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  WARRANT TO PURCHASE COMMON STOCK
  OF
  SONIC SYSTEMS CORPORATION         

  THIS WARRANT AND THE SHARES OF COMMON STOCK
  ISSUABLE PURSUANT TO THIS WARRANT HAVE
  NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
  AS AMENDED
(THE "ACT"), AND MAY NOT BE SOLD, PLEDGED OR
  OTHERWISE TRANSFERRED UNLESS REGISTERED UNDER THE ACT OR
  AN EXEMPTION FROM SUCH REGISTRATION IS AVAILABLE         

FOR VALUE RECEIVED  

    Sonic Systems Corporation, a Delaware corporation (the "Company"), grants the following rights to Crescent Communications Inc., having an address at 23
Orchard Lane, Villanova, PA 19085 ("Holder"). 

ARTICLE 1.  DEFINITIONS  

1.1 Definitions

    As
used herein, the following terms shall have the following meanings, unless the context shall otherwise require: 

	(a)
	"Common Stock" shall mean the common stock, par value $0.001 per share, of the Company.

	(b)
	"Corporate Office" shall mean the office of the Company (or its successor) at which at any particular time its principal business
shall be administered, which office is located at the date hereof at 1090 NE 4th Street, Suite 2300, Bellevue, Washington;

	(c)
	"Exercise Date" shall mean any date upon which the Holder shall give the Company a Notice of Exercise, which shall be deemed the date
the Notice of Exercise was first deposited in the US Mails, if mailed, or the date received by the courier company if delivered by recognized courier company, or the date received by the Company if
otherwise given or delivered;

	(d)
	"Exercise Price" shall mean the price to be paid to the Company for each share of Common Stock to be purchased upon exercise of this
Warrant in accordance with the terms hereof, which shall be $2.06 per share.

	(e)
	"Expiration Date" shall mean the earlier of

	(i)
	5:00
PM (Pacific Standard time) on April 15, 2005;

	(ii)
	three
months from the date the Holder is no longer performing services for the Company, if the Shares have been registered under the Securities Act
of 1933; and

	(iii)
	six
months from the date the Holder is no longer performing services for the Company, if the Shares have been registered under the Securities Act
of 1933. 

	(f)
	"SEC" shall mean the United States Securities and Exchange Commission.

	(g)
	"Vested" means the non-forfeitable right to exercise the Warrant and purchase the number of Shares provided for below.

	(h)
	"Vesting Period" means the period commencing with the date of vesting and continuing until the Shares are fully vested. 

ARTICLE 2.  EXERCISE  

2.1 Exercise of Warrant

    Subject
to the provisions of Section 2.7 below, this Warrant shall entitle Holder to purchase up to 100,000 shares of Common Stock (the "Shares") at the Exercise Price. This
Warrant shall be exercisable at any time and from time to time prior to the Expiration Date (the "Exercise Period"). This Warrant and the right to purchase Shares hereunder shall expire and become
void at the Expiration Date. 

2.2 Manner of Exercise

	(a)
	Holder
may exercise this Warrant at any time and from time to time during the Exercise Period, in whole or in part (but not in denominations of fewer than 5,000 Shares, except upon
an exercise of this Warrant with respect to the remaining balance of Shares purchasable hereunder at the time of exercise), by delivering to the Company at its Corporate Office (i) a duly
executed Notice of Exercise in substantially the form attached as Appendix I hereto and (ii) a bank cashier's or certified check for the aggregate Exercise Price of the Shares being
purchased.

	(b)
	From
time to time upon exercise of this Warrant, in whole or part, in accordance with its terms, the Company will cause its transfer agent to countersign and deliver stock
certificates to the Holder representing the number of Shares being purchased pursuant to such exercise, subject to adjustment as described herein.

	(c)
	Promptly
following any exercise of this Warrant, if the Warrant has not been fully exercised and has not expired, the Company will deliver to the Holder a new Warrant for the
balance of the Shares covered hereby. 

2.3 Termination  

    All rights of the Holder in this Warrant, to the extent they have not been exercised, shall terminate on the Expiration Date. 

2.4 No Rights Prior to Exercise

    Prior
to its exercise pursuant to Section 2.2 above, this Warrant shall not entitle the Holder to any voting or other rights as holder of Shares. 

