Closing Date as if made on and as of such date (other
than representations and warranties which address matters only as of a certain
date, which shall be true and correct as of such certain date) and each of the
representations and warranties of the Company that is not so qualified shall be
true and correct in all material respects on and as of the Closing Date as if
made on and as of such date (other than representations and warranties which
address matters only as of a certain date, which shall be true and correct in
all material respects as of such certain date).

     

    ARTICLE
VII

    FURTHER
AGREEMENTS

     

    Section
7.1        Public
Announcements.

     

    The Fund Investors and the Company
shall consult with each other before issuing any press release or otherwise
making any public statements with respect to the execution and delivery of this
Agreement or the other Transaction Agreements or any of the Transactions, and
shall not issue any such press release or make any such public statement prior
to reaching mutual agreement on the language of such press release or such
public statement, except as may otherwise be required by applicable Requirement
of Law or stock exchange rule.

    

    Section
7.2        Fees and
Expenses.

     

    (a)           Except
as otherwise specified in this Section 7.2 or agreed in writing by the parties,
all costs and expenses incurred in connection with this Agreement, the
Registration Rights Agreement and the Transactions shall be paid by the party
incurring such cost or expense.

     

    (b)           The
Company shall promptly reimburse the Fund Investors upon presentation of
appropriate invoices and documentation therefor for all Reimbursable Expenses
incurred by or on behalf of the Fund Investors or any of their
Affiliates.  Any such Reimbursable Expenses incurred on or prior to
the Closing Date may also be deducted by the Fund Investors from the Purchase
Price as contemplated in Article II.  For purposes of this Agreement,
“Reimbursable
Expenses” shall mean all reasonable out-of-pocket fees and expenses
incurred by or on behalf of the Fund Investors (or their respective Affiliates)
at any time prior to any termination of this Agreement (whether before or after
the date hereof or before or after the Closing Date) in connection with their
due diligence investigation of the Company, the preparation of this Agreement
and the other Transaction Agreements and consummation of the Transactions and
related preparations therefor, including all reasonable fees and expenses of
counsel, accountants, experts and consultants to the Fund Investors and their
respective Affiliates.

     

    (c)           On
or prior to the date of this Agreement, the Company shall deposit $25,000 with
Foley Hoag LLP, counsel to the Mast Investor, as an advance to be applied
against a portion of reasonable fees, time charges and expenses of the Mast
Investor to be paid by the Company in accordance with Section 7.2(b)
above.  Amounts payable by the Company to the Mast Investor in
accordance with Section 7.2(b) which exceed $25,000 will be paid by the Company
at the Closing or shall be deducted by the Mast Investor from the Purchase Price
in accordance with the terms of Section 7.2(b).

     

     

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

    

     

    (d)           The
Company acknowledges that the agreements contained in this Section 7.2 are an
integral part of the transactions contemplated by this Agreement, and that,
without these agreements, the Fund Investors would not enter into this
Agreement.  Accordingly, if the Company fails to pay promptly any
Reimbursable Expenses due to any Fund Investor pursuant to this Section 7.2, (i)
interest shall accrue and immediately become payable on the overdue amount from
the due date thereof until the date of payment at the base rate of Citibank,
N.A. in effect from time to time and (ii) in the event that any Fund Investor
commences a suit that results in a judgment against the Company for any such
overdue amount or interest, the Company shall also reimburse such Fund Investor
for its costs and expenses (including reasonable attorney’s fees) incurred in
connection with such suit.

     

    Section
7.3        Independent Nature of
Investors Obligations.

     

    The
obligations of each Investor under any Transaction Document are several and not
joint with the obligations of any other Investor, and no Investor shall be
responsible in any way for the performance of the obligations of any other
Investor under any Transaction Document.  Nothing contained herein or
in any other Transaction Document, and no action taken by any Investor pursuant
hereto or thereto, shall be deemed to constitute the Investors as a partnership,
an association, a joint venture or any other kind of entity, or create a
presumption that the Investors are in any way acting in concert or as a group
with respect to such obligations or the transactions contemplated by the
Transaction Documents and the Company acknowledges that the Investors are not
acting in concert or as a group, and the Company will not assert any such claim,
with respect to such obligations or the transactions contemplated by the
Transaction Documents.  Each Investor shall be entitled to
independently protect and enforce its rights, including, without limitation, the
rights arising out of this Agreement or out of any other Transaction Documents,
and it shall not be necessary for any other Investor to be joined as an
additional party in any proceeding for such purpose.

     

    ARTICLE
VIII

    GENERAL

     

    Section
8.1        Termination. 
This
Agreement may be terminated at any time prior to the Closing:

     

    (a)           by
mutual written consent of the Fund Investors and the Company;

     

    (b)           by
the Fund Investors if there has been (i) a material breach of any of the
representations or warranties of the Company set forth in this Agreement that
would give rise to the failure of the condition set forth in Section 6.2(e) or
(ii) a material breach of any of the covenants or agreements of the Company set
forth in this Agreement, which breach has not been cured within ten (10)
Business Days following receipt by the Company of notice of such breach from the
Fund Investors; provided that the
Fund Investors are not then in material breach of any representation or warranty
under this Agreement.

     

    (c)           by
the Company, as this Agreement relates to a particular Investor or Investors, if
there has been (i) a material breach of any of the representations or warranties
by such Investor or Investors set forth in this Agreement that would give rise
to the failure of the condition set forth in Section 6.1(d) or (ii) a material
breach of any of the covenants or 

     

     

    
      
        
        

      

      
        22

        
          

        

      

      
        
        

      

    

     

    agreements
of such Investor or Investors set forth in this Agreement, which breach has not
been cured within ten (10) Business Days following receipt by such Investor or
Investors of notice of such breach from the Company; provided that the
Company is not then in material breach of any representation or warranty under
this Agreement.

     

    (d)           by
any of the Investors or the Company if any permanent order, decree, ruling or
other action of a court or other competent authority restraining, enjoining or
otherwise preventing the consummation of any of the Transactions shall have
become final and non-appealable; or

     

    (e)           by
either of the Fund Investors or the Company if the Closing shall not have
occurred on or before April 30, 2008, unless the failure for the Closing to
occur is the result of a material breach of this Agreement by the party seeking
to terminate this Agreement.

     

    In the
event of termination of this Agreement by any of the Investors or the Company,
as provided in this Section 8.1, this Agreement shall forthwith become void and
there shall be no liability hereunder on the part of the Investors or the
Company, or their respective officers, directors, managers, members or partners,
except for Sections 8.2 and 9.1 and except that no such termination shall
relieve any party of liability for any breach of any other provision of this
Agreement occurring prior to such termination.

     

    Section
8.2        Notice.

     

    Whenever any notice is required to be
given hereunder, such notice shall be deemed given only when such notice is in
writing and is delivered by messenger or courier or, if sent by fax, when
received.  All notices, requests and other communications hereunder
shall be delivered by courier or messenger or shall be sent by facsimile to the
following addresses:

    

    
      	
               
      

            	
              (i)

            	
              If
      to the Mast Investor, at the following
address:

            

    

     

    MAST
Credit Opportunities I Master Fund Limited

    c/o MAST
Capital Management, LLC

    535
Boylston Street, Suite 401

    Boston,
Massachusetts 02116

    Attention:
John S. Ehlinger

    Fax:
(617) 247-7985

    

    with a copy by fax or messenger or
courier to:

     

    Foley
Hoag LLP

    Bay
Colony Corporate Center

    1000
Winter Street, Suite 4000

    Waltham,
Massachusetts 02451

    Attention:
David A. Broadwin, Esq.

    Fax:
(617) 832-7000

    

    (ii)           If
to the MatlinPatterson Investor, at the following address:

     

     

     

    
      
        
        

      

      
        23

        
          

        

      

      
        
        

      

    

    
 

    MatlinPatterson
FA Acquisition LLC

    c/o
MatlinPatterson Global Advisers LLC

    520
Madison Avenue, 35th
Floor

    New York,
New York 10022

    Attention:  General
Counsel

    Fax:
(212) 651-4011

    

    with a copy by fax or messenger or
courier to:

     

    Sidley
Austin llp

    787
Seventh Avenue

    New York,
New York 10019

    Facsimile:
(212) 839-5599

    Attention:  Duncan
N. Darrow and Michael H. Yanowitch

     

    (iii)           If
to the Company, at the following address:

     

    Broadpoint
Securities Group, Inc.

    One Penn
Plaza, 42nd
Floor

    New York,
New York 10119

    Facsimile:
(212) 273-7100

    Attention:  General
Counsel

     

    with a copy by fax or messenger or
courier to:

     

    Dewey
& LeBoeuf LLP

    1301
Avenue of the Americas

    New York,
New York 10019-6092

    Facsimile:
(212) 259-6333

    Attention:  Donald
Murray and Christopher P. Peterson

     

    (iv)           If
to any Individual Investor, to the address set forth below such Individual
Investor’s name on Exhibit
B,

     

    or, in
the case of any of the foregoing, to such other respective addresses as may be
designated by notice given in accordance with this Section 8.2.

     

    Section
8.3        Complete Agreement; No
Third-Party Beneficiaries.

     

    This Agreement, the other Transaction
Agreements, the Investor Confidentiality Agreements and the Company Disclosure
Letter constitute the entire agreement among the parties pertaining to the
subject matter hereof and supersede all prior agreements and understandings of
the parties in connection therewith, including the letter Re: Common Stock
Purchase and Backstop dated February 21, 2008 between Mast Capital Management,
LLC and the Company and attached Term Sheet, which, except for those sections
which are explicitly binding on the parties thereto, shall be deemed terminated
and of no further force or effect.  This 

     

     

    
      
        
        

      

      
        24

        
          

        

      

      
        
        

      

    

     

    Agreement
is not intended to confer upon any person other than the Company and the
Investors any rights or remedies hereunder.

    

    Section
8.4        Survival.

     

    The respective representations,
warranties, covenants and agreements of the Company and the Investors set forth
in this Agreement or any other Transaction Agreement or in any exhibit,
schedule, certificate or instrument attached or delivered pursuant hereto or
thereto (except covenants and agreements which are expressly required to be
performed and are performed in full on or prior to the Closing Date) shall
survive the Closing and the consummation of the Transactions.

     

    Section
8.5        Governing
Law.

     

    THIS AGREEMENT SHALL BE CONSTRUED AND
INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT
REFERENCE TO ITS PRINCIPLES OF CONFLICTS OF LAWS THAT WOULD APPLY THE LAW OF ANY
OTHER JURISDICTION.  THE INVESTORS AND THE COMPANY HEREBY CONSENT TO
THE JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK AND THE FEDERAL COURTS
LOCATED IN THE BOROUGH OF MANHATTAN WITH RESPECT TO ANY ACTION, SUIT OR
PROCEEDING BROUGHT TO ENFORCE ANY PROVISION OF THIS AGREEMENT OR TO DETERMINE
THE RIGHTS OF ANY PARTY HERETO.

    

    Section
8.6        No
Assignment.

     

    Neither this Agreement nor any rights
or obligations under it are assignable by any party without the written consent
of the other parties.

    

    Section
8.7        Counterparts.

     

    This Agreement may be executed in one
or more counterparts and by different parties in separate
counterparts.  All such counterparts shall constitute one and the same
agreement and shall become effective when one or more counterparts have been
signed by each party and delivered to the other parties.

    

    Section
8.8        Remedies;
Waiver.

     

    All rights and remedies existing under
this Agreement are cumulative to, and not exclusive of, any rights or remedies
otherwise available.  No failure on the part of any party to exercise
or delay in exercising any right hereunder shall be deemed a waiver thereof, nor
shall any single or partial exercise preclude any further or other exercise of
such or any other right.  Notwithstanding any other provision of this
Agreement, it is understood and agreed that remedies at law would be inadequate
in the case of any breach of the covenants contained in this
Agreement.  The Company and the Investors shall be entitled to
equitable relief, including the 

     

     

    
      
        
        

      

      
        25

        
          

        

      

      
        
        

      

    

     

    remedy of
specific performance, with respect to any breach or attempted breach of such
covenants by the other party.

    

    Section
8.9        Severability.

     

    Any invalidity, illegality or
unenforceability of any provision of this Agreement in any jurisdiction shall
not invalidate or render illegal or unenforceable the remaining provisions
hereof in such jurisdiction and shall not invalidate or render illegal or
unenforceable such provisions in any other jurisdiction.  The Company
and the Investors shall endeavor in good faith negotiations to replace any
invalid, illegal or unenforceable provision with a valid, legal and enforceable
provision, the economic effect of which comes as close as possible to that of
the invalid, illegal or unenforceable provision.

    

    Section
8.10      Amendment;
Waiver.

     

    This Agreement may be amended only by
agreement in writing of each of the parties (including, without limitation, the
MAST Investor).  No waiver of any provision nor consent to any
exception to the terms of this Agreement shall be effective unless in writing
and signed by the party to be bound and then only to the specific purpose,
extent and instance so provided.

    

    Section
8.11      Confidentiality.

     

    Except
for the Mast Investor, which has entered into a confidentiality agreement with
the Company dated as of February 28, 2008 and remains subject to its terms, each
Investor acknowledges and agrees that any information or data it has acquired
from the Company, not otherwise properly in the public domain, was received in
confidence.  Each Investor agrees not to divulge, communicate or
disclose, except as may be required by law or for the performance of this
Agreement, or use to the detriment of the Company or for the benefit of any
other person or persons, or misuse in any way, any confidential information of
the Company.

     

     

    [the next
page is the signature page]

     

     

    
      
        
        

      

      
        26

        
          

        

      

      
        
        

      

    

     

    COMPANY
AND FUND INVESTOR SIGNATURE PAGE

     

    IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

     

    
 

                    BROADPOINT SECURITIES
GROUP, INC.

