Document:

Exhibit 10.7

                      VISTA BIOLOGICALS STATEMENT OF WORK

The following information, production outline and specifications will be used in
completing the contractual obligations between Vista Biologicals Corporation
(VISTA) and CytoDyn, Inc. (CytoDyn).

VISTA Information

Company:                                Vista Biologicals Corporation
                                        2120-C Las Palmas Drive
                                        Carlsbad, CA 92009-1523
                                        (760) 438-5058
                                        (760) 438-0229 FAX

Contacts (s):                           Robert Fleischaker, PhD, President

CUSTOMER Information

Company:                                CytoDyn, Inc.
                                        P.O. Box 66
                                        Glorieta, NM 87535

                                        (505) 577-1636
                                        (800) 417-7252 FAX

Contact (s):                            Mr. Allen D Allen

Shipping Source:                        Federal Express

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 1

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

Contract Objectives

Phase I:             Review current manufacturing directions and SOP's, prepare
                     summary of production work to date and help in preparation
                     of CMC section of new IND.

Phase Ib:            Clone and produce CDlla

Phase II:            Evaluate growth and productivity using several different
                     commercial media. Purify material using the three previous
                     purification methods. Show equivalency of material produced
                     by three methods in terms of an activity assay.

Phase III:           Bring in Materials.

Phase IV:            Prepare S6FIAntibody.

Review of Manufacturing Directions and SOP's, and support of preparation of new
IND (CMC section)

                     The original DMF for the production of S6Fl will be
                     reviewed. In addition the CMC section of the material
                     produced by Amerimmune will also be reviewed. The proposed
                     production and purification protocol will be compared and
                     contrasted to the two previous methods. Additionally the
                     response to questions previously asked by the FDA for a
                     phase II trial will be addressed.

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 2

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

Demonstration of Equivalency of Material Produced by the Different Methods.

                     A small study will be initiated to compare growth and
                     production by several of the now commercially available
                     media. In addition material will be produced and purified
                     by the two previous methods and the purity and activity
                     will be compared.

Production of S6Fl

Ordering and Preparing Materials

                     Materials, such as media, chromatography gels, UF filters,
                     and chemicals for buffer preparation will be ordered,
                     quarantined, and tested for identity.

Cell Line

Cell Description:    Murine hybridoma

Cell Designation:    S6Fl

Starting Seed Train

Vessel(s):           T-75cm2, T-150cm2, & T-225cm2 polystyrene flasks, spinner
                     flasks, and 10L bioreactor.

Cell resurrection:   Rapidly thaw vial in warm water, dilute into 30ml growth
                     medium, centrifuge and decant supernatant. Resuspend cell
                     pellet in 30ml growth medium. Initiate culture in 75cm2
                     flask.

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 3

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

Plant:

Roughly 2 X 105 cells/mL. or roughly 1:5 split ratio from confluent cultures.

Subculture:          By dilution when cell density roughly 1 X 106 cells/mL
                     every 2 days in order to expand culture to a final density
                     of roughly 2-4 X 108 cells.

Special Handling:    Do not allow cell density to significantly exceed 1 X 106
                     cells/mL as this effects culture viability and/or
                     productivity.

Growth Medium:       Gibco CHO-SFM

Production in Bioreactor

Culture System

Required Runs:       One (1)

Configuration:       1001 working volume Bioreactor

Planting Density:    2-3 X 105 cells/mL

Agitation:           30-60 rpm

Temperature:         37-38 C

Sampling:            Cell number and viability is determined 3 times per week.

Perfusion System:    Media is perfused through the system at a rate dependent
                     upon the culture density. The conditioned media is
                     collected into sterile bags

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 4

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

                     and held at 2-8(degree)C until further processing is
                     completed.

Purification of Product

                     The S6F1 antibody is purified from the conditioned media
                     using a series of chromatographic and UF steps. Viral
                     inactivation is provided for by a low pH hold and via UF
                     filtration through a Milipore Virasolve membrane.

