Document:

EXHIBIT 10.2

 EXHIBIT 10.2 
  
 REVOLVING CREDIT AGREEMENT 
  
 Dated as of April 1, 2003 
  
 GROWTH & INCOME (SAM) I, INC., a Maryland corporation (the “Borrower”), and NATIONAL BANK OF EGYPT, New York Branch (the “Bank”),
agree as follows: 
  
 ARTICLE I 
  
 AMOUNTS AND TERMS OF THE ADVANCES 
  
 SECTION 1.01. The Advances. The Bank agrees, on the terms and
conditions hereinafter set forth, to make advances (the “ Advances”) to the Borrower from time to time on any Business Day (as hereinafter defined) during the period from the date hereof until March 1, 2006 (such date, or the earlier date
of termination of the Commitment (as defined below) pursuant to Section 1.04 or 5.01, being the “Termination Date”) in an aggregate amount not to exceed at any time outstanding the Amortized Commitment Amount, as such amount may be reduced
pursuant to Section 1.04 (the “Commitment”). Each Advance shall be in an amount not less than $1000,000 or an integral multiple of $100,000 in excess thereof, except that an Advance may be in an amount equal to the entire unused
Commitment. Within the limits of the Commitment, the Borrower may borrow, prepay pursuant to Section 1.06 and reborrow under this Section 1.01. 
  
 SECTION 1.02. Making the Advances. Each Advance shall be made on notice (a “Notice of Borrowing”), given not later than 11:00 A.M. (New
York City time) on not less than three Business Days prior to the date of the proposed Advance, by the Borrower to the Bank, specifying the date and amount thereof. Not later than 11:00 A.M. (New York City time) on the date of such Advance and upon
fulfillment of the applicable conditions set forth in Article II, the Bank will make such Advance available to the Borrower in same day funds at the Bank’s address referred to in Section 7.02. Each notice from the Borrower to the Bank
requesting an Advance shall be irrevocable and binding on the Borrower. 
  
 SECTION 1.03. Commitment Fee. The Borrower agrees to pay to the Bank a commitment fee on the average daily unused portion of the Commitment from the date hereof until the Termination Date at the rate of 1/2 of 1% per annum, payable
on the last day of each June, September, December and March (including the Termination Date) during the term of the Commitment, commencing June 30, 2003. 
  

 SECTION 1.04. Reduction of the Commitment. The Borrower shall have the right, upon at least five
Business Days’ notice to the Bank, to terminate in whole or reduce in part permanently the unused portion of the Commitment, provided that each partial reduction shall be in the amount of $100,000 or an integral multiple thereof. 
  
 SECTION 1.05. Interest and Repayment. The Borrower shall repay, and
shall pay interest on, the aggregate unpaid principal amount of all Advances in accordance with a promissory note of the Borrower, in substantially the form of Exhibit A hereto (the “Note”), evidencing the indebtedness resulting from such
Advances and delivered to the Bank pursuant to Article II. 
  
 SECTION 1.06. Optional Prepayments. Subject to the Indemnity and Yield Protection provisions contained in the Note, the Borrower may, upon at least five Business Days’ notice to the Bank stating the proposed date and principal
amount of the prepayment, and if such notice is given the Borrower shall, prepay the outstanding principal amounts of the Advances in whole or in part, together with accrued interest to the date of such prepayment on the principal amount prepaid;
provided, however, that each partial prepayment shall be in an aggregate principal amount not less than $100,000. 
  
 SECTION 1.07. Mandatory Payments. The Borrower shall pay on June 30, 2003, September 30, 2003, December 31, 2004, March 31, 2004, June 30, 2004,
September 30, 2004, December 31, 2004, March 31, 2005, June 30,2005, September 30, 2005 and December 31, 2005, the amount by which the aggregate unpaid principal amount of the Advances exceeds the Amortized Commitment Amount. The aggregate unpaid
principal amount of the Advances, together with all accrued but unpaid interest, shall become due and payable on March 1, 2006. 
  
 SECTION 1.08. Increased Capital. If the Bank determines that compliance with any law or regulation or guideline or request from any central bank or
other governmental authority (whether or not having the force of law) affects or would affect the amount of capital required or expected to be maintained by the Bank or any corporation controlling the Bank and that the amount of such capital is
increased by or based upon the existence of the Bank’s commitment to lend hereunder and other commitments of this type, then, upon demand by the Bank, the Borrower shall immediately pay to the Bank, from time to time as specified by the Bank,
additional amounts sufficient to compensate the Bank or such corporation in light of such circumstances, to the extent that the Bank reasonably determines such increase in capital to be allocable to the existence of the Bank’s commitment to
lend hereunder, provided, however, Borrower shall have right to prepay, the outstanding principal amounts of the Advances, together with all accrued interest, within thirty (30) days of written notice by the Bank that additional amounts are due,
prior to incurring liability for such additional amounts 

  

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and without liability to indemnify the Bank pursuant to paragraph 3 of the Note. A certificate as to such amounts submitted to the Borrower by the Bank shall
be conclusive and binding for all purposes, absent manifest error. 
  
 SECTION 1.09. Payments and Computations. The Borrower shall make each payment under any Loan Document (as hereinafter defined) not later than 12:00 noon (New York City time) on the day when due in U.S. dollars to the Bank at
its address referred to in Section 7.02 in same day funds. The Borrower hereby authorizes the Bank, if and to the extent payment is not made when due under any Loan Document, to charge from time to time against any or all of the Borrower’s
accounts with the Bank any amount so due. All computations of interest and of commitment fees shall be made by the Bank on the basis of a year of 360 days, in each case for the actual number of days (including the first day but excluding the last
day) occurring in the period for which such interest or commitment fees are payable. Each determination by the Bank of an interest rate hereunder shall be, conclusive and binding for all purposes, absent manifest error. 
  
 SECTION 1.10. Payment on Non-Business Days. Whenever any payment
hereunder or under the Note shall be stated to be due on a day other than a day of the year on which banks are not required or authorized to close in New York City (any such other day being a “Business Day”), such payment shall be made on
the next succeeding Business Day except as may otherwise be provided in the Note, and such extension of time shall in such case be included in the computation of payment of interest or commitment fee, as the case may be. 
  
 ARTICLE II 
  
 CONDITIONS OF LENDING 
  
 SECTION 2.01. Condition Precedent to Initial Advance. The obligation
of the Bank to make its initial Advance is subject to the condition precedent that the Bank shall have received on or before the day of such Advance the following, each dated such day, in form and substance satisfactory to the Bank: 
  
 (a) The Note, duly executed by the Borrower. 
  
 (b) Guarantees, duly executed by Marietta G & I, Inc., Norcross G &
I, Inc., Memwal G & I, Inc. and Memphis G & I, Inc. (the “Guarantors”, and together with the Borrower being referred to herein collectively as the “Loan Parties” and individually as a “Loan Party”), in
substantially the form of Exhibit B hereto (the “Guarantees”). 
  

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 (c) Mortgages/Deeds of Trust/Deeds to Secure Debt, duly executed by the respective Guarantor/owner, in
substantially the form of Exhibit C hereto (the “Mortgage”), securing the Note, and covering the lands and improvements described in Schedule 2.01(c) hereof (being referred to herein as the “Property” or collectively, the
“Properties”), together with evidence satisfactory to the Bank that all recordings or filings necessary or, in the reasonable opinion of the Bank, desirable to perfect the Lien created by the Mortgage against each Property (subject only to
the permitted encumbrances specified in each Mortgage) have been completed or arranged to be completed. 
  
 (d) Assignments of Leases, duly executed by the respective Guarantor, in substantially the form of Exhibit D hereto (the “ Assignments of
Leases”), for each Property, together with certified true copies of leases and original tenant estoppel certificates and subordination, nondisturbance and attornment agreements (“Non-Disturbance Agreements”). 
  
 (e) Proper Financing Statements (UCC-1), duly executed by the Borrower, and
naming the Bank as the secured party, for filing under the Uniform Commercial Code of all jurisdictions that the Bank may deem necessary or desirable in order to perfect the Lien (to the extent such Lien may be perfected by filing) created by each
Mortgage (such filings to include the indexing of said Financing Statements in the appropriate real estate records), and covering all fixtures that are part of, and all personal property located on or used in connection with, the Properties.

  
 (f) Certified copies of requests for information (Form UCC-11)
or certificates satisfactory to the Bank of a UCC reporter service listing all affecting financing statements filed in the, jurisdictions referred to in subsection (e) above, that name the respective Guarantor as debtor, together with copies of such
financing statements (at the time of closing, arrangements to obtain proper Termination Statements (Form UCC-3) for all affecting financing statements must have been made to the satisfaction of the Bank). 
  
 (g) An Environmental Indemnification Agreement, duly executed by the Borrower
in favor of the Bank, in substantially the form of Exhibit E hereto (the “Environmental Indemnification Agreement”). 
  
 (h) Contribution Agreements duly executed by the respective Guarantor and the Borrower, in substantially the form of Exhibit F hereto (the
“Contribution Agreements”). 
  
 (i) Evidence that all
other actions necessary or, in the reasonable opinion of the Bank, desirable to prefect the Liens created by the Mortgages have been taken including, without limitation, the payment by the Borrower or 

  

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Guarantors of all recording taxes and fees required to be paid by any party in connection with the recording and filing of the Mortgages, the Financing
Statements and the Termination Statements referred to above. 
  
 (j) Appraisal reports for each Property specifying the fair market value of the Property (including the land, land improvements and buildings) and the going-concern value of the Property and certain other fixed assets of the Borrower.

  
 (k) Copies of insurance certificates or binders for fire and
extended coverage insurance policies covering each Property, in an amount and with an insurer acceptable to the Bank and containing an endorsement thereon naming the Bank as a loss payee and mortgagee thereunder. 
  
 (l) A signed copy of commitments for title insurance, on such form as is
customarily used by nationally-recognized title insurance companies in each respective jurisdiction, issued by a nationally-recognized title insurance company, naming the Bank as the proposed insured thereunder, identifying the respective Guarantor
as the fee simple owner of the Property and containing such exceptions as the Bank in its sole discretion may determine to be acceptable. 
  
 (m) Certificates (which must be dated within 30 days of the date hereof) issued by the Secretary of State of the State of Maryland as to the good standing
of the Borrower; and a certified copy of the certificate of incorporation and the bylaws of the Borrower, together with (i) a certified copy of the resolutions of the Board of Directors of the Borrower approving this Agreement, the Note and the
Environmental Indemnification Agreement, (ii) certificates issued by the Secretary of State of the State of incorporation of each Guarantor as to the good standing of the Guarantor, and (iii) a certified copy of the resolutions of the Board of
Directors of each Guarantor approving the Guaranty, the Mortgage, Assignment of Leases and Contribution Agreement (this Agreement, the Guarantees, the Note, the Mortgages, Assignments of Leases and the Environmental Indemnification Agreement. being
referred to herein collectively as the “Loan Documents” and individually as a “Loan Document”), and certified copies of all other documents evidencing necessary corporate action and governmental approvals, if any, with respect to
any of the Loan Documents. 
  
 (n) A certificate of the Secretary
or an Assistant Secretary of each Loan Party certifying the names and true signatures of the officers of such Loan Party authorized to sign each Loan Document to which it is a party and the other documents to be delivered by it hereunder.

  
 (o) A Notice of Borrowing, duly completed and executed by the
Borrower. 
  

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 (p) A favorable opinion of counsel for the Borrower and counsel for the Guarantors as to such matters as
the Bank shall request. 
  
 SECTION 2.02. Conditions Precedent
to All Advances. The obligation of the Bank to make each Advance (including the initial Advance) shall be subject to the further conditions precedent that on the date of each Advance (a) the following statements shall be true (and each of the
giving of the applicable Notice of Borrowing and the acceptance by the Borrower of the proceeds of such Advance shall constitute a representation and warranty by the Borrower that on the date of such Advance such statements are true): 
  
 (i) The representations and warranties contained in this Agreement, and in
each Mortgage are correct on and as of the date of such Advance, before and after giving effect to such Advance end to the application of the proceeds therefrom, as though made on and as of such date, and 
  
 (ii) No event has occurred and is continuing, or would result from such
Advance or from the application of the proceeds therefrom, which constitutes an Event of Default (as defined in Section 5.01 hereof) or would constitute an Event of Default but for the requirement that notice be given or time elapse or both;

  
 and (b) the Bank shall have received such other approvals, opinions or
documents as the Bank may reasonably request. 
  