2.5 Adjustments

    In
case of any reclassification, capital reorganization, stock dividend, or other change of outstanding shares of Common Stock, or in case of any consolidation or merger of the
Company with or into another corporation (other than a consolidation or merger in which the Company is the continuing corporation and which does not result in any reclassification, capital
reorganization, stock dividend, or other change of outstanding shares of Common Stock), or in case of any sale or conveyance to another corporation of the property of the Company as, or substantially
as, an entirety (other than a sale/ leaseback, mortgage or other financing transaction), the Company shall cause effective provision to be made so that the Holder shall have the right thereafter, by
exercising this Warrant, to purchase the kind and number of shares of stock or other securities or property (including cash) receivable upon such reclassification, capital reorganization, stock
dividend, or other change, consolidation, merger, sale or conveyance as the Holder would have been entitled to receive had the Holder exercised this Warrant in full immediately before such
reclassification, capital reorganization, stock dividend, or other change, consolidation, merger, sale or conveyance. Any such provision shall include provision for adjustments that shall be as nearly
equivalent as may be practicable to the adjustments provided for in this Section 2.5. The foregoing provisions shall similarly apply to successive 

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reclassifications, capital reorganizations, stock dividends, and other changes of outstanding shares of Common Stock and to successive consolidations, mergers, sales or conveyances. 

2.6 Fractional Shares

    No
fractional Shares shall be issuable upon exercise or conversion of this Warrant and the number of Shares to be issued shall be rounded down to the nearest whole Share. If a
fractional Share interest arises upon any exercise or conversion of the Warrant, the Company shall eliminate such fractional Share interest by paying Holder the amount computed by multiplying the
fractional interest by the closing bid price of a full Share on the date of the Notice of Exercise. 

2.7 Vesting of the Warrants

    The
Warrants granted pursuant to this Agreement shall be Vested only if the Holder is either employed by or continuously providing services to Company for the Vesting Period and is
employed by or continuously providing such services to Company upon its conclusion, except as may otherwise be provided herein. The Warrants granted under this Agreement, to the extent not Vested,
shall lapse and be of no further force and effect if Holder shall cease at any time to be employed by or continuously providing such services to Company prior to such time as Holder's rights in such
Warrant shall have Vested. 

    Shares
shall Vest over the Vesting Period according to the following schedule: 

	Vesting Date
 
	 	# of Shares

Vested
	 	% of Shares

Cumulatively Vested
	 	Price/

Share

	April 15, 2000	 	25,000	 	25.0%	 	$	2.06
	July 15, 2000	 	18,750	 	43.75%	 	$	2.06
	October 15, 2000	 	18,750	 	62.50%	 	$	2.06
	January 15, 2001	 	18,750	 	81.25%	 	$	2.06
	April 15, 2001	 	18,750	 	100%	 	$	2.06

ARTICLE 3.  REPRESENTATIONS AND COVENANTS OF THE COMPANY  

3.1 Representations and Warranties

    The
Company hereby represents and warrants to the Holder as follows: 

	(a)
	All
Shares which may be issued upon the exercise of the purchase right represented by this Warrant shall, upon issuance, by duly authorized, validly issued, fully-paid
and nonassessable, and free of any
liens and encumbrances except for restrictions on transfer provided for herein or under applicable federal and state securities laws, and not subject to any pre-emptive rights.

	(b)
	The
Company is a corporation duly organized and validly existing under the laws of the State of Delaware, and has the full power and authority to issue this Warrant and to comply
with the terms hereof. The execution, delivery and performance by the Company of its obligations under this Warrant, including, without limitation, the issuance of the Shares upon any exercise of the
Warrant, have been duly authorized by all necessary corporate action. This Warrant has been duly executed and delivered by the Company and is a valid and binding obligation of the Company, enforceable
in accordance with its terms, except as enforcement may be limited by applicable bankruptcy, insolvency, reorganization or similar laws affecting enforceability of creditors' rights generally and
except as the availability of the remedy of specific enforcement, injunctive relief or other equitable relief is subject to the discretion of the court before which any proceeding therefor may be
brought.