Analysis of Product

                     The S6F1 antibody is analyzed for purity using gel
                     electrophoresis. Concentration is determined using OD28oo
                     Activity is determined using an ELISA type assay. Endotoxin
                     is determined by LAL.

Additional Testing of Product

                     Vista will arrange to have an outside lab provide the
                     additional safety testing required for the release of the
                     product for clinical trial use.

Final Product Specifications

Description                       Acceptance Criteria

Bulk Product               Not less than 10 grams of purified S6F1 antibody as
                           determined via OD28o

Final Product Volume       Determined by weight (1.0 gram equals 1.0 mL.)

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 5

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

Purity                    Greater than 95 % as determined via SDS-PAGE

Endotoxin                 Less than lEU / mg as determined via LAL.
Shipping Conditions       Single shipment following harvest.
                          Product sent via Federal Express.

Batch Record Review
                     Upon completion of the work Vista will provide CytoDyn with
                     a report summarizing the trial run study and the assay
                     results. In addition Vista will provide CytoDyn copies of
                     all batch records and supporting documents. CytoDyn will
                     review those batch records and make requests for any
                     additional documents or clarification within 1 week of
                     receiving those documents. Vista will provide additional
                     documents and clarification within 1 week following
                     CytoDyn's review.

General Terms and Conditions

Taxes:               Services subject to taxes will be itemized on the invoice

Costs:                    The fees are:

                     Starting review of DMF, (SOP's and manufacturing
                          directions)                                     40,000
                     Ordering and Preparing Materials,                    80,000
                     Beginning Cloning effort                             15,000
                     Continuing document review (2nd month)               40,000
                     Continuing cloning (2nd month)                       15,000
                     Evaluation of media and comparison of
                          purification methods                            30,000
                     Starting Seed Train,                                 55,000
                     Production in Bioreactor,                            50,000
                     Starting Purification of Product,                    50,000

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 6

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

                     Continuing Production (2nd month)                  50,000
                     Analysis of Product,                               40,000
                     Batch Record Review and Analysis                   40,000

                          Subtotal                                $505,000.

Payment:             In addition, the cost of outside tests, such as the end of
                     production viral testing, LAL, etc ... will be paid by
                     CytoDyn directly. Also, as in previous agreements CytoDyn
                     will indemnify Vista against liabilities arising from the
                     use or production of the S6Fl antibody, Vista will provide
                     CytoDyn with S6Fl for research use only.

Confidential Information
       The Parties recognize and acknowledge that in the course of providing the
       Services under this Agreement, each Party may acquire from the other
       information that is confidential or proprietary and the disclosure of
       which may cause irreparable injury to the disclosing Party. All such
       confidential or proprietary information disclosed hereunder shall be
       treated and protected as Confidential Information.

Intellectual Property Ownership
       Vista Biological Corporation understands and agrees that the underlying
       rights to the intellectual property and materials that are the subject of
       each Price Contract (including, without limitation, all intellectual
       property rights in Company Confidential Information, Materials and/ or
       any proteins or protein products under development by CytoDyn), are owned
       solely by CytoDyn. Neither Vista Biological Corporation nor any
       Company-approved subcontractor shall acquire any rights of any kind
       whatsoever with respect to any of the foregoing as a result of conducting
       the Services.

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 7

<PAGE>

                                                                 SOW for CytoOyn
                                                                    June 2008
                                                            ____________________

       Physical property created under this Statement of Work, including but
       without limitation, batch records, communications with the FDA, cell
       banks and bulk product will become the property of CytoDyn, Inc.

       It is anticipated that new intellectual property will be created during
       the work to be done under this Statement of Work. CytoDyn, Inc. will pay
       for the prosecution of one or more patents protecting such intellectual
       property, listing Robert Fleischaker as the inventor. In consideration of
       a reasonable royalty, Dr. Fleischaker will assign all such patent
       applications and patents to CytoDyn, Inc. Dr. Fleischaker will cooperate
       with the prosecution and assignment of patents, promptly providing all
       necessary information to CytoDyn, Inc. and promptly executing all
       necessary documents.