 SECTION 2.03.
Substitution and Release of Property. The Borrower shall be entitled to substitute Eligible Properties and to effect a release of the owner of said Eligible Property from its obligations under its Guaranty provided that (i) the conditions of
Section 2.04 are met; (ii) no Event of Default shall have occurred and be continuing at the time of a Borrower’s request to release or substitute an Eligible Property or after giving effect to such release or substitution; (iii) any substitute
property is accepted as an Eligible Property and (iv) after giving effect to such substitution, the loan-to-value ratio does not exceed seventy-five (75%) percent based on current appraised values of all Eligible Properties on which the Bank holds a
first lien. 
  
 In addition, before any property is accepted as an
Eligible Property, the Borrower must cause the owner of the property (which must be a wholly-owned subsidiary of Borrower) to execute and deliver Loan Documents, including a Mortgage, Assignment of Leases, Guaranty and UCC-1 Financing Statements,
for such Property for recording together with a title policy or a commitment to issue such a title policy from the title insurance company indicating that the Bank’s Loan Documents are in a first lien position in an aggregate amount equal to
the principal amount of the Loan. The Borrower shall also execute and deliver such amendments 

  

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to the Loan Documents as the Bank deems necessary or desirable to evidence the substitution. 
  
 SECTION 2.04. Substitution of Guarantor. The obligation of the Bank to accept any new property as an Eligible
Property is subject to the satisfaction of the following conditions precedent on each such date (in addition to those set forth in Section 6.02 in the case of a new Eligible Property): 
  
 (a) Representations and Warranties. The representations and warranties
made by the Borrower herein or in the other Loan Documents or which are contained in any certificate, document or financial or other statement furnished at any time under or in connection with any of the Loan Documents, shall be true, correct and
accurate on and as of the date of acceptance as if made on and as of such date unless stated to relate to a specific earlier date, in which case such representations and warranties shall have been true, correct and complete in all material respects
as of such earlier dates. 
  
 (b) No Event of Default. No
Event of Default shall have occurred and be continuing on such date. 
  
 (c) Appraisals. A current appraisal has been reviewed and approved by the Bank for each new Eligible Property. 
  
 (d) Organizational Documents. The Bank shall have received certified copies of the organizational documents of the proposed substitute Guarantor
and all resolutions of the board of directors and/or a certificate of partnership action of the Borrower and proposed substitute Guarantor approving this Agreement and the other Loan Documents, and of all documents evidencing other necessary
corporate or partnership action and approvals, if any, of governmental authorities with respect to this Agreement and the other Loan Documents and the transactions contemplated hereby and thereby. 
  
 (e) Good Standing, Tag Good Standing and Existence. The Bank shall
have received certificates of the appropriate governmental officials of the State of incorporation and of any other state where the substitute Guarantor conducts business dated not more than 30 days prior to the date of acceptance, to the effect
that the Guarantor is validly existing and is in good standing with respect to payment of franchise and similar taxes and is duly qualified to transact business therein. 
  
 (f) Leases. The lease for the Eligible Property has been reviewed and approved by the Bank. 
  

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 (g) Properties. The Bank shall have received such information. and access to each of the
properties as it shall have requested and shall be satisfied with such information and access. 
  
 (h) Evidence of Compliance. The Bank shall have received evidence, in form and substance reasonably satisfactory to the Bank and its counsel, that the substitute Guarantor and the property are and have been at
all relevant times in all respects in material compliance with all applicable zoning, building and other requirements of law. 
  
 (i) Insurance. The Bank shall have received binders or certificates with respect to all insurance required to be maintained by each Borrower
pursuant to the approved leases or any of the Loan Documents. 
  
 (j) Security Documents and Instruments. The Bank shall have received (i) a Guaranty duly executed by the substitute Guarantor; (ii) a Mortgage for each Eligible Property duly executed and acknowledged by the substitute Guarantor and
in proper form for recording; (iii) an Assignment of Leases for each of the Eligible Properties duly executed and acknowledged by the appropriate parties and in proper form for recording; (iv) Contribution Agreement duly executed by the Borrower and
the substitute Guarantor; (v) an Environmental Indemnification Agreement (or an appropriate modification in the case of an existing document) executed by the Borrower; (vi) Financing Statements duly executed by the appropriate Borrower for each of
the Eligible Properties to the extent not already fixed; (vii) a Non-Disturbance Agreement for any Eligible Property, duly executed and acknowledged by the tenant and each fee owner of such Property and in proper form for recording; (viii) all other
documentation which the Bank reasonably deems appropriate to obtain and maintain a first priority perfected lien, in favor of the Bank on each property, lease, and all other relevant items of collateral, each duly executed by the substitute
Guarantor; (ix) an original copy of an estoppel certificate executed by each tenant in respect of each approved lease; and (x) all satisfactions of mortgages, termination statements under the Uniform Commercial Code and other instruments releasing
liens, security interests and other encumbrances as may be necessary or desirable in connection with the foregoing or title policies evidencing the satisfaction or discharge of such liens, security interests and other encumbrances; and all of the
foregoing shall be in full force and effect and shall grant or create the rights, powers, priorities, remedies and benefits contemplated herein or therein, as the case may be. 
  
 (k) Title Reports, Surveys and UCC Search. The Bank shall have received and approved (i) one or more title
commitments in an aggregate amount equal to the principal amount of the Loan and a survey in respect of each Property, and (ii) a UCC Search in the jurisdiction where the substitute Guarantor 

  

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has its principal place of business and in the appropriate recording office in each jurisdiction where the property is located. 
  
 (l) Costs. The Borrower is to pay all costs and expenses, (including
attorneys fees), to the Bank in connection with the substitution of the Eligible Property and Guarantor. 
  
 (m) Environmental Reports. An environmental report, on each Eligible Property shall have been received and approved by the Bank. Such reports shall
consist of a phase I environmental audit from a company reasonably acceptable to the Bank and containing results acceptable to the Bank and, if so recommended in such audits or reasonably requested by the Bank, phase II and other additional audits.
In each case, the Bank shall have received evidence satisfactory to it that all material recommendations contained in any such report or audit shall have been implemented. 
  
 ARTICLE III 
  
 REPRESENTATIONS AND WARRANTIES 
  
 SECTION 3.01. Representations and Warranties of the Borrower. The Borrower represents and warrants as follows: 
  
 (a) The Borrower is a corporation duly incorporated, validly existing and in
good standing under the laws of the State of Maryland. 
  
 (b) The
execution, delivery and performance by the Borrower of each Loan Document to which it is a party are within the Borrower’s corporate powers, have been duly authorized by all necessary corporate action, do not contravene (i) the Borrower’s
charter or bylaws or (ii) any law, rule or regulation or any contractual restriction binding on or affecting the Borrower, and do not result in or require the creation of any Lien (other than pursuant hereto) upon or with respect to any of its
properties. 
  
 (c) No authorization or approval or other action
by, and no notice to or filing with, any governmental authority or regulatory body is required for the due execution, delivery and performance by the Borrower of any Loan Document to which it is a party. 
  
 (d) This Agreement is, and each other Loan Document to which the Borrower
will be party when delivered hereunder will be, the legal, valid and binding obligation of the Borrower enforceable against the Borrower in accordance with its terms, except as the enforceability hereof or thereof may be limited by 

  

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bankruptcy, insolvency or other similar laws of general application affecting the enforcement of creditors’ rights or by general principles of equity
limiting the availability of equitable remedies. 
  
 (e) Since
December 31, 2002, there has been no material adverse change in the condition (financial or otherwise), operations or prospects of each Guarantor. 
  
 (f) There is no pending or threatened action or proceeding affecting the Borrower before any court, governmental agency or arbitrator, which may
materially adversely affect the condition (financial or otherwise), operations or prospects of the Borrower or which purports to affect the legality, validity or enforceability of this Agreement or any Loan Document to which the Borrower is a party.
Borrower represents and covenants, however, as does Marietta G & I, Inc., by its signature hereon, that: (i) A judgment has been entered in a certain condemnation proceeding brought by Georgia Transmission Corporation (an Electric Membership
Corporation) against Marietta G & I, Inc., Hollywood Entertainment Corporation, et al., being Civil Action File No. 03-11375-99, dated March 17, 2003, filed for record March 17, 2003 at 2:29 p.m. recorded in Deed Book 13704, Page 175, Records of
Cobb County, Georgia; (ii) there is a pending settlement of the judgment with Georgia Transmission Corporation, pursuant to which an easement for a right-of-way shall be conveyed to Georgia Transmission Corporation for the purpose of locating,
constructing, operating and maintaining electric transmission and distribution lines, towers, frames, poles and related necessary facilities for the purpose of transmitting and distributing electric current, said easement, however, to be limited to
air rights over and across a portion of the property owned by Marietta G & I, Inc.; and (iii) the conveyance of such properly rights does not materially interfere with the current or otherwise normal commercial use and enjoyment of the properly
by Marietta G & I, Inc. or the current tenant, Hollywood Entertainment, Inc. 
  
 (g) The Borrower has obtained all permits and approvals necessary for the conduct of its business, except for such permits and approvals the absence of which would not materially adversely affect the condition
(financial or otherwise), operations or prospects of the Borrower. 
  
 (h) No proceeds of any Advance will be used to acquire any equity security of a class which is registered pursuant to Section 12 of the Securities Exchange Act of 1934. 
  
 (i) The Borrower is not engaged in the business of extending credit for the purpose of purchasing or carrying margin stock
(within the meaning of Regulation U issued by the Board of Governors of the Federal Reserve System), and 

  

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no proceeds of any Advance will be used to purchase or carry any margin stock or to extend credit to others for the purpose of purchasing or carrying any
margin stock. 
  
 ARTICLE IV 
  
 COVENANTS OF THE BORROWER 
  
 SECTION 4.01. Affirmative Covenants. So long as the Note shall remain
unpaid or the Bank shall have any Commitment hereunder, the Borrower will, unless the Bank shall otherwise consent in writing: 
  
 (a) Compliance with Laws, Etc. Comply (or cause each Guarantor and/or its tenants to comply) in all material respects with all applicable laws,
rules, regulations and orders, such compliance to include, without limitation, paying before the same become delinquent all taxes, assessments and governmental charges imposed upon it or upon each Property except to the extent contested in good
faith and by appropriate proceedings and for which adequate reserves have been established. 
  
 (b) Use of Proceeds. Apply the proceeds to payoff existing mortgage liens encumbering the Properties, fund property acquisitions by and general working capital requirements of (i) the Borrower, (ii) a
wholly-owned subsidiary of the Borrower, or (iii) Borrower’s parent company, Growth & Income, Inc. 
  
 (c) Maintenance of Insurance. Maintain insurance with responsible and reputable insurance companies or associations in such amounts and covering
such risks as is usually carried by companies engaged in similar businesses and owning similar properties in the same general areas in which the Borrower operates. 
  
 (d) Preservation of Corporate Existence, Etc. Preserve and maintain its corporate existence, rights (charter and
statutory) and franchises. 
  
 (e) Visitation Rights. At
any reasonable period of time and from time to time, upon reasonable advance notice, permit the Bank or any agents or representatives thereof, to examine and make copies of and abstracts from the records and books of account of, and visit the
properties of, the Borrower, and to discuss the affairs, finances and accounts of the Borrower with any of its officers or directors and with its independent certified public accountants. 
  
 (f) Keeping of Books. Keep proper books of record and account, in which full and correct entries shall be made of all
financial transactions and the 

  

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assets and business of the Borrower in accordance with generally accepted accounting principles consistently applied. 
  
 (g) Maintenance of Properties, Etc. Maintain and preserve all of its
properties which are used or useful in the conduct of its business in good working order and condition, ordinary wear and tear excepted. 
  
