Document:

Exhibit

Exhibit 10.10 
SUMMARY SHEET OF EXECUTIVE CASH COMPENSATION 
The following table sets forth annual base salaries provided to the Company’s principal executive officer, principal financial officer and other named executive officers in 2017 and as adopted for 2018 by the Company’s Compensation Committee (the “Committee”) on November 6, 2017.  This Summary Sheet is being updated to add Scott S. Douglas, the Company’s SVP, General Counsel & Secretary, who is expected to be included as a named executive officer in the Company’s definitive proxy statement for the 2018 Annual Meeting of Shareholders.
 
	
									
	Named Executive Officers
	  
	2017 Base
Salary
	 
	  
	2018 Base
Salary
	 

	Karl G. Glassman, President and CEO
	  
	$
	1,175,000
	 
	  
	$
	1,225,000
	 

	Matthew C. Flanigan, EVP and CFO
	  
	$
	550,000
	 
	  
	$
	572,000
	 

	Perry E. Davis, EVP, President - Residential Products & Industrial Products
	  
	$
	500,000
	 
	  
	$
	512,000
	 

	J. Mitchell Dolloff, EVP, President - Specialized Products & Furniture Products
	  
	$
	500,000
	 
	  
	$
	512,000
	 

	Scott S. Douglas, SVP - General Counsel & Secretary1
	 
	$
	330,000
	 
	 
	$
	380,000
	 

	Jack D. Crusa, SVP - Operations2
	  
	$
	152,000
	 
	  
	 
	N/A
	 

	
		
	 
	 

	

1    Mr. Douglas’ base salaries are included in this disclosure because he is expected to be included as a named executive officer in the Company’s definitive proxy statement for the 2018 Annual Shareholders Meeting.

2    Mr. Crusa retired as of December 31, 2017.  As part of Mr. Crusa’s retirement transition, he continued to receive an annual base salary of $380,000 until April 2, 2017 when such rate was reduced to $190,000. His salary rate was further reduced to $152,000 on July 9, 2017.

 
Except as noted below, the named executive officers are eligible to receive an annual cash incentive under the Company’s 2014 Key Officers Incentive Plan (filed March 25, 2014 as Appendix A to the Company’s Proxy Statement) (the “KOIP”) in accordance with the 2018 KOIP Award Formula. We expect to adopt the 2018 Award Formula under the Company’s KOIP in March 2018. We expect the 2018 KOIP Award Formula to be largely similar to the 2017 KOIP Award Formula, under which an executive officer is eligible to receive a cash award calculated by multiplying his annual base salary at the end of the year by a percentage set by the Compensation Committee (the “Target Percentage”), then applying the award formula. Corporate Participants and Profit Center Participants are expected to have separate award calculations based on factors defined in the 2018 KOIP Award Formula. For 2018, those factors are expected to be based on the achievement of Return on Capital Employed (60% relative weight), Cash Flow (for Glassman, Flanigan and Douglas) and Free Cash Flow (for Davis and Dolloff) each at 20% relative weight, and Individual Performance Goals established outside the KOIP (20% relative weight). The Target Percentages for 2017, and as adopted for 2018 by the Committee on November 6, 2017, for the principal executive officer, principal financial officer, and other named executive officers are shown in the following table. 
 
	
									
	Named Executive Officers
	  
	2017 KOIP
Target
Percentage
	 
	 
	2018 KOIP
Target
Percentage
	 

	Karl G. Glassman, President and CEO
	  
	 
	120
	%  
	 
	 
	120
	%  

	Matthew C. Flanigan, EVP and CFO
	  
	 
	80
	% 
	 
	 
	80
	% 

	Perry E. Davis, EVP, President - Residential Products & Industrial Products
	  
	 
	80
	% 
	 
	 
	80
	% 

	J. Mitchell Dolloff, EVP, President - Specialized Products & Furniture Products
	  
	 
	80
	% 
	 
	 
	80
	% 

	Scott S. Douglas, SVP - General Counsel & Secretary1
	 
	 
	50
	% 
	 
	 
	50
	% 

	Jack D. Crusa, SVP - Operations2
	  
	 
	N/A
	 
	 
	 
	N/A
	 

	
		
	 
	 

	

1    Mr. Douglas’ Target Percentages are included in this disclosure because he is expected to be included as a named executive officer in the Company’s definitive proxy statement for its 2018 Annual Shareholders Meeting.