_____________________________________
President, Vista Biologicals Corp.
Robert Fleischaker, PhD

_____________________________________
CytoDyn, Inc.
Allen D Allen

________________________________________________________________________________
Vista Biologicals Corporation proprietary rights are included in the information
disclosed herein. Recipient by accepting this document agrees that neither this
document nor the information herein nor any part thereof shall be reproduced or
transferred to other documents or used or disclosed to others for manufacturing
or for any other purpose except as specifically authorized in writing by Vista
Biologicals Corporation. Unpublished - created on preparation of this document.
All rights reserved under copyright laws.

VISTA BIOLOGICALS CORPORATION                                             Page 8exhibit10_1.htm

March 8, 2010

 

Taberna Capital Management, LLC,

as Collateral Manager for the holders of the Preferred Securities

450 Park Avenue, Floor 11

New York, New York  10022

Attention: Michael A. Fralin, Managing Director

 

Re: Desert Capital REIT, Inc. (“DCR”) Junior Subordinated Notes dated June 16, 2006 (as amended, the “Notes”)

 

Ladies and Gentlemen:

 

Reference is hereby made to the Notes and that certain Junior Subordinated Indenture dated June 16, 2006 between DCR and The Bank of New York Mellon Trust Company, National Association (formerly known as JPMorgan Chase Bank, National Association), as Trustee, as the same has been amended (the “Indenture”).  All capitalized terms not otherwise defined herein shall have the same meaning as set forth in the Indenture.  Taberna Capital Management, LLC, is the collateral manager for various CDO vehicles which beneficially own 100% of the preferred securities backed by the Notes (“Taberna”).

 

DCR desires to restructure the obligations under the Notes and has requested that Taberna agree not to take certain actions, as provided in this Agreement, and agree not to exercise rights or remedies against DCR.  Taberna is agreeable not to take certain actions as provided in this Agreement, subject to the terms set forth in this Agreement, and with the understanding that (i) such agreement shall not prejudice or delay any aspect of Taberna’s remedies other than as expressly herein agreed, and (ii) Taberna does not waive any default or Event of Default which may occur under the Indenture.  In furtherance of its desire to restructure the obligations under the Notes and in consideration of Taberna’s agreement not to take certain actions as provided in this Agreement, DCR has agreed to pay to Taberna in immediately available funds, within one (1) business day after DCR receives a counterpart of this Agreement duly executed by Taberna, an amount equal to $394,329.17 (the “Payment”), which amount represents accrued and unpaid interest on the Notes in the amount of $344,329.17 and legal and other costs and expenses in the amount of $50,000.

 

NOW, THEREFORE, for and in consideration of the Payment and the other matters set forth above, satisfaction of conditions set forth herein, the mutual covenants, representations, warranties and agreements herein contained, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, DCR and Taberna agree as follows.

 

AGREEMENT:

 

1.           Agreement by Taberna.  Subject to the other terms set forth in this Agreement, Taberna hereby agrees that until the Standstill Termination (hereinafter defined), Taberna shall standstill and refrain from (i) commencing any action or proceeding against DCR, at law or in equity, or any action or proceeding to collect or enforce payment of any portion of the indebtedness evidenced by the Notes or under the Indenture, (ii) bringing any action or proceeding seeking appointment of a receiver or any similar relief or action, and (iii) seeking any other remedy or relief whatsoever against DCR under the Indenture, the Notes, at law, or in equity or otherwise  as a result of any default or Event of Default existing on the date hereof.