 (h) Transactions with Affiliates. Conduct all transactions otherwise permitted under the Loan Documents with any of its Affiliates on terms that
are fair and reasonable and no less favorable to the Borrower than it would obtain in a comparable arm’s length transaction with a Person not an Affiliate. Notwithstanding the preceding sentence to the contrary, but subject to the terms of
Section 4.02(c) hereof, Borrower shall have the right to transfer proceeds and/or income to its parent, ARC Corporate Realty Trust, Inc., or any wholly-owned subsidiary, if no Event of Default has occurred. 
  
 (i) Reporting Requirements. Furnish to the Bank: 
  
 (A) as soon as available and in any event within 90 days
after the end of each of the first three quarters of each fiscal year of each Guarantor, a balance sheet of each Guarantor as of the end of such quarter and statements of income, retained earnings and cash flows of each Guarantor for the period
commencing at the end of the previous fiscal year and ending with the end of such quarter, certified by an officer of each respective Guarantor; 
  
 (B) as soon as available and in any event within 120 days after the end of each fiscal year of the Borrower, a copy of the financial
statements for such year reviewed by Bernstein, Pinchuk & Kaminsky, LLP or other independent public accountants acceptable to the Bank; 
  
 (C) as soon as available and in any event within 120 days after the end of each fiscal year of each Guarantor, a copy of the financial
statements for such year audited by KPMG or other independent public accountants acceptable to the Bank; 
  
 (D) as soon as possible and in any event within 30 days after the end of each fiscal year of the Borrower; a copy of the Borrower’s
and each Guarantor’s federal and state tax returns; 
  
 (E) as soon as possible and in any event within five days after the occurrence of each Event of Default and each event which, with the giving of notice or lapse of time, or both, would constitute an Event of Default,
continuing on the date of such statement, a statement of an officer of the Borrower setting forth 

  

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details of such Event of Default or event and the action which the Borrower has taken and proposes to take with respect thereto; 
  
 (F) promptly after the filing or receiving thereof, copies
of all reports and notices which the Borrower files under the Employee Retirement Income Security Act of 1974, as amended (“ERISA “), with the Internal Revenue Service or the Pension Benefit Guaranty Corporation or the U. S. Department of
Labor or which the Borrower receives from such Corporation; and 
  
 (G) such other information on the condition or operations, financial or otherwise, of the Borrower as the Bank may from time to time reasonably request. 
  
 SECTION 4.02. Negative Covenants. So long as the Note shall remain unpaid or the Bank shall have any Commitment
hereunder, the Borrower and each Guarantor will not, without the written consent of the Bank: 
  
 (a) Liens, Etc. Create or suffer to exist any lien, security interest or other charge or encumbrance, or any other type of preferential arrangement, upon or with respect to any Property, whether now owned or
hereafter acquired (any of the foregoing being referred to herein as a “Lien”), or assign any right to receive income, in each case to secure or provide for the payment of any Debt of any Person, other than (i) the Liens created under the
Loan Documents; (ii) Liens for taxes, assessments or governmental charges or levies to the extent not past due; (iii) Liens imposed by law, such as materialmen’s, mechanics’, carriers’, landlords’, workmen’s and
repairmen’s liens and other similar Liens arising in the ordinary course of business securing obligations which are not overdue or which have been fully bonded and are being contested in good faith; (iv) pledges or deposits to secure
obligations under workmen’s compensation laws or similar legislation or to secure public or statutory obligations of the Borrower; and (v) attachment, judgment or other similar Liens arising in connection with court proceedings, provided that
the execution or other enforcement of such Liens is effectively stayed, the claims secured thereby are being actively contested in good faith by appropriate proceedings and the payment of which is covered in full (subject to customary deductible
amounts) by insurance maintained with responsible insurance companies. Notwithstanding any provision in this Section to the contrary, a Guarantor shall be permitted to grant easements as may be necessary and appropriate in the normal operation of
its properties, subject to the Bank’s consent, which shall not be unreasonably withheld. 
  
 (b) Mergers, Etc. Merge or consolidate with or into, or convey, transfer, lease or otherwise dispose of (whether in one transaction or in a series of transactions) all or substantially all of its assets
(whether now owned or hereafter 

  

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acquired) to, or acquire all or substantially all of the assets of, any Person, except that the Borrower may merge or consolidate with or into any other
Person, provided that, immediately after giving effect to such proposed transaction, (i) no Event of Default or event which, with the giving of notice or lapse of time, or both, would constitute an Event of Default would exist, (ii) the Borrower is
the surviving corporation and (ii) the Person into which the Borrower shall be merged or formed by any such consolidation shall assume the Borrower’s obligations under the Loan Documents in an agreement or instrument satisfactory in form and
substance to the Bank. 
  
 and the Borrower will not, without the written consent
of the Bank: 
  
 (c) Distributions, Etc. During any fiscal
year, pay any dividends, or make any other distributions or payments, of whatever kind or nature, to its shareholders, in excess of net income for said fiscal year (computed in accordance with generally accepted accounting principles consistently
applied), excluding gains (or losses) from debt restructuring and/or sales of property, plus real estate-related depreciation, and amortization, minus recurring and non-recurring real estate-related capital expenditures. 
  
 ARTICLE V 
  
 EVENTS OF DEFAULT 
  
 SECTION 5.01. Events of Default. If any of the following events (“Events of Default”) shall occur and be continuing: 
  
 (a) The Borrower fails to pay any principal of, or interest on, the Note
within ten (10) days of when the same becomes due and payable; or 
  
 (b) Any representation or warranty made by any Loan Party (or any of its officers) under or in connection with any Loan Document shall prove to have been incorrect in any material respect when made; or 
  
 (c) Any Loan Party shall fail to perform or observe any term, covenant or
agreement contained in any Loan Document on its part to be performed or observed (other then payment of the Note which shall be governed by (a) above) if such failure shall remain unremedied for thirty (30) days after written notice thereof shall
have been given to the Borrower by the Bank, provided, however, if such failure cannot be cured within thirty (30) days despite the diligent efforts of such Loan Party, the Loan Party shall have such additional time not to exceed thirty (30)
additional days to fully effect said cure; or 
  

 14 

 (d) Any Loan Party shall fail to pay any principal of or premium or interest on any Debt which is
outstanding in a principal amount of at least $250,000 in the aggregate (but excluding Debt evidenced by the Note) of such Loan Party when the same becomes due and payable (whether by scheduled maturity, required prepayment, acceleration, demand or
otherwise), and such failure shall continue after the applicable grace period, if any, specified in the agreement or instrument relating to such Debt; or any other event shall occur or condition shall exist under any agreement or instrument relating
to any such Debt and shall continue after the applicable grace period, if any, specified in such agreement or instrument, if the effect of such event or condition is to accelerate, or to permit the acceleration of, the maturity of such Debt; or any
such Debt shall be declared to be due and payable, or required to be prepaid (other than by a regularly scheduled required prepayment), prior to the stated maturity thereof; or 
  
 (e) Any Loan Party shall generally not pay its debts as such debts become due, or shall admit in writing its inability to
pay its debts generally, or shall make a general assignment for the benefit of creditors; or any proceeding shall be instituted by or against any Loan Party seeking to adjudicate it a bankrupt or insolvent, or seeking liquidation, winding up,
reorganization, arrangement, adjustment, protection, relief, or composition of it or its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors, or seeking the entry of an order for relief or the appointment of
a receiver, trustee, custodian or other similar official for it or for any substantial part of its property and, in the case of any such proceeding instituted against it (but not instituted by it), either such proceeding shall remain undismissed or
unstayed for a period of 30 days, or any of the action’s sought in such proceeding (including, without limitation, the entry of an order for relief against, or the appointment of a receiver, trustee, custodian or other similar official for, it
or for any substantial part of its property) shall occur; or any Loan Party shall take any corporate action to authorize any of the actions set forth above in this subsection (e); or 
  
 (f) Any judgment or order for the payment of money in excess of $100,000 shall be rendered against any Loan Party and either
(i) enforcement proceedings shall have been commenced by any creditor upon such judgment or order or (ii) there shall be any period of ninety (90) consecutive days during which a stay of enforcement of such judgment or order, by reason of a pending
appeal or otherwise, shall not be in effect; or 
  
 (g) Any
material provision of any Mortgage shall for any reason cease to be valid and binding on the Guarantor, or the Guarantor shall so state in writing, or a Mortgage shall for any reason (except to the extent permitted by the terms thereof) cease to
create a valid and perfected first priority security interest in and Lien on the Property purported to be covered thereby and the Guarantor fails to remedy same within fifteen (15) days after notice from the Bank; or 
  

 15 

 (h) Any material provision of a Guaranty shall for any reason cease to be valid and binding on the
respective Guarantor, or the Guarantor shall so state in writing; 
  
 Then, and in any such event, the Bank (i) may, by notice to the Borrower, declare its obligation to make Advances to be terminated, whereupon the same shall forthwith terminate, (ii) may, by notice to the Borrower, declare the Note, all
interest thereon and all other amounts payable under this Agreement to be forthwith due and payable, whereupon the Note, all such interest and all such amounts shall become and be forthwith due and payable, without presentment, demand, protest or
further notice of any kind, all of which are hereby expressly waived by the Borrower and (iii) take such other actions as may be permitted by the Guarantees or Mortgages, including (without limitation) the foreclosure of any Liens purported to be
granted thereby; provided, however, that in the event of an actual or deemed entry of an order for relief with respect to the Borrower under the Federal Bankruptcy Code, (A) the obligation of the Bank to make Advances shall automatically be
terminated and (B) the Note, all such interest and all such amounts shall automatically become and be due and payable, without presentment, demand, protest or any notice of any kind, all of which are hereby expressly waived by the Borrower.

  
 ARTICLE VI 
  
 DEFINITIONS AND ACCOUNTING TERMS 
  
 SECTION 6.01. Certain Defined Terms. As used in this Agreement, the
following terms shall have the following meanings (such meanings to be equally applicable to both the singular and plural forms of the terms defined): 
  
 “Affiliate” means, with respect to any Person, any other Person directly or indirectly controlling (including but not limited to all
directors and officers of such Person), controlled by, or under direct or indirect common control with such Person. A Person shall be deemed to control another entity if such Person, possesses, directly or indirectly, the power to direct or
cause the direction of the management and policies of such entity, whether through the ownership of voting securities, by contract, of otherwise. 
  
 “Amortized Commitment Amount” means (i) from the date hereof through June 29, 2003, $5,500,000; (ii) June 30, 2003 through September 29,
2003, $5,375,000; (iii) September 30, 2003 through December 30, 2003, $5,250,000; (iv) December 31, 2003 through March 30, 2004, $5,125,000; (v) March 31, 2004 through June 29, 2004, $5,000,000; (vi) June 30, 2004 through September 29, 2004, 

  

 16 

 
$4,875,000; (vii) September 30, 2004 through December 30, 2004, $4,750,000; (viii) December 31, 2004 through March 30, 2005, $4,625,000; (ix) March 31, 2005
through June 29, 2005, $4,500,000; (x) June 30, 2005 through September 29, 2005, $4,375,000; (xi) September 30, 2005 through December 30; 2005, $4,250,000; (xii) December 31, 2005 through February 28, 2006, $4,125,000. The aggregate unpaid principal
amount of the Advances, together with all accrued but unpaid interest, shall become due and payable on March 1, 2006. 
  
 “Debt” means (A) indebtedness for borrowed money, (B) obligations evidenced by bonds, debentures, notes or other similar instruments, (C)
obligations to pay the deferred purchase price of property or services (except trade accounts payable arising in the ordinary course of business which are not overdue), (D) obligations as lessee under leases which shall have been or should be, in
accordance with generally accepted accounting principles, recorded as capital leases, (E) obligations under direct or indirect guaranties in respect of, and obligations (contingent or otherwise) to purchase or otherwise acquire, or otherwise to
assure a creditor against loss in respect of, indebtedness or obligations of others of the kinds referred to in clauses (A) through (D) above, and (F) liabilities in respect of unfunded vested benefits under plans covered by Title IV of ERTSA.

  
 “Person” means an individual, partnership,
corporation (including a business trust), limited liability company, joint stock company, trust, unincorporated association, joint venture or other entity, or a government or any political subdivision or agency thereof. 
  