	(c)
	The
Company is not subject to or bound by any provision of any certificate or articles of incorporation or by-laws, mortgage, deed of trust, lease, note, bond,
indenture, other 

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instrument
or agreement, license, permit, trust, custodianship, other restriction or any applicable provision of any law, statute, any court, governmental body, administrative agency or arbitrator
which could prevent or be violated by or under which there would be a default (or right of termination) as a result of the execution, delivery and performance by the Company of this Warrant. 

ARTICLE 4. REPRESENTATIONS AND COVENANTS OF THE HOLDER  

4.1 Representations and Warranties

    The
Warrant granted hereunder may be exercised by Holder only if at the time of exercise each of the following is true: 

	(a)
	Holder
is acquiring the Shares for Holder's own personal account for investment and not for the account of any other person(s) and without any intention of selling or making a
further distribution of the Shares; and

	(b)
	Holder
is in a financial position to hold the Shares for an indefinite period of time and is able to bear the economic risk and withstand a complete loss of Holder's investment in
the Shares; and

	(c)
	Holder
has obtained, to the extent necessary, Holder's own personal professional advisor with respect to the risks inherent in the investment in the Shares, and the suitability of
the investment in the Shares in light of Holder's financial condition and investment needs; and

	(d)
	Holder
acknowledges that, unless otherwise notified in writing by the Company, Holder is aware that:

	(i)
	The
Shares have not been registered under the Securities Act of 1933, as amended, nor have they been registered to qualify under the securities laws
of any state or foreign jurisdiction and the Company does not intend to register or qualify the Shares thereunder;

	(ii)
	Holder
may not legally sell the Shares unless and until they are registered and/or qualified or unless the Shares qualify for exemption from
registration and/or qualification under such Acts;

	(iii)
	Holder
agrees that all Shares acquired pursuant to this Agreement are for investment only and that said Shares shall bear any and all necessary
legends and restrictions. 

ARTICLE 5. MISCELLANEOUS  

5.1 Transfer

    This
Warrant may not be transferred or assigned, in whole or in part, at any time, except in compliance with applicable federal and state securities laws by the transferor and the
transferee (including, without limitation, the delivery of an investment representation letter and a legal opinion reasonably satisfactory to the Company), provided that this Warrant may not be
transferred or assigned such that either the Holder or any transferee will, following such transfer or assignment, hold a Warrant for the right to purchase fewer than 5,000 Shares. 

5.2 Transfer Procedure

    Subject
to the provisions of Section 5.1, Holder may transfer or assign this Warrant by giving the Company notice setting forth the name, address and taxpayer identification
number of the transferee or assignee, if applicable (the "transferee"), and surrendering this Warrant to the Company for reissuance to the transferee (and the Holder, in the event of a transfer or
assignment of this Warrant in part). 

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(Each of the persons or entities in whose name any such new Warrant shall be issued are herein referred to as a Holder) 

5.3 Loss, Theft, Destruction or Mutilation

    If
this Warrant shall become mutilated or defaced or be destroyed, lost or stolen, the Company shall execute and deliver a new Warrant in exchange for and upon surrender and
cancellation of such mutilated or defaced Warrant or, in lieu of and in substitution for such Warrants so destroyed, lost or stolen, upon the Holder filing with the Company evidence satisfactory to it
that such Warrant has been so mutilated, defaced, destroyed, lost or stolen. However, the Company shall be entitled, as a condition to the execution and delivery of such new Warrant, to demand
indemnity satisfactory to it and payment of the expenses and charges incurred in connection with the delivery of such new Warrant. Any Warrant so surrendered to the Company shall be canceled. 

5.4 Notices

    All
notices and other communications from the Company to the Holder or vice versa shall be deemed delivered and effective when given personally, by facsimile transmission and
confirmed in writing, or mailed by first-class registered or certified mail, postage prepaid, at such address and/or facsimile number as may have been furnished to the Company or the Holder, as the
case may be, in writing by the Company or the Holder from time to time; provided, however, that the Notice of Exercise may not be delivered by facsimile transmission. 

5.5 Waiver

    This
warrant and any term hereof may be changed, waived, or terminated only by an instrument in writing signed by the party against which enforecement of such change, waiver,
discharge or temination is sought. 

5.6 Governing Law

    This
warrant shall be governed by and construed in accordance with the laws of the State of Washington, without giving effect to its principles regarding conflicts. 

