Document:

THE
SECURITIES REPRESENTED BY THIS NOTE HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”).  THE SECURITIES MAY
NOT BE SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION
STATEMENT FOR THE SECURITIES UNDER SAID ACT, OR EITHER (X) AN OPINION OF COUNSEL
IN FORM, SUBSTANCE AND SCOPE CUSTOMARY FOR OPINIONS OF COUNSEL IN COMPARABLE
TRANSACTIONS THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (Y) A
TRANSFEREE CERTIFICATE EXECUTED BY THE TRANSFEREE TO THE EFFECT THAT THE
TRANSFEREE IS AN ACCREDITED INVESTOR.

    

    10%
PROMISSORY NOTE

    

    
      
        	
                New
      York, New York

              	 
      
	
                December
      ___, 2009

              	
                $500,000                   

              

      

    

    

    FOR VALUE RECEIVED, EMERALD DAIRY INC., a Nevada
corporation (hereinafter called the “Borrower”), hereby
promises to pay to the order of ____________________, a __________, or its
registered assigns (the “Holder”) the sum of
_______________ ($__________) on December ___, 2010 (the “Maturity Date”), and
to pay interest on the unpaid principal balance hereof at the rate of ten
percent (10%) per annum (the “Interest Rate”) from
December ___, 2009 (the “Issue Date”) until
the same becomes due and payable, whether at maturity or upon acceleration or by
prepayment or otherwise.  Upon the occurrence of an Event of Default
hereunder, the Interest Rate will immediately increase to fifteen percent (15%)
per annum.  Any amount of principal or interest on this Note which is
not paid when due shall bear interest at the Interest Rate (“Default
Interest”).  Interest shall commence accruing on the Issue
Date, shall be computed on the basis of a 365-day year and the actual number of
days elapsed and shall be paid in advance on the Issue
Date.  Notwithstanding any provision contained herein, in no event
shall interest accrue or be payable hereunder, including, without limitation
late charges, in excess of the maximum amount of permitted by law to be charged,
collected, or received from Borrower. All payments of principal and interest due
hereunder shall be made in lawful money of the United States of America without
setoff, demand or counterclaim. All payments shall be made at such address as
the Holder shall hereafter give to the Borrower by written notice made in
accordance with the provisions of this Note.  Whenever any amount
expressed to be due by the terms of this Note is due on any day which is not a
business day, the same shall instead be due on the next succeeding day which is
a business day.  As used in this Note, the term “business day” shall
mean any day other than a Saturday, Sunday or a day on which commercial banks in
the city of New York, New York are authorized or required by law or executive
order to remain closed.  This Note is being issued pursuant to a
Securities Purchase Agreement entered into between the Borrower and Holder (the
“Purchase
Agreement”), dated of even date herewith.  Each capitalized
term used herein, and not otherwise defined, shall have the meaning ascribed
thereto in the Purchase Agreement.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    The following terms shall apply to this
Note:

    

    ARTICLE
I.

    PREPAYMENT

    

    1.1          Borrower’s
Prepayment Option.  Notwithstanding
anything to the contrary contained herein, at Borrower’s option at any time
following the Issue Date, upon fifteen (15) days prior written notice, the
Borrower shall have the right to prepay the entire principal amount of the Note
plus all amounts due in respect of interest and otherwise payable hereunder (the
“Prepayment
Option”).  On the 16th day following such notice, the Borrower
shall make payment to the Holder of an amount in cash equal to the sum of (a)
the principal amount of the Note outstanding on such day plus (b) Default
Interest, if any, on the amounts referred to in clause (a) plus (c) any other
amounts owed to the Holder pursuant to this Note (the “Prepayment
Amount”).  If the Borrower fails to make such payment within
one (1) business day of such date the Borrower shall be subject to a penalty of
..005 multiplied by the Prepayment Amount for every additional business day on
which such payment is not made. With respect to prepaid interest, the Holder
will be entitled to retain that portion of the amounts paid to it as prepaid
interest in an amount equal to the greater of (i) the amount of interest accrued
hereunder through the date that the Prepayment Amount is paid to the Holder and
(ii) an amount equal to the then outstanding principal amount of this Note
multiplied by six percent (0.06). The Holder will return the amount of any
excess of the prepaid interest over the amount described in the prior sentence
promptly upon its receipt of the Prepayment Amount.

    

    1.2           Mandatory
Prepayment.  Notwithstanding
anything to the contrary contained herein, the Borrower covenants that it shall
prepay in whole all amounts owed under this Note from the proceeds of any public
offering of the Borrower’s securities.  In furtherance thereof, the
Borrower shall execute and deliver an irrevocable instruction letter (the
“Irrevocable Payment Instruction”) to the Holder and the underwriters in such
public offering which shall instruct the underwriters to withhold from the
Borrower (on a pro rata basis) an amount equal to the aggregate amount owed the
Holder on the settlement date of the public offering and to instead pay such
amount directly to the Holder.  The Borrower further covenants that it
shall not replace an underwriter or engage an additional underwriter unless it
shall first deliver an irrevocable instruction letter to the Holder and such
additional or replacement underwriter in the form of the Irrevocable Instruction
Letter.

    

    1.3           Security
Agreement.
Repayment of this Note shall be secured by the Pledged Shares as set forth in
the Pledge Agreement dated of even date herewith.

     

    
      
        
        

      

      
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    ARTICLE
II.

    CERTAIN
COVENANTS

    

    2.1           Distributions
on Capital Stock.  So long as the Borrower shall have any
obligation under this Note, the Borrower shall not without the Holder’s written
consent (a) pay, declare or set apart for such payment, any dividend or other
distribution (whether in cash, property or other securities) on shares of
capital stock other than dividends on shares of Common Stock solely in the form
of additional shares of Common Stock or (b) directly or indirectly or through
any subsidiary make any other payment or distribution in respect of its capital
stock except for distributions pursuant to any shareholders’ rights plan which
is approved by a majority of the Borrower’s disinterested
directors.

    

    2.2           Restriction
on Stock Repurchases.  So long as the Borrower shall have any
obligation under this Note, the Borrower shall not without the Holder’s written
consent redeem, repurchase or otherwise acquire (whether for cash or in exchange
for property or other securities or otherwise) in any one transaction or series
of related transactions any shares of capital stock of the Borrower or any
warrants, rights or options to purchase or acquire any such shares.

    

    2.3           Borrowings.  So
long as the Borrower shall have any obligation under this Note, the Borrower
shall not, without the Holder’s written consent, create, incur, assume or suffer
to exist any liability for borrowed money, except (a) borrowings in existence or
committed on the date hereof and of which the Borrower has informed Holder in
writing prior to the date hereof, (b) indebtedness to trade creditors or
financial institutions incurred in the ordinary course of business or (c)
borrowings from financial institutions where the primary purpose of the proceeds
is for the general corporate use of the Borrower or (d) borrowings, the proceeds
of which shall be used to repay this Note.