    

    

                    By:  /s/ Lee
Fensterstock                    
            
        

                    Name:   
Lee Fensterstock

                    Title:     
Chief Executive Officer

    

    

    

                    MAST CREDIT
OPPORTUNITIES I MASTER

                    FUND
LIMITED

    

    

                    By:  /s/ Christopher B.
Madison                            

                    Name:  
Christopher B. Madison

                    Title:     
Partner

    

    

    

                    MATLINPATTERSON FA
ACQUISITION LLC

    

    

                    By:  /s/ Lawrence M.
Teitelbaum                             

                    Name:   
Lawrence M. Teitelbaum

                    Title:     
President

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      

      INDIVIDUAL
INVESTOR SIGNATURE PAGE

      

      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

      

      
        
          	 
      	 
      	 
      	 
      
	 
      	
                  Investor
      Name:

                	
                  Mark
      H. Bryant

                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  Signature:

                	
                  /s/
      Mark
      H. Bryant

                	
                   

                
	 
      	 
      	 
      	 
      
	 
      	
                  Name
      of Signatory:

                	
                   

                	 
      
	 
      	
                  (If
      different than Investor)

                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  Address
      for Notice:

                	
                  14
      Wooddale Rd

                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                  Greenwich,
      CT

                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                  06830

                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  Fax
      Number:

                	973-226-7618
      (w)	
                   

                
	 
      	 
      	 
      	 
      
	 
      	
                  Telephone
      Number:

                	
                  973-226-4644
      (w)

                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  Email
      Address:

                	
                  Mark.Bryant@Broadpointsecurities.com

                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                  With
      a copy to (which shall not constitute notice):

                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                   

                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                   

                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                   

                	 
      

        

      

      
 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      
                                        
                                          
                                            
                                              
                                                
                                                  

                                                  INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                  

                                                  IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                  

                                                  
                                                    
                                                      	 
      	 
      	 
      	 
      
	 
      	
                                                              Investor
      Name:

                                                            	
                                                              Stephen
      Colman

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                              Signature:

                                                            	
                                                              /s/
      Stephen
      Colman

                                                            	
                                                               

                                                            
	 
      	 
      	 
      	 
      
	 
      	
                                                              Name
      of Signatory:

                                                            	
                                                               

                                                            	 
      
	 
      	
                                                              (If
      different than Investor)

                                                            	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                              Address
      for Notice:

                                                            	
                                                              137
      Woodlands Road

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                              Harrison
      NY  10528

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                               

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                              Fax
      Number:

                                                            	914-967
      2772	
                                                               

                                                            
	 
      	 
      	 
      	 
      
	 
      	
                                                              Telephone
      Number:

                                                            	
                                                              914-967
      2778

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                              Email
      Address:

                                                            	
                                                              SColman2@Bloomberg.net

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                              With
      a copy to (which shall not constitute notice):

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                              HColman@aol.com

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                               

                                                            	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                               

                                                            	 
      

                                                    

                                                  

                                                  
 

                                                   

                                                  
                                                    
                                                      
                                                      

                                                    

                                                    
                                                      
                                                      

                                                      
                                                        

                                                      

                                                    

                                                    
                                                      
                                                      

                                                    

                                                  

                                                  

                                                    

                                                    INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                    

                                                    IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                    

                                                    
                                                      
                                                        	 
      	 
      	 
      	 
      
	 
      	
                                                                Investor
      Name:

                                                              	
                                                                Gregory
      D. Ethridge

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                Signature:

                                                              	
                                                                
                                                                  /s/
      Gregory D. Ethridge

                                                                

                                                              	
                                                                 

                                                              
	 
      	 
      	 
      	 
      
	 
      	
                                                                Name
      of Signatory:

                                                              	
                                                                 

                                                              	 
      
	 
      	
                                                                (If
      different than Investor)

                                                              	333
      E. 56th St.  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                Address
      for Notice:

                                                              	
                                                                Apt.
      PHG

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                New
      York, NY 10022

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                 

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                Fax
      Number:

                                                              	(212)
      588-0602	
                                                                 

                                                              
	 
      	 
      	 
      	 
      
	 
      	
                                                                Telephone
      Number:

                                                              	
                                                                greg-ethridge@yahoo.com

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                Email
      Address:

                                                              	
                                                                 

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                With
      a copy to (which shall not constitute notice):

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                 

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                 

                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                 

                                                              	 
      

                                                      

                                                    

                                                    
 

                                                     

                                                    
                                                      
                                                        
                                                        

                                                      

                                                      
                                                        
                                                        

                                                        
                                                          

                                                        

                                                      

                                                      
                                                        
                                                        

                                                      

                                                    

                                                    

                                                      

                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                      

                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                      

                                                      
                                                        
                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                  Investor
      Name:

                                                                	
                                                                  Steve
      Sinofsky

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                  Signature:

                                                                	
                                                                  /s/
      Steve
      Sinofsky

                                                                	
                                                                   

                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                  Name
      of Signatory:

                                                                	
                                                                   

                                                                	 
      
	 
      	
                                                                  (If
      different than Investor)

                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                  Address
      for Notice:

                                                                	
                                                                  51
      Arbor Circle

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                  Basking
      Ridge

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                  NJ 
      07920

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                  Fax
      Number:

                                                                	973-226-7618	
                                                                   

                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                  Telephone
      Number:

                                                                	
                                                                  973-226-4644

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                  Email
      Address:

                                                                	
                                                                  SSinofsky2@Bloomberg.net

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                  With
      a copy to (which shall not constitute notice):

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                   

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                   

                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                   

                                                                	 
      

                                                        

                                                      

                                                      
 

                                                       

                                                      
                                                        
                                                          
                                                          

                                                        

                                                        
                                                          
                                                          

                                                          
                                                            

                                                          

                                                        

                                                        
                                                          
                                                          

                                                        

                                                      

                                                      

                                                        

                                                        INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                        

                                                        IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                        

                                                        
                                                          
                                                            	 
      	 
      	 
      	 
      
	 
      	
                                                                    Investor
      Name:

                                                                  	
                                                                    John
      H. Hale

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                    Signature:

                                                                  	
                                                                    
                                                                      /s/
      John H. Hale

                                                                    

                                                                  	
                                                                     

                                                                  
	 
      	 
      	 
      	 
      
	 
      	
                                                                    Name
      of Signatory:

                                                                  	
                                                                     

                                                                  	 
      
	 
      	
                                                                    (If
      different than Investor)

                                                                  	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                    Address
      for Notice:

                                                                  	
                                                                    5
      Holmhill Ln

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                    Rosewood,
      NJ  07068

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                     

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                    Fax
      Number:

                                                                  	973-228-1148	
                                                                     

                                                                  
	 
      	 
      	 
      	 
      
	 
      	
                                                                    Telephone
      Number:

                                                                  	
                                                                    973-228-8762

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                    Email
      Address:

                                                                  	
                                                                    matty1225@hotmail

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                    With
      a copy to (which shall not constitute notice):

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                     

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                     

                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                     

                                                                  	 
      

                                                          

                                                        

                                                        
 

                                                         

                                                        
                                                          
                                                            
                                                            

                                                          

                                                          
                                                            
                                                            

                                                            
                                                              

                                                            

                                                          

                                                          
                                                            
                                                            

                                                          

                                                        

                                                        

                                                          

                                                          INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                          

                                                          IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                          

                                                          
                                                            
                                                              	 
      	 
      	 
      	 
      
	 
      	
                                                                      Investor
      Name:

                                                                    	
                                                                      Riaz
      Haidri

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                      Signature:

                                                                    	
                                                                      /s/ Riaz
      Haidri

                                                                    	
                                                                       

                                                                    
	 
      	 
      	 
      	 
      
	 
      	
                                                                      Name
      of Signatory:

                                                                    	
                                                                       

                                                                    	 
      
	 
      	
                                                                      (If
      different than Investor)

                                                                    	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                      Address
      for Notice:

                                                                    	
                                                                      41 Dale
      Drive

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                      Chatham, NJ 
      07928

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                       

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                      Fax
      Number:

                                                                    	973-226-7618 	
                                                                       

                                                                    
	 
      	 
      	 
      	 
      
	 
      	
                                                                      Telephone
      Number:

                                                                    	
                                                                      973-377-4840

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                      Email
      Address:

                                                                    	
                                                                      RHaidri@verizon.net

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                      With
      a copy to (which shall not constitute notice):

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                       

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                       

                                                                    	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                       

                                                                    	 
      

                                                            

                                                          

                                                          
 

                                                           

                                                          
                                                            
                                                              
                                                              

                                                            

                                                            
                                                              
                                                              

                                                              
                                                                

                                                              

                                                            

                                                            
                                                              
                                                              

                                                            

                                                          

                                                          

                                                            

                                                            INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                            

                                                            IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                            

                                                            
                                                              
                                                                	 
      	 
      	 
      	 
      
	 
      	
                                                                        Investor
      Name:

                                                                      	
                                                                        Lee
      Fensterstock

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                        Signature:

                                                                      	
                                                                        /s/ Lee
      Fensterstock

                                                                      	
                                                                         

                                                                      
	 
      	 
      	 
      	 
      
	 
      	
                                                                        Name
      of Signatory:

                                                                      	
                                                                         

                                                                      	 
      
	 
      	
                                                                        (If
      different than Investor)

                                                                      	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                        Address
      for Notice:

                                                                      	
                                                                        445 Lafayette
      St.

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                        N.Y., N.Y. 
      10003

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                         

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                        Fax
      Number:

                                                                      	212-273-7133 	
                                                                         

                                                                      
	 
      	 
      	 
      	 
      
	 
      	
                                                                        Telephone
      Number:

                                                                      	
                                                                        212-273-7186

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                        Email
      Address:

                                                                      	
                                                                        Lee.Fensterstock@BroadpointSecurities.com

                                                                      	  
	 
      	 
      	 
      	 
      
	 
      	
                                                                        With
      a copy to (which shall not constitute notice):

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                         

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                         

                                                                      	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                         

                                                                      	 
      

                                                              

                                                            

                                                            
 

                                                             

                                                            
                                                              
                                                                
                                                                

                                                              

                                                              
                                                                
                                                                

                                                                
                                                                  

                                                                

                                                              

                                                              
                                                                
                                                                

                                                              

                                                            

                                                            

                                                              

                                                              INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                              

                                                              IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                              

                                                              
                                                                
                                                                  	 
      	 
      	 
      	 
      
	 
      	
                                                                          Investor
      Name:

                                                                        	
                                                                          Nicholas
      Casesa

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                          Signature:

                                                                        	
                                                                          /s/ Nicholas
      Casesa

                                                                        	
                                                                           

                                                                        
	 
      	 
      	 
      	 
      
	 
      	
                                                                          Name
      of Signatory:

                                                                        	
                                                                           

                                                                        	 
      
	 
      	
                                                                          (If
      different than Investor)

                                                                        	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                          Address
      for Notice:

                                                                        	
                                                                          502 Timberline
      Dr.

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                          Franklin Lakes,
      N.J.  07417

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                           

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                          Fax
      Number:

                                                                        	 	
                                                                           

                                                                        
	 
      	 
      	 
      	 
      
	 
      	
                                                                          Telephone
      Number:

                                                                        	
                                                                          201-560-1447

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                          Email
      Address:

                                                                        	
                                                                          NCasesa1@optonline.net

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                          With
      a copy to (which shall not constitute notice):

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                           

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                           

                                                                        	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                           

                                                                        	 
      

                                                                

                                                              

                                                              
 

                                                               

                                                              
                                                                
                                                                  
                                                                  

                                                                

                                                                
                                                                  
                                                                  

                                                                  
                                                                    

                                                                  

                                                                

                                                                
                                                                  
                                                                  

                                                                

                                                              

                                                              

                                                                

                                                                INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                

                                                                IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                

                                                                
                                                                  
                                                                    	 
      	 
      	 
      	 
      
	 
      	
                                                                            Investor
      Name:

                                                                          	
                                                                            Alvin Jay
      DeGuzman

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                            Signature:

                                                                          	
                                                                            /s/ Alvin Jay
      DeGuzman

                                                                          	
                                                                             

                                                                          
	 
      	 
      	 
      	 
      
	 
      	
                                                                            Name
      of Signatory:

                                                                          	
                                                                             

                                                                          	 
      
	 
      	
                                                                            (If
      different than Investor)

                                                                          	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                            Address
      for Notice:

                                                                          	
                                                                            50 Yacenda
      Dr

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                            Morris Plains,
      NJ  07950

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                             

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                            Fax
      Number:

                                                                          	(973)
      364-1096 	
                                                                             

                                                                          
	 
      	 
      	 
      	 
      
	 
      	
                                                                            Telephone
      Number:

                                                                          	
                                                                            973-226-5864

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                            Email
      Address:

                                                                          	
                                                                            Alvin.DeGuzman@BroadpointSecurities.com

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                            With
      a copy to (which shall not constitute notice):

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                             

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                             

                                                                          	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                             

                                                                          	 
      

                                                                  

                                                                

                                                                
 

                                                                 

                                                                
                                                                  
                                                                    
                                                                    

                                                                  

                                                                  
                                                                    
                                                                    

                                                                    
                                                                      

                                                                    

                                                                  

                                                                  
                                                                    
                                                                    

                                                                  

                                                                

                                                                

                                                                  
 

                                                                  
                                                                    INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                    

                                                                    IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                    

                                                                    
                                                                      
                                                                        	 
      	 
      	 
      	 
      
	 
      	
                                                                                Investor
      Name:

                                                                              	
                                                                                Sunny
      Cheung

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                Signature:

                                                                              	
                                                                                /s/ Sunny
      Cheung

                                                                              	
                                                                                 

                                                                              
	 
      	 
      	 
      	 
      
	 
      	
                                                                                Name
      of Signatory:

                                                                              	
                                                                                 

                                                                              	 
      
	 
      	
                                                                                (If
      different than Investor)

                                                                              	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                Address
      for Notice:

                                                                              	
                                                                                245 W. 72nd St.,
      Apt. 4B

                                                                              	 
      
	
                                                                                 
      

                                                                                 

                                                                              	 
      	 
      	 
      
	 
      	 
      	
                                                                                New York, NY 
      10023

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                 

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                Fax
      Number:

                                                                              	212-273-7120 	
                                                                                 

                                                                              
	 
      	 
      	 
      	 
      
	 
      	
                                                                                Telephone
      Number:

                                                                              	
                                                                                212-273-7129

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                Email
      Address:

                                                                              	
                                                                                sunny.cheung@broadpointsecurities.com

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                With
      a copy to (which shall not constitute notice):

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                 

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                 

                                                                              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                 

                                                                              	 
      

                                                                      

                                                                    

                                                                    
 

                                                                  

                                                                  
 

                                                                  
                                                                    
                                                                      
                                                                      

                                                                    

                                                                    
                                                                      
                                                                      

                                                                      
                                                                        

                                                                      

                                                                    

                                                                    
                                                                      
                                                                      

                                                                    

                                                                     

                                                                     

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Richard
      Wheeless

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Richard
      Wheeless

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  34 Kings Hill 
      Ct

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Summit, NJ 
      07901

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	973-226-7618 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  908-522-0416

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  RWW@Bloomberg.net

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Michael
      Tama

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Michael
      Tama

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  70 Adams
      St.

