Common use of Certain Terms of the Debenture Clause in Contracts

Certain Terms of the Debenture. All principal, interest and amounts ------------------------------ outstanding under the Debenture shall be due and payable in full on February 25, 2003. The Debenture shall bear interest at an annual rate of five percent (5%). Accrued and unpaid interest shall be due and payable quarterly in arrears on February 28, May 31, August 31, and November 30 of each year until maturity. The Debenture may be prepaid or redeemed, in whole or in part, by the Company prior to maturity, without penalty, with twenty (20) days prior written notice thereof to the Purchaser. In the event that the Company consummates an underwritten registered public offering covering the offer and sale of Common Stock for the account of the Company in which net proceeds to the Company of the public offering equals or exceeds $15 million (a "Public Offering"), then the --------------- Company must apply, at the request of Purchaser, the proceeds of such Public Offering (to the extent available after payment of all Senior Indebtedness (as defined in Section 9.5)) to prepay the unpaid principal amount and outstanding interest on the Debenture. Payments of principal and interest on the Debenture shall be made directly by wire transfer to an account designated by Purchaser by written notice to the Company or by check duly mailed or delivered to Purchaser at its address set forth in Section 8.4 of the Agreement. The Debenture (and any rights of the Purchaser hereunder or related thereto) is non-transferable except to a person or entity controlled by, or under common control with, Purchaser. No sinking fund or similar provision shall be required to fund payment of principal or interest under the Debenture. Payment of principal and interest on the Debenture is unsecured.

Certain Terms of the Debenture. All principal, interest and amounts ------------------------------ outstanding under the Debenture shall be due and payable in full on February 25, 2003. The Debenture shall bear interest at an annual rate of five percent (5%). Accrued and unpaid interest shall be due and payable quarterly in arrears on February 28, May 31, August 31, and November 30 of each year until maturity. The Debenture may be prepaid or redeemed, in whole or in part, by the Company prior to maturity, without penalty, with twenty (20) days prior written notice thereof to the Purchaser. In the event that the Company consummates an underwritten registered public offering covering the offer and sale of Common Stock for the account of the Company in which net proceeds to the Company of the public offering equals or exceeds $15 million (a "Public Offering"), then the --------------- Company must apply, at the request of Purchaser, the proceeds of such Public Offering (to the extent available after payment of all Senior Indebtedness (as defined in Section 9.5)) to prepay the unpaid principal amount and outstanding interest on the Debenture. Payments of principal and interest on the Debenture shall be made directly by wire transfer to an account designated by Purchaser by written notice to the Company or by check duly mailed or delivered to Purchaser at its address set forth in Section 8.4 of the Agreement. The Debenture (and any rights of the Purchaser hereunder or related thereto) is non-transferable except to a person or entity controlled by, or under common control with, Purchaser. No sinking fund or similar provision shall be required to fund payment of principal or interest under the Debenture. Payment of principal and interest on the Debenture is unsecured.

Certain Terms of the Debenture. All principal, interest and amounts ------------------------------ outstanding under the Debenture shall be due and payable in full on February 25, 2003. The Debenture shall bear interest at an annual rate of five percent (5%). Accrued and unpaid interest shall be due and payable quarterly in arrears on February 28, May 31, August 31, and November 30 of each year until maturity. The Debenture may be prepaid or redeemed, in whole or in part, by the Company prior to maturity, without penalty, with twenty (20) days prior written notice thereof to the Purchaser. In the event that the Company consummates an underwritten registered public offering covering the offer and sale of Common Stock for the account of the Company in which net proceeds to the Company of the public offering equals or exceeds $15 million (a "Public Offering"), then the --------------- Company must apply, at the request of Purchaser, the proceeds of such Public Offering (to the extent available after payment of all Senior Indebtedness (as defined in Section 9.5)) to prepay the unpaid principal amount and outstanding interest on the Debenture. Payments of principal and interest on the Debenture shall be made directly by wire transfer to an account designated by Purchaser by written notice to the Company or by check duly mailed or delivered to Purchaser at its address set forth in Section 8.4 of the Agreement. The Debenture (and any rights of the Purchaser hereunder or related thereto) is non-non- transferable except to a person or entity controlled by, or under common control with, Purchaser. No sinking fund or similar provision shall be required to fund payment of principal or interest under the Debenture. Payment of principal and interest on the Debenture is unsecured.