    

    2.4           Sale of
Assets.  So long as the
Borrower shall have any obligation under this Note, the Borrower shall not,
without the Holder’s written consent, sell, lease or otherwise dispose
(collectively, a “Disposition”) of any
significant portion of its assets, other than to a wholly-owned subsidiary of
the Borrower, outside the ordinary course of business unless the proceeds of
such Disposition shall be used to repay this Note.  Any consent to the
disposition of any assets may be conditioned on a specified use of the proceeds
of disposition.

    

    2.5           Advances
and Loans.  So long as the Borrower shall have any obligation
under this Note, the Borrower shall not, without the Holder’s written consent,
lend money, give credit or make advances to any person, firm, joint venture or
corporation, including, without limitation, officers, directors, employees,
subsidiaries and affiliates of the Borrower, except loans, credits or advances
(a) in existence or committed on the date hereof and which the Borrower has
informed Holder in writing prior to the date hereof or (b) made in the ordinary
course of business.

    

    2.6           Contingent
Liabilities.  So long as the Borrower shall have any obligation
under this Note, the Borrower shall not, without the Holder’s written consent,
assume, guarantee, endorse, contingently agree to purchase or otherwise become
liable upon the obligation of any person firm, partnership, joint venture or
corporation, except by the endorsement of negotiable instruments for deposit or
collection and except assumptions, guarantees, endorsements and contingencies
(a) in existence or committed on the date hereof and which the Borrower has
informed Holder in writing prior to the date hereof, and (b) similar
transactions in the ordinary course of business.

     

    
      
        
        

      

      
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    ARTICLE
III.  EVENTS OF DEFAULT

    

    3.1          Events of
Default.  Each of the
following events shall be deemed an “Event of Default” under this
Note:

    

    (a)           Failure
to Pay Principal or Interest.  The Borrower fails to pay the
principal hereof or interest thereon when due on this Note, whether at maturity,
upon acceleration, or otherwise.

    

    (b)           Breach of
Covenants.  The Borrower breaches any material covenant or
other material term or condition contained herein, in the Warrant or in the
Purchase Agreement, or the Pledgor breaches any material covenant or other
material term contained in the Pledge Agreement and such breach continues for a
period of thirty (30) days after written notice thereof to the Borrower (or to
the Borrower and the Pledgor, in the case of a breach of the Pledge Agreement)
from the Holder.

    

    (c)           Breach of
Representations and Warranties.  Any representation or warranty
of the Borrower or the Pledgor made herein or in any agreement, statement or
certificate given in writing pursuant hereto or in connection herewith
(including, without limitation, the Purchase Agreement, the Warrant and the
Pledge Agreement), shall be false or misleading in any material respect when
made and the breach of which has (or with the passage of time will have) a
material adverse effect on the rights of the Holder with respect to this Note,
the Warrant, the Pledge Agreement or the Purchase Agreement.

    

    (d)           Receiver
or Trustee.  The Borrower or any subsidiary of the Borrower or
the Pledgor shall make an assignment for the benefit of creditors, or apply for
or consent to the appointment of a receiver or trustee for it or for a
substantial part of its property or business, or such a receiver or trustee
shall otherwise be appointed;

    

    (e)           Judgments.  Any
money judgment, writ or similar process shall be entered or filed against the
Borrower or any subsidiary of the Borrower or the Pledgor or any of their
property or other assets for more than $250,000, and shall remain un-vacated,
un-bonded or un-stayed for a period of twenty (20) days unless otherwise
consented to by the Holder;

    

    (f)           Bankruptcy.  Bankruptcy,
insolvency, reorganization or liquidation proceedings or other proceedings for
relief under any bankruptcy law or any law for the relief of debtors shall be
instituted by or against the Borrower, any subsidiary of the Borrower or the
Pledgor and if instituted against the Borrower or the Pledgor is not dismissed
within sixty (60) days; or

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (g)           Delisting
of Common Stock.  The Borrower shall fail to maintain the
listing of the Common Stock on at least one of the OTCBB, the Nasdaq National
Market, the Nasdaq SmallCap Market, the New York Stock Exchange, the NYSE Amex
Equities, or comparable market or exchange.

    

    (h)           Cross-Default.  The
occurrence of a default or an “event of default” of the Borrower under any: (x)
indebtedness or (y) obligation exceeding $250,000 (or its equivalent, if such
obligation is not denominated in U.S. dollars).

    

    (i)           Collateral
Failure.  If at any time
the Holder ceases to have a first priority perfected security interest in the
Pledged Shares.

    

    (j)           Transaction
Documents Unenforceable.  If at any time
any provision of this Note, the Purchase Agreement, the Warrant, the Pledge
Agreement, the Irrevocable Payment Instruction or the Put Agreement shall cease
to be enforceable in accordance with its terms.

    

    3.2           Effect of
Event of Default.  Upon the
happening of any Event of Default, as set forth in Section 3.1 above, then, or
at any time thereafter, and in each and every such case, unless such Event of
Default shall have been waived in writing by the Holder (which waiver shall not
serve as a waiver of any subsequent default) at the option of the Holder and in
the Holder’s sole discretion, the Holder may consider this Note immediately due
and payable, without presentment, demand, protest or notice of any kind, all of
which are hereby expressly waived by the Borrower, anything herein
notwithstanding, and the Holder may immediately enforce any and all of the
Holder’s rights and remedies provided herein or any other right or remedy
afforded by law.

    

    3.3           Notice of
Event of Default.  Upon becoming
aware of the occurrence of an Event of Default, or an event which, with the
passage of time or the giving of notice, would become an Event of Default, the
Borrower shall promptly, within two (2) business days of becoming aware, provide
written notice of the same to the Holder and describing the nature of the
default and, if such default is of a nature which may be remedied, describing
whether and how such remedy is to be cured.

    

    ARTICLE
IV.  MISCELLANEOUS

    

    4.1           Failure
or Indulgence Not Waiver.  No failure or delay on the part of
the Holder in the exercise of any power, right or privilege hereunder shall
operate as a waiver thereof, nor shall any single or partial exercise of any
such power, right or privilege preclude other or further exercise thereof or of
any other right, power or privileges.  All rights and remedies
existing hereunder are cumulative to, and not exclusive of, any rights or
remedies otherwise available.

