SEC Contract Filing

Filing Date: 2016-05-13

Document Content:
<DOCUMENT>
<TYPE>EX-10.4
<SEQUENCE>2
<FILENAME>v439235_ex10-4.htm
<DESCRIPTION>EXHIBIT 10.4
<TEXT>
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<P STYLE="margin: 0">&nbsp;</P>

<P STYLE="margin: 0; text-align: right"><B>Exhibit 10.4</B></P>

<P STYLE="margin: 0; text-align: right"><B>&nbsp;</B></P>

<P STYLE="margin: 0"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: center; background-color: transparent"><FONT STYLE="background-color: white"><U>LOAN
MODIFICATION AND WARRANT ISSUANCE AGREEMENT</U></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">THIS
LOAN MODIFICATION AND WARRANT ISSUANCE AGREEMENT (this &ldquo;Agreement&rdquo;) made and entered on this 30<FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><B>
</B></FONT>day of December, 2015, by and between <FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><B>PROTEA
BIOSCIENCES GROUP, INC. </B></FONT>(the &ldquo;Company&rdquo;), a corporation existing under the laws of the State of Delaware,
and <FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><B>WEST VIRGINIA JOBS INVESTMENT TRUST BOARD
</B></FONT>(&ldquo;WVJITB&rdquo;);</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">WHEREAS,
WVJITB loaned $400,000 to the Company pursuant to a Convertible Debenture dated April 18, 2012, subsequently amended, including
extending the maturity date (the &ldquo;<FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><U>April
2012 Debenture</U></FONT>&rdquo;);</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">WHEREAS,
WVJITB loaned $290,000 to the Company pursuant to a Convertible Debenture dated March 15, 2012, subsequently amended, including
extending the maturity date (the &ldquo;<FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><U>March
2012 Debenture</U></FONT>&rdquo; and together with the April 2012 Debenture, the &ldquo;<FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><U>Debentures</U></FONT>&rdquo;);
and</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">WHEREAS,
the parties hereto seek to effect a further extension of the maturity dates of the Debentures, all upon the terms and pursuant
to the provisions of this Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 0.5in; background-color: transparent">NOW
THEREFORE, in consideration of the foregoing premises and in consideration of the mutual promises and agreements herein contained
and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree
as follows:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 1in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 1in; background-color: transparent">1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It
is agreed that the <FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><I>principal</I></FONT> indebtedness
owing by Company on the April 2012 Debenture is $300,000 and that the <FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><I>interest</I></FONT>
due and owing by Company on the April 2012 Debenture as of December 31, 2015 is $15,000, plus per diem interest of $83.33.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 1in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 1in; background-color: transparent">2.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It
is agreed that the <FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><I>principal</I></FONT> indebtedness
owing by Company on the March 2012 Debenture is $290,000 and that the <FONT STYLE="font-family: Times New Roman, Times, Serif; background-color: white"><I>interest</I></FONT>
due and owing by Company on the March 2012 Debenture as of December 31, 2015 is $8,700, plus per diem interest of $48.33.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 1in; background-color: transparent">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1pt; text-align: justify; text-indent: 1in; background-color: transparent">3.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb