Common use of Borrower’s Conversion Rights Clause in Contracts

Borrower’s Conversion Rights. Subject to adjustment as provided in Sections 3.2 and 3.6 hereof, the Conversion Price (defined below) per share of Common Stock shall be $2.64 (the “Fixed Conversion Price”). If the Common Stock trades on the principal trading exchange or market for the Common Stock, (the “Principal Market”) at a price greater than 110% of the Fixed Conversion Price for a period of at least eleven (11) consecutive trading days, then the Borrower may, at its sole option, provide the Holder irrevocable written notice (“Call Notice”) requiring the conversion at the Fixed Conversion Price of all or a portion of the Note held by the Holder (subject to the limitation provided for in Section 3.3 hereof) as of the date set forth in such Call Notice (the “Call Date”). The Call Date shall be at least eleven (11) trading days following the date of the Call Notice, provided a registration statement covering resales of that number of Conversion Shares provided for in the Call Notice has been declared effective and is available for use. The number of Conversion Shares to be issued in connection with any such conversion pursuant to a particular Call Notice pursuant to this Section 2.2 shall not exceed 25% of the aggregate dollar trading volume of the Common Stock for the eleven (11) trading days immediately preceding the Call Date. If the price of the Common Stock falls below 110% of the Conversion Price during the eleven (11) trading day period preceding the Call Date, then the Holder will be required to convert only such amount of the Note pursuant to such Call Notice as will equal twenty five percent (25%) of the aggregate dollar trading volume for each day during such 11 day period that the closing price of the Common Stock was greater than one hundred ten percent (110%) of the then applicable Fixed Conversion Price. The Borrower shall not be permitted to give the Investor more than one Call Notice during any twenty-two (22) day period

Borrower’s Conversion Rights. Subject to adjustment as provided in Sections 3.2 and 3.6 hereof, the Conversion Price (defined below) per share of Common Stock shall be $2.64 (the “"Fixed Conversion Price”"). If the Common Stock trades on the principal trading exchange or market for the Common Stock, (the “"Principal Market”") at a price greater than 110% of the Fixed Conversion Price for a period of at least eleven (11) consecutive trading days, then the Borrower may, at its sole option, provide the Holder irrevocable written notice (“"Call Notice”") requiring the conversion at the Fixed Conversion Price of all or a portion of the Note held by the Holder (subject to the limitation provided for in Section 3.3 hereof) as of the date set forth in such Call Notice (the “"Call Date”"). The Call Date shall be at least eleven (11) trading days following the date of the Call Notice, provided a registration statement covering resales of that number of Conversion Shares provided for in the Call Notice has been declared effective and is available for use. The number of Conversion Shares to be issued in connection with any such conversion pursuant to a particular Call Notice pursuant to this Section 2.2 shall not exceed 25% of the aggregate dollar trading volume of the Common Stock for the eleven (11) trading days immediately preceding the Call Date. If the price of the Common Stock falls below 110% of the Conversion Price during the eleven (11) trading day period preceding the Call Date, then the Holder will be required to convert only such amount of the Note pursuant to such Call Notice as will equal twenty five percent (25%) of the aggregate dollar trading volume for each day during such 11 day period that the closing price of the Common Stock was greater than one hundred ten percent (110%) of the then applicable Fixed Conversion Price. The Borrower shall not be permitted to give the Investor more than one Call Notice during any twenty-two (22) day periodperiod ARTICLE III CONVERSION RIGHTS