     

    
      
        
        

      

      
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    4.2           Notices.  Any
notice herein required or permitted to be given shall be in writing and may be
personally served or delivered by courier or sent by United States mail and
shall be deemed to have been given upon receipt if personally served (which
shall include telephone line facsimile transmission) or sent by courier or three
(3) days after being deposited in the United States mail, certified, with
postage pre-paid and properly addressed, if sent by mail.  For the
purposes hereof, the address of the Holder shall be as shown on the records of
the Borrower; and the address of the Borrower shall be 11990 Market Street,
Suite 205, Reston, VA 20190, Fax #: (678) 868-0633.  Both the Holder
and the Borrower may change the address for service by service of written notice
to the other as herein provided.

    

    4.3           Amendments.  This
Note and any provision hereof may only be amended by an instrument in writing
signed by the Borrower and the Holder.  The term “Note” and all
reference thereto, as used throughout this instrument, shall mean this
instrument  as originally executed, or if later amended or
supplemented, then as so amended or supplemented.

    

    4.4           Assignability.  This
Note shall be binding upon the Borrower and its successors and permitted
assigns, and shall inure to the benefit of the Holder and its successors and
assigns.  The Borrower shall not assign its obligations under this
note without the prior written consent of the Holder, in its sole
discretion.  Any purported assignment in violation of the prior
sentence shall be void ab initio.  Each transferee of this Note must
be an “accredited investor” (as defined in Rule 501(a) of the 1933
Act).  Notwithstanding anything in this Note to the contrary, this
Note may be (a) pledged as collateral in connection with a bona fide margin account
or other lending arrangement, or (b) assigned to AFH Advisory in the event that
the Holder exercises its Put Right under the Put Agreement dated of even date
herewith.

    

    4.5           Costs of
Collection.  If an Event of Default occurs, the Borrower shall
pay the Holder hereof costs of collection, including reasonable attorneys’ fees
and expenses.

    

    4.6           Governing
Law.  THIS NOTE SHALL BE ENFORCED, GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE
AND TO BE PERFORMED ENTIRELY WITHIN SUCH STATE, WITHOUT REGARD TO THE PRINCIPLES
OF CONFLICT OF LAWS.  THE BORROWER HEREBY SUBMITS TO THE EXCLUSIVE
JURISDICTION OF COURTS OF THE STATE OF CALIFORNIA LOCATED IN LOS ANGELES COUNTY
AND THE UNITED STATES DISTRICT COURT FOR THE CENTRAL DISTRICT OF CALIFORNIA WITH
RESPECT TO ANY DISPUTE ARISING UNDER THIS NOTE, THE AGREEMENTS ENTERED INTO IN
CONNECTION HEREWITH OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. BOTH
PARTIES IRREVOCABLY WAIVE THE DEFENSE OF AN INCONVENIENT FORUM TO THE
MAINTENANCE OF SUCH SUIT OR PROCEEDING.  BOTH PARTIES FURTHER AGREE
THAT SERVICE OF PROCESS UPON A PARTY MAILED BY FIRST CLASS MAIL TO THE ADDRESS
SPECIFIED IN SECTION 4.2 HEREOF SHALL BE DEEMED IN EVERY RESPECT EFFECTIVE
SERVICE OF PROCESS UPON THE PARTY IN ANY SUCH SUIT OR
PROCEEDING.  NOTHING HEREIN SHALL AFFECT EITHER PARTY’S RIGHT TO SERVE
PROCESS IN ANY OTHER MANNER PERMITTED BY LAW.  BOTH PARTIES AGREE THAT
A FINAL NON-APPEALABLE JUDGMENT IN ANY SUCH SUIT OR PROCEEDING SHALL BE
CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON SUCH JUDGMENT
OR IN ANY OTHER LAWFUL MANNER.  THE PARTY WHICH DOES NOT PREVAIL IN
ANY DISPUTE ARISING UNDER THIS NOTE SHALL BE RESPONSIBLE FOR ALL FEES AND
EXPENSES, INCLUDING ATTORNEYS’ FEES, INCURRED BY THE PREVAILING PARTY IN
CONNECTION WITH SUCH DISPUTE.

     

    
      
        
        

      

      
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    4.7           Denominations.  At
the request of the Holder, upon surrender of this Note, the Borrower shall
promptly issue new Notes in the aggregate outstanding principal amount hereof,
in the form hereof, in such denominations as the Holder shall
request.

    

    4.8           Remedies.  The Borrower
acknowledges that a breach by it of its obligations hereunder, or under the
Purchase Agreement or the Warrant will cause irreparable harm to the Holder, by
vitiating the intent and purpose of the transaction contemplated hereby and
thereby. Accordingly, the Borrower acknowledges that the remedy at law for a
breach of its obligations under this Note, the Warrant or the Purchase Agreement
will be inadequate and agrees, in the event of a breach or threatened breach by
the Borrower of the provisions of this Note, the Warrant or the Purchase
Agreement that the Holder shall be entitled, in addition to all other available
remedies at law or in equity, and in addition to the penalties assessable
herein, to an injunction or injunctions restraining, preventing or curing any
breach of this Note and to enforce specifically the terms and provisions
thereof, without the necessity of showing economic loss and without any bond or
other security being required.

    

    [THE
REMAINDER OF THIS PAGE IS LEFT BLANK INTENTIONALLY]

     

    
      
        
        

      

      
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    IN WITNESS WHEREOF, Borrower
has caused this Note to be signed in its name by its duly authorized
representative this ____ day of December, 2009.

    

    
      
        
          
            	 
      	
                    EMERALD
      DAIRY INC.

                  
	 
      	 
      
	 
      	
                    By:

                  	 
      
	 
      	 
      	
                    Name:

                  
	 
      	 
      	
                    Title:

                  

          

        

      

    

     

    
      
        
        

      

      
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    FORM
OF ASSIGNMENT

    (To be
executed by the registered holder if such holder desires to transfer the
attached Note)

     

    FOR VALUE
RECEIVED,                                                                              
(the “Holder”) hereby sells, assigns, and transfers unto

     

    Name:                                                              

     

    Address:                                                         

     

                                                                             

     

                                                                             

     

    Social
Security or Tax Identification Number

     

                                                                             

     

    $                                
Notes, together with all right, title, and interest therein, and does hereby
irrevocably constitute and appoint _________________________ attorney to
transfer such Note on the books of Emerald Dairy Inc. (the “Borrower”), with
full power of substitution.

     

    Dated:
_________________

     

                                                                             

    Name of
Holder

     

                                                                             

    Signature

     

                                                                             

    If
executed in a representative or fiduciary capacity, print name and title of
individual executing this notice on behalf of the Holder.

     

    NOTE:  The
above signature should correspond exactly with the name on the first page of the
attached Note.