1

	
		
	2    Mr. Crusa retired as of December 31, 2017. As determined in January 2017, as part of Mr. Crusa’s retirement transition, he participated, in 2017, in the Company’s Key Management Incentive Compensation Plan (the “KMICP”), which is a cash bonus plan for non-executive officers. The KMICP award formula for Mr. Crusa was adopted on March 22, 2017 and included performance objectives based on Return on Capital Employed (70% relative weight) and Free Cash Flow (30% relative weight). It was calculated by multiplying his weighted average annual base salary for 2017 by his target percentage of 60%, then applying the award formula. For more information about the KMICP as it applied to Mr. Crusa for 2017, refer to the Company’s Form 8-K filed March 27, 2017. Because of his retirement, Mr. Crusa will not participate in the KOIP or the KMICP in 2018.

 
Individual Performance Goals. On November 6, 2017, the Committee adopted Individual Performance Goals (“IPGs”) for our named executive officers. Except as noted below, the 2017 KOIP Award Formula recognized, and the 2018 KOIP Award Formula is expected to recognize, that 20% of each executive’s cash award in 2017 and 2018 respectively, under our KOIP will be based on the achievement of the IPGs. The IPGs for our named executive officers in 2018 are, and for 2017, were: 
 
	
					
	Named Executive Officers
	  
	2017 IPGs
	  
	2018 IPGs

	Karl G. Glassman
President and CEO
	  
	Strategic planning and succession planning
	  
	Implementation of growth strategy and succession planning

	 
	 
	 

	Matthew C. Flanigan
EVP and CFO
	  
	Strategic planning, information technology improvements, succession planning and efficiency initiatives
	  
	Implementation of growth strategy, succession planning and financial partner initiatives

	 
	 
	 

	Perry E. Davis
EVP, President - Residential
Products & Industrial Products
	  
	Growth initiatives and succession planning
	  
	Supply chain and growth initiatives and succession planning

	 
	 
	 

	J. Mitchell Dolloff
EVP, President - Specialized Products &Furniture Products
	  
	Strategic planning, succession planning and efficiency initiatives
	  
	Implementation of growth strategy, succession planning and efficiency initiatives

	 
	 
	 

	Scott S. Douglas1
SVP - General Counsel &
Secretary
	  
	Strategic planning, succession planning and cost initiatives
	  
	Implementation of growth strategy and succession planning

	 
	 
	 
	 
	 

	Jack D. Crusa2
SVP -Operations
	 
	None assigned
	 
	N/A

	
		
	 
	 

	

1    Mr. Douglas’ IPGs are being disclosed because he is expected to be included as a named executive officer in the Company’s definitive proxy statement for the 2018 Annual Shareholders Meeting.

2    Mr. Crusa retired as of December 31, 2017.  As part of Mr. Crusa’s retirement transition, he participated in the KMICP in 2017, which is a cash bonus plan for non-executive officers. As such, he did not receive IPGs for 2017.  Given his December 31, 2017 retirement, Mr. Crusa will not have IPGs in 2018.

 
The achievement of the IPGs is measured by the following schedule. 
 
Individual Performance Goals Payout Schedule 
(1-5 scale) 
	
					
	Achievement
	  
	Payout
	 

	1 - Did not achieve goal
	  
	 
	0
	% 

	2 - Partially achieved goal
	  
	 
	50
	% 

	3 - Substantially achieved goal
	  
	 
	75
	% 

	4 - Fully achieved goal
	  
	 
	100
	% 

	5 - Significantly exceeded goal
	  
	 
	up to 150
	% 

2Exhibit 4.1

 

THE BANK OF NEW YORK MELLON

NEW YORK’S FIRST BANK-FOUNDED 1784 BY ALEXANDER HAMILTON

 

 

2 HANSON PLACE, 12TH FLOOR, BROOKLYN,
N.Y. 11217

 

 

 

February 22, 2018

 

Hennion & Walsh, Inc.

2001 Route 46, Waterview Plaza

Parsippany, New Jersey 07054

 

Smart Trust 367 (the “Fund”)

 

Dear Sirs:

The Bank of New York
Mellon is acting as trustee for the Fund, consisting of the unit investment trust (the “Trust”) included in
the Registration Statement relating to the Fund. We enclosed a list of the securities to be deposited in the Trust on the date
hereof. The prices indicated therein reflect our evaluation of such securities as of close of business on February 21, 2018, in
accordance with the valuation method set forth in the applicable Standard Terms and Conditions of Trust and Trust Agreement. We
consent to the reference to The Bank of New York Mellon as the party performing the evaluations of the Trust securities in the
Registration Statement (No. 333-221859) filed with the Securities and Exchange Commission with respect to the registration of the
sale of the Units of the Trust and to the filing of this consent as an exhibit thereto.