                                                                                	 
      
	 
      	 
      	Apt.
      5M  	 
      
	 
      	 
      	
                                                                                  Hoboken, NJ 
      07030

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  201-683-3464

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  mtama@mail2web.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Gregory A. Sullivan,
      IRA Rollover

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Gregory A.
      Sullivan

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  163 Bingham
      Ave.

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Rumson, NJ 
      07760

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  732-842-0041

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  Longdrivegreg@hotmail.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Jeffrey D.
      Sprengel

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Jeffrey D.
      Sprengel

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  731 Austin
      Street

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Westfield, NJ 
      07090

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	(w)
      973-226-7618 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  (w) 973-226-4644 (h)
      908-301-1004

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  jsprengel7@bloomberg.net

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                       

                                                                      
                                                                        
                                                                          
                                                                          

                                                                        

                                                                        
                                                                          
                                                                          

                                                                          
                                                                            

                                                                          

                                                                        

                                                                        
                                                                          
                                                                          

                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Marc Santo
      Domingo

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Marc Santo
      Domingo

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  28 Baybury
      Ct.

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  E. Hanover, NJ 
      07936

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	973-226-7618 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  973-226-3978(w)  
      973-585-7319(h)

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  Santo@bloomberg.net

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Richard
      Rossi

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Richard
      Rossi

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  11 Garden
      Pl

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Chatham, NJ 
      07928

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	973-226-7618 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  973-226-4644

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  Richard.Rossi@Broadpointsecurities.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Joseph
      Mannello

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Joseph
      Mannello

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  137 Jockey Hollow
      Road

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Bernardsville,
      NJ  07924

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	908
    776-5823 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  908-766-4222

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  JMannello@patmedia.net

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                       

                                                                      
                                                                        
                                                                          
                                                                          

                                                                        

                                                                        
                                                                          
                                                                          

                                                                          
                                                                            

                                                                          

                                                                        

                                                                        
                                                                          
                                                                          

                                                                        

                                                                      

                                                                       

                                                                      
                                                                        

                                                                        INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                        

                                                                        IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                        

                                                                        
                                                                          
                                                                            	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Investor
      Name:

                                                                                  	
                                                                                    Gary A.
      Madia

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Signature:

                                                                                  	
                                                                                    /s/ Gary A.
      Madia

                                                                                  	
                                                                                     

                                                                                  
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Name
      of Signatory:

                                                                                  	
                                                                                     

                                                                                  	 
      
	 
      	
                                                                                    (If
      different than Investor)

                                                                                  	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Address
      for Notice:

                                                                                  	
                                                                                    2 Shadowbrook
      Way

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                    Mendham, NJ 
      07945

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                     

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Fax
      Number:

                                                                                  	 	
                                                                                     

                                                                                  
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Telephone
      Number:

                                                                                  	
                                                                                    973-531-8000

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    Email
      Address:

                                                                                  	
                                                                                    sutmadia@aol.com

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                    With
      a copy to (which shall not constitute notice):

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                     

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                     

                                                                                  	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                     

                                                                                  	 
      

                                                                          

                                                                        

                                                                        
 

                                                                      

                                                                       

                                                                    

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  David M.
      Klein

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ David M.
      Klein

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  18 Knollwood
      Terrace

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Randolph, NJ 
      07869

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	973
    -532-0231 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  973-442-0866

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  DKLK@optonline.net

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Peter
      Brady

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Peter
      Brady

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  10 Sage
      Dr

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Warren, NJ 
      07059

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	973
    226-7618 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  973-226-4644

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  Pete.Brady@Broadpointsecurities.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Laurence M.
      Mascera

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Laurence M.
      Mascera

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  500 East 77th Street
      #2024

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  New York, NY 
      10162

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	212-273-7145 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  212-273-7104

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  larry.mascera@broadpointsecurities.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Willkie Farr &
      Gallagher

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  787 7th
      Avenue

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  New York, NY 
      10019

                                                                                	 
      
	 	 	 	 
	 	 	Attn:  Carol R.
      Mascera, Esq. 	 

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Robert Tirschwell

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/
      Robert Tirschwell

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  39 Worth
      St

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  New York, NY 
      10013

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  212-334-5233

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  RTirschwell@BPDescap.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                     

                                                                    
                                                                      
                                                                        
                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                        
                                                                          

                                                                        

                                                                      

                                                                      
                                                                        
                                                                        

                                                                      

                                                                    

                                                                     

                                                                     

                                                                    
                                                                      

                                                                      INDIVIDUAL
INVESTOR SIGNATURE PAGE

                                                                      

                                                                      IN
WITNESS WHEREOF, the Company and the Investors have caused this Agreement to be
executed by their respective offers thereunto duly authorized all as of the date
first written above.

                                                                      

                                                                      
                                                                        
                                                                          	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Investor
      Name:

                                                                                	
                                                                                  Robert M.
      Fine

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Signature:

                                                                                	
                                                                                  /s/ Robert M.
      Fine

                                                                                	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Name
      of Signatory:

                                                                                	
                                                                                   

                                                                                	 
      
	 
      	
                                                                                  (If
      different than Investor)

                                                                                	 
      	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Address
      for Notice:

                                                                                	
                                                                                  Robert M.
      Fine

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  21 Harriman
      Drive

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                  Sands Point,
      NY  11050

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Fax
      Number:

                                                                                	(516)
      944-2235 	
                                                                                   

                                                                                
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Telephone
      Number:

                                                                                	
                                                                                  (516)
      708-1299

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  Email
      Address:

                                                                                	
                                                                                  LLRMF@aol.com

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	
                                                                                  With
      a copy to (which shall not constitute notice):

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                                                                                   

                                                                                	 
      

                                                                        

                                                                      

                                                                      
 

                                                                    

                                                                     

                                                                     

                                                                     

                                                                  

                                                                  
                                                                    
                                                                      
                                                                      

                                                                    

                                                                    
                                                                      
                                                                      

                                                                      
                                                                        

                                                                      

                                                                    

                                                                    
                                                                      
                                                                      

                                                                    

                                                                  

                                                                  

                                                                

                                                              

                                                            

                                                          

                                                        

                                                      

                                                    

                                                  

                                                

                                              

                                            

                                          

                                        

                                      

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    Exhibit
A

    to

    Stock
Purchase Agreement

    

    Defined
Terms.

    

    

    “Action or Proceeding”
means any suit, action, proceeding (including any compliance, enforcement or
disciplinary proceeding), arbitration, formal or informal inquiry, inspection,
investigation or formal order of investigation of complaint.

    

    “Affiliate” has the
meaning set forth in Rule 12b-2 under the Exchange Act as in effect as on the
date hereof.

    

    “Agreement” has the
meaning set forth in the preamble.

    

    “Associated Person”
means an “associated persons” as defined in Article I, section (dd) of the
NASD’s By-laws, as incorporated into the FINRA Rulebook, By-laws and Schedules
to By-laws.

    

    “Board” means the
board of directors of the Company.

    

    “Business Day” means
any day other than a Saturday, Sunday or a day on which banking institutions in
the State of New York are authorized by law or executive order to
close.

    

    “Business Entity”
means any corporation, partnership, limited liability company, joint venture,
association, partnership, business trust or other business entity.

    

    “Capital Stock” means
the Common Stock and the Preferred Stock.

    

    “Closing” has the
meaning set forth in Section 2.2.

    

    “Closing Date” means
the date on which the Closing takes place.

    

    “Code” means the U.S.
Internal Revenue Code of 1986, as amended.

    

    “Common Stock” means
the common stock, par value $.01 per share, of the Company.

    

    “Company” has the
meaning set forth in the preamble.

    

    “Company Approvals”
has the meaning set forth in Section 3.5(b).

    

    “Company Contract”
means any material indenture, mortgage, deed of trust, lease, contract,
agreement, instrument or other undertaking or legally binding arrangement

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (whether
written or oral) to which the Company or any Subsidiary is a party or by the
Company or any Subsidiary or any of their respective properties or assets is
bound.

    

    “Company Contractual
Consents” has the meaning set forth in Section 3.5(c).

    

    “Company Disclosure
Letter” means the letter dated the date hereof delivered by the Company
to the Investors, which letter relates to this Agreement and is designated
therein as the Company Disclosure Letter.

    

    “Company Material Adverse
Effect” means a material adverse effect on (i) the ability of the Company
to consummate any of the Transactions or to perform any of its obligations under
this Agreement or any of the other Transaction Agreements or (ii) the
businesses, assets (including licenses, franchises and other intangible assets),
liabilities, financial condition or operating income of the Company and its
Subsidiaries, taken as a whole, provided, however that in no
event shall any of the following, alone or in combination, be deemed to
constitute, nor shall any of the following be taken into account in determining
whether there has been, a Company Material Adverse Effect:  (a) a
change in the market price or trading volume of Common Stock (but not any
effect, event, development or change underlying such decrease to the extent that
such effect, event, development or change would otherwise constitute a Company
Material Adverse Effect); (b) changes in conditions in the U.S. or global
economy or capital or financial markets generally, including changes in interest
or exchange rates; (c) changes in general legal, tax, regulatory, political or
business conditions; (d) changes that are the result of factors generally
affecting the industry in which the Company and the Subsidiaries operate; (e)
changes in applicable law or GAAP; (f) the negotiation, execution, announcement,
pendency or performance of this Agreement or the Transactions or the
consummation of the Transactions, including the impact thereof on relationships,
contractual or otherwise, with customers, suppliers, vendors, lenders, brokers,
investors, venture partners or employees; (g) acts of war, armed hostilities,
sabotage or terrorism, or any escalation or worsening of any such acts of war,
armed hostilities, sabotage or terrorism threatened or underway as of the date
of this Agreement; (h) earthquakes, hurricanes, floods, or other natural
disasters; (i) any action taken by the Company at the request or with the prior
written consent of each of the Fund Investors; (j) the failure of the Company to
take any action as a result of any restrictions or prohibitions set forth in
Article V; or (k) any adverse development in any litigation or regulatory
proceeding described in Schedule 3.9 or the
commencement of any action or proceeding based on a pre-litigation claim
described in Schedule
3.9; or (l) any litigation or regulatory proceeding alleging claims
arising under Section 10(b) of the Securities Exchange Act of 1934 and Rule
10b-5 promulgated thereunder or other laws to similar effect based solely on the
existence, announcement or performance of this Agreement or the
Transactions.

    

    “Company Permits” has
the meaning set forth in Section 3.15.

    

    “Contractual Consent”
applicable to a specified Person in respect of a specified matter means any
consent required to be obtained by such Person from any other Person party to
any Contractual Obligation to which such first Person is a party or by which it
is bound in order for such matter to occur or exist without resulting in the
occurrence of a default or event of default or termination, the creation of any
lien, the triggering of any decrease in the rights of 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    such
first Person, any increase in the obligations of such first Person or any other
consequence adverse to the interests of such first Person, under any provision
of such Contractual Obligation.

    

    “Contractual
Obligation” means, as to any Person, any obligation arising out of any
indenture, mortgage, deed of trust, contract, agreement, insurance policy,
instrument or other undertaking to which such Person is a party or by which it
or any of its property is bound (including, without limitation, any debt
security issued by such Person).

    

    “Convertible
Securities” means securities or obligations that are convertible into or
exchangeable for shares of Capital Stock.

    

    “Employee Stock Incentive
Plans” means the Company’s: (i) 1989 Stock Incentive Plan, (ii) 1999
Long-Term Incentive Plan (Amended and Restated Through April 27, 2004, as
amended), (iii) 2001 Long-Term Incentive Plan, as amended, (iv) 1989 Stock
Incentive Plan, as amended, (v) Restricted Stock Inducement Plan for Descap
Employees, as amended, (vi) 2003 Directors’ Stock Plan, as amended; and (vii)
2007 Incentive Compensation Plan.

    

    “Employee Stock
Options” means any stock options granted pursuant to any Employee Stock
Incentive Plan.

    

    “Evaluation Date” has
the meaning set forth in Section 3.7(c).

    

    “Exchange Act” means
the Securities Exchange Act of 1934, as amended, together with the rules and
regulations promulgated thereunder.

    

    “Financial Statements”
has the meaning set forth in Section 3.6(b).