     

                                                                             

    Social
Security or Tax Identification Number of Holder

     

    Address
of Holder:

     

                                                                             

     

                                                                             

     

    
      
        
        

      

      
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    The
undersigned transferee, by execution hereof, (i) represents and warrants to the
Borrower that (a) such transferee is an accredited investor, and agrees to
provide such evidence thereof as may be reasonably requested by the Borrower,
(b) the undersigned is acquiring the Note for investment and without a view to a
distribution other than pursuant to a registration statement under the
Securities Act of 1933, as amended, and applicable state securities laws, or an
exemption therefrom, and (c) the name, address, and social security or tax
identification number of the undersigned is as set forth above, and (ii) agrees
to be bound by the terms of the Note and the Purchase Agreement (as defined in
the Note).

     

    Dated:
_________________

     

                                                                             

    Name of
Transferee

     

                                                                             

    Signature

     

                                                                             

    If
executed in a representative or fiduciary capacity, print name and title of
individual executing this notice on behalf of the transferee.

     

    (NOTE:
The above signature should correspond exactly with the name set forth
above.)

     

    (NOTE:  This
representation shall not be required in the case of an assignment under the Put
Agreement.)

     

    
      
        
        

      

      
        10Unassociated Document

    THE
SECURITIES REPRESENTED HEREBY MAY NOT BE TRANSFERRED UNLESS (I) SUCH SECURITIES
HAVE BEEN REGISTERED FOR SALE PURSUANT TO THE SECURITIES ACT OF 1933, AS
AMENDED, OR (II) THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL REASONABLY
SATISFACTORY TO IT THAT SUCH TRANSFER MAY LAWFULLY BE MADE WITHOUT REGISTRATION
UNDER THE SECURITIES ACT OF 1933 OR QUALIFICATION UNDER APPLICABLE STATE
SECURITIES LAWS.

    

    SUBJECT TO THE PROVISIONS OF SECTION 10
HEREOF, THIS WARRANT SHALL BE VOID AFTER 5:00 P.M. PACIFIC TIME ON DECEMBER ___,
2012 (THE “EXPIRATION DATE”).

    

    No.  E-               

    

    EMERALD
DAIRY INC.

    

    WARRANT
TO PURCHASE __________ SHARES OF

    COMMON
STOCK, PAR VALUE $0.001 PER SHARE

    

    FOR VALUE RECEIVED,
____________________, or its assigns, as provided herein, (“Warrantholder”), is
entitled to purchase, subject to the provisions of this Warrant, from Emerald
Dairy Inc., a Nevada corporation (“Company”), at any time not later than 5:00
P.M., Pacific time, on the Expiration Date (as defined above), at an exercise
price per share equal to $1.63 (the exercise price in effect being herein called
the “Warrant Price”), ____________________ shares1
(“Warrant Shares”) of the Company’s Common Stock, par value $0.001 per share
(“Common Stock”).  The number of Warrant Shares purchasable upon
exercise of this Warrant and the Warrant Price shall be subject to adjustment
from time to time as described herein.  This Warrant is being issued
pursuant to the Securities Purchase Agreement, dated as of December ___, 2009
(the “Purchase Agreement”), among the Company and the initial holders of the
Company Warrants (as defined below).  Capitalized terms used herein
have the respective meanings ascribed thereto in the Purchase Agreement unless
otherwise defined herein.

    

    Section
1.         Registration.  The
Company shall maintain books for the transfer and registration of the
Warrant.  Upon the initial issuance of this Warrant, the Company shall
issue and register the Warrant in the name of the Warrantholder.

    
      

    
      1
50% Warrant Coverage

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    Section
2.        Transfers.  As
provided herein, this Warrant may be transferred only pursuant to a registration
statement filed under the Securities Act of 1933, as amended (the “Securities
Act”), or an exemption from such registration.  Subject to such
restrictions, the Company shall transfer this Warrant from time to time upon the
books to be maintained by the Company for that purpose, upon surrender hereof
for transfer, properly endorsed or accompanied by appropriate instructions for
transfer and such other documents as may be reasonably required by the Company,
including, if required by the Company, an opinion of counsel reasonably
acceptable to the Company (provided that Hicks | Park LLP shall be deemed to be
acceptable) to the effect that such transfer is exempt from the registration
requirements of the Securities Act, to establish that such transfer is being
made in accordance with the terms hereof, and a new Warrant shall be issued to
the transferee and the surrendered Warrant shall be canceled by the
Company.  Notwithstanding anything in this Warrant to the contrary,
this Warrant may be assigned to AFH Advisory in the event that the Warrantholder
exercises its Put Right under the Put Agreement dated of even date
herewith.

    

    Section
3.         Exercise of
Warrant.  Subject to the provisions of this Section 3, the
Warrantholder may exercise this Warrant, in whole or in part, at the option of
the Warrantholder, at any time prior to its expiration upon surrender of the
Warrant, together with delivery to the Company at its offices, designated under
Section 14 hereof, of a duly executed Warrant exercise form, in the form
attached hereto as “Appendix A” (the
“Exercise Agreement”) and payment of the
aggregate Warrant Price for that number of Warrant Shares then being purchased,
to the Company during normal business hours on any business day at the Company’s
principal executive offices (or such other office or agency of the Company as it
may designate by notice to the Warrantholder).  Payment of the Warrant
Price shall be made, at the option of the Warrantholder, by (i) check from the
Warrantholder, (ii) wire transfer, (iii) instructing the Company to withhold and
cancel a number of Warrant Shares then issuable upon exercise of this Warrant
with respect to which the excess, if any, of the Fair Market Value over the
Warrant Price for such canceled Warrant Shares is at least equal to the Warrant
Price for the Warrant Shares being purchased, or (v) any combination of the
foregoing; provided, however, that payment
of the Warrant Price may only be made pursuant to clauses (i) or (ii) if sales
of the Warrant Shares can be made under Rule 144 or pursuant to an effective
registration statement.  The Warrant Shares so purchased shall be
deemed to be issued to the Warrantholder or the Warrantholder’s designee, as the
record owner of such shares, as of the close of business on the date on which
this Warrant shall have been surrendered (or the date evidence of loss, theft or
destruction thereof and security or indemnity satisfactory to the Company has
been provided to the Company), the Warrant Price shall have been paid and the
completed Exercise Agreement shall have been delivered.  Certificates
for the Warrant Shares so purchased shall be delivered to the Warrantholder
within a reasonable time, not exceeding three (3) business days, after this
Warrant shall have been so exercised.  The certificates so delivered
shall be in such denominations as may be requested by the Warrantholder and
shall be registered in the name of the Warrantholder or such other name as shall
be designated by the Warrantholder, as specified in the Exercise
Agreement.  If this Warrant shall have been exercised only in part,
then, unless this Warrant has expired, the Company shall, at its expense, at the
time of delivery of such certificates, deliver to the Warrantholder a new
Warrant representing the right to purchase the number of shares with respect to
which this Warrant shall not then have been exercised.  As used
herein, “business day” means a day, other than a Saturday or Sunday, on which
banks in New York City are open for the general transaction of
business.  Each exercise hereof shall constitute the re-affirmation by
the Warrantholder that the representations and warranties contained in Section 5
of the Purchase Agreement are true and correct in all material respects with
respect to the Warrantholder as of the time of such exercise.