 SECTION 6.02. Eligible Properties. 
  
 (a) “Eligible Property” means real estate which is and
continues to be at all times: 
  
 (i) wholly
owned and operated by Borrower or a wholly-owned subsidiary of Borrower pursuant to a fee interest; and 
  
 (ii) unencumbered; and 
  
 (iii) leased in its entirety to tenants [not to exceed three (3) in number] that are deemed creditworthy in the reasonable discretion of
the Bank pursuant to leases in which such tenants are required to pay most or all of the Property’s operating expenses (“triple net leases”) with remaining terms of at least five (5) years. Borrower shall use commercially reasonable
efforts to provide financial statements of the tenants to the Bank. 
  
 (b) The properties identified on Schedule 2.01(c) are hereby approved as Eligible Properties. In addition, no property shall be accepted as an 

  

 17 

 
Eligible Property unless the following are true, correct and accurate in all material respects on the date of acceptance of such property: 
  
 (i) Title. The owner of such property has good
record, marketable and indefeasible fee simple absolute to such property. Such title shall be free and clear of all Liens and other matters affecting title except for easements that do not interfere with the use of the property and approved leases
which must be subordinated to the Bank’s mortgage lien. 
  
 (ii) Leases. The lease is in full force and effect and is a legally valid and binding obligation of the Guarantor who owns the property and the other parties thereto. The approved lease has not been amended,
modified or terminated, nor has there been any material change in or waiver of any obligation contained in any such lease nor any set-off or counterclaim asserted by any tenant. Such Guarantor has not mortgaged, pledged or otherwise encumbered the
approved lease or its right to obtain rental, interest or other payments under the approved lease. Rent has not been collected more than 30 days in advance (except for security, deposits in an, amount not in excess of one month’s installment of
rent). No material default beyond any applicable grace period or notice of termination under any approved lease is outstanding. Such Guarantor has performed all of its material repair and maintenance obligations (if any) and, to the knowledge and
belief of such Guarantor, the tenant under the approved lease has performed all of its material repair, maintenance or other obligations. 
  
 (iii) Surveys. There have not been any encumbrances, encroachments or other survey matters materially and adversely affecting such
property after the date of the most recent survey of such property furnished to the Bank that would result in a change to such survey. 
  
 (iv) Off-Site Utilities. All water, sewer, electric, gas, telephone and other utilities are available to be installed or installed
to the property lines of such property and, except in the case of drainage facilities, are connected to the buildings located thereon with valid permits and are adequate to service the buildings in material compliance with applicable law; and the
buildings are properly and legally connected directly to, and served exclusively by, public water and sewer systems. No easements over land of others are required for any such utilities, and no drainage of surface or other water across land of
others is required except in either case as disclosed in the title policy or the surveys accepted by the Bank. 
  
 (v) Access; Etc. The streets abutting such property are public roads, to which the property has direct access by trucks and other
motor vehicles and by foot, or are private ways (with direct access by trucks and other 

  

 18 

 
motor vehicles and by foot to public roads) to which the property has direct access without charge or liability for maintenance or repair except as required
in connection with the payment of association or owner’s fees pursuant to recorded instruments. No easements over land of others are required for such means of access and egress except as disclosed in the title policy or surveys. 
  
 (vi) Independent Buildings. The buildings on the
property are fully independent in all respects from any other buildings or improvements not located on the property including, without limitation, in respect of structural integrity, heating, ventilating and air conditioning, plumbing, mechanical
and other operating and mechanical systems, all of which are connected directly to off-site utilities located in recorded easements or public streets or ways. The buildings are located on lots which are separately assessed for purposes of real
estate tax assessment and payment. The buildings, all building service equipment and all paved or landscaped areas related to or used in connection with the buildings are located wholly within the perimeter lines of the lot or lots on which the
properties are located except any real property covered by any easement benefiting the property or as disclosed in the surveys. 
  
 (vii) Condition of Building; No Asbestos. There are no material defects in the roof, foundation. structural elements and masonry
walls of the buildings or their heating, ventilating and air conditioning, electrical, sprinkler, plumbing or other, mechanical systems or their building service equipment; the buildings are fully sprinklered as evidenced by the building inspection
to be provided by the Borrower to the Bank if requested by the Bank; and no asbestos is located in or on the buildings except as may be disclosed in the environmental reports. 
  
 (viii) Building Compliance with Law; Permits. The buildings as presently constructed and used do not
materially violate any applicable federal or state law or governmental regulation. or any local ordinance, order or regulation, including but not limited to laws, regulations, or ordinances relating to zoning, building use and occupancy, subdivision
control, fire protection, health and sanitation; zoning laws permit use of the buildings for their current use; there is a sufficient number of parking spaces on the lot or lots on which the property is located or on any real property covered by any
easement benefiting the property or to permit the buildings to be used under the zoning laws for their current Use; and all private ways providing access to the property are zoned in a manner which will permit access to the buildings over such ways
by trucks and other commercial and industrial vehicles. All permits (collectively, the “Permits”) required for the operation and maintenance of the property, including without limitation, building permits, curb-cut permits, water
connection permits, sewer extension or connection permits and other permits (if any) required under the Federal Clean Air Act, as amended, the Federal Clean Water Act, as amended (including, without limitation a 

  

 19 

 
so-called “404 Permit”), and by state law or regulations consistent with the requirements of said Acts, have been validly issued by the appropriate
governmental authority and are now in full force and effect. 
  
 (ix) No Required Real Property Consents, Permits, Etc. The Guarantor has not received any notices of, nor has any knowledge of, any Permits, utility installations and connections (including, without limitation,
drainage facilities, curb cuts and street openings), or private consents required for the maintenance, operation, servicing and use of any property for its current use which have not been granted, effected, or performed and completed (as the case
maybe) or any fees or charges therefor which have not been fully paid. 
  
 (x) Suits; Judgments. There are no outstanding notices, suits, orders, decrees or judgments relating to zoning, building use and occupancy, subdivision control, fire protection, health, sanitation, or other
violations affecting, against, or with respect to, any property or any part thereof. 
  
 (xi) Insurance. The Guarantor has not received any notices from any insurer or its agent requiring performance of any work with
respect to any property. 
  
 (xii) Real
Property Taxes; Special Assessments. There are no unpaid or outstanding real estate or other taxes or assessments on or against any property or any part thereof which are payable by the Guarantor (except only real estate taxes not yet due and
payable). 
  
 (xiv) Historic Status. No
building is a historic structure or landmark, and no property is within any historic district pursuant to any federal, state or local law or governmental regulations. 
  
 (xiv) Eminent Domain. There are no pending eminent domain proceedings against the property or any
part thereof, and, to the best of the Guarantor’s knowledge, no such proceedings are presently threatened or contemplated by any taking authority. 
  
 (xv) Compliance with Environmental Laws. Each tenant is in compliance with all applicable statutes, laws, rules, regulations and
orders of all governmental authorities relating to environmental protection, pollution control and hazardous materials and with respect to the conduct of its business and the ownership of its properties. 
  
 (xvi) Pollution; Hazardous Materials. To the best of
the Guarantor’s knowledge, there are no hazardous materials present in the air, soil, surface water or groundwater at such property and no hazardous materials (except 

  

 20 

 
hazardous materials maintained in accordance with all requirements of law and necessary for the business operations of any such property, including, without
limitation, petroleum used for heating oil) are used in the operation of such property, except as disclosed in a Phase I environmental report to be approved by the Bank for each Eligible Property. 
  
 SECTION 6.03. Other Definitions. The following terms are defined in
the Sections indicated: 
  

			
	 Term

	 	 Section

	“Advances”	 	1.01
	“Assignment of Leases”	 	2.01(d)
	“Bank”	 	Preamble
	“Borrower”	 	Preamble
	“Business Day”	 	1.10
	“Commitment”	 	1.01
	“Environmental Indemnification Agreement”	 	2.01(g)
	“ERISA”	 	4.01(i)(F)
	“Events of Default”	 	5.01
	“Lien”	 	4.02(a)
	“Loan Document”	 	2.01(m)
	“Loan Party”	 	2.01(b)
	“Mortgage”	 	2.01(c)
	“Non-Disturbance Agreement”	 	2.01(d)
	“Note”	 	1.05
	“Notice of Borrowing”	 	1.02
	“Property”	 	2.01(c)
	“Termination Date”	 	1.01

  
 SECTION 6.04.
Computation of Time Periods. Unless otherwise indicated, each reference in this Agreement to a specific time of day is a reference to New York City time. In the computation of periods of time under this Agreement; any period of a specified number of
days or months shall be computed by including the first day or month occurring during such period and excluding the last such day or month. In the case of a period of time “from” a specified date “to” or “until” a later
specified date, the word “from” means “from and including” and the words “to” or “until” each means “to but excluding.” 
  
 SECTION 6.05. Accounting Terms. Any accounting terms used in this Agreement shall, unless otherwise specifically
provided, have the meanings customarily given them in accordance with United States generally accepted accounting principles consistent with those applied in the preparation of the financial statements referred to in Section 4.01(i)(B) and all
financial computations 

  

 21 

 
hereunder shall, unless otherwise specifically provided, be computed in accordance with United States generally accepted accounting principles consistently
applied. 
  
 SECTION 6.06. Other Rules of Construction.
References in this Agreement to sections, schedules and exhibits are to sections of, and schedules and exhibits to, this Agreement unless otherwise indicated. Words in the singular include the plural and in the plural include the singular. The word
“or” is not exclusive. 
  
 ARTICLE VII 

 
 MISCELLANEOUS 
  
 SECTION 7.01. Amendments, Etc. No amendment or waiver of any provision
of this Agreement or the Note, nor consent to any departure by the Borrower therefrom, shall in any event be effective unless the same shall be in writing and signed by the Bank, and then such waiver or consent shall be effective only in the
specific instance and for the specific purpose for which given. 
  
 SECTION 7.02. Notices, Etc. All notices and other communications provided for hereunder shall be in writing (including telecopier, telegraphic, telex or cable communication) and mailed, telecopied, telegraphed, telexed, cabled or
delivered, if to the Borrower, at its address at 1401 Broad Street, Clifton, New Jersey 07013, Attention: Robert J. Ambrosi, President; and if to the Bank, at its address at 40 East 52nd Street, New York, New York 10022, Attention: Carmelo Foti,
Vice President; or, as to each party, at such other address as shall be designated by such party in a written notice to the other party. Copies of all communications from the Borrower to the Bank shall be mailed, telecopied or delivered to Finestein
& Malloy, L.L.C., 26 Main Street, Chatham, New Jersey 07026, Attention: Russell M. Finestein, Esq.; copies of all communications from the Bank to the Borrower shall be mailed, telecopied or delivered to Growth & Income (SAM) I, Inc., 1401
Broad Street, Clifton, New Jersey 07013, Attention: Stanley Morrow, Esq.; provided that the failure to deliver any such copies shall not affect the validity or effectiveness of any notice otherwise properly delivered to the Borrower or the Bank, as
the case may be. All such notices and communications shall, When mailed, telecopied, telegraphed, telexed or cabled, be effective when deposited in the mails, telecopied, delivered to the telegraph company, confirmed by telex answerback or delivered
to the cable company, respectively, except that notices to the Bank pursuant to the provisions of Article I shall not be effective until received by the Bank. 
  

SECTION 7.03. No Waiver; Remedies. No failure on the part of the Bank to exercise, and no delay in exercising, any right under any Loan Document

  

 22 

 
shall operate as a waiver thereof; nor shall any single or partial exercise of any such right preclude any other or further exercise thereof or the exercise
of any other right. The remedies provided in the Loan Documents are cumulative and not exclusive of any remedies provided by law. 
  