	SONIC SYSTEMS CORPORATION	 	Date:

	 

By: 
	 
 	 

 
	 

Name: 
	 
 	 

 

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WARRANT TO PURCHASE COMMON STOCK OF SONIC SYSTEMS CORPORATION

THIS WARRANT AND THE SHARES OF COMMON STOCK ISSUABLE PURSUANT TO THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), AND MAY NOT BE
SOLD, PLEDGED OR OTHERWISE TRANSFERRED UNLESS REGISTERED UNDER THE ACT OR AN EXEMPTION FROM SUCH REGISTRATION IS AVAILABLEPrepared by MERRILL CORPORATION www.edgaradvantage.com

unity wireless  

101 - 1520 Rand Avenue

Vancouver, B.C. Canada V6P 3G2 

VIA
FAX (480) 502-1216 

September 1,
2000 

Mr. James
Hill

Traffic Safety Products Inc. 

Dear
Jim: 

Re:
Sale of Sonem Business 

    Further
to our recent discussions culminating on today's date, this letter is written for the purpose of setting out a framework upon which it is anticipated a formal agreement will
be negotiated. It is anticipated that the formal agreement will be negotiated as soon as possible after the execution and delivery of this letter. 

    The
parties have agreed in principle to the following: 

	1.
	For
the purposes of this letter, the following terms shall have the following meanings:

	a.
	"Assets"
means all of the assets of Unity used in its traffic preemption business, except as may be specifically excluded herein, including, without limitation:

	(i)
	all
raw materials and finished goods Sonem inventory, including sufficient raw materials to build detectors for a minimum of 100 units of the same
configuration as will be shipped to fulfill the Canton order;

	(ii)
	customer
lists and currently available marketing material; and

	(iii)
	assignment
of existing distribution contracts and purchase orders; 

	b.
	"detector"
means an assembly made with the Atlas 8 ohm speaker;

	c.
	"Hill"
means Jim Hill;

	d.
	"LLC"
means a limited liability company to be organized under the laws of the State of Arizona and of which TSP, prior to closing, shall be the sole member.

	e.
	"Transition
Phase" means the period commencing with the closing date and terminating on the date of product acceptance by the City of Canton;

	f.
	"TSP"
means a sub-chapter S Arizona corporation incorporated by Jim Hill;

	g.
	"unit"
means a traffic preemption installation, including phase selector, at a traffic intersection; and

	h.
	"Unity"
means Unity Wireless Systems Corporation. 

	2.
	Unity
will sell the Assets to LLC and LLC will buy the Assets from Unity, for a purchase price equal to the aggregate of the following:

	a.
	An
undiluted thirty seven percent (37%) membership interest in LLC; and

	b.
	$2,000,000,
subject to adjustment under ss. 7 and 9. 

	3.
	Unity's
membership interest shall be subject to a 25% undiluted pre-IPO interest in LLC if LLC, or an entity into which LLC is converted, goes public.

	4.
	The
amount referred to in s. 2(b) shall be payable through a royalty, commencing on the closing date and payable quarterly, equal to 10% of the gross profit of LLC for the relevant
quarter. If this amount has not been paid in full on the date LLC goes public, the balance of the amount still 

owing
shall be convertible into an IPO interest of LLC, or IPO stock of an entity into which LLC may be converted, at a 20% discount. 

	5.
	Notwithstanding
any other provision of this letter, Hill shall have the power to vote 12% of the LLC membership interest owned by Unity until such time as LLC goes public,
regardless of any dilution.

	6.
	LLC
will use its best efforts to remedy all legitimate warranty claims for Unity products installed before closing and to keep the costs of remedying such claims as low as
reasonably possible.

	7.
	Unity
shall be responsible for the first $100,000 of costs in connection with the remedying of legitimate warranty claims for Unity products installed before closing and shall fund
such costs by the payment of $100,000 to LLC on closing. LLC shall be responsible for costs related to legitimate warranty work in excess of $100,000, provided however that Unity shall pay such costs
to LLC within thirty (30) days of LLC submitting an invoice to Unity for such costs. Any amount in excess of the initial $100,000 paid by Unity hereunder shall be added to the $2,000,000
payable under s. 2(b). 