    

    “FINRA” means the
Financial Industry Regulatory Authority.

    

    “Fund Investors” has
the meaning set forth in the preamble.

    

    “GAAP” has the meaning
set forth in Section 3.6(b)

    

    “Governmental
Authority” means any government or political subdivision or department
thereof, any governmental or regulatory body, commission, board, bureau, agency
or instrumentality, or any court or arbitrator or alternative dispute resolution
body, in each case whether federal, state, local, foreign or
supranational.

    

    “Individual Investor”
has the meaning set forth in the preamble.

    

    “Intellectual
Property” has the meaning set forth in Section 3.10.

    

    “Investment” has the
meaning set forth in the recitals.

    

    “Investors” has the
meaning set forth in the preamble.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    “Investor Approvals”
has the meaning set forth in Section 4.3(b).

    

    “Investor Confidentiality
Agreements” means (i) the confidentiality letter agreement dated March
20, 2007 between MatlinPatterson Global Opportunities Partners II, L.P. and the
Company and (ii) the confidentiality letter agreement dated as of February 28,
2008 between Mast Capital Management, LLC and the Company.

    

    “Knowledge of the
Company” means the actual knowledge of the officers of the Company who
have been designated in the Company Disclosure Letter as having “Knowledge of
the Company”.

    

    “Lender
Warrants” mean the Common
Stock purchase warrants issued to the Investors of the Senior Notes dated June
13, 2003, initially exercisable for the purchase of 437,000 shares of Common
Stock.

    

    “Liens” means security
interests, liens, claims, pledges, mortgages, options, rights of first refusal,
agreements, limitations on voting rights, charges, easements, servitudes,
encumbrances and other restrictions of any nature whatsoever.

    

    “Mast Investor” has
the meaning set forth in the preamble.

    

    “MatlinPatterson
Investor” has the meaning set forth in the preamble.

    

    “MatlinPatterson Registration
Rights Amendment” means Amendment No. 1 to the Registration Rights
Agreement dated as of September 21, 2007 substantially in the form of Exhibit
E.

    

    “NASD” means the
National Association of Securities Dealers, Inc. and its
subsidiaries.

    

    “New Registration Rights
Agreement” means a Registration Rights Agreement substantially in the
form of Exhibit
F.

    

    “NYBCL” means the New
York Business Corporation Law.

    

    “Organizational
Document” means, with respect to the Company or any Subsidiary, any
certificate or articles of incorporation, memorandum of association, by-laws,
partnership agreement, limited liability agreement, operating agreement, trust
agreement or other agreement, instrument or document governing the affairs of
the Company or such Subsidiary.

    

    “Person” means any
individual, Business Entity, unincorporated association or Governmental
Authority.

    

    “Preferred Stock”
means the preferred stock, par value $0.01 per share, of the
Company.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    “Purchased Shares” has
the meaning set forth in Section 2.1.

    

    “Purchase Price” has
the meaning set forth in Section 2.1.

    

    “Investors” has the
meaning set forth in the preamble.

    

    “Registration
Statement” means a registration statement to be filed by the Company
pursuant to the MatlinPatterson Registration Rights Amendment or the New
Registration Rights Agreement.

    

    “Reimbursable
Expenses” has the meaning set forth in Section 7.2(b).

    

    “Requirement of Law”
means any judgment, order (whether temporary, preliminary or permanent), writ,
injunction, decree, statute, rule, regulation, notice, law or ordinance and
shall also include any regulations of any applicable self regulatory
organizations.

    

    “Restricted Stock”
means any shares of Common Stock issued (i) in the form of a Restricted Stock
Award or (ii) upon the exercise of RSUs.

    

    “Restricted Stock
Award” means any award granted under an Employee Stock Incentive Plan
consisting of a direct issuance of restricted stock.

    

    “Rights” has the
meaning set forth in the Rights Agreement.

    

    “Rights Agreement”
means the Rights Agreement dated as of March 30, 1998 between the Company and
American Stock Transfer & Trust Company, as Rights Agent, as
amended.

     

    “RSU” means a unit
representing a right to purchase Restricted Stock that is subject to an RSU
Award.

    

    “RSU Award” means an
award granted under an Employee Stock Incentive Plan in the form of
RSUs.

    

    “Sarbanes-Oxley” has
the meaning set forth in Section 3.7(a).

    

    “Schedules” means the
Schedules to the Company Disclosure Letter.

    

    “SEC” means the
Securities and Exchange Commission.

    

    “SEC Reports” has the
meaning set forth in Section 3.6(a)

    

    “Securities Act” means
the Securities Act of 1933, as amended, together with the rules and regulations
promulgated thereunder.

    

    “Share Price” has the
meaning set forth in Section 2.1.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    “Stock Purchase
Rights” has the meaning set forth in Section 3.2(c).

    

    “Subsidiary” means any
Business Entity of which the Company (either alone or through or together with
one or more other Subsidiaries) (x) owns, directly or indirectly, more than 50%
of the stock or other equity interests the holders of which are generally
entitled to vote for the election of the board of directors or other governing
body of such Business Entity, (y) is a general partner, managing member, trustee
or other Person performing similar functions or (z) has control (as defined in
Rule 405 under the Securities Act).

    

    “Tax Return” means any
return, report or similar statement (including the attached schedules) required
to be filed with respect to any Tax, including, without limitation, any
information return, claim for refund, amended return or declaration of estimated
Tax.

    

    “Tax” means any tax,
governmental fee or other like assessment or charge of any kind whatsoever
(including any tax imposed under Subtitle A of the Code and any net income,
alternative or add-on minimum tax, gross income, gross receipts, sale, bulk
sales, use, real property, personal property, ad valorem, value added, transfer,
franchise, profits, license, withholding tax on amounts paid, withholding,
payroll, employment, excise severance, stamp, capital stock, occupation,
property, environmental or windfall profits tax, premium, custom, duty or other
tax or assessment), together with any interest, penalty, addition to tax or
additional amount thereto, imposed by any Governmental Authority.

    

    “Taxing Authority”
means any Governmental Authority (domestic or foreign) responsible for the
imposition of any Tax.

    

    “Transactions” means
the sale and issuance of the Purchased Shares to the Investors and the execution
and delivery of the Transaction Agreements.

    

    “Transaction
Agreements” means this Agreement, the New Registration Rights Agreement,
and the MatlinPatterson Registration Rights Amendment.

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    

    

    Exhibit B

    to

    Stock
Purchase Agreement

    

    Schedule of
Investors

    

    
      	
              Name of Investor

            	
              Address

            	
              Number of Shares

            	
              Aggregate Purchase Price
  ($)

            
	
              MAST
      Credit Opportunities I Master Fund Limited

            	
              c/o
      MAST Capital Management, LLC

              535
      Boylston Street, Suite 401

              Boston,
      Massachusetts 02116

              Attention:
      John S. Ehlinger

            	
              7,058,824

            	
              12,000,000

            
	
              MatlinPatterson
      FA Acquisition LLC

            	
              c/o
      MatlinPatterson Global Advisers II LLC

              520
      Madison Avenue, 35th Floor

              New
      York, New York 10022

              Attention:
      General Counsel

            	
              1,594,000

            	
              2,709,800

            
	
              Lee
      Fensterstock

            	
              445
      Lafayette St.

              New
      York, NY 10003

            	
              294,118

            	
              500,000

            
	
              Robert
      M. Tirschwell

            	
              39
      Worth St. Apt 5W

              New
      York, NY 10013

            	
              350,000

            	
              595,000

            
	
              Robert
      M. Fine

            	
              21
      Harriman Drive

              Sands
      Point, NY 11050

            	
              150,000

            	
              255,000

            
	
              Pete
      Brady

            	
              10
      Sage Dr.

              Warren,
      NJ 07059

            	
              58,824

            	
              100,000

            
	
              Mark
      Bryant

            	
              14
      Wooddale Road

              Greenwich,
      CT 06830

            	
              50,000

            	
              85,000

            
	
              Nick
      Casesa

            	
              502
      Timberline Drive

              Franklin
      Lakes, NJ 07417

            	
              100,000

            	
              170,000

            
	
              Steve
      Colman

            	
              137
      Woodlands Road

              Harrison,
      NY 10528

            	
              58,824

            	
              100,000

            
	
              Alvin
      DeGuzman

            	
              50
      Yacenda Dr.

              Morris
      Plains, NJ 07950

            	
              29,412

            	
              50,000

            
	
              Riaz
      Haidri

            	
              41
      Dale Drive

              Chatham,
      NJ 07928

            	
              150,000

            	
              255,000

            
	
              John
      Hale

            	
              5
      Holmehill Ln.

              Roseland,
      NJ 07068

            	
              150,000

            	
              255,000

            
	
              David
      Klein

            	
              18
      Knollwood Terrace

              Randolph,
      NJ 07869

            	
              30,000

            	
              51,000

            
	
              Gary
      Madia

            	
              2
      Shadowbrook Way

              Mendham,
      NJ 07945

            	
              29,412

            	
              50,000

            
	
              Richard
      Rossi

            	
              11
      Garden Pl.

              Chatham,
      NJ 07928

            	
              44,118

            	
              75,000

            
	
              Marc
      SantoDomingo

            	
              28
      Baybury Ct.

              East
      Hanover, NJ 07936

            	
              44,118

            	
              75,000

            
	
              Steve
      Sinofsky

            	
              51
      Arbor Circle

              Basking
      Ridge, NJ 07920

            	
              29,412

            	
              50,000

            
	
              Jeff
      Sprengel

            	
              731
      Austin Street

              Westfield,
      NJ 07090

            	
              75,000

            	
              127,500

            
	
              Greg
      Sullivan

            	
              163
      Bingham Ave.

              Rumson,
      NJ 07760

            	
              100,000

            	
              170,000

            
	
              Michal
      Tama

            	
              70
      Adams St. Apt 5M

              Hoboken,
      NJ 07030

            	
              30,000

            	
              51,000

            
	
              Richard
      Wheeless

            	
              34
      Kings Hill Ct.

              Summit,
      NJ 07901

            	
              29,412

            	
              50,000

            

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
              Larry
      Mascera

            	
              500
      East 77th Street Apt # 2024

              New
      York, NY 10162

            	
              30,000

            	
              51,000

            
	
              Joe
      Mannello

            	
              137
      Jockey Hollow Rd.

              Bernardsville,
      NJ 07924

            	
              1,000,000

            	
              1,700,000

            
	
              Greg
      Ethridge

            	
              333
      E 56th St. Apt PH 6

              New
      York, NY 10022

            	
              58,824

            	
              100,000

            
	
              Sunny
      Cheung

            	
              245
      W. 72nd Street, Apt. 4B

              New
      York, NY 10023

            	
              35,294

            	
              60,000

            

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    Exhibit C

    to

    Stock
Purchase Agreement

    

    List of Closing
Deliveries

    

    

    Part I. Deliveries by the
Investors

    

    
      	
              1.

            	 
      	
              The
      officer’s or Investor certificate contemplated to be delivered by each of
      the Investors pursuant to Section 6.1(d).

            
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      

    

    

    

    Part II.
Deliveries by the
Company

    

    
      	
              1.

            	 
      	
              The
      officer’s certificate contemplated to be delivered by the Company pursuant
      to Section 6.2(e).

            
	 
      	 
      	 
      
	
              2.

            	 
      	
              A
      certificate of good standing for the Company issued by the Secretary of
      State of the State of New York as of a date that is not more than three
      (3) Business Days prior to the Closing Date.

               

            
	
              3.

            	 
      	
              A
      certificate of the Secretary or Assistant Secretary of the Company, dated
      the Closing Date, as to (i) the Certificate of Incorporation of the
      Company; (ii) the Bylaws of the Company; (iii) the resolutions of the
      Board of Directors of the Company authorizing the execution and delivery
      of the Agreement, the New Registration Rights Agreement and the
      MatlinPatterson Registration Rights
Amendment.

            

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    Exhibit D

    to

    Stock
Purchase Agreement

    

    Legal Opinion of Dewey &
LeBoeuf LLP

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Exhibit E

    to

    Stock
Purchase Agreement

    

    MatlinPatterson Registration
Rights Amendment

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    Exhibit F

    to

    Stock
Purchase Agreement

    

    New Registration Rights
Agreement

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    Exhibit G

    to

    Stock
Purchase Agreement

     

    ACCREDITED
INVESTOR QUESTIONNAIRE

    

               The
undersigned Investor, in connection with the acquisition of securities of
Broadpoint Securities Group, Inc. (the "Company"), hereby makes the following
representations and warranties:

    

               The
Investor understands that the offer and sale of the Company's shares are not
being registered under the Securities Act of 1933, as amended (the "Act") or
qualified under state securities laws, in reliance upon exemptions from such
registration and qualification requirements for transactions not involving any
public offering. Information supplied through this Questionnaire will be used to
ensure compliance with the requirements of such exemptions.

    

               The
undersigned Investor represents and warrants to the Company that:

    

    
      
        	
              	
                (a)

              	
                The
      information contained herein is complete and accurate and may be relied
      upon by the Company; and

              

      

    

    

    
      
        	
              	
                (b)

              	
                Investor
      will notify the Company immediately of any material change in any of such
      information occurring prior to the acceptance or rejection of the
      Investor’s subscription for securities of the
  Company.

              

      

    

    

    ALL
INFORMATION WILL BE TREATED CONFIDENTIALLY

    

             The
Investor represents and warrants that the Investor falls within the category (or
categories) marked.  PLEASE INDICATE EACH CATEGORY OF ACCREDITED
INVESTOR THAT YOU SATISFY, BY PLACING AN "X" ON THE APPROPRIATE LINE
BELOW.