 SECTION 7.04. Costs, Expenses and Taxes. The Borrower agrees to pay on demand, and regardless of whether it requests or obtains any Advance
hereunder, all reasonable costs and expenses in connection with the preparation, execution, delivery, filing, recording, administration, modification and amendment of the Loan Documents and the other documents to be delivered under the Loan
Documents, including, without limitation, the reasonable fees and out of pocket expenses of counsel for the Bank with respect thereto and with respect to advising the Bank as to its rights and responsibilities under the Loan Documents. The Borrower
further agrees to pay on demand all losses, costs and expenses, if any (including reasonable counsel fees and expenses), in connection with the enforcement (whether through negotiations, legal proceedings or otherwise) of the Loan Documents and the
other documents to be delivered under the Loan Documents, including, without limitation, losses, costs and expenses sustained as a result of a default by any Loan Party in the performance of its obligations contained in any Loan Document or any such
other document. In addition, the Borrower shall pay any and all stamp and other taxes payable or determined to be payable in connection with the execution, delivery, filing and recording of the Loan Documents and the other documents to be delivered
under the Loan Documents, and agrees to save the Bank harmless from and against any and all liabilities with respect to or resulting from any delay in paying or omission to pay such taxes. 
  
 SECTION 7.05. Right to Set-Off. Upon the occurrence and during the
continuance of any Event of Default, the Bank is hereby authorized at any time and from time to time, to the fullest extent permitted by law, to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any
time held and other indebtedness at any time owing by the Bank to or for the credit or the account of the Borrower against any and all of the obligations of the Borrower now or hereafter existing under any Loan Document, whether or not the Bank
shall have made any demand under such Loan Document and although such obligations maybe unmatured. The Bank agrees promptly to notify the Borrower after any such set-off and application, provided that the failure to give such notice shall not affect
the validity of such setoff and application. The rights of the Bank under this Section are in addition to other rights and remedies (including, without limitation, other rights of set-off) which the Bank may have. 
  
 SECTION 7.06. Binding Effect. This Agreement shall be binding upon and
inure to the benefit of the Borrower and the Bank and their respective successors and assigns, except that the Borrower shall not have the right to assign 

  

 23 

 
its rights hereunder or any interest herein without the prior written consent of the Bank. 
  
 SECTION 7.07. Governing Law. This Agreement and the Note shall be governed by, and construed in accordance with, the
laws of the State of New York. 
  
 SECTION 7.08. Submission to
Jurisdiction. The Borrower (i) irrevocably submits to the jurisdiction of any New York or New Jersey State court or Federal court sitting in New York City’ or in New Jersey in any action arising out of this Agreement or any Loan Document,
(ii) agrees that all claims in such action may be decided in such court, (iii) waives, to the fullest extent it may effectively do so, the defense of an inconvenient forum and (iv) consents to the service of process by mail. A final judgment in any
such action shall be conclusive and may be enforced in other jurisdictions. Nothing herein shall affect the right of any party to serve legal process in any manner permitted by law or affect its right to bring any action in any other court.

  
 SECTION 7.09. WAIVER OF JURY TRIAL. THE BORROWER HEREBY
IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED UPON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT, OR ANY OTHER INSTRUMENT OR DOCUMENT
DELIVERED HEREUNDER OR THEREUNDER. OR THE ADVANCES OR THE ACTIONS OF THE BANK IN THE NEGOTIATION, ADMINISTRATION, PERFORMANCE OR ENFORCEMENT THEREOF. 
  
 SECTION 7.10. Execution in Counterparts. This Agreement maybe executed in any number of counterparts and by different parties hereto in separate
counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 
  

 24 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their
respective officers thereunto duly authorized, as of the date first above written. 
  

									
	 ATTEST:
	 	 	 	 GROWTH & INCOME (SAM) I, INC.,
 a Maryland corporation

					
	 	 	 	 	 	 	By:	 	 
	
	 	 	 	 	 	

	 [Corporate Seal]
	 	 	 	 	 	 	 	 
			
	 	 	 	 	 NATIONAL BANK OF EGYPT

					
	 	 	 	 	 	 	By:	 	 
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 Name:
	 	 
	 	 	 	 	 	 	 Title:
	 	 
					
	 	 	 	 	 	 	By:	 	 
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 Name:
	 	 
	 	 	 	 	 	 	 Title:
	 	 

  

 25 

 The undersigned has received, reviewed and approved the within Agreement: 
  

									
	 	 	 	 	 MARIETTA G & I, INC.,
 a Georgia corporation

					
	 	 	 	 	 	 	By:	 	 
	
	 	 	 	 	 	

	 [Corporate Seal]
	 	 	 	 	 	 	 	 
			
	 	 	 	 	 NORCROSS G & I, INC.,
 a Georgia corporation

					
	 	 	 	 	 	 	By:	 	 
	
	 	 	 	 	 	

	 [Corporate Seal]
	 	 	 	 	 	 	 	 
			
	 	 	 	 	 MEMWAL G & I, INC.,
 a Tennessee corporation

					
	 	 	 	 	 	 	By:	 	 
	
	 	 	 	 	 	

	 [Corporate Seal]
	 	 	 	 	 	 	 	 
	 	 	 	 	 MEMPHIS G & I, INC.,
 a Tennessee corporation

					
	 	 	 	 	 	 	By:	 	 
	
	 	 	 	 	 	

	 [Corporate Seal]
	 	 	 	 	 	 	 	 

  

 26 

 Schedule 2.01(c) 
  
 NORCROSS G & I, INC. 
  
 Being all that tract or parcel of land lying and being in part of 197 of the 6t]’ District, Gwinnett County, Georgia and being more
particularly described as follows: 
  
 COMMENCE at the point of intersection
formed by the south line of Oakbrook Drive (a right-of-way of 60 feet) with the westerly right-of-way of Pirkle Road (a right-of-way of 90 feet), if the said rights-of-way were extended to form an angle instead of a curve; thence South 04 degrees 02
minutes 32 seconds East, a distance of 25.00 feet, to the POINT OF BEGINNING; said point being the point of intersection with a non-tangent curve, concave Easterly, having a radius of 1583.64 feet and a central angle of 05 degrees 35 minutes 59
seconds, thence Southerly along the arc of said curve to the left and the westerly right-of-way of Pirkle Road, from which the local tangent at the beginning point bears South 04 degrees 02 minutes 30 seconds East, a distance of 154.78 feet, said
arc subtended by a chord which bears South 06 degrees 50 minutes 29 seconds East, a distance of 154.71 feet to the point of tangency; thence South 09 degrees 38 minutes 15 seconds East, a distance of 50.00 feet; to the point of curvature of a curve,
concave Westerly, having a radius of 1384.31 feet and a central angle of 04 degrees 00 minutes 5 8 seconds, thence Southerly along the arc of said curve to the right and continuing with the westerly right-of-way of Pirkle Road, a distance of 97.03
feet, said arc subtended by a chord which bears South 07 degrees 37 minutes 45 seconds East, a distance of 97.01 feet to the point of intersection with a non-tangent line; thence leaving the right-of-way of Pirkle Road at North 65 degrees 59 minutes
15 seconds West, a distance of 185.90 feet to a point; thence South 76 degrees 15 minutes 00 seconds West, a distance of 206.88 feet to a point; thence North 04 degrees 02 minutes 30 seconds West, a distance of 273.57 feet to a point on the south
right of way of Oakbrook Drive; thence North 85 degrees 57 minutes 30 seconds East, along the south right-of-way of Oakbrook Drive, a distance of 324.47 feet; to the point of curvature with a curve, concave Southwesterly, having a radius of 25.00
feet and a central angle of 90 degrees 00 minutes 04 seconds, thence Easterly along the arc of said curve to the right, a distance of 39.27 feet, said arc subtended by a chord which bears South 49 degrees 02 minutes 30 seconds East, a distance of
35.36 feet to the curve’s end, and the POINT OF BEGINNING; Containing 2.1770 Acres of land, more or less. 
  
 TOGETHER WITH easement rights appurtenant to said tract, granted by that certain Easement Agreement by and between The Northwestern Mutual Life Insurance Company, a Wisconsin corporation, and Norcross G & I, Inc.,
a Georgia corporation, dated April 19, 1996, filed for record April 25, 1996 at 12:27 p.m., recorded in Deed Book 12609, Page 130, Records of Gwinnett County, Georgia. 
  

 27 

 MARIETTA G & I, INC. 
  
 Being part of the property lying in Land Lot 27 of the 19th District, 2”d Section of Cobb County, Georgia, and being more particularly
described as follows: 
  
 To find the True Point of Beginning, commence at a
concrete monument found at the intersection of the southerly right of way of Dallas - Marietta Highway, also known as S.R.120 (variable width) and the westerly right of way of Villa Rica Road (variable width); thence leaving said monument and
running with the said southerly right of way of S.R. 120 North 66 degrees 02 minutes 17 seconds West 32.29 feet to a concrete right of way monument found; thence continuing with the right of way of S.R. 120 North 88 degrees 35 minutes 34 seconds
West 150.59 feet to a point; thence continuing North 88 degrees 39 minutes 42 seconds West 34.72 feet to the True Point of Beginning of the below described property; thence leaving the said Point of Beginning and the said right of way of S.R. 120
and running 
  

	 	1.	South 00 degrees 00 minutes 00 seconds West 202.64 feet; thence 

  

	 	2.	North 90 degrees 00 minutes 00 seconds West 144.00 feet; thence 

  

	 	3.	North 00 degrees 00 minutes 00 seconds East 38.00 feet; thence 

  

	 	4.	North 90 degrees 00 minutes 00 seconds West 19.00 feet; thence 

  

	 	5.	North 00 degrees 00 minutes 00 seconds East 172.86 feet; thence _ 

  

	 	6.	South 83 degrees 19 minutes 57 seconds East 47.50 feet; thence 

  

	 	7.	South 88 degrees 39 minutes 42 seconds East 115.84 feet to the Point of Beginning; containing 32,723 square feet or 0.751 acres of land, more or less. 

  
 TOGETHER WITH those easement rights arising under that certain Operation and Easement
Agreement by and between Dayton Hudson Corporation and Sembler Family Partnership #11, Ltd., qualified to do business in Georgia as Sembler Family Partnership #11, Ltd. (L.P.), dated as of April 29,1996, filed for record May 17,1996 at 3:41 p.m.,
recorded in Deed Book 9617, Page 82, Records of Cobb County, Georgia; as restated by that certain Restatement of an Operation and Easement Agreement by and between Dayton Hudson Corporation, a Minnesota corporation and Sembler Family Partnership
#11, Ltd., a Florida limited partnership, dated August, 1996, filed for record August 23, 1996 at 3:13 p.m., recorded in Deed Book 9820, Page 70, aforesaid Records; as. rerecorded September 13, 1996 at 12:10 p.m., recorded in Deed Book 9864, Page
504, aforesaid Records. 
  

 28 

 ALSO TOGETHER WITH those easement rights arising under that certain Access Easement and Restriction Agreement by and
between Sembler Family Partnership #11, Ltd., a Florida limited partnership, qualified to do business in Georgia as Sembler Family Partnership #11, Ltd. (L.P.), Dayton Hudson Corporation, a Minnesota corporation and Buckeye Foods, Inc., an Ohio
corporation, dated May 3, 1996, filed for record May 17, 1996 at 3:41 p.m., recorded in Deed Book 9617, Page 163, aforesaid Records. 
  

 29 

 MEMPHIS G & I, INC. 
  
 The land is situated in the State of Tennessee, County of Shelby and is described as follows: 
  
 Beginning at a point on the east line of Prescott Boulevard (80.00 foot right of way), 27.98
feet north of the north line of Miac Drive (80.00 foot right of way); thence north 32 degrees 02 minutes 43 seconds west along the east line of said Prescott Boulevard and the northward extension of said east line a distance of 390.81 feet to a
point of curvature; thence continuing northwestwardly along a curve to the right, having a radius of 785.00 feet, an arc distance of 140.66 feet (chord north 26 degrees 54 minutes 43 seconds west, 140.48 feet) to a set iron pin; thence north 87
degrees 02 minutes 11 seconds east a distance of 515.57 feet to a set iron pin on the west line of the Opus Re One Corporation property (Instrument No. BH 7427); thence south 02 degrees 57 minutes 49 seconds east along said west line a distance of
402.79 feet to a set iron pin on the north line of said Miac Drive; thence southwestwardly along said north line and along a curve to the left, having a radius of 865.00 feet, an arc distance of 209.11 feet (chord south 68 degrees 52 minutes 48
seconds west, 208.60 feet) to the point of tangency; thence south 61 degrees 57 minutes 17 seconds west along said north line a distance of 34.72 feet to a point of curvature; thence northwestwardly along a curve to the right, having a radius of
30.00 feet, an arc distance of 45.03 feet (chord north 75 degrees 02 minutes 43 seconds west, 40.92 feet) to the point of beginning, containing approximately 4.130 acres. 
  