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

    Notwithstanding anything in this
Warrant to the contrary, in no event shall the Warrantholder of this Warrant be
entitled to exercise a number of Warrants (or portions thereof) in excess of the
number of Warrants (or portions thereof) upon exercise of which the sum of (i)
the number of shares of Common Stock beneficially owned by the Warrantholder and
its affiliates (other than shares of Common Stock which may be deemed
beneficially owned through the ownership of the unexercised Warrants and the
unexercised or unconverted portion of any other securities of the Company
(subject to a limitation on conversion or exercise analogous to the limitation
contained herein)) and (ii) the number of shares of Common Stock issuable upon
exercise of the Warrants (or portions thereof) with respect to which the
determination described herein is being made, would result in beneficial
ownership by the Warrantholder and its affiliates of more than 4.9% of the
outstanding shares of Common Stock.  For purposes of the immediately
preceding sentence, beneficial ownership shall be determined in accordance with
Section 13(d) of the Securities Exchange Act of 1934, as amended, and Regulation
13D-G thereunder, except as otherwise provided in clause (i) of the preceding
sentence.  Notwithstanding anything to the contrary contained herein,
the limitation on exercise of this Warrant may be waived by written agreement
between the Warrantholder and the Company; provided, however, such waiver
may not be effective less than sixty-one (61) days from the date
thereof.

    

    Section
4.         Compliance with the
Securities Act of 1933. Except as provided in the Purchase Agreement, the
Company may cause the legend set forth on the first page of this Warrant to be
set forth on each Warrant, and a similar legend on any security issued or
issuable upon exercise of this Warrant, unless counsel for the Company is of the
opinion as to any such security that such legend is unnecessary.

    

    Section
5.         Payment of
Taxes.  The Company will pay any documentary stamp taxes
attributable to the initial issuance of Warrant Shares issuable upon the
exercise of the Warrant; provided, however, that the Company shall not be
required to pay any tax or taxes which may be payable in respect of any transfer
involved in the issuance or delivery of any certificates for Warrant Shares in a
name other than that of the Warrantholder in respect of which such shares are
issued, and in such case, the Company shall not be required to issue or deliver
any certificate for Warrant Shares or any Warrant until the person requesting
the same has paid to the Company the amount of such tax or has established to
the Company’s reasonable satisfaction that such tax has been
paid.  The Warrantholder shall be responsible for income taxes due
under federal, state or other law, if any such tax is due.

    

    Section
6.         Mutilated or Missing
Warrants.  In case this Warrant shall be mutilated, lost,
stolen, or destroyed, the Company shall issue in exchange and substitution of
and upon surrender and cancellation of the mutilated Warrant, or in lieu of and
substitution for the Warrant lost, stolen or destroyed, a new Warrant of like
tenor and for the purchase of a like number of Warrant Shares, but only upon
receipt of evidence reasonably satisfactory to the Company of such loss, theft
or destruction of the Warrant, and with respect to a lost, stolen or destroyed
Warrant, reasonable indemnity or bond with respect thereto, if requested by the
Company.

    
      
         

      

      
        -3-

        
          

        

      

      
         

      

    

    Section
7.        Reservation of Common
Stock.  The Company shall at all times reserve and keep
available out of its authorized but unissued shares of Common Stock, solely for
the purpose of providing for the exercise of the Company Warrants, such number
of shares of Common Stock as shall from time to time equal the number of shares
sufficient to permit the exercise of the Company Warrants in accordance with
their respective terms.  The Company agrees that all Warrant Shares
issued upon due exercise of the Warrant shall be, at the time of delivery of the
certificates for such Warrant Shares, duly authorized, validly issued, fully
paid and non-assessable shares of Common Stock of the Company.

    

    Section
8.         Adjustments.  Subject
and pursuant to the provisions of this Section 8, the Warrant Price and number
of Warrant Shares subject to this Warrant shall be subject to adjustment from
time to time as set forth hereinafter.

    

    (a)       If
the Company shall, at any time or from time to time while this Warrant is
outstanding, pay a dividend or make a distribution on its Common Stock in shares
of Common Stock, subdivide its outstanding shares of Common Stock into a greater
number of shares or combine its outstanding shares of Common Stock into a
smaller number of shares or issue by reclassification of its outstanding shares
of Common Stock any shares of its capital stock (including any such
reclassification in connection with a consolidation or merger in which the
Company is the continuing corporation), then (i) the Warrant Price in effect
immediately prior to the date on which such change shall become effective shall
be adjusted by multiplying such Warrant Price by a fraction, the numerator of
which shall be the number of shares of Common Stock outstanding immediately
prior to such change and the denominator of which shall be the number of shares
of Common Stock outstanding immediately after giving effect to such change and
(ii) the number of Warrant Shares purchasable upon exercise of this Warrant
shall be adjusted by multiplying the number of Warrant Shares purchasable upon
exercise of this Warrant immediately prior to the date on which such change
shall become effective by a fraction, the numerator of which is shall be the
Warrant Price in effect immediately prior to the date on which such change shall
become effective and the denominator of which shall be the Warrant Price in
effect immediately after giving effect to such change, calculated in accordance
with clause (i) above.  Such adjustments shall be made successively
whenever any event listed above shall occur.

    

    (b)      If any
capital reorganization or reclassification of the capital stock of the Company,
consolidation or merger of the Company with another corporation in which the
Company is not the survivor, or sale, transfer or other disposition of all or
substantially all of the Company’s assets to another corporation shall be
effected, then, as a condition of such reorganization, reclassification,
consolidation, merger, sale, transfer or other disposition, lawful and adequate
provision shall be made whereby each Warrantholder shall thereafter have the
right to purchase and receive upon the basis and upon the terms and conditions
herein specified and in lieu of the Warrant Shares immediately theretofore
issuable upon exercise of the Warrant, such shares of stock, securities or
assets as would have been issuable or payable with respect to or in exchange for
a number of Warrant Shares equal to the number of Warrant Shares immediately
theretofore issuable upon exercise of the Warrant, had such reorganization,
reclassification, consolidation, merger, sale, transfer or other disposition not
taken place, and in any such case appropriate provision shall be made with
respect to the rights and interests of each Warrantholder to the end that the
provisions hereof (including, without limitation, provision for adjustment of
the Warrant Price) shall thereafter be applicable, as nearly equivalent as may
be practicable in relation to any shares of stock, securities or assets
thereafter deliverable upon the exercise hereof.  The Company shall
not effect any such consolidation, merger, sale, transfer or other disposition
unless prior to or simultaneously with the consummation thereof the successor
corporation (if other than the Company) resulting from such consolidation or
merger, or the corporation purchasing or otherwise acquiring such assets or
other appropriate corporation or entity shall assume the obligation to deliver
to the Warrantholder, at the last address of the Warrantholder appearing on the
books of the Company, such shares of stock, securities or assets as, in
accordance with the foregoing provisions, the Warrantholder may be entitled to
purchase, and the other obligations under this Warrant.  The
provisions of this paragraph (b) shall similarly apply to successive
reorganizations, reclassifications, consolidations, mergers, sales, transfers or
other dispositions.  Any such transaction purported to be in violation
of this paragraph (b) shall be void ab initio.