 

	 	Very truly yours,
	 	 
	 	/s/ GERARDO CIPRIANO
	 	Gerardo Cipriano
	 	Vice PresidentExhibit 4.3

 

Consent of Independent Registered
Public Accounting Firm

We have issued our
report dated February 22, 2018, with respect to the financial statement of Smart Trust 367 contained in Amendment No. 1 to the
Registration Statement on Form S-6 (File No. 333-221859) and related Prospectus. We consent to the use of the aforementioned report
in the Registration Statement and Prospectus, and to the use of our name as it appears under the caption “Independent Registered
Public Accounting Firm”.

 

/s/ Grant
Thornton LLP

 

Chicago, Illinois

February 22, 2018EdgarFiling

Exhibit 10.01

 

SEVENTH AMENDMENT LOAN AGREEMENT

 

THIS SEVENTH AMENDMENT TO LOAN AGREEMENT (this
"Amendment") is made and entered into as of February 15, 2018 (the "Effective Date"),
by and between EDUCATIONAL DEVELOPMENT CORPORATION, a Delaware corporation ("Borrower"), and MIDFIRST
Bank, a federally charted savings association ("Lender").

 

Background Recitals

 

A.                
Borrower and Lender are parties to that certain Loan Agreement dated as of December 1, 2015, as amended by that certain First Amendment
to Loan Agreement dated as of March 10, 2016, as amended by that certain Second Amendment to Loan Agreement dated as of June 15,
2016, as further amended by that certain Third Amendment to Loan Agreement dated as of June 28, 2016, as further amended by that
certain Fourth Amendment to Loan Agreement dated as of February 7, 2017, as further amended by that certain Fifth Amendment to
Loan Agreement dated as of June 15, 2017, and as further amended by that certain Sixth Amendment to Loan Agreement dated as of
September 1, 2017 (as amended, the "Loan Agreement"). Unless the context otherwise requires, capitalized
terms used in this Amendment and not otherwise defined herein have the respective meanings assigned to them in the Loan Agreement.

 

B.                 
Borrower has requested that Lender (i) remove the Minimum Tangible Net Worth covenant, (ii) modify the limitation on dividends,
and (iii) reduce the maximum Adjusted Funded Debt to EBITDA Ratio from 3.25:1.00 to 3.00:1.00, and Lender has agreed to such requests,
but only upon the terms and conditions set forth in this Amendment.

 

NOW, THEREFORE, in consideration of the premises
and the mutual covenants and agreements contained herein, and for other good and valuable consideration, the receipt and adequacy
of which are hereby acknowledged, the Parties agree as follows:

 

1.                  
REMOVAL OF MINIMUM TANGIBLE NET WORTH COVENANT.

 

1.1.            
Deleted Definitions. Effective as of the Effective Date, the definitions of "Minimum Tangible Net Worth" and "TNW
Test Default" are hereby deleted from the Loan Agreement.

 

1.2.            
Deleted Event of Default. Section 5.1(i) of the Loan Agreement is amended in its entirety to read as follows:

 

		(i)	[Intentionally omitted.]

 

2.                  
DIVIDENDS. Section 4.1(v) of the Loan Agreement is hereby amended in its entirety to read as follows:

 

(v)       Limitation
on Dividends and Stock Buybacks. Borrower shall not declare, make or pay any dividend or distribution, or set apart any sum
or any of its assets for the payment of any dividend of distribution, if (i) a Default or Event of Default exists, (ii) such action
would be reasonably expected to result in a Default or Event of Default, or (iii) such dividend or distribution would exceed (1)
50% of Borrower's net profit (if positive) beginning with the fiscal year ending February 28, 2018, and each subsequent fiscal
year, or (2) Borrower's quarterly net income for the fiscal quarter for which it is declared.

 

3.                  
Adjusted Funded Debt to EBITDA Ratio. The following definition appearing
in Exhibit A of the Loan Agreement is hereby amended in its entirety to read as follows:

 

     

     

    

"AFD Test Default"
means that, as of the last day of any calendar month, the Adjusted Funded Debt to EBITDA Ratio is greater than 3.00:1.00.