 30 

 MEMWAL G & I, INC. 
  
 The land is situated in the State of Tennessee, County of Shelby and is described as follows: 
  
 Lots 1 and 2, Range Line Subdivision, as shown on plat of record in Plat Book 36, at Page 1,
in the Register’s Office of Shelby County, Tennessee, and being more particularly described as follows: 
  
 Beginning at a chisel mark (found) in the north line of James Road (40 feet from center line), said point being the east end of a curve having a radius of 24 feet located at the northeast corner of James Road and
Range Line Street; thence northwesterly on a curve to the right having a radius of 24 feet a distance of 41.03 feet (chord north 51 degrees 46 minutes 04 seconds west 36.21 feet) to a point in the east line of Range Line Street (42.6 feet from
center line); thence north 02 degrees 47 minutes 33 seconds west with the east line of Range Line Street (42.6 feet from center line) a distance of 39.11 feet; thence north 07 degrees 15 minutes 42 seconds west with the east line of Range Line
Street a measured distance of 50.75 feet (prior call 50.16 feet) to a point in the east line of Range Line Street 38.5 feet from center line; thence north 02 degrees 36 minutes 21 seconds west with the east line of Range Line Street (38.5 feet from
center line), a distance of 160.52 feet to a point in the south line of Lot 38, Section “A,” Sky Lake Subdivision as recorded in Plat Book 17, Page 19 Register’s Office of Shelby County, Tennessee (found iron pin 0.16 feet east of
corner); thence north 88 degrees 35 minutes 57 seconds east with the south line of Lots 38 and 37, Section “A,” Sky Lake Subdivision a measured distance of 175.20 feet (prior call 174.9 feet) to an iron pin (found) in the west line of Lot
1 of said Sky Lake Subdivision; thence south 10 degrees 44 minutes 35 seconds east with the west line of said Lot 1, Section “A,” Sky Lake Subdivision a measured distance of 247.17 feet (prior call 247.40 feet) to a point in the north line
of James Road (40 feet from center line) (found iron stake 0.9 feet east and 0.6 feet north of corner); thence sough 79 degrees 15 minutes 25 seconds west with the north line of James Road (40 feet from center line), a measured distance of 180.32
feet (prior call 179.35 feet) to the point of beginning. 
  
 Being the same
property conveyed to M&M Memphis, L.P. by deeds recorded in the Register’s Office of Shelby County, Tennessee, under Register Nos. CW 1219 and CW 1220. 
  

 312002 Employee Stock Purchase Plan, as amended

 Exhibit 10.4A 
  
 ALTIRIS, INC. 
  
 2002 EMPLOYEE STOCK PURCHASE PLAN 
  
 The following constitutes the provisions of the 2002 Employee Stock Purchase Plan of Altiris, Inc. 
  
 1. Purpose. The purpose of the Plan is to provide Employees with an
opportunity to purchase Common Stock through accumulated payroll deductions. It is the intention of the Company to have the Plan qualify as an “Employee Stock Purchase Plan” under Section 423 of the Code. The provisions of the Plan,
accordingly, shall be construed so as to extend and limit Plan participation in a manner that is consistent with the requirements of that section of the Code. 
  

2. Definitions. 
  
 (a) “Administrator” means the Board or any committee thereof designated by the Board in accordance with Section 14. 
  
 (b) “Board” means the Board of Directors of the Company.

  
 (c) “Change of Control” means the occurrence
of any of the following events: 
  
 (i) Any “person”
(as such term is used in Sections 13(d) and 14(d) of the Exchange Act) becomes the “beneficial owner” (as defined in Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or
more of the total voting power represented by the Company’s then outstanding voting securities; or 
  
 (ii) The consummation of the sale or disposition by the Company of all or substantially all of the Company’s assets; or 
  
 (iii) The consummation of a merger or consolidation of the Company, with any
other corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting
securities of the surviving entity or its parent) at least fifty percent (50%) of the total voting power represented by the voting securities of the Company, or such surviving entity or its parent outstanding immediately after such merger or
consolidation. 
  
 (iv) A change in the composition of the Board,
as a result of which fewer than a majority of the Directors are Incumbent Directors. “Incumbent Directors” means Directors who either (A) are Directors as of the effective date of the Plan (pursuant to Section 23), or (B) are elected, or
nominated for election, to the Board with the affirmative votes of at least a majority of those Directors whose election or nomination was not in connection with any transaction described in subsections (i), (ii) or (iii) or in connection with an
actual or threatened proxy contest relating to the election of Directors of the Company. 

 (d) “Code” means the Internal Revenue Code of 1986, as amended. Any reference to a
section of the Code herein shall be a reference to any successor or amended section of the Code. 
  
 (e) “Common Stock” means the common stock of the Company. 
  
 (f) “Company” means Altiris, Inc., a Delaware corporation. 
  
 (g) “Compensation” means all base straight time gross
earnings, commissions, overtime, and shift premium, but exclusive of payments for incentive compensation, bonuses, and other compensation. 
  
 (h) “Designated Subsidiary” means any Subsidiary that has been designated by the Administrator from time to time in its sole discretion
as eligible to participate in the Plan. 
  
 (i)
“Director” means a member of the Board. 
  
 (j)
“Employee” means any individual who is a common law employee of an Employer. For purposes of the Plan, the employment relationship shall be treated as continuing intact while the individual is on sick leave or other leave of absence
approved by the Employer. Where the period of leave exceeds ninety (90) days and the individual’s right to reemployment is not guaranteed either by statute or by contract, the employment relationship shall be deemed to have terminated on the
91st day of such leave. 
  
 (k) “Employer” means
any one or all of the Company and its Designated Subsidiaries. 
  
 (l) “Enrollment Date” means the first Trading Day of each Offering Period. 
  
 (m) “Exchange Act” means the Securities Exchange Act of 1934, as amended, including the rules and regulations promulgated thereunder.

  
 (n) “Exercise Date” means the first Trading
Day on or after February 1 and August 1 of each year. The first Exercise Date under the Plan shall be the first Trading Day on or after February 1, 2003. 
  
 (o) “Fair Market Value” means, as of any date, the value of Common Stock determined as follows: 
  
 (i) If the Common Stock is listed on any established stock exchange or a
national market system, including without limitation the Nasdaq National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for the Common Stock (or the closing bid, if no sales
were reported) as quoted on such exchange or system on the date of determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable, or; 
  
 (ii) If the Common Stock is regularly quoted by a recognized securities dealer but selling prices are not reported, its Fair
Market Value shall be the mean of the closing bid 
  

 -2- 

 and asked prices for the Common Stock on the date of determination, as reported in The Wall Street Journal or such other
source as the Administrator deems reliable, or; 
  
 (iii) In the
absence of an established market for the Common Stock, its Fair Market Value shall be determined in good faith by the Administrator, or; 
  
 (iv) For purposes of the Enrollment Date of the first Offering Period under the Plan, the Fair Market Value shall be the initial price to the public as
set forth in the final prospectus deemed to be included within the registration statement on Form S-1 filed with the Securities and Exchange Commission for the initial public offering of the Common Stock (the “Registration Statement”).

  
 (p) “Offering Periods” means the periods of
approximately six (6) months during which an option granted pursuant to the Plan may be exercised, commencing on the first Trading Day on or after February 1 and August 1 of each year and terminating on the first Trading Day on or after the February
1 and August 1 Offering Period commencement date approximately six (6) months later; provided, however, that the first Offering Period under the Plan shall commence with the first Trading Day on or after the date on which the Securities and Exchange
Commission declares the Company’s Registration Statement effective and end on the last Trading Day on or after February 1, 2003. The duration and timing of Offering Periods may be changed pursuant to Section 4 of this Plan. 
  
 (q) “Parent” means a “parent corporation,” whether
now or hereafter existing, as defined in Section 424(e) of the Code. 
  
 (r) “Plan” means this 2002 Employee Stock Purchase Plan. 
  
 (s) “Purchase Price” means an amount equal to eighty-five percent (85%) of the Fair Market Value of a share of Common Stock on the Enrollment Date or on the Exercise Date, whichever is lower; provided
however, that the Purchase Price may be adjusted by the Administrator pursuant to Section 20. 
  
 (t) “Subsidiary” means a “subsidiary corporation,” whether now or hereafter existing, as defined in Section 424(f) of the Code. 
  
 (u) “Trading Day” means a day on which the U.S. national stock exchanges and the Nasdaq System are open for
trading. 
  
 3. Eligibility. 
  
 (a) First Offering Period. Any individual who is an Employee
immediately prior to the first Offering Period under the Plan shall be automatically enrolled in the first Offering Period. 
  
 (b) Subsequent Offering Periods. Any individual who is an Employee as of the Enrollment Date of any future Offering Period shall be eligible to
participate in such Offering Period, subject to the requirements of Section 5. 
  

 -3- 

 (c) Limitations. Any provisions of the Plan to the contrary notwithstanding, no Employee shall be
granted an option under the Plan (i) to the extent that, immediately after the grant, such Employee (or any other person whose stock would be attributed to such Employee pursuant to Section 424(d) of the Code) would own capital stock of the Company
or any Parent or Subsidiary of the Company and/or hold outstanding options to purchase such stock possessing five percent (5%) or more of the total combined voting power or value of all classes of the capital stock of the Company or of any Parent or
Subsidiary of the Company, or (ii) to the extent that his or her rights to purchase stock under all employee stock purchase plans (as defined in Section 423 of the Code) of the Company or any Parent or Subsidiary of the Company accrues at a rate
which exceeds twenty-five thousand dollars ($25,000) worth of stock (determined at the Fair Market Value of the stock at the time such option is granted) for each calendar year in which such option is outstanding at any time. 
  
 4. Offering Periods. The Plan shall be implemented by consecutive
Offering Periods with a new Offering Period commencing on the first Trading Day on or after February 1 and August 1 of each year, or on such other date as the Administrator shall determine, and continuing thereafter until terminated in accordance
with Section 20; provided, however, that the first Offering Period under the Plan shall commence with the first Trading Day on or after the date on which the Securities and Exchange Commission declares the Company’s Registration Statement
effective and end on the first Trading Day on or after February 1, 2003. The Administrator shall have the power to change the duration of Offering Periods (including the commencement dates thereof) with respect to future offerings without
stockholder approval if such change is announced prior to the scheduled beginning of the first Offering Period to be affected thereafter. 
  
 5. Participation. 
  
 (a) First Offering Period. An Employee who has become a participant in the first Offering Period under the Plan pursuant to Section 3(a) shall be
entitled to continue his or her participation in such Offering Period only if he or she submits to the Company’s payroll office (or its designee) a properly completed subscription agreement authorizing payroll deductions in the form provided by
the Administrator for such purpose (i) no earlier than the effective date of the filing of the Company’s Registration Statement on Form S-8 with respect to the shares of Common Stock issuable under the Plan (the “Effective Date”) and
(ii) no later than five (5) business days from the Effective Date (the “Enrollment Window”). A participant’s failure to submit the subscription agreement during the Enrollment Window pursuant to this Section 5(a) shall result in the
automatic termination of his or her participation in the first Offering Period under the Plan. 
  
 (b) Subsequent Offering Periods. An Employee who is eligible to participate in the Plan pursuant to Section 3(b) may become a participant by (i) submitting to the Company’s payroll office (or its
designee), on or before a date prescribed by the Administrator prior to an applicable Enrollment Date, a properly completed subscription agreement authorizing payroll deductions in the form provided by the Administrator for such purpose, or (ii)
following an electronic or other enrollment procedure prescribed by the Administrator. 
  

 -4- 

 6. Payroll Deductions. 
  
 (a) At the time a participant enrolls in the Plan pursuant to Section 5, he or she shall elect to have payroll deductions
made on each payday during the Offering Period in an amount not exceeding 10% of the Compensation which he or she receives on each such payday. 
  