    

    
    

     

    
      	
              _____     Category
      1.

            	A bank, as defined
      in Section 3(a)(2) of the Act,  whether
      acting in its individual or fiduciary capacity; or	 
	 	 	 
	
              _____     Category
      2.

            	
              A
      savings and loan association or other institution as defined in Section
      3(a)(5)(A) of the Act, whether acting in its individual or fiduciary
      capacity; or

            	 
	 	 	 
	 _____     Category
      3.	A
      broker or dealer registered pursuant to Section 15 of 

              
                the
      Securities Exchange Act of 1934; or

              

            	 
	 	 	 
	
              _____     Category
      4.

            	An
      insurance company as defined in Section 2(13) of the Act;
    or	 
	 	 	 
	
              _____     Category
      5.

            	
              An
      investment company registered under the Investment Company Act of 1940;
      or

            	 

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    
      	_____     Category
      6.	A
      business development company as defined in Section 2(a)
      (48) of the Investment Company Act of 1940; or	 
	 	 	 
	
              _____     Category
      7.

            	A small business
      investment company licensed by the U.S. Small Business Administration
      under Section 301(c) or (d)
      of the Small Business Investment Act of 1958; or	 
	 	 	 
	
              _____     Category
      8.

            	A plan established
      and maintained by a state, its political
      subdivision or any agency or instrumentality of a state or its political
      subdivisions, for the benefit
      of its employees, with assets in excess of US$5,000,000;
      or	 
	 	 	 
	 _____     Category
      9.	An
      employee benefit plan within the meaning of the Employee Retirement Income
      Security Act of 1974 in which the investment decision is made by a plan
      fiduciary, as defined in Section 3(21) of such Act, which is either a
      bank,
      savings and loan association, insurance company or registered investment
      advisor, or an employee benefit plan with total assets in excess of
      US$5,000,000 or, if a self-directed plan, the investment decisions are
      made solely by persons who are accredited investors;
      or	 
	 	 	 
	
              _____     Category
      10.

            	
              A
      private business development company as defined in Section 202(a)(22) or
      the Investment Advisors Act of 1940; or

            	 
	 	 	 
	
              _____     Category
      11.

            	
              An
      organization described in Section 501(c)(3) of the Internal Revenue Code,
      a corporation, a Massachusetts or similar
      business trust, or a partnership, not formed for
      the specific purpose of acquiring the Shares, with total assets in excess
      of US$5,000,000; or

            	 
	 	 	 
	
              _____     Category
      12.

            	
              A
      director, executive officer or general partner of the Company;
      or

            	 
	 	 	 
	
              _____     Category
      13.

            	A natural person
      whose individual net worth, or joint  net
      worth with that person's spouse, at the time of this purchase exceeds
      US$1,000,000; or	 
	 	 	 

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
              _____     Category
      14.

            	A
      natural person who had an individual income in excess of US$200,000 in
      each of the two most recent years or joint income with that person's
      spouse in excess of US$300,000 in each of those years and has a reasonable
      expectation of reaching the same income level in the current year;
      or	 
	 	 	 
	
              _____     Category
      15.

            	A
      trust, with total assets in excess of US$5,000,000, not formed for the
      specific purpose of acquiring the securities offered, whose purchase is
      directed by a sophisticated person as described in SEC Rule 506(b)
      (2)(ii); or	 
	 	 	 
	
              _____     Category
      16.

            	An
      entity in which all of the equity owners are accredited
      investors.	 

    

    

 

    

    Date:

    

    ---------------------              ---------------------------------------

                                             (Signature)

    

                                             ---------------------------------------

                                             (Print
Name)efc8-0541_emailex102.htm

    Exhibit
10.2

     

    Execution Copy

     

    REGISTRATION
RIGHTS AGREEMENT

     

    This
REGISTRATION RIGHTS AGREEMENT (this “Agreement”) is made
as of March 4, 2008, by and among (i) Broadpoint Securities Group, Inc., a New
York corporation (the “Company”), (ii) Mast
Credit Opportunities Master Fund Limited, a Cayman Islands corporation (“Mast”),
and (iii) each person or entity that subsequently becomes a party to this
Agreement pursuant to, and in accordance with, the provisions of Section 12
hereof (collectively, the “Investor Permitted
Transferees” and each individually an “Investor Permitted
Transferee”).

     

    WHEREAS,
the Company has agreed to issue and sell to Mast, and Mast has agreed to
purchase from the Company, 7,058,824 shares (the “Securities”) of the
Company’s common stock, $.01 par value per share (the “Common Stock”), upon
the terms and conditions set forth in that certain Stock Purchase Agreement,
dated of even date herewith, among the Company, Mast and the other investors
named therein (the “Stock Purchase
Agreement”);

     

    WHEREAS,
the Company has also agreed to issue and sell to MatlinPatterson FA Acquisition
LLC, a Delaware limited liability company (“Matlin”) and to various other
investors named in the Stock Purchase Agreement, and Matlin and the other
investors have agreed to purchase from the Company, an aggregate of 4,520,764
shares of Common Stock, upon the terms and conditions set forth in the Stock
Purchase Agreement; and

     

    WHEREAS,
the terms of the Stock Purchase Agreement provide that it shall be a condition
precedent to the closing of the transactions thereunder, for the Company and
Mast to execute and deliver this Agreement.

     

    NOW,
THEREFORE, in consideration of the premises and mutual covenants contained
herein, the parties hereto hereby agree as follows:

     

    1. DEFINITIONS.  The
following terms shall have the meanings provided therefor below or elsewhere in
this Agreement as described below:

     

    “Additional Filing
Date” shall mean, with respect to the Additional Registration Statement,
the earlier of (i) 190 days after the Initial Registration Statement is declared
effective by the SEC or (ii) the earliest practicable date on which the Company
is permitted by SEC Guidance to file the Additional Registration Statement
related to the Registrable Securities.

     

    “Additional Registration
Statement” shall mean the registration statement filed pursuant to this
Agreement seeking to register with the SEC such Registrable Securities owned by
Mast as are not included in the Initial Registration Statement.

     

    “Board” shall mean the
board of directors of the Company.

     

    “Closing” and “Closing Date” shall
have the meanings ascribed to such terms in the Stock Purchase
Agreement.

     

    “Exchange Act” shall
mean the Securities Exchange Act of 1934, as amended, and all of the rules and
regulations promulgated thereunder.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    “Effectiveness Date”
means: (i) with respect to the Initial Registration Statement, as soon as
practicable, but in no event later than 120 calendar days after the Closing;
(ii) with respect to the Additional Registration Statement, 30 calendar days
following the date on which the Additional Registration Statement is required to
be filed hereunder (or 90 calendar days if the Additional Registration Statement
is reviewed by the SEC); and (iii) with respect to any additional Registration
Statements which may be required to be filed hereunder pursuant to
Section 3(c) or otherwise, 30 calendar days following the date on which the
additional Registration Statement is required to be filed hereunder (or 90
calendar days if such additional Registration Statement is reviewed by the SEC);
provided, however, that in the
event the Company is notified by the SEC that one of the above Registration
Statements will not be reviewed or is no longer subject to further review and
comment, the Effectiveness Date as to such Registration Statement shall be the
fifth Trading Day following the date on which the Company is so notified if such
date precedes the dates required above.

     

    “Filing Date” shall
mean the Initial Filing Date, the Additional Filing Date, and any subsequent
filing date as required to register the Registrable Securities pursuant to
Section 3(c) hereof.

     

    “Initial Filing Date”
means, with respect to the Initial Registration Statement, 30 calendar days
after the Closing.

     

    “Initial Registration
Statement” means the initial Registration Statement filed pursuant to
this Agreement, seeking to register with the SEC Registrable Securities owned by
Mast.

     

    “Investors” shall
mean, collectively, Mast and the Investor Permitted Transferees; provided, however, that the
term “Investors” shall not
include Mast or any of the Investor Permitted Transferees to the extent that
such parties do not own any Registrable Securities.

     

    “Majority Holders”
shall mean, at the relevant time of reference thereto, those Investors holding
more than 50% of the Registrable Securities held by all of the
Investors.

     

    “Mandatory Registration
Termination Date” shall mean the earlier of (i) the first date as of
which all of the Investors as selling stockholders thereunder may sell all of
the Registrable Securities registered for resale thereon without restriction
pursuant to Rule 144 or (ii) the first date as of which all of the Registrable
Securities registered thereunder shall have been sold.

     

    “Registrable
Securities” shall mean the Securities, provided, however, such term
shall not include any Securities that have been sold pursuant to a Registration
Statement or Rule 144 or any of the Securities that become or have become
eligible for resale without restriction pursuant to Rule 144.

     

     

    “Registration
Statement” means any one or more registration statements filed with the
SEC by the Company on Form S-3, or in the event the Company is not eligible to
use Form S-3, on Form S-1, for the purpose of registering under the Securities
Act the Registrable Securities for resale by, and for the account of, the
Investors, including the Initial Registration Statement and the Additional
Registration Statement, including (in each case) the prospectus included
therein, amendments to such registration statement or supplements to such
prospectus, including pre- and 

     

    
      
        
        

      

      
        -2-

        
          

        

      

      
        
        

      

    

     

    post-effective
amendments, all exhibits thereto, and all material incorporated by reference or
deemed to be incorporated by reference in such registration
statement.

     

     “Rule 144” shall mean
Rule 144 promulgated by the SEC pursuant to the Securities Act, as such rule may
be amended from time to time, or any similar rule or regulation hereafter
adopted by the SEC having substantially the same purpose and effect as such
rule.

     

     

    “Rule 415” means
Rule 415 promulgated by the SEC pursuant to the Securities Act, as such
rule may be amended from time to time, or any similar rule or regulation
hereafter adopted by the SEC having substantially the same purpose and effect as
such rule.

     

     

    “Rule 424” means
Rule 424 promulgated by the SEC pursuant to the Securities Act, as such
rule may be amended from time to time, or any similar rule or regulation
hereafter adopted by the SEC having substantially the same purpose and effect as
such rule.

     

     “SEC” shall mean the
U.S. Securities and Exchange Commission.

     

     

    “SEC Guidance” means
(i) any publicly-available guidance, or rule of general applicability of
the SEC staff, or (ii)  comments, requirements or requests of the SEC staff
to the Company in connection with the review of a Registration
Statement.

     

    “Securities Act” shall
mean the Securities Act of 1933, as amended, and all of the rules and
regulations promulgated thereunder.

     

     “Trading Day” means
(a) if the Common Stock is listed or quoted on the NASDAQ Global Market, then
any day during which securities are generally eligible for trading on the NASDAQ
Global Market, or (b) if the Common Stock is not then listed or quoted and
traded on the NASDAQ Global Market, then any business day.

     

    2. EFFECTIVENESS.  This
Agreement shall become effective and legally binding upon execution and delivery
of the parties hereto.

     

    3. MANDATORY
REGISTRATION.

     

    (a) The
Company shall file a Registration Statement on or prior to each Filing Date
until all of the Registrable Securities have been registered for resale by the
Investors as selling stockholders thereunder.

     

    (i)        On
or prior to the Initial Filing Date, the Company shall prepare and file with the
SEC an Initial Registration Statement for the purpose of registering under the
Securities Act the resale of all Registrable Securities owned by Mast as selling
stockholder thereunder.

     

    (ii)           On
or prior to the Additional Filing Date, the Company shall prepare and file with
the SEC an Additional Registration Statement for the purpose of registering
under the Securities Act the resale of all Registrable Securities owned by Mast
and not theretofore registered pursuant to the Initial Registration Statement as
selling stockholder thereunder.

     

    
      
        
        

      

      
        -3-

        
          

        

      

      
        
        

      

    

    (iii)           On
or prior to any subsequent Filing Date, the Company shall prepare and file with
the SEC a Registration Statement for the purpose of registering under the
Securities Act the resale of all Registrable Securities owned by Mast and not
theretofore registered on an effective Registration Statement as selling
stockholder thereunder.

     

    Each such
Registration Statement shall indicate that the Registrable Shares are to be
offered and sold on a continuous basis pursuant to Rule 415.  Each
Registration Statement may be amended by the Company from time to time to comply
with SEC Guidance, and the parties hereto acknowledge that any such amendment
may result in a decrease in the number of Registrable Securities registered
thereby.  The Company shall advocate to the SEC to include the maximum
number of Registrable Securities in any given Registration Statement. Each
Registration Statement shall contain, to the extent permitted by law and SEC
Guidance, substantially the “Plan of Distribution” set forth in Exhibit B hereto.
Subject to the terms of this Agreement, the Company shall cause each
Registration Statement to be declared effective under the Securities Act as
promptly as possible after the filing thereof, but in any event on or prior to
the applicable Effectiveness Date.

     

    (b) The
Company shall be required to keep each Registration Statement effective until
the Mandatory Registration Termination Date. Thereafter, the Company shall be
entitled to withdraw such Registration Statement, and the Investors shall have
no further right to offer or sell any of the Registrable Securities registered
for resale thereon pursuant to the respective Registration Statement (or any
prospectus relating thereto).

     

    (c) If prior
to the Mandatory Registration Termination Date, the number of Registrable
Securities at any time exceeds the number of Securities then registered for
resale in a Registration Statement, then the Company shall file as soon as
reasonably practicable and consistent with SEC Guidance an additional
Registration Statement covering the resale by the Investors of not less than the
number of such Registrable Securities.