    Upon
reasonable demand, LLC shall provide an accounting in writing of costs invoiced to Unity under this section. 

	8.
	Unity
will support LLC during the Transition Phase in every reasonable way possible by assisting with customers and distributors and providing technical support, including the
following:

	a.
	Unity
will use best efforts to fix the serial port communication errors that can hang the system when the GUI is connected;

	b.
	Unity
will support John Sloan with information as he assumes responsibility for the detection and preempt processing software (firmware); and

	c.
	Unity
will cause John Mele to support LLC's manufacturing efforts during the building of the first 100 units. 

	9.
	LLC
will require support from Unity in addition to the support set out in s. 9 in order to make early commitments during the Transition Phase. Support will be provided by sources
outside of Unity and LLC and Unity shall pay all expenses related to such support, to a maximum of $40,000, within ten (10) days of the receipt of any invoice from LLC. Such amount paid by
Unity will be added to the $2,000,000 payable by LLC under s. 2(b). There will be no charges from Unity to LLC for any support provided by Unity staff during the Transition Phase.

	10.
	Upon
the expiration of the Transition Phase, Unity will provide ongoing technical and development support on a time and materials basis.

	11.
	The
Assets to be transferred under this letter do not include any Sonem designs, patents, software or other related intellectual property. Such intellectual property shall be
licensed to LLC on an exclusive basis for a 20 year term, subject to transfer of ownership to LLC upon the earlier to occur of the payment of the royalty under s. 2(b) or LLC going public.
Notwithstanding the foregoing, LLC shall own all rights to any modifications, improvements or changes to such intellectual property which have been made by LLC after closing.

	12.
	LLC
will secure confirmation in writing from the distributor for the sale to the City of Canton, Ohio that he will accept the transfer to LLC of his purchase order for 39 units, for
fulfilment and warranting by LLC rather than Unity.

	13.
	Unity
will be solely responsible for obtaining any necessary consents to the assignment of purchase orders existing at the closing, with the exception of the Canton, Ohio purchase
order, to be handled by LLC as provided in s. 12 and Unity will execute and deliver written assignments of all applicable purchase orders on closing.

	14.
	The
sale of the Assets includes a transfer of the goodwill of the traffic preemption business of Unity, together with the right of LLC to represent itself as carrying on the
business in continuation 

of
and in succession to Unity and the right to use any words indicating that the business is so carried on including the right to use the name "Sonem" or "Sonem 2000" or any variation thereof and all
lists
of customers, documents, records, correspondence and other information related to the business. At the option of Unity, LLC shall reconvey to Unity this goodwill and all licences respecting
intellectual property of Unity being licensed under this letter shall terminate, upon the occurrence of any of the following: 

	a.
	the
bankruptcy or insolvency of LLC;

	b.
	the
failure of LLC to ship 50 units and to have secured purchase orders for 100 units within 12 months of the closing date; or

	c.
	the
failure of LLC to remedy any material default under the formal asset purchase agreement to be signed by LLC and Unity, within 30 days of written notice of such default. 

	15.
	All
dollar amounts in this letter are in U.S. dollars.

	16.
	This
letter of intent and all resulting agreements shall be subject to and construed in accordance with the laws of Arizona.

	17.
	Unity
will maintain or obtain, as the case may be, product liability insurance in an amount not less than $5,000,000 and shall name LLC as an additional insured under the relevant
policy.

	18.
	Unity
will indemnify and hold LLC harmless from and against any and all claims relating to events occurring before closing.

	19.
	The
prevailing party in any litigation, arbitration or other proceedings arising out of this letter or any agreement arising therefrom shall be reimbursed by the other party for all
costs and expenses incurred in such proceedings, including reasonable attorneys' fees. 

    I
trust the foregoing more or less reflects our discussions. 

    Please
acknowledge agreement in principle by signing below where indicated and returning this letter to me by fax at (604) 267-2701. 

Yours
truly, 

Tom
Dodd

President 

ACKNOWLEDGED
AND AGREED TO: 

TRAFFIC
SAFETY PRODUCTS INC. 

Authorized
Signatory 

Unity
Wireless Systems Corporation

1.800.33.SONIC

Tel. 604.267.2700  Fax 604.267.2701

E-mail: info@unitywireless.com http://www.unitywireless.com

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