 (b) Payroll deductions authorized by a participant shall commence on the first payday following the Enrollment Date and shall end on the last payday in
the Offering Period to which such authorization is applicable, unless sooner terminated by the participant as provided in Section 10; provided, however, that for the first Offering Period under the Plan, payroll deductions shall commence on the
first payday on or following the end of the Enrollment Window. 
  
 (c) All payroll deductions made for a participant shall be credited to his or her account under the Plan and shall be withheld in whole percentages only. A participant may not make any additional payments into such account. 
  
 (d) A participant may discontinue his or her participation in the Plan as
provided in Section 10, or may change the rate of his or her payroll deductions during the Offering Period by (i) properly completing and submitting to the Company’s payroll office (or its designee), on or before a date prescribed by the
Administrator prior to an applicable Exercise Date, a new subscription agreement authorizing the change in payroll deduction rate in the form provided by the Administrator for such purpose, or (ii) following an electronic or other procedure
prescribed by the Administrator. If a participant has not followed such procedures to change the rate of payroll deductions, the rate of his or her payroll deductions shall continue at the originally elected rate throughout the Offering Period and
future Offering Periods (unless terminated as provided in Section 10). The Administrator may, in its sole discretion, limit the nature and/or number of payroll deduction rate changes that may be made by participants during any Offering Period. Any
change in payroll deduction rate made pursuant to this Section 6(d) shall be effective as of the first full payroll period following five (5) business days after the date on which the change is made by the participant (unless the Administrator, in
its sole discretion, elects to process a given change in payroll deduction rate more quickly). 
  
 (e) Notwithstanding the foregoing, to the extent necessary to comply with Section 423(b)(8) of the Code and Section 3(c), a participant’s payroll deductions may be decreased to zero percent (0%) at any time
during an Offering Period. Payroll deductions shall recommence at the rate originally elected by the participant effective as of the beginning of the first Offering Period which is scheduled to end in the following calendar year, unless terminated
by the participant as provided in Section 10. 
  
 (f) At the time
the option is exercised, in whole or in part, or at the time some or all of the Company’s Common Stock issued under the Plan is disposed of, the participant must make adequate provision for the Company’s federal, state, or other tax
withholding obligations, if any, which arise upon the exercise of the option or the disposition of the Common Stock. At any time, the Company may, but shall not be obligated to, withhold from the participant’s compensation the amount necessary
for the Company to meet applicable withholding obligations, including any 
  

 -5- 

 withholding required to make available to the Company any tax deductions or benefits attributable to the sale or early
disposition of Common Stock by the Employee. 
  
 7. Grant of
Option. On the Enrollment Date of each Offering Period, each Employee participating in such Offering Period shall be granted an option to purchase on each Exercise Date during such Offering Period (at the applicable Purchase Price) up to a
number of shares of Common Stock determined by dividing such participant’s payroll deductions accumulated prior to such Exercise Date and retained in the participant’s account as of the Exercise Date by the applicable Purchase Price;
provided that in no event shall a participant be permitted to purchase during the first Offering Period under the Plan more than 1,125 shares of Common Stock (subject to any adjustment pursuant to Section 19) and during each subsequent Offering
Period under the Plan more than 750 shares of Common Stock (subject to any adjustment pursuant to Section 19), and provided further that such purchase shall be subject to the limitations set forth in Sections 3(c) and 13. The Employee may accept the
grant of such option (i) with respect to the first Offering Period under the Plan, by submitting a properly completed subscription agreement in accordance with the requirements of Section 5(a) on or before the last day of the Enrollment Window, and
(ii) with respect to any future Offering Period under the Plan, by electing to participate in the Plan in accordance with the requirements of Section 5(b). The Administrator may, for future Offering Periods, increase or decrease, in its absolute
discretion, the maximum number of shares of Common Stock that a participant may purchase during each Offering Period. Exercise of the option shall occur as provided in Section 8, unless the participant has withdrawn pursuant to Section 10. The
option shall expire on the last day of the Offering Period. 
  
 8.
Exercise of Option. 
  
 (a) Unless a participant withdraws
from the Plan as provided in Section 10, his or her option for the purchase of shares of Common Stock shall be exercised automatically on the Exercise Date, and the maximum number of full shares subject to option shall be purchased for such
participant at the applicable Purchase Price with the accumulated payroll deductions in his or her account. No fractional shares of Common Stock shall be purchased; any payroll deductions accumulated in a participant’s account which are not
sufficient to purchase a full share shall be retained in the participant’s account for the subsequent Offering Period, subject to earlier withdrawal by the participant as provided in Section 10. Any other monies left over in a
participant’s account after the Exercise Date shall be returned to the participant. During a participant’s lifetime, a participant’s option to purchase shares hereunder is exercisable only by him or her. 
  
 (b) Notwithstanding any contrary Plan provision, if the Administrator
determines that, on a given Exercise Date, the number of shares of Common Stock with respect to which options are to be exercised may exceed (i) the number of shares of Common Stock that were available for sale under the Plan on the Enrollment Date
of the applicable Offering Period, or (ii) the number of shares of Common Stock available for sale under the Plan on such Exercise Date, the Administrator may in its sole discretion (x) provide that the Company shall make a pro rata allocation of
the shares of Common Stock available for purchase on such Enrollment Date or Exercise Date, as applicable, in as uniform a manner as shall be practicable and as it shall determine in its sole discretion to be equitable among all participants
exercising options to purchase Common Stock on such Exercise Date, and continue all Offering Periods then in effect, or (y) provide that the Company shall make a pro rata allocation of the shares of Common Stock available for purchase on such
Enrollment Date 
  

 -6- 

 or Exercise Date, as applicable, in as uniform a manner as shall be practicable and as it shall determine in its sole
discretion to be equitable among all participants exercising options to purchase Common Stock on such Exercise Date, and terminate any or all Offering Periods then in effect pursuant to Section 20. The Company may make pro rata allocation of the
shares of Common Stock available on the Enrollment Date of any applicable Offering Period pursuant to the preceding sentence, notwithstanding any authorization of additional shares of Common Stock for issuance under the Plan by the Company’s
shareholders subsequent to such Enrollment Date. 
  
 9.
Delivery. As soon as administratively practicable after each Exercise Date on which a purchase of shares of Common Stock occurs, the Company shall arrange the delivery to each participant, as appropriate, the shares purchased upon exercise of
his or her option in a form determined by the Administrator (in its sole discretion). No participant shall have any voting, dividend, or other shareholder rights with respect to shares of Common Stock subject to any option granted under the Plan
until such shares have been purchased and delivered to the participant as provided in this Section 9. 
  
 10. Withdrawal. 
  
 (a) Under procedures established by the Administrator, a participant may withdraw all but not less than all the payroll deductions credited to his or her
account and not yet used to exercise his or her option under the Plan at any time by (i) submitting to the Company’s payroll office (or its designee) a written notice of withdrawal in the form prescribed by the Administrator for such purpose,
or (ii) following an electronic or other withdrawal procedure prescribed by the Administrator. All of the participant’s payroll deductions credited to his or her account shall be paid to such participant as promptly as practicable after the
effective date of his or her withdrawal and such participant’s option for the Offering Period shall be automatically terminated, and no further payroll deductions for the purchase of shares shall be made for such Offering Period. If a
participant withdraws from an Offering Period, payroll deductions shall not resume at the beginning of the succeeding Offering Period unless the participant re-enrolls in the Plan in accordance with the provisions of Section 5. 
  
 (b) A participant’s withdrawal from an Offering Period shall not have
any effect upon his or her eligibility to participate in any similar plan which may hereafter be adopted by the Company or in succeeding Offering Periods which commence after the termination of the Offering Period from which the participant
withdraws. 
  
 11. Termination of Employment. In the event
a participant ceases to be an Employee of an Employer, his or her option shall remain exercisable for a period of three (3) months from the date of such Employee’s termination. Upon the expiration of such three (3) month period or a date prior
to the expiration of such three (3) month period if requested by the participant, any payroll deductions credited to such participant’s account during the Offering Period but not yet used to purchase shares of Common Stock under the Plan shall
be returned to such participant or, in the case of his or her death, to the person or persons entitled thereto under Section 15, and such participant’s option shall be automatically terminated. The preceding sentence notwithstanding, a
participant who receives payment in lieu of notice of termination of employment shall be treated as continuing to be an Employee for the participant’s customary number of hours per week of employment during the period in which the participant
is subject to such payment in lieu of notice. 
  

 -7- 

 12. Interest. No interest shall accrue on the payroll deductions of a participant in the Plan.

  
 13. Stock. 
  
 (a) Subject to adjustment upon changes in capitalization of the Company as
provided in Section 19, the maximum number of shares of Common Stock which shall be made available for sale under the Plan shall be 500,000 shares plus an annual increase to be added on the first day of the Company’s fiscal year beginning in
fiscal year 2003, equal to the lesser of (i) 750,000 shares, (ii) 2% of the outstanding shares on such date or (iii) an amount determined by the Board. 
  
 (b) Shares of Common Stock to be delivered to a participant under the Plan shall be registered in the name of the participant or in the name of the
participant and his or her spouse. 
  
 14. Administration.
The Plan shall be administered by the Board or a committee of members of the Board who shall be appointed from time to time by, and shall serve at the pleasure of, the Board. The Administrator shall have full and exclusive discretionary authority to
construe, interpret and apply the terms of the Plan, to determine eligibility and to adjudicate all disputed claims filed under the Plan. The Administrator, in its sole discretion and on such terms and conditions as it may provide, may delegate to
one or more individuals all or any part of its authority and powers under the Plan. Every finding, decision and determination made by the Administrator (or its designee) shall, to the full extent permitted by law, be final and binding upon all
parties. 
  
 15. Designation of Beneficiary. 
  
 (a) A participant may designate a beneficiary who is to receive any shares of
Common Stock and cash, if any, from the participant’s account under the Plan in the event of such participant’s death subsequent to an Exercise Date on which the option is exercised but prior to delivery to such participant of such shares
and cash. In addition, a participant may designate a beneficiary who is to receive any cash from the participant’s account under the Plan in the event of such participant’s death prior to exercise of the option. If a participant is married
and the designated beneficiary is not the spouse, spousal consent shall be required for such designation to be effective. 
  
 (b) Such designation of beneficiary may be changed by the participant at any time. In the event of the death of a participant and in the absence of a
beneficiary validly designated under the Plan who is living at the time of such participant’s death, the Company shall deliver such shares and/or cash to the executor or administrator of the estate of the participant, or if no such executor or
administrator has been appointed (to the knowledge of the Company), the Company, in its discretion, may deliver such shares and/or cash to the spouse or to any one or more dependents or relatives of the participant, or if no spouse, dependent or
relative is known to the Company, then to such other person as the Company may designate. 
  
 (c) All beneficiary designations under this Section 15 shall be made in such form and manner as the Administrator may prescribe from time to time. 
  
 16. Transferability. Neither payroll deductions credited to a participant’s account nor any rights with regard
to the exercise of an option or to receive shares of Common Stock under the Plan may be assigned, transferred, pledged or otherwise disposed of in any way (other than by will, the 
  

 -8- 

 laws of descent and distribution or as provided in Section 15) by the participant. Any such attempt at assignment,
transfer, pledge or other disposition shall be without effect, except that the Company may treat such act as an election to withdraw from an Offering Period in accordance with Section 10. 
  
 17. Use of Funds. All payroll deductions received or held by the Company under the Plan may be used by the Company
for any corporate purpose, and the Company shall not be obligated to segregate such payroll deductions. Until shares of Common Stock are issued under the Plan (as evidenced by the appropriate entry on the books of the Company or of a duly authorized
transfer agent of the Company), a participant shall only have the rights of an unsecured creditor with respect to such shares. 
  
 18. Reports. Individual accounts shall be maintained for each participant in the Plan. Statements of account shall be given to participating
Employees at least annually, which statements shall set forth the amounts of payroll deductions, the Purchase Price, the number of shares of Common Stock purchased and the remaining cash balance, if any. 
  