 

2.           Termination of Standstill.  As used herein, the term “Standstill Termination” means the earlier to occur of (i) the date upon which Taberna gives DCR a written notice describing the occurrence of the Termination Event (hereinafter defined), (ii) the commencement of a case under any bankruptcy, receivership, moratorium, conservatorship or similar action by or against DCR (provided, however, that if such case is an involuntary case, only if DCR does not, within sixty (60) days after such case is instituted, obtain the dismissal of such involuntary case), or (iii) the commencement of any action or proceeding against Taberna by DCR.  As used herein, the term “Termination Event” means that (a) DCR shall fail to make the Payment as provided in this Agreement, (b) DCR shall fail to make a payment to Taberna on or before March 31, 2010 in the amount of $328,181.63, which constitutes the scheduled payment of accrued and unpaid interest due on the Notes that was due on January 30, 2010, and (c) DCR shall fail to make any subsequent scheduled payment of accrued and unpaid interest due on the Notes when due under the terms of the Indenture (including any grace period thereunder).  By acceptance of each such  payment, Taberna hereby agrees to apply $344,329.17 of the amount described in clause (a) and the entire amount of the payments described in clauses (b) and (c) of the immediately preceding sentence to accrued and unpaid interest due and payable on the Notes.  Taberna agrees to apply $50,000 of the amount described in clause (a) of the immediately preceding sentence to Taberna’s legal and other costs and expenses.

 

3.           Confidentiality.  In furtherance of restructuring and settlement discussions between DCR and Taberna, pursuant to Rule 408 of the Federal Rules of Evidence, DCR has provided and agreed to provide Taberna with certain material non-public confidential financial and other information (collectively, the “Confidential Information”). Taberna’s acceptance and receipt of the Confidential Information, whether oral or written, constitutes the agreement by Taberna to receive and maintain all such Confidential Information in strict confidence and, without the prior written consent of DCR, not disclose such information to any person, except (a) as may be required by applicable law (by oral questions, interrogatories, requests for information or documents, regulation, subpoena, civil or criminal investigative demand, or similar process), or (b) for its officers, directors, employees, agents, consultants, attorneys, investors, trustees and other representatives who (i) require such information for the purpose of restructuring the indebtedness evidenced by the Notes or settlement negotiations, (ii) are informed by Taberna of the confidential nature of the Confidential Information and its obligations under this Agreement, and (iii) are made by Taberna subject to or otherwise agree to the confidentiality terms hereof or other terms that are at least as stringent as those set forth herein.  Taberna hereby further agrees not to use such confidential information to the detriment of DCR or for any reason or purpose  and shall not use such Confidential Information for any purpose other than in connection with the activities or transactions contemplated hereby.   In providing such information to Taberna, DCR does not waive any rights with respect to the information, including any rights arising from any misuse of the information by Taberna or its representatives or affiliates.  In the event that Taberna is legally compelled to make any disclosure otherwise prohibited by this Agreement, Taberna agrees to give DCR prompt notice of such legal proceedings so DCR may (i) seek an appropriate protective order or other appropriate relief, or (ii) waive compliance with the provisions of this Agreement.

 

4.           Authority.  Each of the parties hereto hereby represents and warrants to the other party that it has the power and authority to execute and deliver this Agreement and to perform its terms.  Each party has taken all necessary action to duly authorize the execution, delivery and performance of this Agreement as contemplated herein.  This Agreement constitutes the legal, valid and binding obligation of each party hereto and is enforceable against each such party in accordance with its terms, except as enforceability may be limited by insolvency, reorganization, bankruptcy, moratorium or other similar laws affecting creditors’ rights generally or by general principles of equity.

 

5.           Governing Law.  THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK.

 

6.           Multiple Counterparts.  This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which, taken together, shall constitute but one and the same agreement among the parties.

 

7.           Entire Agreement.  This Agreement constitutes the entire understanding and agreement of the parties hereto and supersedes any and all previous oral or written discussions regarding the subject matter hereof.

 

IN WITNESS WHEREOF, this Agreement has been executed to be effective as of the date set forth on Page 1 hereof.

 

 

DESERT CAPITAL REIT, INC.

 

 

By:   /s/  Todd B. Parriott         

Todd B. Parriott

Chief Executive Officer

 

TABERNA CAPITAL MANAGEMENT, LLC,

as Collateral Manager for the holders of the Preferred Securities

 

 

By:   /s/  Michael A. Fralin          

                    Michael A. Fralin

Managing Director

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00170-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00170-of-00352.parquet"}]]