    
      
         

      

      
        -4-

        
          

        

      

      
         

      

    

    (c)      
   In case the Company shall fix a payment date for the making of a
distribution to all holders of Common Stock (including any such distribution
made in connection with a consolidation or merger in which the Company is the
continuing corporation) of evidences of indebtedness or assets (other than cash
dividends or cash distributions payable out of consolidated earnings or earned
surplus or dividends or distributions referred to in Section 8(a)), or
subscription rights or warrants, then at the Warrantholder’s
option:

    

    
      	
               
      

            	
              (i)

            	
              the
      Warrantholder shall have the right to receive an amount of assets,
      including cash or securities equal to the number of Warrant Shares for
      which this Warrant is exercisable immediately prior to the distribution,
      multiplied by the total of cash, assets or securities so distributed,
      divided by the number of shares of Common Stock outstanding at such time.
      Upon the closing of the distribution, the Company shall distribute such
      amount to the Warrantholder; or

            

    

    

    
      	
               
      

            	
              (ii)

            	
              the
      Warrant Price to be in effect after such payment date shall be determined
      by multiplying the Warrant Price in effect immediately prior to such
      payment date by a fraction, the numerator of which shall be the total
      number of shares of Common Stock outstanding multiplied by the Market
      Price (as defined below) per share of Common Stock immediately prior to
      such payment date, less the fair market value (as determined by the
      Company’s Board of Directors in good faith) of said assets or evidences of
      indebtedness so distributed, or of such subscription rights or warrants,
      and the denominator of which shall be the total number of shares of Common
      Stock outstanding multiplied by such Market Price per share of Common
      Stock immediately prior to such payment
date.

            

    

    

    “Market Price” as of a particular date
(the “Valuation Date”) shall mean the following: (a) if the Common Stock is then
listed on a national stock exchange, the average of the closing sale price of
one share of Common Stock on such exchange over the fifteen (15) consecutive
trading days immediately preceding and not including the Valuation Date; (b) if
the Common Stock is then quoted on FINRA’s OTC Bulletin Board (the “Bulletin
Board”) or such similar quotation system or association, the average of the
closing sale price of one share of Common Stock on the Bulletin Board or such
other quotation system or association over the fifteen (15) consecutive trading
days immediately preceding and not including the Valuation Date or, if no such
closing sale price is available for any such day, the average of the high bid
and the low asked price quoted thereon on the prior trading day; or (c) if the
Common Stock is not then listed on a national stock exchange or quoted on the
Bulletin Board or such other quotation system or association, the fair market
value of one share of Common Stock as of the Valuation Date, as determined in
good faith by the Board of Directors of the Company

    
      
         

      

      
        -5-

        
          

        

      

      
         

      

    

    (d)           An
adjustment to the Warrant Price shall become effective immediately after the
payment date in the case of each dividend or distribution and immediately after
the effective date of each other event which requires an
adjustment.

    

    (e)           In
the event that, as a result of an adjustment made pursuant to this Section 8,
the Warrantholder shall become entitled to receive any shares of capital stock
of the Company other than shares of Common Stock, the number of such other
shares so receivable upon exercise of this Warrant shall be subject thereafter
to adjustment from time to time in a manner and on terms as nearly equivalent as
practicable to the provisions with respect to the Warrant Shares contained in
this Warrant.

    

    (f)           To
the extent permitted by applicable law and the listing requirements of any stock
market or exchange on which the Common Stock is then listed, the Company from
time to time may decrease the Warrant Price by any amount for any period of time
if the period is at least twenty (20) days, the decrease is irrevocable during
the period and the Board shall have made a determination that such decrease
would be in the best interests of the Company, which determination shall be
conclusive.  Whenever the Warrant Price is decreased pursuant to the
preceding sentence, the Company shall provide written notice thereof to the
Warrantholder at least five (5) days prior to the date the decreased Warrant
Price takes effect, and such notice shall state the decreased Warrant Price and
the period during which it will be in effect.

    

    (g)           Whenever
the Board of Directors of the Company or the Company is required to make a
determination of the fair market value of any item under this Warrant, or any
item that may affect the value of this Warrant, that determination may be
challenged or disputed by the Warrantholder (or if the Warrant has been divided
up, the Warrantholders of Warrants exercisable for more than fifty percent (50%)
of the aggregate number of Warrant Shares then issuable upon exercise of all of
the then exercisable Warrants), and any such challenge or dispute shall be
resolved promptly, but in no event in more than thirty (30) days, by an
investment banking firm of recognized national standing or one of the four (4)
largest national accounting firms agreed upon by the Company and the
Warrantholders and whose decision shall be binding on the Company and the
Warrantholders. If the Company and the Warrantholders cannot agree on a mutually
acceptable investment bank or accounting firm, then the Warrantholders, jointly,
and the Company shall within five (5) Business Days each choose one investment
bank or accounting firm and the respective chosen firms shall within five (5)
Business Days jointly select a third investment bank or accounting firm, which
shall make the determination promptly, but in no event in more than thirty (30)
days, and such determination shall be binding upon all parties thereto. The
Company shall bear all costs in connection with such determination, including
without limitation, fees of the investment bank(s) or accounting firm(s), unless
the change in Warrant Price determined pursuant to this paragraph is within five
percent (5%) of the change in warrant purchase price as computed by the Company,
in which case the Warrantholder or Warrantholders challenging the determination
shall bear such costs pro rata.

    
      
         

      

      
        -6-

        
          

        

      

      
         

      

    

    Section
9.        Fractional
Interest.  The Company shall not be required to issue fractions
of Warrant Shares upon the exercise of this Warrant.  If any
fractional share of Common Stock would, except for the provisions of the first
sentence of this Section 9, be deliverable upon such exercise, the Company, in
lieu of delivering such fractional share, shall pay to the exercising
Warrantholder an amount in cash equal to the Market Price of such fractional
share of Common Stock on the date of exercise.