     

    4. LIQUIDATED
DAMAGES/SUSPENSION OF A REGISTRATION STATEMENT

     

    (a) If:

     

    (i) the
Initial Registration Statement is not filed on or prior to the Initial Filing
Date, or

     

    (ii) the
Company fails to file with the SEC a request for acceleration in accordance with
Rule 461 promulgated under the Securities Act within five Trading Days of
the date that the Company is notified by the SEC that the Initial Registration
Statement will not be reviewed or not be subject to further review,
or

     

    (iii) prior
to the Effectiveness Date of the Initial Registration Statement, the Company
fails to file a pre-effective amendment and otherwise respond in writing to
comments made by the SEC in respect of such Initial Registration Statement
within 10 Trading Days after the receipt of written 

     

    
      
        
        

      

      
        -4-

        
          

        

      

      
        
        

      

    

     

    comments
by or notice from the SEC that such amendment is required in order for such
Initial Registration Statement to be declared effective, or

     

    (iv) the
Initial Registration Statement is not declared effective by the SEC by the
Effectiveness Date of the Initial Registration Statement, or

     

    (v) subject
to the provisions of Section 11 hereof, after the Effectiveness Date of the
Initial Registration Statement, the Initial Registration Statement ceases for
any reason to remain continuously effective as to all Registrable Securities
registered thereon or Mast is otherwise not permitted to utilize the Prospectus
included therein to resell such Registrable Securities for more than 10
consecutive Trading Days or more than an aggregate of 20 Trading Days (which
need not be consecutive Trading Days) during any 12-month period,

     

    (any such
failure or breach being referred to as a “4(a) Event”, and the
date upon which the occurrence of a 4(a) Event first becomes manifest being
referred to as a “4(a)
Event Date”), then as to each such 4(a) Event Date and each day until the
applicable 4(a) Event is cured, the Company shall pay to Mast, as liquidated
damages and not as a penalty, an amount in cash equal to one-thirtieth of 1% of
the aggregate purchase price paid by Mast pursuant to the Stock Purchase
Agreement for the Registrable Securities being registered with the SEC pursuant
to the Initial Registration Statement and owned by Mast on such
day.  Such payments shall be made on a monthly basis within three
Trading Days of the end of each calendar month with respect to which a payment
is due.

     

    (b) If:

     

    (i) the
Additional Registration Statement and any other Registration Statement is not
filed on or prior to its Filing Date, or

     

    (ii) the
Company fails to file with the SEC a request for acceleration in accordance with
Rule 461 promulgated under the Securities Act within five Trading Days of
the date that the Company is notified by the SEC that any such Registration
Statement will not be reviewed or is not subject to further review,
or

     

    (iii) prior
to the Effectiveness Date of any such Registration Statement, the Company fails
to file a pre-effective amendment and otherwise respond in writing to comments
made by the SEC in respect of such Registration Statement within 10 Trading Days
after the receipt of written comments by or notice from the SEC that such
amendment is required in order for such Registration Statement to be declared
effective, or

     

    (iv) such
Registration Statement is not declared effective by the SEC by the Effectiveness
Date of such Registration Statement, or

     

    
      
        
        

      

      
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    (v) 
all of the Registrable Securities constituting the Securities are not registered
for resale pursuant to one or more effective Registration Statements on or
before June 30, 2009, or

     

    (vi) subject
to the provisions of Section 11 hereof, after the Effectiveness Date of the
Additional Registration Statement or any other Registration Statement, such
Registration Statement ceases for any reason to remain continuously effective as
to all Registrable Securities included therein or the Investors are otherwise
not permitted to utilize the Prospectus included therein to resell such
Registrable Securities, for more than 10 consecutive Trading Days or more than
an aggregate of 20 Trading Days (which need not be consecutive Trading Days)
during any 12-month period,

     

    (any such
failure or breach being referred to as a “4(b) Event”, and the date upon which
the occurrence of a 4(b) Event first becomes manifest being referred to as a
“4(b) Event Date”), then as to each such 4(b) Event Date and each day until the
applicable 4(b) Event is cured, the Company shall pay to each Investor, as
liquidated damages and not as a penalty, an amount in cash equal to
one-thirtieth of 1% of the aggregate purchase price paid by such Investor
pursuant to the Stock Purchase Agreement for the Registrable Securities being
registered with the SEC pursuant to the Additional Registration Statement or
such other Registration Statement, as applicable, and owned by such Investor on
such day. For purposes of this Section 4, any Investor Permitted Transferees
entitled to such payments shall be deemed to have paid an amount equal to the
purchase price per share for the Securities set forth in the Stock Purchase
Agreement multiplied by the number of shares owned by such Investor Permitted
Transferee on the date of the applicable 4(b) Event Date. Such payments shall be
made on a monthly basis within three Trading Days of the end of each calendar
month with respect to which a payment is due.

     

    (c) The
parties agree that the maximum liquidated damages payable per day pursuant
to paragraph 4(a) and 4(b) hereof shall be one-thirtieth of 1% of the aggregate
amount paid by Investors pursuant to the Stock Purchase Agreement with respect
to those Securities included in the applicable Registration Statement and owned
by such Investor on such day, regardless of the number of Events that shall have
occurred and are not cured, and that the Company shall not be obligated to make
such payments with respect to more than of 365 days. If the Company fails to pay
any liquidated damages pursuant to this Section in full within seven calendar
days after the date payable, the Company will pay interest thereon at a rate of
18% per annum (or such lesser maximum amount that is required to be paid by
applicable law) to the Investor, accruing daily from the date such liquidated
damages are due until such amounts, plus all such interest thereon, are paid in
full. The liquidated damages pursuant to the terms hereof shall apply on a daily
pro-rata basis for any portion of a month prior to the cure of an
Event.  In addition, the parties agree that no payments pursuant to
Section 4(a) or 4(b) shall be required in connection with a Suspension Period
(as hereinafter defined).

     

    (d) The
Company shall notify the Investors by facsimile or email as promptly as
practicable, and in any event, within two Trading Days, after a Registration
Statement is declared effective and shall simultaneously provide the Investors
with copies of any related prospectus to be used in connection with the sale or
other disposition of the Securities covered thereby.

     

    
      
        
        

      

      
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    (e) No
Investor shall be entitled to a payment pursuant to this Section 4 if
effectiveness of a Registration Statement has been delayed or a prospectus has
been unavailable as a result of (i) a failure by such Investor to promptly
provide on request by the Company the information required under the Stock
Purchase Agreement or this Agreement or requested by the SEC as a condition to
effectiveness of a Registration Statement; (ii) the provision of inaccurate or
incomplete information by such Investor; or (iii) a statement or determination
of the SEC that any provision of the rights of the Investor under this Agreement
are contrary to the provisions of the Securities Act.

     

    (f) The
Company shall not, at any time prior to the first date on which all Registrable
Securities then owned by Mast have been included in one or more Registration
Statements filed by the Company and declared effective by the SEC, file with the
SEC a registration statement under the Securities Act relating to an offering
for its own account or the account of others of any of its equity securities,
other than (i) registration statements relating to equity securities to be
issued in connection with an acquisition of, or business combination with, any
entity or business or equity securities issuable in connection with any stock
option, restricted stock or other employee benefit or equity incentive plans; or
(ii) pursuant to the exercise of a demand registration right under the
Registration Rights Agreement, dated as of September 21, 2007, as amended, among
the Company, Matlin, Robert M. Fine and Robert M. Tirschwell, so long as such
demand does not involve the filing of a registration statement with the SEC
prior to January 15, 2009.

     

    5. OBLIGATIONS OF THE
COMPANY.  The Company shall, as expeditiously as reasonably
possible:

     

    (a) prepare
and file with the SEC such amendments and supplements to a Registration
Statement and the prospectus included therein as may be necessary to comply with
the provisions of the Securities Act with respect to the disposition of all
Registrable Securities covered by a Registration Statement;

     

    (b) furnish
to the selling Investors (i) each item of correspondence furnished to the
Company by the SEC or the staff of the SEC, in each case relating to such
Registration Statement (other than any portion of any thereof which contains
information for which the Company has sought confidential treatment), and (ii)
such number of copies of a prospectus, in conformity with the requirements of
the Securities Act and such other documents (including, without limitation, any
prospectus supplements prepared by the Company in accordance with Section 5(a)
above) as the selling Investors may reasonably request in order to facilitate
the disposition of such selling Investors’ Registrable Securities;

     

    (c) promptly
respond to any and all comments received from the SEC, with a view towards
causing each Registration Statement or any amendment thereto to be declared
effective by the SEC as soon as practicable;

     

    (d) use
commercially reasonable efforts to comply with all applicable rules and
regulations of the SEC under the Securities Act applicable to the offer and sale
of the Registrable Securities, including, without limitation, Rule 172, file any
final prospectus, including any supplement thereto, with the SEC pursuant to
Rule 424 under the Securities Act, 

     

    
      
        
        

      

      
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    promptly
inform the Investors in writing if, at any time during the Effectiveness Period,
the Company does not satisfy the conditions specified in Rule 172 and, as a
result thereof, the Investors are required to deliver a prospectus in connection
with any disposition of Registrable Securities; notify the selling Investors of
the happening of any event as a result of which the prospectus included in a
Registration Statement contains an untrue statement of a material fact or omits
any fact necessary to make the statements therein not misleading; and,
thereafter, subject to Section 11 hereof, promptly prepare (and, when completed,
give notice and provide a copy thereof to each selling Investor) a supplement to
such prospectus so that such prospectus will not contain an untrue statement of
a material fact or omit to state any fact necessary to make the statements
therein not misleading; provided that after
any such notification by the Company (which shall be a Suspension pursuant to
Section 11), the selling Investors will not offer or sell Registrable Securities
until the Company has notified the selling Investors that it has prepared a
supplement to such prospectus and filed it with the SEC or, if the Company does
not then meet the conditions for the use of Rule 172, delivered copies of such
supplement to the selling Investors;

     

    (e) use
commercially reasonable efforts to register and qualify the Registrable
Securities covered by a Registration Statement under the securities or Blue Sky
laws of such states as the Investors shall reasonably request, provided that the
Company shall not be required in connection therewith or as a condition thereto
to qualify to do business or to file a general consent to service of process in
any such states or jurisdictions, and provided further that
(notwithstanding anything in this Agreement to the contrary with respect to the
bearing of expenses) if any jurisdiction in which any of such Registrable
Securities shall be qualified shall require that expenses incurred in connection
with the qualification therein of any such Registrable Securities be borne by
the selling Investors, then the selling Investors shall, to the extent required
by such jurisdiction, pay their pro rata share of such qualification
expenses;

     

    (f) subject
to the terms and conditions of this Agreement, the Company shall use its
commercially reasonable efforts to (i) prevent the issuance of any stop order or
other suspension of effectiveness of a Registration Statement, or the suspension
of the qualification of any of the Registrable Securities for sale in any
jurisdiction in the United States, and (ii) if such an order or suspension is
issued, obtain the withdrawal of such order or suspension at the earliest
practicable moment and notify each holder of Registrable Securities of the
issuance of such order and the resolution thereof or its receipt of notice of
the initiation or threat of any proceeding such purpose;

     

    (g) comply
with all requirements of Nasdaq, Inc. with regard to the issuance of the
Securities and the listing thereof on the NASDAQ Global Market and such other
securities exchange or automated quotation system, as applicable;
and

     

    (h) notify
the Investors of any pending proceeding against the Company under Section 8A of
the Securities Act in connection with the offering of the Registrable
Securities.

     

    6. FURNISH
INFORMATION.  It shall be a condition precedent to the
obligations of the Company to take any action pursuant to this Agreement that
the selling Investors shall furnish to the Company such information regarding
them and the securities held by them as the Company shall reasonably request in
order to effect any registration by the Company pursuant to 

     

    
      
        
        

      

      
        -8-

        
          

        

      

      
        
        

      

    

     

    this
Agreement.  Each Investor shall promptly notify the Company of any
changes in the information furnished to the Company.

     

    7. EXPENSES OF
REGISTRATION.  Except as set forth in Section 5(e), all
expenses incurred in connection with the registration of the Registrable
Securities pursuant to this Agreement (excluding brokerage and other selling
commissions and discounts), including without limitation all registration and
qualification and filing fees, printing, and fees and disbursements of counsel
for the Company, shall be borne by the Company; provided however that, except as
set forth below, the Investors shall be required to pay the expenses of counsel
and any other advisors for the Investors and any brokerage or other selling
discounts or commissions and any other expenses incurred by the Investors for
their own account. The Company shall reimburse Mast for the reasonable fees and
expenses of its counsel, not to exceed $5,000 in the aggregate, incurred in
connection with the review of one or more of the Registration
Statements.

     

    8. DELAY OF
REGISTRATION.  The Investors shall not take any action to
restrain, enjoin or otherwise delay any registration as a result of any
controversy which might arise with respect to the interpretation or
implementation of this Agreement.

     

    9. INDEMNIFICATION.

     

    (a) To the
extent permitted by law, the Company will indemnify and hold harmless each
selling Investor, and each officer and director of such selling Investor and
each person, if any, who controls such selling Investor, within the meaning of
the Securities Act, against any losses, claims, damages or liabilities, joint or
several, to which they may become subject under the Securities Act or otherwise,
insofar as such losses, claims, damages or liabilities (or actions in respect
thereof) arise out of or are based upon any untrue or alleged untrue statement
of any material fact contained in a Registration Statement in which such
Investor is named as a selling stockholder, in any prospectus relating thereto
or in any amendments to a Registration Statement or supplements to a prospectus
in which such Investor is named as a selling stockholder, or arise out of or are
based upon the omission or alleged omission to state therein a material fact
required to be stated therein, or necessary to make the statements therein not
misleading and will reimburse such selling Investor, or such officer, director
or controlling person for any legal or other expenses reasonably incurred by
them in connection with investigating or defending any such loss, claim, damage,
liability or action; provided, however, that the
indemnity agreement contained in this Section 9(a) shall not apply to amounts
paid in settlement of any such loss, claim, damage, liability or action if such
settlement is effected without the consent of the Company (which consent shall
not be unreasonably withheld), nor shall the Company be liable in any such case
for any such loss, damage, liability or action to the extent that it arises out
of or is based upon (i) an untrue statement or alleged untrue statement made in
connection with a Registration Statement, any prospectus relating thereto or any
amendments to a Registration Statement or supplements to a prospectus or any
omission to state therein a material fact required to be stated therein or
necessary to make the statements therein not misleading, in reliance upon and in
conformity with written information furnished expressly for use in connection
with a Registration Statement or any such prospectus by the selling Investors or
(ii) at any time when the Company has advised the Investor in writing that the
Company does not meet the conditions for use of Rule 172 and as a result the
Investor is required to deliver a current prospectus in connection with any
disposition of Registrable 

     

    
      
        
        

      

      
        -9-

        
          

        

      

      
        
        

      

    

     

    Securities,
an untrue statement or alleged untrue statement or omission in a prospectus
corrected in any subsequent supplement to such prospectus that was delivered to
the selling Investor before the pertinent sale or sales by the selling
Investor.