 

4.                  
REPLACEMENT COMPLIANCE CERTIFICATE. The form of Compliance Certificate set forth in Exhibit C of Loan Agreement
is hereby replaced with Exhibit C-1 attached to this Amendment.

 

5.                  
CONDITIONS TO EFFECTIVENESS. This Amendment will be effective as of the Effective Date, but subject to satisfaction of each
of the following conditions precedent:

 

5.1.            
Execution of Amendment. This Amendment shall have been executed by the applicable parties and delivered to Lender, each
in form and substance satisfactory to Lender.

 

5.2.            
Legal Matters. All legal matters incident to this Amendment shall be satisfactory to Lender and its counsel.

 

6.                  
REPRESENTATIONS AND WARRANTIES.

 

6.1.            
Reaffirmation. Borrower confirms that all representations and warranties made by it in the Loan Agreement and the other
Loan Documents are, and as of the Effective Date will be, true and correct in all material respects, and all of such representations
and warranties are hereby remade and restated as of the Effective Date and shall survive the execution and delivery of this Amendment.

 

6.2.            
Additional Representations and Warranties.

 

6.2.1.       
Power; Transactional Authority; Enforceability. Borrower has the requisite power and authority to execute, deliver and carry
out the terms and provisions of this Amendment, and has taken all necessary action to authorize its execution, delivery and performance
of this Amendment. Borrower has duly executed and delivered this Amendment. This Amendment constitutes Borrower's legal, valid
and binding obligations, enforceable in accordance with the terms of the Loan Documents, as amended by this Amendment, subject
to (i) the effect of any Applicable Bankruptcy Law, or (ii) general principles of equity.

 

6.2.2.       
No Violation; No Consent. Borrower's execution, delivery and performance of this Amendment, and compliance with the terms
and provisions of the Loan Documents, as amended by this Amendment, will not (i) contravene any Applicable Law, (ii) conflict or
be inconsistent with or result in any breach of any term, covenant, condition or provision of, or constitute a default under, or
result in the creation or imposition of (or the obligation to create or impose) any lien upon any of the Property or Borrower's
other assets pursuant to the terms of any indenture, mortgage, deed of trust, agreement or other instrument to which Borrower is
a party or by which Borrower or any of the Property or Borrower's other assets is bound or may be subject, or (iii) violate any
term of Borrower's certificate of incorporation or other documents and agreements governing Borrower's existence, management or
operation. Borrower is not required to obtain the consent of any other party, including any Governmental Authority, in connection
with the execution, delivery, performance, validity or enforceability of the Loan Documents, as amended by this Amendment.

 

6.2.3.       
Financial Matters. Each Borrower Party financial statement previously delivered to Lender was prepared in accordance with
GAAP and completely, correctly and fairly present the financial condition and the results of operations of each Borrower Party
on the date and for the period covered by the financial statements. All other reports, statements and other data that any Borrower
Party furnished to Lender in connection with the Loan are true and correct in all material respects and do not omit any fact or
circumstance necessary to ensure that the statements are not misleading. Each Borrower Party (i) is solvent, (ii) is not bankrupt,
and (iii) has no outstanding liens, suits, garnishments, bankruptcies or court actions which may render such Borrower Party insolvent
or bankrupt. Since the date of the last financial statements each Borrower Party delivered to Lender, no event, act, condition
or liability has occurred or exists, which has had, or may reasonably be expected to have, a material adverse effect upon (A) such
Borrower Party's business, condition (financial or otherwise) or operations, or (B) such Borrower Party's ability to perform or
satisfy, or Lender's ability to enforce, any of the Indebtedness.

 

    	 	2	 

     

    

6.2.4.       
Litigation. There are no suits or proceedings (including condemnation) pending or (to Borrower's knowledge, after reasonable
inquiry) threatened against or affecting any Borrower Party or the Property or involving the validity, enforceability or priority
of any of the Loan Documents. Borrower has not received notice from any Governmental Authority alleging that any Borrower Party
or the Property is violating any Applicable Law.

 

6.2.5.       
No Default. No Event of Default currently exists or would exist after giving effect to the transactions contemplated by
this Amendment.