 19. Adjustments, Dissolution, Liquidation or Change of Control.

  
 (a) Adjustments. In the event that any dividend or
other distribution (whether in the form of cash, Common Stock, other securities, or other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, or exchange
of Common Stock or other securities of the Company, or other change in the corporate structure of the Company affecting the Common Stock such that an adjustment is determined by the Administrator (in its sole discretion) to be appropriate in order
to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, then the Administrator shall, in such manner as it may deem equitable, adjust the number and class of Common Stock which may be
delivered under the Plan, the Purchase Price per share and the number of shares of Common Stock covered by each option under the Plan which has not yet been exercised, and the numerical limits of Sections 7 and 13. 
  
 (b) Dissolution or Liquidation. In the event of the proposed
dissolution or liquidation of the Company, the Offering Period then in progress shall be shortened by setting a new Exercise Date (the “New Exercise Date”), and shall terminate immediately prior to the consummation of such proposed
dissolution or liquidation, unless provided otherwise by the Board. The New Exercise Date shall be before the date of the Company’s proposed dissolution or liquidation. The Board shall notify each participant in writing, at least ten (10)
business days prior to the New Exercise Date, that the Exercise Date for the participant’s option has been changed to the New Exercise Date and that the participant’s option shall be exercised automatically on the New Exercise Date, unless
prior to such date the participant has withdrawn from the Offering Period as provided in Section 10. 
  
 (c) Merger or Change of Control. In the event of a merger or Change of Control, each outstanding option shall be assumed or an equivalent option
substituted by the successor corporation or a Parent or Subsidiary of the successor corporation. In the event that the successor corporation refuses to assume or substitute for the option, any Offering Periods then in progress shall be shortened by
setting a new Exercise Date (the “New Exercise Date”) and any Offering Periods then in progress shall end on the New Exercise Date. The New Exercise Date shall be before the 
  

 -9- 

 date of the Company’s proposed merger or Change of Control. The Board shall notify each participant in writing, at
least ten (10) business days prior to the New Exercise Date, that the Exercise Date for the participant’s option has been changed to the New Exercise Date and that the participant’s option shall be exercised automatically on the New
Exercise Date, unless prior to such date the participant has withdrawn from the Offering Period as provided in Section 10. 
  
 20. Amendment or Termination. 
  
 (a) The Administrator may at any time and for any reason terminate or amend the Plan. Except as provided in Section 19, no such termination can affect
options previously granted under the Plan, provided that an Offering Period may be terminated by the Administrator on any Exercise Date if the Administrator determines that the termination of the Plan is in the best interests of the Company and its
stockholders. Except as provided in Section 19 and this Section 20, no amendment may make any change in any option theretofore granted which adversely affects the rights of any participant. To the extent necessary to comply with Section 423 of the
Code (or any successor rule or provision or any other applicable law, regulation or stock exchange rule), the Company shall obtain stockholder approval in such a manner and to such a degree as required. 
  
 (b) Without stockholder consent and without regard to whether any participant
rights may be considered to have been “adversely affected,” the Administrator shall be entitled to change the Offering Periods, limit the frequency and/or number of changes in the amount withheld during an Offering Period, establish the
exchange ratio applicable to amounts withheld in a currency other than U.S. dollars, permit payroll withholding in excess of the amount designated by a participant in order to adjust for delays or mistakes in the Company’s processing of
properly completed withholding elections, establish reasonable waiting and adjustment periods and/or accounting and crediting procedures to ensure that amounts applied toward the purchase of Common Stock for each participant properly correspond with
amounts withheld from the participant’s Compensation, and establish such other limitations or procedures as the Administrator determines in its sole discretion advisable which are consistent with the Plan. 
  
 (c) In the event the Administrator determines that the ongoing operation of
the Plan may result in unfavorable financial accounting consequences, the Board may, in its discretion and, to the extent necessary or desirable, modify or amend the Plan to reduce or eliminate such accounting consequence including, but not limited
to: 
  
 (i) altering the Purchase Price for any Offering Period
including an Offering Period underway at the time of the change in Purchase Price; 
  
 (ii) shortening any Offering Period so that Offering Period ends on a new Exercise Date, including an Offering Period underway at the time of the Board action; and 
  
 (iii) allocating shares. Such modifications or amendments shall not require
stockholder approval or the consent of any Plan participants. 
  
 21. Notices. All notices or other communications by a participant to the Company under or in connection with the Plan shall be deemed to have been duly given when received in the form 
  

 -10- 

 specified by the Company at the location, or by the person, designated by the Company for the receipt thereof.

  
 22. Conditions Upon Issuance of Shares. Shares of
Common Stock shall not be issued with respect to an option under the Plan unless the exercise of such option and the issuance and delivery of such shares pursuant thereto shall comply with all applicable provisions of law, domestic or foreign,
including, without limitation, the Securities Act of 1933, as amended, including the rules and regulations promulgated thereunder, the Exchange Act and the requirements of any stock exchange upon which the shares may then be listed, and shall be
further subject to the approval of counsel for the Company with respect to such compliance. 
  
 As a condition to the exercise of an option, the Company may require the person exercising such option to represent and warrant at the time of any such exercise that the shares are being purchased only for investment
and without any present intention to sell or distribute such shares if, in the opinion of counsel for the Company, such a representation is required by any of the aforementioned applicable provisions of law. 
  
 23. Term of Plan. The Plan shall become effective upon the earlier to
occur of its adoption by the Board or its approval by the stockholders of the Company. It shall continue in effect until terminated under Section 20. 
  

 -11- 

 ADDENDUM B 
  
 Altiris, Inc. 
 2002 Employee Stock Purchase Plan 
 Addendum—Australia 
  

	1.	 	Purpose 

  
 This addendum (“Australian Addendum”) to the Altiris, Inc. 2002 Employee Stock Purchase Plan is hereby adopted to set forth certain rules
which, together with the provisions of the U.S. Plan (which are modified by this addendum in certain respects to ensure compliance with ASIC Class Order 03/184), shall govern the operation of the Plan with respect to Australian resident employees of
the Company and its Australian Subsidiary. 
  
 The Plan is
intended to comply with the provisions of the Corporations Act 2001, ASIC Policy Statement 49 and ASIC Class Order 03/184. 
  

	2.	 	Definitions 

  
 Except as set forth below, capitalised terms used herein shall have the meaning ascribed to them in the U.S. Plan. In the event of any conflict between
these provisions and the U.S. Plan, these provisions shall prevail. 
  
 For the purposes of this Australian Addendum: 
  
 “ASIC” means the Australian Securities & Investments Commission; 
  
 “Australian Subsidiary” means Altiris Australia Pty Limited (ACN 094 597 332) and any other entity that is a Designated Subsidiary under
the Plan; 
  
 “Company” means Altiris, Inc.;

  
 “Plan” means the U.S. Plan as modified for
the purpose of its implementation in Australia by this Australian Addendum; 
  
 “Share” means a share of Common Stock of the Company; and 
  
 “U.S. Plan” means the Altiris, Inc. 2002 Employee Stock Purchase Plan. 
  

	3.	 	Form of Awards 

  
 Only ordinary Shares and options or rights to acquire Shares shall be awarded to Australian-resident employees under the Plan. 
  

	4.	 	Employees 

  
 In Australia, the offer under the Plan must be extended only to offerees who at the time of the offer are full or part-time employees or directors of the
Company or an Australian Subsidiary. 

	5.	 	Form of Offer 

  
 An offer to any offeree to participate in the Plan must be included in a document (“Offer Document”) which sets out the terms of the
offer and which must include or be accompanied by a copy of the rules of the Plan, or a summary of the rules of the Plan. Where a summary is provided with the offer, the Offer Document must include an undertaking that during the Offering Period, the
Company will make available upon request, a copy of the rules, without charge to the offeree, within a reasonable period of time. 
  
 The Company must take reasonable steps to ensure that any offeree to whom the offer is made is given a copy of the Offer Document. 
  

	6.	 	Australian Dollar Equivalent of Purchase Price at Offer Date 

  
 The Offer Document must specify the Australian dollar equivalent of the Purchase Price of the Shares offered were the Purchase Price formula applied at
the date of the Offer Document. 
  

	7.	 	Updated Purchase Price Information 

  
 The Offer Document must include an undertaking by the Company that it will during a Offering Period, within a reasonable period of an offeree so
requesting, make available to the offeree the following information: 
  

	 	(i)	the Australian dollar equivalent of the current market price of shares in the same class as the Shares offered under the Plan; and 

  

	 	(ii)	the Australian dollar equivalent of the Purchase Price as if the Purchase Price formula were applied at the date of the offeree’s request. 

  
 For the purposes of the above calculation, the current market price of a
Share shall be taken as the price quoted by the NASDAQ as the final price for the previous day on which the share was traded. 
  

	8.	 	Exchange Rate for Australian Dollar Equivalent of the Purchase Price 

  

For the purpose of clauses 6 and 7 (above), the Australian dollar equivalent of the Purchase Price and current market price of a Share shall be
calculated by reference to the relevant Australian/U.S. dollar exchange rate published by an Australian bank no earlier than the business day before the day to which price relates. 
  

	9.	 	Restriction on Capital Raising: 5% limit 

  
 The number of Shares the subject of an offer under the Plan or to be received on exercise of an option, when aggregated with: 
  

	 	(a)	the number of Shares in the same class which would be issued were each outstanding offer with respect to Shares, and or option to acquire unissued Shares, being an offer made or
option acquired pursuant to an employee share scheme extended only to employees or directors of the Company or of associated bodies corporate of the Company, to be accepted or exercised (as the case may be); and 

	 	(b)	the number of Shares in the same class issued during the previous 5 years pursuant to the Plan or any other employee share scheme extended only to employees or directors of the
Company or of associated bodies corporate of the Company, 

  
 but disregarding any offer made, or option acquired or Share issued by way or as a result of: 
  

	 	(c)	an offer to a person situated at the time of receipt of the offer outside Australia; or 

  

	 	(d)	an offer that was an excluded offer or invitation within the meaning of the Corporations Law as it stood prior to 13 March 2000; or 

  

	 	(e)	an offer that did not need disclosure to investors because of section 708 of the Corporations Act 2001; or 

  

	 	(f)	an offer that did not require the giving of a Product Disclosure Statement because of section 1012D of the Corporations Act 2001; or 

  

	 	(g)	an offer made under a disclosure document or a Product Disclosure Statement, 

  

must not exceed 5% of the total number of issued Shares in that class of the Company as at the time of the offer. 
  

	10.	 	Filing the Offer Document with the ASIC 

  
 A copy of the Offer Document (which need not contain details of the offer particular to the offeree such as the identity or entitlement of the offeree)
and each accompanying document must be provided to ASIC not later than 7 days after the first provision of that material to the offerees. 
  

	11.	 	Compliance with Undertakings 

  
 The Company or an associated body corporate of the Company must comply with any undertaking required to be made in the Offer Document by reason of the
ASIC Class Order 03/184. 
  

	12.	 	No Loan or Financial Assistance 

  
 Neither the Company nor any associated body corporate of it may offer offerees any loan or other financial assistance for the purpose of, or in connection
with, the acquisition of the Shares to which the offer relates. 

	13.	 	Contribution Plan 

  
 All deductions from wages or salary made in connection with participation in the Plan must be authorised by the offeree on the same form of application
which is used in respect of the offer, or on a form that is included in or accompanies the Offer Document. 
  
 Any contributions made by an offeree as part of the Plan must be held by the Company in trust for the offeree in an account of an Australian bank
(“Bank”) which is established and kept by the Company solely for the purpose of depositing contribution moneys and other money paid by offerees for the Shares on offer under the Plan. 
  
 Any Australian offeree may elect to discontinue their participation in the
Plan at any time and as soon as practicable after that election is made, all money deposited with the Bank in relation to that offeree including any accumulated interest must be repaid to that offeree. 
  

	14.	 	Contribution Details 

  
 The Offer Document must state: 
  

	 	(a)	the name of the Bank where the offeree’s contributions for the purposes of the Plan are held; 

  

	 	(b)	the length of time they may be held; and 

  

	 	(c)	the rate of interest payable (if any) on the contributions held in the account. 

  
 *        *        *        *        *

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