     

    (b) To the
extent permitted by law, each selling Investor will severally and not jointly
indemnify and hold harmless the Company, each of its directors, each of its
officers who have signed a Registration Statement, each person, if any, who
controls the Company within the meaning of the Securities Act, and all other
selling Investors against any losses, claims, damages or liabilities to which
the Company or any such director, officer, controlling person, or such other
selling Investor may become subject, under the Securities Act or otherwise,
insofar as such losses, claims, damages or liabilities (or actions in respect
thereto) arise out of or are based upon (i) any untrue or alleged untrue
statement of any material fact contained in a Registration Statement or any
prospectus, relating thereto or in any amendments to a Registration Statement or
supplements to a prospectus, or arise out of or are based upon the omission or
alleged omission to state therein a material fact required to be stated therein
or necessary to make the statements therein not misleading, in each case to the
extent and only to the extent that such untrue statement or alleged untrue
statement or omission or alleged omission was made in a Registration Statement,
in any prospectus relating thereto or in any amendments to a Registration
Statement or supplements to any such prospectus, in reliance upon and in
conformity with written information furnished by the selling Investor expressly
for use in connection with a Registration Statement or any prospectus or (ii) at
any time when the Company has advised the Investor in writing that the Company
does not meet the conditions for use of Rule 172 and as a result that the
Investor is required to deliver a current prospectus in connection with any
disposition of Registrable Securities, was corrected in any subsequent
supplement to such prospectus that was delivered to the selling Investor before
the pertinent sale or sales by the selling Investor; and such selling Investor
will reimburse any legal or other expenses reasonably incurred by the Company or
any such director, officer, controlling person, or other selling Investor in
connection with investigating or defending any such loss, claim, damage,
liability or action, provided, however, that the
liability of each selling Investor hereunder shall be limited to the proceeds
received by such selling Investor from the sale of Registrable Securities giving
rise to such liability, and provided, further, however, that the
indemnity agreement contained in this Section 9(b) shall not apply to amounts
paid in settlement of any such loss, claim, damage, liability or action if such
settlement is effected without the consent of those selling Investor(s) against
which the request for indemnity is being made (which consent shall not be
unreasonably withheld).

     

    (c) Promptly
after receipt by an indemnified party under this Section 9 of notice of the
commencement of any action, such indemnified party will, if a claim in respect
thereof is to be made against any indemnifying party under this Section 9,
notify the indemnifying party in writing of the commencement thereof and the
indemnifying party shall have the right to participate in and, to the extent the
indemnifying party desires, jointly with any other indemnifying party similarly
noticed, to assume at its expense the defense thereof with counsel satisfactory
to the indemnified party or parties, but the omission so to notify the
indemnifying party will not relieve it from any liability which it may have to
any indemnified party for indemnification, contribution or otherwise under the
indemnity agreement contained in this Section 9 except to the extent that such
omission materially and adversely affects the indemnifying person’s ability to
defend such action.  In the event that the indemnifying party

     

    
      
        
        

      

      
        -10-

        
          

        

      

      
        
        

      

    

     

    assumes
any such defense, the indemnified party may participate in such defense with its
own counsel and at its own expense, provided, however, if the defendants in any
such action include both the indemnified party and the indemnifying party and
the indemnified party shall have reasonably concluded, based on an opinion of
counsel reasonably satisfactory to the indemnifying party, that there may be a
conflict of interest between the positions of the indemnifying party and the
indemnified party in conducting the defense of any such action or that there may
be legal defenses available to it and/or other indemnified parties which are
different from or additional to those available to the indemnifying party, the
indemnified party or parties shall have the right to select separate counsel to
assume such legal defenses and to otherwise participate in the defense of such
action on behalf of such indemnified party or parties. Upon receipt of notice
from the indemnifying party to such indemnified party of its election to assume
the defense of such action and approval by the indemnified party of counsel, the
indemnifying party will not be liable to such indemnified party under this
Section 9 for any legal or other expenses subsequently incurred by such
indemnified party in connection with the defense thereof unless  the
indemnified party shall have employed such counsel in connection with the
assumption of legal defenses in accordance with the proviso to the preceding
sentence (it being understood, however, that the indemnifying party shall not be
liable for the expenses of more than one separate counsel and one local counsel,
reasonably satisfactory to such indemnifying party, representing all of the
indemnified parties who are parties to such action in which case the reasonable
fees and expenses of counsel shall be at the expense of the indemnifying
party).

     

    (d) Notwithstanding
anything to the contrary herein, the indemnifying party shall not be entitled to
settle any claim, suit or proceeding unless in connection with such settlement
the indemnified party receives an unconditional release with respect to the
subject matter of such claim, suit or proceeding and such settlement does not
contain any admission of fault by the indemnified party.

     

    (e) If the
indemnification provided for in this Section 9 is unavailable to or insufficient
to hold harmless an indemnified party under subsection (a) or (b) above in
respect of any losses, claims, damages or liabilities (or actions or proceedings
in respect thereof) referred to therein, then each indemnifying party shall
contribute to the amount paid or payable by such indemnified party as a result
of such losses, claims, damages or liabilities (or actions in respect thereof)
in such proportion as is appropriate to reflect the relative fault of the
Company on the one hand and the Investors on the other in connection with the
statements or omissions or other matters which resulted in such losses, claims,
damages or liabilities (or actions in respect thereof), as well as any other
relevant equitable considerations.  The relative fault shall be
determined by reference to, among other things, in the case of an untrue
statement, whether the untrue statement relates to information supplied by the
Company on the one hand or an Investor on the other and the parties’ relative
intent, knowledge, access to information and opportunity to correct or prevent
such untrue statement. The Company and the Investors agree that it would not be
just and equitable if contribution pursuant to this subsection (e) were
determined by pro rata allocation (even if the Investors were treated as one
entity for such purpose) or by any other method of allocation which does not
take into account the equitable considerations referred to above in this
subsection (e).  The amount paid or payable by an indemnified party as
a result of the losses, claims, damages or liabilities (or actions in respect
thereof) referred to above in this subsection (e) shall be deemed to include any
legal or other expenses reasonably incurred by 

     

    
      
        
        

      

      
        -11-

        
          

        

      

      
        
        

      

    

     

    such
indemnified party in connection with investigating or defending any such action
or claim.  No person guilty of fraudulent misrepresentation (within
the meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent
misrepresentation. The Investors’ obligations in this subsection to contribute
are several in proportion to their sales of Registrable Securities to which such
loss relates and not joint. In no event shall the contribution obligation of an
Investor be greater in amount than the dollar amount of the proceeds (net of all
expenses paid by such Investor in connection with any claim relating to this
Section 9 and the amount of any damages such Investor has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission
or alleged omission) received by it upon the sale of the Registrable Securities
giving rise to such contribution obligation.

     

    10. REPORTS UNDER THE EXCHANGE
ACT.  With a view to making available to the Investors the
benefits of Rule 144 and any other rule or regulation of the SEC that may at any
time permit the Investors to sell the Securities to the public without
registration, the Company agrees to use commercially reasonable efforts: (i) to
make and keep public information available as those terms are understood in Rule
144, (ii) to file with the SEC in a timely manner all reports and other
documents required to be filed by an issuer of securities registered under the
Exchange Act so that sellers of the Company’s securities may avail themselves of
Rule 144, (iii) as long as any Investor owns any Securities, to furnish in
writing upon such Investor’s request a written statement by the Company that it
has complied with the reporting requirements of the Exchange Act referred to in
Rule 144, and (iv) undertake any additional actions reasonably necessary to
maintain the availability of a Registration Statement or the use of Rule
144.

     

    11. SUSPENSION.  Notwithstanding
anything in this Agreement to the contrary, in the event:

     

    (i) of
any request by the SEC or any other federal or state governmental authority
during the period of effectiveness of a Registration Statement for amendments or
supplements to a Registration Statement or related prospectus or for additional
information;

     

    (ii) of
the issuance by the SEC or any other federal or state governmental authority of
any stop order suspending the effectiveness of a Registration Statement or the
initiation of any proceedings for that purpose;

     

    (iii) of
the receipt by the Company of any notification with respect to the suspension of
the qualification or exemption from qualification of any of the Registrable
Securities for sale under any state securities or “Blue Sky” laws, or the
initiation of any proceeding for such purpose;

     

    (iv) of
any event or circumstance which necessitates the making of any changes in a
Registration Statement or related prospectus, or any document incorporated or
deemed to be incorporated therein by reference, so that, in the case of a
Registration Statement, it will not contain any untrue statement of a material
fact or any omission to state a material fact required to be stated therein or
necessary to make the statements therein not misleading, and that in the case of
the 

     

    
      
        
        

      

      
        -12-

        
          

        

      

      
        
        

      

    

     

    prospectus,
it will not contain any untrue statement of a material fact or any omission to
state a material fact required to be stated therein or necessary to make the
statements therein, in the light of the circumstances under which they were
made, not misleading; or

     

    (v) that
the Board has made the good faith determination (A) that continued use by the
selling Investors of a Registration Statement for purposes of effecting offers
or sales of Registrable Securities pursuant thereto would require, under the
Securities Act, disclosure in a Registration Statement (or the prospectus
relating thereto) of material, nonpublic information concerning the Company, its
business or prospects or any proposed material transaction involving the
Company, (B) that such disclosure would be materially adverse to the Company,
its business or prospects or any such proposed material transaction or would
make the successful consummation by the Company of any such material transaction
less likely and (C) that it is therefore necessary to suspend the use by the
Investors of such Registration Statement (and the prospectus relating thereto)
for purposes of effecting offers or sales of Registrable Securities pursuant
thereto,

     

    then the
Company shall furnish to the selling Investors a certificate signed by the
President or Chief Executive Officer of the Company setting forth one or more of
the above described circumstances, and the right of the selling Investors to use
a Registration Statement (and the prospectus relating thereto) shall be
suspended for a period (the “Suspension Period”)
of not more than 30 days after delivery by the Company of the certificate
referred to above in this Section 11; provided that the Company
shall be entitled to no more than one such Suspension Period in any fiscal
quarter, and the aggregate of all Suspension Periods during the 12-month period
commencing on the Closing and during each subsequent 12-month period until the
Mandatory Registration Termination Date (including any extension thereto) shall
not exceed 60 days.  Notwithstanding the foregoing, no Suspension
Period shall exceed 15 days (or aggregate, with other such Suspension Periods,
30 days in any such 12-month period) if the cause of the Suspension Period shall
prevent the Company under the Securities Act and or applicable SEC Guidance,
from filing with the SEC or causing to be declared effective a Registration
Statement with respect to Registrable Securities owned by Mast and not
theretofore included in an effective Registration Statement.  During
the Suspension Period, none of the Investors shall offer or sell any Registrable
Securities pursuant to or in reliance upon a Registration Statement (or the
prospectus relating thereto), and each of the Investors shall maintain in
confidence the existence and content of the above described
certificate.  The Company shall use commercially reasonable efforts to
terminate any Suspension Period as promptly as practicable.

     

    
      
        
        

      

      
        -13-

        
          

        

      

      
        
        

      

    

    12. TRANSFER OF REGISTRATION
RIGHTS.  An Investor may transfer or assign, in whole or from
time to time in part, to one or more persons its rights hereunder in connection
with the transfer of Registrable Securities by such Investor (other than by a
sale pursuant to a Registration Statement or Rule 144) to such person, provided
that such Investor complies with all laws applicable thereto and provides
written notice of assignment to the Company promptly after such assignment is
effected, and provided further that such person agrees to become a party to, and
bound by, all of the terms and conditions of, this Agreement by duly executing
and delivering to the Company an Instrument of Adherence in the form attached as
Exhibit A
hereto.

     

    13. ENTIRE
AGREEMENT.  This Agreement and the Stock Purchase Agreement
constitute and contain the entire agreement and understanding of the parties
with respect to the subject matter hereof, and supersede any and all prior
negotiations, correspondence, agreements or understandings with respect to the
subject matter hereof.

     

    14. MISCELLANEOUS.

     

    (a) This
Agreement may not be amended, modified or terminated, and no rights or
provisions may be waived, except with the written consent of the Majority
Holders and the Company.

     

    (b) This
Agreement shall be governed by and construed and enforced in accordance with the
laws of the State of New York and without regard to any conflicts of laws
concepts which would apply the substantive law of some other jurisdiction, and
shall be binding upon and inure to the benefit of the parties hereto and their
respective heirs, personal representatives, successors or assigns, provided that, to the
extent applicable, the terms and conditions of Section 12 hereof are
satisfied.  This Agreement shall also be binding upon and inure to the
benefit of any transferee of any of the Securities provided that the
terms and conditions of Section 12 hereof are
satisfied.  Notwithstanding anything in this Agreement to the
contrary, if at any time any Investor shall cease to own any Registrable
Securities, all of such Investor’s rights under this Agreement shall immediately
terminate.