 

7.                  
MISCELLANEOUS.

 

7.1.            
Effect of Amendment. The terms of this Amendment shall be incorporated into and form a part of the Loan Agreement. Except
as expressly amended, modified and supplemented by this Amendment, the Loan Agreement shall continue in full force and effect in
accordance with its original stated terms, all of which are hereby reaffirmed in every respect as of the Effective Date. In the
event of any irreconcilable inconsistency between the terms of this Amendment and the terms of the Loan Agreement, the terms of
this Amendment shall control and govern, and the agreements shall be interpreted so as to carry out and give full effect to the
intent of this Amendment. All references to the Loan Agreement appearing in any of the Loan Documents shall hereafter be deemed
references to the Loan Agreement as amended, modified and supplemented by this Amendment.

 

7.2.            
No Course of Dealing; Past Acceptance. This Amendment shall not establish a course of dealing or be construed or relied
upon as evidence of any willingness on Lender's part to grant any future consent or amendment, should any be requested. Lender
acknowledges that Lender and its agents in the past may have accepted, without exercising the remedies to which Lender was entitled,
payments and performance by Borrower that constituted Events of Default under the Loan Documents. Borrower acknowledges that no
such acceptance or grace granted by Lender or its agents in the past, or Lender's agreement to the modifications evidenced hereby,
has in any manner diminished Lender's right in the future to insist that Borrower Parties strictly comply with the terms of the
Loan Documents, as modified by the terms of this Amendment. Furthermore, Borrower specifically acknowledges that any future grace
or forgiveness of any Events of Default shall not constitute a waiver or diminishment of any right of Lender with respect to any
future Event of Default, whether or not similar to any Event of Default with respect to which Lender has in the past chosen, or
may in the future choose, not to exercise all of the rights and remedies granted to it under the Loan Documents.

 

7.3.            
Release. Borrower hereby releases, remises, acquits and forever discharges Lender and any co-lender or loan participant,
together with their respective employees, agents, representatives, consultants, attorneys, fiduciaries, servants, officers, directors,
partners, predecessors, successors and assigns, subsidiary corporations, parent corporations, and related corporate divisions (all
of the foregoing the "Released Parties"), from any and all actions and causes of action, judgments, executions,
suits, liens, debts, claims, counterclaims, defenses, demands, liabilities, obligations, damages and expenses of any and every
character (collectively, "Claims"), known or unknown, direct or indirect, at law or in equity, of whatsoever
kind or nature, whether heretofore or hereafter accruing, for or because of any matter or things done, omitted or suffered to be
done by any of the Released Parties prior to and including the Effective Date, and in any way directly or indirectly arising out
of or in any way connected to this Amendment or the other Loan Documents, or any of the transactions associated therewith, or the
Property, including specifically but not limited to claims of usury, lack of consideration, fraudulent transfer and lender liability,
that it now has or may hereafter have against any Released Party, and hereby agrees to indemnify and hold harmless Lender and each
other Released Party for all Claims that any Person may bring against any such Released Party that arise under or in connection
with the Loan Agreement based on facts existing on or before the Effective Date. THE FOREGOING RELEASE INCLUDES ACTIONS AND
CAUSES OF ACTION, JUDGMENTS, EXECUTIONS, SUITS, DEBTS, CLAIMS, DEMANDS, LIABILITIES, OBLIGATIONS, DAMAGES AND EXPENSES ARISING
AS A RESULT OF THE NEGLIGENCE OR STRICT LIABILITY OF ONE OR MORE OF THE RELEASED PARTIES.

 

7.4.            
Ratification and Affirmation. Borrower hereby acknowledges the terms of this Amendment and ratifies and affirms its obligations
under, and acknowledges, renews and extends its continued liability under, each Loan Document to which it is a party and agrees
that each Loan Document to which it is a party remains in full force and effect.

 

    	 	3	 

     

    

7.5.            
No Modification. This Amendment along with the Loan Documents supersedes and merges all prior and contemporaneous promises
and agreements. No modification of this Amendment or any other Loan Document, or any waiver of rights under any of the foregoing,
shall be effective unless made by supplemental agreement, in writing, executed by the Parties. The Parties further agree that the
Loan Agreement, as amended by this Amendment, may not in any way be explained or supplemented by a prior, existing or future course
of dealings between the Parties or by any prior, existing, or future performance between the Parties pursuant to this Amendment,
the Loan Agreement or otherwise.

 

7.6.            
Headings. The headings of the sections and subsections of this Amendment are for convenience of reference only and will
not affect the scope or meaning of the sections of this Amendment.