    

    Section
10.       Fiduciary Duties to
Warrantholder. The board of directors of the Company shall at all times,
whether or not this Warrant has been exercised, owe the Warrantholder the same
fiduciary duties that it would owe to a holder of the Warrant Shares underlying
the Warrant.

    

    Section
11.       Benefits.  Nothing
in this Warrant shall be construed to give any person, firm or corporation
(other than the Company and the Warrantholder) any legal or equitable right,
remedy or claim, it being agreed that this Warrant shall be for the sole and
exclusive benefit of the Company and the Warrantholder.

    

    Section
12.       Notices to
Warrantholder.  Upon the happening of any event requiring an
adjustment of the Warrant Price, the Company shall promptly give written notice
thereof to the Warrantholder at the address stated herein, stating the adjusted
Warrant Price and the adjusted number of Warrant Shares resulting from such
event and setting forth in reasonable detail the method of calculation and the
facts upon which such calculation is based.  The Company shall also
deliver to the Warrantholder the information and reports delivered to any other
holder of the Company's common stock.  The Company shall provide the
Warrantholder with written notice of all corporate actions, including, without
limitation, prior written notice of any dividends in the same manner and to the
same extent as the shareholders of the Company.  Failure to give any
such notice or defect therein shall not affect the validity of any corporate
actions taken or which requires an adjustment to the Warrant Price.

    

    Section
13.       Identity of Transfer
Agent.  The Transfer Agent for the Common Stock is
Computershare, Inc., located at 350 Indiana Street, Suite 800, Golden, CO 80401.
Upon the appointment of any subsequent transfer agent for the Common Stock or
other shares of the Company’s capital stock issuable upon the exercise of the
rights of purchase represented by the Warrant, the Company will mail to the
Warrantholder a statement setting forth the name and address of such transfer
agent.

    

    Section
14.       Notices.  Unless
otherwise provided, any notice required or permitted under this Warrant shall be
given in writing and shall be deemed effectively given as hereinafter described
(i) if given by personal delivery, then such notice shall be deemed given upon
such delivery, (ii) if given by facsimile, then such notice shall be deemed
given upon receipt of confirmation of complete transmittal, (iii) if given by
mail, then such notice shall be deemed given upon the earlier of (A) receipt of
such notice by the recipient or (B) three days after such notice is deposited in
first class mail, postage prepaid, and (iv) if given by an internationally
recognized overnight air courier, then such notice shall be deemed given one
business day after delivery to such carrier.  All notices shall be
addressed as follows: if to the Warrantholder, at its address stated herein and,
if to the Company, at the address as follows, or at such other address as the
Warrantholder or the Company may designate by ten days’ advance written notice
to the other:

    
      
         

      

      
        -7-

        
          

        

      

      
         

      

    

    If to the Company:

    

    Emerald Dairy Inc.

    11990 Market Street, Suite
205

    Reston, VA 20190

    Attn:  Shu Kaneko, Chief
Financial Officer

    Fax:  (678)
868-0633

    

    With a copy to:

    

    Blank
Rome LLP

    405
Lexington Ave.

    New York,
NY 10174

    Attn:
Jeffrey A. Rinde, Esq.

    Fax:
(212) 885-5000

    

    If to the Warrantholder:

     

     

    

    With a copy to:

    

    Hicks |
Park LLP

    827
Wilshire Blvd.

    Los
Angeles, California 90017

    Attn:
Michael duQuesnay

    Fax:
(213) 612-0373

    

    Section
15.          Registration
Rights.  The initial Warrantholder is entitled to the benefit
of certain registration rights with respect to the shares of Common Stock
issuable upon the exercise of this Warrant as provided in Section 7.7 of the
Purchase Agreement, and any subsequent Warrantholder may be entitled to such
rights.

    

    Section
16.          Successors.  The
Company may not assign any of its rights, or delegate any of its obligations,
under this Warrant without the prior written consent of the Warrantholder (which
consent may be withheld for any reason or no reason at all).  All the
covenants and provisions hereof by or for the benefit of the Warrantholder shall
bind and inure to the benefit of its respective successors and assigns
hereunder.  This Warrant shall be binding upon and inure to the
benefit of the Company, the Warrantholder and their respective successors and
permitted assigns, and shall include, with respect to the Company, any Person
succeeding the Company by merger, consolidation, combination or acquisition of
all or substantially all of the Company’s assets, and in such case, except as
expressly provided herein, all of the obligations of the Company hereunder shall
survive such merger, consolidation, combination or acquisition.

    
      
         

      

      
        -8-

        
          

        

      

      
         

      

    

    Section
17.         Governing Law; Consent to
Jurisdiction; Waiver of Jury Trial.  This Warrant shall be
governed by, and construed in accordance with, the internal laws of the State of
New York, without reference to the choice of law provisions
thereof.  The Company and, by accepting this Warrant, the
Warrantholder, each irrevocably submits to the exclusive jurisdiction of the
courts of the State of California located in Los Angeles County and the United
States District Court for the Central District of California for the purpose of
any suit, action, proceeding or judgment relating to or arising out of this
Warrant 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 under
Section 14 of this Warrant.  The Company and, by accepting this
Warrant, the Warrantholder, each 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.  The Company and, by accepting this Warrant, the
Warrantholder, each 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 COMPANY AND, BY ITS
ACCEPTANCE HEREOF, THE WARRANTHOLDER HEREBY WAIVES ANY RIGHT TO REQUEST A TRIAL
BY JURY IN ANY LITIGATION WITH RESPECT TO THIS WARRANT AND REPRESENTS THAT
COUNSEL HAS BEEN CONSULTED SPECIFICALLY AS TO THIS WAIVER.

    

    Section
18.          No Rights as
Stockholder.  Prior to the exercise of this Warrant, the
Warrantholder shall not have or exercise any rights as a stockholder of the
Company by virtue of its ownership of this Warrant.

    

    Section
19.          Amendment;
Waiver.  Any term of this Warrant may be amended (including the
adjustment provisions included in Section 8 of this Warrant) by a writing
between the Company and the holder of this Warrant  The Warrantholder
may waive any provision of this Warrant by a writing.  Such waiver may
be conditioned; and whether to grant any such waiver shall be the
Warrantholder’s sole discretion.

    

    Section
20.          Section
Headings.  The section headings in this Warrant are for the
convenience of the Company and the Warrantholder and in no way alter, modify,
amend, limit or restrict the provisions hereof.