     

    (c) Each of
the parties hereto irrevocably submits to the exclusive jurisdiction of the
courts of the State of New York located in New York County and the United States
District Court for the Southern District of New York for the purpose of any
suit, action, proceeding or judgment relating to or arising out of this
Agreement and the transactions contemplated hereby.  Service of
process in connection with any such 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 any such court in any such
suit, action or proceeding and to the laying of venue in such
court.  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. EACH OF THE PARTIES HERETO WAIVES ANY
RIGHT TO REQUEST A TRIAL BY JURY IN ANY LITIGATION WITH RESPECT TO THIS
AGREEMENT AND REPRESENTS THAT COUNSEL HAS BEEN CONSULTED SPECIFICALLY AS TO THIS
WAIVER.

     

    
      
        
        

      

      
        -14-

        
          

        

      

      
        
        

      

    

    (d) Any
notices, reports or other correspondence (hereinafter collectively referred to
as “correspondence”) required or permitted to be given hereunder shall be in
writing and shall be sent by postage prepaid first class mail, courier or
telecopy or delivered by hand to the party to whom such correspondence is
required or permitted to be given hereunder, and shall be deemed sufficient upon
receipt when delivered personally or by courier, overnight delivery service or
confirmed facsimile, or three (3) business days after being deposited in the
regular mail as certified or registered mail (airmail if sent internationally)
with postage prepaid, if such notice is addressed to the party to be notified at
such party’s address or facsimile number as set forth below:

     

    (i)  All correspondence to
the Company shall be addressed as follows:

     

    Broadpoint
Securities Group, Inc.

    One Penn
Plaza, 42nd
Floor

    New York,
New York 10119

    Facsimile:
(212) 273-7100

    Attention:  General
Counsel

     

    with a copy by fax or messenger or
courier to:

     

    Dewey
& LeBoeuf LLP

    1301
Avenue of the Americas

    New York,
New York 10019-6092

    Facsimile:
(212) 259-6333

    Attention:  Donald
Murray and Christopher P. Peterson

     

    (ii) All correspondence to Mast shall
be addressed as follows:

     

    MAST
Credit Opportunities I Master Fund Limited

    c/o MAST
Capital Management, LLC

    535
Boylston Street, Suite 401

    Boston,
Massachusetts 02116

    Attention:
John S. Ehlinger

    Fax:
(617) 247-7985

    

    with a
copy by fax or messenger or courier to:

     

    Foley
Hoag LLP

    Bay
Colony Corporate Center

    1000
Winter Street, Suite 4000

    Waltham,
Massachusetts 02451

    Attention:
David A. Broadwin, Esq.

    Fax:
(617) 832-7000

    

     

    (iii) All correspondence to any
Investor shall be sent to such Investor at the address set forth in the
Instrument of Adherence furnished to the Company on behalf of any
Investor.

     

    (iv)  Any
entity may change the address to which correspondence to it is to be addressed
by written notification as provided for herein.

     

    
      
        
        

      

      
        -15-

        
          

        

      

      
        
        

      

    

    (e) The
parties acknowledge and agree that in the event of any breach of this Agreement,
remedies at law may be inadequate, and each of the parties hereto shall be
entitled to seek specific performance of the obligations of the other parties
hereto and such appropriate injunctive relief as may be granted by a court of
competent jurisdiction.

     

    (f) Should
any part or provision of this Agreement be held unenforceable or in conflict
with the applicable laws or regulations of any jurisdiction, the invalid or
unenforceable part or provisions shall be replaced with a provision which
accomplishes, to the extent possible, the original business purpose of such part
or provision in a valid and enforceable manner, and the remainder of this
Agreement shall remain binding upon the parties hereto.

     

    (g) This
Agreement may be executed in a number of counterparts, any of which together
shall for all purposes constitute one Agreement, binding on all the parties
hereto notwithstanding that all such parties have not signed the same
counterpart.

     

    [Signature
Page to Follow]

     

    
      
        
        

      

      
        -16-

        
          

        

      

      
        
        

      

    

     

    IN
WITNESS WHEREOF, the parties hereto have executed this Registration Rights
Agreement as of the date and year first above written.

     

     

     

    
      
        	 	      
                Broadpoint
      Securities Group, Inc.

              	 
	 	 	 	 
	
                 

              	
                By:
      

              	/s/          
      Lee Fensterstock	 
	 	 	Name:    
      Lee Fensterstock	 
	 	 	Title:     
      Chief Executive Officer	 
	
                 

              	 	 	 

      

    

     

     

    
      	
            	      
              Mast
      Credit Opportunities Master Fund Limited

            	 
	 	 	 	 
	
               

            	
              By:
      

            	/s/          Christopher
      B. Madison	 
	 	 	Name:    Christopher
      B. Madison	 
	 	 	Title:     
      Partner	 
	
               

            	 	 	 

       

    

     

     

    

    

    
      
        
        

      

      
        Signature
Page to Registration Rights Agreement

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
A

     

    Instrument of
Adherence

     

    Reference
is hereby made to that certain Registration Rights Agreement, dated as of
March __, 2008, among Broadpoint Securities Group, Inc., a Delaware
corporation (the “Company”), Mast and
the Investor Permitted Transferees, as amended and in effect from time to time
(the “Registration
Rights Agreement”). Capitalized terms used herein without definition
shall have the respective meanings ascribed thereto in the Registration Rights
Agreement.

     

    The
undersigned, in order to become the owner or holder of [___________] shares of
common stock, par value $0.01 per share (the “Common Stock”), of
the Company hereby agrees that, from and after the date hereof, the undersigned
has become a party to the Registration Rights Agreement in the capacity of an
Investor Permitted Transferee, and is entitled to all of the benefits under, and
is subject to all of the obligations, restrictions and limitations set forth in,
the Registration Rights Agreement that are applicable to Investor Permitted
Transferees.  This Instrument of Adherence shall take effect and shall
become a part of the Registration Rights Agreement immediately upon
execution.

     

    All
Notice should be sent to the undersigned at the following address:

     

    Name:

     

    Address:

     

    Attention:

     

    Facsimile:

     

    Email:

     

    Executed
as of the date set forth below under the laws of the State of New
York.

     

    
      	 
      	
              Signature:
      ______________________________

              Name:

              Title:

               

            

    

    

    Accepted:

     

    [                                                ]

    

    

    By:
_________________________

    Name:

    Title:

     

    Date:  _________,
200__

     

    
      
        
        

      

      
        A-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
B

     

    Plan of
Distribution

     

    The
selling security holders, or their pledgees, donees, transferees, or any of
their successors in interest selling securities received from a named selling
security holder as a gift, partnership distribution or other non-sale-related
transfer after the date of this prospectus (all of whom may be selling security
holders), may sell the securities from time to time on any stock exchange or
automated interdealer quotation system on which the securities are listed, in
the over-the-counter market, in privately negotiated transactions or otherwise,
at fixed prices that may be changed, at market prices prevailing at the time of
sale, at prices related to prevailing market prices or at prices otherwise
negotiated. The selling security holders may sell the securities by one or more
of the following methods, without limitation:

    

    
      	
              (a)

            	 
      	
              block
      trades in which the broker or dealer so engaged will attempt to sell the
      securities as agent but may position and resell a portion of the block as
      principal to facilitate the transaction;

            
	 
      	 
      	 
      
	
              (b)

            	 
      	
              purchases
      by a broker or dealer as principal and resale by the broker or dealer for
      its own account pursuant to this prospectus;

            
	 
      	 
      	 
      
	
              (c)

            	 
      	
              an
      exchange distribution in accordance with the rules of any stock exchange
      on which the securities are listed;

            
	 
      	 
      	 
      
	
              (d)

            	 
      	
              ordinary
      brokerage transactions and transactions in which the broker solicits
      purchases;

            
	 
      	 
      	 
      
	
              (e)

            	 
      	
              privately
      negotiated transactions;

            
	 
      	 
      	 
      
	
              (f)

            	 
      	
              short
      sales;

            
	 
      	 
      	 
      
	
              (g)

            	 
      	
              through
      the writing of options on the securities, whether or not the options are
      listed on an options exchange;

            
	 
      	 
      	 
      
	
              (h)

            	 
      	
              through
      the distribution of the securities by any selling security holder to its
      partners, members or stockholders;

            
	 
      	 
      	 
      
	
              (i)

            	 
      	
              one
      or more underwritten offerings on a firm commitment or best efforts
      basis;

            
	 
      	 
      	 
      
	
              (j)

               

              (k)

            	 
      	
              any
      combination of any of these methods of sale; and

               

              any
      other method permitted pursuant to applicable
  law.

            

    

    

              The
selling security holders may also transfer the securities by gift. We do not
know of any arrangements by the selling security holders for the sale of any of
the securities.

    

              The
selling security holders may engage brokers and dealers, and any brokers or
dealers may arrange for other brokers or dealers to participate in effecting
sales of the securities. These brokers, dealers or underwriters may act as
principals, or as an agent of a selling security holder. Broker-dealers may
agree with a selling security holder to sell a specified number of the
securities at a stipulated price per security. If the broker-dealer is unable to
sell securities acting as agent for a selling security holder, it may purchase
as principal any unsold securities at the stipulated price. Broker-dealers who
acquire securities as principals may thereafter resell the securities from time
to time in transactions in any stock exchange or automated interdealer quotation
system on which the securities are then listed, at prices and on terms then
prevailing at the time of sale, at prices related to the then-current market
price or in negotiated transactions. Broker-dealers may use block transactions
and sales to and through broker-dealers, including transactions of the nature
described above. The selling security holders may also sell the securities in
accordance with Rule 144 under the Securities Act of 1933, as amended,
rather than pursuant to this prospectus, regardless of whether the securities
are covered by this prospectus.

    

         From
time to time, one or more of the selling security holders may pledge,
hypothecate or grant a security interest in some or all of the securities owned
by them. The pledgees, secured parties or persons to whom the 

     

    
      
        
        

      

      
        B-1

        
          

        

      

      
        
        

      

    

     

    securities
have been hypothecated will, upon foreclosure in the event of default, be deemed
to be selling security holders. The number of a selling security holder’s
securities offered under this prospectus will decrease as and when it takes such
actions. The plan of distribution for that selling security holder’s securities
will otherwise remain unchanged. In addition, a selling security holder may,
from time to time, sell the securities short, and, in those instances, this
prospectus may be delivered in connection with the short sales and the
securities offered under this prospectus may be used to cover short
sales.

    

    To the
extent required under the Securities Act of 1933, as amended, the aggregate
amount of selling security holders’ securities being offered and the terms of
the offering, the names of any agents, brokers, dealers or underwriters and any
applicable commission with respect to a particular offer will be set forth in an
accompanying prospectus supplement. Any underwriters, dealers, brokers or agents
participating in the distribution of the securities may receive compensation in
the form of underwriting discounts, concessions, commissions or fees from a
selling security holder and/or purchasers of selling security holders’
securities of securities, for whom they may act (which compensation as to a
particular broker-dealer might be in excess of customary
commissions).

    

    The
selling security holders and any underwriters, broker-dealers or agents that
participate in the distribution of the securities may be deemed to be
“underwriters” within the meaning of the Securities Act of 1933, as amended, and
any discounts, concessions, commissions or fees received by them and any profit
on the resale of the securities sold by them may be deemed to be underwriting
discounts and commissions.

    

    A selling
security holder may enter into hedging transactions with broker-dealers and the
broker-dealers may engage in short sales of the securities in the course of
hedging the positions they assume with that selling security holder, including,
without limitation, in connection with distributions of the securities by those
broker-dealers. A selling security holder may enter into option or other
transactions with broker-dealers that involve the delivery of the securities
offered hereby to the broker-dealers, who may then resell or otherwise transfer
those securities. A selling security holder may also loan or pledge the
securities offered hereby to a broker-dealer and the broker-dealer may sell the
securities offered hereby so loaned or upon a default may sell or otherwise
transfer the pledged securities offered hereby.

    

    The
selling security holders and other persons participating in the sale or
distribution of the securities will be subject to applicable provisions of the
Securities Exchange Act of 1934, as amended, and the rules and regulations
thereunder, including Regulation M. This regulation may limit the timing of
purchases and sales of any of the securities by the selling security holders and
any other person. The anti-manipulation rules under the Securities Exchange Act
of 1934, as amended, may apply to sales of securities in the market and to the
activities of the selling security holders and their affiliates. Furthermore,
Regulation M may restrict the ability of any person engaged in the
distribution of the securities to engage in market-making activities with
respect to the particular securities being distributed for a period of up to
five business days before the distribution. These restrictions may affect the
marketability of the securities and the ability of any person or entity to
engage in market-making activities with respect to the securities.

    

    We have
agreed to indemnify in certain circumstances the selling security holders of the
securities covered by the registration statement, against certain liabilities,
including liabilities under the Securities Act of 1933, as amended. The selling
security holders have agreed to indemnify us in certain circumstances against
certain liabilities, including liabilities under the Securities Act of 1933, as
amended.

    

    The
securities offered hereby were originally issued to the selling security holders
pursuant to an exemption from the registration requirements of the Securities
Act of 1933, as amended. We have agreed to pay all expenses in connection with
this offering, not including underwriting discounts, concessions, commissions or
fees of the selling security holders or any fees and expenses of counsel or
other advisors to the selling security holders. The registration rights
agreement permits us to suspend the use of this prospectus in connection with
sales of our common stock offered under this prospectus by holders during
periods of time under certain circumstances relating to pending corporate
developments and public filings with the SEC and similar events

    

    We will
not receive any proceeds from sales of any securities by the selling security
holders.

    

    
      
        
        

      

      
        B-2

        
          

        

      

      
        
        

      

    

    We cannot
assure you that the selling security holders will sell all or any portion of the
securities offered hereby.

    

    
      B-3

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