 

7.7.            
Applicable Law. This Amendment and the rights and obligations of Borrower and Lender are in all respects governed by, and
construed and enforced in accordance with the Governing Law (without giving effect to its principles of conflicts of law), except
for those terms of the Security Instruments pertaining to the creation, perfections, validity, priority or foreclosure of the liens
or security interests on the Property located within the State, which terms will be governed by, and construed and enforced in
accordance with the laws of the State (without giving effect to its principles of conflicts of law).

 

7.8.            
Counterparts; Miscellaneous. This Amendment may be executed in any number of counterparts with the same effect as if all
signers executed the same instrument. All counterparts of this Amendment must be construed together and will constitute one instrument.
This Amendment is a Loan Document. Time is of the essence with respect to this Amendment. The Parties acknowledge and confirm that
each of their respective attorneys has participated or has had the opportunity to participate jointly in the review and revision
of this Amendment and that it has not been written solely by counsel for one party. The Parties therefore stipulate and agree that
the rule of construction to the effect that any ambiguities are to or may be resolved against the drafting Party will not favor
either Party against the other. The terms and provisions of this Amendment are binding upon and inure to the benefit of the Parties
and their successors and assigns.

 

7.9.            
Reimbursement of Expenses. Borrower agrees to pay or reimburse Lender for all reasonable out-of-pocket expenses, including
Attorneys' Fees, incurred by Lender in connection with the negotiation, preparation, execution and delivery of this Amendment and
the consummation of the transactions contemplated hereby.

 

[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]

 

    	 	4	 

     

    

IN WITNESS WHEREOF, the parties have caused
this Amendment to be duly executed effective as of the Effective Date.

 

 

	Borrower:	 	EDUCATIONAL DEVELOPMENT CORPORATION,
	 	 	a Delaware corporation
	 	 	 
	 	 	 
	 	 	By: ________________________
	 	 	Name: Randall W. White
	 	 	Title: Chairman, President and CEO

 

 

 

 

 

Borrower's Signature Page

to

Seventh amendment to Loan
Agreement

     

     

    

	Lender:	 	MIDFIRST BANK, a federally chartered savings association
	 	 	 
	 	 	 
	 	 	By:  ________________________
	 	 	Name: Marc Short
	 	 	Title: Senior Vice President

 

 

 

 

 

 

 

Lender's Signature Page

to

Seventh amendment to Loan
Agreement

     

     

    

EXHIBIT C-1

 

COMPLIANCE CERTIFICATE

 

On December 1, 2015, EDUCATIONAL DEVELOPMENT
CORPORATION, a Delaware corporation ("Borrower"), and MIDFIRST
Bank ("Lender") entered into a Loan Agreement (as, from time to time, amended, modified or restated,
the "Agreement"). Borrower delivers this certificate (this "Certificate") to Lender in order
to comply with the terms of the Agreement. Capitalized terms used, but not defined, in this Certificate have the meanings specified
in the Agreement.

 

Borrower certifies to Lender that as of the
Effective Date (as defined below):

 

(1)               
No Event of Default exists;

 

(2)               
No event exists which after the passage of time or the delivery of notice will become an Event of Default;

 

(3)               
The natural person executing this Certificate on Borrower's behalf (a) holds the title or position with Borrower required under
the Agreement to execute this Certificate, (b) has been duly authorized to execute this Certificate on Borrower's behalf, and (c)
has the capacity to duly execute, and make the certifications in, this Certificate; and

 

(4)               
Borrower's calculations of the Debt Coverage Ratio as of the Monthly Calculation Date (as defined below) are set forth on Schedule
1 to this Certificate.

 

(5)               
Borrower's calculations of the Adjusted Funded Debt to EBITDA Ratio as of the Monthly Calculation Date are set forth on Schedule
2 to this Certificate.

 

(6)               
Borrower's calculations of the monthly commitment fee for the month ending on the Monthly Calculation Date are set forth on Schedule
3 to this Certificate.

