Common use of Commitment Warrants Clause in Contracts

Commitment Warrants. In partial consideration hereof, following the execution of the Letter of Intent dated on or about May 19, 1999 between the Company and the Investor, the Company issued and delivered to Investor, warrants (the "Commitment Warrants") in the form attached hereto as EXHIBIT U, or such other form as agreed upon by the parties, to purchase 425,000 shares of Common Stock. The Commitment Warrants shall be exerciseable at a price (the "Commitment Warrant Exercise Price") which shall initially equal 115% of the average Closing Bid Price for the five (5) trading days immediately preceding May 19, 1999 ("Initial Exercise Price"), and shall have reset provisions as set forth in the Warrant. Each Commitment Warrant shall be immediately exercisable at the Commitment Warrant Exercise Price, and shall have a term beginning on the date of issuance and ending on date that is five (5) years thereafter. The Warrant Shares shall be registered for resale pursuant to the Registration Rights Agreement. Concurrently with the issuance and delivery of the Commitment Warrant to the Investor, the Company shall deliver to the Investor an Investment Commitment Opinion of Counsel (signed by the Company's independent counsel).