    
      
         

      

      
        -9-

        
          

        

      

      
         

      

    

    Section
21.         No Impairment. The
Company shall not by any action, including, without limitation, amending its
charter documents or regulations or through any reorganization,
reclassification, transfer of assets, consolidation, merger, dissolution, issue
or sale of securities or any other voluntary action, avoid or seek to avoid the
observance or performance of any of the terms of this Warrant, but will at all
times in good faith assist in the carrying out of all such terms and in the
taking of all such actions as may be necessary or appropriate to protect the
rights of the Warrantholder against impairment. Without limiting the generality
of the foregoing, the Company will (i) not increase the par value (if any) of
any shares of Common Stock receivable upon the exercise of this Warrant above
the amount payable therefor upon such exercise immediately prior to such
increase in par value, (ii) take all such action as may be necessary or
appropriate in order that the Company may validly and legally issue fully paid
and nonassessable shares of Common Stock upon the exercise of this Warrant, free
and clear of all liens, encumbrances, equities and claims (except for any liens,
encumbrances, equities and claims that may be imposed on the Warrant by the
holder thereof), and (iii) use its best efforts to obtain all such
authorizations, exemptions or consents from any public regulatory body having
jurisdiction thereof as may be necessary to enable the Company to perform its
obligations under this Warrant.

    

    Section
22.          Remedies. If the
Company fails to perform, comply with or observe any covenant or agreement to be
performed, complied with or observed by it under this Warrant, the Warrantholder
may proceed to protect and enforce its rights by suit in equity or action at
law, whether for specific performance of any term contained in this Warrant or
for an injunction against the breach of any such term or in aid of the exercise
of any power granted in this Warrant or to enforce any other legal or equitable
right, or to take any one or more of such actions. The Company hereby agrees
that the Warrantholder shall not be required or otherwise obligated to, and
hereby waives any right to demand that the Warrantholder, post any performance
or other bond in connection with the enforcement of its rights and remedies
hereunder. The Company agrees to pay all fees, costs, and expenses, including,
without limitation, fees and expenses of attorneys, accountants and other
experts retained by the Warrantholder, and all fees, costs and expenses of
appeals, incurred or expended by the Warrantholder in connection with the
enforcement of this Warrant or the collection of any sums due hereunder, whether
or not suit is commenced. None of the rights, powers or remedies conferred under
this Warrant shall be mutually exclusive, and each right, power or remedy shall
be cumulative and in addition to any other right, power or remedy whether
conferred by this Warrant or now or hereafter available at law, in equity, by
statute or otherwise.

    

    Section
23.          Entire Agreement.
This Warrant and the Pledge Agreement, Promissory Note, Securities Purchase
Agreement, Irrevocable Payment Instruction and Put Agreement constitute the full
and entire agreement and understanding between the Warrantholder and the Company
with respect to the subject matter hereof and supersede all prior oral and
written, and all contemporaneous oral, agreements and understandings relating to
the subject matter hereof.

    

    [THE
REMAINDER OF THIS PAGE IS LEFT BLANK INTENTIONALLY]

    
      
         

      

      
        -10-

        
          

        

      

      
         

      

    

    IN WITNESS WHEREOF, the Company has
caused this Warrant to be duly executed, as of the ___ day of December,
2009.

    

    
      
        
          
            	
                    EMERALD
      DAIRY INC.

                  
	 
      	 	 
      
	
                    By:  

                  	 	 
      
	
                       
      

                  	

                    Name:

                  	 
        
	
                      
      

                  	

                    Title: 

                  	 
        

          

        

      

    

     

    
      
         

      

      
        -11-

        
          

        

      

      
         

      

    

    APPENDIX
A

    EMERALD
DAIRY INC.

    WARRANT
EXERCISE FORM

    

    To:
Emerald Dairy Inc.:

    

    The undersigned hereby irrevocably
elects to exercise the right of purchase represented by the within Warrant
(“Warrant”) for, and to purchase thereunder by the payment of the Warrant Price
and surrender of the Warrant, _______________ shares of Common Stock (“Warrant
Shares”) provided for therein, and requests that certificates for the Warrant
Shares be issued as follows:

         

    
      
        	 
      
	
                Name

              
	 
      
	
                Address

              
	 
      
	
                Federal
      Tax ID or Social Security No.

              

      

    

    

    
      
        
          	
                  and
      delivered by:  

                	
                  certified
      mail to the above address, or

                
	 
      	
                  electronically
      (provide DWAC

                
	 
      	
                  Instructions:___________________),
      or

                
	 
      	
                  other
      (specify):__________________________________________).

                

        

      

    

    

    and, if
the number of Warrant Shares shall not be all the Warrant Shares purchasable
upon exercise of the Warrant, that a new Warrant for the balance of the Warrant
Shares purchasable upon exercise of this Warrant be registered in the name of
the undersigned Warrantholder or the undersigned’s Assignee as below indicated
and delivered to the address stated below.

    

    Dated:
___________________, ____

    

    Note:  The
signature must correspond with

     
Signature:______________________________

    
      
        	
                the
      name of the Warrantholder as written

              	 	 
      
	
                on
      the first page of the Warrant in every

              	 	 
      
	
                particular,
      without alteration or enlargement

              	 	
                Name
      (please print)

              
	
                or
      any change whatever, unless the Warrant

              	 	 
      
	
                has
      been assigned.

              	 	
                Address

              
	 
      	 	 
      
	 
      	 	
                Federal
      Identification or

              
	 
      	 	
                Social
      Security No.

              
	 
      	 	 
      
	 
      	 	
                Assignee:

              
	 
      	 	 
      
	 
      	 	 
      
	 
      	 	 
      

      

    

    
      
         

      

      
        -12-

        
          

        

      

      
         

      

    

    APPENDIX
B

    EMERALD
DAIRY INC.

    WARRANT
ASSIGNMENT FORM

    

    FOR VALUE RECEIVED, the
undersigned hereby sells, assigns, and transfers all the rights of the
undersigned under the within Warrant, with respect to the number of shares of
Common Stock of Emerald Dairy Inc. covered thereby set
forth herein below, to:

    

    
      
        	
                Name of Assignee(s)

              	 
      	
                Address(es)

              	 
      	
                No. of Shares

              
	 
      	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      	 
      

      

    

    

    , and
hereby irrevocably constitutes and appoints ___________________________________
as agent and attorney-in-fact to transfer said Warrant on the books of the
within named corporation, with full power of substitution in the
premises.

    

    Dated:
__________, 20__

    

    
      
        	
                Name:

              
	 
      
	
                Signature:  

              	 
      
	
                Title
      of Signing Officer or Agent (if any):

              
	 
      	 
      
	
                Address:

              	 
      
	 
      	 
      
	 
      	 
      

      

    

    

    
      
        	
                Note:

              	
                The
      above signature should correspond

              
	 
      	
                exactly
      with the name on the face of

              
	 
      	
                the
      within Warrant, if
applicable.

              

      

    

    
      
         

      

      
        -13-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}]]