 

BORROWER:

 

EDUCATIONAL DEVELOPMENT CORPORATION

 

By: ______________________________

 

Name:  ____________________________

 

Title:  _____________________________

 

______________________________

Date Borrower executed this Certificate

(the "Effective Date")

 

 

 ______________________________

Last day of most recently completed

calendar month for monthly calculations

(the
"Monthly Calculation Date")

 

 

 ______________________________

Last day of most recently completed fiscal

quarter for quarterly calculations

(the "Quarterly Calculation Date")

 

 

Exhibit C-1

to

Seventh Amendment to Loan
Agreement

     

     

    

Schedule 1

to

Compliance Certificate

 

This Schedule 1 to Compliance Certificate is delivered as of the
date reflected on the accompanying Compliance Certificate and is executed and delivered by Educational Development Corporation,
a Delaware corporation ("Borrower"), to MidFirst Bank ("Lender") pursuant to and in accordance
with the provisions of that certain Loan Agreement dated as of December 1, 2015 (as amended and in effect from time to time, the
"Agreement") between Borrower and Lender.

 

Compliance with Debt Coverage Ratio

 

	A. Numerator:	 	 
	 	 	 
	Net Income	 	$ _____________________________
	 	 	 
	plus Interest Expense	 	+ $  _____________________________
	 	 	 
	plus Depreciation and Amortization Expense	 	+ $  _____________________________
	 	 	 
	less Dividends	 	- $  _____________________________
	 	 	 
	 	 	   $  _____________________________
	B. Denominator:	 	 
	 	 	 
	Current maturities of long term indebtedness	 	$  _____________________________
	 	 	 
	plus Interest Expense	 	+ $  _____________________________
	 	 	 
	plus capital leases	 	+ $  _____________________________
	 	 	 
	Debt Coverage Ratio (A ÷ B)	 	____________:1

 

Schedule 1

to 

Exhibit C-1

to

Seventh Amendment to Loan
Agreement

     

     

    

Schedule 2

to

Compliance Certificate

 

This Schedule 2 to Compliance Certificate is delivered as of the
date reflected on the accompanying Compliance Certificate and is executed and delivered by Educational Development Corporation,
a Delaware corporation ("Borrower"), to MidFirst Bank ("Lender") pursuant to and in accordance
with the provisions of that certain Loan Agreement dated as of December 1, 2015 (as amended and in effect from time to time, the
"Agreement") between Borrower and Lender.

 

Adjusted Funded Debt to EBITDA Ratio

 

	A. Numerator:	 	 
	 	 	 
	Funded Debt	 	$   _____________________________
	 	 	 
	minus Principal Term Amount	 	 
	(Lender's Note #1108135-100 and	 	 
	Note #1108135-102)	 	- $   _____________________________
	 	 	 
	Subtotal of A:	 	$   _____________________________
	 	 	 
	B. Denominator:	 	 
	 	 	 
	Net Income	 	$   _____________________________
	 	 	 
	plus Interest Expense	 	+ $   _____________________________
	 	 	 
	plus Depreciation and Amortization
    Expense	 	+ $  _____________________________
	 	 	 
	plus Income Tax Expense	 	+ $   _____________________________
	 	 	 
	EBITDA	 	$   _____________________________
	 	 	 
	minus lease payments under Hilti
    Lease	 	- $   _____________________________
	 	 	 
	Subtotal of B:	 	$   _____________________________
	 	 	 
	Adjusted Funded Debt to EBITDA Ratio (A ÷ B)	 	____________:1

 

Schedule 2

to 

Exhibit C-1

to

Seventh Amendment to Loan
Agreement

     

     

    

Schedule 3

to

Compliance Certificate

 

This Schedule 3 to Compliance Certificate is delivered as of the
date reflected on the accompanying Compliance Certificate and is executed and delivered by Educational Development Corporation,
a Delaware corporation ("Borrower"), to MidFirst Bank ("Lender") pursuant to and in accordance
with the provisions of that certain Loan Agreement dated as of December 1, 2015 (as amended and in effect from time to time, the
"Agreement") between Borrower and Lender.

 

Monthly Commitment Fee

 

	A. Total Revolving Outstandings	 	 
	 	 	 
	Outstanding amount of all advances under Revolving Loans	 	$    _____________________________
	 	 	 
	plus Aggregate Outstanding
    amount of all Letters of Credit	 	+ $    _____________________________
	 	 	 
	Subtotal	 	$    _____________________________
	 	 	 
	B. Accounts Payable	 	$    _____________________________
	 	 	 
	Total Revolving Outstandings minus Accounts Payable (A-B)	 	$    _____________________________

 

 

Schedule 3

to 

Exhibit C-1

to

Seventh Amendment to Loan
Agreement

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00279-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00279-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00279-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00279-of-00352.parquet"}]]