Common use of Warrant Amendment Clause in Contracts

Warrant Amendment. The parties acknowledge that the Investor was issued one or more Common Stock Purchase Warrants (the “Warrants”) in connection with purchase of the Debentures. The Warrants have an Exercise Price (as defined in the Warrants) of $0.14 per share of Common Stock and a Termination Date (as defined in the Warrants) which is the five year anniversary of the Initial Exercise Date (as defined in the Warrants). In the event that the Company accepts this subscription and exchange and counter-signs this Subscription and Exchange Agreement: (i) the Exercise Price for the Warrants will be automatically amended to $0.09 per share of Common Stock; (ii) the Termination date will be automatically amended to the six year anniversary of the Initial Exercise Date; and (iii) notwithstanding anything to the contrary contained in the Warrants, the Warrants will not be exercisable until the one year anniversary of the closing of the subscription and exchange.